Moderate-Income Revolving Loan

OHCS is creating and implementing the Moderate-Income Revolving Loan Program (MIRL), using $75 million dollars in a Housing Project Revolving Loan Fund. The program is intended to expand housing production across the state through an innovative revolving loan structure and benefit Oregonians living at or below the moderate income level. This means creating housing that’s affordable for those earning up to 120% of the area median income. This new program is part of Senate Bill 1537, which directs several agencies to support and expand housing production. This program is most relevant for local governments, assessors, tax collectors, and housing developers.

Get involved

The Governor’s Office and legislative sponsor are prioritizing MIRL implementation, with an anticipated initial launch in early 2025. The final framework is planned to go to Housing Stability Council for a vote by January 2025.

Learn more about the draft program framework and implementation through these presentation slides.

About the program

OHCS is in the beginning stages of creating the program framework and needs further input from partners across the state to finalize program details before implementation. A quick overview of the program is as follows:

A sponsoring jurisdiction (city or county) can set up a local MIRL that follows the guidelines from SB 1537 and OHCS. These local governments can customize the program to fit their specific needs.
When a city or county gives grant money to developers before any construction starts, the amount can’t be more than the tax breaks they approve for the project. These tax breaks allow the developer to not pay certain property taxes (except for fire district taxes) for about 10 years after the property is improved. The maximum grant is based on the difference between what the property taxes would be after improvements and what they would have been without improvements, over a period agreed upon (usually 10 years).
Even though the city or county is granting these dollars to the developers, they will recover those costs through a fee. This fee is collected along with property taxes, using the same process as for unimproved properties (including fire district taxes). The fees collected help repay the loan from OHCS, along with any costs of managing the program. The money from these fees goes back into MIRL.
After the agreed tax break period ends, the fees collected should have paid back the city or county for the full amount of the original grant and any administrative costs. This ensures the loan to OHCS is paid off completely.

Download the draft MIRL program framework.