TO: Honorable Mayor & Members of the North Port Commission
FROM: A. Jerome Fletcher II, ICMA-CM, MPA, City Manager
TITLE: Discussion and Possible Action Regarding Development of a Hometown Heroes Workforce Housing Impact Fee Incentive Program.
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Recommended Action
Option 1: Direct the City Manager to work with the initiating Developer to draft a Hometown Heroes Program to provide impact fee waivers for workforce housing and bring the item back to a future City Commission Regular Meeting for the City Commission’s consideration.
City Commission Options
Option 1: Direct the City Manager to work with the initiating Developer to draft a Hometown Heroes Program to provide impact fee waivers for workforce housing and bring the item back to a future City Commission Regular Meeting for the City Commission’s consideration.
• Pros:
o May offer a financial incentive to encourage development of workforce housing.
o May support homeownership opportunities for individuals employed in certain eligible sectors, such as healthcare, education, and public service.
• Cons: Would require the City to identify funding sources to offset foregone impact fee revenues, which could be substantial.
Option 2: Provide direction not to pursue development of a Hometown Heroes Program that includes impact fee waivers.
• Pros: The City would not be required to identify funding sources to offset impact fee waivers.
• Cons: Workforce housing development would continue to lack City-funded assistance.
Background Information
The following provides a chronological order of events regarding affordable and workforce housing incentive programs:
Ø May 27, 2025: During the City Commission Regular Meeting, the City Commission directed the City Manager to return with an item for discussion regarding affordable and workforce housing incentive programs. During that meeting, the City Commission briefly discussed the concept of a potential “Hometown Heroes Program” intended to incentivize workforce housing for individuals employed in certain sectors, such as healthcare, education, first responders, and state or local government.
Ø November 4, 2025: During the City Commission Regular Meeting, the City Commission declined to move forward with impact fee waivers for affordable housing. However, the City Commission directed the City Manager to proceed with development of an Ordinance to update eligibility criteria for the existing incentive fee deferral program; refine program requirements; and implement certain process improvements.
To ensure prior City Commission direction is fully addressed and that the Ordinance currently under development reflects the City Commission’s intent, direction is sought as to whether the draft Ordinance should include provisions for impact fee waivers for workforce housing for specified eligible employment sectors, potentially defined as “Hometown Heroes.”
If directed to pursue development of a Hometown Heroes Program, staff anticipates the need to incorporate safeguards to ensure the program effectively advances workforce housing objectives. Such provisions may include, but are not limited to:
• Requiring homes to be owner-occupied as primary residences, rather than used as vacation homes or rental properties.
• Verifying that home purchasers are employed in an eligible employment sector.
• Considering resale restrictions or recapture provisions if a home is sold within a defined period.
Strategic Plan
Economic Development and Growth Management
Financial Impact
Not applicable at this stage.
Procurement
Not applicable.
Prepared by: Alaina Ray, AICP, Development Services Director
Department Director: Alaina Ray, AICP, Development Services Director