Pennsylvania Neighborhood Partnership Program

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Program Guidelines | June 2011

Neighborhood Assistance ProgramNeighborhood Partnership Program

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Neighborhood Assistance Program | Neighborhood Partnership Program Guidelines6-22-2011

Table of Contents

Section I Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1

Section II Definitions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1

Section Ill Program Administration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3

A. Submission of Applications . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3

B. Review of Proposal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4

C. Approval Process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4

D. Eligible Activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4

E. Application Requirements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .5

F. Annual Project Renewal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6

Section IV NPP Application Content . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6

Section V Tax Credits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8

Section VI Contact Information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9

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Section I – Introduction

Under Article XIX-A of the Tax Reform Code of 1971, known as the Neighborhood Assistance Act (Act 48-

1994) (72 P.S. §8901-A, et. seq.), as amended, the Pennsylvania Department of Community and Economic

Development (the “Department”) is authorized to administer the Neighborhood Assistance Program (NAP).

There are four components to this program: the NAP Tax Credit, the Neighborhood Partnership Program (NPP),

the Enterprise Zone Program (EZP) Tax Credit, and the Special Program Priorities (SPP).

The purpose of these guidelines is to define the eligibility requirements for the Neighborhood Partnership

Program (NPP). Under the NPP, Business Firms may receive a state tax credit by making a substantial and long-

term commitment of at least five (5) years in support of a Neighborhood Organization that is undertaking an

approved project for Affordable Housing, Community Economic Development, Community Services, Crime

Prevention, Education, Job Training or Neighborhood Assistance. Such businesses are eligible for a tax

credit of 75% of the amount of the eligible contribution or 80% in the case of a commitment to contribute for six

(6) years or longer.

The goal of the Neighborhood Partnership Program (NPP) is to foster the development of collaboration among

Business Firms, Neighborhood Organizations, local government entities and residents to encourage high impact

long term investment(s) in Distressed Areas. The objective of this collaboration is to produce a comprehensive,

asset-based and relationship-driven approach to community development. This approach, when applied over the

long term, not only produces an enhanced quality of life in the community, but also builds the capacity of

communities to sustain development efforts and to adapt to changing economic and social conditions.

Section II – Definitions

Activity Period: The activity period is the time frame in which the applicant has to complete project

activities and expend funds received. The activity period extends three (3) months beyond the contribution

period to September 30 to ensure that the applicant can use all contributions received.

Affordable Housing Programs: The renovation, repair, rehabilitation, construction or preservation of

housing for Low Income individuals (including expenses for predevelopment, land acquisition, site control

and clearing title, market studies, environmental costs, energy conservation and green building services,

design services and legal and other technical assistance services). A Low Income Individual is defined as a

person and his or her immediate family for which, during the twelve months immediately preceding the date

of application for services: (1) total income does not exceed 150% of the federal poverty level as established

annually by the federal Office of Management and Budget; or (2) total income does not exceed 80% of the

median income of the targeted area; or (3) total income meets the income requirements of another applicable

government program.

Amendment: An amendment must be issued for major changes in the scope or type of project being carried

out. An amendment must also be issued for changes in the project ending date and increases/decreases in

the amount of the contract. These can only be approved when requested prior to the contract end date of

June 30.

Application for Tax Credit Under the Neighborhood Assistance Program: The application required for

business contributors to receive and apply tax credits for contributions to the tax liability with the Department

of Revenue. An application for tax credits along with proof of contribution and other related documents must

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be submitted to the Department no later than six (6) months after the end of the contract period. As provided

in other definitions the contract period ends June 30, and the deadline for Applications for Tax Credit Under

the Neighborhood Assistance Program is December 31. (For example, Project X has a contract period of July

1, 2011 through June 30, 2012. Application for Tax Credits must be submitted no later than December 31,

2012, which is six (6) months after the contract end date.) Applications received after December 31 will not

be processed and tax credits will not be applied to the contributor’s tax liability account.

Award Letter: A letter from the Department to a Neighborhood Organization that states the approval of a

project, the amount of tax credits awarded and the reporting requirements.

Business Firm: A business entity authorized to conduct business in this Commonwealth and subject to taxes

imposed under Articles III (Personal Income Tax), IV (Corporate Net Income Tax), VI (Capital Stock –

Franchise Tax), VII (Bank and Trust Company Shares Tax), VIII (Title Insurance Company Shares Tax), IX

(Insurance Premiums Tax) or XV (Mutual Thrift Institutions Tax) of the Tax Reform Code of 1971. The term

“Business Firm” includes Pass-through entities, defined below.

