The Housing and Community Development Department (HCDD) recommends approval of a Resolution allowing exceptions to the Texas Department of Housing and Community Affairs’ (TDHCA) "One Mile Three Year" rule for the proposed developments.
To avoid unjustified concentrations of competitive 9% housing tax credits (HTC) properties, TDHCA requires that an applicant receive a Resolution from the governing body of the municipality where the development is to be located if a similar type of HTC property (for example a property for seniors) was built in the last three years and is located within one mile of the applicant property.
Certain development(s) in this year’s round of applications for 9% tax credits will be located within one mile of similar properties constructed within the last three years.
Approval of this resolution does not guarantee the property will receive HTCs. Even though numerous applications are submitted to TDHCA, the amount of available 9% HTCs is very limited. Only two to four developments are typically funded each year in the Houston region. It will not be known which, if any, of these projects will receive HTCs until the end of July 2022 when awards are announced at the TDHCA board meeting.
Based on the City’s urgent need for affordable homes for families and seniors, HCDD recommends that Council approve the resolution allowing construction of the proposed developments.
This item was reviewed by the Housing and Community Affairs Committee on January 25, 2022.
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Keith W. Bynam, Interim Director