Explanation
BACKGROUND: The Single Family Tax Credit (SFTC) program leverages public-private partnerships to increase the inventory of affordable, single-family housing for Ohio’s growing workforce. The program provides $50 million a year for four years to fill the financing gap to develop or substantially rehabilitate housing in Ohio. Proposed projects may receive up to $50,000 in tax credits per dwelling. The tax credits may be claimed upon completion of the project. Each dwelling in a development project must be sold to a qualified buyer who will use it as their primary residence. The sale price of the house must be affordable (i.e., no more than 30% of the qualified buyer’s monthly income). Additionally, each dwelling in the project must remain affordable for 10 years after the initial sale.
This ordinance will Grant authority to the Director of the Department of Development to be the Project Development Owner (PDO) for a 24-unit single family homeownership project in American Addition to serve families earning up to 120% AMI. Per the Ohio Housing Finance Agency guidelines, as the PDO, this legislation will also give the Director of Development the authority to designate another member (Columbus Housing Partnership Inc. dba Homeport) of the Development Team as the lead applicant and Designated Reporter by providing sufficient proof that the PDO has approved such designee.
The City of Columbus and Homeport have a long standing relationship with the community of American Addition, where local and federal funds have been invested in infrastructure, such as roads, sewer and water, and in the development of new single family homes. This new funding will allow continuation of the project with the development of 24 new units. The city is working with Homeport to integrate net zero elements into the design of the homes, thus lowering the energy costs for the buyers.
OHFA introduced the Single Family Tax Credit as the initial tax credit offering for single family...
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