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

CITIZEN'S SUMMARY

Steady growth characterizes Denton, TX, a city of nearly 70,000 in the northern part of the Dallas-Fort Worth Metroplex, which is the Nation's fastest growing and physically largest metropolitan statistical area (MSA). Denton aggressively mobilizes the resources of local providers to maximize benefits from available public funds. It is unique among Texas cities its size because it uses local tax dollars for human services.

Action Plan

Denton will use $1.7 million in Community Development Block Grant (CDBG) program and public-private resources this money will leverage to fund high priority activities, including assistance to lower income renters.

Citizen Participation

Newspaper, cable television, and radio advertisements notified citizens about the opportunity to participate in the preparation of Denton's Consolidated Plan. Service agencies, churches, other organizations, and interested citizens who living in lower income neighborhoods were notified directly. Public hearings were held at each stage of the process, including hearings that identified housing and community development needs, reviewed proposed use of funds, and reviewed program performance. Public hearings were held in lower income neighborhoods. Technical assistance was provided to individuals and groups developing proposals. The city established procedures for responding to written and oral complaints.

MAP 1 depicts points of interest in the jurisdiction.

COMMUNITY PROFILE

Denton's annual growth rate of slightly more than 3 percent is consistent with the city's historical trend of moderate but steady growth. This trend began with sharp upturns in 1985 and 1986. The 1990 census recorded a 60 percent increase in population, which rose to a total of 66,270 people. As of January 1, 1995, the population was 69,875. The highest percentage increases occurred in areas along the Interstate 35 east corridor to Dallas, some 30 miles to the southeast.

The racial/ethnic composition of Denton is 78 percent white, about 9 percent African American, and about 9 percent Hispanic (of all races). All other minorities comprise just over 3 percent. During the 1980s Denton's minority population increased by 69 percent. Although African-American and white populations experienced almost identical percentage changes -- 32 percent and 31 percent, respectively -- other minorities made substantial gains. The Hispanic population doubled, almost equaling the African American population. While the Native American and Asian American populations are small, their percentage increases are dramatic -- 215 percent and 184 percent, respectively. Eight census tracts have minority concentrations in excess of 20 percent.

Median family income (MFI) in Denton is $39,516, versus $47,000 in the metropolitan area. Of the city's 25,702 households, 37 percent are considered very low-income, earning 0-50 percent of MFI. Another 18 percent are low-income households, earning 51-80 percent of MFI. Nearly 8 percent are moderate-income households, earning 81-95 percent of MFI.

There is a concentration of low- and moderate-income households in the older areas of the city. These areas also have the highest percentage of substandard structures and housing in need of rehabilitation.

Over the past decade, the percentage of small (one- to four-person) families who need housing assistance has risen dramatically, from 8 percent in 1978 to 55 percent in 1989. This increase apparently coincides with a significant increase in the number of single-parent households, which rose by 50 percent since 1980. More than one-fifth of renter households earning less than 51 percent of MFI are small households.

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

Lower income renters experience two factors that are unusual for a city of Denton's size. First, college students inflate rental rates. Often, as many as four unrelated students attending the University of North Texas or Texas Woman's University form one household. These combined households can afford higher rents than many traditional households.

Second, fair market rental rates are artificially inflated because they are based on statistics for the Dallas metropolitan area, which has higher housing costs. These rental levels are a particular burden on groups seeking to provide housing to those threatened with homelessness.

Housing Needs

The majority of low-income households needing housing assistance are renters. Denton has 15,294 renter households in the low- and moderate-income categories requiring some type of housing assistance. These households have incomes below 80 percent of MFI and pay more than 30 percent for housing expenses.

Among all renters, 54 percent are very low-income households, and over 50 percent have a severe cost burden, paying more than 50 percent of their income for housing expenses. Of African American renters, 72 percent are very low-income households, and 67 percent have housing problems. Of Hispanic renters, 61 percent are very low-income households, and 64 percent of them have housing problems.

Although Denton's 10,408 homeowners typically have higher incomes than renters, 12 percent of owners with very low-incomes, particularly African American and Hispanic owners, have a high incidence of housing problems. Among very low-income owners 60 percent have a cost burden, paying more than 30 percent of their income for housing expenses, and 31 percent have a severe cost burden. Half of all Hispanic owners have housing problems. Elderly households comprise 64 percent of all owners who have incomes below 50 percent of MFI.

Housing Market Conditions

As of January 1, 1995, Denton had an estimated 29,599 housing units. Over 15,000 of those were rental units, and about 10,000 were owner-occupied. The average sales price of a home was $91,056.

The average monthly rent was $455, including utilities. Although families earning 51-80 percent of MFI could afford this rent, families earning less than 50 percent of MFI could not.

