Fairfax County could waive property taxes for up to 50 years on new affordable housing built by nonprofits, under a staff proposal that supervisors discussed Oct. 6.

Neither of the two pilot sites is in Reston, but the countywide policy could shape how future affordable projects pencil out wherever the Fairfax County Redevelopment and Housing Authority (FCRHA) owns land and partners with a nonprofit developer.

The plan, presented at the Board of Supervisors' Housing Committee meeting, would use authority granted by Virginia's HB854, a bill passed during the 2026 General Assembly session. The law lets localities adopt ordinances exempting qualifying nonprofit-owned affordable housing from property taxes. Fairfax would be among the first counties to use it.

County staff proposed piloting the exemptions on two projects: Dulles Greene, a 435-unit development near the Innovation Center Metro station in the Herndon area, and East County, a 160-unit building at 5831 Columbia Pike in Bailey's Crossroads, FFXnow first reported.

Anna Shapiro, FCRHA deputy director of real estate finance and development, told the committee that property taxes average 5% to 10% of operating costs for affordable rental complexes, roughly $3,000 per unit. Eliminating that cost would let lenders make larger loans, reducing the gap the county fills through its Housing Blueprint fund.

The FCRHA's proposed criteria require a nonprofit partner with a controlling interest, FCRHA-owned land not currently generating tax revenue, new construction, and a term of 50 years.

Braddock District Supervisor Rachna Sizemore Heizer, who chairs the Housing Committee, called the proposal an exciting possibility but said supervisors need to scrutinize the details.

"There's a lot to dig into," Sizemore Heizer said. "We need to make sure what we're getting into."

Dranesville District Supervisor Jimmy Bierman said he wants a cost-benefit analysis before the full board votes. Springfield District Supervisor Pat Herrity dissented, calling the plan a Band-Aid that does not address the root problem of high per-unit construction costs. The stakes are large. Franconia District Supervisor Rodney Lusk said a range of tools is needed and predicted the tax breaks will help.

Sizemore Heizer said the effort could become a model for the rest of Virginia if executed well.

The Dulles Greene project at 13500 Dulles Greene Drive is a partnership between FCRHA and nonprofit True Ground Housing Partners. Its 435 units would serve residents earning 30% to 60% of the area median income, which stands at $166,100 for a household of four. The East County project, proposed by nonprofit developer NHP Foundation, would replace the Crossroads Interim Park.

Fairfax County has a goal of adding at least 10,000 net new affordable units by 2034. As of early 2026, about 1,490 had been delivered since 2019, with roughly 1,460 under construction and about 1,540 in the pipeline, according to Bisnow. A consultant analysis found the county still needs 13,800 rental homes for households earning 60% of area median income or less.

Staff also said it will evaluate whether the new authority could help preserve existing affordable housing with expiring tax credits. The county plans to seek amendments to HB854 in the General Assembly's 45-day session starting in mid-January so that any property owned by a public housing authority qualifies for the exemption, not just those with nonprofit developers. Del. Rip Sullivan (D-6) told supervisors he is optimistic the changes can pass.

Under the staff's proposed timeline, the Board of Supervisors would authorize a public hearing Nov. 11 and hold the hearing and vote Dec. 8. The FCRHA would then approve Housing Blueprint investment in January 2027, followed by board approval in February 2027, all ahead of a March 2027 tax credit application deadline.