To The Editor:
Affordable housing is something that we want everyone to have. As a member of the Arlington Housing Authority for some years, I worked for that goal.
Unfortunately, as with many charitable actions, there are scam artists and opportunists who exploit such endeavors – as we have seen in some false fundraisers for disasters including phony philanthropy for sick children or veterans.
I’m sad to say, Chapter 40B is one of these opportunistic initiatives – causing what Massachusetts Inspector General, Gregory Sullivan, describes as one of the worst frauds in Massachusetts history, under the pretense of an affordable housing program. He states that 40B currently puts the financial interests of municipalities at risk.
Corruption was enabled 10 years ago when regulators opened the 40B doors to a tsunami of profit-seeking, limited dividend corporations and limited liability companies swamping non-profits and churches which had until that point generally acted responsibly.
Since then, $9 billion worth of ruthless construction and the trashing of local zoning, regulatory, safety and environmental standards has enriched 40B developers, 40B attorneys, DHCD regulators, realtors, bankers, and academic lobbyists (like the Rappaport Institute), without providing any affordable homeownership units for those who really need them.
• Firefighters, teachers, and police on a starting salary and most seniors on retirement income are excluded from 40B homeownership units (70% of median income is a minimum 40B eligibility requirement and starting firefighters etc. do not make that much).
• In the last decade, 40B homeownership has created a huge increase in homeless families on waiting lists for affordable homes because it drains funds from many other better programs and provides them with nothing.
• Chapter 40B regulations are written to maximize developer profits and to enable exploitation. Regulators and certain 40B-funded legislators have made sure that the law does not get reformed and actually gets worse when corrupt procedures come to light. This causes what the Inspector General describes as a developers’ "pig-fest."
• The Inspector General estimates that 40B developers have defrauded cities and towns of at least $100 million.
• Many 40B "affordable" units will soon revert to market rates, since they have expiring deed restrictions.
• Two thirds of the state’s affordable housing has been produced by programs other than 40B.
If we do not succeed in repealing 40B, then we will see huge increases in tear-downs in every town zone, including single-family and two-family sites. Some of these will be done by huge out-of-state developers, such as Archstone, who have already been exploiting 40B since it is the most aggressive market rate program in the country promoted under the pretext of affordable housing. There will then be replacement at these sites, even tiny neighborhood sites, with high density 40B construction, since all local zoning, environmental, and historic protections are gone under 40B, with no recourse for adjacent homeowners.
Local and national 40B developers are working hard to preserve their 40B cash cow. It is important for all communities in Massachusetts that the 40B danger be eliminated – by voting yes on Question 2, and that we work hard to do so.
Patricia B. Worden
Former Chairman and Member, Arlington Housing Authority Member and Secretary, Arlington Affordable Housing Task Force
