Requirements for Ownership and Property Transfers

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					                            OWNERSHIP AND PROPERTY TRANSFERS
                    Process and Requirements for Obtaining Approval for Transfers

NOTE:          Please submit all documentation at one time. Do not make partial submissions.
Submit a separate request and separate and complete documentation for each development affected
– do not request approval for more than one development in the same request. Do not fax or e-mail
requests or the associated documentation unless the entire request and all associated documents are
ten pages or less.
Rules in Effect: Some rules for ownership transfers are statutory (Texas Government Code, Title 10, Chapter
2306.6713). Others are from the agency’s Qualified Allocation Plan. The Qualified Allocation Plan that is the most
recent qualified allocation plan in effect, not the plan that was in effect when a development applied for tax credits,
will contain the rules that are effective for a current change in ownership.
General Instructions: The Department’s approval must be requested for any member of the development owner,
except the limited partners under the syndicator, to leave the ownership structure or for any new member to join the
ownership. There are two sets of instructions below: (1) one for transfers to affiliates (i.e. changes in the ownership
structure that do not add any new natural persons) and (2) one for transfers to non-affiliates (i.e. changes in the
ownership structure that add new natural persons or nonprofit organizations that were not affiliated with the
development owner before the transfer). All fees due to the Department must be current before an approval will be
issued.
Transfers to Affiliates
Documentation Required by the Department:
    1. Explanation by Applicant (mandatory) (no form). Applicants must submit a letter requesting the
       Department’s approval for the change. The letter must describe the persons and organizations that are
       departing from the ownership structure and the positions in the final ownership structure and percentages of
       ownership of the persons and organizations that are remaining. The letter must also explain the reason for
       the change. If the change is due to the removal of a member of the development owner by another member,
       this must be stated.
    2. Right of First Refusal (mandatory) (no form). If an agreement exists that creates a right of first refusal
       (as referenced in §42(i)(7) of the Internal Revenue Code) for the subject property, submit a copy of the
       agreement. These agreements were made a part of the LURA in 1995. However, for years prior to 1995, the
       agreement may have been a part of the application but not a part of the LURA. If a right of first refusal
       exists and the compliance period will end before the Department approves a transfer or before the transfer
       is consummated, then the applicant must submit a letter from an attorney confirming that the right of first
       refusal will not be affected by the transfer. If the transfer would affect the right of first refusal, then the
       applicant must act in compliance with the terms of the agreement that created the right.
    3. Copy of recorded LURA (mandatory) (no form). Applicants must submit a copy of the recorded Land
       Use Restrictive Agreement (LURA) and any recorded amendments to the LURA.
    4. “Property or Ownership Transfer Information” (mandatory) (form). This form is included in this
       instruction package and must be submitted.
    5. Organization Charts (if applicable) (no form). If the transfer or change in ownership structure is
       complex, a chart of the organization of the development owner before the change and a chart of the
       organization after the change should be submitted. An example of a chart is included with the forms that
       are included with these instructions.
    6. Organization Documents (if applicable) (no form). Each new organization in the proposed development
       owner must provide the following documentation, as applicable:
            a. Certificate of organization from the secretary of state documenting that the existence of the
               organization has been recorded;
            b. Certificate of Account Status from the Texas Comptroller of Public Accounts or, if such a
               Certificate is not available because the entity is newly formed or is not an organization that is
               subject to the state franchise tax, a statement to that effect; and
                                                                                                             Page 1 of 26
        c. for entities formed in a state other than Texas, a Certificate of Authority to do business in Texas;
        d. Copies of the entity’s governing documents, including, but not limited to, its articles of
           incorporation or articles of organization, bylaws, regulations and/or partnership agreement.
7. Financial Information (if applicable) (two forms). If the proposed change in the development owner
   would result in the loss of organizations or persons whose resources were the basis for securing the
   development’s financing, financial documentation must be submitted to show that sufficient financial
   resources would remain present in the proposed organization. Therefore, the remaining organizations or
   natural persons, may each be required to submit the following two forms:
        a. “Authorization to Release Credit Information” and
        b. “Financial Statement.” (The respondent’s own format is acceptable in lieu of this form.)
8. Previous Participation (mandatory) (multiple forms; some are mandatory; see below.). For all
   organizations and natural persons that were not members of the development owner at the time of
   application, submit all of the previous participation forms that are applicable.
        a. “Previous Participation of Organizations” (mandatory) (one form).
        b. “Previous Participation of Persons” (if applicable) (one form). New natural persons that have a
           direct interest in the development owner instead of an interest via an organization that owns or
           controls the development owner, only need to submit “a” above. Others must submit this form.
        c. “Previous Participation Certification.” (mandatory) (one form). See instructions on the form.
        d. “Previous Participation List ‘A’.” (if applicable) (one form). New members of the owner that
           have previous participation in TDHCA-assisted affordable housing must submit this list.
        e. “Previous Participation List ‘B’.” (if applicable) (one form). New members of the owner that
           have previous participation in TDHCA service-related activities must submit this list.
9. Warranty Deed (if applicable). If the real property is actually being transferred to a new ownership entity
   (as in a sale of the property), a deed in the name of the new ownership entity must be submitted.




