FOR IMMEDIATE RELEASE
Contact: Julia Howard-Gibbon, [email protected] FHANC Investigation Reveals Widespread Discrimination in Housing Against Black Tenants with Criminal Records in Marin, Sonoma, and Solano Counties San Rafael, CA – A recent investigation by Fair Housing Advocates of Northern California (FHANC) has uncovered high rates of housing discrimination against Black renters – particularly those with criminal conviction histories – in Marin, Sonoma, and Solano counties. Despite long-standing federal and state fair housing laws, the report reveals significant evidence of continued housing discrimination based on race. “This report highlights how barriers to housing for people with criminal records – particularly Black Americans who face over-policing and higher incarceration rates – have profound impacts, leaving many unhoused and at higher risk of recidivism,” said Julia Howard-Gibbon, FHANC’s Supervising Attorney. While HUD discourages the use of criminal records in determining tenant eligibility, this report shows that most landlords fail to follow that recommendation. Instead, the explosive increase in algorithmic tenant screening products, commonly used by landlords to screen for criminal records, has become a major barrier to housing access for people with criminal histories, which in this country is one third of the population. And due to the over policing of communities of color, Black individuals are stopped by police, arrested, prosecuted, convicted, and incarcerated at rates disproportionate to their share of the general population. As such, Black people, who already experience discrimination at higher rates, are disproportionately affected by these screening policies. FHANC conducted 120 investigations at 30 large rental properties in Marin, Sonoma, and Solano counties and analyzed the experiences of Black and white “testers” posing as prospective renters with criminal conviction histories to determine whether Black applicants with criminal histories are discriminated against on the basis of race and/or disproportionately excluded from housing because of their conviction records. Each investigation consisted of four testers – two Black and two white – who contacted landlords to ask whether they screen for criminal histories, what the landlord’s screening policy is, and whether the tester’s application would likely get denied based on the conviction history in the tester’s assigned profile (some had felonies and some had misdemeanors). After analyzing the tenant screening policies that were described to testers (and/or provided to them in writing), FHANC found that of the 25 landlords that screen for criminal records, not one follows all of HUD’s guidelines to avoid disproportionately excluding Black applicants in violation of the Fair Housing Act. And most importantly, all but two fail to allow applicants to appeal denials or provide mitigating information regarding the circumstances of their conviction. “This is a significant finding because these are large properties, representing a total of 5,211 units,” said Ms. Howard-Gibbon. “That’s 5,211 units that people with criminal records, who are disproportionately people of color, would likely not be able to access based on these policies. If that percentage is expanded to the broader area, that’s more than 92,000 units in Marin, Sonoma, and Solano counties alone.” Additionally, FHANC found that 14 of the 30 landlords investigated treated the Black testers less favorably than the white testers. For example, at one property, a white tester was told that a felony conviction on her boyfriend’s record would be overlooked if she applied with a co-signer while the Black tester whose boyfriend had the exact same record was told the conviction would result in an automatic denial and she was advised not to apply. Key Findings from the Report:
“The implications of this report touch on broader social justice issues that affect underserved communities,” said Audrey Perrott, FHANC’s Acting Executive Director. "The findings are troubling and underscore the continued systemic barriers Black individuals with criminal histories face when trying to secure stable housing." FHANC urges the housing industry to re-evaluate its screening policies to align with fair housing laws and to focus on equitable access for all renters. "We hope this report serves as a catalyst for change and brings greater attention to the need for fair housing reforms across our communities," said Savannah Wheeler, FHANC’s Housing and Policy Attorney. The organization has put forward several key recommendations and next steps, based on the findings in this report. Recommendations and Next Steps:
For media inquiries, contact: Julia Howard-Gibbon Supervising Attorney [email protected] ------------------------------------------------------------------------------------------------------------------- Note: This material is based on work supported by the Department of Housing and Urban Development (HUD) under FHIP PEI Grant FPEI220095. Any opinion, findings, and conclusions or recommendations expressed in this material are those of the author(s) and do not necessarily reflect the views of HUD. Founded as a non-profit in 1986, Fair Housing Advocates of Northern California (FHANC) serves several Bay Area counties, providing fair housing counseling, investigation, intervention, and legal referrals to persons experiencing housing discrimination. FHANC conducts outreach and offers programs that educate the community about fair housing and the value of diversity, conducts trainings for housing providers, and offers pre-purchase and foreclosure prevention counseling and education. FHANC is a HUD-Certified Housing Counseling Agency. For more information or for fair housing assistance visit www.fairhousingnorcal.org or call 415-457-5025 or TDD: 800-735-2922. Se habla español.
