| (a) General Information. This section identifies the
scoring criteria used in evaluating and ranking Applications. The
criteria identified in subsections (b) - (e) of this section include
those items required under Tex. Gov't Code, Chapter 2306, Code §42,
and other criteria established in a manner consistent with Chapter
2306 and Code §42. There is no rounding of numbers in this section
for any of the calculations in order to achieve the desired requirement
or limitation, unless rounding is explicitly stated as allowed for
that particular calculation or criteria. The Application must include
one or more maps indicating the location of the Development Site and
the related distance to the applicable facility. Distances are to
be measured from the nearest boundary of the Development Site to the
nearest boundary of the property or easement containing the facility,
unless otherwise noted. For the purposes of this section, all measurements
will include ingress/egress requirements and any easements regardless
of how they will be held. Applications will only be reviewed for point
items specifically elected in the Application. Except for scoring
items that are awarded based on tiered categories, if an Application
is determined to not qualify for the points elected, Department staff
will not evaluate the Application to determine whether it might qualify
for alternative points.
(b) Criteria promoting development of high quality
housing.
(1) Size and Quality of the Units. (§2306.6710(b)(1)(D);
2306.6725(b)(1); §42(m)(1)(C)(iii) and (ix)) An Application may
qualify for up to fifteen (15) points under subparagraphs (A) and
(B) of this paragraph.
(A) Unit Sizes (6 points). The Development must meet
the minimum requirements identified in this subparagraph to qualify
for points. Points for this item will be automatically granted for
Applications involving Rehabilitation (excluding Reconstruction),
for Developments receiving funding from USDA, or for Supportive Housing
Developments without meeting these square footage minimums only if
requested in the Self Scoring Form. If the Development involves both
Rehabilitation and Reconstruction or New Construction, the Reconstruction
or New Construction Units must meet these requirements:
(i) five-hundred (500) square feet for an Efficiency
Unit;
(ii) six-hundred (600) square feet for a one Bedroom
Unit;
(iii) eight-hundred fifty (850) square feet for a two
Bedroom Unit;
(iv) one-thousand fifty (1,050) square feet for a three
Bedroom Unit; and
(v) one-thousand two-hundred fifty (1,250) square feet
for a four Bedroom Unit.
(B) Unit, Development Construction, and Energy and
Water Efficiency Features (9 points). Applicants that elect in an
Application to provide specific amenity and quality features in every
Unit at no extra charge to the tenant will be awarded points based
on the point structure provided in §11.101(b)(6)(B) of this title
(relating to Unit, Development Construction, and Energy and Water
Efficiency Features) and as certified to in the Application. The amenities
will be required to be identified in the LURA. Rehabilitation Developments
and Supportive Housing Developments will start with a base score of
five (5) points.
(2) Sponsor Characteristics. (§42(m)(1)(C)(iv))
An Application may qualify to receive either one (1) or two (2) points
if it meets the requirements of either subparagraphs (A), (B), or
(C) of this paragraph.
(A) HUB. The ownership structure contains a HUB or
HUBs certified by the Texas Comptroller of Public Accounts by the
Full Application Delivery Date. The HUB or HUBs must have some combination
of ownership interest in each of the General Partner of the Applicant,
Cash Flow from operations, and Developer Fee which taken together
equal at least 50% and no less than 5% for any category. For HUD 202
Rehabilitation projects which prohibit for-profit ownership, ownership
will not be required for a HUB or nonprofit, only for Cash Flow or
Developer Fee; the total ownership percentage must still equal 50%,
even if it is only attributable to one of the two categories. Any
Application that includes one or more HUBs must include a narrative
description of each of the HUB's experience directly related to the
housing industry.
(i) The HUB must materially participate in the Development
and operation of the Development throughout the Compliance Period
and must have experience directly related to the housing industry,
which may include experience with property management, construction,
development, financing, or compliance. Material participation means
that the HUB is regularly, continuously, and substantially involved
in providing services integral to the Development Team; providing
services as an independent contractor is not sufficient.
(ii) A Principal or officer of the HUB cannot be a
Related Party to or Affiliate, including the spouse, of any other
Principal or officer of the Applicant, Developer or Guarantor (excluding
another Principal of said HUB), regardless of Control. (2 points).
(iii) The HUB must be involved with the Development
Services or in the provision of on-site tenant services during the
Development's Affordability Period. A Principal of the HUB or nonprofit
Organization cannot be a Related Party to or Affiliate, including
the spouse of, any other Principal of the Applicant, Developer or
Guarantor (excluding another Principal of said HUB or Nonprofit Organization).
(1 point).
(B) Qualified Nonprofit Organization. The ownership
structure contains a Qualified Nonprofit Organization provided the
Application is submitted in the Nonprofit Set-Aside. The Qualified
Nonprofit Organization must have some combination of ownership interest
in the General Partner of the Applicant, Cash Flow from operations,
and Developer Fee which taken together equal at least 50%, and no
less than 5% for any category. For HUD 202 Rehabilitation projects
which prohibit for-profit ownership, ownership will not be required
for a nonprofit, only for Cash Flow or Developer Fee; the total ownership
percentage must still equal 50%, even if it is only attributable to
one of the two categories.
(i) The Qualified Nonprofit Organization must materially
participate in the Development and operation of the Development throughout
the Compliance Period and must have experience directly related to
the housing industry, which may include experience with property management,
construction, development, financing, or compliance. Material participation
means that the Qualified Nonprofit Organization is regularly, continuously,
and substantially involved in providing services integral to the Development
Team; providing services as an independent contractor is not sufficient.
(ii) A Principal of the Qualified Nonprofit Organization
cannot be a Related Party to or Affiliate, including the spouse, of
any other Principal of the Applicant, Developer, or Guarantor (excluding
another Principal of said Qualified Nonprofit Organization). (2 points).
(iii) The Qualified Nonprofit Organization must be
involved with the Development Services or in the provision of on-site
tenant services during the Development's Affordability Period. A Principal
of the Qualified Nonprofit Organization cannot be a Related Party
to or Affiliate, including the spouse of, any other Principal of the
Applicant, Developer, or Guarantor (excluding another Principal of
said Qualified Nonprofit Organization). (1 point).
(C) Nonprofit Organization. The ownership structure
contains a nonprofit organization that meets the requirements of IRC §42(h)(5)(C)
on the Application Delivery Date, with at least 51% ownership in the
General Partner of the Applicant. (2 points)
(i) The nonprofit organization must maintain Control
of the Development and materially participate in the operation of
the Development throughout the Compliance Period. Nonprofit organizations
that formally operate under a parent organization may assign Control
of the Development to that parent organization, so long as it meets
the requirements of IRC §42(h)(5)(C).
(ii) The nonprofit organization, or individuals with
Control of the nonprofit organization, must provide verifiable documentation
of at least 10 years' experience in the continuous operation of a
Development that provides services similar to those in the proposed
Development.
(iii) The Applicant will provide a minimum of 3 additional
points under §11.101(7) of this chapter (related to Resident
Supportive Services), in addition to points selected under subsection
(c)(3) of this section.
(3) Quantity of Low-Income Units. An Application may
qualify for up to three (3) points under subparagraphs (A) or (B)
of this paragraph. All calculations of averages shall be based solely
on the July meeting of the Governing Board at which final awards of
credits are authorized. Subsequent awards or withdrawals and supplemental
credit allocations shall not be considered when calculating averages
under this item. The only awards that will be included in the calculation
of averages are 9% competitive tax credits, inclusive of any forward
commitments made at the July meeting, and the average will only calculate
housing tax credit units. If points are to be claimed Cont'd... |
