Board extends inducement resolutions for two Dominion affordable‑housing projects to preserve THDA LIHTC application

The Industrial Development Board on Sept. 10 voted to extend by six months the inducement resolutions for two Dominion housing projects so the developer could continue pursuing Low Income Housing Tax Credit (LIHTC) allocations from the Tennessee Housing Development Agency (THDA).

Chair Josh Haston told the board the developer learned of two deficiencies in its round‑2 THDA application and that THDA requires responses within a short cure period. Board members and Metro Legal said an extension of the IDB inducement resolution and rescheduling of a TEFRA public hearing were necessary because more than six months had passed since the original inducement.

A board member explained that in THDA’s 4% LIHTC process the initial round of comments must typically be answered within five business days, creating an urgency to extend the inducement so the applications remain eligible. Metro staff and issuer’s counsel recommended the board act promptly to avoid jeopardizing the projects’ LIHTC applications.

The board passed a motion to extend the inducement resolutions for both Dominion projects for six months. The motion carried; the meeting record notes one abstention by the chair. Metro Legal and issuer’s counsel will continue to work with the developer; the extension does not constitute final approval of bond issuance or other financing steps, and the projects must return for any subsequent approvals.

Board members discussed fairness and precedent, noting that while this extension addresses an urgent administrative timing issue, the board must remain consistent in how it treats other applicants with similar timing needs. Metro Legal advised that extending inducement without making substantive changes is procedurally appropriate in this circumstance.