                                                                                                         Page 2 of 26
Transfers to Non-Affiliates (i.e. changes that add new persons to the ownership structure)
NOTE: Please submit all documentation at one time. Do not make partial submissions.
Approval of the Executive Director. An applicant may not transfer an allocation of housing tax credits or
ownership of a development supported with an allocation of housing tax credits to any person other than an affiliate
unless the applicant obtains the Executive Director's prior, written approval for the transfer.
Required Documentation: All applicants seeking the Executive Director’s approval for a transfer must provide the
applicable documents described in this section. All necessary forms are appended to these instructions. The notation
“(form)” or “(forms)” by an item below indicates that forms for that item are supplied with these instructions. If the
property is still in the development stage and a change in the developer has occurred or is contemplated, then the
change in the developer must be given the same treatment as a change in the owner.
    1. Explanation by Applicant (mandatory) (no forms). Applicants must submit a letter requesting the
       Department’s approval for the change. The letter must describe the persons and organizations that are
       departing from the ownership structure, the reasons for the changes, and the ownership structure as it will
       exist after the changes. If the change is due to the removal of a member of the development owner by
       another member, this must be stated. Transfers will not be approved prior to the issuance of Forms
       8609 unless the development owner provides acceptable evidence that the transfer is needed because
       of a hardship (e.g. potential bankruptcy, removal of a general partner by the limited partner, etc.)
    2. Forms 8609 or Carryover Allocation Agreement (mandatory) (no forms). If IRS Forms 8609 have
       been issued, applicants must submit the forms with part two of the forms completed to show the placed in
       service date. If the development has not received Forms 8609, the applicant must submit the carryover
       allocation document.
    3. Right of First Refusal (mandatory) (no form). If an agreement exists that creates a right of first refusal
       (as referenced in §42(i)(7) of the Internal Revenue Code) for the subject property, submit a copy of the
       agreement. These agreements were made a part of the LURA in 1995. However, for years prior to 1995, the
       agreement may have been a part of the application but not a part of the LURA. If a right of first refusal
       exists and the compliance period will end before the Department approves a transfer or before the transfer
       is consummated, then the applicant must submit a letter from an attorney confirming that the right of first
       refusal will not be affected by the transfer. If the transfer would affect the right of first refusal, then the
       applicant must act in compliance with the terms of the agreement that created the right.
    4. Copy of recorded LURA (mandatory) (no form). Applicants must submit a copy of the recorded Land
       Use Restrictive Agreement (LURA) and any recorded amendments to the LURA.
    5. Agreements among Parties to the Transfer (mandatory) (no forms). A copy of any agreement among
       the parties to the transfer, including any third-party agreement with the Department must be submitted.
       Such agreements include the contract for sale (if any), documents conveying or establishing the interest(s)
       of the new member(s) of the owner, partnership agreements, and supplementary agreements.
    6. “Owner Certification” (mandatory) (one form). This form must be submitted on behalf of all natural
       persons who are proposed new owners of the development owner or who are owners of a proposed new
       member of the development owner. If a proposed new owner is a nonprofit corporation, only the executive
       or director authorized to bind the corporation, must execute and submit this form.
    7. “Property or Ownership Transfer Information” (mandatory) (one form). All requests must include
       this form.
    8. “Property Manager Replacement Information” (if applicable) (one form). If a new management
       company will be operating the property, submit this form.
    9. “Certification of Tenant Notification” (if applicable) (one form). This form is mandatory if the
       development is occupied. The request for approval of the transfer will not be processed until at least 31
       days after notification of the tenants as evidenced by the submission of this form.
             A copy of the letter to the tenants must also be included.
    10. Organization Charts (mandatory) (no form). A chart of the ownership structure before the transfer and a
        chart after the transfer must be submitted. The charts must illustrate the complete organizational structures

                                                                                                             Page 3 of 26
    and must indicate the relationships, names and ownership percentages of all organizations and natural
    persons having an ownership interest. See the example chart included with these instructions.
11. Organization Documents (mandatory) (no forms). Each new entity shown on the organizational chart of
    the proposed development owner must provide the following documentation, as applicable to document the
    chain of control and signature authority from the highest to the lowest organization and signatory in the
    ownership hierarchy:
        a. Certificate of reservation of name or certificate of limited partnership, organization, or
           incorporation from the secretary of state or other appropriate certificate from the secretary of state
           documenting that the proposed name of the organization may be used or that the existence of the
           organization has been recorded;
        b. Certificate of Account Status from the Texas Comptroller of Public Accounts or, if such a
           certificate is not available because the entity is newly formed or is not an organization that is
           subject to the state franchise tax, a statement to such effect; and
        c. for entities formed in a state other than Texas, a Certificate of Authority from the Texas Secretary
           of State to do business in Texas;
        d. Copies of the entity’s governing documents, including, but not limited to, its articles of
           incorporation, articles of organization, bylaws, regulations and/or partnership agreement.
12. Financial Information (mandatory) (two forms). All new members of the development owner, whether
    organizations or natural persons, must submit the forms:
        a. “Authorization to Release Credit Information” and
        b. “Financial Statement.” (The respondent’s own format is acceptable in lieu of this form.)
13. Previous Participation (mandatory) (multiple forms; some are mandatory; see below.). For all
    organizations and natural persons that were not members of the development owner at the time of
    application, submit all of the previous participation forms that are applicable.
        a. “Previous Participation of Organizations” (mandatory) (one form).
        b. “Previous Participation of Persons” (if applicable) (one form). New natural persons that have a
           direct interest in the development owner instead of an interest via an organization that owns or
           controls the development owner, only need to submit “a” above. Others must submit this form.
        c. “Previous Participation Certification.” (mandatory) (one form). See instructions on the form.
        d. “Previous Participation List ‘A’.” (if applicable) (one form). New members of the owner that
           have previous participation in TDHCA-assisted affordable housing must submit this list.
        e. “Previous Participation List ‘B’.” (if applicable) (one form). New members of the owner that
           have previous participation in TDHCA service-related activities must submit this list.
14. “Credit Limit Certification” (if applicable) (one form). This form is not necessary if the tax credit
   allocation was made in association with tax-exempt bond financing or if the allocation was made prior to
   1995. Otherwise, each member of the proposed development owner that was not a member of the existing
   owner must submit the form, completed and executed. The credit limit that applies to a development is
   stated in the Qualified Allocation Plan of the year of the development’s allocation. Note that the credit
   limit may be waived if the award of credits was made at least five years prior to the transfer or if the
   syndicator, investor or limited partner is taking ownership of the development and not merely
   replacing the general partner.
15. “Historically Underutilized Business” (HUB) (if applicable) (one form). If the application scored points
    for proposing that a HUB would participate in the development owner, and the participation of the HUB
    named in the application is proposed to change in conjunction with the change in the development owner,
    then documentation must be submitted for the new entity that is proposed to take the place of the original
    HUB. The new entity must submit a certificate from the Texas Building and Procurement Commission
    (formerly General Services Commission), verifying that the entity is a HUB. The organization chart for the
    proposed development owner must indicate that the HUB will materially participate in the development
    and operation of the development, and the applicant must submit a HUB form for the new HUB.

