McHenry County: A Place To Call Home - Affordable Housing Needs Assessment

MCHENRYCOUNTY:APLACETOCALLHOME
ACalltoAction
TheHeartlandAllianceMidAmerica InstituteonPoverty September2008
McHenryCounty:APlacetoCallHome
Acknowledgements
Funders
ThisstudywasgenerouslyfundedbytheMcHenryCountySeniorServicesGrantCommission, theMcHenryCountyMentalHealthBoard,andtheMcHenryCountyContinuumofCare.
Advisors
Studyoversightwasprovidedby: MaryLuSeidel,ExecutiveDirector,CorporationforAffordableHomesofMcHenryCounty JohnLabaj,DeputyCountyAdministrator,McHenryCountyGovernment SandyLewis,ExecutiveDirector,McHenryCountyMentalHealthBoard SallyFyfeStachniak,AssociateDirector,PlanningandChildrensServices,McHenryCounty MentalHealthBoard ThomasRiley,Coordinator,McHenryCountyContinuumofCare TheauthorswouldliketothankAmyRynellandDougSchenkelbergoftheHeartlandAlliance MidAmericaInstituteonPovertyandRichardMullerfortheirassistanceandcommentson previousdraftsofthisreport.
Authors
AmyTerpstraandAlyssaNogaskiTheHeartlandAllianceMidAmericaInstituteonPoverty
Theopinionsexpressedinthispublicationarethoseoftheauthorsanddonotnecessarilyrepresenttheviewsof theMcHenryCountySeniorServicesGrantCommission,theMcHenryCountyMentalHealthBoard,theCorporation forAffordableHomesof McHenryCounty,ortheMcHenryCountyContinuumofCare.
ResearchTeam
AmyTerpstra,AlyssaNogaski,HelenEdwards,andAmyRynellTheHeartlandAllianceMid AmericaInstituteonPoverty TheHeartlandAllianceMidAmericaInstituteonPovertyisadynamicresearchandanalysis resourcethatinvestigatestodaysmostpressingsocialissuesandsolutionstoinformandequip thoseworkingtowardajustglobalsociety.Formoreinformationcall773.336.6075,email maip@heartlandalliance.org,orvisitwww.heartlandalliance.org/maip/.
Thisreportaswellandappendicesareavailablefordownloadfromwww.cahmco.org, www.co.mchenry.il.us/,www.mc708.org/,andwww.heartlandalliance.org/maip/.
2008TheHeartlandAllianceMidAmericaInstituteonPoverty
TheHeartlandAllianceMidAmericaInstituteonPoverty
TableofContents
ExecutiveSummary Introduction Chapter1:McHenryCountyGrowthandChange PopulationTrends Poverty&IncomeTrends EconomicTrends RisingCosts Transportation Chapter2:LatestHousingMarketConditions PhysicalCharacteristics FinancialCharacteristics Chapter3:TheNeedforAffordableHousingandHousingSupportsin McHenryCounty LowWageWorkers PeoplewithMentalHealthandSubstanceUseIssues PeoplewithDisabilities Seniors PeopleExperiencingHomelessness Chapter4:AvailabilityofHousingforMeetingtheNeed IncomeGroups PrivateMarketAffordableHousing ResourcesSupportingAccesstoandDevelopmentofAffordableHousingand AffordableHousingwithHousingSupports Chapter5:ChallengesandStrategicOpportunitiestoMeetingHousing NeedsinMcHenryCounty IllinoisLawsImpactingPlanningforAffordableHousing ChallengestoAffordableHousing
3 14 16 16 18 22 29 30 32 32 35 42 42 45 47 50 52 55 55 56 59 72 72 73
OpportunitiestoProvidefortheHousingNeedsofMcHenryCountyResidents 77 Conclusion 85 Methodology 87 References 89 AppendicesAthroughH availableatwww.heartlandalliance.org/maip/
September2008
ExecutiveSummary
Havingstablehousingisoneofthemostbasic needspeoplehave.Initsabsenceitbecomes difficulttobeaproductivememberofsociety tofindandholdajob,toaccesseducation,orto takecareofhealthandfamilyneeds.Oneoutof fiveMcHenryCountyhouseholdsisverylow income,meaningtheirannualincomeisless than$35,000.Thesefamiliesarehardpressed tofindhousingtheycanaffordinMcHenryCounty.
WhatisAffordableHousing?
Thegenerallyaccepteddefinitionofaffordable housingisforahouseholdtopaynomore than30percentoftheirincometoward housingcosts.
Notbeingabletofindhousingthatisaffordableisagreathardshipforpeoplewithlowincomes andpeoplewithspecialneedsthatcanleadtoseriousandcostlyconsequencesnotonlyfor thoseindividualsandfamilies,butalsoforcommunities: Peoplewhoarenotadequatelyhousedexperienceinstabilityanduncertaintythatincreases absenteeism,affectsjobretentionandrecruitment,increasesunemploymentclaims,reduces productivityfortheemployer,andresultsinlosttaxrevenueforthecommunity. Childrenlivinginunstableenvironmentsorexperiencinghomelessnesshavegreater emotionalandlearningchallengesinschoolwhichcandivertschoolandpersonnelfinancial resourcestohelpthemcope. Whentheyarepayingtoomuchforhousing,lowincomefamiliesandseniorsmaymake tradeoffslikeskippingdosesofmedication,neglectingpreventivecare,foregoingneeded careforacuteconditions,orpurchasinglessnutritious,butcheaper,foodallofwhichhave seriouspersonalandpublichealthimplicationsandplaceadrainonhealthcareresources whenindividualsmustusecostlyemergencyroomservicesforhealthcare. Workerswhomustlivefarawayfromemploymentandservicecenterstobeabletoafford housingspendmoreoftheirtimecommutingandlesstimewiththeirfamilies.Livingfarther fromonesjobleadstomoremoneybeingspentongasandvehiclemaintenance,morelate arrivals,increasedlikelihoodofmissingdaysofworkduetofamilyobligations,andincreased roadcongestionandmaintenancealongwithpollution. Peoplewhocannotfindhousingtheycanaffordandthatmeetstheirneedsoftenrelyon otherfamilymembersorfriendsforsupport.Thiscanstraintheresourcesofthefriendsand familymembers,leadingtoevenmorepeoplestrugglingtogetby.Livingdoubledupwith familyandfriendscanleadtoovercrowding,andsafetyconcernsarisefrompossiblefire hazardsandotherpotentialdangers. Peoplewithspecialneedssuchasadisability,amentalillness,orasubstanceuseissuecan experienceanintensificationoftheirillnessoradeclineinfunctioningwhentheycannotfind housingthatmeetstheirneeds.Thisinturnfurthertaxesexistingsystemslikeemergency roomswhicharethenusedlikeprimarycarefacilitiesorcoldnightshelters.Itmayevenlead toinappropriateorprolongedinstitutionalization,whichiscostly. Precarioushousingsituationsmayleadtomoreinteractionswiththepoliceorcivilcourt actionsuchasevictionsorbankruptcies.Again,thisisanotherdrainonpublicservicesand increasestaxburden.
AgroupofMcHenryCountyleaderswhosawtheseissuesimpactingtheircommunitieswanteda fullassessmentoftheaffordablehousingneedsintheircounty.InOctober2007,theMcHenry CountyMentalHealthBoard,McHenryCountySeniorServicesCommission,andMcHenry CountysContinuumofCareCommittee,ledbytheCorporationforAffordableHomesofMcHenry County,hiredtheHeartlandAllianceMidAmericaInstituteonPoverty(MAIP)toinvestigate. MAIPassessedtheneedforandthesupplyofappropriate,affordablehousingforMcHenry Countyresidents.
September2008
Thisassessmentincludedananalysisofsecondarydatasourcessurveyinghomelessandmental healthserviceproviders,localbusinesses,municipalandtownshiprepresentatives,andhousing industryexpertsroundtablediscussionswithlowincomeMcHenryCountyresidents,municipal andtownshiprepresentatives,andhomelessandmentalhealthserviceprovidersandkey informantinterviewswithcountyofficials.Theassessmentspecificallyfocusedonthehousing needsoflowincomeandspecialneedspopulations,including: Lowwageworkers Peoplewithmentalillnessorsubstanceuseissues Peoplewithdisabilities Seniors Peopleexperiencinghomelessness
Thisreportcomesatatimewheneconomicforcesarecollidingtonegativelyimpactmoreand moreMcHenryCountyfamilies,leavingnotonlythemostvulnerablestrugglingbutalsofamilies withmoremoderateincomes.Perhapsneverbeforeinthecountyshistoryhasthecommunity neededthecarefulandintentionalplanningtoaddressthehousingneedsofallresidents. ThisassessmentrevealedthatinMcHenry Countythereisasignificantlackof affordablehousing.Intheprivatemarket, thereisaseriouslackofhousingaffordableto McHenryCountyfamilieswithincomesbelowthe medianincomeof$72,000.Thegapisparticularly severeforthemostvulnerablehouseholdswith incomesbelow$35,000.Onlywhenincomenears $75,000doesthesupplyofhousingbeginto matchthefinancialcapabilitiesofMcHenry Countyfamilies.The3,548subsidizedand specializedaffordablehousingoptionsthatexist inMcHenryCountyareinsufficienttomeetthe needsofthe22,331mosteconomicallyvulnerableMcHenryCountyhouseholds. Table1PercentofHouseholdsby AnnualIncome,2006 McHenryCounty HouseholdIncome Number Rate Totalhouseholds 106,751 100.0% Below$20,000 9,964 9.3% $20,000to$34,999 12,367 11.6% $35,000to$49,999 12,591 11.8% $50,000to$74,999 20,836 19.5% $75,000ormore 50,993 47.8% ThoughmoremiddleincomeMcHenryCountyfamiliesarebeginningtoexperiencehardship,the gapbetweenneedandsupplyisparticularlysalientforextremelylowincomepeople andadultswithdisabilitiesandseverementalillnessesandtheirneedsmustbe acknowledgedandprioritized.Oneofthemostimportantthingsthisresearchprocessrevealedis thatthevoicesofMcHenryCountyfamilieswithlowincomesandindividualswithspecialneeds areoftennotheardandthereforenotcarefullyconsideredinplanningprocesses.Asthese populationsgrowitisofcriticalimportancethattheirneedsareincorporatedintosuch discussions. Asoneofthefastestgrowingcountiesinthestate,planningmustaddressnotonlythe infrastructuregrowthbutawellthoughtoutstrategytoaddressthisaffordablehousingneed. LeadersfromacrossMcHenryCountyhaveanopportunitytocometogetherasa communitytocollaborateandbuildpublicsupport,increaseresidentscapacityto meettheirhousingneeds,andworkthroughavarietyofavenuestoexpand appropriateaffordablehousingoptionsforthepeopleofMcHenryCounty.
McHenryCountyGrowthandChange
DemographicandeconomicpatternsreflectthelargercontextinwhichMcHenryCounty residentsmustfunction.Inmanyrespects,suchpatterns,whichareoftenoutofthecontrol ofthosewhoexperiencethem,influencepeoplesjobopportunitiesandhousingchoicesin profoundways.
DemographicTrends
From1980to2007,thecountyspopulationmorethandoubled,rising113.6percent. By2030,thepopulationisprojectedtogrowby44.8percent141,651morepeople.. Latinosnowcomprise10percentofthepopulation,upfrom8percentin2000. The45to64yearagegrouphasgrownsignificantlysince1980,increasingby40 percent.Incomingyears,theseindividualswillbecomeseniorsby2030,the60+ agegroupisexpectedtomakeup23percentofMcHenryCountyspopulation.
Poverty&IncomeTrends
WhilethenumberofpeoplelivinginMcHenryCountyhasslightlymorethandoubled since1980,thenumberofpeopleinpovertyhasnearlytripled. 18,034peopleinthecounty1inevery17 arecurrentlylivinginpoverty. 23,363peopleinMcHenryCountyhaveincomesbetween100%and200%ofthe povertyline,indicatingtheyhavelowincomes. Since2000,medianearningsandhouseholdincomeinMcHenryCountyhavefallen $7,000and$4,600,respectively(afteradjustingforinflation). 34,922householdsinthecounty(onethirdofallhouseholds)haveanincomebelow $50,000,whichistheincomeneededtomakeendsmeetinMcHenryCounty.
Employment&IndustryTrends
Amongthenearly10,300individualsage20to64whoarepoor,64percentareinthe laborforce. ThevastmajorityoffamiliesinMcHenryCountyhaveoneormoreworkers.Lessthan 10percenthavenooneinthefamilyworking. Since2001,McHenryCountylost10.8percentofitsmanufacturingjobs,which historicallyhavebeengoodpaying,stablejobs.Incontrast,threeofthefivehighest growthsectorshaveaverageannualwagesunder$30,000andtwoofthemhave annualaveragewagesaround$13,000. Manufacturingemploymentisexpectedtocontinuetodeclinebyanadditional9.0 percentby2014.
September2008
McHenryCountyPrivateMarketHousing:Need&Supply
McHenryCountyexperiencedtremendoushousinggrowththroughoutthe1990sandtheearly 2000s.Thehousingboomresultedindramaticallyincreasinghomevaluesandrents,making housinglessaffordableforthoseatthelowerendoftheincomespectrum.Thelastfewyears haveseenaslowdowninthehousingmarketthathasnegativelyimpactedgrowth.Therecent marketslowdownhasnot,however,resolvedtheseriousaffordabilitychallengesthatlowand evenmoderateincomefamiliesfaceinMcHenryCounty,andsincethetrendisunlikelytobe longterm,itwillnotalleviatetheprobleminthefuture.
PhysicalCharacteristics HousinginMcHenryCountyiscomprisedprimarilyofsinglefamilyresidencesthereare relativelyfewrentalunitsandthereisadearthofrentalunitsoffamilyappropriatesize(larger unitswiththreeorfourbedrooms).Thereareatotalof106,751occupiedhousingunitsin McHenryCounty17,006(15.9percent)arerenteroccupied,and89,745(84.1percent)are 1* owneroccupied. ThevastmajorityofownerhousinginMcHenryCountyisoneunitdetached(singlefamilyhome) 2 oroneunitattached(suchasatownhome). Only2.4percentofownerhousinghastwoor moreunits(suchasaduplexorcondominiumbuilding)orisanothertypeofhousing,suchasa mobilehome.Housingwithtwoormoreunitsistypicallymoreaffordableduetolowertaxesand canalsoofferamoremaintenancefreelifestyleforcertainpopulationssuchasseniors. RentalhousinginMcHenryCountyismuchmorelikelytoconsistofmultipleunitstructures:62.2 percentofrentalhousingstructureshavetwoormoreunitsoraremobilehomes,comparedto 3 only2.4percentofownerhousing. ThemajorityoftherentalhousingunitsinMcHenryCounty(75.1percent)havetwobedroomsor 4 lessindicatingalackofrentalunitsforhousinglargerfamilies. Themajority(57.4percent)of renterhouseholdsinMcHenryCountyarefamilyhouseholds,and22.9percentofrentershave fourormorepeopleinthehousehold.
FinancialCharacteristics McHenryCountyhousingpricesareamongthe highestinthestate.36.5percentofownerhousing inthecountyisvaluedabove$300,000,andan additionalthird(35.5percent)isvaluedbetween 5 $200,000and$299,999(Table2). Just10.3 percentofallownerhousingunitsarevaluedat lessthan$150,000.Thismeansthatthereisfar lesshousingavailableatlowerpricepointsthat maybeaffordabletopeoplewithlowandmoderate incomes. Table2McHenryCountyHome ValuesofOwnerHousing,2006 Percentof HomeValue Homes Under$150,000 10.3% $150,000to$199,999 17.7% $200,000to$299,999 35.5% $300,000to$499,999 28.3% $500,000andabove 8.2%
From2000to2006themedianvalueofahomeinMcHenryCountyrosefrom$167,400to 67 $252,700anincreaseof$85,300or51.0percent. Ahouseholdwouldneedanannualincome of$66,483toaffordthemortgageforahomeatthecurrentmedianvalue.

