Dec. 31 – Saying Tuesday it is not a fair use of taxpayer money or for future homebuyers, Flathead County commissioners have quashed the implementation of a state housing program here.
Commissioners, in a split vote, denied participating in the program established by the state Legislature through House Bill 819. Commissioners Randy Brodehl and Pam Holmquist voted to deny it.
After reading the bill, Brodehl said he remains convinced it takes money out of taxpayers’ pockets and redistributes it to new homebuyers. He said the money could have been better spent on a property tax rebate.
“We shouldn’t do the wrong thing just because the money is available,” he said. “I am not convinced that the risk to the taxpayers who provide the money, and the risk to new homebuyers, is a reasonable option for the Flathead.”
House Bill 819 made $4.5 million available to Flathead County to use for a homeownership program that would have provided homebuyers with a loan to help lower the purchase price of a deeded home. In exchange for the assistance, homebuyers agree to an equity cap of 1% per year, which allows money to be put back into the program for future loans.
Holmquist said she could not approve a program that she claims would allow a homebuyer to purchase a home he cannot afford, and said the government should not be involved in making homeownership decisions because it’s not the job to pick winners and losers. .”
“Why would we want to participate in a program that would put people in more debt,” she said. “It is very difficult for me to move forward with a program that has the potential to put these families in a worse position than they are now.”
Commissioner Brad Abell, who initially wanted to approve the program but did not get support from the other commissioners, acknowledged that the program is not perfect.
“I’m concerned about this bill,” he said. “But if we don’t pass it, we’ll give $4.5 million back to the other counties in Montana.”
The vote took place on the last day commissioners could approve participation. The money set aside for Flathead County will be distributed to the other participating counties.
In recent weeks, commissioners have heard from a diverse group of community members who support the use of House Bill 819. A number of large employers told commissioners that one of the immediate challenges they face in retaining and recruiting employees is the cost of housing.
Several people reiterated Tuesday that the program would provide another option for creating workforce housing.
Mallory Phillips, from Shelter WF, said the money would help teachers and firefighters put money into housing stability.
“This makes it possible for people who work in the Flathead to settle in this community,” she said.
As a taxpayer and homeowner, Drew Rafkin told commissioners she has seen too many people move out of the Flathead because they can’t afford homes.
“I’m really happy that I can have a say in where my taxes go with this,” she said. “I would like all my taxes to go to House Bill 819.”
Referring to comments previously made by Brodehl saying it creates a socialized program, John Ghekiere called the comment “inflammatory.”
“You have heard strong verbal and written support for this,” he said. “And if the name socialism is used as an idea to protect us, I can say that it does not protect us if it is something we are looking for.”
A few people also spoke out against the program on Tuesday.
Republican Rep. Tanner Smith of Lakeside reminded the commissioners that they are all Republicans and must follow the party’s platform of less government. He compared the program to putting $9 million in the middle of the room, saying it wouldn’t be right to just take the money because it’s up for grabs.
“These are Democratic policies in California that have caused this exodus to Montana. That’s why people moved here,” Smith said. “So what we can’t do as Republicans is have a knee-jerk reaction to solve a Democratic policy problem with more Democratic policy. What we don’t want to do is add more layers of government, which is the path we will take. benefit from.”
Doug Adams, a member of the Flathead County Library board who recently lost as a Republican in a bid for Senate District 2, said it is not the government’s responsibility to solve the housing shortage in the Flathead Valley.
“The government is so efficient and wise that it always makes things better, right?” he said. “And we, the ignorant subjects, are too unhappy and stupid to handle things on our own, or maybe we are just lazy because we know that no matter how poorly we live our lives, our sugar daddy government will save us. “
The state Legislature has set aside $50 million in 2023 to address workforce housing through nonprofit housing through the creation of Community Reinvestment Organizations. House Bill 819 created an account to provide money to such organizations that, along with local matching funds, would help eligible households purchase deed-restricted homes.
NeighborWorks Montana, a statewide organization that creates homeownership opportunities, has applied to implement the program in several counties, including Flathead.
Deputy Editor Heidi Desch can be reached at 758-4421 or hdesch@dailyinterlake.com.