[Federal Register Volume 67, Number 58 (Tuesday, March 26, 2002)]
[Notices]
[Pages 13826-14625]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-6710]



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Part II





Department of Housing and Urban Development





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Super Notice of Funding Availability (SuperNOFA) for HUD's 
Discretionary Grants Programs for Fiscal Year 2002; Notice

  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4723-N-01]


Super Notice of Funding Availability (SuperNOFA) for HUD's 
Discretionary Grant Programs for Fiscal Year 2002

AGENCY: Office of the Secretary, HUD.

ACTION: Super Notice of Funding Availability (SuperNOFA) for HUD 
Discretionary Grant Programs.

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SUMMARY: This Fiscal Year (FY) 2002 SuperNOFA announces the 
availability of approximately $2.2 billion in HUD program funds 
covering 41 grant categories within programs operated and administered 
by HUD offices. The General Section of this SuperNOFA provides the 
application procedures and requirements that are applicable to all the 
programs in this SuperNOFA. The Program Section of this SuperNOFA 
provides a description of the specific programs for which funding is 
made available and describes any additional procedures and requirements 
that are applicable to a specific program. Please be sure you read both 
the General Section and the Program Section of this SuperNOFA to ensure 
you respond to all the requirements for funding.

APPLICATION DUE DATES: The information in this ``APPLICATION DUE 
DATES'' section applies to all programs that are part of this 
SuperNOFA. You, the applicant, must submit a completed application to 
HUD on or before the respective program's application due date. 
Application due dates can be found in the HUD FY 2002 SuperNOFA Funding 
Chart located in this General Section. Information for each program is 
reiterated in the appropriate Program Section of this SuperNOFA. HUD 
will not accept any applications sent by facsimile (fax).

ADDRESSES AND APPLICATION SUBMISSION PROCEDURES:
    New Security Procedures. HUD has implemented new security 
procedures that apply to application submission. Please read the 
following instructions carefully and completely. HUD's new policy is:
     No hand deliveries will be accepted;
     Applications sent to the Robert C. Weaver HUD Headquarters 
Building or the Public and Indian Housing Grants Management Center may 
only be shipped using DHL, Falcon Carrier, Federal Express (FedEx), 
United Parcel Service (UPS), or United States Postal Service (USPS);
     Applications submitted to HUD Field Offices must be sent 
via the USPS;
     All mailed applications must be postmarked on or before 
midnight of their due date and received within 15 days of the due date; 
and,
     All applicants who mail applications must have a 
Certificate of Mailing (USPS Form 3817) as their documentary evidence 
that the application was filed on time.
    Addresses. You, the applicant, must submit a complete application 
and the required number of copies to the locations identified in the 
Program Section of this SuperNOFA. When submitting your application, 
you must refer to the name of the program for which you are seeking 
funding.
    If your application is due to the Robert C. Weaver Building, HUD 
Headquarters, you must send the application to the following address: 
Department of Housing and Urban Development, 451 Seventh Street, SW, 
Washington, DC 20410. Applications submitted to the Public and Indian 
Housing Grants Management Center (GMC) should be addressed to Grants 
Management Center, 501 School Street, SW, Suite 800, Washington, DC 
20024. (See the HUD FY 2002 SuperNOFA Funding Chart or Program Section 
for room location and additional information regarding the addresses 
for application submission.) Please make sure that you note the correct 
room number to ensure that your application is not misdirected. 
Addresses for HUD Field Offices are listed in Appendix A-1 of the 
General Section of this SuperNOFA.
    Applications Sent by Overnight/Express Mail Delivery to HUD 
Headquarters or the Public and Indian Housing Grants Management Center. 
If your application is sent by overnight delivery or express mail to 
HUD Headquarters or the Public and Indian Housing Grants Management 
Center, your application will be filed on time if it is received before 
or on the application due date, or when you submit documentary evidence 
that your application was placed in transit with the overnight 
delivery/express mail service no later than the application due date. 
Delivery must be made during HUD's Headquarters business hours, between 
8:30 AM and 5:30 PM, Eastern Time, Monday through Friday.
    Copies of Applications. The Program Section of this SuperNOFA may 
specify that to facilitate the processing and review of your 
application, one or more copies of the application also must be sent to 
an additional HUD location (for example, a copy to the HUD Field Office 
and the original application to HUD Headquarters). Please follow the 
directions of the Program Section to ensure that you submit your 
application to the proper location(s). If you are required to submit 
applications to HUD Headquarters and Field Offices, timeliness of 
submission will be based on the time your application is received at 
HUD Headquarters.

FOR APPLICATION KITS, FURTHER INFORMATION AND TECHNICAL ASSISTANCE: The 
information in this section is applicable to all programs that are part 
of this SuperNOFA. This section describes how you may obtain 
application kits, additional information about the SuperNOFA, and 
technical assistance. A guidebook to HUD programs titled ``Connecting 
with Communities: A User's Guide to HUD Programs and the 2002 SuperNOFA 
process'' is available from the SuperNOFA Information Center and the 
HUD website at www.hud.gov. This guidebook provides a brief description 
of all HUD programs, a description of the SuperNOFA programs, eligible 
applicants for these programs, and examples of how programs can work in 
combination to serve local community needs. To obtain a guidebook, 
application kit, or print copy of the General Section or program NOFA, 
call the SuperNOFA Information Center at 1-800-HUD-8929 or 1-800-HUD-
2209 (TTY). Copies of all documents related to the SuperNOFA may be 
downloaded from HUD's website, www.hud.gov.
    For Application Kits and SuperNOFA User Guide. HUD is pleased to 
provide you with instructions for applying for all HUD programs that 
are part of this SuperNOFA. The instructions are designed to guide you 
through the application process and ensure that your application 
addresses all requirements for the program funding you are seeking. For 
some announcements of funding availability in this SuperNOFA, HUD 
provides an application kit; for others, no application kit is 
required. Each Program Section will specify whether there is an 
application kit, or only the instructions in the SuperNOFA.
    Please note that if there is a discrepancy between information 
provided in the application kit and the information provided in the 
published SuperNOFA, the information in the published SuperNOFA 
prevails. Therefore, please be sure to review your application 
submission against the requirements in the SuperNOFA.
    You may request general information and application kits from the 
SuperNOFA Information Center (1-800-HUD-8929 or 1-800-HUD-2209 (TTY)). 
When requesting an application kit, please refer to the name of the 
program

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you are interested in. Be sure to provide your name, address (including 
zip code), and telephone number (including area code). To ensure 
sufficient time to prepare your application, requests for application 
kits can be made immediately following publication of the SuperNOFA. 
The SuperNOFA Information Center opens for business simultaneously with 
the publication of the SuperNOFA. You can also obtain information on 
this SuperNOFA and application kits for this SuperNOFA through the HUD 
website, www.hud.gov.
    Consolidated Application Submissions. If you, the applicant, would 
like to apply for funding under more than one program in this 
SuperNOFA, you need only submit one original SF-424 and set of 
assurances and certifications, accompanied by the HUD-424M provided in 
this SuperNOFA. Once you have submitted one original set of forms, 
certifications, and assurances, you need send only copies of these 
standard items with any additional application you submit. Make sure to 
specify the correct program, however, on each copy of the SF-424 
application form and indicate the program to which you have submitted 
the original signature forms for the standard assurances and 
certifications. Additionally, the Program Section may specify 
additional forms, certifications, assurances, or other information that 
may be required for a particular program in this SuperNOFA.
    For Further Information. For answers to questions you may have 
about this SuperNOFA, you have several options. You may call the 
SuperNOFA Information Center at 1-800-HUD-8929 or 1-800-HUD-2209 (TTY) 
between the hours of 9:00 AM and 8:00 PM Eastern Time or you may 
contact the HUD Office or Processing Center serving your area at the 
telephone number listed in the SuperNOFA for the program in which you 
are interested. You may also obtain information on this SuperNOFA and 
application kits for this SuperNOFA through the HUD website, 
www.hud.gov.
    For Technical Assistance. Before the application due date, HUD 
staff will be available to provide you with general guidance and 
technical assistance about this SuperNOFA. However, HUD staff are not 
permitted to assist in preparing your application. Following selection 
of applicants, but before awards are made, HUD staff are 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.
    Satellite Broadcasts. HUD will hold information broadcasts via 
satellite for potential applicants to learn more about the programs in 
this SuperNOFA and preparation of the applications. For more 
information about the date and time of each broadcast, consult the HUD 
website, www.hud.gov.
    Streamlining Grants. The Federal Financial Assistance Management 
Improvement Act of 1999 (Public Law 106-107) directs each Federal 
agency to develop and implement a plan that, among other things, 
streamlines and simplifies the application, administrative, and 
reporting procedures for Federal financial assistance programs 
administered by the agency. This law also requires the Director of the 
Office of Management and Budget (OMB) to direct, coordinate, and assist 
Federal agencies in establishing (1) a common application and reporting 
system and, (2) an interagency process for addressing ways to 
streamline and simplify Federal financial assistance application and 
administrative procedures and reporting requirements for program 
applicants.
    This law also requires OMB to consult with the grantee community as 
it works with the Federal agencies to develop and implement the course 
of action that would be undertaken by the Federal agencies to establish 
an electronic site for accessing grant information and applications. 
Over the last year, HUD has held outreach sessions informing you of the 
goals of this new law and seeking your input as the Federal agencies 
work together to achieve implementation. To find out about the work 
being done by the Federal agencies to streamline and consolidate the 
grant application and reporting requirements please go to 
www.iaegc.gov.
    HUD is an active member in the Federal agency working group working 
to streamline grant application requirements and has established a 
website where you can obtain information about all grant programs 
within HUD. You can access this site from our homepage at www.hud.gov 
by clicking on ``HUD Program inventory.'' In the future, HUD plans to 
link this site to grant information of other Federal agencies. If you 
are interested in finding out more about the ``Federal Commons'' and 
the work being done by other agencies, please visit the Inter-Agency 
Electronic Grants Committee (IAEGC) website at www.fedcommons.gov.

Introduction to the FY 2002 SuperNOFA

HUD'S FY 2002 SUPERNOFA PROCESS

Background

    This is the fifth year HUD is issuing a SuperNOFA for the majority 
of its competitive grant programs and other financial assistance 
programs. The SuperNOFA announces the availability of the majority of 
HUD's discretionary funds. The document is designed to simplify the 
application process, bring consistency and uniformity to the 
application and selection process, and make it easier to find funding 
opportunities available from the Department because they are released 
early in the year and at the same time. Equally important, the 
SuperNOFA approach is designed to increase the ability of applicants to 
consider and apply for funding under a wide variety of HUD programs. 
The SuperNOFA provides a ``menu'' of HUD programs. From this menu, 
communities will be made aware of funding available for their 
jurisdictions. Non-profit organizations, public housing agencies, local 
and State governments, tribal governments and tribally-designated 
housing entities, veterans service organizations, faith-based and other 
community-based non-profit organizations, and others will be able to 
identify the programs for which they are eligible for funding.
    By providing access to information about available funding at one 
time, HUD believes applicants are better able to coordinate service 
within communities to avoid duplication and more efficiently serve 
those most in need of assistance.

HUD's Strategic Goals

    As part of its internal strategic planning processes, the 
Department has re-assessed its policy goals and priorities for the next 
five years and, as a result, is in the process of updating the HUD 
Strategic Plan framework. Activities funded through this SuperNOFA are 
meant, to the extent practicable, to support the new Strategic Goals 
described below. Note that these goals reflect an interim change to 
HUD's Strategic Plan. In FY 2002, the Department will fully revise its 
Strategic Plan after consultation with stakeholders and Congress.
    Strategic Goal 1: Make the home-buying process less complicated, 
the paperwork less demanding and the mortgage process less expensive. 
This is a new Strategic Goal that will help to focus the Department's 
work in

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enforcing the Real Estate Settlement Procedures Act and countering 
predatory lending. HUD's activities under this Strategic Goal will help 
to make homeownership more accessible and less expensive for millions 
of families and help protect them from predatory lending.
    Strategic Goal 2: Help families move from rental housing to 
homeownership. HUD's second Strategic Goal focuses on HUD's activities 
to expand homeownership opportunities for minorities, persons with 
disabilities, and other Americans, and to help families that rent be 
able to afford the costs of rental housing.
    Strategic Goal 3: Improve the quality of public housing and provide 
more choices for its residents. HUD's goals for its public and assisted 
housing programs go beyond simply providing affordable housing. HUD 
also strives to improve the quality of the housing opportunities 
provided to families in public and assisted housing. This Goal focuses 
on improving the management accountability and physical conditions of 
public and assisted housing and on maximizing the potential of these 
programs to help families make progress towards self-sufficiency and 
become homeowners.
    Strategic Goal 4: Strengthen and expand faith-based and other 
community partnerships that enhance communities. HUD has a long and 
rich history of cooperating with faith-based and other community-based 
organizations to address the needs of underserved communities, 
including the needs of those Americans for whom homelessness, the lack 
of affordable housing, and limited alternatives for special needs 
housing lead to despair and hopelessness. Building on this history, HUD 
plans to strengthen and expand its partnerships with faith-based and 
other community-based groups to take further advantage of their 
capacity to provide quality services to communities and families.
    Strategic Goal 5: Effectively address the challenge of 
homelessness. HUD is the primary agency responsible for providing 
housing and related resources to prevent homelessness and help homeless 
families and individuals move to permanent housing. HUD has a number of 
objectives with respect to its homelessness work, including that of 
ending chronic homelessness in 10 years.
    Strategic Goal 6: Embrace high standards of ethics, management and 
accountability. In order to be effective in meeting HUD's other 
Strategic Goals, it is essential that HUD and HUD's partners embrace 
high standards of ethics, management, and accountability. The Secretary 
has established improved ethics and accountability of HUD staff and 
HUD's partners as ``perhaps the most important'' of HUD's priorities. 
This Goal cuts across all of HUD's programs and applies to each HUD 
employee and to every organization that partners with HUD to help HUD 
accomplish its mission.
    Strategic Goal 7: Ensure equal opportunity and access to housing. 
HUD's core mission has always been to help families find affordable and 
decent housing. This mission will be fulfilled when all Americans are 
given an equal opportunity to buy or rent housing that matches their 
individual needs. Unfortunately, instances of discrimination against 
minorities, architectural barriers to persons with disabilities, and a 
lack of housing options for the elderly have all combined to exclude 
some Americans from enjoying the fruits of America's prosperity. HUD is 
committed to ending the practice of discrimination through enforcement 
of fair housing laws as well as through educating lenders, landlords, 
and tenants in complying with the laws.
    Strategic Goal 8: Support community and economic development 
efforts. HUD funds a variety of programs that help to support the 
community and economic development efforts of state and local 
communities. The largest of these programs is the Community Development 
Block Grant program. Other programs include Section 108 loan 
guarantees, the Brownfields Economic Development Initiative, the Lead 
Hazard Reduction and the Healthy Homes Program, the University 
Partnership Programs, the Indian Community Development Block Grant and 
Renewal Communities, Empowerment Zones and Enterprise Communities. 
Additionally, HUD's Native eDGE initiative supports a telephone call 
center, a publications clearinghouse, website, and a technical 
assistance information center so that tribes, Native Americans, lending 
institutions, and private businesses wishing to do business with Tribal 
governments and entities can collaborate to promote economic growth.

Changes in the SuperNOFA Process for FY 2002

    Rating Factors. Applications for most programs in this SuperNOFA 
will be rated according to five standard Rating Factors (see Section 
III (C) below). For FY 2002, Rating Factor 5, ``Coordination, Self-
Sufficiency and Sustainability,'' has been expanded to reflect this 
Administration's priority for fostering self-sufficiency.
    Coordination means you, the applicant, are working with other 
organizations that are not directly participating in your proposed work 
activities and have agreed to share information and outcomes that 
result from the successful completion of your activities, so that the 
other organizations and members of the community can benefit from the 
results and improve the overall success of related activities within 
the community. The goal of coordination is to ensure that programs do 
not operate in isolation. Coordination looks beyond the support given 
to the applicant's program claimed by the applicant under Rating Factor 
4, Leveraging, and asks ``How does the applicant's program fit into 
other activities and programs that are being carried out by others in 
the community?''
    Self-sufficiency refers to the extent to which proposed activities 
can result in increased independence and empowerment. Increased 
independence can result from expanded job opportunities, homeownership, 
or housing in a wider range of neighborhoods, additional educational 
opportunities, and improved living environments.
    Sustainability refers to two distinct issues: (1) The potential for 
an applicant organization to become financially self-sustaining; and, 
(2) the potential of a specific project or activity to be sustained 
into the future absent any HUD funding. Just as a business plan 
presents to a commercial lender an outline of a course of action for an 
organization to become profitable, the information in the application 
for this factor will outline a realistic path for the applicant to 
become financially independent without a need for continued HUD 
funding.
    Applicant Debriefing. Beginning not less than 30 days after the 
awards for assistance are announced in the Federal Register, and for at 
least 120 days after awards for assistance are announced, HUD will 
provide any requesting applicant with a debriefing on their 
application. All requests for debriefing must be made in writing or by 
email by the authorized official whose signature appears on the SF-424 
or his or her successor in office. Submit your request to the person or 
organization identified as the Contact under the section entitled 
``Further Information and Technical Assistance'' or as specified in the 
Program Section of the SuperNOFA under which you applied for 
assistance. Information provided to you during your debriefing will 
include, at a

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minimum, the final score you received for each rating factor, final 
evaluator comments for each rating factor, and the final assessment 
indicating the basis upon which assistance was provided or denied.
    Points Deducted for Poor Performance. As part of HUD's efforts to 
place greater emphasis on accountability, applicants who received prior 
awards and failed to meet their program goals may have points deducted 
from their rating score. Specific details on how points will be 
deducted are included, as applicable, in the Program Section of the 
SuperNOFA.
    New Programs and Changes to Programs. The FY 2002 SuperNOFA 
includes the following new funding opportunities:
     Housing Counseling Services Targeting the Colonias;
     Public Housing Resident Opportunity and Self-Sufficiency 
(ROSS) for Neighborhood Networks Program; and
     Public Housing Resident Opportunity and Self-Sufficiency 
(ROSS) for Homeownership Supportive Services Program.
    Funding opportunities that have changed significantly or been 
renamed include:
     Housing Choice Voucher (HCV) Family Self-Sufficiency (FSS) 
Program Coordinators Program, replacing Family Self Sufficiency (FSS) 
Program Coordinators;
     Healthy Homes Demonstration Program, replacing the Healthy 
Homes Demonstration and Education Program of Fiscal Year 2001; and
     Healthy Homes and Lead Technical Studies, replacing the 
program for Healthy Homes Research.
    Not Available for FY 2002. Funding opportunities that were part of 
the FY 2001 SuperNOFA but are not available in FY 2002 are:
     Public Housing Drug Elimination--Technical Assistance 
Program (DETAP);
     Indian Housing Drug Elimination Program;
     Drug Elimination New Approach Anti-Drug Program;
     Drug Elimination Grants for Multifamily Low Income 
Housing; and,
     Community Housing Development Organization (CHDO) TA.
    Funding will be announced later in the year for:
     Revitalization of Severely Distressed Public Housing (HOPE 
VI);
     Homeownership Research Studies;
     Lead Elimination Action Program (LEAP); and
     Urban Scholars Fellowship Program.
    Funding Notices Issued Prior to the SuperNOFA. Due to statutory 
deadlines for the obligation of funds or for other reasons, there are 
several programs that have been issued prior to the SuperNOFA. These 
include:
     Fair Share Allocation of Incremental Voucher Funding;
     Community Development Work Study Program; and
     Capacity Building for Community Development and Affordable 
Housing. Information on these programs is available on the HUD website 
at www.hud.gov.
    Changes to the HOPE VI Program. As indicated earlier, HOPE VI is 
not included in the FY 2002 SuperNOFA. The HOPE VI NOFA will be 
published separately in the Federal Register at a later date and will 
be posted on the HUD website, www.hud.gov. Each eligible PHA will 
receive a HOPE VI Application Kit that will also include the published 
NOFA. HUD anticipates that the FY 2002 HOPE VI NOFA will reflect some 
significant changes. Thresholds and rating criteria are being re-
examined with a particular emphasis on issues of project readiness, 
extent of severe distress, leverage, grant amounts and distribution, 
homeownership, and relocation-related services.
    Changes to Policy Priorities. Section VI of this SuperNOFA has been 
updated to reflect the changes in policy priorities. Please be sure to 
read the section carefully. Among the new priorities are the inclusion 
of faith-based and other community-based organizations in program 
development and implementation, and an emphasis on services to the 
Colonias. This SuperNOFA also reflects administrative initiatives 
announced by the Secretary, including a commitment to core values and 
ethical business practices and an intention to foster intergovernmental 
partnership and strengthen state and local participation in Federal 
programs.

Organization of the SuperNOFA

    The SuperNOFA is divided into two major sections, the General 
Section and the Program Section. The General Section of the SuperNOFA 
describes the procedures and requirements applicable to all 
applications. The Program Section of the SuperNOFA describes each 
program and program component that is part of this SuperNOFA. For each 
funding opportunity, the Program Section describes the eligible 
applicants, eligible activities, factors for award, and any additional 
requirements or limitations. Please read both sections carefully to be 
sure your application is complete. Your attention to the sections will 
ensure that you apply for funding for which your organization is 
eligible and that you fulfill all the requirements for application 
submission.
    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 that are part of this 
SuperNOFA. HUD programs that provide assistance for, or complement, 
similar activities (for example, the Continuum of Care programs and CPD 
Technical Assistance programs) have a consolidated application that 
reduces the administrative and paperwork burden applicants would 
otherwise encounter. The Program Chart in this introductory section of 
the SuperNOFA identifies the programs that have been consolidated and 
for which a consolidated application is made available to eligible 
applicants.
    HUD provides copies of all required forms in this publication. The 
standard forms, certifications, and assurances applicable to all 
programs, or the great majority of programs, in the SuperNOFA follow 
the General Section as Appendix B. The forms and any additional 
certifications and assurances that are unique to the individual program 
will follow that program section of the SuperNOFA.
    The specific statutory and regulatory requirements of the programs 
that are part of this SuperNOFA continue to apply to each program. The 
SuperNOFA will identify, where necessary, the statutory requirements 
and differences applicable to the specific programs. Please pay careful 
attention to the specific submission requirements that are identified 
for each funding opportunity. Not all applicants are eligible to 
receive assistance under all funding opportunities identified in this 
SuperNOFA.

The Programs of This SuperNOFA and the Amount of Funds Allocated

    The funding opportunities that are part of this SuperNOFA are 
identified in the following chart. The amount of funds available is 
based on funds appropriated in FY 2002 and funds recaptured from prior 
years' appropriations. In the event that HUD recaptures program funds 
or other funds become available for a program, HUD reserves the right 
to increase the available funding by these additional amounts.
    The chart also includes the application due date, the OMB approval 
number for the information collection requirements, and the Catalog of 
Federal Domestic Assistance (CFDA) number for each funding opportunity.
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    Paperwork Reduction Act Statement. The information collection 
requirements in this SuperNOFA have been approved by OMB under the 
Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520). The preceding 
chart provides the OMB approval number for each program that is part of 
this SuperNOFA. Where the chart notes that an OMB number is pending, 
this means that HUD has submitted the information to OMB to obtain an 
approval number and HUD's request for the number is pending. As soon as 
HUD receives the approval number, the number will be published in the 
Federal Register and provided to the SuperNOFA Information Center. 
Under the Paperwork Reduction Act, 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, Purposes of the FY 2002 SuperNOFA, Funding Amounts, 
Restrictions Concerning Tobacco Products and Eligible Applicants 
and Activities

    (A) Authority. HUD's authority for making funding available under 
this SuperNOFA is the FY 2002 Department of Veterans Affairs and 
Housing and Urban Development and Independent Agencies Appropriations 
Act, Public Law 107-73, approved November 26, 2001 (FY 2002 HUD 
Appropriations Act). Generally, this statement of authority is not 
repeated in the individual program sections of this SuperNOFA. The 
authority provision in the program sections identifies additional 
statutes and regulations that authorize the requirements listed for the 
funding competitions that make up this SuperNOFA.
    (B) Purposes. The purposes of this SuperNOFA are to:
    (1) Make funding available to empower communities and residents. 
The funding made available by this SuperNOFA will assist community 
leaders and residents, including low- and moderate-income residents and 
faith-based and other community-based grassroots organizations, in 
using HUD funds to develop viable communities and provide decent 
housing for all citizens, without discrimination.
    (2) Simplify the application process for funding under HUD 
programs. For the majority of funding in this year's SuperNOFA, the 
SuperNOFA continues to provide a single, uniform set of rating factors 
and submission requirements. This year's SuperNOFA also allows you, the 
applicant, to apply for more than one program with a single 
application.
    (3) Promote comprehensive approaches to housing and community 
development. Through the SuperNOFA process, HUD encourages you, the 
applicant, to focus on the interrelationships that exist in your 
community and in the use of HUD's funding programs to build community-
wide efforts that coordinate the resources of multiple applicants and 
programs. To successfully address community needs, solve community 
problems, and take advantage of existing resources, HUD encourages 
members of a community to join together and pool all available 
resources in a common, coordinated effort. By making all of HUD's 
competitive funding available in one document, HUD encourages you, the 
applicant, to be able to relate the activities proposed for funding 
under this SuperNOFA to the community's Consolidated Plan and Analysis 
of Impediments to Fair Housing Choice (AI). Applicants who demonstrate 
a coordinated effort will obtain higher scores than applicants who do 
not.
    (4) Promote self-sufficiency and economic opportunity for the 
persons and communities being served by your program of activities. 
HUD's goal is to promote the self-sufficiency of those most in need of 
assistance, ensuring that the funds provided can result in measurable 
progress in increasing homeownership opportunities for low income and 
minority households, providing training and job opportunities so 
individuals and families can be economically self-sufficient, and 
better coordinating the delivery of services to homeless persons, 
persons with disabilities and minorities or residents where English may 
be a second language.
    (C) Funding Available. As noted in the Introductory Section of this 
SuperNOFA, the HUD programs in this SuperNOFA are allocated amounts 
based on appropriated funds. If HUD recaptures funds in any program, 
HUD reserves the right to increase the available funding by those 
amounts.
    (D) Restrictions on the Use of HUD Funds in Support of the Sale of 
Tobacco Products. Section 211 of the FY 2001 HUD Appropriations Act 
prohibits the use of HUD funds to construct, operate, or otherwise 
benefit a facility or facilities with a designated portion that sells 
or intends to sell predominantly cigarettes or other tobacco products. 
The Act defines the predominant sale of cigarettes or other tobacco 
products to mean sales representing more than 35 percent of annual in-
store, non-fuel sales. Therefore, any programs funded with remaining or 
recaptured FY 2001 funds must adhere to this prohibition.
    (E) Eligible Applicants and Eligible Activities. The Program 
Section of the SuperNOFA describes the eligible applicants and eligible 
activities for each program.

II. Requirements and Procedures Applicable to All Programs

    Except as may be modified in the Program Section of this SuperNOFA, 
the requirements, procedures and principles listed below apply to all 
programs that are part of this SuperNOFA. Please read the Program 
Section of the SuperNOFA for additional requirements or information.
    (A) Statutory Requirements. To be eligible for funding under this 
SuperNOFA, you, the applicant, must meet all statutory and regulatory 
requirements applicable to the program or programs for which funding is 
sought. If you need copies of the program regulations, they are 
available from the SuperNOFA Information Center or through the HUD 
website, www.hud.gov. HUD will not consider an application from an 
ineligible applicant. See the Program Section for instructions on how 
HUD will respond to proposed activities that are ineligible. With the 
exception of the Section 202 and Section 811 programs, HUD may also 
eliminate the ineligible activities from funding consideration and 
reduce grant amounts accordingly.
    (B) Threshold Requirements.
    (1) Compliance with Fair Housing and Civil Rights Laws.
    (a) With the exception of federally recognized Indian tribes and 
their instrumentalities, all applicants and their subrecipients must 
comply with all Fair Housing and Civil Rights laws, statutes, 
regulations, and Executive Orders as enumerated in 24 CFR 5.105(a). If 
you are a federally recognized Indian tribe, you must comply with the 
non-discrimination provisions enumerated at 24 CFR 1003.601, as 
applicable. In addition to these requirements, there may be program-
specific threshold requirements identified in the Program Sections of 
the SuperNOFA.
    (b) If you, the applicant:
    (i) Have been charged with a systemic violation of the Fair Housing 
Act alleging ongoing discrimination;
    (ii) Are a defendant in a Fair Housing Act lawsuit filed by the 
Department of Justice alleging an on-going pattern or practice of 
discrimination; or,
    (iii) Have received a letter of non-compliance findings under Title 
VI, Section 504, or Section 109, and if the charge, lawsuit, or letter 
of findings has

[[Page 13837]]

not been resolved to HUD's satisfaction before the application deadline 
stated in the individual program NOFA, you may not apply for assistance 
under this SuperNOFA. HUD will not rate and rank your application. 
HUD's decision regarding whether a charge, lawsuit, or a letter of 
findings has been satisfactorily resolved will be based upon whether 
appropriate actions have been taken to address allegations of on-going 
discrimination in the policies or practices involved in the charge, 
lawsuit, or letter of findings.
    (2) Conducting Business In Accordance With Core Values and Ethical 
Standards. Entities subject to 24 CFR Parts 84 and 85 (most non-profit 
organizations and State, local and tribal governments or government 
agencies or instrumentalities who receive Federal awards of financial 
assistance) are required to develop and maintain a written code of 
conduct (see Sections 84.42 and 85.36(b)(3)). Consistent with 
regulations governing specific programs, your code of conduct must: 
prohibit real and apparent conflicts of interest that may arise among 
officers, employees, or agents; prohibit the solicitation and 
acceptance of gifts or gratuities by your officers, employees and 
agents for their personal benefit in excess of minimal value; and, 
outline administrative and disciplinary actions available to remedy 
violations of such standards. If awarded assistance under this 
SuperNOFA, you will be required, prior to entering into a grant 
agreement with HUD, to submit a copy of your code of conduct and 
describe the methods you will use to ensure that all officers, 
employees, and agents of your organization are aware of your code of 
conduct.
    (3) Other Threshold Requirements. The Program Section for the 
funding for which you are applying may specify other threshold 
requirements. Additional threshold requirements may be identified in 
the discussion of ``eligibility'' requirements in the Program Section.
    (C) Additional Non-discrimination Requirements. You, the applicant, 
and your subrecipients must comply with the Americans with Disabilities 
Act of 1990 (42 U.S.C. 1201 et seq.) and Title IX of the Education 
Amendments Act of 1972 (20 U.S.C. 1681 et seq).
    (D) Affirmatively Furthering Fair Housing. Under Section 808(e)(5) 
of the Fair Housing Act, HUD is obliged to affirmatively further fair 
housing. HUD requires the same of its grant recipients. Unless 
otherwise specified in the Program Section of this SuperNOFA, if you 
are a successful applicant, you will have a duty to affirmatively 
further fair housing opportunities for classes protected under the Fair 
Housing Act. Protected classes are color, national origin, religion, 
sex, disability or perceived ability, and family status. Unless 
otherwise instructed in the Program Section of this SuperNOFA, your 
application must include specific steps to:
    (1) Overcome the effects 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; and/or
    (3) Promote fair housing rights and fair housing choice.
    Further, you, the applicant, have a duty to carry out the specific 
activities provided in your responses to the SuperNOFA rating factors 
that address affirmatively furthering fair housing. Please see the 
Program Section of this SuperNOFA for further information.
    The requirements to affirmatively further fair housing apply to:
     Alaskan Native/Native Hawaiian Institutions Assisting 
Communities (AN/NHIAC);
     Assisted Living Conversion Program (ALCP) for Eligible 
Multifamily Housing Projects;
     Brownfields Economic Development Initiative (BEDI);
     Community Outreach Partnership Centers (COPC);
     Continuum of Care Homeless Assistance Programs (SHP, 
Shelter Plus Care, Section 8 Moderate Rehab);
     Fair Housing Initiatives Program (FHIP);
     Funding Availability for Rental Certificate/Housing Choice 
Voucher Family Self-Sufficiency (FSS) Program;
     Healthy Homes Demonstration Program;
     Healthy Homes Initiative and Lead Technical Studies;
     Hispanic-Serving Institutions Assisting Communities 
(HSIAC);
     Historically Black Colleges and Universities (HBCU) 
Program;
     Housing Counseling;
     Housing Opportunities for Persons With AIDS (HOPWA);
     Lead Hazard Control Program;
     Mainstream Housing Opportunities for Persons with 
Disabilities;
     Public Housing Resident Opportunities and Self-Sufficiency 
(ROSS) Program;
     Rental Assistance for Non-Elderly Persons with 
Disabilities in Support of Designated Housing Plans;
     Rental Assistance for Non-Elderly Persons with 
Disabilities Related to Certain Developments;
     Resident Opportunities for Self-Sufficiency (ROSS) for 
Homeownership Supportive Services;
     Rural Housing and Economic Development (RHED);
     Section 202 Supportive Housing for Elderly Persons;
     Section 811 Supportive Housing for Persons with 
Disabilities;
     Self-Help Homeownership Opportunity Program (SHOP);
     Service Coordinators in Multifamily Housing; and
     YouthBuild Program.
    (E) Economic Opportunities for Low- and Very Low-Income Persons 
(Section 3). Certain programs in this SuperNOFA require recipients of 
assistance to comply with Section 3 of the Housing and Urban 
Development Act of 1968 (Section 3), 12 U.S.C. 1701u (Economic 
Opportunities for Low- and Very Low-Income Persons in Connection with 
Assisted Projects) and the HUD regulations at 24 CFR part 135, 
including the reporting requirements at subpart E. Section 3 requires 
recipients to ensure that, to the greatest extent feasible, training, 
employment and other economic opportunities will be directed to low- 
and very-low income persons, particularly those who are recipients of 
government assistance for housing, and business concerns which provide 
economic opportunities to low- and very low-income persons. As noted in 
the Program Section of this SuperNOFA, Section 3 is applicable to the 
following programs:
     Alaska Native/Native Hawaiian Institutions Assisting 
Communities (AN/NHIAC);
     Assisted Living Conversion Program (ALCP);
     Brownfields Economic Development Initiative (BEDI);
     Community Development Block Grant Program for Indian 
Tribes and Alaska Native Villages;
     Continuum of Care Homeless Assistance Programs;
     Healthy Homes and Lead Technical Studies;
     Healthy Homes Demonstration Program;
     Hispanic-Serving Institutions Assisting Communities 
(HSIAC);
     Historically Black Colleges and Universities (HBCU) 
Program;
     Housing Opportunities for Persons With AIDS (HOPWA);
     Lead Hazard Control;
     Resident Opportunities and Self-Sufficiency Program 
(ROSS);
     Section 202 Supportive Housing for the Elderly Program;
     Section 811 Supportive Housing for Persons with 
Disabilities Program.
     Self-Help Homeownership Opportunity Program (SHOP); and
     YouthBuild Program.
    (F) Ensuring the Participation of Small Businesses, Small 
Disadvantaged

[[Page 13838]]

Businesses, and Women-Owned Businesses. HUD is committed to ensuring 
that small businesses, small disadvantaged businesses, and women-owned 
businesses participate fully in HUD's direct contracting and in 
contracting opportunities generated by HUD grant funds. Too often, 
these businesses still experience difficulty accessing information and 
successfully bidding on Federal contracts. State, local, and tribal 
governments are required by 24 CFR 85.36(e) and non-profit recipients 
of assistance (grantees and sub-grantees) by 24 CFR 84.44(b), to take 
all necessary affirmative steps in contracting for purchase of goods or 
services to assure that minority firms, women's business enterprises, 
and labor surplus area firms are used when possible, or as specified in 
the Program Section.
    (G) Relocation. The relocation requirements of the Uniform 
Relocation Assistance and Real Property Acquisition Policies Act of 
1970, as amended, and the implementing government-wide regulation at 49 
CFR part 24 cover any person who moves permanently from real property 
or moves personal property from real property directly because of 
acquisition, rehabilitation, or demolition for an activity undertaken 
with HUD assistance. Some HUD program regulations also cover persons 
who are temporarily relocated.
    Applicants should review the regulations for the programs for which 
they are applying when planning their project.
    (H) Forms, Certifications, and Assurances. You, the applicant, are 
required to submit signed copies of the standard forms, certifications, 
and assurances listed in this section, unless the requirements in the 
Program Section specify otherwise. Also, the Program Section may 
specify additional forms, certifications, assurances or other 
information that may be required for a particular program in this 
SuperNOFA.
    As part of HUD's continuing efforts to improve the SuperNOFA 
process, several of the required standard forms have been simplified 
this year. The standard forms, certifications, and assurances are:
     Standard Form for Application for Federal Assistance (SF-
424) (which includes civil rights/fair housing certification);
     Federal Assistance Funding Matrix and Certifications, 
(HUD-424M);
     Standard Form for Budget Information--Non-Construction 
Programs (SF-424A) or Standard Form for Budget Information-Construction 
Programs (SF-424C), as applicable;
     Standard Form for Assurances--Non-Construction Programs (SF-424B) 
or Standard Form for Assurances--Construction Programs (SF-424D), as 
applicable;
     Drug-Free Workplace Certification (HUD-50070);
     Certification of Payments to Influence Federal Transaction 
(HUD-50071) and, if engaged in lobbying, the Disclosure Form Regarding 
Lobbying (SF-LLL) (federally recognized tribes and tribally designated 
housing entities (TDHEs) established by federally recognized Indian 
tribes as a result of the exercise of the tribe's sovereign power are 
excluded from coverage of the Byrd Amendment, but State recognized 
Indian tribes and TDHEs established under State law are required to 
submit this certification);
     Applicant/Recipient Disclosure/Update Report (HUD-2880);
     Certification Regarding Debarment and Suspension (HUD-
2992) as required by 24 CFR 24.510 (The provisions of 24 CFR part 24 
apply to the employment, engagement of services, awarding of contracts, 
sub-grants, 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);
     Certification of Consistency with RC/EZ/EC Strategic Plan 
(HUD-2990), if applicable;
     Certification of Consistency with the Consolidated Plan 
(HUD-2991) if applicable;
     Acknowledgment of Application Receipt (HUD-2993); and,
     Client Comments and Suggestions (HUD 2994).
    Copies of these standard forms follow this General Section of the 
SuperNOFA. Copies of forms that are particular to an individual program 
follow the funding information for that program. Also included in 
Appendix B to the General Section is the Funding Application for the 
Housing Choice Voucher Program (HUD 52515).

    Note:
    Forms SF-424A and SF-424C ask for information which is similar 
to the information required by form HUD 4123--Cost Summary which is 
listed as a required form under the ICDBG Program Section of this 
SuperNOFA and which is a required form for that program. Also note 
that there are assurances separate from SF-424B and 424D for the 
ICDBG program, which are specific to that program.


    (I) OMB Circulars and Government-wide Regulations Applicable to 
Grant Programs. Certain OMB circulars also apply to programs in this 
SuperNOFA. The policies, guidance, and requirements of OMB Circular A-
87 (Cost Principles Applicable to Grants, Contracts and Other 
Agreements with State and Local Governments), OMB Circular A-21 (Cost 
Principles for Education Institutions), OMB A-122 (Cost Principles for 
Nonprofit Organizations), OMB Circular A-133 (Audits of States, Local 
Governments, and Non-Profit Organizations), and the regulations in 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), may apply to the award, acceptance, and use of assistance 
under the programs of this SuperNOFA, and to the remedies for non-
compliance, except when inconsistent with the provisions of the FY 2002 
HUD Appropriations Act, other Federal statutes or regulations, or the 
provisions of this SuperNOFA. Compliance with additional OMB Circulars 
or government-wide regulations may be specified for a particular 
program in the Program Section of the SuperNOFA. Copies of the OMB 
Circulars may be obtained from EOP Publications; Room 2200; New 
Executive Office Building; Washington, DC 20503; telephone (202) 395-
7332 (this is not a toll free number); or, from the website, 
www.whitehouse.gov/omb/circulars/index.html.
    (J) Environmental Requirements. If you become a grantee under one 
of the programs in this SuperNOFA that assist physical development 
activities or property acquisition, you are generally prohibited from 
acquiring, rehabilitating, converting, leasing, repairing or 
constructing property, or committing or expending HUD or non-HUD funds 
for these types of 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.
    You, the applicant, should consult the Program Section of the 
SuperNOFA for the applicable program to determine the procedures for, 
timing of, and any exclusions from environmental review under a 
particular program. For applicants applying for funding under the 
Sections 202 or 811 Programs, please note the environmental review 
requirements for these programs.

[[Page 13839]]

    (K) Conflicts of Interest. If you are a consultant or expert who is 
assisting HUD in rating and ranking applicants for funding under this 
SuperNOFA, you are subject to 18 U.S.C. 208, the Federal criminal 
conflict of interest statute, and the Standards of Ethical Conduct for 
Employees of the Executive Branch regulation published at 5 CFR part 
2635. As a result, if you have assisted or plan to assist applicants 
with preparing applications for this SuperNOFA, you may not serve on a 
selection panel and you may not serve 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. Individuals involved in the 
rating and ranking of applications must disclose to HUD's General 
Counsel or HUD's Ethics Law Division the following information, if 
applicable: how the selection or non-selection of any applicant under 
this SuperNOFA will affect the individual's financial interests, as 
provided in 18 U.S.C. 208; or, how the application process involves a 
party with whom the individual has a covered relationship under 5 CFR 
2635.502. The individual must disclose this information prior to 
participating in any matter regarding this SuperNOFA. If you have 
questions regarding these provisions or if you have questions 
concerning a conflict of interest, you may call the Office of General 
Counsel, Ethics Law Division, at 202-708-3815.
    (L) Accessible Technology. The Rehabilitation Act Amendments of 
1998 apply to all electronic information technology (EIT) used by a 
grantee for transmitting, receiving, using, or storing information to 
carry out the responsibilities of any federal grant awarded. The Act's 
coverage includes, but is not limited to, computers (hardware, 
software, word-processing, email, and web pages), facsimile machines, 
copiers and telephones. When developing, procuring, maintaining, or 
using EIT, funding recipients must ensure that the EIT allows employees 
with disabilities and members of the public with disabilities to have 
access to and use of information and data that is comparable to the 
access and use of information and data by employees and members of the 
public who do not have disabilities. If these standards impose a 
hardship on a funding recipient, they may provide an alternative means 
to allow the individual to use the information and data. However, no 
grantee will be required to provide information services to a person 
with disabilities at any location other than the location at which the 
information services is generally provided.

III. Application Selection Process

    (A) Rating Panels. To review and rate applications, HUD may 
establish panels. These panels may include persons not currently 
employed by HUD. HUD may include these non-HUD employees to obtain 
certain expertise and outside points of view, including views from 
other Federal agencies.
    (1) Rating. HUD will evaluate and rate all applications for funding 
that meet the threshold requirements and rating factors for award 
described in this SuperNOFA. This will include rating the applicant 
and/or the applicant's organization and staff for technical merit or 
threshold compliance as well as any sub-contractors, consultants, sub-
recipients, and members of consortia that are firmly committed to the 
project. In evaluating applications for funding HUD will take into 
account applicants' past performance in managing funds, including the 
ability to account for funds appropriately; timely use of funds 
received either from HUD or other Federal, State, or local programs; 
meeting performance targets for completion of activities; and, number 
of persons to be served or targeted for assistance. HUD may include 
information at hand or available from public sources such as, but not 
limited to, newspapers, Inspector General or Government Accounting 
Office Reports or Findings, and/or hotline complaints that have been 
proven to have merit. In evaluating past performance, HUD may elect to 
deduct points from the rating score or establish threshold levels as 
specified under the Factors for Award in the Program Section of this 
SuperNOFA.
    (2) Ranking. HUD will rank applicants within each program or, for 
Continuum of Care applicants, across the three programs identified in 
the Continuum of Care section of this SuperNOFA. HUD will rank 
applicants only against those applying for the same program funding. 
Where there are set-asides within a program competition, you, the 
applicant, will compete against only those applicants in the same set-
aside competition.
    (B) Threshold Requirements. HUD will review your application to 
determine whether it meets all of the threshold requirements described 
in Section II(B), above. Only applications that meet all of the 
threshold requirements will be eligible to be rated and ranked.
    (C) Factors for Award Used to Evaluate and Rate Applications. For 
each program that is part of this SuperNOFA, the points awarded for the 
rating factors total 100. Depending upon the program for which you the 
applicant seek funding, the funding opportunity may provide for up to 
six bonus points as provided in paragraphs (1)-(3) of this Section 
III(C).
    (1) RC/EZ/EC. The SuperNOFA provides for the award of two bonus 
points for eligible activities/projects that the applicant proposes to 
be located in federally designated Empowerment Zones (EZs), Enterprise 
Communities (ECs), Urban Enhanced Enterprise Communities (EECs), 
Strategic Planning Communities, or Renewal Communities (RCs), serve the 
residents of these areas, and are certified to be consistent with the 
area's strategic plan. (For ease of reference in the SuperNOFA, all 
these federally designated areas are collectively referred to as ``RC/
EZ/ECs'' and residents of any of these federally designated areas as 
``RC/EZ/EC residents.'') The individual funding announcement will 
indicate if the bonus points are available for that funding. The 
SuperNOFA contains a certification that must be completed for the 
applicant to be considered for RC/EZ/EC bonus points. A list of RCs, 
EZs, ECs, EECs, and Strategic Planning Communities is attached to this 
General Section of the SuperNOFA as Appendix A-2 and is also available 
from the SuperNOFA Information Center, and the HUD website, 
www.hud.gov.
    (2) Brownfield Showcase Communities: In the BEDI competition, two 
bonus points are available for federally designated Brownfields Show 
Case Communities. (Please see BEDI section of this SuperNOFA for 
additional information.) A list of the federally designated RCs, EZs, 
ECs, Enhanced ECs, and Brownfield Showcase Communities is available 
from the SuperNOFA Information Center or through the HUD website, 
www.hud.gov.
    (3) Court-Ordered Consideration. For any application submitted by 
the City of Dallas, Texas, for funds under this SuperNOFA for which the 
City of Dallas is eligible to apply, HUD will consider the extent to 
which the strategies or plans in the application or applications will 
be used to eradicate the vestiges of racial 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 SuperNOFA, and 
identify proposed actions for remedying those vestiges. HUD may add up 
to 2 bonus points to

[[Page 13840]]

the score based upon this consideration. This special consideration 
results from an order of the U.S. District Court for the Northern 
District of Texas, Dallas Division. (This Section III(C)(2) is limited 
to applications submitted by the City of Dallas.)
    (4) The Five Standard Rating Factors. The majority of programs in 
this SuperNOFA use the five rating factors described below. Additional 
details about the five rating factors and the maximum points for each 
factor are provided in the Program Section of the SuperNOFA. You, the 
applicant, should carefully read the factors for award as described in 
the Program Section of the SuperNOFA. HUD has established these five 
factors as the basic factors for award in every program that is part of 
this SuperNOFA. For a specific funding opportunity, however, HUD may 
have modified these factors 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: Coordination, Self-Sufficiency and Sustainability

The Continuum of Care Homeless Assistance Programs have only two 
factors that receive points: Need and Continuum of Care.
    (D) Negotiation. After HUD has rated and ranked all applications 
and made selections, HUD may require, depending upon the program, 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 with a selected applicant or a 
selected applicant fails to provide HUD with requested information, an 
award will not be made to that applicant. In this instance, HUD may 
offer an award, and proceed with negotiations with the next highest-
ranking applicant.
    (E) Adjustments to Funding.
    (1) HUD reserves the right to fund less than the full amount 
requested in your application to ensure the fair distribution of the 
funds and that the purposes of a specific program are met.
    (2) HUD will not fund any portion of your application that: is not 
eligible for funding under specific program statutory or regulatory 
requirements; does not meet the requirements of this SuperNOFA; or may 
be duplicative of other funded programs or activities from previous 
years' awards or other selected applicants. Only the eligible portions 
of your application (including non-duplicative portions) may be funded.
    (3) If funds remain after funding the highest-ranking applications, 
HUD may fund all or part of the next highest-ranking application in a 
given program. If you, the applicant, turn down an award offer, HUD 
will make an offer of funding to 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 where there is 
a balance of funds.
    (4) In the event HUD commits an error that, when corrected, 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. HUD will 
measure and address the performance and compliance actions of grantees 
in accordance with the applicable standards and sanctions of their 
respective programs.

IV. Application Submission Requirements

    As discussed in the Introductory Section of this SuperNOFA, part of 
the simplification of this funding process is to reduce the duplication 
of effort that has been required of applicants in the past. Before the 
SuperNOFA process, many of HUD's applicants were required to complete 
and submit similar applications for HUD funded programs. As the Program 
Chart shows, the FY 2002 SuperNOFA provides, as did the previous 
SuperNOFAs, 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 its 
regulations in 24 CFR part 4, subpart B, consider any unsolicited 
information you, the applicant, may want to provide. HUD may contact 
you to clarify an item in your application or to correct technical 
deficiencies. HUD may not seek clarification of items or responses that 
improve the substantive quality of your response to any rating factors. 
In order not to unreasonably exclude applications from being rated and 
ranked, HUD may contact applicants to ensure proper completion of the 
application and will do so on a uniform basis for all applicants. 
Examples of curable (correctable) technical deficiencies include 
failure to submit the proper certifications or failure to submit an 
application that contains an original signature by an authorized 
official. In each case, HUD will notify you in writing by describing 
the clarification or technical deficiency. HUD will notify applicants 
by facsimile or by USPS, return receipt requested. Clarifications or 
corrections of technical deficiencies in accordance with the 
information provided by HUD must be submitted within 14 calendar days 
of the date of receipt of the HUD notification. (If the due date falls 
on a Saturday, Sunday, or Federal holiday, your correction must be 
received by HUD on the next day that is not a Saturday, Sunday, or 
Federal holiday.) If the deficiency is not corrected within this time 
period, HUD will reject the application as incomplete and it will not 
be considered for funding. (Sections 202 and 811 Programs provide for 
appeal of rejection of an application on technical deficiency. Please 
see the Program Section for these programs for additional information 
and instructions.)

VI. HUD's FY 2002 SuperNOFA Policy Priorities

    This Section describes important initiatives that HUD is 
encouraging applicants to undertake in implementing programs funded 
under this SuperNOFA. Seven SuperNOFA policy priorities are listed 
below. Each of the seven policy priorities support the interim 
Strategic Goals listed in Part II of this NOFA, as noted below.
    (A) Increasing Homeownership Opportunities for Low- and Moderate-
Income Persons, Persons with Disabilities, the Elderly, Minorities, and 
Families where English may be a Second Language. Too often these 
individuals and families are shut out of the housing market through no 
fault of their own. HUD encourages applicants to work aggressively to 
open up the realm of homeownership to many who want the joy, security, 
and sense of community that comes from owning a home of their own. 
Proposed activities can support Strategic Goals 1, 2, and 7.
    (B) Improving the Quality of Public Housing and Providing More 
Choices for Its Residents. HUD wants to improve the quality of life for 
those living in public housing, not only by improving the physical 
surroundings of public housing developments, but by providing residents 
greater opportunities to move from public housing into homeownership 
opportunities or into a community with greater housing choices and 
better educational and employment opportunities. Proposed

[[Page 13841]]

activities directly support Strategic Goal 3, but can also support 
Strategic Goals 4, and 7.
    (C) Encouraging Accessible Design Features. As described in Section 
II (B) and (H), applicants must be in compliance with applicable civil 
rights laws including the Fair Housing Act, Section 504 of the 
Rehabilitation Act of 1973, and the Americans with Disabilities Act. 
These laws, and regulations implementing them, provide for 
nondiscrimination based on disability and require housing and 
facilities to incorporate certain features intended to provide for 
their use and enjoyment by persons with disabilities.
    HUD is encouraging applicants to add accessible design features 
beyond those required under civil rights laws and regulations. These 
features would eliminate many other barriers limiting the access of 
persons with disabilities to housing and other facilities. These 
accessible design features are intended to promote visitability and 
incorporate features of universal design as described below:
    (i) Visitability in New Construction and Substantial 
Rehabilitation. Applicants are encouraged to incorporate visitability 
standards where feasible in new construction and substantial 
rehabilitation projects. Visitability standards allow a person with 
mobility impairments access into the home, but do 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. 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 Uniform Federal Accessibility Standards (UFAS) are 
available from the SuperNOFA Information Center (1-800-HUD-8929 or 1-
800-HUD-2209 (TTY)) and also 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; 202-755-5404 or 1-
800-877 8399 (TTY Federal Information Relay Service). Proposed 
activities support Strategic Goal 7.
    (ii) Universal Design. Applicants are encouraged to incorporate 
universal design in the construction or rehabilitation of housing, 
retail establishments, and community facilities funded with HUD 
assistance. Universal design is the design of products and environments 
to be usable by all people to the greatest extent possible, without the 
need for adaptation or specialized design. The intent of universal 
design is to simplify life for everyone by making products, 
communications, and the built environment more usable by as many people 
as possible at little or no extra cost. Universal design benefits 
people of all ages and abilities. In addition to any applicable 
required accessibility features under Section 504 of the Rehabilitation 
Act of 1973 or the design and construction requirements of the Fair 
Housing Act, the Department encourages applicants to incorporate the 
principles of universal design when developing housing, community 
facilities, electronic communication mechanisms, or when communicating 
with community residents at public meetings or events. HUD believes 
that by creating housing that is accessible to all, it can increase the 
supply of affordable housing for all, regardless of ability or age. 
Likewise, creating places where people work, train, and interact which 
are useable and open to all residents increases opportunities for 
economic and personal self-sufficiency. Proposed activities under this 
priority will support Strategic Goals 2, 7, and 8.
    (D) Improving Computer Access, Literacy, and Employment 
Opportunities. The Department seeks to promote activities that provide 
access to computers to low- and moderate-income adults and children who 
do not have access and, therefore, may be disadvantaged with respect to 
education, work, and training opportunities. HUD encourages applicants 
to incorporate education and job training opportunities through 
initiatives such as HUD's Neighborhood Networks. Neighborhood Networks 
enhance the self-sufficiency, employability, and economic self-reliance 
of low-income families and the elderly living in HUD-insured or HUD-
assisted properties, and public housing by providing on-site computer 
access and training resources.
    Applicants are encouraged to teach adults and children how to use 
computers to achieve economic self-sufficiency, provide job training 
and placement, and establish public-private partnerships to support 
community-learning centers and provide apprenticeship opportunities. 
Proposed activities can support Strategic Goals 2, 3, 4, 5, 7, and 8.
    (E) Providing Full and Equal Access to Faith-Based and Other 
Community-Based Organizations in HUD Program Implementation. (1) HUD 
encourages non-profit organizations, including grassroots faith-based 
and other community-based organizations, to participate in the vast 
array of programs for which funding is available through this 
SuperNOFA. HUD believes that grassroots organizations, e.g., civic 
organizations, congregations, and faith-based and other community-based 
organizations, have not been effectively utilized. These grassroots 
organizations have a strong history of providing vital community 
services such as assisting the homeless and preventing homelessness, 
counseling individuals and families on fair housing rights, providing 
elderly housing opportunities, developing first time homeownership 
programs, increasing homeownership and rental housing opportunities in 
neighborhoods of their choice, developing affordable and accessible 
housing in neighborhoods across the country, creating economic 
development programs, and supporting the residents of public housing 
facilities. The goal of this policy priority is to make HUD's programs 
more effective, efficient, and accessible by expanding opportunities 
for grassroots organizations to participate in developing solutions for 
their own neighborhoods. Additionally, HUD encourages applicants to 
include these faith-based and other community-based grassroots 
organizations in their workplans. Applicants, their partners, and 
participants must review the Program Section of this SuperNOFA to 
determine eligibility. Faith-based and other community-based grassroots 
organizations, and applicants who currently or propose to partner, 
fund, or subcontract with grassroots organizations, including faith-
based or other community-based non-profits eligible under applicable 
program regulations, in conducting their work programs will receive 
higher rating points as specified in the program section of this 
SuperNOFA.
    (2) Definition of Grassroots Organizations.
    (a) HUD will consider an organization a ``grassroots organization'' 
if the organization is headquartered in the local community to which it 
provides services; and,
    (i) Has a social services budget of $300,000 or less, or
    (ii) Has six or fewer full-time equivalent employees.
    (b) Local affiliates of national organizations are not considered 
``grassroots.'' Local affiliates of national organizations are 
encouraged, however, to partner with grassroots organizations but must 
demonstrate that they are currently working with a grassroots 
organization, e.g., having a congregation or civic organization, or 
other charitable organization provide volunteers.

[[Page 13842]]

    (c) The cap provided in paragraph (2)(a)(i) above includes only 
that portion of an organization's budget allocated to providing social 
services. It does not include other portions of the budget such as 
salaries and expenses. Activities under this priority directly support 
Strategic Goal 4.
    (F) Ensuring that Programs are Accountable for the Promises Made 
and the Actions Taken. HUD encourages applicants to include program 
measures to ensure that promises made in your application for funding 
for persons to be assisted, units to be constructed or rehabilitated, 
timelines and budgets to be followed, and results to be achieved can be 
accounted for and independently assessed to ensure performance goals 
have been met. Applicants who have included means of assessing progress 
and tracking performance goals and achievements against promises made 
in the application will receive higher rating points. Actions taken to 
support this priority directly support Strategic Goal 6.
    (G) Colonias. HUD seeks to improve housing conditions for families 
living in Colonias. Colonia means any identifiable community that:
    (i) is located in Arizona, California, New Mexico, or Texas:
    (ii) is within 150 miles of the border between the United States 
and Mexico: and
    (iii) meets objective need criteria, including lack of potable 
water supply, lack of adequate sewage systems, and lack of decent, 
safe, sanitary, and accessible housing.
    Activities performed under this priority primarily support 
Strategic Goal 8, but can also support Strategic Goals 3, 4, and 7.

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) Executive Order 13132, Federalism. Executive Order 13132 
prohibits, to the extent practicable and permitted by law, an agency 
from promulgating policies that have federalism implications and either 
impose substantial direct compliance costs on State and local 
governments and are not required by statute, or preempt State law, 
unless the relevant requirements of Section 6 of the Executive Order 
are met. This SuperNOFA does not have federalism implications and does 
not impose substantial direct compliance costs on State and local 
governments or preempt State law within the meaning of the Executive 
Order.
    (C) Executive Order 12372, Intergovernmental Review of Federal 
Programs. Executive Order 12372 was issued to foster intergovernmental 
partnership and strengthen federalism by relying on State and local 
processes for the coordination and review of Federal financial 
assistance and direct Federal development. The Order allows each State 
to designate an entity to perform a State review function. The official 
listing of State Points of Contact (SPOC) for this review process can 
be found at www.whitehouse.gov/omb/grants/spoc.html. States not listed 
on the website have chosen not to participate in the intergovernmental 
review process and, therefore, do not have a SPOC. If your State has a 
SPOC, you should contact them to see if they are interested in 
reviewing your application prior to submission to HUD. Please make sure 
that you allow ample time for this review process when developing and 
submitting your applications. If your State does not have a SPOC, you 
may send applications directly to HUD.
    (D) Prohibition Against Lobbying Activities. You, the applicant, 
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. You 
are required to certify, using the certification found at Appendix A to 
24 CFR part 87, that you will not and have not used appropriated funds 
for any prohibited lobbying activities. In addition, you 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. Federally 
recognized Indian tribes and tribally designated housing entities 
(TDHEs) established by federally recognized Indian tribes as a result 
of the exercise of the tribe's sovereign power are excluded from 
coverage of the Byrd Amendment, but State-recognized Indian tribes and 
TDHEs established under State law must comply with this requirement.
    (E) 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, HUD published a notice that also provides 
information on the implementation of Section 102 (57 FR 1942). 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 five-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 (24 CFR part 15).
    (2) Debriefing. Beginning not less than 30 days after the awards 
for assistance are announced in the above-mentioned Federal Register 
notice and for at least 120 days after awards for assistance are 
announced, HUD will provide a debriefing to any applicant requesting 
one on their application. All debriefing requests must be made in 
writing or by email by the authorized official whose signature appears 
on the SF-424 or his or her successor in office, and submitted to the 
person or organization identified as the Contact under the section 
entitled ``Further Information and Technical Assistance'' in the 
Program Section of the SuperNOFA under which you applied for 
assistance. Information provided during a debriefing will include, at a 
minimum, the final score you received for each rating factor, final 
evaluator comments for each rating factor, and the final assessment 
indicating the basis upon which assistance was provided or denied.
    (3) Disclosures. HUD will make available to the public for five 
years all applicant disclosure reports (HUD Form

[[Page 13843]]

2880) submitted in connection with this SuperNOFA. Update reports (also 
reported on HUD Form 2880) will be made available along with the 
applicant disclosure reports, but in no case for a period of less than 
three 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 (24 CFR part 5).
    (4) Publication of Recipients of HUD Funding. HUD's regulations at 
24 CFR part 4 provide that HUD will publish a notice in the Federal 
Register 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; 
and/or
    (ii) Assistance 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.
    (F) Section 103 of the 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, subpart B, 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.) HUD employees who have specific program questions 
should contact the appropriate field office counsel or Headquarters 
counsel for the program to which the question pertains.

VIII. The FY 2002 SuperNOFA Process and Future HUD Funding 
Processes

    Each year, HUD strives to improve its SuperNOFA. The FY 2002 
SuperNOFA was revised based upon comments received during the FY 2001 
funding process. HUD continues to welcome comments and feedback from 
applicants and other members of the public on how HUD may further 
improve its competitive funding process.
    The description of programs for which funding is available under 
this SuperNOFA follows this General Section and its appendices.

    Dated: March 14, 2002.
Mel Martinez,
Secretary.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 13895]]



FUNDING AVAILABILITY FOR COMMUNITY DEVELOPMENT TECHNICAL ASSISTANCE 
(CD-TA) PROGRAMS--HOME, MCKINNEY-VENTO ACT HOMELESS ASSISTANCE AND 
HOPWA

Program Overview

    Purpose of the Program. The purposes of the technical assistance 
programs in this SuperNOFA are:
    HOME Technical Assistance. To help HOME participating jurisdictions 
design and implement HOME programs, including: Improving their ability 
to design and implement housing strategies and incorporate energy 
efficiency into affordable housing; facilitating the exchange of 
information to help participating jurisdictions carry out their 
programs; facilitating the establishment and efficient operation of 
employer-assisted housing programs and land bank programs consistent 
with the purposes of the HOME statute; and encouraging private lenders 
and 
for-profit developers of low-income housing to participate in public-
private partnerships.
    McKinney-Vento Act Homeless Assistance Programs Technical 
Assistance. To provide applicants, potential applicants, grantees, and 
project sponsors for McKinney-Vento Act funded Emergency Shelter 
Grants, Supportive Housing Program, Section 8 Moderate Rehabilitation 
Single Room Occupancy and Shelter Plus Care projects with technical 
assistance to promote the development of housing and supportive 
services as part of the Continuum of Care approach, including 
innovative approaches to assist homeless persons in the transition from 
homelessness, and to enable them to live as independently as possible.
    Housing Opportunities for Persons with AIDS (HOPWA). To train HOPWA 
grantees, project sponsors, and potential recipients of program funds 
in comprehensive housing strategies and responsive area programs that 
assist residents who are living with HIV/AIDS; in the sound management 
of HOPWA programs to support program operations in an efficient and 
effective manner, including undertaking community consultations, 
program planning, housing development and operations, program 
evaluation and reporting on accomplishments; and to build the capacity 
of nonprofit organizations to carry out activities as HOPWA project 
sponsors.
    Available Funds. Approximately $10 million in FY 2002 funds is 
available for the three CD-TA programs.
    Eligible Applicants. Specific eligibility requirements for the CD-
TA programs are found below in Section III(C). Up to twenty five 
percent of the HOME and McKinney-Vento Act Homeless Assistance 
technical assistance funds is limited to qualified providers who have 
not previously received a CPD technical assistance award. This 
limitation is not applicable to HOPWA technical assistance.
    Application Deadline. June 7, 2002.
    Match. None.

Additional Information

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Submit your completed applications (an 
original and one copy) on or before June 7, 2002 at the address shown 
below.
    The original application that you submit to Headquarters is 
considered the official application. Send a copy of your application on 
or before the application deadline date to the HUD CPD Field Office(s) 
in which you are seeking to provide services. Only one application per 
applicant is permitted; however, one application can include as few as 
one or as many as all three 
CD-TA programs.
    Application Submission Procedures. New Security Procedures. HUD has 
implemented new security procedures that apply to application 
submission. Please read the following instructions carefully and 
completely. HUD will not accept hand delivered applications. 
Applications may be mailed using the United States Postal Service 
(USPS) or may be shipped via the following delivery services: United 
Parcel Service (UPS), FedEx, DHL or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without escort. You must, 
therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12 midnight on the 
application due date and received by the designated HUD office on or 
within fifteen (15) days of the application due date. All applicants 
must obtain and save a Certificate of Mailing showing the date when you 
submitted your application to the United States Postal Service (USPS). 
The Certificate of Mailing will be your documentary evidence that your 
application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, 
FedEx, DHL and Falcon Carrier. Delivery by these services must be made 
during HUD Headquarters business hours, between 8:30 AM and 5:30 
Eastern time, Monday to Friday. If these companies do not service your 
area, you should submit your application via the United States Postal 
Service.
    Addresses for Submitting Applications. HUD Headquarters. Your 
completed application consists of one original application and one 
copy. Submit your original application to HUD Headquarters, U.S. 
Department of Housing and Urban Development, CPD Processing and Control 
Branch, Room 7251, 451 Seventh Street, SW., Washington, DC 20410.
    Copy to Field Office. Send a copy of the application to the 
appropriate CPD Field Office(s) at the address shown on the list of HUD 
CPD Field Offices included as Appendix B.
    When submitting your application, please refer to the Community 
Development Technical Assistance Program. Be sure to include your name, 
mailing address (including zip code), telephone number (including area 
code), and fax number (including area code).
    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. When requesting an application kit, 
please refer to ``Community Development Technical Assistance Programs 
or CD-TA.'' Please be sure to provide your name, address (including zip 
code), telephone number (including area code), and fax number 
(including area code).
    For Further Information and Technical Assistance. You may contact 
the HUD CPD Office serving your area at the telephone number listed in 
the list of HUD CPD Field Offices included in the application kit, or 
you may contact Karen E. Daly at 202-708-3176, x5552 in HUD 
Headquarters. Persons with hearing and speech challenges may access the 
above number via TTY (text

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telephone) by calling the Federal Relay Service at 1-800-877-8339 (this 
is a toll-free number). Information on this SuperNOFA also may be 
obtained through the HUD web site on the Internet at www.hud.gov.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD web site at 
www.hud.gov.

II. Amount Allocated

    (A) The amounts allocated for each CD-TA program are as follows:

HOME TA FY 2002 funds: up to$5,000,000
McKinney-Vento Act Homeless Assistance Programs FY 2002 TA funds: up to 
$3,000,000
HOPWA FY 2002 TA funds: up to $2,000,000

    (B) Each HUD/CPD Field Office has been allocated a ``fair-share'' 
of CD-TA funds for purposes of this competition, except for the HOPWA 
TA funds which will be awarded only through a national competition (see 
CD-TA Appendix A for the fair share allocations). The amounts are based 
on allocations of HOME and McKinney-Vento Act Homeless Assistance 
formula funds and competitive programs for which Field Offices have 
management oversight. These amounts are only for guidance purposes for 
you to develop your program budgets by Field Office jurisdiction and 
are not the exact amounts to be awarded to you in each area.
    HUD will determine the total amount to be awarded to any provider 
based upon the size and needs of the provider's service area within 
each Field Office jurisdiction in which the provider is selected to 
operate, the funds available for that area, the number of other 
awardees selected in that area, and the scope of the technical 
assistance to be provided. Additionally, HUD may reduce the amount of 
funds allocated for Field Office jurisdictions to fund national CD-TA 
providers and other CD-TA providers for activities which cannot be 
budgeted or estimated by Field Office jurisdiction. HUD may require 
selected applicants, as a condition of funding, to provide coverage on 
a geographically broader basis than applied for in order to supplement 
or strengthen the intermediary network in terms of the location 
(service area), types and scope of technical assistance proposed.
    (C) In order to reach new technical assistance providers in the 
HOME and McKinney-Vento Act Homeless Assistance program areas up to 25% 
of the funds in each of these two program areas within a Field Office 
(or at the national level) will be awarded to applicants who have not 
previously been funded under a CPD technical assistance competition. 
Therefore, up to $1.25 million will be awarded to new providers in HOME 
and $750,000 in McKinney-Vento Act Homeless Assistance. If qualified 
new applicants are not found in each program area in each Field Office 
and/or at the national level, the remaining funds will be made 
available for previously funded providers. The reverse also is true.
    (D) To the extent permitted by funding constraints, HUD intends to 
provide coverage for as full a range as possible, of eligible CD-TA 
activities of each CD-TA program in each Field Office jurisdiction. To 
achieve this objective, HUD will fund the highest ranking providers 
that bring the required expertise in one or more specialized activity 
areas, and fund portions of providers' proposed programs in which they 
have the greatest skill and capability for given geographic areas or on 
a national basis. HUD also may require national, multi-jurisdictional, 
or other providers to provide coverage to Field Office jurisdictions 
which cannot otherwise receive cost-effective support from a CD-TA 
provider. In selecting applicants for funding, in addition to the 
rating factors, HUD will apply program policy criteria identified in 
Section V of this CD-TA Program section of SuperNOFA to select a range 
of providers and activities that would best serve program objectives 
for each program serviced by the CD-TA funded under this SuperNOFA.

III. Program Description; Program Award Period; Eligible 
Applicants; Eligible Activities; and Sub-Grants

    (A) Program Description. Up to $10 million in technical assistance 
(TA) funds is available from three separate technical assistance 
programs: HOME TA, McKinney-Vento Act Homeless Assistance TA, and HOPWA 
TA (collectively ``CD-TA'').
    The funding of these three CD-TA programs through a single funding 
availability announcement will not affect the ability of eligible 
applicants to seek CD-TA funding. Eligible applicants are able to apply 
for funding under as few as one, and as many as three, separate CD-TA 
programs, individually or collectively, singularly or in combination. 
The specific provisions of the three separate CD-TA programs have not 
been changed. This Community Development Technical Assistance Programs 
section of the SuperNOFA reflects the statutory requirements and 
differences in the three different CD-TA programs.

(B) Program Award Period

    (1) Cooperative Agreements will be for a period of up to 36 months. 
HUD, however, reserves the right to:
    (a) Terminate awards in accordance with provisions contained in OMB 
Circular A-102, and 24 CFR parts 84 and 85 anytime after 12 months;
    (b) Withdraw funds from a specific provider, if HUD determines that 
the urgency of need for the assistance is greater in other Field Office 
jurisdictions or the need for assistance is not commensurate with the 
award for assistance;
    (c) Extend the performance period of individual awardees up to a 
total of 12 additional months.
    (2) In cases where an applicant selected for funding under this CD-
TA program section of the SuperNOFA currently is providing CD technical 
assistance under an existing CD-TA grant/cooperative agreement, HUD 
reserves the right to adjust the start date of funding under this 
program to coincide with the conclusion of the previous award, or to 
incorporate the remaining activities from the previous award into the 
new agreement, adjusting the funding levels as necessary.

(C) Eligible Applicants

    (1) General. The eligible applicants for each of the three CD-TA 
programs are listed in paragraphs (2), (3), and (4) of this Section 
(C). This paragraph (1) lists requirements applicable to all 
applicants.
    (a) Many organizations are eligible to apply for more than one CD-
TA program and are encouraged to do so to the extent they have the 
requisite experience, expertise and capability.
    (b) All applicant organizations must have demonstrated ability to 
provide CD-TA in a geographic area larger than a single city or county 
and must propose to serve an area larger than a single city or county.
    (c) An organization may not provide assistance to itself.
    (d) A consortium of organizations may apply for one or more CD-TA 
programs, but HUD will require that one organization be designated as 
the legal applicant, where legally feasible. Where one organization 
cannot be so designated for all proposed activities, HUD may execute 
more than one cooperative agreement with the members of a consortium. 
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one cooperative agreement per application unless necessary due to legal 
requirements.
    (e) All applicants must meet minimum statutory eligibility 
requirements for each CD-TA program for which they are chosen in order 
to be awarded a cooperative agreement. Copies of the Technical 
Assistance program regulations will be provided with the application 
kit.
    (f) All eligible CD-TA providers may propose assistance using in-
house staff, consultants, sub-contractors and sub-recipients, networks 
of private consultants and/or local organizations with requisite 
experience and capabilities. Whenever possible, applicants should make 
use of technical assistance providers located in the Field Office 
jurisdiction receiving services. This draws upon local expertise and 
persons familiar with the opportunities and resources available in the 
area to be served while reducing travel and other costs associated with 
delivering the proposed technical assistance services.
    (g) All applicants must meet the applicable threshold requirements 
of Section II(B) of the General Section of the NOFA.
    (2) McKinney-Vento Act Homeless Assistance Programs TA Eligible 
Applicants.
    (a) States, units of general local government, and public housing 
authorities.
    (b) Public and private non-profit or for-profit groups, including 
educational institutions and area-wide planning organizations, 
qualified to provide technical assistance on McKinney-Vento Act 
Homeless Assistance projects.
    (3) HOME TA Eligible Applicants. (a) A for-profit or non-profit 
professional and technical services company or firm that has 
demonstrated capacity to provide technical assistance services;
    (b) A HOME participating jurisdiction (PJ) or agency thereof;
    (c) A public purpose organization responsible to the chief elected 
official of a PJ and established pursuant to State or local 
legislation;
    (d) An agency or authority established by two or more PJs to carry 
out activities consistent with the purposes of the HOME program;
    (e) A national or regional non-profit organization that has 
membership comprised predominantly of entities or officials of entities 
of PJs or PJs' agencies or established organizations.
    (4) HOPWA TA Eligible Applicants.
    (a) Non-profit organizations; and
    (b) States and units of general local government.
    (D) Eligible Activities. Eligible activities as appropriate for 
each of the three CD-TA programs are listed below:
    (1) HOME Technical Assistance. HUD will provide assistance to:
    (a) Facilitate the exchange of information that would help 
participating jurisdictions carry out the purposes of the HOME statute, 
including information on program design and accessibility, housing 
finance, land use controls, and building construction techniques;
    (b) Improve the ability of States and units of local government to 
design and implement housing strategies, particularly those States and 
units of local government that are relatively inexperienced in the 
development of affordable housing;
    (c) Encourage private lenders and for-profit developers of low-
income housing to participate in public-private partnerships to achieve 
the purposes of the HOME statute;
    (d) Improve the ability of States and units of local government, 
community housing development organizations, private lenders, and for-
profit developers of low-income housing to incorporate energy 
efficiency into the planning, design, financing, construction and 
operation of affordable housing;
    (e) Facilitate the establishment and efficient operation of 
employer-assisted housing programs, through research, technical 
assistance, and demonstration projects; and
    (f) Facilitate the establishment and efficient operation of land 
bank programs, under which title to vacant and abandoned parcels of 
real estate located in or causing blighted neighborhoods is cleared for 
use consistent with the purposes of the HOME statute.
    (2) McKinney-Vento Act Homeless Assistance Programs Technical 
Assistance. Funds are available to provide technical assistance to 
McKinney-Vento Act funded Homeless Assistance projects. Funds may be 
used to provide technical assistance to prospective applicants, 
applicants, recipients or other providers (project sponsors) of 
McKinney-Vento Act funded housing and supportive services for homeless 
persons. The assistance may include, but is not limited to, written 
information such as papers, manuals, guides and brochures; person-to-
person exchanges; on-site assessments and provision of technical 
expertise; and training and related costs.
    (3) HOPWA Technical Assistance. For the purposes of this CD-TA 
program section of the SuperNOFA, HOPWA technical assistance shall mean 
the transfer to HOPWA grantees and project sponsors and potential 
recipients of program funds, the skills and knowledge needed to 
develop, operate and support HOPWA-eligible projects and activities.
    An applicant for HOPWA TA funds must propose activities on a 
national basis, a regional basis (e.g. serving a multi-state area) or 
within a State or community. The application should emphasize how 
activities will advise and train communities and project sponsors in 
undertaking program planning, community consultations, housing 
development and operations, coordination with related health-care and 
other supportive services, and evaluation and reporting on program 
performance. The Department has established the following national goal 
for all HOPWA TA projects:
     National Goal `` Sustainable and Sound Management of HOPWA 
Programs and Projects.
    HOPWA TA funds may be used to help to build the capacity of 
grantees, project sponsors and potential applicants. The national goal 
is to enhance (1) the organization's ability to use HUD funds in a 
manner that upholds the public trust in the operation of the program, 
and (2) the organization's ability to sustain their projects through 
financial downturns and beyond the term of the grant. Technical 
assistance providers should plan programs on financial assessments, 
developing cost-cutting strategies, long range strategic planning, 
management and operational efficiency, redirecting resources to 
essential housing programs, how to identify new financial resources, 
fund-raising strategies and implementing community-wide planning to 
avoid duplication of service provision. To achieve this goal, HOPWA TA 
can be used in the following areas:
    (a) Management and operations through such activities as:
    (i) Advising on management practices to ensure responsive, 
efficient and cost effective facility and program operations;
    (ii) Advising on fiscal management to ensure accountability in the 
use of funds and in the development of long-term strategies to assure 
financial viability including strategic planning, merger and 
acquisition consideration, financial development programs; and
    (iii) Assisting projects in using the Department's information 
technology, financial systems and information management systems.
    (b) State, local, and community planning through such activities 
as:
    (i) Advising on the coordination of housing with health-care and 
other

[[Page 13898]]

related supportive services for eligible persons;
    (ii) Assisting in developing collaborations with local, State and 
Federal agencies that administer HIV/AIDS-related programs, including 
programs funded under the Ryan White CARE Act;
    (iii) Creating or linking to existing needs assessments of the 
area's housing needs of persons living with HIV/AIDS and their 
families;
    (iv) Creating or linking to comprehensive multiple-year HIV/AIDS 
housing plans that are undertaken in collaboration with local, State 
and federal programs including the Ryan White CARE Act programs; and
    (v) Creating or linking to existing plans that address specialized 
needs of clients, including assistance for clients with serious mental 
illness, chronic alcohol and other drug abuse issues, and homelessness.
    (c) Program evaluation through such activities as:
    (i) Advising on data collection and program evaluation and 
dissemination of results; and
    (ii) Developing and providing program handbooks, guidance 
materials, audio/visual products, training, and other activities to 
promote good management practices.
    HOPWA TA applicants should demonstrate that they will assist in the 
development of Sustainable and Sound Management of HOPWA Programs by 
serving grantees who assist underserved populations and presenting a 
plan that describes an outreach and technical assistance program 
directed to organizations who serve identified underserved populations. 
The Department has been advised by persons living with HIV/AIDS, HIV/
AIDS housing providers, and national organizations, of the continuing 
disparity in accessing health-care and HIV/AIDS treatment among 
underserved populations, such as, racial and ethnic minority 
populations, women, youth, post-incarcerated populations and persons 
living in rural areas. For the purposes of the HOPWA TA portion of this 
NOFA, underserved populations are defined as low-income populations 
living with HIV/AIDS and their families, such as racial or ethnic 
minority groups, women, persons living in rural areas, youth, post-
incarcerated populations, or other underserved groups as determined by 
your service area, whose housing and related service needs are not 
currently being met in your service area. To meet this definition of an 
underserved population, you must present reliable statistics and data 
sources (i.e. Census, health department statistics, research, 
scientific studies, Consolidated Plan, and Continuum of Care 
documentation), showing the unmet need in the provision of housing and 
supportive services for the identified underserved population under 
Rating Factor 2 (1). HUD will consider your presentation of statistics 
and data sources based on soundness and reliability and the specificity 
of information to the underserved population and the area to be served.
    In an effort to meet this continuing need, the highest rated 
applicants will demonstrate an outreach and assistance program to an 
identified underserved population as detailed under Rating Factor 3, 
Soundness of Approach (2) and will support the National HOPWA Goal of 
Sustainable and Sound Management. Such assistance could include linking 
HOPWA grantees and project sponsors to other community based 
organizations that serve an underserved population but have no, or 
limited, experience with providing housing services. Additionally, 
HOPWA TA providers could provide assistance to collaborations targeting 
an underserved population funded under the HOPWA competitive program.
    (E) Sub-Grants Applicants. Sub-Grant Applications may propose to 
make sub-grants to achieve the purposes of their proposed CD-TA 
programs in accordance with program requirements in Section IV of this 
CD-TA Program section of the SuperNOFA.

IV. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA (please especially note a new requirement 
regarding Conducting Business in Accordance with Core Values and 
Ethical Standards found in General Section II(B)(2)), applicants are 
subject to the following requirements:
    (A) Program Requirements for HOME and McKinney-Vento Act Homeless 
Assistance.
    (1) Profit/Fee. No increment above cost, no fee or profit, may be 
paid to any recipient or subrecipient of an award under this CD-TA 
Program section of the SuperNOFA.
    (2) Demand/Response Delivery System.
    (a) As an awardee, you must operate within the structure of the 
demand/response system described in this section. You must coordinate 
your plans with, and operate under the direction of, each HUD Field 
Office within whose jurisdiction you are operating. When so directed by 
a Field Office, you will coordinate your activities instead through a 
lead CD-TA provider or other organization designated by the Field 
Office.
    (b) If selected as the lead CD-TA provider in any Field Office 
jurisdiction, as an awardee you must coordinate the activities of other 
CD-TA providers selected under this CD-TA Program section of the 
SuperNOFA under the direction of the HUD Field Office. Joint activities 
by CD-TA providers may be required.
    (c) Under the demand/response system, CD-TA providers will be 
required to:
    (i) When requested by a Field Office or Government Technical 
Representative (GTR), market the availability of their services to 
existing and potential clients to include local jurisdictions in which 
the assistance will be delivered.
    (ii) Respond to requests for assistance from the HUD Field 
Office(s) with oversight of the geographic service area for which the 
technical assistance will be delivered, including responding to 
priorities established by the Field Office in its Grants Management 
System. HOME PJs, and McKinney-Vento Act Homeless Assistance grantees 
may request assistance from the CD-TA provider directly, but such 
requests must be approved by the local HUD Field Office.
    (iii) When requested by a Field Office or GTR, conduct a Needs 
Assessment to identify the type and nature of the assistance needed by 
the recipients of the assistance. These needs assessments should 
typically identify the nature of the problem to be addressed by the 
technical assistance services; the plan of action to address the need 
including the type of technical assistance services to be provided, the 
duration of the service, the staff assigned to provide the assistance, 
anticipated products and/or outcomes, and the estimated cost for the 
provision of services; and the relationship of the proposed services to 
the planned or expected Consolidated Plan submission to HUD and to 
other technical assistance providers providing service within the 
locality.
    (iv) Obtain approval for the Technical Assistance Delivery Plan 
(TADP) from the HUD Field Office(s) with oversight for the area in 
which service will be provided. (See Section 3 below).
    (v) Work cooperatively with other CD-TA providers in their 
geographic areas to ensure that clients are provided with the full 
range of CD-TA services needed and available. CD-TA providers are 
expected to be knowledgeable about the range of services available from 
other providers, make referrals and arrange visits by other CD-TA 
providers when appropriate, and carry out CD-TA

[[Page 13899]]

activities concurrently when it is cost-effective and in the interests 
of the client to do so. HUD Field Offices may direct CD-TA providers to 
conduct joint activities.
    (3) Technical Assistance Delivery Plan (TADP).
    (a) After selection for funding but prior to award, you must 
develop a TADP for each Field Office jurisdiction or National Program 
for which you have been selected, in consultation with the Field office 
and/or GTR.
    (b) In developing the TADP, you must follow the Field Office's 
management plan determining your priority work activities, location of 
activities, and organizations to be assisted during the cooperative 
agreement performance period.
    (c) The Field Office management plan should indicate the issues to 
be addressed by CD-TA, the improved performance expected as a result of 
CD-TA, and methods for measuring the success of the CD-TA.
    (d) The TADP must delineate all the tasks and sub-tasks for each CD 
program the applicant will undertake in each Field Office jurisdiction. 
The TADP must show the location of the community/State in which the CD-
TA activities will occur, the level of CD-TA funding and proposed 
activities by location, the improved program performance or other 
results expected from the CD-TA and the methodology to be used for 
measuring the success of the CD-TA. A time schedule for delivery of the 
activities, budget summary, budget-by-task and staffing plan must be 
included in the TADP.
    (4) Negotiation. After all applications have been rated and ranked 
and a selection has been made, HUD requires that all winners 
participate in negotiations to determine the specific terms of the TADP 
and the budget. HUD will follow the negotiation procedures described in 
Section III(D) of the General Section of the SuperNOFA.
    (5) Forms, Certifications and Assurances. You must submit with your 
application the forms, certifications and assurances listed in the 
General Section of this SuperNOFA.
    (6) Financial Management and Audit Information. After selection for 
funding but prior to award, you must submit a certification from an 
Independent Public Accountant or the cognizant government auditor, 
stating that your financial management system meets prescribed 
standards for fund control and accountability required by 24 CFR part 
84 for Institutions of Higher Education and other Non-Profit 
Institutions, 24 CFR part 85 for States and local governments, or the 
Federal Acquisition Regulations (for all other applicants). The 
information should include the name and telephone number of the 
independent auditor, cognizant Federal auditor, or other audit agency 
as applicable.
    (7) Training Sessions. When conducting training sessions as part of 
its CD-TA activities, CD-TA providers are required to:
    (a) Design the course materials as ``step-in'' packages (also 
called ``train-the trainer'' packages) so that a Field Office or other 
CD-TA provider may separately give the course on its own;
    (b) Arrange for joint delivery of the training with Field Office 
participation when so requested by the Field Office or by the GTR for 
national grants; and
    (c) When requested by a Field Office and/or GTR, provide for 
professional videotaping of the workshops/courses and ensure their 
production in a professional and high-quality manner, suitable for 
viewing by other CD clients (if this requirement is implemented, 
additional funds may be requested).
    (d) When required by HUD, deliver HUD-approved training courses 
that have been designed and developed by other HUD contractors or HUD 
cooperating parties on a ``step-in'' basis for CD-TA clients, and send 
trainers to HUD-approved Train-the Trainer sessions.
    (8) Reports to Field Offices and/or GTRs. CD-TA providers will be 
required to report to the HUD Field Office(s) with oversight of the 
geographic area(s) in which CD-TA services are provided or to 
Headquarters GTRs in the case of national providers. At a minimum, this 
reporting will be on a quarterly basis unless otherwise specified in 
the approved TADP.
    (9) Active Participation. HUD Field Offices will be active 
participants in the delivery of all technical assistance by funded 
providers throughout the term of the cooperative agreement.
    (10) HOME TA Program Limitations. Pursuant to section 243(b) of the 
Cranston-Gonzalez National Affordable Housing Act, funding to any 
single eligible HOME TA organization, whether as an independent or 
joint applicant, is limited to not more than 20% of the operating 
budget of the recipient organization in any one year and is limited to 
20% of the funds available under this CD-TA program section of the 
SuperNOFA.
    (11) HOME National TA Program Guidance. With the funds designated 
for a national TA program, HUD intends to fund applications which 
propose activities to help HOME participating jurisdictions design and 
implement HOME programs, including: improving their ability to design 
and implement housing strategies and incorporate energy efficiency into 
affordable housing, facilitating the exchange of information to help 
participating jurisdictions carry out their programs; facilitating the 
establishment and efficient operation of employer-assisted housing 
programs; and/or encouraging private lenders and for-profit developers 
of low-income housing to participate in public-private partnerships. 
Proposals should directly address how the capacity of participating 
jurisdictions may be improved to ensure that HOME funds are used 
effectively, efficiently and in compliance with the HOME rules to 
develop affordable housing. Emphasis should be placed on the basic 
skills and systems needed to develop, maintain and manage well designed 
and constructed affordable housing over the long term when using 
Federal funds.
    (12) Affirmatively Furthering Fair Housing. Section II(D) of the 
General Section of the SuperNOFA does not apply to these technical 
assistance programs.
    (B) Program Requirements for HOPWA Technical Assistance.
    (1) General Requirements. The items listed below specify the 
requirements that apply to the HOPWA TA applications as follows: in 
Section IV(A), Paragraphs: (1) Profit/Fee; (4) Negotiation, except that 
the TADP reference will apply to a workplan negotiated between the 
applicant and the GTR for the HOPWA TA grant in HUD Headquarters; (5) 
Forms, Certifications and Assurances; (6) Financial Management and 
Audit Information; (7) Training Sessions; (8) Reports to Field Offices 
and/or GTRs, except that you must report to the HOPWA Headquarters GTR, 
at a minimum, on a quarterly basis, unless otherwise specified in an 
approved HOPWA TA workplan and you will be expected to meet the 
following performance benchmarks: (i) you are required to begin 
technical assistance activities within one year of your selection 
(i.e., one year from the date of the signing of your selection letter 
by HUD); and (ii) you are requested to provide an initial report to the 
Field Office and the Headquarters GTR on the startup of the planned 
activities within six months of your selection. Please outline any 
accomplishments in implementing the funds along with identifying any 
barriers or issues for which the Department may provide assistance. If 
a selected project does not meet the appropriate performance benchmark, 
HUD reserves the right to cancel or withdraw the grant funds.

[[Page 13900]]

    (2) Coordination of HOPWA TA Requests. Except for national 
meetings, research, information and other activities that are conducted 
on a program-wide basis in cooperation with HUD Headquarters, as the 
grantee of HOPWA TA funds, you must work cooperatively with HUD Field 
Offices. You must notify the applicable HUD Field Office of the planned 
activities; must consider the views or recommendations of that office, 
if any; must follow those recommendations, to the degree practicable; 
and must report to the applicable Field Office on the accomplishments 
of this assistance.

V. Application Selection Process

(A) Rating and Ranking

    (1) HUD will evaluate applications competitively and rank them 
against all other applicants that have applied for the same CD-TA 
program (HOME, McKinney-Vento Act Homeless Assistance) within each 
Field Office or as a National Provider under HOPWA. There will be 
separate rankings for each CD-TA program, and you will be ranked only 
against others that have applied for the same CD-TA program.
    (2) Once scores are assigned, all applications will be listed in 
rank order for each CD-TA program for which they applied by Field 
Office jurisdiction and/or the HOPWA National Program. In each Field 
Office jurisdiction or National Program area, all applications for the 
HOME TA program will be listed in rank order on list, all applications 
for the McKinney-Vento Act Homeless Assistance TA program will be 
listed in rank order on another list, and all applications for the 
HOPWA TA national projects will be ranked separately on a third list. 
Under this system, a single application from one organization for all 
CD-TA programs could be assigned different scores and different 
rankings for each program in different Field Offices.
    (3) Applications will be funded in rank order for each CD-TA 
program by Field Office jurisdiction, except for HOPWA TA national 
providers and others which cannot be ranked by Field Office 
jurisdiction. National providers and others will be ranked separately 
and funded in rank order for each CD-TA program. Irrespective of final 
scores, HUD may apply program policy criteria to select one applicant 
in each of the two HOME and McKinney-Vento Act Homeless Assistance) CD-
TA programs in each Field Office or nationally, to ensure diversity of 
methods, approaches, or kinds of projects. HUD will apply these program 
policy criteria to provide coverage of CD-TA services for minorities; 
women, particularly women in the homebuilding professions under section 
233(b)(7) of the Cranston-Gonzalez National Affordable Housing Act; 
persons with disabilities; homeless; persons with special needs; and 
rural areas.
    (4) In addition to the authority in the General Section to adjust 
funding, HUD reserves the right to adjust funding levels for each 
applicant for each CD-TA program, as follows:
    (a) Adjust funding levels for any provider based upon the size and 
needs of the provider's service area within each Field Office 
jurisdiction in which the provider is selected to operate, the funds 
available for that area, the number of other awardees selected in that 
area, funds available on a national basis for providers that will be 
operating nationally, or the scope of the technical assistance to be 
provided;
    (b) To negotiate increased grant awards with applicants approved 
for funding if HUD requests them to offer coverage to geographic areas 
for which they did not apply or budget, or if HUD receives an 
insufficient amount of applications.
    (5) If funds remain after all selections have been made, remaining 
funds may be:
    (a) Distributed among all HUD Field Offices (in proportion to their 
fair-share awards) and/or the National Program, or
    (b) Made available for other CD-TA program competitions.
    (6) If you apply for HOPWA TA funds, you must propose activities 
that will be carried out on a national, regional, State or community 
basis. The Department reserves the right to adjust the amount of 
requested funds that are awarded to correspond with the size of the 
intended service area in comparison to the planned national scope of 
activities to ensure the best use of these limited resources. 
Additionally, HUD may also modify the service area of a selected 
application, if practicable.
    (B) Factors for Award Used to Evaluate and Rate Applications. The 
factors and maximum points for each factor are provided below. The 
maximum number of points to be awarded for a CD-TA application is 100. 
The minimum score for an applicant to be considered in funding range is 
70, with a minimum of 15 points in Factor 1. The CD-TA program is not 
an eligible program for bonus points, as described in Section 
III(C)(1)-(3) of the General Section of the SuperNOFA.
    Rating of the ``applicant'' or the ``applicant's organization and 
staff'', unless otherwise specified, will include any sub-contractors, 
consultants, sub-recipients, and members of consortia which are firmly 
committed to the project.
    When addressing the Factors for Award, you should discuss the 
specific TA projects, activities, tasks, etc. that you suggest be 
carried out during the term of the cooperative agreement. See Sections 
IV(A)(2) and (3) of this CD-TA program section for a discussion of the 
extent to which such activities may be revised at or after the time of 
award. In responding to the Factors, you should be specific about the 
type of experience, knowledge, skills and abilities your organization, 
your staff, and any subcontractors firmly committed to the project have 
with the CD-TA programs and you should provide relevant examples to 
support your application. You should also be specific when detailing 
the communities, populations (HOPWA only) and/or organizations which 
you propose to serve, especially in response to Factor 3, Subfactor 2 
and in detailing the dollar amounts you have leveraged in Factor 4.
    Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience (25 points) (Minimum for Funding Eligibility 
15 points)
    In rating this factor, HUD will consider the extent to which the 
application demonstrates in relation to CD-TA program funding that is 
requested:
    (1) (10 points) Recent, relevant and successful experience of your 
organization and staff in providing technical assistance in all 
eligible activities and to all eligible entities for the CD-TA 
program(s) applied for, as described in the regulations;
    (2) (8 points) The relevant experience, competence, knowledge, 
skills, and abilities of your key personnel in managing complex, multi-
faceted or multi-disciplinary programs that require coordination with 
other CD-TA entities or multiple, diverse units in an organization;
    (3) (7 points) You have sufficient personnel or access to qualified 
experts or professionals with the knowledge, skills, and abilities to 
deliver the proposed level of technical assistance in each proposed 
service area in a timely and effective fashion.
    Rating Factor 2: Potential Effectiveness of the Application in 
Meeting Needs of Target Groups/Localities and Accomplishing Project 
Objectives for Each CD-TA Program for which Funds Are Requested (20 
Points)
    In rating this factor, HUD will consider the extent to which your 
application:
    (1) (8 points) Identifies high priority needs and issues for the CD 
program in

[[Page 13901]]

each community or Field Office jurisdiction for which CD-TA funding is 
requested, or on a national or regional basis for national HOPWA 
grants;
    (2) (7 points) Outlines a clear and cost-effective plan of 
suggested TA activities for addressing those needs and aiding a broad 
diversity of eligible grantees and/or beneficiaries, including those 
which traditionally have been under-served; and
    (3) (5 points) Identifies creative activities to assist eligible 
grantees in participating in the development of, and improving, local 
Consolidated Plans and comprehensive strategies.
    Rating Factor 3: Soundness of Approach (35 Points)
    In rating this factor, HUD will consider the extent to which your 
application evidences a sound approach in addressing identified needs 
and:
    (1) (13 points) Provides a cost effective plan for designing, 
organizing, managing and carrying out the suggested technical 
assistance activities within the framework of the Demand/Response 
System or, for HOPWA TA applicants, in addressing the HOPWA TA goal.
    (2) (12 points) Demonstrates an effective outreach and assistance 
program to specifically identified disadvantaged communities, 
populations (HOPWA only) and/or organizations which previously have 
been underserved and have the potential to participate in CPD programs.
    (3) (5 points) Provides for full geographic coverage, including 
urban and rural areas, (directly or through a consortium of providers) 
of a single State or Field Office jurisdiction or is targeted to 
address the needs of rural areas, minority groups or other under-served 
groups or for HOPWA TA applicants, addresses other approaches that 
respond to identified needs.
    (4) (5 points) Proposes a feasible, creative plan, which uses state 
of the art or new promising technology, to transfer models and lessons 
learned in each of its CD-TA program's activities to grantees and/or 
program beneficiaries in other CD-TA programs.
    Rating Factor 4: Leveraging Resources (10 Points)
    This factor addresses your ability to secure community resources 
(note: financing is a community resource) that can be combined with 
HUD's program resources to achieve program purposes. In evaluating this 
factor HUD will consider: The extent to which you have 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 you are 
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. You also may 
partner with other program funding recipients to coordinate the use of 
resources in the target area.
    You 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. 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 and preferably 
be submitted on the organization's letterhead. 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: Coordination, Self-Sufficiency and Sustainability 
(10 Points)
    This factor addresses the extent to which you coordinate your 
activities with other known organizations, participate or promote 
participation in a community's Consolidated Planning process and 
Continuum of Care homeless assistance strategy, and are working towards 
addressing a need identified in your application as high priority in a 
holistic and comprehensive manner through linkages with other 
activities in the community.
    In evaluating this factor, HUD will consider the extent to which 
you demonstrate you have:
    (1) Coordinated your 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 you will take to share information on solutions and outcomes with 
others. Describe any written agreements, memoranda of understanding in 
place, or that will be in place after award.
    (2) Taken or will take specific steps to work with recipients of 
technical assistance services 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 you propose.
    (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) Applicant Debriefing. As described in the General Section, 
Introduction to the FY 2002 SuperNOFA, applicant debriefings will be 
conducted beginning not less than 30 days after the awards for 
assistance are announced in the Federal Register. Refer to the General 
Section for details.

VI. Application Submission Requirements

    In addition to the forms, certifications and assurances listed in 
Section II(H) of the General Section of the SuperNOFA (collectively 
referred to as the ``standard forms''), your application must, at a 
minimum, contain the following items (except that the following 
paragraphs (C), (D), and (E), do not apply to HOPWA TA applicants). The 
standard forms can be found in Appendix B to the General Section of the 
SuperNOFA.
    (A) Transmittal Letter which identifies the SuperNOFA, the CD-TA 
programs for which funds are requested and the dollar amount requested 
for each program, and the applicant or applicants submitting the 
application. If your organization has never received a CPD technical 
assistance award, please include a statement to this effect in the 
transmittal letter. Additionally, HOPWA TA applicants are requested to 
submit a two-page executive summary outlining the key elements of the 
proposed TA activities.
    (B) Narrative statement addressing the Factors for Award described 
in Section V(B) of this CD-TA Program section of this SuperNOFA. You 
should number the narrative response in accordance with each factor for 
award. This narrative statement will be the basis for evaluating your 
application. It should include a plan of suggested TA activities as 
described in Factors 2, 3, and elsewhere. These suggested TA activities 
may form a starting point for negotiating the TADP described in Section 
IV(A)(3) of this CD-TA Program section of the SuperNOFA. However, they 
are used primarily for purposes of rating and evaluation and may be 
substantially altered and revised during negotiations with the Field 
Offices on the content of the TADPs (see Section

[[Page 13902]]

IV(A)(3)) or Headquarters program office for national projects.
    (C) Statement that identifies the Field Office jurisdictions in 
which you propose to offer services. If you will not offer services 
throughout the full jurisdictional area of the Field Office, your 
statement should identify the service areas involved (e.g., States, 
counties, etc.), as well as the communities in which you propose to 
offer services.
    (D) A matrix that summarizes the amount of funds you are requesting 
for each CD-TA program in each Field Office jurisdiction. (See the CD-
TA application kit for a copy of the matrix to be submitted.)
    (E) A statement as to whether you propose to be considered for the 
role of lead CD-TA provider in one or more specific program areas in a 
Field Office jurisdiction, and if so, your organization's capabilities 
and attributes that qualify you for the role.
    (F) Budget Summary identifying costs for implementing the plan of 
suggested TA activities by cost category for each CD-TA program for 
which funds are requested by Field Office or as a National Provider (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, quantity, unit cost per 
item, estimated cost per item, and the total estimated material costs;
    (4) Transportation Costs, as applicable.
    (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 days, rate per day, total estimated consultant 
costs per consultant and total estimated costs for all consultants;
    (7) Subcontract Costs, if applicable. Indicate each individual 
subcontract and amount;
    (8) Other Direct Costs listed by item, quantity, unit cost, total 
for each item listed, and total other 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.
    These line items should total the amount requested for each CD-TA 
program area. The grand total of all CD-TA program funds requested 
should reflect the grand total of all funds for which application is 
made.

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    In accordance with 24 CFR 50.19(b)(9) and 58.34(a)(9), the 
assistance provided by these programs relates only to the provision of 
technical assistance and is categorically excluded from the 
requirements of the National Environmental Policy Act and 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 these technical assistance programs.

IX. Authority

    HOME Technical Assistance. The HOME Technical Assistance Program is 
authorized by the HOME Investment Partnerships Act (42 U.S.C. 12781-
12783); 24 CFR part 92.
    McKinney-Vento Act Homeless Assistance Programs Technical 
Assistance. The Supportive Housing Program is authorized under 42 
U.S.C. 11381 et seq.; 24 CFR 583.140. The Emergency Shelter Grant, 
Section 8 Moderate Rehabilitation Single Room Occupancy Program and 
Shelter Plus Care Technical Assistance Programs are authorized by the 
FY 2002 HUD Appropriations Act.
    HOPWA Technical Assistance. The HOPWA Technical Assistance program 
is authorized under the FY 2002 HUD Appropriations Act. The HOPWA 
program is authorized under the AIDS Housing Opportunities Act (42 
U.S.C. 12901) and the HOPWA regulations are found at 24 CFR part 574.

              Appendix A to CD-TA Program: ``Fair-Share'' Amounts Allocated to Each HUD CPD Office
----------------------------------------------------------------------------------------------------------------
                                                                               McKinney-Vento
                   HUD CPD field office                          HOME TA        Act homeless        HOPWA TA
                                                                                assistance TA
----------------------------------------------------------------------------------------------------------------
Alabama State Office......................................            50,000            40,000  ................
Alaska State Office.......................................            50,000            40,000  ................
Arkansas State Office.....................................            50,000            40,000  ................
California State Office...................................           257,900           242,000  ................
Los Angeles Area Office...................................           224,100           255,000  ................
Caribbean Office..........................................            61,400            40,000  ................
Colorado State Office.....................................            92,100            40,000  ................
Connecticut State Office..................................            50,000            40,000  ................
District of Columbia Office...............................            50,000            83,000  ................
Florida State Office......................................            50,000            70,000  ................
Jacksonville Area Office..................................            79,800            49,000  ................
Georgia State Office......................................            76,800            40,000  ................
Hawaii State Office.......................................            50,000            40,000  ................
Illinois State Office.....................................           156,600           145,000  ................
Indiana State Office......................................            61,400            40,000  ................
Kansas/Missouri State Office..............................            64,500            40,000  ................
St. Louis Area Office.....................................            50,000            40,000  ................
Kentucky State Office.....................................            50,000            40,000  ................
Louisiana State Office....................................            64,500            40,000  ................
Maryland State Office.....................................            50,000            40,000  ................
Massachusetts State Office................................           132,100           182,000  ................
Michigan State Office.....................................           119,800           138,000  ................
Minnesota State Office....................................            50,000            52,000  ................

[[Page 13903]]

 
Mississippi State Office..................................            50,000            40,000  ................
Nebraska State Office.....................................            50,000            40,000  ................
New Jersey State Office...................................            92,100            52,000  ................
New Mexico State Office...................................            50,000            40,000  ................
New York State Office.....................................           267,200           239,000  ................
Buffalo Area Office.......................................            55,300            57,000  ................
North Carolina State Office...............................            67,600            40,000  ................
Ohio State Office.........................................           144,300           104,000  ................
Oklahoma State Office.....................................            50,000            40,000  ................
Oregon State Office.......................................            55,300            40,000  ................
Pennsylvania State Office.................................           122,800           106,000  ................
Pittsburgh Area Office....................................            61,400            57,000  ................
South Carolina State Office...............................            50,000            40,000  ................
Tennessee Knoxville Area Office...........................            61,400            40,000  ................
Texas State Office........................................           156,600            88,000  ................
San Antonio Area Office...................................            50,000            40,000  ................
Virginia State Office.....................................            55,300            40,000  ................
Washington State Office...................................            58,300            67,000  ................
Wisconsin State Office....................................            61,400            54,000  ................
                                                           -----------------------------------------------------
    National Total........................................         1,500,000  ................         2,000,000
----------------------------------------------------------------------------------------------------------------

Appendix B to CD-TA Program--List of HUD CPD Field Offices

Alabama

Alabama State Office, Medical Forum Building, 950 22nd Street North, 
Suite 900, Birmingham, AL 35203, CPD Telephone Number 205-631-2630, 
ext 1051, TTY Number: 205-731-2624, Local Hours of Operation: 8 am-
4:30 pm

Alaska

Alaska State Office, University Plaza Building, 949 East 36th 
Avenue, Suite 401, Anchorage, AK 99508-4399, CPD Telephone Number: 
907-271-3669, TTY Number: 907-271-4328, Local Hours of Operation: 8 
am-4:30 pm

Arizona

California State Office, Phillip Burton Federal Building and U.S. 
Courthouse, 450 Golden Gate Avenue, P.O. Box 36003, San Francisco, 
CA 94102-3448, CPD Telephone Number: 415-436-6597, TTY Number: 415-
436-6594, Local Hours of Operation: 8:15 am-4:45 pm

Arkansas

Arkansas State Office, TCBY Tower, 425 West Capitol Avenue, Suite 
900, Little Rock, AR 72201-3488, CPD Telephone Number: 501-324-6375, 
TTY Number: 501-324-5931, Local Hours of Operation: 8 am-4:30 pm

California

Northern--California State Office, Phillip Burton Federal Building 
and U.S. Courthouse, 450 Golden Gate Avenue, P.O. Box 36003, San 
Francisco, CA 94102-3448, CPD Telephone Number: 415-436-6597, TTY 
Number: 415-436-6594, Local Hours of Operation: 8:15 am-4:45 pm
Southern--Los Angeles Area Office, 611 West 6th Street, Suite 800, 
Los Angeles, CA 90017, CPD Telephone Number: 213-894-8000, TTY 
Number: 213-894-8133, Local Hours of Operation: 8 am-4:30 pm

Caribbean

Caribbean Office, 171 Carlos E. Chardon Avenue, Suite 301, San Juan, 
PR 00918-0903, CPD Telephone Number: 787-766-5400, TTY Number 787-
766-5909, Local Hours of Operation: 8 am-4:30 pm

Colorado

Colorado State Office, 633 17th Street, 14th Floor, Denver, CO 
80202-3607, CPD Telephone Number: 303-672-5414, TTY Number: 303-672-
5248, Local Hours of Operation: 8 am-4:30 pm

Connecticut

Connecticut State Office, One Corporate Center, 19th Floor, 
Hartford, CT 06103-3220, CPD Telephone Number: 860-240-4800, TTY 
Number: 860-240-4665, Local Hours of Operation: 8 am-4:30 pm

Delaware

Pennsylvania State Office, The Wanamaker Building, 100 Penn Square 
East, Philadelphia, PA 19107-3380, CPD Telephone Number: 215-656-
0624, TTY Number: 215-656-3452, Local Hours of Operation: 8 am-4:30 
pm

District of Columbia

District of Columbia Office, 820 First Street, NE., Suite 450, 
Washington, DC 20002, CPD Telephone Number: 202-275-0994, TTY 
Number: 202-275-0772, Local Hours of Operation: 8 am-4:30 pm

Florida

Southern--Florida State Office, 909 Southeast First Avenue, Room 
500, Miami, FL 33131, CPD Telephone Number: 305-536-4431, TTY 
Number: 305-536-4743, Local Hours of Operation: 8:30 am-5 pm
Northern--Jacksonville Area Office, Southern Bell Tower, 301 West 
Bay Street, Suite 2200, Jacksonville, FL 32202-5121, CPD Telephone 
Number: 904-232-1777, TTY Number: 904-232-2631, Local Hours of 
Operation: 8 am-4:30 pm

Georgia

Georgia State Office, Five Points Plaza Building, 40 Marietta 
Street, Atlanta, GA 30303-2806, CPD Telephone Number: 404-331-5001, 
TTY Number: 404-730-2654, Local Hours of Operation: 8 am-4:30 pm

Hawaii

Hawaii State Office, Seven Waterfront Plaza, 500 Ala Moana 
Boulevard, Suite 3A, Honolulu, HI 96813-4918, CPD Telephone Number: 
808-522-8180, TTY Number: 808-522-8193, Local Hours of Operation: 8 
am-4 pm

Idaho

Oregon State Office, 400 Southwest Sixth Avenue, Suite 700, 
Portland, OR 97204-1632, CPD Telephone Number: 503-326-7018, TTY 
Number: 503-326-3656, Local Hours of Operation: 8 am-4:30 pm

Illinois

Illinois State Office, Ralph H. Metcalfe Federal Building, 77 West 
Jackson Boulevard, Chicago, IL 60604-3507, CPD Telephone Number: 
312-353-1696, TTY Number: 312-353-5944, Local Hours of Operation: 
8:15 am-4:45 pm

Indiana

Indiana State Office, 151 North Delaware Street, Indianapolis, IN 
46204-2526, CPD Telephone Number: 317-226-6790, TTY Number: 317-226-
7081, Local Hours of Operation: 8 am-4:45 pm

Iowa

Nebraska State Office, Executive Tower Centre, 10909 Mill Valley 
Road, Omaha, NE 68154-3955, CPD Telephone Number:

[[Page 13904]]

402-492-3181, TTY Number: 402-492-3183, Local Hours of Operation: 8 
am-4:30 pm

Kansas

Kansas/Missouri State Office, Gateway Tower II, 400 State Avenue, 
Kansas City, KS 66101-2406, CPD Telephone Number: 913-551-5485, TTY 
Number: 913-551-6972, Local Hours of Operation: 8 am-4:30 pm

Kentucky

Kentucky State Office, 601 West Broadway, Post Office Box 1044, 
Louisville, KY 40201-1044, CPD Telephone Number: 502-582-6163, TTY 
Number: 1-800-648-6056, Local Hours of Operation: 8 am-4:45 pm

Louisiana

Louisiana State Office, Hale Boggs Federal Building, 501 Magazine 
Street, 9th Floor, New Orleans, LA 70130-3099, CPD Telephone Number: 
504-589-7212, TTY Number: 504-589-7279, Local Hours of Operation: 8 
am-4:30 pm

Maine

Massachusetts State Office, Thomas P. O'Neill, Jr. Federal Building, 
10 Causeway Street, Room 531, Boston, MA 02122, CPD Telephone 
Number: 617-994-8350, TTY Number: 617-565-5453, Local Hours of 
Operation: 8:30 am-5 pm

Maryland

Maryland State Office, City Crescent Building, 10 South Howard 
Street, Fifth Floor, Baltimore, MD 21201-2505, CPD Telephone Number: 
410-962-2520, TTY Number: 410-962-0106, Local Hours of Operation: 8 
am-4:30 pm

Massachusetts

Massachusetts State Office, Thomas P. O'Neill, Jr. Federal Building, 
10 Causeway Street, Room 531, Boston, MA 02122, CPD Telephone 
Number: 617-994-8350, TTY Number: 617-565-5453, Local Hours of 
Operation: 8:30 am-5 pm

Michigan

Michigan State Office, Patrick V. McNamara Federal Building, 477 
Michigan Avenue, Detroit, MI 48226-2592, CPD Telephone Number: 313-
226-7188, TTY Number: 313-226-6899, Local Hours of Operation: 8 am-
4:30 pm

Minnesota

Minnesota State Office, 220 Second Street, South, Minneapolis, MN 
55401-2195, CPD Telephone Number: 612-370-3019, TTY Number: 612-370-
3186, Local Hours of Operation: 8 am-4:30 pm

Mississippi

Mississippi State Office, Doctor A. H. McCoy Federal Building, 100 
West Capitol Street, Room 910, Jackson, MS 39269-1096, CPD Telephone 
Number: 601-965-4700, TTY Number: 601-965-4171, Local Hours of 
Operation: 8 am-4:45 pm

Missouri

Eastern--St. Louis Area Office, Robert A. Young Federal Building, 
1222 Spruce Street, Third Floor, St. Louis, MO 63103-2836, CPD 
Telephone Number: 314-539-6524, TTY Number: 314-539-6331, Local 
Hours of Operation: 8 am-4:30 pm
Western--Kansas/Missouri State Office, Gateway Tower II, 400 State 
Avenue, Kansas City, KS 66101-2406, CPD Telephone Number: 913-551-
5485, TTY Number: 913-551-6972, Local Hours of Operation: 8 am-4:30 
pm

Montana

Colorado State Office, 633 17th Street, 14th Floor, Denver, CO 
80202-3607, CPD Telephone Number: 303-672-5414, TTY Number: 303-672-
5248, Local Hours of Operation: 8 am-4:30 pm

Nebraska

Nebraska State Office, Executive Tower Centre 10909 Mill Valley 
Road, Omaha, NE 68154-3955, CPD Telephone Number: 402-492-3181, TTY 
Number: 402-492-3183, Local Hours of Operation: 8 am-4:30 pm

Nevada

California State Office, Phillip Burton Federal Building and U.S. 
Courthouse, 450 Golden Gate Avenue, P.O. Box 36003, San Francisco, 
CA 94102-3448, CPD Telephone Number: 415-436-6597, TTY Number: 415-
436-6594, Local Hours of Operation: 8:15 am-4:45 pm

New Hampshire

Massachusetts State Office, Thomas P. O'Neill, Jr. Federal Building, 
10 Causeway Street, Room 531, Boston, MA 02122, CPD Telephone 
Number: 617-994-8350, TTY Number: 617-565-5453, Local Hours of 
Operation: 8:30 am-5 pm

New Jersey

New Jersey State Office, One Newark Center, 13th Floor, Newark, NJ 
07102-5260, CPD Telephone Number: 973-622-7900, TTY Number: 973-645-
3298, Local Hours of Operation: 8 am-4:30 pm

New Mexico

New Mexico State Office, 625 Silver Avenue S.W., Suite 100, 
Albuquerque, NM 87102-3185, CPD Telephone Number: 505-346-7271, TTY 
Number: (TTY Relay Operator): 1-800-877-8339, Local Hours of 
Operation: 8 am-5 pm

New York

Downstate--New York State Office, 26 Federal Plaza, New York, NY 
10278-0068, CPD Telephone Number: 212-264-8000, ext. 3401, TTY 
Number: 212-264-0927, Local Hours of Operation: 8 am-4:30 pm
Upstate--Buffalo Area Office, Lafayette Court, 465 Main Street, 
Fifth Floor, Buffalo, NY 14203-1780, CPD Telephone Number: 716-551-
5755, TTY Number: 716-551-5787, Local Hours of Operation: 8 am-4:30 
pm

North Carolina

North Carolina State Office, Koger Building, 2306 West Meadowview 
Road, Greensboro, NC 27407-3707, CPD Telephone Number: 336-547-4005, 
TTY Number: 336-547-4055, Local Hours of Operation: 8 am-4:45 pm

North Dakota

Colorado State Office, 633 17th Street, 14th Floor, Denver, CO 
80202-3607, CPD Telephone Number: 303-672-5414, TTY Number: 303-672-
5248, Local Hours of Operation: 8 am-4:30 pm

Ohio

Ohio State Office, 200 North High Street, Columbus, OH 43215-2499, 
CPD Telephone Number: 614-469-5737, TTY Number: 614-469-6694, Local 
Hours of Operation: 8 am-4:45 pm

Oklahoma

Oklahoma State Office, 500 West Main Street, Suite 400, Oklahoma 
City, OK 73102-2233, CPD Telephone Number: 405-553-7569, TTY Number: 
(TTY Relay Operator): 1-800-877-8339, Local Hours of Operation: 8 
am-4:30 pm

Oregon

Oregon State Office, 400 Southwest Sixth Avenue, Suite 700, 
Portland, OR 97204-1632, CPD Telephone Number: 503-326-7018, TTY 
Number: 503-326-3656, Local Hours of Operation: 8 am-4:30 pm

Pennsylvania

Eastern--Pennsylvania State Office, The Wanamaker Building, 100 Penn 
Square East, Philadelphia, PA 19107-3380, CPD Telephone Number: 215-
656-0624, TTY Number: 215-656-3452, Local Hours of Operation: 8 am-
4:30 pm
Western--Pittsburgh Area Office, 339 Sixth Avenue, Sixth Floor, 
Pittsburgh, PA 15222-2515, CPD Telephone Number: 412-644-2999, TTY 
Number: 412-644-5747, Local Hours of Operation: 8 am-4:30 pm

Rhode Island

Massachusetts State Office, Thomas P. O'Neill, Jr. Federal Building, 
10 Causeway Street, Room 531, Boston, MA 02122, CPD Telephone 
Number: 617-994-8350, TTY Number: 617-565-5453, Local Hours of 
Operation: 8:30 am-5 pm

South Carolina

South Carolina State Office, Strom Thurmond Federal Building, 1835 
Assembly Street, Columbia, SC 29201-2480, CPD Telephone Number: 803-
765-5564, TTY Number: 803-253-3071, Local Hours of Operation: 8 am-
4:45 pm

South Dakota

Colorado State Office, 633 17th Street, 14th Floor, Denver, CO 
80202-3607, CPD Telephone Number: 303-672-5414, TTY Number: 303-672-
5248, Local Hours of Operation: 8 am-4:30 pm

Tennessee

Knoxville Area Office, John J. Duncan Federal Building, 710 Locust 
Street SW, Third Floor, Knoxville, TN 37902-2526, CPD Telephone 
Number: 423-545-4391, TTY Number: 423-545-4559, Local Hours of 
Operation: 7:30 am-4:15 pm

Texas

Northern--Texas State Office, 801 Cherry Street, Post Office Box 
2905, Fort Worth,

[[Page 13905]]

TX 76102, CPD Telephone Number: 817-978-5933, TTY Number: 817-978-
9273, Local Hours of Operation: 8 am-4:30 pm
Southern--San Antonio Area Office, Washington Square, 800 Dolorosa 
Street, San Antonio, TX 78207-4563, CPD Telephone Number: 210-475-
6820, TTY Number: 210-475-6885, Local Hours of Operation: 8 am-4:30 
pm

Utah

Colorado State Office, 633 17th Street, 14th Floor, Denver, CO 
80202-3607, CPD Telephone Number: 303-672-5414, TTY Number: 303-672-
5248, Local Hours of Operation: 8 am-4:30 pm

Vermont

Massachusetts State Office, Thomas P. O'Neill, Jr. Federal Building, 
10 Causeway Street, Room 531, Boston, MA 02122, CPD Telephone 
Number: 617-994-8350, TTY Number: 617-565-5453, Local Hours of 
Operation: 8:30 am-5 pm

Virginia

Virginia State Office, The 3600 Centre, 3600 West Broad Street, 
Richmond, VA 23230-4920, CPD Telephone Number: 804-278-4500, TTY 
Number: 804-278-4501, Local Hours of Operation: 8 am-4:30 pm

Washington

Washington State Office, Seattle Federal Office Building, 909 1st 
Avenue, Suite 200, Seattle, WA 98104-1000, CPD Telephone Number: 
206-220-5150, TTY Number: 206-220-5185, Local Hours of Operation: 8 
am-4:30 pm

BILLING CODE 4210-32-P

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Notices  

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[GRAPHIC] [TIFF OMITTED] TN26MR02.056


  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
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[[Page 13909]]



FUNDING AVAILABILITY FOR THE COMMUNITY DEVELOPMENT BLOCK GRANT 
PROGRAM FOR INDIAN TRIBES AND ALASKA NATIVE VILLAGES

Program Overview

(A) Authority

    Title I of the Housing and Community Development Act of 1974 (42 
U.S.C. 5301 et seq.) and the regulations in 24 CFR part 1003.

(B) Purpose of the Program

    The purpose of the Community Development Block Grant Program for 
Indian Tribes and Alaska Native Villages (ICDBG) is the development of 
viable Indian and Alaska Native communities, including the creation of 
decent housing, suitable living environments, and economic 
opportunities primarily for persons with low and moderate incomes as 
defined in 24 CFR 1003.4.

(C) Available Funds

    The FY 2002 appropriation for the ICDBG Program is $70,000,000. In 
addition, any FY 2001 ICDBG carry-over funding would be available for 
distribution in FY 2002.

(D) Eligible Applicants

    Eligible applicants are Indian tribes or tribal organizations on 
behalf of Indian tribes.

(E) Application Deadline

    June 6, 2002.

(F) Match

    None.

(G) Additional Information

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information.

    Please note: when used in this NOFA the word ``tribe'' means an 
Indian tribe, band, group or nation, including Alaska Indians, 
Aleuts, Eskimos, Alaska Native Villages, ANCSA Village Corporations, 
and ANCSA Regional Corporations.

I. Application Due Date, Addresses for Submission, Tips for 
Application Preparation, Application Kits, Further Information, and 
Technical Assistance

(A) Application Due Date

    Your completed application (one original and two copies) must be 
postmarked on or before 12:00 midnight, on June 6, 2002 and be received 
by the designated Area Office of Native American Programs (ONAP) on or 
within 15 days of the application due date.
    See the General Section of this SuperNOFA for specific procedures 
that you must follow for the form of application submission. Please 
note that for security purposes, applications can only be delivered to 
Area ONAPs via the United States Postal Service. Hand carried 
applications will not be accepted.

(B) Addresses for Submitting Applications to the Appropriate Area ONAP

    Submit original signed application and two copies to the 
appropriate Area ONAP for your jurisdiction. A list of jurisdictions is 
given below. Please note that for security purposes, applications can 
only be delivered to Area ONAPs via the United States Postal Service.

------------------------------------------------------------------------
If you are applying from this
 geographic location then * *   send your application to this Area ONAP:
--------------*---------------------------------------------------------
All States East of the         Eastern/Woodlands Office of Native
 Mississippi River, Plus Iowa   American Programs Grants Management
 and Minnesota.                 Division, 77 West Jackson Blvd., Room
                                2400, Chicago, IL 60604-3507, Telephone:
                                (312) 886-4532, Ext. 2815.
Louisiana, Kansas, Oklahoma,   Southern Plains Office of Native American
 and Texas, except West Texas.  Programs, Grants Management Division,
                                500 W. Main Street, Suite 400, Oklahoma
                                City, OK 73102-3202, Telephone: (405)
                                553-7525.
Colorado, Montana, Nebraska,   Northern Plains Office of Native American
 North Dakota, South Dakota,    Programs, Grants Management Division,
 Utah, and Wyoming.             First Interstate Tower North, 633 17th
                                Street, Denver, CO 80202-3607,
                                Telephone: (303) 672-5465.
Arizona, California, and       Southwest Office of Native American
 Nevada.                        Programs, Grants Management Division,
                                Two Arizona Center, Suite 1650, 400 N.
                                Fifth Street, Phoenix, AZ 85004-2361,
                                Telephone: (602) 379-3865.
New Mexico and West Texas....  Southwest Office of Native American
                                Programs, Grants Management Division,
                                Albuquerque Plaza, 201 3rd Street N.W.,
                                Suite 1830, Albuquerque, NM 87102-3368,
                                Telephone: (505) 346-6923.
Idaho, Oregon, Washington....  Northwest Office of Native American
                                Programs, Grants Management Division,
                                Federal Office Building, 909 First
                                Avenue, Suite 300, Seattle, WA 98104-
                                1000, Telephone: (206) 220-5271.
Alaska.......................  Alaska Office of Native American
                                Programs, Grants Management Division,
                                949 E. 36th Avenue, Suite 401,
                                Anchorage, AK 99508-4399, (907) 271-
                                4603.
------------------------------------------------------------------------

(C) General Tips for ICDBG Application Preparation

    In order to expedite the review of your application and to ensure 
that your application is given a thorough and complete review of all 
responses to each of the components of the selection criteria, please 
indicate on the first page of each project submission, the type of 
project(s) being proposed: Economic Development, Homeownership 
Assistance, Housing Rehabilitation, Land Acquisition to Support New 
Housing, Microenterprise Programs, New Housing Construction or Public 
Facilities & Improvements. This will help to ensure that the 
appropriate project specific thresholds and rating sub-factors will be 
applied.
    In addition, please use separate tabs for each rating factor and 
rating sub-factor. In order to be rated, make sure the response is 
beneath the appropriate heading. Keep the responses in the same order 
as the NOFA. Limit your narrative explanations to 200 words or less and 
provide the necessary data such as a market analysis, a pro forma, 
housing survey data, etc., that support the response. Include all 
relevant material to a response under the same tab. Only include that 
documentation that will clearly and concisely support your response to 
the rating criteria.
    HUD suggests that you do a preliminary rating for your project, 
providing a score according to the NOFA point system. This will help to 
show you how your project might be scored by reviewers. Also, it will 
help to show you where the strengths and weaknesses of the application 
are

[[Page 13910]]

located. This will help you determine where improvements can be made to 
your application prior to its submission.

(D) Application Kits

    For an application kit and any supplemental material please call 
the SuperNOFA Information Center at 1-800-HUD-8929 or the appropriate 
Area ONAP for your jurisdiction as listed above. Persons with hearing 
or speech impairments may call the Center's TTY number at 1-800-HUD-
2209. An application kit also will be available on the Internet through 
the HUD Web site at http://www.hud.gov/grants. When requesting an 
application kit, please refer to ICDBG and provide your name, address 
(including zip code), and telephone number (including area code).

(E) Further Information

    You should direct general program questions to the Area ONAP 
serving your area or to Jackie Kruszek, Office of Native American 
Programs, Office of Public and Indian Housing, Department of Housing 
and Urban Development, 1999 Broadway, Suite 3390, Denver, CO 80202; 
telephone (800) 561-5913. 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.

(F) Technical Assistance

    Before the application due date, we will be available to provide 
you with general guidance and technical assistance. We, however, are 
not permitted to assist in preparing your application. Following 
selection of applicants, but before awards are made, we are available 
to assist you in clarifying or confirming information that is required 
to address a pre-award requirement or condition but will not affect the 
rating or ranking of your application.

Amount Allocated

(A) Available Funds

    The FY 2002 appropriation for the ICDBG Program is $70,000,000. In 
addition, any FY 2001 ICDBG carry-over funding would be available for 
distribution in FY 2002.

(B) General

    Title I of the Housing and Community Development Act of 1974 which 
authorizes CDBG requires grants for Indian tribes be awarded on a 
competitive basis in accordance with selection criteria contained in a 
regulation promulgated by the Secretary after notice and public 
comment. All grant funds awarded in accordance with this NOFA are 
subject to the requirements of 24 CFR part 1003. Applicants within an 
Area ONAP's geographic jurisdiction compete only against each other for 
that Area ONAP's allocation of funds.

(C) Allocations

    The requirements for allocating funds to Area ONAPs responsible for 
program administration are found at 24 CFR 1003.101. Following these 
requirements, based on an appropriation of $70,000,000 less $2,000,000 
retained to fund Imminent Threat Grants, the allocations for FY 2002 
are as follows:

 
 
 
Eastern/Woodland..........................................   $ 5,905,403
Southern Plains...........................................    12,608,675
Northern Plains...........................................    10,791,499
Southwest.................................................    27,710,487
Northwest.................................................     4,741,105
Alaska....................................................     6,242,832
                                                           -------------
    Total.................................................    68,000,000
 

(D) Imminent Threats

    The criteria for grants to alleviate or remove imminent threats to 
health or safety that require an immediate solution are described at 24 
CFR part 1003, subpart E. In order to satisfy these criteria, the 
problem to be addressed must be such that an emergency situation exists 
or would exist if the problem were not addressed. In addition, you may 
use funds only to address imminent threats that are not of a recurring 
nature and that represent a unique and unusual circumstance that 
impacts an entire service area. In accordance with the provisions of 24 
CFR part 1003, subpart E, we will retain $2,000,000 to meet the funding 
needs of imminent threat applications submitted to any of the Area 
ONAPs. The grant ceiling for imminent threat applications for FY 2002 
is $350,000. We established this ceiling pursuant to the provisions of 
24 CFR 1003.400(c).
    You do not have to submit a request for assistance under the 
imminent threat set-aside (24 CFR part 1003, subpart E) by the deadline 
established in this NOFA. The deadline applies only to applications 
submitted for assistance under 24 CFR part 1003, subpart D, Single 
purpose grants.
    If, in response to a request for assistance, an Area ONAP issues 
you a letter to proceed under the authority of 24 CFR 1003.401(a), then 
your application must be submitted to and approved by the Area ONAP 
before a grant agreement may be executed. This application must 
contain: Standard Form 424, Application for Federal Assistance; a brief 
description of the proposed project; Form HUD-4123, Cost Summary; Form 
HUD-4125, Implementation Schedule; Form HUD-2880, Applicant/Recipient 
Disclosure/Update Report; and, Form HUD-50070, Certification for a 
Drug-Free Workplace.

III. Program Description; Eligible Applicants; Eligible Activities; 
and Definitions

(A) Program Description

    The purpose of the ICDBG Program is the development of viable 
Indian and Alaska Native communities, including the creation of decent 
housing, suitable living environments, and economic opportunities 
primarily for persons with low and moderate incomes.

(B) Eligible Applicants

    To apply for funding you must be eligible as an Indian Tribe (or as 
a tribal organization) by the application submission date.
    Tribal organizations are permitted to submit applications under 24 
CFR 1003.5(b) on behalf of eligible tribes when one or more eligible 
tribe(s) authorize the organization to do so under concurring 
resolutions. As is stated in this regulatory section, the tribal 
organization must itself be eligible under title I of the Indian Self-
Determination and Education Assistance Act. A determination of such 
eligibility must be made by the Bureau of Indian Affairs or the Indian 
Health Service, as appropriate. This determination must be provided to 
the ONAPs by the application submission date.
    If a tribe or tribal organization claims that it is a successor to 
an eligible entity, the ONAPs must review the documentation to 
determine whether it is in fact the successor entity.
    Due to the unique structure of tribal entities eligible to submit 
ICDBG applications in Alaska, and as only one ICDBG application may be 
submitted for each area within the jurisdiction of an entity eligible 
under 24 CFR 1003.5, a tribal organization that submits an application 
for activities in the jurisdiction of one or more eligible tribes or 
villages must include a concurring resolution from each such tribe or 
village authorizing the submittal of the application. Each such 
resolution must also indicate that the tribe or village does not itself 
intend to submit an ICDBG application for that funding round. The 
hierarchy for funding priority continues to be the IRA Council, the 
Traditional Village Council, the ANCSA Village Corporation, and the 
ANCSA Regional Corporation.
    On March 13, 2000 (65 FR 13298), the Bureau of Indian Affairs 
published a

[[Page 13911]]

Federal Register notice entitled ``Indian Entities Recognized and 
Eligible to Receive Services From the United States Bureau of Indian 
Affairs.'' This notice provides a listing of Indian Tribal Entities in 
Alaska found to be Indian Tribes as the term is defined and used in 25 
CFR part 83. Additionally, pursuant to title I of the Indian Self-
Determination and Education Assistance Act, ANCSA Village Corporations 
and Regional Corporations are also considered tribes and therefore 
eligible applicants for the ICDBG program.
    Any questions regarding eligibility determinations and related 
documentation requirements for entities in Alaska should be referred to 
the Alaska Area ONAP prior to the application submission date. (See 24 
CFR 1003.5 for a complete description of eligible applicants.)

(C) Eligible Activities

    Activities that are eligible for ICDBG funding are identified at 24 
CFR part 1003, subpart C. Please note that although this subpart has 
not yet been revised to include the restrictions on activity 
eligibility that were added to section 105 of the CDBG statute by 
section 588 of the Quality Housing and Work Responsibility Act of 1998, 
these restrictions apply. Specifically, ICDBG funds may not be used to 
assist directly in the relocation of any industrial or commercial 
plant, facility, or operation, from one area to another, if the 
relocation is likely to result in a significant loss of employment in 
the labor market area from which the relocation occurs. The rating 
factors included under V (J) specify many of the activities listed as 
eligible under part 1003, subpart C. Those listed include new housing 
construction, housing rehabilitation, land acquisition to support new 
housing, homeownership assistance, public facilities and improvements, 
economic development, and micro-enterprise programs. However, the 
following eligible activities not clearly identified by the rating 
factors may be proposed and rated as described below. For a complete 
description of eligible activities, please refer to 24 CFR Part 1003 
Subpart C.
    (1) Acquisition of property. This activity can be proposed as Land 
to Support New Housing or as part of New Housing Construction, Public 
Facilities and Improvements or Economic Development depending on the 
purpose of the land acquisition to support new construction.
    (2) Assistance to Institutions of Higher Learning. If such entities 
have the capacity, they can help the ICDBG grantees to implement 
eligible projects.
    (3) Assistance to Community Based Development Organizations 
(CBDO's). Grantees may provide assistance to these organizations to 
undertake activities related to neighborhood revitalization, community 
economic development or energy conservation.
    (4) Clearance, Demolition. These activities can be proposed as part 
of Housing Rehabilitation, New Housing Construction, Public Facilities 
and Improvements or Land to Support New Housing.
    (5) Code Enforcement. This activity can be proposed as Housing 
Rehabilitation. The activity must comply with the requirements at 24 
CFR 1003.202. HUD approval is required prior to demolition of any 
assisted housing.
    (6) Comprehensive Planning. This activity is eligible, and can be 
proposed, as part of any otherwise eligible project to the extent 
allowed by the 20 percent cap on the grant for planning/administration.
    (7) Energy Efficiency. Associated activities can be proposed under 
Housing Rehabilitation or Public Facilities and Improvements depending 
upon the type of energy efficiency activity.
    (8) Lead Based Paint Abatement and Evaluation. These activities can 
be proposed under Housing Rehabilitation.
    (9) Non-Federal Share. ICDBG funds can be used as a match for any 
non-ICDBG funding to the extent allowed by such funding and the 
activity is eligible under 24 CFR part 1003, Subpart C.
    (10) Privately and Publicly Owned Commercial or Industrial 
Buildings (real property improvements). These activities can be 
proposed under Economic Development. Privately owned commercial 
rehabilitation is subject to the requirements at 24 CFR 1003.202.
    (11) Privately Owned Utilities. Assistance to privately owned 
utilities can be proposed under Public Facilities and Improvements.
    (12) Removal of Architectural Barriers. This includes removing 
barriers that restrict mobility and access for elderly and persons with 
disabilities. This activity can be proposed under Housing 
Rehabilitation or Public Facilities and Improvements depending upon the 
type of structure where the barrier will be removed.

(D) Definitions

    (1) Adopt. To approve by formal tribal resolution.
    (2) Assure. To comply with a specific NOFA requirement. As an 
applicant, you must state your compliance or your intent to comply in 
your application.
    (3) Document. To supply supporting written information and/or data 
in the application that satisfies the NOFA requirement.
    (4) Entity Other than Tribe. A distinction is made between the 
requirements for point award under Rating Factor 3 if a tribe or an 
entity other than the tribe will assume maintenance and related 
responsibilities for projects other than economic development and land 
acquisition to support new housing. Entities other than the tribe must 
have the following characteristics: must be legally distinct from the 
tribal government; their assets and liabilities cannot be considered to 
be assets and liabilities of the tribal government; claims against such 
entities cannot be made against the tribal government; and, must have 
governing boards, boards of directors, or groups or individuals similar 
in function and responsibility to such boards which are separate from 
the tribe's general council, tribal council, or business council, as 
applicable.
    Entities other than the tribe may be completely external to the 
tribe, e.g., a Federal agency, or may be an entity formed or chartered 
under provisions of tribal law, e.g., a tribally chartered non-profit 
or for-profit corporation, tribal utility authority, or tribal 
political subdivision. For example, a housing office that is operated 
as a department of the tribe would be considered the tribe. However, a 
housing office that is operated as a tribally designated housing entity 
(TDHE) would be considered an entity other than the tribe.
    (5) Homeownership Assistance Programs. Tribes may apply for 
assistance to provide direct homeownership assistance to low- and 
moderate-income households to: subsidize interest rates and mortgage 
principal amounts for low- and moderate-income homebuyers; finance the 
acquisition by low- and moderate-income homebuyers of housing that is 
occupied by the homebuyers; acquire guarantees for mortgage financing 
obtained by low- and moderate-income homebuyers from private lenders 
(except that ICDBG funds may not be used to guarantee such mortgage 
financing directly, and grantees may not provide such guarantees 
directly); provide up to 50 percent of any downpayment required from a 
low- and moderate-income homebuyer; or, pay reasonable closing costs 
(normally associated with the purchase of a home) incurred by a low- or 
moderate-income homebuyer.

[[Page 13912]]

    (6) Leverage. Resources that you will use in conjunction with ICDBG 
funds to achieve the objectives of the project. Resources include, but 
are not limited to: tribal trust funds; loans from individuals or 
organizations; State or Federal loans or guarantees; other grants; and 
non-cash contributions and donated services. (See Rating Factor 4 of 
this NOFA for documentation requirements for point award for leveraged 
resources.)
    (7) Microenterprise Programs. Tribes may apply for assistance to 
operate programs to fund the development, expansion and stabilization 
of microenterprises. Microenterprises are defined as commercial 
entities with five or fewer employees, including the owner. 
Microenterprise program activities may entail the following assistance 
to eligible businesses: providing credit, including, but not limited 
to, grants, loans, loan guarantees, and other forms of financial 
support for the establishment, stabilization, and expansion of 
microenterprises; providing technical assistance, advice, and business 
support services to owners of microenterprises and persons developing 
microenterprises; and providing general support, including, but not 
limited to, peer support programs, counseling, child care, 
transportation, and other similar services to owners of 
microenterprises and persons developing microenterprises.
    (8) Operations and Maintenance (O&M) for Public Facilities and 
Improvements. While various items of cost will vary in importance and 
significance depending on the type of facility proposed, there are 
items of expense related to the operation of the physical plant which 
must be addressed in a O&M plan (tribe assumes responsibility) or 
letter of commitment (entity other than tribe will assume these 
responsibilities). These items include daily or other periodic 
maintenance activities; repairs such as replacing broken windows; 
capital improvements or replacement reserves for repairs such as 
replacing the roof; fire and liability insurance (may not be applicable 
to most types of infrastructure projects such as water and sewer 
lines); and, security (may not be applicable to many types of 
infrastructure projects such as roads).
    Please note that while it is possible that the service provider 
may, in its agreement with a tribe, commit itself to cover certain or 
all facility O&M costs, as defined, these O&M costs do not include the 
program service provision costs related to the delivery of services 
(social, health, recreational, educational or other) which may be 
provided in a facility.
    (9) Project Cost. The total cost to implement the project. Project 
cost includes both ICDBG and non-ICDBG funds and resources.
    (10) Standard Housing/Standard Condition. Housing that meets the 
housing quality standards (HQS) adopted by the applicant. The HQS 
adopted by the applicant must be at least as stringent as the Section 8 
HQS contained in 24 CFR 982.401 (Section 8 Tenant-Based Assistance: 
Housing Choice Voucher Program) unless the ONAPs approve less stringent 
standards based on a determination that local conditions make the use 
of Section 8 HQS infeasible. You may submit, before the application due 
date, a request for the approval of standards less stringent than 
Section 8 HQS. If you submit the request with your application, you 
should not assume automatic approval by the ONAPs. The adopted 
standards must provide for a safe house, in physically sound condition 
with all systems performing their intended design functions; a livable 
home environment and an energy efficient building and systems that 
incorporate energy conservation measures; and, an adequate space and 
privacy for all intended household members.

IV. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, as an applicant you must comply with the 
following requirements:

(A) Program Requirements Applying to All Projects

    (1) Grant Ceilings. The authority to establish grant ceilings is 
found at 24 CFR 1003.100(b)(1). Grant ceilings are established for FY 
2002 funding at the following levels:

----------------------------------------------------------------------------------------------------------------
                    Area ONAP                                      Population                        Ceiling
----------------------------------------------------------------------------------------------------------------
Eastern/Woodlands...............................  ALL.........................................          $500,000
Southern Plains.................................  ALL.........................................           750,000
Northern Plains.................................  ALL.........................................           800,000
Southwest.......................................  50,001+.....................................         5,000,000
                                                  10,501-50,000...............................         2,500,000
                                                  7,501-10,500................................         2,000,000
                                                  6,001-7,500.................................         1,000,000
                                                  1,501-6,000.................................           750,000
                                                  0-1,500.....................................           550,000
Northwest.......................................  ALL.........................................           500,000
Alaska..........................................  ALL.........................................           500,000
----------------------------------------------------------------------------------------------------------------

    For the Southwest Area ONAP jurisdiction, the population used to 
determine ceiling amounts is the Native American population that 
resides on a reservation or rancheria. Please contact that office 
before submitting your application if you are unsure of the population 
level to use to determine the ceiling amount for your tribe or if you 
believe that the level used for previous years needs to be revised or 
corrected. The Southwest ONAP must approve any corrections or revisions 
to Native American population data before you submit your application.
    (2) Environmental Requirements. As required by 24 CFR 1003.605, 
ICDBG grantees must perform environmental reviews of ICDBG activities 
in accordance with 24 CFR part 58. Grantees may not commit or expend 
any ICDBG or nonfederal funds on project activities (other than those 
listed in 24 CFR 58.34 or 58.35(b)) until HUD has approved a Request 
for Release of Funds and environmental certification submitted by the 
grantee. The expenditure or commitment of ICDBG or nonfederal funds for 
such activities prior to HUD approval may result in the denial of 
assistance for the project or activities under consideration.
    (3) Indian Preference. HUD has determined that the ICDBG program is 
subject to section 7(b) of the Indian Self-Determination and Education 
Assistance Act (25 U.S.C. 450e(b)). The provisions and requirements for

[[Page 13913]]

implementing this section are in 24 CFR 1003.510.
    (4) Anti-discrimination Provisions. Under the authority of section 
107(e)(2) of the CDBG statute, HUD waived the requirement that 
recipients comply with the anti-discrimination provisions in section 
109 of the CDBG statute with respect to race, color, and national 
origin. You must comply with the other prohibitions against 
discrimination in section 109 (HUD's regulations for section 109 are in 
24 CFR part 6) and with the Indian Civil Rights Act.
    (5) Conflict of Interest. In addition to the conflict of interest 
requirements with respect to procurement transactions found in 24 CFR 
85.36 and 84.42, as applicable, the provisions of 24 CFR 1003.606 apply 
to such activities as the provision of assistance by the recipient or 
sub-recipients to businesses, individuals, and other private entities 
under eligible activities that authorize such assistance.
    (6) Economic Opportunities for Low and Very Low-Income Persons 
(Section 3). Section 3 requirements apply to the ICDBG Program, but as 
stated in 24 CFR 135.3(c), the procedures and requirements of 24 CFR 
part 135 apply to the maximum extent consistent with, but not in 
derogation of, compliance with Indian Preference.

(B) Program Requirements Applying to Specific Projects

    (1) Low and Moderate Income Status for Rehabilitation Projects.
    All households that receive grant assistance under a housing 
rehabilitation project will be of low- and moderate-income status.
    (2) Housing Rehabilitation Cost Limits.
    Grant funds spent on rehabilitation per house must fall within the 
following limits for each Area ONAP jurisdiction:

(i) Eastern/Woodlands.....................................       $35,000
(ii) Southern Plains......................................        20,000
(iii) Northern Plains.....................................        35,000
(iv) Southwest............................................        40,000
(v) Northwest.............................................        40,000
(vi) Alaska...............................................        55,000
 

    (3) Commitment to Housing for Land Acquisition to Support New 
Housing Projects. For land acquisition to support new housing projects, 
your application must include evidence of a financial commitment and an 
ability to construct at least 25 percent of the housing units to be 
built on the land proposed for acquisition. This evidence must consist 
of one (or more) of the following: a firm or conditional commitment to 
construct (or to finance the construction of) the units; documentation 
that an approvable application for the construction of these units has 
been submitted to a funding source or entity; or, documentation that 
these units are specifically identified in the Indian Housing Plan 
(IHP), (one-Year Financial Resources Narrative; Table 2, Financial 
Resources, Part I., Line 1E; and Table 2, Financial Resources, Part 
III) submitted on or on behalf of the applicant as an affordable 
housing resource with a commensurate commitment of Indian Housing Block 
Grant (IHBG) (aka the Native American Housing Block Grant (NAHBG)) 
resources. If the IHP for the IHBG (aka NAHBG) Program year that 
coincides with the implementation of the ICDBG proposed project has not 
been submitted, you must provide an assurance that when submitted, the 
IHP will specifically reference the proposed project.
    (4) Health Care Facilities. If you propose a facility that would 
provide health care services funded by the Indian Health Service (IHS), 
you must assure that the facility meets all applicable IHS facility 
requirements. We recognize that tribes that are contracting services 
from the IHS may establish other facility standards. These tribes must 
assure that these standards at least compare to nationally accepted 
minimum standards.

(C) Inapplicable General Section Program Requirements

    Please note that the requirements in the General Section regarding 
conducting business in accordance with HUD core values and ethical 
standards do not apply to the ICDBG Program. The provision in II(C) of 
the General Section giving two bonus points for eligible activities/
projects to be located in a RC/EZ/EC does not apply. In addition, the 
requirements in Section II(D) of the General Section of the SuperNOFA 
regarding applicability of affirmatively furthering fair housing do not 
apply. The requirement is inconsistent with section 106(a) of the 
Housing and Community Development Act of 1974, as amended, which 
specifically makes inapplicable to the ICDBG program the requirement of 
section 104(b)(2) that the grantee certify that it will affirmatively 
further fair housing.

V. Application Selection Process

    You, the applicant, must meet all of the applicable threshold 
requirements of Section II(B) of the General Section of the SuperNOFA. 
Your application must meet all screening for acceptance requirements 
and all applicant and project specific thresholds listed below. HUD 
will review each application and assign points in accordance with the 
selection factors described in this section. A maximum of 100 points 
may be awarded under Rating Factors 1 through 5 including 1 point 
awarded for applications incorporating accessible design features into 
the proposed project with associated performance measures. To be 
considered for funding, your application must receive a minimum of 15 
points under rating factor 1 and an application score of 70 out of the 
possible total of 100.

(A) Screening for Acceptance

    ONAPs will screen applications for single purpose grants. The ONAPs 
will reject an application that fails this screening and will return 
the application unrated. The ONAPs will accept your application if it 
meets all the criteria listed below as items (1) through (6):
    (1) Your application is received or submitted in accordance with 
the requirements set forth under Address and Application and Submission 
Procedures in the General Section of this SuperNOFA;
    (2) You are eligible;
    (3) The proposed project is eligible;
    (4) Your application contains substantially all the components 
specified in VI of the ICDBG Program Section of this SuperNOFA;
    (5) Your application shows that at least 70% of the grant funds are 
to be used for activities that benefit low and moderate income persons, 
in accordance with the requirements of 24 CFR 1003.208; and
    (6) Your application is for an amount that does not exceed the 
grant ceilings that are established by the NOFA.

(B) Threshold Review

    ONAPs will review each application that passes the screening 
process to ensure that each applicant and each proposed project meets 
the applicant threshold requirements set forth in 24 CFR 1003.301(a) 
and the project specific threshold requirements set forth in 24 CFR 
1003.302.

(C) Rating

    The ONAPs will review and rate each project that meets the 
acceptance criteria and threshold requirements. The total points for 
all rating factors is 100. A maximum of 100 points may be awarded under 
Rating Factors 1 through 5 including 1 point awarded for applications 
incorporating accessible design features into the proposed project with 
associated performance measures. Promoting accessible design features 
is one of HUD's FY 2002 policy priorities as describes in Section (V) 
of the General Section of this SuperNOFA. To be considered for funding, 
your application must receive a minimum of

[[Page 13914]]

15 points under rating factor 1 and an application score of 70 out of 
the possible total of 100.

(D) Public Service Projects

    Because there is a statutory 15 percent cap on the amount of grant 
funds that may be used for public services activities, you may not 
receive a single purpose grant solely to fund public services 
activities. Your application, however, may contain a public services 
component for up to 15 percent of the total grant. This component may 
be unrelated to the other project(s) included in your application. If 
your application does not receive full funding, we will reduce the 
public services allocation proportionately so that it comprises no more 
than 15 percent of the total grant award. In making such reductions, 
the feasibility of the proposed project will be taken into 
consideration. If a proportionate reduction of the public services 
allocation renders such a project infeasible, the project will not be 
funded.

(E) Final Ranking

    We will rank all projects against each other according to the point 
totals they receive, regardless of the type of project or component 
under which the points were awarded. We will select projects for 
funding based on this final ranking, to the extent that funds are 
available. We will determine individual grant amounts in a manner 
consistent with the considerations set forth in 24 CFR 1003.100(b)(2). 
Specifically, ONAPs may approve a grant amount less than the amount 
requested. In doing so, ONAPs may take into account the size of the 
applicant, the level of demand, the scale of the activity proposed 
relative to need and operational capacity, the number of persons to be 
served, the amount of funds required to achieve project objectives, and 
the reasonableness of the project costs. If the ONAPs determine that 
there are not enough funds available to fund a project as proposed by 
the applicant, they may decline to fund that project and may fund the 
next highest-ranking project or projects for which adequate funds are 
available. The ONAPs may select, in rank order, additional projects for 
funding if one of the higher-ranking projects is not funded or if 
additional funds become available.

(F) Tiebreakers

    When rating results in a tie among projects and insufficient 
resources remain to fund all tied projects, the ONAPs will approve 
projects that can be fully funded over those that cannot be fully 
funded. When that does not resolve the tie, the ONAPs will use the 
following factors in the order listed to resolve the tie:
    (1) The applicant that has not received an ICDBG over the longest 
period of time.
    (2) The applicant with the fewest active ICDBGs.
    (3) The project that would benefit the highest percentage of low 
and moderate income persons.

(G) Pre-award Requirements

    If there are technical deficiencies in successful applications, you 
must satisfactorily address these deficiencies before we can make a 
grant award. Please see Section V of the General Section of this NOFA 
for a definition of such a deficiency and a description of the process 
to address and correct the deficiency. You must correct all technical 
deficiencies within the timeframe established by HUD. If they are not 
corrected, we will not make the grant award and will reject your 
application.
    We also may require a successful applicant to provide supporting 
documentation concerning the management, maintenance, operation, or 
financing of proposed projects before a grant agreement can be 
executed. We will normally give you no less than thirty (30) calendar 
days to respond to these requirements. If you do not respond within the 
prescribed time period or you make an insufficient response, the ONAPs 
may determine that you have not met the requirements and may withdraw 
the grant offer. The ONAPs require you to submit supporting 
documentation if specific questions remain concerning the scope, 
magnitude, timing, or method of implementing the project; or you have 
not provided information verifying the commitment of other resources 
required to complete, operate, or maintain the proposed project. You 
may not substitute new projects for those originally proposed in your 
application nor will this information affect your project's rating and 
ranking. We will award, in accordance with the provisions of this NOFA, 
grant amounts that had been allocated for applicants unable to meet 
pre-award requirements.

(H) General Threshold Requirement

    According to 24 CFR 1003.301(a), an applicant who has an 
outstanding ICDBG obligation to HUD that is in arrears, or one that has 
not agreed to a repayment schedule will be disqualified from the 
competition.

(I) Project Specific Threshold Requirements

    Please indicate on the first page of each project submission, the 
type of project(s) (Economic Development, Homeownership Assistance, 
Housing Rehabilitation, Land Acquisition to Support New Housing, 
Microenterprise Programs, New Housing Construction or Public Facilities 
& Improvements) that is (are) being proposed. This will help to ensure 
that the appropriate project specific thresholds and rating sub-factor 
will be applied.
    In addition, for definitions of ``assure'' and ``document'', please 
refer to Section III(D), Definitions of this Program Section of the 
SuperNOFA.
    (1) Housing Rehabilitation Project Thresholds.
    (a) In accordance with 24 CFR 1003.302(a), for housing 
rehabilitation projects, you must adopt rehabilitation standards and 
rehabilitation policies before you submit an application. You must 
submit these standards and policies with the application.
    (b) In accordance with 24 CFR 1003.302(a), you must also provide an 
assurance that project funds will be used to rehabilitate HUD-assisted 
houses only when the tenant/homebuyer's payments are current or the 
tenant/homebuyer is current in a repayment agreement except in an 
emergency situation. Exceptions to this requirement must be approved by 
the ONAP Administrator on a case-by-case basis.
    (2) Land Acquisition to Support New Housing Project Thresholds. No 
project specific thresholds.
    (3) New Housing Construction Project Thresholds. (a) In accordance 
with 24 CFR 1003.302, new housing construction can only be implemented 
through a Community Based Development Organization (CBDO). Eligible 
CBDOs are described in 24 CFR 1003.204(c). You must provide 
documentation establishing that the entity implementing your new 
housing construction project qualifies as a CBDO.
    (b) In accordance with 24 CFR 1003.302, you must also submit with 
your application a current tribal resolution adopting and identifying 
construction standards. The construction standards may be a tribal 
building code or a nationally recognized model code. If it is a tribal 
code, it must regulate all of the areas and sub-areas identified in 24 
CFR 200.925(b). If the code is recognized nationally, it must be the 
latest edition of one of the codes incorporated by reference in 24 CFR 
200.925(c).

[[Page 13915]]

    (c) In accordance with 24 CFR 1003.302, you must also include in 
your application documentation supporting the following:
    (i) All households to be assisted under a new housing construction 
project must be of low or moderate income status;
    (ii) No other housing is available in the immediate reservation 
area that is suitable for the households to be assisted;
    (iii) No other funding sources including an IHBG (aka NAHBG) can 
meet the needs of the household(s) to be served; and
    (iv) The house occupied by the household to be assisted is not in 
standard condition and rehabilitation is not economically feasible, the 
household is currently in an overcrowded house (more than one household 
per house), or the household to be assisted has no current residence.
    (4) Homeownership Assistance Project Thresholds. No project 
specific thresholds.
    (5) Public Facilities and Improvements Project Thresholds. No 
project specific thresholds.
    (6) Economic Development Project Thresholds. In accordance with 24 
CFR 1003.302, for economic development assistance you must provide a 
financial analysis. The financial analysis must demonstrate that the 
project is financially feasible and the project has a reasonable chance 
of success. The analysis must also demonstrate the public benefit 
resulting from the ICDBG assistance. The more funds you request, the 
greater public benefit you must demonstrate. The analysis must also 
establish that to the extent practicable, reasonable financial support 
will be committed from non-federal sources prior to disbursement of 
federal funds; any grant amount provided will not substantially reduce 
the amount of non-federal financial support for the activity; not more 
than a reasonable rate of return on investment is provided to the 
owner; and that grant funds used for the project will be disbursed on a 
pro-rata basis with amounts from other sources. In addition, it must be 
established that the project is financially feasible and has a 
reasonable chance of success.
    (7) Microenterprise Program Thresholds. No project specific 
threshold.

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

    The factors for rating and ranking applications and the points for 
each factor are provided below. A maximum of 100 points may be awarded 
under Rating Factors 1 through 5. To be considered for funding, your 
application must receive a minimum of 15 points under rating factor 1 
and an application score of 70 out of the possible total of 100, the 
maximum any project can receive. The following summarizes the points 
assigned to each rating factor and each rating sub-factor and lists 
which rating sub-factors apply to which project types. Please use this 
table to ensure you are addressing the appropriate rating sub-factor 
for your project.

----------------------------------------------------------------------------------------------------------------
       Rating factor            Rating and  sub-factor              Points                   Project type
----------------------------------------------------------------------------------------------------------------
1..........................  Total......................  30........................  Minimum of 15 Points
                                                                                       Required.
                             (1)(a).....................  10........................  All Project Types.
                             (1)(b).....................  *5 or 7...................  All Project Types.
                             (1)(c).....................  *3 or 8...................  All Project Types.
                             (1)(d).....................  *2 or 5...................  All Project Types.
                             (2)(a).....................  *2 or 0...................  All Project Types.
                             (2)(b).....................  *2 or 0...................  All Project Types.
                             (2)(c).....................  *2 or 0...................  All Project Types.
                             (2)(d).....................  *2 or 0...................  All Project Types.
                             (2)(e).....................  *2 or 0...................  All Project Types.
2..........................  Total......................  20........................  All Project Types.
                             1..........................  5.........................  All Project Types.
                             (2)(a).....................  15........................  Public Facilities and
                                                                                       Improvements and Economic
                                                                                       Development Projects.
                             (2)(b).....................  15........................  New Housing Construction,
                                                                                       Housing Rehabilitation,
                                                                                       Land Acquisition to
                                                                                       Support New Housing, and
                                                                                       Homeownership Assistance
                                                                                       Projects.
                             (2)(c).....................  15........................  Microenterprise Programs.
3..........................  Total......................  35........................  ..........................
                             (1)........................  19........................  All Project Types.
                             (2)........................  1.........................  All Project Types.
                             (3)........................  1.........................  All Project Types.
                             (4)(a)(i)..................  15........................  Public Facilities and
                                                                                       Improvements (tribe
                                                                                       assumes O&M
                                                                                       responsibilities).
                             (4)(a)(ii).................  15........................  Public Facilities and
                                                                                       Improvements (entity
                                                                                       other than tribe assumes
                                                                                       O&M responsibilities).
                             (4)(b).....................  15........................  New Housing Construction,
                                                                                       Housing Rehabilitation,
                                                                                       and Homeownership
                                                                                       Assistance Projects.
                             (4)(c).....................  15........................  Economic Development.
                             (4)(d).....................  15........................  Microenterprise Programs.
                             (4)(e).....................  15........................  Land Acquisition to
                                                                                       Support New Housing.
4..........................  Total......................  10........................  All Project Types.
5..........................  Total......................  5.........................  All Project Types.
    Total possible.........  ...........................  100.......................  Minimum of 70 Points
                                                                                       Required.
----------------------------------------------------------------------------------------------------------------
 * The first number listed indicates the maximum number of points available to current ICDBG grantees under this
  sub-factor. The second number indicates the maximum number of points available to new applicants.

Rating Factor 1: Capacity of the Applicant (30 Points)

    This factor addresses the extent to which you have the 
organizational resources necessary to successfully implement the 
proposed activities in a timely manner. If applicable, past performance 
in administering previous ICDBG grants will be taken into 
consideration. Please specifically address the existence or 
availability of these resources for the specific type of

[[Page 13916]]

activity for which you are applying. You must receive a minimum of 15 
points under this factor for your proposed activity to be eligible for 
funding. HUD will not rate any projects further that do not receive a 
minimum of 15 points under this factor.
(1) Managerial, Technical, and Administrative Capability
(20 points for current ICDBG grantees)
(30 points for new applicants)

    Your application must include documentation demonstrating that you 
possess or can obtain managerial, technical, and/or administrative 
capability necessary to carry out the proposed project. Your 
application must address who will administer the project and how you 
plan to handle the technical aspects of executing the project.
(a) Managerial and Technical Staff
(10 points)

    The extent to which your application describes the roles/
responsibilities and the knowledge/experience of your overall proposed 
project director and staff, including the day-to-day program manager, 
consultants and contractors in planning, managing and implementing 
projects for which funding is being requested. Experience will be 
judged in terms of recent, relevant and successful experience of your 
staff to undertake eligible program activities. In rating this factor, 
HUD will consider experience within the last 5 years to be recent; 
experience pertaining to the specific activities being proposed to be 
relevant; and experience producing specific accomplishments to be 
successful. The more recent the experience and the more experience your 
own staff members who work on the project have in successfully 
conducting and completing similar activities, the greater the number of 
points you will receive for this rating factor.
(b) Project Management Plan and Method
(5 points for current ICDBG grantees)
(7 points for new applicants)

    The extent to which your project management plan identifies the 
specific actions that you and your partners contractors and/or sub 
grantees will take to complete your proposed project on time and within 
budget. Your management plan must include a description of the 
management structure for the program and a schedule outlining the 
estimated completion of all tasks associated with your proposed 
project.
(c) Financial Management
(3 points for current ICDBG grantees)
(8 points for new applicants)

    The extent to which your application describes how your financial 
management systems will facilitate effective fiscal control over your 
proposed project. Effective fiscal control will be judged in terms of 
your financial management and/or internal control policies and 
procedures meeting 24 CFR part 85 and 24 CFR part 1003 requirements as 
evidenced by a tribal resolution adopting such policies and procedures 
and the adopted resolution is included with your application; how you 
will apply your financial systems to the specific project for which you 
are applying; and, the findings of your most recent financial audit or 
a letter of endorsement from your auditor if the most recently 
conducted audit report has not been finalized is included with your 
application.
(d) Procurement and Contract Management
(2 points for current ICDBG grantees)
(5 points for new applicants)
    The extent to which your application describes how your procurement 
and contract administration policies and procedures will facilitate 
effective procurement and contract control over your proposed project. 
Effective procurement and contract control will be judged in terms of 
your procurement and contract administration policy and procedures 
meeting 24 CFR part 85 and 24 CFR part 1003 requirements as evidenced 
by an adopted resolution and included with your application, and how 
you will apply your procurement and contract systems to the specific 
project for which you are applying.
(2) Past Performance
(10 points for current ICDBG grantees) (0 points for new applicants)

    Your performance in administering ICDBG grants over the preceding 
12-month period on any open ICDBG grant will be evaluated based on the 
following performance measures.
    (a) (2 points for current ICDBG grantees) (0 points for new 
applicants) You have had satisfactory progress in meeting the time 
frames established in the HUD-approved Implementation Schedule for the 
ICDBG Program.
    (b) (2 points for current ICDBG grantees) (0 points for new 
applicants) You have had timely submission of required reports 
including the Annual Status and Evaluation Report and Federal Cash 
Transaction Report for the ICDBG Program.
    (c) (2 points for current ICDBG grantees) (0 points for new 
applicants) You have submitted close-out documents to HUD in a timely 
manner. Close-out documents are required for the ICDBG Program within 
90 days of the date it is determined that the criteria for close out at 
24 CFR 1003.508 have been met.
    (d) (2 points for current ICDBG grantees) (0 points for new 
applicants) You have submitted in a timely fashion annual audits in 
accordance with the ICDBG Program requirements and OMB Circular A-133 
and its compliance supplements.
    (e) (2 points for current ICDBG grantees) (0 points for new 
applicants) You have resolved in a timely fashion ICDBG monitoring 
findings and controlled audit findings or no findings in current 
reports.

Rating Factor 2: Need/Extent of the Problem (20 Points)

    This factor addresses the extent to which there is a need for the 
proposed project to address a documented problem among the intended 
beneficiaries.
    (1) (5 points) Your application includes documentation 
demonstrating that the proposed project meets an essential community 
development need by fulfilling a function that is critical to the 
continued existence or orderly development of the community.
    (2) (15 points) Your project benefits the neediest segment of the 
population. The criteria for this sub-factor vary according to the type 
of project for which you are applying. Please note that you may submit 
data that are unpublished and not generally available in order to meet 
the requirements of this section. However, to do so, you must submit a 
demographic data certification along with supporting documentation as 
described in Section VI (A) and (C)(6) below.

(a) Public Facilities and Improvements and Economic Development Project

    The proposed activities benefit the neediest segment of the 
population, as identified below. For economic development projects, you 
may consider beneficiaries of the project as persons served by the 
project and/or persons employed by the project.
    (15 points) 85 percent or more of the beneficiaries are low or 
moderate income.
    (10 points) At least 75 percent but less than 85 percent of the 
beneficiaries are low or moderate income.
    (5 points) At least 55 percent but less than 75 percent of the 
beneficiaries are low or moderate income.

[[Page 13917]]

    (0 points) Less than 55 percent of the beneficiaries are low or 
moderate income.

(b) New Housing Construction, Housing Rehabilitation, Land Acquisition 
to Support New Housing, and Homeownership Assistance Projects

    (15 points) The Indian tribe's IHBG (aka NAHBG) amount was $100,000 
or less in IHBG (aka NAHBG) funds.
    (10 points) The Indian tribe's IHBG (aka NAHBG) amount was more 
than $100,000 but at most $300,000 in IHBG (aka NAHBG) funds.
    (5 points) The Indian tribe's IHBG (aka NAHBG) amount was more than 
$300,000 but at most $500,000 in IHBG (aka NAHBG) funds.
    (0 points) The Indian tribe's IHBG (aka NAHBG) amount was more than 
$500,000 in IHBG (aka NAHBG) funds.

(c) Microenterprise Programs

    The owner(s) of the microenterprise must be low or moderate income 
and the majority of the jobs created or retained will be for low- or 
moderate-income persons. To evaluate need, the nature of the jobs 
created or retained will be evaluated. The owners of the 
microenterprises are low and moderate income and:
    (15 points) All employees are low or moderate income.
    (10 points) At least 75 percent but less than 100 percent of the 
employees are low or moderate income.
    (5 points) At least 55 percent but less than 75 percent of the 
employees are low or moderate income.
    (0 points) Less than 55 percent of the employees are low and 
moderate income.

Rating Factor 3: Soundness of Approach (35 Points)

    This factor addresses the quality and anticipated effectiveness of 
your proposed project in meeting the needs you have identified in 
Rating Factor 2 and the commitment to sustain your proposed project. 
The populations that were described in demographics that documented 
need should be the same populations that will receive the primary 
benefit of the proposed project.

(1) (14 points) Description of and Rationale for Proposed Project

    The extent to which your proposed project is a viable and cost 
effective approach to address the needs outlined under Rating Factor 2 
of your application. You must describe the proposed project in detail 
and indicate why you believe the proposed project will be most 
effective in addressing the identified need. Appropriate information to 
address this subfactor includes the size, type and location of the 
project; rationale for project design; and, anticipated cost savings 
due to innovative program design and/or construction methods. For land 
acquisition to support new housing projects, you must establish that 
there is a reasonable ratio between the number of net usable acres to 
be acquired and the number of low- and moderate-income households to 
benefit from the project.

