Deconcentrating Poverty –

The Impact of Housing Programs to Provide Regional

Opportunity

KCHA Presentation to the North Highline Unincorporated Council

November 7, 2019

Helen Howell - Senior Director of Policy, Research & Social Impact Initiatives

Dan Watson - Deputy Director, Development

Overview of the Creating Moves to
Opportunity Program
A housing mobility program jointly run by

&
Background and
Policy Context
Motivation:
Subsidized housing
residents have
historically been
concentrated in lower
opportunity areas

4
Background and Policy Context
Housing Authorities have been developing strategies to
expand opportunity among residents for over a decade.

Geographic mobility Place-based Initiatives

to expand access to high to support opportunity
opportunity areas development

Research from Chetty et al. that where children grow up

matters has provided unequivocal evidence and new tools
to support work to expand economic mobility.

CMTO Seattle/King County Program

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Overview
Opportunity Atlas

https://www.opportunityatlas.org/
Project Framework
CMTO: A multi-year
randomized study
Goal: Develop and test which strategies most effectively
support opportunity moves by families with young children
using a Housing Choice Voucher.

Baseline Phase Phase I Phase II

Jan 2017 – Mar Apr 2018 – Jun Jul 2019 – Dec
2018 2019 2020
Planning, design, and Randomized test of Randomized test of
pilot testing bundled intervention isolated intervention
strategies. strategies.
CMTO Areas
CMTO Opportunity Areas are
based on outcomes of low-
income children

College opportunity
earnings potential
Short-term earning
potential
Long-term earnings
potential
4th grade test scores
Share above the
poverty line
Phase I Results
 Key Elements in the CMTO Intervention

• High-opportunity area education to increase families’ knowledge about

high-opportunity areas.
CUSTOMIZED • Rental application coaching to increase families’ competitiveness for rental
SEARCH units by addressing credit history and preparing a narrative.
ASSISTANCE • Housing locator services to help families identify suitable units in high-
opportunity areas.

• Cultivate relationships with landlords in designated high-opportunity areas

to create housing opportunities for CMTO families.
DIRECT
LANDLORD • Expedite lease-up processes by completing PHA required documents and
ENGAGEMENT conducting housing inspections more quickly.
• Insurance fund to mitigate risks of property damage.

SHORT-
TERM • Grants to defray move-in expenses, such as application fees and security
FINANCIAL deposits.
ASSISTANC
E
 How Did Families Use the Treatment Interventions?

CUSTOMIZED INCREASED SHORT-TERM

SEARCH LANDLORD FINANCIAL
ASSISTANCE ENGAGEMENT ASSISTANCE

On average, non-profit staff 52% of rentals in high- Average financial

spend 6.3 hours with each opportunity areas made assistance of $1,100 for
household. (2 family navigator through links via non-profit security deposits,
FTEs) staff. (2 housing counselor application fees, etc.
FTEs)

Program Cost: $2,600 per family issued a voucher

$4,700 per opportunity move
 Fraction of Families Who Leased
Share of Households Who Have Moved Units in High Opportunity Areas

60
54.3%
to High Opportunity Areas
50
40
30
20

Historical mean
14.3% rate: 11.6%
10
0

Control Treatment
Difference: 40.0 pp
SE: (5.2)
 Destination Locations for Families that
Leased Units Using Housing Vouchers

Lake City High-

Inglewood Opportunity
Area
Northeast Seattle
Magnolia
Central Control
District
Bellevue

CMTO
West Cougar Issaquah Treatment
Seattle Newport Mountain
Rainier
Valley

Burien
Tukwila

East Hill

Des Kent
Moines

Lea Hill,
Auburn
Participant Perspectives on CMTO
Emotional/Psychological Support
“It was this whole flood of relief. It was this whole flood of, “I don’t know how I’m
going to do this” and “I don’t know what I’m going to do” and “This isn’t working,”
and yeah…I think it was just the supportive nature of having lots of conversations
with Megan.” –Jackie

Brokering with Landlords

“When you find a place, I will come with you and we will help you to fill out
the application. I will talk with the landlord, I will help you to do a lot of stuff, that
maybe sometimes will be complicated.” –Leah

Short-Term Financial Assistance

“I’m not going to be able to pay here and then there [in the new apartment] …They
were able to get me more money, so that they would pay more of my first portion of
my rent. Because they understood the situation that I was in.” –Jennifer

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Next Steps
Phase II of CMTO

Phase I Phase II

Enrolled families Enrolled families

Randomization Randomization

Control
Treatment Financial Coaching &
Receives
Receives Toolkit Control
standard Assistance Resources
CMTO services
services
KCHA Families in Opportunity
Neighborhoods*

30.65%
Goal ↑
30%

Creating 28.1% 29.65%

Moves to
Opportunity

26%

Kirwan Institute
defined high
24.7%
opportunity
areas

22%
Jun - 16 Jun - 17 Jun - 18 Jun - 19

* Includes federally-subsidized households with children.

Deconcentration of Poverty in White Center

White Center Heights – 600 units

circa 1943

Greenbridge Today
 Public Housing Redevelopment
at Greenbridge and Seola Gardens
 KCHA Impact in White Center &
Bellevue
Tenant-Based Project-Based
Public Housing Add'l Workforce
3,000
2,469

1028

979 99

517
82
382
154 825
364
0
White Center Bellevue
 KCHA Impact in White Center &
Bellevue
Total KCHA Total Renters <80% of AMI
10,000
8,640

2,325 2,469
979
0
White Center Bellevue
42% of Below 80% AMI 29% of Below 80% AMI
Renters Served Renters Served
 BELLEVUE-
FEDERALLY-SUBSIDIZED
PROGRAMS

Public Housing (109 units)

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 FEDERALLY-
SUBSIDIZED
PROGRAMS
Public Housing (109 units)

Other HUD low income housing

(295 units)

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 FEDERALLY-
SUBSIDIZED
PROGRAMS
Public Housing (109 units)

Other low income housing

(295 units)
Non-Profit
Partnerships and ARCH
Pipeline
(including 64 project-based
vouchers)

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 FEDERALLY-
SUBSIDIZED
PROGRAMS
Public Housing (109 units)

Other low income housing

(295 units)
Non-Profit
Partnerships and ARCH
Pipeline
(including 64 project-based
Tenant-Based
vouchers) at Private
Landlord Sites (791 vouchers)

Total Annual Subsidies =

$19 million
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 FEDERALLY-SUBSIDIZED
PROGRAMS +
WORKFORCE HOUSING

Public Housing (109 units)

Preservation Housing (295 units)

Non-Profit Partnerships
and ARCH Pipeline
(including 64 project-based vouchers)

Tenant-Based at Private
Landlord Sites (791 vouchers)

Workforce Housing
(1,385 units)
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 BELLEVUE- PUBLIC HOUSING SITES

Eastside Terrace

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Hidden Village Spiritwood Manor
78 units serving very low-income families 128 units serving very low-income families
Percentage of Low-Income Households Paying
Too Much for Rent by Area
Among renters earning less than 80% of AMI

Shelter Burden > 50% Shelter Burden > 30%

43%
Bellevue
75%

31%
White Center
62%

0% 100%
Windrose Site at Greenbridge
Windrose Site at Greenbridge
DISCUSSION
481 market rate homes = $200m in value
$2.78 million in annual tax revenue