[Federal Register Volume 63, Number 83 (Thursday, April 30, 1998)]
[Notices]
[Pages 23876-23956]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-11392]



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Part III





Department of Housing and Urban Development





_______________________________________________________________________



Super Notice of Funding Availability (SuperNOFA) for Economic 
Development and Empowerment Programs; Notice

  Federal Register / Vol. 63, No. 83 / Thursday, April 30, 1998 / 
Notices  

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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4363-N-01]


Super Notice of Funding Availability (SuperNOFA) for Economic 
Development and Empowerment Programs

AGENCY: Office of the Secretary, HUD.

ACTION: Super Notice of Funding Availability (SuperNOFA) for Economic 
Development and Empowerment Programs.

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SUMMARY: This Super Notice of Funding Availability (SuperNOFA) 
announces the availability of approximately $176,000,000 in HUD program 
funds covering ten (10) Economic Development and Empowerment Programs 
operated and managed by the following HUD Offices: Community Planning 
and Development (CPD), Housing-Federal Housing Administration (FHA), 
Public and Indian Housing (PIH), and the Office of Lead Hazard Control 
(OLHC). The General Section of this SuperNOFA contains the procedures 
and requirements applicable to all programs. The applications for 
funding for these programs have been consolidated into four 
applications. The Programs Section of this SuperNOFA contains a 
description of the specific programs for which funding is made 
available under this SuperNOFA and additional procedures and 
requirements that are applicable to each.
APPLICATION DUE DATES: The information contained in this ``APPLICATION 
DUE DATES'' section applies to all programs contained in this 
SuperNOFA. Completed applications must be submitted to HUD no later 
than the deadline established for the program for which you are seeking 
funding. Applications may not be sent by facsimile (FAX). See the 
Program Chart for specific application due dates.
ADDRESSES AND APPLICATION SUBMISSION PROCEDURES: Addresses. Completed 
applications must be submitted to the location specified in the 
Programs Section of this SuperNOFA. When submitting your application, 
please refer to the program name for which you are seeking funding.
    For Applications to HUD Headquarters. Applications to be submitted 
to HUD Headquarters are due at: Department of Housing and Urban 
Development, 451 Seventh Street, SW, Room ________ (See Program Chart 
or Programs Section for room location), Washington DC 20410.
    For Applications to HUD Field Offices. For those programs for which 
applications are due to the HUD Field Offices, please see the Programs 
Section for the locations for submission.
    Applications Procedures--Mailed Applications. Applications will be 
considered timely filed if postmarked on or before 12:00 midnight on 
the application due date and received by the designated HUD Office on 
or within ten (10) days of the application due date.
    Applications Sent by Overnight/Express Mail Delivery. Applications 
sent by overnight delivery or express mail will be considered timely 
filed if received before or on the application due date, or upon 
submission of documentary evidence that they were placed in transit 
with the overnight delivery service by no later than the specified 
application due date.
    Hand Carried Applications. For applications submitted to HUD 
Headquarters, hand carried applications delivered before and on the 
application due date must be brought to the specified location and room 
number between the hours of 8:45 am to 5:15 pm, Eastern time. 
Applications hand carried on the application due date will be accepted 
in the South Lobby of the HUD Headquarters Building at the above 
address from 5:15 pm until 12:00 midnight, Eastern time. Applications 
due to HUD Field Office or Area Office of Native American Programs 
locations must be delivered to the appropriate HUD Field Office or Area 
Office of Native American Programs in accordance with the instructions 
specified in the Programs Section of the SuperNOFA.
    For applications submitted to the HUD Field Offices or Area Offices 
of Native American Programs, hand carried applications will be accepted 
during normal business hours before the application due date. On the 
application due date, business hours will be extended to 6:00 pm. 
(Please see the Appendix A to this SuperNOFA listing the hours of 
operations for the HUD Field Offices.) COPIES OF APPLICATIONS TO HUD 
OFFICES. The Programs Section of this SuperNOFA may specify that, to 
facilitate processing and review of your submission, a copy of the 
application also be sent to an additional HUD location (for example, a 
copy to the HUD Field Office or Area Office of Native American Programs 
if the original application is to be submitted to HUD Headquarters, or 
a copy to HUD Headquarters, if the original application is to be 
submitted to a HUD Field Office or Area Office of Native American 
Programs). Please follow the requirements of the Programs Section to 
ensure that you submit your application to the proper location. HUD 
requests additional copies in order to expeditiously review your 
application and appreciates your assistance in providing the copies. 
Please note that for those applications for which copies are being 
submitted to the local HUD Offices and HUD Headquarters, timeliness of 
submission will be based on the time the application is received at HUD 
Headquarters.

FOR APPLICATION KITS, FURTHER INFORMATION AND TECHNICAL ASSISTANCE: The 
information contained in this section is applicable to all programs 
contained in this SuperNOFA, unless otherwise specifically provided in 
the applicable programs section.
    For Application Kits and SuperNOFA User Guide. HUD is pleased to 
provide you with application kits and/or a guidebook to all HUD 
programs. When requesting an application kit, please refer to the 
program name of the application kit you are interested in receiving. 
Please be sure to provide your name, address (including zip code), and 
telephone number (including area code).
    Requests for application kits should be made immediately to ensure 
sufficient time for application preparation. We will distribute 
application kits as soon as they become available.
    The SuperNOFA Information Center (1-800-HUD-8929) can provide you 
with assistance, application kits, and guidance in determining which 
HUD Office(s) should receive a copy of your application. Persons with 
hearing or speech impairments may call the Center's TTY number at 1-
800-HUD-2209.
    Consolidated Application Submissions. Where an applicant can apply 
for funding under more than one program in this SuperNOFA, the 
applicant need only submit one originally signed SF-424 and one set of 
original signatures for the other required assurances and 
certifications, accompanied by the matrix contained in each application 
kit (provided that the required assurances and certifications are 
identical). As long as the applicant submits one originally signed set 
of these documents with an application, only copies of these documents 
are required to be submitted with any additional application submitted 
by the applicant. The application should identify the program for which 
the original signatures for assurances and certifications is being 
submitted.
    For Further Information. For answers to your questions about this

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SuperNOFA, you have several options. You may call the HUD Office or 
Processing Center serving your area at the telephone number listed in 
your program area section to this SuperNOFA, or you may contact the 
SuperNOFA Information Center at 1-800-HUD-8929. Persons with hearing or 
speech impairments may call the Center's TTY number at 1-800-HUD-2209. 
Information on this SuperNOFA also may be obtained through the HUD web 
site on the Internet at http://www.HUD.gov.
    For Technical Assistance. Before the application due date, HUD 
staff will be available to provide general guidance and technical 
assistance about this SuperNOFA. Current law does not permit HUD staff 
to assist in preparing the application. Following selection of 
applicants, but prior to award, HUD staff will be available to assist 
in clarifying or confirming information that is a prerequisite to the 
offer of an award or Annual Contributions Contract (ACC) by HUD.

Introduction To The SuperNOFA Process

    To further HUD's objective, under the direction of Secretary Andrew 
Cuomo, of improving customer service and providing the necessary tools 
for revitalizing communities and improving the lives of people within 
those communities, HUD will publish three SuperNOFAs in 1998, which 
coordinate program funding for 40 competitive programs and cut across 
traditional program lines.
    (1) The first is the SuperNOFA and consolidated application process 
for Housing and Community Development Programs, covering 19 Housing and 
Community Development Programs. This SuperNOFA was published in the 
Federal Register on March 31, 1998.
    (2) The second is the SuperNOFA and consolidated application 
process for Economic Development and Empowerment Programs, published in 
today's Federal Register. This second SuperNOFA includes funding for 
the following programs and initiatives: Brownfields; Economic 
Development Initiative; Youthbuild; three Tenant Opportunity Programs; 
Economic Development and Supportive Services; Mark to Market Outreach 
and Training; Mark to Market Technical Assistance Intermediaries Grant 
Administration; and the Local Lead Hazard Awareness Campaign.
    (3) The third is the SuperNOFA and consolidated application process 
for Targeted Housing and Homeless Assistance Programs. This third 
SuperNOFA includes the following programs and initiatives: Housing 
Opportunities for Persons with AIDS; Continuum of Care Homeless 
Assistance Programs; Section 202 Supportive Housing for the Elderly; 
and Section 811 Supportive Housing for Persons with Disabilities. This 
third SuperNOFA is published elsewhere in today's Federal Register.
    All three SuperNOFAs and all consolidated applications, to the 
greatest extent possible, given statutory, regulatory and program 
policy distinctions, will have one set of rules that, together, offer a 
``menu'' of approximately 40 programs. From this menu, communities will 
be made aware of funding available for their jurisdictions. Nonprofits, 
public housing agencies, local and State governments, tribal 
governments and tribally designated housing entities, veterans service 
organizations, faith-based organizations and others will be able to 
identify the programs for which they are eligible for funding.

The National Competition NOFA

    In addition to the three SuperNOFAs, HUD is publishing elsewhere in 
today's Federal Register a single NOFA for three national competitions: 
the Fair Housing Initiatives Program National Competition; the National 
Lead Hazard Awareness Campaign; and the Housing Counseling National 
Competition.
Assisting Communities To Make Better Use of Available Resources
    These SuperNOFAs represent a marked departure from, and HUD 
believes a significant improvement over, HUD's past approach to the 
funding process. In the past, HUD has issued as many as 40 separate 
NOFAs, all with widely varying rules and application processing 
requirements. This individual program approach to funding, with NOFAs 
published at various times throughout the fiscal year, did not 
encourage and, at times, unintentionally impeded local efforts directed 
at comprehensive planning and development of comprehensive local 
solutions. Additionally, the old approach seemed to require communities 
to respond to HUD's needs rather than HUD responding to local needs. 
Secretary Cuomo brings to the leadership of HUD the experience of 
successfully implementing a consolidated planning process in HUD's 
community development programs. As Assistant Secretary for Community 
Planning and Development, Secretary Cuomo consolidated the planning, 
application, and reporting requirements of several community 
development programs. The Consolidated Plan rule, published in 1995, 
established a renewed partnership among HUD, State, and local 
governments, public and private agencies, tribal governments, and the 
general citizenry by empowering field staff to work with other entities 
in fashioning creative solutions to community problems.
    The SuperNOFA approach builds upon Consolidated Planning 
implemented by Secretary Cuomo in HUD's community development programs, 
and also reflects the Secretary's organizational changes for HUD, as 
described in the Secretary's management reform plan. On June 26, 1997, 
Secretary Cuomo released the HUD 2020 Management Reform Plan, which 
calls for significant consolidation of like programs to maximize 
efficiency and dramatically improve customer service. The plan also 
calls for HUD to improve customer service by adopting a principle of 
``menus not mandates.''
    By announcing the funding of these ten programs in one NOFA, HUD 
hopes to assist communities in making better use of available resources 
to address their economic development needs and the needs of those 
living within the communities in a holistic and effective fashion. 
These funds are available for eligible applicants to support individual 
program objectives, as well as cross-cutting and coordinated approaches 
to improving the overall effective use of available HUD program funds.
    To date, HUD has been consolidating and simplifying the submission 
requirements of many of its formula grant and discretionary grant 
programs to offer local communities a better opportunity to shape 
available resources into effective and coordinated neighborhood housing 
and community development strategies that will help revitalize and 
strengthen their communities, physically, socially and economically. To 
complement this overall consolidation and simplification effort, HUD 
designed this process to increase the ability of applicants to consider 
and apply for funding under a wide variety of HUD programs in response 
to a single NOFA. Everyone interested in HUD's grant programs can 
benefit from having this information made available in one NOFA.
Coordination, Flexibility, and Simplicity in the HUD Funding Process
    The SuperNOFA approach places heavy emphasis on the coordination of 
activities to provide (1) greater flexibility and responsiveness in 
meeting local housing and community development needs, and (2) greater 
flexibility to eligible applicants to determine what HUD program 
resources

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best fit the community's needs, as identified in local Consolidated 
Plans and Analysis of Impediments to Fair Housing Choice (``Analysis of 
Impediments'' (AI)).
    The SuperNOFA approach is designed to simplify the application 
process; promote effective and coordinated use of program funds in 
communities; reduce duplication in the delivery of services and 
economic development and empowerment programs; allow interested 
applicants to seek to deliver a wider, more integrated array of 
services; and improve the system for potential grantees to be aware of, 
and compete for program funds.
    HUD encourages applicants to work together to coordinate and, to 
the maximum extent possible, join their activities to form a seamless 
and comprehensive program of assistance to meet identified needs in 
their communities, and address barriers to fair housing and equal 
opportunity that have been identified in the community's Consolidated 
Plan and Analysis of Impediments in the geographic area(s) in which 
they are seeking assistance.
    As part of the simplification of this funding process, and to avoid 
duplication of effort, the SuperNOFA provides for consolidated 
applications for several of the programs for which funding is available 
under this NOFA. HUD programs that provide assistance for, or 
complement similar activities, for example, the economic development 
initiative (EDI) and the brownfields economic development initiative 
(BEDI), or the tenant opportunity and economic development supportive 
services programs, have consolidated applications that reduce the 
administrative and paperwork burden applicants may otherwise encounter 
in submitting an application for each program.
    The funding of these ten programs through this SuperNOFA will not 
affect the ability of eligible applicants to seek HUD funding. Eligible 
applicants are able, as they have been in the past, to apply for 
funding under as few as one or as many as all programs for which they 
are eligible.
    The specific statutory and regulatory requirements of each of the 
ten separate programs continue to apply to each program. The SuperNOFA 
reflects, where necessary, the statutory requirements and differences 
applicable to the specific programs. Please pay careful attention to 
the individual program requirements that are identified for each 
program. Also, you will note that not all applicants are eligible to 
receive assistance under all ten programs identified in this SuperNOFA.
    The SuperNOFA contains two major sections. The General Section of 
the SuperNOFA contains the procedures and requirements applicable to 
all applications. The Programs Section of the SuperNOFA describes each 
program for which funding is made available in the NOFA. As in the 
past, each program provides a description of eligible applicants, 
eligible activities, factors for award, and any additional requirements 
or limitations that apply to the program. Please read carefully both 
the General Section and the Programs Section of the SuperNOFA for the 
program(s) to which you are applying. This will ensure that you apply 
for program funding for which your organization is eligible to receive 
funds and you fulfill all the requirements for that program(s).

The Programs of This SuperNOFA and the Amount of Funds Allocated

    The ten programs for which funding availability is announced in 
this SuperNOFA are identified in the following chart. The approximate 
available funds for each program are listed as expected funding levels 
based on appropriated funds. Should recaptured or other funds become 
available for any program, HUD reserves the right to increase the 
available program funding amounts by the amount available.
    The chart also includes the application due date for each program, 
the OMB approval number for the information collection requirements 
contained in the specific program, and the Catalog of Federal Domestic 
Assistance (CFDA) number.

BILLING CODE 4210-32-P

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[GRAPHIC] [TIFF OMITTED] TN30AP98.005



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[GRAPHIC] [TIFF OMITTED] TN30AP98.006



BILLING CODE 4210-32-C

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Paperwork Reduction Act Statement

    For those programs listed in the chart above which have OMB 
approval numbers, the information collection requirements contained in 
this SuperNOFA for those programs have been approved by the Office of 
Management and Budget (OMB) in accordance with the Paperwork Reduction 
Act of 1995 (44 U.S.C. 3501-3520). For those programs listed in the 
chart for which an OMB approval number is pending, the approval number 
when received will be announced by HUD in the Federal Register. An 
agency may not conduct or sponsor, and a person is not required to 
respond to, a collection of information unless the collection displays 
a valid control number.

General Section of the SuperNOFA

I. Authority; Purpose; Amount Allocated; Eligible Applicants and 
Eligible Activities

(A) Authorities
    Unless otherwise specified in the Programs Section of the 
SuperNOFA, the authority for Fiscal Year 1998 funding availability 
under this SuperNOFA is the Department of Veterans Affairs and Housing 
and Urban Development and Independent Agencies Appropriations Act, 1998 
(Pub.L. 105-65, approved October 27, 1997) (FY 1998 HUD Appropriations 
Act). Where applicable, additional authority for each program in this 
SuperNOFA is identified in the Programs Section.
(B) Purpose
    The purpose of this SuperNOFA is to:
    (1) Make funding available through a variety of programs to empower 
communities and their residents, particularly the poor and 
disadvantaged, to develop viable communities, provide decent housing 
and a suitable living environment for all citizens, without 
discrimination in order to improve themselves both as individuals and 
as a community.
    (2) Simplify and streamline the application process for funding 
under HUD programs. By making available to State and local governments, 
public housing agencies, tribal governments, non-profit organizations 
and others, the application requirements for HUD housing and community 
development programs in one NOFA, HUD hopes that the result will be a 
less time consuming and less complicated application process. This new 
process also allows an applicant to submit one application for funds 
for several programs. Except where statutory or regulatory requirements 
or program policy mandate differences, the SuperNOFA strives to provide 
for one set of rules, standardized rating factors, and uniform and 
consolidated application procedures.
    (3) Enhance the ability of applicants to make more effective and 
efficient use of housing and community development funding when 
addressing community needs and implementing coordinated housing and 
community development strategies established in local Consolidated 
Plans, which is the single application for HUD housing and community 
development and other formula funds submitted by the local or State 
government. Through this SuperNOFA process, applicants are encouraged 
to: (i) create opportunities for strategic planning and citizen 
participation in a comprehensive context at the local level in order to 
establish a full continuum of housing and services; and (ii) promote 
methods for developing more coordinated and effective approaches to 
dealing with urban, suburban, and rural problems by recognizing the 
interconnections among the underlying problems and ways to address them 
through layering of available HUD programs;
    (4) Promote the ability of eligible non-profit organizations to 
participate in many of the programs contained in this SuperNOFA; 
provide an increased opportunity to assist communities in developing 
job training, economic development and empowerment programs, directed 
at revitalizing neighborhoods and obtaining self-sufficiency for low 
and moderate income families; and
    (5) Recognize and make better use of the expertise that each of the 
programs, and organizations eligible for funding under this SuperNOFA, 
can contribute when developing and implementing local housing and 
community development plans, the Consolidated Plan, and the HUD 
required Analysis of Impediments to Fair Housing Choice.
(C) Amounts Allocated
    The amounts allocated to specific programs in this SuperNOFA are 
based on appropriated funds. Should recaptured funds become available 
in any program, HUD reserves the right to increase the available 
funding amounts by the amount of funds recaptured.
(D) Eligible Applicants and Eligible Activities
    The eligible applicants and eligible activities for each program 
are identified and described for the program in the Programs Section of 
the SuperNOFA.

II. Requirements and Procedures Applicable to all Programs

    Except as may be modified in the Programs Section of this Super 
NOFA, or as noted within the specific provisions of this Section II, 
the following principles apply to all programs. Please be sure to read 
the program area section of the SuperNOFA for additional requirements 
or information.
(A) Statutory Requirements
    All applicants must meet and comply with all statutory and 
regulatory requirements applicable to the program for which they are 
seeking funding in order to be awarded funds. Copies of the regulations 
are available from the SuperNOFA Information Center or through the 
Internet at http://www.HUD.gov. HUD may reject an application from 
further funding consideration if the activities or projects proposed 
are ineligible, or HUD may eliminate the ineligible activities from 
funding consideration and reduce the grant amount accordingly.
(B) Threshold Requirements--Compliance With Fair Housing and Civil 
Rights Laws
    All applicants, with the exception of Federally recognized Indian 
tribes, must comply with all Fair Housing and civil rights laws, 
statutes, regulations and executive orders as enumerated in 24 CFR 
5.105(a). Federally recognized Indian tribes must comply with the Age 
Discrimination Act of 1975, Section 504 of the Rehabilitation Act of 
1973, and the Indian Civil Rights Act. If an applicant (1) has been 
charged with a violation of the Fair Housing Act by the Secretary; (2) 
is the defendant in a Fair Housing Act lawsuit filed by the Department 
of Justice; or (3) has received a letter of noncompliance findings 
under Title VI of the Civil Rights Act, Section 504 of the 
Rehabilitation Act, or Section 109 of the Housing and Community 
Development Act, the applicant is not eligible to apply for funding 
under this SuperNOFA until the applicant resolves such charge, lawsuit, 
or letter of findings to the satisfaction of the Department.
(C) Additional Nondiscrimination Requirements
    Applicants must comply with the Americans with Disabilities Act, 
and Title IX of the Education Amendments Act of 1972.

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(D) Affirmatively Furthering Fair Housing
    Unless otherwise specified in the Programs Section of this 
SuperNOFA, each successful applicant will have a duty to affirmatively 
further fair housing. Where directed by the applicable program section, 
applicants should include in their work plans the specific steps that 
they will take to (1) address the elimination of impediments to fair 
housing that were identified in the jurisdiction's Analysis of 
Impediments (AI) to Fair Housing Choice; (2) remedy discrimination in 
housing; or (3) promote fair housing rights and fair housing choice. 
Further, applicants have a duty to carry out the specific activities 
cited in their responses to the rating factors that address 
affirmatively furthering fair housing in the Programs Section of this 
SuperNOFA.
(E) Economic Opportunities for Low and Very Low-Income Persons (Section 
3).
    Certain programs in this SuperNOFA require recipients of HUD 
assistance to comply with section 3 of the Housing and Urban 
Development Act of 1968, 12 U.S.C. 1701u (Economic Opportunities for 
Low and Very Low-Income Persons) and the HUD regulations at 24 CFR part 
135, including the reporting requirements subpart E. Section 3 provides 
that recipients shall ensure that training, employment and other 
economic opportunities, to the greatest extent feasible, be directed to 
(1) low and very low income persons, particularly those who are 
recipients of government assistance for housing and (2) business 
concerns which provide economic opportunities to low and very low 
income persons. Section 3 is applicable to the following programs in 
this SuperNOFA: Brownfields Economic Development; Economic Development 
Initiative; Economic Development and Supportive Services; Tenant 
Opportunity Program; and Youthbuild.
(F) Relocation
    Any person (including individuals, partnerships, corporations or 
associations) who moves from real property or moves personal property 
from real property as a direct result of a written notice to acquire or 
the acquisition of the real property, in whole or in part, for a HUD-
assisted activity is covered by acquisition policies and procedures and 
the relocation requirements of the Uniform Relocation Assistance and 
Real Property Acquisition Policies Act of 1970, as amended (URA), and 
the implementing governmentwide regulation at 49 CFR part 24. Any 
person who moves permanently from real property or moves personal 
property from real property as a direct result of rehabilitation or 
demolition for an activity undertaken with HUD assistance is covered by 
the relocation requirements of the URA and the governmentwide 
regulation.
(G) Forms, Certifications and Assurances
    Each applicant is required to submit signed copies of the standard 
forms, certifications, and assurances, listed in this section, unless 
the Programs Section specifies otherwise. Additionally, the Programs 
Section may specify additional forms, certifications, assurances, or 
other information, that may be required for a particular program in 
this SuperNOFA.
    (1) Standard Form for Application for Federal Assistance (SF-424);
    (2) Standard Form for Budget Information--Non-Construction Programs 
(SF-424A) or Standard Form for Budget Information-Construction Programs 
(SF-424C), as applicable;
    (3) Standard Form for Assurances--Non-Construction Programs (SF-
424B) or Standard Form for Assurances--Construction Programs (SF-424D), 
as applicable;
    (4) Drug-Free Workplace Certification (HUD-50070);
    (5) Certification and Disclosure Form Regarding Lobbying (SF-LLL); 
(Tribes and tribally designated housing entities (THDEs) established by 
an Indian tribe as a result of the exercise of the tribe's sovereign 
power are not required to submit this certification. Tribes and TDHEs 
established under State law are required to submit this certification.)
    (6) Applicant/Recipient Disclosure Update Report (HUD-2880);
    (7) Certification that the applicant will comply with the 
requirements of the Fair Housing Act, Title VI of the Civil Rights Act 
of 1964, section 504 of the Rehabilitation Act of 1973, and the Age 
Discrimination Act of 1975, and will affirmatively further fair 
housing. CDBG recipients also must certify to compliance with section 
109 of the Housing and Community Development Act. Federally recognized 
Indian tribes must certify that they will comply with the requirements 
of the Age Discrimination Act of 1975, section 504 of the 
Rehabilitation Act of 1973, and the Indian Civil Rights Act.
    (8) Certification required by 24 CFR 24.510. (The provisions of 24 
CFR part 24 apply to the employment, engagement of services, awarding 
of contracts, subgrants, or funding of any recipients, or contractors 
or subcontractors, during any period of debarment, suspension, or 
placement in ineligibility status, and a certification is required.)
(H) OMB Circulars
    The policies, guidances, and requirements of OMB Circular No. A-87 
(Cost Principles Applicable to Grants, Contracts and Other Agreements 
with State and Local Governments), OMB Circular No. A-122 (Cost 
Principles for Nonprofit Organizations), 24 CFR part 84 (Grants and 
Agreements with Institutions of Higher Education, Hospitals, and other 
Non-Profit Organizations) and 24 CFR part 85 (Administrative 
Requirements for Grants and Cooperative Agreements to State, Local, and 
Federally recognized Indian tribal governments) apply to the award, 
acceptance and use of assistance under the programs of this SuperNOFA, 
and to the remedies for noncompliance, except when inconsistent with 
the provisions of the FY 1998 HUD Appropriations Act, other Federal 
statutes or the provisions of this SuperNOFA. Compliance with 
additional OMB Circulars may be specified for a particular program in 
the Programs Section of the SuperNOFA. Copies of the OMB Circulars may 
be obtained from EOP Publications, Room 2200, New Executive Office 
Building, Washington, DC 10503, telephone (202) 395-7332 (this is not a 
toll free number).
(I) Environmental Requirements
    For programs under this SuperNOFA that assist physical development 
activities or property acquisition, grantees are generally prohibited 
from acquiring, rehabilitating, converting, leasing, repairing or 
constructing property, or committing or expending HUD or non-HUD funds 
for these program activities, until one of the following has occurred: 
(1) HUD has completed an environmental review in accordance with 24 CFR 
part 50; or (2) for programs subject to 24 CFR part 58, HUD has 
approved a grantee's Request for Release of Funds (HUD Form 7015.15) 
following a Responsible Entity's completion of an environmental review. 
Applicants should consult the Programs Section for the applicable 
program to determine the procedures for, timing of, and any exclusions 
from environmental review under a particular program.
(J) Conflicts of Interest
    Consultants or experts assisting HUD in rating and ranking 
applicants for funding under this SuperNOFA are subject to 18 U.S.C. 
208, the Federal criminal conflict of interest statute, and

[[Page 23883]]

to the Standards of Ethical Conduct for Employees of the Executive 
Branch regulation published at 5 CFR part 2635. As a result, 
individuals who have assisted or plan to assist applicants with 
preparing applications for this SuperNOFA may not serve on a selection 
panel or as a technical advisor to HUD for this SuperNOFA. All 
individuals involved in rating and ranking this SuperNOFA, including 
experts and consultants, must avoid conflicts of interest or the 
appearance of conflicts. If the selection or non-selection of any 
applicant under this NOFA affects the individual's financial interests 
set forth in 18 U.S.C. 208 or involves any party with whom the 
individual has a covered relationship under 5 CFR 2635.502, that 
individual must, prior to participating in any matter regarding this 
NOFA, disclose this fact to the General Counsel or the Ethics Law 
Division.

III. Application Selection Process

(A) General
    To review and rate applications, HUD may establish panels including 
persons not currently employed by HUD to obtain certain expertise and 
outside points of view, including views from other Federal agencies.
    (1) Rating. All applications for funding in each program listed in 
this SuperNOFA will be evaluated and rated against the criteria in this 
SuperNOFA. The rating of the ``applicant'' or the ``applicant's 
organization and staff'' for technical merit or threshold compliance, 
unless otherwise specified, will include any sub-contractors, 
consultants, sub-recipients, and members of consortia which are firmly 
committed to the project.
    (2) Ranking. Applicants will be ranked within each program. 
Applicants will be ranked only against others that applied for the same 
program funding and where there are set-asides within the competition, 
the applicant would only compete against applicants in the same set-
aside competition.
(B) Threshold Requirements
    HUD will review each application to determine whether the 
application meets all of the threshold criteria described for program 
funding made available under this SuperNOFA. Applications that meet all 
of the threshold criteria will be eligible to be rated and ranked, 
based on the criteria described, and the total number of points to be 
awarded.
(C) Factors for Award Used To Evaluate and Rate Applications
    For all of the programs for which funding is available under this 
SuperNOFA, the points awarded for the factors total 100. Where 
applicable (as provided in the Programs Section of the SuperNOFA), 
applicants may be eligible for additional points as discussed in this 
Section III(C).
    (1) Bonus Points. The SuperNOFA provides for the award of up to two 
bonus points for eligible activities/projects that are proposed to be 
located in federally designated Empowerment Zones, Enterprise 
Communities, or Urban Enhanced Enterprise Communities, and serve the 
EZ/EC residents, and are certified to be consistent with the strategic 
plan of the EZs and ECs. The application kit contains a certification 
which must be completed for the applicant to be considered for EZ/EC 
bonus points. In the BEDI competition, two bonus points are available 
for federally designated Brownfields Showcase Communities. (Please see 
BEDI section of this SuperNOFA for additional information). A listing 
of the federally designated EZs, ECs, Enhanced ECs and Brownfields 
Showcase Communities are available from the SuperNOFA Information 
Center, or through the HUD web site on the Internet at http://
www.HUD.gov.
    (2) Court-Ordered Consideration. Due to an order of the U.S. 
District Court for the Northern District of Texas, Dallas, Division, 
with respect to any application by the City of Dallas, Texas, for HUD 
funds, HUD shall consider the extent to which the strategies or plans 
in an application or applications submitted by the City of Dallas for 
any program under this SuperNOFA will be used to eradicate the vestiges 
of segregation in the Dallas Housing Authority's low income housing 
programs. The City of Dallas should address the effect, if any, that 
vestiges of racial segregation in Dallas Housing Authority's low income 
housing programs have on potential participants in the programs covered 
by this NOFA, and identify proposed actions for remedying those 
vestiges. HUD may add up to 2 points to the score for any program based 
on this consideration, as provided in Factor 3 by the individual 
programs in the Programs Section of this SuperNOFA. (The points 
provided in this Section III(C)(2) is limited to applications submitted 
by the City of Dallas.)
    (3) The Five Standard Rating Factors. The factors for rating and 
ranking applicants are listed in this Section III(c)(2) and maximum 
points for each factor, are provided in the Programs Section of the 
SuperNOFA. Each applicant should carefully read the factors for award 
as described in the program area section that they are seeking funding. 
While HUD has established the following basic factors for award, these 
may have been modified or adjusted to take into account specific 
program needs, or statutory or regulatory limitations imposed on a 
program. The standard factors for award, except as modified in the 
program area section are:

Factor 1: Capacity of the Applicant and Relevant Organizational Staff
Factor 2: Need/Extent of the Problem
Factor 3: Soundness of Approach
Factor 4: Leveraging Resources
Factor 5: Comprehensiveness and Coordination
(D) Negotiation
    After all applications have been rated and ranked and a selection 
has been made HUD may require that all winners participate in 
negotiations to determine the specific terms of the grant agreement and 
budget. In cases where HUD cannot successfully conclude negotiations or 
a selected applicant fails to provide HUD with requested information, 
awards will not be made. In such instances, HUD may offer an award to 
the next highest ranking applicant, and proceed with negotiations with 
the next highest ranking applicant.
(E) Adjustments to Funding
    HUD reserves the right to fund less than the full amount requested 
in any application to ensure the fair distribution of the funds and to 
ensure the purposes of the programs contained in this SuperNOFA are 
met. HUD may choose not to fund portions of the applications that are 
ineligible for funding under applicable program statutory or regulatory 
requirements, or which do not meet the requirements of this General 
Section of this SuperNOFA or the requirements in the Programs Section 
for the specific program, and fund eligible portions of the 
applications.
    If funds remain after funding the highest ranking applications, HUD 
may fund part of the next highest ranking application in a given 
program area. If the applicant turns down the award offer, HUD will 
make the same determination for the next highest ranking application. 
If funds remain after all selections have been made, remaining funds 
may be available for other competitions for each program area where 
there is a balance of funds.
    Additionally, in the event of a HUD procedural error that, when 
corrected,

[[Page 23884]]

would result in selection of an otherwise eligible applicant during the 
funding round of this SuperNOFA, HUD may select that applicant when 
sufficient funds become available.
(F) Performance and Compliance Actions of Grantees
    Performance and compliance actions of grantees will be measured and 
addressed in accordance with applicable standards and sanctions of 
their respective programs.

IV. Application Submission Requirements

    As discussed earlier in the introductory section of this SuperNOFA, 
part of the simplification of this funding process, is to reduce the 
duplication of effort involved in completing and submitting similar 
applications for HUD funded programs. This SuperNOFA provides for 
consolidated applications for several of the programs for which funding 
is available under this SuperNOFA.

V. Corrections to Deficient Applications

    After the application due date, HUD may not, consistent with 24 CFR 
part 4, subpart B, consider unsolicited information from an applicant. 
HUD may contact an applicant, however, to clarify an item in the 
application or to correct technical deficiencies. Applicants should 
note, however, that HUD may not seek clarification of items or 
responses that improve the substantive quality of the applicant's 
response to any eligibility or selection criterion. Examples of curable 
technical deficiencies include failure to submit the proper 
certifications or failure to submit an application containing an 
original signature by an authorized official. In each case, HUD will 
notify the applicant in writing by describing the clarification or 
technical deficiency. HUD will notify applicants by facsimile or by 
return receipt requested. Applicants must submit clarifications or 
corrections of technical deficiencies in accordance with the 
information provided by HUD within 14 calendar days of the date of 
receipt of the HUD notification. If the deficiency is not corrected 
within this time period, HUD will reject the application as incomplete.

VI. Promoting Comprehensive Approaches to Housing and Community 
Development

(A) General
    HUD believes the best approach for addressing community problems is 
through a community-based process that provides a comprehensive 
response to identified needs. By making HUD's Economic Development and 
Empowerment funding available in one NOFA, applicants may be able to 
relate the activities proposed for funding under this SuperNOFA to the 
recent and upcoming NOFAs and the community's Consolidated Plan and 
Analysis of Impediments to Fair Housing Choice. A complete schedule of 
NOFAs to be published during the fiscal year and those already 
published appears under the HUD Homepage on the Internet, which can be 
accessed at http://www.hud.gov/nofas.html.
(B) Linking Program Activities With AmeriCorps
    Applicants are encouraged to link their proposed activities with 
AmeriCorps, a national service program engaging thousands of Americans 
on a full or part-time basis to help communities address their toughest 
challenges, while earning support for college, graduate school, or job 
training. For information about AmeriCorps, call the Corporation for 
National Service at (202) 606-5000.
(C) Encouraging Visitability in New Construction and Substantial 
Rehabilitation Activities
    In addition to applicable accessible design and construction 
requirements, applicants are encouraged to incorporate visitability 
standards where feasible in new construction and substantial 
rehabilitation projects involving housing. Visitability standards allow 
a person with mobility impairments access into the home, but does not 
require that all features be made accessible. Visitability means at 
least one entrance at grade (no steps), approached by an accessible 
route such as a sidewalk; the entrance door and all interior passage 
doors are at least 2 feet 10 inches wide, allowing 32 inches of clear 
passage space. Allowing use of 2'10'' doors is consistent with the Fair 
Housing Act (at least for the interior doors), and may be more 
acceptable than requiring the 3 foot doors that are required in fully 
accessible areas under the Uniform Federal Accessibility Standards for 
a small percentage of units. A visitable home also serves persons 
without disabilities, such as a mother pushing a stroller, or a person 
delivering a large appliance. Copies of the UFAS are available from the 
Office of Fair Housing and Equal Opportunity, U.S. Department of 
Housing and Urban Development, Room 5230, 451 Seventh Street, SW, 
Washington, DC 20410, telephone (202) 755-5404 or the TTY telephone 
number, 1-800-877-8399 (Federal Information Relay Service).
(D) Developing Healthy Homes
    HUD's Healthy Homes Initiative is one of the initiatives developed 
by the White House Task Force on Environmental Health Risks and Safety 
Risks to Children that was established under Executive Order 13045 
(``Protection of Children from Environmental Health Risks and Safety 
Risks''). HUD encourages the funding of activities (to the extent 
eligible under specific programs) that promote healthy homes, or that 
promote education on what is a healthy home. These activities may 
include, but are not limited to the following: educating homeowners or 
renters about the need to protect children in their home from dangers 
that can arise from items such as curtain cords, electrical outlets, 
hot water, poisons, fire, and sharp table edges, among others; 
incorporating child safety measures in the construction, rehabilitation 
or maintenance of housing, which include but are not limited to: child 
safety latches on cabinets, hot water protection devices, properly 
ventilated windows to protect from mold, window guards to protect 
children from falling, proper pest management to prevent cockroaches 
which can cause asthma, and activities directed to control of lead-
based paint hazards. The National Lead Information Hotline is 1-800-
424-5323.

VII. Findings and Certifications

(A) Environmental Impact
    A Finding of No Significant Impact with respect to the environment 
has been made in accordance with HUD regulations at 24 CFR part 50 that 
implement section 102(2)(C) of the National Environmental Policy Act of 
1969 (42 U.S.C. 4332). The Finding of No Significant Impact is 
available for public inspection during regular business hours in the 
Office of the General Counsel, Regulations Division, Room 10276, U.S. 
Department of Housing and Urban Development, 451 Seventh Street, SW, 
Washington, DC 20410-0500.
(B) Federalism, Executive Order 12612
    The General Counsel, as the Designated Official under section 6(a) 
of Executive Order 12612, Federalism, has determined that the policies 
contained in this SuperNOFA will not have substantial direct effects on 
States or their political subdivisions, or on the relationship between 
the Federal Government and the States, or on the distribution of power 
and responsibilities among the various levels of government. 
Specifically, the SuperNOFA solicits applicants to

[[Page 23885]]

expand their role in addressing community development needs in their 
localities, and does not impinge upon the relationships between the 
Federal government and State and local governments. As a result, the 
SuperNOFA is not subject to review under the Order.
(C) Prohibition Against Lobbying Activities
    Applicants for funding under this SuperNOFA are subject to the 
provisions of section 319 of the Department of Interior and Related 
Agencies Appropriation Act for Fiscal Year 1991, 31 U.S.C. 1352 (the 
Byrd Amendment), which prohibits recipients of Federal contracts, 
grants, or loans from using appropriated funds for lobbying the 
executive or legislative branches of the Federal Government in 
connection with a specific contract, grant, or loan. Applicants are 
required to certify, using the certification found at Appendix A to 24 
CFR part 87, that they will not, and have not, used appropriated funds 
for any prohibited lobbying activities. In addition, applicants must 
disclose, using Standard Form LLL, ``Disclosure of Lobbying 
Activities,'' any funds, other than Federally appropriated funds, that 
will be or have been used to influence Federal employees, members of 
Congress, and congressional staff regarding specific grants or 
contracts. Tribes and tribally designated housing entities (THDEs) 
established by an Indian tribe as a result of the exercise of the 
tribe's sovereign power are excluded from coverage of the Byrd 
Amendment, but tribes and TDHEs established under State law are not 
excluded from the statute's coverage.
(D) Section 102 of the HUD Reform Act; Documentation and Public Access 
Requirements
    Section 102 of the Department of Housing and Urban Development 
Reform Act of 1989 (42 U.S.C. 3545) (HUD Reform Act) and the 
regulations codified in 24 CFR part 4, subpart A, contain a number of 
provisions that are designed to ensure greater accountability and 
integrity in the provision of certain types of assistance administered 
by HUD. On January 14, 1992 (57 FR 1942), HUD published a notice that 
also provides information on the implementation of section 102. The 
documentation, public access, and disclosure requirements of section 
102 apply to assistance awarded under this SuperNOFA as follows:
    (1) Documentation and public access requirements. HUD will ensure 
that documentation and other information regarding each application 
submitted pursuant to this SuperNOFA are sufficient to indicate the 
basis upon which assistance was provided or denied. This material, 
including any letters of support, will be made available for public 
inspection for a 5-year period beginning not less than 30 days after 
the award of the assistance. Material will be made available in 
accordance with the Freedom of Information Act (5 U.S.C. 552) and HUD's 
implementing regulations in 24 CFR part 15.
    (2) Disclosures. HUD will make available to the public for 5 years 
all applicant disclosure reports (HUD Form 2880) submitted in 
connection with this SuperNOFA. Update reports (also Form 2880) will be 
made available along with the applicant disclosure reports, but in no 
case for a period less than 3 years. All reports--both applicant 
disclosures and updates--will be made available in accordance with the 
Freedom of Information Act (5 U.S.C. 552) and HUD's implementing 
regulations at 24 CFR part 15.
    (3) Publication of Recipients of HUD Funding. HUD's regulations at 
24 CFR 4.7 provide that HUD will publish a notice in the Federal 
Register on at least a quarterly basis to notify the public of all 
decisions made by the Department to provide:
    (i) Assistance subject to section 102(a) of the HUD Reform Act; or
    (ii) Assistance that is provided through grants or cooperative 
agreements on a discretionary (non-formula, non-demand) basis, but that 
is not provided on the basis of a competition.
(E) Section 103 HUD Reform Act
    HUD's regulations implementing section 103 of the Department of 
Housing and Urban Development Reform Act of 1989 (42 U.S.C. 3537a), 
codified in 24 CFR part 4, apply to this funding competition. The 
regulations continue to apply until the announcement of the selection 
of successful applicants. HUD employees involved in the review of 
applications and in the making of funding decisions are limited by the 
regulations from providing advance information to any person (other 
than an authorized employee of HUD) concerning funding decisions, or 
from otherwise giving any applicant an unfair competitive advantage. 
Persons who apply for assistance in this competition should confine 
their inquiries to the subject areas permitted under 24 CFR part 4.
    Applicants or employees who have ethics related questions should 
contact the HUD Ethics Law Division at (202) 708-3815. (This is not a 
toll-free number.) For HUD employees who have specific program 
questions, the employee should contact the appropriate field office 
counsel, or Headquarters counsel for the program to which the question 
pertains.