Commitment Letter: A letter from a Business Firm to a Neighborhood Organization that states a specific

contribution of money, goods and/or services to be contributed to an eligible NAP project.

Community Economic Development: Activities that revitalize or stabilize Distressed Areas through one or

more of the following: (1) The construction or rehabilitation of commercial or industrial buildings that will

result in employment opportunities; (2) the removal or elimination of physical blight or (3) multi-year

initiatives that will have a significant impact in a Distressed Area or toward Neighborhood Conservation.

Community Services: Any type of counseling and advice or direct services, including emergency assistance

or medical care furnished to individuals or groups in a Distressed Area that has a primary or secondary

benefit to the stabilization or revitalization of the area.

Contract Period: A one-year period beginning July 1 and ending June 30, in which time business

contributions can be solicited and received by the applicant.

Crime Prevention: Any activity that aids in the reduction of crime in a Distressed Area.

Department: The Pennsylvania Department of Community and Economic Development.

Distressed Area: Any impoverished area in this Commonwealth that is certified as distressed by the

Department and the certification is approved by the Governor. The certification shall be made on the basis of

federal census studies and current indices of social and economic conditions. The area must demonstrate, in

comparison to statewide averages, a high incidence of one or more of the demographic factors set forth

below: persistent unemployment, or underemployment, dependence upon public assistance, overcrowded,

unsanitary or inadequate housing, crime and delinquency, school dropouts or other evidence of low

educational attainment, vacant and dilapidated properties, blight or other generally accepted indicators of

widespread social problems. The following are deemed Distressed Areas: Enterprise Zones, Keystone

Opportunity Zones, Keystone Opportunity Expansion Zones, Keystone Opportunity Improvement Zones,

Federal Enterprise Communities, Empowerment Zones, Act 47 Municipalities, Cities of the First Class,

Cities of the Second Class, Cities of the Second Class A or Cities of the Third Class, and former commercial

and industrial sites that have been vacant for at least one year prior to application.

Education: Scholastic instruction or scholarship assistance for an individual residing in a Distressed Area

that enables the individual to prepare for better life opportunities.

Job Training: Instruction for an individual residing in a Distressed Area that enables that individual to

acquire vocational skills to become employable or be able to seek a higher grade of employment.

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Modification: These involve minor changes to the objectives, timelines or goals of the project. Such

requests should be submitted to the Community Empowerment Division. Requests must contain both the

original and revised objectives, timeline or goals and other changes. Budget changes may also be requested

as modifications where the amount of the contract does not increase. Grantees have unlimited flexibility

between approved budget line items within each budget category. However, if there is a need for new budget

line items or budget categories, Departmental approval is required. Such submissions must include a

complete new budget form with the new line item(s)/budget category(s) included. These can only be

approved when requested prior to the contract end date of June 30.

Neighborhood Assistance: Financial assistance, labor, material or technical advice furnished to aid in the

physical improvement of any part or all of a Distressed Area.

Neighborhood Conservation: Projects or services that address the decline of a neighborhood or the needs of a

vulnerable population and which have a primary or secondary benefit to the stabilization of a Distressed Area.

Neighborhood Organization: A nonprofit organization approved by the Department which performs

Community Services, offers Neighborhood Assistance, provides Job Training, Education or Crime

Prevention or promotes Community Economic Development in a Distressed Area, which holds a ruling from

the Internal Revenue Service that the organization is exempt from the income taxation under the provisions

of the Internal Revenue Code.

Normal Course of Business: Those acts that are engaged in by a Business Firm with a view toward

winning financial gain.

Notification Letter: A letter from the Department to a Business Firm that states the approval of a project

and requests for proof of contribution to receive the awarded tax credits.

Pass-Through Entity: A limited liability company, general partnership, limited partnership, Pennsylvania S-

corporation, business trust, joint venture or other unincorporated entity that for federal income tax purposes

is classified as a partnership.

Secretary: The Secretary of the Department of Community and Economic Development.

Section III – Program Administration

A. Submission of Applications

To apply for funding, the applicant must submit the electronic on-line DCED Single Application for

Assistance located at www.esa.dced.state.pa.us. DCED also requires application addenda as a part of the

application process. The required NPP Application Content (Section IV) may be attached electronically to

the application on the Addenda tab, or submitted via US Mail with the signature page. Please reference the

Single Application number on any documents sent with the signature page. If you need additional assistance,

contact the Customer Service Center at: 1-800-379-7448 or 717-787-3405.

Under all components of NAP, projects are approved for one fiscal year, July 1 through June 30. All project

applications must be approved by the Secretary prior to the receipt of contributions.

