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





CITIZEN'S SUMMARY

Scranton, located in the northeast corner of Pennsylvania, is historically rich in architecture, history, and major attractions. As a transportation hub with several major interstate highways crossing in the area, Scranton is 2 hours from New York; 2 1/2 hours from Philadelphia; and 5 hours from Boston, Baltimore, and Buffalo. Besides benefitting from its close proximity to several major cities, Scranton enjoys the advantage of having four colleges and universities that offer associate to doctorate degrees. Vocational education is also available in the fields of business, health occupations, home economics, industrial education, marketing, public service, and technical education.

The strength of Scranton's economy is its broad diversification. The area's economic structure is composed of a healthy balance between distribution, financial services, medical resources, consumer goods, information services, manufacturing, and other industries. The predominate industrial activities are the apparel and textile businesses.

Action Plan

The city will have access to about $4.5 million entitlement grant funds and about $161,000 program income. Some of the key projects that Scranton has planned for 1995 include providing extra police protection in low- and moderate-income areas, low-interest loans or subsidies for new or existing commercial and industrial businesses, funds to reconstruct areas to protect them from future floods, financial assistance to low- and moderate-income homebuyers and homeowners, transportation for youth, and performing street improvements.

Citizen Participation

Scranton held three public hearings during January and April 1995. The hearings were held to receive citizen views on housing and nonhousing community development needs, encourage residents of the city's public and assisted housing development to voice their concerns and needs, and receive comments on Consolidated Plan draft. Notices of all hearings were published in the Scranton Times and Scranton Tribune.

The plan was available for review at several locations, including the Office of the Mayor and Office of the City Clerk in the Scranton Municipal Building, Scranton Housing Authority, Albright Memorial Library, Lackawanna County Regional Planning Commission, Economic Development Council of Northeastern Pennsylvania, and the Office and President of all the Neighborhood Organizations.

MAP 1 depicts points of interest in the jurisdiction.


COMMUNITY PROFILE

The 1990 census reported that Scranton is home to 81,805 people. The elderly constitute about one-fifth of the total, as do people under 18 years of age. Minorities represent a small portion of the population (less than 3 percent), but nearly one-tenth of the minorities live below the poverty level. There are 1,290 Africans Americans and 1,017 "other" minorities (Asian, Hispanic) living in Scranton. Females make up slightly more than half of the population. The median age for Scranton is 41 and the median annual income for a family of four is $34,900.

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.


HOUSING AND COMMUNITY
DEVELOPMENT NEEDS

Conditions

Scranton's unemployment rate has been slightly higher than the State average for 4 of the past 5 years, but it has decreased dramatically since the early 1960s. The average income of city residents increased during the 1980s at the same rate as the State average, but the average city resident still earned an estimated 18 percent less than the State average.

The city lost hundreds of manufacturing and wholesale jobs in the 1980s, partly because of national trends away from manufacturing and the limited supply of modern buildings and sites within the city. Wholesale companies moved to adjacent municipalities, apparently to avoid the high mercantile and business privilege tax rates and to obtain larger sites closer to major highways.

Scranton's economy has a higher reliance on manufacturing than most areas. Within the city, manufacturing jobs are concentrated within a relatively small number of manufacturing types. A few large firms dominate the job market, which could make the area vulnerable to changes in specific industries.

As part of a national trend, the city has had large job growth during the past decade in service businesses, especially health care and education. Retail trade employment in the city has remained relatively stable after severe declines during the 1960s. Scranton has not attracted its fair share of the region's new business growth, except for medical care, or any large new private companies during the past decade, other than department stores proposed in the downtown mall. Scranton, however, is having a dramatic $288 million building boom, particularly in residential construction.

Small business has produced the most employment growth throughout the country in the past 20 years. Small business will play an even greater role in the economy as large companies reduce their workforces. The majority of Scranton's prospective employment growth is expected through new and expanding small businesses, rather than large new companies moving into the area.

Housing Needs

Approximately 22,900 households were either very low-income (less than 50 percent of the median family income [MFI]) or low-income (51 to 80 percent of the MFI). Nearly 12,200 of all the households had housing problems in 1990, meaning their homes either cost more than 30 percent of the household's incomes, were overcrowded, or lacked a kitchen or bathroom. More renters than homeowners in these income groups had housing problems.

The 1990 census shows significant gaps in the housing stock available to meet the needs of low-income households. There were 1,105 vacant rental units affordable to low-income renter households with housing problems. There were only 199 vacant for-sale housing units to meet the needs of low-income homeowners.

Housing Market Conditions

According to the 1990 census, Scranton has 35,357 housing units, of which 75 percent were built before 1940. Single-family households accounted for about half of the housing stock. The supply of housing has adjusted steadily to meet the needs of the population.

