Kalispell Mayor Mark Johnson said Monday that he opposed a state program that would have funneled millions into Flathead County for workforce housing despite penning a letter in support of it.

Johnson implored Flathead County commissioners to accept the funding allocated for the valley via House Bill 819 in a November letter. In it, he called the lack of affordable housing a major issue facing the county. 

“Our mutual economies can strengthen with accessible housing options, and with the escalating cost of housing, our economy and our residents are suffering,” Johnson argued in the letter, which he indicated he wrote on behalf of the Kalispell City Council and community.  

Commissioners ultimately rejected the funding in a split vote on Dec. 31, a decision that Johnson lauded at a Jan. 6 Council meeting despite his earlier support for the program.  

Approved by the state Legislature in 2023, HB 819 set aside $50 million to address workforce housing through nonprofits across Montana. The bill made a combined $9 million available to Flathead County when including a private match from the nonprofit administering the program. The money would have provided homebuyers with a loan to assist in lowering the purchase price of a deed-restricted home.  

“Please take advantage of this rare opportunity for workforce housing funding that is needed in Flathead County,” Johnson wrote to the commissioners in November. “The opportunity to benefit from $9 million in resources dedicated to workforce housing and homeownership is crucial for our community.” 

But Johnson told the Inter Lake this week that the letter was only intended to urge the commissioners to put the bill on the agenda and discuss it. After conducting his own research in December on the program’s effect on homeowners, he said his opposition solidified.  

Reiterating an argument he made at last week’s Council meeting, Johnson said that the 1% equity cap homebuyers must agree to would make it difficult for them to buy out of the program.  

Johnson said that because the commissioners were making philosophical arguments rather than digging into the numbers, he did his own research.  

“Once I ran the numbers, that’s when I solidified my position,” Johnson said. “Why would I cap my upside at 1%? It makes absolutely no sense.”  

During the December commissioners’ meeting, Commissioner Pam Holmquist, who voted against House Bill 819, said she couldn’t condone a program she claimed would let a homebuyer purchase a home they couldn't afford. 

Commissioner Randy Brodehl also voted to reject the program, arguing that it took the money out of the hands of taxpayers and into the hands of new homebuyers.  

Johnson also bashed the language of the bill.  

“My main point is the Legislature did a crappy job in writing the bill,” he said, arguing that the legislation left many unanswered questions.  

Local nonprofits, residents and advocates for affordable housing argued at the commissioners’ meeting that the program would provide another option for creating workforce housing. They pointed out that the cap in equity would allow money to be funneled back into the program for future homebuyers.  

Reporter Jack Underhill can be reached at 758-4407 and junderhill@dailyinterlake.com.