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July 1, 2024 FOR IMMEDIATE RELEASE: Contact: Caroline Peattie, Executive Director, Fair Housing Advocates of Northern California, (415) 483-7552, [email protected] Audrey Perrott, Development Director, Fair Housing Advocates of Northern California, (628) 272-9848, [email protected] Subject: Marin Community Foundation (MCF) Awards Fair Housing Advocates of Northern California $200,000 per year for three years Through Marin Community Foundation’s (MCF’s) new funding initiative, the Community Power Initiative, Fair Housing Advocates of Northern California (FHANC) and 79 other nonprofits and/or collaborations serving Marin County were awarded $30 million to be paid over three years. MCF’s new funding strategy provides flexible, multi-year general operating support grants. The Community Power Initiative will primarily fund organizations that serve underrepresented and underserved populations. Although the initiative serves County-wide programs, MCF is giving special attention to marginalized neighborhoods, the Canal area in San Rafael, Marin City, and pockets of West Marin and Novato. This crucial funding will enable FHANC to promote long-term housing security and fair, accessible, and equitable housing for all, through prevention, intervention, systemic change through investigations and legal action, and systemic change through policy advocacy. FHANC’s focus is on members of protected classes, including members of communities of color, people with limited-English proficiency, people with disabilities, seniors, LGBTQ+ people, Housing Choice Voucher recipients, and families with children, who have been disproportionately affected by systemic discrimination and are at a greater risk of being displaced from stable housing and/or becoming homeless. FHANC will expand its outreach capacity to better reach protected classes to inform them of their fair housing rights as well as provide resources and complaint referral so FHANC can counsel and advocate for more residents. FHANC will provide fair housing, prepurchase, and foreclosure prevention services. FHANC is planning a number of community events to educate tenants with disabilities; community members and nonprofit staff; public and private housing providers; community members, agency staff, and other stakeholders; and local, state, and federal jurisdictional staff on fair housing laws. “We are extremely grateful to MCF for this significant investment in FHANC, its clients, and the Marin community,” said Caroline Peattie, Executive Director of FHANC. “This grant provides FHANC with the flexibility to use funds in a way that allows us to most effectively serve our clients and advocate for fair housing policies. We are excited and honored to work with MCF as our partner.” Fair Housing Advocates of Northern California (FHANC) is a non-profit organization serving several Bay Area counties that provides free counseling, enforcement, intervention, and legal or administrative referrals to persons experiencing housing discrimination. FHANC also offers foreclosure prevention counseling, pre-purchase education, seminars to help housing providers fully understand fair housing law, and education programs for tenants and the community at large. FHANC is a HUD-Certified Housing Counseling Agency. If you have experienced housing discrimination as a renter, homebuyer, or homeowner (in any housing transaction – from your landlord, realtor, lender, insurer, or appraiser), contact FHANC’s office to complete an interview. Contact FHANC at [email protected] or 415-457-5025 x101 or TDD: (800) 735-2922 for more information.
May 7, 2024 FOR IMMEDIATE RELEASE Contact: Caroline Peattie, Executive Director, Fair Housing Advocates of Northern California (415) 483-7552, [email protected] Julia Howard-Gibbon, Supervising Attorney, Fair Housing Advocates of Northern California (415) 483-483-7516 [email protected] Discrimination Complaint Alleging Race Discrimination in Home Appraisal Process Settled with Appraiser San Rafael, CA – Fair Housing Advocates of Northern California (FHANC) and their client, a Black homeowner in Oakland, announce the settlement of a complaint against a lender and Michael Ustick, a licensed real estate appraiser, resulting in significant monetary and injunctive relief. The complainants filed the fair housing complaint with the California Civil Rights Department (CRD) in December 2022 alleging housing discrimination due to race in the appraisal process. Both the lender and Mr. Ustick denied any liability or wrongdoing in connection with the claims made in the complaint but agreed to make changes to their business practices to prevent discrimination as part of the settlement. Most notably the lender agreed to conduct an internal review by a different appraiser of any appraisal where the borrower alleges discrimination and to order a new appraisal if it is determined that the appraisal was discriminatory or otherwise materially deficient. “We are pleased to have reached an agreement so that Ms. Trent (an alias) can have closure and move on with her life,” said Caroline Peattie, FHANC’s Executive Director. “This was another example of how an unfairly low appraisal can affect your ability to access a loan with good terms. Regrettably, Ms. Trent’s experience is not unique. There is plenty of research that shows that Black and Latinx applicants are more likely than white applicants to receive an appraisal value lower in both the sales and refinancing process – studies show that appraisers still seem to value neighborhoods and relevant comparable properties (comps) and make substantial adjustments to comps based on the demographics of the neighborhood where properties are located. This is part of what we believe happened in our client’s case.” Ms. Trent applied to a mortgage company to refinance her home loan and to use some of the equity to finance needed repairs and renovations. The company hired Michael A. Ustick, a real estate appraiser, to inspect her home on December 8, 2021, and prepare an appraisal report. Mr. Ustick conducted an inspection of Ms. Trent’s home in the Allendale neighborhood of East Oakland. Allendale is located completely within census tract 4070, which is 85.47% non-white and/or Latinx. Despite the recent increase of white residents to the neighborhood, Allendale is still a majority minority neighborhood and is still perceived as a Black neighborhood. Mr. Ustick appraised her home for $785,000, well below the valuations she had received in two previous appraisals. Because of the low appraisal, the mortgage company denied her loan. One month later, Ms. Trent applied for a loan through a different lender. The subsequent appraisal report valued her home at $1,125,000, a $340,000 difference. FHANC’s complaint alleged that Mr. Ustick took into account both Ms. Trent’s race and the current and historical racial demographics of Ms. Trent’s neighborhood in East Oakland, based on a number of factors, for example his unreasonably low valuation of her home and his unreasonable adjustments of comparable sales resulting in a significantly lower valuation. The complaint alleged that as a result of the discrimination she experienced, Ms. Trent lost a financing opportunity, suffered economic losses, including the cost of the appraisal and increased cost of renovations due to the delay, as well as emotional distress. “The worst was the emotional distress,” said Ms. Trent. “I was relying on being approved for the loan to in order to make improvements to my heating and