Tag Archives: Drawing Detroit

Public Corruption Continues to Grow in Southeastern Michigan

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Metro-Detroit is not unfamiliar with public corruption. At least once a year, but usually more often than that, a public corruption cases surfaces in Southeastern Michigan that involves a public official. Recent headlines have been focused on several public officials, including four from the Detroit City Council, three from the Detroit Police Department and three from Macomb County. These charges have surfaced over the last year or so, and have only driven the total number of public corruption cases that can be accounted for in the last four years. In total, there have been at least 32 public corruption charges since 2016 in Southeastern Michigan that involve either an elected official or a public employee. When including public contractors that number rises to about 40.

Most recently, investigations involve Detroit City Councilmembers Andre Spivey, Janee Ayers and Scott Benson. Last week, Andre Spivey pled guilty to federal bribery charges and admitted he and an aide received almost $36,000 in bribes. This case involving Spivey is connected to a larger investigation related to its towing operations. Ayers and Benson have not been charged with any crimes, however their homes have been raided in connection with this broad FBI investigation, according to news reports. The chief of staffs for Ayers and Benson are also included in this investigation but have not been charged. Since Ayers, Benson and their chief of staffs have not been charged with any crimes they were not included in the total number of regional corruption cases since 2016.

In addition to members of the Detroit City Council being investigated for possible crimes related to public corruption tied to City towing policies, so are three members of the Detroit Police Department. According to news reports from the Detroit Free Press and Detroit News, at least three members of the Detroit Police Department are suspected of accepting bribes from towing industry figures; no charges have been filed so these unnamed individuals were also not included in the regional public figure count.

In addition,  former Detroit Councilman Gabe Leland pled guilty to misconduct in office in May of 2021, and he resigned from City Council following the plea. Leland’s guilty plea stemmed from him being indicted on federal bribery charges and a felony misconduct in office charge for accepting $15,000 in cash and free car repairs in exchange for his vote on a land deal, according to the FBI. Leland admitted to accepting the cash when he pled guilty.

As corruption charges continue to surface in Detroit, public information from the FBI, news sources and local court documents shows that there have been at least 15 public corruption cases involving Detroit councilmembers or Detroit staffers; this number does not include contractors or business figures who have been involved in these corruption cases. In Wayne County (excluding Detroit), since 2016, there have been four public corruption charges. Wayne County, including Detroit, has the highest number of public corruption charges in the region, and the state, followed by Macomb County.

In Macomb County, the recent names making headlines for alleged public corruption are former Macomb County Prosecuting Attorney Eric Smith, former Macomb County Chief Assistant Prosecutor Ben Liston and suspended Macomb County Assistant Prosecutor Derek Miller. Miller recently asked for the misconduct in office and conspiracy to commit a legal in an illegal manner charges against him to be dropped. This request came because, according to news reports, Miller’s attorney claims there was no criminal intent with his interaction related to the larger case of alleged misuse of forfeiture funds by Smith. The charges still currently stand against Miller though, and Liston pled guilty to embezzlement charges for improper use of forfeiture funds in September of 2021. With this plea he is required to testify against Smith if requested to do so.

As for Smith, he pled guilty to a federal obstruction of justice charge for covering up theft from his campaign fund. While he pled guilting to this federal corruption charge in January of 2021, he has yet to be sentenced, in part because of his ongoing public corruption case with the State Attorney General’s Office. At the state level, Smith has been charged with five counts of embezzlement by a public official, one count conducting a federal enterprise, official misconduct in office, tampering with evidence in a civil proceeding, accessory after the fact to embezzlement by a public official and one count conspiracy to commit forgery, according to the Michigan Attorney General’s Office. Smith’s felony charges from the Michigan Attorney General’s Office are all in relation to alleged misuse of forfeiture funds. The initial charges against Smith were the state charges and occurred in March of 2020, and the federal charges came in September of 2020.

Since 2016 there have been 10 public officials from Macomb County, either the County organization itself or a municipality within its boundaries, who have been charged with alleged public corruption crimes. There are also cases tied to contractors and overall public corruption cases in Macomb County, that were not included in these counts. Many of the cases are related the Rizzo Environmental Services federal case that entangled elected officials, public employees and business figures who owned the business and worked with it.

