The FHLBank Chicago’s Board of Directors approved the 2019 Affordable Housing Program Implementation Plan (Plan). The Plan outlines requirements and guidelines applicable to the FHLBank Chicago’s Affordable
Housing Program (AHP). AHP includes both the homeownership set-aside program (i.e., Downpayment Plus^®) and the competitive program.

Significant Details of the 2019 Plan: 

Downpayment Plus^® (DPP^®) Programs

• The annual member limit remains $420,000 on a first-come, first-served basis as long as funds are available.
• DPP reservations must be initiated by December 31 of the allocation year; the allocation year will now align with the calendar year with funds available beginning in January.
• DPP beneficiaries are now required to complete pre-purchase counseling in addition to pre-purchase education. Education must be delivered by a provider that has adopted the education component of the National Industry Standards for Homeownership Education and Counseling (NIS) or an online provider approved by the FHLBank Chicago. Counseling must be delivered by a provider that has adopted the  counseling component of the NIS. 
• DPP continues to function as a matching program. Homebuyers must contribute a minimum of $1,000 toward the transaction. The maximum grant amount is the lesser of: 1) $6,000; 2) three times the homebuyer's net contribution; or 3) 25% of the first mortgage amount. 
•  For DPP Advantage^®, there is no homebuyer contribution or matching requirement. The grant amount is the lesser of $6,000 or 25% of the first mortgage amount.

Competitive AHP Program

• In 2019, there will be one competitive application round with an application deadline of 5:00 p.m. CT on Friday, June 14, 2019. AHP Online will open for application initiation on May 6. 
• The maximum subsidy per project is $900,000 (increased from $750,000) or 75% of the total project cost, whichever is less.
• Rental projects utilizing the 9% Low Income Housing Tax Credit (LIHTC) must provide evidence of the LIHTC award at time of AHP application.
• Changes to Scoring Guidelines include:
• Housing for Homeless Households: The definition of “homelessness” has been updated to reflect industry standards.
• Promotion of Empowerment/Pre-Purchase Homeownership Education and Counseling: In addition to pre-purchase education, pre-purchase counseling must be provided to qualify for points in this category. Education must be delivered by an agency that has adopted the education component of the NIS or by an online provider approved by the FHLBank Chicago. Counseling must be delivered by an organization that has adopted the counseling component of the NIS.  
• District Priority 1/Rural Housing: The available points have increased from six to seven fixed points.
• District Priority 2/Project Readiness: This scoring category has been eliminated.
• District Priority 2/Member Financial Participation: The commitment threshold has been lowered for owner-occupied projects to receive the maximum points in this category.
• Community Stability/Rehabilitation of Existing Occupied Housing: Hard rehabilitation costs must be ≥ 25% of the total project cost to receive points in this category.
• Community Stability/Elimination of Blighting Influences: Utilization of infill lots is no longer a qualifying characteristic in this scoring category.
• Community Stability/Projects of 24 or Fewer Units: This new scoring category provides three points for projects of 24 or fewer units.
• Community Stability/Large Family Units: This new scoring category provides two points for projects adding rental units with three or more bedrooms to the affordable market.
• Community Stability/Certification of Consistency: This scoring category has been eliminated.