HCCP REVIEW QUESTIONS AND ANSWERS SET A+
✔✔Line 8b on 8609 - ✔✔Indicates if the building is part of a multi-building project
✔✔Line 10d on the 8609 - ✔✔Deep Rent Skewed
✔✔Line 10c on 8609 - ✔✔Minimum set-aside
✔✔Line 7 on 8609 - ✔✔Eligible Basis
✔✔Line 8a on 8609 - ✔✔Qualified Basis
✔✔Applicable Fraction - ✔✔The Percentage of the units that are Tax Credit
✔✔How long do you have to implement Income Limit? - ✔✔Must be implemented within
45 days of release date
✔✔MTSP? - ✔✔Multi-Family Tax Subsidy Program
✔✔Hold Harmless - ✔✔Last years MTSP Limits -Owners don't have to decrease rent
but can increase
✔✔HERA Special PIS effective year - ✔✔2008 or Sooner
✔✔HERA Special: - ✔✔Use income limits as of PIS Date and not current Limits
✔✔Conversion Factor - ✔✔1.2 used to calculate income limit from 50% to 60%
✔✔Doubling Method - ✔✔50% income limit x 2 = (Total) x set aside
✔✔Calculating Rent - ✔✔1.5 people per bedroom
✔✔Rounding Rent - ✔✔Round Down - Always drop the cents
, ✔✔Rounding - ✔✔Always Round Up (except rent)
✔✔Gross Rent Floor - ✔✔A decrease in max rent to the max rent amount on the date of
owners choice:
1. Credit Allocation
2. Placed in Service
NOTE: If owner does not want to choose one:
Default Date is as of credit allocation
✔✔Eligible Basis: - ✔✔Cost of Construction
✔✔Qualified Basis - ✔✔Cost that goes to LIHTC units
✔✔Average Income - ✔✔Must meet BOTH rent restricted and 40% at or below 60%
✔✔What is the makeup of a BIN number - ✔✔State-Allocating year- state specific
numbers (CA-20-22222)
✔✔Next Available Unit Rule aka.... - ✔✔1. 140% rule
2. Next Available Unit Rule
3. NAUR
✔✔Next Available Unit Requirements - ✔✔1. Next unit (equal size or smaller)
2. Same BIN must be
3. Rented to the next qualified applicant
✔✔Vacant Unit Rule Requirements - ✔✔1. Continue to qualify if reasonable attempts to
rent are made
2. Must be rent ready at all times.
3. Rent Before Market Units
✔✔HERA allowable LIHTC Restrictions or Preferences - ✔✔1. Persons with Special
Needs
2. Persons who meet federal or state requirements
3. Persons involved in artistic and literary pursuits (Artists)
✔✔VAWA Act of 2013 is for - ✔✔All Victims
✔✔VAWA covers... - ✔✔1. Domestic Violence
2. Dating Violence
3. Sexual Assault
4. Stalking
✔✔Line 8b on 8609 - ✔✔Indicates if the building is part of a multi-building project
✔✔Line 10d on the 8609 - ✔✔Deep Rent Skewed
✔✔Line 10c on 8609 - ✔✔Minimum set-aside
✔✔Line 7 on 8609 - ✔✔Eligible Basis
✔✔Line 8a on 8609 - ✔✔Qualified Basis
✔✔Applicable Fraction - ✔✔The Percentage of the units that are Tax Credit
✔✔How long do you have to implement Income Limit? - ✔✔Must be implemented within
45 days of release date
✔✔MTSP? - ✔✔Multi-Family Tax Subsidy Program
✔✔Hold Harmless - ✔✔Last years MTSP Limits -Owners don't have to decrease rent
but can increase
✔✔HERA Special PIS effective year - ✔✔2008 or Sooner
✔✔HERA Special: - ✔✔Use income limits as of PIS Date and not current Limits
✔✔Conversion Factor - ✔✔1.2 used to calculate income limit from 50% to 60%
✔✔Doubling Method - ✔✔50% income limit x 2 = (Total) x set aside
✔✔Calculating Rent - ✔✔1.5 people per bedroom
✔✔Rounding Rent - ✔✔Round Down - Always drop the cents
, ✔✔Rounding - ✔✔Always Round Up (except rent)
✔✔Gross Rent Floor - ✔✔A decrease in max rent to the max rent amount on the date of
owners choice:
1. Credit Allocation
2. Placed in Service
NOTE: If owner does not want to choose one:
Default Date is as of credit allocation
✔✔Eligible Basis: - ✔✔Cost of Construction
✔✔Qualified Basis - ✔✔Cost that goes to LIHTC units
✔✔Average Income - ✔✔Must meet BOTH rent restricted and 40% at or below 60%
✔✔What is the makeup of a BIN number - ✔✔State-Allocating year- state specific
numbers (CA-20-22222)
✔✔Next Available Unit Rule aka.... - ✔✔1. 140% rule
2. Next Available Unit Rule
3. NAUR
✔✔Next Available Unit Requirements - ✔✔1. Next unit (equal size or smaller)
2. Same BIN must be
3. Rented to the next qualified applicant
✔✔Vacant Unit Rule Requirements - ✔✔1. Continue to qualify if reasonable attempts to
rent are made
2. Must be rent ready at all times.
3. Rent Before Market Units
✔✔HERA allowable LIHTC Restrictions or Preferences - ✔✔1. Persons with Special
Needs
2. Persons who meet federal or state requirements
3. Persons involved in artistic and literary pursuits (Artists)
✔✔VAWA Act of 2013 is for - ✔✔All Victims
✔✔VAWA covers... - ✔✔1. Domestic Violence
2. Dating Violence
3. Sexual Assault
4. Stalking
