The island of Puerto Rico is located in the Caribbean Sea, 1,000 miles southeast of Miami and approximately 3.5 hours by plane from Washington, D.C. and New York City. Although only 100 miles long by 35 miles wide, roughly the size of the State of Connecticut, Puerto Rico has a population of approximately 3.6 million citizens. A major producer and exporter of manufactured goods, high-technology equipment and pharmaceutics, Puerto Rico also features employment in government service, business, agriculture and tourism.
Puerto Rico was discovered by Christopher Columbus in 1493, and remained part of Spain for four centuries. Since 1898, Puerto Rico has been part of the United States of America and hence, Puerto Ricans are U.S. Citizens.
Hundreds of miles of coastline rim Puerto Rico, and the two inhabited islands of Culebra and Vieques lie offshore sunny beaches give way to upland rain forests. Crammed urban highways intersect with roads that soon wind under leafy canopies. Year-old high rises share the island with 300-year old towns, creating a myriad of urban problems which must be addressed by the central government. Although modern urban areas exist in San Juan, Ponce, Mayaguez, Caguas, Arecibo, Aguadilla, Humacao and Bayamon most towns still cluster around traditional spanish plazas which create a unique urban landscape and thus, unique development problems.
The Governor of Puerto Rico, Hon. Pedro J. Rosselló González, has given the Office of the Commissioner of Municipal Affairs the responsibility as Leading Agency in the Consolidated Plan. The Plan establishes a one year action strategy which includes the following programs and amounts; Community Development Block Grant (CDBG) $65,697,000; Housing Opportunities (HOME) $10,153,000; Housing Opportunities for People with AIDS (HOPWA) $1,566,000 and Emergency Shelter Grant (ESG) $2,488,000; The State agencies designated to collaborate in establishing the relationship that will result in the achievement of the goals directed to benefit the people we serve are The Department of Housing, Department of Family Related Services and the Department of Health.
The Plan furthers three basic goals in benefiting the low and moderate income persons:
In our effort to ensure citizen participation and build a solid partnership, the state has conducted strategies which include:
According to the 1990 census, Puerto Rico's population reached 3,522,037 which represents an increase of 325,517 inhabitants in respect to 1980 Census. Out of the total 78 municipalities, 16 are entitlement, accounting for approximately 54% of the all population.
The most significant characteristics of the population are represented in the following statistics:
The housing needs for 1990 is 141,145 housing units. From these an estimated 88,571 units will be needed to satisfy new families.
On the other hand, Puerto Rico has detected two factors that increment the housing needs. One is the estimated housing needs to substitute non-rehabilitable housing which amounts to 62,412 units; and the necessity of replacing units due to rezoning, demolitions or natured disasters consisting of an estimate of 22,693 units.
In addition of the total 141,145 units of housing needs, 119,295 will require assistance from the public sector.
The housing needs are distributed through the 78 municipalities. Data reflects a greater need to replace non-rehabilitable units in the smaller, non-metropolitan municipalities; and of new household formation in the urban , large areas.
The effective demand projected for the period from 1994-1998 is divided into various price brackets. Under one of the largest brackets we find those units of less than $40,000 in value, falling into what is described as "out-of-market" demand meaning that the price range is not profitably supplied by developers. On the other hand, a projection of 10,551 in market housing units per year is estimated in demand.
Puerto Rico has high construction costs in which acquiring a home available in the private market ranges between $40,000 and $80,000.00.
Analyzing the demand of housing by income level, we find that households with incomes of less than$10,800 will not be able to satisfy their needs through housing developed in the formal market. This must be considered in relation to the fact that the median income per family ranges between $4,812 and $7,200 per year. The information available shows that a large number of households experience economic deprivation. By 1987 of a total of 1,038,495 families only 201,782 (24.1%) had income enough to become owners or renters through the private market even though some were deficient incomes. This 75.9% of all families depended on the public sector for some subsidy as to acquire affordable housing.
For 1993-94 it was established that the island had 12,000 registered homeless persons. The main characteristics presented by this sector are:
In Puerto Rico, as in the United States, it is difficult to determine exactly the real amount of homeless. Registering information on the subject is relatively new.
In the present we have 74 facilities for homeless persons throughout different geographical areas and directed at special clientele characteristics. These shelters have a capacity for 2,962 persons.
For 1995, of a total of 154,156 families, 119,295 will need assistance from the public sector.
Due to the fact that a substantial portion is found to be "out of market" demand, this segment of demand requires government subsides.
Statistics show that a family with a maximum median income of $7,200 per year shouldn't spend more than $180.00 a month for housing payments. Payments like these aren't found in the private market and for such reason public and assisted housing must be supplied.
The 1990 Census found that over 40% of all households in the island had female head of families with as high as 60% of them living in public housing project. This has increased drastically in the past years, representing that more families headed by women will require public and assisted housing if the trend continues.
