The City of Richland, with a population of 35,400, is located at the confluence of the Columbia and Yakima Rivers in southeast Washington. It is part of the Richland, Kennewick and Pasco MSA and is an entitlement city under the CDBG Program. It is in the process of forming a consortium with the cities of Kennewick and Pasco in order to become a participating jurisdiction in the HOME Program.
The City received $300,000 from the 1995 CDBG Program and targeted all of these funds to housing or housing related activities. For four years it has targeted the majority of its funds for its ongoing housing rehabilitation, housing development, and LID Assistance programs. A high priority of the city is to use these funds to prevent the deterioration of its core area.
The city has a history of active participation by its residents in the
administration of its CDBG Program. The Richland Housing Advisory Committee,
composed of fifteen members representing community agencies and organizations,
local lenders, builders, and area non- profit agencies, is the main process for
citizen input. The committee meets on a monthly basis and acts as an advisory
body to city staff and the City Council. It actively participates in the
development and administration of the city's housing programs, reviews all
applications for CDBG funds, makes recommendations to the City Council on the
allocation of these funds, and was involved in the preparation of the city's
Consolidated Planning Strategy.
Richland has a unique history. It was a small town of 250 prior to its acquisition by the federal government in 1943 as the site for the Hanford Plutonium Production Project in World War II. The City grew almost overnight as the government brought in prefabricated units to house the Hanford workforce. Most of the units were expected to be temporary, however, many of them are still being used and still comprise much of the core area of the city.
Between 1943 and 1958 only employees working at Hanford could live in Richland. In 1958 the city was incorporated and the government began selling the houses to its residents. Residents of the city have a higher than average level of education and have the second highest level of income in the state. Seven percent of its residents are minority.
The economy of Richland has continued to be largely dependent on the
government and its activities at Hanford. Diversification of its economic base
is a primary goal of the City.
The city of Richland experienced rapid population and economic growth between 1990 and 1994. Growth was strong in construction, retail trade and service industries. The focus of the work at Hanford shifted from nuclear production to environmental restoration. However, due to efforts to reduce the federal deficit, the Department of Energy in late 1994 announced the potential layoff of 4,800 employees at Hanford. This had led to considerable uncertainty in the economy for the region, especially for Richland, which is heavily dependent on the work at Hanford.
Very little housing was built in Richland during the 1980's. The economy improved in 1989 and single family home construction doubled from 1989 to 1990. The average price of single family homes rose from $70,000 in 1990 to $125,900 in August, 1994. The Tri- Cities led the country in part of 1994 as having the fastest rise in home prices in the nation.
The construction of multi family units, however, was very limited until early 1995 and did not meet the needs of the community. Vacancy rates ranged from .3 to 3% and rents were increasing rapidly.
In 1995 and 1996, it is expected that 866 new market rate rental units and 587 tax credit units will have entered the rental market and the market is now considered overbuilt with market rate units. The city's housing needs thus changed considerably between 1994 and 1995.
The majority of housing units in Richland are detached traditional single family units. Only 42% are in buildings which include 10 or more units. Many of the prefabricated units erected in the 1940's still need permanent foundations and improved electrical and heating systems. A housing condition survey conducted in 1992 found most of the units in good condition. 6.5% were rated as substandard or dilapidated. Another 11.5% were categorized as needing some repair.
Affordable single family homes and multi-family units are still needed in Richland as well as programs to help low income families with rental assistance and downpayments for home purchase.
As a result of the very low vacancy rate and increasing rents, it has become very difficult for low income families to afford housing. Homelessness increased between 1990 and 1995 and there was evidence that families were living in cars or doubling up with friends or relatives.
The Richland Housing Authority provides approximately 450 families with rental assistance through the Section 8 Program. It has no public housing. As of October 1994, there were over 1000 families on the Authority's section 8 waiting list. This represents a three to five year wait
Three barriers to affordable housing were identified by the City's consultant in 1993: the memory of the poor housing market in the 1980's, the dependence on federal funding as the primary economic base for the area, and the limited financing that was available for rental housing.
In examining whether there are barriers to fair housing choice in Richland, the income and geographical distribution of low income and minority families was examined and agencies representing minorities were contacted. The research concluded that minority households in Richland do not have lower incomes than white households and that there is no concentration of minority groups in any census tract in the city.
Over 40% of the housing in Richland was constructed before 1958. This indicates there could be a problem with lead based paint poisoning. However, research into this issue shows that the county health department has no data that show that it is a problem.
The city's dependence on the federal government (i.e., Department of Energy work at Hanford) has placed the city with an uncertain future. It is expected that the funding of activities at Hanford will decrease due to efforts to cut the federal deficit. The city has therefore placed a high priority on the diversification of its economic base. Beginning in 1996 it will also expand the use of its CDBG funds to public service projects, economic development and the development of community facilities that serve low income families.
The City of Richland is responsible for coordinating activities funded
through its CDBG Program. It works closely with the Richland Housing Authority
on affordable housing activities. It will be the lead entity for the Kennewick,
Pasco, and Richland HOME Consortium if funds are available through that program
in 1996.
As presented in its 1994 Economic Development Plan, the city envisions itself as a picturesque all American City of 45,000 in 2013, with a diversified economy and a reputation as a world-wide center of environmental science and engineering. The city will house a number of high-tech R&D and industrial firms, to be located near the Tri-Cities Science and Technology Park, the Washington State University campus, and Battelle's Pacific Northwest Laboratory and Environmental and Molecular Sciences laboratory, all of which are located in north Richland.
The city targeted all of its 1995 CDBG funds for housing or housing related activities. High priority was placed on assisting renters under 50% of median income paying more than 30% of their income in rent. In 1993 it was estimated there were more than 900 families in this category. Also given priority were the elderly with incomes under 50% of median paying more than 50% of their income in rent.
The city established six goals to guide it to meet the housing needs of its low income families:
The city is facing a serious economic challenge. Since the 1940's it has been dependent on the government activities at Hanford. One on four Tri-City jobs is based at Hanford. At the end of 1994, the Department of Energy announced the possible lay off of up to 4,800 jobs. In responding to this challenge, the City has placed considerable emphasis on diversification of the economy. The use of CDBG funds may help with loan programs for start-up businesses or the rehabilitation of office and manufacturing facilities. In addition to the need for economic diversification, much of the infrastructure in the core of the city is more than 50 years old. CDBG funds may be used to repair aging infrastructure in areas of low income.
The City administers several programs which help very low income families, usually targeted to those with income under the poverty level. These programs include reduced electrical rates, coordination with the local Community Action Committee to help families with utility payments, and substantial support for the programs of the housing authority.
Resources to the city include the CDBG Program, the BPS Weatherization Program, the city's reduced utility rate program, and the HOME Program.
The city's Housing Development Division of the Community Development
Department is responsible for coordinating the implementation of the Strategic
Plan
The City has targeted all of its 1995 CDBG funds for housing or housing related activities. These include
These programs are available throughout the community.
The City of Richland is the lead agency for these programs.
During 1995 the city intends to pursue each of the six goals described above in its five year strategy.
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, and proposed HUD funded projects.
MAP 6 depicts points of interest, low-moderate income areas, unemployment levels, and proposed HUD funded projects within one of the neighborhoods.
Vieno Lindstrom
Ph: (509) 943-7580
