Episode 82: HUD FY2027 Budget: Cuts, Work Requirements, and CDBG End

Episode 88: Carey and Panetta Introduce 5-Year LIHTC Carryback Bill

Representatives Mike Carey (R-OH) and Jimmy Panetta (D-CA) have introduced the Affordable Housing Credit Carryback Act (H.R. 9012), a bipartisan standalone bill that would allow Low-Income Housing Tax Credit investors to carry back unused credits up to five years against prior tax liability. For LIHTC investors, syndicators, and developers, the proposal addresses a structural limitation in the current tax code that constrains investor absorption capacity and deal pricing. Key Takeaways: * H.R. 9012 would permit 5-year carrybacks of unused LIHTC against prior-year tax liability — a mechanism currently unavailable for the Housing Credit. * The current code allows only 20-year carryforwards, which defers value and reduces capital efficiency for investors who hit absorption ceilings in a given year. * A carryback mechanism can generate immediate tax refunds rather than stranded credits, improving investor liquidity and willingness to commit capital. * Improved investor absorption capacity is a direct input to credit pricing — better pricing at the deal level helps developers close financing gaps in a high-cost construction environment. * The bill was introduced with bipartisan support: Rep. Carey sits on the House Ways and Means Committee, giving the bill a sponsor with direct committee standing. * H.R. 9012 has been referred to Ways and Means — the same committee that would handle any broader tax legislation where this provision could be incorporated. * The bill may move as a standalone measure or be folded into a larger tax package; either path requires early engagement from industry stakeholders. The Affordable Housing Credit Carryback Act is early-stage legislation, but it targets a real friction point that the LIHTC investor community has long identified. With a Republican co-sponsor on Ways and Means and a bipartisan House introduction, the bill has a credible path to at least a committee hearing. Developers, syndicators, and lenders should monitor the Ways and Means calendar closely and engage their congressional contacts now — particularly as broader tax legislation remains active in the current session. Subscribe to The Spring Street Brief for daily updates on affordable housing in America.

Episode 87: HUD Trims Environmental Review for Large Projects

HUD has published an interim rule eliminating the final clearance-officer approval step in its environmental review process for large federally assisted multifamily projects — those with more than 200 units or a mortgage above $5 million. The rule takes effect June 22, with a public comment period open through July 21. For LIHTC developers, syndicators, and lenders navigating tight closing timelines, the change removes a late-stage regulatory bottleneck that HUD itself acknowledges can jeopardize deals. Key Takeaways: * The interim rule removes the final HUD clearance-officer approval for multifamily projects with 200+ units or a mortgage above $5 million receiving federal assistance. * Effective date is June 22; public comments are due by July 21 — a real opportunity to shape whether the rule is finalized as written. * HUD argues the requirement — added by a single sentence in 1996 to a 1971 rule — is not statutorily required and duplicates earlier review steps. * The change is framed under Trump's Unleashing American Energy executive order, part of a broader agency-wide deregulatory push. * Secretary Turner has also rolled back eviction-related rules and energy-efficiency standards, establishing a consistent pattern of regulatory rollback on the production side. * Two March executive orders further direct agencies to eliminate development barriers and ease community bank mortgage underwriting restrictions. * Developers with deals currently in the HUD environmental review pipeline should confirm with counsel how the June 22 effective date applies to in-process transactions. The administration is building a deregulatory posture on housing production that, for LIHTC professionals, has tangible deal-level implications. The comment period is open and data-driven submissions from developers and lenders who have experienced timeline disruptions from the current clearance-officer step could directly influence the final rule. Watch for further regulatory rollbacks as HUD continues reshaping its operating framework under Secretary Turner. Subscribe to The Spring Street Brief for daily updates on affordable housing in America.

