[Federal Register Volume 64, Number 244 (Tuesday, December 21, 1999)]
[Notices]
[Pages 71604-71607]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-32959]
-----------------------------------------------------------------------
DEPARTMENT OF AGRICULTURE
Rural Housing Service
Notice of Funding Availability (NOFA) for the section 515 Rural
Rental Housing Program for Fiscal Year 2000
AGENCY: Rural Housing Service (RHS), USDA.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: This NOFA announces the timeframe to submit applications for
section 515 Rural Rental Housing (RRH) loan funds and section 521
Rental Assistance (RA) for new construction, including applications for
the nonprofit set-aside for eligible nonprofit entities, the set-aside
for the most Underserved Counties and Colonias (Cranston-Gonzalez
National Affordable Housing Act), and the set-aside for Empowerment
Zones and Enterprise Communities (EZ/ECs) and Rural Economic Area
Partnership (REAP) communities. This document describes the methodology
that will be used to distribute funds, the application process,
submission requirements, and areas of special emphasis or
consideration.
DATES: The closing deadline for receipt of all applications, including
those for the set-asides, in response to this NOFA is 5:00 p.m., local
time for each Rural Development State office on February 22, 2000. The
application closing deadline is firm as to date and hour. RHS will not
consider any application that is received after the closing deadline.
Applicants intending to mail applications must provide sufficient time
to permit delivery on or before the closing deadline date and time.
Acceptance by a post office or private mailer does not constitute
delivery. Facsimile (FAX) and postage due applications will not be
accepted.
ADDRESSES: Applicants wishing to apply for assistance must contact the
Rural Development State office serving the place in which they desire
to submit an application for rural rental housing to receive further
information and copies of the application package. Rural Development
will date and time stamp incoming applications to evidence timely
receipt, and, upon request, will provide the applicant with a written
acknowledgment of receipt. A listing of Rural Development State
offices, their addresses, telephone numbers, and person to contact
follows:
Note: Telephone numbers listed are not toll-free.
Alabama State Office, Suite 601, Sterling Centre, 4121 Carmichael
Road, Montgomery, AL 36106-3683, (334) 279-3455, TDD (334) 279-3495,
James B. Harris
Alaska State Office, 800 West Evergreen, Suite 201, Palmer, AK
99645, (907) 745-2176, TDD (907) 745-6494, Ron Abbott
Arizona State Office, Phoenix Corporate Center, 3003 N. Central
Ave., Suite 900, Phoenix, AZ 85012-2906, (602) 280-8765, TDD (602)
280-8706, Johnna Vargas
Arkansas State Office, 700 W. Capitol Ave., Rm. 3416, Little Rock,
AR 72201-3225, (501) 301-3250, TDD (501) 301-3279, Cathy Jones
California State Office, 430 G Street, Agency 4169, Davis, CA 95616-
4169, (530) 792-5819, TDD (530) 792-5848, Millie Manzanedo
Colorado State Office, 655 Parfet Street, Room E100, Lakewood, CO
80215, (303) 236-2801 (ext. 122), TDD (303) 236-1590, ``Sam''
Mitchell
Connecticut
Served by Massachusetts State Office
Delaware and Maryland State Office, 5201 South Dupont Highway, PO
Box 400, Camden, DE 19934-9998, (302) 697-4353, TDD (302) 697-4303,
Pat Baker
[[Page 71605]]
Florida & Virgin Islands State Office, 4440 N.W. 25th Place, PO Box
147010, Gainesville, FL 32614-7010, (352) 338-3465, TDD (352) 338-
3499, Joseph P. Fritz
Georgia State Office, Stephens Federal Building, 355 E. Hancock
Avenue, Athens, GA 30601-2768, (706) 546-2164, TDD (706) 546-2034,
Wayne Rogers
Guam
Served by Hawaii State Office
Hawaii, Guam, & Western Pacific Territories State Office, Room 311,
Federal Building, 154 Waianuenue Avenue, Hilo, HI 96720, (808) 933-
8316, TDD (808) 933-8321, Abraham Kubo
Idaho State Office, Suite A1, 9173 West Barnes Dr., Boise, ID 83709,
(208) 378-5630, TDD (208) 378-5644, Roni Atkins
Illinois State Office, Illini Plaza, Suite 103, 1817 South Neil
Street, Champaign, IL 61820, (217) 398-5412 (ext. 256), TDD (217)
398-5396, Barry L. Ramsey
Indiana State Office, 5975 Lakeside Boulevard, Indianapolis, IN
46278, (317) 290-3100 (ext. 423), TDD (317) 290-3343, John Young
Iowa State Office, 873 Federal Building, 210 Walnut Street, Des
Moines, IA 50309, (515) 284-4493, TDD (515) 284-4858, Bruce McGuire
Kansas State Office, 1200 SW Executive Drive, PO Box 4653, Topeka,
KS 66604, (785) 271-2718, TDD (785) 271-2767, Gary Schumaker
Kentucky State Office, 771 Corporate Drive, Suite 200, Lexington, KY
40503, (606) 224-2500, TDD (606) 224-7422, Paul Higgins
Louisiana State Office, 3727 Government Street, Alexandria, LA
71302, (318) 473-7962, TDD (318) 473-7655 Yvonne R. Emerson
Maine State Office, 444 Stillwater Ave., Suite 2, PO Box 405,
Bangor, ME 04402-0405, (207) 990-9110, TDD (207) 942-7331, Dale D.
