CHFA eNews: Multifamily
chfa enews - multifamily loan compliance 
August 8, 2017

chfa lihtc compliance manual, utility allowance policy, and replacement reserve withdrawal requirements updated

Low Income Housing Tax Credit Program Compliance Manual

CHFA’s LIHTC Compliance Manual has been updated as of August 2017. Please use the new version moving forward for questions regarding LIHTC procedures, rules, and regulations. Substantive changes were made to the following sections:
  • Introduction
  • Section 1.10 – Changes in Management
  • Section 2.2(b) – Other Allowable Fees
  • Section 2.11 – Employee Units
  • Section 2.15 – Income Limits and Maximum Rents
  • Section 3.6 – Determining Qualifying Household Income
  • Section 3.7 – What is Included in Annual Household Income
  • Section 3.8 – Calculating Annual Employment Income
  • Section 3.14 – Seasonal Employment
  • Section 3.15 – Retirement Account Income
  • Section 3.18 – Verifying and Certifying Income
  • Section 3.20 – Verifying and Certifying Assets
  • Section 3.21 – What is Included in Assets
  • Section 3.22 – What is Excluded from Assets
  • Section 3.25 – Real Estate Assets
  • Section 3.26 – Pension Plans and Retirement Account Assets
  • Section 3.28 – Assets Disposed of for Less than Fair Market Value
  • Section 3.29 – Full-time Student Rule
  • Section 3.32 – Completion of the TIC
  • Section 3.33 – Alternatives to the TIC
  • Section 3.35 – Changes in Household Composition – Interim Certifications
  • Section 3.36 – Acquisition Rehabilitation Tax Credits: Certifying Existing Residents
  • Section 3.37 – Resyndication Tax Credits: Certifying Existing Residents
  • Section 3.39 – Electronic Signatures
  • Section 4.1 – Initial Site Inspection
  • Section 4.2 – Management Reviews
  • Section 4.12 – Reporting and Submission Requirements
To access the forms included in the compliance manual, please visit the Program Compliance forms page.


Utility Allowance Policy

CHFA’s Utility Allowance Policy has been modified, primarily content regarding the Energy Consumption Model.


Reserve for Replacement Withdrawal Requirements

For projects with CHFA loans, the replacement reserve withdrawal requirements have been modified as follows.
  • The amount of a single item that requires three bids has been increased from $5,000 to $10,000.
  • Requests for reimbursement will be considered when the amount totals at least $3,000. Smaller requests will be considered on a case-by-case basis (e.g., very small properties with limited operating funds).


As always, please contact your Program Compliance Officer with any compliance-related questions.


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