In an effort to boost affordable housing in Fort Worth, members of the City Council unanimously approved updates to Fort Worth's housing tax credit guidelines Nov. 12.

The big picture

According to a city news release, housing tax credits are federal incentives that help private developers cover some of their development costs. The types of housing tax credits that help reduce costs on projects include:
  • 9%: Reserved for new projects and require a formal application and municipal support
  • 4%: Used for renovations or smaller projects
The news release states that in Fort Worth, developers must apply through the Texas Department of Housing and Community Affairs. In addition, developers must meet certain local standards set by the city to qualify for a housing tax credit.

The specifics

According to the news release, housing tax credit policy updates include:
  • Hold harmless zoning letter: developers must now contact the Development Services Department directly to request this letter. Requests made after the Jan. 3 submission deadline will not be honored.
  • Expanded community notifications: developers will now need to notify neighborhood alliances, in addition to homeowners associations and neighborhood associations, to ensure more residents are informed about new projects.
  • Faster developer introductions: the city’s Community Engagement Office will now respond to developers within one week instead of two, allowing them to schedule information sessions sooner.
  • Rolling applications for 4% credits: Instead of quarterly deadlines, developers can now submit applications for 4% credits at any time throughout the year.