234.04 Loans to eligible sponsors of housing projects and to or for persons and families of low and moderate income. (1) The authority may make or participate in the making of construction loans to eligible sponsors of housing projects for the construction or rehabilitation of housing for persons and families of low and moderate income. Such loans shall be made only upon the determination by the authority that construction loans are not otherwise available from private lenders upon reasonably equivalent terms and conditions. (2) The authority may make or participate in the making and enter into commitments for the making of long-term mortgage loans to eligible sponsors of housing projects for occupancy by persons and families of low and moderate income, or for the making of homeownership mortgage loans or housing rehabilitation loans or loans for the refinancing of qualified subprime loans under s. 234.592 to persons and families of low and moderate income, an applicant under s. 234.59 or 234.592, or other eligible beneficiaries as defined in s. 234.49. The loans may be made only upon the determination by the authority that they are not otherwise available from private lenders upon reasonably equivalent terms and conditions. The authority may not make a loan to a person whose name appears on the statewide support lien docket under s. 49.854 (2) (b), unless the person provides to the authority a payment agreement that has been approved by the county child support agency under s. 59.53 (5) and that is consistent with rules promulgated under s. 49.858 (2) (a). The authority may employ, for such compensation as it determines, the services of any financial institution in connection with any loan. (3) The authority may make or participate in the making and enter into commitments for the making of loans to any banking institution, savings bank, savings and loan association or credit union organized under the laws of this or any other state or of the United States having an office in this state, if the authority first determines that the proceeds of such loans will be utilized for the purpose of making long-term mortgage loans to persons or families of low and moderate income, or for the purpose of providing residential housing for occupancy by persons or families of low and moderate income, or for the purpose of making housing rehabilitation loans. (4) A loan shall be secured in such manner and be repaid in such a period, not exceeding 50 years, as may be determined by the authority; and shall bear interest at a rate determined by the authority. History: 1971 c. 287; 1975 c. 221; 1977 c. 418; 1979 c. 361 s. 113; 1981 c. 349; 1985 a. 29; 1987 a. 27, 359; 1991 a. 221; 1995 a. 404; 1999 a. 9; 2009 a. 2.
234.045 Workforce housing rehabilitation loan program. (1) DEFINITION. In this section, “eligible rehabilitation” means an improvement to housing to maintain the housing in a decent, safe, and sanitary condition or to restore it to that condition if the improvement is the removal of lead paint, asbestos, mold, or other internal environmental contamination in accordance with applicable local, state, and federal laws and regulations or constitutes a structural improvement, including any of the following: (a) Repairing or replacing a heating system, electrical system, internal plumbing system, interior wall or ceiling, roof, window, exterior door, or flooring. (b) Repairing the foundation.
May 22, 2026, are designated by NOTES. (Published 5-22-26)
234.045
HOUSING AND ECONOMIC DEVELOPMENT AUTHORITY
(c) Repairing or replacing insulation or siding. (2) WORKFORCE HOUSING REHABILITATION LOANS. (a) From the housing rehabilitation loan fund, the authority may make a loan to a person applying for the loan to pay for the cost of eligible rehabilitation to the applicant’s home if all of the following apply: 1. The applicant’s household annual income does not exceed 120 percent of the area median family income for the county in which the housing is located, adjusted for family size, as published annually by the federal department of housing and urban development. 2. The applicant’s home is a single-family residence that the applicant occupies as the applicant’s primary residence and that was constructed at least 40 years prior to the date of the applicant’s loan application. 3. The applicant agrees to the terms of the loan, including a requirement to repay the loan by making monthly principal and interest payments so that the loan, including all interest, is fully repaid within the loan term established under subd. 4., a requirement to repay the loan, including all interest, upon the applicant selling or otherwise transferring title to the residence to another person, and all other terms established by the authority. 4. The loan term does not exceed 15 years. 5. The amount of the loan does not exceed $50,000 or 100 percent of the appraised value of the residence after completion of the eligible rehabilitation, whichever is less. 6. The applicant does not have another loan under this section pending with the authority at the time of application. 7. The applicant’s home has not been the subject of a claim for a state or federal historic rehabilitation tax credit, as determined by the authority. 8. The applicant’s home has not received financial assistance from tax increments generated by an active tax incremental district. (b) The authority may establish an interest rate for any loan made under par. (a) at or below the market interest rate or may charge no interest. (c) If a loan recipient’s home contains lead paint, asbestos, or mold, the authority’s loan agreement with the recipient shall require the recipient to remediate the hazardous material or condition as required by and in accordance with local, state, and federal laws or regulations. (3) POLICIES AND PROCEDURES. The authority shall establish policies and procedures to administer the housing rehabilitation loan fund and the program under this section. The policies and procedures shall, to the extent practicable, do all of the following: (a) Incorporate the authority’s policies and procedures for establishing credit underwriting guidelines. (b) Establish loan repayment requirements. History: 2021 a. 221; 2023 a. 17.