The City of Newport News is located on the Virginia Peninsula and abuts the City of Hampton and the Counties of York and James City and the Fort Eustis Military Reservation. Historically, it has been considered to be a blue-collar town, deriving its economic strength from Newport News Shipbuilding and Dry Dock Company and Fort Eustis. However, the end of the Cold War and the reduction in federal defense spending has forced the City to place an emphasis on the diversification of its economy away from defense-related industries to high technology.
The City of Newport News' Consolidated Plan (CP) presents a strategic vision for housing and community development. The one-year action plan includes a budget of $2,900,000 in Community Development Block Grant (CDBG) funds, $1,329,250 in HOME Program funds, and $83,000 in Emergency Shelter Grant (ESG) funds. These funds will primarily be spent on housing and neighborhood improvement activities.
The Newport News Redevelopment and Housing Authority, the lead
agency on the Consolidated
Plan, collaborated with numerous local agencies, other city
departments, for-profits, non profit
organizations, and citizens in the development of the CP. The CP
process required the City to
hold two public hearings. The City held four public hearings.
Two hearings were held during the
development of the Plan and one during the public comment period.
The CP was published for
comment on April 12, 1995. A brief summary was published in the
Daily Press and copies were
available at the Department of Planning and Development and the
Newport News Redevelopment
and Housing Authority. Hard and computer copies were available
for review at all branches of
the public library. The final public hearing was held on May 23,
1995, before City Council.
The City of Newport News quadrupled in size since 1958 when it consolidated with the County of Warwick. After consolidation, it became a 26-mile long linear city, that was rural at the northern end and urban at the southern end.
The City's population and economic investments have been moving northward since the consolidation, leaving the older urban neighborhoods with concentrations of minority and economically disadvantaged populations.
Based on the 1990 Census, 52 percent of all the City's households had incomes below 95 percent of the City's median. For planning purposes, the City has been divided into four planning districts. Planning district 1 has 12 census tracks. Seven of those census tracts have minority populations of 60 percent or more. Six have minority populations of 80 percent or more. The concentrations of economically disadvantaged households and high unemployment rates are predominantly located in the Planning District 1 census tracts. Planning Districts III and IV also contain census tracts with concentrations of economically disadvantaged populations. Census tract 323 in Planning District III is the Fort Eustis Military Base.
The population, based on the 1990 Census data, of the City was
170,045, a 17 percent increase
since 1980. The City's minority population increased by 30
percent since 1980, with Native
American population showing the largest gain with an 111 percent
increase. The largest minority
population is African-American which represents 34 percent of the
total population. The City's
population as of December 31, 1994, had increase to 180,463.
The City of Newport News has steadily grown in population over the last 20 years and even though there has been a decline in defense spending the impact on employment has been minimal. However, despite the City's employment and economic investment growth, it lags in personal income growth.
Several critical housing needs are identified in the CP. The City's extremely low income small related households have the greatest housing needs, indicated by a 609 unit deficit. Extremely low and very low income large related and elderly renter households with severe costs burdens have been classified as a high priority. The total number of large related households is 7.7 percent of all households. Large households have the worst problem of overcrowding at 24.7 percent. Forty-five percent of extremely low income large households are living in overcrowded conditions.
The needs of single individuals are not identified on the Priority Needs Table which was taken from the CP, however, this group comprises 18 percent of all extremely low income households and 17 percent of all very low income households. Their need for housing is difficult to address, because this group does not meet the federal preference guidelines for rental assistance.
The City of Newport News has a total of 69,728 year-round housing units based on the 1990 Census data. As of December 31, 1994, the number of year-round housing units had increased to 75,350. A total of 63,952 units were occupied. The 1990 vacancy rates for both rental and for-sale housing units were 8.3 percent. The vacancy rate for rental units alone was 10 percent, and 3.6 percent for those units that are for-sale.
The City has a diverse housing market. In the City, 50 percent of the housing units are renter-occupied and 50 percent are owner-occupied. The majority of the three or more bedroom units that are suitable for large families are owner-occupied. More two-bedroom rental units have been constructed than any other type. Forty-nine percent of all rental units are two-bedrooms and 26 percent are three-bedrooms or more units.
