While hoping for the best, CDLAC is preparing a “dual track” strategy to prepare for the possible elimination of the Private Activity Bond Program through federal tax reform. If the program remains in jeopardy, CDLAC will be prepared to accept streamlined applications and issue as much of the remaining bond cap allocation as possible in late December.
To the extent that these late applicants are not already scheduled to receive a tax credit reservation at the November or December TCAC meetings, TCAC plans to accept, review, and award the corresponding tax credit requests for these late applicants on a standard schedule in 2018. TCAC will work with applicants to ensure that their applications meet the TCAC regulatory requirements to receive tax credit reservations. Whereas 4% tax credits are unlimited and non-competitive, TCAC anticipates that bond issuances will be able to close by the end of 2017 with the assurance that TCAC will award tax credits to qualifying projects thereafter.
Please contact Executive Director Mark Stivers at mark.stivers@treasurer.ca.gov with any questions or concerns.