(2) (5 points) Budget and Cost Estimates

    The quality, thoroughness, and reasonableness of the proposed 
project budget. Cost estimates must be broken down by line item for 
each proposed activity and documented by outside sources when 
appropriate.

(3) (1 point) Accessible Design Features

    Your application incorporates accessible design features into your 
proposed project and provides associated performance measures. 
Promoting accessible design features is one of HUD's FY 2002 policy 
priorities as describes in Section (V) of the General Section of this 
SuperNOFA.

(4) (15 points) Commitment to Sustain Activities

    Your application demonstrates your commitment to sustain your 
proposed activities. The criteria for this sub-factor vary according to 
the type of project for which you are applying.

(a) Public Facilities and Improvement Projects

    (i) If the tribe assumes operation and maintenance responsibilities 
for public facilities and improvements, a resolution that both adopts 
the operation and maintenance plan and commits necessary funds must be 
included in the application
    (15 points) The plan itself is included and addresses maintenance, 
repairs, insurance, replacement reserves and includes a cost breakdown 
for annual expenses; for community buildings only, the source of 
operating funds is identified for any recreation, social or other 
services to be provided by the tribe or other entities and letters of 
commitment from service providers are included which address both 
operating expenses and space needs.
    (10 points) A resolution adopting the operation and maintenance 
plan and committing funds is included; the plan is included and 
addresses most, but not all above items, but does include a 
satisfactory cost breakdown; for community buildings only, above 
service provider commitments (if applicable) as well as the source of 
operating funds are included. Information provided is sufficient to 
determine that the project will proceed effectively.
    (5 points) A resolution adopting the plan and committing funds, or 
a plan addressing most of the above items is included. Information 
provided is sufficient to determine that the project will proceed 
effectively.
    (0 points) None of the above criteria are met.
    (ii) If an entity other than the tribe commits to pay for operation 
and maintenance for public facilities and improvements, the application 
must contain a letter of commitment from the entity that assumes the 
operation and maintenance responsibilities.
    (15 points) Your application contains a letter of commitment from 
the entity that identifies the maintenance responsibilities and, if 
applicable, responsibilities for operations the entity will assume, as 
well as commits the necessary funds to provide for these 
responsibilities; for community buildings only, the source of funds for 
program service provision is identified for any recreation, social or 
other services to be provided by the tribe or other entities and 
letters of commitment from service providers are included which address 
both these funds and space needs.
    (10 points) Your application contains a letter of commitment 
identifying maintenance responsibilities and, if applicable, 
responsibilities for operations the entity will assume, but no 
information committing the necessary funds is included; for community 
buildings only, the source of funds for program service provision is 
identified for any applicable services to be provided by the tribe or 
other entities and letters of commitment from applicable providers are 
included which address both these funds and space needs.
    (5 points) Your application identifies the maintenance provider 
and, if applicable, responsibilities for operations the entity will 
assume, but a letter of commitment is not provided; for community 
buildings only, letters of commitment to provide services are included 
but no information regarding the provision of these funds or space 
needs is provided.
    (0 points) None of the above criteria are met.

(b) New Housing Construction, Housing Rehabilitation, and Homeownership 
Assistance Projects

    (15 points) The ongoing maintenance responsibilities are clearly 
identified for

[[Page 13918]]

the tribe and/or the participants, as applicable. All participant 
maintenance responsibilities are included on a statement to be signed 
by the participant as a condition of receiving grant assistance and the 
statement to be used is included in the application.
    (10 points) Maintenance responsibilities are identified, but 
lacking in detail, and the above statement to be signed by the 
participant is submitted.
    (5 points) Tribal maintenance responsibilities are identified but 
participant responsibilities are either not addressed or do not exist.
    (0 points) None of the above criteria are met.

(c) Economic Development Projects

    You must include information or documentation which addresses or 
provides the following in the application: A description of the 
organizational system and capacity of the entity that will operate the 
business; the feasibility and market analysis of the proposed business 
activity and the financial viability of the project.
    Appropriate documents to include in the application to address 
these items include:
    (i) Articles of incorporation, by-laws, resumes of key management 
positions and board members.
    (ii) Business operating plan.
    (iii) Market study no more than two years old.
    (iv) Feasibility study indicating how the proposed business will 
capture a fair share of the market.
    (v) Detailed cost summary for the development of the project.
    (vi) Five year operating or cash flow financial projections.
    (vii) For the expansion of an existing business, copies of 
financial statements for the most recent three years (or the life of 
the business, if less than three years).
    (15 points) All above documents applicable to the proposed project 
are included in your application and provide evidence that the 
project's chance for financial success is excellent.
    (8 points) All or most of the above documents applicable to the 
proposed project are included and provide evidence that the project's 
chance for financial success is reasonable.
    (0 points) Neither of the above criteria is met.

(d) Microenterprise Programs

    You must include the following information or documentation in the 
application that addresses or provides a description of how your 
microenterprise program will operate. Appropriate information to 
include in the application to address program operations includes:
    (i) Program description. A description of your microenterprise 
program including the types of assistance offered to microenterprise 
applicants and the types of entities eligible to apply for such 
assistance.
    (ii) Processes for selecting applicants. A description of your 
processes for analyzing microenterprise applicants' business plans, 
market studies and financial feasibility. For credit programs, you 
describe your process for determining the loan terms (i.e. interest 
rate, maximum loan amount, duration, loan servicing provisions) to be 
offered to individual microenterprise applicants.
    (15 points) All of the above information or documentation 
applicable to the proposed project are thoroughly addressed in the 
application and the chances for success are excellent.
    (8 points) All or most of the above information or documentation 
applicable to the proposed project are addressed in the application and 
the chances for success are reasonable.
    (0 points) Neither of the above criteria is met.

(e) Land Acquisition Projects to Support New Housing

    Submissions must include the results of a preliminary investigation 
conducted by a qualified independent entity demonstrating that the 
proposed site has suitable soil conditions for housing and related 
infrastructure, available drinking water, access to utilities, 
vehicular access, drainage, nearby social and community services, and 
no known environmental problems.
    (15 points) The submissions include all of the above-mentioned 
items and all necessary infrastructure is in place.
    (8 points) The submissions demonstrate that the proposed site(s) 
is/are suitable for housing but that not all necessary infrastructure 
is in place. A detailed description of resources to be used and a 
detailed implementation schedule for development of all necessary 
infrastructure demonstrates that such infrastructure, as needed for 
proposed housing development, will be developed in time for such 
development, but no later than two years after site purchase.
    (0 points) Neither of the above criteria is met.

Rating Factor 4: Leveraging Resources (10 Points)

    HUD believes that ICDBG funds can be used more effectively to 
benefit a larger number of Native American persons and communities if 
projects are developed that use tribal resources and resources from 
other entities in conjunction with ICDBG funds. To encourage this, we 
will award points based on the percentage of non-ICDBG resources 
provided relative to project costs as follows:

------------------------------------------------------------------------
            Non-ICDBG resources to project costs                Points
------------------------------------------------------------------------
Less than 5 percent........................................            0
At least 5 percent but less than 10 percent................            2
At least 10 percent but less than 15 percent...............            4
At least 15 percent but less than 20 percent...............            6
At least 20 percent but less than 25 percent...............            8
25 percent or more.........................................           10
------------------------------------------------------------------------

    Contributions which could be considered as leveraged resources for 
point award include, but are not limited to: Tribal trust funds; loans 
from individuals or organizations; State or Federal loans or 
guarantees; other grants including IHBG (aka NAHBG) funds; donated 
goods and services needed for the project; land needed for the project; 
and, direct administrative costs.
    Contributions that will not be considered include, but are not 
limited to: Indirect administrative costs as identified in OMB Circular 
A-87, attachment A, section F; contributions of resources to pay for 
anticipated operations and maintenance costs of the proposed project; 
and, in the cases of expansions to existing facilities, the value of 
the existing facility.
    To be considered for point award, letters of firm commitments, 
memoranda of understanding, or agreements to participate from any 
entity, including the tribe that will be providing a contribution to 
the project must accompany the application.
    To demonstrate the commitment of tribal resources, the application 
must contain a council resolution or legal equivalent that identifies 
and commits the tribal resources to the project, subject to approval of 
the ICDBG assistance and favorable outcome of any environmental review 
required under 24 CFR part 58 for the project. In the case of IHBG (aka 
NAHBG) funds, whether they are administered by the tribe or a TDHE, an 
approved IHP must identify and commit the IHBG (aka NAHBG) resources to 
the project. If the tribe/TDHE intends to include the leveraged 
commitment in a future IHP, the application must contain a council 
resolution or legal equivalent that identifies and commits the IHBG 
(aka

[[Page 13919]]

NAHBG) resources to the project subject to the same requirements as 
above.
    To demonstrate the commitment of public agency, foundation, or 
other private party resources, a letter of commitment, memorandum of 
understanding, and/or agreement to participate, including any 
conditions to which the contribution may be subject, must be submitted 
with the application. All letters of commitment must include the donor 
organization's name, the specific resource proposed, the dollar amount 
of the financial or in-kind resource and method for valuation, and the 
purpose of that resource within the proposed project. The commitment 
must be signed by an official of the organization legally authorize to 
make commitments on behalf of the organization and must be conditional 
upon favorable outcome of any environmental review required under 24 
CFR part 58 for the project.
    In addition to the above requirements, for all contributions of 
goods, services and land, you must demonstrate that the donated items 
are necessary to the actual development of the project and include 
comparable costs (or time estimates, if appropriate) that support the 
donation. Land valuation must be established using one of the following 
methods and the documentation must be contained in the application: A 
site specific appraisal no more than two years old; an appraisal of a 
nearby comparable site also no more than two years old; a reasonable 
extrapolation of land value based on current area realtor value guides; 
or, a reasonable extrapolation of land value based on recent sales of 
similar properties in the same area.

Rating Factor 5: Comprehensiveness and Coordination (5 Points)

    This factor addresses the extent to which your project planning and 
proposed implementation reflect a coordinated, community-based process 
of identifying and addressing needs including assisting beneficiaries 
and the program to achieve self-sufficiency/sustainability.
    (1) (2 points) Your application addresses the extent to which you 
have coordinated your activities with other organizations that are not 
directly participating in your proposed work activities (not project 
partners such as those listed under Rating Factor 4: Leveraging), but 
with which you share common goals and objectives and are working toward 
meeting these objectives in a holistic and comprehensive manner. For 
example, your project is consistent with and, to the extent possible, 
identified in the IHP (One-Year Financial Resources Narrative; Table 2, 
Financial Resources, Part I., Line 1E; and, Table 2, Financial 
Resources, Part II) submitted by you or on your behalf for the IHBG 
(aka NAHBG) Program. If the IHP for the IHBG (aka NAHBG) program year 
that coincides with the implementation of the ICDBG proposed project 
has not been submitted, you must provide an assurance that when 
submitted, the IHP will specifically reference the proposed project.
    (2) (3 points) Your proposed project will accomplish measurable 
outcomes such as number of jobs created or obtained; education or job 
training opportunities provided, increased economic self-sufficiency of 
recipients of program beneficiaries; increased homeownership rates; 
and, reduction of drug-related crime or health related hazards.

VI. Application Submission Requirements

(A) Demographic Data

    You may submit data that are unpublished and not generally 
available in order to meet the requirements of this section. You must 
certify that:
    (1) Generally available, published data are substantially 
inaccurate or incomplete;
    (2) Data provided have been collected systematically and are 
statistically reliable;
    (3) Data are, to the greatest extent feasible, independently 
verifiable; and
    Data differentiate between reservation and BIA service area 
populations, when applicable.

(B) Publication of Community Development Statement

    You must prepare and publish or post the community development 
statement portion of your application according to the citizen 
participation requirements of 1003.604.

(C) Application Submission

    Your application must contain the items listed below. You must also 
include the forms, standard forms, certifications, and assurances 
listed in the General Section of the SuperNOFA that are applicable to 
this funding and can be found in Appendix B to the General Section of 
the SuperNOFA. Those forms listed in that Appendix that are applicable 
to this funding are as follows:

(1) Standard Form for Application for Federal Assistance (SF-424)
(2) Federal Assistance Funding Matrix and Certifications (HUD-424M)
(3) Drug-Free Workplace Certification (HUD-50070).
(4) Applicant/Recipient Disclosure/Update Report (HUD-2880).
(5) Certification Regarding Debarment and Suspension (HUD-2992).
(6) Certification of Consistency with RC/EZ/EC Strategic Plan (HUD-
2990), if applicable;
(7) Acknowledgement of Application Receipt (HUD-2993).
(8) Client Comments and Suggestions (HUD-2994), optional.

    In addition, if the application has been submitted by a tribal 
organization as defined in 24 CFR 1003.5(b), on behalf of an Indian 
tribe, you must submit concurring resolutions from the Indian tribe 
stating that the tribal organization is applying on the tribe's behalf.
    The other required items are as follows:
    (1) Community Development Statement that includes:
    (a) Components that address the general threshold requirement and 
the relevant project specific thresholds and rating factors;
    (b) A schedule for implementing the project (form HUD-4125, 
Implementation Schedule); and
    (c) Cost information for each separate project, including specific 
activity costs, administration, planning, technical assistance, and 
total HUD share (form HUD-4123, Cost Summary);
    (2) Certifications (form HUD 4126);
    (3) A map showing project location, if appropriate;
    (4) If the proposed project will result in displacement or 
temporary relocation, a statement that identifies:
    (a) The number of persons (families, individuals, businesses, and 
nonprofit organizations) occupying the property on the date of the 
submission of the application (or date of initial site control, if 
later);
    (b) The number to be displaced or temporarily relocated;
    (c) The estimated cost of relocation payments and other services;
    (d) The source of funds for relocation; and
    (e) The organization that will carry out the relocation activities;
    (5) If applicable, evidence of the disclosure required by 24 CFR 
1003.606(e) regarding conflict of interest.
    (6) If applicable, the demographic data certification described in 
Section VI(A) and V(J), Rating Factor 2 of this NOFA. The data 
accompanying the certification must identify the total number of 
persons benefiting from the project and the total number of low-and-
moderate persons benefiting from the project. Supporting documentation 
must

[[Page 13920]]

include a sample copy of a completed survey form and an explanation of 
the methods used to collect the data, and a listing of incomes by 
household.

VIII. Applicant Debriefing

    Please refer to Section VII (E)(2) of the General Section of this 
SuperNOFA.

IX. Error and Appeals

    Judgments made within the provisions of this NOFA and the program 
regulations (24 CFR part 1003) are not subject to claims of error. You 
may bring arithmetic errors in the rating and ranking of applications 
to the attention of the ONAPs within 30 days of being informed of your 
score. If an arithmetic error was made in the application review and 
rating process that, when corrected, would result in the award of 
sufficient points to warrant the funding of an otherwise approvable 
project, the ONAPs may fund that project in the next funding round 
without further competition.

Appendix A

    The non-standard forms, which follow, are required for your ICDBG 
application.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 13929]]



FUNDING AVAILABILITY FOR THE COMMUNITY OUTREACH PARTNERSHIP CENTERS 
PROGRAM (COPC)

PROGRAM OVERVIEW

    Purpose of the Program. To provide funds to community colleges, 
four-year colleges, and universities to establish and operate Community 
Outreach Partnership Centers (COPCs) to address the problems of urban 
areas.
    Available Funds. Approximately $7.5 million as appropriated in the 
FY 2002 VA-HUD appropriation act.
    Eligible Applicants. Public and private nonprofit institutions of 
higher education granting two- or four-year degrees and accredited by a 
national or regional accrediting agency recognized by the U.S. 
Department of Education.
    Application Deadline. June 20, 2002

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Your completed application is due on or 
before June 20, 2002, at HUD Headquarters.
    Address for Submitting Applications. New Security Procedures. HUD 
has implemented new security procedures that impact on application 
submission procedures. Please read the following instructions carefully 
and completely. HUD will not accept hand delivered applications. 
Applications may be mailed using the United States Postal Service 
(USPS) or may be shipped via the following delivery services: United 
Parcel Service (UPS), FED EX, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without escort. You must, 
therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12 midnight on the 
application due date and received by the designated HUD Office on or 
within fifteen (15) days of the application due date. All applicants 
must obtain and save a Certificate of Mailing showing the date, when 
you submitted your application to the United States Postal Service 
(USPS). The Certificate of Mailing will be your documentary evidence 
that your application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, DHL, 
Fed EX, and Falcon Carrier. Delivery by these services must be made 
during HUD's Headquarters business hours, between 8:30 AM and 5:30 PM 
Eastern time, Monday to Friday. If these companies do not serve your 
area, you should submit your application via the United States Postal 
Service.
    For Application Kits. For an application kit and supplemental 
material you should 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. When requesting an application 
kit, you should refer to COPC and provide your name, address (including 
zip code), and telephone number (including area code). You may also 
download the application kit on the Internet through the HUD Web site 
at http://www.hud.gov.
    For Further Information and Technical Assistance. You may contact 
Armand W. Carriere of HUD's Office of University Partnerships at (202) 
708-3061, ext. 3181. If you have a speech or hearing impairment, you 
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. You may also reach Mr. Carriere via 
the Internet at hud.gov">Carriere@hud.gov">Armand_W._hud.gov">Carriere@hud.gov.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of an application. For more information about the date and 
time of this broadcast, you should consult the HUD web site at the web 
address listed above.

II. Amount Allocated

    Up to $7.5 million has been allocated to fund grants under the 
program. This year, HUD will award two kinds of grants--(A) New Grants 
to applicants who have never received a COPC grant before to undertake 
eligible work and (B) New Directions Grants to fund previous COPC 
recipients (as identified in Section III.(B) below) to undertake new 
directions in their activities. HUD will use up to $6.1 million to fund 
approximately 16 New Grants and up to $1.4 million to fund 
approximately 7 New Directions Grants.

III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. The main purpose of this COPC Program is 
to assist in establishing or carrying out outreach and applied research 
activities addressing the problems of urban areas. But HUD also looks 
to the program to encourage structural change, both within an 
institution of higher education and in the way the institution relates 
to its neighbors. Funding under this program is used to establish and 
operate local Community Outreach Partnership Centers (COPC). The five 
key concepts that your COPC Program should include are:
    (1) Outreach, technical assistance, and applied research should be 
provided to neighborhoods and neighborhood-based organizations based on 
what the residents decide is needed, rather than what the institution 
concludes is appropriate for that neighborhood;
    (2) Community-based organizations and residents should be empowered 
by the project and be your partners throughout the life of the project 
and beyond, from planning to implementation to activities beyond the 
grant;
    (3) Your applied research should be related to the outreach 
activities and be used to influence your activities within the grant 
period or shortly after it ends. HUD will not fund research without 
practical application;
    (4) The assistance you provide should be primarily by faculty, 
students, or to a limited extent, by neighborhood residents or 
community-based organizations funded by the university; and
    (5) Your program should be part of your institution's broader 
effort to meet its urban mission, and be supported by its senior 
officials, rather than just the work of a few faculty members. Your 
proposed activities should not duplicate those of other entities in the 
community and should be appropriate for an institution of higher 
education to undertake in light of its teaching, and research, and 
service missions.
    (B) Eligible Applicants. Eligible applicants for both New Grants 
and New Directions Grants are public or private nonprofit institutions 
of higher education granting two- or four-year degrees and accredited 
by a national or regional accrediting agency recognized by the U.S. 
Department of Education.

[[Page 13930]]

For New Grants, only applicants that have never previously received a 
New Grant, a New Directions Grant, or an Institutionalization Grant are 
eligible. Institutions that participated in a COPC grant as a member of 
a consortium of colleges or universities will be eligible to apply for 
a New Grant if they received 25% or less of the earlier grant. For New 
Directions Grants, applicants must meet the following requirements: you 
must have received a New Grant in FY 1994, 1995, 1996, 1997, 1998 or 
1999; you must never have received a New Directions Grant; and you must 
have drawn down (i.e., requests for reimbursement have been processed), 
by the application due date, at least 75% of the funds you received 
from any previous COPC award. Joint Community Development Program 
grantees are not eligible for either kind of funding, nor are FY 2000 
and 2001 COPC Grantees.
    Consortia of eligible institutions may apply, as long as one 
institution is designated the lead applicant. Since the Statement of 
Work and other facets of the technical review are assessed in the 
context of the proposed staffing, and in order to fund as many eligible 
applicants as possible, HUD has determined that you may be part of only 
one consortium or submit only one application or the application will 
be disqualified. HUD will hold you responsible for ensuring that 
neither you nor any part of your institution, including specific 
faculty, participate in more than one application. For New Directions 
Grants, if you originally received funding as a consortium, you are not 
required to submit again with all the consortium members. Members of a 
previously approved consortium may submit on their own or as part of 
their old consortium. However, as with New Grants, only one application 
from an institution will be permitted.
    Different campuses of the same university system are eligible to 
apply, even if one campus has already received COPC funding. Such 
campuses are eligible as separate applicants only if they have 
administrative and budgeting structures independent of other campuses 
in the system.
    (C) Eligible Activities. Your COPC Program must combine research 
with outreach, work with communities and local governments and address 
the multidimensional problems that beset urban areas. To meet the 
threshold requirements, your New Grant application must be multifaceted 
and address three or more urban problems and you must propose at least 
one distinct activity to address each separate urban problem. Urban 
problems include issues related to housing, economic development, 
neighborhood revitalization, infrastructure, health care, job training, 
education, crime prevention, planning, the environment, community 
organizing, and other areas deemed appropriate by the Secretary. Single 
purpose applications are not eligible. For example, if you propose to 
undertake health education for elementary school children, organizing 
around health issues, and job readiness for the health professions, HUD 
will deem your application as single purpose, because it really only 
addresses the problem of health care. Likewise, if you propose to 
address housing, economic development, and health care problems by 
developing a Geographic Information System, your application would also 
be considered single purpose because it does not propose separate and 
distinct activities for each of the problems you address. As examples 
of eligible projects, if you propose a health care project for the 
elderly, a job training program on construction trades for high school 
seniors, and an affordable housing fair, you would meet the test of 
addressing three urban problems, each with a separate activity. 
Alternatively, if you propose a Geographic Information System to 
identify economic development potential, an oral history of the 
neighborhood, and the creation of block watches, you would also meet 
the test. These are just examples. For more information about the 
projects that have actually been funded under the program, you should 
look at the Office of University Partnerships' web site at www.oup.org. 
If you are applying for a New Directions Grant, you will only be 
required to address two urban problems and undertake at least one 
activity for each of these problems.
    The statute creating COPC is very specific that the programs 
address the problems of urban areas. HUD uses the Census definition of 
an urban area: a single geographic place (e.g., a city, town, or 
village, but not a county) with a population of 2,500 or more. You 
cannot meet this test by aggregating several places smaller than the 
population threshold in order to meet this requirement.
    Funded research must have a clear near-term potential for solving 
specific, significant urban problems. You must have the capacity to 
apply your research results and to work with communities and local 
institutions, including neighborhood groups, local governments, and 
other appropriate community stakeholders, in applying these results to 
specific real-life urban problems.
    While the list of eligible and ineligible activities is the same 
for both New Grant applicants and New Directions Grant applicants, New 
Directions Grant applicants must demonstrate that the proposed 
activities either implement new eligible projects in the current target 
neighborhood(s) or implement eligible projects in a new target 
neighborhood(s). New Directions applicants will be required to 
specifically describe how the activities described in the New 
Directions application differ from the activities described in the 
original COPC application.
    Eligible activities include:
    (1) Research activities that have practical application for solving 
specific problems in designated communities and neighborhoods, 
including evaluation of the effectiveness of the outreach activities. 
In order to ensure that the primary focus of your project is on 
outreach, research may not total more than one-quarter of the total 
project costs contained in any grant made under this COPC funding 
announcement (including the required 50% match).
    (2) Outreach, technical assistance and information exchange 
activities which are designed to address specific urban problems in 
designated communities and neighborhoods. Such activities must total no 
less than three-quarters of your total project costs (including the 
required 25% match). Examples of outreach activities include, but are 
not limited to:
    (a) Assistance to communities to improve consolidated housing and 
community development plans and eliminate impediments to the design and 
implementation of such plans;
    (b) Design of community or metropolitan strategies to resolve urban 
problems of communities and neighborhoods;
    (c) Innovative use of funds to provide direct technical expertise 
and assistance to local community groups, residents, and other 
appropriate community stakeholders to assist them in resolving local 
problems such as homelessness, housing discrimination, and impediments 
to fair housing choice;
    (d) Technical assistance in business start-up activities for low- 
and moderate-income individuals and organizations, including business 
start-up training and technical expertise and assistance, mentor 
programs, assistance in developing small loan funds, business 
incubators, etc;
    (e) Technical assistance to local public housing authorities on 
welfare-to-work initiatives and physical transformations of public or 
assisted

[[Page 13931]]

housing, including development of accessible and visitable housing;
    (f) Job training and other training projects, such as workshops, 
seminars, and one-on-one and on-the-job training;
    (g) Assistance to communities to design ways to use HUD's 
Partnership for Advancing Technology in Housing (PATH) technology such 
as analyzing building codes and building materials or designing new 
building systems. (Remember that actual physical development activities 
are not eligible under COPC.) For more information, see the General 
Section of the SuperNOFA or visit the website at www.pathnet.org;
    (h) Assistance to communities to improve their fair housing 
planning process; and
    (i) Regional projects that maximize the interaction of targeted 
inner city distressed neighborhoods with suburban job opportunities 
similar to HUD's Bridges-to-Work or Moving to Opportunity programs. 
(For more information see www.HUDUSER.org).
    (3) Funds for faculty development including paying for course time 
or summer support to enable faculty members to work on the COPC.
    (4) Funds for stipends or salaries for students (but the program 
cannot cover tuition and fees) while they are working on the COPC.
    (5) Activities to carry out the ``Responsibilities'' listed under 
Section IV (B) below. These activities may include leases for office 
space in which to house the Community Outreach Partnership Center, 
under the following conditions:
    (a) The lease must be for existing facilities not requiring 
rehabilitation or construction;
    (b) No repairs or renovations of the property may be undertaken 
with Federal funds; and
    (c) Properties in the Coastal Barrier Resource System designated 
under the Coastal Barrier Resources Act (16 U.S.C. 3501) cannot be 
leased with Federal funds.
    (6) Components of your program may address metropolitan or regional 
strategies. You must clearly demonstrate how:
    (a) Your strategies are directly related to what the targeted 
neighborhoods and neighborhood-based organizations have decided is 
needed; and
    (b) Neighborhoods and neighborhood organizations are involved in 
the development and implementation of the metropolitan or regional 
strategies.
    (D) Ineligible Activities. Activities ineligible for funding under 
this program are as follows:
    (1) Research activities that have no clear and immediate practical 
application for solving urban problems or do not address specific 
problems in designated communities and neighborhoods.
    (2) Any type of construction, rehabilitation, or other physical 
development costs.
    (3) Costs used for routine operations and day-to-day administration 
of institutions of higher education, local governments or neighborhood 
groups.

IV. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, grantees must meet the following program 
requirements:
    (A) Grant Sizes and Terms. If you are applying for a New Grant, you 
may not request less than $250,000 or more than $400,000. This amount 
must be spent over a three-year period, and your budget must reflect 
this period. Since the Statement of Work (in Section VI.(G)) and the 
Narrative Statement Addressing the Factors for Award (in Section 
VI.(H)) are assessed in the context of the proposed budget and grant 
request, and in the interest of fairness to all applicants, HUD will 
not accept a New Grant application that is under $250,000 or over 
$400,000.
    If you are applying for a New Directions Grant, you may not request 
a grant that exceeds $150,000. This amount must be spent over a two-
year period. Since the Statement of Work and other facets of the 
technical review are assessed in the context of the proposed budget and 
grant request, and in the interest of fairness to all applicants, HUD 
will not accept a New Directions application that is over $150,000.
    (B) Responsibilities. You are required to:
    (1) Employ the research and outreach resources of your institution 
of higher education to solve specific urban problems identified by 
communities served by your Center;
    (2) Establish outreach activities in areas identified in your 
application as the communities to be served;
    (3) Establish a community advisory committee comprised of 
representatives of local institutions and residents of the communities 
to be served to assist in identifying local needs and advise on the 
development and implementation of strategies to address those issues;
    (4) Coordinate outreach activities in communities to be served by 
your Center;
    (5) Facilitate public service projects in the communities served by 
your Center;
    (6) Act as a clearinghouse for dissemination of information;
    (7) Develop instructional programs, convene conferences, and 
provide training for local community leaders, when appropriate; and
    (8) Exchange information with other Centers.
    The clearinghouse function in Section IV(B)(6) above refers to a 
local or regional clearinghouse for dissemination of information and is 
separate and distinct from the functions in (8) above, which relate to 
the provision of information to the University Partnerships 
Clearinghouse, which is the national clearinghouse for the program.
    (C) Cap on Research Costs. No more than 25% of your total project 
costs (Federal share plus match) can be spent on research activities. 
You are, however, not required to undertake any research as part of 
your project. You may apply for a project that is totally for outreach 
activities.
    (D) Match. The non-Federal share may include cash or the value of 
non-cash contributions, equipment and other allowable in-kind 
contributions as detailed in 24 CFR part 84, and in particular 
Sec. 84.23 entitled ``cost sharing or matching.'' You may not count as 
match any costs that would be ineligible for funding under the program 
(e.g., housing rehabilitation).
    (1) If you are a New Grant applicant, you must meet the following 
match requirements:
    (a) Research Activities. 50% of the total project costs of 
establishing and operating research activities.
    (b) Outreach Activities. 25% of the total project costs of 
establishing and operating outreach activities.
    (2) If you are a New Directions Grant applicant, you must meet the 
following match requirements:
    (a) Research Activities. 60% of the total project costs of 
establishing and operating research activities.
    (b) Outreach Activities. 35% of the total project costs of 
establishing and operating outreach activities.
    In previous competitions, some applicants incorrectly based their 
match calculations on the Federal grant amount, not the total project 
costs. An example of how you should calculate the match correctly and a 
worksheet for the calculation are included in the application kit. The 
worksheet, which is also included in the program area section of the 
SuperNOFA, should be included with your application.
    (E) Administrative. Your grant will be governed by the provisions 
of 24 CFR part 84 (Grants and Agreements with Institutions of Higher 
Education, Hospitals, and Other Non-Profit Organizations), A-21 (Cost 
Principles

[[Page 13932]]

for Education Institutions), and A-133 (Audits of States, Local 
Governments, and Non-Profit Organizations. You may not spend more than 
20% of your grant on planning or administrative costs. The application 
kit contains a detailed explanation of what these costs are. You can 
access the OMB circulars at the White House website at 
http:whitehouse.gov/omb/circulars/index.html.

V. Application Selection Process

    There will be two separate competitions--one for New Grants and one 
for New Directions Grants. For each type of grant, applications will be 
rated, ranked, and selected separately. Two types of reviews will be 
conducted: a threshold review to determine your application's 
eligibility; and a technical review to rate your application based on 
the rating factors in Section V(A) below.
    (A) Additional Threshold Requirements For Funding Consideration. 
Under the threshold review, your application can only be rated if you 
are both in compliance with the requirements of the General Section of 
the SuperNOFA and if the following additional standards are met:
    (1) You have met the statutory match requirements, if applying for 
a New Grant or the higher match levels described above, if applying for 
a New Directions Grant.
    (2) You have proposed a program in which at least 75% of the total 
project costs will be for outreach activities.
    (3) For New Grants, you have requested a Federal grant between 
$250,000 and $400,000. For New Directions Grants, you have requested a 
Federal grant that is no more than $150,000.
    (4) You have addressed at least three urban problems (2 urban 
problems if you are a New Directions applicant), such as affordable 
housing, fair housing, economic development, neighborhood 
revitalization, infrastructure, health care; job training, education, 
crime prevention, planning, the environment, and community organizing 
and have proposed at least one separate and distinct activity for each 
problem you propose to address.
    (5) You and any part of your organization are participating in only 
one application.
    (6) Your project will operate in an urban area.
    (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 102. This includes two RC/EZ/EC bonus points, as described 
in the General Section of the SuperNOFA. Unless otherwise noted, New 
Grant applications and New Directions Grant applications will receive 
the same number of points on a given factor.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience (15 Points)

    This factor addresses the extent to which you have 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) For New Grants (15 points). For New Direction Grants (7 
points).
    (a) The knowledge and experience of your 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, relevant and successful experience of your staff to undertake 
eligible program activities. In rating this factor, HUD will consider 
experience within the last 5 years to be recent; experience pertaining 
to the specific activities being proposed to be relevant; and 
experience producing specific accomplishments to be successful. The 
more recent the experience and the more experience your own staff 
members who work on the project have in successfully conducting and 
completing similar activities, the greater the number of points you 
will receive for this rating factor. The following categories will be 
evaluated:
    (i) Undertaking research activities in specific communities that 
have a clear near-term potential for practical application to 
significant urban issues, such as affordable housing, fair housing 
including accessible and visitable housing, economic development, 
neighborhood revitalization, infrastructure, health care, job training, 
education, crime prevention, planning, and community organizing;
    (ii) Undertaking outreach activities in specific communities to 
solve or ameliorate significant urban issues;
    (iii) Undertaking projects with community-based organizations or 
local governments; and
    (iv) Providing leadership in solving community problems and making 
national contributions to solving long-term and immediate urban 
problems.
    (b) Past Performance. For New Directions Grants only (8 points). 
The extent to which you performed successfully under your previous COPC 
grant(s), as measured by:
    (i) Your achievement of specific measurable outcome objectives;
    (ii) Your leveraging of funding beyond the funds originally 
proposed to be leveraged for that project; and
    (iii) The effectiveness of your administration of any previous COPC 
grants (including the timeliness and completeness of your compliance 
with COPC reporting requirements and your ability to have resolved 
problems which presented themselves during the grant period). In 
addressing timeliness of reports, you should compare when your reports 
were due with when they were actually submitted.
    (c) Full points will be awarded for exceptional performance, which 
consistently meets and exceeds promised goals.

Rating Factor 2: Need/Extent of the Problem (15 Points)

    This factor addresses the extent to which there is a need for 
funding your proposed program activities and your indication of the 
urgency of meeting the need in the target area. In responding to this 
factor, you will be evaluated on the extent to which you document the 
level of need for the proposed activity and the urgency in meeting the 
need.
    You should use statistics and analyses contained in a data 
source(s) that is sound and reliable. To the extent that the targeted 
community's Consolidated Plan and Analysis of Impediments to Fair 
Housing Choice (AI) identify the level of the problem and the urgency 
in meeting the need, you should include references to these documents 
in your response.
    If the proposed activity is not covered under the scope of the 
Consolidated Plan and Analysis of Impediments to Fair Housing Choice 
(AI), you 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 Census reports, Continuum of Care gaps 
analysis, law enforcement agency crime reports, Public Housing 
Authorities' Comprehensive Plan, and other sound and reliable sources 
appropriate for your program. You may also address needs in terms of 
fulfilling court orders or consent decrees, settlements, conciliation 
agreements, and voluntary compliance agreements.
    To the extent possible, the data you use should be specific to the 
area where the proposed activity will be carried out. You should 
document needs as they apply to the area where activities will be 
targeted, rather than the entire locality or state.

[[Page 13933]]

Rating Factor 3: Soundness of Approach (50 Points)

    This factor addresses the quality and cost-effectiveness of your 
proposed work plan. There must be a clear relationship between your 
proposed activities, community needs and the purpose of the program 
funding for you to receive points for this factor. The factor will be 
evaluated based on the extent to which the proposed work plan will:
    (1) (10 points). Identify the specific services or activities to be 
performed. Note that you are not required to undertake research as part 
of the grant. In reviewing this subfactor, HUD will consider the extent 
to which:
    (a) There is a clear research agenda;
    (i) With identifiable research projects and outcomes (e.g., 
reports, surveys, etc.)
    (ii) That identifies each task and who will be responsible for it;
    (iii) Which is tied to the outreach agenda (e.g., if you proposed 
to study the extent of housing abandonment in a neighborhood and then 
design a plan for reusing this housing, you would be able to 
demonstrate the link between your proposed research and outreach 
strategies); and
    (iv) Which does not duplicate research by your institution or by 
others for the target area previously completed or currently underway. 
If other complimentary research is underway, you need to describe how 
the proposed research agenda would complement it.
    (b) There is a clear outreach agenda:
    (i) With identifiable outreach projects;
    (ii) That identifies each task and who will be responsible for it;
    (iii) That involves your institution as a whole (i.e., many 
academic disciplines and administrative offices);
    (iv) That provides for on-site or frequent presence in the target 
area; and
    (v) That does not duplicate outreach activities by your institution 
or others for the target area previously completed or currently 
underway.
    (2) (7 points). Involve the communities to be served in a 
partnership for the planning and implementation of your activities. In 
reviewing this subfactor, HUD will look at the extent to which:
    (a) You have formed or will form one or more Community Advisory 
Committees, representative of the communities' diversity (including 
businesses, community groups, residents, and others) to be served to 
develop and implement strategies to address the needs identified in 
Factor 2. You will be expected to demonstrate that you have already 
formed such a committee(s) or secured the commitment of the appropriate 
persons to serve on the committee(s), rather than just describing 
generally the types of people whose involvement you will seek.
    (b) You have involved a wide range of neighborhood organizations 
and local government entities in the identification of your research 
and outreach activities.
    (c) The committee and your partners will play an active role in all 
stages of the project and will not serve as merely advisors or 
monitors.
    (d) Your outreach agenda includes training projects for local 
community leaders, for example, to increase their capacity to direct 
their organizations or undertake various kinds of community development 
projects.
    (3) (6 points). Help solve or address an urgent problem as 
identified in Rating Factor 2 and will achieve the purposes of the 
program within the grant period. In reviewing this subfactor, HUD will 
look at the extent to which:
    (a) You identify specific time phased and measurable objectives to 
be accomplished; your proposed short and long term program objectives 
to be achieved as a result of the proposed activities; the tangible and 
measurable impacts your work program will have on the community in 
general and the target area or population in particular including 
affirmatively furthering fair housing for classes protected under the 
Fair Housing Act; and the relationship of your proposed activities to 
other ongoing or proposed efforts to improve the economic, social or 
living environment in the impact area; and
    (b) Grant funds will pay for activities you conduct directly, 
rather than passing funds through to other entities (In order for your 
application to be competitive, no more than 25 percent of your grant 
funds should be passed to other entities); and
    (c) The activities you propose to undertake are pressing and urgent 
needs, as identified in the documents described in Factor 2.
    (4) (4 points). Potentially yield innovative strategies or ``best 
practices'' that can be replicated and disseminated to other 
organizations, including nonprofit organizations, State and local 
governments. In reviewing this subfactor, HUD will assess your 
demonstrated ability to disseminate results of research and outreach 
activities to other COPCs and communities. HUD will evaluate your past 
experience and the scope and quality of your plan to disseminate 
information on COPC results, strategies, and lessons learned through 
such means as conferences, cross-site technical assistance, 
publications, etc. The more proactive your plan for providing 
information to a wide range of audiences, the greater the number of 
points you will receive.
    (5) (5 points) Include activities that affirmatively further fair 
housing, for example:
    (a) Working with other entities in the community to overcome 
impediments to fair housing, such as discrimination in the sale of 
rental of housing or in advertising, provision of brokerage services, 
or lending;
    (b) Promoting fir housing choice through the expansion of 
homeownership opportunities and improved quality of services for 
minorities, families with children, and persons with disabilities; or
    (c) Providing housing mobility counseling services.
    (6) HUD 2002 Policy Priorities (6 Points)
    The extent to which your application will further and support the 
following priorities of HUD. The quality of the response you provide to 
one or more of HUD's priorities (described below) will determine the 
score you receive. You will receive one point for each policy priority 
addressed, up to a total of 6 points. For a fuller explanation of each 
policy priority, please refer to Section VI. of the General Section of 
this SuperNOFA.
    (a) Increasing Homeownership Opportunities for Low and Moderate 
Income persons, Persons with Disabilities and the Elderly, and 
Minorities and families where English may be a second language.
    (b) Improving the Quality of Public Housing and Increasing Economic 
Mobility Choices for Residents.
    (c) Encouraging Accessible Design Features.
    (d) Improving Computer Access, Literacy, and Employment 
Opportunities.
    (e) Providing Full and Equal Access to Faith-Based and Other 
Community Organizations in HUD Program Implementation.
    (f) Ensuring that Programs are Accountable for the Promises Made 
and the Actions Taken.
    (g) In addition to the HUD policy priorities, the following is a 
program priority: Using PATH Technologies in Housing Construction and 
Rehabilitation. HUD encourages participation in Partnership for 
Advancing Technology in Housing (PATH) for programs that intend to use 
funding for construction or rehabilitation. PATH's goal is to achieve 
dramatic improvement in the quality of

[[Page 13934]]

American housing by the year 2010. PATH encourages leaders from the 
home building, product manufacturing, insurance and financial 
industries and representatives from federal agencies dealing with 
housing issues to work together to spur housing design and construction 
innovations, particularly those innovations that make housing more 
affordable to low and moderate income persons and which are energy 
efficient. PATH has a FY 2002 budget of $8.75 million.
    PATH will provide technical support in design and cost analysis of 
advanced technologies to be incorporated in project construction. 
Applicants should see www.pathnet.org on the Internet for more 
information, the list of technologies, latest PATH Newsletter, results 
from field demonstrations and PATH projects. Applicants are encouraged 
to employ PATH technologies to exceed prevailing national building 
practices by: Reducing costs; improving durability; increasing energy 
efficiency; improving disaster resistance, and reducing environmental 
impact.
    (7) For New Grants (12 points): For New Directions Grants (7 
points). Result in the COPC function and activities becoming part of 
the urban mission of your institution and being funded in the future by 
sources other than HUD. The bases for rating an application for this 
selection factor will be different, depending on whether the 
application is for a New Grant or a New Directions Grant.
    In reviewing this subfactor for a New Grant, HUD will consider the 
extent to which:
    (a) COPC activities relate to your institution's urban mission; 
demonstrate support and involvement of the institution's executive 
leadership; are linked by a formal organizational structure to other 
units related to outreach and community partnerships; are reflected in 
budget and planning documents; are part of a climate that rewards 
faculty work on these activities through promotion and tenure policies; 
benefit students because they are part of a service learning program or 
professional training at your institution (rather than just volunteer 
activities); and are reflected in your curriculum. HUD will look at 
your institution's commitment to faculty and staff continuing work in 
COPC neighborhoods or replicating successes in other neighborhoods and 
to your longer term commitment (e.g., five years after the start of the 
COPC) of hard dollars to COPC work. HUD will consider the extent to 
which your proposed activities are appropriate for an institution of 
higher education because they are tied to your institution's teaching 
or research mission. In addition, HUD will consider the extent to which 
your faculty, staff and students from across many disciplines are 
involved in COPC-like activities as a way of demonstrating your 
institution's commitment to these kinds of activities.
    (b) You have received commitments for funding from sources outside 
the university for related COPC-like projects and activities in the 
targeted neighborhood or other distressed neighborhoods. Funding 
sources to be considered include, but are not limited to, local 
governments, neighborhood organizations, private businesses, your 
institution, and foundations.
    In reviewing this subfactor for a New Directions Grant, HUD will 
consider the extent to which your New Directions project will sustain 
the institutional capacity and commitment of your institution to 
undertake outreach activities. HUD will be looking for increases in the 
number of faculty undertaking this kind of work, increases in the 
number of courses linked to outreach activities and the number of 
students taking these courses, formal changes in institutional policies 
related to support of outreach, and other measures of the impact of 
this work on your institution.
    (8) For New Direction Grants only (5 points). Previous grantees 
have a wealth of knowledge that they can and should share with other 
institutions. If you send a faculty member of your team who has been 
listed in your application to participate in the peer review process 
for New Grants, you will receive 5 points.

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. This factor measures the extent to which 
you have established partnerships with other entities to secure 
additional resources to increase the effectiveness of your proposed 
program activities. Resources may include funding or in-kind 
contributions, such as services or equipment, allocated to the 
purpose(s) of the award you are seeking. Resources may be provided by 
governmental entities, public or private nonprofit organizations, for-
profit private organizations, or other entities willing to establish 
partnerships with you. You may also establish partnerships with funding 
recipients in other grant programs to coordinate the use of resources 
in the target area. In evaluating this factor, HUD will allocate points 
as follows:
    (1) Five (5) points will be awarded for a match that is 50% over 
the required match, as described in Section IV(D) above. Fewer points 
will be assigned depending on the extent of the match. Matching funds 
must be provided unconditionally in order to be counted for this 
factor.
    HUD is concerned that applicants should be providing hard dollars 
as part of their matching contributions to enhance the tangible 
resources going into targeted neighborhoods. Thus, while indirect costs 
can count towards meeting the required match, they will not be used in 
calculating match overage. Only direct costs can count in this factor.
    (2) Up to an additional 5 points will be awarded for the extent to 
which you document that matching funds are provided from eligible 
sources other than your institution (e.g., funds from the city, 
including CDBG, other State or local government agencies, public or 
private organizations, or foundations). Fewer points will be assigned 
depending on the extent of the outside match.
    You must provide evidence of leveraging/partnerships by including 
in the application letters of firm commitment, memoranda of 
understanding, or agreements to participate from any entity, including 
your own institution, that will be providing matching funds to the 
project. Each letter of commitment, memorandum of understanding, or 
agreement to participate should include the organization's name, 
proposed total 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. Unless matching funds are accompanied by a 
commitment letter citing the specific dollar amount pledged, they will 
not be counted towards the match.

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(Maximum 10 points)

    This factor addresses the extent to which you coordinated your 
activities with other known organizations, participate or promote 
participation in your community's Consolidated Planning process, and 
are working towards addressing a need in a holistic and comprehensive 
manner through linkages with other activities in the

[[Page 13935]]

community. If you propose to work in a Community Development Block 
Grant (CDBG) non-entitlement jurisdiction, you will only need to 
address subfactors (1) and (3). If you are working in a CDBG non-
entitlement area, please note that at the beginning of the discussion 
of this factor.
    In evaluating this factor, HUD will consider:
    (1) The extent to which you have coordinated your activities with 
other known organizations that are not directly participating in your 
proposed worked activities, but with which you share common goals and 
objectives and are working toward meeting these objectives in a 
holistic and comprehensive manner;
    (2) The extent to which your application implements practical 
solutions within the grant term to result in assisting beneficiaries of 
grant program funds in achieving independent living, economic 
empowerment, educational opportunities; housing choices or improved 
living environments;
    (3) The extent to which your program exhibits the potential to be 
financially self-sustaining by decreasing dependence on Federal funding 
and relying more on state, local and private funding so your activities 
can be continued after your grant award period is completed.
    (4) Institutionalization of Project Activities. HUD will also 
consider the extent to which your project will result in the kinds of 
activities that will be sustained by the university by becoming part of 
the mission of the institution. HUD will also look at the university's 
monetary commitment to continuing to work in the target area or other 
similar areas and to its longer term commitment of hard dollars to 
similar work.
    (C) Selections. In order to be funded under COPC, you must receive 
a minimum score of 70. HUD intends to fund at least one eligible 
applicant that serves colonias, as defined by section 916(d) of the 
Cranston-Gonzalez National Affordable Housing Act, as long as the 
applicant receives a minimum score of 70. HUD will select the highest 
ranking colonias application from among the rated colonias 
applications.
    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.
    HUD reserves the right to make selections out of rank order to 
provide for geographic distribution of funded COPCs. If HUD decides to 
use this option, it will do so only if two adjacent HUD regions do not 
yield at least one fundable COPC on the basis of rank order. If this 
occurs, HUD will fund the highest ranking applicant within the two 
regions as long as the minimum score of 70 points is achieved.
    After all applications have been rated and ranked and selections 
have been made, HUD may require you, if you are selected, to 
participate in negotiations to determine the specific terms of your 
Statement of Work and grant budget. In cases where HUD cannot 
successfully conclude negotiations, or you fail to provide HUD with 
requested information, an award 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 that applicant.

VI. Application Submission Requirements

    You should include an original and two copies of the items listed 
below. In order to be able to recycle paper, please do not submit 
applications in bound form; binder clips or loose leaf binders are 
acceptable. Also, please, do not use colored paper. Please note the 
page limits for some of the items listed below and do not exceed them.
    Your application must contain the items listed in this section. 
These items include the standard forms, certifications, and assurances 
listed in the General Section of the SuperNOFA that are applicable to 
this funding (collectively, referred to as the ``standard forms''). The 
standard forms can be found in Appendix B to the General Section of the 
SuperNOFA. The remaining application items that are forms (i.e., 
excluding such items as narratives), referred to as the ``non-
standard'' forms can be found as Appendix A to this program section of 
the SuperNOFA. The items are as follows:

(A) SF-424, Application for Federal Assistance.
(B) HUD-424M, Federal Assistance Funding Matrix.
(C) Application Checklist.
(D) Transmittal Letter signed by the Chief Executive Officer of your 
institution or his or her designee. If a designee signs, your 
application must include the official delegation of signatory 
authority;
(E) Abstract. (1 page limit) An abstract describing the goals and 
activities of your program.
(F) Narrative statement addressing the Factors for Award in Section 
V(B). (50 page limit, including letters of commitment, tables and maps, 
but not including letters of matching commitments, the match 
calculation worksheet, and budget forms). (Please note that although 
submitting pages in excess of the page limit will not disqualify your 
application, HUD will not consider the information on any excess pages, 
which may result in a lower score or failure to meet a threshold.) For 
FY 2002 the statement of work and the budget are now a part of Factor 
3, Soundness of Approach.

    (1) The Statement of Work incorporates all activities to be funded 
in your application and details how your proposed work will be 
accomplished. Following an activity and tasks under each activity 
format, your Statement of Work must:
    (a) Arrange the presentation of related major activities by project 
functional category (e.g., economic development, affordable housing, 
capacity building), summarize each activity, identify the primary 
persons involved in carrying out the activity, and delineate the major 
tasks involved in carrying it out.
    (b) Indicate the sequence in which the tasks are to be performed, 
noting areas of work which must be performed simultaneously.
    (c) Identify specific numbers of quantifiable intermediate and end 
products and objectives you will deliver by the end of the award 
agreement period as a result of the work performed.
    (d) Identify whether you propose to work in a Community Development 
Block Grant (CDBG) entitlement area or not.
    (2) Your budget presentation should be consistent with your 
Statement of Work and include:
    (a) Budget Form--The budget form (Form HUD-424-CB) should be used 
to prepare the budget.
    (b) A narrative explanation of how you arrived at your cost 
estimates, for any line item over $5,000.
    (c) A statement of your compliance with the 20% limitation on 
``Planning and Administration'' Costs.
    (d) An explanation of your compliance with the requirement that not 
more than 25% of the total budget be allocated to research activities 
(Form HUD-30002).
    (3) Your narrative response should be numbered in accordance with 
each factor and subfactor.
    (G) Certifications.

(1) SF-424B, Assurances for Non-Construction Programs.
(2) HUD-50071, Certification of Payments to Influence Certain Federal 
Transactions;

[[Page 13936]]

(3) SF-LLL, Disclosure of Lobbying Activities (if applicable);
(4) HUD-2880, Applicant/Recipient Disclosure/Update Form;
(5) HUD-50070, Certification of Drug-Free Workplace;
(6) HUD-2992, Certification Regarding Debarment and Suspension;
(7) HUD-2991, Certification of Consistency with the Consolidated Plan; 
and
(8) HUD-2990, Certification of Consistency with the RC/EZ/EC Strategic 
Plan (if applicable);

    (H) Acknowledgment of Receipt of Applications (HUD-2993). If you 
wish to confirm that HUD received your application, please complete 
this form. This form is optional.
    (I) Client Comments and Suggestions (HUD-2994). If you wish to 
offer comments on the COPC NOFA of this SuperNOFA or the SuperNOFA 
process, please complete this form. This form is optional.

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    In accordance with 24 CFR 50.19(b) of the HUD regulations, 
activities assisted under this program are categorically excluded from 
the requirements of the National Environmental Policy Act and are not 
subject to environmental review under the related laws and authorities.

IX. Other Items

    (1) Executive Order 12372. Intergovernmental Review of Federal 
Programs. You must comply with this Executive Order. Please refer to 
the General Section VII(C) for details.
    (2) Conducting Business in Accordance with Core Values and Ethical 
Standards. HUD requires that all grantees adhere to core values and 
ethical business practices, as described in Section II(B)(2)) of the 
General Section of this SuperNOFA as a condition of award.
    (3) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women-Owned Businesses. HUD requires 
grantees to take all necessary affirmative steps in contracting with 
businesses, small disadvantaged businesses and women-owned businesses 
in conducting your work activities. Please refer to section II (F) of 
the General Section of this SuperNOFA for specific requirements.
    (4) Debriefing. Beginning not less than 30 days after the awards 
for assistance are announced in the above-mentioned Federal Register 
notice, and for not less than 120 days after awards for assistance are 
announced, HUD will provide a debriefing to any applicant requesting a 
debriefing on their application. All requests for debriefings must be 
made in writing and submitted to Armand Carriere Office of University 
Partnerships at (202) 708-3061, ext. 3181. If you have a speech or 
hearing impairment, you 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. You may also reach 
Mr. Carriere via the Internet at hud.gov">Carriere@hud.gov">Armand_W._hud.gov">Carriere@hud.gov. Materials 
provided to you during your debriefing will include the final scores 
you received for each rating factor, final evaluator comments for each 
rating factor, and the final assessment indicating the basis upon which 
assistance was provided or denied.

IX. Authority

    This program is authorized under the Community Outreach Partnership 
Act of 1992 (42 U.S.C. 5307 note; the ``COPC Act''). The COPC Act is 
contained in section 851 of the Housing and Community Development Act 
of 1992 (Pub. L. 102-550, approved October 28, 1992) (HCD Act of 1992). 
Section 801(c) of the HCD Act of 1992 authorized $7.5 million for each 
year of the 5-year demonstration to create Community Outreach 
Partnership Centers as authorized in the COPC Act. The FY 2002 HUD 
Appropriations Act (P.L. 107-73) continued the program beyond the 
initial five-year demonstration by providing funding for Community 
Outreach Partnership Centers for FY 2002.

Appendix A

    The non-standard forms, which follow, are required for your COPC 
application.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 13951]]



FUNDING AVAILABILITY FOR THE HISTORICALLY BLACK COLLEGES AND 
UNIVERSITIES PROGRAM

PROGRAM OVERVIEW

    Purpose of the Program. To assist HBCUs expand their role and 
effectiveness in addressing community development needs in their 
localities, including neighborhood revitalization, housing, and 
economic development, principally for persons of low and moderate 
income, consistent with the purposes of Title I of the Housing and 
Community Development Act of 1974.
    Available Funds. Approximately $10.5 million.
    Eligible Applicants. Only HBCUs as determined by the Department of 
Education in 34 CFR 608.2 in accordance with that Department's 
responsibilities under Executive Order 12876, dated November 1, 1993, 
are eligible for funding under the HBCU Program.
    Application Deadline. June 20, 2002.
    Match: None.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under the HBCU 
program, please review carefully the General Section of this SuperNOFA 
and the following additional information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Your completed application is due on or 
before June 20, 2002 at HUD Headquarters with a copy to the appropriate 
HUD CPD Field Office.
    Application Submission Procedures. New Security Procedures. HUD has 
implemented new security procedures that impact on application 
submission procedures. Please read the following instructions carefully 
and completely. HUD will not accept hand delivered applications. 
Applications may be mailed using the United States Postal Service 
(USPS) or may be shipped via the following delivery services: United 
Parcel Service (UPS), Fed EX, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without escort. You must, 
therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received by the designated HUD Office on 
or within fifteen (15) days of the application due date. All applicants 
must obtain and save a Certificate of Mailing showing the date, when 
you submitted your application to the US Postal Service. The 
Certificate of Mailing will be your documentary evidence that your 
application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, DHL, 
Fed EX, and Falcon Carrier. Delivery by these services must be made 
during HUD's Headquarters business hours, between 8:30 a.m. and 5:30 
p.m. Eastern Time, Monday to Friday. If these companies do not service 
your area, you should submit your application via the US Postal 
Service.
    Address for Submitting Applications. Your completed application 
consists of one original and two copies of your application. Submit 
your original signed application and one of the two copies to the 
following address: Processing and Control Branch, Office of Community 
Planning and Development, Department of Housing and Urban Development, 
451 Seventh Street, SW., Room 7251, Washington, DC, 20410. When 
submitting your application, please refer to the HBCU Program, and 
include your name, mailing address (including zip code) and telephone 
number (including area code).
    Copies of Applications to HUD Field Offices. To facilitate 
processing and review of your application, submit one copy (the second 
copy) to the Community Planning and Development (CPD) Director in the 
appropriate HUD Field Office for the HBCU by 5:30 p.m. Eastern Time on 
June 20, 2002. The list of HUD Field Offices with CPD Directors is 
included in Appendix A to this program section of the SuperNOFA.
    HUD will accept only one application per HBCU. If HUD receives more 
than one application from a single HBCU, HUD will ask the HBCU to 
identify which application it wants evaluated. If the HBCU does not 
respond within the stipulated period (see Section V of the General 
Section of this SuperNOFA), all of the applications received from the 
HBCU will be disqualified. You should take this policy into account to 
ensure that multiple applications are not submitted.
    For Application Kits. For an application kit and any supplemental 
materials, you should call the SuperNOFA Information Center at 1-800-
HUD-8929. If you have a hearing or speech impairment, please call the 
Center's TTY number at 1-800-HUD-2209. When requesting an application 
kit, you should refer to the HBCU Program and provide your name, 
address (including zip code), and telephone number (including area 
code). You may also download the application on the Internet through 
the HUD web site at http://www.hud.gov.
    For Further Information and Technical Assistance. You may contact 
Ophelia Wilson, Historically Black Colleges and Universities Program, 
Office of University Partnerships, Policy Development and Research, 
Department of Housing and Urban Development, 451, Seventh St. SW., 
Washington, DC 20410, telephone (202) 708-3061 ext. 4390. (This is not 
a toll-free number.) If you have a hearing or speech impairment, you 
may access this number via TTY by calling the Federal Information Relay 
Service toll-free at 1-800-877-8339. You may also obtain information 
from the HUD Field Office located in your geographic area. Appendix A 
of this program section of the SuperNOFA contains the names, addresses 
and telephone numbers of the HUD Field Offices. For general information 
and information regarding training on this HBCU Program section of the 
SuperNOFA, you can call the SuperNOFA Information Center at 1-800-HUD-
8929.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD web site at http://www.hud.gov.

II. Amount Allocated

    Approximately $10.5 million is being made available for funding 
under this program section of the SuperNOFA. Additional funds may be 
available if funds are recaptured, deobligated, appropriated or 
otherwise made available during the fiscal year.
    (A) Allocation of Funding. In order to ensure that some previously 
unfunded HBCUs will receive awards in this competition, approximately 
$1.7 million of the available funds will be awarded to HBCUs that have 
not previously been funded under the HUD HBCU program. Previously 
unfunded HBCUs are listed in Appendix B of this HBCU Program section of 
the SuperNOFA.

[[Page 13952]]

    The remaining approximately $8.8 million of FY 2002 funds will be 
awarded to HBCUs that have received funding under previous HBCU 
competitions. Previously funded HBCUs are listed in Appendix C of this 
HBCU Program section of the SuperNOFA.
    If recaptured funds are made available, those funds will also be 
divided proportionately between the two types of applicant funding 
pools.
    HUD reserves the right to make awards for less than the maximum 
amount or less than the amount requested in a particular application. 
The maximum amount awarded to previously unfunded applicants will be up 
to $340,000 and the maximum amount awarded to previously funded 
applicants will be up to $550,000. Applicants requesting more than the 
maximum amount will be disqualified.
    (B) Term of Grant. The maximum period for performance of your 
proposed program under this SuperNOFA for the HBCU Program is 36 
months. The performance period will commence on the effective date of 
your grant agreement.

III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. The HBCU Program assists HBCUs expand 
their role and effectiveness in addressing community development needs 
in their localities, including neighborhood revitalization, housing, 
and economic development, consistent with the purposes of Title I of 
the Housing and Community Development Act of 1974.
    (1) For the purposes of this program, the term ``locality'' 
includes any city, county, town, township, parish, village, or other 
general political subdivision of a State or the U.S. Virgin Islands 
within which an HBCU is located.
    (2) If your HBCU is located in a metropolitan statistical area 
(MSA), as established by the Office of Management and Budget, you may 
consider your locality to be one or more of these entities within the 
entire MSA. The nature of the locality for each HBCU may differ, 
therefore, depending on its location.
    (3) A ``target area'' is the locality or the area within the 
locality in which your HBCU will implement its proposed HUD grant 
activities.
    (B) Eligible Applicants. Only HBCUs as determined by the Department 
of Education in 34 CFR 608.2 in accordance with that Department's 
responsibilities under Executive Order 12876, dated November 1, 1993, 
are eligible for funding under the HBCU Program. Applicants must be 
accredited by a national or regional accrediting agency recognized by 
the U.S. Department of Education.
    (C) Eligible Activities. (1) General. Each activity you propose for 
funding must meet both a Community Development Block Grant (CDBG) 
Program national objective AND the CDBG eligibility requirements. 
Eligible activities that may be funded under the HBCU Program are those 
activities eligible for CDBG funding. The eligible activities are 
listed in 24 CFR part 570, subpart C, particularly Secs. 570.201 
through 570.206. Additionally, not less than 51% of the aggregated 
expenditures of a grant must benefit low and moderate income persons 
under the criteria specified in 24 CFR 570.208(a) or 570.208(d)(5) or 
(6). Each activity that may be funded under this SuperNOFA for the HBCU 
Program must meet one of the three national objectives of the Community 
Development Block Grant program which are:
    (a) Benefit to low- or moderate-income persons;
    (b) Aid in the prevention or elimination of slums or blight; or
    (c) Meet other community development needs having a particular 
urgency because existing conditions pose a serious and immediate threat 
to the health and welfare of the community, and other financial 
resources are not available to meet such needs.
    Criteria for determining whether an activity addresses one or more 
of these objectives are provided at 24 CFR 570.208.
    (2) Examples of Eligible Activities. Examples of activities that 
generally can be carried out with these funds include, but are not 
limited to:
    (a) Acquisition of real property;
    (b) Clearance and demolition;
    (c) Rehabilitation of residential structures including lead-based 
paint hazard evaluation and reduction; and encouraging accessible 
design features in accordance with the requirements of section 504 of 
the Rehabilitation Act of 1973;
    (d) Acquisition, construction, reconstruction, rehabilitation, or 
installation of public facilities and improvements, such as water and 
sewer facilities and streets;
    If you are proposing to undertake any of the activities listed in 
(a) through (d), you will be required to provide at least two 
reasonable appraisals/estimates, from a qualified entity other than the 
HBCU, of the cost to complete the activities. This information is to be 
submitted with your application. Such an entity must be involved in the 
business of housing rehabilitation, construction, and/or management;
    (e) Relocation payments and other assistance for permanently and 
temporarily relocated individuals, families, businesses, nonprofit 
organizations, and farm operations where the assistance is:
    (i) Required under the provisions of 24 CFR 570.606(b) or (c); or
    (ii) Determined by the grantee to be appropriate under the 
provisions of 24 CFR 570.606(d);
    (f) Direct homeownership assistance to low- and moderate-income 
persons, as provided in section 105(a)(25) of the Housing and Community 
Development Act of 1974;
    (g) Special economic development activities described at 24 CFR 
570.203;
    (h) Assistance to facilitate economic development by providing 
technical or financial assistance for the establishment, stabilization, 
and expansion of microenterprises, including minority enterprises;
    (i) Assistance to a CBDO to carry out a CDBG neighborhood 
revitalization, community economic development, or energy conservation 
project, in accordance with 24 CFR 570.204. This could include 
activities in support of a HUD approved local entitlement grantee CDBG 
Neighborhood Revitalization Strategy (NRS) or HUD approved State CDBG 
Community Revitalization Strategy (CRS); and
    (j) Eligible public service activities, including but not limited 
to such activities as those concerned with employment, crime 
prevention, child care, health, drug abuse, education, fair housing 
counseling, energy conservation, homebuyer down payment assistance, or 
recreational needs. If grant funds are used to provide public services, 
you are bound by the CDBG statutory requirement that not more than 15% 
of the total grant amount be used for public service activities that 
benefit low and moderate income persons. Therefore, you must propose to 
use at least 85% of the grant amount for activities qualifying under an 
eligibility category other than public services (as described at 24 CFR 
570.201(e)). If you propose an activity which otherwise is eligible it 
may not be funded if State or local law requires that it be carried out 
by a governmental entity.
    The CDBG Publication entitled ``Community Development Block Grant 
Program Guide to National Objectives and Eligible Activities for 
Entitlement Communities'' describes the regulations, and a copy can be 
obtained from HUD's SuperNOFA Information Center at 1-800-HUD-8929 or 
1-800-HUD-2209 for the hearing impaired.
    (k) Fair housing services designed to further the fair housing 
objectives of the

[[Page 13953]]

Fair Housing Act (42 U.S.C. 3601-20) by making all persons, without 
regard to race, color, religion, sex, national origin, family status 
and/or disability aware of the range of housing opportunities available 
to them; and
    (l) Payment of reasonable grant administrative costs and carrying 
charges related to the planning and execution of community development 
activities assisted in whole or in part with grant funds.
    (3) Activities Designed to Promote Training and Employment 
Opportunities. In selecting proposed eligible activities, we urge you 
to consider undertaking activities designed to promote opportunities 
for training and employment of low-income residents in connection with 
HUD initiatives such as ``Twenty/20 Education Communities'' in public 
housing and ``Neighborhood Networks'' (NN) in other Federally-assisted 
or insured housing. We also encourage you, whenever feasible, to 
propose implementing activities in a Federally-designated Urban or 
Rural (HUD or Department of Agriculture) Empowerment Zone, Urban or 
Rural Enterprise Community (EZ or EC), or a HUD-approved local CDBG 
Neighborhood Revitalization Strategy Area or HUD-approved State CDBG 
Community Revitalization Strategy Area.
    (D) Ineligible CDBG Activities are listed at Sec. 570.207.

IV. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, you are subject to the following 
requirements:
    (A) Institutional Eligibility. Institutions with two (2) or more 
active HBCU grants and who have drawn down less than 50% of the funding 
for each active grant prior to the 2002 application date will be 
ineligible to apply for a 2002 HBCU grant.
    (B) Leveraging. Although a match is not required to qualify for 
funding, applicants that provide letters evidencing a firm commitment 
from other Federal (e.g., Americorps Programs), State, local, and/or 
private sources to provide funding, and/or in-kind goods or services to 
implement the proposed activities will receive points under Rating 
Factor 4. These letters must be dated no earlier than the date of this 
published SuperNOFA. If you do not have evidence of leveraging, you 
will receive zero (0) points for Rating Factor 4.
    (C) Affirmatively Furthering Fair Housing. Please see Section II(D) 
of the General Section of this SuperNOFA.
    (D) Employment of Local Area Residents (Section 3). Please see 
Section II(E) of the General Section of this SuperNOFA. The 
requirements are applicable to certain activities that may be funded 
under this program section of the SuperNOFA.
    (E) Labor Standards. If you are awarded a grant, you must comply 
with the labor standards (Davis-Bacon) as found at 24 CFR 570.603.
    (F) OMB Circulars. Your grant will be governed by: (1) OMB Circular 
A-21 entitled ``Cost Principles for Educational Institutions''; (2) OMB 
Circular A-133 entitled ``Audits of States, Local Governments, and Non-
Profit Organizations''; and (3) the provisions of 24 CFR part 84 
entitled ``Grants and Agreements with Institutions of Higher Education, 
Hospitals and Other Nonprofit Organizations. You can access the OMB 
Circulars at the White House website at http://whitehouse.gov/omb/circulars/index.html
    (G) Nondiscrimination. In addition to the fair housing and other 
civil rights assurances described under Section II (B) of the SuperNOFA 
General Section, applicants for the HBCU Program must comply with 
Section 109 of the Housing and Community Development Act of 1974, as 
amended. Implementing regulations for Section 109 are found under 24 
CFR part 570, including, but not limited to, reporting and record-
keeping requirements under 24 CFR 570.506 and 570.507.
    (H) Conducting Business In Accordance With HUD Core Values and 
Ethical Standards. HUD requires that all grantees adhere to core values 
and ethical business practices, as described in Section II (B)(2) of 
the General Section of this SuperNOFA as a condition of award.
    (I) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women-Owned Businesses. HUD requires 
grantees to take all necessary affirmative steps in contracting with 
businesses, small disadvantaged businesses and women-owned businesses 
in conducting your work activities. Please refer to section II (F) of 
the General Section of this SuperNOFA for specific requirements.

V. Application Selection Process

    (A) Threshold Factors for Funding Consideration. HUD will conduct a 
review to insure that applications are complete and consistent with the 
threshold requirements of Section II (B), of the General Section of the 
SuperNOFA, including Compliance with Fair Housing and Civil Rights 
Laws, this HBCU Program section of the SuperNOFA and the HBCU Program 
regulations (24 CFR 570.404) before reviewing the application for 
rating and ranking. The General Section of the SuperNOFA provides the 
procedures for corrections to deficient applications.
    (B) Funding of Applications. To be considered for funding, your 
application must receive a minimum score of 70 out of the possible 
total of 100 points for Factors 1 through 5. In addition, two bonus 
points may be awarded for RC/EZ/EC, as described in the General Section 
of the SuperNOFA. Within each category of eligible applicants, HUD will 
fund applications in rank order, until it has awarded all available 
funds for that category of applicant, or until there are no fundable 
applications remaining in that category. If there is a tie in the point 
scores of two applications, the rank order will be determined by the 
score on Rating Factor 3, 4, 2, 1, 5 in that order. HUD will give the 
higher rank to the application with the most points for a factor in the 
above order.
    If funds remain after approving all fundable applications within a 
category of applicants, HUD may choose to add those funds to the funds 
available for the other category of applicants.
    (C) After Selection. After selection, but prior to award, you will 
be required to:
    (a) Negotiate. After HUD has rated and ranked all applications and 
HUD has selected the competition winners, HUD requires that all winners 
participate in negotiations to determine the specific terms of the 
Statement of Work and the final grant budget. HUD will follow the 
negotiation procedures described in Section III(D) of the General 
Section of the SuperNOFA.
    (b) Provide Financial Management and Audit Information. If you are 
selected for funding, you will be required to submit a copy of your 
most recent audit from an Independent Public Accountant, or the 
cognizant government auditor, stating that your financial management 
system meets prescribed standards for fund control and accountability 
required by OMB Circular A-133, as codified at 24 CFR part 84 and 
provides your approved fringe benefit and overhead rates.
    (D) Factors For Award Used To Evaluate and Rate Applications. HUD 
will use the Factors For Award set forth below to evaluate 
applications. Your application must contain sufficient information for 
HUD to review it for its merits. The score for each factor will be 
based on the qualitative and quantitative aspects of your response to 
that factor. You are not to exceed a total of fifty (50) pages to 
respond to Rating Factor 1 through 5. This limitation applies to your 
narrative response,

[[Page 13954]]

tables, and maps, and NOT to firm commitment letters, and the 
performance narrative for previously funded HBCUs.
    The maximum number of points that may be awarded is 102. This 
includes two RC/EZ/EC bonus points, as described in the General Section 
of the SuperNOFA.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience (25 Points)

    This factor addresses the extent to which you have the 
organizational resources necessary to successfully implement your 
proposed activities in a timely manner. In rating this factor, HUD will 
consider the extent to which:
    (1) Knowledge and Experience. (5 Points for previously funded 
applicants and 25 Points for previously unfunded applicants). Your 
application demonstrates the knowledge and experience of the overall 
project director and staff, including the day-to-day program manager, 
consultants (including technical assistance providers) and contractors 
in planning and managing the kinds of programs for which funding is 
being requested. Experience will be judged in terms of recent, relevant 
and successful experience of your staff to undertake eligible program 
activities. In rating this factor, HUD will consider the extent to 
which your organization and staff have recent, relevant, and successful 
experience in:
    (a) Undertaking specific successful community development projects 
with community-based organizations or local governments; and
    (b) Providing proven leadership in solving community problems which 
have a direct bearing on the proposed activity.
    (2) Past Performance (20 Points for previously funded applicants). 
The extent to which you have performed successfully under your previous 
and current HBCU grant(s), as measured by:
    (a) Your achievement of specific measurable outcome objectives 
consistent with timelines in your grant proposal;
    (b) Your leveraging of funding consistent with or exceeding the 
Fund originally proposed to be leveraged for that project; and
    (c) The effectiveness of your administration of any previous HBCU 
grants (including the timeliness and completeness of your compliance 
with HBCU reporting requirements and your ability to take action to 
resolve problems which presented themselves during the grant period). 
In addressing timeliness of reports, you should compare when your 
reports were due with when they were actually submitted.
    (d) Full points will be awarded for exceptional performance, which 
consistently meets and exceeds promised goals.
    For each open HUD HBCU grant, you must submit a performance 
narrative as outlined in Appendix D.

Rating Factor 2: Need/Extent of the Problem (10 Points)

    This factor addresses the extent to which there is a need for 
funding your proposed program activities and an indication of the 
importance of meeting the need in the target area. In responding to 
this factor, you will be evaluated on the extent to which you document 
the level of need for the proposed activities and the importance of 
meeting the need.
    You should use statistics and analyses contained in one or more 
data sources that are sound and reliable. To the extent that your 
community's (State or local government's) Consolidated Plan and 
Analysis of Impediments to Fair Housing Choice (AI) identify the level 
of the problem and the urgency in meeting the need, you should include 
references to these documents in your response to this factor. If your 
proposed activities are not covered under the scope of the Consolidated 
Plan and AI, you 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, 
HUD's Continuum of Care gaps analysis and its E-MAPS (www.hud.gov/emaps), law enforcement agency crime reports, Public Housing 
Authorities' Comprehensive Plan, community needs analysis such as 
provided by the United Way, local Urban League, the HBCU and other 
sound and reliable sources appropriate for the HBCU program. You also 
may address needs in terms of fulfilling court orders or consent 
decrees, settlements, conciliation agreements, and voluntary compliance 
agreements.
    To the extent possible, the data you use should be specific to the 
area where your proposed activities will be carried out. You should 
document needs as they apply to the area where the activities will be 
targeted, rather than the entire locality or State, unless the target 
area is the entire locality or State.

Rating Factor 3: Soundness of Approach (45 Points)

    This factor addresses the quality and cost-effectiveness of your 
proposed work plan, the commitment of your institution to sustain the 
proposed activities, and your actions regarding Affirmatively 
Furthering Fair Housing.
    (1) Quality of the Work Plan (40 Points). This factor includes your 
statement of work and budget.
    (a) Work Plan Impact (10 Points). Describe how your proposed 
activities will:
    (i) Expand the role of the HBCU in its community;
    (ii) Alleviate and/or fulfill the needs identified in Factor 2;
    (iii) Relate to and not duplicate other activities in the target 
area. Duplicative efforts will be acceptable, if you are able to 
demonstrate that there is a population in need that is not being 
served;
    (iv) Involve and empower the citizens of the target area; and
    (v) Be disseminated to a wide variety of audiences, both academic 
and community-based, using a wide variety of media, including print and 
internet technology.
    (b) Specific Services and/or Activities. (25 Points). Your work 
plan must incorporate all proposed activities. HUD will consider the 
feasibility of success of your program, the measurable objectives, and 
how timely your products will be delivered.
    Describe each proposed activity, and the tasks required to 
implement and complete the activity. If your proposed work activity 
triggers federal relocation laws, you must comply with the regulations 
in 24 CFR 570.606 and, 49 CFR part 24, Uniform Relocation Assistance 
and Real Property Acquisition Policies Act of 1970 (URA) (42 U.S.C. 
4601-4655).
    Also, for each activity, describe:
    (i) How it meets a CDBG national objective;
    (ii) The sequence, duration, and the products to be delivered in 6 
month intervals, up to (36) months. You should indicate which staff 
member, described in your response to Factor 1, will be responsible and 
accountable for the deliverables; and
    (iii) Measurable objectives to be accomplished, e.g. the number of: 
persons to be trained and employed; houses to be built (pursuant to 24 
CFR 570.207) or rehabilitated; minority owned businesses to be started, 
etc.
    (c) HUD Priorities (5 Points). The extent to which your application 
will further and support the following priorities of HUD. The quality 
of the response you provide to one or more of HUD's priorities will 
determine the score you receive. You will receive one point for each 
policy priority addressed, up to a total of five (5) points. For a 
fuller explanation of each policy priority, please refer to Section VI 
of the General Section of this SuperNOFA.

[[Page 13955]]

    (i) Increasing Homeownership Opportunities for Low and Moderate 
Income Persons, Persons with Disabilities and the Elderly, and 
Minorities and families where English may be a second language.
    (ii) Improving the Quality of Public Housing and Increasing 
Economic Mobility Choices for Residents.
    (iii) Improving Computer Access, Literacy, and Employment 
Opportunities.
    (iv) Providing Full and Equal Access to Faith-Based and Other 
Community Based Organizations in HUD Program Implementation.
    (v) Ensuring that Programs are Accountable for the Promises Made 
and the Actions Taken.
    (vi) Encouraging Accessible Design Features.
    (2) Affirmatively Furthering Fair Housing (5 Points). The extent to 
which you propose to undertake activities designed to affirmatively 
further fair housing, for example:
    (a) Working with other entities in the community to overcome 
impediments to fair housing, such as discrimination in the sale or 
rental of housing or in advertising, provision of brokerage services, 
or lending;
    (b) Promoting fair housing through the expansion of homeownership 
opportunities and improved quality of services for minorities, families 
with children, and persons with disabilities; or
    (c) Providing mobility counseling.
    In evaluating Rating Factor 3, HUD will consider the extent to 
which your budget is consistent with the Work Plan and the dollars 
indicated on the Standard Form (SF) 424. Your budget submission must 
include:
    (i) A budget summary covering the Federal and non-Federal share of 
the costs proposed by cost category. You should pay particular 
attention to accurately estimating costs, determining the necessity for 
and reasonableness of costs; and correctly computing all budget items 
and totals. Indirect costs must be substantiated and approved by the 
cognizant Federal agency or you must provide an indirect cost rate 
plan. The indirect cost rate should be indicated in your budget;
    (ii) A budget justification, which should be a narrative statement 
indicating how you arrived at your costs. When possible, you should use 
quotes from vendors or historical data. You must support all direct 
labor and salaries with mandated city/state pay scales or other 
documentation; and
    (iii) A budget-by-activity which includes a listing of tasks to be 
completed for each activity needed to implement the program, the 
overall costs for each activity, and the cost for each funding source.
    You must submit at least two reasonable appraisals/estimates 
supplied by qualified entities, other than the HBCU, if you are 
proposing to do any of the following: acquisition of real property; 
clearance and demolition; rehabilitation of residential, commercial 
and/or industrial structures; and/or acquisition, construction, or 
installation of public facilities and improvements. You may obtain 
guidance for securing these estimates from the local HUD's Office of 
Community Planning and Development.

Rating Factor 4: Leveraging Resources (10 Points)

    This factor addresses your ability to secure resources which can be 
combined with HUD program funds to implement the proposed activities. 
Potential Sources of Assistance are:
     Federal, State and local governments
     Housing Authorities
     Local or national nonprofit organizations
     Banks and private businesses
     Foundations
     Faith-based and other community based organizations
     The HBCU
    For each match, cash or in-kind contribution to your program, you 
must submit a letter from the provider on the provider's letterhead. 
The date of the letter from the CEO of the provider organization must 
be dated no earlier than the date of this published SuperNOFA. A firm 
commitment letter should address the following:
     The cash amount contributed or dollar value of the in-kind 
goods and/or sevices committed;
     How the match is to be used;
     The date the match will be made available and a statement 
that it will be for the duration of the grant period;
     Any terms and conditions affecting the commitment, other 
than receipt of a HUD HBCU Grant; and
     The signature of the appropriate executive officer 
authorized to commit the funds and/or goods and/or services.
    In evaluating this factor, HUD will consider the extent to which 
you have secured firm commitments for additional resources to increase 
the effectiveness of your proposed activities. Resources may include 
funding or in-kind contributions, such as services or equipment, 
allocated solely for the purpose(s) of the award you are seeking. A 
higher number of points will be awarded for a cash match than in-kind 
goods or services of the same value. The maximum number of rating 
points you can receive for leveraging is ten (10). Applicants will 
receive no points for undocumented claims. Use the format provided, to 
respond to this factor.

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(10 Points)

    This factor addresses the extent to which you have coordinated your 
activities with other known organizations, participate or promote 
participation in your community's Consolidated Planning process, and 
are working towards addressing a need in a holistic and comprehensive 
manner through linkages with other activities in the community. For 
specific information about your locality's planning process, contact 
the local Community Development Agency or the local HUD Field Office.
    In evaluating this factor, HUD will consider the extent to which 
you demonstrate you have:
    (1) Coordinated your proposed activities with those of other groups 
or organizations before submission in order to best complement, support 
and coordinate all known activities, and if funded, the specific steps 
you will take to share information on solutions and outcomes with 
others. You should describe any written agreements, memoranda of 
understanding in place, or that will be in place after award.
    (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 your proposed activities.
    (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.
    (4) Institutionalization of Project Activities. HUD will also 
consider the extent to which your project will result in the kinds of 
activities that will be sustained by the HBCU by becoming part of the 
mission of the HBCU. HUD will also look at the HBCUs monetary 
commitment to continuing to work in the target area or other similar 
areas and to its longer term commitment of hard dollars to similar 
work.

[[Page 13956]]

VI. Application Submission Requirements

    (A) Forms, Certifications and Assurances. Your application must 
contain the items listed in this Section VI. These items include the 
standard forms, certifications, and assurances listed in the General 
Section of the SuperNOFA that are applicable to this funding 
(collectively referred to as the ``standard forms''). The standard 
forms follow the General Section of the SuperNOFA. The remaining 
application items that are forms (i.e., excluding such items as 
narratives), referred to as the ``non-standard forms'' can be found in 
Appendix D to this program section of the SuperNOFA.
    Forms applicable to the HBCU application are as follows:
    (1) Standard Form SF-424, Application for Federal Assistance.
    (2) Standard Form SF-424B, Assurances for Non-Construction 
Programs.
    (3) Standard Form SF-4240, Assurances for Construction Programs.
    (4) Form HUD-424M Budget Matrix
    (5) Form HUD-50070, Certification for a Drug-Free Workplace.
    (6) Form HUD-50071, Certification of Payments to Influence Federal 
Transactions. If you did do any lobbying then you must also complete 
the Certification and Disclosure Form Regarding Lobbying (SF-LLL).
    (7) Form HUD-2880, Applicant/Recipient Disclosure Update Report.
    (8) Form HUD-2992, Certification Regarding Debarment and 
Suspension. This certification is 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).
    (9) Form HUD-2991, Certification of Consistency with the 
Consolidated Plan; and
    (10) Form HUD-2990, Certification of Consistency with the RC/EZ/EC 
Strategic Plan. RC/EZ/EC bonus points will only be awarded when the 
HBCU is located within the geographic boundaries of a HUD or Department 
of Agriculture RC/EZ/EC. If applicable, you will need to indicate on 
this form if the college or university is located within the geographic 
boundaries of the RC/EZ/EC.
    (B) Transmittal Letter. A transmittal letter must accompany your 
application. Your cover letter must be signed by the Chief Executive 
Officer (usually the President or Provost) of your institution. If the 
Chief Executive Officer has delegated this responsibility to another 
official, that person may sign, but a copy of the delegation must also 
be included.
    (C) Letter Certifying Local Approval. This letter certifies that 
the jurisdiction in which your activities will take place approve the 
implementation of your activities.
    (D) Abstract/Executive Summary (one page limit) describing the 
goals and activities of your project.
    (E) Narrative Statement Responding To the Factors For Award (50 
page limit, including tables and maps, but not including firm 
commitment letters, and the performance narrative). The narrative 
should be numbered in accordance with each factor and subfactor.
    Please note that all certification forms must be signed by the 
authorized certifying official.
    (F) HUD Form 40076, Budget Information. Also, HUD will not consider 
appendices to an application. You must submit your documentation, 
including firm commitment letters and the performance narrative with 
your responses to the pertinent factors in order to receive points for 
it.

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    Selection for award does not constitute approval of any proposed 
sites. Following selection for award, HUD will perform an environmental 
review of activities proposed for assistance under this program part, 
in accordance with 24 CFR part 50. The results of the environmental 
review may require that your proposed activities be modified or that 
your proposed sites be rejected. You are particularly cautioned not to 
undertake or commit funds for acquisition or development of proposed 
properties prior to HUD approval of specific properties or areas. Your 
application constitutes an assurance that your institution will assist 
HUD to comply with part 50; will supply HUD with all available and 
relevant information to perform an environmental review for each 
proposed property; will carry out mitigating measures required by HUD 
or select an alternate property; and will not acquire, rehabilitate, 
convert, demolish, lease, repair or construct property and not commit 
or expend HUD or local funds for these program activities with respect 
to any eligible property, until HUD approval of the property is 
received. In supplying HUD with environmental information, you should 
use the same guidance as provided in the HUD Notice CPD-99-01 entitled 
``Field Environmental Review Processing for HUD Colonias Initiative 
(HCI) Grants,'' issued January 27, 1999.

IX. Other Matters

    (1) 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 (update information also 
reported on 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 4.7 Part 5.
    (2) 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 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.
    (3) 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, subpart B, 
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 
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 inquires to the subject areas 
permitted under 24 CFR part 4.
    (4) Debriefing. Beginning not less than 30 days after the awards 
for assistance are announced in the above-mentioned Federal Register 
notice, and for not longer than 120 days after awards for assistance 
are announced, HUD will provide a debriefing to any applicant 
requesting a debriefing on their application. All requests for 
debriefings

[[Page 13957]]

must be made in writing and submitted to the person or organization 
identified as the Contact under the section entitled For Further 
Information and Technical Assistance in the program section of the 
Super NOFA under which you applied for assistance. Materials provided 
to you during your debriefing will include the final scores you 
received for each rating factor, final evaluator comments for each 
rating factor, and the final assessment indicating the basis upon which 
assistance was provided or denied.

X. Authority

    This program is authorized under section 107(b)(3) of the Housing 
and Community Development Act of 1974 (42 U.S.C. 5307(b)(3)), which was 
added by section 105 of the Department of Housing and Urban Development 
Reform Act of 1989 (Pub.L. 101-235, approved December 15, 1989). The 
HBCU Program is governed by regulations contained in 24 CFR 570.400 and 
570.404, and in 24 CFR part 570, subparts A, C, J, K, and O.

Appendices to the HBCU NOFA

    A. Field Office Community Planning and Development Directors With 
Historically Black Colleges And Universities Located Within Their 
Jurisdiction
    B. Historically Black Colleges and Universities Previously Unfunded 
By HUD During Fiscal Years 1991-2001
    C. Historically Black Colleges and Universities Previously Funded 
By HUD During Fiscal Years 1991-2001
    D. HBCU Application Forms

Appendix A--Community Planning and Development (CPD) Directors With 
Historically Black Colleges and Universities Located Within Their 
Jurisdiction

Harold Cole, Beacon Ridge Tower, 600 Beacon Parkway West, Suite 300, 
Birmingham, AL 35209-3144, 205-290-7630 ext. 1027
Danny Carter, Acting, TCBY Tower, 425 West Capitol Avenue, Suite 
900, Little Rock, AR 72201-3488, 501-324-6375
John Perry, Richard B. Russell Federal Building, 49 Marietta Street-
Five Points Plaza, Atlanta, GA 30303-2806, 404-331-5001 ext. 2449
Ben Cook, 601 West Broadway, PO Box 1044, Louisville, KY 40201-1044, 
502-582-6163 ext. 214
Gregory Hamilton, Hale Boggs Federal Building, 501 Magazine Street, 
9th Floor, New Orleans, LA 70130-3099, 504-589-7212 ext. 3047
Joseph O'Connor, City Crescent Building, 10 South Howard Street, 5th 
Floor, Baltimore, MD 21201-2505, 410-962-2520 ext. 3071
Raymond Perry, Acting, Patrick V. McNamara Federal Building, 477 
Michigan Avenue, Detroit, MI 48226-2592, 313-226-7908, ext. 8055
Emily Eberhardt, Doctor A.H. McCoy Federal Building, 100 West 
Capitol Street, Room 910, Jackson, MS 39269-1096, 601-965-4700, ext. 
3140
Ann Wiedl, Robert A. Young Federal Building, 1222 Spruce Street, 
Third Floor, St. Louis, MO 63103-2836, 314-539-6524
Charles T. Ferebee, 2306 West Meadowview Rd., Greensboro, NC 27407-
3707, 336-547-4005
James Nichol, Southern Bell Tower, 301 West Bay Street, Suite 2200, 
Jacksonville, FL 32202-5121, 904-232-1777, ext. 2136
Carmen R. Cabrera, New San Juan Office Building, 159 Carlos E. 
Chardon Avenue, San Juan, PR 00918-0903, 787-766-5576, ext. 2005
Lana Vacha, 200 North High Street, Columbus, OH 43215-2499, 614-469-
5737, ext. 8240
David Long, 500 West Main Street, Suite 400, Oklahoma City, OK 
73102, 405-553-7569
Joyce Gaskins, The Wanamaker Building, 100 Penn Square East, 
Philadelphia, PA 19107-3380, 215-656-0624 ext. 3201
Louis E. Bradley, Strom Thurmond Federal Building, 1835 Assembly 
Street, Columbia, SC 29201-2480, 803-765-5564
Virginia Peck, John J. Duncan Federal Building, 710 Locust Street 
SW., Third Floor, Knoxville, TN 37902-2526, 865-545-4391 ext. 121
Katie Worsham, 801 Cherry Street, Fort Worth, TX 76102, 817-978-5951
John T. Maldonado, Washington Square, 800 Dolorosa Street, San 
Antonio, TX 78207-4563, 210-475-6820, ext. 2293
Carlos Renteria, The 3600 Centre, 3600 West Broad Street, Richmond, 
VA 23230-4920, 804-278-4503, ext. 3229
Ronald J. Herbert, 820 First Street NE, Suite 450, Washington, DC 
20002-4205, 202-275-0994, ext. 3163
Lynn Daniels, 339 Sixth Avenue, Sixth Floor, Pittsburgh, PA 15222-
2512, 416-644-2999
Jack Johnson, 909 SE First Avenue, Room 500, Miami, FL 33131-3028, 
305-536-4431, ext. 2223

Appendix B--Historically Black Colleges and Universities Previously 
Unfunded By HUD During Fiscal Years 1991-2001

Alabama

Concordia College
Selma University
Trenholm State Technical College

Arkansas

Delaware

Delaware State University

Florida

Florida Memorial College

Georgia

Morehouse School of Medicine
Paine College

Louisiana

Southern University at Shreveport/Bossier City

Maryland

University Of Maryland Eastern Shore

Michigan

Lewis College of Business

Mississippi

Mary Holmes College

North Carolina

Ohio

Wilberforce University

Pennsylvania

Cheyney University of Pennsylvania

South Carolina

Clinton Junior College
Denmark Technical College
Morris College

Tennessee

Knoxville College
Lane College

Texas

Jarvis Christian College
Southwestern Christian College

Virginia

West Virginia

U.S. Virgin Islands

Appendix C--Historically Black Colleges and Universities Previously 
Funded by HUD During Fiscal Years 1991-2001

Alabama

Alabama A&M University
Alabama State University
Bishop State Community College
Gadsden State Community College
J.F. Drake Technical College
Lawson State Community College
Miles College
Oakwood College
Stillman College
Talladega College
Tuskegee University
C.A. Fredd Technical College

Arkansas

Arkansas Baptist College
Philander Smith College
Shorter College
University of Arkansas at Pine Bluff

District of Columbia

Howard University
University of the District of Columbia

Florida

Bethune-Cookman College
Edward Waters College
Florida A&M University

Georgia

Albany State University
Clark Atlanta University
Fort Valley State University
Interdenominational Theological Center
Morehouse College
Morris Brown College
Savannah State University
Spelman College

[[Page 13958]]

Kentucky

Kentucky State University

Louisiana

Dillard University
Grambling State University
Southern University A & M College System at Baton Rouge
Southern University at New Orleans
Xavier University of New Orleans

Maryland

Bowie State University
Coppin State College
Morgan State University

Mississippi

Alcorn State University
Coahoma Community College
Jackson State University
Mississippi Valley State University
Rust College
Tougaloo College
Hinds Community College

Missouri

Harris-Stowe State College
Lincoln University

North Carolina

Barber-Scotia College
Bennett College
Elizabeth City State University
Fayetteville State University
Johnson C. Smith University
North Carolina A&T State University
North Carolina Central University
St. Augustine's College
Shaw University
Winston Salem State University

Ohio

Central State University

Oklahoma

Langston University

Pennsylvania

Lincoln University

South Carolina

Allen University
Benedict College
Claflin College
South Carolina State University
Voorhees College

Tennessee

Fisk University
Lemoyne-Owen College
Meharry Medical College
Tennessee State University

Texas

Huston-Tillotson College
Paul Quinn College
Prairie View A&M University
Saint Philip's College
Texas Southern University
Texas College
Wiley College

Virginia

Hampton University
Norfolk State University
Saint Paul's College
Virginia State University
Virginia Union University

West Virginia

West Virginia State University
Bluefield State College

U.S. Virgin Islands

University of the Virgin Islands

Appendix D

    The non-standard forms, which follow, are required for your HBCU 
application.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 13971]]



FUNDING AVAILABILITY FOR THE HISPANIC-SERVING INSTITUTIONS 
ASSISTING COMMUNITIES PROGRAM (HSIAC)

PROGRAM OVERVIEW

    Purpose of the Program. To assist Hispanic-serving institutions of 
higher education (HSIs) expand their role and effectiveness in 
addressing community development needs in their localities, consistent 
with the purposes of Title I of the Housing and Community Development 
Act of 1974, as amended.
    Available Funds. Approximately $10.1 million ($7.5 million from FY 
2002 appropriation + $2.6 million carry over from FY 2001).
    Eligible Applicants: Only nonprofit Hispanic-serving institutions 
of higher education that meet the definition of an HSI established in 
Title V of the 1998 Amendments to the Higher Education Act of 1965 
(Pub.L. 105-244; enacted October 7, 1998).
    Application Deadline. June 20, 2002
    Match. None.

ADDITIONAL INFORMATION

    If you are interested in applying for funds under the Hispanic-
serving Institutions Assisting Communities Program (HSIAC), please 
review carefully the General Section of this SuperNOFA and the 
following additional information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Your completed application is due on or 
before June 20, 2002 at HUD Headquarters.
    Application Submission Procedures. New Security Procedures. HUD has 
implemented new security procedures that impact on application 
submission procedures. Please read the following instructions carefully 
and completely. HUD will not accept hand delivered applications. 
Applications may be mailed using the United States Postal Service 
(USPS) or may be shipped via the following delivery services: United 
Parcel Service (UPS), Fed Ex, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without escort. You must, 
therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received by the designated HUD Office on 
or within fifteen (15) days of the application due date. All applicants 
must obtain and save a Certificate of Mailing showing the date, when 
you submitted your application to the US Postal Service. The 
Certificate of Mailing will be your documentary evidence that your 
application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, DHL, 
Fed EX, and Falcon Carrier. Delivery by these services must be made 
during HUD's Headquarters business hours, between 8:30 AM and 5:30 PM 
Eastern time, Monday to Friday. If these companies do not service your 
area, you should submit your application via the US Postal Service.
    Address for Submitting Applications. Your completed application 
consists of an original signed application and two copies of the 
application. Submit your completed application to the following 
address: Processing and Control Branch, Office of Community Planning 
and Development, Department of Housing and Urban Development, 451 
Seventh Street, SW, Room 7251, Washington, DC, 20410. When submitting 
your application, please refer to HSIAC and include your name, mailing 
address (including zip code), and telephone number (including area 
code).
    HUD will accept only one application per HSI campus for this 
program. If your institution submits more than one application, per 
campus, HUD will ask you to identify which application you want 
evaluated. Only one application may be evaluated. If you do not respond 
within the stipulated cure period (see Section V of the General Section 
of this SuperNOFA), all of your applications will be disqualified. You 
should take this policy into account and take steps to ensure that 
multiple applications are not submitted.
    For Application Kits. For an application kit and any supplemental 
material, you should call the SuperNOFA Information Center at 1-800-
HUD-8929. If you have a hearing or speech impairment, please call the 
Center's TTY number at 1-800-HUD-2209. When requesting an application 
kit, you should refer to HSIAC and provide your name and address 
(including zip code) and telephone number (including area code). You 
may also access the application on the Internet through the HUD web 
site at http//www.hud.gov/grants.
    For Further Information and Technical Assistance. You may contact 
Armand Carriere of HUD's Office of University Partnerships at 202-708-
3061 extension 3181. If you have a hearing or speech impairment, you 
may access this number via TTY by calling the Federal Information Relay 
Service toll-free at 1-800-877-8339. You may also write to Armand 
Carriere via email at hud.gov">Carriere@hud.gov">Armand_W._hud.gov">Carriere@hud.gov.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD web site at http://www.hud.gov.

II. Amount Allocated

    Approximately $7.5 million FY2002 funds plus $2.6 million carryover 
from FY 2001 are being made available under this SuperNOFA for HSIAC.
    The maximum grant period is 36 months. The performance period will 
commence on the effective date of the grant agreement.
    The maximum amount to be requested and awarded is $600,000. Since 
the Statement of Work and other facets of the technical review are 
assessed in the context of the proposed budget and grant request, and 
in the interest of fairness to all applicants, if you submit an 
application requesting more than $$600,000 in HUD funds, the 
application will be ruled ineligible. HUD reserves the right to make 
awards for less than the maximum amount or less than the amount 
requested in your application.

III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. The purpose of HSIAC is to assist HSIs 
expand their role and effectiveness in addressing community development 
needs in their localities, including neighborhood revitalization, 
housing, and economic development.
    (1) For the purposes of this program, the term ``locality'' 
includes any city, county, township, parish, village, or other general 
political subdivision of a State, Puerto Rico, or the U.S. Virgin 
Islands within which your HSI is located.
    (2) A ``target area'' is the locality or the area within the 
locality in which your institution will implement its proposed HUD 
grant.

[[Page 13972]]

    (B) Eligible Applicants. Only if your institution is a nonprofit 
institution of higher education and meets the statutory definition of 
an HSI in Title V of the 1998 Amendments to the Higher Education Act of 
1965 (P.L. 105-244) are you eligible to apply. In order for you to meet 
this definition, at least 25 percent of the full-time undergraduate 
students enrolled in your institution must be Hispanic and not less 
than 50 percent of these Hispanic students must be low-income 
individuals. You are not required to be on the list of eligible 
institutions prepared by the U.S. Department of Education. However, if 
you are not, you will be required to certify in the application that 
you meet the statutory definition. If you are one of several campuses 
of the same institution, you may apply separately from the other 
campuses as long as your campus has a separate administrative structure 
and budget from the other campuses. In addition, in order to fund as 
many different HSIs as possible, you can only apply if you did not 
receive an HSIAC grant in FY 2001. If you received an HSIAC grant in FY 
2000, you may reapply as long as: (1) you propose an entirely new 
project for a different activity; (2) you propose a different project 
director; and (3) you have drawn down at least 75% of your previous 
grant by the application due date.
    (C) Eligible Activities.
    (1) General. Each activity you propose for funding must meet both a 
Community Development Block Grant Program (CDBG) national objective and 
the CDBG eligibility requirements. A discussion of the national 
objectives can be found at 24 CFR part 570.208. Each activity that may 
be funded under this SuperNOFA for the HSIAC program must meet one of 
the three national objectives of the CDBG program which are:
    (a) Benefit to low- and moderate-income persons;
    (b) Aid in the prevention or elimination of slums or blight; or
    (c) Meet other community development needs having a particular 
urgency because existing conditions pose a serious and immediate threat 
to the health and welfare of the community, and other financial 
resources are not available to meet such needs. (You must ensure that 
of your aggregate grant expenditures under paragraphs (a), (b), and (c) 
above, at least 51% are for activities benefiting low- and moderate-
income persons.)
    Criteria for determining whether an activity addresses one or more 
of these objectives are provided at 24 CFR 570.208.
    Ineligible activities are listed at Sec. 570.207. The CDBG 
publication entitled, ``CDBG Guide to National Objectives and Eligible 
Activities for Entitlement Communities'' discusses the regulations. You 
can obtain a copy from the SuperNOFA Information Center. If you propose 
an activity which otherwise is eligible, it may not be funded if State 
or local law requires that it be carried out by a governmental entity.
    In addition, you may not propose the construction or rehabilitation 
of your institution's facilities unless you can demonstrate that such 
activities would meet the purpose of this program to expand the role 
and effectiveness of an HSI in its locality. HUD will scrutinize 
proposed activities for eligibility. As examples of eligible and 
ineligible on-campus activities, rehabilitating a library for use by 
your students would not be an eligible activity, but rehabilitating it 
to convert it to a micro-business enterprise center for the community 
would be; or as another example, just undertaking your normal 
activities (e.g., offering English as a Second Language classes) would 
not be considered eligible activities because they would not expand 
your role and effectiveness in community development activities. You 
should call Armand Carriere at 202-708-3061 extension 3181 if you have 
any questions about the eligibility of any activities you may propose. 
You may also look at the Office of University Partnerships website at 
www.oup.org for summaries of last year's winners.
    (2) Examples of Eligible Activities. Examples of activities that 
generally can be carried out with these funds, under one the three 
national objectives, include, but are not limited to:
    (a) Acquisition of real property;
    (b) Clearance and demolition;
    (c) Rehabilitation of residential structures to increase housing 
opportunities for low- and moderate-income persons and rehabilitation 
of commercial or industrial buildings to correct code violations or for 
certain other purposes, e.g., making accessibility and visitability 
modifications to housing;
    (d) Direct homeownership assistance to low- and moderate-income 
persons, as provided in section 105(a)(25) of the Housing and Community 
Development Act of 1974;
    (e) Acquisition, construction, reconstruction, rehabilitation, or 
installation of public facilities and improvements, such as water and 
sewer facilities and streets;
    (f) Relocation payments and other assistance for temporarily and 
permanently relocated individuals, families, businesses, and non-profit 
organizations where the assistance is:
    (1) Required under the provision of 24 CFR 570.606 (b) or (c); or
    (2) Determined by your institution to be appropriate under the 
provisions of 24 CFR 570.606(d).
    (g) Lead-based paint hazard reduction, pursuant to the CDBG 
regulations;
    (h) Special economic development activities described at 24 CFR 
570.203, including activities designed to promote training and 
employment opportunities;
    (i) Assistance to facilitate economic development by providing 
technical assistance or financial assistance for the establishment, 
stabilization, and expansion of microenterprises, including minority 
enterprises.
    (j) Assistance to community-based development organizations (CBDO) 
to carry out a CDBG neighborhood revitalization, community economic 
development, or energy conservation project, in accordance with 24 CFR 
570.204. This could include activities in support of a HUD approved 
local CDBG Neighborhood Revitalization Strategy (NRS) or HUD approved 
State CDBG Community Revitalization Strategy (CRS);
    (k) Eligible public service activitiesup to 15 percent of the grant 
including:
    (i) Work study programs that meet the program requirements of the 
Hispanic-serving Institutions Work Study program, which can be found at 
24 CFR 570.416;
    (ii) Outreach and other program activities as described in the 
Community Outreach Partnership Centers Program section of the 
SuperNOFA;
    (iii) Educational activities including English as a Second Language 
(ESL) classes, adult basic education classes, GED preparation and 
testing, and curriculum development of courses that will lead to a 
certificate or degree in community planning and development;
    (iv) Job and career counseling, assessment, training, and other 
activities designed to promote employment opportunities, not related to 
special economic development activities;
    (v) Capacity building for community organizations;
    (vi) Social and medical services for youths, adults, senior 
citizens, and the homeless;
    (vii) Fair housing services designed to further the fair housing 
objectives of the Fair Housing Act (42 U.S.C. 3601-20) by making all 
persons, without regard to race, color, religion, sex, national origin, 
familial status and/or disability aware of the range of housing 
opportunities available to them;

[[Page 13973]]

    (viii) Day care centers;
    (ix) Continuum of care services for the homeless;
    (x) Public access telecommunications centers including Twenty/20 
Education Communities (formerly known as Campus of Learners) and 
Neighborhood Networks;
    (xi) Activities to use HUD's Partnership for Advancing Technology 
in Housing (PATH) technology;
    (l) Administrative Costs. Up to 20% of your grant for program 
administration costs related to the planning and execution of community 
development activities assisted in whole or in part with grant funds. 
Pre-award planning costs may not be paid out of grant funds.
    (D) Ineligible CDBG Activities are listed at 24 CFR 570.207.

IV. Program Requirements

    (1) Executive Order 12372, Intergovernmental Review of Federal 
Programs. You must comply with this Executive Order. Please refer to 
the General Section VII(C) for details.
    (2) Leveraging. Although a match is not required to qualify for 
funding, if you claim leveraging from any source, including your own 
institution, you must provide letters or other documentation evidencing 
the extent and firmness of commitments of leveraging from other Federal 
(e.g., Americorps Programs), State, local, and/or private sources 
(including the applicant's own resources). These letters or documents 
must be dated no earlier than the date of this published SuperNOFA. 
Potential sources of leveraging assistance include: your own 
institution (for both direct and indirect costs);
     Federal, State and local governments;
     Housing authorities;
     Local or national nonprofit organizations;
     Banks and private businesses; foundations; and
     Faith-based and other community based organizations.
    (3) Employment of Local Area Residents (Section 3). Please see 
Section II(E) of the General Section of this SuperNOFA. The 
requirements are applicable to certain activities that may be funded 
under this program section of the SuperNOFA.
    (4) Labor Standards. If you are awarded a grant, you must comply 
with the labor standards (Davis-Bacon) as found at 24 CFR 570.603.
    (5) OMB Circulars. Your grant will be governed by the provisions of 
24 CFR part 84 (Grants and Agreements with Institutions of Higher 
Education, Hospitals and other Nonprofit Organizations), A-21 (Cost 
Principles for Education Institutions), and A-133 (Audits of States, 
Local Governments, and Non-Profit Organizations). The application kit 
contains a detailed explanation of what these costs are. You can access 
the OMB circulars at the White House website at http://whitehouse.gov/omb/circulars/index.html.
    (6) Nondiscrimination. In addition to the fair housing and other 
civil rights assurances described under Section II (B) of the General 
Section, you must comply with Section 109 of the Housing and Community 
Development Act of 1974, as amended. Implementing regulations for 
Section 109 are found under 24 CFR 570, including, but not limited to, 
reporting and record-keeping requirements under 24 CFR 570.506 and 
570.507.
    (7) Conducting Business In Accordance With Core Values and Ethical 
Standards HUD requires that all grantees adhere to core values and 
ethical business practices, as described in Section II.(B)(2)) of the 
General Section of this SuperNOFA.
    (8) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women-Owned Businesses. HUD requires 
grantees to take all necessary affirmative steps in contracting with 
businesses, small disadvantaged businesses and women-owned businesses 
in conducting your work activities. Please refer to section II (F) of 
the General Section of this SuperNOFA for specific requirements.

V. Application Selection Process

    HUD will conduct two types of review: a threshold review to 
determine applicant eligibility; and a technical review to rate the 
application based on the rating factors in this section.
    (A) Threshold Factors for Funding Consideration. Under this 
threshold review, your application will only be rated if it is both in 
compliance with the requirements of the General Section of the 
SuperNOFA and the following additional standards are met:
    (1) You must be an eligible HSI and meet the other eligibility 
requirements under Section III(B) of this program NOFA;
    (2)Your application requests a Federal grant of $600,000 or less 
over the three year period.
    (3) There is only one application from your institution or a campus 
of your institution;
    (4) At least one of the activities in your application is eligible.
    (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 102. Your application must receive a minimum of 70 out of 
the possible total of 102 points to be considered for funding. This 
includes two RC/EZ/EC bonus points, as described in the General Section 
of the SuperNOFA.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience (15 points)

    This factor addresses the extent to which you have 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:
    (1) Knowledge and Experience (5 Points for previously funded 
applicants and 15 points for previously unfunded applicants). Your 
application demonstrates the knowledge and experience of the overall 
project director and staff, including the day-to-day program manager, 
consultants, and contractors in planning and managing the kinds of 
programs for which funding is being requested. Experience will be 
judged in terms of recent relevant and successful experience of your 
staff to undertake eligible program activities. In rating this factor, 
HUD will consider experience within the last 5 years to be recent: 
experience pertaining to the specific activities being relevant: and 
experience producing specific accomplishments to be successful. The 
more recent the experience and the more recent the experience of your 
own staff members who work on the project have in successfully 
conducting and completing similar activities, the greater the number of 
points you will receive for this rating factor. The following 
categories will be evaluated:
    (a) Undertaking specific successful community development projects 
with community-based organizations; and
    (b) Providing proven leadership in solving community problems which 
have a direct bearing on the proposed activity.
    (2) Past Performance (10 points for previously funded applicants)
    The extent to which you have performed successfully under your 
previous and current HSIAC grant(s), as measured by:
    (a) Your achievement of specific measurable outcome objectives 
consistent with timelines in your grant proposal;
    (b) Your leveraging of funding consistent with or exceeding the 
funds originally proposed to be leveraged for that project; and

[[Page 13974]]

    (c) The effectiveness of your administration of any previous HSIAC 
grants (including the timeliness and completeness of your compliance 
with HSIAC reporting requirements and your ability to take action to 
resolve problems which presented themselves during the grant period). 
In addressing timeliness of reports, you should compare when your 
reports were due with when they were actually submitted.
    (d) Full points will be awarded for exceptional performance, which 
consistently meets and exceeds promised goals.

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 
importance of meeting the need in the target area. In responding to 
this factor, you will be evaluated on the extent to which you document 
the level of need for the proposed activities and the importance of 
meeting the need.
    You should use statistics and analyses contained in one or more 
data sources that are sound and reliable. To the extent that your 
targeted community's Five (5) Year Consolidated Plan and Analysis of 
Impediments to Fair Housing Choice (AI) identify the level of the 
problem and the urgency in meeting the need, you should include 
references to these documents in your response to this factor.
    If your proposed activities are not covered under the scope of the 
Consolidated Plan and AI, you 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 Census reports, HUD Continuum 
of Care gaps analysis, law enforcement agency crime reports, Public 
Housing Authorities' Comprehensive Plans, community needs analyses such 
as provided by the United Way, your institution, etc., and other sound 
and reliable sources appropriate for HSIAC. You may also address needs 
in terms of fulfilling court orders or consent decrees, settlements, 
conciliation agreements, and voluntary compliance agreements. To the 
extent possible, the data you use should be specific to the area where 
the proposed activities will be carried out. You should document needs 
as they apply to the area where the activities will be targeted, rather 
than the entire locality or State, unless the target area is the entire 
locality or State.

Rating Factor 3: Soundness of Approach (40 points)

    This factor addresses the quality and cost-effectiveness of your 
proposed work plan, the commitment of your institution to the proposed 
activities, and your actions regarding HUD's priorities and 
Affirmatively Furthering Fair Housing.
    (1) Quality of the Work Plan (35 Points). This factor includes your 
Statement of Work and Budget.
    (a) Specific Services and/or Activities (12 Points). Specifically, 
HUD will consider the extent to which your proposed activities will:
    (i) Expand the role of your institution in its community;
    (ii) The project you propose can be completed within the three year 
grant period
    (iii) Relate to and not duplicate other activities in the target 
area;
    (iv) Involve and empower the citizens of the target area, targeting 
specifically faith-based and other community-based grassroots 
organizations, in all stages of the proposed project (particularly 
through a committee that is representative of the target community, to 
guide the project); and
    (v) Be disseminated to a wide variety of audiences, both academic 
and community-based, using a wide variety of media, including print and 
Internet technology.
    (b) Work Plan Impact (13 Points). HUD will consider the feasibility 
of success of your program, the measurable objectives, and how timely 
your products will be delivered. Specifically, HUD will examine the 
extent to which:
    (i) You propose to alleviate and/or fulfill the needs identified in 
Factor 2; and
    (ii) The objectives are measurable (e.g., the number of loans made, 
the number of jobs created), result in measurable improvement to the 
community (e.g., fifteen more homeowners, twenty more jobs in a 
specific field), and how well you demonstrate that these objectives 
will be achieved by your proposed management plan and team and will 
result directly from your activities.
    (c) Involvement of the Faculty and Students (5 points). The extent 
to which your application proposes to involve your students and 
faculty, as part of their coursework in outreach and applied research 
activities. HUD's goal is to encourage you to fund activities similar 
to those eligible under the COPC program to be undertaken as a 
complement to those proposed in your HSIAC application. For more 
information about the COPC program, you can look at the University 
Partnerships Clearinghouse web site at http://www.oup.org/techassist/copc/techcopc.html.
    (d) HUD Priorities (5 points). The extent to which your application 
will further and support at least one of the following priorities of 
HUD. The quality of the response you provide to one or more of HUD's 
priorities will determine the score you receive. You will receive one 
point for each policy priority addressed, up to a total of 5 points. 
For a fuller explanation of each policy priority, please refer to 
Section VI. of the General Section of this SuperNOFA.
    (i) Encouraging Accessible Design Features.
    (ii) Improving Computer Access, Literacy, and Employment 
Opportunities.
    (iii) Providing Full and Equal Access to Faith-Based and Other 
Community Based Organizations in HUD Program Implementation.
    (iv) Ensuring that Programs are Accountable for the Promises Made 
and the actions taken.
    (v) Improving the Quality of Public Housing and Increasing Economic 
Mobility Choices for Residents.
    (2) Affirmatively Furthering Fair Housing (5 points). The extent to 
which you propose to undertake activities designed to affirmatively 
further fair housing, for example:
    (a) Working with other entities in the community to overcome 
impediments to fair housing, such as discrimination in the sale or 
rental of housing or in advertising, provision of brokerage services or 
lending;
    (b) Promoting fair housing choice through the expansion of 
homeownership opportunities and improved quality of services for 
minorities, families with children, and persons with disabilities; or
    (c) Providing housing mobility counseling services.

Rating Factor 4: Leveraging Resources (10 points)

    This factor addresses your ability to secure community resources, 
which can be combined with HUD program funds to achieve program 
objectives.
    In evaluating this factor, HUD will consider the extent to which 
you have established partnerships with other entities to secure 
additional resources to increase the effectiveness of the proposed 
activities. Resources may include funding or in-kind contributions, 
such as services or equipment. Resources may be provided by 
governmental entities, public or private nonprofit organizations, for-
profit private organizations, or other

[[Page 13975]]

entities. You may also establish partnerships with other program 
funding recipients to coordinate the use of resources in the target 
area.
    You may count overhead and other institutional costs (e.g., 
salaries) that are waived as leveraging. However, higher points will be 
awarded if you secure leveraging resources from sources outside your 
institution.
    You must provide letters or other documentation showing the extent 
and firmness of commitments of leveraged funds (including your own 
resources) in order for these resources to count in determining points 
under this factor. Any resource for which there is no commitment letter 
will not be counted, nor will the resource be counted without the 
proposed level of commitment being quantified. If your application does 
not include evidence of leveraging, it will receive zero (0) points for 
this Factor.

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(20 points)

    This factor addresses the extent to which you have coordinated your 
activities with other known organizations, participate or promote 
participation in a community's Consolidated Planning process, and are 
working towards addressing a need in a holistic and comprehensive 
manner through linkages with other activities in the community. For 
specific information about your locality's process, contact the local 
Community Development Agency or the local HUD field office. If you 
propose to work in a Community Development Block Grant (CDBG) non-
entitlement jurisdiction, you will only need to address subfactors (1) 
and (3).
    In evaluating this factor, HUD will consider the extent to which 
you demonstrate that you have:
    (1) Coordinated your 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 you will take to share information on solutions 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 you propose.
    (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 ongoing in the community.
    (4) Institutionalization of Project Activities. The extent to which 
your project will result in the kinds of proposed activities being 
sustained by becoming part of the mission of your institution. In 
reviewing this subfactor, HUD will consider the extent to which program 
activities relate to your institution's mission; demonstrate support 
and involvement of the institution's executive leadership; are linked 
by a formal organizational structure to other units related to outreach 
and community partnerships; are reflected in budget and planning 
documents; are part of a climate that rewards faculty work on these 
kinds of activities through promotion and tenure; benefit students 
because they are part of a service learning program at your 
institution; and are reflected in the curriculum. HUD will look at your 
monetary and non-monetary commitments to faculty and staff continuing 
work in the target area or other similar areas and to your longer term 
commitment (five years after the start of the grant) of hard dollars to 
similar work. If you have previously received an HSIAC grant, you must 
describe the progress your institution has made since you received the 
HSIAC grant in institutionalizing your project activities.
    (C) Selections. In order to be funded, you must receive a minimum 
score of 70 points. HUD will fund applications in rank order, until it 
has awarded all available funds. 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, shall be 
selected. A minimum of two applications which include colonias projects 
will be funded if they receive a minimum score of 70 points.
    (1) 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 (update information also 
reported on 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 5.
    (2) 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 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.
    (3) 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, subpart B, 
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.
    (4) Debriefing. Beginning not less than 30 days after the awards 
for assistance are announced in the above-mentioned Federal Register 
notice, and for not less than 120 days after awards for assistance are 
announced, HUD will provide a debriefing to any applicant requesting a 
debriefing on their application. All requests for debriefings must be 
made in writing. Materials provided to you during your debriefing will 
include the final scores you received for each rating factor, final 
evaluator comments for each rating factor, and the final assessment 
indicating the basis upon which assistance was provided or denied.
    HUD will not fund specific proposed activities that do not meet 
eligibility requirements (see 24 CFR part 570, subpart C) or do not 
meet a national objective in accordance with 24 CFR 570.208.
    HUD reserves the right to make selections out of rank order to 
provide for geographic distribution of funded HSIACs. If HUD decides to 
use this option, it will do so only if two adjacent

[[Page 13976]]

HUD regions do not yield at least one fundable HSIAC on the basis of 
rank order. If this occurs, HUD will fund the highest ranking applicant 
within the two regions as long as the minimum score of 70 points is 
achieved.
    After all application selections have been made, HUD may require 
that you participate in negotiations to determine the specific terms of 
the Statement of Work and the grant budget. In cases where HUD cannot 
successfully complete negotiations, or you fail to provide HUD with 
requested information, an award 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 that applicant.

V. Application Submission Requirements

    You should include an original and two copies of the items listed 
below. In order to be able to recycle paper, please do not submit 
applications in bound form; binder clips or loose leaf binders are 
acceptable. Also, please do not use colored paper. Please note the page 
limits for some of the items listed below and do not exceed them.
    Your application must contain the items listed in this section. 
These items include the standard forms, certifications, and assurances 
listed in the General Section of the SuperNOFA that are applicable to 
this funding (collectively referred to as the ``standard forms''). The 
standard forms can be found in Appendix B to the General Section of the 
SuperNOFA. The remaining application items that are forms (i.e., 
excluding such items as narratives), referred to as the ``non-standard 
forms'' can be found as Appendix A to this program section of the 
SuperNOFA. The items are as follows:
    (A) SF-424, Application for Federal Assistance.
    (B) HUD-424M, Federal Assistance Funding Matrix.
    (C) Transmittal Letter, signed by the Chief Executive Officer of 
your institution or his or her designee. If a designee signs, your 
application must include the official designation of signatory 
authority.
    (D) Abstract/Executive Summary (one page limit) describing the 
goals and activities of the project.
    (E) Narrative Statement Addressing the Factors for Award. (50 page 
limit, including tables, and maps, but not including any letters of 
commitment and budget forms) (Please note that although submitting 
pages in excess of the page limit will not disqualify your application, 
HUD will not consider the information on any excess pages, which may 
result in a lower score or failure to meet a threshold.). For FY 2002, 
the statement of work and the budget are now part of Factor 3, 
Soundness of Approach.
    (1) The Statement of Work incorporates all activities to be funded 
in your application and details how your proposed work will be 
accomplished. For each proposed activity, your Statement of Work must:
    (a) Arrange the presentation of major related activities (e.g., 
rehabilitation of a child care center, provision of tutoring services), 
summarize each activity, identify the primary persons (as described in 
addressing Rating Factor 1) involved in carrying out the activity and 
accountable for the deliverables, and delineate the major tasks 
involved in carrying it out. You should also describe how each activity 
meets a CDBG national objective.
    (b) Indicate the sequence in which tasks are to be performed, 
noting areas of work that must be performed simultaneously. The 
sequence, duration, and the products to be delivered should be 
presented in six month intervals, up to 24 months.
    (c) Identify the specific numbers of quantifiable intermediate and 
end products and objectives (e.g., the number of houses of be 
rehabilitated, the number of people to be trained, the number of 
minority businesses started, etc.) you aim to deliver by the end of the 
grant period as a result of the work performed.
    (2) The budget presentation should be consistent with the Statement 
of Work and include:
    (a) A budget by activity, using Form HUD-30004 included in the 
application kit and in the program area section of the SuperNOFA. This 
form separates the Federal and non-Federal costs of each program 
activity. Particular attention should be paid to accurately estimating 
costs; determining the necessity for and reasonableness of costs; and 
correctly computing all budget items and totals.
    (b) A narrative statement of how you arrived at your costs, for any 
line item over $5,000. Indirect costs must be substantiated and the 
rate must have been approved by the cognizant Federal agency. If you 
are proposing to undertake rehabilitation of residential, commercial, 
or industrial structures or acquisition, construction, or installation 
of public facilities and improvements, you must submit reasonable costs 
supplied by a qualified entity other than your institution. Guidance 
for securing these estimates can be obtained from the CPD Director in 
your HUD field office or from your local government.
    (c) A statement of compliance with the 20 percent limitation on 
``Planning and Administration'' costs.
    (3) Your narrative statement addressing the factors for award 
should address all factors for award. You should number the narrative 
in accordance with each factor and subfactor. (Please note that 
although submitting pages in excess of the page limit will not 
disqualify your application, HUD will not consider the information on 
any excess pages, which may result in a lower score or failure to meet 
a threshold.) In addressing Factor 4, for each leveraging source, cash 
or in kind, you must submit a letter, dated no earlier than the date of 
this SuperNOFA, from the provider on the provider's letterhead that 
addresses the following:
     The dollar amount or dollar value of the in-kind goods 
and/or services committed. For each leveraging source, the dollar 
amount in the commitment letter must be consistent with the dollar 
amount you indicated in the Budget;
     How the leveraging amount is to be used;
     The date the leveraging amount will be made available and 
a statement that it will be for the duration of the grant period;
     Any terms and conditions affecting the commitment, other 
than receipt of a HUD HSIAC Grant; and
     The signature of the appropriate executive officer 
authorized to commit the funds and/or goods and/or services. (See the 
application kit and the program area section of the SuperNOFA for a 
sample commitment letter.)
    (G) Certifications.
    (1) SF-424B, Assurances for Non-Construction Programs.
    (2) HUD-50071, Certification of Payments to Influence Certain 
Federal Transactions;
    (3) SF-LLL, Disclosure of Lobbying Activities (if applicable);
    (4) HUD-2880, Applicant/Recipient Disclosure/Update Form;
    (5) HUD-50070, Certification of Drug-Free Workplace;
    (6) HUD-2992, Certification Regarding Debarment and Suspension;
    (7) HUD-2991, Certification of Consistency with the Consolidated 
Plan; and
    (8) HUD-2990, Certification of Consistency with the RC/EZ/EC 
Strategic Plan (if applicable);
    (H) Acknowledgment of Receipt of Applications (HUD-2993). If you 
wish to confirm that HUD received your application, please complete 
this form. This form is optional.
    (I) Client Comment and Suggestions (HUD-2994). If you wish to offer 
comments on the HSIAC NOFA of this

[[Page 13977]]

SuperNOFA or the SuperNOFA process, please complete this form. This 
form is optional.
    You may not submit appendices or general support letters or 
resumes. If you submit letters of leveraging commitment, they must be 
included in your response to Factor 4. If you submit other 
documentation, it must be included with the pertinent factor responses 
(taking note of the page limit).

VI. Corrections to Deficient Applications

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

VII. Environmental Requirements

    Selection for award does not constitute approval of any proposed 
sites. Following selection for award, HUD will perform an environmental 
review of activities proposed for assistance under this program, in 
accordance with 24 CFR part 50. The results of the environmental review 
may require that your proposed activities be modified or that your 
proposed sites be rejected. You are particularly cautioned not to 
undertake or commit funds for acquisition or development of proposed 
properties prior to HUD approval of specific properties or areas. Your 
application constitutes an assurance that your institution will assist 
HUD to comply with part 50; will supply HUD with all available and 
relevant information to perform an environmental review for each 
proposed property; will carry out mitigating measures required by HUD 
or select alternate property; and will not acquire, rehabilitate, 
convert, demolish, lease, repair, or construct property and not commit 
or expend HUD or local funds for these program activities with respect 
to any eligible property until HUD approval of the property is 
received. In supplying HUD with environmental information, you should 
use the same guidance as provided in the HUD Notice CPD-99-01 entitled 
``Field Environmental Review Processing for HUD Colonias Initiative 
(HCI) Grants'' issued January 27, 1999.

VIII. Authority

    This program was approved by the Congress under the section 107 of 
the CDBG appropriation for Fiscal Year 2001, as part of the FY 2001 HUD 
Appropriations Act. HSIAC is being implemented through this program 
section of the SuperNOFA and the policies governing its operation are 
contained herein.

Appendix A

    The non-standard forms, which follow, are required for your HSIAC 
application.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 13983]]



FUNDING AVAILABILITY FOR THE ALASKA NATIVE/NATIVE HAWAIIAN 
INSTITUTIONS ASSISTING COMMUNITIES PROGRAM (AN/NHIAC)

PROGRAM OVERVIEW

    Purpose of the Program. To assist Alaska Native/Native Hawaiian 
institutions of higher education (AN/NHIs) expand their role and 
effectiveness in addressing community development needs in their 
localities, consistent with the purposes of Title I of the Housing and 
Community Development Act of 1974, as amended.
    Available Funds. Approximately $4 million plus $2.2 million in 
previously unexpended FY 2001 funds, to be divided evenly between 
Alaska Native institutions of higher education (ANIs) and Native 
Hawaiian institutions of higher education (NHIs).
    Eligible Applicants: Only nonprofit Alaska Native and Native 
Hawaiian institutions of higher education that meet the definitions of 
Alaska Native and Native Hawaiian institutions of higher education 
established in Title III, Part A, Section 317 of the Higher Education 
Act of 1965, as amended by the Higher Education Amendments of 1998 
(Pub.L. 105-244; enacted October 7, 1998).
    Application Deadline. June 20, 2002
    Match. None.

ADDITIONAL INFORMATION

    If you are interested in applying for funds under the Alaska 
Native/Native Hawaiian Institutions Assisting Communities (AN/NHIAC) 
Program, please review carefully the General Section of this SuperNOFA 
and the following additional information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Your completed application is due on or 
before June 20, 2002, at HUD Headquarters.
    Application Submission Procedures. New Security Procedures. In 
response to the terrorist attacks in September 2001 HUD has implemented 
new security procedures that impact on application submission 
procedures. Please read the following instructions carefully and 
completely. HUD will not accept hand delivered applications. 
Applications may be mailed using the United States Postal Service 
(USPS) or may be shipped by the following delivery services: United 
Parcel Service (UPS), Fed EX, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without escort. You must, 
therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received by the designated HUD Office on 
or within fifteen (15) days of the application due date. All applicants 
must obtain and save a Certificate of Mailing showing the date, when 
you submitted your application to the US Postal Service. The 
Certificate of Mailing will be your documentary evidence that your 
application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application die date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by not later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, DHL, 
Fed EX, and Falcon Carrier. Delivery by these services must be made 
during HUD's Headquarters business hours, between 8:30 AM and 5:30 PM 
Eastern time, Monday to Friday. If these companies do not service your 
area you should submit your application via the US Postal Service.
    Address for Submitting Applications. Your completed application 
consists of an original signed application and two copies. Submit your 
completed application to the following address: Processing and Control 
Branch, Office of Community Planning and Development, Department of 
Housing and Urban Development, 451 Seventh Street, SW, Room 7251, 
Washington, DC, 20410. When submitting your application, please refer 
to AN/NHIAC and include your name, mailing address (including zip code) 
and telephone number (including area code).
    For ANIs, HUD only will accept one application per campus. For 
NHIs, HUD will accept one application per institution. If your 
institution submits more than one application per campus (for ANIs) or 
more than one application per institution (for NHIs), HUD will ask you 
to identify which application you want evaluated. Only one application 
may be evaluated. If you do not respond within the stipulated cure 
period (see Section V of the General Section of this SuperNOFA), all of 
your applications will be disqualified. You should take this policy 
into account and take steps to ensure that multiple applications are 
not submitted.
    For Application Kits. For an application kit and any supplemental 
material, you should call the SuperNOFA Information Center at 1-800-
HUD-8929 (toll free). If you have a hearing or speech impairment, 
please call the Center's TTY number at 1-800-HUD-2209. When requesting 
an application kit, you should refer to AN/NHIAC Program and provide 
your name and address (including zip code) and telephone number 
(including area code). You may also access the application on the 
Internet through the HUD web site at www.hud.gov.
    For Further Information and Technical Assistance. You may call 
Armand Carriere of HUD's Office of University Partnerships at 202-708-
3061, extension 3181. If you have a hearing or speech impairment, you 
may access this number via TTY by calling the Federal Information Relay 
Service toll-free at 1-800-877-8339. You may also write to Mr. Carriere 
via email at hud.gov">Carriere@hud.gov">Armand_W._hud.gov">Carriere@hud.gov.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD web site at http://www.hud.gov.

II. Amount Allocated

    Approximately $ 4 million in FY 2002 funds and $2.2 million in 
previously unexpended FY 2001 funds is being made available under this 
SuperNOFA for AN/NHIAC. Of this amount, $ 3.1 million is being made 
available for Alaska Native institutions (ANIs) of higher education and 
$ 3.1 million is being made available for Native Hawaiian institutions 
of higher education (NHIs). The performance period of 36 months will 
commence on the effective date of the grant agreement. The maximum 
amount which can be requested and awarded to a particular Alaska Native 
institution of higher education is $600,000. The maximum amount which 
can be requested and awarded to a particular Native Hawaiian 
institution of higher education is $3 million with each application 
composed of no more than five separate projects, each in a different 
neighborhood. Each separate project can be for no more than $600,000
    Since the Statement of Work and other facets of the technical 
review are assessed in the context of the proposed budget and grant 
request, and in the interest of fairness to all applicants, if you are 
an ANI and submit an

[[Page 13984]]

application requesting more than $600,000 in HUD funds, it will be 
ruled ineligible. If you are an NHI and you submit an application for 
more than $3 million, it will be ruled ineligible. If you are an NHI 
and you submit an application in which you request more than $600,000 
for any one project, that particular project will be ruled ineligible. 
HUD reserves the right to make awards for less than the maximum amount 
or less than the amount requested in your application.

III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. The purpose of AN/NHIAC is to assist AN/
NHIs to expand their role and effectiveness in addressing community 
development needs in their localities, including neighborhood 
revitalization, housing, and economic development.
    (1) For the purposes of this program, the term ``locality'' 
includes any city, county, township, parish, village, or other general 
political subdivision of a State within which your AN/NHI is located.
    (2) A ``target area'' is the locality or the area within the 
locality in which your institution will implement its proposed HUD 
grant.
    (B) Eligible Applicants. Only if your institution is a nonprofit 
institution of higher education and meets the statutory definition of 
either an Alaska Native institution of higher education or a Native 
Hawaiian institution of higher education, as contained in Title III, 
Part A, Section 317 of the Higher Education Act of 1965, as amended by 
the Higher Education Amendments of 1998 (Pub.L. 105-244) are you 
eligible to apply. If you are an Alaska Native institution of higher 
education, in order for you to meet this definition, at least 20 
percent of your undergraduate headcount enrollment must be Alaska 
Native students. If you are a Native Hawaiian institution of higher 
education, in order to meet this definition at least 10 percent of your 
undergraduate headcount enrollment must be Native Hawaiian students. 
You are not required to be on a list of eligible AN/NHIs prepared by 
the U.S. Department of Education. However, if you are not, you will be 
required to certify in the application that you meet the statutory 
definition. If you are an ANI and received a grant in FY 2001, you are 
not eligible to submit an application in FY 2002. If you are an NHI and 
received a grant in FY 2001, you are not permitted to submit an 
application for the same specific project in a different neighborhood, 
another project in the same neighborhood, or another project with the 
same project director as the project funded in FY 2001.
    If you are an ANI and your institution has multiple campuses, each 
one is eligible to apply separately, as long as it meets the above 
enrollment test. You may undertake as many projects and activities as 
you want, as long as you do not exceed the $600,000 cap for an 
application. If you are an NHI, you are permitted to submit only one 
application, no matter how many separate campuses you have, as long as 
your institution meets the above enrollment test. You may undertake up 
to five separate projects, each in a different neighborhood, with each 
project requesting no more than $600,000. In your application you must 
describe how each project is separate and distinct; how your proposed 
activities relate to that project; and that each project will not rely 
on any part of another project for its successful completion. A project 
can include one or more of the eligible activities listed below. For 
example, if you propose a homeownership project, you might rehabilitate 
housing in a neighborhood, demolish some structures to create spaces 
for lawns, and provide a loan pool for purchasers of this housing. All 
these activities could still be viewed as one project. You might also 
undertake a job training program for welfare-to-work families by 
rehabilitating a warehouse and offering the job training there. These 
activities could also be viewed as one project. But if you proposed to 
create a homeownership loan program and a job training program, these 
activities would be viewed as two separate projects. Your institution 
could undertake both, but they would have to be in two different 
neighborhoods.
    (C) Eligible Activities. (1) General. Each activity you propose for 
funding must meet both a Community Development Block Grant Program 
(CDBG) national objective and the CDBG eligibility requirements. A 
discussion of the national objectives can be found at 24 CFR 570.208. 
Each activity that may be funded under this SuperNOFA for the Alaskan 
Native/Native Hawaiian program must meet one of the three national 
objectives of the CDBG program which are:
    (a) Benefit to low- and moderate-income persons;
    (b) Aid in the prevention or elimination of slums or blight; or
    (c) Meet other community development needs having a particular 
urgency because existing conditions pose a serious and immediate threat 
to the health and welfare of the community, and other financial 
resources are not available to meet such needs. (You must ensure that 
of your aggregate grant expenditures under paragraphs (a), (b), and (c) 
above at least 51% are for activities benefiting low- and moderate-
income persons).
    Criteria for determining whether an activity addresses one or more 
of these objectives are provided at 24 CFR 570.208.
    The CDBG publication entitled `` CDBG Guide to National Objectives 
and Eligible Activities for Entitlement Communities'' discusses the 
regulations. You can obtain a copy from the SuperNOFA Information 
Center. If you propose an activity which otherwise is eligible, it may 
not be funded if State or local law requires that it be carried out by 
a governmental entity.
    In addition, you may not propose the construction or rehabilitation 
of your institution's facilities unless you can demonstrate that such 
activities would meet the purpose of this program to expand the role 
and effectiveness of an AN/NHI in its locality. HUD will scrutinize 
proposed activities for eligibility. As examples of eligible and 
ineligible on-campus activities, rehabilitating a library for use by 
your students would not be an eligible activity, but rehabilitating it 
to convert it to a micro-business enterprise center for the community 
would be; another example, just undertaking your normal activities 
(e.g., offering English as a Second Language class) would not be 
considered eligible activities because they would not expand your role 
and effectiveness in community development activities. You should call 
Armand Carriere at 202 708-3061 extension 3181 if you have any 
questions about the eligibility of any activities you may propose. You 
may also look at the Office of University Partnerships website at 
www.oup.org for summaries of winners under the Hispanic-serving 
Institutions Assisting Communities program, a program very similar to 
this one.
    (2) Examples of Eligible Activities. Examples of activities that 
generally can be carried out with these funds, under one of the three 
national objectives, include, but are not limited to:
    (a) Acquisition of real property;
    (b) Clearance and demolition;
    (c) Rehabilitation of residential structures to increase housing 
opportunities for low- and moderate-income persons and rehabilitation 
of commercial or industrial buildings to correct code violations or for 
certain other purposes, e.g., making accessibility and visitability 
modifications to housing;

[[Page 13985]]

    (d) Direct homeownership assistance to low- and moderate-income 
persons, as provided in section 105(a)(25) of the Housing and Community 
Development Act of 1974;
    (e) Acquisition, construction, reconstruction, rehabilitation, or 
installation of public facilities and improvements, such as water and 
sewer facilities and streets;
    (f) Relocation payments and other assistance for temporarily and 
permanently relocated individuals, families, businesses, and non-profit 
organizations where the assistance is (i) required under the provision 
of 24 CFR 570.606(b) or (c); or (ii) determined by your institution to 
be appropriate under the provisions of 24 CFR 570.606 (d).
    (g) Lead-based paint hazard reduction, pursuant to the CDBG 
regulations;
    (h) Special economic development activities described at 24 CFR 
570.203, including activities designed to promote training and 
employment opportunities;
    (i) Assistance to facilitate economic development by providing 
technical assistance or financial assistance for the establishment, 
stabilization, and expansion of microenterprises, including minority 
enterprises;
    (j) Assistance to community-based development organizations (CBDO) 
to carry out a CDBG neighborhood revitalization, community economic 
development, or energy conservation project, in accordance with 24 CFR 
570.204. This could include activities in support of a HUD approved 
local CDBG Neighborhood Revitalization Strategy (NRS) or HUD approved 
State CDBG Community Revitalization Strategy (CRS);
    (k) Eligible public service activities. Up to 15 percent of the 
grant can be used for public service activities. Examples include:
    (i) Work study programs that meet the program requirements of the 
Hispanic-serving Institutions Work Study program, which can be found at 
24 CFR 570.416;
    (ii) Outreach and other program activities as described in the 
Community Outreach Partnership Centers Program section of the 
SuperNOFA;
    (iii) Educational activities including English as a Second Language 
(ESL) classes, adult basic education classes, GED preparation and 
testing, and curriculum development of courses that will lead to a 
certificate or degree in community planning and development;
    (iv) Job and career counseling assessment, training, and other 
activities designed to promote employment opportunities, not related to 
special economic development activities;
    (v) Capacity building for community organizations;
    (vi) Social and medical services for youths, adults, senior 
citizens, and the homeless;
    (vii) Fair housing services designed to further the fair housing 
objectives of the Fair Housing Act (42 U.S.C. 3601-20) by making all 
persons, without regard to race, color, religion, sex, national origin, 
familial status and/or disability aware of the range of housing 
opportunities available to them; (viii) Day care centers;
    (ix) Continuum of care services for the homeless;
    (x) Public access telecommunications centers including Twenty/20 
Education Communities (formerly known as Campus of Learners) and 
Neighborhood Networks;
    (xi) Activities to use HUD's Partnership for Advancing Technology 
in Housing (PATH) technology;
    (l) Administrative Costs. Up to 20% of your grant for program 
administration costs related to the planning and execution of community 
development activities assisted in whole or in part with grant funds. 
Pre-award planning costs may not be paid out of grant funds.
    (D) Ineligible CDBG Activities are listed at CFR 570.207.

IV. Program Requirements

    (A) Executive Order 12372, Intergovernmental Review of Federal 
Programs. You must comply with this Executive Order. Please refer to 
Section VII(C) of the General Section for details.
    (B) Leveraging. Although a match is not required to qualify for 
funding, if you claim leveraging from any source, including your own 
institution, you must provide letters or other documentation evidencing 
the extent and firmness of commitments of leveraging from other Federal 
(e.g., Americorps Programs), State, local, and/or private sources 
(including the applicant's own resources). These letters or documents 
must be dated no earlier than the date of this published SuperNOFA. 
Potential sources of leveraging assistance include your own institution 
(for both direct and indirect costs); State and local governments; 
housing authorities; local or national nonprofit organizations; banks 
and private businesses; foundations; and faith-based and other 
community based organizations.
    (C) Affirmatively Furthering Fair Housing. Please see Section II(D) 
of the General Section of this SuperNOFA.
    (D) Employment of local area residents (Section 3). Please see 
Section II(E) of the General Section of this SuperNOFA. The 
requirements are applicable to certain activities that may be funded 
under this program section of the SuperNOFA.
    (E) Labor Standards. If you are awarded a grant, you must comply 
with the labor standards (Davis-Bacon) as found at 24 CFR 570.603.
    (F) OMB Circulars. Your grant will be governed by the provisions of 
24 CFR part 84 (Grants and Agreements with Institutions of Higher 
Education, Hospitals and other Nonprofit Organizations), OMB Circular 
A-21 (Cost Principles for Education Institutions), and OMB Circular A-
133 (Audits of States, Local Governments, and Non-Profit 
Organizations). The application kit contains a detailed explanation of 
what these costs are. You can access the OMB circulars at the White 
House website at http://whitehouse.gov//omb/circulars/index.html.
    (G) Nondiscrimination. In addition to the fair housing and other 
civil rights assurances described under Section II (B) of the SuperNOFA 
General Section, you must comply with Section 109 of the Housing and 
Community Development Act of 1974, as amended. Implementing regulations 
for Section 109 are found under 24 CFR 570, including, but not limited 
to, reporting and record-keeping requirements under 24 CFR 570.506 and 
570.507.
    (H) Conducting Business In Accordance With Core Values and Ethical 
Standards. HUD requires that all grantees adhere to core values and 
ethical business practices, as described in Section II(B)(2) of the 
General Section of this SuperNOFA as a condition of award.
    (I) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women-owned Businesses. HUD requires 
grantees to take all necessary affirmative steps in contracting with 
small businesses, small disadvantaged businesses and women-owned 
businesses in conducting your work activities. Please refer to Section 
II.(F) of the General Section of this SuperNOFA for specific 
requirements.

V. Application Selection Process

    HUD will conduct two types of review: a threshold review to 
determine applicant eligibility; and a technical review to rate the 
application based on the rating factors in this section.
    (A) Threshold Factors for Funding Consideration. Under this 
threshold review, your application can only be considered for rating 
and ranking if it is in compliance with both the requirements of the 
General Section of the SuperNOFA and the following additional standards 
are met:

[[Page 13986]]

    (1) You must be an eligible Alaska Native or Native Hawaiian 
institution of higher education and meet the other eligibility 
requirements in Section III(B) of this program NOFA;
    (2) If you are an ANI, you request a Federal grant of $600,000 or 
less over the three-year grant period; or
    (3) If you are an NHI, you request a Federal grant of $3 million or 
less over the three year grant period composed of no more than five 
separate projects, each in a different neighborhood, and each project 
for an award of no more than $600,000.
    (4) If you are an ANI, there is only one application from your 
institution or a campus of your institution. If you are an NHI, there 
is only one application from your institution, no matter how many 
campuses there are.
    (5) At least one of the activities in your application is eligible.
    (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 102. This includes two RC/EZ/EC bonus points, as described 
in the General Section of the SuperNOFA.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience (15 points)

    This factor addresses the extent to which you have 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:
    (1) Knowledge and Experience (5 Points for previously funded 
applicants and 15 points for previously unfunded applicants) Your 
application demonstrates the knowledge and experience of the overall 
project director and staff, including the day-to-day program manager, 
consultants, and contractors in planning and managing the kinds of 
programs for which funding is being requested. Experience will be 
judged in terms of recent, relevant, and successful experience of your 
staff to undertake eligible activities. In rating this factor, HUD will 
consider experience within the last 5 years to be recent experience 
pertaining to the specific activities being relevant and experience 
producing specific accomplishments to be successful. The more recent 
the experience and the more recent the experience of your own staff 
members who work on the project have in successfully conducting and 
completing similar activities, the greater the number of points you 
will receive for this rating factor. The following categories will be 
evaluated:
    (a) Undertaking specific successful community development projects 
with community-based organizations; and
    (b) Providing proven leadership in solving community problems and 
have a direct bearing on the proposed activity.
    (2) Past Performance (10 Points for previously funded applicants)
    The extent to which you performed successfully under your previous 
AN/NHAIC grant(s), as measured by:
    (a) Your achievement of specific measurable outcome objectives;
    (b) Your leveraging of funding beyond the funds originally proposed 
to be leveraged for that project; and
    (c) The effectiveness of your administration of any previous AN/
NHAIC grants (including the timeliness and completeness of your 
compliance with AN/NHAIC reporting requirements and your ability to 
have resolved problems which presented themselves during the grant 
period). In addressing timeliness of reports, you should compare when 
your reports were due with when they were actually submitted.
    Full points will be awarded for exceptional performance, which 
consistently meets and exceeds promised goals.

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 
importance of meeting the need in the target area. In responding to 
this factor, you will be evaluated on the extent to which you document 
the level of need for the proposed activities and the importance of 
meeting the need.
    You should use statistics and analyses contained in one or more 
data sources that are sound and reliable. To the extent that your 
targeted community's Five (5) Year Consolidated Plan and Analysis of 
Impediments to Fair Housing Choice (AI) identify the level of the 
problem and the urgency in meeting the need, you should include 
references to these documents in your response to this factor.
    If your proposed activities are not covered under the scope of the 
Consolidated Plan and AI, you 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 Census reports, HUD Continuum 
of Care gaps analysis, law enforcement agency crime reports, Public 
Housing Authorities' Comprehensive Plans, community needs analyses such 
as provided by the United Way, your institution, etc., and other sound 
and reliable sources appropriate for AN/NHIAC. You may also address 
needs in terms of fulfilling court orders or consent decrees, 
settlements, conciliation agreements, and voluntary compliance 
agreements.
    To the extent possible, the data you use should be specific to the 
area where the proposed activities will be carried out. You should 
document needs as they apply to the area where the activities will be 
targeted, rather than the entire locality or State, unless the target 
area is the entire locality or State.

Rating Factor 3: Soundness of Approach (40 points)

    This factor addresses the quality and cost-effectiveness of your 
proposed work plan and your actions regarding HUD's priorities and 
Affirmatively Furthering Fair Housing.
    (1) Quality of the Work Plan (35 Points). This factor includes your 
Statement of Work and Budget
    (a) Specific Services and/or Activities (12 Points). Specifically, 
HUD will consider the extent to which your proposed activities will:
    (i) Expand the role of your institution in its community;
    (ii) Alleviate and/or fulfill the needs identified in Factor 2;
    (iii) Relate to and not duplicate other activities in the target 
area.
    (iv) Involve and empower the citizens of the target area, targeting 
specifically faith-based and other community-based grassroots 
organizations, in all stages of the proposed project (particularly 
through a committee that is representative of the target community, to 
guide the project); and
    (v) Be disseminated to a wide variety of audiences, both academic 
and community-based, using a wide variety of media, including print and 
Internet technology.
    (b) Work Plan Impact (12 Points). HUD will consider the feasibility 
of success of your program, the measurable objectives, and how timely 
your products will be delivered. Specifically, HUD will examine the 
extent to which:
    (i) The project you propose can be completed within the two-year 
grant period; and
    (ii) The objectives are measurable (e.g., the number of loans made, 
the number of jobs created), result in measurable improvement to the 
community (e.g., fifteen more homeowners, twenty more jobs in a 
specific field), and how well you demonstrate that these objectives 
will be achieved by your proposed management

[[Page 13987]]

plan and team and will result directly from your activities.
    (c) Involvement of the Faculty and Students (5 points). The extent 
to which your application proposes to involve your students and 
faculty, as part of their coursework in outreach and applied research 
activities. HUD's goal is to encourage you to fund activities similar 
to those eligible under the COPC program to be undertaken as a 
complement to those proposed in your AN/NHIAC application.
    (d) HUD Priorities (6 points). The extent to which your application 
will further and support the following priorities of HUD. The quality 
of the response you provide to one or more of HUD's priorities will 
determine the score you receive. You will receive one point for each 
policy priority addressed, up to a total of 6 points. For a fuller 
explanation of each policy priority, please refer to Section VI. of the 
General Section of this SuperNOFA
    (i) Encouraging Accessible Design Features
    (ii) Improving Computer Access, Literacy, and Employment 
Opportunities
    (iii) Providing Full and Equal Access to Faith Based and Other 
Community Based Organizations in HUD Program Implementation.
    (iv) Ensuring that Programs are Accountable for the Promises Made 
and the Actions Taken.
    (v) Increasing Homeownership Opportunities for Low- and Moderate-
Income Persons, Persons with Disabilities and the Elderly, and 
Minorities and Families where English may be a second language
    (vi) Improving the Quality of Public Housing and Providing More 
Choices for its Residents.
    (2) Affirmatively Furthering Fair Housing (5 points). The extent to 
which you propose to undertake activities designed to affirmatively 
further fair housing, for example:
    (a) Working with other entities in the community to overcome 
impediments to fair housing, such as discrimination in the sale or 
rental of housing or in advertising, provision of brokerage services or 
lending;
    (b) Promoting fair housing choice through the expansion of 
homeownership opportunities and improved quality of services for 
minorities, families with children, and persons with disabilities; or
    (c) Providing housing mobility counseling services.

Rating Factor 4: Leveraging Resources (10 points)

    This factor addresses your ability to secure community resources, 
which can be combined with HUD program funds to achieve program 
objectives.
    In evaluating this factor, HUD will consider the extent to which 
you have established partnerships with other entities to secure 
additional resources to increase the effectiveness of the proposed 
activities. Resources may include funding or in-kind contributions, 
such as services or equipment. Resources may be provided by 
governmental entities, public or private nonprofit organizations, for-
profit private organizations, or other entities. You may also establish 
partnerships with other program funding recipients to coordinate the 
use of resources in the target area.
    You may count overhead and other institutional costs (e.g., 
salaries) that are waived as leveraging. However, higher points will be 
awarded if you secure leveraging resources from sources outside the 
institution.
    You must provide letters or other documentation showing the extent 
and firmness of commitments of leveraged funds (including your own 
resources) in order for these resources to count in determining points 
under this factor. Any resource for which there is no commitment letter 
will not be counted, nor will the resource be counted without the 
proposed level of commitment being quantified. If your application does 
not include evidence of leveraging, it will receive zero (0) points for 
this Factor.

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(20 points)

    This factor addresses the extent to which your project will result 
in activities that are coordinated with other agencies in the community 
and can be sustained as part of the mission of your institution.
    (1) Coordinated your 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 you will take to share information on solutions 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 you propose.
    (3) Sustainability/Institutionalization of Project Activities. The 
extent to which your project will result in activities that can be 
sustained as part of the mission of your institution. In reviewing this 
subfactor, HUD will consider the extent to which program activities 
relate to your institution's mission, benefit students because they are 
part of a service learning program at your institution, and are 
reflected in the curriculum. HUD will look at your monetary and non-
monetary commitments of faculty and staff continuing work in the target 
area or other areas facing similar challenges, and to your longer term 
commitment (five years after the start of the grant) of hard dollars to 
similar work.
    (C) Selections. For ANI applications, each application will be 
reviewed and rated based on these selection criteria. For NHI 
applicants, each project in an application will be reviewed and rated 
separately. If you are an ANI, you must receive a score of at least 70 
points on your application in order to be eligible for funding. If you 
are an NHI, you must receive a score of at least 70 points for a 
project in order for that project to be eligible for funding. HUD will 
fund applications (for ANIs) or projects (for NHIs) in rank order, 
until it has awarded all available funds. HUD will rank and select 
applications from Alaska Native institutions and Native Hawaiian 
institutions separately. If, within either of these two categories, two 
or more applications (for ANIs) or projects (for NHIs) have the same 
number of points, the application (for ANIs) or project (for NHIs) with 
the most points for Factor 3, Soundness of Approach, shall be selected. 
If there is still a tie, the application (for ANIs) or project (for 
NHIs) with the most points for Factor 4, Leveraging, shall be selected. 
If all the funds in one category are not awarded, they cannot be 
transferred to the other category.
    HUD will not fund specific proposed activities that do not meet 
eligibility requirements (see 24 CFR part 570, subpart C), or do not 
meet a national objective in accordance with 24 CFR 570.208.
    After all application selections have been made, HUD may require 
that you participate in negotiations to determine the specific terms of 
the Statement of Work and the grant budget. In cases where HUD cannot 
successfully complete negotiations, or you fail to provide HUD with 
requested information, an award will not be made. In such instances, 
HUD may elect to

[[Page 13988]]

offer an award to the next highest ranking applicant, and proceed with 
negotiations with that applicant.
    (1) 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 (update information also 
reported on 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 5.
    (2) 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 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.
    (3) 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. 3537(a), codified in 24 CFR part 4, subpart B, 
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.
    (4) Debriefing. Beginning not less than 30 days after the awards 
for assistance are announced in the above-mentioned Federal Register 
notice, and for not less than 120 days after awards for assistance are 
announced, HUD will provide a debriefing to any applicant requesting a 
debriefing on their application. All requests for debriefings must be 
made in writing. Materials provided to you during your debriefing will 
include the final scores you received for each rating factor, final 
evaluator comments for each rating factor, and the final assessment 
indicating the basis upon which assistance was provided or denied.

VI. Application Submission Requirements

    You should include an original and two copies of the items listed 
below. In order to be able to recycle paper, please do not submit 
applications in bound form; binder clips or loose leaf binders are 
acceptable. Also, please do not use colored paper. Please note the page 
limits for some of the items listed below and do not exceed them.
    Your application must contain the items listed in this section. 
These items include the standard forms, certifications, and assurances 
listed in the General Section of the SuperNOFA that are applicable to 
this funding (collectively referred to as the ``standard forms''). The 
standard forms can be found in Appendix B to the General Section of the 
SuperNOFA. The remaining application items that are forms (i.e., 
excluding such items as narratives), referred to as the ``non-standard 
forms'' can be found as Appendix A to this program section of the 
SuperNOFA. The items are as follows:
    (A) SF-424, Application for Federal Assistance.
    (B) HUD-424M, Federal Assistance Funding Matrix.
    (C) Transmittal Letter, signed by the Chief Executive Officer of 
your institution or his or her designee. If a designee signs, your 
application must include the official designation of signatory 
authority. If you are an NHI, this letter should cover your entire 
application, no matter how many projects are proposed.
    (D) Abstract/Executive Summary (one page limit for ANIs and three 
pages for NHIs) describing the goals and activities of the project. If 
you are an NHI, the abstract should cover your entire application, no 
matter how many projects are proposed.
    (E) Narrative Statement Addressing the Factors for Award. (If you 
are an ANI, there is a 50 page limit including tables and maps, but not 
including any letters of commitment or budget forms. If you are an NHI, 
there is a 50 page limit for each separate project, including tables 
and maps, but not including any letters of commitment or budget forms, 
with each project responding to all of the Narrative Statement 
Addressing the Factors for Award Requirements (Please note that 
although submitting pages in excess of the page limit will not 
disqualify your application, HUD will not consider the information on 
any excess pages, which may result in a lower score or failure to meet 
a threshold.) For FY 2002, the Statement of Work and the Budget are now 
part of Factor 3, Soundness of Approach.
    (1) The Statement of Work incorporates all activities to be funded 
in your application and details how your proposed work will be 
accomplished. For each proposed activity, your Statement of Work must:
    (a) Arrange the presentation of major related activities (e.g., 
rehabilitation of a child care center, provision of tutoring services), 
summarize each activity, identify the primary persons (as described in 
addressing Rating Factor (1) involved in carrying out the activity and 
accountable for the deliverables, and delineate the major tasks 
involved in carrying it out. You should also describe how each activity 
meets a CDBG national objective.
    (b) Indicate the sequence in which tasks are to be performed, 
noting areas of work that must be performed simultaneously. The 
sequence, duration, and the products to be delivered should be 
presented in six-month intervals, up to 36 months.
    (c) Identify the specific numbers of quantifiable intermediate and 
end products and objectives (e.g., the number of houses to be 
rehabilitated, the number of people to be trained, the number of 
minority businesses started, etc.) you aim to deliver by the end of the 
grant period as a result of the work performed.
    (2) The budget presentation should be consistent with the Statement 
of Work and include:
    (a) A budget by activity, using Form HUD-30005 included in the 
application kit and in the program area section of the SuperNOFA. This 
form separates the Federal and non-Federal costs of each program 
activity. Particular attention should be paid to accurately estimating 
costs; determining the necessity for and reasonableness of costs; and 
correctly computing all budget items and totals.
    (b) A narrative statement of how you arrived at your costs, for any 
line item over $5,000. Indirect costs must be substantiated and the 
rate must have been approved by the cognizant Federal agency. If you 
are proposing to undertake rehabilitation of residential, commercial, 
or industrial structures or acquisition, construction, or installation 
of public facilities and improvements, you must submit reasonable costs 
supplied by a qualified entity other than your institution. Guidance 
for securing these estimates can be obtained from the CPD Director in 
your HUD field office or from your local government.
    (c) A statement of compliance with the 20 percent limitation on 
``Planning and Administration'' costs.

[[Page 13989]]

    (3) Your narrative statement addressing the factors for award 
should address all factors for award. You should number the narrative 
in accordance with each factor and subfactor. Please do not repeat 
material in the Statement of Work.
    In addressing Factor 4, for each leveraging source, cash or in 
kind, you must submit a letter, dated no earlier than the date of this 
SuperNOFA, from the provider on the provider's letterhead that 
addresses the following:
     The dollar amount or dollar value of the in-kind goods 
and/or services committed. For each leveraging source, the dollar 
amount in the commitment letter must be consistent with the dollar 
amount you indicated in the Budget;
     How the leveraging amount is to be used;
     The date the leveraging amount will be made available and 
a statement that it will be for the duration of the grant period;
     Any terms and conditions affecting the commitment, other 
than receipt of a HUD AN/NHIAC Grant; and
     The signature of the appropriate executive officer 
authorized to commit the funds and/or goods and/or services. (See the 
application kit and the program area section of the SuperNOFA for a 
sample commitment letter.) If you are an NHI, you should separate your 
leveraging sources by project and include the appropriate letters in 
the Narrative Statement for that project.
    (G) Certifications.
    (1) SF-424B, Assurances for Non-Construction Programs
    (2) HUD-50071, Certification of Payments to Influence Certain 
Federal Transactions
    (3) SF-LLL, Disclosure of Lobbying Activities (if applicable)
    (4) HUD-2880, Applicant/Recipient Disclosure/Update Form
    (5) HUD-50070, Certification of Drug-Free Workplace
    (6) HUD-2992, Certification Regarding Debarment and Suspension
    (7) HUD-2991, Certification of Consistency with the Consolidated 
Plan and
    (8) HUD-2990, Certification of Consistency with the RC/EZ/EC 
Strategic Plan (if applicable)
    (H) Acknowledgment of Receipt of Applications (HUD-2993). If you 
wish to confirm that HUD received your application, please complete 
this form. This form is optional.
    (I) Client Comments and Suggestion Form (HUD-2994). If you wish to 
offer comments on the AN/NHIAC NOFA of this SuperNOFA or the SuperNOFA 
process, please complete this form. This form is optional.
    You may not submit appendices or general support letters or 
resumes. If you submit letters of leveraging commitment, they must be 
included in your response to Factor 4. If you submit other 
documentation, it must be included with the pertinent factor responses 
(taking note of the page limit).

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    Selection for award does not constitute approval of any proposed 
sites. Following selection for award, HUD will perform an environmental 
review of activities proposed for assistance under this program, in 
accordance with 24 CFR part 50. The results of the environmental review 
may require that your proposed activities be modified or that your 
proposed sites be rejected. You are particularly cautioned not to 
undertake or commit funds for acquisition or development of proposed 
properties prior to HUD approval of specific properties or areas. Your 
application constitutes an assurance that your institution assist HUD 
to comply with part 50; will supply HUD with all available and relevant 
information to perform an environmental review for each proposed 
property; will carry out mitigating measures required by HUD or select 
alternate property; and will not acquire, rehabilitate, convert, lease, 
repair, or construct property and not commit or expend HUD or local 
funds for these program activities with respect to any eligible 
property until HUD approval of the property is received. In supplying 
HUD with environmental information, you should use the same guidance as 
provided in the HUD Handbook entitled ``Field Environmental Review 
Processing for HUD Colonias Initiative Grants'' issued January 27, 
1998.

IX. Authority

    This program was approved by Congress under section 107 of the CDBG 
appropriation for fiscal year 2002, as part of the FY 2002 HUD 
Appropriations Act. AN/NHIAC is being implemented through this program 
section of the SuperNOFA and the policies governing its operation are 
contained herein.

Appendix A

    The non-standard forms, which follow, are required for your AN/
NHIAC application.
BILLING CODE 4210-32-P

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FUNDING AVAILABILITY FOR TRIBAL COLLEGES AND UNIVERSITIES PROGRAM

PROGRAM OVERVIEW

    Purpose of the Program. To assist Tribal colleges and universities 
to build, expand, renovate, and equip their own facilities.
    Available Funds. Approximately $3 million from Fiscal Year 2002 
appropriation.
    Eligible Applicants: Only tribal colleges and universities that 
meet the definition of a Tribal College or University (TCU) established 
in Title III of the 1998 Amendments to the Higher Education Act of 1965 
(Pub. L. 105-244; enacted October 7, 1998)
    Application Deadline. June 20, 2002
    Match. None.

ADDITIONAL INFORMATION

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Your completed application is due on or 
before 5:30 PM, Eastern time, on June 20, 2002 at HUD Headquarters.
    Applications Submission Procedures New Security Procedures. HUD has 
implemented new security procedures that impact on application 
submission procedures. Please read the following instructions carefully 
and completely. HUD will not accept hand delivered applications. 
Applications may be mailed using the United States Postal Service 
(USPS) or may be shipped via the following delivery services: United 
Parcel Service (UPS), FedEx, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without escort. You must, 
therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received by the designated HUD Office on 
or within fifteen (15) days of the application due date. All applicants 
must obtain and save a Certificate of Mailing showing the date, when 
you submitted your application to the United States Postal Service 
(USPS). The Certificate of Mailing will be your documentary evidence 
that your application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, DHL, 
FedEx and Falcon Carrier. Delivery by these services must be made 
during HUD's Headquarters business hours, between 8:30 AM and 5:30 PM 
Eastern time, Monday to Friday. If these companies do not service your 
area, you should submit your application via the United States Postal 
Service.
    Address for Submitting Applications. Your completed application 
consists of an original signed application and two copies of the 
application. Submit your completed application to the following 
address: Processing and Control Branch, Office of Community Planning 
and Development, Department of Housing and Urban Development, 451 
Seventh Street, SW, Room 7251, Washington, DC 20410. When submitting 
your application, please refer to TCUP and include your name, mailing 
address (including zip code) and telephone number (including area 
code).
    HUD will accept only one application per TCU campus for this 
program. If your institution has multiple campuses, each one many 
submit a separate application. If your institution submits more than 
one application, per campus, HUD will ask you to identify which 
application you want evaluated. Only one application will be evaluated. 
If you do not respond within the stipulated cure period (see Section VI 
below), all of your applications will be disqualified. You should take 
this policy into account and take steps to ensure that multiple 
applications are not submitted.
    For Application Kits. For an application kit and any supplemental 
material, you should call the SuperNOFA Information Center at 1-800-
HUD-8929. If you have a hearing or speech impairment, please call the 
Center's TTY number at 1-800-HUD-2209. When requesting an application 
kit, you should refer to TCUP and provide your name and address 
(including zip code) and telephone number (including area code). You 
may also access the application on the Internet through the HUD web 
site at www.hud.gov./grants.
    For Further Information and Technical Assistance. You may contact 
Armand Carriere of HUD's Office of University Partnerships at 202-708-
3061, extension 3181 or Sherone Ivey of the Office of Native American 
Programs at 202-401-7914, extension 4200. If you have a hearing or 
speech impairment, you may access this number via TTY by calling the 
Federal Information Relay Service toll-free at 1-800-877-8339. You may 
also write to Mr. Carriere via email at hud.gov">Carriere@hud.gov">Armand_W._hud.gov">Carriere@hud.gov and 
Ms. Ivey at hud.gov">Sherone_E._Ivey@hud.gov.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD web site at http://www.hud.gov.

II. Amount Allocated

    Approximately $3 million in FY 2002 funds is being made available 
under this NOFA for TCUP.
    The maximum grant period is 24 months. The performance period will 
commence on the effective date of the grant agreement.
    The maximum amount to be requested and awarded is $400,000. Since 
the Statement of Work and other facets of the technical review are 
assessed in the context of the proposed budget and grant request, and 
in the interest of fairness to all applicants, if you submit an 
application requesting more than $400,000 in HUD funds, the application 
will be ruled ineligible. HUD reserves the right to make awards for 
less than the maximum amount or less than the amount requested in your 
application.

