Advocacy Center
CDFA is the voice of development finance on Capitol Hill and with the federal Administration, providing leadership on policy decisions that impact the industry. CDFA is a bipartisan organization that supports sound public policy and the leadership involved in making important decisions affecting development finance.
Each year CDFA produces a Policy Agenda and works with legislators and federal officials to advance these initiatives. Additionally, CDFA holds briefings, trainings, and advises legislative and federal stakeholders on numerous topics.
Want regular updates on legislative and federal affairs? CDFA publishes the highly popular
Legislative & Federal Affairs Update each month. This free newsletter features development finance news, resources, case studies, and the latest from Capitol Hill and the federal government.
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-Latest Developments
CDFA Calls on Congress to Create Permanent Disaster Recovery Bonds
Communities and counties in Florida, Georgia, South Carolina, North Carolina, Virginia, Tennessee, and other states need immediate assistance following the destruction caused by Hurricane Helene. CDFA is urging Congress to establish a permanent category of Disaster Recovery Bonds, which would would provide reliable resources to begin the recovery process in a timely manner.
Read CDFA's plan to establish permanent Disaster Recovery Bonds.
Read this story on CDFA's advocacy efforts.
CDFA Renews Support for Bipartisan Plan for Manufacturers, First-Time Farmers
CDFA is again urging federal policymakers to pass
the Modernizing Agricultural and Manufacturing Bonds Act (MAMBA), which would enact bond financing reform for first-time farmers and smaller manufacturers.
MAMBA (H.R. 3787 and S. 2653) would update the rules for Small Issue Manufacturing Bonds, or Industrial Development Bonds (IDBs), as well as First-Time Farmer Bonds (“Aggie Bonds”). Because the rules have not been modernized in more than three decades, bond activity has declined, thereby hindering efforts to expand domestic agriculture and manufacturing.
Read CDFA's press release.
Read this editorial by CDFA President and CEO Toby Rittner.
Development finance agencies are encouraged to let their voices be heard on Capitol Hill. To get engaged,
contact CDFA.
CDFA Supports Bipartisan Bill to Convert Commercial Real Estate to Housing
CDFA has announced its support for bipartisan federal legislation,
H.R. 9002 - The Revitalizing Downtowns and Main Streets Act, which would create a temporary federal tax credit to encourage the conversion of vacant and under-utilized commercial properties into residential housing.
Introduced by U.S. Reps. Mike Carey (R-Ohio) and Jimmy Gomez (D-Calif.), H.R. 9002 would create a temporary federal tax credit to encourage the conversion of vacant and underutilized commercial properties into residential housing. Modeled after the successful Historic Preservation Tax Credit program, the bill would provide a 20% credit in any taxable year for qualified conversion expenditures. For 30 years after a conversion, at least 20% of the residential units in converted buildings would need to be reserved for individuals with incomes at 80% or below the area’s median income.
Read CDFA's press release.
Development finance agencies are encouraged to let their voices be heard on Capitol Hill. To get engaged,
contact CDFA.
-CDFA Policy Agenda
Overview
CDFA is committed to fulfilling numerous development finance policy objectives in 2024, including the improvement of tax-exempt bonds, reinstatement of the brownfields redevelopment tax incentive, and continued support for critical federal financing programs. This agenda is borne out of CDFA’s 42 years as a national leader in the development finance industry and is crafted to address market-based access to capital challenges. CDFA is prepared to assist Congress with implementation of the following policy priorities:
- Priority 1: Reform Manufacturing and Agricultural Bonds - Passing the Modernizing Agricultural and Manufacturing Bonds Act will update the tax code's private activity bond rules for Industrial Development Bonds and Agricultural Bonds.
- Priority 2: Create Permanent Disaster Recovery Bonds - Create a permanent bond financing tool that can be accessed immediately after disaster strikes, and that can leverage private investment for longer-term redevelopment of essential infrastructure.
- Priority 3: Reinstate the Brownfields Redevelopment Tax Incentive - CDFA supports the passage of H.R. 6438 - The Brownfields Redevelopment Tax Incentive Reauthorization Act of 2023 - which would reinstate the brownfields redevelopment tax incentive to allow taxpayers to fully deduct the cleanup costs of contaminated property in the year the costs were incurred.
- Priority 4: Remove Water and Sewer Bonds from Private Activity Bond Volume Cap - CDFA supports the passage of H.R. 1407/S. 726 - The Financing Lead Out of Water (FLOW) Act - which provides bipartisan remedies to the prohibition of using private activity bonds to finance the costs of replacing privately owned portions of a lead service line in a public water system.
- Priority 5: State Small Business Credit Initiative Technical Fix - CDFA proposes a technical correction to extend program authorization to 2030 to ensure that all jurisdictions can fully execute their approved plans to strengthen and grow small businesses across the United States.
- Priority 6: Reinstate Contributions in Aid of Construction Under 26 U.S. Code Section 118 - CDFA supports the reinstatement of 26 U.S. Code Section 118, which would allow state and local governments to contribute abandoned property or provide grants on a tax-exempt basis to developers for projects that benefit the public.
- Priority 7: Bolster Economic Development Financing Tools - CDFA supports restoring local economies, preserving small businesses, investing in underserved communities, and protecting the environment.
View CDFA's Full Policy Agenda -Federal News
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