Low Income Housing for Defense Communities Act

10/3/2024, 10:53 PM

Low Income Housing for Defense Communities Act

This bill broadens the exclusion of amounts received by members of the Armed Forces as a basic allowance for housing from income for purposes of meeting the income requirements of the low-income housing tax credit (LIHTC). This bill also increases the basis of properties developed within 15 miles of large military installations, generally making the developer of the property eligible for a larger LIHTC.

Under current law, to be eligible for the LIHTC, properties must rent a percentage of units to individuals with incomes equal to or less than a percentage of an area’s median gross income (often referred to as the set-aside test). For purposes of calculating an individual’s income to determine if it is equal or less than an area’s median gross income, the basic allowance for housing received by members of the Armed Forces is excluded only if the property is in a specific location that meets requirements related to population growth for a defined time period. 

This bill excludes amounts received by members of the Armed Forces as a basic housing allowance in determining their income and eligibility for low-income housing, without restrictions on the location of the property or population growth of the location. 

Finally, this bill treats properties developed within 15 miles of a large military installation as located in a difficult development area, which qualifies the property for an increased basis of 130% (instead of 100%) and generally increases the amount of the LIHTC.

Bill 118 hr 9659, also known as the Low Income Housing for Defense Communities Act, aims to address the housing needs of low-income individuals and families in communities that are home to military installations. The bill recognizes that many defense communities struggle with providing affordable housing options for their residents, including military personnel and their families.

The key provisions of the bill include the establishment of a grant program to assist defense communities in developing and maintaining affordable housing units for low-income individuals and families. The grants would be awarded to eligible entities, such as local governments, non-profit organizations, and housing authorities, to support the construction, rehabilitation, and preservation of affordable housing units.

Additionally, the bill includes provisions to ensure that the housing units funded through the grant program meet certain affordability requirements, such as rent restrictions and income eligibility criteria. The bill also prioritizes projects that serve military personnel, veterans, and their families, as well as projects that are located in areas with a high demand for affordable housing. Overall, the Low Income Housing for Defense Communities Act seeks to address the housing challenges faced by low-income individuals and families in defense communities, particularly those with ties to the military. By providing funding and support for the development of affordable housing units, the bill aims to improve access to safe and affordable housing for those in need.
Congress
118

Number
HR - 9659

Introduced on
2024-09-18

# Amendments
0

Sponsors
+5

Cosponsors
+5

Variations and Revisions

9/18/2024

Status of Legislation

Bill Introduced
Introduced to House
House to Vote
Introduced to Senate
Senate to Vote

Purpose and Summary

Low Income Housing for Defense Communities Act

This bill broadens the exclusion of amounts received by members of the Armed Forces as a basic allowance for housing from income for purposes of meeting the income requirements of the low-income housing tax credit (LIHTC). This bill also increases the basis of properties developed within 15 miles of large military installations, generally making the developer of the property eligible for a larger LIHTC.

Under current law, to be eligible for the LIHTC, properties must rent a percentage of units to individuals with incomes equal to or less than a percentage of an area’s median gross income (often referred to as the set-aside test). For purposes of calculating an individual’s income to determine if it is equal or less than an area’s median gross income, the basic allowance for housing received by members of the Armed Forces is excluded only if the property is in a specific location that meets requirements related to population growth for a defined time period. 

This bill excludes amounts received by members of the Armed Forces as a basic housing allowance in determining their income and eligibility for low-income housing, without restrictions on the location of the property or population growth of the location. 

Finally, this bill treats properties developed within 15 miles of a large military installation as located in a difficult development area, which qualifies the property for an increased basis of 130% (instead of 100%) and generally increases the amount of the LIHTC.

Bill 118 hr 9659, also known as the Low Income Housing for Defense Communities Act, aims to address the housing needs of low-income individuals and families in communities that are home to military installations. The bill recognizes that many defense communities struggle with providing affordable housing options for their residents, including military personnel and their families.

The key provisions of the bill include the establishment of a grant program to assist defense communities in developing and maintaining affordable housing units for low-income individuals and families. The grants would be awarded to eligible entities, such as local governments, non-profit organizations, and housing authorities, to support the construction, rehabilitation, and preservation of affordable housing units.

Additionally, the bill includes provisions to ensure that the housing units funded through the grant program meet certain affordability requirements, such as rent restrictions and income eligibility criteria. The bill also prioritizes projects that serve military personnel, veterans, and their families, as well as projects that are located in areas with a high demand for affordable housing. Overall, the Low Income Housing for Defense Communities Act seeks to address the housing challenges faced by low-income individuals and families in defense communities, particularly those with ties to the military. By providing funding and support for the development of affordable housing units, the bill aims to improve access to safe and affordable housing for those in need.
Alternative Names
Official Title as IntroducedTo amend the Internal Revenue Code of 1986 to provide tax incentives for rental housing for members of the Armed Forces.

Comments

APPROVED
EL
Esme Leach
@oban_rugbrd_amaranth69091
I think the gov should focus on helping our military families with housing. They sacrifice so much for us, they deserve better. #SupportOurTroops #HR9659

Recent Activity

Latest Summary11/25/2024

Low Income Housing for Defense Communities Act

This bill broadens the exclusion of amounts received by members of the Armed Forces as a basic allowance for housing from income for purposes of meeting the income requirements ...


Latest Action9/18/2024
Referred to the House Committee on Ways and Means.