ECONOMIC DEVELOPMENT AND AFFORDABLE HOUSING

Economic development and affordable housing are two interrelated and fundamental concerns on the Vineyard. Much of the local economy is based on seasonal residents and visitors and is thus particularly dependent on the quality of the environment and the quality of life offered on the Island. The key to a stable economy is the ability for a community to maintain adequate housing opportunities for its workforce.

ECONOMIC DEVELOPMENT

Economic development encompasses many regional issues that affect the island of Martha's Vineyard. Issues such as housing, transportation, infrastructure, and the environment all play a role in the island's ability to attract and sustain businesses, tourists, and the cultural continuity of our community. The Martha's Vineyard Commission's enabling legislation mandates the MVC to promote the "enhancement of sound local economies." The MVC acts in several capacities to serve the public toward that goal.

ECONOMIC INFORMATION

Economic data collection and analysis are essential tools for laying the foundation from which cities and towns can compete and prosper in the future. However, there are many challenges that are unique to Martha's Vineyard simply because it is an island and it has an economy that relies heavily on the tourist industry. Given the seasonal nature of the Vineyard's economy, there are a several key economic indicators that are either unknown or there is extremely limited information that would quantify how well the Vineyard is actually fairing economically.

The MVC serves as a repository for collecting and conducting data analysis through the Commission's MVCDataReport [document not yet available online] that contains demographic, economic, housing, and transportation information from various federal, state, and local resources.
The MVC worked with the Martha's Vineyard Chamber of Commerce to conduct an extensive Extensive Survey of Island Busin (SurveyIslandBusinesses 110K) .

OUTREACH PROGRAMS

The Martha's Vineyard Commission has also done outreach within the business community.

The MVC hosts Entrepreneurial Workshops in conjunction with the South Eastern Economic Development Corporation (SEED).
Since 1994, the MVC has worked with the Martha's Vineyard Chamber of Commerce to organize an annual Trade Show for year-round businesses to promote their trades and services.

MUNICIPAL FISCAL IMPACTS

The MVC carried out a study of the CostCommunSvcs [document not yet available online] to Island municipalities.

AFFORDABLE HOUSING

Across the Commonwealth, the rapidly rising cost of housing threatens the ability for families to find adequate accommodation and also undermines the ability of the state's economy to retain an adequate workforce. This has led state and local government to address the issue of affordable housing more aggressively in recent years.

The issue of housing affordability is particularly acute on the Vineyard. Since 1997 the median sales price for a home on the Vineyard has almost doubled in price from $205,000 to $400,000 in 2002. Several factors appear to be contributing to the affordability crisis on the Vineyard.

The growing population of the Northeastern states and the finite size of the Vineyard means that there is increasing development pressure on the Island. Much of the Island has already been built up and there is considerable demand, for both development and conservation purposes, of the remaining available land.
As with other seasonal tourist areas, permanent residents must compete with vacation renters or homebuyers. Second-home buyers can outbid year-round residents wanting to purchase homes. Many tenants do not have stable year-round housing and are required to do the "Island shuffle", vacating their winter housing between May and September, so that owners can rent those accommodations at higher summer rates.
Seasonal workers further add to the pressure for housing during the tourist season.

According the 2000 US Census, less than 44% of Vineyard homes are occupied on a year-round basis, giving credibility to the argument that the Vineyard does not have a housing shortage but rather the Vineyard lacks available affordable housing for year-round occupancy.

For the past four years there has been a strong grass roots effort within the private and not-for-profit sectors to address the affordable housing problem on the Vineyard.

COMMISSION EFFORTS IN AFFORDABLE HOUSING

The Martha's Vineyard Commission assists town efforts to create and support affordable housing efforts through various state and federal grant opportunities or programs.

In 1998, the MVC adopted an AffordHousingActPlan [document not yet available online] that identifies twenty-four actions in order of importance as designated by the six towns of Martha's Vineyard.
In 2000, the MVC provided the towns with strategies to address affordable housing through zoning.
More recently, the MVC has work in collaboration with the Dukes County Regional Housing Authority to ensure that the towns have applied for and received Housing Certification under the State program of Executive Order 418 which gives certified communities an advantage when applying for state grants.
The MVC and DCRHA work together to create and maintain an MapAffordHousingDBase [document not yet available online] mapped for each town that allows towns to view and identify possible sites for future developments of affordable housing.
The MVC has an Affordable Housing Policy (AffordHousingPolicy 737K) for Developments of Regional Impact, which outlines how the Commission estimates the potential impact on affordable housing for various types of residential and non-residential projects it reviews as Developments of Regional Impact. This policy can also be used by DRI applicants to develop counter measures or proposals to off-set the estimated detriment.

ECONOMIC DEVELOPMENT AND AFFORDABLE HOUSING RESOURCES

STAFF CONTACT

Christine Flynn, Economic Development & Affordable Housing Planner, ext. 13, flynn@mvcommission.org

MVC PUBLICATIONS

USEFUL LINKS

Economic Development

Affordable Housing