Michelle P. Bourg, who is responsible for transmission at Entergy’s Louisiana operations, told regulators that because it was too expensive to make the entire network resilient, Entergy pursued “targeted programs that cost effectively reduce the risks to reliability.”

In a statement, Entergy said its spending on transmission was working, noting that Ida destroyed or damaged 508 transmission structures, compared with 1,909 during Laura and 1,003 in Katrina. The company added that its annual investment in transmission in Louisiana and New Orleans has increased over the last eight years and totaled $926 million in 2020, when it spent extensively on repairs after Laura. The company spent $471 million on transmission in 2019.

“The facts of this storm support that we have made substantial progress in terms of resiliency since the storms that hit our system in the early 2000s — both generally and with respect to transmission in particular,” said Jerry Nappi, an Entergy spokesman.

The company declined to provide the age of damaged or destroyed transmission structures and an age range for the damaged distribution poles and equipment. Mr. Nappi acknowledged that distribution poles suffered widespread destruction and were not built to withstand winds of 130 to 150 m.p.h.

“Substantial additional investment will be required to mitigate hardship and avoid lengthy outages as increasingly powerful storms hit with increasing frequency,” he said in an email. “We are pursuing much-needed federal support for the additional hardening needed without compromising the affordability of electricity on which our customers and communities depend.”

The company’s plea for more help comes as President Biden is pushing to upgrade and expand the nation’s electricity system to address climate change as well as to harden equipment against disasters. Part of his plan includes spending tens of billions of dollars on transmission lines. Mr. Biden also wants to provide incentives for clean energy sources like solar and wind power and batteries — the kinds of improvements that community leaders in New Orleans had sought for years and that Entergy has often pushed back on.

Susan Guidry, a former member of the New Orleans City Council, said she opposed the construction of the new natural gas plant, which was located in a low-lying area near neighborhoods made up mostly of African Americans and Vietnamese Americans. Instead, she pushed for upgrades to the transmission and distribution system and more investment in solar power and batteries. The council ultimately approved Entergy’s plans for the plant over her objections.

“One of the things we argued about was that they should be upgrading transmission lines rather than building a peaking plant,” Ms. Guidry said.

In addition, she said, she called for the company to replace the wooden poles in neighborhoods with those built with stronger materials.

Robert McCullough, principal of McCullough Research, said it was hard to understand why Entergy had not upgraded towers and poles more quickly.

“Wood poles no longer have the expected lifetime in the face of climate change,” he said. “Given the repeated failures, it is going to be cost-effective to replace them with more durable options that can survive repeated Category 4 storms — including going to metal poles in many circumstances.”

Had Entergy invested more in its transmission and distribution lines and solar panels and battery systems, some green energy activists argued, the city and state would not have suffered as widespread and as long a power outage as it did after Ida.

“Entergy Louisiana needs to be held accountable for this,” said one of those activists, Logan Atkinson Burke, executive director of the Alliance for Affordable Clean Energy.

Entergy has argued that the natural gas plant was a much more affordable and reliable option for providing electricity during periods of high demand than solar panels and batteries.

Jennifer Granholm, Mr. Biden’s energy secretary, said that Ida highlighted the need for a big investment in electric grids. That might include putting more power lines serving homes and businesses under ground. Burying wires would protect them from winds, though it could make it harder to access the lines during floods.

“Clearly, as New Orleans builds back, it really does have to build back better in some areas,” Ms. Granholm said in an interview this month.

Mr. Nappi, the Entergy spokesman, said that distribution lines in some parts of New Orleans and elsewhere are already underground but that burying more of them would be expensive. “Distribution assets can be made to withstand extreme winds, through engineering or under grounding, but at significant cost and disruption to customers and to the community,” he said.

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California Advances Zoning Measure to Allow Duplexes

“It’s like acting on climate change — you can’t count on everyone to step forward in unison in a way that gives everyone confidence that they are getting a benefit for their cost,” said Michael Andersen, a senior researcher at Sightline Institute, an urban think tank based in Seattle. “Zoning reform has a political cost at every level, but only has political benefit at the collective level.”

