TEXAS AFFILIATION OF AFFORDABLE HOUSING PROVIDERS OFFICERS: PRESIDENT: LINDA MCMAHON NEIGHBORHOOD STRATEGIES, LLC IMMEDIATE PAST PRESIDENT: MIKE SUGRUE SOLUTIONS PLUS! PRESIDENT-ELECT: DAN MARKSON THE NRP GROUP VICE PRESIDENT: TONI JACKSON COATS ROSE VICE PRESIDENT: BARRY KAHN HETTIG-KAHN TREASURER: GEORGE LITTLEJOHN NOVOGRADAC & CO. LLP SECRETARY: NICOLE FLORES PNC MULTIFAMILY CAPITAL DIRECTORS: MAHESH AIYER WELLS FARGO BANK SARAH ANDERSON S. ANDERSON CONSULTING SALLY GASKIN SGI VENTURES, INC. DENNIS HOOVER HAMILTON VALLEY MANAGEMENT, INC. ROBERT JOHNSTON NATIONAL EQUITY FUND MARK MAYFIELD TEXAS HOUSING FOUNDATION JEFFREY SPICER STATE STREET HOUSING ADVISORS, L.P.
December 14, 2009
Welcome to the Texas Affiliation of Affordable Housing Providers (TAAHP) 4th Quarter Executive Management Series on housing production. TAAHP is pleased to have the opportunity of providing you with a comprehensive look at financing today. As our industry struggles to secure a financing product in today’s market, the US Department of Housing and Urban Development (HUD) and the Texas Department of Housing and Community Affairs (TDHCA) will present viable options in helping you meet your business plan. The TAAHP 4th Quarter Executive Management Series is supported and underwritten by our following partners: Coats Rose, Davis-Penn Mortgage Co., Dougherty Mortgage, LLC, Gardere, and Shackelford, Melton & McKinley Attorneys and Counselors. The TAAHP Executive Management Series provides informative and “how to” educational sessions to the housing industry throughout the year. We encourage you to take a few minutes and go to our website www.taahp.org for a general overview of our member services as well as www.taahp.org/education.html for future Executive Management Series and scheduling. You can help us improve on our Series by sharing your comments regarding the 4th quarter sessions or inquiries into future educational needs at education@taahp.org or tell us while at www.taahp.org . We hope you will mark your calendars for the State’s premier 2010 Texas Housing Conference, July 26 – 28, 2010, Four Seasons Hotel, Austin, Texas. The Summer Executive Management Educational Series and networking with fellow “housers”, suppliers, vendors and professional services providers will provide unlimited opportunities to enhance your bottom line. We look forward to seeing you again soon and at the Texas Housing Conference in July. Best Regards,
RON WILLIAMS SOUTHEAST TEXAS HOUSING FINANCE CORPORATION JERRY WRIGHT DOUGHERTY & COMPANY, LLC EXECUTIVE DIRECTOR: JIM T. BROWN
Jim T. Brown Executive Director
814 San Jacinto Blvd., Ste. 480, Austin, TX, 78701 l Tel: 512.476.9901 l Fax: 512-476-9903 l www.taahp.prg l www.texashousingconference.org
Texas Affiliation of Affordable Housing Providers: Board of Directors: 2009 - 2010 Officers President Linda McMahon (11) Neighborhood Strategies LLC 4460 St. Andrews Blvd Irving, TX 75038 T: (214) 596-9162 F: N/A lindasmcmahon@gmail.com ---------------------------------------------Immediate Past President Mike Sugrue (10) Solutions Plus 1302 South 3rd, Ste. 105 Mabank, TX 75147 T: (903) 887-4344 F: (903) 334-4355 msugrue@hotmail.com ---------------------------------------------President Elect Dan Markson (10) The NRP Group 111 Soledad, Ste. 1220 San Antonio, TX 78205 T: (210) 487-7878 F: (210) 487-7880 dmarkson@nrpgroup.com ---------------------------------------------Vice President Toni Jackson (11) Coats Rose 3 Greenway, Ste. 2000 Houston, TX 77046 T: (713) 653-7392 F: (713) 890-3928 tjackson@coatsrose.com ---------------------------------------------Vice President Barry Kahn (10) Hettig-Kahn Development, Co. 5325 Katy Freeway, Ste. One Houston, TX 77007 T: (713) 871-0063 F: (713) 871-1916 bkahn@hettig-kahn.com ----------------------------------------------
