| (iii) The proposed Development must be entirely located
within the targeted revitalization area.(iv) The Application must
include a copy of the plan or a link to the online plan and a description
of where specific information required below can be found in the plan.
The plan must meet the criteria described in subclauses (I) and (II)
of this clause:
(I) The concerted revitalization plan, or each of the
local planning documents that compose the plan, must have been published
by the municipality or county in which the Development Site is located.
(II) The plan must be current at the time of Application.
(v) If the Application includes an acceptable Concerted Revitalization
Plan, up to seven (7) points will be awarded as follows:
(-a-) the proposed Development Site is located within
a Qualified Census Tract and has submitted a letter from the appropriate
local official for the municipality (or county if the Development
Site is completely outside of a municipality) that explicitly identifies
the proposed Development as contributing to the concerted revitalization
efforts of the municipality or county (as applicable) (7 points);
or
(-b-) the proposed Development Site is not located
within a Qualified Census Tract and has submitted a letter from the
appropriate local official for the municipality (or county if the
Development Site is completely outside of a municipality) that explicitly
identifies the proposed Development as contributing to the concerted
revitalization efforts of the municipality or county (as applicable)
(7 points); or
(-c-) the proposed Development Site does not have a
letter described in items (-a-) and (-b-) of this subclause (5 points).
(B) For Developments located in a Rural Area, the Rehabilitation
or demolition and Reconstruction of a Development that has been leased
and occupied at 85% or greater for the six months preceding Application
by low income households and which was initially constructed 25 or
more years prior to Application submission as either public housing
or as affordable housing with support from USDA, HUD, the HOME program,
or the CDBG program. The occupancy percentage will not include Units
that cannot be occupied due to needed repairs, as confirmed by the
SCR or CNA. Demolition and relocation of units must be determined
locally to be necessary to comply with the Affirmatively Furthering
Fair Housing Rule, or if necessary to create an acceptable distance
from Undesirable Site Features or Neighborhood Risk Factors. (7 points)
(e) Criteria promoting the efficient use of limited
resources and Applicant accountability.
(1) Financial Feasibility. (§2306.6710(b)(1)(A))
To qualify for points, a 15-year pro forma itemizing all projected
income including Unit rental rate assumptions, operating expenses
and debt service, and specifying the underlying growth assumptions
and reflecting a minimum must-pay debt coverage ratio of 1.15 for
each year must be submitted, unless allowable exceptions provided
for in §11.302(i)(5) are applicable. The pro forma must include
the signature and contact information evidencing that it has been
reviewed and found to be acceptable by an authorized representative
of a proposed Third Party permanent lender. In addition to the signed
pro forma, a lender approval letter must be submitted. An acceptable
form of lender approval letter may be obtained in the Uniform Multifamily
Application Templates. Applications that are proposed to have no Third
Party permanent lender must still submit a 15-year pro forma; however,
the signature and approval letters are not required. Scoring will
be awarded as follows:
(A) If the letter evidences review of the Development
alone it will receive twenty-four (24) points; or
(B) If the letter is from the Third Party permanent
lender and evidences review of the Development and the Principals,
it will receive twenty-six (26) points; or
(C) If the Development is Supportive Housing and meets
the requirements of §11.1(d)(125)(E)(i) of this chapter, it will
receive twenty-six (26) points; or
(D) If the Development is part of the USDA set-aside
and meets the requirements of §11.5(2) of this chapter and the
letter is from the Third Party construction lender, and evidences
review of the Development and the Principals, it will receive twenty-six
(26) points; or
(E) Applications that are proposed to have no Third
Party permanent lender will receive twenty-six (26) points; or
(F) If the Department is the only permanent lender,
and the Application includes the evaluation of the Request for Preliminary
Determination submitted under §11.8(d) of this chapter, it will
receive twenty-six (26) points.
(2) Cost of Development per Square Foot. (§2306.6710(b)(1)(F); §42(m)(1)(C)(iii))
For the purposes of this scoring item, Eligible Building Costs will
be defined as Building Costs voluntarily included in Eligible Basis
for the purposes of determining a Housing Credit Allocation. Eligible
Building Costs will exclude structured parking or commercial space
that is not included in Eligible Basis, and voluntary Eligible Hard
Costs will include general contractor overhead, profit, and general
requirements. The square footage used will be the Net Rentable Area
(NRA). The calculations will be based on the cost listed in the Development
Cost Schedule and NRA shown in the Rent Schedule. If the proposed
Development is a Supportive Housing Development, the NRA will include
Common Area up to 75 square feet per Unit, of which at least 50 square
feet will be conditioned. The Department will annually compare the
proportional cost increases from October of the prior year to October
of the year being calculated based on the Construction Price Index
for Multifamily Housing Units Under Construction (US Census Bureau)
and increase the square foot cost targets in this item by that annual
proportional amount of increase.
(A) Applications proposing New Construction or Reconstruction
or Adaptive Reuse will be eligible for twelve (12) points if one of
the following conditions is met:
(i) the voluntary Eligible Building Cost per square
foot is less than or equal to $144.72 per square foot; or
(ii) the voluntary Eligible Hard Cost per square foot
is less than or equal to $193.32 per square foot.
(B) Applications proposing New Construction or Reconstruction
will be eligible for eleven (11) points if one of the following conditions
is met:
(i) the voluntary Eligible Building Cost per square
foot is less than or equal to $154.44 per square foot; or
(ii) the voluntary Eligible Hard Cost per square foot
is less than or equal to $203.04 per square foot.
(C) Applications proposing Rehabilitation (excluding
Reconstruction) will be eligible for points if one of the following
conditions is met:
(i) Twelve (12) points for Applications which include
voluntary Eligible Hard Costs plus acquisition costs included in Eligible
Basis that are less than or equal to $193.32 per square foot; or
(ii) Twelve (12) points for Applications which include
voluntary Eligible Hard Costs plus acquisition costs included in Eligible
Basis that are less than or equal to $250.56 per square foot, located
in an Urban Area, and that qualify for 5 or more points under subsection
(c)(5)(A) and (B) of this section, related to Opportunity Index; or
(iii) Eleven (11) points for Applications which include
voluntary Eligible Hard Costs plus acquisition costs included in Eligible
Basis that are less than or equal to $250.56 per square foot.
(3) Pre-application Participation. (§2306.6704)
An Application may qualify to receive up to six (6) points provided
a pre-application was submitted by the Pre-Application Final Delivery
Date. Applications that meet all of the requirements described in
subparagraphs (A) - (K) of this paragraph will qualify for six (6)
points:
(A) The total number of Units does not increase by
more than 10% from pre-application to Application;
(B) The designation of the proposed Development as
Rural or Urban remains the same;
(C) The proposed Development serves the same Target
Population;
(D) The pre-application and Application are participating
in the same set-asides (At-Risk, USDA, Non-Profit, or Rural);
(E) The Application final score (inclusive of only
scoring items reflected on the self-score form) does not vary by more
than four (4) points from what was reflected in the pre-application
self-score;
(F) If points are claimed related to Underserved Area
and/or Proximity to Jobs, the point elections may not change from
what was reflected in the pre-application self-score and the supporting
documentation for these points must be substantially similar to what
was submitted with the Pre-Application;
Cont'd... |
