Asset Management and Project Changes

  • Project Requests & Changes

The Division of Asset Management aims to ensure the long-term financial sustainability of projects funded through its programs and satisfy requirements set forth in each program's regulatory framework. The Division maintains two important functions: reviewing periodic financial information for OHFA-funded projects under its purview and to review project changes that affect the property operations such as management, owner, and restrictive covenant changes.


Asset Management

The Division of Asset Management requires many OHFA-funded properties to submit periodic financial information, including internally-prepared and/or independently-audited financial statements in addition to other property-level information. OHFA currently requires periodic financial reporting from projects funded with the following sources:

American Recovery and Reinvestment Act- (ARRA) funded projects such as Tax Credit Exchange/Section 1602 (TCE) and Tax Credit Assistance Program (TCAP) projects fall under purview of the Division. Per §1602(c)(3) of ARRA, OHFA is required to perform asset management functions to ensure long-term financial viability of projects funded through these two important programs.

Frequency of Submissions: Annual

Submission Requirements:
1) Independently-audited financial statements for the previous year's operations including a balance sheet, income statement, change in partners' capital, and statement of cash flow. The balance sheet must end on the last day of the previous year. In addition, the owner must provide the following:

  1. Tenant receivable aged report
  2. Accounts payable aged report
  3. Replacement reserve account balance
  4. Operating reserve account balance

HOME projects with 10 or more HOME-assisted units must be analyzed on an annual basis for ongoing financial viability per 24 CFR §92.504(d)(2).

Frequency of Submissions: Annual

Submission Requirements:
1) Independently-audited financial statements for the previous year's operations including a balance sheet, income statement, change in partners' capital, and statement of cash flow. The balance sheet must end on the last day of the previous year. In addition, the owner must provide the following:

  1. Tenant receivable aged report
  2. Accounts payable aged report
  3. Replacement reserve account balance
  4. Operating reserve account balance

OHFA uses R-TCAP and OHFA general funds to provide permanent, first mortgage financing otherwise unavailable in the private market for newly-funded and existing LIHTC projects. As the first mortgage, MLP loans require heightened asset management review. In addition, all MLP financing must have an escrowed replacement reserve. All disbursements from the replacement reserve must be approved first by the Office of Program Compliance's Division of Asset Management.

Submission Frequency: Quarterly

Submission Requirements:
1) Internally-prepared financial statements including a balance sheet, income statement, change in partners' capital, and statement of cash flow. The balance sheet must end on the last day of the submission quarter. In addition, the owner must provide the following:

  1. Tenant receivable aged report
  2. Accounts payable aged report
  3. Replacement reserve account balance
  4. Operating reserve account balance

2) Monthly tenant rent rolls for each month in the submission quarter indicating the number of vacant and reoccupied units each month.

3) Certificate of insurance for property-casualty coverage

4) Evidence of paid property taxes for the prior year

5) Solely with the 2nd-quarter submission, independently-audited financial statements for the previous year's operations including a balance sheet, income statement, change in partners' capital, and statement of cash flow. The balance sheet must end on the last day of the previous year. In addition, the owner must provide the following:

  • Tenant receivable aged report
  • Accounts payable aged report
  • Replacement reserve account balance
  • Operating reserve account balance

Low-Income Housing Credit (LIHTC) projects funded through the 2018 Qualified Allocation Plan and subsequent years are required to submit annual audited financial information.

Submission Frequency: Annual

Submission Requirements:
1) Independently-audited financial statements for the previous year's operations including a balance sheet, income statement, change in partners' capital, and statement of cash flow. The balance sheet must end on the last day of the previous year. In addition, the owner must provide the following:

  1. Tenant receivable aged report
  2. Accounts payable aged report
  3. Replacement reserve account balance
  4. Operating reserve account balance

Project Changes

Throughout the operational life of a property, owners may decide to change property management companies, sell their interests, or seek financial relief from deep rent skews enforced through the restrictive covenant. The Division's Project Changes Committee meets weekly to review these types of requests with the goals of protecting financial viability, preserving affordability, and safeguarding tenants. Submissions or questions regarding a particular change request must be submitted to OHFAprojectchanges@ohiohome.org.





Additional forms can be found under our Compliance Forms and Compliance Policies webpages.