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


Consolidated Plan Contact

CITIZEN'S SUMMARY

Situated in rural Burke County in North Carolina, the city of Morganton has a rich historical background reaching back to the 1700s. Incorporated over 110 years, the city is home to many of the same industries that brought it initial success, such as textiles, tanneries, and construction of furniture, as well as newer industries, including glass, tiles, and automotive parts.

Action Plan

The Consolidated Plan for the city of Morganton has a budget of $149,000 in Community Development Block Grant (CDBG) funds and $5,000 from the city.

Citizen Participation

Morganton's Consolidated Plan was developed and coordinated by the Morganton Community Development Department staff, who sought input from public agencies, community groups, nonprofit organizations, and service providers to low- and moderate- income families. At different times throughout the development process, key individuals from the Morganton Public Housing Authority, Western Piedmont Council of Governments, Blue Ridge Community Action, Burke County Department of Health, Options, Inc., Burke United Christian Ministries, and FOCUS on Burke contributed to the plan.

To maximize citizen participation, the Community Development Department staff held two public hearings. The first hearing was broadcast live on the local public cable access channel and repeated three times during a 4-week period. Copies of the final Plan were made available at City Hall, Burke County Library, Morganton Housing Authority, and Burke United Christian Ministries.


COMMUNITY PROFILE

In 1994 the city of Morganton's population was estimated at 15,800 individuals, which reflected a 10 percent increase between 1980 and 1993. The racial composition of the city did not change significantly during this time: 82 percent are white, 17 percent are African- American, and 1 percent are other minorities. Most of the minority population live in the area of Bouchelle Street/Roper Street, Jones Street, and Lane Street, all of which are located in the center of the city.

Of the 6,658 households in Morganton, 59 percent own their own homes and 41 percent rent. Approximately 37 percent of homeowners and 50 percent of renters are very low- or low-income households. In 1994 the median income was $35,800.


HOUSING AND COMMUNITY
DEVELOPMENT NEEDS

Housing Market Conditions

Recent housing developments in the Morganton-Burke area have addressed the needs of the above median-income family. As a result, Morganton has had few houses on the market affordable for first-time homebuyers earning between $15,000 and $29,000. In 1994 the average price on a resale house was $89,500, while new housing prices averaged $145,000.

Morganton's vacancy rate is 1 percent for owner-occupied units and 8 percent for rental units. Units with housing problems constitute 15 percent of the owner-occupied units and almost 29 percent of the rental units. Of the total year-round units, 10 percent are substandard. Of those substandard units, 81 percent are considered suitable for rehabilitation.

Affordable Housing Needs

The major housing issue in Morganton is affordability, due to the large number of very low- and low-income residents.

Housing problems are defined as paying more than 30 percent of income for housing costs, overcrowding of housing units, and a lack of plumbing or kitchen facilities. While the number of homes with any type of housing problems citywide is 17 percent, 45 percent of all low-income owner households and nearly 67 percent of all low-income renter households experience housing problems.

Homeless Needs

In a 1-night count, the city identified 159 homeless persons. Nearly 23 percent of this population were victims of domestic violence; approximately 6 percent were substance abusers; 4 percent had mental illness and substance abuse problems; and almost 4 percent suffered mental illness alone. In 1994, Options Battered Women's Shelter reported that 350 women and children sought shelter, and Burke Christian Ministries offered foods, rental assistance, utility assistance, clothing, and counseling to 772 newly homeless individuals.

A State mental institution and a prison located in Morganton release patients or inmates into the community. These individuals patronize local soup kitchens and thrift shops, but generally do not remain in the city for an extended period of time.

The city estimates that more than 500 households are at risk of becoming homeless because they pay more than 50 percent of their income for housing, live in overcrowded conditions, and/or are unable to locate affordable housing.

Public and Assisted Housing Needs

The Morganton Housing Authority administers 280 units of rental housing. Of these, 68 are 1-bedroom units, 88 are 2-bedroom units, and 124 are 3-bedroom units. As of November 1994, there were no vacancies in the public housing units. No units are expected to be lost or removed from the housing stock.

Barriers to Affordable Housing

To support new housing development, the city has adopted a Housing Stimulus Program to grant upfront infrastructure costs to private developers. Morganton's zoning regulations and subdivision standards are similar to many North Carolina communities, and are not considered excessive or exclusionary. Existing, nonconforming mobile homes may be replaced with newer units.

