Compliance
Reporting Requirements
Limited Equity
Cooperatives Program
Overview
The Connecticut Housing Finance Authority (CHFA) oversees
rental housing developments in Connecticut that are subject
to various compliance and reporting standards associated
with their funding source. Originally administered by the
Connecticut
Department of Economic and Community Development (DECD),
the Limited Equity Cooperative Program was designed to offer
deferred or low-interest loans, loans and/or grants to non-profit
corporations that develop or own low- to moderate- income
housing. Residents must contribute their labor; make a cash
contribution, or both, in order to become a cooperative
member. Recipients of funds under this program are required
to regularly provide CHFA with documentation that
demonstrates their compliance with specific financial,
insurance, property, tenant and lease requirements.
The Limited Equity Cooperative Program is subject to
relevant state of Connecticut statutory requirements and regulations as well as the provisions
of the Loan Documents and/or Assistance Agreement(s),
applicable between the owner and CHFA. All
operating expenses must be paid from the carrying charges
collected from the residents.
Follow the links below to learn more about the compliance
rules under the Limited Equity Cooperatives Program.
Audited Annual Financial Statement Reporting
Requirements
CHFA recommends that
cooperatives under the Limited Equity Cooperative Program submit an Audited
Financial Statement to CHFA every two years. All financial statements must be prepared by a
Certified Public Accountant in accordance with guidelines
set forth in the
DECD Accounting Manual and the
State of Connecticut Single Audit Act.
- Where should the Audited Annual Financial
Statement be sent?
Developments that are administered by Housing Authorities
are required to submit their Audited Annual Financial
Statement to DECD, with a courtesy copy provided to CHFA.
Developments that are administered by non-profit
corporations or other owners must submit their Audited
Annual Financial Statement to CHFA. Audited Annual
Financial Statements may be sent to the following addresses:
Mailing Address:
Connecticut Housing Finance Authority
Attn: State Housing Portfolio
999 West Street
Rocky Hill, Connecticut 06067 |
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| Annual Financial Statement Documents | Found: 1
matches.
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Annual Management Plan (Budget) Requirements
The Limited Equity Cooperatives Program requires developments to
submit an Annual Management Plan, also referred to as a
Budget. The Annual Management Plan forecasts income,
operating expenses as well as capital improvements for the
housing development, so that the development and CHFA can
project the development’s fiscal performance for the coming
year.
- What should be included in Annual Management
Plans?
In general, Annual Management Plans include the following
information:
- Board Resolution approving budget
- Board signed Management Plan
- A list of development personnel including their
position, salary and hours worked
- An updated Capital Needs Summary
When an Annual Management Plan incorporates a an
increase of carrying charges, the following additional information is required:
- Justification of need
- Rent roll
- Rent analysis
- Meeting notice to residents and sign-in sheet
- Minutes to the public meetings
- When are Annual Management Plans due?
Management Plans must be submitted to CHFA at least 60
days prior to the new fiscal year.
- In what format should Annual Management Plans be
submitted?
Management Plans must be submitted in the CHFA approved Microsoft Excel
format. Management Plan cover sheets must be printed, signed and sent by
US mail, or by electronic mail in PDF format.
Mailing Address:
Connecticut Housing Finance Authority
Attn: [Your Asset Manager]
999 West Street
Rocky Hill, Connecticut 06067 |
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| Management Plan Documents | Found: 3
matches.
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Semi-Annual Financial Report Requirement
The Limited Equity
Cooperatives Program requires developments
to submit Semi-Annual Financial Reports that must meet
guidelines set forth in the
DECD Accounting Manual. These reports enable CHFA
to monitor a development’s cash flow every six months
and compare it to the development’s management plan.
| Semi-Annual Financial Report Documents | Found: 3
matches.
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Insurance Requirements
The Limited Equity
Cooperatives Program requires
developments to
maintain appropriate levels
of insurance. The types and
levels of required coverage
vary by development. Proof
of adequate, continuing
coverage must be sent to
CHFA on an annual basis when
the policies are changed or
renewed.
- What should be included as proof of
insurance coverage?
Proof of insurance is established by providing CHFA
with a Certificate of Liability Insurance and a
separate Evidence of Property Insurance
Certificate. In addition, CHFA must be endorsed as
“Additional Insured” on the General Liability
Coverage and “Loss Payee" or “Mortgagee” on the
Property Coverage. An “Agent’s Policy Change
Request” or Binder will operate as an acceptable
form of evidence of these endorsements until the
actual endorsement is issued and presented to CHFA.
All insurance policies for which CHFA has an
insurable interest must list CHFA as the Certificate
Holder
on each certificate as follows:
Mailing Address:
Connecticut Housing Finance Authority - A.T.I.M.A.
Attn: Corinne Nocida
999 West Street
Rocky Hill, Connecticut 06067 |
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| Insurance Documents | Found: 2
matches.
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Replacement, Maintenance & Reserve Requirements
The Limited Equity
Cooperatives Program
requires developments to
maintain a Replacement,
Maintenance, and Reserve
Escrow Account at or above
CHFA-specified minimum
thresholds. This
minimum is $1500 per unit
for family developments or
such balances as may be
reflected in the CHFA
Capital Needs Distribution
Schedule.
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Tenant Profile Submission Requirement
CHFA reports on the
demographics of affordable
housing developments to the
Connecticut Legislature each
year to demonstrate the
effectiveness of
state-financed Limited
Equity Cooperatives Programs statewide.
The Tenant Profile
Submission (TPS) represents
the means by which CHFA
collects this information.
- What should be included in Tenant Profile Submissions?
Tenant Profile Submission Reports should include all demographic data related to the
members of a development as of September 30th of the current year. The type of data required in a TPS includes income, family size, age, ethnic affiliation, head-of-household status and disability status, among others.
| TPS Documents | Found: 5
matches.
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Lease Requirements
The Limited Equity
Cooperatives Program requires
developments to utilize
leases that meet the
requirements of
Connecticut
General Statutes as well as
federal and
state Fair
Housing laws. In addition,
every lease must contain a
rider that clearly states
the residency rules and
regulations of the
development.
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Miscellaneous Annual Reporting Requirements
The Limited Equity
Cooperatives Program requires
developments to submit
various miscellaneous
reports to CHFA each year,
including:
- Waiting List Survey
- Agency Update
- Property Information
- State Housing Portfolio directories
| Miscellaneous Requirements Documents | Found: 5
matches.
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Questions? Contact CHFA.
For additional
assistance, developments
subject to the Limited
Equity Cooperatives Program requirements
should contact their
Asset
Manager directly.
Mailing Address:
Connecticut Housing Finance Authority
Attn: [Your Asset Manager]
999 West Street
Rocky Hill, Connecticut 06067 |
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