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An ordinance to create a Tax Incentive and Abatement Study and Formulating Committee.
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WHEREAS, over the course of many years state law has authorized various programs such as tax increment financing, payments in lieu of tax ("PILOT") incentives, and other tax abatement programs (collectively, the "tax incentives") to be used as tools to incentivize economic development, historic preservation, and construction of affordable housing pursuant to relevant state laws; and
WHEREAS, on August 4, 2015, the Metropolitan Council adopted Ordinance No. BL2015-1282, amended by Ordinance No. BL2016-334 on September 6, 2016, allowing for the abatement of property taxes on projects utilizing Low Income Housing Tax Credits to build affordable housing; and
WHEREAS, on May 17, 2019, the Tax Increment Financing Study and Formulating Committee Report was issued in response to BL2018-315 which focused primarily on the study of MDHA tax increment financing; and
WHEREAS, on September 21, 2021, the Metropolitan Council adopted Ordinance No. BL2021-864 allowing for the abatement of property taxes to incentivize restoration and preservation of historic structures; and
WHEREAS, on May 5, 2022, the Metropolitan Council adopted Ordinance No. BL2022-1170 allowing the use of PILOTs to further incentivize the construction of mixed-income multifamily housing including a required percentage to be set aside for tenants earning 75% or less of the Area Median Income (AMI); and
WHEREAS, Nashville's explosive growth has brought many benefits, but has also created barriers for the private sector, government, and non-profits in providing needed community assets like affordable housing, small business locations, grocery stores, and childcare facilities; and
WHEREAS, as additional programs utilize future property tax dollars to incentivize public goods, it is prudent to establish priorities and to determine the amount or proportion of the Metropolitan Government's potential property tax revenu...
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