City of Montebello Los Angeles County, California DRAFT August 2020 City of Montebello 1 Table of Contents Chapter 1: Introduction .......................................................................................................................... 5 A History of Montebello................................................................................................................... 5 B Legal Background ....................................................................................................................... 5 1) Federal Laws ....................................................................................................................... 5 2) California Laws..................................................................................................................... 6 C Fair Housing Defined................................................................................................................... 8 1) Analysis of Impediments to Fair Housing Choice Report Description ................................... 8 2) Organization of the Report ................................................................................................... 9 3) Data Sources ..................................................................................................................... 10 Chapter 2: Public Participation ............................................................................................................. 12 1) Public Participation Activities and AI Review ................................................................................ 12 1) Stakeholder One-On-One Interviews .................................................................................. 12 2) Community Needs Survey .................................................................................................. 12 3) Public Meeting and Hearing ............................................................................................... 13 Chapter 3: Community Profile .............................................................................................................. 14 A Locational Context .................................................................................................................... 14 B Demographic Profile .................................................................................................................. 14 1) Population .......................................................................................................................... 14 2) Age Distribution .................................................................................................................. 15 3) Language Spoken .............................................................................................................. 15 4) Race/Ethnicity .................................................................................................................... 16 5) Household Type ................................................................................................................. 16 6) Special Needs Populations ................................................................................................ 18 C Housing Profile .......................................................................................................................... 20 1) General Inventory Trends ................................................................................................... 20 2) Housing Conditions ............................................................................................................ 20 3) Housing Costs and Affordability ......................................................................................... 21 4) Housing Costs .................................................................................................................... 24 5) Housing Cost Burden ......................................................................................................... 25 D Race and Segregation ............................................................................................................... 26 1) A. Dissimilarity Index .......................................................................................................... 26 E Racially or Ethnically Concentrated Areas of Poverty ................................................................ 27 F Income, Employment, and Workforce ........................................................................................ 29 1) Income ............................................................................................................................... 29 2) Workforce........................................................................................................................... 30 3) Employment ....................................................................................................................... 31 City of Montebello 2 G Public Transit and Train Services .............................................................................................. 32 A. Access to Opportunities ......................................................................................................... 32 Chapter 4: Lending Practices ............................................................................................................... 34 A Laws Governing Lending ........................................................................................................... 34 1) Community Reinvestment Act (CRA) ................................................................................. 34 2) Banking Regulators for the CRA......................................................................................... 34 3) Federal Reserve's Role ...................................................................................................... 34 B Home Mortgage Disclosure Act (HMDA) ................................................................................... 34 C Government Backed Loans ....................................................................................................... 35 A. Federal Housing Administration ......................................................................................... 35 B. Veterans Administration (VA) Home Loans ........................................................................ 35 C. Rural Housing Services/Farm Service Agency (RHA/FSA) ................................................. 35 D Conventional Loans .................................................................................................................. 35 E Lending Findings ....................................................................................................................... 35 4) Refinancing ........................................................................................................................ 37 5) Home Improvement ............................................................................................................ 37 6) Demographics of Loan Applicants ...................................................................................... 37 A. Income of Loan Applicants ................................................................................................. 37 7) Lenders .............................................................................................................................. 38 Chapter 5: Public Practices .................................................................................................................. 39 A Housing Element Law and Compliance ..................................................................................... 39 B Land Use Element ..................................................................................................................... 40 C Zoning Ordinance ...................................................................................................................... 41 1) Consistent with Fair Housing .............................................................................................. 41 2) Conflicts with Fair Housing ................................................................................................. 43 3) Zoning Ordinance Recommended Changes ....................................................................... 45 4) Other Conflict Considerations ............................................................................................ 45 Chapter 6: Fair Housing Profile ........................................................................................................... 47 1). Homeownership – Private Sector Practices ............................................................................... 47 A. Home Purchase Process .................................................................................................... 47 B. Real Estate Advertisement ................................................................................................. 47 C. Real Estate Agents ............................................................................................................ 48 2) Rental Housing Process ............................................................................................................ 48 A. Advertisement for Rental Units ........................................................................................... 49 B. Fair Housing Complaints and Enforcement ........................................................................ 49 Chapter