The median rent in the City was $368, based on the 1990 Census data. The average home on the Peninsula sold for $99,732 in January 1993 according to information received from the Virginia Association of Realtors. The median value of owner occupied units was $85,200, according to the 1990 Census data.
Renters are experiencing greater costs burdens than owners. Seventy-three percent of all renters have some housing problem. Seventy percent have a moderate cost burden compared to 50 percent of owners. Of the renters, single individuals are the second highest group. They total 1,128 of all renters. Eighty-six percent are experiencing some housing problem and 85 percent have a moderate cost burden.
There are a total of 9,699 year-round zero to one bedroom units, 23,423 two bedroom units, and 36,606 three or more bedroom units in the City. A total of 29,077 occupied rental units in the City are affordable to low income households; 11,375 are affordable to extremely low, very low, and low income households. Another 3,098 units that are for-rent are affordable to low to moderate income households; 1,956 are affordable to extremely low and very low income households.
A total of 9,858 owner occupied units are affordable to low income households; 3,656 are affordable to extremely low and very low income households. Another 459 residences that are for-sale are affordable to low and moderate income households; 155 are affordable to extremely low and very low income households.
The United States Census Bureau indicates that 135 persons were homeless in Newport News on March 21, 1990, and of that number 96 were in shelters and 39 were counted living on the streets. It is believed this number is significantly underestimated because those referred to available hotels or non-traditional shelters may not have been counted. Additionally, there are many abandoned and vacant buildings where homeless are believed to stay which were not surveyed. Neither does the census count reflect those homeless who were fortunate enough to find temporary housing for the night with friends or relatives.
A "point in time" census was made of area shelters as well as those served by HomeBase for the night of March 15, 1995. The result indicates there were 34 families and 90 individuals being sheltered on that date, totaling 220 persons. Of this total, 75 percent were African-American and 25 percent were white. HomeBase estimates that there were 76 families and 200 individuals who were unsheltered, totaling 490 persons.
The data provided does not reflect the latest data gathering surveys for the homeless served. The latest survey, used in the "snapshot" in the March 1995 "Continuum of Care Statement for the Virginia Peninsula" more accurately reflects the homeless persons with mental health and substance abuse needs. These numbers are as follows: Single homeless people with substance abuse disorders, 110. Shelter/treatment beds available for these people, 89. Homeless family members with the head(s) of household suffering from substance abuse disorders, 160. Shelter/treatment beds for such families, 0 (zero). Single homeless mentally ill only, 15. Available shelter/treatment beds, 0 (zero). Homeless family members with the head(s) of household suffering from mental illness only, 21. Available shelter/treatment beds, 0 (zero). Single homeless people with dual diagnoses (mental illness and co-occurring substance abuse disorder), 73. Available shelter/treatment beds, 9. Homeless family members with head(s) of household suffering from dual diagnoses, 105. Available shelter/treatment beds, 0 (zero).
As of 1994, the Newport News Redevelopment and Housing Authority (NNRHA) owns and manages 2,289 public housing units. The demolition of Lassiter Court has been completed, therefore, the total number of units presently is 2,139 until all the Lassiter Court units are replaced.
Because of the ongoing Comprehensive Improvement Assistance Program (CIAP) and comprehensive grant activities addressing lead-based paint and hazardous materials abatement, an average of 85 units are off-line for approximately 90 days on a rotating basis. Rentable vacant units average approximately 50 at any given time. There is less than a 30 day rent-up cycle for typical vacated units. This represents a two percent vacancy rate.
Privately owned assisted housing is quite prevalent in the City of Newport News. The existing Section 8 projects total 1,435 units. The vacancy rate of these properties is less than two percent. Units tend to only be vacant while necessary repairs are made prior to rental to a new tenant. A telephone survey of all privately assisted housing projects as of November 1993 concluded that all of the privately assisted projects were at full occupancy with a one to two year waiting list. As of November 1993, none of the tenant-based rental certificates and vouchers were unused, regardless of unit size. During the week of the survey, Great Oak elderly complex had one vacant unit that had been vacant for one week due to necessary repairs prior to new tenants and was expected to be occupied the following week. None of these units are expected to be lost from the City's assisted housing inventory.
