Attached files
FORM 10-Q
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
(Mark One)
(X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934.
For the quarterly period ended December 31, 2010
or
( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from _______ to _______
Commission file number 0-19443
BOSTON CAPITAL TAX CREDIT FUND II L.P.
(Exact name of registrant as specified in its charter)
|
Delaware |
04-3066791 |
|
(State or other jurisdiction |
(I.R.S. Employer |
|
of incorporation or organization) |
Identification No.) |
One Boston Place, Suite 2100, Boston, Massachusetts 02108
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (617)624-8900
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
|
Yes ý |
No |
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).
|
Yes |
No |
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definition of "large accelerated filer," "accelerated filer," and "smaller reporting company" in Rule 12b-2 of the Exchange Act (check one):
|
Large accelerated filer |
Accelerated filer |
|
Non-accelerated filer |
Smaller reporting company ý |
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
|
Yes |
No ý |
BOSTON CAPITAL TAX CREDIT FUND II L.P.
QUARTERLY REPORT ON FORM 10-Q
FOR THE QUARTER ENDED December 31, 2010
TABLE OF CONTENTS
Part I. Financial information
Item 1. CONDENSED FINANCIAL STATEMENTS
FOR THE QUARTER ENDED DECEMBER 31,2010
CONDENSED Balance Sheets 4
Condensed Balance Sheets Series 07 5
Condensed Balance Sheets Series 09 6
Condensed Balance Sheets Series 10 7
Condensed Balance Sheets Series 11 8
Condensed Balance Sheets Series 12 9
Condensed Balance Sheets Series 14 10
CONDENSED Three MONTHS ENDED December 31 11
Condensed Statements of Operations Series 07 12
Condensed Statements of Operations Series 09 13
Condensed Statements of Operations Series 10 14
Condensed Statements of Operations Series 11 15
Condensed Statements of Operations Series 12 16
Condensed Statements of Operations Series 14 17
CONDENSED NINE MONTHS ENDED December 31 18
Condensed Statements of Operations Series 07 19
Condensed Statements of Operations Series 09 20
Condensed Statements of Operations Series 10 21
Condensed Statements of Operations Series 11 22
Condensed Statements of Operations Series 12 23
Condensed Statements of Operations Series 14 24
CONDENSED statementS OF Changes in Partners' Capital (Deficit) 25
Condensed Changes in Partners' Capital (Deficit) Series 07 26
Condensed Changes in Partners' Capital (Deficit) Series 09 26
Condensed Changes in Partners' Capital (Deficit) Series 10 27
Condensed Changes in Partners' Capital (Deficit) Series 11 27
Condensed Changes in Partners' Capital (Deficit) Series 12 28
Condensed Changes in Partners' Capital (Deficit) Series 14 28
CONDENSED Statements of Cash Flows 29
Condensed Statements of Cash Flows Series 07 30
Condensed Statements of Cash Flows Series 09 31
Condensed Statements of Cash Flows Series 10 32
Condensed Statements of Cash Flows Series 11 33
Condensed Statements of Cash Flows Series 12 34
Condensed Statements of Cash Flows Series 14 35
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED BALANCE SHEETS
|
|
December 31, (Unaudited) |
March 31, (Audited) |
||
|
ASSETS |
||||
|
Cash and cash equivalents |
$ 2,248,819 |
$ 1,418,207 |
||
|
Other assets |
3,300 |
5,100 |
||
|
$ 2,252,119 |
$ 1,423,307 |
|||
|
LIABILITIES |
||||
|
Accounts payable |
$ 108,217 |
$ 136,100 |
||
|
Accounts payable affiliates (Note C) |
21,740,045 |
21,764,225 |
||
|
Capital contributions payable (Note D) |
169,974 |
169,974 |
||
|
22,018,236 |
22,070,299 |
|||
|
PARTNERS' CAPITAL (DEFICIT) |
||||
|
Assignees |
||||
|
|
Units of limited partnership |
|
|
|
|
General Partner |
(1,578,597) |
(1,587,406) |
||
|
(19,766,117) |
(20,646,992) |
|||
|
$ 2,252,119 |
$ 1,423,307 |
|||
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED BALANCE SHEETS
Series 7
|
|
December 31, (Unaudited) |
March 31, (Audited) |
|
|
ASSETS |
|
|
|
|
Cash and cash equivalents |
$ - |
$ - |
|
|
Other assets |
- |
- |
|
|
|
$ - |
$ - |
|
|
LIABILITIES |
|||
|
Accounts payable |
$ - |
$ - |
|
|
Accounts payable affiliates (Note C) |
- |
- |
|
|
Capital contributions payable (Note D) |
- |
- |
|
|
- |
- |
||
|
PARTNERS' CAPITAL (DEFICIT) |
|||
|
Assignees |
|||
|
|
Units of limited partnership |
|
|
|
General Partner |
84,506 |
84,506 |
|
|
- |
- |
||
|
$ - |
$ - |
||
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED BALANCE SHEETS
Series 9
|
|
December 31, (Unaudited) |
March 31, (Audited) |
||
|
ASSETS |
|
|
||
|
Cash and cash equivalents |
$ 75,613 |
$ 115,148 |
||
|
Other assets |
- |
- |
||
|
$ 75,613 |
$ 115,148 |
|||
|
LIABILITIES |
||||
|
|
Accounts payable |
$ - |
$ - |
|
|
Accounts payable affiliates (Note C) |
6,539,985 |
6,386,247 |
||
|
|
Capital contributions payable (Note D) |
- |
- |
|
|
|
|
|||
|
PARTNERS' CAPITAL (DEFICIT) |
||||
|
Assignees |
||||
|
|
Units of limited partnership |
(6,064,890) |
(5,873,550) |
|
|
General Partner |
(399,482) |
(397,549) |
||
|
(6,464,372) |
(6,271,099) |
|||
|
$ 75,613 |
$ 115,148 |
|||
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED BALANCE SHEETS
Series 10
|
|
December 31, (Unaudited) |
March 31, (Audited) |
||
|
ASSETS |
|
|
||
|
Cash and cash equivalents |
$ 80,837 |
$ 186,720 |
||
|
Other assets |
- |
- |
||
|
$ 80,837 |
$ 186,720 |
|||
|
LIABILITIES |
||||
|
|
Accounts payable |
$ - |
$ 30,000 |
|
|
|
Accounts payable affiliates (Note C) |
2,236,393 |
2,163,727 |
|
|
|
Capital contributions payable (Note D) |
- |
- |
|
|
2,236,393 |
2,193,727 |
|||
|
PARTNERS' CAPITAL (DEFICIT) |
||||
|
Assignees |
||||
|
|
Units of limited partnership |
(1,939,088) |
(1,792,024) |
|
|
General Partner |
(216,468) |
(214,983) |
||
|
(2,155,556) |
(2,007,007) |
|||
|
$ 80,837 |
$ 186,720 |
|||
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED BALANCE SHEETS
Series 11
|
|
December 31, (Unaudited) |
March 31, (Audited) |
||
|
ASSETS |
|
|
||
|
|
Cash and cash equivalents |
$ 1,303,979 |
$ 603,898 |
|
|
Other assets |
- |
- |
||
|
$ 1,303,979 |
$ 603,898 |
|||
|
LIABILITIES |
||||
|
|
Accounts payable |
$ 85,617 |
$ 46,000 |
|
|
|
Accounts payable affiliates (Note C) |
1,900,464 |
2,436,423 |
|
|
|
Capital contributions payable (Note D) |
- |
- |
|
|
1,986,081 |
2,482,423 |
|||
|
PARTNERS' CAPITAL (DEFICIT) |
||||
|
Assignees |
||||
|
|
Units of limited partnership |
|
|
|
|
General Partner |
(221,506) |
(233,470) |
||
|
(682,102) |
(1,878,525) |
|||
|
$ 1,303,979 |
$ 603,898 |
|||
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED BALANCE SHEETS
Series 12
|
|
December 31, (Unaudited) |
March 31, (Audited) |
||
|
ASSETS |
|
|
||
|
|
Cash and cash equivalents |
$ 453,228 |
$ 120,857 |
|
|
Other assets |
- |
- |
||
|
|
$ 453,228 |
$ 120,857 |
||
|
LIABILITIES |
||||
|
Accounts payable |
$ 22,500 |
$ 7,500 |
||
|
Accounts payable affiliates (Note C) |
4,021,125 |
3,915,374 |
||
|
Capital contributions payable (Note D) |
9,241 |
9,241 |
||
|
4,052,866 |
3,932,115 |
|||
|
PARTNERS' CAPITAL (DEFICIT) |
||||
|
Assignees |
||||
|
|
Units of limited partnership |
|
|
|
|
General Partner |
(287,127) |
(289,243) |
||
|
(3,599,638) |
(3,811,258) |
|||
|
$ 453,228 |
$ 120,857 |
|||
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED BALANCE SHEETS
Series 14
|
|
December 31, (Unaudited) |
March 31, (Audited) |
||
|
ASSETS |
|
|
||
|
|
Cash and cash equivalents |
$ 335,162 |
$ 391,584 |
|
|
Other assets |
3,300 |
5,100 |
||
|
$ 338,462 |
$ 396,684 |
|||
|
|
|
|||
|
LIABILITIES |
|
|
||
|
|
Accounts payable |
$ 100 |
$ 52,600 |
|
|
|
Accounts payable affiliates (Note C) |
7,042,078 |
6,862,454 |
|
|
Capital contributions payable (Note D) |
160,733 |
160,733 |
||
|
7,202,911 |
7,075,787 |
|||
|
|
|
|
||
|
PARTNERS' CAPITAL (DEFICIT) |
|
|
||
|
|
|
|
||
|
Assignees |
|
|
||
|
|
Units of limited partnership |
|
|
|
|
General Partner |
(538,520) |
(536,667) |
||
|
(6,864,449) |
(6,679,103) |
|||
|
$ 338,462 |
$ 396,684 |
|||
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 3,856 |
$ 865 |
|
Other income |
52 |
6 |
|
|
|
3,908 |
871 |
|
|
Share of income from Operating |
|
1,914,084 |
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
|
|
|
|
Professional Fees |
52,242 |
20,225 |
|
|
Partnership management fee (Note C) |
184,928 |
226,658 |
|
|
General and administrative expenses |
39,325 |
38,096 |
|
|
|
|
|
|
|
NET INCOME(LOSS) |
$ 82,502 |
$ 1,629,976 |
|
|
Net income(loss) allocated to assignees |
$ 81,677 |
$ 1,613,677 |
|
|
|
Net income(loss) allocated to general partner |
$ 825 |
$ 16,299 |
|
Net income(loss) per BAC |
$ .00 |
$ .09 |
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 7
|
|
|
||
|
|
|
|
|
|
Income |
|||
|
Interest income |
$ - |
$ 17 |
|
|
|
Other income |
- |
- |
|
- |
17 |
||
|
Share of income from Operating |
|
|
|
|
Expenses |
|||
|
|
|||
|
Professional Fees |
- |
912 |
|
|
Partnership management fee (Note C) |
- |
- |
|
|
|
General and administrative expenses |
- |
2,595 |
|
|
|
|
|
|
NET INCOME(LOSS) |
$ - |
$( 3,490) |
|
|
Net income(loss) allocated to assignees |
$ - |
$( 3,455) |
|
|
|
Net income(loss) allocated to general partner |
$ - |
$ (35) |
|
Net income(loss) per BAC |
$ - |
$ (.00) |
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 9
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 141 |
$ 87 |
|
|
Other income |
- |
- |
|
|
141 |
87 |
|
|
Share of income from Operating |
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
|
|
|
|
Professional Fees |
9,856 |
3,826 |
|
|
Partnership management fee (Note C) |
51,246 |
55,098 |
|
|
General and administrative expenses |
8,289 |
6,839 |
|
|
|
|
|
|
|
NET INCOME(LOSS) |
$ (69,250) |
$ (65,676) |
|
|
|
|
|
|
|
Net income(loss) allocated to assignees |
$ (68,558) |
$ (65,019) |
|
|
|
Net income(loss) allocated to general partner |
$ (692) |
$ (657) |
|
Net income(loss) per BAC |
$ (.02) |
$ (.02) |
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 10
|
|
|
||
|
Income |
|||
|
|
Interest income |
$ 137 |
$ 282 |
|
Other income |
- |
- |
|
|
137 |
282 |
||
|
Share of income from Operating |
|
823,846 |
|
|
Expenses |
|||
|
|
|||
|
Professional Fees |
9,817 |
3,871 |
|
|
Partnership management fee (Note C) |
15,472 |
23,561 |
|
|
General and administrative expenses |
5,721 |
5,107 |
|
|
|
|
|
|
|
NET INCOME(LOSS) |
$ (30,873) |
$ 791,589 |
|
|
Net income(loss) allocated to assignees |
$ (30,564) |
$ 783,673 |
|
|
|
Net income(loss) allocated to general partner |
$ (309) |
$ 7,916 |
|
Net income(loss) per BAC |
$ (.01) |
$ .32 |
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 11
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 2,419 |
$ 101 |
|
