Technical Assistance


Advocacy Center

CDFA is the voice of development finance on Capitol Hill and with the federal Administration by providing leadership on policy decisions that impact the industry. CDFA is a bipartisan organization that supports sound public policy and the leadership involved in making important decisions affecting development finance.

Each year CDFA produces a Policy Agenda and works with legislators and federal officials to advance these initiatives. Additionally, CDFA holds briefings, trainings, and advises legislative and federal stakeholders on numerous topics.

Want regular updates on legislative and federal affairs? CDFA publishes the highly popular Legislative & Federal Affairs Update each month. This free newsletter features development finance news, resources, case studies, and the latest from Capitol Hill and the federal government.


-Latest Developments

CDFA SSBCI Letter to U.S. Treasury

CDFA Sends Letter to Treasury Secretary Yellen Regarding SSBCI Calls for Immediate Deployment of Funds

The SSBCI program was reauthorized and enhanced 13 months ago through the American Rescue Plan Act to provide near- and long-term support to small businesses. To date, Treasury has not allocated a single dollar to Eligible Governments or TA providers to fund small business financing and TA programs.

All eligible states, U.S. Territories, and the District of Columbia met the February 2022 deadline for submitting Capital Program applications. Nearly 60 days later, Treasury has yet to approve a single application, and in many cases, has yet to provide feedback to applicants. The application period for Tribal Governments remains open through June 2022, and if Treasury continues at the same pace, most will not likely receive SSBCI allocations this year.

The application process for all Eligible Governments has been made more difficult due to incomplete program guidance issued by Treasury. In November 2021, guidance pertaining to Capital Programs was issued. However, Eligible Governments have not received full guidance on reporting requirements, and guidance on the program’s TA component has not been released.

As a result, Eligible Governments are currently not authorized to deploy SSBCI capital that has already been allocated on a formula basis. Eligible Governments have been required to put all necessary programming, partnerships, and private financing in place in order to prepare for expected SSBCI funds. However, nearly $10 billion in appropriated capital for the program remains unobligated.

To preserve the reputation of the SSBCI program and more than a year’s worth of work from Eligible Governments, CDFA and the SSBCI Coalition strongly urge Treasury to do the following:
  • Immediately provide all Eligible Governments a status update on their application as well as pertinent feedback regarding the SSBCI strategies proposed.

  • Deploy the first tranche of capital to all Eligible Governments that have submitted an SSBCI application to-date.

  • Immediately issue full guidance pertaining to reporting requirements and TA, as well as make reasonable adjustments to the Interim Final Rule on Demographic-Related Reporting Requirements based on stakeholder feedback.

  • Make available the TA application by the first week of May 2022 to allow for an adequate stakeholder response by the June 30, 2022 application deadline.

  • Execute allocation agreements with Tribal Governments within 30 days of receiving complete Capital Program applications.

Read Letter

Add Your Signature to the Letter

Community Development Finance Tools and Pillar II

CDFA Coalition Sends Letter to Treasury Secretary Yellen Regarding OECD Pillar II Model Rules
Warns of Disastrous Effects on Several Community Development Finance Tools

CDFA and a coalition of 30 trade associations representing thousands of state and local governments, non-profit organizations, and businesses engaged in community development finance delivered an urgent letter to Treasury Secretary Yellen to warn of the impact that the new OECD Pillar II Model Rules could have on vulnerable and distressed communities and populations. The letter calls on Treasury to work with the OECD to ensure that longstanding, bipartisan and successful tax policies for spurring community development in the United States are protected for the long-term in its implementation of the new global minimum tax rules.

A longstanding tenet of federal tax policy is to use tools such as the Low-Income Housing Tax Credit (LIHTC), the New Markets Tax Credit (NMTC), the Historic Tax Credit (HTC), and tax-exempt bonds to provide affordable homes to people in need, critical investments in our nation’s infrastructure, and jobs to support economically thriving communities. These tools have broad bi-partisan support and Administrations from both political parties, including the Biden Administration, have recognized their importance through a variety of different legislative actions and federal programs.

The OECD Pillar II Model Rules could have disastrous effects on these catalytic financing tools beginning immediately, as major investors in these projects could be forced to significantly alter their investments past, present, and future regardless of the Pillar II implementation timeline. At a time when costs are rising and low-income families and communities are being hit the hardest, the nation cannot afford to lose these critical investment tools.

