U.S. Department of Housing and Urban Development
Office of Community Planning and Development



Consolidated Plan Contact

CITIZEN'S SUMMARY

The City of Watsonville, located approximately one hundred miles south of San Francisco, is a relatively small coastal community with a population of 31,300. Watsonville's economy relies heavily on the growing of apples, strawberries and flowers. The main harvest time runs from March through September of each year.

Action Plan

The City of Watsonville Consolidated Plan presents a strategic vision for housing and community development in this unique coastal community. The City of Watsonville received $816,000 in Community Development Block Grant (CDBG) funds.

Citizen Participation

The Housing and Economic Development Department (HEDD) held two public hearings. Public notices regarding the meetings were published in English and Spanish, ten days prior to each meeting. The first public hearing took place on March 6, 1995. During this meeting, the public learned about CDBG, the Consolidated Plan process, eligible CDBG categories and the City Council community development priorities. Citizens and twelve organizations representing the community gave their input. On March 22, 1995, HEDD made available a draft of the Consolidated Plan for public review, and also published a summary of the Plan, in English and Spanish, in the local newspaper. The public comment period lasted from March 22 to April 20, 1995. The second public hearing was held on May 9, 1995 at the City of Watsonville Council Chambers where the City Council approved the Consolidated Plan.



COMMUNITY PROFILE

Watsonville is located in Santa Cruz County, which is second only to San Francisco as the most expensive home ownership market in the United States, according to a report published by the National Association of Home Builders in December 1992. Only 14.7% of Santa Cruz County families can afford a median-priced home.

The City's population has increased from 23,449 in 1980 to 31,099 in 1990. Watsonville is primarily made up of two ethnic groups, Hispanic and Non-Hispanic Whites. These two groups comprise roughly 95% of the city's population, with the remainder being Asian.



HOUSING AND COMMUNITY DEVELOPMENT NEEDS

Conditions

The general condition of the housing stock in Watsonville is variable depending on the age of the neighborhood. Roughly 12% of the City's housing units are in need of rehabilitation. Houses in the older downtown neighborhoods are in the worst condition. Many of the rental housing units in the areas occupied by low-income families are in need of electrical plumbing and insulation systems rehabilitation.

Housing Needs

The most critical housing need identified in the Consolidated Plan was the need to alleviate conditions of overcrowding. The 1990 Census data indicates that 26% of the households in Watsonville are overcrowded, with approximately 2,000 families having to "doubled up" as a result of economic necessity. Throughout the City, extremely Low-Income renting households have the highest percentage of houses with housing problems, followed by extremely low-income home owners, low-income and owner households, and moderate income renter and owner households.

Housing Market Conditions

According to the 1990 census, Watsonville has 764 studio units, 2,265 one bedroom units, 4,087 two bedroom units, and 2,793 three or more bedroom units. During the 1980's, the total number of housing units increased from 8,651 to 9,909. Even with this 14.5% increase in the number of housing units, housing availability has not kept pace with the 33% increase in the population. The higher population growth relative to the growth of the housing supply has exacerbated the low vacancy rate.

Watsonville has experienced unemployment rates exceeding 22% percent over the past five years. In addition, over the last two years, Watsonville has experienced major plant closures and effects of the national recession further impacts the economy.

Affordable Housing Needs

Extremely low-income rental households make up 12% of the total number of Watsonville households. The renting population is impacted by the high purchase price of housing. High rents are being driven by the high cost of buying a home. Extremely low-income individuals fortunate enough to own their homes tend to reside in homes located in older, more run down neighborhoods, and lack the resources to repair or upgrade their units.

Homeless Needs

At any given time, slightly over 400 individuals are homeless, shelterless or living in vehicles in Watsonville. An estimated 1,555 individuals (5% of the City's population) experienced homelessness during the year in Watsonville. Of this group 20% of the population were children, and 86% of the groups surveyed reported incomes of less than $499 per month. The local job market, dominated by the agricultural industry, provides seasonal employment for unskilled field workers. These agricultural workers have an especially difficult time finding affordable rental units, and even more difficulty in qualifying as first time home buyers.

Public and Assisted Housing Needs

Affordable housing and rent subsidies for low-income people are in extremely short supply. The Housing Authority's waiting list is 8,142. Pajaro Valley, Affordable Housing Corporation, a local non-profit housing development organization, has more than 325 families on a waiting list. The Watsonville housing market is very tight because of the lack of housing for agricultural workers employed throughout the area. CHISPA, an affordable housing developer, received 1,200 applications for their recently opened La Posada project which provided 43 apartments for farm-worker families.

Long term transitional housing shelters and emergency shelters in Watsonville report zero vacancy rates and increasing demand despite the increase in numbers of shelters and beds in the area. The overcrowded condition of many households puts may families at risk of becoming homeless.

Barriers to Affordable Housing

The greatest impediment to the development of affordable rental units and home ownership opportunities is the high cost and scarcity of land. The inventory of available land is extremely restricted. Currently, the few available buildable lots are listing for an average of $80,000. Of the remaining 206 acres of residential land, 185 acres have pending projects. These projects have not been constructed due to the high cost of providing the required infrastructure.

Fair Housing

No reference was made to Fair Housing issues in the Consolidated Plan.

