SUPPORT FOR IDA PROGRAMS
Eight states began or increased funding for individual development account (IDA) programs between February 2007 and July 2008, while two states decreased their funding for IDAs in that time period. Ten other states maintained their IDA funding at approximately the same levels as in FY 2007. Oregon allocated $6 million for IDAs through its state tax credit in 2007, and was one of six states to allocate at least $1 million to support IDA programs. In other noteworthy policy developments, Illinois launched its new state-supported IDA program in fall 2007; New Mexico established a stable funding source for IDAs; and Arkansas more than tripled its IDA funding; and three states introduced legislation to create IDA programs.
The table below provides details on those states that increased, decreased, or maintained IDA funding between February 1, 2007, and July 1, 2008.
| State | Policy
Action since February 2007 |
Description | |
Alabama |
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HB 770, which would have created an IDA program, was introduced in the Alabama House in 2008. |
Alaska |
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Arizona |
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Arkansas |
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Arkansas more than tripled its IDA funding, from $550,000 in FY 2007 to $1.7 million in 2008. The state allocated CDBG funds for IDAs for the first time. |
California |
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Colorado |
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Connecticut |
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Connecticut increased its IDA funding from $250,000 to $650,000 in FY 2008, thanks in part to the allocation of $350,000 from the state's Housing Trust Fund to be used for matching funds for homeownership IDAs. The state also enacted legislation (HB 5624) that expands allowable uses for IDAs to include the costs of education or job training for a dependent child of the account holder. |
Delaware |
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District of Columbia |
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Florida |
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Georgia |
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Hawaii |
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HB 2047 would have established an IDA program in Hawaii. The bill passed the House and Senate, but died in conference committee. |
Idaho |
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Illinois |
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Illinois launched its state IDA program, Assets Illinois, in September 2007, with $300,000 in funding from the Illinois Housing Development Authority for homeownership IDAs. The state Department of Human Services has since allocated an additional $250,000 to support education IDAs in FY 2009. |
Indiana |
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Indiana increased its IDA funding from $1 million to $1.6 million in FY 2008, and added owner-occupied home repair as an eligible asset purchase. |
Iowa |
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Funding for IDAs continued through a state tax credit. |
Kansas |
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Funding for IDAs continued through a state tax credit. |
Kentucky |
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Louisiana |
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Louisiana maintained its IDA funding level. |
Maine |
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Maine maintained its IDA funding level. |
Maryland |
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Massachusetts |
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Michigan |
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Michigan reduced its state funding for IDAs from $847,000 in FY 2007 to $365,000 in FY 2008. |
Minnesota |
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Minnesota allocated $250,000 in FY 2008, which is the same level as in FY 2007. That amount is set to double to $500,000 in FY 2009. |
Mississippi |
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Missouri |
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Funding for IDAs continued through a state tax credit. |
Montana |
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Nebraska |
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Nevada |
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New Hampshire |
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New Jersey |
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New Jersey maintained its IDA funding level. |
New Mexico |
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New Mexico established a stable funding source for IDAs in 2008, with the state IDA program receiving a minimum of $500,000 annually going forward. State funding for IDAs for FY 2009 is set at $1.2 million. |
New York |
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North Carolina |
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North Carolina maintained its IDA funding level. |
North Dakota |
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Ohio |
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Oklahoma |
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Oregon |
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Oregon's 75% IDA tax credit yielded $6 million in funding for IDAs in 2007, up from $1.4 million in 2006 and $4 million in 2007. All tax credits in Oregon are due to sunset in 2012. |
Pennsylvania |
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Pennsylvania reduced its IDA funding from $1.25 million to $1 million in FY 2008. |
Rhode Island |
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South Carolina |
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South Dakota |
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Tennessee |
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Texas |
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SB 62, which would have created an IDA program in the Texas Comptroller’s office, passed the Senate but ran out of time in the House. |
Utah |
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Utah increased its IDA funding in FY 2008 from $55,000 to $100,000. The state also expanded the uses of IDA funds from housing only to post-secondary education and training, homeownership, and business startup. |
Vermont |
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Vermont maintained its IDA funding level. |
Virginia |
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Virginia maintained its IDA funding level. |
Washington |
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Washington maintained its IDA funding level. |
West Virginia |
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Wisconsin |
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Wyoming |
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Source: CFED analysis of State Net data