Re: [Mpls] Affordable Housing - Other Ideas
An interesting article. Bashes SUV's, but more important shows what streets should be like. Fits into the West Broadway and Lake Street re-building. http://pps.org/newsletter/Mar2003_Guest -- DeWayne Townsend Cooper TEMPORARY REMINDER: 1. Send all posts in plain-text format. 2. Cut as much of the post you're responding to as possible. Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Unsubscribe, Digest, and more: http://e-democracy.org/mpls
[Mpls] Affordable Housing: Other Ideas (Housing Cooperative Available Now!)
I offer another option for folks to consider, and a comment about the context of the "Affordable Housing" issue in general: ANOTHER HOUSING OPTION There is still space to be a part of a form of corporation that is very old and very new, and which is as responsive to the needs of the land and the community in which it is formed as it is to the needs of the shareholders. That form of corporation is the cooperative. More specifically, the housing cooperative. It is about economic democracy and building community within our neighborhoods. Housing corporations are not a panacea, but they are one part of the housing puzzle. Housing cooperatives structure ownership to build community, access to home ownership, and true roots in a place with others. The Nicollet Cooperative Housing Association has a couple of openings left for people to buy a share! For information, contact the Northcountry Cooperative Development Fund (612-331-9103). Housing Cooperatives can do cool things that you might not immediately associate with "housing." We can use our cooperative buying power to buy food and other supplies, to help form a car-share hub, or to develop clean cooperative electric power generation on-site. Cooperation and economic democracy are all about empowering people through carefully-shaped corporate structure. To buy into our particular cooperative, for example, you only need $2,000 down. Not affordable for everyone, but better than, say, $10,000. Monthly payments are made like rent or a mortgage, and members build equity. The members work together as landlords and as owners of the corporation. This can be educational as well! We have to set and understand long term budgeting for all maintenance concerns, taxes and such. We make decisions about house rules and we are responsible as corporate shareholders to "mind the business!" This is good, old fashioned hard work for a good purpose within the context of a specific neighborhood and place. i recommend it! Housing cooperatives have a long history of success from New York to Chicago to Minneapolis! WEALTH, POVERTY AND "AFFORDABLE HOUSING Second, having also read Barbara Ehrenreich's "Nickel and Dimed" amoung other excellent works, I agree that the so-called "affordable housing" crisis is one dimension of a much larger phenomenon: the most massive and least-discussed subsidy of all: the lives of the very poor are poured out to subsidize the wealthy. Unless we address the growing economic disparity and unaccountability in our capitalist system gone awry, there is no real solution -- it is that simple. Most folks do not realize that Adam Smith wrote about ethics before he wrote about economics. The "free market" is one predicated upon and defined by clear moral codes and absolutely transparent and consistent enforcement. We are mired in a market which is defined by the code of "economic rape" with little or no enforcement or accountability. The free-est market also takes into account the cost of "the common good" or "common wealth" required to sustain economic vigour. Related to housing, this means that landlords would not be expected to do social service, but that social services (including appropriate supportive housing) would be available to those in need of them. I think we can at least consider in this forum that our "affordable housing" problem is one part of a bigger elephant -- social and economic injustice wrought by an economic philosphy devoid of moral or ethical foundation. "Accountability" does not exist for the biggest, most rapacious players in this Darwinian context, but may be a smokescreen for keeping the smallest players in line -- including, may I note, small landlords and landholders. Witness the power of big corporate players to make millions while going bankrupt in downtown Minneapolis, or to shape the urban landscape into an unsustainable monstrosity with ramps, roads, sportsdomes and other structures built to destroy the watershed, soil and air, as well as the relationships of people to people and to the earth. "Affordable Housing" must be seen in this context of capitalism untethered from spiritual or moral moorings. Some time ago I posted a reference to an article about the impact of fascism on urban planning -- the unity of corrupt government with corrupt corporate leadership rips the fabric of our culture to shreds while building monuments to hubris and folly. Remember Mr. Moses and New York City and remember our own urban planning history -- from trolleys to freeways, from urban industry knit into the fabric of the bioregion to a bioregion at the mercy of corporations who extract wealth and abandon the husk left behind -- to see illustrations of the point, Economic democracy is the solution: absolute accountability for all persons and corporations to a strict and clear moral code translated into law which is rigourously enforced with complete transparency. There are people meeting regularly in Minneapolis, Minnesota to
