2011

Affordable Housing Program

Webinar Agenda

• AHP overview

• Eligibility/threshold requirements

• Scoring/feasibility review

• Online application

• Technical assistance process

• AHP award obligations

• Questions

What is AHP?

• Supports the development of affordable housing for households at or below 80% of AMI (using HUD’s guidelines)

• Direct subsidy (grants) or low-interest loan options

• Competitive application process

What’s Happening in 2011?

• One funding round

• Funds for 2011 AHP – approximately $3 million

• Maximum subsidy amount $250,000 per project

• Online application

• Informational webinars, workshops and technical assistance

Important 2011 AHP Dates

• Now – technical assistance requests accepted• During the month of May – webinars and workshops

will be conducted (go to the FHLBank Pittsburgh website for registration information)

• June 1 – access to online system available• July 21 (5 p.m.) – closing date for submission of

applications; applications MUST be in “Member Approved” status

• October 28 - AHP funding announcement

AHP Eligibility Criteria

General:– FHLBank members = Applicant– Nonprofit, for-profit, authorities, municipalities

developing affordable housing = Sponsor

Project Specific Thresholds:– Rental projects – at least 20% of units targeted

for families at or below 50% AMI– Homeownership projects – at least one unit

targeted for families at <80% AMI– Project meets Fair Housing requirements

AHP Eligibility Criteria (cont.)

– Project must comply with required retention period: 5 years for owner-occupied housing, 15 years for rental, and use acceptable retention mechanism

– AHP subsidy requested must be less than or equal to the $250,000 maximum

– Creditworthiness of the member must be verified (by FHLBank Pittsburgh)

– AHP funds must be used for an eligible purpose

Eligible AHP Uses

• Homeownership or rental

• Multi-family, single-family

• Acquisition, new construction, rehabilitation

• Scattered site, single site

• Downpayment/closing costs

Quick Scoring Review

• The AHP uses a 100-point scoring system• Scoring details provided in Attachment B of the AHP

Implementation Plan• A perfect score is not required!• 2010 funding round results:

– 76 applications submitted, 15 approved– High score = 82, score for last approved = 68.75

• Score for last approved application in 2009 funding round = 65

2011 Scoring Guidelines

Scoring Categories Point Allocation

Use of Donated Properties 5 (fixed)

Sponsorship by Nonprofit or

Government Entity 5 (fixed)

Targeting 0-20 (var.)

Housing for the Homeless 5 (fixed)

Promotion of Empowerment 0-10 (var.)

Scoring Categories Point Allocation

First District Priorities:– Special Needs 7 (fixed) – Economic Diversity 5 (fixed)– Rural 5 (fixed)

Second District Priority:– Readiness to Proceed 8 (fixed)

Subsidy per Unit 0-5 (var.)Community Stability 0-25 (var.)

2011 Scoring Guidelines (cont.)

Project Feasibility

• Projects may score well, but may not pass the feasibility review

• Review project feasibility guidelines in Attachment A of the AHP Implementation Plan

• Feasibility factors:– Financial Structure– Need for Subsidy– Market Demand– Development Team Capacity– Readiness to Proceed

• Discuss potential feasibility issues with CID staff early

Things to Do Now

• Meet with your FHLBank member• Complete individual/person registration if you are not

previously registered• Review online resources: AHP Implementation Plan,

AHP guide, subjective category guides, scoring templates, etc.

• Complete due diligence and start work on templates• Request technical assistance

Registering For The Funding Round

• Previously registered sponsors• New sponsor registration• Member registration

Previously Registered Sponsors

• If you know your user ID and password (PW), log onto Bank4banks and access the system as usual

• If you know your user ID, but forgot your PW, log onto Bank4banks and hit the reset link for “Forgot your password?”