No other county in the region or the state has had as many corruption cases the as Wayne and Macomb counties. Since 2016 there has been two public corruption cases in Oakland County and one in St. Clair County; no other county in the region has had any cases come to light.

Corruption cases have long riddled the Metro-Detroit region and in an upcoming post we will detail the ones that have been brought to the public eye since 2016. With more likely in the works, it is important to note that strong local journalism, citizen involvement in local government and an understanding of who is being elected can help reduce corruption cases. Of course, the fix is much more complicated than that, and this too will be explored at a later date.

Michigan’s Congressional Districts to Change Soon

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The new Congressional district maps for Michigan have not been finalized, but drafts are in the works, and districts are certain to change.

First off, the process in which Congressional and State House and State Senate districts are drawn has changed. Prior to 2018, the Michigan State Legislature redrew districts using population and demographic data from the US Census Bureau. This process was inherently political and lead to gerrymandered districts, as we highlighted in one of our earliest posts.

Come 2018, a change was mandated when Michigan voters approved the creation of the Michigan Independent Citizens Redistricting Commission. This Commission, which has been regularly meeting and taking public input over the last several months, is led by a bi-partisan citizen group. The MICRC is composed of four Democrats, four Republicans and five independents.

Another change regarding the mapping of Congressional districts was then announced in 2020—Michigan would lose a seat in the US House Representatives-dropping from 14 to 13—due to a shift in population. This is the fifth time in a row Michigan has lost a Congressional seat. This is because that other states have gained substantially more population than Michigan.

 In addition to Michigan losing a Congressional seat so did California, Illinois, Ohio, Pennsylvania, New York and West Virginia. The states that gained a single seat are: Colorado, Oregon, Montana, North Carolina and Florida. Texas gained two Congressional seats.

The map below shows the percent change in population between 2010 and 2020, according to the Census Bureau. And, while the map doesn’t highlight a significant population loss for Michigan it does show how other areas throughout the country are experiencing more rapid population growth while we remain increased only slightly.

Current MICRC proposals that affect Southeastern Michigan include Oakland County being included in five Congressional districts, as opposed to the four it is currently included in, Wayne County in three or four districts, as opposed to the two it is currently located in, and Macomb County being stretched amongst three or four districts, as opposed to the two it is currently in. All of these are still proposed, and non-finalized, maps of course. But this means shakeups for current members of Michigan’s Congressional Delegation. For example, a proposed map shows that current Congressman Andy Levin and current Congresswoman Brenda Lawrence could be living in the same district. Another proposed shift is for the 10th District, which could include parts of Oakland, Macomb and Genesee counties. The current Congress members who represent parts of that new proposed district are Elissa Slotkin (D-Holly), Dan Kildee (D-Flint) and Lisa McClain (R-Bruce Township). If that proposal were to move forward those current members of Congress could all be vying against each other in the election process.


According to the criteria approved by voters when they approved the MICRC, new district maps must:
·        Comply with the U.S. Voting Rights Act and be of equal population;
·        Be geographically contiguous;
·        Reflect the state’s diverse population and communities of interest;
·        Not provide a disproportionate advantage to any political party;
·        Not favor or disfavor an incumbent;
·        Respect county/municipal borders;
·        Be reasonably compact.
 
While Michigan’s population has changed minimally, there still have been population shifts internally, which will also impact the new Congressional districts.
For example, St. Clair County lost 1.6 percent of its population and Wayne County lost 1.5 percent of its population between 2010 and 2020, while Washtenaw County experienced about an 8 percent population increase, and Livingston County experienced about a 7.5 percent population increase. While Congressional seats don’t include just one county, understanding where the State’s population has shifted does help shed light on how the districts may shift.

The final Congressional District maps will go into play for the 2022 election. Three maps for final consideration must be chosen by the MICRC on Oct. 1, 2021. To leave a comment on the proposed maps or the process visit here.

Sewage Overflows Continue in Southeastern Michigan as Storm Severity Increases

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Summer storms have brought on many issues this year, including flooding and long periods without power. Another affect of the heavy rain though is increased sewage overflow into our local rivers and lakes, which also means increased risk of contaminated waters. The Michigan Department of Environment, Great Lakes and Energy tracks discharges by three different categories: combined sewer overflow (CSO), sanitary sewer overflow (SSO) and retention treatment basin overflow (RTB). Each of these are  discharges from a sewer system which contains untreated or partially-treated sewage. CSOs are discharges from older sewer systems designed to carry both domestic sewage and storm water, collectively referred to as combined sewage. Retention treatment basins often collect and treat this wastewater from CSOs to help avoid untreated overflows into the environment. However, they too can overflow, leading to an RTB overflow. SSOs are discharges of raw or inadequately treated sewage from municipal separate sanitary sewer systems, which are designed to carry sanitary sewage but not storm water.