VIII. The FY 1998 SuperNOFA Process and Future HUD Funding Processes

    In FY 1997, Secretary Cuomo took the first step at changing HUD's 
funding process to better promote comprehensive, coordinated approaches 
to housing and community development. In FY 1997, the Department 
published related NOFAs on the same day or within a few days of each 
other. In the individual NOFAs published in FY 1997, HUD advised that 
additional steps on NOFA coordination may be considered for FY 1998. 
The three SuperNOFAs to be published for FY 1998 represent the 
additional step taken by HUD to improve HUD's funding process and 
assist communities to make better use of available resources through a 
coordinated approach. This new SuperNOFA process was developed based on 
comments received from HUD clients and the Department believes it 
represents a significant improvement over HUD's approach to the funding 
process in prior years. For FY 1999, HUD may take even further steps to 
enhance this process. HUD welcomes comments from applicants and other 
members of the public on this process, and how it may be improved in 
future years.
    The description of program funding available under this second 
SuperNOFA for Economic Development and Empowerment Programs follows.

    Dated: April 23, 1998.
Saul N. Ramirez, Jr.,
Acting Deputy Secretary.

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Notices  

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Funding Availability for the Brownfields Economic Development 
Initiative (BEDI)

    Program Description: Approximately $25 million is available for 
Brownfields Economic Development Initiative (BEDI) grants under Section 
108(q) of the Housing and Community Development Act of 1974, as 
amended. BEDI funds are used to enhance the security of the Section 108 
guaranteed loan for the same project or to improve the viability of a 
project financed with a Section 108-guaranteed loan. A BEDI grant is 
required to be used in conjunction with a new Section 108 guaranteed 
loan commitment.
    Application Due Date: Completed applications (one original and two 
copies) must be submitted no later than 12:00 midnight, Eastern time, 
on August 10, 1998 to the addresses shown below. See the General 
Section of this SuperNOFA for specific procedures governing the form of 
application submission (e.g., mailed applications, express mail, 
overnight delivery, or hand carried).

Addresses for Submitting Applications

    To HUD Headquarters. The completed application (an original and one 
copy) must be submitted to: Processing and Control Unit, Room 7255, 
Office of Community Planning and Development, Department of Housing and 
Urban Development, 451 Seventh Street, SW, Washington, D.C. 20410, 
Attention: BEDI Grant, by mail or hand delivery.
    To the Appropriate CPD Field Office. An additional copy should be 
submitted to the Community Planning and Development Division of the 
appropriate HUD Field Office for the applicant's jurisdiction.
    When submitting your application, please refer to BEDI, and include 
your name, mailing address (including zip code) and telephone number 
(include area code).

For Application Kits, Further Information, and Technical Assistance

    For Application Kits. For an application kit and any supplemental 
information, please call HUD's SuperNOFA Information line toll free at 
1-800-HUD-8929. Persons with hearing or speech impairments may call the 
Center's TTY number at 1-800-HUD-2209 to obtain an application kit. The 
application kit will also be available on the Internet through the HUD 
web site at http://www.hud.gov. When requesting an application kit, 
please refer to BEDI. Please be sure to provide your name, address 
(including zip code), and telephone number (including area code).
    For Further Information and Technical Assistance. Contact either 
Stan Gimont or Paul Webster, Financial Management Division, Office of 
Block Grant Assistance, Department of Housing and Urban Development, 
451 Seventh Street, SW, Room 7178, Washington, DC 20410, telephone 
(202) 708-1871 (this is not a toll-free number). Persons with speech or 
hearing impairments may access this number via TTY by calling the toll-
free Federal Information Relay Service at 1-800-877-8339.
    See the General Section of this SuperNOFA for guidance on technical 
assistance. With respect to the Section 108 Loan Guarantee program, 
which is not a competitive program and thus not subject to those 
provisions of the HUD Reform Act pertaining to competitions, HUD staff 
will be available to provide advice and assistance to develop Section 
108 loan applications.

Additional Information

I. Authority; Definitions; Purpose; Amount Allocated; and 
Eligibility

(A) Authority

    Section 108(q), Title I, Housing and Community Development Act of 
1974, as amended, (42 U.S.C. 5301-5320) (the Act); 24 CFR part 570.

(B) Definitions

    Unless otherwise defined herein, terms defined in 24 CFR part 570 
and used in this program section of this SuperNOFA shall have the 
respective meanings given thereto in that part.
    Brownfield means abandoned, idled, or under-used real property 
(including industrial and commercial facilities) where expansion or 
redevelopment is complicated by real or suspected contamination.
    Brownfields Economic Development Initiative (BEDI) means the 
competitive award of up to $25 million, as appropriated in the FY 1998 
HUD Appropriations Act, for economic development grant assistance under 
section 108(q) of the Act for the purpose of assisting public entities 
in the redevelopment of brownfields.
    CDBG funds means those funds as defined at 24 CFR 570.3, including 
grant funds received pursuant to section 108(q) and this program 
section of this SuperNOFA.
    Economic Development Initiative (EDI) means the provision of 
economic development grant assistance under section 108(q) of the Act, 
as authorized by Section 232 of the Multifamily Housing Property 
Disposition Reform Act of 1994 (Pub. L. 103-233, approved April 11, 
1994).
    Economic development project means an activity or activities 
(including mixed use projects with housing components) that are 
eligible under the Act and under 24 CFR 570.703, and that increase 
economic opportunity for persons of low- and moderate-income or that 
stimulate or retain businesses or jobs or that otherwise lead to 
economic revitalization in connection with brownfields.
    Empowerment Zone or Enterprise Community means an urban area so 
designated by the Secretary of HUD pursuant to 24 CFR part 597, or a 
rural area so designated by the Secretary of Agriculture pursuant to 7 
CFR part 25, subpart B.
    EPA means the U.S. Environmental Protection Agency.
    Showcase Community means an applicant chosen by the Federal 
Government's Brownfields National Partnership for inclusion in Federal 
Government's Brownfields Showcase Communities program.
    Strategic Plan means a strategy developed and agreed to by the 
nominating local government(s) and State(s) and submitted in partial 
fulfillment of the application requirements for an Empowerment Zone or 
Enterprise Community designated pursuant to 24 CFR part 597.

(C) Purpose

    (1) Background. HUD has multiple programs which are intended to 
stimulate and promote economic and community development and can be 
effectively employed to address and remedy brownfield conditions. 
Primary among HUD's resources are the Community Development Block Grant 
(CDBG) program and the Section 108 loan guarantee program.
    The CDBG program provides grant funds ($4.195 billion in FY 1998) 
to local governments (either directly or through States) to carry out 
community and economic development activities. The Section 108 loan 
guarantee program provides local governments with a source of financing 
for economic development, housing rehabilitation, and other eligible 
large scale physical development projects. HUD is authorized pursuant 
to Section 108 to guarantee notes issued by CDBG entitlement 
communities and non-entitlement units of general local government 
eligible to receive funds under the State CDBG program. Regulations 
governing the Section 108 program are found at 24 CFR part 570, subpart 
M. It must be noted that the Section 108 program is subject to the

[[Page 23890]]

regulations of 24 CFR part 570 applicable to the CDBG program with the 
exception of changes embodied in 24 CFR part 570, subpart M.
    For FY 1998, the Section 108 program is authorized at $1.261 
billion in loan guarantee authority. The full faith and credit of the 
United States is pledged to the payment of all guarantees made under 
Section 108. Under this program, communities (and States, if 
applicable) pledge their future years' CDBG allocations as security for 
loans guaranteed by HUD. The Section 108 program, however, does not 
require CDBG funds to be escrowed for loan repayment (unless such an 
arrangement is specifically negotiated as loan security). This means 
that a community can continue to spend its existing allocation for 
other CDBG purposes, unless needed for loan repayment.
    (2) EDI Program. The EDI program was enacted in 1994 and is 
intended to complement and enhance the Section 108 Loan Guarantee 
program. The purpose of EDI (and BEDI) grant funds is to further 
minimize the potential loss of future CDBG allocations:
    (a) By strengthening the economic feasibility of the projects 
financed with Section 108 funds (and thereby increasing the probability 
that the project will generate enough cash to repay the guaranteed 
loan);
    (b) By directly enhancing the security of the guaranteed loan; or
    (c) Through a combination of these or other risk mitigation 
techniques.
    (3) BEDI Program. For FY 1998, the Congress made a specific 
appropriation of approximately $25 million for the EDI program to 
assist in financing ``brownfields'' redevelopment. HUD intends the $25 
million in Brownfields EDI (BEDI) funds available pursuant to this 
program section of this SuperNOFA to be used with a particular emphasis 
upon the redevelopment of brownfield sites consistent with the 
statutory purpose of the FY 1998 HUD Appropriations Act. Accordingly, 
BEDI funds shall be used as the stimulus for local governments and 
private sector parties to commence redevelopment or continue phased 
redevelopment efforts on brownfield sites where contamination is known 
or suspected and redevelopment plans exist. HUD desires to see BEDI and 
Section 108 funds used to finance projects and activities that will 
provide near-term results and demonstrable economic benefits, such as 
job creation and increases in the local tax base. HUD does not 
encourage applications whose scope is limited only to site acquisition 
and/or remediation (i.e., land banking).
    (4) Redevelopment Focus. The redevelopment focus for BEDI-assisted 
projects is also prompted by the need to provide additional security 
for the Section 108 loan guarantee pursuant to 24 CFR 570.705(b)(3). 
While public entities are required by the Act to pledge their current 
and future CDBG funds as a source of security for the Section 108 loan 
guarantee, the public entity will usually be required to furnish 
additional collateral which, ideally, will be the assets financed with 
the Section 108 loan funds. Clearly, a redevelopment focus for the BEDI 
funds will help achieve this goal by enhancing the value and improving 
the viability of projects assisted with Section 108 financing.
    (5) Integration of Other Government Brownfield Programs. HUD 
expects and encourages local governments which are designated through 
the Federal Government's Brownfields Showcase Community program or 
other brownfields programs (i.e., EPA's Assessment Pilot or Revolving 
Loan Fund programs) or a State-supported brownfields program or related 
economic development program to integrate efforts arising from those 
programs in developing projects for assistance under HUD's BEDI and 
Section 108 programs. Such applicants should elaborate upon these ties 
in their response to the rating factors, where appropriate (e.g. 
``Capacity of the Applicant,'' ``Soundness of Approach,'' or 
``Leveraging Resources,''--Rating Factors 1, 3, and 4 respectively.)
    (6) Typical Project Structures. Provided that proposals are 
consistent with other CDBG requirements, including national objectives, 
HUD envisions that the following project structures could be typical:
    (a) Land Writedowns. Local governments may use a combination of 
Section 108 and BEDI funds to acquire a brownfield site for purposes of 
reconveying the site to a private developer at a discount from its 
purchase price. This approach would provide the developer with an asset 
of enhanced value which could be used as collateral for other sources 
of funding. Such other sources of financing could be used to finance 
environmental remediation or other development costs. In theory, the 
level of BEDI assistance would approximate the difference between the 
original cost of the site and its remediation in comparison to the 
market value of the remediated property.
    (b) Site Remediation Costs. Local governments may use BEDI funds in 
any of several ways to address site remediation costs. If the local 
government used Section 108 funds to acquire real property, BEDI funds 
could be used to address assessment and site remediation costs as part 
of demolition, clearance, or site preparation activities. If the local 
government used Section 108 funds to make a loan to a developer, BEDI 
funds could be granted to the developer for the purpose of addressing 
remediation costs as part of an economic development activity.
    (c) Funding Reserves. The cash flow generated by an economic 
development project may be expected to be relatively ``thin'' in the 
early stages of the project, i.e. potentially insufficient cash flows 
to meet operating expenses and debt service obligations. The BEDI grant 
can make it possible for reserves to be established in a way that 
enhances the economic feasibility of the project.
    (d) Over-Collateralizing the Section 108 Loan.
    (i) The use of BEDI grant funds may be structured in appropriate 
cases so as to improve the likelihood that project-generated cash flow 
will be sufficient to cover debt service on the Section 108 loan and 
directly to enhance the guaranteed loan. One technique for 
accomplishing this approach is over-collateralization of the Section 
108 loan.
    (ii) An example is the creation of a loan pool made up of Section 
108 and BEDI grant funds. The community would make loans to various 
businesses from the combined pool at an interest rate equal to or 
greater than the rate on the Section 108 loan. The total loan portfolio 
would be pledged to the repayment of the Section 108 loan.
    (e) Direct Enhancement of the Security of the Section 108 Loan. The 
BEDI grant can be used to cover the cost of providing enhanced 
security. An example of how the BEDI grant can be used for this purpose 
is by using the grant funds to cover the cost of a standby letter of 
credit, issued in favor of HUD. This letter of credit will be available 
to fund amounts due on the Section 108 loan if other sources fail to 
materialize and will, thus, serve to protect the public entity's future 
CDBG funds.
    (f) Provision of Financing to For-Profit Businesses at a Below 
Market Interest Rate.
    (i) While the rates on loans guaranteed under Section 108 are only 
slightly above the rates on comparable U.S. Treasury obligations, they 
may nonetheless be higher than can be afforded by businesses in 
severely economically distressed neighborhoods. The BEDI grant can be 
used to make Section 108 financing affordable.
    (ii) BEDI grant funds could serve to ``buy down'' the interest rate 
up front,

[[Page 23891]]

or make full or partial interest payments, allowing the businesses to 
be financially viable in the early start-up period not otherwise 
possible with Section 108 alone. This strategy would be particularly 
useful where a community was undertaking a large commercial/retail 
project in a distressed neighborhood to act as a catalyst for other 
development in the area.
    (g) Combination of Techniques. An applicant could employ a 
combination of these or other techniques in order to implement a 
strategy that carries out an economic development project.

(D) Amount Allocated

    HUD has available a maximum of $25 million for the BEDI program, as 
appropriated in the FY 1998 HUD Appropriations Act for the purpose of 
assisting public entities in the redevelopment of brownfields.

(E) Eligibility to Apply for Grant Assistance

    Any public entity eligible to apply for Section 108 loan guarantee 
assistance in accordance with 24 CFR 570.702 may apply for BEDI grant 
assistance under section 108(q). Eligible applicants are CDBG 
entitlement units of general local government and non-entitlement units 
of general local government eligible to receive loan guarantees under 
24 CFR part 570, subpart M. Note that effective January 25, 1995, non-
entitlement public entities in the states of New York and Hawaii were 
authorized to apply to HUD for Section 108 loans (see 59 FR 47510, 
December 27, 1994). Thus non-entitlement public entities in all 50 
states and Puerto Rico are eligible to participate in the Section 108 
and BEDI programs.

(F) Related Section 108 Loan Guarantee Application

    (1) Each BEDI application must be accompanied by a request for new 
Section 108 loan guarantee assistance. Both the BEDI and Section 108 
funds must be used in conjunction with the same economic development 
project. This request may take any of several forms as defined below.
    (a) A formal application for new Section 108 loan guarantee(s), 
including the documents listed at 24 CFR 570.704(b);
    (b) A brief description (not to exceed three pages) of a new 
Section 108 loan guarantee application(s). Such 108 application(s) will 
be submitted within 60 days, with HUD reserving the right to extend 
such period for good cause on a case-by-case basis, of a notice of BEDI 
selection. BEDI awards will be conditioned on approval of actual 
Section 108 loan commitments. This description must be sufficient to 
support the basic eligibility of the proposed project or activities for 
Section 108 assistance. (See Section I(G) of this program section of 
this SuperNOFA.);
    (c) If applicable, a copy of a Section 108 loan guarantee approval 
document with grant number and date of approval (which was approved 
after the date of this SuperNOFA, except in conjunction with a previous 
EDI award); or
    (d) A request for a Section 108 loan guarantee amendment (analogous 
to Section I(F)(1) (a) or (b) of this BEDI section of the SuperNOFA) 
that proposes to increase the amount of a previously approved 
application. However, any amount of Section 108 loan guarantee 
authority approved before the date of this SuperNOFA is not eligible to 
be used in conjunction with a BEDI grant under this SuperNOFA.
    (2) Further, a Section 108 loan guarantee amount that is required 
to be used in conjunction with a prior EDI grant award, whether or not 
the Section 108 loan guarantee has been approved as of the date of this 
SuperNOFA, is not eligible for a BEDI award under this SuperNOFA. For 
example, if a public entity has a previously approved Section 108 loan 
guarantee commitment of $12 million, even if none of the funds have 
been utilized, or if the public entity had previously been awarded an 
EDI grant of $1 million and had certified that it will submit a Section 
108 loan application for $10 million in support of that EDI grant, the 
public entity's application under this program section of this 
SuperNOFA must propose to increase the amount of its total Section 108 
loan guarantee commitments beyond those amounts (the $12 million or $10 
million in this example) to which it has previously agreed.

(G) Eligible Activities and National Objectives

    BEDI grant funds may be used for activities listed at 24 CFR 
570.703, provided such activities are carried out as part of an 
economic development project as defined in Section I(B) of this BEDI 
section of this SuperNOFA. Each activity assisted with Section 108 loan 
guarantee or BEDI funds must meet a national objective of the CDBG 
program as described in 24 CFR 570.208. In the aggregate, a grantee's 
use of CDBG funds, including any Section 108 loan guarantee proceeds 
and section 108(q) (EDI) funds provided pursuant to this program 
section of this SuperNOFA, must comply with the CDBG primary objectives 
requirements as described in section 101(c) of the Housing and 
Community Development Act of 1974, as amended, and 24 CFR 570.200(c)(3) 
or 570.484 in the case of State grantees. The foregoing eligible 
activities may also include:
    (1) Payment of costs of private financial guaranty insurance 
policies, letters of credit, or other credit enhancements for the notes 
or other obligations guaranteed by HUD pursuant to Section 108, 
provided that the proceeds of such notes or obligations are used to 
finance an economic development project. Such enhancements shall be 
specified in the contract required by 24 CFR 570.705(b)(1), and shall 
be satisfactory in form and substance to HUD for security purposes; and
    (2) The payment of interest due (and other costs such servicing, 
underwriting, or other costs as may be authorized by HUD) on the notes 
or other obligations guaranteed by HUD pursuant to the Section 108 loan 
guarantee program.

(H) Limitations on Use of BEDI and Section 108 Funds

    Certain restrictions shall apply to the use of BEDI and Section 108 
funds:
    (1) BEDI grants shall not be used as a resource to immediately 
repay the principal of a loan guaranteed under Section 108. Repayment 
of principal is only permissible with BEDI grant funds as a matter of 
security if other sources projected for repayment of principal prove to 
be unavailable.
    (2) BEDI grant funds shall not be used in any manner by grantees to 
provide public or private sector entities with funding to remediate 
conditions caused by their actions, where the public entity (or other 
known prospective beneficiary of the proposed BEDI grant) has been 
determined responsible for causation and remediation by order of a 
court or a Federal, State, or local regulatory agency, or is 
responsible for the remediation as part of a settlement approved by 
such a court or agency.
    (3) Applicants may not propose projects on sites which are listed 
or proposed to be listed on EPA's National Priority List (NPL). 
Further, applicants are cautioned against proposing projects on sites 
where the nature and degree of environmental contamination is not well 
quantified or which are the subject of on-going litigation or 
environmental enforcement action.
    (4) Applicants are cautioned against using Section 108 funds to 
finance activities which also include financing generated through the 
issuance of federally tax exempt obligations. Pursuant to Office of 
Management and Budget (OMB) Circular A-129 (Policies

[[Page 23892]]

for Federal Credit Programs and Non-Tax Receivables), Section 108 
guaranteed loan funds may not directly or indirectly support federally 
tax-exempt obligations.

(I) Limitations on Grant Amounts

    (1) HUD expects to approve BEDI grant amounts for approvable 
applications at a range of ratios of BEDI grant funds awarded to new 
Section 108 loan guarantee commitments but the minimum ratio will be $1 
of Section 108 loan guarantee commitments for every $1 of BEDI grant 
funds. However, applicants that propose a leverage ratio of 1:1 will 
not receive any points under the Rating Subfactor 4(1): ``Leverage of 
Section 108 Funds.''
    For example, an applicant requesting a BEDI grant of $1 million 
will be required to leverage a minimum of at least $1 million in new 
Section 108 loan guarantee commitments. This will be a special 
condition of the BEDI grant award. Of course, even though there is a 
minimum ratio of 1:1, applications with higher ratios will receive more 
points under Rating Factor 4, ``Leveraging Resources/Financial Need'' 
and, all other things being equal, will be more competitive. Applicants 
are encouraged to propose projects with a greater leverage ratio of new 
Section 108 to BEDI grant funds (assuming such projects are financially 
viable). For example $1 million of BEDI could leverage $12 million of 
new Section 108 loan commitments. HUD intends that the BEDI funds will 
be used for projects which leverage the greatest possible amount of 
Section 108 loan guarantee commitments.
    (2) HUD expects that the average grant size will be approximately 
$1 million.
    (3) In the event the applicant is awarded a BEDI grant that has 
been reduced below the original request (e.g. the application contained 
some activities that were ineligible or there were insufficient funds 
to fund the last competitive application at the full amount requested), 
the applicant will be required to modify its project plans and 
application to conform to the terms of HUD approval before execution of 
a grant agreement. HUD reserves the right to reduce or de-obligate the 
BEDI award if approvable Section 108 loan guarantee applications are 
not submitted by the grantee in the required amounts on a timely basis. 
Any requested modifications must be within the scope of the original 
BEDI application.
    (4) In the case of requested amendments to a previously approved 
Section 108 loan guarantee commitment (as further discussed in section 
I(F)(1)(d) above), the BEDI assistance approved will be based on the 
increased amount of Section 108 loan guarantee assistance.

(J) Timing of Grant Awards

    (1) To the extent a full Section 108 application is submitted with 
the BEDI grant application, the Section 108 application will be 
evaluated concurrently with the request for BEDI grant funds. Note that 
BEDI grant assistance cannot be used to support a Section 108 loan 
guarantee approved prior to the date of the publication of this 
SuperNOFA. However, the BEDI grant may be awarded prior to HUD approval 
of the Section 108 commitment if HUD determines that such award will 
further the purposes of the Act.
    (2) HUD notification to the grantee of the amount and conditions 
(if any) of BEDI funds awarded based upon review of the BEDI 
application shall constitute an obligation of grant funds, subject to 
compliance with the conditions of award and execution of a grant 
agreement. BEDI funds shall not be disbursed to the public entity 
before the issuance of the related Section 108 guaranteed obligations.

II. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, applicants are subject to the following 
requirements.

(A) CDBG Program Regulations

    The requirements of 24 CFR part 570, including subpart K (Other 
Program Requirements).

(B) Environmental Review

    After the completion of this competition and after HUD's award of 
BEDI grant funds, pursuant to 24 CFR 570.604, each project or activity 
assisted under this program is subject to the provisions of 24 CFR part 
58, including limitations on the EDI grant and Section 108 public 
entity's commitment of HUD and non-HUD funds prior to the completion of 
environmental review, notification and release of funds. No such 
assistance will be released by HUD until a request for release of funds 
is submitted and the requirements of 24 CFR part 58 have been met. All 
public entities, including nonentitlement public entities, shall submit 
the request for release of funds and related certification, pursuant to 
24 CFR part 58, to the appropriate HUD field office for each project to 
be assisted.

(C) Environmental Justice

    (1) Executive Order 12898 (Federal Actions to Address Environmental 
Justice in Minority Populations and Low-Income Populations directs 
Federal agencies to develop strategies to address environmental 
justice. Environmental justice seeks to rectify the disproportionately 
high burden of environmental pollution that is often borne by low-
income, minority, and other disadvantaged communities, and to ensure 
community involvement in policies and programs addressing this issue.
    (2) Brownfields are often located in distressed neighborhoods, 
contribute to neighborhood blight, and lower the quality of social, 
economic, and environmental health of communities. The BEDI program is 
intended to promote the clean up and redevelopment of brownfield sites 
and, to this end, HUD expects that projects presented for BEDI funding 
will integrate environmental justice concerns and provide demonstrable 
benefits for affected communities and their residents.

(D) Compliance With Applicable Laws

    Applicants are advised that an award of BEDI funding does not in 
any way relieve the applicant or third parties users of BEDI funds from 
compliance with all applicable Federal, State and local laws, 
particularly those addressing the environment. Applicants are further 
advised that HUD may require evidence that any project involving 
remediation has been or will be carried out in accordance with State 
law, including voluntary clean up programs.

III. The Application Selection Process

(A) Rating and Ranking

    (1) Each rating factor and the maximum number of points is provided 
below. The maximum number of points to be awarded is 102. This includes 
two EZ/EC bonus points as described in the General Section of the 
SuperNOFA, or two bonus points for having received a federal 
designation as a Brownfields Showcase Community.
    (2) Once scores are assigned, all applications will be ranked in 
order of points assigned, with the applications receiving more points 
ranking above those receiving fewer points. Applications will be funded 
in rank order.
    (3) If HUD determines that an application rated, ranked and 
fundable could be funded at a lesser BEDI grant amount than requested 
consistent with feasibility of the funded project or activities and the 
purposes of the Act,

[[Page 23893]]

HUD reserves the right to reduce the amount of the BEDI award and/or 
increase the Section 108 loan guarantee commitment, if necessary, in 
accordance with such determination. An application in excess of $1 
million may be reduced below the amount requested by the applicant if 
HUD determines that such a reduction is appropriate.
    (4) HUD may decide not to award the full amount of BEDI grant funds 
available under this program section of this SuperNOFA and may make any 
remaining amounts available under a future SuperNOFA.

(B) Narrative Statement

    Each applicant shall provide a narrative statement describing the 
activities that will be carried out with the BEDI grant funds and 
explaining the nature and extent of the Brownfield's problems(s) 
affecting the project. The narrative statement shall not exceed three 
(3) 8.5'' by 11'' pages for the description of the activities to be 
carried out with the BEDI grant funds. The description of activities 
should include a statement of how the proposed uses of BEDI funds will 
meet the national objectives for the CDBG program under 24 CFR 570.208 
and qualify as eligible activities under 24 CFR 570.703. Citations to 
the specific regulatory subsections supporting eligibility are 
recommended, but a narrative description will be accepted. See Section 
I(G) of this program section of this SuperNOFA. The applicant shall 
also provide a narrative response to the rating factors below. Each of 
the listed rating factors (or, where applicable, each subfactor) below 
also has a separate page limitation specified. Narrative statements 
must be printed in 12 point type/font, and have sequentially numbered 
pages.

(C) Factors for Award Used to Evaluate and Rate Applications

    All applications will be considered for selection based on the 
following factors that demonstrate the quality of the proposed project 
or activities, and the applicant's creativity, capacity and commitment 
to obtain maximum benefit from the BEDI funds, in accordance with the 
purposes of the Act.
Rating Factor 1: Capacity of the Applicant and Relevant Organizational 
Experience (15 Points)
[Your response to this factor is limited to three (3) pages.]
    This factor addresses the extent to which the applicant has the 
organizational resources necessary to successfully implement the 
proposed activities in a timely manner. The rating of the ``applicant'' 
or the ``applicant's organization and staff'' for technical merit or 
threshold compliance, unless otherwise specified, will include any 
faculty, subcontractors, consultants, subrecipients, and members of 
consortia which are firmly committed (i.e. has a written agreement or a 
signed letter of understanding with the applicant agreeing in principle 
to its participation and role in the project). In rating this factor, 
HUD will consider the following:
    (1) With regard to the BEDI/Section 108 project proposed by the 
applicant, the applicant should demonstrate that it has the capacity to 
implement the specific steps required to successfully carry out the 
proposed BEDI/Section 108 project. This includes factors such as the 
applicant's:
    (a) Performance in the administration of its CDBG, HOME or other 
programs;
    (b) Previous experience, if any, in administering a Section 108 
loan guarantee;
    (c) Performance and capacity in carrying out economic development 
projects;
    (d) Performance and capacity to carry out Brownfields redevelopment 
projects;
    (e) Ability to conduct prudent underwriting;
    (f) Capacity to manage and service loans made with the guaranteed 
loan funds or previous EDI grant funds;
    (g) Capacity to carry out its projects and programs in a timely 
manner; and,
    (h) If applicable, the applicant's capacity to manage projects 
under this program section of this SuperNOFA along with any federal 
funds awarded as a result of a federal urban Empowerment Zone/
Enterprise Community designation.
    (2) If an applicant has previously received an EDI grant award(s), 
the applicant must describe the status of the implementation of that 
EDI-assisted project(s), any delays that have been encountered and the 
actions the applicant is taking to overcome any such delays in order to 
carry out the project in a timely manner. For such previously funded 
EDI grant projects, HUD will consider the extent to which the awarded 
EDI grant funds and the associated Section 108-guaranteed loan funds 
have been utilized.
    (3) The capacity of subrecipients, nonprofit organizations and 
other entities that have a role in implementing the proposed program 
will be included in this review. HUD may also rely on information from 
performance reports, financial status information, monitoring reports, 
audit reports and other information available to HUD in making its 
determination under this factor.
Rating Factor 2: Distress/Extent of the Problem (15 Points)
[Your response to this factor is limited to three (3) pages.]
    This factor addresses the extent to which there is need for funding 
the proposed activities based on levels of distress, and an indication 
of the urgency of meeting the need/distress in the target area.
    (1) In applying this factor, HUD will consider current levels of 
distress in the immediate community to be served by the project and the 
jurisdiction applying for assistance. Applicants who are able to 
indicate a level of distress in the immediate project area that is 
greater than the level of distress in the applicant's jurisdiction as a 
whole will receive a higher score under this factor than those who do 
not. HUD requires that applicants use sound and reliable data that is 
verifiable to support the level of distress claimed in the application. 
The applicant shall provide a source for the information it uses.
    (2) In previous EDI competitions, the poverty rate was often 
considered the best indicator of distress; however, the applicant may 
demonstrate the level of distress with other factors such as income 
levels and unemployment rates.
    (3) HUD will consider a project to have maximum distress if the 
project(s) is located within the boundaries of a federally-designated 
Empowerment Zone or Enterprise Community (Applicants will be 
responsible for demonstrating that the project site is within the 
boundaries of the applicant's EZ/EC area).
    (4) To the extent that the applicant's Consolidated Plan and its 
Analysis of Impediments to Fair Housing choice (AI) identifies the 
level of distress in the community and the neighborhood in which the 
project is being carried out, the applicant should include references 
to such documents in preparing its response to this factor.
Rating Factor 3: Soundness of Approach (25 Points)
[Your response to this factor is limited to three (3) pages.]
    This factor addresses the quality and cost-effectiveness of the 
applicant's proposed plan. There must be a clear relationship between 
the proposed activities, community needs and purposes of the program 
funding for an applicant to receive points for this factor. In rating 
this factor, HUD will consider the following:
    (1) HUD will consider the quality of the applicant's plan/proposal 
for the use

[[Page 23894]]

of BEDI funds and Section 108 loan funds, including the extent to which 
the applicant's proposed plan for the effective use of BEDI grant/
Section 108 loan guarantee will address the needs described in Rating 
Factor 2 above regarding the distress and extent of the problem in the 
applicant's immediate community and/or its jurisdiction.
    (2) HUD will consider the extent to which the plan is logically, 
feasibly, and substantially likely to achieve its stated purpose. HUD's 
desire is to fund projects and activities which will quickly produce 
demonstrable results and advance the public interest including the 
number of jobs to be created by the project. An applicant should 
demonstrate that it has a clear understanding of the steps required to 
implement its project, the actions that it and others responsible for 
implementing the project must complete and shall include a reasonable 
time schedule for carrying out the project.
    (3) The applicant's response to this factor should take into 
account certain site selection, planning, and environmental issues. 
Further, applicants are cautioned against proposing projects on sites 
where the nature and degree of environmental contamination is not well 
quantified or which are the subject of on-going litigation or 
environmental enforcement. To reiterate, HUD's desire is to fund 
projects and activities which will quickly produce demonstrable results 
and advance the public interest. Sites with unknown or exceptionally 
expensive contamination problems may be beyond the scope of the BEDI 
program's financial resources and sites subject to pending and current 
litigation may not be available for remediation and development in a 
timeframe consistent with HUD's desire for rapid progress in the use of 
BEDI and Section 108 funds.
    (4) The BEDI program is intended to promote the clean up and 
redevelopment of brownfield sites and, to this end, HUD expects that 
projects presented for BEDI funding will integrate environmental 
justice concerns and provide demonstrable benefits for affected 
communities and their residents.
    (5) HUD will evaluate the extent to which the applicant's project 
incorporates one or more elements that facilitate a successful 
transition of welfare recipients from welfare to work. Such an element 
could include, for example, linking the proposed project or loan fund 
to social and/or other services needed to enable welfare recipients to 
successfully secure and carry out full-time jobs in the private sector; 
provision of job training to welfare recipients who might be hired by 
businesses financed through the proposal; and/or incentives for 
businesses financed with BEDI/section 108 funds to hire and train 
welfare recipients.
    (6) Up to two (2) additional points will be awarded to any 
application submitted by the City of Dallas, Texas, to the extent this 
subfactor is addressed. Due to an order of the U.S. District Court for 
the Northern District of Texas, Dallas Division, with respect to any 
application submitted by the City of Dallas, Texas, HUD's consideration 
of the applicant's response to this factor, ``Soundness of Approach'' 
will include the extent to which the applicant's plan for the use of 
BEDI funds and Section 108 loans will be used to eradicate the vestiges 
of racial segregation in the Dallas Housing Authority's programs 
consistent with the Court's order.
Rating Factor 4: Leveraging Resources/Financial Need (35 Points)
[Page limits for the response to this factor are listed separately for 
each subfactor under this factor.]
    In evaluating this factor, HUD will consider the extent to which 
the applicant's response demonstrates the financial need and 
feasibility of the project and the leverage ratio of Section 108 loan 
proceeds to BEDI grant funds. This factor has three subfactors, each 
with its own maximum point total:
    (1) Leverage of Section 108 funds (20 points). [Your response to 
this subfactor is limited to one (1) page.] The minimum ratio of 
Section 108 funds to BEDI funds in any project may not be less than 
1:1. The extent to which the proposed project leverages an amount of 
Section 108 funds beyond the 1:1 ratio will be considered a positive 
factor. Applicants that have a ratio of 1:1 will not receive any points 
under this subfactor. Applicants that use their BEDI grant to leverage 
more Section 108 commitments will receive more points under this 
subfactor.
    (2) Financial feasibility (10 points). [Your response to this 
subfactor is limited to three (5) pages.] HUD will consider the extent 
to which the applicant demonstrates that the project is financially 
feasible. This may include factors such as:
    (a) Project costs and financial requirements. Applicants should 
provide a funding sources and uses statement (not included in 5 page 
narrative limit) as well as justifications for project costs.
    (b) The amount of any debt service or operating reserve accounts to 
be established in connection with the economic development project.
    (c) The reasonableness of the costs of any credit enhancement paid 
with BEDI grant funds.
    (d) The amount of program income (if any) to be received each year 
during the repayment period for the guaranteed loan.
    (e) Interest rates on those loans to third parties (other than 
subrecipients) (either as an absolute rate or as a plus/minus spread to 
the Section 108 rate).
    (f) Underwriting criteria that will be used in determining project 
feasibility.
    (3) Leverage of other financial resources (5 points). [Your 
response to this subfactor is limited to one (1) page plus supporting 
documentation evidencing third party commitment (written and signed) of 
funds.] HUD will evaluate the extent to which the applicant leverages 
other funds (public or private) with BEDI grant funds and section 108 
guaranteed loan funds and the extent to which such other funds are 
firmly pledged to the project. This could include the use of CDBG 
funds, other Federal or state grants or loans, a grantee's general 
funds, project equity or commercial financing provided by private 
sources or funds from non-profits or other sources. Funds will be 
considered pledged to the project if there is evidence of the third 
party's written commitment to make the funds available for the BEDI/108 
project, subject to approval of the BEDI and Section 108 assistance and 
completion of any environmental clearance required under 24 CFR part 58 
for the project. Note that with respect to CDBG funds, the applicant's 
pledge of its CDBG funds will be considered sufficient commitment.
Rating Factor 5: Comprehensiveness and Coordination (10 Points)
[Your response to this factor is limited to two (2) pages.]
    This factor addresses the extent to which the applicant coordinated 
its activities with other known organizations, participates or promotes 
participation in the applicant's or a State's Consolidated Planning 
process, and is working towards addressing a need in a comprehensive 
manner through linkages with other activities in the community.
    In evaluating this factor, HUD will consider the extent to which 
the applicant demonstrates it has:
    (1) Coordinated its proposed activities with those of other groups 
or organizations prior to submission in order to best complement, 
support and coordinate all known activities and if funded, the specific 
steps it will take to share information on solutions and outcomes with 
others. Any written

[[Page 23895]]

agreements, memoranda of understanding in place, or that will be in 
place after award should be described.
    (2) Developed linkages, or the specific steps it will take to 
develop linkages with other activities, programs or projects through 
meetings, information networks, planning processes or other mechanisms 
to coordinate its activities so solutions are holistic and 
comprehensive, including linkages with other HUD-funded projects/
activities outside the scope of those covered by the Consolidated Plan.
    (3) Coordinated its efforts with other Federal, State or locally 
supported activities, including EPA's various Brownfields initiatives, 
and those proposed or on-going in the community.

IV. Application Submission Requirements

    (A) Public entities seeking BEDI assistance must make a specific 
request for that assistance, in accordance with the requirements of 
this program section of this SuperNOFA.
    (B) The application should include an original and one copy of the 
items listed below submitted to HUD Headquarters (see the section 
``Addresses For Submitting Applications in this program section of this 
SuperNOFA), with one additional copy submitted directly to the 
Community Planning and Development Division of the cognizant HUD Field 
Office for the applicant's jurisdiction.
    (C) A BEDI application shall consist of the following items:
    (1) Transmittal letter from applicant;
    (2) Table of contents;
    (3) Application check list (supplied in application kit);
    (4) A request for loan guarantee assistance under Section 108, as 
further described in Section I(F) of this program section of this 
SuperNOFA. Application guidelines for the Section 108 program are found 
at 24 CFR 570.704;
    (5) As described in Section III(B) of this program section of this 
SuperNOFA, a narrative statement (3 page limit) describing the 
activities that will be carried out with the BEDI grant funds;
    (6) Responses to each of the rating factors (within the page limits 
provided for each factor or subfactor as applicable);
    (7) Completion of a funding sources and uses statement and a BEDI 
and Section 108 eligibility statement (see the application kit);
    (8) Written agreements or signed letters of understanding in 
support of Rating Factor 1: ``Capacity of the Applicant and Relevant 
Organizational Experience'';
    (9) Signed third party commitment letters pledging funds in support 
of subfactor 4(2): ``Leverage of other financial resources'';
    (10) Required certifications; and
    (11) Acknowledgement of Application Receipt form.

V. Corrections to Deficient Applications

    The General Section of the SuperNOFA provides the procedures for 
corrections to deficient applications.

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[[Page 23899]]



Funding Availability for the Economic Development Initiative (EDI)

    Program Description: Approximately $38 million is available for 
Economic Development Initiative (EDI) grants under Section 108(q) of 
the Housing and Community Development Act of 1974, as amended. (Please 
see Section I(D) of this EDI section of the SuperNOFA for possible set-
aside.) EDI funds are used to enhance the security of the Section 108 
guaranteed loan for the same project or to improve the viability of a 
project financed with a Section 108-guaranteed loan. An EDI grant is 
required to be used in conjunction with a new Section 108 guaranteed 
loan commitment.
    Application Due Date: Completed applications (one original and two 
copies) must be submitted no later than 12:00 midnight, Eastern time, 
on July 30, 1998 to the addresses shown below. See the General Section 
of this SuperNOFA for specific procedures governing the form of 
application submission (e.g., mailed applications, express mail, 
overnight delivery, or hand carried).

Address for Submitting Applications

    To HUD Headquarters. The completed application (an original and one 
copy) must be submitted to: Processing and Control Unit, Room 7255, 
Office of Community Planning and Development, Department of Housing and 
Urban Development, 451 Seventh Street, SW, Washington, DC 20410, 
Attention: EDI Grant, by mail or hand delivery.
    To the Appropriate CPD Field Office. An additional copy should be 
submitted to the Community Planning and Development Division of the 
appropriate HUD Field Office for the applicant's jurisdiction.
    When submitting your application, please refer to EDI, and include 
your name, mailing address (including zip code) and telephone number 
(including area code).

