The largest city in Nebraska, Omaha is currently adjusting to changes made in its character as a result of modernization. The construction of the North Freeway through residential portions of the city's northeastern area took away neighborhoods and older homes, forcing a population shift from east to west. As a result, Omaha must realign its housing and community development requirements to meet the demands of its relocated residents.

Action Plan

The Consolidated Plan for Omaha has a budget of $9,490,000, including $7,335,000 in Community Development Block Grant (CDBG) funds, $254,000 in Emergency Shelter Grants (ESG) funds, and $1,901,000 in HOME Investment Partnership Program (HOME) funds.

Citizen Participation

The city of Omaha's approach to the development of the Consolidated Plan was to consider its residents as the consumers and the primary source of information and guidance on the plan's development and implementation.

Omaha held several public hearings on housing and community development needs and encouraged written comments from both individual citizens and organizations. Three focus group meetings also took place on homeless, low-income neighborhood/household, and special needs population issues.

Located in Douglas County, Omaha's 1990 population was 335,795, an increase of 6.9 percent from 1980. The 59 percent homeownership rate reflected a drop of more than 2 percent from 1980. Elderly households were the most likely to own their homes, closely followed by white households. Half of all Hispanic households owned their homes, while the homeownership rate for African-American households was approximately 40 percent.

In 1990 more than 8 out of 10 Omaha residents were white. African Americans accounted for almost 12 percent and Hispanics for 2 percent. Other minority groups were each less than 1 percent of all households.

According to the 1990 census, 25 percent of all households were at or below 50 percent of the Omaha median family income (MFI) of $36,185. Thirteen percent of households fall into the extremely low-income category (those earning 0-30 percent of MFI). Nineteen percent of all households were low income (those earning 51-80 percent of MFI), but households with incomes greater than 95 percent of MFI composed 46 percent of the total number of households.

Regarding racial and ethnic groups, Native-American households had the highest percentage (50 percent) of households with very low incomes (those earning 31-50 percent of MFI), followed closely by African-American households. Approximately 33 percent of all Hispanic households had very low incomes compared with 20 percent of white households.

The 1990 census found that a total of 16,577 residents lived in the north and south sections of Omaha where the highest concentration of low-income residents were. Of the 5,800 households within these areas, approximately 3,700 were African American and 1,800 were white.

Conditions

Omaha's population has fluctuated during the past 30 years, resulting in an overall increase of 11.3 percent since 1960. Since 1970, population losses have occurred most heavily in the eastern quarter of the city as a result of the construction of the North Freeway through residential areas. The locations of greatest population gain were in the western sections of the city where new lower density development increased the population by more than 200 percent.

Market Conditions

According to the 1990 census, Omaha had 143,612 housing units, an increase of 14.5 percent since 1980. Since 1960, the number of housing units has increased steadily, resulting in a 30-year increase of almost 68 percent. At the same time, the number of vacant units has increased by 41.3 percent. The vacancy rate for rental units rose from 7.1 percent in 1980 to 8.3 percent in 1990. The number of vacant owner units reflected only a modest increase of 101 units.

The construction of the North Freeway has eliminated 6,000 housing units in north Omaha since 1960. Construction of new housing in suburban areas has accounted for almost all housing unit increases in the city.

The 1990 census revealed that most owner-occupied housing units were large: 75 percent had three or more bedrooms. Almost all of the remaining units had two bedrooms. However, of the total 54,616 rental units, fewer than 20 percent had three bedrooms or more, 35 percent had two bedrooms, and the remaining 45 percent were efficiency and one-bedroom units.

A 1989 Housing Condition Survey conducted by the City of Omaha Planning Department identified 28,880 substandard housing units. Of these, 34 percent were owner occupied and 66 percent were renter occupied.

In 1993, the average selling price for residential structures in the Omaha area was $90,360, while the average rent was $326.

Affordable Housing Needs

Cost burden, substandard housing, and overcrowding were the most prevalent housing problems experienced by all categories of low-income renters and owners. The incidence of housing problems among very low-income minority households was about the same as or less than that experienced by very low-income renters.

Overcrowding affected 30 percent of large, extremely low-income related-renter households and 24 percent of large, very low-income related households.

Because Omaha's renter households were more than three times more likely than owner households to be extremely low income, there was a critical shortage of units for residents in this group. Among minority renter households, 45 percent of African-American renters had extremely low incomes, as compared with 40 percent of all minority renters.

