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Texas Department of Housing & Community Affairs - Building Homes and Strengthening Communities

9% HTC Pre-Application Basics

The 9% Housing Tax Credit (HTC) application process has two parts: (1) a voluntary Pre-Application, and (2) a mandatory Application. The information below offers a basic overview of the Pre-Application process. For specific details regarding HTC Pre-Applications and Applications, please refer to the Qualified Allocation Plan (QAP)(PDF).

Purpose

  • The purpose of the HTC Pre-Application is to enable Applicants interested in pursuing an award of housing tax credits to assess generally their competition in a given region or subregion.
  • Based on an understanding of the potential competition, Applicants can make a better and more informed decision whether they wish to proceed to prepare and submit an Application.
  • Submission of a pre-application affords applicants the opportunity to achieve additional points on the full application.

Pre-Application Content

  • Location of the proposed development site along with evidence that the applicant owns the site or has a contract to purchase the land;
  • Applicant's name, address, individual contact name, and phone number;
  • Development name, address, city, and county;
  • Statement that the Applicant is submitting an application to TDHCA and certifying to an understanding of the applicable rules;
  • Development attributes, i.e., new construction, reconstruction, adaptive reuse, or rehabilitation;
  • Approximate total number of units and approximate total number of low-income units;
  • Self-score form indicating estimated score of the full Application based on several selection criteria.

Process

  • Pre-Applications must be submitted to the Department by a defined deadline, which is usually in early January.
  • A Pre-Application fee is required ($10 per unit)
  • Only one Pre-Application may be submitted by an Applicant for each site.
  • Department Pre-Application review is limited; not all issues of eligibility and threshold are reviewed.
    • Acceptance by staff of a Pre-Application does not ensure that an Applicant satisfies all Application eligibility, threshold or selection requirements.
    • Department rejection of a Pre-Application does not preclude an Applicant from submitting an Application.

Pre-Application Threshold Criteria

  • Notification letters must be sent to all of the following individuals and entities in the area containing the development by e-mail, fax or mail with registered receipt return or similar tracking mechanism:
    • State Senator;
    • State Representative;
    • Mayor of municipality;
    • All city council members;
    • County judge;
    • All county commissioners;
    • School district superintendent;
    • School district board of trustees’ presiding officer;
    • Neighborhood organizations whose boundaries contain the development site;
  • Each such notice must include, at a minimum, all of the following:
    • Applicant's name, address, individual contact name, phone number;
    • Development name, address, city, county;
    • Statement that the Applicant is submitting a request for HTCs with TDHCA;
    • Development attributes, i.e., new construction, reconstruction, adaptive reuse, or rehabilitation;
    • Development type, i.e., single family homes, duplex, apartments, townhomes, high-rise etc.; and
    • Approximate total number of units and approximate total number of low-income units.

Pre-Application Results

  • TDHCA posts online by late January:
    • Pre-Application Log (a spreadsheet that reflects some content of each Pre-Application received by the Department)
    • Individually imaged Pre-Applications
  • Only Pre-Applications which have satisfied all of the Pre-Application Threshold Criteria requirements will be eligible for Pre-Application points on the full Application.
  • The scores of the Pre-Applications released on the Pre-Applications Submission Log do not represent a commitment on the part of the Department or its Board to allocate tax credits to any development and only represent the scores reflected in the Applicant’s self-score form.
  • Inclusion of a development on the Pre-Applications Submission Log does not ensure Pre-Application points.

Typical Schedule

January: Application acceptance period begins
January-June: Public comments accepted by TDHCA*
January: Pre-Application deadline
End of February/
Early March
Applications due to TDHCA
July: TDHCA Board awards 9% HTCs

For the current year's calendar dates, see the application submission dates calendar.

*Public comment does not impact the Pre-Application score but is highly valued by staff and the governing Board. TDHCA welcomes input during the public comment period, although only specific forms of public comment may impact the score of a full application.

Reasonable accommodations will be made for persons with disabilities and language assistance will be made available for persons with limited English proficiency.