Holmes
Maryland
Served by Delaware State Office
Massachusetts, Connecticut, & Rhode Island State Office, 451 West
Street, Amherst, MA 01002, (413) 253-4333, TDD (413) 253-7068,
Donald Colburn
Michigan State Office, 3001 Coolidge Road, Suite 200, East Lansing,
MI 48823, (517) 324-5192, TDD (517) 337-6795, Philip Wolak
Minnesota State Office, 410 AgriBank Building, 375 Jackson Street,
St. Paul, MN 55101-1853, (651) 602-7820, TDD (651) 602-3799, Jackie
Goodnough
Mississippi State Office, Federal Building, Suite 831, 100 W.
Capitol Street, Jackson, MS 39269, (601) 965-4325, TDD (601) 965-
5850, Danny Ivy
Missouri State Office, 601 Business Loop 70 West, Parkade Center,
Suite 235, Columbia, MO 65203, (573) 876-0990, TDD (573) 876-9301,
Gary Frisch
Montana State Office, Unit 1, Suite B, 900 Technology Blvd.,
Bozeman, MT 59715, (406) 585-2515, TDD (406) 585-2562, MaryLou
Affleck
Nebraska State Office, Federal Building, room 152, 100 Centennial
Mall N, Lincoln, NE 68508, (402) 437-5567, TDD (402) 437-5093, Byron
Fischer
Nevada State Office, 1390 South Curry Street, Carson City, NV 89703-
9910, (775) 887-1222 (ext. 13), TDD (775) 885-0633, William L.
Brewer
New Hampshire State Office, Concord Center, Suite 218, Box 317, 10
Ferry Street, Concord, NH 03301-5004, (603) 223-6046, TDD (603) 229-
0536, Jim Fowler
New Jersey State Office, Tarnsfield Plaza, Suite 22, 790 Woodland
Road, Mt. Holly, NJ 08060, (609) 265-3631, TDD (609) 265-3687,
George Hyatt, Jr.
New Mexico State Office, 6200 Jefferson St., NE, Room 255,
Albuquerque, NM 87109, (505) 761-4944, TDD (505) 761-4938, Carmen N.
Lopez
New York State Office, The Galleries of Syracuse, 441 S. Salina
Street, Suite 357, Syracuse, NY 13202, (315) 477-6419, TDD (315)
477-6447, George N. Von Pless
North Carolina State Office, 4405 Bland Road, Suite 260, Raleigh, NC
27609, (919) 873-2062, TDD (919) 873-2003, Eileen Nowlin
North Dakota State Office, Federal Building, Room 208, 220 East
Rosser, PO Box 1737, Bismarck, ND 58502, (701) 530-2049, TDD (701)
530-2113, Kathy Lake
Ohio State Office, Federal Building, Room 507, 200 North High
Street, Columbus, OH 43215-2477, (614) 469-5165, TDD (614) 469-5757,
Gerald Arnott
Oklahoma State Office, 100 USDA, Suite 108, Stillwater, OK 74074-
2654, (405) 742-1070, TDD (405) 742-1007, Phil Reimers
Oregon State Office, 101 SW Main, Suite 1410, Portland, OR 97204-
3222, (503) 414-3325, TDD (503)414-3387, Dan Streng
Pennsylvania State Office, One Credit Union Place, Suite 330,
Harrisburg, PA 17110-2996, (717) 237-2281, TDD (717) 237-2261, Gary
Rothrock
Puerto Rico State Office, New San Juan Office Bldg., Room 501, 159
Carlos E. Chardon Street, Hato Rey, PR 00918-5481, (787) 766-5095
(ext. 254), TDD 1-800-274-1572, Lourdes Colon
Rhode Island
Served by Massachusetts State Office
South Carolina State Office, Strom Thurmond Federal Building, 1835
Assembly Street, Room 1007, Columbia, SC 29201, (803) 765-3432, TDD
(803) 765-5697, Larry D. Floyd
South Dakota State Office, Federal Building, Room 210, 200 Fourth
Street, SW, Huron, SD 57350, (605) 352-1132, TDD (605) 352-1147,
Dwight Wullweber
Tennessee State Office, Suite 300, 3322 West End Avenue, Nashvile,
TN 37203-1084, (615) 783-1300, TDD (615) 783-1397, G. Benson Lasater
Texas State Office, Federal Building, Suite 102, 101 South Main,
Temple, TX 76501, (254) 742-9755, TDD (254) 742-9712, Eugene G.