Re: [Mpls] Affordable Housing - Other Ideas/Wanted:Skilled Repair Person
In a message dated 3/16/03 4:48:22 PM Pacific Standard Time, [EMAIL PROTECTED] writes: So what else is there? One thought I had was whether it would be possible to create a voluntary program for businesses located in Minneapolis. The business pays a living wage to employees who are Minneapolis residents (maybe leave out teenagers that are working the after-school or summer job) and get a tax credit of some kind. I'm guessing it would probably have to be a property tax credit, since I don't know what other taxes business pay specifically to Minneapolis. Obviously, there would be folks who say we cannot afford to do something like this with the deficits we're facing, but I wonder. If our residents are earning a paycheck they can thrive on, how much would we save in not having to subsidize housing as much? Keith says; Your heart is in the right place; improving peoples' lives. And your mind is open; listening to the ideas of professional problem solvers called landlord. It is the conditioned response, your knee jerk response, that needs to be checked. You, and others, say city dwelling heads of families, in poverty, need better pay. Let us promote the individual; not subsidize the market place. Let us determine, and promote, learning the skill sets needed to earn more in the market. Let us promote the individual's marketability. Let us not set up an arcane, labyrinthine system to subsidize burger flipping, or whatever else in a low orbit, with government money. It is a dead end with a huge price tag. Recommendation: Train a person to repair older dwellings. Replace door knobs, change a lock, refit a door. Also fix, and unplug, toilets, and other minor plumbing. Replace a smoke detector is common. Paint a wall, or a room. Rescreen, or reglaze a window, is often essential. Some knowledge, an alarm clock, a couple buckets of tools, sobriety, a drivers license, and a small PU. Good to go. Subsidy over. I just wrote the job description of the guy, or gail, that could come to work for me tomorrow. If you qualify, please E-mail me. Keith Reitman NearNorth TEMPORARY REMINDER: 1. Send all posts in plain-text format. 2. Cut as much of the post you're responding to as possible. Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Unsubscribe, Digest, and more: http://e-democracy.org/mpls
Re: [Mpls] Affordable Housing - Other Ideas
[EMAIL PROTECTED] asks: Why so many people with out stable housing? That is a great question with a long answer. SAM here: Here's a guess: spotty credit reports and rental histories, inability to come up with move-in expenses. Craig says: Get a roommate, bump up to a 2br, and the savings are readily apparent. Savings of almost $300 per month. Take that times 36 months and you have $10,800. SAM here: I agree. I also feel that not everyone has the living skills to live with a roommate. When we rented to two single women they were regularly calling the police to settle their conflicts. When I volunteered with People Serving People I received a hysterical call at midnight from a woman whose roommate had thrown her out. As for Vicky's meticulous post about how much a minimum-wage worker can afford, those calculations are based on a perfect world: no catastrophic illnesses, no transmission overhauls, not one unforeseen expense. One such expense can send me into a tailspin, and I'm not a minimum-wage worker. I am not making excuses for why people are unable to find housing, just pointing out reasons why since people are asking why. A good book to read is Nickel and Dimed by Barbara Ehrenreich. Susan Maricle another former rental property owner in Folwell now of Bruno MN __ Do you Yahoo!? Yahoo! Tax Center - forms, calculators, tips, more http://taxes.yahoo.com/ TEMPORARY REMINDER: 1. Send all posts in plain-text format. 2. Cut as much of the post you're responding to as possible. Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Unsubscribe, Digest, and more: http://e-democracy.org/mpls
RE: [Mpls] Affordable Housing - Other Ideas
Vicky, can you sharpen your pencil for an analysis of people with children also? Make sure you include the EITC, Working Family Credit, food stamps, etc. (and day care costs should also be included... wow this gets really complicated, but it's worth doing even if we leave off some categories of people at first). Mark V Anderson Bancroft Neighborhood I would like to know this, too. My daughter was one of a large number of people recently laid off from a bank in Minneapolis. She is a single parent, with a five and a two year old. She has daycare costs to contend with as well. Sharing a apartment with someone is not a real option as, most single people without kids don't want to room with a mom. The kids need their own space. She was making $10 an hour, but now that she is laid off, her subsidized daycare will be taken away. She was not on Section 8, she was cutting corners and doing all the right things, but the system doesn't look at that. They don't allow you any time to regroup. You lose your job, you get cut off at the knees all at once. This contributes to the homeless issues. My daughter neither smokes nor drinks nor has loud parties or wild friends. We have family in the city but I come from a large family. They do not have space. Anyone know of a good boarding house (not a shelter) and/or kindly landlord who will take in a women with kids that is safe? I don't want them in a dump. Thanks. Pamela Taylor (Tampa) TEMPORARY REMINDER: 1. Send all posts in plain-text format. 2. Cut as much of the post you're responding to as possible. Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Unsubscribe, Digest, and more: http://e-democracy.org/mpls
Re: [Mpls] Affordable Housing - Other Ideas
Ms. Taylor, It appears that you forgot the child support - it probably is at least $500 per month. Maybe that can be increased also. Steve Meldahl Jordan (work) - Original Message - From: Pamela Taylor [EMAIL PROTECTED] To: Anderson Turpin [EMAIL PROTECTED]; [EMAIL PROTECTED] Sent: Monday, March 03, 2003 10:54 AM Subject: RE: [Mpls] Affordable Housing - Other Ideas Vicky, can you sharpen your pencil for an analysis of people with children also? Make sure you include the EITC, Working Family Credit, food stamps, etc. (and day care costs should also be included... wow this gets really complicated, but it's worth doing even if we leave off some categories of people at first). Mark V Anderson Bancroft Neighborhood I would like to know this, too. My daughter was one of a large number of people recently laid off from a bank in Minneapolis. She is a single parent, with a five and a two year old. She has daycare costs to contend with as well. Sharing a apartment with someone is not a real option as, most single people without kids don't want to room with a mom. The kids need their own space. She was making $10 an hour, but now that she is laid off, her subsidized daycare will be taken away. She was not on Section 8, she was cutting corners and doing all the right things, but the system doesn't look at that. They don't allow you any time to regroup. You lose your job, you get cut off at the knees all at once. This contributes to the homeless issues. My daughter neither smokes nor drinks nor has loud parties or wild friends. We have family in the city but I come from a large family. They do not have space. Anyone know of a good boarding house (not a shelter) and/or kindly landlord who will take in a women with kids that is safe? I don't want them in a dump. Thanks. Pamela Taylor (Tampa) TEMPORARY REMINDER: 1. Send all posts in plain-text format. 2. Cut as much of the post you're responding to as possible. Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Unsubscribe, Digest, and more: http://e-democracy.org/mpls TEMPORARY REMINDER: 1. Send all posts in plain-text format. 2. Cut as much of the post you're responding to as possible. Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Unsubscribe, Digest, and more: http://e-democracy.org/mpls
Re: [Mpls] Affordable Housing - Other Ideas
Cathy Leighton wrote: Another option whould be to allow boarding and/or rooming houses again. This is a very efficient means of sharing space. It offers a home owner, with extra space, the opportunity to get some extra income and provides the renter (especially single people) with a truly affordable option. I lived in a boarding house some years ago and absolutely loved it. Craig Miller replied: This becomes risky business in our modern crime apologetic city. Can't tell you how many senior,severely limited income ladies I've advised over the years. Some were physically injured by their tenants. Just terrible to see that happen. They still had to go through the torturous legal process to get the bad guy out. Boarding houses should have instant eviction power. No bones about it. They call a cop and out goes the tenant. Ageing widows should not be excluded from rental income by violence. Mark Anderson here: Hey great ideas, both of you. I presume the reason Boarding Houses don't exist anymore