Council approves developer reimbursement agreement under Live Local Act despite resident concerns
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Summary
The council approved a developer reimbursement agreement with On the Housing Group LLC for two affordable housing communities under the Live Local Act; one resident objected to the reimbursement and fee waiver amounts.
The City of Fort Myers on Oct. 20 approved a developer reimbursement agreement with On the Housing Group LLC to construct two affordable housing communities pursuant to the Florida Live Local Act. The vote carried after one councilmember recused himself.
Resident Bob McConaughey, who identified himself as a Ward 6 resident, urged the council to reject the agreement and described the package as a taxpayer subsidy. McConaughey told the council the deal included about $2,300,000 in utility expansion reimbursement and a $184,000 waiver of impact fees, and said the Live Local Act "does not obligate cities to waive impact fees or reimburse developers for utility costs." He asked the council to pause such subsidies given recent increases in impact fees and other infrastructure needs.
Council action: The council moved and voted on the developer reimbursement agreement (agenda item 7.16). Councilmember Geraldo recused himself from the vote. The clerk recorded: Councilmember Burson yes; Councilmember Banc yes; Councilmember Brown yes; Councilmember Watson yes; Councilmember Bouschett no; Mayor Kevin Anderson yes. The motion carried.
Why it matters: The agreement authorizes city participation in financing or reimbursing certain upfront infrastructure costs for affordable housing under the Live Local Act. Supporters argue such incentives help produce affordable units; opponents and some residents said the state law does not require subsidies and cautioned against waiving fees or providing developer reimbursements that shift costs to taxpayers.
Clarifying details: The amounts McConaughey cited — $2.3 million in developer utility reimbursement and $184,000 in waived impact fees — were stated during public comment by McConaughey. City staff indicated the developer's proposal and specific financial terms were contained in the agenda materials. Councilmember Geraldo announced he had recused himself due to a potential conflict of interest and filed the required paperwork.
Provenance: The topic included public comment from Bob McConaughey and the council roll call approving the developer reimbursement agreement.
