Horizons Fall/Winter 2020

urging Congress to keep affordable housing production moving forward by enacting measures related to the Low-Income Housing Tax Credit (Housing Credit), while also providing sorely needed rental assistance to help keep renters housed. The most immediate issue facing the Housing Credit is that the so-called “4 percent” Housing Credit rate has fallen to an all-time low of 3.07% as a result of the cuts to federal borrowing rates. A minimum 4% rate is needed to allow developments to move forward. But longer term, additional resources — including an expansion and strengthening of the Housing Credit — will be needed to build more affordable housing that can stabilize the growing number of households in need and stimulate the economy. In addition to affordable housing production, we need a substantial infusion of rental assistance. Though recent eviction moratoria provide a temporary reprieve for some renters, rental assistance is imperative to ensure overdue rent payments can be paid back. Against a backdrop of these unmet housing needs, we look ahead to the 2020 elections – consequential for so many reasons, and certainly for affordable housing. The Road Ahead: What We Know No matter the outcome of the 2020 election, there is already a slate of broadly supported, well-vetted proposals to strengthen our nation’s affordable housing poised for advancement in any political climate. Even in this period of hyper-partisanship, the Affordable Housing Credit Improvement Act, legislation to expand and strengthen the Housing Credit, has the support of more than half of the House of Representatives and more than one-third of the Senate – ranging from members of the Freedom Caucus to Democratic Socialists. Advocacy from the affordable housing community over many years (taking members of Congress to see developments

Real Estate Services Blog View the latest real estate industry topics and news by visiting www.RubinBrown.com/RealEstateBlog

and meet with residents firsthand, meeting with members of Congress and staff on Capitol Hill, and now virtually) has paid dividends in terms of the depth and breadth of support we have built. The question is not if there is support for the Housing Credit, but rather when we will get some of our top priorities across the finish line. We can be reasonably sure that Democrats will retain control of the House, and we know that House Democratic leadership, including Speaker Nancy Pelosi (D-CA) and House Ways and Means Chairman Richie Neal (D- MA), have been committed to expanding and strengthening the Housing Credit. We also have tenacious champions for the program on both sides of the aisle in Representatives Suzan DelBene (D-WA) and Jackie Walorski (R-IN). The House has already passed sweeping legislation, currently stalled in the Senate, that would make nearly a dozen changes to significantly expand and strengthen the Housing Credit while also providing $100 billion in rental assistance, which we expect to remain a priority in 2021. We also know that, regardless of which party controls the Senate, the leaders of the Senate Finance Committee that oversees the Housing Credit, current Ranking Member Sen. Ron Wyden (D-OR) and upcoming leader Sen. Mike Crapo (R-ID), are strong supporters of the Housing Credit and affordable housing generally. Whereas outgoing Senate Finance Committee Chairman Chuck Grassley (R-IA) was largely focused on oversight, there are more potential areas of overlap between Sen. Crapo and Sen. Wyden’s agendas, including housing.

Fall/Winter 2020

37