Barriers to Affordable Living Report

Current Conditions Income The ability to afford decent housing and other basic living costs depends greatly on income.

Median household income in Genesee County is about $43,000, while 34 percent of households fall into income levels between $35,000 to $75,000.

The map below shows that households which fall into higher income levels generally are located on the edge of Genesee County, mainly in the southern region. Many households in the City of Flint are earning less than $35,000, while the rest of the County is typically earning above $35,000.

Household Income Level by Percent

Median Household Income: $43,246

Barriers to Affordable Living The US Department of Housing and Urban Development (HUD) states that families who pay over 30 percent of their income on housing are considered cost burdened and may have difficulty affording necessities such as food, clothing, and transportation. In Genesee County, there are many barriers that may influence a family’s ability to afford these necessities. This section will discuss the barriers listed below and provide potential solutions to mitigate identified negative impacts.

Barriers to Affordable Living in Genesee County: Age Crime Disabilities Educational Attainment Employment Housing Cost Homelessness Housing & Downtown Conditions Housing Occupancy

Income Poverty & ALICE Thresholds Race & Ethnicity Transportation Cost Out of all these barriers, housings costs will be a primary focus since it is typically the largest monthly expense for a family. According to area stakeholders and reports previously conducted in the County, it is evident that finding affordable housing is a large concern for many families living here. Due to its great need for affordable housing, Genesee County receives funding from HUD to provide affordable housing options. To prioritize activities using these funds, the County develops a five-year document called the Consolidated Plan; the existing plan covers 2015-2019. Information included in the Consolidated Plan will be analyzed throughout this section along with data obtained from other relevant affordable housing reports and data sets.

Source: 2012- 2016 US Census American Community Survey Data

Source: 2012 - 2016 US Census American Community Survey Data

How Does Genesee County Compare?

2016 Median Household Income Oakland County

$69,850

Washtenaw County

$62,484

United States

$55,322

Kent County

$54,673

Michigan

$50,803

Ingham County

$46,842

Genesee County

$43,246

Source: 2012 - 2016 US Census American Community Survey Data

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FY 2018 Genesee County Low/Mod Income Thresholds

Source: Income levels determined by US Department of Housing and Urban Development

Since household income and size varies across Genesee County, it is important to determine low- and moderate-income thresholds. HUD sets the thresholds in the table on the left to identify families that may be struggling to afford housing. The map on the bottom left of the page displays where low- and moderate-income families are living in Genesee County. Closely matching the household income level map on the previous page, most of these areas are in the urban center of the County. Visualizing this data helps in determining which areas in Genesee County have a higher need for housing assistance, as well as comparing other data sets such as crime, housing cost, and poverty rate to make assumptions about potential barriers to affordable living.

Poverty Rate & ALICE Thresholds In Genesee County, 13.9 percent of households are living in poverty which is higher than the Michigan rate of 10.6 percent and the US rate of 9.1 percent. Another factor that should be considered when looking at affordable living is ALICE (Asset Limited, Income Constrained, Employed). ALICE, which is developed by United Way, considers that there are many households which have incomes above poverty, but still struggle to afford basic needs. Approximately 21 percent of households in the County are considered ALICE. This means that 35 percent of households are struggling to afford basic needs including decent housing. Below are the percentages of households in Genesee County who are below the poverty level, below the ALICE Threshold, and above the ALICE Threshold.

Households in Poverty/ALICE

Source: 2012 - 2016 US Census American Community Survey Data

% of Households

Age Several area stakeholders felt that safe, accessible, and affordable housing, especially for the senior citizen population, is in short supply.

It is felt by some that the current stock of nursing homes and other assisted living facilities will not be able to keep up with future demand due to the increasing age of the baby boomer population. At the same time, many seniors are choosing to age in place, which means they continue to live in their current residence for as long as they can. To age in place, seniors should have access to services they need to maintain or even improve their lifestyle while living on their own. Since those 65 and older are spread throughout Genesee County, it is

Source: 2012 - 2016 US Census American Community Survey Data, U.S. Department of Housing and Urban Development

Poverty

ALICE

Above AT

Total HH

Source: Michigan ALICE Report updated 2017

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In Genesee County, there are 64,522 residents who are 65 or older.

