AN ACT CONCERNING THE INCOME THRESHOLD FOR TENANTS RENTING A DWELLING UNIT IN A SET-ASIDE DEVELOPMENT.

HB 5363 allows tenants in set-aside housing developments to continue renting at affordable rates for up to three years after their income temporarily exceeds the development's income thresholds (60% or 80% of median income), provided the development does not use federal low-income housing tax credits. This applies specifically to existing tenants who initially qualified under the 30% set-aside requirement for affordable units. The bill modifies existing rules to prevent sudden rent increases for qualifying tenants who experience short-term income growth, without changing the initial income eligibility criteria for new applicants.