Below is data on the type of overflows that have occurred in Southeastern Michigan in 2021 thus far. EGLE tracks this information and presents an annual report; the data for this post is the ongoing data for 2021 and has yet to be digested into a comprehensive report. Overall, the data shows that were have been 84 known and reported discharge events in Michigan in 2021. Of those 84, 37 have occurred in Southeastern Michigan. The charts below provide a deeper look at the type of discharge events, their locations and the responsible parties of the discharge events. 

The above data highlights a few different points, including that the Great Lakes Water Authority (GLWA) had the highest number of discharge events in 2021 thus far; CSO discharge events are the most common; the Detroit River and the Rouge River are recipients of the highest number of discharge events; and August has had the most number of discharge events this far in 2021.

Now, to further break down the data. It should come as no surprise that the GLWA has had the most number of sewage discharge events because of its size. The GLWA is a regional water authority that provides drinking water and sewer service to more than 80 communities in Southeastern Michigan. The GLWA, by way of its formation in 2015, also inherited old infrastructure, which clearly needs updating to help prevent future overflows. For example, the Conner Creek discharge event that occurred during the first major rain storm of the summer, in early July, was a result of a lack redundancies for power. This event was one of the RTB overflow events, as the Conner Creek Pump Station is a CSO basin station, meaning the facility is meant to handle sewage overflow so it doesn’t go into the waterways. However, it does happen, and so far in 2021 there have been 9 such events.

As noted, CSO events occur when the system becomes  overwhelmed by the combined sewage and untreated wastes are directly released into receiving waters, with the Detroit River and the Rouge River being the most common water in Southeastern Michigan. These CSO events are considered intentional because the system was designed to allow overflow into waterways  once capacity of the wastewater treatment plant to store more liquid or process its maximum volume is reached. There are several discharge points in Southeastern Michigan, with the GLWA operating most of them. In total, the GLWA has 9 CSO discharge locations along the Detroit and Rouge Rivers and 62 additional untreated discharge points. Of those 62 untreated discharge points, six  discharge only in the event of an emergency that jeopardizes property (i.e. wide-spread basement flooding). The remainder of the points discharge at varying frequencies. These 62 sites are responsible for about 5 percent of total combined sewer overflow discharge volume. In 2021 there have been 20 CSO events in Southeastern Michigan, 19 of which the GLWA was responsible for and all of which discharged in the Detroit or Rouge rivers.

CSO events are tied to heavy rainfall, which explains why August had the highest number of overflow events. It is predicted that these events will only increase as our climate changes.  This of course is concerning because the overflows are forms of pollutants and release hazardous materials into the environment, causing health, safety and environmental issues.

Ways to help mitigate CSOs include sewer separation, expanding CSO treatment facilities and adding retention basins and investing in green infrastructure (bioswales, rain gardens). Actions are being taken nationally and locally to help better prevent CSOs, but a total overhaul of our water and sewer infrastructure would cost billions upon billions of dollars. So far, the GLWA has invested $1.2 billion in CSO facility upgrades, and while the amount of CSOs has been reduced by 95 percent, they still occur and have long-term affects on the region.

Detroit’s Population Falls in 2020 Census, Oakland and Macomb Counties Continue to Grow

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The numbers are in, and according to 2020 Decennial Census data Michigan’s overall population grew to 10,077,331, but Detroit suffered a population loss for yet another decade. According to the recently released data, Detroit’s 2020 population was recorded at 639,111, a decrease from  the 713,777 2010 Census population. The City of Detroit’s population was at one point larger than every other county’s population in the State of Michigan (1.8 million people in 1950), except for Wayne County (it is located in Wayne County. However, as the first chart below shows, that began to change in 1990 when Oakland County’s population exceeded Detroit’s. Then, in 2010, Macomb County’s population also exceeded Detroit’s population. According to the most recent Census data, Oakland County’s population was  1,274,396 and Macomb County’s population was 881,217 in 2020. Wayne County, including the City of Detroit, still has the largest population in Michigan at 1,793,561. However, Wayne County also continues to lose population, in part because of Detroit’s population loss.