For Application Kits, Further Information, and Technical Assistance

    For Application Kits. For an application kit and any supplemental 
information, please call HUD's SuperNOFA Information line toll free at 
1-800-HUD-8929. Persons with hearing or speech impairments may call the 
Center's TTY number at 1-800-HUD-2209 to obtain an application kit. The 
application kit will also be available on the Internet through the HUD 
web site at http://www.hud.gov. When requesting the application kit, 
please refer to EDI. Please make sure to provide your name, address 
(including zip code), and telephone number (including area code).
    For Further Information and Technical Assistance. Contact either 
Stan Gimont or Paul Webster, Financial Management Division, Office of 
Block Grant Assistance, Department of Housing and Urban Development, 
451 Seventh Street, SW, Room 7178, Washington, DC 20410; telephone 
(202) 708-1871 (this is not a toll-free number). Persons with speech or 
hearing impairments may access this number via TTY by calling the toll-
free Federal Information Relay Service at 1-800-877-8339.
    See the General Section of this SuperNOFA for guidance on technical 
assistance. With respect to the Section 108 Loan Guarantee program, 
which is not a competitive program and thus not subject to those 
provisions of the HUD Reform Act pertaining to competitions, HUD staff 
will be available to provide advice and assistance to develop Section 
108 loan applications.

Additional Information

I. Authority; Definitions; Purpose; Amount Allocated; and 
Eligibility

(A) Authority

    Section 108(q), Title I, Housing and Community Development Act of 
1974, as amended (42 U.S.C. 5301-5320) (the Act); 24 CFR part 570.

(B) Definitions

    Unless otherwise defined herein, terms defined in 24 CFR part 570 
and used in this program section of this SuperNOFA shall have the 
respective meanings given thereto in that part.
    CDBG funds means those funds as defined at 24 CFR 570.3, including 
grant funds received pursuant to section 108(q) of the Act and this 
program section of this SuperNOFA.
    Economic Development Initiative (EDI) means the provision of 
economic development grant assistance under section 108(q) of the Act, 
as authorized by Section 232 of the Multifamily Housing Property 
Disposition Reform Act of 1994 (Pub.L. 103-233, approved April 11, 
1994).
    Economic development project means an activity or activities 
(including mixed use projects with housing components) that are 
eligible under the Act and under 24 CFR 570.703, and that increase 
economic opportunity for persons of low- and moderate-income or that 
stimulate or retain businesses or jobs or that otherwise lead to 
economic revitalization.
    Empowerment Zone or Enterprise Community means an urban area so 
designated by the Secretary of HUD pursuant to 24 CFR part 597, or a 
rural area so designated by the Secretary of Agriculture pursuant to 7 
CFR part 25, subpart B.
    Strategic Plan means a strategy developed and agreed to by the 
nominating local government(s) and State(s) and submitted in partial 
fulfillment of the application requirements for an Empowerment Zone or 
Enterprise Community designated pursuant to 24 CFR part 597.

(C) Purpose

    (1) Background. HUD has multiple programs which are intended to 
stimulate and promote economic and community development. Primary among 
HUD's resources are the Community Development Block Grant (CDBG) 
program and the Section 108 loan guarantee program.
    The CDBG program provides grant funds ($4.195 billion in FY 1998) 
to local governments (either directly or through States) to carry out 
community and economic development activities. The Section 108 loan 
guarantee program provides local governments with a source of financing 
for economic development, housing rehabilitation and other eligible 
large scale physical development projects. HUD is authorized pursuant 
to Section 108 to guarantee notes issued by CDBG entitlement 
communities and non-entitlement units of general local government 
eligible to receive funds under the State CDBG program. Regulations 
governing the Section 108 program are found at 24 CFR part 570, subpart 
M. It must be noted that the Section 108 program is subject to the 
regulations of 24 CFR part 570 applicable to the CDBG program with the 
exception of changes embodied in 24 CFR part 570, subpart M.
    For FY 1998, the Section 108 program is authorized at $1.261 
billion in loan guarantee authority. The full faith and credit of the 
United States is pledged to the payment of all guarantees made under 
Section 108. Under this program, communities (and States, if 
applicable) pledge their future years' CDBG allocations as security for 
loans guaranteed by HUD. The Section 108 program, however, does not 
require CDBG funds to be escrowed for loan repayment (unless such an 
arrangement is specifically negotiated as loan security). This means 
that a community can continue to spend its existing allocation for 
other CDBG purposes, unless needed for loan repayment.
    (2) EDI Program. The EDI program was enacted in 1994 and is 
intended to complement and enhance the Section 108 Loan Guarantee 
program. The

[[Page 23900]]

purpose of EDI grant funds is to further minimize the potential loss of 
future CDBG allocations:
    (a) By strengthening the economic feasibility of the projects 
financed with Section 108 funds (and thereby increasing the probability 
that the project will generate enough cash to repay the guaranteed 
loan);
    (b) By directly enhancing the security of the guaranteed loan; or
    (c) Through a combination of these or other risk mitigation 
techniques.
    (3) Purpose of EDI Funding. HUD intends the approximately $38 
million in EDI funds to stimulate economic development by local 
governments and private sector parties. HUD desires to see EDI and 
Section 108 funds used to finance projects and activities that will 
provide near-term results and demonstrable economic benefits, such as 
job creation and increases in the local tax base.
    (4) Additional Security for Section 108 Loan Guarantee. Public 
entities should be mindful of the need to provide additional security 
for the Section 108 loan guarantee pursuant to 24 CFR 570.705(b)(3). 
Although a public entity is required by the Act to pledge its current 
and future CDBG funds as security for the Section 108 loan guarantee, 
the public entity will usually be required to furnish additional 
collateral. In most cases, the additional collateral consists (in whole 
or in part) of the asset financed with the Section 108 loan funds 
(e.g., a loan made to a business as part of an economic development 
project). Applications proposing uses for EDI funding that enhance the 
viability of projects will help ensure that the project-based asset(s) 
will satisfy the additional collateral requirements.
    (5) Typical Project Structures. Provided that proposals are 
consistent with other CDBG requirements, including national objectives, 
HUD envisions that the following project structures could be typical:
    (a) Funding Reserves. The cash flow generated by an economic 
development project may be expected to be relatively ``thin'' in the 
early stages of the project, i.e. potentially insufficient cash flows 
to meet operating expenses and debt service obligations. The EDI grant 
can make it possible for reserves to be established in a way that 
enhances the economic feasibility of the project.
    (b) Over-Collateralizing the Section 108 Loan.
    (i) The use of EDI grant funds may be structured in appropriate 
cases so as to improve the likelihood that project-generated cash flow 
will be sufficient to cover debt service on the Section 108 loan and 
directly to enhance the guaranteed loan. One technique for 
accomplishing this approach is over-collateralization of the Section 
108 loan.
    (ii) An example is the creation of a loan pool funded with Section 
108 and EDI grant funds. The community would make loans to various 
businesses from the combined pool at an interest rate equal to or 
greater than the rate on the Section 108 loan. The total loan portfolio 
would be pledged to the repayment of the Section 108 loan.
    (c) Direct Enhancement of the Security of the Section 108 Loan. The 
EDI grant can be used to cover the cost of providing credit 
enhancements. An example of how the EDI grant can be used for this 
purpose is by using the grant funds to cover the cost of a standby 
letter of credit, issued in favor of HUD. This letter of credit will be 
available to fund amounts due on the Section 108 loan if other sources 
fail to materialize and will, thus, serve to protect the public 
entity's future CDBG funds.
    (d) Provision of Financing to For-Profit Businesses at a Below 
Market Interest Rate.
    (i) While the rates on loans guaranteed under Section 108 are only 
slightly above the rates on comparable U.S. Treasury obligations, they 
may nonetheless be higher than can be afforded by businesses in 
severely economically distressed neighborhoods. The EDI grant can be 
used to make Section 108 financing affordable.
    (ii) EDI grant funds could serve to ``buy down'' the interest rate 
up front, or make full or partial interest payments, allowing the 
businesses to be financially viable in the early start-up period not 
otherwise possible with Section 108 alone. This strategy would be 
particularly useful where a community was undertaking a large 
commercial/retail project in a distressed neighborhood to act as a 
catalyst for other development in the area.
    (e) Combination of Techniques. An applicant could employ a 
combination of these or other techniques in order to implement a 
strategy that carries out an economic development project.

(D) Amount Allocated

    HUD has available a maximum of approximately $38 million for the 
EDI program, as appropriated in the FY 1998 HUD Appropriations Act. If 
any additional EDI grant monies for this SuperNOFA become available, 
HUD may either fund additional applicants in accordance with this 
SuperNOFA during Fiscal Year 1998 or may add any funds that become 
available to funds available for any future EDI competitions.
    As part of EDI, HUD is developing a program enhancement designed to 
reduce the risk that CDBG funds will have to be used to repay Section 
108 loans that finance economic development projects. This mechanism 
will allow public entities to pool economic development loans and 
related reserves. The diversification created by the pooling of loans 
and reserves will reduce the risk that a public entity will incur a 
catastrophic loss to its CDBG program if a business defaults on an 
economic development loan made with Section 108 funds. The CDBG Risk 
Reduction Pool will also assist public entities in satisfying the 
collateral requirements for Section 108 loans. The pool's reserves and 
incremental cash flows will provide an additional credit enhancement 
for the Section 108 loan and thereby satisfy Section 108 additional 
collateral requirements. The HUD budget for FY 1999 has requested $400 
million for an enhanced EDI program that includes features of this 
mechanism.
    HUD is developing this pooling mechanism in consultation with other 
Federal agencies and outside experts. HUD is considering a $10 million 
demonstration in FY 1998. If the demonstration occurs, then $28 million 
will be available for the EDI competition announced in this SuperNOFA. 
In this event, HUD will publish a supplementary notice to the EDI 
program section of this SuperNOFA announcing the availability of the 
$10 million for an FY 1998 demonstration of this mechanism. Should 
there be no demonstration in FY 1998, then HUD reserves the right to 
utilize the $10 million for the EDI competition announced in this 
SuperNOFA, making the total amount available $38 million.

(E) Eligibility to Apply for Grant Assistance

    Any public entity eligible to apply for Section 108 loan guarantee 
assistance pursuant to 24 CFR 570.702 may apply for EDI grant 
assistance under Section 108(q). Eligible applicants are CDBG 
entitlement units of general local government and non-entitlement units 
of general local government eligible to receive loan guarantees under 
24 CFR part 570, subpart M. Note that effective January 25, 1995, non-
entitlement public entities in the states of New York and Hawaii were 
authorized to apply to HUD for Section 108 loans (see 59 FR 47510, 
December 27, 1994). Thus, non-entitlement public entities in all 50 
states and Puerto Rico are eligible to

[[Page 23901]]

participate in the Section 108 and EDI programs.

(F) Related Section 108 Loan Guarantee Application

    (1) Each EDI application must be accompanied by a request for new 
Section 108 loan guarantee assistance. Both the EDI and Section 108 
funds must be used in conjunction with the same economic development 
project. This request may take any of several forms as defined below.
    (a) A formal application for new Section 108 loan guarantee(s), 
including the documents listed at 24 CFR 570.704(b);
    (b) A brief description (not to exceed three pages) of a new 
Section 108 loan guarantee application(s). Such 108 application(s) will 
be submitted within 60 days, with HUD reserving the right to extend 
such period for good cause on a case-by-case basis, of a notice of EDI 
selection. EDI awards will be conditioned on approval of actual Section 
108 loan commitments. This description must be sufficient to support 
the basic eligibility of the proposed project or activities for Section 
108 assistance. (See Section I(G) of this program section of this 
SuperNOFA.);
    (c) If applicable, a copy of a Section 108 loan guarantee approval 
document with grant number and date of approval (which was approved 
after the date of this SuperNOFA, except in conjunction with a previous 
EDI award); or
    (d) A request for a Section 108 loan guarantee amendment (analogous 
to Section I(G)(1)(a) or (b) above) that proposes to increase the 
amount of a previously approved application. However, any amount of 
Section 108 loan guarantee authority approved before the date of this 
SuperNOFA is not eligible to be used in conjunction with a EDI grant 
under this SuperNOFA.
    (2) Further, a Section 108 loan guarantee amount that is required 
to be used in conjunction with a prior EDI grant award, whether or not 
the Section 108 loan guarantee has been approved as of the date of this 
SuperNOFA, is not eligible for an EDI award under this SuperNOFA. For 
example, if a public entity has a previously approved Section 108 loan 
guarantee commitment of $12 million, even if none of the funds have 
been utilized, or if the public entity had previously been awarded an 
EDI grant of $1 million and had certified that it will submit a Section 
108 loan application for $10 million in support of that EDI grant, the 
public entity's EDI application under this SuperNOFA must propose to 
increase the amount of its total Section 108 loan guarantee commitments 
beyond those amounts (the $12 million or $10 million in this example) 
to which it has previously agreed.

(G) Eligible Activities and National Objectives

    EDI grant funds may be used for activities listed at 24 CFR 
570.703, provided such activities are carried out as part of an 
economic development project as defined in Section I(B) of this EDI 
section of this SuperNOFA. Each activity assisted with Section 108 loan 
guarantee or EDI funds must meet a national objective of the CDBG 
program (see 24 CFR 570.208). In the aggregate, a grantee's use of CDBG 
funds, including any Section 108 loan guarantee proceeds and section 
108(q) (EDI) funds provided pursuant to this program section of this 
SuperNOFA, must comply with the CDBG primary objectives requirement as 
described in section 101(c) of the Housing and Community Development 
Act of 1974, as amended, and 24 CFR 570.200(c)(3) or 24 CFR 570.484 in 
the case of State grantees. The foregoing eligible activities may also 
include:
    (1) Payment of costs of private financial guaranty insurance 
policies, letters of credit, or other credit enhancements for the notes 
or other obligations guaranteed by HUD pursuant to Section 108, 
provided that the proceeds of such notes or obligations are used to 
finance an economic development project. Such enhancements shall be 
specified in the contract required by 24 CFR 570.705(b)(1), and shall 
be satisfactory in form and substance to HUD for security purposes; and
    (2) The payment of interest due (and other costs such as servicing, 
underwriting, or other costs as may be authorized by HUD) on the notes 
or other obligations guaranteed by HUD pursuant to the Section 108 loan 
guarantee program.

(H) Limitations on Use of EDI and Section 108 Funds

    Certain restrictions shall apply to the use of EDI and Section 108 
funds:
    (1) EDI grants shall not be used as a resource to immediately repay 
the principal of a loan guaranteed under Section 108. Repayment of 
principal is only permissible with EDI grant funds as a matter of 
security if other sources projected for repayment of principal prove to 
be unavailable.
    (2) Applicants are cautioned against using Section 108 funds to 
finance activities which also include financing generated through the 
issuance of federally tax exempt obligations. Pursuant to Office of 
Management and Budget (OMB) Circular A-129 (Policies for Federal Credit 
Programs and Non-Tax Receivables), Section 108 guaranteed loan funds 
may not directly or indirectly support federally tax-exempt 
obligations.

(I) Limitations on Grant Amounts

    (1) HUD expects to approve EDI grant amounts for approvable 
applications at a range of ratios of EDI grant funds awarded to new 
Section 108 loan guarantee commitments, but the minimum ratio will be 
$1 of Section 108 loan guarantee commitments for every $1 of EDI grant 
funds. However, applicants that propose a leverage ratio of 1:1 will 
not receive any points under Ration Subfactor 4(1): ``Leverage of 
Section 108 Funds.'' For example, an applicant requesting a EDI grant 
of $1 million will be required to leverage a minimum of at least $1 
million in new Section 108 loan guarantee commitments. This will be a 
special condition of the EDI grant award. Of course, even though there 
is a minimum ratio of 1:1, applications with higher ratios will receive 
more points under Rating Factor 4, ``Leveraging Resources/Financial 
Need'' and, all other things being equal, will be more competitive. 
Applicants are encouraged to propose projects with a greater leverage 
ratio of new Section 108 to EDI grant funds (assuming such projects are 
financially viable). For example, $1 million of EDI could leverage $12 
million of new Section 108 loan commitments. HUD intends that the EDI 
funds will be used for projects which leverage the greatest possible 
amount of Section 108 loan guarantee commitments.
    (2) HUD expects that the average grant size will be approximately 
$1 million.
    (3) If additional EDI grant funds become available to HUD as the 
result of recaptures prior to the date of this NOFA, HUD reserves the 
right to award grants under this SuperNOFA whose aggregate total may 
exceed the $38 million announced in this SuperNOFA, up to the maximum 
amount authorized by law.
    (4) In the event the applicant is awarded an EDI grant that has 
been reduced below the original request (e.g. the application contained 
some activities that were ineligible or there were insufficient funds 
to fund the last competitive application at the full amount requested), 
the applicant will be required to modify its project plans and 
application to conform to the terms of HUD's approval before execution 
of a grant agreement. HUD reserves the right to reduce or de-obligate 
the EDI award if approvable Section 108 loan guarantee applications are 
not

[[Page 23902]]

submitted by the grantee in the required amounts on a timely basis. Any 
requested modifications must be within the scope of the original EDI 
application.
    (5) In the case of requested amendments to a previously approved 
Section 108 loan guarantee commitment (as further discussed in Section 
I(F)(1)(d), above), the EDI assistance approved will be based on the 
increased amount of Section 108 loan guarantee assistance.

(J) Timing of Grant Awards

    (1) To the extent a full Section 108 application is submitted with 
the EDI grant application, the Section 108 application will be 
evaluated concurrently with the request for EDI grant funds. Note that 
EDI grant assistance cannot be used to support a Section 108 loan 
guarantee approved prior to the date of the publication of this 
SuperNOFA. However, the EDI grant may be awarded prior to HUD approval 
of the Section 108 commitment if HUD determines that such award will 
further the purposes of the Act.
    (2) HUD notification to the grantee of the amount and conditions 
(if any) of EDI funds awarded based upon review of the EDI application 
shall constitute an obligation of grant funds, subject to compliance 
with the conditions of award and execution of a grant agreement. EDI 
funds shall not be disbursed to the public entity before the issuance 
of the related Section 108 guaranteed obligations.

II. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, applicants are subject to the following 
requirements.

(A) CDBG Program Regulations

    The requirements of 24 CFR part 570, including subpart K (Other 
Program Requirements).

(B) Environmental Review

    After the completion of this competition and after HUD's award of 
EDI grant funds, pursuant to 24 CFR 570.604, each project or activity 
assisted under this program is subject to the provisions of 24 CFR part 
58, including limitations on the EDI grant and Section 108 public 
entity's commitment of HUD and non-HUD funds prior to the completion of 
environmental review, notification and release of funds. No such 
assistance will be released by HUD until a request for release of funds 
is submitted and the requirements of 24 CFR part 58 have been met. All 
public entities, including nonentitlement public entities, shall submit 
the request for release of funds and related certification, required 
pursuant to 24 CFR part 58, to the appropriate HUD field office for 
each project to be assisted.

(C) Environmental Justice

    Executive Order 12898 (Federal Actions to Address Environmental 
Justice in Minority Populations and Low-Income Populations) directs 
Federal agencies to develop strategies to address environmental 
justice. Environmental justice seeks to rectify the disproportionately 
high burden of environmental pollution that is often borne by low-
income, minority, and other disadvantaged communities, and to ensure 
community involvement in policies and programs addressing this issue.

III. Application Selection Process

(A) Rating and Ranking

    (1) Each rating factor and the maximum number of points is provided 
below. The maximum number of points to be awarded is 102. This includes 
two EZ/EC bonus points as described in the General Section of this 
SuperNOFA.
    (2) Once scores are assigned, all applications will be ranked in 
order of points assigned, with the applications receiving more points 
ranking above those receiving fewer points. Applications will be funded 
in rank order.
    (3) If HUD determines that an application rated, ranked and 
fundable could be funded at a lesser EDI grant amount than requested 
consistent with feasibility of the funded project or activities and the 
purposes of the Act, HUD reserves the right to reduce the amount of the 
EDI award and/or increase the Section 108 loan guarantee commitment, if 
necessary, in accordance with such determination. An application in 
excess of $1 million may be reduced below the amount requested by the 
applicant if HUD determines that such a reduction is appropriate.
    (4) HUD may decide not to award the full amount of EDI grant funds 
available under this program section of this SuperNOFA and may make any 
remaining amounts available under a future SuperNOFA, or under a 
supplementary notice.

(B) Narrative Statement

    Each applicant shall provide a narrative statement describing the 
activities that will be carried out with the EDI grant funds and 
explaining how the use of EDI grant funds meets the rating factor 
identified below. The narrative statement shall not exceed three (3) 
8.5'' by 11'' pages for the description of the activities to be carried 
out with the EDI grant funds. The description of activities should 
include a statement of how the proposed uses of EDI funds will meet the 
national objectives under 24 CFR 570.208 for the CDBG program and 
qualify as eligible activities under 24 CFR 570.703. Citations to the 
specific regulatory subsections supporting eligibility are recommended, 
but a narrative description will be accepted. See Section I(G) of this 
program section of this SuperNOFA. Each of the listed rating factors 
(or, where applicable, each subfactor) below also has a separate page 
limitation specified. Narrative statements must be printed in 12 point 
type/font, and have sequentially numbered pages.

(C) Factors for Award Used to Evaluate and Rate Applications

    All applications will be considered for selection based on the 
following factors that demonstrate the quality of the proposed project 
or activities, and the applicant's creativity, capacity and commitment 
to obtain maximum benefit from the EDI funds, in accordance with the 
purposes of the Act.
Rating Factor 1: Capacity of the Applicant and Relevant Organizational 
Experience (15 Points)
[Your response to this factor is limited to three (3) pages.]
    This factor addresses the extent to which the applicant has the 
organizational resources necessary to successfully implement the 
proposed activities in a timely manner. The rating of the ``applicant'' 
or the ``applicant's organization and staff'' for technical merit or 
threshold compliance, unless otherwise specified, will include any 
faculty, subcontractors, consultants, subrecipients, and members of 
consortia which are firmly committed (i.e., has a written agreement or 
a signed letter of understanding with the applicant agreeing in 
principle to its participation and role in the project). In rating this 
factor, HUD will consider the following:
    (1) With regard to the EDI/Section 108 project proposed by the 
applicant, the applicant should demonstrate that it has the capacity to 
implement the specific steps required to successfully carry out the 
proposed EDI/Section 108 project. This includes factors such as the 
applicant's:
    (a) Performance in the administration of its CDBG, HOME or other 
programs;

[[Page 23903]]

    (b) Previous experience, if any, in administering a Section 108 
loan guarantee;
    (c) Performance and capacity in carrying out economic development 
projects;
    (d) Ability to conduct prudent underwriting;
    (e) Capacity to manage and service loans made with the guaranteed 
loan funds or previous EDI grant funds;
    (f) Capacity to carry out its projects and programs in a timely 
manner; and,
    (g) If applicable, the applicant's capacity to manage projects 
under this program section of this SuperNOFA along with any federal 
funds awarded as a result of a federal urban Empowerment Zone/
Enterprise Community designation.
    (2) If an applicant has previously received an EDI grant award(s), 
the applicant must describe the status of the implementation of that 
EDI-assisted project(s), any delays that have been encountered and the 
actions the applicant is taking to overcome any such delays in order to 
carry out the project in a timely manner. For such previously funded 
EDI grant projects, HUD will consider the extent to which the awarded 
EDI grant funds and the associated Section 108 guaranteed loan funds 
have been utilized.
    (3) The capacity of subrecipients, nonprofit organizations and 
other entities that have a role in implementing the proposed program 
will be included in this review. HUD may also rely on information from 
performance reports, financial status information, monitoring reports, 
audit reports and other information available to HUD in making its 
determination under this factor.
Rating Factor 2: Distress/Extent of the Problem (15 Points)
[Your response to this factor is limited to three (3) pages.]
    This factor addresses the extent to which there is need for funding 
the proposed activities based on levels of distress, and an indication 
of the urgency of meeting the need/distress in the target area.
    (1) In applying this factor, HUD will consider current levels of 
distress in the immediate community to be served by the project and the 
jurisdiction applying for assistance. Applicants who are able to 
indicate a level of distress in the immediate project area that is 
greater than the level of distress in the applicant's jurisdiction as a 
whole will receive a higher score under this factor than those who do 
not. HUD requires that applicants use sound and reliable data that is 
verifiable to support the level of distress claimed in the application. 
The applicant shall provide a source for the information it uses.
    (2) In previous EDI competitions, the poverty rate was often 
considered the best indicator of distress; however, the applicant may 
demonstrate the level of distress with other factors such as income 
levels and unemployment rates.
    (3) HUD will consider a project to have maximum distress if the 
project(s) is located within the boundaries of a federally-designated 
Empowerment Zone or Enterprise Community (Applicants will be 
responsible for demonstrating that the project site is within the 
boundaries of the applicant's EZ/EC area).
    (4) To the extent that the applicant's Consolidated Plan and its 
Analysis of Impediments to Fair Housing choice (AI) identifies the 
level of distress in the community and the neighborhood in which the 
project is being carried out, the applicant should include references 
to such documents in preparing its response to this factor.
Rating Factor 3: Soundness of Approach (25 Points)
[Your response to this factor is limited to three (3) pages.]
    This factor addresses the quality and cost-effectiveness of the 
applicant's proposed plan. There must be a clear relationship between 
the proposed activities, community needs and purposes of the program 
funding for an applicant to receive points for this factor. In rating 
this factor, HUD will consider the following:
    (1) HUD will consider the quality of the applicant's plan/proposal 
for the use of EDI funds and Section 108 loan funds, including the 
extent to which the applicant's proposed plan for the effective use of 
EDI grant/Section 108 loan guarantee will address the needs described 
in Rating Factor 2 above regarding the distress and extent of the 
problem in the applicant's immediate community and/or its jurisdiction.
    (2) HUD will consider the extent to which the plan is logically, 
feasibly, and substantially likely to achieve its stated purpose. HUD's 
desire is to fund projects and activities which will quickly produce 
demonstrable results and advance the public interest including the 
number of jobs to be created by the project and the impact of the 
project on job creation that will benefit individuals on or previously 
on welfare. An applicant should demonstrate that it has a clear 
understanding of the steps required to implement its project, the 
actions that it and others responsible for implementing the project 
must complete and shall include a reasonable time schedule for carrying 
out the project.
    (3) HUD will consider the extent to which the applicant's proposed 
project addresses the applicant's Analysis of Impediments and the needs 
identified in Factor 2 and the extent to which such project activities 
will result in the physical and economic improvement for the residents 
in the neighborhood in which the project will be carried out.
    (4) HUD will evaluate the extent to which the applicant's project 
incorporates one or more elements that facilitate a successful 
transition of welfare recipients from welfare to work. Such an element 
could include, for example, linking the proposed project or loan fund 
to social and/or other services needed to enable welfare recipients to 
successfully secure and carry out full-time jobs in the private sector; 
provision of job training to welfare recipients who might be hired by 
businesses financed through the proposal; and/or incentives for 
businesses financed with EDI/section 108 funds to hire and train 
welfare recipients.
    (5) Up to two (2) additional points will be awarded to any 
application submitted by the City of Dallas, Texas, to the extent this 
subfactor is addressed. Due to an order of the U.S. District Court for 
the Northern District of Texas, Dallas Division, with respect to any 
application submitted by the City of Dallas, Texas, HUD's consideration 
of the applicant's response to this factor, ``Soundness of Approach,'' 
will include the extent to which the applicant's plan for the use of 
EDI funds and Section 108 loans will be used to eradicate the vestiges 
of racial segregation in the Dallas Housing Authority's programs 
consistent with the Court's order.
Rating Factor 4: Leveraging Resources/Financial Need (35 Points)
[Page limits for the response to this factor are listed separately for 
each subfactor under this factor.]
    In evaluating this factor, HUD will consider the extent to which 
the applicant's response demonstrates the financial need and 
feasibility of the project and the leverage ratio of Section 108 loan 
proceeds to EDI grant funds. This factor has three subfactors, each 
with its own maximum point total:
    (1) Leverage of Section 108 funds (20 points). Your response to 
this subfactor is limited to one (1) page. The minimum ratio of Section 
108 funds to EDI funds in any project may not be less than 1:1. The 
extent to which the proposed project leverages an amount of Section 108 
funds beyond the 1:1 ratio will be considered a positive factor. 
Applicants that have a ratio of 1:1 will not receive

[[Page 23904]]

any points under this subfactor. Applicants that use their EDI grant to 
leverage more Section 108 commitments will receive more points under 
this subfactor.
    (2) Financial feasibility (10 points). [Your response to this 
subfactor is limited to five (5) pages.] HUD will consider the extent 
to which the applicant demonstrates that the project is financially 
feasible. This may include factors such as:
    (a) Project costs and financial requirements. Applicants should 
provide a funding sources and uses statement (not included in 5 page 
narrative limit) as well as justifications for project costs.
    (b) The amount of any debt service or operating reserve accounts to 
be established in connection with the economic development project.
    (c) The reasonableness of the costs of any credit enhancement paid 
with EDI grant funds.
    (d) The amount of program income (if any) to be received each year 
during the repayment period for the guaranteed loan.
    (e) Interest rates on those loans to third parties (other than 
subrecipients) (either as an absolute rate or as a plus/minus spread to 
the Section 108 rate).
    (f) Underwriting criteria that will be used in determining project 
feasibility.
    (3) Leverage of other financial resources (5 points). [Your 
response to this subfactor is limited to one (1) page plus supporting 
documentation evidencing third party commitment (written and signed) of 
funds.] HUD will evaluate the extent to which the applicant leverages 
other funds (public or private) with EDI grant funds and Section 108 
guaranteed loan funds and the extent to which such other funds are 
firmly pledged to the project. This could include the use of CDBG 
funds, other Federal or state grants or loans, a grantee's general 
funds, project equity or commercial financing provided by private 
sources or funds from non-profits or other sources. Funds will be 
considered pledged to the project if there is evidence of the third 
party's written commitment to make the funds available for the EDI/108 
project, subject to approval of the EDI and Section 108 assistance and 
completion of any environmental review required under 24 CFR part 50 
for the project. Note, that with respect to CDBG funds, the applicant's 
pledge of its CDBG funds will be considered sufficient commitment.
Rating Factor 5: Comprehensiveness and Coordination (10 Points)
[Your response to this factor is limited to two (2) pages.]
    This factor addresses the extent to which the applicant coordinated 
its activities with other known organizations, participates or promotes 
participation in the applicant's or a State's Consolidated Planning 
process, and is working towards addressing a need in a comprehensive 
manner through linkages with other activities in the community.
    In evaluating this factor, HUD will consider the extent to which 
the applicant demonstrates it has:
    (1) Coordinated its proposed activities with those of other groups 
or organizations prior to submission in order to best complement, 
support and coordinate all known activities and if funded, the specific 
steps it will take to share information on solutions and outcomes with 
others. Any written agreements, memoranda of understanding in place, or 
that will be in place after award should be described.
    (2) Developed linkages, or the specific steps it will take to 
develop linkages with other activities, programs or projects through 
meetings, information networks, planning processes or other mechanisms 
to coordinate its activities so solutions are holistic and 
comprehensive, including linkages with other HUD-funded projects/
activities outside the scope of those covered by the Consolidated Plan.

IV. Application Submission Requirements

    (A) Public entities seeking EDI assistance must make a specific 
request for that assistance, in accordance with the requirements of 
this program section of this SuperNOFA.
    (B) The application should include an original and one copy of the 
items listed below, with one additional copy submitted directly to the 
Community Planning and Development Division of the cognizant HUD Field 
Office for the applicant's jurisdiction.
    (C) An EDI application shall consist of the following items:
    (1) Transmittal letter from applicant;
    (2) Table of contents;
    (3) Application check list (supplied in application kit);
    (4) A request for loan guarantee assistance under Section 108 as 
further described in Section I(F) of this program section of the 
SuperNOFA. Application guidelines for the Section 108 program are found 
at 24 CFR 570.704;
    (5) A described in Section III(B) of this program section of this 
SuperNOFA, a narrative statement (3 page limit) describing the 
activities that will be carried out with the EDI grant funds;
    (6) Responses to each of the rating factors (within the page limits 
provided for each factor or subfactor as applicable);
    (7) Completion of a funding sources and uses statement and a EDI 
and Section 108 eligibility statement (see the application kit);
    (8) Written agreements or signed letters of understanding in 
support of Rating Factor 1: ``Capacity of the Applicant and Relevant 
Organizational Experience;''
    (9) Signed third party commitment letters pledging funds in support 
of subfactor 4(2): ``Leverage of other financial resources;''
    (10) Required certifications; and
    (11) Acknowledgement of Application Receipt form.

V. Corrections to Deficient Applications

    The General Section of the SuperNOFA provides the procedures for 
corrections to deficient applications.

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Notices  

[[Page 23907]]



Consolidated Economic Development and Supportive Services and 
Tenant Opportunities Programs

    Program Description: Approximately $64.1 million in funding is made 
available for two programs: Public and Indian Housing Economic 
Development and Supportive Services Program (EDSS) and the Tenant 
Opportunities Program (TOP). In general, although both programs fund 
similar activities, Housing Authorities, Indian tribes, and Tribally 
Designated Housing Entities are the recipients under EDSS while 
resident associations are the recipients under TOP. Therefore, although 
the funding availability announcements for these two programs have been 
combined, the application processes will remain separate.
    This program section of the SuperNOFA combines TOP and EDSS to 
highlight HUD's parallel restructuring of these complementary programs. 
The restructuring represents a major HUD initiative to improve the 
targeting and management of limited resources for resident self-
sufficiency. The goal is to most effectively focus these resources on 
``welfare to work'' and on independent living for the elderly and 
persons with disabilities. HUD believes that it is imperative that 
housing authorities and residents work together to meet the challenge 
of welfare reform.
    Application Due Date: Completed applications (one original and two 
copies) must be submitted, at the address shown below, no later than 
6:00 pm local time on:
    July 31, 1998 for the EDSS Program; and
    July 31, 1998 for the TOP Program.
    Please see the General Section of this SuperNOFA for specific 
procedures governing the form of application submission (e.g., mailed 
applications, express mail, overnight delivery, or hand carried) and 
the time by which the application must be received by HUD and/or 
postmarked in order to meet the deadline for submission.
    Address for Submitting Applications: An original and two copies of 
the application must be received by the application due date at the 
local Field Office with delegated public or assisted housing 
responsibilities attention: Director, Office of Public or Assisted 
Housing, or, in the case of the Native American population, to the 
Administrator, Area Office of Native American Programs (AONAP), as 
appropriate.

For Application Kits, Further Information and Technical Assistance

    For Application Kits. For an application kit and any supplemental 
information please call the SuperNOFA Information Center at 1-800-HUD-
8929. Persons with hearing or speech impairments may call the Center's 
TTY number at 1-800-HUD-2209. The application kit also will be 
available on the Internet through the HUD web site at http://
www.hud.gov. When requesting an application kit, please refer to EDSS/
TOP and provide your name, address (including zip code), and telephone 
number (including area code).
    For Further Information and Technical Assistance. For answers to 
your questions, you have several options. You may call the local HUD 
field office with delegated responsibilities over the pertinent housing 
agency/authority, or in the case of an Indian tribe or a Tribally 
Designated Housing Entity (TDHE) applying for EDSS grants, the AONAP 
with jurisdiction over the tribe/TDHE. Answers may also be obtained by 
calling the Public and Indian Housing Information and Resource Center 
at 1-800-955-2232. Information on this SuperNOFA may also be obtained 
through the HUD web site on the Internet at http://www.HUD.gov.

Additional Information

I. Authority; Purpose; Amount Allocated; and Eligibility

    The Authority, Purpose of the Program, Amount Allocated, Program 
Award Period, Eligible Applicants; Grants Amounts; Eligible and 
Ineligible Activities, and Additional Program Requirements, as 
applicable, are delineated under each technical assistance program area 
for which funding is being made available. Applicants should take care 
in reviewing this section to ensure they are eligible to apply for 
funds and that they meet the additional program requirements and 
limitations described for each program.

(A) Authority

    (1) For the EDSS Program, the Community Development Block Grant 
section of the FY 1998 HUD Appropriations Act.
    (2) For TOP, section 20 of the U.S. Housing Act of 1937. The TOP 
regulations are found in 24 CFR part 964.
    (3) Common Definitions. Please see Appendix A to this EDSS/TOP 
section of the SuperNOFA for common definitions.

(B) Purpose

    The purposes of the two programs are as follows:
    (1) EDSS. The purpose of the EDSS program is to provide grants to 
Public Housing Authorities (PHAs), Tribes or their Tribally Designated 
Housing Entities (TDHEs) to enable them to establish and implement 
programs that increase resident self-sufficiency, and support continued 
independent living for elderly and disabled residents.
    (2) TOP. TOP provides grants to public housing Site-Based Resident 
Councils, Resident Management Corporations and Intermediary Resident 
Organizations to provide resident training such as improving resident 
educational, professional, and economic levels by providing skills to 
make them more employable in the local community; organizational 
capacity-building for newly created resident associations; and training 
residents to resolve disputes in public housing.

(C) Amount Allocated for EDSS

    (1) Amount Allocated. For EDSS, $47,211,223 is available in funds 
for eligible PHAs, Tribes/TDHEs. This amount includes the FY 98 EDSS 
appropriation of $30 million and FY 97 carryover funds of $17,211,223. 
HUD is setting aside $5 million of this amount to fund applications 
from Tribes/TDHEs with the remaining available to fund applications 
from PHAs.
    (a) Both the amount for Tribes/TDHEs and PHAs will be allocated as 
follows: 60% will be allocated to Family Economic Development and 
Supportive Services category grants; and the remaining 40% will be 
allocated to Elderly and Disabled Supportive Services category grants.
    (b) A PHA, Tribe/TDHE may submit one application under the Family 
Economic Development and Supportive Services grant category and/or one 
application under the Elderly and Disabled Supportive Services grant 
category.
    The maximum number of applications that a HA may submit is two. If 
an applicant is applying for both funding categories, then it must 
submit two separate applications in which the total amount requested 
must not exceed the maximum grant amount available for its size under 
the Family Economic Development and Supportive Services category.
    (2) Maximum Grant Awards. The maximum grant awards are limited as 
follows:
    (a) For Family Economic Development and Supportive Services 
category--no more than $250 per unit up to the below listed maximums:
    (i) For PHAs, Tribes/TDHEs with 1 to 780 units, the maximum grant 
award is $150,000.

[[Page 23908]]

    (ii) For PHAs, Tribes/TDHEs with 781 to 7,300 units, the maximum 
grant award is $500,000.
    (iii) For PHAs, Tribes/TDHEs with 7,301 or more units, the maximum 
grant award is $1,000,000.
    (b) For elderly or Disabled Supportive Services category--no more 
than $250 per unit up to the below listed maximums:
    (i) For PHAs, Tribes/TDHEs with 1 to 217 units occupied by Elderly 
residents or persons with disabilities, the maximum grant award is 
$54,250.
    (ii) For PHAs, Tribes/TDHEs with 218 to 1,155 units occupied by 
Elderly residents or persons with disabilities, the maximum grant award 
is $200,000.
    (iii) For PHAs, Tribes/TDHEs with 1,156 or more units occupied by 
Elderly residents or persons with disabilities, the maximum grant award 
is $300,000.
    (3) Tribes/TDHEs should use the number of units counted as Formula 
Current Assisted Stock for Fiscal Year 1998 as defined in 24 CFR 
1000.316. Tribes who have not previously received funds from the 
Department under the 1937 Act should count housing units under 
management that are owned and operated by the tribe and are identified 
in their housing inventory as of September 30, 1997.