III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. The purpose of TCUP is to assist TCUs to 
build, expand, renovate, and equip their own facilities, especially 
those facilities that are used by or available to the larger community.
    (B) Eligible Applicants. Only if your institution is a nonprofit 
institution of higher education and meets the statutory definition of a 
TCU in Title III of the 1998 Amendments to the Higher Education Act of 
1965 (Pub. L. 105-244) are you eligible to apply. If you are one of 
several campuses of the same institution, you may apply separately from 
the other campuses as long as your campus has a separate administrative 
structure and budget from the other campuses.
    (C) Eligible Activities. Each activity you propose for funding must 
meet one of the following national objectives:
    (a) Benefit low- and moderate-income persons;
    (b) Aid in the prevention or elimination of slums or blight; or

[[Page 13996]]

    (c) Meet other community development needs having a particular 
urgency and other financial resources are not available to meet such 
needs.
    You may not use any of your grant for public services, as defined 
in 24 CFR part 570, subpart C, Sec. 570.201(e). You may use no more 
than 20 percent of your grant for planning and administrative 
activities, as defined in 24 CFR part 570, subpart C, Sec. 570.206. 
Grant funds can only be used to build, expand, renovate, and equip 
facilities owned by your institution. Long-term leases of property 
(i.e., at least five years in duration) are considered an acceptable 
form of ownership under this program. Equipment can include, but is not 
limited to, computers, furniture, books, etc.
    While community-wide use of your facility is permissible, the 
facility must be predominantly for the use of your institution (i.e., 
it must be used by your institution at least 51% of the time). The 
facility to be assisted must be for some activity or activities that 
your institution normally provides, as opposed to activities undertaken 
by other entities using your facility. Buildings in which your 
institution undertakes activities are eligible for assistance even if 
they do not serve those enrolled in your institution. A few examples 
are provided to show eligible uses of the grant. If your institution 
operates a small business assistance center, renovation of the facility 
in which the center is located would be an eligible grant activity, 
because the center is part of your institution even though it is not 
serving enrolled students. Conversely, if your institution rents space 
to another entity that operates a small business assistance center, 
renovation of the facility in which that center is located would not be 
an eligible grant activity, unless the space is used by your 
institution at least 51% of the time. As another example, you could 
build a new gymnasium solely for your students or propose to offer some 
physical education classes or other activities in the evening to the 
larger community. But if you proposed to build a new gymnasium, with 
the majority of the activities for non-students, or with the activities 
being primarily run by an outside entity, that would be an ineligible 
activity.
    While you may choose to apply for a grant for any kind of college 
or university facility, facilities that will be used by or available to 
the larger community (as long as the use is still predominantly for 
your institution, as noted above) are eligible to receive extra points 
where the larger community has participated in the planning and 
implementation of this project. For example, in order to get these 
points, you could request a grant to rehabilitate a student union 
building that would also serve as a community meeting facility, with 
the community helping to plan the renovations and also helping to 
operate additional activities. As another example, you could expand a 
facility currently serving as a small business assistance center where 
current and potential small business owners helped design the 
expansion. As a third example, you could equip a computer lab where the 
larger community helped you identify the equipment needs and will also 
help in implementing workshops, etc. If you are proposing work on a 
facility that is solely for your institution (e.g., a dormitory or 
administration building), you can only get these points if you involve 
the community in the planning and implementation of the project. See 
Rating Factor 3 for more details. You should call Armand Carriere or 
Sherone Ivey at the above numbers if you have any questions about the 
eligibility of any activities you may propose.
    (D) Other Requirements.
    (1) Leveraging. Although a match is not required to qualify for 
funding, if you claim leveraging from any source, including your own 
institution, you must provide letters or other documentation evidencing 
the extent and firmness of commitments of leveraging from other Federal 
(e.g., Americorps Programs), State, local, and/or private sources 
(including the applicant's own resources). These letters or documents 
must be dated no earlier than the date of this published NOFA. 
Potential sources of leveraging assistance include your own institution 
(for both direct and indirect costs), tribes, the Indian housing 
authorities, financial institutions and private businesses, 
foundations, and faith-based and other institutions.
    (2) Federal Requirements. If awarded a grant, you must comply with 
all Federal requirements, including the following:
    (a) If your TCU is a part or instrumentality of a tribe, you must 
comply with the Indian Civil Rights Act (25 U.S.C. 1301 et seq.), but 
if your TCU is not a part or instrumentality of a tribe, you must 
comply with the Fair Housing Act (42 U.S.C. 3601-19) and implementing 
regulations at 24 CFR part 100 et seq. Title VI of the Civil Rights Act 
of 1964 (42 U.S.C. 2000d-2000d-4) (Nondiscrimination in Federally 
Assisted Programs) and implementing regulations at 24 CFR part 1, and 
Section 109 of the Housing and Community Development Act of 1974, as 
amended, with respect to nondiscrimination on the basis of age, sex, 
religion, or disability and implementing regulations at 24 CFR part 6;
    (b) The Age Discrimination Act of 1975 (42 U.S.C. 6101-6107) and 
implementing regulations at 24 CFR part 146, prohibiting discrimination 
on the basis of age;
    (c) Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794) 
and implementing regulations at 24 CFR part 8, prohibiting 
discrimination against handicapped individuals;
    (d) Section 3 of the Housing and Urban Development Act of 1968 (12 
U.S.C. 1701u) and implementing regulations at 24 CFR part 135, 
requiring that economic opportunities generated by certain HUD 
financial assistance shall, to the greatest extent feasible, be given 
to low- and very low-income persons and to businesses that provide 
economic opportunities for these persons;
    (e) The disclosure requirements and prohibitions of 31 U.S.C. 1352 
and implementing regulations at 24 CFR part 87;
    (f) The requirements for funding competitions established by the 
Department of Housing and Urban Development Reform Act of 1989 (42 
U.S.C. 3531 et seq.);
    (g) Nondiscrimination provisions of Section 109 and Labor standards 
of section 110 of the Housing and Community Development Act of 1974 
(HCDA 1974)(42 U.S.C. 5301 et seq.), referenced at 24 CFR 570.602 and 
570.603, respectively. However, in accordance with HCDA 1974 section 
107(e)(2), the Secretary waives the provisions of HCDA 1974 section 109 
and 110 with respect to this program for grants to a TCU that is a part 
of a tribe, i.e., a TCU that is legally a department or other part of 
the tribal government, but not a TCU that is established under tribal 
law as an entity separate from the tribal government. If your TCU is 
not a part of a tribe, the nondiscrimination provisions and labor 
standards of HCDA section 109 and 110 apply to activities under the 
grant to your TCU.
    (4) OMB Circulars. Your grant will be governed by the provisions of 
24 CFR part 84 (Grants and Agreements with Institutions of Higher 
Education, Hospitals and other Nonprofit Organizations), A-21 (Cost 
Principles for Education Institutions), and A-133 (Audits of States, 
Local Governments, and Non-Profit Organizations). The application kit 
contains a detailed explanation of what these costs are. You can access 
the OMB circulars at the

[[Page 13997]]

White House website at http://www.whitehouse.gov/OMB/circulars.
    (E) Conducting Business In Accordance with Core Values and Ethical 
Standards. HUD requires that all grantees adhere to core values and 
ethical business practices, as described in section II.(B)(2)) of the 
General Section of this SuperNOFA.
    (F) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women-Owned Businesses. HUD requires 
grantees to take all necessary affirmative steps in contracting with 
businesses, small disadvantaged businesses and women-owned businesses 
in conducting your work activities. Please refer to section II (F) of 
the General Section of this SuperNOFA for specific requirements.

IV. Application Selection Process

    HUD will conduct two types of review: a threshold review to 
determine applicant eligibility; and a technical review to rate the 
application based on the rating factors in this section.
    (A) Threshold Factors for Funding Consideration. Under this 
threshold review, your application can only be rated if it is in 
compliance with the requirements of this NOFA and the following 
additional standards are met:
    (1) You must be an eligible TCU;
    (2) Your application requests a Federal grant of $400,000 or less 
over the two-year grant period;
    (3) There is only one application from your institution or a campus 
of your institution;
    (4) At least one of the activities in your application is eligible.
    In addition you must meet the following Civil Rights threshold 
requirements if your TCU is not a part or instrumentality of a tribe.
    If you, the applicant, (1) have been charged with a systemic 
violation of the Fair Housing Act by the Secretary alleging ongoing 
discrimination; Act by the Secretary alleging ongoing discrimination; 
(2) are a defendant in a Fair Housing Act lawsuit by the Department of 
Justice alleging an ongoing pattern or practice of discrimination; or 
(3) Have received a letter of noncompliance findings under Title VI, 
Section 504 or Section 109, HUD will not rate or rank your application 
under this NOFA if the charge, lawsuit, or letter of findings has not 
been resolved to the satisfaction of the Department before the 
application deadline stated in this NOFA. HUD's decision regarding 
whether a charge, lawsuit, or letter of findings has been 
satisfactorily resolved will be based upon whether appropriate actions 
have been taken to address allegations of ongoing discrimination in the 
policies or practices involved in the charge, lawsuit, or letter of 
findings. If your TCU is a part or instrumentality of a tribe, there 
must be no outstanding violataions of Title II of the Civil Rights Act, 
which requires due process for all activities undertaken by Native 
American tribes.
    (B) Factors 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. 
HUD has five standard factors and several subfactors that it uses for 
evaluating almost all of its programs. Additionally, the SuperNOFA 
provides for the award of up to two bonus points for applicants that 
propose to serve federally designated RC/EZ/ECs, as defined in 
paragraph III(C)(1) of the General Section of this SuperNOFA.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience (20 points)

    This factor addresses the extent to which you have 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 your application demonstrates the 
knowledge and experience of the overall project director and staff, 
including the day-to-day program manager, consultants, and contractors 
in planning and managing the kinds of programs for which funding is 
being requested. More points will be awarded for this factor where the 
experience belongs to members of the TCU staff than where it belongs to 
consultants, contractors, and other staff outside your institution. In 
addition, more points will be awarded where the experience belongs to 
people who will actually work on your proposed project. Experience will 
be judged in terms of recent, relevant, and successful experience of 
your staff to undertake activities in:
    (a) Developing and equipping facilities for your institution; and
    (b) Working with your community on the planning and implementation 
of projects.

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 
importance of meeting this need. In responding to this factor, you will 
be evaluated on the extent to which you document the level of need for 
the proposed activities and the importance of meeting the need. You 
should use statistics and analyses contained in one or more data 
sources that are sound and reliable. To the extent possible, the data 
you use should be specific to the area where the proposed activities 
will be carried out.

Rating Factor 3: Soundness of Approach (45 points)

    This factor addresses the quality and cost-effectiveness of your 
proposed work plan.
    (a) Specific services and/or activities (10 Points). Specifically, 
HUD will consider the extent to which your proposed activities will:
    (i) Meet an identified important need; and
    (ii) Relate to and not duplicate other activities in the target 
area.
    (b) Community Involvement (10 points). HUD will consider the extent 
to which you have involved the community in all stages of the proposed 
project.
    (c) Work Plan Impact (10 Points). HUD will consider the feasibility 
of success of your program, the measurable objectives, and how timely 
your products will be delivered. Specifically, HUD will examine the 
extent to which:
    (i) The project you propose can be completed within the two year 
grant period; and
    (ii) The objectives are measurable (e.g., the number of classrooms 
added, the number of additional clients that can be helped in an 
expanded small business assistance center), result in measurable 
improvement to the community (e.g., fifty more people receiving 
computer literacy training, twenty more small businesses started, 
etc.), and how well you demonstrate that these objectives will be 
achieved by your proposed management plan and team and will result 
directly from your activities.
    (d) Involvement of the Faculty and Students (10 points). The extent 
to which your application proposes to use students and faculty, as part 
of their coursework, for project activities. HUD's goal is to encourage 
students and faculty to be able to use this grant to enhance their 
education experience and assist their community at the same time.
    (e) HUD Priorities (5 points). The extent to which your application 
will further and support the following priorities of HUD. The quality 
of the response you provide to one or more of HUD's priorities will 
determine the score you receive. You will receive one point for each 
policy priority addressed, up to a total of 5 points. For a fuller 
explanation of each policy priority,

[[Page 13998]]

please refer to Section VI. of the General Section of this SuperNOFA.
    (i) Encouraging Accessible Design Features.
    (ii) Improving Computer Access, Literacy, and Employment 
Opportunities
    (iii) Providing Full and Equal Access of Faith-Based and Other 
Community Based Organizations in HUD Program Implementation.
    (iv) Ensuring that programs are accountable for the promises made 
and the actions taken.
    (v) Improving the Quality of Public Housing and Providing More 
Choices for its Residents.

Rating Factor 4: Leveraging Resources (10 points)

    This factor addresses your ability to secure community resources, 
which can be combined with HUD program funds to achieve program 
objectives.
    In evaluating this factor, HUD will consider the extent to which 
you have established partnerships with other entities to secure 
additional resources to increase the effectiveness of the proposed 
activities. Resources may include funding or in-kind contributions, 
such as services or equipment. Resources may be provided by 
governmental entities, e.g., the Tribe, the Federal government (Bureau 
of Indian Affairs, Department of Health and Human Services, Department 
of Education), etc., public or private nonprofit organizations, for-
profit private organizations, or other entities. You may also establish 
partnerships with other program funding recipients to coordinate the 
use of resources in the target area.
    You may count overhead and other institutional costs (e.g., 
salaries) that are waived as leveraging. However, higher points will be 
awarded if you secure leveraging resources from sources outside your 
institution.
    You must provide letters or other documentation showing the extent 
and firmness of commitments of leveraged funds (including your own 
resources) in order for these resources to count in determining points 
under this factor. Commitment letters must state a dollar amount in 
order to earn points for this factor. If your application does not 
include evidence of leveraging, it will receive zero (0) points for 
this Factor.

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(10 points)

    This factor addresses the extent to which you have coordinated your 
activities with other known organizations and are working towards 
addressing a need in a holistic and comprehensive manner through 
linkages with other activities in the community.
    In evaluating this factor, HUD will consider the extent to which 
you demonstrate that you have:
    (1) Coordinated your 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 you will take to share information on solutions 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 develop linkages to 
coordinate comprehensive solutions through meetings, information 
networks, planning processes or other mechanisms with:
    (a) Other HUD/ONAP-funded projects/activities; and
    (b) Other Federal, State or locally-funded activities, including 
those proposed or ongoing in the community.
    (3) Sustainability/Institutionalization of Project Activities. The 
extent to which your project will result in the kinds of proposed 
activities being sustained by becoming part of the mission of your 
institution. In reviewing this subfactor, HUD will consider the extent 
to which program activities relate to your institution's mission, 
benefit students because they are part of a service learning program at 
your institution, and are reflected in the curriculum. HUD will look at 
your monetary and non-monetary commitments to faculty and staff 
continuing work in the target area or other similar areas and to your 
longer term commitment (five years after the start of the grant) of 
hard dollars to similar work.
    (C) Selections. In order to be funded, you must receive a minimum 
score of 70 points. HUD will fund applications in rank order, until it 
has awarded all available funds. 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 1, Capacity, shall be 
selected.
    After all application selections have been made, HUD may require 
that you participate in negotiations to determine the specific terms of 
the Statement of Work and the grant budget. In cases where HUD cannot 
successfully complete negotiations, or you fail to provide HUD with 
requested information, an award 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 that applicant.
    HUD will not fund specific proposed activities that do not meet one 
of the national objectives referenced in Section IIIC above. In 
addition, HUD reserves the right to fund less than the full amount 
requested in your application if any of your proposed activities is not 
eligible for funding under the statute creating this program.
    (D) Applicant Debriefing. Beginning not less than 30 days after the 
awards for assistance are announced in the Federal Register, and for 
not less than 120 days after awards for assistance are announced, HUD 
will provide a debriefing to any applicant requesting a debriefing on 
their application. All requests for debriefings must be made in writing 
and submitted to Armand Carriere or Sherone Ivey. Materials provided to 
you during your debriefing will incude the final scores you received 
for each rating factor, final evaluator comments for each rating 
factor, and the final assessment indicating the basis upon which 
assistance was provided or denied.

V. Application Submission Requirements

    You should include an original and two copies of the items listed 
below. In order to be able to recycle paper, please do not submit 
applications in bound form. Binder clips or loose leaf binders are 
acceptable. Also, please do not use colored paper. Please note the page 
limits for some of the items listed below and do not exceed them.
    Your application must contain the items listed in this section. 
These items include the standard forms, certifications, and assurances 
found in the Appendix B to the General Section of this SuperNOFA. The 
remaining application items that are forms (i.e., excluding such items 
as narratives), referred to as the ``non-standard forms,'' can be found 
in Appendix A to this program section of the SuperNOFA. The items are 
as follows:

(A) SF-424, Application for Federal Assistance

(B) HUD-424M, Federal Assistance Funding Matrix

(C) Transmittal Letter

(Signed by the Chief Executive Officer of your institution or his or 
her designee. If someone else in your institution signs this letter, 
your application must include an official

[[Page 13999]]

designation of signing authority to that person.)

(D) Abstract/Executive Summary

(One page limit) describing the goals and activities of the project.)

(E) Narrative Statement Addressing the Factors for Award

(50 page limit, including tables, and maps, but not including any 
letters of commitment and budget forms.)

    (1) The Statement of Work incorporates all activities to be funded 
in your application and details how your proposed work will be 
accomplished. (Please note that although submitting pages in excess of 
the page limit will not disqualify your application, HUD will not 
consider the information on any excess pages, which may result in a 
lower score or failure to meet a threshold.) For each proposed 
activity, your Statement of Work must:
    (a) Present a step-by-step breakdown of the major activities for 
which you seek funding (e.g., rehabilitation of a business development 
center, construction of new classrooms), identify the primary persons 
(as described in addressing Rating Factor 1) involved in carrying out 
the activity and accountable for the deliverables, and delineate the 
major tasks involved in carrying it out. You should also describe how 
each activity meets one of the national objectives referenced in 
Section IIIC above.
    (b) Indicate the sequence in which tasks are to be performed, 
noting areas of work that must be performed simultaneously. The 
sequence, duration, and the products to be delivered should be 
presented in six month intervals, up to 24 months.
    (c) Identify the specific numbers of quantifiable intermediate and 
end products and objectives (e.g., the number of classrooms added, the 
number of additional clients that can be helped in an expanded small 
business assistance center, etc.) you aim to deliver by the end of the 
grant period as a result of the work performed.
    (d) Provide a description of how any proposed new construction or 
renovation of existing facilities will comply with the accessibility 
requirements of Section 504 of the Rehabilitation Act of 1973 (24 CFR 
Part 8.21).
    (2) The budget presentation should be consistent with the Statement 
of Work and include:
    (a) A budget by activity, using Form HUD-30006 included in the 
application kit and Appendix B of this NOFA. This form separates the 
Federal and non-Federal costs of each program activity. Particular 
attention should be paid to accurately estimating costs; determining 
the necessity for and reasonableness of costs; and correctly computing 
all budget items and totals.
    (b) A narrative statement of how you arrived at your costs, for any 
line item over $5,000. Indirect costs must be substantiated and the 
rate must have been approved by the cognizant Federal agency. If you 
are proposing to undertake rehabilitation of residential, commercial, 
or industrial structures or acquisition, construction, or installation 
of public facilities and improvements, you must submit reasonable costs 
supplied by a qualified entity other than your institution (e.g., an 
architect, engineer, construction firm, etc.).
    (3) Your narrative statement addressing the factors for award 
should address each of the four factors for award. (Please note that 
although submitting pages in excess of the page limit will not 
disqualify your application, HUD will not consider the information on 
any excess pages, which may result in a lower score or failure to meet 
a threshold.)
    In addressing Factor 4, for each leveraging source, cash or in-
kind, you must submit a letter, dated no earlier than the date of this 
NOFA, from the provider on the provider's letterhead that addresses the 
following:
    (i) The dollar amount or dollar value of the in-kind goods and/or 
services committed. For each leveraging source, the dollar amount in 
the commitment letter must be consistent with the dollar amount you 
indicated in the Budget;
    (ii) How the leveraging amount is to be used;
    (iii) The date the leveraging amount will be made available;
    (iv) Any terms and conditions affecting the commitment, other than 
receipt of a HUD TCUP Grant; and
    (v) The signature of the appropriate executive officer authorized 
to commit the funds and/or goods and/or services. (See the application 
kit and Appendix B for a sample commitment letter.)
    (G) Certifications.
    (1) SF-424B, Assurances for Non-Construction Programs or SF-424D, 
Assurances-Construction Programs, depending on the activities you 
propose to undertake.
    (2) HUD-50071, Certification of Payments to Influence Certain 
Federal Transactions;
    (3) SF-LLL, Disclosure of Lobbying Activities (if applicable);
    (4) HUD-2880, Applicant/Recipient Disclosure/Update Form;
    (5) HUD-50070, Certification of Drug-Free Workplace;
    (6) HUD-2992, Certification Regarding Debarment and Suspension.
    (H) Acknowledgment of Receipt of Applications (HUD-2993). If you 
wish to confirm that HUD received your application, please complete 
this form. This form is optional.
    (I) Client Comment and Suggestions (HUD-2994). If you wish to offer 
comments on the TCUP NOFA, please complete this form. This form is 
optional.
    You may not submit appendices or general support letters or 
resumes. If you submit letters of leveraging commitment, they must be 
included in your response to Factor 4. If you submit other 
documentation, it must be included with the pertinent factor responses 
(taking note of the page limit).

VI. Environmental Requirements

    Environmental Review. Certain eligible activities under this NOFA 
are categorically excluded from review under the National Environmental 
Policy Act of 1969 (42 U.S.C. 4321) and are not subject to review under 
related laws, in accordance with 24 CFR 50.19 (b)(1), (b)(3), (b)(12), 
or (b)(14). Selection for award does not constitute approval of any 
proposed sites. If the TCUP application proposes the use of grant funds 
to assist any non-exempt activities, following selection for award, HUD 
will perform an environmental review of activities proposed for 
assistance under the program, in accordance with 24 CFR part 50. The 
results of the environmental review may require that your proposed 
activities be modified or that your proposed sites be rejected. You are 
particularly cautioned not to undertake or commit funds for acquisition 
or development of proposed properties prior to HUD approval of specific 
properties or areas. Your application constitutes an assurance that 
your institution will assist HUD to comply with part 50; will supply 
HUD with all available and relevant information to perform an 
environmental review for each proposed property; will carry out 
mitigating measures required by HUD or select alternate property; and 
will not acquire, rehabilitate, convert, demolish, lease, repair, or 
construct property and not commit or expend HUD or local funds for 
these program activities with respect to any eligible property until 
HUD approval of the property is received. In supplying HUD with 
environmental information, you should use the same guidance as provided 
in HUD Notice CPD-99-01 entitled ``Field Environmental Review 
Processing for HUD Colonias Initiative (HCI) Grants'' issued January 
27, 1999.

[[Page 14000]]

VII. Authority

    This program was approved by the Congress under the CDBG 
appropriation for Fiscal Year 2001, as part of the FY 2002 HUD 
Appropriations Act (Public Law 107-73). TCUP is being implemented 
through this NOFA and the policies governing its operation are 
contained herein.

Appendix A

    The non-standard forms, which follow, are required for your TCUP 
application.
BILLING CODE 4210-32-P

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FUNDING AVAILABILITY FOR THE FAIR HOUSING INITIATIVES PROGRAM 
(FHIP)

PROGRAM OVERVIEW

    Purpose of the Program. To increase compliance with the Fair 
Housing Act (the Act) and with substantially equivalent State and local 
fair housing laws.
    Available Funds. For FY 2002, approximately $20,250,000 is 
allocated to three (3) Initiatives as follows:
    A. Private Enforcement Initiative (PEI) $11,825,000 million.
    B. Education and Outreach Initiative (EOI) $6,325,000 million.
    C. Fair Housing Organizations Initiative (FHOI) $2,100,000 million.
    Eligible Applicants. Eligibility requirements are described in 
detail under each of the funded Initiatives and Components, set forth 
below, and eligible applicants may include: Qualified Fair Housing 
Organizations (QFHOs); Fair Housing Enforcement Organizations (FHOs); 
public or private for-profit or not-for-profit organizations or 
institutions, or other public or private entities that are working to 
prevent or eliminate discriminatory housing practices; faith-based 
community-based organizations, State and local governments or their 
agencies; and Fair Housing Assistance Program (FHAP) agencies (as 
defined in Section IV of this NOFA).
    Application Deadline. May 22, 2002.
    Match: No matching funds are required for the Education and 
Outreach or Private Enforcement Initiatives. However, sponsored 
organizations under FHOI must meet the requirements described in 
Section IV (D) below.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under the Fair 
Housing Initiatives Program (FHIP), please review carefully the General 
Section of this SuperNOFA (hereafter, the General Section), the FHIP 
Authorizing Statute (Sec. 561 of the Housing and Community Development 
Act of 1987, as amended) and the FHIP Regulations (24 CFR 125.103-501).

I. Application Due Date, Further Information, and Technical 
Assistance

    A. Application Due Date. You must submit completed applications for 
all Initiatives and Components by 6 p.m., Eastern Time, on or before 
May 22, 2002 at HUD Headquarters building, at the address shown below.
    See the General Section of this SuperNOFA for specific procedures 
governing the method of application submission (e.g., mailed 
applications, express mail, or overnight delivery). In addition, review 
all information on delivery services permitted into HUD Headquarters 
building without escort.
    B. Address for Submitting Applications. Your application consists 
of an original signed application form (SF 424) and all items listed in 
the Checklist (See Section IV and Appendix C for all submission 
requirements). Submit your completed application (one original and five 
copies) to: FHIP SuperNOFA 2002 [Specify the Initiative/Component to 
which you apply], FHIP/FHAP Support Division, Office of Fair Housing 
and Equal Opportunity, U.S. Department of Housing and Urban 
Development, 451 Seventh Street, SW, Room 5224, Washington, DC 20410.
    When you submit your application, please provide the following 
information at the front top left corner of the mailing envelope: your 
organization's name, name of contact person, mailing address (including 
zip code), telephone number (including area code), and fax number. 
Applicants for more than one Initiative or Component must submit six 
copies for each Initiative or Component for which you apply. See 
General Section of the NOFA for further information on Consolidated 
Application Submissions.
    C. For Further Information and Technical Assistance. You may 
contact Myron P. Newry or Denise L. Brooks of the FHIP Division, at 
202-708-0800 (this is not a toll-free number). Persons with hearing or 
speech impairments may contact the Division by calling 1-800-290-1617 
(this is a toll-free number). Contained in Appendix A of this NOFA is a 
Question and Answer section, please review this for answers to some of 
your questions.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for prospective applicants to learn more about the program 
and preparing applications. For more information about the date and 
time of this broadcast, you should consult the HUD web site at http://www.hud.gov/grants.

II. Amounts Allocated

    In Fiscal Year 2002, $20,250,000 was appropriated for the Fair 
Housing Initiatives Program. This amount is being made available on a 
competitive basis to eligible organizations responding to this NOFA. 
The amount available for each Initiative or Component and the maximum 
amount of funds that can be awarded for each grant are specified as 
follows:
    (A) Private Enforcement Initiative (PEI). Approximately $11,825,000 
million is allocated; maximum award is $275,000 per grant; project 
duration is 12 to 18 months.
    (B) Education and Outreach Initiative (EOI). Approximately 
$6,325,000 million is allocated to the Regional/Local/Community-Based 
Program and a National Program. The maximum award is $100,000 for the 
Regional/Local/Community-Based Program and the project duration is 12 
months. The maximum award for the National Program is $1,000,000 and 
the project duration is 12 months for the Media Campaign Component and 
24 months for the Fair Housing Awareness Component. EOI has four 
Components: Regional/Local/Community-Based Programs:
    (1) EOI--General Component. Approximately $3,500,000 million is 
allocated.
    (2) EOI--Disability Component. Approximately $825,000 is allocated.
    National Program:
    (3) Media Campaign Component. Approximately $1,000,000 is 
allocated.
    (4) Fair Housing Awareness Component. Approximately $1,000,000 is 
allocated.
    (C) Fair Housing Organizations Initiative (FHOI). Approximately 
$2,100,000 is allocated; project duration is three years. Maximum award 
is $1,050,000 allocated over a three year period at up to $350,000 per 
year.

III. Program Description; Eligible Applicants; Eligible Activities

    A. Program Description. The Fair Housing Initiatives Program 
(FHIP), 24 CFR part 125, assists fair housing activities that increase 
compliance with the Fair Housing Act (the Act) and with the 
substantially equivalent fair housing laws administered by state and 
local government agencies [Fair Housing Assistance Program Agencies 
(FHAP)]. Applications submitted for funding under EOI are required to 
describe a complaint referral process that should result in referrals 
to HUD of fair housing complaints and other information regarding 
discriminatory housing practices. Applications selected for funding 
under PEI and FHOI must comply with the Mandatory Referral requirement 
described in Section IV(B) of this NOFA.
    B. Changes to this year's NOFA. To improve the FHIP NOFA, a number 
of changes have been made this year. There are 2 new EOI National 
Program Components: the Media Campaign and the Fair Housing Awareness 
Components. The project duration for EOI Regional/Local/Community-Based 
Program and the National Program Media Campaign awards is 12 months and 
for the National Program's Fair

[[Page 14006]]

Housing Awareness Component 24 months. For FHOI, the project duration 
is 3 years. Changes also have been made in how the applications are 
rated.
    For EOI: See Section V (D) ``Factors for Award Used to Evaluate and 
Rate Regional/Local Community-Based Applications'' of this NOFA on 
changes to EOI--General.
    For FHOI: HUD has determined that rural areas and areas with 
immigrant populations (especially racial and ethnic minorities who are 
not English speaking or have limited English proficiency) are 
underserved. These underserved areas include: the Colonias, rural 
areas, or areas that contain large concentrations of persons protected 
under the Act where either no public or private fair housing 
enforcement organization exists or the jurisdiction is not sufficiently 
served by one or more public or private fair housing enforcement 
organizations.
    For PEI: We have increased the award cap from $250,000 to $275,000. 
In addition, we have eliminated the requirement that applicants with 
current PEI grants be excluded from participating in this year's NOFA.
    Finally, for PEI and FHOI, a total of 5 points will be deducted if 
the applicant is an organization that has received FHIP funding in the 
past to conduct enforcement-related activities has not complied with 
the program requirements regarding mandatory referrals and 
reimbursement of the Federal government for compensation resulting from 
FHIP-funded enforcement activity. If you have received PEI funds 
previously, your application should clearly state how you have complied 
with this requirement.
    Other Changes. This year HUD will take into account an applicant's 
past performance in evaluating applications for funding. HUD will 
assess performance ratings for applicants who have received FHIP 
funding in 1998, 1999, or 2000. If the applicant has received a 
``poor'' performance rating for its most recent performance rating from 
its Government Technical Representative, its application is ineligible 
for FY 2002 competition. An applicant that does not agree with its 
determination of ineligibility for the FY 2002 competition because of 
``poor'' performance must address to HUD's satisfaction the factors 
resulting in the ``poor'' performance rating before the FHIP 
application deadline. If the ``poor'' performance rating is not 
resolved to the Department's satisfaction before the application 
deadline, the application remains ineligible. HUD is interested in 
increasing the performance level of all grantees; therefore, applicants 
who are deemed ineligible because of a ``poor'' performance rating have 
the right and are encouraged to seek technical assistance from HUD to 
correct their performance in order to be eligible for future NOFA 
competition. All other applicants who have not received FHIP funding, 
or have received FHIP funding prior to 1998 will be evaluated on past 
performance as outlined in Rating Factor 1.
    Finally, applicants must submit with their application a written 
code of conduct and a description of the methods you will use to ensure 
that all officers, employees and agents of your organization become 
aware of your code of conduct (See General Section). [Additional 
clarification is provided in Appendix A, Most Frequently Asked 
Questions.]
    Bonus Points: See General Section III (C) ``Factors For Award Used 
to Evaluate and Rate Applications'' for information on how Bonus Points 
will be awarded under this SuperNOFA.
    C. Ineligible Activities. You are reminded to read carefully the 
eligibility requirements for each Initiative and Component. 
Enforcement-related activities are not eligible for funding under EOI 
and there is a limit on the amount of education-related activities that 
can be funded in an enforcement grant (PEI or FHOI). No awardee may use 
FHIP funds to settle a claim, satisfy a judgment, or fulfill a court 
order in any defensive litigation (24 CFR 125.104(f)).
    D. Priorities. Immigrant populations (especially racial and ethnic 
minorities who are not English speaking or have limited proficiency in 
English) often face formidable barriers because of discriminatory 
housing practices. It is especially important that fair housing 
services be directed to these underserved and immigrant populations and 
to the specific types of discrimination they may encounter. All 
applicants are encouraged to address the fair housing needs of these 
populations.
    For FHOI, HUD will fund applications that purpose to provide 
services in underserved areas (See Section III (B)(1)(b) of this NOFA.
    HUD expects applicants to address all forms of housing 
discrimination covered under the Fair Housing Act. In addition, since 
the September 11, 2001 attacks in the United States, incidents of bias 
based on religion and national origin have been on the rise. Applicants 
should specifically address discrimination under the Fair Housing Act 
based on national origin and religion and describe education and 
outreach efforts to these vulnerable communities to provide information 
about their fair housing rights.
    Finally, HUD has determined there is a need to ensure equal 
opportunity and access to housing in communities across the nation. 
Applicants submitting applications to the Education and Outreach 
National Program's two Components (Media Campaign Component and Fair 
Housing Awareness Component) must address this need. For the Media 
Campaign Component, applicants are required to provide a centralized 
and coordinated effort for the development and implementation of a fair 
housing media campaign designed to educate the public about their fair 
housing rights. The Fair Housing Awareness Component will provide 
education and outreach to promote public awareness on predatory 
lending.
    (A) Private Enforcement Initiative (PEI). This Initiative assists 
private, tax-exempt fair housing enforcement organizations in the 
investigation and enforcement of alleged violations of the Act and 
substantially equivalent State and local fair housing laws. As a 
condition of funding, you will be required to refer to HUD all cases 
arising from FHIP-funded enforcement activities (see Mandatory 
Referrals, Section IV below).
    (1) Eligible Applicants. Eligible applicants are fair housing 
enforcement organizations (FHOs) with at least one year of experience 
in complaint intake, complaint investigation, testing for fair housing 
violations, and meritorious claims in the two years prior to the filing 
of this application (24 CFR 125.401(b)(2)) and qualified fair housing 
enforcement organizations (QFHOs) with at least two years of 
enforcement-related experience, as noted above, within the three years 
prior to filing this application, (24 CFR 125.103). You must certify, 
in the Statement of Eligibility that you submit with this application, 
that your organization is an FHO or a QFHO and document in the 
Statement of Eligibility that your organization has the required one or 
two years of enforcement-related experience. Remember, if you fail to 
submit the completed Statement of Eligibility (Appendix C), this will 
be a technical deficiency and you will have 14 days to provide the 
requested materials (Section V of the General Section of the 
SuperNOFA). All applicants claiming QFHO and FHO status are required 
also to submit with their application a copy of its Letter of 
Determination from the Internal Revenue Service (IRS) in support of its 
501(c)(3) tax-exempt status. However, failure to provide this document 
with your application is a

[[Page 14007]]

technical deficiency and you will have 14 days to provide the requested 
information (Section V of the General Section of the SuperNOFA).
    (2) Eligibility of Successor Organization. HUD recognizes that 
QFHOs and FHOs may merge with each other or other organizations. The 
merger of a QFHO or an FHO with a new organization, that has a separate 
Employer Identification Number (EIN), does not confer QFHO or FHO 
status upon the successor. To determine whether the successor 
organization meets the eligibility requirements for this Initiative, 
HUD will look at the enforcement-related experience of the successor 
organization (based upon the successor organization's EIN). The 
successor organization is not eligible to apply under this Initiative 
unless it establishes in the Statement of Eligibility that it is a 
private, tax-exempt organization with the requisite two years for a 
QFHO or one year experience for an FHO.
    (3) Eligible Activities include:
    (a) Complaint intake of allegations of housing discrimination, 
testing, evaluating testing results, or providing other investigative 
and complaint support for administrative and judicial enforcement of 
fair housing laws;
    (b) Investigations of individual complaints and systemic housing 
discrimination for further enforcement processing by HUD, through 
testing and other investigative methods;
    (c) Mediated agreements or other voluntary resolution of 
allegations of fair housing discrimination after a complaint has been 
filed; and
    (d) Costs and expenses of litigating fair housing cases, including 
expert witness fees.
    (B) Education and Outreach Initiative (EOI). This Initiative 
assists projects that inform the public about the rights and 
obligations under the Act and substantially equivalent State and local 
fair housing laws. Under this Initiative, you must develop a complaint 
referral process so that activities funded under this Initiative will 
result in referrals to HUD of fair housing complaints and other 
information regarding possible discriminatory housing practices. 
Applications are solicited for the EOI-Regional/Local/Community-Based 
Program--in which activities are conducted on a regional/local/
community-based level and in a National Program. You may submit your 
application for the Regional/Local/Community-Based General Component or 
Disability Component or the National Program's Media Campaign Component 
or Fair Housing Awareness Component depending upon its focus.
    (1) Eligible Applicants. Eligible applicants are QFHOs; FHOs (under 
this Initiative an FHO is not bound by the requirement to have engaged 
in enforcement-related activity for at least one year, (24 CFR 
125.103); public or private, for-profit or not-for-profit organizations 
or institutions and other public or private entities that are 
formulating or carrying out programs to prevent or eliminate 
discriminatory housing practices (this category includes entities that 
will be established as a result of receiving an award under this FHIP 
NOFA); faith-based or community-based organizations; State or local 
governments or their agencies; and agencies that participate in the 
FHAP (see the list of FHAP agencies at Appendix D). If you are a 
disability advocacy group, faith-based or community-based organization 
or traditional civil rights organization, you are encouraged to apply 
under this Initiative.
    (2) Eligible Activities. The following are eligible activities for 
EOI: conducting educational symposia; distributing existing fair 
housing materials throughout your project area; providing outreach and 
information on fair housing through printed and electronic media; and 
providing outreach to persons with disabilities and/or their support 
organizations and service housing providers, and the general public 
regarding the rights of persons with disabilities under the Act. When 
conducting your outreach activities, we encourage the use of existing, 
locally or nationally available fair housing materials; except that you 
may modify those existing materials in languages other than English.
    The Components for the Regional/Local/Community-Based Program are 
described below:
    Disability Component. Applications that emphasize the fair housing 
needs of persons with disabilities, so that persons with disabilities, 
housing providers and the general public better understand the rights 
and obligations under the Act and more fully appreciate the forms of 
housing discrimination that persons with disabilities may encounter, 
should submit their applications to the EOI--Disability Component. 
Although the Component has a disability focus, the funded activities 
must provide education and outreach to all persons protected under the 
Act.
    General Component. Applications for all other fair housing 
education and outreach activities should be submitted to the EOI-
General Component. One point will be awarded for applications from 
faith-based or community-based organizations or organizations that 
propose to either partner or sub-contract with faith-based or 
community-based organizations in conducting their work programs. 
Applicants who are submitting applications in conjunction with a faith-
based or community-based organization must include in their application 
a letter of firm commitment from that faith-based or community-based 
organization. This letter of firm commitment must: (1) identify the 
faith-based or community-based organization; (2) identify the 
activities/tasks to be undertaken by the faith-based or community-based 
organization under this project; and (3) be signed by the individual or 
organization with legal authority able to make commitments for the 
organization.
    Finally, up to three points will be awarded for applications 
specifically addressing housing discrimination based on national origin 
and religion since the September 11, 2001 attacks, as described in 
Section III(D), Priorities, of this NOFA.
    The Components for the National Program are described below:
    Media Campaign Component. Activities for funding must provide a 
centralized, coordinated effort for the development and implementation 
of a fair housing media campaign designated for FY 2003 Fair Housing 
Month activities. Additional information on the EOI-National Program is 
contained within this NOFA under the Factors for Award--National 
Program Media Campaign Component.
    Fair Housing Awareness Component. Grantees must conduct a national 
campaign to educate the public on the dangers of abusive lending 
practices that target specific neighborhoods or vulnerable segments of 
the population. Additional information on the EOI National Program is 
contained within this NOFA under the Factors for Award--National 
Program Fair Housing Awareness Component.
    (C) Fair Housing Organizations Initiative (FHOI). This Initiative 
provides assistance to projects that establish or build the capacity of 
organizations to become viable fair housing enforcement organizations 
that conduct fair housing enforcement activities in underserved areas 
(as defined in Section IV) with large concentrations of persons 
protected by the Act. This is accomplished with the assistance of a 
sponsoring organization. It is the sponsoring organization that submits 
the application under this Initiative. The sponsored organization whose 
enforcement capacity is established or enhanced by funding under this 
Initiative, will be allowed to participate in this Initiative for three

[[Page 14008]]

years contingent upon annual performance reviews. Funds are allocated 
under this NOFA for 3 years and may be distributed to the sponsored 
organization by the sponsoring organization. The sponsoring 
organization may expend FHIP funds for administrative costs as 
described below. HUD has targeted for funding under this Initiative 
projects that will provide fair housing enforcement services to the 
Colonias, rural areas, or to areas with large concentrations of 
individuals who fall within one or more categories protected under the 
Act and who are immigrants (especially racial and ethnic minorities who 
are not English speaking or have limited English proficiency).
    (1) Eligible Applicants. Only the sponsoring organization is 
eligible to apply under this Initiative. The sponsoring organization 
must be a qualified fair housing enforcement organization (QFHO) with 
at least 2 years of experience in complaint intake, complaint 
investigation, testing for fair housing violations, and meritorious 
claims in the 3 years prior to the filing of this application, as 
defined at 24 CFR 125.103. You must certify in the Statement of 
Eligibility that you submit with this application that your 
organization is a QFHO. Remember, if you fail to submit the completed 
Statement of Eligibility (Appendix C), this will be a technical 
deficiency and you will have 14 days to provide the requested materials 
(see Section V of the General Section of the SuperNOFA on technical 
corrections that do not affect scoring). You are also required to 
submit a copy of your IRS tax-exempt status with your application. 
However, failure to provide this document with your application is a 
technical deficiency, and you will have 14 days to provide the 
requested information (see Section V of the General Section of the 
SuperNOFA).
    Eligibility of Successor Organization. HUD recognizes that a QFHO 
may merge with one or more organizations. The merger of a QFHO into a 
new organization, that has a separate Employer Identification Number 
(EIN), does not confer QFHO status upon the successor organization. To 
determine whether the successor organization meets the eligibility 
requirements for this Initiative, HUD will consider the enforcement-
related experience of the successor organization (based upon the 
successor organization's EIN). The successor organization is not 
eligible to apply under this Initiative unless it can establish that it 
is a private, tax-exempt organization with the requisite 2 years of 
experience as a QFHO.
    (2) Eligible Activities. The proposed activities must build the 
enforcement capacity of the sponsored organization so that it can 
undertake all of the following activities by the conclusion of year 3 
of the grant cycle:
    (a) Complaint intake of allegations of housing discrimination, 
testing, evaluating testing results or providing other investigative 
and complaint support for administrative and judicial enforcement of 
fair housing laws;
    (b) Investigations of individual complaints and systemic housing 
discrimination for further enforcement processing by HUD, through 
testing and other investigative methods;
    (c) Mediation or other voluntary resolution of allegations of fair 
housing discrimination after a complaint has been filed; and
    (d) Costs and expenses of litigating fair housing cases, including 
expert witness fees.
    (3) Administrative Costs for the Sponsoring Organization. The 
sponsoring organization may use no more than 15 percent of the annually 
awarded funds to cover its costs to administer the grant

IV. Program Requirements

(A) Requirements for All Initiatives.

    In addition to the Threshold Requirements in Section II(B) of the 
General Section of this SuperNOFA, your FHIP-funded program application 
must also meet the following requirements:
    (1) Protected Basis. All FHIP-funded projects must address housing 
discrimination based upon race, color, religion, sex, disability, 
familial status, or national origin.
    (2) Broad-Based and Full-Serviced. Your organization must conduct a 
broad-based and full-service enforcement project that addresses 
discrimination against all persons protected by the Fair Housing Act on 
the basis of race, color, religion, sex, disability, familial status, 
or national origin.
    (3) Performance Measures and Products. Your application must 
demonstrate how your project activities will support HUD goals, 
identify performance measures/outcomes in support of those goals, 
describe your proposed record-keeping and evaluation systems, and 
identify current (baseline) conditions and target levels of the 
performance measures that you plan to achieve. Your application also 
must contain a strategy for generating project products, with related 
timelines and milestones. In addition, you must include in your 
application and work plan program measures to ensure that promises made 
in your application for persons to be assisted, timelines and budgets 
to be followed, and results to be achieved can be accounted for and 
independently assessed to ensure performance goals have been met. 
Applicants who have included means of assessing progress, tracking 
performance goals and achievements against promises made in the 
application will receive higher rating points. If selected for funding, 
your final performance measures will be negotiated between you and HUD 
as part of your executed grant agreement.
    (4) Reports and Meetings on Performance Measures and Products. You 
are required to report quarterly on the status of project products 
against your approved milestones and timelines and meet at least semi-
annually with HUD to ensure that project activities satisfy grant 
requirements. In your final grant report, you must describe the status 
of performance measures in a spreadsheet format or other manner 
specified by the Department.
    (5) Single Award Limitation/Preference Must Be Stated. You may 
submit applications under all Initiatives and Components for which your 
organization is eligible but you will receive only one grant with the 
exception that successful FHOI applicants may receive a grant award 
under one of the other Initiatives. If you submit more than one 
application for funding, you must clearly state your preference in two 
places in each application you submit: (i) the Transmittal Letter and 
(ii) the Cover Page. The Selecting Official may disregard your 
preference if it is in the best interest of the Program to do so. 
Failure to submit your preference at the time of application will be 
treated as a technical deficiency, which may be corrected as noted in 
Section V of the General Section of this SuperNOFA.
    (6) Independence of Awards. HUD will review each application 
separately and without reference to other applications submitted by you 
or others. You may submit one application to each of the Initiative/
Components outlined in this NOFA. However, each application you submit 
must be independent and capable of being implemented without reliance 
on the selection of other applications submitted by you or other 
applicants.
    (7) Project Starting Period. For planning purposes, assume a start 
date no later than thirty days after completion of negotiations. 
Negotiations are estimated to start on or before September 30, 2002.

[[Page 14009]]

    (8) Page Limitation and Formatting Requirements. All pages in your 
application must be numbered consecutively from beginning to end. The 
maximum number is 10 pages per factor. This does not include any 
attachments that may be required under each factor (for example, the 
proposed statement of work and budget required under Factor 3: 
Soundness of Approach). The narrative pages must be double-spaced and 
you are required to use 12 point typesize. You must respond fully to 
each factor to obtain maximum points. Failure to: provide narrative 
responses to all factors or omitting requested information will result 
in less than the maximum points available for the given Rating Factor 
for Award or subfactor. Failure to provide double spaced, 12 point 
typesize narrative responses will result in five points being deducted 
from your overall score (one point per factor).
    (9) Training funds. Your proposed budget must set-aside funds to 
participate in HUD-sponsored or approved training ($3,000 for EOI and 
PEI annually; and $6,000 annually for FHOI). Requests to attend HUD-
approved training must be submitted to the GTR for approval in advance 
of the requested training. Do not include amounts over the $3,000 or 
$6,000 (as appropriate) for the training set-aside in this category. If 
applicants do not include these funds in the budget and you are 
selected for an award, HUD may modify your budget, reallocating the 
appropriate amount for training.
    (10) Payment Contingent on Completion. Payment of FHIP fund is made 
on a reimbursement basis. Payments are contingent on the satisfactory 
and timely completion of your project activities and products as 
reflected in your grant or cooperative agreement. Requests for funds 
must be accompanied by financial and progress reports.
    (11) Accessibility Requirements. All activities, facilities, and 
materials funded by this Program must be accessible to persons with 
disabilities (24 CFR 8.2, 8.4, 8.6, and 8.54).
    (12) Copyright Materials. You may copyright any work that is 
eligible for copyright protection subject to HUD's right to reproduce, 
publish, or otherwise use your work for Federal purposes, and to 
authorize others to do so as required in 24 CFR 84.36.
    (13) Complaints Against Grantees/Cooperative Agreements. Each FHIP 
grantee/cooperative agreement is overseen by a HUD Grant Officer. 
Complaints from the public against FHIP grantees should be forwarded to 
the Grant Officer. The Grant Officer's name and contact information is 
provided in the grant/cooperative agreement. If, after notice and 
consideration of relevant information, the Grant Officer concludes that 
there has been inappropriate conduct, such as a violation of FHIP 
program requirements, grant, or cooperative agreement terms or 
conditions or any other applicable statute, regulation or other 
requirement, HUD will take appropriate action in accordance with 24 CFR 
84.62. Such action may include: written reprimand; consideration of 
past performance in awarding future FHIP applications; repayment to HUD 
of funds received under the grant; or temporary or permanent denial of 
participation in the FHIP in accordance with 24 CFR part 24.
    (14) Avoiding Double Payments. If you are awarded funds under this 
NOFA, you (and any subcontractor or consultant) may not charge or claim 
credit for the activities performed under this project to any other 
Federal project.
    (15) Ineligible Activities.
    (a) Fair Housing and Free Speech. None of the amounts made 
available under this NOFA may be used to investigate or prosecute under 
the Act any activity engaged in by one or more persons, including the 
filing or maintaining of a non-frivolous legal action that is protected 
by the First Amendment to the U.S. Constitution. This includes 
activities engaged in for the purpose of achieving or preventing action 
by a government official or entity.
    (b) Insurance Testing. HUD will fund organizations who conduct 
insurance-related enforcement work under the FHIP, but no project will 
focus exclusively on this issue.
    (16) Key Personnel. If your organization is selected for award, you 
must certify to HUD (HUD Form 40076) whether any staff member 
identified in the proposal or proposed to be hired (including signator 
on the SF-424) has been convicted of a felony or crime involving fraud 
or perjury. In advising HUD, you must specify the crime(s) for which 
the person was convicted, the date entered, and the penalty received 
and submit a copy of the report from the police or court documenting 
the conviction. Depending upon the facts, HUD may place special 
conditions upon the grantee or the particular person's participation in 
grant funded activities.
    (17) Definitions. The definitions that apply to this FHIP section 
of the NOFA are as follows:
    Broad-based proposals those that include activities that are not 
limited to a single fair housing issue; instead, they cover multiple 
issues related to housing discrimination covered under the Act, such 
as: rental, sales and financing of housing. (See also Full Service 
Projects below)
    Colonias (See General Section).
    Complainant means the person (including the Assistant Secretary) 
who files a complaint under Section 810 of the Act.
    Disability advocacy groups mean organizations that traditionally 
have provided for the civil rights of persons with disabilities. This 
would include organizations such as Independent Living Centers, and 
cross-disability legal services groups. Such organizations must be 
experienced in providing services to persons with a broad range of 
disabilities, including physical, cognitive, and psychiatric/mental 
disabilities. Such organizations must demonstrate actual involvement of 
persons with disabilities throughout their activities, including on 
staff and board levels.
    Enforcement proposals are potential complaints under the Act that 
are timely, jurisdictional, and well-developed, that could reasonably 
be expected to become enforcement actions if an impartial investigation 
finds evidence supporting the allegations and the cases proceeded to a 
resolution with HUD involvement.
    Fair Housing Act means Title VIII of the Civil Rights Act of 1968 
as amended by the Fair Housing Amendments Act of 1988 (42 U.S.C. 3600-
3620).
    Fair Housing Assistance Program (FHAP) Agencies mean State and 
local government agencies that administer laws substantially equivalent 
to the Act, as described in 24 CFR part 115 and receive FHAP funds.
    Fair Housing Enforcement Organization (FHO) means an organization 
engaged in fair housing activities as defined in 24 CFR 125.103.
    Faith-based and Other Community-based Organizations (See General 
Section).
    Full-service projects must include the following enforcement-
related activities in your project application: interviewing potential 
victims of discrimination; analyzing housing-related issues; taking 
complaints; testing; evaluating testing results; conducting preliminary 
investigations; conducting mediation; enforcing meritorious claims 
through litigation or referral to administrative enforcement agencies; 
and disseminating information about fair housing laws.
    Meritorious claims mean enforcement activities by an organization 
as defined in 24 CFR 125.103.
    Operating budget means your organization's total planned budget 
expenditures from all sources, including

[[Page 14010]]

the value of in-kind and monetary contributions, in the period for 
which funding is requested.
    Qualified Fair Housing Enforcement Organization (QFHO) means an 
organization engaged in fair housing activities as defined in 24 CFR 
125.103.
    Regional/Local/Community-Based Activities are defined at 24 CFR 
125.301(a) & (d).
    Rural Areas, according to the Rural Housing and Economic 
Development Program of Community Planning and Development (CPD), may be 
defined in one of five ways:
    (i) A place having fewer than 2,500 inhabitants (within or outside 
of metropolitan areas).
    (ii) A county with no urban population (i.e., city) or 20,000 
inhabitants or more; territory, persons and housing units in the rural 
portions of `extended cities.'
    (iii) The rural portions of extended cities in the United States as 
identified by the U.S. Census Bureau.
    (iv) Open country which is not part of or associated with an urban 
area. The United States Department of Agriculture (USDA) describes open 
country as a site separated by open space from any adjacent densely 
populated urban area. Open space includes undeveloped land, 
agricultural land, or sparsely settled areas, but does not include 
physical barriers (such as rivers or canals) public parks, commercial 
and industrial developments, small areas reserved for recreational 
purposes, and open space set aside for future development.
    (v) Any place with a population not in excess of 20,000 and that is 
not located in a Metropolitan Statistical Area.
    Traditional Civil Rights Organizations mean non-profit 
organizations or institutions and/or private entities with a history 
and primary mission of securing Federal civil rights protection for 
groups and individuals protected under the Act or substantially 
equivalent State or local laws and that are engaged in programs to 
prevent or eliminate discriminatory housing practices.
    Underserved Areas mean jurisdictions that contain large 
concentrations of persons protected under the Act and where either no 
public or private fair housing enforcement organizations exist or the 
jurisdiction is not sufficiently served by one or more public or 
private enforcement fair housing organizations. (See definitions of 
Colonias, Faith-based and Community-based organizations above).
    Underserved Populations mean groups of individuals who fall within 
one or more of the categories protected under the Act and who are also: 
(1) Of an immigrant population (especially racial and ethnic minorities 
who are not English-speaking or with limited English proficiency), (2) 
in rural populations, (3) persons living in the Colonias, (4) the 
homeless, and (5) persons with disabilities who can be historically 
documented to have been subject to discriminatory practices not having 
been the focus of Federal, State or local fair housing enforcement 
efforts.
    (18) Grant/Cooperative Agreements. The type of funding instrument 
HUD may offer a successful applicant will be a grant/cooperative 
agreement which sets forth the relationship between HUD and the grantee 
where the principal purpose is the transfer of funds, property, 
services, or anything of value to accomplish a public purpose. The 
agreement will identify the eligible activities to be undertaken, 
financial controls, and special conditions, including sanctions for 
violations of the agreement. HUD will monitor your progress using 
provisions of your grant/cooperative agreement to ensure that you have 
achieved the objectives set out in your agreement. Failure to meet such 
objectives would be the basis for HUD determining your agreement in 
default and exercising available sanctions, including suspension, 
termination, and/or the recapture of your grant/cooperative agreement 
funds. Also HUD may refer violations or suspected violations to 
enforcement offices within HUD, the Department of Justice, or other 
enforcement authorities.
    (19) Reallocation of Funds. If after all applications within 
funding range have been selected or obligations are completed in an 
Initiative and funds remain available, the selecting official or 
designee will have the discretion to reallocate leftover funds in rank 
order between Initiatives as follows:
    (a) for EOI, any remaining funds from any component will be 
reallocated first within the Initiative; if after reallocating funds 
within the Initiative left over funds remain, they shall be reallocated 
to PEI then to FHOI;
    (b) for PEI, any remaining funds will be reallocated to EOI then to 
FHOI;
    (c) for FHOI, left over funds will be reallocated to PEI then to 
EOI.
    Reallocated funds will be awarded within Initiative as described in 
Section V of this NOFA.
    (20) Affirmatively Furthering Fair Housing. A separate AFFH 
submission is not required for FHIP because the purpose of the program 
is to further fair housing.
    (21) Conducting Business in Accordance with Core Values and Ethical 
Standards. (See General Section. Refer also to the discussion on Code 
of Conduct above).
    (22) Product Information. Press releases and any other product 
intended to be disseminated to the public must be submitted to the 
Government Technical Representative (GTR) 2 weeks before release for 
approval and acceptance.
    (23) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women Owned Businesses. See General 
Section.

(B) Additional Requirements For PEI and FHOI

    (1) Mandatory Referrals. You must refer to HUD all cases arising 
from FHIP-funded enforcement activities. In all FHIP-funded cases where 
you find a basis for filing a complaint on behalf of a complainant 
other than your organization, you must file the complaint with HUD 
unless the complainant declines to do so in writing. In addition to 
filing complaints with HUD, a complainant may file a civil action in 
Federal or State Court.
    (2) Outreach Expenses. The funds awarded for enforcement grants may 
be used for outreach and education activities (hereafter, outreach 
activities) in order to promote awareness of your project's services, 
as follows: under FHOI, you may provide for up to 10 percent of the 
requested funds for the sponsored organization to be used for outreach 
activities; under PEI, you may designate up to 5 percent of the 
requested funds for outreach activities.
    (3) Tester Requirements. Testers in your FHIP-funded testing 
activities must not have prior felony convictions or convictions of 
crimes involving fraud or perjury. All testers must receive training 
acceptable to HUD or be experienced in testing procedures and 
techniques. Testers and the organizations conducting tests, and the 
employees and agents of these organizations may not:
    (a) Have an economic interest in the outcome of the test; except to 
the extent that they could recover damages as provided by law;
    (b) Be a relative related by adoption, blood, or marriage of any 
party in a case;
    (c) Have had any employment or other affiliation, within the past 
year, with the person or organization to be tested; or
    (d) Be a licensed competitor of the person or organization to be 
tested in the listing, rental, sale, or financing of real estate.
    (4) Review and Approval of Testing Methodology. If your SOW 
proposes testing, other than rental housing testing, HUD may require 
copies of the following documents to be reviewed and approved by HUD 
prior to your carrying out the testing activities:

[[Page 14011]]

    (a) The testing methodology to be used,
    (b) The training materials to be provided to testers, and
    (c) Other forms, protocols, cover letters, etc., used in the 
conduct of testing and reporting of results.
    The testing methodology and training materials that you submit to 
HUD for review and approval are for enforcement purposes and will 
remain confidential.
    (5) Conflict of Interest and Use of Settlement Funds.
    (a) You may not solicit funds from or seek to provide fair housing 
educational or other services or products for compensation either 
directly or indirectly to any person or organization that has been the 
subject of FHIP-funded testing by your organization during the 12-month 
period following the test. This does not preclude providing training or 
technical assistance that is court ordered or contained in a negotiated 
settlement. HUD reserves the right to impose additional provisions 
addressing potential conflicts of interest.
    (b) You must reimburse the United States for FHIP-funded activities 
whenever you receive funds as the result of enforcement activities 
funded in whole or in part by the FHIP program, including testing. You 
must provide information about reimbursements and/or potential 
reimbursements in a report that you submit to HUD (see Reports below). 
Terms for reimbursing the United States will be specified in your grant 
or cooperative agreement. This reimbursement requirement does not apply 
to compensation received as a result of a judgment in Federal or State 
Court. Calculate your reimbursement on a per complaint basis. Identify 
the complaint, then subtract the amount of non-FHIP funds from the 
amount of FHIP funds used to resolve the complaint. The difference is 
the amount owed. For example:

FHIP grant of $15,000 ($10,000 which is for testing: 20 tests @ $500 
each). One test results in a $15,000 conciliation/settlement. 
Additional expenses paid from non-FHIP funds: $100.
Total FHIP funds for the settlement activity that resulted in collected 
funds: $400.00 Calculation
$500 (Amt. of FHIP funds in activity resulting in conciliation/
settlement) -$100 (Non-FHIP funds used in the same activity)
Total $400 to be repaid to HUD.

    (6) Reports. You must provide reports in a format (which may be 
computer-generated), at a frequency and with contents specified by HUD. 
At a minimum, the report must include the number and basis of 
complaints filed with HUD, with a FHAP agency, or in Federal/State 
Court as well as the number and terms of settlements or other outcomes 
achieved. If HUD does not prescribe a format or frequency, you will 
provide a narrative report within 90 days after all grant activities 
have ended or at the end of each 12-month period of the grant, 
whichever comes first. You do not have to disclose the terms of 
settlements or judgment that a court or other tribunal orders be kept 
confidential. You will also be required to provide status reports on 
case referrals you have made to HUD or a FHAP agency. These reports are 
for enforcement purposes and will remain confidential.
    (7) Enforcement Log. You are required to record information about 
the funded project in a case tracking log (or Fair Housing Enforcement 
Log) in a format prescribed by HUD. Such information must include: the 
number of complaints of possible discrimination you have received; the 
protected basis of these complaints; the issue, test type, and number 
of tests utilized in the investigation of each allegation; the 
respondent type and testing results; the time for case processing, 
including administrative or judicial proceedings; the cost of testing 
activities and case processing; the entity to which the case was 
referred; and the resolution and type of relief sought and received. 
You must agree to make this log available to HUD. This log will be 
considered confidential for enforcement purposes.
    (8) Attachments. All PEI and FHOI applicants must submit a 
Statement of Eligibility. All applicants must submit resumes, or 
position description in lieu of resume, of all key personnel; for those 
who have received funding for other projects, a copy of the most recent 
performance assessment from the funding source, if it was a HUD funded 
project, the most recent SF 269. In addition, FHOI, and PEI applicants 
must submit the Internal Revenue Service's, Letter of Determination 
declaring your Section 501(c)(3) status as a tax-exempt organization.

(C) Additional Requirements for Education and Outreach Initiative

    Complaint Referral Process. EOI activities do not end with the 
delivery of educational activities. Their purpose is to enable persons 
who believe they have experienced housing discrimination to file 
complaints for investigation and relief. EOI applicants must develop a 
process for referring fair housing complaints to HUD or substantially 
equivalent entities under the Act. HUD expects this complaint referral 
process will result in referrals to HUD of fair housing complaints and 
other information regarding discriminatory housing practices.

(D) Additional Requirements for Fair Housing Organizations Initiative

    Sponsored organization's viability and fair housing enforcement 
capacity. Over the duration of the grant, the sponsored organization 
must demonstrate its capacity to become a viable, fair housing 
enforcement organization that conducts fair housing-related enforcement 
activities and leverages non-FHIP resources. These are the performance 
measures that, if not met, may result in termination of the grant, and 
your description for achieving these measures will be considered when 
HUD evaluates your application. We will look for this description in 
your response to Rating Factor 3: Soundness of Approach. Specifically, 
the application must address:
    (a) Fair Housing-related enforcement activities. The sponsored 
organization must conduct all enforcement-related activities by the 
conclusion of year 3 of the grant: complaint intake, complaint 
investigation, testing for fair housing violations, and meritorious 
claims. Your application must identify which activities the sponsored 
organization will conduct at the end of the grant year 1, 2 and 3. Your 
performance measures will be based upon this description, and failure 
to meet them may result in termination of your grant or cooperative 
agreement.
    (b) Organizational resources. The sponsored organization must not 
rely exclusively on FHIP funding. At the conclusion of each grant year, 
the sponsored organization must show increasing support from sources 
other than what is awarded under this program. Specifically, at the 
conclusion of year 1, no less than 5% of the funds supporting the 
sponsored organization's fair housing enforcement-related activities 
must be funded from non-FHIP funds; at the conclusion of year 2, no 
less than 10% of the funds supporting the sponsored organization's fair 
housing enforcement-related activities must be from non-FHIP funds; and 
at the conclusion of year 3, no less than 20% of the funds supporting 
the sponsored organization's fair housing enforcement-related 
activities must be from non-FHIP funds. Your application must state how 
you will meet these requirements. Your performance measures will be 
based upon these requirements, and failure to meet them may result in 
termination of the grant.

[[Page 14012]]

V. Application Selection Process

(A) Screening/Threshold Review

    Only applications that satisfy all of the applicable requirements 
under this NOFA will be considered for funding. Applicants meeting any 
of the following conditions are ineligible.
    (1) General Section Requirements and Procedures. If you do not meet 
the Threshold Requirements set forth in Section II (B) of the General 
Section of this SuperNOFA.
    (2) Debarment and Suspension. If your organization is presently 
debarred, suspended, proposed for debarment, declared ineligible, or 
voluntarily excluded from covered transactions by any Federal debarment 
or agency.
    (3) Maximum award. If you request funding in excess of the maximum 
allowed under the Initiative or Component for which you are applying 
your application is ineligible. Any amount over the maximum award, even 
if less than one dollar, will be considered a request in excess of the 
maximum award. In addition, inconsistencies in the amount requested 
and/or miscalculations that result in amounts over the maximum award 
will be considered excessive.
    (4) Research Activities. If 25% or more of your project is aimed 
solely and primarily at research. Also, your application should not 
require any surveys or questionnaires.
    (5) Eligibility Applicants. If you do not meet the eligibility 
requirements for PEI and FHOI. For PEI, you must be a FHO or a QFHO and 
document in the Statement of Eligibility that your organization has the 
required one or two years of enforcement-related experience. For FHOI, 
you must be a QFHO.
    (6) Tax Exempt Status. If you are not a tax-exempt, nonprofit, 
charitable organization. For PEI and FHOI, you must be a 501(c)(3) tax 
exempt organization as determined by the Internal Revenue Service 
(IRS). Your application must include a copy of your Letter of 
Determination from the Internal Revenue Service, dated prior to the 
deadline date of this NOFA, in support of your 501(c)(3) tax-exempt 
status.
    (7) Media-based Applications. Applicants who submit applications 
under the EOI National Program Media Campaign must have as its primary 
responsibility advertisement and media and have at least 5 years of 
experience as an advertisement/media organization, or if the applicant 
is not a media organization, it must include as part of its proposal a 
subcontract with an established media/advertising or public relations 
organization, that has experience in conducting national media 
campaigns. Applicants that fail to meet this requirement or include 
such subcontract arrangements in their proposals will be ineligible for 
funding. Further, for-profit awardees must adhere to OMB Circular A-
122.
    (8) Poor Performance. HUD will assess performance ratings for 
applicants who have received FHIP funding in 1998, 1999, or 2000. If 
the applicant has received a ``poor'' performance rating for its most 
recent performance rating from its Government Technical Representative, 
its application is ineligible for FY 2002 competition. An applicant 
that does not agree with its determination of ineligibility for the FY 
2002 competition because of ``poor'' performance must address to HUD's 
satisfaction the factors resulting in the ``poor'' performance rating 
before the FHIP application deadline. If the ``poor'' performance 
rating is not resolved to the Department's satisfaction before the 
application deadline, the application remains ineligible. HUD is 
interested in increasing the performance level of all grantees; 
therefore, applicants who are deemed ineligible because of a ``poor'' 
performance rating have the right and are encouraged to seek technical 
assistance from HUD to correct their performance in order to be 
eligible for future NOFA competition.
    (9) Suits Against the United States. Your application is ineligible 
if as a current or past recipient of FHIP funds, your organization used 
any funds provided by HUD for the payment of expenses in connection 
with litigation against the United States (24 CFR 125.104(f)).
    (10) Other Litigation. Your application is ineligible if any 
recipient under this Program used any funds provided by HUD to settle a 
claim, satisfy a judgment, or fulfill a court order in any defensive 
litigation (24 CFR 124.104).
    (B) Rating and Ranking. Although all rating factors are organized 
the same way for all FHIP Initiatives, there are differences in 
application requirements and rating criteria, which are indicated 
throughout the Rating Factor instructions. Your application for funding 
will be evaluated competitively against all other applications 
submitted under one of the following Initiatives or Components:
    (1) Private Enforcement Initiative (PEI)
    (2) Education and Outreach Initiative
    (a) Regional/Local/Community-Based Program:
    i. General Component (EOI--GC)
    ii. Disability Component (EOI--DC)
    (b) National Program:
    iii. Media Campaign Component
    iv. Fair Housing Awareness Component
    (3) Fair Housing Organizations Initiative (FHOI)
    All eligible applications will be reviewed and points awarded based 
upon: (1) your narrative responses to the Factors for Award and 
accompanying materials (e.g., resumes) and (2) bonus points, if 
entitled. The maximum number of points to be awarded for the Rating 
Factors is 100. See Section III (C) of General Section for discussion 
on Bonus Points. Applications with a score of seventy (70) points or 
more will be considered of sufficient quality for funding. The 
Selecting Official will not select for award any application with a 
score below seventy (70) points. Generally, applications of sufficient 
quality for funding will be selected in simple rank order under each 
Initiative or Component. HUD reserves the right to select applicants 
out of rank order to achieve greater geographic distribution of awards 
under each Initiative or Component, as described in Section V (C) 
below. Selections under each Initiative or Component will continue to 
be made until either all allocated funds have been obligated or until 
no applications of sufficient quality remain.

(B) Tie Breaking

    When two or more applications have the same total overall score, 
the application with the higher score under Rating Factor 3: Soundness 
of Approach will be ranked higher. If this does not break the tie, the 
application with the higher score under Rating Factor 1: Capacity of 
the Applicant and Relevant Organizational Experience will be ranked 
higher. If this does not break the tie, the application requesting the 
lower amount of FHIP funding will be ranked higher.

(C) Achieving Geographic Diversity of Awards

    (1) PEI and EOI. HUD reserves the right to select applications out 
of rank order under geographic diversity, to ensure that, to the extent 
possible, applications from more states for each Initiative or 
Component are selected for funding. If the Selecting Official exercises 
this discretion, it shall be applied to all qualified applications 
(applications of sufficient quality for funding--applications that 
received a score of 70 or more points) in each Initiative or Component 
in which the Selecting Official applies geographic diversity. The 
geographic diversity provision will be applied as follows: when there 
are two or more applications

[[Page 14013]]

of sufficient quality from the same state, the application(s) with the 
lower score(s) will be moved to the end of the qualified queue. The 
applications moved to the end of the qualified queue will retain their 
rank order. If sufficient funds remain, it is possible that 
applications moved to the end of the queue may be selected for award.
    (2) FHOI. The geographic diversity selection procedures described 
in paragraph V(C)(1) will be used for FHOI for activities proposed in 
the same state.
    (D) Factors for Award Used to Evaluate and Rate PEI, FHOI and EOI 
Regional/Local Community-Based Applications. The factors for rating and 
ranking applications and the maximum points for each Rating Factor are 
described below. Failure to provide the required information under the 
appropriate Factor will result in a lower score for that Factor--for 
example, information in the Project Abstract, although useful for 
obtaining a concise summary of the proposed activities is not 
considered in the rating of applications. Please respond fully to the 
criteria in each Rating Factor and sub-factor and, when directed, 
provide other information in support of your response. The Factors for 
Award are set out as follows:
    In general. This section applies to all PEI, FHOI, and EOI 
Regional/Local Community-Based applicants. Your responses to each 
Rating Factor and including the ``In Addition'' section below must not 
exceed 10 page Rating Factor requirement.
    In Addition. This section identifies issues to which you must 
respond, if required, by the particular Initiative or Component for 
which you are applying.

Rating Factor 1: Capacity of Applicant and Relevant Organizational 
Experience (20 Points)

    You must describe staff expertise and your organization's ability 
to complete the proposed activities within the grant period. You must 
also provide performance assessments conducted by your funding sources, 
including HUD, that have been done of your organization's performance 
of these activities. Such performance assessments must be signed by or 
attached to a transmittal signed by the authorized representative of 
the funding source(s).
    In General. HUD recognizes that, in carrying out the proposed 
activities, you may have persons already on staff, plan to hire 
additional staff, or rely on subcontractors or consultants to perform 
specific tasks. You must describe your staffing plan and the extent to 
which you plan to add staff (employees) or contractors.
    (a) (5 Points) Number and expertise of staff (this includes 
subcontractors and consultants). You must show that you will have 
sufficient, qualified staff who will be available to complete the 
proposed activities. Provide the following information for all staff 
assigned to or hired for this project, not just key personnel (those 
persons identified in attachments to Rating Factor 3: Soundness of 
Approach):
    (i) Identify, by name and/or title, all persons that will be 
assigned to the project. You must describe the knowledge and experience 
of the proposed overall project director and day-to-day program manager 
in planning and managing large and complex interdisciplinary programs. 
Indicate the percentage of time that key personnel will devote to your 
project. To receive maximum points, your day-to-day program manager 
must devote a minimum of 75% of his/her time to the project. You may 
demonstrate capacity by thoroughly describing your prior experience in 
fair housing. You should indicate how this prior experience would be 
used in carrying out your proposed activities. Your application must 
clearly identify those persons that are on staff at the time this 
application is filed, and those persons who will be assigned at a later 
date; describe each person's duties and responsibilities and their 
expertise (including years of experience) to perform project tasks; 
indicate whether the staff person is assigned to work full-time or 
part-time (if part-time, indicate the percentage of time each person is 
assigned to the project).
    (ii) Attach resumes, or position description in lieu of resumes, 
for all key personnel. (Resumes do not count against the ten-page 
limit.)
    (iii) Describe the qualifications to be considered in the selection 
of staff or contractors (and their staff) that will be assigned or 
hired at a later date, when you expect they will begin working on the 
project and how project activities will be carried out until then. 
Assume a start date of September 30, 2002.
    (iv) Describe the racial/ethnic diversity of project staff and the 
applicant's governing board. If there is no diversity, please explain. 
No explanation of the lack of diversity will result in less points 
being awarded.
    (v) Include a chart showing availability of all named personnel 
during the proposed period of activity.
    (b) (10 Points) Organizational experience. In responding to this 
subfactor, you must show that your organization has: (i) Conducted a 
past project or past projects similar in scope and complexity to the 
project proposed in this application (whether FHIP-funded or not), or 
(ii) engaged in activities that, although not similar, are readily 
transferable to the proposed project. Experience will be judged in 
terms of recent, relevant and successful experience of your staff to 
undertake eligible activities. In rating this factor, HUD will consider 
experience within the last 3 years to be recent, experience pertaining 
to the specific activities to be relevant, and experience producing 
specific accomplishments to be successful. The more recent the 
experience and the more experience your own staff members who work on 
the project have in successfully conducting and completing similar 
activities, the greater the number of points you will receive for this 
rating factor. If the applicant organization has not engaged in 
projects similar to the scope and activities proposed in the 
application, two (2) points will be deducted.
    In addition. If you are applying for funding under PEI or FHOI, 
provide the following information when responding to this subfactor:
    (i) Respond completely to all questions in the Statement of 
Eligibility. (A copy of a blank Statement of Eligibility appears in the 
Appendix C to this NOFA.) For PEI, you must clearly state whether you 
are a QFHO or an FHO. You must provide information that establishes 
that your organization has engaged in each of the enforcement-related 
activities, for at least one year (if you are an FHO) or two years (if 
you are a QFHO). For FHOI, you must be a QFHO.
    (ii) Describe the procedure you will use to ensure that testers 
comply with the requirements in Section IV (B) (3) of this program 
NOFA.
    (iii) If you propose to conduct testing (other than rental or 
accessibility testing) projects proposing testing in the specific areas 
(for example, if testing is for sales of housing, your application 
should outline your sales testing experience) should document that, at 
a minimum, you have conducted successful testing in those areas. 
Provide a general description of when and where the tests occurred, the 
entities tested, and the overall results of the tests, including 
complaints filed and the settlements or remedies secured.
    FHOI. Provide a statement of organizational capacity and experience 
of the sponsored organization.
    In general. (c) (5 Points) Performance on past project(s). You must 
describe your organization's past performance in conducting activities 
relevant to your

[[Page 14014]]

proposal, in the past three years (including FY 1998-2000 FHIP grants), 
demonstrating good financial management and documenting timely use of 
funds, timely reporting and submissions of tasks and deliverables. HUD 
may supplement information you provide with relevant information on 
hand or available from public sources such as newspapers, Inspector 
General or General Accounting Office Reports or Findings, hotline 
complaints that have been proven to have merit, or other such sources 
of information. In evaluating past performance, the following points 
will be deducted from your score under this rating sub-factor:

5 points will be deducted if you obtained any ``fair performance'' 
assessment;
3 points will be deducted if you obtained any ``good performance'' 
assessment; and
0 points will be deducted if you obtained any ``excellent performance'' 
assessment.

    For other Federal, State and local programs, include an assessment/
review of the work performed under past projects. Attach a copy of the 
funding entity's performance assessment/review of this project, if 
applicable. The following will apply to funding received from other 
Federal, State and local programs:

3 points will be deducted for failing to meet target dates and 
schedules for performance; and
2 points will be deducted for failure to meet measurable program 
outputs and outcomes.

    If you do not have a past performance assessment or prior 
experience, you should include information such as meeting target 
dates, meeting program outputs and successful outcomes for projects 
similar in scope and size and give a description of the purpose of the 
project and what was accomplished. If audit reports are available, 
submit a copy of the most recent report. Those applicants that do not 
submit an audit report will receive a lower score for this sub-factor 
than those that do.
    In addition. (a) If you have received an FHOI or a PEI award under 
the FY 1998, 1999 or 2000 FHIP NOFA, you must:
    (i) Discuss your compliance with the mandatory referral requirement 
of all cases arising from FHIP-funded activities requirement, as 
described in the FY 1998, 1999, and 2000 NOFAs. Three (3) points will 
be deducted for this subfactor if you do not show in your application 
compliance with the requirement.
    (ii) Discuss your compliance with the requirement to reimburse the 
Federal government for compensation received from FHIP-funded 
enforcement activities. If you have not reimbursed the Federal 
government for such compensation, explain why you have not. Also, state 
whether you reported to HUD any likely compensation that may result in 
such reimbursement. Two (2) points will be deducted for this sub-factor 
if you have not complied with the requirement.

Rating Factor 2: Need/Distress/Extent of the Problem (20 Points)

    This factor addresses the extent to which there is a need for 
funding the proposed activities to address a documented fair housing 
problem in the target area. You will be evaluated on the information 
that you submit that describes the fair housing need in the geographic 
area you propose to serve, its urgency and how your project is 
responsive to that need. You must also describe whether you and/or your 
project are not served by a State or local FHAP agency.
    (a) (15 Points) Documentation of Need. To justify the need for your 
project, you must describe the following:
    (1) The fair housing need, including:
    (a) Geographic area to be served;
    (b) Populations protected by the Act that will be served--your 
project must serve all persons protected by the Act; and
    (c) The presence of housing discrimination, segregation and/or 
other indices of discrimination in the project area based upon race, 
color, religion, sex, national origin, familial status, or disability. 
You must submit data and studies that support this indication.
    (2) The urgency of the identified need. For example:
    (a) The consequences to persons protected by the Act if your 
application is not selected for funding;
    (b) The extent to which the organizations provide the services 
identified in your application;
    (3) Other sources that support the need and urgency for this 
project. For example, use reports, statistics, or other data sources 
that are sound and reliable, including but not limited to, HUD or other 
Federal, state or local government reports analyses, relevant economic 
and/or demographic data, including those that show segregation, 
foundation reports and studies, news articles, and other information 
that relate to the identified need. Chapter V of the Fair Housing 
Planning Guide, Vol. 1 has other suggestions for supporting 
documentation. You may access the Guide from the HUD web at 
``www.hud.gov.''
    If the fair housing needs you have identified are not covered under 
the Consolidated Plan and Analysis of Impediments to Fair Housing 
Choice (AI) or if your locality does not have a CP or AI, you should so 
indicate, and use other sound data sources to identify the level of 
need and the urgency in meeting the need. If your application addresses 
needs that are identified in the AI, you will receive more points than 
applicants located in an area with an AI that do not relate their 
program to the identified needs in the AI. For you to receive maximum 
points for this factor, there must be a direct relationship between 
your proposed activities, community needs, and the purpose of the 
program funding.
    To the extent possible, the data you use should be specific to the 
area where the proposed activity will be carried out. You should 
document needs as they apply to the area where activities will be 
targeted, rather than the entire locality or state. If the data 
presented does not specifically represent your target area, you should 
discuss why the target areas were proposed.
    (4) The link between the need and your proposed activities:
    (a) how the proposed activities augment or improve upon on-going 
efforts by public and private agencies, organizations and institutions 
in the target area, and/or
    (b) why, in light of other on-going efforts, the additional funding 
you are requesting is necessary.
    In addition, with respect to (a) Documentation of Need, the 
following apply to specific FHIP Initiatives or Components:
    EOI--Disability Component. Your project must serve all persons 
protected by the Act.
    FHOI. HUD has targeted for funding under this Initiative, projects 
that will provide fair housing enforcement services to underserved 
areas and to areas with large concentrations of individuals who fall 
within one or more categories protected under the Act who are 
immigrants (especially racial and ethnic minorities who are not 
English-speaking or have limited English proficiency). Although HUD has 
targeted these areas, you are still required to justify the need for 
the sponsored organization by: (i) demonstrating the presence of 
housing discrimination, segregation and/or other indices of 
discrimination in the project area based upon race, color, religion, 
sex, national origin, familial status, or disability and submit data 
and studies that support your claim; and (ii) explain

[[Page 14015]]

why the project area is underserved and why the proposed sponsored 
organization is needed. Your proposal must serve all persons protected 
by the Act.
    (b) (5 Points) Underserved Areas. Up to five points will be awarded 
when the applicant and project area are not served by a State or local 
FHAP agency. In instances where the applicant is located in an area not 
served by a FHAP agency but the project activities are conducted in 
various geographic areas, some that are not served by a State or local 
FHAP agency, points will be awarded as follows:
    5 points will be awarded if more than 80% of the activities are 
conducted in areas not served by a State or local FHAP agency.
    4 points will be awarded if more than 60% but less than 80% of the 
activities are conducted in areas not served by a State or local FHAP 
agency.
    3 points will be awarded if more than 40% but less than 60% of the 
activities are conducted in areas not served by a State or local FHAP 
agency.
    2 points will be awarded if more than 20% but less than 40% of the 
activities are conducted in areas not served by a State or local FHAP 
agency.
    1 point will be awarded if less than 20% of the activities are 
conducted in areas not served by a State or local FHAP agency.
    You must indicate whether (a) you are located in an area that is 
served by a State or local FHAP agency (see Appendix C for a list of 
FHAP agencies); (b) the activities you propose will be conducted in a 
project areas served by a State or local FHAP agency; and (c) explain 
why the project area is underserved and/or why the proposed 
organization or activity is needed.
    Attachments. None required.

Rating Factor 3: Soundness of Approach (40 Points)

    You must describe your project in detail, demonstrate how your 
project activities will support HUD goals, propose suggested 
performance measures/outcomes in support of these goals, and identify 
current baseline conditions and target levels of the performance 
measures that you plan to achieve. Also attach a SOW and budget. Your 
proposed activities must support HUD's goals.
    (1) (4 Points) Support of HUD Goals. Describe how your proposed 
project will further and support HUD. For FY 2002 FHIP applications, 
address the following:
    A. EOI. (i) Applicants that are faith-based and other community-
based organizations that propose to either partner or sub-contract with 
faith-based and other community-based organizations in conducting their 
work programs will receive one point under this sub-factor. Please 
describe the following:
    (I) Project purpose.
    (II) Persons to be served.
    (III) Geographic area to be served.
    (IV) Proposed activities and who will conduct these activities, 
e.g., you or a subcontractor(s) or consultant(s).
    (V) The methodology you will use to carry out these activities and 
tasks.
    (a) Applicants who partner or sub-contract with faith-based or 
community based organization in conducting their work program and 
submit a referral process will receive two points.
    (b) Applicants who partner or sub-contract with faith-based or 
community-based organization in conducting their work program and do 
not submit a referral process will receive one point.
    (ii) Up to three points will be awarded for applications 
specifically addressing housing discrimination based on national origin 
and religion since the September 11, 2001 attacks, as described in 
Section III(D), Priorities, of this NOFA. Please describe the 
following:
    (I) Project purpose.
    (II) Persons to be served.
    (III) Geographic area to be served.
    (IV) Proposed activities and who will conduct these activities, 
e.g., you or a subcontractor(s) or consultant(s), and
    (V) The methodology you will use to carry out these activities and 
tasks.
    (a) Applicants who target outreach activities to specifically 
address discrimination under the Fair Housing Act based on national 
origin and religion since the September 11, 2001 attacks and submit a 
referral process will receive three points.
    (b) Applicants who target outreach activities to specifically 
address discrimination under the Fair Housing Act based on national 
origin and religion since the September 11, 2001 attacks and do not 
submit a referral process will receive two points.

B. PEI, FHOI, and EOI--Disability

    Should discuss their project purpose and proposed activities, 
persons to be served, geographic areas and methodology.
    In addition. If you apply under the:
    EOI. Describe how activities or final products can be used by other 
organizations and agencies. Also, describe the elements of the 
complaint referral process you will develop as a task under this grant. 
Explain how this referral process will result in an increased number of 
referrals to HUD.
    FHOI. Over the course of the grant, the sponsored organization must 
conduct fair housing-related enforcement activities and leverage non-
FHIP resources. These are the performance measures that, if not met, 
may result in termination of the grant, and your description for 
achieving these measures will be considered when evaluating your 
application.
    PEI/FHOI. Describe a procedure to ensure that referrals of all 
complaints are made as required by this NOFA. Your description should 
include safeguards to ensure that referred complaints are fully 
jurisdictional under the Act and supported by credible and legitimate 
evidence that the Act has been violated.
    You may conduct limited outreach activities (for PEI and for FHOI), 
as described in section IV (B)(2). This must be reflected clearly in 
your SOW and Budget.
    (2) (5 Points) Performance Objectives and Measures. Identify and 
discuss the specific methods and measures you will use (in addition to 
HUD reporting requirements) to measure progress, evaluate program 
effectiveness, and identify program changes necessary to improve 
performance. Describe how you will obtain, document and report the 
information. You will receive higher points under this subfactor if 
your application clearly states a specified set of performance criteria 
and outcomes that can be measured. Clearly identify the results of the 
proposed activities and what you will use to measure performance. The 
expected outcomes of your proposed activities should support HUD's 
strategic goal of ``Ensuring Equal Opportunity and Access to Housing.'' 
You will receive fewer points if you fail to develop measurable 
objectives with respect to your stated activities.
    Information Requirements. For PEI and FHOI, your application must 
include a description of the enforcement proposals to be referred to 
HUD. Your description must explain the information (see 24 CFR 121.2) 
you intend to collect and analyze, the type of complaints you 
anticipate referring to HUD for enforcement purposes, and describe the 
procedure you will implement for referring such complaints. If you 
propose a testing program, you must explain how you plan to structure 
the tests, train investigators, conduct investigations, etc. This 
description should make clear the safeguards to be used to ensure that 
complaints referred to HUD are fully jurisdictional under the Act and 
supported by credible and legitimate evidence that the Act has been 
violated. Describe the procedures you will put in

[[Page 14016]]

place to ensure that referrals of all complaints are sent to HUD. 
Failure to provide this description of your procedure will result in 
the reduction of 2 points for this subfactor.
    (3) (15 Points) Proposed Statement of Work (SOW) and Financial 
Management. The SOW and budget are attachments that will not count 
toward the 10-page limit on the narrative response to this factor. 
However, points will be assigned based on the relevance of proposed 
activities to stated needs, attention to implementation steps, proposed 
activities consistent with organizational expertise and capacity and 
accuracy of the SOW and budget. See Section VI for submission 
requirements.
    Statement of Work--Submit a proposed SOW that comprehensively 
outlines in chronological order the administrative and program 
activities and tasks to be performed during the grant period. Your 
outline should identify all activities and tasks to be performed and by 
whom (e.g., you, a subcontractor, or partner), and the products that 
will be provided to HUD and when. You should also include a schedule of 
your activities and products (with interim implementation steps), staff 
allocation over the term of the project; staff acquisition and 
training; and activities of partners and/or subcontractors. The tasks 
identified in the SOW should be related to the proposed budget (See 
Appendix C for sample SOW).
    Financial Management Capacity. Describe and provide documentation 
to support your organization's financial management system. In 
addition, provide documentation about your capabilities in handling 
financial resources and maintenance of an adequate accounting and 
internal control procedures.
    (4) (16 Points) The Budget Form and the Budget Information--HUD 
will also assess the soundness of your approach by evaluating the 
quality, thoroughness, and reasonableness of the budget and financial 
controls of your organization, including information on your proposed 
program cost categories. As part of your response, you must prepare a 
budget that: (1) is reasonable and cost-effective in achieving the 
goals identified in your proposed SOW; (2) relates tasks in the SOW to 
the proposed budget costs; (3) is cost-effective; (4) is quantifiable 
based on the Need identified in Factor 2; and (5) documents and 
justifies all cost categories in accordance with the cost categories 
indicated in the Budget Narrative Workplan that is discussed in more 
detail in paragraphs (a) through (j) below.
    Cost Effectiveness of Program. Discuss and provide supportive facts 
concerning the extent to which your proposed program is cost effective 
in achieving the anticipated results of the proposed activities. Also, 
indicate how the proposed project is quantifiable based on the needs 
identified in Rating Factor 2.
    FHOI Provide a statement of transfer of programmatic and management 
responsibilities from the sponsoring to sponsored organization by the 
end of grant year 3.
    In addition:
    Your Non-Construction Programs SF-424A must show the total cost of 
the project and indicate other sources of funds that will be used for 
the project. While the costs are based only on estimates, the budget 
narrative work plan must include information such as quotes obtained 
from various vendors, or you may rely on historical data. Applicants 
must round all budget items to the nearest dollar.
    A written budget narrative must accompany the proposed budget. It 
must explain and attach back-up documentation for each cost category. 
Generally, estimated costs for high-cost items or subcontractors/
consultants should be supported by bids from at least three (3) 
sources. Where there are travel costs for subcontractors/consultants, 
you must show that local subcontractors/consultants are not available 
and that the combined travel costs (per diem rates should be consistent 
with Federal Travel Regulations 41 CFR 301.11) and rates and fees of 
the out-of-town subcontractors/consultants do not exceed the rates and 
fees charged by local subcontractors and consultants. The narrative 
(counted toward the 10 page limit) and supporting documentation (not 
counted toward the 10 page limit) must address the following for 
maximum points.
    (a) Direct Labor--by position or individual, specify the estimated 
hours per position, the rate per hour, estimated cost per staff 
position and the total estimated direct labor costs;
    (b) Fringe Benefits--by staff position, identify the rate, the 
salary base on which the rate was computed, estimate the cost per 
position, and the total estimated fringe benefits cost;
    (c) Material Costs--indicate the item, unit costs per item, the 
number of items to be purchased, estimated cost per item, and the total 
estimated material costs;
    (d) Transportation Costs--where use of a local private vehicle is 
proposed, costs must indicate the proposed number of miles (travel 
costs should be consistent with Federal Travel Regulations), 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, you should identify the other method of transportation 
selected, the number of trips to be made and destinations, the 
estimated costs, and the total estimated costs for any other 
transportation costs.
    (e) Per Diem--you must identify per diem or subsistence costs per 
travel day, the number of travel days, and the estimated costs for per 
diem/subsistence, which should total estimated transportation costs. 
You must use the Federal Travel Regulation for per diem rates for 
cities listed under ``Transportation Costs'' in your costs estimates.
    (f) Equipment charges--must identify the type of equipment, 
quantity, unit costs and total estimated equipment costs;
    (g) Consultant Costs--indicate the type, estimated number of 
consultant days, rate per day, total estimated consultant costs per 
consultant and total estimated costs for all consultants;
    (h) Subcontract Costs--identify each proposed subcontract and 
amount (each proposed subcontract must include a separate budget that 
identifies proposed costs by cost categories). If applicable, your 
project budget must include any costs related to subcontract(s) with 
the FHAP agencies and disability advocacy and/or traditional civil 
rights organizations that account for activities related to the 
subcontractor's role in the project. Your application must include a 
separate detailed budget for each subcontract.
    (i) Other Direct Costs--listed by item, quantity, unit costs, total 
for each item listed, and total direct costs for the award; and
    (j) Indirect Costs--identify your approved indirect cost rate base 
to which the rate applies and total indirect costs. If you do not have 
an accepted, federally negotiated indirect cost rate, you may use 
direct cost for all of your program costs. Alternatively you may 
develop a proposed indirect cost rate in accordance with Office of 
Management and Budget (OMB) Circular A-122, Cost Principles and 
Procedures for Non-Profit Organizations, and provide supportive 
documentation on this calculation. You must establish your approved 
indirect cost rate base in accordance with Circular A-122. 
Organizations that have previously

[[Page 14017]]

established indirect cost rates should not include direct costs in 
their indirect category.

Rating Factor 4: Leveraging Resources (10 Points Maximum)

    This factor addresses your ability to secure additional resources 
to support your project. Points will be awarded on the basis of the 
percentage of non-FHIP resources you have identified and how firm the 
commitment is for those resources.
    Firm Commitment of Leveraging. HUD encourages you to secure 
resources from sources other than what is requested from this program. 
Community resources may include funding or in-kind contributions, such 
as work space or services or equipment, allocated to the purpose(s) of 
your proposal. Resources may be provided by governmental entities 
(including other HUD programs), public or private non-profit 
organizations, for-profit private organizations, or other entities 
willing to work with you. In order to secure points you must establish 
leveraging of resources by providing letters of firm commitment from 
the organizations and/or individuals who will support your project. 
Each letter of firm commitment must: (i) Identify the organization and/
or individual committing resources to the project, (ii) identify the 
sources and amounts of the leveraged resources (the total FHIP and non-
FHIP amounts must match those in your proposed budget submitted under 
Factor 3), and (iii) describe how these resources will be used as part 
of your SOW. The letter must be signed by the individual or 
organization official legally able to make commitments for the 
organization. If the resources are in-kind or donated goods, the 
commitment letter must indicate the dollar value of those resources (Do 
not include indirect costs within your in-kind resources. In-kind and 
matching contributions and Program Income must be in accordance with 
part 84.23 and 84.24). No points will be awarded for general letters of 
support endorsing the project from organizations and/or individuals 
(including elected officials) in your community. The commitment is firm 
even if the offer is contingent upon HUD making an award under this 
program NOFA.
    For PEI and EOI, if your project will not be supported by non-FHIP 
resources, then you will not receive any points under this factor. 
Points will be assigned for PEI and EOI based on the following scale:
    2 points will be awarded if your project will be supported by non-
FHIP resources, but those funds are less than 5% of the project's total 
costs are from non-FHIP resources.
    4 points will be awarded if at least 5% and less than 10% of the 
project's total costs are from non-FHIP resources.
    6 points will be awarded if at least 10% and less than 20% of the 
project's total costs are from non-FHIP resources.
    8 points will be awarded if at least 20% and less than 30% of the 
project's total costs are from non-FHIP resources.
    10 points will be awarded if at least 30% of the project's total 
costs are from non-FHIP resources.
    For FHOI, 3 points will be awarded if more than 5%, but less than 
10% of the project's total cost are from non-FHIP resources.
    5 points will be awarded if at least 10% and less than 20% of the 
project's total costs are from non-FHIP resources.
    7 points will be awarded if at least 20% and less than 30% of the 
project's total costs are from non-FHIP resources.
    10 points will be awarded if at least 30% of the project's total 
costs are from non-FHIP resources.

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(10 Points)

    This factor addresses the extent to which you develop 
interrelationships, provide increased independence and empowerment, and 
generate organizational and project self-sufficiency.
    1. Coordination--You are encouraged to join together and pool all 
available resources in a common, coordinated effort. You should relate 
your activities with other organizations in the project area, 
participate or promote participation in the project area's Consolidated 
Planning process (including Analysis of Impediments to Fair Housing 
Choice), and create partnerships with other activities in the 
community. In evaluating this factor, HUD will consider the extent to 
which you demonstrate:
    (a) You have coordinated your activities with other known 
organizations that are not directly participating in your proposed work 
activities, but with which you share common goals and objectives and 
are working toward meeting these objectives in a holistic and 
comprehensive manner.
    (b) The extent to which your application implements practical 
solutions within the grant term to result in assisting beneficiaries of 
grant program funds in achieving independent living, economic 
empowerment, educational opportunities, housing choice or improved 
living environments;
    (c) The extent to which your application addresses outreach 
activities to promote awareness of project activities. At a minimum, 
your application should discuss procedures you will use to promote 
awareness of the services provided by your proposal.
    2. Self-Sufficiency--You should demonstrate the extent to which 
your application develops solutions that result in increased 
independence and empowerment for those in your target areas. Such 
increased independence can result from such benefits as reducing 
discrimination practices, increasing awareness of the Act; increasing 
homeownership; eliminating barriers to housing choice or overcoming the 
impediments identified in the AI. For the EOI--Disability Component, 
you should demonstrate how the activities will assist the Department in 
implementing the Olmstead Supreme Court decision.
    3. Sustainability--You should demonstrate the extent to which your 
program can become financially self-sustaining thereby decreasing your 
dependence on Federal funding and relying more on State, local and 
private funding so your activities can be continued after your grant 
award period is completed.

E. Factors for Award Used To Evaluate and Rate Applications for the 
National Education and Outreach Initiative Program

    The factors for rating and ranking applicants and the maximum 
points for each factor, are provided below. The maximum number of 
points awarded any application is 100. Bonus points are not available 
for this category of funding.

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, and the applicant's ability to 
develop and implement large information campaign projects as 
appropriate, on a national scale. 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 that 
are firmly committed to the project.
    (5 Points) General Description of Applicant Organization and 
Relevant Experience.

[[Page 14018]]

    In rating this factor, HUD will consider the extent to which the 
applicant demonstrates:
    (a) The qualifications of the applicant organization; the type of 
organization (e.g., public, private, non-profit, for profit); and the 
organization's general areas of activity or line of business.
    (b) If the applicant has managed large, complex, interdisciplinary 
projects, the applicant must include information on them in its 
response.
    (c) Awards and major accomplishments of the applicant organization 
must be described. HUD will also consider any documented evidence, such 
as performance reviews, newspaper articles, or monitoring findings that 
may reflect positively or negatively upon the ability of the applicant 
and its proposed staff to perform the work.
    (d) The applicant's capability in handling financial resources with 
adequate financial control procedures and accounting procedures. In 
addition, HUD will consider findings identified in applicants' most 
recent audits; accuracy of mathematical calculations; and other 
available information on financial management capability.
    (i) For the Media Campaign Component--Applicants must describe 
their ability to effectively develop, implement, and manage a media 
campaign on a national scale. (Applicants must be or include as part of 
their proposal a subcontract with an established media/advertisement 
organization that has experience in conducting national media 
campaigns.) Applicants for FHIP program funding must specifically 
describe their experience in developing or carrying out programs to 
prevent or eliminate discriminatory housing practices. Applicants must 
discuss their and/or subcontractor's ability to implement a coordinated 
national marketing awareness campaign, especially in the areas of fair 
housing, discrimination, public health, and housing. In responding to 
this subfactor, the applicant must describe the extent to which its 
and/or subcontractor's past activities have resulted in successful 
national media campaigns as appropriate, especially with respect to 
developing and implementing innovative strategies resulting in positive 
public response.
    (ii) For the Fair Housing Awareness Component--Applicants must 
describe their ability to develop, implement and manage a national 
campaign to raise the public's awareness of subtle abusive and 
deceptive discriminatory housing loans and mortgage lending practices. 
You must describe your ability to understand fair housing issues/
policies/practices. In responding to this subfactor, describe your 
knowledge of the sub-prime lending market and your past experience in 
developing and implementing innovative strategies in combating subtle 
abusive and deceptive lending practices on a nationwide basis.
    (10 Points) Specific Description of Staff for Proposed Activities. 
The applicant must demonstrate that it has or will have sufficient 
personnel or will be able to quickly access qualified experts or 
professionals to deliver the proposed activities timely and 
effectively, including the readiness and ability of the applicant to 
immediately begin the proposed work program. Also the applicant must 
demonstrate relevant 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. To demonstrate that the applicant has 
sufficient qualified personnel, the applicant must submit the proposed 
number of staff hours for the sub-contractor, employees and experts to 
be allocated and availability of proposed staff 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. Highly 
competitive applications must demonstrate that proposed staff has at 
least 3 years of recent and relevant experience to undertake eligible 
program activities or projects similar in scope or nature and directly 
relevant to the work activities proposed. Finally, applicants should 
describe their or their sub-contractor's expertise in languages other 
than English and in reaching the informational needs of non-English 
speaking audiences.
    (5 Points) Consideration of Past Performance. Your past experience 
in terms of your ability to attain measurable progress in the 
implementation of your most recent and similar activities where your 
performance has been assessed. HUD will take into account your past 
performance in managing funds, including the ability to account for 
funds appropriately; timely use of funds received either from HUD or 
other Federal, state or local programs; meeting performance targets for 
completion of activities and number of persons to be served or targeted 
for assistance. HUD will use information related to these measures 
based on information on hand or available from public sources such as 
newspapers, Inspector General or Government Accounting Office Reports 
or Findings, hotline complaints that have been proven to have merit, or 
other such sources of information. In evaluating past performance, the 
following will apply to Fiscal Years 1998, 1999, and 2000 FHIP 
grantees:

5 points will be deducted if you obtained any ``fair performance'' 
assessment;
2 points will be deducted if you obtained any ``good performance'' 
assessment; and
0 points will be deducted if you obtained any ``excellent performance'' 
assessment.
    For other Federal, State and local programs, include an assessment/
review of the work performed under past projects. Attach a copy of the 
funding entity's performance assessment/review of this project, if 
applicable. The following will apply to funding received from other 
Federal, State and local programs:

3 points will be deducted for failing to meet target dates and 
schedules for performance; and
2 points will be deducted for failure to meet measurable program 
outputs and outcomes.
    If you do not have a past performance assessment or prior 
experience you should include information such as meeting target dates, 
meeting program outputs and successful outcomes for projects similar in 
scope and give a description of the purpose of the project and what was 
accomplished. If audit reports are available, submit a copy of the most 
recent report. Those applicants that do not submit an audit reports 
will receive a lower score for this sub-factor than those that do.

Rating Factor 2: Need/Approach to the Problem (20 Points)

    This factor addresses the extent to which the applicant documents 
and defines the national need that its proposed activities and methods 
are intended to address, and how its proposal offers the most effective 
approach for dealing with that national need. In responding to this 
factor, an applicant will be evaluated on the following:
    (1) The extent to which the applicant defines, describes, and 
documents the national need the application intends to address, which 
demonstrates a grasp of the elements of the problem, its pervasiveness 
at the national level, and an understanding of the necessary mass media 
vehicles. The applicant's description of the national need will be used 
to evaluate the depth of the applicant's understanding of the

[[Page 14019]]

problem as an indication of ability to address the problem; and
    (2) If the applicant has experienced staff or if the applicant 
proposes to use a contractor subgrantee, the extent to which the 
applicant provides a rationale for how it will utilize its staff or a 
contractor or subgrantee to incorporate its proposed activities, 
methods, and media techniques will most effectively deal with the 
national need described by the applicant in response to subfactor (1), 
immediately above. To the extent possible, applicants should 
demonstrate effectiveness in terms of scope and cost.

Rating Factor 3: Soundness of Approach (40 Points)

    This factor addresses the quality and cost-effectiveness of the 
applicant's proposed work plan. The SOW must address the strategy, 
quality and time frames needed to carry out the project and all 
activities as proposed.
    (5 Points) Measuring Performance Results. Applicants must describe 
their specific methods and measures to assess progress, evaluate 
program effectiveness, and identify program changes necessary to 
improve performance to ensure that commitments made and results to be 
achieved can be accounted for and independently assessed to ensure 
performance measurements are met. Applicants who have identified inputs 
and outcome measurements and included means for assessing these 
measures, tracking and monitoring performance goals and achievements 
against commitments made in the application will receive higher points 
than those that do not.
    (15 Points) Statement of Work. Submit a proposed SOW that 
comprehensively outlines in chronological order the administrative and 
program activities and tasks to be performed during the grant period. 
Your outline should also include a schedule of proposed activities and 
products (with interim implementation steps), staff allocation over the 
term of the project, staff acquisitions and training, and activities of 
partners and subcontractors.
    For the Media Campaign Component--HUD anticipates that products 
will be available in at least 3 languages plus English. Deliverables 
may include Public Service Announcements (PSAs) for radio and 
television in both majority and minority markets, and posters and other 
graphic materials. Graphic materials may include, but are not limited 
to, enlarged reproductions of several print PSAs, separately produced 
and printed posters for national public dissemination, and the 
development of ad slicks to market in newspapers and magazines 
nationwide. The applicant should plan on using a clipping service or 
other appropriate means to collect information on frequency and scope 
of the placement of ads.
    For the Fair Housing Awareness Component--HUD anticipates that all 
proposed activities will be conducted in a manner that will reach and 
benefit those members of the public vulnerable to subtle abusive and 
deceptive mortgage lending practices (e.g. languages, formats, 
locations, distribution, use of minority media). Applicants may target 
such tactics as: Loan flipping, multiple refinancing transactions over 
short periods of time, balloon payments, insurance packing and other 
predatory lending tactics. Deliverables may include Public Service 
Announcements (PSAs) for radio and television, and posters and other 
graphic materials. Graphic materials may include, but are not limited 
to; enlarged reproductions of several print PSAs, and separately 
produced and printed posters for national public dissemination.
    In evaluating this factor, HUD will consider the extent to which 
you submit and describe your:
    (10 Points) Work Plan. Applications should include work plans that: 
(a) Clearly describe the specific activities and tasks to be performed, 
the sequence in which the tasks are to be performed, noting areas of 
work which must be performed simultaneously, estimated completion 
dates, and the work and program deliverables to be completed within the 
grant period, including specific numbers of quantifiable end products 
and program improvements the applicant aims to deliver by the end of 
the award agreement period as a result of the work performed;
    (b) Provide national media market coverage, specific protected 
class focus, as well as focus on persons underserved (ethnic and racial 
minorities, especially those who are non-English speaking or who are 
not proficient in English); and
    (c) Describe the immediate benefits of the project and how the 
benefits will be measured. Applicants must describe the methods they 
will use to determine the effectiveness of their national marketing 
strategies.
    (d) Ensure that your application adheres to Performance Measures as 
outlined in Section IV(A)(2).
    (10 Points) Budget Form and Budget Information. A written budget 
narrative must accompany the proposed budget. The narrative (counted 
toward the 10 page limit) and supporting documentation (not counted 
toward the 10 page limit) must address the following for maximum 
points:
    (1) Cost estimates of salary levels, staff assignments, number of 
staff hours, and all other budget items are reasonable, allowable, and 
appropriate for the proposed activities;
    (2) The proposed program is cost effective in achieving its 
anticipated results, as well as in achieving significant impact; and
    (3) The proposed program is effective by explaining and attaching 
back-up documentation for each cost category. Generally, estimated 
costs for high-cost items or subcontractors/consultants should be 
supported by bids from at least three (3) sources. Where there are 
travel costs for subcontractors/consultants, you must show that local 
subcontractors/consultants are not available and that the combined 
travel costs (per diem rates should be consistent with Federal Travel 
Regulations) and rates and fees of the out-of-town subcontractors/
consultants do not exceed the rates and fees charged by local 
subcontractors and consultants. A breakdown of each cost category is 
listed in Section V(D) of this NOFA.
    In addition: (4) The proposed activities will be conducted in a 
manner (e.g., languages, formats, locations, distribution, use of 
majority and minority media) that will reach and benefit all members of 
the public, especially members of target groups identified in the 
individual program sections of this National NOFA;
    (5) How 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; 
and
    (6) The proposed Media Campaign and Fair Housing Awareness 
Components make available activities, training and meeting sites, and 
information services and materials in places and formats that are 
accessible to all persons including persons with disabilities.

Rating Factor 4: Leveraging Resources (10 Points Maximum)

    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 amount of non-FHIP resources you have identified and how firm 
the commitment is for those resources. HUD encourages you to secure 
resources from sources other than what is requested from this program. 
Resources may include funding or in-kind

[[Page 14020]]

contributions, such as workspace, donated media announcements, or 
equipment allocated to the purposes of your proposal. Resources may be 
provided by governmental entities (including other HUD programs) public 
or private non-profit organizations, for profit private organizations, 
or other entities willing to work with you in accordance with the 
proposed FHIP activities. If your project will not be supported by non-
FHIP resources, then you will not receive any points under this factor. 
Points will be assigned based on the following scale:
    2 points will be awarded if your project will be supported by non-
FHIP resources, but those funds are less than 5% of the project's total 
costs are from non-FHIP resources.
    4 points will be awarded if at least 5% and less than 10% of the 
project's total costs are from non-FHIP resources.
    6 points will be awarded if at least 10% and less than 20% of the 
project's total costs are from non-FHIP resources.
    8 points will be awarded if at least 20% and less than 30% of the 
project's total costs are from non-FHIP resources.
    10 points will be awarded if more than 30% of the project's total 
costs are from non-FHIP resources. You must establish leveraging of 
resources by providing letters of firm commitment from the 
organizations and/or individuals committing resources to the project. 
Each letter of firm commitment must: (i) Identify the organizations 
and/or individuals committing resources to the project; (ii) identify 
the sources and amounts of the leveraged resources (the total FHIP and 
non-FHIP amounts must match those in your proposed budget submitted 
under Factor 3), and (iii) describe how these resources will be used as 
part of your SOW. The letter must be signed by the individual or 
organization official legally able to make commitments for the 
organization. If the resources are in-kind or donated goods, the 
commitment letter must indicate the dollar value of these resources. No 
points will be awarded for general letters of support endorsing the 
project from organizations and/or individuals (including elected 
officials) in your project area(s).

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(10 Points)

    This factor addresses the extent to which you develop 
interrelationships, provide increase independence and empowerment, and 
generate organizational and project self-sufficiency.
    1. Coordination--You should address the extent to which your 
program provides materials, training or services and implements a 
coordinated process of addressing the national need by using HUD 
funding resources and other available resources. You must also describe 
how they plan to use their affiliated branches, or partner with other 
organizations, to distribute materials or services developed under this 
National NOFA for use at the local level. In evaluating this factor, 
HUD will consider:
    (a) The extent to which you have developed interrelationships to 
help build nation-wide efforts that coordinates the resources of 
multiple applicants and programs. HUD encourages multiple entities to 
join together and pool all available resources in a common, coordinated 
effort to obtain national geographic coverage. Describe in your 
proposal how your project activities will be coordinated with other 
organizations and linked with: (i) Other on-going HUD-funded program 
activities; (ii) Other on-going national, Federal, State, local or 
privately funded activities.
    (b) The extent to which your application addresses outreach 
activities to promote awareness of project activities. This includes: 
(i) a discussion of how your methods or approaches will ensure that 
project activities and materials are distributed nationally, 
regionally, and locally to groups and organizations, (ii) 
identification of such groups and organizations in your project area, 
and (iii) an explanation of how your project will promote national 
coordination with various groups or organizations. At a minimum, your 
application should discuss procedures you will use to promote awareness 
of the services provided by your proposal.
    2. Self-Sufficiency--You should demonstrate the extent to which 
your application develops solutions that result in increased 
independence and empowerment for those on a national level. Such 
increased independence can result from such benefits as reducing 
discrimination practices; increasing awareness of the Act; increasing 
homeownership; or eliminating predatory lending practices.
    3. Sustainability--You should demonstrate the extent to which your 
program can become financially self-sustaining thereby decreasing your 
dependence on Federal funding and relying more on state, local and 
private funding so your activities can be continued after your grant 
award period is completed.

(F) Applicant Notification and Award Procedures

    (1) Notification. No information about the review and award process 
will be available to you during the period of HUD evaluation, which 
begins on the closing date for applications under this NOFA and lasts 
approximately 90 days thereafter, except to advise you, in writing or 
by telephone, if HUD determines that your application is ineligible or 
has technical deficiencies which may be corrected as described in 
Section V of the General Section of the SuperNOFA and Section VII of 
this NOFA.
    (2) Negotiations. If you are selected, HUD will require you to 
participate in negotiations to determine the specific terms of your 
cooperative or grant agreement. HUD will follow the negotiation 
procedures described at Section III of the General Section of the 
SuperNOFA. The selection is conditional and does not become final until 
the negotiations between the applicant and the Department are 
successfully concluded and the grant or cooperative agreement is signed 
and executed. HUD will negotiate only with the person identified in the 
application as the Director of the organization or if specifically 
identified in the application, the Project Director. HUD will not 
negotiate with any third party (i.e, a subcontractor, etc.).
    (3) Funding Instrument. HUD expects to award a cost reimbursable or 
fixed-price cooperative or grant agreement to each applicant selected 
for award. Upon completion of negotiations, HUD reserves the right to 
use the funding instrument it determines is most appropriate.
    (4) Adjustments to Funding. As provided in Section III of the 
General Section of the SuperNOFA, HUD may approve an application for an 
amount lower than the amount requested, fund only portions of your 
application, withhold funds after approval, reallocate funds among 
activities and/or require that special conditions be added to your 
grant agreement, in accordance with 24 CFR 84.14, the requirements of 
this SuperNOFA, or where:
    (a) HUD determines the amount requested for one or more eligible 
activities is unreasonable or unnecessary;
    (b) An ineligible activity is proposed in an otherwise eligible 
project;
    (c) Insufficient amounts remain to fund the full amount requested 
in the application, and HUD determines that partial funding is a viable 
option;
    (d) The past record of key personnel warrants special conditions; 
or,

[[Page 14021]]

    (e) Training funds are not reserved for FHIP training.
    (5) Performance Sanctions. A grantee or subcontractor failing to 
comply with the requirements 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 FHIP, and denial of further participation in 
programs of HUD or any Federal agency.
    (6) Applicant Debriefing. Beginning not less than 30 days after the 
awards for assistance are announced in the Federal Register, and for 
not longer than 120 days, HUD will, upon receiving written request from 
the applicant, provide a debriefing to the requesting applicant. 
Materials provided during the debriefing will be the applicant's final 
scores for each rating factor, final evaluator comments for each rating 
factor, and the final assessment indicating the basis upon which 
assistance was provided or denied. Applicants requesting a debriefing 
must send a written request to Annette Corley, Public Trust Officer, 
U.S. Department of Housing and Urban Development, FHIP/FHAP Support 
Division, 451 7th Street SW, Room 5224, Washington, DC 20410. HUD will 
not release the names of applicants or their scores to third parties. 
Selections do not become final until final negotiations with HUD are 
successfully concluded.

VI. Application Submission Requirements

    In addition to the forms, certifications and assurances required of 
applicants to all HUD programs, which can be found in the General 
Section of the SuperNOFA, you must submit with each FHIP application, 
the forms, certifications and assurances described below and found at 
Appendix B.

In General

    When applying under any Initiative or Component you must submit the 
following:
    (A) Transmittal Letter. Your transmittal letter must identify: (1) 
The dollar amount requested, (2) the specific FHIP Initiative, or in 
the case of EOI, whether for the Regional/Local Community Based Program 
or the National Program, and the specific Component (General or 
Disability, Media Based or Fair Housing Awareness), for which you are 
applying, and (3) your preference for selection, if you are applying to 
more than one Initiative or Component (does not apply for FHOI).
    (B) Cover Page. Respond to Applicant's Preference for Award which 
identifies your rank order preference if submitting more than one 
application. Failure to submit the Cover Page will result in a 
correctable Technical Deficiency as outlined in Section V of the 
General Section of this NOFA.
    (C) Narrative Statement. Respond completely to the instructions 
under each of the five Factors for Award and include the related items, 
such as resumes, SOW, and budget. Failure to provide the required 
information in the appropriate Factor will result in a lower score for 
that Factor--for example, information in the Project Abstract, although 
useful for developing a project synopsis, will not be considered when 
evaluating applications. The narrative responses must not exceed 10 
pages per factor (required attachments are not counted); text must be 
double-spaced and pages numbered consecutively (starting with Factor 1 
through the end of Factor 5). Please use 12 typesize for your narrative 
responses.
    (D) Applicants must develop, maintain, and submit a written code of 
conduct as noted in the General Section.
    Listed below are requirements by Factor for the Regional/Local 
Community Based Programs:
Award Factor 1: Capacity of Applicant and Relevant Organizational 
Experience--Narrative, Performance Assessments/Evaluation of Past 
Projects if Applicable
    In addition:
    For PEI and FHOI Applicants:
    (1) Testing Experience. You must document your prior testing 
experience (see Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience),
    (2) Letter of Determination from IRS of your 501(c)(3) tax-exempt 
status, and
    (3) Statement of Eligibility.
Award Factor 2: Need/Distress/Extent of the Problem
    Narrative. Reference or submit data and studies that indicate the 
presence of housing discrimination, segregation and/or other indices of 
discrimination in the project area based upon race, color, religion, 
sex, national origin, familial status or disability, and explain why 
the project area is underserved and why the proposed organization is 
needed. Do not attach copies of reports, computer print-outs, etc. If 
you have tables or exhibits include them. Make sure they are referenced 
in the text. Attachments not mentioned in the text will not be reviewed 
necessarily.
Award Factor 3: Soundness of Approach--Narrative, Statement of Work, 
Budget Form(s), Budget Narrative
    You MUST submit a certification from an Independent Public 
Accountant or your cognizant government auditor on your financial 
management and audit information. Failure to submit this information 
will result in points being deducted from your application. In 
addition, you must describe the information you intend to collect and 
analyze, the type of complaints you anticipate referring to HUD for 
enforcement purposes, and describe the procedure you will implement for 
referring such complaints.
    In addition: Depending upon the Initiative or Component for which 
you are seeking funding, you must respond to the following points in 
your narrative responses:
    (a) For EOI Applicants, You must describe the elements you will use 
to develop the process for referring fair housing complaints to HUD.
    (b) For FHOI Applicants,
    (1) The sponsored organization must conduct all of these 
enforcement-related activities by the conclusion of year 3 of the 
grant: complaint intake, complaint investigation, testing for fair 
housing violations, and meritorious claims. The application must 
specify which activities will be conducted in year 1, year 2, and year 
3. Even though HUD has targeted for award projects that assist rural 
and immigrant populations, you must explain why the proposed fair 
housing enforcement organization is needed.
    (2) Performance Measures. You must address the following:
    (i) the sponsored organization's capacity to become a viable, fair 
housing enforcement organization that conducts fair housing related 
enforcement activities and leverages non-FHIP resources.
    (ii) that the sponsored organization will meet the required 
performance measures for sponsored organizations and how these measures 
will be achieved.
Award Factor 4: Leveraging Resources--Narrative. Letter(s) of Firm 
Commitment
Award Factor 5: Coordination, Self-Sufficiency and Sustainability--
Narrative
    No attachments are required.
    Listed below are the requirements by Factor for the EOI--National 
Program Components.

[[Page 14022]]

Award Factor 1: Capacity of Applicant and Relevant Organizational 
Experience--Narrative
    Performance Assessments/Evaluation of Past Projects if applicable.
Award Factor 2: Need/Distress/Extent of the Problem--Narrative
    Reference and submit data and studies that indicate the need for a 
centralized, coordinated fair housing media designed to educate the 
public about their fair housing rights. Do not attach copies of 
reports, computer print-outs, etc. If you have tables or exhibits 
include them. Make sure they are referenced in the text. Attachments 
not mentioned in the text will not be reviewed necessarily.
Award Factor 3: Soundness of Approach--Narrative
    SOW. Budget Form(s), Budget Narrative. You MUST submit a 
certification from an Independent Public Accountant or your cognizant 
government auditor on your financial management and audit information.
Award Factor 4: Leveraging Resources--Narrative
    Letter(s) of Firm Commitment.
Award Factor 5: Coordination, Self-Sufficiency and Sustainability--
Narrative
    No attachments are required.
    Audit Information--Unless you are a new Federal applicant, you must 
submit a certification from an Independent Public Accountant or your 
cognizant government auditor, stating that the financial management 
system you employ meets prescribed 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), Uniform Administrative Requirements for 
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) Uniform Administrative Requirements for 
Grants and Cooperative Agreements to State, Local and Federally-
Recognized Indian Tribal Governments. This information must contain the 
name and telephone number of the Independent Auditor, cognizant Federal 
auditor, or other audit agency, as applicable. Failure to submit this 
information will result in points being deducted from your application. 
This information must be provided before HUD will enter into a grant or 
cooperative agreement.

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    In accordance with 24 CFR 50.19(b)(3), (4), (9), (12), and (13) of 
HUD regulations, activities assisted under this program are 
categorically excluded from the requirements of the National 
Environmental Policy Act and are not subject to environmental review 
under related laws and authorities.

IX. Authority

    Section 561 of the Housing and Community Development Act of 1987, 
as amended, (42 U.S.C. 3616) established the Fair Housing Initiatives 
Program (FHIP)) and the implementing regulations are found at 24 CFR 
part 125.

APPENDIX A--FREQUENTLY ASKED QUESTIONS

    Q. If data, tables, exhibits, and studies are submitted with the 
application, will they be counted toward the 10 page limit 
requirement?
    A. Yes. Summarize the points you want to make in the 10 page 
narrative statement from the data tables, exhibits, and studies.
    Q. In previous years, FHIP applicants were not required to 
submit the Certification of Consistency with the Consolidated Plan. 
Is the Certification required this year?
    A. Yes.
    Q. Where can I find a copy of the Application Kit?
    A. There is no Application Kit for the FY2002 FHIP SuperNOFA. 
The NOFA clearly describes the requirements for completing a 
successful application and all forms and certifications needed to 
complete the application are included in the General and FHIP 
Sections of the SuperNOFA.
    Q. What are the maximum number of narrative pages that can be 
submitted for each Rating Factor?
    A. The maximum number is 10 pages per Rating Factor. This does 
not include any attachments that may be required under each factor 
(for example, the proposed statement of work and budget required 
under Factor 3: Soundness of Approach). The narrative pages must be 
double-spaced and you are required to use 12 typesize. Points will 
be deducted from your application if this criteria is not met.
    Q. The FHIP SuperNOFA refers to QFHOs and FHOs. What is the 
difference between them?
    A. These terms are defined in the FHIP regulations. Both 
organizations must be private, tax-exempt, charitable organizations 
that have engaged in enforcement-related activities. The amount of 
enforcement-related experience is an eligibility requirement for 
PEI, least one year for and FHOI, at least two years. (See 24 CFR 
125.103 for QFHO and 24 CFR 125.401(b)(2) for FHO.)
    Applicants to PEI and FHOI are required to complete the 
Statement of Eligibility--where they self-identify as a QFHO or an 
FHO and provide information, including dates of enforcement-related 
activities. The information you provide should enable HUD to 
determine if your organization meets at least the one or two year 
enforcement-related experience requirement.
    Q. May an applicant subcontract out a percentage of its 
activities to subcontactors or consultants, if it is selected for a 
FHIP award?
    A. Yes. However, when the expenditures to a particular 
subcontractor, partner, subgrantee, or consultant exceed 10% of the 
grant amount, an itemized budget is required.
    Q. Is an organization ``engaged in testing for fair housing 
violations'' if it hires an organization to subcontractor or 
consultant in conducting its testing program?
    A. Yes, so long as the applicant analyzes the test results, and 
undertakes some oversight or selection of testing operations.
    Q. Does the SuperNOFA identify what makes an application 
ineligible?
    A. Yes. See the eligibility requirements for each Initiative and 
Section IV(B) of the FHIP NOFA, and the Threshold Criteria in 
Section V(A).
    Q. Can an applicant propose to do an Analysis of Impediments 
(AI)?
    A. No. The applicant can identify activities to be carved out of 
the AI but not to do planning to develop AI.
    Q. Are there major differences between this year's SuperNOFA and 
last year's?
    A. Yes, those differences are explained in Section III of the 
FHIP NOFA.
    Q. At what point may a FHOI ``sponsored organization'' apply 
under any FHIP Initiative?
    A. A sponsored organization is eligible after three (3) years to 
apply for funds under EOI and, depending upon its record of 
conducting enforcement-related activities, may be eligible to apply 
for funds under PEI.
    Q. What are maximum awards?
    A. Maximum award is the maximum amount that will be awarded 
under the Initiative for which you are applying. If you request an 
amount over this maximum amount, your application will be declared 
ineligible.
    Q. Where do you send completed applications?
    A. All completed applications must be received by the FHIP/FHAP 
Support Division Office in Washington, DC. These applications should 
be mailed or sent by an express service to the address stated in the 
SuperNOFA under the Section Address for Submitting Applications.
    Q. What is the best method of knowing that the appropriate 
person has received my application? Should I follow up with a call?
    A. Include with your completed application a complete copy of 
the Acknowledgment of Application Receipt. Be sure to include your 
correct mailing address and the person to whom the Acknowledgment 
should be sent. HUD will not acknowledge the receipt of applications 
over the telephone (see General Section for return receipt 
requirements).
    Q. What is the website address?
    A. Http//www.hud.gov/grants

[[Page 14023]]

    Q. What is the due date?
    A. The due date is outlined in this NOFA under Section I, 
Application Due Date.
    Q. If I have a technical question, can I call HUD?
    A. Yes, technical questions should be directed to Lauretta A. 
Dixon, Myron P. Newry, or Denise L. Brooks of the [FHIP/FHAP Support 
Division at (202) 708-0800 (this is not a toll-free number).] 
Persons with hearing or speech impairments may call 1-800-290-1617 
(this is a toll-free number). Technical assistance does not extend 
to helping you to write your individual application, but to clarify 
general application and program requirements.
    Q. What is meant by geographic diversity?
    A. See comments above in Section V.
    Q. As an FHOI applicant, are education and outreach expenses 
required to come out of my 15% administrative costs?
    A. No. The education and outreach expenses can be accounted for 
in the budget of the organization being established or enhanced.
BILLING CODE 4210-32-P

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[[Page 14053]]



FUNDING AVAILABILITY FOR THE HOUSING COUNSELING PROGRAM

PROGRAM OVERVIEW

    Program Purpose. This program supports the delivery of a wide 
variety of housing counseling services to homebuyers, homeowners, low- 
to moderate-income renters, and the homeless. The primary objectives of 
the program are to expand homeownership opportunities and improve 
access to affordable housing. Counselors provide guidance and advice to 
help families and individuals improve their housing conditions and meet 
the responsibilities of tenancy and homeownership.
    Agencies funded through this program may also provide Home Equity 
Conversion Mortgage (HECM) counseling to elderly homeowners who are 
looking to convert equity in their homes into income that can be used 
to pay for home improvements, medical costs, living expenses, or other 
expenses.
    Available Funds. Approximately $18.25 million.
    Eligible Applicants. (1) HUD-approved local housing counseling 
agencies (LHCAs); (2) HUD-approved national and regional 
intermediaries; and (3) State housing finance agencies (SHFAs).
    Application Deadline. May 17, 2002.
    Match. No specific ratio required. However, in order to receive 
points under rating factor 4, applicants are required to demonstrate 
the commitment of other private and public sources of funding to 
supplement HUD funding for the applicant's counseling program. HUD does 
not intend for its housing counseling grants to cover all costs 
incurred by an applicant.

ADDITIONAL INFORMATION

I. Application Submission, Further Information and Technical 
Assistance

    Application Submission. In addition to reviewing the applicable 
instructions below, all applicants should consult the General Section 
of this SuperNOFA and review the new security procedures that affect 
application submission.
    Local Housing Counseling Agencies (LHCAs) and State Housing Finance 
Agencies (SHFAs) applying under Categories 1 and 3 must submit an 
original and two copies of a complete application to the Homeownership 
Center (HOC) whose jurisdiction includes the geographic area in which 
the applicant is proposing to work (see Appendix B.) Applications 
submitted to a HOC must be mailed via the United States Postal Service. 
HUD will not accept hand delivered applications. Your application will 
be considered timely if it is postmarked on or before 12 midnight on 
May 17, 2002 and received by the designated HUD office on or within 
fifteen (15) days of the application due date. All applicants must 
obtain and save a Certificate of Mailing showing the date when you 
submit your application to the United States Postal Service (USPS). The 
Certificate of Mailing will be your documentary evidence that your 
application was filed on time. Applications should be sent to the 
attention of the Program Support Division Director, and the envelope 
should be clearly marked ``FY 2002 Housing Counseling Grant 
Application.''
    National and regional housing counseling intermediaries applying 
under Category 2 must submit an original and two copies of a complete 
application to Director, Program Support Division, Room 9166, Office of 
Single Family Housing, HUD Headquarters, 451 Seventh Street, SW., 
Washington, DC 20410. HUD will not accept hand delivered applications. 
Applications may be mailed using the United States Postal Service 
(USPS) or may be shipped via the following delivery services: United 
Parcel Service (UPS), FedEx, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without escort. You must, 
therefore, use one of the four carriers listed above. The envelope 
should be clearly marked, ``FY 2002 Housing Counseling Intermediary 
Application.''
    Mailed Applications. Your application will be considered timely if 
it is postmarked on or before 12 midnight on May 17, 2002 and received 
by the designated HUD office on or within fifteen (15) days of the 
application due date. All applicants must obtain and save a Certificate 
of Mailing showing the date when you submit your application to the 
United States Postal Service (USPS). The Certificate of Mailing will be 
your documentary evidence that your application was filed on time.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent to HUD Headquarters by overnight delivery or 
express mail, your application will be considered on time if it is 
received before or on May 17, 2002, or when you submit documentary 
evidence that your application was placed in transit with the overnight 
delivery/express mail service by no later than the application due 
date. Again, you must use one of the four carrier services listed 
above. Delivery by these services must be made during HUD Headquarters' 
business hours, between 8:30 AM and 5:30 PM Eastern Time, Monday to 
Friday. If these companies do not service your area, you should submit 
your application via the United States Postal Service.
    Grant Application--Colonias. Applicants applying under Category 4 
must submit an original and two copies of a complete application to the 
Santa Ana HOC (see Appendix B.) The Santa Ana HOC will be evaluating 
all applications submitted from across the country. Applications should 
be sent to the attention of the Program Support Division Director, and 
the envelope should be clearly marked ``FY 2002 Housing Counseling--
Colonias Application''. Applications submitted to a HOC must be mailed 
via the United States Postal Service. HUD will not accept hand 
delivered applications. Your application will be considered timely if 
it is postmarked on or before 12 midnight on May 17, 2002 and received 
by the Santa Ana HOC on or within fifteen (15) days of the application 
due date. All applicants must obtain and save a Certificate of Mailing 
showing the date when you submit your application to the United States 
Postal Service (USPS). The Certificate of Mailing will be your 
documentary evidence that your application was filed on time.
    Application Kits. There is no application kit. Specific application 
submission requirements are outlined in Section V.
    Further Information. Local housing counseling agencies and State 
housing finance agencies should call the HOC serving their area (See 
Appendix B for the contact information for the HOCs). National and 
regional intermediaries should contact HUD Headquarters, Program 
Support Division at (202) 708-0317 (this is not a toll-free number). 
Persons with hearing or speech impairments may access any of these 
numbers via TTY by calling the toll-free Federal Information Relay 
Service at 1-800-877-8339. These are not toll free telephone numbers.
    Satellite Broadcast. HUD will hold an informational broadcast via 
satellite for potential applicants to learn more about the program and 
the application. For more information about the date and time of the 
broadcast, consult the HUD web site at http://www.hud.gov/grants.

II. Amount Allocated

    Under this SuperNOFA, approximately $18.25 million of the $20 
million appropriated in FY 2002 is made available for eligible 
applicants, including $250,000 for counseling services that 
specifically target Colonias.

[[Page 14054]]

An allocation of up to $1 million of the $20 million total in program 
funding has been set aside for housing counseling support which may 
include continuation of the Housing Counseling Clearinghouse, tuition 
assistance for housing counselors, and/or other HUD counseling 
initiatives and activities. An allocation of up to $750,000 of the $20 
million appropriated is available for the Home Equity Conversion 
Mortgage (HECM) Program, as provided in section 255(k) of the National 
Housing Act (12 U.S.C. 1715z-20).

III. Grant Categories/Eligible Applicants

    Grant Categories--Under the Housing Counseling Program, HUD awards 
grants to qualified public or private nonprofit organizations to 
provide housing counseling services through four grant categories: (1) 
Local Housing Counseling Agencies (LHCA); (2) National and Regional 
Intermediaries; (3) State Housing Finance Agencies (SHFA); and (4) 
Agencies Serving Colonias.
BILLING CODE 4210-32-P

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    Eligibility--HUD-approved LHCAs, HUD-approved national or regional 
intermediaries, and SHFAs are eligible for funding under Category 4, 
Colonias, as described below. Applicants applying under Category 4 may 
also apply under

[[Page 14056]]

one of the other three categories, as described below. A separate 
application must be submitted for Category 4, in addition to an 
application for funding under any other category. See Section I, 
`Application Submission,' above for details on where to submit 
applications.
    HUD-approved LHCAs may only apply for and receive grants under 
Categories 1 and/or 4, or Category 4 and/or one sub-grant from an 
intermediary under Category 2 or 3. HUD-approved LHCAs that apply under 
Category 1 are prohibited from also applying for a subgrant from an 
intermediary under Category 2 or 3. LHCAs that are not HUD-approved, 
but are affiliates or branches of SHFAs or national or regional 
intermediaries, may apply for and receive only one sub-grant from an 
intermediary under Category 2 or 3, but not both, and/or a sub-grant 
from an intermediary under category 4, Colonias. They are not, however, 
eligible to apply directly under Category 4.
    HUD-approved national and regional intermediaries may only apply 
for grants under Categories 2 and/or 4.
    SHFAs may only apply for grants under Categories 3 and/or 4.
    Category 1--Local Housing Counseling Agencies (LHCAs). 
Approximately $ 6.6 million is available from HUD to directly fund HUD-
approved LHCAs.
    Eligible applicants include private and public nonprofit 
organizations that secure HUD-approval as of the publication date of 
this SuperNOFA, and retain such approval through the term of any grant 
awarded. For information on securing HUD-approval as a LHCA, contact 
the HOC within whose jurisdiction you are located (see Appendix B).
    Award: No individual LHCA may be awarded more than $100,000. HUD 
anticipates that the average award will be approximately $18,500.
    Funding allocation: Funding is allocated to each HOC jurisdiction 
by a formula that reflects the increased emphasis on the expansion of 
homeownership opportunities for first-time homebuyers and HUD's intent 
to ensure appropriate geographical distribution of program funds.
    Allocations for use in local agency programs by HOC are as follows:

------------------------------------------------------------------------
                                                              Funding
                           HOC                              allocation
------------------------------------------------------------------------
Philadelphia HOC........................................      $1,861,698
Atlanta HOC.............................................       1,924,468
Denver HOC..............................................       1,469,281
Santa Ana...............................................       1,344,553
                                                         ---------------
  Total.................................................    $6.6 million
------------------------------------------------------------------------

    Category 2--National and Regional Intermediaries. Approximately 
$10.4 million is available from HUD to directly fund HUD-approved 
national and regional intermediaries.
    Eligible applicants include private and public nonprofit 
organizations that secure HUD-approval as national or regional 
intermediaries as of the publication date of this SuperNOFA, and retain 
such approval through the term of any grant awarded. For information on 
securing HUD approval as an intermediary, contact the HUD Headquarters 
Program Support Division at (202) 708-0317.
    Intermediaries provide sub-grants to affiliates. Eligible sub-
grantees are not required to be HUD-approved, although HUD-approved 
LHCAs may apply to an intermediary as a sub-grantee. Intermediaries 
that award sub-grants to affiliates that are not HUD-approved must 
assure that said affiliates meet or exceed the standards, as specified 
in paragraph 2-1 of HUD Handbook 7610.1, Rev-4, CHG-1, for HUD-approved 
LHCAs. To be eligible for a sub-grant, affiliates must certify in the 
sub-grant agreement that they have not applied for or received a grant 
under Category 1, or a sub-grant from another intermediary under 
Category 2, or a sub-grant from a SHFA under Category 3.
    Awards for HUD-approved national and regional intermediaries may 
not exceed $1.5 million and $500,000, respectively.
    Category 3--State Housing Finance Agencies (SHFA). Approximately $1 
million is available to fund SHFAs that provide housing counseling 
services directly or serve as intermediaries to affiliates who offer 
housing counseling services.
    Eligible applicants are entities that satisfy the definition in 24 
CFR 266.5 of a ``housing finance agency.'' SHFAs and eligible sub-
grantees/affiliates do not need HUD-approval in order to receive these 
funds. HUD-approved LHCAs may apply to a SHFA as a sub-grantee. SHFAs 
that award sub-grants to affiliates that are not HUD-approved must 
assure that said affiliates meet or exceed the standards, as specified 
in paragraph 2-1 of HUD Handbook 7610.1, REV-4, CHG-1, for HUD-approved 
LHCAs. To be eligible for a sub-grant, affiliates must certify in the 
sub-grant agreement that they have not applied for or received a grant 
under Category 1, or a sub-grant from a HUD-approved intermediary under 
Category 2, or a sub-grant from another SHFA.
    Award: There is no cap on the award amount that a SHFA, or its 
affiliates, may receive.
    Funding Allocation: The amount of funding available to each of the 
four HUD Homeownership Center jurisdictions is as follows:

------------------------------------------------------------------------
                                                                Funding
                             HOC                              allocation
------------------------------------------------------------------------
Atlanta, GA.................................................    $254,285
Denver, CO..................................................     254,285
Philadelphia, PA............................................     267,145
Santa Ana, CA...............................................     224,285
                                                             -----------
  Total.....................................................   1,000,000
------------------------------------------------------------------------

    Category 4--Colonias. Approximately $250,000 is available for 
housing counseling services that specifically target Colonias.
    Eligible applicants include LHCAs and national or regional 
intermediaries that secure HUD-approval as of the date of the SuperNOFA 
publication, and retain such approval through the term of any grant 
awarded. SHFAs are also eligible.
    Intermediaries provide sub-grants to affiliates. Eligible sub-
grantees are not required to be HUD-approved, although HUD-approved 
LHCAs may apply to an intermediary as a sub-grantee. Intermediaries 
that award sub-grants to affiliates that are not HUD-approved must 
assure that said affiliates meet or exceed the standards, as specified 
in paragraph 2-1 of HUD Handbook 7610.1, REV-4, CHG-1, for HUD-approved 
LHCAs.
    Award: There is no cap on the award amount.

IV. Eligible Activities

    (A) Grantees or sub-grantees directly providing housing counseling 
services under Categories 1 through 4 may use their HUD housing 
counseling funds for one or more of the following eligible activities:
    (1) Pre-Occupancy Counseling. This includes the following types of 
one-on-one counseling: pre-purchase, pre-rental, search assistance/
mobility, fair housing, budgeting for mortgage or rent payments, money 
management, and housing care and maintenance. This also may include 
guidance on how to apply for housing assistance, how to identify and 
avoid predatory lending practices, as well as referrals to community or 
homeless services.
    (2) Homebuyer Education Programs. These programs are housing 
related education programs in which educational materials are used in 
training sessions for multiple participants, including HUD's Homebuyer 
Education and Learning Program (HELP). For a typical homebuyer 
education program, participants complete eight to twelve

[[Page 14057]]

course hours. Agencies that provide this service must also offer 
individual counseling to complement group sessions.
    (3) Post-Purchase/Mortgage Default and Rent Delinquency Counseling. 
This includes counseling on how to: restructure debt, obtain 
recertification for rent subsidy, establish reinstatement plans, seek 
loan forbearance, and manage household finances. This counseling can 
also include helping victims of predatory lending, educating clients on 
renter's and landlord's rights, explaining the eviction process, 
providing referrals to other sources, and assisting clients with 
locating alternative housing or pursuing loss mitigation strategies.
    (4) Post-Purchase/Post-Occupancy Counseling. This includes 
education programs and counseling activities on property maintenance, 
personal money management, and relations with lenders and landlords.
    (5) Home Equity Conversion Mortgage (HECM) Counseling. HECM 
counseling assists clients who are 62 years or older with the 
opportunity to convert the equity in their homes into income to pay 
living, medical or other expenses.
    (6) Home Improvement and Rehabilitation Counseling. This counseling 
includes educating the client about: their loan and grant options, the 
loan and/or grant application processes, what housing codes and housing 
enforcement procedures apply for the intended activity, how to specify 
and bid construction work, how to enter into construction contracts, 
and how to manage construction contracts, including actions to address 
the non-performance of contractors.
    (7) Displacement and Relocation Counseling. This counseling 
includes helping clients understand their rights when faced with 
displacement, explaining the responsibility of the entity causing 
displacement, assisting clients with understanding eviction 
proceedings, providing assistance with locating alternate housing, and 
referring clients to homeless services.
    (8) Marketing and Outreach Initiatives. This includes providing 
general information about housing opportunities, conducting 
informational campaigns, and raising awareness about critical housing 
topics, such as predatory lending or fair housing issues.

    Note: For each of the eight general activities you propose, you 
must be prepared to meet the needs of all individuals requesting 
services, including the disabled, regardless of the complexity of 
the services involved.

    (B) Intermediaries and SHFAs can directly provide the housing 
counseling services described above in Section A, or distribute and 
administer grant funds and provide technical assistance and other 
services to affiliates, who are eligible to undertake any or all of the 
eligible housing counseling activities outlined above.
    Intermediaries and SHFAs have wide discretion to decide how to 
allocate their HUD Housing counseling and leveraged funding among their 
affiliates, with the understanding that a written record must be kept 
documenting and justifying funding decisions. This record must be made 
available to affiliates and to HUD. Intermediaries and SHFAs must also 
execute sub-grant agreements with their affiliates and branches that 
clearly delineate the mutual responsibilities for program management, 
including appropriate time frames for reporting results to HUD.

V. Application Submission Requirements

    All applicants must meet the requirements listed in Section II of 
the General Section of the SuperNOFA. Because applications will be 
handled by various staff members, applications must be bound or secured 
in a binder, tabbed, and organized as instructed in the General Section 
of this SuperNOFA, and materials must be submitted in the order in 
which they appear in this NOFA. Use the checklist below to organize 
your application.
    (A) All applicants. Unless indicated below, all applicants must 
submit the following:
    (1) The standard forms, certifications, and assurances listed in 
Section II(H) of the General Section of the SuperNOFA (collectively, 
referred to as the ``standard forms'').
    (2) HUD-approval. Each applicant is required to submit evidence of 
HUD-approval as a housing counseling agency, unless the applicant is a 
SHFA that satisfies the definition of a ``housing finance agency'' in 
24 CFR 266.5.
    (3) Form HUD-9902, Housing Counseling Agency Fiscal Year Activity 
Report, for fiscal year October 1, 2000 through September 30, 2001. If 
you did not participate in HUD's Housing Counseling Program during 
October 1, 2000 through September 30, 2001, this report should be 
completed to reflect your counseling workload during that period. A 
copy of this form is included in Appendix A of this SuperNOFA.
    (4) The Congressional District(s), including the names of the 
current Senators and Representatives, in which your proposed activities 
are to occur.
    (5) Narrative statements addressing the following five Rating 
Factors. Responses to the rating factors should provide HUD with 
detailed quantitative and qualitative information and relevant examples 
regarding the housing counseling work of your organization. For 
applicants applying under Category 4, Colonias, narrative statements 
must address how you will meet the needs of the Colonias you target.
    Please be as specific and direct as possible. Responses to each 
factor should be limited to 10 double-spaced, single-sided pages. 
However, if you feel you need to include more information to make your 
case, you should feel free to do so.

Rating Factor 1: Capacity--Readiness and Effectiveness (30 Points)

    This factor addresses the readiness and ability of an applicant to 
immediately begin the proposed work program, as well as the potential 
for an applicant to cost-effectively and successfully implement the 
proposed activities indicated under rating factor 3. In rating this 
factor, HUD will consider the degree to which the applicant, and, if 
applicable, affiliates:
    (1) (10 points) Has sufficient personnel with the relevant 
knowledge and experience to implement the proposed activities in a 
timely and effective fashion. Experience is relevant if it corresponds 
directly to projects of a similar scale and purpose. Please submit:

--Names and titles of employees, including subcontractors and 
consultants, allocated to each proposed activity, as well as the 
corresponding staff hours for each task. Clerical staff should not be 
listed.
--Descriptions of each employee's, subcontractor's, or consultant's 
relevant professional background and experience related to the tasks 
they are to perform. Individual descriptions should be limited to one 
page.

    (2) (20 points) Provide quality services in a cost-effective 
manner. Provide an overview, and submit any supporting data/evidence, 
of your organization's (and, if applicable, your affiliate 
organizations'') prior fiscal year performance. At a minimum, responses 
should:
--Describe your prior fiscal year's counseling results, as they relate 
to your last year's goals. Include total number of clients served, the 
major types of counseling conducted, the outcomes for clients as a 
result of the counseling.

[[Page 14058]]

--Identify all of the sources and amounts of funds for counseling in 
the previous fiscal year.
--Identify specific uses of counseling funds in the previous year, such 
as staff costs, and the total costs for each use. Justify your expenses 
from the previous fiscal year to show that they were reasonable, 
allowable, and appropriate for the counseling activities identified 
above.

Characterize your performance in the past fiscal year at meeting the 
grant requirements for your housing counseling activities. Specifically 
indicate your performance at satisfying reporting requirements (such as 
Form HUD 9902)--indicate timeliness and completeness of your past 
reporting. Also indicate whether or not you fully expended grant awards 
for the past fiscal year. If not fully expended, provide an explanation 
as to why the funds were not fully expended and the steps you have 
taken to ensure that future funding will be expended in a timely 
manner.
    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: Need/Extent of the Problem (15 Points)

    This factor addresses the extent to which there is a need for 
funding your proposed activities described under rating factor 3.
    (1) (10 points) Applicants must provide recent economic and 
demographic data, and any other evidence, that demonstrates need 
relevant to the target area and your proposed activities. Applicants 
that fail to identify objective data will receive no points for this 
factor. Responses to this factor must reference data sources that 
demonstrate the level of need for your proposed program of activities. 
To the extent that the community you serve has documented need in its 
Consolidated Plan, Analysis of Impediments to Fair Housing Choice (AI), 
or other planning documents, reference these in your response. Economic 
and demographic data must include persons with disabilities located in 
the target area. The U.S. Census Bureau, for example, maintains 
disability data by state, county and metropolitan statistical area 
(MSA) at the following website address: http:www.census.gov/hhes/www/disability.html
    (2) (5 points) Listed below are 6 FHA priorities that complement 
the Departmental priorities listed in Section VI of the General Section 
of the SuperNOFA. Please indicate which, if any, of the FHA or 
Departmental priorities your counseling activities will address and 
provide the data, and source of data, that supports the need in your 
target community for addressing this priority. You will receive one 
point for each FHA or Departmental priority you adequately address in 
your application, up to a total of 5 points.

--Retaining homeownership.
--Serving areas with concentrations of high default and foreclosure 
rates.
--Predatory lending.
--HECM.
--Fair housing.
--Serving areas underserved by financial institutions.

Rating Factor 3: Scope of Housing Counseling Services/Soundness of 
Approach (40 Points)

    This factor addresses the quality and effectiveness of your 
proposed housing counseling work plan, which describes all housing 
counseling activities to be performed. Work plans should include:
    (1) (10 points) Your goals and objectives, geographic coverage / 
target areas, and the proposed housing counseling services and / or 
intermediary activities you propose to undertake. There must be a clear 
relationship between the proposed activities, community needs as 
outlined in Rating Factor 2, and the purposes of the proposed program 
for an applicant to receive points for this factor.
    (2) (15 points) Benefits to be achieved, and indicators by which to 
measure performance, including the number of clients who will be 
served. If the number of clients you propose to serve exceeds by 25% or 
more the number of clients you served in your last reporting year 
(October 1, 2000 through September 30, 2001), you must demonstrate that 
you have the financial and human resources to adequately serve the 
additional clients.
    (3) (15 points) Costs, time and resources associated with providing 
the proposed activities. Describe the level of effort you anticipate is 
required to meet the needs of your clients. Applicants should carefully 
document the variety and complexity of the services to be provided. 
Provide the hourly-labor rate and counseling time per client for 
proposed tasks to demonstrate the cost-effectiveness of the specific 
services provided.

Rating Factor 4: Leveraging Resources (10 Points)

    HUD housing counseling funding is not intended to fully fund either 
an organization's housing counseling program, or that of its local 
affiliates. All organizations that use housing counseling grant funds 
and their local affiliates are expected to seek other private and 
public sources of funding for housing counseling to supplement HUD 
funding. Any agency that does not have other resources available will 
receive no points for this factor.
    Applicants will be evaluated based on their ability to provide 
evidence that they have obtained additional resources for their housing 
counseling activities, including: direct financial assistance; in-kind 
contributions, such as services, equipment, office space; labor; etc. 
Resources may be provided by governmental entities, public or private 
nonprofit organizations, for-profit private organizations, or other 
entities committed to providing you assistance.
    In order to obtain points under this factor, the applicant must 
demonstrate leveraging by providing letters from entities and/or 
individuals committing resources to the project that include:

--The identity of the entity or individual committing resources to the 
project.
--Dollar value of the resources to be committed.
--Types of resources to be committed.
--Time period for which the resources will be provided. Commitment 
letter must demonstrate that funds will be available during the grant 
period pertaining to this NOFA, October 1, 2002 `` September 31, 2003.
--Responsibilities as they relate to your proposed program.
--The signature of an official of the entity legally able to make 
commitments on behalf of the entity.
--No conditions that would nullify the commitment. (It is, however, 
acceptable for the commitment to be conditional on HUD funding.)

    Points for this factor will be awarded based on the satisfactory 
provision of evidence of leveraging and financial sustainability, as 
described above, and the ratio of requested HUD housing counseling 
funds to total budget, as follows:

------------------------------------------------------------------------
                          Percentage                             Points
------------------------------------------------------------------------
1-10..........................................................        10
11-15.........................................................         9
16-20.........................................................         8
21-25.........................................................         7
26-30.........................................................         6
31-35.........................................................         5
36-40.........................................................         4
41-45.........................................................         3
46-50.........................................................         2
51-99.........................................................         1
------------------------------------------------------------------------


[[Page 14059]]

Rating Factor 5: Coordination, Self-Sufficiency, and Sustainability 
(5 Points)

    This factor addresses the extent to which the applicant is working 
towards addressing identified needs in a holistic and comprehensive 
manner through linkages with other organizations / activities in the 
community to help clients move to self-sufficiency. Sustainability 
refers to the potential for an applicant organization to become 
financially self-sustaining, and the potential of a specific project or 
activity to be sustained into the future absent of any HUD funding. In 
evaluating this factor, HUD will consider the extent to which 
applicants can demonstrate they have and will:
    (1) Coordinate proposed activities with those of other groups or 
organizations, including, but not limited to, HUD funded housing 
counseling agencies, to coordinate the use of housing counseling and 
support services in your target area. Any written agreements or 
memoranda of understanding in place should be described and copies 
provided. The activities undertaken with other entities must be 
described in detail.
    (2) Share information on solutions and outcomes with others. Any 
written agreements or memoranda of understanding in place should be 
described and copies provided.
    (3) Actively participate in your community's Consolidated Planning 
process and the Analysis of Impediments to Fair Housing Choice (AI).
    (4) Develop linkages to coordinate comprehensive solutions through 
meetings, information networks, planning processes or other mechanisms 
with other:
    (a) HUD-funded projects/activities outside the scope of those 
covered by the target area's Consolidated Plan; and
    (b) Federal, State or locally funded activities, including those 
proposed or on-going in the target area.
    (B) National and Regional Intermediaries and State Housing Finance 
Agencies must provide the following:
    (1) Identification of which affiliates will receive funding through 
this grant award. Applicants unable to identify which affiliates will 
receive sub-grants must explain why this is the case and what process 
will be used to select grantees. Pursuant to the applicable regulations 
at 24 CFR 84.82(d)(3)(iii) and 85.30(d)(4), grantees must receive HUD's 
written approval for sub-grants.
    (2) Description of the activities of those affiliates, explicitly 
stating the types of services to be offered.
    (3) Brief description of your relationship with your affiliates 
(i.e. membership organization, field or branch office, subsidiary 
organization, etc.).
    (4) Brief description of the process that will be used to determine 
affiliate funding levels, distribute funds, and monitor affiliate 
performance, including compliance with the civil rights requirements 
outlined in the General Section of the SuperNOFA.
    (C) National and Regional Intermediaries must provide a list of, 
and certify to, the states in which they maintain offices, including 
the national office and all affiliates or branch offices.
    (D) State Housing Finance Agencies must submit evidence of their 
statutory authority to operate as a SHFA, and apply for, and use, any 
funds awarded.

VI. Application Selection Process/Funding Policies

    (A) General. Applications will be evaluated competitively, and 
ranked against all other applicants that applied in the same funding 
category. For Category 2, applications by national and regional 
intermediaries will be rated and ranked in HUD Headquarters. For 
Category 1, LHCAs, and Category 3, SHFAs, applications will be rated 
and ranked by the relevant HOC. The Santa Ana HOC will rate and rank 
all applications under Category 4, Colonias. The funding formula 
described below will be used to calculate award amounts.
    (B) Factors For Award Used to Rate and Rank Applications. The 
Factors for Award, and maximum points for each factor, are outlined 
above in Section V (A)(5). These factors will be used to evaluate 
applications and the maximum number of points for each applicant is 
100.
    (C) Applicant Debriefing. Beginning not less than 30 days after the 
awards for assistance are announced in the Federal Register, and for 
not less than 120 days, HUD will, upon receiving written requests from 
the applicant, provide a debriefing to the requesting applicant. 
Materials provided during a briefing will be the applicant's final 
scores for each rating factor, final evaluator comments for each rating 
factor, and the final assessment indicating the basis upon which 
assistance was provided or denied. Applicants requesting to be 
debriefed must send a written request to the person listed as the 
Contact for further information and technical assistance in Section I 
above.
    (D) Funding Methodology. Only applicants who receive at least 70 
points out of the 100 will be considered eligible for funding. All 
eligible applicants will then be funded in proportion to the score they 
receive.
    This year's formula will work as follows for each category: every 
agency that receives a score of 70 points will receive a base award of 
$5,000, then will receive additional funds for every point above the 70 
point cutoff. The total number of agencies with scores above 70 will be 
multiplied by $5,000 and that amount will be subtracted from the total 
available under the category, or in the cases of Categories 1 and 3, to 
the HOC. Then, the remaining balance will be divided by the total 
number of points each agency scores that are above the 70 point cutoff. 
The division will result in a dollar value for each point. The number 
of points that each agency scores above the 70 point base will be 
multiplied by that dollar value. The result of that multiplication will 
be added to the $5,000 base for the total award amount. For example, an 
agency with a score of 85 would receive $5,000 plus the dollar value 
for each point times 15 (15 being the number of points above the 70 
point cutoff).
    (E) Grant Period. Funds awarded shall be available for a period of 
twelve (12) calendar months. Applicants selected for award must receive 
prior HUD approval to incur costs prior to the date of the grant 
agreement. Grantees may incur pre-award costs ninety (90) calendar days 
prior to the effective date of the grant agreement All pre-award costs 
are incurred at the applicant's risk and HUD has no obligation to 
reimburse such costs if the award is inadequate to cover such costs or 
the award offer is withdrawn because of the applicant's failure to 
satisfy the requirements of this NOFA.
    (F) Award Instrument. HUD expects to use a grant agreement, but it 
reserves the right to use the award instrument it determines to be most 
appropriate. All Housing Counseling Program awards shall be made on a 
cost reimbursement basis in accordance with the requirements in OMB 
Circular A-87, Cost Principles for State and Local Governments and 
Indian Tribal Governments; or OMB Circular A-122, Cost Principles for 
Non-Profit Organizations, as applicable to your organization; and the 
administrative requirements established in OMB Circular A-102, which 
was implemented by 24 CFR part 85 (Administrative Requirements for 
Grants and Cooperative Agreements to State and Local Governments and 
Indian Tribal Governments); OMB Circular A-110, which was implemented 
by 24 CFR part 84 (Grants and Agreements with Institutions of

[[Page 14060]]

Higher Education, Hospitals and Other Non-Profit Organizations); and 
OMB Circular A-133 which was implemented by 24 CFR parts 84 and 85. If 
you receive an award you are also required to ensure that any sub-
recipients also comply with the above requirements. OMB circulars can 
be found at www.whitehouse.omb.gov.
    (G) Financial Management Systems. Applicants selected for funding 
must provide documentation demonstrating that the applicant's financial 
management systems satisfy the requirements in the applicable 
regulations at 24 CFR 84.21(b) and 85.20. Consistent with the 
requirements of the Single Audit Act Amendments of 1996 (31 U.S.C. 
Secs. 7501-07), when the applicant expended $300,000 or more in Federal 
awards in its most recent fiscal year, such documentation must include 
a certification from, or most recent audit by, the applicant's 
Independent Public Accountant that the applicant maintains internal 
controls over Federal awards; complies with applicable laws, 
regulations, and contract or grant provisions; and prepares appropriate 
financial statements. The applicant will have at least thirty (30) 
calendar days to respond to this requirement. If an applicant does not 
respond within the prescribed time or responds with insufficient 
documentation, then HUD may determine that the applicant has not met 
this requirement and may withdraw the grant offer.
    (H) Indirect Cost Rate. You must also submit documentation 
establishing your organization's indirect cost rate. Such documentation 
may consist of a certification from, most recent audit, or indirect 
cost rate agreement by, the cognizant Federal agency or an Independent 
Public Accountant. If your organization does not have an established 
indirect cost rate, you will be required to develop and submit an 
indirect cost proposal to HUD or the cognizant Federal Agency as 
applicable, for determination of an indirect cost rate that will govern 
your award. Applicants that do not have a previously established 
indirect cost rate with a Federal agency shall submit an initial 
indirect cost rate proposal immediately after the applicant is advised 
that it will be offered a grant and, in no event, later than three 
months after the effective date of the grant. OMB Circular A-122 
established the requirements to determine allowable direct and indirect 
costs and the preparation of indirect cost proposals, and can be found 
at www.whitehouse.omb.gov.

VII. Corrections to Deficient Applications

    The General Section of the SuperNOFA provides the procedures for 
corrections to deficient applications. Applications will be declared 
ineligible for any of the following reasons:

--If you do not meet the Civil Rights Threshold Requirements set forth 
in Section II(B) of the General Section of this SuperNOFA.
--If you are presently debarred, suspended, proposed for debarment, 
declared ineligible, or voluntarily excluded from covered transactions 
from any Federal department or agency.

VIII. Program Requirements

    Agencies selected as grantees or sub-grantees must comply with the 
following requirements:
    (A) General Requirements. The requirements listed in Section II of 
the General Section of the SuperNOFA apply to this program.
    (B) Specific Requirements. Programmatic requirements are outlined 
in detail in HUD Handbook 7610.1, REV-4, CHG-1, dated October 27, 1997, 
which can be viewed on HUD's website at http://www.hud.gov/offices/hsg/sfh/hcc_home.cfm. Additionally, the following also apply:
    (1) List of Agencies. Pursuant to section 106 (C)(5) of the Housing 
and Urban Development Act of 1968, HUD maintains a list of all HUD-
approved and HUD-funded counseling agencies, including contact 
information, which interested persons can access. All grantees under 
Categories 1 and 4, and sub-grantees under Categories 2 and 3, will be 
placed on this list and must accept subsequent referrals, or when they 
do not provide the services sought, refer the person to another agency 
in the area that does provide the services.
    (2) Accessibility--All grant recipients and sub-recipients must 
make counseling offices and services reasonably accessible to persons 
with a wide range of disabilities and help persons locate suitable 
housing in locations throughout the applicant's community, target area, 
or metropolitan area, as defined by the applicant.
    (C) Religious Discrimination. Grant recipients and sub-recipients 
are prohibited from:
    (1) Discriminating on behalf of or against any segment of the 
population in the provision of services or in outreach, including those 
of other religious affiliations.
    (2) Requiring religious instruction or religious counseling, 
conducting mandatory religious services or worship, engaging in 
religious proselytizing, and exerting religious influence in the 
provision of assistance under your housing counseling program.
    (D) Entities that are subject to 24 CFR parts 84 and 85 (most 
nonprofit organizations and State, local and tribal governments or 
government agencies or instrumentalities who receive Federal awards of 
financial assistance) are required to develop and maintain a written 
code of conduct (See Section 84.42 and 85.36(b)(3)). Consistent with 
regulations governing housing counseling programs, your code of conduct 
must prohibit real and apparent conflicts of interest that may arise 
among employees, officers or agents; prohibit the solicitation and 
acceptance of gifts or gratuities by your officers, employees and 
agents for their personal benefit in excess of minimal value, and 
outline administrative and disciplinary actions available to remedy 
violations of such standards. If awarded assistance under this 
SuperNOFA, you will be required, prior to entering into a grant 
agreement with HUD, to submit a copy of your code of conduct and 
describe the methods you will use to ensure that all officers, 
employees and agents of your organization are aware of your code of 
conduct.
    (E) Performance Measurement. Grant recipients are required to 
complete and submit a form HUD-9902, Fiscal Year Activity Report 
(APPENDIX A). The information compiled from this report provides HUD 
with its primary means of measuring your program performance.
    (F) Environmental Requirements. In accordance with 24 CFR 
50.19(b)(9) and (12) of the HUD regulations, activities assisted under 
this program are categorically excluded from the requirements of the 
National Environmental Policy Act and are not subject to environmental 
review under the related laws and authorities.

IX. Authority

    HUD's Housing Counseling Program is authorized by Section 106 of 
the Housing and Urban Development Act of 1968 (12 U.S.C. 1701x), and is 
generally governed by HUD Handbook 7610.1, REV-4, CHG-1, dated October 
27, 1997.

Appendix A--Form HUD-9902, Fiscal Year Activity Report

Appendix B

[[Page 14061]]



 
------------------------------------------------------------------------
        Homeownership center                        States
------------------------------------------------------------------------
Philadelphia Homeownership Center,   Connecticut, Delaware, District of
 Mr. John Niebieszczanski Patrick     Columbia, Maine, Maryland,
 V. McNamara Building SF Program      Massachusetts, Michigan, New
 Support Branch 4, 477 Michigan       Hampshire, New Jersey, New York,
 Ave. Rm. 1600, Detroit, MI 48226,    Ohio, Pennsylvania, Rhode Island,
 For technical questions Contact:     Vermont, Virginia, West Virginia.
 Robert Wright (215) 656-0527 x3406.
------------------------------------------------------------------------
Atlanta Homeownership Center, Ms.    Alabama, Puerto Rico, Florida,
 Gayle Knowlson, 40 Marietta          Georgia, Illinois, Indiana,
 Street, 8th Floor, Atlanta, GA       Kentucky, Mississippi, North
 30303-2806, Contact: Fellece         Carolina, South Carolina,
 Sawyer-Coleman, (404) 331-5001,      Tennessee
 x2675.
------------------------------------------------------------------------
Denver Homeownership Center, Ms.     Arkansas, Colorado, Iowa,
 Irma Devich, Wells Fargo Building,   Louisiana, Minnesota, Missouri,
 633 17th Street, Denver, CO 80202-   Montana, Nebraska, New Mexico,
 3607, Contact: Irma Devich, (303)    North Dakota, Oklahoma, South
 672-5216 x1980.                      Dakota, Texas, Utah, Wisconsin,
                                      Wyoming
------------------------------------------------------------------------
Santa Ana Homeownership Center, Mr.  Alaska, Arizona, California,
 Jerrold Mayer, 1600 N. Broadway,     Hawaii, Oregon, Idaho, Nevada,
 Suite 100, Santa Ana, CA 92706-      Washington
 3927, Contact: Rhonda J. Rivera,
 Chief 1-888-827-5605, (714) 796-
 1200 x3210.
------------------------------------------------------------------------

BILLING CODE 4210-32-P

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Notices  

[[Page 14065]]


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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14067]]



FUNDING AVAILABILITY FOR THE LEAD-BASED PAINT HAZARD CONTROL GRANT 
PROGRAM

PROGRAM OVERVIEW

    Purpose of the Program. The purpose of the Lead-Based Paint Hazard 
Control Grant Program is to assist States, Indian Tribes and local 
governments in undertaking comprehensive programs to identify and 
control lead-based paint hazards in eligible privately owned housing 
for rental or owner-occupants in partnership with faith-based and other 
community-based organizations.
    Available Funds. Approximately $80 million in Fiscal Year 2002.
    Eligible Applicants. States, Indian Tribes or local governments. If 
you are a State or Tribal applicant, you must have a Lead-Based Paint 
Contractor Certification and Accreditation Program authorized by EPA.
    Application Deadline. June 14, 2002.
    Match. A minimum of 10% match in local funds.

ADDITIONAL INFORMATION

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Submit your completed application (an 
original and four copies) to HUD postmarked on or before 12:00 
midnight, Eastern Time, on June 14, 2002, at the address shown below.
    See the General Section of the SuperNOFA for specific procedures 
concerning the form of application submission (e.g., mailed 
applications, express mail or overnight delivery).
    Application Submission Procedures. New Security Procedures. In HUD 
has implemented new security procedures that impact on application 
submission procedures. Please read the following instructions carefully 
and completely. HUD will not accept hand delivered applications. 
Applications may be mailed using the United States Postal Service 
(USPS) or may be shipped via the following delivery services: United 
Parcel Service (UPS), FedEx, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without escort. You must, 
therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received by the designated HUD Office on 
or within fifteen (15) days of the application due date. All applicants 
must obtain and save a Certificate of Mailing showing the date when you 
submitted your application to the United States Postal Service (USPS). 
The Certificate of Mailing will be your documentary evidence that your 
application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, DHL, 
FedEx and Falcon Carrier. Delivery by these services must be made 
during HUD's Headquarters business hours, between 8:30 AM and 5:30 PM 
Eastern time, Monday to Friday. If these companies do not service your 
area, you should submit your application via the United States Postal 
Service.
    Address for Submitting Applications. For Mailed Applications. The 
address for mailed applications is: Department of Housing and Urban 
Development, Office of Healthy Homes and Lead Hazard Control, 451 
Seventh Street, SW, Room P3206, Washington, DC 20410.
    For Application Kits. You may obtain an application kit from the 
SuperNOFA Information Center at 1-800-HUD-8929. Persons with speech or 
hearing impairments may call the Center's TTY number at 1-800-HUD-2209. 
When requesting an application kit, please refer to the Lead-Based 
Paint Hazard Control Grant Program. Please be sure to provide your 
name, address (including zip code), and telephone number (including 
area code).
    For Further Information and Technical Assistance. You may contact 
Ellis G. Goldman, Director, Program Management Division, Office of 
Healthy Homes and Lead Hazard Control, at the address above; telephone 
(202) 755-1785, extension 112 (this is not a toll-free number). If you 
are a hearing-or speech-impaired person, you may reach the above 
telephone numbers via TTY by calling the toll-free Federal Information 
Relay Service at 1-800-877-8339.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD web site at http://www.hud.gov.

