The Housing Credit Program, administered by the Kentucky Housing Corporation, is a financing mechanism widely utilized to help fund the development of permanent, affordable rental housing throughout the Commonwealth of Kentucky and the United States. The program uses federal investment tax credits for specifically approved housing developments.

Two key provisions of the Housing Credit Program ensure that units developed meet a community’s needs for safe, decent, affordable housing.

• First, rent limits are imposed on any assisted units.
• Second, the occupancy of any assisted unit is limited to households with incomes at or below 60% of the area median, adjusted for family size.

These rent and household income guidelines are adjusted annually.

Louisville Metro encourages Housing Credit Program developments that serve a mixed-income population and, unless they meet a special need (i.e., senior housing), are not located in areas that contain concentrations of lower income persons or pockets of poverty.

There are no Section 8 Housing Certificates or Vouchers tied to housing developments funded in whole or in part through the Housing Credit Program, although discrimination against households receiving Section 8 assistance is prohibited.

As part of its review and approval process, KHC requires all applicants to submit a letter of endorsement from the highest official of local government in which a proposed development will be located. Prior to considering the endorsement of any specific development, Louisville Metro Housing and Community Development (LMHCD) advises the Mayor and the Metro Councilperson of each Housing Credit Program proposal received, and performs a thorough review and analysis of each proposed housing development.

In order to secure a Letter of Support from the Mayor for the Housing Credit Program, please complete the Endorsement Request Form.