a report from Councilor E. Denise Simmons, Co-Chair and Councilor Sumbul Siddiqui Co-Chair of the Housing Committee for a public hearing held on March 20, 2018 to receive a general overview on he state of affordable housing throughout Cambridge, and to receive updates from the Community Development Department, the Cambridge Housing Authority, Homeowners Rehab, Inc., and Just A Start on the work they are currently engaged in

Attachinent A. Opening Remarks For March 20, 2018 Housing Committee Meeting March 20 at 5 pm in Sullivan Chamber "The Housing Committee will conduct a public hearing to receive a general overview on the state of affordable housing throughout Cambridge, and to receive updates from the Community Development Department, the Cambridge Housing Authority, Homeowners Rehab, Inc., and Just a Start on the work they are currently engaged in." Good evening, I want to thank everyone for being here for this first Housing Committee hearing of the 2018- 2019 City Council term. I've had the privilege of serving as Chair and Co-Chair of this committee over the past few terms, and we have managed to get some very important legislation vetted here, and then passed on to the full City Council for adoption. This Committee worked to vet our updated Linkage Ordinance, we vetted and cleared the way for the updating of our Inclusionary Zoning Ordinance, and we did the hard work of ensuring that the City Council could vote on some solid, strong legislation that will truly make a positive impact in this community in the years ahead. I am so proud of the work that all the past members of this Committee have undertaken, and I know this new Committee is going to work just as hard to continue the necessary work. For this first hearing of this term, I thought it would be wise for us to start off by getting a "lay of the land" of our affordable housing situation in Cambridge in 2018. Today, we will be hearing from our major Affordable Housing providers - the Community Development Department, the Cambridge Housing Authority, Homeowners Rehab, Inc, and Just a Start - to come report on the work they're currently engaged in and a sense of what they're focusing on in this first half of 2018. We also will be hearing from the Affordable Housing Trust, and then we'll have an open floor, followed by Public Comment. One of the things I do want our representatives from the CDD, the CHA, Just a Start, and HRI to be mindful of is tenants' concerns about proposed HUD budget cuts and policy changes (such as work requirements), and how these may be impacting your work or the overall housing picture in Cambridge. We do live in a particularly fraught period, and the Trump Administration is providing new challenges by the week to those of us working with some of our most vulnerable residents. Any information you can provide about how you're looking to navigate around these new challenges would be greatly appreciated. Lastly, I know that all of us are here because we care about the state of affordable housing in this city. We want to do everything in our power to increase the amount of affordable housing, to increase peoples' ability to access that housing, to be as fair as possible, and to help as many people as possible. And we realize that there are many, many angles from which we must approach this matter. That being said, 1 want this Committee and this City Council to move forward as deliberately as possible in the policies and strategies we explore. Last September, 1 introduced a "Comprehensive Housing Plan" for Cambridge, and this document has a number of policies and strategies that are well worth our exploration this term. I would caution us that we cannot

explore every single option, we cannot take a "kitchen sink" approach, and we are going to have to be very strategic in prioritizing the handful of policies that we want to move up the field in the next 15 months. I will caution us that if we direct our Community Development Department and our City Solicitor to review a brand new housing policy each and every week, we should not be surprised when we end up walking away with NOTHING. We need to be pragmatic in fotusing on the handful of policies that seem most worth pursuing, and then engage in the necessary grunt work of pushing those towards a final vote this term. Again, I want to thank everyone for coming today, I am going to have us go around the table to introduce ourselves, and then I am going to ask the CHA to lead us off with their briefing. Thank you.

