The proposed resolution, introduced by Councilmember Robert C. White, Jr., seeks to declare an emergency to amend the District of Columbia Rental Housing Act of 1985. The amendment aims to clarify that rental units participating in the Low-Income Housing Tax Credit (LIHTC) program are exempt from the Rent Stabilization Program. This clarification is necessary following a court ruling that overturned the long-standing exemption, which could potentially subject over 11,000 LIHTC-assisted units to rent stabilization, jeopardizing their financial viability and risking defaults on their commitments.

The resolution emphasizes that the LIHTC program already imposes its own rent increase limitations, ensuring affordability for tenants. By exempting LIHTC units from local rent stabilization laws, the resolution aims to preserve the agreed-upon rent structures and maintain the stability of the LIHTC investment market, which is crucial for the preservation and production of affordable housing in the District. The Council considers the situation an emergency, necessitating immediate action to prevent potential foreclosure of LIHTC properties and to protect tenants' housing stability.