1. (a) Applications for which a request for Supplemental Credits is submitted will not be eligible to receive an allocation from the 2023 Competitive Housing Tax Credit ceiling.
2. (b) Maximum Supplemental Request Limit for any given Development. Supplemental Allocations are limited to the increase in eligible costs. Supplemental Allocations will not be awarded for costs that were excluded from basis in the underwriting of the original Application. The limit on Supplemental Credit requests will be announced by the Department no later than December 1, 2022, but will not exceed 15% of the original allocation for each Application that requests Supplemental Credits. The final limit on Supplemental requests may be lower than 15% of the original allocation. For all requests, the Department will consider the amount in the funding request of the Application to be the amount of Housing Tax Credits requested and will reduce the Applicant's request to the maximum allowable under this subsection through the Cost Certification process. (§2306.6711(b)).
3. (c) Increase in Eligible Basis (30% Boost). Applications having received an increase in Eligible Basis in their Original Application are determined by the Department, on the basis of having been previously determined eligible for this purpose, to be eligible for the basis boost for the Supplemental Allocation. However, at Cost Certification, the credit allocation will be adjusted so that the Development is not over sourced, as determined by the Department.

Source Note:The provisions of this §11.1003 adopted to be effective December 26, 2022, 47 TexReg 8533.