The City of Newburgh is located on the west side of the Hudson River in Orange County, NY. It is some 90 miles north of New York City, with a population 26,454 as of the 1990 Census, and is the central city of the MSA. The City experienced its most pronounced growth following World War II when it functioned as a commercial and manufacturing activity hub within the Hudson River Valley.
Newburgh's Consolidated Plan presents a strategic vision for housing and community development. It includes a One-Year Actinon Plan for spending approximately $1.7 million of Community Development Black Grant (CDBG), HOME Investment Partnership Program, program income, Section 108 and Enterprise Community grant funds in 1995. These funds will primarily be spent on housing and neighborhood livability activities.
The City of Newburgh is following a written citizen participation plan which complies with the Housing and Community Development Act of 1974 in preparation of this Consolidated Plan. The City has effectively used the framework for citizen participation which has been part of on-going community and neighborhood-based revitalization efforts. This citizen participation effort has specifically required the inclusion of low and moderate income residents on various committees. In addition, meetings and workshops have been held at locations accessible to low and moderate income persons.
Within this framework, specific meetings and consultations were held as part
of the preparation of this Consolidated Plan. There were two public hearings
held and there were meetings held with the Neighborhood Advisory Committee. The
first public hearing was held to solicit housing and community development
needs. The second public hearing was held on the Proposed Consolidated Plan
during the 3O day comment period.
Over the past forty years, Newburgh has experienced major industrial dislocation accompanied by gradual economic decline. Between 1960 and 1990, the departure of manufacturing and commercial establishments with deep roots in the community had a particularly severe impact. A precipitous decline in retail and service establishments occurred, together with an exodus of long-time residents, particularly those in age groups entering the work force. According to the U.S. Census, between 1980 and 1990, Newburgh's population grew by more than 3,000. However, the in-migration consisted primarily of low-income residents from larger urban centers and abroad. Today, Newburgh has all the characteristics of an impoverished urban area: a diminishing industrial base accompanied by loss of jobs and revenue; a growing low income and minority population; significant crime; substandard housing; deteriorating infrastructure; high commercial and industrial vacancy rates; and a degree of hopelessness among economically disenfranchised segments of the population.
In its former role as commercial hub for the region, the resources were available for residents to afford and maintain housing as well as to provide a stable tax base for governmental services and maintenance of the City's infrastructure.
With shifts in the economy and growth in other areas of Orange County and the region, Newburgh, with its older housing stock and availability of rental housing, became characterized by a generally lower income population with a greater reliance on governmental assistance in the form of income and housing subsidies. In response to this need, the City provided increased levels of subsidized housing and attempted to address physical deterioration through the use of urban renewal funds which was the federal funding initiative available to urban areas. This approach was the primary strategy during the 1960's and well into the 1970's. Despite these efforts, the City's neighborhoods and its Central Business District continued to decline. In the late 1970's and into the 1980's, the emphasis of revitalization efforts shifted towards economic development in recognition of the need to create employment and private investment to provide long term revitalization. The Urban Development Action Grant (UDAG) and CDBG programs provided resources for this effort in conjunction with industrial development bonds and SBA bonds issued through the Newburgh LDC. At the same time, the housing initiative moved towards property rehabilitation and efforts to encourage homeownership.
Newburgh has experienced an economic and physical decline over the last 4 decades which can be attributed primarily to a dramatic decline in its economic base. But the population grew again during the 1980's, increasing by 13 % or 3,O16 persons, for a total 1990 population of 26,454.
This growth in population, however, was accompanied by a redistribution of the city's racial composition. The number of White persons declined by 10%, while Black, Hispanic, Native American and Asian/Pacific Islanders all grew in numbers. The greatest numerical growth occurred among Hispanics (2,828 persons) and Blacks (1,325 persons). Overall, in 1990 Whites comprised 42% of the city's population, Blacks 35%, Hispanics 23%, and Asian/Pacific Islanders and Native Americans representing less than 1%.
While population in Newburgh grew, so did the number of households, increasing 7.3% between 198O and 1990, from 8,414 to 9,029. The increase in households has a direct impact on the demand for housing units. The fact that there was a greater percentage increase in the population than in the number of households indicates that there are larger families, more doubling up and more overcrowding.
Another demographic factor which is a determinant of housing need is family income. The median family income in the City, as determined by the U.S. Bureau of the Census, is $25,894, significantly lower than that of Orange County ($44,039) and substantially lower than the national median of $35,939.
The City has taken an active role over the last two decades to address its housing needs and concerns. Efforts have included carrying out a wide range of programs including new construction, rehabilitation and the provision of housing services to low- and moderate- income families and special needs populations. Although these programs have assisted many households and individuals, the City continues to have numerous housing needs.
