Housing trust fund

The Department of Housing and Urban Development Assistant Secretary for Community Planning and Development awarded $3,001,259.36 to the South Dakota Housing Development Authority on September 25, 2025, under the Housing Trust Fund (CFDA 14.275) formula grant program.

The award funds production, preservation, and rehabilitation of rental housing for extremely low-income and very low-income households across South Dakota. At minimum, 80 percent of the annual grant must support rental housing; up to 10 percent may support homeownership assistance and up to 10 percent for administrative and planning costs. The Authority may provide assistance in the forms of grants, equity investments, or interest-bearing or non-interest-bearing loans to acquire, newly construct, or rehabilitate affordable housing. Up to 30 percent of the award may fund operation of rental housing acquired, constructed, or rehabilitated with Housing Trust Fund proceeds.

The South Dakota Housing Development Authority, based in Pierre, South Dakota, serves as the state-level fiscal agent for affordable housing activities. The award runs through September 25, 2032. Funds must be committed to projects within 24 months and expended within five years. The Authority must submit its HTF allocation plan as part of its annual action plan no later than August 16, 2026.