II. Amount Allocated

    (A) Available Funding. Approximately $80 million in Fiscal Year 
2002 funds will be available for the Lead-Based Paint Hazard Control 
Grant Program.
    (B) Allocation of Funds/Grant Awards. Both current or prior 
(previously funded) grantees or previously unfunded applicants are 
eligible to apply for grants of $1 million to $2.5 million. 
Approximately 32 to 40 grants will be awarded. Approximately 80% of the 
funds shall be available to current and prior Lead-Based Paint Hazard 
Control grantees. Applications from current and prior (previously 
funded) grantees will be evaluated and scored as a separate group and 
will not be in direct competition with applications from previously 
unfunded applicants. A minimum score of 70 is required for fundable 
applications. Within the category of current and prior grantees, a new 
subcategory has been created this year to allow for the ``renewal'' of 
current grants that meet specific criteria. Current grantees (with 
active grants at the application deadline date) whose period of 
performance commenced on or after January 1, 2000 and that, in their 
most recent grant, have completed and cleared at least 65 % of the 
negotiated number of units and have expended, as evidenced by the 
drawdown from the HUD Line of Credit Control System (LOCCS), at least 
45 % of their original HUD Federal grant award by March 31, 2002, are 
eligible to request up to $2 million to continue grant program 
activities for an additional 24 months after their current period of 
performance ends. By achieving the above referenced level of 
performance significantly ahead of the expected schedule, these 
grantees have demonstrated a clear basis for eligibility in receiving 
additional funds without the need to submit a full application in 
response to the SuperNOFA. The creation of this subcategory reflects 
the intention of this grant program to move towards more competitive 
performance-based awards. Applicants eligible to submit a ``Request for 
Renewal'' will be required to submit a Total Budget (Federal Share and 
Matching), work plan strategy and supporting materials prescribed in 
the application. In addition, grantees awarded grant funds under this 
subcategory will be required to meet the terms and conditions of their 
current grant agreement and any additional applicable requirements 
under this NOFA. Additional details and guidance will be provided in 
the application kit.

[[Page 14068]]

III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. The Lead-Based Paint Hazard Control Grant 
Program assists States, Indian Tribes and local governments in 
undertaking programs for the identification and control of lead-based 
paint hazards in eligible privately owned housing units for rental and 
owner-occupants. Appendix B (Eligibility of HUD Assisted Housing) and 
the application kit for this program will list the HUD-associated 
housing programs that meet the definition of eligible housing under 
this program.
    (1) Because lead-based paint is a national problem, these funds 
will be awarded to:
    (a) Maximize the combination of children protected from lead 
poisoning and housing units where lead-hazards are controlled;
    (b) Target lead hazard control efforts at housing in which children 
are at greatest risk of lead poisoning;
    (c) Stimulate cost-effective approaches that can be replicated;
    (d) Emphasize lower cost methods of hazard control;
    (e) Build local capacity to safely and effectively address lead 
hazards during lead hazard control, renovation, remodeling, and 
maintenance activities; and
    (f) Affirmatively further fair housing and environmental justice.
    (2) The objectives of this program include:
    (a) Implementation of a national strategy, as defined in Title X of 
the Housing and Community Development Act of 1992 (42 U.S.C. 4851 et. 
seq.) (Title X), to build the community's capacity necessary to 
eliminate lead-based paint hazards in housing, as widely and quickly as 
possible by establishing a workable framework for lead-based paint 
hazard identification and control;
    (b) Mobilization of public and private resources, involving 
cooperation among all levels of government, the private sector, and 
faith-based and other community-based organizations to develop cost-
effective methods for identifying and controlling lead-based paint 
hazards;
    (c) Development of comprehensive community approaches which result 
in integration of all community resources (governmental, faith-based 
and other community-based, and private businesses) to address lead 
hazards in housing;
    (d) Integration of lead-safe work practices into housing 
maintenance, repair, weatherization, rehabilitation, and other programs 
that will continue after the grant period ends;
    (e) Establishment of a public registry (listing) of lead-safe 
housing or inclusion of the lead-safe status of properties in another 
publicly accessible address-based property information system; and
    (f) To the greatest extent feasible, promotion of job training, 
employment, and other economic opportunities for low-income and 
minority residents and businesses that are owned by and/or employ low-
income and minority residents as defined in 24 CFR 135.5 (See 59 FR 
33881, June 30, 1994).
    (B) Eligible Applicants. (1) To be eligible to apply for funding 
under this program, the applicant must be a State, Indian Tribe, or 
unit of local government. Multiple units of a local government (or 
multiple local governments) may apply as part of a consortium; however, 
you must identify a single primary government or agency as ``the 
applicant.'' You may submit only one application. In the event you 
submit multiple applications, this will be considered a curable (minor) 
defect and the application review process delayed until you notify HUD 
in writing which application should be reviewed. Your other 
applications will be returned unevaluated. (See the General Section of 
the SuperNOFA, Section V, Corrections to Deficient Applications)
    (2) Threshold Requirements. As an applicant, you must meet all of 
the threshold requirements of Section II(B) of the General Section of 
the SuperNOFA as well as any specific threshold requirements for 
applicants under the Lead Hazard Control Grant Program. Applications 
will not be rated or ranked if they do not meet the threshold 
requirements of Section II (B) of the general Section of the SuperNOFA.
    (3) Consolidated Plans. (This requirement does not apply to Indian 
Tribes)
    (a) If your jurisdiction has a current HUD approved Consolidated 
Plan, you must submit, as an appendix, a copy of the lead-based paint 
element included in the approved Consolidated Plan.
    (b) If your jurisdiction does not have a currently approved 
Consolidated Plan, but it is otherwise eligible for this grant program, 
you must include your jurisdiction's abbreviated Consolidated Plan, 
which includes a lead-based paint hazard control strategy developed in 
accordance with 24 CFR 91.235.
    (4) Contracts or other formal arrangements with faith-based and 
other community-based organizations. If selected for funding, local and 
State applicants must enter into contractual relationships or other 
formal arrangements with faith-based and other community-based 
organizations. Such relationships must be established prior to actual 
execution of the grant agreement. This requirement does not apply to 
Indian Tribes.
    (5) EPA Authorization. If you are a State government or an Indian 
Tribal government, you must have an EPA authorized Lead-Based Paint 
Training and Certification Program in effect on the application 
deadline date to be eligible to apply for Lead Hazard Control Grant 
funds. The approval date in the Federal Register notice published by 
the EPA will be used in determining the Training and Certification 
status of the applicant State or Indian Tribal government.
    (6) Current or prior grantees that have not completed a minimum of 
35 percent of the units in their most recent grant agreement as of 
March 31, 2002, are not eligible to apply under this NOFA.
    (7) The eligibility factors discussed in paragraphs (1) through (5) 
above are threshold requirements. If you do not satisfy the appropriate 
eligibility requirements stated in these paragraphs, HUD will not 
review your application.
    (C) Eligible Activities. HUD is interested in promoting lead hazard 
control approaches that result in the reduction of this health threat 
for the maximum number of low-income families with children under six, 
for the longest period of time, and that demonstrate techniques which 
are cost-effective, efficient, and replicable elsewhere. Activities 
must be conducted in compliance with HUD's Lead-Safe Housing Rule, 24 
CFR Part 35, and with any applicable requirements of a Training and 
Certification Program that has been authorized by the Environmental 
Protection Agency under the requirements of 40 CFR 745.320. Copies of 
HUD's Lead-Safe Housing Rule, and the companion publication 
``Interpretive Guidance: The HUD Regulation on Controlling Lead-Based 
Paint Hazards in Housing Receiving Federal Assistance and Federally 
Owned Housing Being Sold,'' are available from the National Lead 
Information Clearinghouse at 1-800-424-LEAD and on the Internet at 
www.hud.gov.
    (1) Direct Project Elements that you may undertake directly or 
through sub-recipients, include:
    (a) Performing dust testing, hazard screens, inspections, and risk 
assessments of eligible housing constructed before 1978 to determine 
the presence of lead-based paint and/or lead hazards from paint, dust, 
or soil.

[[Page 14069]]

    (b) Conducting the required pre-hazard control blood lead testing 
of children under the age of six years (72 months) residing in units 
undergoing inspection, risk assessment, or hazard control, unless 
reimbursable from Medicaid or another source.
    (c) Conducting lead hazard control, which may include: interim 
control of lead-based paint hazards in housing (which may include 
specialized cleaning techniques to address lead dust); and abatement of 
lead-based paint hazards, including soil and dust, by means of removal, 
enclosure, encapsulation, or replacement methods. Complete abatement of 
all lead-based paint or lead-contaminated soil is not acceptable as a 
cost-effective strategy unless justification is provided and 
subsequently approved by HUD. Abatement of lead-contaminated soil 
should be limited to areas with bare soil in the immediate vicinity of 
the structure, i.e., drip line or foundation of the structure being 
treated, and children's play areas.
    (d) Carrying out temporary relocation of families and individuals 
during the period in which hazard control is conducted and until the 
time the affected unit receives clearance for reoccupancy.
    (e) Performing blood lead testing and air sampling to protect the 
health of the hazard control workers, supervisors, and contractors.
    (f) Undertaking minimal housing rehabilitation activities that are 
specifically required to carry out effective hazard control, and 
without which the hazard control could not be completed and maintained. 
Hazard Control grant funds may be used for lead hazard control work 
done in conjunction with other housing rehabilitation programs. HUD 
strongly encourages integration of this grant program with housing 
rehabilitation, weatherization, and other energy conservation 
activities.
    (g) Conducting clearance dust-wipe testing and laboratory analysis.
    (h) Engineering and architectural activities that are required for, 
and in direct support of, lead hazard control.
    (i) Providing resources to build capacity for lead-safe housing and 
lead hazard control, including free delivery of HUD-approved lead-safe 
work practices training courses for rehab contractors, rehab workers, 
homeowners, renters, painters, remodelers, maintenance staff, and 
others conducting renovation, rehabilitation, maintenance or other work 
in private housing; free delivery of lead sampling technician training, 
lead-based paint worker or contractor certification training; and 
subsidies for licensing or certification fees to low-income persons 
seeking credentials as lead-based paint workers or contractors or lead 
sampling technicians.
    (j) Providing cleaning supplies for lead-hazard control, and 
instructions or training in their use, to faith-based and other 
community-based organizations, homeowners, and renters in low-income 
private housing.
    (k) Conducting planning, coordination, and training activities to 
comply with HUD's Lead-Safe Housing Rule (24 CFR part 35) that became 
effective on September 15, 2000. These activities should support the 
expansion of a workforce properly trained in lead-safe work practices 
which is available to conduct interim controls on HUD assisted housing 
covered by these regulations. The regulation and interpretive guidance 
about the rule are available from the National Lead Information Center 
at 1-800-424-LEAD or www.hud.gov.
    (l) Conducting general or targeted community awareness, education 
or outreach programs on lead hazard control and lead poisoning 
prevention including educating owners of rental properties on the Fair 
Housing Act and offering educational materials in languages other than 
English and providing training on lead-safe maintenance and renovation 
practices and management. Upon request, this also would include making 
all materials available in alternative formats to persons with 
disabilities (e.g.; Braille, audio, large type).
    (m) Procuring liability insurance for lead-hazard control 
activities.
    (n) Supporting data collection, analysis, and evaluation of grant 
program activities. This includes compiling and delivering such 
information and data as may be required by HUD. This activity is 
separate from administrative costs.
    (o) Conducting applied research activities directed at 
demonstration of cost effective methods for lead hazard control.
    (p) Purchasing or leasing equipment having a per unit cost under 
$5,000.
    (q) Purchasing or leasing no more than two (2) X-ray fluorescence 
analyzers for use by the Lead-Based Paint Hazard Control Grant Program, 
if not already available.
    (r) Preparing a final report at the conclusion of grant activities.
    (2) Support Elements.
    (a) Administrative costs. There is a 10% maximum for administrative 
costs. Specific information on administrative costs is included in this 
Lead-Based Paint Hazard Control Grant Program section of this 
SuperNOFA.
    (b) Program planning and management costs of sub-grantees and other 
sub-recipients. (D) Ineligible Activities. You may not use grant funds 
for any of the following:
    (1) Purchase of real property.
    (2) Purchase or lease of equipment having a per unit cost in excess 
of $5,000, except for the purchase of X-ray fluorescence analyzers.
    (3) Chelation or other medical treatment costs related to children 
with elevated blood lead levels. Non-Federal funds used to cover these 
costs may be counted as part of the required matching contribution.
    (4) Lead hazard control activities in publicly owned housing, or 
project-based Section 8 housing.

IV. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, the applicant must comply with the following 
requirements: (A) Conformance of proposed plans to Federal and State 
policies for Lead-Based Paint Hazard Control. All lead hazard control 
activities must be conducted in compliance with the applicable 
requirements of HUD's Lead-Safe Housing Rule, 24 CFR part 35, and as 
clarified in HUD's Interpretive Guidance about the rule. Activities 
must also comply with any additional requirements in effect under a 
State or Tribal Lead-Based Paint Training and Certification Program 
that has been authorized by the Environmental Protection Agency 
pursuant to 40 CFR 745.320.

Budgeting

    (1) Matching Contribution. You must provide a matching contribution 
of at least 10% of the requested grant sum. This may be in the form of 
cash, including private sector funding, or in-kind (non-cash) 
contributions or a combination of these sources. With the sole 
exception of Community Development Block Grant (CDBG) funds, Federal 
funds may not be used to satisfy the statutorily required ten (10) 
percent matching requirement. Federal funds may be used, however, for 
contributions above the statutory requirement. If you do not include 
the minimum 10% match in your application, the application will be 
rated lower during the evaluation process. If selected for an award, 
you will be required to provide evidence that the matching contribution 
requirement will be met before being given the grant.

[[Page 14070]]

    (2) Direct Lead Hazard Identification and Control Activities. The 
budget proposed must show a minimum of 60 percent of the total Federal 
amount requested identified for direct lead hazard control activities. 
Direct lead hazard control activities consist of dust testing, hazard 
screens, lead inspections, risk assessments, lead hazard control 
services, and clearance examinations. Direct hazard control activities 
do not include relocation, blood testing of residents or workers, 
housing rehabilitation, training, community education, applied 
research, purchase of supplies or equipment, or administrative costs.
    (3) Lead-Safe Work Practice Training Activities. For most 
applicants, at least two (2) percent of the total Federal amount in the 
budget proposal will be necessary to promote the expansion of a 
workforce properly trained in lead-safe work practices and which is 
available to conduct interim controls and follow lead-safe work 
practices while performing work on HUD assisted housing units per the 
provisions of the HUD Lead Safe Housing Regulation 24 CFR Part 
35(1330(a)(4)(iii)(v), and to safely repair, rehabilitate, and maintain 
other privately-owned residential property. Any applicant that proposes 
to use less than 2% of the total Federal amount for this purpose shall 
present evidence that there is currently in place a workforce that is 
sufficient in size and is properly trained to carry out the work under 
the Lead Hazard Control grant and the HUD Lead-Safe Housing Regulation.
    (4) Applied Research Activities. You may identify a maximum of five 
(5%) percent of the total grant request for applied research 
activities.
    (5) Administrative Costs. There is a 10% maximum for administrative 
costs as specified in Section 1011 (j) of the Residential Lead-Based 
Paint Hazard Reduction Act of 1992 (Title X of the Housing and 
Community Development Act of 1992, Public Law 102-550). Additional 
information about allowable administrative costs is provided in 
Appendix B of this NOFA and in the application kit.
    (B) Period of Performance. The period of performance is 36 months 
for first time grant recipients. The period of performance for current 
and prior grantees is 30 months, except grantees receiving an award 
under a ``Request for Renewal,'' for which there is a 24-month period 
of performance.
    (C) Certified and Trained Performers. Funded activities must be 
conducted by persons qualified for the activities according to 24 CFR 
part 35 (possessing certification as abatement contractors, risk 
assessors, inspectors, abatement workers, or sampling technicians, or 
others having been trained in a HUD-approved course in lead-safe work 
practices).
    (D) Coastal Barrier Resources Act. Pursuant to the Coastal Barrier 
Resources Act (16 U.S.C. 3501), you may not use grant funds for 
properties located in the Coastal Barrier Resources System.
    (E) Flood Disaster Protection Act. Under the Flood Disaster 
Protection Act of 1973 (42 U.S.C. 4001-4128), you may not use grant 
funds for lead-based paint hazard control of a building or manufactured 
home that is located in an area identified by the Federal Emergency 
Management Agency (FEMA) as having special flood hazards unless:
    (1) The community in which the area is situated is participating in 
the National Flood Insurance Program in accordance with the applicable 
regulations (44 CFR parts 59-79), or less than a year has passed since 
FEMA notification regarding these hazards; and
    (2) Where the community is participating in the National Flood 
Insurance Program, flood insurance on the property is obtained in 
accordance with section 102(a) of the Flood Disaster Protection Act (42 
U.S.C. 4012a(a)). You are responsible for assuring that flood insurance 
is obtained and maintained for the appropriate amount and term.
    (F) National Historic Preservation Act. The National Historic 
Preservation Act of 1966 (16 U.S.C. 470) and the regulations at 36 CFR 
part 800 apply to the lead-based paint hazard control activities that 
are undertaken pursuant to this program. HUD and the Advisory Council 
for Historic Preservation have developed an optional Model Agreement 
for use by grantees and State Historic Preservation Officers in 
carrying out activities under this program. This may be obtained from 
the SuperNOFA Clearinghouse.
    (G) Waste Disposal. You must handle waste disposal according to the 
requirements of the appropriate local, State and Federal regulatory 
agencies. You must handle disposal of wastes from hazard control 
activities that contain lead-based paint but are not classified as 
hazardous in accordance with state or local law or the HUD Guidelines 
for the Evaluation and Control of Lead-Based Hazards in Housing (HUD 
Guidelines). The Guidelines may be purchased from HUD User (1-800-245-
2691) or downloaded from the HUD website (www.hud.gov).
    (H) Worker Protection Procedures. You must observe the procedures 
for worker protection established in the HUD Guidelines, as well as the 
requirements of the Occupational Health and Safety Administration 
(OSHA) (29 CFR 1926.62--Lead Exposure in Construction), or the State or 
local occupational safety and health regulations, whichever are most 
protective. If other applicable requirements contain more stringent 
requirements than the HUD Guidelines, the more rigorous standards shall 
be followed.
    (I) Prohibited Practices. You must not engage in practices that are 
not allowed because of health and safety risks. Methods that generate 
high levels of lead dust shall be undertaken only with requisite worker 
protection, containment of dust and debris, suitable cleanup, and 
clearance. Prohibited practices include:
    (1) Open flame burning or torching;
    (2) Machine sanding or grinding without a high-efficiency 
particulate air (HEPA) exhaust control;
    (3) Uncontained hydro blasting or high-pressure wash;
    (4) Abrasive blasting or sandblasting without HEPA exhaust control;
    (5) Heat guns operating above 1100 degrees Fahrenheit;
    (6) Chemical paint strippers containing methylene chloride or other 
volatile hazardous chemicals in a poorly ventilated space; and
    (7) Dry scraping or dry sanding, except scraping in conjunction 
with heat guns or around electrical outlets or when treating no more 
than two (2) square feet in any one interior room or space, or totaling 
no more than 20 square feet on exterior surfaces.
    (J) Proposed Exceptions to HUD Requirements. Proposed methods that 
differ from HUD's Lead Safe Housing Rule will be considered on their 
merits through a separate HUD review and approval process after the 
grant award is made and a specific justification has been presented. 
HUD may consult with experts from both the public and private sectors. 
HUD will not approve methods that, in HUD's opinion, involve a lowering 
of standards that have the potential to adversely affect the health of 
residents, contractors or workers, or the environment.
    (K) Written Policies and Procedures. You must have clearly 
established, written policies and procedures for eligibility, program 
marketing, unit selection, expediting work on homes occupied by 
children with elevated blood lead levels, and all phases of lead hazard 
control, including risk assessment, inspection, development of 
specifications, pre-hazard control blood lead testing, financing, 
relocation and

[[Page 14071]]

clearance testing. Grantees, subcontractors, sub-grantees, sub-
recipients, and their contractors must adhere to these policies and 
procedures.
    (L) Continued Availability of Lead Safe Housing to Low-Income 
Families. Units in which lead hazards have been controlled under this 
program shall be occupied by and/or continue to be available to low-
income residents as required by Title X. You must maintain a registry 
(listing) of units in which lead hazards have been controlled and 
ensure that these units are marketed to agencies and families as 
suitable housing for families with children under six. The grantee must 
notify the owner of the information that is collected so that the owner 
may make disclosure to tenants in accordance with the requirements 
under 24 CFR part 35, Subpart A.
    (M) Testing. In developing your application budget, include costs 
for inspection, risk assessment, and clearance testing for each 
dwelling that will receive lead hazard control, as follows:
    (1) Testing. (a) General. All testing and sampling shall conform to 
the current HUD Guidelines and Federal, state or tribal regulations 
developed as part of the appropriate contractor certification program. 
It is particularly important to provide this full cycle of testing for 
lead hazard control, including interim controls. Testing must be 
conducted according to the HUD Guidelines and the EPA lead hazard 
standards rule at 40 CFR part 745. All test results must be provided to 
the owner in a timely fashion, together with a notice describing the 
owner's legal duty to disclose the results to tenants and buyers under 
24 CFR part 35, Subpart A.
    (b) Pre-Hazard Control. A combined inspection and risk assessment 
is recommended. You should ensure that the results of the pre-hazard 
control investigation are sufficient to support hazard control 
decisions. When appropriate, you may elect to perform a lead hazard 
screen in lieu of an inspection or risk assessment.
    (c) Non-Identification of Lead Hazards from Paint, Dust, Soil. In 
the event you propose to conduct lead hazard control work without 
identification of lead hazards from paint, dust, and soil, you must 
fully justify the technical and other rationale for such a proposal. 
HUD must approve such proposals. Approval is subject to HUD 
environmental review under 24 CFR part 50.
    (d) Clearance Testing. Clearance dust testing must be conducted 
according to the EPA lead hazards standards rule at 40 CFR part 745 for 
abatement projects and the Lead-Safe Housing rule (24 CFR part 35) for 
lead hazard control activities or other abatement. These are available 
at www.epa.gov and www.hud.gov respectively.
    (2) Blood lead testing. Before lead hazard control work begins, 
each occupant who is under six years old must be tested for lead 
poisoning within the six months preceding the housing intervention. Any 
child with an elevated blood lead level must be referred for 
appropriate medical follow-up. The standards for such testing are 
described in the Centers for Disease Control and Prevention 
publications Preventing Lead Poisoning in Young Children (1991), and 
Screening Young Children for Lead Poisoning: Guidance for State and 
Local Public Health Officials (1997).
    (N) Cooperation With Related Research and Evaluation. You shall 
cooperate fully with any research or evaluation sponsored by HUD, CDC, 
EPA or other government agency and associated with this grant program, 
including preservation of project data and records and compiling 
requested information in formats provided by the researchers, 
evaluators or HUD. This also may include the compiling of certain 
relevant local demographic, dwelling unit, and participant data not 
contemplated in your original proposal. Participant data shall be 
subject to Privacy Act protection.
    (O) Data collection. You will be required to collect and maintain 
the data necessary to document the various lead hazard control methods 
used and the cost of these methods.
    (P) Section 3 Employment Opportunities. Please see Section II (E) 
of the General Section of the SuperNOFA. The requirements of Section 3 
of the Housing and Urban Development Act of 1968 are applicable to the 
Lead-Based Paint Hazard Control Program.
    (Q) Replacing Existing Resources. Funds received under this grant 
program shall not be used to replace existing community resources 
dedicated to any ongoing project.
    (R) Certifications and Assurances. You must include the 
certifications and assurances listed in the General Section of the 
SuperNOFA with your application.
    (S) Davis-Bacon Act. The Davis-Bacon Act does not apply to this 
program. However, if you use grant funds in conjunction with other 
Federal programs in which Davis-Bacon prevailing wage rates apply, then 
Davis-Bacon provisions would apply to the extent required under the 
other Federal programs.
    (T) Conducting Business in Accordance With HUD Core Values and 
Ethical Standards. If awarded assistance under this SuperNOFA, you will 
be required, prior to entering into a grant agreement with HUD, to 
submit a copy of your code of conduct and describe the methods you will 
use to ensure that all officers, employees and agents of your 
organization are aware of your code of conduct (See Section II(B)(2) of 
the General Section of the SuperNOFA for information about conducting 
business in accordance with HUD's core values and ethical standards.)
    (U) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women-Owned Businesses. The Department of 
Housing and Urban Development (HUD) is committed to ensuring that small 
businesses, small disadvantaged businesses and women-owned businesses 
participate fully in HUD's direct contracting and in contracting 
opportunities generated by HUD grant funds. Too often, these businesses 
still experience difficulty accessing information and successfully 
bidding on Federal contracts. HUD regulations at 24 CFR 85.36(e) 
require recipients of assistance (grantees and sub grantees) to take 
all necessary affirmative steps in contracting for purchase of goods or 
services to assure that minority firms, women's business enterprises, 
and labor surplus area firms are used when possible. Affirmative steps 
shall include:
    (i) Placing qualified small and minority businesses and women's 
business enterprises on solicitation lists;
    (ii) Assuring that small and minority business, and women's 
business enterprises are solicited whenever they are potential sources;
    (iii) Dividing total requirements, when economically feasible, into 
smaller tasks or quantities to permit maximum participation by small 
and minority business, and women's business enterprises;
    (iv) Establishing delivery schedules, where the requirement 
permits, which encourage participation by small and minority business, 
and women's business enterprises;
    (v) Using the services and assistance of the Small Business 
Administration, and the Minority Business Development Agency of the 
Department of Commerce; and
    (vi) Requiring the prime contractor, if subcontracts are to be let, 
to take the affirmative steps listed in paragraphs (e)(2)(i) through 
(v) above.

[[Page 14072]]

V. Application Selection Process

    (A) Rating and Ranking. Only those applications that meet the 
threshold review requirements will be rated and ranked. HUD intends to 
fund the highest ranked applications receiving a minimum score of 70 
within the limits of funding, but reserves the right to advance other 
eligible applicants in funding rank. A decision to advance an applicant 
will be based on work plan strategies that foster innovative local 
approaches or lead hazard control methods.
    (B) Award Offers. In the selection process, once available funds 
have been allocated to meet the requested or negotiated amounts of the 
top eligible applicants, HUD reserves the right to offer any residual 
amount as partial funding to the next eligible applicant, provided HUD 
is satisfied that the residual amount is sufficient to support a 
viable, though reduced effort, by such applicant(s). If you are an 
applicant offered a reduced grant amount you will have a maximum of 
seven (7) calendar days to accept such a reduced award. If you fail to 
respond within the seven-day limit, you shall be considered to have 
declined the award. Applicants may respond by e-mail, facsimile, or by 
mail.
    (C) Budget. HUD will evaluate your proposed budget to determine if 
it is reasonable, clearly justified, and consistent with the intended 
use of grant funds. HUD is not required to approve or fund all proposed 
activities. Previously unfunded applicants may devote up to 36 months 
for the planning, implementation, and completion of lead hazard control 
activities. Current and prior grantees may devote up to 30 months, 
except those grantees awarded funds under the ``Request for Renewal,'' 
for which up to 24 months can be devoted to those activities. You must 
thoroughly document and justify all budget categories and costs (Part B 
of Standard Form 424A).

    Note: Current grantees eligible to submit a ``Request for 
Renewal'' are to complete the required budget forms included in the 
NOFA and develop a work plan strategy for conducting lead hazard 
control program activities during the 24-month period of 
performance. Do not respond to the Factors for Award listed below. 
The application kit will provide additional guidance for submitting 
an application.

    (D) Factors for Award Used to Evaluate and Rate Applications. The 
factors for rating and ranking applicants, and maximum points for each 
factor, are stated below. The maximum number of points to be awarded is 
106. This maximum includes six bonus points as described in Section 
III(C)(1-3) of the General Section of the SuperNOFA, which addresses 
EZ, Brownfield Showcase Communities, and a court-ordered consideration 
applicable to this program. A minimum score of 70 is required for 
fundable applications.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience (20 points for all applicants)

    This factor addresses your organizational capacity necessary to 
successfully implement the proposed activities in a timely manner. The 
rating of the ``applicant'' or the ``applicant's staff'' for technical 
merit or threshold compliance, unless otherwise specified, includes any 
faith-based and other community-based organizations, sub-contractors, 
consultants, sub-recipients, and members of consortia which are firmly 
committed to your project. In rating this factor, HUD will consider:
    (1) The applicant's recent, relevant and successful demonstrated 
experience (including governmental and faith-based and other community-
based partners) to undertake eligible program activities. The applicant 
must describe the knowledge and experience of the proposed overall 
project director and day-to-day program manager in planning and 
managing large and complex interdisciplinary programs, especially 
involving housing rehabilitation, public health, or environmental 
programs. The applicant must demonstrate that it has sufficient 
personnel or will be able to quickly retain qualified experts or 
professionals, to begin the proposed work program immediately after 
receiving an award and to perform lead hazard evaluation, lead hazard 
reduction, and other proposed activities in a timely and effective 
manner. In the narrative response for this factor, you should include 
information on your program staff, their experience, their commitment 
to the program, salary information, and position titles. Resumes (for 
up to three key personnel), position descriptions, and a clearly 
identified organizational chart for the lead hazard control grant 
program effort must be included in an appendix. Indicate the percentage 
of time that key personnel will devote to your project. The applicant's 
day-to-day program manager must be experienced in the management of 
housing rehabilitation or lead hazard control, or similar work 
involving project management, and must be dedicated to the proposed 
program for a minimum of 75% of the time. The applicant should provide 
a description of any previous experience in enrolling units and in 
completing lead hazard control work, housing rehabilitation or other 
work in a timely and effective manner. Describe how any other principal 
components of your agency, other public entities, or other 
organizations will participate in implementing or otherwise supporting 
or participating in the grant program. You may demonstrate capacity by 
thoroughly describing your prior experience in initiating and 
implementing lead hazard control efforts and/or related environmental, 
health, or housing projects. You should indicate how this prior 
experience will be used in carrying out your proposed comprehensive 
Lead-Based Paint Hazard Control Grant Program.
    (2) If the applicant received previous HUD Lead-Based Paint Hazard 
Control Grant funding, this past experience will be evaluated in terms 
of cumulative progress and achievements under the previous grant(s). 
Where the applicant has received multiple HUD Lead Hazard Control 
Grants, performance under the most recent grant award will be primarily 
evaluated. If you are a current or prior grantee, you must provide the 
detail necessary to assure HUD that you will implement the proposed 
work immediately and perform it concurrently with existing lead hazard 
control grant work. The applicant must provide a description of its 
progress and performance in implementing the most recent grant award 
including the total number of housing units enrolled, assessed, in 
progress and completed and cleared as of the most recent calendar 
quarter. The applicant must also describe results from other lead 
hazard control grant program work plan activities and tasks including 
results from efforts undertaken to build local capacity for lead hazard 
control; in implementing HUD's Lead-Safe Housing Rule; 
``mainstreaming'' lead-safe work practices into the private market; and 
in conducting effective education, outreach, and other training 
activities. The applicant should also cite specific instances in which 
the program has made a positive impact in the community. These impacts 
could include decreases in the number of children with elevated blood 
lead levels in the target area, average blood lead levels, and dust 
lead levels. In addition, activities undertaken to develop, enhance or 
expand the local infrastructure through collaboration should also be 
discussed.
    In evaluating applications for funding HUD will take into account 
an applicant's past performance in managing funds, including the 
ability to account for funds appropriately; timely use of funds 
received either from HUD or other Federal, State or local

[[Page 14073]]

programs; meeting performance targets for completion of activities and 
number of persons to be served or targeted for assistance. HUD may use 
information relating to these items based on information at hand or 
available from public sources such as newspapers, Inspector General or 
Government Accounting Office Reports or Findings, hotline complaints 
that have been proven to have merit, or other such sources of 
information.
    In evaluating past performance, HUD may elect to deduct points from 
the rating score as specified under the Factors for Award or set 
threshold levels for performance as specified in the funding 
announcement.

Rating Factor 2: Needs/Extent of the Problem (20 points for all 
applicants)

    This factor addresses the extent to which there is a need for the 
proposed program to address a documented problem and will be based on 
the evidence of lead poisoning, the presence of lead hazards, high risk 
children, and high risk housing in any proposed target area(s).
    (1) Document a critical level of need for your proposed activities 
in the geographical area where activities will be carried out. Since an 
objective of the program is to prevent at-risk children from being 
poisoned, specific attention must be paid to documenting such need as 
it applies to the targeted areas, rather than the entire locality or 
state.
    (2) Document the following for the target area(s):
    (a) Numbers and percentages of children less than 72 months of age
    i. numbers and percentages of children with elevated blood lead 
levels
    ii. numbers and percentages of children tested for blood lead 
levels,
    (b) Economic and demographic data relevant to the target area, 
including poverty and unemployment rates;
    (c) Relevant housing market data available from HUD, or other data 
sources, including the Consolidated Plan/Analysis of Impediments, 
Public Housing Authority's Five Year Comprehensive Plan, State or local 
Welfare Department's Welfare Reform Plan, and;
    (d) Other data relevant to the target area or jurisdiction that 
documents an unmet need for lead-safe housing. These data may include 
the number of units that have been occupied by lead poisoned children 
where the identified lead-based paint hazards have not been remediated; 
the number of lead-based paint health and/or housing code violations; 
or the number of pre-1978 or pre-1960 housing units anticipated to 
undergo rehabilitation in the next 12 months; the proportion or number 
of units with lead dust hazards; information about the principal 
sources of exposure in your community, their prevalence, and the 
segments and/or characteristics of the housing most affected by these 
exposure sources; and/or other information about housing condition.
    (3) To the extent that statistics and other data contained in your 
community's Consolidated Plan or Analysis of Impediments to Fair 
Housing Choice (AI) and other data sources support the extent of the 
problem, you should include references to the Consolidated Plan, the AI 
or other data sources in your response.
    (4) Provide information about the areas targeted for lead hazard 
control activities (data may be available from State or local sources, 
included in your currently approved Consolidated Plan or AI, derived 
from current Census Data, or available from special studies). The 
information to be provided includes the following:
    (a) The age and condition of housing;
    (b) The number and percentage of very-low (income less than 50% of 
the area median) and low (income less than 80% of the area median) 
income families, as determined by HUD, with adjustments for smaller and 
larger families;
    (c) The number and proportion of children under six years (72 
months) of age at risk of lead poisoning;
    (d) The extent of the lead poisoning problem in children under six 
years (72 months) of age in target areas and the overall jurisdiction; 
and
    (e) Other socioeconomic or environmental factors that demonstrate a 
need to establish or continue lead hazard control work in your 
jurisdiction.
    (5) You also must provide documentation of the priority that the 
community's Consolidated Plan and Analysis of Impediments to Fair 
Housing Choice has placed on addressing the needs you described. If 
your application addresses needs that are in the Consolidated Plan, 
Analysis of Impediments to Fair Housing Choice, or the result of court 
orders or consent decrees, settlements, conciliation agreements, 
voluntary compliance agreements, and/or Childhood Lead Poisoning 
Prevention Programs or other relevant local initiatives you will 
receive more points than applicants that do not relate their program to 
identified needs.
    (6) For you to receive maximum points for this factor, there must 
be a direct relationship between your proposed lead hazard control 
activities in the target area(s) and the documented community needs.

Rating Factor 3: Soundness of Approach (40 points for previously 
unfunded applicants and 50 points for current or prior grantees)

    This factor addresses the quality and cost-effectiveness of your 
proposed work plan and the demonstrated performance of current and 
prior grantees both in terms of units completed and LOCCS draw downs). 
You should present information on your proposed lead-based paint hazard 
control program and describe how it will satisfy the identified needs. 
To the extent possible, describe a comprehensive strategy to address 
the need to protect targeted neighborhoods rather than individual units 
or homes. Your response to this factor must include the following 
elements:
    (1) Lead Hazard Control Work Plan Strategy (32 points for 
previously unfunded applicants; 42 points for current and prior 
grantees). Describe your work plan goals and specific time-phased 
strategy to complete work under the grant within the 36-month period of 
performance (30 months for existing grantees) for your lead hazard 
control grant program. You should provide information on:
    (a) Implementing a Lead Hazard Control Program (13 points for 
previously unfunded applicants; 6 points for current or prior 
grantees). Describe how you will implement the strategy for your 
proposed lead hazard control program. The description must include 
information on:
    (i) How the project will be managed and staffed, the steps taken to 
ensure the availability of lead-based paint contractors and workers to 
conduct lead hazard control interventions, and other activities needed 
during the planning phase of the program and prior to beginning actual 
lead hazard control intervention work. In addition, a detailed 
description of the selection process for sub grantees, subcontractors 
or sub-recipients, and how assistance and funding will flow from the 
grantee to the actual performers of work under the grant shall be 
provided.
    (ii) The overall number of eligible privately owned housing units 
scheduled for lead hazard control intervention work and the strategy 
for their identification, selection, prioritization, and enrollment in 
the selected target area(s). Discuss the eligibility criteria for unit 
selection and how the program will identify units that meet these 
criteria. Explain how referrals of eligible units from childhood lead 
poisoning prevention programs,

[[Page 14074]]

other health or housing agencies or health providers that serve 
children will be obtained. Also discuss how referrals from the Section 
8/Housing Choice Voucher programs and other agencies that provide 
housing assistance to low-income households with children including 
CDBG, Home-funded housing programs or other sources will be obtained. 
(Include as attachments any referral agreements, commitment letters or 
other documents from other entities that describe their participation 
in recruiting eligible units in the lead hazard control grant program.) 
(See Rating Factor 4 Leveraging Resources and Rating Factor 5 
Coordination, Self-Sufficiency and Sustainability), Provide estimates 
of the total number of owner occupied and/or rental units that will 
receive lead hazard control. You should describe how the program will 
respond to the needs of children with elevated blood lead levels 
located outside the target area(s).
    (iii) The degree to which the work plan focuses on eligible 
privately-owned housing units occupied by low-income families with 
children under six years (72 months) of age. Describe your planned 
approaches to control lead hazards in vacant and/or occupied units 
before children are poisoned and your plans to ensure that the program 
will continue to match these units with low-income families with 
children under six years (72 months) of age in the future. Discuss 
strategies to control lead hazards in units where children have already 
been identified with an elevated blood lead level, including your 
process for referring and tracking children with elevated blood lead 
levels for medical case management, and your capacity to rapidly 
complete lead hazard control work in their units. Also describe your 
process for referrals of EBL-occupied units that do not meet all the 
eligibility criteria for inclusion in the lead hazard control grant 
program. Provide estimates of the number of children you will assist 
through this program.
    (iv) The lead hazard control financing strategy, including 
eligibility requirements, terms, conditions, dollar limits, and amounts 
available for lead hazard control work. You must discuss the way 
assistance from the grant funds will be administered to or on behalf of 
property owners (e.g. use of grants, deferred loans and/or forgivable 
loans and the basis and schedule for forgiveness), and the role of 
other resources, such as private sector financing), as well as the 
entity that will administer the financing process. Describe any 
matching requirements proposed for assistance to rental property 
owners.
    (v) You should describe how your proposed program will satisfy the 
stated needs in the Consolidated Plan. Describe how your proposed 
program will further and support the policy priorities of the 
Department, including promoting healthy homes; providing opportunities 
for self-sufficiency, particularly for persons enrolled in welfare to 
work programs; or providing educational and job training opportunities. 
Describe how your strategy will provide long-term benefits to families 
with children under six years of age. Describe whether any of the 
proposed activities will occur in an EZ/EC and how they will benefit 
the residents of those zones or communities.
    (b) Lead Hazard Control Outreach and Community Private Sector 
Involvement (6 points for all applicants). Applicants are encouraged to 
solicit participation of faith-based and other community-based and 
private sector organizations to accomplish outreach and community 
involvement activities and to build long-term capacity and sustain 
accomplishments in the target area. Applicants that partner, fund, or 
subcontract with faith-based and other community-based organizations 
will receive higher points in this sub factor. Your application must 
describe:
    (i) Proposed methods of community education. These may include 
community awareness, education, training, and outreach programs in 
support of the work plan and objectives. This description should 
include general and/or targeted efforts undertaken to assist your 
program in reducing lead exposure. Programs should be culturally 
sensitive, targeted, and linguistically appropriate. Upon request, this 
would include making materials available in alternative formats to 
persons with disabilities (e.g., Braille, audio, large type), and in 
other languages common to the community to the extent possible.
    (ii) Strategy for involving neighborhood or faith-based and other 
community-based organizations in your proposed activities. Your 
activities may include training (including training residents to screen 
houses through visual assessment and sampling), outreach, community 
education, marketing, inspection (including dust lead testing), and the 
conduct of lead hazard control activities. HUD will evaluate the level 
of substantive involvement during the review process.
    (iii) Strategies and methodologies that affirmatively further fair 
housing and increase access to lead-safe housing for all segments of 
the population: homeowners, owners of rental properties, and tenants. 
This outreach should address ways to avoid housing discrimination 
against families with young children, and ways to ensure that all 
families will have adequate, lead-safe housing choices in the future.
    (c) Technical Approach/Performance (13 points for previously 
unfunded applicants; 30 points for current or prior grantees). 
(Previously unfunded applicants are to respond to items (c) i-vii 
below)

(Current or prior grantees will be evaluated on the basis of 
cumulative unit production and cumulative LOCCS draw downs made 
under the grantee's most recent award for the period ending March 
31, 2002. Current and prior grantees do not need to respond to items 
(c) i-vii below but are to provide a response for items viii and ix)

For Previously Unfunded Applicants

    (i) Describe your process for the conduct of lead hazard evaluation 
(risk assessments and/or inspections) in units of eligible privately 
owned housing to confirm that there are lead-based paint hazards in the 
housing units where lead hazard control is undertaken. You may use the 
results of a valid risk assessment or inspection that had been 
previously performed within that past 6 months by certified inspectors 
or risk assessors in accordance with the HUD Guidelines if the report 
identified lead-based paint hazards and it is evident that hazards 
remain.
    (ii) Describe your testing methods, schedule, and costs for 
performing blood lead testing, risk assessments, inspections and 
clearance examinations to be used. If you propose to use a more 
restrictive standard than the HUD/EPA thresholds (e.g., less than 0.5% 
or 1.0 mg/ square centimeter for lead in paint, or less than 40, 250, 
400 mg/square foot for lead in dust on floors, sills and troughs 
respectively); or 400 ppm in bare soil in children's play areas and 
1200 ppm for bare soil in the rest of the yard), identify the 
standard(s) which will be used. All testing shall be performed in 
accordance with applicable regulations.
    (iii) Describe the lead hazard control methods and strategies that 
you will undertake and the number of units you will treat for each 
method selected (interim controls or hazard abatement). Complete 
abatement of all lead painted surfaces in all units is generally not 
acceptable as a strategy. In cases where only a few surfaces have lead 
hazards in a specific unit and abatement is cost-effective, the 
applicant must provide a detailed rationale for selecting complete 
abatement as a strategy. Provide an estimate of the per unit costs (and 
a basis for those estimates) for each lead hazard control method 
proposed and a

[[Page 14075]]

schedule for initiating and completing lead hazard control work in the 
selected units. Discuss efforts to incorporate cost-effective lead 
hazard control methods. Explain your cost estimates, providing detail 
on how the estimates were developed, with particular references to cost 
effectiveness.
    (iv) Schedule. Describe your expected schedule for the overall 
project. Discuss when you plan to perform lead hazard control on your 
first unit; and complete lead hazard control on all units in the lead 
hazard control program. Describe the schedule for a typical unit that 
will receive lead hazard control. Discuss the duration for referral/
intake, enrollment and qualification; evaluation; hazard control; and 
clearance. Describe the schedule for emergency referrals (e.g. unit 
occupied by a child under the age of 6 years of age with an elevated 
blood lead level).
    (v) Describe how you will integrate proposed lead hazard control 
activities with rehabilitation activities, including providing the 
training needed to create a workforce properly trained in lead-safe 
work practices for units assisted or rehabilitated under other HUD 
programs, and any collaboration with local housing or health 
departments, rehabilitation programs or community development 
corporations to stage lead hazard control and rehabilitation in the 
same units.
    (vi) Describe your contracting process, including development of 
specifications or adoption of existing specifications for selected lead 
hazard control methods. Describe the management processes you will use 
to ensure the cost-effectiveness of your lead hazard control methods. 
Your application must include a discussion of the contracting process 
for the conduct of lead hazard control activities in the selected 
units, and requirements for coordination among lead hazard control, 
rehabilitation, weatherization, and other contractors.
    (vii) Describe your plan for occupant protection or the temporary 
relocation of occupants of units selected for lead hazard control work. 
Describe any plan to avoid overnight relocation in small scale 
projects, consistent with 24 CFR 1345 (a)(2) and HUD's Interpretive 
Guidance J24, R18, and R19.You should address the use of safe houses 
and other temporary housing arrangements, storage of household goods, 
stipends, incentives, etc.

For Current and Prior Grantees

    (viii) If you are a current or prior grantee, you must describe the 
actions you will take to ensure that your proposed lead hazard control 
work will occur concurrently with other ongoing HUD lead hazard control 
grant work. Your application must provide the detail necessary to 
assure HUD that you will implement the proposed work immediately and 
perform it concurrently with existing lead hazard control grant work. 
(See rating Factor 1)
    (ix) If you are an existing or prior grantee, you must describe 
your progress in meeting the unit production goals included in your 
most recent lead hazard control grant award. If the unit production 
achieved is below the performance values (percentages of units 
completed) provided in the application kit, and no changes are proposed 
to your work plan, you should explain why the strategy in the earlier 
grant remains appropriate. Failure to provide this discussion will 
result in reduced points for this sub factor. In addition, the 
expenditure rate as reflected by the timely drawdown of HUD grant funds 
from the Line of Credit Control System (LOCCS) will be evaluated in 
conjunction with the achievement of the unit production goal.
    (2) Economic Opportunity (4 points for all applicants). Describe 
the ways you will train individuals and contractors in housing related 
trades, such as painters, remodelers, renovators, maintenance 
personnel, and rehabilitation specialists, and others in lead-safe work 
practices. Describe how you will help to integrate lead-safety into 
other housing activities, such as meeting the requirements of the HUD 
Lead-Safe Housing Regulation in housing units rehabilitated or assisted 
with Federal funds.
    Describe the methods to be used to provide economic opportunities 
for residents and businesses in the community. This discussion should 
include information on how you will promote training, employment, 
business development, and contract opportunities as part of your lead 
hazard control program. Grantees must comply with Section 3 of the 
Housing and Urban Development Act of 1968 (12 U.S.C. 1701u) and HUD's 
implementing rules at 24 CFR Part 135. Describe how you will accomplish 
the requirement by (1) providing training and employment opportunities 
for low and very low-income persons living within the grantee's 
jurisdiction, and by (2) providing business opportunities to businesses 
owned by low and very low-income persons living within the grantees 
jurisdiction.
    (3) Program Evaluation, Data Collection, and Research (4 points for 
all applicants).
    (a) Identify and discuss the specific methods and measures you will 
use (in addition to HUD reporting requirements) to measure progress, 
evaluate program effectiveness, and identify program changes necessary 
to improve performance. Describe how you will obtain, document and 
report the information.
    (b) Provide a detailed description of any proposed applied research 
activities. Describe the objectives, methodology and impact at the 
local level of the proposed research activities.

Rating Factor 4: Leveraging Resources (10 points for previously 
unfunded applicants; 5 points for current or prior grantees)

    This factor addresses your ability to obtain other community and 
private sector resources that can be combined with HUD's program 
resources to achieve program objectives. Current and prior grantees 
will be evaluated on their ability to generate new and/or additional 
resources and partnerships with faith-based and other community-based 
organizations committed to increasing lead poisoning prevention 
activities.
    (1) In evaluating this factor, HUD will consider the extent to 
which you have established working partnerships with other entities to 
get additional resources or commitments to increase the effectiveness 
of the proposed program activities. Resources may include cash or in-
kind contributions of services, equipment, or supplies allocated to the 
proposed program. Resources may be provided by governmental entities, 
public or private organizations, and other entities partnering with 
you. Leveraging arrangements with rental property owners may have the 
benefits of increasing the efficiency of public lead hazard 
expenditures and creating a financial stake for rental property owners 
in the quality of lead hazard control work. Contractual or other formal 
relationships with faith-based and other community-based organizations 
are a requirement for State and local government applicants. 
Documentation of these relationships with faith-based and other 
community-based organizations must be provided in this application 
either by signed agreements or commitment letters. This requirement 
does not apply to applicants who are an Indian Tribe. You also may 
partner with other program funding recipients to coordinate the use of 
resources in your target area.
    (2) You should detail any activities to increase the understanding 
of lead poisoning prevention in your community. This could include 
partnerships with childhood lead screening programs, collaboration with

[[Page 14076]]

ongoing health, housing or environmental research efforts which could 
result in a greater availability of resources, and efforts to build 
capacity for lead-safe housing.
    (3) Matching funds must be shown to be specifically dedicated to 
and integrated into supporting the lead-based paint hazard control 
program. You may not include funding from any Federally funded program 
(except the CDBG program) as part of your required 10% match. Other 
resources from the private sector or other sources committed to the 
program that exceed the required 10% match will provide points for this 
rating factor. Contributions above the first 10% may include funds from 
other Federally funded programs, State, local, charity, non-profit or 
for-profit entities. You must support each source of contributions, 
cash or in-kind, both for the required minimum and additional amounts, 
by a letter of commitment from the contributing entity, whether a 
public or private source. This letter must describe the contributed 
resources that you will use in the program and the purpose for which 
they are designated. Staff in-kind contributions should be given a 
monetary value. If you do not provide letters specifying details and 
the amount of the actual contributions, those contributions will not be 
counted. Matching contributions required of rental property owners may 
be included as part of your match. Documentation and estimates for the 
amount of the match should be provided in the annex for this factor.
    (4) Applicants will not receive full points under this rating 
factor if they do not submit evidence of a firm commitment and the 
appropriate use of leveraged resources under the grant program. Such 
evidence must be provided by including letters of firm commitment, 
memoranda of understanding, or other signed agreements to participate 
from those entities identified as partners in your application. Each 
letter of commitment, memorandum of understanding, or agreement to 
participate should include the organization's name, the proposed level 
of commitment and responsibilities as they relate to your proposed 
program. The commitment must be signed by an official of the 
organization legally able to make commitments on behalf of the 
organization. Describe the role of faith-based and other community-
based organizations in specific program activities, such as hazard 
evaluation and control; monitoring; and awareness, education, and 
outreach within the community. Describe how you will ensure that 
commitments to sub grantees specified in your proposal will be honored 
and executed, contingent upon an award from HUD.

Rating Factor 5: Coordination, Self-Sufficiency, and Sustainability 
(10 Points for previously unfunded applicants; 5 Points for current 
or prior grantees)

    This factor addresses the extent to which your program reflects a 
coordinated, community-based process of identifying needs and building 
a system to prevent lead poisoning in your community's housing by using 
available HUD and other community resources. This factor consists of 
three elements: (1) The extent to which you have coordinated your 
activities with other known organizations that are not directly 
participating in your proposed work activities, but with which you 
share common goals and objectives and are working toward meeting these 
objectives in a holistic and comprehensive manner; (2) The extent to 
which your application implements practical solutions within the grant 
term to result in assisting beneficiaries of grant program funds in 
achieving independent living, economic empowerment, educational 
opportunities, housing choice, or improved living environments; and (3) 
The extent to which your program exhibits the potential to be 
financially self-sustaining by decreasing dependence on Federal funding 
and relying more on State, local, and private funding so your 
activities can be continued after your grant award period is completed. 
In evaluating this factor, HUD will consider how you have:
    (1) Coordinated your proposed activities with those of other groups 
or organizations to best support and coordinate all known activities 
and the specific steps you will take to share information on solutions 
and outcomes with others. Any written agreements or memoranda of 
understanding in place or proposed should be described. You should, at 
a minimum, describe the activities, in your metropolitan area or 
region, of other HUD Lead-Based Paint Hazard Control grantees, Centers 
for Disease Control and Prevention (CDC) Childhood Lead Poisoning 
Prevention grantees, Maternal and Child Health programs, State Medicaid 
agencies and child care providers, EPA grantees, EPA Regions and/or 
EPA-authorized certification and training programs, and other programs 
which are addressing lead poisoning prevention needs. Efforts 
undertaken to encourage non-profit organizations, including faith-based 
organizations, to participate in the program should be described. 
Coordination also includes providing technical assistance and training 
to neighboring or regional jurisdictions to facilitate the 
implementation of lead-based paint hazard control activities in those 
jurisdictions.
    (2) Become actively involved (or if not currently active, describe 
the specific steps that will be taken to become active) in your 
community's Consolidated Plan and Analysis of Impediments processes and 
contribute information, action steps, and strategies to the element of 
the Consolidated Plan that has been established to identify and address 
the problem of childhood lead poisoning.
    (3) Coordinated and integrated lead hazard control work with the 
local agencies responsible for housing rehabilitation, housing and 
health codes, and other related housing programs, as well as with the 
work of community development corporations, other faith-based and other 
community-based organizations and childhood lead poisoning prevention 
programs.
    (a) Describe the degree to which lead hazard control work will be 
done in conjunction with other housing-related activities (i.e., 
rehabilitation, weatherization, correction of code violations, and 
other similar work), or your plan for the integration and coordination 
of lead hazard control activities into those activities in the future.
    (b) Describe plans to incorporate lead-based paint maintenance, and 
hazard control standards with the applicable housing codes and health 
regulations, including training of workers to conduct such activities.
    (c) Describe plans to generate and use public subsidies or other 
private-sector resources (such as revolving loan funds) to finance 
future lead hazard control activities.
    (d) Describe plans to develop public-private lending partnerships 
to finance lead hazard control as part of acquisition and 
rehabilitation financing including the use of Community Reinvestment 
Act ``credits'' by lending institutions.
    (e) Discuss efforts undertaken to coordinate activities of all 
agencies and organizations participating in any aspect of the proposed 
program,
    (f) Describe specific plans and objectives to implement a registry 
of lead-safe housing that is available to the public, or to incorporate 
housing or inclusion of the lead-safe status of properties in another 
publicly accessible address-based property information system. Such 
plans could include strategies on how the information would

[[Page 14077]]

be managed and made available to the public so that families 
(particularly low income families with children under age six) can make 
informed decisions regarding their housing options. Existing grantee 
applicants must address any registry of lead-safe housing and 
specifically discuss the availability, amount of information contained, 
and the use by members of the community.
    (g) Detail the extent to which the policy of affirmatively 
furthering fair housing for all segments of the population is advanced 
by the proposed activities. Detail how your proposed work plan will 
support the community's efforts to affirmatively further affordable 
housing for all segments of the population. If you have an existing 
grant, you should discuss activities that have contributed to enhanced 
lead safe housing opportunities to all segments of the population.
    (h) Describe plans to adopt or amend statutes, regulations, or 
policies that will more fully integrate lead hazard control into 
community policies and priorities.
    (4) Describe efforts to coordinate and cooperate with other 
organizations that will lead to a reduction in lead risks to community 
residents. This could include such activities as free training to 
create a workforce properly trained in lead safe work practices, lead-
safe repainting and remodeling; promotion of essential maintenance 
practices; and provision of lead dust testing to low-income, privately-
owned homes which may not receive lead hazard control assistance under 
this grant program.
    (5) Describe how your program will be held accountable for meeting 
program goals, objectives, and the actions undertaken in implementing 
the grant program. Applicants should provide a description of the 
mechanism to assess progress and track performance in meeting the goals 
and objectives outlined in the work plan. Applicants should provide 
assurances that work plans and performance measures developed for the 
program will assist intended beneficiaries, and that work will be 
conducted in a timely and cost-effective manner.

VI. Application Submission Requirements

(A) Applicant Information

    (1) Application Format. The application narrative response to the 
Rating Factors is limited to a maximum of 25 pages. Your response must 
be typewritten on one (1) side only on 8 \1/2\" x 11" paper using a 12-
point (minimum) font with not less than \3/4\" margins on all sides. 
Appendices should be referenced and discussed in the narrative 
response. Materials provided in the appendices should directly apply to 
the rating factor narrative.
    (2) Application Checklist. Your application must contain the items 
listed in this Section VI(A)(B). These items include the standard 
forms, certifications, and assurances listed in the General Section of 
the SuperNOFA that are applicable to this funding (collectively, 
referred to as the ``standard forms''). The standard forms can be found 
in Appendix B to the General Section of the SuperNOFA. The remaining 
application items that are forms (i.e., excluding such items as 
narratives, letters), referred to as the ``non-standard forms'' can be 
found as Appendix A to this program section of the SuperNOFA. The 
application items are as follows:
    (a) Transmittal Letter that identifies ``the applicant'' (or 
applicants) submitting the application, the dollar amount requested, 
what the program funds are requested for, and the nature of involvement 
with faith-based and other community-based organizations.
    (b) The name, mailing address, telephone number, and principal 
contact person of ``the applicant.'' If you have consortium associates, 
sub-grantees, partners, major subcontractors, joint venture 
participants, or others contributing resources to your project, you 
must provide similar information for each of these partners.
    (c) Checklist and Submission Table of Contents.
    (d) Applicant Abstract. An abstract describing the goals and 
objectives of your proposed program (2 page maximum).
    (e) Standard Form 424, Application for Federal Assistance.
    (f) HUD 424M, Federal Assistance Funding Matrix.
    (g) A detailed budget (total budget is the federal share and 
matching contribution) with supporting cost justifications for all 
budget categories of your grant request. You must provide a separate 
estimate for the overall grant management element (Administrative 
Costs), which is more fully defined in the application kit for this 
program section of the SuperNOFA. The budget shall include not more 
than 10% for administrative costs and not less than 90% for direct 
project elements. A minimum of 60% of the total Federal amount 
requested must be dedicated to direct lead hazard control activities. A 
sufficient amount of the total Federal amount must be dedicated to 
activities to create a workforce properly trained in lead-safe work 
practices. In the event of a discrepancy between grant amounts 
requested in various sections of the application, the amount you 
indicate on the SF-424 will govern as the correct value.
    (h) An itemized breakout (using the SF-424A) of your required 
matching contribution, including:

--Values placed on donated in-kind services;
--Letters or other evidence of commitment from donors; and
--The amounts and sources of contributed resources.

    (i) Standard Forms SF-LLL and SF-424B, and HUD Forms 2880, 2990, 
2991, 2992, 2993, 2994, 50070 and 50071.
    (j) Contracts, Memoranda of Understanding or Agreement, letters of 
commitment or other documentation describing the proposed roles of 
agencies, local broad-based task forces, participating faith-based and 
other community or neighborhood-based groups or organizations, local 
businesses, and others working with the program.
    (k) A copy of the lead hazard control element included in your 
current program year's Consolidated Plan. You should include the 
discussion of any lead-based paint issues in your jurisdiction's 
Analysis of Impediments, particularly as it addresses your target 
areas.
    (l) Narrative responses to the five rating factors.
    (B) Proposed Activities. All applications must, at a minimum, 
describe the proposed activities in the narrative responses to the 
rating factors. Your narrative statement must be numbered in accordance 
with each factor for award (Rating Factors 1 through 5).
    (C) Applicant Debriefing. See Section VII (E)(2) of the General 
Section of the SuperNOFA for information about applicant debriefing. 
Beginning not less than 30 days after the awards for assistance are 
announced in the above-mentioned Federal Register Notice, and for at 
least 120 days after awards for assistance are announced, HUD will 
provide a debriefing to any applicant requesting a debriefing on their 
application. All requests for debriefings must be made in writing and 
submitted to the person or organization identified as the Contact under 
the section entitled For Further Information and Technical Assistance 
in the program section of the SuperNOFA under which you applied for 
assistance. Information provided to you during your debriefing will 
include the final scores you received for each rating factor, final 
evaluator comments for each rating factor, and the final assessment 
indicating the basis upon

[[Page 14078]]

which assistance was provided or denied.

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    In accordance with HUD regulations in 24 CFR Part 58, recipients of 
lead-based paint hazard control grants will assume Federal 
environmental review responsibilities. Recipients of a grant under this 
funded program will be given guidance in these responsibilities.

IX. Authority

    The Lead-Based Paint Hazard Control Program is authorized by 
Section 1011 of the Residential Lead-Based Paint Hazard Reduction Act 
of 1992 (Title X of the Housing and Community Development Act of 1992).

Appendix A

    The non-standard forms, which follow, are required for your 
Lead-Based Paint Hazard Control Program application. They are the 
Checklist and Submission Table of Contents and the Total Budget 
(Federal Share and Matching Contribution, including instructions).

Appendix B

    The description of ``Administrative Costs'' and the 
``Eligibility of HUD Assisted Housing'' are included in this section 
of the NOFA.
BILLING CODE 4210-32-P

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[[Page 14093]]



FUNDING AVAILABILITY FOR HEALTHY HOMES AND LEAD TECHNICAL STUDIES

PROGRAM OVERVIEW

    Purpose of the Program. To fund technical studies to improve 
methods for detecting and controlling lead-based paint and other 
residential health and safety hazards. The purpose of the Healthy Homes 
Initiative is to develop, demonstrate and promote cost effective, 
preventive measures to correct multiple safety and health hazards in 
the home environment that are associated with serious diseases and 
injuries in children. The purpose of the lead technical studies program 
is to improve methods for detecting and controlling residential lead-
based paint hazards.
    Available Funds. Approximately $2.5 million for healthy homes 
technical studies, and $1 million for lead technical studies.
    Eligible Applicants. Academic and not-for-profit institutions 
located in the U.S., State and local governments, and federally 
recognized Indian tribes are eligible to apply. For-profit firms also 
are eligible; however, they are not allowed to earn a fee.
    Application Deadline. June 14, 2002.
    Match. None required.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Your completed application is due on or 
before June 14, 2002.
    See the General Section of this SuperNOFA for specific procedures 
that you must follow for the form of application submission (e.g., 
mailed applications, express mail, overnight delivery, or hand 
carried).
    Address for Submitting Applications. For U.S. Postal Service and 
Overnight/Express Mailed Applications. The address for mailed 
applications is: Department of Housing and Urban Development, Office of 
Healthy Homes and Lead Hazard Control, 451 Seventh Street, SW, Room 
P3206, Washington, DC 20410.
    Application Submission Requirements. New Security Procedures. HUD 
has implemented new security procedures that impact on application 
submission procedures. Please read the following instructions carefully 
and completely. HUD will not accept hand-delivered applications. 
Applications may be mailed using the United States Postal Service 
(USPS) or may be shipped via the following delivery services: United 
Parcel Service (UPS), FedEx, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without escort. You must, 
therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received by the designated HUD Office on 
or within fifteen (15) days of the application due date. All applicants 
must obtain and save a Certificate of Mailing showing the date when you 
submitted your application to the United States Postal Service (USPS). 
The Certificate of Mailing will be your documentary evidence that your 
application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, DHL, 
FedEx and Falcon Carrier. Delivery by these services must be made 
during HUD's Headquarters business hours, between 8:30 AM and 5:30 PM 
Eastern time, Monday to Friday. If these companies do not service your 
area, you should submit your application via the United States Postal 
Service.
    For Application Kits. You may obtain an application kit from the 
SuperNOFA Information Center at 1-800-HUD-8929. Persons with speech or 
hearing impairments may call the Center's TTY number at 1-800-HUD-2209. 
When requesting an application kit, please refer to the Healthy Homes 
and Lead Technical Studies grant program. Please be sure to provide 
your name, address (including zip code), and telephone number 
(including area code). Alternatively, you may obtain an application kit 
by downloading it from the Internet at www.hud.gov.
    For Further Information and Technical Assistance. You may contact: 
Dr. Peter Ashley, Office of Healthy Homes and Lead Hazard Control, at 
the address above; telephone (202) 755-1785, extension 115, or Ms. 
Curtissa Coleman, Grants Officer, extension 119 (these are not toll-
free numbers). Hearing- and speech-impaired persons may access the 
above telephone number via TTY by calling the toll-free Federal 
Information Relay Service at 1-800-877-8339.

II. Amount Allocated

    Approximately $2.5 million from HUD's FY 2002 Healthy Homes 
Initiative appropriation will be available to fund technical studies 
proposals and approximately $1 million from the FY 2002 lead technical 
assistance appropriation will be available to fund lead technical 
studies proposals in FY 2002. Grants or cooperative agreements will be 
awarded on a competitive basis according to the Rating Factors 
described in Section V(B). For technical studies under the Healthy 
Homes Initiative, HUD anticipates awarding 3 to 6 grants ranging from 
approximately $200,000 to approximately $1 million. For lead technical 
studies, HUD anticipates awarding 1 to 4 grants ranging from 
approximately $250,000 to approximately $1 million.

III. Program Description; Eligible Applicants; Eligible Activities

(A) Program Description. Background

    (1) General Goals and Objectives. (i) The overall goal of the 
Healthy Homes and Lead Technical Studies program is to gain knowledge 
to improve the efficacy and cost-effectiveness of methods for 
evaluation and control of health and safety hazards in the home. 
Through the Healthy Homes Initiative, HUD is assessing and promoting 
new risk reduction techniques and technical studies on the control of 
key hazards described in Appendix A. Objectives to be addressed by 
these projects are:
    (a) Investigation of the epidemiology of housing-related hazards 
and illness and injury.
    (b) Development and assessment of low-cost test methods and 
protocols for identification and assessment of housing-related hazards.
    (c) Development and assessment of cost-effective methods for 
reducing or eliminating housing-related hazards.
    (d) Evaluation of the effectiveness of housing interventions and 
public education campaigns, and barriers and incentives affecting 
future use of the most cost-effective strategies.
    (e) Investigation of the health effects on children living in 
deteriorated housing and the impact on their development and 
productivity.
    (ii) The overall goal of the lead technical studies program is to 
gain knowledge to improve the efficacy and

[[Page 14094]]

cost-effectiveness of methods for lead-based paint hazard evaluation 
and control. HUD is especially interested in the following technical 
studies topics:
    (a) Evaluation of interior and exterior lead hazard control 
methodologies, especially novel approaches;
    (b) The effectiveness of ongoing maintenance activities in 
controlling lead-based paint hazards;
    (c) Other areas of focus that are consistent with the overall goals 
of HUD's lead technical studies program.
    A table of examples of current Healthy Homes and Lead Technical 
Studies projects being funded by HUD can be found in Appendix C. HUD 
has also developed resource papers on a number of topic areas of 
importance under the Healthy Homes Initiative, including mold, 
environmental aspects of asthma, carbon monoxide, unintentional 
injuries, and hazard assessment. These papers can be downloaded from 
HHI web site at www.hud.gov.
    (2) Healthy Homes Initiative. The Healthy Homes Initiative (HHI) 
departs from the more traditional approach of attempting to correct one 
hazard at a time (e.g., asbestos, radon). In April 1999, HUD submitted 
to Congress a preliminary plan containing a full description of the 
Initiative. This description (Summary and Full Report) is available on 
the HUD website at www.hud.gov. A description of the HHI is available 
at the HHI website, www/hud.gov.
    In addition to deficiencies in basic housing facilities that may 
impact health, changes in the U.S. housing stock and more sophisticated 
epidemiological methods and biomedical research have led to the 
identification of new and often more subtle health hazards in the 
residential environment (e.g., asthma and mold-induced illness). While 
such hazards will tend to be found disproportionately in housing that 
is substandard (e.g., structural problems, lack of adequate heat, 
etc.), such housing-related environmental hazards may also exist in 
housing that is otherwise of good quality. Appendix A to this Healthy 
Homes and Lead Technical Studies program section of the SuperNOFA 
briefly describes the housing-associated health and injury hazards HUD 
considers key targets for intervention. Appendix B to this Healthy 
Homes and Lead Technical Studies program section of the SuperNOFA lists 
the references that serve as the basis for the information provided in 
this Healthy Homes and Lead Technical Studies section of this 
SuperNOFA.
    HUD is interested in promoting approaches that are cost-effective 
and efficient and that result in the reduction of health threats for 
the maximum number of residents for the long run, and in particular 
low-income children. The overall goals and objectives of the HHI are 
to:
    (i) Mobilize public and private resources, involving cooperation 
among all levels of government, the private sector, and faith-based and 
other community-based organizations to develop the most promising, 
cost-effective methods for identifying and controlling housing-based 
hazards.
    (ii) Build local capacity to operate sustainable programs that will 
continue to prevent and, where they occur, minimize and control 
housing-based hazards in low and very low-income residences when HUD 
funding is exhausted.
    HUD recognizes that there are many key scientific and 
implementation questions related to this Initiative, some of which were 
articulated in the HHI Preliminary Plan. With this NOFA, HUD hopes to 
advance the recognition and control of residential health and safety 
hazards and more closely examine the link between housing and health.
    (3) Lead Technical Studies. HUD has been actively engaged in a 
number of activities relating to lead-based paint as a result of the 
Lead-Based Paint Poisoning Prevention Act of 1971, as amended, 42 
U.S.C. 4801-4846. Sections 1051 and 1052 of the Lead Based Paint Hazard 
Reduction Act of 1992 (``Title X'') (42 U.S.C. 4854 and 4854a) state 
that the Secretary of HUD, in cooperation with other Federal agencies, 
shall conduct technical studies on specific topics related to the 
evaluation and subsequent mitigation of residential lead hazards. The 
HUD-sponsored technical studies program also responds to 
recommendations that were made by the Task Force on Lead-Based Paint 
Hazard Reduction and Financing, which was established pursuant to 
section 1015 of Title X. The Task Force presented its final report to 
HUD and the Environmental Protection Agency (EPA) in July 1995. The 
Task Force Report, entitled ``Putting the Pieces Together: Controlling 
Lead Hazards in the Nation's Housing'' (see Appendix A of this 
technical studies program section of the SuperNOFA), recommended 
research be conducted on a number of key topics to address significant 
gaps in our knowledge of lead exposure and hazard control.
    The findings of technical studies will be used in part to update 
HUD's Guidelines for the Evaluation and Control of Lead-Based Paint 
Hazards in Housing (``Guidelines''), which were published in June, 1995 
and amended in September, 1997. The Guidelines are a report on state-
of-the-art procedures for all aspects of lead-based paint hazard 
evaluation and control. The Guidelines reflect the Title X framework 
for lead hazard control, which distinguishes three types of control 
measures: interim controls, abatement of lead-based paint hazards, and 
complete abatement of all lead-based paint. Interim controls are 
designed to address hazards quickly, inexpensively, and temporarily, 
while abatement is intended to produce a permanent solution. While the 
Guidelines recommend procedures that are effective in identifying and 
controlling lead hazards while protecting the health of abatement 
workers and occupants, HUD recognizes that targeted technical studies 
and field experience will result in future changes to the Guidelines. 
For availability of the Guidelines, see Appendix A of this technical 
studies program section of the SuperNOFA.

(B) Eligible Applicants

     Academic and not-for-profit institutions located in the U.S., 
State and local governments, and federally recognized Indian tribes are 
eligible under all existing authorizations. For-profit firms also are 
eligible; however, they are not allowed to earn a fee (i.e., no profit 
can be made from the project). Federal agencies and Federal employees 
are not eligible to submit applications. The General Section of the 
SuperNOFA provides additional eligibility requirements.

(C) Eligible Activities

    (1) Healthy Homes Initiative, Eligible Activities
    (a) Evaluation of residential health and safety hazard assessment 
and control methodologies (including both existing methods and the 
evaluation of improved or novel approaches). Areas of particular 
interest to HUD include:

--Improving indoor air quality, such as through cost-effective 
approaches to upgrading residential ventilation or improving control/
management of combustion appliances. Applicants should discuss how 
proposed approaches might affect energy residential energy costs (e.g., 
increasing air exchange rates resulting in an increase in heating 
costs).
--Improving or assessing the efficacy of current methods for 
residential Integrated Pest Management (IPM). IPM approaches focus on 
the use of economical means for managing pests, which incorporate 
information on the life cycles of pests and their

[[Page 14095]]

interaction with the environment, while minimizing hazards to people, 
property, and the environment (see link at www.hud.gov). HUD is 
particularly interested in IPM methods for reducing cockroach and/or 
rodent populations in multifamily housing.
--Controlling excess moisture and dust control measures (e.g., 
preventing track-in of exterior dust and soil, improved methods for 
interior dust cleaning) have been identified as key areas in the HHI 
Preliminary Plan.
-- Additional ideas will be considered with an open mind toward novel 
techniques and applications.

    (b) Low-cost analytical techniques for the rapid, on and off-site 
determination of environmental contaminants of concern (e.g., 
bioaerosols, pesticides, allergens).

--Establish and validate any necessary procedures, such as extraction 
and/or digestion that would work well with the field device/procedure.
--Improve old technology (e.g., colorimetric tests, titrimetric 
procedures) as well as examine and improve newer techniques.
--Consider the safety, environmental impacts, and cost of the 
procedure, particularly as used in the field.

In proposing technical studies within the broad topic areas discussed 
in III.C.2(a) and III.C.2(b), applicants should consider the following:

--The ``fit'' of the proposed hazard assessment and/or control methods 
within the overall goal of addressing multiple health and safety 
hazards in a cost-effective manner.
--The efficacy of the proposed methods for hazard control and risk 
reduction (e.g., how long is effective hazard reduction maintained?).
--Evaluate critical elements and potential weaknesses of the methods or 
techniques, and address how to minimize the effect of each critical 
element and/or eliminate or mitigate each weakness.
-- Demonstrate where and how these methods have been applied and 
tested, and/or perform demonstration activities.

    Although HUD is soliciting proposals for technical studies on these 
broad topics, HUD will also consider funding applications for technical 
studies on topics that are relevant under the overall goals and 
objectives of this program, as described above. In such instances, the 
applicant should describe how the proposed project activity addresses 
these overall goals and objectives.
    Applicants should consider the efficiencies that might be gained by 
working cooperatively with some of the recipients of HUD's Healthy 
Homes and Lead Hazard Control grants, which are widely distributed 
throughout the U.S. Information on current grantees is available at 
www.hud.gov.
    You may address one or more of the technical studies topic areas 
within your proposal, or submit separate applications for different 
topic areas. Projects need not address all of the objectives within a 
given topic area.
    (2) Lead Technical Studies, Eligible Activities.
    (a) Evaluation of Interior and Exterior Lead Hazard Control 
Methodologies, Especially Novel Approaches. Identify and evaluate new 
methods and/or techniques for lead-based paint hazard control. Identify 
materials and/or procedures that may be used for abatement or for 
interim controls. Show the potential utility of these methods for lead 
hazard control and risk reduction. Evaluate critical elements and 
potential weaknesses of the methods or techniques, and address how to 
minimize the effect of each critical element and/or eliminate or 
mitigate each weakness. Demonstrate where and how these methods have 
been applied and tested, and/or perform demonstration activities. 
Illustrate the results obtained, and the costs involved. Recommend 
cost-effective changes to the Program for inclusion in future HUD lead 
hazard control grants, and for possible inclusion in future revisions 
to the Guidelines.
    (b) The Effectiveness of Ongoing Maintenance Program Activities in 
Controlling Lead-Based Paint Hazards. While a variety of lead abatement 
and interim control techniques have been evaluated for their 
effectiveness in controlling lead-based paint hazards at and after 
their implementation, there is limited study directly assessing the 
effectiveness of ongoing lead-based paint maintenance programs. 
Evaluate the effectiveness and feasibility of developing and 
implementing ongoing lead-based paint maintenance programs, identify 
program components for which particular implementation difficulties 
exist, and evaluate proposed measures for overcoming those 
difficulties. Such quantitative evaluation of program components could 
address whether and how technically-acceptable and cost-effective work 
practices are selected and implemented, how effective supervisors are 
in monitoring work activities to ensure that lead-based paint hazards 
are controlled and that dust and debris are contained and cleaned up 
during work, and how well clearance procedures (including necessary re-
cleaning) are integrated into the maintenance program, among other 
factors.
    (c) Other Focus Areas that are Consistent with the Overall Goals of 
HUD's Lead Technical Studies Program. Additional ideas will be 
considered with an open mind toward novel techniques and applications. 
Although HUD is soliciting proposals for technical studies on some 
specific topics, HUD will also consider funding applications for 
technical studies on topics which are relevant under the overall goals 
and objectives of the lead hazard control technical studies program, as 
described above. In such instances, the applicant should describe how 
the proposed activity addresses these overall goals and objectives.

(D) Ineligible Activities

    (1) Purchase or lease of equipment having a per unit cost in excess 
of $5,000, unless prior written approval is obtained from HUD.
    (2) Medical treatment costs.

IV. Program Requirements.

    (A) Applicable Requirements. Please refer to Section II of the 
General Section of the SuperNOFA, Requirements and Procedures 
Applicable to All Programs. The threshold requirements are listed in 
Section II B of the General Section of this SuperNOFA. Applicants must 
comply with these threshold requirements.
    (B) Conducting Business in Accordance with HUD Core Values and 
Ethical Standards. All applicants shall develop and maintain a written 
code of conduct that reflects HUD's Core Values. Refer to the General 
Section of the SuperNOFA for additional information.
    (C) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women-Owned Businesses. The Department of 
Housing and Urban Development (HUD) is committed to ensuring that small 
businesses, small disadvantaged businesses and women-owned businesses 
participate fully in HUD's direct contracting and in contracting 
opportunities generated by HUD grant funds. Refer to the General 
Section of the SuperNOFA for applicable requirements.
    (D) Certifications and Assurances. In addition to the 
certifications mentioned in the Section II(G) of the General Section of 
the SuperNOFA, you must comply with the following:
    (1) All relevant State and Federal regulations regarding exposure 
to and proper disposal of hazardous materials.
    (2) Any blood lead testing, blood lead level test results, and 
medical referral

[[Page 14096]]

and follow-up for children under six years of age will be conducted 
according to the recommendations of the Centers for Disease Control and 
Prevention (CDC) Preventing Lead Poisoning in Young Children, (See 
Appendix B of this technical studies program section of the SuperNOFA).
    (3) HUD technical studies grant funds will not replace existing 
resources dedicated to any ongoing project.
    (4) Laboratory analysis covered by the National Lead Laboratory 
Accreditation Program (NLLAP) will be conducted by a laboratory 
recognized under the program.
    (5) Human research subjects will be protected from research risks 
in conformance with Federal Policy for the Protection of Human 
Subjects, codified by HUD at 24 CFR part 60.
    (6) The requirements of OSHA (e.g., 29 CFR part 1910 and/or 1926, 
as applicable), or the State or local occupational safety and health 
regulations, whichever are most stringent, will be met.
    (E) Period of Performance. The period of performance cannot exceed 
36 months from the time of award.
    (F) Conducting Business in Accordance with HUD core Values and 
Ethical Standards. If awarded assistance under this Super NOFA, you 
will be required, prior to entering into a grant agreement with HUD, to 
submit a copy of your code of conduct and describe the methods you will 
use to ensure that all officers, employees, and agents of your 
organization are aware of your code of conduct. See Section II(A)(2) of 
the General Section of the SuperNOFA for information about conducting 
business in accordance with HUD's core values and ethical standards.

V. Application Selection Process

    (A) Submitting Applications for Grants. Applications that meet all 
of the threshold requirements will be eligible to be scored and ranked, 
based on the total number of points allocated for each of the rating 
factors described below in Section V (B) of this program section of the 
SuperNOFA. Your application must receive a total score of at least 70 
points to remain in consideration for funding.
    Awards will be made separately in rank order for Healthy Homes 
Technical Studies applications and Lead Technical Studies applications, 
within the limits of funding availability for each program.
    Within each of the two technical studies programs, you may address 
more than one of the technical study topic areas within your proposal 
(e.g., a HH technical studies applicant can address multiple topics 
consistent with the HHI program objectives), or submit separate 
applications for different topic areas. Projects need not address all 
of the objectives within a given topic area. While you will not be 
penalized for not addressing all of the specific objectives for a given 
topic area, if two applications for technical study in a given topic 
have equal scores, HUD will select the applicant whose project 
addresses the most objectives.
    You are encouraged to plan projects that can be completed over a 
short time period (e.g., 12 to 24 months from the date of award) so 
useful information generated from the technical studies can be 
available for policy or program decisions and disseminated to the 
public as quickly as possible.
    Regarding the amount to be awarded to the selected applicants, 
please refer to the Negotiations section in the General Section of this 
SuperNOFA.
    (1) Use of Residual Funds. In the selection process, HUD reserves 
the right to offer partial funding to any or all applicants. If you are 
offered a reduced grant amount, you will have a maximum of fourteen 
(14) calendar days to accept such a reduced award. If you fail to 
respond within the 14-day limit, you shall be considered to have 
declined the award.
    (B) Rating Factors. The factors for rating and ranking applicants, 
and maximum points for each factor, are provided below. The factors or 
their assigned points differ somewhat from those used for most program 
areas included in this SuperNOFA because they have been amended for 
rating the unique aspects of technical study applications. The maximum 
number of points to be awarded is 100. The EZ/EC bonus points described 
in the General Section of the SuperNOFA do not apply to this Technical 
Studies NOFA.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience (30 Points)

    This factor addresses the extent to which you have the ability and 
organizational resources necessary to successfully implement your 
proposed activities in a timely manner. The rating of you, the 
``applicant,'' will include any sub-grantees, consultants, sub-
recipients, and members of consortia that are firmly committed to the 
project (generally, ``subordinate organizations''). In rating this 
factor HUD will consider the extent to which your application 
demonstrates:
    (1) The capability and qualifications of the principal investigator 
and key personnel (20 points). Qualifications to carry out the proposed 
study as evidenced by academic background, relevant publications, and 
recent (within the past 10 years) relevant research experience. 
Publications and research experience are considered relevant if they 
required the acquisition and use of knowledge and skills that can be 
applied in the planning and execution of the technical study that is 
proposed under this program section of this SuperNOFA.
    (2) Past performance of the study team in managing similar projects 
(10 points). Demonstrated ability to successfully manage various 
aspects of a complex technical study in such areas as logistics, study 
personnel management, data management, quality control, community study 
involvement (if applicable), and report writing, as well as overall 
success in project completion (i.e., projects completed on time and 
within budget). You should also demonstrate that your project would 
have adequate administrative support, including clerical and 
specialized support in areas such as accounting and equipment 
maintenance.

Rating Factor 2: Need/Extent of the Problem (10 Points)

    This factor addresses the extent to which there is a need for your 
proposed study activities to address documented problems, target areas 
or target groups. In responding to this factor, you should document in 
detail how your project would make a significant contribution towards 
achieving some or all of HUD's stated goals and objectives for one or 
more of the topic areas described in Sections III (A) and (C)(1)-(2) of 
this program section of the SuperNOFA.
    (1) Your rating will be based on the scope and completeness of your 
documentation that should include available data linking housing-based 
hazards to disease or injuries to children. Examples of data that might 
be used to demonstrate need include:
    (a) Rates of childhood illnesses or injuries (e.g., asthma, burns) 
that could be caused or exacerbated by exposure to conditions in the 
home environment and/or rates of environmentally-related disease or 
adverse health effects (e.g., hypertension, elevated blood lead levels) 
that would be addressed by your technical study;
    (b) Unavailability of other federal, state or local funding or 
private sector resources that could be, or are being used, to address 
the problem. This includes current research projects for which funding 
will be terminated or significantly reduced in the next 12 months.

[[Page 14097]]

    (c) Data documenting affected groups or areas that are 
traditionally underserved or have special needs.
    (2) If your application addresses needs that are in the 
Consolidated Plan, court orders or consent decrees, settlements, 
conciliation agreements, and voluntary compliance agreements, you will 
receive more points than applicants that do not relate their program to 
identified need.
    (3) In addition, if you are seeking funding for ``other'' technical 
study focus areas, as is described in Section III(C)(1)(b) and 
III(C)(2)(c), you must document the importance and need for the project 
with respect to addressing the overall goal of this technical studies 
program.

Rating Factor 3: Soundness of Approach (50 Points)

    This factor addresses the quality of your proposed technical study 
plan. Specific components include the following:
    (1) Soundness of the study design (30 points). The project 
description/study design must be thorough and feasible, and reflect 
your knowledge of the relevant scientific literature. You should 
clearly describe how your study builds upon the current state of 
knowledge for your focus area. If possible, your study should be 
designed to address testable hypotheses, which are clearly stated. Your 
study design should be statistically based, with adequate power to test 
your stated hypotheses. The study design should be presented as a 
logical sequence of steps or phases, with individual tasks described 
for each phase. You should identify any important ``decision points'' 
in your study plan and you should discuss plans for data management, 
analysis and archiving.
    Indicate if you will address any of the Department's FY 2002 policy 
priorities that are applicable to this program (see Section VI of the 
General Section of the SuperNOFA for a description of these policy 
priorities). You will receive one point for each of the applicable 
policy priorities that are addressed in your application. Policy 
priorities that are potentially applicable to the Healthy Homes and 
Lead Technical Studies NOFA are: (1) Improving the Quality of Public 
Housing and Providing More Choices for its Residents; and (2) Colonias.
    (2) Quality assurance mechanisms (10 points). You must describe the 
quality assurance mechanisms that will be integrated into your project 
design to ensure the validity and quality of the results. Areas to be 
addressed include acceptance criteria for data quality, procedures for 
selection of samples/sample sites, sample handling, measurement and 
analysis, and any standard/nonstandard quality assurance/control 
procedures to be followed. Documents (e.g., government reports, peer-
reviewed academic literature) that provide the basis for your quality 
assurance mechanisms should be cited.
    (3) Project management plan (8 points). The proposal should include 
a management plan that provides a schedule for the completion of major 
activities, tasks and deliverables, with an indication that there will 
be adequate resources (e.g., personnel, financial) to successfully meet 
the proposed schedule. You are encouraged to plan a project with a 
duration of 24 months or less.
    (5) Budget Proposal (2 Points). Your budget proposal should 
thoroughly estimate all applicable direct and indirect costs, and be 
presented in a clear and coherent format in accordance with the 
requirements listed in the General Section of this SuperNOFA. HUD is 
not required to approve or fund all proposed activities. Your budget 
should be submitted in the format provided in Appendix D; an electronic 
spreadsheet is available on HUD's website, www.hud.gov. You must 
thoroughly document and justify all budget categories and costs (Part B 
of Standard Form 424A) and all major tasks, for yourself, sub-
recipients, partners, major subcontractors, joint venture participants, 
or others contributing resources to the project. Your budget proposal 
should be activity and task related.

Rating Factor 4: Leveraging Resources (5 Points)

    Your proposal should demonstrate that the effectiveness of HUD's 
Healthy Homes and Lead Technical Studies grant funds are being 
increased by securing other public and/or private resources or by 
structuring the project in a cost-effective manner, such as integrating 
the project into an existing study. Resources may include funding or 
in-kind contributions (such as services, facilities or equipment) 
allocated to the purpose(s) of your project. Staff and in-kind 
contributions should be given a monetary value.
    You should provide evidence of leveraging/partnerships by attaching 
to your application the following: Letters of firm commitment, 
memoranda of understanding, or agreements to participate from those 
entities identified as partners in the project efforts. Each letter of 
commitment, memorandum of understanding, or agreement to participate 
must include the organization's name, proposed level of commitment 
(with monetary value) and responsibilities as they relate to specific 
activities or tasks of your 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: Coordination, Self-Sufficiency and Sustainability 
(5 Points)

    (1) The extent to which you have coordinated your activities with 
other organizations that have or are in the process of conducting 
similar work. Your proposed study should build upon the existing body 
of related work and it should not significantly duplicate work that is 
currently being conducted, or has been conducted, by other 
organizations (to the extent that this can be ascertained);
    (2) The extent to which your project will help generate practical 
solutions that can be funded and implemented locally for the 
identification and mitigation of health and safety hazards in 
residential environments;
    (3) The extent to which your project findings can be used by 
various local and State governmental and non-governmental organizations 
to develop programs to implement improved evaluation and remediation 
strategies for addressing health and safety hazards in the residential 
environment in the absence of additional Federal funding.

VI. Application Submission Requirements

    (A) Applicant Data. Your application must contain the items listed 
in this Section (VI(A)). These items include the standard forms, 
certifications, and assurances listed in the General Section of the 
SuperNOFA that are applicable to this funding (collectively, referred 
to as the ``standard forms''). The standard forms can be found in 
Appendix B to the General Section of the SuperNOFA. The remaining 
application items that are forms (i.e., excluding such items as 
narratives), referred to as the non-standard forms can be found as 
Appendix D to this program section of the SuperNOFA: The items are as 
follows:
    (1) Transmittal Letter that identifies what the technical study 
program funds are requested for (you should clearly specify that you 
are applying for funds under either the Healthy Homes Initiative 
technical studies program or the Lead Hazard Control technical studies 
program), the dollar amount requested, and the applicant or applicants 
submitting the application. If

[[Page 14098]]

two or more organizations are working together on the project, a 
primary applicant must be designated.
    (2) Checklist and Submission Table of Contents (see Appendix D).
    (3) The name, mailing address, telephone number, and principal 
contact person of the prime applicant. If you have consortium 
associates, sub-grantees, partners, major subcontractors, joint venture 
participants, or others contributing resources to your project, similar 
information must be provided for each of these entities.
    (4) Completed Forms HUD-2880, Applicant/Recipient Disclosure/Update 
Report; Certification Regarding Lobbying; and/or SF-LLL, Disclosure of 
Lobbying Activities, where applicable. A Certification of Consistency 
with the Consolidated Plan is not required for this application.
    (5) Completed Standard Forms SF-424, 424M, 424A, 424B, and other 
certifications and assurances listed in the General Section of the 
SuperNOFA.
    (6) A detailed total budget with supporting cost justification for 
all budget categories of the Federal grant request. Use the budget 
format discussed in Section V(B) Rating Factor 3:5, above. (See 
Appendix D.)
    (7) A two-page (maximum) abstract containing the following 
information: The project title, the names and affiliations of all 
investigators, and a summary of the objectives, expected results, and 
study design described in the proposal.
    (8) A project description/narrative statement addressing the rating 
factors for award of funding under this program section of the 
SuperNOFA. The narrative statement must be numbered in accordance with 
each factor for award (Rating Factors 1 through 5). The response to the 
rating factors should not exceed a total of 25 pages for each technical 
study topic area. Any pages in excess of this limit will not be read.
    (9) Any important attachments, appendices, references, or other 
relevant information may accompany the project description, but must 
not exceed twenty (20) pages for the entire application. Any pages in 
excess of this limit will not be read.
    (10) The resumes of the principal investigator and other key 
personnel. Resumes shall not exceed three pages each, and are limited 
to information that is relevant in assessing the qualifications of key 
personnel to conduct and/or manage the proposed technical studies.
    (B) Applicant Debriefing. See Section VII(E)(2) of the General 
Section of the SuperNOFA for information about applicant debriefing.

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    In accordance with 24 CFR 50.19(b)(1) and (b)(5) of the HUD 
regulations, activities assisted under this program are categorically 
excluded from the requirements of the National Environmental Policy Act 
of 1969 (42 U.S.C. 4321) and are not subject to environmental review 
under the related laws and authorities.

IX. Authority

    These grants are authorized under sections 1051 and 1052 of the 
Residential Lead Based Paint Hazard Reduction Act of 1992, which is 
Title X of the Housing and Community Development Act of 1992, sections 
501 and 502 of the Housing and Urban Development Act of 1970, and the 
Departments of Veterans Affairs and Housing and Urban Development, and 
Independent Agencies Appropriations Act, 2002, Pub. L. 107-73, approved 
November 26, 2001.

Appendix A

    The following briefly describes the housing-associated health 
and injury hazards HUD considers key targets for intervention:
    Allergens and asthma: Experts estimate that 14 million Americans 
have asthma, with an associated annual cost of $14 billion. Asthma 
is now recognized as the leading cause of school and work absence, 
emergency room visits and hospitalization. For sensitized children, 
exposure to antigens from dust mites, certain pets, and cockroaches 
has been associated with more severe asthma. There is a 
preponderance of evidence showing a dose-response relationship 
between exposure and prevalence of asthma and allergies; some 
evidence also indicates that exposure to antigens early in life may 
predispose or hasten the onset of allergies and asthma. Dust mites 
have been identified as the largest trigger for asthma and 
allergies. Cockroach allergens appear to be excessive in 30-50% of 
inner-city housing and affect 5-15% of the population, whereas dust 
mite appears to be the dominant allergen in other environments.
    Interventions known to have beneficial effects include 
installation of impervious mattress and pillow covers, which can 
reduce allergen exposure by 90%. Other dust mite control measures 
include dehumidification, laundering bedding, and removal of carpets 
and other dust sinks. Cleaning carpets with tannic acid solution has 
also been demonstrated to greatly reduce dust mites. Asthma 
prevention program costs have been estimated at about $500 per unit, 
which includes about $150 for educational interventions.
    Asbestos: Asbestos is a mineral fiber that has been used 
commonly in a variety of building construction materials and 
household products for insulation and as a fire-retardant. The 
Environmental Protection Agency (EPA) and the Consumer Product 
Safety Commission (CPSC) have banned most asbestos products. 
Manufacturers have also voluntarily limited uses of asbestos. Today, 
asbestos is most commonly found in older homes: In pipe and furnace 
insulation materials, asbestos shingles, millboard, textured paints 
and other coating materials, and floor tiles. Elevated 
concentrations of airborne asbestos can occur when asbestos-
containing materials (ACM) are disturbed by cutting, sanding or 
other remodeling activities. Improper attempts to remove these 
materials can release asbestos fibers into the air in homes, 
increasing asbestos levels and endangering people living in those 
homes. The most dangerous asbestos fibers are too small to be 
visible. After they are inhaled, they can remain and accumulate in 
the lungs. Asbestos can cause lung cancer, mesothelioma (a cancer of 
the chest and abdominal linings), and asbestosis (irreversible lung 
scarring that can be fatal). Most people with asbestos-related 
diseases were exposed to elevated concentrations on the job; some 
developed disease from exposure to clothing and equipment brought 
home from job sites. As with radon, dose-response extrapolations 
suggest that lower level exposures, as may occur when asbestos-
containing building materials deteriorate or are disturbed, may also 
cause cancer.
    Intact asbestos-containing materials are not a hazard; they 
should be monitored for damage or deterioration and isolated if 
possible. Repair of damaged or deteriorating ACM usually involves 
either sealing (encapsulation) or covering (enclosure) it. Repair is 
usually cheaper than removal, but it may make later removal of 
asbestos more difficult and costly. Repairs should be done only by a 
professional trained and certified to handle asbestos safely and can 
cost from a few hundred to a few thousand dollars; removal can be 
more expensive.
    Combustion products of heating and cooking appliances: Burning 
of oil, natural gas, kerosene, and wood for heating or cooking 
purposes can release a variety of combustion products of health 
concern. Depending upon the fuel, these may include carbon monoxide 
(a chemical asphyxiant), oxides of nitrogen (respiratory irritants), 
polycyclic aromatic hydrocarbons (e.g., the carcinogen 
benzo[a]pyrene), and airborne particulate matter (respiratory 
irritants). Carbon monoxide, an odorless gas, can be fatal. Nitrogen 
dioxide can damage the respiratory tract, and sulfur dioxide can 
irritate the eyes, nose and respiratory tract. Smoke and other 
particulates irritate the eyes, nose and throat, and can cause lung 
cancer.
    Improper venting and poor maintenance of heating systems and 
cooking appliances can dramatically increase exposure to combustion 
products. Experts recommend having combustion heating systems 
inspected by a trained professional every year to identify blocked 
openings to flues and chimneys; cracked or disconnected flue pipe;

[[Page 14099]]

dirty filters; rust or cracks in the heat exchanger; soot or 
creosote build-up; and exhaust or gas odors. Installing a carbon 
monoxide detector is also recommended; however, such a detector will 
not detect other combustion by-products.
    Insect and Rodent pests: The observed association between 
exposure to cockroach antigen and asthma severity has already been 
noted above. In addition, cockroaches may act as vehicles to 
contaminate and environmental surfaces with certain pathogenic 
organisms. Rodents can transmit a number of communicable diseases to 
humans, either through bites, arthropod vectors, or exposure to 
aerosolized excreta. In addition, humans can become sensitized to 
proteins in rodent, urine, dander and saliva. Such sensitization may 
contribute to asthma severity among children. Insect and rodent 
infestation is frequently associated with substandard housing that 
makes it difficult to eliminate. Treatment of rodent and insect 
infestations often includes the use of toxic pesticides that may 
present hazards to occupants (see below). Integrated pest management 
(IPM) for rodents and cockroaches, which reduces the use of 
pesticides, is estimated to cost approximately $150 per unit. IPM 
control measures include sealing holes and cracks, removing food 
sources and use of traps.
    Lead: Exposure to lead, especially from deteriorating lead-based 
paint, remains one of the most important and best studied of the 
household environmental hazards to children. Although blood lead 
levels have fallen nationally, a large reservoir of lead remains in 
housing. The most recent national survey, conducted from 1991-94, 
showed that nearly one million U.S. preschoolers still have elevated 
blood lead levels. Overall, the prevalence rate among all children 
under six years of age is 4.4%. Among low-income children living in 
older housing where lead-based paint is most prevalent, the rate 
climbs to 16%; and for African-American children living in such 
housing, it reaches 21%.
    HUD estimates that 38 million dwellings have some lead-based 
paint, and that 26 million have significant lead-based paint 
hazards. Of those, about 5.7 million have young children and of 
those, about 1.6 million have household incomes under $30,000 per 
year. Costs for lead hazard control can range anywhere from $500 to 
$15,000 per unit. Corrective measures include paint stabilization, 
enclosure and removal of certain building components coated with 
lead paint, and cleanup and ``clearance testing,'' which ensures the 
unit is safe for young children.
    Mold and moisture: An analysis of several pulmonary disease 
studies estimates that 25% of airways disease, and 60% of 
interstitial lung disease may be associated with moisture in the 
home or work environment. Moisture is a precursor to the growth of 
mold and other biological agents, which is also associated with 
respiratory symptoms. An investigation of a cluster of pulmonary 
hemosiderosis (PH) cases in infants showed PH was associated with a 
history of recent water damage to homes and with levels of the mold 
Stachybotrys atra (SA) in air and in cultured surface samples. 
Associations between exposure to SA and ``sick building'' symptoms 
in adults have also been observed. Other related toxigenic fungi 
have been found in association with SA-associated illness and could 
play a role. For sensitive individuals, exposure to a wide variety 
of common molds may also aggravate asthma. Addressing mold problems 
in housing requires coordination among the medical, public health, 
microbiological, housing, and building science communities.
    The cost of mold/moisture-related intervention work (e.g., 
integrated pest management, clean & tune furnace, remove debris, 
vent clothes dryer, cover dirt floor with impermeable vapor barrier) 
is a few hundred dollars, unless major modification of the 
ventilation system is needed. In Cleveland, mold interventions, 
including repairs to ventilation systems and basement flooring, in 
the most heavily contaminated homes range from $500-$5,000, with 
some costs also being dedicated to lead hazard control 
simultaneously through its lead+asthma program.
    Pesticide residues: According to the EPA, 75 percent of U.S. 
households used at least one pesticide product indoors during the 
past year. Products used most often are insecticides and 
disinfectants. Another study suggests 80 percent of most people's 
exposure to pesticides occurs indoors and that measurable levels of 
up to a dozen pesticides have been found in the air inside homes. 
The amount of pesticides found in homes appears to be greater than 
can be explained by recent pesticide use in those households; other 
possible sources include contaminated soil or dust that migrates in 
from outside, stored pesticide containers, and household surfaces 
that collect and then release the pesticides. Pesticides used in and 
around the home include products to control insects (insecticides), 
termites (termiticides), rodents (rodenticides), molds and fungi 
(fungicides), and microbes (disinfectants). In 1990, the American 
Association of Poison Control Centers reported that some 79,000 
children were involved in common household pesticide poisonings or 
exposures. In households with children under five years old, almost 
one-half stored at least one pesticide product within reach of 
children. Exposure to chlorpyriphos (CP), a commonly used 
organophosphate insecticide, in the prenatal and early postnatal 
period may impair neurodevelopment. While CP is a biodegradable 
pesticide, substantial persistence of CP in house dust has been 
demonstrated. Exposure to high levels of cyclodiene pesticides, 
commonly associated with misapplication, has produced various 
symptoms, including headaches, dizziness, muscle twitching, 
weakness, tingling sensations, and nausea. In addition, EPA is 
concerned that cyclodienes might cause long-term damage to the liver 
and the central nervous system, as well as an increased risk of 
cancer.
    There are available data on hazard evaluation methods and 
remediation effectiveness regarding pesticide residues in the home 
environment.
    Radon progeny: The National Academy of Sciences estimates that 
approximately 15,000 cases of lung cancer per year are related to 
radon exposure. Epidemiologic studies of miners exposed to high 
levels of radon in inhaled air have defined the dose response 
relation for radon-induced lung cancer at high exposure levels. 
Extrapolation of these data has been used to estimate the excess 
risk of lung cancer attributable to exposure to radon gas at the 
lower levels found in homes. These estimates indicate that radon gas 
is an important cause of lung cancer deaths in the U.S. Excessive 
exposures are typically related to home ventilation, structural 
integrity and location.
    Radon measurement and remediation methods are well developed, 
and the Environmental Protection Agency (EPA) recommends that every 
home be measured for radon. EPA estimates that materials and labor 
costs for radon reduction in an existing home are $800-$2500. 
Including radon resistant techniques in new home construction costs 
$350-$500, and can save up to $65 annually in energy costs, 
according to the EPA.
    Take home hazards from work/hobbies and work at home: When the 
clothing, hair, skin, or shoes of workers become contaminated with 
hazardous materials in the workplace, such contaminants may 
inadvertently be carried to the home environment and/or an 
automobile. Such ``take-home'' exposures have been demonstrated, for 
example, in homes of lead-exposed workers. In addition, certain 
hobbies or workplaces located in the home may provide an especially 
great risk of household contamination.
    Control methods include storing and laundering work clothes 
separately, and showering and changing before leaving work, or 
immediately after arriving home. Once a home becomes contaminated, 
cleaning floors and contact surfaces and replacing furnishings may 
be necessary to reduce exposures.
    Unintentional injuries/fire: Unintentional injury is now the 
leading cause of death and disability among children younger than 15 
years of age. In 1997, nearly 7 million persons in the United States 
were disabled for at least 1 full day by unintentional injuries 
received at home. During the same year, 28,400 deaths were 
attributable to unintentional home injuries, of which 1800 occurred 
among children 0-4 years of age. Among young children, three types 
of events accounted for more than 3/4 of deaths: fires/ burns, 
drownings, and mechanical suffocation. Falls and poisoning are the 
next most common.
    Home visitation protocols have been shown to be effective in 
reducing exposure to such hazards. The ``add-on'' cost of injury 
prevention measures, when combined with other housing interventions 
are estimated at about $100 per unit. This includes the cost of some 
injury prevention devices, such as smoke alarms, electrical socket 
covers, etc.

Appendix B--Relevant Publications and Guidelines

    To secure any of the documents listed, call the listed telephone 
number (generally, the telephone numbers are not toll-free). A 
number of these references are provided on HUD's CD, ``Residential 
Lead Desktop Reference, 3rd Edition.'' This CD is available

[[Page 14100]]

at no charge from the National Lead Information Clearinghouse, 1-
800-424-LEAD.

Regulations

    1. Worker Protection: OSHA publication--Telephone: 202-693-1888 
(OSHA Regulations) (available for a charge)--Government Printing 
Office--Telephone: 202-512-1800 (not a toll-free number):

--General Industry Lead Standard, 29 CFR 1910.1025 (Document Number 
869022001124). Can be downloaded from the Internet without charge 
from www.osha-slc.gov/OshStd_data/1910_1025.html.
--Lead Exposure in Construction, 29 CFR 1926.62, and appendices A, 
B, C, and D (Document Number 869022001141). Can be downloaded from 
the Internet without charge from www.osha-slc.gov/OshStd_data/1926_0062.html.

    2. Waste Disposal: 40 CFR parts 260-268 (EPA regulations) 
(available for a charge)--Telephone 1-800-424-9346, or, from the 
Washington, DC, metropolitan area, 1-703-412-9810 (not a toll-free 
number). Can be downloaded from the Internet without charge from 
www.epa.gov/docs/epacfr40/chapt-I.info/subch-I/htm.
    3. Lead; Requirements for Lead-Based Paint Activities in Target 
Housing and Child-Occupied Facilities; Final Rule: 40 CFR part 745 
(EPA) (Lead Hazard Standards, Work Practice Standards, EPA and State 
Certification and Accreditation Programs for those engaged in lead-
based paint activities)--Telephone: 1-202-554-1404 (Toxic Substances 
Control Act Hotline) (not a toll-free number). Can be downloaded 
from the Internet without charge from www.epa.gov/lead/.
    4. Requirements for Notification, Evaluation and Reduction of 
Lead-Based Paint Hazards in Federally Owned Residential Property and 
Housing Receiving Federal Assistance; Final Rule: 24 CFR part 35, 
subparts A through R, published September 15, 1999, at Federal 
Register pages 50201 through 50231(HUD)--Telephone: 1-800-424-LEAD 
(National Lead Information Center). Can be downloaded from the 
Internet without charge from www.hud.gov/offices/lead.
    5. U.S. Environmental Protection Agency. Lead; Identification of 
Dangerous Levels of Lead; Final Rule at 66 FR 1205-1240, January 5, 
2001. TSCA Hotline: 202-554-1404 (not a toll-free number). Can be 
downloaded from the Internet without charge from www.epa.gov/lead/leadhaz.htm.

Guidelines

    1. Guidelines for the Evaluation and Control of Lead-Based Paint 
Hazards in Housing; HUD, June 1995, and amended September 1997. 
(available for a charge)--Telephone: 800-245-2691. Can be downloaded 
from the Internet without charge from www.hud.gov/offices/lead.
    2. Preventing Lead Poisoning in Young Children; Centers for 
Disease Control, October 1991: Telephone: 888-232-6789. Can be 
downloaded from the Internet without charge from www.hud.gov/offices/lead.
    3. Screening Young Children for Lead Poisoning: Guidance for 
State and Local Public Health Officials, November 1997; Centers for 
Disease Control and Prevention (CDC): Telephone: 888-232-6789. Can 
be downloaded from the Internet without charge from www.hud.gov/offices/lead.

Reports and Articles

    1. Putting the Pieces Together: Controlling Lead Hazards in the 
Nation's Housing, (Summary and Full Report); HUD, July 1995 
(available for a charge)--Telephone 800-245-2691. Can be downloaded 
from the Internet without charge from www.hud.gov/offices/lead.
    2. The Healthy Homes Initiative: A Preliminary Plan (Summary and 
Full Report); HUD, July 1995. Can be downloaded from the Internet 
without charge from www.hud.gov/offices/lead.
    3. Institute of Medicine. Indoor Allergens. Assessing and 
Controlling Adverse Health Effects. National Academy Press. 
Washington, D.C. 1993.
    4. Mott L., Our Children at Risk. Natural Resources Defense 
Council. Washington, D.C. 1997. Can be ordered from the Internet 
from www.nrdc.org.
    5. Rom W.N., Ed. Environmental and Occupational Medicine. 
Little, Brown and Co., Boston. 1992.
    6. President's Task Force on Environmental Health Risks and 
Safety Risks to Children. Asthma and The Environment: An Action Plan 
to Protect Children. Washington, D.C. 1999. Eliminating Childhood 
Lead Poisoning: A Federal Strategy Targeting Lead Paint Hazards. 
Washington, D.C. 2000. Can be downloaded from the Internet without 
charge from www.epa.gov/children.
BILLING CODE 4210-32-P

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[[Page 14115]]



FUNDING AVAILABILITY FOR THE HEALTHY HOMES DEMONSTRATION PROGRAM

PROGRAM OVERVIEW

    Purpose of the Program. The purpose of the Healthy Homes 
Demonstration Program is to develop, demonstrate and promote cost-
effective, preventive measures to correct multiple safety and health 
hazards in the home environment that produce serious diseases and 
injuries in children. HUD is interested in reducing health threats to 
the maximum number of residents, especially children, in a cost 
efficient manner.
    Available Funds. Approximately $5 million of funds.
    Eligible Applicants. Not-for-profit institutions, and for-profit 
firms located in the U.S., state and local governments, and federally 
recognized Indian Tribes are eligible to apply. For-profit firms are 
not allowed to include a fee in the cost proposal (i.e., no profit can 
be made from the project). Federal agencies and federal employees are 
not eligible to apply for this program.
    Application Deadline. June 14, 2002.
    Match. None.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this 
initiative, please review carefully the General Section of this 
SuperNOFA and the following additional information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. The application due date is June 14, 2002. 
Your completed application (one original and four copies) must be 
postmarked before 12:00 midnight Eastern Time, on June 14, 2002, and 
mailed to the address shown below.
    Application Submission Procedures. New Security Procedures. HUD has 
implemented new security procedures that impact on application 
submission procedures. Please read the following instructions carefully 
and completely. HUD will not accept hand-delivered applications. 
Applications may be mailed using the United States Postal Service 
(USPS) or may be shipped via the following delivery services: United 
Parcel Service (UPS), FedEx, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without escort. You must, 
therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received by the designated HUD Office on 
or within fifteen (15) days of the application due date. All applicants 
must obtain and save a Certificate of Mailing showing the date when you 
submitted your application to the United States Postal Service (USPS). 
The Certificate of Mailing will be your documentary evidence that your 
application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, DHL, 
FedEx and Falcon Carrier. Delivery by these services must be made 
during HUD's Headquarters business hours, between 8:30 AM and 5:30 PM 
Eastern time, Monday to Friday. If these companies do not service your 
area, you should submit your application via the United States Postal 
Service.
    Address for Submitting Applications. The address for all 
applications submitted is: Department of Housing and Urban Development, 
Office of Healthy Homes and Lead Hazard Control, Attn: Ellen R. Taylor, 
451 Seventh Street, SW., Room P3206, Washington, DC 20410.
    For Application Kits. You may obtain an application kit from the 
SuperNOFA Information Center at 1-800-HUD-8929, or the TTY number at 1-
800-HUD-2209. When requesting an application kit, please refer to the 
Healthy Homes Demonstration Program. Please be sure to provide your 
name, address (including zip code), and telephone number (including 
area code). Alternatively, you may obtain an application kit by 
downloading it from the Internet at www.hud.gov.
    For Further Information and Technical Assistance. You may contact 
Ms. Ellen Taylor, Planning and Standards Division, Office of Healthy 
Homes and Lead Hazard Control, at the address above; telephone (202) 
755-1785, extension 116, or Ms. Curtissa Coleman Grants Officer, 
extension 119. (These are not toll-free numbers.) Hearing- and speech-
impaired persons may access the above telephone numbers via TTY by 
calling the toll-free Federal Information Relay Service at 1-800-877-
8339.
    Satellite Broadcasts. HUD will hold information broadcasts via 
satellite for potential applicants to learn more about the programs in 
this SuperNOFA and preparation of the applications. For more 
information about the date and time of the broadcast, you should 
consult the HUD website at www.hud.gov.

II. Amount Allocated

    Approximately $5 million will be available under the FY 2002 
appropriation. Grants will be awarded on a competitive basis following 
evaluation of all proposals according to the Rating Factors described 
in Section V(C) of this program section. HUD anticipates that 
approximately 6 to 8 grants will be awarded, ranging from approximately 
$250,000 to approximately $1,000,000.

III. Program Description; Eligible Applicants; Eligible Activities

(A) Program Description

    (1) Background. The Healthy Homes Demonstration Program is a part 
of HUD's Healthy Homes Initiative. The Healthy Homes Initiative (HHI) 
departs from the more traditional approach of attempting to correct one 
hazard at a time (e.g., asbestos, radon). In April 1999, HUD submitted 
to Congress a preliminary plan containing a full description of the 
Initiative. This description (Summary and Full Report) is available on 
the HUD website at www.hud.gov.
    The HHI builds upon HUD's existing housing-related health and 
safety issues, including lead hazard control, building structural 
safety, electrical safety, and fire protection to address multiple 
childhood diseases and injuries, such as asthma, mold-induced illness, 
carbon monoxide poisoning, and other conditions, related to housing in 
a more coordinated fashion. A coordinated effort is feasible because a 
limited number of building deficiencies contribute to many hazards. 
Substantial savings are possible using this approach, because separate 
visits to a home by an inspector, public health nurse, or outreach 
worker can add significant costs to efforts to eliminate hazards. A 
description of the HHI program, and a link to the Healthy Homes 
website, are available at www.hud.gov.
    In addition to deficiencies in basic housing facilities that may 
impact health, changes in the U.S. housing stock and more sophisticated 
epidemiological methods and

[[Page 14116]]

biomedical research have led to the identification of new and often 
more subtle health hazards in the residential environment. While such 
hazards will tend to be found disproportionately in housing that is 
substandard (e.g., structural problems, lack of adequate heat, etc.), 
such housing-related environmental hazards may also exist in housing 
that is otherwise of good quality. Appendix A to the Healthy Homes (HH) 
Demonstration program section of the SuperNOFA briefly describes the 
housing-associated health and injury hazards HUD considers key targets 
for intervention. Appendix B to the HH Demonstration program section of 
the SuperNOFA lists the references that serve as the basis for the 
information provided in this section of the SuperNOFA.
    HUD is interested in promoting approaches that are cost-effective 
and efficient and that result in the reduction of health threats for 
the maximum number of residents for the long run, and, in particular, 
for low-income children. Section VI of the General Section of the 
SuperNOFA presents HUD's FY 2002 Policy Priorities and the text below 
presents the overall goals and objectives of the HHI:
    (a) Mobilize public and private resources, involving cooperation 
among all levels of government, the private sector, and faith-based and 
other community-based organizations to develop the most promising, 
cost-effective methods for identifying and controlling housing-based 
hazards.
    (b) Build local capacity to operate sustainable programs that will 
prevent and control housing-based hazards in low and very low-income 
residences when HUD funding is exhausted.
    (c) Affirmatively further fair housing and environmental justice.
    (2) Healthy Homes Demonstration Activities. Through the Healthy 
Homes Demonstration program, HUD will initiate competitive projects to 
promote implementation of available risk reduction techniques for the 
control of key hazards described in Appendix A. HUD will award 
demonstration projects that implement housing assessment, maintenance, 
renovation and construction techniques to identify and correct housing-
related illness and injury risk factors, and disseminate healthy homes 
information and replicate successful interventions.
    HUD will evaluate proposals based on the elements described below. 
Applicants are required to be specific as to the locations where they 
are targeting their intervention activities to occur, the residents, 
individuals, or groups targeted to receive interventions, and the 
organizations targeted to continue to operate effective intervention 
strategies over the life of the award and thereafter.
    Objectives to be addressed by these demonstration projects are:
    (a) Identification of target areas and homes where interventions 
will occur.
    (b) Identification and evaluation of effective methods of hazard 
abatement and risk reduction.
    (c) Development of appropriately-scaled, flexible, cost-effective 
and efficient intervention strategies that take into account the range 
of conditions likely to be encountered in older housing, and that 
maximize the number of housing units that receive an intervention.
    (d) Development of methodologies for evaluating intervention 
effectiveness.
    (e) Development of local capacity in target areas and target groups 
to operate sustainable programs to prevent and control housing-based 
hazards, especially in low and very-low income residences.
    (f) Development of a cost-effective protocol for identifying homes 
that are candidates for interventions, identifying hazards in these 
homes, and screening out homes where structural or other condition 
factors (e.g., cost) make interventions infeasible or impractical.
    (g) Development and delivery of public outreach programs that 
provide information about effective methods for preventing housing-
related childhood diseases and injuries and for promoting the use of 
these interventions.
    (h) Targeting, through education and outreach, specific high-risk 
communities and other identified audiences such as homeowners, 
landlords, health care deliverers, pregnant women, children, 
residential construction contractors, maintenance personnel, housing 
inspectors, real estate professionals, home buyers, and low-income 
minority families.
    (i) Implementation of media strategies to use print, radio and 
television to increase public awareness of housing-related hazards that 
threaten children.
    (j) Dissemination of existing tools and, as needed, new tools to 
inform parents and caregivers about housing-related hazards and enable 
them to take prompt corrective action.

(B) Eligible Activities

    The following direct activities and support activities are eligible 
under this grant program.
    (1) Direct Project Elements (activities conducted by you and any 
sub-recipients):
    (a) Performing evaluations of eligible housing to determine the 
presence of housing-based hazards (e.g., mold growth, allergens, 
unvented appliances, exposed steam pipes or radiators, deteriorated 
lead-based paint) through the use of generally accepted testing 
procedures.
    (b) Conducting housing interventions to remediate existing housing-
based hazards and address conditions that could result in their 
recurrence. Any lead hazard evaluation and control work shall be 
conducted by persons qualified for the activities according to 24 CFR 
part 35, especially sections 13.1325 for abatement and 13.1330 for 
interim controls. Qualified persons must possess certification as 
abatement contractors, risk assessors, inspectors, abatement workers, 
or sampling technicians, or otherwise having been trained in a HUD-
approved course in lead-safe work practices. You may refer to the HUD 
Guidelines for the Evaluation and Control of Lead-Based Paint Hazards 
in Housing (Guidelines) for additional information. The Guidelines and/
or applicable regulations may be downloaded from the Office of Healthy 
Homes and Lead Hazard Control's homepage, linked to www.hud.gov. All 
pest control activities shall incorporate the principles and methods of 
integrated pest management (IPM). In technical terms, IPM is the 
coordinated use of pest and environmental information with available 
pest control methods to prevent unacceptable levels of pest damage by 
the most economical means and with the least possible hazard to people, 
property, and the environment. (One information source is the 
University of Minnesota's electronic textbook of Integrated Pest 
Management, available at http://ipmworld.umn.edu/textbook.htm.)
    (c) Undertaking housing rehabilitation activities that are 
specifically required to carry out effective control of housing-based 
hazards, and without which the intervention could not be completed and 
maintained. Grant funds under this program may also be used to control 
lead-based paint hazards, but such controls may not be a principal 
focus of the grant.
    (d) Carrying out temporary relocation of families and individuals, 
when necessary, during the period in which intervention is conducted 
and until the time the affected unit receives clearance for re-
occupancy. Residents relocated must be guaranteed the choice of 
returning to the unit after the intervention.
    (e) If medical examinations of young children for conditions caused 
or exacerbated by exposure to hazards are demonstrated to be critical 
to the outcome of your project, and there are

[[Page 14117]]

no alternative sources to cover these costs, conducting such 
examinations.
    (f) Environmental sampling, and medical testing recommended by a 
physician or applicable occupational or public health agency to protect 
the health of the intervention workers, supervisors, and contractors, 
unless reimbursable from another source.
    (g) Conducting clearance testing and analysis for lead, mold, 
carbon monoxide and/or other toxins as appropriate, with respect to 
generally accepted standards or criteria, or where not available, other 
appropriate levels justified in conjunction with the project. Clearance 
dust samples related to lead-based paint must be analyzed by a 
laboratory recognized by EPA's National Lead Laboratory Accreditation 
Program (NLLAP). All tests results related to lead-based paint must be 
provided to the owner of the unit, together with a notice describing 
the owner's legal duty to disclose the results to tenants and buyers.
    (h) Carrying out architectural, engineering and work specification 
development and other construction management services to control 
housing-based hazards and remediate existing hazards.
    (i) Providing training on safe maintenance practices to homeowners, 
renters, painters, remodelers, and housing maintenance staff working in 
low or very-low income housing.
    (j) Providing cleaning supplies for hazard intervention and hazard 
control to faith-based and other community-based organizations for use 
by homeowners and tenants in low-income housing, or to such homeowners 
and tenants directly. (See Section VI(E) of the General Section of the 
SuperNOFA for more information about faith-based and other community-
based organizations.)
    (k) Conducting general or targeted community education programs on 
environmental health and safety hazards. This activity would include 
training on safe maintenance and renovation practices, among other 
topics. It would also include making materials available, upon request, 
in alternative formats for persons with disabilities (e.g., Braille, 
audio, large type), and in languages other than English that are common 
in the community, whenever possible.
    (l) Securing liability insurance for hazard evaluation and control 
activities to be performed. This activity is not an administrative 
activity.
    (m) Supporting data collection, analysis, and evaluation of project 
activities.
    (n) Maintaining a registry (updated at least monthly) of housing 
units in which housing-based hazards were not found during evaluation, 
and those in which such problems and hazards have been controlled. 
Units on the registry should be given priority for affirmatively 
marketing to low-income families with young children, and such families 
should be given preference for occupancy when they are vacant. (If you 
are selected for an award, HUD will provide specific data requirements 
for the registry.)
    (o) Preparing quarterly progress reports and an overall final grant 
report detailing activities (e.g., number of units tested, types of 
interventions provided, evaluation of the most cost-efficient 
methodologies by type of unit), findings, and recommended future 
actions for cost-effective interventions, at the conclusion of grant 
activities.
    (2) Support Elements.
    (a) Your administrative costs.
    (b) Program planning and management costs of sub-grantees and other 
sub-recipients.

(D) Ineligible Activities

    (1) Purchase of real property.
    (2) Purchase or lease of equipment having a per unit cost in excess 
of $5,000, unless prior written approval is obtained from HUD.
    (3) Medical treatment costs, except as specified in Section III (C) 
(1)(e) above.

IV. Program Requirements

    In addition to program requirements listed in the General Section 
of the SuperNOFA, you, the applicant, must comply with the following 
requirements:
    (A) Budgeting--Administrative Costs. There is a 10% maximum for 
administrative costs, as specified in Section 1011(j) of the 
Residential Lead-Based Paint Hazard Reduction Act of 1992 (Title X of 
the Housing and Community Development Act of 1992, Public Law 102-550). 
Additional information about allowable administrative costs is provided 
in Appendix C of this NOFA.
    (B) Period of Performance. The period of performance cannot exceed 
36 months from the time of the award.
    (C) Coastal Barrier Resources Act. Pursuant to the Coastal Barrier 
Resources Act (16 U.S.C. 3501), funds may not be used for properties 
located in the Coastal Barrier Resources System.
    (D) Flood Disaster Protection Act. Under the Flood Disaster 
Protection Act of 1973 (42 U.S.C. 4001-4128), funds may not be used for 
construction, reconstruction, repair or improvement of a building or 
mobile home which is located in an area identified by the Federal 
Emergency Management Agency (FEMA) as having special flood hazards 
unless:
    (1) The community in which the area is situated is participating in 
the National Flood Insurance Program in accordance with the applicable 
regulations (44 CFR parts 59-79), or less than a year has passed since 
FEMA notification regarding these hazards; and
    (2) Where the community is participating in the National Flood 
Insurance Program, flood insurance on the property is obtained in 
accordance with section 102(a) of the Flood Disaster Protection Act (42 
U.S.C. 4012a(a)). You are responsible for assuring that flood insurance 
is obtained and maintained for the appropriate amount and term.
    (E) National Historic Preservation Act. The National Historic 
Preservation Act of 1966 (16 U.S.C. 470) (NHPA) and the regulations at 
36 CFR part 800 apply to the mold intervention and related hazard 
control activities that are undertaken pursuant to this program. HUD 
and the Advisory Council for Historic Preservation have developed an 
optional Model Agreement for use by grantees and State Historic 
Preservation Officers in carrying out any lead hazard control 
activities under this program. This must be obtained from the SuperNOFA 
Information Center at 1-800-HUD-8929.
    (F) Waste Disposal. Waste disposal will be handled according to the 
requirements of the Occupational Health and Safety Administration 
(OSHA) (e.g., 29 CFR part 1910 and/or 1926, as applicable), the 
Environmental Protection Agency (EPA) (e.g., 40 CFR parts 61, 260-282, 
300-374, and/or 700-799, as applicable), the Department of 
Transportation (e.g., 49 CFR parts 171-177), and/or appropriate state 
or local regulatory agencies and applicable EPA, HUD, state and local 
regulatory agency guidance.
    (G) Worker Protection Procedures. You must comply with the 
requirements of OSHA (e.g., 29 CFR part 1910 and/or 1926, as 
applicable), or the state or local occupational safety and health 
regulations, whichever are most stringent.
    (H) Written Policies and Procedures. You must have written policies 
and procedures for all phases of intervention, including evaluation, 
development of specifications, financing, occupant relocation, 
independent project inspection, and clearance testing (e.g., for mold, 
lead, carbon monoxide or other hazards, as applicable). You and all 
your subcontractors, sub-recipients, and their

[[Page 14118]]

contractors must comply with these policies and procedures.
    (I) Clearance Testing for Lead Hazard Control Activities. Clearance 
dust testing must be conducted according to the EPA lead hazards 
standards rule at 40 CFR part 745 for abatement projects and the Lead-
Safe Housing rule (24 CFR part 35) for lead hazard control activities 
other than abatement. These are available at www.epa.gov/lead and 
www.hud.gov, respectively.
    (J) Continued Availability of Safe Housing to Low-Income Families. 
Units in which housing-based hazards have been controlled under this 
program shall be occupied by and/or continue to be available to low-
income residents for not less than 3 years following the completion of 
intervention activities.
    (K) Environmental Review. You must comply with HUD's regulations in 
24 CFR 50.3(h) in carrying out responsibilities regarding environmental 
review. Recipients of a grant under this NOFA will be given guidance in 
these responsibilities.
    (L) Conducting Business in Accordance with HUD Core Values and 
Ethical Standards. If awarded assistance under this SuperNOFA, you will 
be required, prior to entering into a grant agreement with HUD, to 
submit a copy of your code of conduct and describe the methods you will 
use to ensure that all officers, employees, and agents of your 
organization are aware of your code of conduct. See Section II(A)(2) of 
the General Section of the SuperNOFA for information about conducting 
business in accordance with HUD's core values and ethical standards.
    (M) Relocation. Any person (including individuals, partnerships, 
corporations or associations) who moves from real property or moves 
personal property from real property directly (1) because of a written 
notice to acquire real property, in whole or in part, or (2) because of 
the acquisition of the real property, in whole or in part, for a HUD-
assisted activity, is covered by Federal relocation statute and 
regulations. Specifically, this type of move is covered by the 
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 
government-wide regulation at 49 CFR part 24. The relocation 
requirements of the URA and the government-wide regulations cover any 
person who moves permanently from real property or moves personal 
property from real property directly because of acquisition, 
rehabilitation or demolition for an activity undertaken with HUD 
assistance.
    (N) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women-Owned Businesses. The Department of 
Housing and Urban Development (HUD) is committed to ensuring that small 
businesses, small disadvantaged businesses and women-owned businesses 
participate fully in HUD's direct contracting and in contracting 
opportunities generated by HUD grant funds. Refer to the General 
Section of the SuperNOFA for applicable requirements.
    (O) Economic Opportunities for Low- and Very Low-Income Persons 
(Section 3). Recipients of assistance must 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 in Connection with 
Assisted Projects) and the HUD regulations at 24 CFR part 135, 
including the reporting requirements of subpart E. Section 3 requires 
recipients to ensure that, to the greatest extent feasible, training, 
employment and other economic opportunities will 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. 
Frequently Asked Questions (FAQs) about Section 3 requirements are 
available at www.hud.gov.
    (P) Data collection and provision. You must collect, maintain and 
provide to HUD the data necessary to document the various approaches 
used to evaluate and control housing-based hazards, including 
evaluation and control methods, building conditions, medical and 
familial information (with confidentiality of individually-identifiable 
information ensured) in order to determine the effectiveness and 
relative cost of these methods.
    (Q) Certifications and Assurances. You must include the 
certifications and assurances listed in Section II(H) of the General 
Section of the SuperNOFA with your application. A Certification of 
Consistency with the Consolidated Plan is not required for this 
application.
    (R) Davis-Bacon Act. The Davis-Bacon Act does not apply to this 
program. However, if program funds are used in conjunction with other 
Federal programs in which Davis-Bacon prevailing wage rates apply, then 
Davis-Bacon provisions would apply to the extent required under the 
other federal programs.

V. Application Selection Process

    (A) Threshold Requirements. Please see Section II(B) of the General 
Section of this SuperNOFA. As an applicant, you must meet all of the 
threshold requirements of Section II(B) of the General Section of the 
SuperNOFA. Applications that meet all of the threshold requirements 
will be eligible to be scored and ranked based on the total number of 
points allocated for each of the rating factors described below. Your 
application must receive a total score of at least 70 points to remain 
in consideration for funding.
    (B) Rating and Ranking. HUD intends to award the highest ranked 
applications listed in the Programs Section of the SuperNOFA within the 
limits of funding availability.
    (1) In evaluating applications for funding HUD will take into 
account an applicant's past performance in managing funds, including 
the ability to account for funds appropriately; timely use of funds 
received either from HUD or other federal, state or local programs; 
meeting performance targets for completion of activities and number of 
persons to be served or targeted for assistance. HUD may use 
information relating to these items based on information at hand or 
available from public sources such as newspapers, Inspector General or 
Government Accounting Office Reports or Findings, hotline complaints 
that have been proven to have merit, or other such sources of 
information. In evaluating past performance, HUD may elect to deduct 
points from the rating score as specified under the Factors for Award 
or set threshold levels for performance as specified in the funding 
announcement.
    (C) Factors for Award Used to Evaluate and Rate Applications. This 
section provides the factors for rating and ranking your application 
and the maximum points for each factor. The maximum number of points to 
be awarded is 106, including the potential for six bonus points, as 
defined in paragraphs (1) through (3) of Section III (C) of the General 
Section of the SuperNOFA. This maximum includes two EZ/EC bonus points, 
two bonus points for Brownfields Showcase Communities, and two bonus 
points for the court ordered consideration in the City of Dallas, 
Texas, as described in Section III(C) of the General Section of the 
SuperNOFA

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience (20 Points)

    This factor addresses your organizational capacity necessary to

[[Page 14119]]

successfully implement your proposed activities in a timely manner. The 
rating of you or your staff includes any faith-based and other 
community-based organizations, sub-contractors, consultants, sub-
recipients, and members of consortia that are firmly committed to your 
project. Applicants that are, or propose to, either partner, fund, or 
sub-contract with grassroots organizations, particularly faith-based 
and other community-based non-profits in conducting their work programs 
will receive higher rating points as specified in the Program Section 
of this SuperNOFA. See Section VI(E) of the General Section of the 
SuperNOFA for additional information. In rating this factor HUD will 
consider:
    (1) Your recent, relevant and successful demonstrated experience in 
undertaking eligible program activities. You must describe the 
knowledge and experience of the proposed overall project director and 
day-to-day project manager in planning and managing large and complex 
interdisciplinary programs, especially those involving housing, public 
health, or environmental programs. In your narrative response for this 
factor, you should include information on your project staff, their 
experience, commitment to the project, and position titles. Resumes of 
up to three (3) pages each and position descriptions for up to three 
personnel in addition to the project director and project manager, and 
a clearly delineated organizational chart for your project must be 
included in an appendix. Copies of job announcements (including salary 
range) should be included for any key positions that are currently 
vacant, or contingent upon an award. Indicate the percentage of time 
that key personnel will devote to your project and any salary costs to 
be paid by funds from this program. Include descriptions of the 
experience and qualifications of subcontractors and consultants.
    (2) Your qualifications to carry out the proposed activities as 
evidenced by experience, academic background, training, and/or relevant 
publications of project staff.
    (3) Whether you have sufficient personnel, or will be able to 
quickly retain qualified experts or professionals to begin your 
proposed project immediately, and to perform your proposed activities 
in a timely and effective fashion. Describe how principal components of 
your organization will participate in, or support, your project. You 
should thoroughly describe capacity, as demonstrated by experience in 
initiating and implementing related environmental, health, or housing 
projects.

Rating Factor 2: Need/Extent of the Problem (15 Points)

    This factor addresses the extent to which there is a need for your 
proposed project activities to address documented problems, target 
area(s) and target groups.
    (1) Document a critical level of need for your proposed activities 
in the area where activities will be carried out. You should pay 
specific attention to documenting the need as it applies to your target 
area(s), rather than the larger geographic area.
    (2) Your documentation should summarize available data linking 
housing-based hazards to disease or injuries to children in your target 
area(s). Examples of data that might be used to demonstrate need, 
include:
    (a) Economic and demographic data relevant to your target area(s), 
including poverty and unemployment rates;
    (b) Rates of childhood illnesses (e.g., asthma, allergies, 
hypertension, elevated blood lead levels) or injuries (e.g., falls, 
burns) among children residing in your target areas that could be 
caused or exacerbated by exposure to conditions in the home 
environment; and
    (c) Unavailability of other Federal, state or local funding or 
private sector resources that could be, or are being, used to address 
the problem.
    (3) For the areas targeted for your project activities, provide 
data available in your jurisdiction's currently approved Consolidated 
Plan and the Analysis of Impediments to Fair Housing Choice (AI) or 
derived from current census data or from other sources. All data that 
address the following should be documented:
    (a) The age and condition of housing;
    (b) The number and percentage of very-low and low-income families 
with incomes less than 50% and 80% of the median income, respectively, 
as determined by HUD, for the area, with adjustments for smaller and 
larger families. Statistics that describe low and very-low income 
families are available at www.huduser.org/datasets/il/fmr00/sect82.html. Additional census statistics are available at: 
www.census.gov/hhes/www/income00.html, www.census.gov/hhes/income/income00/statemhi.html, and www.huduser.org/datasets/il/fmr00/index.html.
    (c) To the extent that statistics and other data contained in your 
community's Consolidated Plan or AI support the extent of the problem, 
you should include references to the Consolidated Plan or AI in your 
response.
    (d) Data documenting targeted groups that are traditionally 
underserved or have special needs. If the data presented in your 
response does not specifically represent your target area, you should 
discuss why the target areas are being proposed. If your application 
addresses needs that are in the Consolidated Plan or AI, court orders 
or consent decrees, settlements, conciliation agreements, and voluntary 
compliance agreements, you will receive more points than applicants 
that do not relate their project to an identified need.

Rating Factor 3: Soundness of Approach (45 Points)

    This factor addresses the quality and cost-effectiveness of your 
proposed work plan. You should present information on the proposed 
approach for addressing housing-based hazards and describe how proposed 
activities would help HUD achieve its goals for this program area. For 
you to receive maximum points for this factor, there must be a direct 
relationship between the proposed activities, community needs, and the 
purpose of the project. You may find that developing a Logic Model 
would be useful for this Rating Factor; information about developing a 
Logic Model is available at: www.hud.gov. The response to this factor 
should include the following elements:
    (1) Approach for Developing the Project (25 points). Describe your 
overall approach for your proposed project. The description must 
include a discussion of specific planned project activities that 
address one or more of the following categories:
    (a) Project activities (15 points).
    (i) Describe in detail how you will identify, select, prioritize, 
and enroll units of eligible housing in which you will undertake 
housing-based hazard interventions, how you will integrate safe work 
practices into housing maintenance, repair, and improvements, and then 
target such units to low-income families with young children. You 
should use all reasonably available sources of information on 
controlling housing-based hazards in buildings and protecting workers 
and occupants during and after the intervention process.
    (ii) Describe any assessment tools you would employ to establish 
baseline data.
    (iii) Provide the estimated total number of owner occupied and/or 
rental units in which you will conduct interventions.
    (iv) Describe your process for evaluating units of eligible housing 
in

[[Page 14120]]

which you will undertake housing-based hazard interventions.
    (v) Describe any specialized testing or visual inspection that you 
will conduct during unit inspection with reference to source(s) of the 
protocol(s).
    (vi) Discuss efforts to incorporate cost-effective methods to 
address multiple environmental health and safety hazards, and describe 
the specific interventions you will utilize to control housing-based 
hazards before children are affected; and/or to control these hazards 
in units where children have already been treated for illnesses or 
injuries associated with housing-based hazards (e.g., burns, lead 
poisoning, asthma).
    (vii) Describe the process for your referral of children for 
medical case management if this is not ongoing.
    (viii) Describe your process for the development of work 
specifications for the selected interventions.
    (ix) Describe your management processes to be used to ensure the 
cost-effectiveness of the housing interventions, and provide cost 
estimates per intervention and per unit.
    (x) Discuss your contracting process to obtain contractors to 
conduct interventions in selected units.
    (xi) Describe your plan for the temporary relocation of occupants 
of units selected for intervention, if relocation is necessary, and how 
you will determine the need for relocation. Address the use of safe 
houses and other housing arrangements, storage of household goods, 
stipends, incentives, etc. Describe how you will meet relocation 
requirements.
    (xii) Describe your plan for ensuring right of return and/or first 
referral for occupants of units selected for intervention who have had 
to move for intervention to occur.
    (xiii) Describe how you will affirmatively further fair housing.
    (xiv) Describe the financing strategy, including eligibility 
requirements, terms, conditions, and amounts available, to be employed 
in conducting housing-based hazards activities. You must discuss the 
way funds will be administered (e.g., use of grants, deferred loans, 
forgivable loans, other resources, private sector financing, etc.) as 
well as the agency that will administer the process.
    (xv) Proposed methods of community education. These should include 
community awareness, education, training, and outreach programs in 
support of your work plan and objectives that are culturally sensitive, 
targeted, and linguistically appropriate.
    (xvi) Proposed involvement of neighborhood, or faith-based and 
other community-based organizations in the proposed activities. These 
activities may include outreach, community education, marketing, 
inspection, and housing evaluations and interventions.
    (xvii) Proposed methods to reach high-risk groups and communities, 
vulnerable populations and persons traditionally underserved.
    (xviii) Indicate if, and describe how, you will address any of 
HUD's Departmental policy priorities. (See Section VI of the General 
Section of the SuperNOFA for a fuller explanation of HUD's policy 
priorities.) Policy priorities that are potentially applicable to the 
Healthy Homes Demonstration NOFA are: 1) Improving the Quality of 
Public Housing and Providing More Choices for its Residents; 2) 
Increasing the Participation of Faith-based and other Community-based 
Organizations in HUD Program Implementation; and 3) Colonias. You will 
receive one point for each of the applicable policy priorities that are 
addressed in your application.
    (b) Project Evaluation (10 points). You are required to identify 
and discuss the specific methods you will use to measure progress 
towards your goals, track and report results of interventions, and 
evaluate the effectiveness of interventions:
    (i) Discuss the performance goals for your project and identify 
specific outcome measures;
    (ii) Describe how the outcome information will be obtained, 
documented, and reported.
    (2) Approach for Implementing the Project (20 points). Describe 
your project goals and objectives and the strategy you will use in 
planning and executing the project. You should provide information on 
the general approach and overall plan employed.
    (a) Baseline Plan for Project Management (10 points). Include a 
management plan that:
    (i) Lists the project objectives, major tasks and activities. All 
specific activities necessary to complete the proposed project must be 
included in the task listing;
    (ii) Incorporates appropriate performance goals and benchmarks;
    (iii) Identifies major milestones and provides a schedule for the 
assignment, tracking and completion of major tasks and activities, and 
a timeframe for delivery;
    (iv) Designates resources and identifies responsible entities; and
    (v) Provides an estimate of per unit (or other appropriate 
apportionment) costs (and a basis for those estimates) for the type of 
interventions that are planned.
    (b) Budget Justification (5 points). Your proposed budget will be 
evaluated for the extent to which it is reasonable, clearly justified, 
and consistent with the project management plan and intended use of 
program funds. HUD is not required to approve or fund all proposed 
activities. Your budget should be submitted in the format recommended 
in Appendix D of this NOFA. An electronic spreadsheet and other 
budgetary forms are available on HUD's website, at www.hud.gov. You 
must thoroughly document and justify all budget categories and costs 
(Part B of Standard Form 424A) and all major tasks, for yourself, sub-
recipients, partners, major subcontractors, joint venture participants, 
or others contributing resources to the project. Describe clearly and 
in detail your budgeted costs for each required program element (major 
task) included in your overall plan.
    (c) Economic Opportunity (5 points). To the greatest extent 
feasible, your project should promote job training, employment, and 
other economic opportunities for low-income and minority residents and 
businesses which are owned by, and/or employ, low-income and minority 
residents as defined in 24 CFR 135.5. You should:
    (i) Describe how you or your partners will comply with Section 3 of 
the Housing and Urban Development Act of 1968 (12 U.S.C. 1701u) and 
HUD's implementing rules at 24 CFR part 135. Describe how you will 
accomplish this requirement by (1) providing training and employment 
opportunities for low- and very low-income persons living within the 
grantee's jurisdiction, and by (2) providing business opportunities to 
businesses owned by low and very low-income persons living within the 
grantee's jurisdiction.
    (ii) Describe how you or your partners will satisfy the 
requirements of Section 3 of the Housing and Urban Development Act of 
1968 to give preference to hiring low and very low-income persons or 
contracting with businesses owned by or employing low and very-low 
income persons. Frequently Asked Questions about Section 3 requirements 
are available at www.hud.gov.
    (iii) Describe how your proposed project will further and support 
the policy priorities of the Department, including providing 
opportunities for self-sufficiency, particularly for persons enrolled 
in welfare-to-work programs; or providing educational and job training 
opportunities; and
    (iv) Describe the extent to which your proposed activities will 
occur in an Empowerment Zone or Enterprise Community (EZ/EC), Urban 
Enhanced Enterprise Community (EEC), Strategic

[[Page 14121]]

Planning Community or Renewal Community, Brownfields Showcase 
Community, or the City of Dallas, Texas as defined in Section III(C)(1) 
through (3) of the General Section of the SuperNOFA.

Rating Factor 4: Leveraging Resources (10 Points)

    This factor addresses your ability to secure other community 
resources (such as financing, supplies or services) that can be 
combined with HUD's resources to achieve project purposes.
    (1) In evaluating this factor, HUD will consider the extent to 
which you have partnered with other entities to secure additional 
resources to increase the effectiveness of your proposed project. 
Describe how other organizations will participate in or support your 
project. Resources may include funding or in-kind contributions (such 
as services or equipment) allocated to your proposed project. Resources 
may be provided by state and local governmental entities, public or 
private organizations, or other entities willing to be your partner in 
this effort.
    (2) Each source of contributions (financial or in-kind) must be 
supported by a letter of commitment from the contributing entity, 
whether a public or private source, which must describe the contributed 
resources that will be used in your project. Staff in-kind 
contributions should be given a market-based monetary value. If you 
fail to provide letters of commitment with specific details including 
the amount of the actual contributions, you will not get rating points 
for this factor. Each letter of commitment, memorandum of 
understanding, or agreement to participate shall include the 
organization's name and the proposed level of commitment and 
responsibilities as they relate to the proposed project. The commitment 
must be signed by an official legally able to make commitments on 
behalf of the organization.

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(10 Points)

    This factor consists of three elements:
    (1) The extent to which you have coordinated your activities with 
other known organizations that are not directly participating in your 
proposed work activities, but with which you share common goals and 
objectives and are working toward meeting these objectives in a 
holistic and comprehensive manner. Applicants that are, or propose to, 
either partner, fund, or sub-contract with grassroots organizations, 
particularly faith-based and other community-based non-profits in 
conducting their work programs will receive higher rating points as 
specified in the Program Section of this SuperNOFA. See Section VI(E) 
of the General Section of the SuperNOFA for additional information 
about faith-based and other community-based organizations.
    (a) Describe your plan for integrating and coordinating housing-
based hazard interventions with other housing-related activities (e.g., 
rehabilitation, weatherization, removal of code violations, and other 
similar work).
    (b) Describe your plans to consolidate housing-based hazard 
interventions with applicable housing codes and health regulations.
    (c) Describe your plans to generate and use public subsidies or 
other resources (such as revolving loan funds) to finance future 
interventions to prevent and control housing-based hazards, 
particularly in low and very low-income housing.
    (d) Detail the extent to which you will ensure that the needs of 
minorities and persons with disabilities will be addressed adequately 
during your intervention activities; and that housing in which hazards 
have been addressed will remain available and affordable in the long 
run for low-income, minority, large families, and for persons with 
disabilities.
    (2) The extent to which your application implements practical 
solutions within the grant term to result in assisting beneficiaries of 
grant program funds in achieving independent living, economic 
empowerment, educational opportunities, housing choice or improved 
living environments;
    (3) The extent to which your program exhibits the potential to be 
financially self-sustaining by decreasing dependence on federal funding 
and relying more on state, local and private funding so your activities 
can be continued after your grant award period is completed.
    (D) Applicant Debriefing. See Section VII (E)(2) of the General 
Section of the SuperNOFA for information about applicant debriefing.

VI. Application Submission Requirements

    (A) Applicant Information. You should submit your application in 
accordance with the format and instructions contained in this program 
section of this SuperNOFA. The following is a checklist of required 
application contents. Your application must contain the items listed in 
this section. These items include the standard forms, certifications, 
and assurances listed in the General Section of the SuperNOFA that are 
applicable to this funding (collectively, referred to as the ``standard 
forms''). The standard forms can be found in Appendix B to the General 
Section of the SuperNOFA. The remaining application items that are 
forms (i.e., excluding such items as narratives), referred to as the 
``non-standard forms'' are listed in the Checklist and Submission Table 
of Contents provided in Appendix D of this NOFA and are available 
electronically at www.hud.gov. The items are as follows:
    (1) Transmittal letter (one-page only) that summarizes your 
proposed project, provides the dollar amount requested, and identifies 
you and your partners in the application.
    (2) The name, mailing address, and telephone number of the 
principal contact person. If you are a consortium of associates, sub-
recipients, partners, major subcontractors, joint venture participants, 
or others contributing resources to the project, similar information 
shall also be provided for each of these entities and you must specify 
the primary entity.
    (3) Checklist and Submission Table of Contents.
    (4) Standard Forms SF-424, 424A (Section B), 424B (Assurances/Non-
Construction Programs), 424M, Total Budget (Federal Share and 
Matching).
    (5) HUD-2880 (Disclosure and Update Report); HUD 2990 
(Certification of Consistency with EZ/EC Strategic Plan); HUD 2992 
(Certification regarding Debarment and Suspension); HUD 50070 
(Certification for a Drug-Free Workplace); HUD 50071 (Certifications of 
Payments to Influence Federal Transactions); Form SF-LLL Disclosure of 
Lobbying Activities, where applicable. A Certification of Consistency 
with the Consolidated Plan is not required for this application.
    (6) Application Abstract. An abstract describing the goals and 
objectives of your proposed program (2-page maximum) must be included 
in the proposal.
    (7) A narrative statement addressing the rating factors for award. 
The narrative statement must be numbered in accordance with each factor 
for award (Rating Factors 1 through 5). The response to the rating 
factors must not exceed a total of 25 pages (12 point font with 1 inch 
margins). Any pages in excess of this limit will not be read. (The 25-
page limit does not apply to the two-page abstract.)
    (8) Any attachments, appendices, references, or other relevant 
information that directly support the narrative may

[[Page 14122]]

accompany it, but must not exceed twenty (20) pages (12 point font with 
1 inch margins) for your entire application. Any pages in excess of 
this limit will not be read. Specific criteria for the content of the 
appendices for the Healthy Homes Demonstration Program grant 
application are listed in the Checklist and Submission Table of 
Contents. (See Appendix D of this NOFA.)
    (9) A detailed budget with supporting cost justification for all 
budget categories of your funding request, in accordance with Rating 
Factor 3, element (2)(b). This information will not be counted towards 
the page limits. A detailed budget must also be provided for any 
subcontractors, subgrantees, or subrecipients receiving greater than 
10% of the Federal budget request.
    (10) The resumes and position descriptions of your project director 
and project manager and up to three additional key personnel (in 
accordance with Rating Factor 1), not to exceed three pages each (12-
point font with 1-inch margins). This information is to be included in 
Appendix 1 and will not be counted towards the page limit.

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    Activities assisted under this program are subject to HUD 
environmental review to the extent required under 24 CFR part 50. An 
award under the Healthy Homes Initiative does not constitute approval 
of specific sites where activities may be carried out. Following award 
execution, HUD will perform environmental reviews for activities to be 
carried out on properties proposed by your organization. You may not 
rehabilitate, convert, repair or construct a property, or commit or 
expend program funds or non-HUD funds for these program activities for 
any eligible property, until you receive written notification from the 
appropriate HUD official that HUD has completed its environmental 
review and the property has been approved. The results of environmental 
reviews may require that proposed activities be modified or proposed 
sites rejected.

IX. Authority

    The authority for this program is Sections 501 and 502 of the 
Housing and Urban Development Act of 1970 and the Departments of 
Veterans Affairs and Housing and Urban Development, and Independent 
Agencies Appropriations Act, 2002, Public Law 107-73, approved November 
26, 2001.

Appendix A

    The following briefly describes the housing-associated health and 
injury hazards HUD considers key targets for intervention. More 
information about housing-associated health and injury hazards is 
available at the Healthy Homes Initiative website, linked to 
www.hud.gov.
    Allergens and asthma: Experts estimate that 14 million Americans 
have asthma, with an associated annual cost of $14 billion. Asthma is 
now recognized as the leading cause of school and work absence, 
emergency room visits and hospitalization. For sensitized children, 
exposure to antigens from dust mites, certain pets, and cockroaches has 
been associated with more severe asthma. There is a preponderance of 
evidence showing a dose-response relationship between exposure and 
prevalence of asthma and allergies; some evidence also indicates that 
exposure to antigens early in life may predispose or hasten the onset 
of allergies and asthma. Dust mites have been identified as the largest 
trigger for asthma and allergies. Cockroach allergens appear to be 
excessive in 30-50% of inner-city housing and affect 5-15% of the 
population, whereas dust mite appears to be the dominant allergen in 
other environments.
    Interventions known to have beneficial effects include installation 
of impervious mattress and pillow covers, which can reduce allergen 
exposure by 90%. Other dust mite control measures include 
dehumidification, laundering bedding, and removal of carpets and other 
dust sinks. Cleaning carpets with tannic acid solution has also been 
demonstrated to greatly reduce dust mites. Asthma prevention program 
costs have been estimated at about $500 per unit, which includes about 
$150 for educational interventions. Additional information is available 
in HUD's research topic paper, ``Healthy Homes Issues: Asthma'' 
available at the Resources, Technical Resources link of HUD's Healthy 
Homes Initiative website, linked to www.hud.gov.
    Asbestos: Asbestos is a mineral fiber that has been used commonly 
in a variety of building construction materials and household products 
for insulation and as a fire-retardant. The Environmental Protection 
Agency (EPA) and the Consumer Product Safety Commission (CPSC) have 
banned most asbestos products. Manufacturers have also voluntarily 
limited uses of asbestos. Today, asbestos is most commonly found in 
older homes: in pipe and furnace insulation materials, asbestos 
shingles, millboard, textured paints and other coating materials, and 
floor tiles. Elevated concentrations of airborne asbestos can occur 
when asbestos-containing materials (ACM) are disturbed by cutting, 
sanding or other remodeling activities. Improper attempts to remove 
these materials can release asbestos fibers into the air in homes, 
increasing asbestos levels and endangering people living in those 
homes. The most dangerous asbestos fibers are too small to be visible. 
After they are inhaled, they can remain and accumulate in the lungs. 
Asbestos can cause lung cancer, mesothelioma (a cancer of the chest and 
abdominal linings), and asbestosis (irreversible lung scarring that can 
be fatal). Most people with asbestos-related diseases were exposed to 
elevated concentrations on the job; some developed disease from 
exposure to clothing and equipment brought home from job sites. As with 
radon, dose-response extrapolations suggest that lower level exposures, 
as may occur when asbestos-containing building materials deteriorate or 
are disturbed, may also cause cancer.
    Intact asbestos-containing materials are not a hazard; they should 
be monitored for damage or deterioration and isolated if possible. 
Repair of damaged or deteriorating ACM usually involves either sealing 
(encapsulation) or covering (enclosure) it. Repair is usually cheaper 
than removal, but it may make later removal of asbestos more difficult 
and costly. Repairs should be done only by a professional, trained and 
certified to handle asbestos safely and can cost from a few hundred to 
a few thousand dollars; removal can be more expensive.
    Combustion products of heating and cooking appliances: Burning of 
oil, natural gas, kerosene, and wood for heating or cooking purposes 
can release a variety of combustion products of health concern. 
Depending upon the fuel, these may include carbon monoxide (a chemical 
asphyxiant), oxides of nitrogen (respiratory irritants), polycyclic 
aromatic hydrocarbons (e.g., the carcinogen benzo[a]pyrene), and 
airborne particulate matter (respiratory irritants). Carbon monoxide, 
an odorless gas, can be fatal. Nitrogen dioxide can damage the 
respiratory tract, and sulfur dioxide can irritate the eyes, nose and 
respiratory tract. Smoke and other particulates irritate the eyes, nose 
and throat, and can cause lung cancer.
    Improper venting and poor maintenance of heating systems and 
cooking appliances can dramatically increase exposure to combustion 
products. Experts recommend having

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combustion heating systems inspected by a trained professional every 
year to identify blocked openings to flues and chimneys; cracked or 
disconnected flue pipe; dirty filters; rust or cracks in the heat 
exchanger; soot or creosote build-up; and exhaust or gas odors. 
Installing a carbon monoxide detector is also recommended; however, 
such a detector will not detect other combustion by-products.
    Insect and rodent pests: The observed association between exposure 
to cockroach antigen and asthma severity has already been noted above. 
In addition, cockroaches may act as vehicles to contaminate and 
environmental surfaces with certain pathogenic organisms. Rodents can 
transmit a number of communicable diseases to humans, either through 
bites, arthropod vectors, or exposure to aerosolized excreta. In 
addition, humans can become sensitized to proteins in rodent urine, 
dander and saliva. Such sensitization may contribute to asthma severity 
among children. Insect and rodent infestation is frequently associated 
with substandard housing that makes it difficult to eliminate. 
Treatment of rodent and insect infestations often includes the use of 
toxic pesticides that may present hazards to occupants (see below). 
Integrated pest management (IPM) for rodents and cockroaches, which 
reduces the use of pesticides, is estimated to cost approximately $150 
per unit. IPM control measures include sealing holes and cracks, 
removing food sources and use of traps. In technical terms, Integrated 
Pest Management (IPM) is the coordinated use of pest and environmental 
information with available pest control methods to prevent unacceptable 
levels of pest damage by the most economical means and with the least 
possible hazard to people, property, and the environment. (One 
information source is the University of Minnesota's electronic textbook 
of Integrated Pest Management, available at http://ipmworld.umn.edu/textbook.htm.)
    Lead: Exposure to lead, especially from deteriorating lead-based 
paint, remains one of the most important and best studied of the 
household environmental hazards to children. Although blood lead levels 
have fallen nationally, a large reservoir of lead remains in housing. 
The most recent national survey, conducted from 1991-94, showed that 
nearly one million U.S. preschoolers still have elevated blood lead 
levels. Overall, the prevalence rate among all children under six years 
of age is 4.4%. Among low-income children living in older housing where 
lead-based paint is most prevalent, the rate climbs to 16%; and for 
African-American children living in such housing, it reaches 21%.
    HUD estimates that 38 million dwellings have some lead-based paint, 
and that 26 million have significant lead-based paint hazards. Of 
those, about 5.7 million have young children and of those, about 1.6 
million have household incomes under $30,000 per year. Costs for Lead 
Hazard Control can range anywhere from $500 to $15,000 per unit. 
Corrective measures include paint stabilization, enclosure and removal 
of certain building components coated with lead paint, and cleanup and 
``clearance testing,'' which ensures the unit is safe for young 
children.
    Mold and moisture: An analysis of several pulmonary disease studies 
estimates that 25% of airways disease, and 60% of interstitial lung 
disease may be associated with moisture in the home or work 
environment. Moisture is a precursor to the growth of mold and other 
biological agents, which is also associated with respiratory symptoms. 
An investigation of a cluster of pulmonary hemosiderosis (PH) cases in 
infants showed PH was associated with a history of recent water damage 
to homes and with levels of the mold Stachybotrys atra (SA) in air and 
in cultured surface samples. Associations between exposure to SA and 
``sick building'' symptoms in adults have also been observed. Other 
related toxigenic fungi have been found in association with SA-
associated illness and could play a role. For sensitive individuals, 
exposure to a wide variety of common molds may also aggravate asthma. 
Addressing mold problems in housing requires coordination among the 
medical, public health, microbiological, housing, and building science 
communities. Additional information is available in HUD's research 
topic paper, ``Healthy Homes Issues: Mold'' available at the Resources, 
Technical Resources link of HUD's Healthy Homes Initiative website, 
linked to www.hud.gov.
    The cost of mold/moisture-related intervention work (e.g., 
integrated pest management, clean and tune furnace, remove debris, vent 
clothes dryer, cover dirt floor with impermeable vapor barrier) is a 
few hundred dollars, unless major modification of the ventilation 
system is needed. For example, in Cleveland, mold interventions, 
including repairs to ventilation systems and basement flooring, in the 
most heavily contaminated homes range from $500--$5,000, with some 
costs also being dedicated to lead hazard control simultaneously 
through its Lead+Asthma program.
    Pesticide residues: According to the EPA, 75 percent of U.S. 
households used at least one pesticide product indoors during the past 
year. Products used most often are insecticides and disinfectants. 
Another study suggests 80 percent of most people's exposure to 
pesticides occurs indoors and that measurable levels of up to a dozen 
pesticides have been found in the air inside homes. The amount of 
pesticides found in homes appears to be greater than can be explained 
by recent pesticide use in those households; other possible sources 
include contaminated soil or dust that migrates in from outside, stored 
pesticide containers, and household surfaces that collect and then 
release the pesticides. Pesticides used in and around the home include 
products to control insects (insecticides), termites (termiticides), 
rodents (rodenticides), molds and fungi (fungicides), and microbes 
(disinfectants). In 1990, the American Association of Poison Control 
Centers reported that some 79,000 children were involved in common 
household pesticide poisonings or exposures. In households with 
children under five years old, almost one-half stored at least one 
pesticide product within reach of children. Exposure to chlorpyriphos 
(CP), a commonly used organophosphate insecticide, in the prenatal and 
early postnatal period may impair neurodevelopment. While CP is a 
biodegradable pesticide, substantial persistence of CP in house dust 
has been demonstrated. Exposure to high levels of cyclodiene 
pesticides, commonly associated with misapplication, has produced 
various symptoms, including headaches, dizziness, muscle twitching, 
weakness, tingling sensations, and nausea. In addition, EPA is 
concerned that cyclodienes might cause long-term damage to the liver 
and the central nervous system, as well as an increased risk of cancer.
    There are available data on hazard evaluation methods and 
remediation effectiveness regarding pesticide residues in the home 
environment.
    Radon progeny: The National Academy of Sciences estimates that 
approximately 15,000 cases of lung cancer per year are related to radon 
exposure. Epidemiologic studies of miners exposed to high levels of 
radon in inhaled air have defined the dose response relation for radon-
induced lung cancer at high exposure levels. Extrapolation of these 
data has been used to estimate the excess risk of lung cancer 
attributable to exposure to radon gas at the lower levels found in 
homes. These estimates indicate that radon gas is an important cause of 
lung cancer deaths in the U.S. Excessive exposures

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are typically related to home ventilation, structural integrity and 
location.
    Radon measurement and remediation methods are well developed, and 
the Environmental Protection Agency (EPA) recommends that every home be 
measured for radon. EPA estimates that materials and labor costs for 
radon reduction in an existing home are $800-$2500. Including radon 
resistant techniques in new home construction costs $350-$500, and can 
save up to $65 annually in energy costs, according to the EPA.
    Take-home hazards from work/hobbies and work at home: When the 
clothing, hair, skin, or shoes of workers become contaminated with 
hazardous materials in the workplace, such contaminants may 
inadvertently be carried to the home environment and/or an automobile. 
Such ``take-home'' exposures have been demonstrated, for example, in 
homes of lead-exposed workers. In addition, certain hobbies or 
workplaces located in the home may provide an especially great risk of 
household contamination.
    Control methods include storing and laundering work clothes 
separately, and showering and changing before leaving work, or 
immediately after arriving home. Once a home becomes contaminated, 
cleaning floors and contact surfaces and replacing furnishings may be 
necessary to reduce exposures.
    Unintentional injuries/fire: Unintentional injury is now the 
leading cause of death and disability among children younger than 15 
years of age. In 1997, nearly 7 million persons in the United States 
were disabled for at least 1 full day by unintentional injuries 
received at home. During the same year, 28,400 deaths were attributable 
to unintentional home injuries, of which 1800 occurred among children 
0-4 years of age. Among young children, three types of events accounted 
for more than \\3/4\\ of deaths: fires/burns, drownings, and mechanical 
suffocation. Falls and poisoning are the next most common.
    Home visitation protocols have been shown to be effective in 
reducing exposure to such hazards. The ``add-on'' cost of injury 
prevention measures, when combined with other housing interventions are 
estimated at about $100 per unit. This includes the cost of some injury 
prevention devices, such as smoke alarms, electrical socket covers, 
etc.

Appendix B

    References: To secure any of the documents listed, call the 
listed telephone number (generally, the telephone numbers are not 
toll-free). A number of these references are provided on HUD's CD, 
``Residential Lead Desktop Reference, 3rd Edition.'' This CD is 
available at no charge from the National Lead Information 
Clearinghouse, 1-800-424-LEAD.

Regulations

    1. Worker Protection: OSHA publication--Telephone: 202-693-1888 
(OSHA Regulations) (available for a charge)--Government Printing 
Office--Telephone: 202-512-1800 (not a toll-free number):

--General Industry Lead Standard, 29 CFR 1910.1025 (Document Number 
869022001124). Can be downloaded from the Internet without charge 
from www.osha_slc.gov/OshStd_data/1910_1025.html.
--Lead Exposure in Construction, 29 CFR 1926.62, and appendices A, 
B, C, and D (Document Number 869022001141). Can be downloaded from 
the Internet without charge from www.osha-slc.gov/OshStd_data/1926_0062.html.

    2. Waste Disposal: 40 CFR parts 260-268 (EPA regulations) 
(available for a charge)--Telephone 1-800-424-9346, or, from the 
Washington, DC, metropolitan area, 1-703-412-9810 (not a toll-free 
number). Can be downloaded from the Internet without charge from 
www.epa.gov/docs/epacfr40/chapt-I.info/subch-I.htm.
    3. Lead; Requirements for Lead-Based Paint Activities in Target 
Housing and Child-Occupied Facilities; Final Rule: 40 CFR Part 745, 
(EPA) (Lead Hazard Standards, Work Practice Standards, EDP and State 
Certification and Accreditation programs for those engaged in lead-
based paint activities)--Telephone: 1-202-554-1404 (Toxic Substances 
Control Act Hotline) (not a toll-free number). Can be downloaded 
from the Internet without charge from www.epa.gov/lead.

GUIDELINES

    1. Guidelines for the Evaluation and Control of Lead-Based Paint 
Hazards in Housing; HUD, June 1995, and amended September, 1997. 
(available for a charge)--Telephone: 800-245-2691. Can be downloaded 
from the Internet without charge from www.hud.gov/offices/lead.
    2. Preventing Lead Poisoning in Young Children; Centers for 
Disease Control, October 1991: Telephone: 888-232-6789. Can be 
downloaded from the Internet without charge from www.hud.gov/offices/lead.
    3. Screening Young Children for Lead Poisoning: Guidance for 
State and Local Public Health Officials, November 1997; Centers for 
Disease Control and Prevention (CDC): Telephone: 888-232-6789. Can 
be downloaded from the Internet without charge from www.hud.gov/offices/lead.

REPORTS

    1. Putting the Pieces Together: Controlling Lead Hazards in the 
Nation's Housing, (Summary and Full Report); HUD, July 1995 
(available for a charge)--Telephone 800-245-2691. Can be downloaded 
from the Internet without charge from www.hud.gov/offices/lead.
    2. The Healthy Homes Initiative: A Preliminary Plan (Summary and 
Full Report); HUD, July 1995. Can be downloaded from the Internet 
without charge from www.hud.gov/offices/lead.
    3. Institute of Medicine. Indoor Allergens. Assessing and 
Controlling Adverse Health Effects. National Academy Press. 
Washington, D.C. 1993.
    4. Mott L., Our Children at Risk. Natural Resources Defense 
Council. Washington, D.C. 1997. Can be ordered from the Internet 
from www.nrdc.org
    5. Rom W.N., Ed. Environmental and Occupational Medicine. 
Little, Brown and Co., Boston. 1992.
    6. President's Task Force on Environmental Health Risks and 
Safety Risks to Children. Asthma and The Environment: An Action Plan 
to Protect Children. Washington, D.C. 1999. Eliminating Childhood 
Lead Poisoning: A Federal Strategy Targeting Lead Paint Hazards. 
Washington, D.C., 2000. Can be downloaded from the Internet without 
charge from www.epa.gov/children.

Appendix C

Administrative Costs

I. Purpose

    The intent of this HUD grant program is to allow the Grantee to 
be reimbursed for the reasonable direct and indirect costs, subject 
to a top limit, for overall management of the grant. In most 
circumstances the Grantee, whether a state or a local government, is 
expected to serve principally as a conduit to pass funding to sub-
grantees, which are to be responsible for performance of the lead-
hazard reduction work. Congress set a top limit of ten (10) percent 
of the total grant sum for the Grantee to perform the function of 
overall management of the grant program, including passing on 
funding to sub-grantees. The cost of that function, for the purpose 
of this grant, is defined as the ``administrative cost'' of the 
grant, and is limited to ten (10) percent of the total grant amount. 
The balance of ninety (90) percent or more of the total grant sum is 
reserved for the sub-grantee/direct-performers of the lead-hazard 
reduction work.

II. Administrative Costs: What They Are Not

    For the purposes of this HUD grant program for States and local 
governments to provide support for the evaluation and reduction of 
lead-hazards in low and moderate-income, private target housing: the 
term ``administrative costs'' should not be confused with the terms 
``general and administrative cost'', ``indirect costs'', 
``overhead'', and ``burden rate''. These are accounting terms, 
usually represented by a government-accepted standard percentage 
rate. The percentage rate allocates a fair share of an 
organization's costs that cannot be attributed to a particular 
project or department (such as the chief executive's salary or the 
costs of the organization's headquarters building) to all projects 
and operating departments (such as the Fire Department; the Police 
Department; the Community Development Department, the Health 
Department or this program). Such allocated costs are added to those 
projects' or

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departments' direct costs to determine their total costs to the 
organization.

III. Administrative Costs: What They Are

    For the purposes of this HUD grant program, ``Administrative 
Costs'' are the Grantee's allowable direct costs for the overall 
management of the grant program plus the allocable indirect costs. 
The allowable limit of such costs that can be reimbursed under this 
program is ten (10) percent of the total grant sum. Should the 
Grantee's actual costs for overall management of the grant program 
exceed ten (10) percent of the total grant sum, those excess costs 
shall be paid for by the Grantee. However, excess costs paid for by 
the Grantee and may be shown as part of the requirement for cost-
sharing funds to support the grant.

