2024-11-02T17:28:12-04:00 https://archinect.com/news/article/150146856/it-s-true-trump-s-tax-cuts-gutted-lihtc-funding Antonio Pacheco 2019-07-18T14:29:00-04:00 >2019-07-19T13:56:00-04:00 <img src="https://archinect.gumlet.io/uploads/83/835c92960330093c406ee57844559e27.jpg?fit=crop&auto=compress%2Cformat&enlarge=true&w=1200" border="0" /><p><em></em>As a result of reduced tax revenue from the 2017 <a href="https://archinect.com/news/article/150040059/the-aia-responds-to-u-s-congress-tax-reform-bills-you-re-making-a-terrible-mistake" target="_blank">corporate tax cuts</a> enacted by President Donald Trump, the development of at least 15,000 <a href="https://archinect.com/news/tag/110562/affordable-housing" target="_blank">affordable housing</a> units has been either delayed or eliminated entirely,&nbsp;<em>The Sacramento Bee</em> <a href="https://www.sacbee.com/news/politics-government/capitol-alert/article232592837.html" target="_blank">reports</a>.&nbsp;</p> <p>The reason? A significant portion of affordable housing development happens as a result of the Low-Income Housing Tax Credit (LIHTC), a program that typically enjoys bipartisan support because it provides tax credits to private companies that fund low-income housing development.&nbsp;<em>The Sacramento Bee</em> reports, however, that as a result of the tax cuts, corporate tax rates dropped by 40-percent, shriveling the total available pool of funds available to fund initiatives like the LIHTC.</p> <p>As a result, California built only 19,000 affordable homes with the funding in 2018, a 23-percent drop from 2016.&nbsp;</p>