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Community Investment Impact System (CIIS)

CIIS 8.1 TLR ContentFebruary 2011

Community Development Community Development Financial Institutions Financial Institutions

FundFund

US Department of the TreasuryUS Department of the Treasury

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AgendaAgenda

• Introduction to CIIS

• TLR Instructions

• Certifying CIIS Reports

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Introduction to CIISIntroduction to CIIS

• What is CIIS?– Community Investment Impact System– System for CDEs to report QLICI activity to the Fund

• CIIS Reports Due Dates– Annual– Report period = Allocatee’s fiscal year

• (2010 Report period = Allocatee’s fiscal year ending in 2010)

– CIIS due date is 180 days after report period end

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Introduction to CIISIntroduction to CIIS

• Institution Level Report (ILR)– Institution level data– Required if Allocatee (or Sub) closed one or more

QEIs by report period end.– General Data

• Organizational Structure / Affiliation• Geographies Financed• FTEs Dedicated to NMTC Program• Financial Position

– QLICIs: • QEI Distribution• Loan Purchases• FCOS

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Introduction to CIISIntroduction to CIIS

• Transaction Level Report (TLR)– Transaction level data (Portfolio)– Required if the Allocatee (or Sub) had one or more

current QLICIs during report period.• Allocatee is responsible for TLR report.• Report/update entire NMTC portfolio annually.

– QLICIs: • Investments in QALICBs• Investments in CDEs• (Report investments in CDEs through to the QALICB)

– Data must represent the report period end date.

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TLR Instructions

HINT:

If you Certified a TLR in a previous report period, begin the FY 2010 TLR by downloading the previous

report to the Manual/Online entry or to a current Excel Template.

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• Financial Notes– Each TLR transaction represents a single Financial

Note. – Loan, line of credit, debt with equity, or equity

investment.

TLR Instructions:TLR Instructions: Financial Notes & Projects Financial Notes & Projects

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• Projects – Many Allocatees finance Projects with more than one

Financial Note.  – The Fund recognizes Financial Notes as part of a

Project if each of the Notes share the same: • Investee (Borrower - indicated by Client ID); • Investee Address;• Project Address(es); and• Total Project Cost.

– All Project Level data points must be the same for each Financial Note.

TLR Instructions:TLR Instructions: Financial Notes & Projects Financial Notes & Projects

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TLR Instructions – TLR Instructions – Reading the InstructionsReading the Instructions

Originator Transaction ID• “Loan Number”• Used to track loan/investment across report periods

1990 FIPS Code• 11-digit FIPS code that identifies the correct 1990

census tract.

Double border: MANDATORY data point

Thick Border: CONDITIONALLY REQUIRED data point

Blue background: Data point used for COMPLIANCE

• Data point instructions in this presentation:

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N-I: C

Originator Transaction ID Report the originator's unique identification for the transaction

  MANDATORY DATA FIELD

Validations: • Each Originator Transaction ID may only be used for one transaction per submission year.• Organizations MUST use the same Originator Transaction ID for each submission year that a particular transaction is submitted.• The Originator Transaction ID may NOT exceed 20 characters in length.

Excel Data Format Text

TLR Instructions – TLR Instructions – Reading the InstructionsReading the Instructions

N-I: BH

Days DelinquentReport the number of days that a required loan payment is past due at the reporting period end.  If a borrower made a partial payment on the due date but still owes any part of the payment, count that payment as past due.  

CONDITIONALLY REQUIRED IF:

Transaction Type =• Term• Line of Credit OR• Other

  COMPLIANCE

Validations: Transaction Type =• Term Loan• Line of Credit• Debt with Equity OR• Other

Excel Data Format Numeric

Double border: MANDATORY data point

Thick Border: CONDITIONALLY REQUIRED data point

Blue background: Data point used for COMPLIANCE

• Data point instructions in the TLR Instructions:

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• Assign a unique identifier to each Financial Note:

• Assign a unique identifier to distinct investees (clients/borrowers):

• Provide the TIN for the Allocatee or Suballocatee that originated/invested in the QLICI.

