HomeMy WebLinkAboutReg 2023-05-15 Item 5 - Presentation - Black Home InitiativeTukwila Councilmembers
April 4, 2023
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How Did We Get Here?
Mar. 2021
Convening To Explore Concept
(Washington Roundtable and
Washington Bankers Association)
Mar. 2021
Summit to Launch Development of
Seven Point Plan to Increase Black
Homeownership
July 2021
Center for Community Investment
(CCI) selects Civic Commons to
convene 3-year greater Seattle effort
Sep. 2021
Core Team of Seven Community
Leaders Has Inaugural Meeting
Oct. 2021
Seven Point Plan Released at
Housing WA
Mar. 2022
Formal announcement of Center for
Community Investment 3C Initiative
named Black Home Initiative (BHI).
Will Implement Seven Point Plan in
South Seattle, South King County,
and North Pierce County
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Increasing Black
Homeownership in the
Puget Sound Region
Initial Plan 2021 by Seven Focus Areas
BHI Implements the
Seven Point Plan
in South Seattle,
South King County &
North Pierce County
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Housing (un)Affordability Disproportionately Harms People of Color
BIPOC1 homeownership rates lower
at every income level
WA homeownership rates by race &income
53%
47%
White 68%
American Indian &
Alaskan Native
Hispanic or Latinx
Black or African American 35%
WA homeownership rates much
lower for people of color
WA homeownership rates by race
(%change
since '10)
+2%
Asian 63%+3%
+6%
+5%
+2%
48%
64%
31% 31%
16%
46%
52%
48%49%
61%66%
74%84%
64%73%69%
<80%AMI 81-100% 101-150% >150%AMI
AMI AMI
Non-Hispanic Black or African American
Hispanic or Latinx
Non-Hispanic Asian
Non-Hispanic White
14%7%
20%
42%
White Asian Hispanic Black or
or Latinx African
American
WA All Races:
15.80%
Disparities in net worth:42%Black,
20%Hispanic HHs have 0 net worth
%of WA households with zero net worth by race
Thesedisparities create a negative,reinforcing cycle
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1. Black,Indigenous, and people of color 2.See,for example,"Racial Wealth Divide In Seattle"by Prosperity Now;or "The Racial Wealth Gap Is the Housing Gap"by WA Office of the Lieutenant Governor
Denny Heck (2021)
Source: U.S.Census Bureau ACS 1-year,2019;BCG analysis
Boston Consulting Group “The Conspicuous Crisis” January 2023
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What is the Black Home Initiative (BHI)?
The Black Home Initiative is part of Connecting Capital and Community(3C), a
national project of the Center for Community Investment (CCI) that targets racial
inequities at the core of the housing ecosystem.
With initial seed funding from JPMorgan Chase, this multi-sector effort will apply
CCI’s capital absorption framework in five U.S. cities, including the greater Seattle
area.
Civic Commons is the convening organization weaving together a cross sector impact
network to achieve the BHI shared priority.
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The BHI Network is Implementing the “CCI Capital Absorption Framework”
A shared priority is our North Star that guides collaborative work on community
investment.
A pipeline is a set of deals and projects that help achieve a community’s shared priority. For BHI
this is both a supply and demand pipeline effort.
The enabling environment is the setting in which community investment
takes place. It includes everything that makes it easier or harder to identify a shared priority and develop and fund
projects to make that priority a reality.
ENABLING ENVIRONMENT:
SHARED PRIORITY
PIPELINE:
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What are BHI’s Shared Priority and Line of Sight?
Provisional Result The opportunity to own a home,and the potential benefits of that asset,are
available to low-and moderate-income Black homeowners who desire it.
Key Performance
Indicator
Number of new Black homeowners who have appropriately affordable
mortgages and safe,durable, healthy homes.
Ultimate Desired
Impact
The reduction of racial inequity and an increase in intergenerational Black
household wealth.
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BHI Shared Priority and Line of Sight (cont.)
December 2032:
What we hope to celebrate
(outcomes)
•3,000 new Black LMI homeowners (with homes, mortgages, and locations as noted above).