*
Ahousingunitisowneroccupied(ownerhousing)iftheownerorcoownerlivesintheunit.Aunitisconsidered renteroccupied(rentalhousing)ifnoownerslivesthereandtheunitisrentedforcashrentoroccupiedwithout paymentofcashrent.
DeterminingAffordability
OwnerHousing Afamilytypicallycanaffordamortgagethat isapproximately2.9timestheirannual income. Assumesnationalaveragesforannual utilitycosts,taxes,insurance,and interest. Assumesthathousingcostsare affordabletoafamilyifthefamilypays nomorethan30percentoftheirincome towardhousingcosts,including mortgage,insurance,andutilities.
ThehighcostofhousinginMcHenryCounty placesaheavyburdenonmanyhomeowners. 36.4percentofallownersinthecountyare payingover30percentoftheirincometoward 8 theirhousingcosts. Theissueisparticularly salientamonglowerincomehomeownerswitha mortgage.Overthreequarters(77.3percent)of ownerswithannualincomesunder$35,000and 58.9percentofownersinthe$35,000to$49,999 incomerangearecostburdened. McHenryCountyforeclosuresin2007wereup40 9 percentfrom2006and138percentfrom2005. In2007,therewere2,750foreclosuresinthe county.Thismeansthatattheendof2007,1in every40McHenryCountyhouseholdswerein somestateofforeclosure. Thedamageoftheforeclosurecrisishas implicationsfortherentalmarket.With affordabilityandrentalavailabilityalreadya probleminMcHenryCounty,thehousingcrisis pushesmoreandmorefamilieslookingforrental housingintoanalreadytightrentalmarket.
RentalHousing Themaximummonthlyrentafamilycan affordisequaltotheirannualincome, multipliedby30percent,dividedby12. Assumesarentalunitisaffordableifa familypaysnomorethan30percentof theirincometowardtheirhousingcosts (rentplusutilities).
Table3McHenryCountyMonthlyRent, Muchoftherentalhousingispricedoutofreach 2006 RentalPrice Number Rate forlowincomeMcHenryCountyfamilies. Estimatessuggestthattheaveragehourlywage Under$500 1,792 10.8% 10 ofarenterinMcHenryCountyis$10.80. $500to$749 2,245 13.6% Workingfulltimeallyearatthiswage,the $750to$999 5,803 35.1% maximumrentthishouseholdcouldafford, $1,000to$1,499 5,437 32.8% withoutspendingover30percentoftheir $1,500to$1,999 1,071 6.5% incomeonhousingcosts,wouldbe$562a $2,000andover 208 1.3% month.Only10.8percentofunitsarepriced 11 below$500. 40.6percentofallrentalunitshavemonthlyrentsover$1,000(Table3).To affordatwobedroomapartmentattheFairMarketRent of$944inMcHenryCountywithout overextendingfamilyresources,aworkerwouldneedtomake$18.15anhour. Aswithownerhousing,thehighcostofrentalhousinginMcHenryCountyhasplacedaheavy financialburdenonrenterhouseholds.54.3percentofallMcHenryCountyrenterhouseholdsare payingover30percentoftheirincometowardtheirrent.Costburdenhasincreaseddramatically 12 from37.2percentin2000. Therateofrenterhouseholdspayinghalftheirincometowardrent 13 hasalsoincreasedsignificantlyfrom14.3percentin2000to25.7percentin2006. ItisevidentthatinMcHenryCounty,housingneedscannotbemetwithaffordabilityalone 14 locationiskey.Thereare4,063householdsinMcHenryCountythatdonothaveavehicle. Thesehouseholds,andpresumablyindividualsinotherhouseholdslackingenoughvehiclesora workingvehicleorseniorswhoareuncomfortabledriving,mustrelyonthepublictransitsystem inthecounty.Transportationisvitaltolinkingindividualswithemploymentandcommunity amenitiessuchasshopping,dining,recreation,andpublicservices.Thepublictransitsystemin McHenryCountyisinmanywaysinadequatetomeetthevariedneedsofthepopulation,and
TheU.S.DepartmentofHousingandUrbanDevelopments(HUD)estimateoftheactualmarketrentforanon luxuryapartmentintheconventionalmarketplace.Everyyear,HUDdevelopsandpublishesFairMarketRentsfor everymetropolitanarea.
September2008
manyMcHenryCountycommunitiesaresimplynotserved.Publictransportationthatallows accesstojobsandservicesisessentialforhousingthatisnotnearthesethings.
ExistingOwnerandRentalPrivateMarketAffordableHousing
IntheprivatemarketthereisaseriouslackofhousingaffordabletoMcHenryCountyfamilies withincomesbelowthemedianof$72,000.Thegapisparticularlysevereforextremelyandvery lowincomefamilies. ExtremelyLowIncomebelow$20,000:Thereare1,985ownerandrentalunitsaffordableto the9,964householdsinthisgroupashortageof7,979. VeryLowIncomebetween$20,000and$35,000:Thereare7,802ownerandrentalunits affordabletothe12,367householdsinthisgroupashortageof4,565units. LowIncomebetween$35,000and$50,000:Thereare12,182ownerandrentalunits affordabletothe12,591householdsinthisgroupashortageof409units. MedianIncomebetween$50,000and$75,000:Therearebetween19,533and38,558rental andownerunitsaffordabletothe20,836householdsinthisgroup. Itisimportanttonotethatunitsaffordabletopeoplewithextremelylowincomesdonotalways getrentedorpurchasedbypeoplewithextremelylowincomesmanymayberentedbypeople withhigherincomes,sincetherearefew,ifany,mechanismsinplacetoensuresuchunitsgoto lowerincomegroups.
AffordableandSpecializedHousinginMcHenryCounty:Need&Supply
Asthecountyspopulationgrows,sotoowillthegapbetweentheneedforandthesupplyof affordablehousing.Theprivatemarketisnotsufficientlyequippedtomeettheneedsofthemost economicallyvulnerablepopulationsandthosethathaveaddedhousingneedsontopof affordabilityconcerns.Thesearepeoplewhomayneedadaptableoraccessibleunits(e.g., stairlessaccess,widedoorways,visualsmokealarms)tobeabletoliveandfunction independently.Othersmayneedspecialservices/supports,suchascasemanagementorhelp withmedicationandactivitiesofdailyliving,alongwithaffordablehousinginordertomaintain independence. Manyoftheeconomicallyvulnerablepopulationsdiscussedhereworkinjobsthatarevitaltothe community.Theseindividualsmaybechildcareworkers,homehealthaides,foodservers,lawn workers,orhomecleanerspeopleeveryoneelseinthecommunityreliesontoperform importantandnecessarytasks. Amongthemosteconomicallyvulnerableandthosewithspecialhousingsupportneedsarelow wageworkers,peoplewithmentalillness/substanceuseissues,peoplewithdisabilities,seniors, andpeopleexperiencinghomelessness.Whilethereissomeoverlapamongthesegroups,both thescopeofneedandtheinadequacyofthecurrentsupplyofaffordableandspecializedhousing arestarklyapparent,especiallyconsideringthattheestimateoftheneedforaffordable, specializedhousinginMcHenryCountyisveryconservative.Indefiningtheneed,wechoseto includeonlythemostvulnerablepeopleandhouseholds.Therearecertainlythousandsof additionalMcHenryCountyresidentswithaffordablehousingandserviceneeds.
Therangeofavailableunitsforthisincomegroupislargeduetothelackofprecisehousingpriceinformation.
LowWageWorkers ThelowwagessomejobspayleavemanyMcHenryCountyfamilieseitherofficiallypoororwith 15 verylowincomes. 22,331householdsinMcHenryCountyhaveverylowannualincomes,below$35,000. 16,500workingageadultshaveincomesabovetheofficialpovertylinebutbelowtwice thepovertyline. Nearly7,180peoplewhoworkarestillpoor. 7outofevery10poorMcHenryCountyfamilieshaveatleast1workerinthefamilyand 15percentofpoorfamilieshave2ormoreworkers.
Familieswithincomeslimitedbylowwageworkhavediversehousingneeds,including: Rentalapartments,ranginginsize Affordablehomeownership Homebuyerassistance(suchasdownpaymentandclosingcostassistance) Homebuyercounselingaswellasongoingcreditandbudgetcounseling Housingneartransportation,jobs,andschools Employerassistedhousing(whenanemployercommitstohelpingtheiremployeesbuy homesclosetoworkortoprovidingrentalassistance) Publichousingandhousingvouchers
PeoplewithMentalIllnessandSubstanceUseIssues Anestimated5,742McHenryCountyadultsage20andoverhaveasevereandpersistentmental 16 illness,andanestimated1,104ofthemarealsoverylowincome. Peoplewithmentalhealthand/orsubstanceuseissuesneedacontinuumofhousingoptionsand housingsupportstomaintainstablelives,including: Emergencyhomelessshelters Transitionalhousing Toleranthousingprograms(flexiblesobrietyrulessopeoplecanworkthroughstagesof recovery) Permanentsupportivehousing(affordablehousingwithsupportiveservices) Housingprogramsthatlinkpeoplewithotherpeoplewhohavebeeninrecoveryor treatmentforlongperiodsoftime,asamechanismforpeersupport Inpatientmedicaltreatment/detoxificationcenter(s)withcontinualcare Continuityofservicesandhousing
PeoplewithDisabilities 17 2,837McHenryCountyresidentswithadisabilityarepoor. Over1,100individualsinMcHenry CountyreceiveSupplementalSecurityIncome,themaingovernmentprogramforpeoplewith disabilitieswhohavelittleornootherincometomeettheirbasicneeds,915ofwhomare 18 adults. Awiderangeofhousingandservicesareneededtohelppeoplewithdisabilitiesremainhoused, including: ADAadaptedhousing Housingthatcanaccommodateacaretaker Sharedapartments Grouphomes Efficiencyapartments(asmallapartmentwithabathroomandkitchenette) Housingcoupledwithservices(supportivehousing)
September2008
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Respitecare(shorttermcarethathelpsafamilytakeabreakfromthedailyroutineand stress,whichcanbeprovidedintheclient'shomeorinavarietyofoutofhomesettings)
Seniors 19 28,608peopleinMcHenryCounty(9.2percent)areovertheageof65. By2030,peopleage 20 60andoverareprojectedtocompriseover23percentoftheMcHenryCountypopulation. Seniors,manyofwhomliveonfixedincomes,areparticularlysusceptibletohavinglowincomes. 21 1,185McHenryCountyseniorshaveincomesbelowtheofficialpovertyline. 48.6percentofall McHenryCountyseniorhouseholds(8,384)haveannualincomesbelow$35,000,andovera thirdhaveannualincomesbelow$25,000. Thetypesofhousingandservicesneededforseniorsinclude: Affordableindependentlivinghousing Affordableassistedliving Affordableapartments Nursinghomes Supportiveservicestohelpseniorsstayintheirownhomeslonger Caponrealestatetaxesandabatementsforseniorstohelpreducehousingcosts
PeopleExperiencingHomelessness The2008PointInTimeHomelessCountinMcHenryCountyidentified221individualsas homelessononenight.TheNationalAlliancetoEndHomelessnessestimatesthatifthoseliving withrelatives,friends,orothersbecauseofeconomicreasonsareaddedtothedefinitionof homeless,anadditional126,900peopleintheChicagometropolitanregionwouldbeincludedin 22 theestimateofthenumberofpeoplethatarehomelessonagivennight. Basedonthis estimateandMcHenryCountysproportionoftheregionspopulation,anestimated4,695 additionalpeopleinMcHenryCountyareunstablyhousedonanygivennight. Thereareanumberofhousingandservicesthatmustbepresentforpeopleexperiencing homelessnesstoattainhousingstability,including: Safe,securesheltersforindividuals,families,andyouththatareavailableyearround Transitionalhousingwithsupportiveservices Permanent,supportivehousing Affordableapartments Housingvouchers/rentalassistance
SubsidizedandSpecializedHousing
Awiderangeofspecializedaffordablehousing optionsareessentialforthesediversegroups. Thereareatotalof3,548affordableand/or specializedhousingoptions(totalsubsidized, permanentsupportivehousing,andMedicaid andMedicaid/Medicareinstitutionalcarebeds) availabletothemosteconomicallyvulnerable McHenryCountyresidentswhomayalsohave morespecializedneeds.Thisincludes: 2,740subsidizedunitsinMcHenry County,ofwhichonly419are accessibleoradaptable.Thesubsidized unitsinclude:
Whataresubsidizedhousingand specializedhousing?
Subsidizedhousingreferstoanygovernment supportedaccommodationforpeoplewithlow tomoderateincomes.Subsidiesmaysupport theconstructionofaffordablehousingortake theformofrentsupplementsorpublichousing. Specializedhousingmayalsobesubsidized housing,butisdistinguishedbyitsinclusionof featurestosupportpopulationswithspecial needs.Specializedhousingrangesfrom permanentsupportivehousing(whichisa modelthatattachescasemanagementand othersupportiveservicestoaffordable housing)toinstitutionalcaresuchasanursing home,tohousingthatisaccessibletopeople withdisabilities.
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947Section8housingchoicevouchers 23publichousingunits 596projectbasedSection8units 1,174othersubsidizedunits 92permanentsupportivebedsinMcHenryCounty,whicharetypicallyfilledtocapacity. 716institutionalcarebedsavailableforMedicaidrecipientsorlowincomeseniorswith bothMedicaidandMedicare,outofthe1,186institutionalcarebedsinMcHenryCounty.
These3,548specializedaffordablehousingoptionsareinsufficienttomeettheneeds ofthe22,331verylowincomeMcHenryCountyhouseholds,including: 1,104economicallyvulnerableadultswithaseverementalillness 915economicallyvulnerableadultswithaseriousdisability 1,185poorseniors 221peoplewhoarehomeless
Thegapbetweenneedandsupplyisparticularlysalientforextremelylowincomepeopleand adultswithdisabilitiesandseverementalillnesses.Therearesimplynotenoughsubsidized, accessible/adaptableunits,permanentsupportivehousing,andaffordableinstitutionalcarebeds tomeettheneedsofthesepopulations.Additionally,subsidizedhousingoptionsspecifically targetedatextremelylowincomeindividualsandhouseholdsarelimited.
StrategicOpportunitiestoMeetingHousingNeedsinMcHenryCounty
Itisabundantlyclearthateffortsare neededinMcHenryCountytopreservethe WhatDoesAffordableHousingLookLike? existingstockandbuildmoreaffordable housing.Thereareanumberof Affordablehousingencompassesmuchmorethan opportunitiesforleadersinthecountyto whathasbeentraditionallylabeledlowincome acknowledgethegrowingneedandto housing. makeMcHenryCountyastronger,more prosperouscountybyintentionally Affordablehousingcanbeclusteredinone incorporatingconsiderationsabout geographiclocationorscatteredthroughoutmany vulnerablepopulationsintodevelopment communities.Itcanbesinglefamilyhomes, townhouses,apartmentbuildings,orsingleunits andplanning.Theopportunitiesdiscussed withinmarketratebuildings.Itcanbepubliclyor belowarelessaboutspecifictasksand privatelyownedand/orfunded.Thereisnosingle moreaboutbroadstrategiesfordoingso. waytoprovideaffordablehousing.Infact,itismost Assuch,McHenryCountyleaderscan effectivetofollowathoughtfulapproachto considerpreservationofaffordablehousing affordablehousingthatmatchesthetypeofhousing stock,developmentofadditionalaffordable totheneedsofthepopulationandthatblendsthe housing,maintenance/enhancementof housingseamlesslyintothecommunity. currenthousingassistance,andotherways tostrengthenhousingopportunitiesforthe peopleofMcHenryCounty(e.g.,creditcounseling,homebuyerassistanceprograms,homeowner education,lowcostlending)withinthecontextofeachbroadstrategy.
Opportunity:ImplementaHousingTaskForceorHousingCommission
Someofthecommunitiesthathavehadthemostsuccessatcomprehensivelyaddressing residentshousingneedsarethosethathaveorganizedagroupsolelydedicatedtoaffordable housingissues.Withadefinedpurposeandaclearvision,suchataskforceorahousing
September2008
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commissioncanensurethataffordablehousingisattheforefrontofmunicipal,township,county, andstateplanningdiscussionsandefforts.
Opportunity:BuildCommunitySupport
Itisimperativethatcommunityconcernsandmythsbeaddressedandpublicsupportfor affordablehousingeffortsbefostered.Possiblestrategiesmayincludeabroadpubliceducation campaign,communitymeetings,educationalevents,toursofaffordablehousingdevelopments, andbuildingrelationshipswithunlikelychampions.
Opportunity:DevelopaHousingTrustFundandExploreOtherFinancing Mechanisms
Affordablehousingisabasiccommunityneedthatshouldnotbedependentonhighlypoliticized budgetprocesses.Housingtrustfundshelpensurethatthereisalwaysadependablelocal revenuesourcetosupportprojects.Housingtrustfundsarededicatedsourcesofrevenuethat areabletoprovidefinancialassistancetolocalaffordablehousingdevelopmentsorprojects. Thesefundsaregenerallycreatedbyordinanceorlawandcanbefundedthroughrealestate taxesorfees,developerfees,othertaxesandfees,andinterestfromgovernmentheldand 23 marketbasedaccounts,amongothersources.
Opportunity:ReviewZoningCodesandImplementComprehensive Planning
Planningandzoninglawsarethemostcriticalcomponenttofosteringthetypesofdevelopments allowedinacommunity.Zoninglawsthatpromotesprawlandbarevenslightlymoredense buildingcaneffectivelyprohibitaffordablehousingdevelopmentbecauseofthehighercosts associatedwithlessdensebuilding(mainlylandcosts).Foraffordablehousingdevelopmentto trulymeettheneedsofthosewhoneedandwishtoliveinMcHenryCounty,municipalities, townships,andthecountymustcollaborateandinvesttimeandresourcesinsmartcountywide planningandcoordinationaroundaffordablehousing.
Opportunity:AdvocateforMeaningfulPolicyChange
Communitiesseekingtodevelopandmaintainaffordablehousingmustoperatewithinthe contextofstateandfederallawandresources.Therefore,itiscriticaltoidentifysystemic barriersandadvocateformeaningfulpolicychange.Manyoftheaffordablehousingchallenges includingallocationofstateresourcesandfederalfundingformulascanonlybeaddressedby systemschange.Itisimportantthatthereisaconcertedefforttoputforthacommonagenda thatworkstoensurethathigherleveldecisionshavepositiveimplicationsforallresidents.
Opportunity:ExpandConsumerPurchasingPower
Havinghousingthatisaffordabletopeopledependsnotonlyontheavailablestockofhousing, butalsoonpeoplesabilitytopay.Bymakingeffortstoattractandretaingood,qualityjobsin McHenryCountyandbyensuringthatthereareadequatesupportsinplace(andthatthose supportsareeasilyaccessible)forthosewhocannotworkorcannotworkfulltime,residentswill bebetterabletoaffordhousingthatmeetstheirneeds.
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Introduction
McHenryCounty,Illinois,islocatedapproximately50 milesnorthwestofthecityofChicagoandispartof thesixcountyChicagoregionthatalsoincludesCook, DuPage,Kane,Lake,andWillCounties.Thecountyis borderedtothenorthbyWisconsin,tothewestby BooneCounty,tothesouthbyDeKalbandKane Counties,andtotheeastbyLakeCounty.McHenry Countyisabedroomcommunitywithamenitiesthat makeitaplacepeoplewanttolive.Thecountyis abundantinrecreationalareasandopenspaces, boastswellrunschools,andpridesitselfonitsfriendly atmosphere.Historicallyacenterforagriculturaland leisure,thecountyhasundergonechangesinthelast fewdecadesincludingincreasedsuburbanizationand urbanizationthathaveinmanyrespectschangedthe physical,demographic,andeconomiclandscape.Along withthesechangeshavecomechallenges,including concernsaroundhowtoensureanappropriatehousing stockforthepeoplewhoneedandwishtolivethere. Havingstablehousingisoneofthemostbasicneedspeoplehave.Withoutit,itbecomesdifficult tobeaproductivememberofsocietytofindandholddownajob,toaccessaneducation,or totakecareofhealthandfamilyneeds.Nothavingaffordablehousingisagreathardshipfor peoplewithlowincomesandcanleadtoincreasedsusceptibilitytohomelessness,economic tradeoffsthatcompromisefamilyhealthandstability,theerosionofwealth,andotherserious consequences.Theseeffectsstemwellbeyondindividualsandfamiliesandimpactthestability andviabilityofentirecommunities. Thegenerallyaccepteddefinitionofaffordablehousingisforahouseholdtopaynomorethan30 percentoftheirincometowardhousingcosts.Thisbroaddefinitionallowsanexaminationofhow wellexistinghousingcoincideswiththefinancialresourcesofpeoplewhoneedandwishtolive inagivengeography.Affordablehousingencompassesmuchmorethanwhathasbeen traditionallylabeledlowincomehousing.Affordablehousingcanbethoughtofasawholeset ofhousingoptionsvaryingindesign,type,financialbacking,geographiclocation,andservices.It canrangefromprivatemarket,publiclysubsidizedapartmentstopublichousingtorent subsidizedapartmentstopermanentsupportivehousing,andsoon.Affordablehousingcanbe clusteredinonegeographiclocationorscatteredthroughoutmanycommunities.Itcanberow houses,largerapartmentbuildings,orsingleunitswithinmarketratebuildings.Thereisno singlewaytoprovideaffordablehousing.Infact,athoughtfulapproachtoaffordablehousing thatmakesstrategiceffortstomatchthetypeofhousingtotheneedsofthepopulationandthat integratesthehousingseamlesslyintothecommunityismosteffective. InOctober2007,theMcHenryCountyMentalHealthBoard,McHenryCountySeniorServices Commission,andMcHenryCountysContinuumofCareCommittee,ledbytheCorporationfor AffordableHomesofMcHenryCounty,hiredtheHeartlandAllianceMidAmericaInstituteon Povertytoassesstheneedforandthesupplyofappropriate,affordablehousingforMcHenry Countyresidents.Theassessmentspecificallyfocusedthehousingneedsoflowincomeand specialneedspopulations,includinglowwageworkers,peoplewithmentalillnessorsubstance useissues,peoplewithdisabilities,seniors,andpeopleexperiencinghomelessness. Thisassessmentwasbasedonaconvergentanalysisofsurveydata,roundtables,keyinformant interviews,andexistingdatasourcessuchastheCensusBureau:
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Demandandsupplydatawerecompiledusingoriginaldatacollectedforthisprojectas wellasexistingdata.Censusdata,homelesscounts,publichousingdata,housingwaiting lists,housingcostsaswellasvariousotherpoverty,economic,andhousingdatasources wereused. Confidentialsurveysweredistributedtoabroadbaseofstakeholdersinthecounty:the McHenryCountyContinuumofCaremembers,theMcHenryCountyMentalHealthBoard members,localbusinessleaders,municipalandtownshiprepresentatives,andhousing industryexperts.Thesurveysweretailoredtoeachgroupsexpertiseandweredesigned togatherinformationrelatedtoeconomicandhousingtrends,theneedforaffordable housing,andperceptionsofcurrentsupply. RoundtablediscussionswereconductedwiththeMcHenryCountyContinuumofCare,the McHenryCountyMentalHealthBoard,municipalandtownshiprepresentatives,and McHenryCountyresidents.Discussionsforeachgroupweretailoredtothegroups particularexpertiseorareaofinterest.Thelocalresidentsthatattendedtheroundtables wereprimarilylowincomeandthereforearenotrepresentativeofthegeneralMcHenry Countypopulation. Keyinformantinterviewswereconductedwitheightcountyofficialsfunctioninginvarious capacities.Keyinformantswereprobedforperceptionsonhousingtrends,insightson barriers/challengestoaffordablehousingdevelopment,andcountyprioritiesandplans.
Formoreonthemethodsusedtoconductthisstudy,seepage87. ThisassessmentrevealsthatinMcHenryCountythereisasignificantlackofaffordable housing,duetothefollowingfactors: RecenteconomictrendshavedestabilizedthejobmarketinMcHenryCounty,leadingto fewerjobsinthetraditionallystablemanufacturingsectorandmorejobsinthelower paying,lessstableservicesector.Incomesandearningshavedeclinedasaresult. Thereisagrowingpoorandlowincomepopulation. Highhomepricesremainoutofreachformanylowandmoderateincomeresidents. Therentalmarketisminimalandlackslargerunits. Thereisalackofaffordable,accessible,andsupportivehousingforpopulationswith specialneeds.
Thehallmarkofasuccessful GeographicComparisonNote communityisitsabilitytosupport andprovidefortheneedsofitsmost ThisreportcomparessomeMcHenryCountytrends vulnerableresidents.Withthehigh andindicatorstoothergeographiesforcontext.Some costofhousinginthecountyanda comparisonsusethegreaterChicagoregion,while smallrentalmarket,thisreport otherslookmorecloselyatthenearbycountiesof showshowMcHenryCountymaybe DeKalb,DuPage,andKane. failingnotonlyitsmostvulnerable residents,butalsothosewhohave historicallybeenconsideredmiddleclassastheystruggletofindhousingtheycanafford. TherearecurrentlyeffortsunderwayinMcHenryCountyandtheregiontofocusonquality growthasitpertainstotransportation,landuse,housing,andenvironmentalissues.Thisreport bringsintofocushowvitalitistobeintentionalabouthousingpolicyandhowtheneedsofthe mosteconomicallyvulnerableMcHenryCountyresidentsmustbeadvocatedforandconsidered ineveryplanningdiscussion.
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Chapter1:
McHenryCountyGrowthandChange
DemographicandeconomicpatternsreflectthelargercontextinwhichMcHenryCounty residentsmustfunction.Inmanyrespects,suchpatterns,whichareoftenoutofthecontrolof thosewhoexperiencethem,influencepeoplesjobopportunitiesandhousingchoicesinprofound ways.Thischapteroutlinespopulation,poverty,employment,andwagetrendstoprovidea contextforthehousingchallengesandopportunitiesaddressedinthelaterchaptersofthis report.
PopulationTrends
PeopleliveinMcHenryCountyforavarietyofreasons.Manyresidentsengagedinthisstudy indicatedthattheylivedinMcHenryCountybecauseofstrongfamilyrootsinthecounty,some datingbackgenerations.Otherscitedqualityschools,newerhousingstock,andlowcrimerates. Figure1McHenryCountyPopulationGrowth,19802007,2030Projected
500,000 450,000 400,000 350,000 300,000 250,000 200,000 150,000 100,000 50,000 0 Year 1980 Year 1985 Year 1990 Year 1995 Year 2000 Year 2005 Year 2007 Year 2030 157,672 183,241 147,897 260,077 224,318 304,701 315,943 457,594
Thisfavorablereputationisreflectedthroughthetremendouspopulationgrowthinthepastfew decades(Figure1).From1980to2007,thecountyspopulationmorethandoubled,rising113.6 24 percent.ThepopulationinthecountyasofJuly1,2007,was315,943people. Population projectionsindicatethatMcHenryCountycouldcontinuetoexperiencesignificantgrowthinthe next15to20years.By2030,thepopulationisprojectedtogrowby44.8percent,anadditional 25 141,651people. Suchasignificantprojectedpopulationgrowthwarrantsspecialattention relatedtohowtomeetthehousingdemandthismaybring. TheracialandethniccompositionoftheMcHenryCountypopulationremainslargelywhite,but hasbecomeincreasinglymorediverse(Figure2).In1980,99percentofthepopulationwas whitecomparedto86percentin2006.Latinosnowcomprise10percentofthepopulation,up 26 from8percentin2000. Thetrendtowardamoremulticulturalpopulationmustbeconsidered asthehousingneedsofvariousMcHenryCountyresidentsareweighed.
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Figure2McHenryCountyPopulationbyRace/EthnicityasofJuly1,2006
Black 1.1%
Asian 2.9%
White 85.2%
Other 0.4%
Latino 10.4%
Theagedistributionof Table4McHenryCountyPopulationbyAgeasPercent McHenryCountyspopulation ofTotalPopulation,1980to2006 hasshiftedinthelastfew Percent 27 decades(Table4). People AgeGroup 1980 2006 Change undertheageof20now 0to19 34.8% 29.4% 15.5% makeupalowerpercentage 20to64 56.1% 61.5% 9.6% ofthepopulationthanin 65andover 9.1% 9.2% 1.1% 1980,andthepopulation groupages20to64now comprisesalargershare.Therateofseniorsintheoverallpopulationhasnotchanged significantlyinthistimeperiod. Ofparticular Table5McHenryCountyPopulationWorkingAgeAdultsas interestisthe PercentofTotalPopulation,1980to2006 populationfalling intheagerangeof AgeGroup 1980 2006 PercentChange 45to64.Thisage 20to44 38.6% 37.0% 4.1% groupasa proportionofthe 45to64 17.5% 24.5% 40.0% totalpopulation 28 hasswelledsince1980,increasingby40percent(Table5). Inthecomingyears,these individualswillbecomeseniorsandassuchtherateofseniorsintheMcHenryCountypopulation maygrowsignificantly.By2030,thepopulationovertheageof60isexpectedtocomprise23 29 percentoftheMcHenryCountypopulation. Aspeopleage,theirhousingneeds,bothinterms ofwhattheycanaffordandwhatservicestheyneed,oftenshift.Theimpendinggrowthof seniors,manyofwhommaybeonfixedincomes,mustbeamajorconsiderationinaffordable housingdiscussions.
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Table6McHenryCountyHouseholdSize,1990to2006 1990 2006 Households Number Percent Number Percent Totalhouseholds 63,047 100.0% 106,751 100.0% 1personhousehold 10,594 16.8% 21,490 20.1% 2personhousehold 19,364 30.7% 32,515 30.5% 3personhousehold 11,754 18.6% 18,829 17.6% 4personhousehold 12,654 20.1% 20,587 19.3% 5personhousehold 6,006 9.5% 9,025 8.5% 6personhousehold 2,001 3.2% 2,826 2.6% 7ormoreperson household 674 1.1% 1,479 1.4% McHenryCountyisverymuchafamilycommunity.52,746householdsinMcHenryCountyare 30 madeupofthreeormoreindividuals(Table6). Since1990,therehasbeenanincreaseinthe rateofsinglepersonhouseholds(16.8percentversus20.1percent)andintherateof householdswithfiveormorepeople(12.5percentversus13.8percent).Currently,overhalfof allfamilies(43,298)inMcHenryCountyhavechildrenundertheageof18and23.5percentof allfamilies(18,711)havechildrenundertheageof6.
Poverty&IncomeTrends Poverty&LowIncome
Peoplewhoarepooroftenhavedifficultymeetingtheirbasicneeds.Therisingcostsofgoods andservicesmakesitincreasinglychallengingforpeoplewhoarepoortopayforhighhousing costs,aswellashealthcare,food,clothing,transportation,andotherthingsthatarenecessary foradecent,modeststandardofliving. Table7FederalPovertyGuidelines,100%FPL Sizeoffamily 2008Poverty 2007Poverty unit Guidelines Guidelines 1 $10,400 $10,210 2 14,000 13,690 3 17,600 17,170 4 21,200 20,650 5 24,800 24,130 6 28,400 27,610 7 3,200 31,090 8 35,600 34,570
2006Poverty Guidelines $9,800 13,200 16,600 20,000 23,400 26,800 30,200 33,600
Thefederalgovernmentdefinespoverty.Eachyear,amonetarythresholdcommonlycalledthe federalpovertyline(FPL)isset,andfamilies,aswellastheindividualswhocomprisethose families,areconsideredpooriftheirfamilyincomefallsbelowthethresholdfortheirfamilysize. In2008,afamilyofthreewasconsideredpooriftheirgrossannualincomefellbelow$17,600 31 (Table7).
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Justover18,000individualsin Table8McHenryCountyPoverty,2006 McHenryCountyhaveincomes Numberin belowtheofficialpovertyline AgeGroup Poverty PovertyRate 32 (Table8). Thismeansthat Children(0to17) 5,970 7.2% 5.8percentor1inevery17 Adults(18to64) 10,879 5.5% peopleinthecountyislivingin Seniors(65+) 1,185 4.2% poverty.Nearly6,000ofthese TOTAL 18,034 5.8% arechildren.7.2percentor1 ofevery14childreninthecountyispoor.Childrenhavethehighestrateofpovertyofanyage group. PovertygrowthinMcHenry Table9McHenryCountyPovertyandPercentChange, Countyhasoutpaced 1980to2006 33 populationgrowth. Whilethe Numberin numberofpeoplelivinginthe Year Poverty PovertyRate countyhasslightlymorethan 1980 6,224 4.2% doubledsince1980,the 2006 18,034 5.8% numberofpeoplelivingin PercentChange povertyinMcHenryCountyhas 19802006 189.7% 38.1% nearlytripled(Table9).Thus, therateofpeoplewhoarepoorhasalsogrownfrom4.2percentin1980to5.8percentin2006 34 a38.1percentincrease. OfthesixcountiesintheChicagoregion(whichincludesCook, DuPage,Kane,Lake,McHenry,andWillCounties),onlyDuPageCountyhashadalargerincrease intherateofpeoplewhoarepooroverthistimeperiod. Thecurrentpoverty Table10FederalPovertyLineandSelfSufficiencyStandard linefailstogivean forFamilyofThree accuratepictureof BetweenPovertyLine AnnualIncome whatfamiliesneedto FederalPoverty andTwicethePoverty NeededtoBe achieveadecent, Line(100%FPL), Line(100%FPL SelfSufficient, thoughmodest, 2008 200%FPL,2008 2006 standardofliving $17,600 $17,600$35,200 $51,245 (Table10).Itdoes notaccountforvariancesinthecostoflivingindifferentgeographies,anditisnotanchoredto therealcostsfamiliesface.Estimatesthattakeintoaccountlocalcostsrevealthatittakesover 35 $50,000inMcHenryCountyforafamilyofthreetomakeendsmeetandbeselfsufficient, meaningtheydonothavetorelyongovernmentincomesupportstohelppayfortheirbasic needs.34,922householdsinthecounty(onethirdofallhouseholds)haveanannualincome 36 below$50,000. Thediscrepancybetweenthepovertylineandselfsufficiencyreinforcesthefactthatpeoplewho fallbelowthepovertylineareindeedsomeofthemostvulnerableinMcHenryCounty.Thereisa largegapbetweentheofficialpovertylineandbeingeconomicallystableandsecureandmany McHenryCountyindividualsandfamiliesfallwithinit.Therefore,amorecomprehensiveviewof economicinsecurityiswarrantedbyanalyzingtheworkingpoororlowincomepopulationto trulyunderstandthescopeofhardship. Thetermsworkingpoorandlowincomeareoftenusedinterchangeablytodescribepeoplewho arenotnecessarilyofficiallypoorbythefederalgovernmentsdefinition,butwhoseincomesfall farshortofwhatittakestogetby.Peoplewhohaveincomesabovethepovertylinebutunder twicethepovertyline(alsocalledbetween100%and200%FPL),makeupaportionofthe workingpoor(Table10).Theotherportionoftheworkingpoorismadeupofworkingpeople withincomesbelowtheofficialpovertyline.Peoplewithlowincomesareoftenseniors,people withdisabilities,orfamiliesthathavememberswhoareworking,buttheirlowwages,unstable workenvironments,and/orlackofbenefitsleavetheirfamilyincomestoolowtobetrulystable. The200%FPLthresholdiscommonlyusedasabenchmarkforeconomicsecurityhowever,itis
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importanttonotethatinMcHenryCountyevenpeoplemakingincomesthataretwicethe amountofthepovertylinearestillstrugglingtomeetthecostoflivinginthecounty. 23,363peopleor7.5percentofthepopulationinMcHenryCountyhaveincomesbetween100% 37 and200%ofthepovertyline: 16,535McHenryCountyadultsages18to64(8.3percent)fallwithinthiscategory. 4,847McHenryCountyseniors(17.2percent)haveincomesinthisrange.
Thereare79,765families(ahouseholderplusatleastoneotherindividual)inMcHenryCounty. 8,157or10.2percentfallbelow185%ofthefederalpovertyline,meaningtheyarepoorornear poor.
Income
McHenryCountyhastraditionallyboastedoneofthehighestmedianhouseholdincomesinthe stateandthenation.ThemedianhouseholdincomeinMcHenryCountyis$71,945,meaninghalf ofallhouseholdsinthecountyhavetotalannualincomesabove$71,945andhalfhavetotal annualincomesthatfallbelow.Since2000,however,medianhouseholdincomeinMcHenry Countyhasfallennearly$7,000afteradjustingforinflation.Medianearningshavetakena similardip,fallingover$4,600.Withthecostofbasicgoodsandservicesrising,wagesand incomeforsomehouseholdsarenotkeepingpace. TheaffluenceinMcHenryCountymasks verylowincomesforaconsiderablepart ofthepopulation.WhenMcHenryCounty householdsarebrokenintoequalfifths basedontheirannualincome,stark incomeinequalityisrevealed(Table 38 11). Householdsinthehighestfifthof incomerangeshaveaverageannual incomesthatare$160,778morethan theaverageincomeofthelowestfifthof households. Table11McHenryCountyAverageAnnual HouseholdIncomebyQuintile,2006 Quintile Lowestquintile Secondquintile Thirdquintile Fourthquintile Highestquintile Top5percent AverageAnnualIncome $19,586 $46,640 $71,813 $101,180 $180,364 $276,245
Table12PercentofHouseholdsbyAnnualIncome,2006 DeKalb McHenryCounty County HouseholdIncome Number Rate Rate Totalhouseholds 106,751 100.0% 100.0% Lessthan$10,000 3,357 3.1% 6.0% $10,000to$14,999 3,972 3.7% 5.8% $15,000to$24,999 6,716 6.3% 10.0% $25,000to$34,999 8,286 7.8% 11.1% $35,000to$49,999 12,591 11.8% 15.7% $50,000to$74,999 20,836 19.5% 20.9% $75,000to$99,999 18,359 17.2% 15.9% $100,000to$149,999 20,866 19.5% 11.3% $150,000to$199,999 6,679 6.3% 2.2% $200,000ormore 5,089 4.8% 1.1%
DuPage County Rate 100.0% 3.3% 2.4% 6.3% 6.4% 11.6% 20.7% 16.2% 18.2% 7.3% 7.5%
Kane County Rate 100.0% 3.6% 3.4% 6.9% 9.3% 14.5% 20.2% 14.3% 16.5% 6.4% 5.0%
Dataarenotavailableforfamiliesbelow200%FPL.
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Acloserlookatincomerevealsthat22,331McHenryCountyhouseholdshaveannualincomes below$35,000andanadditional12,591householdshaveincomesbetween$35,000and 39 $50,000(Table12). Whiletheseproportionsareslightlylowerthansomeneighboringcounties, therearestill1outofevery5householdswithincomesbelow$35,000andover1inevery10 withincomesinthe$35,000to$50,000range.$35,000isroughly50percentofthecountys medianincomeand$50,000isroughly80percent.Thesehouseholdsfallwithinthelowand verylowincomerange,accordingtotheU.S.DepartmentofHousingandUrbanDevelopments definition.Aswillbediscussedinsubsequentchapters,householdsattheseincomelevelshave considerabledifficultyfindinghousingtheycanafford. Economicstabilityvaries Table13McHenryCountyMedianAnnualHousehold acrossagegroupsin IncomebyAgeofHouseholder,2006 McHenryCounty(Table MedianHousehold 40 13). Householdsheaded AgeofHouseholder Income bysomeoneundertheage Allhouseholds $71,945 of25andhouseholds Householderunder25years $34,099 headedbysomeoneover Householder25to44years $77,462 theageof65have $82,555 considerablylowerincomes Householder45to64years thanhouseholdsheadedby Householder65yearsandover $36,181 peopleinthemiddleage ranges.Thesehouseholdsarelikelytohavetroublemeetinghighhousingcosts.
IncomeSupports
Thereareanumberofpublicbenefitsorincomesupportsavailabletofamilieswhomeetcertain eligibilitycriteria,includingincomethresholdsandassetlimits.Theseincomesupportsprovidea vitallifelineforthousandsoffamiliesinMcHenryCountywhowouldotherwisehaveevenmore difficultymeetingtheirbasicneeds,includinghousing,thoughtheamountofaidfallsfarshortof meetingtheiractualneeds. Table14McHenryCountyIncomeSupportReceipt,September2007 Temporary Family Supplemental Assistanceto Health Security FoodStamps NeedyFamilies Plans Income (households) (persons) (persons) (households) 2000Number receiving 984 111 4,409 1,319 2007Number 3,065 177 16,465 1,125 receiving From2000to2007,thenumberofpeoplereceivingcertainpublicbenefitsinMcHenryCounty hasskyrocketedandfaroutpacedpopulationgrowth(Table14).Thenumberofhouseholds receivingfoodstampsinMcHenryCountyhasmorethantripled,increasingby211.5percent, andthenumberofpeopleenrolledinpublichealthinsurance(AllKids,FamilyCare,and 41 Medicaid),hasincreasedevenmoreby272.8percent. Thesenumbersreflectincreasedneed, increasedutilizationduetoheightenedoutreachefforts,andinthecaseofpublichealth insurance,programexpansions.
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Despitepopular Table15PercentofIllinoisHouseholdsEligibleforIncome perceptiontothe SupportbutnotReceivingit contrary,theaverage PercentEligiblebutNot benefitamountsfrom IncomeSupport Receiving theseincomesupport Foodstamps 25.5% programsarequitelow. Welfarecashgrants(TANF) 78.6% Theaverageannual benefitlevelfor Publichealthinsurance 28.2% SupplementalSecurity Housingassistance 79.7% Income(SSI),themain EarnedIncomeTaxCredit 17.4% governmentassistance Childcareassistance 84.1% programforpeoplewith disabilitieswithlittleornoincometomeetbasicneeds,is$9,223inMcHenryCounty,lessthan 42 thepovertylineforoneperson. Over1,100householdsinMcHenryCountyreceiveSSI.The averageannualwelfarecashgrant,TemporaryAssistancetoNeedyFamilies(TANF),inIllinoisis evenlessatonly$2,856farlowerthanthepovertylineforanysizefamily.In2007,the 43 averagehouseholdfoodstampbenefitinIllinoiswas$233amonth. Thelimitedamountof theseincomesupportsonlypartiallyalleviatestheeconomicdistressofstrugglingMcHenry Countyfamilies.Inadditiontolowbenefitlevels,thereareaccessandcapacityissues(suchas longwaitsatoffices,cumbersomepaperwork,lackofknowledgeabouttheprograms)that 44 preventsomeeligiblefamiliesfromreceivingbenefits(Table15). InIllinois,overthreequarters ofpeopleeligibleforwelfarecashgrants(TANF)andhousingassistancedonotreceivethe benefit.
EconomicTrends
Forpeoplewhoareabletowork,accesstoquality,stableemploymentisthekeytoearningan incomesufficienttoprovideafamilywithadecentstandardoflivingandisonecomponentof findingandattaininghousing.ThoughMcHenryCountyhastraditionallyhadasolid manufacturingbase,thejoblandscapeinthecountyischanging.
LaborForceParticipationandCharacteristicsofWorkers
Employmentvariesby demographic,andageis ** important. Peopleinthe youngerandolderage rangeshavelower employmentratesthan thoseinthemiddle 45 (Table16). 16to24 yearoldsandpeople55 yearsanduphavemuch higherunemployment ratesthanthoseof middleage. Table16McHenryCountyLaborForceParticipationbyAge, 2006 Age Totalpopulation16 yearsandover 16to19years 20to24years 25to44years 45to54years 55to64years 65to74years 75yearsandover Total 238,331 19,163 19,806 95,142 46,509 29,007 15,394 13,310 Employed Unemployed 68.9% 47.0% 72.3% 81.6% 84.3% 64.4% 28.3% 6.7% 6.1% 20.4% 14.9% 3.9% 3.5% 5.0% 5.0% 15.7%
**
Employmentratesarecalculatedbytakingthenumberofpeoplewhoareemployeddividedbythetotalnumber ofpeople.Unemploymentratesarecalculatedbytakingthenumberofpeoplelookingforworkdividedbythe numberofpeopleinthecivilianlaborforce.Beingunemployedisdefinedasdesiringandactivelyseekingwork.
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Table17McHenryCountyLaborForceParticipationbyAge,1990to2006 1990 2006 Employed Unemployed Employed Unemployed Total Rate Rate Total Rate Rate 16to64 117,096 79.4% 3.4% 209,627 75.8% 6.1% 65and over 16,465 16.7% 5.1% 28,704 18.3% 7.0% Since1990,unemploymentrateshaverisenforboththe16to64agegroupandtheseniorage 46 group(Table17). Theemploymentratehasfallenslightlyforthe16to64agegroup,buthas risenforseniors,indicatingagreatershareofseniorsworkingintotheirretirementyears.
47 EmploymentinMcHenryCountyvariesgreatlybyotherdemographiccharacteristics:
Amongtheworkingagepopulationages20to64,90.7percentofthemenand75.1 percentofthewomenareemployed. Amongwomenwhohaveachildundertheageof6athome,61.2percentareemployed. Employmentratesarelowestforworkingageadultswithadisability.Ofthe13,944 McHenryCountyindividualswithadisability,only52.2percentareworkingandthe unemploymentrateis14.2percent.
Amongthenearly10,300individualsage20to64whoarepoor,64percentareinthelabor 48 force,and21.2percentareunemployed,activelyseekingwork. Povertyratesvary considerablybylaborforceparticipation.Thepovertyrateis3.4percentforemployedindividuals inMcHenryCounty.8.3percentofindividualswhoarenotinthelaborforcefallbelowthe povertyline.Thosewhoareunemployed(activelylookingforwork)havethehighestpoverty rateat18.5percent.

49 ThevastmajorityoffamiliesinMcHenryCountyhaveoneormoreworkers. Lessthan10 percenthavenooneinthefamilyworking.Despitemaximumworkefforts,10,977fulltime, yearroundworkershaveannualearningsbelow$20,000(10.4percentofallfulltime,year roundworkers).Anadditional22,212fulltime,yearroundMcHenryCountyworkershave earningsfallingbetween$20,000and$35,000(21.1percentoffulltime,yearroundworkers).
Figure3EducationalAttainmentof25to64YearOldsbyCounty,2006
50.0% 45.0% 40.0% 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% Lessthan highschool graduate Highschool Somecollege graduate orassociate's (includes degree equivalency) Bachelor's degreeor higher McHenryCounty DeKalbCounty DuPageCounty KaneCounty
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50 Thereare170,658adultsage25to64inMcHenryCounty. AmongthisgroupofMcHenry Countyadults,6.8percentdonothaveahighschooldiploma,lowerthanKaneandDeKalb Counties,buthigherthanDuPageCounty.32.6percenthaveabachelorsdegreeorhigher,a ratethatishigherthanKaneandDeKalb,butlowerthanDuPage(Figure3).
Table18McHenryCountyLaborForceCharacteristicsbyEducationalAttainment, 2006 McHenry County Population 170,658 11,678 48,396 54,880 55,704 Percentof Population 100.0% 6.8% 28.4% 32.2% 32.6% Employment Rate 79.4% 73.4% 75.7% 78.5% 84.9% Unemployment Rate 3.9% 5.2% 3.9% 5.9% 1.8%
EducationalAttainment Population25to64years Lessthanhighschool graduate Highschoolgraduate (includesequivalency) Somecollegeorassociate's degree Bachelor'sdegreeorhigher
McHenryCountyresidentswithabachelorsdegreeorhigherarethemostlikelytobeemployed ofanyeducationgroupandalsohavethelowestunemploymentrates(Table18).Peoplewithout highschooldiplomasaretheleastlikelytobeemployed.Interestingly,peoplewithsomecollege oranassociatesdegreehavethehighestemploymentrateandthehighestunemploymentrate. Earningpotentialriseswitheducationalattainment.InMcHenryCounty,peoplewithahigh schooldiplomahavemedianannualearningsof$29,877comparedto$52,585forpeoplewitha bachelorsdegree.
EmploymentandIndustry
ArobustemploymentandjobmarketiscriticalforMcHenryCountyresidentsastheystriveto earnalivingthatcansupporttheirfamilies.McHenryCountyhasexperiencedsignificantjob growthsince2001.From2001to2007,totalprivatesectoremploymentroseby14.7percent. ThiswassecondonlytoWillCounty,withanincreaseof30.9percent,inthesixcountyChicago 26 region. Thereare85,523privatesectorjobsinMcHenryCounty,ofwhich25.6percentareinCrystal 27 Lake,18.8percentareinthecityofMcHenry,and13.9percentinWoodstock 58.3percentof thecountystotaljobsarelocatedwithinthesethreemunicipalities. Figure4UnemploymentRates,1980to2008 UnemploymentratesinMcHenry Countywerelowerin2007than in1980(Figure4).The unemploymentrateinthecounty was4.3percentin2007or 7,638unemployedpeople 28 downfrom7.6percentin1980. Theunemploymentratewas lowestin2000at3.6percent. Themostrecentdataavailable forthefirstfewmonthsof2008 indicatehigherunemployment
8.0% 7.0% 6.0% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% 1980 1990 2000 2007 Apr08 7.6% 5.3% 5.4% 4.3%
3.6%
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rates,witha5.3percentrateinApril2008nearthecountys1990unemploymentrate. Whilelowerunemploymentratesindicatefewerjobseekersoutofwork,itdoesnotinclude peoplewhoareconsidereddisenfranchisednordoesitcapturejobquality.Nationally,6.5 percentofpeoplewhoarenotintheworkforcepeoplenotcapturedintheunemploymentrate actuallydesireajob,buthavebecomediscouragedandhavestoppedlookingfor 51 employment. Additionally,11.9percentoftheparttimeemployedpopulationisworkingpart timeduetolackoffulltimejobavailabilityoradversebusinessconditionsindicatingtheyare 52 underemployed. Itisalsoimportanttonotethataportionofthepopulationisnotexpectedto workbecausetheyareoverage65,haveaworklimitingdisability,havefulltimeresponsibilities inthehome,orareafulltimestudent. TherearetwowaystolookatindustryinMcHenryCountyfirstweexaminejobsavailablein thecountyandthenwelookatthejobsheldbyMcHenryCountyresidents. Figure5WhereMcHenryCountyWorkersLive,2004
PeoplewhoworkinMcHenryCountycomefromallovertheChicagoregionandsomecomefrom 53 evenfurtheraway(Figure5). Eachdotintheabovemaprepresentsapersonwhoworksin McHenryCounty.Only56.6percentofpeoplewhoworkinMcHenryCountyalsoliveinthe county,while9.1percentcomefromCookCounty,6.3fromKane,6.1percentfromLake,4.1 percentfromtwonearbyWisconsincountiesKenoshaandWalworth,2.7percentfromBoone, 54 2.4percentfromDuPage,2.2percentfromWinnebago,andtheremainderfromothercounties. Residentswhoparticipatedintheroundtablediscussionsforthisstudysuggestedthatpeopledo notmovetothecountyforgreatjobopportunities,buttrytomakeopportunitiesorseekthem outoncetheymovetothecountyforotherreasons. Table19PercentChangeinEmploymentfrom2001to2007and 2007AverageAnnualWage,byIndustry Percent Changein Employment 10.8% 10.0% 3.5% 1.7% 1.8% 3.4% 16.1% 17.3% Average Annual Wage $45,228 n/a $40,364 $24,163 $25,861 $52,429 $22,589 $23,071
Industry
MANUFACTURING TRANSPORTATION&WAREHOUSING INFORMATION AGRICULTURE,FORESTRY,FISHING,&HUNTING REALESTATE&RENTAL&LEASING CONSTRUCTION EDUCATIONALSERVICES RETAILTRADE
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OTHERSERVICES(exceptPUBLICADMIN.) FINANCE&INSURANCE WHOLESALETRADE ARTS,ENTERTAINMENT&RECREATION ACCOMMODATIONS&FOODSERVICES PROFESSIONAL,SCIENTIFIC&TECH.SVCS. HEALTHCARE&SOCIALASSISTANCE ADMIN.&SUP.&WASTEMGMT.&REMED.SVCS. MNGMT.OFCOMPANIES&ENTERPRISES
17.6% 19.9% 21.2% 22.8% 23.4% 26.0% 42.1% 95.4% 566.3%
$24,052 $48,497 $51,865 $12,764 $13,009 $43,094 $38,943 $29,577 $73,661
ThejoblandscapeinMcHenryCountyinmanyrespectsmirrorsstateandnationaleconomic trends.Theeconomyhasshiftedawayfromrelianceonhighpayingmanufacturingjobs,which historicallyhaveprovidedqualitybenefitsandlongtermjobsecurity,andtowardthelower paying,lessstableservicesector.AsthemapsdisplayingthedispersionofMcHenryCounty workersandresidentsindicate,McHenryCountyisinmanyrespectslinkedeconomicallywiththe surroundingcounties.McHenryCountysitsintheNortheasternEconomicDevelopmentregion alongwithCook,Lake,DuPage,DeKalb,Grundy,Kane,Kendall,Will,andKankakeeCounties. OnethirdofalljobsintheNortheasternRegionarelowerwageservicejobswithaverage 55 earningsin2005of$31,453. Since2001,McHenryCountyhaslost10.8percentofits 56 57 manufacturingjobs(Table19). Incontrast,theleadinggrowthsectorsinclude: managementofcompaniesandenterprises,withhighaverageannualwagesat$73,661 administrativeandsupportive,andwastemanagement,andremediationservices,with averageannualwagesof$29,577 healthcareandsocialassistance,withaverageannualwagesof$38,493 professional,scientific,andtechnicalserviceswithaverageannualwagesof$43,094 accomodationsandfoodservices,withaverageannualwagesof$13,009and arts,entertainment,andrecreation,withaverageannualwagesof$12,764.
Despitethehigherwagesinsomeofthesehighgrowthsectors,itisimportanttonotethatonly 0.7percentofalljobsavailableinMcHenryCountyareinthemanagementofcompaniesand enterprisessector(Table20).Amuchhighernumberofjobsareavailableinsomeofthelower 44 payingindustriessuchasretailtradeandaccommodationsandfoodservices. Table20EmploymentinMcHenryCountyandAverageAnnualWage,2007 Numberof Employees 73 446 409 613 834 997 1,189 1,307 1,697 2,399 3,293 3,743 5,047 Percentof Total Employment 0.1% 0.5% 0.5% 0.7% 1.0% 1.2% 1.4% 1.5% 2.0% 2.8% 3.9% 4.4% 5.9% Average Annual Wage $79,772 n/a $24,163 $73,661 $25,861 $22,589 $12,764 $40,364 n/a $48,497 $24,052 $43,094 $51,865
Industry
MINING UTILITIES AGRICULTURE,FORESTRY,FISHING,& HUNTING MNGMT.OFCOMPANIES&ENTERPRISES REALESTATE&RENTAL&LEASING EDUCATIONALSERVICES ARTS,ENTERTAINMENT&RECREATION INFORMATION TRANSPORTATION&WAREHOUSING FINANCE&INSURANCE OTHERSERVICES(exceptPUBLICADMIN.) PROFESSIONAL,SCIENTIFIC&TECH.SVCS. WHOLESALETRADE
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ADMIN.&SUP.&WASTEMGMT.&REMED. SVCS. ACCOMMODATIONS&FOODSERVICES CONSTRUCTION HEALTHCARE&SOCIALASSISTANCE RETAILTRADE MANUFACTURING
5,996 7,179 8,178 9,499 13,128 19,415
7.0% 8.4% 9.6% 11.1% 15.4% 22.7%
$29,577 $13,009 $52,429 $38,943 $23,071 $45,228
Despitetheshiftingjobmarket,McHenryCountycontinuestobecharacterizedbyaheavy manufacturingpresence(Table20).Themanufacturingsectoristhelargestinthecounty, accountingfor22.7percentofallemploymenttherein2007.Thenexttwolargestsectorsare retailtradeandhealthcareandsocialassistance,with15.4percentand11.1percentofthe 41 jobs,respectively. Figure6WhereMcHenryCountyResidentsWork,2004
EmploymentpatternsofMcHenryCountyresidentslookslightlydifferentthantheemployment patternsofthosewhoworkinMcHenryCounty.Figure6abovedisplayswherecountyresidents 31 work.

