Frequently Asked Questions
Please find our most frequently asked questions below. Review the questions & answers below to find answers to your questions. If the question you have is not listed, please submit a new question on the form located below the FAQs.
RFP - Request for Proposals (0)
General RFP information can be found at the link above. The Sub-categories below represent the programs implemented by MFA sub-grantee partners.
CHDO RFP (12)
Community Housing Development Organization
Is it necessary to resubmit site control evidence if it has already been provided with a previous response for CHDO administration from previous years?
Yes, it is necessary to submit site control evidence for the current 2010 CHDO RFP.
In Section IV under Funding Sources, are operating funds those that have been committed toward the operating of the project? Also, does the 'Operating' line under Development Costs refer to the operating budget of the project or to the project overhead?
In this section, you are asked to provide the budegeted OR projected financing and cost for the proposed development or project.
Operating funds refers to monies budgeted for staff wages, salaries, benefits, etc.
Page 11, #6. says to provide documentation evidencing the satisfactory completion of a project, namely,certificates of occupancy. We completed 20 homes in the USDA mutual self-help program between 2005 and 2007. We have 7 CO's from our last group but do not have CO's available for the first 13 homes. Is there another document that would be accepted, or a letter from USDA verfying completion of the project?
The referenced page and item does not pertain to the 2010 CHDO Operating Fund RFP. Which RFP is being referenced?
We are a sole purpose organization (affordable housing). The Submission Checklist requests a General Budget for current and prior year. This information would be identical to the information we provided in the schedule for Section II - Organization's Affordable Housing Budget. Can we use a duplicate of the Section II schedule to meet the General administravtive budget for the offereor?
Yes, that is acceptable.
In regard to the Disclosure requirement do we need a letter from our President documenting this?Thanks Pam
Yes, a letter answering the Disclosure requirements from the agency Board President is acceptable.
Part III 4. B. - Financial Management - Fiscal oversight: This section request "proof of periodic approval of financial statements by the board of directors." Our financial statements are presented to the Board at each board meeting for their review and acceptance but is not an "action" item that requires a formal Resolution. If they do not "approve" of the financial statements, then it would be documented is the minutes as such. Our Board Agenda and Minutes reflect the presentation of the financials to the Board. Will a copy of the Board Agenda and/or Minutes be acceptable as "proof"?Part III 4. C. - Financial Management - Checks and Balances: We have a Board approved Account Policy Manual that address this requirement that is 109 pages long. The Overview section of this manual is 6 pages long and identifies the objectives of sound fiscal management addressed in the RFP. Do we need to include the entire Policy Manual (109 pages) along with the Board approved Resolution adopting the Policy or will the 6 page Overview section suffice (I'm trying to save some trees)?
Yes, a copy of the Board Agenda and Minutes is acceptable as proof of fiscal oversight.
Yes, the 6 page overview section from the Policy Manual will suffice as proof of sound organization system of checks and balances in fiscal management.
Part III, 2B awards points for financing leveraging. Can you define what state and/or local government funds are? Does a Federal project-based operating subsidy count as "leverage"?
State and/or local government funds can be defined as funds awarded by your city,town, or county that are appropriated by the state legislature for programs. Local municipalities also provide funds through the Affordable Housing Act as does MFA. Primero funds come from the MFA General Funds and this also an eligible "leveraging" source.
Federal funds are not eligible as leveraging because the proposed CHDO Operating Funds come directly from HUD.
Page 4 and 6 ask for confirmation of filing with the NM Attorney General's Registry of Charitable Organizations OR evidence that agency has submitted a current 660 report. Do you mean an IRS 990 report?
Proof of current registration from the NM Attorney General's office (2007, 2008 or 2009) from the AG"s office. If a current letter has not been obtained from the AG's office, the IRS 990, OR a copy of the letter to the AG's office requesting confirmation will be accepted.
The reference "Location" in the Housing Production Schedule is referring to the county where the project lis located. Please refer to Section V Organizational Capacity, A. Housing Production History, page 24 for directions to complete the schedule on page 25.
Section V, C - Organizational Capacity, Training. Section 1 asks for detail on staff participation in CHDO RFP or Tax Credit Training. Section 2 asks for staff or Board Members who have attended the CHDO RFP or Tax Credit Training. Do you want us to repeat the same information on staff participation from Section 1 in Section 2?
Section 1 is specific to staff training for CHDO RFP and LIHTC training. Section 2 is for the purpose to indicate any additional housing related trainings which staff or Board members have attended, i.e. Lead Based Paint, HQS, etc.
