FOOTNOTE: EPD DAILY ACTIVITY REPORT information was provided by the EPD and posted by the City-County-County Observer without opinion, bias, or editing.
FEATURE: Why Affordable Housing Is So Expensive And How To Solve This Problem
Why Affordable Housing is so Expensive and How to Solve this Problem
submitted by JOE WALLACE To CCO
July 17, 2024
Reducing the construction cost of affordable housing is a critical issue facing many communities today. As the price to build new affordable housing soars to around $1,000 per square foot, more than double that of luxury housing, the need for innovative, cost-effective solutions becomes paramount. Modular homes offer a promising alternative with costs closer to $100 per square foot. However, government-backed projects often mandate paying “prevailing wages” and sourcing from approved providers, significantly inflating costs. Understanding why this happens and exploring ways to mitigate these expenses can help address the affordable housing crisis more effectively.
The Prevailing Wage Mandate
Prevailing wage laws, established to ensure fair compensation for laborers, require that workers on government-funded projects be paid wages comparable to those earned on similar projects in the same area. While this aims to protect workers from exploitation and ensure quality craftsmanship, it also drives up construction costs. Prevailing wages often exceed market rates, particularly in regions with strong labor unions, resulting in higher overall expenses for affordable housing projects.
Approved Providers and Procurement Regulations
Government-backed projects must adhere to strict procurement regulations, which include purchasing materials and services from approved providers. This ensures compliance with safety, quality, and ethical standards but often limits competition and drives up prices. Smaller or newer companies that may offer lower prices are frequently excluded from these lists, reducing the potential for cost savings.
Bureaucracy and Administrative Overhead
The administrative processes involved in government-funded projects can be lengthy and complex. Extensive paperwork, regulatory compliance, and oversight procedures add layers of bureaucracy that slow down projects and increase costs. Delays in approvals, inspections, and payments can lead to higher expenses for contractors, who often pass these costs onto the final project budget.
Modular Homes as a Cost-Effective Solution
Modular homes present a viable alternative to traditional construction methods. These homes are built off-site in controlled environments, reducing labor costs and minimizing material waste. The economies of scale achieved through mass production can significantly lower per-unit costs. Additionally, modular homes can be assembled quickly, reducing construction time and related expenses.
Policy Reforms and Recommendations
To reduce the construction cost of affordable housing, several policy reforms and strategic approaches can be considered:
- Revisiting Prevailing Wage Laws: While maintaining fair labor practices is crucial, revisiting prevailing wage laws to ensure they reflect current market conditions can help reduce costs. Introducing flexibility in wage determinations based on project size or location could make affordable housing projects more financially viable.
- Expanding Approved Provider Lists: Broadening the criteria for approved providers to include smaller and more innovative companies can foster competition and drive down prices. Implementing a rigorous but streamlined vetting process can ensure quality and compliance without unnecessarily restricting market access.
- Streamlining Bureaucratic Processes: Reducing administrative overhead by streamlining approval processes, simplifying compliance requirements, and improving interagency coordination can lower costs. Adopting digital tools and technologies to manage paperwork and inspections can expedite project timelines and reduce expenses.
- Promoting Modular Construction: Governments can incentivize the use of modular construction through grants, tax breaks, and technical assistance. Supporting research and development in modular housing technologies can further enhance their affordability and appeal.
- Public-Private Partnerships: Encouraging collaborations between public agencies and private developers can leverage the strengths of both sectors. Private developers often bring efficiency and innovation, while public agencies provide funding and regulatory support. These partnerships can result in more cost-effective and timely completion of affordable housing projects.
- Community Involvement and Local Solutions: Engaging local communities in the planning and development process can uncover unique solutions tailored to specific needs and conditions. Community land trusts, cooperative housing models, and local investment initiatives can supplement traditional funding sources and reduce reliance on costly government mandates.
Conclusion
The high cost of constructing affordable housing is a multifaceted issue influenced by prevailing wage laws, procurement regulations, bureaucratic processes, and market dynamics. Addressing these challenges requires a combination of policy reforms, strategic approaches, and innovative solutions like modular homes. By promoting efficiency, competition, and community involvement, governments can reduce wasteful spending and better allocate tax dollars to meet the pressing need for affordable housing. Ensuring that every dollar spent maximizes value and impact is crucial for creating
E-REP Statement of Activities, 1st Quarter 2024
E-REP Statement of Activities, 1st Quarter (JAN.-MAR.) 2024
July 17, 2024
Business Retention & Expansion:
- Number of businesses visited: 14.
