The Benton County Board approved a countywide residential rehabilitation loan program funded by the county’s local housing aid allocation and administered through the Benton Economic Partnership (BEP). The board approved a service contract with the Center for Energy and Environment (CEE) to facilitate underwriting, application processing and loan servicing.

Amanda (Benton Economic Partnership) told commissioners the program will supplement existing Minnesota Housing programs and offer secured, low-interest loans of up to $25,000 for eligible homeowners at or below 80% of area median income (AMI). Loan terms will generally be one year per $1,000 borrowed with a maximum 10-year term; an illustrative $25,000 loan at 4% interest would carry an average payment of roughly $253 per month. Eligible projects include roofing, windows, siding, HVAC, insulation, accessibility and certain moisture remediation; luxury items and non-permanent appliances are ineligible.

The county currently holds approximately $243,826.62 in local housing aid funds for the program. Under the approved arrangement, BEP will hold the funds in a local housing trust and CEE will manage applicant intake, underwriting and monthly reporting; loans will be secured by county lien position (typically second mortgage behind a primary lender). Applicants will be required to provide a completed online application, proof of income, a project bid (one bid required), and other documentation; projects must be completed within 120 days of loan closing. BEP and CEE will provide marketing and at least two public presentations in the first year of implementation.

Commissioners asked about program history and stacking with other programs; Amanda said the program type was used in Elk River and can be stacked with Minnesota Housing programs. The county board moved and approved the contract and program support unanimously.

Implementation timeline: staff anticipated program launch on the CEE online platform by August 2025; CEE will provide monthly and annual reports and marketing collateral for county channels. County staff said loan disbursements will be made on a reimbursement basis after inspection and completion documentation is submitted.