SECONDREGULARSESSION
[PERFECTED]
HOUSEBILLNO.2240
102NDGENERALASSEMBLY
INTRODUCEDBYREPRESENTATIVESHARPE(4).
4199H.01P DANARADEMANMILLER,ChiefClerk
ANACT
Toamendchapter620,RSMo,byaddingtheretosevennewsectionsrelatingtorural
workforcehousing,withapenaltyprovision.
BeitenactedbytheGeneralAssemblyofthestateofMissouri,asfollows:
SectionA.Chapter620,RSMo,isamendedbyaddingtheretosevennewsections,to
2beknownassections620.2030,620.2032,620.2034,620.2035,620.2036,620.2038,and
3620.2040,toreadasfollows:
620.2030.1.Sections620.2030to620.2040shallbeknownandmaybecitedas
2the"RuralWorkforceHousingInvestmentAct".
3 2.Forpurposesofsections620.2030to620.2040,thefollowingtermsmean:
4 (1)"Department",thedepartmentofeconomicdevelopment;
5 (2)"Director",thedirectorofthedepartmentofeconomicdevelopment;
6 (3)"Eligibleactivitiesofanonprofitdevelopmentorganization":
7 (a)Newconstructionofowner-occupiedorrentalhousinginacommunitywith
8demonstratedworkforcehousingneeds;
9 (b)Substantialrepairorrehabilitationofdilapidatedhousingstock;or
10 (c)Upper-storyhousingdevelopment;
11 (4)"Matchingfunds",dollarscontributedbyindividuals,businesses,
12foundations,localandregionalpoliticalsubdivisions,orothernonprofitorganizations
13toaworkforcehousinginvestmentfundadministeredbyanonprofitdevelopment
14organization;
EXPLANATION—Matterenclosedinbold-facedbrackets[thus] intheabovebillisnotenactedandis
intendedtobeomittedfromthelaw.Matterinbold-facetypeintheabovebillisproposedlanguage. 15 (5)"Nonprofitdevelopmentorganization",aregionalorstatewidenonprofit
16developmentorganizationapprovedbythedirector;
17 (6)"Qualifiedactivities",include,butarenotlimitedto,purchaseandrental
18guarantees,loanguarantees,loanparticipations,andothercreditenhancements,orany
19otherformofassistancedesignedtoreducethecostofworkforcehousingrelatedto
20eligibleactivitiesofthenonprofitdevelopmentorganization;
21 (7)"Qualifiedinvestment",acashinvestmentinaworkforcehousing
22investmentfundadministeredbyanonprofitdevelopmentorganization;
23 (8)"Ruralcommunity",anycityorcountywithapopulationoffewerthanfifty
24thousandinhabitantsasdeterminedbythemostrecentfederaldecennialcensus;
25 (9)"Workforcehousing":
26 (a)Housingthatmeetstheneedsofmodernworkingfamilies;
27 (b)Housingthatisattractivetonewresidentsconsideringrelocationtoarural
28community;
29 (c)Owner-occupiedhousingunitsthatcostnotmorethantwohundredseventy-
30fivethousanddollarstoconstructorrentalhousingunitsthatcostnotmorethantwo
31hundredthousanddollarsperunittoconstruct.Forpurposesofthissubdivision,
32housingunitcostsshallbeupdatedannuallybythedepartmentbaseduponthemost
33recentincreaseordecreaseintheProducerPriceIndexforallcommodities,published
34bytheUnitedStatesDepartmentofLabor,BureauofLaborStatistics;
35 (d)Owner-occupiedandrentalhousingunitsforwhichthecosttosubstantially
36rehabilitateexceedsfiftypercentofaunit'sassessedvalue;
37 (e)Upper-storyhousing;and
38 (f)Housingthatdoesnotreceivefederalorstatelow-incomehousingtaxcredits,
39communitydevelopmentblockgrants,orloansorgrantsfromtheMissourihousing
40trustfundundersection215.034;
41 (10)"Workforcehousinginvestmentfund",afundthathasbeencreatedbya
42nonprofitdevelopmentorganizationandcertifiedbythedirectortoencourage
43developmentofworkforcehousinginruralcommunities.
620.2032.1.Thereshallbeestablishedwithinthedepartmentofeconomic
2developmentaworkforcehousinggrantprogramtofosterandsupportthedevelopment
3ofworkforcehousinginruralcommunities.
