NAHB is asking all members to contact their representatives—and their Senators— to express their opposition to this component of the bill. Members can access NAHB’s BuilderLink to easily contact their representatives on this issue. The potential impact of this provision on real estate development is of such concern to the residential building industry that  NAHB has designated it as a Key Vote.

The bill as approved by the House Ways and Means committee is problematic because there are aspects that NAHB supports, including a one-year “patch” that would keep the Alternative Minimum Tax (AMT) from affecting middle-class taxpayers. The bill also would implement mortgage debt forgiveness legislation, as well as Private Mortgage Insurance deductibility, both measures that NAHB supports. What NAHB opposes is using the tax rate change on carried interest gain to offset the expenses of these provisions.

Before it becomes law, a companion bill must also pass the Senate, which thus far has shown little enthusiasm for changing the rate on carried interest in real estate transactions. No such bill has been introduced at this time, but the Senate Finance Committee does plan to focus on a solution to the AMT dilemma.

• NAHB Pushes for Improvements to HUD’s Mark-to-Market Program
  
  H.R. 3965, a bill that would extend HUD’s Mark-to-Market (M2M) program and enforce timely Housing Assistance Payment (HAP) subsidies, passed the House Financial Services Committee and was sent to the full House last week. If passed, it would also correct harm done in the past by HUD’s late payment of HAP subsidies. For additional details on the ways this bill would affect the current program, view this page. In addition to supporting these provisions, NAHB also is pushing for a solution to the problem of HAP subsidies that are currently going unpaid and that are yet unfunded for 2008. For a brief history of this issue, and of NAHB’s efforts to resolve it, view this page. E-mail questions to Claudia Kedda, or call her at 800-368-5242 x8352.
  
  
• LIHTC Modernization Delayed until 2008
  
  NAHB learned this week that a bill that would modernize the Low Income Tax Credit Program would not be completed this year. Due to calendar constraints, the bill will continue to be drafted by the House Ways and Means Committee staff, but will not see full Committee action until 2008.
  
  On the Senate side, Maria Cantwell (D-WA) has taken the lead on drafting a modernization bill of her own, modeled to a large degree on the LIHTC bill from the 109th Congress. She has indicated a preference for introducing this legislation in 2007, and NAHB is providing input to the Senator’s office to aid in that effort. We also are working for the inclusion of a specific remedy for the income limits/rents problem and continue negotiations with a wide group of industry advocates to come to consensus on a solution. While the House bill was the primary target in which to move an income limits/rents fix, we remain watchful for other potential legislative vehicles.
  
  Another important LIHTC proposal for NAHB members saw the light of day during a Ways and Means Committee markup last week. During consideration of H.R. 3997, the Heroes Earnings Assistance and Relief Tax Act of 2007, Rep. Phil English (R-PA) proposed an amendment that would permit a service member’s basic allowance for housing to be excluded from the calculation of income when determining eligibility for LIHTC housing. The amendment was ultimately defeated, however, after Rep. English had a lively exchange with Ways and Means Committee Chairman Charlie Rangel (D-NY) on the issue. NAHB continues to advocate with members of Congress on this proposal. E-mail Greg Brown, or call him at 800-368-5242 x8421 for more information.

• Pillars of the Industry Competition Entry Deadline – Nov. 9

If your company managed to produce a stellar multifamily project or media campaign in 2006 or 2007, and you want the world to see it – consider entering it into the Pillars Awards competition. Read the Call for Entries to decide on your category, and then head to the Application page. It’s easy to enter – and incredibly satisfying to win!

• National Housing Endowment Community Service Awards – Nov. 12

Members who give back to their communities through philanthropic service work are encouraged to apply for the Endowment's Builder Achievement Awards for Outstanding Community Service. There is no fee to enter, and the endowment will provide the charities who benefitted from the eight winners with sums ranging from $1,000 to a grand prize of $10,000. To learn more, or to access the entry forms, view this page.

• Green Building Awards Deadline – Jan. 31

If your company is building green, enter your work in NAHB's Green Building Awards competition. For more information, view this page.

• International Builders’ Show – Feb.13-16, 2008

It’s not too early to register for the International Builders’ Show, in its final year in Orlando. See the exhibits you didn’t get to last year, as well as the many first-time exhibitors. For more information, and to register, view this page.

• Pillars of the Industry Conference and Gala – April 1-3, 2008
  
  Join top-tier industry leaders at The Broadmoor resort in Colorado Springs, Colo., for an information-packed seminar program and a revamped menu of networking opportunities. It’s NAHB Multifamily’s signature annual event, and one that the industry’s most influential leaders attend. For more information, view this page.

  [return to top]