Greenville County to Revamp Affordable Housing Policy Amid Council Shakeup
Hey there, Greenville! Big changes are coming your way as the Greenville County Council gears up to overhaul its affordable housing policy. With new faces set to join the council in January, the team is trying to make revisions that will please everyone and, most importantly, address the ongoing cost of living crisis that many local residents are feeling.
What’s Going On?
It’s been two years since the council rolled out its incentives program to encourage developers to create more affordable housing options, which many folks were excited about back then. However, since that hopeful launch in 2022, there have been murmurs of dissatisfaction. Some current council members believe that the policy feels too rigid, the tax breaks might be too generous, and that developers are getting away with snagging multiple incentives without enough oversight.
With new council members coming in who may not share the same views, the existing council members are eager to tweak the policy to ensure it remains intact. “We are facing a new council next year that wants to do away with everything,” remarked Council Chairman Dan Tripp at a recent meeting. Talk about a rocky road ahead!
What’s New in the Proposal?
So, what exactly are they planning? The proposed changes will separate the incentives into two distinct categories: one focused on workforce housing and another dedicated to affordable housing. This means that if you’re a developer looking to jump into the housing game, there will be specific guidelines based on various income brackets.
The finance committee took a vote recently and approved moving these changes forward with a vote of 4-1. The initial vote by the full council is expected to happen in the next few weeks. Fingers crossed!
Affordable Housing Needs A New Look
While the current policy focuses on making rents affordable for those earning 80 percent or less of the area median income, the upcoming workforce policy will raise that threshold to an impressive 120 percent AMI. For a family of four here in Greenville County, that area median income sits at about $89,000 a year. So, there will be more wiggle room for developers regarding who qualifies.
However, if the focus is on the affordable housing policy instead, it looks like there might be stricter requirements. The plan is to target those renters making between 70 and 30 percent AMI. One thing is for sure: if you’re a developer looking to receive a tax break, the units you build will need to meet specific earnings caps.
Tax Breaks with a Twist
As it stands, if a developer includes some affordable units in their building project, they can earn a 50 percent property tax break for 20 years. If a project is entirely composed of affordable housing, that tax break can go up to a whopping 70 percent! Under the new proposals, though, these thresholds will shift.
The workforce housing plan will offer smaller tax cuts: about 20 percent for developers who build projects that include a fraction of affordable units. However, if a developer opts for full-scale workforce housing, they could still pocket up to a 50 percent tax break.
Final Thoughts
With discussions ongoing, it’s clear that the future of affordable housing in Greenville County hangs in the balance. The changes proposed are just drafts for now and will still leave a lot of flexibility for the council to adjust before the final decision is made.
It certainly seems like a balancing act. The community’s desire for affordable and accessible housing must harmonize with the suggestions from developers and new council members. It’s a work in progress, but one that could lead to much-needed improvements in our beloved city.
Make sure to stay tuned, Greenville! You won’t want to miss the developments as they unfold.
