On March 10, the Leon County Board of County Commissioners voted 7-0, after a public hearing, to adopt an ordinance that would create a new property tax exemption aimed at encouraging the construction of affordable rental housing.
The proposed measure establishes a local option ad valorem tax exemption for rental developments with at least 50 units that reserve a portion of apartments for low-income households. The exemption will apply only to the County’s share of property taxes — specifically the general fund and EMS Municipal Services Taxing Unit — and will not affect taxes levied by the City of Tallahassee, Leon County Schools, or other taxing authorities.
The ordinance stems from authority granted under the 2023 Live Local Act, which expanded affordable housing incentives statewide. While state law already provides property tax exemptions for certain affordable housing developments — particularly those financed through the Florida Housing Finance Corporation — the proposed local ordinance will extend incentives to projects that do not qualify for existing state exemptions, including developments between 50 and 69 units.
Under the ordinance, developments that dedicate all units to households earning 60% or less of Area Median Income (AMI) would receive a 100% exemption on County property taxes. Projects that reserve at least 20% of units for households at or below 60% AMI would receive a 75% exemption on those qualifying units. Units not set aside for low-income households would remain fully taxable.
According to data from the Shimberg Center for Housing Studies at the University of Florida, the greatest housing need in Leon County is for rental units affordable to very low-income households earning 50% or less of AMI, or approximately $46,150 annually for a family of four.
County officials note that over the past five years Leon County has committed $5.8 million in direct funding and authorized approximately $198 million in bond financing to support the development of more than 1,200 affordable rental units.
The exemption will take effect beginning with the 2027 tax roll. Property owners will need to apply to the County’s Division of Housing Services by January 15, 2027, with final eligibility determined by the Property Appraiser’s Office. The ordinance will sunset after four years, allowing the Board to evaluate its fiscal impact and effectiveness before considering renewal.
UPDATED: Leon County Votes for Affordable Housing Property Tax Breaks added by Staff on
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My question is: 20% are supposed to be for the “Affordable Housing Program”. What is the Breakdown, How much Rent is Charged and how much of that is paid with Tax Dollars PLUS, what is the Rent on the other 80%?
They already do give these exemptions. There are over 42 complexes that receive huge tax discounts for “Affordable” housing. How many “Affordable” housing units does Leon County currently have? How many more are needed? Who actually oversees this? Accountability..Why the over 50 units rule?
Is it really that weird? If you add more to the tax rolls, but at a lower rate, you’re still adding more to the tax rolls. Overall, it’s still an increase of tax revenue with an increase in the future once the breaks expire.
Funny how the county cries bloody murder about the property tax cuts being debated this session but are more than happy to take up this property tax reduction.