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					   Housing Profile &
 Needs Assessment


          YourCounty, Kansas
             City of YourCity
                  Month Year




           Prepared in conjunction with
FHLBank Topeka’s Rural Technical Assistance Program
           This report has been prepared by
Melissa Miller-Atwood, Community Programs Specialist
                   FHLBank Topeka
  PO Box 176, One Security Benefit Place, Suite 100
                 Topeka, Kansas 66601
                785.233.0507, ext. 6031

 in conjunction with the YourCity Housing Partnership

           Insert local contact information
TABLE OF CONTENTS

Introduction __________________________________________________________ 10
Executive Summary ____________________________________________________ 11
  Community Profile _________________________________________________________ 11
  Market Area ______________________________________________________________ 11
  Demographic Profile _______________________________________________________ 11
  Economic Profile __________________________________________________________ 12
  Housing Profile ____________________________________________________________ 12
  Housing Resources and Public Policies ________________________________________ 13
  Housing Needs and Opportunities ____________________________________________ 13
Demographic Profile ___________________________________________________ 14
  Population ________________________________________________________________ 14
    Age Structure ___________________________________________________________________ 15
    Race and Ethnicity _______________________________________________________________ 17
    Level of Education _______________________________________________________________ 18
  Households, Families and Group Quarters _____________________________________ 20
    Household Tenure _______________________________________________________________ 21
    Age of Householder ______________________________________________________________ 26
  Income ___________________________________________________________________ 27
  Special Needs Population____________________________________________________ 33
    Low-income Households __________________________________________________________ 33
    Elderly/Disabled Population _______________________________________________________ 37
Economic Profile ______________________________________________________ 41
  Employment ______________________________________________________________ 41
  Earnings _________________________________________________________________ 49
  Major employers __________________________________________________________ 54
Housing Profile _______________________________________________________ 57
  Housing Supply ___________________________________________________________ 57
    Occupancy and Tenure ___________________________________________________________ 57
    Freestanding Mobile Homes and Mobile Home Parks ___________________________________ 63
    Market-rate Rentals ______________________________________________________________ 64
    Downtown Housing ______________________________________________________________ 66
    Homeownership Opportunities _____________________________________________________ 66
    Absorption of Newly Constructed Apartments _________________________________________ 71
  Special Needs Housing ______________________________________________________ 71
    Government Subsidized Housing ____________________________________________________ 72
    Section 8 Housing Choice Vouchers _________________________________________________ 73
    College Dormitories ______________________________________________________________ 74
    Housing for the Disabled __________________________________________________________ 75
    Housing for the Elderly ___________________________________________________________ 76
    Shelter for the Homeless __________________________________________________________ 78

                                            1
  Housing Adequacy _________________________________________________________ 79
    Blighting Conditions in the Neighborhood ____________________________________________ 81
    Substandard Housing Units in Need of Repair _________________________________________ 82
    Rehab Efforts ___________________________________________________________________ 82
  Housing Affordability ______________________________________________________ 85
    Owner-Occupied Housing _________________________________________________________ 85
    Renter-occupied Housing __________________________________________________________ 91
Housing Resources and Public Policies ____________________________________ 98
  Housing Developers Active in the Community __________________________________ 98
  Homebuilders/Contractors in the Community __________________________________ 98
    Electrical Contractors_____________________________________________________________ 99
    Plumbing, Heating, & Air _________________________________________________________ 99
    Remodeling Companies ___________________________________________________________ 99
    Demolition Companies ___________________________________________________________ 99
    Builders and Distributors of Manufactured Housing _____________________________________ 99
  Nonprofit Housing Providers _______________________________________________ 100
  Real Estate Firms _________________________________________________________ 100
  Residential Mortgage Lenders ______________________________________________ 100
  High Schools, Vo-techs, Colleges and Universities ______________________________ 101
  Housing and Credit Counseling Agencies in the Community _____________________ 101
  City/County Government __________________________________________________ 101
    City Officials __________________________________________________________________ 101
    City Council ___________________________________________________________________ 101
    Planning Commission ___________________________________________________________ 102
    Utility Companies ______________________________________________________________ 102
    Development Review/Building Permit Process ________________________________________ 102
    Summary of Development Incentives Offered _________________________________________ 102
    Housing Partnership Mission ______________________________________________________ 103
    Members of the Partnership _______________________________________________________ 103
Housing Needs and Opportunities _______________________________________ 104
  Maintenance of Existing Stock ______________________________________________ 104
    Demolition of Dilapidated Units ___________________________________________________ 104
    Repair of Substandard Housing Units _______________________________________________ 105
  New Construction of Additional Stock________________________________________ 108
    Renter-Occupied Housing Needs ___________________________________________________ 108
    Special Needs Housing Opportunities _______________________________________________ 110
    Owner-occupied Housing Needs ___________________________________________________ 112
    Homeownership Opportunities ____________________________________________________ 115
References __________________________________________________________ 118
Glossary ____________________________________________________________ 121
Appendixes __________________________________________________________ 141




                                             2
LIST OF TABLES

Table 1.1 Population by Age Group (2000).......................................................................16
Table 1.2 Race and Hispanic Origin (2000) ......................................................................17
Table 1.3 Educational Attainment (2000) ..........................................................................18
Table 1.4 Change in Residency (1995 - 2000) ..................................................................19
Table 1.5 Tenure by Household Type (2000) ....................................................................21
Table 1.6 People Living in Group Quarters (2000) ...........................................................23
Table 1.7 People Per Household by Tenure in YourCity (1990 - 2000) ...........................24
Table 1.8 Tenure by Age of Householder in YourCity (1990 - 2000) ..............................26
Table 1.9 Household Income Levels (1999) ......................................................................27
Table 1.10 Growth in Household Income by Tenure (1989 -1999) ..................................29
Table 1.11 Age of Householder by Household Income (1999) .........................................31
Table 1.12 CYR Adjusted Median Family Income in YourCounty ..................................32
Table 1.13 Estimated LMI Households in YourCity (1999) .............................................33
Table 1.14 Income Assistance Recipients in YourCounty (2002 -2003) ..........................34
Table 1.15 2002 Poverty Thresholds in the United States .................................................35
Table 1.16 People below the Poverty Level (1999) ...........................................................36
Table 1.17 SSI Recipients in YourCounty (2000-CYR) ...................................................38
Table 1.18 Disability Status of Non-institutionalized People (2000) ................................39
Table 2.1 Labor Force Status (2000) .................................................................................41
Table 2.2 Travel Time to Work (2000) ..............................................................................43
Table 2.3 County Destination for Commuting Employees (1970-1990) ...........................44
Table 2.4 Growth in the YourCounty Labor Force (1993-2002).......................................45
Table 2.5 Employment by Type of Job in YourCounty (1997-2001)................................47
Table 2.6 Employment by Industry in YourCounty (1998-2002) .....................................48
Table 2.7 Employment by Occupation (2000) ...................................................................49
Table 2.8 Average Earnings Per Job in YourCounty (1997-2001) ....................................50
Table 2.9 Number of Workers Per Family in YourCity (1999) .........................................51
Table 2.10 Wages by Industry in YourCounty (1998 - 2002) ...........................................52
Table 2.11 Top 10 Occupational Categories with Average Wages (2003) .......................53
Table 2.12 Major Employers in the YourCity Area ..........................................................54
Table 2.13 Estimated Growth in Employment (–2001 – CYR+3) ....................................56
Table 3.1 Occupancy and Tenure (2000) ...........................................................................58
Table 3.2 Tenure by Units in Structure for YourCity (2000) ............................................60
Table 3.3 Tenure by Bedroom Count in YourCity (2000).................................................61
Table 3.4 Building Permits Issued (1990 to Present) ........................................................62
Table 3.5 Availability in Mobile Home Parks ...................................................................64
Table 3.6 Availability in Market-Rate Rental Units ..........................................................65
Table 3.7 Residential Sales Market Activity from CYR-4 - CYR ....................................67
Table 3.8 Residential Units for Sale in Month, Year .........................................................67
Table 3.9 Residential Lots for Sale in Month, Year ..........................................................68
Table 3.10 Availability of First-time Homebuyer Incentives ............................................69
Table 3.11 Availability in Government-Subsidized Rental Projects .................................72
Table 3.12 Availability in College Dormitories ................................................................74
Table 3.13 Wheelchair-accessible Rental Housing Units ..................................................75

                                                          3
Table 3.14 Group Homes for People with Disabilities ......................................................76
Table 3.15 Housing Options for the Elderly ......................................................................77
Table 3.16 Tenure by Year Structure Built as Reported in 2000.......................................79
Table 3.17 Housing Quality Characteristics (2000) ..........................................................80
Table 3.18 Rehab Permits Issued (2000 – 2004) ...............................................................83
Table 3.19 Availability of Rehab Programs in YourCity ..................................................84
Table 3.20 Value of Specific Owner-occupied Units (2000) ............................................86
Table 3.21 Monthly Mortgage Cost (2000) .......................................................................87
Table 3.22 Owner Costs as a Percentage of Household Income (1999) ............................89
Table 3.23 CYR Homeownership Affordability Standards ...............................................90
Table 3.24 Affordability Gap for Owner-occupied Units in YourCity .............................91
Table 3.25 Gross Rent by Bedrooms in YourCity (2000) .................................................92
Table 3.26 Renter Costs as a Percentage of Household Income (1999) ............................94
Table 3.27 CYR Rental Affordability Standards ...............................................................94
Table 3.28 Income Needed to Afford Rent (CYR) ............................................................95
Table 3.29 Affordability Gap for Renter-occupied Units in YourCity..............................96
Table 4.1 Local Housing and Land Use Regulations ......................................................102
Table 5.1 Housing Units Needing Demolition in YourCity by CYR+3 ..........................104
Table 5.2 Housing Units Needing Rehabilitation in YourCity by CYR+3 .....................105
Table 5.3 Rehabs Requiring Subsidy and Amount Needed by CYR+3 ..........................106
Table 5.4 Renter-occupied Housing Demand through CYR+3 .......................................108
Table 5.5 Projected Rental Units Needed by Costs in CYR+3 .......................................109
Table 5.6 Potential Units Needed for Elderly Renters in CYR+3 ...................................111
Table 5.7 Owner-occupied Housing Demand through CYR+3 .......................................112
Table 5.8 Projected Owner Units Needed by Cost in CYR+3 .........................................113
Table 5.9 Potential Move-Up Buyers in YourCity ..........................................................114
Table 5.10 Potential First-time Homebuyers in YourCity ...............................................116
Table 5.11 Potential Market for Alternative Financing ...................................................117
and Credit Counseling......................................................................................................117




                                                             4
LIST OF FIGURES


Figure 1.1 Growth in Total Population (1980 - CYR+3)...................................................14
Figure 1.2 Percentage of Population with Diploma or Degree (2000) ..............................19
Figure 1.3 Growth in Total Households (1990 - CYR+3) .................................................20
Figure 1.4 Average Household and Family Size (2000)....................................................24
Figure 1.5 Average Household Size by Tenure (2000) .....................................................25
Figure 1.6 Growth in Median Household Income (1989 - CYR+3) ..................................30
Figure 1.7 FY 2003 Median Family Income .....................................................................32
Figure 2.1 Place of Work in YourCity (2000) ...................................................................42
Figure 2.2 Unemployment Rates (1993-2002) ..................................................................46
Figure 3.1 Vacancy Rates (2000).......................................................................................59
Figure 3.2 Mobile Home Park ...........................................................................................64
Figure 3.3 Apartment Buildings ........................................................................................65
Figure 3.4 Duplexes ...........................................................................................................66
Figure 3.5 Single-family Rentals .......................................................................................66
Figure 3.6 House for Sale ..............................................................................................68
Figure 3.7 House for Sale ..............................................................................................68
Figure 3.8 Apartment Building ..........................................................................................73
Figure 3.9 Apartment Building ..........................................................................................73
Figure 3.10 College Dormitory ..........................................................................................74
Figure 3.11 Group Home ...................................................................................................76
Figure 3.12 Independent Living Facility ...........................................................................76
Figure 3.13 Condominium or Cooperative ........................................................................78
Figure 3.14 Independent Living Facility ...........................................................................78
Figure 3.15 Assisted Living Facility..................................................................................78
Figure 3.16 Skilled Nursing Facility..................................................................................78
Figure 3.17 Homeless Shelter ............................................................................................79
Figure 3.18 Dilapidated House ......................................................................................82
Figure 3.19 Dilapidated House ......................................................................................82
Figure 3.20 Substandard House .....................................................................................82
Figure 3.21 Substandard House .....................................................................................82
Figure 3.22 Renovated House ........................................................................................83
Figure 3.23 Renovated House ........................................................................................83
Figure 3.24 Growth in Median Mortgage Costs (1989 to CYR+3) ...................................88
Figure 3.25 Growth in Median Gross Rent (1989 – CYR+3)............................................93




                                                               5
TABLE OF ABBREVIATIONS AND ACRONYMS

AFDC          Aid to Families with Dependent Children (Cf. TANF)
AHP           Affordable Housing Program
AHS           American Housing Survey
AMI           Area Median Income

BMIR          Below-Market Interest Rate

CD            Community Development
CDBG          Community Development Block Grant
CDC           Community Development Corporation
CDFI          Community Development Financial Institution
CDP           HUD Office of Community Planning and Development
CED           Community Economic Development
CHAP          Comprehensive Homeless Assistance Plan
CHAS          Comprehensive Housing Affordability Strategy
CHDO          Community Housing Development Organizations
CICA          Community Investment Cash Advance
CIP           Community Investment Program
CIP           Capital Improvement Plan
Comp Grants   Public and Indian Housing Modernization (formerly CIAP)
ConPlan       Consolidated Plan
CPI           Consumer Price Index
CRA           Community Reinvestment Act
CRAN-GONZ     Cranston-Gonzalez National Affordable Housing Act

DOL           Department of Labor

EC            Enterprise Communities
EDA           Economic Development Administration (U.S. Dept. of Commerce)
EDI           Economic Development Initiative
ELIHPA        Emergency Low-Income Housing Preservation Act of 1987
EPA           Environmental Protection Agency
ESG           Emergency Shelter Grant
EZ            Empowerment Zone

FHA           Fair Housing Act
FHA           Federal Housing Administration
FHAA          Fair Housing Amendments Act
FHEO          HUD Office of Fair Housing and Equal Opportunity
FHFB          Federal Housing Finance Board
FHLBank       Federal Home Loan Bank
FHLMC         Federal Home Loan Mortgage Corporation (Freddie Mac)
FMR           Fair Market Rent
FNMA          Federal National Mortgage Association (Fannie Mae)
FSS           Family Self-sufficiency Program

GNMA          Government National Mortgage Association (Ginnie Mae)
GSE           Government Sponsored Enterprise

HAP           Housing Assistance Payment
HOME          HOME Investment Partnerships Program
HOPE          Homeownership and Opportunity for People Everywhere
HOPE I        HOPE for Public and Indian Housing Homeownership


                                              6
HOPE II    HOPE for Homeownership of Multifamily Units
HOPE III   HOPE for Homeownership of Single Family Homes
HOPE VI    Revitalization of Severely Distressed Public Housing
HOPWA      Housing Opportunities for People with AIDS
HUD        Department of Housing and Urban Development

IDA        Individual Development Account
IHBG       Indian Housing Block Grant
IRP        Interest Reduction Payment
ITAP       Intermediary Technical Assistance Grant

LHPRHA     Low Income Housing Preservation and Resident Homeownership Act
LIHTC      Low Income Housing Tax Credit
LMI        Low- and Moderate-income Areas

MAHRAA     Multifamily Assisted Housing Reform and Affordability Act of 1997
MRB        Mortgage Revenue Bonds
MSA        Metropolitan Statistical Area

NAHASDA    Native American Housing Assistance and Self Determination Act
NAHBG      Native American Housing Block Grant
NHP        National Housing Partnership
NIMBY      Not in My Backyard
NOFA       Notice of Funding Availability

OFHEO      Office of Federal Housing Enterprise Oversight
OMHAR      Office of Multifamily Housing Assistance Restructuring

PHA        Public Housing Agency
PHAS       Public Housing Assessment System
PIH        HUD Office of Public and Indian Housing
PILOT      Payment in Lieu of Taxes
PITI       Principal, Interest, Taxes and Insurance
PMI        Private Mortgage Insurance
PUD        Planned Unit Development

RFHP       Rural First-time Homebuyer Program
RAB        Resident Advisory Board
RAP        Rental Assistance Payment
RFP        Request for Proposals

SEMP       Section 8 Management Assessment Program
SRO        Single Room Occupancy
SS         Social Security
SSA        Social Security Administration
SSDA       Social Security Disability Administration
SSI        Supplemental Security Income

TANF       Temporary Assistance for Needy Families
TOP        Tenant Opportunity Program
TOP        Targeted Ownership Program (FHLBank Topeka)

USDA-RD    United States Department of Agricultural – Rural Development

VA         Department of Veterans Affairs


                                             7
How To Use This Guide
This guide was created specifically to assist communities in the states of Colorado,
Kansas, Nebraska and Oklahoma in developing a housing profile and needs assessment.
Instructions, which are highlighted in yellow, are provided to assist with this task.

Deleting Highlighted Instructions - Once the report is completed and reviewed, the
yellow-highlighted instructions may be deleted by holding the right button on your mouse
and dragging the cursor over the text to be deleted. Once the section to be deleted is
highlighted, click on delete.

Adding Your City and County Name and the Current Year - To begin, pull down the
Edit menu to Replace. On the Find and Replace bar, click Replace. In the space provided
next to Find what, type in "YourCity" (no space), and then in the space provided next to
Replace With, type in the name of your city. Click on Replace All to the left of the
information you have typed. A notice will appear that Microsoft Word has completed the
search and replacement to the end of the document. It will then ask if you would like to
continue the search and replacement at the beginning of the document. Continue
replacement until the function has been completed for the entire document.

Repeat the process, entering "YourCounty" (no space) in the Find What space and then
the name of your county in the Replace With space. For instance, type "Texas County" in
the space following Replace With. Click on Replace All again and continue the search
and replacement function for the entire document.

Repeat the process, entering "CYR+3" (no spaces) in the Find What space and then the
numerical current year plus three years to delineate the projection period in the Replace
With space. For instance, type "2007" (2004+3) in the space following Replace With.
Click on Replace All and continue the search and replacement function for the entire
document. NOTE: The term CYR+3 must be changed before the term CYR or the result
will be a numerical equation that will have to be changed manually.

Repeat the process, entering "CYR" in the Find What space and then the numerical
current year in the Replace With Space. For instance, type "2004" in the space following
Replace With. Click on Replace All again and continue the search and replacement
function for the entire document.

Although these functions change the appropriate names and numerical figures in the text
of the entire document, it will not replace the terms in datasheets associated with figures
within the document. Therefore, specific instructions have been included in the guide
where special attention is needed in replacing these terms.

Updating Table of Contents Page Numbers - To update page numbers in the Table of
Contents, List of Tables and List of Figures after the report is completed, place your
cursor anywhere within the table of contents and click once. The table of contents will be
highlighted in gray. Push the F9 key and select the Update page numbers only option.

                                             8
This will automatically update page numbers for you. Do not select Update entire table
unless you have added, deleted or changed headings. If you do need to select this option,
reformatting of these tables may be required.




                                            9
Introduction
A comprehensive housing database and community housing profile was undertaken to identify
the local housing situation and the consumers, institutional structure, public and private
resources and relevant public policies affecting housing. Members of the YourCity Housing
Partnership, a public/private partnership created to build a healthy, vital community by
making available more affordable housing, volunteered their time to gather this information
and used the Kansas Housing Needs Assessment Guide.

The guide was developed by Melissa Miller-Atwood, community programs specialist at
FHLBank Topeka, to aid communities in gathering housing information and identifying
housing resources. It simplifies the process of conducting a housing needs assessment via a
systematic methodology. The first step was the collection of federal and state data via the
Internet. Next, workgroups were formed to gather local information using pre-designed
worksheets and surveys. Finally, a meeting was held to discuss the collected data and to
identify and fill any gaps in information before the final report was completed.

By outlining current conditions and recent trends, the resulting Housing Profile and Needs
Assessment gaining information about needs and resources in the community. The report can
now be used for the following purposes:

   Creating awareness of local housing and economic development conditions

   Establishing action plans for community housing development and promotion

   Documenting market feasibility to housing developers, lenders and appraisers

   Making community-to-community comparisons of housing issues and needs

   Obtaining funding from federal, state and other sources




                                             10
   Executive Summary
   Community Profile

   Insert a map of your community. MapQuest is a great source of locator maps of your site,
   community or surrounding region. The Web site address where you can access a variety of
   maps is http://www.MapQuest.com. Once you have reached the home page, type in your city
   and state under Get a U. S. Map and click Get Map..You can customize the map by scaling it
   to a regional level or to a city or street view using the Zoom In/Zoom Out feature to the right
   of the map. The third or fourth bar from the top creates a good city-level map and the seventh
   bar creates a good regional map. To save the map, right click on the map, then Save Picture
   As, and save in your files, then insert a community map in this section and a county/regional
   map in the next section.

   What is the history of your community and county? What has driven the local economy, i.e.
   agriculture, industry, services, retail or manufacturing? Discuss the climate, general
   government, modes of transportation and distance to major cities. What are the educational
   resources, medical facilities, recreational facilities and other attractions within the community
   or area?

   Market Area
   Insert map of the market area.

   Describe location of the county within the state and in proximity to natural amenities (lakes,
   rivers, mountain ranges, etc.). What is the county seat? What is the largest city in the county?
   What is the urban or economic center? Where are the majority of the county’s largest
   employers located? What other incorporated towns are in the county? What percentage of the
   population in the county is concentrated in the community? Where are the residential,
   commercial and industrial areas within the community? What major roads traverse through
   the community and connect to major cities? Is any expansion of infrastructure planned that
   will make the community more accessible? What smaller communities lie closer to your
   community than other larger communities, i.e., what is your market area?


   Demographic Profile
                                                Summarize findings from the Population section
Population                                      of the Demographic Profile chapter.




                                                  11
                         Summarize findings from the Households section
Households               of the Demographic Profile chapter.



                          Summarize findings from the Income section of
 Income                   the Demographic Profile chapter.



                          Summarize findings from the Special
 Special Needs/Elderly    Needs/Elderly section of the Demographic
                          Profile chapter.




   Economic Profile
                          Summarize findings from the Employment
 Employment               section of the Economic Profile chapter.



                          Summarize the findings from the Earnings
                          section of the Economic Profile chapter.
 Earnings


                          Summarize the findings from the Major
                          Employer section of the Economic Profile
 Major Employers          chapter.




   Housing Profile

                         Summarize findings from the Housing Supply
Housing Supply           section of the Housing Profile chapter.




                           12
                                            Summarize findings from the Special Needs
Special Needs Housing                       Housing section of the Housing Profile chapter.



                                            Summarize findings from the Housing
Housing Adequacy                            Adequacy section of the Housing Profile
                                            chapter.


                                            Summarize findings from the Housing
Housing Affordability                       Affordability section of the Housing Profile
                                            chapter.

                                            Optional: Summarize findings from the Housing
Housing Intentions and Preferences          Intentions and Preferences section of the Housing
                                            Profile chapter if your community has opted to
                                            undertake such a survey.


   Housing Resources and Public Policies
   Summarize findings from the Housing Resources and Public Policies chapter.


   Housing Needs and Opportunities
   Summarize findings from the Housing Needs and Opportunities chapter.




                                              13
Demographic Profile
A demographic profile analyzes the population in need of housing. Household composition,
income status and special needs have been examined by accessing census data and other
information available at the federal and state level for YourCity, YourCounty and the state of
Kansas. The population is segmented by age group, racial and ethnic status, educational
attainment and mobility. Households are presented by type, number of people in the unit and
age of the householder. Income is examined by comparing household and family income by
age and tenure compared to state and federal benchmarks. Finally, the number of low-income
households, assistance recipients, people in poverty, elderly and disabled people/households
are identified to create a picture of the special needs population.

Population
Demographic factors such as age, race and educational attainment contribute to differences in
consumer preferences or tastes in regards to housing. These preferences can manifest into
housing decisions about the type of structure and a household's choice to rent or own.

                Figure 1.1 Growth in Total Population (1980 - CYR+3)


    1
               1     1              1     1               1     1       1   1         1   1
    1
    1
                                                                                                 YourCity
    1
                                                                                                 YourCounty
    0
    0
    0
               1980                  1990                 2000       CYR Estimate    CYR+3
                                                                                    Projection

Source: U.S. Bureau of the Census: 1980, 1990 and 2000 Census



Figure 1.1 shows the growth trend in the population in YourCity and YourCounty from 1980
to 2000. In addition, current year estimates and three-year projections based on the growth
factor from 1990 to 2000 are included for comparison.

Double click on the above figure and change the fifth column heading in the datasheet to
reflect the current year. Change the sixth column heading to reflect the current year plus three
(Ex. 2004+3=2007). Replace YourCity and YourCounty row headings with appropriate
names (the replace function used to insert the name of your city and county into the text of this
guide does not replace similar labels in the datasheets). Insert the 2000 Census data from

                                                                14
Table DP-1. Profile of General Demographic Characteristics: Total Population. Repeat using
1990 Census data. Insert the census data for 1980 from the Kansas County Profile Report,
Kansas Center for Community Economic Development if available. Estimate the current
population using a straight line projection formula for YourCity and YourCounty based on the
growth rate in the 1990s (((2000 Population - 1990 Population) / 1990 Population / 10 *
(number of years since the 2000 Census)) * 2000 Population + 2000 Population). Then
calculate the three-year projection ((2000 Population - 1990 Population) / 1990 Population /
10 * (number of years since the 2000 Census + 3) * 2000 Population + 2000 Population). Hit
Escape to close the datasheet.

Discuss the trend in the population in YourCity over the past 20 years including percentage
growth or decline. Has the population trend changed from one decade to the next? Contrast
trends in the YourCity population with YourCounty. Compare to the statewide growth of 8.5
percent in the 1990s. To what do partnership members attribute growth or decline? Based on
the growth rate in the 1990s, report the estimated current population and projected population
in three years. Compare these figures with the projections provided by a national demography
company such as Claritas, Inc. Discuss differences in the two projections.


Age Structure
Throughout our nation’s history, the age structure of the population has been a pyramid, with a
wide base representing a large share of babies born and a narrowing midsection rising to a
pinnacle depicting the few who survived to old age. This was the nation’s population structure
as recently as 1970. The nation’s communities and housing were designed for this population.
More recently, however, the population pyramid is moving toward a population pillar, as
fertility rates steadily decline and healthcare advances assist more people to achieve old age.
Given this trend toward an increasing elderly population, it has become more important to
focus on age-based differences in housing.




                                             15
                                  Table 1.1 Population by Age Group (2000)
                                      YourCity                  YourCounty            Kansas
                              Number             Percent   Number     Percent   Number      Percent
Under Age 5                                                                     188,708        7
Age 5-9                                                                         195,574        7
Age 10-14                                                                       204,018        8
Age 15-19                                                                       210,118        8
Age 20-24                                                                       190,167        7
Age 25-34                                                                       348,853        13
Age 35-44                                                                       420,351        16
Age 45-54                                                                       354,147        13
Age 55-59                                                                       121,645        5
Age 60-64                                                                        98,608        4
Age 65-74                                                                       175,916        7
Age 75-84                                                                       128,543        5
Over Age 85                                                                      51,770        2
    Over Age 65                                                                 356,229        13
Total Population                                    -                    -      2,688,418      -
Median Age                                          -                    -        35.2         -
Source: U.S. Bureau of the Census, 2000 Census



Table 1.1 shows the age distribution of the total population in YourCity, YourCounty and the
state as reported in the 2000 Census. The age classification is based on the age of the person in
complete years as of April 1, 2000, usually derived from date of birth information reported on
the census questionnaire. The median divides the age distribution into two equal parts: one-
half of the cases falling below the median age and one-half above the median.

Insert the census data from Table DP-1. Profile of General Demographic Characteristics:
SEX AND AGE including census number and percent. Round the percent to the closest whole
number.

Discuss the median age in YourCity and YourCounty in comparison to the state median. Of
the total population in YourCity in 2000, what percentage were children (under 20 years),
young adults (20-44 years of age), older adults (45-64 years of age) and elderly (over 64
years)? Compare percentages in YourCity with YourCounty and the state. Which age groups
gained population and which lost population from 1990 to 2000? What could be the cause of
the growth or decline in age groups?



                                                           16
Race and Ethnicity
Households in rural areas tend to be less racially diverse than in the nation as a whole. The
most significant trend in rural areas is the explosive growth in the number of Hispanic
households. This is attributable to immigration fueled by our nation’s economy, which has
created an increasing demand for low-wage labor particularly in agriculture, production and
service industries. However, this increase has created housing challenges since these
households experience inadequate housing at twice the rate for all nonmetro households.

                                 Table 1.2 Race and Hispanic Origin (2000)
                                            YourCity              YourCounty             Kansas
                                    Number       Percent        Number   Percent   Number      Percent
White                                                                              2,313,944      86
Black/African Amer.                                                                154,198        6
Indian/Alaska Native                                                                24,936        1
Asian                                                                               46,806        2
Native Hawaiian                                                                     1,313         0
Some Other Race                                                                     90,725        3
Two or more races                                                                   56,496        2
    Hispanic or Latino                                                             188,252        7
Total Population                                       -                    -      2,688,418      -
Source: U.S. Bureau of the Census, 2000 Census


Table 1.2 shows the distribution of the population among races as reported in the 2000
Census. It also reports people of Hispanic or Latino origin of any race. The concept of race as
used by the Census Bureau reflects self-identification by people according to the race or races
with which they most closely identify. The categories are socio-political constructs and should
not be interpreted as being scientific or anthropological in nature. People who identify with the
terms “Hispanic” or “Latino” are those who classify themselves in one of the specific
Hispanic or Latino categories listed on the census questionnaire — “Mexican,” “Puerto
Rican” or “Cuban” — as well as those who indicate that they are “other Spanish, Hispanic or
Latin.” Origin can be viewed as the heritage, nationality group, lineage or country of birth of
the person or the person’s parents or ancestors before their arrival in the United States. People
who identify their origin as Spanish, Hispanic or Latin may be of any race.

Insert the census data from Table DP-1. Profile of General Demographic Characteristics:
RACE and HISPANIC OR LATINO AND RACE including number and percent. Round the
percent to the closest whole number. Use the first set of data under RACE. Do not use the data
under Race alone or in combination with one or more other races.

Discuss the distribution of the population among races and those of Hispanic or Latino origin
in YourCity and YourCounty. Compare the percentages to that in the state. Which racial and
ethnic groups gained population and which lost population from 1990 to 2000? (NOTE: Two

                                                           17
or more races was a new racial category added for the 2000 Census). What does this indicate
in regards to the need for culturally sensitive or Spanish-translated services and materials that
support housing development?


Level of Education
The educational attainment of a city’s population will be reflected in employment and
earnings opportunities. This, in turn, correlates with potential wealth and the ability of families
to make large investments such as purchasing a home.

                                   Table 1.3 Educational Attainment (2000)
                                                 YourCity         YourCounty            Kansas
                                             Number   Percent   Number   Percent   Number      Percent
Less than 9th Grade                                                                 88,124          5
 th       th
9 - 12 Grade, No Diploma                                                           149,675          9
High School Graduate                                                               507,612       30
Some College, No Degree                                                            417,722       25
Associate Degree                                                                    99,096          6
Bachelor’s Degree                                                                  290,271       17
Graduate or Prof. Degree                                                           148,707          9
Persons 25 Years & Over                                     -               -      1,701,207        -
Source: U.S. Bureau of the Census, 2000 Census



Table 1.3 shows the highest degree or level of school completed for people 25 years of age
and older. The category “associate degree” includes people whose highest degree required two
years of college level work in an occupational program that prepared them for a specific
occupation or an academic program primarily in the arts and sciences. Graduate or
professional degree includes the traditional MA and MS degrees as well as field-specific
degrees. Some examples of professional degrees include medicine, dentistry, pharmacy,
veterinary medicine, law and theology. Vocational and technical training for a specific trade
are excluded from this category.

