Qualified Allocation Plans

The Maryland Department of Housing and Community Development (DHCD) released the draft of the 2020 Qualified Allocation Plan (QAP) and Multifamily Rental Financing Guide (Guide) for public comment.  Draft comments are due by December 15, 2019 and can be submitted to dhcd.qap@maryland.gov. A summary of proposed revisions is available here. Please note the list only includes the major proposed revisions, not all revisions.

On December 5 the California Tax Credit Allocation Committee issued new guidance relating to on site manager units at LIHTC Properties. California law 25 CCR § 42 requires an onsite manager, maintenance, or other responsible person for rental housing of 16 units or more. The Internal Revenue Service (IRS) guidance for manager or exempt units permits the cost of the unit to be included in eligible basis if the unit is reasonably required for the operation of the residential rental housing (IRS Revenue Ruling 92-61); however, the unit is excluded from the applicable fraction calculation. The IRS has further clarified that the person occupying the unit must be employed at the property where they reside. IRS Revenue Ruling 92-61 pertains to a full-time resident manager. Tenant keyholders, service coordinators, regional managers, and any staff that “float” from one project to another are all ineligible to reside in a manager unit.

New Hampshire Housing Finance Authority (NHHFA) will hold a formal public hearing on December 20, 2019 at 10:00 AM. The hearing will be held at our office located at 32 Constitution Drive, Bedford, NH. Upon arrival, please enter at the East Entrance to attend the hearing.

Over the past few years, the Illinois Housing Development Authority (Authority) has seen an increase in applications seeking to use tax-exempt bonds (TEBs) and 4% Low-Income Housing Tax Credits (LIHTC) in connection with the acquisition and rehabilitation of developments that are subsidized by Housing Assistance Payment (HAP) contracts. To clarify information in the 2020-2021 Qualified Allocation Plan, the Authority plans to issue guidance specifically related to the review and underwriting of such applications. The Authority intends to publish this guidance on its website on January 1, 2020 and will refer to it in connection with the assessment of any PPA request currently under review at the Authority, regardless of the date the pending PPA request was submitted. Applicants with an approved PPA for a proposed transaction that (i) has not been presented to the IHDA board or (ii) has been presented to the IHDA board, but has not yet closed, may not be subject to each parameter referred to in the guidance. The Authority will assess transactions with approved PPA’s on a case-by-case basis and apply elements of the guidance in its sole, but reasonable discretion.

The North Carolina Housing Finance Agency has posted its final 2020 Qualified Allocation Plan on its website.  As a continued reminder: while the final QAP contains language for the Workforce Housing Loan Program, there remains no appropriation of funds for 2020.  The 2020 Housing Credit Preliminary Application is also now available.  The deadline for application submission is noon […]

Join KHC for a Multifamily Developer Forum on Monday, December 16, 2019, 1:30-3:30 p.m. ET, at the University of Louisville ShelbyHurst Campus, Burhans Hall Rooms 162/163, 440 N. Whittington Parkway, Louisville, Kentucky, 40222.

Minnesota Housing is now accepting applications for Round 2 of the 2020 Housing Tax Credit (HTC) Program. There is approximately $529,618 in tax credits available; $103,540 in the Rural Development/Small Project set-aside (RD set-aside) and $426,078 in the unified pool. The RD set-aside is carried forward to Round 2, and if there are no eligible applications, the tax credits will be available to other projects. Intent to applies are due Friday, January 17, 2020 by 12:00 p.m. and applications are due Friday, January 31, 2020 by 12:00 p.m. 

Montana Housing has posted the application for its Multifamily Coal Trust Homes Program, which makes available $15 million of Coal Tax Trust Fund dollars to develop affordable rental homes by providing developers with low-interest rate loans. The program is a result of House Bill 16 that was passed during the 2019 legislative session. It’s estimated the money will initially support the development of six new affordable rental properties. As these loans payoff, the money returned will be used to fund the development of additional homes.  Multifamily Coal Trust loans can be used for projects such as new construction, acquisition and/or rehabilitation of existing multifamily rental homes, acquisition of land for multifamily rental homes and land trusts for rental and mobile or manufactured homes.

The Alabama Housing Finance Authority has posted its  2020 HOME Investment Partnerships Program Action Plan, 2020 Housing Credit Qualified Allocation Plan, and 2020 Housing Trust Fund Allocation Plan. Additionally, the DRAFT 2020 Multifamily Funding Application Forms Package (Application Forms Package) is provided for review.

The TCAC Threshold Basis Limits will be updated and incorporated into the 2020 TCAC Excel application (Attachment 40) in December.  The 2020 Operating Expense Minimums will also be published on the TCAC website in December.  These two updates are required for tax credit applications submitted for the March 18, 2020 Committee Meeting (deadline January 17, 2020).  A notice will be sent when the threshold […]

The North Carolina Housing Finance Agency has announced that J. Adam Abram has been appointed chair of its Board of Directors by Governor Roy Cooper.  Abram is the founder, chair and CEO of James River Group, Ltd. which owns a group of insurance companies that underwrite casualty insurance in 50 states.

The Wisconsin Housing and Economic Development Authority (WHEDA) has announced the resignation of Sean O’Brien as WHEDA’s Director of Commercial Lending effective January 3, 2020. Sean has accepted a leadership position with a development firm. Between now and January 3, Sean is transitioning projects and providing training. Effective immediately, if you need assistance with WHEDA’s […]