IV. Administrative Costs: Definition

A. General

    Administrative costs, are the allowable, reasonable, and 
allocable direct and indirect costs related to the overall 
management of the HUD grant for lead-hazard reduction activities. 
Those costs shall be segregated in a separate cost center within the 
Grantee's accounting system, and they are eligible costs for 
reimbursement as part of the grant, subject to the ten (10) percent 
limit. Such administrative costs do not include any of the staff and 
overhead costs directly arising from specific sub-grantee program 
activities eligible under Section III(B) of this Healthy Homes 
Demonstration NOFA, because those costs are eligible for 
reimbursement under a separate cost center as a direct part of 
project activities.
    The Grantee may elect to serve solely as a conduit to sub-
grantees, who will in turn perform the direct program activities 
eligible under NOFA Section III(B), or the grantee may elect to 
perform all or a part of the direct program activities in other 
parts of its own organization, which shall have their own 
segregated, cost centers for those direct program activities. In 
either case, not more than 10 percent of the total HUD grant sum may 
be devoted to administrative costs, and not less than 90% of the 
total grant sum shall be devoted to direct program activities. 
Grantee shall take care not to mix or attribute administrative costs 
to the direct project cost centers.

B. Specific

    Reasonable costs for the Grantee's overall grant management, 
coordination, monitoring, and evaluation are eligible administrative 
costs. Subject to the ten (10) percent limit, such costs include, 
but are not limited to, necessary expenditures for the following, 
goods, activities and services:
    (1) Salaries, wages, and related costs of the Grantee's staff, 
the staff of affiliated public agencies, or other staff engaged in 
Grantee's overall grant management activities. In charging costs to 
this category the recipient may either include the entire salary, 
wages, and related costs allocable to the program for each person 
whose primary responsibilities (more than 65% of their time) with 
regard to the grant program involve direct overall grant management 
assignments, or the pro rata share of the salary, wages, and related 
costs of each person whose job includes any overall grant management 
assignments. The Grantee may use only one of these two methods 
during this program. Overall grant management includes the following 
types of activities:
    (a) Preparing grantee program budgets and schedules, and 
amendments thereto;
    (b) Developing systems for the selection and award of funding to 
sub-grantees and other sub-recipients;
    (c) Developing suitable agreements for use with sub-grantees and 
other sub-recipients to carry out grant activities;
    (d) Developing systems for assuring compliance with program 
requirements;
    (e) Monitoring sub-grantee and sub-recipient activities for 
progress and compliance with program requirements;
    (f) Preparing presentations, reports, and other documents 
related to the program for submission to HUD;
    (g) Evaluating program results against stated objectives;
    (h) Providing local officials and citizens with information 
about the overall grant program; (However, a more general education 
program, helping the public understand the nature of lead hazards, 
lead hazard reduction, blood-lead screening, and the health 
consequences of lead poisoning is a direct project support 
activity).
    (i) Coordinating the resolution of overall grant audit and 
monitoring findings; and
    (j) Managing or supervising persons whose responsibilities with 
regard to the program include such assignments as those described in 
paragraphs (a) through (i).
    (2) Travel costs incurred for official business in carrying out 
the overall grant management;
    (3) Administrative services performed under third party 
contracts or agreements, for services directly allocable to overall 
grant management such as overall-grant legal services, overall-grant 
accounting services, and overall-grant audit services;
    (4) Other costs for goods and services required for and directly 
related to the overall management of the grant program, including 
such goods and services as telephone, postage, rental of equipment, 
renter's insurance for the program management space, utilities, 
office supplies, and rental and maintenance (but not purchase) of 
office space for the program.
    (5) The fair and allocable share of Grantee's general costs that 
are not directly attributable to specific projects or operating 
departments such as: The Mayor's and City Council's salaries and 
related costs; the costs of the City's General Council's office, not 
charged off to particular projects or operating departments; and the 
costs of the City's Accounting Department not charged back to 
specific projects or operating departments. (If Grantee has an 
established burden rate it should be used; if not Grantee shall be 
assigned a negotiated provisional burden rate, subject to final 
audit.)

Appendix D

    Forms: The non-standard forms, which follow, are required for 
your Healthy Homes Demonstration application. They are the Checklist 
and Submission Table of Contents and the Total Budget (Federal Share 
and Matching Contribution, including instructions).
BILLING CODE 4210-32-P

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FUNDING AVAILABILITY FOR THE BROWNFIELDS ECONOMIC DEVELOPMENT 
INITIATIVE (BEDI)

PROGRAM OVERVIEW

    Purpose of the Program. BEDI funds are used to enhance the security 
of a loan guaranteed by HUD under Section 108 of the Housing and 
Community Development Act of 1974, as amended, for the same project, or 
to improve the viability of a project financed with the Section 108-
guaranteed loan. HUD intends to make available approximately $26 
million in BEDI funds along with almost $3 million in unobligated 
Economic Development Initiative (EDI) funds, totaling approximately $29 
million that will be available in FY 2002 to stimulate economic 
development by local governments and private sector parties in 
brownfields.
    HUD desires to see BEDI funds (as defined in Section III (A)(1) 
below) and Section 108 funds used to finance projects and activities in 
brownfields that will provide near-term results and demonstrable 
economic benefits, such as job creation and increases in the local tax 
base. A BEDI grant must be used in conjunction with a new Section 108 
guaranteed loan commitment. In FY 2002, HUD seeks to increase economic 
development opportunity throughout the country and promote energy 
efficient projects.
    Available Funds. Approximately $29 million, as further described in 
Section II below. The maximum amount of any BEDI grant award this year 
will be $2 million per project.
    Eligible Applicants. Only units of general local government 
eligible for assistance under the Community Development Block Grant 
(CDBG) program may apply for a BEDI grant and a Section 108 Guaranteed 
Loan. CDBG-eligible urban counties may also apply for funding, but 
units of general local government which participate in the Urban County 
may not submit an application independent of the Urban County. (See 
Section III(B) below for additional information regarding eligible 
applicants.)
    Application Deadline. July 9, 2002.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Please submit your completed applications 
(one original and three copies) on or before July 9, 2002, to the 
addresses shown below.
    Application Submission Procedures. New Security Procedures. HUD has 
implemented new security procedures that apply to application 
submission. Please read the following instructions carefully and 
completely. HUD will not accept hand delivered applications. Only a 
limited number of express delivery services have access to the Robert 
C. Weaver, HUD Headquarters Building. All applications to field 
offices, homeownership centers and program hubs must be delivered by 
the United States Postal Service (USPS). Applications sent to the 
Robert C. Weaver Building may be mailed using the United States Postal 
Service or may be shipped via the following delivery services: United 
Parcel Service (UPS), FedEx, DHL, or Falcon Carrier. No other delivery 
services are permitted into the Robert C. Weaver Building without 
escort. To avoid potential delivery problems, therefore, you must use 
one of the four carriers listed above. For purposes of this program 
section to the SuperNOFA, delivery by the approved services must be 
made during HUD's business hours, i.e., between 8:30 AM and 5:30 PM 
Eastern time, Monday through Friday. If one of these companies does not 
serve your area, you should submit your application via the USPS.
    Mailed Applications. Your application will be considered timely 
filed if it is postmarked on or before 12:00 midnight of the 
application due date and received by the designated HUD office by or 
within fifteen (15) days of the application due date. All applicants 
must obtain and save a Certificate of Mailing (PS Form 3817) showing 
the date when the application was submitted to the USPS. The 
Certificate of Mailing will be your documentary evidence that the 
application was timely filed. The Certificate of Mailing is available 
from the USP.
    Applications Sent by Overnight/Express Mail Delivery To HUD 
Headquarters. An application sent by overnight delivery or express mail 
to HUD Headquarters will be considered by HUD as timely filed if it is 
received before or on the application due date, or if documentary 
evidence is provided that the application was placed in transit with 
the overnight delivery/express mail service by no later than the 
application due date.
    Applications to HUD Field Offices. Applications submitted to HUD 
Field Offices must be mailed via the United States Postal Service. At 
the same time the application and copies are submitted to HUD 
Headquarters, an additional copy should be submitted to the Community 
Planning and Development Division of the appropriate HUD Field Office 
for the applicant's jurisdiction.
    Addresses for Submitting Applications. To HUD Headquarters. Submit 
your completed application (an original and two copies) by mail or 
permitted delivery service to: Processing and Control Unit, Room 7251, 
Office of Community Planning and Development, Department of Housing and 
Urban Development, 451 Seventh Street, SW, Washington, D.C. 20410, 
Attention: BEDI.
    When submitting the application, please specify BEDI on any label 
or mailing container, and include the applicant's name, mailing address 
(including zip code), street address (if different from mailing 
address) and zip code, and voice and facsimile telephone numbers 
(including area code), along with the contact person's name and voice 
and facsimile telephone numbers (including area code).
    For Application Kits. To request an Application Kit and any 
supplemental information, please call HUD's SuperNOFA Information line 
toll free at 1-800-HUD-8929. When requesting an Application Kit, please 
refer to BEDI. Please be sure to provide the applicant's name, address 
(including zip code), and telephone number (including area code), along 
with the name and phone number of your contact person. 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.
    For Further Information and Technical Assistance. Contact Lisa 
Peoples, Economic Development Specialist, Office of Economic 
Development, Department of Housing and Urban Development, 451 Seventh 
Street, SW, Room 7140, Washington, DC 20410, telephone (202) 708-0614 
ext. 4456 (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. Before the 
application due date, HUD staff will be available to provide you with 
general guidance and technical assistance about this BEDI NOFA. 
However, HUD staff are not permitted to assist in preparing your BEDI 
application. Following selection of applicants, but before awards are 
made, HUD staff are available to assist in clarifying or confirming 
information

[[Page 14138]]

that is a prerequisite to the offer of an award by HUD. In addition, 
the Section 108 Loan Guarantee program is not a competitive program and 
therefore is not subject to those provisions of the HUD Reform Act 
pertaining to competitions that do not permit HUD staff to assist in 
the preparation of applications. HUD staff are available to provide 
advice and assistance to develop your Section 108 loan application.
    Applicant Debriefing. Beginning not less than 30 days after the 
awards for assistance are announced, HUD will, upon receiving written 
request from the applicant, provide a debriefing to the requesting 
applicant. Information provided during a briefing will be the 
applicant's final scores for each rating factor, final evaluator 
comments for each rating factor, and the final assessment indicating 
the basis upon which assistance was provided or denied. Applicants 
requesting to be debriefed must send a written request to the contact 
person for the BEDI program, Ms. Lisa Peoples, at the address listed in 
the preceding paragraph.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of BEDI application(s). For more information about the date 
and time of the broadcast, you should consult the HUD web site at 
http://www.hud.gov.

II. Amount Allocated

    HUD has available a maximum of $29,008,155 for grant awards under 
this program section. This amount consists of $25 million in 
appropriations under ``Brownfields Redevelopment'' heading in the 
Fiscal Year 2002 HUD Appropriations Act, $1,065,000 of unobligated 
appropriated funds from the Fiscal Year 2001 HUD Appropriations Act 
under the ``Brownfields Redevelopment'' heading, and $2,943,155 in 
funds originally appropriated for awards under the competitive Economic 
Development Initiative (EDI) program under the Fiscal Year 2000 HUD 
Appropriations Act. All such funds are authorized by Section 108(q) of 
the Act (as defined below). Consequently there will be no separate 
competition for EDI funds this year, and all of these funds are being 
made available by HUD for the purpose of assisting public entities in 
the redevelopment of brownfields. The maximum amount of a BEDI award 
under this competition is $2 million per project. If any additional 
funds become available for the BEDI program during Fiscal Year 2002, 
HUD may either fund additional applicants in accordance with this 
program section of the SuperNOFA, or may add these funds to funds 
available for future competitions pursuant to Section 108(q) of the 
Act.

III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. BEDI is designed to help cities redevelop 
abandoned, idled, or underutilized industrial and commercial facilities 
where expansion or redevelopment is complicated by real or perceived 
environmental contamination, i.e., brownfields. BEDI provides funding 
to local governments to be used in conjunction with Section 108 loan 
guarantees to finance redevelopment of brownfields sites. A BEDI grant 
award will be conditioned upon, and must be used in conjunction with, a 
new Section 108-guaranteed loan commitment. Both Section 108 loan 
guarantee proceeds and BEDI grant funds are initially made available by 
HUD to units of general local government eligible for assistance 
through either HUD's Entitlement or State and Small Cities segments of 
the Community Development Block Grant program. Such public entities may 
re-loan the Section 108 loan proceeds and provide BEDI funds to a 
business or other entity to carry out an approved brownfield economic 
development project, or the public entity may carry out the eligible 
project itself, as provided in the approved application. In either 
case, BEDI grant funds and the 108 proceeds must be used to support the 
same eligible project.
    (1) 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.
    Act means Title I, Housing and Community Development Act of 1974, 
as amended (42 U.S.C. 5301 et seq.).
    Application means a single set of documents submitted by an 
eligible applicant for BEDI grant funds, in accordance with the 
provisions of this program section of the SuperNOFA to finance a 
brownfield economic development project. A BEDI application must be 
accompanied by a Section 108 loan guarantee request, which may consist 
of either a brief summary of the proposed use of 108 funds, or a full 
application, which may either be submitted at the same time as the BEDI 
application or be provided within 60 days of BEDI grant award, as more 
fully explained in Section IV(C) of this program section. Note that the 
Section 108 application must be submitted to the appropriate HUD field 
office concurrently with its submission to Headquarters.
    Brownfields means abandoned, idled, or under-used real property 
(including industrial and commercial facilities) where expansion or 
redevelopment is complicated by real or perceived contamination.
    Brownfields Economic Development Initiative (BEDI) funds means the 
appropriated funds made available for the competition under this 
program section from any available BEDI or EDI appropriation.
    Brownfields Economic Development Initiative (BEDI) project means an 
activity or activities (including mixed use projects with housing 
components) that are eligible under Section 108(q) of 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.
    CDBG funds means those funds collectively so 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) grant 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).
    EPA means the U.S. Environmental Protection Agency.
    Firm Commitment means either a written agreement or letter of 
understanding by which an applicant and/or a third party:
    (1) Agrees to perform an activity specified in the application, and 
demonstrates its relationship to the proposed BEDI/Section 108 project;
    (2) Specifies the amount of the commitment, and demonstrates that 
it has the financial and organizational capacity to deliver the 
resources necessary to successfully complete the activity; if the 
committed activity is to be self-financed, the third party must 
evidence its financial capacity through a corporate or personal 
financial statement or other appropriate means; and
    (3) Irrevocably commits the resources to the activity either 
through cash or in-kind services or contributions; if any portion is to 
be financed through a grant or loan from another public or private 
organization, that institution's grant or loan commitment must be 
firmly committed as well.

[[Page 14139]]

    Any such agreement or letter of understanding shall be understood 
as being contingent upon receipt of the BEDI grant.
    In order for an applicant's commitment of CDBG funds to be accepted 
by HUD as additional financing for a BEDI project, a resolution from 
the local governing body (e.g., city/borough council) authorizing the 
amount and permitted use(s) of the funds must be provided. Each 
agreement or letter of commitment must include the organization's name 
and proposed total level of commitment (including how the value was 
determined) and responsibilities as they relate to the proposed BEDI 
project. The commitment must be signed by an official of the 
organization legally authorized to make commitments on behalf of the 
organization, and remain in effect for a period stated in the 
commitment.
    Grassroots organization means any such organization as defined in 
Section VI (E)(2) of the General Section of the SuperNOFA above.
    Showcase Community means an applicant chosen by the Federal 
Government's Brownfields National Partnership for inclusion in the 
Federal Government's Brownfields Showcase Communities program. (See 
Section III(C)(2) of the General Section of the SuperNOFA) for advice 
on locating a list of Showcase communities.)
    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 or part 
598.
    (2) Background. HUD has multiple programs which are intended to 
stimulate economic and community development and promote economic 
revitalization of distressed areas, and which can be effectively 
employed to address and remedy brownfields conditions. Primary among 
HUD's resources are the Community Development Block Grant (CDBG) 
program and the Section 108 loan guarantee program.
    (a) The CDBG program provides grant funds ($4.341 billion in FY 
2002) by formula to local governments (either directly or through 
States) to carry out community and economic development activities. The 
Section 108 loan guarantee program provides CDBG-recipient communities 
with a source of financing for economic development, public facilities, 
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. The 
Section 108 program is subject to the regulations of 24 CFR part 570 
applicable to the CDBG program as described in 24 CFR part 570, subpart 
M. BEDI grants must support Section 108 loan guarantees as generally 
described in this program section of this SuperNOFA.
    (b) For FY 2002, the Section 108 program is authorized at 
$608,696,000 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, as 
applicable) pledge their continuing 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 and included in 
the applicable ``Contract for Loan Guarantee Assistance.'') This means 
that a community can ordinarily continue to spend its existing 
allocation for other CDBG purposes, unless needed for loan repayment.
    (3) EDI Program. The EDI authorization, Section 108(q) of the Act, 
was enacted in 1994 and is intended to complement and enhance the 
Section 108 Loan Guarantee program. $2,943,155 in FY 2000 EDI 
appropriations is being made available under this program section of 
the SuperNOFA, conditioned on their award and use for brownfields 
economic development projects in accordance with this program section. 
A purpose of EDI (and BEDI) grant funds is to reduce grantees' 
potential loss of future CDBG allocations:
    (a) By strengthening the economic feasibility of a project 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 Section 108-
guaranteed loan; or
    (c) Through a combination of these or other risk mitigation 
techniques.
    (4) BEDI Program. In the FY 2002 HUD Appropriations Act, Congress 
has made a specific appropriation of $25 million as authorized by 
Section 108(q) of the Act to assist in financing brownfields 
redevelopment, which funds are being made available under this program 
section along with $1,065,000 in unobligated funds appropriated for FY 
2001 for brownfields redevelopment.
    HUD intends all the funds available pursuant to this program 
section of the SuperNOFA to be used for purposes of the redevelopment 
of brownfields sites. 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 brownfields 
sites where contamination is known or suspected and a redevelopment 
plan exists. 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), where there is no immediately planned redevelopment.
    (5) Integration of Other Government Brownfields Programs. HUD 
expects and encourages local governments which are designated through 
(a) the Federal Government's Brownfields Showcase Community program, 
(b) other Federal brownfields programs (e.g., EPA's Assessment Pilot, 
Tax Incentive, or Revolving Loan Fund programs), (c) a State-supported 
brownfields program, or (d) a State or local related economic 
development program, to integrate efforts arising from those programs 
in developing projects for assistance under HUD's BEDI and Section 108 
programs. Applicants should elaborate upon these ties in their response 
to the rating factors, where appropriate (e.g., ``Capacity of the 
Applicant,'' ``Soundness of Approach,'' ``Leveraging Resources,'' or `` 
Coordination, Self-Sufficiency and Sustainability''--Rating Factors 1, 
3, 4, and 5 respectively.)
    (6) 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 BEDI funding that directly 
enhance the value of the assets securing the Section 108 loan will help 
ensure that the project-based asset(s)

[[Page 14140]]

will satisfy the additional collateral requirements.
    (7) Uses of BEDI Funds. Provided that proposals are consistent with 
other CDBG requirements, including meeting National Objectives and 
activity eligibility requirements under Sec. 570.703 of the Section 108 
Loan Guarantee regulations, the following are illustrative of ways in 
which BEDI funds can be used to support 108-guaranteed loans:
    (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 that 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 could 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 proposes to use 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 uses Section 108 funds to make a loan to a 
developer, BEDI funds could be granted or loaned 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 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. The use of BEDI 
grant funds may be structured in appropriate cases to improve the 
likelihood that project-generated cash flow will be sufficient to cover 
debt service on the Section 108 loan directly and therefore enhance the 
security of the guaranteed loan. One technique for accomplishing this 
approach is over-collateralization of the Section 108 loan.
    The creation of a loan pool funded with both Section 108 and BEDI 
grant funds, for example, would provide 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 could then 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 credit 
enhancements for the Section 108 loan. For example, the BEDI grant can 
be used 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 
thus will serve to protect the public entity's future CDBG funds.
    (f) Provision of Financing to For-Profit Businesses at a Below 
Market Interest Rate.
    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, non-
profit groups or public entities in severely economically distressed 
neighborhoods. The BEDI grant can be used to make Section 108 financing 
affordable by serving to ``buy down'' the interest rate up front, or 
make full or partial interest payments. This might increase the 
financial viability of the businesses or other entities in the early 
start-up period, which might not otherwise be possible with Section 108 
alone. This strategy would be particularly useful where a community was 
undertaking a large commercial or retail project in a brownfield area 
in order to act as a catalyst for other development in the area.
    (g) Combination of Techniques. A combination of the above could be 
employed to implement a BEDI project successfully.
    (B) Eligible Applicants. (1) 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. 
Urban Counties, as defined at 24 CFR 570.3 and 570.307, are eligible 
applicants for BEDI funds; units of general local government that 
participate in an Urban County program are not independently eligible 
applicants. For non-entitlement applicants other than those subject to 
24 CFR 570, subpart F, applicants will be required to provide evidence 
in the application from an authorized official of the State agency 
responsible for administering the State CDBG program stating that it 
will support the related Section 108 loan with a pledge of its CDBG 
funds pursuant to the requirements of 24 CFR 570.705(b)(2). Such 
evidence shall take the form of the HUD Certification titled ``SECTION 
108 LOAN GUARANTEES: State Certifications Related to Nonentitlement 
Public Entities'' included in this program section to the SuperNOFA, or 
which may be obtained either by downloading from the Internet or in the 
BEDI Application Kit to be published shortly after publication of this 
SuperNOFA. Note that effective January 25, 1995, non-entitlement public 
entities in the State of Hawaii are 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.
    (2) Applicants for BEDI projects must comply with the threshold 
requirements of Section II of the General Section of the SuperNOFA.
    (C) Eligible Activities and National Objectives. (1) BEDI grant 
funds and Section 108 loan guarantee funds may be used for activities 
listed at 24 CFR 570.703, provided such activities are carried out as 
part of a BEDI project as described in this program section of the 
SuperNOFA. You are required to submit applications that seek funding 
for BEDI projects that will contribute to the redevelopment and 
revitalization of brownfields. Applications that fail to meet the 
threshold requirements found in Section II(B) of the General Section of 
the SuperNOFA and the program requirements of this section will not be 
rated, ranked, or otherwise considered by HUD.
    (2) 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. Applicants must clearly identify in their narrative 
statement (as described in Section V(B) of this program section below) 
the CDBG national objective to be achieved by the proposed project and 
provide the appropriate CDBG national objective regulatory citation 
found at 24 CFR 570.208. Applicants must also address, when applicable, 
how the proposed activities will comply with the public benefit 
standards of the CDBG program as reflected in the regulation at 24 CFR 
570.209 for the Entitlement and Small

[[Page 14141]]

Cities programs, or 24 CFR 570.482 for the State CDBG program.
    (3) A grantee's aggregate use of its CDBG funds, including any 
Section 108 loan guarantee proceeds and Section 108(q) (BEDI) funds 
provided pursuant to this program section of the SuperNOFA, must comply 
with the CDBG primary objective requirements as described in Section 
101(c) of the Act and 24 CFR 570.200(a) (3) for entitlement grantees, 
or 570.484 in the case of a recipient under a State's program.
    (4) Applicants are reminded of the Department's Policy Priorities 
for FY 2002 found in SectionVI of the General Section of the SuperNOFA, 
several of which apply to this program section, as described below, 
under Rating Factors 3 and 5 in Section V of this program section.

IV. Program Requirements

    (A) CDBG Program Regulations. In addition to 24 CFR 570.701 
(Definitions), Sec. 570.702 (Eligible applicants), and Sec. 570.703 
(Eligible activities), as explained in Section III (C) of this program 
section of the SuperNOFA, the CDBG regulatory requirements cited in 24 
CFR 570.707, including subparts J (Grant Administration), K (Other 
Program Requirements), and O (Performance Reviews) govern the use of 
BEDI funds, as applicable.
    (B) Compliance with Applicable Laws. Applicants are advised that an 
award of BEDI funding does not in any way relieve the applicant or 
third party 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 applicable law, including voluntary 
clean up programs.
    (C) Related Section 108 Loan Guarantee Request. (1) Each BEDI 
application must be accompanied by a request for new Section 108 loan 
guarantee assistance. The request may take any of the four forms as 
defined below. Notwithstanding the form of your request for new Section 
108 loan guarantee assistance under paragraphs (a), (b), (c), or (d) 
below of this Section IV(C), you must include citations to the specific 
regulatory subsection supporting activity eligibility and National 
Objectives compliance for the Section 108 funds described in your 
application. (See Section III(C) of this program section of the 
SuperNOFA.) Both the BEDI and Section 108 funds must be used in 
conjunction with the same BEDI project.
    (a) A full 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 the project 
to be applied for in a subsequent new Section 108 loan guarantee 
application(s). Such a 108 application(s) will be submitted within 60 
days of written notice of BEDI selection. BEDI awards will be 
conditioned on approval of actual Section 108 loan commitments in a 
specific ratio of BEDI funds to Section 108 funds as approved by HUD in 
the BEDI award. The application description must be sufficient to 
support the basic eligibility of the proposed project and activities 
for Section 108 assistance. (See Section III(C) of this program section 
of the SuperNOFA.)
    (c) A copy of a pending, unapproved Section 108 loan guarantee 
application, and any proposed amendments to the Section 108 application 
which are related to the BEDI application. The applicant's submission 
of such a BEDI/Section 108 application shall be deemed by HUD to 
constitute a request to suspend separate processing of the Section 108 
application. The Section 108 application will not be approved until on 
or after the date of the related BEDI award.
    (d) A request for Section 108 loan guarantee assistance (analogous 
to Section IV(C)(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 HUD's announcement of a BEDI grant for the 
same project is not eligible to be used in conjunction with a BEDI 
grant under this program section.
    (2) Further, a Section 108 loan guarantee amount that is required 
to be used in conjunction with a prior EDI or BEDI 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 a BEDI grant of $1 million and had agreed to submit a 
Section 108 loan application for $10 million in support of that BEDI 
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.
    (D) Prohibitions on Use of BEDI and Section 108 Funds. Certain 
restrictions shall apply to the use of BEDI and Section 108 funds:
    (1) BEDI grant funds must 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) Section 108 loan obligations may not be subordinated, directly 
or indirectly, to federally tax exempt obligations. Pursuant to Office 
of Management and Budget (OMB) Circular A-129 (Rev.) Appendix A, 
Sections II. 2.c. and d., (Policies for Federal Credit Programs and 
Non-Tax Receivables), Section 108 guaranteed loan funds may not 
directly or indirectly support federally tax-exempt obligations.
    (3) 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 own 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.
    (4) 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.
    (5) Your attention is called to Section I (D) of the General 
Section of the SuperNOFA, which notes that the FY 2001 HUD 
Appropriations Act prohibits the use of funds appropriated under such 
Act from being used to benefit a facility whose predominant use is the 
sale of tobacco. See that section for more details.
    (6) In addition, BEDI grant assistance cannot be used to leverage a 
Section 108 loan guarantee approved prior to the date of HUD's 
announcement of a BEDI grant pursuant to this SuperNOFA. However, the 
BEDI grant may be awarded before HUD approval of the Section 108 
commitment if HUD

[[Page 14142]]

determines that such award will further the purposes of the Act.
    (7) A BEDI award will not be made if the Section 108 request 
contained in the application (See Section IV(C) of this program 
section) calls for the use of the Section 108-guaranteed obligation 
solely as security for other financing on the project.
    (A) Time-frames. BEDI grant awards will contain conditions 
requiring grantees to adhere to time-frames mutually agreed on by the 
applicant/grantee and HUD for implementing proposed projects and 
drawing Section 108 and BEDI funds. However, as a condition of any 
award under this program section, if the related Section 108 
application has not been submitted and approved and the Note guaranteed 
within fifteen (15) months of written HUD notification of grant award, 
HUD may deobligate the BEDI funds. In addition, if a grantee should 
fall fifty percent (50%) or more behind both the stated activity and 
draw-down schedules provided for in the BEDI grant agreement within the 
first eighteen (18) months of the grant period, and for each quarter 
thereafter, HUD may recapture the balance of the grant funds (unless 
HUD has authorized an amendment to the stated schedules in writing, in 
which case the aforementioned 50% calculation would apply to the 
amended and approved schedules). If BEDI grant funds and Section 108 
loan proceeds are not disbursed to the applicant within the timeframes 
specified in the BEDI Grant Agreement, HUD reserves the right to 
recapture the BEDI funds.
    (F) Limitations on Grant Amounts. (1) HUD expects to approve BEDI 
grant amounts for approvable applications with a range of ratios of 
BEDI grant funds awarded to new Section 108 loan guarantee commitments 
but the minimum ratio will be $1.00 of Section 108 loan guarantee 
commitments for every $1.00 of BEDI grant funds. However, if you 
propose a leverage ratio of exactly 1:1, your application, while still 
meeting the threshold requirement, will not receive any points under 
the Rating Factor 4, paragraph (1): ``Leverage of Section 108 Funds.''
    To receive points under this Factor, applications will have to 
exceed the 1:1 minimum ratio, and the higher the ratio, the more points 
will be awarded. Because the proposed ratio of BEDI funds to Section 
108 funds represents an applicant's financial commitment, HUD will 
condition the BEDI grant award on the grantee's achievement of that 
specific ratio. Its failure to meet that condition by obtaining timely 
HUD approval of a commitment for, and issuance of, the required Section 
108 guaranteed obligations ratio will result in the cancellation and 
recapture of all or a proportionate share of the BEDI grant award.
    (2) HUD will cap BEDI awards at a maximum of $2 million per 
project. An application in excess of $2 million will be reduced to the 
extent HUD determines that such a reduction is appropriate.
    (3) After selection, but prior to grant award, if HUD determines 
that an application can be funded at a lesser BEDI grant amount than 
requested and still be feasible and consistent with the proposed plan 
and the purposes of the Act, it reserves the right to reduce the amount 
of the BEDI award and/or increase the required Section 108 loan 
guarantee commitment.
    (4) In the event you are awarded a BEDI grant that has been reduced 
below the original request (e.g., your application contained some 
activities that were ineligible, exceeded the $2 million cap, or there 
were insufficient funds to fund the last competitive application at the 
full amount requested), you will be required to modify your project 
plans and application to conform the terms of HUD approval before HUD 
will execute a grant agreement.
    (5) HUD also will proportionately reduce or deobligate the BEDI 
award if you do not submit an approvable Section 108 loan guarantee 
application and issue Section 108-guaranteed obligations on a timely 
basis (including any extension authorized by HUD) in the amount 
required by the BEDI/108 leveraging ratio, which will be approved by 
HUD as a special condition of the BEDI grant award (see Section 
IV(E)(1) above of this program section of the SuperNOFA).
    (6) Any modifications or amendments to your application approved 
pursuant to this SuperNOFA, whether requested by you or by HUD, must be 
within the scope of the approved original BEDI application in all 
respects material to rating the application, unless HUD determines that 
your revised application remains within the competitive range and is 
otherwise approvable under this SuperNOFA competition.
    (7) In the case of a requested increase in guarantee assistance for 
a project with a previously approved Section 108 loan guarantee 
commitment (as further discussed in Section IV(C)(1)(d), above), the 
BEDI assistance approved will be based on the increased amount of 
Section 108 loan guarantee assistance.
    (G) Timing of Grant Awards and Disbursements. (1) To the extent you 
submit a full and complete Section 108 application with the BEDI grant 
application, HUD will evaluate your Section 108 application immediately 
following the competition for BEDI grant funds. Note that the 108 
application must be submitted to the appropriate HUD field office 
concurrently with submission to Headquarters.
    (2) HUD's notice to you of the amount and conditions of BEDI funds 
awarded, based upon review of the BEDI application, constitutes an 
obligation of grant funds, subject to compliance with the conditions of 
award and execution of a grant agreement. However, BEDI funds must not 
be disbursed to the grantee before the issuance of the related Section 
108 guaranteed obligations.
    (3) Pursuant to the FY 2002 HUD Appropriations Act (Pub. L. 107-73, 
under the ``Brownfields Redevelopment'' heading) and 31 U.S.C. 1552(a), 
FY 2002 BEDI funds must be obligated (i.e., awarded) by HUD by 
September 30, 2003, and must be disbursed by HUD to the grantee by 
September 30, 2008. FY 2000 EDI funds must be obligated by September 
30, 2002, and must be disbursed by HUD to the grantee by September 30, 
2007. FY 2001 BEDI funds are not subject to statutory obligation or 
disbursement deadlines. In all cases, however, HUD reserves the right 
to require earlier disbursement under a BEDI grant agreement.
    (H) Economic Opportunities for Low and Very Low-Income Persons, 
including Those with Disabilities. Section 3 of the Housing and Urban 
Development Act of 1968 (12 U.S.C. 1701u) is applicable to BEDI grant 
recipients. Please see Section II(E) of the General Section of the 
SuperNOFA.
    (I) Nondiscrimination. In addition to the other requirements found 
in Section II of the General Section of this SuperNOFA, Section 109 of 
the Housing and Community Development Act of 1974, as amended (42 
U.S.C. 5309), is applicable to BEDI grant recipients. Applicants must 
therefore adhere to HUD regulations at 24 CFR parts 6 and 570, 
including, but not limited to, reporting and record-keeping 
requirements under 24 CFR 570.506 and 570.507, and must have resolved 
to HUD's satisfaction any letter of noncompliance findings under 
Section 109 before the deadline for BEDI application submission.
    (J) Obligation to affirmatively further fair housing. Grantees that 
use BEDI funds in projects that involve the construction, 
rehabilitation, or other provision of residential housing are obliged 
to affirmatively further fair

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housing. Therefore, applicants that propose to use BEDI funds in 
projects that involve residential housing must include in their 
applications an explanation of how they propose to further fair housing 
opportunities for persons on the basis of race, color, national origin, 
sex, religion, familial status, or disability. Applicants should 
respond to this requirement under Rating Factor 3, subfactor (1). 
Affirmative activities include, but are not limited to, initial and 
periodic assessments of the extent to which affordable and accessible 
housing opportunities are provided or denied to persons by race, color, 
national origin, sex, religion, familial status, or disability; 
outreach to persons in underserved population groups or advocacy 
organizations representing such persons; and affirmatively fair 
marketing. Applicants that do not propose to use BEDI funds in projects 
that involve residential housing should include a statement to this 
effect in their applications.
    (K) Core Values--your attention is called to Section II(B)(2) of 
the General Section of the SuperNOFA.
    (L) Small Businesses--another of HUD's goals, to increase the 
participation of small and disadvantaged, including women-owned, 
businesses, if possible, is described more particularly in Section 
II(F) of the General Section of the SuperNOFA.

V. The Application Selection Process

(A) Rating and Ranking.

    (1) Each rating factor and the maximum number of points are 
provided below. The maximum number of points to be awarded is 106. To 
be eligible for funding, a BEDI application must obtain a total score 
of at least 70 points, of which a minimum of 40 points (out of a 
maximum possible score of 60 points) must be achieved in Rating Factors 
1 (Capacity) and 3 (Soundness of Approach) combined.
    (2) All applications meeting BEDI program and threshold 
requirements will be rated under the selection criteria below. 
Applications must include citations to the specific regulatory 
subsections supporting eligibility of activities and compliance with 
National Objectives. (See Section III(C) of this program section of 
this SuperNOFA). The applicant must also provide narrative statements 
in response to each of the rating factors below.
    Applications will be selected for funding as follows:
    (3) All BEDI grant applications that meet threshold requirements 
will be ranked separately in order of points assigned with the 
applications receiving more points ranked above those receiving fewer 
points.
    (4) In the event two or more applications are given the same score, 
but there are insufficient funds to fund all of the tied applications, 
the application(s) with the highest score(s) on Rating Factor 3 
(Soundness of Approach) shall be selected. If there is still a tie, the 
following Factors will be considered sequentially, with the application 
having the high score on that Factor taking precedence until the tie is 
broken: Rating Factor 1 (Capacity and Experience), Rating Factor 2 
(Distress/Extent of the Problem), Rating Factor 4 (Leveraging 
Resources), and Rating Factor 5 (Coordination, Self-Sufficiency and 
Sustainability).
    (5) Fundable BEDI project applications must meet the threshold 
requirements stipulated in Section II(B) of the General Section of this 
SuperNOFA and be complete as required by the submission requirements of 
this program section of the SuperNOFA or they will not be ranked. 
Economic development projects will be funded in rank order until the 
total aggregate amount of the applications funded is equal to the 
maximum amount available in the competition (subject to the limitations 
described in Section IV(F) above).

(B) BEDI Narrative Statement

    (1) Applications must contain narrative statements printed in 12 
point type, with sequentially numbered pages for the entire 
application, including forms and exhibits. The BEDI narrative statement 
must not exceed three (3) 8.5" by 11" pages, doubled-spaced. The BEDI 
narrative statement should:
    (a) Describe the activities that will be carried out with the BEDI 
grant funds, and explain the nature and extent of the brownfield 
problem(s) affecting the the site and/or structure(s) already on the 
site; and
    (b) Describe how the proposed uses of BEDI funds will meet the 
National Objectives under 24 CFR 570.208 of the CDBG program and 
qualify as eligible activities under 24 CFR 570.703. Applications must 
include citations to the specific regulatory subsections supporting 
eligibility of activities and compliance with National Objectives. (See 
Section III(C) of this program section of this SuperNOFA).
    (2) The applicant must also provide in narrative form responses to 
each of the rating factors below.
    (C) Factors for Award Used to Evaluate and Rate Applications. HUD 
will evaluate all applications for funding assistance based on the 
following factors, the responses to which demonstrate the quality of 
the proposed project or activities, and the applicant's capacity and 
commitment to use the BEDI funds in accordance with the purposes of the 
Act.
    (D) Responses to Rating Factors 1-5 below shall not exceed fifteen 
(15) double-spaced pages combined.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience (25 Points Maximum)

    This factor addresses the extent to which you have 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'' will include any 
subcontractors, consultants, and sub-recipients that are firmly 
committed (see definition in Section III(A)(1) above) to participate in 
the activities described in the application. In rating this factor, HUD 
will consider the following:
    (1) (up to 15 points) The applicant should demonstrate that it has 
the organization, the staff and financial resources in place to 
implement the specific steps required to successfully carry out its 
proposed BEDI/Section 108 project. Evidence of this capacity includes:
    (a) Performance in the administration of its CDBG, HOME or other 
HUD programs;
    (b) Performance, if any, in carrying out economic development 
projects similar to that proposed, including brownfields economic 
development or redevelopment projects, if any, and the ability to 
conduct prudent underwriting, if applicable;
    (c) Ability to carry out projects and programs in a timely manner. 
An applicant must address its performance in spending previously 
awarded funds, if any, in a timely manner, including, for CDBG 
entitlement recipients, the extent to which it has met the HUD standard 
of having no more than 1.5 times its entitlement amount undisbursed 
(see 24 CFR 570.902(a)(1)(i)); and,
    (d) If applicable, capacity to manage projects and funds awarded as 
a result of a federal Empowerment Zone/Enterprise Community designation 
(including Enhanced Enterprise Community (EEC) designation).
    (e) An applicant that has previously received an EDI or BEDI grant 
award must describe the status of the implementation of those 
project(s) assisted with EDI or BEDI funds, any delays that have been 
encountered and the actions it is taking to overcome any

[[Page 14144]]

such delays in carrying out the project(s) in a timely manner. For such 
previously funded EDI or BEDI grant projects, HUD will award more 
rating points for applications providing evidence of achievement of 
specific measurable outcomes in carrying out approved activities funded 
with such grant funds and the associated Section 108-guaranteed loan 
funds.
    If any of the rating criteria listed under (a) through (e) above do 
not apply to an application, the rating for this subfactor (1) shall be 
based solely upon the other applicable criteria.
    (2) (up to 10 points) Experience and performance of subrecipients, 
nonprofit organizations and other entities, if any, that have a role in 
implementing the proposed BEDI/108 program should be included in the 
response to this subfactor (2). If there are no third parties 
participating with the applicant in the proposed project, points under 
this subfactor (2) will be allocated under subfactor (1) and added to 
the maximum points possible under it.
    Experience will be judged in terms of recent (i.e., within the past 
3 years) and successful performance of activities relevant to those 
proposed in the BEDI application. The more recent and extensive the 
experience, the greater the number of points that will be awarded for 
this Factor.
    In responding to sections (1) and (2) above of this Factor, 
applications that merely summarize the amount of funds received/spent/
under management will receive fewer points than those providing 
specific measurable information on accomplishments.
    In addition to the application, HUD also may rely on information at 
hand or available from public sources such as newspapers, from 
performance and/or monitoring reports, Inspector General or Government 
Accounting Office reports or findings, hotline complaints that have 
been proven to have merit, audit reports and other available 
information in rating this Factor.

Rating Factor 2: Distress/Extent of the Problem (20 Points Maximum)

    This Factor addresses the extent to which there is need for funding 
the proposed activities based on levels of distress in both the 
jurisdiction of the public entity that is the applicant and the 
geographic area that will benefit from the project. In responding to 
this Factor, applications will be evaluated on the extent to which the 
level of distress is documented and compared with national data.
    (1) In applying this Factor, HUD will consider current levels of 
distress defined in standard geographic terms in the area (i.e., Census 
Tract(s) or Block Groups immediately surrounding the project site up to 
a radius of one-half mile), or it may be the target area proposed to be 
served by the project, along with the jurisdiction in which the project 
is to be located. The applicant should describe the nature of the 
distress that the project is designed to address and the rationale for 
its definition of the area to be benefited. Examples of project 
beneficiaries include: (a) those receiving or using products or 
services produced by the project, and (b) those employed by the 
project.
    To the extent that the applicant's Consolidated Plan, its Analysis 
of Impediments to Fair Housing choice (AI), and/or its Anti-Poverty 
Strategy found therein identify the level of distress in the 
jurisdiction and the neighborhood in which the project is to be carried 
out, references to such documents should be included in preparing the 
response to this Factor.
    Notwithstanding the above, an applicant proposing a project to be 
located outside the area for which benefit is claimed could still 
receive points under this Factor if a clear rationale is provided 
linking the proposed project location and the benefits to be derived by 
persons living in the target area.
    (2) Applicants should provide data that address the following 
specific indicators of distress:
    (a) Poverty rate (up to 8 points)--data should be provided in both 
absolute and percentage form (i.e., whole numbers and percents) for 
both the target area and the applicant's jurisdiction as a whole; an 
application that compares the local poverty rate in the following 
manner to the national average at the time of submission will receive 
points under this section as follows:
    (i) Equal to or greater than, but less than twice, the national 
average: 2 points;
    (ii) Equal to or greater than twice, but less than three times, the 
national average: 5 points;
    (iii) Equal to or greater than three times the national average: 8 
points.
    (b) Unemployment (up to 8 points)--an application that compares the 
local unemployment rate for the applicant's jurisdiction and the target 
area in the following manner to the national average at the time of 
submission will receive points under this Section as follows:
    (i) Equal to or greater than, but less than twice, the national 
average: 2 points;
    (ii) Equal to or greater than twice, but less than three times, the 
national average: 4 points;
    (iii) Equal to or greater than three times, but less than four 
times, the national average: 6 points;
    (iv) Equal to or greater than four times the national average: 8 
points.
    (c) Other Indicators of social and/or economic decline that best 
capture the applicant's local situation (up to 4 points)--examples that 
could be provided under this section include information demonstrating 
the target area and the jurisdiction's stagnant or falling tax base, 
including recent (within the last three years) commercial or industrial 
closings, downturns or layoffs; housing conditions, such as the number 
and percentage of substandard and/or overcrowded units; rent burden 
(defined as average housing cost divided by average income) for both 
the target area and jurisdiction; local crime statistics.
    HUD requires use of sound and reliable data (e.g., U.S. Census 
data, State statistical reports, university studies/reports that are 
verifiable) to support distress levels cited in each application. A 
source for all information along with the publication or origination 
date must also be provided. Updated Census data are available as 
follows for the listed indicators:
    Unemployment rate--estimated monthly for counties, with a two-month 
lag;
    Poverty rate--estimated every two years, with a three-year lag, 
with 2000 being the most recent available.
    In rating applications under this Factor, HUD reserves the right to 
consider sources of available objective data other than, or in addition 
to, those provided by applicants, in order to compare such data to 
those provided by applicants.

Rating Factor 3: Soundness of Approach (35 Points Maximum)

    This factor addresses the quality and cost-effectiveness of the 
proposed plan. The relationship between the proposed eligible 
activities, community needs and purposes of the program funding must be 
clearly described, as follows, in order to receive points for this 
Factor. In rating this Factor, HUD will consider the following:
    (1) Consistency/appropriateness of proposed activities with 
identified needs. (Up to 8 points)--The extent to which the proposed 
plan for use of BEDI grant/Section 108-guaranteed loan funds will 
address the needs described in Rating Factor 2 above regarding the 
distress and extent of the problem in the target area or area to be 
benefited. The

[[Page 14145]]

applicant should provide a clear and quantified explanation of this 
relationship. As part of the response to this Factor, an applicant 
should also identify the specific eligible activities it will carry 
out, and should fully describe:
    (a) How the project will achieve one of the National Objectives 
under the Community Development Block Grant program, and
    (b) How the project will address the applicant's Consolidated Plan 
and its Analysis of Impediments, if any, including the following 
issues:
    (i) Affordable housing--the extent to which the applicant will 
offer current residents of the proposed site or area that will benefit 
from the proposal an opportunity to relocate to environmentally healthy 
housing or neighborhoods which have more amenities and services, better 
employment and educational opportunities, and to housing that provides 
the accessibility and visitability features that families require, or 
to remain in the revitalized neighborhood, if applicable; and
    (ii) The extent to which it will be used to accommodate people with 
disabilities.
    (2) Feasibility and Demonstrable Benefits. (Up to 15 points)--The 
extent to which the plan is logical, feasible and likely to achieve its 
stated purpose. HUD's desire is to fund projects and activities that 
will quickly produce demonstrable results and advance the purposes of 
the BEDI program. Points for this subfactor will be awarded in two 
parts, for the following:
    (a) Understanding of Steps to Implement. (Up to 8 points)--The 
extent to which the plan demonstrates a clear understanding of the 
steps required to implement the project, including the actions that all 
parties responsible for implementing the project must complete.
    (i) Pre-construction--the extent to which your response to this 
Factor takes into account site selection, planning, and environmental 
issues typical of many brownfields remediation efforts will be 
considered under this subfactor. You are cautioned, for example, 
against proposing projects on sites where the nature and degree of 
environmental contamination is not well-quantified or that are the 
subject of on-going litigation or environmental enforcement. Moreover, 
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 or redevelopment in a time-frame 
consistent with HUD's desire for rapid progress in the use of BEDI and 
Section 108 funds.
    (ii) Description of problem and solution--the applicant should 
explain each undertaking and the sequence of undertakings that are 
required to complete the project. This includes a full description of 
both the problem (including, but not limited to, the extent of 
environmental contamination) and the benefits that will accrue from the 
project, i.e., permanent jobs, amount of commercial or industrial 
space, housing units to be provided, and the timing of the delivery of 
benefits. For multi-phase projects, the response to this Factor must 
clearly delineate the different phases, whether or not they are to be 
funded by BEDI/Section 108 funds, as well as a proposed schedule for 
drawing down all funds necessary to complete the project, including 
BEDI and Section 108 funds.
    (iii) Monitoring performance--the extent to which applications 
describe means of assessing progress, tracking performance goals and 
achievements against Plan objectives.
    (b) Timeliness (Up to 7 points)--The extent to which the plan 
demonstrates that the project is ``ready to go'', i.e., will produce 
demonstrable benefits within a short period of time.
    (i) Applications providing evidence that authority necessary to 
proceed with the project activities identified in subfactor (a) above, 
such as any necessary zoning classification, waivers, general and 
special use permits, assessment district designation, public easements 
and rights-of way, memoranda of understanding, site control, etc., have 
been sought and/or received will receive up to three (3) points for 
this subfactor (i).
    (ii) The applicant should provide a specific time schedule (with 
both beginning and end dates) for carrying out the project and identify 
measurable objectives (acquisition, site improvements, construction, 
etc.) to be accomplished. (Up to 2 points)
    A timeline form is provided in Appendix A to this program section 
of the NOFA and also in the Application Kit for this purpose, but HUD 
will consider the timeline only as an illustration of the narrative 
response to this subfactor (2).
    (iii) BEDI applications accompanied by a full and complete Section 
108 application will receive up to two (2) points for this subfactor 
(iii).
    (3) Financial Feasibility/Need (up to 10 Points)--The extent to 
which the applicant demonstrates that its project is financially 
feasible based on its proposed use of BEDI and Section 108 funds. In 
responding to this subfactor (3), the applicant must clearly address 
the question of why the BEDI funds are critical to the success of this 
project by providing the following items, as applicable:
    (a) Project costs and financial requirements--a funding sources and 
uses statement, as well as the derivation of project costs;
    (b) How the BEDI and Section 108 funds will be used;
    (c) The applicant's criteria for determining funding need and 
feasibility;
    (4) Other (Up to 2 Points)--
    (a) The extent to which the project demonstrates energy-efficient 
solutions to the problems addressed in Rating Factor 2 above, in the 
construction and/or the operation phases once the overall project is 
completed. Examples of such conservation and/or other efficiencies 
include the following: combining heat and power systems as part of 
electrical generation; adopting Department of Energy weatherization 
guidelines for property rehabilitation; and purchasing Environmental 
Protection Agency-identified Energy Star appliances. (Up to 1 point)
    (b) Applications providing evidence of partnership, funding and/or 
subcontracting agreements with grassroots organizations, as defined in 
Section II(F)(2) of the General Section of the SuperNOFA, will receive 
up to one (1) point under this subfactor (b).

Rating Factor 4: Leveraging Resources (15 Points Maximum)

    In evaluating this factor, HUD will consider the extent to which 
the response demonstrates the likelihood that the project will leverage 
both Section 108 loan and other public or private funds as part of the 
total project resources. This factor has two subfactors, each with its 
own maximum point total:
    (1) Leverage of Section 108 funds. (Up to 8 points)--
    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 greater than a 1:1 ratio will 
result in that application's receiving a higher number of points. If 
the application has a ratio of 1:1, it will not receive any points 
under this subfactor. The higher the ratio of additional new Section 
108 funds to BEDI funds proposed in an application, the more points it 
will receive under this subfactor. (See Section IV(F)(1) and (5) of 
this program section of the SuperNOFA regarding the

[[Page 14146]]

conditioning of BEDI awards on achievement of a specific BEDI/Section 
108 leveraging ratio.)
    (2) Leverage of Other Financial Resources. (Up to 7 points)--
    HUD will evaluate the extent to which other funds (public or 
private) are leveraged by BEDI grant funds, and the extent to which 
such other funds are firmly committed to the project. This could 
include the use of CDBG funds, other federal or state grants or loans, 
local general funds, project equity or commercial financing provided by 
private sources or funds from non-profits or other sources. Funds will 
be considered committed to the project if they meet the definition of 
``Firm Commitment'' found in Section III(A)(1) above, and may be 
subject to completion of any environmental review required under 24 CFR 
part 58 for the project.

Rating Factor 5: Coordination, Self-Sufficiency & Sustainability (5 
Points Maximum)

    This factor addresses the extent to which the applicant has 
coordinated its activities with other organizations not directly 
participating in the proposed project, but which share common community 
development goals; the extent to which it participates or promotes 
participation in its or the State's Consolidated Planning process; and 
that it is working towards addressing a need described in Rating Factor 
2 above in a comprehensive manner through linkages with other 
activities in the community.
    (1) Coordination--in evaluating this factor, HUD will consider the 
extent to which the applicant demonstrates it has coordinated its 
proposed activities with those of other groups or organizations, 
including other federal, state or local governmental activities in the 
area, if any, before submission, in order to best complement, support 
and coordinate all activities; and developed specific steps to share 
information on solutions and outcomes with others. Any written 
agreements or memoranda of understanding in place, or that will be in 
place after award, should be described in the application.
    (2) Developed linkages--applications should describe linkages with 
other HUD-funded projects/activities outside the scope of those covered 
by the Consolidated Plan, as well as established linkages and outreach 
with residents of the project area, i.e., specific steps to develop 
linkages with other activities, programs or projects (through meetings, 
information networks, planning processes or other mechanisms to 
coordinate activities), so that solutions are holistic and 
comprehensive.
    (3) Self-sufficiency--applications should describe the extent to 
which project activities will result in long term physical and economic 
improvement for the current residents of the target area or 
neighborhood in which the project will be carried out, and which will 
allow them to continue to live in a redeveloped or revitalized 
neighborhood and thus share in the anticipated economic benefits the 
project is expected to generate.
    (4) Sustainability--the extent to which the project incorporates 
one or more elements that facilitate a successful transition of welfare 
recipients to work, including the number of jobs that are part of 
career path or apprenticeship programs to be created by the project and 
the impact of the project on job creation that will benefit individuals 
on welfare or low-to very low-income persons. 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, including those with disabilities.

Bonus Points

    An application may receive up to six (6) bonus points, until the 
maximum of six points are achieved. Two bonus points may be awarded for 
each of the following:
    (a) Projects that are located either in federally-designated 
Empowerment Zones, Enterprise or Renewal Communities, or Strategic 
Planning Communities (See Section III(C)(2) of the General Section of 
the SuperNOFA) for advice on locating a list of designated 
communities);
    (b) Projects that are located in Brownfields Showcase Communities 
designated by EPA (See Section III(C)(2) of the General Section of the 
SuperNOFA) for advice on locating a list of Showcase communities.)
    (c) Qualifying projects in the City of Dallas, Texas, as mandated 
by a decision by the U.S. District Court for the Northern District of 
Texas, Dallas Division. Up to two (2) additional points will be awarded 
to an application that describes how the use of BEDI and Section 108 
loan funds will be used to help eradicate the vestiges of racial 
segregation in the Dallas Housing Authority's programs consistent with 
the Court's order. For specific details, please see Section III(C)(3) 
in the General Section of the SuperNOFA.

VI. Application Submission Requirements

    (A) BEDI Funding. An application for a BEDI grant under this 
program section of the SuperNOFA must have the following items to be 
complete. The standard forms, certifications and assurances that are 
required for the BEDI application (and listed in paragraph (I) below) 
can be found in Appendix B to the General Section. The remaining 
application items that are forms (i.e., excluding such items as 
narratives or letters, etc.), referred to as the ``non-standard 
forms'', can be found in Appendix A to this program section of the 
SuperNOFA.
    (B) Transmittal Letter signed by the authorized representative of 
the eligible applicant indicating that it is submitting the application 
for funding under the Brownfields Economic Development Initiative 
Program and is requesting funding consideration for a BEDI project.
    (C) Checklist and Submission Table of Contents indicating the page 
numbers where the submission items can be found in the application 
(form HUD-40076-EDI/BEDI).
    (D) BEDI Narrative Statement (not to exceed 3 pages) describing 
BEDI-funded eligible activities within the proposed project. (See 
Section V(B) of this program section.)
    (E) EDI/BEDI/Section 108 Funding Eligibility Statement. A completed 
EDI/BEDI Section 108 Funding Eligibility Statement (form HUD-40076-EDI/
BEDI).
    (F) Request for Loan Guarantee Assistance. A request for loan 
guarantee assistance under Section 108, as further described in Section 
IV(C) of this program section of the SuperNOFA. Full application 
guidelines for the Section 108 program are found at 24 CFR 570.704.
    (G) Narrative Responses to Factors for Award (not to exceed 15 
pages overall):
    (1) Rating Factor 1: Capacity and Relevant Organizational 
Experience. Provide a narrative indicating the capacity of your 
organization and staff to perform the work for which it is requesting 
funding.
    (2) Rating Factor 2: Need Statement Identifying the level of 
Distress/Extent of the Problem. Provide a narrative statement including 
any documentation supporting the statement of need. Optional form HUD-
40076-EDI/BEDI may also be used as a format to respond to this Factor 
for Award.

[[Page 14147]]

    (3) Rating Factor 3: Soundness of Approach. Include the activities, 
budget and time frame for conducting activities in the response (see 
form HUD 40076-EDI/BEDI).
    (4) Rating Factor 4: Leveraging Resources. The response should 
include a completed copy of form HUD-40076-EDI/BEDI, ``Rating Factor 4: 
Leveraging Resources--Sources and Uses Statement.''
    (5) Rating Factor 5: Coordination, Self-sufficiency and 
Sustainability: Provide a narrative response to this factor.
    (H) Request for Funds. A single application must contain a request 
for funds for a single BEDI/108 project. An applicant may submit more 
than one application for each additional unrelated BEDI/108 project, 
but in no event will HUD rate and rank more than one BEDI project per 
application.
    (I) Additional Application Forms and Certifications. In addition to 
any forms that have been submitted in response to Section VI (A)--(H) 
above (which may be found at Appendix A), the following forms and 
certifications must also be submitted in accordance with Section II(H) 
of the General Section of this SuperNOFA:
    (1) Application for Federal Assistance (Standard Form (SF-424);
    (2) Federal Assistance Funding Matrix (HUD 424-M);
    (3) Standard Form for Assurances--Non-Construction Programs (SF 
424-B) and/or Standard Form for Assurances--Construction Programs (SF 
424-D): not required for BEDI applications since the ``Leveraging 
Resources--Sources and Uses Statement'' serves the same purpose as a 
budget form, but must be submitted with the Section 108 application. 
Since these forms contain assurances of compliance with civil rights 
and other regulatory requirements, BEDI applicants may elect to provide 
the signed assurances either with the BEDI or the Section 108 
application.
    (4) Drug-Free Workplace Certification, HUD-50070.
    (5) Certification of Payments to Influence Federal Transactions, 
HUD-50071, (and if applicant and/or participating parties are engaged 
in lobbying, the Disclosure Form Regarding Lobbying, SF-LLL);
    (6) Applicant/Recipient Disclosure/Update Report, HUD-2880;
    (7) Certification Regarding Debarment and Suspension, HUD-2992;
    (8) Certification of Consistency With EZ/EC Strategic Plan, HUD-
2990;
    These forms are found in the Appendix B to the General Section of 
this SuperNOFA. The non-standard forms for the BEDI applications are in 
Appendix A to this program section.
    If an applicant wishes to receive an acknowledgment of HUD's 
receipt of its application, it should submit a completed Acknowledgment 
of Receipt of Application form.

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    (A) 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 BEDI grantee 
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 non-
entitlement 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.
    (B) 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 brownfields sites 
and HUD expects that projects presented for BEDI funding will integrate 
environmental justice concerns and provide demonstrable benefits for 
affected communities and their current residents for the long term.

IX. Authority

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

Appendix A

    The non-standard forms for your BEDI application follow.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14157]]



FUNDING AVAILABILITY FOR SELF-HELP HOMEOWNERSHIP OPPORTUNITY 
PROGRAM (SHOP)

PROGRAM OVERVIEW

    Purpose of the Program. To facilitate and encourage innovative 
homeownership opportunities through self-help housing where the 
homebuyer contributes a significant amount of sweat-equity toward the 
construction of the new dwelling.
    Available Funds. Approximately $22 million.
    Eligible Applicants. You must be a national or regional nonprofit 
organization or consortium.
    Application Deadline. June 19, 2002.
    Match. None.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information:

I. Application Due Date, Standard Forms, Further Information, and 
Technical Assistance

    Application Due Date. Applications for SHOP grants are due on or 
before June 19, 2002.
    See the General Section of this SuperNOFA for specific procedures 
governing the form of application submission (e.g., mailed 
applications, express mail, or overnight delivery).
    Application Submission Procedures. New Security Procedures. HUD has 
implemented new security procedures that apply to application 
submission. Please read the following instructions carefully and 
completely. HUD will not accept hand-delivered applications. 
Applications may be mailed using the United States Postal Service (UPS) 
or may be shipped via the following delivery services: United Parcel 
Service (UPS), FedEx, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without an escort. You 
must, therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received in HUD Headquarters on or within 
fifteen (15) days of the application due date. Applicants must obtain 
and save a Certificate of Mailing showing the date, when your 
application was submitted to the United States Postal Service (USPS). 
The Certificate of Mailing will be your documentary evidence that your 
application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
service no later than the application due date. Due to new security 
measures, you must use one of four carrier services that do business 
with HUD Headquarters regularly. These services are UPS, DHL, FedEx and 
Falcon Carrier. Delivery by these services must be made during HUD's 
Headquarters business hours, between 8:30 AM and 5:30 PM Eastern time, 
Monday through Friday. If these companies do not service your area, you 
should submit your application via the United States Postal Service.
    Address for Submitting Applications. Submit one original and two 
copies of the application to Department of Housing and Urban 
Development, Office of Community Planning and Development, Processing 
and Control Unit, 451 Seventh Street, SW, Room 7251, Washington, DC 
20410, ATTN: Self-Help Homeownership Opportunity Program (SHOP).
    For Application Forms. Only national and regional nonprofit 
organizations and consortia are eligible to apply. There is no separate 
application kit. This notice contains all the information necessary for 
submission of your application. Copies of the standard forms are 
located in the General Section of this SuperNOFA or you may request 
copies by calling HUD's SuperNOFA Information Center at: 1-800-HUD-
8929. If you have a hearing or speech impairment, please call the 
Center's TTY number at 1-800-HUD-2209. When requesting standard forms, 
you should refer to SHOP and provide your name and address (including 
zip code) and telephone number (including area code). See Section VI 
for application submission requirements. You may also access the 
application requirements on the Internet through HUD's web site at 
www.hud.gov/grants.
    Further Information and Technical Assistance. You may contact Lou 
Thompson, Office of Affordable Housing Programs, Department of Housing 
and Urban Development, Room 7168, 451 Seventh Street, SW., Washington, 
DC 20410; telephone (202) 708-2684, ext. 4594 (this is not a toll-free 
number). This number can be accessed via TTY by calling the Federal 
Information Relay Service Operator at 1-800-877-8339.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD web site at http://www.hud.gov/grants.

II. Amount Allocated

    The amount available for this program is approximately $22 million. 
Any unobligated funds from previous competitions or additional funds 
that may become available, as a result of deobligation or recaptures 
from previous awards or budget transfers, may be used in addition to 
the Fiscal Year 2002 appropriation to fund applications submitted in 
response to this NOFA.

III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. SHOP is intended to facilitate and 
encourage innovative homeownership opportunities on a national 
geographically-diverse basis through self-help housing where the 
homebuyer contributes a significant amount of sweat-equity toward the 
construction or rehabilitation of the dwelling.
    Decent, safe, and sanitary non-luxury dwellings developed under 
SHOP must be made available to eligible homebuyers at prices below the 
prevailing market prices. Eligible homebuyers are low-income 
individuals and families (those whose annual incomes do not exceed 80 
percent of the median income for the area, as established by HUD) who 
are unable to purchase a dwelling. Housing assisted under this Notice 
must involve community participation through the use of homebuyers and/
or volunteers in the construction of dwellings and by other activities 
that involve the community in the project.
    (B)  Eligible Applicants. You must be a national or regional 
nonprofit organization or consortium that has the capacity and 
experience to provide or facilitate self-help housing homeownership 
opportunities. Local affiliates of national or regional organizations 
or consortia must apply as part of the national or regional 
organization or consortia and may not apply for SHOP independently. 
``Regional'' is defined for the purpose of this program section of the 
SuperNOFA to be a ``regional area'' such as the Southwest or Northeast 
that must include at least two or more States (the States need not be 
contiguous and the operational boundaries of the organization need not 
precisely conform to State boundaries). If you are a consortium, one 
organization must be chosen as the lead entity. The lead entity must 
submit the application and,

[[Page 14158]]

if selected for funding, will execute the grant agreement and assume 
primary responsibility for carrying out grant activities in compliance 
with all program requirements. Other participants in your consortium 
must be identified in your application.
    Your application may not propose a partnership with or funding for 
any affiliate or consortium member that is also included in another 
SHOP application. You must assure that any affiliate or consortium 
member under your FY 2002 application is not also seeking funding from 
another SHOP applicant for FY 2002 funds.
    (C) Eligible Activities. The only eligible activities are: (1) land 
acquisition (including financing and closing costs), which may include 
reimbursing an organization, consortium, or affiliate, upon approval of 
any required environmental review, for nongrant amounts of the 
organization, consortium, or affiliate advanced to acquire land before 
completion of the review; (2) infrastructure improvements (installing, 
extending, constructing, rehabilitating, or otherwise improving 
utilities and other infrastructure, including removal of environmental 
hazards); and (3) administration, planning and management development 
as defined under the HOME Investment Partnerships Program (24 CFR 
92.207) and not to exceed 20 percent of any SHOP grant. Funding of 
eligible activities may be used for both single-family and multifamily 
dwellings.
    (D) Ineligible Costs: Costs associated with the rehabilitation, 
improvement, or construction of dwellings are not eligible uses of 
program funds.

IV. Program Requirements

    In addition to meeting the Requirements and Procedures Applicable 
to All Programs in Section II of the General Section of this SuperNOFA, 
you are subject to the following SHOP requirements:
    (A) Conducting Business In Accordance With Core Values and Ethical 
Standards: See Section II(B)(2) of General Section of the SuperNOFA.
    (B) Statutory Requirements. You must comply with all statutory 
requirements applicable to SHOP as cited in Section IX of this program 
section below. There are no regulations for this program. You must be 
capable of:
    (1) Developing, through significant amounts of sweat-equity and 
volunteer labor, at least 30 dwellings at an average cost of no more 
than $10,000 per unit in SHOP funds for land acquisition and 
infrastructure improvements;
    (2) Using your grant to leverage other sources of funding, 
including private or other public funds, to complete the housing units;
    (3) Developing quality dwellings that comply with local building 
and safety codes and standards and which will be available to 
homebuyers at prices below the prevailing market price; and
    (4) Scheduling activities to expend all grant funds awarded and 
substantially fulfill your obligations under your grant agreement, 
including timely development of the appropriate number of dwelling 
units. Grant funds must be expended within 24 months, except that grant 
funds provided to affiliates and consortium members that develop five 
or more units must be expended within 36 months.
    (C) Economic Opportunities for Low- and Very Low-Income Persons 
(Section 3). If you fund infrastructure improvements under this 
program, you are required 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 in subpart E. Section 3 
requires that you provide training, employment and other economic 
opportunities, to the greatest extent feasible, 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.

V. Application Selection Process

    (A) Rating. HUD will review all applications in accordance with the 
Application Selection Process in Section III of the General Section of 
this SuperNOFA. HUD will review all applications based on the threshold 
factors listed in Section V(D) of this program section below. 
Applications that meet all threshold requirements will be rated 
according to the selection factors in this section of the SuperNOFA. 
Applications that do not meet all threshold factors will be rejected 
and not rated.
    (B) Ranking and Selection Procedures. Applications that receive a 
total rating of 70 points or more (without the addition of Empowerment 
Zones/Enterprise Communities/Urban Enhanced Enterprise Communities/
Strategic Planning Communities, or Renewal Communities [RC/EZ/ECs] 
bonus points) will be eligible for selection, and HUD will place them 
in rank order. After adding any bonus points for RC/EZ/ECs, HUD will 
consider rank order and funds availability in the selection and funding 
of applications.
    HUD reserves the right to fund less than the full amount requested 
in any application to ensure a fair distribution of the funds and that 
dwellings will be developed on a national geographically-diverse basis 
as required by the statute. HUD will not fund any portion of an 
application that is ineligible for funding under program statutory 
requirements, or which does not meet the requirements of the General 
Section of this SuperNOFA or the requirements in the SHOP section of 
the SuperNOFA. HUD will not fund any eligible applicant for less than 
the minimum amount necessary to complete at least 30 homes (at a 
maximum investment of $10,000 per home or a lesser amount if lower 
costs are reflected in the application). If funds remain after all 
selections have been made, these funds may be available for other 
competitions.
    (C) Applicant Debriefing. Beginning not less than 30 days after the 
awards for assistance are announced in the Federal Register, and not 
longer than 120 days, HUD will, upon receiving a written request from 
an applicant, provide a debriefing to the requesting applicant. 
Materials provided during a briefing will be the applicant's final 
score for each rating factor, final evaluator comments for each rating 
factor, and the final assessment indicating the basis upon which 
assistance was provided or denied. Applicants requesting to be 
debriefed must send a written request to Lou Thompson, Office of 
Affordable Housing Programs, Department of Housing and Urban 
Development, Room 7168, 451 Seventh Street, SW, Washington, DC 20410.
    (D) Threshold Requirements. The following threshold requirements 
apply specifically to SHOP. You must also be sure to address the 
threshold requirements listed in Section II(B) of the General Section 
of the SuperNOFA and must submit all forms, certifications, and 
assurances identified in Section II(H) of the General Section.
    (1) You, the applicant, must be eligible to apply under SHOP (see 
Section III(B) of this program section of the SuperNOFA).
    (2) The amount of funding you request must support no less than 30 
self-help units and may not exceed an average investment of $10,000 per 
unit in SHOP funding.
    (3) The population you plan to serve must be eligible under SHOP 
(see Section III(A) of this program section of the SuperNOFA).

[[Page 14159]]

    (4) You must demonstrate that you have completed at least 30 self-
help homeownership units within a national or regional area (where the 
homebuyers contributed a significant amount of sweat-equity and/or 
volunteer labor toward the construction of the dwellings) within the 
24-month period preceding the publication of this SuperNOFA.
    Submission Threshold Requirements:
    (1) Evidence of your non-profit status, such as a copy of a current 
Internal Revenue Service ruling that your organization is exempt from 
taxation under section 501(c)(3) or 501(c)(4) of the Internal Revenue 
Code of 1986. Where an IRS ruling is unavailable, you may submit a 
certified copy of your approved charter, articles of incorporation or 
bylaws demonstrating that you are established as a nonprofit 
organization under state law. If you are a consortium, each participant 
in your consortium must be a nonprofit organization. Each consortium 
member must submit evidence of its nonprofit status to the lead entity 
for inclusion in the Consortium's application package.
    Submission threshold requirements (2) through (4) require no 
additional submissions. These requirements are addressed under the 
submission requirements for the rating factors listed in Section V(D) 
of this program section of the SuperNOFA below.
    (E) Factors for Award Used to Evaluate Applications. HUD will rate 
all SHOP applications that successfully complete technical processing 
using the Rating Factors and the Application Submission Requirements 
described below. The maximum number of points for this program is 102. 
This includes two RC/EZ/EC bonus points, as described in Section 
III(C)(1) of the General Section of the SuperNOFA. In evaluating 
applications for funding, HUD will take into account an applicant's 
past performance in managing funds, including accounting for funds 
appropriately, the timely use of funds received from HUD, meeting 
performance targets for completion of activities, and the number of 
persons served.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Staff (20 Points)

    This factor examines the extent to which you, as a single applicant 
or as a consortium (including affiliates and/or members of the 
consortium, if any), have the experience and organizational resources 
necessary to carry out the proposed activities in a timely manner.
    In evaluating this factor, HUD will consider your recent and 
relevant experience in carrying out the activities you propose, and 
your administrative and fiscal management capability to administer the 
grant, including the ability to account for funds appropriately. HUD 
will assess your organization's past performance based upon performance 
reports for completion of activities and the number of families/persons 
provided housing, financial status information focusing on expediency 
of draws and use of funds, monitoring reports, audit reports and other 
information available to HUD in making its determination under this 
factor. If you are not a current recipient of HUD funds, you should 
submit any existing internal or external performance reports or other 
information that will assist HUD in making this determination.

Submission Requirements for Rating Factor 1.

    (1) You must describe your past experience in carrying out 
activities (describe the time frame when these activities occurred) 
that are the same as, or similar to, the activities you propose for 
funding, and demonstrate reasonable success in carrying out those 
activities. You may demonstrate such reasonable success by showing that 
your previous activities were carried out as proposed consistent with 
the time frame you proposed for completion of all work. You must show 
that established benchmarks for acquiring properties and completing 
housing construction were met and performance reports were submitted, 
as required. You must also describe any delays that were encountered, 
and the actions you took to overcome such delays to successfully 
complete your program.
    (2) You must demonstrate that you have completed at least 30 self-
help homeownership units within a national or regional area (where the 
homebuyers contributed sweat-equity and/or volunteer labor toward the 
construction of the dwellings) within the 24-month period preceding the 
publication of this SuperNOFA. In identifying these recent projects, 
please include all projects completed, regardless of whether they were 
funded with Federal, State, local, public or private funds.
    (3) You must provide a description of your organization's 
management structure. You must also describe how you will staff and 
manage your proposed activities within the organization if funds are 
awarded.
    (4) You must demonstrate your ability to handle financial resources 
with adequate financial control and accounting procedures. You must 
describe how your financial control procedures meet 24 CFR 84.21, 
``Standards for Financial Management Systems.'' You must provide a copy 
of your most recent audit (only an audit of the lead entity must be 
provided with an application for a consortium).
    (5) You must demonstrate your experience and ability in 
constructing and altering homes by describing the kinds of features 
that you have used to design homes in accordance with universal design 
or otherwise make homes accessible to the elderly or persons with 
disabilities.

Rating Factor 2: Need/Extent of the Problem (15 Points)

    This factor examines the extent to which you identify the community 
need, or problem, or distress that your proposed activities will 
target, and the urgency of meeting that need.
    The purpose of this factor is to make sure that funding is provided 
where a need for funding exists. Under this factor, you must identify 
the need or needs in the community that your proposed activities are 
designed to address or, if you plan to select specific affiliates only 
after you receive SHOP funding, you must demonstrate how you plan to 
identify need prior to your selection of affiliates.

Submission Requirements for Rating Factor 2.

    (1) Identify the communities or areas in which your proposed 
activities will be carried out or how you will select communities or 
projects based on need after you have received an award under SHOP.
    (2) Depending on the type of activities proposed, the kind of 
information you submit to demonstrate the need or needs in the target 
area may include, but is not limited to, one or more of the following:
    (a) Housing market data such as information included in the local 
Five Year Consolidated Plan or other data sources;
    (b) Data dealing with such factors as housing density, housing 
affordability, housing age or deterioration, and lack of adequate 
infrastructure or utilities;
    (c) Data on the need for accessible homes in the area;
    (d) Evidence of housing discrimination;
    (e) Evidence from the local Analysis of Impediments to Fair Housing 
Choice that shows the need for this program.

Rating Factor 3: Soundness of Approach (45 Points)

    This factor examines the quality of your plan of proposed 
activities. In evaluating this factor HUD will consider:

[[Page 14160]]

    (1) Your specific use of SHOP funds, the number of units and the 
type(s) of housing to be constructed, and the use of sweat equity/
volunteer labor; your established timeline for performance; your 
schedule for expending funds and completing construction; the proposed 
budget and cost effectiveness of your program; and your plans to reach 
all potentially-eligible homebuyers, including those with disabilities 
or least likely to apply. You may not require a homebuyer to make 
financial contributions to a unit other than cash contributed for down 
payment or closing costs at the time of acquisition.
    (2) How your planned activities further the Department's FY 2002 
policy priorities noted in Section VI of the General Section. You will 
receive one rating point for each priority addressed in your program of 
activities and associated with performance measures. For FY 2002, HUD's 
policy priorities are:
    (i) Increasing Homeownership Opportunities for Low- and Moderate-
Income Persons, Persons with Disabilities and the Elderly, and 
Minorities and Families where English may be a second language.
    (ii) Improving the Quality of Public Housing and Providing More 
Choices for Its Residents.
    (iii) Encouraging Accessible Design Features: Visitability in New 
Construction and Substantial Rehabilitation Activities and Universal 
Design.
    (iv) Improving Computer Access, Literacy, and Employment 
Opportunities.
    (v) Providing Full and Equal Access to Faith Based and Other 
Community Based Organizations in HUD Program Implementation.
    (vi) Ensuring that Programs are Accountable for the Promises Made 
and the Actions Taken.
    (vii) Colonias.

Submission Requirements for Factor 3

    (1) Identify all activities you propose to fund with SHOP.
    (2) Provide a timetable for the selection of your participating 
local affiliates if they are not specified in the application.
    (3) Identify the housing type(s) (single family or multifamily, or 
both) you plan to develop and the form of ownership (fee simple, 
condominium, cooperative, etc.) you propose to use.
    (4) Submit a construction and completion schedule which expends 
SHOP funds and substantially fulfills your obligations, including the 
development of the appropriate number of dwelling units, within 24 
months, or in the case of affiliates that develop five or more units, 
within 36 months, and demonstrates that remaining housing construction 
will be completed within a reasonable period of time.
    (5) Submit a timeline listing milestones against which HUD is to 
measure your performance progress in expending funds, and completing 
acquisition, infrastructure and housing construction activities within 
the schedule in Item 4 above. These milestones should be at reasonable 
intervals (e.g., monthly, quarterly, etc.).
    (6) Describe how your proposed activities address the need or needs 
you have identified under Rating Factor 2 above.
    (7) List the long- and short-term benefits from your activities to 
the community and targeted groups within the community, and describe 
how you will ascertain and measure the benefits.
    (8) Provide a detailed budget with a break out for each proposed 
task and each budget category (acquisition, infrastructure 
improvements, and administration) in the SF-424A. If SHOP funds will be 
used for administration of your grant, you must include the cost of 
monitoring affiliates once during the grant period. Your budget must 
also include leveraged funding to cover all costs of completing the 
proposed number of units.
    (9) Demonstrate that projected costs for the proposed activities do 
not deviate substantially from the norm in the locale in which your 
activities will take place, will not exceed an average cost of $10,000 
per unit in SHOP funds, and illustrate your ability to carry out your 
proposed activities cost effectively.
    (10) Describe how each of the Department's policy priorities are 
furthered by your proposed activities. To receive a point for a policy 
priority, you must describe how your proposed work activities address 
the specific policy and list proposed performance measurements related 
to it.
    (11) Describe how you will reach potential homebuyers through the 
use of services and materials that are accessible or visitable to all 
persons, including persons with disabilities (e.g., languages, formats, 
locations, distribution, and use of minority media to attract those 
least likely to apply).
    (12) Describe your criteria and procedures for selecting homebuyers 
and how activities will benefit eligible homebuyers.
    (13) Describe how your proposed activities will yield long-term 
results and innovative strategies or ``best practices'' that can be 
readily disseminated to other organizations, communities, and/or State 
and local governments.
    (14) Describe how your program will provide reasonable 
accommodations for persons with a variety of disabilities by providing 
``sweat equity'' assignments that can be performed by the client 
regardless of disability.

Rating Factor 4: Leveraging Resources (15 Points)

    This factor addresses your ability to secure other resources that 
can be combined with HUD's program resources to achieve the purposes of 
SHOP. HUD will consider only those leveraging contributions for which 
current firm commitments have been provided. Leveraging can be counted 
only if you have secured a firm financial commitment described and 
listed under this Factor. A firm commitment letter means the agreement 
by which the contributing partner or entity agrees to perform an 
activity specified in your application which should demonstrate your 
financial capacity to deliver the resources necessary to carry out the 
activity. Firm commitments of resources may be in the form of cash 
funding, in-kind contributions, or personnel from Federal, State, 
local, and private sources, which are jointly referred to as your 
leverage partners. HUD will also consider the extent that the 
applicant's proposed sweat-equity requirements and other leveraged 
resources will serve to reduce costs to the homebuyers.

Submission Requirements for Factor 4

    (1) Provide a list of amounts and sources of all firm commitments 
of cash funding, in-kind contributions, or personnel from other 
Federal, State, local, and private sources which will be available to 
complete your project. Together with the grant funds, these commitments 
must be sufficient to develop the proposed number of units in your 
application, which must be 30 units or more.
    (2) Provide firm written commitments (letters, agreements, etc.) 
from the source of the commitment to support your list of firm 
commitments. This written commitment should include your organization's 
name, the contributing organization's name, and the proposed type and 
level of commitment and responsibilities as they relate to your 
proposed program. This leveraging commitment must be signed by an 
official of the organization legally able to make the commitment on 
behalf of the organization and must be specifically targeted to support 
your FY 2002 SHOP application. The written commitment may be contingent 
upon your receiving a grant award.

[[Page 14161]]

    (3) Provide a description of the individual sweat-equity 
requirements (types of tasks and number of hours) of your program and 
how this contribution of labor will serve to reduce the costs of the 
home to the homebuyer. Reasonable accommodation must be allowed for 
persons with a variety of disabilities to participate in your program.

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(5 Points)

    This factor addresses the extent to which your application reflects 
a comprehensive approach that coordinates effectively with other 
organizations in the community and fosters self-sufficiency of 
beneficiaries in your program after completion of the grant award. In 
evaluating this factor, HUD will consider:
    (1) The extent to which you have coordinated your activities with 
other known organizations that are not directly participating in your 
proposed work activities, but with which you share common goals and 
objectives and are working toward meeting these objectives in a 
holistic and comprehensive manner; and
    (2) The extent to which your application implements practical 
solutions within the grant term to result in assisting beneficiaries of 
grant program funds in achieving independent living, housing choice or 
improved living environments.

Submission Requirements for Factor 5

    (1) Describe the steps taken to coordinate your program activities 
at the national, regional and local levels with other organizations not 
directly participating in your program and work activities. If 
affiliates are selected after grant award, you must describe how your 
selections will be made to ensure that the affiliates' programs fit in 
with other activities and programs that are being carried out by others 
in the local communities.
    (2) Describe the steps to be taken within the grant term that 
provide assistance to homebuyers in a manner that achieves independent 
living, housing choice in a wider range of neighborhoods and improved 
living conditions free from overcrowding and environmental hazards, 
such as lead-based paint, Brownfields, etc.

VI. Application Requirements and Checklist for Application 
Submission

    Your application consists of the items listed in this Section VI. 
The standard forms, certifications, and assurances that are applicable 
to this funding (collectively, referred to as the ``standard forms'') 
can be found in Appendix B to the General Section of the SuperNOFA. The 
following checklist helps to ensure that all of the required items have 
been submitted in order to receive consideration for funding:

______ Standard Form 424, Application for Federal Assistance (signed by 
the authorized representative of the organization eligible to receive 
funds)
______ Evidence of Non-Profit status
______A copy of your code of conduct and a narrative description of the 
methods you will use to ensure that all officers, employees and agents 
of your organization become aware of your code of conduct.

    Narrative Statement Addressing:

______ Factor 1--Capacity of the Applicant and Relevant Organizational 
Staff, including recent audit.
______ Factor 2--Need/Extent of the Problem
______ Factor 3--Soundness of Approach
______ Factor 4--Leveraging Resources
______ Factor 5--Coordination, Self Sufficiency and Sustainability

    Forms, Certifications and Assurances:

______ SF 424A, Budget Information, Non-Construction Programs
______ SF 424B, Assurances--Non-Construction Programs
______ SF 424M, Federal Assistance Funding Matrix
______ HUD-50070, Certification for a Drug-Free Workplace
______HUD-50071, Certification of Payment to Influence Federal 
Transactions
______SF-LLL, Disclosure of Lobbying Activity, as applicable
______HUD-2880, Applicant/Recipient Disclosure/Update Report
______HUD-2990, Certification of Consistency with the RC/EZ/EC 
Strategic Plan
______HUD-2992, Certification Regarding Debarment and Suspension
______HUD-2993, Acknowledgment of Application Receipt

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    The provisions contained in Section 305(c) of the Multifamily 
Housing Property Disposition Reform Act of 1994, Environmental Review, 
implemented in the Environmental Review regulations at 24 CFR part 58, 
are applicable to properties assisted with SHOP funds. All SHOP 
assistance is subject to the National Environmental Policy Act of 1969 
and related federal environmental authorities. SHOP grant applicants 
are cautioned that no federal or non-federal funds or assistance which 
limits reasonable choices or could produce a significant adverse 
environmental impact may be committed to a project until all required 
environmental reviews and notifications have been completed by a unit 
of general local government, tribe or State and until HUD approves a 
recipient's request for release of funds under the environmental 
provisions contained in 24 CFR part 58. Not withstanding the preceding 
sentence, in accordance with Section 11(d)(2)(A) of the Housing 
Opportunity Extension Act of l996 and HUD Notice CPD-01-09, an 
organization, consortium or affiliate receiving SHOP assistance may 
advance nongrant funds to acquire land prior to completion of an 
environmental review and HUD's approval of a request for release of 
funds and environmental certification. Any advances to acquire land 
prior to such approval are made at the risk of the organization, 
consortium or affiliate and reimbursement from SHOP funds for such 
advances will depend on the result of the environmental review.

IX. Authority

    The funding made available under this program section of the 
SuperNOFA is authorized by section 11 of the Housing Opportunity 
Program Extension Act of 1996 (42 U.S.C. 12805 note) (the ``Extension 
Act'').
BILLING CODE 4210-32-P

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FUNDING AVAILABILITY FOR THE YOUTHBUILD PROGRAM

PROGRAM OVERVIEW

    Purpose of the Program. The purpose of the Youthbuild program is to 
assist disadvantaged young adults in distressed communities in 
completing their high school education, to provide on-site construction 
training experiences which also results in the rehabilitation or 
construction of housing for homeless persons and low- and very low-
income families, to foster leadership skills, to further opportunities 
for placement in apprenticeship programs, and to promote economic self-
sufficiency.
    Available Funds. Approximately $59,750,000 is available for the 
Youthbuild Program.
    Adjustments to Funding. HUD reserves the right to utilize this 
year's funding to fund previous years errors prior to rating and 
ranking this year's applications. HUD reserves the right to reallocate 
funds between categories to achieve the maximum allocation of funds.
    Eligible Applicants. Eligible applicants are public or private 
nonprofit agencies, including State or local housing agencies or 
authorities, State or units of local government, or any entity eligible 
to provide education and employment training under other Federal 
employment training programs, as further defined in HUD's regulation at 
24 CFR 585.4.
    Application Deadline. May 30, 2002.
    Match. None.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this program, 
please carefully review the General Section of this SuperNOFA and the 
following additional information.

I. Application Due Date and Technical Assistance

    Application Due Date. Completed applications (one original signed 
application and two copies) must be submitted on or before May 30, 2002 
to the HUD Headquarters address shown below.
    Application Submission Procedures. New Security Procedures. HUD has 
implemented new security procedures that impact application submission 
procedures. Please read the following instructions carefully and 
completely.
    Addresses for Submitting Applications. Completed applications (one 
original signed application and two copies) must be submitted to the 
Processing and Control Unit, Office of Community Planning and 
Development, Department of Housing and Urban Development, 451 Seventh 
Street, SW, Room 7255, Washington, DC 20410, Attention: Youthbuild 
Program. When submitting your application, please include your name and 
mailing address (including zip code) and telephone number and fax 
number (including area code).
    Applications sent to HUD headquarters may be mailed using the 
United States Postal (USPS) or may be shipped via the following 
delivery services: United Parcel Services (UPS), FedEx, DHL, or Falcon 
Carrier. No other delivery services are permitted into HUD Headquarters 
without escort. You must, therefore, use one of the four carriers 
listed above. Delivery of these services must be made during business 
hours between 8:30 AM and 5:30 PM Eastern time, Monday through Friday. 
If these companies do not service your area, you should submit your 
application via the United State Postal Service.
    Mailed Applications. Your applications will be considered timely 
filed if postmarked on or before 12:00 midnight (Eastern Time) on the 
application due date and received at the address above on or within 
fifteen (15) calendar days of the application due date. All applicants 
must obtain and save a Certificate of Mailing showing the date when you 
submitted your application to the United States Postal Service (USPS). 
The Certificate of Mailing will be your documentary evidence that your 
application was filed in a timely manner.
    Applications sent by overnight delivery or express mail will be 
considered timely filed if they are received before or on the 
application due date, or upon submission of documentary evidence that 
your application was placed in transit with the overnight delivery 
service by no later than the specified application due date. For 
Application Kits. For an application kit and any supplemental material 
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. 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 information concerning the HUD Youthbuild program, contact Ms. 
Phyllis Williams, Community Planning and Development Specialist, Office 
of Rural Housing and Economic Development, Office of Community Planning 
and Development, Department of Housing and Urban Development, 451 
Seventh Street, SW, Room 7136, Washington, DC 20410; telephone (202) 
708-2035 (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.
    For Technical Assistance. Write or call Mr. Peter Twichell, 
YouthBuild USA, 58 Day Street, Somerville, MA 02144, telephone (617) 
623-9900, ext. 1211, under contract with HUD to provide technical 
assistance. Prior to the application deadline, YouthBuild USA will be 
available to provide general guidance on the application submission 
process and location of information, but not guidance in actually 
preparing the application. HUD staff will also be available to provide 
technical assistance.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of an application. For more information about the date and 
time of this broadcast, you should consult the HUD web site at http://www.hud.gov.

II. Amount Allocated

    (A) Available Funds. Approximately $59,750,000 in Fiscal Year (FY) 
2002 funding is being made available through this program section of 
this SuperNOFA for the Youthbuild program. The breakdown of funding is 
discussed below.
    The FY 2002 HUD Appropriations Act. The Department of Veterans 
Affairs and Housing and Urban Development, and Independent Agencies 
Appropriations Act, 2002 (Pub.L. 107-73 approved November 26, 2001) 
(the ``FY 2002 HUD Appropriations Act'') made $65,000,000 available of 
which $59,750,000 is allocated for grants.
    (B) Funding Categories. HUD will award up to $59,750,000 on a 
competitive basis. Funds will be divided between four categories of 
grants as described below.
    Category 1 New Applicants. HUD will award up to $10,000,000 for new 
applicants that have not previously received implementation grants 
since the inception of the Program for a period not to exceed 30 
months. The maximum amount awarded to a successful applicant in this 
category is $400,000.
    Category 2 Grants up to $700,000. HUD will award up to $37,750,000 
for grants up to $700,000 for a period not to exceed 30 months. The 
maximum

[[Page 14166]]

amount awarded to a successful applicant in this category is $700,000.
    Category 3 Underserved and Rural Areas. HUD will award up to 
$10,000,000 for grants to organizations serving clients in underserved 
and rural areas as defined in this NOFA for a period not to exceed 30 
months. The maximum amount awarded to a successful applicant in this 
category is $400,000.
    Category 4 Individual Development Accounts (IDAs). HUD will award 
up to $2,000,000 for grants for previous or existing Youthbuild 
grantees for a period not to exceed 30 months, to support the outreach, 
development and implementation of Individual Development Accounts 
(IDAs) for Youthbuild program participants. The maximum amount awarded 
under this category is $200,000.
    Applicants must indicate on their transmittal/cover letter which 
funding categories they are applying for.

III. Program Description and Eligible Activities

    (A) Program Description. The purposes of the Youthbuild Program are 
to:
    (1) Provide economically disadvantaged young adults with 
opportunities to obtain an educational experience that will enhance 
their employment skills, as a means to achieving self-sufficiency;
    (2) Foster the development of leadership skills and commitment to 
community;
    (3) 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 that 
will enable them to render a service to their communities by helping to 
meet the housing needs of homeless persons and low-income families; and
    (5) Give to the greatest extent possible, job training, employment, 
contracting and other economic opportunities to low-income young 
adults.
    HUD also focuses on the Youthbuild Program as a way to foster the 
development of nonprofit organizations which over time can provide the 
services mentioned above to disadvantaged youth and which at the same 
time rely less on HUD's financial support to carryout these activities.
    (B) Eligible Activities.
    (1) Work and activities associated with the acquisition, 
architectural and engineering work, rehabilitation or construction of 
the housing, as defined in HUD's regulations at 24 CFR 585.309, 
585.310, and 585.311.
    (2) Relocation payments and other assistance required to comply 
with HUD's regulation at 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 optional activities that meet the needs of the 
participants including entrepreneurial training, drivers' education, 
apprenticeship opportunities, financial literacy, credit counseling, 
assistance programs for those with learning disabilities, and in-house 
staff training;
    (5) Outreach to potential participants;
    (6) Wages, benefits, and need-based stipends for participants and;
    (7) Administrative costs, which must not exceed 10 percent of the 
grant award.
    HUD encourages you to use grant funds for outreach, recruitment, 
training and other services for the participants that facilitate 
program implementation. Please refer to HUD's regulation at 24 CFR 
585.305 for further details on eligible activities.

IV. Program Requirements

    In addition to the requirements listed in the General Section of 
this SuperNOFA, as an applicant you must comply with the following 
Youthbuild program requirements:
    (A) Eligible Applicants. Eligible applicants as defined in HUD's 
regulation at 24 CFR 585.4.
    (B) 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 may be high school 
graduates (or equivalent), but must have educational needs (such as 
lack of reading, writing and communication skills) that justify their 
participation in the program.
    (C) Locational Limitations. You may submit more than one 
application in the current competition if your program's participant 
recruitment and housing areas are in different jurisdictions. Each 
application you submit 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.
    (D) Response to NOFA--Page Limitation. The total narrative response 
to all factors identified in Section VI of this program NOFA must not 
exceed 15 pages, and must be submitted on 8.5'' by 11'' paper, using a 
12 point font, with lines double spaced and printed only on one side. 
Please note that submitting pages in excess of the page limit will not 
disqualify your application. However, HUD will not review or consider 
the information on any excess pages, which may result in a lower score 
or failure to meet a threshold.
    (E) Youthbuild Program Components. Applications that receive 
assistance under this Youthbuild Program section of the SuperNOFA must 
contain the three components described as follows:
    (1) Educational and job training services;
    (2) Leadership training, counseling, and other support activities;
    (3) On-site training through actual housing rehabilitation and/or 
new construction work, including the provision of alternative training 
experiences that are necessary as a reasonable accommodation for 
students with disabilities.
    (F) Identification of and Access to Property. Your application must 
identify the location of the site(s) or property(ies) (e.g. addresses, 
parcel numbers, etc.) that will be used for on-site construction. Your 
application MUST contain a letter from the property owner or property 
management company(ies) allowing access to the housing site(s) for on-
site construction training. HUD may deem as ineligible any application 
that fails to specifically identify the location of the on-site 
construction.
    (G) Training Requirement. Each program must be structured so that 
50 percent of each participant's time is spent in on-site training and 
the other 50 percent in educational training.
    (H) 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 the Youthbuild program. Please 
see Section II of the General Section of the SuperNOFA.
    (I) Participation in Local Workforce Investment Act One-Stop 
Center. Youthbuild grantees are mandatory partners in one-stop centers 
authorized by the Workforce Investment Act of 1998 (Pub. L. 105-220).

V. Desirable Elements of a Youthbuild Program

    You should document the extent to which HUD's initiatives are 
furthered by the proposed activities. Such initiatives include:
    (1) Promoting healthy, safe, and energy efficient homes;

[[Page 14167]]

    (2) Affirmatively furthering fair housing by promoting greater 
opportunities for housing choice for minorities and persons with 
disabilities;
    (3) Providing opportunities for self-sufficiency, particularly for 
persons enrolled in welfare to work programs;
    (4) Providing educational, apprenticeship and job training 
opportunities;
    (5) Promoting welfare reform;
    (6) Encouraging visitability in new construction and substantial 
rehabilitation activities; and
    (7) Encouraging universal design.
    First time applicants. If you are a first time applicant applying 
for funding under Category 1, HUD recommends that you have a graduating 
class of not more than 20 participants.

VI. Application Selection Process

    Applicants must meet all of the applicable threshold requirements 
of Section II(B) of the General Section of the SuperNOFA and Sections 
IV(A), (B), (C), (D), (E), (F), (G) and (H) of this program section of 
the SuperNOFA. HUD will review each application and assign points in 
accordance with the selection factors described in this section. The 
maximum number of points is 102 (except for an application submitted by 
the City of Dallas, Texas, which would be eligible for a maximum of 104 
points). HUD will award up to two (2) additional points, as described 
in the General Section of the SuperNOFA, to any application submitted 
by the City of Dallas, Texas, to the extent that Factor 3 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. This maximum includes two Renewal Community/
Empowerment Zone/Enterprise Community (RC/EZ/EC) bonus points as 
described in Section III(C) of the General Section of the SuperNOFA. An 
application must receive a minimum of 70 points to be eligible for 
funding.
    (A) Rating and Ranking.
    (1) General. To review and rate applications, HUD may establish 
panels including officials from other Federal agencies and outside 
experts or consultants to obtain certain expertise and other outside 
points of view. In evaluating applications for funding, HUD will take 
into account an applicant's past performance in managing funds, 
including the ability to account for funds appropriately, timely use of 
funds received either from HUD or from other Federal, State or local 
programs and meeting performance targets for completion of activities 
and number of persons served or targeted for assistance. HUD may use 
information relating to these items based on information at hand or 
available from public sources such as newspapers, Inspector General or 
Government Accounting Office Reports or Findings, hotline complaints 
that have been proven to have merit, or other such sources of 
information.
    (2) Rating. All applications for funding will be evaluated against 
the rating factors described in Section (VI) of this NOFA.
    (3) Ranking. Applications will be ranked separately within each of 
the four funding categories. Applications will be selected for funding 
in accordance with their rank order in each category.
    (4) To be eligible for funding, an application must have an overall 
minimum score of 70 points and a minimum score of 40 points for the 
total combined number of points for Rating Factors 1 (Capacity of the 
Applicant and Relevant Organization) and Rating Factor 3 (Soundness of 
Approach).
    If two or more applications are rated fundable and have the same 
score, but there are insufficient funds to fund all of them, HUD will 
select the application(s) with the highest score for Rating Factor 3 
(Soundness of Approach). If two or more applications still have the 
same score, the highest score in the following factors will be selected 
sequentially until one highest score can be determined: Rating Factor 1 
(Capacity of the Applicant and Relevant Organization); Rating Factor 4 
(Leveraging of Resources) and Rating Factor 2 (Need/Extent of the 
Problem).
    (B) Categories of Grants. HUD will make grants in four categories:
    (1) Category 1 Grants. Grants for new applicants that have not 
previously received funding under the Youthbuild program since the 
inception of the Program and that have elected not to apply under 
Category 2 or 3. HUD will make available approximately $10,000,000 to 
new applicants proposing grant(s) of $400,000 or less for activities 
not to exceed 30 months.
    (2) Category 2 Grants. HUD will make available approximately 
$37,750,000 to applicants proposing grant(s) of $700,000 or less for 
activities not to exceed 30 months.
    (3) Category 3 Grants. HUD will make available $10,000,000 for 
applicants proposing grant(s) of $400,000 or less to establish programs 
in underserved and rural areas not to exceed 30 months. Rural and 
Underserved areas are defined as follows:
    (a) Rural Area. A Rural area is defined in one of five ways:
    (i) A place having fewer than 2,500 inhabitants (within or outside 
of metropolitan areas).
    (ii) A county with an urban population of 20,000 inhabitants or 
more.
    (iii) Rural portions of extended cities, as identified by the U.S. 
Census Bureau.
    (iv) Open country, which is not part of or associated with an urban 
area. The United States Department of Agriculture (USDA) describes 
``open country'' as a site separated by open space from any adjacent 
densely populated urban area. Open space includes undeveloped land, 
agricultural land or sparsely settled areas but does not include 
physical barriers, (such as rivers and canals), public parks, 
commercial and industrial developments, small areas reserved for 
recreational purposes, and open space set aside for future development.
    (v) Any place with a population not in excess of 20,000 and not 
located in a Metropolitan Statistical Area.
    (b) Underserved Area. An underserved area is defined as an area 
comprised of census tracts with the following distress criteria:
    (i) A census tract where the unemployment remains high (50 percent 
or more above the nation's unemployment rate) and
    (ii) A census tract where high rates of poverty (50 percent or more 
above the national average) persists.
    (4) Category 4 Grants. HUD will make available approximately 
$2,000,000 for applicants proposing grants of $200,000 or less to 
develop or support Individual Development Accounts (IDAs).
    IDAs are matched savings accounts designed to assist low and very 
low-income families to accumulate savings for education, job training, 
homeownership or small business or micro-enterprise development. IDAs 
may be structured to provide both current program participants and 
those who successfully completed the program with access to IDAs. This 
category of funds must be used in conjunction with funds awarded under 
Category 2 or Category 3 and may be used for outreach, financial 
literacy training, matching funds, administrative costs and/or 
monitoring. Participants save monthly for a specific purpose with their 
savings matched by designated funders (usually at a rate ranging from 
one dollar for each dollar saved to four dollars for each dollar 
saved). In order to be considered for

[[Page 14168]]

funding under Category 4 (Individual Development Accounts), the 
applicant must apply for Category 4 along with either Category 2 or 
Category 3. In order to be awarded funding under Category 4, the 
applicant must also be awarded funding under either Category 2 or 
Category 3.
    (C) Grant Period. You must expend funds awarded within 30 months of 
the effective date of the grant agreement, or such other period 
specified.
    (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. Special Note: The maximum award under the 
combined categories 2 and 4 is $900,000. HUD will not make amendments 
to awards under this competition that will increase previously approved 
grant amounts.
    (E) Potential Environmental Disqualification. HUD reserves the 
right to disqualify an application where one or more environmental 
thresholds are exceeded if HUD determines that it cannot conduct the 
environmental review and satisfactorily complete the review within the 
HUD application review period. (See 24 CFR 585.307.) Environmental 
thresholds are explained in Appendix A of this program section of this 
SuperNOFA. Complete form 2C13a, 2C13b, or 2C13c and form 2C15 only if 
you are proposing to use Youthbuild funds for new housing construction 
or rehabilitation.
    (F) Notification of Approval or Disapproval. HUD will notify you 
whether or not you have been selected for an award. If you are 
selected, HUD's notice to you of the amount of the grant award based on 
the approved application will constitute HUD's CONDITIONAL approval, 
subject to negotiation and execution of the grant agreement by HUD.
    (G) Rating 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 the program is 104. This includes two RC/EZ/EC bonus 
points, as described in the General Section of the SuperNOFA and two 
bonus points given to the city of Dallas, TX.
    (H) Application Debriefing. Beginning not less than 30 days after 
the awards for assistance are announced in the Federal Register, and 
for not less than 120 days, HUD will, upon written request from the 
applicant, provide a debriefing to the requesting applicant. Materials 
provided during the debriefing will be the applicant's final scores for 
each rating factor, final evaluator comments for each rating factor, 
and the final assessment indicating the basis upon which the assistance 
was provided or denied. Applicants requesting to be debriefed must send 
a written request to Ms. Jackie W. Mitchell, Director, Office of Rural 
Housing and Economic Development (ORHED), Office of Community Planning 
and Development, 451 Seventh Street, SW, Room 7136, Washington, DC 
20410. Debriefing information can be found in Section VII(E)(2) of the 
General Section of the SuperNOFA.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Experience (15 points)

    This factor addresses the qualifications and experience of the 
applicant and participating parties to implement a successful young 
adult education, training program in accordance with your work plan as 
further described in Factor 3. HUD will review and evaluate information 
provided documenting recent capability. Experience within the last 5 
years will be considered recent. In reviewing this rating factor, HUD 
will evaluate the following sub-factors:
    (1) Team Member Composition and Experience (5 points). Your 
experience and the experience of your project director, core staff 
competencies including your day-to-day program manager, consultants and 
contractors. You must demonstrate that your program manager has the 
background, experience and capacity to implement all of the program 
components of the proposed work plan, as evidenced by recent work 
experience (within the last 5 years) in managing projects of the same 
or similar size, dollar amount, types of activities and beneficiaries 
as those proposed in your work plan. If any gaps exist in your 
experience or organizational structure to carry out the program, 
describe how you will fill those gaps including the hiring of 
consultants or other outside parties. Applicants for funding under 
Category 4 (Individual Development Accounts) should include in their 
response their experience and capability in providing support services 
to low income individuals and families seeking to achieve economic 
sustainability and self-sufficiency and in recruiting, educating and 
assisting project participants to increase their economic independence 
and general well-being through economic literacy education and the 
accumulation of assets.
    (2) Organizational Structure (5 points). The structure of your 
organization, management structure, including reporting relationships 
of key staff, a system for coordinating with outside contractors or 
third party service providers, a mechanism for an internal and external 
auditing relationships, and an accounting system which meets Federal 
accounting system requirements. You should provide a clear description 
of how your organizational structure will operate to carry out your 
work plan.
    (3) Relevant Experience (5 points). The objectives and 
accomplishments of your past experience in conducting similar 
activities. You must describe your past project objectives and 
accomplishments which are similar to those of your proposed work plan 
to show your effectiveness and timeliness in managing similar projects. 
If you have received similar grants including previous Youthbuild 
grants, you must describe your effectiveness of your administration 
including timeliness and performance in meeting reporting requirements 
and your ability to have resolved problems that presented themselves 
during the grant period. In addressing timeliness of reports, you must 
compare when your reports were due with when they were actually 
submitted. You must describe your achievements, including those of 
previous Youthbuild grants, of specific measurable outcome objectives. 
Specific outcome objectives include: number of youths recruited, 
trained and received GEDs; number of youths obtaining jobs (i.e. those 
that are a part of a career path or apprenticeship program), number of 
youths participating in apprenticeships and number of housing units 
rehabilitated or constructed and made available for low and moderate 
income persons.
    Also, you must describe the extent to which you or participating 
partners have been successful in past education, training and 
employment programs and activities, including Federally-funded 
Youthbuild programs. If you have received a Youthbuild grant, you must 
submit copies of your last two progress reports or, if applicable, a 
closeout report. In applying the rating criteria, HUD will take into 
consideration your performance (including meeting target dates and 
schedules) as reported.
    The more recent, relevant, and successful the experience of the 
proposed team members, organization and other participating entities in 
relation to the work plan, the greater the number of points that you 
will receive. For previous and existing Youthbuild grantees, applicants 
that can demonstrate a closer and greater linkage between the expected 
outcomes and the previously generated outcomes will

[[Page 14169]]

receive a higher amount of points for this Factor.

Rating Factor 2: Need/Extent of the Problem (25 Points)

    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 applicant's target 
area. In responding to this Factor, applications will be evaluated on 
the extent to which the level of need for the proposed activity and the 
urgency in meeting the need are documented and compared, vis-a-vis the 
target area and national data.
    (1) In applying this Factor, HUD will consider current levels of 
distress for the area (i.e., Census Tract(s) or Block Groups) 
immediately surrounding the project site or the target area to be 
served by the proposed project, and in the nation. This means that an 
application that provides data that show levels of distress in the 
target area expressed as a percent greater than the national average 
will be rated higher under this Factor.
    Notwithstanding the above, an applicant proposing a project to be 
located outside the target area could still receive points under the 
Distress Factor if a clear rationale and linkage is provided linking 
the proposed project location and the benefits to be derived by persons 
living in more distressed area(s) of the applicant's target area.
    (2) Applicants should provide data that address indicators of 
distress, as follows:
    (a) Poverty (5 points)--data should be provided in both absolute 
and percentage form (i.e., whole numbers and percents) for the target 
area(s); an application that compares the local poverty rate in the 
following manner to the national average at the time of submission will 
receive points under this section as follows:

(1) Less than the national average: 0 points
(2) Equal to but less than twice the national average: 1 points
(3) Twice but less than three times the national average: 3 points
(4) Three or more times the national average: 5 points

    (b) Unemployment (5 points)--for the project area;

(1) Less than the national average: 0 points
(2) Equal to but less than twice the national average: 1 points
(3) Twice but less than three times the national average: 2 points
(4) Three but less than four times the national average: 3 points
(5) Four but less than five times the national average: 4 points
(6) Five or more times the national average: 5 points

    (c) High School Dropouts (10 points)--for the project area;

(1) Less than the national average: 0 points
(2) Equal to but less than twice the national average: 2 points
(3) Twice but less than three times the national average: 4 points
(4) Three but less than four times the national average: 6 points
(5) Four but less than five times the national average: 8 points
(6) Five or more times the national average: 10 points

    (d) Other Indicators of social and/or economic decline that best 
capture the applicant's local situation (5 points). Examples that could 
be provided under this section are information on the community's 
stagnant or falling tax base, including recent commercial or industrial 
closings, housing conditions, such as the number and percentage of 
substandard and/or overcrowded units, rent burden (defined as average 
housing cost divided by average income) for the target area and urgency 
in addressing problems facing youth, local crime statistics, etc.
    (3) In rating applications under this Factor, HUD reserves the 
right to consider sources of available objective data, such as the U.S. 
Census, other than, or in addition to, those provided by applicants, 
and to compare such data to those provided by applicants and local 
crime statistics for the project site.
    HUD requires use of sound and reliable data (e.g., U.S. Census 
data, State statistical reports, university studies/reports that are 
verifiable) to support distress levels cited in each application. A 
source for all information along with the publication or origination 
date must also be provided.
    Updated Census data are available as follows for the listed 
indicators:
    (a) Unemployment rate--estimated monthly, with a two-month lag;
    (b) Population--estimated for incorporated places through 2000;
    (c) Poverty rate--1990 data being the most recent available.

Rating Factor 3: Soundness of Approach (40 points)

    Youthbuild Program Work Plan. This factor addresses the quality and 
cost-effectiveness of your proposed work plan. There must be a clear 
relationship between your proposed activities, community needs and the 
purpose of the Youthbuild program. HUD will consider the overall 
quality and feasibility of your proposed work plan and budget which 
must be consistent with the Youthbuild program as measured by your 
specific activities and outcomes.
    Specifically, HUD will consider the following categories when 
assessing your proposed work plan:
    (1) Program Components (15 points):
    (a) Outreach strategy, recruitment strategy and selection 
activities. HUD will determine the extent to which you demonstrate a 
clear linkage with the following work plan activities and proposed 
outcomes and results. Points will be awarded based upon overall quality 
and feasibility of the outreach, recruitment and selection activities, 
the number and types of outreach activities, number of youths to be 
recruited including eligible participants who are harder to reach and 
comprehensiveness of the local selection process.
    Letters describing specific resources or services to be contributed 
by non-applicant organizations must be included in your application. In 
evaluating this category, HUD will consider:
    (i) Specific steps you will take 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 you will make to recruit eligible 
young women, young women with dependent children, and persons receiving 
public assistance; and
    (iii) Recruitment arrangements you have made with public agencies, 
courts, homeless shelters, local school systems, local workforce 
development systems, one-stop centers and, community-based 
organizations, etc. You will receive a greater number of points if your 
outreach and recruitment arrangements are consistent with the purpose 
of the Youthbuild program and your project goals and the resources 
provided.
    (b) Educational and job training services and activities. HUD will 
evaluate the extent to which you demonstrate a clear linkage with the 
following work plan activities and proposed outcomes and results.
    Letters describing specific resources or services to be contributed 
by non-applicant organizations must be included in your application. 
Points will be awarded based upon the quality and feasibility of your 
proposed curriculum, qualifications of instructors and proposed wages 
and stipends for youth participants. In evaluating this category, HUD 
will consider:
    (i) The types of in-class academic and vocational instruction you 
will provide;

[[Page 14170]]

    (ii) The number and qualifications of program instructors and ratio 
of instructors to participants;
    (iii) Scheduling plan for classroom and on-the-job training needed 
to meet program requirements and ensure timely completion of your 
program; and
    (iv) Reasonable payments of participants' wages, stipends, and 
incentives. You will receive a greater number of points if your 
educational and job training services are consistent with the purpose 
of the Youthbuild program and your project goals and the resources 
provided.
    (c) Leadership development. HUD will determine the extent to which 
you demonstrate a clear linkage with work plan activities and proposed 
outcomes and results. Letters describing specific resources or services 
to be contributed by non-applicant organizations must be submitted in 
your application. Points will be awarded based upon the quality and 
feasibility of your proposed leadership curriculum, qualifications of 
instructors and the impact of the proposed leadership activities on the 
target area. You must describe the leadership development training you 
will offer to participants and strategies for providing the training to 
build group cohesion and peer support. You will receive a greater 
number of points if your leadership development activities are 
consistent with the purpose of the Youthbuild program and your project 
goals and the resources provided.
    (d) Support services. HUD will determine the extent to which you 
demonstrate a clear linkage with work plan activities and proposed 
outcomes and results.
    Letters describing specific resources or services to be contributed 
by non-applicant organizations must be included in your application. 
Points will be awarded based upon the quality and feasibility of your 
proposed support services strategy and stipends for the participants.
    You must assess the need for counseling and referral services 
during each stage of program implementation: outreach strategy, 
recruitment strategy, youths interviewed and not selected for the 
program, program participants, youths who drop out of the program and 
graduates of the program. Describe how the participant needs will be 
addressed, document counseling and referral services to be offered to 
participants, the type of counseling, social services, and/or need-
based stipends you will provide.
    Special Note to applicants under Category 4 for Individual 
Development Accounts:
    Applicants under this Category should precisely identify the target 
population(s) to be served and provide a description of the geographic 
area to be impacted. Applicants that target individuals residing in one 
or more well defined neighborhoods or communities (including public 
housing developments, RCs/EZs/ECs) that experience high rates of 
poverty or unemployment will also receive a greater number of points 
under this subfactor. Applicants applying under Category 4 should 
describe, in outline form, how the IDA program would operate. The 
applicant should outline: (i) The process for the recruitment of 
participants; (ii) how participants will be selected; (iii) how and 
with what assistance will the participant determine the levels of 
savings and purpose or qualified expenses; (iv) when, where and with 
whom the participant is to sign a savings plan agreement; (v) the 
process for opening an IDA account and the role of the participating 
financial institution; (vi) how and where savings deposits are to be 
made and the consequences to a participant should the participant fail 
to make a scheduled deposit; (vii) where, when and from whom the 
participant will receive financial literacy, credit repair and other 
training and support services; (viii) where, when and from whom will 
the participant receive training needed support to remain employed to 
assure continued savings from earned income; (ix) where, when and from 
whom the participant will receive training needed with respect to the 
qualified expenditure or purpose of the IDA, in the area of 
homeownership, pursuit of educational goal, business plan development 
and management, etc.; and (x) when, where and how the participant will 
make withdrawals to support the purposes of the IDA, once the IDA 
savings and match goals have been achieved. Applicants must also 
identify the state or Federal institution with which they are 
partnering in the development and implementation of their IDA project.
    All applicants under Category 4 must include a copy of a signed 
agreement between the applicant and the financial institution(s), which 
sets forth: (i) That the project's reserve fund will be established in 
the financial institution; (ii) the rate of interest to be paid on 
amounts in the reserve fund; (iii) how, when, and where participant 
deposits will be made; (iv) how and when matching contributions will be 
made (e.g. in a parallel account); (v) the rate and frequency of 
interest payments on accounts, including matching contributions; (vi) 
the data and reports that will be furnished to the grantee concerning 
the reserve fund and IDA accounts; (vii) the contribution, if any, 
being made by the financial institution for deposit in the reserve 
fund, and the schedule of deposits of such contribution; and (viii) 
other services to be provided by the financial institution(s) that 
could strengthen the project, such as financial education seminars, 
favorable pricing on fees, out-stationing of services in community 
facilities, or assistance in recruitment of project participants. The 
narrative response to this subfactor need only identify the partnering 
financial institution(s) and reference the agreement(s) provided with 
the application.
    Applicants will receive a greater number of points if your support 
service activities are consistent with the purpose of the Youthbuild 
program and your project goals and the resources provided.
    (e) Follow-up assistance and support activities to program 
graduates. HUD will evaluate the extent to which you provide assistance 
to Youthbuild program participants after graduation. Letters describing 
specific resources or services to be contributed by non-applicant 
organizations must be included in your application. Points will be 
awarded based upon the quality and feasibility of your proposed 
strategy. You must describe the type of proposed assistance and support 
which should be based upon an assessment of the needs of the program 
graduates and should include continued linkage to the local Youthbuild 
program, counseling and social service referral services. You will 
receive a greater number of points if your follow-up assistance and 
support service activities to program graduates are consistent with the 
purpose of the Youthbuild program and your project goals and the 
resources provided.
    (f) On-site training. HUD will evaluate the extent to which the 
work plan provides for quality and comprehensive on-site construction 
training by addressing the categories below. Letters describing 
specific resources or services to be contributed by any non-applicant 
organizations must be included in your application. Points will be 
awarded based upon the quality and feasibility of your proposed 
curriculum, experience of proposed instructors, number of youth to be 
trained and wages or stipends for participants. HUD will consider:
    (i) The housing construction or rehabilitation activities 
participants will undertake at the site(s) to be used for the on-site 
training component of the

[[Page 14171]]

program as provided in the training curriculum and methodology for 
carrying out on-site training;
    (ii) The qualification and number of on-site supervisors;
    (iii) The ratio of trainers to participants;
    (iv) The number of participants per site; and
    (v) The amounts, wages, and/or stipends you will pay to 
participants during on-site work.
    All applicants will receive a greater number of points if your on-
site training plan is consistent with the purpose of the Youthbuild 
program and your project goals and the resources provided.
    (2) Strategy for Job Placement. (10 points)
    HUD will evaluate the quality and feasibility of your proposed 
strategy to place youth participants in permanent jobs.
    Letters describing specific resources or services to be contributed 
by non-applicant organizations must be included in your application. 
You will be rated on the following factors: (a) Proposed number of 
youth to obtain jobs that promote economic self-sufficiency (i.e. those 
that are a part of career paths or apprenticeship programs); (b) 
proposed number of youths who will continue post-secondary or secondary 
education; (c) proposed number of youths to receive entrepreneurship 
training. Two points of this factor will be awarded based upon the 
comprehensiveness and feasibility of your strategies and procedures to 
place youth participants in related apprenticeships and commitments 
from construction trade unions. You will receive a greater number of 
points if your strategy for job placement is consistent with the 
purpose of the Youthbuild program, your proposed project and the 
resources provided.
    (3) Expected Outcomes. (5 points). Describe the number of youths to 
be trained and the number of housing units to be rehabilitated or 
constructed. As a part of this evaluation, HUD will assess the cost 
effectiveness of your stated outcomes as compared to the funds that you 
are requesting in the Youthbuild Grant Budget. You will receive a 
greater number of points if your proposed outcomes are consistent with 
the purpose of the Youthbuild program, your proposed project and the 
resources provided.
    (4) Housing Program Priority. (10 points) HUD will assign Housing 
Program Priority points to all applications that contain evidence that 
housing resources for other Federal, State, local or private sources 
that are available and firmly committed to cover all costs, in full, 
for the following housing activities for the proposed Youthbuild 
program: acquisition, architect and engineering fees, construction, and 
rehabilitation. Applications that do not include proper documentation 
of firm financial commitments of non-Youthbuild resources or propose to 
use Youthbuild grant funds, in whole or in part, or do not evidence 
site control, for any one of the housing activities listed above will 
not be entitled to housing program priority points. Forms 2C, Housing 
Site Description, and 2C10, Youthbuild Grant Individual Housing Project 
Site Estimate, must be completed to receive the Housing Program 
Priority points.

Rating Factor 4: Leveraging Resources (10 Points)

    (Exhibit 4B Non-Housing Program Resources Must Be Complete and You 
Must Provide Letters of Firm Commitment From the Donor With the Amount 
of Cash of In-Kind Contribution) This factor addresses the ability of 
the applicant to secure non-HUD resources. This factor measures the 
extent to which you have established partnerships with other entities 
to secure resources for your proposed program. Each commitment 
described in the narrative for this Factor must have a firm commitment 
letter. Grantees who leverage significant resources will receive a 
greater number of points.
    HUD will evaluate the extent to which firm commitment of resources 
are obtained from Federal, State, local, and private and nonprofit 
sources. HUD will award a greater number of points based upon a 
comparison of the extent of leveraged funds and the requested 
Youthbuild grant. The greater the amount of resources leveraged, the 
higher the points that will be awarded. In assigning points for this 
criterion, HUD will consider the level of non-applicant resources 
obtained for cash or in-kind contributions 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, teaching 
materials, classroom, and/or meeting space;
    (4) For Individual Development Accounts matching funds, financial 
services or other resources to be provided in support of such accounts; 
and
    (5) Other commitments. In rating this element, HUD will consider 
only those contributions for which current firm commitments have been 
provided. HUD will evaluate the level of non-applicant resources 
proposed based on their importance to the total program. Leveraging 
will only be counted if you have secured a firm financial commitment. A 
firm commitment letter means the agreement by which an applicant's 
partner or contributing entity agrees to perform an activity specified 
in the application and demonstrates the financial capacity to deliver 
the resources necessary to carry out the activity, and commits the 
resources to the activity either in cash, through in-kind services or 
contributions and is irrevocable, subject only to approval and receipt 
of a FY 2002 Youthbuild grant. For all applicants, each letter of 
commitment should include the organization's name, the applicant's 
name, the proposed program, the proposed total 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 and not earlier than the 
date that this NOFA is published. In documenting a firm commitment, the 
applicant's partner or contributing entity must:
    (i) Specify the authority by which the commitment is made, the 
amount of the commitment and the use of funds. If the committed 
activity is to be self-financed, the applicant's partner or 
contributing entity must evidence its financial capability through a 
corporate or personal financial statement or other appropriate means. 
If any portion of it is to be financed through a lending institution, 
the participant must evidence the institution's commitment to fund the 
commitment.
    (ii) State the amount and use of the commitment, and the 
relationship of the commitment to the proposed investment; and
    (iii) Affirm that its investment is contingent only upon receipt of 
FY 2002 Youthbuild funds and state a willingness on the part of the 
signatory to sign a legally binding commitment (conditioned on HUD 
environmental review and approval of a property, where applicable) upon 
award of the grant.
    Resources from other Federal, State, Local governments or Private 
Entities. HUD encourages use of existing housing and homeless 
assistance programs administered by HUD or other Federal, State, local 
governments, or private and nonprofit housing programs as part of your 
Youthbuild program. In addition, HUD encourages use of other non-
Youthbuild funds available for vocational, adult, and bilingual

[[Page 14172]]

education programs or for job training under the Workforce Investment 
Act and the Personal Responsibility and Work Opportunity Reconciliation 
Act of 1996.
    Grantees who leverage significant resources will receive more 
points.
    (1) Public sector sources--Federal, State, or local government 
sources to provide resources to carry out Youthbuild activities. (5 
points)
    (2) Private or nonprofit sector sources to provide resources to 
carry out Youthbuild activities. (5 points)

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(10 Points)

    This factor addresses the extent to which your proposed program is 
coordinated with other ongoing and related activities in the area you 
propose to serve, how well your program outcomes result in increased 
independence and empowerment to your beneficiaries, and your 
organization's ability to becoming financially self-sustaining into the 
future absent any HUD funding. Your response to this sub-factor should 
provide a clear statement of the adverse conditions to be addressed by 
your organization's assistance, the expertise of your organization in 
addressing those conditions and your plans for ensuring that your 
organization will be able to sustain those efforts without further 
assistance from HUD at the conclusion of the grant period. HUD will 
evaluate the extent to which your application meets the following three 
elements: (1) Coordination of activities (4 points). The extent to 
which you have coordinated your activities with other known 
organizations that are not directly in your proposed work activities, 
but with which you share common goals and objectives and are working 
toward meeting these objectives in a holistic and comprehensive manner. 
The goal of coordination is to ensure that programs do not operate in 
isolation. The more your activities are coordinated with other agencies 
in your service area, the more points you will receive. An example of 
coordination activities would be the applicant's partnership with an 
existing child day care facility (which is not funded by program) that 
provides day care services to the Youthbuild participants during the 
hours they are being trained or receiving education. (2) Self-
Sufficiency (3 points) The extent to which your application implements 
practical solutions within the grant term that result in assisting 
beneficiaries of grant program funds in achieving independent living, 
economic empowerment, educational opportunities, housing choice or 
improved environments which are free from environmental hazards such as 
lead hazards, brownfields, overcrowded housing, etc. Applicants that 
clearly describe the extent to which proposed activities result in 
increased independence and empowerment for their beneficiaries will 
receive higher points in this sub-factor. (3) Sustainability (3 
points). The extent to which your program exhibits the potential to be 
financially self-sustaining by decreasing dependence on Youthbuild 
funding and relying more on state, local and private funding so your 
activities can be continued after your grant award is complete. 
Applicants that demonstrate a reduced dependence on Youthbuild funds 
over the life of their award will receive a greater number of points 
for this sub-factor. This decreasing dependence on Youthbuild funds 
should be present in a workplan that explains how this independence 
will be achieved.

VII. Application Submission Requirements

    (A) Site Access Submission Requirements. You must submit 
identification of specific housing sites, and firm evidence of site 
access.
    (1) Guidance on evidence of site access:
    (i) If the applicant or joint applicant has a contract or option to 
purchase the property, you should provide a statement to that effect 
and include a copy of the contract or option;
    (ii) If a third party owns the property or has a contract or option 
to purchase, that third party must provide a letter to you stating the 
nature of the ownership and specifically providing you with access to 
the property for the purposes of the program and the time frame in 
which the property will be available. In the case of a contract or 
option, include a copy of the document; and
    (iii) You must provide the required certification that the proposed 
activities are consistent with the HUD-approved Consolidated Plan in 
accordance with 24 CFR part 91 and referenced in the General Section of 
the SuperNOFA.
    (B) Category 3 applicants only. You must state that the proposed 
project to be established will be located in an underserved or rural 
area as defined in Section (VI)(B)(3) of this notice.
    (C) Application Items. Your application must contain the items 
listed in this section. These items include the standard forms, 
certifications, and assurances listed in the General Section of the 
SuperNOFA that are applicable to this funding (collectively, referred 
to as the ``standard forms''). The standard forms can be found in 
Appendix B to the General Section of the SuperNOFA. The remaining 
application items that are forms (i.e., excluding such items as 
narratives, letters), referred to as the ``non-standard forms'' can be 
found as Appendix B to this program section of the SuperNOFA. The items 
are as follows:
    (1) SF-424, Application for Federal Assistance.
    (2) HUD-424M, Federal Assistance Funding Matrix.
    (3) SF-424A, Budget Information for Non-Construction Programs.
    (4) SF-424B, Assurances for Construction Programs.
    (5) SF-424C, Budget Information for Construction Programs.
    (6) HUD-50070, Certification of Drug-Free Workplace.
    (7) HUD-2880, Applicant/Recipient Disclosure/Update Form.
    (8) HUD-50071, Certification of Payments to Influence Certain 
Federal Transactions;
    (9) SF-LLL, Disclosure of Lobbying Activities (if applicable);
    (10) HUD-2992, Certification Regarding Debarment and Suspension;
    (11) Letters from property owners allowing access to the housing 
site for construction training.
    (12) Submission of 501(c)(3) status and/or letter certifying non-
profit status if the applicant is a public non-profit organization.
    (13) Narrative Response to Factors for Award.

Factor 1--Capacity of the Applicant and Relevant Organizational 
Experience.
Factor 2--Need/Extent of the Problem.
Factor 3--Soundness of Approach, including the following non-narrative 
items: (a) Completed Youthbuild Grant Budget (Exhibit 4A), (b) housing 
site description (Exhibit 2C), (c) Youthbuild Grant individual housing 
site estimate (Exhibit 2C10), (d) letters from non-applicant resource 
providers describing contributions or support, (e) documentation 
necessary to complete environmental review (Exhibit 2C15), and 
description of relocation, if applicable.
Factor 4--Leveraging Resources, including your letters(s) evidencing 
the leveraged commitment(s), which will not be counted in the 15 page 
limitation.
Factor 5--Coordination, Self Sufficiency and Sustainability, include 
HUD-2991, Certification of Consistency with the Consolidated Plan.

    (14) HUD-2990, Certification of Consistency with the EZ/EC 
Strategic Plan (if applicable);

[[Page 14173]]

    (D) The total narrative response to all factors identified in 
Section VI(C)(13) of this program NOFA must not exceed 15 pages, and 
must be submitted on 8.5" by 11" paper, using a 12 point font, with 
lines double-spaced and printed only on one side. Please note that 
submitting pages in excess of the page limit will not disqualify your 
application. However, HUD will neither review nor consider the 
information on any excess pages, which may result in a lower score or 
failure to meet a threshold.

VIII. Corrections to Deficient Applications

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

IX. Environmental Requirements

    Environmental procedures apply to HUD approval of grants when you 
propose 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 your application when you propose to use 
your Youthbuild funds solely to cover costs for classroom and/or on-
the-job construction training and support services.
    If you propose to use your Youthbuild funds to cover any costs of 
the lease, acquisition, rehabilitation, or new construction of real 
property, you must submit all relevant environmental information in 
your application to support HUD decision-making in accordance with the 
environmental procedures and standards set forth in HUD Regulation 24 
CFR 585.307.

X. Authority

    This program is authorized under subtitle D of title IV of the 
Cranston-Gonzalez National Affordable Housing 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.

Appendix A--Instructions for Completion of Youthbuild Environmental 
Requirements (Exhibit 2C(15))

A. Instructions to Applicants

    1. If you propose to use Youthbuild funds to cover any costs of 
the lease, acquisition, rehabilitation, or new construction or real 
property, you shall submit all relevant environmental information in 
your application to support HUD decision making in accordance with 
the environmental procedures and standards set forth in 24 CFR 
585.307. For each proposed Youthbuild property for which HUD 
environmental procedures apply, you are to prepare a separate 
Exhibit 2C(15) in which you supply HUD with environmental threshold 
information and letters from qualified data sources (see definition 
below) which support the information. HUD will review your 
submission and determine how, if necessary, HUD will comply with any 
Federal laws and authorities that may be applicable to your property 
proposed for Youthbuild funding. If environmental procedures apply 
and Exhibit 2C(15) with supporting documentation is not included 
then the application will be deemed ineligible.
    You are to follow these instructions for preparing Exhibit 
2C(15). The instructions advise you on how to obtain and document 
certain information to be supplied to HUD in this exhibit. Before 
selecting a property for Youthbuild funding, you should read these 
instructions and be advised that HUD encourages you to select, to 
the extent practicable, properties and locations that are free of 
environmental hazards and problems discussed in these instructions. 
The responses to the environmental criteria in Exhibit 2C(15) will 
be used to determine environmental approval or disapproval by HUD of 
proposals for physical development of properties.
    2. After selecting a property for proposed Youthbuild funding, 
you are to determine the activities to be undertaken with your 
Youthbuild funds. You are to indicate in Section E whether the 
Youthbuild funds will be used for:
    (a) Lease or purchase of a property;
    (b) Minor rehabilitation or
    (c) Major rehabilitation; or
    (d) New construction of housing.
    The activities proposed for Youthbuild funding will determine 
the kind of data that you will need to obtain from a qualified data 
source in order to complete Exhibit 2C(15).
    3. Once you have selected a property and determined the 
activities for Youthbuild funding, you are advised to check with 
your city or county agency that administers HUD's Community 
Development Block Grant program and performs environmental reviews, 
or the local planning agency. The reason is that most, if not all, 
the data needed for preparing Exhibit 2C(15) is readily available 
from the local community development agency and the local planning 
agency. You are advised to ask the environmental staff of those 
agencies the following:
    (a) Has the agency ever prepared an environmental review of the 
proposed Youthbuild property or the neighborhood in which the 
property is located, and if so, would it provide a copy to the 
applicant for use by HUD;
    (b) Would the agency assist you in completing section G; or if 
the agency is not able to help complete any item in section G, would 
the agency advise you which local or State agency is the appropriate 
qualified data source for obtaining the information.
    Also, you should check with the local planning agency before 
proceeding elsewhere for the information.
    You are advised that the cost of preparing information and 
analyses needed for Exhibit 2C(15) is an eligible cost under the 
Youthbuild program and is reimbursable if you are approved for a 
grant.
    4. The following definitions are of key terms used in these 
instructions. Most of the other terms are technical and their 
definition would be known to qualified data sources.
    (a) Qualified data source means any Federal, State or local 
agency with expertise or experience in environmental protection 
(e.g., the local community development agency; the land planning 
agency; the State environmental protection agency; the State 
Historic Preservation Officer) or any other source qualified to 
provide reliable information on the particular subject. A letter 
supporting the information from each qualified data source is to be 
attached to Exhibit 2C(15).
    (b) Minor rehabilitation means proposed fixing and building 
repair:
    (i) Where the estimated cost of the work is less than 75 percent 
of the property value after completion;
    (ii) That does not involve changes in land use from residential 
to nonresidential, or from nonresidential to residential;
    (iii) That does not involve the demolition of one or more 
buildings, or parts of a building, containing the primary use served 
by the project; and
    (iv) That does not increase unit density by more than 20 
percent.
    For minor rehabilitation of a building located in a floodplain, 
the criteria for substantial improvement modify this definition. 
(See Item B 3 below)
    (c) Major rehabilitation means proposed fixing and building 
repair:
    (i) Where the estimated cost of the work is 75 percent or more 
of the property value after completion; or
    (ii) That involves changes in land use from residential to 
nonresidential, or from nonresidential to residential; or
    (iii) That involves the demolition of one or more buildings, or 
parts of a building, containing the primary use served by the 
project; or
    (iv) That increases unit density by more than 20 percent.
    (d) Multifamily housing means any residential building that 
contains five or more apartments or rooming units.
    (e) Single-family housing means any residential building that 
contains one-to-four dwelling units.
    Because each Federal environmental law or authority has 
compliance requirements that differ according to the type of 
proposed activity to be funded, you are required to supply 
information in Exhibit 2C(15) only for the type of activity for 
which the Youthbuild grant will be used.
    (a) If you propose new construction or major rehabilitation of 
multifamily housing, you must supply complete and reliable 
environmental threshold information for items 1 through 13 in 
section G.
    (b) If you propose new construction of single family housing, 
you must supply complete and reliable environmental threshold 
information for items 1 through 12 in section G.

[[Page 14174]]

    (c) If you propose minor rehabilitation of multifamily or 
single-family housing, or the purchase or lease of a property, you 
must supply complete and reliable environmental threshold 
information for items 1 through 7 in section G.
    5. Applicants subject to HUD's environmental procedures are to 
submit Exhibit 2C(15) and accompanying documentation to HUD with the 
applications for grant assistance. Such applicants are prohibited 
from committing or expending State, local or other funds to 
undertake property rehabilitation, construction (including 
demolition), or acquisition (including lease), until HUD and the 
grantee execute a grant agreement for the proposed Youthbuild 
project.
    6. HUD reserves the right to disqualify any application where 
one or more environmental thresholds are exceeded if HUD determines 
that the compliance review cannot be conducted and satisfactorily 
completed within the HUD review period for Youthbuild applications.

B. Environmental Threshold and Documentation Requirements

    The threshold and documentation requirements for each of the 
Federal environmental laws and authorities are described below, 
following the same order as they appear in section G .
    1. Site within designated coastal barrier resources:
    Threshold: Youthbuild applicants are prohibited by Federal law 
from using Federal financial assistance for properties, if the 
properties are located within designated coastal barriers of the 
Atlantic Ocean, Gulf of Mexico, and the Great Lakes (Coastal Barrier 
Resources Act, as amended, 16 U.S.C. 3501).
    * Documentation: You are to select either A or B for the 
condition that best describes the property and report the option 
selected in item 1 of section G.
    A. You state that your program operates in a community that does 
not contain any shores along the Atlantic Ocean, the Gulf of Mexico, 
or the Great Lakes.
    B. If your program operates in a community that does contain 
shores along the Atlantic Ocean, the Gulf of Mexico, or the Great 
Lakes, you must provide HUD with a finding made by a qualified data 
source stating that the proposed property is not located within a 
designated coastal barrier resource by citing the map panel number 
of the official maps issued by the Department of the Interior (DOI) 
on the basis of which the finding was made.
    2. Site contaminated with toxic chemicals and radioactive 
materials:
    Threshold: Under HUD policy, as described in HUD Notice 79-33 
(Policy Guidance to Address the Problems Posed by Toxic Chemicals 
and Radioactive Materials), HUD will not approve the provision of 
financial assistance to residential properties located on 
contaminated sites. Sites known or suspected to be contaminated by 
toxic chemicals or radioactive materials include but are not limited 
to sites: (i) listed on either an EPA Superfund National Priorities 
List (NPL) or CERCLA (Comprehensive Environmental Response, 
Compensation, and Liability Act) List, or equivalent State list; 
(ii) located within 3,000 feet of a toxic or solid waste landfill 
site; or (iii) with an underground storage tank (which is not a 
residential fuel tank).
    * Documentation: You are to select either A or B for the 
condition that best describes property and report the option 
selected in item 2 of section G.
    A. You are providing HUD with a finding made by a qualified data 
source stating that the proposed Youthbuild property and any 
neighboring properties do not contain any sites known or suspected 
to be contaminated with toxic chemicals and radioactive materials.
    B. You are providing any site contamination data by a qualified 
data source in your letter for HUD's evaluation of contamination 
and/or suspicion of any contamination of a proposed property or any 
neighboring properties.
    3. Site affecting a floodplain:
    Threshold: A property located within a floodplain and proposed 
for funding is subject to Executive Order 11988, Floodplain 
Management. The Executive Order directs HUD to avoid, where 
practicable, proposed financial support for any floodplain property, 
whenever HUD has options to approve properties in flood-free 
locations. The Order does not apply to existing single-family 
properties proposed for purchase or lease except for: (i) Property 
that is located within a floodway or coastal high hazard area; and 
(ii) substantial improvement. Substantial improvement for flood 
hazard purposes means any property rehabilitation which: (a) 
Increases the unit density of the property; or (b) equals or exceeds 
50 percent of the market value of the property before 
rehabilitation, but excluding the costs for correcting health, 
sanitary, and safety code violations. Note: Proposed funding for 
substantial improvement and new construction are subject to the 
Executive Order decision-making process. This may result in a 
disqualification of your application (refer above to number 7 under 
``Instructions to Applicants'').
    * Documentation: You are to select A or B for the condition that 
best describes your property and report the option selected in item 
3 of section G.
    A. You are providing HUD with a finding made by a qualified data 
source stating that the property is not located within the Special 
Flood Hazard Area (SFHA).
    B. You are providing HUD with a finding made by a qualified data 
source that the property is located within the Special Flood Hazard 
Area (SFHA) and indicating if whether the property is located within 
a floodway or coastal high hazard area.
    The information for A and B must provide HUD with the flood map 
panel number obtained either from the official maps issued for the 
National Flood Insurance Program or from the property appraisal 
report used to make the finding.
    For all proposed rehabilitation of properties that are located 
within a SFHA, you must provide HUD with estimates of: (i) the 
property value before rehabilitation, and (ii) the cost of the 
proposed rehabilitation. Provide the estimates in section F.
    If the property is found to be located within a SFHA, proceed to 
item 4 on flood insurance protection. Otherwise proceed to item 5.
    4. Building requiring flood insurance protection:
    Threshold: HUD will estimate the amount and period of flood 
insurance coverage that is to be made a condition of approval of any 
HUD financial assistance for a building located within a Special 
Flood Hazard Area (SFHA). The Flood Disaster Protection Act of 1973 
requires owners of HUD-assisted buildings to purchase and maintain 
flood insurance protection as a condition of approval of any HUD 
financial assistance for the proposed purchase, rehabilitation, or 
new construction of any SFHA building. The law prescribes the 
coverage period and dollar amount of flood insurance protection.
    Proof of Purchase of Flood Insurance Protection: You must 
provide HUD with proof of purchase of flood insurance protection for 
any proposed Youthbuild building located within the SFHA, whenever 
HUD funding is being used for property purchase, rehabilitation, or 
new construction. The standard documentation for compliance is the 
Policy Declarations form issued by the National Flood Insurance 
Program (NFIP) or issued by any property insurance company offering 
coverage under the NFIP. Whenever the requirement applies to 
coverage which extends to future years, the grant agreement will 
require that the insured has its insurer automatically forward to 
HUD, in the same manner as to the insured, an information copy of 
the Policy Declarations form, which is used to verify compliance. 
The Youthbuild applicant's responsibility ceases in cases where a 
mortgage loan is approved requiring flood insurance as condition of 
loan approval by a lender (other than the Youthbuild applicant), 
whose responsibility is to assure flood insurance coverage for the 
loan.
    *Documentation: You are to select either A or B for the 
condition that best describes your property and report the option 
selected in item 4 of section G.
    A. You already own the property and attach a copy of the Policy 
Declarations form confirming that a current flood insurance policy 
is in effect and the policy provides adequate coverage for the 
building proposed for the Youthbuild project located within the 
Special Flood Hazard Area.
    B. After you have purchased (or constructed, in the case of 
proposed new construction) the Youthbuild property, you must obtain 
and maintain flood insurance protection. For the term and amount of 
coverage prescribed by law, you must provide HUD with a copy of the 
Policy Declarations form confirming that the flood insurance policy 
is in effect and the policy provides adequate coverage for the 
Youthbuild building located within the Special Flood Hazard Area.
    5. Site within clear zones or accident potential zones of 
airports and airfields:
    Threshold: HUD policy as described in 24 CFR part 51, subpart D 
applies to HUD approval of financial assistance to: (a) properties 
located within clear zones; and (b) in the case of new construction 
or major rehabilitation, properties located within accident 
potential zones.

[[Page 14175]]

    (a) Clear zones: New construction and major rehabilitation of a 
property that is located on a clear zone site is prohibited. HUD 
financial assistance in a clear zone is allowed only for the 
proposed lease, purchase, or minor rehabilitation of properties (24 
CFR 51.302(a)). For HUD funding approval for any property in a clear 
zone: (a) HUD will give advance written notice to the prospective 
property buyer in accord with 24 CFR 51.303(a)(3); and (b) a copy of 
the HUD notice signed by the prospective property buyer will be 
placed in the property file. The written notice informs the 
prospective property buyer of: (i) The potential hazards from 
airplane accidents which studies have shown more likely to occur 
within clear zones than in other areas around the airport/airfield; 
and (ii) the potential acquisition by airport or airfield operators, 
who may wish to buy the property at some future date as part of a 
clear zone acquisition program.
    (b) Accident potential zones: For properties located within the 
accident potential zone (APZ), HUD shall determine whether the use 
of the property is generally consistent with Department of Defense 
``Land Use Compatibility Guidelines for Accident Potential Zones.''
    *Documentation: You are to select either A or B for the 
condition that best describes your property and report the option 
selected in item 5 of section G.
    A. The property is not located within 3,000 feet of a civil 
airport or military airfield.
    B. If your property is located within 3,000 feet of a civil 
airport or military airfield, you must provide HUD with a finding 
from the airport operator stating whether or not the property is 
located within a runway clear zone at a civil airport, or a clear 
zone or accident potential zone at a military airfield.
    For properties that are located within a runway clear zone or a 
clear zone or accident potential zone, if you propose to 
rehabilitate such a property you must provide HUD with estimates of: 
(i) The cost of the proposed rehabilitation, and (ii) the property 
value after completion of the rehabilitation. The estimates are to 
be provided in section F.
    6. Site is or affects an historic property:
    Threshold: Only if a property is proposed for rehabilitation or 
new construction must HUD in consultation with the State Historic 
Preservation Officer (SHPO), and following the Department of the 
Interiors Standards and Guidelines for Evaluation, make a 
determination whether the property is:
    (a) Listed on or formally determined to be eligible for listing 
on the National Register of Historic Places;
    (b) Located within or directly adjacent to an historic district; 
or
    (c) A property whose area of potential effects includes an 
historic district or property.
    Historic properties and districts are subject by law to special 
protection and historic preservation processing which HUD must 
perform to comply with the regulations of the Advisory Council on 
Historic Preservation (ACHP: 36 CFR part 800). Note: If you are 
using information from the SHPO as a qualified data source you need 
to allow sufficient time to obtain the information from the SHPO. 
You may wish to make special arrangements with the SHPO for rapid 
review of the proposed property where this is practicable. In 
addition, for properties determined to be historic properties, HUD 
will require 30 to 90 days in most cases for HUD to perform historic 
preservation compliance with the ACHP regulations. This may result 
in a disqualification of the application (refer above to number 7 
under ``Instructions to Applicants'').
    *Documentation: You are to select one of the following options 
that best describes the condition of your property and report the 
option selected in item 6 of section G.
    A. You propose financial assistance for rehabilitation or new 
construction, and are providing HUD with a SHPO's finding that the 
proposed Youthbuild activity:
    1. Is located within an area where there are no historic 
properties; or
    2. Will have no effect on historic properties; or
    3. Will have an effect on historic properties not considered 
adverse
    B. You propose financial assistance for rehabilitation or new 
construction, and are providing HUD with a SHPOs finding that the 
proposed Youthbuild activity will have an adverse effect on historic 
properties.
    C. You are providing HUD with a copy of a letter from the SHPO 
stating any reasons for not being able to provide you with the 
requested information and finding.
    7. Site near hazardous industrial operations:
    Threshold: Properties that are located near hazardous industrial 
operations handling fuels or chemicals of an explosive or flammable 
nature are subject to HUD safety standards (24 CFR 51, Subpart C). 
However, under the Youthbuild program, these standards would apply 
only if you propose: (i) Construction of a building; (ii) conversion 
of a non-residential land use to a residential land use including 
making habitable a building condemned for habitation; or (iii) 
rehabilitation that increases the density of a residential structure 
by increasing the number of dwelling or rooming units. In the case 
of tanks containing common liquid fuels, the requirement for an 
acceptable separation distance (ASD) calculation only applies to 
storage tanks that have a capacity of more than 100 gallons.
    *Documentation: You are to select one of the following options 
that best describe the condition of the property, and report the 
option selected in item 7 of section G.
    A. The proposed project does not include: (i) Construction of a 
building; (ii) conversion of a non-residential land use to a 
residential land use including making habitable a building condemned 
for habitation; or (iii) rehabilitation that increases the density 
of a residential structure by increasing the number of dwelling or 
rooming units.
    B. The proposed project includes: (i) construction of a 
building; (ii) conversion of a non-residential land use to a 
residential land use including making habitable a building condemned 
for habitation; or (iii) rehabilitation that increases the density 
of a residential structure by increasing the number of dwelling or 
rooming units; and you are providing HUD with a finding by a 
qualified data source that the proposed property is not located 
within the immediate vicinity of hazardous industrial operations 
handling fuel or chemicals of an explosive or flammable nature by 
citing data used and the maps used.
    C. The applicant proposes: (i) Construction of a building; (ii) 
conversion of a non-residential land use to a residential land use 
including making habitable a building condemned for habitation; or 
(iii) rehabilitation that increases the density of a residential 
structure by increasing the number of dwelling or rooming units; and 
the grantee provides HUD a finding made by a qualified data source 
stating: (1) That the proposed property is located within the 
immediate vicinity of hazardous industrial operations handling fuel 
or chemicals of an explosive or flammable nature; (2) the type and 
scale of such hazardous industrial operations; (3) the distance of 
such operations from the proposed property; (4) a preliminary 
calculation of the acceptable separation distance (ASD) between such 
operations and the proposed property; and (5) a recommendation as to 
whether it is safe to use the property in accord with 24 CFR 51, 
Subpart C.
    8. Site near high noise source:
    Threshold: For new construction which is to occur in high noise 
areas (i.e. exceeding 65 decibels), applicants shall incorporate 
noise attenuation features to the extent required by HUD 
environmental criteria and standards contained in Subpart B (Noise 
Abatement and Control) of 24 CFR part 51. Approvals in a Normally 
unacceptable noise zone require a minimum of 5 decibels additional 
sound attenuation for buildings having noise-sensitive uses if the 
day-night average sound level is greater than 65 decibels but does 
not exceed 70 decibels, or a minimum of 10 decibels of additional 
sound attenuation if the day-night average sound level is greater 
than 70 decibels but does not exceed 75 decibels.
    Proposed housing sites with above 75 decibels are unacceptable 
and the noise attenuation measures require the approval of the 
Assistant Secretary for Community Planning and Development. In 
Unacceptable noise zones, HUD strongly encourages conversion of 
noise-exposed sites to non-housing land uses compatible with the 
high noise levels.
    For major rehabilitation projects involving five or more 
dwelling units located in the ``Normally Unacceptable'' and 
``Unacceptable'' noise zones, HUD actively seeks to have project 
sponsors incorporate noise attenuation features, given the extent 
and nature of the rehabilitation being undertaken and the level of 
exterior noise exposure.
    *Documentation: You are to select A or B for the condition that 
best describes their project and report the option selected in item 
8 of section G.
    A. You are providing HUD with a finding made by a qualified data 
source stating that the property proposed by the applicant for a 
major rehabilitation or new construction project involving five or 
more dwelling units is not located within: (I) 1,000 feet of a major 
noise source, road, or highway; (ii) 3,000 feet

[[Page 14176]]

of a railroad; or (iii) 1 mile of a civil or 5 miles of a military 
airfield.
    B. The applicant provides HUD with a finding made by a qualified 
data source: (I) Stating that the plans for the property proposed by 
the applicant for a major rehabilitation or new construction project 
involving five or more dwelling units will incorporate noise 
attenuation features in accord with HUD environmental criteria and 
standards contained in Subpart B (Noise Abatement and Control) of 24 
CFR part 51; (ii) stating whether the property is located within a 
``Normally Unacceptable'' or ``Unacceptable'' noise zone; and (iii) 
providing HUD plans and a statement of the anticipated interior 
noise levels.
    9. Site affecting coastal zone management:
    Threshold: Only for proposed activities involving new 
construction or major rehabilitation of multifamily housing does the 
Coastal Zone Management (CZM) authority apply. Projects that can 
affect the coastal zone must be carried out in a manner consistent 
with the approved State coastal zone management program under Sec. 
307 of the Coastal Zone Management Act of 1972, as amended.
    *Documentation: You are to select either A or B for the 
condition that best describes the project and report the option 
selected in item 9 of section G.
    A. You state that your project is not located within a coastal 
zone, as defined by the States Coastal Zone Management Plan.
    B. If your project is located within a coastal zone, you are 
providing HUD with a finding made by the State CZM agency that the 
project proposed by the applicant is consistent with the approved 
State coastal zone management program.
    10. Site affecting a sole source aquifer:
    Threshold: The sole source aquifer authority applies primarily 
to activities involving proposed new construction or conversion to 
housing of non-residential property. Projects which can affect 
aquifers designated by the Environmental Protection Agency (EPA) 
must be reviewed for impact on such designated aquifer sources. The 
Safe Drinking Water Act of 1974 requires protection of drinking 
water systems which are the sole or principal drinking water source 
for an area and which, if contaminated, would create a significant 
hazard to public health.
    *Documentation: You are to select either A or B for the 
condition that best describes their project and report the option 
selected in item 10 of section G.
    A. You are providing HUD with a finding made by a qualified data 
source stating that the proposed property is not located on nor does 
it affect a sole source aquifer designated by EPA.
    B. If your project proposes new construction or conversion 
activities that are located on or may affect any sole source aquifer 
designated by the EPA, you are identifying the aquifer and providing 
HUD with an explanation of the effect on the aquifer from a 
qualified data source, and/or a copy of any comments on the proposed 
project that have been received from the EPA Regional Office as well 
as from any State or local agency with jurisdiction for protecting 
the drinking water system.
    11. Site affecting endangered species:
    Threshold: The Endangered Species Protection (ESP) authority 
applies primarily to activities involving proposed new construction 
or conversion to housing of a non-residential property. Projects 
which can affect listed or proposed endangered or threatened species 
or critical habitats require consultation with the Department of the 
Interior in compliance with the procedure of Section 7 of the 
Endangered Species Act of 1973, as amended.
    *Documentation: You are to select either A or B for the 
condition that best describes the property and report the option 
selected in item 11 of section G.
    A. If your project proposes new construction or conversion 
activities, you are providing HUD with a finding made by a qualified 
data source that the project is not likely to affect any listed or 
proposed endangered or threatened species or critical habitat. The 
finding shall indicate whether the project is located within a 
critical habitat, and if so, explain why the project is not likely 
to affect the species or habitat.
    B. If your project proposes new construction or conversion 
activities that are likely to affect listed or proposed endangered 
or threatened species or critical habitat, you are providing HUD 
with a statement from a qualified data source explaining the likely 
affect, and/or a finding made by the Fish and Wildlife Service of 
the Department of the Interior stating as acceptable the proposed 
mitigation that you will provide to protect any affected endangered 
or threatened species or critical habitat.
    12. Site affecting a designated wetland:
    Threshold: New construction or conversion to housing of a non-
residential property located within a designated wetland is subject 
to Executive Order 11990, Protection of Wetlands. This Executive 
Order directs HUD to avoid, where practicable, financial support for 
new construction on wetland property. Note: Proposed funding for new 
construction or conversion is subject to the Executive Order 
decision making process. This may result in a disqualification of 
the application (refer above to number 7 under ``Instructions to 
Applicants'').
    *Documentation: You are to select A or B for the condition that 
best describes the property and report the option selected in item 
12 of section G.
    A. You are providing HUD with a finding made by a qualified data 
source stating that the property is not located within a designated 
wetland where new construction or conversion is proposed.
    B. You are providing HUD with a finding made by a qualified data 
source that the property is located within a designated wetland, 
which applies only to property where new construction or conversion 
is proposed.
    The information for A and B must provide HUD with the wetland 
panel number obtained from official maps issued by the Department of 
the Interior on the basis of which the finding was made, or where 
DOI has not mapped the area, a letter or other documentation from 
the Army Corps of Engineers or other Federal agency.
    13. Significant impact to the human environment:
    Threshold: HUD must perform an environmental assessment of any 
property proposed for major rehabilitation or new construction 
except for a single-family property having one-to-four dwelling 
units. It is the policy of the Department to reject proposals which 
have significant adverse environmental impacts and to encourage the 
modification of projects in order to enhance environmental quality 
and minimize environmental harm. This policy is authorized by the 
National Environmental Policy Act (NEPA) and the implementing 
regulations of the Council on Environmental Quality and HUD's 
Environmental Rule at 24 CFR part 50.
    *Documentation: You are to provide HUD with any information on 
any adverse environmental impacts that affect the property or that 
the project would create. You are to report this data on a separate 
sheet and attach it to Exhibit 2C(15). Examples of adverse impacts 
are: soil instability and erodibility; natural or person-made 
hazards and nuisances; air pollution; inadequate infrastructure 
(e.g., water supply, waste water treatment, storm water management, 
solid waste collection), inadequate public services (i.e., fire, 
police, health care, social services, schools, parks) and 
transportation; and encroachment on prime farmlands and wild and 
scenic river areas. You are to identify any significant impacts to 
the human environment.

Appendix B

    The non-standard forms, which follow, are required for your 
Youthbuild application.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14189]]



FUNDING AVAILABILITY FOR THE RURAL HOUSING AND ECONOMIC DEVELOPMENT 
PROGRAM

PROGRAM OVERVIEW

    Purpose of Program: The purpose of the Rural Housing and Economic 
Development (RHED) program is to build capacity at the State and local 
level for rural housing and economic development and to support 
innovative housing and economic development activities in rural areas. 
The funds made available under this program will be awarded 
competitively, through a selection process conducted by HUD in 
consultation with the United States Department of Agriculture (USDA).
    Available Funds: Approximately $25 million in Fiscal Year (FY) 2002 
funding.
    Eligible Applicants: Local, rural, non-profit organizations; 
community development corporations; federally recognized Indian tribes; 
State housing finance agencies; and, State economic development and/or 
community development agencies.
    Application Deadline: April 26, 2002.
    Match: None.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information:

I. Application Due Date, Further Information and Technical 
Assistance

    Application Due Date: Applications for RHED grants are due on or 
before April 26, 2002.
    See the General Section of this SuperNOFA for specific procedures 
governing the form of application submission (e.g., mailed 
applications, express mail, or overnight delivery).
    Application Submission Procedures. New Security Procedures. HUD has 
implemented new security procedures that apply to application 
submission . Please read the following instructions carefully and 
completely. HUD will not accept hand-delivered applications. 
Applications may be mailed using the United States Postal Service (UPS) 
or may be shipped via the following delivery services: United Parcel 
Service (UPS), FedEx, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without an escort. You 
must, therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received in HUD Headquarters on or within 
fifteen (15) days of the application due date. Applicants must obtain 
and save a Certificate of Mailing showing the date, when your 
application was submitted to the United States Postal Service (USPS). 
The Certificate of Mailing will be your documentary evidence that your 
application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
service no later than the application due date. Due to new security 
measures, you must use one of four carrier services that do business 
with HUD Headquarters regularly. These services are UPS, DHL, FedEx and 
Falcon Carrier. Delivery by these services must be made during HUD's 
Headquarters business hours, between 8:30 AM and 5:30 PM Eastern time, 
Monday through Friday. If these companies do not service your area, you 
should submit your application via the United States Postal Service.
    Address for Submitting Applications: Completed applications (one 
original and two copies) 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; ATTN: Office of Rural Housing and Economic 
Development. When submitting your application, please include your 
name, mailing address (including zip code), telephone number, and fax 
number (including area code).
    For Application Kits. An application kit is not necessary for 
submitting an application in response to this announcement. This 
announcement contains all the information necessary for the submission 
of your application for the Rural Housing and Economic Development 
Program.
    For Further Information and Technical Assistance. All information 
and materials required to submit an application for funding under the 
HUD Rural Housing and Economic Development program are included in the 
Appendix to this NOFA.
    For information concerning the HUD Rural Housing and Economic 
Development program, contact Mr. Marty Horwath, Community Planning and 
Development Specialist, or Ms. Holly A. Kelly, Economic Development 
Program Specialist, Office of Community Planning and Development (CPD), 
Department of Housing and Urban Development, 451 7th Street, SW., Room 
7136, Washington, DC 20410; telephone 202-708-2035 (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.
    Prior to the application deadline, HUD staff at the number above 
will be available to provide general guidance, but not guidance in 
actually preparing the application. Following selection, 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 
by HUD.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of an application. For more information about the date and 
time of this broadcast, consult the HUD web site at www.hud.gov.

II. Amount Allocated

    (A) Available Funds. Approximately $25 million in Fiscal Year (FY) 
2002 funding is being made available through this NOFA. The breakdown 
for this funding is below.
    (B) The FY 2002 HUD Appropriations Act. The Departments of Veterans 
Affairs and Housing and Urban Development, and Independent Agencies 
Appropriations Act, 2002 (Pub. L. 107-73 approved November 26, 2001) 
(the ``FY 2002 HUD Appropriations Act'') made $25 million in FY 2002 
funds available under the RHED program.
    (C) Funding Categories/ Maximum Award Amounts. HUD will award up to 
approximately $25 million on a competitive basis in the following 
funding categories. Applicants must apply for funds in one of the two 
categories: Category (1), Capacity Building; or Category (2), Support 
for Innovative Housing and Economic Development Activities. Only one 
application will be accepted from any given organization.
    (1) Capacity Building. HUD will award up to approximately $10 
million to build capacity. This amount will go directly to local rural 
non-profits, community development corporations (CDCs) and federally 
recognized Indian tribes to increase an organization's capacity to 
support innovative housing and economic development activities. The 
maximum amount awarded to a successful applicant in this category will 
be $150,000. If you received two or more RHED grant for capacity 
building since 1999, you are not eligible to apply

[[Page 14190]]

under this category. If you received an RHED grant in 2001 for capacity 
building, you are eligible for a maximum award of $100,000 under this 
category.
    (2) Support for Innovative Housing and Economic Development 
Activities. HUD will award up to approximately $15 million to federally 
recognized Indian tribes, State Housing Finance Agencies (HFA)s, state 
community and/or economic development agencies, local rural non-profits 
and CDCs to support innovative housing and economic development 
activities in rural areas nationwide. The maximum amount awarded to a 
successful applicant in this category will be $400,000.

III. Program Description; Eligible Applicants; Eligible Activities

(A) Program Description.

    (1) Background. There is a great need for expanding the supply of 
housing in rural America, particularly affordable housing for low-
income families and individuals. A number of rural areas have 
experienced rapid growth as a result of employment opportunities, and 
now face a shortage of affordable housing. In other rural areas, out-
migration other factors contributing to economic dislocation, have 
caused severe economic distress. There has been a growing national 
recognition of the need to enhance the capacity of federally recognized 
Indian tribes, local rural non-profits, CDCs, and State community and/
or economic development agencies to expand the supply of affordable 
housing and to engage in economic development activities in rural 
areas.
    A number of resources are available from the Federal government to 
address these problems, including programs of the United States 
Department of Agriculture (USDA), the Economic Development 
Administration (EDA), the Appalachian Regional Commission (ARC), the 
Department of Interior (for Indian Tribes) and HUD. The Rural Housing 
and Economic Development program has been developed to supplement these 
resources and to focus specifically on capacity building and innovative 
approaches to housing and economic development in rural areas. In 
administering these funds, HUD encourages you to coordinate your 
activities supported by any of these agencies.
    (2) Definitions. Appalachia's Distressed Counties means those 
counties in Appalachia that ARC has determined to have unemployment and 
poverty rates that are 150 percent of the respective U.S. rates and per 
capita income that is less than 67 percent of the U.S. per capita 
income, and counties with 200 percent of the U.S. poverty rate and one 
other indicator such as percent of overcrowded housing, etc. Appendix B 
to this notice identifies ARC's list of distressed counties.
    Colonia means any identifiable community that:
    (i) Is located in the State of Arizona, California, New Mexico, or 
Texas;
    (ii) Is located in the U.S.-Mexico border region (that is, within 
150 miles of the border between the U.S. and Mexico); and
    (iii) Meets objective need criteria, including lack of potable 
water supply, lack of adequate sewage systems, and lack of decent, 
safe, sanitary, and accessible housing.
    Farmworker means a farm employee of an owner, tenant, labor 
contractor, or other operator raising or harvesting agricultural or 
aquacultural commodities; or a worker in the employment of a farm 
operator, handling, planting, drying, packing, grading, storing, 
delivering to storage or market, or carrying to market agricultural or 
aquacultural commodities produced by the operator. Seasonal farm 
workers are those farm employees who typically do not have a constant 
year round salary.
    A firm commitment means the agreement by which an applicant's 
partner agrees to perform an activity specified in the application and 
demonstrates the financial capacity to deliver the resources necessary 
to carry out the activity, and commits the resources to the activity 
either in cash or through in-kind contributions and is irrevocable, 
subject only to approval and receipt of a FY 2002 RHED grant. Each 
letter of commitment should include the organization's name, the 
applicant's name, the proposed program, the proposed total 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 and 
dated not earlier than the date of publication of this NOFA. In 
documenting a firm commitment, the applicant's partner must:
    (i) Specify the authority by which the commitment is made, the 
amount of the commitment, the use of funds and the relationship of the 
commitment to the proposed investment. If the committed activity is to 
be self-financed, the applicant's partner must evidence its financial 
capability through a corporate or personal financial statement or other 
appropriate means. If any portion of it is to be financed through a 
lending institution, the participant must evidence the institution's 
commitment to fund the loan;
    (ii) Affirm that the commitment is contingent only upon the receipt 
of FY 2002 RHED funds and state a willingness on the part of the 
signatory to sign a legally binding commitment (conditioned on HUD 
environmental review and approval of a property, where applicable) upon 
award of the grant.
    Indian tribe means any entity eligible to apply for funding under 
the Indian Community Development Block Grant (ICDBG) program (see 24 
CFR 1003.5(a)). The list of federally recognized Indian tribes can be 
found notice published by the Department of the Interior on March 13, 
2000, at 65 FR 13299, and is also available from HUD.
    Innovative housing activities means projects, techniques, methods, 
combinations of assistance, construction materials, and energy 
efficiency improvements or financing institutions or sources new to the 
eligible area, or its population. The innovative activities can also 
build upon and enhance a model that already exists.
    Local rural non-profit or community development corporation means 
either:
    (i) Any private entity with tax-exempt status recognized by the 
Internal Revenue Service (IRS) which serves the eligible rural area 
involved in the application (including local affiliates of national 
organizations that provide technical and capacity building assistance 
in rural areas); or
    (ii) Any public non-profit such as a Council of Governments that 
will serve specific local non-profit organizations in the eligible 
area.
    Lower Mississippi Delta Region means the eight state, 235 county/
parish region defined by Congress in the Lower Mississippi Delta 
Development Act, Pub.L. 100-460. Appendix C to this notice identifies 
the counties referenced in the Act.
    Rural area may be defined in one of five ways:
    (i) A place having fewer than 2,500 inhabitants (within or outside 
of metropolitan areas).
    (ii) A county with an urban population of 20,000 inhabitants or 
less.
    (iii) Territory, persons, and housing units in the rural portions 
of ``extended cities.'' The U.S. Census Bureau identifies the rural 
portions of extended cities.
    (iv) Open country that is not part of or associated with an urban 
area. The USDA describes ``open country'' as a site separated by open 
space from any adjacent densely populated urban area.

