Low Income Housing Tax Credits & Cost Containment in Virginia, 2018

Virginia’s 2018 QAP provides the following point incentives for cost containment:

- The percentage by which the total of the amount of credits per low-income housing unit (the “per unit credit amount”) of the proposed development is less than the standard per unit credit amounts established by the executive director for a given unit type, based upon the number of such unit types in the proposed development. (200 points multiplied by the percentage by which the total amount of the per unit credit amount of the proposed development is less than the applicable standard per unit credit amount established by the executive director, negative points will be assessed using the percentage by which the total amount of the per unit credit amount of the proposed development exceeds the applicable standard per unit credit amount established by the executive director.

-The percentage by which the cost per low-income housing unit (the “per unit cost”), adjusted by the Authority for location, of the proposed development is less than the standard per unit cost amounts established by the executive director for a given unit type based upon the number of such unit types in the proposed development. (100 points multiplied by the percentage by which the total amount of the per unit cost of the proposed development is less than the applicable standard per unit cost amount established by the executive director, negative points will be assessed using the percentage by which the total amount of the per unit cost amount of the proposed development exceeds the applicable standard per unit cost amount established by the executive director.) The executive director may use a standard per square foot credit amount and a standard per square foot cost amount in establishing the per unit credit amount and the per unit cost amount in subdivision 6 above. For the purpose of calculating the points to be assigned pursuant to such subdivision 6 above, all credit amounts shall include any credits previously allocated to the development

Contributed By: 
National Housing Trust

Other Items of Interest