Insert the census data from Table DP-2. Profile of Selected Social Characteristics:
EDUCATIONAL ATTAINMENT including number and percent. Round the percent to the
closest whole number.

Discuss the distribution of the population achieving various levels of education. Compare the
percentages in YourCity to that in the county and state. Were significant gains or losses seen at
certain educational levels? Does this data coincide with the proximity of institutions of higher
learning to YourCity?



                                                       18
   Figure 1.2 Percentage of Population with Diploma or Degree (2000)
           90.0                                        86.0
           80.0
           70.0
                                                                                                     YourCity
           60.0
           50.0                                                                                      YourCounty
           40.0                                                                                      Kansas
           30.0                                                                            25.8
           20.0
                              10.0        10.0                          10.0      10.0
           10.0
            0.0
                         High School Graduate or Higher                Bachelor's Degree or Higher

Source: U.S. Bureau of the Census, 2000 Census of Population


Figure 1.2 shows the percentage of the population in YourCity, YourCounty and the state who
have attained a high school diploma or bachelor’s degree as reported in the 2000 Census.

Double click on the above figure and replace YourCity and YourCounty row headings in the
datasheet with appropriate names. Insert the census data from Table DP-2 Profile of Selected
Social Characteristics: EDUCATIONAL ATTAINMENT. Do not round to the nearest whole
number — report the percentages as shown in the census data. Hit Escape to close the
datasheet.

Discuss the percentage of the population with various levels of education in YourCity and
YourCounty in comparison to the state. Identify changes in the portion of the population with
a high school diploma and bachelor’s degree from 1990 to 2000.

                                 Table 1.4 Change in Residency (1995 - 2000)
                                              YourCity                YourCounty                 Kansas
                                           Number Percent           Number Percent          Number Percent
Lived in Same House                                                                        1,310,009    52
Lived in Different House                                                                   1,138,888    46
   Same County                                                                              606,365     24
   Different County                                                                         532,523     21
      Same State                                                                            255,737     10
      Different State                                                                       276,786     11
Elsewhere (Abroad)                                                                          51,463       2
Population 5 Years & Over                                      -                  -        2,500,360     -
Source: U.S. Bureau of the Census, 2000 Census



Table 1.4 shows changes in residency of the population five years of age and over for the
period 1995 to 2000. The migration trends for the population of an area can indicate the


                                                               19
approximate rate at which housing units will turnover and the attractiveness of the area to
outsiders in comparison to the county or other areas within the state.

Insert the census data from Table DP-2. Profile of Selected Social Characteristics:
RESIDENCE IN 1995 including number and percent. Round the percent to the closest whole
number.

Discuss the percentage of the population that moved within the five-year period prior to the
census enumeration. Compare this figure to that for the county and state. Is residential
turnover in your area higher or lower than the state average? Discuss the percentage of the
population that lived in the same house in YourCity or moved within the county (lived in
different house, same county). What percentage of the population moved to YourCity from
outside the county? Has this percentage changed from the previous census? If so, what caused
the change? Compare this figure to that for YourCounty and the state? Does this indicate that
in-migration or movement into YourCity has kept pace with the state average? If not, do steps
need to be taken to promote the community as an attractive place to live?


Households, Families and Group Quarters
Growth or decline of households within a community will contribute to the need for housing.
Likewise, the type and size of households and the age of the householder will affect housing
demand. Nationally, the size of households is shrinking, indicating that more housing is
needed to house the same number of people.

               Figure 1.3 Growth in Total Households (1990 - CYR+3)

   1.2
                  1       1                 1        1         1   1      1     1
      1
   0.8
                                                                                      YourCity
   0.6
                                                                                      YourCounty
   0.4
   0.2
      0
                   1990                      2000         CYR Estimate    CYR+3
                                                                         Projection
Source: U.S. Bureau of the Census, 1990 and 2000 Census


Figure 1.3 shows the growth trend in the number of households in YourCity and
YourCounty from 1990 to 2000. In addition, current-year estimates and three-year
projections based on the growth factor from 1990 to 2000 are included for comparison. A
household includes all of the people who occupy a housing unit. People not living in
households are classified as living in group quarters.


                                                          20
Double click on the above figure and change the fourth column heading in the datasheet to
reflect the current year. Change the fifth column heading to reflect the projection period
(current year plus three). Replace YourCity and YourCounty row headings with appropriate
names. Insert the 2000 Census data from Table DP-1. Profile of General Demographic
Characteristics: HOUSEHOLDS BY TYPE, Total Households. Repeat using the 1990 Census
data. Estimate the current number of households using a straight line formula for YourCity
and YourCounty based on the growth rate in the 1990s (((2000 households - 1990 households)
/ 1990 households / 10 * (number of years since 2000 Census)) * 2000 Households + 2000
Households). Then calculate the three-year projection (((2000 households - 1990 households) /
1990 households / 10 * (number of years since 2000 Census + 3)) * 2000 Population + 2000
Population). Hit Escape to close the datasheet.

Discuss the trend in the number of households in YourCity over the past 10 years
including percentage growth or decline. Contrast trends in YourCity households and
YourCounty with the growth statewide in the 1990s. Contrast percentage growth or
decline in households with that of the total population. If the two numbers are similar,
household size has remained stable over the past decade. If population growth has
outpaced household growth, then household size has increased. In contrast, if household
growth has outpaced population growth, then household size has decreased. Based on the
growth rate in the 1990s, report the current estimate and three-year projection of
households. Compare these figures with the projections provided by a national
demography company such as Claritas, Inc. Discuss differences in the two projections.

Household Tenure
                                Table 1.5 Tenure by Household Type (2000)
                                          Owner-occupied      Renter-occupied    Total Households
                                        Number    Percent     Number   Percent   Number   Percent
Family Households
    Married Couple HH
    Male Householder
    Female Householder
Nonfamily Households
    HH Living Alone
         HH < 65 years
         HH 65 years +
  Unrelated People
   Living Together
Total Households                                     -                    -                  -
Source: U.S. Bureau of the Census, 2000 Census




                                                         21
Table 1.5 shows the distribution of households by type in YourCity as reported in the 2000
Census. Data is also separated by owner and renter households. A family household includes a
householder and one or more people living in the same household who are related to the
householder by birth, marriage or adoption. This includes married couples with or without
children and single-parent households. A family household may contain people not related to
the householder, but those people are not included as part of the householder’s family in
census tabulations. A nonfamily household consists of a householder living alone or with
unrelated roommates only.

Insert the census data from Table QT-H3. Household Population and Household Type by
Tenure: HOUSEHOLD TYPE, Owner-occupied Housing Units and Renter-occupied Housing
Units in the columns labeled “Owner-occupied” and “Renter-occupied” including number and
percent. Round the percent to the closest whole number. Households living alone and
households 65 years or older are separated by male and female, requiring the addition of the
two figures to calculate the sum. Unrelated people living together is not specified in the census
data. To calculate, subtract households living alone from nonfamily households. Calculate the
percent by dividing the numbers by the total households in the same column. Insert the census
data from Table DP-1. Profile of General Demographic Characteristics: HOUSEHOLDS BY
TYPE, Total Households in the column labeled “Total Households” including number and
percent. Round the percent to the closest whole number. Male householders and unrelated
people living together are not specified in the census data and require calculation. To calculate
male householder, subtract married couples and female householders from family households.
Calculate unrelated people living together as instructed above.

Discuss the distribution of the population among household types, including family and
nonfamily households. Compare to the distribution of household types separated by owner
versus renter households. Which household types gained population and which lost population
from 1990 to 2000? Do these shifts in household composition suggest a need to reexamine
housing options available within the community?




                                              22
                           Table 1.6 People Living in Group Quarters (2000)
                                                    YourCity          YourCounty             Kansas
                                                 Number   Percent   Number   Percent   Number      Percent
Institutionalized People                                                                45,396        55
  Correctional Institutions                                                             16,703        20
  Nursing Homes                                                                         25,248        31
  Hospitals, Hospices                                                                    284          0
  Mental Hospitals                                                                       889          1
  Juvenile Institutions                                                                 1,307         2
  Other Institutions                                                                     965          1
Noninstitutionalized People                                                             36,554        45
  College Dormitories                                                                   24,492        30
  Military quarters                                                                     4,580         6
  Other Quarters                                                                        7,482         9
Group Quarters Population                                                               81,950        3
Total Population                                               -                -      2,688,418      -
Source: U.S. Bureau of the Census, 2000 Census



Table 1.6 shows the distribution of institutionalized versus noninstitutionalized people living
in group quarters in YourCity as compared to YourCounty and the state. The group quarters
population includes all people not living in households. People living in group quarters are
divided into two groups for purposes of census tabulation. The institutionalized population
includes people under formally authorized, supervised care or custody in institutions at the
time of the census enumeration such as those people in nursing homes, correctional
institutions, mental or psychiatric hospitals and juvenile institutions. The noninstitutionalized
population includes all people who live in group quarters other than institutions such as people
living in college dormitories, military quarters and group homes.

Insert census data from Table QT-P12. Group Quarters Population by Sex, Age and Type of
Group Quarter: TYPE OF GROUP QUARTER including number and percentage from the
columns labeled “Both Sexes.” Round the percent to the closest whole number. Divide the
number of people in group quarters by the total population to determine the percentage of the
population living in group quarters.

Discuss the distribution of people by type of group quarters in YourCity and YourCounty.
Compare the percentages to that in the state. Does your area have a disproportionately large or
small portion of people in specific types of group quarters? Did the total population in group
quarters changed from 1990 to 2000, or did segments show significant change?




                                                          23
                 Figure 1.4 Average Household and Family Size (2000)
            3.50
                                                                                                3.07
            3.00
                                                     2.51                                                 YourCity
            2.50
            2.00                                                                                          YourCounty
            1.50                                                                                          Kansas
                              1.00       1.00                                  1.00   1.00
            1.00
            0.50
            0.00
                           Average Household Size                          Average Family Size

Source: U.S. Bureau of the Census, 2000 Census of Population


Figure 1.4 shows the average number of people per household and family for YourCity,
YourCounty and the state as reported in the 2000 Census. Average household size is a
measure obtained by dividing the number of people in households by the total number of
households. Average family size is obtained by dividing the number of people in families
by the total number of families. Both of these measures exclude the population living in
group quarters.

Double click on the above figure and replace YourCity and YourCounty row headings in the
datasheet with appropriate names. Insert the census data from Table DP-1. Profile of General
Demographic Characteristics: HOUSEHOLDS BY TYPE, Total Households. Do not round to
the nearest whole number — report the percentages as shown in the census data. Hit Escape to
close the datasheet.

Discuss the average household and family size for YourCity and YourCounty in
comparison to the state. Identify changes in household and family size from 1990 to
2000. What do these changes imply in regards to housing?

          Table 1.7 People Per Household by Tenure in YourCity (1990 - 2000)
                                     Owner-occupied                       Renter-occupied               Total Households
People in HHs                    1990         2000        '90-'00       1990      2000       '90-'00   1990   2000     '90-'00
1 Person
2 People
3 People
4 People
5 People
6 People
7+ People
Total Households                                               -                               -                         -
Source: U.S. Bureau of the Census, 1990 and 2000 Census


                                                                   24
Table 1.7 shows the distribution of total households in YourCity by the number of people
in the housing unit as reported in the 1990 and 2000 Census. Data is also separated by
owner versus renter households and the number change over the decade is delineated.

Insert the 2000 Census data from Table QT-H2. Tenure, Household Size and Age of
Householder: TENURE BY HOUSEHOLD SIZE, Owner-occupied housing units and Renter-
occupied housing units for YourCity only in the columns labeled “Owner-occupied” and
“Renter-occupied.” Repeat using the 1990 Census data from Table H018. Tenure by Persons
in Unit and add together the two figures to achieve the 2000 total. Insert the 2000 Census data
from QT-P10. Households and Families: HOUSEHOLD SIZE, Total Households in the
column labeled “Total Households.” Repeat the process using the 1990 Census data for
owner- and renter-occupied housing units and add together the two figures to achieve the 1990
total. Then calculate the numerical change from 1990 to 2000 by subtracting the 2000 figure
from the 1990 figure

Discuss what size households constituted the bulk of total households in the community.
Compare to the distribution of households separated by owners versus renters. Identify
numerical changes in total households and compare to changes in owner- and renter-
occupied households from 1990 to 2000. What does this indicate in regards to the need
for tenure types and sizes of housing in the future?

                  Figure 1.5 Average Household Size by Tenure (2000)
          3.00
                                                 2.63
          2.50                                                                    2.25
                                                                                               YourCity
          2.00
                                                                                               YourCounty
          1.50
                                                                          1.00                 Kansas
                            1.00        1.00                     1.00
          1.00

          0.50

          0.00
                      People per Owner-occupied Unit         People per Renter-occupied Unit

Source: U.S. Bureau of the Census, 2000 Census


Figure 1.5 shows the average household size of owner- and renter-occupied units as
reported in the 2000 Census. Average household size of owner-occupied units is a
measure obtained by dividing the number of people living in owner-occupied housing
units by the total number of owner-occupied housing units. Average household size of
renter-occupied units is obtained by dividing the number of people living in renter-
occupied housing units by the total number of renter-occupied housing units.

Double click on the above figure and replace YourCity and YourCounty row headings in the
data sheet with appropriate names. Insert the census data from Table DP-1. Profile of General

                                                        25
Demographic Characteristics: HOUSING TENURE. Do not round to the nearest whole
number — report the percentages as shown in the census data. Hit Escape to close the
datasheet.

Discuss the average household size of owner- and renter-occupied units in YourCity and
YourCounty in comparison to the state. Identify changes in the size of owner and renter
households from 1990 to 2000. What do these changes imply in regard to housing needs?


Age of Householder
Age changes are reflected in household changes because household composition tends to
be very different for young, middle-aged and elderly adults. The differences in these
household compositions translate into the need for housing to accommodate an
increasingly equal distribution of householders among the various age groups.

            Table 1.8 Tenure by Age of Householder in YourCity (1990 - 2000)
                                    Owner-occupied                      Renter-occupied         Total Households
                               1990        2000            '90-'00    1990   2000   '90-'00   1990   2000   '90-'00
< 25 years
25-34 years
35-44 years
45-54 years
55-64 years
65 years +
   65-74 years
   75+ years
Total Households                                             -                         -                       -
Source: U. S. Bureau of the Census, 1990 and 2000 Census



Table 1.8 shows a distribution of total households in YourCity by the age of the householder
as reported in the 1990 and 2000 Census. Data is also separated by owner versus renter
households and the number change over the decade is delineated.

Insert the census data from Table QT-H2. Tenure, Household Size and Age of Householder:
TENURE BY AGE OF HOUSEHOLDER, Owner-occupied housing units and Renter-
occupied housing units for YourCity in the columns labeled “Owner-occupied” and “Renter-
occupied.” Repeat the process using the census data from Table QT-H1. General Housing
Characteristics: AGE OF HOUSEHOLDER, Occupied Housing Units in the column labeled
“Total Households.” Repeat the process using the 1990 Census data. Then calculate the
numerical change from 1990 to 2000 by subtracting the 2000 figure from the 1990 figure.



                                                                 26
Discuss the distribution of total households in YourCity by age groups including young adults
25 to 44 years of age, older adults 45 to 64 years and elderly people. Compare the percentages
of households to the total population for the same age group. Does any age group have a
disproportionate amount of the total households? Compare the distribution of households
separated by owners and renters. Describe the major shifts in tenure by age group from 1990
through 2000. What does this indicate in regards to the need for housing in the future?


Income
The link between income and housing decisions is indisputable. Income is fundamental to
explaining housing needs because it is the source of funds for homeowners’ mortgage
payment, property taxes, insurance and utilities, and renters’ payment of rent and utilities.
Household incomes vary by age of householder, tenure, race/ethnicity and location. However,
in all areas, owner median incomes are significantly higher than renter incomes, and minority
households are more likely than white households to have low incomes. In addition, incomes
in rural areas have traditionally been lower in comparison to the rest of the country.

                                 Table 1.9 Household Income Levels (1999)
                                           YourCity              YourCounty            Kansas
                                   Number        Percent       Number   Percent   Number      Percent
Less than $10,000                                                                  88,926       9
$10,000-$14,999                                                                    66,264       6
$15,000-$24,999                                                                   143,138       14
$25,000-$34,999                                                                   145,431       14
$35,000-$49,999                                                                   187,850       18
$50,000-$74,999                                                                   211,014       20
$75,000-$99,999                                                                    99,933       10
$100,000-$149,999                                                                  62,926       6
$150,000 or More                                                                   33,458       3
Total Households                                      -                    -      1,038,940      -
Source: U.S. Bureau of the Census, 2000 Census


Table 1.9 shows a distribution of total households by 1999 income levels for YourCity,
YourCounty and the state. Information on income received in calendar year 1999 was
requested by the census for individuals 15 years and over. Total income is the sum of the
amounts reported separately for wage or salary income; net self-employment income; interest,
dividends or net rental or royalty income; social security or railroad retirement income;
supplemental security income (SSI); public assistance or welfare payments; retirement or
disability income; and all other income. Income of households includes the income of the
householder and all other individuals 15 years old and over in the household, whether they are
related to the householder or not. Because many households consist of only one person,


                                                          27
average household income is usually less than average family income, which excludes people
living alone and unrelated roommates.

Insert the census data from Table DP-3. Profile of Selected Economic Characteristics:
INCOME in 1999, Households including number and percent. Round the percentage to the
closest whole number. Use the data under HOUSEHOLDS, which is the first data set; do not
use the data under FAMILIES, which appears after the stratification of earnings.

Discuss the distribution of households by income levels for YourCity. Compare it to the
distribution of households by income levels in YourCounty and the state. Does your area have
a disproportionate amount of lower-income households? Does the data support the need for a
community-based approach involving both the public and private sectors in addressing
housing needs?

Source of Income:

Insert the census data from Table DP-3. Profile of Selected Economic Characteristics:
INCOME IN 1999, Households. This data follows the households by income information. List
the distribution of income among sources including earnings, social security, supplemental
security, public assistance and retirement income.

Wage or salary income includes total money earnings received for work performed as an
employee during calendar year 1999. Self-employment income includes both farm and
nonfarm self-employment income. Interest, dividends or net rental income includes interest on
savings bonds, dividends from stockholdings or membership in associations, net income from
rental of property to others and receipts from boarders or lodgers, net royalties, and periodic
payments from an estate or trust fund.

Social Security Income includes Social Security pensions, survivor benefits and permanent
disability insurance payments made by the Social Security Administration prior to deductions
for medical insurance and railroad retirement insurance checks from the U.S. government.
Supplemental Security Income is a U.S. federal assistance program administered by the Social
Security Administration that guarantees a minimum level of income for needy aged, blind or
disabled individuals. Public assistance income includes general assistance and Temporary
Assistance to Needy Families (TANF). Retirement or disability income includes retirement
pensions and survivor benefits, income from workers’ compensation; disability income from
companies or unions, the government or the U.S. military; periodic receipts from annuities and
insurance; and regular income from IRA and KEOGH plans.




                                             28
              Table 1.10 Growth in Household Income by Tenure (1989 -1999)
                                             Owner-occupied                       Renter-occupied
                                    1989              1999        Annual   1989        1999         Annual
                                                                  Growth                            Growth
                                                                   Rate                              Rate
Less than $9,999
$10,000-$19,999
$20,000-$34,999
$35,000-$49,999
$50,000 or More
Total Households                                                            -                         -
Median HH Income
Source: U.S. Bureau of the Census, 1990 and 2000 Census



Table 1.10 shows the annual growth rate in household by income levels from 1989 to 1999 for
YourCity. Data is separated by specified owner versus renter households.

Insert the census data from Summary File 3, HCT11. TENURE BY HOUSEHOLD INCOME
IN 1999 in columns labeled “Owner-occupied - 1999” and “Renter-occupied - 1999.” Use the
data under HOUSEHOLDS, which is the first data set; do not use the data under FAMILIES,
which appears after the stratification of earnings. Repeat using the 1990 Census data from
Table H050. Household Income in 1989 by Gross Rent as a Percentage of Household Income
in 1989 and Table H059. Household Income in 1989 by Selected Monthly Owner Costs as a
Percentage of Household Income in 1989. To calculate growth rate, subtract the 1989
population by income from the 1999 population by income and divide by the 1989 population
by income. Then divide the result by 10 to achieve the annual rate of growth.

Discuss the distribution of growth rates among renters and owners of various income levels.
What income group(s) among renters and owners experienced the largest rate of growth?
Compare to total population growth.




                                                             29
      Figure 1.6 Growth in Median Household Income (1989 - CYR+3)
   $60,000                                                                               $54,517
   $50,000                                                           $48,563
                                                 $40,624
   $40,000                                                                                         YourCity
   $30,000                $27,291                                                                  YourCounty
                   $20,000                $20,000              $20,000             $20,000
   $20,000                                                                                         Kansas
              $10,000                $10,000               $10,000             $10,000
   $10,000
         $0
                        1990                   2000            CYR Estimate     CYR+3 Projection

Source: U.S. Bureau of the Census, 1990 and 2000 Census


Figure 1.6 shows the growth trend in the median household income from 1989 to 1999 in
YourCity and YourCounty in comparison to the state. In addition, current-year estimates
and three-year projections based on the growth factor over this period are included. The
median household income is based on the distribution of the total number of households
including those with no income. The median divides the income distribution into two
equal parts: one-half of the cases falling below the median income and one-half above the
median. To determine relevance of the increase, the Bureau of Labor Statistics Consumer
Price Index has been used to calculate inflation at 24 percent from 1990 to 2000 or an
annual inflation factor of 2.4 percent.

Double click on the above figure and change the fourth column heading in the datasheet
to reflect the current year. Change the fifth column heading to reflect the projection
period (current year plus three). Replace YourCity and YourCounty row headings with
appropriate names. Insert the 2000 Census data from Table DP-3. Profile of Selected
Economic Characteristics: INCOME IN 1999, Households. Use the data for Median
household income, which is in the first data set; do not use data for Median family
income, which appears after the stratification of earnings. Repeat using 1990 Census data
from Table DP-4 Income and Poverty Status in 1989, Income in 1989, Households.
Estimate the current year median household income for YourCity and YourCounty based
on the growth factor in the 1990s (((1999 income - 1989 income) / 1989 income / 10 *
(number of years since 2000 Census) * 1999 income + 1999 income). Then calculate the
three-year projection (((1999 income - 1989 income) / 1989 income / 10 * (number of
years since 2000 Census + 3) * 1999 income + 1999 income). Estimates and projections
of the median household income for the state are for CYR and CYR+3. These figures
may need to be changed to reflect the current year. Hit Escape to close the datasheet.

Discuss the trend in the median household income in YourCity and YourCounty from
1989 to 1999 including percentage growth or decline. Compare average annual growth
rates in the median household income with the state average of 4.9 percent and inflation
during the last 10 years. Has the percentage increase in the income in YourCity and
YourCounty kept pace with inflation? Based on the growth rate in the 1990s, report the



                                                          30
current estimate and three-year projection of median household income for YourCity and
YourCounty.

                 Table 1.11 Age of Householder by Household Income (1999)
                        < 25             25-34   35-44     45-54   55-64   65-74      75+
                        Years            Years   Years     Years   Years   Years     Years
<$10,000
$10-$14,999
$15-$19,999
$20-$24,999
$25-$29,999
$30-$34,999
$35-$39,999
$40-$44,999
$45-$49,999
$50-$74,999
>$75,000
Households
Median HH
                           $                $     $         $       $       $          $
Income
Source: U.S. Bureau of the Census, 2000 Census



Table 1.11 shows household income in 1999 by the age of the householder in YourCity. The
median household income for the various age groups is also included.

Insert the census data from Summary File 3, Table P55. AGE OF HOUSEHOLDER BY
HOUSEHOLD INCOME IN 1999 and Table P56. MEDIAN HOUSEHOLD INCOME IN
1999 (DOLLARS) BY AGE OF HOUSEHOLDER. Total households by age, $50,000-
$74,999 and >$75,000 are not specified in the census data and require calculation. To
calculate $50,000-$74,999, add the figures in the $50,000 to $59,999 and $60,000 to $74,999
rows. To calculate >$75,000, add the figures in the $75,000 to $99,999, $100,000 to $124,999,
$125,000 to $149,999, $150,000 to $199,999, and the $200,000 or more rows. To calculate
households by age, add figures in each column and insert sum in the appropriate cell.

Discuss the distribution of households among income levels. Compare to the distribution of
households separated by elderly versus nonelderly adults. What is the median household
income for these age groups? What is the maximum affordable housing cost for these age
groups (median household income / 12 * 30 percent)?




                                                      31
                          Figure 1.7 FY 2003 Median Family Income

   $70,000                                                        $60,800
                       $56,500
   $60,000                                   $52,900
   $50,000                                                                             $44,900
   $40,000
   $30,000
   $20,000
                                                                                                       $10,000
   $10,000
           $0
                         U.S.                Kansas          Kansas Metro              Kansas         YourCounty
                                                                                      Nonmetro

Source: U.S. Department of Housing and Urban Development, Office of Policy Development and Research


Figure 1.7 shows the current year median family income for YourCounty in comparison
to the United States, Kansas, and metropolitan and rural areas in Kansas. HUD calculates
median family incomes annually for metropolitan and non-metropolitan counties. HUD
median family income estimates are based on a combination of Bureau of Labor Statistics
earning and employment data and census median family income data. In compiling
statistics on family income, the incomes of all members 15 years old and over in each
family are summed and treated as a single amount. The median income figure is the
median for a family of four.

Double click on the above figure and replace the column heading YourCounty in the
datasheet with the appropriate name. Insert data from HUD Memorandum on Estimated
Median Family Incomes for FY (current year) for the United States, Kansas, Kansas
Metro and Nonmetro. HUD releases median income data annually in March so the
incomes provided may need to be updated to include the most current data available.
Information currently provided is for FY 2003. Insert median family income data from
HUD Income Limits for YourCounty. Hit Escape to close the datasheet. Change the
figure heading to reflect the current year of the data source.

Discuss the median family income in YourCounty as compared to the United States,
Kansas, metropolitan and rural areas in Kansas.

             Table 1.12 CYR Adjusted Median Family Income in YourCounty
Household Size              1            2             3            4            5            6        7         8+
  HUD Target
  30% of AMI                $            $             $            $            $             $       $         $

Very Low 50%
                            $            $             $            $            $             $       $         $
   of AMI
  Low Limit
                            $            $             $            $            $             $       $         $
 80% of AMI
Source: U.S. Department of Housing and Urban Development, Office of Policy Development and Research


                                                             32
Table 1.12 shows the median family income for YourCounty adjusted for family size.
The most important statutory provisions relating to income limits are as follows:

    Thirty percent of the area median family income is a new income targeting standard of
     the 1998 Amendments to the Housing Act of 1937. To avoid inconsistencies with
     other income limits, it is defined as 60 percent of the four-person family very low-
     income limit, adjusted for family size, but not allowed to fall below the State
     Supplemental Security Income (SSI) benefit level for one-person households;

    Very low income is defined as 50 percent of the median family income for the area,
     subject to specified adjustments for areas with unusually high or low incomes (this
     represents the income eligibility limits for the Section 8 Program);

    Low income is defined as 80 percent of the median family income for the area, subject
     to adjustments for areas with unusually high or low incomes or housing costs. (This
     represents income eligibility limits for the CDBG and HOME programs.)

Insert median family income data adjusted for family size from HUD Income Limits for
YourCounty. Check that the table heading corresponds with the current year of the data
source.


Special Needs Population
The special needs population includes low-income households, the disabled, elderly and
homeless people. Because of their age, income or abilities, these groups require special focus
when planning for their housing needs. A portion of this population possesses a combination
of these attributes that further complicate the task.

Low-income Households
The lower incomes of some households limit their housing choices. If attention is not given to
providing decent, affordable housing for this population, many of these households will be
forced to live in substandard units and pay too large a portion of their household income
towards housing costs. The size of the low-income population can be determined by analyzing
incomes, persons receiving income assistance and families in poverty.

                    Table 1.13 Estimated LMI Households in YourCity (1999)
                             Nonelderly Households    Elderly Households   Total Households
50 to 80% AMI
Below 50% AMI
Total Households
Source: U.S. Bureau of the Census, 2000 Census




                                                     33
Table 1.13 shows the estimated size of the low-income population based on the number of
households at various percentages of the 1999 median household income reported in the
census data.

Access the median household income from Table DP-3. Profile of Selected Economic
Characteristics: INCOME IN 1999, Households for YourCity and the householders by age
and income from Summary File 3, Table P55. AGE OF HOUSEHOLDER BY HOUSEHOLD
INCOME IN 1999. Multiply the median household income by the percentage (80 percent, 50
percent) to determine the percentage of median household income. Then determine the
number of elderly and nonelderly people that fall below 50 and 80 percent of the median
household income. If the income threshold falls in the middle of an income range, use the
applicable proportion of that population to estimate the low-income households. Add the
estimated number of elderly and nonelderly people in each category to determine the total.

 What is the size of the low-income population in your community? How many people are
considered very low income, earning less than 50 percent of the median household income?
How many people are considered low income, earning between 50 and 80 percent? What is
the maximum affordable housing cost for these income groups (Median Household Income /
12 * .30)?

          Table 1.14 Income Assistance Recipients in YourCounty (2002 -2003)
                               Cases in YourCounty             Expenditures Per    Expenditures Per
                                                              Case in YourCounty    Case in Kansas
                                   2002               2003     2002       2003     2002       2003
 TANF (ADC)                           $                            $               $1,399    $1,402
 Food Stamps                                                                       $814       $862
 LIEAP Heating                                                                     $122       $137
Source: State of Kansas, Social and Rehabilitative Services



Table 1.14 shows the number of people receiving income assistance in YourCounty in the past
two years and the average monthly expenditures for those services. These statistics reflect the
impact of welfare reform. The number of households receiving public assistance has been
reduced as lower-income households are encouraged to obtain more education or job training
to become employed and to become more economically self-sufficient.

Insert the most current data from YourCounty report issued by the State of Kansas, Social and
Rehabilitation Services. Change the table heading and column subheadings regarding year to
reflect the current year of the data source.

Expenditures per case may not be specified in the data and thus require calculation. To
calculate expenditures per case, divide the annual expenditures by the customers for each
fiscal year.




                                                              34
Temporary Assistance for Needy Families (TANF) was created under the Personal
Responsibility and Work Opportunity Act of 1996. This act transformed welfare by ending the
statutory entitlement to welfare under the former Aid to Families with Dependent Children
Program. The act includes a five-year lifetime limit for welfare and increased work
requirements. TANF is an employment support program for families with children. Services
provided or contracted for include job readiness and retention training, subsidized
employment, structured job search, vocational education, intensive case management, work
experience placements, on-the-job training, job coaching, job development/placement,
mentoring and job skills training. Discuss the trend in the number of TANF cases and the
average expenditure per case in YourCounty as compared to the state during the period.

The Food Stamp Program is offered to individuals and families with incomes below 130
percent of the national poverty level. Discuss the trend in the number of Food Stamp cases and
the average expenditure per case in YourCounty as compared to the state during the period.

Low Income Energy Assistance Program (LIEAP) provides energy assistance to
households with incomes below 125 percent of the national poverty level. The elderly,
disabled and families with children are the primary groups assisted. Discuss the trend in the
number of LIEAP cases and the average expenditure per case in YourCounty as compared to
the state during the period.

