MS Housing Infrastructure Support Program; create to provide grants and low-interest loans for certain public infrastructure improvements.

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To: Housing; Accountability,
Efficiency, Transparency
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Senator(s) Hickman

SENATE BILL NO. 2758

AN ACT TO CREATE THE "MISSISSIPPI HOUSING INFRASTRUCTURE 1
SUPPORT PROGRAM" TO ASSIST COUNTIES, MUNICIPALITIES AND PUBLIC 2
UTILITY AUTHORITIES WITH THE COST OF HOUSING-RELATED 3
INFRASTRUCTURE TO SUPPORT WORKFORCE AND AFFORDABLE HOUSING 4
DEVELOPMENT ACROSS THE STATE; TO CREATE THE "MISSISSIPPI HOUSING 5
INFRASTRUCTURE SUPPORT FUND" AS A SPECIAL FUND IN THE STATE 6
TREASURY; TO PROVIDE THAT THE MISSISSIPPI HOME CORPORATION 7
(CORPORATION) SHALL ADMINISTER THE PROGRAM AND DISBURSE FUND 8
MONIES IN THE FORM OF GRANTS AND LOW-INTEREST LOANS SOLELY FOR 9
PUBLICLY-OWNED OR PUBLICLY-REGULATED INFRASTRUCTURE DIRECTLY 10
RELATED TO HOUSING DEVELOPMENT; TO ESTABLISH MAXIMUM GRANT AMOUNTS 11
PER PROJECT AND TO SET MAXIMUM INTEREST RATES AND TERMS FOR 12
LOW-INTEREST LOANS; TO REQUIRE ELIGIBLE APPLICANTS TO DEMONSTRATE 13
NONSTATE MATCHING FUNDS EQUAL TO AT LEAST 25% OF TOTAL PROJECT 14
COSTS; TO DIRECT THE CORPORATION TO GIVE PRIORITY TO CERTAIN 15
PROJECTS; TO PROHIBIT A LOCAL GOVERNMENTAL ENTITY THAT IS AWARDED 16
FUNDS MONIES FROM ENFORCING OR IMPLEMENTING ANY LOT AND/OR HOME 17
SIZE RESTRICTIONS FOR PROJECT AREAS; TO REQUIRE THE CORPORATION TO 18
SUBMIT AN ANNUAL REPORT TO THE GOVERNOR, THE LIEUTENANT GOVERNOR, 19
THE SPEAKER OF THE HOUSE OF REPRESENTATIVES, AND THE CHAIRS OF THE 20
HOUSE AND SENATE HOUSING COMMITTEES THAT COMPREHENSIVELY DETAILS 21
CERTAIN INFORMATION RELATED TO THE FUND; TO REQUIRE PUBLIC 22
DISCLOSURE OF ALL FUNDED PROJECTS; TO DEFINE TERMS; AND FOR 23
RELATED PURPOSES. 24
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 25
SECTION 1. As used in this article, the following terms 26
shall have the meaning ascribed herein: 27
(a) "Corporation" means the Mississippi Home 28
Corporation. 29
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(b) "Eligible applicants" mean counties, municipalities 30
and public utility authorities organized under Mississippi law. 31
Private developers may not directly apply for program funds, but 32
may satisfy all or part of the required matching funds under 33
Section 6 of this article through documented capital investment or 34
infrastructure contributions. 35
(c) "Fund" means the Mississippi Housing Infrastructure 36
Support Fund created under Section 3 of this article. 37
(d) "Nonstate matching funds" or "matching funds" means 38
contributions toward total project costs provided through local 39
governments, private developers or a combination of both. 40
(e) "Program" means the Mississippi Housing 41
Infrastructure Support Program created under Section 2 of this 42
article. 43
SECTION 2. (1) The Mississippi Housing Infrastructure 44
Support Program is created to assist eligible applicants with the 45
cost of housing-related infrastructure to support workforce and 46
affordable housing development across the state. The program 47
shall be limited exclusively to infrastructure improvements 48
necessary to enable housing development and shall not provide 49
funding toward housing construction, rental assistance or direct 50
subsidies. 51
(2) The corporation shall: 52
(a) Administer the program; 53
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(b) Adopt and promulgate rules, guidelines, forms, 54
regulations and application procedures necessary to administer the 55
program; 56
(c) Evaluate applications submitted by eligible 57
applicants; and 58
(d) Verify all matching funds required under Section 6 59
of this article. 60
SECTION 3. (1) There is created in the State Treasury a 61
special fund to be designated as the "Mississippi Housing 62
Infrastructure Support Fund." The fund shall be maintained by the 63
State Treasurer as a separate and special fund, separate and apart 64
from the General Fund of the state. Unexpended amounts remaining 65
in the fund at the end of a fiscal year shall not lapse into the 66
State General Fund, and any interest earned or investment earnings 67
on amounts in the fund shall be deposited into such fund. The 68
fund shall consist of: 69
(a) Monies deposited into the fund by the State 70
Treasurer; 71
(b) The interest accruing to the fund; 72
(c) Monies received from the federal government; 73
(d) Gifts, grants and donations; 74
(e) Loan repayments; and 75