[[Page 14191]]

Open space includes undeveloped land, agricultural land, or sparsely 
settled areas, but does not include physical barriers (such as rivers 
and canals), public parks, commercial and industrial developments, 
small areas reserved for recreational purposes, and open space set 
aside for future development.
    (v) Any place with a population not in excess of 20,000 and not 
located in a Metropolitan Statistical Area.
    State economic development and/or community development agency 
means any state agency that has promotion of statewide or local 
community/economic development as its primary purpose.
    State Housing Finance Agency means any state agency created to 
assist local communities and housing providers with financing 
assistance for development of housing in rural areas, particularly for 
low- and moderate-income people.
    (3) Eligible applicants. Eligible applicants for each of the 
funding categories are as follows:
    (a) For capacity building funding. If you are a local rural non-
profit, CDC, or federally recognized Indian tribe, you are eligible for 
capacity building funding to carry out innovative housing and economic 
development activities which may also enable an applicant to become 
self-sustaining in the future.
    (b) For support for innovative housing and economic development 
activities funding. If you are a local, rural non-profit; CDC; 
federally recognized Indian tribe; State HFA; or State economic 
development and/or community development agency, you may apply for 
funding to support innovative housing and economic development 
activities in rural areas.
    (4) Eligible activities. The following are examples of eligible 
activities under the Rural Housing and Economic Development program. 
These examples are illustrative and are not meant to limit the 
activities that you may propose in your application.
    (a) For capacity building funding. Capacity building for innovative 
rural housing and economic development involves the enhancement of 
existing organizations to carry out new functions and/or to more 
effectively perform existing functions. Activities may include, but are 
not limited to the following:
    (i) Enhancement of existing functions or creation of new functions 
to provide affordable housing and economic development in rural areas;
    (ii) Acquisition of additional space and support facilities;
    (iii) Salaries for additional staff needed to conduct the work, 
including financial management specialists, and economic development 
specialists;
    (iv) Training of staff in the areas of financial management, 
economic development financing, housing accessibility and visitability 
standards, fair housing issues and complaint filing;
    (v) Development of business plans in order for the organization to 
be self-sustaining;
    (vi) Development of Management Information Systems (MIS) and 
software to enable better and more accurate reporting of information to 
HUD and to other entities;
    (vii) Development of feasibility studies and market studies;
    (viii) Training on energy efficiency in construction for housing 
and commercial projects;
    (ix) Housing counseling services including the provision of 
information on budgeting, access to credit and other federal program 
assistance available including the Section 502 Single Family Housing 
Loan program under the USDA;
    (x) Coordinating with the USDA in holding training sessions with 
your staff on the Section 502 Single Family Housing loan program and 
other housing or economic development programs available from USDA;
    (xi) Conducting conferences or meetings with other Federal and 
State agencies to inform residents of programs, rights and 
responsibilities associated with homebuying opportunities; and;
    (xii) Arranging for technical assistance to conduct needs 
assessments, conduct asset inventories and to develop strategic plans.
    (i) Administrative costs for assistance under this funding category 
may not exceed fifteen percent (15%) of the total grant award.
    (b) For support of innovative housing and economic development 
activities.
    (i) This category is intended to support, but not be limited to, 
other costs for innovative housing and economic development activities. 
Activities may include, but are not limited to the following:
    (i) Cost for using new or innovative construction, energy 
efficiency or other techniques that will result in the design and/or 
construction of innovative housing and economic development projects;
    (ii) Preparation of plans, architectural or engineering drawings;
    (iii) Preparation of legal documents, government paperwork 
requirements and applications to allow construction of housing and 
economic development activities to occur in the jurisdiction;
    (i) Financial assistance for the acquisition of land and buildings;
    (i) Demolition of property to permit construction or rehabilitation 
activities to occur;
    (i) Development of infrastructure to support the housing or 
economic development activities;
    (i) Purchase of construction materials;
    (ii) Job training to support the activities of the organization;
    (iii) Homeownership counseling, including credit counseling, 
budgeting, access to credit, and other federal assistance available 
including the Section 502 Single Family Housing Loan program under the 
USDA;
    (iv) Coordinating with the USDA in holding training sessions with 
staff on the Section 502 Single Family Housing loan program and other 
housing or economic development programs available from USDA;
    (v) Conducting conferences or meetings with other Federal and State 
agencies to inform residents of programs, rights and responsibilities 
associated with homebuying opportunities;
    (vi) Development of feasibility studies and market studies;
    (vii) Development of Management Information Systems (MIS) and 
software to enable better and more accurate reporting of information to 
HUD and to other entities;
    (viii) Establishing Community Development Financial Institutions 
(CDFIs), lines of credit, revolving loan funds, microenterprises, and 
small business incubators; and
    (ix) Provision of direct financial assistance to homeowners/
businesses/developers, etc. This can be in the form of establishing 
default reserves, pooling/securitization mechanisms, loans, grants, 
etc.
    Applicants are reminded that they must affirmatively further fair 
housing. Grantees should demonstrate that their activities will 
continue to serve the populations that are in need and that 
beneficiaries will have a choice of innovative housing and economic 
development opportunities as a result of these activities.
    (i) Administrative costs for assistance under this funding category 
may not exceed fifteen percent (15%) of the total grant award.
    (5) Ineligible activities. Examples of ineligible activities for 
both funding categories include:
    (i) the use of RHED grant funds for income payments to subsidize 
individuals or families;
    (ii) political activities;
    (iii) general governmental expenses other than expenses related to 
the administrative cost of the grant; or
    (iv) projects and activities intended for personal gain or private 
use.

[[Page 14192]]

IV. Program Requirements

    (A) General. To be eligible for funding under this program section 
of this SuperNOFA, you must meet the threshold and statutory or 
regulatory requirements applicable to all programs set forth in Section 
II of the General Section of the SuperNOFA. In addition to the above, 
you must meet the following program specific requirements.
    (B) Accounting System Requirements. RHED requires that successful 
applicants have in place an accounting system that meets the policies, 
guidance, and requirements as described in the following applicable OMB 
Circulars and Code of Federal Regulations:
    (1) OMB Circular No. A-87 (Cost Principles Applicable to Grants, 
Contracts and Other Agreements with State and Local Governments);
    (2) OMB Circular No. A-122 (Cost Principles for Nonprofit 
Organizations), (3) OMB Circular No. A-133 (Audits of States, Local 
Governments, and Non-Profit Organizations);
    (4) 24 CFR part 84 (Grants and Agreements with Institutions of 
Higher Education, Hospitals, and other Non-Profit Organizations); and
    (5) 24 CFR part 85 (Administrative Requirements for Grants and 
Cooperative Agreements to State, Local, and Federally recognized Indian 
tribal governments).
    These documents apply to the award, acceptance and use of 
assistance under the Rural Housing and Economic Development program 
NOFA, and to the remedies for noncompliance, except when inconsistent 
with the provisions of the FY 2002 HUD Appropriations Act, other 
Federal statutes or the provisions of this NOFA.
    (C) Ethical Standards. HUD requires that all grantees adhere to 
core values and ethical business practices, as described in Section II 
(B)(2) of the General Section of the SuperNOFA as a condition of the 
award.
    (D) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women-Owned Businesses. HUD requires 
grantees to use small businesses, small disadvantaged businesses and 
women-owned businesses in conducting your work activities, if possible. 
Please refer to Section II (F) of the General Section of the SuperNOFA 
for specific requirements.
    (E) Forms, Certifications and Assurances. You, the applicant, are 
required to submit signed copies of the standard forms, certifications 
and assurances included in the Appendix of this NOFA signed by the 
managing officer of your organization.
    (F) Environmental Review. Selection for award does not constitute 
approval of any proposed sites. Following selection for award, HUD will 
perform an environmental review of activities proposed for assistance 
under this part, in accordance with 24 CFR part 50. The results of the 
environmental review may require that proposed activities be modified 
or that proposed sites be rejected. Applicants are particularly 
cautioned not to undertake or commit funds for acquisition or 
development of proposed properties (including establishing lines of 
credit that permit financing of such activities or making commitments 
for loans that would finance such activities from a revolving loan fund 
capitalized by funds under this NOFA) prior to HUD approval of specific 
properties or areas. Each application must contain an assurance that 
you, the applicant, will assist HUD to comply with part 50; will supply 
HUD with all available, relevant information to perform an 
environmental review for each proposed property; will carry out 
mitigating measures required by HUD or select alternate property; and 
will not acquire, rehabilitate, convert, demolish, lease, repair or 
construct property, nor commit or expend HUD or local funds for these 
program activities with respect to any eligible property, until HUD 
approval of the property is received. In supplying HUD with 
environmental information, grantees are to use the same guidance as 
provided in the Notice CPD-99-01, entitled ``Field Environmental 
Processing for HUD Colonias Initiative (HCI) grants'' issued January 
27, 1999.
    (G) Conflicts of Interest. Consultants and experts assisting HUD in 
rating and ranking applicants for funding under this NOFA are subject 
to 18 U.S.C. 208. Refer to Section II (K) of the General Section of the 
SuperNOFA.
    (H) Grant Amounts. In the event, you, the applicant, are awarded a 
grant that has been reduced (e.g. the application contained some 
activities that were ineligible or budget information did not support 
the request), you will be required to modify your project plans and 
application to conform to the terms of HUD's approval before execution 
of the grant agreement. HUD reserves the right to reduce or de-obligate 
the award if approvable modifications to the proposed project are not 
submitted by the awardee in the required amounts in a timely manner. 
Any modifications must be within the scope of the original application. 
HUD reserves the right not to make awards under this NOFA.
    (I) Grant Period. Recipients will have 36 months from the date of 
the executed grant agreement to complete all project activities. .
    (J) Lead-Based Paint Hazard Control. All property assisted under 
the Rural Housing and Economic Development program is covered by the 
Lead-Based Paint Poisoning Prevention Act (42 U.S.C. 4821-4846) and 
HUD's implementing regulations at 24 CFR part 35.
    (K) Adjustments to Funding. In addition to the items identified 
under Section III (E) of the General Section of the SuperNOFA, HUD:
    (1) reserves the right to utilize this year's funding to fund 
previous year's errors prior to rating and ranking this year's 
applications. HUD reserves the right to reallocate funds between 
categories to achieve the maximum allocation of funds in both 
categories.
    (2) If after all eligible applicants have been selected for funding 
in Category 2 and funds remain, the remaining funds will be allocated 
to Category 1 to fund additional eligible applications in that 
category. If a balance of funds remain, HUD reserves the right to 
utilize those funds toward the following year's competetion.

V. Policy Priorities

    You should document the extent to which HUD's policy priorities are 
furthered by the proposed activities. Applicants that include 
activities that can result in the achievement of these Departmental 
policy priorities as described below and in Section VI of the General 
Section of this SuperNOFA will receive higher rating points in 
evaluating your application for funding. Four Departmental policy 
priorities are listed below. You will receive 1 rating point for each 
priority addressed in your program of activities and associated with 
performance measurements and your management plan under Rating Factor 
3, described in Section VI of this program NOFA. Such priorities 
include:
    (1) Increasing homeownership for low- and moderate-income persons, 
persons with disabilities and the elderly, and minorities and families 
where English may be a second language.
    (2) Encouraging visitability in new construction and substantial 
rehabilitation activities, allowing a person with mobility impairments 
access into a home, but not requiring that all features be made 
accessible. A visitable home also serves persons without disabilities, 
such as a person pushing a stroller or delivering a large appliance. 
Encouraging universal design, simplifying life for everyone by

[[Page 14193]]

making products, communications and the built environment more usable 
by as many people at little or no extra cost. Universal design is the 
design of products and environments to be usable by all people, to the 
greatest extent possible at little or not extra cost.
    (3) Improving computer access, literacy, and employment 
opportunities, by providing access to computers to low- and moderate-
income adults and children who do not have access and therefore may be 
disadvantaged with respect to education, work and training 
opportunities. HUD encourages applicants to incorporate education and 
job training opportunities through initiatives such as HUD's 
Neighborhood Networks and 20/20 Education communities in their 
programs.
    (4) Increasing economic mobility choices for rural residents. HUD 
wants to improve the quality of life for rural residents by providing 
more residents a chance to move into homeownership opportunities or to 
provide a community with greater housing choices.

VI. Application Selection Process

    (A) Rating and Ranking.
    (1) General. To review and rate applications, HUD may establish 
panels including outside experts or consultants to obtain certain 
expertise and outside points of view, including views from other 
Federal agencies.
    (2) Rating. All applicants for funding will be evaluated against 
the criteria below. In evaluating applications for funding, HUD will 
take into account an applicant's past performance in managing funds, 
including the ability to account for funds appropriately; timely use of 
funds received either from HUD or other Federal, State or local 
programs; meeting performance targets for completion of activities and 
number of persons to be served or targeted for assistance. HUD may use 
information relating to these items based on information at hand or 
available from public sources such as newspapers, Inspector General or 
Government Accounting Office Reports or Findings, hotline complaints 
that have been proven to have merit, or other such sources of 
information. In evaluating past performance, HUD will deduct points 
from rating scores as specified under Rating Factor 1, Capacity of the 
Applicant and Relevant Organizational Experience, described in this 
Section below.
    (3) Ranking. Applicants will be ranked separately within each of 
the two funding categories. Applicants will be selected for funding in 
accordance with their rank order in each category. An application must 
receive a minimum score of 70 points to be eligible for funding. If two 
or more applications are rated fundable and have the same score, but 
there are insufficient funds to fund all of them, the applications(s) 
with the highest score for Rating Factor 2 (Need and Extent of the 
Problem) shall be selected. If applications still have the same score, 
the highest score in the following factors will be selected 
sequentially until one highest score can be determined, Rating Factor 3 
(Soundness of Approach), Rating Factor 1 (Capacity and Experience), 
Rating Factor 5 (Coordination, Self-Sufficiency, and Sustainability) 
and Rating Factor 4 (Leveraging Resources). To be eligible for funding 
in the Innovative category, an application must have a minimum score of 
30 points for the total combined number of points for Rating Factors 1 
and 3. To be eligible for funding in the Capacity Building category, an 
application must have a minimum score of 25 points for Rating Factor 3.
    (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 (including applicants 
that do not meet the threshold requirements described in Section II(B) 
of the General Section of the SuperNOFA);
    (2) Do not serve an eligible rural area;
    (3) Do not meet the objectives of the RHED program;
    (4) Propose a program for which significant activities are 
ineligible.
    (C) Rating 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 102. This includes two RC/EZ/EC bonus 
points, as described in the General Section of the SuperNOFA.
    (D) Notification of Approval and Disapproval. HUD will notify you 
whether or not you have been selected for an award. If you are 
selected, HUD's notice to you of the amount of the grant award based on 
the approved application will constitute HUD's preliminary approval, 
subject to negotiation and execution of the grant agreement by HUD.
    (E) Applicant Debriefing. Any applicant can obtain a debriefing of 
their application. Please refer to Section VII (E) of the General 
Section of the SuperNOFA for details on the conditions and timeframes 
for requesting a debriefing. In addition, applicants requesting a 
debriefing must send a written request to Ms. Jackie W. Mitchell, 
Director, Office of Rural Housing and Economic Development (RHED), at 
the address listed in Section I of this NOFA under ``For Further 
Information and Technical Assistance.''

Rating Factor 1--Capacity of the Applicant and Relevant 
Organizational Experience (15 points)

    This rating factor addresses the extent to which you have the 
organizational resources necessary to successfully implement your 
proposed work plan as further described in Rating Factor 3 in a timely 
manner within the 36 month award period.
    Rating standards applicable to individual funding categories. The 
two funding categories have different objectives. Accordingly, in 
addition to the generally applicable rating standard discussed above, 
different standards as discussed below will be used to judge the 
experience and qualifications of the applicants for each of the two 
funding categories. HUD fully supports emerging organizations who 
desire to develop internal capacity. Therefore, the following 
categories will be evaluated:
    (1) For Capacity Building applications. (15 points) Team members, 
composition, experience, organizational structure and management 
capacity. Your response to this subfactor should clearly state the need 
which your organization is to address through the request for 
assistance. In addition, you should describe how the enhanced capacity 
realized through the assistance will fulfill that need. HUD will 
evaluate the experience of your project director, core staff, any 
outside consultants, contractors, subrecipients, and project partners 
to implement all of the work activities in your workplan as they relate 
to innovative housing and economic development activities. In 
evaluating your capacity to do the work, HUD will assess the recentness 
and relevancy of the prior work experience of each of the parties 
listed above to execute the prescribed activities; the services that 
consultants or other parties will provide to fill gaps in your staffing 
structure to enable you to carry out the proposed workplan; the 
experience of your project director in managing projects of similar 
size, scope, and dollar amount; the lines of authority and procedures 
that you have in place for ensuring that workplan goals and objectives 
are being met, consultants and other project partners are performing as 
planned, and that beneficiaries are being adequately served. In 
responding to this sub-factor, please indicate how the capacity

[[Page 14194]]

building assistance will strengthen or otherwise impact your 
organization's current housing or economic development program 
portfolio, or if you are a new grantee, how will the capacity 
assistance ensure that you can carry out your proposed activities. In 
judging your response to this factor, HUD will only consider work 
experience gained within the last 3 years. When responding, please be 
sure to provide the dates, job titles and relevancy of the past 
experience to work undertaken by the employee or contractor under your 
proposed RHED application. The more recent, relevant, and successful 
the experience is of your team members in relationship to the workplan 
activities, the greater the number of points that you will receive.
    (2) For Support for Innovative Rural Housing and Economic 
Development Activities applications.
    (a) (5 points) Team members, composition, and experience. HUD will 
evaluate the experience of your project director, core staff, any 
outside consultants, contractors, subrecipients, and project partners 
to implement all of the work activities in your workplan. In evaluating 
your capacity to do the work, HUD will assess the recentness and 
relevancy of the prior work experience of each of the parties listed 
above, to execute the prescribed activities; the services that 
consultants or other parties will provide to fill gaps in your staffing 
structure to enable you to carry out the proposed workplan; the 
experience of your project director in managing projects of similar 
size, scope, and dollar amount; the lines of authority and procedures 
that you have in place for ensuring that workplan goals and objectives 
are being met, that consultants and other project partners are 
performing as planned, and that beneficiaries are being adequately 
served. In judging your response to this factor, HUD will only consider 
work experience gained within the last 7 years. When responding, please 
be sure to provide the dates, job titles and relevancy of the past 
experience to work undertaken by the employee or contractor under your 
proposed RHED application. The more recent, relevant, and successful 
the experience is of your team members in relationship to the workplan 
activities, the greater the number of points that you will receive.
    (b) (5 points) Organizational structure and management capacity. 
HUD will evaluate the extent to which you can demonstrate your 
organization's ability to manage a workforce composed of full time and/
or part-time staff as well as any consultant staff and your ability to 
work with community-based groups or organizations in resolving issues 
related to affordable housing and economic development. In evaluating 
this sub-factor, HUD will take into account your experience in working 
with community-based organizations to design and implement programs 
which address the identified housing and economic development issues. 
The more recent, relevant, and successful the experience is of your 
organization and any participating entities, the greater the number of 
points that you will receive.
    (c) (5 points) Experience with performance based funding 
requirements. HUD will evaluate your experience in producing timely 
products and reports in any previous grant programs undertaken with HUD 
funds or other Federal, state, local or non-profit or for-profit 
organization funds. In assessing points for this sub-factor, HUD 
reserves the right to take into account your past performance in 
meeting performance and reporting goals on any previous HUD awards. HUD 
will deduct one point for each of the following activities related to 
previous HUD grant programs for which unsatisfactory performance has 
been verified and related to: (1) Managing funds, including the ability 
to account for funds appropriately; (2) timely use of funds received 
either from HUD or other Federal, State, or local programs; and (3) 
significant and consistent failure to met performance targets. Among 
the specific outcomes to be measured are the number of jobs created or 
retained the number of people trained, the number of housing units 
rehabilitated or constructed and made available for low- and moderate-
income persons, or other relevant objective performance measures 
related to your previous job experience and/or grant programs. 
Applicants that can demonstrate a closer and greater linkage between 
the expected outcomes and the previously generated outcomes will 
receive higher points for this sub-factor.

Rating Factor 2--Need and Extent of the Problem (25 Points)

    The Rural Housing and Economic Development program has been 
designed to address the problems of rural poverty, inadequate housing 
and lack of economic opportunity. 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 applicant's target area. In responding to this Factor, 
applications will be evaluated on the extent to which the level of need 
for the proposed activity and the urgency in meeting the need are 
documented and compared, vis-a-vis, the target area, and national data.
    (1) In applying this Factor, HUD will compare current levels of 
need in the area (i.e. Census Tract(s) or Block Groups), immediately 
surrounding the project site or the target area to be served by the 
proposed project and in the national level of need. This means that an 
application that provides data that show levels of need in the project 
area expressed as a percent greater than the national average, will be 
rated higher under this Factor. Notwithstanding the above, an applicant 
proposing a project to be located outside the target area could still 
receive points under the Need Factor if a clear rationale and linkage 
is provided linking the proposed project location and the benefits to 
be derived by persons living in more distressed area(s) of the 
applicant's target area.
    (2) Applicants should provide data that address indicators of need 
as follows:
    (a) Poverty Rate (5 points)--data should be provided in both 
absolute and percentage form (i.e., whole numbers and percents) for the 
target area(s). An application that compares the local poverty rate in 
the following manner to the national average at the time of submission 
will receive points under this section as follows:
    (i) Less than the national average = 0 points;
    (ii) Equal to but less than twice the national average = 1 points;
    (iii) Twice but less than three times the national average = 3 
points;
    (iv) Three or more times the national average = 5 points.
    (b) Unemployment (5 points)--for the target area:
    (i) Less than the national average = 0 points;
    (ii) Equal to but less than twice the national average = 1 points;
    (iii) Twice but less than three times the national average = 2 
points;
    (iv) Three but less than four times the national average = 3 
points;
    (v) Four but less than five times the national average = 4 points;
    (vi) Five or more times the national average = 5 points.
    (c) Other indicators of social and/or economic decline that best 
capture the applicant's local situation (5 points)--Examples that could 
be provided under this section are information on the community's 
stagnant or falling tax base, including recent commercial or industrial 
closings, housing conditions, such as the number and percentage of 
substandard and/or overcrowded units, rent burden (defined as average 
housing cost divided by average income) for the

[[Page 14195]]

target area, local crime statistics, etc. To the extent that the 
applicant's statewide or local Consolidated Plan, its Analysis of 
Impediments to Fair Housing choice (AI), and/or its Anti-Poverty 
Strategy identify the level of distress in the community and the 
neighborhood in which the project is to be carried out, references to 
such documents should be included in preparing the response to this 
Factor.
    (3) In rating applications under this Factor, HUD reserves the 
right to consider sources of available objective data other than, or in 
addition to, those provided by applicants, and to compare such data to 
those provided by applicants for the project site. This data includes 
the use of U.S. Census data or information received from USDA.
    (a) HUD requires use of sound and reliable data (e.g., U.S. Census 
data, State statistical reports, university studies/reports that are 
verifiable) to support distress levels cited in each application. A 
source for all information along with the publication or origination 
date must also be provided.
    (b) Updated Census data are available for the following indicators:
    (i) Unemployment rate--estimated monthly for counties, with a two-
month lag;
    (ii) Population--estimated for incorporated places and counties, 
through 2000;
    (c) Poverty rate--1990 data being the most recent available.
    (d) Demographics of Distress--Special Factors (10 points). Because 
of the concern of HUD with meeting the needs of certain underserved 
areas, you will be awarded a total of ten points if you are located in 
or propose to serve one or more of the following populations, your 
application demonstrates that 100 percent of the beneficiaries 
supported by RHED funds are in one or more of the following 
populations. You must also specifically identify how each population 
will be served and that the proposed service area meets the definition 
of ``eligible rural area'' as described in Section III(A)(2) of this 
NOFA:
    (i) Areas with very small populations in non-urban areas (2,500 
population or less);
    (ii) Seasonal farmworkers;
    (iii) Federally recognized Indian Tribes;
    (iv) Colonias;
    (v) Appalachia's Distressed Counties; or
    (vi) The Lower Mississippi Delta Region (8 States and 235 counties/
parishes). For these underserved areas, you should ensure that the 
populations that you serve and the documentation that you provide is 
consistent with the information described in the above paragraphs under 
this rating factor.

Rating Factor 3--Soundness of Approach (40 Points)

    This factor addresses the overall quality of your proposed 
workplan, taking into account the project and the activities proposed 
to be undertaken; the cost-effectiveness of your proposed program; and 
the linkages between identified needs, the purposes of this program and 
your proposed activities and tasks. In addition, this factor addresses 
your ability to ensure that a clear linkage exists between innovative 
rural housing and economic development. In assessing cost-
effectiveness, HUD will take into account your staffing levels, 
beneficiaries to be served, a timetable for the achievement of program 
outcomes, the delivery of products and reports and any anticipated 
outcomes or products. You will receive a greater number of points if 
your workplan is consistent with the purpose of the RHED program, your 
program goals and the resources provided.
    (a) (20 points) Management Plan. A clearly defined management plan 
which identifies each of the projects and activities you will carry out 
to further the objectives of this program; describes the linkage 
between rural housing and economic development activities; and 
addresses the needs identified in Factor 2, including needs that had 
been previously identified in a statewide or local Analysis of 
Impediments to Fair Housing Choice (AI) or Consolidated Plan. The 
populations that were described in Rating Factor 2 for the purpose of 
documenting need should be the same populations which will receive the 
primary benefit of the activities, both immediately and longterm. The 
benefits should be affirmatively marketed to those populations least 
likely to apply for and receive these benefits without such marketing. 
Your timetable should address the measurable goals and objectives to be 
achieved through the proposed activities; the method you will use for 
evaluating and monitoring program progress with respect to those 
activities and the method you will use to ensure that the activities 
will be completed on time and within your proposed budget estimates. 
Applicants that have a clearly defined management plan and which can 
produce results in less than 36 months will receive higher rating 
points for this sub-factor. Your management plan should also include 
the budget for your program, broken out for each line item. Documented 
projected cost estimates from outside sources are also required. 
Applicants should submit their workplan on a spreadsheet showing each 
project, to be undertaken and the tasks (to the extent necessary or 
appropriate) in your workplan to implement the project with your 
associated budget estimate per activity/task. Your workplan should 
provide the rationale for your proposed activities and any assumptions 
used in determining your project timeline and budget estimates. Failure 
to provide your rationale may result in an application receiving fewer 
points for lack of clarity in the proposed management plan. Applicants 
that propose as part of their workplan activities that address and 
support HUD's policy priority areas as outlined in Section (V) of this 
NOFA will receive one rating point for each of the policy priorities 
described under this sub-factor.
    (b) (15 points) Expected Outcomes. HUD encourages applicants to 
include in their workplans, program measures to ensure that goals 
established in your application can be accounted for and independently 
assessed to ensure that performance measures have been met. HUD will be 
assessing outcomes resulting from your proposed workplan for the 
likelihood it will result in measurable and achievable outcomes that 
will alleviate or address the needs described in Rating Factor 2 and 
that those outcomes can and will be sustained beyond the grant period, 
without further assistance from HUD. You must include in this sub-
factor a qualitative or quantitative description of estimated outcomes 
in order to receive points for this sub-factor. Outcomes may be 
described in terms of the estimated number of new units constructed or 
units rehabilitated; jobs retained or created; loans financed; 
individuals trained, counseled or assisted; and/or number of persons on 
welfare or under-employed trained in a career path or apprenticeship 
program.
    The exact nature of the expected outcomes will vary according to 
your proposed workplan. Applicants that propose activities to increase 
their capacity to carry out innovative rural housing and economic 
development activities should include among their projected outcomes 
performance measures for maintaining the financial health and integrity 
of the organization. Applicants that can demonstrate clearly identified 
outcomes and the means for ensuring that outcomes will be tracked and 
are likely to be achieved will receive a greater number of points under 
this sub-factor.

[[Page 14196]]

    (c) (5 points) Self-monitoring and Program Evaluation. Your 
workplan will be evaluated to ensure that you have a mechanism for 
monitoring and self-assessing your progress in meeting program goals 
and objectives, ensuring that the integrity of the use of funds is in 
accordance with OMB Cost Principles and record-keeping requirements and 
the approved program budget. Applicants that clearly define roles and 
responsibilities and steps to be taken to meet this requirement will 
receive a greater number of rating points in the evaluation. Therefore, 
your workplan should describe and identify the specific steps that you 
will take to carry out a self-monitoring function that meets these 
requirements.

Rating Factor 4--Leveraging Resources (10 Points)

    This factor addresses the extent to which applicants for any of the 
two funding categories have obtained firm commitments of financial or 
in-kind resources from other Federal, State, local, and private 
sources. For every RHED dollar anticipated, you should provide the 
specific amount of dollars leveraged. In assigning points for this 
criterion, HUD will consider the level of outside resources obtained 
for cash or in-kind services that support activities proposed in your 
application. HUD will award a greater number of points based upon a 
comparison of the extent of leveraged funds compared to the requested 
RHED grant. This criterion is applicable to both funding categories 
under this NOFA. The level of outside resources for which commitments 
are obtained will be evaluated based on their importance to the total 
program. You must provide evidence of leveraging by including in the 
application letters of firm commitment to participate from any entity, 
including your own organization, that will be providing matching funds 
to the project. Each commitment described in the narrative of this 
factor must be in accordance with the definition of ``firm commitment'' 
as defined in Section III(A)(2) of this NOFA.

Rating Factor 5--Coordination, Self-Sufficiency and Sustainability 
(10 Points)

    This factor addresses the extent to which your proposed program is 
coordinated with other ongoing and related activities in the area you 
propose to serve, how well your program outcomes result in increased 
independence and empowerment to your beneficiaries, and your 
organization's ability to becoming financially self-sustaining into the 
future absent any HUD funding.
    This factor consists of three elements:
    (1) Coordination of activities (4 points). The extent to which you 
have coordinated your activities with other known organizations that 
are not directly participating in your proposed work activities, but 
with which you share common goals and objectives and are working toward 
meeting these objectives in a holistic and comprehensive manner. The 
goal of coordination is to ensure that programs do not operate in 
isolation. The more your activities are coordinated with other ongoing 
activities in your service area, the more points you will receive.
    (2) Self-Sufficiency (3 points). The extent to which your 
application implements practical solutions within the grant term that 
result in assisting beneficiaries of grant program funds in achieving 
independent living, economic empowerment, educational opportunities, 
housing choice or improved living environments which are free from 
environmental hazards such as lead hazards, brownfields, overcrowded 
housing, etc. Applicants that clearly describe the extent to which 
proposed activities result in increased independence and empowerment 
for their beneficiaries will receive higher points in this sub-factor.
    (3) Sustainability (3 points). The extent to which your program 
exhibits the potential to be financially self-sustaining by decreasing 
dependence on RHED funding and relying more on state, local, and 
private funding so your activities can be continued after your grant 
award is complete. Applicants that demonstrate a reduced dependence on 
RHED funds over the life of their award will receive a greater number 
of rating points for this sub-factor.

RC/EZ/EC Bonus Points (2 points)

    HUD will award two bonus points to all applications that include 
documentation stating that the proposed eligible activities/projects 
will be located in and serve Federally designated Rural Renewal 
Communities, Rural Empowerment Zones or Enterprise Communities (Rural 
EZs/ECs). A listing of Federally designated Rural RCs, EZs and ECs is 
available on the Internet at http://www.hud.gov.

VII. Application Submission Requirements

    (A) Form of Application. All pages of the application shall be 
numbered sequentially. Your application must include an original and 
two copies of the items listed below.
    (B) Application Items. Your application must contain the items 
listed in this section. These items include the standard forms and non-
standard certifications that can be found in the Appendices to this 
program section of the SuperNOFA. The items are as follows:
    (1) A transmittal letter;
    (2) A table of contents;
    (3) A signed SF-424 (application form);
    (4) A budget for all funds (Federal and Non-Federal) and a 
breakdown of all Federal funds requested, in the format provided in 
Appendix A of this NOFA;
    (5) Documentation of funds pledged in support of Rating Factor 4--
``Leveraging Resources'' (which will not be counted in the 15 page 
limitation);
    (6) The required certifications (signed, as appropriate, and 
attached as an Appendix);
    (7) Acknowledgment of the Application Receipt form (submitted with 
application and returned to you as verification of timely receipt).
    (8) If you are a private nonprofit organization, a copy of your 
organization's IRS ruling providing tax-exempt status under section 501 
of the IRS Code of 1986, as amended.
    (9) The attached forms specifying:
    (a) Which category of funds, as described in Section II(C), you are 
applying for.
    (b) Which of the five definitions of the term ``rural area'' set 
forth in Section III(A)(2) of this NOFA applies to the proposed service 
area and accompanying documentation as indicated on the form; and
    (10) The Environmental Review Assurance.
    (11) Narrative Response to Factors for Award
    (a) You must describe your organization and the assignment of 
responsibilities for the work to be carried out under the grant (Rating 
Factor 1).
    (b) You must describe the need and extent of the problem and 
populations to be served (Rating Factor 2).
    (c) You must submit a workplan which describes your soundness of 
approach and the clear linkage between rural housing and economic 
development (Rating Factor 3). In addressing this submission 
requirement, you must:
    (i) Describe the activities you propose to undertake to address the 
needs which have been identified, the linkage between rural housing and 
economic development, and describe the specific outcomes you expect to 
achieve.
    (ii) Include a management plan which identifies the specific 
actions you will

[[Page 14197]]

take to complete the proposed activities on time and a budget in the 
format provided which explains the uses of both Federal and non-Federal 
funds and the period of performance under the grant.
    (iii) Include a discussion of the process by which the work 
accomplished with the grant will be evaluated to determine if the 
objectives of the grant were met.
    (d) You must identify the resources which will be leveraged by the 
amount of this grant's funding that you are requesting. (Rating Factor 
4). To receive the maximum number of points under Rating Factor 4 you 
must provide evidence of firm commitments. The commitment can be 
contingent upon HUD site approval following environmental review.
    (e) You must describe the extent to which your program reflects a 
coordinated, community based process of identifying needs and building 
a system to address these needs, providing program beneficiaries 
outcomes resulting in increased independence and empowerment, and the 
potential for your organization to become financially self-
sustaining.(Rating Factor 5).
    The total narrative response to all factors should not exceed 15 
pages and must be submitted on 8.5'' by 11'' paper, using a 12 point 
font size, with lines double spaced and printed only on one side. 
Please note that although submitting pages in excess of the page limit 
will not disqualify your application, HUD will not consider or review 
the information on any excess pages, which may result in a lower score 
or failure to meet a threshold.

VIII. Corrections to Deficient Applications

    The General Section of the SuperNOFA provides the procedures for 
corrections to deficient applications. After the application due date, 
HUD may not, consistent with its regulations in 24 CFR part 4, subpart 
B, consider any unsolicited information you, the applicant, may want to 
provide. HUD may contact you, however, to clarify an item in your 
application or to correct technical deficiencies. You should note, 
however, that HUD may not seek clarification of items or responses that 
improve the substantive quality of your response to any eligibility or 
selection factors. Examples of curable (correctable) technical 
deficiencies include your failure to submit the proper certifications 
or your failure to submit an application that contains an original 
signature by an authorized official. In each case, HUD will notify you 
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 
5 calendar days of the date of receipt of the HUD notification. If your 
deficiency is not corrected within this time period, HUD will reject 
your application as incomplete, and it will not be considered for 
funding.

Catalog of Federal Domestic Assistance

    The Catalogue of Federal Domestic Assistance number is: 14.250

IX. Authority

    The Departments of Veterans Affairs and Housing and Urban 
Development, and Independent Agencies Appropriations Act, 2002 Pub.L. 
107-73, approved November 26, 2001).

Appendix A

    The standard and non-standard forms that follow are required for 
your RHED application.
BILLING CODE 4210-32-C

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[[Page 14207]]



FUNDING AVAILABILITY FOR PUBLIC HOUSING RESIDENT OPPORTUNITIES AND 
SELF SUFFICIENCY (ROSS) PROGRAM

PROGRAM OVERVIEW

    Purpose of Program. The purpose of the Public Housing Resident 
Opportunities and Self Sufficiency (ROSS) Program is to link services 
to public and Indian housing residents by providing grants for 
supportive services, resident empowerment activities and activities to 
assist residents in becoming economically self-sufficient.
    Available Funds. A total of $80.1 million; approximately $70 
million from FY 2002 funds and $10.1 million in carryover funding.
    Eligible Applicants. Public Housing Agencies (PHAs), resident 
management corporations (RMCs), resident councils (RCs), resident 
organizations (ROs), Intermediary Resident Organizations (IROs), City-
Wide Resident Organizations (CWROs) and nonprofit entities supported by 
residents. Indian tribes (tribes) and tribally designated housing 
entities (TDHEs) are eligible for grants under the Resident Management 
and Business Development (RMBD), Capacity Building (CB), and Resident 
Service Delivery Models (RSDM) funding categories. Tribes and TDHEs are 
not eligible for grants as part of Neighborhood Networks, Homeownership 
Supportive Services and renewal of public housing service coordinator 
funding categories.

Application Deadline for ROSS Funding Categories.

May 14, 2002 for Resident Management and Business Development;
May 14 2002 for Capacity Building;
June 18, 2002 for Resident Service Delivery Models;
July 10, 2002 for Homeownership Supportive Services;
July 10, 2002 for Neighborhood Networks Centers; and
May 14, 2002 for Public Housing Service Coordinator.

    Match. At least 25 percent of the grant amount is required as the 
grant match. This match does not have to be a cash match. The match can 
be in-kind and/or cash contributions.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under any of these 
programs, please review carefully the General Section of this SuperNOFA 
and the following additional information.

I. Application Due Date, Application Kits, Further Information and 
Technical Assistance.

    Application Due Date. Your completed application (one original and 
two copies is due on or before 12:00 midnight, Eastern time, on the 
following application due dates to HUD Headquarters at the address 
shown below.

May 14, 2002 for Resident Management and Business Development;
May 14, 2002 for Capacity Building;
June 18, 2002 for Resident Service Delivery Models;
July 10, 2002 for Homeownership and Supportive Services;
July 10, 2002 for Neighborhood Networks Centers; and
May 14, 2002 for Renewal of Public Housing Service Coordinator grants.

    See the General Section of this SuperNOFA for specific procedures 
governing the form of application submission (e.g., mail application, 
express mail, overnight delivery, or hand-carried).
    New Security Procedures. HUD has implemented new security 
procedures that impact on application submission procedures. Please 
read the following instructions carefully and completely. HUD will not 
accept hand delivered applications. Applicants must comply with the 
procedures included in the General Section of the SuperNOFA. Address 
for Submitting Applications. You must submit your completed ROSS 
Program application (the original and two copies) to the Grants 
Management Center (GMC), 501 School Street, SW., Suite 800, Washington, 
DC 20024, by mail using the United States Postal Service (USPS) or it 
may be delivered only via the following four carrier services: United 
Parcel Service (UPS), FedEx, DHL, or Falcon Carrier. Delivery by these 
services must be made during HUD's Headquarters business hours, between 
8:30 am and 5:30 pm Eastern Standard Time, Monday to Friday. If these 
companies do not service your area, you must submit your application 
via the United States Postal Service. All mailed applications must be 
postmarked on or before midnight of their due date and received within 
15 days of the due date.
    In the case of tribes/TDHEs, please submit your completed 
application (the original and two copies) to Denver Program Office of 
Native American Programs (DPONAP), 1999 Broadway, Suite 3390, Denver, 
CO 80202, by mail using the United States Postal Service (USPS) or it 
may be delivered only via the following four carrier services: United 
Parcel Service (UPS), FedEx, DHL, or Falcon Carrier. Delivery by these 
services must be made during HUD's business hours, between 8:30 am and 
5:30 pm Eastern Standard Time (or Mountain Standard Time for Tribes/
TDHEs), Monday to Friday. If these companies do not service your area, 
you must submit your application via the United States Postal Service. 
All mailed applications must be postmarked on or before midnight of 
their due date and received within 15 days of the due date.
    For Application Kits. For an application kit and any supplemental 
material, 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. When requesting an application kit, 
please refer to the ROSS Program, and provide your name, address 
(including zip code) and telephone number (including area code). An 
application kit is also available on the Internet through the HUD web 
site at http://www.hud.gov/grants.
    For Further Information and Technical Assistance. You may contact 
the local HUD field office or you may call the Public and Indian 
Housing Information and Resource Center at 
1-800-955-2232. In the case of tribes/TDHEs, please contact the Local 
Area DPONAP or Carol Quinlan, DPONAP, Denver Program Office at 1-800-
561-5913 or (303) 675-1600 (this is not a toll free number).
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD web site at http://www.hud.gov/grants.

II. Amount Allocated

    (A) Total Amount. A total amount of $80.1 million is allocated for 
this NOFA. This amount is comprised of $70 million from the FY 2002 
Departments of Veterans Affairs and Housing and Urban Development, and 
Independent Agencies Appropriations Act of 2001, and $10.1 million in 
carryover funding. For FY 2002, approximately $55 million is available 
for the Resident Opportunities and Self Sufficiency Program under 
Section 34 of the U.S. Housing Act of 1937, and $15 million is 
available from the Public Housing Capital Fund for Neighborhood 
Networks in public housing developments. The $10.1 million in carryover 
funding is composed of approximately $8.2 million from FY 1998 and FY 
1999 carryover funding is being used from the Public Housing

[[Page 14208]]

Capital Fund, and an additional $1.9 million is carried over from the 
FY 2000 Community Development Block Grant fund. The $8.2 million is 
composed of approximately $2.6 million from the Departments of Veterans 
Affairs and Housing and Urban Development and Independent Agencies 
Appropriations Act of 1998 and approximately $5.6 million from the 
Departments of Veterans Affairs and Housing and Urban Development and 
Independent Agencies Appropriations Act of 1999.
    (B) Allocation. To the extent that there are a sufficient number of 
qualified applications, not less than 25 percent of funds available for 
ROSS shall be provided directly to Resident councils (RCs), Resident 
Organizations (ROs), Resident Management Corporations (RMCs), 
Intermediary Resident Organizations (IROs), tribes/TDHEs on behalf of 
tribal residents and City-Wide Resident Organizations (CWROs). This 
requirement will be implemented by the awards made to resident 
organizations for the Resident Management and Business Development, 
Capacity Building, and the Resident Service Delivery Models funding 
categories.
    (C) Funding Categories and Funds Allocated to Each Category. The 
funding categories under ROSS and the amount allocated for each funding 
category are as follows:
    (1) Resident Management and Business Development (RMBD). A total of 
$6 million is allocated for this funding category.
    (i) Grants will be made directly to site-basedRAs/ROs, RMCs, CWROs, 
and to tribal ROs, tribal RMCs, tribes/TDHEs that partner with tribal 
ROs and tribal RMCs to: increase resident involvement and participation 
in their housing developments; develop resident management 
opportunities; provide resident-led business or cooperative development 
opportunities; and obtain necessary supportive services for self-
sufficiency.
    (ii) The maximum grant award for this funding category is $100,000 
per applicant.
    (2) Capacity Building (CB). A total of $5 million is allocated for 
this funding category, described below:
    (i) CB grants will be made to Intermediary Resident Organizations 
(IROs), tribes/TDHEs on behalf of tribal housing residents, tribal ROs, 
tribal RMCs, and non-profits which operate associations and networks 
that administer programs benefiting resident organizations. These 
grants 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.
    (ii) You may apply for funding that will be used to assist public 
and tribal housing residents in establishing a new resident 
organization or you may apply for funds to help or enhance the capacity 
of existing resident organizations to enable residents to participate 
in housing agency decision-making, manage all or a portion of their 
housing developments, and/or apply for and administer grants.
    (iii) The maximum amounts for CB grants are: $100,000 for CWROs or 
tribes/TDHEs per applicant, and $240,000 per applicant for all other 
eligible applicants. Applicants are required to allocate at least two-
thirds of the total grant to direct funding of CB activities for site-
based RAs/ROs and/or tribal ROs. CWROs or tribes/TDHEs are required to 
serve a minimum of 3 RAs and/or tribal ROs. All other applicants are 
required to serve a minimum of 10 RAs and/or tribal ROs.
    (3) Resident Service Delivery Models (RSDM). A total of $22.9 
million is allocated for this category of funding. The Resident Service 
Delivery Models (RSDM) funding category provides grants to Public 
Housing Agencies (PHAs), tribes/TDHEs or directly to resident 
management corporations, resident councils, or resident organizations, 
and nonprofit entities supported by residents. There are two sub-
categories of grants under this funding category: Family Grants for 
program-related activities and supportive services to establish and 
implement comprehensive programs that achieve resident self-sufficiency 
for families; and Elderly and Persons with Disabilities Grants for 
independent living for the elderly and persons with disabilities.
    (a) RSDM Family sub-category.
    (i) Maximum grant amount. For RSDM, the maximum grant amounts are 
as follows:
    For PHAs applying for family grants, the maximum grant application 
award will be based on the number of occupied family conventional 
public housing units. Tribes/TDHEs applying for RSDM should refer to 
section III (e) of this NOFA for computation of units for the maximum 
grant amount.
    (ii) For the RSDM family category, PHAs must use the number of 
occupied conventional family public housing units to determine the 
maximum grant amount in accordance with the categories listed below for 
families:

-- For PHAs with 1 to 780 occupied family units, the maximum grant 
award is $250,000.
-- For PHAs with 781 to 7,300 occupied family units, the maximum grant 
award is $500,000.
--For PHAs with 7,301 or more occupied family units, the maximum grant 
award is $1,000,000.

    (b) RSDM Elderly and persons with disabilities sub-category.
    (i) Maximum grant amount. For the Elderly and Persons with 
Disabilities RSDM Category, PHAs must use the number of occupied 
elderly conventional public housing units to determine the maximum 
awards listed below:

-- For 1 to 217 units occupied by elderly residents and persons with 
disabilities, the maximum grant award is $100,000.
-- For 218 to 1,155 units occupied by elderly residents and persons 
with disabilities, the maximum grant award is $200,000.
-- For 1,156 or more units occupied by elderly residents and persons 
with disabilities, the maximum grant award is $300,000.

    (c) The maximum grant award is $100,000 for each RA.
    (d) Nonprofit entities supported by residents or RAs/ROs are 
limited to $100,000 for each RA/RO. A non-profit may submit a single 
application for no more than three different RAs for a maximum grant 
award of $300,000.
    (e) Tribes/TDHEs should use the number of units counted as Formula 
Current Assisted Stock for Fiscal Year 2001 as defined in 24 CFR 
1000.316. Tribes who have not previously received funds from the 
Department under the 1937 Housing 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, 2001 for either family 
or elderly/disabled units.
    (4) Homeownership Supportive Services (HSS). A total of $11.2 
million is allocated for this funding category.
    (i) This funding category provides grants for a targeted group of 
public housing residents who were beneficiaries of previously awarded 
ROSS grants, and public housing Family Self-Sufficiency participants 
funded through operating subsidy. This funding category recognizes the 
improved earning capacity of residents participating in self-
sufficiency programs and provides the support necessary to achieve 
increased opportunities for homeownership for public housing residents 
through housing choice vouchers. Under this funding category, PHAs will 
receive grants for counseling and other supportive services to achieve

[[Page 14209]]

homeownership for public housing residents. PHAs will design and 
develop homeownership supportive services for public housing residents. 
These supportive services shall comprehensively address the needs 
identified by the PHA for public housing families to obtain 
homeownership.
    (ii) Grants will be made to PHAs. Tribes/TDHEs are not eligible 
applicants for the HSS.
    (iii) For the Homeownership Supportive Services grants, PHAs must 
use the number of occupied conventional family public housing units to 
determine the maximum grant amount in accordance with the categories 
listed below for families:

-- For PHAs with 1 to 780 occupied family units, the maximum grant 
award is $300,000.
-- For PHAs with 781 to 7,300 occupied family units, the maximum grant 
award is $400,000.
-- For PHAs with 7,301 or more occupied family units, the maximum grant 
award is $500,000.

    (5) Neighborhood Networks (NN). A total of $15 million is allocated 
for this funding category. Of this funding, $12 million will provide 
grants to PHAs to establish and operate new Neighborhood Networks 
Centers for public housing residents; and $3 million will provide 
funding to update and expand existing computer technology centers to 
become Neighborhood Networks centers. Computer centers operating in 
public housing developments or planned for public housing developments 
will receive assistance to secure the necessary space, computer 
hardware, software and peripherals necessary to operate self-sustaining 
NN centers. Conversion to NN centers will be part of the proposed grant 
for existing and new computer centers.
    (i) For new NN centers, PHAs must use the number of occupied 
conventional family public housing units to determine the maximum grant 
amount in accordance with the categories listed below for families:

-- For PHAs with 1 to 780 occupied family units, the maximum grant 
award is $150,000.
-- For PHAs with 781 to 7,300 occupied family units, the maximum grant 
award is $250,000.
-- For PHAs with 7,301 or more occupied family units, the maximum grant 
award is $450,000.

    (ii) To update and expand new and existing technology centers, PHAs 
must use the number of occupied conventional family public housing 
units to determine the maximum grant amount in accordance with the 
categories listed below for families:

-- For PHAs with 1 to 780 occupied family units, the maximum grant 
award is $50,000.
-- For PHAs with 781 to 7,300 occupied family units, the maximum grant 
award is $100,000.
-- For PHAs with 7,301 or more occupied family units, the maximum grant 
award is $200,000.

    (6) Service Coordinator Renewals. A total of $20 million is 
allocated for this funding category.
    (i) The Service Coordinator Renewal category provides grants to 
PHAs to address the needs of public housing residents who are elderly 
and persons with disabilities. Service coordinators help residents 
obtain supportive services that are needed to maintain independent 
living. Only renewals of FY 1995 Public Housing Elderly and Persons 
with Disabilities Service Coordinator grants will be funded under this 
ROSS competition; no applications for new Service Coordinator grants 
will be accepted.
    (ii) These funds may only be used as follows:

-- Renewal of existing Service Coordinator (SC) grants from FY 1995. 
This limitation is imposed to achieve Congressional intent to renew all 
service coordinator and congregate services grants.
-- For the Elderly and Persons with Disabilities Service Coordinators 
category, award amounts cannot be higher than your highest funding and 
staffing level for any one-year period that was approved for their last 
funded Service Coordinator Grant. An increase of up to 2 percent over 
this amount will be allowed if supported by a narrative justification.

    (D) Transfer of Funds. Funds for Neighborhood Networks centers may 
not be transferred to any other funding category within this NOFA. If 
all funds are not awarded in the RMBD, CB, HSS, SC funding categories, 
funds will be transferred to the RSDM funding category in this 
competition.
    (E) Number of Applications Permitted. PHAs applying for Service 
Coordinator Renewal grants under this program section of the SuperNOFA 
may apply for one renewal grant and three additional grants in the NN, 
HSS and RSDM funding categories. RO applicants may submit a total of 
two applications for RMBD and RSDM, but not more than one application 
in any one funding category. Nonprofit applicants may submit a total of 
two applications for CB and RSDM, but not more than one application in 
any one funding category under this ROSS competition. Please read each 
funding category carefully for additional limitations.

III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. The purpose of ROSS is to assist residents 
to become economically self-sufficient by providing supportive services 
and resident empowerment activities. This program is consistent with 
the Department's goal to most effectively focus resources on ``welfare 
to work'' and on independent living for the elderly and persons with 
disabilities. HUD is looking for applications that implement practical 
solutions within the grant term, and result in improved economic self-
sufficiency for public or Indian housing residents. HUD seeks holistic 
solutions that involve the support of the entire community in providing 
self-sufficiency opportunities for residents. Therefore, HUD encourages 
you to involve elderly and persons with disabilities in activities that 
support self-sufficiency, such as child-care, mentoring, or after 
school care. This philosophy should be reflected in your proposed grant 
activities for all funding categories within this ROSS competition. 
Current experience with welfare to work programs has shown that a 
single approach or program does not always result in residents reaching 
desired self-sufficiency goals. The ROSS program permits proposed grant 
activities, which will build on or expand previous self-sufficiency 
efforts. Within the scope of the ROSS Program, proposed grant 
activities may be directed toward building on the foundation created by 
previous ROSS grants or other federal, State and local self-sufficiency 
efforts. Proposed grant activities may enhance self-sufficiency by 
providing opportunities for increased earning capacity; use of tools to 
encourage economic capacity (such as Individual Development Accounts); 
and action on resident goals to move toward homeownership. A 
description of each of the funding categories was provided in Section 
II of this program section. This section describes the eligible 
applicants and eligible activities of each funding category.
    (B) Definitions.
    City-Wide Resident Organization consists of members from Resident 
Councils, Resident Management Corporations, and Resident Organizations 
who reside in housing developments that are owned and operated by the 
same PHA within a city.

[[Page 14210]]

    Community Facility means a non-dwelling structure that provides 
space for multiple supportive services for the benefit of public or 
Indian housing residents and others eligible for the services provided. 
Services that may include but are not limited to:
    (1) Child care;
    (2) After-school activities for youth;
    (3) Job training;
    (4) Twenty/20 Education Communities (TECs) (formerly Campus of 
Learners) activities; and
    (5) 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. A signed 
Contractor Administrator Partnership Agreement must be included in your 
application. This agreement may be contingent upon you receiving a 
grant award and adherence to PHA or tribe/TDHE procurement policies. 
The contract administrator must assure that the financial management 
system and procurement procedures fully comply with 24 CFR part 84. 
Contract Administrators may be: Local Housing Agencies; community-based 
organizations such as Community Development Corporations (CDCs), 
churches, temples, synagogues, mosques; non-profits; State/Regional 
associations and organizations. Troubled PHAs are not eligible to be 
Contract Administrators.
    Firmly Committed means that the amount of resources and their 
dedication to ROSS-funded activities must be explicit, in writing and 
signed by a person authorized to make the commitment or by a person who 
certifies the commitment is by an authorized body or person. This 
written agreement may be contingent upon 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 agency;
    (2) There are no incorporated Resident Councils or Resident 
Management Corporations within the jurisdiction of the single housing 
agency;
    (3) It has experience in providing start-up and capacity-building 
training to residents and resident organizations; and
    (4) Public housing residents representing unincorporated Resident 
Councils within the jurisdiction of the single housing agency must 
comprise the majority of the board of directors.
    Tribally Designated Housing Entity (TDHE) is an entity authorized 
or established by one or more Indian tribes to act on behalf of each 
such tribe authorizing or establishing the housing entity.
    Indian Tribe means any tribe, band, nation, or other organized 
group of a community of Indians, including any Alaska native village or 
regional or village corporation as defined in or established pursuant 
to the Alaska Native Claims Settlement Act, that is recognized as 
eligible for the special programs and services provided by the United 
States to Indians because of their status as Indians pursuant to the 
Indian Self Determination and Education Act of 1975.
    Intermediary Resident Organizations means Jurisdiction-Wide 
Resident Organizations, City-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 a 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; or
    (3) Is determined to have a physical, mental, or emotional 
impairment which:
    (a) Is expected to be of long-continued and indefinite duration;
    (b) Substantially impedes his or her ability to live independently; 
and
    (c) Is of such a nature that such ability could be improved by more 
suitable housing conditions.
    The term ``person with disabilities'' does not exclude persons who 
have the disease of acquired immunodeficiency syndrome or any 
conditions arising from the etiologic agent for acquired 
immunodeficiency syndrome. In addition, no individual shall be 
considered a person with disabilities, for purposes of eligibility for 
low-income housing, solely on the basis of any drug or alcohol 
dependence.
    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.
    Program Coordinator is a person who is responsible for coordinating 
various proposed activities to ensure that their accomplishment will 
assist in achieving the overall grant goals and objectives.
    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 PHA/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 ROSS grants to be registered with the State 
at the time of application submission.) The following also applies to 
resident councils:
    (1) The RC 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

[[Page 14211]]

of the voting membership's desire for a recall election, and set the 
percentage of voting membership that 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) The RC 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 names appear on a lease for 
the unit in the public housing that the resident council represents.
    (3) The RC may represent residents residing in:
    (a) Scattered site buildings in areas of contiguous row houses;
    (b) One or more contiguous buildings;
    (c) A development; or
    (d) 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) The RRO is regional (i.e., not limited by HUD Areas);
    (2) The RRO 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 PHA and HUD:
    (1) The RMC shall be a nonprofit organization that is validly 
incorporated under the laws of the State in which it is located;
    (2) The RMC may be established by more than one RC, so long as each 
such council:
    (a) Approves the establishment of the corporation; and
    (b) Has representation on the Board of Directors of the 
corporation.
    (3) The RMC shall have an elected Board of Directors, and elections 
must be held at least once every 3 years;
    (4) The RMC's 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) The RMC's voting members shall be heads of households (any age) 
and other residents at least 18 years of age and whose names 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) The RMC may serve as both the RMC and the RC, so long as the 
corporation meets the requirements of 24 CFR part 964 for an RC.
    Resident Organization (RO) for tribal entities means an 
incorporated or nonprofit tribal organization or association that meets 
each of the following criteria:
    (1) It shall consist of residents only, and only residents may 
vote;
    (2) If it represents residents in more that one development or in 
all of the developments of the tribal/TDHE community, it shall fairly 
represent residents from each development that it represents;
    (3) It shall adopt written procedures providing for the election of 
specific officers on a regular basis; and
    (4) It shall have democratically elected a governing board. The 
voting membership of the board shall consist solely of the residents of 
the development or developments that the tribal RO represents.
    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) The SRO is Statewide;
    (2) The SRO 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.
    Tribal/TDHE Resident Group means tribal/TDHE resident groups that 
are democratically elected groups such as IHA-wide resident groups, 
area-wide resident groups, single development groups, or resident 
management corporations (RCMs).
    (C) Resident Management and Business Development (RMBD). This 
funding category makes grants to establish and strengthen 
organizational capacity for site-based resident organizations that do 
not have the capacity to administer a welfare to work program or 
conduct management activities, conduct training or implement business 
development.
    (1) Eligible applicants. Site-Based Resident Associations (RAs), 
tribes/TDHES, tribes/TDHEs that partner with tribal ROs or tribal RMCs 
and City-Wide Resident Organizations (CWROs). If you are an RA/RO that 
is a beneficiary or recipient of proposed grant activities by a CWRO/
TDHE, then you cannot also apply under this category. You may only 
submit one application under this funding category.
    (2) Eligible participants. Program participants must be residents 
of conventional public housing or Indian housing programs. You must 
provide a certification that at least 51 percent of those served by 
your proposed activities are residents affected by welfare reform.
    (3) Eligible Activities. Funding is limited to the following 
activities below:
    (a) Training related to resident-owned business, cooperative 
development, resident property management and technical assistance for 
job training and placement in housing developments. Proposed grant 
activities may include but are not limited to: 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 or cooperative.
    (b) Establishing and funding revolving loan funds. Revolving loan 
funds cannot be used for acquisition, disposition, or physical 
development;
    (c) Training residents, as potential employees of an RMC, in skills 
directly related to the operation, management, maintenance and 
financial systems of a development;
    (d) Training residents with respect to fair housing requirements; 
and
    (e) Gaining assistance in negotiating management contracts and 
designing a long-range planning system.
    (f) Providing social support needs (such as self-sufficiency and 
youth initiatives) including:
    (g) Feasibility studies to determine training and social services 
needs;
    (h) Training in management-related trade skills, computer skills, 
and similar skills;

[[Page 14212]]

    (i) Management-related employment training and counseling including 
job search assistance, job development assistance, job placement 
assistance, and follow up assistance;
    (j) Supportive services including: child care services; educational 
services, remedial education, literacy training, ESL instruction, 
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;
    (k) Training for programs such as childcare, early childhood 
development, parent involvement, volunteer services, parenting skills, 
before and after school programs;
    (l) Training programs on health, nutrition, safety and substance 
abuse. Food costs that are directly attributable to the nutrition and 
health training are eligible grant expenditures. These are not food 
costs associated with entertainment.
    (m) 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 can 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. Proposed activities may include 
training in the development of strategies to successfully implement a 
youth program. For example, assessing the needs and problems of youth, 
improving youth initiatives that are currently active, and training 
youth, housing agency staff, resident management corporations and 
resident councils or resident organizations on youth initiatives and 
program activities;
    (n) Physical improvements to facilities at public or tribal housing 
developments to provide space for self-sufficiency activities for 
residents, i.e. to provide cosmetic improvements and repairs to space 
to conduct community activities; or to expand existing community space 
for your proposed ROSS activities or modifications for accessibility 
for persons with disabilities. Renovation, conversion, and repair costs 
may be essential parts of physical improvements. In addition, 
architectural, engineering, and related professional services required 
to prepare architectural plans or drawings, write-ups, specifications 
or inspections may also be part of the cost components to implement 
physical improvements. Your physical improvements may not exceed 50 
percent of the total grant amount and must be directly related to 
providing space for self-sufficiency activities for residents. Refer to 
Office of Management and Budget (OMB) Circular A-87, Cost Principles 
for State, Local and Indian Tribal Governments; all renovations must 
meet appropriate accessibility requirements, including Section 504 
requirements at 24 CFR part 8, Architectural Barriers Act at 24 CFR 
part 40, the Americans with Disabilities Act and the Fair Housing Act.
    (i) The renovation, conversion, or combination of vacant dwelling 
units in a PHA or tribal development to create common areas to 
accommodate the provision of supportive services is an eligible 
activity for physical improvements.
    (ii) The renovation of existing common areas in a PHA or tribal 
development to accommodate the provision of supportive services.
    (iii) The renovation or repair of facilities located near the 
premises of one or more PHA or tribal developments to accommodate the 
provision of supportive services.
    (iv) If renovation, conversion, or repair is done off-site, the 
PHA, tribe or owner must provide documentation that it has control of 
the proposed property for not less than 2 years and preferably for 4 
years or more. Control can be evidenced through a lease agreement, 
ownership documentation, or other appropriate documentation.
    (4) Ineligible Resident Management and Business Development 
Activities and Costs.
    (a) Entertainment, including associated costs such as food and 
beverages, except normal per diem for meals related to travel performed 
in connection with implementing the Work Plan. A travel budget limit of 
a maximum of $5,000 is allowed to support travel expenses. These travel 
expenses must directly pertain to travel related to work plan 
implementation.
    (b) Purchase or rental of land.
    (c) 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).
    (d) Purchase of any vehicle (car, van, bus, etc.).
    (e) Payment of salaries for routine project operations, such as 
security and maintenance, or for applicant staff, except that a 
reasonable amount of grant funds may be used to hire a person to 
coordinate the Resident Management and Business Development grant 
activities or coordinate on-site social services.
    (f) Payment of fees for lobbying services.
    (g) Any expenditures that are fraudulent, wasteful or otherwise 
incurred contrary to HUD or OMB directives.
    (h) Any cost otherwise eligible under this program section of the 
SuperNOFA for which funds are being provided from any other source.
    (i) Entertainment equipment such as televisions, radios, stereos, 
and VCRs. An exception to this item may be granted by the HUD Field or 
DPONAP Office if funding is being utilized specifically for the 
purposes of establishing a business directly related to radio, 
television or film or some other form of technical communication, and 
equipment is being utilized for training of residents, ROs or RAs. All 
such exceptions must be authorized in writing by the HUD Field or 
DPONAP Office before purchases may be made.
    (j) The cost of application preparation is not eligible.
    (5) Supporting Information. The following information may be useful 
in developing proposed grant activities and costs:
    (a) Training. Training activities may include training on HUD 
regulations and policies governing the operation of low-income public 
or Indian housing including contracting/procurement regulations; 
financial management; job and business development training; 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. Resident grantees must ensure 
that all training is provided by a qualified public housing or 
management specialist (Consultant/Trainer), HUD Headquarters, Field or 
DPONAP staff, or the local PHA or tribe /TDHE. A qualified trainer is 
one who has a high degree of working program knowledge. To ensure the 
successful implementation of the grant Work Plan activities, you are 
required to determine the need to contract for outside consulting/
training services. You and the PHA or tribe/TDHE must jointly select 
and approve the consultant/trainer. Your application should make 
maximum use of your PHA, non-profit, 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 14213]]

exceed 30 percent of your total grant amount or $30,000, whichever is 
less. The amount available for all consultants and contracts should not 
exceed 50 percent of your grant amount or $50,000, whichever is less. 
HUD Field or DPONAP Offices will monitor this process to ensure 
compliance with program and OMB requirements, and particularly the 
requirement for competitive bidding. You must use performance-based 
contracting, which requires that fees be paid in exchange for goods and 
services actually delivered. For example, a trainer would be paid for 
the number of residents that were trained, i.e., performance, 
regardless of the maximum dollar amount quoted in the contract.
    (c) Stipends. Trainees and program participants of an RA, RO or 
CWRO, may receive stipends for participating in or receiving training 
under Resident Management to cover reasonable costs related to 
participation in training and other activities in your program, subject 
to the availability of funds. The stipends should be used for 
additional costs incurred during the training programs, such as 
childcare and transportation costs. The cost of stipends may not exceed 
$200 per month per trainee without written HUD Field or DPONAP Office 
authorization.
    (d) Reimbursement of Reasonable Expenses. 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. Travel directly related to the successful completion of 
your required Work Plan adhere to the travel policy that sets travel 
costs at a maximum amount of $5,000 per RA or RO without special HUD 
approval.
    (f) Child-Care Expenses. Childcare expenses for individual staff, 
board members, or residents in cases where those who need child care 
are involved in training-related activities associated with your grant 
activities.
    (g) Costs incurred by a RA or RO in applying for 501(c) tax-exempt 
status with the Internal Revenue Service. Please refer to the Internal 
Revenue Service (IRS) Publication 557, which describes the requirements 
for section 501(c) tax exempt organizations and list the applicable 
forms required.
    (h) Administrative costs. These costs are necessary for the 
implementation of your grant activities. Administrative costs are not 
to exceed 20 percent of the grant. Appropriate administrative costs 
include, but are not limited to, the following reasonable costs or 
activities:
    (i) Space and equipment. Maintenance, utility costs, postage, 
building lease/rental costs, purchase or lease of telephone, computer, 
printing, copying, and sundry non-dwelling equipment (such as office 
supplies, software, and furniture). If appropriate, you may also 
include rental or lease of a car, van, or bus by resident grantees to 
attend training. You must justify the need for this equipment or space 
based on services being delivered in relationship to implementing your 
approved grant activities;
    (6) Grant term. The grant term for Resident Management and Business 
Development grants is thirty-six months from the execution date of your 
grant agreement.
    (D) Capacity Building.
    (1) Eligible applicants. (a) Intermediary Resident Organizations 
(IROs) on behalf of public or Indian housing residents, which include 
Public Housing Site-Based Resident Councils, Resident Organizations and 
Resident Management Corporations, may apply for Capacity Building (CB) 
grants. IROs include National Resident Organizations, Statewide 
Resident Organizations, Regional Resident Organizations, City-Wide 
Resident Organizations, and Jurisdiction-Wide Resident Organizations.
    (b) Non-profits that operate as associations or networks that 
administer programs that benefit public or Indian housing resident 
organizations are also eligible for this funding category.
    (2) Eligible activities. Eligible activities for CB grants may 
include, but are not limited to:
    (a) Training for Resident Advisory Board Members and Resident 
representatives that serve on the PHA Board of Directors, and for 
resident Board members in community organizing, Board development, and 
leadership training;
    (b) Assessing the feasibility of training existing resident groups 
for resident management or for a specific resident management project;
    (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) Developing the management capabilities of existing resident 
organizations; and
    (e) Determining the feasibility of homeownership by residents, 
including assessing the feasibility of other housing (including HUD-
owned or held single or multi-family) affordable for purchase by 
residents.
    (3) Ineligible Activities. Ineligible activities are the same as 
those listed in Section III(C)(4) of this program section of the 
SuperNOFA, above.
    (a) In addition, physical development activities are not eligible 
for funding under CB grants.
    (b) The cost of application preparation is not eligible.
    (4) Administrative costs may include, but are not limited to, 
purchase of furniture, office equipment and supplies, training, quality 
assurance, travel, and utilities. Administrative costs must not exceed 
20 percent of the total grant costs.
    (5) Grant term. The grant term for Capacity Building grants is 
thirty-six months from the execution date of the grant agreement.
    (E) Resident Service Delivery Models (RSDM).
    (1) Eligible Applicants. (a) Family. This funding category provides 
grants to PHAs, tribes/TDHEs, resident management corporations, 
resident councils, resident organizations, and nonprofit entities 
supported by residents, to enable them to establish and implement 
comprehensive programs that assist residents in becoming self-
sufficient.
    (b) Elderly and Persons with Disabilities. PHAs, tribes/TDHEs and 
non-profits supported by a duly elected resident council are the only 
eligible applicants in providing supportive services for the elderly 
and persons with disabilities.
    (c) IROs with 501(c) status may apply as non-profit entities under 
this funding category.
    (2) Number of RSDM Applications Permitted.
    (a) General. A PHA or tribe/TDHE must submit an application either 
for a family or an elderly grant. ROs or RCs must submit one 
application for a family grant; and non-profits may submit one 
application for a family or elderly grant representing up to three 
public or Indian housing resident groups.
    (b) Joint applications. Two or more applicants may join together to 
submit a joint application for proposed grant activities. Joint 
applications must designate a lead applicant. All parties in a joint 
application (lead or non-lead) are considered to be applying for ROSS 
and are therefore subject to the limit of one ROSS application per 
applicant, with the exception of those Public Housing Service 
Coordinator renewal applicants that may also apply in one additional 
ROSS category. Both lead and non-lead applicants are subject to 
threshold requirements. Joint applications may include PHAs, RAs, IROs, 
Tribes/TDHEs, and nonprofit entities on behalf of resident 
organizations. Joint

[[Page 14214]]

applications must also provide evidence of resident support. The 
maximum funding for joint applications cannot exceed the sum of the 
individual grants as specified above. Any eligible applicant can serve 
as a lead applicant.
    (3) Eligible participants. Program participants must be residents 
of conventional public or Indian housing. You must provide a 
certification that at least 51 percent of those served by your proposed 
activities are residents affected by welfare reform.
    (4) Eligible Activities. Funds may be used for the activities 
described below for the family category.
    (a) Program Coordinator. You are encouraged to include a Program 
Coordinator for either proposed family or elderly RSDM activities for 
the entire term of your grant. A Program Coordinator is a person who is 
responsible for coordinating various proposed activities to ensure that 
their accomplishment will assist in achieving overall grant goals and 
objectives.
    (b) Physical improvements. Physical improvements to provide space 
for self-sufficiency activities for residents (i.e. to provide cosmetic 
repairs for space to conduct community activities; or to expand 
existing community space for proposed ROSS activities) or modification 
for accessibility for persons with disabilities. Renovation, 
conversion, and repair costs may be essential parts of physical 
improvements. In addition, architectural, engineering, and related 
professional services required to prepare architectural plans or 
drawings, write-ups, specifications or inspections may also be part of 
the cost components to implement physical improvements. Physical 
improvements may not exceed 50 percent of the total grant amount and 
must be directly related to providing space for self-sufficiency 
activities for residents. Refer to Office of Management and Budget 
(OMB) Circular A-87, Cost Principles for State, Local and Indian Tribal 
Governments. All renovations must meet appropriate accessibility 
requirements, including Section 504 requirements at 24 CFR part 8, 
Architectural Barriers Act at 24 CFR part 40, the Americans with 
Disabilities Act and the Fair Housing Act. Physical improvements 
include the following:
    (i) The renovation, conversion, or combination of vacant dwelling 
units in a housing development to create common areas to accommodate 
the provision of supportive services is an eligible activity for 
physical improvement;
    (ii) The renovation of existing common areas in a housing 
development to accommodate the provision of supportive services is an 
eligible activity for physical improvements;
    (iii) The renovation or repair of facilities located near the 
premises of one or more housing developments to accommodate the 
provision of supportive services is an eligible activity for physical 
improvements;
    (iv) If renovation, conversion, or repair is done off-site, you 
must provide documentation that you have control of the proposed 
property for not less than 2 years and preferably for 4 years or more. 
Control can be evidenced through a lease agreement, ownership 
documentation or other appropriate documentation.
    (c) Entrepreneurship training. Entrepreneurship training includes 
literacy training, computer skills training, and business development 
planning.
    (d) Entrepreneurship development. Entrepreneurship development 
includes entrepreneurship training curriculum and entrepreneurship 
courses.
    (e) Micro/Loan fund. Developing a strategy for establishing a 
revolving micro/loan fund and/or capitalizing a loan fund, including 
licensing, bonding, and insurance needed to operate a business. 
Revolving loan funds cannot be used for acquisition, disposition, or 
physical development.
    (f) Developing credit unions. Developing a strategy to establish 
and/or create on-site credit union(s) to provide financial and economic 
development initiatives to PHA residents. (RSDM grant funds cannot be 
used to capitalize a credit union.) The credit union can support the 
normal financial management needs of the community (i.e., check 
cashing, savings, consumer loans, micro-businesses money management, 
home buyer counseling, educational loans, and other revolving loans).
    (g) Individual development accounts. Activities or programs that 
encourage residents to contribute to matched savings accounts known as 
Individual Development Accounts (IDAs). These programs include 
financial counseling and education activities. (RSDM funds cannot be 
used as matching funds for the actual savings account).
    (h) Employment training and counseling (e.g., job training, 
establishing registered apprenticeship programs, preparation and 
counseling, job search assistance, job development and placement, and 
supportive services to support job training and apprenticeship 
activities).
    (i) Employer linkage and job placement.
    (j) Enhanced self-sufficiency programs or work initiatives. These 
programs will reinforce initial welfare to work programs and will focus 
on efforts to increase the earning capacity of residents. With a goal 
of increased resident earning capacity, additional efforts may be 
undertaken to establish or develop programs through job training, 
employment training and counseling, employer linkages and job 
placement, or other welfare to work initiatives. Activities may include 
but are not limited to assisting eligible residents in: securing 
better-paying jobs, seeking an improved work environment, preparing for 
work in a new job category, or obtaining enhanced job-related skills 
and educational training.
    (k) Family only--supportive services activities. 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. Eligible supportive services may 
include, but are not limited to:
    (1) 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;
    (2) Computer-based educational opportunities, skills training, and 
entrepreneurial activities;
    (3) Homeownership training and counseling, development of 
feasibility studies and preparation of homeownership plans/proposals;
    (4) Education including but not limited to: remedial education; 
computer skills training; career counseling; 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, and goal planning). Academic support 
shall not be limited to TANF recipients;
    (5) Youth mentoring of a type that mobilizes a potential pool of 
role models to serve as mentors to public housing youth. Mentor 
activities may include after-school tutoring, help with problem 
resolution issues, illegal drugs avoidance, job counseling, or mental 
health counseling;
    (6) Transportation costs, as necessary to enable any participating 
family member to receive available services to commute to his or her 
training or

[[Page 14215]]

supportive services activities or place of employment;
    (7) Personal well-being (e.g., family/parental development 
counseling, parenting skills training for adult and teenage parents, 
self-development counseling, support groups/counseling for victims of 
domestic violence, and/or families with a mentally ill member, etc.);
    (8) Supportive health care services (e.g., outreach and referral 
services to substance and alcohol abuse treatment and counseling, 
mental health services, wellness programs). Food costs that are 
directly attributable to the actual nutrition and health training are 
eligible grant expenditure. These are not food costs associated with 
entertainment;
    (9) Contracting for case management services or employment of case 
managers, which must ensure confidentiality about resident's 
disabilities;
    (l) Administrative costs. Administrative costs may include, but are 
not limited to, purchase of furniture, office equipment and supplies, 
quality assurance, travel, and utilities. Administrative costs must not 
exceed 20 percent of the total grant costs;
    (m) Stipends. No more than $200 per participant per month of the 
grant award may be used for stipends for active trainees and program 
participants to cover the reasonable costs related to participation in 
training and other activities.
    (5) Elderly and persons with disabilities``eligible activities. 
Supportive services activities for elderly and persons with 
disabilities activities may include, but are not limited to:
    (a) A Program Coordinator (See Section III (E) (4) (a) for a 
description);
    (b) Meal service adequate to meet nutritional need;
    (c) Assistance with daily activities;
    (d) Housekeeping aid;
    (e) Transportation services;
    (f) Health and nutrition programs, preventive health education, 
referral to community resources;
    (g) Personal emergency response;
    (h) Congregate services--includes supportive services that are 
provided in a congregate setting at a conventional public housing 
development;
    (i) Case management;
    (6) Administrative costs. Administrative costs, which may include, 
but are not limited to, purchase of furniture, office equipment and 
supplies, training, quality assurance, travel, and utilities. 
Administrative costs must not exceed 20 percent of the total grant 
costs.
    (7) Ineligible Activities. Activities for which costs are 
ineligible for funding under the RSDM funding category include:
    (a) Elderly Service Coordinator salary funding;
    (b) Payment of wages and/or salaries to participants receiving 
supportive services and/or training programs, except that grant funds 
under family RSDM may be used to hire a resident(s) as a Program 
Coordinator or to provide training program activities;
    (c) Purchase or rental of land;
    (d) New construction, materials, costs;
    (e) Purchase of vehicles; and
    (f) Cost of application preparation is not eligible.
    (8) Grant term. The grant term for Resident Service Delivery Models 
grants is thirty-six months from the execution date of the grant 
agreement.
    (F) Homeownership Supportive Services (HSS). This funding category 
makes grants to PHAs for homeownership counseling and other supportive 
services for public housing residents who have participated in self-
sufficiency programs. HSS activities including housing counseling are a 
missing link for working public housing residents to secure 
homeownership. HSS will build on the foundation of previous self-
sufficiency activities to enhance the economic benefit for residents. 
Through these self-sufficiency programs the improved earning capacity 
of residents can be recognized as a foundation for homeownership. These 
grants will provide public housing residents with critical preparation 
for moving from renting to homeownership. In addition, HSS grants will 
create a pool of residents adequately prepared to pursue homeownership 
through the housing choice voucher program or other local homeownership 
programs. Therefore, HSS supports the existing section 8 homeownership 
program activities.
    (1) Eligible Applicants. This funding category provides grants to 
PHAs for homeownership supportive services for public housing residents 
that were recipients of previously awarded ROSS grants and participates 
in the public housing Family Self Sufficiency Program funded from the 
operating fund. Tribes/TDHEs are not eligible applicants for HSS.
    (2) Eligible participants and requirements. Program participants 
must meet all of the following conditions:
    (a) This funding category is targeted to the population of public 
housing residents that were recipients/beneficiaries of previously 
awarded ROSS grants between FY 1999 and FY 2000, and participates in 
the public housing Family Self Sufficiency Program funded from the 
operating fund.
    (b) Program participants must be residents of conventional public 
housing. As the applicant you must provide a statement that all of 
those served are residents affected by welfare reform. This includes 
those residents who are currently eligible, currently receiving, or 
have received within the preceding five years, assistance or services 
funded under TANF, SSI, or food stamp program.
    (c) Where the number of targeted residents is not sufficient, the 
PHA may request a waiver to include conventional public housing 
residents, who participated in State and/or local self sufficiency 
programs in order to address homeownership needs in the local area.
    (d) ROSS families or PH FSS residents to be targeted for proposed 
grant activities must meet the following eligibility requirements: 
Demonstrate an increase over a base year in earned income of at least 
35 percent; achieve a level of income within the acceptable range for 
the local minimum income for home purchases in the local area; and 
currently reside in public housing.
    (e) PHAs must have a Section 8 Homeownership program as stated in 
24 CFR 982.625 et seq. (65 FR 55163). Those PHAs that have not elected 
to provide assistance under the voucher homeownership option (see final 
rule published September 12, 2000, 65 FR 55134), will be required to 
make such option available to eligible applicants who receive a 
voucher.
    (f) In applying for HSS, applicants will be required to offer a 
minimum of 10 housing choice vouchers per year for eligible residents 
described above.
    (3) Eligible Activities. Under this funding category, PHAs will 
design and develop homeownership supportive services for public housing 
residents. These supportive services shall comprehensively address the 
needs identified by the PHA for public housing families to obtain 
homeownership.
    (a) Eligible activities shall include but not be limited to: Pre-
purchase homeownership counseling and training; which may include 
training on such subjects as credit and financial management; credit 
repair; housing search; how to finance purchase of a home; fair 
housing; Individual Development Accounts, Real Estate Settlement 
Procedures Act (RESPA); and home maintenance.
    (b) Program Coordinator. You are encouraged to include a Program 
Coordinator for activities for the entire term of your grant. A Program

[[Page 14216]]

Coordinator is a person who is responsible for coordinating various 
proposed activities to ensure that their accomplishment will assist in 
achieving overall grant goals and objectives.
    (c) Physical improvements. Physical improvements to facilities at 
public or tribal housing developments to provide space for self-
sufficiency activities for residents, i.e. to provide cosmetic 
improvements and repairs to space to conduct community activities; or 
to expand existing community space for your proposed ROSS activities or 
modifications for accessibility for persons with disabilities. 
Renovation, conversion, and repair costs may be essential parts of 
physical improvements. In addition, architectural, engineering, and 
related professional services required to prepare architectural plans 
or drawings, write-ups, specifications or inspections may also be part 
of the cost components to implement physical improvements. Your 
physical improvements may not exceed 50 percent of the total grant 
amount and must be directly related to providing space for self-
sufficiency activities for residents. Refer to Office of Management and 
Budget (OMB) Circular A-87, Cost Principles for State, Local and Indian 
Tribal Governments; All renovations must meet appropriate accessibility 
requirements, including Section 504 requirements at 24 CFR part 8, 
Architectural Barriers Act at 24 CFR part 40, the Americans with 
Disabilities Act and the Fair Housing Act.
    (i) The renovation, conversion, or combination of vacant dwelling 
units in a PHA or tribal development to create common areas to 
accommodate the provision of supportive services is an eligible 
activity for physical improvements.
    (ii) The renovation of existing common areas in a PHA or tribal 
development to accommodate the provision of supportive services.
    (iii) The renovation or repair of facilities located near the 
premises of one or more PHA or tribal developments to accommodate the 
provision of supportive services.
    (iv) If renovation, conversion, or repair is done off-site, the 
PHA, tribe or owner must provide documentation that it has control of 
the proposed property for not less than 2 years and preferably for 4 
years or more. Control can be evidenced through a lease agreement, 
ownership documentation, or other appropriate documentation.
    (d) PHAs are strongly encouraged to partner with HUD-approved 
housing counseling agencies, or other agencies that provide housing 
counseling services.
    (e) Administrative Costs. These costs are necessary for the 
implementation of your grant activities. Administrative costs are not 
to exceed 10 percent of the grant. Appropriate administrative costs 
include, but are not limited to, the following reasonable costs or 
activities:
    (f) Space and equipment. Maintenance, utility costs, postage, 
building lease/rental costs, purchase or lease of telephone, computer, 
printing, copying, and sundry non-dwelling equipment (such as office 
supplies, software, and furniture). You must justify the need for this 
equipment or space based on services being delivered in relationship to 
implementing your approved grant activities.
    (4) Grant Term. The grant term for Homeownership supportive 
services grants is thirty-six months from the execution date of your 
grant agreement.
    (G) Neighborhood Networks. This funding category provides grants to 
PHAs to establish and/or operate Neighborhood Networks Centers that use 
computer technology and telecommunications or to update and expand 
existing computer centers. These computer centers will function as 
self-sustaining Neighborhood Networks Centers that: Increase the use of 
computer technology; reduce welfare dependency; promote economic self 
sufficiency; improve human development; provide opportunities for job 
training and development; expand educational opportunities for 
residents; develop access to health and nutrition information; and 
empower the clients they serve. All awardees will be required to 
complete the NN Business Plan and receive designation as a NN center 
within the grant term as part of proposed grant activities.
    (1) Eligible Applicants. This funding category provides grants to 
PHAs. Tribes/TDHEs are not eligible applicants for NN under this 
funding category.
    (2) Eligible Activities. Under this funding category, funds may be 
used for the following activities for either new NN or to update and 
expand existing computer centers to become NN:
    (a) Program Coordinator. You are encouraged to include a Program 
Coordinator for NN activities for the entire term of your grant. A 
Program Coordinator is a person who is responsible for coordinating 
various proposed activities to ensure that their accomplishment will 
assist in achieving overall grant goals and objectives.
    (b) Physical improvements. Physical improvements must directly 
relate to providing space for Neighborhood Networks Center activities 
for residents, including modifications for accessibility for persons 
with disabilities. Renovation, conversion, and repair costs may be 
essential parts of physical improvements. In addition, architectural, 
engineering, and related professional services required to prepare 
architectural plans or drawings, write-ups, specifications or 
inspections may also be part of the cost components to implement 
physical improvements. Your physical improvements may not exceed 20 
percent of the total grant amount and must be directly related to 
providing space for self-sufficiency activities for residents. Refer to 
Office of Management and Budget (OMB) Circular A-87, Cost Principles 
for State, Local and Indian Tribal Governments; All renovations must 
meet appropriate accessibility requirements, including Section 504 
requirements at 24 CFR part 8, Architectural Barriers Act at 24 CFR 
part 40, the Americans with Disabilities Act and the Fair Housing Act.
    (i) The renovation, conversion, or combination of vacant dwelling 
units in a PHA or tribal development to create common areas to 
accommodate the provision of a NN and supportive services is an 
eligible activity for physical improvements.
    (ii) The renovation of existing common areas in a PHA development 
to accommodate the provision of a NN and supportive services.
    (iii) The renovation or repair of facilities located near the 
premises of one or more PHA or tribal developments to accommodate the 
provision of supportive services.
    (iv) If renovation, conversion, or repair is done off-site, the 
PHA, tribe or owner must provide documentation that it has control of 
the proposed property for not less than 2 years and preferably for 4 
years or more. Control can be evidenced through a lease agreement, 
ownership documentation, or other appropriate documentation.
    (3) Maintenance and insurance costs. Include installing, training, 
and maintaining the hardware and software as well as insurance coverage 
for the space and equipment. Costs of computer hardware and software 
necessary to accommodate the needs of persons with disabilities are an 
eligible cost for this funding category.
    (4) Online computer center coordinator. Costs for implementing the 
Neighborhood Networks Center and coordinating with social and 
supportive services staff.
    (5) Security and related costs. Includes space and minor refitting, 
locks, and oversight.
    (6) Resident development and training courses. These courses may be 
on disk, through the Web, and/or presented live.

[[Page 14217]]

    (7) Distance Learning Equipment. Distance learning equipment, 
including the costs for video casting and purchase/lease/rental of 
distance learning equipment.
    (8) Administrative Costs. Administrative costs may include, but are 
not limited to, purchase of furniture, office equipment and supplies, 
training, quality assurance, travel, and utilities. Administrative 
costs must not exceed 20 percent of the total grant costs.
    (9) Grant Term. The grant term for Neighborhood Networks grants is 
thirty-six months from the execution date of the grant agreement.
    (H) Service Coordinators for Elderly and Persons with Disabilities.
    (1) Eligible Applicants. This funding category provides grants to 
PHAs with developments designated for the elderly and persons with 
disabilities, which were initially awarded in FY 1995. Tribes/TDHEs are 
not eligible for public housing service coordinator renewal grants.
    (2) Joint Applications. Two or more PHAs may join together to share 
a service coordinator and to submit joint applications. Joint 
applicants must designate a lead applicant. All joint applicants must 
be existing service coordinator grantees.
    (3) Eligible Developments. To be eligible, a development must have 
elderly residents and/or non-elderly residents with disabilities who 
together total at least 25 percent of the building's residents.
    (4) Eligible Activities. Under this funding category, funds may be 
used for the following activities:
    (a) Service Coordinator. To pay for the salary, fringe benefits, 
and related administrative costs for employing a service coordinator. A 
service coordinator is a social service staff person hired or 
contracted by the PHA. The coordinator is responsible for assuring that 
elderly residents, especially those who are frail or at risk, and those 
non-elderly residents with disabilities are linked to the supportive 
services they need to continue living independently in that 
development. The service coordinator, however, may not require any 
elderly person or person with disabilities to accept the supportive 
services. For the purposes of this program, a service coordinator is 
any person who is responsible for one or more of the following 
functions:
    (i) Working with community service providers to coordinate the 
provision of services and to tailor the services to the needs and 
characteristics of eligible residents;
    (ii) Establishing a system to monitor and evaluate the delivery, 
impact, effectiveness and outcomes of supportive services under this 
program;
    (iii) Coordinating this program with other independent living or 
self-sufficiency, education and employment programs;
    (iv) Performing other duties and functions to assist residents to 
remain independent, and to prevent unnecessary institutionalization; 
and
    (v) Mobilizing other national and local public/private resources 
and partnerships.
    (b) Administrative Costs. Administrative costs may include, but are 
not limited to, purchase of furniture, office equipment and supplies, 
training, quality assurance, travel, and utilities. Administrative 
costs must not exceed 20 percent of the total grant costs.
    (5) Ineligible Activities/Costs. (a) Applicants may not use these 
monies to replace current funding from other sources for a Service 
Coordinator or for some other staff person who performs service 
coordinator functions; and
    (b) The cost of application preparation is not eligible.
    (6) Grant Term. The grant term for Elderly or Persons with 
Disabilities Service Coordinator grants is 12 months.

IV. Program Requirements

    The requirements of this section are applicable to all applicants, 
and grantees under this announcement of funding availability.
    (A) Compliance with Fair Housing and Civil Rights Laws. Your 
application must meet all the applicable threshold requirements found 
in Section II (B) of the General Section of the SuperNOFA, as well as 
the following requirements.
    (B) Affirmatively Furthering Fair Housing. You must adhere to the 
requirements as provided in Section II(D) of the General Section of the 
SuperNOFA.
    (C) Conducting Business In Accordance With Core Values and Ethical 
Standards. All applicants shall develop and maintain a written code of 
conduct that reflects Core Values. See Section II(B)(2) of the General 
Section of the SuperNOFA for requirements.
    (D) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women-Owned Businesses. The Department of 
Housing and Urban Development (HUD) is committed to ensuring that small 
businesses, small disadvantaged businesses and women-owned businesses 
participate fully in HUD's direct contracting and in contracting 
opportunities generated by HUD grant funds. See Section II (F) of the 
General Section of the SuperNOFA for requirements.
    (E) Economic Opportunities for Low and Very Low Income Persons 
(Section 3). You must adhere to the requirements as provided in Section 
II (E) of the General Section of the SuperNOFA.
    (F) Certifications and Assurances. You must comply with the 
certifications and assurances contained in Section II (G) of the 
General Section of the SuperNOFA.
    (G) Applicant Internet Access. Prior to the initial draw down, all 
grantees must have secured online access to the Internet as a means to 
communicate with HUD on grant matters. Tribes/TDHEs awardees may submit 
a waiver request to the Office of Native American Programs for this 
requirement if Internet access cannot be obtained.
    (H) ROSS Evaluation and Assessment. All applicants selected for 
award must be willing to participate in the evaluation and assessment 
that HUD intends to conduct for the ROSS Program. At grant award HUD 
will provide additional information on the evaluation and assessment 
for applicants who receive awards.
    (I) ROSS Performance Measures. All applicants selected for award 
must use ROSS Performance Measures in grant reporting for all awards. A 
comprehensive list of Performance Measures is provided in Appendix A to 
this NOFA. At grant award HUD will provide additional information on 
the Performance Measures for applicants who receive awards.

V. Application Selection Process

    (A) Application Selection Process for Resident Management and 
Business Development. Applicants for Resident Management and Business 
Development grants are required to address application submission 
requirements, but are not required to address selection factors. 
Eligibility will be determined by applications that meet the threshold 
requirements of Section VI of this program section of the SuperNOFA. 
HUD will accept for funding a maximum of the first five eligible 
applications from each of the ten federal regions and DPONAP on a 
first-come, first-serve basis for this SuperNOFA. Any funds remaining 
after making awards to the first five eligible applications from each 
region and DPONAP will be awarded to the next eligible application from 
each region, then the next, and so forth until funds are exhausted. If 
sufficient funds are not available in any round to fund an eligible 
application from each region and DPONAP, the eligible applications will 
then be funded in the order in which they were received regardless of 
region. Where physical development

[[Page 14218]]

activities are proposed, HUD will perform an environmental review, to 
the extent required by 24 CFR part 50, prior to award. The results of 
the environmental review may require that proposed activities be 
modified or proposed sites rejected. If all funds are not awarded in 
this funding category, available funds may be transferable to the RSDM 
funding category in this ROSS competition.
    (B) Application Selection Process for Capacity Building. Applicants 
for Capacity Building grants are required to address application 
submission requirements but are not required to address selection 
factors. Eligibility will be determined by applications that meet the 
threshold requirements of Section VI of this program section of the 
SuperNOFA. HUD will accept for funding the first two eligible 
applications from each of the ten federal regions and DPONAP on a 
first-come, first-served basis for this SuperNOFA. Any funds remaining 
after making awards to the first two eligible applications from each 
region and DPONAP will be awarded to the next eligible application from 
each region and DPONAP, then the next, and so forth until funds are 
exhausted. If sufficient funds are not available in any round to fund 
an eligible application from each region and DPONAP, the eligible 
applications will then be funded in the order in which they were 
received regardless of region and DPONAP. If all funds are not awarded 
in this funding category, available funds may be transferable to the 
RSDM funding category in this ROSS competition.
    (C) Application Selection Process for Resident Service Delivery 
Models.
    (1) Three types of reviews will be conducted: a screening to 
determine if your application submission is complete and on time; a 
threshold review to determine applicant eligibility; and a technical 
review to rate your application based on the five rating factors 
provided in this section. A minimum score of 70 is required to be 
considered for funding. If you are not the PHA or Tribe/TDHE, where 
physical development activities are proposed, HUD will perform an 
environmental review, to the extent required by 24 CFR part 50, prior 
to award. The results of the environmental review may require that 
proposed activities be modified or proposed sites rejected.
    (2) The selection process is designed to achieve geographic 
diversity of grant awards throughout the country. HUD will first select 
the highest ranked application from each of the ten federal regions and 
DPONAP for funding. After this ``round,'' HUD will select the second 
highest ranked application in each of the ten federal regions and 
DPONAP for funding (the second round). HUD will continue this process 
with the third, fourth, and so on, highest ranked applications in each 
federal region and DPONAP until the last complete round is selected for 
funding. If available funds exist to fund some but not all eligible 
applications in the next round, HUD will make awards to those remaining 
applications in rank order regardless of region and DPONAP and will 
fully fund as many as possible with remaining funds. Additional funding 
rounds to utilized transferred funding will be awarded utilizing the 
process described above.
    (3) Factors for Award Used to Evaluate and Rate RSDM Applications. 
The factors for rating and ranking applicants and maximum points for 
each factor are provided below. The maximum number of points available 
for this program is 102. This includes two RC/EZ/EC bonus points, as 
described in the General Section of the SuperNOFA. The application kit 
contains a certification that must be completed for the applicant to be 
considered for RC/EZ/EC bonus points and a listing of federally 
designated RCs, EZs and ECs. In addition, a list of RCs, EZs, and ECs 
is attached to the General Section of the SuperNOFA as Appendix A-2 and 
is also available from the SuperNOFA Information Center, and the HUD 
web site, www.hud.gov. A RSDM application must receive a total of 70 
points out of 100 to be eligible for funding.

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)
    (a) Experience. (4 Points) The knowledge and experience of your 
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. Your experience will be judged in 
terms of recent, relevant and successful experience to undertake 
eligible program activities.
    (b) Sufficiency. (3 Points) You and your 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 your readiness and ability to immediately begin the proposed 
work program. To demonstrate sufficiency, you must submit the proposed 
number of staff years to be allocated to your program by employees and 
experts, the titles and relevant professional background and experience 
of each employee and expert proposed to be assigned to your program, 
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 your proposed RSDM program. To receive a high 
score, you must provide a comprehensive description of your project 
management structure. Your narrative must provide a description of how 
any co-applicants, sub-grantees, and other partner agencies relate to 
the program administrator as well as the lines of authority and 
accountability among all components of your proposed program.
    (b) Fiscal Management. (3 Points) The soundness of your proposed 
fiscal management. To receive a high score you must provide a 
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) To receive a 
high score, you must demonstrate your (or your proposed 
Administrator's) program compliance and successful implementation of 
any resident self-sufficiency, enhanced self-sufficiency program, 
welfare-to-work initiative, or economic independence oriented grants 
(including those listed below) awarded to you or overseen by your 
Administrator. If you or your Administrator has no prior experience in 
operating programs that foster resident self-sufficiency, enhanced 
self-sufficiency program, welfare-to-work initiative, or economic 
independence you will receive a score of 0 on this factor. Your past 
experience may include, but is not limited to, administering the 
following grants: Family Investment Center Program; Youth Development 
Initiative under Family Investment Center Program; Youth Apprenticeship 
Program; Apprenticeship Demonstration in the

[[Page 14219]]

Construction Trades Program; Urban Youth Corps Program; HOPE I Program; 
Public Housing Service Coordinator Program; Public Housing Drug 
Elimination Program; Tenant Opportunities Program; Economic Development 
and Supportive Services; Indian Housing Drug Elimination Program; and 
Youth Sports Program.

Rating Factor 2: Need/Extent of the Problem (20 Points)

    This factor addresses the extent to which there is a need for 
funding your proposed program activities to address a documented 
problem in the target area. You will be evaluated on the extent to 
which they document a critical level of need in the development or your 
proposed activities in the area where activities will be carried out. 
In responding to this factor, you 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.
    (a) To obtain maximum points for Family RSDM applications, this 
document must contain statistical data, which provides:
    (i) A thorough socioeconomic profile of the eligible residents to 
be served by your program, in relationship to PHA-wide and national 
public and assisted housing data on residents who are on TANF, SSI 
benefits, or other fixed income arrangements; in job training, 
entrepreneurship, or community service programs; and employed;
    (ii) Specific information on training, contracting, and employment 
through the PHA or tribe/TDHE;
    (iii) 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. For enhanced self-sufficiency programs, you must 
describe specific baseline elements upon which goals will be measured;
    (iv) A description of the goals, objectives, and program strategies 
that will result in the successful transition of residents from 
welfare-to-work increased earning capacity or sustained work; and
    (v) For enhanced self-sufficiency programs, you must describe how 
your proposed grant activities will contribute to the economic 
stability of the affected area.
    (b) In order to obtain maximum points for Elderly and Persons with 
Disabilities RSDM applications, the needs assessment document should 
contain statistical data that provide:
    (i) The numbers of residents needing assistance for activities of 
daily living;
    (ii) 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;
    (iii) 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 or Indian Housing Plan. 
(2 Points) Documentation of the level of priority the locality's, or in 
the case of small cities, the State's, Consolidated Plan, or Indian 
Housing Plan has placed on addressing the needs. You 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. If you address needs 
that are in your community's Consolidated Plan, AI, or a court 
decision, or identify and substantiate needs in addition to those in 
the AI, you will receive a greater number of points than applicants who 
do not relate their proposed program to the approved Consolidated Plan 
or AI or court action. There must be a clear relationship between your 
proposed activities, community needs and the purpose of the program 
funding for you to receive points for this factor.

Rating Factor 3: Soundness of Approach (40 Points)

    This factor addresses the quality and cost-effectiveness of your 
proposed work plan. In rating this factor HUD will consider: the 
viability and comprehensiveness of your strategies to address the needs 
of residents; budget appropriateness/efficient use of grant; the speed 
at which you can realistically accomplish the goals of the proposed 
RSDM program; the soundness of your plan to evaluate the success of 
your proposed RSDM 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 (21 Points). The score under this subfactor will 
be based on the viability and comprehensiveness of your strategies to 
address the needs of residents:
    (a) Services. (18 Points for Family RSDM applicants and 21 Points 
for Elderly and Persons with Disabilities RSDM applicants). More points 
are awarded in the Elderly and Persons with Disabilities RSDM 
applications to balance other sections of the rating criteria where 
points are not applicable to an Elderly and Persons with Disabilities 
RSDM applicant) The score under this subfactor will be based on the 
following:
    (i) For Family RSDM applications, the extent to which your plan 
provides services that specifically address the successful transition 
from welfare to work of non-elderly families. To receive a high score, 
your plan must include case management/counseling, job training/
development/placement (and/or business training/development/startup), 
childcare, and transportation services. If you are not proposing to use 
RSDM funding for these activities, you must show that you will provide 
these services with other funds or through specific commitments from 
partners.
    (ii) In order to receive maximum points, the goals and objectives 
of your proposed plan must represent significant achievements related 
to welfare-to-work, enhanced self-sufficiency programs or other 
initiatives which build on previous welfare-to-work programs, and other 
self-sufficiency/independence goals. Specifically for those residents 
affected by welfare reform, we are interested in achievements that are 
performance outcomes such as the number of residents employed or 
businesses started, in addition to process descriptions, such as the 
number of residents receiving training. Similarly, for those residents 
involved in enhanced self-sufficiency programs, we are interested in 
achievements related to performance measures such as sustained work and 
increased earning capacity.
    (iii) For Elderly and/or Persons with Disabilities RSDM 
applications, services in your plan should include case management, 
health care, congregate services and transportation. To obtain maximum 
points, you must describe the goals, objectives, and program strategies 
that will result in increased independence for proposed program 
participants; your services must be located in a community facility; 
and must be available on a 12-hour basis or as needed by the eligible 
residents.
    (b) Resident Contracting and Employment. (3 Points for Family RSDM 
applicants) The score in this factor will be based on the extent to 
which residents will achieve self-sufficiency or increased earning 
capacity through your contracts with resident-owned businesses and 
through resident employment. A high score will be awarded where there 
is documentation (a letter or resolution from your governing body) 
describing

[[Page 14220]]

your commitment to hire or contract with at least 15 percent of 
residents and a narrative describing the number of resident jobs or 
contracts involved, as well as the training processes related to the 
comprehensive plan of your application. Elderly and Persons with 
Disabilities RSDM applications will not be scored on the criterion in 
this subcategory.
    (2) Budget Appropriateness/Efficient Use of Grant. (5 Points for 
Family RSDM and Elderly and Persons with Disabilities RSDM) The score 
in this factor will be based on the following:
    (a) Detailed Budget Breakout. The extent to which your application 
includes a detailed budget breakout for each budget category in the SF-
424A.
    (b) Reasonable Administrative Costs. The extent to which your 
application includes administrative costs at or below the 20 percent 
administrative cost ceiling.
    (c) Budget Efficiency. The extent to which your application 
requests funds commensurate with the level of effort necessary to 
accomplish your goals and anticipated results.
    (3) Reasonableness of the Timetable. (2 Points for Family RSDM 
applicants and 4 Points for Elderly and Persons with Disabilities RSDM 
applicants. More points are awarded in Elderly and Persons with 
Disabilities RSDM applications in order to balance other sections of 
the rating criteria where points are not applicable to an Elderly and 
Persons with Disabilities RSDM applicant)
    The score in this factor will be based on a reasonable response 
that you can accomplish the goals of your proposed RSDM program. To 
receive a high score, you must demonstrate that it will make 
substantial program implementation 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, you must demonstrate that 
your proposed timetable for all components of the proposed program is 
feasible considering the size of your award and activities and results 
that can be accomplished within the 36-month time limit.
    (4) Program Assessment. (3 Points for Family RSDM and Elderly and 
Persons with Disabilities RSDM) The score in this factor will be based 
on the soundness of your plan to evaluate the success of your proposed 
RSDM program both at the completion of your program and during program 
implementation. At a minimum, you must track the goals and objectives 
of your proposed work plan program, which must include, if applicable, 
a plan for monitoring your Contract Administrator's performance. Your 
application should 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, number of elderly or persons with disabilities residents 
receiving supportive services, increased earnings based on grant 
activities, and number of persons receiving certificates for successful 
completion of training in careers such as computer technology.
    (5) Resident and Other Partnerships (9 Points for Family RSDM 
applicants and 7 Points for Elderly and Persons with Disabilities RSDM 
applicants)
    (a) Resident Involvement in RSDM Activities (3 Points for Family 
RSDM applicants and 4 Points for Elderly and Persons with Disabilities 
RSDM applicants. More points are awarded in Elderly and Persons with 
Disabilities RSDM applications in order to balance other sections of 
the rating criteria where points are not applicable to an Elderly and 
Persons with Disabilities RSDM applicant): The score in this factor 
will be based on the extent of resident involvement in developing your 
proposed RSDM program as well as the extent of proposed resident 
involvement in implementing your proposed RSDM program. To receive a 
high score on this factor, you must describe the involvement of 
residents in the planning phase for this program, and a commitment to 
provide continued involvement in grant implementation. For applicants 
to receive the maximum number of points, a work plan 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 RSDM program. To receive a high score, you must provide a 
signed Memorandum of Understanding (MOU) or other equivalent signed 
documentation that delineates the roles and responsibilities of each of 
the parties in your program and the benefits they will receive. In 
assessing this subfactor, HUD will examine a number of aspects of the 
proposed partnership, including:
    (i) The division of responsibilities or management structure of 
your proposed partnership relative to the expertise and resources of 
your partners;
    (ii) The extent to which the partnership as a whole addresses the 
unmet resident needs; and
    (iii) The extent to which the addition of the partners provides the 
ability to meet needs that the applicant could not meet without the 
partner(s).
    (c) Overall Relationship/Coordination. (3 Points for Family RSDM 
only) For Family RSDM applicants, the score in this factor will be 
based on the extent of coordination between your proposed RSDM program 
and any existing or proposed programs within your jurisdiction. To 
receive a high score, you must contain an MOU that describes 
collaboration between the applicant and residents on all of the 
specific components related to the work plan of the proposed RSDM 
program. To receive points, at a minimum, you must have a narrative 
description of this collaboration. Elderly and Persons with 
Disabilities RSDM applications will not be scored on this criterion.

Rating Factor 4: Leveraging Resources (10 Points)

    This factor addresses your ability to secure community resources 
(note: financing is a community resource) that can be combined with 
HUD's program resources to achieve program purposes. You must have at 
least a 25 percent cash or in-kind match to receive points under this 
rating factor. Leveraging in excess of the 25 percent of the grant 
amount will receive a higher point value. In evaluating this factor HUD 
will consider the extent to which you have partnered with other 
entities to secure additional resources to increase the effectiveness 
of your proposed program activities. The budget, the work plan, and 
commitments for additional resources and services, other than the 
grant, must show 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 at least 25 percent of the RSDM grant 
amount proposed in this application. ``Firmly committed'' means there 
must be a written agreement with the provider of resources, signed by 
an official legally able to make commitments on behalf of the 
organization. The signed, written agreement may be contingent upon you 
receiving a grant award. Other resources and services may include: the 
value of in-kind services, contributions or administrative costs 
provided to the applicant; funds from Federal sources (not including 
RSDM funds); funds from any State or local government sources; and 
funds from private contributions. You may also partner with other 
program funding recipients to

[[Page 14221]]

coordinate the use of resources in your target area.
    You 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 with the provider of resources signed by an 
official legally able to make commitments on behalf of the 
organization. This agreement may be contingent upon you 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.

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(10 Points)

    This factor addresses the extent to which your 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 
your application addresses:
    (1) Coordination with the Consolidated Plan or Indian Housing Plan. 
(2 Points for Family RSDM applicants and 6 points for Elderly and 
Persons with Disabilities RSDM applicants. More points are awarded for 
Elderly and Persons with Disabilities RSDM applications in order to 
balance other sections of the rating criteria where points are not 
applicable to an Elderly and Persons with Disabilities RSDM applicant.) 
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 furthers fair housing 
choice in the community.
    (2) For Family RSDM Applications, Coordination with the State and/
or Local Welfare Plan (4 Points): Provides evidence that your proposed 
RSDM program has been coordinated with and supports the PHA's efforts 
to increase resident self-sufficiency or increase resident earning 
capacity and is coordinated and consistent with the State, or local 
Welfare Plan.
    (3) Coordination with Other Activities (4 Points) Demonstrates that 
in carrying out your program activities, you 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.
    (D) Application Selection Process for Homeownership Supportive 
Services.
    (1) Three types of reviews will be conducted: a screening to 
determine if your application submission is complete and on time; a 
threshold review to determine applicant eligibility; and a technical 
review to rate your application based on the five rating factors 
provided in this section.
    The selection process is designed to achieve geographic diversity 
of grant awards throughout the country. HUD will first select the 
highest ranked application from each of the ten federal regions for 
funding. After this ``round,'' HUD will select the second highest 
ranked application in each of the ten federal regions for funding (the 
second round). HUD will continue this process with the third, fourth, 
and so on, highest ranked applications in each federal region until the 
last complete round is selected for funding. If available funds exist 
to fund some but not all eligible applications in the next round, HUD 
will make awards to those remaining applications in rank order 
regardless of region and will fully fund as many as possible with 
remaining funds. If all funds are not awarded in RMBD, CB, HSS, SC 
funding categories, funds will be transferred to RSDM funding 
categories in this competition.
    (2) Factors for Award Used to Evaluate and Rate HSS Applications. 
The factors for rating and ranking applicants and maximum points for 
each factor are provided below. The maximum number of points available 
for this program is 1024. This includes two RC/EZ/EC bonus points, as 
described in the General Section of the SuperNOFA. The application kit 
contains a certification that must be completed for the applicant to be 
considered for RC/EZ/EC bonus points and a listing of federally 
designated RCs, EZs and ECs. In addition, a list of RCs, EZs, and ECs 
is attached to the General Section of the SuperNOFA as Appendix A-2 and 
is also available from the SuperNOFA Information Center, and the HUD 
web site, www.hud.gov. A HSS application must receive a total of 70 
points out of 100 to be eligible for funding.

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)
    (a) Experience. (4 Points) The knowledge and experience of your 
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. Your experience will be judged in 
terms of recent, relevant and successful experience to undertake 
eligible program activities.
    (b) Sufficiency. (3 Points) You and your 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 your readiness and ability to immediately begin the proposed 
work program. To demonstrate sufficiency, you must submit the proposed 
number of staff years to be allocated to your program by employees and 
experts, the titles and relevant professional background and experience 
of each employee and expert proposed to be assigned to your program, 
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 your proposed HSS program. To receive a high 
score, you must provide a comprehensive description of your project 
management structure. Your narrative must provide a description of how 
any co-applicants, sub-grantees, and other partner agencies relate to 
the program administrator as well as the lines of authority and 
accountability among all components of your proposed program.
    (b) Fiscal Management. (3 Points) The soundness of your proposed 
fiscal management. To receive a high score you must provide a 
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

[[Page 14222]]

timetable for implementation during the proposed grant period.
    (3) Applicant/Administrator Track Record. (6 Points) To receive a 
high score, you must demonstrate your (or your proposed 
Administrator's) program compliance and successful implementation of 
any resident self-sufficiency, homeownership or independence-oriented 
grants (including those listed below) awarded to you or overseen by 
your Administrator. If you or your Administrator has no prior 
experience in operating programs that foster resident self-sufficiency, 
homeownership, or independence you will receive a score of 0 on this 
factor. Your past experience may include, but is not limited to, 
administering the following grants or programs: Family Self 
Sufficiency; Family Investment Center Program; Youth Development 
Initiative under Family Investment Center Program; Youth Apprenticeship 
Program; Apprenticeship Demonstration in the Construction Trades 
Program; Urban Youth Corps Program; HOPE I Program; Public Housing 
Service Coordinator Program; housing choice voucher homeownership 
program; Public Housing Drug Elimination Program; Tenant Opportunities 
Program; Economic Development and Supportive Services; and Youth Sports 
Program.

Rating Factor 2: Need/Extent of the Problem (20 Points)

    This factor addresses the extent to which there is a need for 
funding your proposed program activities to address the need/goal of 
the target population of pervious ROSS recipients/beneficiaries. You 
will be evaluated on the extent to which you document your proposed 
activities demonstrate that participants in self sufficiency programs 
are able to move from renting to homeownership, based on need, 
increases in resident income and other self sufficiency efforts. In 
responding to this factor, you will be evaluated on:
    (1) A Needs/Goals Assessment Document. (18 Points) HUD will award 
up to 18 points based on the quality and comprehensiveness of the needs 
assessment document. To obtain maximum points for HSS applications, 
this document must contain statistical data that provides:
    (a) A thorough socioeconomic profile of the eligible residents to 
be served by your program, in relationship to PHA-wide and national 
public and assisted housing data on residents who are on TANF, SSI 
benefits, or other fixed income arrangements; in job training, 
entrepreneurship, or community service programs; and employed;
    (b) Specific information on training, contracting, and employment 
through the PHA;
    (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;
    (d) A description of the goals, objectives, and program strategies 
that will result in the successful transition of residents from renters 
to homeowners.
    (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. You 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. If you address needs that are in your community's 
Consolidated Plan, AI, or a court decision, or identify and 
substantiate needs in addition to those in the AI, you will receive a 
greater number of points than applicants who do not relate their 
proposed program to the approved Consolidated Plan or AI or court 
action. There must be a clear relationship between your proposed 
activities, community needs and the purpose of the program funding for 
you to receive points for this factor.

Rating Factor 3: Soundness of Approach (40 Points)

    This factor addresses the quality and cost-effectiveness of your 
proposed work plan. In rating this factor HUD will consider: The 
viability and comprehensiveness of your strategies to address the needs 
of residents; budget appropriateness/efficient use of grant; the speed 
at which you can realistically accomplish the goals of the proposed HSS 
program; the soundness of your plan to evaluate the success of your 
proposed HSS 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 homeownership of transferred residents. (18 Points) The score under 
this subfactor will be based on the viability and comprehensiveness of 
your strategies to address the counseling needs of residents identified 
for homeownership.
    (a) Services. The score under this subfactor will be based on the 
following:
    (i) The extent to which your plan provides services that 
specifically addresses the successful transition from renters to 
homeowners. To receive a high score, your plan must include case 
management and/or counseling.
    (ii) In order to receive maximum points, the goals and objectives 
of your proposed plan must represent significant achievements related 
to moving from renting to homeownership. Specifically for those 
residents affected by welfare reform, we are interested in achievements 
that are performance outcomes of residents targeted for homeownership, 
in addition to, descriptions of residents receiving training and 
homeownership counseling activities.
    (2) Budget Appropriateness/Efficient Use of Grant. (8 Points) The 
score in this factor will be based on the following:
    (a) Detailed Budget Breakout. The extent to which your application 
includes a detailed budget breakout for each budget category in the SF-
424A.
    (b) Reasonable Administrative Costs. The extent to which your 
application includes administrative costs at or below the 10 percent 
administrative cost ceiling.
    (c) Budget Efficiency. The extent to which your application 
requests funds commensurate with the level of effort necessary to 
accomplish your goals and anticipated results.
    (d) Reasonableness of the Timetable.
    The score in this factor will be based on a reasonable response 
that you can accomplish the goals of your proposed HSS program. To 
receive a high score, you must demonstrate that it will make 
substantial program implementation 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, you must demonstrate that 
your proposed timetable for all components of the proposed program is 
feasible considering the size of your award and activities and results 
that can be accomplished within the 36-month time limit.
    (3) Program Assessment. (5 Points). The score in this factor will 
be based on the soundness of your plan to evaluate the success of your 
proposed HSS program both at the completion of your program and during 
program implementation. At a minimum, you must track the goals and 
objectives of your proposed work plan program. Your application should 
track specific measurable achievements for the use of

[[Page 14223]]

program funds, such as number of residents counseled on becoming 
homeowners.
    (4) Resident and Other Partnerships. (9 Points)
    (a) Resident Involvement in HSS Activities. (3 Points). The score 
in this factor will be based on the extent of resident involvement in 
developing your proposed HSS program as well as the extent of proposed 
resident involvement in implementing your proposed HSS program. To 
receive a high score on this factor, you must describe the involvement 
of residents in the planning phase for this program, and a commitment 
to provide continued involvement in grant implementation. For 
applicants to receive the maximum number of points, a work plan, 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 HSS program. To receive a high score, you must provide a 
signed Memorandum of Understanding (MOU) or other equivalent signed 
documentation that delineates the roles and responsibilities of each of 
the parties in your program and the benefits they will receive. In 
assessing this subfactor, HUD will examine a number of aspects of the 
proposed partnership, including:
    (i) The division of responsibilities or management structure of 
your proposed partnership relative to the expertise and resources of 
your partners;
    (ii) The extent to which the partnership as a whole addresses the 
unmet resident needs; and
    (iii) The extent to which the addition of the partners provides the 
ability to meet needs that the applicant could not meet without the 
partner(s).
    (c) Overall Relationship/Coordination. (3 Points) For HSS 
applicants, the score in this factor will be based on the extent of 
coordination between your proposed HSS program and any existing or 
proposed programs within your jurisdiction. To receive points, at a 
minimum, you must have a narrative description of this collaboration.

Rating Factor 4: Leveraging Resources (10 Points)

    This factor addresses your ability to secure community resources 
(note: financing is a community resource) that can be combined with 
HUD's program resources to achieve program purposes. You must have at 
least a 25 percent cash or in-kind match to receive points under this 
rating factor. Leveraging in excess of the 25 percent of the grant 
amount will receive a higher point value.
    In evaluating this factor HUD will consider the extent to which you 
have partnered with other entities to secure additional resources to 
increase the effectiveness of your proposed program activities. The 
budget, the work plan, and commitments for additional resources and 
services, other than the grant, must show 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 at least 25 percent 
of the HSS grant amount proposed in this application. ``Firmly 
committed'' means there must be a written agreement with the provider 
of resources, signed by an official legally able to make commitments on 
behalf of the organization. The signed, written agreement may be 
contingent upon you receiving a grant award. Other resources and 
services may include: The value of in-kind services, contributions or 
administrative costs provided to the applicant; funds from Federal 
sources (not including HSS funds); funds from any State or local 
government sources; and funds from private contributions. You may also 
partner with other program funding recipients to coordinate the use of 
resources in your target area.
    You 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 with the provider of resources signed by an 
official legally able to make commitments on behalf of the 
organization. This agreement may be contingent upon you receiving a 
grant award. Each letter of commitment, Memorandum of Understanding, or 
agreement to participate must include the organization's name, proposed 
level of commitment and responsibilities as they relate to the proposed 
program.

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(10 Points)

    This factor addresses the extent to which your 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 
your application addresses:
    (1) Coordination with the Consolidated Plan (2 points). 
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 furthers fair housing 
choice in the community.
    (2) For HSS Program Applications, Coordination with the State and/
or Local Welfare Plan (4 Points). Provides evidence that your proposed 
HSS program has been coordinated with and supports the PHA's efforts to 
increase resident homeownership and is coordinated and consistent with 
the State, or local Welfare Plan.
    (3) Coordination with Other Activities (4 Points). Demonstrates 
that in carrying out your program activities, you 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.
    (E) Application Selection Process for Neighborhood Networks 
Centers.
    (1) Three types of reviews will be conducted: A screening to 
determine if your application submission is complete and on time; a 
threshold review to determine applicant eligibility; and a technical 
review to rate your application based on the five rating factors 
provided in this section. A minimum score of 70 is required to be 
considered for funding.
    (2) The selection process is designed to achieve geographic 
diversity of grant awards throughout the country. HUD will first select 
the highest ranked application from each of the ten federal regions for 
funding. After this ``round,'' HUD will select the second highest 
ranked application in each of the ten federal regions for funding (the 
second round). HUD will continue this process with the third, fourth, 
and so on, highest ranked applications in each federal region until the 
last complete round is selected for funding. If available funds exist 
to fund some but not all eligible applications in the next round, HUD 
will make awards to those remaining applications in rank order 
regardless of region and will fully fund as many as possible with 
remaining funds. NN funds may not be transferred to any other funding 
category within this NOFA.
    (3) Factors for Award Used to Evaluate and Rate NN Applications. 
The factors for rating and ranking applicants and maximum points for 
each factor are provided below. The

[[Page 14224]]

maximum number of points available for this program is 102. This 
includes two RC/EZ/EC bonus points, as described in the General Section 
of the SuperNOFA. The application kit contains a certification that 
must be completed for the applicant to be considered for RC/EZ/EC bonus 
points and a listing of federally designated RCs, EZs and ECs. In 
addition, a list of RCs, EZs, and ECs is attached to the General 
Section of the SuperNOFA as Appendix A-2 and is also available from the 
SuperNOFA Information Center, and the HUD web site, www.hud.gov. A NN 
application must receive a total of 70 points out of 100 to be eligible 
for funding.

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)
    (a) Experience. (4 Points) The knowledge and experience of your 
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. Your experience will be judged in 
terms of recent, relevant and successful experience to undertake 
eligible program activities.
    (b) Sufficiency. (3 Points) You and your 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 your readiness and ability to immediately begin the proposed 
work program. To demonstrate sufficiency, you must submit the proposed 
number of staff years to be allocated to your program by employees and 
experts, the titles and relevant professional background and experience 
of each employee and expert proposed to be assigned to your program, 
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 your proposed NN program. To receive a high 
score, you must provide a comprehensive description of your project 
management structure. Your narrative must provide a description of how 
any co-applicants, sub-grantees, and other partner agencies relate to 
the program administrator as well as the lines of authority and 
accountability among all components of your proposed program.
    (b) Fiscal Management. (3 Points) The soundness of your proposed 
fiscal management. To receive a high score you must provide a 
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) To receive a 
high score, you must demonstrate your (or your proposed 
Administrator's) program compliance and successful implementation of 
any resident self-sufficiency, technology-oriented training, community-
based job training, telecommunications, or other computer services 
(including those listed below) awarded to you or overseen by your 
Administrator. If you or your Administrator has no prior experience in 
operating programs that foster resident use of technology, computer 
instruction, or other computer services you will receive a score of 0 
on this factor. Your past experience may include, but is not limited 
to, administering the following grants or programs: Family Self 
Sufficiency; Family Investment Center Program; Youth Development 
Initiative under Family Investment Center Program; Youth Apprenticeship 
Program; Apprenticeship Demonstration in the Construction Trades 
Program; Urban Youth Corps Program; HOPE I Program; Public Housing 
Service Coordinator Program; housing choice voucher homeownership 
program; Public Housing Drug Elimination Program; Tenant Opportunities 
Program; Economic Development and Supportive Services; and Youth Sports 
Program.

Rating Factor 2: Need/Extent of the Problem (20 Points)

    This factor addresses the extent to which there is a need for 
funding your proposed program activities to address the need of public 
housing residents for computer technology. You will be evaluated on the 
extent to which you document your proposed activities in this area. In 
responding to this factor, you will be evaluated on:
    (1) A Needs/Goals Assessment Document. (18 Points) HUD will award 
up to 18 points based on the quality and comprehensiveness of the needs 
assessment document. To obtain maximum points for NN applications, this 
document must contain statistical data that provides:
    (a) A profile of the eligible residents to be served by your NN 
center and its programs;
    (b) Specific information on activities and programs to be 
undertaken as part of the NN center including job training, adult 
education, using the Internet to make linkages with health care 
providers, health services, and health information, youth and 
afterschool programs and other proposed activities;
    (c) An assessment of the needs of the target population, including 
the number and type of services, the location of services, and 
community facilities currently in use;
    (d) A description of the goals and objectives of the NN center.
    (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. You 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. If you address needs that are in your community's 
Consolidated Plan, AI, or a court decision, or identify and 
substantiate needs in addition to those in the AI, you will receive a 
greater number of points than applicants who do not relate their 
proposed program to the approved Consolidated Plan or AI or court 
action. There must be a clear relationship between your proposed 
activities, community needs and the purpose of the program funding for 
you to receive points for this factor.

Rating Factor 3: Soundness of Approach (40 Points)

    This factor addresses the quality and cost-effectiveness of your 
proposed work plan. In rating this factor HUD will consider: the 
viability and comprehensiveness of your strategies to address the needs 
of residents; budget appropriateness/efficient use of grant; the speed 
at which you can realistically accomplish the goals of the proposed NN 
program; the soundness of your plan to evaluate the success of your 
proposed NN program at completion and during program implementation; 
and resident and other partnerships; and policy priorities.
    (1) Viability and comprehensiveness of the strategies to address 
Neighborhood Networks needs in the proposed area. (10 Points) The score

[[Page 14225]]

under this subfactor will be based on the viability and 
comprehensiveness of your strategies to address electronic information 
needs.
    Your application must describe how the Neighborhood Networks Center 
or its conversion to Neighborhood Networks will address job training, 
adult education, using the Internet to make linkages with health care 
providers, health services, and health information, and youth and 
after-school programs.
    (2) Budget Appropriateness/Efficient Use of Grant. (10 Points) The 
score in this factor will be based on the following:
    (a) Detailed Budget Break-Out. The extent to which your application 
includes a detailed budget breakout for each budget category in the SF-
424A. Your application must include Chart C: Summary of Budget Line 
Items, for your proposed activities, and Chart D: Budget Work Plan 
Summary.
    (b) Reasonable Administrative Costs. The extent to which your 
application includes administrative costs at or below the 15 percent 
administrative cost ceiling.
    (c) Budget Efficiency. The extent to which your application 
requests funds commensurate with the level of effort necessary to 
accomplish your goals and anticipated results.
    (d) Reasonableness of the Timetable.
    The score in this factor will be based on a reasonable response 
that you can accomplish the goals of your proposed NN program. To 
receive a high score, you must demonstrate that it will make 
substantial program implementation 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, you must demonstrate that 
your proposed timetable for all components of the proposed program is 
feasible considering the size of your award and activities and results 
that can be accomplished within the 36-month time limit.
    (3) Program Assessment. (10 Points) The score in this factor will 
be based on the soundness of your plan to evaluate the success and 
sustainability of your proposed NN program both at the completion of 
your program and during program implementation. At a minimum, you must 
track the goals and objectives of your proposed work plan program. Your 
application should track specific measurable achievements for the use 
of program funds, such as number of residents using proposed computer 
related services/programs being offered by the NN. Each applicant must 
describe how the existing computer center or proposed computer center 
will become a Neighborhood Networks Center and be self-sustaining after 
the proposed grant period has been completed.
    (4) Resident and Other Partnerships (10 Points).
    (a) Resident Involvement in NN Program Activities (4 Points) The 
score in this factor will be based on the extent of resident 
involvement in developing and planning for your proposed NN program as 
well as the extent of proposed resident involvement in implementing 
your proposed NN program. To receive a high score on this factor, you 
must describe the involvement of residents in the planning phase for 
this program, and a commitment to provide continued involvement in 
grant implementation. For applicants to receive the maximum number of 
points, a work plan, 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 NN program. To receive a high score, you must provide a 
signed Memorandum of Understanding (MOU) or other equivalent signed 
documentation that delineates the roles and responsibilities of each of 
the parties in your program and the benefits they will receive. Your 
application should include local partnerships in support of NN 
activities such as job training, adult education, using the Internet to 
make linkages with health care providers, health services, and health 
information, and youth and after school programs. In assessing this 
subfactor, HUD will examine a number of aspects of the proposed 
partnership, including:
    (i) The division of responsibilities/management structure of your 
proposed partnership relative to the expertise and resources of your 
partners;
    (ii) The extent to which the partnership as a whole addresses the 
unmet resident needs; and (iii) The extent to which the addition of the 
partners provides the ability to meet needs that the applicant could 
not meet without the partner(s).
    (c) Overall Relationship/Coordination. (3 Points) For NN 
applicants, the score in this factor will be based on the extent of 
coordination between your proposed NN program and any existing or 
proposed programs within your jurisdiction. To receive points, at a 
minimum, you must have a narrative description of this collaboration.

Rating Factor 4: Leveraging Resources (10 Points)

    This factor addresses your ability to secure community resources 
(note: financing is a community resource) that can be combined with 
HUD's program resources to achieve program purposes. You must have at 
least a 25 percent cash or in-kind match to receive points under this 
rating factor. Leveraging in excess of the 25 percent of the grant 
amount will receive a higher point value.
    In evaluating this factor HUD will consider the extent to which you 
have partnered with other entities to secure additional resources to 
increase the effectiveness of your proposed program activities. The 
budget, the work plan, and commitments for additional resources and 
services, other than the grant, must show 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 at least 25 percent 
of the NN grant amount proposed in this application. ``Firmly 
committed'' means there must be a written agreement with the provider 
of resources, signed by an official legally able to make commitments on 
behalf of the organization. The signed, written agreement may be 
contingent upon you receiving a grant award. Other resources and 
services may include: the value of in-kind services, contributions or 
administrative costs provided to the applicant; funds from Federal 
sources (not including NN funds); funds from any State or local 
government sources; and funds from private contributions. You may also 
partner with other program funding recipients to coordinate the use of 
resources in your target area.
    You 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 with the provider of resources signed by an 
official legally able to make commitments on behalf of the 
organization. This agreement may be contingent upon you receiving a 
grant award. Each letter of commitment, Memorandum of Understanding, or 
agreement to participate must include the organization's name, proposed 
level of commitment and responsibilities as they relate to the proposed 
program.

[[Page 14226]]

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(10 Points)

    This factor addresses the extent to which your 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 
your application addresses:
    (1) Coordination with the Consolidated Plan (2 points). 
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 furthers fair housing 
choice in the community.
    (2) For NN Program Applications, Coordination with the State and/or 
Local Welfare Plan (4 Points). Provides evidence that your proposed NN 
program has been coordinated with and supports the PHA's efforts to 
reduce welfare dependency coordinated and consistent with the State, or 
local Welfare Plan.
    (3) Coordination with Other Activities (4 Points). Demonstrates 
that in carrying out your program activities, you 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 technology needs of 
public housing residents.
    (F) Application Selection Process for Service Coordinators.
    Applicants for Service Coordinators are required to address 
application submission requirements but are not required to address 
selection factors. Eligibility will be determined by applications that 
meet the threshold requirements of Section IV of this program section 
of the SuperNOFA.
    If all funds are not awarded in RMBD, CB, HSS, or SC funding 
categories, funds will be transferred to RSDM funding categories in 
this competition.

VI. Application Submission Requirements

    (A) All Applications. All applications for assistance under the 
ROSS competition for all funding categories must include the forms, 
certifications and assurances listed in Section IV of the General 
Section of the SuperNOFA (collectively referred to as the ``standard 
forms''). These forms are:
    SF-424, Application Federal Assistance;
    HUD-424M, Federal Assistance Funding Matrix;
    SF-424A, Federal Assistance Budget Information--Non Construction;
    SF-424B, Assurances for Non-Construction Programs;
    HUD Form 50070, Drug-Free Workplace Certification;
    HUD Form 50071, Certification of Payments to Influence Federal 
Transactions, and if applicable SF-LLL, Disclosure of Lobbying 
Activities;
    HUD Form 2880, Applicant/Recipient Disclosure/Update Report;
    HUD Form 2991, Certification of Consistency with the Consolidated 
Plan;
    HUD Form 2992, Certification of Debarment and Suspension;
    HUD Form 2993, Acknowledgment of Application Receipt.
    The standard forms can be found in Appendix B to the General 
Section of the SuperNOFA. The remaining application items that are 
forms (i.e., excluding such items as narratives), referred to as the 
``non-standard forms'' can be found as Appendix A to this program 
section of the SuperNOFA.
    All applicants must include the following information regardless of 
the category under which they are applying for funds.
    (1) ROSS Application Cover Sheet;
    (2) ROSS Fact Sheet;
    (3) ROSS Program Summary;
    (4) Certification of Consistency and Compliance with General 
SuperNOFA Program Requirements;
    (5) Match Requirement. (a) You must supplement grant funds with an 
in-kind and/or cash match of not less than 25 percent of the grant 
amount. This match does not have to be a cash match. The match may 
include: the value of in-kind services, contributions or administrative 
costs provided to the applicant; funds from Federal sources (but not 
ROSS funds); funds from any State or local government sources; and 
funds from private contributions. Any services, such as childcare or 
mentoring, conducted by elderly or persons with disabilities residents 
who are not TANF participants, will not be counted toward your match 
requirement. You may also satisfy the match requirement by establishing 
the in-kind value of computer and office equipment, software and space 
used for training in computer technology, education/employment and 
skills development for self-sufficiency training programs such as 
Twenty/20 Education Communities (TEC Centers) or Neighborhood Networks 
Centers.
    (b) You must demonstrate that the cash or in-kind resources and 
services, which you will use as match amounts (including resources from 
a Comprehensive Grant, other governmental units/agencies of any type, 
and/or private sources, whether for-profit or not-for-profit), are 
firmly committed and will support the proposed grant activities. 
``Firmly committed'' means there must be a written agreement to provide 
the resources and services signed by an official legally able to make 
commitments on behalf of the organization that specifies the cash and/
or in-kind assistance to be provided. If offering in-kind assistance, 
the letter must provide an estimated dollar value for the in-kind 
services. The written agreement may be contingent upon your receiving a 
grant award. The following are guidelines for valuing certain types of 
in-kind 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 services 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 activity is located; and
    (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 sale, 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 activity is located, as appropriate. You may also 
satisfy the match requirement by establishing the in-kind value of 
computer and office equipment, software and space used for training in 
computer technology, education/employment and skills development for 
sufficiency training programs such as Twenty/20 Education Communities 
(TEC Centers) or Neighborhood Networks Centers.
    (B) RMBD Applications. Applicants for Resident Management and 
Business Development grants are required to address application 
submission requirements, but are not required to address selection 
factors. A threshold review, and not application submission 
requirements, will be used for determining eligibility for first-come 
first serve funding.
    All applications for funding under this funding category must 
contain the following documents and information (Please note that items 
1-9 are threshold requirements used to determine awards for this 
category; item 10 and its

[[Page 14227]]

subsections will be used for grant administration):
    (1) Your application must contain a written certification that at 
least 51 percent of the public housing residents to be included in the 
proposed program are currently eligible to receive, are currently 
receiving, or have received within the preceding five years, assistance 
or services funded under the TANF, SSI, food stamp programs, or tribal 
welfare programs.
    (2) Your application must contain a signed Memorandum of 
Understanding (MOU) between the RA and the PHA or the RO/RMC and the 
Tribe/TDHE which describes the specific roles, responsibilities and 
activities to be undertaken by all parties to the MOU. Your MOU, at a 
minimum must identify the principal parties (i.e. the name of the PHA 
or tribe/TDHE and RA or RO, the terms of agreement), expectations or 
terms for each party, and indicate that the agreement pertains to the 
support of your grant application. This document is the basis for the 
foundation of the relationship between the RA or RO and PHA or tribe/
TDHE. The MOU 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 
or RO and PHA or tribe/TDHE upon submission of the application.
    (3) Accessible Community Facility. You must provide written 
evidence (e.g. through an executed use agreement if the facility is to 
be provided by an entity other than the PHA or 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 
transportation of the property represented by the PHA or tribe/TDHE. 
The written agreement must certify that community facilities meet the 
structural accessibility requirement of section 504 of the 
Rehabilitation Act of 1973 and the Americans With Disabilities Act of 
1990. If a tribe/TDHE is the applicant and is using its own property as 
a community facility, it is not exempt from this requirement. The 
tribe/TDHE is still required to provide a narrative to address all 
details requested for this threshold requirement.
    (4) Your application must contain letter(s) of support indicating 
supplemental grant funds of not less than 25 percent of the grant 
amount. See Section VI(A)(5) of the program section of this SuperNOFA.
    (5) For applicants other than Tribes/TDHEs, you must provide either 
a signed certification from HUD or an Independent Public Accountant 
that your financial management system and procurement procedures fully 
comply with 24 CFR part 84, or your application must contain a signed 
Contract Administrator Partnership Agreement that you will use the 
services of a Contract Administrator in administering your grant. 
Applicants that are troubled PHAs are required to provide written 
agreement that a Contract Administrator has been retained for the term 
of the grant. Those tribes/TDHEs that HUD has determined to have 
difficulty in managing grants will be required to provide a written 
agreement that a Contract Administrator has been retained for the term 
of the grant. In cases where the Contract Administrator is the PHA or 
tribe/TDHE, the Contract Administration responsibilities can be 
incorporated into the MOU discussed above.
    (6) Except for Tribes/TDHEs, if you are a RA/RC/RMC/CWRO you must 
include evidence that your organization is registered with the State as 
a nonprofit corporation at the time of application submission or has 
section 501(c) status with the United States Internal Revenue Service 
at the time of application. Evidence of State registration shall be a 
copy of the certificate of incorporation or certificate of good 
standing from the State Government (i.e. Secretary of State or 
Secretary of Corporations). Evidence of 501(c) status shall be a copy 
of the IRS 501(c) designation.
    (7) Certification of Resident Council Board Elections. If you are a 
Resident Organization, you must submit certifications of the RA/ROs 
board election as required by HUD, signed by the local PHA or tribe/
TDHE and/or an independent third party monitor and notarized.
    (8) List of RAs, ROs or Indian housing residents participating with 
the City-Wide Resident Organization (CWRO) or tribe/TDHE. You must list 
in your application, the name(s) of RAs or ROs that will receive 
services and you must submit letters of support from each RA or RO 
identified in your application. Your application must describe the 
Indian housing residents to be served by proposed grant activities.
    (9) Physical Improvements. You must submit a description of the 
renovation or conversion to be conducted along with a budget and 
timetable for those activities. You must demonstrate a firm commitment 
of assistance from one or more sources ensuring that supportive 
services will be provided for not less that 2 years following the 
completion of renovation, conversion, or repair activities funded under 
this ROSS competition.
    (10) The following are application submission requirements and will 
not be used for determining eligibility for first-come first serve 
funding:
    (a) Explanations for proposed grant activities must be provided by 
narrative statements or descriptions;
    (b) Resident Management and Business Development grant applications 
must include a narrative description (two page limit) describing the 
activities that you will carry out with RMBD grant funds. Your 
description must include specific goals, objectives and program 
strategies that will result in successful transition of residents from 
welfare to work or other proposed grant activities;
    (c) Your RMBD application must provide information about the RA or 
RO, including its history, staff qualifications, and its previous 
experience (two page limit). For proposed grant staffing, you must 
include a resume or summary of qualifications for all proposed grant 
staff:

Chart A--RMBD Program Staffing
Chart B--RMBD Applicant/Administrator Track Record
Chart C--Summary RMBD Budget line Items

    (d) You must provide a summary of a proposed work plan to carry out 
proposed grant activities. This work plan must include tasks, budgeted 
amounts, and dates for all activities during the grant period.

Chart D--Budget Workplan Summary.

    (C) Applications for Capacity Building. All applications for 
funding under this funding category must contain the following 
documents and information. Only threshold requirements, and not 
application submission requirements, will be used for determining 
eligibility for funding. (Please note that items 1-6 are threshold 
requirements for a threshold review that will be used to determine 
awards for this category; items 7-11 will not be used to select 
awardees):
    (1) Except for Tribes/TDHEs applicants, you must provide evidence 
that your organization has registered with the State as a nonprofit 
corporation or has 501(c) nonprofit corporation status with the United 
States Internal Revenue Service at the time of application submission.
    (2) Your application must contain letter(s) of support indicating 
supplemental grant funds of not less than 25 percent of the grant 
amount. See Section VI(A)(5) of this program section of the SuperNOFA.

[[Page 14228]]

    (3) In CB applications, you must list in your application the name 
of the RAs or ROs that will receive training, technical assistance and/
or coordinated supportive services and you must submit letters of 
support from each entity identified in your application.
    (4) For applicants other than Tribes/TDHEs, you must provide either 
a signed certification from HUD or an Independent Public Accountant 
that your financial management system and procurement procedures fully 
comply with 24 CFR part 84 or part 85, or your application must contain 
a signed Contract Administrator Partnership Agreement that you will use 
the services of a Contract Administrator in administering your grant. 
Applicants that are troubled PHAs are required to provide written 
agreement that a Contract Administrator has been retained for the term 
of the grant. In cases where the Contract Administrator is the PHA the 
Contract Administration responsibilities can be incorporated into the 
MOU discussed below.
    (5) Your application must contain a signed Memorandum of 
Understanding (MOU) between the RA or RO and PHA or tribe/TDHE which 
describes the specific roles, responsibilities and activities to be 
undertaken by all parties to the MOU. Your MOU, at a minimum, must 
identify the principal parties (i.e. the name of the PHA or tribe/TDHE 
and IRO/nonprofit , the terms of agreement), expectations or terms for 
each party, and indicate that the agreement pertains to the support of 
your grant application. This document is the basis for the foundation 
of the relationship between the IRO/nonprofit and PHA or tribe/TDHE. 
The MOU 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 IRO/nonprofit and 
PHA or tribe/TDHE upon submission of the application.
    (6) You must provide written evidence (e.g. through an executed 
space use agreement if the facility is to be provided by an entity 
other than the PHA or tribe/TDHE) that proposed CB activities or 
training will take place. The community facilities must be within easy 
transportation access (i.e., walking or by direct (no transfers 
required)), convenient, inexpensive and reliable transportation of the 
property represented by the PHA or tribe/TDHE. The written agreement 
must certify that community facilities meet the structural 
accessibility requirement of section 504 of the Rehabilitation Act of 
1973 and the Americans With Disabilities Act of 1990. If a tribe/TDHE 
is the applicant and is using its own property as a community facility, 
it is not exempt from this requirement. The tribe/TDHE is still 
required to provide a narrative to address all details requested for 
this threshold requirement.
    The following are application submission requirements. Only 
threshold requirements, and not application submission requirements, 
will be used to determine eligibility for first-come first serve 
funding.
    (7) Explanations for proposed grant activities must be provided by 
narrative statements or descriptions as well as the forms indicated 
below.
    (8) Needs Assessment. For the CB grant applications you must 
provide a narrative description of proposed activities that addresses 
the following information:
    (a) A description of the geographic boundaries of the RAs, ROs, 
RMCs, or tribes/TDHEs included in the application;
    (b) A description of the public or Indian housing community;
    (c) A detailed description of the issues or problems involved with 
each RA or RO to be served by the grant; and
    (d) The resources that are currently being devoted to the problem 
or issue under consideration.
    (9) Proposed Program Activities. CB grant applications must include 
a narrative description describing the activities that you will carry 
out with CB grant funds. Your description must include specific goals, 
objectives and program strategies that will result in successful 
proposed grant activities;
    (10) Experience and Staffing. Your CB grant application must 
provide information about the your organization, including its history, 
staff qualifications, and its previous experience (two page limit). For 
proposed grant staffing, you must include a resume or summary of 
qualifications for all proposed grant staff:

Chart A--CB Program Staffing
Chart B--CB Applicant/Administrator Track Record
Chart C--Summary CB Budget Line Items

    (11) Budget and Cost Information. You must provide a summary of 
your proposed work plan to carry out your proposed grant activities. 
The work plan must include tasks/activities, budgeted amounts, and 
start and end dates for all activities during the grant period.

Chart D--Budget Workplan Summary

    (D) Application Submission Requirements for Resident Service 
Delivery Models. All applications for funding under this funding 
category must contain the following documents and information (Please 
note that items 1-10 are threshold requirements for a threshold review 
and responses to factors of award will be used to determine scoring of 
rating and ranking factors for this category):
    (1) Your application must contain a written certification that at 
least 51 percent of the public housing residents to be included in the 
proposed program are currently eligible to receive, are currently 
receiving, or have received within the preceding five years, assistance 
or services funded under the TANF, SSI, food stamp programs or tribal 
welfare programs.
    (2) Elderly and/or Persons with Disabilities Housing Development 
Certification. A certification that at least 25 percent of the 
residents of the development(s) proposed for grant activities are 
elderly and/or non-elderly people with disabilities at the time of 
application.
    (3) Accessible Community Facility. You must provide evidence (e.g. 
through an executed use agreement if the facility is to be provided by 
an entity other than the PHA or 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 transportation) of the 
property represented by the PHA or tribe/TDHE. The written agreement 
must certify that the community facilities meet the structural 
accessibility requirements of section 504 of the Rehabilitation Act of 
1973 and the Americans With Disabilities Act of 1990. If a tribe/TDHE 
is the applicant and is using its own property as a community facility, 
it is not exempt from this requirement. The tribe/TDHE is still 
required to provide a narrative to address all details requested for 
this threshold requirement.
    (4) Your application must contain letter(s) of support indicating 
supplemental grant funds of not less than 25 percent of the grant 
amount. See Section VI(A)(5) of this program section of the SuperNOFA.
    (5) Physical Improvements. You must submit a description of the 
renovation or conversion to be conducted along with a budget and 
timetable for those activities. You must demonstrate a firm commitment 
of assistance from one or more sources ensuring that supportive 
services will be provided for not less that 2 years following the 
completion of renovation, conversion, or repair activities funded under 
this ROSS competition.
    (6) Except for PHA's or tribes/TDHEs, you must provide either a 
signed certification from HUD or an

[[Page 14229]]

Independent Public Accountant that your financial management system and 
procurement procedures fully comply with 24 CFR part 84 or 85, or your 
application must contain a signed Contract Administrator Partnership 
Agreement that you will use the services of a Contract Administrator in 
administering your grant. Applicants that are troubled PHAs are 
required to provide evidence that a Contract Administrator has been 
retained for the term of the grant. In cases where the Contract 
Administrator is the PHA, the Contract Administration responsibilities 
can be incorporated into the MOU discussed below.
    (7) Applicant Non-Profit Status. Except for PHAs or tribes/TDHEs, 
you must provide evidence that the applicant is registered with the 
State as a nonprofit corporation or has 501(c) status with the United 
States Internal Revenue Service at the time of application submission. 
Evidence of State registration shall be a copy of the certificate of 
incorporation or certificate of good standing from the State Government 
(i.e. Secretary of State or Secretary of Corporations). Evidence of 
501(c) status shall be a copy of the IRS 501(c) designation.
    (8) Certification of Resident Council Board Elections.
    (9) List of RAs or ROs Receiving Support. In RSDM applications you 
must list in your application the name of the RAs or ROs that will 
receive training, technical assistance and/or coordinated supportive 
services and must submit letters of support from each entity identified 
in your application.
    (10) Responses to Factors of Award may be narrative statements or 
descriptions and the forms indicated below:

Factor 1--Capacity of the Applicant and Relevant Organizational 
Experience;
Chart A--Program Staffing
Chart B--Applicant/Administrator Track Record
Factor 2--Need/Extent of the Problem;
Chart C--Summary Budget line Items
Chart D--Budget Workplan Summary
Factor 3--Soundness of Approach;
Factor 4--Leveraging Resources; and
Factor 5--Coordination, Self-Sufficiency and Sustainability.
Certification of Consistency with the Consolidated Plan
Bonus Points
Certification of Consistency with the RC/EZ/EC Strategic Plan

    (E) Application Submission Requirements for Homeownership 
Supportive Services. All applications for funding under this funding 
category must contain the following documents and information (Please 
note that items 1-5 are threshold requirements for a threshold review 
and responses to factors of award will be used to determine scoring of 
rating and ranking factors for this category):
    (1) Your application must contain a written certification that at 
least 51 percent of the public housing residents to be included in the 
proposed program are currently eligible to receive, are currently 
receiving, or have received within the preceding five years, assistance 
or services funded under the TANF, SSI, or food stamp programs.
    (2) Your application must provide evidence that the targeted 
population of public housing residents to be served by the proposed 
grant (a) were beneficiaries of a previously awarded ROSS grant between 
FY 1999 and FY 2000, or a state or local self-sufficiency program, (b) 
participates in a public housing family self-sufficiency program funded 
from operating subsidies, (c) had increases in earned income of at 
least 35% over a base year, and (d) achieved a level of income that is 
within the acceptable range of the local minimum income required for 
the purchase of a home in the local area.
    (3) You must provide evidence (e.g. through an executed use 
agreement if the facility is to be provided by an entity other than the 
PHA) that a majority of the proposed activities will be administered at 
accessible community facilities within easy transportation access 
(i.e., walking or by direct (no transfers required)), convenient, 
inexpensive and reliable transportation) of the property represented by 
the PHA. The written agreement must certify that the community 
facilities meet the structural accessibility requirements of section 
504 of the Rehabilitation Act of 1973 and the Americans With 
Disabilities Act of 1990.
    (4) Physical Improvements. You must submit a description of the 
renovation or conversion to be conducted along with a budget and 
timetable for those activities. You must demonstrate a firm commitment 
of assistance from one or more sources ensuring that supportive 
services will be provided for not less that 2 years following the 
completion of renovation, conversion, or repair activities funded under 
this ROSS competition.
    (5) Your application must contain letter(s) of support indicating 
supplemental grant funds of not less than 25 percent of the grant 
amount. See Section VI(A)(5) of this program section of the SuperNOFA.
    (6) Responses to Factors of Award may be narrative statements or 
descriptions and the forms indicated below:

Factor 1--Capacity of the Applicant and Relevant Organizational 
Experience;
Chart A--Program Staffing.
Chart B--Applicant/Administrator Track Record.
Factor 2--Need/Extent of the Problem;
Factor 3--Soundness of Approach;
Chart C--Summary Budget line Items.
Chart D--Budget Work plan Summary.
Factor 4--Leveraging Resources; and
Factor 5--Coordination, Self-Sufficiency and Sustainability.
Certification of Consistency with the Consolidated Plan
Bonus Points
Certification of Consistency with the RC/EZ/EC Strategic Plan.

    (F) Application Submission Requirements for Neighborhood Networks 
Centers. All applications for funding under this funding category must 
contain the following documents and information (Please note that items 
1-5 are threshold requirements that will be used for a threshold review 
and responses to factors of award will be used to determine scores for 
rating and ranking for this category;);
    (1) Your application must contain a written certification that at 
least 51 percent of the public housing residents to be included in the 
proposed program are currently eligible to receive, are currently 
receiving, or have received within the preceding five years, assistance 
or services funded under the TANF, SSI, or food stamp programs.
    (2) Accessible Community Facility. You must provide written 
evidence (e.g. through an executed use agreement if the facility is to 
be provided by an entity other than the PHA 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 transportation) of the 
property represented by the PHA. The written agreement must certify 
that community facilities meet the structural accessibility requirement 
of section 504 of the Rehabilitation Act of 1973 and the Americans With 
Disabilities Act of 1990.
    (3) Your application must contain letter(s) of support indicating 
supplemental grant funds of not less than 25 percent of the grant 
amount. See Section VI(A)(5) of the program section of this SuperNOFA.
    (4) You must have an approved financial management system and 
procurement procedures. As evidence of your approved financial 
management or procurement system, you must provide

[[Page 14230]]

a copy of your latest audit report indicating that there are no 
deficiencies in either area and that your financial management system 
and procurement procedures fully comply with 24 CFR part 85. Applicants 
that are troubled PHAs are required to provide written agreement that a 
Contract Administrator has been retained for the term of the grant.
    (5) Physical Improvements. You must submit a description of the 
renovation or conversion to be conducted along with a budget and 
timetable for those activities. You must demonstrate a firm commitment 
of assistance from one or more sources ensuring that supportive 
services will be provided for not less than 2 years following the 
completion of renovation, conversion, or repair activities funded under 
this ROSS competition. The following are application submission 
requirements and will not be used for determining eligibility for 
funding.
    (6) Responses to Factors of Award may be narrative statements or 
descriptions and the forms indicated below:

Factor 1--Capacity of the Applicant and Relevant Organizational 
Experience;
Chart A--Program Staffing
Chart B--Applicant/Administrator Track Record
Factor 2--Need/Extent of the Problem;
Factor 3--Soundness of Approach;
Chart C--Summary Budget line Items
Chart D--Budget Work plan Summary
Factor 4--Leveraging Resources; and
Factor 5--Coordination, Self-Sufficiency and Sustainability.
Certification of Consistency with the Consolidated Plan
Bonus Points
Certification of Consistency with the RC/EZ/EC Strategic Plan.

    (G) Application Submission Requirements for Public Housing Service 
Coordinators for the Elderly and Persons with Disabilities. All 
applications for funding under this funding category must contain the 
following documents and information (Please note that items 1-2 are 
threshold requirements for a threshold review to be used to determine 
renewal funding for this category):
    (1) Your application must contain letter(s) of support indicating 
supplemental grant funds of not less than 25 percent of the grant 
amount. See Section VI(A)(5) of this program section of the SuperNOFA.
    (2) SC Request Letter Format.
    The following are application submission requirements. Only 
threshold requirements, and not application submission requirements, 
will be used for determining eligibility for renewal funding.
    (3) Evidence of comparable salaries in local area; and
    (4) Lead Agency letter format (if appropriate);

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    It is anticipated that most activities under this ROSS funding will 
be categorically excluded under 24 CFR 58.34(a)(3) or (a)(9), 
58.35(b)(2) or (b)(4), 50.19(b)(3), (b)(9), (b)(12), or (b)(14). An 
applicant proposing any long-term leasing, or physical development 
activities is prohibited from rehabilitating, converting, leasing, 
repairing or constructing property, or committing or expending HUD or 
non-HUD funds for these types of program activities, until one of the 
following has occurred:
    (1) If the grantee is not a PHA or tribe/TDHE, HUD has completed an 
environmental review to the extent required by 24 CFR part 50, prior to 
grant award.
    (2) If the grantee is a PHA or tribe/TDHE, HUD has approved the 
grantee's Request for Release of Funds (HUD Form 7015.15) following a 
Responsible Entity's completion of an environmental review under 24 CFR 
part 58, where required, or if HUD has determined in accordance with 
Sec. 58.11 to perform the environmental review itself under part 50, 
HUD has completed the environmental review.

IX. Authority

    Section 34 of the U.S. Housing Act of 1937 and 24 CFR 964.

Appendix B

    The non-standard forms, which follow, are required for the ROSS 
application.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14363]]



FUNDING AVAILABILITY FOR CONTINUUM OF CARE HOMELESS ASSISTANCE 
PROGRAMS--SUPPORTIVE HOUSING PROGRAM (SHP), SHELTER PLUS CARE 
(S+C), SECTION 8 MODERATE REHABILITATION SINGLE ROOM OCCUPANCY 
PROGRAM FOR HOMELESS INDIVIDUALS (SRO)

PROGRAM OVERVIEW

    Purpose of the Programs. The purpose of the Continuum of Care 
Homeless Assistance Programs is to fund projects that will fill gaps in 
locally developed Continuum of Care systems to assist homeless persons 
to move to self-sufficiency and permanent housing. An important element 
of meeting this objective is to fund projects that will meet the 
Department's goal of ending chronic homelessness.
    Available Funds. Approximately $950 million.
    Eligible Applicants. The chart in the Appendix A to this program 
section of this SuperNOFA identifies the eligible applicants for each 
of the three programs under the Continuum of Care.
    Application Deadline. June 21, 2002.
    Match. Yes.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under any of the 
Continuum of Care Homeless Assistance programs, please review carefully 
the General Section of the SuperNOFA and the following additional 
information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Your completed application (an original 
containing the signed documentation and two copies) is due on or before 
5:30 PM Eastern time, on June 21, 2002 to the addresses shown below.
    See the General Section of this SuperNOFA for specific procedures 
that you must follow for the form of application submissions (e.g., 
mailed applications, express mail, or overnight delivery).
    New Security Procedures. HUD has implemented new security 
procedures that apply to application submission. Please read the 
following instructions carefully and completely. HUD will not accept 
hand delivered applications. Applications may be mailed using the 
United States Postal Service (USPS) or may be shipped via the following 
delivery services: United Parcel Service (UPS), FedEX, DHL, or Falcon 
Carrier. No other delivery services are permitted into HUD Headquarters 
without escort. You must, therefore, use one of the four carriers 
listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received by HUD Headquarters on or within 
fifteen (15) days of the application due date. All applicants must 
obtain and save a Certificate of Mailing showing the date when you 
submitted your application to the United States Postal Service (USPS). 
The Certificate of Mailing will be your documentary evidence that your 
application was timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of the four carrier services that 
do business with HUD Headquarters regularly. These services are UPS, 
DHL, FedEx, and Falcon Carrier. Delivery by these services must be made 
during HUD's Headquarters business hours, between 8:30 AM and 5:30 PM 
Eastern time, Monday to Friday. If these companies do not service your 
area, you should submit your application via the United States Postal 
Service.
    Addresses for Submitting Applications. To HUD Headquarters. Submit 
your original completed application (the application with the original 
signed documentation) to: Room 7270, Office of Community Planning and 
Development, Department of Housing and Urban Development, 451 Seventh 
Street, SW., Washington, DC 20410, Attention: Continuum of Care 
Programs.
    To the Appropriate CPD Field Office. Also submit two copies of your 
completed application to the Community Planning and Development 
Division of the appropriate HUD Field Office for your jurisdiction. The 
HUD Field Office must receive the two copies of your application by the 
deadline date as well. The determination, however, that your 
application was received on time will be made solely on receipt of the 
application at HUD Headquarters in Washington. Reviews will be based 
upon the contents of the application submitted to HUD Headquarters.
    For Application Kits. For an application kit, please call the 
SuperNOFA Information Center at 1-800-HUD-8929 (voice) or 1-800-HUD-
2209 (TTY), or you may download an application by Internet at http://www.hud.gov.
    For Further Information. You may contact the HUD Field Office 
serving your area, at the telephone number shown in Appendix A to the 
General Section of the SuperNOFA, or you may contact the Community 
Connections Information Center at 1-800-998-9999 (voice) or 1-800-HUD-
2209 (TTY) or by Internet at: http://www.hud.gov.
    For Technical Assistance. Before the application deadline, HUD 
staff will be available to provide you with general guidance. HUD 
staff, however, cannot provide you with guidance in actually preparing 
your application. HUD Field Office staff also will be available to help 
you identify organizations in your community that are involved in 
developing the Continuum of Care system. Following conditional 
selection of applications, HUD staff will be available to assist 
selected applicants in clarifying or confirming information that is a 
prerequisite to the offer of a grant agreement or Annual Contributions 
Contract by HUD. However, between the application deadline and the 
announcement of conditional selections, HUD will accept no information 
that would improve the substantive quality of your application 
pertinent to HUD's funding decision.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD web site at http://www.hud.gov.

II. Amount Allocated

    Approximately $950 million is available for this competition in FY 
2002. Any unobligated funds from previous competitions or additional 
funds that may become available as a result of deobligations or 
recaptures from previous awards or budget transfers may be used in 
addition to 2002 appropriations to fund applications submitted in 
response to this program section of this SuperNOFA. The FY 2002 HUD 
Appropriation Act requires HUD to obligate all Continuum of Care 
homeless assistance funds by September 30, 2004. While these funds will 
remain available for expenditure for five years following that date, 
any funds that you have not used by September 30, 2009, will cease to 
be available altogether. In the Continuum programs, obligation occurs 
upon execution of the grant agreement by HUD and the grantee, or in the 
Section 8 Moderate Rehabilitation for

[[Page 14364]]

Single Room Occupancy program, execution of the Annual Contributions 
Contract (ACC). If you do not have a fully executed grant agreement or 
ACC by September 30, 2004, your award will be withdrawn. If you have 
not used all program funds by September 30, 2009, the funds will be 
deobligated. This requirement is in conflict with the statutory ten 
years of funding that is authorized for the Section 8 Moderate 
Rehabilitation Single Room Occupancy for Homeless Individuals program, 
the Shelter Plus Care/SRO component program and the Shelter Plus Care 
with Rehabilitation component program. HUD will seek legislative 
authority to exempt these programs from the statutory mandate that any 
unexpended balances remaining in an account five years after they cease 
to be available for obligation are cancelled. If this legislative 
authority is not passed, project applicants should be aware that 
remaining funds will be cancelled by September 30, 2009. The funds 
available for the Continuum of Care program can be used under any of 
three programs that can assist in creating community systems for 
combating homelessness. The three programs are:

(1) Supportive Housing;
(2) Shelter Plus Care; and
(3) Section 8 Moderate Rehabilitation Single Room Occupancy for 
Homeless Individuals.

    The chart in the Appendix A to this program section of this 
SuperNOFA summarizes key aspects of the programs, and also provides the 
citations for the statutes and regulations that authorize these 
programs. The regulations listed in the chart provide more detailed 
descriptions of each of the programs.
    As in previous funding availability announcements for the Continuum 
of Care Homeless Assistance Programs, HUD will not specify amounts for 
each of the three programs this year. Instead, the distribution of 
funds among the three programs will depend largely on locally 
determined priorities and overall demand. Local priorities 
notwithstanding, the FY 2002 HUD Appropriations Act requires that not 
less than 30 percent of this year's $1.123 billion Homeless Assistance 
Grants appropriation, excluding amounts provided for one-year renewals 
under the Shelter Plus Care Program, must be used for permanent housing 
projects. For the purposes of this 2002 NOFA, HUD is estimating that 
$118 million of the appropriation will be provided for one-year Shelter 
Plus Care Program renewals. (See Sections V(A)(5)(b) and V(A)(8) of 
this program section of the SuperNOFA for additional information.) 
Since this permanent housing set-aside requirement is expected to 
continue to be part of future competitions and may affect project 
funding selections as described below, you are strongly encouraged to 
begin planning as soon as possible for new permanent housing projects 
to be included as part of your submission in this and future 
competitions.
    Under the FY 2002 HUD Appropriations Act, eligible Shelter Plus 
Care Program grants whose terms are expiring in FY2003 and Shelter Plus 
Care Program grants that have been extended beyond their original five-
year terms but which are projected to run out of funds in FY 2003 will 
be renewed for one year provided that they are determined to be needed 
by the Continuum of Care as evidenced by their inclusion on the 
priority chart. These projects must also meet the applicant and sponsor 
eligibility and capacity requirements described in Section V(A)(1) of 
this NOFA. However, these S+C renewal projects will not count against a 
continuum's pro rata need amount. On the other hand, no S+C renewal 
adjustment will be made to a Continuum of Care's pro rata need amount 
since these projects are being funded outside of the competition. 
Please be advised that Shelter Plus Care renewal applications which are 
not submitted as part of either a ``consolidated'' or ``associated'' 
Continuum of Care application will not be considered as eligible for 
funding. (See Section VI for a description of the three options for 
submitting applications.)

III. Program Description; Eligible Applicants; Eligible Activities

(A) Program Description.

    (1) Developing Continuum of Care Systems. The purpose of the 
Continuum of Care Homeless Assistance Programs is to fund projects that 
will fill gaps in locally developed Continuum of Care systems to assist 
homeless persons, especially the chronically homeless, to move to self-
sufficiency and permanent housing. The process of developing a 
Continuum of Care system to assist homeless persons is part of the 
community's larger effort of developing a Consolidated Plan. For a 
community to successfully address its often complex and interrelated 
problems, including homelessness, the community must marshal its varied 
resources--community and economic development resources, social service 
resources, housing and homeless assistance resources--and use them in a 
coordinated and effective manner. The Consolidated Plan, including the 
Analysis of Impediments to Fair Housing Choice, serves as the vehicle 
for a community to comprehensively identify each of its needs and to 
coordinate a plan of action for addressing them.
    In addition to prevention, a Continuum of Care system consists of 
four basic components:
    (a) A system of outreach and assessment for determining the needs 
and conditions of an individual or family who is homeless;
    (b) Emergency shelters with appropriate supportive services to help 
ensure that homeless individuals and families receive adequate 
emergency shelter and referral to necessary service providers or 
housing finders;
    (c) Transitional housing with appropriate supportive services to 
help those homeless individuals and families who are not prepared to 
make the transition to permanent housing and independent living; and
    (d) Permanent housing, or permanent supportive housing, to help 
meet the long-term needs of homeless individuals and families.
    A Continuum of Care system is developed through a community-wide or 
region-wide process involving nonprofit organizations (including those 
representing persons with disabilities), government agencies, public 
housing authorities, faith-based and other community-based 
organizations and other homeless providers, housing developers and 
service providers, private businesses and business associations, law 
enforcement agencies, funding providers, and homeless or formerly 
homeless persons. To ensure that the Continuum of Care system addresses 
the needs of homeless veterans, it is particularly important that you 
involve veteran service organizations with specific experience in 
serving homeless veterans. A Continuum of Care system should address 
the specific needs of each homeless subpopulation: the jobless, 
veterans, persons with serious mental illnesses, persons with substance 
abuse issues, persons with HIV/AIDS, persons with co-occurring 
diagnoses, victims of domestic violence, youth, and any others. The 
term ``co-occurring diagnoses'' may include diagnoses of multiple 
physical disabilities or multiple mental disabilities or a combination 
of these two types.
    Your application is more likely to be given a high score under the 
Continuum of Care scoring factors if the application demonstrates the 
achievement of three basic goals:

[[Page 14365]]

     That you have provided maximum participation by nonprofit 
organizations (including those representing persons with disabilities), 
government agencies, public housing authorities, faith-based and other 
community-based organizations and other homeless providers, housing 
developers and service providers, private businesses and business 
associations, law enforcement agencies, funding providers, and homeless 
or formerly homeless persons.
     That you have created, maintained and built upon a 
community-wide inventory of housing and services for homeless families 
and individuals; identified the full spectrum of needs of homeless 
families and individuals; and coordinated efforts to fill gaps between 
the current inventory and existing needs. This coordinated effort must 
appropriately address all aspects of the continuum, especially 
permanent housing.
     That you have instituted a Continuum of Care-wide strategy 
to coordinate homeless assistance with mainstream health, social 
services and employment programs for which homeless individuals and 
families may be eligible. These programs include Medicaid, Children's 
Health Insurance Program, Temporary Assistance for Needy Families, Food 
Stamps, and services funding through the Mental Health Block Grant and 
Substance Abuse Block Grant, Workforce Investment Act, Welfare-to-Work 
grant program, and Veterans Health Care.
    Should HUD determine, in its sole discretion, that sufficient 
evidence exists to confirm that the entity responsible for convening 
and managing the Continuum of Care process in a community has failed to 
follow locally established or accepted procedures governing the conduct 
of that process or has failed to provide for a fair process, including 
a project priority selection process that gives equal consideration to 
projects proposed by nonprofit organizations, HUD reserves the 
authority to impose sanctions up to and including a prohibition on that 
entity and the individuals comprising that entity from participating in 
that capacity in the future. In making this determination, HUD will 
consider as evidence court proceedings and decisions, or the 
determinations of other independent and impartial review bodies. This 
authority cannot be exercised until after a description of procedural 
safeguards, including an opportunity for comment and appeal, and the 
specific process and procedures for imposing a prohibition or 
debarment, have been published in the Federal Register.
    In deciding what geographic area you will cover in your Continuum 
of Care strategy, you should be aware that the single most important 
factor in being awarded funding under this competition will be the 
strength of your Continuum of Care strategy when measured against the 
Continuum of Care rating factors described in this program section of 
the SuperNOFA. When you determine what jurisdictions to include in your 
Continuum of Care strategy area, include only those jurisdictions that 
are involved in the development and implementation of the Continuum of 
Care strategy.
    The more jurisdictions you include in the Continuum of Care 
strategy area, the larger the pro rata need share that will be 
allocated to the strategy area (as described in Section V (A)(5) of 
this program section of the SuperNOFA). However, it would be a mistake 
to include jurisdictions that are not fully involved in the development 
and implementation of the Continuum of Care strategy since this would 
adversely affect the Continuum of Care score. If you are a rural 
county, you may wish to consider working with larger groups of 
contiguous counties to develop a region-wide or multi-county Continuum 
of Care strategy covering the combined service areas of these counties.
    Since the basic concept of a Continuum of Care strategy is to 
create a single, coordinated, inclusive homeless assistance system for 
an area, the areas covered by Continuum of Care strategies should not 
overlap. If the geography included in your Continuum of Care strategy 
geographically overlaps to the extent that it competes with another 
application, projects within the Continuum of Care application that 
receive the highest Continuum of Care score will be eligible for up to 
40 Need points. Projects in the competing Continuum of Care application 
with the lower Continuum of Care score will be eligible for only 10 
Need points. In no case will the same geographical area be used more 
than one time in assigning Need points. The local HUD Field Office can 
help you determine if any of the areas proposed for inclusion by your 
Continuum of Care system is also likely to be claimed under another 
Continuum of Care system in this competition.
    (2) Prioritizing. In HUD's view, project priority decisions are 
best made through a local process, which includes nonprofit 
organizations, and are key to the ultimate goal of reducing 
homelessness. Again this year, you must list all projects proposed for 
funding in priority order from the highest priority to the lowest, and 
indicate the applicant, project sponsor, and term for each project. 
Generally, this priority order will mean, for example, that if HUD has 
funds available only to award 8 of 10 proposed projects, then it will 
award funding to the first eight eligible projects listed, except as 
may be necessary to achieve the 30 percent overall permanent housing 
requirement--in which case higher priority non-permanent housing 
projects may be skipped over to fund lower priority permanent housing 
projects. Since you are now able to closely calculate your Continuum of 
Care's total pro rata need amount using information provided to you 
from HUD, and now that you no longer need to carry the large cost 
burden imposed by Shelter Plus Care five-year renewals, the tiering of 
projects (splitting into two or more projects by year or by units) on 
your priority list is not permitted.
    To promote permanent housing, a special incentive is being provided 
to Continuum of Care systems that place an eligible, new permanent 
housing project in the number one priority slot on the priority list. 
See Section V (A)(5)(b) of this program section of the SuperNOFA for a 
description of this incentive.
    HUD will use this priority list to award up to 40 points per 
project under the ``Need'' scoring factors. Higher priority projects 
will receive more points under Need than lower priority projects. A 
project priority chart is included in the application kit and you 
should complete and submit it. If you do not submit clear project 
priority designations for the continuum, or if HUD, at its sole 
discretion, cannot determine priority designations, then HUD will give 
all projects the lowest score for Need.
    (3) Project renewals. If your Supportive Housing or Shelter Plus 
Care grant will be expiring in calendar year 2003, or if your Shelter 
Plus Care Program grant has been extended beyond its original five-year 
term and is projected to run out of funds in FY 2003, you must apply 
under this Continuum of Care program section of the SuperNOFA to get 
continued funding.
    Your local needs analysis process must consider the need to 
continue funding for projects expiring in calendar year 2003. HUD will 
not fund competitive renewals out of order on the priority list except 
as may be necessary to achieve the 30 percent overall permanent housing 
requirement. HUD reserves the authority to use FY 2003 funds, if 
available, to conditionally select for one year of funding lower-

[[Page 14366]]

rated eligible SHP renewal projects that are assigned 40 need points in 
either a ``consolidated'' or ``associated'' Continuum of Care 
application receiving at least 20 points under the Continuum of Care 
scoring factor that would not otherwise receive funding for these 
projects.
    It is important that SHP renewals and Shelter Plus Care non-
competitive renewals meet minimum project eligibility and capacity 
standards identified in this program section of the SuperNOFA or they 
will be rejected from consideration for either competitive or non-
competitive funding.
    For the renewal of a Supportive Housing Program project, you may 
request funding for one (1), two (2) or three (3) years. The total 
amount of the request cannot exceed the average yearly amount received 
in total for leasing, supportive services, and/or operations for the 
grant being renewed, plus up to five percent for administration.
    For the renewal of a Shelter Plus Care project, the grant term will 
be one (1) year, as specified by Congress. For Shelter Plus Care 
renewals, you may request up to the amount determined by multiplying 
the number of units under lease at the time of your application for 
renewal funding by the applicable current Fair Market Rent(s) by 12 
months, except that for Shelter Plus Care grants having been awarded 
one year of renewal funding in 2001, the number of units requested for 
renewal this year may not exceed the number of units funded in 2001. 
While full funding of existing grants may be requested, there is no 
guarantee that the entire amount will be awarded. As is the case with 
SHP, HUD will recapture Shelter Plus Care grant funds remaining unspent 
at the end of the previous grant period when it renews a grant. The 
one-year term of non-competitively awarded Shelter Plus Care renewal 
projects may not be extended.
    This program section of the SuperNOFA is not applicable to the 
renewal of funding under the SRO program. For further guidance on SRO 
renewals, please contact your local HUD Field Office.
    As a project applicant, you are eligible to apply for renewal of a 
grant only if you have executed a grant agreement for the project 
directly with HUD. If you are a project sponsor or subrecipient who has 
not signed such an agreement, you are not eligible to apply for renewal 
of these projects. HUD will reject applications for renewal submitted 
by ineligible applicants. If you have questions about your eligibility 
to apply for project renewal, contact the local HUD field office. To be 
considered an applicant when applying as part of a ``consolidated'' 
application, you must be an eligible applicant for the program for 
which you are applying, and you must submit an originally signed Form 
SF-424 and the necessary certifications and assurances. (See Section VI 
for a description of the three options for submitting an application.) 
Only public housing authorities and private nonprofits are eligible 
applicants for the Section 8 Moderate Rehabilitation for Single Room 
Occupancy program. If you are a unit of general local government acting 
as an applicant for a consolidated application and plan to include a 
request for Section 8 SRO funds, you must have a public housing 
authority or nonprofit listed as the Section 8 SRO applicant and they 
must submit a signed Form SF-424, along with all necessary 
certifications and assurances applicable to the Section 8 SRO project.

