Connecting Housing to Infrastructure Program (CHIP) grants

Apply now through Jan. 7, 2022

The Washington State Department of Commerce is currently seeking grant applications for system charges and utility improvements for new affordable projects that serve low-income households.

The funds are intended as supplemental financing for utility connection costs in municipalities that passed a sales tax for an affordable housing levy.

Applications are due January 7, 2022.

Affordable housing developments must contain at least 25% affordable housing units with a high probability of serving the target group for at least 25 years. Construction must begin within 24 months of the grant award. And where applicable, extension for new drinking water, wastewater or stormwater connections must be consistent with approved comprehensive plans under the Growth Management Act.

The Connecting Housing to Infrastructure Program (CHIP) is in part an effort to support the development of affordable housing in response to a limited supply of adequate or quality units.

These funds recognize the immediate economic impact the COVID-19 pandemic had on housing insecurity, including conditions that contributed to poor health and economic outcomes during the pandemic that were concentrated in areas with poor quality and inadequate housing.

Funding for this program is provided by the state’s stimulus from Coronavirus State and Local Fiscal Recovery Funds from the federal American Rescue Plan Act as well as the State Building Construction Account.

Grants are awarded at an amount of up to $2,500,000, with up to $34.6 million available for distribution.

Washington State Department of Commerce will be holding a pre-application webinar Thursday, Dec. 2, 2021 at 1:30 p.m. PST.