Recycled Tax Credit Assistance Program (R-TCAP), Ohio

The Ohio Housing Finance Authority expects to receive over $70 million in loan repayments from the Tax Credit Assistance Program (TCAP) and will use these repayments to assist additional affordable housing properties through the Recycled TCAP (R-TCAP).

In 2009, the Ohio Housing Finance Authority received an allocation of federal Tax Credit Assistance Program (TCAP) funds allocated through the American Recovery and Reinvestment Act (ARRA). OHFA structured the majority of awards as loans and beginning in 2012, expects to receive over $70 million in loan repayments over the following five years. These repayments will be used to assist additional affordable housing properties through the Recycled TCAP (R-TCAP). OHFA developed guidelines that outline the use of repayments received during calendars years 2012 through 2014.

R-TCAP applicants can be private for-profit housing developers, not-for-profit 501(c)(3) and 501(c)(4) organizations, and public housing authorities proposing to develop new affordable rental housing opportunities or preserve affordable at-risk housing through the Housing Tax Credit program, both 9% competitive and 4% bond credit programs. Owners of existing Housing Tax Credit properties that are in between Year 10 and Year 20 of their compliance period are also eligible to apply for the funds.

There are three R-TCAP loan subprograms:

  • 9% Equity Bridge Loan Program: bridge loans to increase the amount of equity generated by the sale of the credits for Permanent Supportive Housing projects receiving 9%-competitive Housing Tax Credits in 2013,
  • 4% Equity Bridge Loan Program: bridge loans to increase the amount of equity generated by the sale of the credits for projects receiving 4%-bond Housing Tax Credits in 2013,
  • Housing Tax Credit Preservation program: subordinated, deferred payment loans to assist with first mortgage loan restructuring and capital repairs for existing Housing Tax Credit properties.
Contributed By: 
National Housing Trust

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