bathroom going into the winter. As a respiratory therapist working during the COVID-19 pandemic, my stress levels were already high, and this just pushed me to the brink. After getting this low appraisal that I knew was off the mark and being denied the loan and then not having my concerns taken seriously, I felt humiliated, angry, and depressed and my blood pressure went up. When I see a news story about discrimination, I start feeling these emotions all over again.” The settlement agreement included monetary damages and significant injunctive relief from both the appraiser and the lender. The lender agreed to provide appraisal and lending discrimination training for its employees; require appraisers to certify that they will not consider the race or ethnicity of the borrower or the racial or ethnic demographics of the neighborhood of the property being appraised; periodically evaluate their contract appraisers for evidence of discrimination, with consequences for those appraisers found to indicate discrimination; maintain a Consumer Complaint System for tracking and responding to consumer complaints of racial or ethnic bias against the lender or its appraisers; publicize on its website and in cover letters accompanying appraisal reports a phone number and email address for borrowers to contact if they suspect appraisal discrimination; conduct an internal review by an appraiser other than the original appraiser of any appraisal where the borrower requests a reconsideration of value and alleges that discrimination or bias may have affected the valuation, and order a new appraisal where an internal review indicates that the appraiser’s valuation was discriminatory or otherwise materially deficient; to participate in the Appraiser Diversity Initiative to recruit a more diverse appraiser workforce; and preserve records showing compliance with the agreement and provide them to FHANC upon request. Mr. Ustick agreed not to discriminate in the future; watch the ABC documentary “Our America: Lowballed”; attend a training session regarding the history of segregation and real estate-related discrimination in the Bay Area provided by FHANC; and continue to abide by the Bureau of Real Estate Appraisers’ continuing education requirements, including those outlined in California’s AB 948. “I’m happy to close the chapter on this,” said Ms. Trent. “Having to experience everything that came with receiving the lowballed appraisal was really difficult and stressful. Being able to tell my story and feeling as though I had people at FHANC in my corner really helped. I want people to know that if they experience discrimination, they can get help from an agency like FHANC, to investigate their case and help them file a complaint if that’s what they decide they want to do.” Ms. Trent was represented by FHANC Staff Attorney Savannah Wheeler and FHANC was represented by Supervising Attorney Julia Howard-Gibbon of FHANC. If you feel you may have been discriminated against in a recent home appraisal, contact FHANC’s office to complete an interview. Contact FHANC at [email protected] or 415-457-5025 x101. Fair Housing Advocates of Northern California (FHANC) is a non-profit organization serving several Bay Area counties that provides free counseling, enforcement, intervention, and legal or administrative referrals to persons experiencing housing discrimination. FHANC also offers foreclosure prevention counseling, pre purchase education, seminars to help housing providers fully understand fair housing law, and education programs for tenants and the community at large. FHANC is a HUD-Certified Housing Counseling Agency. Please call FHANC at (415) 457-5025 or TDD: (800) 735-2922 for more information. Note: This material is based on work supported by the Department of Housing and Urban Development (HUD) under FHIP PEI Grant FPEI220095. Any opinion, findings, and conclusions or recommendations expressed in this material are those of the author(s) and do not necessarily reflect the views of HUD.
April 17, 2024 FOR IMMEDIATE RELEASE Contact: Caroline Peattie, Fair Housing Advocates of Northern California (415) 483-7552, [email protected] Julia Howard-Gibbon, Supervising Attorney, Fair Housing Advocates of Northern California (415) 483-7516, [email protected] Announcing: Fair Housing Advocates of Northern California Settles Disability Discrimination Complaint San Rafael, CA – Fair Housing Advocates of Northern California (FHANC) settled a disability discrimination complaint against Burbank Housing Development Corporation (BHDC) and Burbank Housing Management Corporation (BHMC), who manage or own dozens of properties in Sonoma County, including Parkwood Apartments in Santa Rosa and Oak Ridge Apartments in Sonoma. The complaint settled for $41,500 and injunctive relief. The settlement can be accessed here. “We are very pleased with the outcome of this settlement and are encouraged with the changes that Burbank is making to the way they conduct business at their properties,” said Julia Howard-Gibbon, the Supervising Attorney who represented FHANC in the complaint. “Burbank manages hundreds of units of housing, so it has an enormous impact on the community where they operate. This settlement and the fair housing training Burbank employees receive is the first step to having a sound understanding of fair housing laws and how to comply with them, and specifically how to process reasonable accommodations for tenants with disabilities so they can have an equal opportunity to use and enjoy their housing. We applaud Burbank’s willingness to work with all parties to comply with fair housing law and employ best practices.” The complaint (which can be accessed here), which FHANC filed in June 2022 with the Department of Fair Housing and Equal Opportunity (FHEO) at the Department of Housing and Urban Development (HUD), alleged that Burbank and other named respondents discriminated against people with disabilities. “For many years, our agency had been receiving calls from tenants who have complained that agents at Burbank properties make it difficult for them to access reasonable accommodations in many ways – including unreasonably delaying responses to their requests, conditioning accommodations only if they agree to unreasonable terms, requesting unnecessary documentation in order to process their requests, and unreasonably or unjustifiably denying their requests,” said Caroline Peattie, FHANC’s Executive Director. “Our staff corroborated these allegations through their own experiences while attempting to assist clients in accessing reasonable accommodations from Burbank and others named in the complaint. In addition, we conducted investigative surveys at some of the named properties and found further evidence of discrimination.” FHANC alleged uncovering evidence of discriminatory policies and/or practices at properties owned and/or managed by Burbank and the other named respondents, including: 1) Policies and practices requiring tenants to use their form when requesting reasonable accommodations (and refusing to process requests if tenants did not use their form); 2) Policies and practices requiring tenants to authorize health care providers to broadly release their medical information in order to have their reasonable accommodation requests processed (and refusing to accept alternative forms of medical verification such as a letter from a doctor); 3) Policies and practices requiring tenants to consider alternative accommodations, even when the tenant establishes that the requested accommodation is necessary