Madisonians:

At the recent U.S. Conference of Mayors winter meeting in Washington, I had the opportunity to meet with President Bush. In his comments, he stressed that the nation's Mayors are the most accountable of all public officials. Local governments are the first responders in the event of an emergency; local governments and local officials are the first called, whether it is an issue affecting public health, safety, the purity of our drinking water, or housing. One afternoon of the conference was devoted to a topic of great significance here and throughout the nation: the crisis in affordable housing. The task of preserving, enhancing and expanding the stock of affordable housing in Madison has been, and will continue to be, a high priority and constant goal of my administration.

While there continues to be a large gap between the number of persons of low and moderate income who are in need of affordable housing and the number of units available, I have recognized the challenge and, along with the efforts of many others, have taken steps to address this difficult issue. In addition to the challenge of creating more affordable units, providing technical assistance and support to keep people in their homes, Madison faces an additional problem of having a disproportionate number of people who rent, rather than own their homes. Nationwide, 67% of the population lives in owner-occupied housing. In Madison, only 47% of our community lives in owner-occupied housing.

Over the past three years, with the support of Congresswoman Baldwin and Senator Kohl, Madison has received three appropriations in the HUD/VA bill that I requested. Each was designed to assist in Madison's ability to provide sustainable, safe, affordable housing for low and moderate residents. In federal FY 2000, we received $400,000, which is being used to provide case management and support to keep families with school age children in their homes.

In FY 2001, we obtained a $750,000 earmark to assist in the housing to be developed in Troy Gardens. This year, $700,000 was earmarked for the purchase of land to enable the development of affordable single-family owner-occupied housing in an as-yet unidentified location. We are in the process of developing an FY 2003 request to continue bringing federal money to Madison to provide affordable housing.

Last year, the Tax Incremental Financing (TIF) policy was revised. Ten percent of the potential property tax revenue increment generated within a TIF district will be set aside to support affordable housing projects within the district. It is a new idea and bold initiative that will be first applied to the TIF districts in the Allied Drive and Bassett Street neighborhoods. Citizens will soon be appointed to the committees that will recommend how best to utilize the fund that is established for each of the districts. In the Allied TIF, the funds may be used to convert what are presently rental units into condominiums, or to provide more three- and four-bedroom apartments for larger families. The committees will play an important advisory role in the process, ensuring that the investments we make in the neighborhoods are those that the neighborhood wants.

For a number of years, the city has been working to redevelop the Broadway-Lake Point neighborhood by creating new affordable housing and enjoyable open space. With the completion of the renovation of Monona Shores into condominiums and larger apartments, we are in the planning stages for the redevelopment of the Colonial Court apartment complex. The plan includes removing some of the units to create a greater sense of green space, extensive remodeling of existing facilities, construction of new townhouse units, and creative financing to assist more families in the transition from rental to owner-occupied units. The Colonial Court proposal is an example of a project that we cannot successfully undertake solely on our own. We are developing relationships with new partners, including some on the federal level, that may enable us to proceed with this, and other affordable housing projects.

The 2002 capital budget includes $180,000 to enable the completion of the Troy Court housing project being developed by the Madison Community Land Trust. There are also significant federal CDBG dollars being contributed to a number of local not-for-profit groups, including Habitat for Humanity, to enable the development of more affordable housing in Madison.

Resolving the affordable housing crisis will not be easy, nor will it be quick. It will require innovative thinking, including perhaps inclusionary zoning and density bonuses. It will require partnerships and creativity. It can be done; it must be done; it will be done to ensure that Madison continues to be a healthy and safe place for all to live, learn, work and play.



Susan J.M. Bauman
Mayor