Section 3 and 4 - Community Need and Project Readiness - ask for the detail on a single project. We have four projects in process which serve Areas of Statistically Demonstrated Need and/or Special Needs Populations. Which project should we choose to provide detail on?
Your answer should be based on which project you describe in Sec. III B. Description of Proposed Development/Project in the Application.
Rehab RFP (2)
What type of document is needed on the 2010 HOME Owner-Occupied Rehabilitation RFP to identify approval to do business in New Mexico?
The documentation depends on the type of business that is applying for funds. For Profit Corporations would submit thier Articles of Incorporation which have been submitted to the New Mexico Public Regulation Commission. Limited Liability Corporations (LLC) would submit a certificate of limited partnership approved by the New Mexico Secretary of State. Not for Profit organizations would submit their IRS 501(c)(3) designation letter. Housing Authority's would submit a screen print of the HA Code at the HUD.gov website (https://pic.hud.gov/pic/haprofiles/haprofilelist.asp) showing they are in good standing with HUD.
If your FY2009 Financial Audit is unavailable, you must submit your FY2008 Financial Audit and 12 months of interim financial statements which have been reviewed and signed by an authorized official
TSS RFP (50)
Transitional and Supportive Services
Regarding counting persons served: Do you count one member of the family receiving a service, or all the members of the family who receive bemefit of the service, as in housing. In other words, do you count just the head of household for which there is a case file, or all of the members of the family who are listed in HMIS individually?
The persons receiving the service are counted. Here are some examples:
- Housing (including homeless prevention): all members of the household are being housed, and are therefore counted.
- Case management: only the household members receiving case management are counted.
- Childcare: the children are counted.
- Parenting classes: the parents are counted.
- Joint parent-child therapy: parents and children are counted.
2/18/2010
The available funds for specific activities, including CoC Match, are not specified in the RFP. The overall estimated funding amounts are provided in the beginning of the RFP.
2/18/2010
Please be aware that you ask for staff schedules to be included in two different places per the submission checklist. 1st - as part of the completed Application form-(pages 25-33) staff schedules are pps. 29 and 30 and 2nd as one of the two elements required to be submitted for Permananet Supportive Housing and/or Emergency Shelter Operations on in the Submission Checklist (p. 33) Guidance?
Yes, the staff schedule is noted twice on the submission checklist, as it is part of the application form and is part of minimum threshold for Emergency Shelter Operations and Permanent Supportive Housing Operations. This is just to provide a double check that all needed sections of the application have been completed. The schedule should only be turned in once per activity, and can be left in order in the application form.
2/16/2010
All applicants for CoC Match and Permanent Supportive Housing Operations must submit a current executed HUD Continuum of Care grant agreement for either Supportive Housing Program or Shelter Plus Care.
Please refer to page 7 of the RFP (quoted below):
" a) Offeror must submit an executed grant agreement with HUD or with a HUD-awarded pass-through entity showing:
1. the type of funds awarded
2. the total amount of funds awarded
3. the amount of funds available for the funding year 2009-2010 or 2010-2011
4. the amount of program funds
5. the amount of administrative funds "
2/16/2010
The scope of work has been replaced by the questions on the application.
2/16/2010
I downloaded the most recent application and the gray boxes where I type my response remains highlighted in gray. I attempted to un-highlight, but it will not allow. Is there any way to do this, or should I not worry and submit as is?
When you print the application, the shading should not be printed. It is okay to turn in the application with the shading.
2/16/2010
I have downloaded the most recent application. In the budget section for CoC, ii, column “Annual Amount” is locked as protected. When I go to tools to mark it unprotected it is asking for a password, so I am unable to complete this form.
The annual amount will be filled in based on your entry of the number of years and the total amount.
2/16/2010
Is this okay to submit?
You have two options: you may submit as is and handwrite the # of years nearby, or you may download the updated application.
2/16/2010
Training certificates have already been issued. If your agency did not receive one, please contact Shannon Tilseth at 505-767-2266.
2/12/2010
Can you clarify what activities require a cash match? I'm referring to "E. Matching Requirements, iv.) Matching funds may also include salary paid to staff to carry out the program and the value of time and services contributed buy volunteers, as long as the activity does not require a cash match and so long as the services provided by the staff or volunteers contribute directly to the activities of the program." I'm inquiring specifically for Homelessness Prevention Only funding area. Thank you.
The match requirements for all activities may be met by staff salaries/volunteer hours contributing directly to the activities of the program. Please see the ESG Desk Guide for full details on sources of match.
2/16/2010
MFA makes every effort to have questions and answers posted within 48 business hours, as stated in the RFP. Please note your question may have been edited. If after that time you do not see your question & answer, please contact Shannon Tilseth at 767-2266 for assistance. Most questions are answered within 24 hours.