58 Only37.0percentoftheworkingpopulationresidinginthecountyalsoworksthere. 31.6percentofpeoplelivinginMcHenryCountycommutetoCookCountyforworkand 59 12.1percentcommutetoLakeCounty. Anadditional7.0percentcommutetoKaneCounty,6.7percenttoDuPageCounty,and 1.1percenttoWinnebagoCounty. McHenryCountyresidentshaveanaveragecommutingtimeof32.5minutesand17.8 60 percentofthemtravelover60minutestoreachtheirplaceofemployment.
OvertwothirdsofMcHenryCountybusinessesparticipatinginthisstudyindicatethatthey believeitisimportanttohaveemployeeslivingclosetotheirjobs,yetover30percentreport thattheirworkershavetroublefindinghousingtheycanaffordneartheirjob.30percentof McHenryCountybusinessrespondentsreportthattheiremployeestransportationproblems affecttheircompanyadversely. Suchextensivecommutingpatternscontributegreatlytoroadcongestionandpollutioninthe 61 county.Thevastmajorityofcountyresidentsdrivetoworkbythemselves(86percent). Another7percenttakeMetratrainsand3percentcarpool.Asgaspricescontinuetorise exponentially,aheavyrelianceonautomobileswillalsohaveeconomicimplicationsforresidents. AnumberofcountyofficialsindicatethattheworkforceinMcHenryCountymaynotbe sufficientlyskilledforthejobsinlarge,majorbusinesseslocatedthere.Businessesarehiring
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outsideofthecounty.Weareworkingtobuildaskilledworkforceinmanufacturingandhealth care.Theremaybejobsforhighschoolgraduateshere,buttheyneedadditionalskillsaswell, saidonecountyofficial. Thisperceptionandtheneed Table21BusinessSurveyRespondentsEstimatesof foramoreskilledworkforceto EmploymentNeedsintheNext5Years meetlargeemployerneedsare Type Workers %HSDiploma %Low balancedbytheworkforce Needed orLess Skilled needsofsmallMcHenryCounty Fulltime 335 65.0% 36.4% businesses.Asampleofmostly Parttime 204 72.1% 40.2% smallMcHenryCounty Seasonal 175 92.0% 78.3% businessesrevealthatofthe Total 714 75.0% 48.0% employeesbusinessowners anticipatedhiringinthenext5years,75percentwillneedonlyahighschooldiplomaorless. Fortyeightpercentoftheseemployeeswillfilllowskilledjobs(Table21).Sincemanyofthe jobsthatwillbeavailableinthesesmallbusinesseswillrequirealoweducationlevelandskillset itcanbeassumedthatmostwillpayalowwagethatmakesaffordingthecostlyMcHenryCounty housingdifficult. Table22McHenryCountyCivilianEmployedPopulationbyIndustry,2006 Percentof McHenry TotalMcHenry County CountyCivilian Median Residents Employed Annual Employed Earnings Industry Population 228 0.1% $100,000+ MNGMT.OFCOMPANIES&ENTERPRISES 3,320 2.0% $9,209 ARTS,ENTERTAINMENT&RECREATION 8,866 5.4% $11,901 ACCOMMODATIONS&FOODSERVICES
AGRICULTURE,FORESTRY,FISHING,& HUNTING RETAILTRADE OTHERSERVICES(exceptPUBLICADMIN.) HEALTHCARE&SOCIALASSISTANCE ADMIN.&SUP.&WASTEMGMT.&REMED. SVCS. EDUCATIONALSERVICES REALESTATE&RENTAL&LEASING MANUFACTURING WHOLESALETRADE PROFESSIONAL,SCIENTIFIC&TECH.SVCS. CONSTRUCTION INFORMATION FINANCE&INSURANCE TRANSPORTATION&WAREHOUSING
721 21,683 6,543 14,898 5,119 12,406 2,645 29,096 8,304 11,102 13,151 4,205 11,160 5,788 208
0.4% 13.2% 4.0% 9.1% 3.1% 7.6% 1.6% 17.7% 5.1% 6.8% 8.0% 2.6% 6.8% 3.5% 0.1%
$19,662 $24,269 $26,508 $27,934 $29,612 $35,710 $40,246 $42,911 $46,670 $47,305 $50,069 $50,300 $51,759 $54,718 $80,463
MINING Note:Duetodatasourcelimitations,Tables18,19,and21reportannualearningsdifferently.Tables18and19 presentaverageannualearningswhileTable21presentsmedianannualearnings.Whilebotharemeasuresof centraltendency,themedianislesssusceptibletooutliers.
ThedistributionofMcHenryCountyresidentsbyindustrylooksslightlydifferentthanthe distributionofjobsinthecounty.Asnoted,only56.6percentofpeoplewhoworkinthecounty alsolivethere.While22.2percentofjobsinMcHenryCountyareinthemanufacturingindustry, 62 only17.7percentofpeoplewholiveinMcHenryCountyworkinmanufacturing(Table22). HigherpercentagesofMcHenryCountyresidentsareemployedinthefinanceandinsurance
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sector,theprofessional,scientific,andtechnicalservicessector,andtheeducationalservices sectorthantheproportionofjobsexistinginthecounty. Table23ProjectedPercentChangeinIndustryEmploymentby2014 ProjectedPercentChange Industry inEmploymentby2014 UTILITIES n/a MINING 31.9% AGRICULTURE,FORESTRY,FISHING,&HUNTING 12.6% MANUFACTURING 9.0% INFORMATION 1.5% REALESTATE&RENTAL&LEASING 4.1% OTHERSERVICES(exceptPUBLICADMIN.) 4.2% FINANCE&INSURANCE 4.6% WHOLESALETRADE 4.7% RETAILTRADE 5.4% TRANSPORTATION&WAREHOUSING 6.0% MNGMT.OFCOMPANIES&ENTERPRISES 6.1% ARTS,ENTERTAINMENT&RECREATION 8.3% ACCOMMODATIONS&FOODSERVICES 9.9% EDUCATIONALSERVICES 10.7% HEALTHCARE&SOCIALASSISTANCE 13.1% ADMIN.&SUP.&WASTEMGMT.&REMED.SVCS. 14.9% PROFESSIONAL,SCIENTIFIC&TECH.SVCS. 15.6% CONSTRUCTION 17.0%
63 Projectionsindicatesizableshiftsincountyemploymentinthecomingyears(Table23). Manufacturing,currentlythelargestindustryinthecounty,isexpectedtocontinuedeclining. Amongthesectorswiththelargestprojectedincreasesareconstruction,whichhashighannual averageearnings,butmaybesufferingmorethananticipatedduetothecurrenthousingmarket conditionsprofessional,scientific,andtechnicalservicesadministrativeandsupportive services,wastemanagement,andremediationservicesandhealthcareandsocialassistance.
Servicejobsareessentialforthecountyseconomy,butthecostoflivinginMcHenryCounty maybetoohighforpeopleemployedinthegrowinglowpayingservicesectors.Asonecounty levelofficialstated,Themanufacturingbasehasleft,leavinglessskilledjobswithlowerpay. Thismeans[people]areforcedtoleaveMcHenryCountytolive.
RisingCosts
Achangingeconomythatreliesmoreandmoreonlowerpaying,lessstableservicejobsleaves manyfamilieswithlessmoneyorlesssteadyincometopayforhousing,transportation,medical care,food,andotherbasicnecessities.Thisreality,combinedwiththerisingcostsofbasicgoods andservicesisputtingpressureonMcHenryCountyfamiliesastheytrytomakeendsmeet.The costofbasicgoodsandserviceshasrisensubstantiallyfrom2000to2007acrosstheChicago 64 region(Figure7). Foodpriceshaverisenby16.8percent,medicalcareby34.2percent,and gasolinepriceshavenearlydoubled.Asgasandfoodpricescontinuetoclimb,thepressureon McHenryCountyfamilieswillverylikelyintensify.
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Figure7PercentChangeinCostofSelectedGoods&Services inChicagoRegion,2000to2007
100.0% 93.1%
80.0%
60.0%
40.0% 23.0% 20.0% 15.4% 16.8%
34.2% 32.9%
0.0% Edu& Food&Beverge Communication Shelter Fuels&Utilities MedicalCare Gasoline
Transportation
Transportationisvitaltolinkingindividualswithemploymentandcommunityamenitiessuchas shopping,dining,recreation,andpublicservices.Thereare4,063householdsinMcHenryCounty 65 thatdonothaveavehicle. Thesehouseholds,andpresumablyindividualsinotherhouseholds lackingenoughvehiclesoraworkingvehicleorseniorswhoareuncomfortabledriving,mustrely onthepublictransitsysteminthecounty.ThepublictransitsysteminMcHenryCountyisin manywaysinadequatetomeetthevariedneedsofthepopulation,andmanyMcHenryCounty communitiesaresimplynotserved.Theimplicationsofthisasitrelatestohousingand residentsabilitiestoaccessjobsandservicesarediscussedfurtherinChapter5. PublictransportationinMcHenryCountyconsistsofPacefixedbusroutes,PaceADAParatransit forpeoplewithdisabilities,PaceDialARide,andMetrasUnionPacificDistrictNorthwestLine. ThreePacefixedbusroutesoperateinMcHenryCounty.Allthreeoperateonlyduringrushhour, makingonly2or3runsinthemorningandeveningrush,anddonotprovideweekendor 66 holidayservices(Table24). ArideonaPacebuscosts$1.50andtransfersare$0.50. Table24PaceBusRoutesinMcHenryCounty RouteNumber Route ServiceProvidedTo 806 CrystalLaketoFox CrystalLakeAmbutal,PioneerCenter,Centegra Lakeviacityof MedicalCenter,LakelandPlaza,andMetraStationsin McHenry CrystalLake,McHenry,andFoxLake 807 Woodstocktothe McHenryCountyCourthouse,McHenryCityHall, cityofMcHenryvia McHenryCommons,McHenryMarketPlace,Marion WonderLake CentralHighSchool,andMetraStationsinWoodstock andMcHenry 808 CrystalLaketo HarvardCommunityHospital,MemorialHospital Harvardvia (Woodstock),McHenryCountySeniorCitizensCouncil, Woodstock McHenryCountyCollege,andMetraStationsin Harvard,Woodstock,andCrystalLake
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PacesADAParatransitprogramoffersprearrangedcurbtocurbserviceforpeoplewith 67 disabilitieswhoseeligibilityhasbeendeterminedbyaregionalcertificationprocess. Pace'sADA ParatransitserviceswillpickuppeoplewholivewithinthreequartersofamileofPace'sregular fixedroutesandduringthesamedaysandhoursastheregularfixedrouteservice.Ridersmust makereservationsforthisservicewiththelocaloperator,andridescost$2.50.Thisserviceonly operatesonweekdays. PacesDialARideprogramisanonfixedrouteserviceutilizingvansandsmallbusestoprovide 68 prearrangedtripstoandfromspecificlocationswithintheDialARideservicearea. Crystal Lake,thecityofMcHenry,Harvard,Marengo,Cary,FoxRiverGrove,IslandLake,and 69 WoodstockaretheonlyMcHenryCountycommunitiesservedbyPacesDialARideprogram. AswiththeADAParatransitprograms,ridersmustmakereservationswithlocaloperatorswho settheirownfares. TheMetracommutertrainhasstationsinHarvard,Woodstock,thecityofMcHenry,CrystalLake, 70 Cary,andFoxRiverGrove. ThemajorityoftrainrunsendinCrystalLake,andonlyabouta thirdoftrainscontinueontoHarvard.TrainsruntothecityofMcHenryonlyduringweekday rushperiods.Metrafaresvarybasedondistancetraveled,butaonewayticketfromCrystal LaketodowntownChicagocosts$6.10,andaonewayticketfromHarvardtoFoxRiverGroveis $4.75. Therearealsoanumberofseniortransportationservicesavailablethroughindividual municipalitiesornonprofitorganizations.Faresvary,asdoeligibilityandserviceareas(somewill onlyprovidetransportationtodoctorsappointments,somerequireaweeksadvance reservation,andmanywillnotcrossmunicipallines). TheCountyofMcHenryhasrecognizedthatthecurrenttransportationsystemisnotmeetingthe needsofresidentsandhasspecificallylookedatbarriersintheParatransitandDialARide programs,includingcumbersomeprocesses,multipleoperators,andvaryingfares.Beginningin thefourthquarterof2008,thecounty,togetherwithPace,willbeginapilottransportation projectthatseekstoprovideincreasedmobilityforseniors,peoplewithdisabilities,and individualswithlowincomesthroughacentralizeddispatchsystem.Thiscoordinateddemand responsesystemalsoaimstodevelopadatabasetoguidedecisions,andrefine,improve,and possiblyexpandparatransitservicesinMcHenryCountyasdeemedmostappropriatetomeet residentsneeds.
Conclusion
McHenryCountyhasexperiencedtremendouspopulationgrowthinthepastfewdecadesandis projectedtocontinuegrowingsignificantly.Certaindemographictrendsincludingdiversification, growthintheseniorpopulation,andagrowthinthenumberofpeoplewhoarepoorandlow incomeraisesmanyquestionsandconcernsaroundhowwellequippedthecountyistomeetits residentshousingneeds.Economicshiftsincludingatrendtowardlowerpaying,lessstable servicejobs,mayverywellfeedthesetrendsinthecomingyears.Aspricesforfood,gas, medicalcare,andotherbasicgoodsandservicescontinuetorise,evenmiddleincomefamilies mayfindthemselvesstretchedthintomeetthecostoflivinginMcHenryCounty.
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Chapter2:
LatestHousingMarketConditions
Thehousingindustryanditsmanyplayershavehistoricallybeenalargeeconomicenginein McHenryCounty.Thecountyexperiencedtremendoushousinggrowththroughoutthe1990sand theearly2000s,andtheconstructionindustry,realestateprofessionals,landowners/sellers, andmanufacturers/distributorsofhousingmaterialssuchaslumber,appliances,etc.,made significanteconomicgains.Thehousingboomresultedindramaticallyincreasinghomevalues andrents,makinghousinglessaffordableforthoseatthelowerendoftheincomespectrum. Thelastfewyearshaveseenaslowdowninthehousingmarket,whichhasnegativelyimpacted growthandhasthemanyplayersinvolvedintheindustrysufferingsetbacks.Therecentmarket slowdownhasnot,however,resolvedtheseriousaffordabilitychallengesthatlowandeven moderateincomefamiliesfaceinMcHenryCounty,andsincethetrendisunlikelytobelong term,itwillnotalleviatetheprobleminthefuture.Thischapterhighlightsthephysicaland financialcharacteristicsofthehousingmarketinMcHenryCounty,withsubsequentchapters outliningtheimplicationsforlowandmoderateincomeresidentsandresidentswithhousing supportneeds.
PhysicalCharacteristics
HousinginMcHenryCountyiscomprisedprimarilyofsinglefamilyresidencesthereare relativelyfewrentalunitsandadearthofrentalunitsoffamilyappropriatesize(largerunits withthreeorfourbedrooms).Thereareatotalof106,751occupiedhousingunitsinMcHenry County17,006(15.9percent)arerenteroccupiedand89,745(84.1percent)areowner 52 occupied. Thereare5,675vacanthousingunitsthevacancyratesare1.7percentforowner unitsand6.9percentforrentalhousing. Figure8McHenryCountyOwnerHousingbyUnitsinStructure,2006
100.0% 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% 1,detached 1,attached 2apartments 3or4 apartments 5to9 apartments 10ormore apartments Mobilehomeor othertypeof housing 10.1% 0.1% 0.6% 0.6% 0.7% 0.4% 87.4%
Ahousingunitisowneroccupied(ownerhousing)iftheownerorcoownerlivesintheunit.Aunitisconsidered renteroccupied(rentalhousing)ifnoownerslivesthereandtheunitisrentedforcashrentoroccupiedwithout paymentofcashrent.
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ThevastmajorityofownerhousinginMcHenryCountyisadetachedsingleunit(singlefamily 71 home)oranattachedsingleunit(suchasatownhome)(Figure8). Only2.4percentofowner housinghas2ormoreunits(suchasaduplexorcondominiumbuilding)orisamobilehomeor othertypeofhousing.Since1990,thepercentofownerhousingwithtwoormoreunitshas increasedbyonepercentagepoint,andthepercentofoneunitattachedstructureshasrisenby 72 sevenpercentagepoints. Despitethisincreasein Table25OwnerOccupiedHousingbyUnitsinStructureby attached/multiunit County,2006 ownerhousing, McHenry DeKalb DuPage Kane McHenryCountystill UnitsinStructure County County County County hasfarlessofthese 1,detached 87.4% 84.7% 75.6% 83.2% typesofstructuresthan 1,attached 10.1% 7.8% 14.6% 9.7% neighboringcounties 2ormoreunitsor (Table25).Multiunit othertypesofhousing 2.4% 7.5% 9.8% 7.0% housingcanbemore affordableduetolowertaxesandcanalsoofferamoremaintenancefreelifestyleforcertain populationssuchasseniors. Figure9McHenryCountyRentalHousingbyUnitsinStructure,2006
35.0% 30.1% 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% 0.0% 1, 1,attached detached 2apts 3or4apts 5to9apts 10ormore Mobile apts homeor other 7.6% 7.8% 9.6% 17.8% 27.0%
RentalhousinginMcHenryCountyismuchmorelikelytoconsistofmultipleunitstructuresthan 73 ownerhousing(Figure9). 62.2percentofrentalhousingstructureshavetwoormoreunitsor aremobilehomesorothertypesofhousing,comparedtoonly2.4percentofownerhousing. Yet,rentalhousingisstillmorelikelytohavefewerunitsthaninneighboringcounties(Figure 10).InDeKalbCounty,69.2percentofrentalhousinghastwoormoreunitsoraremobile homesorothertypesofhousinginDuPageCountythefigureis84.5percent,andinKane 74 Countyitis68.5percent.
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Figure10RenterOccupiedHousingbyUnitsinStructurebyCounty,2006
60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% 1, 1, detached attached 2apts 3or4apts 5to9apts 10ormore Mobile apts homeor other McHenryCounty DeKalbCounty DuPageCounty KaneCounty
HousinginMcHenryCountyisgenerallyingoodcondition.Ninetysixhousingunitsinthecounty lackcompleteplumbingfacilities,meaningtheydonothavehotandcoldpipedwater,aflush toilet,orabathtuborshowerintheunit.Alloftheunitswithoutcompleteplumbingfacilitiesare owneroccupied.614housingunitslackcompletekitchenfacilities,meaningtheylackakitchen sink,astove,andarefrigeratorintheunit.46.4percentofthesehousingunitswererental 75 units. Renterhouseholds Table26RenterHouseholdCharacteristicsbyCounty,2006 inMcHenryCounty 4ormore Family aremuchmore 12Person Person Family Headed likelytobelarger Household Household Household byFemale andtobefamily McHenryCounty 55.5% 22.9% 57.4% 24.7% householdsthanin DeKalbCounty 66.9% 17.7% 37.6% 14.4% mostneighboring DuPageCounty 69.3% 16.6% 49.9% 17.2% counties(Table KaneCounty 55.7% 30.4% 62.3% 24.0% 26),butMcHenry CountyislesslikelythanKaneandDeKalbCountiestohavelargerrentalunitsavailablefor families(Table27).ThemajorityoftherentalhousingunitsinMcHenryCounty(75.1percent) 76 havetwobedroomsorlessindicatingalackofrentalunitsforhousinglargerfamilies. OwnerhousinginMcHenry Table27NumberofBedroomsinRentalHousingby Countyisbetterabletohouse County,2006 largerfamilies.Mostowner Numberof McHenry DeKalb DuPage Kane housing(81.5percent)has Bedrooms County County County County 77 threeormorebedrooms. Noneor1 26.9% 25.9% 40.1% 30.7% 44.1percentofowner 2 48.2% 38.8% 44.7% 39.2% housingunitshavethree 3ormore 24.8% 35.3% 15.2% 30.1% bedrooms,and37.4percent havefourormorebedrooms.OwnerhousinginMcHenryCountyismorelikelytohavethreeor morebedroomsthaninneighboringcounties. Ahousingunitisconsideredcrowdedifthereismorethanonepersonperroom.InMcHenry 78 County1,919housingunitsarecrowded. Renterhouseholdsaredisproportionatelyrepresented amongcrowdedunits.Half(50.9percent)ofallcrowdedunitsinthecountyarerenteroccupied. Thelackoflarger,familyappropriaterentalhousinginMcHenryCountycontributestocrowding. 5.7percentofrentalunitsarecrowded,whileonly1.0percentofownerunitsarecrowded.
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Residentsattheroundtablesdiscussedcrowdingandexplainedthattheyworryaboutthehealth anddevelopmentofchildrenwhenentirefamiliesarecrammedintoapartmentsthatarefartoo small. Figure11McHenryCountyHousingbyYearStructurewasBuiltbyTenure,2006

30.0% 25.0% 20.7% 20.0% 15.0% 10.0% 5.0% 0.0% 2000orlater 1990to1999 1980to1989 Ow nerOccupied 1960to1979 RenterOccupied 1940to1959 1939orearlier 13.6% 12.8% 15.5% 11.1% 9.1% 7.3% 13.6% 19.9% 28.3% 26.7% 21.5%
Thedevelopmentofrentalhousinghasnotkeptpacewiththedevelopmentofownerhousing. RentalhousinginMcHenryCountyismuchmorelikelytobeolderthanownerhousing(Figure 11).Whilenearlyhalf(47.4percent)ofownerhousingwasbuiltintheyear1990orlater,onlya third(33.5percent)oftherentalhousingwasbuiltduringthistimeperiod.Rentalhousinghasa greaterproportionofolderhousingunits66.5percentofrentalhousingunitswerebuiltbefore 1990comparedto52.6percentofowneroccupiedunits.Municipalityandtownshipsurvey respondentsindicatethatupperincomefamiliesaremorelikelytooccupythenewerhousingin theircommunitieswhilemiddleandlowerincomefamiliesandseniorsaremorelikelytooccupy theolderhousing.ComparedwithitsneighboringcountiesofDeKalb,DuPage,andKane,both ownerandrenterhousinginMcHenryCountyismorelikelytobenewer(builtafter1990). Anumberofcountyofficialsindicatethattherehavebeennosignificantrentalbuildingprojects inthecountysincethemid1990s.23.1percentofhousingindustrysurveyrespondentsreport thattheybelieverentalunitsinthecountyhavebeenconvertedtocondominiumsinthelast5 years.38.5percentidentifyatrendtowardgentrificationduringthelast5years.Gentrification referstothepracticeofpurchasingandrenovatingdeterioratedpropertiesthatoftenresultsin thedisplacementoflowincomeresidentsandsmallbusinessesasvaluesrisebeyondtheir means.Manyresidentsthatparticipatedinthisstudy,aswellasserviceprovidersand municipal/townshiprepresentatives,indicatethatwhatlittlerentalhousingisbeingbuiltis targetedtowardseniors,whichwhileimportant,leavesoutmanyotherfamiliesandindividualsin need.
FinancialCharacteristics
OwnerHousing
Todetermineowneraffordability,asimplemeasureisusedthatassumesnationalaveragesfor annualutilitycosts,taxes,insurance,andinterest.Italsoassumethathousingcostsare affordabletoafamilyifthefamilypaysnomorethan30percentoftheirincometowardhousing costs,includingmortgage,insurance,andutilities.Usingthesemeasures,afamilycanafforda 63 mortgagethatisapproximately2.9timestheirannualincome.
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McHenryCounty Table28HomeValuesofOwnerHousingbyCounty,2006 housingpricesare McHenry DeKalb DuPage Kane amongthehighestin HomeValue County County County County thestate.36.5percent Between$200,000and ofownerhousinginthe $299,999 35.5% 29.2% 27.3% 29.6% countyisvaluedabove $300,000andabove 36.5% 15.3% 54.7% 37.5% $300,000andan Total$200,000andabove 72.0% 44.5% 82.0% 67.2% additionalthird(35.5 79 percent)isvaluedbetween$200,000and$299,999. Ofitsneighboringcounties,onlyDuPage hasahigherproportionofhomesvaluedabove$200,000(Table28). Figure12HomeValuesofOwnerHousingbyCounty,2006
40.0% 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% Under$150,000 $150,000to $199,999 $200,000to $299,999 $300,000to $499,999 $500,000and above
McHenryCounty
DeKalbCounty
DuPageCounty
KaneCounty
ThedistributionofMcHenryCountyhomevaluesacrossthepricecontinuumissimilartoDuPage CountybutquitedifferentthaninKaneandDeKalbCounties(Figure12).InMcHenryCounty, just10.3percentofallownerhousingunitsarevaluedatlessthan$150,000.Thismeansthat thereisfarlesshousingavailableatlowerpricepointsthatmaybeaffordabletopeoplewithlow andmoderateincomes. Figure13HomeValuesbyQuartilesbyCounty,2006

$0 $100,000 $200,000 $300,000 $400,000 $500,000
McHenryCounty
DeKalbCounty
DuPageCounty
KaneCounty
Low ervaluequartile
Medianvalue
Uppervaluequartile
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ThemedianhousingvalueofownerhousinginMcHenryCountyis$252,700,meaninghalfof 80 homesarevaluedaboveandhalfbelowthispricepoint. Amongitsneighbors,onlyDuPage Countyhashigherhomevaluesatthelowestquartile,medianpoint,andupperquartile(Figure 13).ThelowestvaluequartilemedianhomevalueinMcHenryCountyis$192,800.Ahousehold wouldneedanannualincomeof$66,483toaffordthemortgageforsuchahome. Table29EstimatedAverageHomeValuesinMcHenryCounty AverageHome Average Municipality Price Municipality HomePrice Algonquin $277,500 LakeintheHills $240,000 BarringtonHills $1,014,300 Lakemoor $209,400 BullValley $501,700 Lakewood $405,200 Cary $261,900 Marengo $199,700 CrystalLake $241,900 McCullomLake $165,400 FoxLake $188,600 McHenry $213,400 FoxRiverGrove $249,300 OakwoodHills $236,100 Greenwood $258,600 PrairieGrove $406,500 Harvard $163,100 Richmond $199,300 Hebron $181,600 Ringwood $285,500 HolidayHills $184,100 SpringGrove $342,800 Huntley $272,500 WonderLake $205,700 IslandLake $197,800 Woodstock $206,800 Johnsburg $271,500 Withinthecounty,averageownerhousingvaluesvarywidelybymunicipalityfromahighofover 81 $1millioninBarringtonHillstoalowof$163,100inHarvard(Table29). Nearlyall(92.3percent)ofhousingindustryexpertsreportthathomepricesinMcHenryCounty haverisenorrisendramaticallyinthepast5yearsandpredictthathomepriceswillcontinueto riseinthenext5to10years.Housingpricedataconfirmstheseobservations:from2000to 2006themedianvalueofahomeinMcHenryCountyrosefrom$167,400to$252,700an 82 increaseof$85,300or51.0percent. Figure14NewPrivatelyOwnedReportedResidentialBuildingPermits inMcHenryCounty,2000to2008
350 300 250 200 150 100 50 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 TotalNumber of Units Numberof Permits
Despitetheserecentincreasesinhomevalues,sinceMarchof2006,McHenryCountyshome 83 saleshavesloweddramatically. InMarchof2008,232homesinthecountyweresold,halfthe
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numberofsales2yearsearlier.Theaveragesalepricehasalsodeclinedslightlyfrom$256,938 to$240,978.Constructionofsinglefamilyresidenceshasalsodramaticallydeclined(Figure 84 14). InMarchof2008,only24newbuildingpermitswereissuedinthecounty,downfrom250 inMarchof2000.Thisillustrateshowthecurrenteconomicdownturnishavinganimpacton homesinthecountyhowever,itislikelythattheeffectsofthedownturn(e.g.,less construction,fallingsaleprices)mayonlyconstituteashorttermtrendandwillreboundinthe future.Nonetheless,theslowdowninthehousingmarkethasresultedinlessrevenueentering IllinoisAffordableHousingTrustfundandtheRentalHousingSupportProgram,twokey affordablehousingprograms,bothofwhicharefundedthroughparticulartaxesandfeesonreal estatetransactions. Table30MortgageHoldingOwnerHouseholdAnnualIncomebyCounty,2006 AnnualHousehold McHenry DeKalb DuPage Kane MortgageAffordableat Income County County County County IncomeLevel Lessthan$29,000 Lessthan$10,000 1.0% 1.5% 0.9% 1.1% $29,000to$72,497 $10,000to$24,999 3.3% 2.7% 3.4% 3.5% $72,500to$101,497 $25,000to$34,999 5.2% 6.5% 3.1% 5.7% $101,500to$144,997 $35,000to$49,999 9.8% 10.8% 8.7% 13.1% $145,000to$217,497 $50,000to$74,999 20.6% 27.3% 20.4% 22.4% $217,500to$289,997 $75,000to$99,999 20.6% 25.8% 18.9% 17.4% $290,000to$434,997 $100,000to$149,999 25.3% 19.5% 24.5% 21.6% $435,000andup $150,000ormore 14.2% 5.8% 20.1% 15.2% Themedianhouseholdincomeofownerhouseholdswithamortgageis$85,871.39.5percentof mortgageholdingownerhouseholdsinMcHenryCountyhaveanannualincomeabove$100,000 (Table30).Lowerincomehouseholdsmakingunder$35,000annuallycompriseonly9.5percent ofallowners. ThehighcostofhousinginMcHenryCountyplacesaheavyburdenonmanyhomeowners.36.4 percentofallownersinthecountyarepayingover30percentoftheirincometowardtheir 85 housingcosts. Theissueisparticularlysalientamonglowerincomehomeownerswitha mortgage.Overthreequarters(77.3percent)ofownerswithannualincomesunder$35,000and 58.9percentofownersinthe$35,000to$49,999incomerangearecostburdened.34.5percent ofMcHenryCountyownerswithamortgagealsohaveasecondmortgageorahomeequity 86 loan. Themedianannualreal Table31MedianRealEstateTaxesPaid,2006 estatetaxasself McHenry DeKalb DuPage Kane reportedbyhomeowners County County County County ishigherinMcHenry Medianreal $4,766 $3,831 $4,692 $4,617 Countythaninany estatetaxespaid neighboringcounty(Table 87 31). McHenryCountyresidentsinvolvedinthisstudyindicatedthatrealestatetaxescanbea largeburdenforseniorswhoexperienceadeclineinincomeuponretirement. Nearlythreequartersofhousingindustrysurveyrespondentsreportthatthereisevidencethat manyhouseholdshaveboughtahomecostingmorethantheycaneasilyafford.69.2percent reportanincreaseintheuseofadjustableratemortgageloans.Suchhomeownersmayhave assumedthathousingpriceswouldcontinuetorise,andthattheywouldbeabletorefinanceat anappropriatetime.Ontheissueofaffordability,twothirdsofhousingexpertsdonotbelieve thatthecurrenthousingstockinMcHenryCountycoincideswiththeneedsandfinancial capabilitiesofthepeoplewhoneedand/orwishtolivethere.
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BreakingintotheMcHenryCountyhousingmarketmaybemoredifficultnowthaninthepast. 58.4percentofhousingindustrysurveyrespondentsreportthatithasbecomemuchmore difficultforfirsttimebuyerstoenterthehousingmarketinMcHenryCountyinthelast5years, presumablyduetorisingprices. SubprimeloansandforeclosureshavebecomerecenthousingconcernsinMcHenryCounty.Over threefourthsofhousingindustryrespondentsreportanincreaseinsubprimeloans.Shiftingjobs andstagnatingincomes,alongwithaproliferationofsubprimelendinghaveledtodramatic increasesinforeclosuresinMcHenryCounty. Figure15McHenryCountyForeclosures,2005to2007

