LIFELINE Act

Issues/Topics Affordable housing Housing finance reform Housing vouchers Rental assistance Low-income housing tax credit Fair housing Public housing Foreclosure/eviction prevention Disaster recovery Zoning reform Construction innovation Community Development Block Grant Disaster Recovery Bills H.R. 2573 / S. 1136, the Affordable Housing Credit Improvement Act H.R. 6880 / S. 1820, the Choice in Affordable Housing Act H.R. 492, the Supporting Veteran Families in Need Act H.R. 876 / S.612, the Improving Housing Outcomes for Veterans Act H.R. 1257, the Homeless Veterans CREDIT Act H.R. 2419, the Affordable Housing for Homeless Veterans Act S. 1838, the Building Credit Access for Veterans Act S. 2172, the Building Solutions for Veterans Experiencing Homelessness Act H.R. 240, the Homeless Veterans with Children Reintegration Act H.R. 5606, the Return Home to Housing Act H.R. 5376, the Build Back Better Act H.R. 5301, To amend title 38, United States Code H.R. 4707 / S. 2471, the Reforming Disaster Recovery Act S. 2182, the Eviction Crisis Act H.R. 4495, the Down Payment Toward Equity Act H.R. 1728, the Investment and Strategy in Rural Housing Preservation Act S. 1991, the Family Stability and Opportunity Vouchers Act H.R. 2143 / S. 98, the Neighborhood Home Investment Act S. 2190, the Task Force on the Impact of the Affordable Housing Crisis Act S. 902, the Housing Supply and Affordability Act S. 2797, the LIFT Homebuyers Act S. 4445, the Affordable Housing Bond Enhancement Act H.R. 3323 / S. 1684, the Federal Home Loan Banks' Mission Implementation Act H.R. 7078 / S. 4181, the LIFELINE Act H.R. 5376, the Reduction Act

Client expense: $870,000 · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, SENATE

H.R. 8254 Financial Services Appropriations FY 2023 H.R.8294 T-HUD Appropriations FY 2023 H.R.7327 Protecting Rural Renters Act of 2022 S.4181 LIFELINE Act H.R.7078 LIFELINE Act H.R. 2617 Consolidated Appropriations Act, 2023

Client expense: $570,000 · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, SENATE

Affordable Housing Homelessness LIFELINE Act (H.R. 7078 and S.4181) Affordable Housing Credit Improvement Act of 2021 (S. 2573)

Client expense: Not reported · Firm income: $7,500

Government targets: HOUSE OF REPRESENTATIVES, Housing & Urban Development, Dept of (HUD), SENATE

Affordable Housing Homelessness LIFELINE Act (H.R. 7078 and S. 4181)

Client expense: Not reported · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, Housing & Urban Development, Dept of (HUD), SENATE

