��������

I’M SOLEDAD O’BRIEN. WELCOME TO MATTER OF FACT. TODAY WE’RE TALKING ABOUT HOUSING AND THE COST OF LIVING. WORKING A JOB, A SECOND JOB, OR SOMETIMES A SIDE HUSTLE AND STILL NOT ABLE TO COVER THOSE BASIC COSTS. HER ORGANIZATION IS TRACKING PEOPLE’S INCOME VERSUS EXPENSES. WE WANT THIS SOLID DATA IN THE HANDS OF PEOPLE WHO CAN TAKE ACTION. THE SOLUTIONS THEY’VE DISCOVERED TO HELP EASE THE BURDEN OF EVERYDAY COSTS. AND ONE OF THE BIGGEST FINANCIAL EXPENSES, THE COST OF HOUSING. I LOOKED AT THE LEASE AND JUST NOTICED THE COST CHANGE AND LIKE, NO, IT’S GOT TO BE A PROBLEM HERE. HOW A NONPROFIT IS HELPING MILWAUKEE RESIDENTS GO FROM RENTERS TO OWNERS. BUT FIRST, I LEARNED HOW TO PUT DOWN FLOORING. I LEARNED HOW TO DO CABINETS. THIS REALTOR AND INVESTOR WAS BUYING AND FLIPPING HOMES WHEN SHE HAD AN IDEA. MOST OF THEM HAD SQUATTERS. MOST OF THE PEOPLE, OF COURSE, WERE SUBSTANCE ABUSERS. COULD HER PLAN ACTUALLY ADDRESS TWO PROBLEMS AT ONCE VACANT HOMES AND DRUG ADDICTION? THAT STORY RIGHT NOW ON MATTER OF FACT. THIS IS A STORY OF HOPE IN A PLACE WITH ITS SHARE OF DESPAIR. IN 2023, BALTIMORE CITY SAW MORE THAN 1000 DRUG AND ALCOHOL RELATED DEATHS. THE MAJORITY OF THOSE WERE CAUSED BY THE SYNTHETIC OPIOID FENTANYL. WHILE EARLY DATA IS SUGGESTING THE OVERDOSE RATE DECLINED LAST YEAR, FRAUD WITHIN THE TREATMENT INDUSTRY AND A LACK OF AFFORDABLE HOUSING OFTEN HINDER PEOPLE’S EFFORTS TO GET AND STAY CLEAN. ONE BALTIMORE REALTOR LOOKING FOR AN OPPORTUNITY, STUMBLED UPON WHAT COULD BE A SOLUTION. OUR CORRESPONDENT JESSICA GOMEZ HAS THE STORY FROM THE STREETS OF WEST BALTIMORE, A PLACE SO MANY HAVE ABANDONED. THIS IS WHERE ALL THE DRUG DEALERS HANG, BUT IT’S WHERE ANGEL BROWN SEES OPPORTUNITY. WE HAVE OVER 14,000 VACANT PROPERTIES IN BALTIMORE CITY. HELLO. IT WAS MORE THAN A DECADE AGO THAT ANGEL FLIPPED HER FIRST PROPERTY. SINCE THEN, THE REALTOR AND CONTRACTOR HELPING TO BREATHE NEW LIFE INTO DOZENS OF BALTIMORE’S VACANT HOUSES. I LOVED SHOWING HOUSES. I LOVED SEEING SMILES ON PEOPLE’S FACES WHEN THEY GOT APPROVED FOR LOANS. THIS IS GOING TO BE ALL NEW WIRING, NEW PLUMBING. BUT SHE QUICKLY LEARNED THAT THE CENTURY OLD PLUMBING HERE ISN’T THE BIGGEST PROBLEM. IT WAS SCARY ACTUALLY. WALKING INTO A LOT OF THE VACANT HOMES BECAUSE MOST OF THEM HAD SQUATTERS, HOMELESS PEOPLE WHO HAD NOWHERE TO GO. MOST OF THE PEOPLE, OF COURSE, WERE SUBSTANCE ABUSERS. AND THEN WE PROBABLY HAVE TO DO THE EXTERIOR STAIRS AS WELL. SO ANGEL AND HER HUSBAND, DAMON, BOTH OF WHOM GREW UP WITH PARENTS WHO