| SB 0588 | Requires Department of Economic Development to establish six rural housing development programs |
| Sponsor: | Childers | |||
| LR Number: | 2736S.01I | Fiscal Note: | 2736-01 | |
| Committee: | Insurance and Housing | |||
| Last Action: | 01/25/00 - Hearing Conducted S Insurance & Housing Committee | Journal page: | ||
| Title: | ||||
| Effective Date: | August 28, 2000 | |||
SB 588 - This act requires the Department of Economic Development to establish six rural housing development loan pilot programs. The program authorizes no-interest loans for the construction of single family homes. The maximum loan shall be $70,000.
APPLICATIONS - Any non-profit organization may apply to the Missouri Housing Development Commission (MHDC) for funding. The Department will make the loans according to need. The Department may require an expiration date of the loan, progress reports and inspections of the construction sites.
REVOLVING FUND - Loans are to be put in a revolving fund to build homes one at a time, as they are sold.
CONSTRUCTION - Homes shall be constructed only where water and sewer services are available. All homes are to be constructed according to rural development building standards of the United States Department of Agriculture (USDA).
SALE - Homes are to be sold at cost plus a $2,500 fee for any construction supervisor hired. Priority shall be given to low and moderate income families. Every sales contract shall contain an anti-speculation clause to deter buyers from reselling the home solely to make a profit.
This is similar to SB 109 (1999) and SB 656 (1998).
STEPHEN WITTE