Qualified Allocation Plans (QAPs) are annually published documents published by state housing finance authorities which outline a state’s criteria and eligibility requirements for LIHTC tax credits. QAPs include a scoring system, and proposed development projects earn points based on how many of the QAP’s itemized criteria they satisfy. Tax credits are subsequently awarded to projects that score the most points (similar to how many government grants are awarded, based on amount of points). Thus, state QAPs serve as a blueprint for developers when they design their projects, and can significantly shape the development of affordable rental housing.

Source: ChangeLab Solutions