(D) Amount Allocated for TOP

    $16,884,530 ($5 million in FY 98 appropriations and $11,884,530 in 
carry over funds) is available for awards to qualified applicants to 
provide technical assistance and training activities under the TOP 
program. The TOP funding will be distributed to the three grant 
categories as follows: Economic Self-Sufficiency Grants--$10.9 million, 
Organizational Development Grants--$3 million, and Mediation Grants--$3 
million. If all funds are not awarded in one category, funds are 
transferable to the other grant categories for use by qualified 
applicants.
    (1) TOP Grant Categories. TOP funding is allocated to the following 
grant categories:
    (a) Economic Self-Sufficiency Grant (ESSG) provides assistance to 
Site-Based Resident Associations (RAs) and Intermediary Resident 
Organizations (IROs), to move welfare dependent families to work. The 
applicant must provide evidence that at least 51% of those served are 
households affected by welfare reform. The funds can be used for 
training and technical assistance which will provide educational, job, 
business, and life skills to enable residents to move towards self-
sufficiency and consistent with a needs assessment. For elderly/
disabled developments, TOP funds can be used for stipends and training 
(including business development training, if appropriate) for residents 
to: engage in day care for children, provide professional and personal 
mentoring, raise grandchildren, and provide other intergenerational 
service. When TOP funds are utilized in this manner, the elderly 
residents providing these services need not be affected by welfare 
reform; however, at least 51 percent of those to be assisted by the 
services to be provided by elderly residents must be affected by 
welfare reform.
    (b) Organizational Development Grants (ODG) provide assistance to 
Site-Based Resident Associations who do not yet have the capacity to 
administer a welfare-to-work program or conduct management activities. 
The funds will be targeted to help establish new resident organizations 
or enhance the capacity of existing organizations to assist residents, 
participate in Housing Authority decision-making, manage all or a 
portion of their developments, and/or apply for and administer grants. 
An additional grant applicant is not eligible to apply for this grant.
    (c) Mediation Grant provides assistance to Intermediary Resident 
Organizations (IROs) partnering with professional mediators to resolve 
conflicts involving public housing residents and/or Site-Based Resident 
Associations. The skilled mediator/partners, under the auspices of an 
IRO, will bridge impasses between residents and/or factions within 
specific developments, among active participants of a Site-Based 
Resident Association (RA), or between an RA and its partners, 
especially local Housing Authorities. The grant applicant must apply in 
partnership with a recognized professional mediation organization. All 
applicants must have entered into at least one referral agreement with 
judicial, law enforcement or social services agencies to mediate for 
public housing residents served by the agency. After awarding the 
grants, HUD would refer cases requiring mediation to the grantee. Also 
conflicting parties, on their own initiative, could request mediation 
services directly to the grantee. While mediating for residents and 
their partners, the professional mediators would also train IRO grantee 
staff in mediation principles and skills for mediation in the future.
    (2) TOP Grant Categories' Amounts.
    (a) Basic Grants. Any eligible Site-Based RA in the development 
that has not previously received up to the following amount for an ESS 
grant or Organizational Development grant.
    (i) ESS grant--Site-Based RAs may receive up to $100,000 less the 
value of any TOP assistance previously received by the development from 
an IRO.
    (ii) Organizational Development grant--Site-Based RA may receive up 
to $40,000.
    (b) Additional Grants (ESS Grant Only). Any eligible RA selected 
for a Resident Management (RM) or a TOP grant in FYs 1988-1997 
(including a mini grant for start-up activities) that received less 
than a total of $100,000 may apply for an Additional Grant for economic 
self sufficiency, provided that the total cumulative RM/TOP funding for 
a project site, including Citywide or Intermediary Grant funds 
benefiting the project does not exceed (including previous grants) the 
total statutory maximum of $100,000. Additional Grant applicants may 
not apply for an Organizational Development grant.
    (c) Intermediary Grants. (i) Any eligible NRO, RRO, or SRO may 
apply for a single ESS, Organizational Development or Mediation grant 
for up to $250,000. These organizations may also apply for one grant 
each in two or more of the grant categories provided that the combined 
amount requested by the IRO this year does not exceed $350,000.
    (ii) A Jurisdiction-wide Resident Organization may apply for an 
ESS, OD or Mediation grant for an amount of up to $100,000. A 
Jurisdiction-wide Organization may not apply in more than one grant 
category.
    (iii) An IRO cannot assist RAs that have already received RM/TOP 
grants totaling $100,000 and cannot propose to provide assistance to a 
given project that would result in the project exceeding its statutory 
maximum for RM/TOP funding.
    (d) Housing Authority Jurisdiction Maximum. The amount of funding 
available for all applicants that are not Intermediary Resident 
Organizations, that are located within the jurisdiction of a single 
housing authority is limited to the following amounts based on the size 
of the housing authority.
    (i) For Housing Authorities with one to 780 units the maximum 
funding amount is $700,000.
    (ii) For Housing Authorities with 781 to 7,300 units the maximum 
funding amount is $1,400,000.
    (iii) For Housing Authorities with more than 7,301 units the 
maximum funding amount is $2,100,000.

(E) Eligible Applicants

    (1) EDSS Eligible Applicants.
    PHAs, Tribes or their TDHEs that have not received a previous EDSS 
grant are eligible applicants.
    (2) TOP Eligible Applicants. (a) Public housing Site-Based Resident 
Councils,

[[Page 23909]]

Resident Management Corporations and Intermediary Resident 
Organizations which include National Resident Organizations, Statewide 
Resident Organizations, Regional Resident Organizations, and 
Jurisdiction wide Resident Organizations.
    (b) Please see Appendix A to this TOP/EDSS section of the SuperNOFA 
for the definition of Intermediary Resident Organization. Additionally, 
Intermediary Resident Organizations must be registered with the state 
as non-profit corporations and have applied for or received 501(c) 
status with the U.S. Internal Revenue Service. Eligible Intermediary 
Resident Organizations must list in their application the name of the 
RAs that will receive training or technical assistance, and submit 
letters of support from each entity identified in the application.
    (3) Indian Housing Resident Organizations are now ineligible to 
apply for TOP funding. The President signed into law the Native 
American Housing Assistance and Self-Determination Act of 1996 
(NAHASDA) on October 26, 1996, which terminated Indian Housing 
Assistance under the U.S. Housing Act of 1937.

(F) EDSS Eligible Activities

    EDSS Program funds may be used for the activities as described 
below. At least 75 percent of the persons participating and receiving 
benefits from these activities must be residents of conventional Public 
or Indian Housing. Any other persons (up to 25 percent per grantee) 
participating or receiving benefits from these programs must be 
recipients of Section 8 assistance.
    (1) Family Economic Development and Supportive Services category.
    (a) Economic Development activities. Activities essential to 
facilitate economic uplift and provide access to the skills and 
resources needed for self-development and business development. 
Economic development activities may include:
    (i) Entrepreneurship Training (literacy training, computer skills 
training, business development planning).
    (ii) Entrepreneurship Development (entrepreneurship training 
curriculum, entrepreneurship courses).
    (iii) Micro/Loan Fund. Developing a strategy for establishing a 
revolving micro/loan fund and/or capitalizing a loan fund.
    (iv) Developing credit unions. Developing a strategy to establish 
and/or create onsite credit union(s) to provide financial and economic 
development initiatives to PHA/Tribal/TDHE residents. (EDSS grant funds 
cannot be used to capitalize a credit union.) The credit union could 
support the normal financial management needs of the community (i.e., 
check cashing, savings, consumer loans, micro-businesses and other 
revolving loans).
    (v) Employment training and counseling (e.g., job training (such as 
Step-Up programs), preparation and counseling, job search assistance, 
job development and placement, and continued follow-up assistance).
    (vi) Employer linkage and job placement.
    (b) Supportive Services. The provision of services to assist 
eligible residents to become economically self-sufficient, particularly 
families with children where the head of household would benefit from 
the receipt of supportive services and is working, seeking work, or is 
preparing for work by participating in job-training or educational 
programs. Supportive services may include:
    (i) Child care, of a type that provides sufficient hours of 
operation and serves appropriate ages as needed to facilitate parental 
access to education and job opportunities.
    (ii) Computer based educational opportunities, skills training, and 
entrepreneurial activities.
    (iii) Homeownership training and counseling, development of 
feasibility studies and preparation of homeownership plans/proposals.
    (iv) Education including but not limited to: Remedial education; 
Literacy training; Assistance in the attainment of certificates of high 
school equivalency; Two-year college tuition assistance; Trade school 
assistance; Youth leadership skills and related activities (activities 
may include peer leadership roles training for youth counselors, peer 
pressure reversal, life skills, goal planning).
    (vi) Youth mentoring of a type that mobilizes a potential pool of 
role models to serve as mentors to public or Indian housing youth. 
Mentor activities may include after-school tutoring, help with problem 
resolution issues, illegal drugs avoidance, job counseling or mental 
health counseling.
    (vii) Transportation costs, as necessary to enable any 
participating family member to receive available services to commute to 
his or her training or supportive services activities or place of 
employment.
    (viii) Personal wellbeing (e.g., family/parental development 
counseling, parenting skills training for adult and teenage parents, 
and self-development counseling, etc.).
    (ix) Supportive health care services (e.g., outreach and referral 
services to substance and alcohol abuse treatment and counseling, for 
example, mental health).
    (x) Contracting for case management services contracts or 
employment of case managers, either of which must ensure 
confidentiality about resident's disabilities.
    (2) Elderly or Disabled Supportive Services category. Supportive 
Services for the elderly and for persons with disabilities include:
    (a) Meal service adequate to meet nutritional need;
    (b) Assistance with daily activities;
    (c) Housekeeping aid;
    (d) Transportation services;
    (e) Wellness programs, preventive health education, referral to 
community resources;
    (f) Personal emergency response; and
    (g) Congregate services--includes supportive services that are 
provided in a congregate setting at a conventional HA development.
    (3) For both Family Economic Development and Supportive Services 
category and Elderly or Disabled Supportive Services category grants:
    (a) The employment of or contracting for service coordinators. For 
the purposes of this program section of the SuperNOFA, a service 
coordinator is any person who is responsible for one or more of the 
following functions:
    (i) Assessing the training and supportive service needs of eligible 
residents (for Family Economic Development and Supportive Service 
category grants);
    (ii) Working with community service providers to coordinate the 
provision of services and to tailor the services to the needs and 
characteristics of eligible residents;
    (iii) Establishing a system to monitor and evaluate the delivery, 
impact, effectiveness and outcomes of supportive services under this 
program;
    (iv) Coordinating this program with other independent living or 
self-sufficiency, education and employment programs;
    (v) Performing other duties and functions that are appropriate to 
assist eligible public and Indian housing residents to become 
economically self-sufficient;
    (vi) Performing other duties and functions to assist residents to 
remain independent, and to prevent unnecessary institutionalization; 
and
    (vii) Mobilizing other national and local public/private resources 
and partnerships.
    (viii) Any other services and resources, proposed by the applicant 
and approved by HUD and authorized by the 1998 Appropriations Act that 
are determined to be appropriate in assisting eligible residents.

[[Page 23910]]

    (b) Administrative costs not to exceed 15% of the grant amount.
    (c) Stipends. No more than $200 per participant per month of the 
grant award may be used for stipends for active trainees and EDSS 
program participants to cover the reasonable costs related to 
participation in training and other EDSS activities.

(G) EDSS Ineligible Activities

    Activities for which costs are ineligible for funding under the 
EDSS Program include:
    (1) Payment of wages and/or salaries to participants receiving 
supportive services and/or training programs, except that grant funds 
may be used to hire a resident(s) to coordinate/provide training 
program activities.
    (2) Purchase or rental of land of buildings or any improvements to 
land or buildings.
    (3) Building materials and construction costs.
    (4) The hiring of service coordinators under the Elderly/Disabled 
EDSS category if applicant is also applying for a Service Coordinators 
program grant.

(H) TOP Eligible Activities

    The following activities have been categorized based on their 
general appropriateness for the requirements of each grant category. 
Activities for which funding under TOP may be provided to an eligible 
Site-Based RA or Intermediary include any combination of, but are not 
limited to, the following:
    (1) Economic Self-Sufficiency Grant Applicants.
    (a) Social Support Needs (such as Self-Sufficiency and Youth 
Initiatives) including:
    (i) Feasibility studies to determine training and social services 
needs;
    (ii) Training in management-related trade skills, computer skills, 
and similar skills;
    (iii) Management-related employment training and counseling 
including job search assistance, job development assistance, job 
placement assistance and follow up assistance;
    (iv) Coordination of support services including: child care 
services; educational services remedial education, literacy training, 
assistance in attaining a GED; vocational training including computer 
training; health care outreach and referral services; meal services for 
the elderly or persons with disabilities; personal assistance to 
maintain hygiene/appearance for the elderly or persons with 
disabilities; housekeeping assistance for the elderly or persons with 
disabilities; transportation services; congregate services for the 
elderly or persons with disabilities: and case management;
    (v) Training for programs such as child care, early childhood 
development, parent involvement, volunteer services, parenting skills, 
before and after school programs;
    (vi) Training programs on health, nutrition, safety and substance 
abuse;
    (vii) Workshops for youth services including: child abuse and 
neglect prevention, tutorial services, youth leadership skills, youth 
mentoring, peer pressure reversal, life skills, and goal planning. The 
workshops could be held in partnership with community-based 
organizations such as local Boys and Girls Clubs, YMCA/YWCA, Boy/Girl 
Scouts, Campfire and Big Brother/Big Sisters, etc.
    (viii) Training in the development of strategies to successfully 
implement a youth program. For example, assessing the needs and 
problems of the youth, improving youth initiatives that are currently 
active, and training youth, housing authority staff, resident 
management corporations and resident councils on youth initiatives and 
program activities; and
    (b) Resident Management Business Development including:
    (i) Training related to resident-owned business development and 
technical assistance for job training and placement in RMC 
developments;
    (ii) Technical assistance and training in resident managed business 
development through: Feasibility and market studies; Development of 
business plans; Outreach activities; and Innovative financing methods 
including revolving loan funds and the development of credit unions; 
and Legal advice in establishing a resident managed business entity.
    (iii) Training residents, as potential employees of an RMC, in 
skills directly related to the operation, management, maintenance and 
financial systems of a project;
    (iv) Training residents with respect to fair housing requirements; 
and
    (v) Gaining assistance in negotiating management contracts, and 
designing a long-range planning system.
    (2) ESS/Organizational Development Applicants.
    (a) Training Board members in community organizing, Board 
development, and leadership training;
    (b) Determining the feasibility of and training existing resident 
groups for resident management or for a specific resident management 
project or projects; and
    (c) Assisting in the creation of an RMC, such as consulting and 
legal assistance to incorporate, preparing by-laws and drafting a 
corporate charter.
    (d) Develop the management capabilities of existing resident 
organizations.
    (e) Homeownership Opportunity (Determining feasibility for 
homeownership by residents, including assessing the feasibility of 
other housing (including HUD owned or held single or multi-family) 
affordable for purchase by residents).
    (f) Resident Capacity Building.
    (3) Mediation Applicants. 
    (a) Training programs on mediation and communication skills;
    (b) Training programs on dispute resolution and reconciliation, 
including training addressing racial, ethnic and other forms of 
diversity;
    (c) Workshops for youth services including: child abuse and neglect 
prevention, tutorial services, youth leadership skills, youth 
mentoring, peer pressure reversal, life skills, and goal planning. The 
workshops could be held in partnership with community-based 
organizations such as local Boys and Girls Clubs, YMCA/YWCA, Boy/Girl 
Scouts, Campfire and Big Brother/Big Sisters, etc.
    (d) Training in the development of strategies to successfully 
implement a youth program. For example, assessing the needs and 
problems of the youth, improving youth initiatives that are currently 
active, and training youth, housing authority staff, resident 
management corporations and resident councils on youth initiatives and 
program activities; and
    (4) General (All TOP Applicants). 
    (a) Training on HUD regulations and policies governing the 
operation of low-income public housing including contracting/
procurement regulations, financial management, capacity building to 
develop the necessary skills to assume management responsibilities at 
the project and property management; and training in accessing other 
funding sources;
    (b) Hiring trainers or other experts. By law, resident grantees 
must ensure that all training is provided by a qualified public or 
management specialist (Consultant/Trainer), HUD Headquarters or Field 
staff or the local HA. To ensure the successful implementation of the 
TOP Work Plan activities, the RAs are required to determine the need to 
contract for outside consulting/training services. The RA and the HA 
must jointly select and approve the consultant/trainer. Each RA should 
make maximum use of its HA, nonprofits, or other Federal, State or 
local government resources for technical assistance and training needs. 
The amount allowed for hiring an individual consultant for this purpose 
shall not

[[Page 23911]]

exceed 30% of the total grant award or $30,000, whichever is less. The 
amount available for all individual consultants (not including training 
firms) and contracts shall not exceed 50% of the grant or $50,000 
whichever is less. HUD Field Offices will monitor this process to 
ensure compliance with program and OMB requirements, and particularly 
the requirement for competitive bidding.
    (c) Stipends, as follows: Trainees and TOP program participants of 
a RA may only receive stipends for participating in or receiving 
training under the TOP to cover the reasonable costs related to 
participation in training and other activities in the TOP program, 
subject to the availability of funds. The stipends should be used for 
additional costs incurred during the training programs, such as child 
care and transportation costs. The cost of stipends may not exceed $200 
per month per trainee without written HUD authorization.
    (d) Reimbursement of reasonable expenses incurred by Officers and 
Board members in the performance of their fiduciary duties and/or 
training related to the performance of their official duties.
    (e) Travel directly related to the successful completion of the 
required TOP Work Plan. All grantees must adhere to the travel policy 
established by HUD. The policy sets travel costs at a maximum amount of 
$5,000 per RA (not applicable to intermediaries) without special HUD 
approval.
    (f) Child care expenses for individual staff, board members, or 
residents in cases where those who need child care are involved in 
training-related activities associated with grant activities. No more 
than two percent of the grant amount may pay for child care expenses.
    (g) Costs directly related to establishing an RA as a nonprofit 
corporation or 501(c) tax exempt status.
    (5) Administrative Costs. These costs are necessary for the 
implementation of grant activities. Administrative costs are not to 
exceed 25% of the grant unless the grantee is unable to obtain the 
services of a Contract Administrator without cost in which case 
administrative costs are not to exceed 30% of the grant. Appropriate 
administrative costs include, but are not limited to, the following 
items or activities:
    (a) Purchase or lease of telephone, computer, printing, copying, 
and sundry non-dwelling equipment (such as office supplies, software, 
and furniture). A grantee must justify the need for this equipment in 
relationship to implementing its approved grant activities. Every 
effort must be made to acquire discounted or donated hardware.
    (b) Grant contract and financial management audit. If a grantee is 
unable to obtain the services of a Contract Administrator or accountant 
without charge, the cost for a Contract Administrator and or accountant 
is eligible. The grantee is required to maintain documentation on file 
showing what efforts it made to obtain the services of a Contract 
Administrator cost-free. The cost for an independent audit should be 
budgeted separately from this item.
    (c) Technical assistance regarding any other service and/or 
resource, including case management that are proposed by applicants and 
approved by HUD.
    (d) Rental or lease of a car, van, or bus by resident grantees to 
attend training;

(I) TOP Ineligible Activities

    Ineligible activities include, but are not limited to, the 
following:
    (1) Entertainment, including associated costs such as food and 
beverages, except normal per diem for meals related to travel performed 
in connection with implementing the TOP Work Plan. (See TOP Travel 
Notice for more specific guidance.)
    (2) Purchase or rental of land or buildings (including the 
community facility) or any improvements to land or buildings.
    (3) Activities not directly related to the welfare-to-work 
initiatives (e.g., lead-based paint testing and abatement and operating 
capital for economic development activities).
    (4) Purchase of any vehicle (car, van, bus, etc.) or any other 
property, other than as described under Section VII(e)(1) (Eligible 
Activities) of this program section of the SuperNOFA, unless approved 
by HUD Headquarters or the local HUD Field Office.
    (5) Architectural and engineering fees.
    (6) Payment of salaries for routine project operations, such as 
security and maintenance, or for RA staff, except that a reasonable 
amount of grant funds may be used to hire a person to coordinate the 
TOP grant activities or coordinate on-site social services.
    (7) Payment of fees for lobbying services.
    (8) Any expenditures that are fraudulent, wasteful or otherwise 
incurred contrary to HUD or OMB directives.
    (9) Any cost otherwise eligible under this program section of the 
SuperNOFA for which funds are being provided from any other source.
    (10) Entertainment equipment such as televisions, radios, stereos, 
and VCRs. A waiver of this item may be granted by the HUD Field Office 
or if funding is being utilized specifically and explicitly for the 
purposes of establishing a business directly related to radio, 
television or film or some other form or technical communication, and 
equipment is being utilized for training of residents or RAs. All such 
waivers must be authorized in writing by the HUD Field Office before 
purchases may be made.
    (11) For Intermediaries Only. In addition to the other ineligible 
activities listed in this EDSS/TOP section of the SuperNOFA, 
intermediaries cannot provide training and technical assistance to RAs 
that have received TOP funds of $100,000 or that would result in 
exceeding the statutory ceiling by providing more than $100,000 of 
training or technical assistance to a given project site.

(J) Grant Term

    For both TOP and EDSS, the grantee must complete its grant 
activities within two years of the execution of the grant agreement.

II. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, grantees must meet the following program 
requirements:

(A) Compliance With Civil Rights Requirements

    In addition to compliance with the civil rights requirements at 24 
CFR 5.105, each successful applicant must comply with the 
nondiscrimination in employment requirements of Title VII of the Civil 
Rights Act of 1964, 42 U.S.C. 2000e et seq.; the Equal Pay Act, 29 
U.S.C. 206(d); the Age Discrimination in Employment Act of 1967, 29 
U.S.C. 621 et seq., and Titles I and V of the Americans with 
Disabilities Act, 42 U.S.C. 12101 et seq.

(B) Adhere to the Grant Agreement

    After an application has been approved, HUD and the applicant shall 
enter into a grant agreement (Form 1044 and attachments) incorporating 
the entire application except as modified by HUD and setting forth the 
amount of the grant and its applicable terms, conditions, financial 
controls, payment mechanism (which except under extraordinary 
conditions will operate under HUD's Line of Credit Control System 
(LOCCS)) and special conditions, including requiring adherence to the 
appropriate OMB circulars and other government wide requirements and 
specifying sanctions for violation of the agreement. The grant

[[Page 23912]]

agreement will include additional information regarding Insurance/
Indemnification, Freedom of Information Act, grant staff personnel, 
exclusion period, earning and benefits, reports, closeouts, and 
treatment of income.
    (C) Prior to the initial draw down, all TOP and EDSS grantees shall 
have secured online access to the internet as a means to communicate 
with HUD on grant matters, and EDSS grantees shall have provided 75% of 
the required MTCS data to HUD.
    (D) Within three months of HUD grant approval, successful TOP 
applicants who are site-based RAs must have applied for 501(c) status 
with the United States Internal Revenue Service.

(E) Risk Management

    Grantees and subgrantees are required to implement, administer and 
monitor programs so as to minimize the risk of fraud, waste, abuse, and 
liability for losses from adversarial legal action.

III. Application Selection Process

    Three types of reviews will be conducted: a screening to determine 
if the application submission is complete and on time (see General 
Section of the SuperNOFA and Section IV of this TOP/EDSS section of the 
SuperNOFA); a threshold review to determine applicant eligibility; and 
a technical review to rate the application based on the rating factors 
in this Section III.

(A) Additional Threshold Criteria for Funding Consideration

    Under the threshold review, the applicant will be rejected from the 
competition if the applicant is not in compliance with the threshold 
requirements of the General Section of the SuperNOFA and if the 
following additional standards are not met:
EDSS
    (1) Focus on Residents Affected by Welfare Reform. The family EDSS 
application must demonstrate evidence from the HA that at least 51% or 
more of the public or Indian housing residents to be included in the 
proposed program are affected by the welfare reform legislation, 
including Temporary Assistance for Needy Families (TANF) recipients, 
legal immigrants, and disabled SSI recipients.
    (2) Accessible Community Facility. The application must provide 
evidence (e.g. through an executed use agreement if the facility is to 
be provided by an entity other than the PHA/Tribe/TDHE) that a majority 
of the proposed activities will be administered at community facilities 
within easy transportation access (i.e., walking or by direct (no 
transfers required), convenient, inexpensive and reliable transport), 
of the property represented by the HA. The community facilities must 
also meet the structural accessibility requirements of Section 504 of 
the Rehabilitation Act and the Americans With Disabilities Act.
    (3) Leveraging Other Resources. The budget, the work plan, and 
commitments from resources and services other than the grant for which 
the applicant is applying to support the grant (including Comprehensive 
Grant, other governmental units/agencies of any type and/or private 
sources, whether for-profit or not-for-profit) must clearly evidence 
that these resources are firmly committed, will support the proposed 
grant activities and will, in combined amount (including in-kind 
contributions of personnel, space and/or equipment, and monetary 
contributions) equal the ED/SS grant amount proposed in this 
application. Firmly committed means there must be a written agreement 
to provide the resources. The written agreement may be contingent upon 
an applicant receiving a grant award. At least 25% of the match amount 
must consist of monetary contribution of funds and the remaining 75% in 
in-kind or other types of contributions. Salaries paid for with ED/SS 
funds do not qualify as funds from sources outside HUD. The following 
are guidelines for valuing certain types of contributions:
    (i) The value of volunteer time and services shall be computed at a 
rate of six dollars per hour except that the value of volunteer time 
and service involving professional and other special skills shall be 
computed on the basis of the usual and customary hourly rate paid for 
the service in the community where the EDSS activity is located.
    (ii) The value of any donated material, equipment, building, or 
lease shall be computed based on the fair market value at time of 
donation. Such value shall be documented by bills of sales, advertised 
prices, appraisals, or other information for comparable property 
similarly situated not more than one-year old taken from the community 
where the item or ED/SS activity is located, as appropriate.
    (4) Compliance with Current Programs. The applicant must provide 
certification in the format provided in the application kit that it is 
not in default at the time of application submission with respect to 
grants for the following programs: The Family Investment Center 
Program; the Youth Development Initiative under the Family Investment 
Center Program; The Youth Apprenticeship Program; The Apprenticeship 
Demonstration in the Construction Trades Program; The Urban Youth Corps 
Program; The HOPE 1 Program; The Public Housing Service Coordinator 
Program; The Public Housing Drug Elimination Program; and The Youth 
Sports Program.
    (5) In the case of an HA that is designated as ``troubled'' as a 
result of its PHMAP score the HA must provide documentation that a 
Contract Administrator (or equivalent organization that is qualified to 
administer federal grants; contracts; or cooperative agreements as 
evidence by information submitted in this document) will be deployed in 
the administration of this proposed grant.
    (6) PHMAP Score. An applicant cannot have a PHMAP score less than a 
C for either Indicator #6, Financial Management or Indicator #8, 
Resident Initiatives on its most recent PHMAP.
TOP
    (1) Economic Self-Sufficiency Grant
    (a) Focus on Residents Affected by Welfare Reform. The application 
must contain written evidence provided by the HA to the RA that at 
least 51% or more of the public housing residents to be included in the 
proposed program are affected by the welfare reform legislation, 
including TANF recipients and, if affected, legal immigrants and SSI 
recipients. Elderly or disabled residents not otherwise affected by 
welfare reform may be included towards meeting the fifty one percent 
requirement if, under the grant, they will provide services such as 
child care or mentoring to persons affected by welfare reform.
    (b) Partnership between the Resident Association and the Housing 
Authority.
    (i) The application must contain a signed MOU between the RA and 
the HA which describes the specific roles, responsibilities and 
activities to be undertaken between the two entities.
    (ii) The MOU, at a minimum must identify the principal parties 
(i.e. the name of the HA and RA), the terms of the agreement 
(expectations or terms for each party), and an indication that the 
agreement pertains to the support of the RA TOP grant application. This 
document is the basis for foundation of the relationship between the RA 
and HA. It must be precise and outline the specific duties and 
objectives to be accomplished under the grant. All MOUs must be 
finalized, dated and signed by duly authorized officials of both the RA 
and HA upon submission of the application. A sample MOU will be 
provided in the application kit.

[[Page 23913]]

    This threshold requirement is not applicable to Intermediary 
Resident Organization applicants.
    (c) Accessible Community Facility--The applicant must provide 
evidence (e.g. through an executed use agreement and/or in the MOU with 
the HA) that a majority of the proposed activities will be administered 
at community facilities within easy access (i.e., walking or by direct 
(no transfers required), convenient, inexpensive and reliable 
transport), of the property represented by the RA. The community 
facility must also meet the structural accessibility requirements of 
section 504 of the Rehabilitation Act and the Americans with 
Disabilities Act.
    (d) Contract Administrator. Unless HUD or an Independent Public 
Accountant have determined that the applicant's financial management 
system and procurement procedures fully comply with 24 CFR part 84, the 
application must contain evidence that the RA will use the services of 
a Contract Administrator in administering the grant. Troubled HAs are 
not eligible to be Contract Administrators. In cases where the Contract 
Administrator is the HA, the contract administration responsibilities 
can be incorporated into the MOU discussed in paragraph (g)(3) above. 
This requirement does not apply to Intermediary Resident Organization 
applicants.
    (e) Applicant Non-Profit Status
    (i) RCs/RMCs--Applicant must submit evidence that the applicant is 
registered with the State as a nonprofit corporation.
    (ii) Intermediary Resident Organizations must submit evidence of 
being registered with the State as a nonprofit corporation; and having 
applied for 501(c) status with the United States Internal Revenue 
Services.
    (f) Certification of Elections--Applicant must submit certification 
of the RA board election as required by HUD, signed by the local HA 
and/or an independent third-party monitor and notarized. (Not 
applicable to IROs)
    (g) Compliance with Current Programs. The applicant must provide a 
valid certification on the format provided in the application kit that 
it is not the subject of unresolved HUD Office of Inspector General 
findings and that it and the contract administrator are not in default 
at the time of application submission with respect to any previous HUD 
funded grant programs the applicant or another party has received.
    (h) Applicants which are Intermediary Resident Organizations must 
list in the application the name of the RAs that will receive training, 
technical assistance and/or coordinated supportive services and must 
provide letters of support from each entity identified in the 
application. The intermediary can not list RAs that have been 
previously awarded Resident Management and/or TOP funds at the maximum 
limit of $100,000.
    (2) Organizational Development Grant.
    (a) Certification of Elections--Applicant must submit certification 
of the RA board election as required by HUD, signed by the local HA 
and/or an independent third-party monitor and notarized. (Not 
applicable to IROs)
    (b) Contract Administrator Unless HUD or an Independent Public 
Accountant have determined that the applicant's financial management 
system and procurement procedures comply with 24 CFR part 84, the 
application must contain evidence that the RA will use the services of 
a Contract Administrator in administering the grant. Troubled HAs are 
not eligible to be Contract Administrators. In cases where the Contract 
Administrator is the HA, the contract administration responsibilities 
can be incorporated into the MOU discussed in paragraph (g)(3) above. 
This requirement does not apply to Intermediary Resident Organization 
applicants.
    (c) Compliance with Current Programs. The applicant must provide 
certification on the format provided in the application kit that it and 
the contract administrator are not in default at the time of 
application submission with respect to any previous HUD funded grant 
programs the applicant or any other party has received and that there 
are no unresolved Office of Inspector General findings against the 
applicant or contract administrator.
    (d) Applicants which are Intermediary Resident Organizations must 
list in the application the name of the RAs that will receive training, 
technical assistance and/or coordinated supportive services and must 
provide letters of support from each entity identified in the 
application. The intermediary can not list RAs that have been 
previously awarded Resident Management and/or TOP funds at the maximum 
limit of $100,000.
    (3) Mediation Grant. For mediation grants, the applicant must meet 
the following requirements:
    (a) Written Agreement with Mediator. Have a written agreement with 
professional mediator or mediation organization (mediator/partner) with 
roles and responsibilities of each party, as well as any compensation 
to the mediator/partner (which must be reasonable and based on the work 
to be performed) defined. The written agreement must specify, 
consistent with the work plan, that the mediator/partner will train IRO 
staff and/or volunteers such that the IRO will be capable of providing 
mediation assistance independently by the end of the grant term;
    (b) Mediation Experience/Referral Agreement. Provide evidence that 
its mediator/partner have at least three years of experience in 
providing mediation services and at least two years of experience in 
mediation training; and include one referral agreement with a judicial, 
law enforcement or social service agency such as the court system or 
Welfare Department for mediation referral of public housing residents.
    (c) Applicant Non-Profit Status. Intermediary Resident 
Organizations must be registered with the State as a nonprofit 
corporation; and have applied for 501(c) status with the United States 
Internal Revenue Services.
    (d) Compliance with Current Programs. The applicant must provide 
certification on the format provided in the application kit that it and 
the mediation partner are not in default at the time of application 
submission with respect to any previous HUD funded grant programs the 
applicant has received and that there are no unresolved Office of 
Inspector General findings against the applicant or mediation partner.

(B) Factors for Award Used to Evaluate and Rate EDSS and TOP 
Applications

    The following information does not apply to TOP organizational 
development applicants which will be selected by lottery.
    The factors for rating and ranking applicants and maximum points 
for each factor are provided below. The points awarded for the factors 
total 100. Applicants are eligible two EZ/EC bonus points, as described 
in the General Section of the SuperNOFA. An EDSS application must 
receive a total of 75 points out of 100 and a TOP application must 
receive a total of 65 points out of 100 in order to be eligible for 
funding.
EDSS Selection Factors
Rating Factor 1: Capacity of the Applicant and Relevant Organizational 
Experience (20 Points)
    This factor addresses the extent to which the applicant has the 
organizational resources necessary to successfully implement the 
proposed activities in a timely manner. In rating this factor HUD will 
consider the extent to which the proposal demonstrates:
    (1) Proposed Program Staffing (7 Points)

[[Page 23914]]

    (a) Experience. (4 Points): The knowledge and experience of the 
overall proposed project director and staff, including the day-to-day 
program manager, sub-recipients and partners in planning and managing 
programs for which funding is being requested. Experience will be 
judged in terms of recent, relevant and successful experience of the 
applicant's staff to undertake eligible program activities.
    (b) Sufficiency. (3 Points): The applicant, its sub-recipients, and 
partners have sufficient personnel or will be able to quickly access 
qualified experts or professionals, to deliver the proposed activities 
in each proposed service area in a timely and effective fashion, 
including the readiness and ability of the applicant to immediately 
begin the proposed work program. To demonstrate that the applicant must 
submit the proposed number of staff years by the employees and experts 
to be allocated to the project, the titles and relevant professional 
background and experience of each employee and expert proposed to be 
assigned to the project and the roles to be performed by each 
identified employee and expert.
    (2) Program Administration and Fiscal Management (7 Points)
    (a) Program Administration. (4 Points): The soundness of the 
proposed management of the proposed ED/SS program. In order to receive 
a high score an applicant must provide a comprehensive description of 
the project management structure, including the use of a contract 
administrator, if applicable. The narrative must provide a description 
of how any co-applicants, subgrantees and other partner agencies relate 
to the program administrator as well as the lines of authority and 
accountability among all components of the proposed program.
    (b) Fiscal Management. (3 Points): The soundness of the applicant's 
proposed fiscal management. In order to receive a high score an 
applicant must provide comprehensive description of the fiscal 
management structure, including but not limited to budgeting, fiscal 
controls and accounting. The application must identify the staff 
responsible for fiscal management, and the processes and timetable for 
implementation during the proposed grant period.
    (3) Applicant/Administrator Track Record (6 Points): Based on the 
applicant's or if a Contract Administrator is proposed, the 
Administrator's prior performance in successfully carrying out grant 
programs designed to assist residents in increasing their self-
sufficiency, security or independence. In order to receive a high score 
the applicant must demonstrate its (or the proposed Administrator's) 
program compliance and successful implementation of any of resident 
self-sufficiency, security or independence oriented grants (including 
those listed below) awarded to the applicant or overseen by the 
Administrator. Applicants or Administrators with no prior experience in 
operating programs that foster resident self-sufficiency, security or 
independence will receive a score of 0 on this factor. The applicant's 
past experience may include but is not limited to administering the 
following grants: The Family Investment Center Program; The Youth 
Development Initiative under the Family Investment Center Program; The 
Youth Apprenticeship Program; The Apprenticeship Demonstration in the 
Construction Trades Program; The Urban Youth Corps Program; The HOPE 1 
Program; The Public Housing Service Coordinator Program; The Public 
Housing Drug Elimination Program; and The Youth Sports Program.
Rating Factor 2: Need/Extent of the Problem (20 Points)
    Family EDSS applicants will be rated on (1) (a)(i)--(a)(vi). 
Elderly/Disabled applicants will be rated on (2)(a)-(c).
    This factor addresses the extent to which there is a need for 
funding the proposed program activities to address a documented problem 
in the target area. Applicants will be evaluated on the extent to which 
they document a critical level of need in the development or the 
proposed activities in the area where activities will be carried out. 
In responding to this factor, applicants will be evaluated on:
    (1) A Needs Assessment Document (18 Points): HUD will award up to 
18 points based on the quality and comprehensiveness of the needs 
assessment document. In order to obtain maximum points for Family 
Economic Development and Supportive Services Category applications, 
this document must contain statistical data which provides:
    (a) A thorough socioeconomic profile of the eligible residents in 
relationship to HA-wide and national public and Indian housing data on 
residents:
    (i) Who are on TANF, SSI benefits, or other fixed income 
arrangements;
    (ii) In job training, entrepreneurship, or community service 
programs; and
    (iii) Who are employed.
    (iv) Specific information should be provided on training, 
contracting and employment through the HA.
    (v) An assessment of the current service delivery system as it 
relates to the needs of the target population, including the number and 
type of services, the location of services, and community facilities 
currently in use,
    (vi) A description of the goals, objectives, and program strategies 
that will result in successful transition of residents from welfare-to-
work.
    (2) In order to obtain maximum points for Elderly and Disabled 
Supportive Services Category applications, this document should contain 
statistical data which provides:
    (a) The numbers of residents indicating need for assistance for 
activities of daily living.
    (b) An assessment of the current service delivery system as it 
relates to the needs of the target population, including the number and 
type of services, the location of services, and community facilities 
currently in use.
    (c) A description of the goals, objectives, and program strategies 
that will result in increased independence for proposed program 
participants.
    (2) Level of Priority in Consolidated Plan. (2 Points): 
Documentation of the level of priority the locality's, or in the case 
of small cities, the State's Consolidated Plan has placed on addressing 
the needs. Applicants may also address needs in terms of fulfilling the 
requirements of court actions or other legal decisions or which expand 
upon the Analysis of Impediments to Fair Housing choice (AI) to further 
fair housing. Applicants that address needs that are in the community's 
Consolidated Plan, AI, or a court decision, or identify and 
substantiate needs in addition to those in the AI, will receive a 
greater number points than applicants which do not relate their 
proposed program to the approved Consolidated Plan or Analysis of 
Impediments to Fair Housing Choice or court action. There must be a 
clear relationship between the proposed activities, community needs and 
the purpose of the program funding for an applicant to receive points 
for this factor. For Tribes/TDHEs, the Indian Housing Plan would be the 
document to review for this information.
Rating Factor 3: Soundness of Approach (40 Points)
    This factor addresses the quality and cost-effectiveness of the 
applicant's proposed work plan. In rating this factor HUD will 
consider: the viability and comprehensiveness of strategies to address 
the needs of residents; budget appropriateness/efficient use of grant; 
the speed at which the applicant can realistically accomplish the goals 
of the proposed EDSS program; the soundness of the applicant's plan to 
evaluate the

[[Page 23915]]

success of its proposed EDSS program at completion and during program 
implementation; and resident and other partnerships; and policy 
priorities.
    (1) Viability and comprehensiveness of the strategies to address 
the needs of residents (19 Points): The score in this factor will be 
based on the viability and comprehensiveness of strategies to address 
the needs of residents. HUD will award up to 19 points based on the 
following:
    (a) Services (13 Points for Family EDSS applicants and 19 Points 
for Elderly/Disabled applicants; more points are awarded in the 
Elderly/Disabled application in order to balance other sections of the 
rating criteria where points are not applicable to an Elderly/Disabled 
applicant): The score in this factor will be based on the following:
    (i) For Family Economic Development and Supportive Services 
Category applications, applicant provides a comprehensive description 
of how the applicant's plan provides services that specifically address 
the successful transition from welfare to work of non-elderly families. 
To receive a high score, the applicant should include case management/
counseling, job training/development/placement (and/or business 
training/development/startup), child care and transportation. Also, in 
order to receive maximum points, goals, and objectives of the proposed 
plan, the plan must represent significant achievements related to 
welfare-to-work and other self-sufficiency/independence goals. 
Specifically for those residents affected by welfare reform, the number 
of residents employed or resident businesses started are preferable to 
the number of residents receiving training.
    (ii) For Elderly and Disabled Supportive Services Category 
applications, applicant could include case management, health care, 
congregate services and transportation. To obtain maximum points the 
services must be located in a community facility and be available on a 
12 hour basis or as needed by the eligible residents.
    (b) Resident Contracting and Employment (3 Points): The score in 
this factor will be based on the extent to which residents will achieve 
self-sufficiency through the applicant contracting with resident owned 
businesses and through resident employment. A high score will be 
awarded where there is documentation (letter or resolution) describing 
the HA's commitment to hire at least 15% of residents or contract at 
least 15% of residents and a narrative describing the reasonable number 
of jobs or contracts, as well as the training processes related to the 
comprehensive plan. Elderly and Disabled Supportive Services Category 
applications will not be scored on this criterion.
    (c) Rent Reform and Occupancy Incentives (3 Points): The score in 
this factor will be based on the degree to which the applicant has 
implemented, proposes to implement or collaborates with a public 
welfare department to implement incentives designed to promote resident 
self-sufficiency including but not limited to: ceiling rents, rent 
exclusions, rent escrows, occupancy preferences for applicants who work 
or who are in a self-sufficiency program, stipends, or income 
disregards. A high score is received if the applicant can show how the 
incentives complement the purposes of the program activities for which 
the applicant is seeking funding. Elderly and Disabled Supportive 
Services Category applications will not be scored on this criterion.
    (2) Budget appropriateness/efficient use of grant (5 Points): Up to 
5 points based on the extent to which the proposed ED/SS program will 
result in a lower total ED/SS program cost per dwelling unit to be 
served in the program in comparison to other applications under ED/SS. 
For the purposes of this selection factor, applicants may only count 
dwelling units currently under an annual contributions contract at the 
time of application submission.
    Tribes/TDHEs should use the number of units counted as Formula 
Current Assisted Stock for Fiscal Year 1998 as defined in 24 CFR 
1000.316. Tribes who have not previously received funds from the 
Department under the 1937 Act should count housing units under 
management that are owned and operated by the tribe and are identified 
in their housing inventory as of September 30, 1997. The procedure for 
determining the score is outlined below.
    (a) HUD will combine all of the per-unit amounts, rounded to the 
nearest whole dollar, into a single nationwide list in order from the 
lowest cost per unit to the highest cost per unit. HUD will take the 
total number of grant applications that have met the prerequisites to 
be scored and divide them by the score for this factor (i.e. 5) to 
establish a scoring increment.
    (b) HUD will start at the lowest per-unit amount and count one 
scoring increment into the list (i.e. 1/5th of the way into the list). 
The per-unit amount at that location will constitute a breakpoint. HUD 
will count the next scoring increment into the list and establish 
another breakpoint. The process will be repeated to establish 5 
segments of per-unit costs. In the event that multiple applications 
share the same per-unit cost at a breakpoint, the breakpoint will be 
adjusted by $1 higher or lower than that of the initial breakpoint to 
achieve as close as possible a 1/5th segment.
    (c) Once all of the breakpoints have been established as outlined, 
HUD will enter the score. All applications with a cost per unit below 
that of the first breakpoint will receive a score of 5; those with a 
cost per unit lower than the second breakpoint will receive a score of 
4; etc.
    (3) Reasonableness of the timetable (2 Points for Family EDSS 
applicants and 4 Points for Elderly/Disabled applicants); (more points 
are awarded in the Elderly/Disabled application in order to balance 
other sections of the rating criteria where points are not applicable 
to Elderly/Disabled applicant):
    The score in this factor will be based on the speed at which the 
applicant can realistically accomplish the goals of the proposed ED/SS 
program. To receive a high score, the applicant must demonstrate that 
it will make substantial progress within the first six months after 
grant execution including putting staff in place, finalizing 
partnership arrangements, completing the development of requests for 
proposals and achieving other milestones that are prerequisites for 
implementation of the program. In addition the applicant must 
demonstrate that the proposed timetable for all components of the 
proposed program is reasonable considering the size of the grant and 
its activities and that it can accomplish its objectives within the 24 
month time limit.
    (4) Program Assessment. (3 Points): The score in this factor will 
be based on the soundness of the applicant's plan to evaluate the 
success of its proposed EDSS program both at the completion of the 
program and during program implementation. At a minimum, the applicant 
must track the goals and objectives of the proposed work plan program. 
HUD will rate more favorably applicants which can track specific 
measurable achievements for the use of program funds, such as number of 
residents employed, salary scales of jobs obtained, persons removed 
from welfare roles 12 months or longer, and number of persons receiving 
certificates for successful completion of training in careers such as 
computer technology.
    (5) Resident and Other Partnerships (11 Points for Family EDSS 
applicants and 9 Points for Elderly/Disabled applicants)