Between 2010 and 2020, the City of Detroit and St. Clair and Wayne counties were the only large units of government to lose members of their population. The City of Detroit had the largest percent loss at 10.5 percent, or 74,666 people. Wayne County experienced a 1.5 percent loss (27,023) and St. Clair County experienced a 1.6 percent loss (2,657). Tax foreclosures have been cited as a reason for the Detroit’s continued population loss.  Note, however, that Detroit lost fewer people in the last decade than the previous decade–74,666 from 2010 to 2020, compared to the 201,530 population loss between 2000 and 2010.  Detroit Mayor Mike Duggan said he plans to appeal the recently released Census numbers for the City, as he firmly believes they are inaccurate. Part of his reasoning? The 2020 Census accounted for 254,000 occupied households but according to DTE there are about 280,000 residential households paying electric bills. In comparing these two data points, there is a discrepancy of 25,000 occupied houses with running electricity—housing units he thinks the Census missed. 

Wayne County officials on the other hand recognize that population loss continued, but chose to see progress since the total loss between 2010 and 2020 was about 27,000 people whereas, between 2000 and 2010, the population loss was about 240,000 residents, so there has been a substantial decline in the loss. According to a recent Free Press article, part of population loss Wayne County experienced was due to the loss Detroit experienced, but that was offset by population gains in other municipalities in Wayne County. Furthermore, a large portion of the State’s population remains concentrated in Wayne County (about 1/5 of the population). 

The population loss experienced by Detroit and Wayne and St. Clair counties was likely the gain for other area counties. According to the data, Washtenaw County experienced an 8 percent population increase between 2010 and 2020 (27,467), Livingston County experienced a 7.1 percent increase (12,899), Oakland County experienced a 6 percent population increase (72,034) and Macomb County experienced a 4.8 percent increase (38,865).

In a future post we will also be looking at the population gains and losses at the municipal level in Southeastern Michigan. A few notable regional gains and losses to mention now though are:

Population Gains Above 20 Percent

•Hamtramck, where the population increased 27 percent between 2010 and 2020 (from 22,423 to 28,433)

•Salem Township, where the population increased 25 percent ( from 5,627 to 7,018);

•Oceala Township, where the population increased 23 percent (from 11,936 to 14,623);

•Lima Township, where the population increased 22 percent (from 3,307 to 4,024)

•Dundee Township, where the population increased 21 percent (from 6,759 to 8,145);

•Saline Township, where the population increased 20 percent (from 1,896 to 2,277);

•Novi Township, where the population increased 20 percent (from 55,224 to 66,243);

Population Losses Above 10 Percent

•Scio Township, where the population decreased by 13 percent between 2010 and 2020 (from 20,0081 to 17,552); •Detroit, where the population decreased by 10.5 percent (from 713,777 to 639,111).

With population changes comes changes in demographics as well. For example, in Detroit, the Hispanic white population grew to make up 9.5 percent of the City’s demographic and the Hispanic or Latino population to grew to makeup 8 percent of the population.

To fully grasp the regional and statewide population gains and losses we needed to understand just who left one area and moved to another. Migration to the suburbs, particularly to Macomb and Oakland counties by the City’s white population, is what initially triggered Detroit’s population loss in the 1950s. This population loss has continued through 2020. Demographic changes have continued through today and with the release of new Census data, Drawing Detroit will show just how Southeastern Michigan, and Michigan overall, has changed in the last decade and beyond.

Southeastern Michigan COVID Update: August 2021

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The era of COVID continues, especially as we again are witnessing a case surge due to the Delta-variant. In Michigan, the level of transmission is now considered substantial, according to the Centers for Disease Control (CDC). The CDC states there are now 71 counties that are places of “substantial” or “high” transmission: Livingston, Monroe, Macomb, Oakland, Washtenaw and Wayne are included in this list. A county is considered to have a substantial transmission rate if there are 50-99 cases per week per 100,000 people and/or a test positivity between 8  and 9.9 percent; all counties in Southeastern Michigan are considered substantial by the CDC, except St. Clair County. A county is considered to have a high transmission rate if there are 100 new cases per week per 100,000 residents, and/or there is a positive test rate of 10 percent or higher. Those Michigan counties that have a high transmission rate are Alpena, Branch, Charlevoix, Huron, Iosco, Kalkaska and Montmorency counties, according to the CDC.

