Affordable Housing Organizations Ask Congress to Ease Restrictions on Using SLFRF as LIHTC Gap Funding
More than 80 organizations signed on to a letter this week asking Congress to amend regulations for the Coronavirus State and Local Fiscal Recovery Fund (SLFRF) to make it easier for long-term loans to low-income housing tax credit (LIHTC) properties to fill financing gaps. The combination of rising construction costs, supply chain disruptions and workforce challenges have led to unexpected financing gaps for many LIHTC developments. According to the letter, many state agencies and local governments are using SLFRF as a gap-filler, but current requirements make that difficult. The letter asks Congress to ease those requirements. Novogradac was among the signees to the letter.
Gap funding for LIHTC-financed housing will be among the topics at the Novogradac 2022 Affordable Housing Conference, April 28-29 in San Francisco.