According to the United Way ALICE Report for Michigan, the percentage of households struggling to afford basic needs is approximately 35 percent. Based on this percentage, it is probable that 22,583 residents 65 or older are unable to afford basic needs and subsequently may need housing assistance.

How Does Genesee County Compare?

2017 Percent Population 65 or Older Genesee County

17.0%

Michigan

16.7%

Oakland County

16.4%

United States

15.6%

Washtenaw County

13.4%

Kent County

13.2%

Ingham County

13.1%

Employment In Genesee County, a large portion of households are struggling to afford basic needs. To increase household income, people require steady employment that pays enough to afford these basic needs. This part of the report will discuss existing and future employment projections as well as unemployment.

Based on Genesee County’s 2045 Long Range Transportation Plan’s projections, employment opportunities will improve over the next 30 years by about 16 percent. Much like the national trend, Genesee County is shifting from manufacturing, retail, and wholesale jobs to service industry jobs. Although job creation will vary between sectors, increased employment will allow more people to have jobs to pay for basic living needs.

Source: US Census 2017 Quick Facts

Disabilities There are an estimated 67,931 residents in Genesee County who have a disability and are not living in an assisted living facility. Since it can be difficult for those with a disability to earn an income, it is important to focus housing assistance programs on this demographic. Since the United Way ALICE Report states that 35 percent of residents in Genesee County are unable to afford basic needs, it is likely that 23,776 residents in the County with a disability may need housing assistance.

2045 Projected Increases in Employment by Municipality

important that nursing homes, assisted living units, and other necessary services are available in each community.

Source: Genesee County 2045 LRTP Employment Projections

Most of the existing jobs in Genesee County are in urban areas, with a significant portion being in and around the City of Flint. This trend appears to remain the same up to 2045. The map above shows the overall increase of employment in each municipality. Every municipality in the County is projected to experience employment growth over the 30-year period. The highest employment growth is projected to occur in the City of Flint and surrounding jurisdictions.

35% need housing assistance

Source: US Census American Community Survey Data and United Way ALICE Report

Source: Genesee County 2045 LRTP Employment Projections

Although job creation is projected to occur, many residents are still commuting to other places for employment. About 39,000 people who live in Genesee County are traveling to another County for work, while only 27,000 people from other Counties are coming to Genesee

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County for work. This data paired with Genesee County’s higher than average unemployment rate of 4.3% shows that there is a strong need for employment opportunities and job training services.

How Does Genesee County Compare?

August 2018 Unemployment Rate Genesee County

4.3%

Michigan

4.1%

United States

3.9%

Ingham County

3.3%

Oakland County

3.3%

Washtenaw County

3.0%

Kent County

2.7%

Housing Cost Access to affordable housing is greatly influenced by the cost of owning or renting a house. The question arises, how difficult is it for the average person in Genesee County to purchase or rent a home?

Upon reviewing a housing study conducted for the I-69 Thumb Region which includes Genesee County, four general characteristics stand out that lenders review when determining how much to loan for housing – income, debt, funds available for a down payment, and credit score.

The study noted that credit scores are rebounding. However, many looking to purchase or rent a house lack a higher credit score (720 or better). Many still hold large amounts of debt from credit cards, student loans, and car loans, as well as lack of savings for a down payment. At the same time, a large number of people in Genesee County who do own or rent a home are spending more than 30 percent of their salary on housing.

Source: 2018 Bureau of Labor Statistics Data

Educational Attainment Many studies show that there is a direct correlation between income status and educational attainment. Workers who have not completed trade schooling or obtained a bachelor’s degree or higher are less likely to find employment and are much more likely to be in poverty. By not having the proper credentials to find suitable employment with a stable income, it will be more difficult for those individuals to afford basic needs including proper housing.