In California, where the median home price recently eclipsed $800,000 and more than 100,000 people sleep outside each night, a vision of a single-family home with a yard to enjoy the sun is encoded in residents’ dreams. The move to pass zoning reform has been a yearslong odyssey with the twists and turns of a screenplay.

It began in 2018, when Mr. Wiener introduced a bill, S.B. 827, that would have allowed eight-story buildings near major transit stops, regardless of local zoning rules. After the bill failed, Mr. Wiener introduced a similar measure called S.B. 50, which was voted down in early 2020. Moments after the S.B. 50 vote, Ms. Atkins gave a floor speech in which she said “the status quo cannot stand” and vowed “a housing production bill will succeed this year.”

The next month she convened a Senate housing group that designed a new package of bills that included a duplex bill similar to this year’s S.B. 9. The measure passed the Senate and made it to the Assembly floor on the last day of the legislative session. As the clock crept toward midnight, Buffy Wicks, a Democratic Assembly member from Oakland who was not allowed to vote by proxy, arrived masked and holding her newborn to give an impassioned speech in favor of the bill. The bill passed the Assembly but was unable to clear a Senate concurrence vote before the session ended.

Single-family-only zoning is something of a California creation: In 1916, Berkeley became what was probably the first U.S. city to restrict neighborhoods to one-family homes. A century later it’s become a bedrock value that homeowners across the nation euphemistically describe as maintaining “neighborhood character.”

According to an analysis of the bill by the Terner Center, S.B. 9 would enable the creation of an estimated 700,000 more units in the state’s existing neighborhoods (California permits roughly 100,000 new housing units each year). The bill’s crucial feature, Ms. Atkins said, is that by allowing homeowners to split their lots it would expand homeownership instead of just rental housing.

In a series of speeches before the vote, phrases like “gradual density” were countered with “planning chaos.” Some Assembly members said it would expand generational wealth. Others said it would destroy it.

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Biden Details $1.52 Trillion Spending Proposal to Fund Discretionary Priorities

WASHINGTON — President Biden outlined a vast expansion of federal spending on Friday, calling for a 16 percent increase in domestic programs as he tries to harness the government’s power to reverse what officials called a decade of underinvestment in the nation’s most pressing issues.

The proposed $1.52 trillion in spending on discretionary programs would significantly bolster education, health research and fighting climate change. It comes on top of Mr. Biden’s $1.9 trillion stimulus package and a separate plan to spend $2.3 trillion on the nation’s infrastructure.

Mr. Biden’s first spending proposal to Congress showcases his belief that expanding, not shrinking, the federal government is crucial to economic growth and prosperity. It would direct billions of dollars toward reducing inequities in housing and education, as well as making sure every government agency puts climate change at the front of its agenda.

It does not include tax proposals, economic projections or so-called mandatory programs like Social Security, which will all be included in a formal budget document the White House will release this spring. And it does not reflect the spending called for in Mr. Biden’s infrastructure plan or other efforts he has yet to roll out, which are aimed at workers and families.

Trump administration’s efforts to gut domestic programs.

But Mr. Biden’s plan, while incomplete as a budget, could provide a blueprint for Democrats who narrowly control the House and Senate and are anxious to reassert their spending priorities after four years of a Republican White House.

Democratic leaders in Congress hailed the plan on Friday and suggested they would incorporate it into government spending bills for the 2022 fiscal year. The plan “proposes long overdue and historic investments in jobs, worker training, schools, food security, infrastructure and housing,” said Senator Patrick J. Leahy of Vermont, the chairman of the Appropriations Committee.

Shalanda D. Young, who is serving as Mr. Biden’s acting budget director, told congressional leaders that the discretionary spending process would be an “important opportunity to continue laying a stronger foundation for the future and reversing a legacy of chronic disinvestment in crucial priorities.”

The administration is focusing on education spending in particular, seeing that as a way to help children escape poverty. Mr. Biden asked Congress to bolster funding to high-poverty schools by $20 billion, which it describes as the largest year-over-year increase to the Title I program since its inception under President Lyndon B. Johnson. The program provides funding for schools that have high numbers of students from low-income families, most often by providing remedial programs and support staff.

The plan also seeks billions of dollars in increases to early-childhood education, to programs serving students with disabilities and to efforts to staff schools with nurses, counselors and mental health professionals — described as an attempt to help children recover from the pandemic, but also a longstanding priority for teachers’ unions.

