The American Recovery and Reinvestment Act of 2009, 111 P.L. 5 (H.R. 1) (the "Act"), provided two forms of assistance to the Tax Credit Program.
The Tax Credit Assistance Program (TCAP) through which New Jersey received approximately $61 million in federal subsidy funds to help bridge funding gaps in projects that received tax credit allocations but were rendered financially infeasible as a result of the downturn in the economy and the decreased value of the tax credits. The criteria and allocation method for distributing the TCAP funds was approved by the HMFA Board in May 2009.
The other form of assistance created pursuant to Section 1602 of ARRA is the Tax Credit Exchange Program (TCX) which allows housing credit agencies to exchange a certain portion of their 2009 Housing Credit allocation for cash assistance (valued at $.85 per tax credit dollar returned) from the U.S. Treasury in order to provide financial assistance to tax credit properties whose feasibility has been detrimentally impacted by the drop in the tax credit equity market.
NJHMFA Tax Credit Exchange Program Selection Criteria
TCX Commitments Through 10/27/2009 (11kb PDF)
NJHMFA Tax Credit Exchange (TCX) Program Application Process and Selection Criteria (20kb PDF)
