Neighborhood Revitalization Plan for Dallas - June 2015 - City of Dallas
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Collective Impact Framework Alleviate Poverty DR A F T Fight Blight Neighborhood Attract and Retain the Middle Class Revitalization Plan Expand Home- Ownership for Dallas June 2015 Enhance Rental Options
DR A F T The Neighborhood Plus Plan updates and replaces the Housing and Neighborhood Elements of the forwardDallas! Comprehensive Plan.
MICHAEL S. RAWLINGS MAYOR CITY OF DALLAS June 2015 Greetings, Dallas is riding a wave of unprecedented prosperity. Yet, disturbing trends persist. A high proportion of our children remain in poverty and too many of our neighborhoods, strained by disinvestment and broken by blight, have been abandoned by the same economy that has swelled the number of Dallas millionaires in the last four years. These young people will soon become the region’s workforce and these neighborhoods will determine the strength of our tax base. Today, neither is prepared to maximize their future potential, to their disadvantage and to ours. As Dallas improves our strategic advantage in an increasingly competitive global marketplace, we must be attuned to new opportunities. We must also be vigilant about the challenges that threaten to weaken our position as a leader within the region, nation and world. There must be a proactive plan to ensure a brighter future for all of our residents. We cannot rely on old tactics that haven’t worked. It is time to open our minds to a deeper understanding of our unique challenges and opportunities. We must be willing to discard failed strategies and try fresh approaches. It is with this spirit that I started the GrowSouth Initiative four years ago, and it is with this same spirit that Neighborhood Plus has been developed with the active participation of residents, businesses, non-profit organizations, philanthropic foundations, government agencies, educational institutions and stakeholder groups who are committed to the promise of Dallas’ future. Neighborhood Plus recognizes Dallas as a city of neighborhoods and embraces the unique identity and strength of each. It is a plan that strives to enhance our collective impact through collaboration and partnerships to leverage our resources and produce effective results. Finally, it is a plan that recognizes the increasing need for Dallas to take a leadership role within our region and to tackle many of the challenges that extend beyond our borders and hinder our economy. Dallas has faced and overcome big challenges before. We have never let opportunity pass us by. It is with a strong sense of optimism that I put forward the Neighborhood Plus Plan. In the spirit of collaboration, I also urge you to invest in Dallas' future and to work together to put this plan into action, for the children of Dallas and for the prosperity of our neighborhoods. Best regards, Michael S. Rawlings Mayor OFFICE OF THE MAYOR CITY HALL 1500 MARILLA ST., 5EN DALLAS, TEXAS 75201
ACKNOWLEDGEMENTS Dallas City Council City Staff Consultant Team Mayor Mike Rawlings Theresa O’Donnell, Fregonese Associates Chief Planning Officer Mayor Pro Tem Tennell Atkins, District 8 Peer Chacko, AICP, Assistant Director, Deputy Mayor Pro Tem Monica Alonzo, Planning and Neighborhood Vitality District 6 Luis Tamayo, Senior Planner, Scott Griggs, District 1 Planning and Neighborhood Vitality Adam Medrano, District 2 Karen L. Riley, Planning Manager, Vonciel Jones Hill, District 3 Planning and Neighborhood Vitality Dwaine Caraway, District 4 Cobbie Ransom, Manager, Rick Callahan, District 5 Planning and Neighborhood Vitality Carolyn R. Davis, District 7 Vana Hammond, Chief of Community Relations & Grow South, Mayor’s Office Sheffie Kadane, District 9 Don Babers, Consultant, Jerry R. Allen, District 10 Housing Department Lee M. Kleinman, District 11 Bernadette Mitchell, Interim Director, Sandy Greyson, District 12 Housing Department Jennifer Staubach Gates, District 13 Charles Brideau, Assistant Director, Housing Department Philip Kingston, District 14 Beverly Davis, Assistant Director, Fair Housing Boards and Commissions Cynthia Rogers-Ellickson, Manager, City Plan Commission Housing Department Community Development Commission Robin Bentley, Assistant City Attorney, Senior Affairs Commission City Attorney’s Office Housing Finance Corporation Maureen Milligan, Executive Assistant City Attorney, City Attorney’s Office City Management Tammy Palomino, Senior Assistant City A.C. Gonzalez, City Manager Attorney, City Attorney’s Office Ryan S. Evans, First Assistant Robyn Gerard, Senior Public City Manager Information Officer, Sustainable Eric Campbell, Assistant City Manager Development and Construction Jill A. Jordan, P.E., Assistant Tim Glass, Manager, City Manager Office of Economic Development Mark McDaniel, Assistant City Manager Arturo Del Castillo, Interim Manager, City Design Studio Joey Zapata, Assistant City Manager Evan Sheets, Planner, City Design Studio Megan O’Neal, Planner, City Design Studio Chalonda Jackson, Coordinator, City Design Studio DR A F T
If you want to go fast, go alone. If you want to go far, go together. ~ African proverb Core Partners U.S. Department of Housing North Central Texas Council of Inclusive Community Project and Urban Development, Governments Betsy Julian, Demetria McCain and Fort Worth Regional Office Mike Eastland Susan Watkins Garry Sweeney, Shirley Henley University of Texas at Dallas Social Impact Architects Dallas Housing Authority Dr. Timothy Bray Suzanne Smith Maryann Russ Parkland Healthcare UpLift Education Children’s Health Care Systems Angela Morris Ann Stevenson Peter Roberts, Cheryl Mayo-Williams Children at Risk Dallas County Community College Sara Melnick Albert Dallas Independent School District District Paula Blackmon, Michael Koprowski Mary Brumbach and Pyeper Wilkins Texas Trees Foundation and Mohammed Choudhury Janette Monear Commit 2 Dallas Dallas Area Rapid Transit Tarik Ward Trust for Public Land Todd Plesko and Jeremy Lott Workforce Solutions Greater Dallas Robert Kent Federal Reserve Bank of Dallas Laurie Larrea Alfreda Norman, Elizabeth Sobel-Blum, City Square and Julie Gunter Larry James Habitat for Humanity Southfair Community Bill Hall, Kristen Schulz and Cyndy Lutz Development Corporation Health and Wellness Alliance Annie Jones Evans Cheryl Boswell City Wide Community Development Corporation MetroTex Association of Realtors Sherman Roberts Romeo Arrieta East Dallas Community Organization Dallas Area Realtists Gerry Carlton Ben Brown Builders of Hope The Real Estate Council Norman Henry Linda McMahon and Robin Minick The Senior Source Dallas Builders Association Lynda Taylor Endner Phil Crone 2000 Roses Foundation United Way Metropolitan Dallas Alonzo Harris Susan Hoff and Stephanie Mace Inner City Development Corporation The Meadows Foundation Diane Ragsdale Deborah Fitzpatrick DR A F T
