NCSHA Blogs
NCSHA Releases 2020 Election Analysis
As of this writing, who will win the presidential election and which party will control the Senate in the next Congress remain uncertain, though the mist appears to be clearing slightly. Final outcomes could be determined in the next few days or could take substantially longer, especially if Senate control depends on one, or possibly two, Georgia Senate runoff elections to be held in January. NCSHA election analysis linked here goes into more detail on the election results and our analysis of them.
IRS Publishes Average Income Test Proposed Rule
On October 29, the IRS published a notice of proposed rulemaking on the Housing Credit Average Income Test (AIT) minimum set-aside for public comment. The regulations, once finalized, would provide guidance on implementation of the AIT, as established by the Consolidated Appropriations Act of 2018 (2018 Act), which allows owners of Housing Credit properties (for purposes of the tax code, the “taxpayer”) to elect to serve households earning as much as 80 percent of area median income (AMI), as long as the income designations of the units in the property average no more than 60 percent of AMI. The proposed rule would modify existing Housing Credit regulations for the “next available unit rule” at Section 1.42-15 and establishes a new regulation for the AIT at Section 1.42-19.
IRS Publishes Housing Credit and Private Activity Bond 2021 Volume Cap Amounts
On October 26, the Internal Revenue Service issued Revenue Procedure 2020-45, providing the 2021 per capita and small state minimum levels for the Housing Credit and Private Activity Bond (PAB) volume caps. In 2021, states will receive the greater of $2.81 per capita or $3,245,625 in Housing Credit authority.
House Leadership Issues Revised $2.2 Trillion Coronavirus Relief Bill
Late yesterday, House Speaker Nancy Pelosi (D-CA) issued a revised version of the Health and Economic Recovery Omnibus Emergency Solutions (HEROES) Act, cutting more than $1 trillion from the original version of the legislation the House passed in May. However, it remains to be seen whether renewed conversations among House, Senate, and White House negotiators will result in further coronavirus relief action before the election, as thus far Republicans have resisted spending as much as proposed in the revised bill.
The Federal Reserve Advances a New CRA Rulemaking
The U.S. Federal Reserve yesterday voted unanimously to issue an Advance Notice of Proposed Rulemaking (ANPR) seeking comments on possible amendments to its Community Reinvestment Act regulations. Interested parties will have 120 days to comment after the ANPR is published in the Federal Register, which is expected shortly.
HUD Allocates $1.988 Billion in Final Round of CDBG-CV Funds
The U.S. Department of Housing and Urban Development (HUD) announced on September 11 the third and final round of allocation of the $5 billion Congress provided in the Coronavirus Aid, Relief, and Economic Security (CARES) Act in supplemental Community Development Block Grant (CDBG) funding (CDBG-CV).
HUD Publishes CARES Act Guidance for Emergency Solutions Grants
On September 1, the U.S. Department of Housing and Urban Development (HUD) published a Notice announcing the allocation formula, amounts, and program requirements for the $3.96 billion in supplemental Emergency Solutions Grants (ESG) Program funding Congress provided in the Coronavirus Aid, Relief, and Economic Security (CARES) Act to help states and localities respond to the coronavirus pandemic (ESG-CV). The Notice also extends the waivers and flexibilities provided for ESG-CV funds to annual ESG funds for prior fiscal years so that grantees may use annual ESG resources as part of their coronavirus response.
CDC Temporarily Halts Evictions Nationwide
On September 1, the Centers for Disease Control and Prevention issued an emergency public health order to temporarily halt most evictions to prevent the further spread of COVID-19.
HUD Publishes CARES Act Guidance for CDBG Program
On August 10, HUD published a Notice providing guidance on program rules, waivers, and alternative requirements allowed in accordance with the Coronavirus Aid, Relief, and Economic Security (CARES) Act for the $5 billion in supplemental Community Development Block Grant funding Congress provided to help states and localities respond to the coronavirus pandemic (CDBG-CV). The Notice also provides flexibility and relief for annual formula CDBG grants for fiscal years (FY) 2019 and 2020, so that grantees may use regular yearly CDBG resources for those years as part of their coronavirus response.
Executive Order Directs Agencies to Consider Ways to Prevent Evictions, Foreclosures
On August 8, President Trump issued an Executive Order to address COVID-19-related challenges for renters and homeowners. The E.O. directs a number of federal agencies, including the Department of Housing and Urban Development and the Department of Treasury, to consider actions to prevent eviction and foreclosure. However, it does not include specific policy changes.