                      Table 1.15 2002 Poverty Thresholds in the United States
                                                             Related Children Under 18 Years
Family Size                         None                1             2          3         4         5
One Person                              -                -            -          -             -      -
     Under 65 years                $9,359                -            -          -             -      -
     65 years & over               $8,628                -            -          -             -      -
Two People                              -                -            -          -             -      -
     HH under 65                  $12,047          $12,400            -          -             -      -
     HH 65 & over                 $10,874          $12,353            -          -             -      -
Three People                      $14,072          $14,480         $14,494       -             -      -
Four People                       $18,556          $18,859         $18,244    $18,307          -      -
Five People                       $22,377          $22,703         $22,007    $21,469   $21,141       -
Six People                        $25,738          $25,840         $25,307    $24,797   $24,038    $23,588
Source: U.S. Bureau of the Census, Current Population Survey



Table 1.15 shows the current year poverty thresholds by size of family and the number of
related children under 18 years. The U.S. Census Bureau uses this set of income thresholds to
determine who falls below the poverty level. There are two slightly different versions of the
federal poverty measure: the poverty thresholds and the poverty guidelines. The poverty
thresholds are the original version of the federal poverty measure. These thresholds are used


                                                                35
mainly for statistical purposes such as preparing estimates of the number of people in poverty
each year.

The poverty guidelines are the other version of the federal poverty benchmarkd. Poverty
guidelines are issued each year in the Federal Register by the Department of Health and
Human Services. The guidelines are a simplification of the poverty thresholds for use in
administrative purposes (e.g., determining financial eligibility for certain federal programs).
These terms are often used interchangeably; however, this causes confusion because the actual
numbers are somewhat different. For our purposes, the poverty thresholds have been included
because they provide an income reference for the following analysis of people in poverty.

Insert the current year poverty thresholds from the Census Bureau. The above table has been
truncated at six people per family. Check that the table heading corresponds with the current
year of the data source.

Discuss the poverty thresholds for a one-person household up to a six-person household.

About one-fifth of nonmetro households lived in poverty, a slightly higher percentage than
households nationwide. Furthermore, certain subgroups including Native American, African
American households and female-headed households experience poverty at twice the rate of
nonmetro households.

                            Table 1.16 People below the Poverty Level (1999)
                                                    YourCity          YourCounty            Kansas
                                                 Number   Percent   Number   Percent   Number    Percent
People 18 to 64                                                                        47,032        3
People 65+                                                                             26,840        8
Related Children <18 yrs                                                               80,439        12
    Unrelated People >15 yrs                                                           98,217        22
Total Individuals                                                                      257,829       10
Source: U.S. Bureau of the Census, 2000 Census



Table 1.16 shows the number of people for whom poverty status was determined in 1999 and
the percentage in poverty for each age group for YourCity in comparison to YourCounty and
the state of Kansas. To determine if a person is poor, a comparison is done between the total
income of that person’s family with the threshold appropriate for that family. If the total
family income is less than the threshold, then the person (and every member of his or her
family) is considered poor. Not every person is included in the poverty figures.
Institutionalized people, people in military group quarters, people living in college dormitories
and unrelated individuals under 15 years old are considered neither “poor” nor “nonpoor,” and
are excluded from both the numerator and the denominator when calculating poverty rates.




                                                          36
Insert the census data from Table DP-3 Profile of Selected Economic Characteristics:
POVERTY STATUS IN 1999, Individuals including the number and percent. Round the
percent to the closest whole number. Use data for Individuals, which is the second data set; do
not use data for families, which appears first. People 18 to 64 years is not specified in the
census data and requires calculation. To calculate the number of individuals 18 to 64 years,
subtract the number of individuals 65 years and over from the individuals 18 years and over.
Calculating the percentage of individuals 18 to 64 years of age is more complicated. First,
calculate the specified population of individuals 18 years and over in poverty by dividing the
number of individuals 18 years and over by the corresponding percent. Calculate the specified
population of individuals 65 years and over in poverty by dividing the number of individuals
65 years and over by the corresponding percent. Subtract the specified population for
individuals 65 years and over from the specified population for individuals 18 years and over.
Finally, divide the number of individuals 18 to 64 years of age by this figure and insert the
percent in the cell.

Discuss the distribution of individuals in poverty, including children, elderly and nonelderly
adults. Compare the percentage in YourCity and YourCounty to that in the state. Identify
numerical changes in age groups from 1990 to 2000, i.e., which groups gained and which lost
population. Then, compare growth in this segment to that for the total population. Does one
age group have a disproportionate amount of people below the poverty level? What relevance
does this have to housing need in the community?

Families in Poverty in YourCity: Because poverty status is computed by family, the
poverty status of every family member is affected if one family member works. More
people have gotten jobs with the advent of the Welfare to Work initiative. Therefore,
people with no working family members made up a smaller fraction of the population
nationwide, with 9.4 percent in 2000 as compared to 12.2 percent in 1993. The poverty
rate also fell for families with at least one worker, although not as dramatically. Despite
these declines, having a job, even a full-time job, has not guaranteed an escape from
poverty. Nearly half of the families in poverty in 2000 had one full-time worker in the
family as compared to approximately one-third in 1993. Female-householder families
with no workers had the highest poverty rate with two-thirds falling below the poverty
level.

Use census data from Table DP-3 Profile of Selected Economic Characteristics:
POVERTY STATUS in 1999, Families to narrate the following. Discuss the number of
families that fell below the poverty level in 1999 in YourCity. How many families
included a female householder with no husband present? Have the number of families in
poverty changed from 1989 to 1999? What does this imply in relation to housing needs?


Elderly/Disabled Population
With the baby boomers nearing retirement, aging householders will have a significant impact
on housing. The elderly comprised a larger percent of rural households nationwide in
comparison to their metropolitan counterparts. A disproportionate number of nonmetro seniors
are single women. Approximately 60 percent of elderly householders are poor or near poor,

                                              37
with 25 percent below the poverty line and 35 percent earning between 100 and 200 percent of
poverty income. Furthermore, seniors in rural areas are more likely to live in either moderately
or severely inadequate units than seniors nationwide.

The aging of America has resulted in an increased number of persons with physical
limitations. Combine that reality with advancements in medical technology that save the lives
of infants with birth defects and individuals injured in accidents and you have numerous
Americans with some type of mobility or self-care limitation. This poses a challenge in
designing and developing housing that will enhance independent living as a person’s
capabilities shift over a lifetime.

                         Table 1.17 SSI Recipients in YourCounty (2000-CYR)
                                         2000        2001           2002             2003
By Category                               -           -               -                 -
    Aged
    Blind and Disabled
By Age                                    -           -               -                 -
    Under 18
    18 to 64
    65 or Older
Total SSI Recipients
SSI Recipients also
Receiving OASDI
Expenditures Per Case
Source: Social Security Administration



Table 1.17 shows people in YourCounty who received Supplemental Security Income (SSI)
from year to year. SSI recipients who received Social Security (Old-Age, Survivors and
Disability Insurance (OASDI) are also included. SSI is a cash assistance program funded and
administered by the Social Security Administration and handled by local Social Security
offices. The basic purpose of SSI is to assure a minimum level of income to people who are
aged, blind or disabled and who have limited income and resources. States and other
jurisdictions have the option of supplementing their residents’ SSI payments and may choose
to have the additional payments administered by the federal government.

Insert data from the Social Security Administration regarding the number of people in
YourCounty receiving SSI and OASDI. Expenditures per case requires calculation by
dividing the amount of payments (last column of data source) by the total cases. If necessary,
change the column and table headings regarding year to reflect the current year of the data
source.

Discuss the number of children, elderly and nonelderly adults receiving SSI in YourCounty.
What is the growth trend among the various age groups? Assuming SSI is the sole source of

                                                38
income for a disabled household, what is the maximum affordable housing cost (expenditures
per case * .30) for this special needs group?

             Table 1.18 Disability Status of Non-institutionalized People (2000)
                                                 YourCity         YourCounty               Kansas
                                             Number   Percent   Number   Percent   Number       Percent
Population 5 to 20 Years                                    -               -      645,211           -
    With a Disability                                                               46,507           7
Population 21 to 64 Years                                   -               -      1,464,501         -
    With a Disability                                                              246,092          17
         Percent Employed                        -                -                    -            62
Population > 65 Years                                       -               -      330,661           -
    With a Disability                                                              137,088          42
Total Population > 5 Years                                  -               -      2,688,418         -
    With a Disability                                                              429,687          16
Source: U.S. Bureau of the Census, 2000 Census



Table 1.18 shows disability status of non-institutionalized people in YourCity in comparison
to the county and state as reported in the 2000 Census. People five years old and over are
considered to have a disability if they have one or more of the following: (a) blindness,
deafness or a severe vision or hearing impairment; (b) a substantial limitation in the ability to
perform basic physical activities such as walking, climbing stairs, reaching, lifting or carrying;
(c) difficulty learning, remembering or concentrating; (d) difficulty dressing, bathing or
getting around inside the home. In addition to the above criteria, people 16 years old and over
are considered to have a disability if they have difficulty going outside the home alone to shop
or visit a doctor’s office. People 16 to 64 years old are considered to have a disability if they
have difficulty working at a job or business.

Insert the census data from Table DP-2. Profile of Selected Social Characteristics:
DISABILITY STATUS OF THE CIVILIAN NONINSTITUTIONALIZED POPULTION
including number and percent. Round the percent to the closest whole number. Total
population over five years of age and the corresponding number of people with a disability is
not specified in the census data and requires calculation. To calculate total population, add
populations 5 to 20 years, 21 to 64 years and 65 years and over. To calculate total population
with a disability, add populations with a disability for each of these age groups. Then divide
the population with a disability by the total population to determine the percentage of the total
population with a disability.

Discuss the distribution of people with disabilities among various age groups in YourCity.
Compare to the distribution in YourCounty and the state. Which age groups gained and which
lost disabled people from 1990 to 2000? Does the number or makeup of the disabled
population indicate special housing needs such as the need for education of design and

                                                        39
construction professionals to encourage adoption of universal design initiatives for the
mainstream population; the need to develop a home modification and repair service that would
allow people to remain in their homes; or the need for assisted or residential living facilities?




                                              40
Economic Profile
The economic profile analyzes the industries and economic activities that generate
employment and ultimately income in the area. This section summarizes the population
in terms of adults of working age, who are employed in various industries and
occupational categories. Unemployment rates as well as commuting patterns further
describe the employment situation. Earnings are outlined by job, industry and
occupational category, as well as workers per family and wage trends by industry. The
2000 Census data is updated with economic information from the U.S. Department of
Commerce and state labor market statistics. Although actual totals may vary between
data sources, the trends are usually similar. Finally, a list of the major employers is
provided, including the status of employers in terms of growth and stability and the
approximate salary range of management and line personnel.


Employment
Employment opportunities in a community or the surrounding area affect the stability and
size of the housing market. Ideally, the number of jobs and the quantity and quality of
housing are adequate to serve the needs of the population. However, in some
communities there is a mismatch between housing and jobs.

                                       Table 2.1 Labor Force Status (2000)
                                                 YourCity          YourCounty            Kansas
                                         Number       Percent    Number   Percent   Number      Percent
  In Labor Force                                                                    1,389,770     67
      Civilian Labor Force                                                          1,374,698     67
          Employed                                                                  1,316,283     96
          Unemployed                                                                 58,415       4
      Armed Forces                                                                   15,072       1
  Not in Labor Force                                                                669,390       33
Persons 16 Years & Over                                     -                -      2,059,160      -
Source: U.S. Bureau of the Census, 2000 Census



Table 2.1 shows the labor status of persons 16 years and older in YourCity as compared to
YourCounty and the state. The labor force consists of people classified in the civilian labor
force including employed and unemployed people, plus members of the U.S. armed forces.
Employed people include civilians 16 years old and over who were either at work or with a
job, but not at work during the full calendar week proceeding the date on which the
respondent completed the census questionnaire. “At work” is defined as those who did any

                                                            41
work at all during the reference week as paid employees, worked in their own business or
profession, worked on their own farm or worked 15 hours or more as unpaid workers on a
family farm or in a family business. “With a job, but not at work” is defined as those who did
not work during the reference week, but had jobs or businesses from which they were
temporarily absent. Excluded from the employed are people whose only activity consisted of
work around their own homes or unpaid volunteer work for religious, charitable and similar
organizations. Also excluded are people on active duty in the U.S. armed forces.

Unemployed people include civilians 16 years old or older that were (1) neither at work nor
with a job during the reference week, (2) looking for work during the last four weeks, and (3)
available to start a job. Also included were people on temporary layoff from a job, expected to
be recalled to work within the next six months or been given a date to return to work and were
available for work during the reference week.

Insert the census data from Table DP-3. Profile of Selected Economic Characteristics:
EMPLOYMENT STATUS including the number and percent with one exception. Do not use
the percentages provided for employed and unemployed people in the civilian labor force —
these reflect employment as a percentage of the total persons of working age. Since
employment is usually reported as a percentage of the total people in the labor force, the
percentage of employed and unemployed people should be recalculated by dividing each
number by the number of people in the civilian labor force. Round the percentages to the
closest whole number. To complete the above table, use the first set of data labeled Population
16 years and over. Do not use the data labeled Females 16 years and over.

Discuss the number of people of working age in YourCity and the percentage that are in the
labor force. Compare to percentages for YourCounty and the state. What does this indicate in
regards to the portion of the population dependent on public assistance or with limited
incomes?

                          Figure 2.1 Place of Work in YourCity (2000)




                                                           In County
                                     Outside State            34%
                                         33%



                                                 Outside County
                                                      33%




Source: U.S. Bureau of the Census, 2000 Census




                                                            42
Figure 2.1 shows place of work on a county and state level for people living in YourCity at the
time of the 2000 Census.

Double click on the above figure and insert census numbers from Summary File 3, Table P26.
PLACE OF WORK — STATE AND COUNTY LEVEL into the datasheet. Hit Escape to close
the datasheet. To rotate the pie for the best presentation, double click on the pie. The menu
Format Data Series should appear with Options that facilitate this change. Check that the table
has recalculated the percentages based on the data entered. To recalculate the percentage
within the worksheet, click on Chart, then Chart Options, then Data Labels. Select None and
close the datasheet, then reopen and select Label and Percent.

Discuss the percentage of people who lived in YourCity and worked in YourCounty. What
was the number and percent of the labor force that worked outside the county? What number
and percent worked outside the state? Discuss proximity of the community to major industrial
hubs, cities and other states.

Place of Work - Place Level: Using census data from Summary File 3, Table P27. PLACE
OF WORK FOR WORKERS 16 AND OVER — PLACE LEVEL, list the number of employees
who worked in their place of residence and those that worked outside their place of residence,
with place referring to the city in which the employee lived.

Discuss the percentage of people who live and work in YourCity. What does this suggest in
regards to the match between jobs and housing?

                                      Table 2.2 Travel Time to Work (2000)
                                                 YourCity              YourCounty               Kansas
                                       Number          Percent       Number   Percent   Number       Percent
Less than 10 minutes                                                                    300,919          24
10 to 14 Minutes                                                                        244,433          19
15 to 19 Minutes                                                                        221,991          18
20 to 24 Minutes                                                                        177,293          14
25 to 29 Minutes                                                                         64,184          5
30 to 34 Minutes                                                                        118,138          9
35 to 44 Minutes                                                                         43,598          4
45 to 59 Minutes                                                                         44,713          4
60 Minutes or More                                                                       44,212          4
Workers Who Did Not                                         -                    -      1,259,481        -
Work at Home
Worked at Home                                                                           51,862          4
Mean Travel Time to                                         -                    -         19            -
Work (minutes)
Source: U.S. Bureau of the Census, 2000 Census


                                                                43
Table 2.2 shows the estimated travel time to work for people 16 years and older who reside in
YourCity as compared to YourCounty and the state. Travel time to work is the average time in
minutes that workers 16 years old and over usually took to get from home to work (one-way)
during the week prior to filling out the census questionnaire. The travel time includes time
spent waiting for public transportation, picking up passengers in carpools and time spent in
other activities related to getting to work.

Insert the census data from Table QT-P23. Journey to Work: TRAVEL TIME TO WORK
including number and percent. Round the percent to the closest whole number. The “60
minutes or more” travel time category is not specified in the census data and requires
calculation. To calculate, add the numbers in “60 to 89 minutes” and “90 or more minutes.”

Discuss the distribution of workers in YourCity and YourCounty by the amount of travel time
to work, focusing on the number of employees who commute more than 30 minutes to work.
Compare the percentages to that in the state. Based on travel times, does a large portion of the
labor force residing in your community commute outside the city limits for work or does the
majority of the labor force work in the area, indicating a more equitable match between jobs
and housing?

         Table 2.3 County Destination for Commuting Employees (1970-1990)
County of Work                    1970                1980                 1990              Actual    Percentage
                                                                                            Growth      Growth
                                                                                           1970-1990   1970-1990




Elsewhere
Not Reported                                                                                   -           -
YourCounty
Total Commuters
Outside the County
Source: U.S. Department of Commerce, Bureau of Economic Analysis, Regional Accounts Data



Table 2.3 shows the county work destination for employees from YourCounty for 1970, 1980
and 1990. The category “Elsewhere” is composed of the total of commuting flows involving
less than 10 workers. The category “Not Reported” refers to location of work not self-reported
in the census. This category only existed in 1970. Flows not reported in the 1980 and 1990
Census were statistically allocated.




                                                             44
Insert the county names of the primary work destinations in the first column with the
exception of your county (row heading already provided). Insert Journey to Work data from
the U.S. Department of Commerce, Bureau of Economic Analysis, Regional Accounts Data,
with data for YourCounty inserted in the next to last row of the table. The table may be
expanded to include all destinations or a portion of the destinations can be included with the
remainder lumped together in the Elsewhere category. Actual growth, percentage growth and
total commuters outside the county are not specified in the data and require calculation. To
calculate “actual growth 1970 to 1990” for each county destination, subtract the 1970 figure
from the 1990 figure. To calculate “percentage growth 1970 to 1990” for each county
destination, divide the actual growth by the 1970 figure. Round to the nearest whole number.
To calculate total commuters, add all numbers for a specific year except the figure for
YourCounty.

Discuss the primary work destination for employees from YourCounty. What are the major
cities and/or employers in these areas? What is the approximate distance to these locations
from YourCity?

               Table 2.4 Growth in the YourCounty Labor Force (1993-2002)
                       Labor Force              Unemployed                Unemployment     Total
                                                                              Rate       Employment
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
% Change                      %                         %                          %         %
YourCounty
% Change                    6.8%                      6.8%                       0.1%       7.5%
Kansas
Source: Kansas County Profile Report, Kansas Center for Community Economic Development



Table 2.4 shows growth in total full- and part-time employment in YourCounty from year to
year.

Insert data from Kansas County Profile Report available from the Kansas Center for
Community Change for the most current 10-year period. The data for Kansas is for 1992
through 2001. Percentage change for YourCounty and the state is not specified in the data and
requires calculation. To calculate percentage change for “employed,” “unemployed” and
“labor force,” subtract the figure in the first row (1992) from the figure in the last row (2001)

                                                            45
and divide by the figure in the first row (1992). Round to the nearest one decimal. To calculate
the percentage change for the unemployment rate (already in percentage format) simply
subtract the figure in the first row by the figure in the last row; do not divide by the figure in
the first row. Report the number as is — to one decimal point. Repeat process for state data if
it does not reflect the most current data available. Change the row and table headings
regarding year to reflect the corresponding years of the data source.

Discuss the trend in the labor force in YourCounty over the ten-year period including highs,
lows and overall growth or decline. Contrast trends in YourCounty with the state. Did growth
in the labor force in YourCounty keep pace with statewide growth? Compare growth in the
labor force with total population growth. Similar growth in both population and labor force
would suggest that there is a correlation between the two — more jobs means more people.
However, an increasing population contrasted with a decreasing labor force could suggest that
people are willing to commute elsewhere to work, establishing your town as a bedroom
community. The reverse of this situation is characterized by a decreasing population and
increasing labor force. This indicates that jobs are available but housing is not, so workers are
commuting into your community for work but are not able or willing to reside there. Volatility
in the labor market, indicated by large swings in the numbers reported, could also contribute to
workers commuting as opposed to committing to housing in the area.

                      Figure 2.2 Unemployment Rates (1993-2002)

   6
        5.0     5.3
                         4.4                                                                    5.1
   5                                 4.5
                                              3.8        3.8                             4.3
   4                                                                3.0       3.7
                                                                                                       Kansas
   3
                                                                                                       YourCounty
   2

   1
     1.0        1.0       1.0       1.0        1.0       1.0        1.0        1.0       1.0    1.0
   0
   1993       1994       1995      1996       1997      1998       1999      2000        2001   2002

Source: Kansas County Profile Report, Kansas Center for Community Economic Development


Figure 2.2 shows the trend in the unemployment rate in YourCounty as compared to the
state of Kansas for the period year through year.

Double click on the above figure and insert data from Kansas County Profile Report
available from the Kansas Center for Community Economic Development for the most
current 10-year period. The y-axis labels and figure heading as well as the Kansas
unemployment figures may need to be adjusted to reflect the most current data available
and corresponding years. Hit Escape to close the datasheet. To adjust the position of the
figures on the area chart, double click on the chart and then on the individual figures and
move as needed.


                                                          46
Discuss the trend in the unemployment rate in YourCounty in comparison to the state. A
higher unemployment rate would indicate a greater percentage of people with little or no
income in your area.

            Table 2.5 Employment by Type of Job in YourCounty (1997-2001)
                                  1997          1998          1999          2000           2001    Number   Percent
                                                                                                   Change   Change
 Total Employment                                                                                             %
 Wage & Salary Jobs                                                                                           %
 Proprietors                                                                                                  %
     Non-farm                                                                                                 %
     Farm                                                                                                     %
 Total Employment                1,692          1,740         1,756         1,776          1,784     92      5%
 in Kansas (000s)
Source: U.S. Department of Commerce, Bureau of Economic Analysis, Regional Accounts Data



Table 2.5 shows full- and part-time employment in YourCounty from year to year.

Insert regional accounts data from CA25 Total Full- and Part-time Employment by
Industry — YourCounty available from the U.S. Department of Commerce, Bureau of
Economic Analysis for the most current five-year period. The column labels and figure
heading, as well as the total employment figures for Kansas, may need to be adjusted to
reflect the most current data available and corresponding years. “Number change” and
“percent change” are not specified in the data and require calculation. To calculate
“number change,” subtract the figure in the second column (1996) from the figure in the
sixth column (2000). To calculate “percent change,” divide the number change by the
figure in the second column (1996) and round to the closest whole number.

Discuss the trend in total employment and its various components over the past five
years. Compare growth in YourCounty to the statewide average.




                                                             47
               Table 2.6 Employment by Industry in YourCounty (1998-2002)
                                      1998          1999          2000         2001          2002        Number        Percent
                                                                                                         Change        Change
 Ag, Forestry & Fishing                                                                                                  %
 Mining                                                                                                                    %
 Construction                                                                                                              %
 Manufacturing                                                                                                             %
 TCPU                                                                                                                      %
 Wholesale                                                                                                                 %
 Retail                                                                                                                    %
 FIRE                                                                                                                      %
 Services                                                                                                                  %
 Govt. Enterprises                                                                                                         %
 Total Farm                                                                                                                %
 Employment
 Total Non-farm                                                                                                            %
 Employment
Source: U.S. Department of Commerce, Bureau of Economic Analysis, Regional Accounts Data; (TCPU-transportation, communications
and public utilities; FIRE-finance, insurance and real estate)



Table 2.6 shows employment by industry in YourCounty for the period from year through
year. (D) denotes figures not shown to avoid disclosure of confidential information. (L)
denotes less than 10 jobs, however, the estimates for both items are included in the totals.
Industry relates to the kind of business conducted by a person's employing organization.

Insert regional accounts data from CA25 Total Full- and Part-time Employment by Industry —
YourCounty available from the U.S. Department of Commerce, Bureau of Economic Analysis
for the most current five-year period. The column labels and figure heading may need to be
adjusted to reflect the most current data and corresponding years. “Number change” and
“percent change” are not specified in the data and require calculation. To calculate “number
change,” subtract the figure in the second column from the figure in the sixth column. To
calculate “percent change,” divide the number change (seventh column) by the figure in the
second column and round to the closest whole number.

Discuss the overall trends in total farm and non-farm employment for YourCounty. Which
industries showed the largest gains and losses during the five-year period?




                                                             48
                                Table 2.7 Employment by Occupation (2000)
                                                    YourCity          YourCounty             Kansas
                                                 Number   Percent   Number   Percent   Number      Percent
Management, Professional and                                                           445,588        34
Related
Service                                                                                190,142        14
Sales and Office                                                                       340,049        26
Farming, Fishing and Forestry                                                           13,255        1
Construction, Extraction and                                                           129,940        10
Maintenance
Production, Transportation and                                                         197,309        15
Material Moving
Total Employed People                                          -                -      1,316,283      -

Source: U.S. Bureau of the Census, 2000 Census



Table 2.7 shows the number of people 16 years and older who work in particular occupations
in YourCity as compared to YourCounty and the state. Occupation describes the kind of work
the person does on the job. For employed people, the data refers to the person’s job during the
week prior to filling out the census questionnaire. For those who worked at two or more jobs,
the data refer to the job at which the person worked the greatest number of hours during the
reference week.

Insert the census data from Table DP-3. Profile of Selected Economic Characteristics:
OCCUPATION including number and percent. Round the percent to the closest whole
number.

Discuss the distribution of the employed civilian population in YourCity among various
occupational categories. What occupations have the largest percentage of employed people?
Compare to the distribution of employed people in YourCounty and the state. What
occupations show the greatest positive or negative fluctuations from the state average?
Historically, do these occupations pay higher or lower average wages?


Earnings
The types of industries and jobs in a community affect the wages and salaries that employees
can earn. These earnings, in turn, contribute to the cost of a house or rental unit that a
household can afford.




                                                          49
              Table 2.8 Average Earnings Per Job in YourCounty (1997-2001)
                                       1997          1998          1999          2000      2001      Number Percent
                                                                                                     Change Change
 Average Earnings                         $             $             $             $        $         $       %
 per Job
 Average Wage and                         $             $             $             $        $         $       %
 Salary Disbursements
 Average Non-farm                         $             $             $             $        $         $       %
 Proprietors’ Income
 Average Earnings                     $26,247       $27,232       $28,520       $29,334    $30,181   $3,934   15%
 per Job in Kansas
Source: U.S. Department of Commerce, Bureau of Economic Analysis, Regional Accounts Data


Table 2.8 shows the average earnings per job in YourCounty for the period from year
through year. “Earnings” is defined as the sum of wage and salary income and net income
from self-employment. Earnings represent the amount of income received regularly
before deductions for personal income taxes, social security, bond purchases, union dues,
Medicare deductions, etc. Wage or salary income includes total money earnings received
for work performed as an employee during the calendar year. It includes wages, salary,
armed forces pay, commissions, tips, piece-rate payments and cash bonuses earned before
deductions were made for taxes, bonds, pensions, union dues, etc.

Insert regional accounts data from CA30 Regional Economic Profiles -- YourCounty
available from the U.S. Department of Commerce, Bureau of Economic Analysis for the
most current five-year period. The column labels and figure heading, as well as the
figures for the average earnings per job in Kansas, may need to be adjusted to reflect the
most current data available and corresponding years. “Number change” and “percent
change” are not specified in the data and require calculation. To calculate “number
change,” subtract the figure in the second column from the figure in the sixth column. To
calculate “percent change,” divide the number change (seventh row) by the figure in the
second column and round to the closest whole number.

Discuss the overall trends in average earnings per job and the various components for
YourCounty. Did growth in average earnings keep pace with average inflation of 2.4
percent annually or 12 percent for the period? Did county growth keep pace with the
statewide average?




                                                             50
                 Table 2.9 Number of Workers Per Family in YourCity (1999)
                                        Married     Single    Percent of   Multiple    Aff.
                                         Couple     Parent       All       of Avg.    Monthly
                                        Families   Families    Families    Earnings   Housing
                                                                                       Cost
No Workers
One Worker
Two Workers
Three or More Workers
Total Families                                                    -           -          -
Source: U.S. Bureau of the Census, 2000 Census


Table 2.9 shows the number of workers per family as reported in the 2000 Census for
YourCity.

Insert the census data from Summary File 3, Table P48. Family Type by Workers in
Family in 1999, Married-couple Families in the second column. Single-parent families
are not specified in the census but can be calculated from Table P48 by adding the figures
under male householder and female householder by workers in the family. Calculate the
total families for each of these household types. To calculate percent of all families, add
the figures by household type (columns two and three) for each row and divide by the
total families in columns two and three. Calculate “Multiple of Avg. Earnings” by
multiplying the number of workers per family (0, 1, 2 and 3+) by the average earnings
per job for the most recent year as reported in the previous table. Once this is completed,
calculate the “Aff. Monthly Housing Cost” by dividing figures in the “multiple of
average earnings” column by 12 and then multiplying by 30 percent.

Discuss the distribution of families in YourCity by the number of workers. Are there a
disproportionately large number of families with zero or one worker, therefore limiting
incomes and housing choices?

Housing is considered affordable if less than 30 percent of the household income goes for
housing expenses including rent and utilities if renter-occupied or mortgage payment,
taxes, insurance and utilities if owner-occupied.

What is the affordable monthly housing cost for families making the average wage in
YourCounty in the most recently reported years?




                                                     51
                   Table 2.10 Wages by Industry in YourCounty (1998 - 2002)
                                     199          1999             2000              2001          2002 Avg.            2002
                                      8                                                            Employed            Kansas
Private Wages                         $             $                 $                $                               $29,643
Ag, Forestry & Fishing                $             $                 $                $                               $25,488
Mining                                $             $                 $                $                               $36,662
Utilities                             $             $                 $                $                               $65,587
Construction                          $             $                 $                $                               $34,131
Manufacturing                         $             $                 $                $                               $40,544
Wholesale Trade                       $             $                 $                $                               $42,620
Retail Trade                          $             $                 $                $                               $19,916
Transport/Warehousing                 $             $                 $                $                               $31,898
Information                           $             $                 $                $                               $46,871
Finance & Insurance                   $             $                 $                $                               $42,956
Real Estate, Leasing                  $             $                 $                $                               $26,209
Prof./Tech. Services                  $             $                 $                $                               $43,184
Management                            $             $                 $                $                               $50,723
Admin/Waste Services                  $             $                 $                $                               $23,251
Educational Services                  $             $                 $                $                               $26,024
Health Care/Social Asst               $             $                 $                $                               $29,139
Arts/Entertainment/Rec                $             $                 $                $                               $13,441
Accom & Food Service                  $             $                 $                $                               $10,834
Government                            $             $                 $                $                               $29,772
Average Earnings in                   $             $                 $                $                               $30,824
YourCounty
 Source: Kansas Annual Employment & Wages 1996-1999, Kansas Labor Market Information; (TCPU-transportation, communications and
 public utilities; FIRE-finance, insurance and real estate)



 Table 2.10 shows covered employment and average yearly wage by industry division for
 YourCounty from year to year. Also included are the most recent annual employment
 figures by industry. Covered employment relates to employers who are subject to the
 unemployment insurance provisions of the Kansas Employment Security Law.

 Insert data from the Kansas Annual Employment & Wages Report 1996-1999 available
 from the Kansas Department of Human Resources, Labor Market Information for the
 industries in your county. The figure heading may need to be changed to reflect the most
 recent available data and corresponding year.

 Discuss the average annual wages in your county. What types of industries have the
 highest average wages? Which industries have the lowest wages? Do the lower paying
 industries employ a disproportionately large portion of employees? Compare to
 employment by industry (Table 2.6). What are the average wages for growing industries?
 What about declining industries?




