Legislators and Affordable Housing Developers Come Together to Raise Awareness of the NEW State Housing Tax Credit and Contribution Fund and Celebrate Securian Financials’ $1 Million Contribution
(ST. PAUL, MINNESOTA) With a newly extended December 13, 2023, deadline looming, a coalition of affordable housing developers, legislators, state officials and contributors, led by Minnesota Housing Partnership (MHP), want to raise awareness about the State Housing Tax Credit (SHTC) and Contribution Fund (www.mnhousing.gov/shtc-contribution.html). This innovative and highly unique program, administered by Minnesota Housing, allows individual and corporate Minnesota taxpayers to invest in housing across the state and receive a tax credit for 85% of their contribution. The program became available for the first time in October 2023.
The fund has received more than $3.5 million in contribution pledges as of November 27, but the coalition wants to drive awareness of the fund to help reach its $11.6 million contribution limit in time for contributions to count in 2023. Last week, Securian Financial, headquartered in downtown Saint Paul and one of the nation’s largest life insurance companies, made a $1 million contribution to the Fund, one of the largest single contributions to date.
“We see this as an exciting new opportunity for companies doing business in Minnesota to support affordable and workforce housing throughout the state,” said Suzette Huovinen, senior vice president for Securian Financial. “There is such a pressing need for this housing — and businesses can help address this need while receiving a tax credit for their contributions — so we view this as a common-sense effort. We hope other companies will join us.”
The coalition sees this program as an unprecedented opportunity for corporations and individual Minnesotans to directly support the development of rental and for-sale housing throughout the state. According to the National Low Income Housing Coalition, Minnesota has a significant shortage of affordable rental homes available to extremely low-income households with incomes below the poverty guideline or 30% AMI. Many of these households are severely cost-burdened, spending more than half their income on housing.
“MHP worked with legislators from both parties and across the state to create this new way for people to support housing developments in their communities,” said Anne Mavity, Executive Director of the Minnesota Housing Partnership. “We hope individuals and companies will see this as an opportunity to contribute to housing while also seeing significant savings on their taxes. They can look to https://mhponline.org/tax-credit-contribution-fund-projects/ for projects they may want to designate.”
Individuals and businesses who pay state taxes and meet eligibility requirements can contribute anywhere from $1,000 to $2 million. The program provides a tax credit of 85 percent of the contribution amount, so if you donate $1,000 to the Fund, you receive an $850 credit to offset your Minnesota taxes. Contributors can contribute directly to a specific project or the general contribution pool, which may be awarded to cities, federally recognized American Indian tribes, developers, nonprofits, or public housing or redevelopment authorities.
To RSVP for the press conference, contact Ella Carlsson, Red Mood Marketing, ella@redmoodmktg.com, 612.805.0572. For interviews with Securian Financial team members, please contact Jeff Bakken, Securian Financial, 651.665.7558, Jeff.Bakken@securian.com.
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About Minnesota Housing Partnership
Minnesota Housing Partnership (MHP) advocates for equitable housing policy, produces data-informed research to inform solutions, and delivers community development services across the US. MHP’s efforts are rooted in the tenet that everyone should have a safe, stable place to call home. MHP is an anti-racist/culturally responsive organization and employer. For more information, visit mhponline.org
About Twin Cities Habitat for Humanity
Twin Cities Habitat for Humanity brings people together to create, preserve, and promote affordable homeownership and advance racial equity in housing. Since 1985, more than 1,700 families have partnered with Twin Cities Habitat to unlock the transformational power of homeownership. Twin Cities Habitat is one of the highest-regarded Habitat for Humanity affiliates nationwide. www.tchabitat.org. The affiliate will host the Jimmy & Rosalynn Carter Work Project in the fall of 2024.
About Minnesota Housing
Minnesota Housing, the state’s housing finance agency, works to provide access to safe, stable and accessible housing Minnesotans can afford in a community of their choice. In 2022, the agency distributed $2.18 billion in resources and served over 109,000 households. Minnesota Housing is administering the State Housing Tax Credit and Contribution Fund. For more information, visit mnhousing.gov.
