I 

117TH CONGRESS 

2D SESSION H. R. 7078 

To amend title VI of the Social Security Act to allow State and Local 

Fiscal Recovery Funds to be loaned for low-income housing tax credit projects. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 15, 2022 

Ms. ADAMS (for herself, Mr. ROUZER, and Mrs. CAROLYN B. MALONEY of 

New York) introduced the following bill; which was referred to the Committee on Oversight and Reform 

A BILL 

To amend title VI of the Social Security Act to allow State 

and Local Fiscal Recovery Funds to be loaned for lowincome housing tax credit projects. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘LIHTC Financing En5 abling Long-term Investment in Neighborhood Excellence 

6 Act’’ or the ‘‘LIFELINE Act’’. 


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1 SEC. 2. AUTHORITY TO LOAN STATE AND LOCAL FISCAL RE2 COVERY FUNDS FOR LOW-INCOME HOUSING 

3 TAX CREDIT PROJECTS. 

4 (a) IN GENERAL.—Title VI of the Social Security Act 

5 (42 U.S.C. 801 et seq.) is amended— 

6 (1) in section 602— 

7 (A) in subsection (a)(1), by inserting ‘‘(ex8 cept as provided in subsection (c)(5))’’ after 

9 ‘‘December 31, 2024’’; and 

10 (B) in subsection (c)— 

11 (i) in paragraph (1), in the matter 

12 preceding subparagraph (A), by striking 

13 ‘‘paragraph (3)’’ and inserting ‘‘para14 graphs (3), (4), and (5)’’; and 

15 (ii) by adding at the end the following 

16 new paragraph: 

17 ‘‘(5) USE OF FUNDS FOR LOW-INCOME HOUS18 ING TAX CREDIT PROJECTS.— 

19 ‘‘(A) IN GENERAL.—A State, territory, or 

20 Tribal government may use funds provided 

21 under this section to finance ‘qualified low-in22 come housing projects’ within the meaning of 

23 section 42(g) of the Internal Revenue Code of 

24 1986 with loans having maturities of 30 or 

25 more years. Such loans must be obligated by 

26 December 31, 2024, and expended for eligible 


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1 costs by December 31, 2026. Any amount 

2 loaned in accordance with this subparagraph 

3 shall be considered incurred in accordance with 

4 the requirements of this subsection. 

5 ‘‘(B) RETURNED OR REPAID FUNDS.— 

6 Under regulations prescribed by the Secretary, 

7 any funds used by a State, territory, or Tribal 

8 government in accordance with subparagraph 

9 (A) that are returned to the State, territory, or 

10 Tribal government, including from loan repay11 ment, shall be used to finance affordable hous12 ing, including ‘qualified low-income housing 

13 projects’ within the meaning of section 42(g) of 

14 the Internal Revenue Code of 1986.’’; and 

15 (2) in section 603— 

16 (A) in subsection (a), by inserting ‘‘(except 

17 as provided in subsection (c)(6))’’ after ‘‘De18 cember 31, 2024’’; and 

19 (B) in subsection (c)— 

20 (i) in paragraph (1), in the matter 

21 preceding subparagraph (A), by striking 

22 ‘‘paragraphs (3) and (4)’’ and inserting 

23 ‘‘paragraphs (3), (4), (5), and (6)’’; and 

24 (ii) by adding at the end the following 

25 new paragraph: 


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1 ‘‘(6) USE OF FUNDS FOR LOW-INCOME HOUS2 ING TAX CREDIT PROJECTS.— 

3 ‘‘(A) IN GENERAL.—A metropolitan city, 

4 nonentitlement unit of local government, or 

5 county may use funds provided under this sec6 tion to finance ‘qualified low-income housing 

7 projects’ within the meaning of section 42(g) of 

8 the Internal Revenue Code of 1986 with loans 

9 having maturities of 30 or more years. Such 

10 loans must be obligated by December 31, 2024, 

11 and expended for eligible costs by December 31, 

12 2026. Any amount loaned in accordance with 

13 this subparagraph shall be considered incurred 

14 in accordance with the requirements of this 

15 subsection. 

16 ‘‘(B) RETURNED OR REPAID FUNDS.— 

17 Under regulations prescribed by the Secretary, 

18 any funds used by a metropolitan city, non19 entitlement unit of local government, or county 

20 in accordance with subparagraph (A) that are 

21 returned to the metropolitan city, nonentitle22 ment unit of local government, or county, in23 cluding from loan repayment, shall be used to 

24 finance affordable housing, including ‘qualified 

25 low-income housing projects’ within the meanVerDate Sep 11 2014 04:00 Mar 17, 2022 Jkt 029200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H7078.IH H7078

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1 ing of section 42(g) of the Internal Revenue 

2 Code of 1986.’’. 

3 (b) TECHNICAL AMENDMENTS.—Sections 602(c)(3) 

4 and 603(c)(3) of title VI of the Social Security Act (42 

5 U.S.C. 802(c)(3), 803(c)(3)) are each amended by striking 

6 ‘‘paragraph (17) of’’. 

Æ 


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