McKee announces housing opportunity budget package
PROVIDENCE, R.I. (WLNE) — Gov. Dan McKee announced Friday a package of budget proposals meant to incentivize housing development, housing opportunities for vulnerable state residents, and supporting municipalities.
The governor said the investments aim to help address the long-lagging housing production rates in the state as well as expand the housing supply and mitigate rising housing costs.
“Housing is essential infrastructure for communities throughout Rhode Island,” McKee said. “The increases in rents, evictions, and homelessness in recent years demonstrate the need to provide better and more affordable options.”
McKee’s proposal includes the creation of a Low Income Housing Tax Credit to provide incentives for developers to expand subsidized housing options.
The program would award tax benefits to developers through a competitive process and would be capped at $30 million annually, he said.
The Department of Housing is also proposing a $29 million investment of State Fiscal Recovery Funds for purposes, including expanding housing-related infrastructure, funding transit development, and preserving affordable housing.
The package also includes a proposal to fund a development subsidiary under the Rhode Island Housing and Mortgage Finance Corporation.
McKee said that $1.4 million from the SFRF is allocated to the new subsidiary to enable staffing capacity and initial activity.