Directors Treasurer George Littlejohn (10) Novogradac & Company LLP 11044 Research Blvd., Bldg. C, Ste. 400 Austin, TX 78759 T: (512) 340-0420 F: (512) 340-0421 george.littlejohn@ novoco.com ---------------------------------------------Secretary Nicole Flores (12) PNC MultiFamily Capital 1717 W. 6th St., Ste. 262 Austin, TX 78703 T: (512) 391-9084 F: (512) 454-8021 nicole.flores@pnc.com ----------------------------------------------
Mahesh Aiyer (12) Wells Fargo Bank, N.A. 1000 Louisiana, Suite 1030 Houston, TX 77002 T: (713) 319-1489 F: (713) 319-1794 mahesh.aiyer@ wellsfargo.com Sarah Anderson (12) S. Anderson Consulting 1305 E. 6th, #12 Austin, TX 78702 T: (512) 554-4721 F: (512) 231-8580 sarah@ sarahandersonconsulting.com
Mike Clark (10) Alpha-Barnes Real Estate Services 12720 Hillcrest, Ste. 400 Dallas, TX 75230 T: (972) 643-3205 F: (972) 503-7569 mclark@alpha-barnes.com Sally Gaskin (11) SGI Ventures, Inc. 1800 Bering Dr., Ste. 501 Houston, TX 77057 T: (713) 334-4911 F: (713) 334-5614 sally@sgiventures.net Dennis Hoover (12) Hamilton Valley Mgmt., Inc. P.O. Box 190 Burnet, TX 78611 T: (512) 756-6809 F: (512) 756-9885 dennishoover@ hamiltonvalley.com
“Increasing the supply and quality of affordable housing for Texans with limited incomes and special needs” rev. - August 2009
Directors Robert Johnston (11) National Equity Fund P.O. Box 835727 Richardson, TX 75083 T: (972) 342-6621 F: N/A rjohnston@nefinc.org Mark Mayfield (10) Texas Housing Foundation 1110 Broadway Marble Falls, TX 78654 T: (830) 693-4521 F: (830) 693-5128 mmayfield@txhf.org Jeffrey Spicer (12) State Street Housing Advisors, L.P. 5843 Royal Crest Dr. Dallas, TX 75230 T: (214) 346-0707 F: (214) 346-0713 jspicer@ statestreethousing.com Ron Williams (11) Southeast Texas Housing Finance Corp. 11111 S. Sam Houston Pkwy. East Houston, TX 77089 T: (281) 484-4663 x108 F: (281) 484-1971 rwilliams@sethfc.com Jerry Wright (11) Jerry L. Wright Dougherty & Company LLC 410 East 5th Street, Suite 112 Austin, TX 78701 T: (512) 708-1555 F: (612) 235-3356 JWright@ doughertymarkets.com
Ex - Officio
Edwina Carrington (1999) Reznick Group, P.C. 100 Congress Ave., Ste. 480 Austin, TX 78701 T: (512) 494-9100 F: (512) 494-9101 edwina.carrington@ reznickgroup.com JOT Couch (02) Texas Inter-Faith 3131 West Alabama, Ste. 300 Houston, TX 77089 T: (713) 526-6634 ext. 22 F: (713) 526-7019 jcouch@ti-f.org Dick Kilday (00) Kilday Realty Corp. 1717 Saint James Pl., Suite 150 Houston, TX 77056-3421 T: (713) 914-9400 F: (713) 914-9439 rrkilday@kildayrealtycorp.net
Past Presidents
----------------------------
2008 - 2009: Mike Sugrue, Solutions Plus! 2007 - 2008: Mike Clark, Alpha-Barnes Real Estate Services 2006 - 2007: Granger MacDonald, MacDonald & Associates 2005 - 2006: Diana McIver, DMA Development Co., LLC 2004 - 2005: Jerry Wright, Dougherty & Company LLC 2003 - 2004: Mike Lankford, Lankford Interests, LLC 2002 - 2003: Chris Bergman, TCR Affordable Housing, Inc. 2001 - 2002: JOT Couch, Texas Inter-faith Supportive Services 2000 - 2001: Sally Gaskin, SGI Ventures, Inc. 1999 - 2000: Dick Kilday, Kilday Realty Corp
www.taahp.org
Mike Lankford (04) Lankford Interests, LLC 4900 Woodway, Ste. 750 Houston, TX 77056 T: (713) 626-9655 F: (713) 621-4947 mlankford@ lankfordinterests.com Granger MacDonald (07) MacDonald & Assoc., Inc. 2951 Fall Creek Kerrville, TX 78028 T: (830) 257-5323 F: (830) 251-3168 gmacdonald@ macdonald-companies.com Diana McIver (06) DMA Development Co., LLC 4101 Parkstone Heights Dr., Ste. 310 Austin, TX 78746 T: (512) 328-3232 ext. 65 F: (512) 328-4584 diana@mciver.com John R. Pitts (09) John R. Pitts P.O. Box 27130 Houston, TX 77227 T: (713) 552-1854 F: N/A john@johnrpitts.com
“TAAHP is the leading organization of affordable housing professionals representing the affordable housing industry in Texas.”
