Meeting the housing needs of low-income Tennesseans throughpartnerships has been a core value of the Tennessee Housing Development Agencysince its creation in 1973. THDA is committed to working with local communitiesand nonprofit agencies to make decent, safe, affordable housing available toall residents of Tennessee.

In 2006, the THDA Board of Directors voted tocreate the Housing Trust Fund (HTF) to address the housing needs of the verylow income, the very low income elderly and the very low income special needspopulations of Tennessee. The four-level model for funding included stateappropriation, THDA funds, private sector investment, and matching funds fromlocal grantees. Basic home repair was the constantly repeated request when THDAand other housing funders visited with community leaders in all nine ofTennessee’s development districts in the spring of 2007. City and Countyofficials, especially in rural areas of the state, continue to express thatneed.

The HTF beganwith total allocations in FY 2007 and 2008 of $12 million in THDA funds and $4million appropriated to THDA by the State Legislature. The combined FY 2007 and2008 allocations to the HTF were used to fund $4 million for the Emergency Repair Program for the Elderly, $1.4 million for the USDA RuralDevelopment Rural Repair Program, $300,000 for the Ramp Program forpersons with disabilities, $300,000 for the THDA Homebuyer Education Reimbursement program, and $10 million in competitive grants.

The THDA Boardof Directors approved an additional $6 million in THDA funds in FY 2009, andthe State Legislature made a second and final appropriation of $350,000 for theHTF. THDA again allocated $2 million to the Emergency Repair Program for theElderly, $700,000 to the USDA Rural Development Rural Repair Program, $150,000to the Ramp Program, and $3.5 million in competitive grants. The THDA Board ofDirectors approved an additional $6 million for the HTF in FY 2010 and in FY2011.

Through FY 2011,private sector investment in the HTF enabled THDA to operate the Preserveprogram. Fifth Third Bank and First State Bank made low interest loans to theHTF, and these dollars were designed to assist homeowners of moderate income tomake needed repairs to their homes, to maintain the housing stock, and to helphomeowners avoid predatory lending.

In FY 2013, theTHDA Board of Directors increased the allocation to the HTF to $6.5 million tofund the pilot Manufactured Housing Replacement Program. The THDA Board alsoapproved an additional $2 million in FY 2013 for the Rebuild and Recover Disaster Program and changed the application schedule for the CompetitiveGrants Program from once every two years to twice each fiscal year. The changebegan with the 2014 Fall Mini Round.

In FY 2014, theTHDA Board approved a higher allocation, $7 million, and eliminated the pilotManufactured Housing Replacement Program due to lack of activity. The THDA Boardapproved allocations of $7.5 million to the Housing Trust Fund in FY 2015 andFY 2106. In July 2015, the Emergency Repair for the Elderly Program wasexpanded to include individuals with disabilities of any age, and the USDARural Repair Program was discontinued. Beginning in FY 2015, an annual allocationof $500,000 has been set-aside for Habitat for Humanity of Tennessee for redistribution to local Habitat affiliates.