Getting to the roots of affordable housing

The city of Bethlehem is considering partnership options with Bethlehem Housing Authority and other nonprofit housing developers in efforts to provide residents with more affordable living accommodations. 

Public housing authorities oversee and operate public housing units while the city addresses regulation, maintenance and zoning of these residences.

Political science professor Karen Pooley said Bethlehem has mostly relied on private landlords to provide low-cost housing.

Bethlehem and its housing authority typically function separately from one another, but things are changing due to Bethlehem’s current 2% vacancy rate. 

This is considered to be a crisis-level percentage, with little to no housing available in the city, and even less housing that is affordable. 

“In the U.S., maybe one out of every five people who would qualify for some kind of housing assistance actually gets it,” Pooley said. 

She said this is usually due to lack of grant funding or tax subsidies. 

Sara Satullo, deputy director of community development for Bethlehem, said cities that have innovative partnerships with their housing authorities tend to make the most progress.

“We’re only as good of a community as how we treat the people with the least resources,” Satullo said.

The Bethlehem Housing Authority manages about 1,454 public housing units. These options are primarily reserved for low-income families, elderly individuals and those who are disabled. 

The Housing Authority also oversees Section 8 Vouchers. These refer to the Housing Choice Voucher Program, which allows eligible citizens to receive vouchers to search for privately owned housing. Generally speaking, to be eligible for a Section 8 Voucher in Pennsylvania, your income must be below 50% of the medium income in your metropolitan area. 

Satullo said she now attends all of Bethlehem Housing Authority’s meetings, and the group has been participating in the city’s comprehensive housing strategy committee. 

By doing this, Satullo said it helps the housing authority members prioritize the city’s investments going into the affordable housing space. 

John Ritter, interim executive director of Bethlehem Housing Authority, said the authority is looking into creating more low-income properties, but it is maxed out with public housing.

Since the Bethlehem Housing Authority cannot build more public housing at this time, Ritter said they’re building 12 Section 8 units on their Marvine property on the North Side instead.

“They’re all one-level floors, so it is geared toward the elderly,” Ritter said. “But, it is available for anyone who needs a one-bedroom, so it is first come, first serve.” 

Ritter said there are about 200 people on the waitlist for Section 8 Vouchers.

Pennsylvania’s Housing and Urban Development is reviewing the details for this particular project. Once the Bethlehem Housing Authority gets permission, they plan to start building immediately. 

The housing authority is also looking to restart Bethlehem Homes Inc. with the help of a newly hired consultant. 

Ritter said the corporation was formed in 2002 and was active for a few years before fizzling out.

The company would buy units and renovate them. If they are able to get the program started again, it will give the housing authority another option for building more affordable homes. 

“We do have restrictions from (Housing and Urban Development) that we have to follow, but we are looking to do whatever we can for the community,” Ritter said. 

There are a number of Section 8 units that are vacant, which Satullo said is due to economic issues that come with the large gap between the fair market rent — how much a residence should receive in rent based on the area — and the market rate — how much value a residence has. 

This makes it difficult to find a landlord who will actually accept a voucher. 

“The median rent in the city has gone up 57% over the last three years, and our rental market now is actually more expensive than Philadelphia,” Satullo said. “The first time I saw that chart I nearly fell over.” 

In an effort to balance this market, Satullo said the Bethlehem City Council is looking to possibly pursue a Choice Neighborhood Planning Grant. 

This grant is awarded to a few select communities from Housing and Urban Development and provides funding for neighborhood planning and community engagement. If awarded the grant, the city can invest in processes to create mixed-income neighborhoods.

“For many years, housing authority development would put public housing on the outskirts — away from transit, away from jobs, it would concentrate poverty and a high-needs population in certain areas,” Satullo said. “We’ve seen that is not good planning or the most effective way to serve the folks that are living there.” 

Satullo said City Council is also looking into a Rental Assistance Demonstration conversion. This is a process conducted through the Housing and Urban Development department, in which housing authorities can take facilities that were used for one purpose and convert them into affordable housing units. 

With these prospective avenues, like the Planning Grant, Rental Assistance Demonstration conversion and an effort to work alongside the Bethlehem Housing Authority, the city sees opportunity and potential for the community as a whole.  

“A vital function that cities have done through the history of humanity is provide a spot to land, catch your breath and then start making connections and moving your way up,” Pooley said. “But only if you can get there.”