Tax Credit, Flood Insurance and USDA Updates

Other Miscellaneous Updates

• Flood Insurance

We understand that the Senate is scheduled to take up the flood insurance extension bill today under unanimous consent.  Unanimous consent is an expedited process which means it would go to the President for signature  shortly thereafter.  The extension is through September 30, 2010.

• Extension of tax credit processing deadline

It is now looking more likely that the tax credit processing extension will be completed before the 4^th of July recess.  The major issue is finding a revenue offset for the $150 million cost of extending the processing deadline.

As we have noted in earlier updates,  Senator Reid, Senate Majority Leader, introduced this bill and he therefore is obviously very interested in getting this provision enacted into law.  The odds are probably better than 75% that this provision will be enacted before the recess.  In the event the extension does not occur, it could also be taken up when the Congress returns on July 12^th.

• USDA

We are still waiting to see what the House will do on the supplemental appropriations bill that includes USDA funding.  If the House does not accept the Senate version of the supplemental bill in the next couple of days, it will obviously be delayed until the week of July 12^th at the earliest.