Mr. Biden heralded the education funding in remarks to reporters at the White House. “The data shows that it puts a child from a household that is a lower-income household in a position if they start school — not day care — but school at 3 and 4 years old, there’s overwhelming evidence that they will compete all the way through high school and beyond,” he said.

There is no talk in the plans of tying federal dollars to accountability measures for teachers and schools, as they often were under President Barack Obama.

his vision of having every cabinet chief, whether they are military leaders, diplomats, fiscal regulators or federal housing planners, charged with incorporating climate change into their missions.

The proposal aims to embed climate programs into agencies that are not usually seen as at the forefront of tackling global warming, like the Agriculture and Labor Departments. That money would be in addition to clean energy spending in Mr. Biden’s proposed infrastructure legislation, which would pour about $500 billion on programs such as increasing electric vehicle production and building climate-resilient roads and bridges.

Strategic National Stockpile, the country’s emergency medical reserve, for supplies and efforts to restructure it that began last year. Nearly $7 billion would create an agency meant to research diseases like cancer and diabetes.

Reporting was contributed by Coral Davenport, Zolan Kanno-Youngs, Lisa Friedman, Brad Plumer, Christopher Flavelle, Mark Walker, Dana Goldstein, Mark Walker, Noah Weiland, Margot Sanger-Katz, Lara Jakes, Noam Scheiber, Katie Benner and Emily Cochrane.

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That Spotty Wi-Fi? There’s $100 Billion to Fix It.

WASHINGTON — Kimberly Vasquez, a high school senior in Baltimore, faced a tough problem when the pandemic began. She had no fast internet service in her home, but all her classes were online.

Marigold Lewi, a sophomore at the same school, was regularly booted off Zoom classes because of her slow home connection.

Ms. Lewi spent a lot of time explaining Zoom absences to teachers. Ms. Vasquez sat outside local libraries to use their internet access and at times used her phone. The two of them helped push a successful public campaign for better and free service to low-income families in the city.

His $2 trillion infrastructure plan, announced on Wednesday, includes $100 billion to extend fast internet access to every home.

The money is meant to improve the economy by enabling all Americans to work, get medical care and take classes from wherever they live. Although the government has spent billions on the digital divide in the past, the efforts have failed to close it partly because people in different areas have different problems. Affordability is the main culprit in urban and suburban areas. In many rural areas, internet service isn’t available at all because of the high costs of installation.

“We’ll make sure every single American has access to high-quality, affordable, high speed internet,” Mr. Biden said in a speech on Wednesday. “And when I say affordable, I mean it. Americans pay too much for internet. We will drive down the price for families who have service now. We will make it easier for families who don’t have affordable service to be able to get it now.”

Longtime advocates of universal broadband say the plan, which requires congressional approval, may finally come close to fixing the digital divide, a stubborn problem first identified and named by regulators during the Clinton administration. The plight of unconnected students during the pandemic added urgency.

F.C.C. announced $50 to $75 broadband subsidies for low-income families from $3.2 billion granted by Congress in December for emergency digital divide funding. Both programs involve one-time emergency funding to address broadband access problems exacerbated by the pandemic.

The administration’s $100 billion plan aims to connect even the most isolated residents: the 35 percent of rural homes without access. In those areas, the White House said, it would focus on “future-proof” technology, which analysts take to mean fiber and other high-bandwidth technology. The administration highlighted its support for networks run and owned by municipalities, nonprofits and rural electrical cooperatives. Several states have banned municipal broadband networks, and the F.C.C. failed in its attempts to overturn those bans in court during the Obama administration.

The Biden infrastructure plan faces a tough path in Congress. Republicans have pushed back on the cost. They even argue about definitions of broadband. Republicans balk at some proposals to require faster broadband standards — such as 25 megabits for downloads and as much as 25 megabits for uploads, which they say is a bar too high for providers in rural areas. Those speeds would allow multiple family members to be on videoconferencing, for example.

“I believe that this would make it harder to serve those communities that don’t have broadband today,” Michael O’Rielly, a former F.C.C. commissioner, told the House commerce committee last month.