DR A F T TABLE OF CONTENTS 01 Introduction 7 Dallas in the Regional Context Collective 38 Impact Framework 17 Alleviate 44 Poverty Housing Choice in Dallas Fight 48 Blight 35 54 Attract and Retain the Middle Class Strategic Goals, Policies + Actions Expand 58 Home- Ownership 69 Enhance 66 Rental Options Conclusion
If you are going to achieve excellence in big things, you develop the habit in little matters. Excellence is not an exception, it is a prevailing attitude. ~ Colin Powell image credit: Sydney Aaliyah
INTRODUCTION An Enduring Foundation for the Future of Living in Dallas Even as Dallas is experiencing a time of unprecedented growth and prosperity, it is facing a number of critical issues that dramatically impact its neighborhoods citywide: increasing levels of poverty, a declining number of middle income families, deteriorating neighborhood conditions in concentrated areas, an increase in childhood asthma, obesity and diabetes, a lack of quality affordable housing, and a mismatch between where jobs are located and where quality, affordable workforce housing exists. The complexity and scale of these issues, and the diminishing public resources available to combat them, demands the City expand its traditional view of housing policy and take a comprehensive approach to neighborhood revitalization and community building. This approach ensures the kinds of long-term, positive changes necessary for Dallas to remain the robust and dynamic center of the nation’s fourth largest metro economy. This broader perspective must look beyond the mere production of a limited number of publicly subsidized housing units HUD Funding Trend in Dallas, 2000-present, to consider a holistic approach that encompasses in $ Millions neighborhood quality, safety, mobility and access $40 35.5 to health care, education, and jobs. It must also 32.3 $30 acknowledge that the City cannot adequately confront 24.3 these challenges alone. $20 23.6 To address these serious trends, the City of Dallas $10 launched a planning process to engage a diverse 0 range of community-based stakeholders and partner 2000- 2005- 2010- 2015- agencies in preparing the Neighborhood Plus - 2001 2006 2011 2016 Neighborhood Revitalization Plan for Dallas. The Source: City of Dallas, Office of Financial Services. Includes CDBG, Neighborhood Plus Plan lays a firm foundation for a HOME, ESG, and HOPWA. holistic, neighborhood by neighborhood approach to improving the quality of life for all Dallas residents. [2] DRAFT - N E I G H B O R H O O D P L U S
Neighborhood Plus Planning Process INTRODUCTION an g g Pl fin fin ee rty us m m m k Pa ie ie Pl ps siu Br Br siu o d g om l oc po ee po h oo fin p ks itt itt m B ho m sia rh ie or m Sy Sy od Br bo ks W po om or g us rho g gh il m ity in sin nc W C C ei Sy us un o ou ou g g tN hb il Ho in in er m nc C rH g us af rtn om ou ei ity ir Dr Ho Ho i Fa N Pa Fa C C C Ongoing Partner Meetings APRIL JUNE AUG OCT NOV DEC FEB APRIL JUNE 2014 2015 Relating to forwardDallas! and the Consolidated Plan The Neighborhood Plus Plan combines, updates and replaces the Housing and Neighborhood elements of the forwardDallas! Comprehensive Plan. In the 10 years since the forwardDallas! comprehensive planning process began in 2005, The purpose of Neighborhood Plus is to: much has changed in Dallas’ housing market. The • Set a new direction and shape new policy market has largely corrected following the recession for housing and neighborhood past 2007. Reassessing and updating these revitalization in Dallas. elements now is timely, particularly as we begin • Create a strategic planning and decision- to face new challenges in our neighborhoods. making framework to guide more effective The Neighborhood Plus Plan adds new strategic community investment decisions. goals, policies, and a set of short- and long-term actions with measurable outcomes developed in • Create a framework for inter-agency collaboration with a wide network of partners. collaboration, acknowledging the inter-dependence of local government The forwardDallas! Comprehensive Plan provides with other public and private agencies, the broad vision and strategic direction to guide for-profit businesses, nonprofits land use, economic development and transportation organizations, and philanthropic policy for the City of Dallas. While much broader in foundations. scope, forwardDallas! also provides the framework • Position the City of Dallas to take a to guide more specific housing related priorities leadership role in initiating a regional and targets set through Dallas’ HUD mandated dialogue on important housing issues. Consolidated Plan. The goal is to ensure that these two documents are linked to support the desired outcomes of increasing affordability and promoting a healthy and sustainable mix of housing and Neighborhood Revitalization Plan for Dallas - DRAFT [3]
INTRODUCTION neighborhood choices in Dallas. To this end, the Six Strategic Goals for Dallas Neighborhood Plus Plan is written to serve as a guide for future updates of the Consolidated Plan. 1. Create a Collective Impact Framework This goal promotes and manages collaboration and planning coordination among neighborhood How to Use the organizations, governmental agencies, nonprofit service providers, and philanthropic funding Neighborhood Plus Plan organizations to leverage resources and enhance effectiveness. In this way, all stakeholder organizations The Neighborhood Plus Plan is comprised of four and partners committed to helping neighborhoods chapters that lay out a new direction for ensuring thrive may come together to create the foundation of safe, healthy and sustainable neighborhoods for all Dallas’ future. Dallas residents. 2. Alleviate Poverty The Introduction outlines the impetus, the process, This goal focuses on increasing earnings for low wage and the purpose of the Neighborhood Plus Plan. The earners, targeting and expanding workforce training, second chapter, Dallas in the Regional Context, prioritizing Pre-K education opportunities for children provides key demographic and geographic data, in poverty, addressing homelessness, and fostering highlighting trends that explain Dallas’ unique transportation, child care and health programs to place at the heart of the region and sheds light improve the quality of life of people living in poverty. on expectations for the future. The third chapter, Housing Choice in Dallas focuses on the important factors that influence our decisions on where we live. This chapter also provides information on the housing decisions people have made in the past, and how this decision-making process is likely to change based on shifting demographic trends. Potential mismatches between current housing supply and demand are highlighted and the outlook for future balanced housing growth is also summarized in terms of housing type and affordability. The final chapter, Strategic Goals, delineates six strategic goals to shift our approach, policies and actions to achieve greater equity and prosperity for all Dallas residents, expand the range of housing options, and enhance the quality of neighborhoods. In addition, metrics to measure the City’s movement towards these goals are provided. [4] DRAFT - N E I G H B O R H O O D P L U S
