MHDC requires projects over 12 units (excluding projects mostly covered by a HAP contract) to submit an annual budget to MHDC by November 15. MHDC believes budgeting is a critical part of the development’s financial success. Good budgeting requires a realistic, itemized operating income and expense projection. An inaccurate projection of operating income and expenses is a significant cause in the financial underperformance of some multifamily rental properties. MHDC will assess the reasonableness of all operating costs in evaluating the financial feasibility of various affordable housing properties.