Pavlat
Utah State Office, Wallace F. Bennett Federal Building, 125 S. State
Street, Room 4311, Salt Lake City, UT 84147-0350, (801) 524-4324,
TDD (801) 524-3309, Robert L. Milianta
Vermont State Office, City Center, 3rd Floor, 89 Main Street,
Montpelier, VT 05602, (802) 828-6028, TDD (802) 223-6365, Sandra
Mercier
Virgin Islands
Served by Florida State Office
Virginia State Office, Culpeper Building, Suite 238, 1606 Santa Rosa
Road, Richmond, VA 23229, (804) 287-1582, TDD (804) 287-1753,
Carlton Jarratt
Washington State Office, Suite B, 1835 Black Lake Boulevard, SW,
Olympia, WA 98512-5715, (360) 704-7707, TDD (360) 704-7760, Deborah
Davis
Western Pacific Territories
Served by Hawaii State Office
West Virginia State Office, Federal Building, 75 High Street, Room
320, Morgantown, WV 26505-7500, (304) 291-4793, TDD (304) 284-5941,
Sue Snodgrass
Wisconsin State Office, 4949 Kirschling Court, Stevens Point, WI
54481, (715) 345-7620 (ext. 7145), TDD (715) 345-7614, Sherry Engel
Wyoming State Office, 100 East B, Federal Building, Room 1005, PO
Box 820, Casper, WY 82602, (307) 261-6315, TDD (307) 261-6333,
Charles Huff
FOR FURTHER INFORMATION CONTACT: For general information, applicants
may contact Linda Armour, Senior Loan Officer, Multi-Family Housing
Processing Division, Rural Housing Service, United States Department of
Agriculture, Stop 0781, 1400 Independence Avenue, SW, Washington, DC,
20250, telephone (202) 720-1753 (voice) (this is not a toll free
number) or (800) 877-8339 (TDD-Federal Information Relay Service).
SUPPLEMENTARY INFORMATION:
Programs Affected
The Rural Rental Housing program is listed in the Catalog of
Federal Domestic Assistance under Number 10.415, Rural Rental Housing
Loans. Rental Assistance is listed in the Catalog under Number 10.427,
Rural Rental Assistance Payments.
Explanation of 60-Day NOFA Application Deadline
The Agency is using a 60-day application period so that the NOFA
process will coincide with the time constraints placed upon our
customers by participating lenders and state housing finance agencies
(SHFA). Participating lenders such as commercial banks leverage their
funds with RHS funds. State organizations can provide Community
Development Block Grants (CDBG) and HOME funds as another means of
leveraging RHS funds, and SHFAs have certain timeframes whereby
applicants can apply for tax credits. Therefore, to assist as many of
our customers as possible in obtaining leveraged funds and to
participate with
[[Page 71606]]
other funding sources, a 60-day application period is provided.
Discussion of Notice
I. Authority and Distribution Methodology
A. Authority
Section 515 of the Housing Act of 1949 (42 U.S.C. 1485) provides
RHS with the authority to make loans to any individual, corporation,
association, trust, Indian tribe, public or private nonprofit
organization, consumer cooperative, or partnership to provide rental or
cooperative housing and related facilities in rural areas for very-low,
low, or moderate income persons or families, including elderly persons
and persons with disabilities. Rental assistance (RA) is a tenant
subsidy for very-low and low-income families residing in rural rental
housing facilities with RHS financing and may be requested with
applications for such facilities.
