Washington County Executive Committee approves $2.025 million for NextGen Housing incentives, keeps price points

The Washington County Executive Committee approved a $2,025,000 disbursement package on a voice vote to fund NextGen Housing incentives and kept the program’s existing price points, committee members said.

Presenter Will gave a high-level review of the 2026 NextGen Housing price-point analysis and recommended retaining the program’s targets — 40% of units at or below $340,000, 80% at or below $360,000, and all units at or below $420,000 — while shifting the county’s incentive model. "Instead of increasing the price points, the recommendation is to provide direct incentives to the builders and developers to offset increasing construction and land costs while maintaining the price points to maximize the eligible buyers," the presenter said.

Under the NGH 3.0 proposal the county would replace the current $20,000 0% revolving loan and the $6,000 per-unit permit-fee incentive with a one-time $25,000 per-unit incentive placed in a deed restriction. The county estimated roughly $4.5 million currently in the NextGen Housing Fund and an additional $2.2 million expected to revolve back, a staff estimate Will summarized as totaling about $6.7 million available over time, which staff said could support roughly 268 units at a $25,000 incentive level.

Supervisors raised concerns about perception and the program’s long-term funding. "I have a lot of concerns about the county subsidizing homes," Supervisor Newman said, asking how the county would be made whole and how the incentive would be recovered if homeowners sell. Other supervisors urged preserving some revolving capital to sustain future projects and suggested lengthening the deed-restriction earn-back period beyond five years.

County executive-level staff and supporters argued the program generates property-tax revenue, returns county land to the tax rolls and helps attract and retain workforce. Staff proposed a staged approach that would reserve a segment of funds for revolving uses while authorizing an initial tranche of incentives and exploring deed-restriction terms between five and ten years.

Supervisor Schwab moved that the executive committee authorize the county executive and staff to proceed with $2,025,000 in disbursements and to keep the current price points; the motion was seconded, carried on a voice vote with "ayes" and no recorded opposition, and the committee asked staff to return with a refined plan next month.

The committee also discussed distinctions between county-owned redevelopment corridor land (where deed restrictions would not duplicate other incentives) and privately developed sites, and noted residential TIF and other subsidy tools can interact with NextGen incentives. Staff said they would refine deeds, mortgage-lender compatibility and deed-restriction terms before formalizing the detailed program guidance.

Next steps: staff will return with a revised plan and recommended deed-restriction terms, including consideration of a longer earn-back period and options to protect a segment of the fund as revolving capital.