STRUGGLED WITH ADDICTION, CAME UP WITH A PLAN. WE SAY, HEY, WE HAVE THESE RESOURCES, WE HAVE THESE PROPERTIES. I’M A REGISTERED NURSE. I KNOW HOW TO TREAT THESE PEOPLE. LET’S GET TOGETHER. LET’S START OUR OWN PROGRAM. IT WOULD JUST BE ONE OF THEM DAYS WHERE IT’S JUST NOT MY DAY, YOU KNOW WHAT I MEAN, REPORTER. IN 2016, THEY OPENED NEW WAVE HEALTH SERVICES, A SUBSTANCE ABUSE AND MENTAL HEALTH TREATMENT CENTER. SO CLICK ON THAT LINK. THEY’RE ADDING WORKFORCE DEVELOPMENT ASSISTANCE, FINANCIAL AND GED CLASSES. WE HAD SO MANY PEOPLE WHO SIGNED UP. WE WERE OVERWHELMED. YOU WANT TO DO MIDNIGHT SHIFT TONIGHT? MIDNIGHT SHIFT OKAY. OVERWHELMED NOT ONLY BY THE NEED FOR TREATMENT, BUT ALSO FOR LONG TERM HOUSING. THEY HAVE NOWHERE TO GO. MOST WILL GO TO A SHELTER, WHICH, AFTER YOU’VE DONE ALL THAT TREATMENT AND NOW YOU HAVE TO GO BACK TO A SHELTER OR LIVE UNDER THE BRIDGE. ALL THAT WE DID WENT OUT THE WINDOW. HOUSING IS FIRST FOR THEM AND SAY AMEN. AMEN. SO FAR, NUWAVE OPENING UP MORE THAN 30 OF THOSE ONCE VACANT HOMES FOR PARTICIPANTS DURING AND AFTER TREATMENT. TO MOVE FORWARD, YOU GOT TO REMEMBER SOME PART OF THE PAST, RIGHT? LAMAR MCROY IS 18 MONTHS CLEAN. HE WORKS FOR NUWAVE AS A HOUSING COORDINATOR. WHEN I LOOK AT THIS, I LOOK AT LIKE MY MY PAST. THAT’S GOOD. YOU WANT TO STIR THE BROCCOLI? HE AND HIS FIANCE, AMANDA EYLER FINALLY HAVE A PLACE TO LIVE AS THEY RECOVER FROM THE PHYSICAL AND EMOTIONAL SCARS CAUSED BY YEARS OF ADDICTION AND HOMELESSNESS. SHE’S NOT LOOKING AT US AS JUST PEOPLE. THAT’S HERE FOR A SHORT STAY AND THEY GOT TO GO. I THINK THAT EVERYBODY’S READY. NUWAVE CLINICAL DIRECTOR DOCTOR JUDY SHEPHARD CAME HERE FRUSTRATED BY THE LACK OF PROGRESS AT OTHER TREATMENT FACILITIES. THE MARYLAND DEPARTMENT OF HEALTH TEMPORARILY HALTING NEW LICENSES FOR CERTAIN PROGRAMS AFTER ALLEGATIONS OF FRAUD AND WASTE WITHIN THE INDUSTRY. WE NEED A CHANGE. WE NEED A REVOLUTION. AND THEN INTAKE HEALTH SCIENTIST AND NOW CITY COUNCILWOMAN FELICIA PORTER ALSO WANTS CHANGE. SHE’S BACKING ANGEL AND DAMON’S EFFORTS TO BRING A NEW MEDICAL AND SUBSTANCE ABUSE TREATMENT CENTER TO HER SOUTH BALTIMORE DISTRICT. I’VE SEEN IT WORK. I’VE ACTUALLY BEEN TO A FEW OF HER OTHER CLINICS. I WAS PLEASANTLY SURPRISED THAT THE HARM REDUCTION PROCESS, MAKING SURE THAT INDIVIDUALS AND FAMILIES ARE CONNECTED TO CARE, THAT IS EXACTLY WHAT’S HAPPENING IN NUWAVE. I’M GOING TO LISTEN TO YOU. SOMETIMES YOU JUST WANT TO JUST REACH DOWN AND HUG THEM REALLY TIGHT, AND THAT’S JUST NOT ENOUGH. WHAT HAPPENED YESTERDAY? IT WASN’T