Educators lobbied Congress throughout the pandemic to extend broadband in the country. When little relief was in sight, some took matters into their own hands.

Last April and through the summer, administrators at the Brockton School District in Massachusetts bought more than 4,000 hot spots with their own funding and a federal loan. They were able to reduce the percentage of students without high-speed internet or a device to about 5 to 10 percent, from about 30 percent.

Superintendent Mike Thomas said the district was starting to go back to classrooms and would most likely be fully in person by the fall. But he plans to retain many aspects of distance learning, he said, particularly after-school tutoring.

In Baltimore, where an estimated 40 percent of households lack high-speed internet, students and community activists fought to raise awareness of their circumstances. Ms. Vasquez and Ms. Lewi held protests against Comcast, the dominant provider, for better speeds and lower costs for its much-publicized low-income program. Their group, Students Organizing a Multicultural and Open Society, also lobbied the Maryland legislature and the city to put a priority on affordable broadband for low-income households.

“We didn’t have options, and we deserved better,” Ms. Vasquez said.

Adam Bouhmad and some community activists began to install antenna “mesh” networks tapping into the hot spots of closed Baltimore schools to connect surrounding homes. Through a jury-rigged system of antennas and routers, Mr. Bouhmad’s group, Waves, got cheap or free internet service to 120 low-income families.

Mr. Biden’s promise to support alternative broadband providers could include projects like the one led by Mr. Bouhmad, who said the past year had shown how scant broadband options had left residents in Baltimore in the lurch.

“Investment upfront to build out infrastructure and support internet providers is fantastic,” Mr. Bouhmad said. He added that residents in places like Baltimore would continue to need federal subsidies and that the administration should focus on the costs of broadband as a major hurdle.

“Availability doesn’t equal accessibility in terms of price and user experience,” he said.

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The pandemic showed how broken nursing homes are. But the alternatives aren’t easy.

The pandemic has intensified a spotlight on long-running questions about how communities can do a better job supporting seniors who need care but want to live outside a nursing home.

The coronavirus had taken the lives of 181,000 people in U.S. nursing homes, assisted living and other long-term care facilities through last weekend, according to the Kaiser Family Foundation — 33 percent of the national toll.

The occupancy rate in nursing homes in the fourth quarter of 2020 was 75 percent, down 11 percentage points from the first quarter, according to the National Investment Center for Seniors Housing & Care, a research group. The shift may not be permanent, but this much is clear: As the aging of the nation accelerates, most communities need to do much more to become age-friendly, said Jennifer Molinsky, senior research associate at the Joint Center for Housing Studies at Harvard.

“It’s about all the services that people can access, whether that’s the accessibility and affordability of housing, or transportation and supports that can be delivered in the home,” she said.

Mark Miller reports for The New York Times:

  • A major shortage of age-friendly housing in the United States will present problems for seniors who wish to stay in their homes. By 2034, 34 percent of households will be headed by someone over 65, according to the Harvard center. Yet in 2011, just 3.5 percent of homes had single-floor living, no-step entry and extra-wide halls and doors for wheelchair access, according to Harvard’s latest estimates.

  • Medicare does not pay for most long-term care services, regardless of where they happen; reimbursement is limited to a person’s first 100 days in a skilled nursing facility. Medicaid, which covers only people with very low incomes, has long been the nation’s largest funder of long-term care. From its inception, the program was required to cover care in nursing facilities but not at home or in a community setting. “There’s a bias toward institutions,” said Judith Solomon, a senior fellow specializing in health at the Center on Budget and Policy Priorities.

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What Sky Bet, The Gambling App, Knows About You

LONDON — When Gregg finally stopped gambling in late 2018, he was in a dire financial position. He had lost nearly $15,000 during a nine-month betting binge, on top of two outstanding loans totaling more than $70,000 and a mortgage of more than $150,000 on his small home in Britain.

Now he is on a hunt to know whether his favorite gambling app, Sky Bet, knew about his problems and still tried to hook him.

Records show that Sky Bet had what amounted to a dossier of information about Gregg. The company, or one of the data providers it had hired to collect information about users, had access to banking records, mortgage details, location coordinates, and an intimate portrait of his habits wagering on slots and soccer matches.