                                                             52
        Table 2.11 Top 10 Occupational Categories with Average Wages (2003)
Occupation                        Establishments           Employment      Average       Average
                                                                         Hourly Wage   Annual Wage




Source: Kansas Department of Human Resources, Labor Market Information



Table 2.11 shows the top 10 occupational categories in YourCounty with the number of
establishments and employees, average hourly wage and average annual wage.
Establishment is defined as an economic unit, such as a factory, mine or a store, which
produces goods or services. It is generally at a single location and engaged predominantly
in one economic activity. Employment is the number of employees who can be classified
as full- or part-time employees. The survey excludes the self-employed, owners/partners
of unincorporated firms and unpaid family workers. Wages are straight-line, gross pay,
exclusive of premium pay. The annual wage estimates are calculated by multiplying the
average hourly wage by a year-round, full-time hours figure of 2,080 hours (52 weeks x
40 hours).

Insert data for industries in your region of the state from the Kansas Wage Survey,
available from the Kansas Department of Human Resources, Labor Market Information.
The figure heading may need to be changed to reflect the most recent available data. To
calculate average annual wage, multiply the average hourly wage in each row by 2,080
(40 hours per week x 52 weeks per year).

Discuss the average annual wages for occupations in YourCounty. What major
occupations have the highest average wages? Which occupations have the lowest wages?
Do the lower paying occupations employ a disproportionately large portion of
employees? What is the range of affordable monthly housing cost for these occupations?




                                                            53
Major employers
Information from major employers is pertinent to an analysis of the economic stability of
the community. Because of the impact of job opportunities on housing decisions, it is also
important to know if there have been any significant recent changes in the number of
employees or if the larger employers intend to increase or decrease the number of
employees in the immediate future.

                          Table 2.12 Major Employers in the YourCity Area
Company Name                       Product/      Year         Current            Avg. Yearly
                                   Service    Established    Employees             Wage
                                                                                   $ Line
                                                                                  $ Mgmt




Source: YourCity Housing Partnership



Table 2.12 lists the major employers in YourCity and YourCounty, their product or service,
year established, number of employees and average yearly wage.

Insert data from the Major Employers Survey distributed by members of the YourCity
Housing Partnership. Under “average yearly wage” segregate data by line and management
personnel as demonstrated in the first row.

Discuss the number and diversity of major employers in your area. How many of the
employers have been in the area for a considerable length of time, indicating stability in the
business. What is the wage range for line and management personnel? What is the maximum
affordable housing costs relating to these wages? Is there suitable housing available in these
price ranges in your community? Summarize findings from the surveys regarding interest in
employer assisted housing programs or willingness to promote housing and homebuyer
education through the business. How many employees commuted more than 30 miles to work
in your area? How does this compare with the number of local residents commuting out of the
area to work?

For each major employer, write a paragraph summarizing information provided on the Major
Employers Survey distributed by members of YourCity Housing Partnership. Include
company name, address, phone number and human resource contact as well as the responses
to the survey questions.

                                                54
55
               Table 2.13 Estimated Growth in Employment (–2001 – CYR+3)
Company Name                       Actual Growth    Average      Estimated      Estimated
                                   in Employees      Annual      Growth in     Wage Range
                                                   Growth Rate   Employees




Total Growth
Source: YourCity Housing Partnership



Table 2.13 shows recent growth trends for major employers in YourCity in addition to the
estimated number of employees to be added over the next three years with the estimated wage
range for these new employees.

Insert data from the Major Employers Survey distributed by members of the YourCity
Housing Partnership. The table heading may need to be changed to reflect the correct dates.
Under “Actual Growth in Employees,” subtract the most recent total for employees from the
figure for three years ago. To calculate “Average Annual Growth Rate,” divide the figure
under the second column by the three-year employment high as reported on the survey.
“Estimated Growth in Employees” and “Estimated Wage Range” refer to the estimates
provided by the respondents as to the number of employees to be added in the next three years
and the entry-level wages.

Identify potential growth sectors within the local economy. Discuss any anticipated changes in
employment including plant closings, openings, expansions or cutbacks, with a particular
emphasis on the potential effect on the housing market during the next three years. Provide
information on the types of new jobs being created and lost, including data on wage scales and
how these wage levels relate to housing affordability. Does estimated growth seem reasonable,
considering growth trends in recent years?




                                                   56
Housing Profile
The housing profile describes the supply of housing, the adequacy in meeting local needs and
the affordability of the housing inventory in your area. Supply is shown in the number of new
and existing units, structural type, tenure, vacancy rates, number of bedrooms, mobile home
parks, market-rate rental housing and the residential sales market. The housing inventory is
also examined to identify whether adequate housing is available for special needs populations
such as government-subsidized rental projects, college dormitories, wheelchair-accessible
units, group homes or independent living facilities for the disabled, housing options for the
elderly, as well as emergency shelters or transitional housing for the homeless. Adequacy is
shown by the age of structures, quality characteristics and substandard units needing
demolition or rehabilitation. Finally, housing affordability is evaluated for both owner- and
renter-occupied housing to determine local costs and the number of households experiencing a
cost burden. Affordability standards are established to delineate the maximum affordable
housing costs for the area.

Housing Supply
A community’s existing housing supply affects the market choices of housing consumers
within different income, age and tenure groups. Levels of production and vacancy rates for
rented and owned units are indicators of the local supply of existing and newly-constructed
housing units.

Occupancy and Tenure
Homeownership is at an all-time high in the United States with two-thirds of the nation’s
households now owning their homes. Homeownership in rural areas is even more popular,
with three-fourths of the units occupied by owners. While the overall homeownership rate is
high, the gap between the ownership rates of low-income and higher income households
remains wide. Low-income families are constrained by a lack of information about how to
buy a home; an inability to provide sufficient, stable income streams for debt service; a lack of
initial equity and the inability to find a home of adequate quality in a desirable location.

Furthermore, the predominance of homeownership in rural areas has often overshadowed the
needs of rural renters, who tend to have lower incomes and experience some of the most
significant housing problems in the United States. With demographic shifts due to aging baby
boomers in conjunction with a growth in single-person households in rural communities, the
need for adequate and affordable rental housing in rural areas is still vitally important.




                                              57
                                    Table 3.1 Occupancy and Tenure (2000)
                                              YourCity        YourCounty                 Kansas
                                           Number Percent   Number Percent          Number Percent
 Occupied Housing Units                                                            1,037,891    92
   Owner-occupied                                                                   718,703     69
   Renter-occupied                                                                  319,188     31
 Vacant Housing Units                                                                93,309      8
 Total Housing Units                                 -                     -       1,131,200     -
Source: U.S. Bureau of the Census, 2000 Census



Table 3.1 shows the number of occupied housing units in YourCity in comparison to
YourCounty and Kansas according to the 2000 Census. A housing unit may be a house, an
apartment, a mobile home, a group of rooms or a single room that is occupied, or vacant but
intended for occupancy, as a separate living quarter. All occupied housing units are classified
by tenure, that is, either owner-occupied or renter-occupied. A housing unit is classified as
occupied if it is the usual place of residence of the person or group of people living in it at the
time of the census enumeration, or if the occupants are only temporarily absent; that is, away
on vacation or business. A housing unit is owner-occupied if the owner or co-owner lives in
the unit even if it is mortgaged or not fully paid for. All occupied housing units that are not
owner-occupied, whether they are rented for cash rent or occupied without payment of cash
rent, are classified as renter-occupied. Housing units in continuing care or life care facilities
are included in the “rented for cash rent” category.

Insert the census data from Table QT-H1. General Housing Characteristics: HOUSING
OCCUPANCY STATUS and HOUSING TENURE including the number and percent. Round
the percentage to the closest whole number.

Discuss the percentage of housing units in YourCity and YourCounty that are occupied.
Compare the homeownership rate with the state and national average of 75 percent for rural
communities. What was the net gain in total housing units from 1990 to 2000 and how was
this growth reflected in owner- versus renter-occupied units? Does this indicate that housing is
being lost through demolition, natural causes or conversion to commercial use at a faster pace
than it is being replaced?

A housing unit is vacant if no one is living in it at the time of enumeration, unless its
occupants are only temporarily absent. Units temporarily occupied at the time of enumeration
entirely by people who have a usual residence elsewhere are also classified as vacant.
Seasonal, recreational or occasional use housing units include vacant units used or intended
for use only in certain seasons, for weekends or other occasional use throughout the year.
Interval ownership units, sometimes called shared ownership or time-sharing condominiums,
are included in this category.



                                                    58
Identify the numerical change in vacant units from 1990 to 2000. Contrast this change to the
increase in total households during the same period. Does this comparison reveal that housing
units are being replaced at a faster or slower rate than the creation of new households?
Compare the percentage of vacant units in YourCity with that for YourCounty and the state.
Use census data from Table QT-H1. General Housing Characteristics: VACANCY STATUS to
show status of vacancies. How many units are for rent, for sale, rented or sold but not
occupied, for seasonal or occasional use, for migratory workers, or reported as other vacant?
What is the cause of the “other vacant” units? Are the units uninhabitable due to physical
conditions (poor code enforcement) or legal constraints (trusts, estates)?

Tenure by Race of Householder: Using the census data from Summary File 3, H11.
TENURE BY RACE OF HOUSEHOLDER, add owners and renters for each racial category to
calculate the total households by race. Then divide the owner households by the total
households for each race to calculate the homeownership rate. Discuss the homeownership
rate among various racial groups. Contrast the homeownership rates by tenure to data for the
total population. Does this indicate a need for special focus to encourage ownership within a
particular race? Using census data from Table QT-H5. Physical Housing Characteristics-
Vacant Units Selected Characteristics, discuss the condition of vacant units regarding
availability of plumbing and kitchen facilities.

                                    Figure 3.1 Vacancy Rates (2000)
         9.0                                                            8.8
         8.0
         7.0
         6.0                                                                        YourCity
         5.0                                                                        YourCounty
         4.0                                                                        Kansas
         3.0                                     2.0
         2.0                                                      1.0
                          1.0        1.0                    1.0
         1.0
         0.0
                           Owner-occupied                   Renter-occupied
Source: U.S. Bureau of the Census, 2000 Census


Figure 3.1 shows the vacancy rates in YourCity, YourCounty and the state as reported in the
2000 Census. These rates are separated by tenure in the housing units, that is, owner- versus
renter-occupied units. The homeowner vacancy rate is the proportion of the owner-occupied
housing inventory that is vacant and for sale. It is computed by dividing the number of vacant
units for sale only by the sum of owner-occupied units plus vacant units that are for sale only,
and then multiplying by 100. The rental vacancy rate is the proportion of the rental inventory
that is vacant and for rent. It is computed by dividing the number of vacant units for rent by
the sum of the renter-occupied units plus the number of vacant units for rent, and then
multiplying by 100. Neither the homeowner nor the rental vacancy rates take into account
housing units reported as “other vacant” in the census, which refers to units not actively for
sale or rent.


                                                       59
To allow adequate consumer choice at all income levels, HUD states that the minimum
vacancy rate for owner-occupied housing is 1.5 percent. For rental housing, HUD considers a
market with fewer than 5 percent vacant units to be “too tight.”

Double click on the above figure and replace YourCity and YourCounty row headings in the
datasheet with appropriate names. Insert the census data from Table DP-1. Profile of General
Demographic Characteristics: HOUSING OCCUPANCY. Do not round to the nearest whole
number -- report the percentage as shown in the census data. Hit Escape to close the datasheet.

Discuss the homeownership and rental vacancy rates in YourCity. Do these rates appear
adequate to provide consumer choice in the local housing market according to the HUD
standards? Did these rates increase or decrease from 1990 to 2000? What was the effect of
housing production or conversion on the vacancy rate? Compare the rates in YourCity to those
in YourCounty and the state.

Overall vacancy rates can mask a community’s real housing availability situation. In reality,
some of those units are too expensive, too large, too small, substandard or obsolete for today’s
lifestyles. In addition, some are wheelchair inaccessible, located at unacceptable junctions (too
far from jobs or schools), or managed by persons who discriminate against certain prospective
tenants. The effective vacancy rates, consisting of the units from which tenants really can
choose, usually aren’t known or published.

                   Table 3.2 Tenure by Units in Structure for YourCity (2000)
                              Owner-occupied           Renter-occupied    Vacant    Total Units
                            Number          Percent   Number    Percent   Number Number    Percent
1-Unit Detached
1-Unit Attached
2 Units
3 or 4 Units
5 to 9 Units
10 to 19 Units                   -               -
20+ Units                        -               -
Mobile/Manuf.
Boat, RV, Van
Total Units                                      -                 -                          -
Source: U.S. Bureau of the Census, 2000 Census


Table 3.2 shows a distribution of units by various types of structures in YourCity as reported
in the 2000 Census. Data is also separated by owner-occupied, renter-occupied and vacant
units. A structure is a separate building that either has open spaces on all sides or is separated
from other structures by dividing walls that extend ground to roof. In determining the total
number of units in a structure, all housing units, both occupied and vacant, are counted. Stores

                                                        60
and offices are excluded. The statistics are presented for the number of housing units in
structures of specified type and size, not for the number of residential buildings. “Boat, RV
and Van” was a new category added on the 2000 Census, in addition to separate categories for
duplexes and structures with 20 or more units.

Nationwide, single-family detached homes are the predominant type of housing in rural areas,
comprising nearly two-thirds of nonmetro units. Attached and multifamily units make up
approximately 13 percent, due in part to the small number of rental units in rural areas. Mobile
or manufactured homes continue to be one of the nation’s fastest growing housing segments,
comprising one-quarter of all new housing starts in the United States in 2000. Nationwide,
manufactured homes make up approximately 7 percent of all occupied structures, while the
proportion in rural areas is double the national percentage, comprising nearly 15 percent of
nonmetro housing units.

Insert the census data from Table QT-H10. TENURE BY UNITS IN STRUCTURE in the
columns labeled “Owner-occupied” and “Renter-occupied” including number and percent.
Round the percent to the closest whole number. Insert the census data from Table QT-H5.
Physical Housing Characteristics – Vacant Housing Units: UNITS IN STRUCTURE in the
column labeled “Vacant.” Insert the census data from Table DP-4. Profile of Selected Housing
Characteristics: UNITS IN STRUCTURE including number and percent in the column labeled
“Total Units.” Round the percent to the closest whole number.

Discuss the distribution of housing units by type of structure in YourCity. Compare the
percentages to the statistics for the nation. Discuss the possible reasons for the variance such
as lack of land appropriately zoned for such facilities or lack of acceptance of a particular type
of structure. What are the housing options for people seeking rental housing versus
homeownership opportunities? Which types of structures increased in number over the past
decade? In comparing differences in structures by tenure to building permits issued during the
same period, does this indicate a shift in tenure from owner to renter or vice versa. Compare
vacancies to the total number of units by structure to determine vacancy rates (number of
vacant units / number of total units). Which type of structure has the lowest vacancy rates?
What does this indicate in regards to the need for housing units by structure in the future?

                      Table 3.3 Tenure by Bedroom Count in YourCity (2000)
                              Owner-occupied          Renter-occupied   Vacant   Total Units
                             Number Percent          Number Percent     Number Number Percent
No Bedroom
1 Bedroom
2 Bedrooms
3 Bedrooms
4 Bedrooms
5+ Bedrooms
Total Units                                      -               -                           -
Source: U.S. Bureau of the Census, 2000 Census


                                                       61
Table 3.3 shows a distribution of units by bedroom count in YourCity as reported in the 2000
Census. Data is also separated by owner-occupied, renter-occupied and vacant units.

Insert the census data from Table QT-H8. Rooms, Bedrooms and House Heating Fuel:
TENURE BY BEDROOMS in the columns labeled “Owner-occupied” and “Renter-occupied”
including number and percent. Round to the nearest whole number. Insert the census numbers
from Table QT-H5. Physical Housing Characteristics – Vacant Housing Units: BEDROOMS
in the column labeled “Vacant.” Round to the nearest whole number. Total units are not
specified in the census data and require calculation. To calculate the total units, add numbers
for owner- and renter-occupied in addition to vacant units in each row. To calculate the
percentage, divide the figure in each row by the total units.

Discuss what size housing units in YourCity constitute the bulk of units. Compare to the
distribution of housing units separated by owner- versus renter-occupied units. What size of
housing units increased and which decreased in number from 1990 to 2000? Compare
vacancies to the total number of units by bedroom size to determine vacancy rates (number of
vacant units / number of total units). Which size of housing units has the lowest vacancy rates?
What does this indicate in regards to the need for housing units by bedroom count in the
future?

                         Table 3.4 Building Permits Issued (1990 to Present)
Year                   Single-         $ Value   Multifamily Multifamily   $ Value/     Total
                       family                     Buildings    Units         Unit       Units
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
Total
Source: YourCity Housing Partnership


                                                    62
Table 3.4 shows building permits issued by year for single-family and multifamily dwellings
in YourCity from 1990 to present.

Insert data available in the C40 Construction Report produced by the U.S. Bureau of the
Census. If your community does not report statistics to be included in this report, then insert
information gathered by members of YourCity Housing Partnership regarding building
permits issued since 1990. The row headings may need to be expanded to reflect the most
current year.

Discuss the distribution of building permits issued and value among types of units. How many
units on average have been built in recent years? What is the average price of single-family
and multifamily units? Compare average production levels in recent years to the pace of new
household creation. Is an adequate supply of new homes being built to provide a choice of
units with modern design and features in the marketplace? Compare building permit
information to census data on occupancy and tenure. Does this suggest a conversion of owner-
occupied to renter-occupied units or visa versa?

Anticipated Housing Construction:
Insert information gathered by members of YourCity Housing Partnership regarding housing
units in the planning stages or approved to begin construction. How many single-family
homes or larger housing projects have been approved for construction or are in the planning
stages? What are the location and the expected price range?


Freestanding Mobile Homes and Mobile Home Parks
The manufactured home of today had its roots in the trailer coaches of the 1920s. In 1974,
Congress passed the National Mobile Home Construction and Safety Standards Act, also
known as the HUD Code. The effect of the federal regulation was to define mobile homes as
buildings rather than vehicles. The Housing Act of 1980 reinforced this move by mandating
the use of the label “manufactured housing” versus “mobile homes” in all federal law and
literature for homes built since 1976.

Many types of structures are built in the factory and designed for long-term residential use. In
the case of manufactured and modular homes, units are built in a factory, transported to the
site and installed. Modular homes are built to state, local or regional building codes where the
home will be located, which are usually more stringent that the regulations set forth in the
HUD Code that manufactured homes must meet. In panelized and pre-cut homes, essentially
flat subassemblies such as factory-built panels or factory-cut building materials are transported
to the site and assembled.

Mobile or manufactured housing is an important and growing source of housing in
nonmetropolitan parts of the United States. Between 1980 and 1990, the decennial census
reported an increase in mobile homes of over 50 percent in nonmetro areas, with communities
with less than 2,500 population reporting average increases of 61 percent. Low cost is
probably the most compelling factor accounting for the popularity of manufactured housing.

                                               63
Describe city ordinances regulating the placement of freestanding mobile homes or travel
trailers within the city limit. What is the definition used for mobile home? Does it include
modular units built to national building codes?

Describe city ordinances regulating the maintenance and operation of mobile or manufactured
home parks within the city limits. Is a license required to operate a park? If so, what are the
requirements?

                               Table 3.5 Availability in Mobile Home Parks
Park                    Total Lots        Lots/Trailers      Monthly      Vacant Lots/   Waiting List
                                            for Rent        Lot/Trailer   Vacant Units
                                                              Rent
                                                                $
                                                                $
                                                                $
Total                                                           $
Source: YourCity Housing Partnership



Table 3.5 shows the number of lots available in mobile home parks, monthly lot rent and
vacancies.

Discuss the number of mobile/manufactured home and travel trailer parks within YourCity.
Are there additional parks directly outside the city limits? Of the parks surveyed, how many
lots are available and what is the overall vacancy rate (total number of vacant lots / total
number of lots)? If the overall vacancy rate is less than 5 percent or some parks reported
waiting lists, then demand is indicated for additional lots. Are all segments of this market
satisfied with the extremes defined as parks with few amenities that take older mobile homes
versus parks with amenities (laundry facility, playground, storm shelter) that take only newer
model manufactured homes? Are there plans to build new parks or expand the existing ones?

Briefly describe each mobile/manufactured home park, its location, features and amenities.
Repeat for each park located in the community and the surrounding area.

                                                 (Insert Picture)
                                       Figure 3.2 Mobile Home Park


Market-rate Rentals
Convenient location, freedom from responsibility for maintenance and repair, and
affordability are among the many reasons that people chose to rent. Rental apartments have
long comprised an important component of the nation’s housing stock. In the 1920s, the
United States was a nation of renters, with over 50 percent of the households living in rental
units. While this percentage has fallen since World War II, renters still comprise over one-

                                                       64
third of the households. Nationwide, renter households normally consist of married couples or
people living alone under 35 years of age. The majority of these households do not have
children living in the unit. Demand for rental housing is also associated with the number of
elderly people in the community.

Renters comprise a smaller portion of rural households — about 25 percent on average—
where the rates of homeownership are generally higher. In addition to the challenge of
securing good quality rental units because of the limited stock, rural renters also face a variety
of housing problems. These include a greater incidence of cost burden, a greater likelihood of
living in substandard housing and more overcrowding than rural homeowners.

                          Table 3.6 Availability in Market-Rate Rental Units
Project Name                             Mix of      Size (SF)       Rents   Vacancies   Waiting
                                         Units                                            List
                                                                      $
                                                                      $
                                                                      $
Total                                                                 $
Source: YourCity Housing Partnership



Table 3.6 shows market-rate rental units in YourCity with the mix of units, rental rates and
vacancies identified.

Insert data collected by members of YourCity Housing Partnership on market-rate rental units.
To calculate “Total,” stratify results by bedroom count. Discuss the number of rental projects
within YourCity. Of the projects surveyed, how many units are available and what is the
overall vacancy rate (total number of vacant units / total number of units)? If the overall
vacancy rate is less than 5 percent or some projects reported waiting lists, then demand is
indicated for additional units. Are all segments of this market satisfied, i.e., elderly versus
young adults, families versus people living alone, multifamily projects versus single-family
homes, etc.? Do the vacancy rates differ in the various market segments?

Briefly describe each rental project, its location, features and amenities. Repeat for each rental
project in the community. Single-family or smaller multifamily rental units held by a single
landlord could be porfolioed, as for example ‘Smith Rentals”, and included in this summary as
well.

Apartment Buildings, located at


                                                  (Insert Picture)
                                       Figure 3.3 Apartment Buildings




                                                        65
Duplexes, located at


                                        (Insert Picture)
                                   Figure 3.4 Duplexes

Single-family Rental, located at

                                        (Insert Picture)
                              Figure 3.5 Single-family Rentals



Downtown Housing
Housing has always been a common use for upper floors of a community’s retail district, both
as renter- and owner-occupied units. In many downtown areas, a large amount of upper floor
space is vacant or used for storage. A 1998 survey conducted by the Brookings Institute and
the Fannie Mae Foundation found that one of the fastest growing segments of the nation’s
housing market is downtown housing and the growth is not restricted to large cities. Many
smaller towns are seeing a growing market for this type of housing as well.

Downtown housing is attractive to seniors because of the accessibility to services and
activities downtown. Young professionals, another potential market, view downtown housing
as a means to obtain living accommodations close to work. Affordable housing, including
housing for college students, is yet another possible market.

Are there housing units in your downtown area? Are there buildings with unused or
underutilized upper stories that pose a potential for conversion to housing? What market
segments (elderly, young professionals, single people) might this type of housing attract?
What hurdles exist to developing housing downtown, i.e., lack of a cost-sensitive
rehabilitation code, experienced developers or contractors, or financing incentives?


Homeownership Opportunities
The supply of existing single-family attached or detached homes affects homeownership rates
in a community. Incentives offered to first-time homebuyers, such as down payment
assistance or low-interest loans, can strengthen the demand for affordable starter homes. In
addition to the supply of housing, the availability and costs of lots can affect the market for
construction of new homes.




                                              66
                Table 3.7 Residential Sales Market Activity from CYR-4 - CYR
                                                    2000    2001        2002    2003      2004
Number of Single-family Units Sold
  Average Sale Price
  Median Sale Price
Total House Sales
Number of Lots Sold
  Average Sale Price
  Median Sale Price
Total Lot Sales
Source: YourCity Housing Partnership



Table 3.7 shows residential sales market activity in YourCity for the past five years.

Insert data collected by members of YourCity Housing Partnership regarding listings from
assessor or city clerk regarding sales of homes and lots during the past five years.

How many houses sold in the last five years and what was the annual average? What was
the average price of houses sold in comparison to the median price? Is the average or
median sale price of a house affordable to households at or below median income?
How many lots sold in the last five years and what was the annual average? What was the
average price of lots in comparison to the median price? Are lot costs reasonable enough to
contribute to the total cost of a new affordable home? Discuss trends in the residential sales
market as indicated on data collected from realtors. What is the average number of days on the
market? A relatively short marketing period indicates a strong real estate market. Do realtors
utilized available homeownership programs to aid potential homebuyers? Are realtors involve
in homebuyer education classes offered in the community?

                         Table 3.8 Residential Units for Sale in Month, Year
                                       Number     Square     Over 50      Price Range    Median
                                       of Units   Footage   Years Old                     Price
Single-family Homes
  One-bedroom Units
  Two-bedroom Units
  Three-bedroom Units
  Four-bedroom Units
  Five-bedroom Units
Condominiums
Mobile Homes
Total Homes
Source: YourCity Housing Partnership




                                                      67
Table 3.8 summarizes existing residential units for sale.

Insert information from the local Multiple Listing Service report or a compilation of listings
provided by local real estate agencies collected by members of YourCity Housing Partnership.
The MLS report provides an up-to-date listing of homes that are for sale in the community.
Although the report does not represent properties being sold without the assistance of a realtor
(called FSBOs - For Sale By Owner), it does provide a good approximation of the number of
homes for sale. Listings provided by local real estate agencies also have some shortcomings.
Homes offered by agencies outside of the community as well as FSBOs are not included in the
summary. Some FSBOs could be listed in the local paper and could be added to the summary.
Include the appropriate disclaimer in your narrative. Stratify results by bedroom count.

Discuss the number of for-sale units available within YourCity. What is the size and price
range of housing for sale? What is the median price? Compare these prices to the price of new
construction. What is the overall vacancy rate (total number of units for sale / total number of
owner-occupied units)? If the overall vacancy rate is less than 1.5 percent or the vacancy rate
for a particular size of unit is low, then additional demand may be indicated. Are all segments
of this market satisfied, i.e., housing appropriate for elderly versus young families, first-time
homebuyers versus move-up buyers, single-family homes versus townhouses or garden
apartments? Do the vacancy rates differ in the various market segments?

(Insert Picture)                                      (Insert Picture)
Figure 3.6 House for Sale                             Figure 3.7 House for Sale
(Address, Bedrooms, Price)                            (Address, Bedrooms, Price)

                          Table 3.9 Residential Lots for Sale in Month, Year
Address or Subdivision                 Size of Lot             Infill/New          Asking Price
                                                              Subdivision




Source: YourCity Housing Partnership



Table 3.9 shows an inventory of available, buildable residential lots including the size of lot
and asking price. A developed lot is one that is already served by water, sewer and other
utilities and has access via a paved street.

Insert information from the local Multiple Listing Service report or a compilation of listings
provided by local real estate agencies collected by members of YourCity Housing Partnership.

Discuss the number of lots available within YourCity. What is average size and price range of
lots for sale? Compare prices of lots in new subdivision to those for infill lots in older areas of
the community. Have physical constraints of the lot or conditions of the surrounding housing
units restricted building on certain lots? Are there sufficient lots affordable to potential first-


                                                     68
time homebuyers versus upper-income households? Does the local government assist with the
cost of infrastructure in new subdivisions?

Using information collected on the Developers Survey by members of YourCity Housing
Partnership, briefly describe the existing subdivisions in your community which have lots
available? When was the subdivision built? What is the address and location of the
subdivision within the community? How many lots were developed and have many lots
remain? What was the average size and sale price of developed lots? Were lots sold to other
builders or did the developer alone build on the lots? What is the range of housing cost within
the subdivision? Do covenants govern the size of houses, housing features or other land uses?

                   Table 3.10 Availability of First-time Homebuyer Incentives
Program                             Program      Administering    Amount of      Program Period
                                    Agency         Agency         Incentive
Direct Rural Housing              USDA Rural        Direct          100%         First-come, First-
Loan                              Development                     Financing      serve Pool Opens
                                                                                     in October
FHA Section 203(b)                     FHA/HUD                   97% Financing      Year-round
Mortgage Insurance
Guaranteed Rural                  USDA Rural                        100%            Year-round
Housing Loans                     Development                     Financing
Rural First-time                   FHLBank                       $4,000 DPA,     First-come, First-
Homebuyers Program                  Topeka                       $50,000 max     serve Pool Opens
                                                                   per bank      in March & Sept.
Targeted Ownership                     FHLBank                   $4,000 DPA,     First-come, First-
Program                                 Topeka                   $20,000 max      serve Pool Runs
                                                                   per bank        Jan. thru Aug.
                                                 Local Banks
                                                    Local
                                                 Nonprofits
                                                 City/County
Source: YourCity Housing Partnership



Table 3.10 shows the availability of incentives offered to first-time homebuyers in YourCity.
These programs could include down payment assistance, low-interest loans, guaranteed loans
with little or no down payment required, etc.

Discuss the type of first-time homebuyer programs available within YourCity. Are there
sufficient programs and funds to support potential first-time homebuyers? Has the availability
of incentives, or lack of, affected housing sales?

Insert information from the local mortgage lenders, city and nonprofit housing organizations
collected by members of YourCity Housing Partnership. Briefly describe each program
including eligible applicants, incentives offered and contact information.


                                                    69
Direct Rural Housing Loan Program, Section 502, is administered by USDA Rural
Development. Insert the area RD office and phone number. Rural Development makes
loans available directly to low- and very low-income households at reasonable rates and
terms with no down payment to assist these households in obtaining homeownership.
Applicants at or below 50 percent of area median income may obtain 100 percent
financing to purchase an existing dwelling, purchase a site and construct a dwelling, or
purchase newly constructed dwellings. According to the RD community program
specialist, approximately how many households have been served in recent years through
this program? Has this money been fully utilized in this region in previous years? If so,
what steps could be taken to expand the pool of money available (i.e., Rural Housing
Partnerships, loan participations, etc.)?

FHA Mortgage Insurance for One- to Four-family Homes Program, Section 203(b), is
administered by HUD’s Federal Housing Administration (FHA). FHA insures mortgages
made by qualified local banks to people purchasing or refinancing a home of their own.
Insured loans may be used to finance the purchase of new or existing one- to four-family
housing, as well as to refinance debt. Down payment can be reduced to as little as 3 percent
and some closing costs can be financed. The maximum amount of the mortgage is limited,
depending on location. Using information collected by YourCity Housing Partnership on the
Mortgage Lenders Survey, list the local banks that are certified lenders for this program.
Approximately how many households have been served in recent years through this program?
Identify who the other banks would contact to become certified lenders.

Guaranteed Rural Housing Loan Program, Section 502, is administered by USDA Rural
Development. Insert the area RD office and phone number. Rural Development guarantees
loans made by eligible local banks to individuals or households to build, repair, renovate or
relocate a home, or to purchase and prepare sites, including providing water and sewage
facilities. Applicants for loans may have an income of up to 115 percent of the area median
income; be without adequate housing; and be able to afford the mortgage payment, taxes and
insurance but unable to obtain credit elsewhere. Loans are for 30 years, require no down
payment and the lender sets the interest rate. Using information collected by YourCity
Housing Partnership, list the local banks that are certified lenders for this program.
Approximately how many households have been served in recent years through this program?
According to the RD community program specialist, has this money been fully utilized in this
region in previous years? If so, what steps could be taken to expand the pool of money
available (i.e., Rural Housing Partnerships, etc.)? Identify who the other banks would contact
to become certified lenders.