Based on the 1990 Census, the City of Newburgh has 9,995 total year-round housing units, of which 9,008 are occupied. Of these, 35.4% were owner occupied and 64.5% were renter occupied. Almost 10% of the housing stock of Newburgh is vacant. More than one- third are not for sale or rent. It can be assumed that these units are vacant due to their likely status as fire damaged or boarded up buildings. The vacancy rate in 1990 was 8.54% for rental units and 2.62% for owner units. While these rates suggest that the supply of housing, particular rental units, is not tight, an evaluation of housing costs versus incomes, provides a more realistic picture of housing availability. In addition, many of the vacant units are in a physical condition not suitable for occupancy.
An examination of several census factors, including age of housing and overcrowding, provide an estimate of substandard units in Newburgh. According to City estimates 1,840 units representing about 18% of the housing stock, are substandard. It is estimated that 76% are rental units and 24% are owner units. Based on the past experience of the City of Newburgh Community Development Agency 85% of all substandard housing units are suitable for rehabilitation.
Like other communities throughout the region, Newburgh experienced an escalation of housing costs during the 1980's. The upward pressure of housing costs in Newburgh can be attributed to a number of factors, some similar to those in other communities and some unique to Newburgh. The "boom" economy which existed throughout most of the 1980's generally resulted in escalating land and housing prices targeted to the most lucrative segments of the market, even in a generally depressed city such as Newburgh. An interest in gentrification of historic property in Newburgh added to this increase in costs, as did a shortage of developable land. The efforts at waterfront renewal fueled by the boo@g economy held out hope for new investment and positive economic growth. In 1980, the census reported the median value for owner occupied housing in Newburgh was $25,500. In 1990, the Census reported a median of $103,000, an increase of 320%. Census figures on contract rents for rental housing were reported as $174 in 1980 and $452 in 1990, an increase of 160%. Overall, 63% of Newburgh's population is of low and moderate income.
Based upon this 1990 Census data, 2,628 rental units and 385 owner units in Newburgh are affordable to households with incomes between 0% and 50% of median income. The number of affordable units increases to 5,658 rental units and 1,017 owner units for households earning between 0% and 80% of median income. This means that 30% of all units in the City of Newburgh are affordable to very low income households and 67% of all housing units in the City of Newburgh are affordable to low income households. Based upon these statistics it is apparent that a strategy of homeownership for households earning less than 80% of median income and rental units for persons earning less than 50% of median income would be most logical.
Based on the 1990 Census, there were a total of 160 sheltered homeless individuals of which 25 were youth (17 years or younger) and 135 were adults (18 years and older). These numbers do not reflect those persons who may be squatters in the numerous vacant buildings throughout the city or those families doubled or tripled up in apartments due to the lack of affordable housing. Discussions with persons familiar with the extent of homelessness in Newburgh indicate that in excess of 3O persons are living in vacant buildings at any given time. The number of people who are doubled and tripled up cannot be estimated.
Based on information provided by the Orange County Department of Social Services (OCDSS), on average, 50 homeless persons or families per month seek emergency housing through its office. The OCDSS numbers do not include participants at certified shelters or other housing programs. In a typical month OCDSS handles 10 to 15 families with 2 to 3 children on average and 15 to 20 individuals. The primary reasons reported for homelessness include nonpayment of rent, social problems, overcrowding, living with family and asked to leave, migrant worker or released from jail or treatment center.
The OCDSS indicates that it would be reasonable to estimate that 40% of the county homeless population lives in Newburgh. Based on this assumption, 10 families with 12 children can be estimated as homeless in Newburgh.
The 1990 Census indicates that there were no unsheltered homeless in Newburgh. Neither the City of Newburgh nor the Orange County DSS maintain records on unsheltered homeless. However, as discussed earlier it is estimated that in excess of 30 persons are living in vacant, abandoned buildings at any given time.
The Newburgh Housing Authority manages the city's public housing stock. That stock includes a total of 340 units in four projects of which one project, Fogarty, with 65 units, serves the elderly exclusively. There are virtually no vacant units in any of the Public Housing developments. However, apartments are temporarily vacant due to phased construction.
The current waiting list for public housing includes over 150 eligible applicants. The waiting list is currently comprised of the following minority composition: 69 Black; (44%), 76 Hispanic (49%) and 11 White (7%). The waiting list was last closed in 1990. There is no anticipation by the city that any of public housing units will be lost due to any condition, including demolition or conversion to homeownership.