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The deadline for new applications and renewal applications for an existing NPP project is August 1, 2011.

The application deadline for other NAP components (i.e. NAP, EZP and SPP) will be announced under

separate guidelines. DCED will consider allocating any tax credits that remain after reviewing applications

from all NAP components. The deadline for applications to be considered in this final application period will

be January 31, 2012, if tax credits remain to be allocated. Please check www.newPA.com for a status on

the availability of tax credits.

B. Review of Proposals

Applications will be reviewed and ranked based upon the following factors:

1. Complete and concise with measurable goals and outcomes, with a completed community measures

report as described in Section IV, NPP Application Content;

2. Strength of the Neighborhood Partnership Plan;

3. Description of the Neighborhood Partnership Advisory Committee;

4. Demonstration of a strong history of meeting goals and objectives;

5. Not duplicative of other projects or services existing in the same local community at the time of

application;

6. Demonstrates linkages and/or collaboration with other organizations or initiatives in their area;

7. Addresses the requirements detailed in Section IV of this document;

8. Total number of applications received statewide, geographic distribution of approved projects and the

total amount of credits available.

C. Approval Process

1. The Secretary will approve or disapprove projects for the NAP and establish the amount of tax credits to

be provided to a Neighborhood Organization or a Business Firm.

2. A Neighborhood Organization will receive a Confirmation Letter that contains the following:

a. Approval of the project

b. Copy of the Notification Letter to contributor(s) that provided Commitment Letters

c. Application for Tax Credits

d. Reporting Requirements

3. A Business Firm will receive a Notification Letter from DCED including an application for tax credits.

D. Eligible Activities

The following are eligible activities for NPP projects:

1. Affordable Housing (renovate, repair, construct, preserve rented or owned housing for low to moderate

income households);

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2. Economic Development (construction or rehabilitation of commercial buildings resulting in job

opportunities and/or removal of blight);

3. Community Services (counseling and advice, emergency assistance or medical care to individuals

and/or group living in distressed areas);

4. Crime Prevention (reduction of crime in distressed area);

5. Education (scholastic instruction and/or scholarship assistance to enable individuals living in distressed

areas to prepare for better opportunities);

6. Job Training (instruction to residents in distressed areas to become employable or eligible for a higher

grade of employment); and

7. Neighborhood Assistance (financial aid, labor, material and/or technical assistance to physically

improve a distressed area).

Outcomes related to these areas are required as detailed in Section IV, NPP Application content.

E. Application Requirements

1. Commitment: A Business Firm must pledge not less than $50,000 in cash contributions yearly for a

minimum period of five years. The minimum total Business Firm(s) annual commitment for a project is

$100,000. This could mean one (1) donor at $100,000 or two (2) donors at $50,000 etc. annually.

There is no limit on the number of firms per project. Business Firms must actively participate on a

Neighborhood Partnership Committee, provide in-kind support for the project for which they will also

receive tax credits and demonstrate the intent to use the tax credits that are awarded. Prior use of NAP

tax credits will be a factor in award decisions. NOTE: A letter indicating support of a project does not

meet this requirement.

2. Neighborhood Partnership Plan: A plan prepared with the input of the Neighborhood Partnership

Advisory Committee to revitalize a distressed community or neighborhood over a period of not less

than five years. The plan includes a comprehensive examination of factors contributing to social and

economic distress, an inventory of community assets that can be used or developed to address those

factors, a selection of priority projects, a description of how those projects will be carried out, a vision

of success and how development will be sustained following the completion of the NPP project(s). In

addition, a description detailing the leveraging and coordination of additional public/private funds in the

Distressed Area should be included. If applicable, the description should include how the additional

funds will be obtained for this project and coordinated with the NPP tax credits. Where such leveraging

and coordination is described but does not take place, the Department may exercise its prerogative to

terminate the project.

3. Neighborhood Partnership Advisory Committee: The committee shall assist with the initial and

subsequent planning of a Neighborhood Partnership Project and provide ongoing advice and counsel to

the Neighborhood Organization carrying out the NPP project. The committee should include

representatives of the following: residents of the Distressed Area, the Business Firm(s) and other

stakeholders in the project, such as financial contributors, other community development organizations

and local government entities. The committee shall review the NPP project’s progress and serve as a

vehicle to secure ongoing input on the project from community residents and other stakeholders. (In

situations where an entity already exists that can carry out the advisory function described above,

formation of an additional committee shall not be necessary.) The committee shall meet not less than

quarterly. All meetings of the group shall be open to the public, except where confidential personnel or

program client services information is to be discussed.