INTRODUCTION 3. Fight Blight ...an economic system’s This goal works to identify and target blighted properties more strategically and effectively to legitimacy is...tied to its eliminate their negative impact on neighborhoods ability to make two things and return them to productive use. accessible to all: the 4. Attract and Retain the Middle Class riches it generates and This goal focuses on identifying piloting programs the social benefits that that promote neighborhood assets, eliminating barriers to neighborhood revitalization and arise from that wealth. infill, supporting school choice, and addressing neighborhood infrastructure needs. ~ Jim Yong Kim, 5. Expand Homeownership President of the World Bank This goal encourages a wider range of housing types to respond to emerging preferences, identifies incentives for infill development and home improvement in targeted neighborhoods, expands programs to reach a broader range of potential home buyers, and develops partnerships to increase the pool of eligible loan applicants. 6. Enhance Rental Options This goal works to raise the quality of rental housing through better design standards and proactive and systematic code enforcement, expands affordable housing options and encourages its distribution across the city and region, and aligns planning and investment around DART transit stations. Neighborhood Revitalization Plan for Dallas - DRAFT [5]
If you don’t know where you’ve come from, you don’t know where you are going. ~ Maya Angelou image credit: Neff Conner
DALLAS IN THE REGIONAL CONTEXT
DALLAS IN THE REGIONAL CONTEXT Growing with the Region Dallas is the fourth largest metropolitan economy By 2035, Dallas County in the U.S. and the 12th largest in the world. This economic engine fuels rapid growth and that growth, is projected to grow in turn, powers a robust economy. The City’s goal by nearly 800,000 is to maintain around half of Dallas County’s population. To capture new growth and maintain people. What portion pace with Dallas County will require the City to of this growth will build new housing that appeals to a wide range of Dallas capture? current and future residents. This could include a wider diversity of ownership options affordable to moderate and middle income households. It also means the City will need to invest in the infrastructure and amenities that create quality neighborhoods and keep the housing market strong. Creating walkable neighborhoods with quality schools, services, transit and employment will take coordinated investment and efforts by the City and its many partners. Population Growth and Projections, 1990-2035 10 M 8,673,698 8M 6,764,564 6M 5,622,128 4M 3,195,830 2,630,930 2,368,139 2M 1,197,816 1,315,465 1,597,915 1990 2000 2010 2020 2035 DFW 4 County Area Dallas County City of Dallas DFW 4 County Dallas County City of Dallas Area Projections Projections Target Growth Source: US Decennial Census 1980-2010, ACS 2012 One-Year Estimate, Woods & Poole Population Projections 2020 and 2035. [8] DRAFT - N E I G H B O R H O O D P L U S
Opportunities for Growth Share of Dallas’ Workforce by Residence Earning $40,000 or More Annually Dallas is a major employment hub with over DALLAS IN THE REGIONAL CONTEXT 500,000 workers commuting daily into the city from other parts of the region. Inbound commuters make up the majority of the Dallas workforce, with numbers more than double the number of residents who work in the City. These inbound commuters 9% 14% have higher incomes than people who live and work in the city and those who live in Dallas but commute outside the city for work. Dallas has a significant opportunity to convert some of these inbound commuters into residents. 12% 23% 19% Outside the 4-County 23% Area Residence of Workforce, 2002-2011 600K 370,235 Total of all employees 67% working in the City earning Total inbound 400K over $40,000 annually commuters 200K Provided by the City of Dallas Economic Development Department. Source: Census LED Origin-Destination Data, 2011 0 2003 2005 2007 2009 2011 Outbound Inbound Live and Work Commuters Commuters in the City Source: U.S. Census Bureau, Center for Economic Studies downloaded via OnTheMap.ces.census.gov. Income Distribution of Workforce, 2011 Inbound Commuters 14% 33% 53% Inbound commuters make up the Live and Work in the City 16% 41% 43% majority of the Dallas workforce, Outbound Commuters 21% 41% 38% and they are more affluent than Dallas’ Less than $15,000 $15,000 to $39,999 $40,000 or more resident workforce. Source: U.S. Census Bureau, Center for Economic Studies downloaded via OnTheMap.ces.census.gov. Neighborhood Revitalization Plan for Dallas - DRAFT [9]
DALLAS IN THE REGIONAL CONTEXT Demographic Profile Age and Generational Change By 2020, almost 60% Dallas is remarkably younger than the region, Texas, of Dallas’ population and the U.S. by an increasing margin. As generations is projected to be shift, housing preferences will also change, and under the age of 40. Dallas will need to provide a variety of housing types to accommodate the needs of older generations as well as an increasingly younger workforce. Change in Generations in Dallas County, 2000-2020 8% Gen Alpha 15% Gen Z 23% 23% Millennials 22% 23% Gen X 26% Baby Boomers 21% The GI Generation 22% The Greatest Generation 28% 19% Source: Historical Population 23% Data and Forecasts from Woods 18% & Pool for Dallas County. 9% 7% 6% 2% 5% 2000 2010 2020 Dallas’ Median Age Compared with Texas and the U.S., 1980-2010 40 yrs 37 U.S. Texas 34 Dallas 32 30 yrs Source: U.S. Census Bureau, downloaded via Social Explorer, Decennial Census 1980 20 yrs (SE:T11), 2000 (SE:T13), 1980 1990 2000 2010 and 2010 (SE:T44). [ 10 ] DRAFT - N E I G H B O R H O O D P L U S
Change in Share of Household Income, Income 2000-2013 Median income in Dallas has declined sharply 6% DALLAS IN THE REGIONAL CONTEXT since 2000 reaching $43,000 in 2010. This is far 3% 6% 2% lower than the U.S. average, comparable cities in Texas, and the surrounding Dallas-Fort Worth area. 0% $19,000 or Less Change in the share of household income from -2% 2000 to 2013 highlights the growing number of -6% Dallas households earning less than $35,000 a 6% 4% year, while households earning $50,000 or more a year are declining. This is consistent with a national 2% 2% trend of wide income disparities and hollowing 0% $20,000 to $34,999 out of the middle class. To remain regionally -3% competitive, Dallas needs to make concerted efforts -6% to help people climb out of the cycle of poverty, and focus on attracting and retaining middle 6% income groups that prefer the culture and amenities 0% of a big city. 0% $35,000 to $49,999 -1% -1% -3% -6% 6% 0% $50,000 to $99,999 Median Income Trends, 1980-2010 -2% -2% -2% -5% -6% $60K 6% 5% $50K 0% $100,000 to $149,999 -1% -1% -2% -6% $40K 6% 6% $30K 0% over $150,000 1980 1990 2000 2010 -1% -1% -2% U.S. San Antonio -6% Texas Houston U.S. Four-County Area Atlanta Dallas Texas Dallas Source: Median Household Income (Adjusted to 2013 Dollars) retrieved from Social Explorer of U.S. Decennial Census 1980 (T53), Source: Census 2000 (in 2013 inflation-adjusted dollars); ACS 2013 1990 (T43), 2000 (T93), and ACS 2008-2012 5-Year Estimates (T57). 5-Year estimates. Neighborhood Revitalization Plan for Dallas - DRAFT [ 11 ]
