This annotated bibliography aims to provide a comprehensive review of the scholarly sources on the implementation of LIHTC to provide Affordable Rental Housing for Low-income Households. Therefore, this annotated bibliography provides a summary and evaluation of scholarly articles.

Callison, J. W. (2010). Achieving Our Country: Geographic Desegregation and the Low-Income Housing Tax Credit. S. Cal. Rev. L. & Soc. Just., 19, 213.

The article first acknowledges the need to achieve equality for everyone to have access to good infrastructures that contribute to the achievement of basic living standards. The author provides a brief overview of how the different laws governing the need to construct modern houses for low-income individuals came into existence. The government got involved in enforcing laws that eventually led to increased segregation of individuals from a specific race.  For instance, the introduction of public housing project led to the destruction of houses of black community living within the central business district, and they were sent away resulting in increased poverty cycles. Besides the Fair Housing Act (HFA) was weak and contributing to discrimination and continued housing segregation. However, the LIHTC program acts as an efficient tool to improve residential integration. The article is, therefore relevant to the topic as it seeks to understand the process of allocation of credit to developers under the LIHTC to facilitate equality housing

Desai, M. A., Dharmapala, D., & Singhal, M. (2008). Investable tax credits: the case of the low-income housing tax credit.

The article highlights the progress made since the implementation of the LIHTC in 1986. There have been approximately 1.5 million units for individuals with low-income. The government is responsible for allocating the tax credit to the developers who wish to construct low-income residential units. The developers later sell the credit through the intermediaries for equity financing, and the investor claims the credit on the tax returns thus making the investor become a tax beneficiary. The federal government also allocates the tax credit to the Community Development Entities (CDE), and the CDE sell the credit to the investors for equity finance used to facilitate the development of projects in low-income communities. The article is relevant to the topic since it provides the process of credit allocation by the State to the developers as well as the federal credit allocation process to the States. It, therefore, covers both developers and investors who have to go through a rigorous application process before being awarded the credit.

Green, R. K., Malpezzi, S., & Seah, K. Y. (2002). Low-income housing tax credit housing developments and property values. Madison, WI: Center for Urban Land Economics Research, the University of Wisconsin.

The article highlights the values the reason for the implementation of LIHTC and the importance of the Tax Reform Act as its main aim was to provide the incentives for the building of low-income houses by the private sector. The projects do include not only new buildings but also rehabilitation as well as the housing acquisition and repair by the owners of residential houses. The article also provides an estimated value of funding the LIHTC program and the available units. The credit provided varies depending on the nature of the project thus the new construction will attract 70% of the total cost while acquisition and repair of the existing housing units attract credit worth 30% of the total cost involved. The article is therefore relevant as it differentiates the types of credit and the values awarded for each such that it is easy to understand the credit rates and subsidy value for each project.

InCotext (2001). Hoosiers and Affordable Housing: The Indiana Housing Finance Authority. The Indiana Economy./ Volume  2. Issue 4.

The article highlights the function of IHFA in providing decent low –income houses. IHFA focuses on different housing needs including homeless shelters and rental homes. There is a need to emphasize on the construction of proper residential units that are safe for humans and are affordable to enhance stability within the community. The family members can, therefore, get decent employment and enroll their children in decent school while at the same time investing in the development of the community. The article also provides a list of IHFA’s partners, and they include lenders, developers, realtors, state and federal agencies as well as the tenants and the legislators. The article is useful as it provides an overview of the kind of partners who upon application might become eligible for the credit allocation. The allocation of credit is not only made available to the developers and the investors, but there are other actors involved as well.

Joint Center for Housing Studies of Harvard University. (2009). the disruption of the Low-Income Housing Tax Credit program: Causes, consequences, responses, and proposed correctives.

The article provides information on how the financial crisis of 2007 and 2008 compromised the ability of corporate investors to provide LIHTC programs. The major actors were operating on loss and were unable to use tax credit yet LIHTC’s demand decreased thus leading to reduced prices and huge funding gaps for the projects that already received the tax credit but had not sold them. There was however measures put in place to respond to the crisis as the government implemented two programs to address the challenges of LIHTC. The Tax Credit Assistance Program and Tax Credit Exchange Programs were to fill the funding gaps for the projects.  The author also provides a brief description of the characteristics of the LIHTC program. The article is thus relevant as it gives the requirements for investors and other developers before they can become part of the implementation of LIHTC.

Kaye, T. A. (1993). Sheltering Social Policy in the Tax Code: The Low-Income Housing Credit. Vill. L. Rev., 38, 871.

The article highlights the reasons for the existence of LIHTC which is the provision of incentives to the private sector to construct new houses or renovate existing ones for low-income families. The, therefore, become affordable while the house owner receives the tax credit for partnering with the federal government. The author also discusses to treat the housing projects for compensation purposes and also provide the right procedure for compensation from the housing agency and the federal government. The article also presents the credit rates for different housing units depending on the nature of the project.  Therefore the buildings that are eligible for the credit receives the allocation credit from the local housing credit and the state government. This article is consequently relevant as it presents the different credits to consider while implementing LIHTC and different actors involved.

