In 1970, a class-action suit was filed on behalf of Ricky Wyatt to reform the deplorable conditions in which mental health patients were housed and treated. Thirty years later, Wyatt v. Sawyer was settled, ushering in sweeping reforms in how services are delivered to mentally ill persons. Asked to assist the state to improve its standards of care, AHFA committed a major portion of its 2001 and 2002 federal allocations for multifamily financing to build housing for more than 600 clients of the Alabama Department of Mental Health (ADMH). AHFA was honored nationally for its efforts.

While the ADMH made great strides to address many issues of the lawsuit, the provision of suitable housing has been difficult and expensive. The Wyatt settlement required the closure of several mental health wards. This created additional housing needs for these special populations. AHFA worked with the ADMH to move mentally disabled persons who could live independently from government facilities into private housing.

Beginning in 2017, AHFA helped to re-engage key stakeholders for the remaining eligible tenants. At the same time, AHFA was expanding its multifamily programs and starting a new funding source: the National Housing Trust Fund. This fund was designed to help those needing supportive services: primarily, veterans at risk of homelessness; persons fleeing domestic violence; and persons with disabilities who are able to live independently.

A feature of AHFA’s new set-aside was a Memorandum of Understanding (MOU) between the owner of a development and the representative Continuum of Care Agency (or supportive services provider). The owner and COC (or supportive services provider) agreed to ongoing communications about vacancies and wait lists for eligible tenants and monitoring by AHFA's compliance team. AHFA improved accountability by making it easier for organizations to check and track the relationship between their clients and service providers. Since implementation, AHFA has supported more than 350 new housing units for veterans, homeless and/or disabled through the Low-Income Housing Tax Credit (LIHTC) program, generally in combination with National Housing Trust Funds.

Learn how you can help foster a partnership with developers to help permanently house those with the greatest needs:

• Visit AHFA’s website to learn about our programs.
• Download and review our allocation plans.
• Sign up to receive updates and notices from AHFA regarding programs.
• View the Interactive Maps and other Development Resources available on our website.
• Develop and foster ongoing relationships with CoCs, member agencies, and other service providers currently engaged or willing to engage in agreements with developers.
• Contact us at ahfa.mf.general@ahfa.com with any questions.

Notices of the Public Hearing and the 30-day public comment period were completed on July 31, 2023, as required by Section 42 and HUD. AHFA received 222 comments from 34 individuals and organizations during this time.

Every comment is given serious consideration by AHFA staff, and each comment is measured against the following criteria:

• Changes that bring clarity and are easily implemented within the proposed 2024 Draft Plans.
• Changes which would justify a major modification to the 2024 Draft Plans but would be more appropriate for consideration during the development of the 2025 draft (or later years), because the proposed changes would require more time to implement and a public commenting process.
• Changes which would require significant research, analysis, and planning to assess fully their practicality and feasibility before incorporation into the plans. Accordingly, a public commenting process would be required, and the proposed changes would be evaluated for consistency with the stated goals and objectives of the plans, applicable industry standards, and AHFA policies.
• Narrative comments, opinions, or questions which do not clearly define an actionable request or are unrelated to the current Draft Plans. Under these circumstances, staff is prohibited from attempting to interpret the commenter’s intent.
• Industry-specific changes or changes in regulatory guidance which require corrections to technical language in the plans.

The AHFA 2024 Plans, including the Low-Income Housing Credit Qualified Allocation Plan (QAP), HOME Action Plan, and the Housing Trust Fund Allocation Plan were approved by the AHFA Board of Directors on September 26, 2023. AHFA presented the 2024 QAP to Governor Kay Ivey and she approved it on October 6. The Draft 2023 National Housing Trust Fund Allocation Plan Substantial Amendment (an amendment to the 2023 Housing Trust Fund Allocation Plan) was submitted to HUD for review and approved. The 2023 HOME and HTF Plans will be included with the state’s 2024 Consolidated Annual Action Plan and submitted to HUD for review and approval next spring.

AHFA will release timelines and application materials for the 2024 Competitive Application Cycle via Multifamily Notices. Please make sure that you are signed up to receive notices from the AHFA Multifamily Division.