|
Other income |
6 |
6 |
|
|
2,425 |
107 |
|
|
Share of income from Operating |
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
|
|
|
|
Professional Fees |
10,272 |
3,453 |
|
|
Partnership management fee (Note C) |
24,896 |
32,461 |
|
|
General and administrative expenses |
5,636 |
5,074 |
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME(LOSS) |
$ (12,397) |
$ 21,714 |
|
|
|
|
|
|
|
|
Net income(loss) allocated to assignees |
$ (12,273) |
$ 21,497 |
|
|
|
|
|
|
Net income(loss) allocated to general partner |
$ (124) |
$ 217 |
|
|
|
|
|
|
|
Net income(loss) per BAC |
$ (.00) |
$ .01 |
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 12
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 568 |
$ 85 |
|
|
Other income |
- |
- |
|
|
568 |
85 |
|
|
Share of income from Operating |
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
|
|
|
|
Professional Fees |
11,925 |
3,461 |
|
|
Partnership management fee (Note C) |
25,207 |
37,542 |
|
|
General and administrative expenses |
7,049 |
6,288 |
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME(LOSS) |
|
|
|
|
|
|
|
|
|
Net income(loss) allocated to assignees |
$ 282,639 |
$ (46,734) |
|
|
|
Net income(loss) allocated to general partner |
$ 2,855 |
$ (472) |
|
Net income(loss) per BAC |
$ .10 |
$ (.02) |
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 14
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 591 |
$ 293 |
|
|
Other income |
46 |
- |
|
|
|
|
|
|
Share of income from Operating |
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
|||
|
Professional Fees |
10,372 |
4,702 |
|
|
Partnership management fee (Note C) |
68,107 |
77,996 |
|
|
|
General and administrative expenses |
12,630 |
12,193 |
|
|
|
|
|
|
|
|
|
|
|
NET INCOME(LOSS) |
$ (90,472) |
$ 933,045 |
|
|
|
|
|
|
|
Net income(loss) allocated to assignees |
$ (89,567) |
$ 923,715 |
|
|
|
Net income(loss) allocated to general partner |
$ (905) |
$ 9,330 |
|
Net income(loss) per BAC |
$ (.02) |
$ .17 |
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 10,534 |
$ 2,923 |
|
Other income |
70,946 |
136,220 |
|
|
|
81,480 |
139,143 |
|
|
Share of income from Operating |
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
|
|
|
|
Professional Fees |
189,313 |
177,237 |
|
|
Partnership management fee (Note C) |
484,514 |
690,743 |
|
|
General and administrative expenses |
79,111 |
102,736 |
|
|
|
|
|
|
|
NET INCOME (LOSS) |
$ 955,423 |
$ 1,196,157 |
|
|
Net income(loss) allocated to assignees |
$ 945,869 |
$ 1,184,196 |
|
|
Net income(loss) allocated general partner |
$ 9,554 |
$ 11,961 |
|
|
Net income(loss) per BAC |
$ .05 |
$ .06 |
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 7
|
|
|
||
|
|
|
|
|
|
Income |
|||
|
Interest income |
$ - |
$ 110 |
|
|
|
Other income |
- |
- |
|
- |
110 |
||
|
Share of income from Operating |
|
|
|
|
Expenses |
|||
|
|
|||
|
Professional Fees |
- |
9,964 |
|
|
Partnership management fee (Note C) |
- |
- |
|
|
|
General and administrative expenses |
- |
8,061 |
|
|
|
|
|
|
NET INCOME (LOSS) |
$ - |
$(17,915) |
|
|
Net income(loss) allocated to assignees |
$ - |
$(17,736) |
|
|
Net income(loss) allocated general partner |
$ - |
$ (179) |
|
|
Net income(loss) per BAC |
$ - |
$ (.02) |
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 9
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 583 |
$ 415 |
|
|
Other income |
1,367 |
2,418 |
|
|
1,950 |
2,833 |
|
|
Share of income from Operating |
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
|
|
|
|
Professional Fees |
35,202 |
29,112 |
|
|
Partnership management fee (Note C) |
143,918 |
150,572 |
|
|
General and administrative expenses |
16,103 |
18,053 |
|
|
|
|
|
|
|
NET INCOME (LOSS) |
$ (193,273) |
$ (173,154) |
|
|
|
|
|
|
|
Net income(loss) allocated to assignees |
$ (191,340) |
$ (171,422) |
|
|
Net income(loss) allocated general partner |
$ (1,933) |
$ (1,732) |
|
|
Net income(loss) per BAC |
$ (.05) |
$ (.04) |
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 10
|
|
|
||
|
Income |
|||
|
|
Interest income |
$ 632 |
$ 532 |
|
Other income |
11,181 |
77,595 |
|
|
11,813 |
78,127 |
||
|
Share of income from Operating |
|
|
|
|
Expenses |
|||
|
|
|||
|
Professional Fees |
28,110 |
24,049 |
|
|
Partnership management fee (Note C) |
51,974 |
57,182 |
|
|
General and administrative expenses |
12,006 |
14,205 |
|
|
|
|
|
|
|
NET INCOME (LOSS) |
$ (74,001) |
$ 839,730 |
|
|
Net income(loss) allocated to assignees |
$ (73,261) |
$ 831,333 |
|
|
Net income(loss) allocated general partner |
$ (740) |
$ 8,397 |
|
|
Net income(loss) per BAC |
$ (.03) |
$ .34 |
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 11
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 5,976 |
$ 475 |
|
|
Other income |
12,387 |
10,536 |
|
|
18,363 |
11,011 |
|
|
Share of income from Operating |
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
|
|
|
|
Professional Fees |
29,781 |
26,301 |
|
|
Partnership management fee (Note C) |
(1,727) |
117,896 |
|
|
General and administrative expenses |
11,522 |
13,751 |
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME (LOSS) |
$1,196,423 |
$ (84,342) |
|
|
|
|
|
|
|
Net income(loss) allocated to assignees |
$1,184,459 |
$ (83,499) |
|
|
|
|
|
|
|
Net income(loss) allocated general partner |
$ 11,964 |
$ (843) |
|
|
|
|
|
|
|
Net income(loss) per BAC |
$ .48 |
$ (.03) |
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 12
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 1,111 |
$ 345 |
|
|
Other income |
11,914 |
15,329 |
|
|
13,025 |
15,674 |
|
|
Share of income from Operating |
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
|
|
|
|
Professional Fees |
41,036 |
31,696 |
|
|
Partnership management fee (Note C) |
75,264 |
94,623 |
|
|
General and administrative expenses |
14,212 |
17,038 |
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME (LOSS) |
|
|
|
|
|
|
|
|
|
Net income(loss) allocated to assignees |
$ 209,504 |
$(126,406) |
|
|
Net income(loss) allocated general partner |
$ 2,116 |
$ (1,277) |
|
|
Net income(loss) per BAC |
$ .07 |
$ (.04) |
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 14
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 2,232 |
$ 1,046 |
|
|
Other income |
34,097 |
30,342 |
|
|
|
|
|
|
Share of income from Operating |
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
|||
|
Professional Fees |
55,184 |
56,115 |
|
|
Partnership management fee (Note C) |
215,085 |
270,470 |
|
|
|
General and administrative expenses |
25,268 |
31,628 |
|
|
|
|
|
|
|
|
|
|
|
NET INCOME (LOSS) |
$(185,346) |
$ 759,521 |
|
|
|
|
|
|
|
Net income(loss) allocated to assignees |
$(183,493) |
$ 751,926 |
|
|
Net income(loss) allocated general partner |
$ (1,853) |
$ 7,595 |
|
|
Net income(loss) per BAC |
$ (.03) |
$ .13 |
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)
Nine Months Ended December 31,
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
(73,803) |
(745) |
(74,548) |
|
|
|
|
|
|
Net income(loss) |
945,869 |
9,554 |
955,423 |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)
Nine Months Ended December 31,
(Unaudited)
|
|
|
General |
Total |
|
Series 7 |
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
- |
- |
- |
|
|
|
|
|
|
Net income(loss) |
- |
- |
- |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Series 9 |
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
- |
- |
- |
|
|
|
|
|
|
Net income(loss) |
(191,340) |
(1,933) |
(193,273) |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of these condensed statements
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)
Nine Months Ended December 31,
(Unaudited)
|
|
|
General |
Total |
|
Series 10 |
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
(73,803) |
(745) |
(74,548) |
|
|
|
|
|
|
Net income(loss) |
(73,261) |
(740) |
(74,001) |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Series 11 |
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
- |
- |
- |
|
|
|
|
|
|
Net income(loss) |
1,184,459 |
11,964 |
1,196,423 |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of these condensed statements
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)
Nine Months Ended December 31,
(Unaudited)
|
|
|
General |
Total |
|
Series 12 |
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
- |
- |
- |
|
|
|
|
|
|
Net income(loss) |
209,504 |
2,116 |
211,620 |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Series 14 |
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
- |
- |
- |
|
|
|
|
|
|
Net income(loss) |
(183,493) |
(1,853) |
(185,346) |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of these condensed statements
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
|
|
2010 |
2009 |
||
|
Cash flows from operating activities: |
|
|
||
|
|
|
|
||
|
Net Income(loss) |
$ 955,423 |
$ 1,196,157 |
||
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
||
|
Share of Income from Operating |
|
(2,027,730) |
||
|
Changes in assets and liabilities |
|
|
||
|
(Decrease) Increase in accounts |
(27,883) |
|
||
|
Decrease (Increase) in other assets |
1,800 |
(17,325) |
||
|
(Decrease) Increase in accounts |
|
|
||
|
|
|
|
||
|
Net cash (used in) provided by |
|
|
||
|
|
|
|
||
|
Cash flows from investing activities: |
|
|
||
|
|
|
|
||
|
Capital contributions paid to |
- |
(23) |
||
|
Proceeds from the disposition of Operating Partnerships |
|
|
||
|
|
|
|
||
|
Net cash (used in) provided by |
|
|
||
|
|
|
|
||
|
Cash flows from financing activity: |
|
|
||
|
|
|
|
||
|
Distributions |
(74,548) |
- |
||
|
|
|
|
||
|
Net cash (used in) provided by |
|
|
||
|
|
|
|
||
|
INCREASE (DECREASE) IN CASH AND |
830,612 |
138,930 |
||
|
|
|
|
||
|
Cash and cash equivalents, beginning |
1,418,207 |
1,228,984 |
||
|
|
|
|
||
|
Cash and cash equivalents, ending |
$ 2,248,819 |
$ 1,367,914 |
||
|
|
|
|
||
|
Supplemental schedule of noncash investing and financing activities: |
|
|
||
|
|
|
|
||
|
T he Partnership has applied accounts payable as a general partner capital contribution. |
$ - |
$ 173,840 |
||
|
|
|
|
||
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
Series 7
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income(loss) |
$ - |
$ (17,915) |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating |
|
|
|
Changes in assets and liabilities |
|
|
|
(Decrease) Increase in accounts |
|
|
|
Decrease (Increase) in other assets |
- |
- |
|
(Decrease) Increase in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
(59,368) |
|
|
|
|
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
Proceeds from the disposition of Operating Partnerships |
- |
- |
|
|
|
|
|
Net cash (used in) provided by |
- |
- |
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