More than 70 percent of extremely low-income renters and 78 percent of non-elderly owners at the same income level were cost-burdened, experiencing housing costs exceeding 30 percent of income. Although only 38 percent of very low-income owners faced a cost burden, 70 percent of very low-income renters reported cost burdens. Cost burden is also the most prevalent housing problem for low-income households, although it is less prevalent for this group than for lower income levels.

Homeless Needs

Although the Census Bureau counted 519 homeless in March of 1990, this figure was considered low. More current estimates range from 800 to 1,000 persons. According to the Alliance of Family Shelters, 1,400 family members were sheltered between March 1989 and March 1990. Approximately 19 percent had alcohol and other drug abuse problems; 18 percent had severe mental illness; and 5 percent were victims of domestic violence. Only 1.1 percent had problems related to severe mental illness and substance abuse combined, and no one was identified as having HIV/AIDS.

In 1990, Omaha had 10 emergency shelter facilities that provided approximately 458 beds and an additional 27-50 emergency mats. Six transitional shelter facilities provided 134 regular beds and 24 beds specifically for persons suffering from mental illness. Four transitional housing programs offered 23 complete, separate housing units to serve its homeless population.

Among the providers of supportive services for the homeless in Omaha were: Francis House; Siena House; St. Vincent dePaul Homeless Family Shelter; Stephen Center; St. Anthony House; the Salvation Army; Open Door Mission; The Shelter; Child Saving Institute; Lydia House; St. Gabriel's Alcohol and Drug Treatment Center; Mercy House; Community Alliance; Harrington Homes; the American Red Cross; Holy Family Catholic Church; Charles Drew Health Center; Together, Inc.; American Indian Center; Greater Omaha Community Action; Omaha Pantry System; Visiting Nurses Association; Wellspring; Project Hope; United Way; Family Housing Advisory Services; and Alliance of Family Shelters.

Public and Assisted Housing Needs

The Omaha Housing Authority (OHA) administered 2,993 units of public housing, of which 661 were efficiencies, 1,100 had one bedroom, 585 had two bedrooms, 459 had three bedrooms, and 188 had four or more bedrooms. The total number of vacant units was less than 2 percent.

The OHA was also responsible for administering the Section 8 program, which included 3,898 voucher, certificate, and moderate-rehabilitation units. Of the units, 93 were efficiencies, 760 had one bedroom, 1,517 had two bedrooms, 1,207 had three bedrooms, 288 had four bedrooms, and 33 had five bedrooms.

Other assisted units under Section 202 and Section 811 programs accounted for 4,684 units, with an estimated vacancy rate of 3 percent. Most had one bedroom or less, but 1,358 had two bedrooms, and 478 had three or more bedrooms.

Fair Housing

Omaha will continue to work with the Fair Housing Advisory Group during 1995 to address local fair housing issues.

Lead-Based Paint

In 1990 Omaha had approximately 92,456 housing units with lead-based paint, of which 38 percent were owner occupied and 55 percent were renter occupied. Of these units, 44 percent were occupied by low-income households. From July 1, 1992, through June 30, 1993, the Lead Poisoning Prevention Program screened 3,792 children and identified 93 as suffering from lead poisoning.

The city of Omaha has designed the following strategy to address lead-based paint hazards:

• Research and evaluate current activities to expand the knowledge base for planning and targeting resources.
• Expand cooperation and integration of services between the City Planning Department and the Douglas County Health Department.
• Integrate lead-hazard evaluation and reduction activities into existing housing inspection and rehabilitation programs.
• Develop the capacity to ensure that the technical aspects of assessment and lead-hazard reduction are managed through training and general prevention.
• Seek passage of State and local laws to reduce lead-based paint hazards.
• Provide public information and education to communicate the extent of the lead problems.
• Increase public and private funding for lead-hazard abatement and reduction activities.

Other Issues

The only assisted living facility available to low-income frail elderly persons was the Salvation Army Lucas Hall. Those low-income elderly persons who did not need supportive housing selected the OHA high-rises for senior citizens, which offered 1,545 apartments.

For residents with disabilities, there were only two facilities available, the 16-unit Maisons Denree apartment complex and the 48-unit Quality Living complex. The OHA offered 68 modified units, with 33 suitable for families.