Michigan reported 910,500 total confirmed COVID cases as of Aug. 6, 2021. Of that total 3,962 are confirmed new COVID cases from August 3,4 and 5, 2021 (the State no longer reports case numbers daily).

In Chart 1 we drill down into the number of confirmed COVID cases for Southeastern Michigan, by county and for the City of Detroit; all numbers are represented of a five-day rolling average. The five-day rolling average for the total number of COVID cases (Chart 1) reflects a smoother curve and adjusts for fluctuations in testing and/or the quality of reporting or failure to report. This chart also shows that, while the total number of COVID cases has grown overall since March 2020, there have certainly been surges. We also see that Oakland and Wayne counties continue to have the highest total number of COVID cases. Oakland County had the highest number of confirmed COVID cases at 104,354, followed by Wayne County with 104,090 new cases as of August 4, 2021. The City of Detroit had 52,394 confirmed cases.

Charts 2 and 3 provide a closer look at the number of new COVID cases over time. In Chart 2 we are reminded of the COVID case surges in fall/winter of 2020 and again in spring of 2021. However, as Chart 3 shows with a zoomed in look at the last month. New COVID case numbers are again on the rise. Oakland County had the highest number of new confirmed COVID cases on August 4, 2021 with 100, followed by Wayne County with 82 new cases and Macomb County with 56 new confirmed cases.

The daily data highlighted in these posts is from Michigan.gov/coronavirus, where data is updated daily at 3 p.m. Historical data were supplied from covidtracking.com, which republishes COVID data from the State. Additionally, the case totals do not reflect the number of people who have recovered, just those who have been infected. In June of 2020 the State changed how it reports its data on the website, making data more accurate in the long-term but more complicated to track as well. The State regularly updates older data, and as we continue to publish regular updates on COVID the State’s changes to past data many not always be reflected in our posts. The data published in this post is accurate for the day we it was received and published though.

The chart below (Chart 4) shows that Macomb County had the highest number of COVID confirmed cases per capita. According to the data released on August 6, 2021 by the State of Michigan, Macomb County had 111,540 COVID cases per million people. St. Clair County had the second highest number of confirmed cases per million people at 95,339. Washtenaw County had the lowest per capita rate at 71,278 confirmed COVID cases per million people.

While the current surge of COVID cases may not numerically appear to be as troubling as what we experienced in the spring and fall, the Delta variant is highly transmissible and a cause for both caution and concern, especially for the unvaccinated. As of last week the variant was confirmed in 40 different Michigan counties.

Gap Between Wages and Housing Affordability Grows in Southeastern Michigan

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The eviction moratorium in place by the Centers for Disease Control ended July 30, and while programs funded through COVID Emergency Rental Assistance program are in place there is a deeper issue to be examined: affordable housing and a national living wage. According to data from the National Low Income Housing Coalition even if there weren’t a pandemic, the ability to obtain affordable housing and the ability to earn an hourly rate to afford housing continues to grow farther apart. In Michigan, according to the report, the average worker needs to earn $18.55 to afford a two-bedroom rental home at fair market value.

The average rule of thumb is that those who rent should spend about 30 percent of their income on their rental unit. In 2019, according to the American Community Survey, the average resident living in Wayne and Monroe counties was already living above that. According to the Census Bureau, the average percentage of gross income spent on rent in Wayne County was 32 percent and in Monroe County it was 30.7 percent. Macomb, St. Clair and Washtenaw counties were all at the 30 percent threshold (29.3%, 29.7% and 29.8%, respectively). Oakland County had the lowest percentage of gross median income spent on rent at 26.8 percent.

Further expanding on the gap between wages and access to housing, the National Low Income Housing Coalition released additional data drilling deeper into the hourly rate an individual would need to make in each county to afford a two-bedroom rental home (at fair market value) and what the current estimated hourly wage rate is for rent.

Washtenaw County has the highest housing wage rate in Southeastern Michigan at $24.31; this is the hourly amount an individual would need to make to afford a two-bedroom rental there. However, the current estimated hourly renter wage in Washtenaw County is $16.92; that is a $7.39 wage gap between current wage conditions and what is needed for local affordable housing security.

