Content current as of 03/30/25
Affordable Housing Action Strategy
The Affordable Housing Action Strategy is an citywide initiative to address our housing affordability crisis through 27 strategic actions defined by the City and our stakeholders.
Affordable housing is key to the health and wellbeing of Tacoma individuals and families, from knowing ones’ belongings are secure to children attending the same school each year. It is core to the vibrancy of Tacoma’s neighborhoods, allowing residents to participate in and nurture the cultural richness of Tacoma. And yet, in the last ten years home prices in Tacoma have nearly tripled, rents have nearly doubled (Sources: Zillow Home Value Index and Observed Rent Index). This leaves little money left over for other necessary expenses.
Tacoma’s Affordable Housing Action Strategy (AHAS) seeks to address this. Passed in 2018, the AHAS lays out 27 actions the City can take to create homes, preserve homes, help people stay in their homes and communities, and reduce housing barriers for our most vulnerable neighbors.
Affordable Housing Action Strategy
Project Timeline
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- Objective 1: The creation of new affordable housing
- January 2019–December 2024: 1,564 units built; 854 units coming online
- 2028 AHAS goal: 6,000 units
- Objective 2: Keeping existing housing affordable and in good repair
- January 2019–December 2024: 281 units preserved; 12 units in progress
- 2028 AHAS goal: 2,300 units
- Objective 3: Helping community members stay in their current housing
- 2019–December 2024: 69,451 households served with $44,298,668.78
- 2028 AHAS goal: 1,200 households served
- Objective 4: Reducing barriers for those who often encounter them
- January 2019–December 2024: 17,733 people served through City funded shelter sites. Some of these numbers are duplicates though, as someone may move from one shelter site to another.
- 3,318 individuals experiencing homelessness successfully exited to housing.
- 2028 AHAS goal: 1,000 households served
- Objective 1: The creation of new affordable housing
Objective 1: Objectives in Action
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- First IZ affordable housing units completed in July 2023 for 20-unit project at 4329 South Puget Sound Ave.
- Two private up-zones paid into the City’s Housing Trust Fund. The 133 units coming online are for the Lookout project at 4901 South 25th Street, which is currently under construction.
- Two private upzones and one Tacoma Mall inclusionary zoning projects in process.
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- 413 affordable units built.
- 337 affordable units approved.
- The MFTE program allows for an 8-year property tax exemption for new multifamily housing units, a 12-year exemption if 20% of those units are affordable at 70% of the Pierce County area median income (AMI) for 12 years, and a 20-year exemption if 25% of the units are permanently affordable.
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- When City owned land is deemed no longer needed, it prioritizes selling of transferring ownership of it for the purpose of building affordable housing.
- Four Tacoma Public Utilities surplus properties were awarded to affordable housing developers via the City’s surplus property RFP process. The properties were offered at no costs for affordable housing under the new Disposition Policy.
- Learn more on the City’s Surplus Land web page.
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- The City’s Homebuyer Education and Down-payment assistance program began in Fall 2023 and is now working with prospective first-time homebuyers.
- Conducted a Housing Disparity Study to examine disproportionalities in homeownership and the inaccessibility of generational wealth building for communities of color.
- To learn more about resources related to first-time homebuyer assistance please see the City’s Housing Division web page.
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- 361 Accessory Dwelling Units (ADU) completed.
- 83 ADUs coming online.
- Home in Tacoma: The City Council has adopted a package of policy changes to Tacoma’s Comprehensive Plan—our blueprint for growth—that would allow more duplexes, triplexes, cottages and multifamily buildings throughout the city.
- The Planning and Development Services department offers on-site assistance program for homeowners interested in building an ADU to help them understand the opportunities and challenges specific to their property.
- Pre-approved plans for DADUs are currently under development and will soon be available to Tacoma homeowners.
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- 783 affordable units coming online.
- 282 affordable units built.
- Affordable Housing Fund: Resolution 40527 established the City’s Affordable Housing Fund using sales and use tax revenue authorized under Substitute House Bill 1406, providing more capital to developers of Affordable Housing in Tacoma.
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- To learn more about the City’s Homelessness Strategy, visit the Homelessness Services web page.
