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

CITIZEN'S SUMMARY

Amarillo, on historic Route 66, lies in the center of the Texas Panhandle and provides critical services and facilities to the 26 county region. Amarillo offers a major medical center with three hospitals, a cancer center, a school of medicine and will soon have a school of pharmacy. The Texas Panhandle's economy is based primarily on agriculture and related industries, ranching, and the oil and gas industry. Amarillo is the business and financial center for these industries. Situated on two interstate highways, I-40 and I-27, and having major railway connections, Amarillo is also an important transportation center.

Action Plan

The Consolidated Plan for Housing and Community Development identifies Amarillo's needs for affordable and supportive housing as well as non-housing community and neighborhood development needs. This Consolidated Plan outlines a 5-year strategy to address these needs. The plan will guide the allocation of certain federal, state and local resources to programs and projects which will benefit the low- and moderate-income residents of Amarillo.

Annually, an action plan will describe the use of three major federal programs received by the City of Amarillo. These programs are the Community Development Block Grant (CDBG), the HOME Investment Partnership Program (HOME), and the Emergency Shelter Grant (ESG) program. The program year for all three programs is October 1 to September 30. At current funding levels, the city anticipates receiving approximately $3.5 million annually for CDBG, HOME, and ESG projects.

Citizen Participation

The Community Development and Planning Departments of the City of Amarillo prepared the Consolidated Plan with assistance and participation from social services providers, realtors, financial institutions, builders, and most importantly, interested persons within the neighborhoods. The analysis of housing needs and market conditions, homelessness, special populations, economic trends and non-housing community development needs were shared with a variety of citizens and resulted in the establishment of the priority strategies within the plan.

Citizen participation in the development of the Consolidated Plan took many forms. Over 120 people participated in the working groups. Four neighborhood meetings offered neighbors the chance to discuss needs, wishes, and goals with each other and help develop ways to address their neighborhood and household concerns. To broaden participation beyond attendance at meetings, a random telephone survey was utilized. The survey asked 800 residents questions about city services, community and neighborhood concerns, household needs, and priorities for future services and projects. The results were published and made available to the community for use in other planning activities.

As the Community Development Advisory Committee and the Amarillo City Commission considered the adoption of 5-year strategies and the allocation of resources, public hearings were conducted to give citizens opportunities for comment. Three public hearings were held during the 6-month process, one each in April, June, and July. Prior to the final hearing in July, the proposed Consolidated Plan and Annual Action Plan were available for a 30-day public review and comment period.

COMMUNITY PROFILE

From 1890 to the mid-1960's, Amarillo grew at a steady pace. Following the closure of the Amarillo Air Force Base in 1969, Amarillo lost 30,000 residents. Recovery and growth occurred through the 1970s and into the 1980s. The nationwide recession and the downturn in the oil and gas industry brought economic and growth decline in the late 1980s. The 1990s are proving to be a time of renewed growth. Amarillo's population grew by 10,000 in the last 5 years.

Amarillo draws its economic strength from long-established manufacturing and agricultural based industries, transportation links, and from its status as a regional trade and service center. Recent growth results from the expansion of existing industries, construction of two major Texas prison facilities, and new retail development. Amarillo's unemployment rate in 1994 was reduced to 4.2 percent.

As of 1994, the Amarillo Metropolitan Statistical Area (MSA) ranked 17th in population among the 27 MSA's in Texas. Amarillo's 1995 population estimate was 167,557. Amarillo is facing growth patterns similar to other cities in the country. New growth is moving out of the center to the suburban edge. It is anticipated the growth to the west and southwest will continue through the end of the century.

The single parent household is a growing segment of the population. Between 1970 and 1990, there was a 141 percent increase in the number of female-headed households with children. In 1980, 31 percent were considered to be living below the poverty level. In 1990, this percentage increased to 42 percent.

The primary changes from 1970 to 1990 in age composition reveal three trends. The proportion of persons under 20 years of age is decreasing. The population between the ages of 20 and 44 is increasing. Lastly, the number of elderly persons is increasing rapidly. Since 1970, the population group over 65 years of age has increase by 62 percent.

