February 19, 2024 - Introduced by Senators Agard, L. Johnson and Larson, cosponsored by Representatives Considine, Shelton, Ratcliff, Emerson, Stubbs, Clancy, Conley, Sinicki, Moore Omokunde, Subeck, J. Anderson, Bare and Ohnstad. Referred to Committee on Housing, Rural Issues and Forestry.
SB1037,,22An Act relating to: feasibility study concerning the establishment of a down payment assistance grant program. SB1037,,33Analysis by the Legislative Reference Bureau This bill directs the Wisconsin Housing and Economic Development Authority to conduct a feasibility study with respect to the establishment of a program to award up to $2,000,000 in grants to counties that the counties will then distribute as down payment assistance to individuals for the purchase of a principal residence. The program would include the requirement that counties use the grants to provide down payment assistance to individuals who meet at least the following conditions:
1. The individual’s household income does not exceed 80 percent of the area median family income in the participant county, adjusted for family size, as published annually by the federal Department of Housing and Urban Development.
2. The individual will use the monies to make a down payment on the purchase of a principal residence for the individual in the county.
3. The individual completes a financial education program approved by WHEDA.
4. The individual agrees to pay back the assistance if he or she does not maintain the residence as his or her principal residence for a period of at least five years.
Under the bill, WHEDA must submit a report of its findings from the feasibility study to the legislature no later than December 31, 2024. The report must include any recommendations of WHEDA, including additional or different eligibility criteria for counties and individuals participating in the grant program.
For further information see the state fiscal estimate, which will be printed as an appendix to this bill.
SB1037,,44The people of the state of Wisconsin, represented in senate and assembly, do enact as follows: SB1037,15Section 1. Nonstatutory provisions. SB1037,,66(1) Down payment assistance grants feasibility study. SB1037,,77(a) In this subsection, “authority” means the Wisconsin Housing and Economic Development Authority. SB1037,,88(b) The authority shall conduct a study to determine the feasibility of establishing a program under which the authority awards up to a total of $2,000,000 in grants to counties to provide down payment assistance to individuals who meet at least all of the following conditions: SB1037,,991. The individual’s household income does not exceed 80 percent of the area median income. SB1037,,10102. The individual will use the monies received from the county to make a down payment on the purchase of a residence that is the individual’s principal residence and is located in the county. SB1037,,11113. The individual completes a financial education program approved by the authority. SB1037,,12124. The individual agrees to pay back the monies received from the county if the individual does not maintain the residence described in subd. 2. as his or her principal residence for a period of at least 5 years. SB1037,,1313(c) The feasibility study conducted under par. (b) shall explore potential funding sources for the specified program, including the authority’s existing bonding authority. SB1037,,1414(d) The authority shall submit a report of its findings from the feasibility study conducted under par. (b) to the chief clerk of each house of the legislature for distribution to the legislature under s. 13.172 (2) no later than December 31, 2024. The report shall include any recommendations of the authority, including additional or different eligibility criteria for counties and individuals participating in the grant program.
