1. 2016 Affordable Housing Program

2. Webinar Agenda AHP overview AHP step-by-step
AHP online registration/access
Scoring review
Feasibility review
Post AHP award
Questions

3. Helping Your Community Grow: Real Life Story
Pittston, PA:
People’s Security Bank and Trust Company
“The AHP funding through Peoples Security Bank and Trust was a key component in allowing us to complete this project that offers intensive supportive services for residents.”
– Michael Hanley,
Chief Executive Officer
United Neighborhood Community Development Corporation

4. AHP Overview
AHP is a subsidy program that supports the development of affordable housing
Targets households at or below 80 percent of area median income (AMI)
Direct subsidy (grants) or subsidized advance up to $650,000
AHP funds are applied for by a participating FHLBank member on behalf of a project sponsor
Applicant = FHLBank member
Sponsor = Nonprofit, for-profit, public entity

5. AHP Overview Project-Specific Thresholds:
Rental Projects:
Owner-Occupied Projects:
At least 20 percent of units targeted for households at or below 50 percent AMI
15-year retention period with acceptable retention agreement
At least one unit targeted for households at or below 80 percent AMI
5-year retention period with acceptable retention agreement
Project meets Fair Housing requirements
AHP subsidy requested must be less than or equal to the $650,000 maximum
AHP funds must be used for an eligible purpose

6. AHP Overview Eligible Uses of AHP Funds: Homeownership or rental
For-sale ownership or owner-occupied rehab
Multifamily or single-family
Acquisition, new construction, rehabilitation
Scattered site or single site
Down payment and/or closing costs

7. AHP Overview Scoring Feasibility Disbursement
100 point scoring against the Bank’s established priorities
Feasibility
Application is underwritten against the Bank’s feasibility guidelines
Disbursement
Awarded projects request disbursements of AHP funds once costs have been incurred
Compliance and Monitoring
Completed projects subject to long-term monitoring and compliance requirements

8. Adaptive Reuse: From Blight to Bright
Eisenhower Dept. Store: Monesson, PA
Standard Bank
Units: 13 AHP Grant: $500,000 Total Development Cost: $1.3 million
Sponsor: Mon Valley Initiative

9. AHP Step-by-Step Review Review AHP Implementation Plan
Access online resources
Partner
Establish partnership with FHLBank member
Communicate roles/milestones
Prepare
Prepare AHP application
Submit application to FHLBank member

10. AHP Step-by-Step: Meet and Plan
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
AHP Step-by-Step: Meet and Plan
Complete Due Diligence
Review AHP Implementation Plan for scoring and feasibility criteria as they relate to your project
Access online forms, guides and technical assistance
Identify a member partner or take advantage of the member/sponsor match service provided by FHLBank Pittsburgh
Complete online registration for the funding round

11. AHP Online Registration/Access
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
AHP Online Registration/Access
Registering for the Funding Round
AHP Online application
Register for the funding round:

12. Submit AHP Application
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
Submit AHP Application
Round Opens June 6
Applications must be:
Sponsor approved
and
Member approved by
Thursday, August 11, at 5:00 p.m. EST

13. AHP Process: 2015 Funding Round Results
11 scoring categories: 100-point scoring system
See AHP Implementation Plan, Attachment C
Points Awarded on Scored Applications:
76.5
163 submitted
60: Last approved score 65
approved
Unapproved
$24.6 million committed;
approximately $388,000 average AHP subsidy per project

14. 2016 Scoring Categories Scoring Categories Point Allocation
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
2016 Scoring Categories
Scoring Categories
Point Allocation
Use of Donated Properties
5 (fixed)
Sponsorship by Nonprofit or Government Entity
Targeting
0-22 (variable)
Housing for the Homeless
6 (variable)
Promotion of Empowerment
0-10 (variable)

15. Member Financial Participation
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
2016 Scoring Categories
Scoring Categories
Point Allocation
Special Needs
8 (variable)
Rural
5 (fixed)
Member Financial Participation
3 (fixed)
Readiness to Proceed
8 (fixed)
Subsidy per Unit
0-8 (variable)
Community Stability
0-20 (variable)

16. Scoring: Community Stability
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
Scoring: Community Stability
Local Planning – up to 3 points
Project Impact – up to 17 points
Community designation
Distressed communities
Homeownership rate
Owner-occupied rehab
Blighted property
Brownfield sites
Adaptive reuse
Historic preservation
Preservation of subsidized housing
Mixed-income housing
Land bank/reuse agency properties
Architectural compatibility
Creation of community assets
Creation of visitable units
Project consistency with the plan
Project meets targeted priorities identified in the plan
Project Impact Score +
Local Planning Score =
MAXIMUM SCORE 20 POINTS
0-20
variable