Livingston County has the largest gap between the average estimated renter wage and the hourly wage needed to secure a two-bedroom home at fair market value; that gap is $8.51. The current hourly renter wage in Livingston County is $12.26 and the amount needed to secure a two-bedroom home is $20.77.

Monroe County has lowest hourly wage needed to secure a two-bedroom home at $17.29 and the current estimated average hourly renter wage is $12.18, meaning there is a $5.11 gap.

The smallest gap between the hourly wage needed to secure a two-bedroom home and the current estimated average hourly renter wage is in Oakland County; that gap is $1.39. In Oakland County the average estimated current hourly renter wage is $18.78 and the hourly wage needed for a two-bedroom rental home is $20.17.

As the data shows, each county in Southeastern Michigan (and throughout the state), has a gap between the wages individuals earn and what it costs to obtain a home on the rental market. This gap means that many need to work more than 40 hours a week, sometimes closer to two full-time jobs.

In order to bridge this gap many changes need to occur; the two glaring ones would be additional affordable housing options added to the market and an increase in the minimum wage. The minimum wage in Michigan is $9.45, and it was not increased to $9.87 in 2021 because the average unemployment rate for 2020 was more than 8.5 percent. However, there have been pushes both nationally and state-wide to increase the minimum wage to $15 an hour—but that has yet to widely come to fruition. In 2019 though Oakland County did adopt a $15 an hour minimum wage for County employees and Oak Park recently did the same for City employees. As businesses continue to try to attract and retain employees we are also seeing increases in the wages they are offering. However, while individual business and local governments implement living wages policies nothing is guaranteed without broader policies.

A Look At Our Fathers

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We may have just celebrated Father’s Day, but year-round dads work and take care of their children. For many, this is reflective in a more traditional, nuclear setting but there are thousands of instances where the dad is the sole caretaker–in more ways than one. 

According to the 2019 American Community Survey, information on the percentage of children living with only their father is categorized by those 6 years of age and under and then those between the ages of 7-17. Throughout Southeastern Michigan less than 5 percent of children 6 years of age or younger in each county live solely with their father. According to the data, in 2019 Macomb County had the highest percentage of children 6 years of age or younger only living with their father at 3.4 percent, followed by Monroe County where 3.2 percent of children 6 years of age and younger lived with only their father. In St. Clair and Wayne counties 3 percent of children 6 years of age and younger lived with their father. For those between the ages of 7 and 17, Macomb County again had the highest percentage of children living with only their father at 6.8 percent. Wayne County had the second highest percentage of children living with only their father at 6.4 percent and Washtenaw County had the lowest percentage of children between the ages of 7-17 living with only their father at 3.3 percent.

In addition to tracking data on the percentage of children living with only their father, the Census also tracks how many children live in a home with both a mother and father, but where only the father works. For the 6 years of age and younger group, Monroe County had the highest percentage of married fathers being the sole income providers for the family at 9.5 percent, followed by Macomb County at 9.2 percent. Washtenaw County had the lowest percentage of married fathers with children 6 years of age or younger who were the sole income providers at 5.8 percent. For the 7-17 age range, Livingston County had the highest percentage of children of married fathers being the sole income providers for the family at 15.4 percent, followed by Macomb County at 13.7 percent. 

While this post shows data on fathers that is not traditionally seen, in researching data on fathers it was also discovered that data sets on them are not as extensive as on mothers. None-the-less, fathers deserve thanks year-round, whether they are serving as the sole income provider for a home, supporting their family with a partner or raising children on their own. 

Rental Prices in Southeastern Michigan Continue to Rise

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The rental market in Southeastern Michigan is mirroring that of the home-buying market. With low supply and rising prices, being further driven up by high demand, many are finding it difficult to secure a rental home, especially one they can afford, according to various news sources. 

According to Re/MAX of Southeastern Michigan, there are fewer rental units on the market than homes for sale. There were 2,480 single-family homes for rent from January through April, across 18 counties in central and southeastern Michigan, according to Realcomp. That number has decreased for two consecutive years, with 3,090 rental homes being available the same period in 2020, and 3,514 through the same period in 2019. 