3,000 2,750 2,500 1,964 2,000 1,500 1,155 1,000 500 0 Year2005 Year2006 Year2007
88 Foreclosuresin2007wereup40percentfrom2006and138percentfrom2005(Figure15). In 2007,therewere2,750foreclosuresinthecounty.Thismeansthatattheendof2007,1in every40McHenryCountyhouseholdswasinsomestateofforeclosure.61.5percentofhousing industrysurveyrespondentsnotethatincreasedforeclosureshasbeenoneofthemostprevalent housingtrendsinthelast5years.
Thetrendinforeclosureshasimplicationsbeyondtheindividualfamiliesthataredisplaced. Researchshowsthatforeclosuresnegativelyimpactsurroundinghomevalues.Thedeclining valueoftheforeclosedhomeandsurroundinghomesleadstolesstaxrevenuewhenproperties arereassessed,leavinglessrevenuetosupportschoolsandothervitalcommunityservices. Whenaforeclosedhomeremainsvacant,municipalitiesarenotreceivingsewerandwater revenueonthathomeresultinginafurthererosionofrevenue. Thedamageoftheforeclosurecrisisalsohasimplicationsfortherentalmarket.With affordabilityandrentalavailabilityalreadyaprobleminMcHenryCounty,thehousingcrisis pushesmoreandmorefamilieslookingforrentalhousingintoanalreadytightrentalmarket.
RentalHousing
Aswithhomeownership,arentalunitisconsideredaffordableifafamilypaysnomorethan30 percentoftheirincometowardtheirhousingcosts(rentplusutilities).Todeterminerental affordabilityafamilysannualincomeismultipliedby30percenttodeterminewhatcanbespent onhousing,andthenthatamountisdividedequallyoverthe12monthsoftheyear.
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Themedianmonthlygross Table32MedianGrossRentsbyCounty,2006 rentforrentalhousingin McHenry DeKalb DuPage Kane McHenryCountyis$916,in County County County County linewithrentsinDuPage MedianGrossRent $916 $728 $919 $883 County,buthigherthanin 89 DeKalbandKaneCounties(Table32). Afamilywouldneedtohaveanannualincomeofover $36,640tobeabletoaffordthismedianrentinMcHenryCountywithoutpayingover30percent oftheirincometowardhousingcosts. Table33MonthlyRentbyCounty,2006 McHenryCounty Number Rate 1,792 10.8% 2,245 13.6% 5,803 35.1% 5,437 32.8% 1,071 6.5% 208 1.3% DeKalb County Rate 13.2% 39.5% 27.5% 17.7% 2.1% 0.0% DuPage County Rate 5.6% 15.0% 41.3% 28.2% 8.4% 1.5% Kane County Rate 10.2% 23.6% 28.0% 26.7% 9.0% 2.4%
Under$500 $500to$749 $750to$999 $1,000to$1,499 $1,500to$1,999 $2,000andover
AnanalysisofrentsrevealsthehighcostofrentalhousinginMcHenryCounty.Onlyonequarter 90 (24.4percent)ofrentalunitshaveamonthlyrentbelow$750amonth(Table33). 40.6 percentofallrentalhousinghavemonthlyrentsover$1,000thehighestproportionamong neighboringcounties. Table34McHenryCountyRenterHouseholdAnnualIncome,2006 AnnualHousehold Percentof RentAffordableat Income Households IncomeRange Lessthan$10,000 11.4% Lessthan$250 $10,000to$24,999 28.1% $250to$625 $25,000to$34,999 13.8% $625to$875 $35,000to$49,999 16.2% $875to$1,250 $50,000to$74,999 14.7% $1,250to$1,875 $75,000to$99,999 11.6% $1,875to$2,500 $100,000to$149,999 4.0% $2,500to$3,750 $150,000ormore 0.2% $3,750andup RentersinMcHenryCountyaremuchmorelikelytohavelowerannualincomesthanowner households.Overhalf(53.3percent)oftherenterhouseholdshaveannualincomesbelow 91 $35,000(Table34), andthemedianrenterhouseholdincomeis$31,990,farlessthanhalfthe medianincomeofmortgageholdingownerfamilies.Forthe53.3percentofrenterhouseholds withannualincomesbelow$35,000,themaximumrenttheycouldaffordis$875. ThreequartersofhousingindustrysurveyrespondentsreportthatrentsinMcHenryCountyhave riseninthepast5years,andallrespondentspredictedthatrentswillriseorrisedramaticallyin thenext5years.
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Figure16RentBurdenedHouseholdsbyCounty,2006
60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% McHenryCounty DeKalbCounty PayingOver30%2000 PayingOverHalf 2000 DuPageCounty KaneCounty
PayingOver30%2006 PayingOverHalf2006
Aswithownerhousing,thehighcostofrentalhousinginMcHenryCountyhasplacedaheavy financialburdenonrenterhouseholds(Figure16).54.3percentofallMcHenryCountyrenter householdsarepayingover30percentoftheirincometowardtheirrent.Costburdenin McHenryCountyhasincreaseddramaticallyfrom37.2percentin2000andisthegreatest 92 increaseamongtheneighboringcounties. Therateofrenterhouseholdspayinghalftheir incometowardrenthasalsoincreasedsignificantlyfrom14.3percentin2000to25.7percentin 93 2006.
Conclusion
ThehighcostsofownerhousinginMcHenryCountymakespurchasingahomeverydifficultfor lowandmoderateincomefamilies.Thehousinglandscapeinthecountyischaracterizedbya heavyemphasisonsinglefamilyhomeswhichmeansthatthereisalackofrentalunits.Thisis problematicinandofitself,butalsobecausecurrenthousingmarkettrendsincludingincreased foreclosuresandtheslowdownofconstructionandsalesmaypushmoreandmorefamiliesinto thisalreadytightrentalmarket.Despitethefactthat44.5percentofMcHenryCountyrenter householdsarecomprisedofthreeormorepeople,rentalunitsinthecountyarelikelytobe smallerunitswithonlyoneortwobedrooms.Additionally,muchoftherentalhousingispriced outofthereachoflowincomeMcHenryCountyresidents,resultinginhighandgrowingratesof costburden.
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Chapter3:
TheNeedforAffordableHousingandHousing SupportsinMcHenryCounty
Highpricesandthelimitedavailabilityofrentalunitshaveraisedseriousaffordabilityconcerns formanylowandmoderateincomeMcHenryCountyfamilies.Additionally,therearesubsetsof theMcHenryCountypopulationthathaveaddedhousingneedsontopofaffordabilityconcerns. Thesearepeoplewhomayneedadaptableoraccessibleunits(e.g.,stairlessaccess,wide doorways,visualsmokealarms)tobeabletoliveandfunctionindependently.Othersmayneed specialservices,suchascasemanagementorhelpwithmedicationandactivitiesofdailyliving, alongwithaffordablehousinginordertomaintainindependence.Becausemanyofthesepeople havemultipleneedsitisnotpossibletoquantifythedistinctsizeofeachofthepopulation subsetsoutlinedbelow.However,theevidenceinthischaptersuggeststhatthousandsof McHenryCountyresidentsareinneedofaffordablehousingandhousingsupportsandthata hostofsafe,decent,affordable,andaccessiblehousingoptionsareneededinMcHenryCountyto servethediverseneedsallresidents.
LowWageWorkers
Chapter1ofthisreportoutlinesthecurrentstateofpovertyinMcHenryCounty,including dramaticgrowthinthepastfewdecades,anddiscussesthehighnumberofpeoplewithlow incomesbelowtwicethepovertyline.Nearly11,000workingageadults(ages18to64)in McHenryCountyhaveincomesbelowtheofficialpovertyline.Anadditional16,500workingage adultshaveincomesabovetheofficialpovertyline,butbelowtwicethepovertyline.InMcHenry County,nearly7,180peoplewhowork(fulltime,yearroundorparttime,partyear)stillfall 94 belowthepovertyline. Sevenoutofevery10poorMcHenryCountyfamilieshaveatleastone workerinthefamilyand15percentofpoorfamilieshavetwoormoreworkers. Figure17McHenryCountyHouseholdIncome,2006
35.0% 30.6% 30.0% 25.0% 19.5% 20.0% 15.0% 10.0% 5.0% 0.0% Lessthan $10,000 $20,000 $10,000 to to $19,999 $34,999 $35,000 to $49,999 $50,000 $75,000 $100,000 to to ormore $74,999 $99,999 3.1% 6.2% 11.6% 11.8% 17.2%
McHenryCountyisconsideredanaffluentcounty,butthisreputationmasksthefactthatmany householdsinthecountyarestrugglingtogetbywithlowincomes.Over1inevery5
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households(22,331)inMcHenryCountyhasanannualincomebelow$35,000andnearly1in10 95 (9,964)hasanincomebelow$20,000(Figure17). Homelessandmentalhealthserviceprovidersparticipatinginthisstudyindicatethatthelow wagesmanyjobspayleavemanyMcHenryCountyfamilieseitherofficiallypoororwithverylow incomes.Thisrealitycombinedwiththehighcostofhousinginthecountyleavesmanylow incomefamilieswithlittlemoneyandresourcesleftoveroncetheypaytheirbills,sotheyare notabletoaccumulateasafetynetforemergencies.Withoutreserves,ifafamilymemberloses ajob,becomesdisabled,orevenjusthastheirhourscut,manyfamiliesmaynotbeableto maketheirrentormortgagepayment.Theywillalsonotbelikelytohavemoneyforsecurity depositsforanewapartment.Theprovidersinsightsrevealotherconsequencesofnothaving enoughmoneytobeabletomeetthebasicneedofadequate,affordablehousing,including: Familieslivinginplacesthatareunsafe,substandard,andtoosmall Peoplestayingwiththeirextendedfamilies,taxingtheotherfamilymembersresources Familieshavingdifficultypayingforothernecessitiesandcuttingcornersonchildcare, medication,transportation,orutilities Neglectingpreventivehealthcare,leadingtomoreextensiveandexpensivehealthissues andotherproblemsinthefuture Movingfurtherawayfromwork,requiringlong,costlycommutestoplacesof employment,contributingtoroadcongestionandpollution
Manylowwageworkersperformjobsthatarevitaltothecommunity.Theseindividualsmaybe childcareworkers,homehealthaides,foodservers,lawnworkers,orhomecleanerspeople everyoneelseinthecommunityreliesontoperformimportantandnecessarytasks.Nearlyall thehousingexperts,serviceproviders,residents,andcounty,municipal,andtownship representativesagreethataffordablehousingisinveryhighdemandinthecountyforawide arrayoflowwageworkers.Theyrelatethatnotonlyarelowincomegroupsinneed,buteven thosewithmoremoderateincomes,suchasthoseinprofessionalcareersliketeachers, policemen,ornurses,finditdifficulttoaffordtoliveinthecounty.Arefrainheardoverandover was,Youneedtwoincomestoaffordtolivehere. Thelowandmoderateincomepopulationisdiverseandthereforehasdiversehousingneeds. ProvidersandMcHenryCountyresidentsdiscussedsomeofthetypesofhousing,financial support,andamenitieslowincomeindividualsandfamiliesneedtobestableandsafe: Employerassistedhousing(whenanemployercommitstohelpingtheiremployeesbuy homesclosetoworkortoprovidingrentalassistance) Rentalapartments,ranginginsize Affordablehomeownership Homebuyerassistance(suchasdownpaymentandclosingcostassistance) Homebuyercounselingaswellasongoingcreditandbudgetcounseling Housingneartransportation,jobs,andqualityschools Tolerantlandlords(willingtorenttofamilieswithchildren) Publichousingandhousingvouchers
SubpopulationsofLowWageWorkers
Thelowincomepopulationisadiversegroupthatincludesawiderangeofindividualsand familiesinvariousstagesoflifeandinvariedcircumstances.Withinthisgroupareseniors, immigrants,Latinos,survivorsofdomesticviolence,singleparents,peoplewhowerepreviously incarcerated,andyoungadultsjuststartingoutinthelabormarket,amongothers.Manyof thesegroupssharethesamehousingproblemsandneeds,andafewoftheirindividualneeds arehighlightedhere.
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Immigrants TheimmigrantpopulationinMcHenryCountyisgrowingandwithitcomescertainhousing challenges.Someoftheseimmigrantsworkintheservicesectorandthefoodindustry,butare paidverylowwages,whichmakesitdifficulttoaffordhousing.County,municipal,andtownship representativessharedstoriesoftheirproblems,includingintenseovercrowding,peoplerenting sleepingspacesbythehourinsinglefamilyhomesfunctioningasmotels,andbeingtaken advantageofbylandlordsandemployers. Latinos Latinosareanothersubsetofthepopulationthatmayhaveuniquehousingchallenges.Thereare 32,909LatinoMcHenryCountyresidents.Providersandresidentsdiscussedlanguagebarriers andculturaldifferencesthatmakeaccessinghousingandcommunityserviceschallengingfor manyLatinos.Theymayfacediscriminationinaccessingapartmentsorhomesincertainareas ofthecountyandsincemanyworkinlowwagejobs,oftenLatinoshavesevereaffordability needsrelatedtohousing. SurvivorsofDomesticViolence Survivorsofdomesticviolenceareanothergroupofpeoplewhooftenhaveserioushousing issues.Facedwiththeprospectofhomelessnessuponleavingtheirhome,manystayinabusive situations.Whentheydoleave,manywomenfinditincrediblydifficulttomaintainorfind employmentwhileinacrisismode.Manyleavewithouttheirbirthcertificate,SocialSecurity card,andotherimportantdocumentation,andthoughtheymayhavebeenmoderatelywelloff before,theymayhavenoaccesstotheirpartnersmoney.Locatinghousingamidallofthis turmoilisincrediblychallenging. SingleParents Thereare9,404singleparentsinMcHenryCounty6,508singlemothersand2,896single fathers.Povertyratesforsinglemothersandsinglefathersarefarhigherthanformarried coupleparents,indicatingtheimportanceofhavingtwoincomestomeetthecostoflivinginthe county.McHenryCountysinglemotherhouseholdshavethehighestpovertyrate,35.6percent, 96 despitebeingmuchmorelikelytohavefewerchildrenthanothertypesoffamilies. 11.6 percentofsinglefatherfamiliesand7.2percentofmarriedcouplefamilieswithchildrenare poor.Thefactthatsinglemotherhouseholdshaveamuchhigherpovertyratethansinglefather householdspointstoenduringemploymentandwagediscriminationforwomen. Thehousingneedsofsingleparentsaresimilartothoseofmanyotherlowincomegroups. However,thereisaparticularneedforthisgrouptobeingoodschooldistrictsandtoretain stable,qualityhousingforthehealthandwellbeingoftheirchildren. PeopleWhoHaveBeenPreviouslyIncarcerated Peoplewhohavebeenpreviouslyincarceratedarehitwithahostofbarrierstosecuring meaningfulemploymentandfindinghousing.Employersandlandlordsoftendobackground checksandareunwillingtoemployorrenttosomeonewithacriminalrecord.Beingeffectively barredfromjobsandhousingleavespeoplewithfewmeanswithwhichtogettheirlivesonthe righttrack.Thisoftenleadstomorecrime,recidivism,andothercostlysocialissues. YoungAdults Thereisgrowingconcernovertheabilityofyoungcollegegraduates,ormorebroadlythe18to 29yearagegroup,toaffordtoreturntoliveinMcHenryCountyaftercollege.
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Youngadultswhoheadtheirown Table35McHenryCountyMedianHousehold householdsaremuchmorelikely IncomebyAgeofHouseholder,2006 tohavelowincomesthanolder MedianHousehold householders.Householdersunder Income theageof25haveanannual Householderunder25years $34,099 householdincomeof$34,099 Householder25to44years $77,462 whichis$48,456lessthan Householder45to64years $82,555 householdsheadedbysomeonein 97 Householder65yearsandover $36,181 the44to64yearagegroup. Youngadulthouseholdsaremuchmorelikelytobesinglepersonhouseholdseliminatingthe possibilityofdualincomesandyoungadultsaremorelikelytobepaidlowerwagessincethey arejuststartingoutinthelaborforce. Thelowerincomeofyoung Table36McHenryCountyHousingCostBurdenbyAge adultsleadstoveryhighrates ofHouseholder,2006 ofhousingcostburden(paying Rent OwnerCost over30percentofincome Burdened Burdened towardhousingcosts).Over7 Householderunder25years 71.7% 57.3% outofevery10youngrenters Householder25to34years 49.4% 40.0% arecostburdened,inlinewith Householder35to64years 47.8% 35.2% therateofseniorrent 98 Householder65yearandover 73.4% 37.3% burden. Younghomeowners arealsoparticularlyvulnerabletoownercostburdenover1in2arepayingtoomuchoftheir incometowardtheirhome. Residentsinvolvedinthisstudyrelatestoryafterstoryaboutyoungpeoplereturningtolivewith theirparentsforyearsorgettingfinancialassistancefromtheirfamiliesbecausetheycouldnot affordtocoverhousingcostsontheirown.Onecountyofficialsaidthatyoungpeopleandyoung familiesneedrentalunitssotheycansaveforadownpaymentonahome,buthighrentscan priceyoungpeopleoutandmakeitdifficulttosave.Whenitcomestobuyingahome,another countyofficialsaidthat,Therearenostarterhomesinthecountyanymore.Oneyoung residentsaidshehaslivedinMcHenryCountyherwholelifeandwouldliketostay,butshefinds itincreasinglydifficulttolivehere.Shehasamastersdegreeandworksatanonprofit organization,buthousingcostsstillleaveherstruggling.Thereareover50,000youngpeoplein 99 McHenryCountyinthisagerange.
PeoplewithMentalHealthandSubstanceUseIssues
ThosereceivingmentalhealthcareinMcHenryCountycomefromabroadsocioeconomic background.Peoplewithmentalhealthandsubstanceuseissuesoftenneedatypeofhousing thatisdifferentthanthosewithoutsuchcomplexitiesintheirlives,especiallyiftheyarealso economicallyvulnerable. Nationalresearchrevealsthat2.6percentofalladultshaveasevereandpersistentmental 100 illness. Amongthosemostseverelydisabledwithamentalillnessaretheapproximately0.5 percentofthepopulationwhoreceivedisabilitybenefitsformentalhealthrelatedreasonsfrom theSocialSecurityAdministration.InMcHenryCounty,thisworksoutto5,742adultsage20 andoverwithasevereandpersistentmentalillnessand1,104whoreceivedisabilitybenefits.It isthisgroupof1,104severelymentallyilladultswithlimitedfinancialresourcesthataremostin needofaffordablehousingandservices. Localmentalhealth,substanceuse,andhomelessserviceprovidersweresurveyedand convenedtodiscussthehousingandserviceneedsforthisgroupofresidents.Theseproviders offeramyriadofservicestopeoplewithmentalillnessesand/orsubstanceuseissuesthroughout
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thecountyandareparticularlywellpositionedtoshedlightonthisgroupshousingandservice needs. Theseprovidersreportthat41percentofMcHenryCountyresidentswhouseMentalHealth Boardfundedserviceshaveincomesoflessthan$15,000and26percenthaveincomesbetween $15,000and$30,000.Thismeansthattwothirdsofpeoplereceivingmentalhealthservicesare lowincomewithannualincomesbelow$30,000.Moreover,therehasbeenasignificantincrease inthedemandforservices.Eightytwopercentofmentalhealthserviceprovidersreportthatthe numberofpeoplerequestingservicesattheiragencyexceedscapacity. 73percentofthementalhealthserviceprovidersreportthatitisdifficultorverydifficultfor theirclientstofindadequateaffordablehousingwithinthecounty.Halfofthemreportthatthey sometimesoroftenhavetolookoutsideofthecountytohelpfindpermanentaffordablehousing fortheirclients.Thosewhodonotlookoutsidethecountyindicatethatoftenthisisbecause fundingandprogramrestrictionsdonotallowthemtodoso,eveniftheyhadwantedto.Placing peopleinhousingthatisoutsideofthecountycanoftenleadtopeoplebeingforcedtoleave theirfamily,jobs,friends,placesofworship,andsupportcommunitiesbehind. Allprovidersindicatethattheyserveclientswithmentalillnessesand/orwithsubstanceuse issueswhoareinappropriatelyhousedduetoalackofhousingthatmeetstheirneeds.People whoarefacingthesecomplexissuesareofteninstitutionalizedbecausenootherviablehousing optionsexist,orareinstitutionalizedfarpastthetimeneeded.Institutionalizationcarriesahigh pricetagandwhenusedinappropriately,deprivespeopleoftheirdignityandselfdetermination. Allmentalhealthserviceprovidersagreethatthecurrentsupplyofaffordablehousingisnot adequateandcertainlywillnotbeabletomeetdemandinthenext5years.Atpresent,ofthose sufferingfrommentalillnessorsubstanceuse: 171arewithoutpermanenthousing, 168arecurrentlyutilizinghomelessshelters,and 122areonwaitinglistsforpermanenthousing.
Thesepeopleoftenfacediscriminationintryingtolocatehousingontheprivatemarket.Inmany cases,theirfamiliesareeitheruncertainonhowtoprovidesupportoraresimplyunableto provideit.Whentheydonotknowwheretoturn,peoplewithmentalillnessesandsubstance useissuesmaybegintoneglecttheirmedicationortreatment,leadingtointensecrises,relapse, hospitalization,orinstitutionalization. Also,iftheylackhousingorareinunstableand/orunaffordablehousingsituations,peoplehave difficultygettingorholdingontoajob.Peoplewhoneedintenseservicesandmedicationto functionoftencannotuseorfullyrespondtoprofessionalserviceswhentheirhousingsituationis unstable,exacerbatingmentalhealthissues.Additionally,servicedeliverycanbeinterrupted whenpeoplehavetomovefrequentlyormovetoofaraway. Precarioushousingsituationsalsoleadtomoreproblemswiththepolice.Peoplewhoare homelessoftengetcitationsforloitering,vagrancy,publicurination,andotherviolationsthatare notcrimesagainstpropertyorpeople,butratherabyproductofbeinghomeless.Othersmust resorttodesperatemeasurestosurvive,suchasprostitutionortheftandoftenbecomethe victimsofcrimethemselves.Unstablehousingsituationscanalsoleadtocivilcourtactionsuch asevictionsandforeclosures.Theseproblemsareavoidable,butwithoutaccesstothehousing theyneedtohelpthemstabilizetheirlives,peoplestrugglingwithamentalillnessorsubstance useissuecanbecomeadrainonservicesandsystems.Thesearenotonlyindividualproblems theyaffecttheentirecommunity,bothwithassociatedmonetarycostsandbyimpactingthe qualityoflife.Localserviceprovidershadanumberofideasaboutwhathousingandhousing supportscouldhelpthesepopulationsbecomeandremainstablyhoused:
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Emergencyshelters Transitionalhousing Toleranthousingprograms(flexiblesobrietyrulessopeoplecanworkthroughstagesof recovery) Permanentsupportivehousing Supportandhousingprogramsthatlinkindividualswithpeoplewhohavebeenin recoveryforlongperiodsoftime Inpatientmedicaltreatment/detoxificationcenter(s)withcontinualcare Continuityofservicesandhousing
PeoplewithDisabilities
Peoplewithdisabilitiesoftenneedbothaffordableandaccessiblehousing.InMcHenryCounty 101 28,556peopleage5andover,nearly1outofevery10people,haveadisability. Seniorsare themostlikelytohaveadisability39.0percentofMcHenryCountyseniorshavesomesortofa disabilitycomparedto5.3percentofchildrenage5to15,and7.1percentof16to64yearolds.
DefinitionsofTypesofDisability
ThecategoriesofdisabilityinthissectionarebasedonCensusBureaudefinitions.TheCensus Bureauaskssurveyrespondentsiftheyhaveaphysical,mental,oremotionalconditionlasting6 monthsormorethat SensoryDisabilityconsistsofblindness,deafness,severevisionorhearingimpairment. PhysicalDisabilitysubstantiallylimitsoneormorebasicphysicalactivitiessuchaswalking, climbingstairs,reaching,lifting,orcarrying. MentalDisabilitymakesitdifficulttolearn,remember,orconcentrate. SelfCareDisabilitymakesitdifficulttodress,bath,orgetaroundinsidethehome. GoOutSideTheHomeDisabilitymakesitdifficulttogooutsidethehomealonetoshopor visitadoctorsoffice. EmploymentDisabilitymakesitdifficulttoworkatajoborbusiness.
Thetermdisabilitycoversawide rangeofconditionsincludingsensory, physical,mental,selfcare,go outsidethehome,andemployment disabilities.Physicaldisabilitiesare mostcommonandselfcare disabilitiestheleastcommon(Table 37). Ofthedisabledpopulationin McHenryCounty,aboutonehalf reporthavingonetypeofdisability andtheremainderreporttwoor moretypesofdisabilities.
Table37McHenryCountyDisabilitybyType,Age 16andOver,2006 Number 7,146 17,847 7,819 4,466 8,880 7,827 PercentofTotal Population 3.0% 7.5% 3.3% 1.9% 3.7% 3.7%
Sensorydisability Physicaldisability Mentaldisability Selfcaredisability Gooutsidethehome disability Employmentdisability (age16to64)
ThenumbersinthistabletotalmorethanthenumberofMcHenryCountyresidentswithadisabilitybecause somepeoplereportmorethanonedisability.
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Peoplewithdisabilitiesareless Table38EmploymentStatusofNoninstitutionalized likelytoworkthanthosewithout DisabledPopulationAges16to64,2006 adisability.OneMcHenryCounty Witha WithaDisability, residentstatedthathealth Total Disability NotWorking problemshaveputastrainon Ages16to64 209,570 14,800 54.7% manypeoplesheknows,which hasseverelylimitedtheirjobopportunities.InMcHenryCounty,overhalfofthepeoplewitha disabilityarenotworkingcomparedtolessthanaquarterofthosewithoutadisability(Table 102 38). Evenwhenpeoplewithdisabilitieswork, theyearnconsiderablylessthantheir 103 nondisabledcounterparts(Table38). EarningsforpeopleinMcHenryCounty witheachtypeofdisabilityarelowerthan thosewithoutthedisability.Peoplewith employmentdisabilities,whichlimittheir workactivities,havethelowestmedian annualincomeat$17,369. Peoplewithadisabilityaremorelikelyto bepoorthanthosewithoutadisability.In McHenryCounty,2,837peoplewitha disabilityarepoor,apovertyrateof10.0 104 percent(Table40). Over1,100individualsinMcHenryCounty receiveSupplementalSecurityIncome (SSI),themaingovernmentprogramfor peoplewithdisabilitieswhohavelittleor nootherincometomeettheirbasicneeds. 105 915oftheseindividualsareadults. The averagebenefitamountreceivedforSSI inMcHenryCountyis$9,223lessthan thepovertylineforonepersonandclearly 106 insufficienttomeetbasicneeds. Table39MedianAnnualEarningsby DisabilityStatusandType,2006 People People Withthe Withoutthe TypeofDisability Disability Disability Sensorydisability $27,385 $33,610 Physicaldisability $24,650 $33,869 Mentaldisability $15,282 $33,933 Selfcaredisability $27,926 $33,573 Gooutsidethehome disability $27,361 $33,635 Employmentdisability (age16to64) $17,369 $34,858
Table40McHenryCountyPovertyby DisabilityStatus,2006 Number Percent in in DisabilityStatus Total Poverty Poverty Withadisability 28,436 2,837 10.0% Withno disability 260,932 12,899 4.9%
McHenryCountyresidentsdiscussedthechallengesoftryingtoaffordhousingondisability payments.Oneresidentstatedthatdisabilitypaymentsdonotpayenoughtocoverhousing,and evenifitdoescomeclose,thecostofutilitiescanbesuchastrainonpeoplethatitoftenputs themoverthefinancialedge. Providersandhousingexpertsinthecountyhavewitnessedanincreasedhousingneedfor McHenryCountyresidentswithdisabilities.Thevastmajorityofhousingindustryexperts(90.9 percent)reportthatthereisincreasingdemandforaccessibleunitsforseniorsandpeoplewith disabilities.12outofthe15mentalhealthserviceprovidersthatrespondedtothesurveyfor thisresearchtogetherestimatethatatleast208peoplewithadisabilitywouldbeabletolive independentlyifthereweremoreaffordablehousingwithsupportiveservicesavailable. Fortytwopercentofthehomelessserviceprovidersreportthathavingadisabilityisasignificant causeofhomelessness.Theseprovidersrevealedthatmanyproblemsarisewhenpeoplewith disabilitiesdonothavetheirhousingneedsmet.Inadditiontotheconcernsoverprolongedor inappropriateinstitutionalization,manypeoplewithdisabilitiesexperiencediscriminationfrom landlordsorexperiencedifficultyfindingapartmentsthataresuitabletotheirdisability.Often peopleareforcedtomoveawayfromservicesandjobstofindahousingunitthatallowsthemto
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thrive,whichthenleadstotransportationproblems.Inthesesituations,peoplebecome disconnectedfromvitalservices,includingbasichealthcare,whichthencausestheirhealth problemstointensify.Homelessserviceprovidersreportthatpeoplewithdisabilitiesare vulnerabletobecomingvictimsofcrimewhentheyarehomeless. Asubsetofpeoplewithdisabilitieshasdevelopmentaldisabilities,whichareseverechronic conditionsduetomentaland/orphysicalimpairments.Researchhasfoundthat1.6percentof 107 thepopulationhassomesortofdevelopmentaldisability. Giventhisfinding,itisestimated thatthereare5,055McHenryCountyindividualswithadevelopmentaldisability. Theneedforsafe,comprehensiveresidentialoptionsforindividualswithdevelopmental disabilitiesisimportanttotheindividuals,theirfamilies,andthecommunitiesinwhichthey reside.Withoutappropriatehousingthatmeetstheirneeds,peoplewithdevelopmental disabilitiescanloseadaptiveskillsandoftensufferdebilitatingstressoverchangingliving environments.Also,dangeroussituationsarisewhenanindividualsprimarycaretakerdiesoris nolongerphysicallyabletoprovidecare.Manypeoplewithdevelopmentaldisabilitieshavenot beenlinkedtoservicesoutsidethehome,sotheirhousingandserviceneedsoftengounmet. Thevastmajorityoflocalmentalhealthserviceprovidersreportthatclientswithdevelopmental disabilitiesareofteninappropriatelyhoused.Thereisalackofvarioushousingoptionsfor McHenryCountyresidentswithdevelopmentaldisabilities.Currently,sevenindividualsin McHenryCountywithdevelopmentaldisabilitiesuseresidentialsupportofferedbythecounty. Overthenext5years,approximately81morepeopleareexpectedtorequiretheseresidential 108 services. Notallpeoplewithdevelopmentaldisabilitiesneedorwantresidentialoptions.Manyarecared forbytheirfamilies.However,thesefamiliesneedsupportstoprovidethespecializedcare necessaryforapersonwithdevelopmentaldisabilities,includingassistancewithactivitiesof dailyliving,jobtraining,andoccupationalandphysicaltherapy.Thereare159McHenryCounty familiesonthewaitinglistforsuchinhomesupports,and26ofthesefamilieshavecaregivers 109 overtheageof70. Thecostofprovidinginhomecarecanbesubstantiallylowerthanthecost ofresidentialcare. TheMentalHealthBoardhasdocumentedahostofsystemissuesthatputMcHenryCounty residentswithdisabilitiesatsevereriskfornothavingtheirneedsmetinanappropriateorcost 110 effectivemanner: Alackofinhomesupportsforfamiliesofchildren,adolescents,andadultswith developmentaldisabilities,especiallyforthosewithsignificantchallenges,limitsqualityof lifeandhasevenputsomeindividualsandfamiliesatriskofphysicalinjury. Reductionsincriticalfamilysupportserviceshavepushedmorepeoplewithdisabilities intoexpensive,restrictivelivingenvironments. Shortageofdependableandqualifiedpersonalattendantsforthosewhoneedhelpwith activitiesofdailylivingforcesthemintoexpensive,restrictivelivingarrangements. Limitedsupport,care,andtreatmentforpeoplewithtraumaticbraininjuriesforces peopletoseekservicesindistantlocations. Alackofvocationaltraininglimitspossibilitiesforpeopletobesuccessfullyemployed. Notenoughrespitecarehours(shorttermcarethathelpsafamilytakeabreakfromthe dailyroutineandstress)hasresultedinawaitinglistof53McHenryCountyfamilies.
Localserviceprovidersandresidentsidentifiedawiderangeofhousingandhousingsupports thatcouldhelppeoplewithdisabilities,includingthosewithdevelopmentaldisabilities,remain housed: ADAadaptedhousing Housingthatcanaccommodateacaretaker
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Sharedapartments Grouphomes Efficiencyapartments(asmallapartmentwithabathroomandkitchenette) Housingcoupledwithservices(supportivehousing) Respitecare
Seniors
Therearecurrently40,413McHenryCountyresidentsovertheageof60,comprising12.9 111 percentofthepopulation. By2030,peopleage60andoverareprojectedtocompriseover23 112 percentoftheMcHenryCountypopulation. Seniorsworklessandhavelowerannualincomes andhigherratesofphysicaldisabilitiesthanyoungeragegroups.Combined,thesefactorslead tosignificantaffordablehousingneedsforseniors. Only29.8percentofpeopleages65to74yearsinMcHenryCountyareintheworkforce,and only8.0percentofthoseovertheageof75areintheworkforce.Societyplacesahighvalueon retirementifpeoplehaveworkedtheirwholelives,theydeservetonotwork(ormaybeless abletoduetoincreasinghealthproblems)intheirlateryears.Retiring,however,oftensignals financialstrainformanyseniors.InMcHenryCounty,theaverageannualSocialSecurityincome 113 isonly$9,224. Statetrendsindicatethatoverhalfofseniorsdonothaveretirementincome otherthanSocialSecurity.Theaverageannualretirementincome,otherthanSocialSecurity,is $24,611,butstillfallsfarshortofwhatseniorsneedfortheannualcostoflivinginMcHenry County. 1,185McHenryCountyseniorshaveincomesbelowtheofficialpovertyline,and4,847seniors 114 livebetweenthepovertylineandtwicethepovertyline(100%FPLand200%FPL). Manyseniorswhowerebornandraised Table41McHenryCountyMedianAnnual inMcHenryCountyandbroughtuptheir HouseholdIncomebyAgeofHouseholder,2006 ownchildrenherefindthatoncethey Median retire,theymustliveonafixedbudget HouseholdbyAgeof Household thatoftencannotkeeppacewiththe Householder Income costoflivinginthecounty.Senior Allhouseholds $71,945 householdsinMcHenryCountyhavean Householderunder25years $34,099 annualmedianhouseholdincomethat Householder25to44years $77,462 isover$46,000lessthanhouseholds $82,555 headedbyapersonage45to64(Table Householder45to64years 115 41). Seniorhouseholdsannual Householder65yearsandover $36,181 incomesaremoreinlinewiththoseof householdsheadedbysomeoneundertheageof25. Table42McHenryCountySeniorHousehold AnnualIncome,2006 AnnualHouseholdIncome Number Percent Householder65yearsandover 17,249 100.0% Lessthan$10,000 1,068 6.2% $10,000to$14,999 1,677 9.7% $15,000to$24,999 3,203 18.6% $25,000to$34,999 2,436 14.1% $35,000to$49,999 2,875 16.7% $50,000to$74,999 2,255 13.1% $75,000to$99,999 1,394 8.1% $100,000ormore 2,341 13.6%
September2008
48.6percentofallMcHenryCounty seniorhouseholds(8,384)have annualincomesbelow$35,000and overathirdhaveannualincomes 116 below$25,000(Table42).
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Aspeopleage,theirhealthmaybegintodeteriorate. Nearly40percentofallseniorshavesomeformof disability,amuchhigherratethaninyoungerage groups.Thesedisabilitiesvaryintype(Table43)and severity,andmayincludearthritis,slightlossof hearing,dementia,andlossofmobility,among others.Manyoftheseseniorsareabletofunction quitewellontheirown,whileothersneedminimal assistance,suchaslighthousekeeping,meal preparation,orhelpwithyardwork,toremain independent.Othersneedmoreintenseservicessuch asassistancebathing,dressing,eating,orfrequent medicaloversight.
Table43McHenryCountySeniors byTypeofDisability,2006 Number of TypeofDisability Seniors Sensorydisability 2,836 Physicaldisability 8,476 Mentaldisability 2,691 Selfcaredisability 2,280 Gooutsidehome disability 4,839
McHenryCountyseniorresidentsdiscussedhowseniorscannotliveonSocialSecurityalone becauseofhighhousingcosts.Manyofthemknewotherseniorswhoarehavingtroublefinding affordablehousingthatmeetstheirneeds.Evenwhenseniorhomeownershavetheirmortgages paidoff,theycanbecrushedbyrisingrealestatetaxes,accordingtoresidents.Whenhousing costsarehighandpeoplesincomesmustbestretchedthintocoverthesecosts,seniorsare forcedtomakesacrificestokeeparoofovertheirhead,including: Eatinglessoreatingcheaper,lessnutritiousfood Notfillingprescriptions,ortakinghalfdosestomakemedicationstretchfurther Notpayingutilitybills,leadingtoheatorelectricitybeingturnedoff Notengaginginanysocialaffairstosavemoneyorbecauseofembarrassment Notmakinganyhomerepairs,sothathousingbecomesdilapidatedandunsafe Movinginwithfamilyandsufferinglossofindependence Prematureinstitutionalizationinnursinghomes
Suchsacrificeshaveenormoushealth,safety,andfinancialconsequencesforseniorsandfor communities.Seniorswhoarestrugglingtokeeptheirhousingorwhoaremakingdramatic sacrificestodosoexperiencehighratesofstressthatleavesthemsusceptibletoavarietyof harmfuloutcomes,including: Beingmorepronetobecomingvictimsofelderabuse Fallingpreytofraudorscamspromisingquickfinancialfixes Becomingforgetfulandfrazzled,therebymissingappointments Heighteneddementia Deteriorationofphysicalhealth Lonelinessandisolation
Inthefuture,theseniorpopulationwillgrowassignificantnumbersofpeopleturn65.Ifthese retireesexperienceadramaticdeclineinincome,theywillbelessabletopayforhighhousing costs.Forseniors,itisparticularlyimportanttohavearangeofaffordablehousingoptionsthat allowthemasmuchindependenceasissafeateachstageoftheirolderyears.Thetypesof housingandservicesneededforseniorsinclude: Affordableindependentlivinghousing Affordableassistedliving Affordableapartments Nursinghomes Supportiveservicestohelpseniorsstayintheirownhomeslonger Caponrealestatetaxesandabatementsforseniorstohelpreducehousingcosts
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PeopleExperiencingHomelessness
Individualsexperiencinghomelessnessareadiversegroup.Theymayhaveexperienced domesticviolence,beimmigrants,orhavebeenpreviouslyincarcerated.Theymayhavemental healthissues,disabilities,substanceuse,andhealthproblems.Theymaybesinglemen,single womenwithchildren,families,oryouthagingoutofthefostercaresystem.Homelessproviders explainedthatcomplexmultilayerissuescancompoundtheeffectsofhomelessnessandmake findinghousingachallenge. TheUnitedStatesDepartmentofHousingandUrbanDevelopment(HUD)providesthefollowing 117 definitionofhomelessness: (1)anindividualwholacksafixed,regular,andadequatenighttimeresidenceand (2)anindividualwhohasaprimarynighttimeresidencethatis (A)asupervisedpubliclyorprivatelyoperatedshelterdesignedtoprovide temporarylivingaccommodations(includingwelfarehotels,congregateshelters, andtransitionalhousingforthementallyill) (B)aninstitutionthatprovidesatemporaryresidenceforindividualsintendedto beinstitutionalizedor (C)apublicorprivateplacenotdesignedfor,orordinarilyusedas,aregular sleepingaccommodationforhumanbeings. OnJanuary25,2007,between7pmand2am,thePointInTimeCensusoftheHomeless, mandatedbyHUD,tookplacenationwide.ThePointInTimeCountrepresentsthenumberof peoplehomelessonacoldwinternightanddoesnotrepresentthenumberofpeoplehomeless 118 duringthecourseofafullyear. Thecountincludesindividualsfoundinemergencyshelters andtransitionalhousingorfoundunshelteredonthedayofthecount,andwhofitHUDs definitionofhomelessness. Table44McHenryCountyPointInTimeHomelessCounts 10/15/2003 1/27/2005 1/25/2007 Emergencyshelter 52 56 64 Transitionalshelter 99 121 171 Unsheltered 92 16 18 TotalHUDHomeless 268 193 253 DoubledUp n/a n/a 11 Motels n/a n/a 18 Hospital/ER/Psychiatric n/a n/a 2 Ward TotalOtherHomeless n/a n/a 31 TOTALHOMELESS 268 193 284 1/24/2008 54 141 4 199 12 4 6 22 221
The2008PointInTimeHomelessCountinMcHenryCountyidentified221individualsas homeless,with199ofthemmeetingHUDsdefinitionofhomelessness(Table44).Anadditional 22individualsfoundtobehomelessdidnotmeetHUDsdefinition.Itisdifficulttocomparethese figurestothe2007countbecausethe2007countincludedallavailablebeds,notjustoccupied bedsasthe2008countdid. WhiletheMcHenryCountyPointInTimeCountattemptstocompensateforthelimitingHUD definitionofhomelessness,itislikelythattheotherhomelesscategoryislargely undercounted.TheNationalAlliancetoEndHomelessnessestimatesthatifthedoubledup categorythoselivingwithrelatives,friends,orothersbecauseofeconomicreasonsisadded tothefederaldefinitionofhomeless,anadditional126,900peopleintheChicagometropolitan
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119 regionwouldbeincludedintheestimateofnumberofpeoplethatarehomeless. Basedonthis estimateandMcHenryCountysproportionoftheregionspopulation,anestimated4,695people inMcHenryCountylivedoubledup.
ThehomelessprovidersestimatethatinMcHenryCountythereare: 729individualswithoutpermanenthousing 450individualsusingshelters 769individualsonwaitinglistsforpermanenthousing Whilenotdistinctgroups,thesenumbersindicatethatalargenumberofMcHenryCounty residentsarewithoutstablehousing. Therearespecificsubpopulationsthatcanbeparticularlyvulnerabletohomelessness,among themveteransandpeoplewithdisabilities.McHenryCountyishometo19,679veterans, 120 representing8.6percentoftheadultpopulation. Otherpopulationsmorevulnerableto homelessnessincludesingleparentfamiliesandsurvivorsofdomesticviolence. HomelessserviceprovidersinMcHenryCountyreportthat44percentoftheirhomelessclients haveanannualincomeoflessthan$15,000andanadditional31percenthaveincomesbetween $15,000and$30,000.Themajority(62percent)ofhomelessserviceproviderssaidthatthe demandfortheirservicesexceedstheiragencyscapacity. Theyalsoindicatedthatlargereconomictrendsaretheprimarycauseofhomelessnessinthe county.Thetoptworeasonsthathomelessserviceproviderscitedastowhypeopleare homelessare1)ashortageofaffordablehousing,and2)notenoughgoodpayingjobs. Anumberofconsequencesofhomelessnessandtheshortageofaffordablehousingaffectboth individualsandtheentirecommunity: Peopleresorttoextrememeasurestohavesheltersuchaslivinginplacesthatare overcrowded,unsafe,andsubstandard. Peoplemustmoveawayfromfamily,friends,andothersupportnetworkstofindhousing. Peoplehavedifficultypayingforotherexpensessuchaschildcareandtransportation. Preventivehealthcareislostandevencareneededforacuteconditionsisputoff individualandpublichealthsuffers. Otherservicesinthecounty,suchasemergencyrooms,aretaxed. Mentaldistress,depression,andbehavioralissuescanarise. Peoplestayinabusivesituationsratherthanleavesincethealternativeishomelessness. Othersleavebutreturntoabusivesituationsratherthancontinuebeinghomeless. Substanceusecanescalateorrelapsescanoccur. Peoplewhoarehomelessbecomemorevulnerabletobeingvictimsofcrimes. Peoplewhoarehomelessmayresorttocriminalactivitytogetby. Itbecomesdifficulttokeepajoborfindonesincepeopledonothaveapermanent addressorastableplacetogetreadyforjobinterviewsorprepareforeachdayswork. Peoplescreditsuffersandmakesitmuchmoredifficulttofindstable,securehousing theycanafford. Childrensufferfromaninterruptioninroutine,andtheirliveslackstability.School attendancebecomeserraticandperformancesuffers.
Endinghomelessnessisacomplexendeavor,onewhichmanydedicatedpeopleinMcHenry Countyhaveundertaken.Thoughtherearemostcertainlyotherconsiderations,atamostbasic level,theremustbeanadequatestockofaffordablehousingandarangeofhousingoptionsthat satisfytheneedsofpeopleexperiencinghomelessness.Theprovidersandresidentsagreeitis particularlyimportantthathousingforpeoplewhohaveexperiencedhomelessnessbenear transportation,services,andemploymentcentersinthecounty.Homelessserviceproviders
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identifiedtypesofhousingandservicesthatmustbepresentforpeopleexperiencing homelessness: Safe,securesheltersforindividuals,families,andyouththatareavailableyearround Transitionalhousingwithsupportiveservices Permanent,supportivehousing Affordableapartments Housingvouchers/rentalassistance
Conclusion
ThescopeofeconomicandserviceneedsinMcHenryCountyhighlightstheneedforhousingthat isbothaffordableandthatmeetspeopleshousingsupportneeds.AmongtheMcHenryCounty populationsdiscussedinthischapterarethosewhoareconsideredmosteconomicallyvulnerable withthemostpressinghousing/housingsupportneeds: Table45ASnapshotofMcHenryCountysMostVulnerableResidents Population Definition Verylowincome allhouseholdswithincomesbelow$35,000 households Poorseniors peopleage65andoverwhohaveincomesbelowthe officialpovertyline Economically calculatedbytakingnationalprevalenceratesfor vulnerableadultswith peoplewithseverementalillnesswhoarealsoeligible severementalillness forgovernmentassistance(thisindicatestheyarelow income) Economically adultswithadisabilitywhoarealsoreceiving vulnerableadultswith SupplementalSecurityIncome(thisindicatestheyare aseriousdisability lowincome) Individuals thenumberofindividualsfoundtobehomelessduring experiencing thelatestPointInTimeHomelessCount homelessness
Number 22,331
1,185 1,104
915
221
Notes:Itcanbeassumedthatpoorseniors,individualsexperiencinghomelessness,andeconomicallyvulnerable adultswithseverementalillnessandadultswithseriousdisabilityarelikelysubpopulationsoftheverylowincome householdcategory.Foradditionaldetailonhowtheverylowincomegroupiscalculated,seechapter4.
TherearecertainlyadditionalfamiliesandindividualsinMcHenryCountythatstruggletofind housingtheycanafford.Table45reflectsthosewiththemostpressingaffordablehousingand housingsupportneedsandisthereforelikelyaveryconservativeestimateofneed.
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Chapter4:
AvailabilityofHousingforMeetingtheNeed
AsindicatedinChapter3,awiderangeofhousingoptionsareneededforthediversegroups whoneedaffordablehousinginMcHenryCounty.HereexistinghousingoptionsforMcHenry Countyresidentswithfinancialand/orsupportneedsareidentified.Itisdifficulttodevelopa comprehensiveinventoryofexistinghousingandsupportoptionsandevenmoredifficultto quantifyhowmanypeopleneedeachtypeofhousingsincepeoplemayhavemorethanone needthatmakesthemeligibleforspecializedhousing.Thereforethischapterexploresa continuumofstrategiesforaddressinghousingandservicechallenges,ratherthanfocusonthe particularpopulationsserved.Availableevidencesuggeststhatthecurrenthousingresourcesin McHenryCountyparticularlyintheprivatemarketandforpeoplewithloworverylowincomes, andthosewithseverementalillnessesanddisabilitiesfallfarshortofmeetingtheneed.
IncomeGroups
Programsusuallydetermineeligibilityforsubsidizedunitsandhousingassistancebysetting targetincomegroupsdefinedbypercentagesoftheareamedianincome,asfollows: Lowincome:householdswithincomesatorbelow80%ofthemedianincome Verylowincome:householdswithincomesatorbelow50%ofthemedianincome Extremelylowincome:householdswithincomesatorbelow30%ofthemedianincome
Table46McHenryCountyIncomeGroups IncomeGroup Percentageof AsaPercentof MedianIncome MedianHousehold Income$71,600 MedianIncome Below100% $71,600 LowIncome Below80% $57,280 VeryLowIncome Below50% $35,800 ExtremelyLowIncome Below30% $21,480
RoundedtoUseful IncomeThreshold $75,000 $50,000 $35,000 $20,000
Complexcalculationsareusedtodeterminethesehouseholdincomes,usingmultipledata sourcesandcostoflivingindexes.Maximumincomelevelsalsovarybyfamilysize.Forthe purposesofthisdiscussion,asimplifiedversionoftheofficialU.S.DepartmentofHousingand UrbanDevelopment(HUD)areamedianincomesisused(Table46).Percentagesofthe2008 Chicagoareamedianhouseholdincome,$71,600asdefinedbyHUD,arecomputedandthen roundtothenearestusefulincomethresholdbasedonavailableincomedatasources. Sincethefiguresderivedfromroundingtheincomeslevelsforthethreelowincomegroupsis lowerthantheactualpercentagesofmedianhouseholdincome,thisstudysestimatesofneed arelikelytobeconservativeestimates,particularlyforthelowincomegroup(below80%)for whichincomewasroundeddownsubstantially.Further,HUDdefinitions,andconsequently eligibilityformostfederalandstatehousingprograms,varybyfamilysize,buttheadditional layerofdetailistoocomplextoaddintothisdiscussionhowever,aschapter2makesclear, thereisashortageoffamilysizeappropriaterentalunits(threeandfourbedrooms)inthe county,andunitsizeconsiderationsmustbetakenintoaccountwhenplanningforadditional affordablehousinginMcHenryCounty.
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Togethertheselowincomegroupsmakeupwhatarerefertohereaseconomicallyvulnerable McHenryCountyfamilies.Duetothehighcostofhousinginthecountyandthelackofunitsthat theycanafford,economicallyvulnerablefamiliesarethreatenedbyhighhousingcostburden andevenhomelessness.
PrivateMarketAffordableHousing
ForsomeMcHenryCountyresidents,affordabilityistheirchiefhousingproblem.These individualsandfamiliesdonotneedhousingthatmayincludesupportservicesrathertheyonly needhousingthatfallswithintheirbudget.HereweexaminetheMcHenryCountystockof privatemarkethousingaffordabletofamiliesatvariousincomethresholds. HomepriceshaverisendrasticallyinMcHenryCounty.Ninetyonepercentofmunicipaland townshiprepresentativesindicatethathomepricesintheircommunitieshaverisenorrisen dramaticallyoverthepast5years.92.3percentofMcHenryCountyhousingindustryexperts reportthathomepricesinthecountyhaveriseninthepast5yearsandpredictthathomeprices willcontinuetoriseinthenext5to10years.Housingpricedataconfirmtheseobservations. From2000to2006themedianvalueofahomeinMcHenryCountyrosefrom$167,400to 121 $252,700anincreaseof$85,300. Thecurrenthousingmarketconditionshavedeterred homevaluegrowth,butthistrendmaywellreverseinthefutureandseehomevaluesonce againclimbing.Nonetheless,theslowdownhasnotresolvedtheseriousaffordabilityconcerns thatexistforasubstantialportionoftheMcHenryCountypopulation. SeventyfivepercentofMcHenryCountyhousingindustryexpertsreportthatrentalpricesinthe countyhaveriseninthepast5years,andallpredictrentalpriceswillcontinuetoriseorrise dramaticallyinthenext5to10years.TheFairMarketRent foratwobedroomapartmentin 122 McHenryCountyhasrisenfrom$757in2000to$944in2008anincreaseof$187. Becauseoftherisingcostofhomes,land,andrentalunitsinMcHenryCounty,themajorityof housingindustryexpertsandprovidersindicatethatthereisnotenoughaffordablehousingto meetthedemandinthecounty: 100percentoflocalhomelessserviceprovidersbelievethatthereisnotenough affordablehousinginMcHenryCounty. 91percentoflocalmentalhealthserviceprovidersbelievethereisnotenoughaffordable housinginMcHenryCounty. 67percentoflocalhousingindustryexpertsbelievethatthecurrenthousingstockdoes notmeettheneedsandfinancialcapabilitiesofthepeoplewhoneedandwishtolivein McHenryCounty.
Todetermineowneraffordability,asimplemeasureisusedthatassumesnationalaveragesfor annualutilitycosts,taxes,insurance,andinterest.Italsoassumesthathousingcostsare affordabletoafamilyifthefamilypaysnomorethan30percentoftheirincometowardhousing costs,includingmortgage,insurance,andutilities.Usingthesemeasures,afamilycanafforda 123 mortgagethatisapproximately2.9timestheirannualincome. ***
TheU.S.DepartmentofHousingandUrbanDevelopments(HUD)estimateoftheactualmarketrentforanon luxuryapartmentintheconventionalmarketplace.Everyyear,HUDdevelopsandpublishesFairMarketRentsfor everymetropolitanarea. *** Thismeasuredoesnotfactorinafamilysdebtburdenordownpayment,bothofwhichareconsideredby mortgagelenders.Afamilycanaffordamortgagethatis2.9timestheirincome,soiftheyhaveasubstantialdown payment(whichislesslikelytodaythanafewdecadesago),theywillbeabletoaffordahomeatahigherprice point.
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Table47SupplyofPrivateMarketAffordableOwnerHousing,2006
AnnualHousehold IncomeRanges Numberof McHenryCounty Householdsin IncomeRange Affordable Mortgage PriceRange NumberofOwner UnitsinAffordable MortgagePrice Range Approximate GapBetween Needand Supply
Medianincome ($50,000to $75,000) Lowincome ($35,000to $50,000) Verylowincome ($20,000to $35,000) Extremelylow income (below$20,000)
20,836
$145,000to $217,500
12,591
$101,500to $145,000 $58,000to $101,500 Under $58,000
34,913($150,000to $250,000) 15,888($150,000to $200,000) 7,459($100,000to $150,000) 1,614($60,000to $100,000) 193(under$60,000)
Nogapto 4,948
5,132
12,367
10,753
9,964
9,771
Table47showsthatthereisashortageofaffordableownerhousingatnearlyeveryincome level.Theownerhousinggapismostsevereattheextremelylowandverylowincomeranges: thereisnearlyacompletelackofaffordableownerhousingforextremelylowincomehouseholds andthesituationisnotmuchbetterforverylowincomeMcHenryCountyhouseholds. Itisprobablethathomeownershipiseithernotdesiredornotfeasibleforanumberofthese households,particularlythoseintheverylowandextremelylowincomegroups.These householdsmustrent.Todeterminerentalaffordabilitythesameruleappliesthathousingis affordablewhenitconsumesnomorethan30percentofahouseholdsincome.Tocalculatethe maximummonthlyhousingcost,themaximumannualincomeamountforeachincomegroupis multipliedby30percentandthendividedby12. Table48SupplyofPrivateMarketAffordableRentalHousing,2006 AnnualHousehold Numberof Maximum NumberofRental IncomeRanges McHenry Affordable UnitsBelow County Monthly Affordable Householdsin RentPrice MonthlyPrice IncomeRange Medianincome 20,836 $1,250to 3,645($1,250to ($50,000to$75,000) $1,875 $2,000) Lowincome 12,591 $875to 4,723($900to ($35,000to$50,000) $1,250 $1,250) Verylowincome 12,367 $500to 6,188($500to ($20,000to$35,000) $875 $900) Extremelylowincome 9,964 Under$500 1,792(under$500) (below$20,000)
Note:Therentdatausedheredonotincludeutilitycosts.
Approximate GapBetween Needand Supply 17,191 7,868 6,179 8,172
Table48outlinesthesupplyofaffordablerentalhousing.Thereisashortageofaffordablerental housingforeachincomegroupinMcHenryCounty.Householdswithincomesbetween$50,000 and$75,000areabletopaybetween$1,250and$1,875amonthforrent.Duetoasmallrental markettobeginwith(thereareonly17,006rentalunitsinMcHenryCounty)thereisashortage ofrentalunitsevenforthisincomegroup.
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Thegapbetweenneedandsupplyintherentalmarketisperhapsofgreatestconcernamongthe verylowandextremelylowincomesgroupsinMcHenryCounty,sincetheyaretheleastlikely tobeabletopurchaseahome.Themaximumrentaffordabletoahouseholdmaking$35,000is $875,butthereareonly7,980rentalunitsinMcHenryCountywithrentsbelow$875.Extremely lowincomehouseholdscanonlyafford$500amonthinrent,butthereareonly1,792unitswith rentsbelowthisamount.Itisimportanttonotethatunitsaffordabletopeoplewithextremely lowincomesdonotalwaysgetrentedbypeoplewithextremelylowincomesmanymaybe rentedbypeoplewithhigherincomes,sincetherearefew,ifany,mechanismsinplacetoensure suchunitsgotocertainincomegroups.