Rural First-time Homebuyers Program, administered by FHLBank Topeka
(866.571.8155), provides funds through stockholder banks to assist rural first-time
homebuyers earning 80 percent or less of the area median income (based on mortgage revenue
bond rate) with down payment, closing costs and rehabilitation assistance. The funds are
reserved on a homebuyer-by-homebuyer, first-come, first-served basis. FHLBank stockholder
banks can request a maximum of $4,000 per household and an aggregate maximum of
$50,000 annually. The minimum down payment or equity requirement for the participating
buyer is $500. Local banks are required to register annually to participate in the program.


                                             70
Using information collected by YourCity Housing Partnership, list the local banks that are
registered to participate in the program currently. Approximately how many households have
been served in recent years through this program? Identify the local banks that could be
eligible to participate if a registration was completed by a specified deadline.

Targeted Ownership Program, administered by FHLBank Topeka (866.571.8155), provides
funds through stockholder banks to assist disabled or handicapped first-time homebuyers
earning 80 percent or less of the area median income (based on mortgage revenue bond rate)
with down payment, closing costs and rehabilitation assistance. The funds are reserved on a
homebuyer-by-homebuyer, first-come, first-served basis. FHLBank stockholder banks can
request a maximum of $4,000 per household and an aggregate maximum of $20,000 annually.
The minimum down payment or equity requirement for the participating buyer is $500. No
registration is required to participate in this program and all FHLBank stockholders can access
this funding source as needed from January through the end of August. Using information
collected by YourCity Housing Partnership, list the local banks that are FHLBank
stockholders and therefore, have access to this program. Approximately how many
households have been served in recent years through this program.

Absorption of Newly Constructed Apartments
Market absorption typically measures how quickly housing units are rented or sold
(absorbed) after construction is completed. The characteristics of the units such as
number of bedrooms, asking rent or price and amenities are useful information in
determining additional demand.

Discuss the length of time it took to lease the new units in recently completed housing
projects. Calculate the absorption rate by dividing the total units by the number of months it
took to reach full occupancy. Would this pace of absorption indicate strong demand? Discuss
the level of pre-sale or marketing efforts. What factors such as construction constraints or a
pre-approved waiting list affected the pace of lease up? Did the quality of the existing stock in
regards to physical condition, services or amenities affect rent-up?



Special Needs Housing
Special needs housing includes housing for low-income households, college students, disabled
people, seniors and homeless people. These groups usually require supportive housing
whereby special services such as job training and placement, health care and social services
are targeted to the population and integrated with the housing. Many of these groups have
limited choices when looking for a decent and affordable home of their own in rural
communities due to the limited stock of rental units. In addition, advocates of special needs
housing often face resistance in trying to provide supportive housing for special needs
populations.

NIMBY (Not In My Back Yard) is a term used to describe citizen-directed actions aimed at
preventing the development of low-income, affordable or special needs housing. Most

                                               71
communities have citizens who object to the development of special-needs housing next door.
Myths that the placement of this type of housing will result in lower neighborhood property
values continue despite the fact that these myths have been disproved by numerous studies.
The NIMBY phenomenon not only hurts individuals and groups who are excluded from
decent housing -- it prevents communities of all sizes from enjoying the benefits of diversity.


Government Subsidized Housing
The government assists in the provision of decent and affordable rental housing for lower
income households by providing direct loans, grants and rent subsidies, as well as mortgage
insurance for loans made by private lenders. These programs are offered by federal agencies
such as the U.S. Department of Housing and Urban Development and USDA Rural
Development, as well as state housing finance agencies, state departments of housing and the
Federal Home Loan Bank System.

Nine percent of all households in the United States received some type of government housing
assistance as reported in the 1997 American Housing Survey. In nonmetro areas, 10 percent of
owners with mortgages received lower cost mortgages from government assistance and 17
percent of renters obtain reduced rent through federal, state or local programs. Both rural
renter households who received government rental assistance and homeowners with lower-
cost government mortgages expressed a high satisfaction with the adequacy of their housing.
In addition, government housing assistance seems to have a significant impact on housing
quality and satisfaction, with nearly half of recent movers indicating that their current housing
is better than their previous units. Satisfaction with the new housing is most pronounced with
homeowners, since the majority previously rented.

             Table 3.11 Availability in Government-Subsidized Rental Projects
Project Name                           Mix of   Size         Rents       Vacancies       Waiting
                                       Units                                              List
                                                                $
                                                                $
                                                                $
Total                                                           $
Source: YourCity Housing Partnership



Table 3.11 gives details about government-subsidized rental projects in YourCity including
mix of units, rental rates and vacancies identified.

Insert data collected by members of YourCity Housing Partnership about government-
subsidized rental units. To calculate total, stratify results by bedroom count. Discuss the
number of rental projects within YourCity. Of the projects surveyed, how many units are
available and what is the overall vacancy rate (total number of vacant units / total number of
units)? If the overall vacancy rate is less than 5 percent or some projects reported waiting lists,
then demand is indicated for additional units. Are all segments of this market satisfied, i.e.,

                                                72
elderly versus young adults, families versus people living alone, multifamily projects versus
single-family homes, etc.? Do the vacancy rates differ in the various market segments?

Briefly describe each rental project, its location and amenities. Repeat for each government-
subsidized rental project in the community.

Apartment Building, located at

                                        (Insert Picture)
                           Figure 3.8 Apartment Building

Apartment Building, located at

                                        (Insert Picture)
                           Figure 3.9 Apartment Building


Section 8 Housing Choice Vouchers
The Section 8 rental voucher program is a federal government program that helps very low-
income households rent decent, safe and sanitary housing in the private market. Participating
households are responsible for locating housing that meets program health and safety
requirements and rent caps. The local public housing agency, Indian housing authority,
community development organization or the state housing agency administers the program,
which pays a rental subsidy directly to the landlord on behalf of the participating household.
The household then pays the difference between the actual rent and the subsidy, usually 30
percent of their income.

Participating agencies may now choose to administer a Section 8 Homeownership Program,
using part of their vouchers to assist first-time homebuyers. Through this program, vouchers
are used to help pay the monthly mortgage payment as opposed to the rent. Recent rulings
regarding the homeownership option provide that certain units owned or substantially
controlled by a PHA are eligible for purchase by voucher families participating in the
homeownership option. PHAs may also provide homeownership assistance in the form of a
single grant to be used toward the down payment required in connection with the purchase of
a home.

Insert data collected by members of YourCity Housing Partnership on the availability of
Section 8 vouchers in the community. Who is the administering agency? How many Section 8
vouchers are available in the market area and what is the size of the waiting list? Compare the
percentage of rental households receiving subsidy in YourCity to the national average of 17
percent in nonmetro areas. Compare the number of government-subsidized units plus
vouchers to the percent of the population earning less than 50 percent of area median income.
If a gap exists, are there sufficient market-rate units at lower rents to accommodate these
households without creating a housing cost burden?



                                              73
College Dormitories
The dorm is the traditional housing option for college students, especially undergraduates.
Much of a college student’s life centers around the residence halls. Living in a residence hall
provides a means to meet friends, share ideas and enjoy the day-to-day aspects of campus life.
On-campus dormitories provide living accommodations close to classes, the student center
and other college activities. In addition, the presence of adult “house parents” or older student
counselors is a built-in support system, especially for younger students.

                             Table 3.12 Availability in College Dormitories
 Dorm                       Mix of Units            Rents          Vacancies       Meal Plans
                                                       $
                                                       $
 Total                                                 $
Source: YourCity Housing Partnership



Table 3.12 shows campus housing available to students attending local institutions of higher
learning.

Insert data collected by members of YourCity Housing Partnership on the availability of on-
campus housing for students. What colleges or universities are located in YourCity? What is
their enrollment? Discuss the mix of units, rent range, vacancies and waiting list for current
student housing. What is the overall vacancy rate (number of vacant units / total number of
units)? If the overall vacancy rate is less than 5 percent or some of the dormitories have a
waiting list, then demand is indicated for additional units. Are all segments of the student
population being addressed, i.e., freshman, married students, and older adults? How many
students live off-campus and how many commute from outside of the community? What
school regulations govern the housing choices of students, particularly first-year students? Is
there a gap between on-campus housing and the student population in need of housing? If so,
are there sufficient market-rate units at lower rents to accommodate these households? What
impact does this have on the neighborhoods surrounding the school?

Briefly describe each campus housing project, its target population, features and amenities.

College Dormitory, located at

                                                (Insert Picture)
                                       Figure 3.10 College Dormitory




                                                      74
Housing for the Disabled
A HUD report entitled “A Report on Worst Case Housing Needs in 1999: New Opportunity
Amid Continuing Challenges,” said that the number of worst case renter households in the
United States declined 8 percent between 1997 and 1999. This decline in housing need
occurred among every group eligible for federal housing assistance except people with
disabilities, where increasing prosperity in the nation has meant literally being “priced out” of
the affordable housing market.

Cost of living adjustments to SSI benefit levels, the major income source for disabled persons,
did not keep pace with the increasing cost of rental housing. Between 1998 and 2000, rental
housing costs rose almost twice as much as the income of people with disabilities. In 2000,
there was not a single housing market in the country where a person with a disability receiving
SSI benefits could afford (30 percent of income) to rent a modest efficiency or one-bedroom
unit. Other issues that have contributed to the housing crisis for people with disabilities
include their lack of access to housing created through mainstream federal housing programs;
the blatant housing discrimination still practiced by owners and managers of federally
subsidized housing; and the lack of a federal housing policy to address the increasing need.

The most far-reaching protections for people with disabilities come from the Federal Fair
Housing Act Amendments of 1988 and Section 504 of the Rehabilitation Act of 1973. Section
504 contains design requirements applicable to federally funded new construction, public
housing or assisted housing with five or more units in the same project constructed after July
1988. It states that 5 percent of the housing must be fully accessible to persons with physical
impairments and 2 percent accessible to persons who are visually or hearing impaired. It also
grants, at no cost to the renter, the right to request and receive reasonable accommodations and
modifications.

                     Table 3.13 Wheelchair-accessible Rental Housing Units
Project                                   Mix of Units                Average Monthly Rent




Total Units
Sources: YourCity Housing Partnership



Table 3.13 lists the number and average monthly rent of wheelchair-accessible rental
housing units separated by bedroom size when available.

Insert data collected by members of YourCity Housing Partnership on both market-rate
and government-subsidized rental housing surveys that is specific to accessibility. How
many rental complexes and units are accessible to people with physical limitations,
offering limited entrance steps or an elevator? How many rental complexes and units are



                                               75
wheelchair-accessible with doors at least 32 inches wide? Compare the number of
accessible units with individuals reporting mobility limitations in Chapter 1.

                        Table 3.14 Group Homes for People with Disabilities
Facility                               Units or Beds            Vacancies       Waiting List




Total Units
Source: YourCity Housing Partnership



Table 3.14 shows group homes and independent living apartments for people with
physical or developmental disabilities or mental illness.

Insert data collected by members of YourCity Housing Partnership on the availability of
group homes or independent living apartments in your area? How many facilities and
units are available? What is the overall vacancy rate (total number of vacant units / total
number of units)? Do the facilities maintain a waiting list? If the overall vacancy rate is
less than 5 percent or some projects reported a waiting list, then demand is indicated for
additional units. Are all segments of this market satisfied (physical or developmental
disabilities, mental illness, group homes, independent living facilities, etc.)?

Briefly describe each rental project, its population, location, features and amenities.

Group Home, located at

                                                 (Insert Picture)
                                          Figure 3.11 Group Home


Independent Living Facility, located at

                                                 (Insert Picture)
                             Figure 3.12 Independent Living Facility



Housing for the Elderly
There really is no place like home. So say senior citizens when asked about their preference
for housing. They want to stay where they are, because their own home represents security
and independence. According to The Journal of Housing for the Elderly, some 70 percent of
seniors spend the rest of their life in the place where they celebrated their 65th birthday. That



                                                       76
is, they “age in place.” However, retirement, life changes or the need for care often
precipitates a move. For those willing to relocate, options should exist.

The elderly housing continuum broadly consists of homeownership, rental housing, assisted
living and long-term care facilities. Elderly households in rural areas are more likely to be
homeowners living in either single-family or mobile homes, positioning homeownership as
the most desirable housing option. Rental housing can include single-family homes,
apartments, retirement villages or rental complexes designed specifically for seniors. Active
seniors, seen as move-down buyers, may opt to rent to reduce home size and maintenance. A
variety of facilities should be available to elderly people capable of living independently or
with minimal assistance from family members or service organizations.

Assisted living facilities combine independent living with support services and social
activities. These facilities usually offer individual apartments or rooms and a full range of
services such as meals, house cleaning, laundry services, transportation and assistance with
basic activities of daily living. However, this housing option tends to be expensive, with
average costs ranging from $1,500 to $3,000. This affordability barrier precludes many low-
and moderate-income seniors from utilizing the assisted living option. Long-term care is
typically the final stage or option in the elderly housing continuum. Also known as nursing
homes, this least desirable housing option should be available to seniors who are entirely
dependent on medical and nursing care.

The availability of affordable housing choices for rural seniors is particularly important. About
one-quarter of rural householders are over the age of 65. Nearly half of these households are
poor or near-poor. Substandard housing continues to be a persistent problem among rural
seniors, with elderly renters consistently living in the poorest quality housing.
The U.S. population over the age of 65 will likely double from 1990 to 2025, increasing the
size of the elderly population to be served and further complicating the task of providing
decent affordable housing.

                                Table 3.15 Housing Options for the Elderly
Facility                               Units or   Type        Current      Waiting      Monthly
                                        Beds                  Vacant        List         Rate




Total Units
Source: YourCity Housing Partnership


Table 3.15 shows the senior housing options available in YourCity including condominiums
or cooperatives, independent living apartments, assisted living facilities and nursing homes.

Insert data collected by members of YourCity Housing Partnership on housing options for the
elderly. Include relevant information gathered on the market-rate and government-subsidized
rental housing surveys for projects serving the elderly. Discuss the number of elderly projects

                                                  77
by type within YourCity. Of the projects surveyed, how many units of each type are available
and what is the overall vacancy rate (total number of vacant units / total number of units)? If
the overall vacancy rate is less than 5 percent or some projects reported a waiting list, then
demand is indicated for additional units. Are all segments of this market satisfied, i.e.,
condominiums or cooperatives, independent living apartments, assisted living facilities and
nursing homes? Are all income segments of the population served? Do the vacancy rates
differ within market segments, indicating a stronger demand for a particular type of project?

Briefly describe each elderly housing project, its location features and amenities.

Condominium or Cooperative, located at

                                         (Insert Picture)
                    Figure 3.13 Condominium or Cooperative


Independent Living Facility, located at

                                         (Insert Picture)
                      Figure 3.14 Independent Living Facility


Assisted Living Facility, located at

                                         (Insert Picture)
                         Figure 3.15 Assisted Living Facility


Skilled Nursing Facility, located at

                                         (Insert Picture)
                         Figure 3.16 Skilled Nursing Facility


Shelter for the Homeless
The economic and social conditions affecting homeless individuals and families include
economic decline, growth in poverty, and housing inadequacy and affordability problems. The
first accounts of homelessness in rural areas appeared in the early 1980s, and the number of
reports documenting this problem has increased substantially since then. “Homeless” is
defined as “persons without shelter or resources to obtain shelter.” Battered women and
families living in overcrowded conditions who move frequently to relieve the strain on friends
and relatives are often labeled as “near-homeless” and counted in the homeless population.
Because of the lack of shelters and supportive services in rural areas, the homeless population
is more difficult to count. However, information regarding the problem can be gathered from
the sheriff or police departments, the Red Cross or local ministers and priests.


                                               78
Homeless programs include the provision of affordable housing through emergency shelters,
transitional or permanent housing or a voucher distribution system. In addition to affordable
housing, the homeless may require job training, mental or chemical abuse counseling or
protection from an abusive spouse. Local organizations and agencies must coordinate their
shelter and service programs to provide homeless persons and families with a full range of
social and physical resources that they may need.

Insert data collected by members of YourCity Housing Partnership on the availability of
housing options for the homeless. Estimate the number of homeless people in your
community and explain how the figure was derived? Briefly describe each emergency shelter,
transitional housing project or battered women's shelter, its location, features and support
services offered? What is the capacity of each of these facilities? How many homeless people
were served in recent years? Do these facilities consistently turn people away because they
lack adequate space?

Homeless Shelter, located at

                                                     (Insert Picture)
                                       Figure 3.17 Homeless Shelter


Housing Adequacy
Housing units typically decline in condition as they age causing a filtering process that
augments the supply of units affordable to low- and moderate-income households. However,
this filtering process often contributes to deterioration and abandonment of these older units if
market prices and rents are not sufficient to support routine maintenance.

                Table 3.16 Tenure by Year Structure Built as Reported in 2000
                            Owner-occupied              Renter-occupied      Vacant    Total Units
                          Number          Percent     Number       Percent   Number Number    Percent
1990 to 2000
1980 to 1989
1970 to 1979
1960 to 1969
1950 to 1959
1940 to 1949
1939 and earlier
Total Units                                      -                      -                        -
Source: U.S. Bureau of the Census, 2000 Census




                                                           79
Table 3.16 shows the age of the housing units in YourCity built through March 2000. Data is
also separated by owner-occupied, renter-occupied and vacant units. The year the structure
was built refers to when the building was first constructed, not when it was remodeled, added
to or converted. The data relates to the number of units built during the specified periods that
are still in existence at the time of the census enumeration. The age of structures can help
identify the portion of the housing inventory likely to have asbestos or lead paint problems or
those homes needing rehabilitation.

Insert census data from Table QT-H7. Year Structure Built and Year Householder Moved Into
Unit: YEAR STRUCTURE BUILT including number and percent in the columns labeled
“Owner-occupied” and “Renter-occupied.” Round the percent to the closest whole number.
Insert the census numbers from Table QT-H5. Physical Housing Characteristics – Vacant
Housing Units: YEAR STRUCTURE BUILT in the column labeled “Vacant.” Insert the census
data from Table DP-4. Profile of Selected Housing Characteristics: YEAR STRUCTURE
BUILT including number and percent in the column labeled “Total Units.” Round the percent
to the closest whole number. The number and percentage of structures built from 1990 to
March 2000 must be calculated by adding figures in the rows labeled “1990 to 1994,” “1995
to 1998,” and “1999 to March 2000.” Calculate the percent by dividing the sum of units built
from 1990 to 2000 by total units.

Discuss the approximate production levels (representing only housing still in existence) in
YourCity. What percentage of housing units in YourCity was more than 50 years old at the
time of the census (1949 and earlier)? Compare percentages in YourCity with the state
average. Compare the average yearly number of new housing structures (Table 3.4) in the last
three to five years with the average yearly number of units still in existence from previous
decades (estimated production levels). Have current production levels kept pace with
estimated production levels from previous decades? Discuss the age of structures separated by
owner- versus renter-occupied units. Is there a larger portion of older units occupied by renters
or owners? Discuss the age of structures that are vacant. What does this imply in regards to
housing need? A large percentage of older homes in comparison to the state is a strong
indicator of the need for both rehabilitation and replacement of deteriorating units.

                           Table 3.17 Housing Quality Characteristics (2000)
                                                 YourCity         YourCounty             Kansas
                                            Number    Percent   Number   Percent   Number      Percent
Lacking Complete Plumbing                                                           4,057         0
Lacking Complete Kitchen                                                            5,270         1
No Telephone Service                                                                29,276        3
Overcrowded Units                                                                   31,611        3
Occupied Housing Units                                      -               -      1,037,891      -
Source: U.S. Bureau of the Census, 2000 Census



Table 3.17 shows housing quality characteristics for YourCity in comparison to YourCounty
and the state of Kansas as reported in the 2000 Census. The data on plumbing facilities was

                                                        80
obtained from both occupied and vacant housing units. Complete plumbing facilities include
hot and cold piped water, a flush toilet, and a bathtub or shower. All plumbing facilities must
be located in the housing unit. Complete kitchen facilities include a sink with piped water, a
range or cook top, oven and a refrigerator. All kitchen facilities must be located in the house,
apartment or mobile home, but they need not be in the same room. Households with telephone
service have a telephone in working order and are able to make and receive calls. Occupants
per room is obtained by dividing the number of people in each occupied housing unit by the
number of rooms in the unit. Although the Census Bureau has no official definition of
overcrowded units, the accepted standard is units with more than one occupant per room.

Approximately 2 percent of nonmetro households experience severe instances of housing
inadequacy currently. This demonstrates a vast improvement from a 1934 Department of
Agriculture study, which revealed that only 44 percent of farm households had indoor water,
less than one-third had electricity or kitchen sinks, and only about half were in good structural
condition. Although the surveyed populations were somewhat different, this provides an
historical comparison as to the nationwide gains in the adequacy of our housing stock. Despite
these gains, housing quality problems still persist and tend to be most common in rural areas
and central cities. Approximately 8 percent of rural units are considered either moderately or
severely inadequate. The level rises to 11 percent for low-income households and is
disproportionately higher among renters and minority households.

Insert census data from Table DP-4. Profile of Selected Housing Characteristics: SELECTED
CHARACTERISTICS and OCCUPANTS PER ROOM including the number and percent.
Round the percent to the closest whole number. The number and percent of overcrowded units
is calculated by adding the figures in rows labeled “1.01 to 1.50” and “1.51 or more” under
OCCUPANTS PER ROOM.

Discuss the number of units with selected quality characteristics in YourCity. Compare the
percentages of these units to those for YourCounty and the state. If the units represent a small
portion of the total housing stock in your community and are in line with state averages, then
no focused attention is required on this issue.

Tenure by Rooms and Plumbing Facilities:
Using census data from Table QT-H9. Occupancy, Telephone Service, Housing Facilities and
Meals Included: Tenure by Room and Tenure by Plumbing Facilities, determine the number
of substandard units by owner and renter occupant. This information is necessary for later
calculations regarding the need for owner- and renter-occupied units. Does this indicate that
owners or renters are more likely to live in substandard units? Using census data from Table
QT-H5. Physical Housing Characteristics – Vacant Units Selected Characteristics, discuss
the condition of vacant units in regards to availability of plumbing and kitchen facilities.


Blighting Conditions in the Neighborhood
Dead or overgrown vegetation, inoperable vehicles, outside storage of appliances or furniture,
fences in disrepair, graffiti, trash and debris, and dilapidated structures create a blighting
influence in a community. To promote the health, safety and welfare of the citizens of

                                              81
YourCity, it is vital to protect neighborhoods from blighting and deteriorating conditions that
have a negative impact on area property values and encourage social disorder and crime. This
can be achieved through volunteer actions, such as participation in neighborhood clean-ups, or
through code enforcement.

(Insert Picture)                                  (Insert Picture)
Figure 3.18 Dilapidated House                     Figure 3.19 Dilapidated House

Summarize the local codes regarding public nuisances, demolition of dilapidated structures
and property maintenance. Discuss enforcement efforts regarding these codes. Are these codes
proactively enforced or is the process complaint-driven? What was the average number of
complaints received in the past three years? How long did it take to affect a rehabilitation or
demolition of substandard properties or the clean-up of public nuisances? Insert data collected
by members of YourCity Housing Partnership regarding the number of housing units
demolished or destroyed in recent years and the number of dilapidated or substandard housing
units that are unsafe to occupy, where the structure is beyond cost-effective repair. Estimates
can be based on historic code enforcement efforts, inactive utility hook-ups or a housing
conditions suvey. Provide addresses of homes or areas within the community that are
distressed. What are the perceived barriers to increasing demolition of dilapidated structures?


Substandard Housing Units in Need of Repair
As homes age, routine maintenance plays a vital role in maintaining the condition of the
housing units. A windshield survey of housing conditions in YourCity revealed units that need
rehabilitation. Rehabilitation is defined as repairs, improvements, replacements, alterations
and additions to existing properties.

(Insert Picture)                                  (Insert Picture)
Figure 3.20 Substandard House                     Figure 3.21 Substandard House

Insert data collected by members of YourCity Housing Partnership regarding the number of
units needing minor or moderate repairs to primary and secondary components of the house. It
should be feasible to repair these structures with rehab costing less than $25,000 (or other
reasonable amount based on local housing market conditions). Describe city ordinance or code
regulating the rehabilitation of existing buildings. Is this code cost-sensitive to rehabilitation or
does it more closely reflect new construction standards?



Rehab Efforts
Despite the challenges involved in the rehab process, rehabilitation of the community’s aging
housing stock is an effective means to meet the affordable housing needs of lower income
households while at the same time revitalizing neighborhoods.



                                                82
                             Table 3.18 Rehab Permits Issued (2000 – 2004)
                                  Permits for Rehabs        Average Value       Total Value
                                     or Additions
2000
2001
2002
2003
2004
Total
Source: YourCity Housing Partnership


Figure 3.18 shows permits for single-family residential rehabilitation, renovations and
additions issued from 2000 through 2004 in YourCity. The total value and average cost
per job are also included.

Insert data collected by members of YourCity Housing Partnership regarding the number
of units rehabilitated. What was the average number of rehabs over the past five years?
What was the average dollar value of a rehabilitation? How does this compare with
previous figures indicating substandard homes and homes over 50 years old? Where in
the community is housing rehabilitation taking place without public subsidies?


(Insert Picture)                                        (Insert Picture)
Figure 3.22 Renovated House                             Figure 3.23 Renovated House

The major barrier to rehabilitation is the gap that often exists between the costs of renovation
and the financial resources available for those buildings requiring improvement.
Approximately one-third of the rehabs needed nationwide are estimated to be unaffordable
without some measure of subsidy. There is a spectrum of rehab programs that can be offered
in a community, depending on the community’s real estate market, housing stock and
available financing tools to address these needs.

The primary government subsidy programs that help bridge the affordability gap include
Community Development Block Grants (CDBG) and HOME Investment Partnership
(HOME) funds. The principal tax incentives are the Low-income Housing Tax Credit
(LIHTC) and the Historic Rehab Tax Credit (HRTC). Some states have adopted laws allowing
tax rebates to encourage rehabilitation. The primary insurance programs that remain active are
FHA’s Title I, which insures single-family home improvement loans, and the Section 203(k)
program, which insures combined acquisition and improvement loans for one- to four-unit
properties. In addition, the government continues to provide direct subsidies for the
rehabilitation and “modernization” of public housing through programs like HOPE VI and the
Comprehensive Grant Program. Funds are also available for weatherization assistance, which
enables low-income families to reduce their energy bills by making their homes more energy
efficient. Unfortunately, subsidies provided through these programs are typically in short
supply relative to demand.

                                                       83
                      Table 3.19 Availability of Rehab Programs in YourCity
Program                        Program     Administering        Program         Program Period
                               Agency        Agency            Incentives
Repair & Rehab               USDA Rural       Direct          $20,000, 20       First-come, First-
Loans                        Development                   years, 1% Interest   serve Pool Opens
                                                                                    in October
Repair & Rehab               USDA Rural       Direct            $7,500          First-come, First-
Grants                       Development                                        serve Pool Opens
                                                                                    in October
Weatherization                     DOE                                             Year-round
                                           Local Banks
                                              Local
                                           Nonprofits
                                           City/County
Source: YourCity Housing Partnership



Table 3.19 shows rehabilitation programs that are currently available in YourCity.

Discuss the availability of block grants, targeted tax credits and loan guarantee programs in
your community. Does the funding available seem adequate in comparison to units identified
as substandard and in need of repair? Are all segments of the market served by these
programs, i.e., first-time homebuyers versus elderly homeowners, minor repair versus
substantial rehab, weatherization versus exterior fix-up?

Using information from City/County Government worksheet and nonprofit surveys collected
by members of YourCity Housing Partnership, briefly describe each program including
eligible applicants, incentives offered and contact information. Repeat for each program
available in your community.

Repair and Rehab Loans are available from USDA Rural Development, (insert the area
office address and phone number). Rural Development, under their Section 504 program,
provides loans to very low-income homeowners below 50 percent of the area median income
to repair, improve, or modernize their dwellings or to remove health and safety hazards. Loans
of up to $20,000 for up to 20 years at a 1-percent interest rate are available to homeowner-
occupants who are unable to obtain affordable credit elsewhere. According to the RD
community programs specialist, how many households have been served in recent years
through this program? What is the average loan amount per household? Has this money been
fully utilized in your region in previous years? If so, what steps could be taken to expand the
pool of money available (i.e., loan participations, etc.)? Is there a waiting list?

Repair and Rehab Grants are available from USDA Rural Development, (insert the area
office address and phone number). Rural Development, under their Section 504 program,
provides grants to very low-income homeowners who are 62 years of age or older and unable
to obtain affordable credit elsewhere. Funds may be used for repairs or improvements to

                                                84
remove health and safety hazards, or to complete repairs to make the dwelling accessible for
household members with disabilities. The amount of the grants is based on the applicant’s
ability to repay and must be used in conjunction with the Repair and Rehabilitation Loan. The
lifetime maximum grant amount is $7,500. According to the RD community programs
specialist, how many households have been served in recent years through this program?
What is the average grant per household? Has this money been fully utilized in your region in
recent years? If so, what steps could be taken to expand the pool of money available (i.e.,
matching grants, etc.)? Is there a waiting list?

The Weatherization Program is administered by (insert the name, contact person, address
and phone number of the administering agency, usually the local community action agency).
The goal of the program is to reduce the heating and cooling costs for low-income families,
particularly the elderly, people with disabilities and children. To accomplish this goal, the
Department of Energy (DOE) makes grants to states, which in turn award grants to local
agencies, usually community action agencies or other nonprofit or government organizations,
to perform actual weatherization services. Eligible applicants must meet low-income
guidelines. Weatherization efforts include replacement of doors and windows and installation
of insulation. According to the program administrator, how many households have been
served in recent years? What is the average expenditure per house? Has the money been fully
utilized in your region in previous years? Is there a waiting list?


Housing Affordability
Affordability is determined by identifying the prices of housing units that households at
various income levels can pay for. It is widely accepted that no more than 30 percent of gross
household income including utilities should be dedicated to housing costs. Careful analysis of
housing market conditions can indicate households by income who are unable to afford the
prevailing costs of both rental and homeowner housing, and the amount of the affordability
gap. This section includes mortgage and rental costs, housing cost burdens and housing
affordability standards.



Owner-Occupied Housing
The value of homes for sale and the typical monthly mortgage costs in relation to household
incomes are indicators of the affordability of owner-occupied housing in a community.
Likewise, the number of owners reporting a cost burden, that is paying more than 30 percent
of their household income, can indicate the affordability of occupied housing.




                                             85
                    Table 3.20 Value of Specific Owner-occupied Units (2000)
                                               YourCity              YourCounty              Kansas
                                      Number        Percent        Number   Percent   Number     Percent
Less than $50,000                                                                     142,608         25
$50,000 to $99,999                                                                    216,103         37
$100,000 to $149,999                                                                  120,734         21
$150,000 to $199,000                                                                  53,556          9
$200,000 to $299,000                                                                  32,616          6
$300,000 or $499,000                                                                  12,558          2
$500,000 to $999,000                                                                   3,158          1
$1,000,000 or more                                                                     627            0
Owner-Occupied Units                                      -                    -      581,960         -
Median Value                               $              -          $         -      $83,500         -
Source: U.S. Bureau of the Census, 2000 Census



Table 3.20 shows the value of specified owner-occupied units in YourCity as compared to
YourCounty and the state. “Value” is the census respondent’s estimate of how much the
property (house and lot, mobile home and lot or condominium unit) would sell for if it were
for sale. Specified owner-occupied units are defined as owner-occupied, one-family attached
and detached houses on less than 10 acres without a business or medical office on the
property.

Insert the census data from Table DP-4. Profile of Selected Housing Characteristics: VALUE
including number and percent. Round the percent to the nearest whole number.

