County leaders claim public notice was skipped.

CORPUS CHRISTI, Texas — The debate over affordable housing in Corpus Christi has moved from City Hall to the courtroom.

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Nueces County is suing the Corpus Christi Housing Authority, claiming it approved tax-abatement agreements behind closed doors…deals that would have pulled hundreds of millions of dollars in apartment properties off the tax rolls.

The lawsuit comes after city and county leaders raised alarms that apartment property owners were partnering with the Housing Authority to label portions of them as “affordable housing.” That designation would have eliminated all of their property taxes that help fund public safety, street repairs, and other city services.

County officials argue the problem isn’t affordable housing itself… it’s how the agreements were approved.

Commissioner Brent Chesney said if the Housing Authority violated the Texas Open Meetings Act, it sets a dangerous precedent.

“If they violated the open meetings act that we all have to follow, that can’t be allowed,” Chesney said. “Otherwise, you’re back to backroom deals and smoke-filled rooms.”

The tax-abatement agreements have now been paused while the lawsuit plays out.

Supporters of the program say the Housing Authority is being unfairly targeted for using a tool created by the Texas Legislature and used statewide.

One of those apartment property owners is Joe Bruggeman. The Austin businessman is a member of the Save Workforce Housing Coalition.  He said similar tax-abatement agreements are common across Texas and are designed to keep rents affordable for working families.

“The Corpus Christi Housing Authority didn’t invent this program,” Bruggeman said. “There are thousands of housing authorities across Texas doing the same thing to provide affordable housing.”

Bruggeman owns four properties tied up in the controversy. Deals that may now never move forward because of the legal fight.

Even within the Housing Authority, there’s disagreement over the program’s direction.

Board member Joe McComb said the agency’s mission should focus on residents in the most dire situations and not become a long-term substitute for traditional housing solutions.

Meanwhile, residents like Macho Rosario, who lives at the Villas of Ocean Drive and qualifies for reduced rent, say the uncertainty is unsettling.

“If it was taken away, it would definitely have a drastic turn on how I’m living,” Rosario said.

City officials say they remain supportive of building new affordable housing, especially projects started from the ground up,  but oppose removing existing, tax-paying properties from the rolls.

With roughly 30,000 people still waiting for Section 8 assistance in Corpus Christi, the demand for affordable housing isn’t going away.

Whether these controversial deals survive could now be decided by a judge.