Khadduri, J., Climaco, C., Burnett, K., Gould, L., & Elving, L. (2012). What happens to low-income housing tax credit properties at year 15 and beyond?. US Department of Housing and Urban Development, Office of Policy and Development Research.

The author acknowledges the importance of LIHTC as it has helped many families live in safe, clean and affordable houses. The LIHTC provides funding to almost one-third of the residential housing units The LIHTC has also been existence for over 20 years and is still accessible. The author also explains the outcomes of the LIHTC program after 15 years. It is likely that there will be a change in ownership of the property under LIHTC program after 15 years as the properties have less risk of facing the penalties for not adhering to the rules and regulations of the programs. The article is thus helpful as it provides useful information on the timeline requirements for the property to remain in the LIHTC programs, therefore, expecting the property to comply with the rules of the program. It is also important to note the rules governing the law before its implementation and at the same time ensures that the houses remain affordable even with the changing credit rates.

Kochera, A. (2002). Serving the affordable housing needs of older low-income renters: A survey of low-income housing tax credit properties: Public Policy Institute, AARP.

The author acknowledges that the LIHTC existed from the Tax Reforms Act and has continued to provide affordable houses for low-income individuals. There is the allocation of the tax credit for different qualifies rental housing providers, and it is the state agency that determines the number of the tax credit. On the other hand, the housing providers can also raise funds after selling the credit to limited partners to provide houses to special population and the old people also qualify for projects targeting individuals with special needs. The article focuses on how the older adults benefit from LIHTC programs and that makes the article valuable. It provides an understanding of the specific groups of individuals whom the government must consider before deciding to implement a particular law. The existing law might as well benefit the majority in the society at the expense of the minority groups.

McClure, K. (2000). The low‐income housing tax credit as an aid to housing finance: How well has it worked?. Housing Policy Debate, 11(1), 91-114.

The article provides an overview of how the LIHTC program finances many thousands of houses for individuals with low income. The program had some challenges, but there are more efforts in place to enhance its efficiency as well as effectiveness. The program has yield positive and negative results, but it strives to reduce the instances of futur4e criticism. The program spurs the need to understand why it is being criticized for being complex and having the poor design to cater to the needs of low-income individuals. It is also necessary to find out whether the program provides the excess subsidy to the investors. This is a useful article since the LIHTC provides rules and regulations for the investors and developers to qualify for credit allocation. It is therefore essential to consider the possible negative, and positive criticism from the public on a given law as all laws should aim at addressing the needs of one person without compromising the needs of another person.

Muralidhara, S. (2006). Deficiencies of the Low-Income Housing Tax Credit in targeting the lowest-income households and in promoting concentrated poverty and segregation. Law & Ineq., 24, 353.

The article provides a history of affordable housing and how the government has tried to solve the problem of inadequate houses for low-income individuals. It also highlights the requirements for the property owner to qualify for the credit allocation. They have to render 20% of their residential houses to 50% of individuals with less than the median income. The property owner who qualifies thus gets a 30% or 70% of the cost they used depending on the nature of the project. The article is useful since it is essential to understand various elements that are of interest to the government and the public while implementing a specific law. Assuming that the law will benefit certain people without documenting the proposed profits, as well as rules, make the legislation to take quite a long time to implement the law yet many families will continue to suffer due to poor housing conditions.

Niver, K. (2016). Changing the Face of Urban America: Assessing the Low-Income Housing Tax Credit. Va. L. Rev. Online, 102, 48.

The author recognizes LIHTC to be the most significant housing program in the entire U.S  LIHTC program promotes regional development as it is a joint venture between the federal government and the private companies, therefore, provide the low-income individuals with the opportunity to live in standard houses. Private companies have a significant role in regional development and the overall economic development of the nation. The implementation of LIHTC provides the opportunity for private companies to become part of the development programs that avail affordable houses for low-income families. The article is useful as it not only provides immense advantages of integrating the services of private companies for the provision of public services like affordable housing to citizens.

Pickering, S. (2013). Our House: Crowdfunding Affordable Homes with Tax Credit Investment Partnerships. Rev. Banking & Fin. L., 33, 937.

The article highlights what LIHTC is and what it does and how the private investors and developers benefit from the tax credit for ten years. The LIHTC had the financial gap and the introduction of the Community Reinvestment Act as a remedy to ensure there is sufficient capital to facilitate the housing development projects. The author also provides details on how the LIHTC program offers financial support for affordable houses. The housing developers and investors receive subsidies for a ten years stream of the tax credit. The investors partner with the federal government and a percentage share o the tax credit from the property. The article is relevant to the study as it avails the specific details about the investors and developers on the benefits they generate from providing affordable houses to low-income families.