TLR Instructions - TLR Instructions - Transaction IdentifiersTransaction Identifiers

Client ID• Project Level• Used to track investee across loans/investments & report periods

Investor TIN• Not related to QEI Investor

Originator Transaction ID• “Loan Number”• Used to track loan/investment across report periods

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TLR Instructions - TLR Instructions - Transaction Identifiers (CDE v. QALICB)Transaction Identifiers (CDE v. QALICB)

QLICI Type • Project Level

Investee TINProject Level

Investment in CDEInvestment in QALICB

Advance Purchase Commitment

• Loan purchase based on an agreement in advance of the origination. (See NMTC regs)

Yes No

Seller Organization• Seller of Advance Purchase

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Rehabilitation Amount

TLR Instructions - TLR Instructions - Transaction Identifiers (Purpose)Transaction Identifiers (Purpose)

Construction or Permanent Financing

Real Estate – Constr/Perm/Acq w/o Rehab

- Commercial

Constr

Takeout Acq w/o Rehab

Acquisition or Rehabilitation

Acquis & Rehab

Rehab Only

Purpose

Take-out or Acquisition Financing

BothPerm

Real Estate – Rehab

– Commercial

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TLR Instructions - TLR Instructions - Transaction Identifiers (Debt Terms)Transaction Identifiers (Debt Terms)

Transaction Type

Debt (Term Loan, LOC, Debt w/Equity) Equity

Interest Rate

Interest Type

Points

Amortization Type

Equity-Like Features

Origination Fees

Term

Date First Payment Due

Guarantee

Lien Position

Collateral Type

Collateral Value

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TLR Instructions - TLR Instructions - AddressAddress

Investee Address• Project Level

Project Address(es)• Project Level• User may provide multiple Project Addresses• Business Investments

– If investee qualifies as QALICB, re-enter Investee Address as Project Address.

– If investee does NOT qualify as QALICB, provide each business location financed.

• Real Estate Investments– If site(s) is within single census tract, provide one Project

Address to represent investment.– If site(s) are NOT within single census tract, provide one Project

Address for each census tract financed.

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TLR Instructions - TLR Instructions - AddressAddress

• Addresses– Must pass Address Verification

• Verify that address is “geocodable”• If Address does not pass Address Verification, User may

enter FIPS Code• CIIS cannot geocode PO Boxes or Rural Routes

– Use CIMS/Mapping to confirm geocoding and compliance with “Service Area” and “Areas of Higher Distress Criteria.”

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TLR Instructions - TLR Instructions - Borrower/Investee ProfileBorrower/Investee Profile

QALICB Type• Project Level• If QALICB is RE developer, select RE• If QALICB is operating business (non-

RE), select Non-RE.• If QALICB is single-purpose entity

created by operating business to lease back property to that business, user may select RE or Non-RE.

Business Description

• Open-ended text field

Investment in CDEInvestment in QALICB

QLICI Type • Project Level

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• Investee Guidance:– If QALICB is RE developer, Investee is the developer.– If QALICB is operating business (non-RE), Investee is

the business.– If QALICB is single-purpose entity created by operating

business to lease back property to that business, Investee is that business.

• Project Level data points

TLR Instructions - TLR Instructions - Borrower/Investee ProfileBorrower/Investee Profile

Date Business Established

Entity Structure

Minority Owned/Controlled

Women Owned/Controlled

Low-Income Owned/Controlled

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• For business lending:

TLR Instructions - TLR Instructions - Borrower/Investee ProfileBorrower/Investee Profile

Jobs at Time of Loan/Investment• Project Level• (RE) Include construction jobs / Exclude tenant jobs• (Bus) Include jobs in business • Exclude other “multiplier jobs”

Jobs at Reporting Period End

• Project Level• Updates in Status Section

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TLR Instructions - TLR Instructions - Transaction StatusTransaction Status

• Transaction Status section requires an annual update.

