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6 <br />SAHA Appropriations Fiscal Year Ending <br />6/30/24 <br />FYE <br />6/30/2025 <br />FYE <br />6/30/2026 <br />FYE 2027 and each <br />year after <br />TOTAL $ 22,500,000 $ 22,500,000 $ 10,000,000 $ 10,000,000 <br />How were the funding allocations determined? <br />Revenue determined allocations based on distribution formulas. <br />For counties and cities, these formulas consider cost-burdened households and total population. For <br />Tribal Nations, funds are divided equally between eligible Tribes that apply by the deadline. <br />Will Tier II cities receive a disbursement of SAHA? <br />Tier II cities will not receive a direct disbursement of SAHA. <br />However, the Legislature appropriated $4.5 million for Tier II cities. Funds will be available as grants in <br />the competitive process for a range of rental, homeownership and housing stability activities with a <br />minimum award size of $25,000. <br />Minnesota Housing will be preparing a program guide, a list of eligible Tier II cities and a request for <br />proposals (RFP) in 2024. <br />Qualifying Projects and Expenses <br />What portion of the housing aid funds can be used for staffing costs and administrative <br />costs? <br />Administrative costs and staffing costs are not listed as a qualifying project. Therefore, the funds are <br />not able to be used for these costs. <br />If funds are used for Emergency Rental Assistance (ERA), what portion can be used for <br />navigation, services and administration related to ERA provision and programs? <br />Minnesota Housing is seeking clarification on how funds for ERA can be used. <br />If aid funds are used for demolition or removal of existing structures, does affordable <br />housing need to be constructed on the site? <br />Yes. The expense must be tied to affordable housing for eligible households. Demolition or clearing of <br />land alone, including for speculative or future development of eligible housing, is not a qualifying <br />project. <br />Page 22 of 27