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Whatcom County is rolling out a new program to encourage developers to build affordable homes.

The county will distribute state sales tax dollars to help cover public-improvement costs that routinely fall to home builders — everything from water and sewer lines to new streets and sidewalks. 

The program is geared to benefit larger housing projects, county Deputy Executive Tyler Schroeder said in an email. The county came up with the grant-and-loan program in consultation with the business community and cities within the county, which must partner with a private or nonprofit developer to apply for the funds.

Business leaders involved in the discussions “encouraged local governments to view the lack of workforce housing as an impediment to economic growth,” Schroeder said.