Housing Grant Program

The Housing Grant Program administered by the Minnesota Department of Iron Range Resources and Rehabilitation is a state-funded initiative designed to address housing shortages and improve housing stock within its service area. The program is funded through the Douglas J. Johnson Corpus Fund and is structured to support both the creation of new housing units and the rehabilitation or repurposing of existing structures. The agency’s broader mission focuses on strengthening regional economic stability, particularly in communities impacted by mining activity, and this grant aligns with that goal by supporting housing solutions that meet workforce and employer needs. The primary purpose of the program is to increase the availability, quality, and accessibility of housing by funding a wide range of eligible activities. These include infrastructure improvements, site preparation, new construction, rehabilitation of existing housing, and adaptive reuse of non-residential buildings for housing purposes. However, certain activities are explicitly excluded, such as pre-development expenses like feasibility studies and projects involving single-unit house flipping or short-term rental properties. All funded projects must comply with prevailing wage requirements and other state regulations depending on project type and funding thresholds. Funding for the program totals six million dollars for the fiscal year, with individual award amounts varying based on project scope and available funds. A one-to-one matching requirement applies to most projects, meaning applicants must provide matching funds equal to the grant request. Eligible match sources include cash, land contributions, and in-kind support, though future income cannot be counted. In specific cases involving publicly owned projects in mining-impacted areas, the match requirement may be reduced if financial need is demonstrated and preapproval is obtained. Applicants are advised to submit proposals approximately nine months prior to construction start dates to ensure proper review and approval timelines. Eligibility for the program includes cities, townships, counties, nonprofit organizations, Tribal governments, and other governmental entities established under Minnesota statutes within the agency’s designated service area. Collaboration among multiple organizations is encouraged, particularly when it enhances project impact or leverages additional funding sources. Projects must demonstrate readiness, economic impact, and alignment with regional housing needs, with additional consideration given to those benefiting mining-impacted communities and promoting workforce development. Applications must be submitted through the FLUXX grants portal and require an initial pre-application to determine eligibility before a full application is invited. The application must include a detailed project narrative addressing evaluation criteria, cost estimates, a budget with sources and uses, and supporting documentation such as development agreements and market studies where applicable. Nonprofit applicants may also need to submit financial statements, IRS forms, and audit documentation depending on request size. Applications are reviewed competitively using a 100-point scoring system that evaluates readiness, economic impact, job creation, equity considerations, and environmental impact. The application window for the fiscal cycle opens on July 1, 2026 and remains open until May 28, 2027 or until funds are substantially committed. Applications are reviewed by multiple evaluators, and funding recommendations may be subject to board approval. Applicants are typically notified within sixty days following review. Projects may not begin until a grant contract is fully executed, and recipients must comply with reporting requirements, including annual progress reports and final documentation prior to payment completion. For additional information, applicants may contact Kevin Steele via email at Kevin.Steele@state.mn.us or by phone at 218-735-3067. The program also provides resources related to housing rehabilitation and encourages applicants to engage early in the process to ensure compliance with eligibility, documentation, and timeline requirements.

Emphasize project readiness economic impact and alignment with mining impacted communities ensure strong matching funds and complete documentation address all scoring criteria thoroughly