Novogradac Property Compliance Certification (NPCC)
The Novogradac Property Compliance Certification (NPCC) is accreditation for members of the low-income housing tax credit (LIHTC) industry. The NPCC is an indication of the member’s up-to-date knowledge of compliance matters and program trends critical to owners and property managers.
Benefits for Active NPCC Designees
- Certificate, suitable for framing
- Recognition in the online NPCC register (must opt in)
- Discounted subscription to the Novogradac Journal of Tax Credits, a comprehensive 80-page full-color monthly publication including news, analysis and commentary on the tax credit industry
- Discounted registration to Novogradac webinars
Obtaining the NPCC
Obtaining the NPCC is achieved by attending the 10-hour Novogradac LIHTC Property Compliance Workshop (either in person or online) and passing the accompanying NPCC Exam online.
Novogradac LIHTC Property Compliance Workshops
The 10-hour workshops are conducted over two days and are packed with discussion, led by knowledgeable instructors, to provide you with the most up-to-date compliance knowledge and industry trends critical to owners and property managers.
In-Person Workshop Daily Schedule:
Wrap-up/Final Review for exam(s)
HCCP Exam ($175 additional fee at registration)
ONE BUSINESS DAY AFTER THE WORKSHOP ENDS
|6 p.m. ET||NPCC Exam opens online|
TEN BUSINESS DAYS AFTER THE EXAM OPENS
|6 p.m. ET||NPCC Exam closes|
Online Workshop Daily Schedule:
|Noon ET (9 a.m. PT)|
5 p.m. ET (2 p.m. PT)
|Noon ET (9 a.m. PT)|
5 p.m. ET (2 p.m. PT)
|NPCC Exam opens||6 p.m. ET (3 p.m. PT)|
TEN BUSINESS DAYS AFTER THE NPCC EXAM OPENS
|NPCC Exam closes||6 p.m. ET (3 p.m. PT)|
A 10-minute break will be taken approximately every 50 minutes during instruction for both in-person and online workshops.
Certificate of Attendance
Attendees of the workshop, regardless of whether they pass the NPCC Exam, will receive via email a certificate of attendance within 10 business days after Day 2 of the workshop.
The NPCC Exam and the HCCP Exam
NPCC Exam: The Novogradac Property Compliance Certification (NPCC) Exam (offered exclusively online) is included with registration for both online and in-person Novogradac LIHTC Property Compliance Workshops. The NPCC Exam is an open-book exam with a 10-business-day time limit to complete. The exam opens at 6 PM ET on Day 2 of the online workshop and at 6 PM ET on the day AFTER the in-person workshop. A passing score is 48 out of 60 (80 percent). Results are available immediately after completing the exam through the exam software. The Novogradac Property Compliance Certification, NPCC ID, expiration date, renewal information, and other instructions will be emailed to those who pass the NPCC Exam within 10 business days after the close of the testing window.
Retaking the NPCC Exam: Workshop attendees who do not achieve a passing score on the NPCC Exam proctored after their respective workshop may retake the exam in one of two ways:
- Attend a subsequent session of the workshop and take the exam then (contact [email protected] to obtain a discounted rate for the workshop and accompanying NPCC Exam if you last took NPCC Exam within the past 12 months but did not pass)
- Register for the official retake session (NPCC Exam only; no workshop) whose 10-business-day exam window will open within a couple of weeks after the window closed for the previous exam
HCCP Exam: The National Association of Home Builders' Housing Credit Certified Professional (HCCP) Exam may be ordered for an additional $175 for attendees of the in-person workshop. Since the NPCC Exam is offered exclusively online beginning 2017, attendees of the in-person workshop may take both the HCCP exam (with the $175 additional fee) and the NPCC Exam online (included with workshop registration).
If you are considering taking the HCCP Exam in conjunction with our in-person workshop, we strongly encourage you to review the HCCP Candidate Information Guide, which includes some topics not addressed in the Novogradac LIHTC Property Compliance Workshop. Those include tax-exempt bond deals, changes in project ownership, due diligence submission, compliance documentation for syndicators, Fair Housing laws, the Americans with Disabilities Act, housing quality standards and uniform physical standards. You may also wish to review sample HCCP Exam questions provided by NAHB. The HCCP Exam is a closed-book exam with a 2.5-hour time limit. A passing score is 48 out of 75 (64 percent). Candidates should allow up to six weeks for their exam results.
