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The lucrative program has been a lightning rod for controversy in recent years, with members of both parties rapping it for inefficiency.

Yet the state housing commission last week approved the state and federal credits with little fanfare. It was the second time the commission, which includes statewide officials Gov. Mike Parson, Lt. Gov. Mike Kehoe, Attorney General Eric Schmitt and Treasurer Scott Fitzpatrick as members, has appropriated state tax credits since restarting the program last year.

In all, 13 of the 33 state projects approved were in the ÃÛÑ¿´«Ã½ area. They include a rehab of McCormack Baron Salazar’s Brewery apartments in the old Falstaff brewery north of downtown, more units for Doorways’ under-construction campus along Jefferson Avenue and a renovation of the old Baden School in north ÃÛÑ¿´«Ã½. Others span the region, from affordable senior housing in O’Fallon to a project in Pacific and two in Jennings.

ÃÛÑ¿´«Ã½ Mayor Tishaura O. Jones’ office lauded the approvals, saying they would help fund $100 million in affordable housing construction and 600 units of affordable housing across the city.

“Expanding affordable housing is critical for ÃÛÑ¿´«Ã½ working families,â€� the mayor said in a statement.

Nonprofit Rise Community Development said it will be involved in four of the projects that received tax credits.

“Rise is privileged to be able to partner with diverse groups like Doorways, Lutheran Development Group, Efficacy Consulting, and the North Newstead Association to improve the living conditions of so many people within the ÃÛÑ¿´«Ã½ metropolitan region,â€� Terrell Carter, president and executive director of Rise, said in a statement.

To raise cash for construction, developers sell the credits below face value to investors looking to reduce their tax liability. But the federal credits generate higher prices — close to 90 cents on the dollar in this round — because of a larger pool of investors with federal income tax liability. State credits have fetched prices below 50 cents on the dollar in past years and in this round were quoted around 68 cents on the dollar for many projects.

They’re paid out over 10 years, further reducing the price investors are willing to pay upfront. And the outstanding liability to state income tax collections is large, causing uncertainty for budget writers because tax credit investors have years to redeem the credits. said $1.3 billion in state low-income credits were outstanding or obligated to developments because of the 10-year payout, and about $150 million had been redeemed annually in recent years.

Proponents of the program, though, point out it’s one of few available to finance affordable housing construction. Developers also have to maintain the below-market rent complexes in order to keep receiving credits.

But big money is also at stake. Former Gov. Eric Greitens has suggested the state’s low-income housing industry, which includes the banks, investors and lobbyists who benefit from the credits, conspired against him in retaliation for his 2017 move to kill the state tax credits, collectively worth hundreds of millions of dollars.

After Greitens stacked the commission with supporters and halted the state’s practice of issuing state credits equal to the value of federal credits that Missouri and other states receive, it took three years for the program to restart, even after the former governor resigned and was succeeded by a program supporter. Parson, who opposed Greitens’ move in 2017, called for reforming the program in the Legislature, but a 2019 bill stalled.

Instead, the commission has made changes administratively, opting to issue state credits worth just 70% of the value of Missouri’s allocation of federal credits.

It has also accelerated the payout of state credits, frontloading them in the first five years in an effort to boost their price — a simple change other states have enacted to make the program more efficient. This year, half of the projects receiving low-income tax credits could participate in the accelerated payout program, up from 20% last year. The program appeared to boost by a few cents the pricing of some credits, according to MHDC materials.

Among those winning funding this year were perennial industry players. JES Holdings, led by Jeffrey E. Smith, which won credits for a 50-unit O’Fallon project and one in the Kansas City area. A project in Pacific led by Ring Property Company, is connected to Robert Ring who worked for years at JES and whose companies work with JES affiliate Affordable Equity Partners.

Also winning was a 48-unit Jennings project led by Stacy Hastie, who also works in environmental remediation.

Approved applications can be on the MHDC’s site, with details . All applications can be found and .

Originally posted at 4:30 p.m. Thursday.