KHRC announces a funding round for the National Housing Trust Fund (HTF) to be used with tax-exempt bonds and 4% floating tax credits, or for stand-alone developments combining HTF with other resources. Application forms will be the same as used for low income housing tax credits and National Housing Trust Fund in the earlier 2018 round for those programs. An HTF application may be obtained by contacting Cynthia Howerton at email@example.com.
Applications will not be accepted in this round for activities involving 9% housing tax credits, related to either previous or future rounds. Approximately $3.5 million of HTF is currently available.
The amount requested is not limited. However, proposals will be reviewed for cost reasonableness, the need for gap funding, and other underwriting and subsidy layering criteria. The application deadline is October 17.
When HTF funds are used in a development, a subsidy layering review will determine the minimum number of HTF-assisted units in the property. Those units must remain affordable to extremely low income (ELI) households for a period of 30 years following completion.
Current HTF per-unit subsidy limits are: 0 BR - $120,000; 1 BR - $136,000; 2 BR - $192,000; 3 BR - $240,000; 4 BR - $256,000. These limits, along with a calculation of the percentage of eligible costs paid with HTF, will determine the minimum number of HTF-assisted units in a property.
HTF rent and income limits are published and updated annually, and are available on HUD Exchange at https://www.hudexchange.info/programs/htf/. HTF limits are based on the greater of 30% of AMI, or the Federal Poverty Guideline, adjusted for household and unit size.
Developments using HTF funds must comply with additional federal requirements, including environmental review provisions, Section 3 and MBE/WBE requirements, verification of eligibility to participate in federally-funded activities (non-debarment), relocation notices and assistance, etc. (Davis-Bacon is not required for HTF). It is critical that potential applicants understand and are willing to meet the applicable requirements. Income averaging is permitted.
For more information, contact: