Housing Advocates Oppose Tax Increase on Workforce and Senior Housing Properties

Housing advocates warned Wednesday that a last-minute amendment that surfaced during the Statehouse’s lame duck session threatens the economic viability of workforce and senior housing developments.

The amendment to House Bill 45 would overturn the long-established method for assessing the value of affordable housing developments, which could effectively increase property tax liability on many types of senior and workforce housing developments without regard to state and federal restrictions on rents.

“The demand on Ohio’s rental market has increased at unprecedented levels over the past two years, exacerbating what was already a severe shortage of senior and workforce housing in Ohio. This unvetted amendment will raise costs on workforce and senior housing developments and result in even fewer struggling families and seniors having a safe, decent home that they can afford,” said Ohio Housing Council President Matt Rule, Senior Vice President of Housing Development for National Church Residences.

The proposal resembles a previous amendment in the biennial budget (HB 110) that was ultimately removed after coalition of nearly 350 organizations expressed concern about the impact on Ohio’s dwindling workforce and senior housing stock. The proposal also contradicts a recent compromise between the Ohio Housing Council and the County Auditors Association of Ohio to value these properties on a standardized method based on actual income.

Courts have long recognized that housing properties with rent restrictions should be assessed based on their actual income because these properties operate under state and federal rent restrictions that limit the amount of rental revenue they can generate. Nonetheless, the HB 45 amendment would allow these properties to be taxed at an inflated market value based on the hypothetical removal of these restrictions.

Amy Riegel, executive director of the Coalition on Homelessness and Housing in Ohio, said maintaining property taxes at fair and reasonable levels allows workforce, senior and affordable housing to remain economically viable while serving Ohio’s vulnerable families and older adults.

“This amendment could force many existing developments into financial distress. Furthermore, it will undoubtedly impede the production of new workforce and senior housing across the state at a time when new housing units are desperately needed, dealing an unnecessary blow to the availability of homes for Ohio’s working families and seniors in urban, suburban and rural areas,” she said. “We urge the legislature to remove this amendment and the Governor’s office to oppose this unnecessary barrier to housing production.”


Previous coverage of the affordable housing property tax issue


Good news! The legislature backed off a disastrous budget proposal that jeopardized the continued viability of one-third of Ohio’s affordable housing properties! Thank you to everyone who spoke out on this issue and the nearly 350 organizations that joined our sign-on letter to defend affordable housing.

Instead of increasing taxes on affordable housing developments, the final state budget would create a 16-member study committee charged with making recommendations about the valuation process of federally subsidized rental properties. The panel, which includes legislators and representatives of the housing industry, banks, insurance, auditors, and local governments, will be required to finalize their report within a year. (Download the budget amendment)

COHHIO will monitor the study committee and work to ensure its final recommendations will ensure the continued viability of affordable housing in Ohio.

Senate leaders  slipped an amendment into the state budget that would have a devastating impact on Ohio’s affordable housing stock.

In the midst of Ohio’s growing affordable housing shortage, this legislation would significantly increase the costs of operating many tax credit and subsidized housing properties by taxing them the same as conventional market-rate housing without regard for federal rent restrictions that ensure low-income people can afford to live there.

This proposal first appeared two years ago as Senate Bill 36, but after housing advocates organized sign-on letters, Senate leaders asked interested parties to work out an alternative. A working group including affordable housing providers and local government officials were getting close to a consensus solution before this amendment suddenly appeared in the state budget without any discussion or debate.

This amendment puts existing affordable housing at risk AND makes it harder to develop new affordable housing, which makes our efforts to end homelessness even more difficult. Please stand with us in solidarity to protect affordable housing in the Buckeye State.

In addition to signing this letter, please take a few minutes to call your State Senator’s office and express your opposition to this amendment. Don’t know who your State Senator is? Click here and enter in your address to find out.