124 EstimatessuggestthattheaveragehourlywageofarenterinMcHenryCountyis$10.80. Workingfulltimeallyearatthiswage,themaximumrentthishouseholdcouldafford,without spendingover30percentoftheirincomeonhousingcosts,wouldbe$562amonth.Aworker wouldneedtomake$18.15anhourtoaffordatwobedroomapartmentattheFairMarketRent of$944inMcHenryCountywithoutoverextendingfamilyresources.
Table49illustrateshowmuch McHenryCountyworkersin variouscommonoccupations canaffordtospendontheir housingcosts.Retail salespeopleandchildcare workerswillhaveadifficulttime findinganaffordablerentalunit inthecounty.Noneofthe variousworkerscouldafforda homeatthemediancounty priceof$252,700.
Table49HousingAffordablebyCommon nd Occupations,2 Quarter2007 Median Annual Mortgage Rent Occupation Affordable Affordable Wage Teachersecondary $47,518 $137,802 $1,188 Policeofficer $53,844 $156,148 $1,346 Retailsalesperson $21,955 $63,670 $549 Childcareworker $18,641 $54,059 $466 Constructionlaborer $53,643 $155,565 $1,341 Registerednurse $67,542 $195,872 $1,689
TheshortageofunitsforeachoftheincomethresholdsindicatesthatmanyMcHenryCounty householdsareoverextendingthemselves,payingover30percentoftheirincometoward housing.36.4percentofallownersinthecountyarepayingover30percentoftheirincome 125 towardtheirhousingcosts. Theissueisparticularlysalientamonglowerincomehomeowners withamortgage.Overthreequarters(77.3percent)ofownerswithannualincomesunder $35,000and58.9percentofownersinthe$35,000to$49,999incomerangearecostburdened. HighrentsinMcHenryCountymeanthat54.3percentofallrenterhouseholdsarepayingover 30percentoftheirincometowardhousing,and25.7percentarepayingoverhalftheirincome 126 towardhousing. Rentburdenhasskyrocketedsince2000,whenonly37.2percentofrenters inMcHenryCountywerepayingover30percentoftheirincometowardhousingcosts,and14.3 127 percentwerepayinghalftheirincometowardhousingcosts. Sincetherentdatausedheredo notincludeutilitycosts,itisverylikelythatactualrentburdenisevenhigher. Whenfamiliesarecostburdened,theybecomemuchmoresusceptibletoevictions,foreclosures, takingonotherdebt,andhomelessnessbecausejustonecrisis(jobloss,illness,divorce)that leadstoincomelosscanputrentormortgagepaymentsoutofreach. AnoverwhelmingnumberofhousingindustryexpertspointoutthatMcHenryCountywillneed moreaffordablehousinginthenext5years.Withcurrenteconomicconditions,including decliningwagesandincomeandhigherunemployment,housingexpertsandserviceprovidersin McHenryCountyforecastthatmorepeoplewillbefinanciallystressed,andwhatlittlesupplyof privatemarketaffordablehousingisavailablewillfallevenfurthershortofmeetingtheneed.
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128 Thistrendisalreadyapparent:
Themedianvalueofowneroccupiedhousinghasrisen51.0percentsince2000 Themediangrossrentofrentalunitshasrisen24.7percentsince2000
While Themedianhouseholdincomehasdeclinedby$6,498(8.3percent)since2000and Medianearningshavedeclinedby$4,617(12.1percent)since2000.
Summary:OwnerandRentalPrivateMarketAffordableHousing
Thegapbetweenneedandthecurrentsupplyofaffordablehousingintheprivatemarket indicatesthatthousandsofeconomicallyvulnerableMcHenryCountyfamiliesarestretching themselvesthin,payingtoomuchoftheirincomestowardhousingcosts.Thisleaveslessmoney topayforothernecessitiessuchastransportation,medication,schoolsuppliesandfees,health care,food,andclothing.Thegapatvariousincomethresholdsisstark: ExtremelyLowIncomebelow$20,000:Thereare1,985ownerandrentalunitsaffordableto the9,964householdsinthisgroupashortageof7,979. VeryLowIncomebetween$20,000and$35,000:Thereare7,802ownerandrentalunits affordabletothe12,367householdsinthisgroupashortageof4,565units. LowIncomebetween$35,000and$50,000:Thereare12,182ownerandrentalunits affordabletothe12,591householdsinthisgroupashortageof409units. MedianIncomebetween$50,000and$75,000:Therearebetween19,533and38,558rental andownerunitsaffordabletothe20,836householdsinthisgroup. Onlywhenincomenears $75,000doesthesupplyofhousingbegintomatchthefinancialcapabilitiesofMcHenryCounty families. Itisimportanttoagainnotethatunitsaffordabletopeoplewithextremelylowincomesdonot alwaysgetrentedbypeoplewithextremelylowincomesmanymayberentedbypeoplewith higherincomes,sincetherearefew,ifany,mechanismsinplacetoensuresuchunitsgoto certainincomegroups.
ResourcesSupportingAccesstoandDevelopmentofAffordableHousingand AffordableHousingwithHousingSupports
Thissectionreferstounitsthatarepubliclysupportedorprivatemarkethousingthathasbeen constructedorissupportedwithsubsidiesfromthefederal,state,and/orlocalgovernment. Later,affordablehousingthatincludeshousingsupports,suchascasemanagementorskilled nursingcare,isdiscussed.
PublicHousingInventory
Publichousingprogramscanserveabroadgroupofindividualsandfamiliesincludingseniors, peoplewithdisabilitiesorspecialneeds,singleparents,andothers.Therearemanytypesof
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housingassistance,someofwhicharediscussedinthefollowingsection,butthetwomaintypes includehousingchoicevouchers(formerlyknownastenantbasedSection8)andpublichousing sites.TheMcHenryCountyHousingAuthorityisthelocalentitythatadministershousingchoice vouchersandoperatespublichousingsites. Since2000,publichousingauthoritiesacrossthenationhavewitnessedcontinuingdeclinesin fundinglevelsforhousingassistanceprograms.Thesefundingdeclines,alongwithnewrules thataffecthowpublichousingauthoritiesoperateandfundtheirprograms,haveresultedinlong waitinglistsforhousingassistance. Section8HousingChoiceVouchers Section8housingchoicevouchersprovidedirectrentalassistancetorenterhouseholdstoenable themtofindtheirownhousingintheprivatehousingmarket.Ahousingchoicevouchermoves withthefamily,whichmeansthattheygetanofficialdocumentfromHUDthatallowsthemto moveintoanyqualifiedbuildingandpayonly30percentoftheirincomeforrent.Aqualifiedunit isonethatmeetscertainhousingqualitystandardssetbyHUDandhasamonthlyrentno greaterthanthelocalFairMarketRent(FMR)setbyHUD.Ifthefamilymoves,thevoucher(and thereforethesubsidy)moveswiththemforaslongastheyqualifyforassistance.Many landlordsdonotwanttobebotheredwiththepaperworkandHUDrequirementssosome voucherholdingfamilieshaveadifficulttimefindingalandlordwhowillacceptthem. TheMcHenryCountyHousingAuthorityoffers947housingchoicevouchers.Vouchersin McHenryCountyareforthreebedroomunits,andaresetattheFMRforathreebedroomunit, 129 $1,143. ThewaitinglistforvouchersasofJune3,2008,wasopen,andhasgrownby41 percentbetween2003and2008.Therearenow2,035householdsonthewaitinglist,589more 130 than5yearsago.
131 TargetedIncomeGroups: Lowincomeandextremelylowincome(75percentofthevouchersmustgotoextremelylow incomehouseholds)
PublicHousing PublichousingwascreatedbytheHousingActof1937toprovidedecentandsaferental housingtoeligiblelowincomefamilies,theelderly,andpersonswithdisabilities.Publichousing 132 isfundedbyHUDandhassufferedfromrecurringcutsinthefederalbudget.

133 TheMcHenryCountyHousingAuthoritycurrentlyoperates23unitsofpublichousing. Asof June5,2008,70householdsareonthewaitinglistforapublichousingunitandtwounitswere vacantandwaitingtoberehabilitatedbeforenewresidentscanmovein.Thewaitinglistis 134 currentlyopen.
Residentsinvolvedinthisstudycommentthattheincomerequirementsforhousingassistance areunrealisticsopeopleenduplivinginsubstandardhousingbecausetheycannotgetinto governmentassistedhousing.Oneresidentexplainedthathousingassistancegetsreducedjust asincomestartstoriseresultinginaviciouscyclewhenpeoplegetalittleraiseinpay,rent pricesgoupmakingitdifficulttogetahead.Someresidentshadhousingvouchershowever, mostresidentstalkedaboutlongwaitingliststoreceivegovernmentassistance.Oneresident disclosedthatshewasonawaitinglistfor2yearsandthenasked,Wheredoyouwantustogo forthose2years?

135 TargetedIncomeGroups: Lowincomeandextremelylowincome(40percentofallnewadmissionsmustbeextremelylow income)
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OtherDirectHousingAssistance
InadditiontothedirecthousingassistanceprovidedbytheMcHenryCountyPublicHousing AuthorityviapublichousingandSection8housingchoicevouchers,thereareanumberofother typesofdirecthousingassistanceavailabletopeopleinMcHenryCounty. RentalAssistance ProjectBasedSection8 TheprojectbasedSection8programisafederallyfundedprogramthatmakesrental unitsaffordabletolowincomefamilies.Inthisprogram,theownerreceivesamortgage loanwithbelowmarketrateinterestfromaqualifiedlenderandinreturnagreestokeep aspecifiednumberofunitsavailableforlowandextremelylowincometenants.The projectbasedsubsidymeansthefederalgovernmentpromisestopaytheownerpartof therentforeachunitthatisdesignatedforassistanceandoccupiedbyaqualifying tenant.Inthesebuildings,thetenantsonlypay30percentoftheirincomeforrent.The subsidycontractisgenerallyforaperiodof40years.However,thesubsidyisattachedto theunit,sotenantscannotcontinuetoreceiveassistanceiftheymove.Theunitremains 136 affordableforthenextqualifiedfamilythatmovesin.
137 In2007,therewere596projectbasedSection8unitsinMcHenryCounty. Thefederal governmenthasnotfundedanynewSection8projectsinyears,andcurrentlandlords arenotrequiredtostayintheprogram.Thecontractsfor392projectbasedSection8 unitsinMcHenryCountyareduetoexpirebefore2012,thoughHUDisgenerallywilling toextendthesubsidyfortheseunitsonayeartoyearbasis.Manylandlordsare exploringothermoreprofitableoptionsfortheirbuildingsandMcHenryCountymayseea reallossofsubsidizedunitsinthenextfewyears. 138 TargetedIncomeGroups: Lowincomeandextremelylowincome(40percentofnewadmissionsmustbeextremely lowincome)
IllinoisRentalHousingSupportProgram TheIllinoisRentalHousingSupportProgramwascreatedbylawin2005andinvolvesa 139 dedicatedfundheldbytheIllinoisHousingDevelopmentAuthority(IHDA). The programisdesignedtoproviderentalassistancetotheverylowestincomegroups. Nonprofitgroupsandpublichousingauthoritiesthroughoutthestatereceivegrantsto supplysubsidiestolandlordswhoprovideaffordablerentalunitstoqualifiedtenants. IHDAhasbudgeted$12millioningrantsforthefirstyeartobereleasedto14local administeringagenciesinbothurbanandruralcommunitiesinthestate.TheMcHenry CountyPublicHousingAuthorityisMcHenryCountyslocaladministeringagencyandhas requestedfundingfor30unitsthroughtheprogram.AsofJune2008,theywerestill 140 awaitingconfirmation.
141 TargetedIncomeGroups: Extremelylowincome(Halfofthesubsidymustbeprovidedforthosewithincomes below15%ofthemedianincome)
HomelessPreventionAssistancePrograminMcHenryCounty Homelesspreventionassistanceisstateadministeredandlocallydistributedbyselected 142 membersoftheMcHenryCountyContinuumofCareorganization. TheHomeless PreventionAssistanceProgramisavailabletopersonsatriskofbecominghomelessand providesfinancialassistancetobeusedforissuesrelatingtohomelesspreventionsuch asapartmentrent,securitydeposit,andutilities.ThisprogramhelpsMcHenryCounty housingandserviceproviderscombathomelessnessbeforeitbegins.
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143 TargetedIncomeGroups: Familiesmustdemonstrateatemporaryeconomiccrisisbeyondthehouseholdscontrol thathasputtheminimmediatedangerofeviction,foreclosure,orhomelessness.
HomeownershipProgramsinMcHenryCounty TheCorporationforAffordableHomesofMcHenryCountysFirstTimeHome BuyerProgram TheCorporationforAffordableHomesofMcHenryCounty(CAHMCO)seekstoexpandthe supplyofaffordablehousinginthecounty.CAHMCOadministersafirsttimehomebuyer programwhichassistspeoplewithlimitedincomesbyprovidingmoneyfordown paymentsinconnectionwiththepurchaseofhomes.CAHMCOalsoownsandmanages eightaffordablerentalunitstargetedatpeoplewithverylowincomes.