Read Letter

Global Tax Deal Could Have ‘Disastrous Effects,’ Community Development Groups Say
Global Tax Rate May Hurt Muni Demand, Biden Floats Vague Fix
Learn More About Pillar II

Development Finance Solutions

for Building Back Better
Development Finance Solutions for Building Back Better
Policy Priorities for the Biden-Harris Administration

Access to affordable, flexible, and efficient public and private capital remains the primary barrier to economic development in the United States. Over the past four decades, federal support for capital formation and capital access has shifted from a heavily subsidized system to one focused on leverage, credit enhancement, and the removal of financing barriers. Despite this migration to a risk-reduced approach, access to capital for numerous sectors – small business, entrepreneurs, manufacturing, clean energy, agriculture, rural infrastructure, urban revitalization – remains a significant challenge.

The ideas offered in this paper provide a roadmap for the Biden-Harris Administration to use development finance solutions for building back better. These recommendations have been carefully crafted to address the multiple, interconnected challenges facing the U.S. economy. They focus on four key policy considerations:
  • Restore Local Economies
  • Preserve Small Businesses
  • Invest in Our Communities
  • Protect Our Environment
CDFA is prepared to assist the Biden-Harris Administration with developing the recommendations and opportunities outlined in this paper. We believe enacting these development finance solutions will immediately unlock capital to fuel investment, create jobs, build infrastructure, and increase the quality of life for every American.

Development Finance Solutions for Building Back Better

View Press Release

-CDFA Policy Agenda

Restore Local Economies

Restore Local Economies

The COVID-19 pandemic has exposed social and racial inequities and increasing income inequality in communities across the nation. In order to restore local economies, bedrock financing tools must be expanded and reformed to meet the needs of local governments to serve all residents and fuel local economic recovery. CDFA recommends:
  • Reforming Manufacturing and Agricultural Bonds - Passing the Modernizing Agricultural and Manufacturing Bonds Act will update the tax code's private activity bond rules for Industrial Development Bonds and Agricultural Bonds.

  • Creating Permanent Disaster Recovery Bonds - Create a permanent bond financing tool that can be accessed immediately after disaster strikes, and that can leverage private investment for longer-term redevelopment of essential infrastructure.

  • Reinstating Advance Refundings - Tax-exempt advance refunding bonds were used by local governments to refinance existing debt at lower interest rates - until they were removed by the 2017 Tax Cuts and Jobs Act. State and local governments need a low-cost option for refinancing their debt.

Preserve Small Businesses

Preserve Small Businesses

Small businesses have been disproportionately impacted by the COVID-19 pandemic, particularly those that are owned by persons of color or those that are located in low-income neighborhoods. If enacted, several policies would assist in the preservation of small businesses through locally-driven financing initiatives. CDFA recommends:
  • Reauthorize the State Small Business Credit Initiative - Reauthorizing the SSBCI program is a practical, pragmatic, and proven solution for helping America’s small businesses access low-cost capital.

  • Create Local Economy Preservation Funds (LEPFs) - LEPFs would allow states, cities or regions to establish holding trusts to acquire struggling, but viable, businesses that face closure, contraction or external acquisition during the crisis.

  • Strengthen the SBA Microloan Program - Reform the SBA Microloan Program to meet the urgent lending needs of small businesses while addressing the disproportionate impact of COVID-19 on minority-owned businesses.

  • Enact the RELIEF Act for Main Street - A Main Street Lending Program would provide funds to cities, counties, and states to seed and scale local small business relief funds that are flexible and can be tailored to meet local needs.

  • Enact the Farming Support to States Act - Provide funding to state departments of agriculture to support food and agriculture systems, enabling states to tailor their responses to meet the needs of their unique food systems.

Invest in Our Communities

Invest in Our Communities

Strong communities require investments in disadvantaged areas and sustainable infrastructure projects. Partnerships between the federal, state, and local governments must also exist. There are numerous policies that, if enacted, would ensure steady investment in communities that need it the most. CDFA recommends:
  • Reform Opportunity Zones - Conduct a thoughtful evaluation of how Opportunity Zones can be reformed to fulfill their promise of attracting long-term, patient capital to the places that need it most.

  • Permanently Authorize the New Markets Tax Credit - The New Markets Tax Credit program should be made permanent, as it is a vital tool to drive investment into communities struggling with unemployment, high poverty, and overall disinvestment.

  • Create Qualified Infrastructure Bonds - Qualified Infrastructure Bonds would allow municipalities to issue taxable bonds and receive a direct subsidy from the federal government equal to a percentage of the bond’s interest.

  • Create an Infrastructure Pre-Development Fund - A federal Infrastructure Pre-Development Fund would address long-term financing gaps while catalyzing public-private partnerships to support resilient, community-led infrastructure projects.