to accommodate the tenant’s disability and is not unreasonable; 4) Policies and practices requiring assistance dogs to conform to weight and/or breed restrictions; 5) Policies and practices requiring assistance animals to be on leash in common areas, even when the assistance animal is one that traditionally does not use a leash, such as a cat; 6) Practice of delaying and/or failing to respond to reasonable accommodation requests beyond a reasonable amount of time; and 7) Practice of denying reasonable accommodation requests, even when the disability and disability-related need for the requested accommodation is verified and/or known or obvious. In 2022, after receiving complaints from tenants residing at Burbank properties, FHANC and the Sonoma County Tenants Union (SCTU) conducted in-person surveys of tenants, first at Parkwood Apartments, and then at Crossroads Apartments. Canvassers from the two agencies met with multiple tenants who reported experiencing barriers to accessing reasonable accommodations from Burbank Management. FHANC conducted outreach to educate the community about disability discrimination, including multiple fair housing law workshops for local housing providers, which included fair housing laws related to disability discrimination and specifically reasonable accommodations. In addition to the monetary damages, the settlement agreement included significant injunctive relief. Burbank agreed to consider reasonable accommodation requests made at any time and in any manner, even if made orally or in writing not using their designated form; to only request medical verification if the disability and/or need for the accommodation is not obvious or apparent; to process requests in a timely manner; to acknowledge that any type of animal – and any breed or size – may qualify as an assistance animal even if it has no training; to not charge a deposit or surcharge for assistance animals; to allow each tenant with a disability their own individual animal (and not require them to share an animal); to review and revise their reasonable accommodation and modification policies, letters, and forms, as necessary to comply with fair housing laws (e.g. remove requirements that an animal must be spayed or neutered); revise their denial of reasonable accommodation notices to inform tenants that they have a right to dispute the denial by filing a grievance); to instruct all employees via email that they may not recommend or otherwise suggest that an individual obtain a specific type of assistance animal; and to ensure all employees who interact with applicants or tenants attend fair housing training. “The terms of the settlement are very encouraging,” said Ms. Peattie. “We are looking forward to working with Burbank in the future.” If you feel you may have experienced housing discrimination, contact FHANC’s office to complete an interview. Contact FHANC at [email protected] or 415-457-5025 x101 or fill out an online intake at https://www.fairhousingnorcal.org/. Fair Housing Advocates of Northern California (FHANC) is a non-profit organization whose mission is to ensure equal housing opportunity and to educate our communities on the value of diversity in our neighborhoods. FHANC serves several Bay Area counties and provides free counseling, enforcement, mediation, and legal or administrative referrals to persons experiencing housing discrimination. Fair Housing Advocates of Northern California also offers foreclosure prevention counseling, pre-purchase education, seminars to help housing providers fully understand fair housing law, and education programs for tenants and the community at large. Fair Housing Advocates of Northern California is a HUD-Certified Housing Counseling Agency. Please call Fair Housing Advocates of Northern California at (415) 457-5025 or TDD: (800) 735-2922 for more information. Note: This material is based on work supported by the Department of Housing and Urban Development (HUD) under FHIP PEI Grant FPEI190035. Any opinion, findings, and conclusions or recommendations expressed in this material are those of the author(s) and do not necessarily reflect the views of HUD.
April 4, 2024
FOR IMMEDIATE RELEASE Contact: Caroline Peattie, Executive Director, Fair Housing Advocates of Northern California (415) 483-7552, p[email protected] Julia Howard-Gibbon, Supervising Attorney, Fair Housing Advocates of Northern California (415) 483-7516, j[email protected] Announcing: Fair Housing Advocates of Northern California Settles Source of Income Discrimination Complaint San Rafael, CA – In March 2023, Fair Housing Advocates of Northern California (FHANC) filed a discrimination complaint with the California Civil Rights Department (CRD), alleging source of income discrimination against the owner and manager of Novato Park Apartments because of their ban on renting to people with Section 8 housing choice vouchers, which violates’ California’s Fair Employment and Housing Act. One year later, an agreement was reached between the parties settling for $35,000, policy changes, training, and posting vacancies to sites serving people with Section 8 vouchers. In the spring of 2021, FHANC released the results of its testing investigations of Marin, Sonoma, and Solano counties to ascertain the extent to which Black renters with Section 8 vouchers experienced discrimination when applying for rental housing. The publicity included the results of the investigation and sought to educate the community about the California law that went into effect in January 2020 making it illegal to discriminate against renters with housing subsidies. Soon after, in May 2021, the Marin Independent Journal (IJ) published a Letter to the Editor submitted by the manager of Novato Park Apartments, stating that they no longer accepted any tenants with Section 8 vouchers because of a difficulty they had previously had with a Section 8 tenant. FHANC emailed and sent a letter to the manager, explaining the law once again, letting him know that the reason he gave for not renting to Section 8 tenants did not negate the discriminatory effect of their policy. FHANC also submitted a response letter to the Marin IJ that FHANC and the Marin Housing Authority collaborated in writing, explaining source of income discrimination so that the community was made aware that it was illegal to deny renters because of their housing vouchers. “It’s really important that landlords do not make the decision to rent to an entire group of people because they had a couple of bad experiences, particularly if that decision involves a blanket refusal to rent to a group of people protected under fair housing law,” said Caroline Peattie, Executive Director of FHANC. “While you may have a negative experience renting to a Section 8 voucher recipient, renting only to those who don’t have housing vouchers is no insurance against a bad experience. The best way of gauging whether or not someone will be a good tenant is to contact previous landlords, rather than making assumptions about an applicant based solely on unrelated characteristics.” Because voucher holders are usually more likely to be members of other protected classes (e.g.: people of color, women, people with children, and people with disabilities), excluding all voucher holders from rental properties will have a discriminatory effect, even if the reason for the denial is not based on animus toward protected groups. FHANC then conducted several fair housing testing investigations – in September 2021, March 2022, and February 2023, which all confirmed that the apartment complex was still not accepting Section 8 tenants (“We don’t take those, sorry… we’ve had trouble in the past”). “We’re pleased with this settlement,” said Peattie. “We believe strongly in educating the community about both well-established and new fair housing laws – which we did in this case through publicizing the results of our testing investigations, replying directly to the manager’s discriminatory statements in the newspaper, and submitting an editorial letter to educate the community – but sometimes it’s necessary to file enforcement actions to bring attention to fair housing laws and how to comply with them. In this particular case, we were very pleased that the owner took advantage of CRD’s mediation process and was willing to negotiate in good faith for a positive outcome for the community.” In addition to the monetary settlement, the owner and manager agreed to the following:
