The Leon County Board of County Commissioners is set to hold what is expected to be its first and only public hearing March 10 on a proposed ordinance that would create a new property tax exemption aimed at encouraging the construction of affordable rental housing. The proposed measure would esta blish a local option ad valorem tax exemption for rental developments with at least 50 units that reserve a portion of apartments for low-income households. The exemption would apply only to the County’s share of property taxes — specifically the general fund and EMS Municipal Services Taxing Unit — and would not affect taxes levied by the City of Tallahassee, Leon County Schools, or other taxing authorities. The ordinance stems from authority granted under the 2023 Live Local Act, which expanded affordable housing incentives statewide. While state law already provides property tax exemptions for certain affordable housing developments — particularly those financed through the Florida Housing Finance Corporation — the proposed local ordinance would extend incentives to projects that do not qualify for existing state exemptions, including developments between 50 and 69 units. Under the proposal, developments that dedicate all units to households earning 60% or less of Area Median Income (AMI) would receive a 100% exemption on County property taxes. Projects that reserve at least 20% of units for households at or below 60% AMI would receive a 75% exemption on those qualifying units. Units not set aside for low-income households would remain fully taxable. According to data from the Shimberg Center for Housing Studies at the University of Florida, the greatest housing need in Leon County is for rental units affordable to very low-income households earning 50% or less of AMI, or approximately $46,150 annually for a family of four. County officials note that over the past five years Leon County has committed $5.8 million in direct funding and authorized approximately $198 million in bond financing to support the development of more than 1,200 affordable rental units. If approved, the exemption would take effect beginning with the 2027 tax roll. Property owners would need to apply to the County’s Division of Housing Services by January 15, 2027, with final eligibility determined by the Property Appraiser’s Office. The ordinance would sunset after four years, allowing the Board to evaluate its fiscal impact and effectiveness before considering renewal. ...read more read less