- |
- |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND |
- |
(59,368) |
|
|
|
|
|
Cash and cash equivalents, beginning |
- |
59,368 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ - |
$ - |
|
|
|
|
|
Supplemental schedule of noncash investing and financing activities: |
|
|
|
|
|
|
|
T he Partnership has applied accounts payable as a general partner capital contribution. |
$ - |
$ 173,840 |
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
Series 9
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income(loss) |
$ (193,273) |
$ (173,154) |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating |
|
|
|
Changes in assets and liabilities |
|
|
|
(Decrease) Increase in accounts |
|
- |
|
Decrease (Increase) in other assets |
- |
- |
|
(Decrease) Increase in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
Proceeds from the disposition of Operating Partnerships |
- |
21,750 |
|
|
|
|
|
Net cash (used in) provided by |
- |
21,750 |
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
- |
- |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND |
|
|
|
|
|
|
|
Cash and cash equivalents, beginning |
115,148 |
212,194 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ 75,613 |
$ 126,584 |
|
|
|
|
|
Supplemental schedule of noncash investing and financing activities: |
|
|
|
|
|
|
|
T he Partnership has applied accounts payable as a general partner capital contribution. |
$ - |
$ - |
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
Series 10
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income(loss) |
$ (74,001) |
$ 839,730 |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating |
|
|
|
Changes in assets and liabilities |
|
|
|
(Decrease) Increase in accounts |
(30,000) |
30,000 |
|
Decrease (Increase) in other assets |
- |
- |
|
(Decrease) Increase in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
Proceeds from the disposition of Operating Partnerships |
6,276 |
857,039 |
|
|
|
|
|
Net cash (used in) provided by |
6,276 |
857,039 |
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
(74,548) |
- |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND |
(105,883) |
72,994 |
|
|
|
|
|
Cash and cash equivalents, beginning |
186,720 |
120,636 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ 80,837 |
$ 193,630 |
|
|
|
|
|
Supplemental schedule of noncash investing and financing activities: |
|
|
|
|
|
|
|
T he Partnership has applied accounts payable as a general partner capital contribution. |
$ - |
$ - |
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
Series 11
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income(loss) |
$ 1,196,423 |
$ (84,342) |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating |
(1,217,636) |
|
|
Changes in assets and liabilities |
|
|
|
(Decrease) Increase in accounts |
39,617 |
- |
|
Decrease (Increase) in other assets |
- |
(14,025) |
|
(Decrease) Increase in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
|
|
|
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
Proceeds from the disposition of Operating Partnerships |
|
- |
|
|
|
|
|
Net cash (used in) provided by |
|
- |
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
- |
- |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND |
|
|
|
|
|
|
|
Cash and cash equivalents, beginning |
603,898 |
246,366 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ 1,303,979 |
$ 151,402 |
|
|
|
|
|
Supplemental schedule of noncash investing and financing activities: |
|
|
|
|
|
|
|
T he Partnership has applied accounts payable as a general partner capital contribution. |
$ - |
$ - |
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
Series 12
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income(loss) |
$ 211,620 |
$ (127,683) |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating |
(329,107) |
- |
|
Changes in assets and liabilities |
|
|
|
(Decrease) Increase in accounts |
15,000 |
- |
|
Decrease (Increase) in other assets |
- |
- |
|
(Decrease) Increase in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
Proceeds from the disposition of Operating Partnerships |
329,107 |
- |
|
|
|
|
|
Net cash (used in) provided by |
329,107 |
- |
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
- |
- |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND |
332,371 |
(15,057) |
|
|
|
|
|
Cash and cash equivalents, beginning |
120,857 |
144,823 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ 453,228 |
$ 129,766 |
|
|
|
|
|
Supplemental schedule of noncash investing and financing activities: |
|
|
|
|
|
|
|
T he Partnership has applied accounts payable as a general partner capital contribution. |
$ - |
$ - |
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
Series 14
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income(loss) |
$ (185,346) |
$ 759,521 |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating |
(73,862) |
(1,086,346) |
|
Changes in assets and liabilities |
|
|
|
(Decrease) Increase in accounts |
(52,500) |
62,600 |
|
Decrease (Increase) in other assets |
1,800 |
(3,300) |
|
(Decrease) Increase in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
Capital contributions paid to |
- |
(23) |
|
Proceeds from the disposition of Operating Partnerships |
73,862 |
|
|
|
|
|
|
Net cash (used in) provided by |
73,862 |
|
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
- |
- |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND |
(56,422) |
320,935 |
|
|
|
|
|
Cash and cash equivalents, beginning |
391,584 |
445,597 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ 335,162 |
$ 766,532 |
|
|
|
|
|
Supplemental schedule of noncash investing and financing activities: |
|
|
|
|
|
|
|
T he Partnership has applied accounts payable as a general partner capital contribution. |
$ - |
$ - |
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS
December 31, 2010
(Unaudited)
Boston Capital Tax Credit Fund II Limited Partnership (the "Partnership") was
formed under the laws of the State of Delaware as of September 28, 1989, for the purpose of acquiring, holding, and disposing of limited partnership interests in operating partnerships which will acquire, develop, rehabilitate, operate and own newly constructed, existing or rehabilitated low-income apartment complexes ("Operating Partnerships"). Effective as of June 1, 2001 there was a restructuring, and as a result, the Partnership's general partner was reorganized as follows. The general partner of the Partnership continues to be Boston Capital Associates II Limited Partnership, a Delaware limited partnership. The general partner of the general partner is BCA Associates Limited Partnership, a Massachusetts limited partnership, whose sole general partner is C&M Management, Inc., a Massachusetts corporation and whose limited partners are Herbert F. Collins and John P. Manning. Mr. Manning is the principal of Boston Capital Partners, Inc. The limited partner of the general partner is Capital Investment Holdings, a general partnership whose partners are certain officers and employees of Boston Capital Partners, Inc. and its affiliates. The assignor limited partner is BCTC II Assignor Corp., a Delaware corporation which is now wholly-owned by John P. Manning.
Pursuant to the Securities Act of 1933, the Partnership filed a Form S-11
Registration Statement with the Securities and Exchange Commission, effective
October 25, 1989, which covered the offering (the "Public Offering") of the
Partnership's beneficial assignee certificates ("BACs") representing
assignments of units of the beneficial interest of the limited partnership
interest of the assignor limited partner. The Partnership registered
20,000,000 BACs at $10 per BAC for sale to the public in six series. The
Partnership sold 1,036,100 of Series 7 BACs, 4,178,029 of Series 9 BACs,
2,428,925 of Series 10 BACs, 2,489,599 of Series 11 BACs, 2,972,795 of Series
12 BACs, and 5,574,290 of Series 14 BACs. As of December 31, 2010 1,036,100 BACs in Series 7, 4,177,329 BACs in Series 9, 2,427,925 BACs in Series 10, 2,489,599 BACs in Series 11, 2,972,795 BACs in Series 12, and 5,574,290 BACs in Series 14 are outstanding. The Partnership issued the last BACs in Series 14 on January 27, 1992. This concluded the Public Offering of the Partnership.
NOTE B - ACCOUNTING AND FINANCIAL REPORTING POLICIES
The condensed financial statements included herein as of December 31, 2010 and for the nine months then ended have been prepared by the Partnership, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. No BACs with respect to Series 8 and Series 13 were offered. The Partnership accounts for its investments in Operating Partnerships using the equity method, whereby the Partnership adjusts its investment cost for its share of each Operating Partnership's results of operations and for any distributions received or accrued.
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE - B ACCOUNTING AND FINANCIAL REPORTING POLICIES - CONTINUED
Costs incurred by the Partnership in acquiring the investments in Operating Partnerships were capitalized to the investment account. The Partnership's accounting and financial reporting policies are in conformity with generally accepted accounting principles and include adjustments in interim periods considered necessary for a fair presentation of the results of operations. Such adjustments are of a normal recurring nature. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. It is suggested that these condensed financial statements be read in conjunction with the financial statements and the notes thereto included in the Partnership's Annual Report on Form 10-K.
NOTE C - RELATED PARTY TRANSACTIONS
The Partnership has entered into several transactions with various affiliates of the general partner, including Boston Capital Holdings, L.P. and Boston Capital Asset Management Limited Partnership, or BCAMLP, as follows:
Accounts payable - affiliates at December 31, 2010 and 2009 represents
accrued general and administrative expenses, accrued partnership management fees, and advances from an affiliate of the general partner, which are payable to Boston Capital Holdings, L.P. and Boston Capital Asset Management Limited
Partnership.
An annual partnership management fee based on .5 percent of the aggregate
cost of all apartment complexes owned by the Operating Partnerships has been
accrued to Boston Capital Asset Management Limited Partnership. Since reporting fees collected by the series were added to reserves and not paid to Boston Capital Asset Management Limited Partnership, the amounts accrued are not net of reporting fees received.
