Editorial: Changes to Palm Beach County's housing program late but welcomed

It was bound to happen: After disclosures of tenants being overcharged and questionable decisions over the years by Palm Beach County commissioners and staff that undermined efforts to curb high rents and mortgage rates, the county is finally taking a closer look at its workforce housing program.

To quote recording artist Lizzo: "It's about d--- time."

Violations found at the Wellington Club apartments in Lake Worth revealed weak oversight that allowed the complex to count vacant units toward its required number of workforce units, and in some cases, even when eligible tenants were paying higher rents in regular units nearby. In the wake of The Palm Beach Post's examination, the county inspector general is conducting an audit of the county's largest program that addresses housing unaffordability, and one county commissioner has called for stronger oversight of rental properties participating in the program.

“In reflection of what was in the paper about a month ago, we need to make sure that there’s a check and balance,” Commissioner Maria Marino said regarding the Post's disclosures. “We need to make sure... so that those units, the rental units especially, stay in that pool and are being rented appropriately.”

Housing woes:Tenants in county's largest workforce housing site overcharged by hundreds for years

Breaks for developers:County caved repeatedly on housing for workers. Now it’s a crisis.

Workforce housing:Do you qualify for workforce housing in Palm Beach County? You might be surprised

Stronger oversight is overdue but welcomed. A favorable outcome resulting in more accountability and transparency will instill greater confidence in county efforts to address a problem that has made it difficult for residents to live, work and play in Palm Beach County.

High housing costs hurt. They make it difficult for residents to find homes near their jobs, and the costs rob employers of employees who may be willing to work but are unable to afford area rents and mortgages. The median cost of a single-family home in Palm Beach County in December was $545,000, a 3.8% increase from the same time a year ago. The average sale price last month was $825,243, fueled by a still meager supply of housing inventory for sale.

The rental market, though overheated, is showing signs of cooling. The median rent for an apartment in West Palm Beach fell 2.6% from the beginning of 2022 through November, according to the online rental platform Apartment List. Monthly increases in South Florida were up less than 1%, according to researchers at Florida Atlantic University, Florida Gulf Coast University and the University of Alabama.

To counter the high costs of housing, the county started the workforce housing program in 2006 to ensure that middle-class families — particularly police, firefighters, teachers and other government employees and essential workers — had a chance at obtaining affordable housing. The initiative requires developers to set aside more moderately priced units that people earning less than $126,420 can afford to rent.

Real estate news:2022 home sales tank, to lowest since 2013

And this:5 times developers benefited from looser workforce-housing rules in Palm Beach County

Unfortunately, this worthwhile initiative has been plagued by actions in and out of the county's control. Over the years, a bevy of decisions by the county commission undermined the program's ultimate goal. Facing pressure from influential builders, the county repeatedly cut the number of moderately priced homes required from the developers. Over the program's 16 years, county officials stalled on efforts to strengthen the requirements.

Initially, the county wanted developers to provide 20% of new housing built in areas outside cities to be designated as workforce housing. The builders balked, which led to negotiations between the developers and county staff, who worried that without a compromise, they wouldn't get final approval from commissioners to start the program. The staff agreed to lower the minimum requirement to 15%. By the time the commissioners approved the program a month later, that figure had dropped to 7%. It was later cut to 2.5%, with the only chance of builders adding more workforce housing coming with county approval for increased density to build more units on their properties.

Not exactly the best look for the county, particularly as it moves forward in devising a plan to spend a $200 million bond issue that gives the county leverage to entice developers to offer cheaper mortgages and rents. County residents deserve better than what the history of the workforce housing program has shown so far.

This article originally appeared on Palm Beach Post: Palm Beach County tightening affordable housing program is welcome