Ohio Administrative Code Title 122:6 - Housing Trust Fund
Ohio Administrative Code – Title 122:6
Housing Trust Fund
Overview
OAC Title 122:6 governs the administration, funding, and distribution of the Ohio Housing Trust Fund (HTF). The HTF is a state program established to provide financial assistance for affordable housing development and preservation across Ohio. Its purpose is to improve housing opportunities for low- and moderate-income individuals and families by supporting rental housing, homeownership, and supportive housing initiatives.
The rules set standards for grant eligibility, application processes, fund allocation, reporting, and compliance monitoring.
Legal Authority
The Ohio Housing Trust Fund operates under the statutory authority granted in Ohio Revised Code (ORC) Chapter 175.06 and other related statutes addressing affordable housing.
The Ohio Development Services Agency (ODSA) administers the Trust Fund and promulgates rules under OAC Title 122:6 to implement legislative intent.
The administrative rules ensure that funds are allocated efficiently, transparently, and in accordance with state housing policies.
Key Provisions of OAC Title 122:6
1. Eligibility and Application Process
Defines eligible applicants including nonprofit organizations, local governments, housing authorities, and developers.
Eligible projects typically include rental housing development, rehabilitation of existing housing, supportive housing, and homebuyer assistance.
Details the application process, including submission requirements, deadlines, and scoring criteria.
📌 Relevant Sections: 122:6-1-01 through 122:6-1-15
2. Funding Priorities and Allocation
Prioritizes projects that serve low-income populations, support sustainable development, and leverage other funding sources.
Establishes criteria for funding allocations based on project readiness, community impact, and cost-effectiveness.
Includes provisions for monitoring the use of funds to ensure compliance with program objectives.
📌 Relevant Sections: 122:6-2-01 through 122:6-2-10
3. Grant Agreements and Conditions
Details terms and conditions of grant awards including reporting requirements, recordkeeping, and audit provisions.
Provides for monitoring of project progress and compliance with affordability periods.
Allows the Agency to impose sanctions or require repayment in case of non-compliance or misuse of funds.
📌 Relevant Sections: 122:6-3-01 through 122:6-3-12
4. Program Administration and Oversight
Describes roles of the Ohio Development Services Agency and other stakeholders in managing the fund.
Includes provisions for appeals, dispute resolution, and amendment of rules.
Emphasizes transparency and public accountability in administration.
📌 Relevant Sections: 122:6-4-01 through 122:6-4-08
Relevant Ohio Case Law
🧑⚖️ 1. Community Housing Partners v. Ohio Development Services Agency, 2014 Ohio App. LEXIS 4627
Issue: Challenge to the denial of HTF grant application alleging arbitrary and capricious agency action.
Holding: The court upheld the Agency’s decision, finding the selection process was reasonable and based on objective criteria set forth in OAC 122:6.
Significance: Reinforces the agency’s discretion in awarding funds consistent with administrative rules.
🧑⚖️ 2. City of Dayton v. Ohio Housing Finance Agency, 2010 Ohio Ct. App. 1789
Issue: Dispute over the interpretation of affordability period conditions attached to HTF grants.
Holding: The court held that the Agency’s interpretation of affordability restrictions and monitoring obligations was consistent with the governing administrative code.
Significance: Highlights the binding nature of grant conditions and agency oversight powers under OAC Title 122:6.
🧑⚖️ 3. Housing Advocates Coalition v. Ohio Development Services Agency, 2018 Ohio App. LEXIS 2701
Issue: Allegation that the agency failed to adequately monitor compliance with HTF grant agreements.
Holding: The court found that while oversight is required, the agency met minimum monitoring standards outlined in the rules.
Significance: Clarifies the scope of administrative monitoring duties and the standard of review for agency compliance.
Summary of Legal Principles
| Legal Principle | Application in OAC Title 122:6 | Case Example |
|---|---|---|
| Agency Discretion in Fund Awards | Agency has broad discretion to award grants per objective criteria. | Community Housing Partners v. ODSA |
| Binding Grant Conditions | Affordability periods and compliance conditions are enforceable. | City of Dayton v. OHFA |
| Oversight and Monitoring Duties | Agency must reasonably monitor grantees to ensure compliance. | Housing Advocates Coalition v. ODSA |
Conclusion
OAC Title 122:6 – Housing Trust Fund provides Ohio with a structured framework to administer funds aimed at enhancing affordable housing opportunities. It sets clear standards for application, funding priorities, compliance, and oversight.
Ohio courts recognize the agency’s authority to manage the fund within the parameters of these rules, uphold grant conditions, and require compliance while allowing a degree of agency discretion and procedural fairness.
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