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Minnesota Housing is committed to streamlining and improving processes for multifamily housing developments through several key updates. The 2025 Multifamily Housing Budget Submission Process introduces a revised Budget Reporting tool (BudRep) to simplify budgeting, reduce manual data entry, and ensure accuracy. Additionally, new Draw Request Guidelines have been released to clarify the use of reserve funds, enhancing accountability and efficiency. Minnesota Housing has also improved the ownership, management, and service provider change process with an updated Request for Action (RFA) form, better communication, and enhanced website resources. These efforts are part of an ongoing commitment to support and collaborate effectively with housing partners across the state. Read on for more details.
In this eNews:
2025 Multifamily Housing Budget Submission Process Update
Minnesota Housing has updated the Budget Reporting tool (BudRep) to enhance the Multifamily Housing budgeting procedure. You must use the latest version of BudRep to streamline the process and save time by avoiding manually entering units and unit type information each year.
Take the following steps to complete the 2025 budget:
- Upload a current operating report to the 7.2.2024 BudRep
- Then, before creating the 2025 budget, in the Rent Matrix tab, copy column E (Current Rent) and paste it into column F (New Rent)
- In the Rent Table tab, copy column I (Current Rent) and paste it into column M (Proposed New)
- Next, In the Budget tab, select the Create a BUDREP for next year button at the top of the page
- If you miss steps 2 and 3 you will have to manually enter the current approved rents into the 2025 budget
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Save the new budget using the naming protocol: xlsm; remember to add and use the .xlsm only
Important reminders:
- Properties in which 100% of the units receive rental subsidies (for example, Project Based Section 8 or Housing Support) are required to fill out the Rent Table tab but are exempt from completing a Rent Matrix tab
- Properties applying for approval for a 2-tiered rent increase are required to fill out the Rent Table and Rent Matrix tabs
- A 2-tiered rent increase refers to instances where varying rents are applicable for new tenants as opposed to lease renewals
- Properties in which 100% of the units do not receive a rental subsidy must report rents through the Rent Matrix tab within the BudRep; no separate Rent Matrix will be accepted
- This BudRep Rent Matrix will encompass all units and provide in-depth details about current and renewed leases
- The Budget Notes tab includes four specific questions that require responses; the BudRep submission process will not move to the next steps until these questions are answered
Budgets for the upcoming fiscal year are due 60 days before the fiscal year's end. For the 2025 fiscal year, budgets and all supporting documentation must be submitted by Friday, November 1, 2024. If you foresee any challenges in meeting this deadline, contact your assigned Asset Manager as soon as possible to discuss the possibility of an extension. Note that extensions are not guaranteed and granting an extension is at Minnesota Housing’s sole discretion.
We appreciate your assistance in implementing these changes and look forward to the coming year.
Questions?
Reach out to your assigned Asset Manager. Contact details can be found under the Contact Our Teams section of Minnesota Housing’s Oversight and Support for Property Managers webpage.
New Minnesota Housing Draw Request Guidelines
We are pleased to announce the release of the new Minnesota Housing Draw Request Guidelines. Prior to requesting funds from a Minnesota Housing held reserve account, the Owners and Management Agent should review these guidelines, the approved management agreement, and the regulatory agreement. These guidelines outline eligible and ineligible uses of the Replacement Cost Reserve Account and explain submission deadlines for draw requests and necessary documentation for approval. This guidance aims to improve accountability, minimize delays, and support the effective allocation of reserve funds for Minnesota Housing-financed developments.
The Minnesota Housing Draw Request Guidelines can be found on our Documents, Forms and Resources webpage.
Ownership/Management Agent/Service Provider Change Process Improvements
Minnesota Housing’s Request for Action (RFA) team is dedicated to enhancing your experience when partnering with us. Our goal is to make the ownership/management company/service provider change process clear, efficient, and timely.
In 2022, we committed to improving this process. Over the past two years, we have engaged with both internal staff and external partners to identify areas for improvement and develop effective solutions.
Here are some of the recent advancements:
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Updated RFA Form: A new fillable PDF form simplifies the process and requires less information. This form is now available on our website and has received positive feedback.
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Direct contact information: We now include contact details for relevant Minnesota Housing staff in the initial email to partners, ensuring immediate support throughout the process.
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Enhanced website information: Our website now offers clearer details on the management company change process, including updated forms, checklists, and estimated timelines.
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Improved internal procedures: We have refined our internal processes for better cohesion and clarity, enhancing your overall experience.
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Ongoing updates: We will continue to provide updates and reminders through Minnesota Housing eNews publications.
Additionally, our internal tracking system remains in place to monitor the status of ownership/management company/service provider changes effectively. Please don’t forget to submit an RFA when there are changes to Ownership, Management Agent, or Service Provider entities that have Minnesota Housing loans or tax credits.
About Minnesota Housing
Minnesota Housing, the state’s housing finance agency, works to provide access to safe, stable and accessible housing Minnesotans can afford in a community of their choice. In 2023, the Agency distributed $1.85 billion in resources and served 69,500 households. Visit our website to learn more.
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