Preemption of Local Zoning Regulations

• For most locations in Florida, the Act requires that local governmental authorities (both counties and municipalities) must authorize multifamily and mixed-use residential as allowable uses in any area zoned for commercial, industrial or mixed use if the project includes at least 40 percent of its residential units as affordable housing for at least 30 years. Read about what “affordable” is under the Live Local Act in our Learning Center.
• Notwithstanding any other law, local ordinance, or regulation to the contrary, an application for such development may not require a proposed affordable housing development to obtain a rezoning, comprehensive plan amendment, special exception, variance, or other public hearing approval for the land uses, density, and building height allowed in qualifying projects.
• A local jurisdiction may not restrict the density of a proposed development below the highest residential density permitted in the jurisdiction.
• A county or municipality must administratively approve qualifying projects if they satisfy all other land development regulations for multifamily developments in areas zoned for such use and otherwise are consistent with the local comprehensive plan.
• A county must consider reducing parking requirements for a proposed development if the development is located within one-half mile of a major transit stop, as defined in the county’s land development code, and the major transit stop is accessible from the development

Ad Valorem Tax Incentives

• 100% exemption of the ad valorem taxes attributed to units rented to households earning less than 80% of AMI, and
• 75% exemption of the ad valorem taxes attributed to units rented to households earning between 80% and 120% of AMI.

Sales Tax Exemption for Building Materials Used for Affordable Housing

The act provides a new sales tax exemption for building materials used for the development of a newly constructed affordable housing unit. After the unit is substantially completed, the refund is obtained via application to the Florida Department of Revenue. In the event that the building materials are paid for utilizing grant proceeds, the refund belongs to the government.

The refund is calculated on a per-unit basis and is capped at either $5000 or 97.5% of sales or use tax paid, whichever is less.

Funding through the Live Local Act

The Florida Housing Finance Corporation (FHFC) administers Florida’s two largest affordable housing programs, the State Apartment Incentive Loan (SAIL) program and the State Housing Initiatives Partnership (SHIP) program. 

The Act adds two additional board members to the FHFC appointed by the Florida Legislature (one by the President of the Senate and one by the Speaker of the House). Additionally, the Act appropriates the following funds:

• Up to $150M in recurring funds for the SAIL program, which must be used for affordable mixed-use projects that address urban infill, provide housing near military installations, and other criteria. This appropriation will be funded by increased revenue from the State Housing Trust Fund as a result of the Act.
• $109M in non-recurring funds for the SAIL program for the 2023–2024 fiscal year.
• $252M in non-recurring funds for the SHIP program for the 2023–2024 fiscal year.
• $100M in non-recurring funds for the FHFC for the 2022–2023 fiscal year, to implement a competitive loan program (Construction Inflation Response Viability Funding) aimed to help affordable housing construction projects which have not yet commenced construction due to inflation-related cost increases.

$100 million in non-recurring funds for the implementation of the Florida Hometown Hero Program, which reduces down-payment and closing costs for eligible first-time homebuyers (employed in Florida as law enforcement, first responders, healthcare providers, teachers, etc.) with household incomes that do not exceed 150 percent of the state median income or local median income, whichever is greater.