2/10/2010
We wish to apply for operating funds for supportive housing,and comply with all the minimum qualifications and requirements noted on page 7 of the RFP. Our current HUD SHP SNAP grant is under the Samaritan initiative for construction. Please confirm if this meets the eligibility requirements, and intent of the program.
Yes, recipients of HUD CoC grants for construction are eligible to apply for CoC match and/or Permanent Supportive Housing funds. Please note that CoC Match funds may nto be used for construction, but only for operations, supportive services and/or leasing. Permanent Supportive Housing Operations funds may onlt be used for operations expenses.
2/10/2010
Three-part question regarding Budget: 1. Part C: From a previous answer given, am I to understand that the column that says Total Annual Amount is not program specific but rather agency specific? So, if I complete a budget schedule for each activity, the annual amount will be the same in all activities? 2. Since this is our 2010-2011 budget year, I am confused by the fact that the Annual Budget amount in the application under ia. is supposed to conincide with last year's budget. That means that our annual budget expenses in Part C will not match with the Annual Budget in the application. 3. Is there a form where we list all of the revenues or do we not report them this year. Thanks!
- The Total Annual Amount in the Budget worksheets should be specific to the line-items chosen and may be program specific. As the line items may be different for different activities, the budgets may be different. The full agency budget should not be entered in the Activity Budget form.
- The activity-specific budget form is requesting information on how you expect to use the funds in that activity and how that relates to your anticipated budget. The budget question on the application is for the evaluation of the agency's overall financial status.
- You do not need to report all revenue sources this year, and there is no form. There is instead a question on the application requesting the match source.
2/10/2010
On the budget spreadsheet for emergency shelter operations the "Total Administration Expenditure" (cell F 42) does not get added to the Total Activity Expenditures (cell F76). Is the spreadsheet suppose to sum the administration expeniture or should we account for the administration costs in an other manner?
When admin funds are available they are awarded separately from Emergency Shelter Operations Funds, therefore they are not considered to be part of the activity award. Line items and expenses should still be entered, and there will be two separate totals on the form -- the total activity expenses and the total admin expenses.
2/10/2010
On the matter of current registration with the attorney general's office, I have searched the registry of charitable organizations on www.nmag.gov for our registration. We are listed as a charitable organization. Will a print out of this this suffice as proof of current registration? If not, I have also begun the process of electronically registering our organization on the NMAG's website. I have printed out a page that states I have submitted the registration information and they are pending receipt of documents. Will this suffice?
If you are submitting documentation from the Attorney General's Office website, please provide:
- Printout showing registration of the organization (available by searching for your agency as a charity); this shows that the agency has been registered in the past
- Printout showing current electronic registration in progress; this shows that the registration process is current
- If the AG's Office needs to receive paperwork from your agency, documentation of paperwork submitted to the Attorney General's Office (for example, a copy of a dated cover letter noting the items submitted)
2/9/2010
Is it a requirement for consideration of our proposal that we submit a copy of our audited financial statement that includes the findings, and that we answer the audit findings question on page 1?
Yes.
Financial audits must include all pages & sections of the audit, as well as any documents referenced in the audit, including sections referencing fundings. Audits submitted without all information will be subject to Deficiency Correction; if the audit documentation is not submitted, the application will not meet minimum threshold and will not be considered for funding. In the application the agency should summarize any findings and the actions taken to correct those findings; this answer is also required for consideration.
2/9/2010
The executive summary should include the agency's mission, primary objectives, major expenses and major revenue sources. The summary should make it clear to the reviewers how the agency is (and plans to stay) open for business. It should be no more than 1 page.
2/9/2010
If a client was served by three different employees in three different programs in the same day, is this considered one day of service or three for that one client?
Three client services provided in one day would be counted as one day of service.
2/8/2010
In the RFP it states that offerors may request in writing nondisclosure of confidential data, and such data shall accompany the proposal and shall be readily separable from the proposal to facilitate public inspection of the non-confidential portions of the proposal. After award, ALL proposals and documents pertaining to the proposals will be open to the public. Question: If we include leases for scattered site housing along with contracts with each program participant, should we 1) redact all names on both documents, or 2) separate out from the proposal with a letter requesting non-disclosure of confidential data? I know this provision generally involves trade secrets, but if a program only serves persons with mental illness, and it is for public viewing, wouldn't/shouldn't their names be protected from public viewing?
(Note --- the example above applies to Permanent Supportive Housing Operations for scattered site programs)
Yes, the RFP includes provisions to prevent such confidential data from being disclosed to the public. Any such information should be included in the appropriate section of the appliation package, clearly labeled as "Confidential Data - not for public disclosure". This label may be for a given section of the proposal, such as the section containing all tenant leases and participant agreements.
