Phoenix FY2027 Budget Adds $6.6 Million to Housing Trust Fund for Affordable Homes

"Phoenix is poised to nearly double its Housing Trust Fund, a move that could meaningfully lower the cost of building affordable homes across the city. The City Manager's proposed budget for the coming fiscal year includes a one-time $6.6 million injection into the Phoenix Housing Trust Fund, bringing its total available resources to $15 million. The City Council is scheduled to vote on the full budget on May 19."

"Of the $6.6 million, $2 million is designated to waive or reduce plan review, permit, and inspection fees on affordable housing projects-costs that can make smaller income-restricted projects difficult to finance. Another $1 million would fund the creation of pre-approved housing plans focused on affordability and the character of the city's villages. The remaining funds would be deployed under the Housing Trust Policy the Council adopted in November 2025."

"Programs that cut the upfront cost of building are seen as one lever to push more units into the pipeline. The fee waivers target a real bottleneck: permit and inspection costs add up quickly on smaller affordable projects, and reducing them could make the difference between a project moving forward or stalling. The full budget details are available in the City Manager's proposed budget document."

Phoenix is set to nearly double its Housing Trust Fund through a proposed one-time $6.6 million injection, raising total available resources to $15 million. The funding includes $2 million to waive or reduce plan review, permit, and inspection fees for affordable housing projects, addressing financing barriers for smaller income-restricted developments. Another $1 million would support creation of pre-approved housing plans focused on affordability and the character of the city’s villages. The remaining funds would be allocated under the Housing Trust Policy adopted by the City Council in November 2025. The City Council created the Housing Trust Fund in May 2025 and is scheduled to vote on the full budget on May 19.

Read at SFGATE