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE C - RELATED PARTY TRANSACTIONS (continued)
The partnership management fee accrued for the quarters ended December 31, 2010 and 2009 are as follows:
|
|
2010 |
2009 |
|
$ - |
$ - |
|
|
Series 9 |
51,246 |
55,848 |
|
Series 10 |
24,222 |
25,416 |
|
Series 11 |
29,658 |
48,666 |
|
Series 12 |
34,207 |
37,542 |
|
Series 14 |
91,428 |
112,071 |
|
|
|
|
|
|
$ 230,761 |
$ 279,543 |
The partnership management fee paid for the quarters ended December 31, 2010 and 2009 are as follows:
|
|
2010 |
2009 |
|
Series 7 |
$ - |
$ - |
|
Series 9 |
- |
30,000 |
|
Series 10 |
- |
880,000 |
|
Series 11 |
287,500 |
30,000 |
|
Series 12 |
- |
- |
|
Series 14 |
- |
800,000 |
|
|
|
|
|
|
$ 287,500 |
$ 1,740,000 |
The partnership management fee paid for the nine months ended December 31, 2010 and 2009 are as follows:
|
|
2010 |
2009 |
|
Series 7 |
$ - |
$ - |
|
Series 9 |
- |
80,000 |
|
Series 10 |
- |
880,000 |
|
Series 11 |
637,500 |
80,000 |
|
Series 12 |
- |
- |
|
Series 14 |
100,000 |
850,000 |
|
|
|
|
|
|
$ 737,500 |
$ 1,890,000 |
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS
At December 31, 2010 and 2009 the Partnership had limited partnership interests in 132 and 140 Operating Partnerships, respectively, which own apartment complexes. The number of Operating Partnerships in which the Partnership had limited partnership interests at December 31, 2010 and 2009 by series is as follows:
|
|
2010 |
2009 |
|
- |
- |
|
|
Series 9 |
24 |
24 |
|
Series 10 |
16 |
16 |
|
Series 11 |
16 |
19 |
|
Series 12 |
24 |
26 |
|
Series 14 |
52 |
55 |
|
|
|
|
|
|
132 |
140 |
|
|
|
|
Under the terms of the Partnership's investment in each Operating Partnership, the Partnership is required to make capital contributions to the Operating Partnerships. These contributions are payable in installments over several years upon each Operating Partnership achieving specified levels of construction and/or operations.
The contributions payable at December 31, 2010 and 2009 by series are as
follows:
|
|
2010 |
2009 |
|
Series 7 |
$ - |
$ - |
|
Series 9 |
- |
- |
|
Series 10 |
- |
- |
|
Series 11 |
- |
- |
|
Series 12 |
9,241 |
9,241 |
|
Series 14 |
160,733 |
160,733 |
|
|
|
|
|
|
$169,974 |
$169,974 |
|
|
|
|
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS - Continued
During the nine months ended December 31, 2010 the Partnership disposed of four Operating Partnerships and received additional proceeds from three Operating Partnerships disposed of in the prior year. A summary of the dispositions by Series for December 31, 2010 is as follows:
|
|
Operating Partnership Interest Transferred |
|
Sale of Underlying Operating Partnership |
|
Partnership Proceeds from Disposition |
|
Gain/(Loss) on Disposition |
||
|
Series 7 |
- |
|
- |
|
$ |
- |
|
$ |
- |
|
Series 9 |
- |
|
- |
|
|
- |
|
|
- |
|
Series 10 |
- |
|
- |
|
|
6,276 |
|
|
6,276 |
|
Series 11 |
- |
|
1 |
|
|
1,217,636 |
|
|
1,217,636 |
|
Series 12 |
- |
|
2 |
|
|
329,107 |
|
|
329,107 |
|
Series 14 |
- |
|
1 |
|
|
73,862 |
|
|
73,862 |
|
Total |
- |
|
4 |
|
$ |
1,626,881 |
|
$ |
1,626,881 |
During the nine months ended December 31, 2009 the Partnership disposed of thirteen of the Operating Partnerships. A summary of the dispositions by Series for December 31, 2009 is as follows:
|
|
Operating Partnership Interest Transferred |
|
Sale of Underlying Operating Partnership |
|
Partnership Proceeds from Disposition* |
|
Gain/(Loss) on Disposition |
||
|
Series 7 |
- |
|
- |
|
$ |
- |
|
$ |
- |
|
Series 9 |
2 |
|
- |
|
|
21,750 |
|
|
21,750 |
|
Series 10 |
2 |
|
- |
|
|
857,039 |
|
|
857,039 |
|
Series 11 |
1 |
|
- |
|
|
- |
|
|
62,595 |
|
Series 12 |
- |
|
- |
|
|
- |
|
|
- |
|
Series 14 |
8 |
|
- |
|
|
1,086,346 |
|
|
1,086,346 |
|
Total |
13 |
|
- |
|
$ |
1,965,135 |
|
$ |
2,027,730 |
* Partnership proceeds from disposition do not include the following amounts recorded as receivable at December 31, 2009, $62,595 for Series 11.
The gain (loss) described above is for financial statement purposes only. There are significant differences between the equity method of accounting and the tax reporting of income and losses from Operating Partnership investments. The largest difference is the ability, for tax purposes, to deduct losses in excess of the Partnership's investment in the Operating Partnership. As such, the amount of gain recognized for tax purposes may be significantly higher than the gain recorded in the financial statements.
The Partnership's fiscal year ends March 31 of each year, while all the Operating Partnerships' fiscal years are the calendar year. Pursuant to the provisions of each Operating Partnership agreement, financial results for each of the Operating Partnerships are provided to the Partnership within 45 days after the close of each Operating Partnership's quarterly period. Accordingly, the current financial results available for the Operating Partnerships are for the nine months ended September 30, 2010.
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)
|
|
2010 |
2009 |
|
|
|
|
|
|
|
Revenues |
|
|
|
|
|
Rental |
$ 18,641,068 |
$ 21,538,079 |
|
|
Interest and other |
485,629 |
552,443 |
|
|
19,126,697 |
22,090,522 |
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Interest |
3,064,645 |
3,664,862 |
|
|
Depreciation and amortization |
4,587,381 |
5,549,267 |
|
Operating expenses |
13,611,590 |
15,561,683 |
|
|
|
21,263,616 |
24,775,812 |
|
|
|
|
|
|
|
NET LOSS |
$(2,136,919) |
$(2,685,290) |
|
|
|
|
|
|
|
|
Net loss allocated to Boston Capital Tax Credit Fund II Limited Partnership* |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other partners |
$ (21,369) |
$ (26,853) |
|
|
|
|
|
*Amounts include $2,115,550 and $2,658,437 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of
accounting. Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued. However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions. Excess losses are suspended for use in future years to
offset excess income.
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)
Series 7
|
|
2010 |
2009 |
|
|
|
|
|
|
|
Revenues |
|
|
|
|
|
Rental |
$ - |
$ - |
|
|
Interest and other |
- |
- |
|
|
- |
- |
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Interest |
- |
- |
|
|
Depreciation and amortization |
- |
- |
|
Operating expenses |
- |
- |
|
|
|
- |
- |
|
|
|
|
|
|
|
NET LOSS |
$ - |
$ - |
|
|
|
|
|
|
|
|
Net loss allocated to Boston Capital Tax Credit Fund II Limited Partnership* |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other partners |
$ - |
$ - |
|
|
|
|
|
*Amounts include $0 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of
accounting. Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued. However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions. Excess losses are suspended for use in future years to
offset excess income.
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)
Series 9
|
|
2010 |
2009 |
|
|
|
|
|
|
|
Revenues |
|
|
|
|
|
Rental |
$ 3,592,324 |
$ 3,851,474 |
|
|
Interest and other |
90,543 |
99,136 |
|
|
3,682,867 |
3,950,610 |
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Interest |
590,226 |
692,304 |
|
|
Depreciation and amortization |
965,971 |
967,450 |
|
|
Operating expenses |
2,765,085 |
2,839,002 |
|
|
4,321,282 |
4,498,756 |
|
|
|
|
|
|
|
NET LOSS |
$ (638,415) |
$ (548,146) |
|
|
|
|
|
|
|
|
Net loss allocated to Boston Capital Tax Credit Fund II Limited Partnership* |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other partners |
$ (6,384) |
$ (5,481) |
|
|
|
|
|
*Amounts include $632,031 and $542,665 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of
accounting. Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued. However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions. Excess losses are suspended for use in future years to
offset excess income.
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)
|
|
2010 |
2009 |
|
|
|
|
|
|
|
Revenues |
|
|
|
|
|
Rental |
$ 1,852,861 |
$ 2,026,988 |
|
|
Interest and other |
37,721 |
43,447 |
|
|
1,890,582 |
2,070,435 |
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Interest |
279,700 |
329,550 |
|
|
Depreciation and amortization |
460,673 |
539,320 |
|
|
Operating expenses |
1,470,711 |
1,575,389 |
|
|
2,211,084 |
2,444,259 |
|
|
|
|
|
|
|
NET LOSS |
$ (320,502) |
$ (373,824) |
|
|
|
|
|
|
|
|
Net loss allocated to Boston Capital Tax Credit Fund II Limited Partnership* |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other partners |
$ (3,205) |
$ (3,738) |
|
|
|
|
|
*Amounts include $317,297 and $370,086 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of
accounting. Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued. However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions. Excess losses are suspended for use in future years to
offset excess income.
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)
|
|
2010 |
2009 |
|
|
|
|
|
|
|
Revenues |
|
|
|
|
Rental |
$ 2,821,874 |
$ 3,755,902 |
|
|
|
Interest and other |
53,609 |
133,462 |
|
|
2,875,483 |
3,889,364 |
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Interest |
451,937 |
606,922 |
|
|
Depreciation and amortization |
706,938 |
1,090,614 |
|
|
Operating expenses |
1,828,672 |
2,389,606 |
|
|
2,987,547 |
4,087,142 |
|
|
|
|
|
|
|
NET LOSS |
$ (112,064) |
$ (197,778) |
|
|
|
|
|
|
|
|
Net loss allocated to Boston Capital Tax Credit Fund II Limited Partnership* |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other partners |
$ (1,121) |
$ (1,978) |
|
|
|
|
|
*Amounts include $110,943 and $195,800 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of
accounting. Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued. However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions. Excess losses are suspended for use in future years to
offset excess income.
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)
|
|
2010 |
2009 |
|
|
|
|
|
|
|
Revenues |
|
|
|
|
|
Rental |
$ 2,713,415 |
$ 2,879,981 |
|
|
Interest and other |
135,077 |
55,141 |
|
|
2,848,492 |
2,935,122 |
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Interest |
471,008 |
446,924 |
|
|
Depreciation and amortization |
602,820 |
681,758 |
|
|
Operating expenses |
1,914,688 |
2,059,904 |
|
|
2,988,516 |
3,188,586 |
|
|
|
|
|
|
|
NET LOSS |
$ (140,024) |
$ (253,464) |
|
|
|
|
|
|
|
|
Net loss allocated to Boston Capital Tax Credit Fund II Limited Partnership* |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other partners |
$ (1,400) |
$ (2,535) |
|
|
|
|
|
*Amounts include $138,624 and $250,929 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of
accounting. Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued. However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions. Excess losses are suspended for use in future years to
offset excess income.
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)
|
|
2010 |
2009 |
|
|
|
|
|
|
|
Revenues |
|
|
|
|
|
Rental |
$ 7,660,594 |
$ 9,023,734 |
|
|
Interest and other |
168,679 |
221,257 |
|
|
7,829,273 |
9,244,991 |
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Interest |
1,271,774 |
1,589,162 |
|
|
Depreciation and amortization |
1,850,979 |
2,270,125 |
|
|
Operating expenses |
5,632,434 |
6,697,782 |
|
|
8,755,187 |
10,557,069 |
|
|
|
|
|
|
|
NET LOSS |
$ (925,914) |
$(1,312,078) |
|
|
|
|
|
|
|
|
Net loss allocated to Boston Capital Tax Credit Fund II Limited Partnership* |
$ (916,655) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other partners |
$ (9,259) |
$ (13,121) |
|
|
|
|
|
*Amounts include $916,655 and $1,298,957 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of
accounting. Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued. However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions. Excess losses are suspended for use in future years to
offset excess income.