B. Distribution Methodology
The total amount available for FY 2000 for section 515 is
$114,322,076, of which $49,783,694 is available for new construction as
follows:
Section 515 new construction funds...................... $ 22,500,000
Set-aside for nonprofits................................ $ 10,288,987
Set-aside for Underserved Counties and Colonias......... $ 5,716,104
Set-aside for EZ, EC, and REAP zones.................... 9,778,603
State Rental Assistance (RA) designated reserve......... $ 1,500,000
C. Section 515 New Construction Funds
For fiscal year 2000, the Administrator has determined that it
would not be practical to allocate funds to States because of funding
limitations; therefore, section 515 new construction funds will be
distributed to States based on a National competition, as follows:
1. States will accept, review, score, and rank requests in
accordance with 7 CFR part 1944, subpart E. The scoring factors are:
(a) The presence and extent of leveraged assistance for the units
that will serve RHS income-eligible tenants at basic rents comparable
to those if RHS provided full financing, computed as a percentage of
the RHS total development cost (TDC). RHS TDC excludes non-RHS eligible
costs such as a developer's fee. Points will be awarded in accordance
with the following table. (0 to 20 points)
------------------------------------------------------------------------
Percentage of leveraging Points
------------------------------------------------------------------------
75 or more.................................................... 20
70-74......................................................... 19
65-69......................................................... 18
60-64......................................................... 17
55-59......................................................... 16
50-54......................................................... 15
45-49......................................................... 14
40-44......................................................... 13
35-39......................................................... 12
30-34......................................................... 11
25-29......................................................... 10
20-24......................................................... 9
15-19......................................................... 8
10-14......................................................... 7
5-9........................................................... 6
0-4........................................................... 5
------------------------------------------------------------------------
(b) The units to be developed are in a colonia, tribal land, EZ,
EC, or REAP community, or in a place identified in the State
Consolidated Plan or State Needs Assessment as a high need community
for multifamily housing. (20 points)
(c) In states where RHS has an on-going formal working
relationship, agreement, or Memorandum of Understanding (MOU) with the
State to provide State resources (State funds, State RA, HOME funds,
CDBG funds, or Low-Income Housing Tax Credits) for RHS proposals; or
where the State provides preference or points to RHS proposals in
awarding such State resources, 20 points will be provided to loan
requests that include such State resources. (National office
initiative)
(d) The loan request includes donated land meeting the provisions
of 7 CFR 1944.215(r)(4). (5 points)
2. The National office will rank all requests nationwide and
distribute funds to States in rank order, within funding and RA limits.
If insufficient funds or RA remain for the next ranked proposal, the
Agency will select the next ranked proposal that falls within the
remaining levels.
D. Applications That Do Not Require New Construction Rental
Assistance (RA)
For fiscal year 2000, limited new construction RA is available.
Therefore, the Agency is inviting applications to develop units in
markets that do not require RA. The market study for non-RA proposals
must clearly demonstrate a need and demand for the units by prospective
tenants at income levels that can support the proposed rents without
tenant subsidies. The proposed units must offer amenities that are
typical for the market area at rents that are comparable to
conventional rents in the market for similar units.
E. Set-asides
Loan requests will be accepted for the following set-asides:
1. Nonprofit set-aside. An amount of $10,288,987 has been set aside
for nonprofit applicants. All loan proposals must be in designated
places in accordance with 7 CFR part 1944, subpart E. A State or
jurisdiction may receive one proposal from this set-aside, which cannot
exceed $1 million. A State could get additional funds from this set-
aside if any funds remain after funding one proposal from each
participating State. If there are insufficient funds to fund one loan
request from each participating State, selection will be made by point
score. If there are any funds remaining, they will revert to the
National office reserve. Funds from this set-aside will be available
only to nonprofit entities, which may include a partnership that has as
its general partner a nonprofit entity or the nonprofit entity's for-
profit subsidiary which will be receiving low-income housing tax
credits authorized under section 42 of the Internal Revenue Code of
1986. To be eligible for this set-aside, the nonprofit entity must be
an organization that:
(a) Will own an interest in the project to be financed and will
materially participate in the development and the operations of the
project;
(b) Is a private organization that has nonprofit, tax exempt status
under section 501(c)(3) or section 501(c)(4) of the Internal Revenue
Code of 1986;
(c) Has among its purposes the planning, development, or management
of low-income housing or community development projects; and
(d) Is not affiliated with or controlled by a for-profit
organization.
