The purpose of this Unnumbered Letter (UL) is to provide guidance and information to State Offices on closing approved Multifamily Portfolio Revitalization Demonstration Program (MPR) transactions after they have been approved by the MPR Loan Review Committee.

The Multi-Family Housing (MFH) loan closing process is described in detail in HB-1-3560, Chapter 8, but this chapter does not address the specific requirements for closing MPR transactions because historically, the MPR program has been a demonstration program. This UL is intended to address this deficiency, pending revisions to Chapter 8 of HB-1-3560. However, the process and procedures for loan closings that are described in Chapter 8 of HB-1-3560 will generally apply, unless otherwise indicated, to MPR transactions.

MPR transactions can take different forms (for example some involve debt deferral only, some have no debt deferral but provide for a new MPR Section 515 loan, etc.) and the applicable closing documents and forms will depend on the specific terms of the approved MPR transaction. It should be noted, however; that many of the closing documents for non-MPR Multifamily transactions will be required for MPR transactions, regardless of the terms of the MPR transaction. Additionally, closing documents that have been developed specifically for the MPR program and addressed in the respective Notice of Funds Availability NOFA)/Notice of Solicitation Availability (NOSA), which are not currently referenced in Chapter 8 of HB-1-3560, will also apply.

Unnumbered Letter dated May 31, 2011 Revitalization

BOOT CAMP BASIC TRAINING FOR NEW RENTAL MANAGERS

4th Saturday of EVERY Month at the Hamilton East Public Library, Noblesville, IN

Are you too busy to provide the training you would like for your new management staff?  If so, AHAIN has great news for you!   Beginning this month, we are offering a one day Boot Camp Basic Training on EVERY 4^th Saturday of each month. 

Reasonably priced and centrally located, this 6 hour training will provide your new management staff with the BASICS of the Rural Development and Tax Credit programs.  Attendees will learn industry terminology, how to read and use the different income limits, how to use the program manuals as reference tools, how to calculate income and assets and figure medical allowances.  Participants will practice calculating tenant rent portions, learn to use utility allowances and how they affect rent rates, learn the different forms of verifications and when a second party verification or even a self-affidavit is acceptable.

After this class, attendees should be able to read a tenant income certification and understand what the rent is and why. Class size is small to allow for personalized, hands on training. This training is typically held at the Hamilton East Public Library in Noblesville which is located just off State Road 37. However, upon request, this training can be moved to any location where 8 to 10 attendees are gathered.  

 REGISTRATION FORM

Plan to take advantage of this new service for all your new Rental Managers.  Boot Camp Basic Training is brought to you by the Affordable Housing Association of Indiana.

HUD FY 2011 Income Limits Released 

HUD released the income limits for 2011. Once again, a separate data set was used for Multifamily Tax Subsidy Projects or MTSPs which includes both Tax Credit and Tax-Exempt Bond properties financed under Section 142.

The income limits are effective on May 31, 2011 which means they must be implemented no later than July 14, 2011. To access the income limits click the appropriate links below:

Section 8 Income Limit Data Set

Multifamily Tax Subsidy Income Limit Data Set

TRANSITION PLAN CERTIFICATION

Rural Development sent a notice, dated March 30, 2011, requiring Borrowers/Management Agents to provide a Section 504 certification describing the progress made on previous Section 504 Self-Evaluations. These certifications are due to the area offices by July 15, 2011.  If your property was built after March 31, 1991 you are also required to provide a certification that the property complies with the Accessibility Guideline Requirements of the Fair Housing Amendments Act of 1988.  These certifications are to the area office by September 16^th, 2011.

We want to clarify that there is not a need to hire a third party contractor to provide you with an entirely new transition plan.  Attached is a form that has been reviewed by Doug Wright at Indiana Rural Development.  This form can be used to certify any outstanding 504 issues that remain on your existing Transition Plans.

Transition Plan Certification

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