[[Page 23916]]

    (a) Resident Involvement in ED/SS Activities (3 Points for Family 
EDSS applicants and 4 Points for Elderly/Disabled applicants); more 
points are awarded in the Elderly/Disabled application in order to 
balance other sections of the rating criteria where points are not 
applicable to Elderly/Disabled applicants): The score in this factor 
will be based on the extent of resident involvement in developing the 
proposed EDSS program as well as the extent of proposed resident 
involvement in implementing the proposed EDSS program. In order to 
receive a high score on this factor the applicant must provide 
documentation that describes the involvement of residents in the 
planning phase for this program, and a commitment to provide continued 
involvement in grant implementation. In order to receive maximum points 
a memorandum of understanding or other written agreement between the 
applicant and the appropriate Resident Associations must be included.
    (b) Other Partnerships (3 Points): The score in this factor will be 
based on the successful integration of partners into implementation of 
the proposed EDSS program. In order to receive a high score an 
applicant must provide a signed Memorandum of Understanding (MOU) (or 
other equivalent signed documentation provided that it delineates the 
roles, responsibilities of each of the parties and the benefits they 
will receive) that delineates specific partnerships related to the 
components in the comprehensive plan. In assessing this factor HUD will 
examine a number of aspects of the proposed partnership including:
    (i) The division of responsibilities/management structure of the 
proposed partnership relative to the expertise and resources of the 
partners;
    (ii) The extent to which the partnership as a whole addresses a 
broader level of unmet resident needs: the extent to which the addition 
of the partners provides the ability to meet needs that the applicant 
could not otherwise meet without the partner(s).
    (c) Overall Relationship/TOP Coordination (3 Points): For Family 
EDSS applicants, the score in this factor will be based on the extent 
of coordination between the applicant's proposed EDSS program and any/
all existing or proposed TOP programs sponsored by RAs within the 
applicant's jurisdiction. In order to receive a high score the 
application must contain an MOU that describes collaboration between HA 
staff and residents on all of the specific components related to the 
work plan of both the proposed or current TOP and EDSS programs. If 
there are no existing and no proposed TOP grants within the 
jurisdiction of the applicant, the score for this factor will be 0. 
Elderly/Disabled applications will not be scored on this criterion. In 
addition, if all of the resident groups eligible to apply for TOP 
within the applicant's jurisdiction have already received TOP grants 
and will have completed the activities, the applicant will not be 
scored on this criterion.
    (6) Policy Priorities (2 Points): Documentation of the extent to 
which policy priorities of the Department are furthered by the proposed 
activities. Such Department policy priorities are: (1) Affirmatively 
furthering fair housing by promoting greater opportunities for housing 
choice for minorities and the disabled; (2) Promoting healthy homes; 
(3) Providing opportunities for self-sufficiency, particularly for 
persons enrolled in welfare to work programs; (4) Providing enhanced 
economic, social and/or living environments in Empowerment Zones or 
Enterprise communities; and (5) Providing educational and job training 
opportunities through such initiatives as Neighborhood Networks, Campus 
of Learners and linking programs to AmeriCorps activities. To obtain 
the full two points in this category, at least three of these five 
policy priorities must be addressed.
Rating Factor 4: Leveraging Resources (10 Points)
    This factor addresses the ability of the applicant to secure 
community resources (note: financing is a community resource) which can 
be combined with HUD's program resources to achieve program purposes. 
In evaluating this factor HUD will consider:
    The extent to which the applicant has partnered with other entities 
to secure additional resources to increase the effectiveness of the 
proposed program activities. Resources may include funding or in-kind 
contributions, such as services or equipment, allocated to the 
purpose(s) of the award the applicant is seeking. Resources may be 
provided by governmental entities, public or private nonprofit 
organizations, for-profit private organizations, or other entities 
willing to partner with the applicant. Applicants may also partner with 
other program funding recipients to coordinate the use of resources in 
the target area.
    For programs which have a matching requirement, rating points for 
this factor will be allocated based upon the extent to which an 
applicant has exceeded the program's minimum match requirement. If the 
applicant meets the match requirement they will receive up to an 
additional 5 points; depending on the extent to which the match 
requirement is exceeded.
    Applicants must provide evidence of leveraging/partnerships by 
including in the application letters of firm commitments, memoranda of 
understanding, or agreements to participate from those entities 
identified as partners in the application. To be firmly committed there 
must be a written agreement to provide the resources. The written 
agreement may be contingent upon an applicant receiving a grant award. 
Each letter of commitment, memorandum of understanding, or agreement to 
participate should include the organization's name, proposed level of 
commitment and responsibilities as they relate to the proposed program. 
The commitment must also be signed by an official of the organization 
legally able to make commitments on behalf of the organization.
Rating Factor 5: Comprehensiveness and Coordination (10 Points)
    This factor addresses the extent to which the applicant's program 
reflects a coordinated, community-based process of identifying needs 
and building a system to address the needs by using available HUD 
funding resources and other resources available to the community.
    In evaluating this factor HUD will consider:
    (1) Coordination with the Consolidated Plan (2 Points for Family 
EDSS applicants and 6 points for Elderly/Disabled applicants; more 
points are awarded in the Elderly/Disabled application in order to 
balance other sections of the rating criteria where points are not 
applicable to an Elderly/Disabled application.)
    The extent to which the application demonstrates the applicant has 
reviewed the community's Consolidated Plan and/or Analysis of 
Impediments to Fair Housing Choice, and has proposed activities that 
address the priorities, needs, goals or objectives in those documents; 
or substantially further fair housing choice in the community. For 
tribes/TDHEs the Indian Housing Plan would be the document to review 
for information.
    (2) For Family EDSS Applications, Coordination with the State or 
Tribal Welfare Plan (4 Points): Provide evidence that the proposed EDSS 
program has been coordinated with and supports the housing authority's 
efforts to increase resident self-sufficiency and

[[Page 23917]]

is coordinated and consistent with the State or Tribal Welfare Plan.
    (3) Coordination with Other Activities (4 Points): The extent to 
which the application demonstrates that the applicant in carrying out 
program activities will develop linkages with: other HUD funded program 
activities proposed or on-going in the community; or other State, 
Federal or locally funded activities proposed or on-going in the 
community which, taken as a whole, support and sustain a comprehensive 
system to address the needs.
TOP Selection Factors for Economic Self-Sufficiency Grants
Rating Factor 1: Capacity of the Applicant and Relevant Organizational 
Experience (20 points)
    This factor addresses the extent to which the applicant has 
assembled the organizational resources necessary to successfully 
implement the proposed activities in a timely manner. Since TOP 
grantees are generally prohibited from hiring staff with TOP funds, 
Site-Based Resident Association applicants will be rated based largely 
on the capacity of the Contract Administrator and partners contributing 
additional resources. In rating this factor HUD will consider the 
applicant's:
    (1) Staffing. (7 Points)
    (a) Experience. (4 Points): The knowledge and experience of the 
overall proposed applicant's, Contract Administrator's and/or partners' 
project director and staff, including the day-to-day program manager, 
in planning and managing programs for which funding is being requested. 
Experience will be judged in terms of recent, relevant and successful 
experience of the applicant's staff to undertake eligible program 
activities.
    (b) Sufficiency. (3 Points): The applicant, Contract Administrator 
(if any) and partners have sufficient personnel or will be able to 
access quickly qualified experts or professionals, to deliver the 
proposed activities in each proposed service area in a timely and 
effective fashion, including the readiness and ability of the applicant 
to immediately begin the proposed work program. To demonstrate that, 
the applicant must submit the proposed number of staff years by the 
employees and experts to be allocated to the project, the titles and 
relevant professional background and experience of each employee and 
expert proposed to be assigned to the project and the roles to be 
performed by each identified employee and expert.
    (2) Program Administration and Fiscal Management (7 points)
    (a) Program Administration (4 Points): The soundness of the 
proposed management of the proposed TOP program. In order to receive a 
high score an applicant must provide a comprehensive description of the 
project management structure, including the use of a contract 
administrator, if applicable. The narrative must provide a description 
of how any co-applicants, subgrantees and other partner agencies relate 
to the program administrator as well as the lines of authority and 
accountability among all components of the proposed program.
    (b) Fiscal Management (3 Points): The soundness of the applicant's 
proposed fiscal management. In order to receive a high score an 
applicant must provide comprehensive description of the fiscal 
management structure, including but not limited to budgeting, fiscal 
controls and accounting. The application must explain the staff 
responsible for fiscal management, and the processes and timetable for 
implementation during the proposed grant period.
    (3) Applicant/Administrator Track Record/Capability (6 Points): In 
assessing this factor, HUD will consider the soundness of the prior 
experience of the Applicant and the Contract Administrator (if 
applicable) in successfully carrying out resident services programs 
designed to assist residents in increasing their self-sufficiency, 
security or independence. A high score is received if the Applicant or 
Administrator can demonstrate compliance and successful implementation 
(i.e., completion of grant implementation plan tasks) of prior resident 
services programs. Applicants and Contract Administrators with no prior 
experience in operating programs that foster resident self-sufficiency, 
security or independence will receive a score of 0 on this factor.
Rating Factor 2: Need/Extent of the Problem (20 Points)
    This factor addresses the extent to which there is a need for 
funding the proposed program activities to address a documented problem 
in the target area. Applicants will be evaluated on the extent to which 
they document a well specified and critical need in the development of 
the proposed activities in the area where activities will be carried 
out. In responding to this factor, applicants will be evaluated on:
    (1) Needs Assessment Document (18 Points): HUD will award up to 18 
points based on the quality and comprehensiveness of the needs 
assessment document. In order to obtain maximum points this document 
must contain statistical data which provides:
    (a) A thorough socioeconomic profile of the eligible residents in 
relationship to HA-wide and national public housing data on residents. 
The profile should include residents: on TANF, SSI benefits, or other 
fixed income arrangements; in job training, entrepreneurship, or 
community service programs; and employed;
    (b) Specific information should be provided on training, 
contracting and employment through the HA;
    (c) An assessment of the current service delivery system as it 
relates to the needs of the target population, including the number and 
type of services, the location of services, and community facilities 
currently in use.
    (2) Level of Priority in Consolidated Plan (2 Points): 
Documentation of the level of priority the locality's, or in the case 
of small cities, the State's Consolidated Plan has placed on addressing 
the needs. Applicants may also address needs in terms of fulfilling the 
requirements of court actions or other legal decisions or which expand 
upon the Analysis of Impediments to Fair Housing choice (AI) to further 
fair housing. Applicants that address needs that are in the community's 
Consolidated Plan, AI, or a court decision, or identify and 
substantiate needs in addition to those in the AI, will receive a 
greater number points than applicants which do not relate their 
proposed program to the approved Consolidated Plan or Analysis of 
impediments to Fair Housing Choice or court action. There must be a 
clear relationship between the proposed activities, community needs and 
the purpose of the program funding for an applicant to receive points 
for this factor.
Rating Factor 3: Soundness of Approach (40 Points)
    This factor addresses the quality and cost-effectiveness of the 
applicant's proposed work plan. In rating this factor HUD will 
consider: the viability and comprehensiveness of strategies to address 
the needs of residents; budget appropriateness/efficient use of grant; 
the speed at which the applicant can realistically accomplish the goals 
of the proposed TOP program; the soundness of the applicant's plan to 
evaluate the success of its proposed TOP program at completion and 
during program implementation; and resident and other partnerships. 
Tribes/TDHEs should use the number of units counted as Formula Current 
Assisted Stock for Fiscal Year 1998 as defined in 24 CFR 1000.316. 
Tribes that have not previously received funds from the Department 
under the 1937 Act should count housing units

[[Page 23918]]

under management that are owned and operated by the tribe and are 
identified in their housing inventory as of September 30, 1997.
    (1) Viability and comprehensiveness of the strategies to address 
the needs of residents (11 Points): The score in this factor will be 
based on the extent and comprehensiveness of the training and related 
services that will be provided as well as the extent that the proposed 
training and related services will contribute to providing for unmet 
resident needs identified in the required Needs Assessment Report.
    To receive a high score applicants must provide a comprehensive 
description of how the proposed plan provides training and related 
services that specifically address the successful transition from 
welfare to work and/or maintaining independence of elderly families and 
persons with disabilities by avoiding institutionalization. To obtain 
maximum points the training and related services must be located in the 
community facility and be available as needed by the eligible 
residents. Also, in order to receive maximum points, goals and 
objectives of the proposed plan must represent significant achievements 
related to welfare-to-work and other self-sufficiency/independence 
goals. Specifically, for residents affected by welfare reform, the 
number of residents employed or resident businesses started are 
preferable to the number of residents receiving training.
    Intermediary Resident Organizations will receive points under this 
Viability and Comprehensiveness factor (as outlined above) based on the 
training and related services for each of the project sites the 
Intermediary Resident Organization proposes to assist.
    (2) Budget Appropriateness/Efficient Use of Grant Funds (6 Points): 
The score in this factor will be based on the following: 
    (a) Detailed Budget Break-Out: The extent to which the application 
includes a detailed budget break-out for each budget category in the 
SF-424A.
    (b) Reasonable administrative costs. The extent to which the 
application includes reasonable administrative costs within the 25%-30% 
administrative cost ceiling.
    (c) Budget Efficiency. The extent to which the application requests 
funds commensurate with the level of effort necessary to accomplish the 
goals and objectives and the estimated costs to the government are 
reasonable in relationship to the anticipated results.
    (3) Reasonableness of the timetable (1 Point): The score in this 
factor will be based on the speed at which the applicant can 
realistically accomplish the goals of the proposed TOP program. To 
receive a high score, the applicant must demonstrate that the proposed 
timetable for all components of the proposed program is reasonable 
(i.e., a given task is allotted the amount of time it would normally 
take to accomplish such a task) and that the applicant can accomplish 
the proposed implementation plan objectives within the 24 month time 
limit. The applicant must also demonstrate that it will make 
substantial progress within the first six months after grant execution.
    (4) Policy Priorities (2 Points): Documentation of the extent to 
which policy priorities of the Department are furthered by the proposed 
activities. Such Department policy priorities are: (1) Affirmatively 
furthering fair housing by promoting greater opportunities for housing 
choice for minorities and the disabled; (2) Promoting healthy homes; 
(3) Providing opportunities for self-sufficiency, particularly for 
persons enrolled in welfare to work programs; (4) Providing enhanced 
economic, social and/or living environments in Empowerment Zones or 
Enterprise communities; and (5) Providing educational and job training 
opportunities through such initiatives as Neighborhood Networks, Campus 
of Learners and linking programs to AmeriCorps activities. To obtain 
the full two points in this category, at least three of these five 
policy priorities must be addressed.
    (5) Housing Authority-Resident Association Partnership (8 Points)
    (a) The score in this factor will be based on the extent of 
coordination between the applicant's proposed TOP program and any/all 
existing or proposed HA resident services programs that assist 
residents in increasing their self-sufficiency, security or maintaining 
their independence by avoiding institutionalization. In order to 
receive a high score the application must contain an MOU (between the 
HA and the RA) which describes collaboration between HA staff and 
residents on all of the specific components related to the 
implementation plans of both the proposed TOP program and the resident 
services programs of the housing authority.
    (b) Intermediary Resident Organizations will receive points under 
this Housing Authority-Resident Association Program Partnership factor 
based on the extent to which the Intermediary Resident Organization can 
demonstrate that the housing authorities for each of the project sites 
the Intermediary Resident Organization proposes to assist have agreed 
to support and coordinate their efforts with those of the Intermediary 
Resident Organization in assisting the project sites.
    (6) Other Partnerships (4 Points): The score in this factor will be 
based on the successful integration of partners into implementation of 
the proposed TOP program. In order to receive a high score an applicant 
must provide an MOU or other equivalent documentation that delineates 
specific partnerships related to the components in the comprehensive 
plan. In assessing this factor HUD will examine a number of aspects of 
the proposed partnership including:
    (a) The soundness of the division of responsibilities/management 
structure of the proposed partnership relative to the expertise and 
resources of the partners;
    (b) The extent to which the partnership as a whole addresses a 
broader range of resident needs: the extent to which the addition of 
the partners provides the ability to meet needs more cost effectively 
or efficiently than the applicant or its partners could achieve 
individually without forming the partnership.
    (7) Resident Involvement (4 Points)
    (a) The score in this factor will be based on the extent of 
resident involvement in developing the proposed TOP program as well as 
the extent of proposed resident involvement in implementing the 
proposed TOP program. In order to receive a high score on this factor 
the applicant must provide verifiable documentation which describes the 
involvement of affected residents in the planning phase for this 
program, and a commitment by the Resident Association to provide 
continued involvement in grant implementation. In order to receive 
maximum points the application must contain a resolution from the 
appropriate RA(s) which includes signatures from the resident 
community.
    (b) Intermediary Resident Organizations will receive points under 
this Resident Involvement factor based on the demonstrated level of 
coordination of efforts between the RA for each of the project sites 
the Intermediary Resident Organization proposes to assist and the 
Intermediary Resident Organization. Higher points will be awarded to 
the extent that RAs proposed to be assisted have taken the preliminary 
steps to take advantage of the assistance proposed for their site by 
the Intermediary Resident Organization. For example, the RA for the 
proposed site has organized itself and selected its leadership and 
obtained basic training from the HA or other community organizations.

[[Page 23919]]

    (8) Program Assessment. (4 Points): The score in this factor will 
be based on the soundness of the applicant's plan to evaluate the 
success of its proposed EDSS program both at the completion of the 
program and during program implementation. At a minimum, the applicant 
must track the goals and objectives of the proposed work plan program. 
HUD will rate more favorably applicants which can track specific 
measurable achievements for the use of program funds, such as number of 
residents employed, salary scales of jobs obtained, persons removed 
from welfare roles 12 months or longer, and number of persons receiving 
certificates for successful completion of training in careers such as 
computer technology.
Rating Factor 4: Leveraging Resources (10 Points)
    This factor addresses the ability of the applicant to secure 
community resources. In evaluating this factor HUD will consider: The 
extent to which the commitment letters or the equivalent can 
demonstrate that resources outside the TOP Program (including existing 
Federal, state, local, non-profit, and/or private resources) are to be 
utilized in the applicant's proposed program. The resources will be 
measured based on a ratio of applicant's value of in-kind contributions 
and funds committed for the proposed effort.
    Applicants must provide evidence of leveraging/partnerships by 
including in the application letters of firm commitments, memorandum of 
understanding, or agreements to participate from those entities 
identified as partners in the application. To be firmly committed, 
there must be a written agreement to provide the resources. The written 
agreement may be contingent upon an applicant receiving a grant 
agreement. Each letter of commitment, memorandum of understanding, or 
agreement to participate should include the organization's name, 
proposed level of commitment and responsibilities as they relate to the 
proposed program. The commitment must also be signed by an official of 
the organization legally able to make commitments on behalf of the 
organization.
Rating Factor 5: Comprehensiveness and Coordination (10 Points)
    This factor addresses the extent to which the applicant's program 
reflects a coordinated, community-based process of identifying needs 
and building a system to address the needs by using available HUD 
funding resources and other resources available to the community.
    In evaluating this factor HUD will consider:
    (1) Coordination with the Consolidated Plan (2 Points): The extent 
to which the application demonstrates the applicant has reviewed the 
community's Consolidated Plan and/or Analysis of Impediments to Fair 
Housing Choice, and has proposed activities that address the 
priorities, needs, goals or objectives in those documents; or 
substantially further fair housing choice in the community.
    (2) Coordination with the State Welfare Plan (4 points): Provide 
evidence that the proposed TOP has been coordinated with and supports 
the housing authority's efforts to increase resident self-sufficiency 
and is coordinated and consistent with the State Welfare Plan.
    (3) Coordination with Other Activities (4 Points): The extent to 
which the application demonstrates that the applicant, in carrying out 
program activities, will develop linkages with: other HUD funded 
program activities proposed or on-going in the community; or other 
State, Federal or locally funded activities proposed or on-going in the 
community which taken as a whole support and sustain a comprehensive 
system to address the needs.
Selection Factors for TOP Organizational Development Grant
    Applicants are not required to address selection factors for the 
Organizational Development Grant category. HUD will use a lottery 
system to select applicants for this category.
Selection Factors for TOP Mediation Grant
Rating Factor 1: Capacity of the Applicant and Relevant Organizational 
Experience (20 Points)
    This factor addresses the extent to which the applicant and 
mediation partner have the organizational resources necessary to 
successfully implement the proposed activities in a timely manner. In 
rating this factor HUD will consider the applicant's:
    (1) Staffing (7 points)
    (a) Experience. (4 Points): The knowledge and experience of the 
overall proposed project director and staff, including the day-to-day 
program manager(s), for both the applicant and mediation partner in 
planning and managing programs for which funding is being requested. 
Experience will be judged in terms of recent, relevant and successful 
experience of the staff to undertake eligible program activities.
    (b) Sufficiency. (3 Points): The applicant and mediation partner 
have sufficient personnel or will be able to quickly access qualified 
experts or professionals, to deliver the proposed activities in each 
geographical territory in a timely and effective fashion, including the 
readiness and ability of the applicant to immediately begin the 
proposed work program. To demonstrate that the applicant must submit 
the proposed number of staff years by the employees and experts to be 
allocated to the project, the titles and relevant professional 
background and experience of each employee and expert proposed to be 
assigned to the project and the roles to be performed by each 
identified employee and expert.
    (2) Program Administration and Fiscal Management (13 points)
    (a) Program Administration. (4 Points): The soundness of the 
proposed management of the proposed TOP program. In order to receive a 
high score an applicant must provide a comprehensive description of the 
project management structure. The narrative must provide a description 
of how the mediation partner relates to the applicant as well as the 
lines of authority and accountability among all components of the 
proposed program.
    (b) Fiscal Management (3 Points): The soundness of the applicant's 
proposed fiscal management. In order to receive a high score an 
applicant must provide comprehensive description of the fiscal 
management structure including but not limited to budgeting, fiscal 
controls and accounting. The application must explain the staff 
responsible for fiscal management, and the processes and timetable for 
implementation during the proposed grant period.
    (c) Applicant/Administrator Track Record/Capability (6 Points): In 
assessing this factor, HUD will consider the soundness of the prior 
experience of the applicant and the mediation partner in successfully 
carrying out programs with similar purposes and/or constituency. A high 
score is received if the applicant and/or partner can demonstrate 
compliance and successful implementation (i.e. completion of grant 
implementation plan tasks) of prior such programs. Applicants and 
mediation partners with no prior experience in operating such programs 
will receive a score of 0 on this factor.
Rating Factor 2: Need/Extent of the Problem (20 Points)
    This factor addresses the extent to which there is a need for 
funding the proposed program activities to address a documented problem 
in the target area. Applicants will be evaluated on the extent to which 
they document a well specified and critical level of need in

[[Page 23920]]

the development or the proposed activities in the geographical 
territory where activities will be carried out. In responding to this 
factor, applicants will be evaluated on:
    (1) A Needs Assessment Document (18 Points): HUD will award up to 
18 points based on the quality and comprehensiveness of the needs 
assessment document. In order to obtain maximum points, this document 
must contain statistical and other data which provides:
    (a) A thorough description of the current public housing community 
as it relates to the need for mediation, for example, describe human 
relations problems related to illegal gang activity in the community 
and other crimes; relations among various racial, ethnic and socio-
economic groups; and relations between residents, resident leaders and 
community institutions such as the police, schools and welfare 
department.
    (b) Specific information should be provided on the relationship 
between the HA and the resident groups; and
    (c) An assessment of any current services related to the mediation 
needs of the target population in the geographical territory defined by 
the applicant, including the number and type of services, the location 
of services, and community facilities currently in use.
    (2) Level of Priority in Consolidated Plan (2 Points): 
Documentation of the level of priority the locality's, or in the case 
of small cities, the State's Consolidated Plan has placed on addressing 
the needs. Applicants may also address needs in terms of fulfilling the 
requirements of court actions or other legal decisions or which expand 
upon the Analysis of Impediments to Fair Housing choice (AI) to further 
fair housing. Applicants that address needs that are in the community's 
Consolidated Plan, AI, or a court decision, or identify and 
substantiate needs in addition to those in the AI, will receive a 
greater of number of points than applicants which do not relate their 
proposed program to the approved Consolidated Plan or Analysis of 
Impediments to Fair Housing Choice or court action. There must be a 
clear relationship between the proposed activities, community needs and 
the purpose of the program funding for an applicant to receive points 
for this factor.
Rating Factor 3: Soundness of Approach (40 points)
    This factor addresses the quality and cost-effectiveness of the 
applicant's proposed work plan. In rating this factor HUD will 
consider: the viability and comprehensiveness of strategies to address 
the mediation needs of residents; budget appropriateness/efficient use 
of grants; the speed at which the applicant can realistically 
accomplish the goals of the proposed TOP program; the soundness of the 
applicant's plan to evaluate the success of its proposed TOP program at 
completion and during program implementation; and resident and other 
partnerships.
    (1) Viability and comprehensiveness of the strategies to address 
the mediation needs of residents (19 Points): The score in this factor 
will be based on the extent and comprehensiveness of the mediation and 
related services that will be provided as well as the extent that the 
proposed mediation and related services will contribute to providing 
for unmet needs identified in the required Needs Assessment Report.
    To receive a high score, applicants must provide a comprehensive 
description of how the proposed plan provides training and related 
services that specifically address the mediation needs and will improve 
the environment of public housing developments in the geographic 
territory designated by the applicant.
    (2) Budget Appropriateness/Efficient Use of Grant Funds (6 Points): 
The score in this factor will be based on the following:
    (a) Detailed Budget Break-Out. The extent to which the application 
includes a detailed budget break-out for each budget category in the 
SF-424A.
    (b) Reasonable Administrative Costs. The extent to which the 
application includes reasonable administrative costs within the 15% 
administrative cost ceiling.
    (c) Budget Efficiency. The extent to which the application requests 
funds commensurate with the level of effort necessary to accomplish the 
goals and objectives and the estimated costs to the government are 
reasonable in relationship to the work performed and the anticipated 
results.
    (3) Reasonableness of the Timetable (2 Points): The score in this 
factor will be based on the speed at which the applicant can 
realistically accomplish the goals of the proposed TOP program. To 
receive a high score, the applicant must demonstrate that the proposed 
timetable for all components of the proposed program is reasonable 
(i.e. a given task is allotted the amount of time it would normally 
take to accomplish such a task) and that the applicant can accomplish 
the proposed implementation plan objectives within the 24 month time 
limit. The applicant must also demonstrate that it will make 
substantial progress within the first six months after grant execution.
    (4) Policy Priorities (2 Points): Documentation of the extent to 
which policy priorities of the Department are furthered by the proposed 
activities. Such Department policy priorities are: (1) Affirmatively 
furthering fair housing by promoting greater opportunities for housing 
choice for minorities and the disabled; (2) Promoting healthy homes; 
(3) Providing opportunities for self-sufficiency, particularly for 
persons enrolled in welfare to work programs; (4) Providing enhanced 
economic, social and/or living environments in Empowerment Zones or 
Enterprise communities; and (5) Providing educational and job training 
opportunities through such initiatives as Neighborhood Networks, Campus 
of Learners and linking programs to AmeriCorps activities. To obtain 
the full two points in this category, at least three of these five 
policy priorities must be addressed.
    (5) Other Partnerships (5 Points): The score in this factor will be 
based on the successful integration of partners into implementation of 
the proposed TOP program. In order to receive a high score an applicant 
must provide an MOU or other equivalent documentation that delineates 
specific partnerships related to the components in the comprehensive 
plan. In assessing this factor HUD will examine a number of aspects of 
the proposed partnership including:
    (a) The appropriateness of the level of expertise of the partners 
related to activities proposed in the application;
    (b) The soundness of the division of responsibilities/management 
structure of the proposed partnership relative to the expertise and 
resources of the partners;
    (6) Program Assessment. (6 Points): The score in this factor will 
be based on the soundness of the applicant's plan to evaluate the 
success of its proposed EDSS program both at the completion of the 
program and during program implementation. At a minimum, the applicant 
must track the goals and objectives of the proposed work plan program. 
HUD will rate more favorably applicants which can track specific 
measurable achievements for the use of program funds, such as number of 
residents employed, salary scales of jobs obtained, persons removed 
from welfare roles 12 months or longer, and number of persons receiving 
certificates for successful completion of training in careers such as 
computer technology.

[[Page 23921]]

Rating Factor 4: Leveraging Resources (10 Points)
    This factor addresses the ability of the applicant to secure 
community resources which can be combined with HUD's program resources 
to achieve program purposes. In evaluating this factor HUD will 
consider:
    The extent to which the commitment letters or the equivalent can 
demonstrate that resources outside the TOP Program (including existing 
Federal, state, local, non-profit, and/or private resources) are to be 
utilized in the applicant's proposed program. The resources will be 
measured based on the ratio of the applicant's value of in-kind 
contributions and funds committed for the proposed effort.
    Applicants must provide evidence of leveraging/partnerships by 
including in the application letters of firm commitments, memorandum of 
understanding, or agreements to participate from those entities 
identified as partners in the application. Firmly committed means there 
must be a written agreement to provide the resources. The written 
agreement may be contingent upon an applicant receiving an award. Each 
letter of commitment, memorandum of understanding, or agreement to 
participate should include the organization's name, proposed level of 
commitment and responsibilities as they relate to the proposed program. 
The commitment must also be signed by an official of the organization 
legally able to make commitments on behalf of the organization.
Rating Factor 5: Comprehensiveness and Coordination (10 Points)
    This factor addresses the extent to which the applicant's program 
reflects a coordinated, community-based process of identifying 
mediation needs and building a system to address the needs by using 
available HUD funding resources and other resources available to the 
community.
    In evaluating this factor HUD will consider:
    (1) Coordination with the Consolidated Plan (2 Points): The extent 
to which the application demonstrates the applicant has reviewed the 
community's Consolidated Plan and/or Analysis of Impediments to Fair 
Housing Choice, and has proposed activities that address the 
priorities, needs, goals or objectives in those documents; or 
substantially further fair housing choice in the community.
    (2) Coordination with the State Welfare Plan (1 Point): Provide 
evidence that the proposed TOP must have been coordinated with and 
supports the housing authority's efforts to increase resident self-
sufficiency and is coordinated and consistent with the State Welfare 
Plan.
    (3) Coordination with Other Activities (7 Points): The extent to 
which the application demonstrates that the applicant in carrying out 
program activities will develop linkages with: other HUD funded program 
activities proposed or on-going in the community; or other State, 
Federal or locally funded activities proposed or on-going in the 
community which taken as a whole support and sustain a comprehensive 
system to address the mediation needs.
    (C) Selections. In order to be considered for funding under the 
EDSS program, an applicant must receive a minimum score of 75. In order 
to be funding under the TOP program, an applicant must receive a 
minimum score of 65.
    If two or more applications have the same number of points, the 
application with the most points for Factor 3, Soundness of Approach 
shall be selected. If there is still a tie, the application with the 
most points for Factor 4, Leveraging Resources shall be selected.

IV. Application Submission Requirements

    Please refer to the General Section of this SuperNOFA. In addition, 
the applicant must submit the following, which are further described in 
the application kit.
    (A) Needs Assessment Report which includes statistical or survey 
information on the needs of the recipient population; please use the 
appropriate format provided in the application kit. (Note: This does 
not apply to TOP Organizational Development grant applicants.)
    (B) A two-year work plan for implementing EDSS/TOP activities which 
includes goals, budget, timetable and strategies. In addition to a 
narrative, please use the formats provided in the application kits to 
chart the following:
    (1) Activity plan summary;
    (2) Activity breakout;
    (3) Budget breakout;
    (4) Summary budget;
    (5) Program resources; and
    (6) Program staffing;
    (C) Information on the Applicant and/or administrator track record. 
Please provide the chart and/or certification format provided in the 
application kit;
    (D) Certifications and assurances referenced in this program 
section of the SuperNOFA. TOP applicants who are IROs must also submit 
a list of Site-Based Resident Associations they intend to assist and 
Site-Based Resident Associations must certify as to the amount of RM/
TOP funding received to date by their development.
    (E) Memorandum of Understanding/Agreement; commitment letters; and 
other required documentation of partnerships.

V. Correction to Deficient Applications

    The General Section of this NOFA provides the procedures for 
corrections to deficient applications.

VI. Environmental Requirements

    In accordance with 24 CFR 50.19(b) (3), (9), (12) and (14) of the 
HUD regulations, activities assisted under the EDSS/TOP programs are 
categorically excluded from the requirements of the National 
Environmental Policy Act and are not subject to environmental review 
under related laws and authorities.

Appendix A To EDSS/TOP Section of SuperNOFA

Common Definitions

    Community Facility means a non-dwelling structure that provides 
space for multiple supportive services for the benefit of public and 
Indian housing residents (as well as others eligible for the 
services provided) that may include but are not limited to:
    (1) Child care;
    (2) After-school activities for youth;
    (3) Job training;
    (4) Campus of Learner activities; and
    (7) English as a Second Language (ESL) classes.
    Contract Administrator means an overall administrator and/or a 
financial management agent that oversees the financial aspects of a 
grant and assists in the entire implementation of the grant. 
Examples of qualified organizations that can serve as a Contract 
Administrator are:
    (1) Local housing authorities; and
    (2) Community based organizations such as Community Development 
Corporations (CDCs), community churches, and State/Regional 
Associations/Organizations.
    Development has the same meaning as the term ``Project'' below.
    Firmly Committed means there must be a written agreement to 
provide the resources. This written agreement may be contingent upon 
an applicant receiving an award.
    Elderly person means a person who is at least 62 years of age.
    Jurisdiction-Wide Resident Organization means an incorporated 
nonprofit organization or association that meets the following 
requirements:
    (1) Most of its activities are conducted within the jurisdiction 
of a single housing authority;
    (2) There are no incorporated Resident Councils or Resident 
Management Corporations within the jurisdiction of the single 
housing authority;
    (3) It has experience in providing start-up and capacity-
building training to residents and resident organizations; and

[[Page 23922]]

    (4) Public housing residents representing unincorporated 
Resident Councils within the jurisdiction of the single housing 
authority must comprise the majority of the board of directors.
    Intermediary Resident Organizations means Jurisdiction-Wide 
Resident Organizations, State-wide Resident Organizations, Regional 
Resident Organizations and National Resident Organizations.
    National Resident Organization (NRO) means an incorporated 
nonprofit organization or association for public housing that meets 
each of the following requirements:
    (1) It is national (i.e., conducts activities or provides 
services in at least two HUD Areas or two States);
    (2) It has experience in providing start-up and capacity-
building training to residents and resident organizations; and
    (3) Public housing residents representing different geographical 
locations in the country must comprise the majority of the board of 
directors.
    Person with disabilities means an adult person who:
    (1) Has a condition defined as a disability in section 223 of 
the Social Security Act;
    (2) Has a developmental disability as defined in section 102 of 
the Developmental Disabilities Assistance Bill of Rights Act. Such a 
term shall not exclude persons who have the disease of acquired 
immunodeficiency syndrome (AIDS) or any conditions arising from the 
etiologic agent for acquired immunodeficiency syndrome; or
    (3) Is determined, pursuant to regulations issued by the 
Secretary, to have a physical, mental, or emotional impairment 
which:
    (i) Is expected to be of long-continued and indefinite duration;
    (ii) Substantially impedes his or her ability to live 
independently; and
    (iii) Is of such a nature that such ability could be improved by 
more suitable housing conditions.
    (4) The definition provided above for persons with disabilities 
is the proper definition for determining program qualifications. 
However, the definition of a person with disabilities contained in 
Section 504 of the Rehabilitation Act of 1973 and its implementing 
regulations must be used for purposes of reasonable accommodations.
    Project is the same as ``low-income housing project'' as defined 
in section 3(b)(1) of the United States Housing Act of 1937 (42 
U.S.C. 1437 et. seq.) (1937 Act).
    Resident Association (RA) means any or all of the forms of 
resident organizations as they are defined elsewhere in this 
Definitions section and includes Resident Councils (RC), Resident 
Management Corporations (RMC), Regional Resident Organizations 
(RRO), Statewide Resident Organizations (SRO), Jurisdiction-Wide 
Resident Organizations and National Resident Organizations (NRO).
    Resident Council (RC) means (as provided in 24 CFR 964.115) an 
incorporated or unincorporated nonprofit organization or association 
that shall consist of persons residing in public housing and must 
meet each of the following requirements in order to receive official 
recognition from the HA/HUD, and be eligible to receive funds for RC 
activities and stipends for officers for their related costs for 
volunteer work in public housing. (Although 24 CFR part 964 defines 
an RC as an incorporated or unincorporated nonprofit organization, 
HUD requires RC applicants for TOP Economic Self-Sufficiency Grants 
to be registered with the State at the time of application 
submission):
    (1) It must adopt written procedures such as by-laws, or a 
constitution which provides for the election of residents to the 
governing board by the voting membership of the public housing 
residents. The elections must be held on a regular basis, but at 
least once every 3 years. The written procedures must provide for 
the recall of the resident board by the voting membership. These 
provisions shall allow for a petition or other expression of the 
voting membership's desire for a recall election, and set the 
percentage of voting membership (``threshold'') which must be in 
agreement in order to hold a recall election. This threshold shall 
not be less than 10 percent of the voting membership.
    (2) It must have a democratically elected governing board that 
is elected by the voting membership. At a minimum, the governing 
board should consist of five elected board members. The voting 
membership must consist of heads of households (any age) and other 
residents at least 18 years of age or older and whose name appear on 
a lease for the unit in the public housing that the resident council 
represents.
    (3) It may represent residents residing in:
    (i) Scattered site buildings in areas of contiguous row houses;
    (ii) One or more contiguous buildings;
    (iii) A development; or
    (iv) A combination of the buildings or developments described 
above.
    Regional Resident Organization (RRO) means an incorporated 
nonprofit organization or association for public housing that meets 
each of the following requirements:
    (1) It is regional (i.e., not limited by HUD Areas);
    (2) It has experience in providing start-up and capacity-
building training to residents and resident organizations; and
    (3) Public housing residents representing different geographical 
locations in the region must comprise the majority of the board of 
directors.
    Resident Management Corporation (RMC) (See 24 CFR 964.7, 
964.120) means an entity that consists of residents residing in 
public housing and must have each of the following characteristics 
in order to receive official recognition by the HA and HUD:
    (1) It shall be a nonprofit organization that is validly 
incorporated under the laws of the State in which it is located;
    (2) It may be established by more than one RC, so long as each 
such council:
    (i) Approves the establishment of the corporation; and
    (ii) Has representation on the Board of Directors of the 
corporation.
    (3) It shall have an elected Board of Directors, and elections 
must be held at least once every 3 years;
    (4) Its by-laws shall require the Board of Directors to include 
resident representatives of each RC involved in establishing the 
corporation; include qualifications to run for office, frequency of 
elections, procedures for recall, and term limits if desired;
    (5) Its voting members shall be heads of households (any age) 
and other residents at least 18 years of age and whose name appear 
on the lease of a unit in public housing represented by the RMC;
    (6) Where an RC already exists for the development, or a portion 
of the development, the RMC shall be approved by the RC board and a 
majority of the residents. If there is no RC, a majority of the 
residents of the public housing development it will represent must 
approve the establishment of such a corporation for the purposes of 
managing the project; and
    (7) It may serve as both the RMC and the RC, so long as the 
corporation meets the requirements of this part for an RC.
    Secretary means the Secretary of Housing and Urban Development.
    Site-Based Resident Associations means Resident Councils and 
Resident Management Corporations.
    Statewide Resident Organization (SRO) means a Site-Based 
incorporated nonprofit organization or association for public 
housing that meets the following requirements:
    (1) It is Statewide;
    (2) It has experience in providing start-up and capacity-
building training to residents and resident organizations; and
    (3) Public housing residents representing different geographical 
locations in the State must comprise the majority of the board of 
directors.