Source: Center for Neighborhood Technology Data

Source: 2012 – 2016 US Census American Community Survey Data

Source: US Census 2017 American Community Survey Data and Michigan ALICE Report updated 2017; based on 2015 ACS Data

The map above displays the percent of income spent specifically on housing throughout Genesee County. According to this data, areas with a higher median household income appear to be spending much more of their earnings on housing. For example, Atlas Township in the lower right corner of the map has a median household income over $65,000, which is one of the highest in the County. However, households in Atlas Township are spending between 40 – 50 percent of their income on housing, while places like the City of Flint with a lower median household income are spending less of their earnings on housing. Note that this could be the case since Atlas Township and other similar areas have a higher disposable income and are able to afford additional housing costs while still being able to pay for necessities.

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The maps below show home value and monthly rent throughout the County. Areas with higher home values and monthly rent costs seem to match up closely with areas shown to spend a larger portion of income on housing. To get a more detailed look into housing cost burden in Genesee County, we will investigate the amount of money that is left over monthly for each jurisdiction by subtracting median household income by both median mortgage and rent cost. This analysis will

show which communities are the most financially strained by housing cost.

The chart to the right of the maps shows the average monthly income that is left over for each municipality in Genesee County after paying for housing costs, whether that be a mortgage or rent.

As predicted earlier, areas with a higher income may be spending a larger portion of their income on housing. However, they still have more money

left over after paying for housing. Although residents in the City of Flint appear to be paying 40 percent or less of their income on housing, they have much less money left over. For example, after paying for their mortgage, Atlas Township residents typically have about $5,500 left over while the City of Flint only has $1,250 left. This data points to the idea that City of Flint and other lowincome area residents may be spending less on housing since it is cheaper in those areas, but they

are financially strained in comparison to higher income areas. This makes it difficult for residents of low-income areas to afford other basic living needs.

Monthly Income Left Over After Paying for Housing Costs by Municipality

Median Monthly Rent by Census Tract

Left Over Monthly Income - Mortgage

Source: 2012 – 2016 US Census American Community Survey Data

Left Over Monthly Income - Rental

Source: US Census 2012-2016 American Community Survey Data

Source: 2012 – 2016 US Census American Community Survey Data

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Transportation Cost DueTransportation is the second highest expenditure for most households, after the cost of housing. It is important to identify if people can afford traveling to and from work or other destinations using the current transportation network. One way to explore how well Genesee County is meeting the accessibility needs of residents is by looking at percentage of income spent on transportation costs. On the map below, rural areas on the outskirts of the County are typically spending over 30 percent of their income on housing, but transportation as well. Since there is a drastic variation throughout the County in terms of percent income spent on transportation, it is crucial to identify what may be causing this difference.

How Does Genesee County Compare?

Annual Car Insurance Rates Genesee County (Flint)

$3,929

Michigan

$2,920

Oakland County (Troy)

$2,779

Ingham County (Lansing)

$2,536

Kent County (Grand Rapids)

$2,379

Washtenaw County (Ann Arbor)

$2,172

United States

$1,922

Source: valuepenguin.com; How Cities in Michigan Ranked Based on Car Insurance Costs.

Source: Center for Neighborhood Technology Data

The map above shows jurisdictions where households own fewer or more than two vehicles. Many areas that are spending a higher percentage of income on transportation are doing so since they own more than one vehicle. By owning another vehicle, costs such as car insurance, gas, registration, and routine maintenance are doubled; especially considering car insurance costs are above average in Genesee County. To understand how much those who own a vehicle are spending, AAA developed a report to understand the annual cost of vehicle ownership. The cost varies depending on vehicle type from small sedans at $6,354 annually to pickup trucks at $10,054 annually.

