Proposition 46: Analysis of Fund Expenditure and Areas of Overpayment Jesusa Romero Roberts McMullin City & Urban Planning 255 May 11, 2004

Presentation Overview Introduction of Proposition 46 Problem Statement Data Management Discussion of Maps Summary of Results

What is Proposition 46? Housing and Emergency Shelter Trust Fund Act (November 2002) 2.1 billion dollar bond to help fund the construction, rehabilitation, and preservation of affordable rental housing, emergency shelters, homeless facilities, and down payment assistance to low/moderate income first-time homebuyers Fund can be allocated into four primary programs

Proposition 46 Programs Multifamily Housing Programs (MHP) –1.11 billion dollars, about 53% of the total fund –The objective of this program is to provide funds for the construction of rental housing projects, such as apartment buildings, for low- income households

Proposition 46 Programs Homeownership Programs –405 million dollars, about 19% of the total fund –Money from this measure will be used to provide down payment assistance to homebuyers through low-interest loans and grants –Eligibility will be based on the household’s income, the cost of the home, and whether it is a first time purchase

Proposition 46 Programs Joe Serna, Jr. Farmworker Housing –200 million dollars, about 10% of the total fund –In this measure, funds will be used to provide loans and grants to the developers of housing for farm-workers –Funds will be awarded for both rental and owner-occupied housing.

Proposition 46 Programs Other Programs –385 million dollars, about 18% of the total fund –This measure will allocate funds for the construction of homeless shelters, payments to cities and counties based on their approval of housing units, provision of mortgage insurance for high-risk homebuyers, and capital needs of local code enforcement departments

Proposition 46 Programs Who is eligible to receive this help? –People who are paying 30% and over of household income on housing 53% 19% 18% 10% Multifamily Housing Homeownership Other Farmworker Housing

Problem Statement Where and how much of the awarded Proposition 46 funds have been allocated for the state California? Assess areas of affordable housing need: Where are areas of overpayment? Are the allocated funds reaching those in need of affordable housing? The Non-Profit Housing Association of Northern California (NPH) and the California Department of Housing and Community Development (HCD) seeks to answer the following questions:

Problem Statement Our group made a statewide assessment of Proposition 46 fund allocation, overlaid with data signifying areas of overpayment for each city in California. Our group further analyzed Proposition 46 funds and housing need focusing on four of the largest urban areas in California: the Bay Area, Sacramento, Los Angeles and San Diego.

Data Sources 1.Proposition 46 fund data from HCD –California Department of Housing and Community Development 2.Demographic data from the American Factfinder website (www. factfinder.census.gov) –H-69: Gross rent as a percent of household income 3.Spatial data from Professor John Radke –County, city, and tract shapefiles for California

HCD Prop 46 Fund Data Eleven Excel tables indicating sub-programs –Attribute information Location: County & City Amount of fund awarded Number of housing units awarded Project Name –Had to consolidate into five primary programs Multifamily Housing Program (MHP) Homeownership Programs (CalHome) Joe Serna, Jr. Farmworker Housing Program Other Programs – Exterior Accessibility Grants for Renters Local Housing Trust Fund Program (MHP)

Consolidation of Fund Programs Microsoft Access –Queries were created to link, join, and sum the sub- program data into the primary categories ArcGIS –Joins were performed in ArcMap to link fund attribute information to the shapefiles –Coverages were created for area and centroids Population Density & Fund Points

American Factfinder Census Data US Census Data –H69 - Gross Rent as a Percentage of Household Income in 1999: Gross rent as a percentage of household income in 1999 is a computed ratio of monthly gross rent to monthly household income (total household income in 1999 divided by 12) Data Extraction for Statewide assessment: manual extraction of H69 for all 58 counties (amounted to 387 cities) Data Extraction for Regional assessment: manual extraction of H69 (Bay Area Counties, Sacramento County, Los Angeles County, San Diego County: amounted to 4,342 tracts) Factfinder tables  Excel Spreadsheets  conversion to dbf files and joined to shapefiles via Microsoft Access

Statewide Maps

Multifamily Housing Program (MHP) Statewide Map

Homeownership Programs – CalHome Statewide Map

Joe Serna, Jr. Farmworker Housing Program Statewide Map

Local Housing Trust Fund Program Statewide Map

Other Programs – Exterior Accessibility Grants for Renters Statewide Map

Prop 46 Programs Combined Statewide Maps

Sacramento County Maps

San Diego County Maps

Bay Area County Maps

San Jose San Francisco Oakland Fremont San Mateo Central Contra Costa South San Francisco Bay Area Cities

Los Angeles County Maps

City of Los Angeles Los Angeles Cities

Long Beach – Lakewood Inglewood SouthwestGlendale Downey - Norwalk SW San Gabriel Valley Upper San Gabriel Valley Pasadena Burbank E San Gabriel Valley Los Angeles Cities

Summary

Proposition 46: Totals & Percents

Summary Analysis of statewide and regional levels show that the Sacramento, Bay Area, Los Angeles, and San Diego have the highest amount of people overpaying for housing As a result, these four areas receive the most amount of Proposition 46 support Cities located below the line of regression could possibly be areas to receive future funding

Acknowledgements! Professor John Radke Geeta Tadavarthy Paul Dirksen Nicki Monteverde Heather Hood Darin Jensen

Questions?