The HUD financed Section 8 Program, operating under P. R. Housing Department has identified a total of 7,158 private houses participating in the program. In addition the waiting lists more than double the participation.
Low-income and minority persons have an especially hard time finding suitable housing. Households can only afford units priced at $40,000 or less; which the private sector is not considered capable of supplying without some sort of facilitating arrangement requiring government participation.
Perhaps the most potent cause of regulatory barriers to affordable housing is "Not In My Back Yard" N.I.M.B.Y. sentiment at the individual, neighborhood and community levels.
Housing needs are more than double the size of the total demand projected. If we projected to meet the demand of 10,551 units per year during 1994-1998, it would be necessary to use some other vehicle than purely the private sector. Banks are likely to be subject to stringent quantitative performance criteria under the new rules for compliance with the Community Reinvestment Act. (CRA).
The Commonwealth of Puerto Rico Government will carry out a good faith, comprehensive and continuing endeavor to indentify, and promote the participation of minority and women and to obtain and sustain the support of key elected officials of the areas targeted project development. Affirmative marketing provisions will be comply with.
Owners, CHDO's, and units of general government will be required to include in their application for participation in the program their planned activities to comply with the requirements set forth in the regulations.
In 1990 the Puerto Rico Public Housing Authority consulted HUD's local office in order to get their endorsement to conduct it's own lead-detection study in our Public Housing Projects built on or before 1978, as required by HUD regulations on the lead based paint matter.
In order to comply with HUD's requirements for Lead Based Paint Puerto Rico conducted a plan study for lead bases paint in all public Housing built before 1978. The study showed that Puerto Rico had 229 projects, out of approximate 350 projects which needed to be sampled, representing 12,224 dwelling units to be tested of approximate 57,000 d.u.
In Puerto Rico about 55% of the 3.6 million inhabitants are low income, with a serious problem of affordable housing. This is complicated by the fact that an estimated 80% of the housing units of low income household were constructed prior to 1978 and will require same abatement work.
Puerto Rico has determined the need for reliable information regarding the homeless and special needs population. This data gathering will require an effective interagency effort which will cover the communication gap on issues regarding these groups. Exchanging such information is crucial in order to build strategies and assist these population groups in a more realistic and efficient way.
The information gathered through Puerto Rico's government five year plan estimates funding needs for community development in the amount of $716,875,812.00. The most significant needs and the proportion of funding needed is as follows:
Public Facilities 48% Aqueducts and Sewers 24% Youth and Community Centers 24% Economic Development (Includes Main Street Activities) 18% Roads 11% Public Service Activities (Directed towards elderly population 11% and crime prevention)
State agencies that are major components in the Consolidated Plan Strategy and with whom direct and continuous coordination is maintained:
Other participating entities are:
Federal Institutions such as:Federal Emergency Management Administration
Rural Development Administration State Entities:
P.R. Planing Board
Regulations and Permits Administration
Government Development Bank
State Historic Preservation Office Non-Profit Organizations
Private Sector
Our vision is directed towards goals that go way into the year 2,000 in which all puertoricans have the same opportunities; with their basic needs attended to. It is our vision that this may only be achieved through an active citizen participation process
These are directed towards rehabilitating communities, revitalizing commercial areas and improving living conditions.
As we all know their is a direct relation between poverty, lack of economic opportunities, crime and violence. Puerto Rico is going through one of the highest crime rates in the last 3 years. In order to address crime and violence we must treat the roots that bring out this situation.
Our strategies must be aimed at attending economically disadvantaged individuals in need of employment related assistance, housing assistance, special needs assistance.
The municipal autonomy will further these efforts giving to the local government the opportunity to attend the individual needs of their communities. It brings programs closer to the problem helping to clear bureaucracy.
On the other hand, the State has developed a Quality of Life Congress Task Force which is focused on working with public housing areas in an integral fashion directed to attend not only criminal incidence but the problems that cause it. Already 16 agencies and the local municipalities are involved in these effort. This strategy is being evaluated for implementation in other states.
Most of the islands municipalities are small cities with limited resources. They depend largely on state and federal funding resources. Among the federal resources are: CDBG, HOPWA, ESG, HOME, Section 8, JTPA among others.
The government is seeking and encouraging the assistance from local financial institutions and private investment as part of the partnership and community empowerment.
The monitoring process will be a guiding one. The State will review for compliance with primary and national objectives and program requirements; state and local laws and regulations will be analyzed. Review will be made to assure that activities funded are carried out in a timely fashion.
CDBG - $65,697,000.00 ESG - 2,488,000.00 HOME - 10,153,000.00 HOPWA - 1,566,000.00
Housing Projects Public Services Projects Community Development Projects Emergency (Contingency) ProjectsThese are distributed using a competitive basis among 62 nonentitlement municipalities.
Among the goals we must mention:
Maria Rosa Ortiz Hill
Assistant Commissioner
The Office of The Commissioner Of Municipal Affairs
GPO Box 70167
San Juan, P.R. 00936
PH: (809) 754-1600