The California Tax Credit Allocation Committee has released its proposed regulation changes for 2010. The committee has also scheduled three public meetings to solicit comments on the possible changes. The meetings will be held Dec. 4 in Los Angeles, Dec. 7 in Sacramento, and Dec. 9 in San Francisco. The proposed changes include increasing housing goal percentages for special-needs and single-room occupancy housing types up to 15 percent each, clarifying the geographic apportionment naming styles, and starting in the second round of 2010, limiting a sponsor’s 9 percent applications to no more than four per round and no more than two per set-aside or geographic apportionment.
Officials also propose to amend the final tiebreaker to combine the ratios of (a) requested unadjusted eligible basis to total development costs, and (b) committed permanent public funding to total development costs. Officials note that they would eliminate the exceptions of land costs and developer fee in the total development cost figure. In two other moves, minimum debt-service coverage ratio is proposed to increase to 1.15x, and an additional manager’s unit is proposed to be required for every additional 80 units in a property.. Read More…