Below shows the percentage of vacant rental units available in 2019 by county in Southeastern Michigan, according to the American Community Survey. As shown, Oakland County had the highest percentage of vacant rental units at 23.8 percent, followed by Macomb County at 22.9 percent. St. Clair County had the lowest available rental stock at 7.3 percent. As mentioned above though, available rental stock across the region, and state, has decreased, increasing demand and making it more difficult and competitive for individuals to find rental units. According to Re/MAX, another factor driving low rental unit stock is that would-be homebuyers are remaining in rentals longer due to the low stock and high price of homes for sale.

According to a recent Detroit News article, rental prices have increased upwards of 20 percent in the last year. According to the 2019 American Community Survey, Washtenaw County had the highest median gross rent at $1,114, followed by Oakland County with a gross median rent of $1,040 and Livingston County with a gross median rent of $1,053. These were the only area counties with gross median rents above $1,000 but with rental prices increasing upwards of 20 percent throughout the region, others, such as Macomb County (2019 median rent of $962) will be above that threshold. 

According to the Detroit News, which used ApartmentGuide.com as a source, the average rent for a one-bedroom apartment in Detroit rose from $1,332 to $1,516 between April 2020 and April 2021, and a two-bedroom apartment in Detroit rose from $1,764 to $2,319. In Farmington Hills, which is also in Wayne County, the average rent for a one-bedroom increased from $1,134 to $1,289 from April 2020 to April 2021, and a two-bedroom increased from $1,442 to $1,655. The City of Troy experienced the largest year-to-year change at 63.3 percent, according to the data, while Southfield experienced a 33 percent change and Rochester Hills experienced a 30 percent change. Ann Arbor, Grand Rapids, Lansing and Ypsilanti, all college towns, experienced decreases in average rental prices between 2020-2021, likely due to the decreased numbers of students needing housing because of the COVID-19 pandemic.

With increased rental unit pricing comes the concern of affordability. The average rule of thumb is that those who rent should spend about 30 percent of their income on their rental unit. In 2019, according to the American Community Survey, the average resident living in Wayne and Monroe counties was already living above that. According to the data, the average percentage of gross income spent on rent in Wayne County was 32 percent and in Monroe County it was 30.7 percent. Macomb, St. Clair and Washtenaw counties were all at the 30 percent threshold (29.3%, 29.7% and 29.8%, respectively). Oakland County had the lowest percentage of gross median income spent on rent at 26.8 percent.

Increasing rental prices, driven by lack of supply, will affect thousands of people throughout the region. According to the 2019 American Community Survey, in Wayne County, 38 percent of occupied housing units in the county were occupied by renters. In Washtenaw County that percentage was 39, but it likely decreased in 2020 and 2021 due to the lack of students on college campuses because of the pandemic. Livingston County had the lowest percentage of occupied housing units occupied by renters at 15; all other counties in the region had percentages above 20.

The low rental stock and increase of rental prices is now drawing even greater concern as the Centers for Disease Control and Prevention’s moratorium on some evictions is set to end June 30. According to Michigan’s 2-1-1 service, which is a United Way service that connects individuals with various agencies to provide assistance, 21,318 inquiries were made between March 5, 2020 and June 9, 2021 about rental assistance. Furthermore, according to the Census Bureau’s Pulse Survey, about 250,000 Michigan residents said they were behind on rent or mortgage payments as of April 26, 2021.  In March of this year, Gov. Gretchen Whitmer approved allocating about $282 million in federal rental aid, $220 million of which is for emergency rental assistance. Michigan also received $660 million in rent aid from Congress in December of 2020, but how it can be allocated must be approved by the Michigan legislature. There may also be another round of funding of about $223 million to come to Michigan from the federal government, according to the Michigan State Housing Development Authority.

Number of Michigan Concealed Pistol Licenses Continues to Rise

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As of June 1, 2021 there were 751,102 approved Concealed Pistol Licenses (CPLs) in Michigan, a number that has been increasing over the years. Of that total, 46 percent of those license holders reside in Southeastern Michigan. Within Southeastern Michigan, Wayne County has the highest number of CPL holders at 120,164, followed by Oakland and Macomb counties (89,596 and 72,515, respectively).

In order to obtain a CPL a Michigan resident must meet the following requirements:

  • Be at least 21 years of age
  • Be a citizen of the United States or an alien lawfully admitted into the United States
  • Be a legal resident of Michigan and reside in Michigan for at least six months immediately prior to application.
  • Not have been convicted of various crimes
  • Meet certain requirements regarding mental illness
  • Complete a CPL class

To view the entire criteria list click here. 

