I 
110TH CONGRESS 
1ST SESSION H. R. 1850 
To amend the Internal Revenue Code of 1986 to provide incentives for 
employer-provided employee housing assistance, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 29, 2007 
Ms. VELA´ZQUEZ (for herself, Mr. RAMSTAD, Mr. GONZALEZ, Mr. BACA, Ms. 
MOORE of Wisconsin, Mr. REYES, Ms. LORETTA SANCHEZ of California, 
and Mr. TOWNS) introduced the following bill; which was referred to the 
Committee on Ways and Means, and in addition to the Committee on Fi-
nancial Services, for a period to be subsequently determined by the 
Speaker, in each case for consideration of such provisions as fall within 
the jurisdiction of the committee concerned 
A BILL 
To amend the Internal Revenue Code of 1986 to provide 
incentives for employer-provided employee housing assist-
ance, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Housing America’s 
Workforce Act’’. 
SEC. 2. FINDINGS AND PURPOSES. 
(a) FINDINGS.—The Congress finds the following: 
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(1) Resurgent housing markets are pricing out 
low- and moderate-income families and are pro-
ducing few lower-cost units. 
(2) In many markets, housing costs have far 
outgrown the rate of inflation and the gap between 
wages and housing costs is widening, pushing afford-
able housing beyond the reach of an increasing num-
ber of working families. 
(3) Despite the lowest mortgage rates in our 
Nation’s history, millions of working families still 
find it extremely difficult to rent or purchase a 
home. Many workers who fill jobs that provide the 
backbone of our communities—teachers, firefighters, 
and police officers—often cannot afford to live in the 
communities in which they serve. 
(4) The United States Department of Housing 
and Urban Development (HUD) considers housing 
affordable when a family spends no more than 30 
percent of its monthly income on rent and utilities. 
Entry-level wage earners with annual incomes of up 
to $30,000 spending no more than 30 percent of 
their income on rent can only afford to pay up to 
$750 for rent. In the high job-growth areas, such 
rents are not readily available. 
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(5) According to a study by the Center for 
Housing Policy in Washington, DC, the latest data 
available shows that in 2003, approximately 5 mil-
lion families paid more than half of their income for 
housing or lived in dilapidated conditions, or both, 
despite the fact they were working full time jobs. 
Moreover, the number of working families with crit-
ical housing problems has increased 67 percent be-
tween 1997 and 2003. 
(6) Affordable housing is the key to creating 
and sustaining healthy, economically vibrant commu-
nities. 
(7) The lack of affordable housing across the 
United States has been shown to cause or contribute 
to labor shortages. 
(8) Under employer-assisted housing (EAH) 
programs employers provide much needed housing 
assistance to their employees. 
(9) EAH programs are innovative local solu-
tions that have increased affordable housing oppor-
tunities for thousands of working families across 
America while benefitting the economy. 
(10) According to findings of the Rutgers Uni-
versity American Affordable Housing Institute, em-
ployer-assisted housing increases productivity by re-
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ducing commuting time as well as saves money on 
recruitment and retention. 
(11) The future growth of EAH programs will 
remain dependent upon increasing individual em-
ployer knowledge and implementation of these pro-
grams. 
(12) EAH programs will not solve the Nation’s 
housing problems but such programs do seek to ad-
dress the challenge from a new perspective and allow 
the private sector to play a direct role in promoting 
housing affordability. Additionally, EAH programs 
can help to promote redevelopment and reinvestment 
in distressed communities. 
(b) PURPOSES.—The purposes of this Act are as fol-
lows: 
(1) To expand affordable housing opportunities 
to low- and moderate-income working individuals 
and families. 
(2) To encourage employers, counties, and mu-
nicipalities to invest in employer-assisted housing 
programs. 
SEC. 3. TAX CREDIT FOR EMPLOYER-PROVIDED EMPLOYEE 
HOUSING ASSISTANCE. 
(a) IN GENERAL.—Subpart D of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
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1986 (relating to business related credits) is amended by 
adding at the end the following new section: 
‘‘SEC. 45O. EMPLOYER-PROVIDED EMPLOYEE HOUSING AS-
SISTANCE. 
‘‘(a) ALLOWANCE OF CREDIT.— 
‘‘(1) IN GENERAL.—For purposes of section 38, 
the employer-provided employee housing assistance 
credit determined under this section for any taxable 
year is an amount equal to 50 percent of the quali-
fied housing expenses paid by the employer during 
the taxable year if such expenses are furnished pur-
suant to a program described in subsection (b). 
‘‘(2) PER EMPLOYEE LIMITATION.— 
‘‘(A) 
IN
GENERAL.—The 
aggregate 
amount of qualified housing expenses taken into 
account with respect to any eligible employee 
for any taxable year shall not exceed, when 
added to any qualified housing expenses taken 
into account for any preceding taxable year 
with respect to such employee— 
‘‘(i) in the case of homeownership as-
sistance, the lesser of $10,000 or 6 percent 
of the purchase price of such employee’s 
principal residence, and 
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