The City anticipates having $2 million in Community Development Block Grant (CDBG) funds and $421,000 in HOME Investment Partnership Program (HOME) funds for Fiscal Year 1995. Projects to be implemented in 1995 include code enforcement, reconstruction of Francis Street, and rehabilitation of single-family homes for first-time homebuyers.
The City held public hearings on October 18, 1994, and January 31, 1995, to
receive comments before preparing the Consolidated Plan. On March 28, 1995, the
City commission approved the draft of the plan and authorized its dissemination
for a 30-day public comment period. During the public comment period, an
additional public hearing was held on April 25, 1995, for residents. The public
comments were summarized and the final version of the plan was submitted for
approval on May 9, 1995, to the mayor and City commission.
In 1990 the population of Jackson was 37,425, a 26 percent decline from 30 years ago. Of the 14,776 households, 81 percent are white, 16 percent are African American, and 2 percent are Hispanic. Minority populations in Jackson have been increasing while the white population is decreasing.
The overall percentage of very low-income households (0-50 percent of median
family income [MFI]) is about 34 percent. Twenty percent of the households are
low-income (51- 80 percent of MFI) and 8 percent are moderate-income (81-95
percent of MFI).
During the late 1970s, Jackson's unemployment rate was 5.8 percent, almost the lowest in Jackson's history. But a slump in the domestic automobile industry in the 1980s and early 1990s hurt Jackson's economy, which was reliant on automobile manufacturing.
The unemployment rate reached a peak of 10.6 percent in 1992. The unemployment rate since then has declined due to the rapid increase in the goods and services industry. At the end of 1994, Jackson's unemployment rate was 6.3 percent, the lowest since 1978.
In 1990 there were 354 households in Jackson that met the Department of Housing and Urban Development's (HUD) definition of an overcrowded housing unit (more than one person per room). About 3.2 percent of extremely low-income, 6.4 percent of very low- income, and 1.7 percent of low-income renter households currently live in overcrowded conditions. In 1990, 79 percent of Jackson's renters and 16 percent of homeowners lived in physically inadequate conditions.
In 1990, Jackson had 15,689 housing units in 1990, an almost 7 percent decline from 1960. This decline is attributable to several factors, including a slowdown in construction permits, a slumping economy, and an aggressive demolition policy to eliminate structures that are unsafe and beyond repair. Owner-occupied units constitute 52 percent of all housing units, while renter-occupied units make up 41 percent. Vacant housing accounts for 6 percent of housing units.
Jackson has one of the most affordable housing markets in Michigan. According to the 1990 census, Jackson's median housing value was $32,100. Home prices range from $16,300 to $84,300. The census showed that median rents in Jackson are also among the lowest in the State at $283 a month.
Based on data from Jackson's 1991 Housing Survey, nearly half of the City's housing stock is in need of repair - due in large measure to the age of the housing units. Fifty-nine percent of the housing stock was built before 1940. Access to adequate housing depends on the availability of good housing. The City must continue to improve the condition of affordable rental housing and offer homeownership opportunities for lower income residents.
Although Jackson has an affordable housing market for middle-income households, affordable housing is a critical problem facing Jackson's lower income population. Lower income households would find it extremely difficult to pay the monthly costs associated with purchasing a median-priced house without low or subsidized interest rates.
The Fair Market Rent (FMR) rates in Jackson are among the lowest in Michigan. An analysis of the FMR rates and the ability of low-income households to pay, however, reveal that rates are not affordable. For example, the FMR for a three-bedroom unit is $578, which is 35 percent of the maximum income level for a very low-income family of four. With the high number of lower income families living in rental properties and the current FMRs, there is a need for more affordable housing units and rent subsidies.
Rental prices in Jackson are among the lowest in the State, but a substantial number of renters experience a cost burden in excess of 30 percent. About 77 percent of extremely low-income renters and 79 percent of homeowners have a housing cost burden greater than 30 percent of their income. Of the very low-income households, 70 percent of the renters and 34 percent of the owner households have a cost burden greater than 30 percent. Among low-income households, about 25 percent of renters and 13 percent of owners have a cost burden above 30 percent.