Discuss the median value of owned homes in YourCity and YourCounty in comparison to the
state. Compare the change in the median value of owned homes from 1990 to 2000 to the
change in median household income during the same period. Discuss the percentage of units
in specific price ranges in YourCity? Does housing appear affordable in YourCity in
comparison to the county and state? Use the 2000 median household income in YourCity and
YourCounty and multiply by 2.5 to determine the market value of homes that households
could theoretically afford to purchase. Of the total housing units, what percent were valued
less than the affordability benchmark? What percent were valued higher? What market factors
during the past decade influenced the increase in value, i.e., population growth, decrease in
vacancy rates, reduced production levels or employment expansion?




                                                              86
                                  Table 3.21 Monthly Mortgage Cost (2000)
                                                 YourCity              YourCounty            Kansas
                                      Number          Percent        Number   Percent   Number    Percent
< $300                                                                                   3,580        1
$300-$499                                                                               37,514        10
$500-$699                                                                               76,042        20
$700-$999                                                                               112,639       29
$1,000- $1,499                                                                          100,791       26
$1,500-$1,999                                                                           32,680        9
$2,000 or more                                                                          19,272        5
Units with a Mortgage                                       -                    -      382,518       -
Source: U.S. Bureau of the Census, 2000 Census



Table 3.21 shows selected monthly costs of specified owner-occupied units with a
mortgage in YourCity as compared to YourCounty and the state. Selected monthly owner
costs are the sum of payments for mortgages, deeds of trusts, contracts to purchase or
similar debts on the property; real estate taxes; fire, hazard and flood insurance on the
property; utilities and fuels. It also includes, where appropriate, the monthly
condominium fees or mobile home costs.

Insert the census data from Table DP-4. Profile of Selected Housing Characteristics:
MORTGAGE STATUS AND SELECTED MONTHLY OWNER COSTS including number
only. Use the median (dollars) for units with a mortgage; do not use median (dollars) for
units not mortgaged. Do not use the percent provided (shown as a percent of total
occupied units); recalculate the percent by dividing the number in each price range by the
total units with a mortgage. Round to the closest whole number.

Discuss the distribution of mortgage costs in YourCity and YourCounty in comparison to
the state. Of the specified owner-occupants in YourCity and YourCounty, what portion
were paying on a mortgage and what portion owned their homes free and clear? Within
what price range did the majority of mortgage costs fall?




                                                                87
      Figure 3.24 Growth in Median Mortgage Costs (1989 to CYR+3)
        $1,000                                                         $1,035          $1,145
                                                          $888
         $900
         $800
         $700              $628
                        $600                    $600                 $600            $600
         $600                                                                                   YourCity
                     $500                   $500                 $500            $500
         $500                                                                                   YourCounty
         $400                                                                                   Kansas
         $300
         $200
         $100
            $0
                           1990                   2000            CYR Estimate     CYR+3
                                                                                  Projection
Source: U.S. Bureau of the Census, 1990 and 2000 Census


Table 3.24 shows the growth trend in the median mortgage costs in YourCity, YourCounty
and the state from 1989 to 1999. Current estimates and three-year projections are also included
for comparison.

Double click on the above figure and replace YourCity and YourCounty row headings with
appropriate names. Insert the census data from Table DP-4. Profile of Selected Housing
Characteristics: MORTGAGE STATUS AND SELECTED MONTHLY OWNER COSTS. Use
the median for units with a mortgage; do not use the median for units not mortgaged. Estimate
the median mortgage cost for the current year based on the growth rate in the 1990s ((2000
median mortgage cost – 1990 median mortgage cost) / 1990 median mortgage cost / 10 *
(number of years since the 2000 Census) * 2000 median mortgage cost + 2000 median
mortgage cost). Then calculate the three-year projection ((2000 median mortgage cost - 1990
median mortgage cost) / 1990 median mortgage cost / 10 * (number of years since the 2000
Census + 3) * 2000 median mortgage cost + 2000 median mortgage cost). The current
estimate and three-year projection for Kansas represent 2004 and 2007 figures respectively.
Recalculate if necessary to represent current year figures. Hit Escape to close the datasheet.

Discuss the trend in the mortgage costs in YourCity in comparison to YourCounty and the
state. What was the percentage increase in median mortgage costs from 1990 to 2000?
Compare the percentage increase in median mortgage costs with inflation as reported by the
Bureau of Labor Statistics Consumer Price Index for Housing which was 24 percent for the
period. Compare the percentage growth in median mortgage cost to the percentage growth in
median household income during the same period.




                                                                 88
          Table 3.22 Owner Costs as a Percentage of Household Income (1999)
                                             YourCity              YourCounty                Kansas
                                      Number      Percent        Number   Percent   Number       Percent
Less than 15%                                                                       253,402           44
15 to 20%                                                                           112,210           19
20 to 25%                                                                           78,850            14
25 to 30%                                                                           45,511            8
30 to 34%                                                                           27,101            5
35% or More                                                                         60,961            11
Not Computed                                                                         3,925            1
Owner-occupied Units                                    -                    -      581,960           -
Units with a Mortgage                                                               382,518           66
Source: U.S. Bureau of the Census, 2000 Census



Table 3.22 shows selected monthly owner costs as a percentage of household income in
1999 for specified owner-occupied units. Selected monthly owner costs as a percentage
of household income is the ratio computed separately for each unit and rounded to the
nearest whole percentage. Units occupied by households reporting no income or a net
loss in 1999 are included in the “not computed” category. Households are considered cost
burdened if they pay more than 30 percent of their household income for housing costs.
In contrast, households are considered underhoused if they pay less than 15 percent of
their income toward housing.

Insert the census data from Table DP-4. Profile of Selected Housing Characteristics:
SELECTED MONTHLY OWNER COSTS AS A PERCENTAGE OF HOUSEHOLD
INCOME IN 1999 including number and percent. Round the percentage to the closest
whole number.

Discuss the distribution of owner costs as a percentage of household income for
YourCity. How many households reported cost burdens, that is, paid more than 30
percent toward housing costs? Has the incidence of households experiencing cost burdens
increased since 1990, indicating a growing gap in the affordability of owner-occupied
housing? How many households reported housing costs less than 15 percent? These
households could be considered underhoused; that is, they are not maximizing their
housing dollars and could be potential move-up buyers. Compare the percentages in
YourCity to that in the county and state.




                                                            89
                    Table 3.23 CYR Homeownership Affordability Standards
                                       Income             Maximum Affordable House Prices by Percent of
                                                                AMI versus Median HH Income
Location                               Annual              50%       80%          100%          115%
2003 Kansas AMI                        $52,900            $66,125           $105,800           $132,250   $152,088
CYR YourCounty AMI                         $                  $                  $                    $      $
2000 YourCity Median                       $                  $                  $                    $      $
Owner HH Income
2000 YourCity Median                       $                  $                  $                    $      $
Renter HH Income
Source: U.S. Department of Housing and Urban Development, Office of Policy Development and Research



Table 3.23 shows the maximum cost of a house that would be affordable to various income
groups based on the current year’s area median family income in comparison to the 2000
median owner and renter household income for YourCity. Theoretically, households could
afford to purchase homes with a market value of 2.5 times their income plus a down payment.
Owner household income represents the buying power for potential move-up buyers in
YourCity while renter household income represents the buying power for potential first-time
homebuyers. These figures create a substantially different picture in comparison to the area
median family income.

Check state area median income from HUD Memorandum on Estimated Median Family
Incomes for FY (current year). The above figures represent FY 2003 AMI and multiples
thereof. Recalculate if necessary to represent current year figures. Insert YourCounty area
median family income from HUD Income Limits. Insert YourCity median renter and owner
household income from Summary File 3, HCT12. MEDIAN HOUSEHOLD INCOME IN
1999 (DOLLARS) BY TENURE. Calculate the maximum affordable house prices by
multiplying the income in each row by the multiple of the AMI or median household income
(50%, 80%, 100% or 115%) and then multiplying by 2.5 to determine affordable house prices.
Check that the table heading and row headings correspond with the current year of the data
source.

Discuss the maximum affordable owner costs based on the area median family income versus
median owner and renter household income. Compare the affordability standards with sale
prices of housing units currently for sale. How many of the homes were affordable to
households below 50 percent of the AMI? Below 80 percent? How about 100 percent? Are
the majority of the affordable homes more than 50 years old, where repairs and renovations
could drive the costs of the housing out of the affordable range? Is new housing being built in
the range affordable to households at 80 to 115 percent of AMI?




                                                             90
           Table 3.24 Affordability Gap for Owner-occupied Units in YourCity
                                Owner    Affordability Range         Value of   Price Asked -     Gap
                              Households    2.5 x Income              Owner-    Vacant Units    (Over-
                              by Income                              Occupied                   supply)
                                                                       Units
Less than $10,000                                    <$25,000
$10,000-$19,999                                   $25,000-$50,000
$20,000-$34,999                                   $50,000-$87,500
$35,000-$49,999                                  $87,500-$125,000
$50,000-$74,999                                  $125,000-$187,500
$75,000 or More                                     >$187,500
Total Households                                         -              -                          -
Source: U.S. Bureau of the Census, 2000 Census


Table 3.24 shows the gap in owner household incomes and the number of existing units that
are affordable. The number of vacant units by price asked is also specified, narrowing the
affordable gap in some instances.

Insert 2000 Census data from Table QT-H16. SELECTED MONTHLY OWNER COSTS
AS A PERCENTAGE OF HOUSEHOLD INCOME IN 1999: 2000, HOUSEHOLD
INCOME IN 1999 BY SELECTED MONTHLY OWNER COSTS AS A PERCENTAGE OF
HOUSEHOLD INCOME IN 1999, Specified owner-occupied housing units in column
labeled “Owner Households by Income.” Use the total for each income range; do not use
the figures listed in the stratification by percentage of household income. Then, using
2000 Census data fromTable QT-H14. Value, Mortgage Status and Selected Conditions:
2000, VALUE, Specified owner-occupied housing units, insert the number of units falling
within each affordability range in the column labeled “Value of Owner-occupied Units.”
When value figures fall between two income categories, assign the appropriate portion to
each affordability range. Insert 2000 Census data from Table QT-H6. Price Asked and
Rent Asked: PRICE ASKED, Specified Vacant for-sale-only housing units into column
labeled “Price Asked – Vacant Units.” Add owner-occupied units (column four) to
vacant units (column five). Subtract total by row from owner households by income
(column two) to calculate the affordability gap or oversupply.

Discuss the distribution of the gap in units affordable to owner-occupants by income. Is
the incidence of cost burden related to the gap in affordable units?


Renter-occupied Housing
Gross rents in relation to household incomes are indicators of the affordability of renter-
occupied housing in a community. Likewise, the number of renters reporting a cost burden,
that is paying more than 30 percent of their household income, can indicate the affordability of
rental housing.

                                                        91
                      Table 3.25 Gross Rent by Bedrooms in YourCity (2000)
                            Occupied Units by Bedroom Count       Occupied Units    Vacant Units
                            0 BR          1 BR   2 BR    3+ BR   Number   Percent     Number
Less than $200
$200 to $299
$300 to $499
$500 to $749
$750 to $999
$1,000 or More
No Cash Rent
Total Units
Source: U.S. Bureau of the Census, 2000 Census


Table 3.25 shows the gross rent paid for specified renter-occupied housing units in YourCity
as compared to YourCounty and the state of Kansas. Gross rent is the monthly contract rent
plus the estimated average monthly cost of utilities and fuels, if these are paid by the renter.
Specified renter-occupied units include all renter-occupied units except one-unit attached or
detached houses on 10 acres or more. The median divides the gross rent distribution (rent plus
utilities, if paid separately from rent) into two equal parts: one-half falling below the median
gross rent and one-half above the median. Housing units that are renter occupied without
payment of cash rent are excluded in the calculation of median gross rent.

Insert the census data from Summary File 3, Table H67. BEDROOMS BY GROSS RENT in
column labeled “Occupied Units by Bedroom County.” Insert census data from Table DP-4.
Profile of Selected Housing Characteristics: GROSS RENT, Specified renter-occupied units in
column labeled “Total-Occupied Units including the number and percent. Round the percent
to the closest whole number. Insert census data from Table QT-H6. Price Asked and Rent
Asked: RENT ASKED, Specified Vacant-for-sale units in the last column.

Discuss the distribution of gross rents in YourCity and YourCounty by total units and
bedroom count. Of the total renters in YourCity, what portion were paying rent and what
portion paid no cash rent? Within what price range did the majority of rental costs fall for
each size unit? Calculate the vacancy rate by adding the total occupied units and vacant
units by row and dividing by the total units (occupied and vacant). What price range of
units had the highest vacancy rate? What does this imply in regards to rental housing?




                                                    92
            Figure 3.25 Growth in Median Gross Rent (1989 – CYR+3)

   $700                                                                                        $616
   $600                                                                      $565
                                                       $498
   $500
                                                                                                       YourCity
                             $372
   $400                                                                                                YourCounty
   $300                                                                                                Kansas
                      $200                      $200                  $200                  $200
   $200
                $100                      $100                 $100                  $100
   $100
       $0
                       1989                      1999              CYR Estimate     CYR+3 Projection
Source: U.S. Bureau of the Census, 1990 and 2000 Census


Figure 3.25 shows the growth trend in the median gross rent in YourCity and
YourCounty from 1989 to 1999 in comparison to the state. Current estimates and three-
year projections are also included for comparison.

Double click on the above figure and replace YourCity and YourCounty row headings with
the appropriate names. Insert the 2000 Census data from Table QT-H12. Contract Rent and
Gross Rent: GROSS RENT. Repeat for 1990 Census data using Table DP-5 Housing
Characteristics: 1990, GROSS RENT, Specified renter-occupied housing units. Estimate the
median gross rent for the current year using a straight-line projection formula based on the
growth rate in the 1990s ((2000 median gross rent – 1990 median gross rent) / 1990 median
gross rent / 10 * (number of years since the 2000 Census) * 2000 median gross rent + 2000
median gross rent). Then calculate the three-year projection ((2000 median gross rent - 1990
median gross rent) / 1990 median gross rent / 10 * (number of years since the 2000 Census +
3) * 2000 median gross rent + 2000 median gross rent). The current estimate and three-year
projection for Kansas represent 2004 and 2007 figures respectively. Recalculate if necessary
to represent most current year figures. Hit Escape to close the datasheet.

Discuss the trend in the median gross rent in YourCity in comparison to YourCounty and
the state. What was the percentage increase in median gross rents from 1989 to 1999?
Compare the percentage increase in median gross rents with inflation as reported by the
Bureau of Labor Statistics Consumer Price Index for Housing, which was 24 percent for
the period. Compare the growth rate in the median gross rent to the growth rate in median
household income.




                                                              93
          Table 3.26 Renter Costs as a Percentage of Household Income (1999)
                                              YourCity                       YourCounty                     Kansas
                                    Number            Percent         Number         Percent          Number    Percent
Less than 15%                                                                                         65,448         21
15 to 20%                                                                                             49,757         16
20 to 25%                                                                                             41,135         13
25 to 30%                                                                                             30,831         10
30 to 34%                                                                                             20,863         7
35% or More                                                                                           77,683         25
Not Computed                                                                                          24,706         8
Renter-occupied Units                                      -                             -            310,423        -
Source: U.S. Bureau of the Census, 2000 Census of Population and Housing


Table 3.26 shows gross rent as a percentage of household income in 1999 for specified renter-
occupied units in YourCity as compared to YourCounty and the state, which is a computed
ratio of monthly gross rent to monthly household income (total household income in 1999
divided by 12). Units for which no cash rent is paid and units occupied by households that
reported no income or a net loss in 1999 comprise the category “not computed.” Households
are considered to have a cost burden if they pay more than 30 percent of their household
income for housing costs. In contrast, households are considered underhoused if they pay less
than 15 percent of their income toward housing.

Insert the census data from Table DP-4. Profile of Selected Housing Characteristics:
GROSS RENT AS A PERCENTAGE OF HOUSEHOLD INCOME IN 1999 including
number and percent. Round the percent to the closest whole number.

Discuss the distribution of renter costs as a percentage of household income for YourCity.
How many renter households reported cost burdens? Has the incidence of households
experiencing cost burdens increased or decreased since 1989? Compare the percentages in
YourCity to that in the county and state.

                             Table 3.27 CYR Rental Affordability Standards
                                              Income                 Maximum Affordable Monthly Rental Costs
                                                                     by Percent of AMI versus Rental HH Income
Location                              Annual        Monthly            50%         80%       100%       115%
2003 Kansas AMI                      $52,900          $4,408               $661     $1,058            $1,322    $1,521
CYR YourCounty AMI                        $               $                 $           $               $            $
2000 YourCity Median                      $               $                 $           $               $            $
Renter HH Income
Source: U.S. Department of Housing and Urban Development, Office of Policy Development and Research




                                                               94
Table 3.27 shows the maximum affordable monthly rental costs using HUD’s current-year
area median family income for YourCounty as a basis in comparison to the 2000 median
renter household income for YourCity. Although most government subsidized housing
programs are based on a multiple of the AMI, the median renter household income gives a
better picture of the affordable range for rental costs.

Check state area median income from HUD Memorandum on Estimated Median Family
Incomes for FY (current year). The above figures represent FY 2003 AMI and multiples
thereof. Recalculate to represent most current year figures if necessary. Insert YourCounty
area median family income from HUD Income Limits. Insert YourCity median renter
household income from Summary File 3, HCT12. MEDIAN HOUSEHOLD INCOME IN
1999 (DOLLARS) BY TENURE. Figures in row labeled “CYR Kansas AMI” may have to be
adjusted to reflect use of the current year area median income. Calculate the monthly income
by dividing the annual income by 12. Calculate the maximum affordable monthly rental costs
by multiplying the monthly income in each row by the multiple of the AMI or median renter
income (50%, 80%, 100% or 115%) and then multiplying by 30 percent to determine
affordable rents. Check that the table heading and row headings correspond with the current
year of the data source.

Discuss the maximum affordable rental costs based on area median family income versus
median renter household income.

                           Table 3.28 Income Needed to Afford Rent (CYR)
                                    Efficiency         1 Bedroom           2 Bedroom           3 Bedroom           4 Bedroom
Kansas FMRs                            $370                $440                $559                $752                $837
Income Needed to                     $14,800             $17,600             $22,360             $30,080             $33,480
Afford FMR
Percent of AMI                         28%                 33%                 42%                 57%                 63%
YourCounty FMRs                           $                   $                   $                   $                  $
Income Needed to                          $                   $                   $                   $                  $
Afford FMR
Percent of AMI                           %                   %                   %                   %                   %
Avg. Market Rent in                       $                   $                   $                   $                  $
YourCity
Utility Allowance                       $65                 $65                 $65                 $65                 $65
Income Needed to                          $                   $                   $                   $                  $
Afford Avg. Rent
Percent of AMI                           %                   %                   %                   %                   %
Source: U.S. Department of Housing and Urban Development, National Low-income Housing Coalition, YourCity Housing Partnership


Table 3.28 shows the current year Fair Market Rents (FMR) by bedroom size for YourCounty
as compared to the average market rent in YourCity. FMRs are gross rent estimates that
include rent and the cost of utilities minus telephone. The level at which FMRs are set is
expressed as a percentile point within the rent distribution of housing units in an area. The

                                                             95
current definition is the gross rent paid by the 40th percentile of new residents to standard
housing, excluding new construction. A utility allowance of $65 has been added to the average
market rents to allow for comparison. Actual utility costs may vary. Income needed to afford
rents is based on the assumption that housing costs account for less than 30 percent of
household income.

Check Kansas FMRs from the National Low Income Housing Coalition Out of Reach report.
The above figures represent the 2003 FMRs and multiples thereof. Recalculate if necessary to
represent the most current year figures. Insert YourCounty FMRs from HUD Schedule B:
Fair Market Rents for Existing Housing. Insert YourCity average market rents calculated
earlier in this chapter in the table Availiability in Market-rate Rental Projects. To calculate
income needed to afford FMR or average rent, divide rent by 30, multiply by 100, then by 12
months to get annual income. Divide annual income by the area median family income for the
current year to obtain the percent of AMI.

Compare fair market rents in the state and county to average market rents in YourCity. Did
any of these rent levels create a cost burden for households at or below the area median
income (indicated by a percent of AMI greater than 100 percent)? How do rents compare to
the most recent median renter household income for the community?

Kansas’s Growing Wage-Rent Disparity: Check data from the National Low-income
Housing Coalition Out of Reach Report for your county. The following figures are based on
2003 FMR. Recalculate if necessary to represent most current year figures. In YourCounty, an
SSI recipient receiving $552 monthly can afford monthly rent of no more than $166, while the
fair market rent for a one-bedroom unit is $Insert FMR for a 1-bedroom in YourCounty. A
minimum wage earner making $5.15 per hour could afford monthly rental costs of no more
than $268, while the Fair Market Rent for a two-bedroom unit was $Insert FMR for a 2-
bedroom in YourCounty. That worker would have to work 83 hours per week in order to
afford the unit. The housing wage in Kansas is $10.74, which is the amount a worker would
have to earn per hour while working 40 hours a week in order to be able to afford a two-
bedroom unit at the area’s FMR. This is 209 percent of the present minimum wage. Between
2002 and 2003, the two-bedroom housing wage increased by 0.85 percent.

           Table 3.29 Affordability Gap for Renter-occupied Units in YourCity
                                Renter             Affordability    Rent Paid     Rent Asked -     Gap
                              Households              Range        Renter –Occ.   Vacant Units   (Over-
                              by Income          Income/12*30%        Units                      supply)
Pay No Cash Rent
Less than $10,000                                    <$250
$10,000-$19,999                                    $250-$500
$20,000-$34,999                                    $500-$875
$35,000 or More                                      >$875
Total Households                                        -                                           -
Source: U.S. Bureau of the Census, 2000 Census



                                                        96
Table 3.29 shows the gap in renter household incomes and the number of existing units
affordable to these households. The number of vacant units by range of rents asked is also
specified, which serves to affect the affordability gap.

Insert census data from Table QT-H13 Gross Rent as a Percentage of Household Income
in 1999: GROSS RENT AS A PERCENTAGE OF HOUSEHOLD INCOME IN 1999 into
column labeled “Renter Households by Income.” Use the total for each income range; do
not use the figures listed in the stratification by percentage of household income Using
census data from Table QT-H12. Contract Rent and Gross Rent: GROSS RENT, insert
the number of units falling within each affordability range into the column labeled “Rent-
Paid - Rentaer-occ. Units.” When gross rent figures fall between two income categories,
assign the applicable portion to each affordability range. Insert census data from Table
QT-H6. Price Asked and Rent Asked: RENT ASKED, Specified vacant-for-rent housing
units in the column labeled “Rent Asked – Vacant Units.”. Add renter-occupied units
(column four) to vacant units (column five). Subtract each total by row from renter
households by income (column two) to calculate the affordability gap or oversupply.

Discuss the distribution of the gap in units affordable to renter-occupants by income. Is
the incidence of cost burden related to the gap in affordable units?




                                            97
Housing Resources and Public Policies
This section outlines the housing delivery system, which includes developers, residential
contractors, nonprofit housing providers, real estate professionals and mortgage lenders.
Public policies affecting housing development are also included with a summary of land use
regulations and the residential building permit process.

Housing Developers Active in the Community
Following is a list of housing developers who are active in the community, including
developers from other communities that work in YourCity. Housing developers are
distinguished from homebuilders in that a developer buys the land and divides it into lots for
building purposes. The developer may also be a builder. Homebuilders who buy lots to build
on, or who build on the customer’s lot, are not developers.

(Insert data collected by members of YourCity Housing Partnership regarding housing
developers including company name, contact name, address and phone number. If possible
briefly describe the projects or housing activities that the developer is involved in.)




Homebuilders/Contractors in the Community
Following is a list of active homebuilders, licensed electricians, plumbers and mechanical
contractors, remodelers and demolition companies that are working in the community,
including those who are primarily located in another community. Builders and distributors of
manufactured homes are included as these companies contribute to the supply.

(Insert data collected by members of YourCity Housing Partnership regarding homebuilders
including company name, contact name, address and phone number. If possible, briefly
describe the type of housing built, cost and square footage range, and production capacity.)




                                              98
Electrical Contractors
(Insert data collected by members of YourCity Housing Partnership regarding electrical
contractors including company name, contact name, address and phone number.)



Plumbing, Heating, & Air
(Insert data collected by members of YourCity Housing Partnership regarding plumbing,
heating and air professionals including company name, contact name, address and phone
number.)




Remodeling Companies
(Insert data collected by members of YourCity Housing Partnership regarding remodeling
companies including company name, contact name, address and phone number.)




Demolition Companies
(Insert data collected by members of YourCity Housing Partnership regarding demolition
companies including company name, contact name, address and phone number.)




Builders and Distributors of Manufactured Housing
(Insert data collected by members of YourCity Housing Partnership regarding builders and
distributors of manufactured housing in your area including company name, contact name,
address and phone number. Briefly describe production or sales levels, selection of models
and price ranges if available.




                                             99
Nonprofit Housing Providers
Following is a list of nonprofit housing providers. If present in the community, this list
includes any Habitat for Humanity, church-sponsored nonprofit housing organizations,
public or Indian housing authorities, community action agencies, community housing
development organizations and private foundations providing housing for the elderly,
homeless, disabled or low-income population in YourCity.

(Insert data collected by members of YourCity Housing Partnership regarding nonprofit
housing providers including company name, contact name, address and phone number. If
possible briefly describe the projects or housing activities which the organization is
involved in.)




Real Estate Firms
Following is a list of real estate professionals in YourCity. Real estate firms, appraisers, title
companies and property management companies have been identified to get an idea of the size
of the real estate industry in the community.

(Insert data collected by members of YourCity Housing Partnership regarding real estate
firms including company name, address and phone number as well as names of brokers
and agents.)




Residential Mortgage Lenders
Following is a list of residential mortgage lenders in the community including commercial
banks, savings and loan companies, mortgage companies, credit unions and other mortgage
lenders.

(Insert data collected by members of YourCity Housing Partnership regarding residential
mortgage lenders including company name, address, phone number and loan officers.)




                                              100
High Schools, Vo-techs, Colleges and Universities
Following is a list of high schools, vocational technical schools, colleges and universities
near YourCity. Educational institutions can form community partnerships to integrate
curriculum, academic studies and student activities in areas of need within the
community. One example of such a partnership is offering a buildings trade class where
students get hands-on training building or rehabbing housing within the community.

(Insert data collected by members of YourCity Housing Partnership regarding the high
schools, vo-techs, colleges and universities in YourCity including school name, address,
phone number and contact name of community outreach director or vo-tech instructor.)




Housing and Credit Counseling Agencies in the
Community
Following is a list of organizations offering homebuyer education and credit counseling.

(Insert data collected by members of YourCity Housing Partnership regarding the agencies
providing housing and credit counseling. Include agency name, contact name, address and
phone number. If possible, briefly describe the programs or services offered.)




City/County Government
As builders and developers address housing issues in your community, they will make
contact with a number of local entities. Following is a list of government officials and
utility companies that can be made available to interested parties.

(Insert data collected by members of YourCity Housing Partnership regarding city
officials, city council, planning commission and utility companies. Include name, address
and phone number. If possible, briefly describe the operations of these organizations.)

City Officials

City Council



                                           101
Planning Commission

Utility Companies


                      Table 4.1 Local Housing and Land Use Regulations
                                       Date of Adoption    Date of Most       City or County
                                                          Recent Revision      Regulation?
Comprehensive Plan
Capital Improvements Plan
Subdivision Regulations
Zoning Ordinance
Building Codes
Fair Housing Ordinance
Building Permit Process
Annexation Policy/Process
Mobile Home Park Ordinance
Source: YourCity Housing Partnership


Table 4.1 shows the local housing and land-use regulations with date of adoption, date of most
recent revision and type of regulation.

Discuss the effect current land use policies have on housing. Are adequate land use
regulations, policies and procedures in place to ensure quality, controlled development?


Development Review/Building Permit Process
Using data collected by members of YourCity Housing Partnership on the City/County
Government worksheet, describe the development review and building permit process.



Summary of Development Incentives Offered
Using data collected by members of YourCity Housing Partnership on the City/County
Government worksheet, describe housing development incentives offered in your
community.




                                                102
Local Social Service Agencies
Today, many housing developments require more than bricks and mortar. Social services must
be provided to residents to help make the project successful. Following is a list of support
services available to low-income and other special needs households in YourCity.

(Insert data collected by members of YourCity Housing Partnership regarding social service
agencies including organization name, contact name, address and phone number. If possible,
briefly describe the programs or services provided by these organizations.)




YourCity Housing Partnership
The YourCity Housing Partnership was created in month year in an effort to bring
together public and private organizations and resources to work cooperatively to provide
more quality, affordable housing. The local partnership consists of city officials, local
banks, realtors, social service providers, major employers and housing organizations.

Through a series of meetings, the partnership completed an extensive housing needs
assessment, gathered local housing data and determined the area’s most pressing housing
needs. Members of the partnership learned about actions they could take to affect housing
development and learned about resources for financing affordable housing. The
partnership then moved to formulating goals, objectives and an action plan.

Housing Partnership Mission
Insert mission of local housing partnership.



Members of the Partnership
Insert members of the local housing partnership including organization, contact name,
address and phone number.




                                           103
Housing Needs and Opportunities
Housing need or demand depends upon complex interactions among the population, economy
and available housing stock. Population characteristics such as age, household composition
and income affect housing preferences. The economic condition within the area also affects
housing choices, including employment opportunities and earnings. Finally, the availability of
housing stock, its condition and affordability affect the demand for housing. Demand
estimates show the number of additional units that would promote balanced, healthy market
conditions. Demand for housing can be addressed through maintenance of the existing stock
and new construction.

Maintenance of Existing Stock
Maintenance of existing stock will ensure that housing is decent and affordable to households
in the community. Maintenance is segmented into demolition of dilapidated stock and
rehabilitation of substandard stock, with or without financial subsidies provided.

Demolition of Dilapidated Units
Demolition of dilapidated units should be an ongoing effort. This type of program will ensure
that deteriorated units, and their blighting influence on neighborhoods, are removed.

           Table 5.1 Housing Units Needing Demolition in YourCity by CYR+3
                         Number of Units x Percent Needing Substantial Rehab
                                    = Units Needing Demolished

             (OO x 4%) / 10 x 3 = OOSub Owner-occupied Units Needing Substantial Rehab
             (RO x 6%) / 10 x 3 = ROSub Renter-occupied Units Needing Substantial Rehab
                         OOSub + ROSub = TotSub Units Needing Demolition

Source: National Trust for Housing Preservation; U.S. Bureau of the Census, 2000 Census



Table 5.1 shows the estimated number of housing units in YourCity that will need to be
demolished in the next three years based on a percentage of the number of owner- and renter-
occupied units reported in the 2000 Census. A study conducted by the National Trust for
Historic Preservation in conjunction with HUD estimated the percentage of housing units
needing substantial rehabilitation of the occupied, permanent (non-mobile home), year-round
houses or apartments in the United States reported in the 1995 American Housing Survey.
These national percentages have been used to project local need.

Substantial rehab is defined as severe physical problems or at least four individual housing-
unit failures or deficiencies. Housing units include plumbing, heating, electric, upkeep and
hallways. The Enterprise Foundation estimates the nationwide per-housing-unit cost for


                                                               104
substantial rehabilitation at $75,000, making most of these units candidates for demolition as
opposed to rehabilitation.

Where:
           OO = the number of owner-occupied units reported in the 2000 Census
           OOSub = the number of owner-occupied units needing substantial rehab
           RO = the number of renter-occupied units reported in the 2000 Census
           ROSub = the number of renter-occupied units needing substantial rehab
           TotSub = the sum of the substandard owner- and renter-occupied units

What are the estimated number of owner- and renter-occupied units needing demolition for
the three-year projection period based on national statistics regarding condition of the housing
stock? Compare levels of estimated need for demolition to actual demolitions in recent years.
Compare projections with demolition figures arrived at through code enforcement efforts,
count of inactive utility hook-ups, or a housing conditions survey. Is the community
adequately addressing demolition of dilapidated units to reduce blight or do efforts need to be
stepped up?


