Let me begin by saying thank you. With the President’s signature on the FY2018 Omnibus spending bill on Friday, March 23rd, the affordable housing industry realized a significant victory in restoring some of the resources that had been diminished with the passage of the Tax Cuts and Jobs Act last December. Through the amazing efforts of the CHC and advocates across the country, and the leadership of our amazing LIHTC champion, Senator Maria Cantwell, we succeeded in securing a temporary increase in 9% LIHTC allocations (12.5% in years 2018 – 2021) and the income averaging provision which was included in both H.R. 1661 and S. 548. While we were not successful in convincing the House Republican leadership to include the fixed 4% LIHTC or the remaining provisions of the House and Senate bills this time around, we are discussing next steps as we prepare for another bite at the apple perhaps later this year.
On the appropriations side Congress increased funding to HOME, CDBG, PBRA, TBRA, the Public Housing Operating Fund and the Public Housing Capital Fund. It also raised the RAD cap to 455,000 units from 225,000 units. While it will take an act of Congress, it appears the handcuffs of the Budget Control Act of 2011 have been all but removed.
There is a narrative that must be addressed. Republican Leadership in the House has tried to portray the LIHTC provisions as a Democratic priority and balanced its inclusion in the Omnibus package against the grain fix. This is a false narrative as our Republican support in the House, and specifically on the Ways and Means Committee, is substantial. We know for a fact that significant numbers of House Republicans personally contacted Speaker Ryan and Ways and Means Chairman Kevin Brady and asked them to include the LIHTC provisions in the bill. It would not have been possible for us to be at the table if not for the steadfast support of Senate Majority Leader Mitch McConnell and Finance Committee Chairman Orrin Hatch. All of us, the entire LIHTC industry, has succeeded in making affordable housing a bipartisan issue and priority. The House Republican leadership may have other priorities but we are winning and will continue to advance the affordable housing agenda if we keep advocating and educating.
I am so very appreciative of the efforts of the CHC and thank you for your continued support.