PANAMA CITY — City commissioners will be looking to revise Panama City’s development regulations following a failed attempt to halt new low-income housing complexes.
Commissioner John Kady requested discussion of a moratorium on low-income housing projects in areas of the city federally designated for Low-Income Housing Tax Credit programs. Kady cited a need for “breathing room” of six months to conduct a study on the city’s code for inconsistencies regarding construction of affordable housing. However, no other commissioner supported the idea.
Commissioners did direct city staff to look over the city’s Land Development Regulations and its Comprehensive Plan for inconsistencies with state development regulations anytime mention of “affordable housing” is made.
“It became obvious during the latest reviews, for the benefit of developers and the community, we really need to clarify some things,” Kady said. “Of recent history, we’ve had requests come in that made it clear there is confusion.”
The most recent request involved a controversial proposal by Royal American to develop 80 units of low-income senior housing at the site of the old Marie Hotel in downtown Panama City. The proposal stalled when Planning Board members were leery the project would intensify crime downtown. Downtown business owners also protested the development on economic merits.
Representatives of the company agreed the city needed to correct inconsistencies but disagreed with a moratorium.
“There’s no opposition to looking at your code … but a moratorium is typically a legal procedure you come to during an emergency,” said Royal American attorney Derrick Bennett. “There is no huge crowd coming in. We just don’t see the rush to impose something as drastic as a moratorium.”
Bennett said Royal American has dropped plans to develop the Marie Hotel but would be looking for a site elsewhere in the city.
Kady said he would like the city to look at how incentives for densities or development allowances has caused affordable housing to amass in certain areas of Panama City more so than others. He said the intent of attempting the moratorium was to give the city time to clarify the code and prevent concentrations of low-income housing in any particular part of the city, which could have a negative impact on the residents of those communities.
“Second to public safety, the top obligation of a commission is to put in place codes that offer predictability for people who want to invest in their community,” Kady said. “Anytime there is ambiguity in that area, I think we need to take action to clarify it.”