                                                                                                        Page 4 of 26
16. Nonprofit Joint Ventures (if applicable) (two forms). If the development’s application scored points for
    proposing a joint venture between a for-profit organization and a nonprofit, the joint venture relationship
    proposed at application must be preserved. If the proposed change in the development owner would alter
    the participation of the nonprofit, the organization chart must indicate that a qualified nonprofit
    organization would continue to satisfy the conditions of scoring by materially participating in the
    development as one of the general partners (or managing members). If a nonprofit entity is proposed to be
    added to the development owner, the applicant must submit the following for the new nonprofit:
        a. 501(c)(3) or (4) determination letter from the Internal Revenue Service;
        b. Articles of incorporation and bylaws indicating that fostering affordable housing is an exempt
           purpose of the organization;
        c. Completed form entitled “Nonprofit Organization and CHDO Participant.”
        d. Completed form entitled “Nonprofit Organization - Board and Officers.”
17. Nonprofit Set-Aside (if applicable) (two forms). If the Applicant was awarded an allocation in the
    Nonprofit Set-Aside, a qualified nonprofit organization must continue to have control of the proposed
    development owner. A request to replace the original nonprofit in control must include:
        a. 501(c)(3) or (4) determination letter from the Internal Revenue Service;
        b. articles of incorporation and bylaws indicating that fostering affordable housing is an exempt
           purpose of the organization;
        c. evidence that the nonprofit organization prohibits members of the board of directors, other than a
           chief staff member serving concurrently as a member of the board, from receiving material
           compensation for service on the board;
        d. third party legal opinion (a template for the opinion can be found in the current year’s application
           forms) stating:
                    that the nonprofit organization is not affiliated with or controlled by a for-profit
                     organization and the basis for that opinion, and
                    that the nonprofit organization is eligible, as further described, for a housing tax credit
                     allocation from the Nonprofit Set-Aside and the basis for that opinion. Eligibility is
                     contingent upon the nonprofit organization controlling the development and otherwise
                     meeting the requirements of the Internal Revenue Code, §42(h)(5);
        e. a copy of the nonprofit organization's most recent audited financial statement;
        f.   evidence, in the form of a certification (signed by the chief executive or other authorized officer),
             that a majority of the members of the nonprofit organization's board of directors principally reside:
                    in this state, if the development is located in a rural area; or
                    not more than 90 miles from the development if the development is not located in a rural
                     area;
        g. Completed form entitled “Nonprofit Organization and CHDO Participant.”
        h. Completed form entitled “Nonprofit Organization - Board and Officers.”
18. Experience in Development (if applicable) (no forms). This requirement is not applicable to
    developments that have been completed. If the development has not been completed and the proposed
    change in the development owner would eliminate a person whose experience was the basis for the
    allocation, the request for approval must include evidence for the organization as proposed that the
    developer and the development owner's general partner, partner or managing member or their principals
    have a record of successfully constructing or developing residential units in the capacity of developer,
    development owner, general partner or managing member. The name of the individual with the required
    experience must appear in the organization chart. Certificates of Experience issued by the HTC Program
    fulfill the foregoing requirement.
19. Deed (if applicable) (no form). If the real property is actually being transferred to a new ownership entity
    (as in a sale of the property), a recorded deed in the name of the new ownership entity must be submitted.
                                                                                                         Page 5 of 26
Because the deed cannot be recorded until after the transfer, this step will occur after the Department
provides a letter of approval for the transfer. The deed must be submitted to the Department’s Division of
Portfolio Management and Compliance.




                                                                                                 Page 6 of 26
                          Texas Department of Housing and Community Affairs
                                       OWNER CERTIFICATION


DEVELOPMENT NAME:                                                                 LIHTC NO.:

      As an authorized member or officer of the proposed Development Owner, acting on behalf of the proposed
Owner, I certify that I am familiar with the provisions of the Tax Reform Act of 1986, as amended, with respect to
the Housing Tax Credit Program, with the provisions of the Qualified Allocation Plan and Rules (QAP) under
which the application for tax credits and the allocation of tax credits were made, and with the provisions of the most
current QAP that are effective in regard to the Department’s approval of changes in the ownership of the applicable
tax credit development, the current rules also being a part of Title 10, Texas Administrative Code. Furthermore, I
have reviewed the Declaration of Land Use Restrictive Agreements (LURA) that applies to the applicable
development or, if the applicable Development has not yet been placed in service, I am aware that a LURA will be
required and I am aware of the representations of the Application that the LURA will contain. Upon approval of the
proposed change in the Development Owner, I will comply with all applicable requirements that were placed upon
the original Applicant as well as any requirements that became or may become effective at a later date. To the best
of my knowledge and belief, the proposed Development Owner has complied, or will comply with all of the
requirements which are identified herein.



                                                                          Its
By:                                                                       Proposed:
        Signature of Proposed Owner                   Date                            Title as proposed

STATE OF:
COUNTY OF:

I, the undersigned, a notary public in and for said County, in said State, do hereby certify that
                                                , whose name is signed to the foregoing statement, and who is
known to be one in the same, has acknowledged before me on this date, that being informed of the contents of this
statement, executed the same voluntarily on the date same foregoing statement bears.
Given under my hand and official seal this     day of                           ,     .       (seal)



Notary Public Signature                               Commission Expires




                                                                                                             Page 7 of 26
                            Texas Department of Housing and Community Affairs
                             PROPERTY OR OWNERSHIP TRANSFER INFORMATION

Date of Sale or Transfer:

I.      PROPERTY INFORMATION

TDHCA Property ID #:                        /                /                   /                  /
                            LIHTC               HOME             HTF                 Tax-Exempt         Other

Current Owner:                                                                   Taxpayer ID No.:
Property Name:
Address:

II.     SELLING OWNER, DEPARTING GENERAL PARTNER OR OTHER DEPARTING MEMBER OF OWNER

Name:                                                                            Taxpayer ID No.:
Contact:
Address:
Telephone No.: (        )           Ext.:       Fax: (   )             E-Mail:

III.       PRINCIPAL CONTACT FOR BUYER(S), INCOMING OWNER(S), INCOMING GENERAL PARTNER(S) OR OTHER INCOMING
           MEMBER(S) OF OWNER

Name:
Address:
Telephone No.: (        )           Ext.:       Fax: (   )             E-Mail:


ALL INCOMING MEMBERS OF THE OWNER MUST BE FULLY IDENTIFIED IN THE “PREVIOUS
PARTICIPATION” FORMS




                                                                                                                Page 8 of 26
                         Texas Department of Housing and Community Affairs
                          PROPERTY MANAGER REPLACEMENT INFORMATION
Date of Replacement of Property Manager:

I.      PROPERTY INFORMATION

TDHCA Property ID #:                     /                /                   /                  /
                         LIHTC               HOME             HTF                 Tax-Exempt         Other

Current Owner:                                                                Taxpayer ID No.:
Property Name:
Address:

II.     NAME OF PROPERTY MANAGER REPLACED OR TO BE REPLACED

Name:                                                                         Taxpayer ID No.:
Contact:
Address:
Telephone No.: (     )           Ext.:       Fax: (   )             E-Mail:

III.    NAME OF NEW PROPERTY MANAGEMENT COMPANY AND CONTACT INFORMATION FOR HEADQUARTERS

Name:                                                                         Taxpayer ID No.:
Contact:
Address:
Telephone No.: (     )           Ext.:       Fax: (   )             E-Mail:

IV.     CONTACT INFORMATION FOR ON-SITE MANAGER

Name:                                                                         Taxpayer ID No.:
Contact:
Address:
Telephone No.: (     )           Ext.:       Fax: (   )             E-Mail:

V.      OTHER CONTACT INFORMATION

(1)Name:                                                                      Taxpayer ID No.:
Contact:
Address:
Telephone No.: (     )           Ext.:       Fax: (   )             E-Mail:

(2)Name:                                                                      Taxpayer ID No.:
Contact:
Address:
Telephone No.: (     )           Ext.:       Fax: (   )             E-Mail:


                                                                                                             Page 9 of 26
                          Texas Department of Housing and Community Affairs
                               CERTIFICATION OF TENANT NOTIFICATION


DEVELOPMENT NAME:                                                                   LIHTC NO.:


Section 2306.6713, Texas Government Code, requires owners to certify that tenants in the development have been
notified in writing of any proposed transfer of ownership. Tenants must be notified at least 31 days before the
transfer request is submitted to the Department. A copy of the form letter used as the notification must be attached
to this certification for review.


