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 has opened the initial comment period and will close the period at 4:30pm on Monday August 15th, 2022. The current 2022-2023 QAP is available on VHFA’s website.
The Federal Low Income Housing Tax Credit (LIHTC) 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.
To arrive at recommendations for updates to criteria and policies in the QAP, VHFA staff facilitate public comment prior to presenting a recommended QAP. Following a review of comments, VHFA will draft an update to the QAP, with that draft version of the 2024-2025 QAP expected to be available for public comments starting in October 2022. VHFA staff then expect to make recommendations to the Joint Committee on Tax Credits in late 2022 as a result of this update process. The Agency's goal is to have the QAP approved a year in advance of 2024 applications to ensure potential applicants have time to consider any updates in planning 2024 projects.
Comments on the QAP can be submitted via VHFA’s website. Comments can also be emailed to the VHFA Community Development team at [email protected].
Pictured: New Avenue apartments in St. Johnsbury. The project received federal tax credits allocated by VHFA.