144 TargetedIncomeGroups: LowIncome
HabitatforHumanityofMcHenryCounty HabitatforHumanityofMcHenryCountyisalocallyrunaffiliateofHabitatforHumanity International.HabitatforHumanityofMcHenryCountyworksinpartnershipwithpeople inneedtobuildmodestandaffordablehousing.Thehousesaresoldatnoprofitandwith nointerest.Volunteersprovidesomeofthelabor,andindividualandcorporatedonors providemoneyandmaterialstohelpbuildHabitathouses.Partnerfamiliesthemselves investhundredsofhoursoflabor,called"sweatequity,"intothebuildingoftheirhomes andthehomesofothers.TheirmortgagepaymentsgointoarevolvingFundfor Humanitythatisusedtobuildmorehouses.Since1996,HabitatforHumanityof McHenryCountyhasbuilt14housesandiscurrentlyworkingonits15thhouse.
145 TargetedIncomeGroup: Lowincome(between40%and50%oftheareamedianincome)
Whilehomebuyerprogramsprovideacriticallinktoaffordablehousingforsomefamilies,there isconcernthattheyexcludethemosteconomicallyvulnerablefamilies.Residentsatthe roundtablesexpressedfrustrationwithsomehousingprogramssayingthatevensomeservices intendedforthepoorareactuallycateringtoamoremoderateincomegroup.Oneresidentsaid shewasonawaitinglistfor2yearsforahomeownershipprogramonlytofindoutthatshedid notmeettheminimumincomerequirement.Sheexpressedfrustrationatthelackofprograms forthemosteconomicallyvulnerablefamiliesinMcHenryCounty.
OtherFederalandStateAffordableHousingSubsidies
Inadditiontothedirecthousingassistancedescribedabove,thereareotherfederal,state,and localaffordablehousingresourcesthatsubsidizeaffordablehousingdevelopment.Thereare23 developmentsinMcHenryCountywithacombinationoffederalandstatesubsidiesthatprovide atotalof1,174affordableunitsforeconomicallyvulnerableMcHenryCountyfamilies. Itisimportanttonotethatmostdevelopmentswithsubsidizedunitsrelyonacombinationof resourcestofinancetheirprojects.Therefore,itisnotpracticaltoquantifyunitsbyfunding sourcesincetherewouldbemuchoverlap.Thissectionoutlinestheprogramsandresourcesthat subsidizeunitsinMcHenryCounty.Mostfederalprogramdescriptionshavebeentakenfromthe NationalLowIncomeHousingCoalitions2008AdvocatesGuidetoHousingandCommunity DevelopmentPolicyandstateresourcedescriptionshavebeentakenfromtheIllinoisHousing Roundtables2008AffordableHousingBriefingBook.
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FederalResources Section202SupportiveHousingfortheElderly TheU.S.HousingandUrbanDevelopments(HUD)Section202program,established undertheHousingActof1959,providescapitalandoperatingfundstononprofit organizationsthatdevelopandoperateseniorhousing.ItisHUDslargestdirectlyfunded constructionprogram. Theprogramhastwocomponents.Thefirstprovidescapitaladvancefundstononprofit organizationsfortheconstruction,rehabilitation,oracquisitionofsupportivehousingfor seniors.ThesecondprovidesrentalassistanceintheformofProjectRentalAssistance Contracts(PRAC)tosubsidizetheoperatingexpensesofthedevelopments.Residents payrentequalto30percentoftheiradjustedincomeandPRACmakesupthedifference betweenrentalincomeandoperatingexpenses. Infiscalyear(FY)2008,Congressappropriated$629millionfornewSection202 constructionandprojectrentalassistance,whichwillprovidefewerthan4,000newunits nationwide,$20millionforSection202predevelopmentgrants,around$60millionfor servicecoordinators,and$24.8millionforassistedlivingconversionsandemergency capitalrepairgrants.ThePresidentsFY2009budgetrequestincludesatotalof$540 millionforthenewconstructionprogram,PRACfundsandrenewals,servicecoordinators, andassistedlivingconversions,whichtogetherisexpectedtoprovide2,400newunits acrossthenation.
146 TargetedIncomeGroups: Lowincomeseniors(atleast62yearsofage)
Section811SupportiveHousingforPersonswithDisabilities HUDsSection811programprovidesfundingtononprofithousingdevelopersseekingto buildandoperatesupportivehousingforlowincomehouseholdsthathavememberswith themostseveredisabilities.Aseparateandmuchsmallertenantbasedcomponentis intendedtoprovidesupportivehousingthroughunitsleasedintheprivaterentalmarket. CurrentSection811lawandregulationsmakeitexceedinglydifficultforSection811 developerstoblendSection811capitaladvancefundingwithothersourcesoffinancing. Asaresult,theSection811programisrarelyusedtocreatesupportivehousingunits thatareintegratedwithotheraffordablehousingpropertiesamodelnowpreferredby anincreasingnumberofstates.AlthoughaSection811MixedFinanceregulation publishedbyHUDin2005theoreticallypermitsSection811fundingtobeusedfor propertiesfinancedwithfederalLowIncomeHousingTaxCredits(LIHTC),bureaucratic barrierstothisapproachhaveyettoberesolvedbyHUDandtheU.S.Departmentofthe Treasury. DespiterepeatedproposalsmadebyHUDtocutSection811fundingby50percent, appropriationlevelshaveheldsteadyat$237millionoverthepast3years.However,the programproducesfewerunitseachyearduetorisingcostsandfundsbeingdiverted awayfromdevelopmentandtowardthesmallvouchercomponentofthisprogram.
147 TargetedIncomeGroup: Verylowincome
Section515RuralRentalHousing UndertheSection515program,theU.S.DepartmentofAgriculture'sRuralDevelopment 148 armmakesdirectloanstodevelopersofaffordablemultifamilyrentalhousing. Funds maybeusedtoconstructnewhousingortopurchaseandrehabilitateexistingstructures forrentalpurposes.Asubstantialshareofrecentappropriationsisusedtomaintain
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existingpropertieswithSection515mortgages.Productionofnewunitshasalmost ceased,andmanyexistingunitsaredeterioratingphysicallyorareindangerofleaving theaffordablehousingstockduetodrasticallyreducedfunding. InFY1994,theprogramproduced11,542newrentalunits,butinFY2006only486units werefinanced.FundingfortheSection515programhasdroppedfrom$540millionin FY1994tojust$100millioninFY2006,andforthelastfewyears,theAdministration's budgetshaveproposedtoreduceSection515fundingevenfurther. TherearethreeapartmentcomplexesinMcHenryCountythatoperatewiththissubsidy: GreentreeApartments,SilvertreeApartments,andSilvertreeIIApartments.Therearea 149 combinedtotalof62units,30ofwhicharetargetedspecificallyatseniors.
150 TargetedIncomeGroups: Verylow,low,andmoderateincome(nearlyallinSection515housingareverylow income)
Section221(d)(3)andSection211(d)(4)BelowMarketInterestRateMortgage 151 InsuranceProgram Section221(d)(3)and221(d)(4)programsinsuremortgageloanstofacilitatethenew constructionorsubstantialrehabilitationofmultifamilyrentalorcooperativehousingfor moderateincomefamilies,elderly,andthehandicapped.SingleRoomOccupancy(SRO) projectsmayalsobeinsuredunderthissection. Section221(d)(3)andSection221(d)(4)insurelendersagainstlossonmortgage defaults.Section221(d)(3)isusedbynonprofitsponsorsandSection221(d)(4)isused byforprofitsponsors.Bothprogramsassistprivateindustryintheconstructionor rehabilitationofrentalandcooperativehousingformoderateincomeanddisplaced familiesbymakingcapitalmorereadilyavailable.Theprogramallowsforlongterm mortgages(upto40years)thatcanbefinancedwithGovernmentNationalMortgage Association(GNMA)MortgageBackedSecurities.
152 TargetedIncomeGroup: Moderateincome(upto95%ofthemedianincome)
CommunityDevelopmentBlockGrant TheCommunityDevelopmentBlockGrant(CDBG)beganin1974andisadministeredby 153 HUD. Theprogramprovidesfundstostatesandcommunitiestoimprovehousing,the livingenvironment,andeconomicopportunitiesforpersonswithlowandmoderate incomes.CDBGfundscanbeusedforawidearrayofactivities,includinghousing rehabilitation(suchasloansandgrantstohomeowners,landlords,nonprofits,and developers)newhousingconstructionbycertainneighborhoodbasednonprofitsdown paymentassistanceandotherhelpforfirsttimehomebuyerspurchasinglandand buildingsconstructingorrehabilitatingpublicfacilitiessuchassheltersforpeople experiencinghomelessnessorvictimsofdomesticviolenceandmakingbuildings accessibletotheelderlyanddisabled,amongothers. Thisprogramhasbeenthreatenedinrecentyearsbyproposalstodrasticallychangeand cutbacktheprogramsoperations.InFY2008,CDBGreceivedanappropriationof$3.593 billion,adecreasefromFY2007sfundingof$3.711billion.McHenryCountyreceived $1,301,979CDBGfundsinFY2008(aportionofwhichcouldbeusedforaffordable 154 housingdevelopment).
155 TargetedIncomeGroups: Lowandmoderateincome
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HOMEInvestmentPartnershipsPrograms TheNationalAffordableHousingActcreatedtheHOMEInvestmentPartnershipsProgram (HOME)in1990toexpandthesupplyofdecent,affordablehousingforlowerincome people.HOMEisafederalblockgranttostatesandcertainlocalitiesthatusethefundsto provideaffordablelowincomehousing.HOMEisthemostsignificantsourceoffederal fundingthatcitiesandcountieshaveattheirdisposaltomeetlocalhousingneedsand canbeusedforavarietyofrentalandhomeownershipactivitiessuchasconstructing newunits,rehabilitatingexistingunits,offeringdownpaymentassistanceandproviding tenantbasedrentalassistance. ThereareanumberofconcernswithHOMEincludingthreatenedfundingcutsanda currentemphasisonhomeownershipthatmaymovethesefundsoutofreachforpeople withdisabilities.InFY2008,Congressappropriated$1.629billionforHOME,lessthanhas beenprovidedsinceFY2004.McHenryCountywasappropriated$479,739inHOME 156 funds.
157 TargetedIncomeGroups: Whenusedforrenters,atleast90percentofunitsmustgotopeoplebelow60%of theareamedianincome.Theother10percentcangotothoseupto80%ofthearea medianincome. IfprojecthasfiveormoreHOMEunits,20percentmustgotothosewithverylow incomes(below50%oftheareamedianincome). Forhomeownersorpeoplewhowillbehomeowners,allfundsmustgotothosewith lowincomes(below80%oftheareamedianincome).
LowIncomeHousingTaxCreditProgram TheLowIncomeHousingTaxCredit(LIHTC),startedin1986,isdesignedtoexpandthe supplyofaffordablehousingbyencouragingprivateinvestmentintosuchhousing.The encouragementcomesintheformofataxcredittotheinvestors.Investorsprovidecash orequitytothedeveloperofaprojectand,inreturn,receiveadollarfordollar reductionintheirfederalincometaxes.Thisinfusionofequityreducestheamountof moneyadeveloperhastoborrow,therebyloweringcostsandallowingforlowerrents. TheLIHTCcanbeusedtosupportavarietyofprojectsincludingbothmultifamilyand singlefamilyhousing,newconstructionandrehabilitation,andisoftenusedtosupport housingfortheelderlyanddisabled.LIHTCcreditscanbe,andalmostalwaysare, combinedwithfundingfromotherfederalandstateprograms. Whiletheprogramhasbeenquitesuccessfulincreatingaffordableaccessibleunitsin Illinois,itisnotwithoutitslimitations.TheLIHTCprogramdoesnotintentionallytarget thecreationofhousingthatisaffordabletoextremelylowincomeindividualsorfamilies withchildren.Also,unitssetasidethroughtheLIHTCprogrammaybecomeunaffordable inthefuturesincethetaxcreditisattachedtoaffordabilityforalimitedtimeperiod(30 years),afterwhichthelandlordmaychangerentstomarketrates. TheLIHTCprovidesataxcredit,whichdoesnotrequireanappropriation,thoughthe amountoftaxcreditsavailabletoeachstatedoesdependonlegislation.TheJoint CommitteeonTaxationestimatesthattheprogramcost$5.1billioninlosttaxrevenuein 2007.Currently,however,LIHTCfinancinghasdwindledconsiderablybecausemany investorsarenotbuyingrightnow.Thereasonissimpletheyhavenoprofits,and consequentlynotaxliability,sotaxcreditsareuselesstothem.Untiltheeconomy recovers,financingforaffordablehousingintheformoftaxcreditswillbelimited.
158 TargetedIncomeGroups: Eitheraminimumof20percentofunitsgotothosewithverylowincomes(below50% oftheareamedianincome)oraminimumof40percentmustgotothosebelow60%of theareamedianincome.
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IllinoisResources IllinoisAffordableHousingTrustFund TheIllinoisHousingDevelopmentAuthority(IHDA)administerstheIllinoisAffordable 159 HousingTrustFund,whichwasestablishedin1989. TheHousingTrustFundgetsits revenuethroughhalfoftherealestatetransferfee,whichgeneratesapproximately$20 millioneachyear.Inrecentyears,millionsofdollarshavebeendivertedfromthe HousingTrustFundtofillgeneralrevenuebudgetgaps.

160 TargetedIncomeGroups: Lowandverylowincome
IllinoisAffordableHousingTaxCredit IHDAalsoadministerstheIllinoisAffordableHousingTaxCreditwhichwasestablishedby 161 lawin2001. TheTaxCreditdiffersfromLIHTCinthattheamountofthecreditisbased ondonationsfromindividualsandorganizations.Adonorprovidesfundstononprofit organizationsforaproject,andinreturnreceivesataxcreditonitsIllinoistaxreturnof 50centsonthedollar.IHDAgivespreferencetoprojectsservingspecialneeds populations.

