Montana Board of Housing Reviews Affordable Housing Funding Applications
The Montana Board of Housing, which is administratively attached to the Montana Department of Commerce, is currently reviewing applications for its 9% Housing Credit and Multifamily Loan Programs. Applications for both programs were due April 13.
In all, 11 9% Housing Credit pre-applications were received, totaling over $89 million in requests. MBOH will have an estimated $40,326,720 in credits to award. Submitted applications represent projects for families and seniors and include both new construction as well as acquisition and rehabilitation projects.
Developers take significant risks throughout the development process; a final allocation of 9% Housing Credits is never guaranteed. Despite the uncertainty, developers expend their own funds for market studies and site control, investing significant staff time to develop viable projects with adequate capital stacks.
Cheryl Cohen, the Montana Board of Housing’s executive director and administrator for Commerce’s Housing MT Division, said, “We thank developers for their efforts to submit project proposals that best meet the needs of Montana’s communities. Board members often mention that these decisions are the most difficult choices they make each year, as all projects are needed to address Montana’s affordable housing challenges. But with limited resources, difficult decisions must be made. We wish all applicants the best of luck!”
Of the eleven applications submitted, two are in Missoula and one is a scattered-site proposal for properties in Bozeman and Ravalli County. The remaining eight are in Billings, Butte, Columbia Falls, Deer Lodge, Great Falls, Havre, Libby and Roundup. Seven applications were submitted by for-profit developers and four by nonprofit developers.
Applicants presented their 9% Housing Credit pre-applications at the MBOH’s May 11 public meeting in Helena. The next day, the MBOH selected eight applicants to submit a full application. Given limited 9% Housing Credit resources, the MBOH will likely only be able to award four of the eight projects. Final allocation decisions will be made at the MBOH’s Oct. 20 meeting in Miles City. People who wish to attend will be able to register via Zoom on Commerce’s Meetings and Events page closer to this date.
The MBOH’s Qualified Allocation Plan outlines the threshold requirements and development evaluation criteria and selection process. As Montana’s Housing Finance Agency, MBOH is required by the IRS to maintain a QAP as the governing policy document over the Housing Credit allocation process. The MBOH’s QAP is available at commerce.mt.gov.
Developers gave brief overviews of their projects at the MBOH’s June 8 virtual public meeting. Board members voted on their selected projects; two slates of projects were approved for award.
This new competitive Multifamily Loan Program application cycle was made possible by House Bill 924, sponsored by Rep. Llew Jones, R-Conrad, and passed during the 2025 Legislative Session. HB 924 established the Montana Growth and Opportunity Trust, and within it, a new Montana Housing Trust. This legislation established state appropriations for affordable housing for the first time in Montana’s history.
The MBOH received six applications requesting $17.7 million under the GO-Multifamily Housing Program, formerly known as the Coal Trust Multifamily Homes Program. Approximately $13.1 million is available under this program. Additionally, 16 applications were submitted requesting nearly $40 million for the new GO Housing-Housing Montana Fund as well as the MBOH’s existing Housing Montana Fund and Multifamily Loan Program.
Under these three programs, approximately $27.5 million will be available to award. New Multifamily Program Guidelines offer additional program information, eligible use details and FAQs. Administrative rules for the Housing Montana Fund and Montana Housing Trust programs can be found at 8.111.5, and ARMs for the Montana Housing Trust-Multifamily Homes Program at 8.111.8.
Cohen said, “Board staff worked diligently following passage of HB 924 to engage stakeholders to inform the administrative rulemaking process. We thank stakeholders and members of the public for their timely feedback that helps us move through the process and makes these new resources available as quickly as possible.”
For more information, visit commerce.mt.gov/housing/developers.
Tags: Article