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Empower Hampton Roads (E.H.R.)
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E.H.R. Housing Equity Campaign Background In May of 2004 more than 25 Empower Hampton Roads Congregations were asked to identify the most critical needs for Hampton Roads communities. Those needs were reported at the first Empower Hampton Roads Issues Convention. The 3 top issues identified were: Housing, Education and Jobs. Our members chose Affordable Opportunity Based Housing as the first campaign effort and the Housing Equity Campaign began. Virginia Beach was selected as the first city in which to focus our efforts because it is the largest city in the region and the city was beginning to address the issue of affordable housing. There also is a significant housing shortage for people and workers at low and moderate incomes. According to a recent Virginia Tech Housing Study the city of Virginia Beach has a deficit of 12,500 affordable housing units. Empower Hampton Roads believes that we need a proactive campaign with a long range plan and housing policy to provide Opportunity Based Housing which will create a "Win-Win" situation for all: citizens, government and developers . In November of 2004 Empower Hampton Roads and the Virginia Beach Partner Group co-sponsored a Town Hall Forum to discuss the housing shortage and develop solutions to the problem. The Forum lifted the voices of people and workers who struggle to find safe, decent affordable housing and called for a change in public policy to create opportunity based housing in Virginia Beach. The forum was followed by a fact finding trip to Fairfax Virginia to explore Inclusionary Zoning as one way to solve the housing shortage. Those who attended witnessed the effectiveness of an inclusionary zoning housing policy. Empower Hampton Roads held public meetings in July and October 2005 with more than 500 in attendance at each event to focus on “opportunity based housing” and “automatic inclusionary zoning.” David Rusk, our national housing consultant, spoke in July. And a builder from a large corporation endorsed the merits and value of inclusionary zoning in our October meeting. David Rusk and EHR leaders met with city council members and community leaders several times over the past year to discuss in detail the value of Opportunity Based Housing. There were several meetings with members from Tidewater Builders Association to discuss Opportunity Based Affordable Housing. Empower Hampton Roads believes that the development of Opportunity Based Housing will take the best efforts of the private sector, public sector and the private citizen to be in partnership for the common good of its citizens. Empower Hampton Roads believes that Mandatory Inclusionary Zoning is one tool that can effectively address the affordable housing shortage issue. We also believe that there will have to be a number of tools to solve this very complex problem. But, we must be proactive in our efforts to make things happen and part of our efforts must address public policy. WHY HAMPTON ROADS NEEDS MANDATORY INCLUSIONARY ZONING What is inclusionary zoning? Inclusionary zoning allows or requires affordable housing to be part of new development in a community. For instance, in Virginia, localities may adopt inclusionary zoning whereby housing developments of 50 or more units include at least 12.5% affordable units in exchange for allowing a 20% increase in density. Affordable housing is housing that people who earn less than 80% of the area median income can afford.
Inclusionary zoning is more than just a way to increase the supply of affordable housing. It also begins to reverse the isolation of income groups that has occurred because of exclusionary zoning practices and that denies people of modest incomes equal access to jobs and schools in high growth areas.
What is the difference between a voluntary and a mandatory ordinance? With a voluntary ordinance, if a developer wants to provide a percentage of affordable units, then the locality could grant a density bonus. Density increases could also be granted without any provision for including affordable housing in the development.
Mandatory ordinances require new development to be mixed income. In Virginia, localities have two options:
to include only development that needs rezoning or a special exception, or
to also include development over 50 units that requires a site or subdivision plan. (Any development with an approved site or subdivision plan is exempt.)
Why is mandatory better? Research (reference studies at www.bpichicago.org) shows that mandatory inclusionary zoning ordinances are more effective at producing mixed income neighborhoods and increasing the supply of much needed affordable housing.
Mandatory programs produce more affordable units. The national trend is for a move from voluntary to mandatory programs, as localities learned that many developers will not voluntarily provide affordable housing even with incentives.
Mandatory programs produce a wider range of income levels. Developers tend (with incentives) to provide housing for the upper levels of affordable but not for the full range of incomes, which excludes entry-level workers.
Mandatory programs offer uniformity and predictability for developers and for the community. By holding all developers to the same guidelines, mandatory programs create a level playing field for the developers and greater certainty for the community about the future supply of affordable housing.
What is Empower Hampton Roads’ Position?
Anyone who works in a community should be able to live in that community. Workforce housing should be opportunity-based, which means located in mixed income neighborhoods, where the majority of the housing is market rate housing.
Inclusionary zoning policies must serve all income levels of the workforce, including provision for the purchase or rental of one-third of the affordable units by public or non-profit agencies.
Inclusionary zoning policies must be fair in both providing workforce housing and protecting developer/builder profits.
All new (not yet approved) development should be mixed income, guided by a mandatory inclusionary zoning ordinance, except in areas with a high concentration of existing affordable housing.
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