Monitoring H.R. 1868 To prevent across-the-board direct spending cuts, and for other purposes Support H.R. 1319 American Rescue Plan Act of 2021 Fiscal Year 2022 Budget Request for the Department of Housing and Urban Development S580 Affordable Housing Redevelopment Act HR 1 For the People Act 2021 Monitoring HR3580 Monitoring S1674 Affordable Housing Production Act Monitoring HR3279 HUD Inspection Oversight Act of 2021 Monitoring HR2851 Affordable Housing Preservation Act of 2021 Monitoring HR2768 American Housing and Economic Mobility Act of 2021 Support HR1904 Broadband Justice Act of 2021 Support HR1947 Ensuring a Long-Term Housing Recovery Act of 2021 Support HE 2126 Housing Supply and Affordability Act Support HR2200 Housing Accountability Act of 2021 Monitoring HR2573 Affordable Housing Credit Improvement Act of 2021 Monitoring 2768 American Housing and Economic Mobility Act of 2021 Monitoring 2851 Affordable Housing Preservation Act of 2021 Monitoring 3279 HUD Inspection Oversight Act of 2021 Support HR3555 Voters on the Move Registration Act of 2021 Support HR 3772 Housing Is a Human Right Act of 2021 Support HR 4237 Tenant Empowerment Act of 2021 Tenant Empowerment Act of 2021 Support HR 4497 Housing is Infrastructure Act of 2021 Housing is Infrastructure Act of 2021 Support HR 4502 Labor, Health and Human Services, Education, Agriculture, Rural Development, Energy and Water Development, Financial Services and General Government, Interior, Environment, Military Construction, Veterans Affairs, Transportation, and Housing and Urban Development Appropriations Act, 2022 Support HR 4550 Transportation, Housing and Urban Development, and Related Agencies Appropriations Act, 2022 Monitoring HR 5361 We Need Eviction Data Now Act of 2021 Monitoring HR 5385 Affordable HOME Act Affordable Housing Opportunities Made Equitable Act Support S1820 Choice in Affordable Housing Act of 2021 Support S 2234 Affordable HOME Act Affordable Housing Opportunities Made Equitable Act Support S2820 DASH Act Decent, Affordable, Safe Housing for all Act Support S769 Housing Fairness Act of 2021 Support S 4181 LIFELINE Act LIHTC Financing Enabling Long-term Investment in Neighborhood Excellence Act Support HR8866 Expanding Service Coordinators Act Support HR8778 Home Internet Accessibility Act Support HR7981 Public and Federally Assisted Housing Fire Safety Act of 2022 Support HR6528 Housing Temperature Safety Act of 2022 Support HR3111 Grandfamily Housing Act of 2021

Inflation Reduction Act of 2022 (version released July 27, 2022 as a draft Senate amendment in a nature of a substitute to H.R. 5376), Title 1 -- Committee on Finance, Subtitle A -- Deficit Reduction, Part 1 -- Corporate Tax Reform, Section 10101: Corporate Alternative Minimum Tax; and Part 2 -- Closing the Carried Interest Loophole, Section 10201: Modification of Rules for Partnership Interests Held in Connection with the Performance of Services; Part 3 -- Clean Energy and Efficiency Incentives for Individuals, Section 13303: Energy Efficient Commercial Buildings Deduction and Section 13304: Extension, Increase, and Modifications of New Energy Efficient Home Credit. Build Back Better / Reconciliation Legislation Revenue Raisers Oppose inclusion of proposals in any reconciliation bill to: (1) expand the 3.8 percent net investment income tax to active income; (2) expand and extend a provision limiting the use of excess business losses by non-corporate taxpayers; or (3) modify the tax treatment of carried interest. Carried interest: NMHC believes that carried interest should be treated as a long-term capital gain if the underlying asset is held for at least one year. Like-Kind exchanges: NMHC supports retaining current law Low-Income Housing Tax Credit and Middle-Income Housing Tax Credit S. 2820, Decent, Affordable, Safe Housing for All Act (DASH Act), to provide rental housing vouchers for the homeless, and for other purposes, Title I -- Housing Assistance, Subtitle A -- General Housing Assistance, Section 111: Rental Vouchers for the Homeless, portion of section pertaining to source of income rules; Title II -- Revenue Provisions: Sections 201-214 pertaining to the Low-Income Housing Tax Credit, Section 215 establishing a renter's tax credit, and Section 216 establishing a middle-income housing tax credit. Draft legislation, to amend the Internal Revenue Code of 1986 to establish a Workforce Housing Tax Credit, and for other purposes, all provisions. H.R. 2573, Affordable Housing Credit Improvement Act of 2021, to reform the low-income housing credit, and for other purposes, all provisions. S. 1136, Affordable Housing Credit Improvement Act of 2021, to reform the low-income housing credit, and for other purposes, all provisions. Extension of Expired Low-Income Housing Tax Credit Allocation Authority: NMHC supports extending the 12.5 increase in LIHTC credit authority available in 2018-2021. H.R. 7078, LIHTC Financing Enabling Long-term Investment in Neighborhood Excellence (LIFELINE) Act, to amend title VI of the Social Security Act to allow coronavirus State and local fiscal recovery funds to be used for low-income housing credit projects, all provisions. S. 4181, LIHTC Financing Enabling Long-term Investment in Neighborhood Excellence (LIFELINE) Act, to amend title VI of the Social Security Act to allow coronavirus State and local fiscal recovery funds to be used for low-income housing credit projects, all provisions. Monitored possible issuance of final rule on Low-Income Housing Tax Credit Average Income Test: Department of the Treasury, Internal Revenue Service, 26 CFR Part 1, REG-119890-18, RIN 1454 BO92, Section 42, Low-Income Housing Credit Average Income Test Regulations. Issues, including FHFA's duty to serve regulatory activities, pertaining to the preservation of LIHTC properties at the end of the 15-year compliance period: nonprofit partners ability to exercise right of first refusal, and the issue of qualified contracts. Monitored mitigation of potential negative impact of OECD Pillar 2 global minimum tax on Low-Income Housing Tax Credit. Bonus Depreciation Support extension of 100 bonus depreciation that expires at the end of 2022. Rehabilitation Tax Credit H.R. 1483, Revitalizing Economies, Housing, and Businesses Act of 2021 or the REHAB Act of 2021, to amend the Internal Revenue Code of 1986 to modify the rehabilitation credit, all provisions. Federal tax policies impacting the conversion of property (e.g., conversion of office buildings into housing) H.R. 4759, Revitalizing Downtowns Act, to amend the Internal Revenue Code of 1986 to provide an investment credit for the conversion of office buildings into other uses, all provisions. S. 2511, Revitalizing Downtowns Act, to amend the Internal Revenue Code of 1986 to provide an investment credit for the conversion of office buildings into other uses, all provisions. Made proposal to enable jurisdictions that reduce zoning barriers to use tax-exempt bonds to encourage repurposing of non-residential properties into housing. Opportunity Zones H.R. 7467, Opportunity Zones Transparency, Extension, and Improvement Act, to amend the Internal Revenue Code of 1986 to modify the rules relating to qualified opportunity zones, and for other purposes, all provisions. S. 4065, Opportunity Zones Transparency, Extension, and Improvement Act, to amend the Internal Revenue Code of 1986 to modify the rules relating to qualified opportunity zones, and for other purposes, all provisions. Support reducing the basis increase necessary to qualify a multifamily rehabilitation project for Opportunity Zone purposes. Energy Tax Incentives New Energy Efficient Homes Credit (IRC Section 45L) NMHC supported making permanent the New Energy Efficient Homes Credit as it existed prior to modification and extension as part of the Inflation Reduction Act. Energy Efficient Commercial Buildings Deduction (IRC Section 179D): NMHC supported expansion of the Energy Efficient Commercial Buildings Deduction to encourage retrofits of existing property, which would help spur investment in energy efficient improvements in older buildings. The Inflation Reduction Act addressed this issue. Taxation of Pass-Through Entities Senator Wyden Pass-Through Reform Discussion Draft, all provisions.