Fair Housing

Morganton's Community Development Department is responsible for implementing the city's fair housing program. This program involves keeping realtors and residents current on fair housing laws through annual mailings and advertisements in the local newspaper.

There have been few incidents of violations in the past 3 years. The single complaint received concerned unfair rental practices. It was investigated by the Community Development Department and sent to the Morganton Human Relations Commission for further action.

Lead-Based Paint

The city estimates that 4,824 housing units may contain lead-based paint. However, only two cases of childhood lead poisoning were reported in 1994.

The funds set aside for rehabilitation in the Consolidated Plan will address lead-based paint hazards on a unit-by-unit basis. Due to limited funds, the complete abatement of lead from these units will be impractical. Therefore, the city will take measures to reduce the amount of lead that is kicked up during renovation of these units.

Other Issues

Morganton's special needs populations are served by the Broughton Hospital Mental Institution and the Western Carolina Center, both of which are located in the city. Foothills Mental Health Services provides supportive services to persons with special needs, including substance abuse, mental health, and juvenile evaluation and counseling. An estimated 7,650 persons received assistance or counseling through Foothills in 1993. The number of AIDS cases in Burke County increased from 14 in 1994 to 24 in 1995. Those persons with AIDS reportedly lived at home.

In addition to the State facilities, there were eight substance abuse homes and numerous elderly housing facilities offering lodging and medical attention to more than 7,500 persons. Additional elderly housing facilities included: Britthaven Morganton, Pinnacle Care Center, Grace Ridge, Burke Long Term Care, Cable's Family Care, Chesterfield Family Care Home, Days of Comfort, Hudson's The Acres Rest Home, Johnston's Rest Home, Kathy Rest Home, Mace's Rest Home, Morganton Long Term Care, Mt. View Family Care Home II, Quaker Meadows Family Care Home, and Windy Hill Rest Home.

Community Development Needs

The Consolidated Plan for Morganton identified the following community development needs:


HOUSING AND COMMUNITY
DEVELOPMENT STRATEGY

Vision for Change

The city of Morganton is committed to supporting any organization whose goal is to provide affordable, safe, and decent housing for low- and moderate-income residents.

Housing Priorities

The Consolidated Plan for Morganton has identified the following housing priorities for 1995-1999:

Nonhousing Community Development Priorities

The Consolidated Plan for Morganton has identified the following community development priorities:

Antipoverty Strategy

The city of Morganton's revolving loan fund, established with funds from the U.S. Department of Housing and Urban Development (HUD) Small Cities Program, makes low- interest loans available to expanding businesses that employ low- and moderate-income persons. In addition to its aggressive search for new industry and business to create greater economic development, the city is concentrating on reducing slum and blight conditions within the city limits and preserving the current affordable housing for low- and moderate- income persons.

Housing and Community Development Resources

In addition to the CDBG funds, the city is utilizing the remainder of its $206,000 HOME Investment Partnership Program (HOME) grant. Morganton also receives funds from the North Carolina Department of Commerce - Community Assistance Division.

The local United Way supports 21 different nonprofit organizations that offer support services to low- and moderate-income individuals. Blue Ridge Community Action, a 501-C organization, receives annual funding to assist low- and moderate-income families with housing, day care, training, and counseling, among other services.

Coordination of Strategic Plan

As the lead agency, the city's Community Development Department works in collaboration with a strong network of private institutions, nonprofit organizations, and public agencies to coordinate the Consolidated Plan. Staff work closely with Affordable Housing Opportunities of Morganton, Inc. (AHOMe), to provide new affordable housing units to low- and moderate- income families. Funds are provided to Blue Ridge Community Action for free credit counseling to residents. Staff report directly to the City Manager and City Council.


ONE-YEAR ACTION PLAN

Description of Key Projects

The three projects identified in the Consolidated Plan for Morganton are:

In addition, Blue Ridge Community Action's credit counseling activities will be supported with programmed funds from previous years' funding, as will downpayment assistance activities to low- and moderate-income homebuyers.

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 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 project(s) from a street level vantage point.


To comment on Morganton's Consolidated Plan, please contact Lee Anderson, Community Development Director, at 704-438-5268.
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