What is a NRSA?

2. What is a NRSA? “A NRSA is a community neighborhood strategy that will designate a geographical area for the purpose of concentrating resources and undertaking activities that will make communities sustainable through provision of decent affordable housing and increased economic opportunities.” NRSA Plan: • Developed by the locality (CDBG office submits) • Approved by HUD Office • Results in the NRSA designation • Allows locality greater flexibility in applying CDBG regulations • Intended to encourage targeted effort to revitalize a neighborhood • Wisconsin NRSA’s: Milwaukee, Waukesha, Sheboygan, Kenosha

3. HUD NRSA Vision Successful NRSA’s: • Obtain commitment to neighborhood building. • Make neighborhoods attractive for investments, thereby creating a market for profits. • Generate neighborhood participation to ensure that the benefits of economic activity are reinvested in the neighborhood for long-term community development. • Support the use of neighborhood intermediaries (CDCs, CDFIs, CHDOs, and religious institutions) to bridge gaps between local government, the business community, community groups, and residents. • Foster the growth of resident-based initiatives to identify and address their housing, economic and human services needs. (1) (1) Notice CPD-96-01:CDBG Neighborhood Revitalization Strategies

4. Benefits of the NRSA Process • Focuses efforts in a targeted neighborhood • Brings attention to issues and opportunities • Increases neighborhood consciousness • Surfaces assets • Generates enthusiasm • Moves city officials out to the street • Invites investment – public, private, community

5. Benefits of the NRSA Designation Why do a NRSA? Substantially increased flexibility in the use of CDBG funds in a targeted neighborhood. • HUD accepts the LMI Area Benefit – making it easier to implement job creation, job retention and economic development projects. • Housing units are aggregated and treated as a single structure as long as 51%+ are occupied by LMI households. • Public service activities, including employment services, are exempt from the public service cap. Greater competitiveness for local, state, and federal grants. Existence of a plan very attractive to funders.

6. Local Concerns about NRSA • Singling out a neighborhood for ‘special treatment’ can be seen as unfair. • NRSA may be seen as giving political benefit to one alderperson. • Process can raise expectations and demands of residents and stakeholders beyond what is possible. • Residents/stakeholders will want the NRSA to fix a lot of things – NRSA’s emphasis is economic development and employment.

7. Required Elements of the NRSA • NRSA Boundaries – contiguous area • Demographic Criteria – 51%+ LMI • Consultation with stakeholders • Assessment of economic conditions and opportunities • Economic Empowerment Strategy: meaningful jobs and substantial revitalization • Performance Measures

8. NRSA Boundaries: Picking the Target Neighborhood HUD requirements: Contiguous area Population meets the 51% LMI standard Primarily residential Considerations: Natural/historic boundaries Political boundaries Data availability – compatibility with census tract/block group boundaries

11. 51% LMI Data Challenge • LMI = Household income below 80% of the Area Median Income (Milwaukee County Median Income = $42,012; LMI = $33,610) • 2000 Census, STF (Summary Tape File) 3 • 2010 Census not applicable – no income data • American Community Survey (ACS) data – not accepted at this point • 2013 ACS modification will provide new income data • HUD official: A NRSA could be approved even if 2000 census doesn’t indicate 51% LMI if there is documentation of the neighborhood going significantly downhill since 2000. Other data can augment: eligibility for free/reduced price lunch, survey data, other sources. (Don’t try, though, unless it’s pretty close.)

12. Low/Moderate Income

13. Consultation with Stakeholders

14. Stakeholder Consultation NRSA Stakeholder Committee • By invitation only – appointment by mayor • No more than 30 people • Blend of government, agency, business, resident • No formal structure Three Stakeholder Committee meetings • NRSA Kick-Off and identification of assets and challenges • Review of data and development of goals and objectives • Review and adoption of NRSA Plan 4. Meetings are agenda-driven, facilitated, task-oriented, interactive, interesting, and meaningful.

15. Assessment of Economic Conditions and Opportunities • Stakeholder identification of neighborhood strengths and challenges (SWOT process) • Analysis of housing and economic conditions: • Housing composition, condition, home ownership (census, city building inspection, land use) • Barriers to home ownership and housing quality • Business development/employment opportunities • Employment status of residents • Barriers to fulltime employment at family-supporting wage • Community Survey

16. Community Survey • Convenience sample: door to door/street • Volunteers working in teams • Same-day survey training • HQ – TA, supplies, bilingual dispatch • Data entry • Analysis – additional documentation for employment and economic revitalization needs • Critical partners – sponsoring organizations in the neighborhood, volunteers, and university

17. Public Safety and Neighborhood Issues In the area within a few blocks or streets of your home, how safe do you feel alone on the streets?

18. Public Safety and Neighborhood Issues Top 10 Neighborhood Problems

19. Employment and Education Top 10 Employment Problems

20. Economic Empowerment Strategy

21. Performance Measures

22. Submission • Approval by Stakeholder Committee, Common Council, and Mayor • Submitted to HUD as part of Consolidated Plan • Or as an amendment to the Consolidated Plan • HUD review, approval, issuance of designation • Annual reporting, 3 year renewal, plan modification as necessary

23. What does HUD look for? Interview with Michael Martin, Senior CPD Rep, Wisconsin HUD Office: • Neighborhood eligibility – contiguous area with 51% LMI • Proper stakeholder involvement • “A plan that will lead you someplace.” • Logical connection between the plan, implementation and benchmarks • Measurable benchmarks Michael Martin, Sr. CPD Rep, WI HUD Office, 414-935-6639, michael.e.martin@hud.gov

24. If you are interested in pursuing a NRSA designation…. • Talk to your CDBG office and elected officials. • Determine whether NRSA targeting would benefit a low-income, challenged neighborhood. • Obtain support of chief elected official. • Discuss the process with your HUD representative. • Consult with core partners: city/county/community organization/business association/university. • Designate coordinator. • Develop planning process budget and timeline.