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Washington State Housing Finance Commission... opening doors to a better life

Opening doors to a better life...

My View from Kim Herman Executive Director

 OCTOBER | 2004

Kim Herman


A unique, “inside” perspective on housing and community development from the executive director of the Washington State Housing Finance Commission.

OCTOBER 2004 | CURRENT ISSUE | ARCHIVE


Working Together: CTED Strategic Plan

A New Model for Washington's Student Housing

Celebrating Success: Spokane Bus Tour

Housing Washington: Building a Place for Everyone

Working Together:  CTED plan lays out strategies for advancing the health, safety and social well being of Washington's families and communities.

I think the recent release of the Strategic Plan from the department of Community Trade and Economic Development (CTED) is important news for people and organizations across the state.

The 30-page plan covers the period 2005-2011 and it provides a detailed look at CTED's priorities for housing in the context of Washington State's overall plan for growth. Since CTED invariably works as a partner with other organizations including the Commission, local housing authorities and non-profit organizations, a close look at the plan is vital for those of us  who work to promote affordable housing.

To provide some initial insights on what to expect, I spoke with Stephen Buxbaum, CTED's Assistant Director for Housing. Stephen also serves as a commissioner designee on the Housing Finance Commission.

Stephen Buxbaum

 

Stephen Buxbaum, Assistant Director
Housing Dept Community, Trade and Economic Development

 

Stephen pointed out that CTED is an extraordinarily diverse agency. Its six program divisions consist of Economic Development, Community Services, Housing, Local Government, Energy Policy and International Trade.

Obviously, it is a significant challenge to coordinate and integrate the efforts of such a multi-faceted organization. And that is the real importance of the Plan: delineating how all of CTED's efforts fit together and support one another.

Focusing on the Housing Division, Stephen noted, "Jobs and housing are intrinsically linked. At CTED, we are extremely conscious of the fact that unless we have adequate affordable housing in the state, we can't succeed in meeting our goal of having a sustainable, diversified economy."

neighborhood

To illustrate the point, Stephen noted that business and industry make locating decisions based on the affordability of housing in a particular area. Companies also prioritize having their workforce located within a reasonable distance of where they do business. "The Strategic Plan," he says, "raises an awareness of how these factors work together."

Specifically, CTED staff assists local partners throughout the State to improve land use, capital facilities and investment planning. Activities include helping jurisdictions update their local comprehensive plans as required by the Growth Management Act (GMA); prioritizing projects that address the greatest needs; providing support in the grant application process, as well as technical assistance and funding for capital projects; and assisting the Community Economic Revitalization  Board to invest in economic development infrastructure that supports business and job development and retention.

Another major link that the Strategic Plan highlights is that between programs designed to help the homeless and the State's capital investments. For example, he observed that serving at-risk populations requires a basic infrastructure. He stated, "Before you can provide any other service to the homeless, you need a shelter. To help families making the transition from homelessness to permanent housing, you also need capital investment in the appropriate types of buildings. Capital investments serve as the foundation for the ultimate goal of helping people become more self-reliant."

Capital investments are funded by Washington State's Housing Trust Fund (HTF). The Legislature created the HTF in 1985 in order to establish a continuously renewable resource to help communities meet the housing needs of low-income and special needs populations. HTF dollars help build the structures, which house programs that provide:

  • Housing opportunities for persons diagnosed with AIDs

  • Services for persons with a mental illness

  • Emergency assistance and shelter for up to 90 days, or emergency rent or mortgage assistance

  • First month's rent and security deposit to people transitioning out of shelter into permanent housing

  • Landlord/tenant mediation and basic housing-related case management

Housing is also a key component of CTED's broad economic and community goals. As Stephen notes, "From a cultural and historical perspective, housing clearly forms the basis of a community's vitality. When someone visits a place for the first time, often one of the first ways they form an impression of the vitality and viability of the community is by looking at the housing stock."

That's why CTED views its investments in the preservation of affordable housing as such a key contribution to sustaining community in the broadest sense. Maintaining the state's affordable housing stock is a major responsibility. CTED's portfolio consists of more than 25,000 units. Most of these are concentrated in approximately 1500 multi-family projects located all across the state. Made over the last 12 years through the HTF, these investments are, in fact, ongoing partnerships between the state and local agencies or non-profit service providers.