- Types of businesses visited: Manufacturing (7), Distribution/Logistics (4), Technology (1), H (1), Health/Life Sciences (1), Other (1)
- Assistance provided:
- Workforce development. Many companies mentioned challenges with recruitment, retention and finding skilled employees. Businesses were connected to local workforce development programs and educational institutions.
- Expansion planning. Several companies indicated plans for expansion or interest in growing their operations (e.g. additional warehousing space, expansion of campus, additional manufacturing lines.) Businesses were provided guidance and resources on expansion planning and site selection.
- Supply chain and logistics. Some companies expressed interest in being connected to logistics assistance. One was connected to Ports of Indiana to explore opportunities related to Foreign Trade Zones and logistics.
- Infrastructure and utilities. Some companies have experienced power outages that hindered their ability to add new production lines. Connected with local utility provider to address these issues.
- Business networking. Some companies expressed interest in finding local suppliers and partners. Connected with E-REP Membership Team, which hosts networking events such as CNN (Community Networking & News, which takes place every Friday.)
Business Attraction:
- Total number of businesses contacted: 17
- Information requests responses: 7
- Number of requests not submitted: 10
- Most projects not submitted due to lack of suitable buildings or sites meeting the specific requirements (e.g., size, ceiling height).
- The majority of the projects were in the manufacturing sector, with a focus on renewable energy, electric vehicles, and battery-related industries.
- Investment amounts for the projects range from $10 million to $1 billion.
- Job creation potential varied widely, from as few as 13 jobs to as many as 1,200 jobs per project.
Talent Attraction Efforts:
Belong Here Talent Attraction Program analytics (15 spots) – May 2024
- Belong Here campaign Meta impressions: 392,822
- Link clicks: 14,410
- Belong Here campaign LinkedIn impressions: 47,089
- Link clicks: 597
- 72 applicants
- 5 have secured a job and moved 🎉
o SABIC x 2
o Deaconess
o Hubert Family Dental
o Haubstadt Dental
- 5 movers securing housing
-
Make My Move Remote Work analytics (25 spots)
- 14 households secured
- 298 in pipeline
- 17 are in accepted status and looking for housing
-
Talent Retention Efforts:
- E is for everyone’s newsletter analytics
Data Collection and Analysis:
Grant Pursuit:
- The bulk of Q1 was spent writing and finalizing the Southwest Indiana Regional Development Authority’s application for the Regional Economic Accelerator & Development Initiative (READI 2.0). While the award was not announced until Q2 (Apr. 11), it bears mentioning twice that E-REP’s efforts on this grant application resulted in the maximum allotment of $45,000,000 to the region. This follows the maximum $50,000,000 from READI 1.0 in 2021 and $42,000,000 from the Regional Cities Initiative in 2016.
Regional Collaboration:
- Both Q1 Economic Partners and Elected Officials councils convened on January 25, 2024.
- Matt Eckerle, principal, of Baker Tilly Municipal Advisors, was the guest speaker and he presented on the new Residential Infrastructure Fund, a $75MM low-interest loan through the Indiana Finance Authority’s State Revolving Fund (IFA SRF).
- Attendees were also updated on E-REP updates, including the 2023 Talent EVV Annual Report, the latest on the READI 2.0 regional application, the Inflation Reduction Act, the I-69 Corridor Plan by MKSK, and the pursuit of a new 2025-29 Comprehensive Economic Development Strategy
- There were 17 Economic Partners present and 21 Elected Officials for those in attendance to network and build relationships with each other.
- E is for everyone’s newsletter analytics
FOOTNOTE: The City-County Observer posted this article without bias, opinion, or editing.
“Exceptional Pick” – Senator Braun on J.D. Vance
“J.D. Vance knows firsthand the experience of the forgotten American family and is proof that there’s no limit to how high you can rise in our country with hard work and strong values.”
