Cedar Rapids, Iowa – The American Rescue Plan Act will provide $100 million to alleviate Iowa’s housing deficit. Gov. Kim Reynolds announced the news at the DoubleTree in downtown Cedar Rapids on Wednesday afternoon at the Housing Iowa Conference.
According to Reynolds, $230 million in additional funds authorized during the previous legislative session would be used to support current housing programs. With the additional $100 million announced on Wednesday, the total amount allocated to this issue now stands at $330 million.
According to Reynolds, Iowa is anticipated to add 47,000 more homes by 2030. People are drawn to the state, she says, because of the numerous employment opportunities, safe communities, and low cost of living. The issue, according to Reynolds, is that there isn’t enough homes to go around. That is the problem the state is attempting to resolve.
”We’ve seen a growing mismatch between where job opportunities are thriving and where people can find affordable places to live. This issue requires us to think big and act boldly. It’s too important to really do anything else,” said Reynolds.
The funds will be used for a variety of projects. This involves the construction of an estimated 36,450 additional housing units across the state, and the focus on housing isn’t limited to urban areas.
A total of $20 million of the funds will be used to help build new homes in the downtowns of cities with population of less than 30,000 people.
”Iowa’s small towns have a wealth of upper-story housing units waiting to be unleashed if local developers can only overcome the initial financial hurdle. And so this pool of money will provide that crucial boost providing small downtowns across Iowa with a sturdy foundation for more robust economic development,” Reynolds said.