DALLAS IN THE REGIONAL CONTEXT Poverty Percent of Families below the Poverty Line, 2000-2012 According to the 2010 U.S. Census, over 20% 20% of Dallas families live below the poverty line. This is 20% 19% a significant increase from 15% in 2000. While this 16% 14% trend is present throughout the country, it is being felt acutely in Dallas, where the median household 10% income has continued to fall below our peer cities in Texas and the U.S., and below the state and national averages. 0% 2000 2012 Despite Dallas’ diverse and growing economy, Dallas San Antonio people of color and our youngest residents are Houston Austin disproportionately affected by poverty. This threatens Source: U.S. Census Data (2000 Decennial Census and ACS 2008- the continued prosperity of Dallas and the region. 2012 Five-Year estimates) via Social Explorer T98/T179. Thirty percent of the Hispanic population and 30% of the African American population in Dallas are Areas of Concentrated Poverty living in poverty. And for children under the age of 18 living in Dallas, 38% live in poverty, ranking Dallas last out of the nine other cities in the U.S. with populations over one million. A concerted and collaborative effort to break down barriers to fair and inclusive housing and to ensure equal access to quality schools and jobs that pay a living wage is critical to sustain a strong and thriving regional economy over the long-term. Compared to the four-county area, Dallas’ share of low- income residents is increasing while its share of high- income residents is City limits % of Residents Who Live in Poverty decreasing. 20%-40% 41% and over Source: Census Bureau, ACS 2009-2013. [ 12 ] DRAFT - N E I G H B O R H O O D P L U S
Race and Ethnicity Change in Diversity, 1980-2013 DALLAS IN THE REGIONAL CONTEXT 1% 2% 2% Since 1980, the City has seen a steady 1% 2% 3% 3% demographic shift and increasing racial and 12% ethnic diversity. Dallas has been a majority 21% minority city for the past 20 years. The Hispanic 36% 41% community has grown dramatically over the 29% past few decades, making up over 40% of the 29% city’s population in 2013. Since 1980, the white population has declined significantly as a share of the whole, while the African American population 26% 24% has declined slightly, and the Asian population, although comprising a small percentage overall, 58% 47% has increased steadily. The City of Dallas is more diverse than the four-county region, with a 33% 30% significantly higher proportion of Hispanic and African American residents, although not as many Asian residents as other parts of the region. 1980 1990 2000 2013 White Non-Hispanic Asian Black or African American Other Hispanic Source: U.S. Census Bureau, Social Explorer, Decennial Census 1980 (SE:T13), 1990, (SE:T13), 2000 (SE:T15), and ACS 2013 5-Year estimates. Race and Ethnicity in Dallas Compared to the Four-County Area Four-County Dallas will be Race/Ethnicity Dallas Area reshaped and White Non-Hispanic 30% 46% strengthed by its Black or African American Asian 24% 3% 16% 6% racial, ethnic, cultural Hispanic 41% 29% and generational Other 2% 3% diversity. Source: ACS 2013 5-Year estimates and Social Explorer. Neighborhood Revitalization Plan for Dallas - DRAFT [ 13 ]
DALLAS IN THE REGIONAL CONTEXT Population by Race and Ethnicity, 2010 1 dot = 10 people White Non-Hispanic Black Non-Hispanic Asian Non-Hispanic Hispanic or Latino Other Source: 2010 Summary File 1 (SF1) Table P5. [ 14 ] DRAFT - N E I G H B O R H O O D P L U S
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Safety and security don’t just happen, they are the result of collective consensus and public investment. ~ Nelson Mandela image credit: msbrendadanderson
HOUSING CHOICE IN DALLAS
HOUSING CHOICE IN DALLAS Commitment to Current Housing Mix, 2013 Housing Choice in Our 1% Neighborhoods Standard and Large- Lot Single Family Small-Lot For most of us, a home is the largest financial Single Family commitment we will ever make. Whether buying or 31% Townhome renting, our housing expense typically consumes the 47% Multi-family largest part of our budget and is a major life decision. Mobile Home Choosing a home is based on many considerations 17% or Other – location, price range, housing type, neighborhood Source: Census Bureau, ACS amenities and lifestyle preferences. Factors differ 2009-2013, 5-Year Estimate. greatly from person to person and family to family. 4% Other factors may limit the choices we have, Share of Owners and Renters in Dallas for example income, affordability and access to Compared to the Four-County Area reasonable credit terms, or available housing stock and quality of neighborhoods. During some phases of 59% 56% our lives, renting a home may be more practical than 44% Rent 41% buying, at other times, homeownership is clearly the Own right choice. Understanding and responding to these factors to provide Dallas residents with quality, affordable City of Dallas Four-County Area housing is the core of the Neighborhood Plus Plan and its strategic goals, policies and actions. The Source: U.S. Census, ACS 2009-2013 City of Dallas is committed to expanding housing choice and ensuring a range of housing options are units are rentals, accounting for the majority of available to fulfill the needs, incomes and preferences the city’s rental stock. However, there is also a of Dallas residents into the future. comparatively large percentage of single family homes (20%) that are rentals. These rental properties Today’s Housing Stock are attractive options for young families who may not be able to afford a home of their own yet, but prefer Deciding whether to rent or buy is a highly the lifestyle offered in a single family neighborhood. personal decision based on a variety of factors, Today in Dallas, rental housing demand is strong and from income and job security to lifestyle and family it will continue to remain high. When compared to needs. Dallasites should have quality rental and our suburban neighbors, Dallas has a much higher homeownership options available across the income rental rate. Fifty-six percent (56%) of households are spectrum to support their choices. rental and 44% of households are homeowners. This The current mix of housing stock, is almost equally rental versus owner ratio is higher than the metro area split between single family houses and multi-family and the national average. Dallas has consistently buildings. As in most big cities, 94% of multi-family average 55% rental over the past 30 years. [ 18 ] DRAFT - N E I G H B O R H O O D P L U S
