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8 <br />Infrastructure development or improvement for sites that include development uses not allowed <br />under this aid program would not be eligible. <br />What are some examples of expenditures ineligible for housing aid? <br />Housing aid should be used for projects that create and preserve affordable housing or stabilize the <br />housing of low-income people. This does not include: <br />•Conducting a housing or zoning study <br />•Costs to create a Housing Improvement Area <br />•Staff and services related to general housing quality and licensure, such as code enforcement <br />•Staff and administrative costs for operation of an HRA or county or city housing department <br />•Commercial, industrial or public space development projects <br />•Projects located outside of Minnesota <br />Housing aid received by Greater Minnesota counties, cities and Tribes in 2023 cannot be used for <br />emergency shelter. However, for aid received in 2024 and after, shelter is an eligible project type. <br />If funds are used to support a nonprofit organization, do they need to be tracked to <br />qualifying projects? <br />Housing aid can be used to provide financial support to a nonprofit affordable housing provider in their <br />mission to provide safe, dignified, affordable and supportive housing. <br />If aid is used in this manner, providing support to the eligible nonprofit is the qualifying project. The aid <br />recipient should document that the funds were used to support the organization’s mission. <br />Can a county or city use other state or federal funding as part of a development fin ancing <br />package that includes housing aid funds? <br />Yes. State and federal funding can be used as a part of the project’s development financing package. <br />If the funds are held in a Local Housing Trust Fund, can they be used as a match in Minnesota <br />Housing’s Local Housing Trust Funds Matching Grants program? <br />No. Housing aid cannot be used as matching funds in the Local Housing Trust Fund Grants program. <br />Only new public revenue, defined as local income committed to the Local Housing Trust Fund on or <br />after June 29, 2021, can be used as matching funds. <br />Can a county use its funds within cities that have also received hous ing aid? <br />Yes. Counties can spend the funds on qualifying projects anywhere in the county, including cities that <br />directly receive aid. Regional collaboration is encouraged to maximize the aid’s impact. <br />Page 42 of 43