Issues/Topics Affordable housing Housing finance reform Housing vouchers Rental assistance Special purpose credit programs Low-income housing tax credit Fair housing Public housing Foreclosure/eviction prevention Disaster recovery Zoning reform Construction innovation Bills H.R. 2573 / S. 1136, the Affordable Housing Credit Improvement Act H.R. 6880 / S. 1820, the Choice in Affordable Housing Act H.R. 492, the Supporting Veteran Families in Need Act H.R. 876 / S.612, the Improving Housing Outcomes for Veterans Act H.R. 1257, the Homeless Veterans CREDIT Act H.R. 2419, the Affordable Housing for Homeless Veterans Act S. 1838, the Building Credit Access for Veterans Act S. 2172, the Building Solutions for Veterans Experiencing Homelessness Act H.R. 240, the Homeless Veterans with Children Reintegration Act H.R. 5606, the Return Home to Housing Act H.R. 5376, the Build Back Better Act H.R. 5301, To amend title 38, United States Code H.R. 4707 / S. 2471, the Reforming Disaster Recovery Act S. 2182, the Eviction Crisis Act H.R. 4495, the Down Payment Toward Equity Act H.R. 1728, the Investment and Strategy in Rural Housing Preservation Act S. 1991, the Family Stability and Opportunity Vouchers Act H.R. 2143 / S. 98, the Neighborhood Home Investment Act S. 2190, the Task Force on the Impact of the Affordable Housing Crisis Act S. 902, the Housing Supply and Affordability Act S. 2797, the LIFT Homebuyers Act S. 4445, the Affordable Housing Bond Enhancement Act H.R. 3323 / S. 1684, the Federal Home Loan Banks' Mission Implementation Act H.R. 7078 / S. 4181, the LIFELINE Act H.R. 5376, the Inflation Reduction Act