Housing Type by Owner or Renter Status Renters in Single Family Housing 250,000 200,000 150,000 HOUSING CHOICE IN DALLAS 100,000 50,000 0 Single Townhome Multi-family Family Renter-occupied Owner-occupied Source: Envision Tomorrow Balanced Housing Model and ACS 2013, 5-Year estimates. In Dallas, 94% of multi-family units are rentals and 20% of City limits 0% - 10% DART station 10% - 25% single family homes DART line 25% - 50% are rentals. 50% - 75% 75% and over Owner or Renter Status by Household Income 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0
HOUSING CHOICE IN DALLAS Elements of Housing Choice This section looks at three broad elements of housing The Dallas housing market does not stop at the choice: housing affordability, housing preferences, city boundary because it operates at the regional and neighborhood and community character. scale. The U.S. Department of Housing and Urban Development (HUD) acknowledges this by Housing Affordability determining affordable housing assistance eligibility Housing affordability is usually the biggest standards based on the area median income (AMI) determinant of where people choose to live and for all people living within the Dallas region or what type of housing they occupy. Having safe, high- primary metropolitan statistical area as defined by the quality affordable housing means that people can Census Bureau. Calculated annually, the AMI is the pay their mortgage or rent and have enough money determining factor for eligibility for federal housing for other vital expenses and discretionary spending support. The regional median income of $70,400 like groceries, transportation, child care, health care, is significantly higher than the City of Dallas median clothing, entertainment, and savings. income of $42,846, which raises the number of city residents who qualify for assistance. Fiscal Year 2015 Median Family Income Share of Dallas’ Population by Household Income, 2013 30% Dallas Region AMI $70,400 25% City of Dallas 25% $42,800 22% Median Income 20% 19% Below 30% AMI Below $21,120 Extremely Low Income 15% 15% 30%-50% AMI $21,120 to $35,200 Low Income 10% 9% 9% 50%-80% AMI $35,200 to $56,320 Moderate Income 5% 80%-140% AMI $56,320 to $98,560 Middle Income 0%
Although the dollar amount varies from household There are clear affordability gaps in the current to household, “affordable housing” means all housing stock. Thirty-one percent (31%) of owners housing costs, including utilities, insurance and are living in homes unaffordable to them, and 48% taxes consume no more than 30% of gross of renters are living in housing that is considered household income. According to federal HUD unaffordable. Of all owner households, 18% are HOUSING CHOICE IN DALLAS guidelines, housing is unaffordable when 30% or cost burdened and 13% are severely cost burdened. more of a household’s income is spent on housing. Of all rental households, about 25% are cost Severely unaffordable or “severely cost burdened” burdened, and 23% are severely cost burdened. housing costs occur when more than 50% of a household’s income is allocated to housing and related expenses. At the median income of $42,846, a Dallas household should spend less than $1,070 per month on housing costs to remain under 30% of gross household income. Owner Housing Affordability in Dallas 13% 31% of owners and 18% 48% of renters are 69% living in housing that is unaffordable given their income. Rental Housing Affordability in Dallas Affordable 23% Unaffordable Severely Unaffordable Source: Envision Tomorrow 52% Balanced Housing Model. 25% Neighborhood Revitalization Plan for Dallas - DRAFT [ 21 ]
HOUSING CHOICE IN DALLAS Housing Preferences housing market. By defining every U.S. household in terms of 67 demographically and behaviorally distinct Psychographics, also known as market segments, go segments, it summarizes complex consumer profiles beyond the basic Census-based demographic data beyond traditional demographics. of age, income and race and to provide a deeper understanding of an individual’s lifestyle preferences Who is Dallas attracting? based on their spending habits and patterns. This According to psychographic analysis, these top geographically-based, market data provides an ten segments represent 67% of Dallas households. analytical tool that allows close examination of how Understanding these household segments and their groups of people with similar spending characteristics housing choices aids in identifying Dallas’ future make decisions on purchases. This data captures housing needs. By blending the tapestry segments information on the type of coffee people drink, to into larger groups, it is easier to understand and where and how often they travel, to the television generalize their preferences for housing. The following programs they watch. The data is aggregated at page highlights four such blended groups created for the zip code level and provides valuable insight into Dallas: Young Diverse Family, Urban Loving Millennials, the preferences individuals have for housing and Dallas Baby Boomers, and Hard Working Households. neighborhood choice. From this data, we can predict These groups are intended to be illustrative and how individuals and families living in Dallas today and thematic, not necessarily comprehensive. So while future Dallas residents perceive their neighborhoods they include the majority of the top ten segments, and the factors that influence their current and future and a mix of other complimentary segments, Metro housing decisions. Fusion, Urban Chic and American Dreamers are ESRI’s Tapestry segmentation combines demographic, not represented. consumer behavior, and geographic data to help 3. MHDA Point-in-time Homeless Count and Census, 2014. identify, understand and target aspects of the current 4. DSHS Texas HIV Surveillance Report, 2013 Annual Report. Top Ten Tapestry Segments for Dallas by Share of Population Barrior Urbanos Metro Renters NeWest Residents Top Tier Young and Restless Metro Fusion Urban Chic American Dreamers Modest Income Homes Family Foundations 0% 2% 4% 6% 8% 10% 12% 14% Dallas Four-County Area Source: ESRI Tapestry data. [ 22 ] DRAFT - N E I G H B O R H O O D P L U S
Dallas’ Blended Tapestry Segments HOUSING CHOICE IN DALLAS City limits DART station DART line Young Diverse Families (21%) Urban Loving Millennials (16%) These are predominately Hispanic families with These are single renters who are generally well- children, often living with grandparents in rental educated and environmentally conscious. They apartments or single family homes. These households live mostly near the city center. are located mostly in the southeastern part of the Tapestry Segments: Metro Renters (#2), Young City or central Dallas, west of Downtown. and Restless (#5), Laptops and Lattes* (#18) Tapestry Segments: Barrios Urbanos (#1), NeWest Dallas Households (2012) = 84,140 Residents (#3), Las Casas* (#16) Dallas Households (2012) = 112,627 Hard Working Households (7%) These are disproportionately older and Dallas Baby Boomers (8%) predominantly single family households with These are empty nesters with high-value, single moderate education and lower paying jobs. family homes predominantly in North Dallas. Tapestry Segments: Family Foundations (#10), Tapestry Segments: Top Tier (#4), Savvy Traditional Living* (#52), Modest Income Suburbanites* (#21), Exurbanites* (#14) Households (#9) Dallas Households (2012) = 44,512 Dallas Households (2012) = 36,269 * While not included in the top ten segments for Dallas, these segments represent a growing trend of preferences for people living in urban areas. Neighborhood Revitalization Plan for Dallas - DRAFT [ 23 ]