From the 1990 Census, Amarillo's ethnic and racial profile consists of whites at 77 percent, Hispanics at 15 percent, blacks at 6 percent, Asian and Pacific Islanders at 1.4 percent and Native Americans at .6 percent. The Hispanic population is not only the largest non-white population in Amarillo, it is also the fastest growing segment of the population.

The Hispanic and black populations are young. Compared to 26 percent of the white population, 41 percent of Hispanics and 37 percent of blacks are under 18 years of age. Collectively, there were 36,386 minority residents living in Amarillo in 1990, representing 23 percent of the total population. These population groups generally cluster in the older neighborhoods of center, east, and north Amarillo.

During the decade between 1980 and 1990, the percent of families with annual incomes below 80 percent of the median family income (MFI) increased from 33 percent to 43 percent.

13% or 7,957 are very low income - 30% of MFI
12% or 7,050 are low income - 50% of MFI
18% or 10,893 are moderate income - 80% of MFI

The 1990 median family income was $30,144. When analyzed by race, 45 percent of all white families had incomes above the MFI. Only 1 in 5 black families and 1 in 3 Hispanic families had incomes above the MFI. In 1990, 40 percent of black families had annual incomes below $10,000. This was the highest proportion among all racial groups. Hispanic families were at 24 percent.

The 1990 poverty threshold for a family of four was $12,674. Of all families, 13.1 percent had incomes below poverty. Examining poverty by race, black families were at 41.9 percent and Hispanic families were at 31.8 percent.

HOUSING AND COMMUNITY DEVELOPMENT NEEDS

Conditions

Amarillo's housing stock consists of 68,592 units. During the past decade, the supply of housing grew 13.9 percent Overall occupancy is 93 percent as compared to 89 percent in 1990. Only five percent of all occupied housing units were considered to be over-crowded. However, as the number of bedrooms increase the degree of overcrowding increases showing a need for larger sized housing units. A 1993 survey showed housing conditions in Amarillo have improved since the last survey in 1983. Of all housing units, 4.4 percent were in marginal condition and suitable for rehabilitation. Only 1.5 percent were substandard and beyond reasonable repair.

Housing Needs

Amarillo's Consolidated Plan assessed housing needs summarized as follows:

Very Low-Income Households (0-30% MFI) - 40 percent owners, 60 percent renters. Of the total homeowners, 33 percent are elderly with housing problems. Of the renter households with housing problems, 17 percent are elderly, 40 percent are small family related, 13 percent are large family related, and 30 percent are all other renters. Sixty-nine percent of the homeowners and 78 percent of the renters pay more than 30 percent of their income on housing and are considered cost burdened. Forty-six percent of the homeowners and 64 percent of the renters pay more than 50 percent of their income on housing and are considered severely cost burdened.
Low-Income Households (31-50% MFI) - 48 percent owners, 52 percent renters. Of the owners, 18 percent are elderly with housing problems. Of the renters with housing problems, 14 percent are elderly, 40 percent are small family related, 16 percent are large family related, and 30 percent are all other renters. Forty-two percent of the homeowners and 67 percent of the renters are considered cost burdened, while 15 percent of the owners and 17 percent of the renters are considered severely cost burdened.
Moderate Income Households (51-80% MFI) - 52 percent owners, 48 percent renters. Of the owners, 6 percent are elderly with housing problems. Of the renters with housing problems, 15 percent are elderly, are 40 percent small family related, 15 percent are large family related, and 30 percent are all other renters. Twenty-two percent of the homeowners and 31 percent of the renters are considered cost burdened, while 5 percent of the owners and 3 percent of the renters are considered severely cost burdened.

Among all income categories, the households with the greatest housing needs are elderly renters and large related renters. The homeowner group with the highest percentage of need is non-elderly owners.

Housing Market Conditions

The total number of housing units in Amarillo increased by 8,350 (13.9 percent) from 1980 to 1990. Overall occupancy is 93 percent. The percentage of owner-occupied units fell to 63 percent in 1990 as compared to 67 percent in 1970 and 1980. Fewer minority families were homeowners in 1990 as compared to 1980.