The Newport News Redevelopment and Housing Authority has 1,584 units under the existing Section 8 programs. This includes certificates, vouchers and moderate rehabilitation. Other assisted units in Newport News have been developed under various federal insurance or subsidy programs and total 1,497 units. With the exception of Glen Gardens, a HUD-owned complex, the above projects maintain an occupancy of at least 97 percent.
Land cost has been the major hindrance in the development of affordable housing outside of Planning District 1 and the Southeast Community. In the past twelve years, land cost has doubled, and the City's economic boom caused housing prices to escalate. The City's housing prices have now stabilized. The government is aware of issues relating to their tax policies, land use controls, zoning ordinances , building codes, and other restrictions but feel these are necessary for reasons of public safety and good public policy.
The Office of Human Affairs is funded by the CDBG program to provide Fair Housing counseling and services to the City of Newport News. In addition, the City Council, by resolution, created the Citizens Review Board for Low Income Housing in 1992 to review matters pertinent to privately owned assisted housing. In cases where fair housing matters are involved, appropriate referrals and resolution are handled by this citizen committee chaired by a local attorney.
Lead-based paint was banned in the City of Newport News in 1982 by ordinance. The ordinance declares it is unlawful to use or apply paint or any substance when it contains 0.7 mg/cm2 or more of lead as measured by an X-ray fluorescence analyzer or when it contains more than 0.5 percent lead by weight in the total non-volatile content of liquid paint or in dried film of paint already applied as determined by wet chemical analysis to exterior or interior surface of dwellings, dwelling units or child care facilities, outbuildings, fences, and yard soil.
Identification of lead paint hazards warrant immediate action by the property owner. The Director of the Department of Public Health and/or the Director of Codes Compliance will issue a written notice of violation to the property owner. Immediate hazards such as reachable or chewable paint or damaged paint must be eliminated within ten days of receipt of the written notice. All hazards must be eliminated in thirty days.
The needs identified are focused primarily on the lower income segments of the city. Needs identified include infrastructure needs, i.e., water, sewer, drainage, and sidewalk upgrades. Economic development, job training, and creation are major community development needs in this segment of the city as well.
Services to youth and young adults to address vocational, physical, and emotional needs to develop self-sufficient, independent, and productive citizens are also identified.
Child care and transportation are key elements of successful economic development opportunities for lower income citizens.
Coordination with entities such as the Alliance for Youth,
United Way, youth and job training
groups, the Industrial Development Authority and NNRHA will
facilitate the linkages to continue
efforts in the areas discussed as community needs.
In addition, the City will continue to seek ways to maintain spending and tax levels and minimize development fees, while maintaining a high level of service, in order to keep housing costs down for first-time home buyers.
Housing priorities and strategies focus on providing assistance to those who are paying disproportionate amounts of their income or rent; to the homeless; to those living in substandard housing and to those seeking first-time home ownership opportunities.
Owners in the categories of having incomes below 50 percent of median and those living in substandard housing were given high priority need designations. Federal CDBG and HOME program resources have been allocated to ensure the City's housing stock is maintained. Funding from several State sources will be allocated for this purpose, such as the Indoor Plumbing and Rehabilitation Program. These programs are directed to very low income elderly and families as well as other low income families and elderly households. Approximately 60 homeowners should be assisted in the upcoming year with CDBG and HOME resources.
Applications for State funding to supplement the available Federal funds will be supported.
CDBG program funds are primarily targeted to the Southeast Community and HOME funds are available to income eligible clients on a citywide basis.
For this priority category, where HOME and CDBG resources are utilized, NNRHA administers and delivers the programs for the City.
The City places a high priority on programs to facilitate first time home ownership. Home buyers Assistance to first time home buyers is allocated through State funding for new construction activities and through HOME and CDBG programs for acquisition and rehabilitation of existing homes. The NNRHA's locally designed Urban Homesteading Program (AHOP) will continue to provide incentives for home ownership to very low income and other low income families in FY 96.
The highest priorities for the homeless are: emergency shelter for persons with special needs; transitional housing for families, permanent supportive housing for families and permanent housing for families.
