Cambridge, Massachusetts, is known for its diverse nature, various neighborhoods, internationally known universities and historic sites and spaces. All of these factors creates an endless demand and desire to live in Cambridge. Thus the City is constantly challenged with providing affordable housing and liveable open space for its low and moderate income population and at the same time preserving its historic environment.
Cambridge's Consolidated Plan details the intent to expend $5,350,000 (Community Development Block Grant $4,203,000; HOME $771,000; Emergency Shelter Grant $136,000 and Community Development Block Grant Program Income of approximately $240,000) on various affordable housing programs, design and engineering oversight of open space renovations, economic development projects (including a $5,000,000 Section 108 Loan program) and various public service programs. At least 70% of the funds to be spent on programs and/or projects are targeted to Cambridge's low and moderate income residents.
The City of Cambridge, through its Community Development Department, held a
public hearing on housing and community development needs. Various public
service agencies and public housing residents were notified in order to reach
low and moderate income residents. Notices were published in local newspapers
and flyers translated into 3 languages were distributed. Following the hearing,
the Community Development Department consulted with other City Departments,
non-profit housing agencies, the Cambridge Housing Authority and homeless and
special needs providers for their expertise on developing the Plan. A thirty
day comment period and a second public hearing was held for review of the draft
Consolidated Plan.
Cambridge is home to 95,802 persons tightly packed into 6.3 square miles. Settled in 1630, the mix of old and new, of tradition and change, continues to give Cambridge its unique stamp and also presents hard choices as the City faces the final decade of this century. The City contains a higher proportion of professionals than the Boston Metropolitan area, but also contains a greater percentage of children in poverty. The economic base has retooled from manufacturing to software and pharmaceuticals, resulting in an economic climate where many residents lack sufficient skills and education to prosper.
Cambridge is a source of cultural richness and vitality. More than one in five residents is foreign born. Students from 64 nationalities attend the public schools. The general population saw only a .5% increase between 1980 and 1990. In contrast, the minority population in that decade grew by 39% and now comprises 28% of the total population. The number of Hispanic individuals comprises 6.8% of the total, Asian/Pacific Islanders account for 8.3% of the total and the Black population increased 21% and now comprises 12.7% of the City's population.
According to the 1990 Census, minorities in Cambridge have significantly lower incomes than whites. The mean household income for Blacks is $29,053, Hispanics is $32,308 and Asian/Pacific Islanders is $35,217 while the mean household income for whites is $49,500 and $46,079 for the City as a whole.
The challenges and opportunities facing Cambridge's economy stem from its
transformation from a center for manufacturing in the first half of the century,
to a service economy during the 1970's and 1980's, to a center for emerging
technologies in the 1990's. These changes have had a dramatic impact on the
structure of employment in Cambridge. In 1940, 40% of Cambridge residents
worked in skilled and semi- skilled blue collar jobs, while less than one
quarter worked in professional, technical and managerial jobs. Today, 55% of
Cambridge residents work in professional, technical and managerial jobs, whereas
only 11% work in skilled and semi-skilled blue collar jobs.
While demand has been high, the supply of housing in the City has remained relatively fixed, with the number of units increasing only 1% between 1980 and 1990. A combination of continuous demand and a relatively fixed supply has led, over the years, to high property values and prices in Cambridge. According to the U.S. Census, the median value of owner occupied housing units rose from $61,400 in 1980 to $256,800 in 1990. During the same period, median contract rents rose from $219 to $538. The provision of affordable housing in Cambridge has been impeded by an aging and often deteriorating stock, a low vacancy rate, and the scarcity and high cost of land. Moreover, the City's rent control program, which had the effect of reducing the increases in market rates, will be phased out between January 1, 1995 and December 30, 1996.
For extremely low, low and moderate income Cambridge households, purchasing a house or condominium today is very difficult. In 1990, a household income of $90,000 was required to purchase an average-priced single family house, while $70,000 annual income was required to purchase the average condominium. According to the 1990 Census, only 9% of the City's households could afford to make such purchases.
The two-year phase out of Cambridge's rent control system is expected to have a significant impact on all segments of the housing market. On the rental side, it is expected that there will be substantial pressure for rent increases, turnover of long time residents, and changing investment patterns. The termination of rent control will also allow many of the City's rental units to be converted to condominiums. While this will have the effect of displacing residents, it will also create new ownership opportunities.
Especially vulnerable are the almost 16,000 extremely low, low and moderate income households who comprise 40% of the City's households. Over 80% of these households are renters (13,200), and while almost 3,000 of them are adequately housed in assisted housing units, others are not only low income but are also paying a high proportion of their income for rent.
One of the most significant factors affecting Cambridge has been the change in the composition of the households living here. In 1950, families constituted 87% of all local households; by 1990, this figure was 45% . In spite of the shift toward non-family households, Cambridge still has 17,648 families, of which 30% are married couples with children and 14% are single parents. 46% of these families are eligible for affordable housing.