MILWAUKEE – Senator Braun released the following statement on Senator J.D. Vance’s selection as former President Donald Trump’s running mate.
“President Trump made an exceptional pick in J.D. Vance to be his running mate and serve as our next Vice President. I first met J.D. back when his book hit the shelves, and I was impressed by his ideas and optimism for revitalizing the industrial Midwest. I’ve been fortunate to get to know him better in the Senate working with him on legislation like the Railway Safety Act which he led after the East Palestine disaster. J.D. Vance knows firsthand the experience of the forgotten American family and is proof that there’s no limit to how high you can rise in our country with hard work and strong values.” – Senator Mike Braun
Conservation record broken by Hoosier farmers and landowners for third year in a row
Conservation record broken by Hoosier farmers and landowners for third year in a row
INDIANA (July 16, 2024) — In a remarkable achievement for sustainable agriculture, the latest results from the Conservation Tillage Transect survey reveal that 1.7 million acres of farmland are now under living cover across all crops in Indiana. This significant milestone underscores the increasing adoption of cover crops by farmers, driven by their multiple benefits for soil health, water management and overall farm productivity.
“Protecting soil, our most vital natural resource, is top of mind for our Indiana farmers and year after year our farmers are breaking their own conservation records” said Lt. Gov. Suzanne Crouch, Indiana’s Secretary of Agriculture and Rural Development. “Through the implementation of cover crops and other conservation efforts, farmers are ensuring our land and water resources remain healthy and productive for years to come.”
Overwintering living covers (i.e. – cover crops and small grains, like wheat) are known for their environmental benefits. Cover crops and small grains help increase organic matter in the soil and improve overall soil health by adding living roots to the soil more months of the year. Cover crops also improve water infiltration into the soil, while other covers, like legumes serve as natural fertilizers.
Although the conservation transect does not differentiate between cover crops and small grains, Indiana farmers typically plant fewer than 300,000 acres of small grains annually, so cover crops vastly dominate the 1.7 million estimated acres. Apart from corn and soybeans, cover crops are planted on more acres than any other commodity crop in Indiana. Cover crops are typically planted in the fall after harvest and designed to protect the soil and keep roots in the ground throughout the winter, which improves soil health and helps filter water runoff.
“These results are very encouraging,” said Damarys Mortenson, state conservationist for USDA’s Natural Resources Conservation Service in Indiana. “The adoption of cover crops on such a large scale indicates that farmers are recognizing the long-term benefits of these practices for both their land and the environment.”
Farmers like Todd Armstrong, who operates a 1,100-acre farm in Washington County, have seen firsthand the advantages of cover crops.
“The water holding capacity and tilth of the ground has just improved so much and my neighbors have even seen that,” said Armstrong. “Neighbors that worked ground every year have stopped and started incorporating cover crops because they’ve seen how good it has worked for us.”
As a result of the cover crops and other overwintering covers planted last year, it is estimated that 1.8 million tons of sediment was prevented from entering Indiana’s waterways, which would fill about 18.4 thousand train freight cars.
The conservation survey also showed that about 69% of row crop acres were not tilled and about 17% had employed reduced tillage over winter, after the 2023 harvest. This early spring survey is not intended to quantify pre-planting tillage.
Despite the clear benefits, there are challenges to the widespread adoption of cover crops, including the initial cost of seeds and the need for additional management skills. However, various federal and state programs offer financial incentives and technical assistance to help farmers incorporate cover crops into their operations. One such initiative that helped contribute to the successful year for cover crops in 2023 was the Cover Crop Premium Discount Program (CCPDP). It is a program that provides a discount on crop insurance for planting cover crops. CCPDP assisted landowners in planting about 19 thousand acres of cover crops in 2023.
The conservation transect is a visual survey of cropland in the state. It was conducted between March and May 2024 by members of the Indiana Conservation Partnership, including the USDA Natural Resources Conservation Service, the Indiana State Department of Agriculture, Indiana’s Soil and Water Conservation Districts and Purdue Extension, as well as Earth Team volunteers, to show a more complete story of the state’s conservation efforts.
Mutts At Myriad: Woofstock!
Mutts At Myriad: Woofstock!