The full settlement can be reached here. “When we find evidence of discrimination as a result of our fair housing investigations, even when a client has not come forward with a complaint, our agency has legal standing to file a complaint,” said Julia Howard-Gibbon, FHANC’s Supervising Attorney. “This is an opportunity for FHANC to ensure that discriminatory policies are addressed so that future rental applicants won’t be illegally turned away because they have a housing voucher." If you feel you may have experienced housing discrimination, contact FHANC’s office to complete an interview. Contact FHANC at [email protected] or 415-457-5025 x101 or fill out an online intake at https://www.fairhousingnorcal.org/. December 18, 2023 FOR IMMEDIATE RELEASE Contact: Caroline Peattie, Fair Housing Advocates of Northern California (415) 483-7552, [email protected] Announcing: Fair Housing Advocates of Northern California Releases Report of Investigation into Discriminatory Housing Policies Related to National Origin and Familial Status San Rafael, CA – This week Fair Housing Advocates of Northern California (FHANC) released a report of their findings resulting from an investigation of housing discrimination against Latinx parents. The investigation of sixty (60) landlords operating rental properties in Marin, Solano, and Sonoma counties was carried out from January through April 2023, with twenty (20) properties investigated in each county. Trained pairs of testers – one Latinx and one white non-Latinx – posed as potential renters with children and called to inquire about the availability of listed rental properties. FHANC compared the experience of the testers to determine whether disparities existed in the way each tester was treated and whether they were offered or told about different housing opportunities, policies, terms, and/or amenities. Discriminating against households with children or expressing a preference for households without children is considered familial status discrimination, which is prohibited by fair housing laws. Similarly, discrimination against Latinx renters is considered national origin discrimination, which is also prohibited. At over 58% of the properties investigated, FHANC found evidence of familial status discrimination (39%), national origin discrimination (over 30%), or both (15%). Many of the tests revealing discrimination showed that housing providers refused outright to rent to families with children or had policies that disproportionately affected families, such as overly restrictive occupancy rules. Additionally, some housing providers who discouraged the Latinx tester from renting because she had children made no such discouraging comments to the white non-Latinx tester or were willing to make exceptions to occupancy rules for the white tester, revealing evidence of discrimination based on both familial status and national origin. Tests conducted in Marin County revealed the highest incidence of discrimination, with 67% of tests revealing at least some evidence of discrimination. Fifty-three percent of the tests conducted in Marin County revealed evidence of familial status discrimination. While Marin tests revealed the most discrimination overall, tests in Sonoma County revealed the greatest evidence of national origin discrimination. Housing providers in Solano County were the least discriminatory, with 25% of tests revealing evidence of familial status discrimination and 23.5% revealing evidence of national origin discrimination. Tests at 14 large properties comprising 2,646 units – “large” being defined as those with more than 50 units – showed significantly less evidence of discrimination (just over 21%) than the 44 tests conducted at small and medium sized properties (72% and 67%, respectively). The small and medium sized properties comprised 276 units combined. This disparity was most pronounced in tests revealing evidence of familial status discrimination: while 56.7% of tests at small properties and 46.2% of tests at medium sized properties revealed evidence of familial status discrimination, not a single test conducted at a large property revealed evidence of familial status discrimination. “Though federal and state fair housing laws have prohibited housing discrimination on the basis of national origin and familial status for decades, the complaints we receive and results of investigations such as this one show that Latinx families continue to experience discrimination as a barrier to housing choice,” said Caroline Peattie, Executive Director of FHANC. “Discrimination against Latinx renters is compounded when they have children. It’s clear that more enforcement actions are needed, as well as increased education and outreach to property owners and managers, particularly those of smaller properties and in areas where instances of discrimination were the highest. When housing providers are willing to openly state their discriminatory housing policies, even in writing, that suggests the likelihood that at least some are unaware of their legal obligations. This really points to the need for increased education and outreach.” The report makes a number of recommendations, including disseminating the report to officials in the tri-county area as well as the general public, media, and advocacy groups as an important educational tool; monitoring the sites where there was an indication of differential treatment and taking possible enforcement action; training private and public housing providers and working with them to ensure they understand the law; conducting additional audits; and spreading the word to potential targets of discrimination. “It’s really difficult to find any kind of affordable housing in the Bay Area now,” said Peattie. “This report points out how much more difficult it is for single Latinx mothers. We need to redouble our efforts to make sure housing providers not only understand the law but comply with it, and start removing barriers for families with children and particularly Latinx families.” If you feel you may have experienced housing discrimination, contact FHANC’s office to complete an interview. Fill out an online intake at https://www.fairhousingnorcal.org/ or contact FHANC at [email protected] or 415-457-5025 x101. Fair Housing Advocates of Northern California (FHANC) is a non-profit organization whose mission is to ensure equal housing opportunity and to educate our communities on the value of diversity in our neighborhoods. FHANC serves several Bay Area counties and provides free counseling, enforcement, mediation, and legal or administrative referrals to persons experiencing housing discrimination. Fair Housing Advocates of Northern California also offers foreclosure prevention counseling, pre-purchase education, seminars to help housing providers fully understand fair housing law, and education programs for tenants and the community at large. Fair Housing Advocates of Northern California is a HUD-Certified Housing Counseling Agency. Please call Fair Housing Advocates of Northern California at (415) 457-5025 or TDD: (800) 735-2922 for more information. Note: This material is based on work supported by the Department of Housing and Urban Development (HUD) under FHIP PEI Grant FPEI220095. Any opinion, findings, and conclusions or recommendations expressed in this material are those of the author(s) and do not necessarily reflect the views of HUD