is because of the rules against having too many unrelated people in one house? But as another person wrote, I too remember when I was in college at the U of M, when I lived in houses with innumerable unrelated people. Were we breaking the law, or maybe zoning is different around the U, or maybe the rules have changed since the '70's? We may be getting to part of the true reasons for affordable housing problems these days. On a related note, I've been waiting for someone to respond to Vicky's fascinating post on how much poor people can afford for housing. No one has responded yet, so I'll ask the key question. Are apartments for $600/month available? If so, she makes a very good point. No full-time worker, if single, should then be homeless, except in extraordinary circumstances. Vicky, can you sharpen your pencil for an analysis of people with children also? Make sure you include the EITC, Working Family Credit, food stamps, etc. (and day care costs should also be included... wow this gets really complicated, but it's worth doing even if we leave off some categories of people at first). Mark V Anderson Bancroft Neighborhood TEMPORARY REMINDER: 1. Send all posts in plain-text format. 2. Cut as much of the post you're responding to as possible. Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Unsubscribe, Digest, and more: http://e-democracy.org/mpls
[Mpls] Affordable Housing - Other Ideas
On a related note, I've been waiting for someone to respond to Vicky's fascinating post on how much poor people can afford for housing. No one has responded yet, so I'll ask the key question. Are apartments for $600/month available? If so, she makes a very good point. No full-time worker, if single, should then be homeless, except in extraordinary circumstances. Mark V Anderson Bancroft Neighborhood Craig here. Less then 4 months ago I sold 34 units in Camden. Great area. CM Johnson's office can testify to the neighborhood and the quality of the property I ran. The average rent for a two br was $640. The 1br's were $600. There are least a thousand of these unit types open in the city of Mpls right now. Someone mentioned earlier that if we have 8-10,000 units in the metro open right now. Why so many people with out stable housing? That is a great question with a long answer. Now's not the time. Residents paid electricity telephone. I paid the big bills garbage,gas, heat, water. Residents paid elec and phone. The minimum housing cost was about $700. Almost any single person with a $10 hour job could squeeze by in a 1br. But that is all they would do, is squeeze by. Get a roommate, bump up to a 2br, and the savings are readily apparent. Savings of almost $300 per month. Take that times 36 months and you have $10,800. Come to think about it, that's how I got the scratch together to buy my first house. The $10,800 gets you a down payment in many areas of Mpls. Oh BTW. To anyone who asks. Your not supposed to raise a family and save for a house on $5.15 an hour. If you are, teach your younger brothers and sisters how tough that is and encourage them not to try. WAGE LEVELS I've been a free market capitalists for quite awhile. I went to many church basement meetings where MICAH, ISAIAH and you name it have been pushing for more Non Profit Housing. They would always enlist the local business/employer. The local employer would prattle on about how they can't hire any more employees because housing is too expensive nearby. These business' thought nothing of having some one poach the taxpayers pocket to pay for the housing of their employees. So as of this point I'm joining the barricades on this issue. If housing is out of reach for the entry level worker, and the government refuses to ease the cost of housing through regulation and legal reform, then we need to make the employer pay their employees more. If they want good employees who are adequately housed, they should pay higher wages. Why unload the underpaid on the taxpayers of Mpls? Oh BTW, don't let these employers build company owned housing. A good deal of blood was spilled in the 8th congressional district in the 20th and 19th century to end the 'Company Town' and the 'Company Store'. A very large percentage of labor strife and embittered misery can find it's flash point in the 'Company Town'. Craig Miller Former Affordable Housing Provider Living in Rogers [EMAIL PROTECTED] TEMPORARY REMINDER: 1. Send all posts in plain-text format. 2. Cut as much of the post you're responding to as possible. Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Unsubscribe, Digest, and more: http://e-democracy.org/mpls
[Mpls] Affordable Housing - Other Ideas