Episode 86: Ohio Awards $39.1M in 9% Tax Credits for 2026

The Ohio Housing Finance Agency has awarded more than $39.1 million in 9% Low-Income Housing Tax Credits for 2026, issuing conditional commitments to 25 developments across the state. The awards represent a full annual credit round for Ohio, with projects spanning new construction and preservation of affordable rental housing for low- to moderate-income residents. For investors, syndicators, lenders, and developers active in the Ohio market, the announcement signals the start of active equity and construction finance negotiations for a competitive slate of deals. Key Takeaways: * OHFA awarded more than $39.1 million in annual 9% LIHTC credits for the 2026 round — roughly $391 million in gross ten-year credit authority before pricing. * 25 developments received conditional commitments, averaging just under $1.6 million in annual credits per project. * Awards are conditional commitments from the OHFA Board — carryover agreements have not yet been executed, placing projects in the document and due diligence phase. * Equity investors who pre-screened 2026 Ohio deals should expect formal term sheet activity to accelerate in the near term; the window to enter specific transactions is narrowing. * OHFA's QAP priorities — community revitalization areas, deepest income targeting, and rental assistance pairings — shaped competitiveness in this round and will continue to do so in future cycles. * Developers who did not receive 2026 awards should analyze this cycle's scoring outcomes now to strengthen positioning before the 2027 round opens. * Ohio's oversubscribed round reflects national trend: 9% credit demand consistently exceeds state allocation authority across virtually every HFA. Ohio remains one of the more active Midwestern states for affordable housing tax credit investment, and the 2026 round reinforces that pipeline depth. Syndicators and lenders not already engaged with these 25 projects should move quickly. For developers and policy stakeholders, the award list is the most current read on how OHFA is operationalizing its QAP priorities when supply is constrained — study it before the next allocation cycle begins. Subscribe to The Spring Street Brief for daily updates on affordable housing in America.

Episode 85: 21st Century ROAD to Housing Act Heads to House Floor

The House Financial Services Committee released an updated version of the 21st Century ROAD to Housing Act, and the full House is expected to vote on the bill today — notably without the SAVE America Act attached, despite President Trump calling for its inclusion. For LIHTC investors, developers, syndicators, and lenders, the decision to decouple these two measures is the critical signal: the affordable housing finance provisions now have a chance to move on their own terms, at least through the House. Key Takeaways: * The House Financial Services Committee released an updated version of the 21st Century ROAD to Housing Act ahead of today's floor vote. * The bill is advancing without the SAVE America Act, despite explicit pressure from President Trump via social media — a significant procedural decision by House leadership. * Decoupling the SAVE America Act removes a potential complicating rider from the affordable housing finance provisions in the ROAD Act. * A clean House passage would strengthen the bill's posture heading into the Senate, where it will face pressure within a broader reconciliation framework. * Prior versions of the ROAD Act have included provisions relevant to LIHTC deal structures, bond financing, and HUD program administration — making floor amendments today a key watch item. * Any modification to the tax title or housing finance provisions during floor consideration could affect deal pricing and credit assumptions for transactions in the pipeline. * If the bill passes the House, attention shifts immediately to Senate Finance and the question of what survives a conference process. The next 48 hours are a genuine inflection point for affordable housing legislation in this Congress. A successful House vote without the SAVE America Act sets up a cleaner Senate fight — but the Senate's reconciliation environment remains unpredictable. Developers and investors with active deal timelines should stay close to their government relations contacts and monitor floor amendments in real time. What passes the House today shapes the negotiating baseline for everything that follows. Subscribe to The Spring Street Brief for daily updates on affordable housing in America.

Episode 84: HUD PIH Releases FY 2026 HCV Funding Allocations

HUD's Office of Public and Indian Housing has published its FY 2026 Housing Choice Voucher funding allocation notice, introducing targeted policy changes to Housing Assistance Payments and Administrative Fees. While the notice largely mirrors the FY 2025 framework, the adjustments carry direct implications for PHA administrative capacity, project-based voucher deal underwriting, and voucher lease-up timelines across the country. Key Takeaways: * PIH's FY 2026 HCV allocation notice is now published and effective — deal teams should update pro formas accordingly. * Policy changes are concentrated in two areas: Housing Assistance Payments (HAP) and Administrative Fees. * HAP funding levels set the ceiling on rent subsidies in PBV transactions closing or renewing in FY 2026 — high-cost metro deals are most exposed to compression risk. * Administrative fee rates directly affect PHA capacity to run PBV solicitations, process inspections, and advance LIHTC layered closings. * Historically, underfunded administrative fees have caused PHAs to slow-walk new PBV commitments, creating mid-year closing risk for developers and lenders. * The publication of formal allocation guidance signals administrative continuity at the program level despite ongoing congressional budget uncertainty. * PHAs should assess administrative capacity against the new fee parameters before committing to new PBV solicitations in the second half of 2026. This notice lands at a critical moment for voucher-dependent affordable housing pipelines. Developers, syndicators, and lenders with active PBV deals should reconcile FY 2026 HAP and administrative fee parameters against existing underwriting assumptions immediately. PHAs weighing new solicitations should model administrative fee sufficiency before making commitments they may not be able to operationalize. Subscribe to The Spring Street Brief for daily updates on affordable housing in America.