VHFA seeks public comment on Tax Credit Qualified Allocation Plan

By: Mia Watson

Vermont Housing Finance Agency (VHFA) is seeking feedback and comments on the Qualified Allocation Plan (QAP) that guides the agency in making housing tax credit allocation decisions. The agency is opening the comment and feedback period effective April 23, 2019 and will close the period on Friday, May 24. The current version of the QAP is available on VHFA’s website.

The Federal Low Income Housing Tax Credit Program, which is governed by Section 42 of the Internal Revenue Code, requires that each tax credit allocating agency maintain a Qualified Allocation Plan (QAP) that sets eligibility and criteria for awarding state and federal tax credits to developers of affordable housing. The QAP is a compilation of IRS mandates, national best practices and state housing priorities.

In Vermont, VHFA convenes the Joint Committee on Tax Credits, which solicits public feedback, reviews the policies in the QAP and makes recommendations to the VHFA Board of Commissioners. The Board votes to adopt the plan before being sent to the Governor for approval. VHFA’s goal is to update the QAP as needed with sufficient notice that developers are able to respond accordingly and bring projects that reflect the criteria of the QAP, with a target of two years between substantial updates.

To arrive at recommendations for updates to criteria and policies in the QAP, VHFA staff facilitate public comment prior to presenting a recommended QAP. VHFA first sought public comment on this current round of updates in the fall of 2018. Staff will combine the feedback from the fall with the feedback received over the next month. Following public outreach meetings to preview an updated draft QAP leading up to the recommended QAP updates to the VHFA Board of Commissioners. Check VHFA’s website and blog for information regarding future public outreach meetings related to the QAP.

If you would like to submit comments or learn more about this process, you may reach out to VHFA’s Managing Director of Community Development, Seth Leonard at sleonard@vhfa.org or by mail at 164 Saint Paul Street, P.O. Box 408, Burlington VT 05402.

Pictured: Great River Terrace in Brattleboro. Great River was developed using state and federal housing tax credits awarded by VHFA