Varick Homes is a project based Section 8 project of 122 units; it houses families and the elderly. The Newburgh Public Housing Agency administers 418 Section 8 certificates and vouchers for tenant based assistance. The Section 8 waiting list contains approximately 300 households. An indication of the severity of need for these certificates or vouchers is seen by the recent history of the Section 8 waiting lists.
The one bedroom waiting list was opened in Spring 1993 and kept open for five weeks; 100 families applied during that period. The two bedroom list was opened in 1991 for approximately 6 weeks; there are still 70 families left on that list. The 3 bedroom list has not been reopened since 1989. There are still 121 families on the list. The waiting list is currently closed and with the recent regulation change which requires one waiting list, it is not anticipated that the list will be opened in the near future. When Section 8 vouchers and certificates do become available, first priority is not necessarily given to waiting list families or elderly, but to those who are homeless, in temporary facilities or at risk of becoming homeless.
Orange County Rural Opportunities, Inc. has approximately 1,100 Section 8 certificates and vouchers that it administers countywide. Rural Opportunities has indicated that 58 of those units are located in City of Newburgh and the Town of Newburgh though no further breakdown is available.
There are approximately 500 other assisted housing units in the city funded by federal, state or local programs. Lake Street Apartments is a 375 unit Section 236 rental project of which approximately 10% or 38 units are set aside as Section 8 units. This development includes 48 garden apartment buildings which have 309 family units and one high rise building of 66 units exclusively for the elderly. This complex is fully occupied with a five year waiting list for every size family units and a three year waiting list for elderly units. Burton Towers is a 125 unit, Section 202, elderly housing project. Voisins of Newburgh at 51 LeRoy Place, is a 77 unit building operated exclusively for senior citizens.
Impediments created by market conditions for producing rental and owner housing and meeting the needs of those households most severely affected (large families, overcrowded households) include:
The city's supply of vacant, boarded up buildings (many of which are city owned) provide an opportunity to provide new home ownership such as through the sweat equity program promoted by the non-profit housing group Neighbors United for Justice in Housing (NUJH). These in-rem buildings are a resource. However, the lack of jobs and resulting income continues to be a major obstacle to such programs.
The required certification to Affirmatively Further Fair Housing is included in the City of Newburgh's Consolidated Plan.
There has not been any comprehensive assessment of lead-based paint hazards conducted in Newburgh to date. There is a Childhood Lead Poisoning Prevention Program (CLPP) underway in Orange County which has been screening children for lead poisoning through an outreach program. This program also provides lead poisoning prevention literature and information on abatement. During 1994, 145 children were found to have blood lead levels- > 20 ug/dl. The addresses of all children with elevated blood lead levels are referred to a public health sanitarian for inspection of the unit. Between 1992 and 1994, 289 cases were handled with abatement completed on 198 units and 98 cases are pending.
In order to estimate the number of housing units in Newburgh occupied by low and moderate income households that contain lead based paint hazards, 1990 Census data supplied by HUD was utilized. This data includes the number of housing units occupied by low and moderate income households grouped by year of construction (pre-1940, 1940- 1959 and 1960-1979). In order to estimate the number of these units continuing lead paint, national statistics provided by HLTD as to the percentage of such units found to have lead paint were used. It is estimated that 4,471 housing units occupied by low or moderate income households in the City contain lead paint.
None.
The primary public facility needs in Newburgh relate to neighborhood facilities, specialized facilities such as health care clinics and recreational facilities. This need is both in terms of support of facilities which already exist as well as the development of new facilities on a limited basis.
The age of the City and its infrastructure creates overwhelming needs for improvements. The extent of this need combined with limited resources results in a need to target infrastructure improvements in a fashion which is most cost effective. In this regard, infrastructure needs have been determined where such improvements support neighborhood revitalization and economic development. In some cases such needs support specific initiatives and in other cases they are of a more area-wide nature. These needs include sidewalk, curb and street improvements as well as a more limited need for water and sewer improvements.
The socioeconomic conditions in Newburgh require a wide range of public services. Recently, the City has attempted to assist in the coordination of how people are brought into the public service network and served in an effective manner. The Neighborhood Based Alliance (NBA) program has been a major initiative in this area.
It is interesting to note, however, that recent shifts in federal and state policies are now placing an emphasis on getting people out of the social services network and into the society's mainstream. Newburgh will now be faced with the need to deal with this shift in approach while still addressing the pressing everyday needs of its residents. Linkages between public services, employment training and economic development will become a primary need.
