Waunakee homeowners can now apply for home repair grants

A new program in Waunakee is aimed at retaining the village’s affordable housing stock while ensuring some of the older homes are maintained.

Years in the making, the Waunakee Housing Betterment Fund program was launched last week as applications became available. Already, village staff are seeing interest.

“We had gotten quite a few phone calls and emails even before applications opened up on March 5. We had quite a list of people we were going to send the application to,” said Lauren Dietz, Waunakee’s community development director, who said staff continues to receive calls daily.

The Housing Betterment Fund program is one of several initiatives conceived by the Waunakee’s Housing Task Force, whose work concluded in 2019. Village President Kristin Runge noted that state law allowing for an Affordable Housing Extension has made the program possible.

It allows Tax Incremental Finance Districts to be extended for up to one year with the increment or tax value from the district’s improvements to go toward affordable housing and improved housing stock.

After Waunakee’s Community Development Authority was created to implement goals identified by the Housing Task Force, the members began to focus on utilizing an Affordable Housing Extension.

In 2021, the village board approved the extension of TID 2, with 75% of the funds going toward the Cohen-Esrey 50-unit Village on Main apartments on the village’s west side.

An explanation of the program found with the Waunakee Housing Betterment Fund application notes that 75% of the monies from the TID extension “shall assist affordable housing projects that have been awarded LIHTC [Low Income Housing Tax Credit] from the Wisconsin Housing and Economic Development Authority or to assist other affordable housing projects that satisfy the requirements of the Wisconsin Statutes.”

The other 25% of the funds – in this case, $160,000 – has gone into the Housing Betterment Fund to provide matching grants for eligible projects.

The Housing Betterment Fund application includes a scoring matrix for the Community Development Authority members to consider during the approval process. It takes into consideration the homeowner’s income, the age of the home and project, along with the home value, Runge said.

With a goal of preserving some of the village’s first neighborhoods, the older the home, the higher the score on the matrix.

“Our historic neighborhoods are some of the most vibrant neighborhoods, and the more support we can give to the community to keep those homes in place and in good condition, then I think the better off we are as a community,” Runge said.

The type of repair and how it will affect the future sellability is also considered, with more significant repairs such as roof replacement scoring higher.

Projects that improve energy efficiency also affect the sellability.

Eligible projects include those that bring features up to code, roof and window replacement, exterior masonry or siding repairs, plumbing, electrical and mechanical system upgrades, along with others.

The Housing Betterment Fund will provide grants between $2,000 and $10,000; the minimum project cost is $4,000.

The Community Development Authority is the body responsible for approving the grants.

“They’re going to be careful in making sure the money goes where it’s needed,” Dietz said.

The current village board is supportive of the Housing Betterment Fund program, so for now its future remains secure, even when the $160,000 is exhausted.

“The hope is that as TIDs close, that we're able to roll over extra funding that will help,” Runge said.

Housing affordability is an issue affecting the nation, particularly the Dane County region, and while the Housing Task Force looked at many programs, some were beyond the capability of any village or region, she added.

“The prevailing economic environment is something we’re always going to talk about,” Runge said.

Some progress has been made in Waunakee, according to a recent report, including working with Cohen-Esrey, a low income housing tax credit developer, on the 50-unit Village on Main project, Runge said. The housing stock has also been diversified, with more-much needed apartments in demand by young professionals.

The Veridian Heritage Hills development also provided a mix of housing types.

Waunakee’s Housing Betterment Fund application can be found www.waunakee.com/WHBF