FOR IMMEDIATE RELEASE
Contact: Caroline Peattie, Fair Housing Advocates of Northern California (415) 483-7552, [email protected] Fair Housing Advocates of Northern California Announces Collaboration with the City of Richmond and Just Cities, LLC to Work to Analyze Housing Challenges and Recommend Comprehensive Policy Solutions Following a Historic Settlement with Fannie Mae Focused on Rebuilding Communities of Color San Rafael, CA — As of September 18, 2023, Fair Housing Advocates of Northern California (FHANC) has announced a collaboration with Just Cities, LLC, and the City of Richmond. The partnership aims to create a Housing Equity Roadmap for Richmond, funded by a settlement with Fannie Mae (formally known as the Federal National Mortgage Association). The settlement addresses allegations that Fannie Mae unfairly treated foreclosed homes in communities of color. Although the settlement has nationwide implications, the funds received by FHANC will specifically target the City of Richmond. FHANC, through its partner, Just Cities, LLC will develop comprehensive anti-displacement, affordable housing, and healthy housing policies for the City of Richmond. “I am really pleased that we can apply settlement funds toward the revitalization of the City of Richmond,” said Caroline Peattie, Executive Director of Fair Housing Advocates of Northern California. “We are excited that the commitments Fannie Mae made in the settlement allow us to analyze housing challenges and recommend comprehensive policy solutions to the City of Richmond. Though we’ve been working to Affirmatively Further Fair Housing in multiple jurisdictions for many years.” Just Cities had been working to Affirmatively Further Fair Housing too. Staff were consultants to the City of Richmond when the City prepared its most recent Housing Element. Just Cities’ research was included in the Housing Element. The Richmond City Council voted and approved another contract for Just Cities to continue its transformative community planning work in Richmond by developing a Housing Equity Roadmap (HER). The HER will serve as an action plan for the Affirmatively Furthering Fair Housing Meaningful Actions with immediate and long-term housing and anti-displacement policy solutions. "I am really excited to be part of this collaboration where we rely on the local wisdom of community members to combat the local housing crisis. While our collaborative is diverse, we all want to make Richmond a better place to live, while making it easier for Richmond residents to live and thrive," said Mariel Mendoza, Community-Centered Policy and Research Manager of Just Cities. “The foreclosure crisis of the mid-2000s had a significant impact on Richmond,” said Richmond Mayor Eduardo Martinez. “It's fitting that this settlement will funnel investment back into our community, enabling us to put essential housing policies and programs in place. Our aim is to ensure that every resident of Richmond has the opportunity for affordable, secure, and dignified living conditions.” About Fair Housing Advocates of Northern California Fair Housing Advocates of Northern California is a non-profit organization serving several Bay Area counties that provides free counseling, enforcement, mediation, and legal or administrative referrals to persons experiencing housing discrimination. Fair Housing Advocates of Northern California also offers foreclosure prevention counseling, pre-purchase education, seminars to help housing providers fully understand fair housing law, and education programs for tenants and the community at large. Fair Housing Advocates of Northern California is a HUD -Certified Housing Counseling Agency. Please visit www.fairhousingnorcal.org and submit an intake form or call Fair Housing Advocates of Northern California at (415) 457 -5025 or TDD: (800) 735 -2922 for more information. About Just Cities Just Cities LLC advances racial justice in public policy and urban planning through community-centered design and community engagement. Staff organize collaborative initiatives with marginalized residents that are directly impacted by zoning policies, government leaders, and other stakeholders to tackle the racial and social justice issues facing Bay Area and California cities including homelessness, displacement, and re-entry justice. Just Cities staff solve social and economic injustice by addressing the root causes of systemic injustice, designing, and implementing policy change solutions. Their work has led to local, statewide, and national best practice policies, including an anti-displacement safety fund for struggling low-income tenants and homeowners that are at risk for displacement, homeless prevention funds for Alameda County and the City of Richmond, and the Oakland Housing Equity Roadmap, which is a national model for comprehensive anti-displacement, affordable housing, and health housing policies adopted by the City of Oakland. Please visit https://www.justcitiesllc.com/. About the City of Richmond Located in West Contra Costa County along the eastern shore of San Francisco Bay, Richmond was established under its first charter in 1908. The city is home to a diverse population of over 110,000 residents, featuring a mix of ethnic backgrounds that include sizable African American, Hispanic, and Asian communities. The city is easily accessible, with two major highways, an Amtrak/BART station, and a ferry terminal. Over the years, Richmond has been proactive in adopting policies aimed at reducing the displacement of our residents. Richmond voters have approved ballot initiatives such as Measure L and Measure P, which focus on implementing rent control and establishing rent control caps. In an effort to improve quality of life and provide fair outcomes for all Richmond residents regardless of race, the City must hold itself accountable to acknowledge and correct disparities caused by a history of inequitable policy decisions. The goal is to integrate a racial equity lens into all city services to foster a healthy and inclusive community for all. FOR IMMEDIATE RELEASE
