Agenda - Council Work Session - 01/10/2012

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Selection Priorities Developer Minnesota Housing Claimed Awarded 16. Permanent Housing for Individuals Experiencing Long -Term Homelessness 5 to 110 Points Minnesota Housing Competitive Round or Tax Exempt Points ("non -Bonus" points) — 5 or 10 Points "Non -Bonus" points will be awarded to permanent housing proposals in which a minimum of 5% (rounded up to the next full unit) of the tota I units, but no fewer than 4 units are set aside and rented to households experiencing long-term homelessness as defined in Minnesota Rules, Chapter 4900.3705: ❑ 5% to 49.99%, but no fewer than 4 units — 5 points ❑ 50% to 100%, but no fewer than 20 units —10 points Minnesota Housing Competitive Round or Non -Tax Exempt Points ("bonus" points) —100 Points 100 points ("bonus points") will be available until a total of $1,755,000 (estimated 25 percent of Minnesota Housing's administered credit authority) in tax credits are awarded for qualifying permanent housing proposals for households experiencing long-term homelessness selected in the 2012 Housing Tax Credit competitions. Once this maximum amount is reached, the 100 points ("bonus" points) will no longer be awarded for the remaining 2012 Tax Credit Program competitive funding rounds. If qualified per the requirements of this section, applicants may claim the "bonus points". Minnesota Housing will make point reductions relating to the "bonus points" funding limits following its review of all applications in the funding round which claim these points. Qualified proposals may earn a maximum of 10 points ("non -bonus" points) and may continue to compete in the appropriate set -aside. To receive points under this category, the proposal must meet all of the following conditions: a) the applicant must complete and submit the Supportive Housing application materials, including the narratives, forms and submittals identified in the Common Application for Multifamily Rental Housing Resources; and b) the applicant agrees to pursue and continue renewal of rental assistance, operating subsidy, or service funding contracts for as long as the funding is available. Minnesota Housing recognizes that rental assistance, or operating subsidies, and supportive services may be necessary to effectively serve households experiencing long-term homelessness. If the necessary rental assistance, operating support, or tenant service funding for the project is withdrawn or terminated due to reasons not attributable to the actions or inactions of the owner, and alternative funding is unavailable, and the project is otherwise in full compliance with all the terms of the funding for the project, the owner may petition Minnesota Housing to modify its requirements. Minnesota Housing may (i) relax or eliminate the requirement for supportive services or (ii) relax or eliminate the requirement that the assisted units be occupied by households experiencing long-term homelessness. Should Minnesota Housing eliminate the requirement that the assisted units be occupied by households experiencing long-term homelessness, Minnesota Housing will permit the owner to phase out the targeting of tax credit units to households experiencing long-term homelessness and convert the rents of those units to the 50% tax credit rent limit without jeopardizing the tax credit allocation, provided that more restrictive threshold, selection priority or funding requirements do not apply. If such conversion occurs, in order to retain the tax credit allocation, the above described 50% tax credit rent limit and the Section 42 minimum set -aside elected for the project by the owner must be maintained for the remainder of the tax credit compliance period and extended use period. A proposal which is awarded scoring points from this category and is selected to receive tax credits will be required to comply with the Long -Term Homelessness reporting requirements as defined by Minnesota Housing. The Tax Credit Declaration of Land Use Restrictive Covenants, including a specific Rider to the Declaration, will contain performance requirements related to these long-term homelessness units and will be recorded with the property. 17. High Speed Internet Access 1 Point The development will provide High Speed Internet access via installation of all appropriate infrastructure and connections for cable, DSL or wireless internet service to every unit in the development. This will be a design requirement if points are taken. 2012 HTC Self -Scoring Worksheet Selection Priorities 10 of 16 Revised 04/2011