In Cambridge, 4,500 elderly households are income-eligible for assisted housing. Although considerable numbers of the elderly live in public housing and others have Section 8 certificates, roughly half of the lower income elderly are paying more than 30% of their income for rent.
The 1990 Census makes it clear that not only are there substantially more renters than owners in Cambridge but that renters have significantly lower incomes than owners. The average income for renters is $32,948. This figure is significantly lower than the average $74,822 for owners who account for only 30% of the City's households. In terms of actual numbers eligible for affordable housing, a little over 13,000, or 49%, of all renters have extremely low, low and moderate incomes. In contrast, only 2,600, or 21%, of owners fall into this category.
According to the 1990 Census, more than half of all low and moderate income renters in Cambridge are paying more than 30% of their household income for rent. As expected, extremely low income households bear the greatest rent burden with 65% of them paying over 30% for housing, and 48% paying more than 50% for housing. Among low income households, 65% pay more than 30% for rent and 26% pay for more than 50%, and 44% of moderate income households pay 30% of their income for rent, while 8% have a rent burden of 50% of their income.
About 1,600 renters are at risk of being affected by expiring use restrictions. Also, the Housing Authority waiting lists contain almost 5,000 households who, according to Housing Authority staff, will have to wait on the average of 3 years to receive a housing unit.
The number of homeless persons in Cambridge is a very changeable figure and it is difficult to estimate exactly. Cambridge shelters, particularly in the winter, tend to be filled to capacity. There are approximately 180 beds for individuals, and accommodations for twenty-four families in emergency shelters. In total, the City has three shelters housing 115 men and women and two shelters with beds for sixty-five men. A women's 22-bed shelter in Somerville also serves Cambridge women. Shelter facilities for 24 families occupy four locations. In addition there is an emergency shelter for young people eight to seventeen years of age, as well as an abused women's shelter serving seven adults and ten children.
Because of a high prevalence of persons with special needs among the homeless population in Cambridge, the need for specialized and aggressive outreach is very great.
Another high priority need is for a substance abuse shelter/transitional program for families. Many homeless families who do not initially present themselves as being involved with substance abuse are later found to be suffering from this problem. There are few family substance abuse shelters statewide, and to access residential services of this nature, families must be willing and able to move to other communities for the duration of their treatment, which is not always feasible.
The Cambridge Housing Authority's conventional and special needs programs house some 2,700 households made up of almost 5,000 persons. Another 1,650 households comprising 4,000 persons live in leased housing units. Thus about 8% of the local population of Cambridge lives in housing owned or subsidized by the CHA. CHA-owned units plus leased housing units available make up some 10% of the City's total rental stock.
Adding new units to the public housing stock, however, whether by renovation or new construction, has been the exception rather than the rule in recent years. At the same time, funding for other forms of affordable housing has decreased and the state leased housing programs are now being cut back drastically. The results are distressing and highly visible -- more homeless families and individuals, more overcrowded and doubled up households, and more social problems.
Given the scarcity of funding for the creation of additional affordable housing, especially for very-low income households, the preservation, modernization and new construction of public housing in Cambridge is an important element in the city's affordable housing strategy. The Housing Authority staff has set a goal of approximately 200 new public housing units in the next five years. However, growing uncertainty about the stability of funding sources makes it unclear whether this goal can be reached.
Maintaining diversity and creating affordable housing opportunities are policy goals of the City of Cambridge. As a consequence, public policies tend to be oriented towards allowing affordable housing, rather than excluding it. However, even within the framework of a regulatory structure which generally supports affordable housing, there are some provisions and procedures which can be barriers to affordable housing.
Cambridge is a very built-up city, with very little vacant land available for development. This presents one of the most significant barriers to affordable housing in Cambridge: the cost of land. The cost of what little land there is available for development is extremely high. Even before the phase-out of rent control, there was still a strong real estate market.
Until January of 1995, Cambridge had a very strict rent control system. Cambridge's 15,700 rent controlled units made up over 25% of the City's housing stock. Rent control, over the 20 years it was in place, had a significant impact on rent levels, investment, tenure, and the makeup of the City. With the phasing out of rent control, significant changes are expected in the City's housing market, including increased rents in most of the formerly rent controlled stock, an increase in the conversion of rental buildings to condominiums, and changes in the way multifamily buildings are managed and financed.
The City of Cambridge's Fair Housing Committee is composed of over 30 representatives of housing users and providers, minority and disabled agencies and other community groups. In addition, the City's Human Rights Commission was instrumental in passing the Cambridge Fair Housing Ordinance in 1991 and is certified by HUD to receive funds for each case that it investigates, mediates, holds public hearings for and awards damages under fair housing laws.
Lead-based paint is one of the most pressing housing problems in Cambridge, not only because of the high risk of poisoning to children, but also because the existence of lead paint leads to housing discrimination against families with children.
Cambridge has, according to the 1990 Census, a population of over 4,000 children between the ages of 6 months and 6 years. While in the last five years about 60 children have been diagnosed with lead poisoning, the numbers may be even greater due to incomplete screening. A survey of all Cambridge buildings occupied by children who were diagnosed with lead poisoning between January 1990 and March 1991, revealed common elements among these buildings. With one exception, all of the buildings were old, and all were multi-family structures of six or less units with half being two- or three-family structures.
