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Habitat for Humanity urges continued funding for workforce homeownership, infrastructure in Greater Minnesota
Summary
Habitat for Humanity of Minnesota told the Senate committee that workforce homeownership funding and a Greater Minnesota housing infrastructure grant program helped increase production; the group asked the legislature to continue prior investments to produce entry‑level owner‑occupied homes.
Kristen in City, identified in the record as CEO of Habitat for Humanity of Minnesota, presented the organization’s statewide role supporting 24 local affiliates and asked the committee to continue funding two programs the group views as critical: the Workforce and Affordable Homeownership Program and the Greater Minnesota Housing Infrastructure Grant Program.
Kristen said the Workforce and Affordable Homeownership Program (the only state program focused solely on affordable homeownership supply) received $60.5 million in the last cycle and that Habitat affiliates were recently awarded about $12.1 million from that pool. The organization asked the committee to maintain a $60.5 million request for FY26‑27, which Habitat estimated could produce more than 500 entry‑level owner‑occupied homes statewide.
Nut graf: Habitat framed its budget requests as investments that convert small local capacity into more homes — moving some affiliates from building one home a year to several — and highlighted a separate $8 million one‑time Greater Minnesota infrastructure pool that supports modest density and homeownership where utilities and streets are barriers.
Kristen also described supply pressure: home values rose much faster than incomes (median home values up 24% while owner income rose 6% adjusted for inflation), and affiliates rely on federal programs such as HOME and USDA Section 502 in rural areas. She warned that elimination of key federal products (for example USDA 502 direct loans) would harm rural homeownership opportunities.
Ending: Committee members asked follow‑up questions about price instability and federal program risks; Habitat staff offered to return with further detail during zoning and land‑use discussions.
