Fall 2012 Presented by Center for Economic Development, UWM

1. Socio-Economic Impact Analysis of the Preliminary Draft Regional Housing Plan for Southeastern Wisconsin: 2035 Fall 2012 Presented by Center for Economic Development, UWM For further information or comments please contact Kate Madison, AICP cmadison@uwm.edu (414) 229-6155

2. What is a socio-economic impact analysis? • A tool to determine if a proposed development or plan will have a negative or positive impact on Environmental Justice (EJ) populations • EJ populations include low-income and minority populations, and persons with disabilities • SEWRPC hired UWM to conduct an analysis of SEWRPC’s preliminary regional housing plan to determine its impacts on EJ populations

3. Strategy for Socio-Economic Impact Analysis of Regional Housing Plan • The socio-economic impact analysis (SEI) is based on a review of each preliminary housing plan recommendation using the following framework established by SEWRPC: • What positive social and economic impacts to environmental justice populations, if any, would be expected from implementation of the plan recommendation? • If positive social and economic impacts would be expected, would environmental justice populations receive a proportionate share of benefits, compared to the regional population as a whole?* • What adverse social and economic impacts to environmental justice populations, if any, would be expected from implementation of the plan recommendation? • If adverse social and economic impacts would be expected, would impacts on environmental justice populations be disproportionately high, compared to the regional population as a whole? • If adverse impacts would be expected, what steps could be taken to mitigate disproportionately high social and economic effects on environmental justice populations? * Determination of a positive impact indicates that EJ populations would receive benefits in proportion to the regional population as a whole, while a significantly positive impact indicates that EJ populations would receive a greater proportion of benefits compared to the population as a whole.

4. Fair Housing/Opportunity 5 Subsidized and Tax Credit Housing 10 Affordable Housing 10 Job/Housing Balance 10 Housing Development Practices 5 Accessible Housing 7 Strategy for Socio-Economic Impact Analysis of Regional Housing Plan • There are a total of 47 Recommendations in the preliminary housing plan, organized into 6 categories: • Affordable Housing is central to the housing plan, particularly housing affordable to low- and moderate-income households • Most recommendations have a positive or significantly positive impact on EJ populations

5. Strategy for Socio-Economic Impact Analysis of Regional Housing Plan • Evaluating the 47 Recommendations in the context of a SEI analysis • Evaluation based on: • Historic trends and future socio-economic indicators and projections • Literature & Research Review (academic & journalistic) • Data (American Housing Survey, Census, foreclosure, and so on……) • And within the context of Federal, State, and local laws and regulations

6. Action Items: • Recommendation 2 is still under consideration by CED as further research is warranted. CED will continue to look into this throughout the fall and will extend this to a discussion about sales and income taxes as alternatives. Our concern is whether or not it could be regressive and have a disproportionately negative impact on EJ households (particularly low-income households). • More information on Recommendation 10 is forthcoming. CED needs to assess if any communities have taken advantage of the existing program that extends the life of a Tax Increment Financing District by 1 year in order to help pay for affordable housing. Findings: Affordable Housing

7. Findings: Fair Housing/Opportunity Action Items: No further action is warranted

8. Findings: Job/Housing Balance Action Items: • CED recommends clarifying Recommendation 5 to include which programs or agencies would be targeted, such as but not limited to Community Development Block Grant funding, or programs from the Wisconsin Economic Development Corporation (WEDC) such as the Business and Community Development Assistance programs. This should apply to existing and future economic development programs, given the changing nature of the Federal and State programs.

9. Findings: Accessible Housing Action Items: • CED recommends rewriting Recommendation 2 to include and/or cite examples of how communities could “support the efforts” of developers, for example, by providing density bonuses. • Currently, accessibility features and modifications are not documented in property assessments. Modifications are deductible on income taxes, but tax information is restricted. CED recommends that SEWRPC and the Advisory Committee consider developing a recommendation that would add documenting accessibility features and/or modifications to the residential property assessment. • Recommendation 7 calls for the modification of government programs to fund accessibility modifications for renters. CED recommends that this also be extended to allow for landlord eligibility. • CED will provide additional clarification on Recommendations 3 and 4.

10. Findings: Subsidized Tax Credit Housing Action Items: • CED recommends that SEWRPC and the Advisory Committee develop at least one recommendation regarding homelessness and emergency shelter housing. • CED recommends that SEWRPC and the Advisory Committee develop a recommendation that focuses on the preservation of existing subsidized housing, and/or modifying Recommendation 4 to include funding for the rehabilitation and preservation of existing housing units in priority areas through the Choice Neighborhood Program (successor to Hope VI)

11. Findings: Housing Development Practices Action Items: • CED is currently examining the possibility of expanding Recommendation 5 to include local programs such as the Targeted Investment Neighborhoods (TINs) and its potential impact on EJ populations. • CED will provide more information on the impact of CPTED programs.

12. Thanks for your input! Questions and Comments: Preliminary draft chapters for the SEI are available online at http://www4.uwm.edu/ced/sewrpc/index.cfm Please contact Kate Madison at cmadison@uwm.edu or by phone at (414) 229-6155