Amarillo is recognized as one of the most affordable housing markets in the nation. The average sales price of a home was $61,376 in 1990, $64,008 in 1991 and was $75,418 in 1994. The number of new housing starts grew in 1994 to 439 from a low of 177 in 1991. No multi-family apartments have been built since 1985. The occupancy rate among apartment complexes is 95 percent as compared to 87 percent in 1993. The 1994 average priced apartment rented for $383 per month an increase from $303 per month in 1993.

Currently multi-family apartment rents average 50 cents per square foot, an increase from the 1993 average of 47 cents per square foot. It is estimated that new construction will not be feasible until rents reach 72 cents per square foot. Projecting the average annual increases in rents, the 72 cents threshold will not be reached until the year 2000.

Affordable Housing Needs

A majority of households below 80 percent of the MFI cannot afford to buy or rent a home in Amarillo. To purchase the average priced home in Amarillo with a minimum downpayment at an interest rate of 8.5 percent, the monthly payment would be approximately $818. The average price is $75,418. Without spending more than 30 percent of their income on housing (a cost burden) no very low- or low-income households would able to buy the average priced home in Amarillo. If 50 percent of a very low- or low-income household's income were used toward housing costs (a severe cost burden) the majority would still not be able to purchase the average priced home. Even at $30,445, the average price of a home in the northeast quadrant of the city where housing prices are the lowest, few very low- and low-income households could afford to purchase a house.

As occupancy increases, the affordability of rental units decreases. Persons of lower income have fewer choices of quality units and fewer geographic choices. The shortage of three plus bedroom apartments and affordable rents forces very low- and low-income renters into lower quality, smaller apartments.

Homeless Needs

The number of homeless persons in Amarillo was estimated to be 269 in the 1990 Census. Homeless persons are difficult to count and the accuracy of the census or any number is difficult to measure. Annually the Community Development office conducts a "point in time" shelter count to determine the number of persons staying in the city's emergency shelters. Amarillo has a total of 349 shelter beds for homeless families and individuals. An average of 72,913 nights of shelter are provided by these shelters annually. This is an occupancy rate of 57 percent.

The 1995 shelter count found 240 persons living in shelters. Of these people, most had been homeless less than 6 months. Some had been homeless 1 to 3 years. The priority for services requested by these homeless people include a permanent place to live, transportation, food, and medical services. The most common reasons for homelessness included family problems, loss of jobs, and abuse or violence.

Amarillo does have an unsheltered homeless population. Amarillo's location on major interstates and railway lines, contribute to a large population of transient men. Many of these individuals live in camps in and around Amarillo. The individuals using the services of the Tyler Street Resource Center Day Room tell caseworkers there are seven major camps with 200 to 1,000 individuals living in the camps. These reports are largely unconfirmed. However, the average number of unduplicated individuals who accessed the Day Room and reported being unsheltered totaled 492 during 1994.

Public and Assisted Housing Needs

Amarillo does not have public housing. Instead, the city operates the Section 8 rental assistance program which pays rent to landlords on behalf of lower income families. In addition, private developers contracted with HUD in the early 1980s to build and operate apartment complexes with assisted rents. The city's Section 8 program offers 961 certificates or vouchers. The Section 8 and Section 202 multi-family units offer 608 units of assisted housing. The total number of assisted rental units in Amarillo is 1,569. Occupancy in the project-based units is 100 percent and 97 percent in the existing Section 8 program. The three percent vacancy rate is attributed to turnover in units.

The city maintains a waiting list of over 2,100 households. The waiting period is 4 years for those families qualifying for a federal preference. The average annual income of the waiting list households is $4,494 and 81 percent are female heads of household.

Barriers to Affordable Housing

In analyzing the effects of public policy as barriers to affordable housing in Amarillo, no significant barriers were found to exist. Construction of new housing or renovation of existing housing is very inexpensive in terms of development, building and inspection expenses. Development standards are made as flexible as possible.

Fair Housing

The City of Amarillo undertook an analysis of impediments to fair housing choice in July 1989. The study examined perceived discrimination in housing choice and financing. It also measured community awareness of Amarillo's fair housing ordinance and community attitude toward actions that can be taken if a person feels that he or she has been discriminated against. The study was conducted by contacting a random sample of 500 community residents who had either moved or looked for rental housing in Amarillo in the past year.

