Description
Title: Approve a resolution directing the City Manager to research and report to Council on mechanisms to “buy down” the affordability of existing subsidized residential properties to generate deeper affordability; consider the feasibility of allowing residential developments with on-site affordable units to pay a fee in lieu of; consider ways to expand access to high opportunity areas for the City’s lowest-income residents; and report back to Council by November 19, 2026.
Summary
The City of Austin's resolution (File ID: 26-1886) addresses the need for deeper affordability in housing for low-income residents. Over the past decade, the city added nearly 8,000 income-restricted housing units, yet struggles remain for households earning 30-50 percent of the Median Family Income (MFI). The resolution directs the City Manager to explore "buy-down" mechanisms to enhance affordability of existing subsidized properties, rather than relying solely on new construction. Additionally, it evaluates the feasibility of allowing residential developments to pay fees in lieu of providing on-site affordable units, with funds aimed at either increasing affordability in existing units or creating new ones. A report is expected by November 19, 2026, focusing on