  • Create a Federal TIF Bond Guarantee Program - To overcome the challenge of issuing Tax Increment Finance (TIF) bonds, we advocate the creation of a federal bond credit enhancement program for bonds secured with revenue generated by a qualified TIF district.

  • Permanently Authorize the EB-5 Program - Permanently authorize the EB-5 Program to continue its success as a catalyst for direct foreign investment in American job-generating projects.

Protect Our Environment

Protect Our Environment

Climate change is rapidly accelerating and the wide-reaching impacts are being felt by all Americans. Several financing reforms must be immediately enacted in order to protect our environment and leave our planet in a better state for the future. CDFA recommends:
  • Enact the Investing in Competitive Clean Energy Act - The Investing in Competitive Clean Energy (ICCE) Act would be an efficient means of attracting significant private investment to clean energy.

  • Create a Bond Category for Electric Vehicle Charging Stations - The creation of a new Exempt Facility Bond category for vehicle recharging stations would complement existing federal programs by making bonds available for the rapid expansion of this type of clean energy infrastructure.

  • Make the Investment and Production Tax Credits Permanent - The Solar Investment Tax Credit (ITC) and Renewable Electricity Production Tax Credit (PTC) should be made permanent to ensure continued investment in clean, renewable energy technologies.

  • Remove Volume Cap from Water and Sewer Bonds - Water and sewer private activity bonds should be removed from state volume cap requirements to allow for more water and sewer infrastructure projects to be financed by bonds than is currently possible.

-Federal News

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-Legislative News

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-Legislation Tracker

CDFA tracks economic development legislation in Congress. Below you can see legislation relevant to development finance in the current Congress. Click on a legislative item to see a brief summary and learn more about it.

-H.R.7007 - COVID Supplemental Appropriations Act of 2022

View H.R. 7007 on Congress.gov
Fact Sheet for the Bipartisan COVID Supplemental Appropriations Act

  • The standalone Coronavirus Supplemental Appropriations Act provides $15.6 billion to continue managing the coronavirus pandemic in the United States and around the world. While it is partially offset by returning expired funds to the Treasury, it does not include any offsets from the State and Local Fiscal Relief Funds.
  • While it is partially offset by returning expired funds to the Treasury, it does not include any offsets from the State and Local Fiscal Relief Funds.

-The Opportunity Zones Transparency, Extension, and Improvement Act

U.S. Senators Cory Booker (D-NJ) and Tim Scott (R-SC) and U.S. Representatives Ron Kind (D-WI) and Mike Kelly (R-PA) introduced a bipartisan, bicameral bill reforming Opportunity Zones, the tax incentive for individuals who reinvest unrealized capital gains into high-impact projects in underserved communities.

View The Opportunity Zones Transparency, Extension, and Improvement Act Section-by-Section Summary
View The Opportunity Zones Transparency, Extension, and Improvement Act One-Pager
View The Opportunity Zones Transparency, Extension, and Improvement Act Full Text

The following measures are included in The Opportunity Zones Transparency, Extension, and Improvement Act:
  • Reinstating and expanding the reporting requirements that were present in the Investing in Opportunity Act (IIOA), the original stand-alone legislation that created Opportunity Zones, but were stripped out in the 2017 Tax Cuts and Jobs Act due to procedural rules.

  • Ending Opportunity Zones that are not impoverished. While the vast majority of Opportunity Zones are truly impoverished areas, the legislation would sunset a small percentage of Opportunity Zone designations for tracts with a median family income at or above 130 percent of the national median family income. States would be able to designate a new tract in high-need communities for every tract sunsetted under this provision.

  • Creating pathways for smaller-dollar impact investments by allowing Qualified Opportunity Funds (QOFs) to be organized as a "fund of funds" that may invest in other QOFs, providing smaller communities and projects with the financing they need.

  • Providing operating support and technical assistance to high-poverty and underserved communities through a State and Community Dynamism Fund. Flexible grants will help states drive private and public capital to underserved businesses and communities.

  • Extending the tax incentive for two years in order to facilitate continued investment. It took the Treasury Department nearly two years to issue final regulations governing Opportunity Zones, during which time many investors and stakeholders stayed on the sidelines awaiting clear rules for the policy. Extending the policy by an equal amount of time will help investors and communities fully use the tool as Congress intended -- which is especially important now with the economy in recovery from the impacts of the COVID-19 pandemic.