Proposals should not include redactions unless absolutely necessary; if this information is needed to evaluate the proposal, this would be considered a Deficiency Correction. In the example of tenant/client leases, if the participant agreement includes the unit address matching the address on the lease, then the client name would not be needed in order to show that the agency is responsible for expenses for the given unit.
(see page 23 Part VI section K: "Confidential Data").
2/8/2010
(For Permanent Supportive Housing for scattered site programs) On the documentation of site control do you want an original and three copies of all the scattered site leases? This is very voluminous.
For Permanent Supportive Housing scattered site programs, submitting 1 original of all leases & contracts will be accepted, due to the volume of this paperwork. Please make a note in the 3 copied application packets to refer to the original application packet for this documentation.
2/8/2010
There are three columns in the budget:
- Expense Description - the name or category of the expense item
- Total Annual Amount - the amount the agency expects to spend (out of all funding sources) on this item
- MFA Amount - the amount the agency is requesting to spend on this item using MFA TSS funds in the activity being applied for.
2/5/2010
The maximum amount that can be requested of total TSS funds (all activities applied for added together) is the lesser of 50% of the agency's operating budget or 15% of total funds available.
2/5/2010
For Essential Services - Must it be used for salary or can it be used for furniture and appliances for a shelter?
Please refer to the ESG Desk Guide at Section 3-2 for a complete list of eligible activities under Essential Services. Funds may be used for expenses other than staff salaries.
Furniture and applicances for a shelter would not be eligible.
2/5/2010
Re documentation of site control. Our new shelter facility should be complete by the new contract year or shortly after. Do you want site control documentation for both of the shelters we now operate or the agreement we have with the county, our fiscal agent? Ultimately, upon completion of construction, the County will turn over ownership of the property. The City will own the new facility as it does our original shelter and the agreement should be like the one we have for the first shelter. (We lease the second temporary shelter.)
Please submit site control of the site where the shelter will be operating during the new contract year (July 2010 to June 2011).
2/3/2010
Although we were awarded funds in 2009-2010, we have new "key staff." Are the resumes and job descriptions for those persons to be included with the proposal?
No, agencies which received funds in 2009-2010 do not need to submit staff resumes, even if there has been staff turnover.
2/3/2010
No, a financial audit of the year ending 2008 or 2009 must be received by MFA by the Deficiency Correction deadline of March 12, 2010.
2/3/2010
What constitutes a "incorrect report" ? If an agency submitted a report timely and received feedback that data needed to be resubmitted using different criteria (which was done in a timely manner), is this considered "incorrect" and therefore subject to a lower point value for proposal scoring?
An incorrect report is one which did not provide MFA with substantially accurate information by the invoice & reporting deadline of the 20th ofthe month. If a correction did not delay data entry and did not delay the payment of the invoice, the report is considered correct for scoring purposes. Please note that any reporting errors before October are not counted.
2/2/2010
Yes. An audit of 2007 to 2008 fits into "fiscal year ending 2008".
2/2/2010
No, you should not submit an MFA monitoring letter to document good standing.
2/1/2010
We are applying for emergency shelter operations. The agency has two programs, one of which is emergency shelter. Should the total annual budget include all programs for the agency or just the budget for shelter operations?
The annual budget figure (question B.i.a on the application) should be for the whole agency.
2/1/2010
On the category of people that leave the shelter:
We are tracking for HUD with more detail because they have like 9 categories or so, but for MFA they are more restricted to Permanent Housing, Transitional Housing, or Other/Unknown. My question is for someone that we know that left back to the abuser or we “think” that she went back – that person goes in the Permanent Housing Category or Unknown? So, far I think I counted as Unknown, because from our point of view, that person didn’t complete the program. Theoretically, she went back to a PERMANENT housing. What is the correct way to treat such a case?
Your current method is correct. Permanent housing must be safe and affordable. If someone returns to an abuser, this would rarely be considered safe permanent housing. Based on the individual case, it may be transitional or other/unknown.
2/1/2010
This is the first time we have applied for funding. On the Submission checklist it is asking for Site Control documentation. Does this apply to us? If so, what is it? Thanks for your help!!
Site Control documentation is required for agencies applying for Emergency Shelter Operations and/or Permanent Supportive Housing Operations. This would show that the agency has the legal control of a facility to provide shelter/housing. The documentation can be warranty deed, lease, mortgage, mortgage note,e mortgage statement; or, if scattered-site permanent supportive housing, individual tenant leases AND individual contracts between the agency & the tenant, showing that the agency is legally obligated to pay for the unit.