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Notices  

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BILLING CODE 4210-32-C

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Notices  

[[Page 23925]]



Funding Availability for Youthbuild Program

    Program Description: Approximately $33,000,000 is available for the 
Youthbuild Program. The Youthbuild Program provides disadvantaged young 
adults with education, employment, and leadership skills.
    Application Due Dates: Completed applications (one original and one 
copy) no later than 12:00 midnight, Eastern time, on July 14, 1998 at 
the address shown below. See the General Section of this SuperNOFA for 
specific procedures governing the form of application submission (e.g., 
mailed applications, express mail, overnight delivery, or hand 
carried).
    Addresses for Submitting Applications: To HUD Headquarters. The 
completed application (one original and one copy) must be submitted, by 
hand or mail delivery, to: Processing and Control Branch, Office of 
Community Planning and Development, Department of Housing and Urban 
Development, 451 Seventh Street, SW, Room 7255, Washington, D.C. 20410, 
Attention: Youthbuild Grant.
    To the Appropriate CPD Field Office. An additional copy should be 
submitted to the Community Planning and Development Division of the 
appropriate HUD Field Office for the applicant's jurisdiction.
    When submitting your application, please refer to Youthbuild, and 
include your name, mailing address (including zip code) and telephone 
number (include area code).
    For Application Kits, Further Information and Technical Assistance: 
For Application Kits. For an application kit and any supplemental 
information please call the SuperNOFA Information Center at 1-800-HUD-
8929. Persons with hearing or speech impairments may call the Center's 
TTY number at 1-800-483-2209. An application kit also will be available 
on the Internet through the HUD web site at http://www.hud.gov. When 
requesting an application kit, please refer to Youthbuild and provide 
your name, address (including zip code), and telephone number 
(including area code).
    For Further Information and Technical Assistance. Phyllis Williams, 
Office of Economic Development in the Office of Community Planning and 
Development, Department of Housing and Urban Development, 451 Seventh 
Street, SW, Room 7140, Washington, DC 20410, telephone (202) 708-2035. 
Persons with speech or hearing impairments may call HUD's TTY number 
(202) 708-0770, or 1-800-877-8399 (the Federal Information Relay 
Service TTY). Other than the ``800'' number, these numbers are not 
toll-free.

Additional Information

I. Authority; Purpose; Amount Allocated; and Eligibility

(A) Authority

    This program is authorized under subtitle D of title IV of the 
Cranston-Gonzalez National Affordable Housing Act (the Act), as added 
by section 164 of the Housing and Community Development Act of 1992 
(Pub. L. 102-550, 106 Stat. 3723, 42 U.S.C. 12899). The Youthbuild 
Program regulations are found in 24 CFR part 585.

(B) Purpose

    The purposes of the Youthbuild program are:
    (1) To provide economically-disadvantaged young adults with 
opportunities to obtain education, employment skills, and meaningful 
on-site construction work experience as a service to their communities 
and a means to achieve self-sufficiency;
    (2) To foster the development of leadership skills and commitment 
to community; and
    (3) To expand the supply of permanent affordable housing for 
homeless and low-and very low-income persons by providing 
implementation grants for carrying out a Youthbuild program.
    (4) Provide disadvantaged young adults with meaningful on-site 
training experiences in housing construction and rehabilitation to 
enable them to provide a service to their communities by helping to 
meet the housing needs of homeless and low-income families;
    (5) Give, to the greatest extent feasible, and consistent with 
existing Federal, State and local laws and regulation, job training, 
employment, contracting and other economic opportunities to low-income 
persons and business concerns.

(C) Amount Allocated

    Approximately $33,000,000 is available for the Youthbuild Program. 
The net available program funds will be divided between two categories 
of grants (as further specified in Section III(C)):
    1. $ 8,312,500--Grants for new applicants for up to $350,000; and
    2. $24,937,500--Grants for up to $700,000.

(D) Eligible Applicants

    Eligible applicants are public or private nonprofit agencies, State 
or local housing agencies or authorities, State or local units of 
general local government, or any entity eligible to provide education 
and employment training under other Federal employment training 
programs, as further defined in 24 CFR 585.4.

(E) Eligible Activities

    Eligible activities are as follows:
    (1) Work and activities associated with the acquisition, 
rehabilitation or construction of the housing and related facilities to 
be used in the program;
    (2) Relocation payments and other assistance required to comply 
with 24 CFR 585.308;
    (3) Costs of ongoing training and technical assistance needs 
related to carrying out a Youthbuild program;
    (4) Education, job training, counseling, employment leadership 
development services and activities;
    (5) Wages, benefits, and need-based stipends for participants; and
    (6) Administrative costs--Youthbuild funds for these costs should 
not exceed 15 percent of the total amount of Youthbuild assistance, 
unless a higher amount is justified to support capacity development by 
a private nonprofit organization.
    Please refer to 24 CFR 585.305 for further details on eligible 
activities.

(F) Eligible Participants

    Participants in a Youthbuild program must be very low-income high 
school dropouts between the ages of 16 and 24, inclusive, at the time 
of enrollment. Up to 25 percent of participants may be above very low-
income or high school graduates (or equivalent), but must have 
educational needs that justify their participation in the program.

II. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, applicants are subject to the following 
requirements:

(A) Resources From Other Federal, State, Local or Private Entities

    Applicants are strongly encouraged to use existing housing and 
homeless assistance programs administered by HUD or other Federal, 
State, local, or private housing programs as part of their Youthbuild 
program. Use of other non-Youthbuild funds available for vocational, 
adult, and bilingual education programs or for job training under the 
Job Training Partnership Act (JTPA) and the Personal Responsibility and 
Work Opportunity Reconciliation Act of 1996 is also strongly 
encouraged. The selection process described in this Youthbuild Program 
section of the SuperNOFA provides for applicants to

[[Page 23926]]

receive points where grant applications contain firm commitments from 
Federal, State, local, or private sources to provide resources to carry 
out Youthbuild activities.

(B) Grant Period

    Funds awarded should be expended within 30 months of the effective 
date of the grant agreement, or such other period specified.

(C) Locational Limitations

    Each application for a grant may only propose activities to carry 
out one Youthbuild program, i.e., to start a new Youthbuild program or 
to fund new classes of Youthbuild participants for an existing program. 
The same applicant organization may submit more than one application in 
the current competition if the proposed program's participant 
recruitment and housing areas are in different jurisdictions.

(D) Youthbuild Program Components

    Youthbuild programs receiving assistance under this Youthbuild 
Program section of the SuperNOFA must contain the three components 
described in paragraphs (1), (2), and (4) below. Other activities 
described in paragraph (3) are optional.
    (1) Educational and job training services.
    (2) Leadership training, counseling, and other support activities.
    (3) Special activities such as entrepreneurial training, drivers' 
education, internships, programs for those with learning disabilities, 
and in-house staff training. (Optional)
    (4) On-site training through actual housing rehabilitation and/or 
construction work, including the provision of alternative training 
experiences for students with physical disabilities. Each program must 
be structured so that 50 percent of each participant's time is spent in 
on-site training.

(E) Desirable Elements of a Youthbuild Program

    Documentation of the extent to which HUD's policy priorities are 
furthered by the proposed activities. Such policy priority areas are:
    (1) Affirmatively furthering fair housing by promoting greater 
opportunities for housing choice for minorities and the disabled;
    (2) Promoting healthy homes;
    (3) Providing opportunities for self-sufficiency, particularly for 
persons enrolled in welfare to work programs;
    (4) Providing educational and job training opportunities and 
linking programs to Americorps activities;
    (5) Promoting welfare reform. Refer to 24 CFR 585.3 for a detailed 
description of program components.

III. Application Selection Process

    HUD will review each application and assign points in accordance 
with the selection criteria described in this section. The maximum 
number of points to be awarded is 102 (except for an application 
submitted by the City of Dallas, Texas, which would be eligible for a 
maximum of 104 points, in accordance with Rating Factor 3, paragraph 
(3), below). This includes two EZ/EC bonus points as described in the 
General Section of the SuperNOFA.
    In order to afford applicants every opportunity to submit a ratable 
application, while at the same time ensuring the fairness, integrity 
and timeliness of the selection process, HUD is adopting the following 
application submission and selection procedures:

(A) Rating and Ranking

    Each eligible application will be rated based upon the rating 
factors described in Section III of this Youthbuild Program section of 
the SuperNOFA. Using the scores assigned, the application will be 
placed in rank order within each category. Applications will be 
selected for funding in accordance with their rank order. An 
application must receive a combined score of at least 50 points for 
Rating Factor 1, Rating Factor 2, and Rating Factor 3, paragraph (1), 
under this Section III in order to be eligible for EZ/EC bonus points 
and for the Housing Program Priority points in Rating Factor 3, 
paragraph (2) of this Section III.
    If two or more applications are rated fundable, and have the same 
score, but there are insufficient funds to fund all of them, the 
application(s) with the highest score for Rating Factor 3(1) under 
Soundness of Approach shall be selected.

(B) Initial Screening

    During the period immediately following the application deadline, 
HUD will screen each application to determine eligibility. Applications 
will be rejected if they:
    (1) Are submitted by ineligible applicants, or
    (2) Propose a program for which significant activities are 
ineligible.

(C) Categories of Grants

    HUD will award Youthbuild implementation grants only to eligible 
applicants for the purpose of carrying out Youthbuild programs in 
accordance with subtitle D of title IV of the Act. Applications will be 
selected in a competition in accordance with the grant selection 
process described in Section V of this Youthbuild Program section of 
the SuperNOFA.
    Two categories of grants will be made:
    (1) Grants for new applicants that have not previously received 
Youthbuild Implementation Grants and that have elected not to apply 
under category (2), below. These grants will be limited to $350,000, 
for a period of 18 months, with a maximum of 20 students.
    (2) Grants for up to $700,000 to implement a full range of 
Youthbuild activities for up to a 30-month period. Half of the funding 
in this category will be awarded to applicants that propose grants of 
$450,000 or less for up to 24 months. A previously unfunded applicant 
can apply in either category. A previous implementation grantee can 
apply only in category (2). Applicants in category (1) will receive 
one-quarter of the funds available. Applicants in category (2) will 
receive the remainder of the funds available, which in turn will be 
split evenly between grants for up to and including $450,000, and 
grants over $450,000.

(D) Maximum Awards

    Under the competition established by this Youthbuild Program 
section of the SuperNOFA, the maximum award for a Youthbuild grant is 
$700,000. HUD reserves the right to determine the maximum or minimum of 
any Youthbuild award per application, project, program or budget line 
item. No amendments will be made to awards under this competition that 
will increase previously approved grant amounts. In order to ensure 
reasonable geographic diversity, a CDBG entitlement jurisdiction may 
not receive more than $2.1 million in Youthbuild grants.

(E) Potential Environmental Disqualification

    HUD reserves the right to disqualify an application where one or 
more environmental thresholds are exceeded if it is determined that the 
environmental review cannot be conducted and satisfactorily completed 
by HUD within the HUD review period. (See 24 CFR 585.307.)

(F) Notification of Approval or Disapproval

    HUD will notify the selected applicants and the applicants that 
have not been selected. HUD's notification to a selected applicant of 
the amount of the grant award based on the approved application will 
constitute a preliminary approval by HUD, subject to HUD and

[[Page 23927]]

recipient execution of the grant agreement to initiate program 
activities.

(G) Economic Opportunities for Low and Very Low-Income Persons (Section 
3)

    Section 3 of the Housing and Urban Development Act of 1968 (12 
U.S.C. 1701u) is applicable to Youthbuild implementation grant 
recipients. Please see Section II(E) of the General Section of the 
SuperNOFA.

(I) Factors for Award Used To Evaluate and Rate Applications

Rating Factor 1: Capacity of the Applicant and Relevant Organizational 
Experience (30 Points)
    This factor addresses the qualification and experience of the 
applicant and participating parties, to implement a successful young 
adult education and training program within a reasonable time period. 
HUD will review and evaluate the information provided documenting 
capability. In assigning points for this criterion, evidence in the 
application that demonstrates the following will be considered:
    (1) Experience in implementing a comprehensive, integrated, 
multidisciplinary program with the following components:
    (a) Young adult education and training programs, including programs 
for low-income persons from economically distressed neighborhoods.
    (b) Young adult leadership development training and related 
activities for young adults.
    (c) Young adult on-site training in housing construction or 
rehabilitation for the production of sound and affordable housing for 
the homeless and low-income families.
    (2) The extent to which the applicant or participating parties have 
been successful in past education, training, and employment programs 
and activities, including Federally-funded Youthbuild programs. 
Previous Youthbuild grant recipients must submit a performance 
narrative as outlined in the application package, and copies of its 
last two progress reports. The performance (including meeting target 
dates and schedules) of the applicant as reported will be taken into 
consideration in applying the rating criteria.
    (3) The extent to which the applicant, including program director, 
principal staff, or participating parties have demonstrated past 
ability to leverage other resources to cover administrative, 
educational, and training costs.
    (4) Staff capacity should address the extent to which the applicant 
demonstrates that the proposed Staff and Program Manager possess the 
background, experience, and capacity to conduct the proposed project, 
as evidenced by recent work experience in managing projects of the same 
or similar size, dollar amount, and types of activities as those 
proposed in the application.
Rating Factor 2: Need/Extent of the Problem (15 Points)
    This factor addresses the extent to which there is a need for 
funding the proposed program activities and an indication of the 
urgency of meeting the need in the target area. Documentation of need 
should address the extent to which the applicant documents a critical 
level of need for the proposed activities in the area where activities 
will be implemented. The documentation must apply to the targeted area 
rather than the entire locality. If the target area is an entire 
locality or State, then documenting need at this level is appropriate.
    Documentation of need should demonstrate the extent and urgency of 
the problem being addressed by the proposed activities. To the extent 
that the applicant's community's Consolidated Plan or Analysis of 
Impediments to Fair Housing Choice (AI) identifies the level of the 
problem and the urgency in meeting the need, references to these 
documents should be included in the response. HUD will review more 
favorably those applicants that use these documents to identify need, 
when applicable. Examples of data that might be used to demonstrate 
need include, but are not limited to, economic and demographic data 
relevant to the target area, including poverty and unemployment rates; 
levels of homelessness; extent of drug usage and crime statistics; lead 
poisoning rates; housing market data available from HUD or other data 
sources including the Public Housing Authorities Five Year 
Comprehensive Plan, State or local Welfare Department's Welfare Reform 
Plan (including, where applicable, the Welfare to Work Plan Addendum); 
and/or lack of other Federal, State, or local funding that could be or 
are used to address the problem HUD program funds are designed to 
address. If the proposed activity is not covered under the scope of the 
Consolidated Plan and Analysis of Impediments to Fair Housing Choice 
(AI), applicants should indicate such, and use other sound data sources 
to identify the level of need and the urgency in meeting the need. 
Types of other sources include, but are not limited to, Census reports, 
Continuum of Care gaps analysis, law enforcement agency crime reports, 
Public Housing Authorities' Five Year Comprehensive Plan, etc.
Rating Factor 3: Soundness of Approach (40 Points)
    (1) (30 points) HUD will consider the overall quality and 
feasibility of the proposed program as measured by the principles and 
goals of the proposed program, whether proposed program activities meet 
the overall objectives of the Youthbuild program, whether the proposed 
program activities will be accomplished within the projected time 
frame, whether the proposed program activities are comprehensive and 
integrated, and the potential for success of the proposed program. 
Areas to be considered in the evaluation of the overall quality of the 
proposed program are:
    (a) Outreach, recruitment and selection activities including:
    (i) Specific steps to be taken to attract potential eligible 
participants who are unlikely to be aware of this program (because of 
race, ethnicity, sex or disability) and selection strategies;
    (ii) Special outreach efforts to recruit eligible young women, 
young women with dependent children, and persons receiving public 
assistance; and
    (iii) Recruitment arrangements made with public agencies, courts, 
homeless shelters, local school systems, local workforce development 
systems, community-based organizations, etc.;
    (b) Educational and job training services and activities including:
    (i) The types of instructional services to be provided;
    (ii) The number and qualification of program instructors and ratio 
of instructors to participants;
    (iii) Realistic scheduling plan for classroom and on-the-job 
training; and
    (iv) Reasonable payments of participants' wages, stipends, and 
incentives.
    (c) Leadership development, including the leadership development 
training to be offered to participants, and including the strategies, 
activities, and plans to build group cohesion and peer support.
    (d) Support services, including documentation of counseling and 
referral services to be offered to participants, including the type of 
counseling, social services, and/or need-based stipends to be provided 
(supported by letters of commitments from providers).
    (e) On-site training, including:
    (i) The housing construction or rehabilitation activities to be 
undertaken by participants at the site(s) to be used

[[Page 23928]]

for the on-site training component of the program;
    (ii) The qualification and number of on-site supervisors;
    (iii) The ratio of trainers to students;
    (iv) The number of students per site; and
    (v) The amounts, reasonable wages, and/or stipends to be paid to 
participants during on-site work.
    (f) Job placement assistance, including the applicant's 
commitments, strategies, and procedures for:
    (i) Participant placement in meaningful employment, enrollment in 
postsecondary education programs, job development, starting business 
enterprises, or other opportunities leading to economic independence; 
and
    (ii) Follow-up assistance and support activities to program 
graduates.
    (g) Americorps support or participation as evidenced by approval of 
Americorps or appropriate State agency.
    (2) (10 points) Housing Program Priority Points will be assigned to 
all applications that contain evidence that housing resources from 
other Federal, State, local, or private sources that are available to 
cover the cost, in full, for the following housing activities for the 
proposed Youthbuild program: acquisition, architectural and engineering 
fees, construction, and rehabilitation. It is also imperative that the 
applicants' proposed housing sites provide quality training. The number 
of units an applicant proposes to rehabilitate or construct is 
secondary in rating this factor. Applications that do not include 
proper documentation of commitment of non-Youthbuild resources or 
propose to use Youthbuild grant funds, in whole or in part, for any one 
of the housing activities listed above will not be entitled to the full 
priority points. Housing resources will not be used in evaluation of 
the Leveraging Resources factor.
    It must be stressed that in proposing housing sites for Youthbuild 
training, the quality of the training to be provided is more important 
than the number of units per se.
    (3) Up to two (2) additional points will be awarded to any 
application submitted by the City of Dallas, Texas, to the extent this 
subfactor is addressed. Due to an order of the U.S. District Court for 
the Northern District of Texas, Dallas Division, with respect to any 
application submitted by the City of Dallas, Texas, HUD will consider 
the extent to which the application's proposed activities will 
eradicate the vestiges of racial segregation in the Dallas Housing 
Authority's programs consistent with the Court's order.
Rating Factor 4: Leveraging Resources (10 Points)
    This factor addresses the extent to which firm commitment of 
resources are obtained from other Federal, State, local, and private 
sources. In assigning points for this criterion, HUD will consider the 
level of nonhousing resources obtained for cash or in-kind contribution 
to cover the following kinds of areas:
    (1) Social services (i.e., counseling and training);
    (2) Use of existing vocational, adult, and bilingual educational 
courses;
    (3) Donation of labor, resource personnel, supplies, materials, 
classroom, and/or meeting space;
    (4) Other commitments.
    In rating this element, HUD will consider only those contributions 
for which current firm commitments have been provided. The level of 
nonhousing resources proposed will be evaluated based on their 
importance to the total program. HUD will also take into consideration 
the size of the community and the resource base from which funds can be 
leveraged.
Rating Factor 5: Comprehensiveness and Coordination (5 Points)
    This factor addresses the extent to which the applicant's program 
reflects a coordinated, community-based process of identifying needs 
and building a system to address the needs by using available HUD 
funding resources and other resources available to the community.
    In evaluating this factor, HUD will consider the extent to which 
the applicant demonstrates it has:
    (1) Coordinated its proposed activities with those of other groups 
or organizations in order to best complement, support, and coordinate 
all known activities, and the specific steps it will take to share 
information on solutions and outcomes with others. Any written 
agreements, memoranda of understanding in place, or those that will be 
in place after award should be described.
    (2) Taken or will take specific steps to become active in the 
community's Consolidated Planning process (including the Analysis of 
Impediments to Fair Housing Choice) established to identify and address 
a need/problem that is related to the activities the applicant 
proposes.
    (3) Taken or will take specific steps to develop linkages to 
coordinate comprehensive solutions through meetings, information 
networks, planning processes, or other mechanisms with:
    (a) Other HUD funded projects/activities outside the scope of those 
covered by the Consolidated Plan; and
    (b) Other activities funded by HUD, Federal, State, or local 
sources, including those proposed or on-going in the community(s) 
served.

IV. Application Submission Requirements

    Applicants must complete and submit applications for Youthbuild 
grants in accordance with instructions contained in the FY 1998 
Youthbuild application kit. The application package will request 
information in sufficient detail for HUD to determine whether the 
proposed activities are feasible and meet all the requirements of 
applicable statutes and regulations. The application package requires a 
description of the applicant's and participating parties' experiences 
in young adult and housing programs; a description of the proposed 
Youthbuild program; a description and documentation of other public and 
private resources to be used for the program, including other housing 
resources; a schedule for the program; budgets; identification of 
housing sites; and demonstration of site access. The application 
package also contains necessary certifications regarding Federal 
requirements. Applicants must also certify that the proposed activities 
are consistent with the HUD-approved Consolidated Plan in accordance 
with 24 CFR part 91. Applicants should refer to the Youthbuild 
application package for further instructions and take into account the 
uniform guidebook available to all applicants.

V. Corrections to Deficient Applications

    The General Section of the SuperNOFA provides the procedures for 
corrections to deficient applications.

VI. Environmental Requirements

    Environmental procedures apply to HUD approval of grants when the 
applicant proposes to use Youthbuild funds to cover any costs for the 
lease, acquisition, rehabilitation, or new construction of real 
property proposed for housing project development. Environmental 
procedures do not apply to HUD approval of applications when applicants 
propose to use their Youthbuild funds solely to cover any costs for 
classroom and/or on-the-job construction training and support services.
    For those applicants that propose to use their Youthbuild funds to 
cover any costs of the lease, acquisition, rehabilitation, or new 
construction of real property, the applicant shall submit

[[Page 23929]]

all relevant environmental information in its application to support 
HUD decisionmaking in accordance with the environmental procedures and 
standards set forth in 24 CFR 585.307.

BILLING CODE 4210-32-P
      

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Notices  

[[Page 23931]]


     
    [GRAPHIC] [TIFF OMITTED] TN30AP98.011
    

BILLING CODE 4210-32-C

  Federal Register / Vol. 63, No. 83 / Thursday, April 30, 1998 / 
Notices  

[[Page 23933]]



Funding Availability for Intermediaries to Administer Technical 
Assistance Grants (ITAG) for the Mark-to-Market (M2M) Program.

    Program Description: Approximately $9.0 million is being competed 
in Intermediary Technical Assistance Grant (ITAG) funds for 
Intermediaries to administer the ITAG Mark-to-Market technical 
assistance grant program ($1.0 million is available in FY 1998; it is 
anticipated that $8.0 million may be available in FY 1999, subject to 
appropriations). The purpose of the M2M program is to reduce the cost 
of above market Section 8 assistance, preserve affordable housing 
stock, and streamline the administration of federal housing subsidies. 
The Intermediary will award technical assistance grants to sub-
recipients consisting of resident groups, tenant affiliated community-
based nonprofit organizations or public entities. These grants will be 
in the form of either Resident Capacity or Predevelopment Grants to 
groups affiliated with projects that are eligible under the M2M 
program, or Public Entity Grants available to public entities who will 
carry out M2M related activities for M2M projects throughout its 
jurisdiction.
    Application Due Date: Completed applications must be received no 
later than 12:00 midnight, Eastern time on July 21, 1998 to HUD 
Headquarters. Please the General Section of this SuperNOFA for specific 
procedures governing the form of application submission (e.g., mailed 
applications, express mail, overnight delivery, or hand carried).
    Address for Submitting Applications: Completed applications (one 
original and two copies) must be submitted to: the Office of Portfolio 
Reengineering, Room 6130, HUD Headquarters, 451 Seventh Street, SW, 
Washington, DC 20410. When submitting your application, please refer to 
ITAG, and include your name, mailing address (including zip code) and 
telephone number (including area code).
    For Application Kits, Further Information and Technical Assistance: 
For Application Kits. For an application kit and any supplemental 
information please call the SuperNOFA Information Center at 1-800-HUD-
8929. Persons with hearing or speech impairments may call the Center's 
TTY number at 1-800-HUD-2209. The application kit also will be 
available on the Internet through the HUD web site at http://
www.hud.gov. When requesting an application kit, please refer to ITAG 
and provide your name, address (including zip code), and telephone 
number (including area code).
    For Further Information. Arthur Goldstein at (202) 708-2300, 
extension 2657. Persons with speech or hearing impairments may call 
HUD's TTY number (202) 708-0770, or 1-800-877-8399 (the Federal 
Information Relay Service TTY). Other than the ``800'' number, these 
numbers are not toll-free. Mr. Goldstein can also be reached via the 
Internet at [email protected].
    For Technical Assistance. An information broadcast via satellite 
will be held for potential applicants to learn more about the program 
and preparation of an application. For more information about the date 
and time of the broadcast, please consult the HUD web site at the web 
address listed above.

Additional Information

I. Authority; Purpose; Amount Allocated; and Eligibility

    Applicants should take care in reviewing this section to ensure 
they are eligible to apply for funds and that they meet the program 
requirements described.

(A) Authority

    Section 514(f)(3) of the Multifamily Assisted Housing Reform and 
Affordability Act of 1997 (Pub.L. 105-65, 111 Stat. 1394, October 27, 
1997) authorizes not more than $10,000,000 annually for technical 
assistance under the M2M program from amounts made available under 
appropriations Acts for the M2M program or previously made available 
for technical assistance under the Preservation program. This ITAG 
program is one element of the M2M technical assistance.

(B) Purpose

    The ITAG program provides technical assistance grants through 
Intermediaries to sub-recipients consisting of: (1) resident groups or 
tenant affiliated community-based nonprofit organizations in properties 
that are eligible under the M2M program to help tenants participate 
meaningfully in the M2M process, and have input into and set priorities 
for project repairs; or (2) public entities to carry out M2M related 
activities for M2M-eligible projects throughout its jurisdiction.

(C) Amount Allocated

    The competition in this program is to select intermediaries to 
administer grants to eligible subrecipients. During FY 1998, $1.0 will 
be available for grants. Subject to the availability of appropriations, 
$8.0 million may be made available in FY 1999.

(D) Grant Amount, Terms

    HUD will accept applications from Intermediaries that propose a 
term of two years. The term begins on the date of the execution of the 
grant agreement. The amount of funding that an Intermediary can receive 
depends on the funding level associated with the state-grouping for 
which an applicant has applied. A specific amount of funds have been 
allocated to each state-grouping (See Appendix B). Activities must be 
completed in a timely manner and may not, in any case exceed a two-year 
time period. HUD reserves the right to reallocate funds allocated to 
the Interimediary under the grant agreement if there is insufficient 
need.
    Three forms of technical assistance grants will be made available 
through Intermediaries:
    (1) Resident Capacity Grants (RCG), with a maximum dollar amount of 
$20,000;
    (2) Predevelopment Grants (PDG), with a maximum of $70,000; and
    (3) Public Entity Grants (PEG), with a maximum of $20,000.

(E) Eligible Applicants

    Eligible applicants to serve as Intermediaries are: (1) A national 
nonprofit. Applicant must have been in existence for at least five 
years and be classified as an exempt organization under section 
501(c)(3) of the Internal Revenue Code of 1986;
    (2) A regional, State or local nonprofit. Applicant must have been 
in existence for at for at least three years and either be classified 
as an exempt organization under section 501(c)(3) of the Internal 
Revenue Code of 1986 or be recognized otherwise as a tax-exempt entity; 
or
    (3) A State or local agency.
    An eligible intermediary applicant must have as a central purpose 
of its organization the preservation of low-income housing and the 
prevention of displacement of low- and moderate income residents. 
Applicants must not receive direct Federal appropriations for operating 
support. In addition, all intermediaries should have a record of at 
least one year of service to low-income individuals or community-based 
nonprofit housing developers in multiple communities and must have at 
least one year of experience with the allocation and administration of 
grant or loan funds.

(F) Intermediary Fees

    Each selected intermediary will receive processing fees. The fees 
will include a start-up fee of $40,000 and an additional fee of five 
percent of each

[[Page 23934]]

technical assistance grant voucher that the intermediary submits, which 
will be disbursed conterminous with the voucher draw-downs of the RCGs, 
PDGs and PEGs. These fees are based on the intermediary performing the 
specific tasks listed in the Program Requirements section.
    All intermediaries will receive the start-up fee when the 
intermediary contract is executed. If an intermediary reviews and 
rejects a technical assistance application, it will receive an 
administrative fee of $600. If the intermediary receives no technical 
assistance grant applications, it will receive only its start-up fee. 
On occasion, the M2M staff will review grant activity to determine if 
reallocation of funds between geographic regions is necessary.

(G) Ineligible Activities

    Neither intermediaries, nor their employees, officers or affiliated 
entities, may receive payment, directly or indirectly from the proceeds 
of grants they have approved. In addition, intermediaries may not 
provide other services to grant recipients with respect to the specific 
properties for which the grant has been awarded.

II. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, intermediaries must meet the following 
program requirements:

(A) General Requirements

    Intermediaries are responsible for the award and administration of 
grants to sub-recipients. In order to effectively perform these 
responsibilities, the intermediary must, at a minimum, perform the 
following:
    (1) Advertise fund availability for the geographic jurisdiction 
overseen;
    (2) Seek out eligible applicants, using at least the following 
methods: (a) contact all of the Outreach and Training Organizations 
that have been selected in areas within the Intermediary's state-
grouping. This list can be obtained from the M2M person in the Office 
of Multifamily Housing Mortgage and Housing Assistance Restructuring 
(OMAR), (b) contact the National Alliance of HUD Tenants who may be 
able to provide a list of active client groups in the state-grouping, 
(c) Contact the Corporation for Public Service who can provide a list 
of AMERICORPS Vista volunteers in properties within the state-grouping, 
(d) utilize the property address list of eligible M2M properties and 
mail ITAG grant information sheets to tenant groups in those 
properties.
    (3) Produce and distribute grant application kits (applicant must 
provide a sample grant application kit with its application);
    (4) Review, approve or reject grant applications;
    (5) Execute grant agreements;
    (6) Vouchering and disbursing grant funds;
    (7) Monitor activities under the grant, including compliance under 
the grant agreement, throughout the term of the grant;
    (8) Create an information network (e.g. newsletter, website, 
monthly or bi-monthly update, etc.) which information can be disbursed 
to subrecipients and subrecipients can ask program questions and 
receive responses and all recipients have access;
    (9) Report to M2M staff at least quarterly on the status of grant 
awards, grantee activities and funds expended; and
    (10) Maintain documentation for HUD monitoring and audits in 
accordance with 24 CFR Part 84.

(B) Reporting Requirements

    (1) Intermediaries must comply with all requirements of 24 CFR Part 
84.
    (2) Intermediaries must submit a quarterly performance report to 
the Director of the Office of Mortgage and Housing Assistance 
Restructuring (OMAR).
    (3) These reports are to list the properties and number of tenants 
assisted by the activities being performed that quarter, including a 
narrative indicating issues that need to be resolved and tangible 
benefits resulting from the assistance. Please provide a sample report 
with your application.
    (4) Administrative fees may be frozen until receipt of an 
acceptable performance report.

(C) Records Retention and Access Requirements

    All accounting and other records associated with Grant 
Administration must be retained and made available to HUD or its 
designee in accordance with 24 CFR Sec. 84.53.

(D) Auditing Requirements

    Intermediaries must comply with the audit requirements set forth in 
24 CFR Part 45.

(E) Conflict of Interest (CI) Requirements

    Funds received under this SuperNOFA shall not be used to supplant 
or duplicate other resources for the proposed activities. In carrying 
out its duties, any intermediary must avoid even the appearance of a 
conflict of interest. All executives, board members, key management 
personnel, or any other person or entity with direct or indirect 
control, is required to execute a CI Certification at the time of 
execution of a grant agreement and on each anniversary date of 
execution.

III. Application Selection Process

    Two types of reviews will be conducted: a threshold review to 
determine applicant eligibility; and a technical review to rate the 
application based on the rating factors in this Section III.

(A) Additional Threshold Criteria For Funding Consideration

    Under the threshold review, the applicant will be rejected from the 
competition if the applicant is not in compliance with the requirements 
of the General Section of the SuperNOFA and if the applicant does not 
qualify as an Eligible Applicant as defined in Section I(E) of this 
ITAG Section of the SuperNOFA.

(B) Factors for Award Used To Evaluate and Rate Applications

    The factors for rating and ranking applicants, and maximum points 
for each factor, are provided below. The maximum number of points for 
this program is 100. This ITAG section of the SuperNOFA does not 
include EZ/EC bonus points.
Rating Factor 1: Capacity of the Applicant and Relevant Organizational 
Experience (40 Points)
    This factor addresses the extent to which the applicant has the 
organizational resources necessary to successfully implement the 
proposed activities in a timely manner. The rating of the ``applicant'' 
or the ``applicant's organization and staff'' for technical merit or 
threshold compliance, unless otherwise specified, will include any 
faculty, subcontractors, consultants, and members of consortia which 
are firmly committed to the project.
    Experience and Capability to administer a Intermediary Technical 
Assistance Grant (ITAG) program over the state-grouping area for which 
the applicant is applying is a threshold requirement for award. If an 
applicant is found to lack sufficient experience and capability, their 
application will be eliminated from further consideration. This is 
particularly important if the applicant is applying for more than one 
state-grouping. This criterion can be demonstrated through past 
performance, as evidenced by previous experience and success in 
administering a Federal

[[Page 23935]]

housing grant program, such as the Preservation ITAG program.
    In rating organizational capacity and staffing to carry out 
activities of the kind proposed in the application, HUD will consider 
the extent to which the proposal demonstrates:
    (a) The knowledge and direct experience of the proposed project 
director and staff, including the day-to-day program manager, 
consultants and contractors, in awarding and administering grant 
programs. The applicant will be judged in terms of recent, relevant and 
successful experience in undertaking activities similar to those 
required of an intermediary.
    The applicant has sufficient personnel, or access to qualified 
experts or professionals, enabling delivery of the proposed activities 
in each proposed service area in a timely and effective fashion. 
Capacity also includes the readiness and ability of the applicant to 
immediately begin the proposed work program, and a communication system 
that allows subrecipients consistent, reliable and expeditious access 
to the intermediary grant administrator.
    (b) The applicant's experience in managing programs similar in 
scope or nature directly relevant to the work activities proposed and 
carrying out grant management responsibilities. If the applicant has 
managed large, complex, interdisciplinary programs, the applicant 
should include the information supporting this claim in their response.
    (c) If the applicant received funding in previous years, the 
applicant's past experience will be evaluated in terms of their ability 
to attain demonstrated measurable progress in the implementation of 
their most recent grant awards, as measured by expenditures and 
measurable progress in achieving the purpose for which funds were 
provided. However, an applicant must also demonstrate how the applicant 
will successfully undertake additional activities effectively under 
this ITAG section of the SuperNOFA.
    (d) The applicant's ability and comprehensive plan to market the 
ITAG grant programs to those eligible subrecipients in the geographic 
area(s) for which it has responsibility. The marketing plan must 
specify the applicant's proposed efforts for outreach to all states 
within their state grouping.
    (e) The applicant's fiscal capability in meeting the reporting and 
audit requirements of 24 CFR part 84. The ability of the applicant's 
key staff to handle, manage, and adequately account for financial 
resources, and to use acceptable financial control procedures, 
demonstrated through past performance of the applicant entity or key 
staff with Federal, State or local funds, or an explanation of how such 
capability can be obtained.
Rating Factor 2: Soundness of Approach (30 Points)
    This factor addresses the quality and cost-effectiveness of the 
applicant's proposed activities. There must be a clear relationship 
between the proposed activities, state-grouping needs and the purpose 
of the program funding for an applicant to receive points for this 
factor. The factor will be evaluated based on the extent to which the 
proposed activities will:
    (a) Identify all areas within the state-grouping with M2M eligible 
properties and effectively promote the existence of funds to all 
eligible properties. HUD's goal is to disburse technical assistance 
funds to the widest possible geographic area. This should include 
rural, as well as urban areas.
    (b) Achieve the purposes of the program for which funding is 
requested and result in measurable accomplishments that are consistent 
with the purposes of the program and will result in a goal being met/
product produced within a timeframe appropriate and reasonable for the 
program.
    (c) Be undertaken using technically competent methodologies for 
conducting the work to be performed and uses a cost effective plan for 
designing, organizing and carrying out the proposed activities. The 
proposed cost estimates should be reasonable for the work to be 
performed and consistent with rates established for the level of 
expertise required to perform the work in the proposed geographic area.
    (d) Yield innovative strategies or ``best practices'' that can be 
replicated and disseminated to other organizations, including nonprofit 
organizations, State and local governments. HUD will assess the 
transferability of results in terms of model programs or lessons 
learned from the work performed under the award. Applicants will be 
required to prepare an analysis of best practices as part of their 
reports to HUD that may be used by HUD to inform others who may be 
interested in learning from the experiences gained from the work 
performed under awards funded through this ITAG section of the 
SuperNOFA.
Rating Factor 3: Leveraging Resources (10 points)
    This factor addresses the ability of the applicant to secure 
community assets, resources and/or financing to achieve program 
purposes. In evaluating this factor HUD will consider:
    (a) The extent to which the applicant has leveraged resources, such 
as funding and/or in-kind services from governmental entities, private 
organizations, resident management organizations, educational 
institutions, or other entities in order to achieve the purposes of the 
award the applicant is requesting.
    (b) The extent to which the applicant has partnered with other 
entities to make more effective use of available public or private 
resources. Partnership arrangements may include, but are not limited 
to, funding or in-kind services from local governments or government 
agencies, non-profit or for-profit entities, private organizations, 
educational institutional or other entity that is willing to partner 
with the applicant on proposed activities in order to leverage 
resources, or partnering with other program funding recipients to make 
more effective use of resources within the geographic area covered by 
the award either within the community or within the field office 
jurisdiction in which activities are occurring. Applicants may partner 
directly or through a consortium of applicants to more effectively 
address needs of underserved populations, rural areas, minority groups 
or other client groups that need attention either in the target area or 
the area covered by the field office jurisdiction in which the 
activities are to take place.
    Evidence of commitment should include organization names, their 
proposed level of effort, resources, and responsibilities of these 
participants. Applicants must provide indications of participation by 
including in the application letters of firm commitments, memoranda of 
understanding or agreements, or letters indicating participation and 
levels of effort and responsibility to receive rating points for this 
factor. Letters of commitment, memoranda of understanding, or 
agreements to participate must be signed by an official of the 
organization legally able to make commitments for the organization.
Rating Factor 4: Comprehensiveness & Coordination (20 points)
    This factor addresses the extent to which the applicant coordinates 
its activities with other known organizations, participates or promotes 
participation in a community's Consolidated Planning process, and is 
working towards addressing a need in a holistic and comprehensive 
manner

[[Page 23936]]

through linkages with other activities in the community.
    In evaluating this factor, HUD will consider the extent to which 
the applicant demonstrates it has:
    (1) Coordinated its proposed activities with those of other groups 
or organizations prior to submission in order to best complement, 
support and coordinate all known activities and if funded, the specific 
steps it will take to share information on solutions and outcomes with 
others. Any written agreements, memoranda of understanding in place, or 
that will be in place after award should be described.
    (2) Taken or will take specific steps to become active in the 
community's Consolidated Planning process (including the Analysis of 
Impediments to Fair Housing Choice) established to identify and address 
a need/problem that is related to the activities the applicant 
proposes. In the case of technical assistance providers, the applicant 
should describe the specific steps it will take to work with recipients 
of technical assistance services to inform them of, and get them 
involved in, the community's Consolidated Planning process. HUD will 
review more favorably those applicants who can demonstrate they are 
active, will become active, or in the case of technical assistance 
providers work with recipients of technical assistance to get them 
involved in the local Consolidated Planning (CP) process.
    (3) Taken or will take specific steps to develop linkages to 
coordinate comprehensive solutions through meetings, information 
networks, planning processes or other mechanisms with:
    (a) Other HUD-funded projects/activities outside the scope of those 
covered by the Consolidated Plan; and
    (b) Other Federal, State or locally funded activities, including 
those proposed or on-going in the community.
    (C) Selections. HUD will review each Intermediary application and 
assign up to 100 points, in accordance with the criteria described in 
this Section. In order to be considered for selection, an applicant 
must receive a minimum score of 60. After rating, the M2M staff will 
rank the applications for each separate state-grouping according to 
score and will select the highest rated applicant in each state-
grouping. If an applicant is the highest rated for two or more state-
groupings, HUD will perform a second review to assure that the 
applicant has the capacity to effectively perform in that number of 
groupings. If it is determined, using the information from Rating 
Factor 1, that the applicant does not have sufficient capacity to 
adequately perform in all state-groupings for which it is the highest 
rated applicant, HUD will notify the applicant of the number of state-
groupings for which it has been found to have capacity and will allow 
that applicant to choose in which state-grouping(s) it will perform. 
HUD will then select the second highest rated applicant for each state-
grouping not selected by the highest rated applicant. If a second 
highest rated applicant is selected for two or more state-groupings, 
HUD will perform a second review of that applicant to assure that the 
applicant has the capacity to effectively perform in that number of 
groupings. HUD will perform the same review until an intermediary has 
been selected to perform in all five state-groupings.
    If there is a state-grouping for which HUD receives no qualified 
applicants, HUD may request the highest ranking applicant found to have 
adequate capacity to perform in that state-grouping.
    After all applications have been rated and ranked and selections 
have been made, HUD may require that all winners participate in 
negotiations to determine the specific terms of the Statement of Work 
and the grant budget. In cases where HUD cannot successfully conclude 
negotiations, or a selected applicant fails to provide HUD with 
requested information, awards will not be made. In such instances, HUD 
may elect to offer an award to the next highest ranking applicant, and 
proceed with negotiations with the next highest ranking applicant.

