Allocation of Affordable Housing Need
Planning for the growing need for affordable housing
The Met Council forecasts future affordable housing needs using a regional economic model, then allocates a share of the overall need to all communities expecting sewer-serviced household growth over the next decade. Cities aren’t required to create enough units to meet their share of the NEED, but they must plan for the possibility of these units by guiding sufficient land at higher residential densities.
The NEED number is calculated every 10 years in preparation of a community's comprehensive plan update — therefore, it only applies to the upcoming decade, not the full 30-year scope of their comprehensive plan.
How we calculate the NEED
The methodology for calculating a community's share of the regional need is revisited and updated every 10-year cycle. The 2021-2030 NEED is proportional to a city's
- overall forecasted growth;
- its existing affordable housing stock; and
- the ratio of low-wage jobs to low-wage earning residents.
Changes in a community's forecasted growth may result in changes to their NEED number. Housing information — including NEEDnumbers — for each city and township is available in Local Planning Handbook's Community Pages.