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
The taxable loss for the calendar year ended December 31, 2010 is expected to differ from its loss for financial reporting purposes. This is primarily due to accounting differences in depreciation incurred by the Operating Partnerships and also differences between the equity method of accounting and the IRS accounting methods.
NOTE F - INCOME TAXES
The Partnership has elected to be treated as a pass-through entity for income tax purposes and, as such, is not subject to income taxes. Rather, all items of taxable income, deductions and tax credits are passed through to and are reported by its owners on their respective income tax returns. The Partnership's federal tax status as a pass-through entity is based on its legal status as a Partnership. Accordingly, the Partnership is not required to take any tax positions in order to qualify as a pass-through entity. The Partnership is required to file and does file tax returns with the Internal Revenue Service and other taxing authorities. Accordingly, these financial statements do not reflect a provision for income taxes and the Partnership has no other tax positions, which must be considered for disclosure.
Boston Capital Tax Credit Fund II Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE G - PLAN OF LIQUIDATION
On March 3, 2010, our General Partner recommended that the BAC holders approve a plan of liquidation and dissolution for the Partnership, or the "Plan." The Plan was approved by the BAC holders on July 1, 2010, and was adopted by the General Partner on July 1, 2010. Pursuant to the Plan, the General Partner is able to, without further action by the BAC holders:
Since the approval of the Plan by the BAC holders, we have continued to seek to sell the assets of the Partnership and use the sale proceeds and/or other Partnership funds to pay all expenses in connection with such sales, pay or make provision for payment of all Partnership obligations and liabilities, including accrued fees, and unpaid loans to the General Partner, and distribute the remaining assets as set forth in the Partnership Agreement. We expect to complete the sale of the apartment complexes approximately three to five years after the BAC holders approval of the Plan, which was July 1, 2010. However, because of numerous uncertainties, the liquidation may take longer or shorter than expected, and the final liquidating distribution may occur months after all of the apartment complexes have been sold. Because the liquidation of the Partnership was not imminent, as of December 31, 2010, the financial statements are presented assuming the Partnership will continue as a going concern.
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations
This Management's Discussion and Analysis of Financial Condition and Results of Operations contains forward-looking statements including our intentions, hopes, beliefs, expectations, strategies and predictions of our future activities, or other future events or conditions. These statements are "forward looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are intended to be covered by the safe harbors created by these acts. Investors are cautioned that all forward-looking statements involve risks and uncertainty, including, for example, the factors identified in Part I, Item 1A. "Risk Factors" of our Annual Report on Form 10-K for the fiscal year ended March 31, 2010. Although we believe that the assumptions underlying these forward-looking statements are reasonable, any of the assumptions could be inaccurate, and there can be no assurance that the forward-looking statements included in this Report will prove to be accurate. In light of the significant uncertainties inherent in these forward-looking statements, the inclusion of this information should not be regarded as a representation by us or any other person that our objectives and plans will be achieved.
Liquidity
The Partnership's primary source of funds was the proceeds of its Public Offering. Other sources of liquidity include (i) interest earned on capital contributions unpaid for the nine months ended December 31, 2010 or on working capital reserves and (ii) cash distributions from operations of the Operating Partnerships in which the Partnership has invested. These sources of liquidity, along with the Partnership's working capital reserve, are available to meet the obligations of the Partnership. The Partnership does not anticipate significant cash distributions from operations of the Operating Partnerships.
The Partnership has recognized other income for the nine months ended December 31, 2010 in the amount of $70,946. The balance represents distributions received from Operating Partnerships, which the Partnership normally records as a decrease in the Investment in Operating Partnerships. Due to the equity method of accounting, the Partnership has recorded these distributions as other income.
The Partnership is currently accruing the partnership management fee. Partnership management fees accrued during the quarter ended December 31, 2010 were $230,761 and total partnership management fees accrued as of December 31, 2010 were $21,586,857. During the quarter and nine months ended December 31, 2010, $287,500 and $737,500 of accrued partnership management fees were paid. Pursuant to the Partnership Agreement, these liabilities will be deferred until the Partnership receives proceeds from sales of the Operating Partnerships, which will be used to satisfy these liabilities. The Partnership's working capital and sources of liquidity coupled with affiliated party liability accruals allow sufficient levels of liquidity to meet the third party obligations of the Partnership. The Partnership is currently unaware of any trends that would create insufficient liquidity to meet future third party obligations of the Partnership.
As of December 31, 2010, an affiliate of the general partner of the Partnership advanced a total of $153,188, on behalf of series 12, to pay some operating expenses of the Partnership, and to make advances and/or loans to Operating Partnerships. These advances are included in Accounts payable-affiliates. During the quarter ended December 31, 2010 the Partnership did not receive any advances.
All payables to affiliates will be paid, without interest, from available cash flow or the proceeds of sales or refinancing of the Partnership's interests in Operating Partnerships. During the nine months ended December 31, 2010, no payments were made to an affiliate of the general partner.
The Partnership offered BACs in a Public Offering declared effective by the Securities and Exchange Commission on October 25, 1989. The Partnership received and accepted subscriptions for $186,337,017 representing 18,679,738 BACs from investors admitted as BAC holders in Series 7 through Series 14 of the Partnership.
As of December 31, 2010 the Partnership had $2,248,819 remaining in cash and cash equivalents. Below is a table, which provides, by series, the equity raised, number of BACs sold, final date BACs were offered, number of properties acquired, and cash and cash equivalents.
|
Series |
Equity |
BACs Sold |
Final Close Date |
Number of Properties |
Cash and Cash Equivalents |
|
7 |
$ 10,361,000 |
1,036,100 |
12/29/89 |
- |
$ - |
|
9 |
41,574,018 |
4,178,029 |
05/04/90 |
24 |
75,613 |
|
10 |
24,288,997 |
2,428,925 |
08/24/90 |
16 |
80,837 |
|
11 |
24,735,002 |
2,489,599 |
12/27/90 |
16 |
1,303,979 |
|
12 |
29,710,003 |
2,972,795 |
04/30/91 |
24 |
453,228 |
|
14 |
55,728,997 |
5,574,290 |
01/27/92 |
52 |
335,162 |
|
|
|
|
|
|
|
|
|
$186,398,017 |
18,679,738 |
|
132 |
$2,248,819 |
|
|
|
|
|
|
|
Reserve balances are remaining proceeds less outstanding capital contribution obligations, which have not been advanced or loaned to the Operating Partnerships. The reserve balances for Series 9,10,11,12 and 14 as of December 31, 2010 are $75,613, $80,837, $1,303,979, $443,987 and $174,429, respectively.
(Series 8) No BACs with respect to Series 8 were offered.
(Series 13) No BACs with respect to Series 13 were offered.
As of December 31, 2010 and 2009 the Partnership held limited partnership interests in 132 and 140 Operating Partnerships, respectively. In each instance the apartment complex owned by the applicable Operating Partnership is eligible for the federal housing tax credit. Initial occupancy of a unit in each apartment complex which initially complied with the minimum set-aside test (i.e., initial occupancy by tenants with incomes equal to no more than a certain percentage of area median income) and the rent restriction test (i.e., gross rent charged tenants does not exceed 30% of the applicable income standards) is referred to as "Qualified Occupancy." Each of the Operating Partnerships and each of the respective apartment complexes are described more fully in the Prospectus or applicable report on Form 8-K. The general partner believes that there is adequate casualty insurance on the properties.
The Partnership incurs an annual partnership management fee to the general partner of the Partnership and/or its affiliates in an amount equal to 0.5% of the aggregate cost of the apartment complexes owned by the Operating Partnerships, less the amount of various partnership management and reporting fees paid by the Operating Partnerships. The partnership management fees incurred net of reporting fees and the reporting fees paid by the Operating Partnerships for the three and nine months ended December 31, 2010 are as follows:
|
3 Months |
|
9 Months |
|
|
|
Series 07 |
$ - |
$ - |
$ - |
$ - |
|
Series 09 |
51,246 |
- |
143,918 |
9,820 |
|
Series 10 |
15,472 |
8,750 |
51,974 |
20,692 |
|
Series 11 |
24,896 |
4,762 |
(1,727) |
103,268 |
|
Series 12 |
25,207 |
9,000 |
75,264 |
30,487 |
|
Series 14 |
68,107 |
23,321 |
215,085 |
64,539 |
|
|
$ 184,928 |
$ 45,833 |
$ 484,514 |
$ 228,806 |
The Partnership's investment objectives do not include receipt of significant cash distributions from the Operating Partnerships in which it has invested. The Partnership's investments in Operating Partnerships have been made principally with a view towards realization of federal housing tax credits for allocation to its partners and BAC holders.
(Series 7)
The series did not have any properties as of December 31, 2010 and 2009.
(Series 9)
As of December 31, 2010 and 2009, the average Qualified Occupancy for the series was 100%. The series had a total of 24 properties at December 31, 2010, all of which were at 100% Qualified Occupancy.
For the periods ended December 31, 2010 and 2009, Series 9 reflects loss from Operating Partnerships of $(638,415) and $(548,146), respectively, which includes depreciation and amortization of $965,971 and $967,450, respectively. This is an interim period estimate; it is not indicative of the final year end results.
Sunshine Apartments (Telluride Apartments) is a 50-unit family development located in Telluride, CO. In 2008, water infiltrated approximately 50% of the units which led to the impacted units being condemned. Occupancy declined through 2009 and as of December 31, 2009 the property was 50% physically occupied and operating below breakeven. The drop in occupancy was due to major mold issues resulting in 25 units being off-line. The operating general partner indicated that the property will need $753,807 in repairs to put the down units back on-line. The Operating Partnership does not have the funds available to do the work. Additionally, the operating general partner was unsuccessful in obtaining an emergency loan or preservation funding from Rural Development. Through the first quarter 2010 the property continued to operate with low occupancy and as a result was unable to breakeven. In May 2010 an inspection by the city's engineer identified serious mold issues at the property. The engineer provided a strong recommendation that all residents vacate the property within thirty days. Based on this recommendation, all residents had vacated the property and as of December 31, 2010 the property remained empty. On December 31, 2004, the 15-year low income housing tax credit compliance period expired with respect to Sunshine Apartments LP. The mortgage, real estate tax and insurance payments are all current.
In November 2009, the operating general partner of Sunshine Apartments approved an agreement to sell the property to a third-party buyer and the transaction was scheduled to close in December 2010. However, the transaction is not moving forward since the buyer was unable to secure financing.
Glenwood Hotel Investors (Glenwood Hotel) is a 36-unit single room occupancy development located in Porterville, CA. The property has historically operated with high occupancy. Through the fourth quarter of 2010, the property continued to maintain strong occupancy and as of December 31, 2010 occupancy was 97%. However, despite the continued strong occupancy, the property is operating below breakeven. To maintain a high occupancy level and to be competitive in the market, it is necessary to keep rental rates very low. The low rents have resulted in the below breakeven operations. The management agent continues to market the available units to the housing authority as well as performing various outreach efforts to attract qualified residents. The operating general partner continues to fund the Operating Partnership as needed. The mortgage, insurance and payables are current. On December 31, 2005, the 15-year low income housing tax credit compliance period expired with respect to Glenwood Hotel Investors LP.