Upon arrival to the in-person workshop, attendees receive a 150-plus-page booklet of the slide deck we use to present the concepts of the workshop. We also provide calculators and pencils for the HCCP Exam. Attendees of the online workshop receive the booklet of the slide deck in PDF format and do not receive calculators or pencils.
- LIHTC Property Compliance Overview
- Roles of IRS, state agency, HUD, investors, developers, property managers
- IRS Form 8609 Line 8b and the definition of a “project”
- Tax credit period, compliance period and the extended use period
- Calculating credits – eligible basis, DDAs and QCTs, applicable fraction (treatment of exempt units), credit percentages
- Minimum set-aside (40-at-60 vs. 20-at-50 vs. average income test)
- Calculating recapture and disallowance of credits
- Initial Lease-Up and First-Year Credits
- Initial qualification of units, first-year applicable fraction vs. 12/31 applicable fraction
- 15-year/two-thirds credits
- Deferring Year 1 of the credit period
- Tenant Certification Process
- Rental applications, verification forms,
- Tenant income certification (TIC) form, TIC effective date
- Initial certification vs. annual recertifications
- Related Rules
- Available unit rule
- Vacant unit rule
- Transferring tenants
- Full-time students
- Household Income
- Household size
- Determining income limits
- Income inclusions and exclusions; whose income is included
- Examples – employment income with anticipated raise, seasonal/sporadic work, child support, regular cash contributions, self-employment
- Assets and Income from Assets
- Asset inclusions and exclusions
- The $5,000 cliff test
- Examples–checking and savings accounts, retirement accounts, revocable trusts, assets disposed of for less than fair market value
- Maximum rent limit–LIHTC rent limit calculation
- Deeper rent targeting
- Gross rent for unit–tenant paid rent, utility allowance, other nonoptional charges
- Rent assistance - Section 8 and tenant-based vouchers
- State Inspections and Avoiding Recapture
- State agency compliance inspections and the 8823 process
- Correcting noncompliance
NPCC designation is valid for three years from the date of the successful exam for the initial designation. You may renew your NPCC designation by attending the Novogradac LIHTC Property Compliance Workshop again no sooner than 12 months before the NPCC expiration date. There are no additional fees for renewing the NPCC designation other than the registration fee for the most current workshop.
Retaking the NPCC Exam is not required for renewal unless the designation has been expired for more than 2 years (i.e. more than 5 years after the effective date of the initial certification or most recent renewal).
The following chart will assist in determining what is required for NPCC renewal depending on when you last obtained or renewed the certification:
|IF your most recent NPCC...||then to renew your NPCC you must...||and the new expiration date will be..|
|Is more than 12 months away until the expiration||Wait until your expiration date is less than 12 months away||See the next row|
|Will expire within the next 12 months||Attend the Novogradac LIHTC Property Compliance Workshop again (no NPCC Exam required)||3 years after the previous expiration date|
|Expired within the past 2 years||Attend the Novogradac LIHTC Property Compliance Workshop again (no NPCC Exam required)||3 years after attending the workshop again|
|Expired more than 2 years ago||Attend the Novogradac LIHTC Property Compliance Workshop again AND pass the NPCC Exam (similar to obtaining the NPCC the first time)||3 years after successfully passing the NPCC Exam this most recent time|
|Was never obtained because you attended the Novogradac Property Compliance Workshop prior to October 2013 (before the NPCC designation was created)||Attend the Novogradac LIHTC Property Compliance Workshop again AND pass the NPCC Exam (similar to obtaining the NPCC the first time)||3 years after successfully passing the NPCC Exam this most recent time|
If you are seeking to renew the NPCC designation, feel free to contact Wayne Michael at [email protected] to verify your renewal requirements (and whether retaking the exam will be required) prior to registering for the Novogradac LIHTC Property Compliance workshop. Upon completing the course, you should complete and return the NPCC Renewal Form.
Scheduling a Private Novogradac LIHTC Property Compliance Workshop
The Novogradac LIHTC Property Compliance Workshop and accompanying NPCC Exam are offered throughout the year in cities across the United States and online. Upcoming public workshops are available here as they are scheduled. Workshops, accompanied by the NPCC exam, can also be scheduled privately. Those interested should contact Woody Lamborn at [email protected].