ENOUGH FOR 24 YEAR OLD CAM FIRST GIVEN DRUGS AT THE AGE OF FOUR. I’VE BEEN WORKING ON MY ADDICTION, BUT I HAVEN’T WORKED ON THE MENTAL PART AND JUST RELAPSING. AFTER A YEAR OF SOBRIETY. IT’S UPSETTING BECAUSE HE’S YOUNG. HE DOESN’T KNOW THAT HE’S WORTH IT. THE NEXT DAY HE WAS BACK ON THE STREETS. WHERE ARE YOU COMING FROM? WHERE I DIDN’T BELONG. CAM GETS A GRIP, BUT WITHIN A WEEK HE WOULD BARELY SURVIVE YET ANOTHER OVERDOSE. I HURT FOR THEM. I FELT LIKE SOME OF THEM ARE SO MISUNDERSTOOD. THEY’RE STIGMATIZED. AND I JUST WANT THEM TO GET WELL. NEW WAVE MISSION STATEMENT TO SERVE. CHECK THOSE INDIVIDUALS WHO HAVE BEEN BATTERED, BETRAYED, BELITTLE. DESPITE THE SETBACKS, ANGEL EMBRACING HER NEW MISSION FROM FLIPPING HOMES. SHE SAYS, TO FLIPPING PEOPLE, THEY COME IN ONE WAY AND I WANT TO SEE WHAT THEY’RE GOING TO LOOK LIKE WHEN THEY LEAVE, AND THEY ALWAYS LOOK DIFFERENT. AND WHEN YOU START TO SEE A HOUSE OR A PERSON LOOKING DIFFERENT, IT WARMS MY HEART. 61 DAYS. YEAH, THAT’S THE PLAN. THANK YOU. YEAH. ALL RIGHT, GUYS IN BALTIMORE FOR MATTER OF FACT. CAN’T WAIT TO SEE IT. I’M JESSICA GOMEZ. CAN’T WAIT, CAN’T WAIT, CAN’T WAIT. NEXT ON MATTER OF FACT, YOU HAVE A JOB AND A PLACE TO STAY, BUT ARE STILL SCRAPING TO GET BY. 42% OF HOUSEHOLDS DON’T EARN ENOUGH TO JUST AFFORD THAT BASIC SURVIVAL BUDGET. ONE ORGANIZATION’S EFFORT TO BUILD A MORE ACCURATE PICTURE OF WHAT IT ACTUALLY COSTS TO LIVE IN YOUR COMMUNITY. PLUS, FROM ZONING REFORM TO BUYERS ASSISTANCE. A LOOK AT HOW COMMUNITIES ACROSS THE COUNTRY ARE TRYING TO MAKE HOMEOWNERSHIP MORE OBTAINABLE. YOU’RE WATCHING, MATTER OF FACT, AMERICA’S NUMBER ONE NATIONALLY SYNDICATED PUBLIC AFFAIRS NEWS MAGAZINE. THE COST OF LIVING VARIES DEPENDING ON WHERE YOU ARE, MAKING IT HARD TO QUANTIFY THE ECONOMIC HARDSHIPS PEOPLE FACE. BUT ONE MEASUREMENT IS GAINING ATTENTION. IT’S CALLED ALICE ASSET LIMITED. INCOME CONSTRAINED, EMPLOYED. BASICALLY, PEOPLE WHO HAVE JOBS BUT ARE FINDING IT VIRTUALLY IMPOSSIBLE TO MAKE ENDS MEET. UNITED FOR ALICE WAS FOUNDED BY THE UNITED WAY OF NORTHERN NEW JERSEY TO BETTER TRACK AND RESEARCH. ALICE HOUSEHOLDS. IT FOUND A WHOPPING 42% OF U.S. HOUSEHOLDS WERE EITHER IN POVERTY OR QUALIFIED AS BELOW. THE ALICE THRESHOLD. STEPHANIE HOOPES IS THE NATIONAL DIRECTOR FOR UNITED FOR ALICE AND RECENTLY JOINED ME IN STUDIO. CAN YOU EXPLAIN EXACTLY WHAT IT MEANS TO BE AN ALICE HOUSEHOLD? IT’S THOSE FOLKS WHO WORK IN JOBS THAT WE NEED TO KEEP OUR ECONOMY RUNNING. AND YET AREN’T EARNING ENOUGH TO COVER THOSE BASIC HOUSEHOLD