2. Underserved counties and colonias set-aside. An amount of
$5,716,104 has been set aside for loan requests to develop units in the
100 most needy underserved counties or colonias as defined in section
509(f) of the Housing Act of 1949.
3. EZ, EC, and REAP set-aside. An amount of $9,778,603 has been set
aside to develop units in EZ, EC, or REAP communities. Loan requests
that are eligible for this set-aside may also be eligible for regular
section 515 funds as a high-need community. The state must indicate on
the list submitted to the National office if the request is eligible
for the EZ, EC, and REAP set-aside and regular section 515 funds. If
requests for this set-aside exceed available funds, selection will be
made by point score.
F. Prior Year Applications
The Rural Housing Service published a final rule in the Federal
Register (62 FR 67216) on December 23, 1997 outlining its application
and review process for section 515 Rural Rental
[[Page 71607]]
Housing new construction program. The implementation proposal for those
regulations provided that some applicants who filed acceptable loan
requests in prior years could proceed with their loan requests provided
they were in compliance with the newly published regulations, until the
beginning of FY 2000. Therefore, effective this fiscal year, prior year
applications will no longer be processed. All loan requests must be
submitted under this NOFA.
II. Funding Limits
A. Individual loan requests may not exceed $1 million. This applies
to regular section 515 funds and set-aside funds. The Administrator may
make an exception to this limit in cases where a State's average total
development costs exceed the National average by 50 percent or more.
B. No State may receive more than $2.5 million from regular section
515 funds. Reserve funds, including set-aside funds, are not included
in this cap.
III. Rental Assistance (RA)
New construction RA will be held in the National office for use
with section 515 Rural Rental Housing loans. RA may be requested by
applicants, except for non-RA requests in accordance with section I.D.
above.
IV. Application Process
All applications for section 515 new construction funds must be
filed with the appropriate Rural Development State office and must meet
the requirements of 7 CFR part 1944, subpart E and section V of this
NOFA. Incomplete applications will not be reviewed and will be returned
to the applicant. No application will be accepted after 5:00 p.m.,
local time, on the application deadline previously mentioned unless
that date and time is extended by a Notice published in the Federal
Register.
V. Application Submission Requirements
A. Each application shall include all of the information,
materials, forms and exhibits required by 7 CFR part 1944, subpart E as
well as comply with the provisions of this NOFA. Applicants are
encouraged, but not required, to include a checklist and to have their
applications indexed and tabbed to facilitate the review process. The
Rural Development State office will base its determination of
completeness of the application and the eligibility of each applicant
on the information provided in the application.
B. Applicants are advised to contact the Rural Development State
office serving the place in which they desire to submit an application
for the following:
1. Application information;
2. Any restrictions on funding availability (applications that
exceed the National limit of $1 million will be returned to the
applicant); and
3. List of designated places for which applications for new section
515 facilities may be submitted.
VI. Areas of Special Emphasis or Consideration
A. The selection criteria contained in 7 CFR part 1944, subpart E
includes two optional criteria, one set by the National office and one
by the State office. This fiscal year, the National office initiative
will be used in the selection criteria as follows: In states where RHS
has an on-going formal working relationship, agreement, or Memorandum
of Understanding (MOU) with the State to provide State resources (State
funds, State RA, HOME funds, CDBG funds, or LIHTC) for RHS proposals;
or where the State provides preference or points to RHS proposals in
awarding these State Resources, 20 points will be provided to loan
requests that include such State resources. No State selection criteria
will be used this fiscal year.
B. $10,288,987 is available nationwide in a set-aside for eligible
nonprofit organizations as defined in 42 U.S.C. 1485(w).
C. $5,716,104 is available nationwide in a set-aside for the 100
most Underserved Counties and Colonias.
D. $9,778,603 is available nationwide in a set-aside for EZ, EC,
and REAP communities.
E. $1,500,000 million is available nationwide in a set-aside for
States with viable State Rental Assistance (RA) programs. In order to
participate, States are to submit specific written information about
the State RA program, i.e., a memorandum of understanding,
documentation from the provider, etc., to the National office.
Dated: December 10, 1999.
Eileen M. Fitzgerald,
Acting Administrator, Rural Housing Service.
[FR Doc. 99-32959 Filed 12-20-99; 8:45 am]
BILLING CODE 3410-XV-U