To All Members and Project Sponsors:
We have revised our Affordable Housing Program (AHP) Implementation Plan. The following changes are effective immediately:
AHP Homeownership Set-Aside Programs (Section III, Pages 7-17)
- Lifts the restriction from the WISH program that households must purchase a home in targeted high-cost counties within the Bank’s 11th District, and offers the program to households in any area the member does business;
- Eliminates the requirement that households must participate in a mortgage assistance program to be eligible for WISH subsidy;
- Increases the maximum amount of subsidy a member can request in a reservation of funds from $450,000 to $1 million per program, applicable to both WISH and IDEA programs;
- Eliminates the additional reservation of funds described in section III.A.7.b. through 7.e., because the Bank will allocate all of the funds available in the first reservation;
- Eliminates the requirement that 20% of the AHP contribution is allocated equally between IDEA and WISH programs;
- Incorporates a new homeownership set-aside program, HOPE for Homeowners-Homeownership Preservation Subsidy (H4H-HPS) in section D. The H4H-HPS program works in conjunction with the Federal Housing Administration’s HOPE for Homeowners Program, and makes funds available through participating members to eligible low- or moderate-income households for mortgage refinancing assistance. The Bank expects the H4H-HPS program to be available in 2009.
AHP Competitive Program Financial Review Guidelines (Attachment A, Page 18)
- With respect to the Feasibility Analysis and Need for Subsidy Standards, revises the cash development costs per unit benchmark for rental projects and the cash cost per square foot benchmark for owner-occupied projects. Removes the minimum cost standards for both benchmarks.
AHP Competitive Program Scoring Guidelines (Attachment B, Page 23)
- With respect to the Scoring Guidelines, amends the Nonprofit Sponsorship scoring criterion to clarify the Bank’s scoring calculation of the developer fee to be received by the nonprofit sponsor and clarify the Bank’s expectations related to the distribution of the developer fee.
The revised plan is posted on the Bank’s website at fhlbsf.com. If you have any questions about the AHP or the revised plan, please call the Community Investment Department at (415) 616-2542.
James E. Yacenda
Vice President and Community Investment Officer