Southwestern Affordable Housing Supply and Infrastructure Act

To address rising housing costs in fast-growing Southwestern communities, this bill would expand and modernize federal tax incentives for the construction and rehabilitation of affordable workforce housing, including targeted improvements to the Low-Income Housing Tax Credit and a temporary tax credit for small local developers building below-market homes and rental units. The bill would also authorize competitive federal grants for water, sewer, road, and utility upgrades directly tied to qualifying housing projects in high-growth areas, with priority for projects that streamline permitting, reserve units for working families, and demonstrate partnerships with local governments, tribes, and nonprofit housing providers.