Roisman, F. W. (1997). Mandates unsatisfied: The low-income housing tax credit program and the civil rights laws. U. Miami L. Rev., 52, 1011.

The author mentions that LIHTC law exists as a way of encouraging racial integration. Private developers partner with the federal government to provide public facilities like improved housing for low-income residents. The article also includes the claims on tax credit by the property owners for ten years and the credit rate they get as a percentage of the value of their property. This article is helpful and has relevant information as it highlights the importance of the property depending on the credit rate available for the nature of the established project.  It is essential for the developers to understand the significant value they contribute to the development of the region and the nation.

Roisman, F. W. (2000, November). Poverty, Discrimination, and the Low-Income Housing Tax Credit Program. In Prepared for the meeting of the LALSHAC, Washington, DC, November(pp. 19-20).

The article highlights the percentage of the present value of the property received by the property owners throughout ten years.  In as much as the LIHTC program aims at providing affordable homes to individuals with low income, it is necessary to realize that the subsidy only reduces the rent to a moderate level.  Only qualified developers receive credit allocation.  It is essential for the state allocating agency to develop a qualified allocation plan, and it contains the selection criteria of choosing the projects, must be the ones specified by the Congress, have a preference for projects and have monitoring procedures for the selected projects to ensure there is no any form of discrimination. The article is valuable as is provides information on the various ways of eliminating discrimination in the implementation of the programs that lead to the provision of affordable houses to low-income individuals.

Shah, S. R. (2005). Having Low Income Housing Tax Credit Qualified Allocation Plans Take into Account the Quality of Schools at Proposed Family Housing Sites: A Partial Answer to the Residential Segregation Dilemma. Ind. L. Rev., 39, 691.

The author acknowledges the increased cases of public criticism that the LIHTC program promotes racial segregation in the urban and suburban areas. However, the availability of the Federal Fair Housing Act prevents any form of discrimination as well as act as a mechanism of promoting racial integration. It is necessary to understand that the federal government ensures that it attains equality in credit allocation including the development of the QAP. The author also provides the selection criteria for credit allocation. These criteria include the location of the project, the housing needs, the population size of the tenants as well as the waiting lists for public housing. The article is useful for the study as it has detailed information on the requirements to consider in the LIHTC programs.

References

Callison, J. W. (2010). Achieving Our Country: Geographic Desegregation and the Low-Income Housing Tax Credit. S. Cal. Rev. L. & Soc. Just., 19, 213.

Desai, M. A., Dharmapala, D., & Singhal, M. (2008). Investable tax credits: the case of the low-income housing tax credit.

Green, R. K., Malpezzi, S., & Seah, K. Y. (2002). Low-income housing tax credit housing developments and property values. Madison, WI: Center for Urban Land Economics Research, the University of Wisconsin.

InContext (2001). Hoosiers and Affordable Housing: The Indiana Housing Finance Authority. The Indiana Economy./ Volume  2. Issue 4.

Joint Center for Housing Studies of Harvard University. (2009). The disruption of the Low-Income Housing Tax Credit program: Causes, consequences, responses, and proposed correctives.

Kaye, T. A. (1993). Sheltering Social Policy in the Tax Code: The Low-Income Housing Credit. Vill. L. Rev., 38, 871.

Khadduri, J., Climaco, C., Burnett, K., Gould, L., & Elving, L. (2012). What happens to low-income housing tax credit properties at year 15 and beyond?. US Department of Housing and Urban Development, Office of Policy and Development Research.

Kochera, A. (2002). Serving the affordable housing needs of older low-income renters: A survey of low-income housing tax credit properties. Public Policy Institute, AARP.

McClure, K. (2000). The low‐income housing tax credit as an aid to housing finance: How well has it worked?. Housing Policy Debate, 11(1), 91-114.

Muralidhara, S. (2006). Deficiencies of the Low-Income Housing Tax Credit in targeting the lowest-income households and in promoting concentrated poverty and segregation. Law & Ineq., 24, 353.

Niver, K. (2016). Changing the Face of Urban America: Assessing the Low-Income Housing Tax Credit. Va. L. Rev. Online, 102, 48.

Pickering, S. (2013). Our House: Crowdfunding Affordable Homes with Tax Credit Investment Partnerships. Rev. Banking & Fin. L., 33, 937.

Roisman, F. W. (1997). Mandates unsatisfied: The low-income housing tax credit program and the civil rights laws. U. Miami L. Rev., 52, 1011.

Roisman, F. W. (2000, November). Poverty, Discrimination, and the Low-Income Housing Tax Credit Program. In Prepared for the meeting of the LALSHAC, Washington, DC, November(pp. 19-20).

Shah, S. R. (2005). Having Low Income Housing Tax Credit Qualified Allocation Plans Take into Account the Quality of Schools at Proposed Family Housing Sites: A Partial Answer to the Residential Segregation Dilemma. Ind. L. Rev., 39, 691.