rev. - August 2009
Texas Affiliation of Affordable Housing Providers 2010 Membership Investment Form
Voting Membership Lifetime Membership - $10,000.00
Member Information Date______________________________________________________________ Company/Organization__________________________________________ Name___________________________________________________________ Title_____________________________________________________________ Address_________________________________________________________ City______________________________________________________________ State_____________________________Zip_____________________________ Tel________________________________________________________________ Fax_______________________________________________________________ Email ____________________________________________________________ Website__________________________________________________________
A member in this category shall have all privileges of an Active Member, and is entitled to this designation by paying a one-time membership dues fee as determined annually by the TAAHP Board of Directors. Membership services (excluding meeting registration fees) shall continue for the business entity’s lifetime, their resignation, or demise of the organization, whichever occurs first.
Active Membership - $550.00
Any business, firm, corporation, partnership, sole proprietorship, individual professional or other legal business entity which is involved in the affordable housing industry or provides services, supplies or equipment for the affordable housing industry and is directly interested in its welfare, complies with TAAHP Bylaws, pays current dues, and meets required membership qualifications, is eligible for active membership in TAAHP and is entitled to one vote per membership, eligibility for service on the Board of Directors, and all committees following appointment. Second Active Membership (non-voting)-$250.00 Third Active Membership (non-voting)-$100.00
Method of Investment
Non-Voting Membership
Check (make payable to American Express
Discover
MasterCard
VISA
Credit Card #_______________________________________________ Expiration Date________________Verification Number_____________ Name (as it appears on card)___________________________________ Signature___________________________________________________ A 3% processing fee will be added to all credit card transactions.
Send to:
Mail 814 San Jacinto Blvd., Suite 408 Fax 512.476.9903 Online www.taahp.org
814 San Jacinto Blvd., Suite 408 Austin, TX 78701 512.476.991 512.476.9903 www.taahp.org
Governmental / Regulatory Membership - $150.00
Any individual associated with or responsible in any manner within the title of this category may join TAAHP after meeting the qualifications and paying dues determined by the Board of Directors.
Educators / Student Membership - $50.00
Any individual directly associated with an institution of higher learning and whose field of study and expertise is related to the field of affordable housing may join the Organization by meeting the qualifications and paying dues determined by the Board of Directors. Separate dues may be established for these two classifications: Educators and Student. Federal Income Tax Notice: Membership Investments are not deductible as charitable contributions for federal incomes tax purposes; however, investments are deductible by members as an ordinary business expense. A portion of investments are not deductible as an ordinary business expense to the extent TAAHP engages in lobbying. The non-deductible portion of investments for 2010 is 10%.
SAVETHE
DATE
26 - 28, 2010 F OUR S EASONS H OTEL A USTIN, T EXAS
texas housing conference 2 0 1 0 - A H OUSING O DYSSEY J OIN
NATIONAL
&
INTERNATIONAL AFFORDABLE HOUSING INDUSTRY PROFESSIONALS IN
A USTIN, T X
TO EXCHANGE
KNOWLEDGE, DISCOVER SOLUTIONS, AND NETWORK!
