Bill
AB 62
AB 62 would broaden and speed transferable state tax credits for affordable housing, expanding who can receive transfers and accelerating project closings.
Author: McKinnor (on behalf of the Advisory Committee on Housing)
Introduced: December 2, 2024 — Final action: Vetoed by Governor (Oct 13, 2025)
Summary
AB 62 would revise Nevada’s program authorizing transferable state tax credits to finance the acquisition, construction, rehabilitation, or preservation of low‑income housing. The bill seeks to increase program flexibility for project closings and transfers, clarify timing rules for credit use, and adjust how annual and cumulative credit availability is managed.
Key provisions
- Application timing: reduces the required window for submitting a final application for certificate/issuance from 45 days before project closing to 15 days (with certain exceptions).
- Land acquisition: allows long‑term ground leases (in addition to fee title) to be used to demonstrate site acquisition necessary to close a project.
- Transferability: clarifies and expands who may receive transfers — authorizes sponsors to transfer credits to members/partners or to other entities, which may then further transfer credits to affiliates/other entities.
- Credit expiration timing: clarifies that the 4‑year period during which credits may be used begins on the date the Housing Division notifies the sponsor that credits will be issued, rather than the actual issuance date.
- Annual and cumulative availability:
- Leaves in place the statutory $10 million-per‑fiscal‑year approval limit (with an ability to approve up to $13 million in a year under specified conditions); requires reductions in future years when the cap is exceeded.
- Earlier drafts/committee reports proposed increasing the total cumulative cap from $40 million to $100 million; a later Assembly Amendment (No. 949) bracketed/removed that increase. (Note: versions differed on this point—see legislative actions and amendments.)
- Administrative/priority rules: directs the Housing Division to determine the amount of credits necessary to make a project feasible and to reserve credits in order of threshold points; clarifies notice and reservation procedures.
Support, purpose, and expected impact
- Sponsors and supporters (Nevada Housing Division, Nevada Housing Coalition, Nevada Rural Housing Authority, Praxis Consulting) argued the changes would make the transferable tax credit a more effective gap‑financing tool amid rising construction costs and reduced federal resources.
- Expected benefits: greater financing flexibility for affordable housing developers, improved ability to close transactions, and potentially increased production of low‑income units.
- Fiscal impact: the bill affects state revenues (tax credits reduce State tax receipts); committee materials flagged a state fiscal effect (no local government effect).
Legislative history / status highlights
- Referred to Revenue Committee (Feb 2025); heard and amended in committees (Judiciary, Ways & Means, Appropriations).
- Passed both houses (Senate concurrence with amendments Sept 2025); enrolled and presented to Governor Sept 16, 2025.
- Vetoed by Governor on Oct 13, 2025.
Notes and caveats
- Multiple versions and an Assembly amendment modified or removed the proposed increase in the cumulative credit cap; readers should consult the specific enrolled text and Amendment No. 949 for precise language.
- The bill’s net fiscal effect depends on final allocation rules and whether cumulative cap changes are included; because it was vetoed, none of its provisions became law.
Compiled from official sources — confirm details with the bill’s official record.
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