-H.R.5041 - GREATER Revitalization of Shopping Centers Act of 2021

View H.R. 5041 on Congress.gov

  • This bill allows the Department of Housing and Urban Development (HUD) to make matching grants for projects financed under the Section 108 Loan Guarantee Program in an effort to eliminate blight associated with abandoned shopping centers.
  • The Section 108 Loan Guarantee Program allows HUD to provide loan guarantees to participating Community Development Block Grant recipients. These loan guarantees assist those recipients in financing economic and community development projects.
  • The bill requires the Government Accountability Office to report on the effectiveness of the program and to recommend improvements.

-H.R.7078 - LIHTC Financing Enabling Long-term Investment in Neighborhood Excellence Act (LIFELINE)

    LIFELINE amends title VI of the Social Security Act to allow State and Local Fiscal Recovery Funds to be loaned for low-income housing tax credit projects.
  • This permit states, territories, and Tribal governments to use State and Local Fiscal Recovery Funds to finance qualified low-income housing projects (i.e., projects for residential rental property meeting certain income tests) with loans obligated by December 31, 2024, and having maturities of 30 or more years.

-S.3340 - Revitalizing Small and Local Businesses Act

View S. 3340 on Congress.gov

  • A bill to establish a competitive grant program to provide assistance to support small businesses and business district revitalization in low-income, rural, and minority communities, and for other purposes.
  • This bill would create a new program to infuse resources into national networks of local business district entities that support place-based entrepreneurship activities.
  • RSLBA offers an opportunity to expand inclusive access to EDA resources by leveraging the expertise of national nonprofit partners with deep connections to small businesses to provide on-the-ground economic assistance to our nation’s downtowns.

-Build Back Better Act

Several CDFA legislative priorities have been approved by the House Committee on Ways and Means to include in the Build Back Better Act. Notably, the bill includes CDFA's Modernizing Agricultural and Manufacturing Bonds Act. It also includes the restoration of Advance Refunding Bonds, a Bond Category for Electric Vehicle Charging Stations, a permanent extension to the New Markets Tax Credits, and much more.

Section-by-Section Summary of Subtitles F, G, H, & J
Full Text of Subtitle F - Infrastructure Financing
Full Text of the Build Back Better Act

The following measures are included in the Build Back Better Act:

Subtitle F - Infrastructure Financing and Community Development
Part 1 - Infrastructure Financing
  • Subpart A - Bond Financing Provisions

    • Sec. 135101. Credit to issuer for certain infrastructure bonds
      Based on the successful Build America Bonds program enacted in the 2009 American Recovery and Reinvestment Act, issuers of qualified infrastructure bonds would receive a tax credit equal to an applicable percentage of the interest, providing direct financing support for infrastructure investments made by state and local governments.

    • Sec. 135102. Advance refunding bonds.
      This provision would once again allow interest on advance refunding bonds issued by state and local governments to be exempt from tax. This provision applies to advance refunding bonds issued more than 30 days after date of enactment of this Act.

    • Sec. 135103. Permanent modification of small issuer exception to tax-exempt interest expense allocation rules for financial institutions.
      This provision revises the definition of qualified small issuers by increasing the $10 million limit to $30 million (indexed annually for inflation). In addition, this provision treats qualified 501(c)(3) bonds as tax-exempt obligations for purposes of the small issuer exception, and makes permanent certain rules related to qualified financings.

    • Sec. 135104. Modifications to qualified small issue bonds. (CDFA's Top Priority!)
      This provision expands the definition of eligible manufacturing facilities eligible for financing through qualified small issue bonds to include facilities used for the creation or production of intangible property, and facilities functionally related and subordinate (or directly related and ancillary) to facilities used for the manufacturing, creation, or productions of tangible or intangible property. This provision also raises the aggregate cap for prior issues from $10 million to $30 million, indexed annually for inflation.

    • Sec. 135105. Expansion of certain exceptions to the private activity bond rules for first-time farmers. (CDFA's Top Priority!)
      This provision increases the limitation on the exemption of the use of private activity bond proceeds for first-time farmers from $450,000 to $552,500, indexed annually for inflation. The provision also repeals the separate, lower dollar limitation on the purchase of used farm equipment.

    • Sec. 135106. Certain water and sewage facility bonds exempt from volume cap on private activity bonds.
      This provision exempts from the private activity bond volume cap exempt facility bonds for existing water and sewage facilities as of July 1, 2020.

