The Vermont Housing Finance Agency has released an overview of its proposed implementation plan for the tax credit assistance (TCAP) and tax credit monetization (Exchange) programs, established by the American Recovery and Reinvestment Act. The memo provides program guidelines, eligibility requirements and application deadlines for both assistance programs. In addition, VHFA has published draft competitive priorities for the TCAP program. Weight will be given to projects that meet the following priorities:
- Developments that at one time had all permanent sources committed, are currently under construction, and now have a funding shortfall;
Developments that: 1) have sought all anticipated funding from sources, including but not limited to VHCB’s programs and DHCA’s programs; 2) still have a funding gap; and 3) seem likely to begin construction in calendar year 2009; and - Developments for which the sponsor has site control, has a preliminary plan for the development, and has at least one permanent funding source committed.
The document also states that developers seeking Section 1602 (Exchange) funding must demonstrate that they have made a “good faith effort” to obtain tax credit equity commitments and have been denied by at least two tax credit investors/syndicators. read more…
