By Jakob Thorington | Arizona Capitol Times
A state program intended to incentivize the development of affordable housing is scheduled to sunset at the end of 2025, and legislative Republicans are awaiting an audit to determine if it’s worth continuing in the future.
Members of the Joint Legislative Audit Committee voted unanimously to approve a special audit from the Auditor General’s Office that will examine the Department of Housing’s Low Income Housing Tax Credit program, which will be included in the department’s regular sunset review.
The state program, modeled after the federal program that began in former President Ronald Reagan’s administration, was launched in 2022 to promote the development of affordable rental housing for low-income individuals and families by creating tax credits to incentivize housing developers to build affordable housing units.
The audit committee’s chairman Rep. Matt Gress, R-Phoenix, said he’s not sure if the state program is worth continuing because it only accounts for 2.5% of total low-income housing tax credits in Arizona and hasn’t led to the creation of many units in the state.