Like many eastern seaboard cities, more than 70% of the residential housing stock in Cambridge was built prior to 1950, when virtually all paints used contained lead. The high incidence of residential dwelling units with lead-based paint is particularly serious in Cambridge where there are significant numbers of low income households who are often unable to find affordable housing and are forced to live in deteriorated buildings where peeling and chipping paint increases the likelihood of childhood lead poisoning.
For the City's low and moderate income families a principal need is greater availability of recreational facilities, neighborhood service buildings, transportation facilities, including serviceable streets and sidewalks, commercial areas that respond well to neighborhood needs and neighborhood environments with an abundance of trees and a large measure of freedom from heavy traffic.
The City's extremely diversified employment base plays an important, positive role in maintaining the City's social, economic and fiscal health. It provides a variety of jobs for the City's diverse population, and adds to the vitality and variety which are uniquely Cambridge. However, the exodus of manufacturing and its blue collar jobs, together with growth of mostly white collar and professional jobs, requires a continuing commitment of the part of the City government to an active economic development effort, with a strong focus on job creation.
Quality of public services, such as education, recreation, public health and safety, is a major determinant of how "liveable" a city is. Low and moderate income families, especially those with children, are even more dependent on public services that most population groups. Also, in old cities like Cambridge, continuous efforts are needed to modernize public facilities and support public services, as well as to strengthen the direct and indirect provision of a broad range of specialized human services, principally to resident of low and moderate income. Health services, family life counseling, child care, employment services and elderly services are all crucial to day-to-day survival of many disadvantages persons.
While it has a relatively strong tax base, the City has been subject to many
fiscal pressures, including escalating costs, increasing demands for City
services and shrinking Federal aid. Also, the City provides services and
facilities for a substantial amount of private, tax exempt property.
The City of Cambridge has an ongoing commitment to the preservation of existing affordable housing and the creation of new homeownership and rental opportunities. The City's general priorities for investment over the next five years reflect our goal of meeting the most critical outstanding housing needs of Cambridge's residents. The nine priorities that have been identified are:
The City of Cambridge is the major provider of planning services for affordable housing development and services in Cambridge, economic development and employment training, park development and renovation, and land use planning and urban design. Over the next five years the City's objectives are:
A major goal of the City of Cambridge is to reduce the number of families and individuals living in poverty. Toward this end, the Cambridge Department of Human Services funds a range of programs aimed, directly or indirectly, at increasing household incomes. A comprehensive Benefits Outreach Program has been developed to ensure that City residents, regardless of language or national origin, are aware of the full range of benefit programs and resources available to them. Benefits counseling for elders is available through the Department's Council on Aging.
The following section lists all resources and programs expected to be made available to the City of Cambridge is the coming year, although current uncertainty about funding levels and the structure of HUD programs make sit difficult to plan for the future. The City is committed to programs that serve the needs of low and moderate income households currently living in Cambridge, however, if programs are eliminated or funded at unworkably low levels, no amount of local commitment can avoid widespread hardship.
Federal Programs
State Programs
Local Programs
Private Resources
Cambridge will enhance coordination between public and assisted housing providers and private and governmental health, mental health and service agencies through a number of both formal and informal networks that bring together public, private and non-profit housing and service providers. Another approach to coordinating services is through contracts for program delivery. This contractual relationship, involving contact on a nearly daily basis, means that the non-profit both operate programs on an ongoing basis, and are available to assist with policy and program development. In addition, a variety of organizations, including the Housing Authority, Community Development Department, the Cambridge Department of Human Service Programs and non-profit agencies, routinely collaborate on projects.
Within the City, policy will continue to be coordinated through the City of
Cambridge Housing Cabinet, a group that includes senior management from the
City's Inspectional Services, Community Development and Human Service
Departments. This group is responsible for working through housing-related
issues that cut across departmental lines. Social Service providers and funders
will continue to be engaged both on a project by project basis, and through
special initiatives related to planning for service-oriented housing.
With total Federal funding of $5,350,000 the key projects in the one year action plan are as follows:
The largest expenditure, approximately $3,110,000, will be in the area of Affordable Housing with programs such as the Home Improvement Programs ($1,000,000) rehabilitation of 200 to 300 residential units; Affordable Housing Development ($2,110,000) for acquisition, rehabilitation, interest write-downs and technical assistance to income qualifying residents reaching a goal of 100 to 200 units.
Economic Development funding of $300,000 will include the promotion of Central Square as Cambridge's main commercial square, a facade improvement program, technical assistance to microenterprises, and oversight of a $5,000,000 Section 108 Guarantee Loan Program for Biotech companies.
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 projects.
MAP 6 depicts Neighborhood Segments and streets with proposed HUD funded projects.
TABLE (without associated map) provides information about the project(s).
Susan Schlesinger
Assistant City Manager for Community Development,
PH: 617-349-4600.
