An Introduction to
Community Benefits Agreements

 

Click here if you are looking for specific BVHP Community Benefits information


What is a Community Benefits Agreement (CBA)?

  • A Community Benefits Agreement, or CBA, is a legally enforceable agreement between a coalition of community groups and a developer.


  • In the agreement, the developer commits to providing multiple benefits to the community (housing, jobs, open space, etc.) in exchange for community support for the project (or at least non-opposition).


  • There is a debate as to whether multi-issue, legally enforceable agreements either between a city and a coalition of community groups, or between a city and a developer, are technically CBAs. For the purpose of this introduction, we refer to agreements between a city and a developer as "community benefit packages" and to agreements between a coalition of community groups and a developer or a city as "community benefits agreements"


What does a CBA do?

  • A CBA can make sure that a development project includes things that the community wants and needs.


  • CBAs allow the developer to get community support for his or her project.


  • CBAs are flexible tools that can provide a wide range of community benefits. Some examples of benefits that have been achieved are affordable housing, living wage requirements, local hiring, environmental mitigations, and community space.


How do CBAs work?

See this chart displaying how a CBA works


See this table showing the difference between a CBA and a community benefits package (CBP)


  • Typically, obtaining a meaningful CBA requires building a strong coalition among many different groups. The coalition then negotiates with the developer, seeking to persuade the developer to agree to the coalition's agenda and to sign the CBA, which is legally enforceable by the coalition. Sometimes, however, the city agrees to provide a portion of the community benefits on behalf of the developer. In such cases the coalition negotiates directly with the city to ensure delivery of those community benefits and enters into a CBA directly with the city.


  • In more progressive cities, city officials sometimes negotiate with developers for community benefit packages on behalf of the city's residents. In such cases, the developer and the city (instead of the coalition) enter into an agreement, which is enforceable by the city. One example of this kind of package is the community benefits package that Lennar agreed to provide in connection with its development of the Hunters Point Shipyard.


  • CBAs can work in most markets and in nearly all large projects.


  • It is very important to include a monitoring component, such as a community oversight committee, as a part of the CBA.


How does a CBA start?

  • One or more community groups start to develop a CBA campaign by educating themselves about a proposed project and how it is likely to impact their community.


  • The community identifies and approaches other groups or interests that may have concerns or want something from this development.


  • Coalition members must discuss their goals and find ways to work together on a shared agenda


Where are CBAs most effective?

  • The most significant benefits have been won when the developer was asking for public subsidies and when the community coalition was broad and united.


  • A broad coalition can include the following: community groups, residents, labor unions, environmental groups, schools, churches, small business owners, etc.


How do CBAs provide priority benefits?

  • In a CBA, the coalition agrees to negotiate together for benefits that are important to each and all of the members. This means negotiating for affordable housing, jobs, the environment, public space, and business opportunities as a package. No one walks away from the table until everyone's needs have been addressed.

How do CBAs further equity principles?

  • Development without displacement. Investment without disenfranchisement. CBAs promote particular developments AFTER communities have assurances that the development will concretely benefit residents and that potential harms are mitigated.


  • Public action and public investment for public benefit. An action by a public body or public dollars and resources entitle the community to legally enforceable benefits.


  • City & public assets are the people's assets. Residents have a right to the City. CBA campaigns put resident groups on equal legal standing as the City and the developer.


  • Equitable distribution of burdens, benefits and decision-making power. CBAs can equitably distribute both the benefits and burdens stemming from a project, and heighten a community's power in the decision-making process for development projects.


  • Housing is a human right. CBAs also treat good paying jobs, health care, and other benefit as human rights.


  • Community control of land use under resident leadership. A demand of a CBA campaign could be land that the community could then control.


  • Harness reinvestment as an engine for community health and development. CBAs can harness the impacts of private developments for community health and development.


  • Long-term community vision and stewardship of community assets. CBAs are intended to increase the political strength of the constituent members of a coalition.


What are some challenges of CBAs?

  • Coalition building can be very difficult and time consuming.


  • CBAs almost always require that the coalition publicly support a project in exchange for benefits, so groups should consider carefully whether a project is worth supporting, even with the benefits desired, before starting a community benefits campaign.


  • It is helpful to analyze the capacity of a project to support community benefits. However, this can be very difficult to achieve as financial information about a development is often kept confidential.


  • The political climate in weaker market cities can make it more difficult to get support for CBA efforts, which require developers to enter into binding agreements with community groups. In these climates, coalitions have won significant, commitments to community-identified benefits through negotiations with developers and/or public agencies that are enforced through other means.


Where are CBAs (or community benefit packages) being used?

  • San Francisco
  • Denver
  • San Diego
  • Los Angeles
  • San Jose

CBA RESOURCES


What are some of the key resources for CBAs?

· Please see the Resources & Tools section by clicking here.

 



Contact
Anne Griffith, Senior Program Associate
Urban Strategies Council, 672 13th Street, Oakland, CA 94612
main phone: (510) 893-2404, fax: (510) 893-6657
email: anneg at urbanstrategies.org

Webmaster: it at urbanstrategies.org