EXPENSES. OUR BUDGET, WE CALL THE ALICE HOUSEHOLD SURVIVAL BUDGET INCLUDES JUST THE BARE MINIMUM OF HOUSING, CHILDCARE, FOOD, TRANSPORTATION, HEALTH CARE, SMARTPHONE AND ALICE PAYS TAXES. SO WE CALCULATE THAT FOR EVERY COUNTY IN THE COUNTRY AND FIND THAT IN EVERY COUNTY, WE HAVE JOBS THAT AREN’T PAYING ENOUGH TO MEET THOSE BASIC EXPENSES. SO HOW DOES ALICE CORRELATE WITH THE THE POVERTY RATE? SO REALLY INTERESTING. OVER THE LAST DECADE PLUS, WE SEE THE POVERTY LINE IS ACTUALLY PRETTY FLAT. AND YET THE NUMBER OF ALICE HOUSEHOLDS CONTINUES TO TICK UP. SO THAT’S THROUGH ECONOMIC DOWNTURNS. UPTURNS REPUBLICANS, DEMOCRATS. SO PART OF OUR GOAL AT UNITED FOR ALICE IS TO MAKE ALICE THE STANDARD MEASURE OF FINANCIAL HARDSHIP. AND WE THINK IT COULD WORK VERY WELL IN NEXT TO THE FEDERAL POVERTY LEVEL, BUT PROVIDES A MUCH BETTER UNDERSTANDING OF WHAT’S HAPPENING IN YOUR LOCAL COMMUNITY. WHAT ARE SOME OF THE BIGGEST CAUSES OF THIS FINANCIAL STRAIN ON THOSE ALICE WORKERS? ALICE IS GETTING A WAGE INCREASE FOR THE FIRST TIME IN A LONG TIME, BUT THE COST OF HOUSING, THE COST OF FOOD, CHILDCARE, HEALTH CARE IS INCREASING EVEN FASTER. A LOT OF THE FOLKS IN ALICE ACTUALLY MAKE TOO MUCH MONEY TO BE ABLE TO ACCESS SOME OF THAT FEDERAL MONEY THAT YOU WOULD GET IF YOU WERE BELOW THE FEDERAL POVERTY LEVEL. SO HOW DO WE SEE THE IMPACT ON THESE ALICE FAMILIES? HOW DOES IT SHOW ITSELF? SO MANY FOLKS WHO ARE STRUGGLING, NOT MAKING ENDS MEET DON’T QUALIFY FOR HOUSING ASSISTANCE, FOOD ASSISTANCE, SOME OF THOSE BASIC PROGRAMS. SO WE OFTEN SEE THEM AT THE FOOD PANTRY AND PLACES WHERE THEY DON’T ASK YOUR INCOME ELIGIBILITY. AND YOU PROBABLY HAVE TO LIVE FURTHER AWAY FROM YOUR JOB, OR YOU LIVE IN SUBSTANDARD HOUSING UNITS. CHOOSING BETWEEN FOOD ON THE TABLE OR MEDICINE FOR THEIR PARENTS, CHOOSING BETWEEN PAYING THE UTILITY BILL AND THEIR CAR INSURANCE. GIVE ME AN EXAMPLE OF WHERE YOU SEE OPPORTUNITIES FOR SOLUTIONS. SO, SO MANY CREATIVE THINGS ARE HAPPENING ACROSS THE COUNTRY. I’LL SHARE SOME OF MY FAVORITE EXAMPLES. IN HAWAII, THE GOVERNOR HAS A PROGRAM WHERE ALICE HOUSEHOLDS CAN GET SOLAR PANELS, AND THAT REDUCES THEIR ENERGY BILL AND IS BETTER FOR THE ENVIRONMENT. WE SEE COMMUNITY COLLEGES IN DIFFERENT STATES MAKING SURE THAT THEIR PROGRAMS ARE ACCESSIBLE TO ALICE. THEY’RE LOWER COST AND THEY’RE MORE DIRECTLY LINKED TO HIGHER PAYING JOBS. ALICE, FAMILIES NEED CHILDCARE SO THE PARENTS CAN WORK, BUT MANY CHILDCARE PROVIDERS ARE ALICE SO THERE NEEDS TO BE A BETTER SYSTEM, MORE MONEY IN THERE. AND WE’VE SEEN