       I, the undersigned, being duly sworn, hereby represent and certify under penalty of perjury that tenants in
the development were notified in writing of the proposed transfer on:



Date of Notification:



The information contained in this statement, including any attachments hereto, is true, correct and complete to the
best of my knowledge.



By:                                                                     Its:
      Signature of Proposed Owner                    Date



STATE OF:
COUNTY OF:


I, the undersigned, a notary public in and for said County, in said State, do hereby certify that
                                                , whose name is signed to the foregoing statement, and who is
known to be one in the same, has acknowledged before me on this date, that being informed of the contents of this
statement, executed the same voluntarily on the date same foregoing statement bears.
Given under my hand and official seal this     day of                           ,     .       (seal)




Notary Public Signature                              Commission Expires




                                                                                                              Page 10 of 26
                          Texas Department of Housing and Community Affairs
                                       ORGANIZATION CHARTS
Two charts must be submitted, one to describe the ownership structure before the change in ownership
and one to describe the structure after the change. All organizations and natural persons that did or will
own and/or control the subject property, or directly benefit from the development of the property, must
be included in the charts, along with the percentages of ownership. The ownership structure must be
traced down to the level of each natural person, or in the case of a nonprofit owner, the nonprofit
organization. The syndicator of the tax credits and limited partner investors whose participation is
wholly through the syndicator’s organization should be included in the charts, all together, under the
name “limited partner”, with the corresponding percentage of ownership also included as one summary
percentage. General partners, special limited partners and limited partners whose interests are outside
the organization of the syndicator must be individually described by name and percentage of ownership.
If the property has not been placed in service, the developer should also be included in the charts. For
corporations, persons with an ownership interest of less than 10% of the outstanding voting stock should
not be included.
Example:




                                                   Development
                                                     Owner

                                Organization 1                              Organization 2
                                     1%                                         99%



           Org. 1.1                           Org. 1.2                                   Principal 1, Org. 2
            49%                                51%                                        President, 85%


                      Principal 1, Org. 1.1              Principal 1, Org. 1.2           Principal 2, Org. 2
                        President, 85%                     President, 51%                    V.P., 15%


                      Principal 2, Org. 1.1              Principal 2, Org. 1.2
                           V.P., 10%                          V.P., 49%



                      Principal 3, Org. 1.1
                         Treasurer, 5%




                                                                                                               Page 11 of 26
                          Texas Department of Housing and Community Affairs
                           AUTHORIZATION TO RELEASE CREDIT INFORMATION

Authorization to Release Credit Information
I have applied for approval to become a Principal of the Development Owner of a property that received funding from
the Texas Department of Housing and Community Affairs (TDHCA) which will be investigating my financial position.
As a result of credit inquiries, I am aware that it may become necessary to complete a criminal background check. I am
further aware that this investigation may include my employment status, information regarding bank deposits,
information from other credit institutions and law enforcement agencies, and verification of rental property income, as is
necessary to determine my eligibility for this credit assistance.
I hereby authorize the release of any and all information requested by TDHCA, and specifically authorize TDHCA to
obtain information on my credit history. Furthermore, I hereby authorize the use of a photocopy of this authorization to be
used for all legal purposes for which the original may be used, and request that it be honored as if it were the original. I
understand that further authorizations for release of specific information may be required. I authorize the State to verify any
of the information contained in the application or this financial statement from any source named therein or any source that
would have a reasonable expectation to be able to verify any of the information provided or my ability to fulfill potential
obligations under a future agreement with the State. I also agree to provide the State audited financial statements if it is
deemed necessary to reconcile the statements made herein as a part of its underwriting process.
I hereby certify that the figures and the statements contained herein, submitted by me for the purpose of becoming a
participant in the ownership and/or control of property financed by the Texas Department of Housing and Community
Affairs, are true and give a correct showing of my financial condition as of this date.


Signature:


Printed Name of
Natural Person or Organization:

Employee Identification No. (if statement is for an organization):
or
Social Security No. (if statement is for an individual)

Date:




                                                                                                                          Page 12 of 26
Financial Statement of (name):                                                                    As of (date):
                              ASSETS                                                     (i) LIABILITIES AND NET WORTH
Cash on Hand in Banks            (Indicate Name of Institution)      Unsecured Accounts Payable         (Indicate Name of Institution)
                                 $                                                                       $
                                 $                                                                       $
                                 $                                                                       $
                                 $                                                                       $
                                 $                                                                       $
                                 $                                                                       $
  Total Cash on Hand                                 $                                                   $
Accounts Receivable              $                   SCHEDULE A                                          $
Less Doubtful Accounts           <$                > $                    Total Accounts Payable                           $
Current Portion Notes Rec.       $                   SCHEDULE A Cur. Stock Notes Payable                 SCHEDULE B $
Less Doubtful Notes              <$                > $                Cur. Real Estate Notes Pay.        SCHEDULE C $
Stock, Bonds (Market Value)       SCHEDULE B $                        Other Cur. Sec. Notes Payable      SCHEDULE E $
Other Current Assets             (Describe)                              Other Current Liabilities      (Describe)
                                 $                                                                       $
                                 $                                                                       $
                                 $                                                                       $
Total Other Current Assets                           $                    Total Other Cur. Liabilities                     $
Total Current Assets                                 $                    Total Current Liabilities                        $
Long Term Notes Receivable       $                   SCHEDULE A L/T Stock Notes Payable                  SCHEDULE B $
Less Doubtful Notes              <$                > $                L/T Real Estate Notes Payable      SCHEDULE C $
Real Property - At Net*           SCHEDULE C $                        Other L/T Sec. Notes Payable       SCHEDULE E $
Machinery Equipment – Net*                           $                Other Long Term Liabilities        (Describe)
Fixtures –At Net*                                    $                                                   $
Life Insurance (Cash Value)      $                   SCHEDULE D                                          $
Less Loans                       <$                > $                                                   $
Other Long Term Assets           (Describe)                                                             $
                                 $                                                                       $
                                 $                                        Total Other L/T Liabilities                      $
                                 $                                        Total Long Term Liabilities                      $
                                 $                                         TOTAL LIABILITIES                               $

  Total Other Assets                                 $                CONT. LIABILITIES                  $                 SCHEDULE F
 Total Long Term Assets                              $                                                                     $
                                                                      TOTAL NET WORTH
 TOTAL ASSETS                                        $                TOTAL LIABILITIES AND NET WORTH                      $
*Cost, including improvements, less depreciation
Bank References
Institution Name                                         Contact Person                                  Phone Number




                                                                                                                               Page 13 of 26
    Financial Statement (Make additional copies of this page as needed.)
    SCHEDULE A – ACCOUNTS AND NOTES RECEIVABLE
    Type1 Name                                    Address                                          Due in Less Due in More Doubtful
                                                                                                   Than 1 Year Than 1 Year Accounts
                                                                                                   $                 $                 $
                                                                                                   $                 $                 $
                                                                                                   $                 $                 $
                                                                                                   $                 $                 $
                                                                                                   $                 $                 $
                                                                                                   $                 $                 $
                                                                                                   $                 $                 $
                                              TOTAL                                                $                 $                 $
           .


