COUNCIL AGENDA ITEM
SUBJECT:
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Resolution No. 2024-R-41, adopting a resolution exempting the City of Edgewater from the requirements to exempt property taxes for certain affordable housing as stipulated in section 196.1978(3)(o), Fla. Stat.
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DEPARTMENT:
City Manager
SUMMARY:
The Live Local Act provides taxing authorities, such as the City of Edgewater, the option to opt- out of a tax exemption for certain moderate-income affordable housing units. The City may opt-out of the property tax exemption provision of the Live Local Act if there is a surplus of moderately affordable housing units identified in the Shimberg Center for Housing Studies Annual Report, as compared to the estimated number of renters that qualify based on earnings. This "missing middle" exemption includes those units rented to households who earn between 80% and 120% of the Area Median Income (AMI) (earnings between $46,400 to $69,600) and charge a maximum rent of $1,864 for a one-bedroom unit (charges for larger units increase proportionately based on the number of bedrooms and family size).
It is financially prudent to opt-out of the "missing middle" tax exemption. This reflects an effort to balance the need to provide affordable housing with the necessity to fairly share the tax burden among all property owners.
The attached resolution includes the provisions required by Florida statutes to allow for the opt-out of the tax exemption. A 2/3rds vote of the City Council members present is required to approve the resolution. If approved and executed, City staff will forward the resolution to the Volusia County Property Appraiser. The Resolution to opt out of the tax exemption may only apply for one year, and the local government must approve a resolution and send the resolution to the Property Appraiser before January 1st.
BUDGETED ITEM: ? Yes ? No ? Not Applicable
BUDGET AMENDMENT REQUIRED: ? Yes ? No ? Not Applicable
RECOMMENDED ACTION:
Motion to approve Resolution No....
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