2009 PLATINUM PARTNERS WAS YOUR STATE AMONG THOSE REPRESENTED IN 2 0 0 9 ?
ww w . t e x a s h ousingconference.org
Texas Housing Conference
QUICK FACTS
2010 Marks the 12th anniversary of the Texas Housing Conference; Texas’ premier housing conference. 2010's Conference will be held at Austin’s magnificent Four Seasons Hotel located on Ladybird Lake in Austin’s cultural, central business and recreational district.
3% 2% 3% 4% 30%
6% 6%
Expected attendance at the 2010 Texas Housing Conference is 500+. Conference participants have helped provide over 300,000 affordable multifamily and single family housing units in Texas alone and more throughout the United States using USDA, HUD, and Tax Credit programs.
6% 8% 23%
9%
Regular attendance and participation of key Texas officials: Administrative and Legislative. Regular support, attendance, and participation by the Governing Board and Executive Officers of the Texas Department of Housing and Community Affairs (TDHCA).
Developer/Owner Investor/Lender/Syndicator Government Housing Finance Corporation/Market Analysis/Professional Services Property Management/Real Estate Services
Conference partners range from affordable housing service providers to construction material and appliance suppliers. Over 20 educational sessions addressing legislative policies, sustainable design, market issues, financing, equity, compliance and construction related issues will be offered. Local, national, and international speakers.
Trade Associations/Others Legal Services
www.texashousingconference.org
Architects/Engineers/Construction Vendor/Supplier Local Public Housing Utility Providers
Texas Housing Conference ATTENDANCE BY SERVICE
A TORNEYS & COUNSELORS AT
Texas Department of Housing and Community Affairs
2010 Regional Allocation z
Estimated State Credit Ceiling is $51 million
z
85% of the State Credit Ceiling to be divided between the 13 State Service Regions and further split into urban and rural areas
z z
Statewide rural collapse (first) Statewide urban/rural collapse (second)
13 State Service Regions
2010 Regional Allocation
Region
Regional Amount
Geographic Region
Regional %
Rural Amount
Urban Amount
Rural %
Urban %
1
Lubbock
$
1,581,297
3.6%
$
614,986
38.9%
$
966,311
61.1%
2
Abilene
$
787,781
1.8%
$
556,545
70.6%
$
231,236
29.4%
3
Dallas/Ft Worth Metro
$
10,741,365
24.7%
$
1,123,991
10.5%
$
9,617,373
89.5%
4
Tyler
$
1,618,171
3.7%
$
908,883
56.2%
$
709,288
43.8%
5
Beaumont
$
1,189,640
2.7%
$
655,179
55.1%
$
534,460
44.9%
6
Houston Metro
$
9,455,772
21.8%
$
892,787
9.4%
$
8,562,985
90.6%
7
Austin Metro
$
2,942,660
6.8%
$
617,443
21.0%
$
2,325,216
79.0%
8
Waco
$
2,141,376
4.9%
$
594,798
27.8%
$
1,546,578
72.2%
9
San Antonio Metro
$
3,456,058
8.0%
$
631,952
18.3%
$
2,824,106
81.7%
10
Corpus Christi
$
1,495,468
3.4%
$
592,835
39.6%
$
902,633
60.4%
11
Brownsville/Harlingen
$
5,134,386
11.8%
$
1,877,986
36.6%
$
3,256,401
63.4%
12
San Angelo
$
889,167
2.0%
$
559,410
62.9%
$
329,757
37.1%
13
El Paso
$
1,990,508
4.6%
$
590,535
29.7%
$
1,399,973
70.3%
Total
$ 43,423,648
100%
$ 10,217,329
23.5%
$ 33,206,319
76.5%
2010 Allocation Set-Asides 15% At-Risk development - $7,662,997 5% TRDO USDA - $2,554,332 20% Rural developments - $10,217, 329 ($500,000
in each region)
$14.9 Million Ike Affected Counties
At-Risk Set-Aside Requirements