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4. Memorandum of Understanding (MOU): A written agreement in the form of an executed

Memorandum of Understanding negotiated between the Business Firm(s) and the Neighborhood

Organization that outlines the nature and extent of financial and other commitments each is making to

carry out the Neighborhood Partnership Plan and the mutual expectations and obligations of both

parties. This agreement, at a minimum, should cover:

a. A pledge of not less than $50,000 in cash contributions yearly for a minimum period of 5 years.

b. The duration of the pledge and project.

c. A schedule for the distribution of funds to the community development agency.

d. A timetable for the completion of key project activities and the expected outcomes of those

activities.

e. A delineation of the type of participation and in-kind support the business sponsor will provide.

f. The circumstances under which the terms of the agreement may be changed or terminated.

g. Recognition of the business sponsor’s support by the community development agency in project-

related publications, press releases and signage at project rates.

h Consultation between the two parties concerning progress and changes to the project.

i. Other mutual understandings concerning the relationship between the business sponsor and the

community development agency.

F. Annual Project Renewal

Although NPP projects are anticipated to run for a minimum of five years, tax credits are allocated on an

annual basis. Allocations and awards coincide with the state fiscal year (July 1 to June 30). A new

application must be submitted annually.

Applications must be submitted via the Department’s Single Application for Assistance on

www.esa.dced.state.pa.us. A complete application includes the information requested in the NPP Application

Content (Section IV).

Section IV – NPP Application Content

The following information is required for a NPP application. The ability to clearly describe a project by

following the format below will increase competitiveness.

A. Place – Describes the neighborhood or community in which this project will take place. Provide physical

boundaries (street locations are ideal.) Refer to the definition of “Distressed Area” of these Guidelines.

Include specific data about the neighborhood that substantiates the need for the project. Such data

include, but are not limited to, population, unemployment rate, percentage of residents receiving public

assistance, information on adequacy of housing, vacant buildings, crime and delinquency statistics, and

school dropout rate. Include a brief description of the source of such data. The target population should

relate to the target area, keeping the area as exact and minimal as possible. Describe how the project fits

with the overall community in which it is intended, how it supports current and planned activities and if

it is feasible for the demographics and other statistics of the community. Place also looks to the planning

process and the components thereof, including what other funds have been invested in the project that

demonstrate a strategic alignment and means of sustainability.

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B. Problem – Provide a clear and specific description of the neighborhood needs that are to be addressed

by the project. NPP activities must be specific to a problem that the organization seeks to address. For

example, if the organization provides after school tutoring, the problem identified might be low

educational attainment or a high dropout rate. If the organization is developing/renovating housing, the

problem might be inadequate housing and a high rate of abandoned and dilapidated buildings. Describe

how the problem impacts the community.

C. Project/Program Narrative – This section should serve as a concise description of the NPP project

that is being proposed to address the problem identified in the neighborhood. Describe the

organization’s detailed approach, outlining what specific problems are to be addressed and how the

project will promote the improvements to be made. Be sure to specify the year of the NPP (example

year 1 of 5, year 2 of 5, etc.) and include the relation of each year’s goals to the long term strategic

plan, changing circumstances in the community, results or outcomes from the previous year, or other

factors. This narrative should clearly outline the approach, plan and activities to accomplish the goals,

objectives and outcomes. Include a detailed project schedule of activities that includes the key

milestones and dates in the development and implementation of the project. This section should also

identify project partners and other collaborators.

D. Community Measures Report – Outcomes identified by the applicant should describe quantifiable,

measurable and achievable results that demonstrate the impact of the project on the place and problems

identified. The application narrative should explain this impact and change, as well as how outcome

measures relate to the NPP Project.

Outcome measures should be provided in the NAP Community Measures Report addendum to the

DCED Single Application. These activity and impact measures must be provided along with other

measures proposed or anticipated by the applicant. In providing both the required and applicant-specific

measures, the following format must be adhered to:

1. Inception Data (all applications): Provide outcome measure data prior to receiving NPP tax credit

assistance.

2. Projected Outcomes (all applications): Provide outcome measure data that the applicant expects

to achieve at the completion of the NPP project.

3. Actual Outcomes (for renewal applications only): Provide outcome measure data that shows

actual results achieved to date by the NPP project.

E. Agency Profile – Share a profile of the agency that exemplifies the agency’s capability to administer

this project, including the date of incorporation, the overall mission or purpose of the agency, the

primary services delivered by the agency, and the agency’s annual budget and staffing. Include a

description of how this project and the agency are unique to the delivery of the goals. Also specify how

this project is non-duplicative of any other projects in the community.