After he stopped gambling, Sky Bet’s data-profiling software labeled him a customer to “win back.” He received emails like one promoting a chance to win more than $40,000 by playing slots, after marketing software flagged that he was likely to open them. A predictive model even estimated how much he would be worth if he started gambling again: about $1,500.

More than a dozen states, including New Jersey, Nevada and Virginia, now allow app-based gambling.

London lawyer behind the effort to obtain Gregg’s data. “When we start to look inside the vault, as we are here, then we see how vulnerabilities are laid out to the platforms.”

report published last year said 60 percent of the gambling industry’s profits came from the 5 percent of customers who were “problem gamblers,” or at risk of becoming so.

“We’re trying to get transparency,” Mr. Naik said. “It shouldn’t take this much work from lawyers to figure out what’s going on.”

Sky Bet was the most popular gambling app in Britain last year, downloaded roughly 140,000 times per month, according to the market research firm Apptopia. Once controlled by Rupert Murdoch’s British media company, Sky, it is now owned by Flutter Entertainment, which owns a number of casino apps and generated about $7.4 billion in revenue last year.

In Sky Bet’s privacy policy, which runs over 10,000 words, the company says it collects personal information including browsing history, spending, demographic data and behavioral information, such as the sports a person likes to bet on. The data, which can be shared across at least 12 gambling services owned by Flutter, is used for marketing and personalization, while financial information is collected for money-laundering and fraud protection, the policy says.

chat service for sports fans. “If you use that data in a way that you know, or should know, is harmful to your users, then that’s a serious problem.”

Mr. Naik, who previously helped uncover data misuse by the political consulting firm Cambridge Analytica, was contacted last year by Gregg, who was seeking help getting copies of data from Sky Bet and companies it used to profile users.

The data that he and Mr. Naik obtained included a 34-page breakdown of his financial history from a company called CallCredit, which conducts fraud and identify checks for Sky Bet. It contained information about his bank accounts, debts and mortgage, with details down to monthly payments. In bold was a loan default in March 2019.

Another company used by Sky Bet, Iovation, provided a spreadsheet with nearly 19,000 fields of data, including identification numbers for devices that Gregg used to make deposits to his gambling account and network information about where they were made from.

totaled $7.3 billion, nearly double the next-largest market, Japan, according to Global Betting and Gaming Consultants, an industry research group. This week, four of the top five free sports apps on Apple’s App Store in Britain are gambling related. The companies own and sponsor soccer teams and dominate advertising during televised sporting events.

The country is at the center of the global debate about regulating the new generation of betting apps. The government has opened a review of gambling laws that will include the consideration of new rules for data use and affordability checks, according to the agency conducting the review.

Lawmakers should pass new regulations that allow companies to use data to spot problem gamblers but limit how it can be used for marketing and other sales objectives, said James Noyes, a senior fellow at the Social Market Foundation, a London think tank.

“They detect your pattern of play, your likes, dislikes, spending tendencies and exposure to risk,” Mr. Noyes said. “It’s taking information about you and turning it right back on you.”

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What a Gambling App Knows About You

LONDON — When Gregg finally stopped gambling in late 2018, he was in a dire financial position. He had lost nearly $15,000 during a nine-month betting binge, on top of two outstanding loans totaling more than $70,000 and a mortgage of more than $150,000 on his small home in Britain.

Now he is on a hunt to know whether his favorite gambling app, Sky Bet, knew about his problems and still tried to hook him.

Records show that Sky Bet had what amounted to a dossier of information about Gregg. The company, or one of the data providers it had hired to collect information about users, had access to banking records, mortgage details, location coordinates, and an intimate portrait of his habits wagering on slots and soccer matches.

After he stopped gambling, Sky Bet’s data-profiling software labeled him a customer to “win back.” He received emails like one promoting a chance to win more than $40,000 by playing slots, after marketing software flagged that he was likely to open them. A predictive model even estimated how much he would be worth if he started gambling again: about $1,500.

More than a dozen states, including New Jersey, Nevada and Virginia, now allow app-based gambling.

They said the companies behind the apps required more oversight and are calling for tougher laws to identify problem gamblers and prevent data from being used in underhanded and predatory ways.