Average Annual Cost of Owning a Vehicle $8,469 Source: Center for Neighborhood Technology Data

Source: American Automobile Association (AAA); AAA Reveals True Cost of Vehicle Ownership

Source: Center for Neighborhood Technology Data

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Another conclusion that can be made about why certain areas are spending more on transportation relates to vehicle miles traveled (VMT). The map on the previous page identifies areas in Genesee County with a higher number of annual VMTs. The block groups with the highest VMTs closely match to the areas shown previously as spending a larger portion of their income on housing and transportation. This means that these areas are traveling more whether that be to and from work or other destinations.

Since many residents in Genesee County are choosing housing located in more rural areas, they do not have access to other transportation options such as the current transit network which is primarily provided in and around the City of Flint. The map below shows annual transit

trips taken by residents throughout the County. As one could speculate, areas located near the transit network have a much higher number of trips taken than those located in rural areas with little to no transit access. This means more rural areas must use their own vehicle for most of their transportation needs.

Commuting Patterns

Annual Transit Cost for General Public using Flint MTA $660 Source: mtaflint.org; Fares & Passes

The estimated number of people that work in Genesee County is 142,073. Nearly 19 percent of these workers live outside the County.

Oakland County generates the largest amount of traffic coming into Genesee County for work at 6,788. At over 25 percent, a higher number of workers commute outside of Genesee County for work compared to those coming into the County for work. The County with the most workers commuting from Genesee County is Oakland County. Since over 25 percent of those living in Genesee County commute to another County for work, one could assume these people may be paying higher transportation costs compared to if they lived and worked in the County.

Employed in Genesee County Employed in GC, Living outside GC Employed in GC, Living in GC

142,073 26,759 115,314

100% 18.8% 81.2%

Living in Genesee County Living in GC, Employed outside GC Living in GC, Employed in GC

154,481 39,167 115,314

100% 25.4% 74.6%

Source: US Census 2009-2013 ACS County-to-County Commuting Flow Estimates

Source: Center for Neighborhood Technology Data

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How Does Genesee County Compare?

concern. According to the information provided below, about 24 percent of owner-occupied housing units and 50 percent of renteroccupied housing units have one or more conditions which require repair or financial assistance. These conditions include: 1. Lacks complete kitchen facilities, 2. Lacks complete plumbing facilities, 3.

More than one person per room, and 4. Cost burden greater than 30 percent.

2016 Percent of Housing that is Vacant Michigan

15.1%

Genesee County

13.0%

United States

12.2%

Ingham County

8.9%

Washtenaw County

7.1%

Oakland County

6.8%

Kent County

5.8%

Source: US Census 2012 – 2016 American Community Survey Data

Housing Occupancy At 13 percent, Genesee County has a high number of vacant housing units in comparison to other Michigan Counties. It is important to mention vacancy in relation to affordable housing since vacant housing typically is focused in poverty-stricken communities that fail to improve even as other areas recover from the recession. As other areas improve, those impoverished areas fall further behind, widening the income disparity gap. This means that residents living in areas with higher vacancy housing units, such as the City of Flint at 25.2 percent, have a much harder time finding decent affordable housing and sometimes are forced to stay.

Source: US Census 2012-2016 American Community Survey Data

Source: Center for Neighborhood Technology Data

The map above shows multi-family housing units which are assumed to be mostly rental properties. The multi-family housing units are focused in and around more urban areas throughout the County, which also correlates to low-income areas. From this information, we can conclude that residents living in low-income areas do not have access to enough affordable housing options that they can purchase, so they are forced to rent.

In 2018, GCMPC staff conducted a housing conditions survey for each jurisdiction in the County, outside the City of Flint. This involved completing a windshield survey of randomly selected houses in consideration of siding quality, grading, the surrounding neighborhood, and various other factors. Using this data, a score was assigned to each house to determine the extent of repairs needed.

Scores were then separated into the following categories: sound housing condition, minor repairs needed, moderate repairs needed, substantial repairs needed, and dilapidated. Below are the results of this survey.

