FAQs for Asset Management: Reserves

Rates

Construction Plus:
4.310%
Tax-Exempt Financing:
7.250%
Preservation Plus:
6.950%
Taxable Bond Rate:
8.250%
Tax Credit Financing:*
6.750%
*30 year term/15 year yield maint/30 year amort.

Click Subscribe to receive updates via e-mail or to edit your profile.

Frequently Asked Questions Asset Management: Reserves

How do I request a disbursement from reserves?
What expenditures do not need pre-approval?
What improvements require WHEDA specifications?

Other Questions

REAC
Reviews
General Reporting

How do I request a disbursement from reserves?

Reserve disbursement requests are made online through eWheda services. Review of disbursement requests are handled by your Asset Manager.

Expenditures may require a preapproval. WHEDA’s Reserve Disbursement Policy outlines preapproval requirements. Requests for preapproval to enter into contracts or purchase goods or services must be submitted in writing, with specifications attached, if applicable. We reserve the right to require and review bids prior to entering into a contract or purchasing goods or services with project funds.

What expenditures do not need pre-approval?

An expenditure from project reserve funds will not require pre-approval by WHEDA if:

Management has made its best efforts to obtain the goods or services at prices that are reasonable and competitive; and
The development has total reserve balances of at least $1,500 per unit after deducting the amount of the disbursement; and
Requests within one month do not exceed $5,000. Any requests over $5,000 within a calendar month will continue to need WHEDA's pre-approval.

The following exceptions apply:

If the property is a Section 8 development that has extended its low-income use through WHEDA's Preservation Program, the expenditure must be identified in the Capital Needs Assessment (CNA). If the expenditure has not been identified in the CNA, approval must be obtained from us prior to requesting funds from the reserve accounts.
If the expenditure requires a WHEDA specification, pre-approval must be obtained from us.
If the expenditure is for carpeting or flooring, the expenditure must meet HUD/FHA standards and requirements.

Total reserves are limited to: replacement reserves, residual receipts, capital needs escrow, and development cost escrow.

What improvements require WHEDA specifications?

WHEDA specifications are required for the following improvements:

For these improvements, at least three bids are preferred. Contact your Asset Manager if you are unable to obtain three bids.

Current specification forms can be obtained by contacting your WHEDA Asset Manager.