Legislation Introduced to Repeal Qualified Contract Option for LIHTC Properties

Tuesday, June 25, 2019 - 2:00pm

Four U.S. Senators today introduced legislation that would repeal the qualified contract option for the federal low-income housing tax credit (LIHTC). The Save Affordable Housing Act of 2019, introduced by Sens. Ron Wyden, D-Ore., Todd Young, R-Ind., Ben Cardin, D-Md., and Sherrod Brown, D-Ohio, includes a provision to eliminate the qualified contract option for future LIHTC allocations. The bill also would retroactively amend the statutory formula for existing LIHTC properties, changing to fair-market value the price for which a LIHTC property can be purchased. Existing properties could still request a qualified contract from the state housing agency. An identical bill was introduced in the House of Representatives.