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Slide 2 NEIGHBORHOOD ASSISTANCE PROGRAM APPLICATION WORKSHOP FISCAL YEAR 2012-2013 Slide 3 Community Development Staff J. Jacob Sipe, Chief Real Estate Development Officer Latrina Akins, Real Estate/NAP Coordinator Community Development Representatives Northwest: Matt Hutchinson North Central:Talisha Bradley Northeast: Megan Coler Southwest: Alan Rakowski Southeast: Carmen Lethig Slide 4 What is NAP? Neighborhood Assistance Program (NAP) offers up to $2.5 million in tax credits annually for distribution by 5013 not-for- profit corporations. Indiana State Code 6-3.1-9 establishes the NAP Program. NAP gives the donor incentive to contribute to an organization by giving a tax credit on their state income taxes for exactly 50% of the donation amount Slide 5 Goals of NAP Provide organizations with a tool to increase charitable contributions & build donor base Provide Indiana citizens & businesses an incentive to contribute to not-for-profit corporations. Serve as a creative way to improve the standard of living & quality of life for all Hoosiers. Slide 6 Award Amounts Maximum Award Amount = $50,000 in tax credits ($100,000 leveraged donations) Minimum Award Amount = $1,000 in tax credits ($2,000 leveraged donations) Slide 7 Award Term Award Term = 24 Months (July 1, 2012 June 30, 2014) By 6/30/13 (Year 1)-100% tax credits must be sold By 6/30/14 (Year 2)-Project must be completed & all donations leveraged from NAP award must have been spent Slide 8 Eligible Activities HOUSING Affordable Housing Construction Affordable Housing Rehabilitation Community Revitalization Emergency Shelter Housing Energy Efficiency Projects Aging in Place Projects Ending Homelessness Projects COMMUNITY SERVICES Child Care Services Counseling Services Educational Assistance Emergency Food Assistance Job Training Medical Care Services Recreational Facility Transportation Services Comprehensive Community Development Projects Slide 9 Eligible Activities Religious Organizations May not engage in inherently religious activities as part of NAP assistance May not discriminate against a program beneficiary or prospective beneficiary on the basis of religious belief Slide 10 Eligible Projects Funds leveraged with NAP Tax Credits may only be used to fund the following projects: Support for a new project implemented by the applicant Continuation of a current project implemented by the applicant Slide 11 Eligible Costs Salaries and benefits of an individual that provides a direct service to beneficiaries (must be an employee of the applying agency) Basic construction materials Skilled labor for construction projects Slide 12 Ineligible Costs Administration Costs: Executive Directors, Administrative Assistant, Consultants, Office Supplies, Rent, Utilities Complimentary / Non-Stationary Building Materials: Appliances, Furniture, Home Accessories, Landscaping, Driveways * If you have any questions about what is eligible, contact your community development representative. Slide 13 NAP Reporting Process 2012-2013: Semi-annual Reporting All semi-annual reports will be submitted electronically Once awarded, agency submits forms as follows: Electronic report Slide 14 Monitoring Random Site Visits Visit the projects In conjunction with other business in your area Program File Audits 20% of the recipients will be selected Randomly selected Slide 15 Application Process Threshold and Completeness Application and all required exhibits and attachments are submitted on time to IHCDA Meets list of items under Threshold Criteria If an application fails threshold, it will not be awarded NAP tax credits. Allocation Applications that pass the completeness and threshold reviews are then allocated a tax credit amount according to IHCDAs allocation method. Slide 16 Threshold Criteria To be considered for a tax credit allocation award, an applicant must meet all of the criteria listed. Applications that fail to meet any of these criteria will not be considered for funding. All required supporting documentation must be included in the application. The applicant must be a 501(c)3 not-for-profit corporation Each applicant must attend 1 Application training & 1 Award training Slide 17 Threshold Criteria (cont.) The applicant must provide community services in an economically disadvantaged area by: Meeting 2 of 3 Economic Factors of Disadvantaged Area Applicants must provide a budget outlining the uses of funds for the project. Must sell 100% of credits in previous year (for returning applicants) Slide 18 Completeness Submit: 1 original electronic application with all required attachments Applications must be received no later than 5pm(EST) on the published due date (03/31/12) NO EXCEPTIONS Slide 19 Allocation Method Tax Credit Allocation based on five factors: Applicants receipt of NAP tax credits in the previous three years Applicants who pass threshold and completeness Total Amount of Tax Credits Requested Total Amount of Tax Credits Available Activity Type (Housing or Community Development) Slide 20 Allocation formula The formula for calculating the award amount for each eligible applicant is as follows: Total Amount of Tax Credits Available divided by Total Amount of Eligible Tax Credits Requested, which provides the Tax Credit Allocation Percentage. The Tax Credit Allocation Percentage is multiplied by the Eligible Applicants Tax Credit Request. Slide 21 Funding Limitations An organization has received a NAP award in one or more of the last 3 program years= eligible for up to $50,000 An organization has not received a NAP award in the last 3 program years = eligible for up to $20,000 Slide 22 IHCDAonline.com You will be required to have a username and password Here Slide 23 NAP Important Dates Application WebinarsFebruary 27-March 2,2012 Applicants posted on ihcdaonline.com March 9, 2012 Applicants due dateMarch 31, 2012 Award Announcements posted on IHCDA website May 31,2012 Award WebinarJune 1-14, 2012 Slide 24 Other important information Please do not send your application to IHCDA Unlimited number of staff members may attend webinars Only one employee must be the Point of Contact for your organization Slide 25 Questions? Thank You for attending 2012-2013 NAP Policy is on IHCDA Web site: http://www.in.gov/ihcda/2526.htm NAP Questions & Concerns send to nap@ihcda.in.govnap@ihcda.in.gov You MUST complete a questionnaire which is located at https://www.surveymonkey.com/s/NAPOnDemandQuestionaire