Atlachment B A Comprehensive Housing Plan for Cambridge The City of Cambridge, which is home to 45,569 households, is facing a housing affordability emergency. In January 2015, the Cambridge City Council unanimously approved an order setting a goal of creating 1,000 new affordable homes by the end of this decade. Since 1997, the City has maintained a ratio of roughly 15% of the overall housing stock as affordable, despite the loss of 15,700 rent controlled units (rent controlled units represented 40 % of Cambridge's total rental housing stock in 1995); the market conversion of 349 low and moderate income rental housing units in expiring-use properties, and the conversion of thousands of housing units into condominiums. Given the present conditions of one of the most expensive housing markets in the country, and the federal govemment's retrenchment of its role in providing housing assistance to lower income renters, it is clear that the City's existing policies and programs will not produce the number of affordable units and the diversity of housing types to meet the housing needs of our community. Even if the council's vision of building 1,000 new affordable units was realized, which according to the Community Development Department, would be a "significant increase to the City's historic rates of affordable housing creation," it would not counteract the other major influence on the housing market generating the affordability problem, the dramatic increase in income inequality in this "high opportunity" city. The change in incomes in Cambridge over the past three decades is one of the consequences of ever rising housing prices. During the period of 1990 to 2011, the number of households in Cambridge earning 50 - 80% of Area Median Income (low and moderate income households) declined by 49 %, while the number of households earning over 120 % increased by 60 %. Developing a comprehensive local housing plan that would expand the supply and affordability of housing in Cambridge, and ensure greater housing security for low and moderate income renters and homeowners, would serve to protect those people who are most at risk of displacement, and mairtain socioeconomic diversity in our community. The 2017 City of Cambridge Community Needs Assessment Report identified affordable housing and homelessness as top tier community needs. But have we made the City's commitment to affordable housing a top priority? A comprehensive local housing plan that is not merely another housing report would shift our thinking about what the City's role should be in creating an affordable Cambridge. Local decisions would be framed within the question, "How will this affect housing affordability in Cambridge?" To this end, City Departments would be required to produce impact statements that look at how affordable housing would be affected when ordinances, policies, regulations, and fees are enacted or changed. Beyond considering whether the city's goal of expanding the supply and affordability of housing would be undermined by an action or decision, every City Department would be charged with developing ideas and practices that would promote affordable housing. There would be a process for measuring and reporting on the changes that occur as a result of this new approach to community planning. The demand for housing in Cambridge seems to have no limits, but what kind of community do we want to be? A comprehensive local housing plan would describe the specific actions that we can take to make Cambridge the kind of place that develops inclusively.

What are the dimensions of Cambridge's affordable housing emergency? What are the consequences? Escalating rents Between 2000 and 2015, median asking rents for a one-bedroom apartment in Cambridge increased 90 % from $1,268 to $2,403. For a two-bedroom apartment, median asking rents increased 70% fron $1,691 to $2,882; and for a three-bedroom apartment, 64% from $2,050 to $3,368. (City of Cambridge Housing Profile 2016) Housing cost but dens In 2013, 65.6 % of extremely low income (at or below 30% of Area Median Income or AMI) renter households in Cambridge were housing cost-burdened (paying more than 30% of their gross income on rent); 55.8 % were severely cost-burdened (paying more than 50% of gross income on rent). (HUD Comprehensive Housing Affordability Strategy Data, 2000 and 2009 - 2013) Seventy-eight % of very low income (31 - 50 % of AMI) renter households in Cambridge were cost- burdened; 49.9% were severely cost-burdened. Seventy-four % of low income (51 - 80 % of AMI) renter households in Cambridge were cost- burdened; 22.1 % were severely cost-burdened. 1.6 % were servert oschurds in lambridge with incomes above 80% of AMl were cost-burdened; Changing incomes in Cambridge The number of households in Cambridge earning 50 - 80% of AMI has declined by 49% since 1990, while the number of households earning over 120% of AMI has increased by 60 %. (Memo to the Cambridge Affordable Housing Trust, Analysis of incomes in Cambridge since 1990, CDD Staff, 28 August, 2014) Voucher usage inside/outside Cambridge Forty-three % of Cambridge Housing Authority (CHA) Moving to Work tenant-based (mobile) voucher households live outside Cambridge. This represents an 11 % increase since 2011. (CHA, 11 May, 2017) Over half of recent lease-ups who located outside Cambridge are paying more than 30% of their income on rent.