The 15-bed Mercy Housing facility and 71 semi-independent living units operated by Community Alliance were the only facilities for the chronically mentally ill. Alcoholism and drug abuse treatment was provided at St. Gabriel's Detoxification Center; the Charles Drew Health Center; and facilities sponsored by the Region VI Mental Health, Alcoholism, Drug Abuse Administration.

There were no facilities for persons with HIV/AIDS.

Community Development Needs

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

• Public facilities, such as neighborhood centers, parks, and recreational facilities.
• General infrastructure improvements.
• Public services, such as services for seniors, youth, children, and substance abusers, in addition to employment training and crime awareness.
• Economic development, such as commercial-industrial rehabilitation and microbusiness development.

Vision for Change

Omaha seeks to coordinate public and non-profit organizations to provide a viable living environment for the residents.

Housing Priorities

The Consolidated Plan identified the following housing priorities for the city of Omaha for the next 3 years beginning in 1995:

• Increase the supply of affordable rental housing by rehabilitating existing housing and constructing new units.
• Promote homeownership opportunities by acquiring and rehabilitating housing, constructing new single-family homes, and providing below market- rate mortgage financing.
• Preserve existing homeownership by renovating owner-occupied single- family units.
• Provide rental assistance to alleviate rental cost burden.
• Provide affordable housing opportunities for special needs population.
• Ensure a one-for-one replacement of public housing units lost through demolition.
• Reduce lead-based paint hazards.

Non-housing Community Development Priorities

The Consolidated Plan identified the following community development priorities for Omaha:

• Create economic development activities to help residents achieve self- sufficiency.
• Provide opportunities for non-profit community organizations to develop and execute projects that benefit lower income residents.

Anti-Poverty Strategy

Omaha coordinates a range of programs that contribute to the goal of assisting households with incomes below the poverty line to overcome poverty. The city's goals are:

• Increase the number of affordable housing units available to households with incomes below the poverty line.
• Provide, through non-profit organizations, wide-ranging supportive services designed to assist individuals and families to remain in their homes.
• Expand the economic mix of residents within low-income areas and increase affordable housing opportunities outside of low-income areas.
• Provide training, educational, and employment opportunities for low-income persons.

Housing and Community Development Resources

In addition to the Federal HOME, ESG, and CDBG funds already listed in the action plan, Omaha will have access to Comprehensive Grant Program funds for public housing modernization and Section 8 rental assistance funds through the OHA.

State ESG funds and Nebraska Homeless Assistance Trust funds will provide assistance to shelters and social services for homeless persons. The city's general fund will match HOME funds and help operate the Salvation Army. Other general funds will be used to support infrastructure and economic development and to demolish vacant, deteriorated buildings. The Eastern Nebraska Human Services Agency helps fund the Home Handyman repair program for low-income elderly households and those that have persons with disabilities.

To the greatest extent possible, Federal resources are leveraged with private funds. These may come from developers, homeowners, shelter providers, and non-profit organizations.

Coordination of the Strategic Plan

The City of Omaha Planning Department is responsible for implementing and coordinating the Consolidated Plan. It works in collaboration with a wide variety of service providers, both public and private, to implement the Consolidated Plan.

Description of Key Projects

Among the key projects identified in the Consolidated Plan for Omaha are:

• Low-interest repayable and deferred-payment loan program to encourage rehabilitation of 50 single-family owner-occupied homes in target areas ($1.2 million).
• Deferred payment loan program to encourage moderate rehabilitation of 15 occupied rental units ($100,000).
• Rehabilitation and substantial adaptive reuse of vacant downtown and neighborhood buildings to benefit 25 households ($200,000).
• Renovation of a vacant historic office building located at 16th and Farnam Streets ($800,000).
• Architectural barrier removal program, administered by the League of Human Dignity, which removes architectural barriers for renters with disabilities ($100,000).
• Acquisition and rehabilitation by the Holy Name Housing Corporation of two vacant houses for sale to owners in the Holy Name neighborhood ($250,000).
• Acquisition and rehabilitation by Northeast Omaha Housing of vacant houses north of Ames Avenue and east of 42nd Street to be purchased by new owners ($200,000).
• New rental housing construction at 17th and Grace Streets by the New Community Development Corporation ($800,000).
• New multifamily rental housing construction on vacant or deteriorated properties in the Kellom Redevelopment Area by the Omaha Economic Development Corporation ($800,000).
• Omaha small business network revolving loan fund for new small businesses within the Business and Technology Center at 24th and Lake Streets ($300,000).

Maps

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).