The Arizona Department of Housing has issued a notice to clarify eligible uses of Tax Credit Assistance Program (TCAP) funding provided under the American Recovery and Reinvestment Act (ARRA). TCAP funds are eligible for:
- Reimbursement of project land acquisition costs; and
- Reimbursement of soft costs that are includable in eligible basis to the extent that those costs are included in the development budget.
The Department will also consider permitting payment of the 40% first-draw threshold as part of the closing process for TCAP projects that meet the criteria.