Loan Status• Active = “On-the-books” or “Open”• Closed = “Off-the-books” or “paid in full”• Sold / Charged Off / Refinanced = “Off-the-books”, but not paid off

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TLR Instructions - TLR Instructions - Transaction Status (Disbursements)Transaction Status (Disbursements)

Original Loan/Investment Amount

Disbursement ID

Disbursement Date

Disbursement Amount

Disbursement ID

Disbursement Date

Disbursement Amount

Disbursement Source (QEI#)

Disbursement Source

Amount (not total QEI)

Disbursement Source (QEI#)

Disbursement Source

Amount (not total QEI)

Disbursement Source (QEI#)

Disbursement Source

Amount (not total QEI)

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TLR Instructions - TLR Instructions - Transaction Status (Disbursements)Transaction Status (Disbursements)

$150,000

#01

6/15/2000

$50,000

#02

6/30/2005

$100,000

01QEI00000

$50,000

01QEI00000

$20,000

Non-QEI

$80,000

• Total Amount Disbursed cannot exceed Original Amount (except Line of Credit)

• Total Amount Disbursed must be “explained” by QEI Source or “Non-QEI”

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TLR Instructions - TLR Instructions - Transaction Status (Debt Terms)Transaction Status (Debt Terms)

Transaction Type

Debt (Term Loan, LOC, Debt w/Equity) Equity

Principal Balance Outstanding

Days Delinquent

Number of Times 60 Days or More

Delinquent Amount Charged Off

Number of Times Loan was

Restructured

Amount Recovered

Fair Value at End of Reporting

Period

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TLR Instructions - TLR Instructions - Impact Profile (Total Project Cost)Impact Profile (Total Project Cost)

• Total funding for “Project” financed by QLICI.– If there are multiple Financial Notes for a single project,

enter the Total Project Cost each Note. – Do NOT divide Total across Notes.

Total Project Cost – Public Sources

• Project Level• Non-NMTC Funds• Subset of Total Project Cost

Total Project Cost – Other CDEs,

Affiliates & Related Programs

• Non-NMTC Funds• Subset of Total Project Cost

Total Project Cost• Project Level

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TLR Instructions - TLR Instructions - Projected ImpactsProjected Impacts

• All projected impacts are collected at the Project Level.

– If there are multiple Financial Notes for a single project, enter the full impact amount for each Note.

– Do NOT divide impacts across Notes.

Other Impacts (Description, #)• Project Level• Add your own impacts• If user provides Description, must provide #

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TLR Instructions - TLR Instructions - Projected ImpactsProjected Impacts

Real Estate Business

Purpose

Capacity of Community Facility

Square Feet of RE – Manufacturing/Office/Retail

Affordable/Housing Units – Sale/Rental

Total Square Feet of Real Estate

Project Level

Capacity of Community Facility• CIIS will have distinct data points for educational, childcare, healthcare,

arts center, and other community facilities.

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TLR Instructions - TLR Instructions - Projected ImpactsProjected Impacts

Real Estate Business

Purpose

Projected Jobs to be Created• Project Level• (RE) Include construction jobs / Exclude tenant jobs• (Bus) Include jobs in business • Exclude other “multiplier jobs”

Projected Jobs to be Created (Business / Construction / Tenant

Businesses)• CIIS will have distinct data points for Business Jobs,

Construction Jobs, and Tenant Jobs.

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TLR Instructions - TLR Instructions - NMTC Compliance DataNMTC Compliance Data

• Data points used to measure the Allocatee’s compliance with their Allocation Agreement:

NMTC Eligibility• Project Level• Geographic (Census 1990 or 2000)• Target Area (Fund approval)• Target Population• Low Population or High Migration Tracts

Related Entity• Project Level

QLICI Level• Original or Reinvestment

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TLR Instructions - TLR Instructions - NMTC Compliance DataNMTC Compliance Data

• Better Rates & Terms:– Respond “Yes” or “No” for each Financial Note:– CIIS requires “Comparable” rates and terms for each

of the “Better Rates & Terms” selected by the user.– For example, if the user enters “Yes” to “Below

Market Interest Rate,” CIIS will require the user to provide the “Market Interest Rate.”

• Areas of Higher Distress:– Respond “Yes” or “No” for each Project.

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Certifying CIIS ReportsCertifying CIIS Reports

• CIIS has a single Certification for the ILR and TLR.

• Organizations may only Certify one time per Report Period.

• Users may Certify TLR when:– ILR is complete.– TLR – There are one or more Pre-Certified

Transactions.– TLR – There are no Transactions in the Pending List.

• How to Certify: Select “Certify” from CIIS home page

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Additional CIIS information is available at www.cdfifund.gov/what_we_do/ciis.asp

Contact the CIIS Help Desk at ciishelp@kearneyco.com or (703) 373 -1516