Contact: Caroline Peattie, Fair Housing Advocates of Northern California (415)483-7552, [email protected] Fair Housing Advocates of Northern California settles two housing discrimination cases and offers freetraining for landlords in light of investigation revealing high rates of disability discrimination San Rafael, CA — Fair Housing Advocates of Northern California (FHANC) is offering a free fair housing training for landlords after recently settling two disability discrimination cases and conducting a large scale testing” investigation of 111 properties that revealed significant rates of disability discrimination (55%) among Marin, Sonoma, and Solano County landlords, particularly those operating small rental properties. FHANC is dedicated to ensuring equal housing opportunity. The agency provides education to housing providers through fair housing training as well as courtesy notices when it flags rental listings that include discriminatory language. Of the 62 discriminatory rental listings flagged last year, 29% contained language or policies that discriminated against people with disabilities. Additionally, 79% of the fair housing complaints FHANC received last year were from individuals alleging disability discrimination or seeking assistance with a disability-related housing need. FHANC conducts “testing” investigations to assess the extent of discrimination in a particular area or to investigate specific complaints. Trained testers pose as prospective renters and respond to rental listings in order to determine how applicants with protected characteristics, such as disability, are treated in comparison to those without protected characteristics. FHANC releases the results of these investigations to the public and, in some cases, files complaints or lawsuits against housing providers where evidence of discrimination is uncovered. FHANC recently settled two complaints that it filed with California’s Civil Rights Department (CRD) against landlords for failing to accommodate tenants with disabilities. In both cases FHANC initially reached out to the housing providers after flagging rental listings that stated “no animals.” FHANC provided courtesy notices explaining that landlords have an obligation to provide exceptions to rental policies, or reasonable accommodations, to people with disabilities who need such accommodations and that a policy that excludes all animals is discriminatory if the landlord is unwilling to make exceptions for assistance animals. After FHANC sent these notices, one rental listing remained unchanged while the other was amended to explicitly state that exceptions would not be made for emotional support animals. FHANC subsequently conducted “tests” at both properties, all of which revealed evidence of discrimination. Both housing providers told testers posing as prospective renters with disabilities, that they would not rent to applicants who required emotional support animals. Consequently, FHANC filed complaints with CRD, both of which resulted in settlement agreements in which the housing provider agreed to attend fair housing training at their own expense. One of the settlements required the housing provider to take two years of training, send future rental listings to a local organization that serves people with disabilities, and pay FHANC $2,000 in monetary damages. “Both these complaints were easily avoidable,” said Caroline Peattie, Executive Director of FHANC. “We find that discrimination occurs more often at smaller properties, and both these complaints were at small properties. We conducted an investigation to test for disability discrimination in our service area back in 2021 and one of the most significant findings was the extremely high rate of discrimination uncovered at properties owned by ‘mom and pop’ landlords.” The investigation revealed that properties with 10 or fewer units evidenced discrimination 73% of the time versus the relatively low rate of discrimination at properties with more than 50 units (20%). “This points to a clear need to increased education and outreach to smaller housing providers,” said Peattie, “so they understand their obligation to provide reasonable accommodations under fair housing laws. That’s why we’ll be offering a free fair housing training for housing providers so that smaller landlords will have the opportunity to learn and understand the fair housing laws they must adhere to so they can put sound, legal policies in place.” Registration for the free fair housing law and practice training is open now on FHANC’s website. (Link: https://www.fairhousingnorcal.org/events--workshops) Peattie noted that a systemic investigation conducted earlier this year tested for national origin and familial status; a press release and report of the findings will be released soon. “We noticed the same pattern as our other investigations: tests conducted at small properties (1-4 units) and medium sized properties (5-50 units) showed the most evidence of discrimination – 72% and 67% respectively – while only 21% of tests conducted at large properties showed evidence of discrimination. We encourage housing providers to make sure they understand fair housing law and run a fair, legal business.” About Fair Housing Advocates of Northern California Fair Housing Advocates of Northern California is a non-profit organization serving several Bay Area counties that provides free counseling, enforcement, mediation, and legal or administrative referrals to persons experiencing housing discrimination. Fair Housing Advocates of Northern California also offers foreclosure prevention counseling, pre-purchase education, seminars to help housing providers fully understand fair housing law, and education programs for tenants and the community at large. Fair Housing Advocates of Northern California is a HUD-Certified Housing Counseling Agency. Please visit www.fairhousingnorcal.org and submit an intake form or call Fair Housing Advocates of Northern California at (415) 457-5025 or TDD: (800) 735-2922 for more information. July 12, 2023
FOR IMMEDIATE RELEASE Contact: Caroline Peattie, Fair Housing Advocates of Northern California (415) 483-7552, [email protected] Fair Housing Advocates of Northern California Expands Fair Housing Services in Solano County Following Historic Settlement with Fannie Mae Focused on Rebuilding Communities of Color San Rafael, CA — As of July 1, 2023, Fair Housing Advocates of Northern California (FHANC) expanded its services in Solano County following a landmark $53 million settlement with Fannie Mae (formally known as the Federal National Mortgage Association) to resolve a case arising from allegations that Fannie Mae treated foreclosed homes in communities of color unfavorably. While the settlement affects multiple communities across the country, the settlement funding FHANC receives will specifically target communities in Solano County. Funding from HUD’s Fair Housing Initiative Program and the cities of Vallejo and Fairfield has allowed the agency to provide fair housing services in those two cities, and a $15,000 grant from the Solano Community Foundation last fall allowed an expansion of service to unincorporated Solano County for a year. Now some of the funds from the Fannie Mae settlement will be used to provide fair housing, foreclosure prevention, and prepurchase services to all areas of the county, including Vacaville, where residents have not previously received fair housing education, counseling, investigation, and representation in the administrative complaint process. “I am really pleased that we can apply settlement funds toward the revitalization of communities in Solano County,” said Caroline Peattie, Executive Director of Fair Housing Advocates of Northern California. “We are excited that the commitments Fannie Mae made in the settlement allow us to expand our services in Solano County. Though we’ve been providing fair housing services to the cities of Fairfield and Vallejo since 2016 through grants from those jurisdictions, we are looking forward to the positive changes these settlement funds can now also effect in Vacaville and other unincorporated areas of Solano County.” In addition to providing fair housing, foreclosure prevention, and pre-purchase services in Solano County through its settlement funds, FHANC is also using funds to partner with the Community Housing and Development Corporation (https://communityhdc.org), providing downpayment assistance to first time homebuyers in the county. About Fair Housing Advocates of Northern California Fair Housing Advocates of Northern California is a non-profit organization serving several Bay Area counties that provides free counseling, enforcement, mediation, and legal or administrative referrals to persons experiencing housing discrimination. Fair Housing Advocates of Northern California also offers foreclosure prevention counseling, pre-purchase education, seminars to help housing providers fully understand fair housing law, and education programs for tenants and the community at large. Fair Housing Advocates of Northern California is a HUD-Certified Housing Counseling Agency. Please visit www.fairhousingnorcal.org and submit an intake form or call Fair Housing Advocates of Northern California at (415) 457-5025 or TDD: (800) 735-2922 for more information. March 6, 2023