•Sustained and meaningful progress along a trajectory that leads to the elimination of:
o disproportionality in homeownership rate between Black and white households
o systemic barriers, including lending underwriting and real estate practices, that have impeded Black
household access to homeownership.
December 2027:
What we hope to celebrate
(outcomes)
•1,500 new first time Black LMI homeowners (note, independent of sustaining existing buyers)
•All systems that have impeded access to Black homeownership have been clearly defined and some have
been transformed.
July 2024:
Progress made towards those
outcomes
•We are a strongly aligned impact network delivering on the shared priority and outcomes.
•New products--including loans, housing, programs, and resources—are underway.
•At least one policy win.
•Strategies to sustain existing buyers are implemented.
In place :
Progress is being made towards
those outcomes
•Strong Core Team and group of advisors (Full Team)are in place,and they:
o demonstrate trusting relationships with each other,
o are connected to the community,and
o have honed the project focus,mapped and aligned existing actions,and affirmed the community’s
shared priorities and developed a workplan.
•A policy framework is mapped and enables the shared vision.
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Core Team Members
NAME ROLE DEMOGRAPHICS PERSON’S STAKE IN THIS ISSUE CONCRETE
CONTRIBUTIONS
Nicole
Bascomb
Chapter President of Western
Washington Realtists (NAREB)
Female, Black/African
American Passionate leader in Black Community
Trusted broker, connected thought leader,
brings Realist engagement
Andrea
Caupain
CEO of Byrd Barr Place, a community
action agency
Female, Black/African
American
Provide thought leadership to advance the ideas from
commitment to action Evangelize the work to stakeholders
Gregory Davis Managing Strategist, Rainier Beach
Action Male, Black/African American Passionate leader in Black community Trusted broker, connected thought leader
Gordon
McHenry CEO, United Way King Co.Male, Black/African American
Developing a strategy to significantly increase Black
wealth with support and commitment from
philanthropic, business and public sectors
Using relationships, reputation and influence
(both personal and United Way’s) to ensure
needed support and successful outcomes
Michelle
Merriweather
CEO, Urban League of Metropolitan
Seattle
Female, Black/African
American Passionate leader in Black community Trusted broker, connected thought leader
Darryl Smith Executive Director of HomeSight, a
local NeighborWorks organization Male, Black/African American Passionate leader in Black community Trusted broker, connected thought leader
Anna Boone Manager of Government Relations,
Zillow
Female, White/Caucasian Personal and organizational commitment to closing
the racial wealth gap through homeownership
opportunities
Well-connected within business and political
circles; able to leverage robust housing
research and data to support the initiative
Felicia Medlen Manager, Housing Division City of
Tacoma
Female, Black/African
American Passionate leader in Black Community in Tacoma Public sector, connected thought leader
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How can we
significantly
scale the
number of Black
homeowners in
order to achieve
our shared
priority?
Increase
Supply of
Affordable
Homes to
Purchase
Increase
Number of
New
Mortgage-
Ready Black
Households
and Sustain
Existing
Increase
Community
Engagement
and Aligned
Actions
Increase Funding
Increase Buildable
Land Inventory
Improve Outreach
and Support
Improve Lending
Practices and
Products
Align Philanthropy
Increase &
Incentivize
Collaboration
Product & Sales Types, Land Trusts, Co-ops, Condos etc.
Joint Ventures b/w For-Profit and Nonprofit Developers
Modify Underwriting Requirements & Loan Officers
Community -based Outreach Initiatives
Elevate a Data Driven Shared Priority and Goal
Adopt & Advocate for a Homeownership Policy Framework
Catalog and Elevate Promising Practices in Collaboration
Weave Together Network Engagement
The Comprehensive Focus:
BHI’s Issue Tree
Increase Black-Led
Developers and
CBOs
Predevelopment Grants and Loans
Underutilized Public and Faith Entity Owned
Debt-Remediation. IDAs, and Down-Payment Assistance
Change Funding Systems and Requirements
Construction Lines of Credit, New Market Tax Credits etc.
Launch and Fund Capacity -Building Initiatives
Diversity Production
Future High-Capacity Transit Sites
Coordinated Intake, Assessment and Support
Align Policies
Pipeline:
Supply
and
Demand
Enabling
Environment:
Aligned
capacity
and actions
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You might be thinking, “This is nice—but what’s different about this initiative compared to
other past attempts?”
