Invest America Act

119th Congress Introduced by Ted Cruz

Bill S 1718 offers partial property tax exemptions for homes transferred to low-income families by government or nonprofit entities, boosting affordable homeownership.

Introduced in Senate

Summary of Bill S 1718

Bill Number: S 1718
Title: Provides for a partial exemption from taxation of certain residential real property transferred by a governmental entity, nonprofit housing organization, land bank, or community land trust to low-income households
Status: Substituted by A355C
Introduced: January 13, 2025
Classification: Bill

Purpose and Intent

Bill S 1718 aims to address housing affordability by providing a partial exemption from property taxation for specific residential real properties. These properties must be transferred from governmental entities, nonprofit housing organizations, land banks, or community land trusts to low-income households. The intent is to alleviate the financial burden on low-income families and promote homeownership among this demographic.

Key Provisions

Tax Exemption: The bill proposes a partial exemption from property taxes for residential properties that meet the criteria of being transferred to low-income households.

Eligible Entities: The exemption applies to properties transferred by:

Governmental entities
Nonprofit housing organizations
Land banks
Community land trusts

Target Population: The primary beneficiaries of this legislation are low-income households, which may struggle with the costs associated with homeownership.

Impact

Low-Income Households: The bill is designed to make homeownership more accessible for low-income families by reducing their tax liabilities.

Housing Organizations: Nonprofit organizations and governmental entities involved in housing initiatives will be directly impacted, as they will have the ability to transfer properties with the benefit of tax exemptions.

Local Governments: The implementation of this bill may affect local government revenue from property taxes, necessitating adjustments in budget planning and resource allocation.

Legislative Timeline

January 13, 2025: Bill S 1718 was introduced and referred to the Local Government Committee.

February 10, 2025: The bill was amended and recommitted to Local Government, with a new print number (1718A).

April 7, 2025: Further amendments were made, and the bill was printed under a new number (1718B).

April 15, 2025: The committee was discharged, and the bill was committed to the Rules Committee, ordered to third reading (Cal. 682).

April 29, 2025: The bill was substituted by A355C, indicating a significant revision or replacement.

Related Bills

S 6255: A related bill from the prior session that may address similar issues in housing and taxation.

A 355: A companion bill that aligns with the objectives of S 1718, potentially offering additional provisions or amendments.

This summary provides an overview of Bill S 1718, highlighting its purpose, key provisions, and the potential impact on low-income households and housing organizations. The legislative timeline outlines the progression of the bill through the legislative process.