F. Required Attachments – Submit the following required attachments:

1. Executive Summary (or full copy) of the strategic Neighborhood Partnership Plan

2. The Neighborhood Partnership Advisory Committee Membership Listing

3. The MOU(s) between the applicant and the business partner(s) for the project. [if no change

occurred (i.e. length of contribution or amount contributed, etc.), the original MOU can be

submitted again. If changes occur, a new and updated MOU must be submitted with the

application.]

4. Complete job descriptions for any position to be either in part or fully funded by the requested NAP

tax credits. The job description must include salary assigned to the position.

5. Budget justification (which is an addenda) that includes a detailed line item presentation of the

allocation of project funds.

6. Agency’s IRS Determination Letter

Incomplete applications may not be funded in the initial round of application review.

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Section V – Tax Credits

A. Once the proposed project(s) of a Neighborhood Organization has been approved by the Department,

the Business contributor needs to apply to the Department for the tax credit. Once received, the

Department of Revenue will grant a tax credit against any of the following taxes due by the contributing

Business Firm: Corporate Net Income Tax, Bank and Trust Company Shares Tax, Mutual Thrift

Institutions Tax, Capital Stock – Franchise Tax, Insurance Premiums Tax or Title Insurance Company

Shares Tax.

B. In the case of a Pass-Through Entity, the Department of Revenue will grant a credit against the

corporate net income or personal income tax, whichever is applicable, of the Pass-through entity’s

shareholder(s), member(s) or partner(s). Pass-through requests should be sent directly to the

Department of Revenue.

C. A Business Firm or Private Company may not receive more than $500,000 in tax credits for a

contribution(s) toward an approved project(s) during a single fiscal year of the Commonwealth. The

limit applies to all projects approved under the NAP, EZ, SPP, NPP or a combination of the programs;

except as set forth below.

A Business Firm may receive up to $1,250,000 in tax credits for contributions toward four (4) or more

approved projects within the same fiscal year.

D. A Business Firm(s) shall receive tax credits equal to 75% for five (5) or more years or 80% for six (6)

or more years of the total amount of the contribution.

E. Tax credits will not be given to a Business Firm that is a bank, bank and trust company, insurance

company, trust company, national bank, savings association, mutual savings bank or building and loan

association for activities that are a part of its Normal Course of Business.

F. Approval for the allowance of tax credits for the NPP will be awarded to Neighborhood Organizations

and Business Firms for one year only. Future tax credits will depend on the project being re-approved in

a subsequent year. In certain cases, projects, including capital campaigns, which, by their terms, will

take longer than one year to complete may be approved generally for multi-year periods. However, each

year of the multi-year period must be approved individually. The Department will evaluate such a multi-

year project’s performance during earlier years when making the decision to approve or disapprove the

applications for subsequent years. In the event that the number of applications for tax credits exceeds

the amount of credits available, priority will be given to such subsequent year applications that have

performed successfully in earlier years.

G. A business firm may carry forward unused tax credits for the next 5 succeeding calendar or fiscal years

until the full credit has been allowed if the certification for credits has been requested through the

Department. A shareholder, member or partner of a Pass-through entity may not carry forward any tax

credit not used in the period the contribution was made.

H. A Business Firm that has not used its tax credit within one year of the date the credit was granted by the

Department of Revenue may apply to the Department to sell or assign all or part of the tax credit. The

purchaser or assignee of the tax credits must use the credits in the tax year in which the purchase or

assignment is made and may not carry forward, sell or assign the purchased/assigned credits. A

shareholder, member or partner of a Pass-through entity may not sell or assign any part of a tax credit.

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I. Funds expended or contributions received outside of the contract period (July 1 through June 30) are not

eligible for tax credits. Expenditures and/or contributions that occur before the final award decisions

are announced could be at risk.

J. A Business Firm must apply for the Tax Credits after proof of contribution is received from the

neighborhood organization. The application must be received by the Department no later than

December 31st or the tax credits lapse and can no longer be used.

K. For Tax Credits totaling $100,000 or more, a final audit of the project costs totaling the amount of the

contributions accepted from project donors shall be submitted to the Department within 120 days

following the expenditure of all funds or within thirty (30) days following the contract termination date

September 30, whichever first occurs. The Audit Procedures for Closeout of Contracts is available at

www.newpa.com/compliance.

