Industry Encourages Lawmakers to Boost LIHTC
Over 1,000 national, state, and local affordable housing industry stakeholders who are part of the A Call To Invest in Our Neighborhoods (ACTION) Campaign are calling on Congress to address the shortage of affordable rental housing by expanding the Low-Income Housing Tax Credit.
Specifically, they are urging Congress to raise the cap on Housing Credit allocation authority by at least 50 percent. In a letter to Congress, the Action Campaign points out that Congress has not increased Housing Credit authority in 16 years. And an expansion of the Housing Credit authority by 50 percent would support the preservation and construction of 350,000 to 400,000 additional affordable apartments over a 10-year period.
The campaign also encourages Congress to give states the discretion to convert a portion of their private activity bond volume cap to Housing Credit authority. This would allow states greater flexibility in their use of existing resources and could meaningfully supplement a cap increase.