In Support of the Affordable Housing Credit Improvement Act of 2025

Adopted at the 93rd Annual Meeting in 2025

  • WHEREAS, cities across the United States are struggling with a national shortage of affordable housing units for Americans and this crisis is expected to worsen absent federal action and support for increasing housing supply and reducing costs in the years ahead; and

    WHEREAS, mayors across the United States have reported increased homelessness, housing insecurity, and displacement in their communities due to the lack of affordable housing, placing strain on local services and infrastructure; and

    WHEREAS, the demand for affordable housing has outpaced supply in many cities, leading to rising rents, workforce retention challenges, and a diminished quality of life for families, workers, seniors, veterans, and people with disabilities; and

    WHEREAS, the Low-Income Housing Tax Credit (LIHTC) represents the largest and most effective federal incentive to support the acquisition, construction, and rehabilitation of affordable housing, leveraging public-private partnerships to help address the housing supply gap for nearly four decades; and

    WHEREAS, since its creation in 1986, the Action Campaign estimates that LIHTC has financed the development or preservation of more than 4 million homes, served 9.28 million low-income households, supported 6.6 million one-year jobs, generated $286.1 billion in tax revenue, and produced $746.5 billion in wages and business income; and

    WHEREAS, bipartisan lawmakers recently reintroduced the Affordable Housing Credit Improvement Act (AHCIA, S. 151/H.R. 2725) in the 119th Session of Congress seeking to strengthen and modernize the LIHTC Program; and

    WHEREAS, the Senate AHCIA of 2025 is led by Senators Maria Cantwell (D-WA), Todd Young (R-IN), Marsha Blackburn (R-TN), and Senate Finance Committee Ranking Member Ron Wyden (D-OR); and

    WHEREAS, the House AHCIA of 2025 is led by Representatives Darin LaHood (R-IL), Suzan DelBene (D-WA), Claudia Tenney (R-NY), Don Beyer (D-VA), Randy Feenstra (R-IA), and Jimmy Panetta (D-CA); and

    WHEREAS, the bill has received strong bipartisan support garnering more than 100 cosponsors from nearly 40 states in the U.S. House of Representatives and three dozen cosponsors in the U.S. Senate; and

    WHEREAS, the bill would increase the credit allocation to each state by 50 percent over the next two years, restore the 12.5 percent increase enacted in 2018, lower the tax-exempt bond financing threshold from 50 percent to 25 percent to expand the number of housing projects that can be financed using Private Activity Bonds (PABs), and modernize the program with other important reforms; and

    WHEREAS, the Action Campaign estimates that, if enacted, the measure could support the financing of 1.6 million additional affordable homes over the next decade, support over 2.4 million jobs, generate $84 billion in additional tax revenue, and produce over $271 billion in wages and business income; and

    WHEREAS, local governments are already leveraging tools such as zoning reforms, bond measures, housing trust funds, public lands, and public-private partnerships to expand affordable housing and the Affordable Housing Credit Improvement Act would complement and reinforce these efforts by providing the sustained federal support necessary to meet the scale of demand.

    NOW, THEREFORE, BE IT RESOLVED, the United States Conference of Mayors offers thanks to bill sponsors for their leadership in reintroducing the Affordable Housing Credit Improvement Act in the 119th Session of Congress; and

    BE IT FURTHER RESOLVED, the nation's mayors urge Congress to swiftly consider and pass this bipartisan legislation that will help support public-private partnerships to increase the supply of affordable housing in cities nationwide.
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