London lawyer behind the effort to obtain Gregg’s data. “When we start to look inside the vault, as we are here, then we see how vulnerabilities are laid out to the platforms.”

report published last year said 60 percent of the gambling industry’s profits came from the 5 percent of customers who were “problem gamblers,” or at risk of becoming so.

“We’re trying to get transparency,” Mr. Naik said. “It shouldn’t take this much work from lawyers to figure out what’s going on.”

Sky Bet was the most popular gambling app in Britain last year, downloaded roughly 140,000 times per month, according to the market research firm Apptopia. Once controlled by Rupert Murdoch’s British media company, Sky, it is now owned by Flutter Entertainment, which owns a number of casino apps and generated about $7.4 billion in revenue last year.

Flutter, like Sky Bet, declined to comment for this article. In Sky Bet’s privacy policy, which runs over 10,000 words, the company says it collects personal information including browsing history, spending, demographic data and behavioral information, such as the sports a person likes to bet on. The data, which can be shared across at least 12 gambling services owned by Flutter, is used for marketing and personalization, while financial information is collected for money-laundering and fraud protection, the policy says.

At least eight times in the privacy policy, the company suggests that people who don’t want all that data collected “not use our services and to close your account.”

chat service for sports fans. “If you use that data in a way that you know, or should know, is harmful to your users, then that’s a serious problem.”

Mr. Naik, who previously helped uncover data misuse by the political consulting firm Cambridge Analytica, was contacted last year by Gregg, who was seeking help getting copies of data from Sky Bet and companies it used to profile users.

The data that he and Mr. Naik obtained included a 34-page breakdown of his financial history from a company called CallCredit, which conducts fraud and identify checks for Sky Bet. It contained information about his bank accounts, debts and mortgage, with details down to monthly payments. In bold was a loan default in March 2019.

Another company used by Sky Bet, Iovation, provided a spreadsheet with nearly 19,000 fields of data, including identification numbers for devices that Gregg used to make deposits to his gambling account and network information about where they were made from.

A document from Signal, a company used by Sky Bet that provides tools for tracking users online and offline, listed personal characteristics, like Gregg’s history of playing slots and making soccer his favorite sport to bet on.

totaled $7.3 billion, nearly double the next-largest market, Japan, according to Global Betting and Gaming Consultants, an industry research group. This week, four of the top five free sports apps on Apple’s App Store in Britain are gambling related. The companies own and sponsor soccer teams and dominate advertising during televised sporting events.

The country is at the center of the global debate about regulating the new generation of betting apps. The government has opened a review of gambling laws that will include the consideration of new rules for data use and affordability checks, according to the agency conducting the review.

Lawmakers should pass new regulations that allow companies to use data to spot problem gamblers but limit how it can be used for marketing and other sales objectives, said James Noyes, a senior fellow at the Social Market Foundation, a London think tank.

“They detect your pattern of play, your likes, dislikes, spending tendencies and exposure to risk,” Mr. Noyes said. “It’s taking information about you and turning it right back on you.”

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To Help Black Developers, Programs Start With Access to Capital

For 15 years, Harvey Yancey has been building and renovating market-rate homes, affordable housing and commercial spaces in Washington, D.C. During that time, his company, H2DesignBuild, has navigated funding challenges and found its way into beneficial deals.

But all along, Mr. Yancey, who is Black, said he was aware of the industry’s racial homogeneity and the limitations he faced because of his skin color. “It was always the quiet conversation in the room,” he said.

Today, commercial real estate remains a field in which the vast majority of developers are white. Few reliable statistics are available, but the industry association NAIOP reported in a 2013 survey, the most recent year available, that 4.4 percent of commercial real estate professionals were Black. This year, just 5 percent of Urban Land Institute’s members described themselves as Black or African-American.

The disparity has many sources, including many African-Americans’ unfamiliarity with the field and subsequent dearth of connections. But the biggest challenge, Black developers say, is gaining access to capital, including loans, loan guarantees and equity. That may be the result of limited balance sheets, short track records or a lack of wealthy and influential networks. As a result, their firms struggle to grow and remain on the margins as cities around the country see their downtowns reshaped by other, deep-pocketed developers.

overwhelmingly white, though its leaders are pledging to change.

