Quiz Staff on Applicable Fraction Requirement

It's a good idea to quiz your staff members regularly to assess their familiarity with the low-income tax credit (LIHTC) program. Testing staff members this way can confirm that you're working with a team equipped to tackle important compliance issues and keep the owner's tax credits safe. Or it can reveal gaps in staff members’ compliance knowledge, so you'll know where they need training to get up to speed.

Tax credit consultant Karen A. Graham helped us create the following quiz that will allow you to assess your staff members’ familiarity with the applicable fraction requirement. Our quiz consists of four multiple-choice questions. We also provide a detailed explanation of the answers so you can go over the results with staff.

Take the following steps to use this quiz effectively:

1. Photocopy or retype the quiz and give it to both your leasing and management staff, says Graham. Give the quiz to all staff members who are responsible for making sure your buildings meet and maintain the appropriate applicable fraction.

2. To get a true assessment of each staff member's knowledge of the applicable fraction requirement, make the quiz a closed-book exam. Administer it in a quiet room to allow staff to concentrate fully. If space limitation prohibits you from giving the quiz to all staff members simultaneously, tell those taking it first not to discuss it with any other staff member.

3. Provide pencils, and remind each staff member to write his or her name on the quiz. Give them a reasonable amount of time to answer all four questions.

4. Grade the quiz by giving each staff member a percentage score. See our answers and explanations, which you can use as a scoring guide.

5. Identify any staff members who are in need of training. After grading the quiz, use the results to help you determine which staff members need more training. Also, take into consideration how long it took individual staff members to complete the quiz.

6. Make sure you review any incorrect answers with staff members so they understand why those answers were incorrect and won't make the same mistakes in real-life compliance situations at your site.

Insider Source

Karen A. Graham: President, Karen A. Graham Consulting, LLC; 6883 Fox Trot Ct., Liberty Township, OH 45044; (513) 755-7009; kagc@fuse.net.