Bill Seeks the Exchange of Disaster Credits
Sen. Evan Bayh (D-Ind.) has proposed legislation to allow Gulf Opportunity Zone and Midwestern disaster area tax credits to be eligible for the exchange program created by the American Recovery and Reinvestment Act.
"Due to the turmoil in the financial markets, developers have found it increasingly difficult to utilize the package of low-income housing tax credits that Congress approved in 2005 and 2008 to speed the rebuilding of affordable housing in designated disaster areas," said a statement from Bayh's office.
The bill ensure that the states that received disaster credits will be able to use the exchange program to convert a portion of their credits into cash grants.
"The economic downturn is making tax credit financing hard to come by, which has hindered the recovery effort in some communities," said Bayh. "By allowing our state to immediately convert these tax credits to cash, Indiana could take advantage of $230 million in federal assistance to spur construction of quality, affordable houses."
The legislation was introduced with Sen. Richard Shelby (R-Ala.).
"Due to the turmoil in the financial markets, developers have found it increasingly difficult to utilize the package of low-income housing tax credits that Congress approved in 2005 and 2008 to speed the rebuilding of affordable housing in designated disaster areas," said a statement from Bayh's office.
The bill ensure that the states that received disaster credits will be able to use the exchange program to convert a portion of their credits into cash grants.
"The economic downturn is making tax credit financing hard to come by, which has hindered the recovery effort in some communities," said Bayh. "By allowing our state to immediately convert these tax credits to cash, Indiana could take advantage of $230 million in federal assistance to spur construction of quality, affordable houses."
The legislation was introduced with Sen. Richard Shelby (R-Ala.).
posted by Donna Kimura at 4:41 PM
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