Entrepreneurial American Community Award
For its successful affordable housing programs.
In the last decade, the Silicon Valley region has experienced some of the fastest rising housing prices in the country. However, the City of San José, the most densely populated area in Santa Clara County, has stood out as the exception in its efforts to counter this problem with innovative programs to improve, preserve and increase the supply of affordable housing in the city. San José’s focus on affordable housing has succeeded in making it the leader of affordable housing production in the State of California.
From 2000-2005, the median house value in San José increased by over 160%, and rents have also increased dramatically every year. However, since the creation of the housing department in 1988, the City has constructed over 15,000 units of affordable housing for a diverse population including families, seniors, and those with special needs. Mayor Ron Gonzales announced a new goal to have 10,000 units of affordable housing constructed during his eight-year term, beginning in 1999. As of January 2006, 8,499 units were completed, 1,418 were under construction and an additional 812 were planned for a total of 10,729 towards the 10,000 unit goal.
The Mayor and the City's housing department do not only build affordable houses, they also find ways to assist people with different housing needs. In 1999, Mayor Ron Gonzales launched the San José Teacher Homebuyer Program that allows teachers in the San José public school system to receive up to $65,000 in zero-interest down payment assistance toward the purchase of their first home. Since then, the City has helped more than 500 teachers buy their first homes in the city. San José also works with its Redevelopment Agency and area communities on the Strong Neighborhood Initiative, and because so many communities identified housing rehabilitation as a strong priority, the City created the Rental Rehabilitation Demonstration Program, and over the last year has improved more than 300 units. The programs are not just for those with special needs; the housing department also has an outreach and education campaign aimed at protecting all residents from harmful predatory mortgage lending practices, called “Don't Borrow Trouble Silicon Valley.”
It is characteristic in San José for affordable housing projects to go beyond simple living requirements and offer a high quality of living standard. Since its inception, the Department of Housing's innovative planning and resulting programs have won many awards and gained national recognition for design, affordability, and ability to attract and leverage substantial public and private financing. The City understands that to continue to be as economically successful as it is, it must ensure that there is an adequate mix of housing available for all of the different jobs required to support a thriving economy.
For more information: Teacher Homebuyer Program, Strong Neighborhood Initiative