The tornadoes and straight-line winds that hit Mississippi in 2023 and 2024 damaged and destroyed homes from the Delta to the Gulf Coast. Now the state has money to help builders put new ones up.
The Mississippi Development Authority (MDA) is accepting applications for its Mississippi Workforce Housing Program, which will use federal disaster recovery funds to build new, affordable single-family homes "for new workers and workers displaced by the 2023 and 2024 disasters," according to the program's eligibility page.
"Total funding allocated to the program: $12 million," MDA states on its application page. The maximum award is the lesser of $4 million or 40% of a project's total cost.
MDA has said applications are due by 5 p.m. CDT on Monday, Nov. 30, 2026.
The money is part of the state's federal Community Development Block Grant Disaster Recovery (CDBG-DR) allocation for the 2023 and 2024 disasters, which totals $134,953,000 according to MDA's action plan.
Who can apply
This program is built for builders and developers, not homeowners. According to MDA, the applicant must be a nonprofit or for-profit nongovernmental organization, and "entities with experience in construction affordable housing are preferred."
Other key rules:
- Location: The applicant must own the project site, and it must be in Hinds County, Scott County, Sharkey County, the City of Belzoni (39038), Silver City (39166), the City of Moss Point (39563) or the City of Amory (38821).
- Disaster link: The project must show a direct link to housing needs triggered or made worse by the 2023 and 2024 disasters.
- Buyers: At least 51% of the homes must be sold to households earning 80% or less of the area median income. None of the rest can be sold to households earning more than 120% of AMI.
- New homes only: The program funds only new single-family construction. It can't be used to repair or rehabilitate existing homes, and it can't pay for multifamily or rental housing.
- Occupancy: Homes must be occupied within one year of completion.
- Local support: Applicants must submit letters of support from local governments in the storm-impacted area where the homes will be built.
The applicant's preliminary budget and financial plan must also show the project is feasible and cost reasonable.
This is also a reimbursement program, so cash flow matters. MDA says applicants must show they have enough money from other sources to finish the project.
Reimbursements are paid monthly on a pro rata basis, matching the share of the project the disaster funds cover. MDA's example: if an award equals 40% of total cost, 40% of each invoice is reimbursed until the federal funds run out.
The applicant is responsible for hiring its own architects, engineers and construction firms, and federal and state procurement laws apply. Projects will be monitored for federal requirements including Davis-Bacon wage rules, federal environmental requirements and the Uniform Guidance at 2 CFR 200. Award recipients must also document compliance with HUD national objective criteria, and MDA points applicants to HUD's Section 3 program.
MDA has posted an application workshop webinar on the program site for applicants who need help completing their applications, and the program can be reached by phone at (866) 981-7727.
The Workforce Housing Program is one of three MDA housing recovery programs for the 2023 and 2024 disasters. The others help homeowners rehabilitate or rebuild damaged homes and help landlords repair or rebuild single-family rental homes.
Why it matters for Contractors
This program pays for brand-new single-family homes in storm-hit Mississippi towns, and it's aimed squarely at builders. Home builders and affordable housing developers in Hinds, Scott and Sharkey counties, Belzoni, Silver City, Moss Point and Amory should look closely, especially if they already own land. Those who don't plan to apply can still get work: every award comes with procurement rules that require the applicant to hire construction firms and design professionals under federal and state law. Go in with eyes open. The program reimburses only part of each invoice, monthly, so builders need other financing in place, and Davis-Bacon wages and federal paperwork come with the money. With the Nov. 30 deadline approaching, now is the time to line up land, partners and local government support letters.