Bloomington Housing Trust Fund
The Affordable Housing Trust Fund promotes the development, financing, and acquisition of affordable housing while furthering private market development in the City. The Affordable Housing Trust Fund was established by the City’s Opportunity Housing Ordinance, launched September 1, 2019. Developments with 20 units or more that include at least 9% affordable units in compliance with the Opportunity Housing Ordinance are eligible for the Affordable Housing Trust Fund. Bloomington was among the first suburban cities in the region to establish a Affordable Housing Trust Fund and is leading efforts to develop rental units affordable to very low income tenants.
In Bloomington, households earning less than 60% of the Area Median Income struggle to find rental housing that is reasonably affordable. The addition of affordable units in all new development will stimulate economic growth that benefits the entire community.
The goal of the Affordable Housing Trust Fund is to develop 842 affordable rental units by 2030 including: 151 low income units, 246 very low income units and 445 extremely low income units.
Revolving Loan Fund - Development gap financing for affordable housing development
Funding will be awarded based on the following criteria:
- Number of affordable units (at least 9% affordable)
- Affordability of units (30% AMI, 50% AMI, 60% AMI)
- Benefits to low and moderate income citizens
- Designated development district and transit area
- Number and types of jobs created or retained
- Private funding related to public investment
- Increase in tax revenue
- Other criteria TBD
Housing Sustainability Fund - Grant Funds for Extremely Low Income Units (30% AMI)
RENTAL SUBSIDY
- Difference between rent at 60% AMI and 30% AMI
- Approximately $13,000 per unit per year
HOUSING SUPPORT
- Supportive services to maintain housing stability
- Funding TBD
AFFORDABLE HOUSING TRUST FUND | POTENTIAL FUNDING SOURCES
- HRA Levy
- Line of Credit
- Housing Revenue Bonds or General Obligation Bonds
- Tax Increment Financing Allocation
- Revolving Loan Fund Payments of Principal and Interest
- Opportunity Housing Payments in Lieu
- Grants, Donations or Gifts
- Funds from other sources authorized by the HRA, City Council or the voters
For further information or to donate to the Affordable Housing Trust Fund contact:
Housing and Redevelopment Authority
For more information on the Opportunity Housing Ordinance: blm.mn/OHO