Three agencies provide overnight lodging for the homeless: Jackson Interfaith Shelter has 50 beds and provides meals; Grace Haven Homes has two locations that provide a total of 26 beds and meals; and AWARE, Inc. provides 21 beds for battered women and children. In addition to these shelters, the John George Home provides housing for low-income people who might otherwise be homeless. The only requirement for residency is a low-income level. Unlike the other homeless shelters, the John George Home has no limitation on the length of stay for residents; most of the occupants of the home are there for long periods of time.
The needs of the sheltered and unsheltered homeless include medical assistance, job training, educational programs, decent employment with benefits, and child-care assistance for homeless children.
Jackson has 553 public housing units at three development sites. Because the overall condition of these units is excellent, Jackson has no immediate plans to demolish any of its existing public housing stock. Three hundred forty public housing units currently are available for elderly and disabled people. However, only 13 units are completely accessible to persons with disabilities.
In addition to its public housing, Jackson has 920 Section 8 project-based tenant-assisted units and 327 Section 8 tenant-based assisted units. As of November 1994, the City did not have any vacant Section 8 units.
Local data shows no evidence that public policy impediments are preventing the creation of affordable housing. The City has worked to create opportunities that promote new homeownership and rental housing for large families with low incomes. For example, with approval of the City commission, the Jackson Housing Commission began construction of 50 homes on scattered sites throughout the city in 1991. Low-income, large families could rent the homes with an option to purchase. In July 1993 the city agreed to provide an additional 22 lots, once available, to the Jackson Housing Commission. Construction on these houses will begin in 1996, pending grant approval.
In 1991 a fair housing analysis was performed by the City's Community Development Department to determine any impediments to fair housing within the City. As part of the analysis, the Financial Institution Bureau Reports were reviewed to determine trends in local lending practices. The results of the survey suggest that although minorities are applying for only a small percentage of conventional mortgages and home improvement loans from lending institution, they do not appear to have a higher denial rate than non-minorities. Data are not sufficient to ascertain the reasons that minorities apply for such a small percentage of conventional mortgages and home improvement loans.
The City staff met recently with representatives of local lending institutions to address fair housing issues. As a result, various local homeownership programs have been established and marketed in the minority community, such as the T.A.P. Homeownership Program. This program involves cooperation between the City, Jackson's Affordable Housing Corporation, and Security Savings Bank. Lending institutions also have agreed to strengthen their efforts by advertising in minority newspapers, sponsoring credit counseling, and holding informational meetings at local neighborhood resource centers. Several lending institutions have started affordable housing programs targeted to low-income people.
It is estimated that of the 11,230 housing units in Jackson built before 1978, three-fourths contain lead-based paint. An estimated 73 percent of these housing units are occupied by low-income households.
The City and the Jackson County Health Department are actively involved in abating lead- based paint hazards. During routine inspections of properties targeted for rehabilitation, the City's Community Development staff conduct visual inspections for defective paint surfaces. Homeowners are sent educational materials about the dangers of lead-based paint and the availability of lead-based blood tests offered by the Jackson County Health Department.
The county Health Department anticipates receiving about $200,000 in grant funds during the next 3 years from the Michigan Department of Public Health to conduct blood tests, coordinate pre- and post-abatement inspections, and provide health education and community awareness workshops.
There are about 92 foster care homes, 12 group homes, and 36 apartment units located in Jackson County that provide a planned service component for the mentally ill and persons with development disabilities. Jackson-Hillsdale Community Mental Health provides mental health services to include out- and in-patient care and counseling to the mentally ill.
For people with alcohol and other drug dependencies, the Washington Way of Foote Hospital provides temporary supportive housing. Clients stay at the treatment facility constantly for about 21 days while participating in intensive group and individual counseling, didactic lectures, and various other therapeutic activities. The South Central Michigan Substance Abuse Commission is designated as the substance abuse coordinating agency for Jackson, Hillsdale, Calhoun, and Lenawee Counties. They subcontract with licensed substance abuse providers, which offer temporary housing and other services.