I would like to applaud Mr. Cullen's redirection of the discussion back to the underlying problem. I think the time has come to look at some other options. Home Ownership: I would like to see a program where low income people could get their down payment (anywhere from $5,000 to $15,000) paid by the city. This is substantially less expensive than the per unit costs of rehab or new construction under the name of affordable housing. The city could even put a lien against the property for the amount of the down payment. At any point that the title is transferred; refinancing, sale, gift, whatever, the money would be returned to the city and used again to help someone else. I personally believe that the down payment can be one of the biggest hurdles to home ownership. When money is tight, there is no way to set aside the extra that is needed to get into a house. Loans for a down payment just increase the burden even more to those who are already struggling. Rental Housing: I really like the idea of rent stamps so that the people who qualify for them can have some kind of meaningful choice as to where they want to live. Another option whould be to allow boarding and/or rooming houses again. This is a very efficient means of sharing space. It offers a home owner, with extra space, the opportunity to get some extra income and provides the renter (especially single people) with a truly affordable option. I lived in a boarding house some years ago and absolutely loved it. Catherine Leighton Live in Longfellow/Work North East TEMPORARY REMINDER: 1. Send all posts in plain-text format. 2. Cut as much of the post you're responding to as possible. Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Unsubscribe, Digest, and more: http://e-democracy.org/mpls
[Mpls] Affordable Housing - Other Ideas
(CM) Adding and critiquing Home Ownership: I would like to see a program where low income people could get their down payment (anywhere from $5,000 to $15,000) paid by the city. (CM) This better be a pilot program. What happens if everyone with who gets turned down for a loan else where moves into your city. Do it by lottery by those who have been pre-qualified. Impacted neighborhoods first. This is substantially less expensive than the per unit costs of rehab or new construction under the name of affordable housing. (CM) AMEN! The city is spending something over 100k per affordable unit. The city could even put a lien against the property for the amount of the down payment. At any point that the title is transferred; refinancing, sale, gift, whatever, the money would be returned to the city and used again to help someone else. (CM) Make sure the house is worth something before purchase. Over the years the various government agencies have held mortgages worth in excess of the house. The house sits in inventory. The house burns, gets wrecked, gets looted, etc. Often with the compliance, negligence, overt, covert knowledge of city agencies. MADE, MOHAN city of Maples, Hen Co. Circa 1980's -1999. personally believe that the down payment can be one of the biggest hurdles to home ownership. When money is tight, there is no way to set aside the extra that is needed to get into a house. Loans for a down payment just increase the burden even more to those who are already struggling. (CM) I would cut back on the program in tougher times. Fully fund during good times. Rental Housing: I really like the idea of rent stamps so that the people who qualify for them can have some kind of meaningful choice as to where they want to live. (CM) Rent stamps would work if the overhead and overbossing is kept to a minimum. BTW, don't ask the current administrators what the 'minimum' should be. They are not programmed to work themselves out of a job. Another option whould be to allow boarding and/or rooming houses again. This is a very efficient means of sharing space. It offers a home owner, with extra space, the opportunity to get some extra income and provides the renter (especially single people) with a truly affordable option. I lived in a boarding house some years ago and absolutely loved it. This becomes risky business in our modern crime apologetic city. Can't tell you how many senior,severely limited income ladies I've advised over the years. Some were physically injured by their tenants. Just terrible to see that happen. They still had to go through the torturous legal process to get the bad guy out. Boarding houses should have instant eviction power. No bones about it. They call a cop and out goes the tenant. Ageing widows should not be excluded from rental income by violence. Thanks to Catherine for letting me butt in. Craig Miller Rogers Former Affordable housing provider on the north side. [EMAIL PROTECTED] TEMPORARY REMINDER: 1. Send all posts in plain-text format. 2. Cut as much of the post you're responding to as possible. Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Unsubscribe, Digest, and more: http://e-democracy.org/mpls
Re: [Mpls] Affordable Housing - Other Ideas
