WHATCOM COUNTY, WA (MyBellinghamNow.com) – An eventual tenant ownership program in Whatcom County has been found to be ineffective.

That’s according to a new report on the federal Low Income Housing Tax Credit (LIHTC) program by the Washington State Auditor.

The program offers tax credits to developers and gives them the option to offer housing to low-income tenants after the home has been available to rent for 15 years.

According to the state auditor, Washington has 135 housing units that qualify for tenant ownership as of 2023, but no developers have followed through on selling the homes to renters yet.

The report says that, while the Washington State Housing Finance Commission met all the legal requirements to manage the program, it failed to effectively monitor the developers’ progress towards offering ownership.

It also notes that the program has been misunderstood as a “rent-to-own” opportunity, when in reality, there’s a complex process that owners take in offering their properties for sale.

The report comes partially in response to controversy over enforcement of the program at housing projects in Deming that are managed by the Nooksack Indian Tribe. Several disenrolled members of the tribe who are being evicted have claimed they should now be able to own their homes because of the program.

The auditor’s report noted that it did not evaluate the Nooksack Housing Department’s decision to evict those disenrolled members.