A network—led by a network-weaver “weaving on the
daily”—has the potential to dismantle systems and
enact policy better than any existing methodology.
-BHI Core Team member Gregory Davis
Managing Strategist, Rainier Beach Action Coalition
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We will accomplish the Shared Priority as a BHI Impact Network, with all participants serving as Network Weavers
Less like this… …and more like this.
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Homeownership is not an event…
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…it’s a journey.1
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Homeownership: Steps to Success
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Income
Debt
Curious
Suitability
Move In
Readiness
Readiness Matters…
Credit
Purchase
Pre-Purchase Support
Apply for Credit
Apply for Credit
...as does the timing
of loan underwriting.
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Capturing Interested Households
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On the Journey…
…we walk alongside each prospective
homeowner on their unique homeownership
journey and say, if necessary, “not now”
rather than “no” or “never.”
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Areas of Opportunity…
•Land
•Policies, Regulations and Incentives
•Funding
•Being a BHI Network “Partner”
•?
•?
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How can we together “Meet the Moment”…
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How Can We Ensure that We “Meet the Moment”…
...by changing the systems
that are long overdue to
be changed, and by
providing ample
resources to overcome
existing disparities!
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Reactions
and
Questions
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Black Home Initiative Network:
Network Partner Pledge
Primary Contact:
Marty Kooistra M.Kooistra@civic-commons.org
206.430.2800
What is Black Home Initiative?
The primary purpose of Black Home Initiative (BHI) is to increase the number of BIPOC households who successfully
secure homeownership. The ultimate impact we aspire to is the reduction of inequity and an increase in
intergenerational household wealth. Our initial emphasis, and our shared priority, is on Black households; within five
years, the goal is to make the opportunity to own a home, and the potential benefits of that asset, available to 1,500
new low- and moderate-income Black homeowners in South Seattle, South King County, and North Pierce County. The
initiative will concurrently focus on the essential work of clearly defining, and transforming, the systems that have
impeded access to homeownership for Black households in our area.
Why is BHI Needed?
Rising costs have made purchasing a home a challenge for many people in this region. However, historical structural
racism and persistent institutional racism and exclusion mean this goal is even less attainable for Black households. In
Seattle, the homeownership rate among Black households is 26%, roughly half the rate among white households (51%).
The homeownership rate among Black households in Tacoma is 35%, compared to 64% among white households. (1)
Why is a BHI Network Needed?
Making BHI’s shared priority a reality requires change in many aspects of several intersecting systems. This involves the
biggest-picture principles, the most detailed metrics, and the large, complex web of policies and practices in between.
No single organization, no matter how determined or well-resourced, can do it alone. This shared priority needs an
approach that breaks with traditional ways of approaching affordable homeownership work. Breakthrough success will
only come from doing three things:
➢ Bringing together the people who make decisions for, and carry out the work of, many relevant sectors;
➢ Elevating the voices of the community members impacted by that work; and
➢ Combining the depth and breadth of their diverse experience, expertise, tools, resources, and commitment.
This is a shared priority. So the key will be shifting our mindset away from working as bright but separate stars and
towards working like a highly connected constellation. By aligning ourselves in a network, our joint impact can be far
greater than the sum of our individual efforts. If our intent is to increase affordable housing supply, prepare Black
homebuyers for their journey, support them along the way, and facilitate their ability to live out their homeownership
dreams, then our target is systemic change that rights the wrongs of the past and the present and ensures equitable
access to opportunity in the future. Impact networks offer us the power and the pathway we need to achieve that kind
of fundamental and lasting transformation.
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BHI Network Partner Pledge
Black Home Initiative [January 2023]
p.2 of 3
BHI Network Partner Principles
We strive to right the wrongs of past discriminatory practices and commit to a focus on doing all we can
to ensure Black homebuyers get an opportunity to purchase homes.
We understand that the complexity of this issue dictates that we work together at new levels of collaboration,
embracing a mindset that overcomes the fear of competition for scarce resources.