In November 2009, the operating general partner of Westside Associates LP entered into an agreement to sell the property and the transaction closed on December 23, 2009. The sales price of the property was $2,102,654, which includes the outstanding mortgage balance of approximately $2,102,653 and cash proceeds to the investment partnership of $0. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, no gain on the sale of the Operating Partnership has been recorded.
In July 2009, the investment general partner entered into an agreement to transfer its interest in Beaver Brook Housing Associates LP to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,133,100 and cash proceeds to the investment limited partner of $35,000. Of the total proceeds received, $5,750 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. The remaining proceeds of $21,750 were returned to cash reserves held by Series 9. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. In addition, the investment general partner on behalf of the investment limited partnership entered into a partner interest pledge agreement with the Operating Partnership for receipt of a residual payment. Under the terms of the partner interest pledge agreement, if the property owned by the Operating Partnership is sold, within 5 years from the initial transfer date, there would be a residual payment of up to $500,000 distributable to the investment limited partnership in accordance with the Operating Partnership agreement in effect at the date the investment limited partner transferred its interest. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $21,750 as of September 30, 2009.
(Series 10)
As of December 31, 2010 and 2009, the average Qualified Occupancy for the series was 100%. The series had a total of 16 properties at December 31, 2010, all of which were at 100% Qualified Occupancy.
For the periods ended December 31, 2010 and 2009, Series 10 reflects net loss from Operating Partnerships of $(320,502) and $(373,824), respectively, which includes depreciation and amortization of $460,673 and $539,320, respectively. This is an interim period estimate; it is not indicative of the final year end results.
In October 2008, the investment general partner of Great Falls Properties LP approved an agreement to sell the property and the transaction closed in September 2009. The sales price for the property was $952,757, which includes the outstanding mortgage balance of approximately $852,757 and cash proceeds to the investment limited partners of $62,241. Of the total proceeds received, $14,048 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds, $15,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds of $33,193 were returned to cash reserves held by Series 10. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $33,193 as of September 30, 2009. The sale of the Operating Partnership has been recognized as of September 30, 2009, but the sale proceeds were received in October 2009.
Meadowbrook Properties II LP (Meadowbrook Lane Apartments) is a 50-unit property located in Americus, GA. The property operated below breakeven in 2009. Occupancy averaged 85% in 2009; however, it has increased to 96% through the fourth quarter of 2010. The property is operating below breakeven, but at a significantly lower level than in 2009. As a result of poor operations, the accounts payable balance continues to be an issue. The investment general partner will continue to prompt the operating general partner to fund the payables as needed. On December 31, 2004, the 15-year low income housing tax credit compliance period expired with respect to Meadowbrook Properties II, LP.
In April 2009, the investment general partner of Wichita West Housing Associates Two LP approved an agreement to sell the property and the transaction closed on October 30, 2009. The sales price for the property is $2,498,580, which includes the outstanding mortgage balance of approximately $1,555,423 and cash proceeds to the investment partnership of $838,846. Of the total proceeds received, $15,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $823,846 were returned to cash reserves held by Series 10. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $823,846 as of December 31, 2009. In June 2010, additional sale proceeds of $6,276 were received and returned to the cash reserves held by Series 10.
(Series 11)
As of December 31, 2010 and 2009 the average Qualified Occupancy for the series was 100%. The series had a total of 16 properties at December 31, 2010, all of which were at 100% Qualified Occupancy.
For the periods ended December 31, 2010 and 2009, Series 11 reflects net loss from Operating Partnerships of $(112,064) and $(197,778), respectively, which includes depreciation and amortization of $706,938 and $1,090,614, respectively. This is an interim period estimate; it is not indicative of the final year end results.
In April 2008, the investment general partner of Aspen Square Limited Partnership approved an agreement to sell the property and the transaction closed on March 24, 2010. The sales price for the property was $2,160,915, which includes the outstanding mortgage balance of approximately $1,759,906 and cash proceeds to the investment limited partners of $398,848. Of the total proceeds received, $5,764 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds, $15,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $378,084 were returned to cash reserves held by Series 11. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $378,084 as of March 31, 2010.
In December 2009, the operating general partner of Coronado Housing entered into an agreement to sell the property and the transaction closed on February 10, 2010. The sales price of the property was $760,000, which includes the outstanding mortgage balance of approximately $0 and cash proceeds to the investment partnership of $468,251. Of the total proceeds received, $15,000 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds, $15,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $438,251 were returned to cash reserves held by Series 11. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $438,251 as of March 31, 2010. In December 2010, the investment partnership received additional proceeds for its share of the Operating Partnership's cash in the amount of $25,982 which were returned to the cash reserves held by Series 11.
In November 2008, the investment general partner of South Fork Heights, Limited approved an agreement to sell the property and the transaction was anticipated to close in April 2010; however, the buyer was unable to consummate the sale and the agreement has expired.
In January 2009, the investment general partner of Hilltop Apartments LP approved an agreement to sell the property and the transaction closed on December 31, 2009. The sales price for the property was $1,456,512, which includes the outstanding mortgage balance of approximately $1,356,512 and cash proceeds to the investment limited partners of $92,620. Of the total proceeds received, $14,025 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds, $16,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $62,595 will be returned to cash reserves held by Series 11. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. The sale proceeds were received on January 4, 2010; a receivable in the amount of $62,595 has been recorded for Series 11 as of December 31, 2009. Accordingly, a gain on the sale of the Operating Partnership, net of the overhead and expense reimbursement, has been recorded in the amount of $62,595 as of December 31, 2009.
In February 2010, the operating general partner of Crestwood RRH, Limited approved an agreement to sell the property to an unrelated third party and the transaction closed on July 28, 2010. The sales price for the property was $5,074,719, which includes the outstanding mortgage balance of approximately $2,682,530 and cash proceeds to the investment partnership of $1,372,271. Of the total proceeds received, $95,000 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds, $85,617 will be paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $1,191,654 will be returned to cash reserves held by Series 11. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $1,191,654 as of September 30, 2010.
(Series 12)
As of December 31, 2010 and 2009 the average Qualified Occupancy for the series was 100%. The series had a total of 24 properties at December 31, 2010, all of which were at 100% Qualified Occupancy.
For the periods ended December 31, 2010 and 2009, Series 12 reflects net loss from Operating Partnerships of $(140,024) and $(253,464), respectively, which includes depreciation and amortization of $602,820 and $681,758, respectively. This is an interim period estimate; it is not indicative of the final year end results.
In March 2010, the operating general partner of Fort Smith Housing Associates Limited Partnership entered into an agreement to sell the property and the transaction closed on May 28, 2010. The sales price of the property was $800,000, which includes the outstanding mortgage balance of approximately $541,184 and cash proceeds to the investment partnership of $7,500. Of the total proceeds received, $7,500 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. There were no remaining proceeds from the sale returned to cash reserves held by Series 12. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, no gain on the sale of the Operating Partnership has been recorded.
Prairie West Apartments III LP (Prairie West Apts.) is a 24-unit property located in West Fargo, North Dakota. In 2009, average occupancy was 92% and the property operated below breakeven due to high operating expenses. The high operating expenses were mainly maintenance expenses stemming from increased turnover. Required building maintenance for the aging property was also a factor in the high expense level. At the end of the fourth quarter in 2010, occupancy was 96% and the property was operating above breakeven. The operating general partner continues to fund all operating deficits as operations are supported by an unlimited guarantee. The mortgage, property taxes, and insurance are current. On December 31, 2005, the 15-year low income housing tax credit compliance period expired with respect to Prairie West Apartments III LP. In late 2009 the property was refinanced with the money generated being used to update curb appeal for possible dispositions within the upcoming year.
Briarwick Apartments Limited, A KY Limited Partnership (Briarwick Apartments) is a 40-unit family property located in Nicholasville, KY. In 2008, the Operating Partnership operated at a deficit due to maintaining an average occupancy of 59%. In 2009, occupancy improved to average 76%, but operations remained below breakeven. Occupancy was 83% as of December 31, 2010. This is the result of the property's advanced age, which has made it noncompetitive in the local rental market. According to the operating general partner, management continues to advertise in local newspapers and offer concessions in order to attract residents. However, management continues to lose residents to newer developments offering more space and superior amenity packages. Rents at the property are comparable to other properties in the area. The mortgage, real estate tax and insurance payments are current. The operating general partner's obligation to fund deficits is limited to $50,840 per year. On December 31, 2006, the 15-year low income housing tax credit compliance period expired.
Los Caballos II Limited Partnership (Los Caballos II Apartments) was a 24-unit, family complex located in Hatch, New Mexico. On August 14, 2006, flash floods caused significant damage to the property. The county building inspector determined the property was a complete loss. On January 10, 2007, the operating general partner had a meeting with the Village of Hatch, representatives from Federal Emergency Management Agency, and Rural Development (RD). It was determined that the property would be demolished and would not be rebuilt by the existing Operating Partnership. Demolition was completed in June 2007. The existing mortgage, on which Rural Development had already agreed to suspend all payments until the property was reconstructed, will be assumed by a new Operating Partnership. The existing liability will subsequently be removed from Los Caballos II Limited Partnership. For tax purposes, this event will not be classified as an early extinguishment of debt.
The parcel held by the Los Caballos II partnership will not be the location of the newly constructed project. The new project will be on an adjacent property outside of the flood zone. The plan is to have a new Operating Partnership absorb the mortgage debt from Los Caballos II. The investment general partner has requested that RD approve a 'Transfer of Assets' that will move all debt and cash assets of Los Caballos II to a separate entity, but Los Caballos II will retain the land. If RD accepts this transfer, it will effectively reduce the Operating Partnership's total debt from approximately $60,000 to $0, and will leave the land in the name of the Los Caballos II partnership.
The property was sold on December 15, 2009 without the approval or knowledge of the investment general partner. The debt, land, rental assistance and insurance proceeds were all sold to a new entity that is re-syndicating the property at another location. The investment general partner is in the process of resolving the outstanding legal issues with the operating general partner and a formal agreement is anticipated in the first quarter of 2011.
In January 2009, the investment general partner of RPI LP #22 approved an agreement to sell the property and the transaction closed on November 4, 2010. The sales price for the property is $1,250,000, which included the outstanding mortgage balance of approximately $538,667 and cash proceeds to the investment limited partners of $345,607. Of the total proceeds received by the investment partnership, $1,500 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds, $15,000 will be paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $329,107 were returned to cash reserves held by Series 12. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, was recorded in the amount of $329,107 as of December 31, 2010.
(Series 14)
As of December 31, 2010 and 2009 the average Qualified Occupancy for the series was 100% and 99.89%. The series had a total of 52 properties at December 31, 2010, of which 51 were at 100% Qualified Occupancy.
For the periods ended December 31, 2010 and 2009, Series 14 reflects net loss from Operating Partnerships of $(925,914) and $(1,312,078), respectively, which includes depreciation and amortization of $1,850,979 and $2,270,125 respectively. This is an interim period estimate; it is not indicative of the final year end results.
