{"id":29636,"date":"2024-07-17T11:56:51","date_gmt":"2024-07-17T15:56:51","guid":{"rendered":"https:\/\/www.carh.org\/?p=29636"},"modified":"2024-09-23T11:19:57","modified_gmt":"2024-09-23T15:19:57","slug":"hud-supports-owners-interested-in-new-resource-to-fund-50-of-solar-project-costs","status":"publish","type":"post","link":"https:\/\/www.carh.org\/hud-supports-owners-interested-in-new-resource-to-fund-50-of-solar-project-costs\/","title":{"rendered":"HUD Supports Owners Interested in New Resource to Fund 50% of Solar Project Costs"},"content":{"rendered":"

On July 17, 2024, HUD’s Office of Multifamily Housing sent out the following information:<\/em><\/p>\n

HUD\u2019s Office of Multifamily Housing Programs has launched a new\u00a0video<\/a>,<\/strong> as part of its\u00a0series of recordings<\/strong><\/a>\u00a0to help owners of HUD-assisted multifamily housing properties as well as other stakeholders better understand a new tax credit program that can help fund 50% of solar project costs at Federally-assisted residential properties. This recording, co-hosted by HUD\u2019s Office of Public and Indian Housing, provides a 20-minute overview of the basic requirements of the program and describes why multifamily owners, PHA\u2019s, tribes, and communities should look into this unique and new opportunity.<\/p>\n

The Low-Income Communities Bonus Credit Program<\/a><\/strong>, administered by the Department of Energy (DOE), promotes cost-saving solar or wind investments in low-income communities, on Indian land, as part of affordable housing developments, and benefitting low-income households. The Low-Income Communities Bonus Credit supplements the existing Clean Electricity Investment Tax Credit (ITC) (sometimes referred to as \u201c48E\u201d). The standard 48E credit provides owners with a base credit of up to 30% of the cost of a renewable energy project. In particular, the Low-Income Communities Bonus Credit (also referred to as the \u201cLow-Income or EJ Adder\u201d) can add 20 percentage points to the base credit for solar or wind installations at low-income residential buildings considered\u00a0eligible covered housing<\/a><\/strong>\u00a0under Category 3 (Qualified Low-Income Residential Project), which includes most HUD-assisted multifamily housing properties. Therefore, the base ITC, when combined with this bonus, can fund 50% of a residential solar project. If a project qualifies for additional ITC bonuses, an owner can potentially fund up to 70% of the costs of a solar facility.<\/p>\n

HUD will be producing additional recordings to add to this \u2018playlist\u2019 in order to provide owners and other stakeholders with additional information on this program in the coming months.<\/p>\n