Funds available to Flathead County through a state program are desperately needed to address a shortage of workforce housing, advocates say, but with the clock ticking county commissioners appear unlikely to approve it.  

A broad range of supporters are lobbying for the approval of the housing assistance program created by the 2023 Legislature that would result in a total of $9 million for assisting homebuyers in the county.   

Commissioners have until Dec. 31 to approve the program, but as of Friday, it was absent from any upcoming agendas. Commissioner Brad Abell said he supports the program but is skeptical an official vote will be taken.  

“The other two commissioners have concerns, and it takes two commissioners to get it on the agenda,” Abell told the Inter Lake. 

Private individuals, business representatives and housing professionals have come forward saying the state funds at $4.5 million made available through House Bill 819, along with a private match required from the nonprofit administering the program, are vital.  

Saying she was stepping up before commissioners as a grandparent and disgruntled resident because of the housing crisis facing the Flathead Valley, Kay Burt of Kalispell, asked commissioners on Tuesday to approve the program.   

“I am a grandmother of grandchildren that I hope can be sixth-generation Flathead Valley residents,” she said. “But I can’t imagine them ever being able to afford a $600,000 to $800,000 home. We are trading the legacy of our grandchildren for that of wealthy out-of-staters.”  

The median cost for a single-family home in Flathead County hit $650,000 this year, according to figures from the Northwest Montana Association of Realtors.  

Kim Morisaki, the executive director of the Northwest Montana Community Land Trust, explained that the loan program uses state money to leverage private investment. She called it an out-of-the-box creative tool that has a positive impact on the economy.   

“If we don’t have a stable community with a stable workforce and stable housing, we all suffer,” she said.   

Recent public meetings before the commissioners drew dozens of comments in favor of the program. A public records request filed by the Inter Lake shows that commissioners have received more than 50 pieces of correspondence also in support. 

NeighborWorks Montana has applied to carry out the program, which provides homebuyers with a loan to assist in lowering the purchase price of a home. Those loans then roll back into the program to help future homebuyers.   

If commissioners don’t sign off on the organization managing the program, Flathead County’s funds would be redistributed to other counties participating.  

The loss of funds that have already been collected is one of the reasons Abell said he supports the program. It’s not unlike when the county accepted federal American Rescue Plan Act money in 2021 and then was able to do “good things,” he noted.   

“I see this as much the same,” he said. “I see the other commissioners' concerns, but I think the benefit of this outweighs that.”  

Commissioner Randy Brodehl did not reply to a request for comment regarding the public input, but previously told the Inter Lake that the program is “socialized” because it is taxpayer-funded, and government-regulated. The best option for affordable housing would be through private investment, he said. 

Commissioner Pam Holmquist, who also did not respond last week, previously said she was looking into the program.   

Kalispell Public Schools Superintendent Matt Jensen on Thursday chastised commissioners for not placing the program on an agenda for a public hearing and vote.   

“This type of legislation has a big impact on hard-working folks in our community and to not give an opportunity to hear the thoughts behind a pro vote or a nay vote on this issue is insincere to the magnitude of the issue we have with housing in our community,” he said.  

MORE THAN a half dozen real estate agents and the Northwest Montana Association of Realtors submitted letters supporting the housing program. The Kalispell Chamber of Commerce supports it as well, alongside large employers like Logan Health, Applied Materials, Nomad GCS and Flathead Electric Co-op who note ongoing challenges with recruitment and retention due to housing. 

“The lack of attainable housing has frequently been cited by successful applicants as the reason they cannot accept our offers of employment,” wrote Austin Neese, vice president of human resources at Logan Health. “Most applicants are comparing job opportunities elsewhere and can find cheaper housing even in much larger metropolitan areas. Housing is also frequently cited in our exit interviews as a component of why we struggle to retain our existing workforce.”   

The availability of workforce housing is essential to the continued growth of the valley and the stability of its workforce, said Kisa Davison, principal of Iron Star Construction.   

“To miss out on this funding would not only be a disservice to our community, but it would also mean turning our back on the chance to create long-term, sustainable housing solutions right here in the valley,” Davison wrote. “We cannot allow these resources to be distributed to other counties when they are so urgently needed in our own backyard.”  

Kalispell Public Schools board trustee Sue Corrigan told commissioners the school district has done what it can to increase teacher and school employee wages, but it’s not enough to recruit and retain employees.  

“We are doing everything we can to keep people here, but the housing is expensive,” she said. “We need to be the community we want to have. We all need to do our part.”  

HOUSING ORGANIZATIONS, municipalities and private citizens have shown support in letters and at public meetings before commissioners.   

Commending commissioners for being careful stewards of taxpayer dollars, Riss Getts, acting director for Whitefish Housing Authority, pointed out that the tax funds already paid by their constituents will benefit another community if the program is turned down.   

“I believe that this program is actually extremely fiscally responsible compared to other types of housing funding because it is a revolving fund,” she said. “The money will help young families purchase homes at a price they can afford on their honest local wages. That loan will return back to the fund when they sell their home and then benefit another family as the money re-enters the cycle of the free housing market.”  

Daniel Sidder, executive director of Housing Whitefish, said while the organization offers rental assistance, 70% of applicants to the program are interested in homeownership opportunities.   

Sean Patrick O’Neill, with Community Action Partnership of Northwest Montana, said funding from the program is the key to keeping those who are struggling in the community by providing a means for homeownership.   

Kalispell and Columbia Falls both endorsed the program in letters to the county commissioners, and one Whitefish councilor wrote an email to commissioners in favor of the program.   

Kalispell Mayor Mark Johnson said affordable housing solutions remain a top priority for the city.   

“Our mutual economies can strengthen with accessible housing options, and with the escalating cost of housing, our economy and our residents are suffering,” Johnson said in a letter to commissioners. “Finding solutions for this complex housing issue is not easy, but luckily, House Bill 819 provides a way for the County to make progress simply by engaging in [this program].”  

While imploring commissioners to approve the program, citizens point to personal struggles and that of family members and coworkers in finding housing as reason to implement the housing program.   

Claire Graham, who works in Kalispell Public Schools, has witnessed many students experiencing homelessness or enduring moves because guardians could no longer afford housing.   

“I have noticed that when some of these kids are sleeping in a camper, on a relative’s couch, or even on the floor, they tend to have a hard time staying awake and paying attention in school,” Graham said in a letter to commissioners.   

Scott Mergenthaler, who along with his wife, works at Logan Health, told commissioners the housing situation will only get worse if action isn’t taken.   

“Approving this funding keeps those who keep our community running — workers who deserve a place to call home in Flathead here," he said. “This is for the teachers, health care workers and tradespeople who all need affordable housing.”  

The homeownership program would provide homebuyers with 30% of the cost of the home as a loan or an investment, in exchange for assistance homebuyers agree to an equity cap of 1% per year. The cap allows for the remaining equity to be put back into the program for future home loans.   

The program would look to work with households who are 60% to 140% of Area Median Income.  Flathead County’s area median income in 2024 was $88,400, according to government-sponsored Fannie Mae, which would equate to 100% of AMI.    

Deputy Editor Heidi Desch may be reached at 758-4421 or [email protected].