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3 <br />o Priority for those at or below 50% <br />State and area median incomes are determined by HUD. <br />While there are no income requirements or income qualification for projects support ing nonprofits, <br />organizations should be providing affordable or supportive h ousing. <br />Some non-metropolitan communities may be eligible to spend aid on market rate developments. <br />There are no income requirements for market rate housing under this category. <br />Are there other requirements if using these funds? <br />Yes. If LAHA or SAHA is used for new construction of a building with more than four units, the building <br />must be constructed, converted or otherwise adapted to include accessibility features, such as <br />sensory-accessible (see subd. 4). Documentation will be required for reporting and compliance. <br />State Agency Roles and Reporting Requirements <br />What roles do the Department of Revenue and Minnesota Housing play in distributing and <br />tracking local housing aid? <br />The Department of Revenue calculates and distributes the amount of aid available to each <br />government. Revenue also accepts applications from eligible Tribal Nations. <br />Minnesota Housing’s statutory role relates to reporting and compliance. First reports are due by <br />December 1, 2025. While not required by the legislation, Minnesota Housing is hiring staff to support <br />housing aid programs with technical assistance and coordination. <br />Does a city, county or Tribe need to apply to receive the funds? <br />For cities and counties there is no application process. Revenue will distribute aid according to <br />statutory requirements. <br />Tribal Nations must apply to receive funds annually. Tribes should work with Revenue to meet this <br />annual requirement. <br />Does a city, county or Tribe need to seek preapproval before spending the funds? <br />No. Approval is not needed before spending funds. However, funds must be used on qualifying projects <br />and expenditures should be documented to avoid repayment or recapture. <br />Will Minnesota Housing be developing a program guide for housing aid? <br />No. Housing aid is not a grant or loan program and is not subject to a program guide. <br />Page 37 of 43