Low-Income Housing Tax Credits and Tax Exempt Bonds in Colorado, 2018

Colorado's 2018 Qualified Allocation Plan includes threshold criteria for the 4% housing tax credit.

The Colorado Act states that tax-exempt, private activity bond-financed projects with 4 Percent Federal Credits are now eligible for State Credits, but are also subject to review by CHFA and are required by the Colorado Act to satisfy the requirements for an allocation of State Credits under the Plan. For all State Credit applications, projects using 4 Percent Federal Credits rather than 9 Percent Federal Credits will be a priority.

Projects financed with tax-exempt bonds are not eligible for the CHFA basis boost.

CHFA has established 60 points as the minimum number of points which a tax-exempt bond-financed project will have to score under the Scoring Worksheet in the application to be considered for tax credits in Colorado. All applications must score a minimum of 60 points under “Scoring Criteria” in order to be considered for an initial determination. Include supporting documentation electronically. All applicants must agree to a minimum five-year waiver of the right to terminate the extended-use period. The minimum score threshold must be met at the time of application.

All applicants must agree to meet the 2011 or 2015 Enterprise Green Communities (EGC) requirements to apply for credits. Applicants must complete a EGC Certification Workbook and score a minimum of 30 points for acquisition/rehabilitation projects and 35 for new construction projects, certifying that the project will meet or exceed the EGC requirements or the equivalent of those requirements for new construction or rehabilitation as applicable. Additional information, including a description of equivalent requirement, can be found under Section 8 of the QAP.

Please note: CHFA will begin phasing out the acceptance of 2011 EGC criteria in 2019. Projects awarded prior to 2019 will be allowed to continue with 2011 EGC criteria through the final allocation process.

Contributed By: 
National Housing Trust

Other Items of Interest