The Affordable Housing Credit Improvement Act (AHCIA) has been reintroduced in the House of Representatives.
The bill, which expands and strengthens the low-income housing tax credit (LIHTC), has more than 100 bipartisan cosponsors representing more than 30 states.
Reps. Darin LaHood (R-Illinois), Suzan DelBene (D-Wash.), Claudia Tenney (R-N.Y.), Don Beyer (D-Va.), Randy Feenstra (R-Iowa), and Jimmy Panetta (D-Calif.) introduced the bill April 8, and a companion bill is expected to be introduced in the Senate soon.
“Too many families are struggling to find a safe, affordable place to call home. This is a pervasive problem across America and in Washington,” DelBene said. “When people have stable housing, it has a ripple effect throughout other aspects of life. They’re better able to support their families and succeed at work. This overwhelmingly bipartisan legislation makes smart, targeted investments to increase affordable housing supply and help meet the needs of growing communities both in Washington and across the country.”
The AHCIA will support the financing of nearly 2 million new affordable homes across the country by:
- Increasing the number of credits allocated to each state by 50% for the next two years and making the temporary 12.5% increase secured in 2018 permanent. These credits have already helped build more than 59,000 additional affordable housing units nationwide;
- Reducing the 50% test for private-activity bond homes to 25%; and
- Improving the LIHTC program to serve at-risk and underserved communities, including veterans, victims of domestic violence, and rural Americans.
The passage of the much-anticipated legislation has been a priority for many affordable housing and LIHTC advocates.
“The overwhelming bipartisan support for the Affordable Housing Credit Improvement Act of 2025 underscores the critical need to increase the supply of affordable rental homes,” said Emily Cadik, CEO of the Affordable Housing Tax Credit Coalition. “We thank the bill’s sponsors for their leadership and the more than 100 bipartisan House cosponsors for supporting this commonsense solution to expand and strengthen the housing credit.”
David Gasson, executive director of the Housing Advisory Group and partner of MG Housing Strategies, also applauded the reintroduction of the bill.
“Led by Reps. LaHood and DelBene, members of Congress are sending a strong signal to the leadership and Ways and Means chairman [Jason] Smith that it is time to address the nation’s affordable housing crisis by increasing resources through the low-income housing tax credit,” Gasson said. “This also jibes with President Trump’s desire to increase housing production so we cannot think of a stronger indication that it is time to substantively increase the LIHTC.”
“The reintroduction of the Affordable Housing Credit Improvement Act is a vital step toward addressing our nation’s housing crisis,” added Ayrianne Parks and Jennifer Schwartz, co-chairs of the ACTION Campaign. “Expanding the housing credit is the most effective way to increase the supply of affordable housing, leveraging public-private partnerships to build and preserve homes for working families, seniors, and vulnerable communities. At a time when rents are rising and supply is lagging, strengthening the housing credit will ensure that more Americans have access to safe, stable, and affordable housing.”
The ACTION Campaign has a one-page summary of the bill.