During the past 10 years, Scranton has fallen well below the national average for home prices. Scranton's median value of a noncondominium housing unit was $28,000 in 1980. In 1990 there was a substantial increase to $57,400. Median rents rose from $92 to $205 in Scranton. The overall rent in Scranton for 1990 was $252 a month, according to census information.

The median price of a new 2,200-square-foot home with four bedrooms is $125,000. The highest prices range from $85,000 to $175,000. In the low-priced areas, prices range from $35,000 to $65,000.

Affordable Housing Needs

The median rental rate in Scranton was $252 a month in 1990. The greatest number of renter-occupied housing units were less than $300 a month (including utilities). The median value on homes in 1990 was about $57,100. The future for low-income homeowners is not encouraging. By the year 2000, the city predicts an overall 2.5 percent increase in the number of single-family homes. One crucial factor in housing affordability is energy costs. Three-quarters of the housing in Scranton was built in the era of "cheap energy." Presently, energycosts are second to rent in housing cost burden. The housing stock is not only aging, but is also very inefficient.

Homeless Needs

The Mayor's Advisory on Social Justice in Scranton estimated that during 1993, approximately 5,213 people experienced homelessness. Several agencies provide services for the homeless, including the following:

When no other resource is available to someone who is homeless, a Scranton program called "Mission Come Home" provides assistance to these people. The program is an all- volunteer group that helps people find housing and other assistance.

The State provides a grant program to counties that provide assistance to individuals and families to prevent or end homelessness. It is designed to prevent evictions, move people out of shelters into permanent housing, and prevent foster care placement of children if the sole reason is lack of housing. Another State program—the Homeowner's Emergency Mortgage Assistance Program—is designed to prevent homelessness to households about to lose their homes due to foreclosure. The program provides loans that are sufficient to cover mortgage payments for up to 36 months.

There are several transitional housing programs in Scranton. One is the Bridge Housing, a State program administered by the Catherine McAuley Center. The program assists homeless people for up to a year by providing housing and case management. There are two Bridge Housing facilities in Scranton for women and children.

Public and Assisted Housing Needs

There are 2,689 public housing units in Scranton. Scranton does not anticipate losing any of these units to housing demolition or conversion to homeownership. The Scranton Housing Authority (SHA) operates 2,313 of these units and the remaining are owned or operated by various private entities. About a quarter of the units (595) SHA operates are for the elderly, slightly more than one-third (858) are for families, and another one-third (860) represent various scattered sites and rehabilitation programs.

In 1990 SHA controlled 2,161 subsidized housing units, Section 8 accounted for 827 and public housing accounted for the remaining 1,334 units. There are 2,000 people on the waiting list for subsidized housing in Scranton.

Barriers to Affordable Housing

The increased costs of developing affordable housing because of public policies and regulatory barriers are difficult to measure. Some people inaccurately assume that any added costs are reason enough to call for the elimination of a specific regulation or public policy. However, government regulations and public policies, such as building and maintenance codes, are designed to protect public health and safety.

The policies and regulations of building codes and code enforcement affect primarily the renter of affordable housing units rather than the recipient. While this service places an additional financial burden on the renter to comply with housing safety codes, it also ensures the safety and quality of affordable housing. The policies and regulations of property tax affect primarily the owner of affordable housing units. In many cases, the cost of the tax is passed on to the renter through the cost of rent. The city's zoning ordinance is not considered to be restrictive to affordable housing.

The city does propose a few strategies to reduce the cost of housing. For example, waiving or reducing fees and permit charges is a method of reducing construction costs for builders. If impacts are relatively high overall, waivers can be based on the percentage of low-cost housing included in any development project, thereby creating an incentive to increase the number of affordable units being constructed.

The city of Scranton will form partnerships with developers and all levels of government to reduce expensive barriers facing developers. The city will also seek any available money from State and Federal grants. Scranton will also take steps to modify land use policies that may inhibit affordable housing.

Fair Housing

Scranton will address any concerns that the residents have on fair housing in the city. The city will prepare an update to its fair housing analysis of 1990 by the February 6, 1996 deadline.

Lead-Based Paint

Scranton faces a serious problem with houses containing lead-based paint. A great number of people are at risk, especially those classified as very low-income. Studies show that this group tends to occupy housing that is generally older, and therefore more likely to contain lead-based paint. There are an estimated 33,000 housing units containing lead-based paint in Scranton. This figure includes housing for all income levels built before 1980.

The city will continue to comply with Federal requirements relating to informing current and potential residents. In addition, the city of Scranton will work with local contractors, increase resources for hazard reduction, and educate the public about the potential health hazards of lead-based paint.

Other Issues

Homeless service providers in Scranton have become increasingly aware of the needs of people with AIDS, and of the importance of education and prevention in this particularly vulnerable homeless community. The Northeastern HIV Planning Coalition is addressing community awareness of AIDS issues, and counseling those who are homeless or at risk because of AIDS.

The Association for the Mentally Retarded and the Scranton Counseling Center provide care to the mentally ill and chemically dependent. An outreach program provides case management, counseling, and referral to transitional housing and serves as an adjunct to the basic care now provided.