More Information:

List of organizations and companies opposing this amendment (as of June 25):

  1. Ohio Housing Council
  2. Coalition on Homelessness and Housing in Ohio
  3. Advocates for Ohio’s Future
  4. Bon Secours Mercy Health
  5. Catholic Conference of Ohio
  6. Children’s Defense Fund-Ohio
  7. City of Cincinnati
  8. City of Columbus
  9. Enterprise Community Partners
  10. Federal Home Loan Bank of Cincinnati
  11. Finance Fund
  12. Greater Ohio Policy Center
  13. Habitat for Humanity of Ohio
  14. Huntington National Bank
  15. KeyBank
  16. Leading Age Ohio
  17. League of Women Voters of Ohio
  18. Mount Carmel Health System
  19. NAMI Ohio
  20. Nationwide Children’s Hospital
  21. NeighborWorks Collaborative of Ohio
  22. Ohio Apartment Association
  23. Ohio Association of Area Agencies on Aging (o4a)
  24. Ohio Association of Community Action Agencies
  25. Ohio Association of Foodbanks
  26. Ohio Bankers League
  27. Ohio Capital Corporation for Housing
  28. Ohio Capital Finance Corporation
  29. Ohio Conference of Community Development
  30. Ohio Council of Churches
  31. Ohio CDC Association
  32. Ohio Domestic Violence Network
  33. Ohio Housing Authorities Conference
  34. Ohio Mayors Alliance
  35. Ohio Municipal League
  36. Ohio Partners for Affordable Energy
  37. Ohio Poverty Law Center
  38. Ohio Real Estate Investors Association
  39. Ohio REALTORS
  40. Ohio Recovery Housing
  41. Ohio Women’s Affordable Housing Network
  42. PNC Bank
  43. Policy Matters Ohio
  44. The Ohio Council of Behavioral Health & Family Services Providers
  45. UHCAN Ohio
  46. U.S. Bank
  47. A.M. Rodriguez Associates, Inc., Akron
  48. Access Center for Independent Living, Dayton
  49. ACCESS, Inc., Akron
  50. ACEnet, Athens
  51. Affordable Housing Advisors, LLC, Westerville
  52. Affordable Housing Alliance of Central Ohio, Columbus
  53. Affordable Housing Trust for Columbus and Franklin County
  54. AJM First Capital, LLC, Kirtland
  55. Akron Cleveland Association of REALTORS
  56. Akron Leadership Foundation
  57. Akron Metropolitan Housing Authority, Akron
  58. Alliance for Children & Families, Inc., Alliance
  59. Alpha Phi Alpha Homes, Inc., Akron
  60. American Community Developers, Inc., Detroit
  61. ARCS of Warren County, Lebanon
  62. At Home by High, Columbus
  63. Athens-Hocking-Vinton ADAMH Board
  64. Avondale Development Corporation, Cincinnati
  65. Barbara Poppe and Associates, Columbus
  66. Beacon 360 Management Inc. , Columbus
  67. Bellwether Enterprise, Cleveland
  68. Brave Technologies, Inc., Columbus
  69. B.R.E.A.D., Columbus
  70. Broken Connections, Inc., East Cleveland
  71. Brown & Bills Architects, Inc., Englewood
  72. Buckeye Community Hope Foundation, Columbus
  73. Building Industry Association of Central Ohio
  74. Butler Metro Housing Authority, Hamilton
  75. C.L.E.A.N., Canton
  76. Caracole, Cincinnati
  77. Catholic Charities Diocese of Toledo
  78. Catholic Charities Regional Agency, Youngstown
  79. CelebrateOne, Columbus
  80. CHN Housing Partners, Cleveland
  81. Cincinnati Development Fund
  82. Cincinnati Works
  83. City of Springfield
  84. City of South Euclid
  85. City of Whitehall
  86. CityWide Development Corporation, Dayton
  87. Clark Schaefer Hackett, Columbus
  88. Cleveland Neighborhood Progress
  89. Clevelanders for Public Transit
  90. Clintonville-Beechwold Community Resources Center, Columbus
  91. Columbus Coalition for the Homeless
  92. Columbus Early Learning Centers
  93. Columbus Empowerment Corp.
  94. Columbus Neighbors United
  95. Columbus Works, Inc.
  96. Common Wealth, Inc., Youngstown