    SCHEDULE B - STOCKS AND BONDS
                                                                                             Original           Market       Margined      S/T. or
    Description                                                           Exchange2           Cost              Value        Pledged        L/T
                                                                                         $                  $                $
                                                                                         $                  $                $
                                                                                         $                  $                $
                                                                                         $                  $                $
                                                                                         $                  $                $
                                          TOTAL                                          $                  $                $
                                                                          .


    SCHEDULE C - REAL PROPERTY (LIST ALL PROPERTY INTERESTS
    Location & Description of Land and Building               Age      Net Cost3         Market         Assessed          Debt Due      Debt Due in
    Owned (Indicate Private Residence, If Any)                                           Value           Value           in < 1 year     > 1 year
                                                                      $              $                  $                $             $
                                                                      $              $                  $                $             $
                                                                      $              $                  $                $             $
                                                                      $              $                  $                $             $
                                                                      $              $                  $                $             $
                                                                      $              $                  $                $             $
                                                                      $              $                  $                $             $
                                TOTAL                                 $              $                  $                $             $
           .


    Title: The legal and equitable title to all places of the above-described real estate is solely in my name, except as follows:
    Location of Real Property                                                    Name of Title Holders




1
  Specify if amount is due from partners (P), employees (E) or relatives (R)
2
  Specify exchange that stock is traded; widely held if not publicly traded, more than 10 unrelated shareholders, and amount
listed is less than 50% of outstanding shares; or closely held if fewer than 10 unrelated shareholders
3
    Cost, including improvements, less depreciation




                                                                                                                                            Page 14 of 26
    Financial Statement (Make additional copies of this page as needed.)
    SCHEDULE D – INSURANCE
    Insurer                            Beneficiary                    Face Value    Gross Cash Value     Loans Against Cash Value
                                                                      $             $                    $
                                                                      $             $                    $
                                                                      $             $                    $
                                                                      $             $                    $
                               TOTAL                                  $             $                    $

    SCHEDULE E - OTHER SECURED NOTES PAYABLE
    Type4 Lender/Contact                                  Security/ Value                           Due in Less       Due in More
                                                                                                    Than 1 Year       Than 1 Year
                                                                                                    $                 $
                                                                                                    $                 $
                                                                                                    $                 $
                                                                                                    $                 $
                                                                                                    $                 $
                                                                                                    $                 $
                                                                                                    $                 $
                                                                                          TOTAL $                     $

    SCHEDULE F - OTHER PLEDGED ASSETS, DELINQUENCIES, LIABILITIES OR CONTINGENT LIABILITIES:
    Type of Pledge or Liability                   Lender, Beneficiary or Claimant                             Est. Amount of Pledge
                                                                                                               or Potential Liability
                                                                                                              $
                                                                                                              $
                                                                                                              $
                                                                                                              $
                                                                                                              $
                                                                                                              $
                                                                                                              $
                                                                                                              $
                                                                                                              $
                                                                                                              $
                                                     TOTAL                                                    $
    Legal Proceedings: If any legal proceedings have been instituted, or any unsatisfied judgments exist, provide details:




4
    Specify if amount is due to partners (P), employees (E) or relatives (R)




                                                                                                                               Page 15 of 26
                         Texas Department of Housing and Community Affairs
                            PREVIOUS PARTICIPATION OF ORGANIZATIONS
                             (includes some natural persons – see below)
New Organizations & New Persons with a Direct Interest in the Development Owner
List below all organizations that will become new members of the development owner as a result of the ownership
change. If a new natural person has a direct interest in the development owner instead of an interest through another
organization (i.e. the person owns an interest in the development owner, not an interest in an organization that, in turn,
owns an interest in the development owner), then the information about the person should be provided below.
Information on natural persons whose interests in the development owner are through other organizations must be
included on the form, “Previous Participation of Persons.” Copy this form if needed to submit a complete list.
Legal Name:                                                                            Phone:
Contact Name:                                                                            Fax:
Mailing Address:
City, State, ZIP:                                                             Email:
Organization is legally formed? Yes No If “Yes,” enter TIN # (or SSN if person):
Is there previous participation with funding from: a) TDHCA? Yes No              b) Other States? Yes No
Legal Form of Organization (or person) is or will be (Mark all that apply):                  Trust
For-profit Corporation            Nonprofit Corporation            Partnership               Natural Person
Limited Liability Company         Unit of Local Government         Housing Authority         DBA & Person’s Name
Legal Name:                                                                            Phone:
Contact Name:                                                                            Fax:
Mailing Address:
City, State, ZIP:                                                             Email:
Organization is legally formed? Yes No If “Yes,” enter TIN # (or SSN if person):
Is there previous participation with funding from: a) TDHCA? Yes No              b) Other States? Yes No
Legal Form of Organization (or person) is or will be (Mark all that apply):                  Trust
For-profit Corporation            Nonprofit Corporation            Partnership               Natural Person
Limited Liability Company         Unit of Local Government         Housing Authority         DBA & Person’s Name
Legal Name:                                                                            Phone:
Contact Name:                                                                            Fax:
Mailing Address:
City, State, ZIP:                                                             Email:
Organization is legally formed? Yes No If “Yes,” enter TIN # (or SSN if person):
Is there previous participation with funding from: a) TDHCA? Yes No              b) Other States? Yes No
Legal Form of Organization (or person) is or will be (Mark all that apply):                  Trust
For-profit Corporation            Nonprofit Corporation            Partnership               Natural Person
Limited Liability Company         Unit of Local Government         Housing Authority         DBA & Person’s Name
Legal Name:                                                                            Phone:
Contact Name:                                                                            Fax:
Mailing Address:
City, State, ZIP:                                                             Email:
Organization is legally formed? Yes No If “Yes,” enter TIN # (or SSN if person):
Is there previous participation with funding from: a) TDHCA? Yes No              b) Other States? Yes No
Legal Form of Organization (or person) is or will be (Mark all that apply):                  Trust
For-profit Corporation            Nonprofit Corporation            Partnership               Natural Person
Limited Liability Company         Unit of Local Government         Housing Authority         DBA & Person’s Name

