Biden framework incHouse Passes $1.7 Trillion Build Back Better Act Containing LIHTC, NHTC, NMTC, Renewable Energy Provisions
The U.S. House of Representatives today passed the Build Back Better Act, a $1.7 trillion bill that includes an expansion of the low-income housing tax credit (LIHTC), the introduction of the neighborhood homes tax credit (NHTC), an additional tribal allocation of the new markets tax credit (NMTC) and $325 billion in renewable energy tax incentives. H.R. 5376 passed 220-213 and now goes to the Senate. The legislation includes an extension of the 12.5% increase in 9% LIHTC allocations that began in 2018 through 2024, adding a 10% increase, plus an annual inflation adjustment, to that amount. The bill also would reduce the 50% test for affordable rental housing financed with private activity bonds (PABs) to 25% for calendar years 2022-26, establish a 50% basis boost for extremely low-income housing and provides a 30% basis boost for LIHTC properties in tribal areas.
Novogradac • November 19, 2021
The Rise of Market-Reliant Affordable Housing Tools
Survey results covering two decades of planning policy trends in US cities show a decline in government-organized housing trust funds and a shift toward private market–reliant affordable housing tools such as inclusionary zoning and zoning incentives. The result may ultimately be less housing support for low- and moderate-income families in the communities that need it most.
The Urban Institute • November 16, 2021
Investing in Housing Vouchers Critical to Protecting Children From Hardship, Building More Equitable Future
One of the most important investments to support every child’s current and future well-being is to ensure they have safe, stable housing. The Build Back Better legislation that Congress is considering includes a significant step toward that goal: $24 billion for Housing Choice Vouchers. Vouchers and other rental assistance programs are highly effective at reducing homelessness, housing instability, and overcrowding, which all harm children and their families. Rigorous research shows that receiving a voucher can have profound benefits for a child’s mental and physical health and educational success, and it can help keep families together by reducing placements in foster care.
CBPP • November 16, 2021