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Item M1 M.1 Coty f � ,�� ,' BOARD OF COUNTY COMMISSIONERS �� Mayor David Rice,District 4 The Florida Keys � Mayor Pro Tem Craig Cates,District 1 y Michelle Coldiron,District 2 James K.Scholl,District 3 Ij Holly Merrill Raschein,District 5 County Commission Meeting September 21, 2022 Agenda Item Number: M.1 Agenda Item Summary #11099 BULK ITEM: No DEPARTMENT: BOCC District 4 TIME APPROXIMATE: STAFF CONTACT: Tamara Lamarche (305) 289-6000 NA AGENDA ITEM WORDING: Discussion and direction to staff to address the need to protect current non-deed restricted affordable housing from annual non-homesteaded property tax rate increases. ITEM BACKGROUND: Residential properties that are rented long term to members of the local workforce provide an important source of housing for our community. Under current law, ad valorem tax increases on these properties are not capped like homesteaded properties are. Some owners pass along these rent increases to their tenants as the cost of doing business, which increases the housing costs for local workers. These units will no longer fall within the established affordable housing guidelines in just a few years. Other owners convert these units to more profitable, short-term rentals or sell to buyers who either convert the unit from workforce housing to a second home or into a short-term rental. Both practices run counter to maintaining our community's workforce housing stock. The Board adopted Resolution 189-2015, which contained recommendations from the Affordable Housing Task Force. Task 8 of that resolution directs the County to"explore and propose expanding local funding sources (local government,private/public partnerships, community/charitable organizations) to help expand workforce housing in Monroe County." A study is recommended to develop proposals to treat the ad valorem taxation of affordable rental housing more like homesteaded properties and less like from non-homesteaded properties such as second homes and short-term rentals. (Example: $500,000 rental property,potentially $400 a year tax increase this year that may be passed on to renters. Treating our non-deed restricted affordable housing properties in this manner could result in these dwellings at some point no longer qualifying in the affordable housing range, and another unit is lost from our stock.) PREVIOUS RELEVANT BOCC ACTION: BOCC adopted Resolution 189-2015, recommendations from the Affordable Housing Task Force. CONTRACT/AGREEMENT CHANGES: NA Packet Pg. 2854 M.1 STAFF RECOMMENDATION: DOCUMENTATION: Resolution 189-2015 FINANCIAL IMPACT: Effective Date: Expiration Date: Total Dollar Value of Contract: Total Cost to County: Current Year Portion: Budgeted: Source of Funds: CPI: Indirect Costs: Estimated Ongoing Costs Not Included in above dollar amounts: Revenue Producing: If yes, amount: Grant: County Match: Insurance Required: Additional Details: REVIEWED BY: David Rice Skipped 09/06/2022 11:38 AM Bob Shillinger Completed 09/06/2022 12:13 PM Lindsey Ballard Completed 09/06/2022 12:23 PM Board of County Commissioners Pending 09/21/2022 9:00 AM Packet Pg. 2855 y . M.1.a 1 2 3 - 4 5 6 7 MONROE COUNTY, FLORIDA 8 RESOLUTION NO. 189 -2015 9 10 11 A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF 12 MONROE COUNTY, FLORIDA, ASSIGNING TO THE MONROE COUNTY 13 AFFORDABLE HOUSING ADVISORY COMMITTEE ADDITIONAL DUTIES 14 BASED ON RECOMMENDATIONS IN THE APRIL 2015, WORKFORCE 15 HOUSING STAKEHOLDER ASSESSMENT REPORT. 0 16 17 18 WHEREAS, on May 21, 2008, the Board of County Commissioners of Monroe County 0 19 adopted Ordinance 014-2008, which amended the Monroe County Code to establish the Affordable 20 Housing Advisory Committee, including its assigned duties; and 21 0 22 WHEREAS, Monroe County Code Section 2-701 includes the specific duties of the CL 23 Affordable Housing Advisory Committee; and 0 24 U 25 WHEREAS, Monroe County Code Section 2-701(c) states that the advisory committee may 26 perform additional responsibilities related to affordable housing at the request of the BOCC, 27 including creating best management practices for the development of affordable housing in the LO 28 community; and CN 2900 , 30 WHEREAS, the Board of County Commissioners, at a regular meeting held