Why Fair Housing Matters For Regional Economic Prosperity Danielle Bergstrom, Program Associate, PolicyLInk Jason Reece, Director of Research, The Kirwan Institute for the Study of Race & Ethnicity Southeast Michigan Fair Housing + Equity Summit Detroit, MI 11 December 2013

2 PolicyLink Introduction Mission PolicyLink is a national research and action institute advancing economic and social equity by Lifting Up What Works.® Our Work Founded in 1999, PolicyLink connects the work of people on the ground to the creation of sustainable communities of opportunity that allow everyone to participate and prosper. Such communities offer access to quality jobs, affordable housing, good schools, transportation, and the benefits of healthy food and physical activity. The Kirwan Institute: Solving Problems & Building Opportunity

3 Why Equity Matters Now Introduction The face of America is changing. Our population is rapidly diversifying. And By 2042, we will be a majority people-of-color nation. The fate of the nation hinges on how we invest in communities of color. As the country witnesses new extremes of inequality alongside the emergence of a new people‐of‐color majority, equity has become an economic imperative as well as a moral one. The way forward: an equity-driven growth model. To secure America’s prosperity, we must implement a new economic model based on equity, fairness, and opportunity. Regions are where this new growth model will be created. Regions are the key competitive unit in the global economy, and the level where strategies are being incubated that bring about robust job growth that is linked to low-income communities and communities of color.

4 Economists are finding a correlation between economic and racial inclusion and regional economic growth. Manuel Pastor, “Cohesion and Competitiveness: Business Leadership for Regional Growth and Social Equity,” OECD Territorial Reviews, Competitive Cities in the Global Economy, Organisation For Economic Co-Operation And Development (OECD), Manuel Pastor and Chris Benner, Been Down So Long: Weak-Market Cities and Regional Equity Retooling for Growth (New York: American Assembly and Columbia University, 2008).

5 Inequality is Bad for Sustained Economic Growth Introduction Source: Andrew Berg & Jonathan Ostry, International Monetary Fund

6 Economists have found that racial segregation and income inequality impedes economic mobility. Raj Chetty, Nathaniel Hendren, Patrick Kline, Emmanuel Saez, “The Equality of Opportunity Project,” University of California Berkeley and Harvard University, 2013.

Why Does Fair Housing Matter: Because Place Matters in Profound Ways “Point to a group of toddlers in a low-income neighborhood, and — especially if they’re boys — they’re much more likely to end up dropping out of school, struggling in dead-end jobs and having trouble with the law. Something is profoundly wrong when we can point to 2-year-olds in this country and make a plausible bet about their long-term outcomes — not based on their brains and capabilities, but on their ZIP codes.” Nick Kristof, “For Obama’s Second Term, Mr. President Start Here”. New York Times. January 23 rd 2013

Thriving Neighborhoods = Thriving Children Struggling neighborhoods = Struggling Children Opportunity structures are vital to combating the impact of poverty, creating strong neighborhoods and an environment in which children can become successful adults. Confronting the “wicked triangle” (family poverty, neighborhood poverty, broken opportunity structures). Neighborhood conditions and childhood development are intricately intertwined

Fair Housing, Place & Health

10 Segregation is Bad for Economic Mobility Introduction Detroit: 5.1%

11 The Region is Growing Increasingly Diverse Context Percent Change in People of Color by Census Block Group, 2000 to 2010

12 Sprawl Continues to Exacerbate Regional Inequity Context Average Travel Time to Work by Census Tract and High People of Color Tracts,

Typical Neighborhood Conditions for Various Racial Groups: Detroit Metro Area (Source: Brown University)

Neighborhood Opportunity Index: Detroit Metro Area (Source: The Kirwan Institute) Supported by the Kresge Foundation

Neighborhood Opportunity Index & Racial Isolation: Detroit Metro Area (Source: The Kirwan Institute) Supported by the Kresge Foundation

16 Advance Fair Housing as an Economic Growth Strategy Moving Forward Expand mobility options in higher opportunity neighborhoods - Focus on reducing barriers to affordable housing (zoning, parking requirements) - Establish affirmative marketing programs for low-income and people of color - Allocate transportation funds to jurisdictions that reduce barriers to fair housing - Focus transportation funding on transit to connect workers to job centers and schools Reinvest in high poverty communities -Create strategic reinvestment plans for high-poverty communities that leverage public, private, and philanthropic dollars - Build partnerships with community organizations and residents to prioritize highest need investments - Be dogged about measuring people and place-based outcomes of programs and funding to ensure that they are directly benefitting low-income communities of color

Investing in People Asset & Wealth BuildingK 12 School ReformMagnet SchoolsCivic & Youth EngagementMentoring & Leadership Training Job Training & Labor Force Development Reentry Programs for Ex Offenders Early Childhood Care & Education Services Family Supportive Services Investing in Places Vacant Land Redevelopment, Land Banking & Blight Removal Community Land Trusts & Housing Stabilization Community Development & Infrastructure Investments Coordinated Service Delivery for Service Providers & Organizations Foreclosure Prevention Small Business Development & Business Incubation Community Health Investments & Fresh Food Initiatives Improving Infrastructure and Open Space Community Crime Prevention & Supporting Safescapes Supporting Linkages Assuring Housing Mobility Through Regional Housing Strategies Supporting Fair Housing Enforcement Supporting Inclusionary Housing Development Developing Transit Infrastructure Pedestrian & Bicycle Infrastructure Investments Supporting Strong Professional & Business Networks Transit Oriented DevelopmentBus Rapid Transit Systems Developing Regional Greenways & Non Motorized Paths People, Places and Linkages: A Broader View of Fair Housing & Equity

18 Fair Housing & Our Society’s Health & Well Being: Raising Awareness of our Interdependence We are all caught up in an inescapable network of mutuality, tied in a single garment of destiny. Whatever effects one directly effects all indirectly. The Rev. Dr. Martin Luther King, Jr. -Letter from a Birmingham Jail, 1963

19 Contact Information Danielle Bergstrom PolicyLink Jason Reece The Kirwan Institute for the Study of Race & Ethnicity