17. Owner-Occupied Rehab Projects
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
Owner-Occupied Rehab Projects
10 points
5 points
75% of properties in the project must be:
Fully/comprehensively inspected by qualified individual
Certified that all hazardous or uninhabitable conditions are corrected at project completion
Certified that all major systems have reasonable (5 years) remaining useful life at project completion
Qualified individual certification must include:
Detailed inspection process
Qualifications of individual
Property receives needed rehabilitation and/or accessibility improvements on specific components
Project does not meet the criteria outlined under 10 points

18. Feasibility Review Factors
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
Feasibility Review Factors
Projects may score well but must also pass the feasibility review to be awarded an AHP commitment
Review project feasibility guidelines in Attachment B of the AHP Implementation Plan
Feasibility factors:
Need for subsidy and viability
Cost reasonableness
Readiness to proceed
Development team capacity
Market demand

19. Feasibility Review: Subsidy Need and Viability
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
Feasibility Review: Subsidy Need and Viability
Owner-occupied and rental projects must demonstrate that a funding gap exists that cannot be filled by conventional debt
Rental projects must demonstrate viability throughout the 15-year compliance period

20. Feasibility Review: Cost Reasonableness
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
Feasibility Review: Cost Reasonableness
Cost reasonableness determinations vary based on project type:
Marshall and Swift analysis
Possible 10 percent cost exception with valid third-party justification for excess cost
“Local usual and customary costs” (owner-occupied projects)
Costs validated by third party and/or commit to bidding process
Approval of rental projects will be conditioned on submission of Third-Party Plan and Cost Review Form prior to, or with, the request for disbursement of funds

21. Feasibility Review: Readiness To Proceed
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
Feasibility Review: Readiness To Proceed
eeS
Development Capacity:
Project Site:
Scale and complexity of the proposed project
Role of each team member
Relative experience of team members
Control
Zoning
Environmental
Market and Demand:
Project Financing:
Market study requirements
12+ units (owner-occupied)
20+ units (rental)
Less than 12/20 units and other exceptions
Sources identified
Commitments

22. Project awards announced December 15, 2016
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
AHP Awards
Project awards announced December 15, 2016

23. Gap Financing Uptown Lofts: Pittsburgh Northwest Savings
Units: 47 AHP Grant: $250,000 Total Development Cost: $13.3 million
Sponsor: ACTION-Housing, Inc.

24. Post-Award Responsibilities
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
Post-Award Responsibilities
Activity
Member
Sponsor
Execute AHP Tri-Party Agreement x
Draft and submit AHP retention documents
Review and sign the monitoring acceptance letter
Start and complete project in timely manner and
in accordance with approved AHP application, including any conditions of grant award
Semi-annual progress reporting
Activity
Member
Sponsor
Sign AHP Tri-Party Agreement x
Start and complete project in timely manner and in accordance with approved AHP application
Semi-annual progress reporting
Request/Approve AHP subsidy disbursements
Draft and submit AHP retention documents

25. Post-Award Responsibilities
Meet/Plan
Input
Submit
Score
Feasibility
Award
Post Award
Post-Award Responsibilities
Activity
Member
Sponsor
Request/Approve AHP subsidy disbursements x
Complete AHP Household Income Calculation Form and income documentation
Comply with all commitments and representations made in conjunction with application scoring or feasibility criteria
Long-term monitoring of rental projects

26. Next Steps Visit the AHP webpage: www.fhlb-pgh.com Identify a partner
- Member/sponsor match service
Check registration status
Online technical assistance resources
Downloadable mini-webinar for Community Stability
Guide to Complete AHP Online Application
Sponsor and Member System Guide
Request project-specific technical assistance
Go to AHP website, click on technical assistance link and complete TA request form
Submit completed form via
Community Investment staff will initiate contact upon receipt of forms

27. Key Dates Start Early! June 6 – Online application opens
July 29 – Technical assistance ends
August 11 – Applications due (must be in “member approved” status by 5 p.m. Eastern time)
December 15 – Grant awards announced

28. Maximize FHLBank Resources: CLP
If your project needs construction financing and/or can support debt service and needs permanent financing, consider the Community Lending Program (CLP):
CLP offers a flexible source of funding to FHLBank member institutions for qualified projects
Affordable housing projects that meet AHP targeting will qualify for CLP
CLP benefits:
Readily available, simple, noncompetitive application process
Provides for fixed-rate financing up to 30 years
Quick approval process and no monitoring required
How to apply:
All CLP projects must meet member lending standards; member submits CLP application on behalf of the project
If you have questions, contact Kate Swanson at

29. Community Investment Contacts
Megan Krider (AHP Program Manager)
Ann Killian
Laura Rye (Western Pennsylvania and West Virginia)
David Buches (Eastern Pennsylvania and Delaware)