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A resolution supporting HB818/SB815 currently pending in the Tennessee General Assembly to allow the Metropolitan Development and Housing Agency to enter into payment in lieu of tax agreements for mixed-finance projects that include an affordable housing component.
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WHEREAS, according to the Metropolitan Human Relation Commission's recent series titled "Understanding Nashville's Housing Crisis," approximately one half of renters in Davidson County are paying more than they can afford for housing, a statistic that will only worsen as rents continue to rise; and
WHEREAS, Tennessee Code Annotated ? 13-20-104 currently authorizes a Metropolitan Government for which a housing authority is created to delegate to such housing authority the authority to negotiate and accept payments in lieu of ad valorem taxes ("PILOTs") from the housing authority's lessees operating low-income housing tax credit properties ("LIHTC properties") upon a finding that such payments are deemed to be in furtherance of the housing authority's public purposes; and
WHEREAS, the Metropolitan Development and Housing Agency ("MDHA") was created pursuant to state law and is the housing authority for the Metropolitan Government; and
WHEREAS, broadening the use of PILOTs to include mixed-finance projects, in addition to LIHTC properties, that contain an affordable/workforce housing component would allow for the construction of more affordable/workforce housing more quickly to address Nashville's critical housing needs for those who are cost-burdened; and
WHEREAS, HB818 sponsored by Rep. Clemmons and SB815 sponsored by Sen. Yarbro would authorize MDHA to enter into PILOT agreements with mixed-finance project operators upon approval by the Metropolitan Council; and
WHEREAS, the enactment of HB818/SB815 will provide a much-needed tool to address the affordable housing crisis in Nashville. This state enabling legislation would allow the Metropolitan Council to consider legislation guiding t...
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