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New Virginia bond law goes into effect
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Sands AndersonThe first month of Virginia House Bill 806 is nearly over as local governments and public finance attorneys are still unpacking the possibilities.
HB 806 changes the rules that blocked EDA's ability to issue housing bonds in Virginia.
Prior to the change, EDAs could finance residential rental projects only in localities where a housing authority had not been activated.
Larger Virginia cites and urban counties began establishing housing authorities in the 1940s, which up until this month, limited EDA's role in the housing bond market.
LIHTCs rely on bond sales and are a vital chip in the capital stack frequently used to finance affordable housing.