2/1/2010
If we had a financial review--budget under $200,000--would this meet criteria for applying for TSS funds? Auditors we have contacted have suggested this level of audit for an organization our size.
MFA is unable to certify whether a financial review will be acceptable until it is submitted. Such a review would have to contain all of the components of an independent audit.
2/2/2010
Yes, there is only a Part C for the Budgets. This corresponds to section C in the application.
2/1/2010
We are in the process of opening a Halfway house for people coming out of substance abuse treatment who are homeless. We will also consider taking people coming out of jails and prison who are affected by and have completed substance abuse treatment. There is no other program in the area at this time. We attended the RFP training and thought of assessing Emergency Shelter Operations, but noticed the max stay is only 90 days and our program may go for as long as 9 months (depending on individual goals and treatment plans-or court orders). We need operating funds for this program. Would either the Essential Services or the Emergency Shelter piece of this RFP be accessible to us? Thanks for clarification.
Yes, Essential Services would be a possibility, provided that clients provided with Essential Services meet the HUD definition of homelessness.
Emergency Shelter Operations would not be an option for the type of facility described.
2/1/2010
For question ia. Total annual budget, would this be the agency budget for the prior fiscal year for which we include the audit, or the current fiscal year?
Yes, please provide the annual budget which is consistent with the financial audit.
1/29/2010
Yes.
1/28/2010
If your agency has not received a current letter (for the fiscal year ending 2008 or 2009) of registration from the Attorney General's Office, please submit the most recent letter of registration and proof that you have requested a current letter.
1/27/2010
We have a transitional shelter program for clients who have been at the shelter for 90 days and are preparing to move into their own housing. Clients pay a day rate based on a sliding scale. However, client fees do not cover the operational cost of running the transitional shelter program. Would this program qualify for funding under Emergency Shelter Operations?
No, a transitional program cannot be covered under Emergency Shelter Operations.
1/26/2010
There is no separate verification required in order to apply for funds. Agencies which receive funds will need to document this for MFA monitoring review.
Policy-making participation - the agency should have on file an affidavit from the board member. This information does not need to be made public, but will be shared with MFA at the time of monitoring.
Participationby persons who have experienced homelessness in provision of services and/or operations via employment or volunteering - the agency should have on file a policy & procedure on any participation that is available and/or encouraged.
1/26/2010
Re: Reporting and Client Confidentiality
Client confidentiality is our top priority. I understand we would be exempt from entering data into the HMIS. However, does this funding come with a requirement for client file reviews? To ensure the safety of our clients, we would be unable to divulge any identifying information. Would this render us ineligible for funding?
Yes, MFA reviews TSS client files. Client confidentiality is likewise a priority for MFA, and therefore, no client identifying information is copied or removed. For agencies covered by VAWA, the file review is conducted on redacted files, with the file in the agency's staff person's possession.
One of the key requirements of the federal funding for TSS is verifying client eligibility for services; in certain limited circumstances, MFA and/or HUD may need to review portions of unredacted files.
1/26/10
Should these funds also be included in the CoC Match Activity Budget?
Yes, if you would like to apply for CoC Match funds to match the pass-through grant you receive, those funds should be included in the CoC Match Information table on the application.
These funds should also be included in the CoC Match activity budget.
1/26/10
Regarding the COC match category, we have not received award letters for the HUD COC 2010-2011 funds that we applied for in 2009. For three of our COC grants, the current grant year will end 2/28/10 and we have award letter or agreement for the 2010-2011 grant which would start 3/1/10. Should we provide the information and copies for the grant awarded for 2009-2010?
Yes, please provide grant agreements for HUD COC awards for 2009-2010.
1/25/2010
No, there is no maximum amount for CoC Match this year; all agencies will be awarded based on the amount eligible for match and the amount of funds available.
1/25/2010
Yes, there is a section for Emergency Shelter Operations - Administrative Costs, at the bottom of the first page of the budget.
1/25/2010
I am trying to calculate the # of days service was provided on average to our clients for our end of year report and I need to know if this is only for clients who have exited or also for those who are still in the program. If we are calulating those still in the program do we count those who entered in November? This may skew our report as showing we only served those clients 30 days (when in reality we serve people on average of one year), which is why I need further clarification.
If I count the average number of days a person was served, does that mean total days? For example, I have some clients who were served a total number of 730 days while they were in the program (obviously this is more days than the timeframe that is being asked to report on), can I include this in my average days served? Our clients are on average served 364 days, if you do not take into account the timeframe of when the entered or exited. Is this the number I use?
