,,ii #aadth ,,congress #b;d ,session ,s4 #bifb ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,may #ai1 #bjaf ,ms4 ,cantwell 7for herself1 ,mr4 ,hatch1 ,mr4 ,schumer1 and ,mr4 ,wyden7 introduced the following bill2 which was read twice and referred to the ,committee on ,finance ,a ,,bill ,to amend the ,internal ,revenue ,code of #aihf to reform the low-income housing credit1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,affordable ,housing ,credit ,improvement ,act of #bjaf4 #b4 ,increases in ,state allocations 7a7 ,phase-,in of increases 7#a7 ,in general ,clause 7ii7 of section #db7;h77#c77;,c7 of the ,internal ,revenue ,code of #aihf is amended-- 7,a7 by striking #a4ge in subclause 7,i7 and inserting the per capita dollar amount1 and 7,b7 by striking #b1jjj1jjj in subclause 7,,ii7 and inserting the minimum ceiling amount4 7#b7 ,per capita dollar amount2 minimum ceiling amount ,subparagraph 7,i7 of section #db7;h77#c7 of such ,code is amended to read as follows3 7,i7 ,per capita dollar amount2 minimum ceiling amount ,for purposes of this paragraph-- 7i7 ,per capita dollar amount ,the per capita dollar amount is-- 7,i7 for calendar year #bjaf1 #b4ce1 7,,ii7 for calendar year #bjag1 #b4ei1 7,,iii7 for calendar year #bjah1 #b4hb1 7,,iv7 for calendar year #bjai1 #c4jf1 7,v7 for calendar year #bjbj1 #c4bi1 and 7,,vi7 #c4ec thereafter4 7ii7 ,minimum ceiling amount ,the minimum ceiling amount is-- 7,i7 for calendar year #bjaf1 #b1fij1jjj1 7,,ii7 for calendar year #bjag1 #b1iei1jjj1 7,,iii7 for calendar year #bjah1 #c1bbh1jjj1 7,,iv7 for calendar year #bjai1 #c1dig1jjj1 7,v7 for calendar year #bjbj1 #c1gff1jjj1 and 7,,vi7 #d1jce1jjj thereafter4 4 7#c7 ,modification of cost-of-living adjustment ,subparagraph 7,h7 of section #db7;h77#c7 of such ,code is amended-- 7,a7 by striking #bjjb in clause 7i7 and inserting #bjaf1 7,b7 by striking the #b1jjj1jjj and #a4ge amounts in subparagraph 7,c7 in clause 7i7 and inserting the dollar amounts applicable to such calendar year under clauses 7i7 and 7ii7 of subparagraph 7,i71 7,c7 by striking #bjja in clause 7i77,,ii7 and inserting #bjae1 7,d7 by striking #b1jjj1jjj in clause 7ii77,i7 and inserting minimum ceiling1 and 7,e7 by striking #a4ge in clause 7ii77,,ii7 and inserting per capita dollar4 7#d7 ,effective date ,the amendments made by this subsection shall apply to calendar years beginning after ,december #ca1 #bjaf4 7b7 ,permanent increases 7#a7 ,in general ,clause 7ii7 of section #db7;h77#c77;,c7 of the ,internal ,revenue ,code of #aihf1 as amended by subsection 7a77#a71 is amended-- 7,a7 by striking the per capita dollar amount in subclause 7,i7 and inserting #c4ec1 and 7,b7 by striking the minimum ceiling amount in subclause 7,,ii7 and inserting #d1jce1jjj4 7#b7 ,conforming amendment ,paragraph 7#c7 of section #db7;h7 of such ,code is amended by striking subparagraph 7,i71 as amended by subsection 7a77#b74 7#c7 ,cost-of-living adjustment ,subparagraph 7,h7 of section #db7;h77#c7 of such ,code1 as amended by subsection 7a77#c71 is amended-- 7,a7 by striking the dollar amounts applicable to such calendar year under clauses 7i7 and 7ii7 of subparagraph 7,i7 in clause 7i7 and inserting the #d1jce1jjj and #c4ec amounts in subparagraph 7,c71 7,b7 by striking minimum ceiling in clause 7ii77,i7 and inserting #d1jce1jjj1 and 7,c7 by striking per capita dollar in clause 7ii77,,ii7 and inserting #c4ec4 7#d7 ,effective date ,the amendments made by this subsection shall apply to calendar years beginning after ,december #ca1 #bjba4 #c4 ,average income test 7a7 ,in general ,paragraph 7#a7 of section #db7;g7 of the ,internal ,revenue ,code of #aihf is amended-- 7#a7 by striking subparagraph 7,a7 or 7,b7 and inserting subparagraph 7,a71 7,b71 or 7,c71 and 7#b7 by inserting after subparagraph 7,b7 the following new subparagraph3 7,c7 ,average income test 7i7 ,in general ,the project meets the minimum requirements of this subparagraph if #dj percent or more 7#be percent or more in the case of a project described in section #adb7;d77#f77 of the residential units in such project are both rent-restricted and occupied by individuals whose income does not exceed the imputed income limitation designated by the taxpayer with respect to the respective unit4 7ii7 ,special rules relating to income limitation ,for purposes of clause 7i7-- 7,i7 ,designation ,the taxpayer shall designate the imputed income limitation of each unit taken into account under such clause4 7,,ii7 ,average test ,the average of the imputed income limitations designated under subclause 7,i7 shall not exceed #fj percent of area median gross income4 7,,iii7 #aj-percent increments ,the designated imputed income limitation of any unit under subclause 7,i7 shall be #bj percent1 #cj percent1 #dj percent1 #ej percent1 #fj percent1 #gj percent1 or #hj percent of area median gross income4 4 7b7 ,conforming amendments ,subparagraph 7,c7 of section #db7;g77#b7 of the ,internal ,revenue ,code of #aihf is amended-- 7#a7 by redesignating clauses 7i7 and 7ii7 as subclauses 7,i7 and 7,,ii71 respectively1 and by moving such subclauses #b ems to the right1 7#b7 by moving the flush language #b ems to the right1 7#c7 by striking ,for purposes of this paragraph1 the and inserting 8,for purposes of this paragraph-- 7i7 ,general rule ,except as provided in clause 7ii71 the 1 and 7#d7 by adding at the end the following new clause3 7ii7 ,special rule for average income test ,in the case of a project with respect to which the taxpayer elects the requirements of subparagraph 7,c7 of paragraph 7#a71 the imputed income limitation applicable to a unit is the imputed income limitation designated with respect to such unit under paragraph 7#a77;,c77ii77,i74 4 7c7 ,effective date ,the amendments made by this section shall apply to elections made under section #db7;g77#a7 of the ,internal ,revenue ,code of #aihf after the date of the enactment of this ,act4 #d4 ,minimum credit rate 7a7 ,in general ,subsection 7b7 of section #db of the ,internal ,revenue ,code of #aihf is amended-- 7#a7 by redesignating paragraph 7#c7 as paragraph 7#d71 and 7#b7 by inserting after paragraph 7#b7 the following new paragraph3 7#c7 ,minimum credit rate ,in the case of any new or existing building to which paragraph 7#b7 does not apply and which is placed in service by the taxpayer after ,december #ca1 #bjae1 the applicable percentage shall not be less than #d percent4 4 7b7 ,effective date ,the amendments made by this section shall apply to buildings placed in service after ,december #ca1 #bjae4