Application Notes:

Applications will be accepted beginning on June 2, 2025, and must be received by 3:00 p.m. on July 17, 2025.

Applications must be submitted online at housing.fhlbboston.com.

The contents of the application will become available upon initiation of the online application process.

Optional webinars are scheduled for this program as follows:

Members-Only Application Webinar:
May 20, 2025 (register by May 19, 2025)
10:30 a.m. - 11:30 a.m. ET
Registration: register.gotowebinar.com

Application Scoring Webinar:
June 3, 2025 (register by June 2, 2025)
10:30 a.m. - 11:30 a.m. ET
Registration: register.gotowebinar.com

Application and Feasibility Webinar:
June 5, 2025 (register by June 4, 2025)
10:30 a.m. - 11:30 a.m. ET
Registration: register.gotowebinar.com

Applications will be evaluated according to the following criteria:

• Use of donated federal government-owned or other properties (5 points)
• Sponsorship by a nonprofit organization or government entity (5 points)
• Home purchase by low- or moderate-income homebuyers (7 points)
• Targeting consistent with the ownership or rental priorities (20 points)
• Underserved communities and populations:
  • Housing for homeless households (6 points)
  • Housing in rural areas (5 points)
• Creating economic opportunity:
  • Promotion of empowerment (6 points)
  • Residential economic diversity (5 points)
• Bank district priorities:
  • Member financial participation (6 points)
  • Inclusion of minority- and women-owned business enterprises on the development team (7 points)
  • Effectiveness: subsidy per unit (5 points)
  • In-district priority (7 points)
• Community stability, including affordable housing preservation (18 points):
  • Preservation, reuse, rehabilitation, or community land trusts (6 points)
  • Smart growth (4 points)
  • Sustainability and climate resiliency (8 points)

In the event two or more applications have identical scores and there is insufficient funding available to approve each of the tied applications, the funding agency will apply the tie-breaker policy detailed on page 42 of the Guide file.

Refer to the NOFA and Guide files for additional application information.

Match Notes:

The project's estimated uses of funds must equal its estimated sources of funds, as reflected in the development budget, as detailed on pages 24-25 of the Guide file.

For homeownership projects in which the project sponsor extends permanent financing to the homebuyer, the funding agency will include the estimated market value of in-kind donations and voluntary professional labor or services, excluding the value of sweat equity, in both the total development budget sources and uses.

Projects that demonstrate one or more of the following will receive additional points during the application evaluation process:

• Creation of housing opportunities in which at least 20 percent of units or land was conveyed at market value by the federal government or any agency or instrumentality thereof, or was donated or conveyed by the federal government or any other party for an amount significantly below the fair market value of the property
• Financial participation by a Federal Home Loan Bank of Boston member institution

All funds must be committed within 12 months of the award for all funding sources for the project, including investors for tax credits and bonds.

Funding Notes:

An unspecified amount of funding is available to support awards of up to $1.2 million per project through this program. The total award may be used as either a direct subsidy for up to $850,000 and/or an interest rate subsidy to support a long-term, permanent subsidized advance.

For homeowner projects, project sponsors may generally request up to $90,000 per unit, except for revolving loan fund applications for use in a revolving loan fund project or program. Refer to pages 112-117 of the Guide file for additional information regarding applying for revolving loan funds for homeownership projects.

The minimum threshold for rehabilitation costs is $15,000 per unit.

A Federal Home Loan Bank of Boston member institution may be awarded no more than 25 percent of the total subsidy available through this program.

Applications will be approved during the funding agency's board of directors committee meetings that will take place in December 2025.

Projects must be completed within 36 months of award.

Some or all of the subsidies provided through this program must be likely to be drawn down or used by the project to procure other funding commitments within 12 months of award approval. All funding must be committed, and the proposed property must be purchased and zoning approvals obtained, within 12 months from application approval. A six-month extension of this requirement may be granted on a case-by-case exception basis at the funding agency's sole discretion if the funding agency determines that sufficient evidence is provided documenting progress toward project funding and completion. Extensions beyond 12/18 months may be granted for a particular circumstance, such as an extended timeline to resolve a not-in-my-backyard (NIMBY)/zoning challenge or to address an ownership/site control issue or other individual circumstances.

Funds may not be used for:

• Supportive services and commercial space associated with a development
• Retainment as profit
• Retainment for the purpose of additional development, excluding approved development fees
• Recycling of funds
• Capitalized operating reserves
• Non-residential spaces
• Prepayment fees imposed by the funding agency on a member institution in connection with the prepayment of a subsidized advance, except under the circumstances detailed on page 7 of the Guide file
• Paying cancellation fees and penalties imposed on a member institution for a subsidized advance commitment that is cancelled
• Processing fees charged by member institutions for providing direct subsidies for projects
• Predevelopment costs prior to receipt of all funding commitments
• Periodic deposits to reserve accounts
• Operating expenses
• Social or other non-housing services

For FY 2024, a total of $52.5 million was distributed via 40 awards through this program.  For FY 2023, a total of $37 million was distributed via 29 awards. For FY 2022, nearly $19.6 million was distributed via 32 awards. Refer to the Award file for details.