  97. Communities In Schools of Ohio, Columbus
  98. Community Action Commission of Fayette County, Inc.
  99. Community Building Partnership of Stark County, Canton
  100. Community Development for All People, Columbus
  101. Community Housing Network, Columbus
  102. Community Housing Solutions, Cleveland
  103. Community Shelter Board, Columbus
  104. COMPASS at Broad Street, Columbus
  105. Corporation for Ohio Appalachian Development, Athens
  106. Corporation for Supportive Housing, Columbus
  107. County Corp, Dayton
  108. Dayspring Christian Community Development Corporation, Columbus
  109. Downing Community Advisors, Beavercreek
  110. Downtown Cleveland Residents
  111. Dp Design, Cincinnati
  112. Dublin Capital Group
  113. East Akron Neighborhood Development Corporation
  114. EDEN Inc., Cleveland
  115. Emerald Rose, Chardon
  116. Episcopal Retirement Services, Cincinnati
  117. Equitas Health, Columbus
  118. Erie Metropolitan Housing Authority, Sandusky
  119. Esther’s House of Healing, Columbus
  120. Fair Housing Center for Rights & Research, Cleveland
  121. Fair Housing Contact Service, Akron
  122. Fair Housing Resource Center, Inc., Painesville
  123. Fairfax Renaissance Development Corporation, Cleveland
  124. Fairfield Homes, Inc., Lancaster
  125. Famicos Foundation, Cleveland
  126. Family Promise of Butler County
  127. Family Promise of Delaware County
  128. Family Resource Center, Oxford
  129. Findlay Hope House for the Homeless
  130. First English Lutheran Church, Columbus
  131. Forbes House, Painesville
  132. Franklin County Auditor’s Office
  133. Franklin County Recorder’s Office
  134. Franklin Foundation, Columbus
  135. Franklinton Cycleworks, Columbus
  136. Franklinton Development Association, Columbus
  137. Franklinton Farms, Columbus
  138. Freshwater Future, Petoskey
  139. Frontier Community Services, Chillicothe
  140. G.F. Bailey, LLC, Dayton
  141. Genacross Lutheran Services, Toledo
  142. Gladden Community House, Columbus
  143. Graceworks Lutheran Services, Dayton
  144. Graphic Village, Cincinnati
  145. Great Lakes Community Action Partnership, Fremont
  146. Greater Collinwood Development Corp., Cleveland
  147. Green National Development, Skaneateles
  148. Grovedale Consulting, Cincinnati
  149. Habitat for Humanity-MidOhio, Columbus
  150. Habitat for Humanity of the Tri-State, Huntington
  151. Haven of Portage County, Ravenna
  152. Healthy Homes at Nationwide Children’s Hospital
  153. Heart of Ohio Homeless Shelter, Marion
  154. HFLA of Northeast Ohio, Beachwood
  155. Highland County Homeless Shelter, Hillsboro
  156. Hocking-Athens-Perry Community Action, Glouster
  157. Home Builders Association of Dayton
  158. Home is the Foundation, Eaton
  159. Homefull, Dayton
  160. Homeless Families Foundation, Columbus
  161. Homeless Hookup, Cleveland
  162. Homeport, Columbus
  163. Hooker DeJong, Inc., Muskegon
  164. Housing Solutions of Greene County, Xenia
  165. Huckleberry House, Inc., Columbus
  166. Human Services Chamber of Franklin County
  167. Human Trafficking & Social Justice Institute at the University of Toledo
  168. Humility of Mary Housing, Cuyahoga Falls
  169. IMPACT Community Action, Columbus
  170. Inclusive Housing Resources, Sharonville
  171. Interfaith Hospitality Network of Greater Cincinnati
  172. Interfaith Hospitality Network of Springfield
  173. Jarret Consulting Services, Toledo
  174. JEM Designs, Beavercreek
  175. Jennings Center for Older Adults
  176. Jonathan Rose Companies, Independence
  177. Joseph’s Home, Cleveland
  178. JRAB, Cincinnati
  179. KAGC, Liberty Twp.