SOME AMAZING FOUNDATIONS SUPPORTING BOTH THOSE WORKERS AND THE FAMILIES. I HOPE THOSE EXAMPLES HELP PEOPLE SEE THAT IT CAN COME FROM ALL DIFFERENT ANGLES. WE DON’T JUST NEED TO RELY ON ON OUR GOVERNMENT. STEPHANIE HOOPES FROM UNITED FOR ALICE, THANK YOU FOR JOINING ME. THANK YOU. COMING UP, ADDRESSING AMERICA’S HOUSING CRISIS, HOW A NONPROFIT IS HELPING PEOPLE NOT ONLY AFFORD HOMES, BUT START NECESSARY RENOVATIONS. AND CITIES AND TOWNS IN DESPERATE NEED OF MORE HOUSING. I THINK WE NEED STATE OR FEDERAL LEGISLATION TO ULTIMATELY ADDRESS THIS PROBLEM. WHY? EXPERTS SAY SO FAR, ZONING EFFORTS ARE FALLING SHORT. BUYING A HOME, OFTEN CONSIDERED THE LARGEST FINANCIAL DECISION FAMILIES WILL MAKE, IS OUT OF REACH FOR MANY AMERICANS. LAST YEAR, FIRST TIME HOMEBUYERS MADE UP JUST 24% OF THE MARKET. THAT’S THE SMALLEST SHARE SINCE THE NATIONAL ASSOCIATION OF REALTORS BEGAN COLLECTING DATA IN 1981. HIGHER MORTGAGE RATES WERE DRIVING UP COSTS, BUT THERE’S ALSO ANOTHER FACTOR. OUT OF STATE, INVESTMENT FIRMS HAVE BEEN BUYING UP PROPERTIES TO RENT AND WITH SUPPLY ALREADY LOW, THAT DEMAND HAS SENT COSTS SOARING. THAT’S WHAT’S HAPPENING IN MILWAUKEE, WISCONSIN IN 2022, OUR CORRESPONDENT DAN LIEBERMAN TRAVELED THERE TO SEE HOW THE NONPROFIT ACTS HOUSING WAS HOPING TO LEVEL THE PLAYING FIELD FOR LOCAL RESIDENTS. A COUPLE OF YEARS LATER, HE CHECKS BACK IN. THEY’RE OUT HERE LIKE WOLVES. DESIREE TYSON HAS WATCHED IN RECENT YEARS AS OUT OF STATE INVESTORS BOUGHT UP HOMES THROUGHOUT HER MILWAUKEE NEIGHBORHOOD. SO WHEN THE HOUSE ACROSS THE STREET BECAME VACANT, SHE WAS CONCERNED. WE’RE NOT GOING TO LET AN INVESTOR COME FROM OUT OF STATE AND TAKE OVER OUR PROPERTY AND MOVE ANYBODY IN, AND THEY LIVE OUT OF STATE. THEY DON’T SEE WHAT’S GOING ON. BUT THEN LISA BROOKS, A LONGTIME MILWAUKEE RESIDENT, KNOCKED ON HER DOOR. SHE WANTED TO BUY THAT HOUSE ACROSS THE STREET TO LIVE IN, BUT SHE NEEDED HELP ASKING DESIREE TO SIGN A CITY FORM SUPPORTING THAT SHE GET THE HOUSE. THAT LETTER SAVED THE DAY. BROOKS HAD BEEN RENTING FOR MORE THAN 30 YEARS. SHE’D HAD HER OWN EXPERIENCE WITH OUT OF STATE INVESTORS. ONE BOUGHT THE HOME SHE’D BEEN RENTING FOR NINE YEARS. I LOOKED AT THE LEASE AND JUST NOTICED THE COST CHANGE AND LIKE, NO, IT’S GOT TO BE A PROBLEM HERE. YOU WENT FROM PAYING $750, $750, 1300, 1300. HOW DID THAT MAKE YOU FEEL? I HAD NO CONTROL OVER WHAT I WAS DOING. IT WAS, AM I GOING TO WORK THE REST OF MY LIFE TO MAKE SOMEONE ELSE RICH? OR DO I WORK FOR THE REST OF MY LIFE TO ENJOY MYSELF AND BE HAPPY AND