To manage this housing portfolio more efficiently, CTED's strategic plan has targeted the creation of new enterprise-wide information technology. These new systems will enable dramatic improvements in the collection and management of basic data. This, in turn, will give CTED the ability to have a much fuller understanding of the needs of clients and the results of the services it provides.

"This is an area," says Stephen,  "where we are excited about partnering with organizations such as the Commission. We've already begun to actively partner with the Commission on monitoring the projects we've invested in together. We're looking forward to broadening those partnerships. To do that effectively, we will need to collaborate on how to do a better job of sharing data. Our objective is to quantify where the highest needs are for investments in housing. We also need to collect more and better information on the sub-state level. Building a better understanding of the state's regional markets is an essential tool for making right investment decisions in the future."

In conclusion, Stephen said he believes that Washington State is "truly extraordinary" in its commitment to affordable housing. He said that few states have stepped up to the level of investment that Washington has, both in terms of capital support through the HTF and also progressive programs like the Homeless Family Services Fund. Unfortunately, the current level of investment may not be adequate for future needs.

"We are facing an enormous challenge in keeping pace with population growth," says Stephen, "and sustaining and preserving the investment we already have made in housing. The trust fund in particular may not be able to keep pace with demand from other public resources that have traditionally depended on it to close the gap in housing projects." That is why CTED's Strategic Plan is so critical.

To quote the Plan directly, "Compared to the overall statewide need, resources are very limited. CTED's housing investments will probably always be faced with having to balance between spreading resources widely and rising to the occasion of investing deeply in ways that will make a meaningful and long-term difference in certain communities." Clearly, CTED and its partners – all of us - will need to make difficult decisions in the future. The Strategic Plan will help establish the priorities so that resources can be directed where they will provide the most benefit.  For those of us in housing and community development, the Strategic Plan is a “must read” document.


 

A New Model for Washington’s Student Housing:  Nonprofit foundations are contributing to the housing choices of our students and supporting our educational institutions.

Students enrolled in Green River Community College's fall session have a housing choice that hasn't previously been available since the college's founding 40 years ago: On-campus living.

The 343-bed Green River Community College Student Village opened its doors in mid-September after nearly four years of planning and hard work by numerous dedicated individuals and organizations. Partners included the Green River Community College Foundation; the Washington State Housing Finance Commission, the bond issuer for the project; and George K. Baum & Company, the bond underwriter.

Green River Community College students.

Inspiration for the project began with Ross Jennings, Green River's Director of International Programs. Until the completion of the Student Village, much of the housing for the college's international students had come from Homestay, a program that brought together students with families in the community. Availability of families for the program has been limited, however, and many students, newly arrived to the U.S., have not had cars to get to the campus.

Jennings identified the need for more housing for his program's students, and set about exploring what options Green River Community College might pursue. What began as a solution to a fairly discrete need has created more opportunities than anyone could ever imagine. Now, many Green River students - both international and domestic - are able to experience the enriching cultural, educational and social activities available through living on campus.

Kara Hefley, Executive Director of the non-profit Green River Community College Foundation, reports, "This may have started as a need in international programs, but we recognize that the Student Village is offering a fabulous opportunity to build community, build interactions between our domestic and international students - and for our domestic students to learn about different cultures." Oversight and management of the project was spearheaded by the Foundation. Hefley also describes its mission: "We exist to support the college and the community. But our non-profit status and board give us the opportunity to structure projects creatively - the Student Village is a great example."

This is the second time that the Commission has issued housing bonds for a foundation. But, it's the first time that a Washington State community college has followed a privatized housing model: Green River's bonds will be paid back by the rental stream generated by the housing units.  The Student Village is made up of 87 units, most of which are configured as four-bedroom/two bathroom flats and townhouses, which were constructed on the edge of the campus.

Each unit opens up onto pedestrian streets and the Village as a whole, with its shared central plaza, is designed to foster the experience of community. Conceived as an affordable alternative to off-campus living, the rent includes Internet access, cable TV, basic phone services and all utilities. Before this effort, the College hadn't identified a specific need for housing for its domestic students, but, says Hefley, "We have been pleasantly surprised at the interest we've had from local students, particularly students who may live at a distance."

