Shutdown Averted

We can once again credit Speaker Mike Johnson, Majority Leader John Thune, and most importantly, President Trump with continuing their winning streak, this time averting a government shutdown.

After the House Republican Conference voted almost unanimously to pass the continuing resolution funding the government for the remainder of the fiscal year (through September 30th), the Senate on Friday followed suit with the help of 10 Democrats, including Senate Democratic Leader Chuck Schumer. More on this in the future but needless to say, the Democratic base is not happy with the Senate Democratic Leader for going along with the CR.

Regarding housing, although the CR assumes 2024 baselines for the remainder of the fiscal year, there were some anomalies requested by the White House that were adopted, including an additional $893 million for Project-Based Rental Assistance (PBRA) to maintain current funding levels, and $3.65 billion for Tenant Based Rental Assistance (TBRA), including the Housing Choice Voucher program, to maintain current levels of funding there as well. We see this as an acknowledgment by the Administration of the housing crisis and an affirmation of the President’s Executive Order on day one of the Administration addressing the cost and availability of housing.

With the funding of the government for the remainder of the fiscal year now addressed, Congress and the Administration can turn their full attention to the reconciliation bill, specifically the tax bill. The House Ways and Means Committee held two days of meetings last week as they begin to put together what will encompass the $4.5 trillion tax bill. Senate Finance Committee Republicans have also begun to look at the tax bill, with the question being how much higher they are looking to go beyond the House’s $4.5 trillion figure.

Senate Finance Committee Chairman Mike Crapo (R-ID) indicated last week that he and his Finance Committee colleagues are looking at a number of tax provisions that go beyond renewal of the Tax Cuts and Jobs Act of 2017, including priorities of the President and many of his Republican colleagues in the Senate. In a Wall Street Journal article from March 12th, the Chairman specifically mentioned the LIHTC as one of the many programs he and his colleagues are working to address.

We are fully engrossed in this process and, along with the soon-to-be-re-released Affordable Housing Credit Improvement Act, are working with our LIHTC leads to do everything we can to ensure affordable housing is included in the final package. We need everyone to advocate with their elected officials on this point, as the competition to be included in the bill is intense.

Thank you for your continued support and assistance.