House Unveils Comprehensive Infrastructure Bill; Contains Important Housing Provisions
This week, House Democrats released a comprehensive infrastructure proposal known as the Moving Forward Act (H.R. 2). A section-by-section summary and the full bill text can be accessed by clicking the hyperlinks. The $1.5 trillion package contains several important provisions for the industry, including several pertaining to affordable housing. NALHFA has been reviewing the proposed legislation and is pleased to see the inclusion of several industry-supported provisions on affordable housing.

Below are several key provisions:

  • Increases the Low-Income Housing Tax Credit (LIHTC) by over 60% over current levels;
  • Sets a permanent minimum 4% LIHTC rate;
  • Lowers the test threshold for Housing Bond-financed properties from 50% to 25%;
  • Allocates $5 billion for the HOME Program;
  • Creates a new tax credit, the Neighborhood Investment Tax Credit, that will incentivize the rehabilitation of residential buildings and new construction in distressed areas;
  • Allocates $10 billion for Community Development Block Grants (CDBG);
  • Allocates $70 billion for the Public Housing Capital Fund;
  • Increases the ceiling for PAB volume caps for each state from $105 per capita to $135. It also increases the small-state minimum from $321,775,000 to $402,220,000.

NALHFA has spoken with staff on the Ways & Means Committee about this legislation and they are expecting the House to vote on this bill next week. At this time, the Senate is unlikely to consider this bill, but some opportunities could arise as they consider additional COVID-19 relief measures in July.

NALHFA will be sending an updated letter to Capitol Hill this week and continue advocating for these important policy provisions. For questions, contact NALHFA Director of Government Affairs Kevin McKenney at kmckenney@nalhfa.org .