What's happening
This bill amends the public housing law to expand low-income housing tax credit eligibility by changing the income test from 40-90 to 60-125.
Why it matters
Expands eligibility for low-income housing tax credits to include households making up to 125% of area median income (AMI), rather than capping at 90% AMI. potentially opening the program to more middle-income families who are still struggling with housing costs.
Shifts the minimum threshold for qualifying units from 40% of units at 60% AMI or less, to 60% of units at 125% AMI or less. , which could alter the types of housing projects developers pursue and possibly encourage more mixed-income developments.
May redirect tax credit resources away from the very lowest-income households to a broader range of income levels. , which could address housing pressures for more people but might reduce the focus on deeply affordable units for those with the greatest need.
Could incentivize more housing development in higher-cost areas. where even moderate-income families face affordability issues, potentially increasing the overall supply of rental housing but also raising questions about targeting and equity.
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Who cares
Headline styles
Expand Low-Income Housing Eligibility
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to housing, construction and community development
- Referred to housing, construction and community development
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Expand Low-Income Housing Access
In Assembly Committee · Housing · Sponsor Latrice Walker
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
4823
2019-2020 Regular Sessions
IN SENATE
March 26, 2019
Introduced by Sen. PARKER -- read twice and ordered printed, and when printed to be committed to the Committee on Housing, Construction and Community Development
AN ACT to amend the public housing law, in relation to low income housing tax credit eligibility
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Paragraph (b) of subdivision 5 and subdivision 6 of section 21 of the public housing law, as added by section 1 of part CC of chapter 63 of the laws of 2000, are amended to read as follows:
(b) would be a qualified low-income building under such section if the 20-50 test specified in subsection (g)(1) of such section were disregarded and the 40-60 test specified in such subsection (requiring that at least forty percent of residential units be both rent-restricted and occupied by individuals whose income is sixty percent or less of area median gross income) were a [40-90] 60-125 test.
6. "Qualified basis" of an eligible low-income building means the qualified basis of such building determined under section 42(c) of the internal revenue code, or which would be determined under such section if the [40-90] 60-125 test specified in paragraph (b) of subdivision five of this section applied under such section 42 to determine if such building were part of a qualified low-income housing project.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05946-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the public housing law, in relation to low income housing tax credit eligibility
Purpose
The bill expands the eligibility threshold for tenants in state LIHTC multi-family developed properties to up to 125% of AMI or less.
Justification
The AMI for the City of New York as of December 2013 increased to $63,000 per annum. Currently forty-six percent of New Yorkers are considered poor or almost poor. The current eligibility threshold of 60% of AMI as the LIHTC maximum, excludes households of 2-4 members. Consider that the starting salary for a sanitation worker is $33,746. Were that person to marry a teacher starting a career at a salary of $44,370, their combined salary of $78,116 would exclude them as well as a food service worker and a cook with starting salaries of $23,000 and $24,000 respectively and a combined salary of $47,000.
Area Median Income (AMI)
Household 30% of AMI 50% of 60% of AMI 80% Size AMI AMI
(very low (low income (low
(extremely income) low income) credit
1 $18,050 $30,100 $36,120 $48,100 2 $20,600 $34,400 $41,280 $55,000 3 $23,200 $38,700 $46,440 $61,850 4 $25,750 $42,950 $51,540 $68,700
This bill would incentivize developers to create housing fox the working poor wherein a family of two, three or four facing a the challenge of finding affordable housing in an environment. If we consider that as of April, 2014, the average rent in the City is $3,017 per month and $2,899 for an average apartment within ten miles of the City, it is clear that there exists an affordable housing gap for households earning 100% of the AMI or slightly more.
To keep the essential service, municipal, administrative, health care and educator workforce accessible to meet the needs of the City it is necessary to provide affordable housing.
Legislative history
2017-18: S.3624 - REFERRED TO HOUSING, CONSTRUCTION AND COMMUNITY DEVEL- OPMENT 2015-16: S.2762/A.6813 - Referred to Housing, Construction and Community Development 2014: S.7527 - Referred to Housing Construction and Community Develop- ment
Fiscal implications
TBD
Effective date
This act shall take place immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.