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- Implemented Director’s Rule 01-2021 and 02-2021, establishing an affordable housing priority plan review and pre-development fee waiver policy.
- Policy Documents and Director’s Rules: In addition to new policies prioritizing affordable housing through the development process, Planning and Development Services has also dedicated a Development Specialist to liaise with affordable housing developers.
- To learn more about the available incentives for building affordable housing and green sustainable housing in Tacoma, please visit the City’s Development Incentives web page.
Objective 2: Objectives in Action
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- Preserved 281 total units through the Single Family Rehabilitation program (69) and Rebuilding Together South Sound home repair projects (212).
- Single Family Rehabilitation program: Since bringing the program in-house in 2019, the program has significantly increased its production and served more homeowners with loans up to $100,000.
Objective 3: Objectives in Action
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- 2019 – December 2024: Served 6,481 people through the Landlord Tenant Program.
- 2019 – December 2024: Served 32 households with $32,000 via the Tenant Relocation Fund.
- If you are in need of help relocating or would like to learn more, visit the Relocation web page.
- In November 2021, the City adopted Just Cause Eviction provisions—providing tenant protections and enforcement mechanisms for local and state law.
- On July 24, 2023, the Rental Housing Code was updated to include additional tenant protections and stronger guidance for landlords and property managers, specifically: 120-day notice of rent increase, Shared housing standard, Late fee and deposit standards, Screening criteria standards, Business license and health and safety requirements, and Limitations on pet restrictions. To learn more, visit the Renting in Tacoma web page.
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- Assisted 7,033 households with housing assistance totaling over $4,907,577.20, which includes support for damage deposits, first and last month rent, monthly rental subsidy, transportation, utilities, and eviction settlements.
- Served 1,959 households with rent assistance with $9.64 million.
- In 2020, helped 12,765 customers with Emergency Utility Assistance, administering over $2.29 million in funds.
- Served 18,139 Utility customers through TPU’s Bill Credit Assistance Plan with $5,834,674.
- Served 34,378 utility customers through TPU’s Discount Rate Program with $20,797,934.46.
Objective 4: Objectives in Action
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- Rental Assistance: Provided 1,959 households with emergency rental assistance, distributing over $9,642,688.46 in funds.
- Exceeded equity goals—serving 68% people of color from 2020 through 2023.
- Pierce County received $7.4 million for 2023-25 to operate eviction prevention programming. Because of this State contribution, and because the City’s emergency rental assistance program was funded entirely with federal dollars in the 2023-24 biennium, the City made the decision not to fund additional rental assistance programing. Information on the County’s eviction prevention efforts can be found on Pierce County’s Eviction prevention web page.
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- Passed Substitute Ordinance 28747 authorizing the City to collect 1/10 of 1% sales and use tax for affordable housing and behavioral health-related facilities and related services.
Affordable Housing Resolutions and Ordinances Passed by City Council
The City Council continues to prioritize affordable housing in its policy decision-making processes. Since 2018 the City has adopted the following legislation to increase housing stability in Tacoma.
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Ordinance and Resolutions Description Date of Adoption Ordinance No. 28986
An ordinance adopting the Home in Tacoma Phase 2 zoning and standards amendments as recommended by the Planning Commission, and amending various chapters in Titles 1, 2, 9, 10, 12, and 13 of the Municipal Code, to support additional housing choice, supply, and affordability in the City, and to comply with changes to state law.
November 19, 2024
Resolution No. 41358
A resolution affirming and adopting the Anti-Displacement Strategy as guide for options regardng how the City can address the displacement of Tacoma residents from their homes and communities.
February 6, 2024
Ordinance No. 28894
The Rental Housing Code was updated to include new tenants protections and guidance for landlords, specifically a 120-day rent increase notice, shared housing standards, late fee and deposit standards, prospective tenant screening criteria standards, business license and health and safety requirements, and banning dog breed restrictions.
July 11, 2023
Resolution No. 41126
The Surplus Land policy was updated to further prioritize land be used for affordable housing by allowing for affordable homeownership development and multiple tiers for rental affordability.