(f) Monies received from such other sources as may be 76
provided by or allowable under law. 77
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(2) Subject to appropriation by the Legislature, monies in 78
the fund shall be disbursed by the corporation, as authorized 79
under this article, to provide grants and low-interest loans to 80
eligible applicants exclusively for the purpose of public 81
infrastructure improvements necessary to enable housing 82
development. Grants and loans shall be specified by amount, 83
recipient and purpose. No grant or loan by the corporation to any 84
eligible applicant shall adversely affect any grant, loan or 85
service to the eligible applicant by any other unit or 86
instrumentality of state government. 87
SECTION 4. (1) The corporation shall provide fund monies to 88
be used solely for publicly-owned or publicly-regulated 89
infrastructure directly related to housing development, including: 90
(a) Water systems; 91
(b) Wastewater systems; 92
(c) Stormwater runoff and drainage management; 93
(d) Access roads and site-entry improvements; 94
(e) Utility extensions necessary to serve housing 95
developments; 96
(f) Site preparation; and 97
(g) Risk- and threat-mitigation measures. 98
(2) Fund monies shall not be used for any of the following 99
purposes: 100
(a) Construction and/or rehabilitation of housing 101
units; 102
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(b) Housing and/or rental subsidies; 103
(c) Maintenance and/or operating expenses; or 104
(d) Land acquisition. 105
SECTION 5. (1) The corporation shall disburse fund monies 106
to eligible applicants in the form of grants or low-interest 107
loans, as determined by the corporation. 108
(2) Grants may be awarded in amounts not exceeding Five 109
Million Dollars ($5,000,000.00) per project, subject to available 110
funds. 111
(3) (a) Loans may be issued at an interest rate not 112
exceeding two percent (2%) per annum, for a term not to exceed 113
twenty (20) years. The amount of each loan shall be determined by 114
the department. 115
(b) Loan repayments shall be returned to the fund for 116
future use. 117
SECTION 6. (1) In order to qualify for fund monies for a 118
project, an eligible applicant must demonstrate nonstate matching 119
funds equal to at least twenty-five percent (25%) of total project 120
costs. 121
(2) Matching funds may include cash contributions, 122
documented infrastructure expenditures and other eligible nonstate 123
capital investments approved by the corporation. 124
(3) The corporation shall establish documentation and 125
verification standards for all matching funds. 126
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(4) In awarding fund monies, the corporation shall give 127
priority to projects that: 128
(a) Serve rural or underserved communities; 129
(b) Support workforce or affordable housing 130
development; 131
(c) Address documented housing shortages; 132
(d) Leverage substantial private investment exceeding 133
the minimum match; and 134
(e) Demonstrate project readiness and feasibility. 135
(5) An eligible applicant that is a local governmental 136
entity and is awarded fund monies shall not enforce or implement 137
any lot and/or home size restrictions for project areas. 138
SECTION 7. (1) The corporation shall annually prepare and 139
submit a report to the Governor, the Lieutenant Governor, the 140
Speaker of the House of Representatives, and the Chairs of the 141
House and Senate Housing Committees that comprehensively details 142
the following information related to the Mississippi Housing 143
Infrastructure Support Fund: 144
(a) All funds awarded, broken down by (i) grants, and 145
(ii) low-interest loans; 146
(b) Project locations; 147
(c) Total project costs, including nonstate matching 148
funds; 149
(d) Total private investment leveraged; and 150
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ST: MS Housing Infrastructure Support Program;
create to provide grants and low-interest loans
for certain public infrastructure improvements.
(e) The estimated number of housing developments and 151
units enabled through the program. 152
(2) The corporation shall provide public disclosure of all 153
funded projects. 154
SECTION 8. This article shall stand repealed from and after 155
July 1, 2032. 156
SECTION 9. Sections 1 through 8 of this act shall be 157
codified as a new Article 13 in Chapter 33, Title 43, Mississippi 158
Code of 1972. 159
SECTION 10. This act shall take effect and be in force from 160
and after July 1, 2026. 161