  180. Kaleidoscope Youth Center, Columbus
  181. Kennedy Heights Development Corp., Cincinnati
  182. Kindway, Westerville
  183. Kings Local Food Pantry, South Lebanon
  184. Kittle Property Group, Inc., Indianapolis
  185. Kno-Ho-Co-Ashland Community Action Commission, Coshocton
  186. LakewoodAlive, Lakewood
  187. Lasting Legacy Real Estate, New Albany
  188. LEADS Community Action, Newark
  189. Legacy III, Akron
  190. Licking County Coalition for the Homeless, Newark
  191. Local Initiatives Support Corporation of Greater Cincinnati
  192. Lots of Love Learning Center, Columbus
  193. Love INC of Marion
  194. Lowenstein Development, LLC, Columbus
  195. Lucas County Land Bank
  196. Lucas County Human Trafficking Coalition
  197. Lument, Columbus
  198. Lutheran Metropolitan Ministry, Cleveland
  199. Luken Solutions, Columbus
  200. Lumbertown, Zanesville
  201. Lutheran Social Services of Central Ohio, Worthington
  202. Mahoning County Homelessness Continuum of Care, Youngstown
  203. Mahoning County Land Bank, Youngstown
  204. Make A Day Foundation, Columbus
  205. Manning & Associates CPAs, LLC, Dayton
  206. Marble Cliff Capital, Marble Cliff
  207. Maumee Valley Habitat for Humanity
  208. Maximizing Outcomes, Columbus
  209. Maximum Accessible Housing of Ohio, Cleveland
  210. Merchants Capital Corp., Carmel
  211. Mental Health & Recovery Board of Union County, Marysville
  212. Metropolitan Area Religious Coalition of Cincinnati
  213. Miami County Community Action Agency, Troy
  214. Miami Valley Community Action Partnership, Dayton
  215. Millennia Housing Development, Cleveland
  216. Ministry Advocating With Homeless Persons Presbytery of the Western Reserve
  217. MiraCit Development Corporation, Inc., Columbus
  218. Mission Kick Content & Consulting, Massillon
  219. Montu Agency LLC, Cleveland
  220. Mota Design Group, Inc., Cuyahoga Falls
  221. Muslim Family Services of Ohio, Columbus
  222. MVAH Partners, West Chester
  223. My Sister’s Place, Athens
  224. National Affordable Housing Trust, Columbus
  225. National Church Residences, Columbus
  226. National Equity Fund, Columbus
  227. National Housing & Rehabilitation Association, Columbus
  228. Nazareth Housing Dev. Corp., Akron
  229. Neighborhood Development Services, Inc., Ravenna
  230. Neighborhood Family Practice, Cleveland
  231. Neighborhood Housing Partnership of Greater Springfield
  232. Neighborhood Housing Services of Hamilton, Inc.
  233. Neighborhood Properties, Inc., Toledo
  234. NeighborWorks Toledo Region
  235. Northeast Ohio Coalition for the Homeless, Cleveland
  236. Northern Ohio Apartment Association, Cleveland
  237. Northern Ohioans for Budget Legislation Equality (NOBLE), Cleveland
  238. Northwest Ohio Realtors, Maumee
  239. Northwestern Ohio Community Action Commission, Inc., Defiance
  240. Oberer Companies, Miamisburg
  241. Ohio Animal Advocates, Columbus
  242. Ohio Federation for Health Equity and Social Justice, Columbus
  243. Ohio Grandparent Kinship Coalition, Akron
  244. OneEighty, Inc., Wooster
  245. Over-the-Rhine Community Housing, Cincinnati
  246. Parsons Avenue Redevelopment Corporation, Columbus
  247. Pathway Clubhouse, Groveport
  248. Pedcor Companies, Carmel
  249. PIRHL, Cleveland
  250. Preservation of Affordable Housing, Boston
  251. Price Hill Will, Cincinnati
  252. PrimaryOne Health, Columbus
  253. Project HOPE, Inc., Celina
  254. Randall B. Shorr, Attorney at Law, Cleveland
  255. Ravenwood Health, Chardon
  256. Regionomics, Lockbourne
  257. Residential Administrators, West Liberty
  258. Resident Resources Network, Inc., New Albany