Banking giants like Bank of America, Citigroup and JPMorgan Chase, as well as smaller institutions, have announced initiatives totaling billions of dollars that are largely focusing on communities and entrepreneurs of color. Some of the funding is earmarked for affordable housing and commercial development in low-income communities, which will benefit all real estate developers.

Longtime practitioners and analysts in the field say that if new dollars are to redress the industry’s racial imbalance, the funds need to be carefully designed so that more of the money winds up in the hands of Black developers.

In October, JPMorgan Chase announced a $30 billion initiative to advance racial equity that included substantial commitments for minority-led small businesses and Black and Latino households. The announcement also listed $14 billion in new loans and investments over the next five years to expand affordable rental housing in low-income communities.

announced $200 million of equity and financing for affordable housing projects by minority developers.

net worth of a typical Black family in America was one-tenth that of a white family, according to a study by the Brookings Institution. Black developers say that coming up with several million dollars in “friends and family” equity is often impossible because their networks don’t have that kind of money.

“Equity capital is not readily available,” said Craig Livingston, a managing partner at Exact Capital and the chairman of the New York Real Estate Chamber. He and his colleagues may have incredible track records, he said, “but when competing with second- or third-generation developers, we don’t have the same financial footing or access to risk capital.”

A few initiatives have emerged that focus on this problem. In June, for instance, Morgan Stanley and the Ford Foundation started a $26 million fund that provides equity to emerging minority- and women-owned companies. The fund — which is the result of almost a decade of strategizing about how to best help developers of color — will be managed by TruFund Financial Services, a Community Development Financial Institution.

And Blue Vista, an investment management firm in Chicago, is creating a $100 million private equity fund for minority and women-owned real estate businesses. Moved by the racial justice protests this summer, Robert G. Byron, a co-founder of the firm, examined the company’s history and found that the deals in which the company had provided capital to novice companies led by people of color and women had worked out well.

Blue Vista structured its new fund in response, with a plan to provide seed capital and mentoring to a handful of talented newer developers. Within a few years, recipients are more likely to be ready to seek capital from more established sources.

Blue Vista’s program is similar to one that Don Peebles, a successful Black developer in New York, announced in 2019. Mr. Peebles is aiming to gather $450 million in investments for undercapitalized developers in several key markets. But among private equity firms, Mr. Byron says, there doesn’t seem to be any real competition to find and invest in these developers.

“Just by scratching the surface, without marketing, we’ve found really capable people — smart, talented, experienced,” Mr. Byron said. And investors are excited, too.

“What I hear from both investors and potential users is, ‘This is exactly what we’ve been clamoring for,’” he said. “It’s kind of a no-brainer.”

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The Popsicle Place Program in Seattle Helps Families in Need

It’s tough to afford housing in many cities across the U.S., but in Seattle, it’s a particularly competitive market.

Living in an urban area with such a high cost of living can break a family when emergencies arise, but luckily for the people of Seattle, Mary’s Place has been relieving housing burdens since 1999.

Initially established as a women’s day center, Mary’s Place has evolved and expanded into a housing facility. It now provides a warm bed for 680 family members every night of the year.

As the shelter’s website states, “The Mary’s Place model is simple – partner with anyone and everyone who can help to address the issue of family homelessness: congregations, individuals, cities and counties, and businesses of all sizes.”

It seems to be a phenomenally successful model – and it only continues to grow. The Popsicle Place program, formed in 2018, is a Mary’s Place program focused on assisting families who are simultaneously experiencing homelessness and caring for medically complex or critically ill children.

A devastating statistic says that 1 in every 285 children in the U.S. alone will be diagnosed with cancer before the age of 20, and many more will be hospitalized for serious illness and injury. Additionally, 60 percent of people with the highest rent burden can’t cover three months of expenses.

Serious illness can put many families in financial crisis, and the stress of caring for children in need of medical intervention as well as maintaining livelihood for the whole family can be debilitating.

But at Popsicle Place, families don’t have to worry about costly emergency housing options, like motels, or choosing between having a place to live and having a healthy child. They also don’t have to worry about spending the night apart, since the Popsicle Place has a medical staff and volunteers on hand so that every member of the family can rest comfortably, in private rooms, all under one roof – regardless of health status.