To count the average number of days of service provided, please count all clients served within the time period, including clients who may have entered and/or exited during that time period. There are 3 time periods requested: Jan - Dec, July - Dec, and July - June (proposed).
The average # days should be days within the time period, so there should never be more days of service than the number of days in the time period. (for Jan - Dec & July - June, there cannot be more than 365 days of service).
Please note that a day of service must include client contact. Continued enrollment in a program or ongoing payment of rent does not imply that the duration of enrollment/rent counts as a days of service.
1/25/2010
No, agencies which apply for & receive Homeless Prevention Only cannot restrict assistance to the agency's own clients/target population. Agencies must provide Homeless Prevention to the entire community, not just the agency's target population or clients/program participants.
1/25/2010
The errors in the application for Annual Operating Budget and the CoC Match table have been corrected. Please download a new application. An email notice will be sent out by the end of the day Tuesday, 1/26/2010 to provide the updated application to all prospective applicants.
1/25/2010
No. All agencies must have a current independent financial audit in order to qualify for funds.
1/25/2010
What if a shelter does not meet the emergency shelter operations minimum requirements (open year-round 24/7, minimum 6 beds, occupancy of 60 bed-nights per month [e.g., 6 people for 10 nights], max stay of 90 days)? Is there another grant?
If the shelter cannot qualify for Emergency Shelter Operations funds, it may qualify for Essential Services Only or Homeless Prevention Only funds.
1/25/2010
Homebuyers (9)
My wife and I owned a home for 9 years and are now renting. I am an educator and my wife is a nurse. Can we qualify for the HERO program?
If we had funds for the program yes; however we are not offering the HERO Program at this time.
Currently we do not have this program available.
What about NSP
Cannot answer this, as it was not a complete question.
my daughter has a credit score of 595 but she did straighten out the problem that would've brought up her score, it's been app. 3 mos. since this happened, and still her credit score is the same. How long does this take for her credit score to adjust and secondly would she still be able to qualify?
The MFA is not a credit reporting agency. The only thing we can tell you is that the Bureau updates every 30 days. If you have not seen an update you would need to contact the credit bureau to check the stauts.
The lenders each have their own minimum credit score required; however currently MFA requirements are the same as FHA or Conventional.
MFA does not have a credit score requirment. Our guidelines are based on income and purchase price, the lender will qualify you for a loan based on credit scores. Lender's generally use a credit score of 620 or above to qualify a borrower. However, each lender may vary their credit score requirments.
Yes, MFA Funds can be used to purchase a HUD home and the Tax Credit Loan can be used for down payment and closing costs. You will need to contact one of our participating lenders to get pre-qualified. Once you have signed a purchase agreement for the home then you will go back to the lender for the processing of your loan and they will access our funds.
Yes, all of our down payment assistance programs must be accompanied with our first mortgage products.
---OWNERSHIP OF PROPERTY--three year limitation--Does that mean that borrower cannot be in title to a property for three years prior--OR, does that mean that the borrower must not have lived in that property as primary residence for past 3 years. If curraent property is being rented, does borrower still qualify as first time borrower?
In order to be considered a first time homebuyer you can own property as long as this has not been your primary residence for the past 3 years.
Homeowners (2)
What would an application for home improvements, such as leaky roof, broken doors and windows, and a water leak in my outside wall, be listed under? I found it once, but can't remember where.
The NM Energy$mart program is managed by four partner agencies who provide this service throughout New Mexico. To find the provider for your area, enter this web address into your web browser http://www.housingnm.org/nm-energymart or call Gina Martinez, Program Specialist at 505-767-2274 or Michael Furze at 505-767-2256.
The HOME Owner Occupied Rehabilitation Program is managed by several partner agencies who provide this service throughout New Mexico. Currently, MFA does not have full state coverage for this program. To find out whether your home is in a covered area please contact Laurie Linden, Program Specialist at 505-767-2260.
There has been some miscommunication regarding MFA’s Second Mortgage Loans being forgivable after a period of 5 or 10 years. Generally, Your loan is due on sale, transfer or refinance of the property. If there is a forgivable provision on your loan, it will be stated in the Note and Mortgage or Award and Restrictive Covenant you signed at closing. If there is not a "forgiveness" stipulation, the debt remains due. Contact our MFA Mortgage Servicing Department (505) 843-6882 to discuss the specific terms of your loan regarding "forgiveness".
Renters (3)
Does it matter if I make over the limit now (prior to move in) because when I completed the application I was initially qualified. I am supposed to move in 1 month, but I just got a new job. I am trying to be honest by telling them I no longer qualify, so what happens now? I applied at a Low Income Housing Tax Credit property. Thanks so much.