                                                                                                                     Page 16 of 26
                          Texas Department of Housing and Community Affairs
                                 PREVIOUS PARTICIPATION OF PERSONS
 List of New Principals of Organizations with Interests in the Development Owner After the Change
List all organizations that will include new members of the development owner as a result of the ownership change or transfer.
List the persons that are the new members of the development owner after the organization’s name. If a natural person will
become a member of the development owner as an individual and not in association with the person’s membership in an
organization, the “Organization Name” space should contain the name of the development owner and the person’s name should
be listed in the “Principal Name” space. For nonprofit corporations, only the chief executive (president or CEO) must be listed
in the “Principal Name” space. MARK ALL APPLICABLE PREVIOUS PARTICIPATION CHECK BOXES.
Organization Name:
 Person’s Name:                                                             Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
 Person’s Name:                                                            Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
 Person’s Name:                                                            Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
 Person’s Name:                                                            Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
Organization Name:
 Person’s Name:                                                            Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
 Person’s Name:                                                            Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
 Person’s Name:                                                            Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
 Person’s Name:                                                            Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
Organization Name:
 Person’s Name:                                                            Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
 Person’s Name:                                                            Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
 Person’s Name:                                                            Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
 Person’s Name:                                                            Role/Title:
   SSN:                               % Interest in Organization:      %
   Previous participation with funding from: a) TDHCA? Yes No          b) Other States? Yes   No
Copy this form if needed to submit a complete list..
                                                                                                                    Page 17 of 26
                         Texas Department of Housing and Community Affairs
                               PREVIOUS PARTICIPATION CERTIFICATION
 Certification of New Owner
This certification must be signed by all natural persons and on behalf of all organizations that are becoming
members of the development owner as a result of the ownership change or transfer.

I hereby apply to the Texas Department of Housing and Community Affairs for approval to obtain an ownership
interest or other interest conferring control, in whole or in part, of the Development Owner. I certify that all
statements made by me in completing the forms required by the Department for ownership changes and transfers
and any related documentation submitted by me are true, complete, and correct and are made in good faith. I further
certify that:
(1) The “Previous Participation” forms, hereinafter referred to as the “Previous Participation Certification”
    contains a listing of every development activity that received TDHCA funding, which I have been or am now a
    Principal.
(2) For the period beginning ten years prior to the date of this certification:
    (a) I have not been arrested, indicted, convicted, or imprisoned for a felony during the last ten years, and am
        not presently the subject of a complaint or indictment charging for a crime of moral turpitude.
    (b) I have not been suspended, debarred, or been subject to enforcement action under state or federal securities
        law, or otherwise restricted by any department or agency of federal or state government from doing
        business with such department or agency.
    (c) I have not defaulted on an obligation covered by a surety or performance bond and have not been the
        subject of a claim under an employee fidelity bond.
(3) For the period beginning ten years prior to the date of this certification, during my participation in the
    developments shown by me in the Previous Participation Certification, there has not been:
    (a) a mortgage in default, assigned or foreclosed, nor has mortgage relief by the lender been given;
    (b) to the best of my knowledge, unresolved findings raised as a result of Departmental or HUD audits,
        management reviews or other governmental investigation concerning me or my developments, or contracts;
    (c) any breach by the owner of any agreements relating to the construction or rehabilitation, use, operation,
        management, or disposition; or
    (d) a suspension or termination of payments under any state or federal assistance contract.
(4) To the best of my knowledge, the Applicant’s Principals have demonstrated fiscal, programmatic, and contractual
    compliance on previously awarded Department contracts or loan agreements and resolution of any previous audit
    findings and outstanding monetary obligation with the Department per 10 TAC Section 53052 (c) (2) and (3).
(5) As required by Section 2306.257 of the Texas Government Code, as added by SB 322, 77th Session of the
    Texas Legislature, an applicant may not receive funds or other assistance from the Department unless the
    Applicant certifies that it is in compliance with the housing laws described in subparagraph (a) through (d) of
    this paragraph. To satisfy that requirement, I hereby certify that the developments listed in the Previous
    Participation Certification, in which I am currently participating, are in compliance with:
    (a) state and federal fair housing laws, including Chapter 301, Property Code, the Texas Fair Housing Act; Title
        IV of the Civil Rights Act of 1968 (42 U.S.C. Section 3601 et seq.); and the Fair Housing Amendments of
        1988 (42 U.S.C. Section 3601 et seq.),
    (b) the Civil Rights Act of 1964 (42 U.S.C. Section 2000a et seq.),
    (c) the Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.), and
    (d) the Rehabilitation Act of 1973 (29 U.S.C. Section 701 et seq.).

                                                                                                           Page 18 of 26
(6) I further certify that I understand that the Department periodically monitors for compliance with the
    requirements specified in paragraph (5) during the construction phase of a housing development that has
    received funds or other assistance from the Department. The monitoring level for each housing development is
    based on the amount of risk of noncompliance with the requirements specified in paragraph (5) associated with
    the development. The Department shall notify a recipient who has received funds or other assistance from the
    Department in writing of an apparent violation and shall afford the recipient a reasonable amount of time, as
    determined by the Department, to correct the identified violation, if possible, prior to the imposition of a
    sanction. The Department shall notify the Texas Workforce Commission’s Civil Rights Division at the same
    time notification is sent to the recipient. I understand that the Department may impose one or more of the
    following sanctions depending on the severity of the violation of a law specified in subsection (5) by a recipient
    of housing funds or other assistance from the Department:
    (a) a reprimand posted on the Department’s website,
    (b) termination of assistance, or
    (c) a bar on future eligibility for assistance though a housing program administered by the Department. A bar
        shall be in place for at least one calendar year from the date of imposition by the Department and may not
        last for more than ten calendar years from the date of imposition.
I make this certification for myself and for the following organizations:




Principal Signature:                                                        Date:
Principal Printed Name:




                                                                                                            Page 19 of 26
                                                         Texas Department of Housing and Community Affairs
                                                                  PREVIOUS PARTICIPATION LIST “A”
    List “A”: Previous Participation and Background Certification Form
This form must be completed by all persons who are obtaining an ownership interest in or control of the development owner to document their ownership or
control of TDHCA assisted affordable housing. New members of the development owner who are otherwise included in the applicant ownership chart must also
complete these sections. Review the information for accuracy and full disclosure as incomplete forms or disclosure may result in sanctions up to and including
revocation of the carryover allocation and findings and reports of noncompliance with LIHTC Program requirements to the Internal Revenue Service.
If the principal has no previous experience with TDHCA funding, then he or she should check the “No” box in response to the “Previous participation funding
from: a) TDHCA?” question in the “Previous Participation of Organizations” and/or “Previous Participation of Persons” forms.
Principal Printed Name:                                              List below the name of the ownership entity for each existing TDHCA property in which the foregoing
principal has an interest (attach a separate page containing the ownership names and associated development names, if necessary):


