Relating to application requirements for low income housing tax credits for developments financed through the private activity bond program.
The bill aims to enhance transparency and communication between developers and local governmental bodies regarding housing projects that could influence local communities. By requiring notification prior to application submission, the bill seeks to ensure that local leaders are made aware of potential developments and can provide input or address concerns accordingly. It applies to applications submitted based on the 2020 qualified allocation plan or any subsequent plans, thus streamlining the application process within that framework.
House Bill 1881 relates to the application requirements for low income housing tax credits that are financed through the private activity bond program. This bill mandates that before submitting an application for these housing tax credits, the applicant must inform the governing body of the municipality where the proposed development will be located, as well as related county authorities, depending on the site's jurisdiction. This is particularly pertinent in areas where the site does not belong to a municipality or lies within the extraterritorial jurisdiction of a smaller municipality.
Supporters of HB 1881 may view it as a positive step toward ensuring that local governments have a voice in housing developments that affect their communities. The intention is likely seen as a way to improve the allocation of resources and funding for low income housing, promoting collaboration between state and local entities. However, there could also be skepticism from those who believe that additional requirements may slow down the application process for much-needed housing developments.
A notable point of contention may revolve around the balance between facilitating affordable housing development and ensuring local governance has adequate representation and oversight. While proponents may argue that the bill improves local involvement, critics might contend that it could unnecessarily complicate the process for developers, which could impede the timely construction of affordable housing and exacerbate housing shortages in the state.