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RELEVANT LINKS: League of Minnesota Cities Handbook for Minnesota Cities 8/1/2023 Community Development and Redevelopment Chapter 14 | Page 20 Minn. Stat. § 462C.16 subd 4. A city may finance its local or regional housing trust fund with any money available to local government, unless expressly prohibited by state law. Sources of funding may include, but are not limited to: • Donations. • Bond proceeds. • Grants and loans from a state, federal, or private source. • Appropriations by a local government to the fund. • Investment earnings of the fund. • Housing and redevelopment authority levies. Once the fund is established, the source of funding may be altered, but only if sufficient funds will still exist to cover the projected debts or expenditures authorized by the fund in its budget. Minn. Stat. § 462C.16 subd 3. Money in a local or regional housing trust fund may only be used to: • Pay for administrative expenses, but not more than 10% of the balance of the fund may be spent on administration. • Make grants, loans, and loan guarantees for the development, rehabilitation, or financing of housing. • Match other funds from federal, state, or private resources for housing projects. • Provide down payment assistance, rental assistance, and homebuyer counseling services. Minn. Stat. § 462C.16 subd 5. The local or regional housing trust fund must report annually to the local government that created the fund, and the local government (or governments) must post this report on its public website. Minn. Stat. § 462C.16 subd 6. A local or regional housing trust fund existing on July 1, 2017, is not required to alter the existing terms of its governing documents or take any additional authorizing actions required by the statute. IV. State-sponsored development tools A. Minnesota Housing Finance Agency Minn. Stat. ch. 462A. For more information about MHFA programs, contact MHFA at 400 Wabasha Street North, Suite 400, St. Paul, MN 55102 (651) 296- 7608 or (800) 657-3769. The goals of the Minnesota Housing Finance Agency (MHFA) are to provide decent, affordable housing to low- and moderate-income people; preserve the existing housing stock in Minnesota; preserve existing neighborhoods and prevent them from deteriorating; and prevent mortgage foreclosures while promoting energy conservation in residential housing. The Minnesota Legislature created the MHFA in response to a shortage of affordable housing for low- and moderate-income people.