Another Way to Ease the Jobs-Housing Mismatch - Metropolitan Planning Council

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Another Way to Ease the Jobs-Housing Mismatch

Further innovation in MPC's efforts to increase state incentives for affordable and workforce housing development in job rich communities.

Housing prices have fallen in recent months ,but home ownership continues to be beyond the reach of many of the region's working families. Harder still is finding a well-built home near quality job opportunities, not to mention transit, good schools, and green space.

MPC and several partner organizations are working hard to develop innovative strategies to overcome this hurdle. In an attempt to offer the Illinois Housing Development Authority (IHDA) a range of options from which to choose, MPC and its partners have devised a simple means of expanding an existing incentive program to encourage housing rehab and development activitywhere it's needed most. As discussed in the article Can 'Live Near Work' Work Better? (which explored another, similar strategy), one means of addressing the shortage of government incentives is to rework how federal Low Income Housing Tax Credits are allocated, a process determined by the state's Qualified Allocation Plan (QAP).

Another option is to explore the three points which the QAP proposes three for developments in communities currently classified as non-exempt - meaning 10 percent orless of their housing stock is considered affordable -by the Affordable Housing and Planning Appeals Act (AHPAA). Per the attached letter co-authored by MPC and Chicago Metropolis 2020 , many towns above that 10% mark in 2000 are likely to fall below, thus becoming non-exempt, by 2010. To support those towns looking at this issue proactively, the simple suggestion is to make these three extra points available for all Illinois communities whose share of affordable homes is 25 percent or less (which naturally includes the 49 municipalities with less than 10 percent at present).

As evidenced by the above map, this innovation would capture a number of communities with dense job markets (the darker the underlying zip code geography, the higher the jobs-household ratio in that area). Not only would these three points make more development easier in a wider range of communities , it responds directly to requests from both developers and municipal leaders asking for state support for such proactive activity advancing the state’s Comprehensive Housing and Planning Act.

A range of private firms,organizations, and government bodies have joined MPC in this effort, including the Illinois Housing Council , Business and Professional People in the Public Interest , Brinshore Development , Related Midwest , and the DuPage Homeownership Center . IHDA is currently reviewing and revising the QAP, and the support of such a broad coalition is critical.

For more information on MPC's efforts to ease the jobs-housing mismatch, Live Near Work, or on its work to revise IHDA's QAP, please contact Robin Snyderman, MPC housing director, at (312) 863-6007 or rsnyderman@metroplanning.org , or Josh Ellis, MPC community development associate at (312) 863-6045 or at jellis@metroplanning.org .

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