To All Members and Project Sponsors:
We have revised our Affordable Housing Program (AHP) Implementation Plan. Effective immediately, key changes to the IP are:
Beginning in 2013, the Bank will offer one competitive funding round each year. The schedule for the annual funding competition will be announced by December 31 of the prior year. The deadline for the 2013 AHP funding competition will be April 1, 2013.
The maximum subsidy a member may apply for in a single competitive round has been increased from $6.5 million to $10 million. The maximum amount of subsidy a project may apply for in a single competitive round has been increased from $1 million to $1.5 million.
Under Benchmarks Used to Establish a Project's Feasibility and Need for Subsidy, the Bank has eliminated the benchmark for tax credit sales price. To support the price stated in the applicant's development budget, the Bank will instead require submission of third-party documentation (for example, an investor's letter of intent).
The Bank has also made several clarifying changes to the IP; all changes can be reviewed in a redline version of the IP that will be available online until January 31, 2013.
James E. Yacenda
Vice President and Community Investment Officer