Res. No. 206
Resolution calling on the United States Congress to pass, and the President to sign, the Affordable Housing Credit Improvement Act S.1136/H.R.2573 which expands and strengthens the Low Income Housing Tax Credit.
By Council Members Rivera, Louis, Hudson, Hanif, Joseph, Nurse, Restler, Won and Sanchez
Whereas, The Low-Income Housing Tax Credit (LIHTC) program was created through the Tax Reform Act of 1986 and remains the federal government’s primary mechanism for the development and rehabilitation of affordable rental housing; and
Whereas, The federal government distributes tax credits under the program to states with allocations determined by population size; and
Whereas, State housing authorities award these tax credits in Qualified Allocation Plans to developers of affordable housing projects who submit applications through a competitive process; and
Whereas, The LIHTC allows affordable housing developers to sell tax credits that corporations use to reduce their federal tax liability and the proceeds from those sales are committed to creating housing which must be kept affordable for a set number of years; and
Whereas, The LIHTC has helped develop or preserve over 170,290 units, providing affordable housing to 395,610 households in New York State since the establishment of the program; and
Whereas, There are not enough affordable housing units created for those who are the most severely rent burdened which is defined as a household spending over 50 percent of their income on rent; and
Whereas, According to the Citizen’s Budget Commission, 55 percent of extremely low income households are severely rent burdened but only 17 percent of affordable units financed under the Mayor’s Housing New York plan are dedicated for this population; and
Whereas, The Affordable Housing Credit Improvement Act, S.1136/H.R.2573, sponsored by Senator Maria Cantwell (D-WA) and House Representative Suzan DelBene (D-WA-1) would expand the current LIHTC program by increasing the annual Housing Credit allocation authority by 50 percent over the current level which would be phased in over five years facilitating increased production of home and among other changes; and now, therefore, be it
Resolved, That the Council of the City of New York calls on the United States Congress to pass, and the President to sign, the Affordable Housing Credit Improvement Act S.1136/H.R.2573, which expands and strengthens the Low Income Housing Tax Credit.
Session 12
AH
LS #3545
01/24/2022
Session 11
NO
LS #12946