Client expense: $860,000 · Firm income: Not reported

H.R. 8254 Financial Services Appropriations FY 2023 H.R.8294 T-HUD Appropriations FY 2023 H.R.7327 Protecting Rural Renters Act of 2022 S.4181 LIFELINE Act H.R.7078 LIFELINE Act

Client expense: $520,000 · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, SENATE

H.R. 4495 - Downpayment Toward Equity Act of 2021 H.R. 8357 - Rent Relief Act of 2022 H.R. 3172 - HELPER Act of 2021 S. 98 - Neighborhood Homes Investment Act S. 4728 - Rent Relief Act of 2022 S. 4181 - LIFELINE Act S. 1820 - Choice in Affordable Housing Act S. 4722 - American Dream Down Payment Act of 2022 S. 4737 - Housing Market Transparency Act S. 2981 - HELPER Act of 2021 PN1519 - Nomination of David Uejio to be Assistant Secretary of Housing and Urban Development PN433 - Nomination of Solomon Jeffrey Greene to be Assistant Secretary of Housing and Urban Development PM767 - Nomination of Julia Gordon to be Assistant Secretary of Housing and Urban Development PN1491 - Nomination of Sandra L. Thompson to be Director of the Federal Housing Finance Agency Legislation related to real estate property valuation.

Client expense: $30,000 · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, SENATE

Affordable Housing Homelessness LIFELINE Act (H.R. 7078 and S.4181) Affordable Housing Credit Improvement Act of 2021 (S. 2573) Build Back Better Act (H.R. 5376)

Client expense: Not reported · Firm income: $7,500

Government targets: HOUSE OF REPRESENTATIVES, Housing & Urban Development, Dept of (HUD), SENATE

Affordable Housing Homelessness LIFELINE Act (H.R. 7078 and S. 4181)

Client expense: Not reported · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, Housing & Urban Development, Dept of (HUD), SENATE

H.R. 8254 Financial Services Appropriations FY 2023 H.R.8294T-HUD Appropriations FY 2023 H.R.7327 Protecting Rural Renters Act of 2022 S.4181 LIFELINE Act H.R.7078LIFELINE Act

Client expense: $860,000 · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, SENATE

H.R. 1321 - New Markets Tax Credit Extension Act of 2021 H.R. 2573 - Affordable Housing Credit Improvement Act H.R. 2143 - Neighborhood Homes Investment Act (NHIA) S. 456 - New Markets Tax Credit Extension Act of 2021 S. 1136 - Affordable Housing Credit Improvement Act S. 98 - Neighborhood Homes Investment Act (NHIA) S. 4181/H.R. LIHTC Financing Enabling Long-term Investment in Neighborhood Excellence Act (LIFELINE Act)

Client expense: $150,000 · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, SENATE