There are two distinct categories of accessibility needs facing Newburgh. One category is the need to comply with the provisions of the Americans with Disabilities Act (ADA) in public facilities of various types. As with many other needs in Newburgh, the age of the City, its buildings and infrastructure presents significant challenges to making all facilities accessible. The City is evaluating approaches to this issue on an on-going fashion and will address needs to the greatest extent feasible with available resources. A second category of accessibility to the greatest extent feasible relates to economic development and economic opportunity. Many of the jobs being created in the Newburgh market area are outside the City at locations which are not accessible to persons without private transportation. As a somewhat geographically compact community, Newburgh used to benefit from the ability of people to walk to places of employment. As the economic base of the City deteriorated, these opportunities became less available. As a result, unemployment levels, particularly among the lower income population, increased. In order to address this issue, there is a need to create transportation linkages between City residents and employment opportunities in the market area.
All of the needs described in this document relate either directly or indirectly to the need to improve Newburgh's economic base. Issues of housing affordability, homelessness, social services and infrastructure must be addressed by increasing income and not solely through the expenditure of public funds. The use of direct subsidies cannot solve this problem in the long term. This is especially true based upon the anticipated reduction in many programs at both the federal and state levels. Newburgh must re-build its economic base both within the City limits and work to provide access to employment on a regional basis. In this effort there is a need for public/private partnerships to leverage long term investment. The City needs to continue its recent initiatives such as NBA and the Enterprise Community programs to ensure that this effort links the various segments of the community in a coordinated fashion. There is a need to continue efforts to build upon the strength of the economic base in the area of health care and related services.
The preparation of this Consolidated Plan has been part of an ongoing process of consultations among various segments of the community with a common interest in housing and community development issues. Newburgh's position as an older community experiencing high levels of physical and economic distress has resulted in the establishment of a well defined process of community consultation on needs, priorities and objectives. Most recently, this process has been formalized through various initiatives including the CDBG Program, the Enterprise Community Program and the Neighborhood Based Alliance (NBA) Program. These programs have required an assessment of needs and the establishment of priorities as well as the allocation of resources to meet these priorities.
The NBA Program has an approved Strategic Neighborhood Action Plan (SNAP) which emphasizes a comprehensive approach to revitalization resulting in an improvement of the physical, social and economic environment. The Neighborhood Advisory Committee and the Community Consortium provide community input into this process. The membership of these committees includes low income residents as well as program providers and community resource agencies. In order to integrate the Consolidated Plan process into this on-going structure for citizen participation and consultation, these groups have been consulted in the formulation of the Plan. This process has included meetings with these groups as well as participation in events such as the Affordable Housing Community Forum sponsored by the Neighborhood Advisory Committee.
In addition to consultation with the Neighborhood Advisory Committee and the
Community Consortium, a meeting was held with the public housing resident
council. At this meeting, public housing residents were given an opportunity to
discuss housing and community development needs as well as concerns particular
to public housing programs and complexes.
The Strategic Plan for the Fiscal Year 1995 to 1999 period proposes to continue the most recent initiatives implemented over the last five years. These initiatives build upon the holistic economic development and neighborhood revitalization strategies embodied in the NBA Strategic Neighborhood Action Plan (SNAP) and the Enterprise Community Program. The emphasis of these programs is on neighborhood revitalization with a strong economic development component as well as supportive public services.
Newburgh proposes to focus on infrastructure, housing rehabilitation and economic development activities utilizing CDBG funds as well as HOME funds available from New York State and through the Orange County HOME Consortium. While some public services will be funded with CDBG funds, the program emphasis will be on physical development activities.
The priority for housing efforts during the strategy period will be on rehabilitation of the existing housing stock as part of the effort to revitalize neighborhoods and to provide affordable housing. It is estimated that 27 units will be rehabilitated at an average HOME cost of $13,000 per unit. CDBG funds will be used for the rehabilitation of owner occupied multi-family structures. These structures will be primarily 2 unit buildings where the low and moderate income owner will have the rent from one unit available to meet housing costs. It is anticipated that 12 units (6 owner and 6 renter) will be rehabilitated on an annual basis at a cost of $10,000 per unit. A third component to the program will be the rehabilitation of investor owned multi-family structures. This program will provide funds on a 50/50 match basis for the moderate rehabilitation of rental units. It is estimated that CDBG funds in the amount of $10,000 per unit will be used to rehabilitate 10 units on an annual basis.
Recently, HUD initiated the award of additional subsidies to applicants who will utilize the subsidies under the Family Self Sufficiency (FSS) Program. Newburgh currently does not have a FSS Program but is prepared to initiate such a program.