4 2.Anonprofitdevelopmentorganizationmayapplytothedepartmentfor
5approvalofaworkforcehousinggrantforaworkforcehousinginvestmentfund.The
6applicationshallbeinaformandmannerprescribedbythedirector.Throughfiscal
7year2027,grantsshallbeawardedbythedirectoronacompetitivebasisuntilgrant
8fundsarenolongeravailable.Grantmaximumsshallnotexceedonemilliondollarsto
HB2240 2 9anyonenonprofitdevelopmentorganizationoveratwo-yearperiod,withnomorethan
10twomilliondollarscumulativeforanysinglegranteethroughfiscalyear2027.Grants
11shallrequireaminimumone-to-oneinmatchingfundstobeconsideredaqualified
12grantapplication.Unallocatedworkforcehousinggrantfundsheldbythedepartment
13shallberolledtothenextprogramyear.
14 3.Grantsshallbeawardedbasedupon:
15 (1)Ademonstratedandongoinghousingneedasidentifiedbyarecenthousing
16study;
17 (2)Acommunityorregionthathasalowunemploymentrateandishaving
18difficultyattractingworkersandfillingemploymentpositions;
19 (3)Acommunityorregionthatexhibitsademonstratedcommitmenttogrowing
20itshousingstock;
21 (4)Projectsthatcanreasonablybereadyforoccupancyinaperiodoftwenty-
22fourmonths;and
23 (5)Ademonstratedabilitytogrowandmanageaworkforcehousinginvestment
24fund.
25 4.Aworkforcehousinginvestmentfundshallberequiredtoreceiveannual
26certificationfromthedepartment.
27 5.Anonprofitdevelopmentorganizationshall:
28 (1)Investorintendtoinvestinworkforcehousingeligibleactivities;
29 (2)Useanyfees,interest,loanrepayments,orotherfundsitreceivesasaresult
30oftheadministrationofthegranttosupportqualifiedactivities;and
31 (3)Haveanactiveboardofdirectorswithexpertiseindevelopment,
32construction,andfinancethatmeetsatleastquarterlytoapproveallqualified
33investmentsmadebythenonprofitdevelopmentorganization.Anonprofitdevelopment
34organizationshallhaveaformalplanandprovenexpertisetoinvestunusedworkforce
35housinginvestmentfundbalancesandshallhaveanannualauditofallfinancialrecords
36conductedbyanindependentcertifiedpublicaccountant.
620.2034.1.Thereisherebycreatedinthestatetreasurythe"RuralWorkforce
2HousingInvestmentFund",whichshallconsistofmoneysappropriatedtothefundby
3thegeneralassembly.Thestatetreasurershallbecustodianofthefund.Inaccordance
4withsections30.170and30.180,thestatetreasurermayapprovedisbursements.The
5fundshallbeadedicatedfundand,uponappropriation,moneysinthisfundshallbe
6usedsolelyasprovidedinsections620.2030to620.2040.Thedepartmentshall
7administerthefundandmayseekadditionalprivatefunds,nonstatefunds,orfunds
8fromotherinterestedpartiestouseintheworkforcehousinggrantprogram.
HB2240 3 9 2.Notwithstandinganyotherprovisionsoflawtothecontrary,anymoneys
10remaininginthefundattheendofthebienniumshallnotreverttothecreditofthe
11generalrevenuefund.
12 3.Thestatetreasurershallinvestmoneysinthefundinthesamemanneras
13otherfundsareinvested.Anyinterestandmoneysearnedonsuchinvestmentsshallbe
14creditedtothefund.
620.2035.1.Ifanonprofitdevelopmentorganizationfailstoengageintheinitial
2qualifiedactivitywithintwenty-fourmonthsafterreceivinginitialgrantfunding,the
3nonprofitdevelopmentorganizationshallreturnthegrantfundstothedepartmentfor
4credittotheMissourihousingtrustfundestablishedundersection215.034.
5 2.Ifanonprofitdevelopmentorganizationfailstoallocateanyremaininginitial
6grantfundingonaqualifiedactivitywithintwenty-fourmonthsafterengaginginthe
7initialqualifiedactivity,thenonprofitdevelopmentorganizationshallreturnsuch
8unallocatedgrantfundstothedepartmentforcredittotheruralworkforcehousing
9investmentfundestablishedundersection620.2034.
10 3.Thedirectorshallhavediscretiontotransferanyunusedfundstoany
11qualifyingtrustorfundbeforeAugust28,2029.BeginningAugust28,2029,anyfunds
12heldbythedepartmentandnotdesignatedbythedirectortobedisbursedtoan
13alternativetrustorfundshallbetransferredtotheMissourihousingtrustfund
14establishedundersection215.034.
620.2036.1.Eachnonprofitdevelopmentorganizationshallsubmitanannual
2statusreporttothedirector.Thereportshallcertifythatthenonprofitdevelopment
3organizationmeetstherequirementsofsections620.2030to620.2040andshallincludea
4breakdownofprogramactivities.