Displacement; evictions from affordable housing Cases filed and evictions of CHA public housing households: - In 2016, CHA filed 141 cases in court for non-payment of rent and 12 cases for cause. There were five evictions. Between January and April of 2017, there were 32 cases filed in court for non-payment of rent and 15 for cause, There were five evictions. (CHA Director of Operations Dean Petruzzi) Terminations of CHA voucher households: - During 2016, CHA commenced the termination of 83 voucher households. Thirty households were terminated. - Two terminations were upheld in conference panel. 20 households that filed an appeal failed to appear for the conference panel. - Fifty-one households resolved the matter which had caused CHA to commence a termination. One household was reinstated in conference panel. - There were 37 informal hearings; six of which resulted in repayment agreements. Fourteen households resolved the matter which had caused CHA to commence their termination prior to an informal hearing. - There is one termination that is still pending (as of June 27, 2017). - The reasons for terminations: Twenty-seven were for failure to recertify or provide the necessary documents to complete recertification. Eleven were for other program violations. Six were for unreported income. The remainder were for other reasons or a combination of reasons, including failure to show up for a scheduled appointment and failed inspection. (CHA Director of Leased Housing Hannah Lodi) Homelessness Cambridge counted 517 persons who were experiencing homelessness on the night between January 27 and January 28, 2016, the annual Point-in-Time census of sheltered and unsheltered homeless persons. There was an increase of 53 persons from 2015, which was related to an increase in shelter beds. (City of Cambridge: 2016 Census of Persons Experiencing Homelessness) 3

The Cambridge City Council Housing Committee will consider a range of strategies to address Cambridge's housing needs. Goal: Create and preserve affordable housing for low and moderate income households 1. Increase local and state resources for affordable housing. - Commit additional funds in the City's budget. - Issue affordable housing minibonds. - Establish dedicated streams of city revenue to be used for affordable housing development such as parking fees, building permit fees, short-term rental taxes, and a local transfer tax. Support a state real estate transfer tax which is dedicated to affordable housing. 2. Maximize the use of zoning to increase the supply of affordable housing. Review the incentive zoning and inclusionary housing ordinance on a regular basis. - Create a city-wide affordable housing overlay district. Make the permitting process for affordable housing projects expeditious and predictable. - Reduce or remove motor vehicle and bicycle parking requirements for 100 % affordable housing projects based on data on actual usage and distance from public transit. - Reduce motor vehicle parking requirements for transit-accessible residential developments in exchange for additional affordable units. Require that large commercial development projects include a residential component. 3. Coordinate all of the local government roles and departments that affect housing affordability. - Local affordable housing providers will meet on an ongoing basis to update one another on projects, and discuss possible solutions to the challenges to affordable housing preservation and development. - The City Council will hold quarterly Roundtable/Working Meetings to discuss how to expand housing affordability in Cambridge, and educate local officials and the public on policy, planning, and funding issues. - Produce a guidebook to all of the City departments, boards and commissions, housing agencies, and community organizations that make up Cambridge's housing system. - Require every City department to produce affordable housing impact statements when ordinances, policies, regulations, and fees are enacted or changed. Provide training to key staff on how to do an affordable housing impact analysis. 1

Goal: Strengthen tenant protections 1. Enact just cause eviction legislation through a home rule petition. 2. Establish and fund the right to counsel in certain housing cases. (House No. 3589. An Act establishing a right to counsel in certain eviction cases.) 3. Adopt a local condo conversion law. (Acts, 1983 - Chap. 527. An Act enabling cities and towns to regulate the conversion of residential property to the condominium forms of ownership.) 4. Create the position of Housing Ombudsman/Advocate for the City of Cambridge, S. Develop a Tenant Harassment Prevention Program. 6. Create an online Landlord Watchlist to share information about buildings with multiple serious violations of City laws and codes relating to housing quality and safety 7. Provide information on landlord-tenant laws on the City website which would include the obligations of landlords, the obligations of tenants, and city ordinances that affect tenants and landlords. Goal: Promote housing stability 1. Enhance the enforcement of Cambridge's source of income discrimination ordinance. 2. Offer tenant education programs to test whether requiring participants to successfully complete a series of workshops dealing with topics such as budgeting and credit, housing search basics, maintaining stable housing, tenant rights and responsibilities, and CORI mitigation, before they are issued a tenant-based voucher would improve the rate of voucher takers who are able to use their voucher. 3. Establish a Landlord Liaison Program. Provide benefits and guarantees to landlords who agree to use an alternative screening/application process to reduce barriers to housing (e.g., waive credit history screening, not screen out applicants for non-payment eviction history, individualized assessments of applicants with a criminal record history). 4. Expand tenant outreach to track and analyze the causes of displacement, including physical evictions and forced moves; develop targeted solutions for vulnerable subpopulations of tenants; incorporate displacement risk in planning decisions. 5. Create an inventory of the stock of affordable accessible housing in Cambridge. 6. Increase the housing choices of CHA tenant-based voucher (TBV) households. Offer CHA TBV households who are located outside Cambridge the opportunity to apply for a transfer to a newly 3

