A new report from the LISC Research and Evaluation and LISC Policy teams looks at how state and local policies can help root out embedded racial and economic discrimination, and serve to propel the creation of affordable housing and inclusive economic development in local places. In the following blog, report authors Sara Feierstein and Michelle Harati preview their findings and the crucial ways communities can benefit from policy that promotes equity.
Public policies help determine the resources available for community development at the state and local level, and also shape the broader local landscape of housing affordability, job quality, and a host of other issues from policing to public health. Acknowledging this reality, in December month of last year, LISC distributed a State and Local Policy Survey to over twenty thousand community and economic development practitioners in rural and urban places across the country, as well as to our partners in state and local government, philanthropy and the financial sector. The survey sought to identify the most critical issues our partners face, and to collect innovative policy solutions designed to address those issues. The result is Local Change, Big Impact, a new LISC report that summarizes the survey responses in an effort to inform the development and implementation of state and local policy and shares insights about the allocation of federal resources in local places.
The report focuses on the two issue areas that our partners identified as being the most critical to their communities: affordable housing and economic development. Respondents gave particular attention to policies that promote economic mobility and wealth-building, and help people stay close to areas of opportunity. These policies aim to 1) increase home and business ownership, 2) build and preserve affordable housing, 3) protect tenants and consumers, and 4) eliminate transportation, regulatory and educational barriers that prevent individuals from accessing economic opportunities.
The ongoing health and economic crises brought on by the COVID pandemic are exacerbating longstanding inequities in historically underinvested and underserved communities. Outdated policies, coupled with structural racism, leave some communities particularly vulnerable to the impact of the pandemic. In fact, the current recession is the most unequal in modern U.S. history, with disproportionately high rates of infections and deaths, employment losses, and business closures occurring in communities of color. While this report reflects survey responses gathered before the onset of the pandemic, the policies described, and the recommendations shared will be all the more instructive as we recover and rebuild.
Our respondents made it clear that the policy tools most essential to them are those that help undo the impacts of discriminatory policies and practices, and aim to right past injustice. Their voices show that it is critical for localities and states to craft comprehensive, community-informed policies that address systemic discrimination. This legacy of systemic racism left many BIPOC communities more vulnerable to economic shocks like the one we’re experiencing today, and understanding this history is key to creating the kind of policies that can help communities become more resilient. For example, the history of redlining and its enduring impact on the ability of Black families to build wealth is a prime case of racist public practice that requires intensive policy actions, among other kinds of action, to redress.
The pandemic has also highlighted the imperative of increased resources from federal, state, and local government to ensure that household and community needs are met during this critical time and beyond. By increasing our state and local policy engagement, LISC can work more work closely with partners to forge coalitions and partnerships to advocate for the types of policies that will help communities recover from the pandemic and the recession, and ultimately flourish.
It is our hope that the examples highlighted in the report will serve as a reference for the types of programs that build more equitable communities.
LISC’s Research and Evaluation team investigates the local and state policies that help (or hinder) communities working to advance economic mobility and racial equity. Drawing on feedback from dozens of community partners and government agencies, the report analyzes the particular need for more affordable housing and inclusive economic development in local places, and common efforts to undo systemic discrimination—all of which rely on good state and local policy to move forward.