  259. RESULTS Columbus
  260. Right Path Financial Coaching
  261. Riverside Bank of Dublin, Dublin
  262. RLJ Management Co., Inc., Columbus
  263. Ruscilli Construction Co. Inc., Dublin
  264. Saad & Saad, LLP, Columbus
  265. Salus Development LLC, Cleveland
  266. Sandusky County Habitat for Humanity, Fremont
  267. Seeds of Caring, Columbus
  268. Seneca Habitat for Humanity, Tiffin
  269. Seven Hills Neighborhood Houses, Cincinnati
  270. Siemer Institute, Columbus
  271. Silverheels Property Management, LLC, Belpre
  272. Sisters of Charity Foundation of Cleveland
  273. Sisters of the Humility of Mary, Westlake
  274. Slavic Village Development, Cleveland
  275. SMS CPAs & Associates, Columbus
  276. Soteria of TCN, Bellefontaine
  277. Southern Perry Incubation Center for Entrepreneurs, New Straitsville
  278. Spire Development, Inc., Dublin
  279. St. Christopher’s Episcopal Church, Fairborn
  280. St. Mary Development Corp., Dayton
  281. St. Paul’s Community Center, Toledo
  282. Stark Indivisible, North Canton
  283. Steubenville Elderly, LP, Steubenville
  284. Strategic Opportunities, Bexley
  285. Strategies to End Homelessness, Cincinnati
  286. Summit Community Development Corp., Inc., Shaker Heights
  287. Sunset Development, Columbus
  288. Supports to Encourage Low-Income Families, Hamilton
  289. Talbert House, Cincinnati
  290. Tangram Flex, Inc., Dayton
  291. Tanoury Law Office, Columbus
  292. Tatums Renovation & Design, LLC
  293. Testa Companies, Cuyahoga Falls
  294. The Ability Center of Greater Toledo
  295. The Center for Disability Empowerment, Columbus
  296. The Center for Healthy Families, Columbus
  297. The Community Builders, Columbus
  298. The Fair Housing Center, Toledo
  299. The Law Office of Rachel K. Robinson, LLC, Columbus
  300. The Main Place, Inc., Newark
  301. The Model Group, Cincinnati
  302. The NRP Group LLC, Cleveland
  303. The Partnership Center, Cincinnati
  304. The P.E.E.R. Center, Columbus
  305. The Provident Companies, Mansfield
  306. The Summit Group
  307. Tidwell Group, Columbus
  308. Toledo Lucas County Homelessness Board
  309. Toledo Management/Smallridge Development LLC, Toledo
  310. Tom Albanese Consulting, LLC, Columbus
  311. Torrey Hill Apartments, Toledo
  312. Towards Employment, Cleveland
  313. Tri-County Independent Living Center, Akron
  314. Trotwood Community Improvement Corporation
  315. Trumbull County Land Reutilization Corporation, Warren
  316. Unitarian Universalist Justice Ohio, Columbus
  317. United Way of Greater Cincinnati
  318. United Way of Greater Toledo
  319. University Settlement, Cleveland
  320. Ursuline Sisters of Cleveland
  321. Ursuline Sisters of the Sacred Heart, Toledo
  322. Utilities for All, Cleveland
  323. Vacant and Abandoned Property Action Council, Cleveland
  324. Villa Mercede Community Urban Redevelopment Corporation, Cleveland
  325. Vincentian Ohio Action Network, Columbus
  326. Vineyard Columbus Church, Westerville
  327. Vistula Management Co., Toledo
  328. Vogt Strategic Insights, Columbus
  329. Wallick Communities, New Albany
  330. Walnut Hills Redevelopment Foundation, Cincinnati
  331. Wayne Metropolitan Housing Authority, Wooster
  332. Western Reserve Independent Living Center, Warren
  333. Wild River Realty, Inc.
  334. Woda Cooper Companies, Inc., Columbus
  335. Yellow Springs Home, Inc.
  336. Youngstown Neighborhood Development Corporation
  337. YWCA Columbus
  338. YWCA of Greater Cincinnati
  339. YWCA of Greater Cleveland
  340. YWCA Hamilton
  341. YWCA Mahoning Valley
  342. Zanesville Housing Development Corporation
  343. Zepf Center, Toledo