    • Sec. 135107. Exempt facility bonds for zero-emission vehicle infrastructure.
      This provision expands the definition of exempt facility bond eligible for tax-exempt private activity bond financing to include any bond issued if 95 percent or more of the net proceeds are to be used to provide zero-emission vehicle infrastructure.
  • Subpart B – Other Provisions Related to Infrastructure Financing

    • Sec. 135111. Credit for operations and maintenance costs of government-owned broadband.
      This provision creates a 30% tax credit for State, local, and tribal governments for the operations and maintenance costs of government owned broadband systems.

    • Part 2 - New Markets Tax Credits
      • Sec. 135201. Permanent extension of new markets tax credit.
        This provision makes the New Markets Tax Credit program permanent. For the 2022 and 2023 allocation rounds, it provides an additional allocation amount of $2 billion (for a total of $7 billion in 2022) and $1 billion (for a total of $6 billion in 2023). It sets the allocation amounts at $5 billion for 2024 and all years thereafter. Beginning in 2024, it indexes the annual allocation amount to inflation. Finally, the provision provides AMT relief to taxpayers claiming the NMTC.

    • Part 3 - Historic Rehabilitation Tax Credit
      • Sec. 135301. Rehabilitation Tax Credit - Determination of credit percentage.
        This provision increases the historic rehabilitation tax credit (HTC) percentage from 20 percent to 30 percent for 2020 through 2025. The credit percentage is phased down to 26 percent in 2026, 23 percent in 2027, and returns to 20 percent in 2028 and thereafter.

      • Sec. 135302. Increase in the rehabilitation credit for certain small projects.
        This provision permanently increases the HTC percentage from 20 percent to 30 percent for certain smaller projects to ensure rural and non-urban areas have a better ability to take advantage of the credit.

      • Sec. 135303 - Sec. 135306. Other Modifications to the Rehabilitation Tax Credit.

  • Part 4 - Various Disaster Relief & Recovery Provisions

  • Part 5 - Housing
    • Sec. 135501. Increases in State allocations of the Low Income Housing Tax Credit (LIHTC)
      The provision increases the 9% housing credit and the small state minimum by 50 percent and phases in this increase over five years. In calendar years 2026 through 2028, the amounts are adjusted for inflation.

    • Sec. 135502. Tax-exempt bond financing requirement for LIHTC.
      This provision temporarily reduces the 50% requirement to 25%, to enable housing credit deals to unlock more 4% credits.

    • Sec. 135503. Buildings designated to serve extremely low-income households.
      The provision provides a 50% basis boost for LIHTC buildings that designate at least 20% of their occupied units for extremely low-income tenants and limit rent to no more than 30% of the greater of: 30% of area median income or the federal poverty line.

    • Sec. 135504. Inclusion of rural areas as difficult development areas.
      The provision gives states the ability to provide up to a 30 percent basis boost to properties in rural areas if needed for financial feasibility, by qualifying rural areas as Difficult Development Areas.

    • Sec. 135507. Increase in credit for bond-financed projects designated by housing credit agency.
      The provision modifies the rule which treats as difficult development areas for purposes of determining eligible basis, those buildings designated by housing credit agencies as requiring an increase in credit.

    • Sec. 135511. Neighborhood homes credit.
      This provision establishes a new federal tax credit to encourage the rehabilitation of deteriorated homes in distressed neighborhoods. States would receive Neighborhood Homes Investment Act (NHIA) tax credit authority and administer and allocate credits on a competitive basis.

  • Part 6 - Investments in Tribal Infrastructure
    • Sec. 135601. Treatment of Indian Tribes as States with respect to bond issuance.
      This provision amends rules related to the issuance of tax-exempt debt by Indian tribal governments. There is no volume cap for governmental bonds issued by an Indian tribal government. For private activity bonds, it instructs the Secretary to establish and allocate a national bond volume cap for such governments.

    • Sec. 135602. New markets tax credit for Tribal Statistical Areas.
      This provision creates a new, permanent, annual $175 million New Markets Tax Credit allocation for low-income communities in tribal areas and for projects that serve or employ tribe members.

    • Sec. 135603. Inclusion of Indian areas as difficult development areas for purposes of certain buildings.
      The provision modifies the definition of a Difficult Development Area (DDA) to automatically include projects located in an Indian area, making these projects eligible for the 30 percent basis boost.

  • Part 7. Investments in Territories
    • Sec. 135701. Possessions economic activity credit.
      This provision creates a new economic activity credit related to active businesses conducted in U.S. territories or possessions.

    • Sec. 135702. Additional new markets tax credit allocations for the territories.
      This provision creates a new, permanent, annual $100 million New Markets Tax Credit allocation for low-income communities in U.S. territories.