In 2016 County Gun Boards were eliminated; these bodies had the power to deny an individual a CPL if the license was deemed detrimental to the applicant or others. Now, County Clerks and the Michigan State Police process concealed weapon applications. As noted earlier, since then the number of CPLs in Michigan has increased. As of December 2016 there were 497,016 active CPLs in Michigan and now there are 751,102.

The cost of the CPL application process varies between counties (specifically County Clerk departments) and according to the Michigan State Police, in Southeastern Michigan it cost Washtenaw County the most, on average, to process an application at $36.08. Livingston County had the lowest average cost at $14.81. 

The data used for this post is from the Michigan State Police.

A Look Into Southeastern Michigan’s Housing Price Spike

by Drawing Detroit | Leave a comment

It’s no secret that over the last year-and-a-half the housing market has experienced an increase in the number of sales and prices and a decrease in stock. At a time when economic stability has been uncertain for hundreds of thousands, an obvious question is—what is driving the housing market up? As the data sets below show there are several factors behind rising sales and decreasing housing stock.

First, understanding how the average price of a single-dwelling unit has changed over the last several years is important in understanding how housing prices got to where they are today. According to the Case-Shiller Home Price Index, the average price of single-family dwellings sold in Metro Detroit was $148,500 in February of 2021; this was $1,500 higher than the average family dwelling price in January. The February 2021 price was an increase of $14,070 from February of 2020 (over a 10 percent increase) and $49,430 from February of 2014. Home prices have continued to increase year-after-year but the recent average price of single-family dwellings sold in the Metro-Detroit area has increased at a higher rate than in previous years.

One reason behind the increased cost of a single family dwelling unit is the supply. Simply put, the availability is not meeting the demand. According to a RE/MAX of Southeastern Michigan housing report from March, the supply of inventory for available homes is at less than a month. A balanced housing market has six months supply of inventory, according to RE/MAX. According to the National Association of Realtors a months supply of inventory means the number of months it would take for the current inventory of homes to sell if no other homes were to hit the market.

One way to increase inventory is to build more homes. However, this takes time and also costs money. According to the Federal Reserve of Economic Data there were 942 housing starts in the Detroit-Warren-Dearborn Metropolitan Statistical Area as of March 1, 2021; on March 1, 2020 there were 452 housing starts. While the data shows an increase in housing starts since 2020, housing starts have not reached the peak levels of 2017 (1,308 on May 1, 2017). In order to move housing starts along there needs to several things, including demand, enough workers to meet demand, and supplies.

Lumber is a large component in building homes, and completing remodels. With a higher demand for new housing starts and remodels, the price of lumber has increased nationally. According to the National Association of Home Building, lumber prices have increased by more than 300 percent since April 2020; this has caused the average price of a new single-family home to increase by nearly $36,000.

The chart below shows an overview of how framing lumber prices have fluctuated, and grown, in recent months. As of May 14, 2021 the average price of lumber per thousand board feet was about $1,500; in early November of 2020 the price was recorded at just under $600. The information is sourced each week using the Random Lengths Framing Lumber Composite which is comprised using prices from the highest volume-producing regions of the U.S. and Canada.

Lumber is a large component in building homes, and completing remodels. With a higher demand for new housing starts and remodels, the price of lumber has increased nationally. According to the National Association of Home Building, lumber prices have increased by more than 300 percent since April 2020; this has caused the average price of a new single-family home to increase by nearly $36,000.

The chart below shows an overview of how framing lumber prices have fluctuated, and grown, in recent months. As of May 14, 2021 the average price of lumber per thousand board feet was about $1,500; in early November of 2020 the price was recorded at just under $600. The information is sourced each week using the Random Lengths Framing Lumber Composite which is comprised using prices from the highest volume-producing regions of the U.S. and Canada.

In addition to supply and demand of housing stock and materials, low mortgage rates are also behind an increase in home sales. According to the National Association of Home Builders the average annual rate of a 30-year fixed mortgage in April 2021 was 3.15 percent; the average annual rate for a 15-year fixed mortgage in April 2021 was 2.47 percent. The data shown below goes back to February of 2015 and in that time frame rates have never been as low as they have been within the last year. While the April rates are slightly up from the December 2020 rates, overall mortgage rates have been decreasing since December of 2018.