City Falls Behind on Housing Goals

Two recently released scorecards measuring progress on affordable housing show that the city continues to fall short of the annual targets it has set to create homes for Austin's poorest residents.

These benchmarks were set with the adoption of the Strategic Housing Blueprint in 2017; this is the second annual scorecard, reflecting data for 2018 and 2019. In those two years, the city and its housing partners only produced 210 units earmarked for Austinites earning 30% or less of local median family income, or about 1% of the stated goal. (For 2020, Austin's MFI is $68,300 for one person, $97,600 for a household of four.)

Housing targeted at 30% of MFI ("extremely low income" under federal guidelines) can help people exit homelessness, but the city also fell short of producing permanent supportive housing units where residents have access to specific ongoing services they need to maintain a stable housing status. The city's Rental Housing Development Assistance Program did not fund any PSH units in 2018 and only produced 81 in 2019; the 10-year PSH goal is 10,000 units. However, the city has purchased two motels to convert into PSH, which will bring 162 units online once completed. At its next two meetings, Council is considering two more motel purchases, creating 150 more units of PSH; these, along with new-build projects like Caritas of Austin's Espero, could get the city back on track to meet its goal.

The scorecards, which are compiled by the umbrella housing advocacy group HousingWorks Austin, do include some passing grades. In both years, units affordable to people earning 81-120% MFI, and over 121% – i.e., those near or above market rate, what's often called "workforce housing" – kept closer to the pace of the blueprint's goals (see chart). And more than 90% of new affordable housing stock was built within a half-mile of a center or corridor designated for more intense infill development under the Imagine Austin Comprehensive Plan; the blueprint goal is 75%.

Awais Azhar, who chairs HousingWorks' advocacy committee and serves on the Planning Commission, described progress as "donutlike," with more income­-restricted housing being built on the city's perimeter as the central city becomes more costly and as its neighborhoods push back against infill projects. "We understand the need exists for more housing at those income levels and are working on ways to help produce it," Azhar said. "One way to do that without a subsidy from the city could be through more density bonus programs," allowing developers to build beyond what's allowed by zoning in exchange for including affordable units. These programs exist on a deal-by-deal basis throughout the city – mostly Down­town and in big master­-planned projects – and would, in some form, be extended citywide by the proposed revisions to the city's nearly 40-year-old Land Develop­ment Code.

Azhar noted Austin is also failing to hit its housing dispersion goals that set individual benchmarks for each council district. In 2018, only District 4 (which includes the Highland redevelopment) hit its goal; in 2019, only D2 (which includes the Easton Park community) and D9 (which includes Mueller) hit their goals. Meanwhile, the wealthiest districts on the Westside – Districts 6, 8, and 10 – all fell well short. "Meeting housing dispersion goals will require a concerted effort from Council to ensure we're building more housing in high-opportunity areas," Azhar said, referring to areas with lots of working-class jobs but little housing at that income level. "There are not many Imagine Austin centers west of MoPac, so we may need to realign our values outlined in the Imagine Austin Comprehensive Plan with what we are seeing on the ground."

The Austin Strategic Housing Blueprint defines an overall goal for housing production – 135,000 new units by 2028 – allocated at various income levels, as shown here. Each segment represents 1,000 housing units. (Chart by the Chronicle Art Staff)