There will be two different homeownership initiatives undertaken during the strategy period. The City of Newburgh is cooperating with Orange County and RDAC in the implementation of a HOPE 3 Grant. Under this program publicly owned properties are being made available for first-time homebuyers. It is anticipated that 8 units will be provided in Newburgh at an average subsidy of $21,000 per unit. An additional subsidy of $25,000 is to be funded by the New York State Affordable Housing Corporation. These properties will be part of a concentrated revitalization effort on South Miller Street within the City.
The second homeownership initiative will be a program funded with HOME funds from the State of New York. Under this program, $54,000 of HOME funds will be used to assist 13 first time homebuyers at an average cost of $4,800 per unit.
Newburgh does not receive Emergency Shelter Grant (ESG) funds under the current funding formula. However, the City does work with the Orange County Department of Social Services and other agencies to meet the needs of the homeless in a coordinated fashion.
The priority community development needs relate to the major initiatives of economic development and infrastructure improvements. Many of these infrastructure improvements will support economic initiatives as well as serve low and moderate income neighborhoods targeted for revitalization. The economic development priority will be focussed on commercial-industrial rehabilitation and micro-business assistance. The commercial-industrial rehabilitation will include building facade improvements. The City will also use CDBG float funds for interim financing for start-up and construction loans for economic development initiatives. The micro- business assistance program will be in the form of CDBG funded low interest loans for the start- up or expansion of small businesses creating jobs for low- and moderate- income persons.
The infrastructure improvements will include sidewalk, curbs and street improvements in revitalization areas. These revitalization areas will include both residential neighborhoods and commercial areas. There will also be improvement to park and recreation facilities serving the low- and moderate- income revitalization areas.
The public service priorities will be placed primarily on programs which serve the youth of the City and its neighborhoods. However, the Enterprise and NBA Programs will provide a holistic approach to various other public services. The emphasis of these programs will be on job training and skills enhancement to increase participation in the work force.
The City of Newburgh attempts to address the issue of poverty in its population through the use of the limited resources under its control. It should be understood that most of such resources are needed to provide the basic functions of local government. Programs intended to address poverty are generally in the control of state or federal agencies. In addition, the private sector is the most important resource for addressing poverty in its ability to create employment opportunities with a resultant increase in income.
In order to address poverty among some of these groups where the incidence of poverty is highest, the City has utilized its limited CDBG funds available for public service programs. Newburgh will continue to use such funds in a targeted manner to address poverty in the community. However, the key initiative to address poverty will be the economic development program described elsewhere in this document. The NBA and Enterprise Community programs are major initiatives in the effort to reduce poverty levels.
Within the City of Newburgh, 6 Federal, 5 State, 4 local, as well as several private programs currently provide services to the community. The primary Federal resources include CDBG, HOME, CIAP, and Enterprise Community funds. Resources available from the State include loans and grants from the Urban Development Corporation, RESTORE, HHAP, and NBA. Local resources include General Fund allocations as well as General Obligation and Special Purpose bonds. Private resources include donations through the National Development Council and the Grow America Fund.
The Newburgh Community Development Agency serves as lead agency and
coordinates activities to address housing and community development needs. In
addition, the Newburgh Public Housing Agency administers the City's Section 8
certificate and voucher program. The NPHA utilizes the services of the NCDA
staff which facilitates coordination. This office also houses the Newburgh
Industrial Development Agency which is an active participant in the City's
economic development efforts. These economic development efforts are further
supported by the Newburgh Local Development Corporation (LDC) which administers
loans under the SBA 504 program, the Grow America Fund and the New York State
Urban Development Corporation's Minority and Women-owned Business Revolving Loan
Trust Fund. As lead agency, the NCDA also brings a variety of Orange County and
State of New York programs to Newburgh.
|
| $ 285,000 |
| 222,000 | |
| 445,000 | |
| 160,000 | |
| 250,000 |
Most CDBG activities will be taking place on the eastern-most side of the City, in Census Tracts 4 and 5.
The Newburgh Community Development Agency (NCDA) is the lead agency for administration of the Community Development Block Grant (CDBG) Program. In addition, the NCDA administers the Rental Rehabilitation Program and the use of HOME funds received from the State of New York. The NCDA staff is responsible for the preparation of all applications for funding, compliance with appropriate regulations, coordination and monitoring of all sub-recipient organizations and the preparation of all performance reports. Most importantly, the NCDA also coordinates a variety of housing and community development initiatives funded by various federal and state programs. In this role, the NCDA is able to focus these resources in accordance with established City policies for maximum impact.
| Code Enforcement | 300 units |
| Housing Rehabilitation | 25 units |
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, and proposed HUD funded projects.
TABLE (without associated map) provides information about the project(s).
