State Treasurer Fiona Ma recently announced the award of $623.7 million in federal and state Low-Income Housing Tax Credits (LIHTC) for the development and rehabilitation of affordable housing throughout the state. The California Tax Credit Allocation Committee, which administers the federal and state LIHTC programs and is chaired by Ma as state treasurer, approved 27 projects as part of its first round of annual nine percent tax credit awards.
“The Low-Income Housing Tax Credit program plays a critical role in growing California’s affordable housing supply,” said Treasurer Ma. “These credits help draw in the capital needed to make these projects pencil out and ensure affordable units are built in every part of the state.”
The tax credit awards, $543.7 million in federal credits and $79.9 million in state credits, will fund 22 new construction projects, two adaptive reuse projects, and three rehabilitation projects. A total of 1,525 housing units are planned to be built for Californians earning a low income and will serve homeless individuals, veterans, seniors, families, and tenants with special needs.
The LIHTC programs were created to promote private investment in affordable rental housing for Californians with a low income. Private investors receive federal and, at times, state income tax credits as an incentive to make equity investments in qualified affordable rental housing projects. Since 1986, more than 500,000 affordable housing units have been supported in California due to LIHTC funding.
To learn more about CTCAC and the LIHTC program, visit: https://www.treasurer.ca.gov/ctcac/index.asp.
Ma is California’s 34th State Treasurer. She was first elected on Nov. 6, 2018 and reelected on Nov. 8, 2022. She is the first woman of color and the first woman Certified Public Accountant (CPA) elected to the position. The State Treasurer’s Office was created in the California Constitution in 1849. It provides financing for schools, roads, housing, recycling and waste management, hospitals, public facilities, and other crucial infrastructure projects.