2016LIHTC Qualified

Allocation Plan (QAP), LIHTC Application New Look, And Introducing: the Procorem Website

We want you to know!

Tax Credit Team

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Mike Pacheco

Tasha Weaver

Denise TamulisPaula Harrison

Meghen Brown

Kim Martin

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For 2016 a few changes to the QAP some cosmetic changes to the LIHTC Application and the Introduction of the New Software we are rolling out this year will be discussed this morning.

State Credit-Amount Available (See Section 3.A.4, Page 13)

For 2016 a total of $5 million in State Housing Credit will once again be available for non Disaster Relief areas.

Applications due February 1, 2016

An additional amount of State Housing Credit is available for the Disaster Relief areas.

Applications are also due February 1, 2016

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9% Competitive Federal Credit-Amount Available

(See Section 3.A.4, Page 13)

For 2016 a total of $13 million in Federal Housing Credit will be available.

Letter of Intent Deadline is May 2, 2016

Applications are due June 1, 2016

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Critical Elements of the Selection Process for Projects Requesting

State & Federal Housing Credit (See Section 2, beginning on page 5)

Strong competitive projects will align with the Guiding Principals and meet all Criteria for Approval.

Guiding Principles Criteria for Approval

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Critical Elements of the Selection Process for Projects Requesting

State & Federal Housing Credit (See Section 3, beginning on page 15)

Thresholds Project Checklists

2016 Priorities

Priorities

The following four priorities will apply to both Federal and State Credit:

Projects serving homeless persons as defined in Section 5.B 5

Projects serving persons with special needs as defined in Section 5. B 5

Projects in Counties with populations of less than 175,000

Projects in Counties impacted by a natural disaster – this priority has been modified to state that projects that use 4 Percent Credit with State Credit and Community Development Block Grant – Disaster Recovery (CDBG-DR) funds in the counties of Boulder, Larimer, and Weld counties will be given the highest priority

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State Credit Thresholds

State Credit Threshold Requirements

Legal Notice w/publisher’s Affidavit

At the Applicants option it may use DOH’s template (attachment C of the DOH application). The Notice must run at least 1 day at least 5 days before the LIHTC application deadline or submission of the application (deadline to publish: 1/26/16) The Developer must hold a public hearing in the community of the proposed project. CHFA must consider the comments from the hearing in the review and approval process for State Credits.

Can meet both CHFA and DOH requirements if both sources and amounts are specified. List amount of STC requested and anticipated amount of equity.

Sign-in sheet

Written minutes

Audio recording (digital format, i.e. smart phone)

Applicants must demonstrate that there will be some monetary, in-kind, or other contribution benefiting the proposed project from the local government.

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State Credit Priorities Additional State Credit Priorities

Projects using 4 Percent Credit and State Credit

New Construction

“Readiness to Proceed” priority for applications for Non-Disaster State Credit with 4 Percent Credit submitted by February 1, 2016

Additional State Credit Criteria for Disaster Recovery

Projects must receive CDBG-DR funds.

Projects must be identified as priorities by local communities.

Special consideration will be given to projects that demonstrate how the proposed project will meet the needs of those displaced by the natural disaster and provide an outreach plan.

CHFA will use Colorado Division of Housing (CDOH) definitions of counties impacted by a natural disaster. Priority will be given to Boulder, Larimer, and Weld counties.

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Permanent Supportive Housing

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Scoring section: Permanent Supportive Housing (PSH)

Applicants selecting points for Homeless or Special Needs housing will need to provide the following documents to both CHFA and the Colorado Division of Housing at the time of application.

Supportive Services Plan and Budget

Memorandum(s) of Understanding with In-Kind Service Provider(s)

https://www.colorado.gov/pacific/dola/2016-PSH-RFA

procorem Website

The list of required documents is found starting on page 18 of the QAP.

For 2016, all required documents must be submitted via the NEW procorem website.

Instructions on how to access the Website will be provided to all projects submitting a Letter of Intent on or before the following dates at the latest:

Jan 25th for the Non-Disaster Relief Areas

Jan 25th for Disaster Relief Areas

May 24th for the 9% Competitive Round

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procorem Website

An Introduction of the site and instructions for new users will now be provided by Rob Horn of CHFA

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registering as a new user Check your email account for a message from

notifications@procorem.com. This may end up going into junk mail.

Once the email is received double-click the “Visit Procorem” button.

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registering as a new user You’ll be taken to a new page to create your account.

Enter a password, check the box indicating you’ve agreed to the terms and conditions, and select “Sign Up Now”

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registering as a new user

Upon successfully creating your account, you’ll be redirected to your home page.

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getting around font office

A recorded tutorial explaining the navigation and features of Procorem is available in the right panel of the home page. Click the arrow button circled below to get started.

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uploading documents

From the home page, click on “View All ‘x’ WorkCenters”.