• If you know your PW, but forgot your user ID, email CID – Dorothy Pegdan at dpegdan@fhlb-pgh.com or – Ann Killian at akillian@fhlb-pgh.com

New Sponsor Registration

• New sponsors can register at any time by going to FHLBank Pittsburgh’s public website, clicking on the Bank4banks link in the lower left corner and then the “community investment sponsor/consultant not registered yet” link

• System will then prompt you to create user name/ password, answer security questions and review/accept AHP Services Agreement

• Confirmation sent via email

Member Registration

• Different than sponsor registration:– All member Bank4Banks access is done through the member’s

“Customer Security Administrator” (CSA). To access the AHP system, individuals must be given “AHP Role” in Bank4Banks

– To find the CSA for your institution, you may contact Member Services at 1-800-288-3400, Option 2, or Community Investment Department at 1-800-288-3400, Option 3

– Most institutions have two CSAs. CSAs have the ability to authorize access to the AHP function of Bank4Banks. One CSA can create your account and the other will sign off as a second approver

– Once the CSA sets up your account, the system notifies Member Services and they send out a confirmation packet with your token and instructions for logging into the system

• NOTE: members need to complete this registration only if they are not already an AHP user in Bank4Banks. If you previously submitted an AHP application in the 2010 funding round, you are already registered in Bank4Banks and do not need to complete the registration process again.

Online Application

• Access to previous application information• Financial forms attached to system – easier to

complete offline• Navigation enhancements• Messaging and alert features• Summary screen to track progress

If you initiated an application in the 2010A funding round, this is what you will see…

Initiating an Application June 1

If you are registering yourself in the AHP System for the first time, you need to associate yourself with an

organization before continuing.

On June 1, all potential applicants may begin initiating an application.

Accessing the Electronic Application

Online Application Tips

• Register self and organization only ONCE; call CID with Login ID & Password questions – 1-800-288-3400 option 3

• Save each page BEFORE moving on• 15-minute inactivity period• Click ? on each page for more info• No smart quotes (“ ”) or ampersands (&) in the text

boxes• Read Financial Feasibility Spreadsheet instructions• Contact CID if your project is out of district to ensure

proper 221(d)(3) and 203(b) limits and zip code info

Attaching Supporting Documents

• .zip, .xls,.doc or .pdf file• Excel spreadsheets, maps, site control

documents, zoning compliance, etc. if the file is zipped or in .pdf format

• Zip software: http://www.winzip.com/ddchomea.html

Technical Assistance

Technical assistance is available:• Go to AHP website and click on technical assistance

link – complete TA registration information and project consultation form

• Submit completed forms• CID staff will initiate contact upon receipt of forms

AHP Award Obligations

• Member/Sponsor/FHLBank execute AHP tri-party agreement when AHP funds are awarded

• Member/Sponsor responsibilities:– Start/complete the project in a timely manner and in

accord with the approved AHP application– Semi-annual reporting during construction– Request/document AHP subsidy disbursements

AHP Award Obligations (cont.)

– Compliance review upon project completion– Compliance reporting/monitoring during retention

period– Sponsors/members must provide requested

documentation in timely manner in order to complete required monitoring/compliance reviews

• Review Implementation Plan, Attachment C, for details on compliance/monitoring requirements

Project Completion Review Factors

• Scoring• Income targeting• Income verifications for

20% of households• Executed and recorded

AHP retention document• Feasibility review• Need for subsidy• Subsidy delivery (Note)

• Subsidy use verification• TDC verification• Homeless verification• Special needs verification• Fair housing compliance• Empowerment

techniques verification• Community stability

verification

Community Investment Contacts

Eastern Pennsylvania and Delaware:

Dave Buchesdbuches@fhlb-pgh.com302-242-1257

Central and Northeastern Pennsylvania:

Bill Josephbjoseph@fhlb-pgh.com570-823-0644

Western Pennsylvania and West Virginia:

John Bendeljbendel@fhlb-pgh.com412-288-2820

Laura Ryelaura.rye@fhlb-pgh.com304-291-5485

For more information on the 2011 AHP round, visit the

FHLBank Pittsburgh website

www.fhlb-pgh.com

Questions?