The AHTCC is committed to advancing a robust set of consensus-based policy priorities determined annually by our 280 members. While the Affordable Housing Credit Improvement Act (AHCIA) remains our top legislative priority, we actively monitor evolving policy landscapes as they pertain to proposals related to the Housing Credit in Congress. The proposals on this page are of interest to the Housing Credit industry and are being monitored to varying degrees by our policy team, but do not necessarily reflect any direct endorsement or shift in the AHTCC’s policy priorities. Because federal legislative activity is dynamic, this list is non-exhaustive and reflects only a selection of proposals that have emerged in recent Congresses, including those that may not advance or be formally introduced in the current Congress.
RELATED PROPOSALS
Lifting the Public Welfare Investment (PWI) Cap
The AHTCC is actively engaged in advocacy efforts to advance the proposal to lift the PWI cap from 15 to 20 percent. Both Chambers of Congress have advanced housing packages containing the PWI cap increase proposal. In March 2026, Senate Banking Committee Chairman Tim Scott (R-SC) and Ranking Member Elizabeth Warren (D-MA) released the 21st Century ROAD to Housing Act, which combined elements from both chambers’ housing legislation, and advanced from the Senate in a bipartisan vote of 89-10. In response, House Financial Services Chairman French Hill (R-AR) and Ranking Member Maxine Waters (D-CA) released an amended version of the 21st Century ROAD to Housing Act that advanced from the House in a bipartisan vote of 396-13. This latest version removes the Senate-passed language which would have broadly limited the development of build-to-rent properties and adversely impacted some Housing Credit properties. (See a side-by-side from Novogradac comparing each bill version here.)
The path forward for these packages has yet to be determined, but lawmakers have demonstrated bipartisan momentum behind housing legislation and the PWI cap increase proposal remains well-positioned for inclusion in a bicameral housing package in this Congress.
Community Investment and Prosperity Act (S.2464/H.R.5913)
- Lead Cosponsors: Senate Banking Committee Chairman Tim Scott (R-SC) and Banking Committee Members, Senators Lisa Blunt-Rochester (D-DE), Bernie Moreno (R-OH), Andy Kim (D-NJ). House Financial Services Committee Members, Representatives Mike Lawler (R-NY), Joyce Beatty (D-OH), and Young Kim (R-CA).
- Description: Increases the PWI cap from 15 to 20 percent, unlocking additional capital for investment in the Housing Credit.
- Legislative Update: Passed unanimously by the Senate Banking Committee in the ROAD to Housing Act in its first bipartisan markup of housing legislation in over a decade in August 2025.
- Passed by the Senate in October 2025 as part of the ROAD to Housing Act, which was attached to defense legislation.
- Passed with overwhelming bipartisan support by the House Financial Services Committee in December 2025 as part of the Housing for the 21st Century Act.
- Passed by the Senate in March 2026 as part of the 21st Century ROAD to Housing Act.
- The AHTCC has taken steps to support the enactment of this proposal, including producing a fact sheet explaining the proposal here and signing onto an ACTION Campaign letter calling on the House of Representatives to move it forward.
ROAD to Housing Act (S.2651)
- Lead Supporters: Senate Banking Committee Chairman Tim Scott (R-SC) and Ranking Member Elizabeth Warren (D-MA).
- Description: Includes PWI proposal, HOME reforms, proposals to support zoning reform, and other bipartisan reforms.
- Legislative Update: Comprehensive housing legislation passed by the Senate as an amendment to defense legislation in October 2025.
21st Century ROAD to Housing Act (H.R. 6644)
Previously named Housing for the 21st Century Act
- Lead Supporters: House Financial Services Chairman French Hill (R-AR) and Ranking Member Maxine Waters (D-CA).
- Description: A bipartisan comprehensive housing package aiming to increase housing supply and modernize federal housing programs to improve affordability and increase production.
- Includes PWI cap increase proposal, directs HUD to conduct an evaluation of Build American, Buy America (BABA) as it pertains to HOME funds, proposals to support zoning reform, proposals to streamline environmental review requirements for housing developments, and other bipartisan housing reforms.
- Legislative Update: The Housing for the 21st Century Act passed by the House of Representatives by an overwhelmingly bipartisan vote of 390-9 in a suspension vote on February 9, 2026. Previously reported out to the full House of Representatives by the House Financial Services Committee in December 2025.
- The legislation was renamed the 21st Century ROAD to Housing Act after combining elements from both chambers’ legislation, as proposed by Chairman Tim Scott and Ranking Member Warren. The bill passed the Senate in a bipartisan vote of 89-10 on March 12, 2026.
- In response, Chairman Hill and Ranking Member Waters released an amended version of the 21st Century ROAD to Housing Act that advanced from the House in a bipartisan vote of 396-13 on May 20, 2026.
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See a side-by-side from Novogradac comparing each bill version here.
Extend the Carryback Period for the Housing Credit
Affordable Housing Credit Carryback Act of 2025 (H.R.9012)
- Lead Cosponsors: Reps. Mike Carey (R-OH) and Jimmy Panetta (D-CA).
- Description: Establishes a five-year carryback period for the Housing Credit, allowing investors to apply credits against prior-year tax liabilities within an extended 5-year window. Enacting a longer carryback period would provide investors with additional certainty and capacity to invest in the Housing Credit, and would support a robust Housing Credit investment market. Read more here.
Strengthening the HOME Investment Partnerships Program
HOME Reform Act of 2025 (H.R.5798)
- Lead Cosponsors: Housing & Insurance Subcommittee Chairman Mike Flood (R-NE) and Ranking Member Emmanuel Cleaver (D-MO).
- Description: Includes bipartisan reforms to the HOME program, including exempting HOME-funded construction from Build America, Buy America (BABA) requirements.
Supporting Affordable Housing for Veterans
Fair Housing for Disabled Veterans Act (H.R.5529)
- Lead Cosponsors: Reps. Linda Sanchez (D-CA), Mike Kelly (R-PA), Blake Moore (R-UT), Jimmy Gomez (D-CA).
- Description: Modifies Housing Credit income calculation to exclude veterans’ disability benefits.
Low Income Housing for Defense Communities Act (H.R.308)
- Lead Cosponsors: Reps. Blake Moore (R-UT), Marilyn Strickland (D-WA).
- Description: Modifies Housing Credit income calculation to exclude military housing allowances and classifies areas near military installments as Difficult Development Areas (DDAs).
Supporting Affordable Housing for Lowest-Income Households
Affordable Housing Equity Act (H.R.3964)
- Lead Cosponsors: Reps. Jimmy Gomez (D-CA), Suzan DelBene (D-WA).
- Description: Creates a basis boost (up to 50 percent) for a percentage of eligible basis associated with Housing Credit units serving extremely-low-income (ELI) tenants in properties with at least 20 percent of units serving ELI tenants – as proposed in the AHCIA, Sec. 307 (see bill summary here).
Expanding Affordable Housing to Middle-Income Households
Workforce Housing Tax Credit Act (H.R.8626)
- Lead Cosponsors: Reps. Jimmy Panetta (D-CA), Mike Carey (R-OH).
- Description: Creates a tax credit for financing rental homes that are affordable to workforce and middle-income households (earning 100% or less of area median income). States may also transfer these credits to their Housing Credit allocations to best meet community needs.