Beckwood Manor Six (Cedar View Apartments) is a 32-unit senior complex located in Brinkley, Arkansas. The Operating Partnership receives the majority of its rental income from a Section 521 rental assistance agreement with Rural Development for 26 of the units. As a senior property, nearly all the residents receive only social security income. Occupancy in 2009 averaged 83%. In July 2010, the management company re-hired a site manager who had previously managed the property for seven years. Since returning, the manager has increased occupancy dramatically. The property averaged 95% occupancy throughout the second half of 2010 and as of December 31, 2010 occupancy was 94%. The site manager has excellent county and local connections, which has helped her to increase occupancy. In addition, weekly ads are being run in local and surrounding area newspapers and fliers have been distributed across town. Management also distributes fliers in neighboring towns in the hope of attracting more prospects. In 2009, the property operated below breakeven due to the low occupancy and high operating expenses. These included high advertising costs, an increase in property taxes, utility increases including water and sewer rate hikes, and training expenses for additional staff. Through the fourth quarter of 2010 the property was operating above breakeven due to the increased occupancy and reduced administration, maintenance, and utility expenses. The decrease in expenses is attributed to the decrease in unit turnover through the second half of 2010. The investment limited partner conducted a site visit in September 2010 and found the property to be in excellent condition with no deferred maintenance issues. Taxes, insurance, mortgage payments, and required reserve deposits are current. On December 31, 2007, the 15-year low income housing tax credit compliance period expired with respect to Beckwood Manor Six LP.
Cottonwood Apartments II, A Limited Partnership (Cottonwood Apartments II) is a 24-unit development located in Cottonport, Louisiana. In the third and fourth quarters of 2008, occupancy fell to 50% and 29%, respectively, due to damages sustained during Hurricane Gustav. There was roof damage on all four buildings, interior damage to fifteen units and the office and laundry room experienced flooding. An insurance claim was submitted and proceeds of $414,250 were received. In addition, a total of $18,000 was received for lost rents. All repairs were completed as of August 2009 at which time all units were back on-line. Occupancy averaged 29% in 2009 and the property operated below breakeven. Occupancy continued at low levels during the first half of 2010, averaging 53% through June. According to the operating general partner, the low occupancy was due to a poor local economy and a lack of jobs and qualified applicants. The investment general partner conducted a site visit in March 2010, which confirmed that there is very little industry/commerce in the area. A new manager was hired in June 2010 and she was very effective at leasing units. Occupancy ended the fourth quarter of 2010 at 88%. Due to her success, the operating general partner decided to move the manager to another location. As of December 31, 2010, they have yet to hire a replacement manager. The managers at Cottonwood I and Cottonwood Seniors are providing temporary coverage until a permanent manager is hired. On December 31, 2005, the 15-year low income housing tax credit compliance period expired with respect to Cottonwood Apartments II, A Limited Partnership.
In December 2006, the investment general partner of Series 14, Boston Capital Tax Credit Fund III - Series 17 and Boston Capital Tax Credit Fund IV - Series 20 transferred 33% of their interest in College Greene Rental Associates Limited Partnership to entities affiliated with the operating general partners for their assumption of one third of the outstanding mortgage balance. The cash proceeds received by Series 14, Series 17, and Series 20 were $25,740, $7,919, and $65,341, respectively. Of the proceeds received, $1,950, $599, and $4,951 for Series 14, Series 17, and Series 20, respectively, was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. The remaining proceeds received by Series 14, Series 17, and Series 20 of $23,790, $7,320 and $60,390, respectively, were applied against the investment limited partners' investment in the Operating Partnership in accordance with the equity method of accounting. In April 2010, the investment limited partner transferred 49% of its interest for $68,174, $20,977, and $173,058 for Series 14, Series 17 and Series 20, respectively. Of the proceeds received, $7,000, $3,400 and $15,000 for Series 14, Series 17 and Series 20, respectively, was paid to BCAMLP for expenses related to the transfer. The remaining proceeds of $61,174, $17,577 and $158,058, respectively, were returned to the cash reserves held by Series 14, Series 17 and Series 20, respectively. The proceeds were allocated to the investment limited partnerships based on their original equity investments in the Operating Partnership. The remaining investment limited partner interest is scheduled to be transferred in March 2011.
Davis Village Apartments Limited, LP (Davis Village Apartments) is a 44-unit family property located in Davis, OK. In 2009, occupancy averaged 94% with operations above breakeven primarily due to Rural Development approval of replacement reserve reimbursements. In addition, Rural Development approved a $25-$30 rent increase on all unit types effective January 1, 2010. However, the average occupancy for 2010 has decreased to 81% with operations below breakeven status due to increased maintenance expenses. The unaudited financials show a year to date expense of approximately $30,000 for exterior painting and contractor repairs that was not reimbursed by the replacement reserve account due to Rural Development restrictions. The operating general partner has placed a new property manager on the site in an effort to improve performance. As of December 2010, the occupancy has increased to 91%. The operating general partner continues to fund all operating deficits. The mortgage, taxes, and insurance payments are all current. On December 31, 2007, the 15-year low income housing tax credit compliance period expired.
Prague Village Apartments Limited, LP (Prague Village Apartments) is an 8-unit family property located in Prague, OK. Occupancy was 100% as of December 2009 and averaged 94% for the year. Despite strong occupancy, operations were below breakeven for the year due to increased maintenance and insurance costs. The majority of replacement costs have not been reimbursed from the replacement reserve account due to Rural Development restrictions. Insurance costs increased 45% in 2009 due to increased insurance claims made in both 2008 and 2009. The operating general partner renewed the policy in August 2010 with comparable rates to the prior year. Rural Development approved a $45-55 rent increase on all units effective January 1, 2010 that was projected to bring operations back above breakeven in 2010. However, employment opportunities in the area have been consistently declining. As a result, the average occupancy for 2010 has dropped to 83% with year to date operations below breakeven status. The operating general partner has placed a new property manager on the site in an effort to improve performance. During the fourth quarter of 2010, the property was operating above breakeven and occupancy had risen to 100%. The operating general partner continues to fund all operating deficits. The mortgage, taxes, and insurance payments are all current. On December 31, 2007, the 15-year low income housing tax credit compliance period expired.
In November 2009, the operating general partner of Carleton Court entered into an agreement to sell the property and the transaction closed on December 23, 2009. The sales price of the property was $2,342,012, which includes the outstanding mortgage balance of approximately $2,342,011 and cash proceeds to the investment partnership of $0. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, no gain on the sale of the Operating Partnership has been recorded.
In May 2008, the investment general partner entered into an agreement to transfer its interest in San Jacinto Investors II to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $2,295,150 and cash proceeds to the investment partnership of $250,000. The transaction closed on January 1, 2010. Of the total proceeds received, $3,102 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $15,000 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. The remaining proceeds of $231,898 were returned to cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, was recorded in the amount of $231,898 as of March 31, 2010.
In October 2008, the investment general partner of Breckenridge Apartments approved an agreement to sell the property and the transaction closed in September 2009. The sales price for the property was $901,201, which includes the outstanding mortgage balance of approximately $831,201 and cash proceeds to the investment limited partners of $48,154. Of the total proceeds received, $15,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $33,154 were returned to cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $33,154 as of September 30, 2009. The sale of the Operating Partnership has been recognized as of September 30, 2009, but the sale proceeds were received in October 2009.
In October 2008, the investment general partner of Sioux Falls Housing Associates Two LP approved an agreement to sell the property and the transaction closed on January 29, 2009. The sales price for the property was $1,718,820, which includes the outstanding mortgage balance of approximately $776,311 and cash proceeds to the investment limited partners of $641,318. Of the total proceeds received, $15,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $626,318 were returned to cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to $14,596. Accordingly, a gain on the sale of the Operating Partnership, net of the overhead and expense reimbursement, has been recorded in the amount of $611,722 as of March 31, 2009. In August 2009, additional sale proceeds of $25,549 were received and returned to the cash reserves held by Series 14.
In February 2010, the operating general partner of Rainier Manor Associates LP approved an agreement to sell the property and the transaction closed on September 29, 2010. The sales price for the property was $3,300,000, which included the outstanding mortgage balance of approximately $3,293,443 and cash proceeds to the investment partnerships of $0. No proceeds were returned to cash reserves held by Series 14 and Series 15, respectively. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. Accordingly, no gain on the sale of the Operating Partnership was recorded as of September 30, 2010.
In October 2009, the investment general partner transferred its interest in Derby Housing Associates to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,049,178 and cash proceeds to the investment limited partner of $720,000. Of the total proceeds received, $7,600 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. The remaining proceeds of $712,400 was returned to cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, was recorded in the amount of $712,400 as of December 31, 2009.
In December 2009, the investment general partner transferred its interest in Amherst Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,509,804 and cash proceeds to the investment limited partner of $50,000. Of the total proceeds received, $500 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $10,000 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. The remaining proceeds of $39,500 were returned to cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, was recorded in the amount of $39,500 as of December 31, 2009.
In December 2009, the investment general partner transferred its interest in Four Oaks Village LP to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $855,453 and cash proceeds to the investment limited partner of $93,940. Of the total proceeds received, $5,075 represents reporting fees due to an affiliate of the investment partnership; $10,050 represents a credit recovery loan due to the investment limited partner and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. The remaining proceeds of $81,365 were returned to cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, was recorded in the amount of $81,365 as of December 31, 2009.
In December 2009, the investment general partner transferred its interest in Hillmont Village LP to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $845,720 and cash proceeds to the investment limited partner of $93,989. Of the total proceeds received, $4,380 represents reporting fees due to an affiliate of the investment partnership; $11,352 represents a credit recovery loan due to the investment limited partner and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. The remaining proceeds of $82,109 were returned to cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, was recorded in the amount of $82,109 as of December 31, 2009.
In December 2009, the investment general partner transferred its interest in Oakland Village LP to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $816,708 and cash proceeds to the investment limited partner of $118,126. Of the total proceeds received, $1,062 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. The remaining proceeds of $109,564 were returned to cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, was recorded in the amount of $109,564 as of December 31, 2009.
In December 2009 the investment general partner transferred its interest in Stanardsville Village LP to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $559,928 and cash proceeds to the investment limited partner of $17,000. Of the total proceeds received, $6,795 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. The remaining proceeds of $2,705 were returned to cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, was recorded in the amount of $2,705 as of December 31, 2009.
In December 2009, the operating general partner of Village Terrace Limited Partnership entered into an agreement to sell the property and the transaction closed on January 8, 2010. The sales price of the property was $1,185,000, which includes the outstanding mortgage balance of approximately $568,565 and cash proceeds to the investment partnership of $334,852. Of the total proceeds received, $112,000 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds, $15,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $207,852 were returned to cash reserves held by Series 14. In February 2010, additional sale proceeds of $3,056 were received and returned to the cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, was recorded in the amount of $210,908 as of March 31, 2010. In June 2010, the investment partnership received its share of the proceeds from the liquidation of the Operating Partnership's cash accounts in the amount of $12,688 which was returned to the cash reserves held by Series 14.
Wesley Village Associates (Wesley Village Apartments) is a 36-unit apartment complex located in Martinsburg, West Virginia. Occupancy stabilized in the fourth quarter and the property ended December 2010 at 100% occupancy. However, the property operated below breakeven through the fourth quarter, as management was unable to recoup the cash deficit caused by high turnover through the third quarter. While management was successful in reducing the maintenance expenses in the fourth quarter, administrative costs remained high. Management increased the office hours to stabilize occupancy; consequently, payroll expenses increased. All taxes, insurance, and mortgage payments are current. On December 31, 2005, the 15-year low income housing tax credit compliance period expired with respect to Wesley Village Associates.