Section VI – Contact Information

Questions as to the applicability of these provisions in specific instances should be directed to the DCED

regional office nearest you:

Southeast Regional Office

200 South Broad Street, 11th Floor

Philadelphia, PA 19102

215-560-5830

Northeast Regional Office

Oppenheim Building, 3rd floor

409 Lackawanna Avenue

Scranton, PA 18503

570-963-4571

Central Regional Office

Commonwealth Keystone Building

400 North Street, 4th Floor

Harrisburg, PA 17120-0225

717-720-7300

Southwest Regional Office

301 5th Avenue, Suite 250

Pittsburgh, PA 15222

412-770-9038

Northwest Regional Office

100 State Street, Suite 205

Erie, PA 16503

814-871-4241

Commonwealth of Pennsylvania

Department of Community and Economic Development

Center for Community Empowerment

DCED-CCE-19B (9-08)

1. Seller’s Name

2. Address

3. Contact Person 4. Telephone Number 5. E-mail Address

6. Amount to Sell or Assign 7. Type of Tax

$

8. Tax Payer Identification No.

9. Authorized Signature of Seller

10. Prospective Buyer Name Taxpayer Identification Number

11.Address

12.Contact Person 13. Telephone Number 14. E-mail Address

15. Authorized Signature of Buyer

For Departmental Use Only

Application No.

Approved to Sell Maximum Credit $

Approving Authority Date

IMPORTANT

Submit tax credit forms in triplicate

Submit all required signatures

Taxpayer Identification is mandatory

Check amounts and dates

I, , of Name of Officer Title or Affiliation

, hereby affirm Name of Firm

under penalties prescribed by law that this application has been examined by me and to the best of

my knowledge and belief, the information is true, correct and complete.

Date of Affirmation Signature of Seller

I, , of Name of Officer Title or Affiliation

, hereby affirm Name of Firm

under penalties prescribed by law that this application has been examined by me and to the best of

my knowledge and belief, the information is true, correct and complete.

Date of Affirmation Signature of Buyer

APPLICATION TO SELL OR ASSIGN TAX CREDITSUNDER THE NEIGHBORHOOD ASSISTANCE ACT

GENERAL INSTRUCTlONS

A. WHO MUST FILE: ln order to sell the tax credit authorized under the Neighborhood Assistance Program, sellers and buyers must submit this Application for approval.

B. WHEN TO FILE: Application to sell tax credits must be filed with the Department of Community and EconomicDevelopment if no claim for the allowance of the credit is filed within one year from the date the credit is granted bythe Department of Revenue. The buyer must use the credits in the tax year in which the purchase is made.

C. SlGNATURE AND MAlLING: The application must be signed by an authorized officer of the seller and the buyer. An original and two (2) copies must be mailed to the Department of Community and Economic Development, Centerfor Community Empowerment, 400 North Street, Commonwealth Keystone Building, 4th Floor, Harrisburg, PA17120-0225.

D. SEPARATE APPLICATlONS: A separate application must be submitted for each request.

E. CLAlMlNG TAX CREDlT: You will receive a copy of the approved tax credit application; attach same when filingyour tax return with the Pennsylvania Department of Revenue.

SPECIFlC INSTRUCTlONS

ltem 1: lndicate exact name of seller. Use the name on record with the PA Department of Revenue unless thaton-file information has been changed and is no longer valid.

ltem 2: lndicate address to which correspondence concerning this application is to be directed, as related to Item 1.

Item 3: Person to be contacted if additional information is needed.

Item 4: Telephone number of contact person.

Item 5: E-mail Address of contact person.

Item 6: lndicate tax credit being sold.

ltem 7: lndicate the type of tax. Applicable Taxes: Bank and Trust Company Shares; Capital Stock/Franchise;Corporate Net Income Tax; Gross Premiums; Mutual Thrift; Personal Income Tax; Title Insurance CompanyShares.

ltem 8: lndicate PA Revenue Tax Box Number as assigned by the Department of Revenue, the Federal EmployerIdentification Number (FEIN) or the Social Security Number (SSN) of the seller.

ltem 9: lndicate name, title and firm who is authorizing the sale by signature.

ltem 10: lndicate exact name of buyer. Use the name on record with the PA Department of Revenue unless thaton-file information has been changed and is no longer valid. Indicate the buyer's Taxpayer Identification Number.

Item 11: lndicate address to which correspondence concerning this application is to be directed, as related to Item 1.


Item 13: Telephone number of contact person.

Item 14: E-mail Address of contact person.

Item 15: Indicate the name, title and firm (if applicable) who is authorizing the purchase by signature.

