Qualified Allocation Plan (QAP)

Minnesota Housing is proposing amendments to the 2024-2025 Housing Tax Credit (HTC) Qualified Allocation Plan (QAP) and 2026-2027 QAP, including the 2026-2027 Self-Scoring Worksheet. These updates are intended to align with recent changes in federal and state law. Minnesota Housing is also proposing to extend the QAP by one year to be the 2026-2028 QAP so that it is also applicable to the 2027 Multifamily Consolidated RFP/2028 HTC funding rounds.

State and Federal Law

Since the approval of the QAPs, there have been changes to Minnesota state statute and federal law that make it necessary for the QAPs to be amended. In the 2025 Minnesota legislative session, the “Local Actions to Support Housing” was added to session law (Minnesota Laws 2025, chapter 32, article 3, section 13).

The law requires Minnesota Housing, where practicable, to award additional points in competitive capital development programs to proposed projects located in jurisdictions that provide certain land use and zoning flexibilities identified in the law. This new statutory section applies to selection criteria and scoring systems developed on or after May 23, 2025, and the section will remain effective through December 31, 2029.

In July 2025, Congress passed, and the President signed, Section 70422 of H.R.1 which reduced the volume capped tax-exempt bond threshold test from 50% to 25% to qualify for the 4% HTC.

To implement these changes in federal and state law, Minnesota Housing must amend the applicable QAPs and 2026-2027 Self-Scoring Worksheet.

QAP Extension

Minnesota Housing is proposing to extend the QAP by one year to be the 2026-2028 QAP so that it is also applicable to the 2027 Multifamily Consolidated RFP/2028 HTC funding rounds.

We incorporated significant policy changes in the 2026-2027 QAP and made substantive changes to many of the selection criteria as a result of the community engagement work. Those policies are currently being implemented in the 2025 Multifamily Consolidated Request for Proposals (RFP). We are just beginning to see the results from those changes. Extending the QAP will allow Minnesota housing time to analyze the outcomes, issues, and feedback to better understand the effectiveness of the policies and procedures before proposing additional modifications. For example, the Innovation Construction Techniques was converted to a new pointing selection criterion. Having another year of data would help inform our decisions and potential modifications for the next QAP.

A 2026-2028 QAP would extend existing policies and scoring to allow applicants more time to plan for their projects. The extension also provides more predictability and consistency for applicants since the selection criteria would remain the same for one more funding round.

Summary of Proposed Changes and Public Comment

The proposed changes are outlined in the Summary of Proposed Amendments to the 2024-2025 Housing Tax Credit Qualified Allocation Plan and the 2026-2027 Qualified Allocation Plan.

We encourage you to review the proposed QAP changes and provide comments on the changes before the public comment period ends at 5:00 p.m. Central Time on Friday, November 14, 2025. If you would like to comment by phone, please contact Kelly Winter at 651.297.5142. Written comments must be submitted by the public comment deadline.

Email comments to htc.mhfa@state.mn.us or send by mail to:

Minnesota Housing
ATTN: Tamara Wilson
400 Wabasha St. N, Suite 400
St. Paul, MN, 55102

Minnesota Housing will review and consider feedback and public comments submitted during the public comment period. Presentation and final action on these amendments are expected to occur at Minnesota Housing’s board meeting in December 2025.

Thank you for sharing your time and providing feedback.

Questions

Reach out the HTC team at htc.mhfa@state.mn.us

Please join Minnesota Housing staff on Wednesday, November 12, 2025 at 11:00 a.m. (Central Time) for an opportunity to learn more and provide your comments on the proposed changes to the 2024-2025 and 2026-2027 QAPs. Staff will provide a brief overview of the changes. Register today!

For accessibility accommodations, call 651.707.4040 or email Ben Eggersdorfer at ben.eggersdorfer@state.mn.us by Tuesday, November 11, 2025