Economic Development & Housing Flashcards

Which federal program provides grants to states and localities for community development activities that benefit low- and moderate-income persons?

Answer: Community Development Block Grant (CDBG)

CDBG is a flexible federal grant program administered by HUD that supports community development activities benefiting low- and moderate-income residents.

A municipality wants to attract a large manufacturer that will create 500 jobs. Which incentive tool directly reduces the company's property tax burden for a set number of years?

Answer: Tax Abatement Agreement

A tax abatement agreement temporarily reduces or eliminates a business's property tax liability to incentivize location or expansion within the municipality.

What is the primary purpose of a Consolidated Plan required by HUD?

Answer: To identify housing and community development needs and allocate federal funds accordingly

The Consolidated Plan is a HUD-required planning document that identifies a community's housing and community development needs and outlines how federal formula grants will be used to address them.

A city is experiencing 'housing cost burden.' By HUD's definition, this means residents are spending more than what percentage of their income on housing?

Answer: 30%

HUD defines housing cost burden as spending more than 30% of gross income on housing costs, including rent or mortgage, utilities, and insurance.

Which type of zoning approach allows for a mix of uses—residential, commercial, and sometimes light industrial—within the same zone or building?

Answer: Mixed-use zoning

Mixed-use zoning permits multiple land uses in the same area or structure, promoting walkability, economic vitality, and housing density.

An Opportunity Zone is a designation created by which federal legislation?

Answer: Tax Cuts and Jobs Act of 2017

Opportunity Zones were created by the Tax Cuts and Jobs Act of 2017 to incentivize long-term private investment in low-income census tracts.

What is 'inclusionary zoning'?

Answer: A policy requiring or incentivizing developers to include affordable units in new housing developments

Inclusionary zoning requires or encourages private developers to set aside a percentage of new housing units as affordable for low- or moderate-income households.