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His appointees to the Missouri Housing Development Commission, the body that oversees which projects are awarded credits, maneuvered last year to keep the state from issuing about $140 million in credits through a program that has long been a political flashpoint.

There have since been representing the ex-husband of Greitens’ former mistress. The recordings the ex-husband took of his then-wife discussing the affair triggered a wave of scrutiny that ultimately led to Greitens announcing his resignation Tuesday.

The was also one of the most noteworthy breaks in policy between Greitens and former Lt. Governor Mike Parson, who was sworn in as governor Friday.

Now, some organizations that use the credits are hopeful Parson will take a less confrontational stance with the industry.

Both Republican statewide officeholders sit on the housing commission, and while Greitens voted against the issuance of state credits, Parson decried the move and argued any reforms to the program should be debated in the Legislature. .

“If we want to talk about reform, let’s talk about reform,� Parson said at the November MHDC meeting. “If we’re going to do away with it, it should be the governor and the Legislature that do away with it.�

The MHDC has typically approved matching the amount of federal low income housing credits allocated to Missouri, and the late 2017 action by the commission withholding the state match sent developers who use the credits to finance projects scrambling to adjust their plans. Mark Stroker, director of real estate development at ÃÛÑ¿´«Ã½ nonprofit Rise Community Development, said he expects about one-third fewer housing units to be financed due to the lack of state credits this year.

Adding to the uncertainty, the commission still has to award the federal credits, and it’s not clear when it will have enough members to do so. following last year’s action rather than face a hostile confirmation process in the state senate. And when Greitens resigned Friday, there were only five members left on the commission, one short of a quorum.

“It’s a road we have not been down before,â€� said Eric McMahon, a partner at ÃÛÑ¿´«Ã½-based ND Consulting, which through an affiliated company has an application in for federal credits to finance an apartment project in Moberly.

The credits are awarded to developers who use them to finance projects and in return agree to charge below-market rents.

Long before Greitens burst onto the political scene, the credits were controversial. His Democratic predecessor, Gov. Jay Nixon, criticized the program. State audits from both Republicans and Democrats have said it is inefficient, pointing out less than 50 cents on the dollar goes to housing construction while the rest of the value goes to financiers and middlemen or is lost over time because the credits are paid out over 10 years.

Long term, some $1.3 billion are outstanding and could be redeemed in future years, . The uncertainty over how much will be redeemed each year complicates the state budgeting process.

But supporters say it’s one of the few mechanisms left to fund low-income housing because federal funds for similar programs have been slashed over the years. And it often funds some of the only new construction in the state’s poorest areas, including neighborhoods of north ÃÛÑ¿´«Ã½ that see relatively little investment.

“Over the past year, Governor Greitens repeatedly made material misstatements regarding the state low-income housing tax credit program,� Jeff Smith, executive director of industry group Missouri Workforce Housing Association, said in a statement (Smith is not the Columbia developer who is a prolific user of the credits). “Like bipartisan supporters of the LIHTC program in the state legislature and in Congress, we know that this program is the most efficient and effective way to preserve our shrinking supply of affordable housing.�

Stroker, at the nonprofit Rise, called the low income credit an “indispensable resource� and “one of our best tools for remaking and redeveloping neighborhoods.�

Between the actions from Greitens’ administration and federal tax cuts that affected the credits’ value, organizations like Rise have had to look to other sources of funding to plug the gap on projects. Rise is involved with three applications for federal credits this round, and Stroker said Rise would “be happy to get one of our three applications funded.�

“The biggest challenge has been trying to read the tea leaves,� he said.

But he and others are optimistic that Parson will take a less hostile approach to the industry. Ken Nuernberger, an ND Consulting co-founder, said Parson has shown a willingness to learn how the industry works and visited some of .

“Parson has really shown an interest in the low-income housing industry,� Nuernberger said.

Stroker, at Rise, said Parson has “been supportive and he’s been accessible. And that was not the case with Gov. Greitens.�

“(Parson) comes to our conferences and looks at the work that gets done with the benefit of the credits and asks questions and has stayed engaged,� he said.

When the MHDC moved toward cutting off the state credits in November, Parson invited Sen. Jamilah Nasheed, D-ÃÛÑ¿´«Ã½, to speak during the meeting in support of retaining some of the state credits. Nasheed said she supports the program because of how the credits have helped the “transformation in neighborhoods throughout the city of ÃÛÑ¿´«Ã½.â€�

“I do know that (Parson) has been a strong supporter of the low-income housing tax credit because he truly understands the economic impact for the state,� she said.

She suspects discussions about the program’s future to continue. Both Rise and ND Consulting say they’re also open to discussions about reform and efficiency.

“Almost everyone I know would be willing to be engaged in that discussion,� Nuernberger said. “But continuity and consistency would be nice to get back to.