Kentucky Housing Corporation (KHC) has made revisions to the scoring criteria as shown in the final draft of the 2021-2022 QAP. KHC will accept written comments on the final draft until Friday, March 6, 2020, by email to rentalqap@kyhousing.org.
Multifamily Asset Compliance has created a new process for inspections conducted for all funding sources. The new inspection process is regarding access or lack thereof to units or other areas of the project deemed necessary to inspect during a scheduled review.
KHC will not inspect a unit that requires access by forced entry, including but not limited to removing locks or hardware. The unit will be considered out of compliance and a re-inspection will need to be conducted. The owner will be required to pay the re-inspection fee of $500 for KHC staff to return onsite to complete the inspection. The re-inspection fee is due and payable once the new review date and time have been established by all parties. If you have any questions, please email KHC’s Phyllis Clem at pclem@kyhousing.org.
The Internal Revenue Service (IRS) published a final rule on February 26, 2019, amending the LIHTC compliance monitoring regulation. Housing Finance Agencies administering their state’s LIHTC program must now randomly inspect no fewer LIHTC-assisted units than the number specified for projects of the various sizes in the LIHTC Minimum Unit Sample Size Reference, which has been in use by the HUD Real Estate Assessment Center (REAC). A sample chart is available on HUD’s website. Effective Wednesday, July 1, 2020:
- KHC will begin reviewing projects by utilizing the new sampling size for selecting files and units to be reviewed/inspected. Please refer to Sample Chart in the link above;
- Vacant units can be included in the sampling size for meeting new regulations; and
- The final regulation reduces the advance notice of a review form 30 days to 15 days. Agencies will receive no more than a 15-day notice of review to be scheduled.