162 TargetedIncomeGroup: Verylowincome
AdaptableandAccessibleUnitsAcrossSubsidizedHousing AccessibleandadaptablehousingunitsareanimportantpartofthehousingstockinMcHenry Countytohelpmeettheneedsofeconomicallyvulnerablepeoplewithdisabilities. Accessibleunitsareapartmentslocatedinbuildingsthathaveanaccessiblerouteintoand 163 throughboththebuildingandtheapartment,usingmethodssuchaselevatorsorramps. Accessibleunitshavespecificdesignfeaturesthatmakethemcompletelyaccessiblefor physicallyormentallyimpairedindividuals. Adaptableunitsarealsolocatedinbuildingsthathaveanaccessiblerouteintoandthroughboth 164 thebuildingandtheapartment. Adaptableunitshavesomespecificdesignfeaturestoassist physicallyormentallyimpairedindividuals,andwhiletheydonottypicallyhaveasmany featuresasaccessibleunits,theycanbemodifiedtomeettheneedsofatenantwithdisabilities. Thereare419accessibleoradaptableunitsfinancedbytheIllinoisHousingDevelopment 165 Authorityforindividualslivingwithadisability. Amajorityoftheseunitsareonlyadaptable, notaccessibleunits.Thisdoesnotincludeanypossibleaccessibleoradaptableunitsinvoucher housingorontheprivatemarket.Noneofthe23publichousingunitsinMcHenryCountyare accessible,andonlyahandfulcouldbeconsideredadaptable,thoughextensiveworkwouldbe requiredtomakethemso.
HomelessSystemInventory
In1995,aspartofanationalefforttostreamlineapplicationsforfederalfundingandpromote regionalcollaborationofhomelessservices,theU.S.DepartmentofHousingandUrban Development(HUD)begantorequirethatcommunitiessubmitonesingleapplicationfor McKinneyVentoHomelessAssistanceGrants.ContinuaofCarewerecreatedtomeetthisneed, andasof2006,therewere476ContinuaofCareintheUnitedStates.ContinuaofCare(CoC) notonlyprovideacentralizedbodyforapplicationoffederalfunds,butalsoplayanimportant roleinfacilitatingcollaborationandcoordinationamonglocalagenciesprovidinghomeless
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services.Becausetheyareregionallybased,theyallowforhomelessserviceagenciestowork togetherandmeetlocalneeds. McHenryCountysCoCwasformedin1997andismadeupofhomelessserviceproviders, governmentagenciesandrepresentatives,individuals,andlocalbusinessesworkingtogetherto endhomelessnessinMcHenryCounty.The2007ContinuumofCareapplicationsubmittedto HUDforfederalfundinglists24organizationsasmembersoftheMcHenryCountyCoC. ThehousingandservicesofferedbytheprovidersonMcHenryCountysCoCareacrucial supportforMcHenryCountyresidentswiththemostpressinghousingneeds,particularlythose whoareexperiencinghomelessnessorwhoareatriskofbecominghomeless.McHenryCountys homelesssysteminventoryiscomprisedofacombinationofnonpermanenthousingoptions (emergencyandtransitionalhousing/shelters)andpermanenthousing.Eachservesanimportant functionforvariousindividuals. AsofMay2008,therewere364available 166 bedsinMcHenryCounty(Table50). Thesebedsrepresentacombinationof emergency,transitional,andpermanent beds(Figure18)andalsoacombinationof individualandfamilybeds.Thesebeds servethosewhohaveamentalillness,a disability,substanceuseissues,andthose thatarehomeless. Table50AvailableEmergency,Transitional, andPermanentSupportiveBeds,2008 TypeofBed NumberofBeds Emergency 81 Transitional 191 Permanentsupportive 92 Total 364
Figure18McHenryCountyHomelessSystemInventorybyType,2008
Emergency 22.3% Transitional 52.5%
Permanent Supportive 25.3%
Nonpermanent Thecategoryofnonpermanenthousingincludesbothemergencyshelterandtransitional housing.Emergencysheltersandtransitionalhousingwerenotdesignedtoaddressthe extensiveneedsofpeoplewithseriousmentalillnessorotherdisabilitiesthatmakeitdifficultto remainstablyhoused.Withouttheproperassistance,suchpeopletendtostayhomelessin sheltersforlongperiodsoftime,makingthemchronicallyhomeless,anduseadisproportionate 167 amountofshelterresources.
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Emergencyshelterswereoriginallydesignedtoprovideshorttermreliefforpeoplewhohad experiencedacrisisandwho,withsomeassistance,couldmovebackintoahomeoftheirown. AsofMay2008,thereare81emergencyshelterbedsavailableforpeoplewhoarehomeless however,thenumberofemergencyshelterbedsavailablevariesbysite,butrangesanywhere from40bedsinthespringandsummerto81bedsduringthewintermonths.Aportionofthe emergencysheltersysteminMcHenryCountydoesnotfollowatraditionalmodelofemergency shelterdelivery.TherearesevenchurchsitesinMcHenryCountythatcomprisethecoldweather emergencyshelterprogram.Onenightoftheweek,eachchurchopensitsdoorsforshelterfrom 7pmto7amduringthefreezingwintermonthsfromOctoberthroughApril.Eachsiteoffersa warmeveningmeal,asafeplacetosleep,breakfastinthemorning,andcasemanagement.All churchsitesarerunandoperatedbyvolunteers. Transitionalhousingisaffordablehousingthatisavailableonlyforalimitedtime,meaningthe familyorindividualcanonlylivethereforacertainperiodoftime.Duringtheirstayin transitionalhousing,anindividualorfamilycanreceivesupportiveservicesthatwillprepare themtomoveintoapermanenthousingunit.InMcHenryCountythereare191transitional housingbeds.Thisincludes6bedsforthosewithdevelopmentaldisabilities,18bedsforthose withmentalillness,155bedsforthosewhoareaexperiencinghomelessness,and12bedsfor thosewhoarehomelessandalsohavementalillnessand/orsubstanceuseissue. Emergencyandtransitionalhousingareprovidedbyanumberofnonprofitsocialservice providersinMcHenryCounty(Table51).Mostoftheseagenciesoperateatornearcapacityand veryfewhaveopenbedsavailable. Table51Emergency&TransitionalBedsinMcHenryCountyasofMay2008
Organization Numberon Waiting List 38 Transitional or Emergency Transitional Transitional PioneerCenter Govt. controlled Govt. controlled Govt. controlled 0 Transitional Transitional Transitional Transitional Transitional Thresholds TurningPoint 0 0 Transitional Typeof Housing Supported Apartments Supported Apartments ClayGroup Home Lawndale GroupHome WheelerGroup Home Transitional LivingFacility RebeccaSusan Supported Apartments Shelter Total Number ofbeds 6 20 8 5 5 20 12 Population Served Adultsw/DD Homeless adults&children Adultsw/MI Adultsw/MI Adultsw/MI Homelessadult veterans Homelessadults w/MI/SA Homelesswomen &children, victimsofDV Homelesswomen &children Homeless mothersw/ adolescentboys 12&over Homelesswomen &children Homelesswomen &children Open Beds 0 0 1 2 0 2 0
NewHorizons
21
Homeofthe Sparrow
26
Transitional Transitional
CrystalLake Shelter Ringwood Shelter
14 30
0 0
Transitional Transitionalto Permanent
Waukegan RoadApt. Apartments
6 8
0 4beds
(no funding)
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PADS
N/A
Transitional
Shelter
20
N/A N/A Rebekahs House 3
Emergency Emergency Transitional
Shelter ShelterSites Oct1Apr30 Shelter
14 44 6
Homeless familiesand singleadults Homelessadults &children Homeless Women recoveringfrom alcohol& substanceabuse Homeless 0
N/A N/A
McHenry County Housing Authority Salvation Army/ Township Vouchers McHenry County Housing Authority TOTAL
N/A
Emergency
HotelVouchers
19
N/A
N/A
Emergency
HotelVouchers
Homeless
N/A
Transitional
Apartments
10
Homeless individualsand familieswith children
272
PermanentSupportiveHousing Permanentsupportivehousing(PSH)isaffordablehousingthatisnottimelimitedandislinked withsupportivecasemanagementservicesthatenableresidentstoremainhoused.PSHis generallyaimedatpeoplewhoarehomelessandhavesomeformofdisability,butwithsome supportcanremainindependentlyhoused.Residentsarecommonlyrequiredtopaynomore thanathirdoftheirincomefortheirhousing.Supportivehousingprovidersoverseecase management,whichincludeslifeskillstrainingandlinkagestootherneededservicessuchas physicalandmentalhealthservices,substanceusetreatmentandsupport,andemployment services.Thesesupportsallowpeoplewhomayotherwisebeunshelteredtoattainandmaintain stabilityintheirlives. Table52PermanentHousingOptionsProvidedbyNonprofitsasofMay2008 Organization Numberon TypeofHousing Total Population Open WaitingList Number Served Beds ofBeds 72 GroupHomes 60 Adultsw/DD 1 PioneerCenter Thresholds Govt.controlled Govt.controlled 6 MadisonGroupHome 5 JacksonGroupHome GroupHome 8 19 Adultsw/MI Adultsw/MI Homeless adultsw/ MI/SA 0 0 1
TOTAL
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AsofMay2008therewere92permanentsupportivehousingbedsinMcHenryCounty,including bothHUDfundedandnonHUDfundedunits(Table52).Sixtyofthosebedsareforpeoplewith developmentaldisabilities,13areforthosewithmentalillness,and19areforthosewhoare homelesswithmentalillnessandsubstanceuseissues.
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InstitutionalCare
Moreseveredisabilitiesthatlimitpeoplesabilitytofunctionindependently,eveninapermanent supportivehousingenvironment,oftenrequirevaryingdegreesofinstitutionalizedorspecialized care.Institutionalcaremaybeappropriateforpeoplewitharangeofdisabilitiesandforseniors needingvariouslevelsofcare. Thereare11longterm Table53InstitutionalCarebyTypeinMcHenryCounty nursingcarefacilitiesin TypeofNursingCare Numberof McHenryCounty.Inthese11 Beds facilities,thereare957beds SkilledCare 957 availablewithskilledcare70 IntermediateCare 70 inintermediatecare96with IntermediateCareDevelopmentalDisability 96 intermediatecareforpeople ShelterCare 63 withdevelopmental 168 disabilitiesand63withsheltercare(Table53). Skilledcareistraditionalnursingcarewhile sheltercareonlyprovidesmaintenanceandpersonalcaretoresidents(commonlyknownas assistedliving). Of1,186totalinstitutionalbedsavailable: 232bedsareopentoseniorswithMedicare 477bedsareopentolowincomeseniorswithMedicaidandMedicare 239bedsareopentoMedicaidrecipients TheMcHenryCountyMentalHealthBoardreportsthattheycurrentlyhave66clientsin institutionalcareoutsideofthecountybecausethereisalackofbedsavailableatincounty facilitiesthathavethecapacitytocareforpeoplewithmorecomplexphysicalandpsychological needs.
Summary:PublicHousing,OtherDirectHousingAssistance,OtherSubsidized Housing,andPermanentSupportiveHousing
Thereareatotalof3,548affordableand/orspecializedhousingoptionswhichincludes subsidizedunits,permanentsupportivehousing,andMedicaidandMedicaid/Medicare institutionalcarebedsavailabletothemosteconomicallyvulnerableMcHenryCountyresidents whomayalsohavemorespecializedneeds.Emergencyandtransitionalsheltersarenotcounted hereaspartoftheaffordablehousingstocksincetheyarenotpermanenthousingoptions.In McHenryCountythereare: 2,740subsidizedunits,ofwhichonly419areaccessibleoradaptable.Theseinclude: 947Section8housingchoicevouchers 23publichousingunits 596projectbasedSection8units 1,174othersubsidizedunits 92permanentsupportivebeds,whicharetypicallyfilledtocapacity. 716institutionalcarebedsavailableforMedicaidrecipientsorlowincomeseniorswith bothMedicaidandMedicare,outofthe1,186institutionalcarebeds.
These3,548affordable,specializedhousingoptionsareinsufficienttomeettheneed: 22,331McHenryCountyhouseholdshaveverylowincomes,including:
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1,185poorseniors 1,104economicallyvulnerableadultswithaseverementalillness 915economicallyvulnerableadultswithaseriousdisability 221peoplewhoarehomeless
Whilethereissomeoverlapamongthesegroups,thescopeofneedandtheinadequacyofthe currentsupplyofaffordableandspecializedhousingarebothstarklyapparent,especially consideringthattheestimateoftheneedforaffordable,specializedhousinginMcHenryCounty isveryconservative.Indefiningtheneed,onlythemostvulnerablepeopleandhouseholdsare included,andassuch,estimatesofneedareveryconservative.Therearecertainlythousandsof additionalMcHenryCountyresidentswithaffordablehousingandhousingsupportneeds. Thegapbetweenneedandsupplyisparticularlysalientforextremelylowincomepeopleand adultswithdisabilitiesandseverementalillnesses.Therearesimplynotenoughsubsidized, accessible/adaptableunits,permanentsupportivehousing,andaffordableinstitutionalcarebeds tomeettheneedsofthesepopulations.Additionally,subsidizedhousingoptionstargeted specificallyforextremelylowincomeindividualsandhouseholdsareverylimited.
Conclusion
Asthecountyspopulationgrows,sotoowillthegapbetweentheneedforandthesupplyof affordablehousing.Theprivatemarketisnotsufficientlyequippedtomeettheneedsofthemost economicallyvulnerablepopulationsandthosethathaveaddedhousingneedsontopof affordabilityconcerns.Thegapbetweenneedandthecurrentsupplyofaffordablehousinginthe privatemarketindicatesthatthousandsofeconomicallyvulnerableMcHenryCountyfamilies cannotfindhousingthatmatchestheirabilitytopay.Onlywhenincomenearsthe$75,000mark doesthesupplyofownerandrentalhousinginthecountybegintomatchthefinancial capabilitiesofMcHenryCountyfamilies.Thereisalsoashortageofmorespecializedaffordable housing,suchaspermanentsupportivehousing,institutionalcare,andsubsidizedhousing, particularlyforthemostvulnerableMcHenryCountyresidentsincludingextremelylowincome families,peoplewithdisabilities,andthosewithseverementalillness.
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Chapter5:
ChallengesandStrategicOpportunitiestoMeeting HousingNeedsinMcHenryCounty
Thisreportbringsintosharpfocustheseverelackofaffordablehousingoptionsforpeoplewith lowincomesandthosewithspecializedhousingneeds.Thischapterfocusesonthechallenges andbarrierstodevelopingandmaintainingaffordablehousinginMcHenryCounty,asvoicedby thepeopleparticipatinginthisstudy,andthenoutlinesbroadstrategiesforaddressingthem. Oneofthemostimportantthingsthisresearchprocesshasrevealedisthatthevoicesof McHenryCountyfamilieswithlowincomesandindividualswithspecialneedsareoftennotheard andthereforenotcarefullyconsideredinplanningprocesses.Asthesepopulationsgrowitisof criticalimportancethattheirneedsareincorporatedintosuchdiscussionsandthatthehousing needsofallMcHenryCountyresidentsarefullyaddressedtocreateastable,vibrantMcHenry County.
IllinoisLawsImpactingPlanningforAffordableHousing
TohelpcombatthelackofaffordablehousinginmanytownsandcitiesthroughoutIllinoisandto addresslocalbarrierssuchasexclusionaryzoninglawsandslowpermitprocesses,thestateof Illinoishasenactedanumberofstrategiesdesignedtofacilitatethedevelopmentofaffordable housing.TheselawsarepartofthecontextinwhichaffordablehousingdevelopmentinMcHenry Countymustfunction.
IllinoisHousingPlanningandAppealsAct
TheIllinoisHousingPlanningandAppealsAct,madelawbytheIllinoisLegislaturein2004,calls formunicipalitieswithlessthan10percentaffordablehousingtoadoptanaffordablehousing plantoincreasethenumberofaffordableunitsintheirjurisdiction.Amunicipalitycanbeexempt fromtheActifgreaterthan10percentofallhousingunitsareaffordablebasedontheActs calculations.Arentalunitisdeemedaffordableifhouseholdswithlessthan60percentofthe medianhouseholdincomecanaffordit(meaningtheyarenotspendingmorethan30percentof theirmonthlyincomeonhousingcosts).Anownershipunitisdeemedaffordableifhouseholds withlessthan80percentofthemedianincomecanaffordit.UndertheAct,anaffordablerentin theChicagoareais$775,andanaffordableownershipunitfallsbelow$123,720.Atotalofthree municipalitiesinMcHenryCountyarerequiredtoadoptanaffordablehousingplanundertheAct. TheyareAlgonquin,Lakewood,andSpringGrove.
ComprehensiveHousingPlanningAct
IllinoisComprehensiveHousingPlanningActrequiresthestatetoproduceanannualstatewide housingplanwithspecificcomponents,includingplanstocoordinatestatespendingtobetter addressaffordablehousinggoals.TheHousingTaskForceischargedwithdevelopingand approvingtheplan.Thisplanprioritizesstateresourcesandcanbeusedlocallytohelpleaders identifysourcesoffiscalsupportforaffordablehousingefforts.
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ChallengestoAffordableHousing
Conversationswithmunicipalandtownshiprepresentatives,countyofficials,localservice providers,andresidentsrevealedahostofbarriers,whetherperceivedorreal,andotheritems forconsiderationwhendiscussingaffordablehousingpreservationanddevelopmentinMcHenry County.
HousingNearTransportation
Eachhousingdiscussioninthisstudyturnedtotransportationissueswithinminutes.Youmust haveacartoliveinMcHenryCounty,wasaphrasethatwasrepeatedbyvariousstakeholders. ItisevidentthatinMcHenryCountyhousingneedscannotbemetwithaffordabilityalone locationiskey.Transportationthatallowsaccesstojobsandservicesisvitalifhousingisnot nearthesethings. Municipalandtownshiprepresentativesindicatethateventhemostaffordablehousingloses affordabilityifitisnotlinkedwithquality,reliable,andaffordabletransportationoptions.Tothis point,thepeoplethatparticipatedinthisstudyfeelthattransitorientedhousingdevelopment hassimplynotbeenapriority. Traditionally,measuresofhousingaffordabilityhavebeensetat30percentorlessofincome. However,eventhemostaffordablehousingcanbecomeunaffordableifitissoremoteand removedfromareasofemploymentandservicesthattransportationcostsbegintoconsumea 169 largeshareofthefamilybudget.TheHousing+TransportationAffordabilityIndex takesinto accountnotjustthecostofhousing,butalsotheintrinsicvalueofplace,asquantifiedthrough transportationcosts. Figure19HousingandTransportationCostsasa PercentofIncomeinMcHenryCounty
HousingandTransportation CostsasPercentofIncome Datanotavailable 0to40% 40to45% 45to50% 50to60% Greaterthanorequalto 60%
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Usingthismeasure,housingisconsideredtrulyaffordableifhousingcostscombinedwith 170 transportationcostsconsumenomorethan47percentofahouseholdsincome. Figure19 aboverevealsthatinsignificantportionsofMcHenryCounty,householdsarepayingfartoo muchoftheirincometowardtheircombinedhousingandtransportationcosts.Ina2005 transportationstudyconductedinthecounty,amajorityofMcHenryCountyresidents(52 percent)statedthattheydidnotconsiderthecostofcommutingwhentheyacceptedtheir currentjob. Accordingtothe2005transportationstudy,nearlyathirdofresidentsindicatedthatthey 171 typicallyreporttoworkbetweenmidnightand7am. Approximately14percentofcounty residentsleaveworkafter6PMand30percentofMcHenryCountyresidents,includingmany parttimeandshiftemployees,leaveworkbetweenthetimesofnoonand4pmwhentransit serviceiseitherinfrequentorunavailable.Residentsinvolvedinthisstudysharedstoriesofhow nd rd 2 and3 shiftworkersrelyontaxistogetthemtoandfromworksincethebusesdonotrunat convenienttimesandonconvenientroutes.Taxishaveregularcustomerstheyhavenow becomebusesthemselves,sharedoneresident. Onethirdofbusinessleadersindicatethattheirworkershaveadifficulttimefindinghousing neartheirjob.Ofimportancetobusinessleadersinthisstudywastheproximityofemployees housingtotheirjob68percentofemployersbelievethatitisimportanttohaveemployeesthat liveclosetotheirjob. Participantsinthemunicipalityandtownshiproundtableindicatethattransportationinthe countyisnotlocatedwherethepeoplewhoreallyneeditareabletoaffordtolive.Instead, transportationrichareashavedevelopedintohigherendcondominiumcenters.Anumberof countyofficialsnotethattheareasofthecountywherelowerandmoderateincomefamiliesare abletoaffordtoliveareoftenareaswithfarfeweremployment,service,andtransportation options.Residentsagree,notingthattherearetownsinthecountythatarecompletelyisolated. Everytownisdesperatetohavetransportationimproved,oneresidentstated. MostresidentsattheroundtablediscussionshadexperiencewiththetransitsysteminMcHenry Countyanddescribedthecurrenttransportationsystemasinflexiblewithlimitedschedulesand illogicalroutes.Theyconcurthatmorehousingthatisaffordableisneededneartransportation richcenters.Thiscanlinkpeopletoexistingresourceswhentheydonothaveaccesstotheir ownpersonaltransportation.Anumberofseniorsapplaudseniorbusservicesbutpointoutthat sincethebuswillnotcrossmunicipallines,itsutilityislimited.Anotherresidenthighlightedthe broaderpotentialdangerinnothavinganappropriatetransitsystemthatmeetsresidents needs:IshouldnotbedrivingwhenImtakingallmymedication.ButwhatchoicedoIhave? Accordingtothe2005transportationstudy,ofMcHenryCountyresidentsdrivingaloneor 172 carpoolingtowork,93percentstatedthatpublictransitwasnotaviableoptionforthem. 48 percentofresidentsindicatedthattheywouldbeveryinclinedtousetransitservicesifitwas availabletotheirplaceofwork.Otherresidentsfeelthataffordablehousingshouldbeina locationthatisrichwithresourcessincetransportationissuchaproblem,peopleneedservices nearthem.Residentsalsoexpresstheneedforpublictransportationtobeaffordableandgoto moreplaces.Anumberofresidentsattheroundtablediscussionspointedoutthatgood,reliable transportationisimportantnotonlyforpeopletogettojobsbutalsoforrecreationand socializationopportunities,whicharekeycomponentsofacommunitysqualityoflife. Becauseofthefeelingthattransitmustgowherepeopleliveandsocialize,oneresident suggested,Itwouldbegoodtohaveacircleroutethatconnectsallthemainpartsofthemain towns.Municipalandtownshipofficialsagreethattransitshouldnotonlyrunthroughdowntown areasbutneedstogowhereworkingpeoplewhoneeditliveorcouldlive. Almostallsurveyrespondentsandroundtableparticipantsbroughtuptheissueoflackof transportationforthosewhoneeditmost:
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Ofthemunicipalityandtownshipsurveyrespondents,57percentfeelthatcurrent transportationoptionsdonotfitresidentsneeds. Localmentalhealthandhomelessserviceprovidersbelievethattransportationand housinggohandinhand. 46percentofmentalhealthprovidersand67percentofhomelessproviderssaythat transportationissueswereareasontheirclientswerehomeless.
Thecountyistakingacloserlookatsomeofthesetransportationchallenges.Anumberof countyofficialsexplainedthattheyarelookingatwhatothercountiesintheareaaredoingin termsoftransportation.Thecountyadoptedatransitplanin2005thatlookedatimmediate, shortterm,mediumterm,andlongtermgoalsforimprovingtransportationwithinthecounty andsurroundingareas. Thetransitplan,the2020UnifiedPlan,usesamodeltointegratetransportationplanningand landuse.Oneoftheemphasesofthe2020UnifiedPlanisontransportationarounddense populations.Itprotectsandpreservesprimefarmland,surfaceandgroundwater,andother naturalresources.Itrecognizeswhatisplannedwithinmunicipalitiesandencouragesforming planningpartnershipsandongoingcommunicationwithmunicipalities.Priorityintheplanis giventomaintainingandupgradingtheexistinginfrastructureinatimelymanner.Theplan assumescontinuedemphasisonenergyconservationandencouragesdevelopmentpatterns whichminimizedistancestraveledandmaximizetheavailabilityofservices.ThePlanalso recognizesanobligationtotheenvironmentandspecificlegislationsuchastheCleanAirAct. Inregardstotransit,the2020Planaddressesroadways,Metra,Pace,andnonmotorizedtransit. TheroadwayplanidentifiesshorttermprojectssuchasconstructingafullinterchangeatIllinois Route47andtheNorthwestTollway(I90),thewesternAlgonquinbypass,threeroadwidening projects,andthreeroadextensions.Midtermroadwayprojectsincludeplanstowidenthree roadways,torealignandimproveaCountyRoad,andtoextendtworoadseastward.Longterm roadwayprojectsincludeanewFoxRivercrossing,aninterchangeatAlgonquinandRandall roads,newarterialsinthenorthernandwesternagriculturalareasofthecounty,abypass aroundthecityofMcHenry,fourroadwideningprojects,threerealignmentandimproved highwayprojects,andanorthsouthmunicipalroadthroughWoodstock. RegardingMetra,thePlanrecommendsserviceadditionsincludesixnewMetrastations,higher frequencyoftrains,expressservice,longerboardingandalightingplatforms,additionalparking, andincreasedstationamenities.ThehighestprojectpriorityistheMilwaukeeDistrictWestLine extensiontoHuntleyandMarengo.NewextensionstoMetraslineservicerequirenewrailyards occupyingapproximately60acres,locatedpastthelaststopontheline.Buildingarailstationin Johnsburg/RingwoodwouldallowforincreasedserviceattheMcHenryStationandBullValley RoadStationinadditiontotheJohnsburg/RingwoodStation.Constructinganewrailyardwestof theMarengoStationfacilitatesservicelevelstoMarengoandHuntley,andapotentialnew stationsitehasbeenidentifiednearunincorporatedRidgefieldontheUnionPacificNorthwest Line. ThePacerecommendationsincluderoutesthatofferregionalexpressservicebetween communities,fixedroutearterialservicethatprovideslocalstopservicealongcommercial, residential,orindustrialcorridors,andavarietyofdistributorservicesoperatedbylocal municipalities,majoremployers,orprivatedemandresponsecompanies.Expansionand coordinationofexistingdemandresponsetransitservicesandtheimplementationofvanpool programsthatassistareasofthecountythataredifficulttoserveduetogeographiclocationor irregularneeds,areplannedtoprovidegreaterlevelofserviceespeciallyfortransituserswho requirecurbsideassistance.Thispilotprogramisscheduledtobegininthefourthquarterof 2008.Additionalgoalsinvolvehavingbustransitbetterconnectlargercommunityareasandlink majorpointsourcesforriders,includingindustrialcenters,commercialareas,andmajor residentialdevelopments.Busrapidtransitroadwayandintersectionimprovementtechnologies arenecessaryalongtheseprimarycorridors.Improvementsincludesignalprioritization,queue
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jumperlanes,dedicatedlanes,andoffboardfarecollectionfacilities.Usingsmallerhybrid poweredbuseswithbicyclerackstofacilitatenonmotorizedtransportationismoredesirable. ToencouragemorenonmotorizedtransitthePlanprioritizesbicycleplanningthatpromotes saferbiketravel,includingpavedshouldersandeliminatinghazardstobicycletravelalong shouldersinadditiontoadjustingthetypesandlocationsofrumblestripsanddrainagecovers. ThePlanproposesfuturemultiusepathsthatconnectcommunitiesthroughoutthecountywhile providingaccesstoareasnoteasilyassessablebyothermeansoftransit.Itsmajor recommendationsfornewtrailsincludetheHarvardtoBooneCountyTrail,CrystalLaketo WoodstockTrail,andtheHuntley,Union,andMarengoTrail. Withcarefulplanningandimplementationthatconsiderstheneedsofthemostvulnerable McHenryCountyresidents,thegoalslaidforthinthetransitplanhavethepotentialtopositively impacthousing+transportationaffordability.
OtherChallenges
AntiDensitySentiments Onerecurringthemeindiscussionsthroughoutthecountywasthatofdensity.Some stakeholdersindicatethattheagriruralheritageofMcHenryCountymaybethreatenedby affordablehousingdevelopmentbecauseofthedensitythatpeoplethinkitrequires.Thehousing historyofthecountyinvolvesplentifulopenspaceandscatteredsinglefamilyhomes.The concernhereappearedtobethatpeoplewhomovetoMcHenryCountybecauseofthis reputationmaybeunwillingtotoleratelarge,highdensityhighrises.Asacountyofficialstated, Densityscarespeople. Otherstakeholderschallengetheprevailingnotionofdensityindicatingthatpeopledonotrealize thatdensityinMcHenryCountycanlookquitedifferentthandensityinaninnercity.They challengepeoplesstereotypesaroundtheformaffordablehousingcantake,pointingoutthat affordablehousingcanandshouldbeseamlesslyintegratedamongexistinghousingstockand includecreative,visuallypleasingtypesandfacades. Allcountylevelofficialsinterviewedagreethatmoredensedevelopmentmakesthemostsense aroundtransportationhubs.Suchtransitorienteddevelopmentcanhavemultiplepositive outcomesforthecountyincludinggreatermobilityforresidents,lessroadcongestion,andless pollution. CostsandFunding AnumberofstakeholdersindicatethatthehighcostoflandinMcHenryCountymakesitdifficult foradevelopertoseeaffordablehousingasprofitable.Almostthreefourthsofmunicipal representativesbelievethereisenoughvacantlandintheirmunicipalitytosupportaffordable housingdevelopmenthowever,81percentindicatetherearenotincentivesfordevelopersto buildaffordablehousing.Somecountylevelofficialspointtoincentivesatthefederalleveland otherstothoseatthestatelevel,buttheyfeelasthoughmanydevelopersarenotawareof them.Thehighpriceofland,combinedwithalackofincentives(orlackofknowledgeof incentives)makesaffordablehousingdevelopmentaneutraloptionatbest,andanunattractive optionatworst,tomanydevelopers. Therewerealsoconcernsraisedabouthowaffordablehousingmayaffectthetaxbaseonwhich localschoolsrely.WiththeoverrelianceonlocalrevenuesourcesforschoolfundinginIllinois, ourschoolscantsupportaffordablehousing,saidonemunicipalrepresentative.Therewasnot consensusontheseissuesasotherstakeholdersthoughttheoppositemayholdtruethat affordablehousingmayhelpraisemoremoneyforlocalschools.
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Anumberofpeopleindicatethatbecauseofitsdemographicsandtheformulasusedto distributefederalfunds,McHenryCountydoesnotqualifyforcertainformsoffederalassistance thatcouldpotentiallyhelpincentivizeaffordablehousingdevelopmentorexpandexisting programstobettermeettheneed.Someleadersexplainthattherelativeaffluenceofthecounty disqualifiesitfromcertainfundingstreams,anddespitethecountysruralselfidentification,it doesnotqualifyasaruralcountyforfundingpurposes,therebymissingoutonruraldesignated fundingopportunities. Stigma,PublicOpposition,andLackofKnowledge Eachstakeholdergroupinvolvedinthisstudycitedthestigmaassociatedwithaffordablehousing andtheresultingpublicoppositionasabarrier.Whenstakeholderswereaskedtodescribewhat otherpeoplethinkofwhentheyhearthetermaffordablehousing,responsesincluded descriptorssuchasugly,crime,thosepeoplewanderingaround.Manypeopleddiscussed theNotInMyBackyardphenomenontodescribehowmanypeopleinthecountysaytheyare notopposedtoaffordablehousingbutactdifferentlywhenattemptsaremadetobuildaffordable housingintheircommunities. Thelowincomeresidentsexplainedhownotonlyistherestigmaaroundaffordablehousing,but alsoaroundpeoplewhoarepoorornotaswelloffingeneral.Residentsspoketofeeling degraded,judged,andunwelcomebecausetheydidnotmakeasmuchmoneyasotherpeoplein thecounty.Oneresidentexplainedthattheisolationthatresultsfrombeingpoorinanaffluent communityhasdeeppsychologicaleffectsforfamilies,particularlychildren.Asoneresidentwas talkingaboutthehighcostofrecreationalactivitiesthathischildrenwanttobeinvolvedinbut hecannotafford,hesaid,Weareshutoutbeingpoor.Theydontwantourkids. Otherpeoplethoughtthatpeoplesoppositionstemmedmorefromalackofknowledgeabout theneedthananythingelse.Povertyandhardshipisoftenhiddeninaffluentareasandmaylook differentthanpeoplesstereotypes,sopeopleareunawarethatthereissuchaneed. InfrastructureConcerns Countyinfrastructureconcerns(primarilywaterandsewerissues)cameupinmany conversationswithmunicipal,township,andcountyofficials,withsomeindicatingthatalackof appropriateinfrastructuremayendupeffectivelylimitingcountypopulationgrowthinthe comingyearsandalsoplacelimitationsonhowdensefuturedevelopmentscanbecome.There wasverylittleconsensusonthisissuewithanumberofpeopledisregardingthisconcernas nothingmorethananexcuse.Theyfeltthatinfrastructureconcernsaresolvableifleadersare willingtohaveopen,honestdialoguesabouthowandwhythisisabarrierandmoreimportantly, whatitwilltaketosolveit.
OpportunitiestoProvidefortheHousingNeedsofMcHenryCountyResidents
Previouschaptersofthisreportlayoutthesignificantneedforaffordableandspecialized affordablehousinginMcHenryCounty: 22,331verylowincomehouseholds,including: 1,185poorseniors 1,104economicallyvulnerableadultswithaseverementalillness 915economicallyvulnerableadultswithaseriousdisability 221peoplewhoarehomeless
The3,548subsidizedhousingoptionsthatexistinMcHenryCountyareinsufficienttomeetthe needsofthemostvulnerableMcHenryCountyresidents.Itisabundantlyclearthateffortsare neededinMcHenryCountytobuildmoreaffordablehousing,preservetheexistingstockof affordablehousing,andexpandcurrentassistanceprogramstobetterserveitsresidents.
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LeadersinMcHenryCountymustfindwaystofacilitatethedevelopmentofhousingthathelps residentsthriveandthathelpscommunitiesavoidtheinstabilitythatresultsfromhomelessness andfamiliesstretchingthemselvesthintokeeparoofovertheirheads. Buildingaffordablehousingcanhaveahostofpositiveimpactsonacommunity:
ThereareanumberofopportunitiesfortheleadersinMcHenryCountytoacknowledgethis growingneedandtomakeMcHenryCountyastronger,moreprosperouscountybyintentionally incorporatingconsiderationsaboutvulnerablepopulationsintodevelopmentandplanning.The opportunitiesdiscussedonthefollowingpagesarelessaboutspecifictasksandmoreabout broadstrategiesfordoingso.Assuch,McHenryCountyleadershavetheopportunitytoconsider
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preservationofaffordablehousingstock,developmentofadditionalaffordablehousing, maintenance/enhancementofcurrenthousingassistance,andotherwaystostrengthenhousing opportunitiesforthepeopleofMcHenryCounty(e.g.,creditcounseling,homebuyerassistance programs,homeownereducation,lowcostlending)withinthecontextofeachofthesebroad strategies.Withineachopportunitydiscussed,thereisalsoasnapshotofasuccessfulrelated initiativeinotherareasoftheChicagoregionornation.
Opportunity:ImplementaTaskForceorHousingCommission
Someofthecommunitiesthathavehadthemostsuccessatcomprehensivelyaddressing residentshousingneedsarethosethathaveorganizedagroupsolelydedicatedtoaffordable housingissues.Withadefinedpurposeandaclearvision,suchataskforceorahousing commissioncanensurethataffordablehousingisattheforefrontofmunicipal,township,county, andstateplanningdiscussionsandefforts. ThereisasmallgroupofindividualsandorganizationsinMcHenryCounty,manyofwhomwere involvedinthisresearchprocess,thathaverecognizedtheimmenseneedlaidforthinthisreport andareactivelyseekingsolutions.Thereappearstobeanotherlayerofindividualsand organizationsthatarewellintentionedintheirrecognitionoftheneedforaffordablehousing,but thatseethechallengesdiscussedaboveasinsurmountableortoocumbersometodealwith.The finallayerofindividualsandorganizationsarenotevenawareormaynotbeconcernedthat thousandsofpeopleinthecountyarestrugglingtofindhousingthatallowsthemtolivenear theirjobs,families,andserviceswithoutdangerouslyoverextendingthemselves. TofullyaddressthesevereshortageofaffordablehousinginMcHenryCounty,stakeholdersfrom thefirsttwoconcernedgroupsmustworktobringpeoplefromthethirdgroupofunawareor unconcernedindividualstogether.Thisgroupisanuntappedresourceapotentialsourceof freshideasandnewresources.Itisalsocriticalthattaskforceorcommissionrepresentation includemembersfrommunicipalitiesandtownshipsacrossthecounty,countyofficials,housing industryrepresentatives,developers,acrosssectionoflocalhousingandserviceproviders,and peoplewhohaveexperiencedhousinghardshipfirsthand.Suchadiversegroupofstakeholders ensuresthatallinterests,includingthoseofthetraditionallylesspowerful,arerepresentedand alsobringsauniquecombinationofknowledgeandskillstothetable. Housingtaskforcestakemanyforms.Someareorganizedatthemunicipallevelandare appointedbymunicipalities.Othersareformedbyagroupofconcernedindividualsor organizations.Yetothersincluderepresentationbyleadersatvariouslevelsofgovernmentas wellasconcernedindividualsororganizations.Ataskforceisabletotaketheleadanddothe legworkthatcanhelpdecisionmakersimplementinformedpolicies.Itcanhelpeducatethe generalpublic,identifybarrierstodevelopingaffordablehousing,developsolutionstoovercome them,andhelpensurethatplanninganddevelopmentinMcHenryCountyiscomprehensiveand inclusive.Ahousingcommissionisamoreformalgovernmententitythatisabletoinsert housingconsiderationsintoallcommunity/countyplanning. ExemplaryEfforts HighlandPark,Illinois,isanexampleofacommunitythatsawaneedtobuildunderstandingand capacityaroundhousingissues.In1973,theHighlandParkHousingCommissionwascreated. Thiscommissionhasbeenakeystakeholderinadvocatingforhousingpolicies,includingan InclusionaryHousingpolicy,andsettingforthrecommendationstothecitymayor.Outofthese recommendations,abroadbasedtaskforcedeterminedhowmuchaffordablehousingwas neededinthecommunity.Theycontinuetogeneratefundsforaffordablehousing,constructand operatehousing,maintainwaitinglists,andassemblelandtodevelopaffordablehousing.The
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Commissionhas10membersoneisanexcitycouncilrepresentative,andtheothernineare 173 HighlandParkresidents. In1991,LakeCounty,Illinois,implementedanAffordableHousingCommission,whichisa governmentagencythatsupportscounty,township,andmunicipalgovernmentsinadvocating forfairhousingintheirareas.Theyadvocateforpublicpolicychangesandsetpolicypriorities aroundaffordablehousing.TheAffordableHousingCommissioniscomprisedofrepresentatives fromthecountyboard,housingauthorities,therealestateindustry(includinghomebuilders,for 174 profitandnonprofitdevelopers,lenders,andrealtors),andthegeneralpublic. TheKaneCountyHousingActionCoalitionwasestablishedin2004,andisagrassrootsgroup thatadvocatesforaffordableandfairhousing.Theyidentifyissuesandneedsaroundthecounty andraisepublicawarenessbynetworkingwithothersthrougheducation.Theyalsocollaborate 175 withotherregional,statewide,andnationaladvocacyeffortstocreatechange. ThecityofSt.Charles,Illinois,establishedaHousingCommissionandiscurrentlyworkingto passanInclusionaryHousingOrdinanceinresponsetochangingpopulationdemographicsand affordablehousingneeds.
Opportunity:BuildCommunitySupport
Havingthesupportofabroadbaseofcommunitymembersandleadersisacriticalcomponent tothesuccessofanyaffordablehousinginitiative.Manycommunitymembersarenotwell informedandthereforeresorttorelyingonstereotypesaboutaffordablehousingandthepeople whoneedit.Asthisreportmakesclear,averydiversegroupofMcHenryCountyresidents fromseniors,topeoplewithdisabilities,toyoungfamilies,topeoplewithmentalillness,andso onneedshousingthatisaffordable. Acommonobstacleinthedevelopmentofaffordablehousingtendstobethatpeoplethink affordablehousingisneededbuttheydonotwantitbuiltneartheirownhomes.Thisattitude, oftenreferredtoasNotInMyBackyardorNIMBYism,includesfearsthataffordablehousing 176 invitescrime,decreasespropertyvalues,andstrainscommunityservices. Whilethesefears arisefromlegitimateconcernsaboutqualityoflife,theyarebasedonmisinformationandfear thatcanleadtostructuralracism,classism,anddiscrimination. Anumberofempiricallybasedresearchstudieshaveattemptedtoisolatethepropertyvalue effectofvariousformsofaffordablehousing.Studyafterstudyhasfoundthataffordablehousing haslittletonoaffectonpropertyvaluesandinsomecaseshasevenincreasedpropertyvalues. Thestudieshavefoundthatpropertyvaluesaredeterminedbybroader,morecomplexfactors liketheoverallareadevelopmentandprosperityandbytheconditionoftheparticularproperty 177 thatisforsale(seeAppendixAforanoverviewofstudies). Itisimperativethatcommunityconcernsbeaddressed,mythsdebunked,andpublicsupportfor affordablehousingeffortsbefostered.Possiblestrategiesmayincludeabroadpubliceducation campaign,communitymeetings,educationalevents,toursofaffordablehousingdevelopments, andrelationshipswithunlikelychampions.Suchactivitiescouldbeimplementedbythetask forceorhousingcommission. ExemplaryEfforts HousingActionIllinoisisanorganizationthatralliestheiralliesandcommunitiestogethertofight foraffordableandfairhousing.TheysupportvolunteerledgroupsinDuPage,Kane,andDeKalb Counties.Thesegroupsidentifyissuesandneeds,raisepublicawareness,collaboratewith regional,statewide,andnationaladvocacyefforts,aswellasnetworkwithothers.Theyhold
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affordablehousingforumsandpresentations,meetwithlegislators,andpublicizelocalaffordable 178 housingefforts. DuPageUnited,agrassrootsorganizationcomprisedofcommunitymembersfromvarious organizations,hasbuiltcommunitysupportaroundaffordablehousingissues.Theyhaveheld informationalsessionsonaffordablehousing,withover900peopleattending.Thishasbuilt communitysupportandhasmadelocalleaderstakenotice.ThecitiesofNapervilleandDowners GrovehaveaddedaffordablehousingtotheirStrategicPlanof2007asaresultofDuPage 179 Unitedsefforts.
Opportunity:DevelopaTrustFundandExploreOtherFinancing Mechanisms
Affordablehousingisabasiccommunityneedthatshouldnotbedependentonhighlypoliticized budgetprocesses.Housingtrustfundshelpensurethatthereisalwaysadependablelocal revenuesourcetosupportprojects.Housingtrustfundsarededicatedsourcesofrevenuethat areabletoprovidefinancialassistancetolocalaffordablehousingdevelopmentsorprojects. Housingtrustfundsaregenerallycreatedbyordinanceorlawandcanbefundedthroughreal estatetaxesorfees,developerfees,othertaxesandfees,andinterestfromgovernmentheld 180 andmarketbasedaccounts,amongothersources. Otherfinancingmechanismstoexploreincludelandbanking,demolitiontaxes,andsetaside funds: Landbankingisatechniquewherebyacity,county,ornonprofitorganizationacquires vacantland,underutilizedsites,orpropertieswiththepotentialforreuseor 181 rehabilitation. Alocalgovernmentmaybeabletobuylandfromotherpublicagencies atalowercostorbeforeitcomesonthemarketbecausestatelawgiveslocal governments,aswellasnonprofits,priorityinpurchasingsurplusland.Landbankscan beusefulintwomainways.First,theycanhelpcreatemoreaffordablehousing,since thelandbanktypicallysellsitspropertiesatlowprices.Second,theyaredesignedto helppreventblight,whichtendstogrowaroundvacanthomes.Ingeneral,vacanthomes tendtodragdownthepropertyvaluesoftheentireneighborhood,sothecommunity benefitsbynothavingvacantpropertiesonthemarketforlongperiodsoftime. Affordablehousingdemolitiontaxesdiscouragethedepletionofaffordablehousingstock byimposingafineondeveloperswhoteardownaffordablehousing.Often,therevenues raisedthroughthedemolitiontaxarethenputintoahousingtrustfundtosupportfuture developmentofaffordablehousing. Thereareanumberofrevenuesourcesthatcanbeusedforavarietyofactivities.Often affordablehousingdevelopmentorsupportisanallowableuseoffundsbutthereisnota specificdesignationthatfundsbeforaffordablehousing.Fundsfromtheserevenue sources,suchastheCommunityDevelopmentBlockGrantandSeniorCommission dollars,canbespecificallydesignated,orsetaside,ensuringthatatleastsomerevenue fromthesesourcesisusedforaffordablehousing. ExemplaryEfforts Chicago,Illinois,operatesaLowIncomeHousingTrustFund.Thisfundismanagedbyaboardof directorsappointedbythemayorandconsistsofindividualsfromcitygovernment,nonprofit organizations,andprivatecorporations.Thetrustfundprovidesgrantstobuildingownersand developerswhoreducerentsforlowincomeresidents.Fundsareprovidedbycitycorporations
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andstatefunds.ThetrustfundsupportsthreeprogramstheRentalSubsidyProgram, 182 SupportiveHousing,andAffordableRentsforChicagoprogram. HighlandPark,Illinois,engagesinlandbanking,orastheyrefertoit,acommunitylandtrust. TheHighlandParkIllinoisCommunityLandTrust(HPICLT)isaprivate,nonprofitorganization thatacquiresproperties,includingattachedanddetachedsinglefamilyhomes,andretainsthe 183 titletotheland. Theythensellthehomestoincomequalifiedbuyersataffordableprices, whileleasingthemthelandforanominalfee.Atresale,theHPICLTrequiresthathomesbesold backtothegrouportoanincomequalifiedbuyerataformulapricethatgivesownersalloftheir equityplusaportionoftheappreciatedvalue,keepinghomesaffordableforfuturebuyers. Inresponsetoincreasednumbersofdevelopersdemolishingaffordablehousingasproperty valuesincrease,thecityofHighlandParknowimposesa$10,000taxonthedemolitionofsingle familyaffordablehomesand$10,000or$3,000perunitforamultifamilyresidence,whicheveris 184 higher. Itexemptsdemolitionsthatintendtoreplacethehousingwithadditionalunitsof affordablehousing.OtherlocalcommunitiessuchasLakeForestandEvanstonhavesuccessfully 185 enactedademolitiontax. InAprilof2006,thestateofKentuckypassedalawthatraisedthefeeto$40ifasheriffwas 186 requestedforanonemergency. Thelawspecifiedthat$6ofthe$40togointotheaffordable housingtrustfundforthestateofKentucky.
Opportunity:ReviewZoningCodesandImplementComprehensive Planning
Planningandzoninglawsarethemostcriticalcomponenttofosteringwhatkindsof developmentsareallowedinacommunityandwhicharenot.Zoninglawsthatpromotesprawl andbanevenslightlymoredensebuildingcaneffectivelyprohibitaffordablehousing developmentbecauseofthehighercostsassociatedwithlessdensebuilding(mainlylandcosts). Foraffordablehousingdevelopmenttotrulymeettheneedsofthepeoplewhoneedandwishto liveinMcHenryCounty,municipalities,townships,andthecountymustcollaborateboth horizontallyandverticallyandinvesttimeandresourcesinsmartcountywideplanningand coordinationaroundaffordablehousing. Eachlevelofgovernmentcanplayacriticalroleinsomeaspectofpreservingandbuilding affordablehousing.Thisverticalcollaborationamongthedifferentlevelsofgovernmentisvital. Thecountyhassubstantialopportunitytoensurethataffordablehousingissuesareatthe forefrontofcountyplanningandthatthecountyhasabroadvisionforhousingitsresidents.The countycanalsoleadthewaythroughadvocacyandeducationtoengagemunicipalitiesin developingaplanandgetthemonboardwithitsplanandvisions.Townshipscanworkon advocacyandeducationaswellascontributetoapotentialhousingtrustfund.Planningand zoningismostlythedomainofmunicipalitiestherefore,municipalitiescanplayadirectrolein attractingavarietyofhousingstocktotheircommunityandmaximizingincentivesfor developers(suchasstreamliningapprovalprocesses,waivingcertainfees,etc.).Together,the county,municipalities,andtownshipscanexplorewaystostrengthentheprivatemarket responsetoaffordablehousing,expandsubsidizingpermanentsupportivehousing,andensure thathousinginthecountycoincideswithresidentsneedswhichincludenotonlyaffordability, butvaryinglevelsofhousingsupportservicesandproximitytojobs,transit,andcommunity amenitiessuchasshopping,schools,recreation,andplacesofworship. Ofequalimportanceisahorizontalcollaborationinwhichthevariousmunicipalitiesand townshipsinMcHenryCountyworktogethertoensurethatplanningforaffordablehousingis broadandholistic.Peopleallacrossthecountyneedhousingtheycanaffordandtheirneedswill
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beillservedifaffordablehousingdevelopmentisrelegatedtoremotecornersofthecountyor segregatedinjustoneortwomunicipalities. ExemplaryEfforts ElectedofficialsfromArlingtonHeights,Palatine,SugarGrove,andNorthbrookvisited fiveaffluentsuburbsofBoston,Massachusetts,in2004toseehowcommunitiestherehave actedthroughlocalinitiativestocreateaffordablehousing.Theseofficialswerelookingtothe Bostonsuburbsforideasforwaystochangezoningandaffordablehousingpoliciesintheirown communities.Theyvisitedsuburbswithmedianincomeshoveringatorabove$100,000and medianhomepricesrangingfrom$500,000toover$1million.TheBostonsuburbstheywere visitinghaveallsuccessfullycreatedasignificantamountofpermanentaffordablehousingover thepast20yearsdespitelittledevelopableland,zoningcodesthatseverelyrestrictdensity,high landcosts,andhighhousingpricesthatcontinuetorise.Inmanycases,thesetownshave 187 createdthisaffordablehousingwithouttheuseofpublictaxdollarsasasubsidy. Asaresultof thisvisitandlessonslearned,Northbrookcreatedanaffordablehousingplanandhassince 188 proposedthat15percentofallnewdevelopmentorredevelopmentbeaffordable. Manycommunities,suchasLakeForesthavedevelopedInclusionaryHousingOrdinances.This policyrequiresatleast15percentofthetotalnumberofhomesinadevelopmentofoverfive unitstobeaffordable.Theordinanceprovidesfeewaiversforinspection,impact,permits,andall otherdevelopmentfeesimposedbythecity.Thereisadensitybonusaswell.Changingthis 189 ordinancehasallowedmoreaffordablehousingtobedeveloped.
Opportunity:AdvocateforMeaningfulPolicyChange
Communitiesseekingtodevelopandmaintainaffordablehousingmustoperatewithinthe contextofstateandfederallawandresources.Therefore,itiscriticaltoidentifysystemic barriersandadvocateformeaningfulpolicychange.Manyoftheaffordablehousingchallenges includingallocationofstateresourcesandfederalfundingformulascanonlybeaddressedby systemschange.Itisimportantthatthislevelofchangenotbeignoredandthatthereisa concertedefforttoputforthacommonagendathatworkstoensurethathigherleveldecisions havepositiveimplicationsforallMcHenryCountyresidents. ExemplaryEfforts DuPageHousingActionCoalitionisanactionorientedefforttoincreaseaffordablehousing optionsbyadvocatingforpoliciesatthelocal,state,andnationallevel.TheCoalitionismadeup of26memberorganizations,includingsocialservices,churches,andcharitiesandisnavigated by10steeringcommitteemembers.Thegroupprioritizesissues,createsstrategiestomove forward,andtakesaction.TheCoalitionmeetsmonthlytoanalyzethehousingissuesand involvethecommunityincampaigns,meetswithelectedofficials,andcollaborateswitharea organizationstostrengthentheirinitiatives.TheyparticipateinadvocacyeffortsinSpringfield 190 withotherstatehousingcoalitions. BusinessandProfessionalPeopleforthePublicInterest(BPI)isapublicinterestlawandpolicy centerthatadvocatesformanyissues,includingaffordablehousing.Theyhavehelpedmany communities,includingWheaton,Naperville,Evanston,andHighlandParkadvocateforpolicy changesintheircommunities.Forexample,BPIhelpedtheLibertyvillecommunityandLake 191 CountyUnitedtocreatethefirstaffordablehousingsetasideforlowincomeresidents.
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Opportunity:ExpandConsumerPurchasingPower
Havinghousingthatisaffordabletopeopledependsnotonlyontheavailablestockofhousing, butalsoonpeoplesabilitytopay.Bymakingeffortstoattractandretaingood,qualityjobsin McHenryCountyandbyensuringthatthereareadequatesupportsinplace(andthatthose supportsareeasilyaccessible)forthosewhocannotworkorcannotworkfulltime,residentswill bebetterabletoaffordhousingthatmeetstheirneeds. ExemplaryEfforts TheChicagoJobsCouncilholdsamonthlyworkinggroupthatworkstowardidentifyingissues facedbythosewhoaredisadvantagedjobseekersandworkingpoorfamilies.Theyadvocatefor policychangesandchangesoflocalprogramsandstrategizearoundwaystocreatebetter employmentandtrainingopportunitiesforlowincomepeople.Thereareover100advocatesand 192 providersthatparticipateinthisgroupworkingtowardimprovingjobconditionsforIllinoisans. GoodJobsFirstIllinoisisajointprojectofGoodJobsFirstandtheIllinoisbasedCenterforTax andBudgetAccountability.GoodJobsFirstIllinoisprovidesresearchandtechnicalassistanceto effortstolinkstatebusinesssubsidiestoaccesstoaffordablehousing.Theprojecthasalso conductedtrainingsinsubsidyresearchforlaborunionsandcommunitygroups,giventestimony beforeIllinoislegislativecommitteesandChicagocitycouncil,andmadepresentationstoawide rangeofcommunity,government,andadvocacyorganizations.Theyadvocateforeconomicwell 193 beingthroughworkforcedevelopment.
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Conclusion
Thenotionofaffordablehousinghaschanged.Affordablehousingisnolongersynonymouswith highrisepublichousingratheritencompassesacontinuumofdiversehousingopportunities designedtomeetthevaryingneedsofarangeofindividualsandfamilies.InMcHenryCounty, thereisasignificantlackofaffordablehousingoptionsalongtheentirecontinuum, frompermanentsupportivehousingandinstitutionalcaretodirectsubsidizedhousingassistance toprivatemarketrentalandownerunits.The3,548affordable,specializedhousingoptionsthat existinMcHenryCountyareinsufficienttomeettheneedsofthemostvulnerableMcHenry Countyresidents: 22,331McHenryCountyhouseholdswithverylowincomes,including: 1,185poorseniors 1,104economicallyvulnerableadultswithaseverementalillness 915economicallyvulnerableadultswithaseriousdisability 221peoplewhoarehomeless
Thegapbetweenneedandsupplyisparticularlysalientforextremelylowincome peopleandadultswithdisabilitiesandseverementalillnesses.Therearesimplynot enoughsubsidized,accessible/adaptableunits,permanentsupportivehousing,andaffordable institutionalcarebedstohelpthesepopulationsremainstablyhoused.Additionally,subsidized housingoptionstargetedspecificallyforextremelylowincomeindividualsandhouseholdsare verylimited. Acommunityisonlyasstrongasitsmostvulnerablemembers.McHenryCountycannotafford inactionontheissueofaffordablehousingthelackofaffordablehousingcanhavesevereand costlyconsequencesforacommunity: Peoplewhoarenotadequatelyhousedexperienceinstabilityanduncertaintythatincreases absenteeism,affectsjobretentionandrecruitment,increasesunemploymentclaims,reduces productivityfortheemployer,andresultsinlosttaxrevenueforthecommunity. Childrenlivinginunstableenvironmentsorexperiencinghomelessnesshavegreater emotionalandlearningchallengesinschoolwhichcandivertschoolandpersonnelfinancial resourcestohelpthemcope. Whentheyarepayingtoomuchforhousing,lowincomefamiliesandseniorsmaymake tradeoffslikeskippingdosesofmedication,neglectingpreventivecare,foregoingneeded careforacuteconditions,orpurchasinglessnutritious,butcheaper,foodallofwhichhave seriouspersonalandpublichealthimplicationsandplaceadrainonhealthcareresources whenindividualsmustusecostlyemergencyroomservicesforhealthcare. Workerswhomustlivefarawayfromemploymentandservicecenterstobeabletoafford housingspendmoreoftheirtimecommutingandlesstimewiththeirfamilies.Livingfarther fromonesjobleadstomoremoneybeingspentongasandvehiclemaintenance,morelate arrivals,increasedlikelihoodofmissingdaysofworkduetofamilyobligations,andincreased roadcongestionandmaintenancealongwithpollution. Peoplewhocannotfindhousingtheycanaffordandthatmeetstheirneedsoftenrelyon otherfamilymembersorfriendsforsupport.Thiscanstraintheresourcesofthefriendsand familymembers,leadingtoevenmorepeoplestrugglingtogetby.Livingdoubledupwith familyandfriendscanleadtoovercrowding,andsafetyconcernsarisefrompossiblefire hazardsandotherpotentialdangers. Peoplewithspecialneedssuchasadisability,amentalillness,orasubstanceuseissuecan experienceanintensificationoftheirillnessoradeclineinfunctioningwhentheycannotfind housingthatmeetstheirneeds.Thisinturnfurthertaxesexistingsystemslikeemergency roomswhicharethenusedlikeprimarycarefacilitiesorcoldnightshelters.Itmayevenlead toinappropriateorprolongedinstitutionalization,whichiscostly.
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Precarioushousingsituationsmayleadtomoreinteractionswiththepoliceorcivilcourt actionsuchasevictionsorbankruptcies.Again,thisisanotherdrainonpublicservicesand increasestaxburden.
Thisreportcomesatatimewheneconomicforcesarecollidingtonegativelyimpact moreandmoreMcHenryCountyfamilies,leavingnotonlythemostvulnerable strugglingbutalsofamilieswithmoremoderateincomes.Perhapsneverbeforeinthe countyshistorythecommunityneededthecarefulandintentionalplanningtheynowneedto addressthehousingneedsofallresidents.Theemploymentlandscapehaschanged,incomes andearningsaredeclining,unemploymentisincreasing,povertyisgrowing,thehousingmarket isweak,newbuildinghassloweddramatically,andMcHenryCountyfamiliesaresuccumbingto foreclosuresatunprecedentedrates.Thesetrendsarefeedingtheneedforamoreappropriate andaffordablerangeofhousingoptionsandcommandattentionfromconscientiousleaders. Whilesuchalitanyofwoesmayseemdiscouraging,itcanalsobeviewedasanopportunity. Leadershavethechancetoactwhenfamiliesaremoreinneedofaffordablehousingand developersmaybemorereadilyenticedtobuildit. WhilehardshipistouchingmoreandmoremiddleincomefamiliesinMcHenryCounty,theneeds ofthemosteconomicallyvulnerableareurgentandmustbeacknowledgedandprioritized.One ofthemostimportantthingsthisresearchprocesshasrevealedisthatthevoicesofMcHenry Countyfamilieswithlowincomesandindividualswithhousingsupportneedsareoftennotheard andthereforenotcarefullyconsideredinplanningprocesses.Asthesepopulationsgrowitisof criticalimportancethattheirneedsareincorporatedintosuchdiscussions.Theneedfor housinglaidforthinthisreportcannotbeignored. Letthisreportserveasacalltoaction.Effortsmustbemadetofacilitatethedevelopment ofhousingthathelpsresidentsthriveandthathelpsMcHenryCountycommunitiesavoidthe instabilitythatresultsfrominadequateandunaffordablehousing.Affordablehousingstrategies shouldencompassawiderangeofhousingoptionsandhousingsupportstocoincidewiththe needsofallMcHenryCountyresidents.Additionally,transportationmustbeacritical considerationforthesuccessfulimplementationofanyaffordablehousingstrategy. LeadersfromacrossMcHenryCountyhaveanopportunitytocometogetherasa communitytocollaborateandbuildpublicsupport,increaseresidentscapacityto meettheirhousingneeds,andworkthroughavarietyofavenuestoexpand appropriateaffordablehousingoptionsforthepeopleofMcHenryCounty.
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Methodology
TheHeartlandAllianceMidAmericaInstituteonPoverty(MAIP)wascontractedbythe CorporationforAffordableHomesofMcHenryCountyandfundedbytheMcHenryCountySenior ServicesGrantCommission,theMcHenryCountyMentalHealthBoard,andtheMcHenryCounty ContinuumofCare.Thegoalofthisstudywastoassessthecurrentaffordablehousinginventory forlowincomeandspecialneedspopulations(individualswhoarehomeless,livingwithmental illness,developmentallydisabled,dealingwithsubstanceuseissues,etc.)inMcHenryCounty andestimatethedemandforaffordablehousing.Therewerefivesourcesofdatacollectionto reachthegoalofassessingthecurrentaffordablehousinginventoryinMcHenryCounty. ResearchMethodsReview Previousstudieswereidentifiedandreviewed,andresearch,evaluation,andtechnicalassistance toolswereexploredthatwererelevanttotheresearchquestions.Thisinformationguidedthe designoftheinterviews,aidedintheanalysisoftheresults,andinformedtheresulting recommendations. CollectionofOriginalDataandExistingData Demandandsupplydatawerecompiledusingoriginaldataaswellasexistingdata.Censusdata, homelesscounts,publichousingdata,housingwaitinglists,vacancyrates,housingcosts,aswell asvariousotherpoverty,economic,andhousingdatasourceswereused. Surveys Confidentialsurveysweresentouttofivedifferentgroups:McHenryCountybusinesses(329 surveyssent,48responses),MentalHealthBoardagencies(15surveyssent,12responses), ContinuumofCareagencies(14surveyssent,13responses),Housingindustryexperts(16 surveyssent,9responses),andmunicipalandtownshiprepresentatives(48surveyssent,23 responses).Respondentscouldmail,fax,oremailtheirresponsesbacktoMAIP.Therewasalso anoptiontoanswerthequestionsonlineviaasecureonlinesurveytool.Surveyswerethen enteredintoastatisticalanalysissoftwarepackageandanalyzedforsignificantthemes.See AppendixBforacopyofquestionsforeachgroup.SeeAppendixCforthemesthatemerged fromresponses. KeyInformantInterviews Keyinformantswereidentifiedbytheadvisorgroupofthestudy.Individualswerechosen becauseoftheirwidevarietyofexpertiseatthecountylevel.Interviewswereconductedeither overthephoneorinperson.Conversationslastedapproximately30to45minuteseach.Key informantswereprobedforperceptionsonhousingtrends,insightsonbarriers/challengesto affordablehousingdevelopment,andcountyprioritiesandplans.Overlappingandreoccurring themeswereidentified.SeeAppendixDforacopyofinterviewquestions.KeyInformants included: A. VirginiaPeschke,ConsumerCreditCounselingServicesofMcHenryCounty B. MattHansel,DeputyDirector,SuzAnneEhardt,Director,andMaryanneWanaski, Planner,McHenryCountyDepartmentofPlanningandDevelopment C. SandraSalgado,McHenryCountyBoardMember D. JohnLabaj,McHenryCountyDeputyAdministrator E. CharlesEldredge,ChairmanofRegionalPlanningCommission,Chairmanof TransportationandInfrastructureCommitteeoftheMcHenryCountyEconomic DevelopmentCorporation F. KenKoehler,McHenryCountyBoardChairman
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RoundtableDiscussions Roundtablediscussionswereconductedwithavarietyofstakeholders.Roundtableslasted approximately90minutes.Discussionsforeachgroupweretailoredtothegroupsparticular expertiseorareaofinterest.Overlappingandreoccurringthemeswereidentified.SeeAppendix E,F,G,andHforacopyofroundtabletopicquestions.Roundtablediscussionswereheldwith thefollowinggroups: A. McHenryCountyMentalHealthBoardTheMentalHealthBoardroundtablediscussion washeldduringthegroupsmonthlymeeting.Allthosethatwerepresentwereinvitedto participateandrepresenttheirorganizations. B. McHenryCountyContinuumofCareTheContinuumofCareroundtablediscussionwas heldduringthegroupsmonthlymeeting.Allthosethatwerepresentwereinvitedto participateandrepresenttheirorganizations. C. MunicipalitiesandTownshipsofMcHenryCountyThemunicipalandtownship representativesthatcompletedthesurveywereinvitedtoparticipateintheroundtable discussion. D. McHenryCountyResidentsTwoseparateroundtablediscussionswereheldwith McHenryCountyresidents.Residentswererecruitedthroughsocialserviceproviderswho informedresidentsoftheroundtables.Theywerealsorecruitedthroughflyersleftat variousplacesthroughoutMcHenryCounty.Thelocalresidentsthatattendedthe roundtableswereprimarilylowincomeandthereforearenotrepresentativeofthe generalMcHenryCountypopulation.
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1 2 3
U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. Ibid. Ibid. 4 Ibid. 5 Ibid. 6 U.S.CensusBureau,2000DecennialCensus&2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmerica InstituteonPoverty. 7 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 8 Ibid. 9 RealtyTrac.(2008,January).IllinoisforeclosurefilingsbycountJan05toDec07.Onfilewithauthor.Irvine,CA:Author. 10 NationalLowIncomeHousingCoalition.(2008).Outofreach2008.Washington,DC:Author. 11 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 12 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 13 U.S.CensusBureau,2000DecennialCensus&2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmerica InstituteonPoverty. 14 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 15 Ibid. 16 U.S.DepartmentofHealth&HumanServices,OfficeoftheSurgeonGeneral.(2001).Mentalhealth:AreportoftheSurgeonGeneral.Retrieved May8,2008fromhttp://www.surgeongeneral.gov/library/mentalhealth/home.html 17 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 18 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty,and SocialSecurityOnline,OfficeofPolicyData.(2004,March).SSIrecipientsbystateandcounty,2003.RetrievedMay15,2008,from http://www.ssa.gov/policy/docs/statcomps/ssi_sc/2003/index.html 19 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 20 J.Cowen,UniversityofIllinoisatChicago(personalcommunication,June14,2008). 21 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 22 Cunningham,M.(2007).DoubledupnumbersforIllinoisandIllinoismetropolitanareas.Onfilewithauthor.Washington,DC:NationalAllianceto EndHomelessness. 23 PolicyLink.(n.d.).Housingtrustfunds.RetrievedJune30,2008,fromhttp://www.policylink.org/EDTK/HTF/Financing.html 24 U.S.CensusBureau,PopulationEstimates,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 25 NorthernIllinoisPlanningCommission.(2006,September).2030Forecastsofpopulation,households,andemploymentbycountyandmunicipality. RetrievedDecember13,2007,fromhttp://www.chicagoareaplanning.org/data/forecast/2030_revised/,calculationconductedbytheHeartlandAlliance MidAmericaInstituteonPoverty. 26 U.S.CensusBureau,PopulationEstimates,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 27 Ibid. 28 Ibid. 29 J.Cowen,UniversityofIllinoisatChicago(personalcommunication,June14,2008). 30 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 31 U.S.DepartmentofHealth&HumanServices.(2006).Povertyguidelines,research,andmeasurement.RetrievedJanuary26,2007,from http://aspe.hhs.gov/poverty/index.shtml 32 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 33 U.S.CensusBureau,PopulationEstimatesandU.S.CensusBureau,1980DecennialCensus&2006AmericanCommunitySurvey,calculation conductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 34 Ibid. 35 Pearce,D.,&Books,J.(2001,December).TheSelfSufficiencyStandardforIllinois.Washington,DC&Chicago:WiderOpportunitiesforWomen& WomenEmployed,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 36 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 37 Ibid. 38 Ibid. 39 Ibid. 40 Ibid. 41 IllinoisDepartmentofHumanServices,BureauofResearch&Analysis.(2007,December).TANF,FHP,andFoodStampscasesandpersonsin metroareacountieswithestimatedChicago,Septemberofeachyear20002007.Onfilewithauthor. 42 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 43 IllinoisDepartmentofHumanServices,BureauofResearch&Analysis.(2007,December).TANF,FHP,andFoodStampscasesandpersonsin metroareacountieswithestimatedChicago,Septemberofeachyear20002007.Onfilewithauthor. 44 Albelda,R.,Boushey,H.,Chimienti,E.,Ray,R.,&Zipperer,B.(2007,October).Bridgingthegaps:Apictureofhowworksupportsworkinten states.Washington,DC&Boston:CenterforEconomicandPolicyResearch&CenterforSocialPolicy. 45 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 46 U.S.CensusBureau,1990DecennialCensus&2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmerica InstituteonPoverty. 47 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 48 Ibid. 49 Ibid. 50 Ibid. 51 BureauofLaborStatistics.(n.d.).Personsnotinthelaborforcebydesireandavailabilityforwork,age,andsex.RetrievedDecember19,2007,from ftp://ftp.bls.gov/pub/special.request/lf/aat35.txt 52 BureauofLaborStatistics.(n.d.).Personsatwork1to34hoursinallandinnonagriculturalindustriesbyreasonforworkinglessthan35hoursand usualfullorparttimestatus.RetrievedDecember19,2007,fromftp://ftp.bls.gov/pub/special.requests/lf/aat20.txt 53 nd U.S.CensusBureau.(2008).LEDorigindestinationdatabase,OntheMap2(2 quarter2004).RetrievedApril25,2008,from http://lehd.did.census.gov/led/datatools/onthemap2.html 54 Ibid. 55 CenterforTaxandBudgetAccountability,CenterforGovernmentalStudiesNorthernIllinoisUniversity,&OfficeforSocialPolicyResearchNorthern IllinoisUniversity.(2007).ThestateofworkingIllinois2007.Chicago&DeKalb,IL:Author. 56 IllinoisDepartmentofEmploymentSecurity.(2008).Whereworkerswork2008.Chicago:Author.
89
57
IllinoisDepartmentofEmploymentSecurity.(2008).Employmentprojections.RetrievedApril30,2008,from http://lmi.ides.state.il.us/projections/employproj.htm 58 nd U.S.CensusBureau.(2008).LEDorigindestinationdatabase,OntheMap2(2 quarter2004).RetrievedApril25,2008,from http://lehd.did.census.gov/led/datatools/onthemap2.html 59 Ibid. 60 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 61 TranSystemsCorporation.(2005,May).McHenryCountytransitplan,labormarketanalysis,surveyfindingsanddata,finalreport.KansasCity,MO: Author. 62 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 63 IllinoisDepartmentofEmploymentSecurity.(2008).Employmentprojections.RetrievedApril30,2008,from http://lmi.ides.state.il.us/projections/employproj.htm 64 BureauofLaborStatistics.(n.d.).Consumerpriceindex,createcustomizedtables.RetrievedJune3,2008,fromhttp://www.bls.gov/cpi,calculation conductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 65 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 66 Pace.(n.d.).Pace.RetrievedApril29,2008,fromhttp://www.pacebus.com/default.asp 67 Ibid. 68 Ibid. 69 FaithinAction.(n.d.).Aguideforseniors:Findingtherighttransportationoptionforyou.CrystalLake,IL:Author. 70 Metra.(n.d.).Metra/UnionPacificDistrictNorthwestLine.RetrievedApril29,2008,fromhttp://metrarail.com/Sched/cnw_nw/cnw_nw.shtml 71 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 72 U.S.CensusBureau,1990DecennialCensus&2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmerica InstituteonPoverty. 73 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 74 Ibid. 75 Ibid. 76 Ibid. 77 Ibid. 78 Ibid. 79 Ibid. 80 Ibid. 81 McHenryCountyEconomicDevelopmentCorporation.(n.d.).EstimatedhomemeanvaluesinMcHenryCounty.RetrievedApril25,2008,from http://www.mcedc.com/communities/housing.html 82 U.S.CensusBureau,2000DecennialCensus&2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmerica InstituteonPoverty. 83 McHenryCountyAssociationofRealtors.(2008).MLSNIclosedstatisticsforMcHCAR.RetrievedApril25,2008,fromhttp://www.mchcar.com/ 84 U.S.CensusBureau.(n.d).Monthlynewprivatelyownedresidentialbuildingpermits,McHenry,Illinois.RetrievedApril25,2008,from www.census.gov/const/www/permitsindex.html 85 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 86 Ibid. 87 Ibid. 88 RealtyTrac.(2008,January).IllinoisforeclosurefilingsbycountJan05toDec07.Onfilewithauthor.Irvine,CA:Author. 89 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 90 Ibid. 91 Ibid. 92 Ibid. 93 U.S.CensusBureau,2000DecennialCensus,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 94 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 95 Ibid. 96 Ibid. 97 Ibid. 98 Ibid. 99 Ibid. 100 U.S.DepartmentofHealth&HumanServices,OfficeoftheSurgeonGeneral.(2001).Mentalhealth:AreportoftheSurgeonGeneral.Retrieved May8,2008fromhttp://www.surgeongeneral.gov/library/mentalhealth/home.html 101 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheMidAmericaInstituteonPovertyofHeartlandAlliance. 102 Ibid. 103 Ibid. 104 Ibid. 105 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty,and SocialSecurityOnline,OfficeofPolicyData.(2004,March).SSIrecipientsbystateandcounty,2003.RetrievedMay15,2008,from http://www.ssa.gov/policy/docs/statcomps/ssi_sc/2003/index.html 106 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 107 PioneerCenterforHumanServices,FamilyService&CommunityMentalHealthCenter,Options&AdvocacyforMcHenryCounty.(2007,April). Developmentaldisabilityservices:Asystemincrisis.CreatingtheDevelopmentalDisabilities377BoardinMcHenryCounty.McHenry&CrystalLake, IL:Author. 108 Ibid. 109 Ibid. 110 Ibid. 111 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 112 J.Cowen,UniversityofIllinoisatChicago(personalcommunication,June14,2008). 113 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 114 Ibid. 115 Ibid. 116 Ibid. 117 U.S.DepartmentofHousingandUrbanDevelopment.UnitedStatesCode,Title42,Chapter119,SubchapterI. 118 Chicago Coalition for the Homeless. (2006, December). How many people are homeless in Chicago? An FY 2006 analysis. Chicago: Survey ResearchLaboratoryattheUniversityofIllinoisatChicago.
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119
Cunningham,M.(2007).DoubledupnumbersforIllinoisandIllinoismetropolitanareas.Onfilewithauthor.Washington,DC:NationalAllianceto EndHomelessness. 120 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 121 U.S.CensusBureau,2000DecennialCensus&2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmerica InstituteonPoverty. 122 NationalLowIncomeHousingCoalition.(2008).Outofreach2000and2008.Washington,DC:Author,calculationconductedbytheHeartland AllianceMidAmericaInstituteonPoverty. 123 U.S.DepartmentofHousing&UrbanDevelopment.(2005).Stateofthecitiesdatasystem:Comprehensivehousingaffordabilitystrategy(CHAS) data.RetrievedMay8,2008from,http://socds.huduser.org/chas/index.htm? 124 NationalLowIncomeHousingCoalition.(2008).Outofreach2008.Washington,DC:Author. 125 U.S.CensusBureau,2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 126 Ibid. 127 U.S.CensusBureau,2000DecennialCensus,calculationconductedbytheHeartlandAllianceMidAmericaInstituteonPoverty. 128 U.S.CensusBureau,2000DecennialCensus&2006AmericanCommunitySurvey,calculationconductedbytheHeartlandAllianceMidAmerica InstituteonPoverty. 129 McHenryCountyHousingAuthority.(n.d.).Publichousingprogram.RetrievedMay16,2008,from http://www.mchenrycountyhousing.org/WebPages/PublicHousing.aspx 130 P.Davis,McHenryCountyHousingAuthority(personalcommunication,June3,2008). 131 NationalLowIncomeHousingCoalition.(2008).2008Advocatesguidetohousingandcommunitydevelopmentpolicy.Washington,DC:Author. 132 IllinoisAssistedHousingActionResearchProject.(2007,April).LocatingaffordableandaccessiblehousingforpeoplewithdisabilitiesinIllinois. Chicago:NathalieP.VoorheesCenterforNeighborhoodandCommunityImprovementatUniversityofIllinoisatChicago,HousingActionIllinois,& LatinosUnited. 133 J.Gradishar,McHenryCountyHousingAuthority(personalcommunication,June5,2008). 134 Ibid. 135 NationalLowIncomeHousingCoalition.(2008).2008Advocatesguidetohousingandcommunitydevelopmentpolicy.Washington,DC:Author. 136 Ibid. 137 ChicagoRehabNetwork.(n.d.).Preservationdataquery.RetrievedJune1,2008,from http://www.chicagorehab.org/crn/properties/queryBuilder/viewFilters.aspx 138 NationalLowIncomeHousingCoalition.(2008).2008Advocatesguidetohousingandcommunitydevelopmentpolicy.Washington,DC:Author. 139 IllinoisAssistedHousingActionResearchProject.(2007,April).LocatingaffordableandaccessiblehousingforpeoplewithdisabilitiesinIllinois. Chicago:NathalieP.VoorheesCenterforNeighborhoodandCommunityImprovementatUniversityofIllinoisatChicago,HousingActionIllinois,& LatinosUnited. 140 J.Gradishar,McHenryCountyHousingAuthority(personalcommunication,June5,2008). 141 McHenryCountyHousingAuthority.(n.d.).RentalHousingSupportProgram.RetrievedMay7,2008,from http://www.mchenrycountyhousing.org/WebPages/Rental%20Housing%20Support%20Program.aspx 142 IllinoisDepartmentofHumanServices.(n.d.).Homelessprevention.RetrievedJune1,2008,fromhttp://www.dhs.state.il.us/page.aspx?item=30360 143 Ibid. 144 M.Seidel,CorporationforAffordableHomesofMcHenryCounty(personalcommunication,May9,2008). 145 HabitatforHumanityofMcHenryCounty.(2007).Homeownership.RetrievedMay10,2008,fromhttp://www.habitatmchenry.org/home_own.cfm 146 NationalLowIncomeHousingCoalition.(2008).2008Advocatesguidetohousingandcommunitydevelopmentpolicy.Washington,DC:Author. 147 Ibid. 148 Ibid. 149 McHenryCountyHousingAuthority.(n.d.).GreenTreesandSilverTreesApartments.RetrievedJune10,2008,from http://www.mchenrycountyhousing.org/WebPages/GreenTrees%20and%20SilverTrees%20Apartments.aspx 150 NationalLowIncomeHousingCoalition.(2008).2008Advocatesguidetohousingandcommunitydevelopmentpolicy.Washington,DC:Author. 151 U.S.DepartmentofHousingandUrbanDevelopment.(2006).ProgramsofHUD:Majormortgage,grant,assistance,andregulatoryprograms. Washington,DC:Author. 152 Ibid. 153 IllinoisAssistedHousingActionResearchProject.(2007,April).LocatingaffordableandaccessiblehousingforpeoplewithdisabilitiesinIllinois. Chicago:NathalieP.VoorheesCenterforNeighborhoodandCommunityImprovementatUniversityofIllinoisatChicago,HousingActionIllinois,& LatinosUnited. 154 U.S.DepartmentofHousingandUrbanDevelopment.(2008).CommunityplanninganddevelopmentformulaallocationsforFY2008.Retrieved May21,2008,fromhttp://www.hud.gov/offices/cpd/about/budget/budget08/ 155 NationalLowIncomeHousingCoalition.(2008).2008Advocatesguidetohousingandcommunitydevelopmentpolicy.Washington,DC:Author. 156 U.S.DepartmentofHousingandUrbanDevelopment.(2008).CommunityplanninganddevelopmentformulaallocationsforFY2008.Retrieved May21,2008,fromhttp://www.hud.gov/offices/cpd/about/budget/budget08/ 157 NationalLowIncomeHousingCoalition.(2008).2008Advocatesguidetohousingandcommunitydevelopmentpolicy.Washington,DC:Author. 158 Ibid. 159 IllinoisAssistedHousingActionResearchProject.(2007,April).LocatingaffordableandaccessiblehousingforpeoplewithdisabilitiesinIllinois. Chicago:NathalieP.VoorheesCenterforNeighborhoodandCommunityImprovementatUniversityofIllinoisatChicago,HousingActionIllinois,& LatinosUnited. 160 Ibid. 161 Ibid. 162 NationalLowIncomeHousingCoalition.(2008).2008Advocatesguidetohousingandcommunitydevelopmentpolicy.Washington,DC:Author. 163 IllinoisHousingDevelopmentAuthority.(n.d.).SearchforrentalapartmentsfinancedbyIHDA.RetrievedApril26,2008,from http://www.ihda.org/ViewPage.aspx?PageID=204 164 Ibid. 165 IllinoisAssistedHousingActionResearchProject.(2007,April).LocatingaffordableandaccessiblehousingforpeoplewithdisabilitiesinIllinois. Chicago:NathalieP.VoorheesCenterforNeighborhoodandCommunityImprovementatUniversityofIllinoisatChicago,HousingActionIllinois,& LatinosUnited. 166 McHenryCountyHUDSuperNOFAApplications,20052007. 167 Suchar,N.(2007).Chronichomelessnessbrief. Washington,DC:NationalAlliancetoEndHomelessness. 168 IllinoisDepartmentofPublicHealth.(n.d.).NursinghomesinIllinois.RetrievedMay2,2008,fromhttp://www.idph.state.il.us/webapp/LTCApp/ltc.jsp 169 CenterforNeighborhoodTechnology.(2007).Housing+TransportationAffordabilityIndex.RetrievedMay20,2008,fromhttp://htaindex.cnt.org/ 170 CenterforTransitOrientedDevelopment&CenterforNeighborhoodTechnology.(2006,January).TheAffordabilityIndex:Anewtoolformeasuring thetrueaffordabilityofahousingchoice. Washington,DC:TheBrookingsInstitution,MetropolitanPolicyProgram. 171 TranSystemsCorporation.(2005,May).McHenryCountytransitplan,labormarketanalysis,surveyfindingsanddata,finalreport.KansasCity,MO: Author.
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Ibid. Mann,T.(2007).Homegrown:Localhousingstrategiesinaction.Chicago:ChicagoMetropolis2020. LakeCountyIllinois,Planning,Building,andDevelopment.(n.d.).Affordablehousingcommission.RetrievedJune3,2008,from http://www.co.lake.il.us/planning/boards/ahc.asp 175 LeagueofWomenVotersofGenevaSt.Charles.(n.d.).AffordableHousingAdvocacy.RetrievedonJune3,2008,from http://lwvgenstc.org/affordable_housing.html 176 KaneCountyHousingActionCoalition.(2007,November).ThestateofaffordablehousinginKaneCounty,Illinois.Illinois:Author. 177 HabitatforHumanity.(n.d.)Whyaffordablehousingdoesnotlowerpropertyvalues.RetrievedMay14,2008,from http://www.habitat.org/how/propertyvalues.aspx 178 HousingActionIllinois.(n.d.).Organizing:Localactivities.RetrievedonJune2,2008fromhttp://www.housingactionil.org/organizing/pages15/ index03.html 179 DuPageUnited.(2007).Affordablehousing.RetrievedJune6,2008,fromhttp://www.dupageunited.org/issues/page31/page31.html 180 PolicyLink.(n.d.).Housingtrustfunds.RetrievedJune30,2008,fromhttp://www.policylink.org/EDTK/HTF/Financing.html 181 KnowledgePlex.(2008).Topiclandbanking.RetrievedJune3,2008,fromhttp://www.knowledgeplex.org/topic.html?c=262 182 Mann,T.(2007).Homegrown:Localhousingstrategiesinaction.Chicago:ChicagoMetropolis2020. 183 HighlandParkCommunityLandTrust.(n.d.).HighlandParkIllinoisCommunityLandTrust.HighlandPark,IL:Author. 184 U.S.DepartmentofHousingandUrbanDevelopment.(2004).Regulatorybarriersclearinghousedemolitionpermitfeeandaffordablehousing demolitiontax.RetrievedJune3,2008,fromhttp://www.huduser.org/rbc/search/rbcdetails.asp?DocId=851 185 BusinessandProfessionalPeopleforthePublicInterest.(2007).AffordablehousingChicagoregionalandlocalpolicyinitiativeChicagoarea suburbs.RetrievedJune3,2008,fromhttp://www.bpichicago.org/regionallocaltoolsinactionchicagosuburbs.php 186 BluegrassInstitute.(2008).2006HouseBill537(Increasecertainsheriffsfees).RetrievedonJune17,2008,from http://www.kentuckyvotes.org/SearchLegislation.aspx?EndDate=2%2F9%2F2007&Keywords=clerk&Laws=True 187 CampaignforSensibleGrowth.(2005,February15).UpdateonAffordableHousingPlanningandAppealAct.RetrievedJune3,2008,from http://www.growingsensibly.org/news/releaseDetail.asp?objectID=1827 188 Schoon,D.,&Smyth,N.(2008,April).HousinginNorthbrook.Northbrook,IL:BoardofTrustees. 189 Mann,T.(2007).Homegrown:Localhousingstrategiesinaction.Chicago:ChicagoMetropolis2020. 190 DuPageHousingActionCoalition.(n.d.).Whatwedo.RetrievedJune2,2008,fromhttp://www.dhac1.org/AboutUs/what.we.do.html 191 BusinessandProfessionalPeopleforthePublicInterest.(2007).Affordablehousing.RetrievedJune6,2008,from http://www.bpichicago.org/ah.php 192 ChicagoJobsCouncil.(n.d.).Workinggroupinformation.RetrievedonJune2,2008,fromhttp://www.cjc.net/wkgrp_info.php 193 GoodJobsFirst.(n.d.).GoodJobsFirst,Illinois.RetrievedJune6,2008,fromhttp://www.goodjobsfirst.org/illinois/index.cfm
September2008
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McHenry County: A Place To Call Home - Affordable Housing Needs Assessment

