JACKSONVILLE, Fla. — Jacksonville Mayor Donna Deegan is continuing to push for the development of more affordable housing options in the city. She announced her commitment of $10 million in her upcoming budget proposal to start the Jacksonville Affordable Housing Fund.
"The path forward is really not a secret, we need more affordable housing, we need more inventory," Deegan said.
According to Deegan, people living in Jacksonville are 'rent burdened.' The new fund would offer low-cost financing options for developers looking to build affordable housing using public, private, and philanthropic money. Joshua Hicks, the Director of the Jacksonville Housing Authority, said the city's $10 million commitment is the first step.
"Over 1,000 plus units will be built by leveraging available tax credits with the Jacksonville Housing Finance Authority, all with just a $10 million investment by the city,"
Deegan hopes to invest $10 million into the fund which would be paid back over 20 years. She said developers can use this money to help fill funding gaps that have created issues with building affordable housing in the past.
"It will allow developers to unlock underutilized 4% tax credit financing from the state and move forward with their affordable housing projects that would otherwise remain stalled," Deegan said.
The $10 million is expected to leverage money from other investors to grow the fund to $40 million. Two organizations, the DuPont Fund and the Community Foundation for Northeast Florida, have already committed money to the fund.
Deegan's $10 million commitment is part of her upcoming budget proposal. It will still need to be approved by the Jacksonville City Council. Joe Carlucci, the Chair of the Special Committee of the Council on Homelessness and Affordable Housing, believes this commitment is a step in the right direction.
"I think city council will support this. We already have a special committee on affordable housing, so we are extremely supportive of doing anything and everything we can to get affordable housing to the people of Jacksonville," Carlucci said.
The Mayor's budget proposal will be submitted in July. If city council approves the $10 million, the funds could be available by Oct. 1, 2024.