About 1,472 people in Scranton have a developmental disability. Nearly 84 percent of this population require supportive housing because they either are not employed or make less than $10 a week.

Community Development Needs

The city of Scranton, with the help of other interested parties, has identified a number of nonhousing needs. For example, the need for a youth facility that provides teenagers with a place to be with their friends that will not disrupt the peace of a neighborhood or business. The city also would like to include new senior centers to fulfill the needs of its 22 percent of the population.

In addition, the city has a number of infrastructure needs that include: flood control and storm water drainage improvements; road and bridge improvements; street signs, curb, and sidewalk improvements; and sewer improvements. The city also has a number of child care needs, including day care, recreation programs, practical assistance to families in need, and daily crisis intervention.

Additional transportation services are also needed. The demand for transportation far exceeds available resources in Scranton. Transportation is especially needed among those who require escort services and wheelchair accommodations.

Scranton also has a number of economic development needs that include: encouraging institutional growth within appropriate areas; construction of new middle-income housing and rehabilitation of existing homes; encouraging existing middle-income residents to continue living in the city; and retaining existing businesses in Scranton, as well as encouraging their expansion.




HOUSING AND COMMUNITY
DEVELOPMENT STRATEGY

Vision for Change

Scranton has prepared a single, 5-year strategic plan that brings needs and resources together in a coordinated housing and community development strategy. The overall goal of the plan is to provide affordable, decent, safe, and sanitary housing and to expand economic opportunities.

Housing and Community Development Objectives and Priorities

Housing Priorities

The following objectives have been established to meet the overall goal of providing affordable, decent, safe, and sanitary housing in Scranton:

Nonhousing Community Development Priorities

Scranton has established specific community development objectives for the Consolidated Plan, including preventing and eliminating slums and blight; alleviating economic distress by stimulating economic development; providing for new capital improvements and repair of existing facilities; eliminating conditions detrimental to public health, safety, and welfare; and providing for, and improving, essential community services. The following strategies are designed to meet some of these community development objectives:

Antipoverty Strategy

Currently 6,600 residents in Scranton live below the poverty level, an increase of 8 percent since 1980. The State's anti-poverty strategy promotes economic self-sufficiency for low- income families and individuals as a means to reduce poverty. Comprehensive case management by the city will be instituted to coordinate publicly supportive services. The city will also implement housing demonstration programs that provide assistance to low- income households.

Creating economic opportunities is equally important. Skills that are developed in education and job training programs are essential in helping low-income people attain self-sufficiency in housing. Employment is the only reliable avenue that moves people from subsidized living toward self-sufficiency. Reducing the number of families and individuals in poverty will occur if there is coordination of job creation activities with organizations working with people to promote self-sufficiency.

Support services such as counseling, medical coverage, day care, and food stamps need to remain in place until the person or family is capable of addressing those needs on their own. Subsidies from these programs should be gradually reduced, but they should not be removed as soon as a person becomes employed.

The assurance of safe and affordable housing gives people security to devote time to activities essential to attaining economic self-sufficiency. Scranton will continue to work with organizations to develop affordable rental housing and homeownership opportunities. The city will encourage homeownership through educational and financial assistance programs, redevelopment of neighborhoods, and by increasing the availability of mixed- income housing.

Housing and Community Development Resources

In addition to Federal resources, the city has access to a number of State resources, including the Housing and Community Development Program, used to assist in development or rehabilitation of housing; the Housing Opportunities Makes Economic Sense program, which offers low-interest deferred loans; and Homeless Assistance, a State appropriation that supports local agencies serving the homeless with various programs.

Scranton does not anticipate any local government funds or private for-profit funds being made available for implementing the Consolidated Plan. It may, however, receive funding from private nonprofit sources. The city intends to work with foundations and national nonprofit organizations in implementing its 5-year plan. As resources are made available, the annual action plans will reflect the funding sources and uses of those funds.

Coordination of Strategic Plan

The Office of Economic and Community Development will have the primary responsibility for carrying out and coordinating the overall strategy. The city intends to continue to grant and contract funds to local nonprofit organizations and to the Scranton Housing Authority and services providers.

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; as well as, provides a table with information about the project(s).


ONE-YEAR ACTION PLAN

Description of Key Projects

In contrast to the section outlining the strategies for coming years, this section focuses on addressing needs for 1995. Some of the key projects scheduled for 1995 include:

Lead Agencies

The lead agency responsible for coordinating and submitting the Consolidated Plan is the Office of Economic and Community Development.


To comment on Scranton's Consolidated Plan, please contact:
Mr. Parnell Joyce, Esquire
Director, Office of Economic
and Community Development
City of Scranton
340 North Washington Avenue
Scranton, Pennsylvania 18503
Phone: 717-348-4216

Return to Pennsylvania's Consolidated Plans.