NEW PROGRAM – The Middle Income Workforce Housing Investment Fund (MWHF) was created under the 2020 Middle Income Workforce Housing Investment Act (LB866). The program will provide matching grants to non-profit development organizations administering local workforce housing investment funds to invest in Nebraska’s older urban neighborhoods and majority minority communities in Douglas, Lancaster and Sarpy counties.
Eligible Workforce Housing Projects include:
- Construction of new owner-occupied housing that has an after-construction appraised value of at least $125,000 and not more than $275,000.
- Owner-occupied housing units for which the cost to substantially rehabilitate exceeds 50% of a unit’s before-construction assessed value. After construction appraised value must be at least $125,000 and not more than $275,000.
- Upper-story housing for occupation by a homeowner.
- And in all cases, housing that does not receive federal or state low-income housing tax credits, Community Development Block Grant funds, HOME funds, National Housing Trust Fund, or funds from the Nebraska Affordable Housing Trust Fund.
Communities in Douglas, Lancaster, and Sarpy Counties only. Housing projects must take place in a Qualified Census Tract as described in 26 U.S.C. 42(d)(5)(B) as such section existed on January 1, 2020.
Grantees must be non-profit development organizations, approved by the DED director, that administer, or intend to administer a workforce housing investment fund and invest in Middle Income Workforce Housing Investment Act eligible activities. The organization must have an active board of directors with expertise in development, construction, and finance.
Through fiscal year 2022-23, grants shall be awarded on a competitive basis until grant funds are no longer available. The initial competitive application cycle is now open! Letters of Intent are required and due April 1, 2021. Full applications are due May 12, 2021.
No more than $1,000,000 may be awarded to any one non-profit development organization over a two-year period, with no more than $2,000,000 cumulative for any single grantee through fiscal year 2022-23.
MWHF grants require a minimum one-to-one in cash matching funds. Matching funds can be dollars contributed by individuals, businesses, foundations, local and regional political subdivisions, or other non-profit organizations into a single investment fund, administered by the eligible nonprofit development organization.
Competitive awards from the MWHF will be evaluated on demonstrations of:
- Need for additional owner-occupied housing needs as identified by a recent housing study or letter from the city planning department;
- A neighborhood or community that has a higher-than-state average unemployment rate;
- A neighborhood or community that exhibits a commitment to growing its housing stock;
- Projects that can reasonably be ready for occupancy in a period of 24 months;
- The ability to grow and manage a workforce housing investment fund.
Have Questions About the MWHF?
Workforce Housing Specialist