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McHenry County: A Place To Call Home - Affordable Housing Needs Assessment

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MCHENRYCOUNTY:APLACETOCALLHOME

OpportunitiestoProvidefortheHousingNeedsofMcHenryCountyResidents 77 Conclusion 85 Methodology 87 References 89 AppendicesAthroughH availableatwww.heartlandalliance.org/maip/

From2000to2006themedianvalueofahomeinMcHenryCountyrosefrom$167,400to 67 $252,700anincreaseof$85,300or51.0percent. Ahouseholdwouldneedanannualincome of$66,483toaffordthemortgageforahomeatthecurrentmedianvalue.

Ahousingunitisowneroccupied(ownerhousing)iftheownerorcoownerlivesintheunit.Aunitisconsidered renteroccupied(rentalhousing)ifnoownerslivesthereandtheunitisrentedforcashrentoroccupiedwithout paymentofcashrent.

RentalHousing Themaximummonthlyrentafamilycan affordisequaltotheirannualincome, multipliedby30percent,dividedby12. Assumesarentalunitisaffordableifa familypaysnomorethan30percentof theirincometowardtheirhousingcosts (rentplusutilities).

TheU.S.DepartmentofHousingandUrbanDevelopments(HUD)estimateoftheactualmarketrentforanon luxuryapartmentintheconventionalmarketplace.Everyyear,HUDdevelopsandpublishesFairMarketRentsfor everymetropolitanarea.

These3,548specializedaffordablehousingoptionsareinsufficienttomeettheneeds ofthe22,331verylowincomeMcHenryCountyhouseholds,including: 1,104economicallyvulnerableadultswithaseverementalillness 915economicallyvulnerableadultswithaseriousdisability 1,185poorseniors 221peoplewhoarehomeless

Someofthecommunitiesthathavehadthemostsuccessatcomprehensivelyaddressing residentshousingneedsarethosethathaveorganizedagroupsolelydedicatedtoaffordable housingissues.Withadefinedpurposeandaclearvision,suchataskforceorahousing

Itisimperativethatcommunityconcernsandmythsbeaddressedandpublicsupportfor affordablehousingeffortsbefostered.Possiblestrategiesmayincludeabroadpubliceducation campaign,communitymeetings,educationalevents,toursofaffordablehousingdevelopments, andbuildingrelationshipswithunlikelychampions.

Thereare79,765families(ahouseholderplusatleastoneotherindividual)inMcHenryCounty. 8,157or10.2percentfallbelow185%ofthefederalpovertyline,meaningtheyarepoorornear poor.

Employmentratesarecalculatedbytakingthenumberofpeoplewhoareemployeddividedbythetotalnumber ofpeople.Unemploymentratesarecalculatedbytakingthenumberofpeoplelookingforworkdividedbythe numberofpeopleinthecivilianlaborforce.Beingunemployedisdefinedasdesiringandactivelyseekingwork.

50 Thereare170,658adultsage25to64inMcHenryCounty. AmongthisgroupofMcHenry Countyadults,6.8percentdonothaveahighschooldiploma,lowerthanKaneandDeKalb Counties,buthigherthanDuPageCounty.32.6percenthaveabachelorsdegreeorhigher,a ratethatishigherthanKaneandDeKalb,butlowerthanDuPage(Figure3).

EducationalAttainment Population25to64years Lessthanhighschool graduate Highschoolgraduate (includesequivalency) Somecollegeorassociate's degree Bachelor'sdegreeorhigher

OTHERSERVICES(exceptPUBLICADMIN.) FINANCE&INSURANCE WHOLESALETRADE ARTS,ENTERTAINMENT&RECREATION ACCOMMODATIONS&FOODSERVICES PROFESSIONAL,SCIENTIFIC&TECH.SVCS. HEALTHCARE&SOCIALASSISTANCE ADMIN.&SUP.&WASTEMGMT.&REMED.SVCS. MNGMT.OFCOMPANIES&ENTERPRISES

17.6% 19.9% 21.2% 22.8% 23.4% 26.0% 42.1% 95.4% 566.3%

$24,052 $48,497 $51,865 $12,764 $13,009 $43,094 $38,943 $29,577 $73,661

ADMIN.&SUP.&WASTEMGMT.&REMED. SVCS. ACCOMMODATIONS&FOODSERVICES CONSTRUCTION HEALTHCARE&SOCIALASSISTANCE RETAILTRADE MANUFACTURING

5,996 7,179 8,178 9,499 13,128 19,415

7.0% 8.4% 9.6% 11.1% 15.4% 22.7%

$29,577 $13,009 $52,429 $38,943 $23,071 $45,228

EmploymentpatternsofMcHenryCountyresidentslookslightlydifferentthantheemployment patternsofthosewhoworkinMcHenryCounty.Figure6abovedisplayswherecountyresidents 31 work.

MINING Note:Duetodatasourcelimitations,Tables18,19,and21reportannualearningsdifferently.Tables18and19 presentaverageannualearningswhileTable21presentsmedianannualearnings.Whilebotharemeasuresof centraltendency,themedianislesssusceptibletooutliers.

Servicejobsareessentialforthecountyseconomy,butthecostoflivinginMcHenryCounty maybetoohighforpeopleemployedinthegrowinglowpayingservicesectors.Asonecounty levelofficialstated,Themanufacturingbasehasleft,leavinglessskilledjobswithlowerpay. Thismeans[people]areforcedtoleaveMcHenryCountytolive.

40.0% 23.0% 20.0% 15.4% 16.8%

0.0% Edu& Food&Beverge Communication Shelter Fuels&Utilities MedicalCare Gasoline

Ahousingunitisowneroccupied(ownerhousing)iftheownerorcoownerlivesintheunit.Aunitisconsidered renteroccupied(rentalhousing)ifnoownerslivesthereandtheunitisrentedforcashrentoroccupiedwithout paymentofcashrent.

Residentsattheroundtablesdiscussedcrowdingandexplainedthattheyworryaboutthehealth anddevelopmentofchildrenwhenentirefamiliesarecrammedintoapartmentsthatarefartoo small. Figure11McHenryCountyHousingbyYearStructurewasBuiltbyTenure,2006

Despitetheserecentincreasesinhomevalues,sinceMarchof2006,McHenryCountyshome 83 saleshavesloweddramatically. InMarchof2008,232homesinthecountyweresold,halfthe

Under$500 $500to$749 $750to$999 $1,000to$1,499 $1,500to$1,999 $2,000andover

Sensorydisability Physicaldisability Mentaldisability Selfcaredisability Gooutsidethehome disability Employmentdisability (age16to64)

Localserviceprovidersandresidentsidentifiedawiderangeofhousingandhousingsupports thatcouldhelppeoplewithdisabilities,includingthosewithdevelopmentaldisabilities,remain housed: ADAadaptedhousing Housingthatcanaccommodateacaretaker

Sharedapartments Grouphomes Efficiencyapartments(asmallapartmentwithabathroomandkitchenette) Housingcoupledwithservices(supportivehousing) Respitecare

48.6percentofallMcHenryCounty seniorhouseholds(8,384)have annualincomesbelow$35,000and overathirdhaveannualincomes 116 below$25,000(Table42).

119 regionwouldbeincludedintheestimateofnumberofpeoplethatarehomeless. Basedonthis estimateandMcHenryCountysproportionoftheregionspopulation,anestimated4,695people inMcHenryCountylivedoubledup.

identifiedtypesofhousingandservicesthatmustbepresentforpeopleexperiencing homelessness: Safe,securesheltersforindividuals,families,andyouththatareavailableyearround Transitionalhousingwithsupportiveservices Permanent,supportivehousing Affordableapartments Housingvouchers/rentalassistance

Notes:Itcanbeassumedthatpoorseniors,individualsexperiencinghomelessness,andeconomicallyvulnerable adultswithseverementalillnessandadultswithseriousdisabilityarelikelysubpopulationsoftheverylowincome householdcategory.Foradditionaldetailonhowtheverylowincomegroupiscalculated,seechapter4.

TherearecertainlyadditionalfamiliesandindividualsinMcHenryCountythatstruggletofind housingtheycanafford.Table45reflectsthosewiththemostpressingaffordablehousingand housingsupportneedsandisthereforelikelyaveryconservativeestimateofneed.

RoundedtoUseful IncomeThreshold $75,000 $50,000 $35,000 $20,000

Togethertheselowincomegroupsmakeupwhatarerefertohereaseconomicallyvulnerable McHenryCountyfamilies.Duetothehighcostofhousinginthecountyandthelackofunitsthat theycanafford,economicallyvulnerablefamiliesarethreatenedbyhighhousingcostburden andevenhomelessness.

$101,500to $145,000 $58,000to $101,500 Under $58,000

34,913($150,000to $250,000) 15,888($150,000to $200,000) 7,459($100,000to $150,000) 1,614($60,000to $100,000) 193(under$60,000)

Approximate GapBetween Needand Supply 17,191 7,868 6,179 8,172

While Themedianhouseholdincomehasdeclinedby$6,498(8.3percent)since2000and Medianearningshavedeclinedby$4,617(12.1percent)since2000.

PublicHousing PublichousingwascreatedbytheHousingActof1937toprovidedecentandsaferental housingtoeligiblelowincomefamilies,theelderly,andpersonswithdisabilities.Publichousing 132 isfundedbyHUDandhassufferedfromrecurringcutsinthefederalbudget.

143 TargetedIncomeGroups: Familiesmustdemonstrateatemporaryeconomiccrisisbeyondthehouseholdscontrol thathasputtheminimmediatedangerofeviction,foreclosure,orhomelessness.

Emergency 22.3% Transitional 52.5%

Permanent Supportive 25.3%

CrystalLake Shelter Ringwood Shelter

Transitional Transitionalto Permanent

Waukegan RoadApt. Apartments

N/A N/A Rebekahs House 3

Emergency Emergency Transitional

Shelter ShelterSites Oct1Apr30 Shelter

Homeless individualsand familieswith children

AsofMay2008therewere92permanentsupportivehousingbedsinMcHenryCounty,including bothHUDfundedandnonHUDfundedunits(Table52).Sixtyofthosebedsareforpeoplewith developmentaldisabilities,13areforthosewithmentalillness,and19areforthosewhoare homelesswithmentalillnessandsubstanceuseissues.

1,185poorseniors 1,104economicallyvulnerableadultswithaseverementalillness 915economicallyvulnerableadultswithaseriousdisability 221peoplewhoarehomeless

HousingandTransportation CostsasPercentofIncome Datanotavailable 0to40% 40to45% 45to50% 50to60% Greaterthanorequalto 60%

LeadersinMcHenryCountymustfindwaystofacilitatethedevelopmentofhousingthathelps residentsthriveandthathelpscommunitiesavoidtheinstabilitythatresultsfromhomelessness andfamiliesstretchingthemselvesthintokeeparoofovertheirheads. Buildingaffordablehousingcanhaveahostofpositiveimpactsonacommunity:

Precarioushousingsituationsmayleadtomoreinteractionswiththepoliceorcivilcourt actionsuchasevictionsorbankruptcies.Again,thisisanotherdrainonpublicservicesand increasestaxburden.

172 173 174

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