on the 201h of 31 August, 2014, approved an agreement between FCRC Consensus Center, FSU, and Monroe County g 32 Board of County Commissioners for professional services on Affordable Workforce Housing 33 Stakeholder Assessment; and 34 35 WHEREAS, at a regular meeting held on the 20`h of May, 2015, the Board of County 36 Commissioners reviewed and discussed the Monroe County Workforce Housing Stakeholder 37 Assessment Report generated by FCRC Consensus Center, FSU, dated April 2015; and 38 ° 39 WHEREAS, at a regular meeting held on the 20`h of May, 2015, the Board of County 40 Commissioners adopted Resolution 139-2015 assigning additional duties to the Affordable Housing 41 Advisory Committee; and 42 43 WHEREAS, at a regular meeting held on the 101h of June, 2015, the Board of County 44 Commissioners adopted Ordinance 014-2015 amending Section 2-700 of the Monroe County Code 45 to establish the 14 members of the affordable housing advisory committee and directed staff to 46 amend Resolution 139-2015 to add one additional duty to the committee. 47 48 Page 1 of 3 Packet Pg. 2856 M.1.a 49 NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY 50 COMMISSIONERS OF MONROE COUNTY: 51 52 Section 1. In addition to its regular duties listed in Section 2-701(b) of the Monroe County Code, 53 the Monroe County Affordable Housing Advisory Committee is charged with the following 54 additional duties, in accordance with Section 2-701(c) of the Monroe County Code: 55 56 The Monroe County Affordable Housing Advisory Committee shall be tasked with creating a 57 Workforce Housing Development Plan; through the completion of the following: 58 59 By October 2015: 60 1. Propose a definition for "Workforce" and the need within and where (geographically in 61 unincorporated Monroe County) for providing housing for various income levels (very low, 62 low, median and moderate); 0 63 2. Evaluate and define the workforce housing need in unincorporated Monroe County; 64 3. Evaluate and propose additional mechanism to qualify and monitor the occupants of deed 65 restricted affordable housing to ensure the units are preserved and maintained as affordable; 66 67 Within 1 year from the effective date of this resolution: 68 4. Develop solutions for rental housing; 69 5. Develop incentives for development of workforce housing on Tier III properties; 70 6. Develop strategies for increasing density to encourage workforce housing development, 71 such as micro housing and dormitories; 72 7. Develop strategies to increase the Monroe County Housing Authority's role in workforce 73 housing, specifically as a management entity for rental workforce housing; LO 74 8. Explore and propose expanding local funding sources (local government, private/public N 75 partnerships, community/charitable organizations) to help expand workforce housing in00 76 Monroe County; 77 9. Review and consider recommendations to the BOCC for amendments to statutes to address: 0 78 a. Sadowski Trust Fund donor inequity, 79 b. Allow Land Authority funds to be used for extending deed restrictions or buying 80 back expired deed restrictions to preserve affordable housing, 81 c. Amend Low Income Housing Tax Credit (LIHTC) program to require on-site 82 management longer than 15 years, 83 d. Amend or increase 1 cent Tourist Impact Tax to provide dedicated funding for the 84 provision of workforce housing specifically for the hospitality industry; and 85 10. Develop strategies to assist in developing inclusionary housing requirements for hospitality 86 and commercial sector to build workforce housing; 87 88 89 90 91 92 93 Page 2 of 3 Packet Pg. 2857 M.1.a 94 95 PASSED AND ADOPTED by the Board of County Commissioners of Monroe County, 96 Florida, at a regular meeting of the Board held on the 15`h day of July, 2015. 97 98 99 Mayor Danny L. Kolhage Yes 100 Mayor Pro Tern Heather Carruthers Yes 101 Commissioner George Neugent No 102 Commissioner David Rice Yes 103 Commissioner Sylvia Murphy Yes 104 ss EAVILIN, CLERK BOARD OF COUNTY COMMISSIONERS zsr OF MONROE COUNTY,FLORIDA o�r✓/C f By: I ° uty erk Mayor 112 113 (SEAL) 0 114 cs 0 CL MONROE COUNTY ATTORNEY P ROVED' TO FORM: U STE itjN T. WILLIAMS ASSISTANT CO NTY ATTORNEY Date_ (& L cN 00 0 c o Q� � rn �- w on -- o a <C, Z �► vs _� Page 3 of 3 Packet Pg. 2858