(B) Eligible Applicants

    See Appendix A.

(C) Eligible Activities

    See Appendix A.

IV. Program Requirements

(A) Conducting Business In Accordance With Core Values and Ethical 
Standards

    See Section II(A)(2) of General Section of the SuperNOFA.

(B) Statutory and Regulatory Requirements

    If your project is selected for funding as a result of the 
competition, you will be required to coordinate and integrate your 
homeless program with other mainstream health, social services, and 
employment programs for which homeless populations may be eligible, 
including Medicaid, Children's Health Insurance Program, Temporary 
Assistance for Needy Families, Food Stamps, and services funding 
through the Mental Health Block Grant and Substance Abuse Block Grant, 
Workforce Investment Act, Welfare-to-Work grant program and Veterans 
Health Care. In addition, as a condition for award, any governmental 
entity serving as an applicant must agree to develop and implement, to 
the maximum extent practicable and where appropriate, policies and 
protocols for the discharge of persons from publicly funded 
institutions or systems of care (such as health care facilities, foster 
care or other youth facilities, or correction programs and 
institutions) in order to prevent such discharge from immediately 
resulting in homelessness for such persons. This condition for award is 
intended to emphasize that States and units of general local government 
are primarily responsible for the care of these individuals, and to 
forestall attempts to use scarce McKinney-Vento Act funds to assist 
such persons in lieu of State and local resources.

(C) Program specific requirements follow:

    (1) SRO Program. As an applicant, you need to know that the 
following limitations apply to the Section 8 SRO program:
     Under section 8(e)(2) of the United States Housing Act of 
1937, no single project may contain more than 100 assisted units;
     Under 24 CFR 882.802, applicants that are private 
nonprofit organizations must subcontract with a Public Housing 
Authority to administer the SRO assistance;
     Under section 8(e)(2) of the United States Housing Act of 
1937 and 24 CFR 882.802, rehabilitation must involve a minimum 
expenditure of $3,000 for a unit, including its prorated share of work 
to be accomplished on common areas or systems, to upgrade conditions to 
comply with the Housing Quality Standards.
     Under section 441(e) of the McKinney-Vento Act and 24 CFR 
882.805(d)(1), HUD publishes the SRO per unit rehabilitation cost limit 
each year to take into account changes in construction costs. This cost 
limitation applies to rehabilitation that is compensated for in a 
Housing Assistance Payments Contract. For purposes of Fiscal Year 2002 
funding, the cost limitation is raised from $18,200 to $18,500 per unit 
to take into account increases in construction costs during the past 
12-month period.
     The SRO Program is subject to the Federal labor standards 
provisions at 24 CFR part 882, subpart H.
     Individuals assisted through the SRO Program must meet the 
definition of homeless individual found at section 103 of the McKinney-
Vento Act.
    (2) Shelter Plus Care/SRO Component. With regard to the SRO 
component of the Shelter Plus Care program, if you are a State or a 
unit of general local government, you must subcontract with a Public 
Housing Authority to administer the Shelter Plus Care assistance. Also 
with regard to this component, no single project may contain more than 
100 units.
    (3) Supportive Housing Program. Please be advised that where an 
applicant for Supportive Housing Program funding is a State or unit of 
general local government that utilizes one or more nonprofit 
organizations to

[[Page 14367]]

administer the homeless assistance project(s), administrative funds 
provided as part of the SHP grant must be passed on to the nonprofit 
organization(s) in proportion to the administrative burden borne by 
them for the SHP project(s). HUD will consider States or units of 
general local government that pass on at least 50 percent of the 
administrative funds made available under the grant as having met this 
requirement which was contained in the congressional committees' report 
accompanying the FY 2001 HUD Appropriations Act. This requirement does 
not apply to either the SRO Program, since no administrative funds are 
provided as part of the grant, or to the S+C Program, since paying the 
costs associated with the administration of these grants is ineligible 
by regulation.

(D) Match

    You must match Supportive Housing Program funds provided for 
acquisition, rehabilitation, and new construction with an equal amount 
of funds from other sources; for operating costs, since by law SHP can 
pay no more than 75% of the total operating budget for supportive 
housing, you must provide at least 25% of the annual operating costs. 
In addition, you must provide a 25% cash match of all SHP funding for 
supportive services. The cash source may be you, the Federal 
Government, State and local governments, or private resources. You must 
match rental assistance provided through the Shelter Plus Care Program 
in the aggregate with supportive services.

(E) Timeliness Standards

    As an applicant, you are expected to initiate your approved 
projects promptly in accordance with Section II of this NOFA. In 
addition, HUD may take action if you fail to satisfy the following 
timeliness standards:
(1) Supportive Housing Program
     HUD will deselect your award if you do not demonstrate 
site control within one (1) year of the date of your grant award 
letter, as required by the McKinney-Vento Act at 42 U.S.C. 11386(a)(3) 
and implemented in program regulations at 24 CFR 583.320(a).
     HUD may deobligate SHP funds if the following additional 
timeliness standards are not met:

--You must begin construction activities within eighteen (18) months of 
the date of HUD's grant award letter and complete them within thirty-
six (36) months after that notification.
--For activities that cannot begin until construction activities are 
completed, such as supportive service or operating activities that will 
be conducted within the building being rehabilitated or newly 
constructed, you must begin these activities within three (3) months 
after you complete construction.
--You must begin all activities that may proceed independent of 
construction activities within twelve (12) months of the date of HUD's 
grant award letter.
(2) Shelter Plus Care Program Components Except SRO Component
    HUD may deobligate S+C funds if you do not meet the following 
timeliness standards:
     For Tenant-based Rental Assistance, for Sponsor-based 
Rental Assistance, and for Project-based Rental Assistance without 
rehabilitation, you must start the rental assistance within twelve (12) 
months of the date of HUD's grant award letter.
     For Project-based Rental Assistance with rehabilitation, 
you must complete the rehabilitation within twelve (12) months of the 
date of HUD's grant award letter.
(3) SRO Program and SRO Component of the Shelter Plus Care Program
    For projects carried out under the SRO program and the SRO 
component of the S+C program, the rehabilitation work must be completed 
and the Housing Assistance Payments contract executed within twelve 
(12) months of execution of the Annual Contributions Contract. HUD may 
reduce the number of units or the amount of the annual contribution 
commitment if, in HUD's determination, the Public Housing Authority 
fails to demonstrate a good faith effort to adhere to this schedule.

V. Application Selection Process

    (A) Review, Rating and Conditional Selection. HUD will use the same 
review, rating, and conditional selection process for all three 
programs (S+C, SRO, and SHP). The standard factors for award identified 
in the General Section of this SuperNOFA have been modified in this 
program section as described below. Only the factors described in this 
program section--Continuum of Care and Need--will be used to assign 
points. To review and rate applications, HUD may establish panels. In 
order to obtain certain expertise and outside points of view, including 
views from other Federal agencies, these panels may include persons not 
currently employed by HUD. Two types of reviews will be conducted. 
Paragraphs (1) and (2) below describe threshold reviews and paragraphs 
(3) and (4) describe factors--Continuum of Care and Need--that will be 
used to assign points. Up to 104 points (including 2 bonus points for 
RC/EZ/EC communities described in Section III (C)(1), and 2 bonus 
points for the court-ordered consideration described in Section III 
(C)(3), of the General Section of the SuperNOFA) will be assigned using 
these factors.
    (1) Applicant and sponsor eligibility and capacity. HUD will review 
your capacity as the applicant and project sponsor to ensure the 
eligibility and capacity standards in this section are met. If HUD 
determines these standards are not met, the project will be rejected 
from the competition. The eligibility and capacity standards are:
     You must be eligible to apply for the specific program;
     You must demonstrate ability to carry out the project(s). 
With respect to each proposed project, this means that in addition to 
knowledge of and experience with homelessness in general, the 
organization carrying out the project, its employees, or its partners, 
must have the necessary experience and knowledge to carry out the 
specific activities proposed, such as housing development, housing 
management, and service delivery;
     If you or the project sponsors are current or past 
recipients of assistance under a HUD McKinney-Vento Act program, there 
must have been no delay in implementing projects exceeding applicable 
program timeliness standards that HUD determines is within your or the 
project sponsor's control, no unresolved HUD finding, or no outstanding 
audit finding of a material nature regarding the administration of the 
program; and
     You and the project sponsors must be in compliance with 
applicable civil rights laws and Executive Orders, and must meet the 
threshold requirements of Section II(B) of the General Section of the 
SuperNOFA.
    (2) Project eligibility. HUD will review projects to determine if 
they meet the following eligibility standards. If HUD determines the 
following standards are not met by a specific project or activity, the 
project or activity will be rejected from the competition.
     The population to be served must meet the eligibility 
requirements of the specific program, as described in this program 
section;
     At least one of the activities for which assistance is 
requested must be eligible under the specific program, as described in 
the program regulations;

[[Page 14368]]

     The project must be cost-effective in HUD's opinion, 
including costs associated with construction, operations, 
administration, and supportive services with such costs not deviating 
substantially from the norm in that locale for the type of structure or 
kind of activity;
     For the Section 8 SRO program, at least 25 percent of the 
units to be assisted at any one site must be vacant at the time of 
application. Tenants returning after having vacated their units during 
the rehabilitation period are not eligible to receive rental assistance 
under the SRO Program since they do not meet the McKinney-Vento Act 
definition of homeless individual; and
     For those projects proposed under the SHP innovative 
category: Whether or not a project is considered innovative will be 
determined on the basis that the particular approach proposed is new 
and can be replicated.
    (3) Project quality. HUD will review projects to determine if they 
meet the following quality standards. The housing and services proposed 
must be appropriate to the needs of the persons to be served. HUD may 
find a project to be inappropriate if:
     The type, scale and general location of the housing or 
services do not fit the needs of the proposed participants. A S+C or 
SHP project renewal will be considered as having met this requirement 
through its previously approved grant application.
     A specific plan for ensuring that clients will be assisted 
to obtain the benefits of the mainstream health, social service, and 
employment programs for which they are eligible is not provided. A S+C 
project renewal will be considered as having met this requirement 
through its previously approved grant application;
     Housing accessibility for persons with disabilities will 
not be provided as required by applicable laws. A SHP or S+C project 
renewal will be considered as having met this requirement through its 
previously approved grant application;
     The description of supportive services only projects, and 
all others, do not show how participants will be helped to access 
permanent housing and achieve self-sufficiency. A S+C project renewal 
will be considered as having met this requirement through its 
previously approved grant application;
     Renewal projects must evidence satisfactory performance 
for their existing grant in HUD's opinion based upon the substantial 
achievement of their program goals as reflected in their most recent 
Annual Progress Report. (New projects funded for one year in 2001 are 
not subject to this requirement.);
     Renewal projects do not evidence that they have assisted 
clients to obtain the benefits of the mainstream health, social 
service, and employment programs for which they were eligible as 
evidenced in their most recent Annual Progress Report;
    (4) Continuum of Care. HUD will award up to 60 points as follows:
    (a) Process and Strategy. HUD will award up to 20 points based on 
the extent to which your application demonstrates:
     The existence of a coordinated and inclusive community 
process, including organizational structure(s), for developing and 
implementing a Continuum of Care strategy which includes nonprofit 
organizations (such as veterans service organizations, organizations 
representing persons with disabilities, faith-based and other 
community-based organizations, and other groups serving homeless 
persons), State and local governmental agencies, public housing 
authorities, housing developers and service providers, law enforcement, 
hospital and medical entities, funding providers, local businesses and 
business associations, and homeless or formerly homeless persons; and
     That a well-defined and comprehensive strategy has been 
developed which addresses the components of a Continuum of Care system 
(i.e., prevention, outreach, intake, and assessment; emergency shelter; 
transitional housing; permanent and permanent supportive housing) and 
that strategy has been designed to serve all homeless subpopulations in 
the community (e.g., seriously mentally ill, persons with multiple 
diagnoses, veterans, persons with HIV/AIDS), including those persons 
living in emergency shelters, supportive housing for homeless persons, 
or in places not designed for, or ordinarily used as, a regular 
sleeping accommodation for human beings.
    (b) Gaps and Priorities. HUD will award up to 20 points based on 
the extent to which your application:
    (i) Describes the gap analysis performed, uses reliable information 
and sources that are presented completely and accurately; and
    (ii) Proposes projects that are not inconsistent with the gaps 
analysis described in the Continuum of Care strategy, describes a fair 
project selection process, explains how gaps identified through the 
analysis are being addressed, and correctly completes the priority 
chart.
    When HUD reviews a community's Continuum of Care to determine the 
points to assign, HUD will consider whether the community took its 
renewal needs into account in preparing its project priority list. (See 
discussion on renewals in Section III(A)(3) of this NOFA.)
    (c) Supplemental Resources. HUD will award up to 15 points based on 
the extent to which your application incorporates mainstream resources 
and demonstrates leveraging of funds requested under this program 
section of the SuperNOFA with other resources, including private, other 
public, and mainstream services and housing programs. To achieve the 
highest rating for this factor, applicants must evidence explicit 
Continuum of Care-wide strategies to coordinate homeless assistance 
with mainstream health, social services and employment programs for 
which homeless populations may be eligible. These include Medicaid, 
Children's Health Insurance Program, Temporary Assistance for Needy 
Families, Food Stamps, and services funding through the Mental Health 
Block Grant and Substance Abuse Block Grant, Workforce Investment Act, 
the Welfare-to-Work grant program, and Veterans Health Care.
    (d) Emphasis on housing. HUD will award up to 5 points based upon 
the relationship between funds requested for housing activities and 
funds requested for supportive service activities among projects 
assigned 40 need points (excluding Shelter Plus Care renewals). Points 
will be awarded on a sliding scale with the Continuums with the highest 
percentage of approvable requests for funds for housing activities 
receiving the highest points. To receive points, the Continuum must 
have a total amount of approvable funds for housing activities that is 
at least 50 percent of funds for all approvable projects that are 
assigned 40 need points (excluding Shelter Plus Care renewals). HUD 
will count as housing activity all approvable funds for rental 
assistance and approvable funds for acquisition, rehabilitation, 
construction, leasing and operations when used in connection with 
housing.
    (e) EZ/EC bonus points. As provided for in Section III(C)(1) of the 
General Section of this SuperNOFA, HUD will add a bonus of up to 2 
points to the Continuum of Care score when: (1) At least one proposed 
homeless assistance project will be located within the boundaries and/
or will principally serve the residents of a federal Empowerment Zone, 
Enterprise Community, Enhanced Enterprise Community, Strategic

[[Page 14369]]

Planning Community or Renewal Community (collectively ``EZ/EC''); and 
(2) if priority placement will be given by the project(s) to homeless 
persons living on the streets or in shelters within the EZ/EC, or whose 
last known address was within the EZ/EC. In addition, and in order for 
a Continuum of Care system to receive any of the bonus points, the 
applicant must specifically state how it meets the requirements for the 
two EZ/EC bonus points, and provide a narrative describing the extent 
of the linkages and coordination between proposed projects and the EZ/
EC. Examples of such coordination include having common board or 
committee membership (EZ/EC and Continuum of Care), and having EZ/EC 
resources directed toward Continuum of Care activities. The greater the 
extent of EZ/EC involvement in, and coordination with, the 
implementation strategy for the Continuum of Care system and projects, 
the greater the likelihood that bonus points will be awarded.
    (f) Court-ordered consideration. Section III(C)(3) of the General 
Section is applicable to this program.
    (5) Need. HUD will award up to 40 points for need. There is a 
three-step approach to determining the need scores to be awarded to 
projects:
    (a) Determining relative need: To determine the homeless assistance 
need of a particular jurisdiction, HUD will use nationally available 
data, including the following factors as used in the Emergency Shelter 
Grants program: data on poverty, housing overcrowding, population, age 
of housing, and growth lag. Applying those factors to a particular 
jurisdiction provides an estimate of the relative need index for that 
jurisdiction compared to other jurisdictions applying for assistance 
under this program section of the SuperNOFA.
    (b) Applying relative need: HUD will then apply that relative need 
index to the total amount of funding estimated to be competitively 
available under this program section of the SuperNOFA to determine a 
jurisdiction's pro rata need. However, in order to promote permanent 
housing for the homeless, if a Continuum of Care's number one priority 
project qualifies as an eligible, new permanent housing project, then 
the full amount of that project's eligible activities, up to the lesser 
of 100 percent of the Continuum of Care's preliminary pro rata need or 
$500,000, will be added to the final pro rata need amount for the 
Continuum. HUD also reserves the right to adjust pro rata need, if 
necessary, to address SHP project renewals.
    (c) Awarding need points to projects: Once the pro rata need is 
established, it is applied against the priority project list in the 
application. Starting from the highest priority project, HUD proceeds 
down the list to award need points to each project. An eligible project 
will receive the full 40 points for need if at least one half of its 
requested amount falls within the pro rata need amount for that 
Continuum of Care (COC). Thereafter, HUD proceeds further down the 
priority project list and awards 15 points for need to each project if 
at least one half of its requested amount falls within the ``second 
tier'' of pro rata need amount for that Continuum of Care. The ``second 
tier'' is the amount between the pro rata need and twice the pro rata 
need for the COC. Remaining projects each receive 10 points. If 
projects are not prioritized for the Continuum, then all projects will 
receive 10 points for Need.
    In the case of competing applications from a single jurisdiction or 
service area, projects in the application that received the highest 
score out of the possible 60 points for Continuum of Care are eligible 
for up to 40 points under Need. Projects in the competing applications 
with lower Continuum of Care scores are eligible for only 10 points 
under Need.
    (6) Ranking. HUD will add the score for Continuum of Care to the 
Need score and EZ/EC bonus points, if any, to obtain a total score for 
each project. The projects will then be ranked from highest to lowest 
according to the total combined score.
    (7) Conditional Selection and Adjustments to Funding.
    (a) Conditional Selection. Whether a project is conditionally 
selected, as described in Section V (B) below, will depend on its 
overall ranking compared to others, except that HUD reserves the right 
to select lower rated eligible projects in order to meet the 30 percent 
overall permanent housing requirement. (See Section V (A)(8) for 
additional selection information.)
    When insufficient funds remain to fund all projects in the 
competition having the same total score, HUD will first fund permanent 
housing projects if necessary to achieve the 30 percent overall 
permanent housing requirement. HUD will then break ties among the 
remaining projects with the same total score by comparing scores 
received by the projects for each of the following scoring factors, in 
the order shown: Need, Overall Continuum of Care score, COC Process and 
Strategy, COC Gaps and Priorities, and COC Supplemental Resources. The 
final tie-breaking factor is the priority number of the competing 
projects on the applicable COC priority list(s).
    (b) Adjustments to Funding. The Secretary of HUD has determined 
that geographic diversity is appropriate to carrying out homeless 
assistance programs in an effective manner. HUD believes that 
geographic diversity can be achieved best by awarding grants to as many 
COCs as possible. To this end, in instances where any of the 50 States, 
the District of Columbia, the Commonwealth of Puerto Rico, Guam, the 
Northern Mariana Islands, the Virgin Islands, and American Samoa does 
not have at least one funded COC, HUD reserves the right to fund 
eligible project(s) receiving 40 Need points in the COC with the 
highest total score in that jurisdiction. To qualify for funding, the 
total score for these first tier projects on the COC priority list must 
be at least 65 points. In the case of two or more COCs with the same 
total score, HUD will use the tie-breaking rules described above. In 
addition, if the highest priority project passing threshold 
requirements within a COC fails to meet the criteria for receiving 40 
Need points, HUD reserves the right to reduce the total requested 
amount for that project to allow it to qualify for 40 Need points. 
Finally, if the total amount that would be awarded for first tier 
projects in a Continuum of Care exceeds the final pro rata need amount 
for that COC by more than $250,000, the lowest priority first tier 
project being selected for funding will be reduced to the level 
necessary to ensure that the total amount being awarded for such 
projects does not exceed the final pro rata need amount by more than 
$250,000. HUD may otherwise adjust funding of applications in 
accordance with the provisions of Section III(E) of the General Section 
of the SuperNOFA. In addition, HUD reserves the right to ensure that a 
project that is applying for, and eligible for, selection under this 
competition is not awarded funds that duplicate activities.
    (8) Additional selection considerations. HUD also will apply the 
limitations on funding described below in making conditional 
selections.
    In accordance with the appropriation for homeless assistance grants 
in the Fiscal Year 2002 Appropriation Act for HUD (Pub.L. 107-73, 
approved November 26, 2001; 115 Stat. 651), HUD will use not less than 
30 percent of the total FY 2002 Homeless Assistance Grants 
appropriation, excluding amounts provided for renewals under the 
Shelter Plus Care Program, to fund projects that meet the definition of 
permanent housing. Projects meeting the definition of permanent housing 
for this purpose are: (1) New Shelter Plus Care projects, (2) Section 8 
SRO projects, and (3) new and renewal

[[Page 14370]]

projects under the Supportive Housing Program that are designated as 
either permanent housing for homeless persons with disabilities or Safe 
Havens projects having the characteristics of permanent housing for 
homeless persons with disabilities, including leases with the program 
participants, that, in addition, have been assigned at least 15 Need 
points, and which are submitted as part of either a ``consolidated'' or 
``associated'' Continuum of Care application receiving at least 20 
points under the Continuum of Care scoring factor. However, no 
Continuum of Care application may receive more than 30 percent of its 
pro rata need, up to $3 million, for ``second-tier'' permanent housing 
projects assigned 15 Need points that are selected for funding under 
this procedure. (See Section V(A)(5)(c) for definition of ``second-
tier''.) Since the FY 2002 Homeless Assistance Grants appropriation, 
excluding an estimated $118 million for Shelter Plus Care Program 
renewals, is $1.005 billion, not less than approximately $302 million 
must be awarded to permanent housing projects unless an insufficient 
number of approvable permanent housing projects are submitted. This 
permanent housing funding requirement may result in higher scoring non-
permanent housing projects being skipped over to fund lower scoring 
permanent housing projects or, within a Continuum, higher priority non-
permanent housing projects being skipped over to fund lower priority 
permanent housing projects. HUD will first skip over new non-permanent 
housing projects when making project selections in order to meet the 30 
percent requirement. If the 30 percent requirement has not been met 
after skipping over the new non-permanent housing projects, then HUD 
will skip over non-permanent housing renewal projects. In skipping over 
new non-permanent housing projects, HUD will begin with the lowest 
rated, eligible new non-permanent project at the funding line and 
continue up the ranking until the 30 percent requirement is met. If HUD 
is required to skip over non-permanent housing renewal projects, HUD 
will proceed in the same way.
    In accordance with section 429 of the McKinney-Vento Act, HUD will 
award Supportive Housing funds as follows: Not less than 25 percent for 
projects that primarily serve homeless families with children; not less 
than 25 percent for projects that primarily serve homeless persons with 
disabilities; and not less than 10 percent for supportive services not 
provided in conjunction with supportive housing. After projects are 
rated and ranked, based on the factors described above, HUD will 
determine if the conditionally selected projects achieve these minimum 
percentages. If not, HUD will skip higher-ranked projects in order to 
achieve these minimum percentages.
    In accordance with section 463(a) of the McKinney-Vento Act, as 
amended by the Housing and Community Development Act of 1992, at least 
10 percent of Shelter Plus Care funds will be awarded for each of the 
four components of the program: Tenant-based Rental Assistance; 
Sponsor-based Rental Assistance; Project-based Rental Assistance; and 
Section 8 Moderate Rehabilitation of Single Room Occupancy Dwellings 
for Homeless Individuals (provided there are sufficient numbers of 
approvable projects to achieve these percentages). After projects are 
rated and ranked, based on the factors described above, HUD will 
determine if the conditionally selected projects achieve these minimum 
percentages. If necessary, HUD will skip higher-ranked projects in 
order to achieve these minimum percentages.
    In accordance with section 455(b) of the McKinney-Vento Act, no 
more than 10 percent of the assistance made available for Shelter Plus 
Care in any fiscal year may be used for programs located within any one 
unit of general local government. In accordance with section 441(c) of 
the McKinney-Vento Act, no city or urban county may have Section 8 SRO 
projects receiving a total of more than 10 percent of the assistance 
made available under this program. HUD is defining the 10 percent 
availability this fiscal year as $10 million for Shelter Plus Care and 
$10 million for Section 8 SRO. However, if the amount awarded under 
either of these two programs exceeds $100 million, then the amount 
awarded to any one unit of general local government (for purposes of 
the Shelter Plus Care program) or city or urban county (for the 
purposes of the SRO program) could be up to 10 percent of the actual 
total amount awarded for that program.
    Lastly, HUD reserves the right to reduce the amount of a grant if 
necessary to ensure that no more than 10 percent of assistance made 
available under this program section of the SuperNOFA will be awarded 
for projects located within any one unit of general local government or 
within the geographic area covered by any one Continuum of Care. If HUD 
exercises a right it has reserved under this program section of the 
SuperNOFA, that right will be exercised uniformly across all 
applications received in response to this program section of the 
SuperNOFA.
    (B) Action on Conditionally Selected Applications. HUD will notify 
conditionally selected applicants in writing. As necessary, HUD will 
subsequently request them to submit additional project information, 
which may include documentation to show the project is financially 
feasible; documentation of firm commitments for cash match; 
documentation showing site control; information necessary for HUD to 
perform an environmental review, where applicable; and such other 
documentation as specified by HUD in writing to the applicant, that 
confirms or clarifies information provided in the application. HUD will 
notify SHP, SRO, S+C and S+C/SRO applicants of the deadline for 
submission of such information. If an applicant is unable to meet any 
conditions for fund award within the specified timeframe, HUD reserves 
the right not to award funds to the applicant, but instead to either: 
use them to select the next highest ranked application(s) from the 
original competition for which there are sufficient funds available; or 
add them to funds available for the next competition for the applicable 
program.
    (C) Applicant Debriefing. See Section VII (E)(2) of the General 
Section of the SuperNOFA.

VI. Application Submission Requirements

    The application kit provides the application materials, including 
Form SF-424 and certifications, that must be used in applying for 
homeless assistance under this SuperNOFA. These application materials 
substitute for the forms, certifications, and assurances listed in 
Section II(H) of the General Section of the SuperNOFA (collectively, 
the ``standard'' forms).
    In addition to the required narratives, the items that you must 
submit to HUD as part of the application for homeless assistance 
funding are the following:

(1) 2002 Application Summary Form
(2) Continuum of Care and Project Exhibits
(3) Gaps Analysis Form
(4) Project Priorities Form
(5) Project Leveraging Form
(6) EZ/EC Certification
(7) SF-424
(8) Applicant Certifications
(9) Consolidated Plan Certification(s)

    The standard forms can be found in Appendix B to the General 
Section of the SuperNOFA. The remaining forms

[[Page 14371]]

(i.e., excluding such items as narratives), referred to as the non-
standard forms, can be found in Appendix B to this program section of 
the SuperNOFA).
    The application requires a description of the Continuum of Care 
system and the proposed project(s). To ensure that no applicant is 
afforded an advantage in the rating of the Continuum of Care element 
(described in Section V (A)(4) above), HUD is establishing a limitation 
of 25 pages, excluding required multiple page tables or charts but 
including any attachments, on the length of Exhibit 1 of any 
application submitted in response to this NOFA. HUD will not consider 
the contents of any pages exceeding this limit when rating the 
Continuum of Care element of any application. The application kit also 
contains certifications that the applicant will comply with fair 
housing and civil rights requirements, program regulations, and other 
Federal requirements, and (where applicable) that the proposed 
activities are consistent with the HUD-approved Consolidated Plan of 
the applicable State or unit of general local government, including the 
Analysis of Impediments to Fair Housing Choice and the Action Plan to 
address these impediments. Projects funded under this SuperNOFA shall 
operate in a fashion that does not deprive any individual of any right 
protected by the Fair Housing Act (42 U.S.C. 3601-19), Section 504 of 
the Rehabilitation Act of 1973 (29 U.S.C. 794), the Americans with 
Disabilities Act of 1990 (42 U.S.C. 12101 et seq.), Title VI of the 
Civil Rights Act of 1964 (42 U.S.C. 2000d), Section 109 of the Housing 
and Community Development Act of 1974 (42 U.S.C. 5301) or the Age 
Discrimination Act of 1974 (42 U.S.C. 6101).
    There are three options for submitting an application under this 
program section of the SuperNOFA.
    One: A ``Consolidated Application'' is submitted when a 
jurisdiction (or a consortium of jurisdictions) submits a single 
application encompassing a Continuum of Care strategy and containing 
all the projects within that strategy for which funding is being 
requested. Individual projects are contained within the one 
consolidated application. Grant funding may go to one entity which then 
administers all funded projects submitted in the application, or under 
this option, grant funding may go to all or any of the projects 
individually. Your application will specify the grantee for each 
project.
    Two: ``Associated Applications'' are submitted when applicants plan 
and organize a single Continuum of Care strategy that is adopted by 
project sponsors or operators who choose to submit separate 
applications for projects while including the identical Continuum of 
Care strategy. In this case, project funding would go to each 
successful applicant individually and each would be responsible to HUD 
for administering its separate grant.
    Three: A ``Solo Application'' is submitted when an applicant 
applies for a project exclusive of participation in any community-wide 
or region-wide Continuum of Care development process.
    Options one and two are not substantively different and will be 
considered equally competitive. Applicants are advised that projects 
that are not a part of a Continuum of Care strategy will receive few, 
if any, points under the Continuum of Care rating factors.

VII. Corrections to Deficient Applications

    The General Section of the SuperNOFA provides the procedures for 
corrections to deficient applications (See Section V of the General 
Section).

VIII. Environmental, Local Resident Employment, and Relocation 
Requirements

    (A) Environmental Requirements. All Continuum of Care assistance is 
subject to the National Environmental Policy Act and applicable related 
Federal environmental authorities. Section 208 of Public Law 106-377 
(114 Stat. 1441, approved October 27, 2000) amended section 443 of the 
Stewart B. McKinney-Vento Homeless Assistance Act to provide that for 
purposes of environmental review, Continuum of Care projects shall be 
treated as assistance for special projects that are subject to section 
305(c) of the Multifamily Housing Property Disposition Reform Act of 
1994, and shall be subject to HUD's regulations implementing that 
section. The effect of this provision is that environmental reviews for 
Continuum of Care activities are to be completed by responsible 
entities (States or units of general local government) in accordance 
with 24 CFR part 58, whether or not the applicant is itself a State or 
a unit of general local government. Applicants (such as PHAs or 
nonprofit organizations) that are not States or units of general local 
government must request the unit of general local government to perform 
the environmental review. This statutory provision supersedes those 
portions of 24 CFR 582.230 and 583.230 that provide for automatic HUD 
environmental review in the case of applications from such entities. 
With this exception, conditional selection of projects under the 
Continuum of Care Program is subject to the environmental review 
requirements of 24 CFR 582.230, 583.230, and 882.804(c), as applicable. 
Recipients may not commit or expend any Continuum of Care assistance or 
nonfederal funds on project activities (other than those listed in 24 
CFR 58.22(c), 58.34 or 58.35(b)) until HUD has approved a Request for 
Release of Funds and environmental certification from the responsible 
entity. The expenditure or commitment of Continuum of Care assistance 
or nonfederal funds for such activities prior to this HUD approval may 
result in the denial of assistance for the project under consideration.
    (B) Local Resident Employment. To the extent that any housing 
assistance (including rental assistance) funded through this program 
section of the SuperNOFA is used for housing rehabilitation (including 
reduction and abatement of lead-based paint hazards, but excluding 
routine maintenance, repair, and replacement) or housing construction, 
then it is subject to section 3 of the Housing and Urban Rehabilitation 
Act of 1968, and the implementing regulations at 24 CFR part 135. 
Section 3, as amended, requires that economic opportunities generated 
by certain HUD financial assistance for housing and community 
development programs shall, to the greatest extent feasible, be given 
to low- and very low-income persons, particularly those who are 
recipients of government assistance for housing, and to businesses that 
provide economic opportunities for these persons.
    (C) Relocation. The SHP, S+C, and SRO programs are subject to the 
requirements of the Uniform Relocation Assistance and Real Property 
Acquisition Policies Act of 1970, as amended (URA). These requirements 
are explained in HUD Handbook 1378, Tenant Assistance, Relocation and 
Real Property Acquisition. Any person or family that moves, even 
temporarily, as a direct result of acquisition, rehabilitation or 
demolition for a project that is assisted through one of these programs 
(whether or not HUD funded the acquisition, rehabilitation or 
demolition) is entitled to relocation assistance. Displacement that 
results from leasing a unit in a structure may also trigger relocation 
requirements. Relocation assistance can be expensive. To avoid 
unnecessary costs, it is important to provide occupants with timely 
information notices, including a general information notice to be sent 
at

[[Page 14372]]

the time the application is submitted to HUD. HUD Handbook 1378 
contains guideform information notices. The HUD field office can 
provide a copy of the handbook and copies of appropriate information 
booklets to be provided to occupants. Accordingly, if the site is 
occupied, the applicant should contact the HUD field office in the 
planning stage to obtain advice, including help in estimating the cost 
of required relocation assistance.

IX. Authority

    The Supportive Housing Program is authorized by title IV, subtitle 
C, of the Stewart B. McKinney-Vento Homeless Assistance Act (McKinney-
Vento Act), 42 U.S.C. 11381. Funds made available under this program 
section of the SuperNOFA for the Supportive Housing Program are subject 
to the program regulations at 24 CFR part 583.
    The Shelter Plus Care program is authorized by title IV, subtitle 
F, of the McKinney-Vento Act, 42 U.S.C. 11403. Funds made available 
under this program section of the SuperNOFA for the Shelter Plus Care 
program are subject to the program regulations at 24 CFR part 582.
    The Section 8 Moderate Rehabilitation Program for Single Room 
Occupancy Dwellings for Homeless Individuals (SRO) is authorized by 
section 441 of the McKinney-Vento Act, 42 U.S.C. 11401. Funds made 
available under this NOFA for the SRO program are subject to the 
program regulations at 24 CFR part 882, subpart H.
BILLING CODE 4210-32-P

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FUNDING AVAILABILITY FOR SECTION 202 SUPPORTIVE HOUSING FOR THE 
ELDERLY PROGRAM (SECTION 202 PROGRAM)

PROGRAM OVERVIEW

    Purpose of the Program. This program provides supportive housing 
for very low-income persons 62 years of age or older.
    Available Funds. Approximately $485.6 million.
    Eligible Applicants. Private nonprofit organizations and nonprofit 
consumer cooperatives (see Section III(B) of this NOFA). (See Section 
VIII of this NOFA for information regarding the formation of the Owner 
corporation.)
    Eligible Activities. New construction, rehabilitation, or 
acquisition of housing with or without rehabilitation (see Section 
III(C) of this NOFA).
    Application Deadline. June 5, 2002.
    Match Requirements. No.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Submit your completed applications on or 
before 6 p.m., local time, on June 5, 2002 at the address shown below.
    See the General Section of this SuperNOFA for specific procedures 
governing the submission of applications to HUD Field Offices. Only 
Section 202 applications mailed by United States Postal Service (USPS) 
will be accepted.
    Address for Submitting Applications. Submit your completed 
application (an original and four copies are required) to the Director 
of the appropriate Multifamily Hub Office or Multifamily Program Center 
as listed in Appendix A to the Section 811 program section of this 
SuperNOFA with the following exceptions:
    1. Applications for projects proposed to be located within the 
jurisdiction of the Seattle, Washington and the Anchorage, Alaska 
Offices must be submitted to the Portland, Oregon Office.
    2. Applications for projects proposed to be located within the 
jurisdiction of the Sacramento, California Office must be submitted to 
the San Francisco, California Office.
    3. Applications for projects proposed to be located within the 
jurisdiction of the Cincinnati, Ohio Office must be submitted to the 
Columbus, Ohio Office.
    4. Applications for projects proposed to be located within the 
jurisdiction of the Washington, DC Office must be submitted to the 
Baltimore, Maryland Office.
    The application kit also includes a listing of the Multifamily Hubs 
and Program Centers, their addresses and telephone numbers, including 
TTY numbers. This information is also available from HUD's SuperNOFA 
Information Center at 1-800-HUD-8929 and from the Internet through the 
HUD web site at http://www.hud.gov/grants. Persons with hearing or 
speech impairments may call the Center's TTY number at 1-800-HUD-2209.
    For Application Kits. For an application kit and any supplemental 
materials, please call HUD's 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. When requesting an application kit, 
please refer to the Section 202 Program and provide your name, address 
(including zip code), and telephone number (including area code). The 
application kit also will be available on the Internet through the HUD 
web site at http://www.hud.gov/grants and from the appropriate 
Multifamily Hub or Multifamily Program Center.
    For Further Information and Technical Assistance. You may contact 
the appropriate Multifamily Hub Office or Multifamily Program Center, 
Evelyn Berry at HUD Headquarters at (202) 708-2866, or access the 
Internet at http://www.hud.gov/grants. Persons with hearing and speech 
challenges may access the above number via TTY (text telephone) by 
calling the Federal Relay Service at 1-800-877-8339 (this is a toll-
free number).
    HUD encourages minority organizations and grassroots organizations 
(e.g., civic organizations, congregations and faith-based and other 
community-based organizations) to participate in this program and 
strongly recommends that prospective applicants attend the local HUD 
Office workshop. At the workshops, HUD will explain application 
procedures and requirements as well as address concerns such as local 
market conditions, building codes and accessibility requirements, 
historic preservation, floodplain management, displacement and 
relocation, zoning, and housing costs. If you are interested in 
attending the workshop, make sure that your name, address and telephone 
number are on the appropriate HUD Office's mailing list so that you 
will be informed of the date, time and place of the workshop. Persons 
with disabilities should call the appropriate HUD Office to ensure that 
any necessary arrangements can be made to enable your attendance and 
participation in the workshop.
    If you cannot attend the workshop, call the appropriate HUD Office 
if you have any questions concerning the submission of applications to 
that particular office and to request any materials distributed at the 
workshop.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD web site at http://www.hud.gov/grants.

II. Amount Allocated

    For FY 2002, $ 485,585,696 is available for capital advances for 
the supportive housing for the elderly program. The FY 2002 HUD 
Appropriations Act, Pub. L. 107-73, approved November 26, 2001, (HUD 
Appropriations Act) provides $683,286,000 for capital advances, 
including amendments to capital advance contracts, for supportive 
housing for the elderly as authorized by section 202 of the Housing Act 
of 1959 (12 U.S.C. 1701q), as amended by section 801 of the Cranston-
Gonzalez National Affordable Housing Act (Pub. L. 101-625, approved 
November 28, 1990), and for project rental assistance, and amendments 
to contracts for project rental assistance, for supportive housing for 
the elderly under section 202(c)(2) of the Housing Act of 1959. Of this 
amount, $600,000 shall be transferred to the Working Capital Fund for 
the development and maintenance of information technology systems.
    In accordance with the waiver authority provided in the HUD 
Appropriations Act, the Secretary is waiving the following statutory 
and regulatory provision: The term of the project rental assistance 
contract is reduced from 20 years to 5 years. HUD anticipates that at 
the end of the contract terms, renewals will be approved subject to the 
availability of funds. In addition to this provision, HUD will reserve 
project rental assistance contract funds based on 75 percent rather 
than on 100 percent of the current operating cost standards for 
approved units in order to take into account the average tenant 
contribution toward rent.
    The allocation formula used for Section 202 reflects the ``relevant 
characteristics of prospective program participants,'' as specified in 
24 CFR

[[Page 14378]]

791.402(a). The FY 2002 formula consists of one data element: A measure 
of the number of one and two person elderly renter households with 
incomes at or below HUD's Very-low Income Limit (50 percent of area 
median family income, as determined by HUD, with an adjustment for 
household size), which have housing deficiencies. The counts of elderly 
renter households with housing deficiencies were taken from a special 
tabulation of the 1990 Decennial Census. The formula focuses the 
allocation on targeting the funds based on the unmet needs of elderly 
renter households with housing problems.
    Under Section 202, 85 percent of the total capital advance amount 
is allocated to metropolitan areas and 15 percent to nonmetropolitan 
areas. In addition, each HUD Office jurisdiction receives sufficient 
capital advance funds for a minimum of 20 units in metropolitan areas 
and 5 units in nonmetropolitan areas. The total amount of capital 
advance funds to support these minimum set-asides are subtracted from 
the respective (metropolitan or nonmetropolitan) total capital advance 
amounts available. The remainder is fair shared to each HUD Office 
jurisdiction whose fair share exceeds the minimum set-aside based on 
the allocation formula fair share factors described below.

    Note: The allocations for metropolitan and nonmetropolitan 
portions of the Multifamily Hub or Program Center jurisdictions 
reflect the most current definitions of metropolitan and 
nonmetropolitan areas, as defined by the Office of Management and 
Budget.

    A fair share factor is developed for each metropolitan and 
nonmetropolitan portion of each local HUD Office jurisdiction by 
dividing the number of elderly renter households in the respective 
metropolitan and nonmetropolitan portion of the jurisdiction by the 
total number of elderly rental households in the metropolitan and 
nonmetropolitan portions of the United States. The resulting percentage 
for each local HUD Office jurisdiction is then adjusted to reflect the 
relative cost of providing housing among the HUD Office jurisdictions. 
The adjusted needs percentage for the applicable metropolitan or 
nonmetropolitan portion of each jurisdiction is then multiplied by the 
respective total remaining capital advance funds available nationwide. 
Based on the allocation formula, HUD has allocated the available 
capital advance funds as shown on the following chart:
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III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. HUD provides capital advances and 
contracts for project rental assistance in accordance with 24 CFR part 
891. Capital advances may be used for the construction or 
rehabilitation of a structure, or acquisition of a structure with or 
without rehabilitation (including structures from the Federal Deposit 
Insurance Corporation (FDIC). Capital advance funds bear no interest 
and are based on development cost limits published in this SuperNOFA. 
Repayment of the capital advance is not required as long as the housing 
remains available for occupancy by very low-income elderly persons for 
at least 40 years.
    Project rental assistance contract (PRAC) funds are used to cover 
the difference between what the residents pay for rent and the HUD-
approved expense to operate the project. PRAC funds may also be used to 
provide supportive services and to hire a service coordinator in those 
projects serving the frail elderly residents. The supportive services 
must be appropriate to the category or categories of frail elderly 
residents to be served.
    (B) Eligible Applicants. Private nonprofit organizations and 
nonprofit consumer cooperatives are the only eligible applicants under 
this Section 202 Program. Neither a public body nor an instrumentality 
of a public body is eligible to participate in the program.
    A Sponsor or Co-sponsor may not apply for more than 200 units of 
housing for the elderly in a single Hub or more than 10 percent of the 
total units allocated to all HUD Offices. Also, no single application 
may propose more than the number of units allocated to a HUD office or 
125 units, whichever is less. Reservations for projects will not be 
approved for fewer than 5 units. If the proposed project will be a 
scattered-site development, the 5-unit minimum requirement will apply 
to each site. Affiliated entities that submit separate applications are 
considered to be a single entity for the purpose of these limits.
    (C) Eligible Activities. Section 202 capital advance funds must be 
used to finance the development of housing through new construction, 
rehabilitation, or acquisition of housing with or without 
rehabilitation. Capital advance funds may also be used in combination 
with other non-Section 202 funding sources to develop additional units 
for a mixed-finance or mixed-used project. Project rental assistance 
funds are provided to cover the difference between the HUD-approved 
operating costs and the amount the residents pay (each resident pays 30 
percent of adjusted income) as well as to provide supportive services 
to frail elderly residents. In projects principally serving the frail 
elderly, eligible costs include the salary of a service coordinator.

    Note: For purposes of approving Section 202 capital advances, 
HUD will consider proposals involving mixed-financing or a mixed-use 
purpose for additional units. However, you must obtain funds to 
assist the additional units with other than PRAC funds. HUD will not 
provide PRAC funds for non-Section 202 units.

    (D) Ineligible Activities. Section 202 funds may not be used for 
nursing homes, infirmaries, medical facilities, mobile home projects, 
community centers, headquarters for organizations for the elderly, 
nonhousekeeping accommodations, or refinancing of sponsor-owned 
facilities without rehabilitation.

    Note: You may propose to rehabilitate an existing currently-
owned or leased structure that may or may not already serve elderly 
persons.

IV. Program Requirements

    In addition to the program requirements listed in the General 
Section of this SuperNOFA, as an applicant, you must comply with the 
following requirements. By signing the Section 202 Application for a 
Fund Reservation, you are certifying that you, the applicant, will 
comply with all program requirements, including the following 
requirements:
    (A) Statutory and Regulatory Requirements. You must comply with all 
Section 202 Program statutory and regulatory requirements, as listed in 
Sections III, IV and IX of this program section of the SuperNOFA.
    (B) HUD/RHS Agreement. HUD and the Rural Housing Service (RHS) have 
an agreement to coordinate the administration of the agencies' 
respective rental assistance programs. As a result, HUD is required to 
notify RHS of applications for housing assistance it receives. This 
notification gives RHS the opportunity to comment if it has concerns 
about the demand for additional assisted housing and possible harm to 
existing projects in the same housing market area. HUD will consider 
RHS' comments in its review and application selection process.
    (C) Development Cost Limits. (1) The following development cost 
limits, adjusted by locality as described in Section IV(C)(2) of this 
program section of the SuperNOFA, below, will be used to determine the 
capital advance amount to be reserved for projects for the elderly:
    (a) The total development cost of the property or project 
attributable to dwelling use (less the incremental development cost and 
the capitalized operating costs associated with any excess amenities 
and design features you must pay for) may not exceed:

Nonelevator structures:
    $41,238 per family unit without a bedroom;
    $47,548 per family unit with one bedroom;
    $57,344 per family unit with two bedrooms;
For elevator structures:
    $43,398 per family unit without a bedroom;
    $49,748 per family unit with one bedroom;
    $60,493 per family unit with two bedrooms.

    (b) These cost limits reflect those costs reasonable and necessary 
to develop a project of modest design that complies with HUD minimum 
property standards; the accessibility requirements of Sec. 891.120(b); 
and the project design and cost standards of Sec. 891.120 and 
Sec. 891.210.
    (2) Increased development cost limits.
    (a) HUD may increase the development cost limits set forth in 
Section IV(C)(1) of this program section of the SuperNOFA, above, by up 
to 140 percent in any geographic area where the cost levels require, 
and may increase the development cost limits by up to 160 percent on a 
project-by-project basis. This increase may include covering additional 
costs to make dwelling units accessible through rehabilitation.
    (b) If HUD finds that high construction costs in Alaska, Guam, the 
Virgin Islands, or Hawaii make it infeasible to construct dwellings, 
without the sacrifice of sound standards of construction, design, and 
livability, within the development cost limits provided in Section 
IV(C)(1) of this program section of the SuperNOFA, above, the amount of 
the capital advances may be increased to compensate for such costs. The 
increase may not exceed the limits established under this section 
(including any high cost area adjustment) by more than 50 percent.
    (D) Minimum Capital Investment. Selected nonprofit organizations 
must provide a minimum capital investment of one-half of one percent of 
the HUD-approved capital advance amount, not to exceed $10,000 in 
accordance with Sec. 891.145, with the following exception. If you, as 
Sponsor or Co-Sponsor, have

[[Page 14384]]

one or more Section 202 or one or more Section 811 project(s) under 
reservation, construction, or management in two or more different HUD 
geographical regions (Hubs), the minimum capital investment shall be 
one half of one percent of the HUD-approved capital advance amount, not 
to exceed $25,000.
    (E) Accessibility. If you intend to construct, substantially 
rehabilitate, or acquire, with or without rehabilitation, structures to 
be used as housing for the elderly, you should note 24 CFR 891.120, 
which requires that your project meets accessibility requirements. In 
addition, you should note that 24 CFR 8.4(b)(5) prohibits the selection 
of a site or location which has the purpose or effect of excluding 
persons with disabilities from the Federally-assisted program or 
activity. Thus, if you choose an existing structure, make sure that it 
can be made accessible in accordance with 24 CFR 891.120 and section 
504 of the Rehabilitation Act of 1973, without resulting in an 
infeasible project. HUD also encourages you to add accessible design 
features beyond those required under civil rights laws and regulations. 
See Section VI(C) of the General Section of this SuperNOFA, entitled 
``Encouraging Accessible Design Features.''
    (F) Conducting Business in Accordance with HUD Core Values and 
Ethical Standards. Section 202 Sponsors are not subject to the 
requirements of 24 CFR parts 84 and 85 as outlined in the General 
Section of this SuperNOFA. However, Sponsors are still subject to the 
core values and ethical standards as they relate to the conflict of 
interest provisions in 24 CFR 891.130. To ensure compliance with the 
program's conflict of interest provisions, Section 202 applicants are 
required to sign a Conflict of Interest Resolution and include it in 
the Section 202 application package. Further, if awarded a Section 202 
fund reservation, the officers, directors, board members, trustees, 
stockholders and authorized agents of the Section 202 Sponsor and Owner 
entities will be required to submit to HUD individual certifications 
regarding compliance with HUD's conflict of interest requirements.
    (G) Ensuring the Participation of Small Businesses , Small 
Disadvantaged Businesses, and Women-Owned Businesses. Although the 
Section 202 program is not subject to the provision of 24 CFR 85.36(e) 
as described in the corresponding paragraph in the General Section of 
the SuperNOFA, you are required to comply with Executive Order 12432, 
Minority Business Enterprise Development and Executive Order 11625, 
Prescribing Additional Arrangements for Developing and Coordinating a 
National Program for Minority Business Enterprise as they relate to the 
encouragement of HUD grantees to utilize minority business enterprises.
    (H) Fair Housing Requirements. You must comply with the 
requirements of the Fair Housing Act, Title VI of the Civil Rights Act, 
the Age Discrimination Act of 1975, the affirmative fair housing 
marketing requirements of 24 CFR part 200, subpart M and the 
implementing regulations at 24 CFR part 108, and other applicable 
Federal, State and local laws prohibiting discrimination and promoting 
equal opportunity. In addition, you are required to affirmatively 
further fair housing in conducting your program or activities in accord 
with Section II(D) of the General Section of the SuperNOFA entitled 
``Affirmatively Furthering Fair Housing.''
    (I) Economic Opportunities for Low and Very Low-Income Persons 
(Section 3). You must 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 its implementing regulations at 
24 CFR part 135. You must ensure that training, employment and other 
economic opportunities shall, to the greatest extent feasible, be 
directed toward low and very low-income persons, particularly those who 
are recipients of government assistance for housing and to business 
concerns which provide economic opportunities to low and very low-
income persons. To comply with Section 3 requirements, you are hereby 
certifying that you will strongly encourage your general contractor and 
subcontractors to participate in local apprenticeship programs or 
training programs registered with or certified by the Department of 
Labor's Office of Apprenticeship, Training, Employer and Labor Services 
or recognized State Apprenticeship Agency.
    (J) Design and Cost Standards. You must comply with HUD's Section 
202 design and cost standards (24 CFR 891.120 and 891.210, the Uniform 
Federal Accessibility Standards (24 CFR 40.7), Section 504 of the 
Rehabilitation Act of 1973 and HUD's implementing regulations at 24 CFR 
part 8, and for covered multifamily dwellings designed and constructed 
for first occupancy after March 13, 1991, the design and construction 
requirements of the Fair Housing Act and HUD's implementing regulations 
at 24 CFR part 100, and the Americans with Disabilities Act of 1990.
    (K) Acquisition and Relocation. You must comply with the Uniform 
Relocation Assistance and Real Property Acquisition Policies Act of 
1970, as amended (49 CFR part 24, and 24 CFR 891.155(e)) (URA) which 
covers the acquisition of sites, with or without, existing structures. 
However, you are exempt from complying with the site acquisition 
requirements of the URA if you do not have the power of eminent domain 
and prior to entering into a contract of sale, option to purchase or 
any other method of obtaining site control, you inform the seller of 
the land (1) that you do not have the power of eminent domain and, 
therefore, you will not acquire the property if negotiations fail to 
result in an amicable agreement, and (2) of the estimate of the fair 
market value of the property. An appraisal is not required to meet this 
requirement, however, your files must include an explanation (with 
reasonable evidence) of the basis for the estimate.
    (L) Formation of Owner Corporation. You must form an Owner (in 
accordance with 24 CFR 891.205) after issuance of the capital advance, 
must cause the Owner to file a request for determination of eligibility 
and a request for capital advance, and must provide sufficient 
resources to the Owner to ensure the development and long-term 
operation of the project, including capitalizing the Owner at firm 
commitment processing in an amount sufficient to meet its obligations 
in connection with the project.
    (M) Supportive Services. You must not require residents to accept 
any supportive services as a condition of occupancy.
    (N) Davis-Bacon. You must comply with the Davis-Bacon requirements 
and the Contract Work Hours and Safety Standards Act.
    (O) Flood Disaster Protection Act of 1973. You must comply with the 
requirements under the Flood Disaster Protection Act of 1973 (42 U.S.C. 
4001-4128) and the Coastal Barrier Resources Act (16 U.S.C. 3601).
    (P) National Environmental Policy Act. You must comply with the 
National Environmental Policy Act of 1969 (NEPA) (42 U.S.C. 4321) and 
applicable related environmental authorities at 24 CFR 50.4, HUD's 
implementing regulations at 24 CFR part 50 and 24 CFR 891.155(b).
    (Q) Truth and Accuracy. By signing your application, you are 
certifying that the information you are providing to HUD in your 
application under the Section 202 Program of Supportive Housing for the 
Elderly is true and accurate, to the best of your knowledge.
    (R) Expiration of Section 202 Funds. The FY 2002 HUD Appropriations 
Act requires HUD to obligate all 202 funds appropriated for FY 2002 by 
September

[[Page 14385]]

30, 2004. Under 31 U.S.C. Section 1551, no funds can be disbursed from 
the account after September 30, 2009. Under Section 202, obligation of 
funds occurs for both capital advances and project rental assistance 
upon fund reservation and acceptance. If all funds are not disbursed by 
HUD and expended by the project Owner by September 30, 2009, the funds 
even though obligated will expire and no further disbursements can be 
made from this account. In submitting an application you need to 
carefully consider whether your proposed project can be completed 
through final capital advance closing no later than September 30, 2009. 
Furthermore, absent Congressional relief, all unexpended balances, 
including any remaining balance on PRAC contracts, will be cancelled as 
of October 1, 2009. Amounts needed to maintain PRAC payments for any 
remaining term on the affected contracts beyond that date will have to 
be funded from other current appropriations.

V. Application Selection Process

    (A) Review for Curable Deficiencies. You should ensure that your 
application is complete before submitting it to the appropriate HUD 
Office. HUD will screen all applications received by the deadline for 
curable deficiencies. A curable deficiency is a missing Exhibit or 
portion of an Exhibit that will not affect the rating of the 
application. The following is a list of the deficiencies that will be 
considered curable in a Section 202 application:

Exhibits

    (1) Form 92015-CA (Application Form)*
    (2) (a) Articles of Incorporation*
    (b) By-laws*
    (c) IRS tax exemption ruling*
    (4) (c)(ii) Energy efficiency
    (d)(i) Evidence of site control
    (d)(ii) Evidence site is free of limitations, restrictions or 
reverters
    (d)(vi) Phase I Environmental Site Assessment
    (d)(vii) Letter from State Historic Preservation Officer (SHPO)
    (6) Relocation
    (7) (a) Standard Form 424, Application for Federal Assistance 
and Compliance with Executive Order 12372*
    (b) HUD-50070, Certification of a Drug-free Workplace
    (c) Form-HUD 50071, Certification of Payments to Influence 
Federal Transactions and Standard Form-LLL, Disclosure of Lobbying 
Activities
    (d) Form-HUD 2880, Applicant/Recipient Disclosure/Update Report
    (e) Form-HUD 2992, Certification Regarding Debarment and 
Suspension
    (f) Form-HUD 2991, Certification of Consistency with 
Consolidated Plan
    (g) Conflict of Interest Resolution
    (h) Resolution for Commitment to Project*

    The HUD Office will notify you in writing if your application is 
missing any of the above exhibits or portions of exhibits and you will 
be given 14 days from the date of the HUD notification to submit the 
information required to cure the noted deficiencies. The items 
identified by an asterisk (*) must be dated on or before the 
application deadline date.
    (B) Rating. HUD will review and rate your application in accordance 
with the Application Selection Process in the General Section of this 
SuperNOFA with the following exception. HUD will not reject your 
application based on technical review without notifying you of that 
rejection with all the reasons for rejection, and providing you an 
opportunity to appeal. You will have 14 calendar days from the date of 
HUD's written notice to appeal a technical rejection to the HUD office.
    The HUD office will make a determination on an appeal before making 
its selection recommendations. All applications will be either rated or 
technically rejected at the end of technical review. If your 
application meets all program eligibility requirements after completion 
of technical review, it will be rated according to the rating factors 
in Section V(D) of this Section 202 Program section of the SuperNOFA.
    If an Exhibit or portion of an Exhibit listed above as curable is 
not discovered as a missing item until technical processing, HUD will 
provide you with 14 calendar days in which to cure the deficiency.
    (C) Ranking and Selection Procedures. Applications submitted in 
response to the advertised metropolitan allocations or nonmetropolitan 
allocations that have a total base score (without the addition of EC/EZ 
bonus points) of 70 points or more and meet all of the applicable 
threshold requirements of Section II(B) of the General Section of the 
SuperNOFA will be eligible for selection, and HUD will place them in 
rank order per metropolitan or nonmetropolitan allocation. These 
applications, after adding any bonus points for EC/EZ, will be selected 
based on rank order, up to and including the last application that can 
be funded out of each HUD office's metropolitan or nonmetropolitan 
allocation. HUD offices must not skip over any applications in order to 
select one based on the funds remaining. After making the initial 
selections in each allocation area, however, HUD may use any residual 
funds to select the next rank-ordered application by reducing the 
number of units by no more than 10 percent, rounded to the nearest 
whole number, provided the reduction will not render the project 
infeasible. For this purpose, however, HUD will not reduce the number 
of units in projects of five units or less.
    Once this process has been completed, HUD offices may combine their 
unused metropolitan and nonmetropolitan funds in order to select the 
next ranked application in either category, using the unit reduction 
policy described above, if necessary.
    After the offices have funded all possible projects based on the 
process above, combined metropolitan and nonmetropolitan residual funds 
from all HUD Offices in each Multifamily Hub will be combined. These 
funds will be used first to restore units to projects reduced by HUD 
offices based on the above instructions. Second, additional 
applications within each Multifamily Hub will be selected in rank order 
with only one application selected per HUD Office. More than one 
application may be selected per HUD Office if there are no approvable 
applications in other HUD Offices within the Multifamily Hub. This 
process will continue until there are no more approvable applications 
within the Multifamily Hub that can be selected with the remaining 
funds. Applications may not be skipped over to select one based on 
funds remaining. However, HUD may use any remaining residual funds to 
select the next rank-ordered application by reducing the number of 
units by no more than 10 percent rounded to the nearest whole number, 
provided the reduction will not render the project infeasible or result 
in the project being less than five units.
    Funds remaining after these processes are completed will be 
returned to Headquarters. HUD Headquarters will use these residual 
funds first to restore units to projects reduced by HUD offices as a 
result of the instructions for using their residual funds. Second, HUD 
Headquarters will use these funds for selecting applications based on 
field offices' rankings beginning with the highest rated application 
nationwide. However, after restoring units to projects where necessary, 
priority will be given to those applications for projects in non-
metropolitan areas, if necessary to meet the statutory requirement 
pertaining to Section 202 funding in non-metropolitan areas. Only one 
application will be selected per HUD office from the national residual 
amount. If there are no approvable applications in other HUD offices, 
the process will begin with the selection of the next highest rated 
application nationwide. This process will continue until all approvable 
applications are

[[Page 14386]]

selected using the available remaining funds.
    (D) Factors For Award Used To Evaluate and Rate Applications. HUD 
will rate applications that successfully complete technical processing 
using the Rating Factors set forth below and in accordance with the 
application submission requirements identified in Section VI(B) below. 
The maximum number of points an application may receive under this 
program is 102. This includes two EZ/EC bonus points, as described in 
the General Section of the SuperNOFA.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Staff (25 Points)

    This factor addresses the extent to which you have the 
organizational resources to successfully implement the proposed 
activities in a timely manner. Submit information responding to this 
factor in accordance with Application Submission Requirements in 
paragraphs (B)(2), (B)(3)(a), (B)(3)(b), (B)(3)(e) and (B)(5) of 
Section VI of this program section of the SuperNOFA.
    In rating this factor, HUD will consider the extent to which your 
application demonstrates your ability to develop and operate the 
proposed housing on a long-term basis, considering the following:
    (a)(i) (14 points) The scope, extent, and quality of your 
experience in providing housing or related services to those proposed 
to be served by the project and the scope of the proposed project 
(i.e., number of units, services, relocation costs, development, and 
operation) in relationship to your demonstrated development and 
management capacity as well as your financial management capability;
    (a)(ii) (1 point) Your organization is a grassroots organization as 
defined in the General Section of this SuperNOFA.
    (b) (10 points) The scope, extent, and quality of your experience 
in providing housing or related services to minority persons or 
families as well as your ties to the community at large and to the 
minority and elderly communities in particular. For purposes of this 
program section of the SuperNOFA, ``minority'' means the basic racial 
and ethnic categories for Federal statistics and administrative 
reporting, as defined in the Appendix section of the Office of 
Management and Budget's (OMB) Federal Register Notice entitled 
``Revisions to the Standards for the Classification of Federal Data on 
Race and Ethnicity'' and dated October 30, 1997 (62 FR 58782-90). It 
can be found on the OMB Website at www.whitehouse.gov/omb/fedreg/ombdir15.html.
    (c) (-2 points) A fund reservation you received under either the 
Section 202 Program of Supportive Housing for the Elderly or the 
Section 811 Program of Supportive Housing for Persons with Disabilities 
has been extended beyond 36 months (except if the delay was beyond your 
control). Examples of such delays include, but are not limited to, 
initial closing delays that are: (1) directly attributable to HUD, (2) 
directly attributable to third party opposition, including litigation, 
and (3) due to a disaster, as declared by the President of the United 
States.
    (d) (-1 point) Amendment money was required as a result of the 
delay (except if the delay was beyond your control).

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 activities to address a documented problem in the 
target area. Submit information responding to this factor in accordance 
with Application Submission Requirements in paragraphs (B)(4)(a) and 
(B)(4)(b) of Section VI of this program section of the SuperNOFA. In 
evaluating this factor, HUD will consider:
    The extent of the need for the project in the area based on a 
determination by the HUD Office. In making this determination, HUD will 
consider your evidence of need in the area, as well as other economic, 
demographic, and housing market data available to the HUD office. The 
data could include information on the number of existing Federally 
assisted housing units (HUD and RHS) for the elderly in the area and 
current occupancy in such facilities; Federally assisted housing for 
the elderly under construction or for which fund reservations have been 
issued; and in accordance with an agreement between HUD and the RHS, 
comments from the RHS on the demand for additional assisted housing and 
the possible harm to existing projects in the same housing market area. 
The Department will also review more favorably those applications which 
establish a connection between the proposed project and the community's 
Analysis of Impediments to Fair Housing Choice (AI) or other planning 
document that analyzes fair housing issues and is prepared by a local 
planning or similar organization. You must show how your proposed 
project will address an impediment to fair housing choice described in 
the AI or meet a need identified in the other type of planning 
document.

Rating Factor 3: Soundness of Approach (40 Points)

    This factor addresses the quality and effectiveness of your 
proposal. There must be a clear relationship between your proposed 
activities, the community's needs and purposes of the program funding 
for your application to receive points for this factor. Submit 
information responding to this factor in accordance with Application 
Submission Requirements in paragraphs (B)(4)(c), (B)(4)(d) and 
(B)(4)(e) of Section VI of this program section of the SuperNOFA. In 
evaluating this factor, HUD will consider the following:
    (a)(i) (15 points) The proximity or accessibility of the site to 
shopping, medical facilities, transportation, places of worship, 
recreational facilities, places of employment, and other necessary 
services to the intended occupants; adequacy of utilities and streets; 
freedom of the site from adverse environmental conditions; compliance 
with site and neighborhood standards (24 CFR 891.125(a), (d) and (e));
    (a)(ii) (-1 point) HUD will deduct one (1) point from this Factor 
if the site(s) is not already permissively zoned for the intended use.
    (b) (10 points) The suitability of the site from the standpoints of 
promoting a greater choice of housing opportunities for minority 
elderly persons/families, and affirmatively furthering fair housing. In 
reviewing this criterion, HUD will assess whether the site meets the 
site and neighborhood standards at 24 CFR 891.125(b) and (c) by 
examining relevant data in your application or in the HUD Office. Where 
appropriate, HUD may visit the site.
    (i) The site will be deemed acceptable if it increases housing 
choice and opportunity by:--Expanding housing opportunities in non-
minority neighborhoods (if located in such a neighborhood). The term 
``nonminority area'' is defined as one in which the minority population 
is lower than 10 percent; or

-- Contributing to the revitalization of and reinvestment in minority 
neighborhoods, including improvement of the level, quality and 
affordability of services furnished to minority elderly. You should 
refer to the Site and Neighborhood Standards provisions of the 
regulations governing the Section 202 Supportive Housing for the 
Elderly program (24 CFR 891.125(b) and (c)) when considering sites for 
your project.

    (ii) For the purpose of this competition, the term ``minority

[[Page 14387]]

neighborhood (area of minority concentration)'' is defined as one where 
any one of the following statistical conditions exists:

-- The percentage of persons of a particular racial or ethnic minority 
is at least 20 points higher than the minority's or combination of 
minorities' percentage in the housing market as a whole; or,
-- The neighborhood's total percentage of minority persons is at least 
20 points higher than the total percentage of minorities for the 
housing market as a whole; or,
-- In the case of a metropolitan area, the neighborhood's total 
percentage of minority persons exceeds 50 percent of its population.

    (c) (3 points) The extent to which your proposed design will meet 
the special physical needs of elderly persons;
    (d) (3 points) The extent to which the proposed size and unit mix 
of the housing will enable you to manage and operate the housing 
efficiently and ensure that the provision of supportive services will 
be accomplished in an economical fashion;
    (e) (3 points) The extent to which the proposed design of the 
housing will accommodate the provision of supportive services that are 
expected to be needed, initially and over the useful life of the 
housing, by the category or categories of elderly persons the housing 
is intended to serve;
    (f) (3 points) The extent to which the proposed supportive services 
meet the identified needs of the anticipated residents; and
    (g) (3 points) The extent to which you demonstrate that the 
identified supportive services will be provided on a consistent, long-
term basis.
    (h) (-1 point) HUD will deduct one (1) point from the rating of 
this Factor if you do not include a plan for completing your project 
within the initial fund reservation period of 18 months.

Rating Factor 4: Leveraging Resources (10 Points)

    This factor addresses your ability to secure other community 
resources which can be combined with HUD's program resources to achieve 
program purposes. Submit information responding to this factor in 
accordance with Application Submission Requirements in paragraphs 
(B)(3)(c) and (B)(3)(d) of Section VI of this program section of the 
SuperNOFA.
    (a) (5 points) The extent of local government support (including 
financial assistance, donation of land, provision of services, etc.) 
for the project; and
    (b) (5 points) The extent of your activities in the community, 
including previous experience in serving the area where the project is 
to be located, and your demonstrated ability to enlist volunteers and 
raise local funds.

Rating Factor 5: Coordination, Self Sufficiency and Sustainability 
(10 Points)

    This factor addresses the extent to which you coordinated your 
activities with other known organizations that will not be directly 
involved in the proposed project, participate or promote participation 
in the community's planning process (e.g., the Consolidated Planning 
process, including the Analysis of Impediments to Fair Housing Choice), 
and are working toward addressing a need in a holistic and 
comprehensive manner to ensure that the project will not operate in 
isolation. This factor also addresses the extent to which your project 
will implement practical solutions that will result in assisting 
residents in achieving independent living, educational opportunities, 
and improved living environments. Finally, this factor addresses the 
extent to which the long-term viability of your project will be 
sustained for the duration of the 40-year capital advance period. 
Submit information responding to this factor in accordance with 
Application Submission Requirements in paragraphs (B)(3)(f), (B)(3)(g), 
(B)(3)(h),(B)(3)(i) and (B)(3)(j) of Section VI of this program section 
of the SuperNOFA.
    (a) (2 points) Your involvement of elderly persons, particularly 
minority elderly persons, in the development of the application, and 
your intent to involve elderly persons, particularly minority elderly 
persons, in the development and operation of the project;
    (b) (2 points) The extent to which you coordinated your application 
with other organizations that will not be directly participating in 
your project, but with which you share common goals and objectives and 
are working toward meeting these objectives in a holistic and 
comprehensive manner;
    (c) (2 points) The extent to which you demonstrated that you have 
been actively involved, or if not currently active, the steps you will 
take to become actively involved in the community's planning process 
(e.g., the Consolidated Planning process, including the Analysis of 
Impediments to Fair Housing Choice) to identify and address a need/
problem that is related in whole or part, directly or indirectly to the 
proposed project;
    (d) (2 points) The extent to which your project will implement 
practical solutions that will result in assisting residents in 
achieving independent living, educational opportunities, and improved 
living environments; and
    (e) (2 points) The extent to which you demonstrated that your 
project will remain viable as housing with the availability of 
supportive services for very low-income elderly persons for the 40-year 
capital advance period.

Bonus Points

    (2 bonus points) Location of proposed site in an EZ/EC area, as 
described in the General Section of this SuperNOFA. Submit the 
information responding to the bonus points in accordance with the 
Application Submission Requirements in paragraph (B)(7)(i) of Section 
VI of this program section of the SuperNOFA.
    (E) Applicant Debriefing. Beginning not less than 30 days after the 
awards for assistance are announced pursuant to this program NOFA, HUD 
will provide a debriefing to any applicant requesting a debriefing on 
their application. All requests for debriefings must be made in writing 
and submitted to the Director, of the Office of Multifamily Housing in 
the local HUD Office in which the application was filed. Materials 
provided to you during your debriefing will include the final scores 
you received for each rating factor, final evaluator comments for each 
rating factor, and the final assessment indicating the basis upon which 
assistance was provided or denied.

VI. Application Submission Requirements

    (A) Application. Your application must include all of the 
information, materials, forms, and exhibits listed in Section VI(B) of 
this program section of the SuperNOFA (unless you were selected for a 
Section 202 fund reservation within the last three funding cycles). If 
you qualify for this exception, you are not required to submit the 
information described in Sections VI(B)(2)(a), (b), and (c) of this 
program section of the SuperNOFA (Exhibits 2.a., b., and c. of the 
application kit), which are the articles of incorporation, (or other 
organizational documents), by-laws, and the IRS tax exemption, 
respectively. If there has been a change in any of these documents 
since your previous HUD approval, you must submit the updated 
information in your application. HUD offices will verify your 
indication of previous HUD approval by checking the project number and 
approval status with the appropriate HUD Office based on the

[[Page 14388]]

information submitted in response to Section VI(B)(2) below.
    In addition to this relief of paperwork burden in preparing 
applications, you will be able to submit information and exhibits you 
have previously prepared for prior applications under Section 202, 
Section 811, or other funding programs. Examples of exhibits that may 
be readily adapted or amended to decrease the burden of application 
preparation include, among others, those on previous participation in 
the Section 202 or Section 811 Programs, your experience in the 
provision of housing and services, supportive services plan, community 
ties, and experience serving minorities.
    (B) General Application Requirements. Your application must contain 
the items listed in this Section VI(B). These items include the 
standard forms, certifications, and assurances listed in the General 
Section of the SuperNOFA that are applicable to this funding 
(collectively referred to as the ``standard forms''). The standard 
forms can be found in Appendix B to the General Section of the 
SuperNOFA. The remaining application items that are forms (i.e., 
excluding such items as narratives), referred to as the ``non-standard 
forms'' can be found as Appendix B to this program section of the 
SuperNOFA. The items are as follows:
    (1) Form HUD-92015-CA, Application for Section 202 Supportive 
Housing Capital Advance.
    (2) Evidence of your and each Co-Sponsor's legal status as a 
private nonprofit organization or nonprofit consumer cooperative, 
including the following:
    (2)(a) Articles of Incorporation, constitution, or other 
organizational documents;
    (2)(b) By-laws;
    (2)(c) IRS tax exemption ruling (this must be submitted by you and 
each Co-Sponsor, including churches). A consumer cooperative that is 
tax exempt under State law, has never been liable for payment of 
Federal income taxes, and does not pay patronage dividends may be 
exempt from the requirement set out in the previous sentence if it is 
not eligible for tax exemption.


    Note: If you received a Section 202 Fund Reservation within the 
last three funding cycles, you are not required to submit the 
documents described in paragraphs (2)(a), (2)(b), and (2)(c), above. 
Instead, you must submit the project number of the latest 
application selected and the HUD office to which it was submitted. 
If there have been any modifications or additions to the subject 
documents, indicate such, and submit the new material.


    (3) A description of your purpose, community ties, and experience, 
including the following:
    (3)(a) A description of your purpose, current activities and how 
long you have been in existence;
    (3)(b) A description of your ties to the community in which your 
project will be located and to the minority and elderly communities in 
particular, including a description of the specific geographic area(s) 
in which you have served;
    (3)(c) A description of local government support for the project 
(including financial assistance, donation of land, provision of 
services, etc.);
    (3)(d) Letters of support for your organization and for the 
proposed project from organizations familiar with the housing and 
supportive services needs of the elderly that you expect to serve in 
the proposed project;
    (3)(e) A description of your housing and/or supportive services 
experience. The description should include any rental housing projects 
and/or supportive services facilities that you have sponsored, owned, 
and/or operated; your past or current involvement in any programs other 
than housing that demonstrates your management capabilities (including 
financial management) and experience; your experience in serving the 
elderly, including elderly persons with disabilities, and/or families 
and minorities; and the reasons for receiving any increases in fund 
reservations for developing and/or operating previously funded Section 
202 or Section 811 projects. The description should include data on the 
facilities and services provided, the racial/ethnic composition of the 
populations served, if available, and information and testimonials from 
residents or community leaders on the quality of the activities. 
Examples of activities that could be described include housing 
counseling, nutrition and food services, special housing referral, 
screening and information projects.
    (3)(f) A description of your efforts to involve elderly persons, 
including minority elderly persons, in the development of the 
application, as well as your intent to involve elderly persons in the 
development and operation of the project.
    (3)(g) A description of the steps you took to coordinate your 
application with other organizations, that will not be directly 
involved in your project but with which you share common goals and 
objectives, to complement and/or support the proposed project so that 
the project will provide a comprehensive and holistic solution to the 
needs of the elderly. Also, describe the steps you will take, if 
funded, to share information on solutions and outcomes relative to the 
development of the proposed project.
    (3)(h) A description of your involvement in the community's 
planning process (e.g., the Consolidated Planning process, including 
the Analysis of Impediments to Fair Housing Choice), including:
    (3)(h)(i) An identification of the lead/facilitating agency that 
organizes/administers the process;
    (3)(h)(ii) An identification of the areas of the community's 
planning process in which you participate;
    (3)(h)(iii) Your level of participation in the process, including 
active involvement with any neighborhood-based organizations, 
associations, or any committees that support programs and activities 
that enhance projects or the lives of residents of the projects, such 
as the one proposed in your application.
    If you are not currently active, describe the specific steps you 
will take to become active in the community's planning process. If 
adopting the Consolidated Plan community process, consult the local HUD 
Office for the identification of the appropriate area.
    (3)(i) A description of the practical solutions you will implement 
which will enable the residents of your project to achieve independent 
living. In addition, describe the educational opportunities you will 
provide for the residents and how you will provide them. This 
description should include any activities that will enhance the quality 
of life for the residents. And, finally, describe how your proposed 
project will be an improved living environment for the residents when 
compared to their previous place of residence.
    (3)(j) Describe how you will ensure that your proposed project will 
remain viable as housing with the availability of supportive services 
for very low-income elderly persons for the 40-year capital advance 
period. This description should address the measures you would take 
should any of the following occur: (i) funding for any of the needed 
supportive services becomes depleted, or (ii) if, for any state-funded 
services for your project, the state changes its policy regarding the 
provision of supportive services to projects such as the one you 
propose, or (iii) if the need for housing for the elderly wanes over 
time, causing vacancies in your project.
    (4) Project information, including the following:
    (4)(a) Evidence of need for supportive housing. Such evidence would 
include a description of the category or

[[Page 14389]]

categories of elderly persons the housing is intended to serve and 
evidence demonstrating sustained effective demand for supportive 
housing for that population in the market area to be served, taking 
into consideration the occupancy and vacancy conditions in existing 
Federally assisted housing for the elderly (HUD and RHS; e.g., public 
housing); State or local data on the limitations in activities of daily 
living among the elderly in the area; aging in place in existing 
assisted rentals; trends in demographic changes in elderly population 
and households; the numbers of income eligible elderly households by 
size, tenure, and housing condition; the types of supportive services 
arrangements currently available in the area; and the use of such 
services as evidenced by data from local social service agencies or 
agencies on aging. Also, a description of how information in the 
community's Analysis of Impediments to Fair Housing Choice was used in 
documenting the need for the project.
    (4)(b) A description of how the proposed project will benefit the 
target population and the community in which it will be located.
    (4)(c) A description of the project, including the following:
    (4)(c)(i) A narrative description of the building design, including 
a description of the number of units with bedroom distributions, any 
special design features, amenities, and/or community space, and how 
this design will facilitate the delivery of services in an economical 
fashion and accommodate the changing needs of the residents over the 
next 10-20 years.

    Note: If these community spaces, amenities, or features would 
not comply with the project design and cost standards of 24 CFR 
891.120 and the special project standards of 24 CFR 891.210, you 
must state your ability and willingness to contribute both the 
incremental development cost and continuing operating cost 
associated with the community spaces, amenities, or features;

    (4)(c)(ii) A description of whether and how the project will 
promote energy efficiency, and, if applicable, innovative construction 
or rehabilitation methods or technologies to be used that will promote 
efficient construction.
    (4)(c)(iii) If applicable, a description of any plans and the 
actions you have taken to create a mixed-finance/mixed-use project by 
developing additional units (i.e., in addition to the Section 202 
units) with the use of Section 202 capital advance funds in combination 
with other funding sources. Specify the number of Section 202 units and 
the number of additional units from non-Section 202 funding sources. 
Provide copies of any letters you have sent seeking outside funding for 
the non-Section 202 units and any responses thereto. You also must 
demonstrate your ability to proceed with the development of a Section 
202 project that will not involve mixed-financing or a mixed-use 
purpose, as proposed in your application, in the event you are later 
unable to obtain the necessary outside funding or HUD disapproves your 
proposal for mixed-financing or a mixed-use.

    Note: Approval of the Section 202 capital advance will not 
necessarily be approval of the mixed-finance/mixed-use proposal. If 
approved for a reservation of capital advance funds, you will be 
required to submit, after reservation of capital advance funds, a 
detailed proposal outlining how you will fund both development and 
operation of the additional units in accordance with HUD 
instructions that will be issued later. Based on the strength of 
your organization and HUD's prior experience with your projects, as 
well as your outline of your intentions, at the time of making the 
fund reservation, HUD will determine whether you will be permitted 
to submit a mixed-finance/mixed-use proposal at a later time. Only 
those Sponsors that indicate in their application for a fund 
reservation an intention to propose additional units will be 
eligible to submit, at a later time, a mixed-finance/mixed-use 
proposal for additional units. (A mixed-finance/mixed-use project, 
as used here, does not include the development of Section 202 units 
using secondary/supplemental financing or the development of a 
mixed-use project in which the Section 202 units are mortgaged 
separately from the other uses of the structure).

    (4)(c)(iv) Describe your plan for completing the proposed project 
within the initial 18-month term of the fund reservation (optional).
    (4)(d) Evidence that the Sponsor has site control and permissive 
zoning, including the following:
    (4)(d)(i) Acceptable evidence of site control is limited to any one 
of the following:
    (A) Deed or long-term leasehold which evidences that you have title 
to or a leasehold interest in the site. If a leasehold, the term of the 
lease must be at least 75 years;
    (B) Contract of sale for the site which is free of any limitations 
affecting ability to deliver ownership to you after you receive and 
accept a notice of Section 202 capital advance. The only condition for 
closing on the sale can be your receipt and acceptance of the capital 
advance. The contract of sale cannot require closing on a date earlier 
than the Section 202 closing.
    (C) Option to purchase or for a long-term leasehold which must 
remain in effect for six months from the date on which the applications 
are due, and must state a firm price binding on the seller. The only 
condition on which the option may be terminated is if you are not 
awarded a fund reservation. The option must be renewable at the end of 
the six months option period.
    (D) Where the proposed site is subject to a mortgage under a HUD 
program (e.g., an earlier 202 or an FHA insured mortgage), you must 
submit evidence that consent to release of the site from that mortgage 
has been obtained or has been requested from HUD and from the 
mortgagee, if other than HUD.
    (E) For sites to be acquired from a public body, evidence is needed 
that the public body possesses clear title to the site and has entered 
into a legally binding agreement to lease or convey the site to you 
after you receive and accept a notice of Section 202 capital advance. 
Where HUD determines that time constraints of the funding round will 
not permit all of the required official actions (e.g., approval of 
Community Planning Boards) that are necessary to convey publicly-owned 
sites, a letter in the application from the mayor or director of the 
appropriate local agency indicating that conveyance or leasing of the 
site is acceptable without imposition of additional covenants or 
restrictions and only contingent on the necessary approval action. Such 
a letter commitment will be considered sufficient evidence of site 
control.


    Note: For this funding cycle, New York City-owned sites that are 
designated as community gardens and are involved in litigation will 
not meet site control requirements due to litigation involving those 
sites.


    (4)(d)(ii) Whether you have title to the site, a contract of sale, 
an option to purchase, or are acquiring the site from a public body, 
you must provide evidence (a title policy or other acceptable evidence) 
that the site is free of any limitations, restrictions, or reverters 
which could adversely affect the use of the site for the proposed 
project for the 40-year capital advance period under HUD's regulations 
and requirements (e.g., reversion to seller if title is transferred). 
If the title evidence contains restrictions or covenants, copies of 
such covenants or restrictions must be submitted with the application. 
If the site is subject to any such limitations, restrictions, or 
reverters, the application will be rejected. Purchase money mortgages 
that will be satisfied from capital advance funds are not considered to 
be limitations or restrictions that would adversely affect the use of 
the site. If the contract of sale or the option agreement contains

[[Page 14390]]

provisions that allow a Sponsor not to purchase the property for 
reasons such as environmental problems, failure of the site to pass 
inspection, or the appraisal is less than the purchase price, then such 
provisions are not objectionable and a Sponsor is allowed to terminate 
the contract of sale or the option agreement.


    Note: A proposed project site may not be acquired or optioned 
from a general contractor (or its affiliate) that will construct the 
section 202 project or from any other development team member.


    (4)(d)(iii) Evidence that the project as proposed is permissible 
under applicable zoning ordinances or regulations, or a statement of 
the proposed action required to make the proposed project permissible 
and the basis for your belief that the proposed action will be 
completed successfully before the submission of the firm commitment 
application (e.g., a summary of the results of any requests for 
rezoning and/or the procedures for obtaining special or conditional use 
permits on land in similar zoning classifications and the time required 
for such rezoning, or preliminary indications of acceptability from 
zoning bodies, etc.).
    (4)(d)(iv) A narrative topographical and demographic description of 
the suitability of the site and area, and how the site will promote 
greater housing opportunities for minority elderly persons, thereby 
affirmatively furthering fair housing.

    Note: You can best demonstrate your commitment to affirmatively 
furthering fair housing by describing how your proposed activities 
will assist the jurisdiction in overcoming impediments to fair 
housing choice identified in the applicable jurisdiction's Analysis 
of Impediments to Fair Housing Choice (AI), which is a component of 
the jurisdiction's Consolidated Plan, or any other planning document 
that addresses fair housing issues. The applicable Consolidated Plan 
and AI may be the Community's, the County's, or the State's, to 
which input should have been provided by local community 
organizations, agencies in the community, and residents of the 
community. Alternatively, a document that addresses fair housing 
issues and remedies to barriers to fair housing in the community 
that was previously prepared by a local planning, or similar 
organization, may be used. Applicable impediments could include the 
need for improved housing quality and services for elderly minority 
families, lack of affirmative marketing and outreach to minority 
elderly persons, and the need for quality eldercare services within 
areas of minority concentration when compared with the type and 
quality of similar services and housing in nonminority areas.

    (4)(d)(v) A map showing the location of the site, the racial 
composition of the neighborhood, and any areas of racial concentration. 
For this competition, applicants should use the racial and ethnic data 
categories stated in the Appendix section of the October 30, 1997, 
Office of Management and Budget Federal Register Notice (62 FR 58782-
90), (www.whitehouse.gov/omb/fedreg/ombdir15.html) and data from the 
1990 Census of Population when determining the racial and ethnic 
composition of the neighborhood surrounding the proposed site. Data 
from the 1990 Census of Population may be found at 
www.factfinder.census.gov/servlet/BasicFactsServlet.
    (4)(d)(vi) A Phase I Environmental Site Assessment (ESA), in 
accordance with the American Society for Testing and Material (ASTM) 
Standards E 1527-97, as amended. The Phase I ESA must be completed and 
submitted with the application. In order for the Phase I ESA to be 
acceptable, it must have been completed, or updated, no earlier than 
six months prior to application deadline date. Therefore, it is 
important that you start the Phase I ESA process as soon after 
publication of this SuperNOFA as possible.
    If the Phase I ESA indicates the possible presence of contamination 
and/or hazards, you must decide whether to continue with this site or 
choose another site. Should you choose another site, the same Phase I 
ESA process identified above must be followed for the new site. NOTE: 
You are not limited to acquiring properties from the FDIC. However, if 
the property is to be acquired from the FDIC, include a copy of the 
FDIC prepared Transaction Screen Checklist or Phase I ESA, and 
applicable documentation, per the FDIC/RTC Environmental Guidelines.
    If you choose to continue with the original site on which the Phase 
I ESA indicated contamination or hazards, you must undertake a detailed 
Phase II Environmental Site Assessment (ESA) by an appropriate 
professional. If the Phase II ESA reveals site contamination, the 
extent of the contamination and a plan for clean-up of the site must be 
submitted to the local HUD office. The plan for clean-up must include a 
contract for remediation of the problem(s) and an approval letter from 
the applicable Federal, State, and/or local agency with jurisdiction 
over the site. In order for the application to be considered for review 
under this FY 2002 funding competition, you must submit this 
information to the local HUD office on or before July 5, 2002.

    Note: This could be an expensive undertaking. You must pay for 
the cost of any clean-up and/or remediation.

    (4)(d)(vii) A letter from the State Historic Preservation Officer 
(SHPO) indicating whether the proposed site has any historical 
significance. If you cannot obtain a letter from the SHPO due to the 
SHPO not responding to your request or the SHPO responding that it 
cannot or will not comply with the requirement, you must submit the 
following:
    (A) A letter indicating that you attempted to get the required 
letter from the SHPO but that the SHPO either had not responded to your 
request or would not honor or recognize your request;
    (B) A copy of your letter to the SHPO requesting the required 
letter; and,
    (C) A copy of the SHPO's response, if available.
    (4)(e) Provision of supportive services in the proposed facility:
    (4)(e)(i) A detailed description of the supportive services 
proposed to be provided to the anticipated occupancy;
    (4)(e)(ii) A description of public or private sources of assistance 
that reasonably could be expected to fund the proposed services;
    (4)(e)(iii) The manner in which such services will be provided to 
such persons (i.e., on or off-site), including whether a service 
coordinator will facilitate the adequate provision of such services, 
and how the services will meet the identified needs of the residents.


    Note: You may not require residents, as a condition of 
occupancy, to accept any supportive service.


    (5) A list of the applications, if any, that you have submitted or 
are planning to submit to any other HUD office in response to this 
announcement of Section 202 Program funding availability or the 
announcement of Section 811 Program (Supportive Housing for Persons 
with Disabilities) funding availability, published elsewhere in this 
SuperNOFA. Indicate by HUD office, the proposed location by city and 
State, and the number of units requested for each application. Include 
a list of all FY 2001 and prior year projects to which you are a party. 
Identify each by project number and HUD Office and include the 
following information: (a) Whether the project has initially closed 
and, if so, when; (b) if the project was older than 36 months when it 
initially closed or is older than 36 months now and has not initially 
closed, provide the reasons for the delay in closing; (c) whether 
amendment money was or will be needed for any project in (b) above; and 
(d) those projects which have not been finally closed.
    (6) A statement that:
    (6)(a) Identifies all persons (families, individuals, businesses, 
and nonprofit

[[Page 14391]]

organizations), by race/minority group, and status as owners or 
tenants, occupying the property on the date of submission of the 
application for a capital advance;
    (6)(b) Indicates the estimated cost of relocation payments and 
other services;
    (6)(c) Identifies the staff organization that will carry out the 
relocation activities; and
    (6)(d) Identifies all persons who have moved from the site within 
the past 12 months.

    Note: If any of the relocation costs will be funded from sources 
other than the section 202 capital advance, you must provide 
evidence of a firm commitment of these funds. When evaluating 
applications, HUD will consider the total cost of proposals (i.e., 
cost of site acquisition, relocation, construction, and other 
project costs).

    (7) Certifications and Resolutions. In addition to the 
certifications and assurances listed in the General Section of this 
SuperNOFA with the exception of SF-424A, SF-424B, SF-424C, SF-424D, 
HUD-424M and the OMB Circulars which are not required, you are required 
to submit signed copies of the following:
    (7)(a) Standard Form 424. Application for Federal Assistance, 
indication of whether you are delinquent on any Federal debt, and 
compliance with Executive Order 12372 (a certification that you have 
submitted a copy of your application , if required, to the State agency 
(Single Point of Contact) for state review in accordance with Executive 
Order 12372). (See instructions for submitting this form in the 
Consolidated Application Submission section of the General Section of 
the SuperNOFA.)
    (7)(b) Drug-Free Workplace (HUD-50070). Certification to provide a 
drug-free workplace.
    (7)(c) Payments to Influence Federal Transactions (HUD-50071) and 
Standard Form LLL, Disclosure of Lobbying Activities. Certification of 
whether any of the funds received will be used to influence any Federal 
transactions and disclosure of those activities, if applicable.
    (7)(d) Applicant/Recipient Disclosure/Update Report, including 
Social Security Numbers and Employee Identification Numbers, (HUD-
2880). A disclosure of assistance from other government sources 
received in connection with the project.
    (7)(e) Certification Regarding Debarment and Suspension (HUD-2992) 
(24 CFR 24.510). A certification attesting to the eligibility of your 
principals.
    (7)(f) Certification of Consistency with the Consolidated Plan 
(Plan), Form HUD-2991, for the jurisdiction in which the proposed 
project will be located. The certification must be made by the unit of 
general local government if it is required to have, or has, a complete 
Plan. Otherwise, the certification may be made by the State, or by the 
unit of general local government if the project will be located within 
the jurisdiction of the unit of general local government authorized to 
use an abbreviated strategy, and if it is willing to prepare such a 
Plan.
    All certifications must be made by the public official responsible 
for submitting the Plan to HUD. The certifications must be submitted as 
part of the application by the application submission deadline date set 
forth in this program section of the SuperNOFA. The Plan regulations 
are published in 24 CFR part 91.
    (7)(g) A certified Board Resolution that no officer or director of 
the Sponsor or Owner has or will have any financial interest in any 
contract with the Owner or in any firm or corporation that has or will 
have a contract with the Owner, including a current listing of all duly 
qualified and sitting officers and directors by title, and the 
beginning and ending dates of each person's term.
    (7)(h) A certified Board Resolution, acknowledging the 
responsibilities of sponsorship, long-term support of the project(s), 
your willingness to assist the Owner to develop, own, manage, and 
provide appropriate services in connection with the proposed project, 
and that it reflects the will of your membership. Also, the resolution 
shall indicate your willingness to fund the estimated start-up 
expenses, the Minimum Capital Investment (one-half of one-percent of 
the HUD-approved capital advance, not to exceed $10,000, if 
nonaffiliated with a National Sponsor; one-half of one-percent of the 
HUD-approved capital advance, not to exceed $25,000, for all other 
Sponsors;), and the estimated cost of any amenities or features (and 
operating costs related thereto) that would not be covered by the 
approved capital advance.
    (7)(i) Certification of Consistency with the EZ/EC Strategic Plan, 
HUD-2990). A certification that the project is consistent with the EZ/
EC strategic plan, is located within the EZ/EC, and serves EZ/EC 
residents. (This certification is not required if the project site(s) 
will not be located in an EZ/EC.)

VII. Corrections to Deficient Applications

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

VIII. Formation of Owner Corporation for Development of Section 202 
Projects and for Section 202 Projects Involving Mixed-Financing or 
a Mixed-Use Purpose.

    Applicant eligibility for purposes of applying for a Section 202 
fund reservation under this NOFA has not changed; i.e., all Section 202 
Sponsors and Co-Sponsors must be private nonprofit organizations and 
nonprofit consumer cooperatives. However, the Owner corporation, when 
later formed by the Sponsor, may be (1) a single-purpose private 
nonprofit organization that has tax-exempt status under Section 
501(c)(3) or Section 501(c)(4) of the Internal Revenue Code of 1986, 
(2) nonprofit consumer cooperative, OR (3) for purposes of developing a 
mixed-finance/mixed-use project for developing additional units over 
and above the Section 202 units, a for-profit limited partnership with 
a nonprofit entity as the sole general partner.

IX. Authority

    The Section 202 Supportive Housing for the Elderly Program is 
authorized by section 202 of the Housing Act of 1959 (12 U.S.C. 1701q), 
as amended by section 801 of the Cranston-Gonzalez National Affordable 
Housing Act (Pub.L. 101-625; approved November 28, 1990); the Housing 
and Community Development Act of 1992 (Pub.L. 102-550; approved October 
28, 1992), the Rescissions Act (Pub.L. 104-19; enacted on July 27, 
1995); the American Homeownership and Economic Opportunity Act of 2000 
(Pub. L. 106-569; approved December 27, 2000); and the Fiscal Year 2002 
HUD Appropriations Act (Pub. L. 107-73, approved November 26, 2001).

Appendix A

Addresses for Submitting Applications

    Please see Appendix A to the Section 811 Program Section of this 
SuperNOFA. Submit your completed application (an original and four 
copies) to the Director of the appropriate Multifamily Hub Office or 
Multifamily Program Center as listed in Appendix A to the Section 
811 program section of this SuperNOFA. See Section I., Address for 
Submitting Applications, of this program NOFA, for the exceptions 
regarding where to file your application.

Appendix B

    The non-standard forms, which follow, are required for your 
Section 202 Program application.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14405]]



FUNDING AVAILABILITY FOR THE ASSISTED LIVING CONVERSION PROGRAM 
(ALCP) FOR ELIGIBLE MULTIFAMILY HOUSING PROJECTS

PROGRAM OVERVIEW

    Purpose of the Program. The purpose of this program is to provide 
grants for the conversion of some or all of the dwelling units in an 
eligible project into assisted living facilities (ALFs) for frail 
elderly persons.
    Available Funds. Approximately $93 million are available for the 
conversion of eligible multifamily projects to ALFs ($50 million under 
the Fiscal Year 2002 Appropriations Act and $43 million in Fiscal Year 
2001 carryover funds).
    Eligible Applicants. Only private nonprofit project owners of 
eligible developments (as described in Section III of this NOFA) may 
apply for and become the recipient of a grant.
    Application Due Dates. July 3, 2002.
    Match. None required.

ADDITIONAL INFORMATION

I. Application Due Date, Application Kits, and Technical Assistance

    Application Due Date. Your completed application (one original and 
four copies) is due on July 3, 2002, at the address shown below.
    Application Submission Procedures. New Security Procedures. HUD has 
implemented new security procedures that impact application submission 
procedures. See the General Section of the SuperNOFA for specific 
procedures governing the form of application submission (e.g., mailed 
applications, express mail, or overnight delivery.) Only ALCP 
applications mailed by the United States Postal Service (USPS) will be 
accepted by HUD.
    Addresses for Submitting Applications. The official place for 
receipt of your application is ONLY in the appropriate Multifamily Hub 
Office. Submit an original and four copies of the ALCP application to 
the Director of the appropriate HUD Multifamily Hub Office, as listed 
in Appendix A of this NOFA, with jurisdiction over your development.
    Appendix B to this NOFA lists the 18 Multifamily Hubs with the 
Program Centers under them, to facilitate applicants knowing the 
correct location to send the application. Your application will be 
considered timely filed if your application is postmarked on or before 
12:00 midnight on the application due date and received by the 
designated HUD Office on or within fifteen (15) days of the application 
due date. All applicants must obtain and save a Certificate of Mailing 
showing the date, when you submit your application to the USPS. The 
Certificate of Mailing will be your documentary evidence that your 
application was timely filed.
    For Application Kits, Further Information, and Technical 
Assistance.
    For Application Kits. You may obtain an ALCP application kit and 
supplemental information by calling the SuperNOFA Information Center at 
(voice) 1-800-HUD-8929 (1-800-483-8929). Persons with hearing or speech 
impairment may call the Center's TTY number at 1-800-HUD-2209. Please 
be sure to provide your name, address (including zip code), and 
telephone number (including area code). The application kit is also 
available on the Internet through the HUD web site at http://www.hud.gov/grants.

    Note: There is a separate application kit for service 
coordinator funds (which is necessary for those needing to enhance 
or add service coordination per Section III (B)(13) of this NOFA).

    For Further Information and Technical Assistance. You should 
contact the Multifamily Hub where you will be mailing your ALCP 
Application. (Please refer to Hub telephone numbers in Appendix A.)
    You also may contact Faye Norman, Housing Project Manager at (202) 
708-3000 x2482 or Aretha Williams, Director, Grant Policy and 
Management Division, Room 6138 at (202) 708-3000 x2480 for questions 
regarding the ALF process. This is not a toll free number. Ms. Williams 
can be reached, by e-mail, at ``hud.gov">aretha_m._williams@hud.gov'' and Ms. 
Norman at ``hud.gov">faye_l._norman@hud.gov. Both Ms. Williams and Ms. Norman 
are located at the Department of Housing and Urban Development, 451 
Seventh Street, SW., Washington, DC 20410.
    If you have a hearing or speech impairment, you may access the 
telephone number via TTY by calling the Federal Information Relay 
Service at 1-800-877-8339.

II. Amount Allocated

    This NOFA makes available approximately $93 million (approximately 
$78 million for the physical conversion of eligible multifamily 
assisted housing projects or portions of projects to ALFs and 
approximately $15 million for the conversion of up to 3 unused or 
underutilized commercial properties to ALFs). The Fiscal Year (FY) 2002 
funding of $50 million is in the Departments of Veterans Affairs and 
Housing and Urban Development, and Independent Agencies Appropriations 
Act Pub.L.107-73, approved November 26, 2002). The $93 million includes 
$43 million in Fiscal Year 2001 carryover funds. The allocation formula 
used for the ALCP to fair share the $78,000,000 reflects demographic 
characteristics of age and incidence of frailty that would be expected 
for program participants. The FY 2002 formula consists of three data 
elements from the 1990 decennial census:
    (1) The number of non-institutional elderly population aged 75 
years or older with a self-care limitation,
    (2) The number of non-institutional elderly population aged 75 or 
older with a mobility limitation, and,
    (3) The number of the non-institutional elderly population aged 75 
or older with both a mobility limitation and a self-care limitation. 
The data were taken from the 1990 Census Special Tabulation on Aging, 
STP-14, sponsored by the Administration on Aging, U.S. Department of 
Health and Human Services.
    A mobility limitation is defined as a health condition that has 
lasted for six (6) or more months, making it difficult for the person 
to go outside the home alone. This includes outside activities such as 
shopping or visiting the doctor's office. A self-care limitation is 
defined as a health care limitation that has lasted for six (6) months 
or more which makes it difficult for the person to take care of his/her 
own personal needs such as dressing, bathing, or getting around in the 
home.
    A fair share factor for each state was developed by taking the sum 
of the three elements within each state as a percentage of the sum of 
the three elements for the total United States. The resulting 
percentage for each state was then adjusted to reflect the relative 
difference in the cost of providing housing among the states. The total 
of the grant funds available ($78 million) was multiplied by the 
adjusted fair share percentage for each state, and the resulting funds 
for each state were totaled for each Hub.
    The ALCP grant funds fair share allocations, based on the formula 
above, to the 18 multifamily Hubs are as shown on the following chart:

 Fiscal Year Allocation 2002 for the Assisted Living Conversion Program
            (ALCP) of Eligible Assisted Multifamily Projects
------------------------------------------------------------------------
                                                                 Grant
                             HUB                               authority
------------------------------------------------------------------------
Boston......................................................   4,726,439
Buffalo.....................................................   2,091,360
New York....................................................   4,497,621
Philadelphia................................................   8,527,962
Baltimore...................................................   3,183,601
Greensboro..................................................   3,276,631

[[Page 14406]]

 
Atlanta.....................................................   5,712,662
Jacksonville................................................   6,746,209
Chicago.....................................................   5,957,418
Columbus....................................................   3,345,185
Detroit.....................................................   2,733,470
Minneapolis.................................................   2,843,015
Fort Worth..................................................   5,972,447
Kansas Coty.................................................   4,841,730
Denver......................................................   1,728,217
Los Angeles.................................................   4,574,289
San Francisco...............................................   4,649,855
Seattle.....................................................   2,591,889
                                                             -----------
  Total.....................................................  78,000,000
------------------------------------------------------------------------

III. Program Description; Eligible and Ineligible Applicants, 
Developments, and Activities

    (A) Program Description. Assisted living facilities (ALFs) are 
designed to accommodate frail elderly persons and people with 
disabilities who need certain support services (e.g., assistance with 
eating, bathing, grooming, dressing and home management activities). 
ALFs must provide support services such as personal care, 
transportation, meals, housekeeping, and laundry. Frail elderly person 
means an individual 62 years of age or older who is unable to perform 
at least three activities of daily living (ADLs) as defined by the 
regulations for HUD's Section 202 Program (Supportive Housing for the 
Elderly) at 24 CFR 891.205. Assisted living is defined in section 
232(b)(6) of the National Housing Act (12 U.S.C. 1715w).
    The ALCP provides funding for the physical costs of converting some 
or all of the units of an eligible multifamily development into an ALF, 
including the unit configuration, common and services space and any 
necessary remodeling, consistent with HUD or the State's statute/
regulations (whichever is more stringent). Typical funding will cover 
basic physical conversion of existing project units, common and 
services space. There must be sufficient community space to accommodate 
a central kitchen or dining facility, lounges, recreation and other 
multiple-areas available to all residents of the project, or office/
staff spaces in the ALF. When food is prepared at an off-site location, 
the preparation area of the facility must be of sufficient size to 
allow for the installation of a full kitchen, if necessary. You must 
provide supportive services for the residents either directly or 
through a third party. Your application must include a firm commitment 
for the supportive services to be offered within the ALF as part of the 
application. You may charge assisted living residents for meals and/or 
service fees. Residents may contract with third party agencies directly 
for nursing, therapy or other services not offered by the ALF.
    (B) Program Requirements. The following program requirements apply: 
(Note: Program Requirements described in paragraphs 3, (8)(a) and (b), 
and (12) below are not applicable to applicants requesting funding to 
convert commercial facilities):
    (1) Your ALF facility must be licensed and regulated by the state 
(or if there is no state law providing such licensing and regulation, 
by the municipality or other subdivision in which the facility is 
located). Each assisted living unit must include its own kitchen, 
bathroom, living/dining area (1 bedroom unit) or bedroom/living/dining 
area (efficiency unit) and must meet the state and/or local licensing, 
building, zoning and other requirements for an ALF.
    (2) Your ALF must be available to qualified elderly persons and 
persons with disabilities, consistent with the rules and payment plans 
of the State, who need and want the supportive services in order to 
remain independent and avoid premature institutionalization.
    (3) Your ALF's residents must be tenants or residents of the 
multifamily project and must comply with the requirements applicable to 
the project. Thus, you cannot charge additional rent over what is 
charged to residents in the non-ALF portion of the project. All 
admissions to the ALF must be through the applicable project admissions 
office. However, persons accepted into the ALF also must sign an ALF 
admissions agreement which shall be an addendum to the applicable 
project lease.
    (4) At a minimum, your ALF must provide room, board (as defined in 
Section III(B)(6)) of this NOFA) and continuous protective oversight 
(CPO). CPO involves a range of activities and services that may include 
such things as awareness by management and staff of the occupant's 
condition and location as well as an ability to intervene in a crisis 
for dependent and relatively independent occupants on a 24-hour basis. 
The two occupant groups in an ALF are:
    (a) Independent Occupants: Awareness by management and staff of the 
occupant's condition and whereabouts as well as the availability of 
assistance for the occupants as needed.
    (b) Dependent occupants: Supervision of nutrition, assistance with 
medication and continuous responsibility for the occupants' welfare.
    (5) Anyone moving into an ALF unit must agree to accept as a 
condition of occupancy the board and services required for the purpose 
of complying with state and local law and regulation. However, 
occupancy in an ALF unit may not be conditioned on receipt of other 
services or board not required by state or local requirements.
    (6) Your ALF must offer three meals per day to each resident.
    (a) Residents in projects which were originally constructed without 
kitchens in their units must take such meals as required by their 
mandatory meals agreement, or by the state's mandated requirements if 
more stringent (e.g., 2 meals, 2 snacks daily).
    (b) Residents whose apartments have kitchens must take at least the 
number of meals a day provided by the facility, per their mandatory 
meals requirement, or as required by state or local rules, if more 
stringent. If the facility does not have a mandatory meals plan, then 
state and local rules govern.
    In either case, ALF management must coordinate meals requirements 
with the needs of residents who are out part of the day (e.g., in day 
care). The meals program may not be operated at a profit by the project 
owner.
    (7) Your ALF's operation must be part of the project owner's 
management organization. Some or all of its functions may be contracted 
out. The ALF must predicate its budget on a two-tiered structure under 
which board and supportive service income and expenses must be 
maintained separately and independently from the regular income and 
expenses of the applicable project. The two components of ALF costs 
are:
    (a) Charges/payment for board, which may be on a sliding scale or 
any other equitable fee system; and
    (b) Charges/payment for necessary supportive services, which may 
include a combination of resident fees, Medicaid and/or other third 
party payments.
    (8) Priority admissions for ALF units are as follows:
    (a) Current residents desiring an ALF unit and meeting the program 
requirements (no resident can be required to accept an ALF unit).
    (b) Qualified individuals or families needing ALF services who are 
already on the project's waiting list;
    (c) Qualified individuals or families in the community needing ALF 
services wanting to be added to the project's waiting list; and

    Note: Qualified disabled non-elderly persons needing assisted 
living services are

[[Page 14407]]

eligible to occupy these units on the same basis as elderly persons, 
except for section 202 project rental assistance contracts (PRAC) 
projects and unused/underutilized commercial properties.

    (9) The management of the project must set up a separate waiting 
list for ALF units. ALF units must be for eligible residents who meet 
the admissions/discharge requirements as established for assisted 
living by State and local licensing, or HUD frailty requirements under 
24 CFR 891.205 if more stringent.
    (10) Costs of meals and supportive services are NOT covered by this 
HUD grant. These items must be paid for through other sources (e.g., a 
mix of resident fees and/or third party providers). Evidence of third 
party commitment(s) must be included as part of the application. (See 
Section IV(B) of this NOFA.) The assisted living supportive services 
program must promote independence and provide personal care assistance 
based on individual needs in a home-like environment (see Section 
VI(B)(8)(b) through (c) of this NOFA).
    (11) Upon receipt of a grant under this program, all project owners 
participating in the ALCP must provide a Declaration of Restrictive 
Covenants (DRC), which will be recorded with the land, to retain the 
low income character of the housing, and to maintain the project 
(including the ALF), as a moderate, low, or very low income facility 
(as appropriate) for at least 20 years beyond the current 40-to-50 year 
term of the mortgage loan or capital advance. Recipients of grant funds 
to convert unused or underutilized commercial property must provide a 
DRC for at least 20 years or for the term of the mortgage on the 
property whichever is longer.
    (12) This program does NOT allow permanent displacement of any 
resident living in the project at the time the application was 
submitted to HUD. (HUD will only provide temporary relocation costs for 
current tenants if they must vacate their unit while conversion work is 
underway (normal temporary relocation costs include increases in rent, 
reconnection of telephones, moving costs and appropriate out-of-pocket 
expenses)).
    (13) The ALCP requires service coordination responsible for linking 
the ALF to services in the community which are available to low income 
persons. All projects funded under this NOFA must have sufficient 
service coordination in place, or request additional funds if 
appropriate, to ensure that services meeting licensing requirements are 
available to ALF residents on an ongoing basis. Service coordination 
must be described in the application (see Section VI(B)(8)(b) through 
(c) of this NOFA). If you need to enhance an existing service 
coordination program or add one where it does not exist, you may apply 
for funding through the Service Coordinator NOFA, published elsewhere 
in this SuperNOFA, and attach a copy of the Form HUD 424M so indicating 
the request to the ALCP application. Alternatively, you may show 
evidence that funding for the enhanced service coordination is provided 
by other sources and indicate such funding on the HUD Form 424M which 
is exhibit 10(c) of your ALF application. If you are funded under this 
NOFA and requested new or enhanced service coordination you will be 
funded first under the service coordinator NOFA.

    Note: If you are a Section 202 PRAC project owner or an owner 
with unused or underutilized commercial properties, you are NOT 
eligible to request funding under the service coordinator NOFA. 
Section 202 PRAC owners can pay for the service coordinator out of 
PRAC funds.

    In addition to above requirements, the following applicable 
guidelines are stated:
    (a) The ALF must be staffed either directly or through coordination 
with local agencies, depending on state regulations or local 
requirements. These may also serve non-ALF residents of the project on 
a time available and appropriate fee basis.
    (b) The ALF may cater to the special needs of residents depending 
on their condition or diagnosis, such as Alzheimer's disease. If it 
does so, the design/environment of such facilities must accommodate 
those needs, e.g., dementia special care unit. However, the ALF CANNOT 
provide a service it is not licensed by the State or locality to 
provide.

    Note 1: Owners of section 202/PRAC projects are reminded that 
they may include a PRAC payment of up to $15/unit/month not to 
exceed 15% of the total program cost, consistent with 24 CFR 
891.225(b)(2) to cover part of the cost of meals and/or supportive 
services for frail elderly residents, including residents of the 
ALF.


    Note 2: Training for ALF staff is an eligible project cost under 
existing operating procedures.

    For further information on ALFs, please refer to Handbook 4600.1, 
CHG-1, ``Mortgage Insurance for Residential Care Facilities,'' Chapter 
13. This Handbook and recent ALF program Notices are accessible through 
HUDCLIPS on HUD's web site. The URL for the HUDCLIPS Database Selection 
Screen is http://www.hudclips.org/subscriber/cgi/legis.cgi. These 
notices are in the Handbooks and Notices--Housing Notices database. 
Enter only the number without the letter prefix (e.g., 99-16) in the 
``Document number'' to retrieve the program notice.
    For further guidance on service coordinators, please refer to 
Handbook 4381.5 REV-2, CHANGE-2, Chapter 8, ``The Management Agent's 
Handbook,'' which is also available through the HUDCLIPS database.
    (C) Eligible Applicants. Only private nonprofit owners of eligible 
multifamily assisted housing developments specified in section 683(2) 
(B), (C), (D), (E), and (F) of the Housing and Community Development 
Act of 1992 (Pub. L. 102-550, approved October 28, 1992) and private 
nonprofit owners of an unused or underutilized commercial property are 
eligible for funding. To be eligible, project owners must meet the 
following criteria where applicable:
    (1) Must be in compliance with your Loan Agreement, Capital Advance 
Agreement, Regulatory Agreement, Housing Assistance Payment contract, 
Project Rental Assistance Contract, Rent Supplement or LMSA contract, 
or any other HUD grant or contract document.
    (2) Must be in compliance with all fair housing and civil rights 
laws, statutes, regulations, and executive orders as enumerated in 24 
CFR 5.105(a). See Section V(B) of this NOFA for further explanation.

    Note: If your eligibility status changes during the course of 
the grant term, making it ineligible to receive the grant (e.g., 
prepayment of mortgage, sale/TPA of property, or opting out of a 
Section 8 Housing Assistance Payment (HAP) contract), HUD retains 
the right to terminate the grant and recover funds made available 
through this NOFA.

    (D) Eligible Developments.
    (1) Section 202 projects, Section 202 projects receiving rental 
assistance under Section 8, and Section 202 projects receiving project 
rental assistance under Section 202(C)(2). Rural housing projects 
assisted under Section 515 of the Housing Act of 1949 receiving Section 
8 rental assistance are also included. Projects receiving project-based 
rental assistance under Section 8, among others, housing constructed, 
substantially rehabilitated or receiving moderate rehabilitation 
assistance under Section 8. Also included are housing financed by a 
below-market interest rate loan or mortgage insured under Section 
221(d)(3) of the National Housing Act; and housing with financing 
insured, assisted or held by HUD or a State or State Agency under 
Section 236 of the National Housing Act. The housing projects must be 
owned by a private

[[Page 14408]]

nonprofit entity that is designated primarily for occupancy by elderly 
persons. The project must have been in occupancy for at least five 
years from the date the HUD-92485 Form Permission to Occupy Project 
Mortgages was issued and final closing must have been completed. Your 
project must:
    (a) Meet HUD's Uniform Physical Conditions Standards at 24 CFR part 
5, subpart G. Meeting these standards as described, means that the 
project, based on the most recent Real Estate Assessment Center (REAC) 
physical inspection report and responses thereto, must have a 
``satisfactory'' rating as evidenced by a score of 60 or better or a 
HUD-approved and on schedule repair plan for developments scoring less 
than 60. Additionally, the project must have no uncorrected and 
outstanding Exigent Health and Safety violations. Finally, the project 
must not have on file a management review with a rating of ``minimally 
satisfactory'' or ``unsatisfactory'' with open and unresolved findings.
    (b) Have a residual receipts account separate from the Reserve for 
Replacement account, or agree to establish this account as a condition 
for getting the award(s).
    (2) Unused and underutilized commercial properties.
    (E) Ineligible Applicants.
    (1) Owners of developments designed specifically for people with 
disabilities.
    (2) Owners of Section 232 developments.
    (3) Property management companies and agents of property management 
companies.
    (4) Limited dividend partnerships.
    (5) Nonprofit Public Agencies.
    (6) Owners of unused/underutilized hospitals or other health-
related facility which are considered to be eleemosynary institutions 
rather than commercial enterprises.
    (F) Eligible Conversion Activities. Eligible activities are:
    (1) Retrofitting to meet Section 504 accessibility requirements, 
minimum property standards for accessibility and/or building codes and 
health and safety standards for ALFs in that jurisdiction. Examples are 
items such as addition of:
    (a) Sprinkler systems;
    (b) An elevator or upgrades thereto;
    (c) Lighting upgrades;
    (d) Major physical or mechanical systems of projects necessary to 
meet local code or assisted living requirements;
    (e) Upgrading to accessible units for the ALF with movable 
cabinetry, accessible appliances, sinks, bathroom and kitchen fixtures, 
closets, hardware and grab bars, widening of doors, etc.;
    (f) Upgrades to safety and emergency alert systems;
    (g) Addition of hallway railings; and,
    (h) Medication storage and work stations;
    (2) Retrofitting to add, modify and/or outfit common space, office 
or related space for ALF staff including a service coordinator and file 
security, and/or a central kitchen/dining facility to support the ALF 
function (e.g., outfit lounge/common space/dining furniture, kitchen 
equipment for cooking/serving and dishware).
    (3) Retrofitting to upgrade a regular unit to an accessible unit 
for a person/family with disabilities who is being displaced from an 
accessible unit in the portion of the project that is being converted 
to the ALF, where another accessible unit is not available.
    (4) Temporary relocation (not applicable to commercial property).
    (5) Consultant, architectural and legal fees.
    (6) Vacancy payments not more than 30 days after conversion to an 
ALF.
    (G) Ineligible Activities. You may not use funds available through 
this NOFA to:
    (1) Add additional dwelling units to the existing project (not 
applicable to commercial property);
    (2) Pay the costs of any of the necessary direct supportive 
services needed to operate the ALF;
    (3) Purchase or lease additional land;
    (4) Rehabilitate (see definition at 24 CFR 891.105) the project for 
needs unrelated directly to the conversion of units and common space 
for assisted living;
    (5) Use the ALCP to reduce the number of accessible units in the 
project that are not part of the ALF (not applicable to commercial 
property);
    (6) Permanently relocate any resident out of the project; and,
    (7) Increase the management fee.

IV. Program Requirements

    Each applicant must comply with the following requirements:
    (A) Statutory, Regulatory, and Other Program Requirements. You must 
comply with all applicable statutory requirements to the projects 
specified in Section 202(b) and statutory requirements under Section 
232(b)(6). Please note that all ALCP projects must conform to the 500-
year flood plain limitation (See Section VII of this NOFA.) 
Construction of ALCP units is considered a ``critical action'' for 
purposes of the flood plain requirement.
    Excess Residual Receipts (over $500/unit) and Reserve for 
Replacement (R4R) funds (over $1000/unit) in Project Accounts that are 
not approved for another use at the time of application to HUD under 
this NOFA are considered available funds and must be applied towards 
the cost of conversion activities. Before making this determination, 
however, HUD staff will consider the extent of repair/replacement needs 
indicated in the most recent REAC physical inspection and not yet 
approved and any ongoing commitments such as non-grant-based service 
coordinator or other funding, where existing, deduct the estimated 
costs of such items from the R4R and residual receipts balances to 
determine the extent of available residual receipts and R4R funds for 
the ALCP. (This paragraph is not applicable to commercial properties.)
    If funded, you must also file a HUD Form-2530 for all construction 
contractors, architects, consultants, and service provider 
organizations under direct contract with you that will be engaged under 
this NOFA and comply with all State and local licensing, zoning and 
building code requirements.
    (B) Meals and Supportive Services. You must develop and submit a 
Supportive Services Plan (SSP) for the services and coordination of the 
supportive services which will be offered in the ALF to the appropriate 
state or local organization(s) which are expected to fund those 
supportive services. (See Section VI(B)(8) of this NOFA below, for the 
information which must be in the SSP.) You must submit one copy of your 
SSP to each appropriate State or local service funding organizations 
well in advance of the application deadline, for appropriate review. 
The State or local funding organization(s) must return the SSP to you 
with appropriate comments and indication of funding commitment, which 
you will then include with the application you submit to HUD.
    You must ALSO submit the SSP to the appropriate organization(s) 
which license ALFs in your jurisdiction. The licensing agency(ies) must 
approve your plan, and must also certify that the ALF and the proposed 
supportive services identified in your SSP, are consistent with local 
statute and regulations and well designed to serve the needs of the 
frail elderly and people with disabilities who will reside in the ALF 
portion of your project.
    Finally, you must also submit an agreement to pursue appropriate 
ALF licensing in a timely manner.
    (C) Minimum Size Limits for an ALF. An ALF must be economically 
feasible. Consistent with HUD Handbook 4600.1, CHG-1, the minimum size 
for an ALF is five units.

[[Page 14409]]

    (D) Economic Opportunities for Low and Very Low Income Persons 
(Section 3). You must 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 its implementing regulations at 
24 CFR part 135. You must ensure that training, employment and other 
economic opportunities shall, to the greatest extent feasible, be 
directed toward low and very low income persons, particularly those who 
are recipients of government assistance for housing and to business 
concerns which provide economic opportunities to low and very low 
income persons and including people with disabilities.
    (E) Compliance with Fair Housing and Civil Rights Laws. If you, the 
applicant (a) have been charged with a systemic violation of the Fair 
Housing Act by the Secretary alleging ongoing discrimination; (b) are 
the defendant in a Fair Housing Act lawsuit filed by the Department of 
Justice alleging an ongoing pattern or practice of discrimination; or 
(c) have received a letter of noncompliance findings under Title VI of 
the Civil Rights Act of 1964, section 504 of the Rehabilitation Act of 
1973, or section 109 of the Housing and Community Development Act of 
1974, your application will not be evaluated under this NOFA if, the 
charge, lawsuit, or letter of findings has not been resolved to the 
satisfaction of the Department before the application deadline, HUD's 
decision regarding whether a charge, lawsuit, or a letter of findings 
has been satisfactorily resolved will be based upon whether appropriate 
actions have been taken to address allegations of ongoing 
discrimination in the policies or practices involved in the charge, 
lawsuit, or letter of findings.
    (F) Additional Nondiscrimination Requirements. As you will be 
converting some of your project to an ALF, you should note that 24 CFR 
891.120(b) requires you to meet all accessibility requirements. 
Additionally, you must comply with the section 504 regulations at 24 
CFR part 8, the Americans with Disabilities Act and the regulations at 
28 CFR part 36, as applicable.
    (G) Executive Order 12372. Information regarding this requirement 
may be found in the General Section of the SuperNOFA.
    (H) Conducting Business in Accordance with HUD Core Values and 
Ethical Standards. Owners are required to develop and maintain a 
written code of conduct in accordance with 24 CFR 84.42. Consistent 
with regulations governing specific programs, your code of conduct must 
prohibit real and apparent conflicts of interest that may arise among 
employees, officers or agents; prohibit the solicitation and acceptance 
of gifts or gratuities by your officers, employees and agents for their 
personal benefit in excess of minimal value, and outline administrative 
and disciplinary actions available to remedy violations of such 
standards. If awarded assistance, you will be required, prior to 
entering into a grant agreement with HUD, to submit a copy of your code 
of conduct and describe the methods you will use to ensure that all 
officers, employees and agents of your organization are aware of your 
code of conduct. You will also be required to sign the Conflict of 
Interest Resolution and include it in your application see Exhibit 
(10)(i).
    (I) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Business, and Women-Owned Business. Information regarding 
this provision may be found in the General Section of the SuperNOFA. 
Upon acceptance of grant funds under the ALCP, Grantees must comply 
with the requirements pursuant to Executive Orders 11625 and 12432 
(concerning Minority Business Enterprises) and Executive Order 12138 
(concerning Women's Business Enterprise).
    (J) Compliance with Other Program Requirements: By the submission 
of the application for grant funds, the Owner is certifying to comply 
with the following program requirements:
    (1) Establish a residual receipt account as soon as there is 
surplus cash available, if applicable.
    (2) Apply for an ALF license with due diligence and in a timely 
fashion.
    (3) Comply with the requirements of the Fair Housing Act, Title VI 
of the Civil Rights Act, the Age Discrimination Act of 1975, Section 3 
of the Housing and Urban Development Act of 1968 (12 U.S.C. 1701u) and 
the implementing regulations at 24 CFR part 135, the affirmative fair 
housing marketing requirements of 24 CFR part 200, subpart M and the 
implementing regulations at 24 CFR part 108, and other applicable 
Federal, State and local laws prohibiting discrimination and promoting 
equal opportunity including affirmatively furthering fair housing, and 
other certifications listed in the application.
    (4) Comply with section 232 of the National Housing Act, as 
applicable, the Uniform Federal Accessibility Standards (24 CFR 40.7), 
section 504 of the Rehabilitation Act of 1973 and HUD's implementing 
regulations at 24 CFR part 8, and the design and construction 
requirements of the Fair Housing Act and HUD's implementing regulations 
at 24 CFR part 100, and the Americans with Disabilities Act of 1990 for 
all portions of the development physically affected by this proposal;
    (5) Comply with the Davis-Bacon requirements and the Contract Work 
Hours and Safety Standards Act as applied to this program. While it has 
been determined that Davis-Bacon does not apply statutorily to the 
ALCP, the Department has administratively determined that Davis-Bacon 
standards and overtime rates in accordance with the Contract Work Hours 
and Safety Standards Act will be adhered to in any ALCP conversion 
grant in which the total cost of the physical conversion to an ALF (and 
including any additional renovation work undertaken at the same time) 
is $500,000 or more (this includes ALCP grant funds, owner funds, or 
any third party funds loaned or granted in support of the conversion or 
other renovation for the project associated with this grant), AND in 
which the ALF portion of the project is 12 units or more.

V. Application Selection Process

    (A) Review for Curable Deficiencies. You should ensure that your 
application is complete before submitting it to HUD.
    HUD will screen all applications received by the deadline for 
curable deficiencies. With respect to correction of deficient 
applications, HUD may not, after the application due date and 
consistent with HUD's regulations in 24 CFR part 4, subpart B, consider 
any unsolicited information an applicant may want to provide. HUD may 
contact an applicant to clarify an item in the application or to 
correct technical deficiencies. Please note, however, that HUD may not 
seek clarification of items or responses that improve the substantive 
quality of a response to any selection factors. In order not to 
unreasonably exclude applications from being rated and ranked, HUD may 
contact applicants to ensure proper completion of the application and 
will do so on a uniform basis for all applicants. Examples of curable 
(correctable) technical deficiencies include failure to submit the 
proper certifications or failure to submit an application that contains 
an original signature by an authorized official. In each case, under 
this NOFA, the appropriate HUD Multifamily Hub Office will notify you 
in writing by describing the clarification or technical deficiency. You 
must submit clarifications or corrections of technical deficiencies in 
accordance with the information provided by the Hub Office within 14 
calendar days of the date of receipt of the HUD notification. (If the

[[Page 14410]]

due date falls on a Saturday, Sunday, or Federal holiday, your 
correction must be received by HUD on the next day that is not a 
Saturday, Sunday, or Federal holiday.) If the deficiency is not 
corrected within this time period, HUD will reject the application as 
incomplete, and it will not be considered for funding. The following is 
a list of the deficiencies that will be considered curable in ALCP 
applications:

Exhibits
(1) *(a) Articles of Incorporation, or certification of Articles of 
Incorporation.
*(b) By-laws, or certification of by-laws.
(3) Evidence of occupancy for at least five years (not applicable to 
commercial facilities).
(5) (c) Original project plans.
    (h) Relocation (not applicable to commercial property).
(7) Evidence of Permissive Zoning.
(8) (g) Support Letters from Governmental Agencies that License ALFs.
(10) Certifications, Forms and Resolution
    (a) Standard Form 424, Application for Federal Assistance and 
Compliance with Executive Order 12372.
    (b) Standard Form 424D, Assurances Construction Programs.
    (c) Form HUD 424M, Federal Assistance Funding Matrix.
    (d) Form HUD-50070, Drug-free Workplace.
    (e) Form HUD-50071, Payments to Influence Federal Transactions and 
Standard Form-LLL, Disclosure of Lobbying Activities.
    (f) Form HUD 2880, Applicant/Recipient Disclosure/Update Report 
including Social Security and Employment Identification numbers.
    (g) Form HUD-2992, Certification Regarding Debarment and 
Suspension.
    (h) Form HUD-2991, Certification of Consistency with the 
Consolidated Plan (Plan), for the Jurisdiction in which the Proposed 
ALF will be located.
    (i) Conflict of Interest Resolution.

    The appropriate Hub Office will notify you in writing if your 
application is missing any of the exhibits listed above and you will be 
given 14 days from the date of receipt of the HUD notification to 
submit the information required to cure the noted deficiencies. The 
exhibits identified by an asterisk (*) must be dated on or before the 
application deadline date. If not so dated the application will be 
rejected.
    After the completeness review, HUD staff will review your 
application to determine whether the application meets the threshold 
requirements listed below. Only if your application meets all the 
threshold requirements is it eligible to be rated and ranked. 
Applications that do not pass threshold will be rejected.
    (B) Threshold Review. In order to pass threshold, you must:
    (1) Be in compliance with all fair housing and civil rights laws, 
statutes, regulations, and executive orders as enumerated in 24 CFR 
5.105(a), and as noted earlier in this NOFA under Sections III(B)(2) 
and IV(E).
    (2) Be an eligible applicant.
    (3) Not request more funds than advertised.
    (4) Additionally, HUD will also reject your application if the SSP 
and/or commitment and support letter(s) from the appropriate funding 
organizations and the appropriate licensing agency(ies):
    (i) Are not submitted with your application;
    (ii) Indicate that the ALF units, facilities, meals and supportive 
services to be provided are not designed to meet the special needs of 
the residents who will reside in the ALF as defined in this NOFA,
    (iii) Do not show commitment for funding the meals and supportive 
services proposed; or
    (iv) Indicate that the project as proposed will not meet the 
licensing requirements of the appropriate State/local agency(ies).
    (C) Review Panels
    The Office of Housing's Multifamily Hubs will establish panels to 
review all eligible applications that have passed threshold. The panels 
may include knowledgeable persons not currently employed by HUD.
    (D) Rating of Applications (See paragraph below for selection of 
applications for commercial properties).
    HUD staff teams will review and rate ALCP applications in 
accordance with the Ranking and Selection procedures (see Section V(F) 
of this NOFA below). All applications will be either rated or 
technically rejected at the end of technical review. If your 
application meets all program eligibility requirements after completion 
of technical review, it will be rated according to the rating selection 
factors in Section V(G) of this NOFA. HUD reserves the right to reduce 
the amount requested in the application if any proposed components are 
ineligible or if the cost of items is not deemed reasonable. HUD will 
NOT reject an ALCP application based on technical review without 
notifying you of that rejection with all the reasons for the rejection, 
and providing you an opportunity to appeal. As discussed above, you 
will have 14 calendar days from the date of HUD's written notice to 
appeal a technical rejection to the Multifamily Hub where the 
applications were sent originally. HUD staff will make a determination 
on an appeal before finalizing selection recommendations.
    (E) Applicant Debriefing. Beginning not less than 30 days after the 
awards for assistance are announced in the above-mentioned Federal 
Register notice, and for not longer than 120 days after awards for 
assistance are announced, HUD will provide a debriefing to any 
applicant requesting a debriefing on their application. All requests 
for debriefing must be made in writing and submitted to the local Hub 
in which you applied for assistance. Materials provided to you during 
your debriefing will include the final scores you received for each 
rating factor, final evaluator comments for each rating factor, and the 
final assessment indicating the basis upon which assistance was 
provided or denied.
    (F) Ranking and Selection Procedures. (Paragraphs (F)(1)--(4) are 
not applicable to applicants of commercial properties.)
    Applications submitted in response to this NOFA that are eligible, 
pass threshold and have a total score of 70 points (or more) are 
eligible for ranking and selection. (Applications for the conversion of 
commercial properties with a score of at least 70 points will not be 
ranked but will be submitted to HUD Headquarters for selection.)
    (1) Hub staff teams will be established for ALCP review in each Hub 
to do the application ratings (see Section V(D) above). See list of 
Hubs in Appendix A of this NOFA.
    (2) From within rank order, Hub staff teams in each of the 18 Hubs 
will select the highest ranked applications from within that Hub in 
order, that can be funded from within the dollars available. Each Hub 
will select applications based on rank order up to and including the 
last application that can be funded out of each Hub's allocation. Hubs 
must not skip over any applications in order to select one based on the 
funds remaining.
    (3) After making the initial selections, however, Hubs may use any 
residual funds to select the next rank-ordered application by reducing 
the dollars requested by no more than 10 percent (10%) and reducing the 
number of units proposed, but in no case reducing the

[[Page 14411]]

number of units below the financial threshold feasibility of five ALF 
units.
    (4) Funds remaining after these processes are completed will be 
returned to HUD Headquarters. HUD will use these funds to restore units 
to any project reduced as a result of using the residual grant funds in 
a Hub. Secondly, HUD will use these funds for selecting one or more 
additional applications based on the Hubs rating and rankings, 
beginning with the highest rated application within the 18 Hubs. Only 
one application will be selected per Hub from the national residual 
amount. If there are no approvable applications in other Hubs, the 
process will begin again with the selection of the next highest rated 
application within the remaining Hubs. This process will continue until 
all approvable applications are selected using the available remaining 
funds. If there is a tie score between two or more applications, and 
there are insufficient residual funds to cover all tied applications, 
HUD Headquarters staff will choose the winning application(s) by 
lottery and/or reduction of grant requests consistent with the 
instructions above.
    (5) Up to 3 applications will be selected using the $15 million 
set-aside to provide grant funds to nonprofit applicants proposing to 
convert unused or underutilized commercial property into assisted 
living. HUD Multifamily Hubs will review applications for commercial 
properties for completeness and compliance with the eligibility 
criteria set forth in Section III of this NOFA. Hub staff will forward 
applications to Headquarters providing the application was received by 
the deadline date, meets all eligibility criteria, proposes reasonable 
costs for eligible activities, and includes all technical corrections 
by the designated deadline date. Headquarters will select no more than 
3 applications on a first-come, first-served basis that can be funded 
within the $15,000,000 available.

    Note: Only applications that can be fully funded will be 
selected. If an application that cannot be fully funded is selected, 
it will be discarded and another application selected until an 
applicant is selected that is within the available remaining funds. 
Any remaining funds after this selection process will be returned to 
the funds allocated for eligible multifamily assisted projects.

    (G) Factors For Award Used To Evaluate and Rate Applications.
    HUD will rate ALCP applications that successfully complete 
technical processing using the Rating Factors set forth below and in 
accordance with the application submission requirements identified in 
Section VI(B) of this NOFA, below. The maximum number of points an 
application may receive under this program is 100.
    (1) The Department encourages applicants to either partner, fund or 
sub-contract with grassroots organizations, particularly faith-based 
and other community-based organizations in conducting their work 
programs. (See the General Section of the SuperNOFA for the definition 
of ``grassroots organizations'').

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Staff (20 Points)

    This factor addresses your capacity to carry out the conversion in 
a timely, cost-conscious and effective manner. It also reviews your 
experience with the supportive services which the ALF intends to 
provide to elderly residents, especially in such areas as meals, 24-
hour staffing and on-site health care. Submit information responding to 
this factor in accordance with Application Submission Requirements in 
Sections VI(B)(5)(a), (8)(h), and (2)(d) of this NOFA.
    In rating this factor, HUD will consider the extent to which your 
application demonstrates your ability to carry out a successful 
conversion of the project and to implement the plan to deliver the 
supportive services on a-long term basis, considering the following:
    (1) (9 points) The practicality of your plan and timetable to carry 
out the physical conversion of the development to the ALF.
    (2) (10 points) Your past experience in providing or arranging for 
supportive services either on or off site for those who are frail. (If 
you are applying to convert an unused or underutilized commercial 
facility to assisted living and you do not own or operate a project 
with frail elderly residents, you must provide information on any past 
experience in providing or arranging supportive services for those who 
are frail.) Examples are: Meals delivered to apartment of resident or 
in a congregate setting (2 points), arranging for or providing personal 
care (3 points), providing 24-hour staffing (1 point), providing or 
making available on-site preventive health care (2 points) and other 
support services (2 points).
    (3) (1 point) Your organization is a ``grassroots'' organization as 
defined in the General Section of the SuperNOFA.

Rating Factor 2: Need/Extent of the Problem (20 Points)

    This factor addresses the extent to which the conversion is needed 
by the categories of elderly persons and persons with disabilities that 
the ALF is intended to serve (very low income elderly persons and 
people with disabilities who have limitations in three or more 
activities of daily living). The application must provide evidence of 
current needs among project residents (not applicable to applications 
proposing to convert unused or underutilized commercial facilities) and 
needs of potential residents in the housing market area for such 
persons including economic and demographic information on very-low 
income frail elderly and people with disabilities and information on 
current assisted living resources in the market area.
    The factor also addresses your inability to fund the repairs or 
conversion activities from existing financial resources. In making this 
determination, HUD will consider project financial information or the 
organization's financial information for unused or underutilized 
commercial facilities. Submit information responding to this factor in 
accordance with Application Submission Requirements in Section 
VI(B)(4)(a) through (d), (2)(c) and (9)(a) through (c) of the NOFA. In 
evaluating this factor, HUD will consider:
    (1) (7 points) The need for assisted living among the elderly and 
disabled residents of the project taking into consideration those 
currently in need and the depth of future needs given aging in place. 
(Not applicable to applications to convert unused or underutilized 
commercial facilities to assisted living.)
    (2) (3 points (10 points for applications to convert unused or 
underutilized commercial facilities to assisted living.)) The need for 
assisted living among very-low income elderly persons and people with 
disabilities in the housing market area.
    (3) (9 points) Insufficient funding for any needed conversion work, 
as evidenced by the project's financial statements and specifically the 
lack of excess reserve for replacement dollars (R4R) and residual 
receipts. If the available R4R and residual receipts are less than 10% 
of the total funds needed-9 points; if the available R4R and residual 
receipts are 10-50% of need = 5 points; and, if the available R4R and 
residual receipts are 51% or more of the total funds of needed = 0 
points). For commercial properties, if the available working capital 
exceeds 10 percent of the total conversion = 5 points; if the working 
capital is less than 10 percent of the total conversion = 9 points.
    (4) (1 point) The Department will provide one (1) point to those

[[Page 14412]]

applications which establish a connection between the proposed ALF and 
the community's Analysis of Impediments to Fair Housing Choice (AI) or 
other planning document that analyzes fair housing issues and is 
prepared by a local planning or similar organization.

Rating Factor 3: Soundness of Approach (40 Points).

    This factor addresses the quality and effectiveness of your 
proposal in addressing the proposed conversion, effectiveness of 
service coordination and management planning and the meals and 
supportive services which the ALF intends to provide. There must be a 
relationship between the proposed activities, the project's and the 
community's needs and purposes of the program funding for your 
application to receive points for this factor. Submit information 
responding to this factor in accordance with Application Submission 
Requirements in Sections VI(B)(5)(b) through (e) and (h) and (7) and 
(B)(8))(a) through (e) and (g) and (h) of this NOFA.
    In evaluating this factor, HUD will consider the following:
    (1) (12 points) The extent to which the proposed ALF design will 
meet the special physical needs of frail elderly persons or persons 
with disabilities expected to be served at reasonable cost (consider 
the ALF design: meets needs = 12 points; ALF design partially meets 
needs = 6 points; and ALF design does not meet needs = 0 points).
    (2) (12 points) The extent to which the ALF's proposed management 
and operational plan ensures that the provision of both meals and 
supportive services planned will be accomplished over time. (Consider 
ALF design/management plan: meets needs of management operations = 12 
points; ALF design/management plan partially meets needs of management 
operations = 6 points; and ALF design/management plan does not meet 
needs of management operations = 0 points.)
    (3) (7 points) The extent to which the proposed supportive services 
meet the anticipated needs of the frail elderly and disabled residents 
(consider Yes = 7 points; partially meets needs = 4 points; and, does 
not meet needs = 0 points); and
    (4) (7 points) The extent to which the service coordination 
function is addressed and explained as onsite and sufficient, onsite 
and augmented or new, and addresses the ongoing procurement of needed 
services for the residents of the ALF (does meet = 7 points, partially 
meets = 4 points, does not meet = 0 points).
    (5) (2 point) The extent to which there is an operating philosophy 
which promotes the autonomy and independence of the frail elderly 
persons it is intended to serve (is fully addressed = 2 points, no or 
not addressed = 0 points).

Rating Factor 4: Leveraging Resources (10 Points)

    This factor addresses your ability to secure other community 
resources which can be combined with HUD's grant funds to achieve 
program purposes. For the ALCP to succeed, you MUST generate local 
funding for the necessary supportive services to operate the ALF. HUD 
also encourages local funding for some of the necessary conversion 
work, or other work needed in the project (e.g., general modernization) 
which is NOT specifically linked to the ALF).
    Submit information responding to this factor in accordance with 
Application Submission Requirements in Section VI(B)(5)(f), (g), and 
(B)(8)(f) of this NOFA.
    (1) (5 points) The extent to which there are commitments for the 
funding needed for the meals and the supportive services planned for 
the ALF and that the total cost of the estimated budget of the ALF is 
covered. Consider 90% or more commitment for the total budget with no 
more than 10% general support = 5 points; 80-89.9% or more commitment 
for the total budget with no more than 20% general support = 4 points; 
65-79.9% firm commitment with no more than 35% general support = 3 
points; 40-64.9% firm commitment for the total budget with no more than 
60% general commitment = 2 points; less than 40% firm commitment for 
the total budget with no more than 60% general support = 0 points.
    (2) (3 points) The extent of local organizations' support which is 
firmly committed to providing at least 50 percent of the total cost of 
ALF conversion (consider 50% or more = 3 points, 20-49.9% = 2 points, 
and under 20% = 0 points).
    (3) (2 points) The extent of local organizational support which is 
firmly committed to providing funds for additional repair or retrofit 
necessary for the project NOT specifically directed to activities 
eligible under this NOFA (consider yes = 2 points, no = 0 points).

Rating Factor 5: Coordination, Self-sufficiency and Sustainability 
(10 Points)

    This factor addresses the extent to which you have evidenced 
general support for conversion by participating in your community's 
Consolidated Planning Process, involving the residents in the planning 
process (not applicable to applications proposing to convert unused or 
underutilized commercial facilities); the extent to which you have 
coordinated your activities with other known organizations that are not 
directly participating in your proposed work activities and are working 
toward addressing the need in a holistic and comprehensive manner 
through linkages with other activities in the community; the extent to 
which your project will implement practical solutions that will result 
in assisting residents in achieving independent living and the extent 
to which the project will be viable absent HUD funds but rely more on 
state, local and private funds. Submit information responding to this 
factor in accordance with Application Submission Requirements in 
Section VI(B)(2)(a) through (d), (B)(8)(a)-(e) of this NOFA.
    (1) (4 points) The extent to which you have coordinated your 
activities with other known organizations that are not directly 
participating in your proposed work activities, but share common goals 
and objectives and are working together to meet objectives; the 
involvement of project residents (including minority residents) or 
their representatives, in the development of the ALCP application, and 
your intent to involve residents, in the development and operation of 
the project and in relocation planning (Minus two (-2) points if not 
addressed); (If you are applying to convert an unused or underutilized 
commercial facility to assisted living, provide information on the 
involvement of elderly persons in the development of the ALCP 
application, and your intent to involve residents, in the development 
and operation of the project.)
    (2) (2 points) The extent to which you demonstrated that you have 
been actively involved (or if not currently active, the steps you will 
take to become actively involved) in your community's Consolidated 
Planning/AI processes to identify and address a need/problem that is 
related in whole or part, directly or indirectly to the proposed 
project;
    (3) (2 points) The extent to which your assisted living facility 
will implement practical solutions that will result in assisting 
residents in achieving independent living and improved living 
environment.
    (4) (2 points) The extent to which you demonstrate that the project 
will be viable absent HUD funds while relying more on state, local and 
private funds.

[[Page 14413]]

VI. Application Submission Requirements

    (A) Application--General. Your application must include all of the 
information, materials, forms, and exhibits listed in Section VI(B). In 
cases where your (i) articles of incorporation and (ii) by-laws have 
NOT changed since the project was originally approved by HUD, self-
certification to that effect--that the documents on file with HUD are 
current--is sufficient. Items in Section VI(B) for which self-
certification of currency is possible are denoted by a ``**''.
    In addition to the relief of paperwork burden in preparing 
applications, you will not have to submit certain new/recent 
information and exhibits you have previously prepared. See individual 
item descriptions, below to identify such items. An example of such an 
item may be the FY 2001 Annual Financial Statement.
    (B) General Application Requirements.
    (1) Application Summary for the Assisted Living Conversion Program 
and Evidence that you are a private non-profit organization or 
nonprofit consumer cooperative and have the legal ability to operate an 
ALF program, per the following:
    (a) Articles of Incorporation, constitution, or other 
organizational documents, or self-certification of these documents, if 
there has been no change in the Articles since they were originally 
filed with HUD;** and
    (b) By-laws, (for non-profits) or self-certification of by-laws, if 
there has been no change in the by-laws since they were originally 
filed with HUD.**
    (2) A description of your community ties and established linkages:
    (a) A description of your links to the community at large and to 
the minority and elderly communities in particular; and
    (b) A description of your efforts to involve elderly persons, 
including minority elderly persons and persons with disabilities in:
    (i) The development of the application;
    (ii) The development of the ALF operating philosophy;
    (iii) Review of the application prior to submission to HUD; and
    (iv) Your intent to involve elderly persons in the operation of the 
project or not.
    Also, demonstrate that you made the application available to the 
residents of the project (in their language(s)) AND requested and 
considered comments from them (in their language(s)). Applicants of 
converted commercial facilities should indicate that the application 
will be made available to the residents of the project in their 
language(s) and will request and consider comments from them in their 
language(s).
    (c) A description of your involvement in your community's 
Consolidated Planning and Analysis of Impediments to Fair Housing (AI) 
processes including:
    (i) An identification of the lead/facilitating agency(ies) that 
organizes/administers the processes;
    (ii) A listing of the Consolidated Plan/AI issue areas in which you 
participate; and
    (iii) The level of your participation in the processes, including 
active involvement with any neighborhood-based organizations, 
associations, or any committees that support programs and activities 
that enhance projects or the lives of residents of the projects, such 
as the one proposed in your application.
    If you are not currently active, describe the specific steps you 
will take to become active in the Consolidated Planning and AI 
processes. (Consult the local HUD Office for the identification of the 
Consolidated Plan community process for the appropriate area.)
    (d) A description of how the assisted living facility will 
implement practical solutions that will result in assisting residents 
in achieving independent living and improved living environment.
    (3) Evidence of your project being in occupancy for at least five 
years as of the date of application to HUD. (Not applicable to 
commercial facilities.)
    (4) A market analysis of the need for the proposed ALF units, 
including information from both the project and the housing market, 
containing:
    (a) Evidence of need for the ALF by current project residents: (Not 
applicable to commercial facilities.)
    (i) A description of the demographic characteristics of the elderly 
residents currently living in the project, including the current number 
of residents, distribution of residents by age and sex, an estimate of 
the number of residents with frailties/limitations in activities of 
daily living and an estimate of the number of residents in need of 
assisted living services. (Not applicable to commercial facilities.)
    (ii) A description of the services which are currently available to 
the residents and/or provided on or off-site and what services are 
lacking; (Not applicable to commercial facilities.)
    (b) Evidence of the need for ALF units by very low income elderly 
and disabled households in the market area; a description of the trend 
in elderly and disabled population and household change; data on the 
demographic characteristics of the very low income elderly in need of 
assisted living services (age, race, sex, household size and tenure) 
and extent of residents with frailty/limitations in existing federally-
assisted housing for the elderly (HUD and Rural Housing Service); and 
an estimate of the very low income elderly and disabled in need of 
assisted living taking into consideration any available State or local 
data.
    (c) A description of the extent, types and availability and cost of 
alternate care and services locally, such as: Home health care, adult 
day care, housekeeping services, meals programs, visiting nurses, on-
call transportation services, health care and providers of supportive 
services who address the needs of the local low income population.
    (d) A description of how information in the community's Analysis of 
Impediments to Fair Housing Choice was used in documenting the need for 
the ALF (covering items in Section VI(B)(4)(a) and (b) of this NOFA).
    (5) A description of the physical ALF conversion, including the 
following:
    (a) How you propose to carry out the physical conversion (including 
a timetable and relocation planning).
    (b) A short narrative stating the number of units, special design 
features, community and office space/storage, dining and kitchen 
facility and staff space and the physical relationship to the rest of 
the project. Also, you must describe how this design will facilitate 
the delivery of services in an economical fashion and accommodate the 
changing needs of the residents over at least the next 10 years.
    (c) A copy of the original plans for all units and other areas of 
the development which will be included in the conversion. (If you are 
applying to convert an unused or underutilized commercial facility to 
assisted living, provide a copy of the original plans of the facility).
    (d) A description of the conversion must clearly address the 
following accessibility issues: All door openings must have a minimum 
clear opening of 32 inches; and, all bathrooms and kitchens must be 
accessible to and functional for persons in wheelchairs, according to 
the ``Uniform Federal Accessibility Standards.''
    (e) Architectural sketches of the conversion to a scale of \1/4\ 
inch to one foot that indicate the following:
    (i) All doors being widened;
    (ii) Typical kitchen and bathroom reconfiguration: Show all 
wheelchair clearances, wall reinforcing, grab bars

[[Page 14414]]

and elevations of counters and work surfaces;
    (iii) Bedroom/living/dining area modification, if needed;
    (iv) Any reconfigured common space;
    (v) Added/reconfigured office and storage space;
    (vi) Monitoring stations, and
    (vii) The kitchen and dining facility.
    All architectural modifications must meet section 504 and ADA 
requirements as appropriate.
    (f) A budget showing at least estimated costs for materials, 
supplies, fixtures and labor for each of the items listed in Section 
VI(B)(5)(e), items i through vii, above.
    (g) Include firm commitment letters with specific dollar amounts 
from appropriate organization(s) for conversion needs (within the scope 
of the ALF conversion NOFA) which will be supported by non-HUD funding.
    (h) A description of any relocation of current tenants including a 
statement that: (Not applicable to commercial property applicants.)
    (i) Indicates the estimated cost of temporary relocation payments 
and other related services;
    (ii) Identifies the staff organization that will carry out the 
relocation activities; and
    (iii) Identifies all tenants that will have to be temporarily moved 
to another unit within the development OR from the development during 
the period that the physical conversion of the project is under way.

    Note: If any of the relocation costs will be funded from sources 
other than the ALCP grant, you must provide evidence of a firm 
commitment of these funds. When evaluating applications, HUD will 
consider the total cost of proposals (i.e., cost of conversion, 
temporary relocation, service coordinator and other project costs).

    (6) A description of any retrofit or renovation which will be done 
at the project (with third party funds) that is separate and distinct 
from the ALF conversion. With such description, attach firm commitment 
letters from third party organizations in specific dollar amounts which 
will cover the cost of any work outside the scope of this NOFA.
    (7) Evidence of permissive zoning, showing that the modifications 
to include the ALF into the project as proposed are permissible under 
applicable zoning ordinances or regulations, or a statement of the 
proposed action required to make the proposed project permissible and 
the basis for your belief that the proposed action will be completed 
successfully within six months of the date of grant award by HUD (e.g., 
a summary of the results of any requests for rezoning and/or the 
procedures for obtaining special or conditional use permits on land in 
similar zoning classifications and the time required for such rezoning, 
or preliminary indications of acceptability from zoning bodies, etc.);
    (8) A supportive services plan (SSP), a copy of which must be 
submitted to the appropriate state and/or local agency as instructed in 
Section IV(B) of this NOFA. For those applicants needing to contact 
state Medicaid offices, a list is provided on the Internet at 
``www.hcfa.gov/medicaid/medicaid.htm.'' The SSP must include:
    (a) A description of the supportive services needed for the frail 
elderly the ALF is expected to serve. This must include at least (i) 
meals and such other supportive services required locally or by the 
State, and (ii) such optional services or care to be offered on an ``as 
needed'' basis.
    Examples of both mandatory and optional services (which will vary 
from state to state) are: Two meals and two snacks or three meals 
daily; 24-hour protective oversight; personal care; housekeeping 
services; personal counseling and transportation.
    (b) A description of how you will provide the supportive services 
to those who are frail and have disabilities (i.e., on or off-site or 
combination of on or off-site), including an explanation of how the 
service coordination role will facilitate the adequate provision of 
such services to ALF residents, and how the services will meet the 
identified needs of the residents. Also indicate how you intend to fund 
the service coordinator role.
    (c) A description of how the operation of your ALF will work. 
Address: (i) General operating procedures; (ii) ALF philosophy and how 
it will promote the autonomy and independence of the frail elderly and 
persons with disabilities; (iii) what will the service coordination 
function will do and the extent to which this function already exists, 
or will be augmented or new; (iv) ALF staff training plans; and (v) the 
degree to which and how the ALF will relate to the day-to-day 
operations of the rest of the project.
    (d) The monthly individual rate for board and supportive services 
for the ALF listing the total fee and components of the total fee for 
the items required by state or local licensing AND list the appropriate 
rate for any optional services you plan to offer to the ALF residents. 
Provide an estimate of the total annual costs of the required board and 
supportive services you expect to provide and an estimate of the amount 
of optional services you expect to provide.
    (e) List who will pay for the board and supportive services (e.g., 
$__ for meals by sponsor, $__ for housekeeping services by city 
government; $__ for personal care by State Department of Health; $__ 
for __ by state __ program; $__ in fees by tenants; and, $__ by __).
    The amounts and commitments from both tenants and/or providers must 
equal the estimated amounts necessary to cover the monthly rates for 
the number of people expected to be served. If you include tenant fees 
in the proposal, list and show any proposed scaling mechanism. All 
amounts committed/collected must equal the annualized cost of the 
monthly rates calculated by the expected percentage of units filled.
    (f) A support/commitment letter from EACH listed proposed funding 
source per paragraph (e), above, for the planned meals and supportive 
services listed in the application. The letter must cover the total 
planned annual commitment (and multiyear amount total, if different), 
length of time for the commitment, and the amounts payable for each 
service covered by the provider/paying organization. There must be a 
letter from EACH participating organization listed in Section 
VI(B)(8)(e) of this NOFA, above.
    (g) A support letter from EACH governmental agency which provides 
licensing for ALFs in that jurisdiction.
    (h) A description of your relevant experience in arranging for and/
or delivering supportive services to frail residents. (If you are 
applying to convert an unused or underutilized commercial facility to 
assisted living, provide information on your relevant experience in 
arranging for and/or delivering supportive services to frail elderly 
persons). The description should include any supportive services 
facilities owned/operated; your past or current involvement in any 
project-based programs that demonstrates your management capabilities. 
The description should include data on the facilities and specific 
meals and/or supportive services provided on a regular basis, the 
racial/ethnic composition of the populations served, if available, and 
information and testimonials from residents or community leaders on the 
quality of the services.

    Note: If a funds request for service coordination for the ALF 
and/or the whole project is included as part of this application, 
the Form HUD-424M, indicating the dollars requested must be attached 
as Exhibit 10(c). Do NOT attach the whole service coordinator 
application.


[[Page 14415]]


    (9) A description of your project's resources: (Items (9)(a)-(b) 
are not applicable to applicants of commercial property.)
    (a) A copy of the most recent project Repair and Replacement (R4R) 
account statement, and an R4R analysis showing plans for its use over 
the next five years, and any approvals received from the HUD field 
office to date.
    (b) A copy of the most recent Residual Receipts Account statement. 
Indicate any approvals for the use of such receipts from the field 
office for over $500/unit.
    (c) Annual Financial Statement (AFS). If your FY 2002 AFS was due 
to REAC more than 120 days BEFORE the due date for this application, in 
the interest of reducing work burden, only include the date that it was 
sent to REAC. If the AFS was due to REAC 120 days or less from the due 
date of this application, you MUST include a paper copy. For commercial 
properties, the most recent financial statement or annual report.
    (10) Forms, Certifications and Resolutions. The following exhibits, 
forms, certifications and assurances are required:
    (a) Standard Form 424, Application for Federal Assistance and 
indication of whether you are delinquent on any federal debt and 
compliance with Executive Order 12372 (a certification that you have 
submitted a copy of your application, if required, to the State agency 
(Single Point of Contact) for State review in accordance with Executive 
Order 12372 (see the General Section of the SuperNOFA for instructions 
in submitting this form).
    (b) Standard Form 424D, Assurances, Construction Programs.
    (c) Form HUD 424M, Federal Assistance Funding Matrix.
    (d) Form HUD-50070, Drug-free Workplace. Certification to provide a 
drug-free workplace.
    (e) Form HUD-50071, Payments to Influence Federal Transactions and 
Standard Form-LLL, Disclosure of Lobbying Activities. Certification of 
whether any of the funds received will be used to influence any federal 
transactions and disclosure of these activities, if applicable.
    (f) Form-HUD 2880, Applicant/Recipient Disclosure/Update Report, 
including Social Security and Employment Identification numbers. A 
disclosure of assistance from other government sources received in 
connection with the project.
    (g) Certification Regarding Debarment and Suspension (HUD-2992) (24 
CFR 24.510).
    (h) Form HUD-2991, Certification of Consistency with the 
Consolidated Plan (Plan), for the jurisdiction in which the proposed 
ALF will be located. The certification must be made by the unit of 
general local government if it is required to have, or has, a complete 
Plan. Otherwise, the certification may be made by the State, or by the 
unit of general local government if the project will be located within 
the jurisdiction of the unit of general local government authorized to 
use an abbreviated strategy, and if it is willing to prepare such a 
Plan.
    All certifications must be made by the public official responsible 
for submitting the plan to HUD. The certifications must be submitted as 
part of the application by the application submission deadline date set 
forth herein. The Plan regulations are published in 24 CFR part 91.
    (i) A certified Board Resolution that no officer or director of the 
Owner has or will have any financial interest in any contract with the 
Owner or in any firm or corporation that has or will have a contract 
with the Owner, including a current listing of all duly qualified and 
sitting officers and directors by title, and the beginning and ending 
dates of each person's term.

VII. Environmental Requirements

    Your ALCP application is subject to the National Environmental 
Policy Act of 1969 and applicable related Federal environmental 
authorities. (See 24 CFR part 50, as applicable.) An environmental 
review will be completed by HUD before the award of any grant under 
this program. Pursuant to 24 CFR part 55, ALCP projects are critical 
actions for purposes of floodplain management review.

VIII. Authority

    The Assisted Living Conversion Program is authorized by Section 
202(b) of the Housing Act of 1959 (12 U.S.C. 1701q-2) and the Fiscal 
Year 2002 Departments of Veterans Affairs and Housing and Urban 
Development, and Independent Agencies Appropriations Act.

Appendix A.--HUD Field Office List for Mailing Assisted Living 
Conversion Program Applications

HUD--Boston Hub

Boston Office, Room 301, Thomas P. O'Neill, Jr., Federal Building, 
10 Causeway Street, Boston, MA 02222-1092, (617) 565-5234, TTY 
Number: (617) 565-5453.

HUD--New York Hub

New York Office, 26 Federal Plaza--32nd Floor, New York, NY 10278-
0068, (212) 264-8000, TTY Number: (212) 264-0927

HUD--Buffalo Hub

Buffalo Office, Fifth Floor, Lafayette Court, 465 Main Street, 
Buffalo, NY 14203-1780, (716) 551-5755, TTY Number: (716) 551-5787

HUD--Philadelphia Hub

Philadelphia Office, The Wanamaker Building, 100 Penn Square East, 
Philadelphia, PA 19107-3380, (215) 656-0600, TTY Number: (215) 656-
3452

HUD--Baltimore Hub

Baltimore Office, Fifth Floor, City Crescent Building, 10 South 
Howard Street, Baltimore, MD 21201-2505, (410) 962-2520, TTY Number: 
(410) 962-0106

HUD--Greensboro Hub

Greensboro Office, Koger Building, 2306 West Meadowview Road, 
Greensboro, NC 27407-3707, (336) 547-4000, TTY Number: (336) 547-
4055

HUD--Atlanta Hub

Atlanta Office, 40 Marietta Street--Five Points Plaza, Atlanta, GA 
30303-2806, (404) 331-5001, TTY Number: (404) 730-2654

HUD--Jacksonville Hub

Jacksonville Office, Suite 2200, Southern Bell Tower, 301 West Bay 
Street, Jacksonville, FL 32202-5121, (904) 232-2626, TTY Number: 
(904) 232-2631

HUD--Chicago Hub

Chicago Office, Ralph H. Metcalfe Federal Building, 77 West Jackson 
Boulevard, Chicago, IL 60604-3507, (312) 353-5680, TTY Number: (312) 
353-5944

HUD--Detroit Hub

Detroit Office, Patrick V. McNamara Federal Building, 477 Michigan 
Avenue--17th Floor, Detroit, MI 48226-2592, (313) 226-7900, TTY 
Number: (313) 226-6899

HUD--Columbus Hub

Columbus Office, 200 North High Street, 7th Floor, Columbus, OH 
43215-2499, (614) 469-5737, TTY Number: (614) 469-6694

HUD--Minneapolis Hub

Minneapolis Office, 220 Second Street, South, Minneapolis, MN 55401-
2195, (612) 370-3000, TTY Number: (612) 370-3186

HUD--Ft. Worth Hub

Ft. Worth Office, 801 N. Cherry Street, P.O. Box 2905, Fort Worth, 
TX 76113-2905, (817) 978-9000, TTY Number: (817) 978-9273

HUD--Kansas City Hub

Kansas City Office, Room 200, Gateway Tower II, 400 State Avenue, 
Kansas City, KS 66101-2406, (913) 551-5462, TTY Number: (913) 551-
6972

HUD--Denver Hub

Denver Office, 633 17th Street, Denver, CO 80202-3607, (303) 672-
5440, TTY Number: (303) 672-5248

[[Page 14416]]

HUD--San Francisco Hub

San Francisco Office, Philip Burton Federal Building and U.S. 
Courthouse, 450 Golden Gate Avenue, P.O. Box 36003, San Francisco, 
CA 94102-3448, (415) 436-6550, TTY Number: (415) 436-6594

HUD--Los Angeles Hub

Los Angeles Office, 611 West 6th Street, Suite 800, Los Angeles, CA 
90017-3106, (213) 894-8000, TTY Number: (213) 894-8133

HUD--Seattle Hub

Seattle Office, Seattle Federal Office Building, 909 1st Avenue, 
Suite 200, Seattle, WA 98104-1000, (206) 220-5101, TTY Number: (206) 
220-5185

    Note: The first line of the mailing address for all offices is 
the U. S. Department of Housing and Urban Development. Telephone 
numbers listed are not toll free.

