Lawmakers Reintroduce Affordable Housing Credit Improvement Act

Tuesday, June 4, 2019 - 4:00pm

Sens. Maria Cantwell, D-Wash.; Johnny Isakson, R-Ga.; Ron Wyden, D-Ore.; and Todd Young, R-Ind.; today introduced S. 1703, the Affordable Housing Credit Improvement Act of 2019 (AHCIA). The bill builds on similar low-income housing tax credit (LIHTC) legislation introduced in 2017 during the last Congress and retains two key provisions from S. 548: a 50 percent increase in per-capita and small state minimum allocations, and a permanent minimum 4 percent rate for LIHTCs used to finance the acquisition of property or generated by tax-exempt private activity bonds. Six new provisions are included in the 2019 legislation: to provide a 30 percent basis boost for rural areas, to expand tax-exempt multifamily bond recycling, to codify recent Internal Revenue Service (IRS) guidance to clarify general public use rule for tax-exempt multifamily bond-financed properties, to add the average income test for bond-financed LIHTC development to the private activity bond statute, to align the LIHTC statute with the Violence Against Women Act and to establish a development cost selection criterion in qualified allocation plans. Reps. Suzan DelBene, D-Wash.; Kenny Marchant, R-Texas; Don Beyer, D-Va.; and Jackie Walorski, R-Ind., have also introduced identical companion legislation in the House.