Well this is a very good question and one that does not come up very often. Typically, when you complete an application and the property staff verifies the information that you provided and they determine that you are qualified to move in, nothing will change before you actually occupy the unit. In your case this is not how things occured. You obtained a new job that makes your income higher than the applicable limit and therefore you no longer qualify to live at this particular property.
Unfortuately, you must be qualified at move in even if you were qualified when you completed the application. Any changes that occur from the point of your initial qualification until the day you move in should be reported to the property staff so they can re-examine your application and verify that you are still eligible to move in. Always work with the leasing professionals to navigate the many regulations that govern affordable housing programs. They should be able to assist you with this process and ensure that you are ready when moving day arrives.
I hope this answers your question and helps clarify your concern.
Well, this is an interesting question and one that we get quite often. The properties that we are contract administrators for are Project Based S/8. The owners of these properties signed Housing Assistance Payment Contracts 30 to 40 years ago when HUD was first implementing this program. The S/8 is actually assigned and tied to the unit rather than to an individual. If that tenant moves out the S/8 will remain for the next qualified applicant that moves in. They are no longer funding or establishing new properties at this time so the Project Based S/8 program is not available for you to apply for.
However, there are also Tenant Based S/8 vouchers that are administered by Public Housing Authorities throughout the State. Those that qualify and recieve a Tenant Based S/8 voucher can then take that voucher and use it at any property that meets the affordable restrictions outlined by the PHA. If the tenant moves out they take the S/8 voucher with them and can use it somewhere else. If you would like to market your property you should contact the local PHA in your area and let them know that you have units available to those with S/8 vouchers. The PHA can explain to you what you need to do for a Tenant Based S/8 voucher holder to move into your community.
So these are similar yet very different S/8 programs. Please contact your nearest PHA and ask for information regarding their Tenant Based S/8 program and how you can become involved with it as an owner or agent of a property. I hope this helps explain the S/8 program and answers your question. Thank you.
You can access the application via MFA's web site by going to the Lender/Realtor tab then choose Program Manual and Forms. Scroll down and look on the left of the screen under other lender resources; you will choose become an approved lender.
Complete the Application and the Reps and Warranties forms and send to MFA's Homeownership Department for approval.
The maximum debt to income ratio is determined by FHA, VA or Fannie Mae. The loan needs to obtain underwriter approval - MFA does not grant any exceptions.
Yes. Condominiums can be purchased with MFA funds.
A first time home buyer is someone who has not owned and occupied as their primary residence within the last three years. The location of the home does not matter.
We do not finance duplex, triplex, etc. but condos are O.K. Also, the property can not have more than one kitchen.
As long as the home is in the state, there are no restrictions on the area where you purchase (rural or not).
Yes, as long as they are permanently attached to the foundation.
Compliance:
1st - 20th: Maximum of 3 days
21st - End of Month: Maximum of 5 days
Purchase:
12 business days.
Yes, as long as co-signer does not occupy the property.
Asset Management (2)
All forms are currently being updated and expected to be posted in the near future.
Current forms are located at http://www.housingnm.org/housing-credit-compliance-manual
I am new to HUD Section 8 and was wondering (1) How do I achieve 100% compliance with TRACS? and (2) How do I stay informed on the latest changes in the industry?
Your first question is a very difficult question to answer and there are many steps that would be involved in being compliant with TRACS requirements. First, having software that has been tested and can submit the required information to TRACS without any errors is vital. Second, having personnel that have been trained and have experience in affordable housing programs and are familiar with the HUD Occupancy Handbook 4350.3 as well as with the Monthly Activity Transmission (MAT) guide. Third, you must have access to HUD's Secure Systems so you can review the certification submissions that are stored in TRACS. When you submit your voucher for payment the units and tenants on it must match the units and tenants that are in TRACS. If at least 90% of these certifications don't match you will not be paid. You need to be able to see what is in TRACS so if there are units or tenants missing you can correct this. Each one of these items has much more information that can be added to it but there is not enough space to list it all. If you have these things you will be well on your way to being compliant with TRACS.
To stay up to date with the latest information regarding TRACS and the industry you should regularly visit the HUD website. The link is http://www.hud.gov/offices/hsg/mfh/trx/trxsum.cfm You can view new documents as well as any announcements about TRACS. There is also a discussion forum that you can sign up for where industry experts discuss day to day issues that occur in submitting to TRACS via HUD or a CA.
I hope this helps explain what is required to be compliant with TRACS and how to stay up to date. These are not exclusive by any means and it takes a constant effort to accomplish this. Your peers in the industry are a great way to gain experience and knowledge. Thank you.
