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Property Compliance Briefs - October 2016

The Ohio Housing Finance Agency (OHFA) Aug. 1 released updates to DevCo Online. The updates are for sections concerning the OHFA database, utility allowances, annual certification and property details. More information is available at www.ohiohome.org.

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In August, the Oklahoma Housing Finance Agency provided a revision list for the state low-income housing tax credit (LIHTC) manual. The updates included adding a phone number to the overview, clarifying aspects of owner responsibilities in Chapter 3, clarifying a section number in Chapter 5 Determining Tenant Eligibility and adding phrasing in Appendices B and F. The revisions are available at www.ok.gov.

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California A.B. 1920 was enrolled Aug. 31. The bill amends the California Health and Safety Code, relating to housing and making appropriations to allow the California Tax Credit Allocation Committee (CTCAC) to schedule fines for violations of LIHTC terms and conditions. The bill requires TCAC to establish fines for violations up to $500 per violation, or double the amount of financial gain because of the violation, whichever is greater. The bill would also require CTCAC to define serious violations and, except for serious violations, would require a first-time property owner violator to be given the opportunity to correct the violation before the fine is imposed. The fines would be deposited in the Housing Rehabilitation Loan Fund and the legislation authorizes CTCAC to record a property lien if the fine has not been paid within a specified period of time. Current remedies in the CTAC regulatory agreements are very severe, including remedies such as taking possession of the development, applying to any court for specific performance, securing the appointment of a receiver and disgorgement of rents. This bill allows for remedies that are less severe and makes the expectation and penalties more clear for owners who are accused of violating terms of the regulatory agreement. The bill is available at www.leginfo.legislature.ca.gov.

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On Sept. 6, the Nebraska Investment Finance Authority (NIFA) released a memo to owners of LIHTC properties reminding them of the Oct. 1 deadline to file information with county assessors. Income and expense data for a property for the prior year, as well as a description of the applicable land use restrictions applicable to the property, must be submitted to county assessors. In addition, a copy of the Income and Expense Reporting form must be submitted to NIFA.

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On Aug. 26, the U.S. Department of Housing and Urban Development (HUD) released housing notice H-2016-08: Family Self Sufficiency Program in Multifamily. This notice establishes a Family Self Sufficiency (FSS) program in multifamily housing. FSS is a HUD program that provides incentives and support to help families living in multifamily assisted housing to increase their earned income and reduce their dependence on public assistance programs. FSS promotes the development of local strategies to coordinate the use of HUD rental assistance programs with public and private resources, to enable eligible families to make progress toward economic independence and self-sufficiency. More information is available at www.hud.gov.

Journal Category:

Property Compliance

Authors:

Novogradac

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