One in five households in the region is "paying more for housing than they can reasonably afford," says Ted Mondale, chairman of the Metropolitan Council. That's because a housing market driven by the strong economy has pushed housing prices beyond the reach of too many metro area families, the council says. If this shortage is not addressed, the region's economy and quality of life will suffer and the social costs associated with families in distress will climb, according to the Mayors' Regional Housing Task Force, which presented its findings and recommendations to the Metropolitan Council.

Among the task force's findings:

o Affordable housing must be quality housing.

o Mixed-income development, such as WestRidge Market in Minnetonka, offers a preferred alternative for providing and integrating affordable housing within communities.

o More compact development can reduce housing costs and increase the supply of affordable housing.

o Financial incentives are needed to produce most affordable housing in the marketplace.

o Funding partnerships are needed to generate the dollars needed for affordable housing; no single sector or government jurisdiction can do it on their own.

o Cities need flexibility to customize their affordable housing strategies, based on their different needs and opportunities.

o Cities need technical assistance to negotiate and guide housing developments successfully through complicated financial structures and development agreements.