Two weeks after opening its doors, the Village was nearly half occupied, with international and domestic students, each accounting for about half the total. "By this time next year, we hope to have a waiting list," adds Hefley.  "We believe the students who have just moved in will be our best marketers." 

Several years ago we pioneered this student housing development model at Gonzaga University in Spokane.  By creating more student housing on or near campuses, we can help alleviate the demand for affordable housing near schools that could “crowd out” lower-income residents of the area.  Hopefully, our efforts will help create and sustain a better quality of life throughout the state.


 

Celebrating Success:  Our Spokane bus tour highlights both successful projects and important partners.

Seeing is believing. That's why we at the Commission regularly hold our monthly meetings at diverse locations around the state. That's also why the Commission's August 2004 meeting, held in Spokane, included a bus tour of exemplary housing projects and community facilities.  

Affordable housing tour bus stop.

On August 26, the Commission convened its monthly meeting at Spokane's beautifully restored Davenport Hotel.  That afternoon, our commissioners, along with legislators, civic leaders, community developers and other advocates of affordable housing, climbed aboard a tour bus to see firsthand what the Commission and its strong community partnerships have achieved in Spokane. Some 65 participants toured multiple housing units, single-family homes and community centers.

Capping off the evening were presentations of Proud Partner Awards to honor Spokane organizations and community leaders who have partnered with the Commission in making significant contributions to affordable housing and strong, viable community services in Spokane and northeastern Washington.

The contributions of these individuals and organizations and their legacies were clearly apparent on the tour. Dianne Quast, executive director of the Spokane Housing Authority (SHA), was a co-host. Dianne noted that many who took the tour were surprised at the Commission's reach, particularly in its support of facilities for non-profits. "Spokane Valley’s Community Center, for example, is a converted church - it's not new, but it allows local agencies to be housed together. The new Spokane Valley YMCA is another example. The tour gave a good cross-section of what Commission funds and partners can accomplish." 

Commission Chair Karen Miller said after the tour, that what she brought away from the tour was the sheer number of projects built in Spokane by varied groups including housing and community projects that involved some eight to ten different providers.

Commission and staff meeting with Spokane Housing Authority representatives.

Karen also emphasized that the Spokane Commission meeting (right), and all of the monthly meetings held throughout the state, offer Commissioners a great opportunity to familiarize themselves with our partners.

These “out of Seattle” meetings are meant to work both ways. Community leaders and affordable housing advocates get the opportunity to learn more about the many ways in which they can access our programs, and Spokane is a great example of strong community partnerships. A number of Spokane-based nonprofits work actively with the Commission, particularly in utilizing HomeChoice, the innovative mortgage loan program that offers affordable home ownership financing for individuals with disabilities.

Kim Herman presenting award to Diane Quast.

Later that day, Dianne Quast (on right with Kim Herman) saw her efforts and the residents of Spokane recognized with a Proud Partner Award. Other Proud Partner recipients were: Mollie Dalpae, Director of the Spokane Valley Community Center; and Jan Roseleip, Executive Director, and the staff of the Spokane HomeOwnership Resource Center.

We also recognized the many contributions of former Commissioner Bob McVicars, CPM, President and CEO of McVicars and Associates with a Recognition Plaque as a symbol of our appreciation for his seven-plus years of dedication and hard work on the Commission.  

Dianne Quast summed up the day well: "It was great to have the opportunity to celebrate successes. So often we focus on all the housing needs that remain to be addressed, and we forget to do that. 

The Commission has taken recent meetings and bus tours to the Tri-Cities, Vancouver, Sunnyside, Bellingham and Spokane.  I hope we can get out to many other locations in the state in the near future.


 

Housing Washington:  Building a Place for Everyone - Looking back at the development of one of the best state housing conferences in the nation.

The organizers of Housing Washington, the annual statewide affordable housing conference for Washington state, are often asked, "Why does Washington host one of the largest and best affordable housing conferences in the nation? "The answer is a little bit of history, a little bit of luck, and lots of great support from hundreds of businesses, non-profit organizations, public agencies and individuals who care about people having a decent, affordable place to call home.


