Asset Management collects and analyzes various types of reports for Multifamily Developments. Financial Reporting requirements can generally be found in the Owner’s Agreements or loan documents with the Department and in the Uniform Multifamily Rules in Subchapter F, §10.607.
Annual Owner’s Financial Certification (AOFC)
Due Date: April 30th of each year
Reporting Period: As of December 31st of the previous year
All Developments funded by the Department must annually provide the data requested in the AOFC (formerly “Part D” of the AOCR) as required by Subchapter F, §10.607(d)(1). The first AOFC is due the second year following the award of funding, even if the development is still under construction. The AOFC consists of a financial report submitted electronically through CMTS and is submitted alongside the AOCR that is reviewed by the Compliance Division.
Only the AOFC report in CMTS must be submitted to complete the AOFC reporting process. Back up for the report, such as a rent roll, annual operating/financial statements for the year ending 12/31, proof of property liability insurance, proof of property tax payment, and reserve account bank statements must only be provided if requested by the Asset Manager or other TDHCA personnel.
Questions or errors related to the AOFC report should be reported to your Asset Manager. You can find the contact information for your Asset Manager here
See the Compliance page for Training and Instruction information related to the annual AOFC:
Annual Property-Specific Audits
Due Date: Varies by Development
Reporting Period: Audit as of December 31st of the previous year
Annual property-specific audits are required for most Exchange, HOME, HTF, and TCAP funded Developments. The delivery of an annual audit to the Department is required by the HOME Deed of Trust (Section 7.11), the TCAP LURA (Section 4.6) and the TCAP Deed of Trust (Section 7.11), the HTF Deed of Trust (Section 7.11), and the Exchange Subaward Agreement (Section 9.1) and Recapture Mortgage (Section 7.11). These documents can differ slightly based on the year of award, but in general, property-specific annual audits are due to the Department by no later than one of the following: 1) The first business day following 30 calendar days after completion of the Audit but no later than May 29th of the following year, 2) 90 days after the end of the fiscal year, or 3) By April 30th. Owners and Agents should verify their delivery date with their property-specific documents. Property-specific audits should be submitted to your Asset Manager.
Asset Managers analyze audits for Exchange deals every year to assist in determining a final Special Reserve Account deposit. The below template is provided as a sample of an Excel worksheet that can be used to begin discussions with your Asset Manager about the Special Reserve Account deposit due. Note that the Subaward Agreement specific to your Development will include information related to the percentage of net cash flow due to the Special Reserve and may include additional definitions, restrictions, or exceptions that are not shown in this template.
Multifamily Direct Loan Developments with Cash flow Loans
Asset Managers analyze audits for Developments with Cash flow Loans at the time the note payment is due. The below template is provided as a sample of an Excel worksheet that can be used to begin discussions with your Asset Manager about payment due. The Note specific to your Development may include additional definitions, restrictions, or exceptions that are not shown in this template.