July 2011 Analysis of Impediments to Fair Housing Choice Jersey City, NJ prepared by City of Jersey City, NJ Analysis of Impediments to Fair Housing Choice CITY OF JERSEY CITY, NEW JERSEY ANALYSIS OF IMPEDIMENTS TO FAIR HOUSING CHOICE 1. INTRODUCTION ............................................................................. 1 A. Introduction ............................................................................................................... 1 B. Fair Housing Choice ................................................................................................. 1 C. The Federal Fair Housing Act ................................................................................... 3 i. What housing is covered? ........................................................................................... 3 ii. What does the Fair Housing Act prohibit? ................................................................... 3 iii. Additional Protections for People with Disabilities ...................................................... 4 iv. Housing Opportunities for Families with Children ....................................................... 4 D. Comparison of Accessibility Standards .................................................................... 5 i. Fair Housing Act ......................................................................................................... 5 ii. Americans with Disabilities Act (ADA)......................................................................... 5 iii. Uniform Federal Accessibility Standards (UFAS) ....................................................... 5 iv. Visitability Standards................................................................................................... 6 v. Universal Design ......................................................................................................... 6 E. New Jersey Law Against Discrimination ................................................................... 6 F. Jersey City Fair Housing and Public Accommodation Ordinance ............................ 8 G. Methodology ............................................................................................................ 10 i. Use of Census Data .................................................................................................. 10 H. Development of the Analysis of Impediments to Fair Housing ............................... 11 i. Lead Agency ............................................................................................................. 11 ii. Agency Consultation ................................................................................................. 11 I. The Relationship between Fair Housing and Affordable Housing .......................... 11 2. DEMOGRAPHIC INFORMATION ...................................................... 12 A. Historical Residential Settlement Patterns .............................................................. 12 B. Demographic Profile ............................................................................................... 13 i. Population Trends ..................................................................................................... 13 ii. Areas of Racial and Ethnic Minority Concentration ................................................... 16 iii. Residential Segregation Patterns ............................................................................. 19 iv. Race/Ethnicity and Income ....................................................................................... 21 v. Concentrations of LMI Persons ................................................................................. 23 vi. Disability and Income ................................................................................................ 25 vii. Familial Status and Income ....................................................................................... 26 viii. Ancestry and Income ................................................................................................ 28 ix. Protected Class Status and Unemployment ............................................................. 30 C. Housing Market ....................................................................................................... 31 i. Housing Inventory ..................................................................................................... 31 ii. Types of Housing Units ............................................................................................. 33 iii. Foreclosure Trends ................................................................................................... 35 iv. Protected Class Status and Home Ownership .......................................................... 37 v. The Tendency of the Protected Classes to Live in Larger Households .................... 40 vi. Cost of Housing ........................................................................................................ 42 vii. Protected Class Status and Housing Problems ........................................................ 48 3. EVALUATION OF CURRENT FAIR HOUSING PROFILE ...................... 50 A. Existence of Fair Housing Complaints .................................................................... 50 i. HUD’s Office of Fair Housing and Equal Opportunity ............................................... 50 ii. New Jersey Division on Civil Rights .......................................................................... 52 B. Patterns and Trends in Fair Housing Complaints ................................................... 52 i. Housing Advocacy Groups ....................................................................................... 53 July 2011 Page i City of Jersey City, NJ Analysis of Impediments to Fair Housing Choice ii. International Institute of NJ ....................................................................................... 53 C. Existence of Fair Housing Discrimination ............................................................... 54 D. Determination of Unlawful Segregation .................................................................. 54 4. EVALUATION OF PUBLIC AND PRIVATE SECTOR POLICIES ............. 55 A. Public Sector Policies ............................................................................................. 55 i. Jersey City Housing Authority ................................................................................... 55 ii. Privately Assisted Housing ....................................................................................... 69 iii. Development of Affordable Housing ......................................................................... 73 iv. City Policies Governing Investment of Entitlement Funds......................................... 74 v. Affirmative Marketing Policy ...................................................................................... 77 vi. Site and Neighborhood Selection Policy ................................................................... 79 vii. Appointed Boards and Commissions ........................................................................ 80 viii. Accessibility of Residential Dwelling Units ................................................................ 82 ix. Permitting and Inspections ........................................................................................ 83 x. Persons with Limited English Proficiency (LEP) ....................................................... 84 xi. Master Plan ............................................................................................................... 85 xii. Zoning Ordinance ..................................................................................................... 87 xiii. Long Term Tax Exemptions Affordable Housing Trust Fund .................................... 89 xiv. Taxes ........................................................................................................................ 89 xv. Public Transit ............................................................................................................ 92 B. Private Sector Policies ............................................................................................ 94 i. Mortgage Lending Practices ..................................................................................... 95 ii. High-Cost Lending Practices .................................................................................. 101 iii. Real Estate Practices.............................................................................................. 103 iv. Newspaper Advertising ........................................................................................... 104 5. ASSESSMENT OF CURRENT FAIR HOUSING PROGRAMS AND ACTIVITIES ........................................................................................ 105 A. Current Fair Housing Programs and Activities ...................................................... 105 B. Fair Housing Organizations .................................................................................. 105 i. Fair Housing Initiatives Programs (FHIP) ................................................................ 105 ii. Hudson County Urban League ............................................................................... 106 iii. Jersey City Human Rights Commission .................................................................. 107 6. GENERAL FAIR HOUSING OBSERVATIONS .................................. 108 7. POTENTIAL IMPEDIMENTS TO FAIR