Affordable Housing Needs

Although comparing income levels with current prices indicates that owner-occupied housing in Denton should be more affordable than ever before, households earning 50 percent of MFI can afford only 5,797 housing units, and 1,360 of these units are vacant. Households with incomes less than 31 percent of MFI can afford only 161 vacant units. The city started a homebuyer assistance program that helps lower income families to pay the up-front costs associated with purchasing such homes. Since its inception in 1992, the program has provided 38 families with $143,414 in assistance, an average of $3,774 per household. Currently, 32 low-income families are on a waiting list for such assistance.

Homeless Needs

It is difficult to determine the number of homeless persons in Denton. Only a few of the homeless are actually on the streets. As many as 25 to 30 persons may not have any type of permanent shelter. Most homeless families and individuals are living with relatives and friends or living in their cars. A 1994 count found 41 homeless persons, including 8 children. Unemployment was the most frequently cited reason for homelessness.

Denton has three shelters operated by nonprofit or religious organizations. The Denton Gospel Mission can house 20 to 25 transient men; Denton County Friends of the Family shelters an annual average of 304 victims of domestic violence; and the Salvation Army provides emergency food, gas, and rent or motel assistance. Although the Salvation Army can currently shelter approximately two families and two to three single women and children, it is planning to build a family shelter.

Providers report that more capacity is needed to shelter homeless families. Nearly one dozen organizations or institutions provide the homeless or those threatened with homelessness with services, ranging from food and clothing to employment assistance. Unfortunately, most of the social services available for the city's homeless provide only a brief respite.

Public and Assisted Housing Needs

Denton has no conventional public housing units. The Denton Housing Authority manages 176 Section 8 new-construction units for families and 140 such units for the elderly. The authority also manages 632 Section 8 certificates and 83 vouchers.

Barriers to Affordable Housing

There are no overt barriers to development of affordable housing in Denton. The official Denton Development Plan encourages the construction of numerous housing types and the adoption of codes and ordinances that "promote and encourage the quality of smaller size housing." It also promotes compact growth as a means to reduce the per capita cost of infrastructure, thus lowering the cost of development.

Recent steps to implement these and similar policies include: expansion of the Community Development Office, which administers the city's housing program; and appointment of a low- and moderate-income housing task force. The task force helped to create the Denton Affordable Housing Corporation, which was designed to increase the supply of affordable housing.

There is no evidence that zoning regulations, building codes, lot limitations, development fees, or tax rates have an adverse effect on the provision of affordable housing.

Fair Housing

Denton plans to expand its fair housing program to include additional outreach and training. This expanded program may include a reorganization that will satisfy provisions of the Fair Housing Act. By increasing public awareness of fair housing programs, the city hopes to reduce the number of unreported cases of housing discrimination.

Lead-Based Paint

Estimates based on a HUD-recommended formula indicate that 6,266 household units occupied by low- and moderate-income families contain lead-based paint hazards. City efforts to reduce lead-based paint hazards include: providing information to prospective buyers of homes built before 1978, and monitoring rehabilitation contractors on the success of their hazard abatement efforts. The Denton County Health Department has not documented any confirmed cases of lead-based paint poisoning.

Other Issues

Eight facilities provide various levels of care for persons in need of assisted living or convalescent care. Services for the elderly include recreation activities, hot meals, and transportation in accessible vans. AIDS Services of Denton County offers confidential testing and counseling, case management, medical equipment, and transportation to health care providers and social service agencies. Public agencies and philanthropic groups provide various health care services to families, persons with physical or mental disabilities, and persons with other special needs.

Community Development Needs

The estimated cost of addressing the city's community development needs is over $9 million. Of the $2.6 million needed for public service expenditures, nearly $1.8 million would be required to provide necessary employment training. Another $2.2 million would be required for infrastructure needs, including improvements for flood drainage, water facilities, streets, and sewers. Slightly more than $1 million would be required to complete needed public facility improvements.

Coordination

Under the supervision of the Denton Community Development Office, the city mobilizes housing and supportive service providers to implement provisions of the Consolidated Plan. The community development advisory committee and the human services committee will continue to gather data and discuss needs with service agency personnel and other providers.

HOUSING AND COMMUNITY DEVELOPMENT STRATEGY

Housing and Community Development Objectives and Priorities

Over the next 5 years, Denton will follow nine strategies, each based on carefully identified needs and priorities. These strategies include:

Expanding the supply of affordable housing.
Helping homeless families and those threatened with homelessness.
Enhancing human service delivery.
Improving infrastructure.
Fostering economic development.
Reducing crime and the fear of crime.
Removing barriers to affordable housing.
Abating or reducing lead-based paint hazards.
Continuing to support antipoverty measures.