Select the WorkCenter you’d like to upload to.

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uploading documents

Once you have arrived at the WorkCenter page, the “Upload Files” page is in the upper right hand side of the screen.

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upload documents

This will prompt you to a screen which allows you to upload files. From here you can either choose the file from your directory or drag and drop multiple files directly from your computer into Procorem.

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creating and editing posts

To make a post on a specific WorkCenter, first head into the WorkCenter. From there, you look to the left navigation side bar and select Posts.

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creating and editing posts

Once in the Posts screen, you will see all the posts made by Collaborators on the WorkCenter. Posts are time stamped and can only be edited by users with sufficient rights.

To make a new post, simply click in the white area and start typing.

If you would like to do more than just type, such as changing font style, adding pictures, using bullet points, creating tables, etc. simply click the drop down arrow in the upper right corner.

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additional help

The help guide is available by clicking on the arrow next to your profile in the upper right hand corner of the screen and selecting “Help” from the dropdown list.

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additional help

The guide is meant to walk new users through the basics of Procorem. Walk through the tutorial step by step, jump between sections or feel free to use the search bar to find a specific article or topic.

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LIHTC Reservation Timeline

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You Send the Letter of Intent, Market Study Engagement Letter , Designate your PMA census tracts & the Quiet Period Begins

Upload the Electronic Application, and all supporting documentation to the CHFA Secure File Delivery Site

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3 Deliver the required hard copies and Application Fee to CHFA

LIHTC Reservation Timeline

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YES NO

CHFA & DOH check to see that Threshold Review is passed (if applicable)

5-Day Clarification Letter sent to you

CHFA conducts its Full Application Review & Site Visit

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Application Returned

LIHTC Reservation Timeline

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By 5-days you clear up the Clarification Items

CHFA Staff presents to Tax Credit Allocation Committee

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10NOYES

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Notifications sent CHFA Staff meets with all non-selected applicants

LIHTC Reservation Timeline

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Fee Letter sent to selected projects

You submit Fee within 10-days to CHFA

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13CHFA sends an Initial Determination letter

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2016 LIHTC Application

2016 LIHTC ApplicationInstructions

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2016 Applicable Percentage Rate Fixed at 9%

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Consolidated Appropriations Act of 2016 .

2016 LIHTC Application

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In 2016, If applying for State Housing Credit please complete the cells highlighted in “YELLOW”. In the Development Information Worksheet

2016 LIHTC Application Conduit Certification

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2016 LIHTC Application

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STATE HOUSING CREDIT TAB

2016 LIHTC ApplicationState Housing Credit Calculation

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The 2016 LIHTC Application has the calculation of the State Housing Credit Amount that will be used to reserve state housing credit.

This calculation is based on the state statute: “In no event shall a credit exceed thirty percent of the qualified basis of the qualified development” (see Section 39-22-2102 (2) (b) of Title 39 Article 22 Part 21 Colorado Low-Income Housing Tax Credit).

The calculation for the State Credit is as follows:

Adjusted Eligible Basis X Applicable Fraction = Qualified Basis X 30% =

Maximum State Housing Credit that a project may be eligible for.

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Questions & Answers from Tasha

Will CHFA adopt the Enterprise Green Communities 2015 Criteria in 2106?

Answer: Yes, but it is not mandatory. A project can choose to use either the 2011 or the 2015 Criteria

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Questions & Answers From Tasha

Are there any Set-Asides for 2016 beyond the Non-profit Set-Aside mandated by the Code?

Answer: There are no other Set-Asides in 2016.

Can a project apply for 9% Competitive Federal Tax Credits if it is unsuccessful applying for State Credit?

Answer: While projects may be eligible to compete for 9% Competitive Federal Credit as outlined in the QAP, because the project showed that it worked as a 4% transaction it will have a competitive disadvantage in Round 2.

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Questions & AnswersFrom Tasha

What are the additional fees that will be charged in 2016?

Answer:

$500 for a Subsidy Layering Review $500 for Property Name Changes after Carryover $1,500 For additional 4% credits and new initial Determination (42m)

letter Compliance Monitoring Fees:

First 15 years: $500/unit (increase from $300/unit) Post-Year 15: $25/unit/year, maximum of $2,500 (increase from

$15/unit/year, maximum of $1,500)

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Questions From the Webinar Participants

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CHFA Tax Credit Team Contact Information:

Tasha Weaver, Manager (303) 297-7429 or tweaver@chfainfo.com

Denise Tamulis (303) 297-7386 or dtamulis@chfainfo.com

Kim Martin (303) 297-7333 or kmartin@chfainfo.com

Meghen Brown (303) 297-7433 or mbrown@chfainfo.com

Mike Pacheco (303) 297-7368 or mpacheco@chfainfo.com

Paula Harrison (303) 297-7316 or pharrison@chfainfo.com