July 17, 2024
Newburgh, Indiana – Mutts At Myriad, the beloved collaborative community event by the Warrick Humane Society and Myriad Brewing Co. is hosting Woofstock this year! This event will benefit the Warrick Humane Society and our Building Hope project. It will be taking place at Myriad Brewing Co. Newburgh, this Sunday, July 21st from 12 pm-5pm!
Event Highlights:
- Donation for Entry: Entrance into this event will be any monetary donation for our New Shelter!
● Benefit Concert: Our first Benefit Concert featuring The Honey Vines from 1pm-3pm and Between The Frets from 3pm-5pm.
- Building Hope Information Station: Learn about our cause, our Building Hope Project, and how you can help!
- Puppy Snuggles: Cuddle with puppies for a donation!
- WHS Pop-Up Shop: Explore our collection of goodies for sale, all in support of the Warrick Humane Society!
- Yummy Food: Lashbrooke’s BBQ will be serving on site while supplies last, starting at
Students get hands-on experiences at Vincennes University’s Broadcasting Summer Camp
VINCENNES, Ind. July 16, 2024 – With a video camera in his hands, Loogootee High School rising senior Karson Burch is down on one knee on a sultry July morning looking for the perfect camera angles while capturing video of the construction site of Vincennes University’s $33.9 million Center for Health Sciences and Active Learning.
Burch was among the nearly 20 high school and middle school students who participated in the Broadcasting Summer Camp hosted on Friday, July 12, by the Vincennes University Broadcasting Department, Vincennes PBS and Blazer 91.1 WVUB.
“We are so thrilled to bring back our Broadcasting Camp this summer and we worked hard to make this day as fun and educational as possible by sharing our love of media with them,” said Nichole Carie, Director of Operations and General Manager of VU’s public broadcast stations Vincennes PBS and Blazer 91.1 WVUB.
The day was bustling with hands-on experiences on the Vincennes Campus. It provided the perfect opportunity for students to learn about the latest broadcasting technology and interact in VU’s first-rate broadcast studios and editing rooms inside Davis Hall. Campers engaged in various activities, including shooting and editing news videos, recording podcasts, creating radio commercials, hosting newscasts and sports broadcasts, and delivering TV weather reports. They also enjoyed lunch in the campus dining center.
Some of the campers had broadcasting experience, while others had none. Burch, a student with prior broadcasting experience, covers the Indiana Pacers on his TikTok sports page. He also utilizes social media to share updates about his high school’s sports teams, scores and local high school conference news. Burch is undecided between pursuing a college degree in broadcasting or elementary education, but he is enthusiastic about the opportunity to explore broadcasting further.
“It was fun reading off the teleprompter, the podcast was fun and behind the scenes was very cool,” Burch said. “I didn’t know much about behind the scenes until this camp.”
The day culminated with all campers collaborating on a segment for a Vincennes PBS broadcast later in the day, discussing their favorite aspects of the camp.
Carie is looking forward to building on the Broadcasting Summer Camp’s success.
“We decided to start off with a one-day event to test the interest, and that interest has been amazing,” she said. “We have quickly learned that the students would love more time with us and an expanded opportunity to learn the equipment and best practices, as their media interest has been piqued. They love getting their hands on media equipment and learning what happens behind the scenes. We will be looking to increase our offering next year to multiple days, as well as offering a session for younger elementary students.”
USI Signs Seven
EVANSVILLE, Ind.—University of Southern Indiana Women’s Cross Country/Track & Field coach Mike Hillyard announced the signings of seven student-athletes for the upcoming 2024-25 seasons.
Joining the Screaming Eagles is redshirt sophomore Ellie Hall (Ferdinand, Indiana) as well as freshmen Addison Applegate (Corydon, Indiana), Hadessah Austin (Attica, Indiana), Emma Deweese (Rockport, Indiana), Amber Fusner (Crestwood, Kentucky), Abrielle “Breezy” Richard (Newburgh, Indiana) and Maggie Smith (Monterey, Indiana).
Ellie Hall transfers to USI from Southern Illinois University, where she competed as a freshman and sophomore for the Salukis from 2022-24. Hall, who has personal-best times in the 3k (10:03), the 5k (16:37) and the 6k (21:38), finished 13th at the 2023 Missouri Valley Conference Cross Country Championships before racing to a 64th-place finish at the NCAA Division I Midwest Regional.
