California TCAC Recommends 4 Percent LIHTC Applicants Also Apply Now for Bonds

Wednesday, March 4, 2020 - 12:15PM

The California Tax Credit Allocation Committee (CTCAC) issued a memo this week recommending that all developers applying for 4 percent low-income housing tax credits (LIHTCs) also apply now to the California Debt Limit Allocation Committee (CDLAC) for tax-exempt bonds. Previously, the CDLAC application could come after receiving a tax credit award, but the change is due to the competitive nature of tax credit allocation and the requirement to receive a bond allocation within 90 days of receiving a LIHTC reservation. CTCAC staff recommends all developers apply to CDLAC for a bond allocation by April 17 for the July 15 allocation date, since that is within the 90-day window for the next CTCAC award date, which is June 17.

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