LIHTC Allocation

Once the NIFA Board approves a Conditional Reservation, the applicant must submit documentation of the following to NIFA within 90 days of the notification of such Conditional Reservation:

1. Payment of Reservation Fee and any other fees due to NIFA (including fees due from all other developments sponsored by such applicant).
2. Syndication commitment (signed by both parties) outlining LIHTCs and AHTCs equity contribution commitment or terms (i.e., percentage, proceeds to be received, etc.).
3. A Phase I Environmental Site Assessment prepared by an unrelated third-party professional. For developments where rehabilitation will happen, this report must include an assessment of the risks relating to environmental conditions, including but not limited to lead-based paint, asbestos, and radon.
4. Each development owner must agree to provide complete annual operating data and federal income tax returns to NIFA on a timely basis.
5. Firm commitments for all sources of funding, including construction and permanent sources and subsidies if applicable. HOME funds and USDA-RD commitments will be due at the time of the Carryover Allocation submission.
6. A Fair Housing Act Accessibility Certification in the form set forth in Exhibit A signed by the development's Architect showing that, when constructed in accordance with the plans and specifications, the development will be in compliance with the design and construction requirements set forth in the Fair Housing Act and Americans with Disabilities Act.  
7. Development status reports, in form and frequency as specified by NIFA, outlining the development's progress toward completion of the development or satisfaction of all requirements necessary to receive a Carryover Allocation Agreement or a final allocation of LIHTCs and AHTCs. The Quarterly Progress Report set forth in Exhibit B shall be used to submit such reports to NIFA by the 5th day following the end of each calendar quarter.  Information requested by NIFA, may include such items as zoning approvals, construction progress reports, site control documentation and cost analysis updates.
8. If the owner of the proposed development intends to claim Historic Rehabilitation Tax Credits, NIFA will require evidence from the State Historic Preservation Office (SHPO) of the United States Department of the Interior National Park Service Part I approval of the historic rehabilitation of the development, if not previously submitted with the LIHTC Application. 
9. Exhibit 111
10. Each development owner must certify that the development will be in compliance with the Violence Against Women's Act, to include ensuring prospective applicants and tenants are provided with the Notice of Occupancy Rights Under the Violence Against Women Act.
11. Any other documentation required by NIFA.

Note: Failure to submit the above requirements and/or other conditions imposed by NIFA, by the required deadline, will result in late fees and could result in the revocation of the development's Conditional Reservation of LIHTCs and AHTCs. Extensions may be requested as set forth in the Allocation Plans for 4% or 9% LIHTCs. 

NIFA will grant a Carryover Allocation for developments that will not be placed into service in the same year as a Conditional Reservation was issued.

To receive a Carryover Allocation, the owner must:

1. Submit one hardcopy of all documentation detailed in the Carryover Allocation Procedures Manual by November 1st of the current year and
2. Incur 10% or more of the reasonably expected basis (including land) in the development ("10% Test Certification") within one year from the date of the Carryover Allocation and submit the 10% Test Certification by no later than June 30th of the year following the Carryover Allocation Agreement.

NIFA will grant a Carryover Allocation upon receipt and review of the following completed Carryover Allocation Documentation:

1. Carryover Allocation Agreement
2. LIHTC Calculation Worksheet, Attachment I of the Carryover Allocation Agreement
3. Executed and filed organizational documents of the Owner
4. Letter from the IRS evidencing the Owner's federal Employer Identification Number (EIN)
5. Certificate of Good Standing for the Owner (dated within 30 days of submission of Carryover Allocation Documentation)
6. Updated cost figures (firm bids at minimum, contracts preferred)
7. Any additional information requested by NIFA
8. If applicable, firm commitment for Department of Economic Development HOME Funds or USDA-RD
9. Executed IRS Form 8821 (Tax Information Authorization Form) for the sharing of information between NIFA and the IRS. Each development will be required to execute a new Form 8821 every 3 years. Form 8821 must be from the Owner to NIFA and list the following on the respective line items
   • 3(a): Income
   • 3(b): (i) Partnership or LLC - Form 1065; (ii) Individual - Form 1040; or (iii) Corporation - Form 1120
   • 3(c): Current year and next two years
   • 3(d): Any related federal income tax information pertaining to LIHTC, including audit findings and assessments

When all conditions and requirements of this section have been deemed satisfied by NIFA, we will execute the Carryover Allocation Agreement and return one copy to the Owner.

10% Test Certification Requirements (to be submitted no later than June 30th of the year following the Carryover Allocation Agreement)

• 10% Test Worksheet Certification, Attachment II of the Carryover Allocation Agreement
• Independent Auditor's Report on Applying Agreed-upon Procedures
• Recorded Warranty Deed in the name of the Owner
• Settlement Statement for purchase of land
• Current Certificate of Good Standing for the Owner (dated within 30 days of submission of 10% Test Certification)
• Certification from the Nebraska Department of Environment and Energy that the plans and specifications meet the state energy conservation code.

An owner must notify NIFA when a development has been placed-in-service. NIFA will issue IRS Form 8609(s) contingent upon the owner submitting all documentation detailed in the Final Cost Certification Procedures Manual. Must be provided within 60 days of last building being placed in service.