Section 1. Experience with TDHCA Housing Construction/Rehab. Programs




                                                                                                                                                                                                     Disclosure2
                                                                                                                                                                       Term of         Term of
    TDHCA




                                                                                                                                            Revenue



                                                                                                                                                          Describe
                                                                                                                                                                     Participation   Participation




                                                                                                              HOME




                                                                                                                                  LIHTC
    Activity                                                                                   Total # of




                                                                                                                                            Bonds
                                                                                                                                                          Other:
                                                                                                                                            Mort.
                                                                                                                                                                     or Contract     or Contract




                                                                                                                        HTF
     ID #1     Property Name                                   Property City                       Units                                                                Begin            End

                                                                                                                                                                       mm/yy           mm/yy




1
  TDHCA Activity ID #: Final Development, Contract or Loan Number used by TDHCA to identify the development or activity.
2
  Disclosure: Check the box if the development or activity has known past non-compliance or defaults, technical or otherwise. If disclosures exist, then provide on separate document a description of
the issue and note whether it has been cured. Examples of disclosures include: defaults, mortgage relief, assignments, foreclosures, material/mechanic’s liens, legal action, issuance of IRS Form 8823,
instances of non- compliance with local building codes or planning regulations, and other program findings of non-compliance.
                                                                                                                                          Page 20 of 26
                                                       Texas Department of Housing and Community Affairs
                                                                PREVIOUS PARTICIPATION LIST “B”
    List “B”: Previous Participation and Background Certification Form
Experience with TDHCA Service Related Activities (CSBG, CEAP, WAP, ENTERP, and HOME and HTF Funds that are not used for Rental Construction)
                                                                                                                                                               Term of         Term of




                                                                                                                                                                                             Disclosure
    TDHCA




                                                                                                                                         ENTERP

                                                                                                                                                  Describe
                                                                                                                                                             Participation   Participation




                                                                                                     HOME




                                                                                                                                                  Other:
    Activity                                                Grantee, Contractor, or       Contract




                                                                                                                  CSBG

                                                                                                                         CEAP

                                                                                                                                   WAP
                                                                                                                                                             or Contract     or Contract




                                                                                                            HTF
     ID #1     Grantee, Contractor, or Sub-Recipient Name   Sub-Recipient City            Amount                                                                Begin            End




                                                                                                                                                                                                          2
                                                                                                                                                               mm/yy           mm/yy




1
  TDHCA Activity ID #: Final Development, Contract or Loan Number used by TDHCA to identify the development or activity.
2
  Disclosure: Check the box if the development or activity has known past non-compliance or defaults, technical or otherwise. If disclosures exist, then provide on separate
document a description of the issue and note whether it has been cured. Examples of disclosures include: defaults, mortgage relief, assignments, foreclosures, material/mechanic’s
liens, legal action, issuance of IRS Form 8823, instances of non- compliance with local building codes or planning regulations, and other program findings of non-compliance.
                                                                                                                                Page 21 of 26
                         Texas Department of Housing and Community Affairs
                                         CREDIT LIMIT CERTIFICATION
 This form must be completed for each person that will be a new member of the development owner after the
 ownership change and for any new developer, guarantor or related party.
 Name of subject property:
 Name of new member of the
 Development Owner, Developer,
 Related Party or Guarantor:
 Role:        a new member of the development owner after the ownership change or transfer.
              a new related party with respect to a new member of the development owner.
              a new developer.
              a new guarantor (providing, or anticipates providing, a guarantee to secure equity or financing for
             the subject property for a fee).
 Address:
 City:                                                      State:                   Zip:
The Rules of the Texas Department of Housing and Community Affairs (the "Department") as stated in the QAP
for each year after 1994, stipulates that, for the specified year, the Department shall not allocate more than the
amount of tax credits stated in the applicable QAP to any Applicant (which includes Affiliates), Developer, or
entity that provides, or is anticipated to provide, for a fee, a guarantee to secure equity or financing for
development or mortgage of the subject property. The undersigned represents to the Department that the
following is a list of all developments that would be affected by the rules just stated with respect to the subject
property.
 Development Name:                                                       City:
 Development Name:                                                       City:
 Development Name:                                                       City:
 Development Name:                                                       City:
 Development Name:                                                       City:
         I hereby certify that the foregoing is a complete list of Developments in Texas that are governed by the
Qualified Allocation Plan of the same year as the subject property, the Developments named being all those in
which I seek or currently possess an ownership, developer, guarantor or related party (as described above)
interest. I certify that the transfer under consideration does not violate the $2 million statutory limitation
regarding the credit cap or the limitation stated in the applicable QAP.
         I acknowledge that if the Department determines that a Development Owner, Developer, Related Party or
Guarantor has interests that violate the credit limit of any year, the Department may refuse to issue an approval
for an ownership change or transfer and notify the Internal Revenue Service of any noncompliance with the terms
of an allocation.
         Under penalty of perjury, I certify that this information, and these statements, are true and accurate:

By:
       Signature of Person or Entity                                                     Date
Its:




                                                                                                           Page 22 of 26
                          Texas Department of Housing and Community Affairs
                                 HISTORICALLY UNDERUTILIZED BUSINESS
Historically Underutilized Business (HUB) Participation Certification Form

 This form must be completed if the ownership change or transfer involves a HUB.
HUB REQUIREMENTS
A historically underutilized business, in conformance with Chapter 2161 of the Texas Government Code, means an entity
with its principal place of business in the state of Texas that is:
   a) a corporation formed for the purpose of making a profit in which 51 percent or more of all classes of the
   shares of stock or other equitable securities are owned by one or more economically disadvantaged persons who
   have a proportionate interest and actively participate in the corporation’s control, operation, and management;
   b) a sole proprietorship created for the purpose of making a profit that is completely owned, operated, and
   controlled by an economically disadvantaged person;
   (c) a partnership formed for the purpose of making a profit in which 51 percent or more of the assets and interest
   in the partnership are owned by one or more economically disadvantaged persons who have a proportionate
   interest and actively participate in the partnership’s control, operation and management;
   (d) a joint venture in which each entity in the venture is a historically underutilized business, as determined under
   another paragraph of this definition; or
   (e) a supplier contract between a historically underutilized business as determined under another paragraph of
   this subdivision and a prime contractor under which the historically underutilized business is directly involved in
   the manufacture or distribution of the goods or otherwise warehouses and ships the goods. Goods are defined as
   supplies, materials or equipment.
An economically disadvantaged person means a person who is economically disadvantaged because of the person’s
identification as a member of a certain group, including Black Americans, Hispanic Americans, women, Asian
Pacific Americans, and Native Americans, and who has suffered the effects of discriminatory practices or other
similar insidious circumstances over which the person has no control.
HUB is a:       Minority Business Enterprise (MBE) Minority & Woman Business Enterprise (M/WBE)
             Woman Business Enterprise (WBE)
State of                                               §
County of                                              §
The undersigned,                                                          (“Affiant”) on oath swears that the following
statements are true and are within the personal knowledge of Affiant:
I do solemnly declare and affirm under the penalties of perjury that the content of this and any attached documents are
true and correct and include all information necessary to identify:                                                     .
                                                                    Name of HUB
The undersigned, in addition, swears that the above referenced entity meets all the qualifications for and is certified as a
HUB. I understand that any material misrepresentation will be grounds for revocation of a funding award and shall be
subject to penalty provided under State and Federal law.



