All Tax Credit Program applicants are subjected to a substantial programmatic and financial review. Among other requirements, projects must provide a public benefit, be for a public purpose, and demonstrate that adequate funding was not otherwise available. A project is considered on its own merits and as it compares to the other applicants in the same funding round.
CDFA may award funds to any project submitted by an eligible applicant (as defined in the previous section) that also meet the following conditions:
- The project must be determined by CDFA’s Investment Review Committee (IRC) to fall within the scope of CDFA’s defining legislation (RSA 162-L) as outlined in the Program Objectives (referenced above).
- The project must be of a public purpose and for a public benefit. Such benefits must be quantifiable and shall be presented to CDFA at the time of application in the form described.
- Private industry shall be unable to provide sufficient capital to complete the project. CDFA shall determine that its participation is necessary for the successful completion of the proposed project because adequate funding is determined to be unavailable from traditional capital markets, or because credit has been offered on terms that would preclude project success.
- Awarded organizations shall guarantee long-term community and targeted population benefit through legal mechanisms such as deed restrictions, equity limitation formulas, land leases, or other CDFA-approved forms.
- The applicant must prove that the project has a reasonable chance of success by providing evidence of: funding commitments, public support, organizational capacity, and sufficient capital for sustained operations.
The project must conform to all applicable environmental, zoning, building, planning, and sanitation laws. Additionally, applicants must have a plan for addressing energy efficiency and building sustainability, in accordance with CDFA’s Energy Policy.
Applications for the following activities are prioritized:
- Projects that focus on place-based strategies that reinvest in underserved people and places.
- Projects that encourage the development of effective and durable collaborations among multiple organizations to fundamentally impact communities and strengthen local economies.
- Projects that use funding from multiple sources, including, but not limited to: banks, private donations, capital campaigns, and other CDFA grants and/or loan funds.
While not expressly disallowed, applications for the following activities will not be prioritized:
- Projects submitted by organizations possessing the financial capacity to complete a proposed project without a tax credit investment.
- Requests for operating expenses, deficit-reduction, or expenses already incurred.
- Requests that are typically the responsibility of federal, state, or municipal funding sources.
- Municipal projects that do not demonstrate a significant level of planned community economic development benefit.
- Replacement of typical revenue sources (e.g. contributions, grants, earned income, etc.).
- Capital campaign activities not explicitly tied to a specific project or program.
- Applicants with an active CDFA tax credit project.
- Requests for a large sum of funds compared to other projects in the same round and/or in relation to available tax credit resources.
- Projects whose primary beneficiaries are not New Hampshire residents/individuals and/or whose primary activities are not located in, or of benefit to, New Hampshire communities.
CDFA will apply the following principles when considering tax credit applications from eligible, faith-based nonprofit organizations:
- Project activities must be related to community development, improvement, revitalization, or other activities consistent with the purposes of RSA 162-L.
- Recipients may not discriminate against a project beneficiary on the basis of religion or religious belief.
- Funds may not be used for explicitly religious activities (including activities that involve overt religious content such as worship, religious instruction, or proselytization). Such activities may be offered outside of activities that are supported with CDFA resources.
- Participation in any explicitly religious activities must be voluntary.