HOUSING CHOICE IN DALLAS Neighborhood and a large proportion of homes in poor condition Community Characteristics require particular attention so that a perception of disinvestment does not cause further deterioration. The decision to rent or own, affordability, and housing type are all important factors in housing choice. The Access to important destinations such as work and characteristics of a neighborhood, however, are just school, medical services, and stores with healthy as important in making that decision. Neighborhood food choices all play an important role in the quality quality greatly influences the desirability and livability neighborhoods. Access to quality educational of housing options. Many factors influence a opportunities is one of the most-often cited indicators neighborhood’s quality, including the condition of of a neighborhood’s desirability. Dallas suffers from the homes in the neighborhood and how easy or geographic disparities in educational attainment. difficult it is to access important destinations. Crime Ensuring all neighborhoods can readily access a and blight can erode the strength of a neighborhood high-quality education will benefit the city as a whole. until it is all but abandoned. Neighborhoods with Percentage of People without a Percent of Housing in Poor Condition High School Diploma City limits Source: Dallas Central Appraisal District. City limits Source: Census Bureau, ACS 2009-2013. 6% - 10% 0% - 5% 6% - 15% 11% – 15% 16% - 20% more than 15% 21% - 40% 41% or greater [ 24 ] DRAFT - N E I G H B O R H O O D P L U S
2012 Asthmas Hospitalization Rate The health of a community is impacted directly by access to healthcare and healthful food choices. When coupled with poor housing conditions and poverty, a lack of access to these critical HOUSING CHOICE IN DALLAS health elements can cause areas of poor health outcomes. For instance, poor housing conditions (such as mold) and proximity to heavy traffic can be triggers for those with asthma. There are distinct City limits Hospitalization Rates per 1000 patterns of geographic Provided by Health & Wellness Alliance for Children. 0.15 - 2.00 2.01 - 4.00 concentration related Source: DFWHC 2012 (www.dfwhc. org), U.S. Census; ACS, 2012. 4.01 - 5.00 to access to good 5.01 - 6.83 school choices, poor Low Supermarket Sales and Low Income housing conditions, access to healthy food options, and health outcomes. City limits Provided by The Food Trust. Low Income and Low Sales Source: Texas Department of State Health Services, 2010-2011; Trade Not Low Income and Low Sales Dimensions Retail Database, 2014; U.S. Census, ACS 2008-2012. Neighborhood Revitalization Plan for Dallas - DRAFT [ 25 ]
HOUSING CHOICE IN DALLAS Neighborhood Walkability Accessing jobs is a critical factor in housing choice. Neighborhoods offering shorter commutes with a variety of transportation options are generally highly desirable places to live. Adequate infrastructure such as connected and well-lit streets and sidewalks, safe intersections, and parks and open space will encourage walking, biking, and other routine physical activity that helps keep Dallasites healthy and invested in their communities. Walkability and accessibility to jobs varies a great deal City limits Low across the City. DART station Medium DART line High Access to Jobs by Transit Access to Jobs by Car City limits Low City limits Low Source for all three maps: Envision Tomorrow DART station Medium DART station Medium Travel Demand Model. DART line High DART line High [ 26 ] DRAFT - N E I G H B O R H O O D P L U S
Forecasting Future Needs Recent Development Trends Neighborhood The 2005 forwardDallas! housing element Plus assumes a established a housing unit target of 220,000 new more moderate units by 2030. To remain on track for this target growth target than HOUSING CHOICE IN DALLAS Dallas would need to add 91,337 new units by 2020, which would require the production forwardDallas! – of 13,048 new units per year. Since 2005, the City has produced only an average of 4,066 about 6,000 housing housing units a year, clearly not enough to be units per year. on track to meet that goal, indicating a need for a less aggressive growth target. However, recent residential construction and development permits completed do indicate a strong development climate that is trending upwards in Dallas. In 2014, a net total of 6,446 housing units were added in the city. Given the right incentives there is potential to increase production over the next five years. Although in the long term, as stated in “Dallas in the Regional Context” chapter, the City should strive to maintain at least 50% of Dallas County population. In the shorter 2020 time frame, Dallas Residential Construction and Development will need to assume a more moderate target. Permit Activity in Dallas, 2005 to 2014 Additions of about 6,000 housing units per year Permits Net Unit Year Demolitions through 2020 will enable Dallas to maintain 47% Completed Increase of Dallas County population. 2005 5,423 1,299 4,124 2006 6,181 2,555 3,626 2007 7,590 1,566 6,024 Comparing forwardDallas! Targets with Actual 2008 5,031 3,716 1,315 Units Built and Neighborhood Plus Targets 2009 6,871 1,668 5,203 Total 2010 3,925 1,337 2,588 Year Yearly Units 2011 2,246 1,224 1,022 Total Housing Units Added 4,066 2012 6,831 2,032 4,799 40,663 Since 2005 (10 year avg) 2013 7,099 1,583 5,516 Units Needed to Meet 2014 8,356 1910 6,446 13,048 91,337 forwardDallas! 2020 Target Totals 59,553 18,890 40,663 Neighborhood Plus 6010 42,068 Source: City of Dallas - Sustainable Development and Construction 2020 Target Department, Permit Data 2005-2014. Neighborhood Revitalization Plan for Dallas - DRAFT [ 27 ]