Subtitle G - Green Energy
Part 1 – Renewable Electricity and Reducing Carbon Emissions
  • Sec. 136101. Extension of credit for electricity produced from certain renewable resources.
    The provision extends the production tax credit (PTC), which allows energy producers to claim a credit based on electricity produced from renewable energy resources.

  • Sec. 136102. Extension and modification of energy credit.
    The provision extends the investment tax credit (ITC), which allows taxpayers to claim a tax credit for the cost of qualified energy property. In most cases, the provision extends the credit for property for which construction begins by the end of 2032, and then phases down the credit value over two years.

  • Sec. 136103. Increase in energy credit for solar facilities placed in service in connection with low-income communities.
    This provision provides for an enhanced incentive for solar facilities qualifying for the section 48 ITC with respect to which the Secretary makes an allocation of environmental justice solar capacity limitation.

  • Sec. 136106. Zero emissions facility credit.
    This provision provides for a 30% credit, to be allocated by the Secretary, for qualified investment with respect to any zero emissions facility of the taxpayer.

  • Sec. 136107. Extension of credit for carbon oxide sequestration.
    The provision extends the credit for carbon oxide sequestration facilities that begin construction before the end of 2031.

  • Sec. 136108. Green energy publicly traded partnerships.
    The provision expands the definition of qualified income for publicly traded partnerships from certain income derived from minerals and natural resources to include income derived from green and renewable energy.
Part 2 – Renewable Fuels
  • Sec. 136203. Sustainable aviation fuel credit.
    Beginning in 2023, this provision provides a refundable blenders tax credit for each gallon of sustainable aviation fuel sold as part of a qualified fuel mixture.

  • Sec. 136204. Clean Hydrogen.
    This provision creates a new tax credit for the production of clean hydrogen produced by a taxpayer at a qualified clean hydrogen facility beginning in 2022 during the ten year period beginning on the date such facility is placed in service.
Part 3 – Green Energy and Energy Efficiency Incentives for Individuals
  • Sec. 136304. Extension, increase, and modifications of new energy efficient home credit.
    The provision extends the Section 45L new energy efficient home credit through 2031.
Part 4 – Greening the Fleet and Alternative Vehicles
  • Sec. 136405. Alternative fuel refueling property credit.
    The provision extends the alternative fuel vehicle refueling property credit through 2031.
Part 5 – Investment in the Green Workforce
  • Sec. 136501. Extension of the advanced energy project credit.
    The provision revives the Section 48C qualified advanced energy property credit, allowing the Secretary to allocate an additional $2.5 billion in credits for each year from 2022 through and including 2031.
Part 6 – Environmental Justice
  • Sec. 136601. Qualified environmental justice program credit.
    The provision creates a capped refundable competitive credit of $1 billion for each year from 2022 through and including 2031 to institutions of higher education for environmental justice (EJ) programs.

-H.R. 2737 - The Modernizing Agricultural and Manufacturing Bonds Act (MAMBA)

Learn more about MAMBA
    MAMBA modifies Small Issue Industrial Development Bonds and Agricultural Bonds by:
  • Expanding the definition of “manufacturing facility”
  • Eliminating restrictions on “directly related & ancillary facilities”
  • Increasing the maximum IDB size limitation to $30 million
  • Increasing the limitation on small issue bond proceeds for first-time farmers
  • Repealing the separate dollar limitation on the use of small issue bond proceeds for depreciable property
  • Modifying the definition of “substantial farmland”

-S. 258 - Small Business Access to Capital Act

View S. 258 on Congress.gov
Learn More about SSBCI
The Small Business Access to Capital Act – which Peters and Stabenow previously introduced in 2020 – builds on the initial program's success by providing $10 billion of new funding split into two categories: $5 billion in formula funds to all states and an additional $5 billion pool of competitive funding.

-S.3011 - State, Local, Tribal, and Territorial Fiscal Recovery, Infrastructure, and Disaster Relief Flexibility Act

View S. 3011 on Congress.gov
Analysis of the Act
  • allows states, tribes, territories, and localities to use certain COVID-19 relief funds for new categories of spending, including for natural disasters and infrastructure projects.
  • recipients may use funds for emergency relief from natural disasters and associated negative economic impacts of natural disasters.
  • recipients may use a portion of their COVID-19 relief funds for designated infrastructure projects, such as nationally significant freight and highway projects.
  • allows recipients to expend COVID-19 relief funds on these types of infrastructure projects until September 30, 2026.
  • modifies eligibility and allocation requirements for funding set aside for counties and Indian tribes that are near public lands.
  • allows Indian tribes an additional year to expend their COVID-19 relief funds.
  • establishes a process for government entities to decline COVID-19 relief funds and requiring any declined funds to be used to reduce the federal deficit.