Commonwealth of Pennsylvania

Department of Community and Economic Development

Center for Community Empowerment

DCED-CCE-19 (09-08)

APPLICATION FOR TAX CREDIT UNDER THE NEIGHBORHOOD ASSISTANCE ACT

1. Applicant’s Name

2. Address

3. Contact Person 4. Telephone Number 4a. E-mail Address

5. Qualified Expenditures (Contribution) 6. Type of Tax

$

7. Tax Credit Request 8. Taxpayer Identification Number

$

9. Name of NAP Approved Project

ESA Application Number: Date of Contribution:

DCED Agreement Number:

10. Proof of Contribution

For Departmental Use Only

Application No.

Approved Maximum Credit $

Approving Authority Date

IMPORTANT

Submit tax credit forms in triplicate

Attach proof of contribution (See No. 10)

Obtain copy of Project Approval Letter

Check amounts and dates

q Equipment and/or Supplies

q Technical Assistance

q Job Trainingq Check - A copy of a CANCELLED CHECK

q Real Estate

I, , ofName of Officer Title

, hereby affirm under penalties Name of Firm

prescribed by law that this application has been examined by me and to the best of my knowledge and belief, the

information is true, correct and complete.

Date of Affirmation Signature

PA Revenue Tax Box Number or other Tax Identification Number is MANDATORY for application to be processed.

GENERAL INSTRUCTIONS

A. WHO MUST FILE: ln order to obtain the tax credit authorized under the Neighborhood Assistance Program,business firms must submit this Application for approval.

B. WHEN TO FILE: Application must be filed with the Department of Community and Economic Development withinsix months after the contribution period of the approved project. Contributors will still have five years in which to use the tax credit.

C. SlGNATURE AND MAlLING: The application must be signed by an authorized officer of the applicant. An originaland two (2) copies must be mailed to the Department of Community and Economic Development, Center forCommunity Empowerment, 400 North Street, Commonwealth Keystone Building, 4th Floor, Harrisburg, PA17120-0225.

D. SEPARATE APPLICATlONS: A separate application must be submitted for each project and program year.

E. CLAlMlNG TAX CREDlT: You will receive a copy of the approved tax credit application; attach same when filingyour tax return with the Pennsylvania Department of Revenue.

SPECIFlC INSTRUCTlONS

ltem 1: lndicate exact name of business firm.

ltem 2: lndicate address to which correspondence concerning this application is to be directed.


Item 4: Telephone number of contact person; 4a. E-mail address of contact person.

Item 5: lndicate contribution made to this project.

ltem 6: lndicate the type of tax. Applicable Taxes: Corporations - CNI or Capital Stock/Franchise; Banks - Shares; Insurance Companies - Gross Premiums; Savings and Loans - Mutual Thrift.

ltem 7: Indicate the tax credit requested for this contribution.

ltem 8: lndicate PA Revenue Tax Box Number as assigned by the Department of Revenue, the Federal EmployerIdentification Number (FEIN) or the Social Security Number (SSN) of the Applicant.

ltem 9: lndicate name of NAP approved project, contract number and the date of contribution.

ltem 10: Proof of contribution: provide and attach one of the following:

a. Cash Contributions:

lf a contribution was made to a specific program that was approved under this project, sponsored by an

organization that conducts many varied programs, checks must be made payable to the organization and noted

specifically for the NAP project. Photo copy of front and back of cancelled check made payable to the approved

project must be attached to tax credit application.

b. Equipment and/or Supplies Contributions:

Copy of invoice signed by NAP project official. lnvoice must reflect the retail cost and net outlay of the

contributor. Tax credits will be granted on the net cost only.

c. Job Training:

lnclude name, address, Social Security Number, wages paid to each trainee and any approved costs incurred.

d. Real Estate Contribution:

Copy of Deed. Two (2) independent appraisals.

e. Technical Assistance:

Signed statement itemizing time/rate spent on the project, signed by employe and employer.

NEIGHBORHOOD ASSISTANCE PROGRAMCOMMUNITY MEASURES REPORT

DCED-CCE-026 (7-11) COMMONWEALTH OF PENNSYLVANIA

DEPARTMENT OF COMMUNITY & ECONOMIC DEVELOPMENT

COMMUNITY EMPOWERMENT

GENERAL INFORMATION

SECTION I: PROJECT ACTIVITY

Please complete the project activity/ies below that apply to your Neighborhood Assistance Program (NAP). These project activities are required for applications for NAP,NAP-NPP, NAP-SPP, and for NAP-EZP.

At the time of application, the “projected” numbers are to be provided and will be used as part of the award assessment process. The “actual” numbers are to besubmitted at the end of the contract activity period as noted above.