A Little Bit of History

Years ago, in the late 1960’s and 1970’s, the state Planning and Community Affairs Agency co-hosted a statewide housing conference with homebuilders.  Like many conferences, it was called the Governor's Housing Conference and it focused mostly on the federal housing programs that were active in the state at that time. 

Depending on which administration was in the White House, the conference was either greatly in support of federal housing programs or greatly opposed to federal housing programs at different times. Unfortunately, the only state housing program there was to talk about was a small emergency repair program for seniors, which was funded with federal dollars.  After a run of more than ten years, organizers disbanded over disagreements about what the conference should focus on and who would fund it. 

One of the last meetings fell apart when the 53 individuals representing every conceivable housing interest in the state couldn't agree on whether to invite the HUD Secretary to speak. 

Then, in the early 1980s, the Department of Community Development organized statewide housing conferences, but cost and lack of support forced them to abandon this effort.


A Little Bit of Luck

As luck and good advocacy would have it, the State of Washington started investing in affordable housing in the early 1980's, primarily in response to a recession and growing housing problems in the state.  The legislature began funding homeless shelters in 1982, the Housing Finance Commission was created in 1983, and the Housing Trust Fund was created in 1985. 

As these programs began to expand and federal housing programs had a bigger impact on the state, interest in a statewide forum to talk about affordable housing reignited.  That's when, in 1989, the Housing Finance Commission began to reassemble a partnership platform that finally materialized in 1993 as the first statewide housing conference in more than ten years.  Held in Olympia, that conference was attended by some 300 people representing housing advocates, builders, lenders and public agencies from across the state.


Lots of Great Support

Since then, the Housing Finance Commission, aided by the addition in the mid-1990's of the Department of Community, Trade and Economic Development as a co-sponsor and then in 1998, the Washington Low Income Housing Alliance (formerly Network), has been able to create the successful model that continues today under the name Housing Washington. 

Several decisions have anchored the success of this conference:

  • By agreeing to hold the conference on both sides of the state (East and West), the Commission was able to assure that the conference represents everyone in Washington, not just the I-5 corridor.

  • By moving to professional planning and organizational help in 1998, the co-presenters raised the level of professionalism and sponsorship of the conference.

  • By recognizing the great private sector support for affordable housing that exists in Washington, the conference has expanded attendance, growing from 300 attendees to more than 785.

  • By keeping registration costs low and using donations to provide scholarships to low-income persons, the conference has maintained a wide base of advocate support and been inclusive of all interested parties.

  • Finally, by finding the best professional speakers in the nation, the planning partners have achieved the distinction of hosting one of the largest and best statewide housing conferences in the country.

Housing Washington 2004 was the culmination of eleven years of learning, listening, trusting and responding to the ideas, requests, suggestions and growth of the affordable housing movement in Washington State.  The conference represented the broad spectrum of affordable housing interests, not just of Washington, but also the affordable housing industry that exists on the West coast. 

Attendees came from as far away as Buffalo and North Carolina and as near as the Spokane Valley. Not only do we now get requests from speakers to return to the conference once they have appeared, we get requests from speakers to be considered for an appearance at the conference based on its national reputation! Housing Washington has truly become a recognized brand name among the 25 or more statewide housing conferences that get hosted across the nation each year.

So, why does Washington host one of the largest and best housing conferences in the nation?  Ultimately, it means a place for everyone who needs a home in Washington State.

 



NEWSLETTER ARCHIVE

About Us

The Washington State Housing Finance Commission is a self-supporting agency that provides below-market financing to buy, build or preserve affordable housing and nonprofit capital facilities. The Commission builds partnerships with the private sector to raise capital needed to further these social and economic objectives at no cost to the taxpayers of Washington State.  For more information about the Commission and its work, visit www.wshfc.org or call 206-464-7139 or 1-800-767-HOME (4663) toll free in Washington State.

 

To be added or removed from the newsletter email list or to provide us with story ideas, questions, and comments, please email EDNewsletter@wshfc.org or contact Bill Wortley, Communications Manager, 206.287.4409, Washington State Housing Finance Commission.