Lexington Park Spring Limited Partnership (Spring Valley) is a 128-unit apartment community located in Lexington Park, Maryland. The apartment community began operations in November 1992. In 2009, the property's operations suffered considerably due to high bad debt and average occupancy of 77%. Due to a large number of problem tenants, management began to clean up the tenant profile in 2009, leading to an increase in operating costs including maintenance expenses. Management has since made positive strides in increasing occupancy and reducing operating costs. As of December 31, 2010, occupancy was 95% with year-to-date maintenance expenses and bad debt considerably lower. As a result, the property is expected to operate above breakeven in 2011. All taxes, insurance, and mortgage payments are current. On December 31, 2007, the 15-year low income housing tax credit compliance period expired with respect to Lexington Park Spring Limited Partnership.
Titusville Apartments Limited Partnership (Titusville Apartments) is a 30-unit apartment complex located in Titusville, Pennsylvania. The property operated below breakeven through the fourth quarter of 2010 with occupancy at 80% as of December 31, 2010. Section 8 voucher holders occupy twenty-four of the thirty units. The primary cause of the property's negative cash flow is low rental rates. The Section 8 voucher rent is $200 less per month than the market rate for tax credit units, as determined by Rural Development. In the past, Rural Development allowed the operating general partner to allocate funds in the annual budget to cover the difference between the Section 8 contract amounts and the market rate for tax credit units. At the end of 2009, Rural Development indicated that the operating general partner could only allocate about 25% of the funds needed to cover the gap between the Section 8 contract rents and the market rate for tax credit units. This resulted in reduced revenue. Further, the property is located in a small rural town and finding new residents without Section 8 vouchers has proven to be difficult. Management has spent approximately $3,000 (2% of operating expenses) on advertising throughout 2010 with Apartment Smart, My New Place, Apartment Guide.com, and weekly advertisements in the local newspaper. Management's advertising efforts have yet to yield any new applicants. They continue to offer a small fee for a resident referral. The operating general partner has also requested more rental assistance from Rural Development but has been denied each time. The operating general partner has funded the deficit with operating cash and is willing to advance funds as necessary. All tax, mortgage and insurance payments are current. On December 31, 2006, the 15-year low income housing tax credit compliance period expired with respect to Titusville Apartment Limited Partnership.
Off Balance Sheet Arrangements
None.
Critical Accounting Policies and Estimates
The financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (GAAP), which require the Partnership to make various estimates and assumptions. The following section is a summary of some aspects of those accounting policies that may require subjective or complex judgments and are most important to the portrayal of the Partnership's financial condition and results of operations. The Partnership believes that there is a low probability that the use of different estimates or assumptions in making these judgments would result in materially different amounts being reported in the financial statements.
The Partnership is required to assess potential impairments to its long-lived assets, which are primarily investments in limited partnerships. The Partnership accounts for its investment in limited partnerships in accordance with the equity method of accounting since the Partnership does not control the operations of the Operating Partnerships. The purpose of an impairment analysis is to verify that the real estate investment balance reflected on the balance sheet does not exceed the value of the underlying investments.
If the book value of the Partnership's investment in an Operating Partnership exceeds the estimated value derived by management, which generally consists of the remaining future Low-Income Housing Credits allocable to the Partnership and the estimated residual value to the Partnership, the Partnership reduces its investment in the Operating Partnership and includes this reduction in equity in loss of investment of limited partnerships.
In accordance with the accounting guidance for the consolidation of variable interest entities, the Partnership determines when it should include the assets, liabilities, and activities of a variable interest entity (VIE) in its financial statements, and when it should disclose information about its relationship with a VIE. The analysis that must be performed to determine which entity should consolidate a VIE focuses on control and economic factors. A VIE is a legal structure used to conduct activities or hold assets, which must be consolidated by a company if it is the primary beneficiary because it has (1) the power to direct the activities of the VIE that most significantly impact the VIE's economic performance and (2) the obligation to absorb losses or receive benefits that could potentially be significant to the VIE. If multiple unrelated parties share such power, as defined, no party will be required to consolidate the VIE. Further, the guidance requires continual reconsideration of the primary beneficiary of a VIE.
Based on this guidance, the Operating Partnerships in which the Partnership invests meet the definition of a VIE because the owners of the equity at risk in these entities do not have the power to direct their operations. However, management does not consolidate the Partnership's interests in these VIEs, as it is not considered to be the primary beneficiary since it does not have the power to direct the activities that are considered most significant to the economic performance of these entities. The Partnership currently records the amount of its investment in these partnerships as an asset on its balance sheets, recognizes its share of partnership income or losses in the statements of operations, and discloses how it accounts for material types of these investments in its financial statements. The Partnership's balance in investment in Operating Partnerships represents its maximum exposure to loss. The Partnership's exposure to loss on these partnerships is mitigated by the condition and financial performance of the underlying Housing Complexes as well as the strength of the general partners and their guarantee against credit recapture to the investors of the Partnership.
Recent Accounting Changes
In September 2006, the Financial Accounting Standards Board ("FASB") issued accounting guidance for Fair Value Measurements, which defines fair value, establishes a framework for measuring fair value and expands disclosure about fair value measurements. This guidance is effective for financial statements issued for fiscal years beginning after November 15, 2007 and shall be applied prospectively except for very limited transactions. In February 2008, the FASB delayed for one year implementation of the guidance as it pertains to certain non-financial assets and liabilities. The Partnership adopted GAAP for Fair Value Measurements effective April 1, 2008, except as it applies to those non-financial assets and liabilities, for which the effective date was April 1, 2009. The Partnership has determined that adoption of this guidance has no material impact on the Partnership's financial statements.
In November 2008, the FASB issued accounting guidance on Equity Method Investment Accounting Considerations that addresses how the initial carrying value of an equity method investment should be determined, how an impairment assessment of an underlying indefinite-lived intangible asset of an equity method investment should be performed, how an equity method investee's issuance of shares should be accounted for, and how to account for a change in an investment from the equity method to the cost method. This guidance is effective in fiscal years beginning on or after December 15, 2008, and interim periods within those fiscal years. The Partnership adopted the guidance for the interim quarterly period beginning April 1, 2009. The adoption of this guidance does not have a material impact on the Partnership's financial condition or results of operations.
In April 2009, the FASB issued accounting guidance for Interim Disclosures about Fair Value of Financial Instruments. This requires disclosure about the method and significant assumptions used to establish the fair value of financial instruments for interim reporting periods as well as annual statements. It became effective for Boston Capital Tax Credit Fund II L.P. as of and for the interim period ended June 30, 2009 and has no impact on the Partnership's financial condition or results of operations.
In May 2009, the FASB issued guidance regarding subsequent events, which was subsequently updated in February 2010. This guidance established general standards of accounting for and disclosure of events that occur after the balance sheet date but before financial statements are issued or are available to be issued. In particular, this guidance sets forth the period after the balance sheet date during which management of a reporting entity should evaluate events or transactions that may occur for potential recognition or disclosure in the financial statements, the circumstances under which an entity should recognize events or transactions occurring after the balance sheet date in its financial statements, and the disclosures that an entity should make about events or transactions that occurred after the balance sheet date. This guidance was effective for financial statements issued for fiscal years and interim periods ending after June 15, 2009, and was therefore adopted by the Partnership for the quarter ended June 30, 2009. The adoption did not have a significant impact on the subsequent events that the Partnership reports, either through recognition or disclosure, in the financial statements. In February 2010, the FASB amended its guidance on subsequent events to remove the requirement to disclose the date through which an entity has evaluated subsequent events, alleviating conflicts with current SEC guidance. This amendment was effective immediately and therefore the Partnership did not include the disclosure in this Form 10-Q.
In June 2009, the FASB issued the Accounting Standards Codification (Codification). Effective July 1, 2009, the Codification is the single source of authoritative accounting principles recognized by the FASB to be applied by non-governmental entities in the preparation of financial statements in conformity with GAAP. The Codification is intended to reorganize, rather than change, existing GAAP. Accordingly, all references to currently existing GAAP have been removed and have been replaced with plain English explanations of the Partnership's accounting policies. The adoption of the Codification did not have a material impact on the Partnership's financial position or results of operations.
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Item 3 |
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Not Applicable |
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Item 4 |
Controls & Procedures |
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(a) |
Evaluation of Disclosure Controls and Procedures |
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As of the end of the period covered by this report, the Partnership's general partner, under the supervision and with the participation of the Principal Executive Officer and Principal Financial Officer of C&M Management Inc., carried out an evaluation of the effectiveness of the Partnership's "disclosure controls and procedures" as defined under the Securities Exchange Act of 1934 Rules 13a-15 and 15d-15. Based on that evaluation, the Partnership's Principal Executive Officer and Principal Financial Officer have concluded that as of the end of the period covered by this report, the Partnership's disclosure controls and procedures were effective to ensure that information required to be disclosed by it in the reports that it files or submits under the Securities Exchange Act of 1934 (i) is recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms and (ii) is accumulated and communicated to the Partnership's management, including the Partnership's Principal Executive Officer and Principal Financial Officer, as appropriate, to allow timely decisions regarding required disclosure. |
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(b) |
Changes in Internal Controls |
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There were no changes in the Partnership's internal control over financial reporting that occurred during the quarter ended December 31, 2010 that materially affected, or are reasonably likely to materially affect, the Partnership's internal control over financial reporting. |
PART II - OTHER INFORMATION
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Item 1. |
Legal Proceedings |
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None |
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Item 1A. |
Risk Factors |
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There have been no material changes from the risk factors set forth under Part I, Item 1A. "Risk Factors" in our Form 10-K for the fiscal year ended March 31, 2010. |
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Item 2. |
Unregistered Sales of Equity Securities and Use of Proceeds |
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None |
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Item 3. |
Defaults upon Senior Securities |
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None |
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Item 4. |
(Removed and Reserved.) |
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Item 5. |
Other Information |
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None |
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Item 6. |
Exhibits |
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(a)Exhibits |
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31.a Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, of John P. Manning, Principal Executive Officer, filed herein |
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31.b Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, of Marc N. Teal, Principal Financial Officer, filed herein |
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32.a Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, of John P. Manning, Principal Executive Officer, filed herein |
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32.b Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, of Marc N. Teal, Principal Financial Officer, filed herein |
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SIGNATURES
Pursuant to the requirements of Section 13 of the Securities
Exchange Act of 1934, the Partnership has duly caused this Report to be
signed on its behalf by the undersigned, thereunto duly authorized.
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Boston Capital Tax Credit Fund II Limited Partnership |
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By: |
Boston Capital Associates II Limited |
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By: |
BCA Associates Limited Partnership, |
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By: |
C&M Management, Inc., |
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Date: February 14, 2011 |
/s/ John P. Manning |
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John P. Manning |
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Pursuant to the requirements of the Securities Exchange Act of
1934, this report has been signed below by the following persons on
behalf of the Partnership and in the capacities and on the dates
indicated:
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DATE: |
SIGNATURE: |
TITLE: |
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February 14, 2011 |
/s/ John P. Manning John P. Manning |
Director, President |
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DATE: |
SIGNATURE: |
TITLE: |
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February 14, 2011 |
/s/ Marc N. Teal Marc N. Teal |
Chief Financial Officer |