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City launches $7.5 million housing initiative for all

August 28, 2024 | St. Paul City, Ramsey County, Minnesota


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City launches $7.5 million housing initiative for all
During a recent government meeting, officials discussed the 2025 budget, which includes a significant $7.5 million housing package aimed at addressing various needs within the community. This funding is designed to support individuals across the housing spectrum, including unsheltered populations, renters, prospective homebuyers, and current homeowners.

The majority of the $7.5 million will be sourced from a new local affordable housing aid (LAHA), funded by a 0.25% metro area sales tax. The allocation of these funds is based on each local government's share of cost-burdened households. For the upcoming year, projections indicate that nearly $5 million will be available through LAHA, with specific allocations earmarked for various programs.

The budget proposes to allocate $1 million for rental assistance, $100,000 for legal assistance for renters, and $380,000 for tenant protection staffing. Additionally, on the homeownership front, $1 million is designated for a homeowner rehabilitation program, $500,000 to assist low-income homeowners in accessing state tax credits and refund programs, and $2 million for down payment assistance and the inheritance fund.

Council members engaged in discussions regarding the nature of this funding, with questions raised about whether the aid would be ongoing or a one-time allocation. The meeting underscored the government's commitment to addressing housing challenges and providing essential support to vulnerable populations within the community.

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Scribe from Workplace AI
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