Commissioners Review 15-Year Tax Rebate Plan for Affordable Housing Project

The Douglas County Board of Commissioners convened on July 16, 2025, to discuss a significant affordable housing project and the associated Neighborhood Revitalization Act (NRA) plan. The meeting focused on a proposed rebate program designed to stimulate development in the area, particularly for affordable housing.

The rebate program operates similarly to tax increment financing but differs in that property owners pay their taxes upfront and can receive a rebate from local taxing jurisdictions afterward. The NRA plan outlines eligibility and mechanics for participation, which is voluntary for the county and school district. The county would continue to receive taxes based on the base assessed value, ensuring no loss of revenue during the project’s development.

The project under discussion involves the construction of 42 housing units, including 24 affordable one-bedroom apartments, with a total estimated cost of $14 million. The affordable units will cater to households earning 30%, 40%, and 60% of the median area income and will maintain affordability for 30 years. The project is expected to receive various funding sources, including federal and state low-income housing tax credits and a $450,000 grant from the city’s affordable housing trust fund.

Commissioners raised questions regarding the rationale behind the proposed 95% rebate over a 15-year period, expressing a desire for more detailed analysis and transparency in future discussions. Concerns were voiced about the sustainability of affordable housing, particularly regarding the potential for units to transition to market rates after the affordability period ends.

The meeting concluded with a call for collaboration between the city and county in future projects, emphasizing the need for comprehensive information and joint decision-making processes. The commissioners expressed support for the project while seeking a deeper understanding of the financial implications and the long-term impact on the community's housing landscape.