City of Raleigh Housing Bonds -

Summary

A bond referendum will be held in the City of Raleigh, North Carolina at the election to be held on Tuesday, November 3, 2020 regarding the approval of not to exceed $80,000,000 HOUSING BONDS of said City. The proceeds of said housing bonds would be used for 4 community development programs to provide and rehabilitate multifamily and single family housing inside the corporate limits of said City, principally for the benefit of persons of low and moderate income, including, without limitation, (a) the construction or rehabilitation of housing or neighborhood revitalization improvements, (b) programs to provide loans and other financial assistance to such persons and to public and private providers of housing and (c) the acquisition of any related land, rights of way and equipment, all as more particularly detailed in the bond order adopted by the City Council of said City on July 7, 2020. If said housing bonds are issued, taxes in an amount sufficient to pay the principal and interest thereof may be levied upon all taxable property in the City of Raleigh.

A "YES" vote on the bond referendum is a vote in favor of approving up to $80,000,000 in housing bonds, which would be used to fund four community development projects aimed at supporting affordable housing in Raleigh and would be funded through a property tax.

A "NO" vote on the bond referendum is a vote in opposition to approving up to $80,000,000 in housing bonds, which would be used to fund four community development projects aimed at supporting affordable housing in Raleigh and would be funded through a property tax.

Arguments

"An affordable housing bond is a tool used by local governments to put together the funds needed for creating and preserving affordable housing. Housing bonds are managed at the local level but require voter approval. Raleigh’s $80 million bond will be funded through property tax increases, ranging from $25 to $30 annually...The bond would be focused on serving families that earn 80% or less than the Area Median Income (AMI), with an emphasis on serving extremely low-income households under 30%...The bond will be on Raleigh voter’s ballots this November! Vote YES on November 3rd to increase access to affordable housing in Raleigh.", in support of City of Raleigh Housing Bonds (Learn more)

Councilmember Corey Branch believes the city should prioritize residents in the most need—those who earn less than 30 percent of the area median income. What we're working on is all the policies and things that we're going to ask staff to really drill down on. Focusing on 30 percent and below is really the part we’re going to look at holistically across the five categories. Some of this may not be all about the amount of money we put in, but how we can improve our processes and procedures to shorten the time frame from submittal to construction. So that is something we will look at as well., in support of City of Raleigh Housing Bonds (Learn more)

"A group of Raleigh faith communities, Congregations for Social Justice, is calling on the City Council and Raleigh citizens to support bond funding targeting the construction and rehabilitation of housing for Raleigh persons and families with incomes at or below 30% of area median income (AMI). The group notes that AMI in Raleigh for a household of four people is currently $94,100, and 30% of AMI is $28,230, which is considered by the U.S. Department of Housing and Urban Development to be “extremely low income.” A person earning $10 per hour for 40 hours per week earns $20,800 per year, which is 22% of AMI in Raleigh and Wake County. Advocates of the affordable housing bond are recommending use of bond funds for support of low income housing tax credit gap financing for apartment units in the 30% or less AMI category. In recent years, Wake County has estimated a need for some 17,000 apartment units for households with 30% or less of AMI, and 5,000 units in the 30% to 50% AMI range. Other bond funds would be used for homeowner rehabilitation improvements and first time homebuyer downpayment assistance.", in support of City of Raleigh Housing Bonds (Learn more)

"The City should provide more details regarding how the monies in each bucket will be spent, by taking a page from the City of Durham’s affordable housing bond playbook. The housing justice coalition recommends the bond process should be slowed down to increase opportunities for residents’ education and input, and address more intentionally the needs of affordable housing with low wage workers, especially with the current health crisis placing them at even greater need of housing below 30% AMI. At this time the housing bond leaves much to be desired in order to be a bond that can truly serve those in need.", in opposition to City of Raleigh Housing Bonds (Learn more)

"The City should use strategies that will mitigate the effects of gentrification and create and preserve affordable housing in downtown and throughout the city. As the City plans for affordable housing it’s important to know that many Black people who work in chain stores and fast food restaurants are only paid $7.25 more per hour than their enslaved ancestors were 400 years ago. In 2020, they struggle to live on incomes well below 30% of Raleigh’s $92,700 AMI. One strategy we want the City to formally adopt to mitigate the effects of gentrification is a 'Form-Based Code' that’s used as a planning tool to preserve the look and feel of an historic neighborhood with naturally occurring affordable housing. In protecting the neighborhood, you protect the neighborhood culture.", in opposition to City of Raleigh Housing Bonds (Learn more)

"Raleigh’s bond package approved by Council is a bare-bones outline, with the largest share of funds going to undefined development partnership deals. Raleigh’s package is completely lacking in commitments to the number and type of units that will be produced, and to crucial services found in Durham’s bond. At Council’s June 2 meeting, Raleigh’s Mayor argued against adding commitments, which would reduce the ‘flexibility’ of how the $80 million is spent . That lack of accountability is exactly what Durham’s Mayor Schewel warned against.", in opposition to City of Raleigh Housing Bonds (Learn more)

Measure Details