There may be some misunderstanding about the proposed Affordable Homeownership Program coming out of the NRP Policy Board this week. Cathy, the program would make it so that a down payment would not be necessary or would be small. Since the program would guarantee a certain portion of the loan, the down payment would not be necessary, mortgage insurance would not be necessary, and the interest would be lower. Here is the best part - the City NRP dollars would not be spent to do this. It would be a guarantee NOT a grant or subsidy! Approximately 20% of the loan would be guaranteed if it were to go into default. This reduces the Lenders exposure to loss and as such people who would not normally qualify for a loan would now be able to buy a home. The City does not spend the 20%; it merely guarantees it in case of loan default. Only about 10% of that guarantee would be necessary in escrow. That amount would be freed to guarantee the loan for another poor family as the loan was paid down. The City is able to recycle that money over and over without using it up, that is why it is sustainable affordable housing. Even if every one of these loans were foreclosed on it would be cheaper than the 50,000 to 100,000 dollar subsidies taxpayers presently pay for affordable rental housing. (Of course this raises the issue of affordable to who?) It is a matter of priorities. Is it a higher priority to put money in a developers pocket for each unit built or is the priority to use 10% of that amount to put three times as many families in houses of their own. Is it a priority to sustain large developers or a priority to sustain and give economic opportunity to poor people? Is it priority to improve the quality of profit for the developer or the quality of life for poor people? My answer of course is that the highest priority is to assist poor people to help themselves to be self-sustaining for their future housing. Craig Miller says, (CM) This better be a pilot program. What happens if everyone with who gets turned down for a loan elsewhere moves into your city? Do it by lottery by those who have been pre-qualified. Impacted neighborhoods first. This is substantially less expensive than the per unit costs of rehab or new construction under the name of affordable housing. Jim Graham: Gosh Craig, you got it right of the bat. Those are some of the elements of such a NRP program. Craig does have a point about people moving into the City to take advantage of the program. Though the program is for those who qualify for Affordable Housing, perhaps we should make an exception for Police Officers who wish to move into the City. Or perhaps we, (Minneapolis), should just set up a similar program for employees who we wish to have living inside the City where they work. (CM) AMEN! The city is spending something over 100k per affordable unit. The city could even put a lien against the property for the amount of the down payment. At any point that the title is transferred; refinancing, sale, gift, whatever, the money would be returned to the city and used again to help someone else. (CM) Make sure the house is worth something before purchase. Over the years the various government agencies have held mortgages worth in excess of the house. Jim Graham: The beauty of this program is that other than the guarantee, the rest of the transaction is between the Mortgage Lender and the Individual Homeowner. Just like in other transactions. The City would not hold the Mortgage; it would merely guarantee the first 20% of the mortgage. We probably should keep the City out of the housing business, given the history of housing controlled by the City through MCDA! For those concerned with taxes here are some things to think of: 1) Setting money aside in an account as a guarantee on many housing units, rather than spending it all on a few. 2) Each guaranteed loan creates two affordable units - (the one the mortgage is on and the rental apartment freed up when the family moves to their new home) 3) Increased tax base on Real Estate, (also stability means a greater potential for the person to earn and pay other taxes.) 4) Stability of family means greatly reduced social service and infrastructure costs during the entire life of the individual family members. Including less cost to educate each individual child, and lower police and criminal justice system costs. (Do any of the readers have any idea what the social service and criminal justice costs can be for just one person from an unstable family?) 5) One time guarantee rather than a lifetime of subsidy The very best thing is that it gives poor people a chance to enjoy the same quality of life as most more-affluent people take for granted. Poor people' s dreams are not that much different. Quality housing, quality education, and QUALITY OF LIFE! Sort of what I want for my children, how about you? Jim Graham, Ventura Village There is no finer investment for any