By Signature of Affiant                                         Date

SIGNED under oath before me on                                                    .



Notary Public, State of Texas




                                                                                                                     Page 23 of 26
                          Texas Department of Housing and Community Affairs
                          NONPROFIT ORGANIZATION AND CHDO PARTICIPANT
 All new nonprofit Principals must complete this form without regard to the level of ownership or
the set-aside under which the application was made. Only new nonprofit organizations must complete
this section.
1. ORGANIZATION CERTIFICATION
Organization Name:                                                       Employer Identification #:
Legal Status: 501(c)(3) 501(c)(4) tax-exempt under 501(a) PHA other (specify)
Date of legal formation of Nonprofit Organization:
a) Is the Applicant comprised of a joint venture between a Nonprofit Organization and for-profit entity?
    Yes No. If “Yes”, will this nonprofit organization Control1 the Applicant? Yes No.
   What is the ownership percentage of this nonprofit organization?
b) Describe the nonprofit’s participation in the development:



c)   Describe the nonprofit’s participation in the operation of the development throughout the compliance and/or extended
     use period:



d) Does the nonprofit have prior experience in owning, managing or developing affordable housing?
   Yes No. If “Yes”, describe such experience:



e) If the nonprofit will participate through a related subsidiary entity, provide the name of such entity:
   Subsidiary Entity Name:
   Legal Status: 501(c)(3) 501(c)(4) tax-exempt under 501(a) PHA Other (specify)
f) Is the nonprofit (or related subsidiary entity) assured of owning an interest in the development throughout the
   compliance period? Yes No
g) Will the nonprofit be contributing funds to the development? Yes No If “Yes”, explain:



h) Will the nonprofit receive any part of the development or management fees paid in connection with the development?
   Yes No If “Yes”, explain:




1
 Control - the possession, directly or indirectly, of the power to direct or cause the direction of the management and
policies of any Person, whether through the ownership of voting securities, by contract or otherwise, including,
specifically, ownership of more than 50% of the general partner interest in a limited partnership, or designation as a
managing general partner or the managing member of a limited liability company.

                                                                                                                   Page 24 of 26
       How many full time staff members does the nonprofit have?              How many of them will substantially participate
       in the proposed development?      Describe their activities:



i)     Has any for-profit entity (including the owner of the development or any entity directly or indirectly related to such
       owner) appointed any directors to the governing board of the nonprofit? Yes No
       If “Yes”, explain:



j)     Does the nonprofit have any financial arrangements with an individual(s) or for-profit entity including anyone or any
       entity related directly or indirectly to the owner of the development? Yes No
       If “Yes”, explain:



k) Disclose any personal (including family) relationships that any of the staff members, directors or other principals
   involved in the formation or operation of the nonprofit have, either directly or indirectly, with any persons or entities
   involved or to be involved in the development on a for-profit basis including, but not limited to, the owner of the
   development, any of its for-profit general partners, employees, limited partners or any other parties directly or
   indirectly related to such owner:



l)     Was this organization formed by any individuals or for profit entities for the principal purposes of meeting set aside
       requirements or scoring preferences associated with this application? Yes No
       Purpose(s) of formation of nonprofit:
m)      (For CHDOs Only) Do the members of this organization’s Board of Directors serve in a voluntary capacity and
     receive no compensation, other than reimbursement for expenses for their services, and the nonprofit organization
     operates in a manner so that no part of its net earnings inures benefit of any individual, corporation, or other entity?
     Yes No
The undersigned applicant and nonprofit entity hereby each certify that, to the best of its knowledge, all of the forgoing
information is correct, complete and accurate. 1

Applicant/Owner Name                                               Nonprofit Name


By:                                                                By:
       Authorized Signature                                              Authorized Signature
Name:                                                              Name:
Title:                                                             Title:
Date:                                                              Date:




1
    If different, both the nonprofit organization and the applicant must sign.

                                                                                                                     Page 25 of 26
                           Texas Department of Housing and Community Affairs
                           NONPROFIT ORGANIZATION – BOARD AND OFFICERS
2. LIST OF THE NONPROFIT ORGANIZATION’S BOARD MEMBERS, DIRECTORS & OFFICERS
Name:                                            Title:
Home Address:
City:                                St.:           Zip:                Phone:      (   )                    Ext:
Occupation:                                                             Fax:        (   )
Does the individual (check all that apply): (1) serve as a private individual acting in a private capacity? 7 Yes No
(2) have a relationship, as Affiliate or otherwise, w/ members of the Applicant or Development Team? 8 Yes No
Name:                                                                      Title:
Home Address:
City:                                St.:           Zip:                Phone:      (   )                    Ext:
Occupation:                                                             Fax:        (   )
Does the individual (check all that apply): (1) serve as a private individual acting in a private capacity? Yes No
(2) have a relationship, as Affiliate or otherwise, w/ members of the Applicant or Development Team? Yes No.
Name:                                                                      Title:
Home Address:
City:                                St.:           Zip:                Phone:      (   )                    Ext:
Occupation:                                                             Fax:        (   )
Does the individual (check all that apply): (1) serve as a private individual acting in a private capacity? Yes No
(2) have a relationship, as Affiliate or otherwise, w/ members of the Applicant or Development Team? Yes No
Name:                                                                      Title:
Home Address:
City:                                St.:           Zip:                Phone:      (   )                    Ext:
Occupation:                                                             Fax:        (   )
Does the individual (check all that apply): (1) serve as a private individual acting in a private capacity? Yes No
(2) have a relationship, as Affiliate or otherwise, w/ members of the Applicant or Development Team? Yes No
Name:                                                                      Title:
Home Address:
City:                                St.:           Zip:                Phone:      (   )                    Ext:
Occupation:                                                             Fax:        (   )
Does the individual (check all that apply): (1) serve as a private individual acting in a private capacity? Yes No
(2) have a relationship, as Affiliate or otherwise, w/ members of the Applicant or Development Team? Yes No

(Make additional copies of this form as required for additional board members, directors, and officers.)




7
  An individual is considered to be acting in a private capacity if the individual is not an employee of a public body
and is not being paid by a public body while performing functions in connection with the nonprofit organization. A
public body is any state, city, county, town, township, village or other general purpose political subdivision of the
state.
8
  Applicable only if the property is still under development. If “Yes”, attach explanation of such relationship to this
form.

				
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