Regulations
Section 10323-10325
Page 34 of 99
completion. In the event CTCAC contracts out for asset management services, the
contracted entity may charge the sponsor an asset management fee directly.
(2)
Asset management fees shall be $5,000 annually for projects of 30 units or fewer, and up
to $7,500 annually for projects of 31 to 75 units. Projects containing more than 75 units,
will pay up to $7,500 as a basic asset management fee annually, as well $40 per unit of
every unit over 75 units. Project owners may pay a one-time asset management fee equal
to the total fee over the 15-year period, or a partial one-time upfront fee. If making a
partial
payment,
the remaining annual payments shall be discounted accordingly to assure
an
equal
total payment to a pure annual payment schedule. Where another State or fe
deral
housing entity is a project funding source, proje
ct sponsors may pr
opose a plan to CTCAC
wherein
that source shares asset management information with CTCAC. Sponsors ma
y
also
propose a plan to CTCAC where a syndicator or investor providing professional asset
management services to the project shares asset management information with CTCAC. If
CTCAC determines that those asset management functions meet federal r
equirements,
CTCAC
may agree to accept that information and discount or forgo a fee altogether
Note: Authority cited: Section 50199.17, Health and Safety Code.
Reference: Sections 12206, 17058 and 23610.5, Revenue and Taxation Code; and Sections 50199.4,
50199.5, 50199.6, 50199.7, 50199.8, 50199.9, 50199.10, 50199.11, 50199.12, 50199.13, 50199.14,
50199.15, 50199.16, 50199.17, 50199.18, 50199.20, 50199.21 and 50199.22, Health and Safety Code.
Section 10325. Application Selection Criteria - Credit Ceiling Applications
(a)
General. All applications not requesting Federal Tax Credits under the requirements of IRC
Section
42(h)(4)(b)
and Section 10326 of these Regulations (for buildings financed by tax-exempt bonds
)
shall
compete for reservations of Credit Ceiling amounts during designated reservation
cycles.
Further,
no project that has a pending application for a private activity bond allocation or that h
as
previously
received a private activity bond allocation will be eligible to compete under the
Credit
Ceiling competition for Federal Tax Credits.
(b)
Authority. Selection criteria shall include those required by IRC Section 42(m), H & S Code Section
50199.14, and R & T Code Sections 12206, 17058, and 2361
0.5.
(c)
Credit Ceiling application competitions. Applications received in a reservation cycle, and competing
for Federal and/or State Tax Credits, shall be scored and ranked according to the below-described
criteria, except as modified by Section 10317(g) of these regulations. The Committee shall reserve
the right to determine, on a case by case basis, under the unique circumstances of each funding
round, and in consideration of the relative scores and ranking of the proposed projects, that a
project’s score is too low to warrant a reservation of Tax Credits. All point selection c
ategories
shall
be met in the application submission through a presentation of conclusive,
documented
evidence
to the Executive Director's satisfaction. Point scores shall be determined solely on th
e
application
as submitted, including any additional information submitted in compliance with t
hese
regulations.
Further, a project’s points will be based solely on the current year’s scoring criteria
and submissions, without respect to any prior year’s score for the same projects.
Scattered Site Projects shall be scored proportionately in the site and service amenities c
ategory
based
upon (i) each site’s score, and (ii) the percentage of units represented by each site,
except
that
for scattered site projects of less than 20 Low-Income Units, service amenities shall be score
d
in the aggregate across all sites.
The number of awards received by individuals, entities, affiliates, and related entities is limited to
no more than four (4) per competitive round. This limitation is
applicable to a project applicant,
developer, sponsor, owner, general partner, and to parent companies, principals of entities, and
family members. For the purposes of this section, related or non-arm’s length relationships are
further defined as those having control or joint-control over an entity, having significant i
nfluence
over
an entity, or participating as key management of an entity. Related entity disclosure is required