Signed by Governor Kate Brown

Vote Smart's Synopsis:

Vote to pass a bill that increases the total amount of outstanding affordable housing tax credits to $35 million through 2025.

Highlights:

• Authorizes that the Housing and Community Services Department may approve an application only if the potential credits of the project would not cause the total potential credits claimed under ORS 315.164 for all approved applications to exceed $16.75 million within the biennium in which the application is approved (Sec. 20).

• Authorizes that the Housing and Community Services Department may certify qualified loans that are deemed eligible if the total credits attributable do not exceed $35 million for any fiscal year (Sec. 29).

• Establishes that to be eligible for the tax credit, a lending institution must make a qualified loan by either purchasing bonds, the proceeds of which are used to finance or refinance a loan that meets the criteria stated in this subsection, or making a loan directly to a qualified borrower who (Sec. 29):

• Uses the loan proceeds to finance construction, development, acquisition or rehabilitation of housing; and

• Provides a written certification executed by the Housing and Community Services Department or the governmental party to the rent assistance contract that the housing preserved by the loan is or will be occupied by households earning less than 80 percent of the area median income; and

• Is the subject of a rent assistance contract with the federal government or with a state or local government that will be maintained by the qualified borrower and that limits a tenant’s rent to no more than 30 percent of their income.

• Establishes that the amendments in Section 29 apply to tax years beginning on or after January 1, 2022, and before January 1, 2026 (Sec. 30).

Full Bill Text