1. A. The sponsor shall obtain signed certificates of annual income from all persons who apply to occupy a project unit, on a form furnished or approved by the Administration. For projects where existing tenants will continue in occupancy during rehabilitation, the sponsor shall obtain signed income certifications from the required percentage of eligible tenants prior to the initial loan closing. Upon the consent of the person applying, the sponsor shall verify with the employer the information contained in the certificate of income. The sponsor shall file with the Administration, at least annually, a report disclosing the annual income of all persons in occupancy or selected for occupancy. In the case of a project which receives federal assistance, the procedures for the certification of income prescribed by the federal agency may be employed to the extent the procedures are consistent with the applicable income limitations of the Internal Revenue Code.
2. B. Annual recertifications of income, semi-annual market rate tenant data reports, as well as periodic occupancy reports shall be submitted to the Administration, containing information as may be required by the Administration. The sponsor shall retain all certificates of income and documents verifying the information contained in them for a period of at least 3 years from the date on which the application to occupy a project unit is submitted to the sponsor.
3. C. The purpose of the certification of annual income and the reports is to assure compliance with both the upper income limits required by Housing and Community Development Article, §4-212, Annotated Code of Maryland, and any upper income limits and occupancy requirements imposed by federal tax law in order to maintain the tax-exempt status of the bonds or notes, the proceeds of which financed the loan for the project. The requirements of this section are in addition to any other requirements imposed under federal tax law, including, without limitation, §142(d)(7) of the Internal Revenue Code of 1986 as amended.
4. D. Sections A—C of this regulation do not apply to a project occupied by juveniles, placed in the project by court order or by any federal, State, or local agencies, and not occupied by other persons, provided that the projects are funded with the proceeds of taxable bonds and do not receive an allocation of low income housing tax credits.

Authority: Housing and Community Development Article, §2-111 and Title 4, Subtitle 2; State Finance and Procurement Article, §§5-7B-01—5-7B-10; Annotated Code of Maryland;
Executive Orders 01.01.1992.27C and 01.01.1998.04

Effective date: August 20, 1975 (2:18 Md. R. 1234)

Regulations .02C—M and .04A, A-1 amended effective August 2, 1982 (9:15 Md. R. 1511)

Regulation .04B amended effective June 2, 1978 (5:11 Md. R. 881)

Regulation .04N amended effective August 3, 1977 (4:16 Md. R. 1207)

Regulations .06, .07, .09, .18, .20 amended and new Regulation .21 adopted as an emergency provision effective November 1, 1982 (9:23 Md. R. 2253) (Emergency provisions are temporary and not printed in COMAR)

Regulations .06, .07I, .18B, and .20 amended, and new Regulation .21 adopted effective March 14, 1983 (10:5 Md. R. 463)

Regulations .06—.17 adopted effective March 9, 1979 (6:5 Md. R. 443); repealed effective October 11, 1982 (9:20 Md. R. 1981)

Regulations .06—.20 adopted effective October 11, 1982 (9:20 Md. R. 1981)

Regulations .06—.21 repealed effective July 30, 1984 (11:15 Md. R. 1329)

Regulations .10A and .16 amended as an emergency provision effective April 23, 1980 (7:10 Md. R. 949); adopted permanently effective September 5, 1980 (7:18 Md. R. 1735)

Annotation: COMAR 05.01.05.04H(2) is within the scope of Article 41, §266DD-5 and is valid. Forestville Park v. State, 50 Md. App. 570, 439 A.2d 46 (1982).

Chapter recodified from COMAR 05.01.05 to COMAR 05.05.02

Regulations .01—.05, Community Development Financing Program, repealed and new Regulations .01—.14, Multi-Family Housing Revenue Bond Financing Program, adopted effective October 30, 1989 (16:21 Md. R. 2260)

Regulation .04A amended effective January 2, 1994 (20:25 Md. R. 1942); April 5, 1999 (26:7 Md. R. 538); January 21, 2002 (29:1 Md. R. 21)

Regulation .06 amended effective April 12, 1993 (20:7 Md. R. 640); May 31, 1999 (26:11 Md. R. 853)

Regulations .07 and .13 amended and recodified to Regulations .08 and 14, respectively, effective April 12, 1993 (20:7 Md. R. 640)

Regulation .07 adopted effective April 12, 1993 (20:7 Md. R. 640)

Regulations .08—.12 and .14 recodified to Regulations .09—.13 and .17, respectively, effective April 12, 1993 (20:7 Md. R. 640)

Regulation .08A amended effective January 2, 1994 (20:25 Md. R. 1942)

Regulation .13D adopted effective December 5, 1994 (21:24 Md. R. 1987)

Regulations .15 and .16 adopted effective April 12, 1993 (20:7 Md. R. 640)

Chapter revised effective July 19, 2004 (31:14 Md. R. 1077)

Regulation .02 amended effective December 22, 2014 (41:25 Md. R. 1476)

Regulation .04B amended effective December 22, 2014 (41:25 Md. R. 1476)

Regulation .06E amended effective December 22, 2014 (41:25 Md. R. 1476)

Regulations .06G amended effective April 19, 2010 (37:8 Md. R. 614)

Regulation .07C amended effective October 8, 2018 (45:20 Md. R. 917)

Regulation .08B, F amended effective December 22, 2014 (41:25 Md. R. 1476)

Regulation .11 amended effective December 22, 2014 (41:25 Md. R. 1476)

Regulation .14 amended effective December 22, 2014 (41:25 Md. R. 1476)

Regulation .17 adopted effective December 22, 2014 (41:25 Md. R. 1476)