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Allowance for Credit Losses (Tables)
 6 Months Ended
Jun. 30, 2023
Financing Receivable, Allowance for Credit Loss [Line Items]  
Summary of Changes in Partnership's Allowance for Credit Losses

The following table summarizes the changes in the Partnership’s allowance for credit losses for the three and six months ended June 30, 2023:

 

 

For the Three Months Ended June 30, 2023

 

 

 

Governmental Issuer Loans

 

 

Taxable Governmental Issuer Loans

 

 

Property Loans

 

 

Unfunded Commitments

 

 

Total

 

Balance, beginning of period

 

 

2,080,000

 

 

 

89,000

 

 

 

2,450,000

 

 

 

1,280,000

 

 

 

5,899,000

 

Current provision for credit losses

 

 

(243,000

)

 

 

6,000

 

 

 

(215,000

)

 

 

(322,000

)

 

 

(774,000

)

Balance, end of period

 

$

1,837,000

 

 

$

95,000

 

 

$

2,235,000

 

 

$

958,000

 

 

$

5,125,000

 

 

 

 

For the Six Months Ended June 30, 2023

 

 

 

Governmental Issuer Loans

 

 

Taxable Governmental Issuer Loans

 

 

Property Loans

 

 

Unfunded Commitments

 

 

Total

 

Balance, beginning of period

 

 

-

 

 

 

-

 

 

$

495,000

 

 

 

-

 

 

 

495,000

 

Cumulative-effect adjustment upon adoption

 

$

2,145,000

 

 

$

79,000

 

 

 

2,108,000

 

 

$

1,617,000

 

 

$

5,949,000

 

Current provision for credit losses

 

 

(308,000

)

 

 

16,000

 

 

 

(368,000

)

 

 

(659,000

)

 

 

(1,319,000

)

Balance, end of period

 

$

1,837,000

 

 

$

95,000

 

 

$

2,235,000

 

 

$

958,000

 

 

$

5,125,000

 
Summary of Partnerships Carrying Value by Origination Year Grouped by Risk Rating

The following table summarizes the Partnership’s carrying value by origination year, grouped by risk rating as of June 30, 2023:

 

 

June 30, 2023

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Total

 

Governmental Issuer Loans

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

$

-

 

 

$

51,837,300

 

 

$

179,092,603

 

 

$

73,080,000

 

 

$

-

 

 

$

-

 

 

$

304,009,903

 

Watch

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Nonperforming

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Subtotal

 

 

-

 

 

 

51,837,300

 

 

 

179,092,603

 

 

 

73,080,000

 

 

 

-

 

 

 

-

 

 

 

304,009,903

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable Governmental Issuer Loans

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

$

-

 

 

$

3,000,000

 

 

$

10,573,000

 

 

$

-

 

 

$

-

 

 

$

-

 

 

$

13,573,000

 

Watch

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Nonperforming

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Subtotal

 

 

-

 

 

 

3,000,000

 

 

 

10,573,000

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

13,573,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Property Loans

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

$

-

 

 

$

48,782,305

 

 

$

64,462,943

 

 

$

30,944,420

 

 

 

-

 

 

$

453,594

 

 

$

144,643,262

 

Watch

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Nonperforming

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

$

495,000

 

 

 

-

 

 

 

495,000

 

Subtotal

 

 

-

 

 

 

48,782,305

 

 

 

64,462,943

 

 

 

30,944,420

 

 

 

495,000

 

 

 

453,594

 

 

 

145,138,262

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Unfunded Commitments

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

$

-

 

 

$

119,200,000

 

 

$

37,293,316

 

 

$

-

 

 

$

-

 

 

$

-

 

 

$

156,493,316

 

Watch

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Nonperforming

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Subtotal

 

 

-

 

 

 

119,200,000

 

 

 

37,293,316

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

156,493,316

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

-

 

 

$

222,819,605

 

 

$

291,421,862

 

 

$

104,024,420

 

 

$

495,000

 

 

$

453,594

 

 

$

619,214,481

 

 
MRB and taxable MRB investments [Member]  
Financing Receivable, Allowance for Credit Loss [Line Items]  
Summary of Changes in Partnership's Allowance for Credit Losses The following table summarizes the changes in the Partnership’s allowance for credit losses for the three and six months ended June 30, 2023 and 2022:

 

 

 

For the Three Months Ended June 30,

 

 

For the Six Months Ended June 30,

 

 

 

2023

 

 

2022

 

 

2023

 

 

2022

 

Balance, beginning of period

 

$

9,961,924

 

 

$

10,030,736

 

 

$

9,978,891

 

 

$

9,175,482

 

Other additions (1)

 

 

-

 

 

 

-

 

 

 

-

 

 

 

860,533

 

Recovery of prior credit loss (2)

 

 

(17,345

)

 

 

(17,344

)

 

 

(34,312

)

 

 

(22,623

)

Balance, end of period (3)

 

$

9,944,579

 

 

$

10,013,392

 

 

$

9,944,579

 

 

$

10,013,392

 
(1)
The other addition is related to a re-allocation of the loan loss allowance upon restructuring of the Live 929 Apartments MRBs and property loan.
(2)
The Partnership compared the present value of cash flows expected to be collected to the amortized cost basis of the Live 929 Apartments Series 2022A MRB, which indicated a recovery of value. As the recovery was identified prior to the effective date of the CECL standard, the Partnership will accrete the recovery of prior credit loss into investment income over the term of the MRB.
(3)
The allowance for credit losses as of June 30, 2023 and 2022 relate to the Provision Center 2014-1 MRB and the Live 929 Apartments – 2022A MRB.