Cities are encouraged to reach out to their legislators this week to convey the importance of the affordable housing tax credit.
As the Senate Omnibus Tax Bill comes together, the League of Minnesota Cities is encouraging cities to reach out to key legislators this week to convey support for the inclusion of the affordable housing tax credit.
It is critical that your senator and members of the Senate Taxes Committee hear from cities about why the affordable housing tax credit will support city efforts to address locally identified housing needs.
The tax credit proposal, SF 1866 and HF 1971 (Sen. Carla Nelson, R-Rochester, and Rep. Mike Howard, DFL-Richfield), would provide an innovative new tool to incentivize private investment in housing and support local economic development. The League fully supports the tax credit, and we need your help during this critical time to ensure its inclusion in the omnibus tax bill.
Key points to include in your outreach to legislators:
- Please include and fund the Minnesota affordable housing tax credit (SF 1886/HF 1971) in the omnibus tax bill.
- The Minnesota affordable housing tax credit would provide a critical new tool to bolster local government resources for housing and incentivize more public-private partnerships to address housing needs in all communities.
- For every $25 million in tax credits under the proposal, 1,700 homes could be rehabilitated, or 700 new affordable homes/units could be built.
- The tax credit will stimulate affordable and workforce housing production and is flexible enough to be tailored to the different housing markets and local housing needs.
- The tax credit model has proven successful in other jurisdictions, and more tools to support local efforts are desperately needed to address housing needs in our city.