Developers (2)
Income limits can be found in several places on MFA's website. HOME Program income limits are posted with program application material at at http://www.housingnm.org/home-rental-loan-program. Low Income Housing Tax Credit Program income limits are posted with program application material at http://www.housingnm.org/low-income-housing-tax-credits-lihtc-allocations. HUD income limits may also be accessed via a link posted with Asset Management hand books and notices at http://www.housingnm.org/handbooks-and-notices
TCAP and Exchange (16)
Tax Credit Assistance and Exchange Programs
TCAP - If we submitted an application in January 2009, and there have been no changes to the officer and directors, can we submit copies of the Schedule H & Affidavits from the previous application or do we need to get originals signed again?
If the most recent version provided was dated in 2009 and there have been no changes, copies are fine – just note in your new application that the originals were previously provided and the name of the application that they were provided in.
TCAP - Do I need to have credit and bond allocations for my bond deal prior to the second tier application date to compete in that round (assuming I meet all other thresholds)?
To compete in the second round bond deals must have completed the following by the application deadline:
- Have already submitted a tax credit application to MFA that has been reviewed for consistency with the Qualified Allocation Plan.
- Have received an allocation of bond cap from the State Board of Finance or has an application on the agenda for consideration at the September State Board of Finance meeting.
To remain eligible for the award, the applicant must receive a final determination letter from MFA and paid the processing fee prior to September 30, 2009.
2008 projects that return credits and are awarded exchange funds should meet the deadlines from the 2008 QAP in order to ensure compliance with the federally mandated commitment and expenditure requirements. However, since these projects no longer have tax credits some flexibility may be available, but this would need to be reviewed on a case-by-case basis. Once deadlines are established in a written agreement projects must meet these deadlines or the award may be rescinded. Recent guidance published by Treasury has indicated that funds must be disbursed by 12/31/2010, whereas the legislation just indicated that subawards must be made by that date. Based on how this issue is resolved will determine how the deadlines in the projects written agreements are set.
Exchange - What if my project received a split allocation in two different years, which Tier am I eligible for or do I have to apply in both?
The project would be eligible based on the initial year it received an allocation. The entire tax credit award must be returned.
Any credits returned to MFA will be exchanged with Treasury (up to the limits allowed) to generate funding that projects that returned credit can apply for. These projects are not guaranteed an award of funds. MFA will retain the authority to evaluate the feasibility and soundness of projects along with the developer's capacity to provide required performance guarantees. It is possible that there may not be enough funding generated to fund all projects that return credits. A project owner should only return a tax credit allocation when they have determined that they have no ability to find a buyer for the credits.
Cost have not yet been determined. At this time, MFA is anticipating the following requirements: a review of the construction costs, plans and specifications; capital needs assessment for acquisition/rehabilitation projects; construction monitoring; market study; appraisal; survey; phase I environmental review; and title insurance. At this time, MFA staff believe that the Exchange program funding may be used to help cover these costs.
A portion will be paid out during construction, lease-up and stabilization and a portion held-back and disbursed during the compliance period, as outlined in the Notice of Funding Availability.
How will funding be disbursed after award? Will projects still need to obtain a separate construction loan from a private lender?
It is anticipated that funding would be made available during construction and provide for monthly draws. MFA will engage a third party contractor to monitor construction progress, review draw requests and make recommendations for funding. To allow time for the review and site inspection, expect a minimum 2 week period from the time MFA receives a complete draw package to the time the funds are disbursed.
That is still being determined. MFA will provide further details as they are available.
Yes, but MFA would either set parameters on conditions/type of refinance or require MFA notification and approval.
The wording in the treasury guidance may be confusing when it refers to “2009 returned credits”, but further information and guidance MFA has received supports the original interpretation of the legislation that indeed only up to 40 percent of the 2009 population based credit ceiling can be exchanged. Any prior year credits returned in 2009 can be exchanged 100 percent.
This has not been determined yet. MFA intends to exchange all of the credits that are returned this year from prior year allocations plus any 2009 credits that are returned up to the 40% maximum – as long as there are qualified projects that need the funding. If Treasury issues guidance stating that more than 40% of the 2009 credit ceiling can be exchanged, MFA would exchange the full amount allowed as needed based on demand.
Credits exchanged by MFA are no longer available for allocation. Credits that are not exchanged with Treasury can be used to offset the amount of any forward allocations, make awards to additional projects, or carry forward to the next year.
That is still being determined. MFA will provide further details as they are available.
The underwriting guidelines would not require any pre-determined amount of deferred developer fee. Deferred developer fees may be necessary if there are not sufficient funding sources.
Guidance issued by HUD has indicated that these funds are only available to projects that have, and continue to have a tax credit allocation.
