LEXINGTON, Ky. — The Social Services and Public Safety Committee of the Urban County Council will receive an update on Lexington's Affordable Housing Fund during its April 14 meeting, according to CivicLex.

The fund, created in 2014, has supported the preservation and construction of 3,826 affordable housing units since its inception. Roughly 42 percent of those units serve special needs populations, including people experiencing substance use issues, the elderly, disabled individuals, veterans, and those at risk of homelessness.

Since fiscal year 2015, Lexington's mayor and Urban County Council have allocated $36,065,705 to the fund. However, Affordable Housing Manager Richard McQuady's report will highlight significant development obstacles facing the program, including rising construction costs, increased property management expenses, and difficulty acquiring suitable land.

A 2024 affordable housing needs assessment conducted by EHI Consultants found Lexington needs approximately 22,000 additional housing units to meet demand. Of that total, 17,005 units are needed for households earning 80 percent or less of the area median income.

The fund targets households with incomes at or below 80 percent of area median income, defined as $81,900 annually for a family of four. Affordable housing is defined as costing no more than 30 percent of a household's income, including rent, utilities, mortgage payments, taxes, and insurance.

Despite challenges, the city is advancing several new development projects. These include a partnership between Woodland Christian Church and developer Winterwood Inc. to restore the church and develop housing for low-income seniors. Additionally, Transylvania University is planning an affordable housing development at its Marquard Field Complex.

As part of its goals for fiscal year 2027, the program is targeting additional housing units for households at or below 30 percent of area median income, or $21,500 annually for an individual. The committee meeting will be held at 1 p.m. in the Council Chamber at the downtown Government Center and will be broadcast live on LexTV.