The Weakness of Neighborhood Revitalization Planning in the Low-Income Housing Tax Credit Program: Warnings from Connecticut

Overview

This analysis uses Connecticut's implementation of the "concerted community revitalization plan" (CCRP) requirement within the Low-Income Housing Tax Credit (LIHTC) program as a case study. It raises concerns that the CCRP requirement is inadequately enforced and consequently fails to foster rigorous revitalization planning. 

 Key Findings

• The study reveals that LIHTC applications systematically received points for contributing to CCRPs, even as important aspects of revitalization planning were absent.
• The study observes little difference between revitalization planning in high-poverty neighborhoods covered by the CCRP process and low-poverty neighborhoods not eligible for that priority. 

Implications for Policy and Practice

The report recommends renewed attention on ensuring that LIHTC investments promote meaningful revitalization of high-poverty neighborhoods—whether through stricter standards for the CCRP process, through improved implementation, or through separate aspects of LIHTC policy.