Fed, FDIC Release List of Distressed, Underserved Nonmetro Middle-Income Geographies Eligible for CRA Consideration
The board of governors of the Federal Reserve System (Fed) and Federal Deposit Insurance Corporation (FDIC) released the list of distressed or underserved nonmetropolitan middle-income geographies for 2021, which makes revitalization or stabilization activities in those areas eligible for Community Reinvestment Act (CRA) consideration. The designations reflect local economic conditions, including unemployment, poverty and population changes. The Fed and FDIC continue to apply a one-year lag period for areas listed in 2020 that are no longer designated as distressed or underserved, making revitalization or stabilization activities in those geographies eligible for CRA condensation for 12 months after the publication of the current list.
The just-released 2021 Novogradac Low-Income Housing Tax Credit Handbook addresses issues surrounding affordable housing, including qualifying for CRA credit.