Understanding CBAs

What Is a Community Benefits Agreement?

Community Benefit Agreements (CBAs)—project-specific contracts between developers and community organizations—are safeguards to ensure that local community residents share in the benefits of major developments. They allow community groups to have a voice in shaping a project, press for community benefits that are tailored to their particular needs, and enforce developer’s promises. The CBA process begins with interested members of the community, who identify how a proposed development project can benefit residents and workers. Once a list of potential benefits is determined, community members meet with the developer and/or representatives of the city to negotiate a CBA. Each CBA is unique, reflecting the needs of particular communities.

History of Community Benefits Agreements

The CBA concept was pioneered by the Los Angeles Alliance for a New Economy (LAANE), which in 1998 worked with then City-Councilmember Jackie Goldberg to incorporate community benefits provisions into the development agreement for Hollywood and Highland, a large entertainment and retail project in the heart of Hollywood, CA.
The first full-fledged CBA came in 2001, when a large coalition of community groups negotiated a far-reaching agreement with the developer of the Staples Center for the Los Angeles Sports and Entertainment District. This was followed by four more CBAs on projects across Los Angeles. A dozen additional projects in Los Angeles have community benefits provisions incorporated into their respective development agreements. Many communities across the country are now using the community benefits model. Groups in at least six cities-- Denver, Seattle, Milwaukee, Miami, New York and New Haven—are actively pursuing community benefits agreements.

How Do Community Groups Get a CBA?

At an early stage in the approval process for a development project, a community coalition forms, which may include representatives of the communities affected by the development, local nonprofits, labor unions, environmental groups, and others. Coalition members must discuss their goals and find ways to work together on a shared agenda. The coalition then negotiates with the developer, seeking to persuade the developer to agree to the coalition's agenda. In exchange for the community benefits agreed to by the developer, the community groups promise to support the proposed project before government bodies that provide the necessary permits and subsidies. Once an agreement has been reached, the developer and the coalition members sign the CBA, which lays out the agreement in a legally enforceable way.

Examples of Issues Community Benefit Agreements Can Target:

Housing Business & Economic Development
Employment & Jobs Education
Historic Preservation Community Facilities/Social Services
Arts & Culture Environmental Stewardship/Green Spaces
Transportation Research & Laboratory Activities

Source: Partnership for Working Families www.communitybenefits.org