Undocumented immigrants in Madison may soon be allowed full access to funding from city home-buy programs.

The Community Development Block Grant Commission met Thursday to explore the possibility of amending qualifications to open up opportunities for home down-payments for non-citizens.

These programs are funded by a mix of private, state and federal funding.

According to Hickory Hurie, committee director, many undocumented Hispanics living in Madison have qualifying credit scores but pose a higher risk to loan backers in the wake of stricter Homeland Security regulations.

The amendment arose as a response to Wisconsin Housing and Economic Development Authority initiatives to provide homebuyer assistance to credit-worthy applicants who do not have documentation qualifying them as legal immigrants.

“Our main concern, as far as risk, is without U.S. citizenship, someone could be deported and default on the loan,” Hurie said. “Also, it reduces the funding pool for other housing programs locally.”

The meeting focused on programs funded by CDBGC that provide qualified applicants with a direct down payment for a housing purchase and five-year rent-to-own programs. The general benefit of program expenditure, according to Hurie, is stabilizing Madison’s economically distressed neighborhoods.

Ald. Austin King, District 4, said many student constituents come to him with complaints about the cost of rent downtown.

“These programs affect students because as costs go up, people need to move outward,” King said. “What these programs do for student housing is expand the pool.”

King also said many low and low-to-middle-income students are eligible for these housing programs and “they don’t even know it.”

Council members on the committee were divided between opposition, concern and support for the resolution.

“I would rather have an A+ non-citizen than a citizen with a B-,” Commissioner Dr. Carl G. Silverman said in support of the resolution.

Ald. Cindy Thomas, District 20, quickly voiced her opposition, stating non-citizens could benefit at the expense of needy U.S. citizens.

“We have to weigh whether we say ‘become a citizen first’ or whether it’s more beneficial to stabilize someone who is already here and working hard,” Hurie said. “Maybe in the process, they become citizens.”

Wisconsin’s Hispanic population has grown 107 percent in the past decade, according to a study published by the University of Wisconsin-Whitewater. The study, Wisconsin 5-County Needs Assessment Project, was presented to committee members to aid their decision.

Similar programs in Milwaukee and Chicago have revealed low default rates in the same demographic, according to member Steven Bartlett.

“My job is to assess the risk that we might not get our money back,” he said.

Requests for changes in funding by other housing non-profits also served as informative sessions for committee members considering the change, Hurie added.

As reported in the resolution, cuts in federal Housing and Urban Development Funding after the election have already reduced the committee’s available money by 2 to 4 percent.

“It helps to have a discussion where these other agencies can provide tangible inputs as the commission tries to make sense of this,” Hurie said.

According to Bartlett, the committee was also asked to explore the issue by First Federal of La Crosse.

Committee members discussed the possibility of moving the amendment to the City Council in January.