American Institute of Certified Planners (AICP) Practice Exam

In a town of 95,000, which program is likely to be used to increase affordable housing?

1. Capital improvement program

2. Inclusionary housing program

3. Impact fee program

4. Growth phasing program

The correct answer is: Inclusionary housing program

The inclusionary housing program is designed specifically to increase the availability of affordable housing within communities. This approach mandates that developers include a certain percentage of affordable units in their new housing projects, ensuring that the needs of low- and moderate-income families are met alongside market-rate developments. By integrating affordable units into the overall housing stock, such programs promote a mix of housing types within neighborhoods, which can help combat segregation and support community diversity. This method encourages developers to contribute to affordable housing initiatives while still pursuing profit, creating a win-win scenario that aligns with a town's social, economic, and planning goals. In a larger town with a substantial population like 95,000, implementing an inclusionary housing program can significantly enhance access to affordable accommodations for various demographics, addressing urgent housing shortages. In contrast, capital improvement programs focus more on infrastructure and facility upgrades rather than directly tackling housing affordability. Impact fee programs charge developers fees to offset the costs of public services and infrastructure necessitated by new developments, but they do not inherently create affordable housing. Growth phasing programs manage when and how development occurs but do not specifically address the need for affordable housing options.