Current through Register Vol. 46, No. 39, September 25, 2024
WHEREAS, the Tax Reform Act of 1986, as amended (the
"Act"), establishes a Federal tax credit for housing persons of low income to
be administered by State housing agencies ("low income housing tax
credit");
WHEREAS, the Act authorizes the governor of each state to
proclaim a formula for allocating the low income housing tax credit limit among
governmental units and other issuing authorities in the State;
WHEREAS, the Act requires that the allocation of low income
housing tax credits be coordinated by a single State housing agency;
WHEREAS, the Act requires each agency allocating the low
income housing tax credits to prepare a qualified allocation plan which sets
forth the criteria and preferences by which low income housing tax credits will
be allocated to projects;
WHEREAS, the Act establishes the amount of the low income
housing tax credit Ceiling available to each state as $00.9375 per resident for
the calendar year 1990, based upon the most recent population estimate released
by the United States Bureau of the Census, or a limit of approximately
$16,500,000 for the State of New York;
WHEREAS, the low income housing tax credit should be
allocated in a manner which maximizes the public benefit by addressing the
State's need for low income housing and community revitalization incentives in
distressed areas of the State;
NOW, THEREFORE, I, Mario M. Cuomo, Governor of the State of
New York, by virtue of the authority vested in me by the New York State
Constitution and laws of the State of New York and the Act, do hereby proclaim
and order as follows:
I. DEFINITIONS
A. Code shall mean the United States Internal
Revenue Code of 1986, as amended.
B. Director of Housing or Director shall mean
any Director of Housing so designated by the Governor. If the position of
Director of Housing is vacant, during the period of such vacancy, the
Commissioner of Housing and Community Renewal of the State of New York shall
exercise the powers, functions and duties of the director for the purposes of
this Order.
C. Low income housing
tax credit ceiling shall mean the dollar amount of allocation authority
apportioned to the State by the Act for a calendar year under section
42(h)(3)(c) of the Code.
D. Tax
credit shall mean the low income housing tax credit allocated to specific
projects under section 42(b) of the Code.
E. State Allocation Plan shall mean the plan
to guide the allocation and monitoring of the low income housing tax credit
ceiling in a manner which addresses State and local housing needs and, where
possible, addresses the most pressing State and local housing needs, fosters
community revitalization, saves social services and public assistance expenses
and/or leverages economic development.
F. Housing Credit Agency or HCA shall mean
any State Housing Credit Agency or Local Housing Credit Agency.
G. State Housing Credit Agency shall mean the
New York State Division of Housing and Community Renewal or any other State
agency, governmental unit or public benefit corporation concerned with housing
and designated by the director as an HCA, within the meaning of section
42(h)(7) of the Code. The Division of Housing and Community Renewal shall be
the main HCA in the State.
H. Local
Credit Agency or LCA shall mean any political subdivision, or any other local
governmental unit or issuing authority concerned with housing and designated by
the director as an HCA, within the meaning of section 42(h)(7)(A) of the
Code.
II. ALLOCATION OF LOW INCOME
HOUSING CEILING
A. The director shall, in
accordance with the State Allocation Plan, allocate the annual low income
housing credit ceiling to State and Local Housing Credit Agencies in accordance
with the following categories:
1. 30 percent
in a Statewide Reserve and allocated by the director to any HCA for statewide
use to insure that at least 10 percent of the overall local income housing tax
credit ceiling is reserved and set aside for use by qualified nonprofit
organizations materially participating in the development and operation of
projects in accordance with section 42(h)(5)(b) of the Code; to increase the
allocation of the low income housing tax credit ceiling to any HCA in order to
insure sufficient means to implement a complete program of credit activity; and
to provide for innovative initiatives of importance in addressing State and
local housing needs;
2. 45 percent
to State Housing Credit Agencies; and
3. 25 percent to Local Housing Credit
Agencies.
B. The
director shall monitor the further allocation of Tax Credits in categories 1,
2, and 3 above to insure that at least 10 percent of the overall low income
housing tax credit ceiling is reserved and set aside for use by qualified
nonprofit organizations materially participating in the development and
operation of projects. The director may increase an allocation of the low
income housing tax credit ceiling in order to insure sufficient means to
implement a complete program of credit activity and to provide for innovative
initiatives for addressing State and local housing needs. The director shall
also provide a priority for projects that utilize tax credit proceeds to
provide operating reserves or rental assistance to enable homeless or other
special needs populations to rent units at the shelter rent (public assistance)
level.
C. State and Local Housing
Credit Agencies that seek to receive an initial allocation of the low income
housing tax credit ceiling pursuant to paragraph A of this section shall submit
an application to the director as specified by the director in 1990 and on or
before January 1st of each calendar year thereafter. The application shall
include:
1. a qualified allocation plan, as
defined by the Act and the Code;
2.
a request for an allocation of low income housing tax credit ceiling consistent
with its qualified allocation plan;
3. a certification that all necessary steps
will be taken to fulfill the responsibilities of an HCA as set forth under the
Act and that it will comply with all procedures and guidelines promulgated by
the director; and
4. such other
information as the director may require.
D. In 1990, the director shall make an
initial allocation of the low income housing tax credit ceiling to HCA's within
30 days of receipt the HCA applications as specified above and by February 15th
of each calendar year thereafter. The director from time to time may make
additional allocations to such credit agencies from the Statewide
Reserve.
E. After receiving an
allocation of the low income housing tax credit ceiling from the director, each
HCA shall submit to the director on July 1st of each calendar year and
bimonthly thereafter a report on the progress of its program which shall
include a statement of the amount of its low income housing tax credit ceiling
that is expected to remain unused. On and after September 15th of each year,
any of the low income housing tax credit ceiling which the director determines
is likely to remain unused shall revert to the Statewide Reserve for
reallocation by the director.
III. REPORTS
On or before March 31st of each year following the year in
which Tax Credits were allocated, the director shall submit a report to the
Governor for the prior calendar year on the amount of the low income housing
tax credit ceiling allocated to each HCA, the number of qualified low income
housing projects to which the Tax Credit was allocated, and such other
information as the director deems appropriate.
IV. PROCEDURES AND GUIDELINES
The director is authorized and directed to establish
procedures and guidelines to implement the provisions of this Order. Such
procedures and guidelines shall set forth the amount of the low income housing
tax credit ceiling for the State and provide guidance to HCA's in applying for
an allocation and making reports and certifications sufficient to enable the
director to make any report required by section 42 of the Code. Such procedures
and guidelines may address processing and monitoring costs and any other
matters the director deems appropriate.
V. EFFECTIVENESS
Nothing contained in this Order shall be deemed to
supersede, alter or impair any provision of the Act, or any regulations
promulgated thereunder.
Signed: Mario M. CuomoDated: February 27, 1990
[FN*] [Revokes and supersedes Executive Order No. 91 (Mario
M. Cuomo), §
4.91, supra.]
[FN[DAGGER]] [Revoked and superseded by Executive Order No.
11 (Andrew M. Cuomo), §
8.11, infra.]
