I 
116TH CONGRESS 
2D SESSION 
H. R. 7351 
To amend the Internal Revenue Code of 1986 to provide a credit for low- 
income housing supportive services. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 25, 2020 
Mr. GOMEZ (for himself, Mr. PANETTA, Ms. SA´NCHEZ, Mr. THOMPSON of 
California, and Ms. JUDY CHU of California) introduced the following 
bill; which was referred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to provide 
a credit for low-income housing supportive services. 
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 ‘‘Opportunity Starts At 
Home Act’’. 
SEC. 2. CREDIT FOR LOW-INCOME HOUSING SUPPORTIVE 
SERVICES. 
(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 is amended by inserting after section 42 the fol-
lowing new section: 
‘‘SEC. 42A. CREDIT FOR CONTRIBUTIONS TO LOW-INCOME 
HOUSING SUPPORTIVE SERVICES. 
‘‘(a) IN GENERAL.—For purposes of section 38, the 
amount of the low-income housing supportive services 
credit determined under this section for the applicable tax-
able year is an amount equal to 25 percent of the qualified 
supportive housing contribution made by the taxpayer. 
‘‘(b) QUALIFIED SUPPORTIVE HOUSING CONTRIBU-
TION.—For purposes of this section— 
‘‘(1) IN GENERAL.—The term ‘qualified sup-
portive housing contribution’ means the total 
amount contributed in cash by the taxpayer to a 
qualified supportive housing reserve fund with re-
spect to a qualified low-income building, determined 
as of the date the building is placed in service. 
‘‘(2) QUALIFIED
SUPPORTIVE
HOUSING
RE-
SERVE FUND.—The term ‘qualified supportive hous-
ing reserve fund’ means, with respect to any quali-
fied low-income building, a separate fund reserved 
exclusively for payment for qualified supportive serv-
ices provided to tenants of the building pursuant to 
an extended supportive services commitment. The 
owner of such building shall designate an adminis-
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trator to separately account for the amounts in the 
fund in such manner as the Secretary may prescribe. 
‘‘(3) LIMITATIONS.— 
‘‘(A) IN
GENERAL.—No amount attrib-
utable to any governmental grant, including 
grants provided by the government of any 
State, possession, tribe, or locality, shall be 
taken into account under paragraph (1). 
‘‘(B) DOLLAR
LIMITATION.—The total 
qualified supportive housing contributions taken 
into account under this section with respect to 
any qualified low-income building shall not ex-
ceed— 
‘‘(i) $120,000, multiplied by 
‘‘(ii) the number of low-income units 
in the building which are occupied at the 
close of the applicable taxable year. 
‘‘(c) APPLICABLE TAXABLE YEAR.—For purposes of 
this section, the term ‘applicable taxable year’ means the 
1st taxable year in the credit period with respect to the 
qualified low-income building described in subsection 
(b)(1). 
‘‘(d) QUALIFIED SUPPORTIVE SERVICES.—For pur-
poses of this section, the term ‘qualified supportive serv-
ices’ means services— 
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‘‘(1) provided by the owner of a qualified low- 
income building (directly or through contracts with 
a third-party service provider) to tenants of the 
building, 
‘‘(2) which include health services (including 
mental health services), coordination of tenant bene-
fits, job training, financial counseling, resident en-
gagement services, or services the principal purpose 
of which is to help tenants retain permanent hous-
ing, or such other services as the Secretary may by 
regulation provide, 
‘‘(3) which are provided at no cost to tenants, 
and 
‘‘(4) usage of or participation in which is not 
required for tenants. 
Such term includes reasonable and necessary measures for 
the provision of such services, including measures to en-
gage tenants in and coordinate such services and measures 
required to obtain the certification described in subsection 
(e)(4). 
‘‘(e) EXTENDED SUPPORTIVE SERVICES COMMIT-
MENT.—The term ‘extended supportive services commit-
ment’ means any agreement between the owner of a quali-
fied low-income building and the housing credit agency 
which— 
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‘‘(1) requires that amounts in a qualified sup-
portive housing reserve fund are spent exclusively on 
the provision of qualified supportive services to ten-
ants of such building, 
‘‘(2) requires that the amounts in such fund be 
spent entirely during the extended use period, and 
provides for the manner in which such spending will 
be distributed across such period, 
‘‘(3) requires the designation of 1 or more indi-
viduals to engage tenants regarding and coordinate 
delivery of qualified supportive services, 
‘‘(4) requires the maintenance of an appro-
priate certification, as determined by the Secretary 
after consultation with housing credit agencies, for 
qualified supportive services, subject to recertifi-
cation at least once every 5 years, 
‘‘(5) requires appropriate annual reporting to 
the housing credit agency on expenditures and out-
comes, as determined by such agency, and 
‘‘(6) is binding on all successors in ownership of 
such building. 