HAVE MY OWN VERSION OF THE AMERICAN DREAM? FROM 10 A.M. TO 4 P.M., LISA, WHO KEEPS A BUSY SCHEDULE AS A COMMUNITY HEALTH WORKER, SOUGHT THE HELP OF THE NONPROFIT AX HOUSING TO BUY A CITY OWNED REHAB PROPERTY. WHEN I CAME IN, MOST OF THE PLUMBING WAS GONE. THE ROOFING NEEDED DONE. ELECTRICAL. WE HAD LEAD PIPES, SO IT WAS A LOT OF WORK THAT NEEDED TO BE DONE. BROOKS WAS ABLE TO GET A LOAN THROUGH AX LENDING PROGRAM FOR $110,000, WHICH COVERED THE PURCHASE PRICE AND THE CONSTRUCTION. WE ACTUALLY CAN COMPETE. MAKE SURE SOME OF THOSE BEST DEALS DON’T GO TO INVESTORS. MICHAEL GAUSMAN IS AX HOUSING’S PRESIDENT AND CEO. THE MARKET HAS CHANGED MASSIVELY. INTEREST RATES ARE SIGNIFICANTLY HIGHER, MAKING HOMEOWNERSHIP ALL THE MORE DIFFICULT FOR FAMILIES TO OBTAIN. I DON’T THINK INDIVIDUAL CITIES ARE GOING TO BE ABLE TO SOLVE THIS ON THEIR OWN. THERE’S GOING TO NEED TO BE EITHER STATEWIDE COLLABORATION ON THIS, MORE SUPPORT FROM FINANCIAL INSTITUTIONS OR ULTIMATELY SOME EFFORT AT THE FEDERAL LEVEL. THIS ONE OBVIOUSLY WENT, YEAH. DESPITE THE CHALLENGES, THE GROUP HAS BEEN ABLE TO HELP MORE THAN 600 FAMILIES PURCHASE HOMES IN THE LAST TWO YEARS ALONE. SOME OF THE BIGGEST OUT-OF-STATE INVESTORS HAVE STARTED TO PULL OUT A LITTLE BIT. RESEARCHER JOHN JOHNSON STUDIES HOUSING AND DEMOGRAPHIC POLICY ISSUES AT MARQUETTE UNIVERSITY LAW SCHOOL. ARE THERE SOLUTIONS THAT THE CITY OF MILWAUKEE THAT THE STATE OF WISCONSIN COULD BE TAKING YOU WANT TO AVOID SIMPLY SUBSIDIZING DEMAND? YOU KNOW, JUST HELPING PEOPLE PAY THOSE HIGHER AND HIGHER AND HIGHER DOWN PAYMENTS IS NOT A LONG TERM SOLUTION. WHAT WE REALLY NEED IS MORE HOUSING, BECAUSE SOME OF THE MATH IS STILL THERE. YOU CAN PAY LESS AS A HOMEOWNER THAN YOU CAN AS A RENTER. IN MANY OF THESE PROPERTIES. AN EQUATION THAT RINGS TRUE FOR LISA BROOKS. SO YOU NOW ARE A HOMEOWNER AND YOU’RE YOUR MORTGAGE IS LESS THAN WHAT IT WAS BEFORE. YOU’RE OUT OF STATE INVESTOR. EXACTLY. TRIED TO RAISE THE RENT ON YOU. WELL, THAT’S GOT TO BE A GREAT FEELING. THAT IS AN EXCELLENT FEELING. THAT’S LIKE WINNING THE LOTTERY. FOR MATTER OF FACT, I’M DAN LIEBERMAN IN MILWAUKEE. AHEAD ON MATTER OF FACT. LIKE MANY CITIES, MINNEAPOLIS WAS RUNNING OUT OF HOUSING, SO IT MADE A MAJOR CHANGE. COULD ITS ZONING REFORM EFFORTS SERVE AS A BLUEPRINT FOR ELSEWHERE? PLUS, THESE WIND TURBINES CAN’T WORK FOREVER. THE NOVEL IDEA FOR GIVING THEM A SECOND LIFE TO STAY UP TO DATE WITH. MATTER OF FACT, SIGN UP FOR OUR NEWSLETTER ATWELCOME BACK TO MAT IT’LL TAKE ABOUT SEVEN YEARS TO FIX OUR NATION’S