January 24, 2023
Resolution NO. 40871
Relates to housing displacement; affirming the City of Tacoma’s support of the use of data-informed tools to prevent displacement of local residents and strongly encourages the City’s partners to use these tools to ensure more residents are able to stay in Tacoma with a focus on households from “low” and “very low” opportunity areas of the City, as well as Black, Indigenous, and People of Color households, and directing the City Manager to evaluate options to assist in preventing displacement of residents.
November 16, 2021
Ordinance NO. 28770
Amends Chapter 6A.110 of the Municipal Code, entitled “Property Tax Exemptions for Multi-Family Housing”, to eliminate the eight-year Multi-Family Property Tax Exemption in mixed-use centers designated “very high” opportunity, based on the City’s Equity Index, effective 90 days after passage of this ordinance.
November 9, 2021
Resolution NO.40866
Supports the proposed changes to the Multi-Family Property Tax Exemption (“MFTE”), as recommended and approved by the Government Performance and Finance Committee; amending the City’s MFTE to align with state law; eliminating the eight-year MFTE in mixed-use centers designated “very high” opportunity based on the City’s Equity Index; requiring the City Council to revisit the changes to the MFTE program in three years; and directing the City Manager to explore other changes to enhance the City’s use of the MFTE.
November 9, 2021
Ordinance NO.28780
Amends Chapter 1.95 of the Municipal Code, relating to the Rental Housing Code, to align with new notice requirements in Engrossed Substitute House Bill 1236 and the State of Washington’s Residential Landlord-Tenant Act, to provide additional protections through just cause evictions, and to allow enforcement action.
September 12, 2021
Ordinance NO.28747
Amends Chapter 6A.70 of the Municipal Code, relating to Local Option Taxes, by adding Section 6A.70.041 entitled “Additional sales or use tax for housing and related services - Imposition” and Section 6A.70.042 entitled “Additional sales or use tax for housing and related services - Rate,” and amending Section 6A.70.120 relating to “Administration and collection of taxes” to authorize the maximum capacity of the tax authorized under the provisions of House Bill 1590 for housing and related services.
March 30, 2021
Resolution NO.40697
Directs the City Manager to use the Down Payment and Foreclosure Assistance disparity study, to identify disparities or displacement that resulted in disproportionate homeownership and the inaccessibility of communities of color, and particularly Black communities, to build generational wealth; and to provide an update to the City Council within six months, and recommendations no later than August 2021, to include specific budget and policy recommendations to increase Black homeownership in Tacoma, including the potential consideration of dedicating a percentage of all down payment assistance funds to Black residents.
November 24, 2020
Resolution NO.40527
Establishes the activities and income criteria for the City's Affordable Housing Fund, for the purpose of prioritizing projects that are eligible for funding.
October 15, 2019
Ordinance NO.28610
Adopts amendments incorporating Tacoma's Affordable Housing Action Strategy (AHAS) into the Housing Element of the One Tacoma Comprehensive Plan, updating housing affordability data, and lending greater policy support for the implementation of the AHAS, as part of the proposed amendments to the Comprehensive Plan and Land Use Regulatory Code for 2019, as recommended by the Planning Commission.
September 24, 2019
Resolution NO.40429
Amends the Policy for the Sale/Disposition of City owned General Government Real Property to better align with current City goals to increase prioritization for affordable housing and equity.
September 17, 2019
Substitute Ordinance NO.28601
Amends Chapter 6A.70 of the Municipal Code, relating to Local Option Taxes, by adding Section 6A.70.047 entitled "Credit against state's share of tax - sales or use tax for affordable housing - Imposition" and Section 6A.70.048 entitled "Credit against state's share of tax - sales or use tax for affordable housing - Rate," and amending Section 6A.70.120 relating to "Administration and collection of taxes" to authorize the maximum capacity of the tax authorized under the provisions of Substitute House Bill 1406 for affordable and supportive housing; and declaring an emergency, making necessary the passage of this ordinance and it becoming effective immediately.
August 27, 2019
Resolution NO.40112
A resolution receiving the Affordable Housing Action Strategy to guide enhancement of existing policies and programs, identification and deployment of additional funding, and development of strong anti-displacement measures to stabilize existing residents.
September 25, 2018