‘‘(f) RECAPTURE OF QUALIFIED SUPPORTIVE HOUS-
ING RESERVE AMOUNTS.— 
‘‘(1) IN GENERAL.—If the owner of a qualified 
low-income building is determined to be noncompli-
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ant with the extended supportive services commit-
ment or extended low-income housing commitment 
with respect to such building, any remaining 
amounts in the qualified supportive housing reserve 
fund with respect to such building shall be trans-
ferred to the housing credit agency. 
‘‘(2) USE OF REPAYMENTS.—A housing credit 
agency shall use any amount received pursuant to 
paragraph (1) only for purposes of qualified low-in-
come buildings. 
‘‘(g) SPECIAL RULES.— 
‘‘(1) IN GENERAL.—Notwithstanding any other 
provision of this section, no credit shall be allowed 
under this section for any taxable year with respect 
to any qualified low-income building unless— 
‘‘(A) the building has received an alloca-
tion of the low-income housing credit under sec-
tion 42 by a housing credit agency which is ap-
proved by the governmental unit (in accordance 
with rules similar to the rules of section 
147(f)(2) (other than subparagraph (B)(ii) 
thereof)) of which such agency is a part, 
‘‘(B) the housing credit agency sets forth 
selection criteria to determine appropriate, evi-
dence-based supportive services and provides a 
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procedure that the agency (or an agent or other 
private contractor of such agency) will follow in 
monitoring for noncompliance with the provi-
sions of this section and in reporting such non-
compliance to the Secretary, 
‘‘(C) an extended low-income housing com-
mitment is in effect with respect to such build-
ing as of the end of such taxable year, 
‘‘(D) an extended supportive services com-
mitment is in effect with respect to such build-
ing as of the end of such taxable year, and 
‘‘(E) appropriate books and records for 
itemized expenses and expenditures with respect 
to the qualified supportive housing reserve fund 
are maintained on an annual basis, and are 
available for inspection upon request by the 
housing credit agency. 
‘‘(2) DENIAL OF DOUBLE BENEFIT.—The de-
ductions otherwise allowed under this chapter for the 
taxable year shall be reduced by the amount of the 
credit allowed under this section for such taxable 
year. 
‘‘(h) DEFINITIONS.—Any term used in this section 
which is also used in section 42 shall have the same mean-
ing as when used in such section.’’. 
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(b) CREDIT TO BE PART OF GENERAL BUSINESS 
CREDIT.— 
(1) IN GENERAL.—Section 38(b) of the Internal 
Revenue Code of 1986 is amended by striking 
‘‘plus’’ at the end of paragraph (32), by striking the 
period at the end of paragraph (33) and inserting ‘‘, 
plus’’, and by adding at the end the following new 
paragraph: 
‘‘(34) the low-income housing supportive serv-
ices credit determined under section 42A(a).’’. 
(2) TREATMENT
AS
SPECIFIED
CREDIT.— 
Clause (iii) of section 38(c)(4)(B) of such Code is 
amended by inserting ‘‘, and the credit determined 
under section 42A’’ after ‘‘2007’’. 
(c) TREATMENT FOR PURPOSES OF TAX ON BASE 
EROSION PAYMENTS.—Paragraph (4) of section 59A(b) 
of the Internal Revenue Code of 1986 is amended by re-
designating subparagraphs (B) and (C) as subparagraphs 
(C) and (D), respectively, and by inserting after subpara-
graph (A) the following new subparagraph: 
‘‘(B) the low-income housing supportive 
services 
credit 
determined 
under 
section 
42A(a),’’. 
(d) PASSIVE ACTIVITY CREDITS.— 
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(1) IN GENERAL.—Section 469 of the Internal 
Revenue Code of 1986 is amended by striking ‘‘42’’ 
each place it appears in subsections (i)(3)(C), 
(i)(6)(B)(i), and (k)(1) and inserting ‘‘42 or 42A’’. 
(2) CONFORMING
AMENDMENTS.—The head-
ings of subsections (i)(3)(C) and (i)(6)(B) of section 
469 of such Code are each amended by striking 
‘‘CREDIT’’ and inserting ‘‘CREDITS’’. 
(e) CLERICAL AMENDMENT.—The table of sections 
for subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by in-
serting after the item relating to section 42 the following 
new item: 
‘‘Sec. 42A. Credit for contributions to low-income housing supportive services.’’. 
(f) EFFECTIVE DATE.—The amendments made by 
this section shall apply to buildings placed in service after 
December 31, 2020. 
Æ 
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