Development must be at risk of losing all affordability from all of the financial benefits available on the Development. Sections 221(d)(3) and (5), National Housing Act (12 U.S.C. §17151); Section 236, National Housing Act (12 U.S.C. §1715z-1); Section 202, Housing Act of 1959 (12 U.S.C. §1701q); Section 101, Housing and Urban Development Act of 1965 (12 U.S.C. §1701s); Section 8 Additional Assistance Program for housing Developments with HUD-Insured and HUD-Held Mortgages administered by the United States Department of Housing and Urban Development; Section 8 Housing Assistance Program for the Disposition of HUDOwned Projects administered by the United States Department of Housing and Urban Development; Sections 514, 515, and 516, Housing Act of 1949 (§42 U.S.C. §§1484, 1485, and 1486); and/or Section 42, of the Internal Revenue Code of 1986 (26 U.S.C. §42)
Texas Statutory Limitations One Mile / Three Year Rule Applies to counties over 1 million in population Developments proposing new construction or Adaptive Reuse within one mile of another development serving the same population that received housing tax credits in the previous three years Local Resolution ยง2306.6703(a)(3) Texas Government Code
Texas Statutory Limitations 2 X Per Capita Municipality or County that has twice the state average of units per capita supported by housing tax credits or private activity bonds. Local Resolution ยง2306.6703(a)(4) Texas Government Code
Texas Statutory Limitations One Mile / Same Year Rule Applies to counties over 1 million in population Two applications being proposed in the same application round that are within one mile of each other ยง2306.67021 Texas Government Code
Texas Statutory Limitations $2 million limitation $2 million limitation to any applicant, developer, related party or guarantor ยง2306.67021 Texas Government Code
Texas Development Limitations
Census tracts with >30% of the households served by Housing Tax Credits QCT tract with >40% of the households served by Housing tax credits are not eligible for 30% increase in eligible basis 16 Unit Minimum 252 Unit Max with 200 LI Unit Max 80 Unit Max for Rural developments
Housing Tax Credit Timeline
2010 Housing Tax Credit Timeline
12/08/2009 2010 Application Acceptance Period Begins
01/08/2010 2010 Pre-Application Deadline
02/15/2010 Experience Certification Request
03/01/2010 2010 Full Applications Due
04/01/2010 Third-Party Reports / Resolutions Due
Mid-May
Final Scoring Notices Issued
Late June
Release of Eligible Applications for Consideration for Award in July
2010 Housing Tax Credit Timeline
Late July
Final Awards
Mid-Aug
Commitments Issued
11/01/2010 Carryover Documentation Due
06/30/2011 10% Test Documentation
12/01/2011 Documentation of Commencement of Substantial Construction Due
12/31/2012 Placement in Service
Texas Bond Volume Cap †
Approximately $481 million in 2010 regular volume cap for multifamily housing
†
TDHCA Set Aside is approximately $96 million
Application Materials 2010 Application Submission Procedures Manual (ASPM) 2010 Payment Receipt 2010 Uniform Application 2010 Intent to Request 2010 Competitive 9% HTC Pre-Application 2010 Quantifiable Community Participation Packet www.tdhca.state.tx.us/multifamily/Applications.htm
Application Reference Material 2010 HTC Reference Manual 2010 Final Qualified Allocation Plan and Rules (Will be provided when signed by Governor Rick Perry) www.tdhca.state.tx.us/multifamily/Applications.htm 2010 Multifamily Bond Rules 2010 Multifamily Bond Pre-Application www.tdhca.state.tx.us/multifamily/bond/index.htm
Common Mistakes / / /
Application or Applicant is ineligible; Documents were not correctly executed; All deficiencies were not fully satisfied by the deadline;
/ / / /
3rd Party Reports were not submitted by deadline; Documents were not in the correct applicant name; Inconsistent information in the Application; or Age of documentation limit was exceeded.