Lead-Based Paint

The City's low-income residents are at an increased risk of having elevated blood lead levels due to the fact that they generally live in older homes and that many of these homes are in poor condition. All projects are closely inspected for dangerous lead based paint conditions. The residents of all projects are made aware of the possible problem and it is recommended that their children participate in a free blood screening program.

Community Development Needs

In addition to affordable housing, adults need assistance in learning English as a second language, and assistance in completing their G.E.D. and attending job training. Small children need high quality day-care and pre-schools, teens need after school programs with activities which increase self esteem as well as coping and learning skills. Families need case management services, as well as health and educational counseling.

Coordination

Watsonville has a number of non-profit organizations and housing providers which own and develop projects. Each of these organizations has its own areas of emphasis an expertise. The Housing and Economic Development Department (HEDD) and the Watsonville Redevelopment Agency (RDA) has helped fund most of the non-profit projects. The coordination and communication between HEDD and the providers of public assisted housing is very good. HEDD will continue to work with other City departments, the Housing Authority of the County of Santa Cruz, and all non-profit organizations working to provide decent and affordable housing for the low-income residents of Watsonville.



HOUSING AND COMMUNITY DEVELOPMENT STRATEGY

Vision for Change

Watsonville faces three major housing challenges in the next several years; to alleviate overcrowding, to rehabilitate older homes in low-income neighborhoods, and to address the need for more farmworker housing. Identifying and acquiring more land in which to place this housing on will also play a pivotal role in the City's ability to meet these housing challenges.

Housing and Community Development Objectives and Priorities

Although specific types of housing (overcrowded units, farmworker housing) may reflect problems that are unique to the area, housing dilemmas in Watsonville are primarily related to low incomes, high housing prices and the relative unavailability of land upon which to build.

Housing Priorities

Priorities for affordable housing include increasing the supply of affordable housing and improving the living environments of lower income residents through housing rehabilitation and increased educational opportunities to expand self sufficiency, and address the unique needs of large families, especially as it relates to the issue of overcrowded units.

Non-Housing Community Development Priorities

The City of Watsonville is committed to assist that sector of the low-income population that is not homeless but is in need of supportive housing and services. Housing and supportive services for elderly, frail elderly, persons with disabilities (mental, physical, developmental), persons with alcohol or other drug addiction, persons with HIV/AIDS and their families is provided by various social services and community service agencies. The City has allocated over a quarter of a million dollars each year to address these special needs through the social services and community service agencies and will continue as long as funds are available.

Anti-Poverty Strategy

The main local effort to fight against poverty has been assisting residents to secure employment and gain skills that will help them rise out of poverty. These programs include various vocational training programs, English as a Second Language classes, and child care programs.

Coordination of Strategic Plan

HEDD is responsible for the Consolidated Plan activities, but a variety of public and private organizations are involved in administering the plan components. The coordination and communication between HEDD and these organizations are very good. HEDD will continue to work closely with other City departments, the Housing Authority of the County of Santa Cruz, and non-profit organizations working to provide decent and affordable housing for the low-income residents of Watsonville. The provision of mental health services is the responsibility of the County, and other social service agencies.



ONE-YEAR ACTION PLAN

Description of Key Projects

The City of Watsonville's Action Plan outlines the proposed use of approximately $816,000 in Fiscal Year 1995 CDBG funds for an array of housing and community development activities including:

Locations

All projects and activities will be located in the City of Watsonville. Roughly one third of the activities are projects at specific street addresses, with the remainder being activities available on a city-wide basis.

Lead Agencies

The agency designated to implement the Consolidated Plan is the Housing and Economic Development Department (HEDD). Watsonville also has a number of non-profit organizations and housing providers which own and develop projects. The Watsonville Redevelopment Agency (RDA) has helped fund most of the non-profit projects. HEDD will continue to work with other City departments, the Housing Authority of the County of Santa Cruz, and all non-profit organizations to provide decent and affordable housing for the low-income residents of Watsonville.

Housing Goals

Housing goals for the City of Watsonville include increasing the supply of affordable housing and improving the living environments of lower income residents through housing rehabilitation and increased educational opportunities to expand self sufficiency. In addition, the City will address the unique needs of large families, especially those living in overcrowded units. Housing activities in the Consolidated Plan include construction of 10 low-income rental units, a homebuyers program to benefit 9 housing units, rehabilitation technical assistance loans to benefit 13 housing units, and project landscaping for 15 low-income family units.

Maps

MAP 1 depicts points of interest in the jurisdiction.

MAP 2 depicts points of interest and low-moderate income areas.

MAP 3 depicts points of interest, low-moderate income areas, and minority concentration levels.

MAP 4 depicts points of interest, low-moderate income areas, and unemployment levels.

MAP 5 depicts points of interest, low-moderate income areas, unemployment levels, and proposed HUD funded project(s) from a street level vantage point; in addition, a table provides information about the project(s).


To comment on Watsonville's Consolidated Plan, please contact:

Housing and Economic Development Department
231 Union Street, P.O. Box 50000
Watsonville, CA 95077-5000
(408) 728-6014

Ned A. Madonia, Director
Richard Koch, Project Supervisor
Fabian Guzman, Project Coordinator


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