Reconciliation Legislation H.R. 5376 Build Back Better Act, Low-Income Housing Tax Credit and Middle-Income Housing Tax Credit Support making permanent and augmenting by an additional 50 percent the increased Low-Income Housing Tax Credit authority enacted in March 2018 to enable the production of new units. Support establishment of Middle-Income Housing Tax Credit to spur production of multifamily units serving middle-income families. H.R. 2573 / S. 1136, Affordable Housing Credit Improvement Act of 2021, to reform the low-income housing credit, and for other purposes, all provisions. S. 2820, Decent, Affordable, Safe Housing for All Act (DASH Act), to provide rental housing vouchers for the homeless, and for other purposes, H.R. 7078, LIHTC Financing Enabling Long-term Investment in Neighborhood Excellence (LIFELINE) Act, to amend title VI of the Social Security Act to allow coronavirus State and local fiscal recovery funds to be used for low-income housing credit projects, all provisions. S. 4181, LIHTC Financing Enabling Long-term Investment in Neighborhood Excellence (LIFELINE) Act, to amend title VI of the Social Security Act to allow coronavirus State and local fiscal recovery funds to be used for low-income housing credit projects, all provisions. Monitored possible issuance of final rule on Low-Income Housing Tax Credit Average Income Test: Department of the Treasury, Internal Revenue Service, 26 CFR Part 1, REG-119890-18, RIN 1454 BO92, Section 42, Low-Income Housing Credit Average Income Test Regulations. Signed letter of trade associations (sent April 5, 2022) to Secretary of Treasury Janet Yellen requesting that the Treasury Department preserve the value of community development tax incentives, including the Low-Income Tax Credit, as the OECD moves forward on Pillar 2 rules establishing a global minimum tax. Monitored mitigation of potential negative impact OECD Pillar 2 of global minimum tax on Low-Income Housing Tax Credit Biden Administration Tax Proposals General Explanations of the Administration's Fiscal Year 2023 Revenue Proposals: Allow selective basis boosts for bond-financed low-income housing tax credit projects; increase the top marginal income tax rate for high earners; reform the taxation of capital income; impose a minimum tax on the wealthiest taxpayers, tax carried (profits) interests as ordinary income; repeal deferral of gain from like-kind exchanges; and require 100 percent depreciation recapture of depreciation deductions as ordinary income for certain depreciable property. President Biden Announces New Actions to Ease the Burden of Housing Costs (announced May 15, 2022), proposals to increase the supply of multifamily housing. Taxation of Business and Capital Income, Estates, and FIRPTA Like-kind exchanges: Support retaining current law. Capital Gains - Oppose doubling the long-term capital gains tax rate and support current-law capital gains tax rates. Carried interest: NMHC believes that carried interest should be treated as a long-term capital gain if the underlying asset is held for at least one year. Stepped-Up Basis at Death and Taxation of Unrealized Capital Gains at Death: Support retaining current law providing for stepped-up basis at death and taxation of capital gains upon actual sale. Business Interest Deductibility: Support full deductibility of business interest for multifamily industry. Section 199A Pass-Through Deduction: Support 199A pass-through deduction. Estate Tax: Support making permanent the Estate Tax rules enacted as part of the Tax Cuts and Jobs Act of 2017. Foreign Investment in Real Property Tax Act (FIRPTA): Support repealing FIRPTA to promote investment in U.S. multifamily industry. Extension of Expiring Tax Provisions NMHC supports extending the 12.5 increase in LIHTC credit authority available in 2018-2021. NMHC also supports extending the New Energy Home Credit (IRC 45L). Opportunity Zones Support reducing the basis increase necessary to qualify a multifamily rehabilitation project for Opportunity Zone purposes. H.R. 7467 and S. 4065, Opportunity Zones Transparency, Extension, and Improvement Act, to amend the Internal Revenue Code of 1986 to modify the rules relating to qualified opportunity zones, and for other purposes, all provisions. Adaptive Reuse Federal tax policies impacting the conversion of property (e.g, conversion of office buildings into housing) H.R. 4759, Revitalizing Downtowns Act, to amend the Internal Revenue Code of 1986 to provide an investment credit for the conversion of office buildings into other uses, all provisions. Also, analyzed proposals to expand bill to enable commercial property types other than office buildings to be converted, as well as to allow REITs to benefit from the incentive S. 2511, Revitalizing Downtowns Act, to amend the Internal Revenue Code of 1986 to provide an investment credit for the conversion of office buildings into other uses, all provisions. Also, analyzed proposals to expand bill to enable commercial property types other than office buildings to be converted, as well as to allow REITs to benefit from the incentive Tax Depreciation H.R. 7229, Renewing Investment in American Workers and Supply Chains Act, to amend the Internal Revenue Code of 1986 to modify the depreciation of nonresidential real property and residential rental property, all provisions. S. 4012, Renewing Investment in American Workers and Supply Chains Act, to amend the Internal Revenue Code of 1986 to modify the depreciation of nonresidential real property and residential rental property, all provisions.