- Attachment C CITY OF CAMBRIDGE Community Development Department IRAM FAROOQ Assistant City Manager for Community Development lo: Housing Committee CDD Staff From: Sandra Clarke Date: Deputy Director March 20, 2018 Chief of Administration Re: Summary of the Inclusionary Housing Rental Waiting Pool Attached is a report on the Inclusionary Housing Rental Program Applicant Pool for low- and moderate-income households as of October 2017, the last full report on the applicant pool. This report includes all applications by bedroom size and preference group. A similar report is also attached for the Middle-Income Rental Applicant Pool which was established in September 2017. The report on the Inclusionary Rental Applicant Pool provides detail in the 2,903 applications which include Cambridge residents, non-resident applicants who work in Cambridge and other non-resident applicants. Applicants may apply for more than one unit size based on the composition of their household; the report therefore does not reflect an unduplicated total. | Studio 3-BR Total LOW-& 1-BR 4-BR 2-BR MODERATE- INCOME APPLICANTS 280 976 1,069 All Applications 2,903 558 211 14 829 14 320 Cambridge Resident 270 90 156 38 322 35 3 Non-Resident, Work in Cambridge 228 Non-resident 702 566 253 3 1,752 There are currently 650 completed inclusionary rental units. The report on the Middle-income Applicant Pool as of March 2018 is summarized below: Total I-BR 3-BR 4-BR Studio MIDDLE-INCOME 2-BR LAPPLICANTS 48 67 All Applications 20 29 Cambridge Resident 10 3 Non-Resident, Work in Cambridge 7 Non-resident 18 25 344 Broadway There are currently 15 completed middle-income rental units. Cambridge, MA 02139 Voice: [phone removed] Fax: [phone removed] TTY: [phone removed] www.cambridgema.gov

Summary of the Rental Applicant Pool by Preference Group on 10.30.17 non- % of total. Non- 0-br Studio Cambridge number of "Cambridge" oldest application not points tier Voucher applicants voucher yet considered** voucher* applicants in applicants the pool applicants Cambridge resident, emergency need 1 0% November 2017 13 1 1 Cambridge resident 13 5% April 2016 resident subtotal 14 0 13 1 Non-resident, work in Cambridge, emergency need 2 0% N/A Non-resident, work in Cambridge 14% 38 January 2016 2 1 231 18 17 Non-resident, emergency need 4% 41 September 2014 Non-resident, no preference 0 187 67% May 2010 non-resident subtotal 266 17 18 231 total 100% 280 18 244 18 % of total 1 Bedroom number of 1-br. tier points applicants applicants in the pool Cambridge resident, emergency need 12 1% January 2017 1 7 159 4. 45 Cambridge resident 199 19% January 2016 resident subtotal 159 7 211 45 Non-resident, work in Cambridge, emergency need 2 1% 8 January 2011 Non-resident, work in Cambridge 148 14% 2 May 2010 722 78 58 Non-resident, emergency need 118 11% May 2010 Non-resident, no preference 584 55% May 2010 non-resident subtotal 858 78 722 58 total 1069 100% 881 103 85 % of total number of 2-br. 2 Bedroom points tier applicants applicants in the pool Cambridge resident, child under 6, emergency need 4% 3 July 2017 Cambridge resident, child under 6 0% 39 April 2016 Cambridge resident, child under 18, emergency need 2 0% 1 August 2017 16 188 116 Cambridge resident, child under 18 134 14% May 2010 Cambridge resident, emergency need 2% 17 June 2011 Cambridge resident 125 13% May 2010 resident subtotal 320 16 188 116 4 Non-resident, work in Cambridge, child under 6, emergency need 1% 14 January 2013 Non-resident, child under 6, emergency need 74 8% May 2010 Non-resident, work in Cambridge, child under 6 3 2% 22 October 2013 Non-resident, work in Cambridge, child under 18, emergency need 0% 2 June 2014 Non-resident, child under 6 148 15% May 2010 Non-resident, child under 18, emergency need 5% 48 2 May 2010 559 46 51 Non-resident, work in Cambridge, child under 18 2 3% 30 May 2010 Non-resident, work in Cambridge, emergency need 0% 2 November 2014 Non-resident, child under 18 132 52% May 2010 Non-resident, emergency need 1% 14 May 2014 Non-resident, work in Cambridge 2% 1 20 May 2010 Non-resident, no preference 15% 150 May 2010 non-resident subtotal 46 559 51 656 total 100% 747 167 976