IV. Application Submission Requirements

(A) Submission Requirements

    An applicant must provide a completed application, including the 
following, as applicable:
    (1) OMB Standard Forms 424;
    (2) Identification of proposed state-grouping(s) in which the 
applicant will perform intermediary activities;
    (3) Information about how the applicant meets the Factors for Award 
listed in Section III(C)., ``Selection Criteria'', Rating Factors 1-4.
    (4) Information about the applicant, including its history, its 
staff and qualifications, and its experience.
    (5) Summary of plan to advertise grant availability, distribution 
of applications, review applications, disburse funds, set up 
information network, and monitor activities under the grant;
    (6) Evidence of tax-exempt status, if applicable;
    (7) Required Certifications relating to this grant;
    (8) Other disclosures and assurances as required under this 
SuperNOFA;
    (9) Other information/materials described in application kit.

(B) Application Selection Timeframe

    HUD will publish in the Federal Register the list of selected 
intermediaries within 30 days of the date that HUD's intermediary 
selection process is completed. That publication will include 
information for potential subrecipients on how to obtain application 
kits and will list contact names at the intermediary organizations 
selected to administer the grants.
    Once intermediaries are selected and agreements are executed, 
intermediaries will have 30 days to put the necessary mechanisms in 
place prior to accepting grant applications.

V. Responsibilities of Intermediary

(A) General

    Intermediaries will be responsible for performing the tasks listed 
in Section II ``Program Requirements'' of this ITAG section of the 
SuperNOFA.

(B) Timeframes

    Once funding availability is advertised by the intermediary for its 
``state-grouping'', potential sub-recipients can submit technical 
assistance applications to the intermediary on an ongoing basis. If the 
applications are acceptable, grants must be awarded no later than 30 
calendar days after a complete application is received by the 
intermediary (first come, first served). If the application is found to 
be substantially complete (i.e., there are no missing exhibits), but 
technically deficient (i.e., an exhibit does not adequately meet the 
application requirements), the intermediary will send the applicant a 
deficiency letter and allow 14 days for resubmission on the deficient 
exhibits. The intermediary will have an additional 30 days to review 
and approve an application, following receipt of application revisions. 
If the application is not substantially complete, it will be rejected.

(C) Technical Assistance Grants

    (1) Resident Capacity Grants (RCG). An RCG can be approved for a 
maximum of $20,000. Resident Capacity applicants will receive an 
application kit, which will be produced and distributed by the 
intermediary. A sample application kit will be provided by HUD to the 
intermediaries. Applications will be accepted on an ongoing basis, and 
all acceptable applications will be approved unless there are no funds 
available for Resident

[[Page 23937]]

Capacity grants. Intermediaries must review and approve or reject 
applications for Resident Capacity grants based on the following 
threshold criteria:
    (a) The applicant meets the eligible applicant criteria listed in 
paragraph A of Appendix A of this ITAG section of the SuperNOFA.
    (b) The applicant is applying for funds for eligible activities 
listed in paragraph D(1) of Appendix A to this ITAG section of the 
SuperNOFA.
    (c) The applicant has notified the residents of its application in 
accordance with paragraph B of Appendix A of this ITAG section of the 
SuperNOFA.
    (d) The plan for promoting the ability of residents to participate 
meaningfully in the M2M process is reasonable and feasible.
    (e) The budget submitted with the application reflects reasonable 
costs directly associated with the grant activities.
    (f) The estimate of time necessary to achieve completion of 
activities and delivery of products is reasonable and realistic and 
within the time frames set forth in the applicable program regulation.
    (2) Predevelopment Grants (PDG). A PDG can be approved for a 
maximum of $70,000. All PDG applicants will receive an application kit 
that will have been produced and distributed by the intermediary. A 
sample application kit will be provided by HUD to the intermediaries. 
Applications will be accepted on an ongoing basis, and all acceptable 
applications will be approved unless there are no funds available for 
Predevelopment grants. Intermediaries must review and approve or reject 
applications for Predevelopment grants based on the following threshold 
criteria:
    (a) The applicant meets the eligible applicant criteria listed in 
paragraph A of Appendix A to this ITAG section of the SuperNOFA;
    (b) The applicant is applying for eligible activities listed in 
paragraph D(2) of Appendix A to this ITAG section of the SuperNOFA;
    (c) The applicant has notified the residents of its application in 
accordance with paragraph B of Appendix A to this ITAG section of the 
SuperNOFA;
    (d) The plan for promoting and achieving a resident supported 
purchase of the property must be reasonable and feasible and in 
conformance with the appropriate program regulations and guidelines. 
This will include an evaluation of the experience and capacity of the 
applicant's development team;
    (e) A plan for promoting and achieving the sale of the property to 
an eligible nonprofit organization.
    (f) The budget submitted with the application reflects reasonable 
costs directly associated with the grant activities that would result 
in the development of a feasible purchase; and
    (g) The estimate of time necessary to achieve completion of 
activities and delivery of products is reasonable and realistic and 
within the time frames set forth in the applicable program regulation.
    (3) Public Entity Grant (PEG). A PEG can be approved for a maximum 
of $20,000. Public entities eligible to apply for such a grant include: 
community action, legal services and fair housing counseling agencies; 
State, county or local government agencies; intermediaries and others 
deemed appropriate by the ITAG administrator.
    The intent of the PEG program is for a public agency or 
organization with expertise in multifamily rental housing, tenant 
affairs or other preservation of affordable housing issues, to initiate 
activities that can further the M2M program. An example: A city or 
county office of landlord tenant affairs can proactively seek out those 
tenant groups or organizations of properties that are eligible to 
participate in the M2M program and initiate a conference, training 
sessions, direct on site training, brochures, etc., to facilitate the 
persons in the property understanding the procedures in dealing with 
and the landlord of the property and general property management. A 
second example is: An office of building permits and code enforcement 
could give training or technical assistance to tenant groups in 
eligible M2M properties who are dealing with property repairs.
    (4) Competing Grant Applications. If a second technical assistance 
application is received within 30 days of receipt of the first 
application for any property, and if that application is for the same 
grant category, the intermediary shall have an additional 20 days to 
review both applications. The total review time for any grant cannot 
exceed 50 days after receipt of a complete application. If the 
competing applications are for Resident Capacity grants, resident 
groups and Resident Councils shall have priority over other applicants. 
If the competing applications are for Predevelopment grants, and both 
are found technically acceptable, the Intermediary will return the 
applications with instructions that the applicants meet together and 
with the residents to reach a resolution for a final application. If no 
compromise is reached, the intermediary will approve the applicant that 
the intermediary finds most capable of performing grant and nonprofit 
sponsor activities. In addition, in the case of any application, if 
there is an indication that a majority of the residents oppose the 
applicant's selection, that application shall be denied.
    (5) Decision Not To Fund. In any denial of award letter, the 
intermediary shall be required to explain the reasons for its 
determination. In addition, if the intermediary makes a determination 
that results in a reduction of proposed grant funds, that determination 
shall also be explained in writing.
    (6) Appeals. If an application for either an RCG, PDG or PEG is 
denied, the applicant will have the right to appeal that denial to HUD. 
The appeal must be made within 45 days of application rejection to: M2M 
Staff, Office of OMAR, Department of Housing and Urban Development, 451 
Seventh Street, NW., Room 6284, Washington, DC 20410. HUD will make a 
binding determination within 45 days of the appeal.
    (7) Award Notification. If an applicant is awarded and accepts an 
RCG or PDG, the applicant must inform the residents of the property 
about the award, by posting a notice or through a resident meeting or 
both, within three weeks of the applicant's acceptance of the award.

VI. Corrections of Deficient Applications

    The General Section of the SuperNOFA provides procedures for 
corrections to deficient applications.

VII. Environmental Requirements

    In accordance with 24 CFR 50.19(b)(8) and (9), the assistance 
provided under this program relates only to the provision of 
engineering costs and technical assistance and therefore is 
categorically excluded from the requirements of the National 
Environmental Policy Act and is not subject to environmental review 
under the related laws and authorities. This determination is based on 
the ineligibility of real property acquisition, construction, 
rehabilitation, conversion, leasing, or repair for HUD assistance under 
this program.

ITAG Program Appendix A: Technical Assistance Applications

A. Eligible Applicants

    (1) General Definition. An eligible applicant must notify 
residents of all occupied units that it is applying for a grant. 
That notification shall meet the

[[Page 23938]]

specifications of paragraph B below. An eligible applicant is one of 
the entities described in the following paragraphs (a) through (d) 
that complies with the applicable criteria:
    (a) Resident Group. Resident Groups are eligible for Resident 
Capacity grants only. For an applicant to be considered a resident 
group, the following must be submitted:
    (i) Evidence that the greater of 5% of the occupied units or 10 
units of the subject property have heads of households that are 
members;
    (ii) A copy of a notice announcing an organizational meeting to 
discuss resident participation in decisions affecting the project;
    (iii) A copy of the agenda of the organizational meeting 
referred to in item (ii) of this paragraph; and
    (iv) A list of attendees of the organizational meeting referred 
to in item (ii) of this paragraph.
    (b) Resident Council (RC). For an applicant to be considered an 
RC, it must meet the definition of ``resident council'' as set out 
in 24 CFR 248.101. Specifically, a RC is any incorporated nonprofit 
organization or association in which membership is available to all 
the tenants, and only the tenants, of a particular project and:
    (i) Is representative of the residents of the project;
    (ii) Adopts written procedures providing for the election of 
officers on a regular basis; and
    (iii) Has a democratically elected governing board, elected by 
the residents of the project.
    (c) Community-Based Nonprofit Housing Developer (CBD). For an 
applicant to be considered a CBD it must submit evidence that it:
    (i) Is classified as tax exempt under section 501(c)(3) of the 
IRS Code of 1986;
    (ii) Has been in existence for at least two years, and has at 
least two years of housing and community development experience, 
prior to date of application;
    (iii) Has a record of service to low-and moderate-income people 
in the community in which the project is located;
    (iv) Is organized at the neighborhood, city, county or a multi-
county level;
    (v) In the case of an organization seeking to acquire eligible 
housing, it agrees to form a purchasing entity that conforms to the 
definition of a community-based nonprofit organization (CBO) in 24 
CFR 248.101;
    (vi) Agrees to use its best efforts to secure majority tenant 
consent to the acquisition of the project for which grant assistance 
is requested. Evidence of ``best efforts'' shall include a plan in 
the application which details method for securing such support. In 
addition, continued evidence of ``best efforts,'' such as additional 
resident meetings and notices, is required as a grantee moves 
towards a purchase.
    (d) Public Entity. For an applicant to be considered a public 
entity, it must be an organization affiliated with State, county or 
local government, or a community action agency, legal services or 
fair housing counseling agency, intermediary, or others deemed 
appropriate by the ITAG administrator.
    (2) Resident Capacity Grant Applicants. Applicants for Resident 
Capacity grants must meet the eligibility criteria listed in 
paragraph A(1) of this Appendix. In addition, these grants may be 
made only with respect to eligible M2M housing.
    (3) Predevelopment Grant Applicants. Predevelopment grant 
applicants must be RCs or CBDs meeting the criteria listed in 
paragraph A(1) of this Appendix. These grants may be made only to 
organizations seeking to purchase the property, with the support of 
a majority of the residents. The owner of the property must have 
entered into a binding agreement to sell the housing to the 
applicant organization. This binding agreement shall not necessarily 
be a formal sales contract; rather, it may state that the owner will 
neither work with nor accept a purchase offer from any other entity 
during the term of the grant, as long as the grantee is progressing 
towards a purchase offer and acquisition in a reasonable period of 
time.
    (4) Conflict of Interest. Each applicant must certify that its 
organization is not a ``Related Party'', as set forth in 24 CFR part 
84, and that no individual that has, or has had within the last five 
years, a personal or professional relationship with the owner entity 
will receive financial benefit from the grant funds. This 
certification shall prohibit using mutual consultants, attorneys, 
etc. It shall not explicitly prohibit using architects or engineers 
that have worked with the owner or in the property in the past, as 
long as there is no ongoing professional relationship with the owner 
that could be perceived as a conflict of interest. A nonprofit 
general partner of an eligible property that is attempting to buy 
out its limited distribution partners is exempt from this part of 
the conflict of interest requirement. The certification shall also 
require disclosure, to the intermediary and the tenants, of any 
relationship with ownership, management, or any other parties to a 
sale, and will state that the applicant will not seek any financial 
benefit from project ownership or operations other than those 
disclosed.

B. Resident Notification.

    Each applicant will be required to notify residents of the 
property of its application prior to submitting the application 
package to the intermediary. That notification shall be in writing, 
be distributed to each resident of the property, and include a 
summary of the applicant's plan for the property. The notification 
shall also include a statement that residents can themselves become 
eligible applicants under the M2M Technical Assistance grant 
program. In addition, the applicant must meet with the residents of 
the property at least two weeks prior to application submission, and 
give the residents at least two weeks notification of such meeting. 
In that meeting, the applicant must provide the following 
information to the residents:
     A summary of the grant proposal;
     A list of members of the board of directors, if known;
     A list of the proposed development team and management 
company, if known;
     A list of all proposed consultants and attorneys;
     Disclosure of any relationship with ownership, 
management, or any other parties related to the owner or, if 
applicable, related to the sale; and
     Information on how the residents may comment to the 
intermediary on the applicant's proposal and that residents shall 
have 14 days to submit comments to the applicant and to the 
intermediary on the proposal. This information shall include a name 
and contact number for the intermediary and a name and phone number 
for a contact person in the applicant organization. If the applicant 
is unable to make this notification due to lack of access to the 
property or lack of resident addresses, the applicant may contact 
the intermediary for assistance. The intermediary may contact the 
owner to request access or resident addresses for the applicant. If 
the owner is uncooperative, the intermediary may contact the HUD 
field office for assistance. If residents make substantive comments 
to the intermediary, the applicant will be required to address these 
comments prior to any grant award from the intermediary.

C. Ineligible Technical Assistance Applicants.

    (1) Entities that have applications pending for funds under the 
HOPE 2 program are not eligible to apply for funding under this ITAG 
section of the SuperNOFA.
    (2) Entities that have been awarded grants under the 
Preservation Technical Assistance Grants NOFA (entitled ``Technical 
Assistance Planning Grants for Resident Groups, Community Groups, 
and Community-Based Nonprofit Organizations and Resident Councils'') 
issued April 6, 1994, may not receive funds under this ITAG section 
of the SuperNOFA for any properties for which those grants were 
funded either until all funds awarded to the grantee under the 1994 
NOFA have been expended, or until the grant under the April 6, 1994, 
NOFA has been terminated as a result of a new grant approval under 
this ITAG section of the SuperNOFA. The total funds received from 
the April 6, 1994, NOFA plus the total grant award for this ITAG 
section of the SuperNOFA may not exceed the funding limits 
established in this ITAG section of the SuperNOFA. A grantee under 
the April 6, 1994 NOFA is eligible for funds under this ITAG section 
of the SuperNOFA only if it also meets the eligibility criteria of 
this ITAG section of the SuperNOFA and meets the notification 
requirements of paragraph B (``Resident Notification'') above.

D. Eligible Technical Assistance Grant Activities.

    (1) Resident Capacity Grants. Resident Capacity grants may be 
used to cover expenses for the following activities:
     Resident outreach and coordination;
     Legal services to incorporate the resident organization 
or RC, establish a board of directors, write by-laws, or establish 
nonprofit status;
     Accounting services for budgeting, planning, and 
creation of accounting systems that are in compliance with OMB 
Circular A-110 or A-122;
     Conducting resident meetings and democratic elections;

[[Page 23939]]

     Training residents and developing resident leadership;
     Hiring an architect or engineer to advise the residents 
during the M2M need assessment; and
     Other technical assistance related to developing the 
capacity of the residents of the organization to meaningfully 
participate in decisions related to the project.
    (2) Predevelopment Grants. Predevelopment grants may be used to 
cover consultant costs, and grantee staff and overhead costs related 
to the following activities:
     Legal services to organize a purchasing entity;
     Accounting services for budgeting, planning, and 
creation of accounting systems that are in compliance with OMB 
Circular A-110 or A-122;
     Preparing bona fide offers including contracts and 
other documents to purchase the property;
     Training residents, resident council staff and board 
members on the M2M process and in skills related to the operation 
and management of the project;
     Developing and negotiating management contracts, 
related contract monitoring, and management procedures;
     Engineering studies, such as site, water, and soil 
analysis, mechanical inspections; and estimations of the cost of 
rehabilitation and of meeting local building and zoning codes, in 
anticipation of purchasing a property;
     Securing financing and preparation of mortgage 
documents, transfer documents, and other documentation incident to 
closing a purchase offer;
     Preparing feasibility analyses, market studies and 
management plans;
     If applicable, creating a Community-Based Nonprofit 
Organization that conforms to the definition of such organization 
under 24 CFR Sec. 248.101;
     Other activities related to promoting the ability of 
eligible applicants to acquire, rehabilitate and competently own and 
manage eligible housing.
    (3) Public Entity Grants may be used to cover the following 
activities:
     All activities listed under resident capacity and 
predevelopment and,
     Training tenants or organizations affiliated with a M2M 
eligible property in that area of expertise in which the public 
entity has been associated.

E. Ineligible Grant Activities

    Examples of activities that are not eligible to be funded for 
technical assistance grantees include:
     Earnest money deposits as part of a purchase offer;
     Purchase of land or buildings or any improvements to 
land or buildings;
     Activities not directly related to eligible activities 
listed in paragraph D of this Appendix A;
     Payments of fees for lobbying services;
     Activities funded from other sources;
     Activities completed prior to time applicant becomes 
eligible for a grant; and
     Activities performed by the administering intermediary.

ITAG Program Appendix B: Activity Level and State Allocation

    HUD determined the allocation of funds by State-Grouping by 
estimating the total number of M2M projects based on FY 1997, 1998, 
and 1999 data, dividing this number into total funds expected to be 
available, and multiplying the result by the number of projects in a 
State-Grouping. HUD reserves the right to periodically assess 
activity levels and, if necessary, reallocate funds among 
intermediaries. The following table contains the estimated State-
Grouping allocations based on FY 1998 funding and subject to FY 1999 
appropriations, if any:

----------------------------------------------------------------------------------------------------------------
                                                                             FY dollars  (if                    
                     State grouping                       FY 1998 dollars     appropriated)          Total      
----------------------------------------------------------------------------------------------------------------
Northwest:                                                                                                      
    Alaska                                                                                                      
    Colorado                                                                                                    
    Hawaii                                                                                                      
    Idaho                                                                                                       
    Illinois                                                                                                    
    Iowa                                                                                                        
    Kansas                                                                                                      
    Minnesota                                                                                                   
    Missouri                                                                                                    
    Montana                                                                                                     
    Nebraska                                                                                                    
    North Dakota                                                                                                
    Oregon                                                                                                      
    South Dakota                                                                                                
    Utah                                                                                                        
    Washington                                                                                                  
    Wyoming                                                                                                     
----------------------------------------------------------------------------------------------------------------
                                                                  $200,000         $1,600,000         $1,800,000
Southwest:                                                                                                      
    Arizona                                                                                                     
    Arkansas                                                                                                    
    California                                                                                                  
    Louisiana                                                                                                   
    Nevada                                                                                                      
    New Mexico                                                                                                  
    Oklahoma                                                                                                    
    Texas                                                                                                       
----------------------------------------------------------------------------------------------------------------
                                                                  $200,000         $1,600,000         $1,800,000
Midwest:                                                                                                        
    Indiana                                                                                                     
    Michigan                                                                                                    
    Ohio                                                                                                        
    Wisconsin                                                                                                   
----------------------------------------------------------------------------------------------------------------
                                                                  $200,000         $1,600,000         $1,800,000
Northeast:                                                                                                      
    Connecticut                                                                                                 
    Delaware                                                                                                    
    Maine                                                                                                       

[[Page 23940]]

                                                                                                                
    Maryland                                                                                                    
    Massachusetts                                                                                               
    New Hampshire                                                                                               
    New Jersey                                                                                                  
    New York                                                                                                    
    Pennsylvania                                                                                                
    Rhode Island                                                                                                
    Vermont                                                                                                     
    Washington, DC                                                                                              
    West Virginia                                                                                               
----------------------------------------------------------------------------------------------------------------
                                                                  $200,000         $1,600,000         $1,800,000
Southwest:                                                                                                      
    Alabama                                                                                                     
    Caribbean                                                                                                   
    Florida                                                                                                     
    Georgia                                                                                                     
    Kentucky                                                                                                    
    Mississippi                                                                                                 
    North Carolina                                                                                              
    South Carolina                                                                                              
    Tennessee                                                                                                   
    Virginia                                                                                                    
----------------------------------------------------------------------------------------------------------------
                                                                  $200,000         $1,600,000         $1,800,000
----------------------------------------------------------------------------------------------------------------
        Total..........................................         $1,000,000         $8,000,000         $9,000,000
----------------------------------------------------------------------------------------------------------------


BILLING CODE 4210-32-P

  Federal Register / Vol. 63, No. 83 / Thursday, April 30, 1998 / 
Notices  

[[Page 23941]]


     
    [GRAPHIC] [TIFF OMITTED] TN30AP98.012
    

BILLING CODE 4210-32-C

  Federal Register / Vol. 63, No. 83 / Thursday, April 30, 1998 / 
Notices  

[[Page 23943]]



Funding Availability for Outreach and Training Grants (OTAG) To 
Provide Technical Assistance To Tenant Groups in Projects Eligible 
Under the Mark-To-Market (M2M) Program

    Program Description: Approximately $6.0 million in Outreach and 
Training Grant (OTAG) funds is available for resident-controlled non-
profit organizations, community-based organizations and public entities 
to apply for funds to conduct outreach and training development for HUD 
tenants in properties eligible to participate in the M2M program, so 
that the tenants can (1) participate meaningfully in the M2M program, 
and (2) affect decisions about the future of their housing. The purpose 
of the M2M program is to reduce the cost of above market Section 8 
assistance, preserve affordable housing stock, and streamline the 
administration of Federal housing subsidies. These funds are available 
to grantees providing the program on a community-, county-, city-, or 
state-wide level.
    Application Due Date: Completed applications must be received no 
later than 12:00 midnight, Eastern time on June 30, 1998 at HUD 
Headquarters. See the General Section of this SuperNOFA for specific 
procedures governing the form of application submission (e.g., mailed 
applications, express mail, overnight delivery, or hand carried).
    Address for Submitting Applications: Completed applications (one 
original and two copies) must be submitted to: the Office of Portfolio 
Reengineering, Room 6130, HUD Headquarters, 451 Seventh Street, SW, 
Washington, DC 20410. When submitting your application, please refer to 
OTAG, and include your name, mailing address (including zip code) and 
telephone number (including area code).
    For Application Kits, Further Information and Technical Assistance: 
For Application Kits. For an application kit and any supplemental 
information please call the SuperNOFA Information Center at 1-800-HUD-
8929. Persons with hearing or speech impairments may call the Center's 
TTY number at 1-800-HUD-2209. The application kit also will be 
available on the Internet through the HUD web site at http://
www.hud.gov. When requesting an application kit, please refer to OTAG 
and provide your name, address (including zip code), and telephone 
number (including area code).
    For Further Information. Arthur Goldstein at (202) 708-2300, 
extension 2657. Persons with speech or hearing impairments may call 
HUD's TTY number (202) 708-0770, or 1-800-877-8399 (the Federal 
Information Relay Service TTY). Other than the ``800'' number, these 
numbers are not toll-free. Mr. Goldstein can also be reached via the 
Internet at [email protected].
    For Technical Assistance. An information broadcast via satellite 
will be held for potential applicants to learn more about the program 
and preparation of an application. For more information about the date 
and time of the broadcast, please consult the HUD web site at the web 
address listed above.

Additional Information

I. Authority; Purpose; Amount Allocated; and Eligibility

    Applicants should take care in reviewing this section to ensure 
they are eligible to apply for funds and that they meet the program 
requirements described.

(A) Authority

    The FY 1998 HUD Appropriations Act authorizes funding for the 
Outreach and Training Grant program. This authorization is under the 
legislation ``Multifamily Assisted Housing Reform and Affordability Act 
of 1997'' (MAHRA), (Title V-HUD Multifamily Housing Reform, subtitle A, 
section 514, Mortgage Restructuring and Rental Assistance Sufficiency 
Plan).

(B) Purpose

    The purpose of the OTAG program is to provide technical assistance 
to tenants of eligible M2M properties so that the tenants can (1) 
participate meaningfully in the M2M program, and (2) affect decisions 
about the future of their housing.

(C) Amount Allocated

    The competition in this program is for up to $6.0 million to fund 
resident-controlled nonprofit organizations, community-based 
organizations and public entities in the pursuit of OTAG activities. 
The $6.0 million will be awarded in 1998 but will be utilized for OTAG 
technical assistance activities that are needed through October 1, 
2001.

(D) Grant Amount and Terms

    M2M will accept OTAG applications that propose a term of from one 
to three years. The term begins on the date of the execution of the 
grant agreement. The grant amount will be limited to $400,000 for 
successful applications that propose the three year maximum for 
activities. The maximum annual allocation for such grants will be 
approximately $150,000, which must be expended by the grantee prior to 
the distribution of additional funds. For example: If a grantee is 
unable to successfully utilize their annual allocation in the requisite 
year, then no funds for the next year will be allocated until the 
current year's allocation has been expended according to the agreement. 
The grant may be terminated if the grantee fails to complete the tasks 
within a reasonable time period.

(E) Eligible Applicants

    An organization applying for OTAG funding must:
    (1) Be a resident-controlled nonprofit organization with a majority 
of the board consisting of residents of HUD assisted housing, with at 
least two years of experience in resident organizing and education;
    (2) A community-based organization (CBO), with at least two years 
of experience in resident organizing and education; or
    (3) Public entities such as: community action, legal service, and 
fair housing counseling agencies; State and local government agencies; 
and intermediaries.
    These grants will be awarded on a community-, city-, county-, 
multi-county-, or state-wide basis. The approved grantees will initiate 
an outreach program that will identify, deliver training to, and 
develop the organizational process that will be used in organizing the 
unorganized residents of eligible low-income housing. Any group that is 
applying for an OTAG must have at least two years of experience in 
organizing and training tenants, or have an affiliation with an 
organization that has such experience. However, the organization 
providing the experience must not have influence over the grantee's 
decision making. All funds expended under this OTAG Program section of 
the SuperNOFA must be used for tenant activities as described later in 
this program section of the SuperNOFA.
    A CBO is a private nonprofit organization that:
    (1) Is organized under State or local laws;
    (2) Has no part of its earnings inuring to the benefit of any 
member, founder, contributor, or individual;
    (3) Is neither controlled by, nor under the direction of, 
individuals or entities seeking to derive profit or gain from the 
organization;
    (4) Has applied for, or has a tax exemption ruling from the 
Internal Revenue Service under section 501(c) of the Internal Revenue 
Code of 1986;
    (5) Does not include a public body (including the participating 
jurisdiction) or an instrumentality of a public body. An organization 
that is State or locally

[[Page 23944]]

charted may qualify as a community-based nonprofit organization; 
however, the State or local government may not have the right to 
appoint more than one-third of the membership of the organization's 
governing body and no more than one-third of the board members can be 
public officials;
    (6) Has standard of financial accountability that conforms to 24 
CFR part 84;
    (7) Has among its purposes the provision of decent housing that is 
affordable to low-income and moderate-income persons, as evidenced in 
its charter, articles of incorporation, resolutions or by-laws;
    (8) Maintains accountability to low income community residents by:
    (i) Maintaining at least one-third of its governing board's 
membership for low income neighborhood residents, other low-income 
community residents, or elected representatives of low-income 
neighborhood organizations. For urban areas, ``community'' may be a 
neighborhood or neighborhoods, town, village, county, or multi-county 
area or state; and
    (ii) Providing a formal process for low-income, program 
beneficiaries to advise the organization on its decisions regarding the 
acquisition, rehabilitation and management of affordable housing.
    Applicants that do not have tax-exempt status under section 501(c) 
of the Internal Revenue Code of 1986 on or before the date of 
application may be considered as long as the organization is approved 
before the effective date of the grant agreement. Also, newly formed 
and otherwise eligible organizations may submit joint applications with 
eligible organizations that are tax exempt.

(F) Eligible Activities

    An applicant must identify its specific jurisdiction and the 
activities it will undertake to accomplish its objectives. Activities 
for OTAGs can include:
    (1) Identifying residents and resident groups living in eligible 
M2M properties as well as enforcement properties with rents greater 
than market rents. Eligible projects include any property with an 
expiring Section 8 contract that is eligible for the M2M program and 
these properties deemed ineligible for participation in the M2M program 
under section 516 of the FY 1998 Appropriations Act;
    (2) Providing outreach and training to tenants to explain the M2M 
program, the possible financial changes, the possible project repairs, 
access and community resources and effective methods for communicating 
the organization's position;
    (3) Organizing residents of eligible low-income housing so the 
tenants can effectively participate in the M2M process;
    (4) Performing outreach, training, and counseling, which may 
include teaching sound housing management, maintenance, and financial 
management, to residents and resident groups living in eligible M2M 
properties;
    (5) Delivering project-based, community-, city-, county-, or state-
wide training programs on M2M and/or resident homeownership options;
    (6) Establishing M2M clearinghouses as a resource to resident 
organizations, community groups and potential purchasers;
    (7) Creating informational materials about the M2M process for 
local/state-wide distribution;
    (8) Providing support for HUD approved activities proposed by the 
grantee that would further the M2M program and others considered 
eligible at HUD's discretion;
    (9) Educating parties outside HUD (including but not limited to 
appraisers, financial institutions officials, State and local 
government officials, community groups, and owner entities) about the 
M2M process.

II. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, grantees must meet the following program 
requirements:

(A) Reporting Requirements

    (1) OTAG Grantees must comply with all requirements of 24 CFR Part 
84.
    (2) OTAG Grantees must submit a quarterly performance report to the 
Director of the Office of Mortgage and Housing Assistance Restructuring 
(OMAR).
    (3) These reports are to list the properties and number of tenants 
assisted by the OTAG Activities being performed that quarter. These 
reports must include information conferences, brochures, meetings held, 
training, etc., and a narrative describing what tangible benefits 
resulted from the assistance.
    (4) Payment requests may be frozen until receipt of an acceptable 
performance report.

(B) Records Retention and Access Requirements

    All accounting and other records associated with OTAG 
administration must be retained and made available to HUD or its 
designee in accordance with 24 CFR Sec. 84.53.

(C) Auditing Requirements

    OTAG grantees must comply with the audit requirements set forth in 
24 CFR part 45.

(D) Conflict of Interest (CI) Requirements

    Funds received under this OTAG Program section of this SuperNOFA 
shall not be used to supplant or duplicate other resources for the 
proposed activities. In carrying out its duties under this program 
section of the SuperNOFA, any grantee must avoid even the appearance of 
a conflict of interest. All executives, board members, key management 
personnel, or any other person or entity with direct or indirect 
control, is required to execute a CI Certification at the time of 
execution of a grant agreement and on each anniversary date of 
execution.

III. Application Selection Process

    Two types of reviews will be conducted: a threshold review to 
determine applicant eligibility; and a technical review to rate the 
application based on the rating factors in this Section III.

(A) Additional Threshold Criteria for Funding Consideration

    Under the threshold review, the applicant will be rejected from the 
competition if the applicant is not in compliance with the requirements 
of the General Section of the SuperNOFA and if the applicant does not 
qualify as an Eligible Applicant as defined in Section I(E) of this 
OTAG Program section of the SuperNOFA.

(B) Factors for Award Used To Evaluate and Rate Applications

    The factors for rating and ranking applicants, and maximum points 
for each factor, are provided below. The maximum number of points for 
this program is 100. This section of the SuperNOFA does not include EZ/
EC bonus points.
Rating Factor 1: Capacity of the Applicant and Relevant Organizational 
Experience (25 Points)
    This factor addresses the extent to which the applicant has the 
organizational resources necessary to successfully implement the 
proposed activities in a timely manner. The rating of the ``applicant'' 
or the ``applicant's organization and staff'' for technical merit or 
threshold compliance, unless otherwise specified, will include any 
faculty, subcontractors, consultants, sub-recipients, and members of 
consortia which are firmly committed to the project. In rating this 
factor, HUD

[[Page 23945]]

will consider the extent to which the proposal demonstrates:
    (1) (5 points) The knowledge and direct experience of the proposed 
project director and staff, including the day-to-day program manager, 
consultants and contractors, in planning and managing the kind of 
programs for which funding is being requested. The applicant will be 
judged in terms of recent, relevant and successful experience in 
undertaking eligible program activities.
    The applicant has sufficient personnel, or access to qualified 
experts or professionals, enabling delivery of the proposed activities 
in each proposed service area in a timely and effective fashion. 
Capacity also includes the readiness and ability of the applicant to 
immediately begin the proposed work program.
    (2) (5 points) The applicant's experience in managing programs 
similar in scope or nature directly relevant to the work activities 
proposed and carrying out grant management responsibilities. If the 
applicant has managed large, complex, interdisciplinary programs, the 
applicant should include the information supporting this claim in their 
response.
    (3) (5 points) If the applicant received funding in previous years, 
the applicant's past experience will be evaluated in terms of their 
ability to attain demonstrated measurable progress in the 
implementation of their most recent grant awards, as measured by 
expenditures and measurable progress in achieving the purpose for which 
funds were provided. However, the applicant must demonstrate how it 
will successfully undertake additional activities effectively under 
this OTAG Program section of the SuperNOFA.
    Capability to conduct community-, city, county-, multi-county, or 
state-wide outreach and training program. This program could be to 
identify and organize residents and conduct educational workshops for 
tenants of eligible M2M residents, about the residents involvement in 
the M2M program. Training is to be conducted in a reasonable time 
period, within budget, and in an effective manner. This criterion can 
be demonstrated through past performance, as evidenced by previous 
experience and success in outreach, training recruitment, counseling, 
and development of tenant nonprofit organizations. References should be 
included that indicate groups of individuals, entities, projects that 
received training, along with contact information of same.
    (4) (5 points) Ability to cover large geographic areas. The larger 
the geographic area proposed, the larger number of points will be 
awarded.
    (5) (5 points) Applicant's fiscal capability in meeting the 
reporting and audit requirements of 24 CFR part 84. The ability of the 
applicant's key staff to handle, manage, and adequately account for 
financial resources, and to use acceptable financial control 
procedures, demonstrated through past performance of the applicant 
entity or key staff with Federal, State or local funds, or an 
explanation of how such capability can be obtained. Implicit to this 
criterion is the capacity of the applicant to carry out the program, 
subject to conflict of interest and non-duplication of ``other 
resource'' requirements. If the applicant organization, or any staff 
person associated with the organization intends to seek other technical 
assistance funding, as a consultant or any other means, under the M2M 
program (i.e. Intermediary Technical Assistance Grant program), it must 
demonstrate that it can maintain the financial systems required to 
avoid even the appearance of a conflict of interest or non-duplication 
of funding. Evidence of meeting this criteria can be shown by the 
demonstrated performance of a recent audit review of the organization 
or a satisfactory, HUD Field Office Management Review.
Rating Factor 2: Need/Extent of the Problem (25 Points)
    This factor addresses the extent to which there is a need for 
funding the proposed program activities and an indication of the 
urgency of meeting the need in the target area. HUD has determined that 
need will be evaluated based on the number of M2M-eligible projects in 
the geographic area which an applicant proposes to provide services. 
Points will be awarded based on the following:

------------------------------------------------------------------------
                                                                 Points 
                    Number of M2M projects                      awarded 
------------------------------------------------------------------------
100 and over.................................................         25
60-69........................................................         20
40-59........................................................         15
30-39........................................................         10
20-29........................................................          5
Fewer than 19................................................          2
------------------------------------------------------------------------

    A list of M2M eligible properties by property name, city and state 
can be obtained from the Multifamily Clearinghouse at 1-(800) 685-8470. 
This list will be updated periodically.
Rating Factor 3: Soundness of Approach (30 Points)
    This factor addresses the quality and cost-effectiveness of the 
applicant's proposed work plan. In developing a work plan, the 
applicant should consider all Eligible Activities listed in Section 
I(F) of the OTAG Program section of the SuperNOFA. The work plan should 
address, at a minimum:
    (1) The type of activities the applicant intends to perform;
    (2) The intended methodology for initial contact with tenants and 
plan for follow-up contact;
    (3) The subjects to be covered in any proposed training;
    (4) The proposed methodology for encouraging tenant leadership;
    (5) The proposed methodology for completion of all other activities 
proposed under the work plan;
    (6) The plan for creation and distribution of any printed material;
    (7) The intended audience for each proposed activity; and
    (8) For applicants covering a large geographic area, the proposed 
method of contact to residents outside the applicant's immediate area.
    There must be a clear relationship between the proposed activities, 
community needs and the purpose of the program funding for an applicant 
to receive points for this factor. The factor will be evaluated based 
on the extent to which the proposed activities will:
    (1) Help solve or address an urgent need or problem as identified 
under Rating Factor 2--Need/Extent of the Problem. The impact of the 
activity will be evaluated, including the tangible benefits to be 
attained by the community and by the target population including 
affirmatively furthering fair housing for classes protected under the 
Fair Housing Act. As applicable to the program for which funding is 
requested, the activities should aid a broad diversity of eligible 
client or beneficiary groups, including those that have been 
traditionally undeserved. Efforts to increase community awareness in a 
culturally sensitive manner through education and outreach will also be 
evaluated, if applicable.
    HUD will consider, within the context of the program for which 
funding is requested, the extent to which the applicant's activities 
are providing for geographic coverage for articulated needs, and will 
assist or result in a community taking appropriate action to overcome 
the effects of any impediments identified in the A.
    In the case of technical assistance, HUD will evaluate the extent 
to which the proposed activities help solve or

[[Page 23946]]

address an urgent need identified for the specific technical assistance 
program for which an applicant is applying and the extent to which full 
geographic coverage is provided, including urban and rural areas as 
well as under-served populations within the field office 
jurisdiction(s) in which funding is requested.
    (2) Achieve the purposes of the program for which funding is 
requested and result in measurable accomplishments that are consistent 
with the purposes of the program and will result in a goal being met/
product produced within a timeframe appropriate and reasonable for the 
program.
    (3) Be undertaken using technically competent methodologies for 
conducting the work to be performed and uses a cost effective plan for 
designing, organizing and carrying out the proposed activities. The 
proposed cost estimates should be reasonable for the work to be 
performed and consistent with rates established for the level of 
expertise required to perform the work in the proposed geographic area.
    (4) Yield innovative strategies or ``best practices'' that can be 
replicated and disseminated to other organizations, including nonprofit 
organizations, State and local governments. HUD will assess the 
transferability of results in terms of model programs or lessons 
learned from the work performed under the award. Applicants will be 
required to prepare an analysis of best practices as part of their 
reports to HUD that may be used by HUD to inform others who may be 
interested in learning from the experiences gained from the work 
performed under awards funded through this OTAG Program section of the 
SuperNOFA.
    (5) Further and support the policy priorities of HUD including:
    (a) Promoting healthy homes;
    (b) Providing opportunities for self-sufficiency, particularly for 
persons enrolled in welfare to work programs;
    (c) Enhancing on-going efforts to eliminate drugs and crime from 
neighborhoods through program policy efforts such as ``One Strike and 
You're Out'' or the ``Officer Next Door'' initiative;
    (d) Providing educational and job training opportunities through 
such initiatives as Neighborhood Networks, Campus of Learners and 
linking to AmeriCorps activities.
Rating Factor 4: Leveraging Resources (10 Points)
    This factor addresses the ability of the applicant to secure 
community assets, resources and/or financing to achieve program 
purposes. In evaluating this factor HUD will consider:
    (1) The extent to which the applicant has leveraged resources, such 
as funding and/or in-kind services from governmental entities, private 
organizations, resident management organizations, educational 
institutions, or other entities in order to achieve the purposes of the 
award the applicant is requesting.
    (2) The extent to which the applicant has partnered with other 
entities to make more effective use of available public or private 
resources. Partnership arrangements may include, but are not limited 
to, funding or in-kind services from local governments or government 
agencies, non-profit or for-profit entities, private organizations, 
educational institutional or other entity that is willing to partner 
with the applicant on proposed activities in order to leverage 
resources, or partnering with other program funding recipients to make 
more effective use of resources within the geographic area covered by 
the award either within the community or within the field office 
jurisdiction in which activities are occurring. Applicants may partner 
directly or through a consortium of applicants to more effectively 
address needs of underserved populations, rural areas, minority groups 
or other client groups that need attention either in the target area or 
the area covered by the field office jurisdiction in which the 
activities are to take place.
    Evidence of commitment should include organization names, their 
proposed level of effort, resources, and responsibilities of these 
participants. Applicants must provide indications of participation by 
including in the application letters of firm commitments, memoranda of 
understanding or agreements, or letters indicating participation and 
levels of effort and responsibility to receive rating points for this 
factor. Letters of commitment, memoranda of understanding, or 
agreements to participate must be signed by an official of the 
organization legally able to make commitments for the organization.
Rating Factor 5: Comprehensiveness and Coordination (10 Points).
    This factor addresses the extent to which the applicant's program 
reflects a coordinated, community-based process of identifying needs 
and building a system to address the needs by using available HUD 
funding resources and other resources available to the community.
    In evaluating this factor, HUD will consider the extent to which 
the applicant demonstrates it has:
    (1) Coordinated its proposed activities with those of other groups 
or organizations in order to best complement, support and coordinate 
all known activities and, the specific steps it will take to share 
information on solutions and outcomes with others. Any written 
agreements, memoranda of understanding in place, or that will be in 
place after award should be described.
    (2) Taken or will take specific steps to become active in the 
community's Consolidated Planning process (including the Analysis of 
Impediments to Fair Housing Choice) established to identify and address 
a need/problem that is related to the activities the applicant 
proposes.
    (3) Taken or will take specific steps to develop linkages to 
coordinate comprehensive solutions through meetings, information 
networks, planning processes or other mechanisms with:
    (a) Other HUD funded projects/activities outside the scope of those 
covered by the Consolidated Plan; and
    (b) Other HUD, Federal, State or locally funded activities, 
including those proposed or on-going in the community(s) served.
    (C) Selections. HUD will review each Outreach and Training Grant 
application and assign up to 100 points, in accordance with the 
criteria described in this Section. After rating, the M2M staff will 
rank the applications according to score and will fund them in rank 
order. Funds will be awarded based upon the highest scores, which 
represent the best overall assessment of the potential of the proposed 
work activities for achieving the principal objectives of this 
competition.
    If two or more applications have the same number of points, a 
resident-controlled (51 percent or more of Board participation by HUD 
tenants) nonprofit organization will receive priority rating over a 
nonprofit organization that is not resident-controlled. Public entity 
applicants will only be considered for geographic areas where there is 
no acceptable application from a nonprofit organization.
    HUD reserves the right to make selections out of rank order to 
provide for geographic distribution of funded OTAGs. The approach HUD 
will use, if it decides to implement this option, will be to award to 
the highest ranked applicant in a geographic area, and to fund the next 
highest ranked applicants in other geographic areas before

[[Page 23947]]

duplicating funding for any one geographic area.
    After all applications have been rated and ranked and selections 
have been made, HUD may require that all winners participate in 
negotiations to determine the specific terms of the Statement of Work 
and the grant budget. In cases where HUD cannot successfully conclude 
negotiations, or a selected applicant fails to provide HUD with 
requested information, awards will not be made. In such instances, HUD 
may elect to offer an award to the next highest ranking applicant.
    After award but before grant execution, winners will be required to 
provide a certification from an Independent Public Accountant or the 
cognizant government auditor, stating that the financial management 
system employed by the applicant meets prescribed standards for fund 
control and accountability required by OMB Circular A-133, Uniform 
Administrative Requirements for Grant Agreements With Institutions of 
Higher Education, Hospitals, and other Non-Profit Organizations, 
Revised OMB Circular A-110, or 24 CFR part 85 for States and local 
governments, or the Federal Acquisition Regulations (for all other 
applicants). This information should contain the name and telephone 
number of the Independent Auditor, cognizant Federal auditor, or other 
audit agency, as applicable.