Genesee County Housing Conditions

Housing Conditions According to numerous stakeholder interviews and the current Consolidated Plan, housing quality was identified as an inordinate Source: US Census 2012-2016 American Community Survey Data

Source: 2018 GCMPC Housing Conditions Survey

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Based on this information, most homes throughout Genesee County are in good condition while 15 percent need some extent of repair.

However, when looking by municipality, many homes that require repair tend to be in low-income areas. For example, about 90 percent of houses located in Fenton Township, which is a relatively highincome area, are in good condition. In comparison, a lower-income area such as Mt. Morris Township has about 55 percent of its houses in good condition. As a result, there appears to be a correlation between an area’s income and the condition of its housing.

Accordingly, programs to assist homeowners in making repairs should be and are generally focused on low- and moderate-income areas.

look? Are there affordable housing options? These are examples of questions people may ask when looking for a place to settle down.

To identify the conditions of downtowns throughout Genesee County, GCMPC staff conducted another windshield survey for each community that identified a downtown area. This survey considered walkability, façade conditions, types of businesses, housing presence, and various other factors. Following are the overall Countywide results of this survey. Note that 22 out of 33 municipalities in Genesee County stated they have a downtown.

percent of businesses in downtown areas throughout the County are vacant. Downtowns with a higher percentage of vacancies usually had a lower initial impression percentage.

Genesee County Downtown Businesses

Genesee County Downtown Conditions Below are other notable Countywide data points from the housing conditions survey. Although there appears to be an overall correlation between housing condition and income, neighborhood concerns were much more sporadic throughout Genesee County. A low-income area could have more houses in need of repair while still maintaining decent neighborhoods. Sidewalks in need of repair were prevalent in all communities in the County, and lots/driveways in need of repair stood out as the largest factor in determining the condition of houses.

Source: 2018 GCMPC Downtown Conditions Survey

Genesee County Housing Conditions Continued

Source: 2018 GCMPC Downtown Conditions Survey

Source: 2018 GCMPC Housing Conditions Survey

Downtown Conditions Over the past two decades, establishing a healthy downtown has become a vital element for communities to prosper. This trend came about as people were looking for a traditional urban lifestyle where they can live, work, and play in close proximity. Even more so now, downtowns have become a distinct symbol for cities by serving a unique role in economic and social development. For many, a large deciding factor on where to live depends greatly on the condition of a downtown area. Are there things to do? How does the downtown area

The percent of positive amenities found in the Initial Impression Survey for Genesee County downtowns is 64 percent. This percentage is based on fifteen factors identified during the survey including if the downtown has mixed-use buildings, available housing, adequate parking, and entertainment. The more factors a downtown has, the better. Urban areas such as the City of Flint scored higher, while rural areas like Flushing Township scored lower. Walkable scores followed the same trend. However, Genesee County’s downtown areas are not walkable overall. Road and Façade conditions were irregular throughout the County, but in general, conditions were fair to good.

Speed limits varied widely. Although, it appeared that downtowns with lower speeds had a higher initial impression percentage.

Another part of the survey gives an inventory of downtown businesses.

Most were in the service industry, with food establishments and retail stores following. One important data point to mention is that 11

Results of the downtown survey in correlation with employment and population data show that people are typically drawn to a community that has an inviting downtown with a wide range of amenities including open space, businesses, walkability, and good road conditions.

However, for a community to truly have a thriving downtown, people need to live nearby to support these amenities. Thus, providing and expanding affordable housing options is an essential component in revitalizing and maintaining a downtown district.

Homelessness Due to the affordable living barriers that exist in Genesee County, some people find themselves in difficult situations where they are unable to find suitable housing. A homeless needs assessment included in the current Genesee County Consolidated Plan states that the County has a sizeable homeless population. GCMPC works with community agencies through the Continuum of Care (CoC) to help prevent homelessness and to rehouse already homeless individuals and families. The point in time data on the next page, which shows the number of homeless persons on a single night, is provided to HUD by the Flint/Genesee CoC. In total, there are approximately 420 people or 288 households that require housing services on any given night.

