Commissioners send infrastructure-surtax housing plan back for public review after split over homeownership vs. new units

Alachua County commissioners on June 10 directed staff to conduct community engagement and return with refinements to the evaluation criteria for the county’s new housing financing program funded by the Wild Spaces & Public Places surtax.

Staff presented a draft “Infrastructure Surtax” program (sometimes called ISD) and recommended using the surtax revenue to create low-interest, repayable loans for developers and, in some proposals, limited homeownership assistance. Ralston Riadika, housing and strategic development coordinator in Community Support Services, told the board the county had received three applications so far and outlined staff’s draft scoring and underwriting approach.

The debate turned on how to use limited surtax dollars. Under staff’s draft, about $54 million of surtax funding would be available for housing over the next 10 years. The staff proposal includes a 300-point evaluation rubric that gives weight to per-unit subsidy, local government assistance, location near services, share of units restricted to workforce income bands, developer experience, and energy-efficiency measures. Staff recommended loan-style awards (low or no-interest subordinate loans) rather than outright grants, modeled in part on Orange County’s revolving loan approaches.

Riadika said the two most-developed applications are from Bain Development for a senior project at West University Avenue (Royal Park Seniors), which asked for $5.4 million for an 88-unit scenario and up to $6.5 million for a larger 104-unit scenario, and JE Properties for Oakview Apartments Phase II (two sites on Northwest 10th and 12th Streets), which has asked for roughly $9.66 million for a 162-unit project with 92 workforce units and 70 senior units. Riadika told the board staff is still confirming details such as targeted income bands for some units and expected capital stacks from state or federal programs.

Staff also proposed a separate homeowner-focused option that would operate like a soft second: a subordinated, zero-interest second mortgage intended to bring otherwise marginal buyers into ownership (staff proposed maximum awards by AMI tier, for example up to $100,000 at the lowest AMI tier). That idea drew the sharpest disagreement.

Several commissioners welcomed homeownership assistance as a pathway to build family wealth but expressed strong reservations about using the surtax for direct down-payment-style aid rather than prioritizing the creation of new affordable rental units. Commissioners raised practical concerns about whether traditional lenders would accept the proposed subordinate zero-percent loans, whether borrowers at 30–60% area median income (AMI) could qualify for first mortgages at current interest rates, and whether the surtax pledge to the voters—emphasizing new housing stock—would be undermined.

Commissioner Wheeler and other members suggested carving out smaller, targeted pilot funds for homeownership or ADUs and keeping the bulk of surtax money for new rental starts and renovation projects that increase affordable unit counts. Several commissioners asked staff to add timeline and readiness criteria so projects farther along in financing would score higher.

After extended discussion, the board voted to send the draft program back for community engagement and additional review. The motion directed staff to: (1) present the draft evaluation criteria and program options to the public and to the Affordable Housing Advisory Committee for feedback; (2) continue working with the two applicants that have submitted project requests so staff can evaluate their eligibility under refined criteria; and (3) return to the board with recommended final criteria and a proposed funding approach informed by community and AHAC feedback.

Outcome and next steps

The motion to pursue public engagement, vet the staff criteria through the Affordable Housing Advisory Committee and continue negotiations with the two applicants passed by voice vote. Staff said it would bring community feedback and refined scoring back to the board for a later vote on funding commitments and loan terms.

Why this matters

The county’s surtax is a capped, voter-approved revenue stream tied to several categories, including housing; commissioners and staff must balance speed, sustainability, and fidelity to voter expectations. The board’s decision to obtain more community input reflects competing priorities: moving quickly to expand affordable rentals versus piloting programs that promote homeownership and individualized assistance. The staff recommendation to favor loans over grants aims to preserve funds for future reuse if loans are repaid, but commissioners remain split on how large and flexible that loan pool should be.

Clarifying details

- Program funding: staff said roughly $54 million in infrastructure-surtax housing money will be available over 10 years. - Applications received: Bain Development (Royal Park Seniors) requested $5.4 million for 88 units and up to $6.5 million for 104 units (senior and workforce mix pending confirmation); JE Properties (Oakview Phase II) requested about $9.66 million for 162 units (92 workforce, 70 senior). - Draft evaluation: 13 criteria, 300 total points; examples include per-unit subsidy, local assistance, proximity to services, affordability period (staff recommended 50-year minimum to score higher), developer experience, energy efficiency. - Homeownership option: draft would offer subordinate, zero-interest second mortgages (soft seconds) with award caps by AMI band (staff examples: up to $100,000 for lowest AMI tier; lower caps at higher AMI tiers); purchase-price cap staff cited at $300,000 in examples. - Loan structure example: Orange County model referenced (0% during construction, then a 1–5% rate thereafter; other jurisdictions use low-rate revolving loan funds).

Speakers (selected)

- Ralston Riadika — Housing and Strategic Development Coordinator, Community Support Services (Alachua County government). - Chair Charles Chestnut — Chair, Alachua County Board of County Commissioners (government). - Commissioner Alford — Alachua County Commissioner (government). - Commissioner Prizia — Alachua County Commissioner (government). - Commissioner Wheeler — Alachua County Commissioner (government). - Commissioner Cornell — Alachua County Commissioner (government). - Missy Daniels — County Manager, Alachua County (government).

Authorities referenced

- Alachua County Wild Spaces and Public Places surtax (policy) — referenced as the primary funding source. - Florida Housing Finance Corporation (other) — referenced as a comparability point for underwriting and eligibility. - Orange County revolving loan fund program (other) — cited as a model for repayment and loan terms.

Discussion/decision (structured)

- Discussion points: feasibility of subordinate zero-interest loans; lender acceptance of second liens; program readiness/timeline as scoring factor; need to prioritize new units vs. homeownership; ADUs and modular housing as possible quicker-start options. - Directions: staff directed to conduct public outreach and to carry the criteria to the Affordable Housing Advisory Committee; staff to continue technical review and negotiations with the two applicants and return with revised criteria and recommendations. - Decision: board approved the motion to pause final adoption of criteria pending community and AHAC review and directed staff to report back.

Proper names mentioned

- Bain Development (developer) - JE Properties (developer) - Royal Park (project name referenced by staff) - Oakview Apartments Phase II (project) - Orange County (Florida) - Florida Housing Finance Corporation

Searchable tags: ["affordable-housing","infrastructure-surtax","Alachua County","loan-fund","homeownership","workforce-housing"]

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