Leon County Commissioners to Decide on Federal Housing Funds

On March 18, 2025, the Leon County Board of Commissioners will hear a request to realign $1 million in federal Emergency Rental Assistance (ERA) funding previously approved by the Board for the Tallahassee Housing Authority’s (THA) Columbia Gardens at South City (Columbia Gardens) affordable housing project.  This realignment will ensure that the ERA funds will be utilized by the federal expenditure deadline, January 28, 2026.

In coordination with the THA, staff recommends realigning the $1 million to the organization for operational costs consistent with federal guidelines.  The operational costs would include staffing and maintenance at the property. 

This would allow the THA to redirect its own funds, initially programmed for operations, to support the construction of the third phase of the Columbia Gardens once the federal tax credits and bond financing are awarded.

Columbia Gardens is the largest affordable housing redevelopment rental project in Tallahassee-Leon County to date, and the County has invested $5.8 million in direct funding to the project which is increasing affordable rental units by 100% (from 100 to 200).  The County investment was made possible due to the unprecedented level of recent federal funding received by the County from the American Rescue Plan Act (ARPA) and ERA during the pandemic.  

Columbia Gardens is being developed in three phases.  The County and City invested in the first and second phases which allowed the THA to secure more than $67 million in funding through FHFC in the form of tax credits, bonds, and loans.  This resulted in the construction of 300 affordable rental units which have been completed.  In 2023, the County committed $1 million in ERA funds to the third phase which would construct the remaining 100 units dedicated to low-income seniors (62 years old and older) at cost of $28.7 million.

Should the Board approve the proposed realignment, the County and the THA would enter into an agreement allowing the THA to utilize ERA funds for eligible operational costs and require that the THA set aside $1 million in an account for the development of the third phase of Columbia Gardens.  County approval would be required in order for the THA to utilize the set aside funds for any other purpose.