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Beaufort County council pauses $30,000 subsidy reauthorization for review, sends matter to Natural Resources Committee
Summary
Council discussed reimplementing a 2015 impact-fee subsidy for low-income homebuyers and considered a $30,000 appropriation from contingency; after debate over funding sources and oversight the council voted to send the matter to the Natural Resources Committee for further work rather than adopt the funding tonight.
County staff asked Beaufort County Council on Jan. 12 to reappropriate $30,000 from council contingency to the Beaufort County Affordable Housing Fund to reactivate a development impact-fee subsidy established by ordinance in 2015.
Staff attorney Chuck Atkinson explained the existing ordinance and the eligibility matrix: applicants with household incomes below 60% of Area Median Income (AMI) would qualify for a 100% subsidy of applicable impact fees; households between 60% and 80% AMI qualify for a 60% subsidy; households above 80% AMI do not qualify. Atkinson said impact fees cannot be waived and that subsidy payments must be made from the county’s Affordable Housing Fund on a first-come, first-served basis, with applicants verifying prior-year income by tax returns.
"Applicants with an income between 60–80% AMI qualify for a 60% subsidy," Atkinson said, and he recommended a one-time reallocation to make the program operational for the remainder of the fiscal year.
Council debate focused on oversight, eligibility verification and the appropriate funding source. Vice Chair Tabernick and several members asked whether tourism-tax (ATAX) funding or the Beaufort-Jasper Housing Trust Fund could be used instead; staff replied that the current ordinance ties subsidy payments to the Affordable Housing Fund and that using ATAX could raise legal questions that would require review. Council members also urged clarifying who may apply, how to prevent developers from gaming the program and how to verify recipients.
Councilman Glover moved to appropriate up to $30,000 from council contingency to the Affordable Housing Fund; the motion drew both support and objections from members who said they had not had adequate time to review the ordinance text. After extended discussion that addressed program history (the subsidy was created in 2015 and lapsed because it was not funded in recent budgets) and administrative process, council amended and then voted to send the item back to the Natural Resources Committee for more detailed consideration and possible ordinance amendments. The remand passed on a voice/hand vote (recorded as passing with three votes in opposition). No appropriation was made at that meeting.
The chair directed staff to return with alternatives, including proposed ordinance language changes and options for different funding sources. Councilmembers who supported a short-term stopgap emphasized the intent to assist low-income residents with mobile-home set-up and similar needs; members opposed to immediate funding said they wanted clearer rules and accountability before authorizing county dollars.
Next steps: staff will prepare a refined proposal and legal review for the Natural Resources Committee; council did not adopt the $30,000 appropriation during the Jan. 12 meeting.
