title
Presentation, discussion, and possible action on a request for return and reallocation of tax credits under 10 TAC ?11.6(5) related to Credit Returns Resulting from Force Majeure Events for three Buena Vida Developments
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RECOMMENDED ACTION
recommendation
WHEREAS, Buena Vida Supportive Housing (24196), Buena Vida Senior Living (24197), and Buena Vida Apartments (24198) (collectively referred to as the Buena Vida Redevelopment) are three projects that were awarded 9% housing tax credits during the 2024 Competitive Housing Tax Credit cycle;
WHEREAS, the Development Owners executed a Carryover Allocation Agreement that included certifications stating each building receiving an allocation would be placed in service by December 31, 2026;
WHEREAS, the Development Owners have requested an extension to the placement in service deadline under 10 TAC ?11.6(5), related to Credit Returns Resulting from Force Majeure Events;
WHEREAS, the Department lacks authority to extend federal placement in service deadlines and may only reset such deadlines by requiring the credits to be returned and immediately reallocated to the Development, as permitted solely under the force majeure provision of the Qualified Allocation Plan (QAP); and
WHEREAS, the Development Owners have submitted documentation demonstrating that a qualifying force majeure event has occurred;
NOW, therefore, it is hereby
RESOLVED, that the request to treat the matter under the force majeure provisions of 10 TAC ?11.6(5) is approved, and that the 2024 Qualified Allocation Plan, Uniform Multifamily Rules, and the 2025 Program Calendar shall be applicable to the Developments.
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BACKGROUND
Development
Buena Vida Supportive Housing
Target Population
Supportive Housing
HTC Award
$1,648,986
City
Brownsville
Total Units
50
HTC Units
50
Initial Year of Award
2024
Extension Requested
Six months
Development
Buena Vida Apartments
Target Population
General
HTC Award
$2,000,000
City
Brownsville
Total Units
80...
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