We fully engage in this work, wholeheartedly and with urgency, drawing on the breadth and depth of each
of our partner organizations and their respective strengths.
We engage in this work because we truly believe it must be done.
We embrace the power and hope of trust. While we prefer to know and define every detail about the work, we
understand that there will be ambiguity as we name, and endeavor to carry out, the adaptive work before us.
“Gets”: What does BHI Network offer its partners? (Will vary by organization)
➢ New relationships with organizations and individuals that carry the potential for mission alignments and
reciprocal benefits.
➢ Connections to Black homebuyers who could potentially purchase homes through coordinated identification
and preparation efforts.
➢ Access to shared support services, such as marketing, communications, and resource development.
➢ Coordination of policy analysis, policy formulation, and advocacy mobilization.
➢ Promising practices sourced from both local network partners and other national 3C sites.
➢ Technical assistance and peer assists.
➢ Potential connection to and/or access to financing resources for capacity building, outreach to buyers,
predevelopment, and construction of affordable homes.
➢ Alignment and affinity with a broad, diverse network of organizations focused on this critical societal issue.
“Gives”: What can partners offer BHI Network? (Will vary by organization)
Partners strengthen the network by demonstrating commitment to the shared priority, by their sustained participation
in refining the shared priority, by living out the principles stated above, and by possibilities such as:
➢ Spreading the word about BHI using their organizational platforms (e.g., newsletters, website news/blogs,
social media, presentations, and events).
➢ Facilitating the ability of their staff and volunteers to participate in BHI project teams and design teams, and
recognizing them for doing so.
➢ Encouraging constituents to take action in support of policy and advocacy efforts appropriate for their
organization.
➢ Bringing awareness of BHI to donors and investors with potential for substantial interest and contribution,
providing them opportunities for helping both their organization and the broader network.
➢ Remaining alert to promising practices, doing what they can to share them with BHI Network partners.
➢ Engaging in marketing and outreach to potential homebuyers as applicable.
➢ Providing technical assistance to other partners through peer assists and support.
➢ Reporting frequently on the network contributions they are making.
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BHI Network Partner Pledge
Black Home Initiative [January 2023]
p.3 of 3
The mission of BHI Network partners has always been to increase BIPOC homeownership by increasing partner capacity
without necessarily growing their organizations. Ultimately, all BHI Network partners can articulate the overall impact
of BHI and the ways in which the impact network has contributed to achieving BHI’s shared priority.
We acknowledge that, due to their constituents or broad coalitions, BHI Network partners may not be able to endorse
every policy position that the initiative explores and/or pursues. We want part ners to feel comfortable being
transparent about the limitations they have. Endorsement for major policies happens on a case-by-case basis
coordinated by the advocacy organization leading it.
Next Steps
Questions? Please feel free to reach out to any of the following people:
BHI Core Team Members
o Andrea Caupain andrea@byrdbarr.place
o Anna Boone annabo@zillowgroup.com
o Darryl Smith darryl@homesightwa.org
o Felicia Medlen fmedlen@cityoftacoma.org
o Gordon McHenry, Jr. gmchenryjr@uwkc.org
o Gregory Davis gregory@rbactioncoalition.org
o Michael Brown m.brown@civic-commons.org
o Michelle Merriweather mmerriweather@urbanleague.org
BHI Project Manager: Marty Kooistra m.kooistra@civic-commons.org
Ready to Become a BHI Network Partner?
Please email your logo file, or a link to a shared drive containing your logo file, to either of these Civic Commons staff
members. Feel free to reach out to them with questions regarding file format and size.
o Jasmine Williams, Interim Communications Manager j.williams@civic-commons.org
o Maisha Barnett, BHI Coordinator m.barnett@civic-commons.org
(1) Tacoma data: U.S. Census Bureau. (n.d.) American community survey (ACS) 5-year estimates public use microdata sample (PUMS), 2015-2019 [Data
set]. U.S. Department of Commerce. Retrieved from https://www.census.gov/programs-surveys/acs/microdata/documentation/2019.html
Seattle data: The Racial Wealth Divide in Seattle (2021 scorecard data). Retrieved from https://www.prosperitynow.org
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