On March 7, Senator Maria Cantwell (D-WA) and Senate Finance Committee Chairman Orrin Hatch (R-UT) introduced the Affordable Housing Credit Improvement Act of 2017 (S. 548), a comprehensive bill to expand and strengthen the Low-Income Housing Tax Credit.
The legislation would increase Housing Credit authority by 50 percent, taking a meaningful step towards addressing our nation’s vast and growing affordable housing needs. It would also strengthen the Housing Credit by providing states with additional flexibility, making the financing of affordable housing more predictable and streamlined, facilitating Housing Credit development in challenging markets like rural and Native American communities, increasing the Housing Credit’s ability to serve extremely low-income tenants, and supporting the preservation of existing affordable housing.
The legislation also contains important provisions that would support development of rental homes using the Housing Credit coupled with multifamily housing bonds, which currently provide critical financing to roughly 40 percent of housing credit apartments.
Similar legislation was introduced in the House by Representatives Pat Tiberi (D-OH) and Richard Neal (D-MA), H.R. 1661, which includes many of the same program improvements contained in S. 548 with the exception of the 50% credit authority increase.
VHDA is working with members of the Virginia Delegation to garner support for this important legislation. For more information, contact Demas Boudreaux, VHDA Government Relations, at Demas.Boudreaux@VHDA.com or (804) 343-5958.