HOUSING CHOICE IN DALLAS Housing Targets for 2020 The housing targets for 2020 feature just over 50% of projected new housing units in multi-unit and mixed To sustain a growth target of about 6,000 housing use developments. Nearly 25% of new demand is units per year over five years, the city will need strong anticipated to be for smaller lot single family homes, housing development with a diversity of housing types and 15% for townhouses. Residents will increasingly to meet emerging needs based on the age, income opt for smaller homes in more connected places and housing preferences of future city residents. We for reasons of access, neighborhood character, can get a clearer picture of Dallas’ future housing walkability, and affordability. When combined with needs through 2020, by looking at projected existing housing stock, what emerges is a more household changes in Dallas and the region and balanced housing profile that will meet the needs of translating this into projections for owner-occupied future residents by 2020. and rental housing. In addition, we should consider recent development trends as well as the City’s ability to influence Neighborhood Plus 2020 Targets by Type development through policies and incentives. In recent years, multi-family residential development has 2020 Target Annual Housing Type (units added) Target accounted for the vast majority of the new housing. Standard and Large-Lot Since multi-family residential development tends 4,606 658 Single Family to occur in cycles, this boom is likely to slow down Small-Lot Single Family 11,114 1,588 during the next five years, although fairly strong demand is anticipated to persist. There is also strong, Townhome 6,277 897 pent up demand for single family and townhouse development. Dallas has the opportunity to capture Multi-family 19,911 4,719 a healthy share of this demand, given the right public investment policies and incentives, and thus maintain Mobile Home / Other 160 33 or increase overall housing production over the next Total 42,068 6010 five years. Source: Envision Tomorrow Balanced Housing Model, Census Bureau ACS 2009-2013. Demand projections are forecasted Neighborhood Plus 2020 Targets Share based on the current stock of owner of Growth by Housing Type and renter-occupied housing units in Dallas,
Future Housing Needs by Income As Dallas’ median income continues to decline To estimate the curent and future and income disparities rise, strategies that address market demand for housing, the housing affordability will play an important role in Envision Tomorrow Balanced Housing creating the types of neighborhoods and housing Model considers residents’ age, income options that accommodate a broad range of and housing preferences to provide a household incomes. development target addressing unmet need HOUSING CHOICE IN DALLAS across housing type, owner or renter status Affordability for Renters and affordability. Demand is expected to grow for housing at price points affordable to those with incomes below $50,000 per year. There are currently more $50,000) is quite large, maintaining and improving occupied units affordable for households with housing quality and condition is a major concern annual incomes between $15,000 and $50,000 for the City. than there are actual households in that income bracket. Mismatches like this mean that some Rental housing unit needs are most pronounced for families are living above or below their bracket extremely low-income households, where demand when it comes to housing costs, with a portion far outstrips supply, and where residents earning less of rental housing being occupied by people with than $15,000 annually (less than 30% AMI) most incomes too low to comfortably afford their rental likely need public support to afford quality housing. payments or by those with incomes high enough There are almost twice as many households earning to afford a higher value home. Although the less than $15,000 per year than there are occupied supply of rental housing that is affordable to low units affordable at that level. For those making and moderate income households ($15,000 to less than $15,000 per year, rents above $400 per Future Rental Demand by Household Income Compared to Current Occupied Rental Housing 140,000 Estimated Occupied Housing Units Available at Income Level* 120,000 Households at Income Level, 2013 100,000 Projected Households at Income Level, 2020 80,000 * Assumes 30% of income is spent on housing. 60,000 40,000 20,000 0
HOUSING CHOICE IN DALLAS month are considered unaffordable. Many in the lowest income bracket are stretching to pay more Dallas has a high than 30% of their income in rent due limited options proportion of that price point. Some of these households may be reliant on housing subsidies that are not counted as middle- and upper- income on the U.S. Census. income renters, These mismatches between household incomes and households earning the current supply of housing affordable at each over $50,000 a year income level signal development opportunities for the construction of new rental housing aimed at low and or roughly 80% AMI. extremely low-income households. As these segments are expected to grow by 2020, there will continue to be a strong need for subsidized housing for those earning $15,000 or less (extremely low income, less than 30% AMI), some of which should be designed for the elderly and other vulnerable populations. Middle- and High-Income Renters Low-Income Owners City limits 0 - 78 City limits 0 - 50 79 - 141 DART station 51 - 104 DART station 142 - 228 DART line 105 - 180 DART line 229 - 394 181 - 319 395 - 1840 320 - 1057 [ 30 ] DRAFT - N E I G H B O R H O O D P L U S
Dallas should work with other governmental On the high end of the income spectrum, there agencies and low-income housing providers to are a small but significant number of upper-income develop strategies that will deliver additional rental households that find Dallas a desirable community options for extremely low-income households, those and choose to rent here despite the limited upscale earning less than $15,000 per year (less than 30% housing options in the rental market. This strongly AMI). These households are the most financially suggests a potential demand for additional high- strained, and safe, quality affordable housing is amenity rental units for the market to capture. Dallas HOUSING CHOICE IN DALLAS critical to maintaining family stability and reducing should work with the private, for-profit homebuilders the risk of homelessness and developers to develop strategies that identify and spur these housing market gaps. However, There are a sizeable number of moderate and many of these higher income households may middle income households (earning between choose to continue paying less than 30% of their $50,000 and $100,000) in Dallas who choose incomes on housing despite an increase in supply. to rent, but the existing rental housing stock Therefore, there will continue to be demand and affordable to this segment may not be sufficient. This competition for housing at price points affordable undersupply of housing for those in the moderate to moderate and middle income households from to middle income groups means that those families both directions. potentially face the dilemma of either choosing less desirable housing, or choosing housing that Affordability for Owners is too expensive relative to their income. In many While many people choose to rent, maintaining and cases, people may choose to move out of Dallas expanding the quality affordable homeownership to find a better housing choice in one of the options in Dallas is a crucial factor in creating, surrounding communities. This also represents an retaining and preserving stable and vibrant opportunity for new housing development in the neighborhoods throughout the city. Future City that caters to moderate and middle income homeownership housing needs, especially for the households who want the flexibility of renting and moderate and middle income households (earning the locational advantages of Dallas compared to between $50,000 and $100,000) are not so much more suburban locations. Future Owner Demand by Household Income Estimated Occupied Housing Units Available Compared to Current Occupied Owner Housing at Income Level, 2013 * Actual Owner Households at Income Level 60,000 Project Households at Income Level, 2020 50,000 * Assumes 30% of income is spent on housing. 40,000 30,000 20,000 10,000 0
