In an overwhelming show of bipartisan support, today 200 members of the House of Representatives have pledged their support of the Affordable Housing Credit Improvement Act (AHCIA), legislation to expand and strengthen the Low-Income Housing Tax Credit (Housing Credit), the nation’s primary tool for financing the development and preservation of affordable rental housing.
In a sign of bipartisan momentum behind addressing the nation’s affordable housing crisis, the AHCIA of 2023 (H.R. 3238/S. 1557) has gained 200 supporters in the House and 30 in the Senate, equally balanced between Republicans and Democrats. These supporters include over three-fourths of the House Ways and Means Committee (which has jurisdiction over the Housing Credit), over half of the House Financial Services Committee (which has jurisdiction over many housing issues), and nine House committee chairs.
Over 10 years the bill would spur financing of nearly 2 million additional affordable rental homes than would otherwise be possible.
“With an opportunity for strengthening the Housing Credit on the horizon, we applaud Republicans and Democrats for lending overwhelming bipartisan support to common-sense solutions that are ready to make rental housing more affordable for millions of Americans right away,” said AHTCC Chief Executive Officer Emily Cadik. “Momentum behind the AHCIA is greater than ever, and this strong showing of support should signal to House and Senate leaders that the time is now to take meaningful action on affordable housing – we cannot let another opportunity go by without taking action on this crisis.”
“Across the country, shovel-ready affordable housing developments are ready and waiting for access to additional Housing Credit resources that will trigger the immediate development and preservation of affordable housing,” said Ryan Sfreddo, President of the AHTCC Board of Directors and CEO of Red Stone Equity Partners. “To make these projects a reality, it is vital that lawmakers include AHCIA provisions in any tax legislation before Congress.”
See below for the geographic distribution of AHCIA co-sponsors as of December 13, 2023.
The AHCIA of 2023 builds on prior versions of the bill that have earned widespread bipartisan support since introduced in 2016. In the 118th Congress, the legislation is led in the Senate by Sens. Maria Cantwell (D-WA), Todd Young (R-IN), Ron Wyden (D-OR), and Marsha Blackburn (R-TN) and in the House by Reps. Darin LaHood (R-IL), Suzan DelBene (D-WA), Brad Wenstrup (R-OH), Don Beyer (D-CA), Claudia Tenney (R-NY), and Jimmy Panetta (D-CA).
Two critical provisions in the AHCIA—restoring a 12.5 percent allocation increase that expired at the end of 2021 due to congressional inaction, and reducing the amount of private activity bond financing required to access the four percent Housing Credit from 50 percent to 25 percent—would alone finance more than 1.4 million affordable homes over the next 10 years. These legislative priorities would immediately increase affordable housing production nationwide.
Though Congress is soon adjourning for the year, the recent passage of staggered continuing resolutions funding the federal government through January 19 and February 2 presents opportunities for tax legislation early in 2024. The AHTCC will continue to advocate for action on our Housing Credit priorities during consideration of any potential tax legislation.