Affordable Housing Program (AHP)

    2013 AHP Funding Round

    The Seattle Bank is pleased to announce the availability of approximately $5.9 million for the 2013 AHP funding round. The 2013 AHP application is now available, and applications must be submitted to the Seattle Bank by 4:00 p.m. Pacific Time on August 1, 2013. Applications received after this time will not be accepted. For more information about the 2013 AHP application, please visit the 2013 AHP Funding Round page.

    To learn more about the 2013 AHP application and scoring criteria, and how to avoid common mistakes that may hinder your project’s competitiveness, we encourage you to view our archived web seminar series, The 2013 AHP Application Process.

    The 2013 AHP Implementation Plan details the scoring criteria and other requirements for the 2013 AHP funding round.

    AHP subsidy may be used in a variety of ways, including to:

    • Reduce mortgage principal
    • Provide gap financing
    • Cover downpayment and closing costs
    • Lower the interest rate on a loan

    Since 1990, the Seattle Bank’s AHP has provided more than $149.06 million of subsidy to support the acquisition, development, or rehabilitation of more than 28,000 units of affordable rental and owner-occupied housing for very low-, low-, and moderate-income households.

    Key Changes for the 2013 AHP Funding Round

    Following below is a summary of key changes to our AHP for 2013. Please be sure to review the 2013 AHP Implementation Plan and the 2013 AHP application’s list of required attachments and help text for additional program requirements and information.

    New Construction Projects

    Applications for new construction projects must include (as an attachment) a signed construction contract. If a signed construction contract is not available when the application is submitted, the applicant must provide a preliminary construction contract and an explanation of when a signed contract will be available. If a preliminary construction contract is not available, the applicant must provide an explanation of when it will be available and how the project will comply with AHP's milestones toward project completion and the requirement that a project be complete within three years of AHP approval.

    Rehabilitation Projects

    Applications for rehabilitation projects must include the following attachments: (1) a detailed scope of work with cost estimates for each item; (2) a capital needs assessment that substantiates the scope of work; (3) an independent third-party explanation of the amount of the project's replacement reserves and how they will be applied to the project's rehabilitation expenses; and (4) an independent third-party report commissioned by the member to validate items 1 – 3 of this paragraph.

    AHP Eligibility Criteria – New for 2013:

    • A project’s total AHP subsidy request may not exceed $700,000, except in Alaska or Hawaii where the AHP subsidy request may not exceed $1.0 million.
    • Rental projects may not request AHP subsidy in an amount greater than $50,000 per AHP-eligible unit, except in Alaska or Hawaii where the request may not exceed $60,000 per AHP-eligible unit, and $20,000 per bed for shelter or group home projects.
    • The AHP subsidy request may not exceed 80 percent of the project’s total housing development costs.
    • AHP subsidy may not be requested for, and will not be awarded to projects that are complete on or before the AHP award date.

    AHP Scoring Criteria – New for 2013:

    • Donated Property – The definition for “significant proportion” has been revised, and a definition for “significantly below” has been introduced.
    • Native Housing – The criterion has been revised to award points for the financing of rental or owner-occupied housing that meets at least one of the following:
      • The housing is located in a Hawaiian Home Lands housing area
      • The project includes Tribal funding in the sources of funding for the proposed project, such as, but not limited to, Indian CDBG, Indian CSBG, Indian Health Service funds, or NAHASDA funding
      • The project is a Tribal Government, an agency of a Tribal Government, a Tribally Designated Housing Entity for the purposes of the NAHASDA, or an entity incorporated under or otherwise created in accordance with Tribal law
    • Mixed-use Housing – This criterion has been eliminated.
    • Funder Support – The number of points awarded to this criterion has increased from 10 to 15.

    AHP Feasibility Criteria – New for 2013:

    • The minimum benchmark for key operating expenses for projects located in Alaska has been increased to $5,500 per unit, per year.
    • A debt coverage ratio has been introduced for projects that include private financing. The minimum benchmark for this ratio is 1.20, and the maximum is 1.40.