HOUSING SHORTAGE BASED ON THE CURRENT RATE OF CONSTRUCTION. ALTHOUGH THE SUPPLY GAP IMPROVED LAST YEAR, THE COUNTRY IS STILL SHORT SOMEWHERE BETWEEN 4 AND 7 MILLION HOMES. SO WHAT CAN BE DONE TO CLOSE THE GAP? SOME CITIES ARE TURNING TO ZONING REFORM, BASICALLY CHANGING THE RULES AROUND WHAT CAN BE BUILT AND HOW AND WHERE. FOR EXAMPLE, CITY OFFICIALS CAN ALLOW MULTI-FAMILY HOMES TO BE BUILT IN NEIGHBORHOODS THAT TRADITIONALLY ONLY HAD SINGLE FAMILY DWELLINGS. OR THEY CAN STREAMLINE THE PERMITTING PROCESS FOR BUILDERS. MINNEAPOLIS HAS LED THE WAY ON ZONING REFORM. IN A FIVE YEAR PERIOD, THE CITY’S RENT INCREASED JUST 1% COMPARED TO 14% FOR THE ENTIRE STATE. STEPHEN MENENDIAN IS THE ASSISTANT DIRECTOR AT UC BERKELEY’S OTHERING AND BELONGING INSTITUTE. ANYTHING YOU DO THAT CAN LOOSEN UP THE COST OR EXPEDITE DEVELOPMENT CAN OFTEN MAKE HOUSING ALSO MORE AFFORDABLE. SO, FOR EXAMPLE, IF YOU HAVE A CONDOMINIUM OR AN APARTMENT BUILDING AND THERE’S A REQUIREMENT OF 1 TO 1 OR MAYBE EVEN MORE THAN THAT, PARKING TO UNIT AND YOU WAIVE THAT, THAT MEANS YOU DON’T NEED TO HAVE, YOU KNOW, A LARGE PORTION OF THE DEVELOPMENT ALLOCATED OR EARMARKED FOR PARKING STALLS. SO THOSE KINDS OF THINGS REALLY HELP. ZONING DOES COME WITH COMPLEXITIES, AND IT’S A SLOW PROCESS. SEVERAL CITIES AND MUNICIPALITIES HAVE NOT MOVED FORWARD WITH THEIR PLANS BECAUSE OF LEGAL AND ENVIRONMENTAL CHALLENGES. STILL AHEAD ON MATTER OF FACT, HOW THIS NEW TINY HOME ALSO HELPS REDUCEFINALLY, COULD YOU L OLD WIND TURBINE? ONE SWEDISH ENERGY COMPANY SAYS YES, VATTENFALL CONVERTED THE TOP PART OF A WIND TURBINE INTO A TINY HOME. THE ALMOST 400 SQUARE FOOT DWELLING, MADE WITH THE HELP OF DESIGN STUDIO SUPER USE, COMES WITH A KITCHEN, A BATHROOM AND A LIVING SPACE. IT ALSO INCLUDES SMART FEATURES LIKE A HEAT PUMP AND SOLAR PANELS. THE HOUSE IS MADE FROM A TURBINE THAT STOOD IN AUSTRIA FOR 20 YEARS WHILE IN SERVICE. IT PRODUCED ENOUGH ELECTRICITY TO POWER MORE THAN 29,000 HOUSEHOLDS FOR A YEAR. IT’S PART OF A GENERATION OF ABOUT 10,000 TURBINES WORLDWIDE THAT HAVE BEEN, OR WILL SOON BE DECOMMISSIONED. LAST YEAR, THE COMPANY INVITED DESIGN FIRMS TO COME UP WITH IDEAS TO GIVE A SECOND LIFE TO WIND TURBINES. SOME OF THE OTHER CONCEPTS INCLUDED FLOATING ISLANDS MADE FROM TURBINE BLADES AND ARTWORK CREATED FROM THE DATA PROVIDED BY TURBINES WHEN THEY WERE ACTIVE. THAT’S IT FOR THIS EDITION OF MATTER OF FACT, I’M SOLEDAD O’BRIEN, AND I’LL SEE YOU BACK HERE NEXT WEEK TO WATCH MORE STORIES LIKE THIS ANYTIME, HEAD TO @MATTEROFFACTTV.