As of October 1994, there were 223 reported cases of AIDS in Jackson County. The United Way of Jackson County believes that AIDS is increasingly becoming a serious problem in Jackson County. The City does not have any facilities specifically set aside for people with AIDS, but the Hospice of Jackson receives patients with AIDS. It has received two or three AIDS patients in the past 5 years.
Potential Homes, Inc., provides housing and programs to assist people with disabilities. The programs include independence and human awareness training, housekeeping, home maintenance and repair, and job application skills. The agency owns and operates 2 houses with a total of 30 units.
The Jackson County Department on Aging reports that 24 percent of senior citizens live alone and 42 percent depend on Social Security as their primary source of income. Some seniors living on Social Security are in need of rental assistance. Those living in their own homes may also have inadequate resources to meet rising costs of utilities and maintenance. The Department on Aging further reports that the housing needs of senior owner-occupants include major and minor home repairs, weatherization, assistance with utility bills, garbage removal, snow removal, and lawn mowing.
The City contacted individuals, organizations, and agencies in identifying pressing community development needs. The City categorized needs in the following areas:
Public facility needs include:
Infrastructure needs include:
Public service needs include:
Economic development needs include:
The City's housing priorities for the next 5 years include the following:
High priority, long-term community development needs that the City will act on during the 5 years covered by the Consolidated Plan include:
The City staff has neither the resources nor facilities to unilaterally implement programs directly targeted at reducing the number of households at or below the poverty level. However, the City has housing programs and provides funding to public service agencies that assist households at or below the poverty level. These include the Family Self Sufficiency program, Family Services and Children's Aid, Special Assessment Relief, and the Deferred Loan Program.
In addition to Federal resources, the City will have access to State, local, private, and non-profit resources. Through the Michigan State Housing Development Authority (MSHDA) the City and participating lending institutions will administer funds anticipated to be available through Community Home Improvement Program Loans, the Moderate Rental Rehabilitation Program, Single-Family Home Ownership Loans, and Mortgage Credit Certificates.
The Jackson-Hillsdale Community Mental Health service anticipates funds being available through the Department of Mental Health to provide support services and tenant assistance for persons with disabilities.
The City received a 305,000 grant from the Department of Natural Resources to conduct an environmental assessment at the former Goodyear Tire and Rubber company and plans on applying for $885,000 in State land assembly funds to conduct infrastructure improvements there. The Downtown Development Authority plans to use tax increment financing revenue to provide building facade improvements, downtown lighting conversion, and repair of alleyways. The City's Engineering Department anticipates the use of Public Act 51 funds, public improvement funds, and grants to implement the street construction plan.
The City has committed to donating tax reverted properties to the Jackson Affordable Housing Corporation to assist in their implementation of the HOPE 3 Program, if HOPE 3 funds are available. Greater Jackson Habitat for Humanity expects to receive gifts and contributions from local churches, corporations, organizations, and individuals that will be spent on development of affordable housing. City Bank and Trust, Comerica Bank, and Security Savings Bank have agreed to commit one foreclosed property each and waive closing costs to assist the City in implementing the HOPE 3 program. The City's Community Development Department will leverage funds from investors/owners for rehabilitation projects.
The City will involve community development, planning and housing agencies
in implementing the Consolidated Plan. It will also involve organizations such
as the Jackson Interfaith Shelter, Grace Haven Shelter, the Jackson Affordable
Housing Corporation, Habitat for Humanity, and private lenders.
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 is a map, sectioned by neighborhood, which depicts points of interest, low-moderate income areas, unemployment levels, and proposed HUD funded projects.
MAP 7 depicts points of interest, low-moderate income areas, unemployment levels, and proposed HUD funded projects within one of the four neighborhoods indicated in MAP 6.
MAP 8 depicts points of interest, low-moderate income areas, unemployment levels, and proposed HUD funded projects within another of the four neighborhoods indicated in MAP 6.
MAP 9 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).
Mr. Richard J. Marsh, Jr.
Department of Community Development
City of Jackson
161 West Michigan Avenue
Jackson, MI 49201
Telephone: 517-788-4083
