title
Presentation, discussion, and possible action on multiple requests for return and reallocation of tax credits under 10 TAC ?11.6(5) related to Credit Returns Resulting from Force Majeure Events for Applications previously awarded 9% housing tax credits
22023 - Kirkwood Crossing
23209 - Lost Oaks
23049 - Saddle Creek Village
end
RECOMMENDED ACTION
recommendation
WHEREAS, the above listed developments were awarded 9% housing tax credits during the 2022 and 2023 competitive Application round;
WHEREAS, staff executed Carryover Allocation Agreements with the Development Owners, which included certifications from the Development Owners that each building for which the allocations were made would be placed in service by December 31, 2024 and 2025;
WHEREAS, the Department received requests from the Development Owners to extend the placement in service deadline under the provisions of 10 TAC ?11.6(5) related to Credit Returns Resulting from Force Majeure Events;
WHEREAS, other than in situations covered by force majeure, the Department lacks authority to extend federal deadlines for placement in service; and
WHEREAS, the Development Owners have presented evidence that relief under force majeure is appropriate.
NOW, therefore, it is hereby
RESOLVED, the requests for treatment under an application of the force majeure rule are approved, with the 2022 or 2023 Qualified Allocation Plan and Uniform Multifamily Rules, and the 2024 Program Calendar applicable to the Developments.
end
BACKGROUND
Awards of Competitive (9%) Housing Tax Credits were approved by the Board for the above-listed developments in 2022 and 2023. Staff executed Carryover Allocation Agreements with the Development Owners which included a certification from the Development Owners that documentation for the 10% Test would be submitted by a set date, and, in order to satisfy the requirements of ?42 of the Internal Revenue Code, each building for which the allocations were made would be placed in se...
Click here for full text