Repair of Substandard Housing Units
To ensure maintenance of the existing stock, programs or incentives should support and
encourage rehabilitation of both owner- and renter-occupied stock. While owner-occupants
are more likely to update and renovate, many of the units in greatest need of significant
replacement of heating, plumbing, wiring systems or structural repairs are rental units.

        Table 5.2 Housing Units Needing Rehabilitation in YourCity by CYR+3
                Owner-occupied Units x Percent Needing Minor/Moderate Rehab
                          = Owner-occupied Units Needing Rehab

             (OO x 9%) / 10 x 3 = OOMod Owner-occupied Units Needing Moderate Rehab
               (OO x 31%) / 10 x 3 = OOMin Owner-occupied Units Needing Minor Rehab
                       (OOMod+OOMin) Owner-occupied Units Needing Rehab

                Renter-occupied Units x Percent Needing Minor/Moderate Rehab
                           = Renter-occupied Units Needing Rehab

             (RO x 12%) / 10 x 3 = ROMod Renter-occupied Units Needing Moderate Rehab
               (RO x 30%) / 10 x 3 = ROMin Renter-occupied Units Needing Minor Rehab
                        (ROMod+ROMin) Renter-occupied Units Needing Rehab

Source: National Trust for Historic Preservation; U.S. Bureau of the Census, 2000 Census



Table 5.2 shows the estimated number of housing units needing rehabilitation in the next three
years separated by owner- and renter-occupied units. Moderate rehabilitation is defined as
moderate physical problems or three individual housing-unit failures or deficiencies. Minor


                                                                105
rehabilitation is defined as lack of severe or moderate physical problems with the presence of
one to two housing-unit failures or deficiencies. Rehab need is related to various housing unit
and household characteristics. Compared with the overall national figures, somewhat greater
renovation need is suggested for rental opposed to owner-occupied units, for units occupied by
minorities and the poor, and for older housing units

Where:
           OO = the number of owner-occupied units reported in the 2000 Census
           OOMod = the number of owner-occupied units needing moderate rehab
           OOMin = the number of owner-occupied units needing minor rehab
           RO = the number of renter-occupied units reported in the 2000 Census
           ROMod = the number of renter-occupied units needing moderate rehab
           ROMin = the number of renter-occupied units needing minor rehab

What is the estimated number of owner-occupied units needing moderate and minor
rehabilitation? Likewise, what is the estimated number of renter-occupied units needing
moderate and minor rehabilitation? Does YourCity possess any of the characteristics that
could increase the estimated number of units needing rehabilitation (i.e., a greater occurrence
of renter-occupied units, minority or low-income households, and older housing units in
comparison to national averages)? Compare levels of rehab needed to records or permits for
repairs, alterations and additions in recent years if available. Compare rehab projections with
rehab figures arrived at through code enforcement efforts or a housing conditions survey. Is
the community adequately addressing rehab of existing units?

Because some of the rehabilitation will be unaffordable without some form of government
subsidy, programs should be in place to provide financial assistance to lower-income
households. This will ensure that needed rehab is accomplished and that the existing stock is
maintained.

           Table 5.3 Rehabs Requiring Subsidy and Amount Needed by CYR+3
                 Owner-occupied Rehabs x 33% = Unaffordable Owner Rehabs
                Unaffordable Owner Rehabs x Subsidy Needed = Total $ Subsidy

                          OOMod x 33% = OOModU x $25,000 = $OOModUSubs
                           OOMin x 33% = OOMinU x $7,500 = $OOMinUSubs
                       OOTotU Unaffordable Owner-occupied Rehabs @ $OOTotUSubs

                  Renter-occupied Rehabs x 33% = Unaffordable Rental Rehabs
                 Unaffordable Rental Rehabs x Subsidy Needed = Total $ Subsidy

                           ROMod x 33% = ROModU x $25,000 = $ROModUSubs
                            ROMin x 33% = ROMinU x $7,500 = $ROMinUSubs
                        ROTotU Unaffordable Renter-occupied Rehabs @ $ROTotUSubs

Source: National Trust for Historic Preservation; U.S. Bureau of the Census, 2000 Census; Enterprise Foundation




                                                                106
Table 5.3 shows an estimate of the housing units needing rehabilitation that will require
subsidy. Enterprise Foundation estimates show the nationwide per-housing-unit cost of
effecting the various levels of rehab at $25,000 for moderate and $7,500 for minor
rehabilitation. The study conducted by the National Trust for Historic Preservation identified
that a gap exists between the cost of renovation and the financial resources available for
improvements. This makes about one-third of the needed rehab unaffordable without some
measure of subsidy.

Where:
         OOMod = the number of owner-occupied units needing moderate rehab
         OOModU = owner-occupied units needing moderate rehab that is unaffordable
         OOModUSubs = total subsidies needed to assist in unaffordable owner-occupied
               moderate rehabs
         OOMin = the number of owner-occupied units needing minor rehab
         OOMinU = owner-occupied units needing minor rehab that is unaffordable
         OOMinUSubs = total subsidies needed to assist in unaffordable owner-occupied
              minor rehabs
         OOTotU = the sum of the owner-occupied units needing moderate and minor rehab
              that are unaffordable
         OOTotUSubs = the sum the subsidies needed to assist with minor and moderate
              owner-occupied rehabs that are unaffordable
         ROMod = the number of renter-occupied units needing moderate rehab
         ROModU = renter-occupied units needing moderate rehab that is unaffordable
         ROModUSubs = total subsidies needed to assist in unaffordable renter-occupied
              moderate rehabs
         ROMin = the number of renter-occupied units needing minor rehab
         ROMinU = renter-occupied units needing minor rehab that is unaffordable
         ROMinUSubs = total subsidies needed to assist in unaffordable renter-occupied
              minor rehabs
         ROTotU = the sum of the renter-occupied units needing moderate and minor rehab
               that are unaffordable
         ROTotUSubs = the sum of the subsidies needed to assist with minor and moderate
              renter-occupied rehabs that are unaffordable

Of the owner- and renter-occupied units needing moderate or minor rehabilitation in
YourCity, what is the estimated number of units requiring subsidy to make renovation
affordable? What is the estimated amount of subsidies needed? Compare the levels of subsidy
needed to available programs offering financial assistance for rehab? Is sufficient public
assistance available to assist in this level of rehab over the next three years?

Next, look at the remaining two-thirds of needed rehabs that are assumed in the projection to
be occurring without public subsidies. Is this level of unassisted rehab being achieved in your
community? Is the average cost spent on a rehab $12,000 or more? Is the community
adequately addressing rehabilitation of existing units in an effort to maintain existing stock?




                                             107
New Construction of Additional Stock
New construction of housing units ensures that stock is available with modern features and
amenities to provide choice in the market. New construction is segmented into renter- and
owner-occupied units


Renter-Occupied Housing Needs
The new construction of renter-occupied stock can be segmented into government-subsidized
and market-rate units. A division of units available to elderly versus nonelderly households
further delineates the rental market.

                  Table 5.4 Renter-occupied Housing Demand through CYR+3
                   New Renter Households (from 2000 Census to CYR+3)
               Plus 15% of Renter-occupied Households in Substandard Units
          Plus Demolition of Dilapidated Renter-occupied Structures (Actual + Est.)
             Plus 15% of Renter-occupied Households Experiencing Cost Burden
                  Plus 5% Choice Factor for New Renter Household Growth
                       Plus 5% Choice Factor for Existing Rental Stock
                              = Total Renter-occupied Demand

           New RHHs + (15% x RSubst) + RDemos + (15% x RCstB) + RCFhhs + RCFstock
                          = RDemand Total Renter-occupied Demand

Source: U.S. Bureau of the Census, 2000 Census; National Trust for Historic Preservation



Where:
           New RHHs = the projected number of new households migrating into the area from
                   the time of the 2000 Census through current years plus three years (projection
                   period) multiplied by the 2000 Census renter ratio
           RSubst = renter households living in substandard housing where substandard is
                   defined as households lacking complete plumbing facilities and those with
                   1.01 or more people per room, which is considered overcrowded. Fifteen
                   percent reflects a conservative estimate of the number of these units that
                   should be replaced.
           RDemos = Demolition of existing rental housing stock based on actual demolitions
                  from 2000 to the current year multiplied by the 2000 Census renter ratio, plus
                  the estimated number of renter-occupied demolitions needed in the next three
                  years.
           RCstB = renter households experiencing a cost overburden where overburden is
                  defined as households spending more than 30 percent of their household
                  income toward gross rent. Fifteen percent reflects a conservative estimate of
                  the number of these units that should be replaced.
           RCFhhs = an allowance for a 5 percent rental vacancy rate applied to the projected


                                                                108
                 growth in rental households (New RHHs) to allow choice in the market.
          RCFstock = Under-supply (oversupply) of current rental stock calculated as ((2000
                Census Renter-occupied Units + 2000 Census Vacant for Rent Units) * .05
                choice factor – Vacant for Rent Units).

Table 5.4 shows the forecasted rental housing demand for a three-year period based on the
Outline of a Professional Market Study, RD Instructions 1944-E, produced by USDA Rural
Development. The projected number of new renter households provides a base for demand.
Renter households living in substandard units, including those that are overcrowded or lack
complete plumbing facilities was multiplied by 15 percent to determine a conservative
estimate of the number of these units that should be replaced. Fifteen percent of the renters
reporting a cost burden, that is, paying more than 30 percent of their household income for
housing was added to the base to provide these households a more affordable option. A
percentage of the housing units that have been demolished since the last census based on the
owner/renter ratio, plus the estimated rental units needing to be demolished over the next three
years were factored in. Five percent vacancy applied to new renter household growth was then
added to allow choice in the market. In addition to the basic USDA Rural Development
formula, an equation is added to determine the oversupply or undersupply within the current
housing stock based on application of the 5 percent choice factor to census data on renter-
occupied units and vacant units for rent to arrive at total demand for new rental units.

What is the total demand for new rental housing units over the next three years? What is the
majority of this need based upon (new household growth, replacement of dilapidated units,
providing choice to cost burdened households)? Compare to current vacancy rates in existing
market-rate and government-subsidized rental projects. What does this imply in regards to the
need for housing?

                  Table 5.5 Projected Rental Units Needed by Costs in CYR+3
2000 Renter                   Percent of           Renter HH            Percent of           Maximum                 Housing
Income Range                  Median HH             by HH               Renter HH             Monthly                 Units
                               Income               Income              by Income           Housing Cost             Needed
Less than $10,000                 %                                         %                 <$250
$10,000 to $19,999                   %                                        %               $250-$500
$20,000 to $34,999                   %                                        %               $500-$875
$35,000 or More                      %                                        %                  >$875
Total Renter HH                       -                                   100.0%                     -             RDemand
Source: U.S. Department of Housing and Urban Development, Office of Policy Development and Research; U.S. Bureau of the Census,
2000 Census



Table 5.5 shows the projected number of rental units needed over the next three years by costs
based on the distribution of rental households by income as reported in the 2000 Census. The
percent of median household income is also provided to show the number of households by
income classification, indicating new housing units that may be eligible for certain




                                                             109
government subsidized housing programs and those that will have to be produced by the
private market.

Using the 2000 median household income for YourCity, divide the incomes in the first
column by the median income to calculate the percent of AMI by income ranges. Round to the
nearest whole number. Using data provided in Table QT-H13. Gross Rent as a Percentage of
Household Income in 1999: HOUSEHOLD INCOME in 1999 BY GROSS RENT AS A
PERCENTAGE OF HOUSEHOLD INCOME IN 1999, calculate renter households by
household income by adding the numbers of renter households in each income category,
regardless of cost burden, including those not computed, and enter in the appropriate row of
the third column. To calculate the “Percent of Renter HH by Income,” divide the number of
renter households in each row of the third column by the total renter households in the last row
of that column. Round to one decimal point. Then calculate “Housing Units Needed” by
multiplying the total demand for renter-occupied units in the previous table by the percent of
renter households by income in the fourth column.

Discuss the distribution of demand for new rental units by maximum monthly housing costs
(rent + utilities)? Compare with the affordability gap delineated in Chapter 3 and the renter
households by income group that are cost burdened. Compare projected need to the number
and prices of homeowner units planned for construction. At what price range(s) is the gap
located?

Market-rate rental housing for households above 80 percent of the AMI will need to be
provided by the private market. A variety of financing tools are available, although these are
much more limited. State-administered housing trust funds are available in some cases, as well
as low-interest bond money. HUD, through the Federal Housing Administration (FHA), and
Rural Development provides loan guarantees for projects serving moderate-income
households. Tax incentives or rebates could also be offered, depending on state statutes
regarding these types of incentives.


Special Needs Housing Opportunities
Rental households with estimated income at or below 80 percent of the AMI are best served
by government-subsidized rental housing. State and locally administered programs such as
HOME, Housing Trust Funds, Low-income Housing Tax Credits, public housing and Section
8 vouchers are examples of programs that are available to help keep rents affordable to low-
income and other special needs households. HUD and USDA Rural Development also have
some production programs that assist in providing affordable housing to this income group,
including the HUD Section 202 elderly housing program, HUD Section 811 program for
disabled people and Rural Development’s Section 515 Rural Rental Housing program. In
addition, FHLBank Topeka provides gap financing through its Affordable Housing Program
for projects serving low-income and special needs households.

Of the units needed for low-income households as projected above, should any of these units
be targeted to special needs groups such as the elderly (see following analysis), disabled or



                                             110
homeless? Reevaluate the earlier findings regarding the availability of housing for each of
these groups and the vacancy rates.

               Table 5.6 Potential Units Needed for Elderly Renters in CYR+3
2000 Renter                    Elderly         Share of        Elderly         Maximum                Rental     Gap
Income Range                   HH by           Elderly         Renter          Monthly                Units
                                 HH            Renters          HH             Housing               Available
                               Income                                            Cost
Less than $10,000                               53.9%                           <$250
$10,000 to $19,999                              28.0%                          $250-$500
$20,000 to $34,999                              11.2%                          $500-$875
$35,000 to $49,999                               3.5%                         $875-$1,250
$50,000 or more                                  3.4%                            >$1,250
Total Renter HH                                  100%                                 -
Source: U.S. Bureau of the Census, 2000 Census; 1990 Census 1% Public Use Micro Sample (PUMS) Data



Table 5.6 shows the potential units needed for elderly renter households in the next three
years. The estimate is based on elderly households by income as reported in the 2000 Census.
The formula multiplies the number of elderly households by the national share of renters over
age 65 to calculate elderly renter households. The number of rental units by costs that are
available specifically to the elderly are then subtracted from the number of elderly households
by income to determine the gap in affordable units. Supply is based on units where occupancy
is restricted to elderly persons. Therefore, single-family homes and some rental complexes are
not considered in the formula, although they would accept elderly renters.

Insert census data on the elderly population from Summary File 3, Table P55. AGE OF
HOUSEHOLDERBY HOUSDEHOLD INCOME IN 1999 into column labeled “Elderly HH
by HH Income.” Using the national share of elderly renters that is provided, multiply the share
times the elderly households by row to calculate elderly renter households. Using data from
Chapter 3 regarding government-subsidized and market-rate rental complexes, determine the
number of rental units (independent living, congregate care or assisted living) by cost that are
available specifically to elderly people. Subtract the rental units available to elderly
households (sixth column) from the elderly renter households (fourth column), then multiply
by 30 percent to determine the gap during the next three years.

Discuss the distribution of elderly units needed identified by the gap. What is the need for
government-subsidized elderly units serving households at less than 80 percent of the AMI?
What percentage of the low-income elderly population would this represent? What is the need
for market-rate rental units? Compare to vacancy rates in existing elderly projects including
independent living apartments, and congregate living and assisted living facilities. Compare
this to the number of units and rent levels for units planned or approved for construction. At
what rent range(s) is there a gap?




                                                            111
Owner-occupied Housing Needs
The new construction of owner-occupied stock can be segmented into custom-built versus
speculative units. The market can be further divided into units available to first-time
homebuyers versus move-up buyers. First-time homebuyers may need more than just an
affordable house to move from renter to homeowner. Services such as credit counseling,
homebuyer education and down payment assistance should be available to support this effort.

                  Table 5.7 Owner-occupied Housing Demand through CYR+3
                           New Households (from 2000 to CYR+3)
               Plus 15% of Owner-occupied Households in Substandard Units
          Plus Demolition of Dilapidated Owner-occupied Structures (Actual + Est.)
             Plus 15% of Owner-occupied Households Experiencing Cost Burden
                 Plus 1.5% Choice Factor for New Owner Household Growth
                      Plus 1.5% Choice Factor for Existing Owner Stock
                              = Total Owner-occupied Demand

          New OHHs + (15% x OSubst) + ODemos + (15% x OCstB) + OCFhhs + OCFstock
                         = ODemand Total Owner-occupied Demand
Source: U.S. Bureau of the Census, 2000 Census; National Trust for Historic Preservation



Where:
           New OHHs = the projected number of new owner households migrating into the area
                  from the time of the 2000 Census through current years plus three years
                  (projection period) multiplied by the 2000 Census owner ratio
           OSubst = owner households living in substandard housing where substandard is
                  defined as households lacking complete plumbing facilities and those with
                  1.01 or more people per room, which is considered overcrowded. Fifteen
                  percent reflects a conservative estimate of the number of these units that
                  should be replaced.
           ODemos = Demolition of existing owner housing stock based on actual demolitions
                  from 2000 to the current year multiplied by the 2000 Census owner ratio, plus
                  the estimated number of owner-occupied demolitions needed in the next three
                   years.
           OCstB = owner households experiencing a cost overburden where overburden is
                  defined as households spending more than 30 percent of their household
                  income toward gross rent. Fifteen percent reflects a conservative estimate of
                  the number of these units that should be replaced.
           OCFhhs = an allowance for a 1.5 percent homeownership vacancy rate applied to the
                  projected growth in owner households (New OHHs) to allow choice in the
                  market.
           OCFstock = Undersupply (oversupply) of current owner stock calculated as ((2000
                  Census Owner-occupied Units + 2000 Census Vacant for Sale Units) * .015
                  Choice Factor – Vacant for Sale Units).




                                                                112
Table 5.7 shows the forecasted owner housing demand for a three-year period based on the
Outline of a Professional Market Study, RD Instructions 1944-E, produced by USDA Rural
Development. The projected number of new owner households provides a base for demand.
Owner households living in substandard units, including those that are overcrowded or lack
complete plumbing facilities was multiplied by 15 percent to determine a conservative
estimate of the number of these units that should be replaced. Fifteen percent of the owners
reporting a cost burden, that is, paying more than 30 percent of their household income for
housing was added to the base to provide these households a more affordable option. A
percentage of the housing units that have been demolished since the last census based on the
owner/renter ratio, plus the estimated owner units needing to be demolished over the next
three years were factored in. A 1.5 percent vacancy rate applied to new owner household
growth was then added to allow choice in the market. In addition to the basic USDA Rural
Development formula, an equation is added to determine the oversupply or undersupply
within the current housing stock based on application of the 1.5 percent choice factor to census
data on owner-occupied units and vacant units for sale to arrive at total demand for new owner
units.

What is the total demand for new owner housing units over the next three years? What is the
majority of this need based upon (new household growth, replacement of dilapidated units,
providing choice to cost burdened households)? What does this imply in regards to the need
for housing? Compare the demand for new construction of owner-occupied units with the
current production level within the community. Then compare with the number of residential
lots currently available. Are there sufficient lots available to accommodate this level of new
construction or should infrastructure be expanded or new subdivisions built to facilitate
growth?

                  Table 5.8 Projected Owner Units Needed by Cost in CYR+3
2000 Owner                    Percent of          Owner HH  Percent of                          Maximum                    Housing
Income Range                  Median HH            by HH   Owner HH by                         Housing Costs                Units
                               Income              Income   HH Income                                                      Needed
Less than $10,000                 %                             %                                 <$25,000
$10,000 to $19,999                   %                                       %               $37,500-$50,000
$20,000 to $34,999                   %                                       %               $50,000-$87,500
$35,000 to $49,999                   %                                       %              $87,500-$125,000
$50,000 or more                      %                                       %                   >$125,000
Total Owner HH                       -                                   100.0%                         -                ODemand
Source: U.S. Department of Housing and Urban Development, Office of Policy Development and Research; U.S. Bureau of the Census,
2000 Census



Table 5.8 shows the projected number of owner units needed over the next three years by
costs based on the distribution of owner households by income as reported in the 2000
Census. The percent of median household income is also provided to show the number of
households by income classification, indicating new housing units that may be eligible for



                                                             113
certain government-subsidized housing programs and those that will have to be produced by
the private market.

Using the median household income for YourCity, divide the incomes in the first column by
the median income to calculate the percent of AMI by income ranges. Round to the nearest
whole number. Using data provided in H97. HOUSEHOLD INCOME in 1999 BY
SELECTED MONTHLY OWNER COSTS AS A PERCENTAGE OF HOUSEHOLD INCOME
IN 1999, calculate “Owner HH by HH Income” by adding the number of owner households in
each income category, regardless of cost burden, including those not computed and enter in
the appropriate row of the third column. To calculate the “Percent of Owner HH by Income,”
divide the number of owner households in each row of the third column by the total owner
households in the last row of that column. Round to one decimal point. Then calculate
“Housing Units Needed” by multiplying the total demand for owner-occupied units in the
previous table by the percent of owner household by income in the fourth column.

Discuss the distribution of demand for new owner units by maximum monthly housing costs
(principal, interest, taxes, insurance and utilities)? Compare with the affordability gap
delineated in Chapter 3 and the owner households by income group that are cost burdened.
Compare this to the number and prices of homeowner units planned for construction. At what
price range(s) is the gap located?

                            Table 5.9 Potential Move-Up Buyers in YourCity
2000 Owner                      Percent           Percent      Percent   Affordability Range   Potential
Income Ranges                   Owner            Nonelderly    Under-                          Move-up
                                 HH              Age 25-64     housed                           Buyers
Less than $10,000                                                            < $25,000
$10,000 to $19,999                                                       $25,000 - $49,999
$20,000 to $34,999                                                       $50,000 - $87,499
$35,000 to $49,999                                                       $87,500 - $124,999
$50,000 or more                                                              >$125,000
Total Owner HH                                                                    -
Source: U.S. Bureau of the Census, 2000 Census



Table 5.9 shows potential move-up buyers in YourCity over the next three years, based on the
average turnover of owner-occupied units and the percentage of owner-occupied households,
nonelderly householders age 25 to 64 years old and underhoused owners, all stratified by
income. Underhoused owners are defined as those households paying less than 20 percent of
their household income for specified mortgage costs. This formula assigns weighted averages
to each of the three variables affecting potential move-up buyers. The greatest weight (.50) is
assigned to the underhoused based on the assumption that each income group will maximize
their housing choices by buying the highest priced house that a lender would allow.

Using the census data from Summary File 3, HCT11.TENURE BY HOUSEHOLD INCOME
IN 1999, divide the number of households in each income range as outlined above by the total


                                                         114
owner-occupied households. Insert into the column labeled “Percent Owner HH”. Next, using
the census data from Summary File 3, Table P55. AGE OF HOUSEHOLDER BY
HOUSEHOLD INCOMEIN 1999, sum the householders age 25 to 64 for each income range
as outlined above and divide by the total number of householders 25 to 64 years of age. Insert
into the column labeled “Percent Nonelderly Age 25 – 64”. Then, using census data from
H97. HOUSEHOLD INCOME IN 1999 BY SELECTED MONTHLY OWNER COSTS AS A
PERCENTAGE OF HOUSEHOLD INCOME IN 1999, add figures in the rows labeled “Less
than 20 Percent” to calculate the total number of underhoused owner-occupied households.
Then divide each figure by the total to determine the “Percent Underhoused.” Enter these
percentages in the fourth column.

To determine the potential move-up buyers using the turnover factor, use the median year
figure from Table QT-H7 Year Structure Built and Year Householder Moved into Unit: 2000,
TENURE BY YEAR HOUSEHOLDER MOVED INTO UNIT, Owner-occupied housing units.
Subtract from 2000 to determine the average length of stay. Divide the projection period of
three years by the average length of stay to determine the turnover rate during the projection
period. Then multiply turnover rate by total owner-occupied units and insert the sum in the last
row of column six. For example, 1988 is the median year owner households moved into their
unit, so the equation is (3 / (2000-1988)) * total owner-occupied units. For each income range
or row, calculate the potential move-up buyers by using the following formula:

((% of Owner HHs * .25) + (% of Nonelderly HHs * .25) + (% of Underhoused Owners *
.50)) / 100 * Total Potential Move-up Buyers.

Compare potential move-up buyers by income to the affordability gap delineated in Chapter 3.
Is there a surplus of housing affordable to potential move-up buyers or does a gap already
exist between owner incomes and the cost of housing affordable to this market? Are
homebuilders currently building homes for this market? What are the levels of production?
Could homebuilders be encouraged to increase production for this market, which would create
a filtering of more affordable homes down to first-time homebuyers?



Homeownership Opportunities
First-time homebuyers are best served by entry-level single-family attached homes or
townhouses, single-family detached homes, new manufactures housing or existing housing.
Financing strategies include first-time homebuyer mortgages and down payment programs,
soft-second or deferred mortgaged, tax increment financing or other public financing for
infrastructure development and public acquisition or conveyance of infill lots.




                                             115
                     Table 5.10 Potential First-time Homebuyers in YourCity
2000 Renter                   Renter HH          Share of        Nonelderly          Share that           Potential First-
Income Range                   by HH             Elderly         Renter HH          Qualify for         time Homebuyers
                               Income            Renters                            a Mortgage
Less than $10,000                                 53.9%                               13.0%
$10,000 to $19,999                                28.0%                                16.6%
$20,000 to $34,999                                11.2%                                23.2%
$35,000 to $49,999                                 3.5%                                32.7%
$50,000 or more                                    3.4%                                41.4%
Total Renter HH                                    100%                                    -
Source: U.S. Bureau of the Census, 2000 Census; 1990 Census 1% Public Use Micro Sample (PUMS) Data; 1995 Federal Reserve Board
Survey of Consumer Finances



Table 5.10 shows the number of current renters that could afford to buy a house in YourCity
in an affordable price range. The estimate of potential homebuyers is based on renters by
income as reported in the 2000 Census. The formula subtracts renters over the age of 65 based
on the national share of renters by income and age as a conservative way to exclude a group
that is unlikely to buy a home. When analyzing smaller areas, or areas that have demographics
very different from the nation at large, the estimates will be less accurate based on this
procedure.

The formula then assumes that local households have savings and wealth patterns similar to
national averages. The share of renters that qualify for a mortgage is based on renter
households that have enough assets to pay for a home, make at least a 3-percent down
payment and outstanding consumer debt less than 9 percent of their income, creating a total
debt-to-income ratio of no more than 44 percent. The national statistics are based on the 1995
Federal Reserve Board Survey of Consumer Finances of 5,500 households under age 65.
Renter assets include cash, savings and investment. Debts include all forms of loans, liens and
debts. Current potential first-time homebuyers are then calculated using these national
statistics.

Insert census data from Summary File 3, HCT11. TENURE BY HOUSEHOLD INCOME IN
1999 into column labeled “Renter HH by HH Income.” Multiply the national share of elderly
renters provided shown in column three by all renters in YourCity for each income range, and
then subtract the sum from all renters by income range to achieve the number of nonelderly
renter households by income range. Multiply the nonelderly renter households (column four)
by the national share of current renters that qualify for a mortgage provided in column five to
calculate the current potential first-time homebuyers.

Discuss the distribution of current and projected potential first-time homebuyers in YourCity.
What range of housing can the majority of these households afford? Compare projections of
potential first-time homebuyers with the projections for owner-occupied housing. Compare
with homeownership programs and incentives currently available in your community. Are



                                                             116
sufficient programs or incentives available that provide down payment assistance and low-
interest loans to meet the needs of this group?

                       Table 5.11 Potential Market for Alternative Financing
                                      and Credit Counseling
2000 Renter                   Nonelderly          Share that          Additional           Additional           Additional
Income Range                  Renter HH          Qualify for          Share with           Share with            Potential
                                                 a Mortgage            $1,000                $1,000             First-time
                                                                        Down               Down and            Homebuyers
                                                                                           <30% Debt
Less than $10,000                                   13.0%                 0.0%                1.4%
$10,000 to $19,999                                  16.6%                 2.9%                 7.3%
$20,000 to $34,999                                  23.2%                 5.3%                 9.9%
$35,000 to $49,999                                  32.7%                 5.4%                12.4%
$50,000 or more                                     41.4%                 4.3%                16.0%
Total Renter HH                                         -                    -                    -
Source: U.S. Bureau of the Census, 2000 Census; 1990 Census 1% Public Use Micro Sample (PUMS) Data; 1995 Federal Reserve Board
Survey of Consumer Finances



Table 5.11 shows the potential market for alternative financing and credit counseling in
YourCity. The previous calculation estimated the potential number of homebuyers in the
market based on those households having a 3 percent down payment and less than 9 percent
consumer debt. The number of potential buyers in the market may increase, however, if
special loan programs are available that allow for smaller down payments or long-term
financial counseling is provided. The above scenario shows the additional renter households
that could be potential first-time homebuyers if a smaller down payment of $1,000 was
allowed and long-term financial counseling was provided to those with a debt-to-income ratio
of less than 30 percent. National statistics from the 1995 Federal Reserve Board Survey of
Consumer Finances are again applied to local renter households by income to calculate the
results.

Insert the number of nonelderly renter households by income range from the previous table
(column four) into the column labeled “Nonelderly Renter HH.” Multiply the nonelderly
renter households by the national share of current renters that qualify for a mortgage with
$1,000 down payment and less than 30 percent debt, which is provided, to calculate additional
renter households that could be potential first-time homebuyers.

Discuss the distribution of additional potential homebuyers in YourCity. How do these
additional numbers impact programs and incentives currently available for first-time
homebuyers?




                                                             117
References
Claritas Inc., Pop-Facts: Summary Demographic Data Report. Online. Available from
www.sitereports.com.

Claritas Inc., Pop-Facts: Income by Age Report. Online. Available from
www.sitereports.com.

Housing Assistance Council. Continua of Care Best Practices: Comprehensive Homeless
Planning in Rural America. Washington, D.C. June 2002.

Housing Assistance Council. Overcoming Exclusion in Rural Communities: NIMBY
Case Studies. Washington, D.C. November 1994.

Housing Assistance Council. Rural Homelessness: The Problem. Online. Available from
www.ruralhome.org/pubs/infoshts/rhomeles.htm.

Housing Assistance Council. Why Housing Matters: HAC’s 2000 Report on the State of
the Nation's Rural Housing. Washington, D.C. December 2000.

National Low-income Housing Coalition. Out of Reach 2003: America's Growing Wage-
Rent Disparity. Washington, D.C., Online. Available from http://www.nlihc.org/.

Kansas Center for Community Economic Development. County Profile Reports. Online.
Available from http://www.ukans.edu/cwis/units/IR/ksdata/kcced/profiles/.

Kansas Department of Human Resources, Kansas Labor Market Information Services.
Kansas Wage Survey, 2003 Edition. Online. Available from
http://laborstats.hr.state.ks.us/.

Kansas Department of Social and Rehabilitative Services. County Information. Online.
Available from http://www.ink.org/public/srs/admin/cntypckt/countymap.html.

Social Security Administration. Table 3: Persons Receiving Federally Administered SS
Payments. Online. Available from
http://www.ssa.gov/ploicy/statcomps/ssi_sc/2002/index.html.

Urban Institute. National Analysis of Housing Affordability, Adequacy and Availability:
A Framework for Local Housing Strategies. By Amy Bogdon, Joshua Silver and
Margery Austin Turner. Prepared by the U.S. Department of Housing and Urban
Development. November 1993.