IV. Application Submission Requirements

    An applicant must provide a completed application, including the 
following, as applicable:
    (1) OMB Standard Forms 424;
    (2) Summary of proposed activities and jurisdiction;
    (3) Information about the applicant, including its history, its 
staff and qualifications, and its experience;
    (4) Summary of plan to carry out proposed activities;
    (5) Evidence of tax-exempt status, if applicable;
    (6) Required Certifications relating to this grant; and
    (7) Other information/materials described in application kit.

V. Corrections of Deficient Applications

    The General Section of the SuperNOFA provides procedures for 
corrections to deficient applications.

VI. Environmental Requirements

    In accordance with 24 CFR 50.19(b) (2), (9) and (12), the 
assistance provided under this program relates only to information 
services, the provision of technical assistance, and supportive 
services and therefore is categorically excluded from the requirements 
of the National Environmental Policy Act and is not subject to 
environmental review under the related laws and authorities. This 
determination is based on the ineligibility of real property 
acquisition, construction, rehabilitation, conversion, leasing, or 
repair for HUD assistance under this program.

BILLING CODE 4210-32-P

  Federal Register / Vol. 63, No. 83 / Thursday, April 30, 1998 / 
Notices  

[[Page 23949]]


      
    [GRAPHIC] [TIFF OMITTED] TN30AP98.013
    

BILLING CODE 4210-32-C

  Federal Register / Vol. 63, No. 83 / Thursday, April 30, 1998 / 
Notices  

[[Page 23951]]



Funding Availability for the Local Lead Hazard Awareness Campaign

    Program Description: Approximately $700,000 is available for the 
Local Lead Hazard Awareness Campaign grant funding. The purpose of this 
campaign is to deliver public education and outreach services to 
increase lead awareness and promote lead poisoning prevention to 
identified target audiences in specific geographical areas. Grants will 
be awarded on a competitive basis to eligible organizations ranging 
between $20,000 to $700,000.
    Application Due Date: Completed applications must be submitted no 
later than 12:00 midnight, Eastern time on June 26, 1998 at the address 
shown below. HUD reserves the right to republish this program section 
of the SuperNOFA and announce additional due dates, or to make no 
awards at all if proposals are deficient. See the General Section of 
this SuperNOFA for specific procedures governing the form of 
application submission (e.g., mailed applications, express mail, 
overnight delivery, or hand carried).
    Address for Submitting Applications: Completed applications (one 
original and two copies) must be submitted to: U.S. Department of 
Housing and Urban Development, Office of Lead Hazard Control, 451 
Seventh Street, SW, B-133, Washington, DC 20410. When submitting your 
application, please refer to Local Lead Hazard Awareness Campaign 
grant, and include your name, mailing address (including zip code) and 
telephone number (including area code).
    For Application Kits, Further Information, and Technical 
Assistance: For Application Kits. For an application kit and 
supplemental information please call the HUD SuperNOFA Information 
Clearinghouse at 1-800-HUD-8929. Persons with hearing or speech 
impairments may call the Center's TTY at 1-800-HUD-2209. The 
application kit also will be available on the Internet at: http://
www.hud.gov. When requesting an application kit, please refer to Local 
Lead Hazard Awareness Campaign grant, and provide your name, address 
(including zip code), and telephone number (including area code).
    For Further Information and Technical Assistance. Dolline Hatchett, 
Community Outreach Officer, Office of Lead Hazard Control, 202-755-1785 
extension 114 (this is not a toll-free number).

Additional Information

I. Authority; Purpose; Amount Allocated; and Eligibility

(A) Authority

    The Local Lead Hazard Awareness Campaign is authorized under Title 
X, The Residential Lead-Based Paint Hazard Reduction Act of 1992 of the 
Housing and Community Development Act 1992, Pub. L. 102-550, section 
1011(g)(1).

(B) Purpose

    The Federal government has launched a national public education and 
outreach campaign to protect America's children from the health hazards 
of lead-based paint. The Campaign for a Lead-Safe America was announced 
by Mrs. Tipper Gore, the U.S. Department of Housing and Urban 
Development and the U.S. Environmental Protection Agency at a White 
House press conference on November 17, 1997. The Local Lead Hazard 
Awareness Campaign grant under this SuperNOFA is designed to conduct 
public education and outreach at a local level to increase lead-based 
paint hazard awareness and promote lead poisoning prevention to 
identified target audiences in specific geographical locations; 
increases lead hazard awareness through education and outreach to high-
risk communities and other identified audiences such as, parents, 
caretakers, pediatricians, children, pregnant women, building owners 
and renovation and maintenance personnel; and to develop coalitions to 
establish a workable framework to sustain lead education and outreach 
programs (beyond the life of the grant). This program also implements, 
in part, HUD's Departmental Strategy for achieving Environmental 
Justice pursuant to Executive Order 12898 (Federal Actions to Address 
Environmental Justice in Minority Populations and Low Income 
Populations).

(C) Amount Allocated

    Up to $700,000 will be made available on a competitive basis to 
eligible applicants with grant awards ranging between $20,000--
$700,000. The funding selections will be based on the factors for award 
described in this program section of the SuperNOFA. The amounts 
included in this program section of the SuperNOFA are subject to change 
based on funds availability.

(D) Eligible Applicants

    The following organizations shown below are eligible to receive 
funding under this program section of the SuperNOFA. Partnerships are 
encouraged, although the application must be made by a single entity.
    (1) Non-profit (must submit proof of non-profit status) and for-
profit organizations (for-profit firms are eligible; however, they are 
not allowed to include a fee in the cost proposal, i.e., no profit can 
be made from the project);
    (2) Institutions of higher learning;
    (3) State and local government;
    (4) Federally recognized Indian Tribes;
    (5) Trade and Professional Organizations; and
    (6) Real Estate Organizations.

(E) Eligible Activities

    Eligible activities to be funded under this program section of the 
SuperNOFA are those activities that deliver public education and 
outreach services to increase lead hazard awareness and promote lead 
poisoning prevention to identified target audiences in specific 
geographical areas. Efforts must include developing the infrastructure 
needed to implement media strategies to successfully market ``The 
Campaign for a Lead Safe America'' with assistance from the successful 
applicant(s) of the National Lead Hazard Awareness Campaign Grant. In 
addition, the activity must develop and implement various communication 
strategies to educate their target audience about the hazards of lead-
based paint and what communities can do to protect their families from 
being poisoned by lead. Each applicant must define its target audience, 
which can include, for example, the real estate community, parents, 
teachers, health care workers, daycare providers, the general public 
and other entities. Grantees are encouraged to conduct education and 
outreach using their affiliate chapters, if applicable, branch members 
or other outreach arms, to involve a full complement of local 
organizations/representatives from the community (such as local elected 
officials, and faith-based community groups). It is anticipated that 
this method of networking would have a two-fold approach to increase 
awareness about lead poisoning, as well as establish an infrastructure 
to sustain lead education and outreach activities well after the life 
of the grant. While the application must be submitted by a single 
entity, the applicant can propose a partnership of multiple 
organizations in order to accomplish the objectives of the project.

II. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, grantees

[[Page 23952]]

must meet the following program requirements:

(A) Applicants Limited to a Single Award

    Applicants are limited to one FY 1998 award under this program. If 
more than one eligible application is submitted by an applicant and 
both have an adequate score, the Department will select the application 
which the applicant has indicated as its preference for award.

(B) Independence of Applications

    There are no limits on the number of applications that can be 
submitted by a single applicant. However, each application must be 
independent and capable of being implemented without reliance on the 
selection of other applications submitted by the applicant or other 
applicants. This provision does not preclude an applicant from 
submitting a proposal which includes other organizations as 
subcontractors to the proposed project or activity.

(C) Project Starting Period

    The period of performance will be up to two years. The applicant 
must be able to commence work immediately.

(D) Page Limitation

    Applicants will be limited to 5 pages of narrative responses for 
each of the selection factors for a total of no more than 25 pages 
(this does not include forms or documents which are required under each 
factor). Unrequested items such as brochures, news articles and similar 
items included in the application will not be considered in the 
evaluation process. Applicants that exceed the 5-page limit for each 
factor will only have the first 5 pages evaluated for each factor. 
Failure to provide narrative responses to all selection criteria will 
result in an application being ineligible.

(E) Payment Contingent on Completion

    Payment to grantees will be contingent on the satisfactory 
completion of each project activity.

(F) Accessibility Requirements

    All activities and materials funded by the grant must be accessible 
to persons with disabilities in accordance with Section 504 of the 
Rehabilitation Act of 1973 and its implementing regulation at 24 CFR 
part 8.

(G) Type of Award

    HUD reserves the right to award a grant or cooperative agreement 
that is either cost reimbursable or fixed price.

(H) Funding Requests

    Applications that request funding in excess of the stated maximum 
award will be ineligible.

(I) Type of Project

    Projects aimed primarily at research or data gathering, including 
but not limited to surveys and questionnaires, will not be eligible 
under this program section of the SuperNOFA.

(J) Activities/Final Products Description

    All proposals must contain a description of how the activities or 
the final products relate to the program.

(K) In Order To Be Funded Applicants Must Have a Score of 80 Points or 
Better

    If applicants score less than 80 points, they may apply again later 
under any republication of this program section of the SuperNOFA. Not 
all applicants with scores above 80 will necessarily receive awards.

(L) Definitions

    The definitions that apply to this program section of the SuperNOFA 
are as follows:
    Federally recognized Tribal Government means the governing body or 
a governmental agency of any Indian tribe, band, nation or other 
organized group or community (including any Native village as defined 
in section 3 of the Alaska Native Claims Settlement Act, 85 Stat 688) 
certified by the Secretary of the Interior as eligible for the special 
programs and services provided by him through the bureau of Indian 
Affairs.
    Grantee means the recipient to which a grant is awarded and which 
is accountable for the use of the funds provided. The grantee is the 
entire legal entity even if only a particular component of the entity 
is designated in the grant award amount.
    High-Risk Communities refers to predominantly low-income 
communities which consist of housing built before 1978.
    Low-income is defined as families, including single persons, whose 
annual income does not exceed 80 percent of the median income for the 
area as determined by HUD with adjustments for smaller and larger 
families. However, HUD may establish income ceilings higher or lower 
than 80 percent of the median for the area on the basis of HUD findings 
that such variations are necessary because of prevailing levels of 
construction costs or fair market rents, or unusually high or low-
income families.
    States means any of the several States of the United States, the 
District of Columbia, the Commonwealth of Puerto Rico, any territory or 
possession of the United States, the District of Columbia, the 
Commonwealth of Puerto Rico, any territory or possession of the United 
States, or any agency or instrumentality of a State exclusive of local 
governments. The term does not include any public and Indian housing 
agency under United States Housing Act of 1937.

III. Application Selection Process

(A) Rating and Ranking

    (1) General. The selection process is structured to achieve the 
purpose set forth in Section I.(B) of this program section of the 
SuperNOFA.
    Each application for funding will be evaluated competitively, and 
the applicant will be assigned a score based on the Factors for Award 
used to evaluate and rate applications identified in sections III.(B) 
and (C) of this program section of the SuperNOFA. After eligible 
applications are evaluated based upon the factors for award and 
assigned a score, they will be organized by rank order. Awards will be 
funded in rank order.

(B) Factors for Award Used To Evaluate and Rate the Local Lead Hazard 
Awareness Campaign

    The factors for rating and ranking applicants, and maximum points 
for each factor, are provided below. The maximum number of points is 
100.
Rating Factor 1: Capacity of the Applicant and Relevant Organizational 
Experience (20 Points)
    This factor addresses the extent to which the applicant has the 
organizational resources necessary to successfully implement the 
proposed activities in a timely manner. The rating of the ``applicant'' 
or the ``applicant's organization and staff'' for technical merit or 
threshold compliance, unless otherwise specified, will include any sub-
contractors, consultants, sub-recipients, and members of consortia 
which are firmly committed to the project. In rating this factor HUD 
will consider the extent to which the proposal demonstrates:
    (1) The knowledge and experience of the overall proposed project 
director and staff, including the day-to-day program manager, 
consultants and contractors in planning and managing programs for which 
funding is being requested. Experience will be judged in terms of 
recent projects accomplished in the last two years which are similar in 
scope or nature directly relevant to the work activities proposed. If 
the

[[Page 23953]]

applicant has managed large, complex, interdisciplinary projects, the 
applicant should include information on them in its response.
    (2) The applicant has sufficient personnel, or will be able to 
quickly access qualified experts or professionals, to deliver the 
proposed activities in each proposed service area in a timely and 
effective fashion, including the readiness and ability of the applicant 
to immediately begin the proposed work program.
Rating Factor 2: Need/Extent of the Problem (20 Points)
    This factor addresses the extent to which there is a need for 
funding the proposed program activities to address a documented 
problem. In responding to this factor, applicants will be evaluated on:
    (1) The extent to which they document a critical level of need for 
the proposed activities. The documentation of need may include, but is 
not limited to, HUD reports and analyses, relevant economic and/or 
demographic data, government or foundation reports and studies, news 
articles, and other information which relate to the proposed project 
activities.
    (2) To the extent possible, the documented need is specific to the 
area where the project activity will be carried out. Specific attention 
must be paid to documenting need as it applies to the area where 
activities will be targeted, rather than the entire locality or State. 
If the target area is an entire locality or State, then documenting 
need at this level is appropriate. The applicant must demonstrate how 
specific community or neighborhood needs can be resolved through the 
activities proposed. The applicant should discuss how it took into 
account existing and planned efforts of government agencies, community-
based organizations, faith-based institutions, for-profit firms, and 
other entities to address such needs in the community(ies) to be 
served, how the proposed program compliments or supplements existing 
efforts and why additional funds are being requested.
Rating Factor 3: Soundness of Approach (40 Points)
    This factor addresses the quality and cost-effectiveness of the 
applicant's proposed statement of work. In evaluating this factor, HUD 
will consider the extent to which:
    (1) Proposed activities will coordinate with private and public 
sector organizations to deliver products and messages which will 
increase lead poisoning prevention awareness. Specifically, the 
applicant must describe the proposed activities that will reach and 
benefit members of the public, especially in high-risk communities and 
other identified audiences in Section I.(B) of this program section of 
the SuperNOFA.
    (2) Projects may be replicated in other communities. In responding 
to this subfactor, the applicant should describe the extent to which 
the proposed activities will yield long-term results and innovative 
strategies or ``best practices'' that can be readily disseminated to 
other organizations and State and local governments.
    (3) The proposed Statement of Work should address the following:
    (a) Clearly describes the specific tasks and subtasks to be 
performed and how feasibly they can be completed within the grant 
period;
    (b) Describes the immediate benefits of the project and indicators 
by which the benefits will be measured. Applicants must describe the 
methods they will use to determine the effectiveness of their local 
marketing strategies;
    (c) Provides for proposed tasks and sub-tasks that clearly provide 
technically competent methods for conducting the work;
    (d) Describes the extent to which the proposed design and size of 
the project or activity is appropriate to the achievement of the 
program funding purposes articulated in this program section of the 
SuperNOFA;
    HUD also will measure the soundness of the applicant's approach by 
assessing the following:
    (4) The cost estimates provided are reasonable and thorough and the 
program is cost effective in achieving the anticipated results of the 
proposed activities as well as in achieving significant impact; and
    (5) The applicant demonstrates capability in handling financial 
resources with adequate financial control procedures and accounting 
procedures. In addition, considerations will include findings 
identified in their most recent audits, internal consistency in the 
application of numeric quantities, accuracy of mathematical 
calculations and other available information on financial management 
capability.
    In the event of a tie between two proposals, the applicant with the 
highest score in Rating Factor 3 will be the successful grantee.
Rating Factor 4: Leveraging Resources (10 Points)
    This factor addresses the ability of the applicant to secure other 
resources which can be combined with HUD's program resources to achieve 
program purposes. In evaluating this factor HUD will consider the 
extent to which the applicant is partnering with other organizations to 
secure additional resources, including financial resources, to increase 
the effectiveness of the proposed program activities. (However, a 
match-in-kind funding is not required for this program.) If applicable, 
resources may include funding or in-kind contributions, such as 
services or equipment, allocated to the purpose(s) of the award the 
applicant is seeking. Resources may be provided by public or private 
nonprofit organizations, for-profit private organizations, or other 
entities willing to partner with the applicant. Applicants may also 
partner with other program funding recipients to coordinate the use of 
resources in the identified target area.
    Applicants shall provide evidence of leveraging/partnerships by 
including in the application letters of firm commitments, memoranda of 
understanding, or agreements to participate from those entities 
identified as partners in the application. Each letter of commitment, 
memoranda of understanding, or agreement to participate should include 
the organization's name, proposed level of commitment and 
responsibilities as they relate to the proposed program. The commitment 
must also be signed by an official of the organization legally able to 
make commitments on behalf of the organization.
Rating Factor 5: Comprehensiveness and Coordination (10 Points)
    This factor addresses the extent to which the applicant's program 
reflects a coordinated process of identifying needs and building a 
system to address those needs by using available HUD funding resources 
and other available resources. In evaluating this factor, HUD will 
consider:
    (1) The extent to which the application demonstrates that project 
activities will reach the targeted audience. This includes discussion 
of the applicant's analysis of the most appropriate forums, approaches 
and other factors to ensure that activities reach the broadest spectrum 
of intended beneficiaries. Additionally, the application should discuss 
procedures to be used to promote awareness of the services provided by 
the proposed project.
    (2) The extent to which the application demonstrates that the 
applicant will develop linkages with:
    (a) Other HUD funded program activities proposed or on-going; or
    (b) Other proposed or on-going State, Federal, local or privately 
funded

[[Page 23954]]

activities which taken as a whole, support and sustain a comprehensive 
system to address the purposes of this program.
    (3) Documentation of the extent to which policy priorities of the 
Department are furthered by the proposed activities. Examples of such 
policy priority areas that may be addressed are:
    (a) Increasing awareness among real estate agents about the 
importance of disclosing known lead-based paint hazards before they 
rent or sell property and
    (b) Increasing awareness to promote healthy homes;
    (C) Applicant Notification and Award Procedures.
    (1) Notification. No information will be available to applicants 
during the period of HUD evaluation of proposals, approximately 90 
days, except for HUD notification in writing or by telephone to those 
applicants that are determined to be ineligible or that have technical 
deficiencies in their applications that may be corrected. Selectees 
will be announced by HUD upon completion of the evaluation process, 
subject to final negotiations and award.
    (2) Funding Instrument. HUD expects to award a cost reimbursable or 
fixed price grant or cooperative agreement to each successful 
applicant. HUD reserves the right, however, to use the form of 
assistance agreement determined to be most appropriate after 
negotiation with the applicant.
    (3) Performance Sanctions. A recipient failing to comply with the 
procedures set forth in its grant agreement will be liable for such 
sanctions as may be authorized by law, including repayment of 
improperly used funds, termination of further participation in the 
Local Lead Hazard Awareness Campaign, and denial of further 
participation in programs of the Department or of any Federal agency.

IV. Application Submission Requirements

    In addition to the forms, certifications and assurances listed in 
Section II(G) of the General Section of this SuperNOFA, all 
applications must, at a minimum, contain the following items:

(A) Transmittal Letter

    Which identifies thus SuperNOFA, the program under the SuperNOFA 
for which funds are requested and the dollar amount requested for each 
program, and the applicant submitting the application.

(B) Summary Budget

    Identifying costs by cost category in accordance with the 
following:
    (1) Direct Labor by position or individual, indicating the 
estimated hours per position, the rate per hour, estimated cost per 
staff position and the total estimated direct labor costs;
    (2) Fringe Benefits by staff position identifying the rate, the 
salary base the rate was computed on, estimated cost per position, and 
the total estimated fringe benefit cost;
    (3) Material Costs indicating the item, unit cost per item, the 
number of items to be purchased, estimated cost per item, and the total 
estimated material costs;
    (4) Transportation Costs, as applicable. Where a local private 
vehicle is proposed to be used, costs should indicate the proposed 
number of miles, rate per mile of travel identified by item, and 
estimated total private vehicle costs. Where air transportation is 
proposed, costs should identify the destination(s), number of trips per 
destination, estimated air fare and total estimated air transportation 
costs. If other transportation costs are listed, the applicant should 
identify the other method of transportation selected, the number of 
trips to be made and destination(s), the estimated cost, and the total 
estimated costs for other transportation costs. In addition, applicants 
should identify per diem or subsistence costs per travel day and the 
number of travel days included, the estimated costs for per diem/
subsistence and the total estimated transportation costs;
    (5) Equipment Charges, if any. Equipment charges should identify 
the type of equipment, quantity, unit costs and total estimated 
equipment costs;
    (6) Consultant Costs, if applicable. Indicate the type, estimated 
number of consultant hours, rate per hour, total estimated consultant 
costs per consultant and total estimated costs for all consultants;
    (7) Subcontract Costs, if applicable. Indicate each individual 
subcontract and amount. For each proposed subcontract that is in excess 
of 10% of the grant amount, a separate budget which identifies costs by 
cost categories should be included;
    (8) Other Direct Costs listed by item, quantity, unit cost, total 
for each item listed, and total direct costs for the award;
    (9) Indirect Costs should identify the type, approved indirect cost 
rate, base to which the rate applies and total indirect costs. The 
submission should include the rationale used to determine costs and 
validation of fringe and indirect cost rates, if the applicant is not 
using an accepted, Federally negotiated indirect cost rate.

(C) Financial Management and Audit Information

    Each applicant must submit a certification from an Independent 
Public Accountant or the cognizant government auditor, stating that the 
financial management system employed by the applicant meets proscribed 
standards for fund control and accountability required by: OMB Circular 
A-133, Audits of States, Local Governments and Non-Profit 
Organizations; OMB Circular A-110 (as codified at 24 CFR Part 84), 
Grants and Agreements With Institutions of Higher Education, Hospitals, 
and other Non-Profit Organizations; and/or OMB Circular A-102 (as 
codified at 24 CFR Part 85) Administrative Requirements for Grants and 
Cooperative Agreements to State, Local and Federally Recognized Indian 
Tribal Governments. This information should contain the name and 
telephone number of the Independent Auditor, cognizant Federal auditor, 
or other audit agency, as applicable. Copies of the OMB Circulars may 
be obtained from EOP Publications, Room 2200, New Executive Office 
Building, Washington, DC 10503, telephone (202) 395-7332 (this is not a 
toll free number).

(D) Narrative Statement

    Addressing the Factors for Award in Section III.(B) of this program 
section of the SuperNOFA. Your narrative response should be numbered in 
accordance with each factor for award identified under Section III.(B), 
Items III.(B)(1) through III.(B)(4).

V. Corrections to Deficient Applications

    The General Section of this SuperNOFA provides the procedures for 
corrections to deficient applications.

VI. Environmental Requirements

    In accordance with 24 CFR 50.19(b) (2) and (4), the assistance 
provided under this program relates only to the provision of 
information services and public services concerned with health and 
therefore is categorically excluded from the requirements of the 
National Environmental Policy Act of 1969 and is not subject to 
environmental review under the related laws and authorities.

Appendix A to SuperNOFA--HUD Field Office Contact Information

    Not all Field Offices listed handle all of the programs 
contained in the SuperNOFAs. Applicants should look to the 
SuperNOFAs for contact numbers for information on

[[Page 23955]]

specific programs. Office Hour listings are local time. Persons with 
hearing or speech impediments may access any of these numbers via 
TTY by calling the Federal Relay Service at 1-800-877-8339.

New England

Connecticut State Office, One Corporate Center, 19th Floor, 
Hartford, CT 06103-3220, 860-240-4800, Office Hours: 8:00-4:30 PM
Maine State Office, 99 Franklin Street, Third Floor, Suite 302, 
Bangor, ME 04401-4925, 207-945-0467, Office Hours: 8:00 AM-4:30 PM
Massachusetts State Office, Thomas P. O'Neill, Jr. Federal Building, 
10 Causeway Street, Room 375, Boston, MA 02222-1092, 617-565-5234, 
Office Hours: 8:30 AM-5:00 PM
New Hampshire State Office, Norris Cotton Federal Building 275 
Chestnut Street, Manchester, NH 03101-2487, 603-666-7681, Office 
Hours: 8:00 AM-4:30 PM
Rhode Island State Office, Sixth Floor, 10 Weybosset Street, 6th 
floor, Providence, RI 02903-2808, 401-528-5230, Office Hours: 8:00 
AM-4:30 PM
Vermont State Office, U.S. Federal Building, Room 237, 11 Elmwood 
Avenue, P.O. Box 879, Burlington, VT 05402-0879, 802-951-6290, 
Office Hours: 8:00 AM-4:30 PM

New York/New England

Albany Area Office, 52 Corporate Circle, Albany, NY 12203-5121, 518-
464-4200, Office Hours: 7:30 AM-4:00 PM
Buffalo Area Office, Lafayette Court, 465 Main Street, Fifth Floor, 
Buffalo, NY 14203-1780, 716-551-5755, Office Hours: 8:00 AM-4:30 PM
Camden Area Office, Hudson Building, 800 Hudson Square, Second 
Floor, Camden, NJ 08102-1156, 609-757-5081, Office Hours: 8:00 AM-
4:30 PM
New Jersey State Office, One Newark Center, 13th Floor, Newark, NJ 
07102-5260, 973-622-7900, Office Hours: 8:00 AM-4:30 PM
New York State Office, 26 Federal Plaza, New York, NY 10278-0068, 
212-264-6500, Office Hours: 8:30 AM-5:00 PM

Mid Atlantic

Delaware State Office, 824 Market Street, Suite 850, Wilmington, DE 
19801-3016, 302-573-6300, Office Hours: 8:00 AM-4:30 PM
District of Columbia Office, 820 First Street, N.E., Suite 450, 
Washington, DC 20002-4205, 202-275-9200, Office Hours: 8:30 AM-4:30 
PM
Maryland State Office, City Crescent Building, 10 South Howard 
Street, Fifth Floor, Baltimore, MD 21201-2505, 410-962-2520, Office 
Hours: 8:30 AM-4:30 PM
Pennsylvania State Office, The Wanamaker Building, 100 Penn Square 
East, Philadelphia, PA 19107-3380, 215-656-0600, Office Hours: 8:30 
AM-4:30 PM
Pittsburgh Area Office, 339 Sixth Avenue, Sixth Floor, Pittsburgh, 
PA 15222-2515, 412-644-6428, Office Hours: 8:30 AM-4:30 PM
Virginia State Office, The 3600 Centre, 3600 West Broad Street, 
Richmond, VA 23230-4920, 804-278-4539, Office Hours: 8:30 AM-4:30 PM
West Virginia State Office, 405 Capitol Street, Suite 708, 
Charleston, WV 25301-1795, 304-347-7000, Office Hours: 8:00 AM-4:30 
PM

Southeast/Caribbean

Alabama State Office, Beacon Ridge Tower, 600 Beacon Parkway West, 
Suite 300, Birmingham, AL 35209-3144, 205-290-7617, Office Hours: 
8:00 AM-4:30 PM
Caribbean Office, New San Juan Office Building, 159 Carlos E. 
Chardon Avenue, San Juan, PR 00918-1804, 787-766-5201, Office Hours: 
8:00 AM-4:30 PM
Florida State Office, Gables One Tower, 1320 South Dixie Highway, 
Coral Gables, FL 33146-2926, 305-662-4500, Office Hours: 8:30 AM-5 
PM
Georgia State Office, Richard B. Russell Federal Building, 75 Spring 
Street, S.W., Atlanta, GA 30303-3388, 404-331-5136, Office Hours: 
8:00 AM-4:30 PM
Jacksonville Area Office, Southern Bell Tower, 301 West Bay Street, 
Suite 2200, Jacksonville, FL 32202-5121, 904-232-2627, Office Hours: 
8:00 AM-4:30 PM
Kentucky State Office, 601 West Broadway, P.O. Box 1044, Louisville, 
KY 40201-1044, 502-582-5251, Office Hours: 8:00 AM-4:45 PM
Knoxville Area Office, John J. Duncan Federal Building, 710 Locust 
Street, 3rd Floor, Knoxville, TN 37902-2526, 423-545-4384, Office 
Hours: 7:30 AM-4:15 PM
Memphis Area Office, One Memphis Place, 200 Jefferson Avenue, Suite 
1200, Memphis, TN 38103-2335, 901-544-3367, Office Hours: 8:00 AM-
4:30 PM
Mississippi State Office, Doctor A. H. McCoy Federal Building, 100 
West Capital Street, Room 910, Jackson, MS 39269-1096, 601-965-4738, 
Office Hours: 8:00 AM-4:45 PM
North Carolina State Office, Koger Building, 2306 West Meadowview 
Road, Greensboro, NC 27407-3707, 910-547-4000, Office Hours: 8:00 
AM-4:45 PM
Orlando Area Office, Langley Building, 3751 Maguire Blvd, Suite 270, 
Orlando, FL 32803-3032, 407-648-6441, Office Hours: 8:00 AM-4:30 PM
South Carolina State Office, Strom Thurmond Federal Building, 1835 
Assembly Street, Columbia, SC 29201-2480, 803-765-5592, Office 
Hours: 8:00 AM-4:45 PM
Tampa Area Office, Timberlake Federal Building Annex, 501 East Polk 
Street, Suite 700, Tampa, FL 33602-3945, 813-228-2501, Office Hours: 
8:00 AM-4:30 PM
Tennessee State Office, 251 Cumberland Bend Drive, Suite 200, 
Nashville, TN 37228-1803, 615-736-5213, Office Hours: 8:00 AM-4:30 
PM

Midwest

Cincinnati Area Office, 525 Vine Street, 7th Floor, Cincinnati, OH 
45202-3188, 513-684-3451, Office Hours: 8:00 AM-4:45 PM
Cleveland Area Office, Renaissance Building, 1350 Euclid Avenue, 
Suite 500, Cleveland, OH 44115-1815, 216-522-4065, Office Hours: 
8:00 AM-4:40 PM
Flint Area Office, The Federal Building, 605 North Saginaw, Suite 
200, Flint, MI 48502-2043, 810-766-5108, Office Hours: 8:00 AM-4:30 
PM
Grand Rapids Area Office, Trade Center Building, 50 Louis Street, 
NW, 3rd Floor, Grand Rapids, MI 49503-2648, 616-456-2100, Office 
Hours: 8:00 AM-4:30 PM
Illinois State Office, Ralph H. Metcalfe Federal Building, 77 West 
Jackson Blvd, Chicago, IL 60604-3507, 312-353-5680, Office Hours: 
8:15 AM-4:45 PM
Indiana State Office, 151 North Delaware Street, Indianapolis, IN 
46204-2526, 317-226-6303, Office Hours: 8:00 AM-4:45 PM
Michigan State Office, Patrick V. McNamara Federal Building, 477 
Michigan Avenue, Detroit, MI 48226-2592, 313-226-7900, Office Hours: 
8:00 AM-4:30 PM
Minnesota State Office, 220 Second St., South, Minneapolis, MN 
55401-2195, 612-370-3000, Office Hours: 8:00 AM-4:30 PM
Ohio State Office, 200 North High Street, Columbus, OH 43215-2499, 
614-469-5737, Office Hours: 8:00 AM-4:45 PM
Wisconsin State Office, Henry S. Reuss Federal Plaza, 310 West 
Wisconsin Avenue, Suite 1380, Milwaukee, WI 53203-2289, 414-297-
3214, Office Hours: 8:00 AM-4:30 PM

Southwest

Arkansas State Office, TCBY Tower, 425 West Capitol Avenue, Suite 
900, Little Rock, AR 72201-3488, 501-324-5931, Office Hours: 8:00 
AM-4:30 PM
Dallas Area Office, Maceo Smith Federal Building, 525 Griffin 
Street, Room 860, Dallas, TX 75202-5007, 214-767-8359, Office Hours: 
8:00 AM-4:30 PM
Houston Area Office, Norfolk Tower, 2211 Norfolk, Suite 200, 
Houston, TX 77098-4096, 713-313-2274, Office Hours: 7:45 AM-4:30 PM
Louisiana State Office, Hale Boggs Federal Building, 501 Magazine 
Street, 9th Floor, New Orleans, LA 70130-3099, 504-589-7201, Office 
Hours: 8:00 AM-4:30 PM
Lubbock Area Office, George H. Mahon Federal Building and United 
States Courthouse, 1205 Texas Avenue, Lubbock, TX 79401-4093, 806-
472-7265, Office Hours: 8:00 AM-4:45 PM
New Mexico State Office, 625 Truman Street, N.E., Albuquerque, NM 
87110-6472, 505-262-6463, Office Hours: 7:45 AM--4:30 PM
Oklahoma State Office, 500 West Main Street, Suite 400, Oklahoma 
City, OK 73102, 405-553-7401, Office Hours: 8:00 AM--4:30 PM
San Antonio Area Office, Washington Square, 800 Dolorosa Street, San 
Antonio, TX 78207-4563, 210-472-6800, Office Hours: 8:00 AM--4:30 PM
Shreveport Area Office, 401 Edwards Street, Suite 1510, Shreveport, 
LA 71101-3289, 318-676-3385, Office Hours: 7:45 AM--4:30 PM
Texas State Office, 1600 Throckmorton Street, P.O. Box 2905, Fort 
Worth, TX 76113-2905, 817-978-9000, Office Hours: 8:00 AM--4:30 PM
Tulsa Area Office, 50 East 15th Street, Tulsa, OK 74119-4030, 918-
581-7434, Office Hours: 8:00 AM--4:30 PM

Great Plains

Iowa State Office, Federal Building, 210 Walnut Street, Room 239, 
Des Moines, IA

[[Page 23956]]

50309-2155, 515-284-4512, Office Hours: 8:00 AM--4:30 PM
Kansas/Missouri State Office, Gateway Tower II, 400 State Avenue, 
Kansas City, KS 66101-2406, 913-551-5462, Office Hours: 8:00 AM--
4:30 PM
Nebraska State Office, Executive Tower Centre, 10909 Mill Valley 
Road, Omaha, NE 68154-3955, 402-492-3100, Office Hours: 8:00 AM--
4:30 PM
St. Louis Area Office, Robert A. Young Federal Building, 1222 Spruce 
Street, 3rd Floor, St. Louis, MO 63103-2836, 314-539-6583, Office 
Hours: 8:00 AM--4:30 PM

Rocky Mountains

Colorado State Office, 633--17th Street, Denver, CO 80202-3607, 303-
672-5440, Office Hours: 8:00 AM--4:30 PM
Montana State Office, Federal Office Building, 301 South Park, Room 
340, Drawer 10095, Helena, MT 59626-0095, 406-441-1298, Office 
Hours: 8:00 AM--4:30 PM
North Dakota State Office, Federal Building, P.O. Box 2483, Fargo, 
ND 58108-2483, 701-239-5136, Office Hours: 8:00 AM--4:30 PM
South Dakota State Office, 2400 West 49th Street, Suite I-201, Sioux 
Falls, SD 57105-6558, 605-330-4223, Office Hours: 8:00 AM--4:30 PM
Utah State Office, 257 Tower Building, 257 East--200 South, Suite 
550, Salt Lake City, UT 84111-2048, 801-524-3323, Office Hours: 8:00 
AM--4:30 PM
Wyoming State Office, Federal Office Building, 100 East B Street, 
Room 4229, Casper, WY 82601-1918, 307-261-6250, Office Hours: 8:00 
AM--4:30 PM

Pacific/Hawaii

Arizona State Office, Two Arizona Center, 400 North 5th Street, 
Suite 1600, Phoenix, AZ 85004, 602-379-4434, Office Hours: 8:00 AM--
4:30 PM
California State Office, Philip Burton Federal Building and U.S. 
Courthouse, 450 Golden Gate Avenue, San Francisco, CA 94102-3448, 
415-436-6550, Office Hours: 8:15 AM--4:45 PM
Fresno Area Office, 2135 Fresno Street, Suite 100, Fresno, CA 93721-
1718, 209-487-5033, Office Hours: 8:00 AM--4:30 PM
Hawaii State Office, Seven Waterfront Plaza, 500 Ala Moana 
Boulevard, Suite 500, Honolulu, HI 96813-4918, 808-522-8175, Office 
Hours: 8:00 AM--4:00 PM
Los Angeles Area Office, 611 West 6th Street, Suite 800, Los 
Angeles, CA 90017-3127, 213-894-8000, Office Hours: 8:00 AM--4:30 PM
Nevada State Office, 333 North Rancho Drive, Suite 700, Las Vegas, 
NV 89106-3714, 702-388-6525, Office Hours: 8:00 AM--4:30 PM
Reno Area Office, 1575 Delucchi Lane, Suite 114, Reno, NV 89502-
6581, 702-784-5356, Office Hours: 8:00 AM--4:30 PM
Sacramento Area Office, 777--12th Street, Suite 200, Sacramento, CA 
95814-1997, 916-498-5220, Office Hours: 8:00 AM--4:30 PM
San Diego Area Office, Mission City Corporate Center, 2365 Northside 
Drive, Suite 300, San Diego, CA 92108-2712, 619-557-5310, Office 
Hours: 8:00 AM--4:30 PM
Santa Ana Area Office, 3 Hutton Centre Drive, Suite 500, Santa Ana, 
CA 92707-5764, 714-957-3745, Office Hours: 8:00 AM--4:30 PM
Tucson Area Office, Security Pacific Bank Plaza, 33 North Stone 
Avenue, Suite 700, Tucson, AZ 85701-1467, 520-670-6237, Office 
Hours: 8:00 AM--4:30 PM

Northwest/Alaska

Alaska State Office, University Plaza Building, 949 East 36th 
Avenue, Suite 401, Anchorage, AK 99508-4135, 907-271-4170, Office 
Hours: 8:00 AM--4:30 PM
Idaho State Office, Plaza IV, 800 Park Boulevard, Suite 220, Boise, 
ID 83712-7743, 208-334-1990, Office Hours: 8:00 AM--4:30 PM
Oregon State Office, 400 Southwest Sixth Avenue, Suite 700, 
Portland, OR 97204-1632, 503-326-2561, Office Hours: 8:00 AM--4:30 
PM
Spokane Area Office, Farm Credit Bank Building, Eighth Floor East, 
West 601 First Avenue, Spokane, WA 99204-0317, 509-353-2510, Office 
Hours: 8:00 AM--4:30 PM
Washington State Office, Seattle Federal Office Building, 909 1st 
Avenue, Suite 200, Seattle, WA 98104-1000, 206-220-5101, Office 
Hours: 8:00 AM--4:30 PM

[FR Doc. 98-11392 Filed 4-29-98; 8:45 am]
BILLING CODE 4210-32-P