S3350-118

1. Short title This Act may be cited as the Keeping Housing Affordable in Forgotten Communities Act.

2. Reconnecting communities pilot program Section 11509 of the Infrastructure Investment and Jobs Act (23 U.S.C. 101 note; Public Law 117–58) is amended— in subsection (a)— in paragraph (2)— by redesignating subparagraphs (A) through (C) as clauses (i) through (iii), respectively, and indenting appropriately; and by striking the paragraph designation and heading and all that follows through the term and inserting the following: The term by striking the subsection designation and heading and all that follows through the term in paragraph (1) and inserting the following: In this section: The term community land trust means a nonprofit entity or a State or local government or instrumentality of a State or local government that— is not sponsored by a for-profit organization; has as a primary purpose the provision and maintenance of housing that provides long-term affordability for low- and moderate-income persons; provides housing described in subparagraph (B) using a ground lease, deed covenant, or other similar legally enforceable measure, as determined by the Secretary, that— keeps the housing affordable to low- and moderate-income persons for a period of not less than 30 years; and enables low- and moderate-income persons to purchase the housing for homeownership; and maintains preemptive purchase options to purchase the property so the housing remains affordable to low- and moderate-income persons. The term in subsection (b)— in paragraph (2), by inserting , or to create or preserve long-term affordable housing units around the existing eligible facility after facility; and in paragraph (3), by inserting and to enable the creation or preservation of long-term affordable housing units around the existing eligible facility after facility; in subsection (c)(2)— in subparagraph (A)— in clause (vii), by striking and at the end; in clause (viii), by adding and after the semicolon at the end; and by adding after clause (viii) the following: the impact of the removal, retrofit, or mitigation of the eligible facility on the supply of affordable rental and owner-occupied housing in the surrounding area; in subparagraph (B), by striking and at the end; redesignating subparagraph (C) as subparagraph (D); and by inserting after subparagraph (B) the following: housing planning activities required in advance of a project to remove, retrofit, or mitigate an existing eligible facility in order to preserve affordable housing around the existing eligible facility, including— the incorporation of long-term affordability into such a project or the surrounding area through new or existing— community land trusts; other shared equity homeownership programs that— have income requirements; require a resale formula that limits the price for which the property may be resold; and are managed by a nonprofit affordable housing organization or developer; resident-owned communities, including manufactured housing communities; housing cooperatives; Tribal entities; or rental housing that will remain affordable for a period of not less than 30 years; planning related to the use or purchase of property around the existing eligible facility by a community land trust, nonprofit organization or developer, municipality, or land bank for the purpose of creating affordable housing; and planning related to the implementation of a land value tax or a tax increment financing district for the purpose of funding affordable housing; and in subsection (d)(4)(B)(viii)— in subclause (I), by striking and at the end; in subclause (II), by striking the period at the end and inserting ; and; and by adding at the end the following: preserving existing affordable housing and preventing displacement of residents. in subsection (e), by adding at the end the following: Not later than January 1, 2027, the Secretary and the Secretary of Housing and Urban Development shall submit to the Committee on Environment and Public Works of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives a report that evaluates the program under this section, including— for the recipients of capital construction grants, data on— rent and homeownership costs during and after the award of a grant under this section; and demographic changes in the surrounding area after the award of a grant under this section; and information about partnerships that recipients of grants under this section have entered into with affordable housing organizations, including community land trusts or other shared equity models, to preserve or develop affordable housing. (B)InclusionsThe term; and (a)DefinitionsIn this section:(1)Community land trustThe term community land trust means a nonprofit entity or a State or local government or instrumentality of a State or local government that—(A)is not sponsored by a for-profit organization; (B)has as a primary purpose the provision and maintenance of housing that provides long-term affordability for low- and moderate-income persons; (C)provides housing described in subparagraph (B) using a ground lease, deed covenant, or other similar legally enforceable measure, as determined by the Secretary, that—(i)keeps the housing affordable to low- and moderate-income persons for a period of not less than 30 years; and(ii)enables low- and moderate-income persons to purchase the housing for homeownership; and(D)maintains preemptive purchase options to purchase the property so the housing remains affordable to low- and moderate-income persons.(2)Eligible facility(A)In generalThe term; (ix)the impact of the removal, retrofit, or mitigation of the eligible facility on the supply of affordable rental and owner-occupied housing in the surrounding area;; (C)housing planning activities required in advance of a project to remove, retrofit, or mitigate an existing eligible facility in order to preserve affordable housing around the existing eligible facility, including—(i)the incorporation of long-term affordability into such a project or the surrounding area through new or existing—(I)community land trusts;(II)other shared equity homeownership programs that—(aa)have income requirements;(bb)require a resale formula that limits the price for which the property may be resold; and(cc)are managed by a nonprofit affordable housing organization or developer;(III)resident-owned communities, including manufactured housing communities;(IV)housing cooperatives;(V)Tribal entities; or (VI)rental housing that will remain affordable for a period of not less than 30 years; (ii)planning related to the use or purchase of property around the existing eligible facility by a community land trust, nonprofit organization or developer, municipality, or land bank for the purpose of creating affordable housing; and(iii)planning related to the implementation of a land value tax or a tax increment financing district for the purpose of funding affordable housing; and; (III)preserving existing affordable housing and preventing displacement of residents.; and (3)Joint report on affordable housingNot later than January 1, 2027, the Secretary and the Secretary of Housing and Urban Development shall submit to the Committee on Environment and Public Works of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives a report that evaluates the program under this section, including—(A)for the recipients of capital construction grants, data on—(i)rent and homeownership costs during and after the award of a grant under this section; and(ii)demographic changes in the surrounding area after the award of a grant under this section; and(B)information about partnerships that recipients of grants under this section have entered into with affordable housing organizations, including community land trusts or other shared equity models, to preserve or develop affordable housing..