5 2.Theannualreportshallinclude,butnotbelimitedto:
6 (1)Thenameandgeographicallocationofthereportingnonprofitdevelopment
7organization;
8 (2)Thenumber,amount,andtypeofworkforcehousinginvestmentfunds
9investedinqualifiedactivities;
10 (3)Thenumber,geographicallocation,type,andamountofinvestmentsmade;
11 (4)Asummaryofmatchingfundsandwheresuchmatchingfundswere
12generated;and
13 (5)Theresultsoftheannualauditrequiredundersubsection5ofsection
14620.2032.
15 3.Ifanonprofitdevelopmentorganizationceasesadministrationofaworkforce
16housinginvestmentfund,itshallfileafinalreportwiththedirectorinaformand
17mannerrequiredbythedirector.BeforeAugust28,2029,anyunallocatedgrantfunds
HB2240 4 18shallbereturnedtothedepartmentforcredittotheruralworkforcehousinginvestment
19fund.BeginningAugust28,2029,anyunallocatedgrantfundsshallbereturnedtothe
20departmentforcredittotheMissourihousingtrustfundestablishedundersection
21215.034.
22 4.Ifanonprofitdevelopmentorganizationfailstofileacompleteannualreport
23byFebruaryfifteenth,thedirectormay,inhisorherdiscretion,imposeacivilpenaltyof
24notmorethanfivethousanddollarsforsuchviolation.Allmoneyscollectedbythe
25departmentunderthissubsectionshallberemittedtothestatetreasurerfordistribution
26inaccordancewithArticleIX,Section7oftheConstitutionofMissouri.
620.2038.1.Thedepartmentshalluseitsbesteffortstoensurethatgrantfunds
2awardedtononprofitdevelopmentorganizationsaretargetedtothegeographic
3communitiesorregionswiththemostpressingeconomicandemploymentneeds.
4 2.Thedepartmentshalluseitsbesteffortstoensurethattheallocationofgrant
5fundsprovidesequitableaccesstothebenefitsprovidedbysections620.2030to620.2040
6toalleligiblegeographicalareas.
7 3.Thedepartmentmaycontractwithastatewidepublicorprivatenonprofit
8organizationthatshallserveasagentforthedepartmenttohelpcarryoutthepurposes
9andrequirementsofsections620.2030to620.2040.Thedepartmentoritsagentshall
10useforexpensesonlythatportionofthefundsavailablefortheworkforcehousinggrant
11programthroughtheruralworkforcehousinginvestmentfundnecessarytocoverthe
12actualcostsofadministeringtheprogramincluding,butnotlimitedto,thehiringof
13staff.
620.2040.1.Thedepartmentshallsubmitanannualstatusreporttothegeneral
2assemblyandthegovernorthatincludes,butisnotlimitedto:
3 (1)Thenumberandgeographicallocationofnonprofitdevelopment
4organizationsestablishingworkforcehousinginvestmentfunds;
5 (2)Thenumber,amount,andtypeofworkforcehousinginvestmentfunds
6investedinqualifiedactivities;and
7 (3)Thenumber,geographicallocation,type,andamountofinvestmentsmade
8byeachnonprofitdevelopmentorganization.
9 2.Thereporttothegeneralassemblyshallbesubmittedelectronically.
10 3.Informationreceived,developed,created,orotherwisemaintainedbythe
11departmentinadministeringandenforcingsections620.2030to620.2040,otherthan
12informationrequiredtobeincludedinthereporttobesubmittedbythedepartmentto
13thegovernorandthegeneralassemblyunderthissection,maybedeemedconfidential
14bythedepartmentandnotconsideredpublicrecordssubjecttodisclosureunder
15chapter610.
HB2240 5 16 4.Thedirectormaypromulgateallnecessaryrulesandregulationsforthe
17administrationofsections620.2030to620.2040.Anyruleorportionofarule,asthat
18termisdefinedinsection536.010,thatiscreatedundertheauthoritydelegatedinthis
19sectionshallbecomeeffectiveonlyifitcomplieswithandissubjecttoallofthe
20provisionsofchapter536and,ifapplicable,section536.028.Thissectionandchapter
21536arenonseverableandifanyofthepowersvestedwiththegeneralassembly
22pursuanttochapter536toreview,todelaytheeffectivedate,ortodisapproveandannul
23arulearesubsequentlyheldunconstitutional,thenthegrantofrulemakingauthority
24andanyruleproposedoradoptedafterAugust28,2024,shallbeinvalidandvoid.
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HB2240 6