| (iii) To the extent that an Application is eligible
under Tex. Gov't Code §2306.6702(a)(5)(B)(iii), the Development
must receive assistance through the Rental Assistance Demonstration
(RAD) program administered by the United States Department of Housing
and Urban Development (HUD). Applications must include evidence that
RAD participation is included in the applicable public housing plan
that was most recently approved by HUD, and evidence that HUD has
approved the Units proposed for Rehabilitation or Reconstruction for
participation in the RAD program; and
(iv) Notwithstanding any other provision of law, an
At-Risk Development described by Tex. Gov't Code §2306.6702(a)(5)(B)
that was previously allocated housing tax credits set aside under
subsection (a) of this section does not lose eligibility for those
credits if the portion of Units reserved for public housing as a condition
of eligibility for the credits under Tex. Gov't Code §2306.6714
(a-1)(2) are later converted under RAD.
(D) An Application for a Development that includes
the demolition of the existing Units which have received the financial
benefit described in Tex. Gov't Code §2306.6702(a)(5)(i) will
not qualify as an At-Risk Development unless the redevelopment will
include at least a portion of the same site. Alternatively, pursuant
to Tex. Gov't Code §2306.6702(a)(5)(B), an Applicant may propose
relocation of the existing Units in an otherwise qualifying At-Risk
Development if:
(i) the affordability restrictions and any At-Risk
eligible subsidies are approved to be transferred with the units proposed
for Rehabilitation or Reconstruction prior to the tax credit Carryover
deadline;
(ii) the Applicant seeking tax credits must propose
at least the same number of restricted Units (the Applicant may, however,
add market rate Units, and other rules, limitations, approvals, and
potential conflicting requirements based on fund source, number and
unit type may be implicated by creating more units than the original
number); and
(iii) the new Development Site must either:
(I) qualify for points on the Opportunity Index under §11.9(c)(5)
of this chapter (relating to Competitive HTC Selection Criteria);
OR
(II) the local Governing Body of the applicable municipality
or county (if completely outside of a municipality) in which that
Development is located must submit a resolution confirming that the
proposed Development is supported by the municipality or county in
order to carry out a previously adopted plan that meets the requirements
of §11.9(d)(7) of this chapter. Development Sites that cross
jurisdictional boundaries must provide such resolutions from both
local governing bodies.
(E) If Developments at risk of losing affordability
from the financial benefits available to the Development are able
to retain, renew, or replace the existing financial benefits and affordability
they must do so unless regulatory barriers necessitate elimination
of all or a portion of that benefit for the Development.
(i) Evidence of the legal requirements that will unambiguously
cause the loss of affordability and that this will occur within the
two calendar years of July 31 of the year the Application is submitted,
and must be included with the application.
(ii) For Developments qualifying under Tex. Gov't Code §2306.6702(a)(5)(B),
only a portion of the subsidy must be retained for the proposed Development,
but no less than 25% of the proposed Units must be public housing
units supported by public housing operating subsidy. (§2306.6714(a-1).
If less than 100% of the public housing benefits are transferred to
the proposed Development, an explanation of the disposition of the
remaining public housing benefits must be included in the Application,
as well as a copy of the HUD-approved plan for demolition and disposition.
(F) Nearing expiration on a requirement to maintain
affordability includes Developments eligible to request a Qualified
Contract under Code, §42. Evidence must be provided in the form
of a copy of the recorded LURA, the first year's IRS Forms 8609 for
all buildings showing Part II of the form completed and, if applicable,
documentation from the original application regarding the Right of
First Refusal. The Application must also include evidence that any
applicable Right of First Refusal procedures have been completed prior
to the pre-application Final Delivery Date.
(G) An amendment to any aspect of the existing tax
credit property sought to enable the Development to qualify as an
At-Risk Development, that is submitted to the Department after the
Application has been filed and is under review will not be accepted.
|
