Section 194-C - Construction Cost Relief Program(a)Establishment.--The Construction Cost Relief Program is established in the agency to support the production of developments by addressing financial deficiencies directly attributable to the effects of the COVID-19 Pandemic. Money appropriated to the agency for COVID Relief--ARPA--Construction Cost Relief, shall be used to make awards under the program under this section.(b)Eligibility.--A development which meets all of the following shall be eligible for an award under this section: (1) Has received a conditional allocation from the agency of low-income housing tax credits under section 42 of the Internal Revenue Code of 1986 (Public Law 99-514, 26 U.S.C. § 42) during the 2019, 2020 or 2021 application cycles.(2) Has not, as of the effective date of this section, received a certificate of occupancy for each unit within the development.(3) Has experienced a cost increase related to construction material pricing or has experienced a loss in equity investment as a direct result of conditions arising due to effects of the COVID-19 pandemic, which further jeopardized completion of the project.(c)Application.--The agency shall make available to an eligible development an application that requires information, as determined necessary by the agency, to verify the need of the development and to determine the extent to which the awards should be awarded, while ensuring that the development remains in compliance with the Low-Income Housing Tax Credit program.(d)Determination.--(1) Upon a determination of eligibility for money from the fund, the agency shall provide the development with a letter of commitment indicating the conditional award amount.(2) The agency shall use the same closing process and terms for an award of money from the fund as is used for an award from the Pennsylvania Housing Affordability and Rehabilitation Enhancement Program for a low-income housing tax credit recipient development.(e)Limitation.--Money appropriated for the program under this section may not be used to supplant other agency-committed resources except if the development risks noncompliance with the Low-Income Housing Tax Credit program.(f)Definitions.--As used in this section, the following words and phrases shall have the meanings given to them in this subsection unless the context clearly indicates otherwise: "Agency." The Pennsylvania Housing Finance Agency.
"Development." An affordable multi-family rental development.
Added by P.L.622021 No. 24, § 5, eff. 7/1/2021.