Kendall County Times

Gov. J.B. Pritzker and the Illinois Housing Development Authority (IHDA) have earmarked nearly $26 million in federal Low-Income Housing Tax Credits (LIHTC) to provide funding for an increasing number of affordable housing developments statewide.

In a June 21 news release, Pritzker announced the tax credits are likely to generate about $235 million in private funds to drive the creation or preservation of 1,159 housing units for low- to moderate-income families, people with disabilities and seniors.

"Here in the Land of Lincoln, housing isn't a privilege – it's a right. And my administration is committed to making sure that every Illinoisan has access to affordable housing, so they can build better lives for themselves and their families," Pritzker said in the news release. “That's why we are dispersing $26 million through Low-Income Housing Tax Credits to build more units, reaching even more families up and down the state with a safe place to call home."

According to the governor’s news release, citing data from the National Low Income Housing Coalition, it is estimated that nearly three of every four extremely low-income rental households statewide are bearing a heavy financial burden or spending more than half of their household income on housing, with a shortage of affordable housing for that demographic.

The governor’s news release also indicated the state would have to create and preserve more than 293,354 housing units to get a handle on the issue and ease the financial hardship on those families hit hardest by helping them have more security and stability.

Pritzker’s office also noted the Low-Income Housing Tax Credit program is pushing the IRS to provide tax credits each year to every state based on population. The program, according to the governor’s news release, was created with the passage of the Tax Reform Act of 1986 by Congress.

According to the news release, citing analysis from the National Association of Home Builders, the program has provided more than $208 billion in equity investments since 1987, and has created almost 3.5 million affordable housing rental units providing a home for 8 million low-income households.