HOUSING CHOICE IN DALLAS an issue of housing supply, which is sufficient for These higher-earning households are occupying current and future population projections, and more homes that would be affordable to families making an issue of neighborhood quality and desirability. less, thereby limiting the supply of housing affordable Neighborhood amenities, infrastructure and other to those of more modest incomes. targeted improvements like housing rehabilitation are detailed in the Goals, Strategies and Actions and Affordability for Vulnerable Populations will address these factors to make Dallas a more In addition to low and extremely low-income attractive place for moderate and middle income households, racial and ethnic minorities, the elderly, households and will build homeownership in Dallas, people with disability and mobility impairments, across the income spectrum. ex-offenders, individuals with HIV/AIDS, people experiencing homelessness and those at risk In the low and extremely low-income segments of homelessness are all groups who may need (households earning below $50,000 per year) there is additional support to find and retain quality housing. a relatively high rate of rental households compared to homeowners. This indicates a need to increase At 13.6%, Dallas has a lower percentage of homeownership for those families and individuals elderly residents (60 years and over) than the making less than $50,000 per year. Less expensive national average of 19%. This population, however, housing options could take the form of smaller single experiences cost burden in housing at twice the family homes, townhomes as well as condominiums. rate of the city as a whole. Texas has a high rate of Very few households at the lowest income levels disability (11.5%), but Dallas (at 9.7%) is below the (below 30% AMI) are likely able to afford a home state average.1 unless they are mortgage-free. This category includes seniors and retirees, who have paid off their homes Among the 50 states, Texas had the 4th highest and consequently have low housing costs. These homeless count in 2013.2 In Dallas, the homeless households typically face other affordability issues, count increased from 2,972 in 2013 to 3,314 in such as having sufficient resources to maintain their 2014, which included 22% who are currently working home in good repair or pay costly utility bills. and 24% who are ex-offenders. However, there has been a 65% drop in the number of chronically Households earning above $100,000 typically pay homeless people since 2005.3 less than 30% of their income on housing, so the mismatch between housing supply and demand at HIV/AIDS cases in Texas are down, with a total of this income level is less than analysis might suggest. 26,065 cases and a rate of 574 cases per 100,000 in Dallas County. The City of Dallas is second to Houston in the number of diagnoses of HIV/AIDS in the state.4 In 2014, 22% of Dallas’ homeless 1. Texas Workforce Investment Council. People with Disabilities: A Texas Profile, 2013. were employed. 2. U.S. HUD Annual Homeless Assessment Report to Congress, 2013. 3. MHDA Point-in-time Homeless Count and Census, 2014. 4. DSHS Texas HIV Surveillance Report, 2013 Annual Report. [ 32 ] DRAFT - N E I G H B O R H O O D P L U S
Opportunities for Change A thorough understanding of the elements that influence housing choice in Dallas point to opportunities and challenges that compel needed HOUSING CHOICE IN DALLAS changes. The six strategic goals and their related policies and actions outlined in the next chapter reflect these opportunities and challenges in Dallas’ neighborhoods. Many of the strategies work to alleviate the limitations to housing choice identified in the analysis, while others strive to build on Dallas’ existing assets through strategies not traditionally associated with housing policy, such as improving access to education, workforce training, and healthcare. Additionally, by analyzing future housing needs, the City can work towards more targeted growth by housing type. These targets will work to guide strategic investments and partnerships in the future to ensure a broad range of quality rental and ownership housing within the context of building healthy and sustainable neighborhoods. Neighborhood Revitalization Plan for Dallas - DRAFT [ 33 ]
The question is not whether we can afford to invest in every child; it is whether we can afford not to. ~ Marian Wright Edelman image credit: Mason Cooper
STRATEGIC GOALS, POLICIES AND ACTIONS
S T R AT E G I C G OA L S A Neighborhood-Oriented Approach to Change Place matters: upward To ensure long term sustainable growth and to mobility of adults can achieve a healthier city for all citizens, the City of Dallas must embark on a new approach be forecast by their that changes the way it delivers housing and childhood zipcode. neighborhood services. This chapter provides a comprehensive and strategic framework for this new approach. The intent is to influence how we allocate and leverage our resources, through effective deployment of both people-based and place-based strategies and programs, monitoring the results of city programs, expanding the range of programs to include the middle class, and partnering with the private, nonprofit, and other public agencies to ensure greater coordination and enhanced impact. Building partnerships that connect housing with education, health, transportation and economic empowerment can make real and lasting change in the lives of residents. Our city is stronger as a whole if all neighborhoods are healthy and stable. We need to work towards making sure our neighborhoods have the services and amenities to retain residents and families at all levels of income. We also need to find more effective ways to engage and empower neighborhoods to build coalitions to address common issues. Working at the neighborhood level allows coordination of efforts to better serve residents and improve the quality of life for people of all incomes, ages and abilities. It also fosters innovative solutions better suited to the needs of each neighborhood, while enabling effective programs to be adapted and replicated in other similar neighborhoods. [ 36 ] DRAFT - N E I G H B O R H O O D P L U S
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