-S. 831: EB-5 Reform and Integrity Act of 2021

View S. 831 on Congress.gov
Full Text of S. 831
Section-by-Section Summary
Sign on to the Coalition to Save & Create Jobs (CSCJ) to support the future of EB-5. CSCJ is working with Congress to reauthorize EB-5 before the June 30, 2021 sunset date and to save the tens of thousands of American jobs and billions of dollars in economic development funds that would be lost if the Program sunsets. Join the Coalition today or contact info@saveandcreatejobs.org for more information.
  • Reauthorizes the EB-5 Program through 2026
  • Requires Regional Centers to provide annual statements to DHS and to their investors accounting for investor capital and certifying compliance with program requirements
  • Requires Regional Centers to utilize a fund administrator or commission an independent annual audit to prevent the misuse of investor funds
  • Provides additional protections for investors who were defrauded
  • Seeks to address processing times by commissioning a fee study within a year of passage

-H.R. 1321 and S. 456 - New Markets Tax Credit Extension Act of 2021

View H.R. 1321 on Congress.gov
View S. 456 on Congress.gov
View the Full Text
  • Permanently extends the New Markets Tax Credit (NMTC)
  • Authorizes the NMTC at $5 billion in annual credit authority
  • Adjusts the amount for inflation in future years
  • Exempts NMTC investments from the Alternative Minimum Tax

-S. 1403 - Move America Act

Section-by-Section Summary
Full Text
View on Congress.gov
  • Move America Bonds – Allows states to issue tax-exempt bonds in partnership with private entities, lowering their overall borrowing cost
    • States wishing to expand a variety of infrastructure projects would be provided with the option to use Move America Bonds
    • Each state would receive a bond allocation, based on population size
  • Move America Credits – Allows smaller states hesitant to issue more debt, or who are looking to leverage more private equity, the ability to trade in some or all of their bond allocation for federal tax credits at a 25 percent rate
    • Credits are available for direct investment in a project, reducing capital costs and expanding the potential investment pool
    • States can elect to use the credits to capitalize state infrastructure banks or other infrastructure revolving funds, allowing greater usage of the credit on non-revenue projects
    • Move America Credits can be used in conjunction with Move America Bonds or other federal grant or credit assistance programs, like TIFIA

-H.R. 3633 - Greener Transportation for Communities Act

Learn More
View on Congress.gov
  • Allows electric charging and hydrogen refueling infrastructure to qualify for exemptions within the federal tax code, which allows state and local governments to use tax-exempt bonds to finance certain private projects.
  • Allow this infrastructure to qualify as tax exempt if it is installed as part of larger projects built with private activity bonds as part of major infrastructure projects like airports, affordable housing, docks, green buildings and other infrastructure.

-H.R. 848 - GREEN Act

Section-by-Section Summary
Full Text
  • Extends the 30% ITC for solar and geothermal through the end of 2025, before beginning a phasedown
  • The Section 179D energy-efficient commercial buildings deduction would increase from $1.80 to $3 per square foot starting in 2022
  • Section 45L new energy-efficient home credit would be extended through 2026
  • Extends the PTC for wind energy at the current level of 60% through the end of 2026
  • Extends PTC for landfill gas, trash, qualified hydropower, and marine and hydrokinetic renewable energy facilities

-S.1308 - American Infrastructure Bonds Act of 2021

View S. 1308 on Congress.gov
One-Page Summary
Full Text
  • AIBs would allow state and local governments to issue taxable bonds for any public purpose expenditure that is eligible to be financed with tax-exempt bonds.
  • AIBs would be modeled as a “direct-pay” taxable bond. The Treasury Department would make direct payments to the issuer of the bonds at a rate of 28 percent.
  • Improving upon BABs, AIBs would be available to all state and local governments to use as they determine what is best for them.
  • Unlike BABs, AIBs would be exempt from sequestration and the bonds would be available for additional uses in addition to capital improvements.
  • AIBs could be used for any expenditure that is eligible to be financed with tax-exempt bonds

-S.479 - LOCAL Infrastructure Act

View S. 479 on Congress.gov
Learn More at GFOA
  • Reinstates Advance Refunding Bonds

-H.R. 970 - Opportunity Zone Extension Act of 2021

View H.R. 970 on Congress.gov
  • extends the Opportunity Zones elective period until December 31, 2028;
  • extends the Opportunity Zones deferral period until December 31, 2028;

