Committee hears update on housing bill: Ways and Means stripped appropriations; Appropriations likely to reduce VHCB/VHFA funding

Committee leadership reported the current status of the committee's comprehensive housing bill and planning for next week's floor activity.

The chair said Ways and Means removed the short‑term rental tax from the housing bill, noting the Department of Taxes had flagged administrative complexity; that item may be revisited later. Two VHFA and VHCB programs that had been included in the committee's bill were moved into the budget and, according to the chair, Appropriations is expected to propose substantially lower funding levels than the committee requested.

Examples given by the chair: a request of $25 million for VHCB housing programs was likely to be reduced to about $8 million in the Appropriations draft; VHFA amounts were also reduced in preliminary Appropriations work. The chair said the committee will receive the Appropriations amendment and then take a straw poll of members before the floor vote. Committee members were assigned to help present sections of the bill on the House floor.

The chair also noted that the Senate has a related housing bill (S127) under review in Senate Finance; the committee planned a review of the senate draft to prepare for potential cross‑chamber work and to coordinate walk‑throughs when the House has bill possession. Members were asked to expect possible floor amendments and to be prepared to present the committee's positions during the floor debate.

No formal committee votes were recorded in this update; the remarks were procedural and focused on next steps for floor presentation and coordination with Appropriations and Ways and Means.