Project Measures Projected Actual Project Measures Projected Actual

# of neighborhood residents

served/impacted by project# of direct jobs created by project

# of housing units rehabbed by project # of direct jobs retained by project

# of housing units constructed by project # of residents who completed job training

# of blighted properties cleared by project# of residents who obtained FT

employment as a result of job training

# of first-time homebuyers served

by project

# of residents who obtained PT

employment as a result of job training

# of foreclosures prevented due

to intervention# of residents who completed ESL course

# of commercial/industrial buildings

rehabbed

# of residents who completed ABE/GED

curricula

# of commercial/industrial buildings

constructed

# of youth participating in weekend and/or

after-school programs

# of new business start-ups

# of residents receiving food subsidies as

part of self-sufficiency programs. (For non-

food bank applicants only)

SECTION II: COMMUNITY IMPACT MEASURES (CIMs)

This form must be completed and submitted twice. The first time is with your original application, which requires that you provide projected outcomes. This form should be

saved and submitted with your application. Organizations that are awarded tax credits will be required to complete the "actual" column of this form at the end of the

contract year (the second time) as a means to compare projections against actual accomplishments. At the end of the contract, complete the "actual" column on the

original form that contains projected outcomes and submit via e-mail to [email protected].

APPLICANT: PROJECT NAME:

SINGLE APPLICATION NUMBER: FISCAL YEAR:

Capturing activity details is the first step necessary to identifying the impact that a project has on the community in which it occurs. The project activities captured inSection I should be used toward producing the Community Impact Measures, which provide the actual change/s that has occurred, the results and effectiveness of theinvestment of NAP tax credits for your project.

Enter the Community Impact Measures for your project below, as appropriate. NOTE: The “actual” column will reflect details at the end of the contract period and shouldnot be included at the time of application.

Impact Measures Inception Projected Actual

Items Required for All NPP Applications

Homeownership Rate

Median Property Value

Residential Vacancy Rate

Items Required for All EZP Applications * ”Quality Jobs” means jobs paying more than minimum wage with benefits (healthcare, retirement, etc.)

Tax Credits per Total Jobs (created & retained) N/A

Number of Quality Jobs* Created N/A

Number of Quality Jobs* Retained

SECTION II: COMMUNITY IMPACT MEASURES (CIMs) cont’d

Impact Measures Inception Projected Actual

Other Community Impact Measure to Support Project

Median Property Value

Business Property Vacancy Rate

Poverty Rate

Crime Rate

School Drop Out Rate

High School Graduation Rate

Unemployment Rate

State/Local Taxes¹

Abated Taxes²

Other Community Impact Measures to Support Project Proposed by Applicant

1.

2.

Required for Food Bank Applicants Only in addition to other applicable Community Impact Measures

# served who are participating in self-sufficiency programs such as financial/budget counseling, employment and training,

and/or family savings account, first time homebuyer etc.

# served who would have been required to make a choice between food or other expenses such as medical care, utility

payments, etc.

# of neighborhood residents served/impacted by the project

Of the total listed above, # served who are long term recipients of food subsidies (more than 6 months)

¹ For site-specific construction or rehabilitation/redevelopment projects include all state and local taxes collected as a result of business and/or residential activity atthat site.

The state taxes should include:

• Earned income from workers,

• Corporate/business taxes including Corporate Net income Taxes, Capital Stock & Foreign Franchise Tax, Personal income Tax (for Subchapter S. Partnership orProprietorships), Sales & Shares Tax, Mutual Thrift institutions Tax, Insurance Premiums Tax (see next measure regarding any abated taxes), and

• Sales taxes.

The local taxes should include taxes collected at the county, municipal, and school district levels:

• Property taxes (see next measure regarding any abated taxes),

• Earned income from workers,

• Business taxes including Net Profits Tax, Business Gross Receipts, Business Occupancy, Business Privilege and Mercantile Taxes (see next measure regardingany abated taxes), and

• Sales taxes.

Exclude any property taxes from any properties that are in tax foreclosure or that have tax arrearages dating back more than one year. These amounts should beexcluded from the Inception column.

² In completing answers for state/local taxes measure above, do not include any abated taxes. Include all state and local taxes abated in the “Abated Taxes” measure.The amount in the “Inception” column should be the most recent year total prior to project start.

Exclude any property taxes from properties that are in tax foreclosure or that have tax arrearages dating back more than one year. These amounts should beexcluded from the “Inception” column.

SECTION III: BUSINESS CONTRIBUTORS

Section III Instructions: This section is to be completed with the second submission of this report, no later than October 15, when all “Actual” data is reported.

This section should include actual contributions received as of June 30th of the year of the award.

Contributor Name & Address Date of ConributionAmount of

Contribution

Pennsylvania Neighborhood Partnership Program

Documents

Transcript of Pennsylvania Neighborhood Partnership Program