9/28/20091History of Public Housing Rapid expansion of urban areas during late 1800’s Population density increased as Americans relocated to urban centers looking for employment U.S. government was reluctant to get involved with the need for housing “housing solutions were the exclusive domain of the private and charitable sectors, and best left to cities and states to wrestle with.”History of Public HousingHistory of Public Housing New York Housing Act of 1879 Intended to make housing conditions safer Emphasis was on character moral and not safety "there can be no question that the three great scourges of mankind—disease, poverty and crime —are in large measure due to bad housing." -New York Commissioner of the Tenement House DepartmentHistory of Public Housing U.S. Shipping Act of 1917 Appropriated 100 million Housing reformers argue that public housing can: Reduce labor force turnover Increase productivity Promote harmony9/28/20092History of Public Housing Housing Act of 1934 – created Federal Housing Administration (FHA) Housing Act of 1937 – controlling the payment of subsidies Housing Act of 1949 - slum clearance, insured mortgages, 800k new units, rural financing What is exclusionary zoning? Municipal use of the zoning power to exclude persons based on socioeconomic statusExamples Zoning that requires expensive features such as large lots Requires elaborate architectural detail, or other features inherently excludes people who cannot afford those featuresMount Laurel, New Jersey Mount Laurel Doctrine (Mount Laurel I)1975: Southern Burlington County N.A.A.C.P. v. Mount Laurel TownshipSuits were filed:After the decision of Mount Laurel I, suits were filed against numerous municipalities Lower income persons who actually sought housing and advocacy organizations on their behalf The New Jersey Public Advocate Builders who sought to construct developments containing affordable housing*While many were victorious in their suits, nothing resulted to help with affordable housing9/28/200931983: Mount Laurel II designation of a small number of trial court judges who would have jurisdiction over all Mount Laurelactions in several counties expanding the remedial authority of trial judges to compel action by municipalities, including the "builder's remedy” strong discouragement of interlocutory appeals in affordable housing litigationMount Laurel II cont. providing for the use of special masters to assist the trial judge in evaluating municipal compliance  modifying the rules of collateral estoppel provide municipalities who came into compliance with a six-year period of repose from further affordable housing litigation.Result:  Fair Housing Act and Council for Affordable Housing:Created an administrative agency, the Council on Affordable Housing (COAH), to establish regulationsCOAH 12 members appointed by the Governor of New Jersey and approved by the Senate.  Defines housing regions estimates the needs for low/moderate income housing allocates fair share numbers by municipality and reviews plans to fulfill these obligationsIncentive Zoning Intended to provide a reward-based system to encourage development that meets established urban development goals Examples: FAR (floor-area-ratio) bonuses for affordable housing provided on-site height limit bonuses for the inclusion of public amenities on-site.Inclusionary Zoning What is it? Requires developers to make a percentage of housing units in new residential developments available to low-and moderate-income households developers receive non-monetary compensation-in the form of density bonuses, zoning variances, and/or expedited permits-that reduce construction costs9/28/20094Inclusionary cont.  Expands affordable housing while dispersing affordable units to broaden opportunity and provide mixed-income communities. Different types:Require developers to construct affordable units within the developmentallow affordable units to be constructed in another locationrequire developers to build the unitsdevelopers contribute to an affordable housing fundWhy?Creating Mixed-Income, Diverse, Integrated Communities Promotes mixed-income communities.  Allows communities to counter declining public-sector investment in affordable housing creates housing for community workforce enables low- and moderate-income families to benefit from urban reinvestment.9/28/20095Illinois Affordable Housing Planning and Appeal Act requires municipalities to address the housing element, including an assessment of the current and future needs for lower-income housing.  The Act defines affordable housing as housing that has a sales price or rental amount that is within the means of a household that may occupy moderate-income or low-income housing. In the case of dwelling units for sale, housing that is affordable means housing in which mortgage, amortization, taxes, insurance, and condominium or association fees, if any, constitute no more than 30% of the gross annual household income for a household of the size that may occupy the unit. In the case of dwelling units for rent, housing that is affordable means housing for which the rent and utilities constitute no more than 30% of the gross annual household income for a household of the size that may occupy the unit. Illinois Continued Municipalities can satisfy this requirement by enacting a housing plan that consists of the following conditions: Must set a goal of having at least 15% of all new developments or redevelopments qualify as affordable housing  An overall 3% increase in affordable housing in the jurisdiction Or a minimum total of 10% of all housing in the municipality qualified as affordable housing. The Act requires Illinois municipalities to create incentives for attracting the development of affordable housing. The issue is that Illinois’ law is typical in that it defines what a municipality must, may, or may not do, but does not establish a system that adequately encourages the development of lower-income housingChicago - QHWRA Quality Housing and Work Responsibility Act of 1998, states that the goal of federal public housing policy is to ‘…decrease concentrations of poverty in public housing and to create incentives for residents to work and become self-sufficient…’ QHWRA includes: Demolition of public