While a small housing operation can’t alleviate every concern for families in medical and financial distress, simply having a bit of support can provide immense relief – relief that those families need to take their next step.

“Not only do they have their own private rooms,” says Marty Hartman, executive director of Mary’s Place, “but they also have access to our healthcare clinic. They have a Popsicle Place lounge, where if their children aren’t feeling so well or if they have immunocompromised conditions, they can go in there and relax. [We] just want to set them all up for success.”

And that they do, with excellent results.

The Mary’s Place blog recently shared the story of a single mother of three named Nycolle. When she found black mold in her apartment, she was forced to immediately leave with her children, each of them with their own unique and demanding healthcare requirements, leaving them in need of emergency housing. That’s where the Popsicle Place program came in.

“Being at Mary’s Place gave me peace of mind,” says Nycolle in the article, “knowing we had electricity for Karlah’s treatments and refrigeration for Krystoffer’s medications. It let me focus on keeping them well!”

With their basic needs managed, the family members soon found a large, affordable 3-bedroom house in Spokane and happily relocated. They now enjoy a large yard, as well as a home to call their own.

That’s exactly what the program is all about, according to Hartman. “Let’s get you the housing options that you need and then move you forward.”

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Source: zillow.com

Why Cities Must Become Affordable for the Middle Class

This article was originally published on attn.com.

Cities need the middle class. They need nurses and teachers. Yet if people have a well-paying job like those, they’re finding it increasingly difficult to afford to pay for a house in the city in which they work. Cities tend to have the most job opportunities, but they also have the highest cost of living. In recent years, the housing costs in urban areas have grown more than anywhere else.

“This isn’t just a coastal problem,” explains Zillow economist Dr. Svenja Gudell. “We’re seeing rapidly appreciating home values in places like Nashville, Provo, Charlotte, Orlando. These people that have good jobs are running into the problem that they simply cannot afford to live in cities anymore.”

Not enough to go around

So, what happened that is causing housing costs to rise so much? A classic problem of supply and demand. “We’re in a really strong part of the recovery,” says Gudell, “and it comes down to not enough homes available to sell right now, but a lot of people demanding housing.”

Even though cities are becoming unaffordable, there is still an intense desire for people – especially millennials – to move there.

“For a lot of people, their jobs are actually located in cities, so the appeal of a short commute is right there,” says Gudell. “Millennials are starting to think about renting, leaving their parents’ basements and perhaps even buying their first homes. They have a preference to be in cities, oftentimes. The acute inventory shortage that is being experienced all across the country right now is because cities don’t have as many single-family homes. They have more condos available.”

Smaller and smaller

Brooklyn. New York; Shutterstock ID 684623227

Unfortunately for potential buyers, there are not many choices that you can make in this situation of high demand/short supply.

“You can choose to simply rent,” says Gudell, “but you end up missing out on wealth building because you don’t actually invest in equity by paying off a mortgage. Or you have to choose to move farther out, where housing gets a bit cheaper, but then you face very long commutes.”

If you’re in an average, middle class-paying job, buying a home in a city with your current employment isn’t realistic at all. Unless that home is under 500 square feet – about the size of a toolshed. For the biggest cities like New York, Los Angeles, San Francisco or Washington, D.C., your average affordability falls to under 300 square feet.

So, why shouldn’t we have cities be just for wealthy people, and suburbs and rural areas for people who are not? “In every city, you’ll find a coffee shop,” says Gudell. “You’ll need garbage pickup, you’ll need all these things, and it simply doesn’t work to say, ‘If you’re a janitor, you’re going to have to commute in for an hour and a half, but if you’re ua-rich, you can live in the city.'”

Fill in the cities

The middle class should be able to afford the cities they serve without incurring the burden and long-term physical and mental stressors of a multi-hour commute. With America’s supply and demand problem not getting any better, there are certain steps that both governments and the private sector could do to try to help impact cost in a positive way.

“Cities have to evolve with the times, and that means adding more units,” says Gudell. “People oftentimes are afraid that higher-density living will ruin their cities, but in the end, higher density will just change the character of a city. It won’t ruin it. But pushing people out and having only a city for the rich will probably ruin cities.”

All photos from Shutterstock.

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Source: zillow.com