Non- voucher "Cambridge TOTAL ALL POOLS applicants Voucher applicants* "voucher* applicants All Applicants 2903 100% 421 2264 218 All Resident Applicants 829 29% 523 269 37 Non-resident, work in Cambridge 11% [phone removed] 152 Non-resident 1752 60% NOTES *This is an accurate account at the time of application of Cambridge residents which have a "Cambridge" voucher and includes Cambridge residents who have a non-Cambridge Voucher. Non-residents are identified as having a "Cambridge" voucher and non-Cambridge voucher. Applicants may be eligible for more than one bedroom size. **oldest application not yet considered" are applicants who have not been sent to available property. The data in this report is from the Rental Applicant Pool on 10.30.17

Summary of the Middle Income Rental Applicant Pool by Preference Group on 3.5.18 % of total number 1-br oldest application not yet 1 Bedroom tier points of applaints in the applicants considered** pool Cambridge resident, emergency need 0 5 N/A 0% 1 Cambridge resident 4 42% 20 September 2017 resident subtotal 20 Non-resident, work in Cambridge, emergency need 2 4% September 2017 2 Non-resident, work in Cambridge 8 17% September 2017 1 2 Non-resident, emergency need September 2017 0% Non-resident, no preference 18 September 2017 38% 28 non-resident subtotal total 100% 48 % of total number 2 Bedroom 2-br tier points of applaints in the applicants pool Cambridge resident, child under 6, emergency need 2 11% November 2017 7 Cambridge resident, child under 6 0% September 2017 Cambridge resident, child under 18, emergency need 21% N/A 1 Cambridge resident, child under 18 4 0% September 2017 5 Cambridge resident, emergency need 0 N/A 5% Cambridge resident 4 1 47% September 2017 9 resident subtotal 4 Non-resident, work in Cambridge, child under 6, emergency need 0% N/A Non-resident, child under 6, emergency need 1 5% November 2017 3 Non-resident, work in Cambridge, child under 6 1 5% November 2017 Non-resident, work in Cambridge, child under 18, emergency need 0% N/A Non-resident, child under 6 1 5% September 2017 2 Non-resident, child under 18, emergency need 0 0% N/A 2 Non-resident, work in Cambridge, child under 18 2 11% September 2017 Non-resident, work in Cambridge, emergency need 0 0% N/A Non-resident, child under 18 11% September 2017 Non-resident, emergency need 1 0 0% N/A Non-resident, work in Cambridge 0% N/A Non-resident, no preference 0 16% September 2017 non-resident subtotal 10 total 100% 19 TOTAL ALL POOLS applicants All Applicants 67 100% All Resident Applicants 57% 38 Non-resident, work in Cambridge 18% 12 Non-resident, no preference 25% 17