The details
The housing tax credit program is a federally funded, state-administered program that supports affordable housing by giving tax exemptions to developments that include income-restricted rental housing, per city documents.
Since Denton adopted its current policy in 2018, nine projects have received council support and later received tax credit awards, producing 1,595 affordable units, city documents state. However, only 283 of those units serve households earning below 50% of the area's median income, according to city documents.
In response to council concerns raised during past project reviews, city staff presented a comprehensive update that adds new requirements and introduces a formal scoring system.
What’s new
The new scoring system will award up to 100 points based on factors such as affordability levels, location in high-opportunity areas, rehabilitation of existing housing, senior or supportive housing, and participation in local homelessness programs. Projects would need to meet point thresholds to move forward for council consideration, with higher bars set for developments receiving property-tax exemptions.
The city is implementing the new requirements immediately. Staff also recommended an annual council work session on housing affordability to help guide future project evaluations.
Quote of note
“I think this is a huge step for our city in delivering what is needed in our community while being fiscally responsible,” council member Jill Jester said.