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Crime According to a HUD report on Neighborhoods and Violent Crime, people rate a safe neighborhood as their top priority when choosing housing. This means that safe areas are more desirable, and often will be more expensive. At the same time, safe communities may not be supportive of affordable housing development since it is associated with more crime and declining property values. Despite this thought, research shows that crime and property values are unaffected by the construction of subsidized housing. However, until more expensive areas with less crime decide to construct affordable housing, lowincome populations will not be able to afford to live there.

Race & Ethnicity Using Comprehensive Housing Affordability Strategy data, staff determined if a racial/ethnic group has a disproportionate housing cost burden. Most households are paying less than 30 percent of their income on housing, meaning that no group is disproportionately affected.

Percent of Households Cost Burdened by Race/Ethnicity 1% 4% 1%

To get an idea of crime in Genesee County, the crime rate for each jurisdiction has been determined by comparing total crime data from the Michigan State Police and population. Overall, many low-income areas throughout Genesee County, namely the City of Flint, have a higher crime rate than areas with higher median household incomes.

2% 5% 3% % Income

Crime Rate

<30%

30% - 50%

>50%

Not Reported

Staff also used this data to see if any group has a disproportionate need in terms of housing problems. According to HUD, housing problems are: lacks complete kitchen facilities: lacks complete plumbing facilities: more than one person per room; and cost burden over 30 percent. Severe housing problems are: lacks complete kitchen facilities; lacks complete plumbing facilities; more than 1.5 persons per room; and cost burden over 50 percent. This shows that black people may be disproportionately affected in terms of housing problems.

Percent of Households with Housing Problems by Race/Ethnicity

Housing Problems Source: Flint/Genesee Continuum of Care Point in Time Data

Source: Michigan State Police; 2017 Michigan Incident Crime Reporting

Severe Housing Problems

Source: Both charts use 2011-2015 Comprehensive Housing Affordability Strategy Data

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Primary Concerns of Affordable Living 1. Housing cost burden – 35.4 percent of home owners/renters in Genesee County spend over 30% of their salary on housing

Potential Solutions of Affordable Living 1. Housing cost burden •

Increase home ownership with down payment assistance, funding to produce new or rehabilitate existing housing for lowto moderate-income households

3. Higher concentrations of minority populations are often located in low- to moderate-income areas which have higher crime, unemployment, and poverty rates

•

Improve housing conditions through homeowner rehabilitation, continued and increased code enforcement, as well as demolition and clearance activities

4. Homelessness – There is a significant number of people who require shelter in Genesee County on any given night

•

Enhance public facilities and infrastructure in low- to moderateincome areas

5. Transportation costs – many residents in Genesee County are spending over 30 percent of their income on transportation

•

Develop public policies that support affordable housing through land use, zoning ordinances, and building codes

2. Cost of Living – 35 percent of households in Genesee County do not earn enough for necessities such as food and shelter

2. Cost of living •

•

•

Expand employment by increasing opportunities and assistance for small businesses, providing small business loans and funding job training Proactively seek out opportunities for economic development, with a focus on small businesses

4. Homelessness •

Support the Continuum of Care and its members

•

Provide funding for street outreach, emergency shelters, homeless prevention, rapid rehousing, and homeless management information systems

Promote access to public services and resources including senior and youth services, job training, safety resources, and crime awareness

5. Transportation costs 3. High concentration of minority populations in low- to moderateincome areas •

•

•

Encourage coordinated land use planning that improves access to active transportation modes to reduce combined housing and transportation costs

•

Prioritize projects that include multi-modal access to community resources

•

Incorporate complete street principles in transportation projects

Focus assistance on low- to moderate-income areas which have higher concentrations of minority populations Make sure minority populations are not disproportionately affected by transportation and community development projects.

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