Houston Mayor Rebukes Housing Authority on Tax Break Deals

The mayor sternly denounced the city’s housing authority for going forward with tax break deals that critics say don’t bring enough new affordable housing to the city and reduce tax revenue for local schools and utilities.

2 minute read

March 28, 2023, 7:00 AM PDT

By Diana Ionescu @aworkoffiction


Houston, Texas

Roschetzky Photography / Shutterstock

Houston Mayor Sylvester Turner ordered the city’s Housing Authority to stop work on tax break deals with affordable housing developments, which the mayor previously ordered a pause on earlier this year.

According to an article by R.A. Schuetz in the Houston Chronicle, “At question are deals in which housing authorities can remove apartment complexes from the tax rolls in exchange for making a portion of their units affordable.” The ability for the housing authority to make such deals, which involve what are known as public facility corporations, was created by a 2015 state law. “Since then, use of the law has increased dramatically — the 10 deals that received final approvals Tuesday represented a 13 percent increase in the number of deals Houston since they became legal.” After they came under scrutiny for potentially removing tax revenue while still building mostly market-rate units, the mayor ordered the HHA to put a pause on approving any new deals. 

While the HHA says the deals have facilitated the creation of thousands of affordable units in Houston, policymakers are questioning their value, saying that the deals cost the state million in property taxes. Schuetz points out that “Voters have capped the property tax revenue the city can collect — and the city hits that cap every year, usually forcing it to reduce its property tax rate.” However, the impact would be felt directly by municipal utility districts and, “For Houston’s taxes, owners without the tax break make up the difference.”

Thursday, March 23, 2023 in Houston Chronicle

Portland Bus Lane

‘Forward Together’ Bus System Redesign Rolling Out in Portland

Portland is redesigning its bus system to respond to the changing patterns of the post-pandemic world—with twin goals of increasing ridership and improving equity.

August 30, 2023 - Mass Transit

An aerial view of Milwaukee’s Third Ward.

Plan to Potentially Remove Downtown Milwaukee’s Interstate Faces Public Scrutiny

The public is weighing in on a suite of options for repairing, replacing, or removing Interstate 794 in downtown Milwaukee.

August 27, 2023 - Milwaukee Journal Sentinel

Conceptual rendering of Rikers Island redevelopment as renewable energy facility

Can New York City Go Green Without Renewable Rikers?

New York City’s bold proposal to close the jail on Rikers Island and replace it with green infrastructure is in jeopardy. Will this compromise the city’s ambitious climate goals?

August 24, 2023 - Mark McNulty

A rendering of the Utah City master planned, mixed-use development.

700-Acre Master-Planned Community Planned in Utah

A massive development plan is taking shape for lakefront property in Vineyard, Utah—on the site of a former U.S. Steel Geneva Works facility.

August 31 - Daily Herald

A line of cars wait at the drive-thru window of a starbucks.

More Cities Ponder the End of Drive-Thrus

Drive-thru fast food restaurants might be a staple of American life, but several U.S. cities are actively considering prohibiting the development of new drive-thrus for the benefit of traffic safety, air quality, and congestion.

August 31 - The Denver Post

Air pollution is visible in the air around high-rise buildings in Dhaka, Bangladesh.

Air Pollution World’s Worst Public Health Threat, Report Says

Air pollution is more likely to take years life off the lifespan of the average human than any other external factor, according to a recent report out of the University of Chicago.

August 31 - Phys.org