FOR IMMEDIATE RELEASE Contact: Caroline Peattie, Executive Director, Fair Housing Advocates of Northern California (415) 483-7552, [email protected] Julia Howard-Gibbon, Supervising Attorney, Fair Housing Advocates of Northern California (415) 483-483-7516 [email protected] Lawsuit Alleging Race Discrimination in Home Appraisal Process Settled with Appraiser San Rafael, CA –Fair Housing Advocates of Northern California (FHANC), Tenisha Tate-Austin, and Paul Austin announce the settlement of a lawsuit against a licensed real estate appraiser. The plaintiffs filed the fair housing lawsuit in federal district court in December 2021 alleging housing discrimination due to race in the appraisal process, and in October 2022 settled their claims against AMC Links LLC, an appraisal management company. The complaint can be found here. The appraiser denied any and all liability in connection with the claims made in the lawsuit. “This is a landmark case,” said Caroline Peattie, FHANC’s Executive Director. “The Austins’ case was a dramatic example of how an unfairly low appraisal can affect your ability to access a loan with good terms and build generational wealth. Unfortunately, their experience is not unique. Studies show that Black and Latinx applicants are more likely than white applicants to receive an appraisal value lower in both the sales and refinancing process. These studies show that appraisers choose so-called comparable properties (“comps”) of other property sales located substantially closer to the property being appraised if it’s located in a predominantly Black or Latinx census tract than if it’s located in a predominantly white census tract, even if those closer properties are not at all comparable – so appraisers likely still view neighborhoods and relevant comps based on racial demographics, which is part of what what we believe happened in the Austins’ case.” In December 2016, Tenisha Tate-Austin and Paul Austin, a Black couple, purchased a house in Marin City, an unincorporated area in Marin County, California, and moved into their house with their children. (As of July 2019, Black residents accounted for 36% of Marin City’s population, compared to less than 3% of the county as a whole.) The couple made substantial renovations that increased the square footage of the house, upgraded many features, and began renovations on an accessory dwelling unit. They decided to refinance their mortgage in 2020. Home buyers and homeowners are generally required to have an appraisal to obtain a mortgage or refinance a mortgage. The appraiser inspected the Austins’ house and appraised it at $995,000. The Austins believed that their race and the racial demographics of Marin City played a role in the low estimate of value and requested a second appraisal. Three weeks after the first appraisal inspection, a different appraiser valued the home at $1,482,500, nearly half a million dollars higher. Between the two appraisals, the Austins erased any evidence of their racial identities inside their house, removing family photos and African-themed art. Their white friend, who replaced the Austins’ family photos with photos of her own family, was the only person present during the second inspection. The settlement agreement included an undisclosed monetary amount with additional terms, including that the appraiser agrees not to discriminate in the future, will watch the ABC documentary “Our America: Lowballed” (which features the Austins’ story); attend a training session regarding the history of segregation and real estate-related discrimination in Marin County provided by FHANC; and continue to abide by the Bureau of Real Estate Appraisers’ continuing education requirements, including those outlined in California’s AB 948. “We’re glad that we can put this lawsuit behind us,” said Paul Austin. “Having to experience everything that came with receiving the lowballed appraisal was overwhelming. Being able to tell our story and knowing we had legal recourse helped. We want others to know that if you experience discrimination, you can go to your local fair housing agency so they can investigate your case and help you if you want to file a complaint.” “We missed out on a better interest rate because of the unfair appraisal we received,” said Tenisha Tate-Austin. “Having to erase our identity to get a better appraisal was a wrenching experience. We know of other Black families who either couldn’t get a loan because of a discriminatory appraisal and therefore either lost the opportunity to buy or sell a home, or they had to sell their home because they had an unaffordable loan. Neighborhoods of color have been historically undervalued due to deliberate racist housing policies, such as redlining. The ongoing undervaluation of homes in Black neighborhoods perpetuates the wealth gap between Black and white families. We hope by bringing attention to our case and this lawsuit settlement, we can help change the way the appraisal industry operates, and we can start to see a different trend.” The Austins and FHANC were represented by counsel Julia Howard-Gibbon of FHANC and Liza Cristol-Deman of Brancart & Brancart. If you feel you may have been discriminated against in a recent home appraisal, contact FHANC’s office to complete an interview. Contact FHANC at [email protected] or 415-457-5025 x101. _____________________________________________________________________________________________________ Fair Housing Advocates of Northern California is a non-profit organization serving several Bay Area counties that provides free counseling, enforcement, intervention, and legal or administrative referrals to persons experiencing housing discrimination. Fair Housing Advocates of Northern California also offers foreclosure prevention counseling, pre-purchase education, seminars to help housing providers fully understand fair housing law, and education programs for tenants and the community at large. Fair Housing Advocates of Northern California is a HUD-Certified Housing Counseling Agency. Please call Fair Housing Advocates of Northern California at (415) 457-5025 or TDD: (800) 735-2922 for more information. Note: This material is based on work supported by the Department of Housing and Urban Development (HUD) under FHIP PEI Grant FPEI190035. Any opinion, findings, and conclusions or recommendations expressed in this material are those of the author(s) and do not necessarily reflect the views of HUD. |
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