Austin dedicated land to deeply affordable housing, but the site's history raises concerns

Austin American-Statesman
Luz Moreno-Lozano, Austin American-Statesman
May 22, 2023

The Austin City Council wants to build deeply affordable housing on a site that previously had a recycling plant that was found to be contaminated and must undergo further testing to determine the extent of the pollution.

The City Council dedicated land in East Austin for the housing, but a 2021 environmental report revealed groundwater contamination there.

The property, at 4800 Bolm Road, was once home to a recycling center but was condemned by the City Council in 1999 after nearby residents and community members voiced concerns about the center’s operations, including environmental impact, noise and a fire on the property in 1996.

Residents said its location, adjacent to many family homes, was the result of the city’s 1928 master plan and 1931 zoning map that placed industrial zoning near homes occupied by minorities in East Austin.

More than two decades after it was condemned, the vacant, city-owned property could soon feature deeply affordable housing.

Deeply affordable means it caters to families making at or below 60% of the median family income, which for a family of four would mean their total earnings could be no more than $66,180 annually.

Last month, the council approved a resolution that directs the city staff to prioritize the development of deeply affordable housing over all other uses at the site. The resolution states that because Austin is facing a housing affordability crisis, the property is an opportunity to address the city’s housing needs.

But the Texas Commission on Environmental Quality will first need to clear the property for residential use.

Council Member José Velásquez, who represents the area, said that while affordable housing is one of the top priorities, “we won’t forsake the health and safety of residents, and until the property is cleared, not one nail will be hammered.”

Environmental assessment

Last month’s vote is the first step in a long process to build affordable housing units on the property, Velásquez said in April.

Memi Cárdenas, a city spokesperson, said when the city took ownership of the property it performed several environmental assessments that resulted in remediation measures for the site.

“Because this property was formerly commercial/industrial, an environmental investigation was completed to determine if the previous remediation efforts made the property safe for residential use,” she said.

The assessment identified underground storage tanks containing petroleum products that had leaked. The site then entered TCEQ’s Leaking Petroleum Storage Tank program, and in 2001 wells were installed to monitor the groundwater, she said.

Last year, because the city indicated it wanted the land for residential use, the land was reevaluated. Some residual contaminants associated with diesel fuel were found in the soil and groundwater, so the city entered the property into TCEQ’s Voluntary Cleanup Program, which will examine all contaminants before it is cleared for residential use.

Luke Metzger, executive director of the nonprofit Environment Texas, said that each of the chemicals has different health effects but that exposure to the groundwater and the soil is low, though still a concern.

The groundwater will not be drinking water. The residential and commercial buildings surrounding the site have utility services from Austin Water, according to the city.

Metzger said that because groundwater can move, if there is contamination, it could get into larger bodies of water. Additionally, if there are chemicals in the soil that could be picked up on shoes and tracked into homes, they can become contaminants in the air. They also could pose a risk to kids who put dirt in their mouth.

"But I do think we can redevelop this site in a safe manner and reclaim this space for affordable housing," Metzger said. "I have a good deal of confidence that the city will do that appropriately and is not looking to cut corners."

The city has redeveloped pieces of land like this with environmental concerns from past uses and turned them into public spaces and residential and mixed-use developments. The land on which the downtown Austin Public Library sits is one of them.

Velásquez said additional work could be needed before the city can move forward with construction of the project, but the city is awaiting a report from the TCEQ Voluntary Cleanup Program before determining that.

“There is going to be a microscope on this,” Velásquez said. “I am not going to do anything until we have been given the clear to bring residents here, and we can ensure their safety and health.”

Affordability crisis

Should the property meet residential standards, Velásquez said the project could be helpful in addressing the city’s housing needs.

With a waitlist for an affordable apartment in Austin more than a year long for many complexes, the need for more affordable housing is high.

Velásquez, who led this effort, said he wants to ensure that the land would be dedicated to housing for those who need it most. He said the city often labels affordable housing as 80% of the median family income, which for a family of four is $88,250.

“That number is misleading,” he said. “For many families, that is unattainable.”

Social justice advocate Susana Almanza, who lives in Southeast Austin, agreed, saying that many residents of the East Austin area are making below 50% of the median income and can't get the affordable housing units being built in the city.

Additionally, most of the complexes have limited affordable options for three- and four-bedroom units, which many families need.

“They keep saying affordable housing, but affordable for who?” said Almanza, a co-founder and the director of People Organized in Defense of Earth and her Resources.

She told the American-Statesman in April that she supported the effort and would be watching closely as the city moves forward with the project.

“We will see if he can really get to that deep affordability,” Almanza said. “Because we have not seen anybody hit that lower level of affordability, and we have not seen apartments that serve families — three- and four-bedroom units."

The resolution, adopted April 13, states, “As a general target, the project should seek to maximize the number of units available at 60% of the median family income or below, and include a substantial number of two- and three-bedroom units relative to the total residential units.”

Velásquez, who was born and raised in the area, said the project is still preliminary, and that it is not clear how large the complex will be or how much the project would cost.

“We need to bring as many (affordable housing units) as we possibly can,” Velásquez said. “We want to make sure low-income families are provided units to rent and in proximity to local schools. ... This is the perfect step in that direction.”