Housing Priorities

The affordable housing strategy places the highest priority on increasing available rental assistance to low-income families. The Housing Authority will continue to use Section 8 vouchers and certificates to assist these families. In order to complete the conversion of a vacant hotel into housing for very low-income elderly persons, the Authority will spend $900,000 from the Federal Home Loan Bank and $811,000 in State HOME Investment Partnership (HOME) program funds. HOPE, Inc., a nonprofit support group for the homeless, will provide rental assistance, using $40,550 in HUD transitional housing funds, $10,000 in Denton general funds, and private donations. AIDS Services of Denton County, Inc., will use $80,000 from the Housing Opportunities for Persons With AIDS (HOPWA) program for rent and utility assistance for approximately 50 persons. The Community Development staff will establish a rental rehabilitation program targeted to low-income neighborhoods.

Rehabilitation assistance for owner occupants is designed to ensure that very low- and low-income owners retain ownership. There are 110 households on the waiting list for this assistance.

Denton will continue its homebuyer assistance program, which provides up to $14,900 for closing costs and gap financing to reduce interest rates for very low-income families.

Developed by 11 major providers, the 5-year strategy to reduce homelessness establishes a continuum of care consisting of outreach and assessment, emergency shelter, transitional housing, and permanent housing. The city will support local nonprofit applications requesting funds to implement essential aspects of this strategy.

Assistance to persons threatened with homelessness and persons with special needs will include programs implemented by HOPE, Inc., and AIDS Services of Denton County.

Nonhousing Community Development Priorities

Denton's community development program provides nonhousing assistance in three major areas: human services, public facilities and improvements, and economic development.

As the only Texas city its size using local tax dollars for human services, Denton's human services budget consists of half CDBG funds and half general fund revenue. Following criteria developed by a Council-appointed human services advisory committee, key providers identified four priorities:

Developing a service coordination unit.
Working to provide additional resources for those needs identified in 1994.
Increasing coordination among service organizations and funding sources.
Encouraging programs that promote self-sufficiency.

Two infrastructure priorities have been set for the 5-year strategy:

Closer coordination between the CDBG process and the capital improvement plan process. The two processes now occur simultaneously, but with little coordination.
Revision of funding criteria.

The city and the Denton Chamber of Commerce have developed a joint economic development program that would:

Proactively recruit research and development facilities and distribution centers for film and high-tech equipment and services.
Develop marketing tools that help Denton to compete within the Dallas-Fort Worth metropolitan area as well as regionally, nationally, and internationally.
Capitalize on the resources of universities to attract industry and nurture small businesses.
Identify and develop marketable sites.
Promote creative financing and fiscal impact studies.

There is a high priority to create a community development corporation that encourages small business development.

A key element of Denton's crime prevention strategy is the Police Department's Community Oriented Policing program, established in 1988. The Police Department is requesting $173,000 from the U.S. Department of Justice in order to accomplish the program's mission. Crime prevention goals include: creation of a central repository for information and resources, greater communication between citizens and police, and mobilization of community groups to prevent crime.

Antipoverty Strategy

The city supports activities that provide residents with opportunities to attain and maintain self-sufficiency, including efforts by HOPE, Inc., which provides job-search assistance and budget counseling. The city expects to closely collaborate with the North Texas Education and Training Co-op., Inc., which provides education and employment counseling as part of its role in administering the Job Training Partnership Act program.

Coordination of Strategic Plan

The Community Development Office is the lead agency for the city's housing programs, initiating projects that require the participation and cooperation of entities, such as: the Denton Housing Authority, the county Housing Finance Corporation, and the educational community. The Denton County Mental Health Mental Retardation organization may become a key player in the city's attempt to assist persons with special needs.

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) depicted in MAP 9.

ONE-YEAR ACTION PLAN

Description of Key Projects

In order to meet objectives stated in the 5-year strategic plan, Denton will support some two dozen programs, using: over $1.6 million in CDBG grants, surplus funds from prior years, and estimated income from $24,000 in rehabilitation loans. These programs include:

Loans for owner-occupied housing rehabilitation ($334,500).
First-time homebuyer assistance ($125,000).
Administrative costs for Denton Community Development Corporation ($60,500).
Operating expenses for Denton Affordable Housing Corporation ($20,500).
Prenatal care for low-income women ($31,000).
Summer recreation programs for children ($27,500).
Transitional program services for homeless families ($25,000).
Demolition and clearance for neighborhood improvements ($65,000).
Recreation center lighting ($3,000).
Street repairs and repaving ($49,900).
Playground improvements ($35,000).

Locations

Although most programs are citywide in scope, eight programs benefit neighborhoods in targeted low-income areas. Neighborhood-specific programs include day care renovations, street paving, and improvements at recreation facilities.

To comment on Denton's Consolidated Plan, please contact Barbara Ross, Director of Community Development, at 817-383-2445.

Return to Texas' Consolidated Plans