In 1989, approximately 33 (7 percent of the sample) reported experiencing discrimination in housing choice. The primary problems encountered involved cost, setting different conditions and refusal of real estate brokerage services.

The 1995 community needs survey asked similar questions concerning discrimination in housing choice. The survey sample consisted of 81.1 percent homeowners and 18.9 percent renters. Of the respondents, 82 percent said that housing opportunity is available regardless of race, gender, ethnicity, family size or disability. Only 18 percent disagreed with this statement.

As a follow-up with those disagreeing, the respondents were asked if they or a member of their household had experienced a problem with buying or renting property in Amarillo. Only 29 percent of the 18 percent respondents who thought problems existed had personally experienced a problem in Amarillo. For these people, the primary problems encountered involved: (1) not being able to afford rent or a payment; and, (2) a rental unit or home to one's liking was not available. These responses are barriers to housing but are not indicators of fair housing problems.

Lead-Based Paint

It is estimated that there are approximately 26,480 residential units in Amarillo likely to contain lead-based paint. Of this total, 40 percent are estimated to be occupied by low- and moderate-income households. In 1992, Potter County was identified by the Texas Department of Health as a high risk area for lead poisoning because of the large number of housing units built before 1960. Between January and March 1993, public health officials analyzed State and local data on EPSDT (Medicaid) children. The study found the level of elevated lead to be 5.5 percent, which is less than the State level of 7.9 percent.

To ensure that the number of children with elevated levels of lead declines, the public health department has established a plan of action which includes public education and testing. Abatement may be ordered by Environmental Health if a child with elevated blood levels is tested and found to suffer from lead poisoning. Referrals to the public health unit are made by the Community Development and Housing office if a child is suspected of having symptoms of lead poisoning.

Community Development Needs

The City of Amarillo has identified its community development needs as follows:

Housing rehabilitation and homeownership assistance programs to provide affordable housing and improve housing opportunities for low- and very low- income households.
Public facility and public improvement projects to improve low-income neighborhoods and the facilities serving low-income residents of these areas.
Economic development programs to create and retain jobs in the community, particularly to improve employment opportunities for low-income persons.
Public service activities to meet the social, economic, health, and educational needs of low-income persons, including the homeless and those threatened with homelessness.

Coordination

Coordination, inter-agency cooperation, and an effective referral network are the keys to successful implementation of housing and community development activities. Amarillo is fortunate to have a nonprofit and public agency community that works well together. In many instances, both public and private agencies have common clientele. It is in the best interest of the clients they serve for the agencies to make the most effective use of limited resources. During the planning effort, the working groups identified the need for continued coordination and sharing of information as a priority. The city's Community Development Department is responsible for coordinating housing services and implementation of the Community Development strategies with these pubic and private community services and agencies.

HOUSING AND COMMUNITY DEVELOPMENT STRATEGY

Vision for Change

The city participates in these major HUD-funded programs to help develop and maintain a desirable urban living environment for the citizens of Amarillo. These programs provide the city with resources to undertake otherwise unavailable or limited public improvements, facility improvements, and public services which benefit persons who are homeless or of low- and moderate-income.

The 5-year strategic plan describes the general priorities for allocating funds for housing and non-housing community development needs. The strategic plan also outlines the accomplishments Amarillo hopes to achieve. The strategic plan is intended to guide public, nonprofit, and private groups as they expand upon and design new approaches to meeting Amarillo's needs.

Housing and Community Development Objectives and Priorities

The city's housing and community development strategies were developed based on data analysis and other information gathered for the Consolidated Plan. The results of the neighborhood meetings and consultation with area agencies were particularly crucial to strategy development. The resulting strategies are listed below:

Housing Priorities

Affordable Housing

Lower income renter households should have opportunities to live in decent, safe, and affordable housing.
Low- and moderate-income homebuyers should have the opportunity and ability to live in decent, safe, and affordable housing of their choice.
Low- and moderate-income homeowners should live in decent, safe, and affordable housing.

Homelessness

Achieve a continuum of care to reduce the number of homeless families and individuals and those at risk of becoming homeless.

Other Special Needs

Improve the quality of life for those persons with special needs, such as the elderly, the mentally ill and those living with AIDS by providing opportunities for decent, safe, and affordable housing with services responsive to their needs.