The non-housing community development priorities center on improving the neighborhood environment and facilities used for community services and activities. The City of Newport News has a very well developed system of public services. The needs to be addressed are all ranked as having medium priority levels. Those areas are; handicapped services, youth services, substance abuse services, employment training, child care services, fair housing and tenant/landlord counseling.
The City of Newport News recognizes the need to continue programs that strengthen its economic base as an important part its antipoverty strategy.
The Newport News Urban Action Grant Program (NNUDAG) will continue to assist businesses with low interest loans for existing businesses and new start-ups. Through this program, jobs will continue to be provided for low income individuals and minorities.
The construction of a pier in the Seafood Industrial Park and its related activities will continue under the U.S. Department of Commerce-Economic Defense Conversion Grant Program. The pier is presently under construction and is a phase of an ongoing multi-phased project to expand the Seafood Industrial Park. Several phases are already complete (i.e., maintenance, dredging, road widening, parking, sewer work, etc.) The expansion of the Park will continue to have an impact on low and moderate income people through the on-going creation of jobs.
The expansion of the Enterprise Zone for Copeland Industrial Park along with greater program incentives, will spur growth by assisting existing businesses to more easily expand under the economic incentives of the Enterprise Zone. This project will allow the City to assist new and existing businesses in the park, and create additional jobs for low and moderate income people for the upcoming year.
The Anti-Crime Partnership Program is a model program in the State. The program has been very successful in mobilizing citizens in the Southeast Community to participate in crime prevention in their neighborhoods. Citizens have taken an active role in deterring and controlling crime in their community. As stated earlier, the State grant ends in June 1995, but the City will continue to administer this program for the upcoming year and has funded additional law enforcement personnel previously paid for with grant funds.
The resources expected to be available to the residents of the City for housing and supportive services and community development are from public or private sources. These sources are through Federal, State, local, and private programs. Some of these resources and their respective programs are delineated below.
Public:
The Primary Federal resources include CDBG, HOME, Section 8, public housing and Emergency Shelter Grants.
State resources include the Emergency Repair Program, Check-off Program, the Virginia Housing Partnership, the Pre-Development Loan Program, Moderate Rehabilitation SRO funding, VHDA funding, Low income Housing Tax Credit Program and the State's Multi-Family Loan Program.
Private:
Private resources include United Way funding, Peninsula Home Builders Association, Anti-Crime Partnership program, and CRA investments.
The City of Newport News' Planning Department is
responsible for the Consolidated Plan
activities, but several City departments as well as the Newport
News Redevelopment and Housing
Authority are involved in the development and administering the
plan components.
The City of Newport News' One-Year Action Plan outlines the proposed use of 4.3 million from three entitlement programs, program income, and local sources of matching funds for the HOME program. The majority of all the projects are concentrated in the Southeast Community where most residents are of low or moderate income. Some of the forty-three projects include:
A substantial amount of the CDBG funding for FY 95 is spent for non-housing programs or public facilities and public service activities supporting non-profit organizations serving lower income groups.
The Newport News Redevelopment and Housing Authority (NNRHA) is under contract with the City of Newport News to carry out the CDBG, ESG and HOME programs. The City provides oversight and monitoring. The City Department of Codes Compliance carries out the demolition program. City Departments of Public Works and Engineering carry out public infrastructure projects.
NNRHA subcontracts with nonprofits providing CDBG funded and ESG public service activities. Otherwise, the NNRHA administers all community development activities. NNRHA subcontracts with CHDOs for HOME funded CHDO work.
Housing goals for the first year include increasing affordable housing for seventy-five households through rehabilitation, acquisition, and new construction; providing public housing rental assistance for 100 households at the Lassiter Courts site; placing 100 public housing and Section 8 tenants in self-sufficiency programs; providing home buyer counseling to 100 families; providing 88 single room occupancy units for the homeless; preventing homelessness among 300 at-risk households, and providing shelter and support services to persons with special needs.
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, unemployment levels, and proposed HUD funded projects.
MAP 6 depicts points of interest, low-moderate income areas, unemployment levels, and proposed HUD funded projects for one neighborhood.