Electronic Submission ™ The following information may be submitted directly on the
TDHCA website: 9 9 9 9 9
Application Third Party Reports Deficiencies Any large documents required to fulfill application requirements Post Award Documentation
Regulations, Statues and Rules o o o o o o o o o
§§42 and 142 of the Internal Revenue Code §2306 of the Texas Government Code §1372 of the Texas Government Code CFR 24 (Code of Federal Regulations) HOME 10 TAC §50 Qualified Allocation Plan and Rules 10 TAC §33 Multifamily Revenue Bond Rules 10 TAC §§1.31-1.37 Real Estate Analysis Rules 10 TAC §53 HOME Rules 10 TAC §51 Housing Trust Fund Rules
Texas Department of Housing and Community Affairs Multifamily Contacts:
Robbye Meyer robbye.meyer@tdhca.state.tx.us Director of Multifamily Finance – (512) 475-2213 Teresa Morales teresa.morales@tdhca.state.tx.us Bond / 4% HTC Program Administrator – (512) 475-3344 Raquel Morales raquel.morales@tdhca.state.tx.us Competitive HTC Program Administrator – (512) 475-1676 Teresa Shell teresa.shell@tdhca.state.tx.us HTC Program Exchange Administrator – (512) 936-7834 Lisa Fehr lisa.fehr@tdhca.state.tx.us HTC Program Exchange Specialist – (512) 936-7833 Ben Sheppard ben.sheppard@tdhca.state.tx.us Multifamily Housing Specialist, HTC Amendments – (512) 475-2122 Shannon Roth shannon.roth@tdhca.state.tx.us Multifamily Housing Specialist, Bond/ 4% – (512) 475-3929 Nicole Fisher nicole.fisher@tdhca.state.tx.us Multifamily Housing Specialist, QCP – (512) 475-2201
Texas Department of Housing and Community Affairs Multifamily Contacts:
Kent Bedell kent.bedell@tdhca.state.tx.us Multifamily Housing Specialist, HTC Extensions, Bond/ 4% – (512) 475-3882 Elizabeth Henderson elizabeth.henderson@tdhca.state.tx.us Multifamily Housing Specialist, HTC Ownership Transfer – (512) 475-9784 Valentin Deleon valentin.deleon@tdhca.state.tx.us Multifamily Housing Specialist, Experience Certificates – (512) 475-3061 Liz Cline liz.cline@tdhca.state.tx.us Multifamily Housing Specialist, IRS Reporting – (512) 475-3227 Jason Burr jason.burr@tdhca.state.tx.us Database Administrator- Application Technical Assistance – (512) 475-3986 Misael Arroyo misael.arroyo@tdhca.state.tx.us Multifamily Executive Assistant – (512) 475-2596
Main Multifamily Telephone – (512) 475-3340 Multifamily Facsimile – (512) 475-0764 or (512) 475-1895
Texas Department of Housing and Community Affairs Real Estate Analysis Contacts:
Brent Stewart brent.stewart@tdhca.state.tx.us Director of Real Estate Analysis, (512) 475-2973 Audrey Martin audrey.martin@tdhca.state.tx.us Manager of Real Estate Analysis, (512) 475-3872
Compliance and Asset Management Contacts:
Patricia Murphy patricia.murphy@tdhca.state.tx.us Chief of Compliance and Asset Management, (512) 475-3140 Wendy Quackenbush wendy.quackenbush@tdhca.state.tx.us Manager of Compliance, (512) 305-8860
Texas Department of Housing and Community Affairs
HOME and Tax Credit Assistance Program Contacts:
Cameron Dorsey cameron.dorsey@tdhca.state.tx.us HOME Program Manager – (512) 475-2669 Chris Law chris.law@tdhca.state.tx.us HOME Program Administrator – (512) 305-8854 Lisa Vecchietti lisa.vecchietti@tdhca.state.tx.us Tax Credit Assistance Program Administrator – (512) 936-7791 Laura DeBellas laura.debellas@tdhca.state.tx.us Tax Credit Assistance Program Specialist – (512) 475-3821
San Antonio Field Office (Fort Worth Multifamily Hub) 106 South St. Mary’s Street Suite 405 San Antonio, Texas 78205
Thank You • GRETCHEN A. MARCHAND, DIRECTOR, SAN ANTONIO MULFITAMILY PROGRAM CENTER GRETCHEN.A.MARCHAND@HUD.GOV 817-978-5787 THOMAS L. GOADE, CHIEF, PROJECT DEVELOPMENT TEAM THOMAS.L.GOADE@HUD.GOV 817-978-5795