On the track, Hall helped SIU’s distance medley relay team to a third-place finish at the 2023 MVC Indoor Championships. She was 15th in the 5,000 meters at the 2023 MVC Outdoor Championships and 10th in the 5,000 meters at the 2024 MVC Indoor Championships.
A graduate of Forest Park High School in Ferdinand, Indiana, Hall was a three-time state qualifier on the grass as well as a state-qualifier on the track. She was 19th as a senior at the 2021 IHSAA Cross Country Championships before racing to a 14th-place finish in the 3,200 meters at the 2022 IHSAA Track & Field Championships.
Addison Applegate recently graduated from Corydon Central High School in Corydon, Indiana, where she has posted personal bests in the 800 meters (2:23), 1,600 meters (5:18) and the 5k (19:05). She was a two-time state qualifier on the cross country course, including an 82nd-place finish at the 2022 IHSAA Cross Country Championships during her junior year.
On the track, Applegate posted top-five finishes in the 800 and 1,600 meters at the 2024 IHSAA Sectional 29 Championships as well as a fourth-place finish in the 1,600 meters at the 2024 IHSAA Regional 8 Championships.
Hadessah Austin comes to USI from Seeger High School in West Lebanon, Indiana, where she put together personal-best times in the 1,600 meters (5:08), 3,200 meters (10:55) and the 5k (17:54). She was a two-time state qualifier in the 3,200 meters during her prep career, including a 10th-place finish at the 2023 IHSAA Track & Field Championships and a 14th-place showing at the 2024 state meet.
On the grass, Austin was 22nd at the IHSAA Cross Country Championships as a senior in 2023. She went on to finish 34th at the NXR Midwest Region Championships, 22nd at the Mid-East Championships and 31st at the Foot Locker Midwest Region Championships.
Emma Deweese is a graduate of South Spencer High School in Rockport, Indiana, where she put together personal bests in the 400 meters (1:01.5), the 800 meters (2:24) and the 1,600 meters (5:28). She posted top-10 finishes in the 800 meters at both the 2022 and 2023 IHSAA Regional 8 Track & Field Championships as well as a first-place finish in the 800 meters at the 2023 IHSAA Section 30 Championships.
On the grass, Deweese earned top-20 finishes at both the Pocket Athletic Conference and IHSAA Sectional 2 Cross Country Championships during her senior year in 2023.
Amber Fusner comes to USI from Oldham County High School in LaGrange, Kentucky, where she tallied personal bests in the 1,600 meters (5:21), 3,200 meters (11:28) and 5k (19:06). She was a two-time state qualifier in both the 3,000 meters (indoor) and the 3,200 meters (outdoor) in 2023 and 2024.
Fusner raced to a 36th-place finish at the KHSAA Cross Country Championships as a senior in 2023 before finishing 69th at the NXR Southeast Regional and 97th at the RunningLane Championships.
Abrielle “Breezy” Richard graduated from Evansville Christian School in Newburgh, Indiana, where she posted personal-best times of 2:17 in the 800 meters, 5:17 in the 1,600 meters and 20:10 in the 5k. She was a state qualifier on the cross country course as a senior in 2023 and posted top-10 finishes at the IHSAA Regional 16 and Sectional 32 Cross Country Championships as a junior 2022.
On the track, Richard finished first in the 800 meters at both the IHSAA Sectional 32 and Regional 8 Championships as a senior in 2024. She also was second in the 1,600 meters at the sectional meet.
Maggie Smith comes to USI from Winamac High School in Winamac, Indiana, where she had personal-best times of 1:02.08 in the 400 meters, 2:23 in the 800 meters and 19:31 in the 5k. A state qualifier on the cross country course as a senior in 2023, Smith finished 159th at the IHSAA Championships to cap off her prep career on the grass.
On the track, Smith raced to top-five finishes in the 800 meters at both the 2023 and 2024 IHSAA Sectional 4 Championships. She finished 13th in the 800 meters at the 2024 IHSAA Regional 1 Championships.
USI begins the 2024 cross country season August 30 in Bloomington, Indiana.