                                         118
U.S. Census Bureau, 1990 Census of Population and Housing, Summary Tape File 1.
Online. Available from http://factfinder.census.gov/.

U.S. Census Bureau, 1990 Census of Population and Housing, Summary Tape File 3.
Online. Available from http://factfinder.census.gov/.

U.S. Census Bureau, 2000 Census of Population and Housing, Summary File 1. Online.
Available from http://factfinder.census.gov/.

U.S. Census Bureau, 2000 Census of Population and Housing, Summary File 3. Online.
Available from http://factfinder.census.gov/.

U.S. Census Bureau, Money Income in the United States: 2000. Issued September 2001.
By Carmen DeNavas-Walt, Robert W. Cleveland and Marc I. Roemer

U.S. Census Bureau. Poverty in the United States: 2000. Issued September 2001. By
Joseph Dalaker

U.S. Department of Agriculture, Economic Research Services. County-level
Unemployment and Median Household Income. Online. Available from
http://www.ers.usda.gov/data/unemployment/.

U.S. Department of Agriculture, Rural Housing Services. RD Instructions 1944-E,
Exhibit A-8, Outline of a Professional Market Study.

U.S. Department of Commerce, Bureau of Economic Analysis. CA25: Total Full-time
and Part-time Employment by Industry. Online. Available from
http://www.bea.doc.gov/bea/regional/reis/.

U.S. Department of Commerce, Bureau of Economic Analysis. CA30: Regional
Economic Profiles. Online. Available from http://www.bea.doc.gov/bea/regional/reis/.

U.S. Department of Health and Human Services, Office of the Assistance Secretary for
Planning & Evaluation. 2002 HHS Poverty Threshholds. Online. Available from
http://www.census.gov/hhes/poverty/threshod.html.

U.S. Department of Housing and Urban Development, Policy Development and
Research. Barriers to Rehabilitation of Affordable Housing: Volume 1 Findings and
Analysis. May 2001.

U.S. Department of Housing and Urban Development, Policy Development and
Research. 2003 Income Limits. Rockville, MD. Online. Available from
http://huduser.org/datasets/il.html.

White, Betty Jo, Kansas State University; Marjorie Jensen, University of Rhode Island;
and Christine Cook, Iowa State University. Developing Community Housing Needs



                                         119
Assessments and Strategies: A Self-help Guidebook for Nonmetropolitan Communities.
September 1992. Prepared with the assistance of the Kansas Center for Rural Initiatives
and distributed by the American Association of Housing Educators.

White, Betty Jo, and Marilyn Bode, College of Human Ecology, Kansas State University
under contract with the Kansas Department of Commerce and Housing. Kansas Housing
Template Workbook, Fall 1997.




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Glossary

A
abandonment: relinquishing all rights to a property

abatement: a reduction or rebate of taxes

absentee landlord (owner): a property owner who does not occupy the property, such
as one who rents it to another or leaves it vacant (distinguished from owner-occupant)

abstract: a summary of the public records relating to the title to a particular piece
of land—an attorney or title insurance company reviews an abstract of title to determine
whether there are any title defects that must be cleared before a buyer can purchase a clear,
marketable, and insurable title

accessibility modifications: repairs that modify standard building elements to improve
a home’s usability for persons with a broad range of needs

adaptive re-use: the rehabilitation of old property for a new purpose

adjusted income: a figure used to determine subsidized rent, which is based on gross
income minus allowable adjustments

ad valorem taxes: property taxes based on the assessed value of property

affordability: housing costs of 30 percent or less of a household’s income (see housing
costs)

amenity: a non-essential feature of real estate property that enhances its attractiveness
and increases the occupant’s or user’s satisfaction

amortization: loan repayment by equal periodic payments calculated to retire the
principal at the end of a fixed period and to pay accrued interest on the outstanding
balance

amortization schedule: a payment timetable showing what amount of a payment is
applied to interest and what amount is applied to the principal and the remaining balance

annexation: extending a city’s zoning ordinances to adjacent areas to assure orderly
growth



                                             121
annual percentage rate (APR): the total annual mortgage cost, stated as a percentage
of the loan amount, including the base interest rate, primary mortgage insurance, and loan
origination fee

appraisal: a written analysis of the estimated value of a property prepared by a qualified
appraiser

appraised value: an opinion of a property’s fair market value, based on an appraiser’s
knowledge, experience and analysis of the property

appraiser: a person qualified by education, training and experience to estimate the value
of real and personal property

appreciation: the increased value of a property

architecture: the art and science of designing and erecting buildings

assessment: a charge made against property by a state, county, city, or other authorized
taxing jurisdiction

assessed value: the value of property assessed for property tax purposes

asset: anything of monetary value that is owned by a person, including real property,
personal property and enforceable claims against others (bank accounts, stocks, mutual
funds, and so on)

assignment: the transfer of a right or contract from one person to another

assisted living facility: a facility that combines housing, personalized supportive
services and health care, which is designed to meet the needs of elderly who require
assistance with daily living activities

assumable mortgage: an existing mortgage that can be taken over by the buyer when a
property is sold (it may require waiver of an enforceable due-on-sale provision)

B
base rent: the minimum rent payable under the terms of a below-market rental lease

basis point: equivalent to 1/100th of a percentage point in bond interest yield

below market interest rate: a lower interest rate than the prevailing market interest
rate offering by lenders willing to sacrifice return in order to encourage the development
of affordable housing for low- and moderate-income households

blanket mortgage: a mortgage covering more than one parcel of real estate


                                           122
brownfields: abandoned or underused industrial sites that are contaminated

building code: minimum acceptable requirements necessary for protecting the public
health, safety and welfare of buildings usually consisting of four documents: a building,
plumbing, mechanical and electrical code

building line (setback): distances from the ends and/or sides of the lot beyond which
construction may not extend. The building line may be established by a filed plat or
subdivision, by restriction covenants in deeds or lease, by building codes, or by zoning
ordinances

buydown: a sum of money paid to the lender at closing to reduce the borrower’s out of
pocket monthly payment

C
cancellation clause: a clause in a contract that allows either party to terminate the
contract under certain agreed upon conditions

capital improvement: any structure or component erected as a permanent
improvement to real property that adds to its value and useful life

capital improvement program (CIP): a management and fiscal planning tool
communities use for financing and construction of needed public improvements and
facilities

cash flow: money left from a project’s gross income after all expenses (operating and
debt service) have been deducted (positive cash flow represents a profit for the property
while negative cash flow represents a loss)

cash reserve: at least two months of mortgage payments available after closing, which
lenders may require of a buyer

clear title: a title to a property without liens or questions as to ownership

closing: a meeting for the finalized sale of a property where documents are signed and
monies exchanged

closing costs: expenses (in addition to the price of the property) incurred by both the
buyer and seller during the transfer of a property

cluster zoning: a type of zoning where there is a limited residential or unit density for
an entire area, although density may vary within the area




                                            123
community development block grant: a HUD-unified block grant program under
which communities may apply for funding for community development projects and
housing expansion projects for low- and moderate-income persons (the program is
administered by state agencies that allocate the funds)

community housing development organization (CHDO): a private nonprofit,
community-based organization that develops affordable housing for the community it
serves (CHDOs are designated by a governmental entity using HUD’s criteria)

comprehensive plan: a set of goals, policies, maps, illustrations and implementation
strategies that states how a city or county should grow physically, socially and
economically

condemnation: the taking of private property through court action for public use or due
to the uninhabitable conditions of the property (the owner must be fairly compensated,
but cannot fight the eviction or the amount of compensation, and a renter may be eligible
for federal, state, or local assistance with relocation if evicted through condemnation)

conditional sales: a contract for the sale of a property in which transfer of title to the
buyer is contingent on fulfillment of certain conditions/contingencies

congregate housing: housing that offers independent living in separate owned or
rented apartments, and opportunities to share daily living activities with other residents

condominium: a real estate project in which each unit owner has the title to a unit in a
building, an undivided interest in the common areas of the project and sometimes the
exclusive use of certain limited common areas

construction loan: a short-term loan that enables a developer to pay a contractor’s bills
and other expenses incurred before and during the construction period

continuing care retirement community (CCRC): a facility or campus-type project
that provides the appropriate level of accommodations and services along the continuum
of a senior’s needs, from independent living to assisted living and nursing care (this
project typically provides housing, activities, services and medical care)

contract: an agreement between two parties for a legal consideration, which must be in
writing to be enforced

contract rent: rent payable by a tenant to a landlord

conventional mortgage: any mortgage that is not insured or guaranteed by the federal
government

convertible ARM: an adjustable-rate mortgage that can be converted to a fixed-rate
mortgage under specified conditions



                                            124
conveyance: the transfer of title real property from one party to another

cooperative project (co-op): a residential or mixed-use building wherein a
corporation or trust holds title to the property and sells shares of stock representing the
value of a single apartment unit to individuals who, in turn, receive a proprietary lease as
evidence of title

cooperation agreement: an agreement between the Public Housing Authority (PHA)
and local government under which the government gives tax-exempt status to the PHA
and its property and agrees to provide such municipal services as police and fire
protection, trash removal, etc., and the PHA agrees to make payments in lieu of taxes
(PILOT) of usually 10 percent of the rents collected, excluding utilities and maintenance

cost burden: housing costs that exceed 30 percent of a household’s income, which
includes rent and utilities for renter-occupied households, and mortgage payment, taxes,
insurance and utilities for owner-occupied households

covenant: a clause in a mortgage that obligates or restricts the borrower; violation can
result in foreclosure

credit counseling: education about money management that is offered by a specialized
credit organization or counseling agency to groups or individuals

credit enhancement: tools such as direct loans, grants, interest rate subsidies, loan
guarantees, mortgage insurance and rental assistance that make the financing of a
proposed housing project more attractive to a lender

credit report: a credit history that is prepared by a credit bureau and used by a lender in
determining a loan applicant’s creditworthiness

D
debt coverage ratio (DCR): net operating income divided by monthly debt service,
with the ratio indicating whether a property has enough income to cover expenses and
monthly mortgage payments (lenders normally require a DCR of 1.2 to 1.3, or a 20 to 30
percent cushion of net income as compared to debt service)

debt service: a borrower’s periodic payment of principal and the interest a lender
charges the borrower for use of the money

deconstruction: the selective dismantling or removal of materials from buildings before
or instead of some elements of demolition

deed: the legal document conveying title to a property




                                            125
deed in lieu of foreclosure: a deed voluntarily given by a borrower to the lender to
satisfy a debt and avoid foreclosure; also called a voluntary conveyance

deed of trust: a type of security instrument conveying title in trust to a third party for a
particular property in order to secure payment of a note. (The title is conveyed to a trustee
as collateral security by the borrower to secure payment of a debt with the condition that
the trustee shall reconvey the title upon full repayment of the debt. The trustees are
empowered to sell the property and pay the outstanding debt should the debtor default on
the loan.)

default: the failure to make a payment on a timely basis or otherwise comply with other
loan requirements

deferred payment loans: repayment of a loan is postponed until some future date,
usually when the project has presumably paid back part of the principal on the permanent
mortgage and the net operating income is sufficient to pay back the deferred loan

delinquency: a loan payment that is at least one month overdue, but which has not yet
been declared by the lender to be in default

density: the ratio of land area to the number of structures built upon it

depreciation: a decline in the value of property

development budget (also called a sources and uses statement): a financial
statement that includes one-time financial costs such as acquisition, construction and
transaction costs in comparison to the financing package including loans, equity or grants

development process: the process through which development projects are conceived,
initiated, analyzed, financed, designed, built and managed

direct loans: loans made directly to individuals or organizations to assist with
homeownership or housing development

down payment: the part of the purchase price that the buyer pays in cash that is not
included in the mortgage

duplex: a freestanding structure that contains two complete housing units, either with
common side walls or stacked one above the other

E
easement: a right to the limited use or enjoyment of land held by another such as an
interest in land that enables sewer or other utility lines to be laid, or allows for access to a
property



                                             126
economic development: a general term indicating projects to strengthen an area’s
economy and employment base

effective gross income: gross potential rent less decreases due to vacancies,
renovations, bad debt and late payments

efficiency apartment: a housing unit consisting of one or two rooms and a bathroom,
but no separate bedroom

emergency shelter: a building that provides shelter and essential services to numerous
homeless individuals or families, usually on a short-term basis

eminent domain: the rights of governmental bodies, public utilities and public service
corporations to take private property for public use (e.g., schools, roads, etc.) on payment
of its fair market value

employer-assisted housing: a special housing initiative that encourages employers to
provide benefits to assist their employees in purchasing homes

encroachment: an obstruction, building or part of a building that intrudes beyond a
legal boundary onto neighboring private or public land, or a building extending beyond
the building line

encumbrance: a legal right or interest in land that affects a good or clear title, and
diminishes the land’s value that takes numerous forms, such as zoning ordinances,
easement rights, claims, mortgages, liens, charges, pending legal action, unpaid taxes or
restrictive covenants (an encumbrance does not legally prevent transfer of the property to
another)

equity: the difference between the fair market value of a property and the amount still
owed on the mortgage

escrow: item of value, usually money, deposited with a third party that is returned upon
fulfillment of a condition or contract

exempt property: property that is immune to taxation, such as churches and
universities.

F
fair housing: housing provided without discrimination due to race, color, national
origin, religion, sex, familial status or handicap

fair market rent: an amount determined by HUD to be the gross rent paid for the 40th
percentile of new residents for standard housing, excluding new construction, in a
specific market area


                                            127
fair market value: the price at which property is transferred between a willing buyer
and a willing seller—both with good information and under no compulsion to buy or sell

family: two or more related persons who occupy a housing unit

Fannie Mae: nickname for the Federal National Mortgage Association (FNMA), which
is a government-sponsored organization that purchases pools of conventional, FHA,
and/or VA mortgages from lenders in exchange for mortgage-backed securities

farm labor housing: year-round or seasonal housing and related support facilities for
domestic farm laborers

feasibility study: a detailed investigation and analysis conducted to determine the
financial, economic or technical advisability to pursue a proposed project

fee simple: the full ownership rights in a property without any reservations or
restrictions

first mortgage: the mortgage that has first claim in the event of default

fixed-rate mortgage: a mortgage in which the interest rate does not change

flood insurance: insurance required for properties in designated flood areas

forgivable loan: the borrower is relieved of repayment obligations if certain conditions
are met, for example, if a rental property remains affordable for an established period

Freddie Mac: the nickname for the Federal Home Loan Mortgage Corp. (FHLMC),
which is a government-sponsored organization that deals with conventional loans,
pooling mortgages and selling bonds with mortgages as security

forbearance: the lender’s agreement to postpone foreclosure to allow the borrower to
catch up on overdue payments

four-plex: a free standing structure that contains four complete housing units either with
common side walls or stacked one above the other (also referred to as a quadruplex)

G
gap financing: a loan required by a developer to bridge the gap, i.e. to make up a
deficiency between the amount of mortgage loan due on project completion and the
expenses incurred during construction




                                           128
garden apartment: a multi-family structure, usually four stories or less where the units
are separated by a common hall and shared entrances, stairs, hallways or other common
elements

Ginnie Mae: nickname of the Government National Mortgage Association (GNMA),
which is a government-sponsored organization that provides a secondary market for
housing mortgages and special assistance to housing mortgages financed under HUD
mortgage insurance programs

government-sponsored enterprise (GSE): a corporation charted by Congress to
achieve a public purpose that includes providing liquidity in the secondary mortgage
market, providing assistance relating to mortgages for low-and moderate-income families
and promoting access to mortgage credit throughout the nation including underserved
areas

grant: a direct cash contribution from the government or a “gift” or sale of publicly
owned land and/or buildings at a reduced cost, which reduces the up-front acquisition
cost and results in instant equity

gross monthly income: total amount a borrower earns each month before taxes or
other expenses are deducted

gross potential rent (GPR): the rent that would be collected if all units were rented
and all residents paid their rent

ground lease: a lease of land alone, as distinguished from a lease of land with
improvements on it, usually leased on a long-term basis

group home: a single-family residential structure designed or adapted for occupancy by
unrelated developmentally disabled persons, which provides long-term housing and
support services that are residential in nature

H

habitable: suitable for occupancy, taking into account local health, safety and building
codes

Habitat for Humanity: a nonprofit, nondenominational Christian housing organization
that organizes people to build simple, decent, affordable houses in partnership with those
in need of adequate shelter

historic preservation: rehabilitation of a residential or nonresidential building with
historic value for reuse as affordable housing according to historic preservation
guidelines




                                           129
HOME: shortened name for the HOME Investment Partnership Program through HUD
that provides funds to states and local government to implement local housing strategies
designed to encourage tenant-based assistance, housing rehabilitation and new
construction for low-income people

homebuyer education: education targeted to potential homebuyers outlining the
benefits and responsibilities of homeownership through in-depth training on the home-
purchase process

homeless household: a household made up of one or more individuals who lack a
regular and adequate nighttime residence or have a primary nighttime residence that is a
shelter designed to provide temporary living accommodations

household: one or more persons who may or may not be related and occupy a housing
unit

housing costs: payments for utilities and rent (for renter-occupied units) or mortgage
payments, property taxes, insurance and utilities (for owner-occupied units)

housing development corporation: a private multi-family housing corporation
established to serve a specific geographic area (neighborhood, city, state, or region) that
provides technical assistance, lends seed money, directly sponsors housing developments
and has a board of directors that generally consists of community residents, local
businessmen and government officials

housing finance agency: state agencies that are responsible for the financing of
housing and the administration of subsidized housing programs

housing trust fund: a public fund established by legislation, ordinance or resolution to
receive specific dedicated revenues such as taxes, fees or loan repayments, which can
only be spent on housing

housing units: manufactured, permanent, transitional and single room occupancy
housing or group homes (emergency shelters or facilities such as nursing homes,
hospitals, residential treatment facilities, correctional facilities and student dormitories
are not included)

HUD (U.S. Department of Housing and Urban Development): agency that
administers many housing programs from subsidy assistance to homeownership and
ensures fair housing in real estate transactions

I

income limits: limits established by funding agencies for admission into low- and
moderate-income housing projects or to qualify for rent supplements, which are based on
family size and geographic location


                                             130
individual development account (IDA): savings accounts established for a restricted
purpose such as purchase of a home, continuing education or starting a business, with
matching funds provided by public or private sources

industrial revenue bonds: a form of financing whereby a municipality or development
corporation issues bonds, up to a statutorily defined limit, to revenue-producing projects,
which in turn pay the debt service with their revenue

infill housing: housing built on vacant or underutilized land in existing neighborhoods
that are already largely developed

interest: the fee charged for borrowing money

interest rate subsidy: a direct cash grant that allows a bank to write-down the interest
rate on a housing loan

interim financing: a loan that covers the land and construction costs, current real estate
taxes, and other incidental expenses attributable to the construction period used to bridge
the gap until permanent financing is secured

J
joint venture: a partnership formed for a limited, specific purpose by investors in a
development project, which establishes the partner’s duties in the development process
and specifies how the ownership will be determined

L
landlord: an owner or management agent who rents property to a tenant with an oral or
written contract

land sale: a sale lease back negotiated on land only enabling a developer to build on a
leasehold

land trust: a nonprofit corporation that acquires land through purchase or donations
with the intent to retain the title into perpetuity, thus removing the land from the
speculative market

land trust mortgage option: an alternative financing option that enables low- and
moderate-income homebuyers to purchase housing that has been improved by a nonprofit
land trust that also leases the land on which the property stands

lease-purchase: an alternative financing option that allows low- and moderate-income
homebuyers to lease a home with an option to buy by dividing each month’s rent
payment into payments to principal, interest, taxes and insurance (PITI) on the first


                                            131
mortgage, plus an extra amount that is deposited to a savings account where the down
payment will accumulate

lending consortium: a collaboration among financial institutions in which capital is
committed by participating institutions to finance affordable housing and community
development units

letter of credit: an instrument or document issued by a bank guaranteeing the payment
of a customer's drafts up to a stated amount for a specified period, substituting the bank's
credit for the buyer's credit and reducing the seller's risk

lien: a legal claim to a property for payment of a debt secured by the property; e.g.,
mortgage, taxes, unpaid repair or construction bill

limited partnership: a partnership consisting of one or more general partners, with
unlimited partnership liability, through which the business is conducted; one or more
limited partners contribute cash to the capital of the partnership, with partnership liability
limited to their investment

liquidity: cash position based on assets that can readily be converted to cash

loan assumption: the process whereby a buyer assumes responsibility for the existing
loan on the property

loan fee: the charge made for negotiating a loan in addition to interest; sometimes used
in reference to an additional fee paid directly to a lender either for a commitment or at the
time advances are made

loan-to-value ratio (LTV): the amount of a loan(s) divided by the market value of the
property as determined by a qualified appraiser (lenders normally require a LTV around
60 percent for rental property and 80 percent for single-family owner-occupied homes)

low-income housing tax credit: a federal program designed to encourage investments
of private capital in development of affordable rental housing for low-income households
by providing a credit or reduction in tax liability that is based on the costs of development
and the number of qualified low-income units

low-or moderate-income neighborhood: means any neighborhood in which 51
percent or more of the households have incomes at or below 80 percent of the median
income for the area




                                            132
M
management fee: payment to a contracted firm or agent for a specified scope of
services usually set in the range of 5 to 9 percent of gross rent collected

manufactured home: factory-built or pre-fabricated housing, including mobile homes

market approach: using the market place as a yardstick to measure the value of
property

market rent: the highest rent charged for a unit based on its location, condition and
what the market will bear

market study: a projection of future demand for a specific type of project, usually with
a recommendation for volume of space to be sold or rented and the sale or rental price

maturity linked: a source and use of funds tied together to allow a lender to make
longer-term, fixed-rate loans and to fund them with deposits of a similar maturity,
therefore reducing interest rate risk

McKinney Act: a 1987 federal act that allowed the creation of programs providing food,
emergency and transitional housing, health services, job training, education and other
supportive services to address the needs of homeless people

minimum lot zoning: a type of zoning that regulates the smallest lot size per building

minimum property standards: regulations that dictate the lowest acceptable technical
standards for housing

mortgage: a legal document that pledges a property to the lender as security for
payment of a debt

mortgage banker: a lender who originates loans for sale to other investors and
generally continues to service the loans

mortgage-backed security (MBS): an investment security issued by Fannie Mae that
represents an undivided interest in a pool of mortgages

mortgage broker: a fee-based intermediary between the lender and borrower

mortgage insurer (MI): a company or government entity that insures the mortgage
investor against loss in the event of a borrower’s default under a conventional mortgage




                                            133
mortgage revenue bonds: bonds issued by a public entity payable from revenues
derived from repayments on mortgage loans that were financed from the proceeds of the
bonds

multifamily projects: a residential dwelling that has more than two dwellings as a part
of a single development. Generally associated with garden apartments, townhouses and
high-rise apartment complexes

N
neighborhood preservation: the repair or removal of blighting conditions on private
property or in the immediate vicinity through the use of code enforcement and
community improvement initiatives

net operating income: the difference between the effective gross income and the total
operating expenses is the amount of income available to make payments on loans,
referred to as the debt service or debt payment

net return: the remainder left after total operating expenses and interest payments are
deducted from gross income

non-profit sponsor: a group organized to undertake a housing project for reasons other
than making a profit

notice of funding availability (NOFA): a notice from HUD to inform potential project
sponsors that funding is available for various housing activities


O
operating expense: the costs of running and maintaining a property including
administrative costs, utilities, maintenance, taxes, insurance and replacement reserve
payments

operating income: residential rent, including both rents paid by the tenants and rent
subsidies provided by the government, in addition to income generated from laundry
facilities, vending machines, a rental fee for use of the community room, parking fees and
storage rental

option agreement: the right acquired, for a consideration, to buy or sell property at a
fixed price within a specified time

owner financing: a property transaction in which the owner provides all or part of the
financing




                                           134
owner-occupied project: a project involving the purchase, construction or
rehabilitation of owner-occupied housing including condominiums and cooperative
housing

P
panelized home: factory-built homes in which panels consisting of a whole wall with
windows, doors, wiring and outside siding are transported to the site and assembled

participation loan: a mortgage loan in which one institution makes the original loan
and one or more institutions purchase an interest

partnership: an association of persons joined by contract to combine their property,
labor and/or skills

payment in lieu of taxes (PILOT): payments made by a public housing authority to
the local governing jurisdiction (usually a percentage of total rents) for the provision of
certain municipal services

performance bond: a bond to guarantee performance of certain specified acts, such as
the completion of construction of a property or offsite improvements

permanent financing: mortgage loan covering development cost, interim loan,
construction loan, financing expenses, marketing, administrative, legal and other costs,
which is a long-term obligation that goes into place after the project is constructed and
open for occupancy

PITI: an acronym for principal, interest, taxes and insurance—all the components of a
monthly mortgage payment

planned unit development (PUD): land development larger than a stated minimum
size reviewed and approved as a unit; this method increases the density allowed under
zoning restrictions by clustering housing and thus providing maximum utilization of open
space

plat: a map or chart of a lot, subdivision or community drawn by a surveyor showing
boundary lines, improvements on the land and easements

points: used by the lender to increase the yield of the mortgage (one point is equal to one
percent of a mortgage loan)

prequalification: determining the amount a buyer is eligible to borrow before a loan
application is made

principal: the amount borrowed or remaining balance, which does not include interest




                                            135
private mortgage insurance: a form of mortgage insurance without governmental
participation that protects the mortgage lender against loss in the event of default on that
mortgage

pro forma: an operating budget that predicts expected income and expenses for the first
10 to 15 years of the operation of a housing project

project-based assistance: subsidized assistance that is tied to the unit; renters
receiving this assistance lose it if they move out of the unit

property tax: a tax set and charged by the local government and used to fund a variety
of municipal services such as schools, police, or street maintenance

public housing authority (PHA): public agency created by state or local government
to finance or operate low-income housing programs

punch list: a list of items that have not been completed at the time of the final walk-
through of a newly constructed housing project

purchase agreement: a written proposal by a buyer to purchase real estate that
becomes binding upon the acceptance of the seller


Q

quit claim deed: a deed relinquishing all interest, title or claim in a property by a
grantor, but not representing that such title is valid, not containing any warranty or
covenants for title

R
R-value: the term commonly used to describe the insulating value of resistance to heat
flow of a material (the higher the R-value of a material, the greater the insulating value)

real estate owned (REO): property acquired through foreclosure or acceptance of a
deed in lieu of foreclosure

Real Estate Settlement Procedures Act (RESPA): a consumer protection law that
requires lenders to give borrowers advance notice of closing costs

realtor: an agent, acting for an owner, who is licensed to sell or rent property

recertification: annual or interim reexamination of a subsidy holder’s income or family
size required in subsidized housing to redetermine eligibility for such housing

refinancing: paying off one loan with a new loan using the property as security


                                            136
regulatory rent: rent based on particular rules established for government programs
with specialized or restricted funding

relocation: a move from one property or unit to another (if forced to move by
government action, the tenant or owner may be eligible for financial assistance)

rental assistance: supplemental payments provided to owners of private housing on
behalf of qualified low-income tenants to subsidize the amount of rent the tenant can
afford

rent-up period: the amount of time it takes for a rental project to reach a stable
occupancy rate and income stream

rental agent: a person responsible for leasing units and sometimes for rent collection

replacement cost: the cost to replace a structure or structural system with one of
equivalent value and function.

resident manager: a person hired to oversee the leasing and management of a rental
property and who lives on the property

return on equity: the ratio of cash flow on an investment minus debt service and
operating expenses to the amount invested exclusive of financing

revolving loan fund: a pool of money set up through federal, state or local grants to
make loans which are replenished through borrower paybacks

right of way: a right to the limited use or enjoyment of land held by another

rural: generally refers to areas of open country and communities with populations of
20,000 or less (some programs define rural to mean any area outside the central city of a
metropolitan statistical area)

S
sales contract: a written agreement between a buyer and seller stating the terms and
conditions of a sale or exchange of property

second mortgage: a mortgage that has a lien position subordinate to the first mortgage

secondary mortgage market: a system whereby lenders, investors or government
sponsored entities buy existing mortgages as long-term investments, and in doing so
provide greater availability of funds for mortgage loans by banks, mortgage bankers, and
savings and loan associations



                                           137
Section 8: an income-based rental subsidy program for very low-income persons or
families; the subsidies are funded by HUD and represent the difference between 30
percent of the household's income and the rent amount

self-help housing: a program that enables families to become homeowners with an
investment of “sweat equity”—a contribution of their own labor to help with such tasks
as painting, landscaping, carpentry, and roofing

shared housing: housing that matches home-providers with home-seekers who are
willing to provide assistance with chores, household maintenance, meal preparation, or
transportation in exchange for housing

single room occupancy (SRO): a rental property with units that consist of a single
room (kitchen or bathroom facilities may be shared among tenants)

site-built home: a home that is built entirely on site, using few if any factory-built
structural components

site work: usual land improvements such as excavation for foundations or utilities;
grading, installing on-site utility lines, roads, walkways or parking areas; landscaping,
outdoor lighting; or other permanent improvements to the land

skilled nursing home: a facility that provides 24-hour nursing care for convalescent
residents and those with chronic or long-term illnesses

strategic planning: a planning process to systematically determine how to allocate
organizational resources, address community needs and take advantage of opportunities
that arise

subdivision: a housing development that is created by dividing a tract of land into
individual lots for sale or lease

subordinate mortgage: an agreement by which one mortgage is made subject to
another mortgage

sweat equity: contribution to the construction or rehabilitation of a property in the form
of labor or services rather than cash

T
tax abatement: exemption or reduction of local taxes associated with a project for a
specific period

tax credits: credit available on federal income tax for equity investors and/or owners of
housing projects for low-income and historic preservation projects (see low-income
housing tax credit)


                                           138
tax–exempt bond: a bond on which the interest payments are not subject to federal
taxation issued by a tax-exempt entity such as a housing finance agency

technical assistance: provision of practical knowledge, advice and guidance to
enhance capacity expertise and skill

tenant-based rental assistance: a rental subsidy tied to the tenant that allows the
tenant to move within any jurisdiction or to any jurisdiction that will accept the subsidy

tenant organization: a group of formally or informally organized tenants who conduct
various services and activities, as well as work with the landlord (also called a resident
association or council)

title: legal document showing homeownership

title search: a check to ensure that the seller is the legal owner of a property and no
liens or claims are outstanding

transfer tax: state or local tax payable when title transfers from one owner to another

transitional housing: temporary housing for families or individuals who have not yet
found permanent housing and require more stability than an emergency shelter; residents
usually stay for several months until their circumstances stabilize

tri-plex: a freestanding structure that contains three complete housing units, either with
common side walls or stacked one above the other

truth in lending: federal law that requires lenders to fully disclose in writing all terms
and conditions of a mortgage, including all charges


U
universal design: the design of products and environments to be usable to the greatest
extent possible by people of all ages and abilities, eliminating the stigma and expense of
special or different design

utility reimbursement: rent program whereby a very low-income renter pays no rent
and is sent a check to offset some or all of the cost of the unit’s utilities

underwriting: the process of evaluating a loan application to determine the risk
involved for the lender




                                             139
V
vacancy rate: average monthly percent of a building that is unoccupied

verification of employment: a form used for qualifying income limits, credit
investigations and rent determinations that allows a landlord or agent to verify an
applicant's work history, occupation and salary

Veterans Administration (VA): a federal agency that, among other services, insures or
guarantees mortgage loans for veterans


W
waiver: a written agreement that gives up a claim or a right

weatherization: improvements to the thermal efficiency of dwellings through the
installation of materials such as attic insulation, caulking, weather-stripping and storm
windows

Z

zoning: the purpose to which land or building may be put in specific areas, and of the
architectural, structural, and/or spatial elements of such land or building




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Appendixes




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