Jacksonville City Council Member Seeks to Restore $4.9M Stripped From Affordable Housing Trust Fund

Jacksonville's Finance Committee argues that a looming $300 million revenue shortfall means the city cannot afford to launch a new $4.9 million affordable housing trust fund in 2026. Affordable housing advocates and At-large Councilman Matt Carlucci argue the opposite: with tens of thousands of renters severely cost-burdened, the city cannot afford to wait for a perfect fiscal climate to provide relief. The $4.9 million was originally included in Mayor Donna Deegan's proposed $2 billion operating budget. It was designed to capitalize a permanent fund that would support down payment assistance for buyers earning up to 120% of the area median income, subsidize developers building attainable housing, and cover JEA utility tap-in fees for low-income homeowners.[1][3]

In August 2026, the City Council Finance Committee voted 7-1 to strip the funding from the budget. Finance Chair Will Lahnen defended the cut by pointing to Amendment 3, a statewide property tax referendum on the November ballot that could slash Jacksonville's annual revenue by roughly $300 million if passed. "Just keeping with the mantra that this is not the year for new things given the uncertainty," Lahnen said, questioning the wisdom of shifting housing costs into the city's general fund before the referendum is decided. Lahnen argued that any attempt to add funding back into the budget should include a clear plan for what would be cut or reduced to keep the ledger balanced.[1][2][3]

Instead of funding the housing trust, the committee moved the dollars into a public safety contingency account. That account, which now sits at approximately $23.4 million, is slated to cover capital requests from the Jacksonville Sheriff's Office. Those requests include buying down the lease balance at the police department's new headquarters in the Florida Blue tower and spending $10 million to consolidate its warehouse space into a single facility. Mayor Deegan criticized the committee's framing of the cuts, arguing that the city would accomplish very little if it halted all new initiatives out of caution. She noted that housing remains a top concern for residents discussing the potential impacts of Amendment 3.[1][3]

During a public meeting on September 8, multiple speakers used the public comment period to urge the council to restore the funds, calling the housing shortage a desperate need in a rapidly growing city. City staff estimate the $4.9 million could assist between 600 and 700 households through a mix of single-family and multi-family programs. Jacksonville Affordable Housing Director Joshua Hicks noted that demand already outpaces the city's current tools. He emphasized that the trust fund would help teachers, nurses, and first responders achieve homeownership, which in turn frees up rental units for others entering the housing market.[1][2][3]

City data underscores the intense pressure on the local housing market. Approximately 90,000 Jacksonville renters currently spend more than 30% of their income on housing, a threshold economists define as cost-burdened. More than 42,000 of those households are severely cost-burdened, spending more than half of what they earn on rent. Hicks stated that to fully meet the demand, Jacksonville requires roughly 47,000 additional units available for renters making 50% of the area median income or less. The debate arrives just weeks after a separate group of private and philanthropic investors announced a $20 million private fund aimed at financing $80 million in affordable multifamily housing—a parallel track that does not replace the need for city trust-fund dollars.[1][3]

Carlucci announced he will introduce an amendment on September 22—the night of the final budget vote—to reinstate the $4.9 million. He is not asking the council to lock in specific program details immediately, but rather to preserve the dollars so the city can authorize programs when they are ready. "What I'm asking for today is that we preserve the $4.9 million for affordable housing by putting it into an Affordable Housing Trust Fund," Carlucci said during a meeting at City Hall. "The council can come back then at the appropriate time and look carefully at our housing needs and determine exactly how those dollars can do the most good."[1][3]

Carlucci described the initiative as a critical lifeline for workforce housing, targeting residents who may not qualify for traditional assistance but still struggle to afford a home in Jacksonville. "So many people in Jacksonville that need a place to call home and I think it's worth fighting for so I'm going to keep at it," he said. Council member Jimmy Peluso publicly supported the amendment but expressed doubt that $4.9 million would be sufficient, noting that housing advocates had previously pressed the mayor for a $10 million commitment.[2][3]

To succeed, Carlucci's amendment will require a majority vote from the members present on budget night—at least 10 votes if all 19 council members attend. The math presents a heavy lift, given that the Finance Committee voted 7-1 to remove the funding, with Council President Nick Howland casting the seventh vote against it. However, Carlucci has navigated this exact scenario before. Last year, a similar budget-night push by the at-large councilman salvaged $900,000 of a $2 million housing allocation that the committee had previously stripped from the spending plan.[1][3]