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HomeMy WebLinkAbout02-12-19 Correspondence - Montana Department of Commerce to Andrus - Spring Run Apartments HOME Annual Rental Certification for Calendar Year 2018 ii STEVEBULLOCK MONTANA GOVERNOR o DEPARTMENT OF COMMERCE February 12, 2019 rift • awak Ranei Johnson-Scholler �o Accessible Space Inc 2550 University Ave, Ste 330N St. Paul, MN 55114 RE: Spring Run Apartments HOME Annual Rental Certification for Calendar Year 2018 Dear Ms.Johnson-Scholler, As part of the Montana Department of Commerce's annual reporting requirements to the US Department of Housing & Urban Development, the Community Development Division (CDD) requests a HOME Investments Partnerships Program (HOME) Annual Rental Certification for each property that has received HOME funds. You will find the documents necessary to complete the Certification on the HOME web page, under Commonly Used Forms at: http://comdev.mt.gov/Programs/HOME/common Forms. Please submit the completed documents to CDD for calendar year 2018 (January 1, 2018—December 31, 2018) by April 15, 2019. Provide information for the entire year, including tenants that have moved out of the property during 2018. Attached is a quick guide for further information and helpful hints for completing your Certification. Please submit the Annual Rental Certification documents electronically through the File Transfer Service (http://transfer.mt.gov) addressed to DOCCDD@mt.gov or send a hardcopy to: Montana Department of Commerce Community Development Division—HOME 301 S Park Avenue PO Box 200523 Helena, MT 59620-0523 If you have questions regarding the Annual Rental Certification, please do not hesitate to contact CDD staff at DOCCDD@mt.gov. We thank you for your continued work providing affordable housing in Montana. c r y, Housing Development Specialist Cc: Cyndy Andrus, City of Bozeman COiNINIERCE.MT.GOV CONIDEV.MT.GOV 301 S. PARK AVE. I PO BOX 200523-COMMUNITY DEVELOPMENT DIVISION I HELENA,MT 59620-0523 P:406.841.2770 1 F:406.841.2771 1 TDD:406.841,2702 HOME Investments Partnership Program Annual Rental Certification WHY HUD statute at 24 CFR 92.252(f) requires property owners to annually provide the Montana Department of Commerce (Commerce) information regarding the rents and occupancy of HOME-assisted units to demonstrate compliance with affordability requirements. Commerce must review this information and approve rents every year to ensure compliance. NOTE:There are some updates in the 2018 calendar year Annual Rental Certification. These updates are intended to clarify requirements to help make gathering and reviewing the information more efficient. WHEN The Annual Rental Certification for calendar year 2018 is due to Commerce by April 15, 2019. This Certification will cover the period January 1, 2018 through December 31, 2018. WHAT Please submit the following: ❑ Annual Certification for Rental Housing form ❑ Updated lease IF it has changed in the last ❑ Rent and Occupancy Report year ❑ Project-specific Operating Budget for the ❑ Updated Affirmative Fair Housing current year Marketing Plan IF it has changed in the last ❑ Project-specific Income Statement and year Balance Sheet ❑ Updated Tenant Selection Policy IF it has changed in the last year Submit the above items via the Transfer Service (https://transfer.mt.gov) to DOCCDD@mLgov. HOW Common Omissions: Remember to indicate in question 25 of the Certification where your Fair Housing Poster is located. Remember to designate which units are High or Low HOME units on Rent and Occupancy Report. Remember to provide financial statements for each project in lieu of your organization's annual audit report. Commerce may request an audit report if further information is needed. Helpful Information: Total Rent=Tenant-Paid Rent+Subsidy+ Utility Allowance. Total Rent cannot exceed the HUD-published Rent Limits.The Rent Schedule form is not required this year as there are tables in the Annual Certification for Rental Housing form asking for the rent and utility schedules for the reporting year. If not all units in your property are HOME-assisted, you do not need to include the non-HOME-assisted tenant information on the Rent and Occupancy Report. Feel free to save some time and only report on the HOME-assisted units. For projects with five (5) or more HOME-assisted units, at least 20%of the HOME-assisted units must be designated as Low HOME units; the remaining may be High HOME units. Remember,Low HOME units are those charging Low HOME rents,which must be occupied by households with income at or below 50%AMI. High HOME units are those charging High HOME rents, whose occupants can have household income up to 80%AM I.