SB 295

This bill establishes a commercial-to-housing conversion revolving loan fund

under the jurisdiction and control of the Wisconsin Housing and Economic

Development Authority. The purpose of the fund is for WHEDA to award loans as

provided in the bill to developers for the conversion of vacant commercial buildings

to new residential developments consisting of workforce or senior housing and

containing at least 16 dwelling units. The bill requires WHEDA, for a period of four

years, to set aside 25 percent of any moneys appropriated to the fund in the 2023-25

fiscal biennium for commercial-to-housing conversion projects supporting senior

housing.

The bill includes definitions of both workforce housing and senior housing.

Workforce housing is defined for both rental and owner-occupied housing based on

the ratio of housing costs and the ratio of household income to the area median

income of the county in which the housing is located, adjusted for family size, as

published annually by the federal Department of Housing and Urban Development.

Under the bill, senior housing is housing that satisfies the definition of workforce

housing but is intended and operated primarily for occupancy by at least one person

55 years of age or older per dwelling unit.

In accordance with a semiannual application process established by WHEDA,

a residential housing developer may apply to WHEDA for a loan under the program,

but WHEDA may not award the loan unless the developer and the political

subdivision having jurisdiction of the commercial-to-housing conversion project

demonstrate to the satisfaction of WHEDA in one or more forms prescribed by

WHEDA that all of the following apply:

1. The developer has secured the necessary financial resources for the total cost

of development of the residential housing supported by the eligible project.

2. The developer has secured all applicable federal, state, and local government

permits or other approvals for the eligible project and the residential housing

supported by the eligible project.

3. The eligible political subdivision has reduced the cost of residential housing

in connection with the specific commercial-to-housing conversion project to be

funded by the loan by voluntarily revising zoning ordinances, subdivision

regulations, or other land development regulations to increase development density,

expedite approvals, reduce impact fees, or reduce parking, building, or other

development costs with respect to the construction of residential housing supported

by the project.

4. The eligible political subdivision is in compliance with certain statutory

housing planning and reporting requirements.

5. The eligible political subdivision has updated the housing element of its

comprehensive plan required by statute within the immediately preceding five

years.