Non-Housing Community Development Priorities

Neighborhoods should be socially and economically viable with services, facilities and infrastructure responsive to the needs of residents.
Improve the quality of life for lower income families and reduce the number of families living in poverty.
Eliminate slum and blighting factors which degrade neighborhoods and discourage reinvestment.
Provide long and short term planning necessary for the identification and analysis of community and neighborhood needs.

Anti-Poverty Strategy

Involve families-in-poverty in the planning, goal setting and decision making process for developing new initiatives.
Encourage social service providers, private business, local government, and community and civic organizations to work together to comprehensively meet the needs of families in poverty.
Create job opportunities and training programs for low income families by providing economic development incentives to industries and businesses.
Develop an effective continuum of care for the homeless and those at risk of becoming homeless.

Housing and Community Development Resources

In carrying out its housing and community development strategy, the city will directly utilize CDBG, ESG, HOME and Section 8 funds. Other public and private resources, combined with these funds or used independently, will be used to further the strategic plan.

Coordination of Strategic Plan

Through its participation with such organizations as the Coalition for the Homeless, Panhandle Community Services, the FSS Program Coordinating Committee, the Texas Panhandle Mental Health Authority, Christmas in April, and the Minor Home Repair Coalition, the city will continue to work with other service providers to achieve housing and community development strategies. The city will act to further coordination and sharing of information among public and private service providers. As needs arise, the city's Community Development office will convene groups of providers to discuss issues and methods for accomplishing activities for change. The working groups which contributed to the Consolidated Plan process will be maintain and reactivated as need arises. Progress in achieving the goals of the plan will be monitored by the city with cooperation from other service providers.

ONE-YEAR ACTION PLAN

Description of Key Projects

The city's annual action plan outlines the use of approximately $3.5 million in CDBG, HOME and ESG funds during the 1995 program year. These funds will be spent on a wide variety of activities including:

$1,285,000 for public facility improvements; including residential street paving, park development and improvements, construction of a dining facility for an alcoholic recovery center, and construction of a portable classroom and Americans with Disabilities Act improvements for a youth center.
$1,344,000 for housing activities; including housing rehabilitation, emergency repairs, homebuyer assistance, rental rehabilitation, as well as funding for two local nonprofit organizations to do acquisition, rehabilitation, and resale.
$389,000 for public service activities; including subsidized child care, subsidized adult day and health care, youth recreational and educational activities, family counseling and education, and meals and supplemental food for elderly and disabled persons.
$100,000 for demolition and clearance activities.
$93,000 for homeless shelter operations and services for homeless persons.

Locations

CDBG-funded projects must be located in the CDBG target area, with the exception of housing activities which may occur anywhere in the city. The target area is composed of census tracts in which at least 51 percent of the population is low- and moderate-income. Recipients of CDBG-funded public service activities, such as day care, are not required to live within the target area. They need only live in the city. ESG and HOME funds may be used throughout the city.

Lead Agencies

The City of Amarillo is the lead agency for the implementation of activities under the annual action plan. The city will monitor subrecipient agencies for compliance with federal, State, and local requirements and to ensure performance.

Housing Goals

The City of Amarillo's housing goals as outlined in the annual action plan include:

rehabilitation of 10 very low-income owner-occupied housing units;
emergency repairs for 350 very low-income homeowners;
rental rehabilitation of 100 housing units;
acquisition, rehabilitation and resale of 9 housing units to first-time homebuyers; and,
downpayment and closing cost assistance to 56 homebuyers.

Maps

MAP 1 shows points of interest in the City of Amarillo.

MAP 2 shows points of interest in Amarillo with low- and moderate-income areas shaded.

MAP 3 shows areas of minority concentration with low- and moderate-income areas outlined.

MAP 4 shows unemployment data (1990) by block group, with low- and moderate-income areas outlined.

MAP 5 and MAP 5A shows selected CDBG projects to be funded during its 1995 program year, with unemployment data shaded by block group and low- and moderate-income areas outlined.

For additional information, contact Vickie Covey, Assistant Director for Community Services, at 806/378-3000.

Return to Texas' Consolidated Plans.