-H.R.1396 - Public Buildings Renewal Act of 2021

View on Congress.gov
View the Full Text
  • Allows tax-exempt financing of certain government-owned buildings by expanding the definition of exempt facility bond to include bonds used for qualified government buildings.
  • A qualified government building is a government-owned building or facility that consists of one or more of the following:
    • an elementary or secondary school;
    • facilities of a state college or university used for educational purposes;
    • a public library;
    • a court;
    • hospital, health care, laboratory, or research facilities;
    • public safety facilities; or
    • offices for government employees.
  • Excludes buildings or facilities that include specified recreational equipment or are used for the primary purpose of providing retail food and beverage services, recreation, or entertainment.
  • Establishes a $5 billion limit on the amount of tax-exempt financing which may be provided for government buildings
  • Establishes procedures for allocating and applying for the financing of a building, including a certification that the project owner will use reasonable efforts to ensure against job losses
  • Allows an exemption from the volume cap for private activity bonds used to finance government buildings.

-S. 98 - Neighborhood Homes Investment Act

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  • creates a federal tax credit that covers the cost between building or renovating a home in these areas and the price at which they can be sold;
  • requires that homes constructed or revitalized under the program must be sold to homeowners making less than 140 percent of the area median income;
  • The maximum credit amount is the lesser of 35% of total development costs (property acquisition plus construction and/or rehabilitation cost) or 80% of the national median home sale price;
  • credits are awarded to project sponsors—developers, lenders, or local governments—through a competitive statewide application process administered by each state’s housing finance agency;
  • State agencies would have annual allocation of either $6 per capita or $8 million, whichever is higher.

-S.2820 - Decent, Affordable, Safe Housing for All (DASH) Act

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Section-by-Section Summary
  • Provides $10 billion for the Housing Trust Fund over 10 years;
  • Provides $65 million a year for 5 years for the administrative and capacity-building needs of the states housing needs;
  • Authorizes $10 million over 5 years for a Modular Construction Pilot Program
  • Permanent Reauthorization of the Multi-Family Preservation and Revitalization (MPR) program
  • Extend Deadline for Rehabilitation Expenditures for LIHTC Projects
  • Extend Deadline for Basis Expenditures for up to 3 Years
  • Lowers the “financed-by” threshold from 50% to 25% for private activity bond financed housing for 3 years;
  • Increase in 9% LIHTC allocations;
  • 50% Basis Boost for Projects Serving Extremely Low-Income Households and 10% Set-Aside;
  • Inclusion of Indian & Rural Areas as Difficult Development Areas;
  • Increase in Credit for Bond-Financed Projects Designated by Housing Credit Agency;
  • Repeal Qualified Contracts to Preserve LIHTC Affordable Housing;
  • Adjustment of Credit to Provide Relief During COVID-19 Outbreak
  • Credit for Low-Income Housing Supportive Services
  • Establishes a new Middle Income Housing Tax Credit (MIHTC)
  • Establishes provisions in the Neighborhood Homes Investment Act (NHIA)
  • Establishes a First-time Homebuyer Refundable Credit

-S. 1136 and H.R. 2573 - Affordable Housing Credit Improvement Act of 2021

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  • lower the financed-by threshold for private activity bonds (50% test) from 50% to 25% starting in 2022;
  • increase 9% LIHTC authority by 25% in 2021 and 2022;
  • extend the discretionary 30% basis boost for 9% LIHTC properties to PAB-financed properties
  • provide a 30% basis boost for properties in rural and Native American areas;

-H.R.806 - Clean Energy and Sustainability Accelerator Act

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  • Establish an independent non-profit capitalized with $50 billion initially, and then with an additional $10 billion every year for five years.
  • Provide financing to eligible regional, state and local green banks, make investments directly into projects that reduce carbon emissions, support workers and communities negatively impacted by the climate transition, and provide technical assistance for the start up of new green banks around the United States.
  • Require that 40 percent of all investments be directed into disadvantaged communities facing climate impacts.

-S. 203 - Healthy Food Access for All Americans Act

Section-by-Section Summary
Full Text
  • Create a 15% tax credit for new grocery store construction in a food desert
  • Create a 10% tax credit for companies that retrofit an existing store’s healthy food section in a food desert
  • Create a grant for 15% of construction costs for certified food banks that build new permanent structures in food deserts
  • Create a grant for 10% of annual operating costs for nonprofit certified temporary access markets, such as farmers markets, mobile markets and some food banks, that operate in a food desert.

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