Appendix B

HUD--Boston Hub

Hartford Office, One Corporate Center, 19th Floor, Hartford, CT 
06103-3220, (860) 240-4800, TTY Number: (860) 240-4665
Boston Office, Room 375, Thomas P. O'Neill, Jr., Federal Building, 
10 Causeway Street, Boston, MA 02222-1092, (617) 565-5234, TTY 
Number: (617) 565-5453
Manchester Office, Norris Cotton Federal Building, 275 Chestnut 
Street, Manchester, NH 03101-2487, (603) 666-7681, TTY Number: (603) 
666-7518
Providence Office, Sixth Floor, 10 Weybosset Street, Providence, RI 
02903-2808, (401) 528-5230, TTY Number: (401) 528-5403

HUD--New York Hub

New York Office, 26 Federal Plaza, New York, NY 10278-0068, (212) 
264-8000, TTY Number: (212) 264-0927

HUD--Buffalo Hub

Buffalo Office, Fifth Floor, Lafayette Court, 465 Main Street, 
Buffalo, NY 14203-1780, (716) 551-5755, TTY Number: (716) 551-5787

HUD--Philadelphia Hub

Philadelphia Office, The Wanamaker Building, 100 Penn Square East, 
Philadelphia, PA 19107-3380, (215) 656-0600, TTY Number: (215) 656-
3452
Charleston Office, Suite 708, 405 Capitol Street, Charleston, WV 
25301-1795, (304) 347-7000, TTY Number: (304) 347-5332
Newark Office, Thirteenth Floor, One Newark Center, Newark, NJ 
07102-5260, (973) 622-7900, TTY Number: (973) 645-3298
Pittsburgh Office, 339 Sixth Avenue, Sixth Floor, Pittsburgh, PA 
15222-2515, (412) 644-6428, TTY Number: (412) 644-5747

HUD--Baltimore Hub

Baltimore Office, Fifth Floor, City Crescent Building, 10 South 
Howard Street, Baltimore, MD 21201-2505, (410) 962-2520, TTY Number: 
(410) 962-0106
Washington, DC Office, 820 First Street, NE, Suite 300, Washington, 
D.C. 20002-4205, (202) 275-9200, TTY Number: (202) 275-0772
Richmond Office, The 3600 Centre, 3600 West Broad Street, Richmond, 
VA 23230-4920, (804) 278-4500, TTY Number: (804) 278-4501

HUD--Greensboro Hub

Greensboro Office, Koger Building, 2306 West Meadowview Road, 
Greensboro, NC 27407-3707, (336) 547-4000, TTY Number: (336) 547-
4055
Columbia Office, Strom Thurmond Federal Building, 1835-45 Assembly 
Street, Columbia, SC 29201-2480, (803) 765-5592, TTY Number: (803) 
253-3071

HUD--Atlanta Hub

Atlanta Office, Richard B. Russell Federal Building, 75 Spring 
Street, S.W., Suite 600, 40 Marietta Street--Five Points Plaza, 
Atlanta, GA 30303-3388 2806, (404) 331-5136 5001, TTY Number: (404) 
730-2654
San Juan Office, Edificio Administracion de Terrenos, 171 Carlos 
Chardon Avenue, Suite 301, San Juan, PR 00918-0903, (787) 766-5400, 
TTY Number: (787) 776-5609
Louisville Office, 601 West Broadway, P.O. Box 1044, Louisville, KY 
40201-1044, (502) 582-5251, TTY Number: 1-800-648-6056
Knoxville Office, Third Floor, John J. Duncan Federal Building, 710 
Locust Street, Knoxville, TN 37902-2526, (423) 545-4384, TTY Number: 
(423) 545-4559
Nashville Office, Suite 200, 251 Cumberland Bend, Nashville, TN 
37228-1803, (615) 736-5213, TTY Number: (615) 736-2886

HUD--Jacksonville Hub

Jacksonville Office, Suite 2200, Southern Bell Tower, 301 West Bay 
Street, Jacksonville, FL 32202-5121, (904) 232-2626, TTY Number: 
(904) 232-2631
Birmingham Office, Suite 300, Beacon Ridge Tower, 600 Beacon 
Parkway, West, Birmingham, AL 35209-3144, (205) 290-7617, TTY 
Number: (205) 290-7624
Jackson Office, Suite 910, Doctor A.H. McCoy Federal Building, 100 
West Capitol Street, Jackson, MS 39269-1096, (601) 965-4700, TTY 
Number: (601) 965-4171

HUD--Chicago Hub

Chicago Office, Ralph H. Metcalfe Federal Building, 77 West Jackson 
Boulevard, Chicago, IL 60604-3507, (312) 353-5680, TTY Number: (312) 
353-5944
Indianapolis Office, 151 North Delaware Street, Indianapolis, IN 
46204-2526, (317) 226-6303, TTY Number: (317) 226-7081

HUD--Detroit Hub

Detroit Office, Patrick V. McNamara Federal Building, 477 Michigan 
Avenue, Detroit, MI 48226-2592, (313) 226-7900, TTY Number: (313) 
226-6899
Grand Rapids Office, Trade Center Building, 50 Louis Street, NW. 
Third Floor, Grand Rapids, MI 49503-2648, (616) 456-2100, TTY 
Number: (616) 456-2159

HUD--Columbus Hub

Columbus Office, 200 North High Street, 7th Floor, Columbus, OH 
43215-2499, (614) 469-5737, TTY Number: (614) 469-6694
Cleveland Office, Renaissance Building, 1350 Euclid Avenue, Suite 
500, Cleveland, OH 44115-1815, (216) 522-4058, TTY Number: (216) 
522-2261

HUD--Minneapolis Hub

Minneapolis Office, 220 Second Street, South, Minneapolis, MN 55401-
2195, (612) 370-3000, TTY Number: (612) 370-3186
Milwaukee Office, Suite 1380, Henry S. Reuss Federal Plaza, 310 West 
Wisconsin Avenue, Milwaukee, WI 53203-2289, (414) 297-3214, TTY 
Number: (414) 297-1423

HUD--Ft. Worth Hub

Little Rock Office, Suite 900, TCBY Tower, 425 West Capitol Avenue, 
Little Rock, AR 72201-3488, (501) 324-5931, TTY Number: (501) 324-
5931
New Orleans Office, Ninth Floor, Hale Boggs Federal Building, 501 
Magazine Street, New Orleans, LA 70130-3099, (504) 589-7200, TTY 
Number: (504) 589-7279
Ft. Worth Office, 801 N. Cherry Street, P.O. Box 2905, Fort Worth, 
TX 76113-2905, (817) 978-9000, TTY Number: (817) 978-9273
Houston Office, Suite 200, Norfolk Tower, 2211 Norfolk, Houston, TX 
77098-4096, (713) 313-2274, TTY Number: (713) 834-3274
San Antonio Office, Washington Square, 800 Dolorosa Street, San 
Antonio, TX 78207-4563, (210) 475-6800, TTY Number: (210) 475-6885

HUD--Great Plains

Des Moines Office, Room 239, Federal Building, 210 Walnut Street, 
Des Moines, IA 50309-2155, (515) 284-4512, TTY Number: (515) 284-
4728
Kansas City Office, Room 200, Gateway Tower II, 400 State Avenue, 
Kansas City, KS 66101-2406, (913) 551-5462, TTY Number: (913) 551-
6972
Omaha Office, Executive Tower Centre, 10909 Mill Valley Road, Omaha, 
NE 68154-3955, (402) 492-3100, TTY Number: (402) 492-3183
Saint Louis Office, Third Floor, Robert A. Young Federal Building, 
1222 Spruce Street, St. Louis, MO 63103-2836, (314) 539-6583, TTY 
Number: (314) 539-6331
Oklahoma City Office, 500 West Main Street, Suite 400, Oklahoma 
City, OK 73102-2233, (405) 553-7401, TTY Number: 1-800-877-8339

HUD--Denver Hub

Denver Office, 633 17th Street, Denver, CO 80202-3607, (303) 672-
5440, TTY Number: (303) 672-5248

HUD--San Francisco Hub

Phoenix Office, Suite 1600, Two Arizona Center, 400 North 5th 
Street, Phoenix, AZ 85004-2361, (602) 379-4434, TTY Number: (602) 
379-4464
San Francisco Office, Philip Burton Federal Building and U.S. 
Courthouse, 450 Golden Gate Avenue, P.O. Box 36003, San Francisco, 
CA 94102-3448, (415) 436-6550, TTY Number: (415) 436-6594
Honolulu Office, Suite 500, 7 Waterfront Plaza, 500 Ala Moana 
Boulevard, Honolulu, HI 96813-4918, (808) 522-8185, TTY Number: 
(808) 522-8193

HUD--Los Angeles Hub

Los Angeles Office, 611 West 6th Street, Suite 800, Los Angeles, CA 
90017-3106,

[[Page 14417]]

(213) 894-8000, TTY Number: (213) 894-8133

HUD--Seattle Hub

Portland Office, 400 Southwest Sixth Avenue, Suite 700, Portland, OR 
97204-1632, (503) 326-2561, TTY Number: (503) 326-3656

    Note: The first line of the mailing address for all offices is 
the U. S. Department of Housing and Urban Development. Telephone 
numbers listed are not toll free.

APPENDIX C

    The non-standard forms required for the ALCP application.
BILLING CODE 4210-32-P

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FUNDING AVAILABILITY FOR THE SECTION 811 PROGRAM OF SUPPORTIVE 
HOUSING FOR PERSONS WITH DISABILITIES (SECTION 811 PROGRAM)

Program Overview

    Purpose of the Program. This program provides funding for 
supportive housing for very low-income persons with disabilities who 
are at least 18 years old. Additionally, organizations receiving funds 
must assure that an array of community support services are identified 
and available. (Please note that funding for a related program, 
Mainstream Housing Opportunities for Persons with Disabilities, is 
found elsewhere in this SuperNOFA.)
    Available Funds. Approximately $117.5 million.
    Eligible Applicants. Nonprofit organizations that have a section 
501(c)(3) tax exemption from the Internal Revenue Service (See Section 
III(B) of this NOFA). (See Section VIII of this NOFA for information 
regarding the formation of the Owner corporation.)
    Eligible Activities. New construction, rehabilitation, or 
acquisition (with or without rehabilitation) of housing (see Section 
III(C) of this NOFA).
    Application Deadline. June 5, 2002.
    Match Requirements. No.

Additional Information

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Submit your completed application on or 
before 6:00 pm, local time, on June 5, 2002, at the address shown 
below.
    See the General Section of this SuperNOFA for specific procedures 
governing the application submission requirements to HUD field offices. 
Only Section 811 applications mailed via the United States Postal 
Service will be accepted.
    Address for Submitting Applications. Submit your completed 
application (an original and four copies are required) to the Director 
of the appropriate Multifamily Hub Office or Multifamily Program Center 
as listed in Appendix A to this program section of the SuperNOFA with 
the following exceptions:
    1. Applications for projects proposed to be located within the 
jurisdiction of the Seattle, Washington and the Anchorage, Alaska 
Offices must be submitted to the Portland, Oregon Office.
    2. Applications for projects proposed to be located within the 
jurisdiction of the Sacramento, California Office must be submitted to 
the San Francisco, California Office.
    3. Applications for projects proposed to be located within the 
jurisdiction of the Cincinnati, Ohio Office must be submitted to the 
Columbus, Ohio Office.
    4. Applications for projects proposed to be located within the 
jurisdiction of the Washington, DC Office must be submitted to the 
Baltimore, Maryland Office.
    The application kit also includes a listing of the Multifamily Hubs 
and Program Centers, their addresses and telephone numbers, including 
TTY numbers. This information is also available from HUD's SuperNOFA 
Information Center at 1-800-HUD-8929 and from the Internet through the 
HUD web site at http://www.hud.gov/grants. Persons with hearing or 
speech impairments may call the Center's TTY number at 1-800-HUD-2209.
    For Application Kits. For an application kit and any supplemental 
information, please call HUD's 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. When requesting an application 
kit, please refer to the Section 811 Program and provide your name, 
address (including zip code), and telephone number (including area 
code). The application kit also will be available on the Internet 
through the HUD Web site at http://www.hud.gov/grants and from the 
appropriate Multifamily Hub Office or Multifamily Program Center.
    For Further Information and Technical Assistance. You may contact 
the appropriate Multifamily Hub Office or Multifamily Program Center, 
Gail Williamson at HUD Headquarters at (202) 708-2866, or access the 
Internet at http://www.hud.gov/grants. Persons with hearing and speech 
impairments may access the above number via TTY (text telephone) by 
calling the Federal Relay Service at 1-800-877-8339 (this is a toll-
free number).
    HUD encourages minority organizations and grassroots organizations 
(e.g., civic organizations, congregations and faith-based and other 
community-based organizations) to participate in this program and 
strongly recommends prospective applicants attend the local HUD Office 
workshop. At the workshops, HUD will explain application procedures and 
requirements, as well as address concerns such as local market 
conditions, building codes and accessibility requirements, historic 
preservation, floodplain management, displacement and relocation, 
zoning, and housing costs. If you are interested in attending the 
workshop, make sure that your name, address and telephone number are on 
the appropriate HUD Office's mailing list so that you will be informed 
of the date, time and place of the workshop. Persons with disabilities 
should call the appropriate HUD Office to assure that any necessary 
arrangements can be made to enable their attendance and participation 
in the workshop.
    If you cannot attend the workshop, call the appropriate HUD Office 
if you have any questions regarding the submission of applications to 
that particular office and to request any materials distributed at the 
workshop.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD Web site at http://www.hud.gov/grants.

II. Amount Allocated

    For FY 2002, $117,475,266 for capital advances is available for the 
Section 811 Program of Supportive Housing for Persons with 
Disabilities. The FY 2002 HUD Appropriations Act (Pub.L. 
107-73, approved November 26, 2001) (HUD Appropriations Act) provides 
$240,865,000 for capital advances, including amendments to capital 
advance contracts; for supportive housing for persons with 
disabilities, as authorized by section 811 of the National Affordable 
Housing Act of 1990 (NAHA); and for project rental assistance for 
supportive housing for persons with disabilities under section 811 of 
the NAHA, including amendments to contracts for such assistance and 
renewal of expiring contracts for such assistance for up to a 1-year 
term and for tenant-based rental assistance contracts entered into 
pursuant to section 811 of the NAHA. Of this amount, $600,000 shall be 
transferred to the Working Capital Fund for the development and 
maintenance of information technology systems.
    Twenty-five percent (25%) of $215,823,000 or $53.9 million (the 
amount remaining after the deductions for project rental assistance 
contract (PRAC) renewals, renewals of expiring contracts for tenant-
based assistance and the amount to be transferred to the Working 
Capital Fund) is being set aside for tenant-based rental assistance for

[[Page 14424]]

persons with disabilities administered through public housing agencies 
(PHAs) and nonprofit organizations under the Mainstream Housing 
Opportunities for Persons with Disabilities Program which is found 
elsewhere in this SuperNOFA.
    In accordance with the waiver authority provided in the HUD 
Appropriations Act, the Secretary is waiving the following statutory 
and regulatory provision: The term of the project rental assistance 
contract is reduced from 20 years to 5 years. HUD anticipates that at 
the end of the contract terms, renewals will be approved subject to the 
availability of funds. In addition to this provision, HUD will reserve 
project rental assistance contract funds based on 75 percent rather 
than on 100 percent of the current operating cost standards for 
approved units in order to take into account the average tenant 
contribution toward rent.
    The allocation formula used for Section 811 reflects the ``relevant 
characteristics of prospective program participants,'' as specified in 
24 CFR 791.402(a). The FY 2002 formula consists of two data elements 
from the 1990 Decennial Census: (1) the number of non-institutionalized 
persons age 16 or older with a work disability and a mobility or self-
care limitation and (2) the number of non-institutionalized persons age 
16 or older having a mobility or self-care limitation but having no 
work disability.
    A work disability is defined as a health condition that had lasted 
for 6 or more months which limited the kind (restricted the choice of 
jobs) or amount (not able to work full time) of work a person could do 
at a job or business. A mobility limitation is defined as a health 
condition that lasted for 6 or more months, making it difficult for the 
person to go outside the home alone. This includes outside activities, 
such as shopping or visiting a doctor's office. A self-care limitation 
is defined as a health care limitation that had lasted for 6 or more 
months which made it difficult for the person to take care of his/her 
own personal needs such as dressing, bathing, or getting around inside 
the home. Temporary (short term) problems such as broken bones that are 
expected to heal normally are not considered problems.
    Under the Section 811 Program, each HUD Office jurisdiction 
receives sufficient capital advance funds for a minimum of 10 units. 
The total amount of capital advance funds to support this minimum set-
aside is then subtracted from the total capital advance available. The 
remainder is fair shared to each HUD Office jurisdiction whose fair 
share would exceed the set-aside based on the allocation formula fair 
share factors described below.
    The fair share factors were developed by taking the sum of the 
number of persons in each of the two elements for each state, or state 
portion, of each local HUD Office jurisdiction as a percent of the sum 
of the two data elements from the Decennial Census, described above, 
for the total United States. The resulting percentage for each local 
HUD Office is then adjusted to reflect the relative cost of providing 
housing among the local HUD Office jurisdictions. The adjusted needs 
percentage for each local HUD Office is then multiplied by the total 
amount of capital advance funds available nationwide.
    The Section 811 capital advance funds have been allocated, based on 
the formula above, to 51 local HUD Offices as shown on the following 
chart:
BILLING CODE 4210-32-P

[[Page 14425]]

[GRAPHIC] [TIFF OMITTED] TN26MR02.337


[[Page 14426]]


[GRAPHIC] [TIFF OMITTED] TN26MR02.338


[[Page 14427]]


[GRAPHIC] [TIFF OMITTED] TN26MR02.339


[[Page 14428]]



III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. HUD provides capital advances and 
contracts for project rental assistance in accordance with 24 CFR part 
891. Capital advances may be used to construct, rehabilitate, or 
acquire structures (including structures from the Federal Deposit 
Insurance Corporation (FDIC)), to be developed into a variety of 
housing options described in Section III(C) below. Capital advance 
funds may also be used in combination with other non-Section 811 
funding sources to develop additional units for a mixed-finance or 
mixed-use project. (See Note below.) Capital advance funds bear no 
interest and are based on development cost limits published in this 
SuperNOFA. Repayment of the capital advance is not required as long as 
the housing remains available for at least 40 years for occupancy by 
very low-income persons with disabilities. PRAC funds are used to cover 
the difference between the tenants' contributions toward rent (30 
percent of adjusted income) and the HUD-approved cost to operate the 
project.

    Note: For purposes of approving Section 811 capital advances, 
HUD will consider proposals involving mixed-financing or a mixed-use 
purpose for additional units if the Sponsor has legal control of an 
approvable site and the additional units do not cause the project to 
exceed the project size limits if they will also house persons with 
disabilities. However, you must obtain funds to assist the 
additional units with other than PRAC funds. HUD will not provide 
PRAC funds for non-Section 811 units.

    (B) Eligible Applicants. Nonprofit organizations with a section 
501(c)(3) tax exemption from the Internal Revenue Service are the only 
eligible applicants for this program. A Sponsor or Co-sponsor may not 
apply for more than 70 units of housing or 4 projects (whichever is 
less) for persons with disabilities in a single Hub. In addition, a 
Sponsor or Co-sponsor may not apply for more units in a given HUD 
Office than allocated for the Section 811 program in that HUD Office, 
or for more than 10 percent of the total units allocated in all HUD 
offices. If the proposed project will be an independent living project, 
your application must request at least five units, not necessarily in 
one structure. If your proposed project will be a group home, your 
Sponsor must request at least two units per group home. If your 
proposed project will be a combination of an independent living project 
and a group home, your application must request at least the minimum 
number of units for each project type. Affiliated entities that submit 
separate applications are considered a single entity for the purpose of 
these limits.
    (C) Eligible Activities. The types of housing that can be developed 
with Section 811 capital advance funds include independent living 
projects, dwelling units in multifamily housing developments, 
condominium and cooperative housing and small group homes.

    (Note:
    You may propose to rehabilitate an existing currently-owned or 
leased structure that may or may not already serve persons with 
disabilities.)

    (D) Ineligible Activities. Section 811 funds may not be used for 
any of the following:
    (1) Nursing homes, infirmaries and medical facilities;
    (2) Transitional housing facilities;
    (3) Manufactured housing facilities;
    (4) Intermediate care facilities;
    (5) Community centers, with or without special components for use 
by persons with disabilities;
    (6) Sheltered workshops and centers for persons with disabilities;
    (7) Headquarters for organizations for persons with disabilities; 
and
    (8) Refinancing of Sponsor-owned facilities without rehabilitation.

IV. Program Requirements

    By signing Form HUD-92016, Application for a Section 811 Capital 
Advance, you are certifying that you will comply with the program 
requirements listed in the General Section of this SuperNOFA as well as 
the following requirements:
    (A) Statutory and Regulatory Requirements. You must comply with all 
statutory and regulatory requirements listed in Sections III, IV and IX 
of this program section of the SuperNOFA.
    (B) HUD/RHS Agreement. HUD and the Rural Housing Service (RHS) have 
an agreement to coordinate the administration of the agencies' 
respective rental assistance programs. As a result, HUD is required to 
notify RHS of applications for housing assistance it receives. This 
notification gives RHS the opportunity to comment if it has concerns 
about the demand for additional assisted housing and possible harm to 
existing projects in the same housing market area. HUD will consider 
RHS comments in its review and application selection process.
    (C) Development Cost Limits. (1) The following development cost 
limits, adjusted by locality as described in Section IV(C)(2) below, 
must be used to determine the capital advance amount reserved for 
projects for persons with disabilities:
    (a) For independent living projects and dwelling units in 
multifamily housing developments, condominium and cooperative housing: 
The total development cost of the project attributable to dwelling use 
(less the incremental development cost and the capitalized operating 
costs associated with any excess amenities and design features you will 
pay for) may not exceed:

Non-elevator structures:
$41,238 per family unit without a bedroom;
$47,548 per family unit with one bedroom;
$57,344 per family unit with two bedrooms;
$73,400 per family unit with three bedrooms;
$81,770 per family unit with four bedrooms.
For elevator structures:
$43,398 per family unit without a bedroom;
$49,748 per family unit with one bedroom;
$60,493 per family unit with two bedrooms;
$78,257 per family unit with three bedrooms;
$85,902 per family unit with four bedrooms.

    (b) For group homes only:

                           Type of Disability
------------------------------------------------------------------------
                                                                Chronic
                  # Residents                     Physical/      mental
                                                developmental   illness
------------------------------------------------------------------------
2.............................................     $166,022     $160,262
3.............................................      178,533      172,340
4.............................................      191,045      183,069
5.............................................      203,556      193,798
6.............................................      216,054      204,527
------------------------------------------------------------------------

    (c) These cost limits reflect those costs reasonable and necessary 
to develop a project of modest design that complies with HUD minimum 
property standards; the minimum group home requirements of 24 CFR 
891.310(a) (if applicable); the accessibility requirements of 24 CFR 
891.120(b) and 891.310(b); and the project design and cost standards of 
24 CFR 891.120.
    (2) Increased development cost limits.
    (a) HUD may increase the development cost limits set forth in 
Section IV(C)(1) of this program section of the SuperNOFA by up to 140 
percent in any geographic area where the cost levels require, and may 
increase the development cost limits by up to 160 percent on a project-
by-project basis. This increase may include covering additional costs 
to make dwelling units accessible through rehabilitation.

[[Page 14429]]

    (b) If HUD finds that high construction costs in Alaska, Guam, the 
Virgin Islands or Hawaii make it infeasible to construct dwellings, 
without the sacrifice of sound standards of construction, design, and 
livability, within the development cost limits provided in Section 
IV(C)(1) of this program section of the SuperNOFA, the amount of 
capital advances may be increased to compensate for such costs. The 
increase may not exceed the limits established under this section 
(including any high cost area adjustment) by more than 50 percent.
    (c) For group homes only, HUD Offices may approve increases in the 
development cost limits in Section IV(C)(1)(b), above, in areas where 
you can provide sufficient documentation that high land costs limit or 
prohibit project feasibility. An example of acceptable documentation is 
evidence of at least three land sales which have actually taken place 
(listed prices for land are not acceptable) within the last two years 
in the area where your project is to be built. The average cost of the 
documented sales must exceed ten percent of the development cost limit 
for your project in order for an increase to be considered.
    (D) Minimum Capital Investment. Selected nonprofit organizations 
must provide a minimum capital investment of one-half of one percent of 
the HUD-approved capital advance amount not to exceed a maximum of 
$10,000 in accordance with 24 CFR 891.145.
    (E) Accessibility. If you intend to construct, substantially 
rehabilitate, or acquire, with or without rehabilitation, structures to 
be used as housing for persons with disabilities, you should note 24 
CFR 891.310, which requires that your project meet accessibility 
requirements. In addition, you should note that 24 CFR 8.4(b)(5) 
prohibits the selection of a site or location which has the purpose or 
effect of excluding persons with disabilities from the Federally 
assisted program or activity. Thus, if you choose an existing 
structure, make sure that it can be made accessible, in accordance with 
24 CFR 891.120, 891.310 and section 504 of the Rehabilitation Act of 
1973, without resulting in an infeasible project. HUD also encourages 
you to add accessible design features beyond those required under civil 
rights laws and regulations. See Section VI(C) of the General Section 
of this SuperNOFA, entitled ``Encouraging Accessible Design Features.''
    (F) Conducting Business in Accordance With Core Values and Ethical 
Standards. Section 811 Sponsors are not subject to the requirements of 
24 CFR parts 84 and 85 as outlined in the General Section of this 
SuperNOFA. However, Sponsors are still subject to the core values and 
ethical standards as they relate to the conflict of interest provisions 
in 24 CFR 891.130. To ensure compliance with the program's conflict of 
interest provisions, you are required to submit a signed Conflict of 
Interest Resolution and include it in your application. Further, if 
awarded a Section 811 fund reservation, the officers, directors, board 
members, trustees, stockholders and authorized agents of the Section 
811 Sponsor and Owner entities will be required to submit to HUD 
individual certifications regarding compliance with HUD's conflict of 
interest requirements.
    (G) Ensuring the Participation of Small Businesses, Small 
Disadvantaged Businesses, and Women-Owned Businesses. Although the 
Section 811 program is not subject to the provisions of 24 CFR 85.36(e) 
as described in the corresponding paragraph in the General Section of 
the SuperNOFA, you are required to comply with Executive Order 12432--
Minority Business Enterprise Development and Executive Order 11625, 
Prescribing Additional Arrangements for Developing and Coordinating a 
National Program for Minority Business Enterprise as they relate to the 
encouragement of HUD grantees to utilize minority business enterprises.
    (H) Fair Housing Requirements. You must comply with the 
requirements of the Fair Housing Act, Title VI of the Civil Rights Act, 
the Age Discrimination Act of 1975, the affirmative fair housing 
marketing requirements of 24 CFR part 200, subpart M, and the 
implementing regulations at 24 CFR part 108, and other applicable 
Federal, State and local laws prohibiting discrimination and promoting 
equal opportunity. You are required to affirmatively further fair 
housing in conducting your programs or activities in accord with 
Section II(D) of the General Section of the SuperNOFA entitled, 
``Affirmatively Furthering Fair Housing.''
    (I) Economic Opportunities for Low and Very Low Income Persons. You 
must 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 its implementing regulations at 24 CFR part 135. To 
comply, you must ensure that training, employment and other economic 
opportunities are directed, to the greatest extent feasible, toward low 
and very low income persons, particularly those who are recipients of 
government assistance for housing; and to business concerns which 
provide economic opportunities to low and very low income persons. To 
comply with section 3 requirements, you are required to strongly 
encourage the general contractor and subcontractors to participate in 
local apprenticeship programs or training programs registered with or 
certified by the Department of Labor's Office of Apprenticeship, 
Training, Employer and Labor Services or recognized State 
Apprenticeship Agency.
    (J) Design and Cost Standards. You must comply with HUD's Section 
811 project design and cost standards (24 CFR 891.120 and 891.310), the 
Uniform Federal Accessibility Standards (24 CFR 40.7), section 504 of 
the Rehabilitation Act of 1973 and HUD's implementing regulations at 24 
CFR part 8, and for covered multifamily dwellings designed and 
constructed for first occupancy after March 13, 1991, the design and 
construction requirements of the Fair Housing Act and HUD's 
implementing regulations at 24 CFR part 100, and the Americans with 
Disabilities Act of 1990.
    (K) Acquisition and Relocation. You must comply with the Uniform 
Relocation Assistance and Real Property Acquisition Policies Act of 
1970, as amended (49 CFR part 24 and 24 CFR part 891.155(e)) (URA), 
which covers the acquisition of sites, with or without existing 
structures. However, you are exempt from complying with the site 
acquisition requirements of the URA if you do not have the power of 
eminent domain and prior to entering into a contract of sale, option to 
purchase or any other method of obtaining site control, you inform the 
seller of the land: (1) That you do not have the power of eminent 
domain and, therefore, you will not acquire the property if 
negotiations fail to result in an amicable agreement, and (2) of the 
estimate of the fair market value of the property. An appraisal is not 
required to meet this requirement, however, your files must include an 
explanation, with reasonable evidence of the basis for the estimate.
    (L) Formation of Owner Corporation. You must form an ``Owner'' in 
accordance with 24 CFR 891.305 after issuance of the capital advance; 
cause the Owner to file a request for determination of eligibility and 
a request for capital advance, and provide sufficient resources to the 
Owner to insure the development and long-term operation of the project, 
including capitalizing the Owner at firm commitment processing in an 
amount sufficient to meet its obligations in connection with the 
project.

[[Page 14430]]

    (M) Supportive Services. You are required to include a Supportive 
Services Plan and a certification from the appropriate State or local 
agency that the provision of services identified in your Supportive 
Services Plan is well designed to address the individual health, mental 
health and other needs of persons with disabilities who will live in 
your proposed project. Section VI(B)(4)(e) of this program section of 
the SuperNOFA, below, outlines the information that must be in the 
Supportive Services Plan. You must submit one copy of your Supportive 
Services Plan to the appropriate State or local agency well in advance 
of the application submission deadline date for the State or local 
agency to review your Supportive Services Plan and complete the 
Supportive Services Certification and return it to you so that you can 
include it in the application you submit to HUD.
    (1) HUD will reject your application if the supportive services 
certification:
    (i) Is not submitted with your application and is not submitted to 
HUD within the 14-day cure period; or
    (ii) Indicates that the provision of supportive services is not 
well designed to address the individual health, mental health and other 
needs of persons with disabilities who will live in your project; or
    (iii) Indicates that the provision of supportive services will not 
enhance independent living success or promote the dignity of the 
persons with disabilities who will live in your proposed project.
    (2) In addition, if the agency completing the certification will be 
a major funding or referral source for your proposed project or be 
responsible for licensing the project, HUD will reject your application 
if either the agency's supportive services certification indicates--or, 
where the agency fails to complete item 3 or 4 of the certification, 
HUD determines that:
    (i) You failed to demonstrate that supportive services will be 
available on a consistent long-term basis; and/or
    (ii) The proposed housing is not consistent with State or local 
agency plans/policies addressing the housing needs of people with 
disabilities.
    Any prospective resident of a Section 811 project who believes he/
she needs supportive services must be given the choice to be 
responsible for acquiring his/her own services or to take part in your 
Supportive Services Plan which must be designed to meet the individual 
needs of each resident.
    You must not require residents to accept any supportive services as 
a condition of occupancy or admission.
    (N) Davis-Bacon. You must comply with the Davis-Bacon Requirements 
and the Contract Work Hours and Safety Standards Act.
    (O) Flood Disaster Protection Act of 1973. You must comply with the 
requirements under the Flood Disaster Protection Act of 1973 (42 U.S.C. 
4001-4128) and the Coastal Barrier Resources Act (16 U.S.C. 3601).
    (P) National Environmental Policy Act. You must comply with the 
National Environmental Policy Act of 1969 (NEPA)(42 U.S.C. 4321) and 
applicable related environmental authorities at 24 CFR Part 50.4 and 
HUD's implementing regulations at 24 CFR part 50 and 24 CFR 891.155(b).
    (Q) Sites. (1) NAHA requires you to provide in your application 
either:
    (a) Evidence of site control, or
    (b) A reasonable assurance that you will have control of a site 
within six months of notification of fund reservation.
    (2) Accordingly, if you have control of a site at the time you 
submit your application, you must include evidence of such as described 
in Section VI(B)(4)(d)(i) of this program section of the SuperNOFA 
relative to site control. If you do not have site control of one or 
more of your sites, you must provide the information required in 
Section VI(B)(4)(d)(ix) of this program section of the SuperNOFA under 
``site identified'' for any site not under control as a reasonable 
assurance that site control will be obtained within six months of fund 
reservation notification.
    (3) Under Criterion (a) of Rating Factor 3 in Section V(D), below, 
related to your proposed site, your application has the potential of 
earning 17 points. Criterion (a)(i) is related to site approvability 
and is worth a maximum of 7 points. Five points for Criterion (a)(ii) 
will be awarded if your project will represent an integrated housing 
model (e.g., condominium units scattered within one or more buildings 
or non-contiguous independent living units on scattered sites). 
Criterion (a)(iii) which is worth five points for site control will be 
awarded as outlined in Section IV(D)(5) below. Regardless of whether 
you submit evidence of site control or have identified a site without 
obtaining control of the site, the site will be evaluated based on its 
proximity or accessibility to shopping, medical facilities, 
transportation, places of worship, recreational facilities, places of 
employment and other necessary services to the intended tenants.
    (4) To meet the ``proximity'' or ``accessibility'' test, you must 
demonstrate that community services and amenities described above are 
either near or accessible to the residents. Sites where the community 
services and amenities described above are either near or accessible to 
the residents other than solely by a project residence or private 
vehicle will be rated more favorably than sites where residents must 
depend upon the project residence or private vehicle to access such 
community services and amenities. Your application will also be 
evaluated to determine whether it complies with the site and 
neighborhood standards in 24 CFR 891.125.
    (5) Criterion (a)(iii) relates to the existence of legally 
acceptable site control. If you:
    (a) Submit evidence of site control for all proposed sites in your 
application,
    (b) The evidence is determined to be legally acceptable for all of 
the sites, and
    (c) All of the sites are approvable (i.e., receive a score of 1 or 
higher for Criterion (a)(i), your application will receive 5 points for 
Criterion (a)(iii).
    (d) If any of your proposed sites are not permissively zoned, one 
(1) point will be deducted in Criterion 3(a)(iv).
    (6) If your application contains evidence of site control where 
either the evidence or the site is not approvable, your application 
will not be rejected provided you indicate in your application that you 
are willing to seek an alternate site and provide an assurance that 
site control will be obtained within six months of fund reservation 
notification.
    (R) Project Size Limits.
    (1) Independent living project--The minimum number of units that 
can be applied for in one application is five; not necessarily in one 
structure. The maximum number of persons with disabilities that can be 
housed in an independent living project is 14 plus one additional one 
or two bedroom unit for a resident manager, if necessary.
    (2) Group home--The minimum number of persons with disabilities 
that can reside in a group home is two, and the maximum number is six. 
An additional one or two bedroom unit can be provided for a resident 
manager. Only one person per bedroom is allowed, unless two residents 
choose to share one bedroom or a resident determines he/she needs 
another person to share his/her bedroom.
    (S) Lead-Based Paint. You must comply with the requirements of the 
Lead-Based Paint Poisoning Prevention Act (42 U.S.C. 4821-4846) and 
implementing regulations at 24 CFR part 35.
    (T) Truth and Accuracy. By signing your application, you are 
certifying that the information you are providing to HUD in your 
application under the

[[Page 14431]]

Section 811 Program of Supportive Housing for Persons with Disabilities 
is true and accurate, to the best of your knowledge.
    (U) Expiration of Section 811 Funds. The FY 2002 HUD Appropriations 
Act requires HUD to obligate all Section 811 funds appropriated for FY 
2002 by September 30, 2004. Under 31 USC 1551, no funds can be 
disbursed from this account after September 30, 2009. Under Section 
811, obligation of funds occurs for both capital advances and project 
rental assistance upon fund reservation and acceptance. If all funds 
are not disbursed by HUD and expended by the project owner by September 
30, 2009, the funds, even though obligated, will expire and no further 
disbursements can be made from this account. In submitting an 
application, you need to carefully consider whether your proposed 
project can be completed through final capital advance closing no later 
than September 30, 2009. Furthermore, absent Congressional relief, all 
unexpended balances, including any remaining balance on PRAC contracts, 
will be cancelled as of October 1, 2009. Amounts needed to maintain 
PRAC payments for any remaining term on the affected contracts beyond 
that date will have to be funded from other current appropriations.

V. Application Selection Process

    (A) Review for Curable Deficiencies. You should ensure that your 
application is complete before submitting it to the appropriate HUD 
office. HUD will screen all applications received by the deadline to 
determine if there are any curable deficiencies. A curable deficiency 
is a missing Exhibit or portion of an Exhibit that will not affect the 
rating of your application. The following is a list of the only 
deficiencies that will be considered curable in a Section 811 
application:

Exhibits

(1) Form 92016-CA (Application Form)*
(2) (a) Articles of Incorporation*
    (b) By-laws*
    (c) IRS tax exemption ruling*
(4) (c)(ii) Energy efficiency
    (d)(vii) Letter from the State Historic Preservation Officer (SHPO)
    (d)(viii) Seek alternate site
    (e) Supportive Services Plan
(6) Relocation
(7) (a) Standard Form 424, Application for Federal Assistance (and 
compliance with Executive Order 12372)*
    (b) Form-HUD 50070, Certification of a Drug-Free Workplace
    (c) Form-HUD 50071, Certification of Payments to Influence Federal 
Transactions and Standard Form-LLL, Disclosure of Lobbying Activities
    (d) Form-HUD 2880, Applicant/Recipient Disclosure/Update Report
    (e) Form-HUD 2992, Certification Regarding Debarment and Suspension
    (f) Form-HUD 2991, Certification of Consistency with Consolidated 
Plan
    (g) Conflict of Interest Resolution
    (h) Resolution for Commitment to Project*
    (j) Supportive Services Certification

    The HUD Office will notify you in writing if your application is 
missing any of the above exhibits or portions of exhibits and will give 
you 14 days from the date of the notification to submit the information 
required to cure the noted deficiencies. The items identified by an 
asterisk (*) must be dated on or before the application deadline date.
    (B) Rating. HUD will review and rate your application in accordance 
with the Application Selection Process in the General Section of this 
SuperNOFA with the following exception. HUD will not reject your 
application based on technical review without notifying you of the 
rejection with all the reasons for rejection and providing you an 
opportunity to appeal. You will have 14 calendar days from the date of 
HUD's written notice to appeal a technical rejection to the HUD Office.
    The HUD Office will make a determination on an appeal before making 
its selection recommendations. Your application(s) will be either rated 
or technically rejected at the end of technical review. If your 
application meets all program eligibility requirements after completion 
of technical review, your application will be rated according to the 
Rating Factors in Section V(D) below.
    If an Exhibit or portion of an Exhibit listed above as curable is 
not discovered as missing until technical processing, HUD will provide 
you with 14 calendar days in which to cure the deficiency.
    (C) Ranking and Selection Procedures. Applications that have a 
total base score of 70 points or more (without the addition of EC/EZ 
bonus points) and meet all of the applicable threshold requirements of 
Section II(B) of the General Section of the SuperNOFA will be eligible 
for selection and will be placed in rank order. HUD will select 
applications, after adding any bonus points for EC/EZ, based on rank 
order, up to and including the last application that can be funded out 
of each HUD Office's allocation. HUD Offices must not skip over any 
applications in order to select one based on the funds remaining. After 
making the initial selections, however, HUD may use any residual funds 
to select the next rank-ordered application by reducing the number of 
units by no more than 10 percent rounded to the nearest whole number, 
provided the reduction will not render the project infeasible. For this 
purpose, however, HUD will not reduce the number of units in projects 
of five units or less.
    After this process is completed, residual funds from all HUD 
Offices within each Multifamily Hub will be combined. First, these 
funds will be used to restore units to projects reduced by HUD Offices 
based on the above instructions. Second, additional applications within 
each Multifamily Hub will be selected in rank order with only one 
application selected per HUD Office. More than one application may be 
selected per HUD Office if there are no approvable applications in 
other HUD Offices within the Multifamily Hub. This process will 
continue until there are no more approvable applications within the 
Multifamily Hub that can be selected with the remaining funds. 
Applications may not be skipped over to select one based on funds 
remaining. However, HUD may use any remaining residual funds, to select 
the next rank-ordered application by reducing the number of units by no 
more than 10 percent rounded to the nearest whole number, provided the 
reduction will not render the project infeasible or result in the 
project being less than 5 units.
    Funds remaining after these processes are completed will be 
returned to Headquarters. HUD Headquarters will use these funds first 
to restore units to projects reduced by HUD Offices as a result of the 
instructions for using their residual funds. HUD Headquarters will then 
use these funds for selecting applications based on field offices' 
rankings, beginning with the highest rated application nationwide. Only 
one application will be selected per HUD Office from the national 
residual amount. If there are no approvable applications in other HUD 
Offices, the process will begin again with the selection of the next 
highest rated application nationwide. This process will continue until 
all approvable applications are selected using the available remaining 
funds.
    (D) Factors For Award Used To Evaluate and Rate Applications. HUD 
will rate applications that successfully complete technical processing 
using the Rating Factors set forth below and in accordance with the 
application submission requirements in Section

[[Page 14432]]

VI(B) below. The maximum number of points an application may receive 
under this program is 102. This includes two (2) EZ/EC bonus points, as 
described in the General Section of this SuperNOFA.

Rating Factor 1: Capacity of the Applicant and Relevant 
Organizational Staff (25 Points)

    This factor addresses the extent to which you have the 
organizational resources to successfully implement the proposed 
activities in a timely manner. Submit information responding to this 
factor in accordance with Application Submission Requirements in 
paragraphs (B)(2), (B)(3)(a), (B)(3)(b), (B)(3)(e), and (B)(5) of 
Section VI of this program section of the SuperNOFA.
    In rating this factor, HUD will consider the extent to which your 
application demonstrates your ability to develop and operate the 
proposed housing on a long-term basis, considering the following:
    (a)(i) (11 points) The scope, extent, and quality of your 
experience in providing housing or related services to those proposed 
to be served by the project and the scope of the proposed project 
(i.e., number of units, services, relocation costs, development, and 
operation) in relationship to your demonstrated development and 
management capacity as well as your financial management capability;
    (a)(ii) (1 point) Your organization is a ``grassroots'' 
organization as defined in the General Section of this SuperNOFA.
    (b) (8 points) The scope, extent, and quality of your experience in 
providing housing or related services to minority persons or families 
as well as your ties to the community at large and to the minority and 
disability communities in particular. For purposes of this program 
section of the SuperNOFA, ``minority'' means the basic racial and 
ethnic categories for Federal statistics and administrative reporting, 
as defined in the Appendix section of the Office of Management and 
Budget's (OMB) Federal Register Notice entitled ``Revisions to the 
Standards for the Classification of Federal Data on Race and 
Ethnicity'' and dated October 30, 1997 (62 FR 58782-90). This notice 
contains the definitions of the various racial and ethnic data 
categories that were used in the 1990 Census. It can be found on the 
OMB Web site at: www.whitehouse.gov/omb/fedreg/ombdir15.html.
    (c) (5 points) You have experience in developing integrated housing 
(e.g., condominium units scattered within one or more buildings or non-
contiguous independent living units on scattered sites).
    (d) (-2 points) A fund reservation you received under either the 
Section 811 program of Supportive Housing for Persons with Disabilities 
or the Section 202 program of Supportive Housing for the Elderly has 
been extended beyond 36 months (except if the delay was beyond your 
control). Examples of such delays include, but are not limited to, 
initial closing delays that are: (1) directly attributable to HUD, (2) 
directly attributable to third party opposition, including litigation, 
and (3) due to a disaster, as declared by the President of the United 
States.
    (e) (-1 point) Amendment money was required as a result of the 
delay in (d) above (except if the delay was beyond your control).

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 activities to address a documented problem in the 
target area. Submit information responding to this factor in accordance 
with Application Submission Requirements in paragraphs (B)(4)(a) and 
(B)(4)(b) of Section VI of this program section of the SuperNOFA. In 
evaluating this factor, HUD will consider:
    The extent of the need for the project in the area based on a 
determination by the HUD Office. In making this determination, HUD will 
consider your evidence of need in the area, as well as other economic, 
demographic, and housing market data available to the HUD Office. The 
data could include the availability of existing comparable subsidized 
housing for persons with disabilities and current occupancy in such 
housing, comparable subsidized housing for persons with disabilities 
under construction or for which fund reservations have been issued, 
and, in accordance with an agreement between HUD and RHS, comments from 
RHS on the demand for additional comparable subsidized housing and the 
possible harm to existing projects in the same housing market area. The 
Department also will review more favorably those applications which 
establish a connection between the proposed project and the community's 
Analysis of Impediments to Fair Housing Choice (AI) or other planning 
document that analyzes fair housing issues and is prepared by a local 
planning or similar organization. You must show how the proposed 
project will address an impediment to fair housing choice described in 
the AI or meet a need identified in the other type of planning 
document.

Rating Factor 3: Soundness of Approach (38 Points)

    This factor addresses the quality and effectiveness of your 
proposal. There must be a clear relationship between the proposed 
activities, the community's needs and purposes of the program funding 
for your application to receive points for this factor. Submit 
information responding to this factor in accordance with Application 
Submission Requirements in paragraphs (B)(2)(d), (B)(4)(c), (B)(4)(d), 
and (B)(4)(e) of Section VI of this program section of the SuperNOFA. 
In evaluating this factor, HUD will consider the following:
    (a)(i) (7 points) Site approvability--The proximity or 
accessibility (other than by sole means of a project residence or 
private vehicle) of the site to shopping, medical facilities, 
transportation, places of worship, recreational facilities, places of 
employment, and other necessary services to the intended tenants; 
adequacy of utilities and streets, and freedom of the site from adverse 
environmental conditions (based on site visit for site control projects 
only); and compliance with site and neighborhood standards in 24 CFR 
891.125(a), (d), and (e);
    (a)(ii) (5 points) Integrated model--If your project will be an 
integrated model as described in Section IV(Q) above, your application 
will receive 5 points for this Criterion.
    (a)(iii) (5 points) Site control--If your application contains 
legally acceptable site control for all proposed sites and all of the 
proposed sites are approvable (i.e., receive a score of 1 or higher on 
Criterion (a)(i)), your application will receive 5 points for site 
control.
    (a)(iv) (-1 point) One or more of your proposed sites is not 
permissively zoned for the intended use.
    (b) (8 points) The suitability of the site from the standpoints of 
promoting a greater choice of housing opportunities for minorities and 
persons with disabilities and affirmatively furthering fair housing. In 
reviewing this criterion, HUD will assess whether the site meets the 
site and neighborhood standards at 24 CFR 891.125(b) and (c) by 
examining relevant data in your application or in the HUD Office. If 
appropriate, HUD may visit the site.
    (i) The site will be deemed acceptable if it increases housing 
choice and opportunity by:

--Expanding housing opportunities in non-minority neighborhoods if 
located in such a neighborhood. (``Nonminority area'' is defined as one

[[Page 14433]]

in which the minority population is lower than 10 percent.); or
--Contributing to the revitalization of and reinvestment in minority 
neighborhoods, including improvement of the level, quality and 
affordability of services furnished to minority persons with 
disabilities. You should refer to the Site and Neighborhood Standards 
provisions of the regulations governing the Section 811 Supportive 
Housing Program (24 CFR 891.125(b) and (c)) when considering sites for 
your projects.

    (ii) For the purpose of this competition, the term ``minority 
neighborhood (area of minority concentration)'' is defined as one where 
any one of the following statistical conditions exists:

--The percentage of persons of a particular racial or ethnic minority 
is at least 20 points higher than the minority's or combination of 
minorities' percentage in the housing market as a whole; or,
--The neighborhood's total percentage of minority persons is at least 
20 points higher than the total percentage of minorities for the 
housing market area as a whole; or
--In the case of a metropolitan area, the neighborhood's total 
percentage of minority persons exceeds 50 percent of its population.

    (c) (4 points) The extent to which the proposed design of the 
project, including both the exterior and interior design, will meet the 
individual needs of persons with disabilities the housing is expected 
to serve;
    (d) (4 points) The extent to which the proposed design of the 
project and its placement in the neighborhood will facilitate the 
integration of the residents into the surrounding community and promote 
the ability of the residents to live as independently as possible; and
    (e) (5 points) At least 51% of your board members are persons with 
disabilities.
    (f) (-1 point) Your application did not include a plan for 
completing your project within the initial fund reservation period of 
18 months.

Rating Factor 4: Leveraging Resources (10 Points)

    This factor addresses your ability to secure other community 
resources which can be combined with HUD's program resources to achieve 
program purposes. Submit information responding to this factor in 
accordance with Application Submission Requirements in paragraphs 
(B)(3)(c) and (B)(3)(d) of Section VI of this program section of the 
SuperNOFA.
    (a) (5 points) The extent of local government support (including 
financial assistance, donation of land, provision of services, etc.) 
for the project; and
    (b) (5 points) The extent of your activities in the community, 
including previous experience in serving the area where the project is 
to be located, developing integrated housing models and your 
demonstrated ability to enlist volunteers and raise local funds.

Rating Factor 5: Coordination, Self-Sufficiency and Sustainability 
(12 Points)

    This factor addresses the extent to which you coordinated your 
activities with other known organizations that will not be directly 
involved in the proposed project, participate or promote participation 
in the community's planning process (e.g., the Consolidated Planning 
process including the Analysis of Impediments to Fair Housing Choice), 
and are working towards addressing a need in a holistic and 
comprehensive manner to ensure that the project will not operate in 
isolation. This factor also addresses the extent to which your project 
will implement practical solutions that will result in assisting 
residents in achieving independent living, economic empowerment, 
educational opportunities, and improved living environments. Finally, 
this factor addresses the extent to which the long-term viability of 
your project will be sustained for the duration of the 40-year capital 
advance period. Submit information responding to this factor in 
accordance with Application Submission Requirements in paragraphs 
(B)(3)(f), (B)(3)(g), (B)(3)(h), (B)(3)(i) and (B)(3)(j) of Section VI 
of this program section of the SuperNOFA.
    (a) (3 points) You involved persons with disabilities (including 
minority persons with disabilities) in the development of the 
application, and will involve persons with disabilities (including 
minority persons with disabilities) in the development and operation of 
the project;
    (b) (2 points) The extent to which you coordinated your application 
with other organizations (including local independent living centers; a 
list of such can be obtained from the local HUD Office) that will not 
be directly participating in your project, but with which you share 
common goals and objectives and are working toward meeting these 
objectives in a holistic and comprehensive manner;
    (c) (2 points) The extent to which you demonstrated that you have 
been actively involved, or if not currently active, the steps you will 
take to become actively involved in the community's planning process 
(e.g., the Consolidated Planning process including the Analysis of 
Impediments to Fair Housing Choice) to identify and address a need/
problem that is related in whole or part, directly or indirectly to the 
proposed project;
    (d) (2 points) The extent to which your project will implement 
practical solutions that will result in assisting residents in 
achieving independent living, economic empowerment, educational 
opportunities, and improved living environments; and
    (e) (2 points) The extent to which you demonstrated that your 
project will remain viable as housing with the availability of 
supportive services for very low income persons with disabilities for 
the 40-year capital advance period.
    (f) (1 point) Your project will provide activities that will 
improve computer access, literacy and employment opportunities (e.g., 
programs that can teach residents how to use computers to achieve 
educational goals and economic self-sufficiency through job training 
and placement).

Bonus Points

    (2 bonus points) Location of proposed site in an EZ/EC area, as 
described in the General Section of this SuperNOFA. Submit the 
information responding to the bonus points in accordance with the 
Application Submission Requirements in paragraph (B)(7)(i) of Section 
VI of this program section of the SuperNOFA.
    (E) Applicant Debriefing. In accordance with the General Section of 
this SuperNOFA, you may request a debriefing on your application. The 
request must be made in writing to the Director of Multifamily Housing 
in the HUD Field Office to which you sent your application no sooner 
than 30 days after the awards for assistance are announced in the 
Federal Register. Materials provided to you during your debriefing will 
be the score you received for each rating factor, final evaluator 
comments for each rating factor, and the final assessment indicating 
the basis upon which assistance was provided or denied.

VI. Application Submission Requirements

    (A) Application. Your application must include all of the 
information, materials, forms, and exhibits listed in Section VI(B) of 
this program section of the SuperNOFA (unless you were selected for a 
Section 811 fund reservation within the last three funding cycles). If 
you qualify for this exception, you are not required to submit the 
information described in Section VI(B)(2)(a), (b), and (c), below, of 
this

[[Page 14434]]

program section of the SuperNOFA (Exhibits 2.a., b., and c. of the 
application kit), which are the articles of incorporation (or other 
organizational documents), by-laws, and the IRS tax exemption, 
respectively. If there has been a change in any of these documents 
since your previous HUD approval, you must submit the updated 
information in your application. The HUD Office will verify your 
indication of previous HUD approval by checking the project number and 
approval status with the appropriate HUD Office based on information 
submitted in Section VI(B)(2) below.
    In addition to this relief of paperwork burden in preparing 
applications, you are able to use information and exhibits previously 
prepared for prior applications under Section 811, Section 202, or 
other funding programs. Examples of exhibits that may be readily 
adapted or amended to decrease the burden of application preparation 
include, among others, those on previous participation in the Section 
202 or Section 811 programs, your experience in the provision of 
housing and services, supportive services plans, community ties, and 
experience serving minorities.
    (B) General Application Requirements. Your application must contain 
the items listed in this Section VI(B). These items include the 
standard forms, certifications, and assurances listed in the General 
Section of the SuperNOFA that are applicable to this funding 
(collectively referred to as the ``standard forms''). The standard 
forms can be found in Appendix B to the General Section of the 
SuperNOFA. The remaining application items that are forms (i.e., 
excluding such items as narratives), referred to as the ``non-standard 
forms'' can be found as Appendix B to this program section of the 
SuperNOFA. The items are as follows:

    Note: You may apply for a scattered site project in one 
application.

    (1) Form HUD-92016-CA, Application for Section 811 Supportive 
Housing Capital Advance.
    (2) Evidence of your and each Co-Sponsor's legal status as a 
nonprofit organization, including the following:
    (2)(a) Articles of Incorporation, constitution, or other 
organizational documents;
    (2)(b) By-laws;
    (2)(c) IRS section 501(c)(3) tax exemption ruling (this must be 
submitted by you and all Co-Sponsors, including churches).

    Note: If you received a Section 811 Fund Reservation within the 
last three funding cycles, you are not required to submit the 
documents described in paragraph (2)(a), (2)(b), and (2)(c), above. 
Instead, you must submit the project number of the latest 
application selected and the HUD office to which it was submitted. 
If there have been any modifications or additions to the subject 
documents, indicate such, and submit the new material.

    (2)(d) The number of people on your board and the number of those 
people who have disabilities.
    (3) A description of your purpose, community ties, and experience, 
including the following:
    (3)(a) A description of your purpose, current activities and how 
long you have been in existence;
    (3)(b) A description of your ties to the community in which your 
project will be located and to the minority and disability communities 
in particular, including a description of the specific geographic 
area(s) in which you have served;
    (3)(c) A description of local government support for the project 
(including financial assistance, donation of land, provision of 
services, etc.);
    (3)(d) Letters of support for your organization and for the 
proposed project from organizations familiar with the housing and 
supportive services needs of the persons with disabilities that you 
expect to serve in the proposed project (e.g., the local center for 
independent living, the Statewide Independent Living Council);
    (3)(e) A description of your housing and/or supportive services 
experience. The description should include any rental housing projects 
(including integrated housing developments) and/or supportive services 
facilities that you have sponsored, owned, and/or operated; your past 
or current involvement in any programs other than housing that 
demonstrates your management capabilities (including financial 
management) and experience, and your experience in serving persons with 
disabilities and minorities; and the reasons for receiving any 
increases in fund reservations for developing and/or operating any 
previously funded Section 811 or Section 202 projects. The description 
should include data on the facilities and services provided, the 
racial/ethnic composition of the populations served, if available, and 
information and testimonials from residents or community leaders on the 
quality of the activities. Examples of activities that could be 
described include housing counseling, nutrition and food services, 
special housing referral, screening and information projects.
    (3)(f) A description of your efforts to involve persons with 
disabilities (including minority persons with disabilities) in the 
development of your application and in the development and operation of 
the project.
    (3)(g) A description of the steps you took to coordinate your 
application with other organizations (e.g., the local center for 
independent living), that will not be directly involved in your project 
but with which you share common goals and objectives, to complement 
and/or support your proposed project so that the project will provide a 
comprehensive and holistic solution to the needs of persons with 
disabilities. Also describe the steps you will take, if funded, to 
share information on solutions and outcomes relative to the development 
of your proposed project.
    (3)(h) A description of your involvement in the community's 
planning process (e.g., the Consolidated Planning process including the 
Analysis of Impediments to Fair Housing Choice), including:
    (3)(h)(i) An identification of the lead/facilitating agency that 
organizes/administers the process;
    (3)(h)(ii) An identification of the areas of the community's 
planning process in which you participate;
    (3)(h)(iii) Your level of participation in the process, including 
active involvement with any neighborhood-based organizations, 
associations or any committees that support programs and activities 
that enhance projects, or the lives of residents of projects, such as 
the one proposed in your application.
    If you are not currently active, describe the specific steps you 
will take to become active in the community's planning process. 
(Consult the local HUD Office for the identification of the 
Consolidated Plan community process for the appropriate area if that is 
the process you wish to become involved in.)
    (3)(i) A description of the practical solutions you will implement 
which will enable the residents of your project to achieve independent 
living and economic empowerment. In addition, describe the educational 
opportunities you will provide for the residents and how you will 
provide them. This description should include the activities you will 
undertake that will improve computer access, literacy and employment 
opportunities (e.g., provide programs that can teach residents how to 
use computers to become educated as well as achieve economic self-
sufficiency through job training and placement). And, finally, describe 
how your proposed project will be an improved living environment for 
the residents when compared to their previous place of residence.

[[Page 14435]]

    (3)(j) Describe how you will ensure that your proposed project will 
remain viable as housing with the availability of supportive services 
for very low income persons with disabilities for the 40-year capital 
advance period. This description should address the measures you would 
take should any of the following occur: (1) funding for any of the 
needed supportive services becomes depleted or, (2) if, for any state 
funded services for your project, the state changes its policy 
regarding the provision of supportive services to projects such as the 
one you propose, or (3) if the need for housing for the population you 
will be serving wanes over time, causing vacancies in your project.
    (4) Project information including the following:
    (4)(a) Evidence of need for supportive housing. Such evidence would 
include a description of the proposed population and evidence 
demonstrating sustained effective demand for supportive housing for the 
proposed population in the market area to be served, taking into 
consideration the occupancy and vacancy conditions in existing 
comparable subsidized housing for persons with disabilities, State or 
local needs assessments of persons with disabilities in the area, the 
types of supportive services arrangements currently available in the 
area, and the use of such services as evidenced by data from local 
social service agencies. Also, a description of how information in the 
community's Analysis of Impediments to Fair Housing Choice was used in 
documenting the need for the project.
    (4)(b) A description of how the proposed project will benefit the 
target population and the community in which it will be located;
    (4)(c) A description of the project, including the following:
    (4)(c)(i) A narrative description of the building(s) including the 
number and type of structure(s), number of units with bedroom 
distribution if independent living units (including dwelling units in 
multifamily housing developments, condominiums and cooperatives), 
number of bedrooms if group home, number of residents with 
disabilities, and any resident manager per structure; an identification 
of all community spaces, amenities, or features planned for the housing 
and a description of how the spaces, amenities, or features will be 
used, and the extent to which they are necessary to accommodate the 
needs of the proposed residents. If these community spaces, amenities, 
or features would not comply with the project design and cost standards 
of Sec. 891.120 and the special project standards of Sec. 891.310, you 
must demonstrate your ability and willingness to contribute both the 
incremental development cost and continuing operating cost associated 
with the community spaces, amenities, or features; and a description of 
how the design of the proposed project will promote the integration of 
the residents into the surrounding community and create opportunities 
for independent living; and
    (4)(c)(ii) A description of whether and how the project will 
promote energy efficiency, and, if applicable, innovative construction 
or rehabilitation methods or technologies to be used that will promote 
efficient construction.
    (4)(c)(iii) If applicable, a description of any plans and the 
actions you have taken to create a mixed-finance/mixed-use project by 
developing additional units (i.e., in addition to the Section 811 
units) with the use of Section 811 capital advance funds in combination 
with other funding sources. See Section III.A. for further information 
regarding the additional units. Specify the number of Section 811 units 
and the number of additional units from non-Section 811 funding 
sources. Provide copies of any letters you have sent seeking outside 
funding for the non-Section 811 units and any responses thereto. You 
must also demonstrate your ability to proceed with the development of a 
Section 811 project that will not involve mixed-financing or a mixed-
use purpose, as proposed in your application, in the event you are 
later unable to obtain the necessary outside funding, or HUD 
disapproves your proposal for mixed-financing or mixed-use.

    Note: Approval of the Section 811 capital advance will not 
necessarily be approval of the mixed-finance/mixed-use proposal. If 
approved for a reservation of capital advance funds, you will be 
required to submit, after reservation of capital advance funds, a 
detailed proposal outlining how you will fund both development and 
operation of the additional units in accordance with HUD 
instructions that will be issued later. Based on the strength of 
your organization and HUD's prior experience with your projects, as 
well as your outline of your intentions, at the time of making the 
fund reservation, HUD will determine whether you will be permitted 
to submit a mixed-finance/mixed-use proposal at a later time. Only 
those Sponsors that indicate in their application for a fund 
reservation an intention to propose additional units will be 
eligible to submit, at a later time, a mixed-finance/mixed-use 
proposal for additional units. (A mixed-finance/mixed-use project, 
as used here, does not include the development of Section 811 units 
using secondary/supplemental financing or the development of a 
mixed-use project in which the Section 811 units are mortgaged 
separately from the other uses of the structure).

    (4)(c)(iv) Describe your plan for completing the proposed project 
within the initial 18-month term of the fund reservation (optional).
    (4)(d) Evidence of control of an approvable site, or identification 
of a site for which you provide a reasonable assurance that you will 
obtain control within 6 months from the date of fund reservation (if 
you are approved for funding).

Site control--If you are submitting an application with site control, 
you must submit the following:

    (4)(d)(i) Acceptable evidence that you have site control, which is 
limited to any one of the following:
    (A) Deed or long-term leasehold which evidences that you have title 
to or a leasehold interest in the site. If a leasehold, the term of the 
lease must be at least 75 years;
    (B) Contract of sale for the site which is free of any limitations 
affecting ability to deliver ownership to you after you receive and 
accept a notice of Section 811 capital advance. The only condition for 
closing on the sale can be your receipt and acceptance of the capital 
advance. The contract of sale cannot require closing on a date earlier 
than the Section 811 closing.
    (C) Option to purchase or for a long-term leasehold which must 
remain in effect for six months from the date on which the applications 
are due and must state a firm price binding on the seller. The only 
condition on which the option may be terminated is if you are not 
awarded a fund reservation. The option must be renewable at the end of 
the six month option period.
    (D) Where the proposed site is subject to a mortgage under a HUD 
program (e.g., an earlier Section 811 or an FHA-insured mortgage), you 
must submit evidence that consent to release of the site from the 
mortgage has been obtained or has been requested from HUD and from the 
mortgagee, if other than HUD.
    (E) For sites to be acquired from a public body, evidence is needed 
that the public body possesses clear title to the site and has entered 
into a legally binding agreement to lease or convey the site to you 
after you receive and accept a notice of Section 811 capital advance. 
If HUD determines that time constraints of the funding round will not 
permit you to obtain all of the required official actions (e.g., 
approval of Community Planning Boards) that are necessary to convey 
publicly-owned sites, you may include in your application a letter from 
the mayor or director of the appropriate local agency indicating that 
conveyance or leasing of

[[Page 14436]]

the site is acceptable without imposition of additional covenants or 
restrictions, and only contingent on the necessary approval action. 
Such a letter commitment will be considered sufficient evidence of site 
control.

    Note: For this funding cycle, New York City-owned sites that are 
designated as community gardens and are involved in litigation will 
not meet site control requirements due to litigation involving those 
sites.

    (4)(d)(ii) Whether you have title to the site, a contract of sale, 
an option to purchase or are acquiring a site from a public body, you 
must provide evidence (a title policy or other acceptable evidence) 
that the site is free of any limitations, restrictions, or reverters 
which could adversely affect the use of the site for the proposed 
project for the 40-year capital advance period under HUD's regulations 
and requirements (e.g., reversion to seller if title is transferred). 
If the title evidence contains restrictions or covenants, copies of the 
restrictions or covenants must be submitted with the application. If 
the site is subject to any such limitations, restrictions, or 
reverters, the site will be rejected. Purchase money mortgages that 
will be satisfied from capital advance funds are not considered to be 
limitations or restrictions that would adversely affect the use of the 
site. If the contract of sale or option agreement contains provisions 
that allow a Sponsor not to purchase the property for reasons such as 
environmental problems, failure of the site to pass inspection, or the 
appraisal is less than the purchase price, then such provisions are not 
objectionable and a Sponsor is allowed to terminate the contract of 
sale or the option agreement.

    Note: A proposed project site may not be acquired or optioned 
from a General Contractor (or its affiliate) that will construct the 
Section 811 project or from any other development team member.

    (4)(d)(iii) Evidence that your project as proposed is permissible 
under applicable zoning ordinances or regulations, or a statement of 
the proposed action required to make your proposed project permissible. 
You must provide the basis for your belief that the proposed action 
will be completed successfully before the submission of the firm 
commitment application (e.g., a summary of the results of any requests 
for rezoning and/or the procedures for obtaining special or conditional 
use permits on land in similar zoning classifications and the time 
required for such rezoning, or preliminary indications of acceptability 
from zoning bodies, etc.).

    Note: You should be aware that under certain circumstances the 
Fair Housing Act requires localities to make reasonable 
accommodations to their zoning ordinances or regulations to offer 
persons with disabilities an opportunity to live in an area of their 
choice. If you are relying upon a theory of reasonable accommodation 
to satisfy the zoning requirement, then you must clearly articulate 
the basis for your reasonable accommodation theory.

    (4)(d)(iv) A narrative topographical and demographic description of 
the suitability of the site and area as well as a description of the 
area surrounding the site, the characteristics of the neighborhood, how 
the site will promote greater housing opportunities for minorities and 
persons with disabilities thereby affirmatively furthering fair 
housing.

    Note: You can best demonstrate your commitment to affirmatively 
furthering fair housing by describing how your proposed activities 
will assist the jurisdiction in overcoming impediments to fair 
housing choice identified in the applicable jurisdiction's Analysis 
of Impediments to Fair Housing Choice (AI), which is a component of 
the jurisdiction's Consolidated Plan, or any other planning document 
that addresses fair housing issues. The applicable Consolidated Plan 
and AI may be the Community's, the County's, or the State's, to 
which input should have been provided by local community 
organizations, agencies in the community, and residents of the 
community. Alternatively, a document that addresses fair housing 
issues and remedies to barriers to fair housing in the community 
that was previously prepared by a local planning board, or similar 
organization, may be used. Applicable impediments could include a 
lack of units that are accessible to persons with disabilities, a 
lack of transportation services or other assistance that would serve 
persons with disabilities, or the need for improved housing quality 
and services for all persons with disabilities.

    (4)(d)(v) A map showing the location of the site, the racial 
composition of the neighborhood, and any areas of racial concentration. 
For this competition, you should use the racial and ethnic data 
categories stated in the Appendix section of the October 30, 1997, 
Office of Management and Budget Federal Register Notice (62 FR 58782-
90) (a copy may also be obtained at http://www.whitehouse.gov/omb/fedreg/ombdir15.html), and data from the 1990 Census of Population, 
when determining the racial and ethnic composition of the neighborhood 
surrounding the proposed site. Data from the 1990 Census of Population 
may also be found at www.factfinder.census.gov/servlet/BasicFactsServlet.
    (4)(d)(vi) A Phase I Environmental Site Assessment (ESA), in 
accordance with the American Society for Testing and Material (ASTM) 
Standards E 1527-97, as amended, in order for the application to be 
considered as an application with site control. The Phase I ESA must be 
completed and submitted with the application. In order for the Phase I 
ESA to be acceptable, it must have been completed or updated no earlier 
than six months prior to the application deadline date. The Phase I 
study is not a curable deficiency for the Section 811 Program. 
Therefore, it is important that you start the Phase I ESA process as 
soon after publication of this SuperNOFA as possible.
    If the Phase I ESA indicates the possible presence of contamination 
and/or hazards, you must decide whether to continue with this site or 
choose another site. Should you choose another site, the same Phase I 
ESA process identified above must be followed for the new site.

    Note: You are not limited to acquiring properties from the FDIC. 
However, if the property is to be acquired from the FDIC, include a 
copy of the FDIC prepared Transaction Screen Checklist or Phase I 
ESA, and applicable documentation, per the FDIC Environmental 
Guidelines.

    If you choose to continue with the original site on which the Phase 
I ESA indicated contamination or hazards, you must undertake a detailed 
Phase II ESA by an appropriate professional. If the Phase II ESA 
reveals site contamination, the extent of the contamination and a plan 
for clean-up of the site must be submitted to the local HUD Office. The 
plan for clean-up must include a contract for remediation of the 
problem(s) and an approval letter from the applicable Federal, State, 
and/or local agency with jurisdiction over the site. In order for your 
application to be considered as an application with site control you 
must submit this information to the local HUD Office on or before July 
5, 2002.

    Note: This could be an expensive undertaking. You must pay for 
the cost of any clean-up and/or remediation.

    (4)(d)(vii) A letter from the State Historic Preservation Officer 
(SHPO) indicating whether the proposed site(s) has any historical 
significance. If you cannot obtain a letter from the SHPO due to the 
SHPO not responding to your request or the SHPO responding that it 
cannot or will not comply with the requirement, you must submit the 
following:
    (A) A letter indicating that you attempted to get the required 
letter from the SHPO but that the SHPO either had not responded to your 
request or would not honor or recognize your request;
    (B) A copy of your letter to the SHPO requesting the required 
letter; and

[[Page 14437]]

    (C) A copy of the SHPO's response, if available.
    (4)(d)(viii) A statement that you are willing to seek a different 
site if the preferred site is unapprovable and that site control will 
be obtained within six months of notification of fund reservation.

Site identified--If you have identified a site, but do not have it 
under control, you must submit the following information:

    (4)(d)(ix) A description of the location of the site, including its 
street address, its unit number (if condominium), neighborhood/
community characteristics (to include racial and ethnic data), 
amenities, adjacent housing and/or facilities, and how the site will 
promote greater housing opportunities for minorities and persons with 
disabilities thereby affirmatively furthering fair housing. You can 
best demonstrate your commitment to affirmatively furthering fair 
housing by describing how your proposed activities will assist the 
jurisdiction in overcoming impediments to fair housing choice 
identified in the community's AI or any other planning document that 
addresses fair housing issues. Examples of the applicable impediments 
include the need for improved housing quality and services for minority 
persons with disabilities and the need for quality services for persons 
with disabilities within the type and quality of similar services and 
housing in minority areas;
    (4)(d)(x) A description of the activities undertaken to identify 
the site, as well as what actions must be taken to obtain control of 
the site, if approved for funding;
    (4)(xi) An indication as to whether the site is properly zoned. If 
it is not, an indication of the actions necessary for proper zoning and 
whether these can be accomplished within six months of fund reservation 
award, if approved for funding;
    (4)(d)(xii) A status of the sale of the site; and
    (4)(d)(xiii) An indication as to whether the site would involve 
relocation.

    Note: If an application is submitted without evidence of site 
control and does not provide a specific street address for the 
identified site(s) (e.g, only an indication that the project will be 
developed in a particular part of town but a site(s) has not been 
chosen) the application will be rejected.

    (4)(e) A supportive services plan (a copy of which must be sent to 
the appropriate State or local agency as instructed in Section IV(M) of 
this program section of the SuperNOFA) that includes:
    (4)(e)(i) A detailed description of whether the housing is expected 
to serve persons with physical disabilities, developmental 
disabilities, chronic mental illness or any combination of the three. 
Include how and from whom/where persons will be referred to and 
accepted for occupancy in the project.
    (4)(e)(ii) Information concerning limitation of occupancy, if 
applicable. You may, with the approval of the Secretary, limit 
occupancy within housing developed under this program section of the 
SuperNOFA to persons with disabilities who have similar disabilities 
and require a similar set of supportive services in a supportive 
housing environment. However, the Owner must permit occupancy by any 
qualified person with a disability who could benefit from the housing 
and/or services provided, regardless of the person's disability. If you 
are requesting approval to limit occupancy in your proposed project(s), 
you must submit the following:
    (A) A description of the population of persons with disabilities to 
which occupancy will be limited;
    (B) An explanation of why it is necessary to limit occupancy of the 
proposed project(s) to the population described in (4)(e)(ii) above. 
This should include but is not limited to:

--An explanation of how limiting occupancy to a subcategory of persons 
with disabilities promotes the goals of the Section 811 Program; and,
--An explanation of why the housing and/or service needs of this 
population cannot be met in a more integrated setting

    (C) A description of your experience in providing housing and/or 
supportive services to the proposed occupants; and
    (D) A description of how you will ensure that the occupants of the 
proposed project(s) will be integrated into the neighborhood and 
surrounding community.
    (4)(e)(iii) A detailed description of the supportive service needs 
of the persons with disabilities that the housing is expected to serve.
    (4)(e)(iv) A list of community service providers, including those 
that are consumer-controlled, and letters of intent to provide services 
to residents of the proposed project(s) from as many potential service 
providers as possible. You must make this list available to any 
residents who wish to be responsible for acquiring their own supportive 
services. However, a provider may not require residents to accept any 
particular service.
    (4)(e)(v) The evidence of each service provider's capability and 
experience in providing such supportive services (applicable even if 
you will be the service provider);
    (4)(e)(vi) Identification of the extent of State and/or local 
agency involvement in the project (i.e., funding for the provision of 
supportive services, referral of residents, or licensing the project). 
If there will be any State or local agency involvement, a description 
of the State or local agency's philosophy/policy concerning housing for 
the population to be served and a demonstration that your application 
is consistent with State or local plans and policies governing the 
development and operation of housing for the same disabled population;
    (4)(e)(vii) If you will be making any supportive services available 
to the residents or will be coordinating the availability of any 
supportive services, a letter providing:
    (A) A description of the supportive services that you will make 
available to the residents or, if you will be coordinating the 
availability of any supportive services, a description of the 
supportive service(s) and how the coordination will be implemented;
    (B) An assurance that any supportive services that you will make 
available to the residents will be based on their individual needs; and
    (C) A commitment to make the supportive services available or 
coordinate their availability for the life of the project.
    (4)(e)(viii) A description of how the residents will be afforded 
opportunities for employment.
    (4)(e)(ix) An indication as to whether the project will include a 
unit for a resident manager; and
    (4)(e)(x) A statement that you will not condition occupancy on the 
resident's acceptance of any supportive services.
    (5) A list of the applications, if any, that you have submitted or 
are planning to submit to any other HUD Office in response to this 
announcement of Section 811 Program funding availability or the 
announcement of funding availability for the Section 202 Program of 
Supportive Housing for the Elderly, published elsewhere in this 
SuperNOFA. Indicate, by HUD Office, the number of units requested and 
the proposed location by city and State for each application. Include a 
list of all FY 2001 and prior year projects to which you are a party. 
Identify each by project number and HUD Office and include the 
following information: (a) whether the project has initially closed 
and, if so, when, (b) if the project was older than 36 months when it 
initially closed or is older than 36 months now and has not initially 
closed, provide the reasons for the delay in closing; (c) whether

[[Page 14438]]

amendment money was or will be needed for any project in (b) above; and 
(d) those projects which have not been finally closed.
    (6) A statement that:
    (6)(a) Identifies all persons (families, individuals, businesses, 
and nonprofit organizations) by race/minority group and status as 
owners or tenants occupying the property on the date of submission of 
the application for a capital advance;
    (6)(b) Indicates the estimated cost of relocation payments and 
other services;
    (6)(c) Identifies the staff organization that will carry out the 
relocation activities; and
    (6)(d) Identifies all persons who have moved from the site within 
the last 12 months. (This requirement applies to applications with site 
control only. Sponsors of applications with identified sites that are 
selected will be required to submit this information at a later date 
once they have obtained site control.)

    Note: If any of the relocation costs will be funded from sources 
other than the Section 811 capital advance, you must provide 
evidence of a firm commitment of these funds. When evaluating 
applications, HUD will consider the total cost of proposals (i.e., 
cost of site acquisition, relocation, construction and other project 
costs).

    (7) Certifications and Resolutions. In addition to the 
certifications and assurances listed in the General Section of this 
SuperNOFA with the exception of SF-424A, SF-424B, SF-424C, SF-424D, HUD 
424M and the OMB Circulars which are not required, you are required to 
submit signed copies of the following:
    (7)(a) Standard Form 424. Application for Federal Assistance and 
indication of whether you are delinquent on any Federal debt, and 
compliance with Executive Order 12372 (a certification that you have 
submitted a copy of your application, if required, to the state agency 
(Single Point of Contact) for state review in accordance with Executive 
Order 12372). (See instructions for submitting this form in the 
Consolidated Application Submissions section of the General Section of 
the SuperNOFA.)
    (7)(b) Drug-Free Workplace (HUD-50070). Certification to provide a 
drug-free workplace.
    (7)(c) Payments to Influence Federal Transactions (HUD-50071) and 
Standard Form LLL, Disclosure of Lobbying Activities. Certification of 
whether any of the funds received will be used to influence any Federal 
transactions and disclosure of those activities, if applicable.
    (7)(d) Applicant/Recipient Disclosure/Update Report, including 
Social Security Numbers and Employee Identification Numbers, (HUD-
2880). A disclosure of assistance from other government sources 
received in connection with the project.
    (7)(e) Certification Regarding Debarment and Suspension (HUD-2992) 
(24 CFR 24.510)

--a certification attesting to the eligibility of your principals.
    (7)(f) Certification of Consistency with the Consolidated Plan 
(Plan) (Form HUD-2991) for the jurisdiction in which the proposed 
project will be located. The certification must be made by the unit of 
general local government if it is required to have, or has, a complete 
Plan. Otherwise, the certification may be made by the State, or by the 
unit of general local government if the project will be located within 
the jurisdiction of the unit of general local government authorized to 
use an abbreviated strategy, and if it is willing to prepare such a 
Plan.
    All certifications must be made by the public official responsible 
for submitting the Plan to HUD. The certifications must be submitted as 
part of the application by the application submission deadline date set 
forth in this program section of the SuperNOFA. The Plan regulations 
are published in 24 CFR part 91.
    (7)(g) A certified Board Resolution that no officer or director of 
the Sponsor or Owner has or will have any financial interest in any 
contract with the Owner or in any firm or corporation that has or will 
have a contract with the Owner, including a current listing of all duly 
qualified and sitting officers and directors by title and the beginning 
and ending dates of each person's term.
    (7)(h) A Certified Board Resolution acknowledging responsibilities 
of sponsorship, long-term support of the project(s), your willingness 
to assist the Owner to develop, own, manage and provide appropriate 
services in connection with the proposed project, and that it reflects 
the will of your membership. Also, it shall indicate your willingness 
to fund the estimated start-up expenses, the Minimum Capital Investment 
(one-half of one-percent of the HUD-approved capital advance, not to 
exceed $10,000), and the estimated cost of any amenities or features 
(and operating costs related thereto) that would not be covered by the 
approved capital advance.
    (7)(i) Certification of Consistency with the EZ/EC Strategic Plan 
(HUD-2990). A certification that the project is consistent with the EZ/
EC strategic plan, is located within the EZ/EC, and serves EZ/EC 
residents. (This certification is not required if the project site(s) 
will not be located in an EZ/EC.)
    (7)(j) Supportive Services Certification. A certification from the 
appropriate State or local agency identified in the application kit 
indicating whether the:
    (7)(j)(i) Provision of supportive services is well designed to 
serve the needs of persons with disabilities the housing is expected to 
serve;
    (7)(j)(ii) The provision of supportive services will enhance 
independent living success and promote the dignity of those who will 
access your proposed project;
    (7)(j)(iii) Supportive services will be available on a consistent, 
long-term basis; and
    (7)(j)(iv) Proposed housing is consistent with State or local plans 
and policies addressing the housing needs of people with disabilities 
if the State or local agency will provide funding for the provision of 
supportive services, refer residents to the project or license the 
project. (The name, address, and telephone number of the appropriate 
agency will be identified in the application kit and can also be 
obtained from the appropriate HUD Office.)

VII. Corrections to Deficient Applications

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

VIII. Formation of Owner Corporation for Development of Section 811 
Projects and for Section 811 Projects Involving Mixed-Financing or 
a Mixed-Use Purpose.

    Applicant eligibility for purposes of applying for a Section 811 
fund reservation under this NOFA has not changed; i.e., all Section 811 
Sponsors and Co-Sponsors must be nonprofit organizations. However, the 
Owner corporation, when later formed by the Sponsor, may be (1) a 
single-purpose nonprofit organization that has tax-exempt status under 
Section 501(c)(3) of the Internal Revenue Code of 1986, OR (2) for 
purposes of developing a mixed-finance/mixed-use project for developing 
additional units over and above the Section 811 units, a for-profit 
limited partnership with the nonprofit entity as the sole general 
partner.

IX. Authority

    Section 811 of the Cranston-Gonzalez National Affordable Housing 
Act (Pub.L. 101-625, approved November 28, 1990), as amended by the 
Housing and Community Development Act of 1992) (Pub.L. 102-550, 
approved October 28, 1992); the Rescissions Act (Pub.L. 104-19, 
approved July 27, 1995); the American Homeownership and

[[Page 14439]]

Economic Opportunity Act of 2000 (Pub. L. 106-569, approved December 
27, 2000) and the fiscal year 2002 HUD Appropriations Act (Pub.L. 107-
73, approved November 26, 2001) authorized a new supportive housing 
program for persons with disabilities, and replaced assistance for 
persons with disabilities previously covered by section 202 of the 
Housing Act of 1959 (section 202 continues, as amended by section 801 
of the NAHA, and the HCD Act of 1992, to authorize supportive housing 
for the elderly).

APPENDIX A: LOCAL HUD OFFICES

    Notes: (1) The first line of the mailing address for all offices 
is U.S. Department of Housing and Urban Development. Telephone 
numbers listed are not toll free.
    (2) Applications for projects proposed to be located within the 
jurisdiction of the Seattle, Washington and the Anchorage, Alaska 
Offices must be submitted to the Portland, Oregon Office.
    (3) Applications for projects proposed to be located within the 
jurisdiction of the Sacramento, California Office must be submitted 
to the San Francisco, California Office.
    (4) Applications for projects proposed to be located within the 
jurisdiction of the Cincinnati, Ohio Office must be submitted to the 
Columbus, Ohio Office.
    (5) Applications proposed to be located within the jurisdiction 
of the Washington, DC Office must be submitted to the Baltimore, 
Maryland Office.

HUD--Boston Hub

Hartford Office, One Corporate Center, 19th Floor, Hartford, CT 
06103-3220, (860) 240-4800, TTY Number: (860) 240-4665
Boston Office, Room 301, Thomas P. O'Neill, Jr., Federal Building, 
10 Causeway Street, Boston, MA 02222-1092, (617) 994-8500, TTY 
Number: (617) 565-5453
Manchester Office, Norris Cotton Federal Building, 275 Chestnut 
Street, Manchester, NH 03101-2487, (603) 666-7681, TTY Number: (603) 
666-7518
Providence Office, Sixth Floor, 10 Weybosset Street, Providence, RI 
02903-2808, (401) 528-5230, TTY Number: (401) 528-5403

HUD--New York Hub

New York Office, 26 Federal Plaza, New York, NY 10278-0068, (212) 
264-8000, TTY Number: (212) 264-0927

HUD--Buffalo Hub

Buffalo Office, Fifth Floor, Lafayette Court, 465 Main Street, 
Buffalo, NY 14203-1780, (716) 551-5755, TTY Number: (716) 551-5787

HUD--Philadelphia Hub

Philadelphia Office, The Wanamaker Building, 100 Penn Square East, 
Philadelphia, PA 19107-3380, (215) 656-0600, TTY Number: (215) 656-
3452
Charleston Office, Suite 708, 405 Capitol Street, Charleston, WV 
25301-1795, (304) 347-7000, TTY Number: (304) 347-5332
Newark Office, Thirteenth Floor, One Newark Center, Newark, NJ 
07102-5260, (973) 622-7900, TTY Number: (973) 645-3298
Pittsburgh Office, 339 Sixth Avenue, Sixth Floor, Pittsburgh, PA 
15222-2515, (412) 644-6428, TTY Number: (412) 644-5747

HUD--Baltimore Hub

Baltimore Office, Fifth Floor, City Crescent Building, 10 South 
Howard Street, Baltimore, MD 21201-2505, (410) 962-2520, TTY Number: 
(410) 962-0106
Richmond Office, The 3600 Centre, 3600 West Broad Street, Richmond, 
VA 23230-4920, (804) 278-4500, TTY Number: (804) 278-4501

HUD--Greensboro Hub

Greensboro Office, Koger Building, 2306 West Meadowview Road, 
Greensboro, NC 27407-3707, (336) 547-4000, TTY Number: (336) 547-
4055
Columbia Office, Strom Thurmond Federal Building, 1835-45 Assembly 
Street, Columbia, SC 29201-2480, (803) 765-5592, TTY Number: (803) 
253-3071

HUD--Atlanta Hub

Atlanta Office, 40 Marietta Street--Five Points Plaza, Atlanta, GA 
30303-2806, (404) 331-5001, TTY Number: (404) 730-2654
San Juan Office, Edificio Administracion de Terrenos, 171 Carlos 
Chardon Avenue, Suite 301, San Juan, PR 00918-0903, (787) 766-5400, 
TTY Number: (787) 776-5609
Louisville Office, 601 West Broadway, P.O. Box 1044, Louisville, KY 
40201-1044, (502) 582-5251, TTY Number: 1-800-648-6056
Knoxville Office, Third Floor, John J. Duncan Federal Building, 710 
Locust Street, Knoxville, TN 37902-2526, (423) 545-4384, TTY Number: 
(423) 545-4559
Nashville Office, Suite 200, 235 Cumberland Bend, Nashville, TN 
37228-1803, (615) 736-5213, TTY Number: (615) 736-2886

HUD--Jacksonville Hub

Jacksonville Office, Suite 2200, Southern Bell Tower, 301 West Bay 
Street, Jacksonville, FL 32202-5121, (904) 232-2626, TTY Number: 
(904) 232-2631
Birmingham Office, Medical Forum Building, 950 22nd St., North, 
Suite 900, Birmingham, AL 35203-5301, (205) 731-2630, TTY Number: 
(205) 731-2624
Jackson Office, Suite 910, Doctor A.H. McCoy Federal Building, 100 
West Capitol Street, Jackson, MS 39269-1096, (601) 965-4700, TTY 
Number: (601) 965-4171

HUD--Chicago Hub

Chicago Office, Ralph H. Metcalfe Federal Building, 77 West Jackson 
Boulevard, Chicago, IL 60604-3507, (312) 353-5680, TTY Number: (312) 
353-5944
Indianapolis Office, 151 North Delaware Street, Indianapolis, IN 
46204-2526, (317) 226-6303, TTY Number: (317) 226-7081

HUD--Detroit Hub

Detroit Office, Patrick V. McNamara Federal Building, 477 Michigan 
Avenue, Detroit, MI 48226-2592, (313) 226-7900, TTY Number: (313) 
226-6899
Grand Rapids Office, Trade Center Building, 50 Louis Street, NW., 
Third Floor, Grand Rapids, MI 49503-2648, (616) 456-2100, TTY 
Number: (616) 456-2159

HUD--Columbus Hub

Columbus Office, 200 North High Street, 7th Floor, Columbus, OH 
43215-2499, (614) 469-2540, TTY Number: (614) 469-6694
Cleveland Office, Renaissance Building, 1350 Euclid Avenue, Suite 
500, Cleveland, OH 44115-1815, (216) 522-4058, TTY Number: (216) 
522-2261

HUD--Minneapolis Hub

Minneapolis Office, 220 Second Street, South, Minneapolis, MN 55401-
2195, (612) 370-3000, TTY Number: (612) 370-3186
Milwaukee Office, Suite 1380, Henry S. Reuss Federal Plaza, 310 West 
Wisconsin Avenue, Milwaukee, WI 53203-2289, (414) 297-3214, TTY 
Number: (414) 297-1423

HUD--Ft. Worth Hub

Little Rock Office, Suite 900, TCBY Tower, 425 West Capitol Avenue, 
Little Rock, AR 72201-3488, (501) 324-5931, TTY Number: (501) 324-
5931
New Orleans Office, Ninth Floor, Hale Boggs Federal Building, 501 
Magazine Street, New Orleans, LA 70130-3099, (504) 589-7200, TTY 
Number: (504) 589-7279
Ft. Worth Office, 801 Cherry Street, P.O. Box 2905, Fort Worth, TX 
76113-2905, (817) 978-5965, TTY Number: (817) 978-5595
Houston Office, Suite 200, Norfolk Tower, 2211 Norfolk, Houston, TX 
77098-4096, (713) 313-2274, TTY Number: (713) 834-3274
San Antonio Office, Washington Square, 800 Dolorosa Street, San 
Antonio, TX 78207-4563, (210) 475-6800, TTY Number: (210) 475-6885

HUD--Great Plains

Des Moines Office, Room 239, Federal Building, 210 Walnut Street, 
Des Moines, IA 50309-2155, (515) 284-4512, TTY Number: (515) 284-
4728
Kansas City Office, Room 200, Gateway Tower II, 400 State Avenue, 
Kansas City, KS 66101-2406, (913) 551-5462, TTY Number: (913) 551-
6972
Omaha Office, Executive Tower Centre, 10909 Mill Valley Road, Omaha, 
NE 68154-3955, (402) 492-3100, TTY Number: (402) 492-3183
Saint Louis Office, Third Floor, Robert A. Young Federal Building, 
1222 Spruce Street, St. Louis, MO 63103-2836, (314) 539-6583, TTY 
Number: (314) 539-6331
Oklahoma City Office, 500 West Main Street, Suite 400, Oklahoma 
City, OK 73102-2233, (405) 553-7401, TTY Number: 1-800-877-8339

HUD--Denver Hub

Denver Office, 633 17th Street, Denver, CO 80202-3607, (303) 672-
5440, TTY Number: (303) 672-5248

HUD--San Francisco Hub

Phoenix Office, Suite 1600, Two Arizona Center, 400 North 5th 
Street, Phoenix, AZ 85004-2361, (602) 379-4434, TTY Number: (602) 
379-4464

[[Page 14440]]

San Francisco Office, Philip Burton Federal Building and U.S. 
Courthouse, 450 Golden Gate Avenue, P.O. Box 36003, San Francisco, 
CA 94102-3448, (415) 436-6550, TTY Number: (415) 436-6594
Honolulu Office, Suite 500, 7 Waterfront Plaza, 500 Ala Moana 
Boulevard, Honolulu, HI 96813-4918, (808) 522-8185, TTY Number: 
(808) 522-8193

HUD--Los Angeles Hub

Los Angeles Office, 611 West 6th Street, Suite 800, Los Angeles, CA 
90017-3106, (213) 894-8000, TTY Number: (213) 894-8133

HUD--Seattle Hub

Portland Office, 400 Southwest Sixth Avenue, Suite 700, Portland, OR 
97204-1632, (503) 326-2561, TTY Number: (503) 326-3656

Appendix B

    The non-standard forms, which follow, are required for your 
Section 811 Program application.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14457]]



FUNDING AVAILABILITY FOR THE HOUSING OPPORTUNITIES FOR PERSONS WITH 
AIDS (HOPWA) PROGRAM

PROGRAM OVERVIEW

    Purpose of the Program. To provide States and localities with the 
resources and incentives to devise long-term comprehensive strategies 
for meeting the housing and related supportive service needs of persons 
with HIV/AIDS and their families.
    Available funds. Approximately $27,543,000 (and under a related 
part of this SuperNOFA, up to $2,000,000 for technical assistance for 
the HOPWA program). Funds will be made available under this program 
NOFA in the following priority order: (1) Renewal of expiring HOPWA 
grants providing permanent supportive housing as described in Part B: 
Renewal Projects; (2) award of project outcome add-on funding for HOPWA 
grants not receiving such funding, as described in Part C: Project 
Outcomes Add-on Funding; and (3) to continuing and new projects seeking 
HOPWA funding, as described under Part D: Continuing and New Projects.
    Eligible Applicants. States, units of general local government, and 
nonprofit organizations may apply for HOPWA competitive funding under 
this NOFA. Additional, eligibility requirements are outlined under each 
part of this program NOFA.
    Application Deadline.

Part B: Project Renewals: May 16, 2002
Part C: Project Outcome Add-on Funding: May 16, 2002
Part D: Continuing and New Projects: June 25, 2002

    Match. None.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following sections of this program NOFA. For more information on the 
program itself including eligible uses of funds, see the HOPWA program 
regulations at 24 CFR Part 574 and the AIDS Housing Opportunity Act (42 
U.S.C. 12901), which control over any information contained herein.

PART A: GENERAL PROGRAM REQUIREMENTS

    The following information provides general guidelines, policies, 
and requirements for applicants applying for HOPWA competitive funding 
under this NOFA. Unless otherwise noted, the following provisions apply 
to applicants of Parts B-D of this program NOFA.

I. Available Funding and Additional Resources

    (A) HOPWA FY2002 Competitive Program. Through this NOFA, 
approximately $27,543,000 is being made available for HOPWA awards. 
Additional funds may be awarded if funds are recaptured, deobligated, 
appropriated or otherwise made available during the fiscal year. 
Priority funding will be given to applicants applying, first, to 
renewal of expiring permanent supportive housing grants as outlined 
under Part B of this program NOFA. Secondly, if funds remain, HUD will 
fund applicants for project outcome add-on funding, as outlined under 
Part C of this program NOFA. Lastly, if funds remain, HUD will award 
funds for continuing or new projects, as outlined under Part D of this 
program NOFA.
    (B) Availability of FY 2002 Formula Allocations. You should 
consider seeking funds from the formula component of the HOPWA program 
and from other resources. Ninety (90) percent of the HOPWA program is 
allocated by formula to recipient states and cities. In FY2002, a total 
of $247,889,000 million was allocated by formula to the qualifying 
cities for 74 eligible metropolitan statistical areas (EMSAs) and to 34 
eligible States for areas outside of EMSAs. All HOPWA formula grants 
are available as part of the jurisdiction's Consolidated Plan. 
Information on consolidated planning, including HOPWA formula programs 
and descriptions of previously awarded competitive grants, is available 
on the HUD HOME Page at www.hud.gov/grants.
    (C) Availability of National HOPWA Technical Assistance. To apply 
for HOPWA technical assistance funds, submit an application for funds 
under the Community Development Technical Assistance (CDTA) part of 
this notice, which is published elsewhere in this SuperNOFA. The CDTA 
notice makes available up to $2,000,000 in HOPWA funds to organizations 
for technical assistance support on a national or regional basis.

II. Application Kits, Further Information, and Technical Assistance

    (A) Where to Send Your Application. You must send your application 
on or before 12:00 midnight, Eastern time, consistent with the specific 
due date for your application as stated in the Program Overview of this 
program NOFA, to HUD Headquarters. See the General Section of this 
SuperNOFA for specific procedures governing the form of application 
submission (e.g., mailed applications, express mail, or overnight 
delivery.
    (B) Address for Submitting Applications. Your completed application 
consists of an original signed application and three copies. Submit the 
original application and one copy to: Department of Housing and Urban 
Development, Attn: HOPWA, 451 Seventh Street, SW, Room 7251, 
Washington, DC 20410. The original application submitted to HUD 
headquarters is considered the official application.
    Submit the additional two (2) copies of your application to the 
area CPD Field Office or Offices that serve the area in which 
activities are proposed. For multi-state efforts you must submit two 
copies of your application to the Field Office that serves your main 
office. The list of addresses for area CPD Field Offices is provided as 
Appendix B of this program section of this SuperNOFA. If you propose 
nationwide activities, you must send all copies to the HUD headquarters 
office. When submitting your applications, please refer to HOPWA, and 
include your name, mailing address (including zip code), facsimile, 
email, and telephone number (including area code).
    (C) For Application Kits. Although you may begin working on your 
application with the materials provided in this NOFA and its 
appendixes, please call the SuperNOFA Information Center at 1-800-HUD-
8929 (1-800-483-8929) for an application kit. Persons with hearing or 
speech challenges may access the above number via TTY (text telephone) 
by calling the Federal Relay Service at 1-800-877-8339 (this is a toll-
free number). The application kit also will be available on the 
Internet through the HUD Web site at http://www.hud.gov/grants.
    (D) For Further Information and Technical Assistance. You may call 
the HUD Field Office serving your area, at the telephone number shown 
in Appendix B, or you may contact the Office of HIV/AIDS Housing, HUD 
at (202) 708-1934. HUD staff may assist with program questions, but may 
not assist in preparing your application.
    (E) Seeking Technical Assistance in Developing a HOPWA Application. 
HOPWA TA providers may not provide technical assistance in the drafting 
of responses to HUD's NOFA due to the unfair advantage such assistance 
gives to one organization over another. If HUD determines that HOPWA 
technical assistance has been used to draft a HOPWA application, HUD 
reserves that right to reject the application for funding. If, after 
your application has been selected for an award, HUD

[[Page 14458]]

determines that HOPWA technical assistance was used to draft your 
application, the award will be withdrawn and you may be liable for any 
funds already spent.
    (F) Satellite Broadcast. HUD will hold information broadcasts via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD Web site at http://www.hud.gov/grants.

III. Applicable Requirements of the General Section of the 
SuperNOFA

    The provisions outlined within the General Section of the SuperNOFA 
apply to the HOPWA program unless otherwise stated within this program 
NOFA. Specifically, you are encouraged to review:
    (A) Section II: Requirements and Procedures Applicable to All 
Programs. The threshold requirements in the General Section apply to 
the HOPWA program and applicants must meet all threshold requirements 
to receive funding.
    (B) Section VI: HUD's FY 2002 SuperNOFA Policy Priorities. HUD has 
identified policy priorities which applicants are encouraged to address 
in implementing programs funded under this notice. Applicable policy 
priorities for HOPWA grants seeking funding under Part D of this 
program NOFA are outlined in Part D, Section III: Policy Priorities. 
Applicants seeking funding under Parts B and C of this program NOFA are 
not required to address HUD's policy priorities.

IV. Corrections to Deficient Applications

    See Part V: Corrections to Deficient Applications of the General 
Section of the SuperNOFA.

V. Award Modifications

    After reviewing each application HUD reserves the right to:
    (A) Make Award Adjustments. HUD reserves to make award adjustments 
as outlined in Section III.(E), Application Selection Process, of the 
General Section of this SuperNOFA.
    (B) Add Project Outcome Funding. Applicants must add up to $50,000 
to the HOPWA application for the purposes of the collection of data on 
project outcomes. If an applicant fails to request this level of 
funding for this activity, HUD reserves the right to add such funding 
to the selected application.
    (C) Not to Duplicate Continuum of Care Projects. HUD reserves the 
right to ensure that activities funded under the FY 2002 Continuum of 
Care will not duplicate new or continuing activities funded under this 
competition.

VI. Statutory Certifications

    HOPWA applicants are not required to provide the forms, 
certifications, and assurances listed in the General Section of the 
SuperNOFA unless stated below. The following certifications must be 
included with your application. All certifications and forms, except 
those found in the General Section of the SuperNOFA, are included in 
the appendixes to the HOPWA section of the NOFA.
    (A) Certifications found in the General Section of the SuperNOFA.
    (1) Consolidated Plan Certification (HUD-2991). Except as stated 
below, you must include a Consolidated Plan certification from the 
applicable State or local government official responsible for 
submitting the appropriate plan. If your project will be carried out on 
a national basis or will be located on a reservation of an Indian 
tribe, Guam, the Virgin Islands, American Samoa, or the Northern 
Mariana Islands you are not required to include a Consolidated Plan 
certification with your application. The authorizing official from the 
State or local government must sign this certification.

(2) Certification of Drug-Free Workplace (HUD-50070)
(3) Certification of Payments to Influence Federal Transactions (HUD-
50071)
(4) Disclosure of Lobbying Activities (SF-LLL)
(5) Certification Regarding Debarment and Suspension (HUD-2992)
(6) Consistency with the RC/RC/EZ/EC Strategic Plan (HUD-2990)
(7) Applicant/Recipient Disclosure/Update Report (HUD-2880)
    (B) HOPWA Certification found at Appendix D of this program section 
of the NOFA.

(1) Fair Housing and Non-discrimination
(2) Environmental Law and authorities
(3) Continued use periods for assisted structures
(4) Debarred, Suspended and Ineligible Principals

VII. Program Requirements

    (A) Nonprofit Requirement. To be eligible as a nonprofit applicant 
or project sponsor, you must satisfy the requirements of 24 CFR 574.3. 
Your application must establish both that you are a nonprofit 
organization and that your organizational documents include a purpose 
of significant activities related to providing services or housing to 
persons with HIV/AIDS.
    If you do not qualify as a nonprofit, you are not eligible to 
receive funds and serve as the grantee or as a project sponsor. 
However, you may collaborate with eligible nonprofit organizations or 
with a government agency that applies for the grant and assist them, 
for example, in planning for the proposed activities, identifying needs 
in your community and identifying clients who will be assisted. In 
addition, you may do work under contract with a grantee for services 
funded by this grant.
    (1) We will accept as evidence of your nonprofit status:
    (a) A copy of the Internal Revenue Service (IRS) ruling providing 
tax-exempt status under Section 501(C) (3), (4), (6), (7), (9) or (19) 
of the IRS code; or
    (b) A ruling from the Treasury Department of the Commonwealth of 
Puerto Rico granting income tax exemption under section 101 of the 
Income Tax Act of 1954, as amended (13 LPRA 3101); or
    (c) Documentation showing that the applicant is a certified United 
Way agency; or
    (d) All of these:
    (i) A certification by the appropriate official of the jurisdiction 
under whose laws the nonprofit was organized that your organization was 
so organized and is in good standing;
    (ii) A certification from a designated official of the organization 
that no part of the net earnings of the organization inures to the 
benefit of any member, founder, contributor, or individual; that the 
organization has a voluntary board; and that the organization practices 
nondiscrimination in the provision of assistance; and
    (iii) An opinion letter from a CPA that the nonprofit has a 
functioning accounting system that provides for each of these (the 
letter must mention all of them):
    (1) Accurate, current and complete disclosure of the financial 
results of each federally funded project;
    (2) Records that identify adequately the source and application of 
funds for federally funded activities;
    (3) Effective control over and accountability for all funds, 
property and other assets;
    (4) Comparison of outlays with budget amounts;
    (5) Written procedures to minimize the time elapsing between the 
transfer of funds to the recipient from the US Treasury and the use of 
funds for program purposes;
    (6) Written procedures for the determining the reasonableness, 
allocability and allowability of costs; and

[[Page 14459]]

    (7) Accounting records including cost accounting records that are 
supported by source documentation.
    (2) We will accept as evidence of your purpose, a certified copy of 
the organization's articles of incorporation and by-laws which includes 
in the organization's purposes significant activities related to 
providing services or housing to persons with HIV/AIDS.
    (B) Performance Benchmark Requirements. All grantees receiving 
funds under this program NOFA are expected to meet the following 
benchmark requirements. If a selected project does not meet the 
appropriate performance benchmark, HUD reserves the right to cancel or 
withdraw the grant funds.
    (1) Execution of Grant Agreement. Selected applicants must execute 
grant agreements by the earlier of September 25, 2003 or the first 
anniversary of HUD's announcement of the awards. HOPWA grants are 
obligated upon grant execution and the FY 2002 Appropriations Act 
requires HUD to obligate funds within two years of the appropriation, 
September 30, 2003, or to lose the funds.
    (2) Disbursement of Funds. Grantees receiving awards under this 
NOFA must fully expended their grants no later than the earlier of 
three years following the effective date of the grant agreement or by 
September 30, 2008. The FY2002 Appropriation Act requires deobligation 
of grant funds which not expended within five years of the 
appropriation, September 30, 2008.
    (3) Site Control through Acquisition or Lease. If you acquire or 
lease a site, you are required to gain site control within one year 
from the date your selection letter was signed by HUD.
    (4) Rehabilitation or New Construction. If you propose to use HOPWA 
funds for rehabilitation or new construction activities, you must begin 
the rehabilitation or construction within 18 months and complete that 
work within 3 years from the date your selection letter was signed by 
HUD.
    (5) Program Operations. For projects conducting rehabilitation or 
new construction activities, program operations must begin within 36 
months of the date your selection letter was signed by HUD. Program 
operations begin when clients begin receiving housing or supportive 
services.
    (6) Six-Month Report. You must provide an initial report to the 
Field Office and Headquarters on the startup of the planned activities 
within six months of your selection. Outline any accomplishments in 
implementing the funds along with identifying any barriers or issues 
for which the Department may provide assistance.
    (C) Program Guidance.
    (1) Program Operating Year. Grants awarded through this NOFA must 
designate the 12-month operating year, which indicates the start and 
end dates of the term of the grant, at the signing of the grant 
agreement. The operating year may begin within four months of the 
signing of the grant agreement or as specified by HUD at the time of 
award. The operating period begins the day when participants begin to 
receive housing or supportive services, or for capital development 
activities at site control or the start of rehabilitation or new 
construction activities. The operating period is a 12-month period for 
which grantees report annual accomplishments. Grantees are required to 
submit annual progress reports to HUD within 90 days following the end 
of each operating year.
    (2) Incorporation of Mainstream Resources. To the extent possible, 
HUD encourages projects to incorporate mainstream resources into their 
project plans to maximize the benefit of requested HOPWA funds. 
Mainstream resources may include private, other public, and mainstream 
services and housing programs that provide benefits to eligible 
clients. Applicants are encouraged to create community wide strategies 
to coordinate assistance to eligible clients through these mainstream 
programs. These mainstream programs include Medicaid, Children's Health 
Insurance Program, Temporary Assistance for Needy Families, Food 
Stamps, and services funding through the Mental Health Block Grant and 
Substance Abuse Block Grant, Workforce Investment Act and the Welfare-
to-Work grant program. Under each part of this program NOFA, as an 
applicant, you may be asked to address how your project is 
incorporating mainstream programs to benefit clients.

VIII. Other Requirements

    (A) Environmental Requirements. All HOPWA assistance is subject to 
the National Environmental Policy Act and applicable related Federal 
environmental authorities. In accordance with Section 856(h) of the 
AIDS Housing Opportunities Act, environmental reviews for HOPWA 
activities are to be completed by responsible entities (including units 
of general local government, States, Indian tribes and Alaska Native 
villages) in accordance with 24 CFR Part 58. Applicants or grantees 
that are not States or units of general local government must request 
the unit of general local government to perform the environmental 
review. This statutory provision supersedes the environmental 
provisions in the HOPWA regulation at 24 CFR 574.510. HOPWA grantees 
and project sponsors may not commit or expend any grant or nonfederal 
funds on project activities (other than those listed in 24 CFR 
58.22(c), 58.34 or 58.35 (b)) until HUD has approved a Request for 
Release of Funds and environmental certification from the responsible 
entity. The expenditure or commitment of HOPWA or nonfederal funds for 
such activities prior to this HUD approval may result in the denial of 
assistance for the project under consideration.
    (B) Local Resident Employment (Section 3 Requirements). For grants 
in excess of $200,000, to the extent that grant funds are used for 
housing rehabilitation (including reduction and abatement of lead-based 
paint hazards, but excluding routine maintenance, repair, and 
replacement) or housing construction, then it is subject to section 3 
of the Housing and Urban Development Act of 1968 and the implementing 
regulations at 24 CFR part 135. Section 3 requires that economic 
opportunities shall, to the greatest extent feasible, be given to low- 
and very low-income persons, particularly those who are recipients of 
government assistance for housing, and to businesses that provide 
economic opportunities for these persons.

IX. Authority

    This program is authorized under the AIDS Housing Opportunity Act 
(42 U.S.C. 12901). The regulations for HOPWA are found at 24 CFR part 
574.

PART B. RENEWAL PROJECTS

    HUD will consider applications under this part that are renewals of 
expiring HOPWA competitive grants whose primary purpose is the 
provision of permanent supportive housing.

I. General Policies on Renewal of Permanent Supportive Housing 
Grant--Purpose

    Under the provisions of the HUD Appropriation Act for FY2002, the 
Secretary is required to renew qualifying expiring contracts for 
permanent supportive housing on a priority basis. Grants funded under 
prior HOPWA competitions that meet the below eligibility requirements 
and meet all program requirements will be given priority renewal by 
HUD. Applications will be reviewed on a pass/fail threshold review 
system and are not required to address the departmental policy 
priorities described in the General Section of the

[[Page 14460]]

SuperNOFA. If you have an expiring grant, which is not for permanent 
supportive housing, you may apply for funding under Part D of this 
NOFA.

II. Eligibility of Applicants and Grants

    To be eligible for priority renewal under this part, you must meet 
all of the following eligibility requirements:
    (A) Eligible Permanent Supportive Housing Grants. To be eligible, 
your project must provide permanent supportive housing to eligible 
persons. Permanent supportive housing is housing in which the eligible 
person has a continuous legal right to remain in the unit and which 
provides the eligible person on-going supportive services through 
qualified providers. HUD has deemed grants in which 51 percent or more 
of HOPWA program activity funds are used (1) to provide permanent 
housing where on-going supportive services are made available through 
other resources; or (2) to provide supportive services where permanent 
housing is provided through other resources, to be grants providing 
permanent supportive housing, and thereby eligible. To establish 
eligibility, provide documentation of the following:
    (1) Certification of the Provision of Permanent Housing. You must 
certify that at least 51% of the HOPWA program activity funds awarded 
to your grant were and are being used to provide permanent supportive 
housing to eligible persons. To determine whether your grant meets this 
test, use the Permanent Supportive Housing Worksheet found in Appendix 
D and submit it with your certification. The test is based on the HOPWA 
funded program activity costs approved in the original application or, 
as amended by HUD, excluding administrative costs and project outcome 
funding. To be counted, the grant funds must be used to provide the 
housing or to provide supportive services to eligible persons living in 
permanent housing.
    (2) Documentation of Other Resources. If your project relies on 
other state, local, Federal, or private resources to provide the 
permanent housing or supportive services portion of your project, you 
must demonstrate that the other resources will continue to be available 
for that purpose throughout the term of the renewal grant. The 
continuing assistance must have been documented within the original 
application to HUD and be used in conjunction with requested HOPWA 
funds. Evidence of continuing assistance must be provided, as follows:
    (a) Permanent Housing. Permanent housing provided through other 
resources must be documented in the renewal application through a 
leveraging letter. The leveraging letter must outline the amount of 
funds for the housing to be provided, the term the funds will be made 
available, and be signed by the organization providing such housing or 
funding for the housing. See Part D, Section V, Rating Factor 4: 
Leveraging Resources, for acceptable leveraging letter examples.
    (b) Supportive Services. Supportive services provided through other 
resources must be documented through a commitment letter(s), which 
outline(s) the type of support that will be provided to clients, the 
organizations providing such support, and the length of time such 
supportive will be available. Supportive services must be available to 
clients in permanent housing throughout the term of the renewal grant.
    (3) Evidence of Permanent Client Occupancy. Except for funds used 
for short term mortgage, rent and utility payments, you must evidence 
that the client has a continuous legal right to remain in the unit or 
property and has access to on-going supportive services provided 
through qualified providers. You must include in your application a 
copy of the standard lease form used for residents of the project. It 
must be for a term of at least one year, be renewable by the tenant and 
may only be terminable by the landlord for cause.
    (B) Eligible Expiring Grant. To be eligible, the HOPWA grant must 
be an expiring grant, defined as a grant that will not have sufficient 
funds to continue activities until September 30, 2003, if not awarded 
additional Federal funds. The applicant must demonstrate to HUD that 
all funds awarded in the grant it seeks to renew will be expended 
before September 30, 2003 (as measured by reimbursements filed with HUD 
under the financial system, PAS). HUD may deobligate funding of HOPWA 
grants that have been renewed on this basis and fail to expend funding 
by September 30, 2003.
    (C) Eligible Prior Grants. To be eligible, prior grants must have 
been selected by HUD for funding under HUD's SuperNOFA process in 1998, 
1999, or 2000 and must not have been renewed through a previous 
competition. Grants selected in 1997 were required to operate and 
complete activities before the end of fiscal year 2001. Grants funded 
in 1997 are not eligible for renewal, unless the grantee documents that 
HUD approved a grant extension of the project that would allow for its 
continued operations in the Federal Fiscal Year 2002 or 2003.
    (D) Eligibility based on Achieving Measurable Progress. To be 
eligible, prior grants must have operated with measurable progress, 
defined as not evidencing weak performance. Weak performance consists 
of sanctions or unresolved monitoring findings during the active 
competitive period, from the date of publication of this NOFA until the 
selection of grants, or other HUD knowledge of unresolved problems. 
Unresolved problems may include that planned activities remain delayed 
in their implementation, a significant number of units are vacant, 
annual progress reports were not filed with HUD at by the application 
due date under this NOFA for renewals, or significant citizen 
complaints are unresolved or not responded to with justified reasons. 
Weak performance is also evident if more than 50 percent of grant funds 
remain unexpended on the first day of the month in which the 
application due date for renewals under this NOFA falls (as measured by 
reimbursements filed with HUD's financial system, PAS).
    (E) Eligible Applicant for Renewals. You are eligible to apply for 
renewal of a prior HOPWA grant only if you have executed a grant 
agreement for the project directly with HUD. If you are a project 
sponsor or subrecipient who has not signed such an agreement, you are 
not eligible to apply. HUD will reject applications submitted by 
ineligible applicants. If you have questions about your eligibility to 
apply, contact the local HUD field office.
    (F) Eligible Project Sponsors. The project should also continue 
with the same project sponsors, as documented in the prior HOPWA 
application funded by HUD. HUD will consider the merits for changing a 
project sponsor if the new sponsor evidences the capacity to enhance 
project operations or improve responsiveness to clients. Such examples 
for changing a project sponsor may be that a new project sponsor has 
greater capacity to conduct program activities, a prior project sponsor 
is no longer in operation or has merged with another entity, or HUD 
approved such a sponsor change through a grant amendment.
    (G) Ineligible Grants and Projects. You are ineligible if any of 
the following apply:
    (1) Expired Grants. Your grant expired in the Federal Fiscal Year 
2001 or earlier, i.e. all funds were expended (as measured by PAS) by 
September 30, 2001, or only a residual amount that is less than one 
percent of the amount of the prior grant remains, are not eligible to 
apply for renewal funding under this notice.
    (2) Prior Grants. Your grant was awarded under the 1992-1996 HOPWA

[[Page 14461]]

competitions. These grants were required to complete activities within 
three years of the grant agreement.
    (3) Non-Permanent Supportive Housing Projects. Projects primarily 
offering short-term, transitional, or emergency housing options are not 
eligible. Applicants with existing HOPWA projects that do not qualify 
for priority renewal under this part, may apply for continuing funding 
under Part D: Continuing and New Projects section of this program NOFA.

III. Renewable Activities and Amount of Renewals

    (A) Eligible grants will receive renewal funding on approved 
eligible activities, as follows:
    (A) Eligible Renewal Activities. The activities to be renewed must 
be on-going forms of support, such as rental assistance, short-term 
rent, mortgage and utility payments, operating costs for housing 
facilities, leasing, supportive service costs, housing information 
services, resource identification/technical assistance for community 
residences activities and administrative costs. Additionally, 
applicants must request up to $50,000 in project outcome funding as a 
part of their renewal budget request.
    (B) Ineligible Renewal Activities. Funds for acquisition, new 
construction or for rehabilitation costs will not be renewed. These 
capital development activities are not on-going or available for 
additional sites. If you wish to undertake additional capital 
development activities or to add funding for new activities, such as 
operating costs and services, you must apply under Part D.
    (C) Amount of Renewals. Renewal projects may only request renewal 
funds for continuing a previously approved project at the same level of 
housing and/or services provided in the previous grant. Proposals to 
expand or significantly alter a funded-project must apply under Part D 
for the new activities or the expanded part of the project.
    (D) Project and Activity Funding. Renewal funding must not exceed 
120% of the amount originally awarded for an activity, but may be less 
than the amount originally awarded, including any amendments affecting 
this amount that were approved by HUD prior to the publication of this 
NOFA. However, the total activity costs may not exceed $1,200,000. The 
limits on administrative costs, three percent for grantees and seven 
percent for project sponsors, continue to apply. In addition, renewal 
grantees must add up to $50,000 to the renewal award for the purpose of 
the collection of data on program outcomes.
    (E) Annual Amounts. As an applicant for renewal funding, you must 
specify the annual amount needed to continue each activity and specify 
the number of years, up to three, for your request by completing the 
HOPWA Renewal Budget Form (Appendix A). You should describe your plan 
for continued operations in the Executive Summary section of your 
application, including any significant reduction to your prior award 
level.

IV. Selection Criteria and Process

    (A) Selection Process. To the degree that funds are available, the 
Department will select for funding all renewal requests from applicants 
that meet program requirements and pass a threshold review for a need 
for renewal. In the case that the amount requested for renewal is less 
than the amount available under this notice, HUD will apply the 
remaining funds, first, to applicants under Part C and then, second, 
Part D. If the amount of the request for renewal activities is greater 
than the amount made available by this notice, HUD will select all of 
the approvable applications and allocate awards to each based on a 
prorata reduction to the amount available under this notice to ensure 
that all eligible and performing renewal projects receive funding that 
allows their continued operation.
    (B) Selection Criteria. HUD will conduct a threshold review of all 
renewal applications based on the following criteria:
    (1) Eligibility. HUD will review your eligibility to apply for 
renewal funding under this program as described above under Part B, 
Section II, Eligibility of Applicants and Grants.
    (2) Organizational Capacity. If a new project sponsor is added, HUD 
will review the project sponsor's capacity to conduct program 
activities.
    (3) Provision of Permanent Supportive Housing. HUD will review 
whether your project provides permanent supportive housing.
    (4) Need for Renewal. HUD will review your need for renewal, and 
how this project has operated with measurable progress, as described 
below in the Need for Renewal Narrative.
    (5) Standard Eligibility Threshold Requirements. HUD will also 
review your application to ensure that your project meets the standard 
eligibility threshold requirements as described in Part A, Section 
III.(A), above.
    (C) Application Contents. Applicants are requested to submit the 
following information:
    (1) Application for Federal Assistance (Form SF-424). You should 
complete Items 1 through 18 with the following additions:
    (a) Item 5--Add e-mail address of the contact person;
    (b) Item 7--The applicable letters are ``A'' for State; ``B, C, or 
D'' for a unit of local government; or ``N'' for Nonprofit;
    (c) Item 9--Enter U.S. Department of Housing and Urban Development 
or HUD if not preprinted;
    (d) Item 10--Enter 14-241 and the title ``Housing Opportunities for 
Persons With AIDS Program'' or ``HOPWA'' for the Catalogue of Federal 
Domestic Assistance;
    (e) Item 15--You must complete the budget on HUD-424M and the HOPWA 
Renewal Project Budget Form. Please make sure that both the Total 
Amount on HUD-424M and the ``Total Budget'' section on the HOPWA 
Renewal Project Budget Form are the same. In the event that the total 
budgets are in conflict, HUD will refer to the HOPWA Project Budget 
form.
    (f) Item 16--Check ``No''.
    (2) Executive Summary and Synopsis. On no more than five (5) double 
spaced pages, please provide an Executive Summary of the renewal 
project, beginning with a two to three sentence synopsis of the focus 
of your project. In the Executive Summary, please provide the name of 
the grantee and any project sponsors.
    (3) Narrative Statements. Your application must include the 
following narrative statements:
    (a) Organizational Capacity Narrative. If a new project sponsor(s) 
is added to the proposal, please describe the capacity of the project 
sponsor(s) to conduct program activities. Please provide this 
information on no more than two double-spaced typed pages. If you are 
adding more than one project sponsor, you may add two (2) additional 
pages per project sponsor. Address the extent to which the project 
sponsor(s) have the organizational resources necessary to successfully 
implement your proposed activities in a timely manner. HUD will review 
the project sponsor's ability to develop and operate your proposed 
program. With regard to new project sponsor(s), HUD will consider:
    (i) Past experience and knowledge in serving persons with HIV/AIDS 
and their families;
    (ii) Past experience and knowledge in programs similar to those 
proposed in your application;
    (iii) Experience and knowledge in monitoring and evaluating program 
performance and disseminating information on project outcomes; and
    (iv) Past experience as measured by expenditures and measurable 
progress

[[Page 14462]]

in achieving the purpose for which funds were provided.
    (b) In reviewing the elements of organizational capacity under 
paragraph (a), immediately above, HUD will consider the extent to which 
your proposal demonstrates:
    (i) The knowledge and 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 activities for which 
you are requesting funds. The project sponsor will be reviewed in terms 
of recent, relevant and successful experience of staff to undertake 
eligible program activities, including experience and knowledge in 
serving persons with HIV/AIDS and their families.
    (ii) The project sponsor's experience in managing complex 
interdisciplinary programs, especially those involving housing and 
community development programs directly relevant to the work activities 
proposed and carrying out grant management responsibilities.
    (iii) If the project sponsor received funding in previous years in 
the program area for which you are currently seeking funding, the 
sponsor's past experience will be reviewed in terms of the ability to 
attain demonstrated measurable progress in the implementation of the 
grant award. Measurable progress is defined as:
    (1) Meeting performance benchmarks, as applicable, in program 
development and operation;
    (2) Meeting project goals and objectives, such as, that the number 
of persons assisted was comparable to the number that was planned at 
the time of application;
    (3) Submitting timely performance reports; and
    (4) Expending prior funding as outlined in the prior proposal with 
no outstanding audit or monitoring issues.
    (c) Provision of Permanent Supportive Housing Narrative. On no more 
than three (3) double-spaced pages, demonstrate how your project 
provides permanent supportive housing through HOPWA and other 
resources. Include the type of assistance and number of housing units 
being provided and a description of the supportive services provided. 
Additionally, your description should outline how HOPWA and other 
funding, if applicable, work together to provide permanent supportive 
housing. In addition, you must provide the following:
    (i) Certification of the Provision of Permanent Housing. A 
certification, in the form provided in Appendix A, that at least 51% of 
the HOPWA funds awarded the Project were and will continue to be used 
to provide permanent supportive housing to eligible persons. To 
determine whether you can make this certification, complete the 
``Permanent Supportive Housing Worksheet'' provided in Appendix A.
    (ii) Documentation of Other Resources. If your project relies on 
other state, local, Federal, or private resources to provide the 
housing or supportive services, you must document that such assistance 
will be provided throughout the term of the renewal grant. For 
information on acceptable forms of evidence, see Part B, Section II 
(A)(2).
    (iii) Evidence of Permanent Housing. Except for funds used for 
short term mortgage, rent and utility payments, you must provide a copy 
of the standard lease used for residents of the project. The lease must 
be for a term of at least one year, be renewable by the tenant and may 
be terminated by the landlord for cause.
    (d) Need for Renewal Narrative. Please address the following on no 
more than three (3) double-spaced pages:
    (i) Measurable Progress. Please demonstrate the need for renewal 
funding and how this project has operated with measurable progress. 
Measurable progress is defined as not failing or not evidencing weak 
performance in:
    (1) Meeting performance benchmarks, as appropriate, in program 
development and operation;
    (2) Meeting project goals and objectives, such as, that the number 
of persons assisted is comparable to the number that was planned at the 
time of the application;
    (3) Submitting timely performance reports;
    (4) Expending over 50% of prior funding at the beginning of the 
month for the due date for renewals (as measured by reimbursements 
filed with HUD's financial system, PAS.).
    (ii) Need for Renewal Chart. Additionally, you should complete the 
HOPWA Need for Renewal Chart, which demonstrates that prior grant funds 
will expire by September 30, 2003. You must complete the HOPWA Need for 
Renewal Chart (Appendix A), as described below:

Line 1.--Indicate the amount of the prior HOPWA 
award:____________________
Line 2.--Indicate the amount expended as of 9-30-
01:____________________
Line 3.--Subtotal: subtract line 2 from line 1:____________________
Line 4.--Indicate the amount to be expended in 
FY2002:____________________ (By September 30, 2002)
Line 5.--Indicate the amount to be expended in 
FY2003:____________________ (By September 30, 2003)
Line 6.--Subtotal: subtract lines 4 and 5 from line 
3:____________________

    Notes: If the subtotal on Line 6 is greater than zero, you are 
not eligible to apply for renewal funding under this notice. Also 
note that continued use of prior funds may require that you file an 
extension request with the area CPD Field Office. Further, if the 
subtotal on Line 3 is zero or a residual amount that is less than 
one percent of the amount on Line 1, you are not eligible to apply 
for renewal funding under this notice. In reviewing the information 
that you provide in this chart, HUD will determine your eligibility 
for renewal funding based on financial records for reimbursement of 
expenditures that are filed under HUD's financial system (PAS).

    (4) HOPWA Renewal Budget. Please complete the HOPWA Renewal Budget 
Form (Appendix A). See Part B, Section III, Renewable Activities and 
Amount of Renewals, for details on renewal funding.
    (5) HOPWA Renewal Project Form (Appendix A). Complete the form 
including the following:
    (a) Project Sponsor. You must identify any organization that will 
receive HOPWA funds as a project sponsor and the amount of funds to be 
received.
    (b) Non-profit Status. If not previously submitted to HUD through 
the prior HOPWA application or if a change occurred in non-profit 
status, non-profit grantees or project sponsors must submit 
documentation verifying your non-profit status, as outlined under Part 
A, Section VII (A).
    (c) Service Areas. Your application must identify the area(s) in 
which you are proposing to offer housing and other assistance.
    (6) Statutory Certifications. The renewal application should 
include the required certifications as described under Part A, Section 
VI, Statutory Certifications.
    After your entire application is assembled, please mark each 
exhibit with an appropriately numbered tab and number every page of the 
application sequentially. Complete the HOPWA Renewal Application 
Checklist found in Appendix A to this program section of the SuperNOFA. 
Attach the HOPWA Renewal Application Checklist to the front of your 
application.

V. Additional Renewal Information

    As an applicant of renewal funding, you are encouraged to read Part 
A: General Program Requirements at the beginning of this program NOFA. 
This section outlines submission details,

[[Page 14463]]

technical assistance, and statutory requirements for using HOPWA funds.

PART C: PROJECT OUTCOMES ADD-ON FUNDING

I. Purpose

    Funds for data collection on project outcomes are made available in 
this part of the NOFA to enable all HOPWA competitive grantees to 
enhance efforts in gathering information on client and project 
accomplishments. The information to be collected is related to the 
special design features, service delivery models, or objectives of 
these grants that were selected by national competition, as Special 
Projects of National Significance or projects that serve clients in 
areas that are not eligible for HOPWA formula allocations. The use of 
these additional funds will allow your agency to enhance the design of 
outcome measures, the collection of this data, the evaluation and 
reporting on this information. In assisting HUD to better disseminate 
the results from your efforts, the project outcome reports and findings 
are expected to be of benefit to other communities in considering 
improvements in their area efforts that provide housing assistance to 
eligible persons. HUD has made funding for data collection on project 
outcomes a feature of the national HOPWA competitions in 1998-2001, 
although not all applicants requested such funding. To assist all 
recipients to enhance their evaluation efforts, this funding is again 
being made available to the prior grantees that did not receive funds 
under this budget line item in their approved application. A threshold 
review will be undertaken to select applications from current HOPWA 
competitive grants that propose responsive evaluation and dissemination 
activities. HUD will award up to $50,000 per application.

II. Eligible Applicants

    Eligible applicants are grantees that were awarded HOPWA funds 
under the FY1999 or FY2000 HOPWA competitive program and were not 
originally granted project outcome funding. Since the eligible 
applicants are limited to current recipients of HOPWA competitive 
funding, HUD will not require applicants to duplicate their original 
application as to the eligibility of the applicant, client, or 
activities. HUD is satisfied that the review that was undertaken for 
these entities in the FY1999 and FY2000 HOPWA competition, for which 
these entities were determined eligible, is sufficient for the award of 
these additional funds. Applicants will be required to submit an 
abbreviated application.

III. Threshold Review

    The Department will conduct a threshold review of all HOPWA 
grantees requesting project outcome add-on funding. Applicants failing 
to meet the threshold review requirements will not be awarded project 
outcome add-on funding. The basic threshold review will consist of the 
following criteria:
    (A) Eligibility. HUD will review your eligibility to apply for the 
project outcome add-on funding under this section, as described above 
under Eligibility.
    (B) Monitoring Review. HUD will review your current HOPWA grant to 
ensure the project is meeting applicable benchmark requirements and 
making measurable progress, defined as not evidencing weak performance. 
HUD will consider that weak performance is evidenced if there are 
sanctions or unresolved monitoring findings during the active 
competitive period, from the date of this notice until the selection of 
grants, or other HUD knowledge of unresolved problems. Unresolved 
problems may include that planned activities remain delayed in their 
implementation, a significant number of units are vacant, annual 
progress reports were not filed with HUD at the time of the due date 
for applications, or significant citizen complaints are unresolved or 
not responded to with justified reasons. Grants in default of grant 
agreement or with unresolved management issues will not be awarded 
project outcome add-on funding.
    (C) Project Outcome Plan. You may request up to $50,000 to collect 
information and report to HUD, or a third party designated by HUD, on 
project outcomes. HUD will review your plan to ensure the requested 
funding will be used to conduct eligible activities. The requested 
funding may be used for the following activities:
    (1) Defining monitoring questions that will be addressed and 
examined during the project period;
    (2) Specifying outcome measures;
    (3) Development instruments to assess project outcomes and systems 
outcomes;
    (4) Training project staff in the collection of data, including the 
preparation of the standard HOPWA Annual Progress Report to HUD;
    (5) Monitoring data collection activities to assure the submissions 
are complete and accurate, including data coding and entry;
    (6) Summarizing data collected;
    (7) Participate in HUD-sponsored collaboration and HUD-designated 
training events in order to prepare and disseminate the finding of 
reports on project accomplishments and lessons learned.
    Applicants may include an expert third-party to conduct project 
outcome/evaluation activities, but grantees are encouraged to train 
staff internally. Such training will increase the internal capacity of 
your and your partner organizations by learning how to make use of 
project outcome data in operating and adjusting assistance provided to 
clients.

IV. Application Submission

    To apply for add-on funding you must submit the following:
    (A) Application for Federal Assistance (Form SF-424). You should 
complete Items 1 through 18 with the following additions:
    (1) Item 5--Add e-mail address of the contact person (if 
applicable);
    (2) Item 7--The applicable letters are ``A'' for State; ``B, C, or 
D'' for a unit of local government; or ``N'' for Nonprofit;
    (3) Item 9--Enter U.S. Department of Housing and Urban Development 
or HUD if not preprinted
    (4) Item 10--Enter 14-241 and the title ``Housing Opportunities for 
Persons With AIDS Program'' or ``HOPWA'' for the Catalogue of Federal 
Domestic Assistance;
    (5) Item 15--You must complete the budget on HUD-424M.
    (6) Item 16--Check ``No''.
    (B) Project Narrative. A written description approximately one to 
two pages on:
    (1) The current status of your grant including how the project has 
met NOFA benchmark requirements, in compliance with the statute and 
regulations, and is making measurable progress. See Part C, Section 
III(B): Monitoring Review.
    (2) Your plan for utilizing project outcome/evaluation funding. 
Include a request to receive an amount up to $50,000 and describe your 
plan to use the additional funds through the remaining term of your 
grant. See Part C, Section III: Project Outcome Plan.

V. Award Modifications

    HUD reserves the right to modify the requested amount of project 
outcome funding based on a grantees expenditure rate as measured 
through PAS. HUD may prorate requested funding to match the percentage 
of remaining funds on any current HOPWA grant.

PART D: CONTINUING AND NEW PROJECTS

I. Program Purpose

    Funds under this program are to be used to support the Department's 
national goal of increasing the availability of decent, safe, and 
affordable housing in American

[[Page 14464]]

communities. The statutory purpose of the HOPWA program is meeting the 
housing needs of low-income persons with HIV/AIDS and their families. 
Projects selected for HOPWA awards will be funded to provide housing 
and related supportive services for eligible persons under two 
categories of assistance:
    (A) Grants for Special Projects of National Significance (SPNS) 
that, due to their innovative nature or their potential for 
replication, are likely to serve as effective models in addressing the 
housing and related supportive service needs of low-income persons 
living with HIV/AIDS and their families; and
    (B) Grants for projects that are part of Long-Term Comprehensive 
Strategies (Long-Term) which provide housing and related supportive 
services for low-income persons living with HIV/AIDS and their families 
in areas that are not eligible for HOPWA FY 2002 formula allocations 
found in Appendix C of this program section of this SuperNOFA.

II. Eligible Applicants and Activities

    (A) Eligible Applicants and Project Sponsors.
    (1) States, units of general local government, and nonprofit 
organizations may apply for SPNS grants.;
    (2) States and units of general local government may apply for 
grants for projects under the Long-Term category of grants, if proposed 
activities will serve areas that were not eligible to receive HOPWA 
formula allocations in Fiscal Year 2002. Nonprofit organizations are 
not eligible to apply directly for the Long-Term grants but may serve 
as a project sponsor for an eligible State or local government grantee.
    (3) You must identify your project sponsors in your application. 
Project Sponsors cannot be identified at a later date through such 
processes as an RFP or other selection process.
    (B) Eligible Activities.
    (1) HOPWA Activities. Eligible activities with their standards and 
limitations may be found in the HOPWA regulations at 24 CFR Part 574. A 
copy of the regulations may be downloaded from the HUD Web site at 
http://www.hud.gov or may be obtained through the application kit. You 
are encouraged to review the HOPWA regulations before seeking funding.
    (2) Additional Guidance on Use of Program Funds.
    (a) Housing Assistance. To receive the maximum points under the 
rating criteria, your project must clearly address the housing need of 
eligible persons. If you are proposing emergency or transitional 
housing assistance, your plan should include linkages to or the 
provision of permanent supportive housing.
    (b) Supportive Services. Many of the clients who will be served by 
HOPWA may need services in addition to housing. It is important that 
you design programs which enhance access to those needed services, 
including access to health-care, AIDS drug assistance, and other 
services funded through the Ryan White CARE Act or other Federal, 
state, local or private funds. While HUD recognizes that there are many 
ways to ensure that clients receive the services they need, to the 
extent possible, HUD encourages you to develop housing programs which 
do not require participation in services as a part of your or your 
project sponsor's tenancy requirements. Further, to help ensure that 
selected projects address housing related purposes, no more than 35 
percent of the proposed budget for program activities can be designated 
for supportive services costs. If HOPWA funds will be utilized to 
operate or develop a supportive service only facility through 
acquisition, rehabilitation, new construction, lease, or operating 
costs, these costs will be considered related supportive service costs 
and will be subject to the 35 percent cap on program activity costs.
    (c) Resource identification. HUD will not select under this notice 
an application that is solely directed at providing resource 
identification activities, since national HOPWA technical assistance 
funds are being made available under the Community Development 
Technical Assistance (CDTA) part of this NOFA for this purpose. You may 
propose a resource identification or technical assistance component in 
your application, if the amount of funds designated for these 
activities are less than 20 percent of the proposed program activity 
costs.
    (d) Other Activities. As authorized by the statute, you may propose 
other activities in your application, if approved by HUD. HUD will not 
approve proposals that depend on future decisions on how funds are to 
be used, for example, a proposal to establish a local request-for-
proposal process to select activities or project sponsors.
    (e) Project Outcome Funding. You must request funding to conduct 
data collection on project outcomes. The budget provides that up to 
$50,000 may be added to collect information and report to HUD on the 
outcomes of your service delivery model. You must propose data 
collection activities in your application. Project outcome activities 
include:
    (i) Defining monitoring questions that will be addressed and 
examined during the project period;
    (ii) Specifying outcome measures;
    (iii) Developing instruments to assess project outcomes and systems 
outcomes;
    (iv) Training project staff in the collection of data, including 
the preparation of the standard HOPWA Annual Progress Report to HUD;
    (v) Monitoring data collection activities to assure that 
submissions are complete and accurate, including data coding and entry;
    (vi) Summarizing data collected; and
    (vii) Participate in HUD-sponsored collaborations and HUD-
designated training events in order to prepare and disseminate the 
findings of reports on project accomplishments and lessons learned.
    Applicants may include an expert third-party to conduct project 
outcome activities, but grantees are encouraged to train staff 
internally. Such training will increase the internal capacity of your 
and your partner organizations by learning how to make use of project 
outcome data in operating and adjusting assistance provided to clients.
    (3) Maximum Grant Amounts. The maximum amount that you may receive 
is $1,200,000 for program activities (e.g., activities that directly 
benefit eligible clients), irrespective of the number of applications 
that you submit. You may also add-on up to 3 percent of this program 
activities amount for grantee administrative costs and, if your program 
involves project sponsors, add-on up to 7 percent of the amount they 
receive for their administrative costs. In addition, you must add up to 
$50,000 for project outcome activities.

III. Policy Priorities

    (A) Departmental Policy Priorities. As outlined in Section VI of 
the General Section of the SuperNOFA, HUD has identified policy 
priorities that applicants are encouraged to address through the 
proposed plans. HUD has identified two Departmental policy priorities 
as being applicable to the HOPWA program. Applications for HOPWA 
funding will receive a rating point for each applicable Departmental 
policy priority initiative addressed through the proposed program 
activities and performance goals and objectives. Applicants must 
demonstrate how these priorities will be addressed through the 
Soundness of Approach Section of the application as outlined under 
Rating Factor 3. One Rating Point will be awarded to each of the 
following addressed priorities:

[[Page 14465]]

    (1) In accordance with Section VI(C) of the General Section of the 
SuperNOFA, for applicants seeking HOPWA funds for capital development 
activities, including rehabilitation or new construction, you are 
encouraged to:
    (a) Institute visitablity standards in these activities undertaken 
with HOPWA funds. Vistiablity standards allow a person with mobility 
impairments access into the home, but do not require that all features 
be made accessible.
    (b) Incorporate universal design in the construction or 
rehabilitation of housing undertaken with HOPWA funds. Universal design 
provides housing that is usable by all without the need for adaptation 
or specialized design.
    (2) For applications in which the grantee, project sponsor(s), or 
other collaborating organizations meets the definition of a faith-based 
and other community-based, or grassroots organization as defined in 
Section VI(E) of the General Section of the SuperNOFA.
    (B) Program Policies--Target Populations. The Department has been 
advised by persons living with HIV/AIDS, HIV/AIDS housing providers, 
and national organizations, of the continuing disparity in accessing 
housing, health-care, and HIV/AIDS treatment among underserved 
populations, as well as health-related disparities that result from 
limited access to health-care, treatment and other support for persons 
living with HIV/AIDS. Applications seeking to provide housing 
assistance and related supportive services to one or more of the 
following underserved populations will receive priority consideration 
in the selection of grants. To receive this consideration, you must 
demonstrate the need of the special population in your area under the 
Need /Extent of the Problem section of your application as outlined 
under Rating Factor 2, as well as, demonstrate your response to this 
need under the Soundness of Approach section of your application as 
outlined under Rating Factor 3.
    HUD reserves the right to select the highest rated application (but 
not one that is rated at less than 70 points) that demonstrates that 
the planned HOPWA activities and activities supported by leveraged 
funds, will serve one of the following special populations of HOPWA 
eligible persons. If funds are insufficient to select one of each of 
these four special demonstration grants, HUD's selection priority will 
be in the order listed:
    (1) Persons with HIV/AIDS and their families who are living in the 
Colonias. Primarily the southwest border of the United States, the 
Colonias are home to persons living an extreme poverty and poor housing 
conditions. With the limited access to HIV/AIDS housing, services, 
healthcare, and treatment, persons living with HIV in the Colonias do 
not receive the necessary care and treatment. HUD is encouraging 
applications that strive to meet the needs of eligible clients living 
in the Colonias.--Applicants seeking funding as a Colonias must meet 
the definition of a Colonias as defined in the General Section of the 
SuperNOFA.
    (2) Youth. Stable housing is one of the most important parts of the 
safety net for persons living with HIV and AIDS and their families. 
Youth who are homeless or who run away from home are at greater risk of 
HIV infection. Youth who are infected with HIV are more likely to be 
able to follow complex treatment regimens if they have a reliable 
address where they can be reached by care providers, a safe place to 
keep medications, refrigeration for drugs that require it, and other 
necessities that many of us take for granted. Some 20,000 young people 
are still becoming infected every year, and most of them are not 
receiving the medical care they need. HUD is encouraging applications 
that strive to meet the needs of youth impacted by HIV/AIDS.
    (3) Rural Populations. A growing number of new HIV and AIDS cases 
are known to be occurring in the rural and smaller population areas of 
the country. In many areas, the limited availability of affordable and 
quality housing, the lack of specialized service providers, excessive 
travel distances to access HIV care and treatment and/or the lack of 
HIV treatment options, provide difficult challenges in providing for 
comprehensive housing and service programs for persons living with HIV/
AIDS. HUD is encouraging applications that strive to meet the special 
need of rural populations through the provision of housing and related 
supportive services geared to ensure that clients have improved access 
to necessary treatment. A model service delivery project under this 
demonstration effort must be located in and serve clients in areas that 
are outside of the metropolitan statistical areas that have populations 
of more than 500,000 persons.
    (4) Post-Incarcerated. The U.S. Department of Justice (DOJ) 
estimates that 2.1% of all state and federal prison inmates are persons 
who are living with HIV, a rate that is higher than the rest of the 
population. Due to their criminal history, many post-incarcerated 
persons have difficulty in reentering the community, especially in 
finding basic housing as well as employment, health care and other 
necessities when dealing with HIV-infection. Discharge planning actions 
can coordinate resources to help post-incarcerated persons successfully 
reintegrate into the community as productive, law abiding citizens. 
HUD, in partnership with DOJ, the U.S. Departments of Health and Human 
Services and Education, and other federal agencies, is encouraging the 
development of projects in which applicants would provide post-
incarcerated persons with linkages to permanent housing and services to 
reduce recidivism, maintain access to healthcare and HIV/AIDS 
treatment, and access to education, job training and placement 
opportunities.

IV. Program Requirements

    (A) Performance Measures and Project Goals and Objectives. You must 
use HUD's required performance measures, as detailed below, that will 
show your accomplishments in using HOPWA funds to expand the housing 
options that benefit eligible persons. You must also establish 
individual goals and objectives for your proposal. They should be 
specific, achievable and measured within set time periods. Your 
individual goals and objectives should result in possible findings on 
the successes and lessons learned in undertaking your activities that 
would be shared with other communities. In designing your proposal, 
please use the following:
    (1) Required HOPWA national performance goal. Your proposed 
activities must increase the amount of housing assistance and related 
supportive services to eligible persons to enable them to achieve 
housing stability and access to health-care and related supportive 
services.
    (2) Measurements of Performance. After each year of operation, you 
must report on the number of housing units that were provided with 
HOPWA and other funding, and number of additional persons served with 
related supportive services. HUD will measure your progress and 
achievements in evaluating your performance on your HOPWA grant.
    (B) Descriptive Budget. You must provide a description of each of 
your requested budget items and how the funds will be used, including 
each amount of requested funding for you and your project sponsors, and 
a description of how each line item will relate to eligible HOPWA 
activities as defined in Part D, Section II (B). You are expected to 
match requested funds to

[[Page 14466]]

specific goals and objectives in your project. See Appendix D.

V. Application Selection Process

    (A) HOPWA Application Threshold Reviews. HUD will review your HOPWA 
application to ensure that:
    (1) Your application meets the threshold requirements found in 
Section II of the General Section of the SuperNOFA.
    (2) Your application contains all required certifications as 
outlined in Part A, Section VI: Statutory Certifications.
    (B) Procedures for the Rating of Applications. HUD will rate all 
HOPWA applications based on the factors listed below.
    The points awarded for the factors total 100. In addition, bonus 
points for projects in RC/EZ/EC areas and by the City of Dallas may be 
available under Section III(C) of the General Section of this SuperNOFA 
apply to this competition. After rating, all applications will be 
placed in the rank order of their final score for selection within the 
appropriate category of assistance.

Rating Factor 1: Capacity of the Applicant and Project Sponsors and 
Relevant Organizational Experience (20 Points)

    Address the following factor on not more than five (5) double-
spaced, typed pages. For each project sponsor, you may add two 
additional pages. This factor addresses the extent to which you and any 
project sponsor have the organizational resources necessary to 
successfully implement your proposed activities in a timely manner. If 
you will be using project sponsor(s) in your project, you must identify 
each project sponsor in your application. HUD will award up to 20 
points based on your and any project sponsor's ability to develop and 
operate your proposed program in relation to which entity is carrying 
out an activity.
    (a) With regard to both you and any project sponsor(s), HUD will 
consider:
    (i) Past experience and knowledge in serving persons with HIV/AIDS 
and their families;
    (ii) Past experience and knowledge in programs similar to those 
proposed in your application;
    (iii) Experience and knowledge in monitoring and evaluating program 
performance and disseminating information on project outcomes; and
    (iv) Past experience as measured by expenditures and measurable 
progress in achieving the purpose for which funds were provided.
    (b) In reviewing the elements of paragraph (1), HUD will consider:
    (i) The knowledge and 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 activities for which 
you are requesting funds. You and any project sponsor will be judged in 
terms of recent, relevant and successful experience of staff in 
undertaking eligible program activities;
    (ii) Your and/or the project sponsor's experience in managing 
complex interdisciplinary programs, especially those involving housing 
and community development programs directly relevant to the work 
activities proposed and carrying out grant management responsibilities.
    (iii) If you and/or the project sponsor received funding in 
previous years in the program area for which you are currently seeking 
funding, you and your project sponsor's past experience will be 
evaluated in terms of the ability to attain demonstrated measurable 
progress in the implementation of your grant awards. Measurable 
progress is defined as:
    (1) Meeting applicable performance benchmarks in program 
development and operation;
    (2) Meeting project goals and objectives, such as, that the number 
of persons assisted was comparable to the number that was planned at 
the time of application;
    (3) Submitting timely performance reports; and
    (4) Expending prior funding as outlined in the prior proposal with 
no outstanding audit or monitoring issues.

Rating Factor 2: Need/Extent of the Problem (20 Points)

    Address this factor on not more than five (5) double-spaced, typed 
pages. Up to 20 points will be awarded for this factor.
    (a) AIDS Cases--(5 Points). Up to five of these points will be 
determined by the relative numbers of AIDS cases and per capita AIDS 
incidence within your service area, in metropolitan areas of over 
500,000 population and in areas of a State outside of these 
metropolitan areas, in the State for proposals involving state-wide 
activities, and in the nation for proposals involving nation-wide 
activities. Your application must define a planned service area. To 
determine these points, HUD will obtain AIDS surveillance information 
from the Director of the Centers for Disease Control and Prevention.
    (b) Description of Unmet Need--(5 Points). Up to five of these 
points will be awarded based on demonstration of need for funding 
eligible activities in the area to be served. To receive the maximum 
points, demonstrate that substantial housing and related service needs 
of eligible persons and/or the target population, as outlined in Part 
D, Section III (B), are not being met in the area and that reliable 
statistics and data sources (i.e. Census, health department statistics, 
research, scientific studies, and Needs Analysis of Consolidated Plan 
and/or Continuum of Care documentation) show this unmet need. To 
receive the maximum points, show that your jurisdiction's Consolidated 
Plan and Analysis of Impediments to Fair Housing Choice, Continuum of 
Care Homeless Assistance plans (if homeless persons are to be served), 
and comprehensive HIV/AIDS housing plans are applicable to your project 
and identify the level of the problem and the urgency of the need.
    (i) If you apply for a SPNS grant, you must describe a need that is 
not currently addressed by other projects or programs in the area. Also 
describe any unresolved or emerging issues and the need to provide new 
or alternative forms of assistance that, if provided, would enhance 
your area's programs for housing and related care for persons living 
with HIV/AIDS and their families; or
    (ii) If you apply for a project that is part of a Long-Term 
Comprehensive Strategy in an area that does not receive a HOPWA formula 
allocation, you must describe the need that is not currently addressed 
by other projects or programs in the area. You must also describe any 
unresolved or emerging issues and/or the need to provide forms of 
assistance that enhance the community's strategy for providing housing 
and related services to eligible persons.
    (iii) HUD will evaluate your presentation of statistics and data 
sources based on soundness, reliability and the specificity of 
information to the target population and the area to be served. If you 
propose to serve a subpopulation of eligible persons on the basis that 
these persons have been traditionally and are currently underserved 
(e.g., persons with multiple disabilities including AIDS), your 
application must document the need for this targeted effort through 
statistics and data sources that support the need of this population in 
your service area.
    (c) Need in Non-Formula Areas and Need for Renewals--(5 Points).
    Within the points available under this criterion, HUD will award 
points under the following two circumstances:
    (i) Five points will be awarded, if your SPNS application proposes 
to serve clients in an area that does not

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qualify for HOPWA formula allocation; or
    (ii) Up to five points will be awarded, if you propose to continue 
the operations of HOPWA funded activities that have been supported by 
HOPWA competitive funds in years immediately prior to this application 
and that have operated with measurable success. To receive the maximum 
points, you must describe what unmet need would result if funding for 
the project was not renewed from this Federal funding and describe your 
efforts to secure other sources of funding to continue this project. 
You must also show that you operated with measurable progress and your 
previous HOPWA-funded activities have been carried out and are nearing 
completion of the planned activities in a timely manner. Measurable 
progress is defined as:
    (1) Meeting performance benchmarks, as appropriate, in program 
development and operation;
    (2) Meeting project goals and objectives, such as, that the number 
of persons assisted is comparable to the number that was planned at the 
time of application;
    (3) Submitting timely performance reports; and
    (4) Expending 50% of prior funding by the application due date of 
this program section of the SuperNOFA.
    (d) Highest Rated in a State or the Nation (for nationwide 
activities)--(5 Points). After rating of all other factors, HUD will 
award five of the points to help achieve greater geographic diversity 
in funding activities within a variety of States. Under this criterion, 
five points will be awarded to the highest rated SPNS and Long-term 
applications in each State and to the highest rated SPNS application 
among the applications that propose nationwide activities.

Rating Factor 3: Soundness of Approach: Responsiveness and Model 
Qualities (40 Points)

    Address the factor on not more than fifteen (15) double-spaced, 
typed pages. Include the HOPWA Budget Forms found in Appendix D. This 
factor addresses the method by which your plan meets your identified 
needs. HUD will award up to 40 points based on the extent to which your 
plan evidences a sound approach in its responsiveness to eligible 
persons and how it offers model qualities in providing supportive 
housing opportunities for eligible persons, when compared to other 
applications and projects funded under previous HOPWA competitions.
    (a) Responsiveness--(20 Points). HUD will award up to 20 points 
based on how well your project plan responds to the unmet needs of the 
eligible population, including target populations outlined under Part 
D, Section III, and establishes specific goals and objectives for 
providing housing and related supportive services eligible persons. To 
receive the highest ratings in this element, describe:
    (i) Your project's goals and objectives. Demonstrate how you will 
measure how the project is performing under the required HOPWA 
performance measures. Review Part D, Section IV (A), Performance 
Measures and Project Goals and Objectives of this NOFA. To receive the 
highest rating your goals and objectives must address:
    (1) The projected numbers of persons to be served through each 
activity for each year of your program;
    (2) The projected number of housing units by type to be provided 
through your project by year over a 3-year period, and;
    (3) The specific organizations that will provide housing, 
supportive services, or other activities either through an agreement 
with your organization or through funding from your project.
    (ii) Your plans for accomplishing these goals and objectives. 
Demonstrate your methodologies for achieving these goals and objectives 
by describing the project plan. Include a description of the 
coordination, roles, and responsibilities of your project sponsors and/
or other organizations within your project plan to conduct eligible 
activities. Your plan must describe the eligible activities you intend 
to conduct and how those activities will benefit eligible clients. To 
receive the maximum points your project plan you must explain and 
include the eligible activities that you or your project sponsor will 
conduct in meeting the housing needs of eligible persons. A description 
may include such activities as:
    (1) Housing Activities. You must demonstrate how the housing needs 
of clients will be addressed through one or more of the HOPWA eligible 
activities or through other resources and how such activities 
coordinate with other housing assistance. Your plan for housing 
assistance must include:
    (a) Linkages to or the provision of permanent supportive housing. 
You must describe how clients will access permanent housing options 
through your project or through linkages with other community 
providers, even if the focus of your project is emergency or 
transitional assistance.
    (b) Description of housing sites. You must describe any appropriate 
site features, including accessibility, visitability, and access to 
other community amenities associated with your project.
    (c) A development and operations plan. You must describe a 
development and/or operations plan for the housing assistance you are 
proposing to provide. For rental assistance programs, this will include 
your plan for providing rental assistance, proposed housing sites, and 
length of stay. If you are proposing to use HOPWA funds for 
acquisition, rehabilitation, or new construction activities your plan 
must also document that you have secured funding sources (if 
applicable), identified a site(s), and must provide rehabilitation/
construction timelines.
    (2) Supportive Service Activities. You must describe how the 
supportive service needs of clients will be addressed from HOPWA or 
other sources by describing the type of supportive services that will 
be offered directly by the program and/or how services will be accessed 
and coordinated from other sources. Explain the connection of these 
services in helping clients obtain and/or maintain housing. You are 
reminded that supportive service costs may represent no more than 35 
percent of your program activity costs. In describing your supportive 
services delivery plan, explain:
    (a) How clients will have access to mainstream programs that offer 
healthcare and other supportive services, as discussed in Part A, 
Section VI (C);
    (b) How clients will participate in decision making in the project 
operation and management;
    (c) Your plan for delivering supportive services through a 
comprehensive plan. If you plan on using HOPWA funds to acquire, 
rehabilitate, lease, or operate a supportive service only facility, you 
must describe your development and operations plan for that facility. 
Include in the plan how such a facility relates to the program purpose 
of housing eligible clients and document that other funding has been 
secured, if applicable, a site has been identified, and provide 
rehabilitation/construction timelines.
    (3) Additional Activities. You must describe your plan for 
utilizing other requested HOPWA funds (described at 24 CFR 574.300 
(b)). Explain how these activities will be integrated to your overall 
plan in the provision of housing and related supportive services to 
eligible clients.
    (4) Other Activities. As authorized by statute and in addition to 
the activities

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at 24 CFR 574.300(b), you may propose other activities in your 
application.
    (b) Model Qualities--(20 Points). HUD will award up to 20 points 
based on your service delivery plan and how well it addresses the 
ongoing housing and supportive service needs within a replicable 
operational framework. To receive the maximum points, you must offer a 
plan that describes the following:
    (i) Policy Priorities. Describe how you will meet the Departmental 
policy priorities emphasized in Part D, Section III of this NOFA.
    (ii) Operational Procedures. Describe your outreach, intake, and 
assessment procedures, as well as how clients will link to services and 
(if necessary) housing funded from other sources and how your project 
provides for consistent monitoring of all clients. Include a 
description of how a client moves through the program from intake, 
assessment, service delivery, and finally to termination or linkage to 
other services.
    (iii) Project Management and Oversight. Describe your method for 
managing and overseeing your, your project sponsors'', and any other 
organizations activities. Identify staff members who are responsible 
for management and oversight of the project and activity 
implementation.
    (iv) Evaluation. Evaluation is defined as your method for 
collecting data on HUD program measures and your project's goals and 
objectives. HUD will assess your method for reviewing this data and 
your basis for making relative adjustments based on outcomes and 
lessons learned. Your evaluation plan must include how you propose to 
utilize the project outcome funding, as described in Part D, Section II 
(B)(2)(v). HUD will award a greater number of points for programs which 
will serve as a national model and which provide for the dissemination 
of information from the lessons learned from your proposed activities.
    (v) Innovative Qualities. If you propose a new program, or an 
alternative method of meeting the needs of your clients, describe the 
innovative qualities of your activities. HUD will rate your 
applications higher if you provide strong evidence that your methods 
will yield qualities that will benefit or expand knowledge in serving 
eligible persons, when compared to other applications and HOPWA 
projects funded in the past. In order to learn about innovative 
qualities of previously funded and on-going HOPWA projects, please 
review the HOPWA Executive Summaries for all HOPWA formula and 
competitive grantees at http://www.hud.gov.
    (vi) Descriptive Budget. HUD will review your budget in describing:
    (1) How each amount of requested funding for you and your project 
sponsors will be used;
    (2) How each line item will relate to eligible HOPWA activities as 
defined in Part D, Section II (B), of this program section of the 
SuperNOFA; and
    (3) How specific line items match with the goals and objectives in 
your project. You must complete the HOPWA Project Budget Form as 
described in Part B, Section VI (E). Please note that only the forms 
are required and an additional narrative under the Model Qualities 
Section is not required.

Rating Factor 4: Leveraging Resources (10 Points)

    This factor addresses your ability to secure community resources 
that can be combined with HUD's funds to achieve program purposes. HUD 
will award up to 10 points based on the extent to which resources from 
other public or private sources have been committed at the time of 
application, to support your project. To receive the maximum points, 
you must evidence commitments of leveraged resources that match or 
exceed the amount of HOPWA funds that are requested, but not including 
funds designated for data collection.
    (a) In establishing leveraging, HUD will not consider other HOPWA-
funded activities, entitlement benefits inuring to eligible persons, or 
conditioned commitments that depend on future fund-raising or actions. 
In assessing the use of acceptable leveraged resources, HUD will 
consider the likelihood that State and local resources will be 
available and continue during the operating period of your grant. In 
evaluating this factor HUD will also consider:
    (i) The extent to which you document leveraged resources, such as 
funding and/or in-kind services from governmental entities, private 
organizations, resident management organizations, educational 
institutions, or other entities to achieve the purposes of the project 
for which you are requesting HOPWA funds;
    (ii) The extent to which the documented resources evidence that you 
have partnered with other entities to make more effective use of 
available public or private resources. Partnership arrangements may 
include funding or in-kind services from local governments or 
government agencies, nonprofit or for-profit entities, private 
organizations, educational institutions, or other entities that are 
willing to partner with you on proposed activities, or partnering with 
other program funding recipients to make more effective use of 
resources within the geographic area covered by your award.
    (b) To receive highest leveraging points, you must document the 
cash value of leveraged resources pledged to your project(s). The 
commitment of resources will be evidenced by use the appropriate 
language as described below:
    (i) Applicant or Third Party Cash Resources. If this proposal is 
funded, (applicant name or third party name) commits $(amount) (of its 
own funds, if applicant, or to applicant name, if third party) for 
(type of activity) to be made available to the HOPWA program. These 
funds will be available from (date) to (date). (Signature and Title of 
authorized representative and date).
    (ii) Non-Cash Resources. If this proposal is funded, 
(organization's name) commits to make available (type of resource) 
valued at $(amount) to the HOPWA program proposed by (applicant name). 
These resources will be made available to the HOPWA program from (date) 
to (date). (Signature and Title of authorized representative and date) 
The donation of a third party professional service should be valued at 
the professional's customary charge. The value of materials to be 
contributed to the project by a third party or by the applicant may 
also be counted as leveraging.
    (iii) Volunteer Time. If this proposal is funded, (name of the 
organization or of self), commits to provide (number of hours) of 
volunteer time from (date) to (date) to provide (type of activity) to 
the HOPWA program proposed by (applicant name). The total value of 
these services, based on $10.00 per hour, is $(amount). (Signature and 
Title, and date) Time to be contributed to the project by volunteers 
should be valued at $10.00 per hour. In the case of individuals 
volunteering their time directly to the applicant, the applicant should 
list itself as the organization.
    (iv) Contribution of a Building. If this proposal is funded, 
(applicant name) pledges the building at (site address) to the HOPWA 
program. The building has a fair market value of $(amount). A licensed 
independent real estate appraiser made this appraisal, which is based 
on comparable properties in the area. (Signature of applicants 
authorized representative and date) Ownership of a building or portion 
of a building to be used in the project may be counted as leveraging. 
The fair market value of the building or portion of the building being 
contributed may be counted. Do not send an appraisal to HUD, but keep 
documentation of fair market value on file. The contribution of land 
(as a

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leveraged resource for new construction) should be treated the same as 
contribution of a building. You will need to keep documentation of the 
fair market value on file, particularly if it is improved land and you 
wish to include the value of the improvements in the contribution.
    (v) Contribution of a Building to be Acquired with HOPWA Funds. If 
this proposal is funded, (applicant name) commits the building at (site 
address) for the HOPWA program. The building has a fair market value of 
$(amount). A licensed independent real estate appraiser made this 
appraisal, which is based on comparable properties in the area. The 
HOPWA request for the building is $(amount). Therefore, the 
contribution is the difference between the fair market value and the 
HOPWA request, or $(amount). (Signature of applicants authorized 
representative and date) The difference between the documented fair 
market value and the portion paid for with HOPWA funds may be counted 
as leveraging. Maintain documentation of fair rental value on file.
    (vi) Contribution of Leasehold Interest. If this proposal is 
funded, (applicant name) commits the leasehold interest at (site 
address) for the HOPWA program. The fair rental value of this site is 
$(amount) annually, and at constant value will amount to $(amount) over 
(term of the lease, up to three years). An appropriate independent 
third party made this appraisal, which is based on comparable 
properties in the area. The total leasing cost over the term of the 
lease to be paid with HOPWA funds is $(amount). Therefore, the 
contribution is the difference between the HOPWA leasing cost and the 
fair rental value, or $(amount). (Signature of applicants authorized 
representative and date) The difference between the fair rental value 
(for a term up to three years) and the cost of the lease to be paid for 
with HOPWA funds may be counted as leveraging.

Factor 5: Coordination, Self-Sufficiency and Sustainability 
(Maximum 10 Points)

    Address the factor on not more than five (5) double-spaced, typed 
pages. Coordination involves efforts that are taken outside of your 
project to help clients become self-sufficient and that enable the 
project to become sustainable from other resources. HUD will award up 
to 10 points based on your proposal's coordination, self-sufficiency, 
and sustainability efforts.
    (a) Coordination. You should demonstrate the extent to which you 
have coordinated your activities and the activities of your project 
sponsors with other organizations that are not directly participating 
in your proposed work activities. This involves organizations for which 
you share common goals and objectives. You will be rated on the extent 
to which you demonstrate you have:
    (i) Coordinated your proposed activities with those of other groups 
or organizations within the community or region prior to submission, to 
best complement, support, and coordinate all housing and supportive 
service activities;
    (ii) Developed your project through consultation with other 
organizations, groups, or consumers involved with area HIV/AIDS housing 
and service planning, including Ryan White Planning and other Federal 
planning. You should demonstrate that the project is linked or promotes 
participation in HUD's planning processes, such as the jurisdiction's 
Consolidated Planning process or the community's Continuum of Care 
Homeless Assistance planning process (if homeless persons are to be 
served by proposed activities);
    (iii) Coordination with other HUD-funded programs outside of the 
Consolidated Planning Process, for example accessing additional housing 
resources through a local public housing authority;
    (iv) Coordination with mainstream resources including private, 
other public, and mainstream services and housing programs. To achieve 
the maximum points, applicants must evidence explicit agency strategies 
to coordinate client assistance with mainstream health, social services 
and employment programs for which eligible clients may benefit.
    (b) Self-sufficiency. Demonstrate the extent to which your 
application implements practical solutions within the grant term to 
assist clients in achieving independent living, economic empowerment, 
educational opportunities, housing choice, or improved living 
environments. This may be demonstrated through such efforts as ensuring 
access to permanent, safe, decent, and affordable housing for eligible 
clients, educational programs designed to return clients to work, or 
through independent living services for clients.
    (c) Sustainability. Demonstrate the extent to which your program 
exhibits the potential to be financially self-sustaining by decreasing 
dependence on Federal funding and relying more on state, local and 
private funding so your activities can be continued after your grant 
award period is completed. In order to ensure that resources are used 
to their maximum effect within the community, it is important that you 
demonstrate involvement in other state, local, and private funding 
arenas. In evaluating this factor HUD will consider the extent you 
have:
    (i) Developed linkages, or specific steps you will take to develop 
linkages with other activities, programs or projects through meetings, 
information networks, planning processes, or other mechanisms, to 
coordinate your activities so solutions are holistic and comprehensive 
with other state, local, or private entities;
    (ii) Demonstrate how planned activities may be sustained through 
other resources in order to provide a comprehensive and responsive 
range of housing and related supportive services to meet the changing 
needs of persons with HIV/AIDS.
    (C) Selection of HOPWA Awards. Whether your HOPWA application is 
conditionally selected will depend on your overall ranking compared to 
other applications within each of the two categories of assistance. HUD 
will select applications in rank order in each category of assistance 
to the extent that funds are available, except as outlined in Part D, 
Section III (B):
    Policy Priorities, where HUD reserves the right to select 
applications that target the priority eligible populations. In 
allocating amounts to the categories of assistance, HUD reserves the 
right to ensure that sufficient funds are available for the selection 
of at least one application with the highest ranking under each 
category of assistance. HUD will not select an application that is 
rated below 70 points.
    In the event of a tie between applications in a category of 
assistance, HUD reserves the right to break the tie by selecting the 
proposal that was scored higher on a rating criterion in the following 
order: Soundness of Approach: Responsiveness and Model Qualities 
(Rating Factor 3); Comprehensiveness and Coordination (Rating Factor 
5); the Capacity of the Applicant and Relevant Organizational 
Experience (Rating Factor 1); the Need/Extent of the Problem (Rating 
Factor 2); and Leveraging Resources (Rating Factor 4).
    HUD will notify you in writing if you are conditionally selected. 
You may be notified subsequently of any modification made by HUD, the 
additional project information necessary for grant award, and the date 
of deadline for submission of the required information. In the event 
that a conditionally-selected applicant is unable to meet any 
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[[Page 14470]]

award within the specified time, HUD reserves the right not to award 
funds to the applicant, but use those funds to make awards to the next 
highest rated applications in this competition; to restore amounts to a 
funding request that had been reduced in this competition; or to add 
amounts to funds available for the next competition.

VI. Application Submission Requirements

    Your HOPWA application must contain the following items in the 
order shown below. The standard forms can be found in Appendix B to the 
General Section of the SuperNOFA. The remaining application items that 
are forms (i.e., excluding such items as narratives, letters) can be 
found as Appendix D to this program section of the SuperNOFA. The items 
are as follows:
    (A) Application for Federal Assistance (Form SF-424). You should 
complete Items 1 through 18 with the following additions:
    (1) Item 5--Add e-mail address of the contact person (if 
applicable);
    (2) Item 7--The applicable letters are ``A'' for State; ``B, C, or 
D'' for a unit of local government; or ``N'' for Nonprofit;
    (3) Item 9--Enter U.S. Department of Housing and Urban Development 
or HUD if not preprinted;
    (4) Item 10--Enter 14-241 and the title ``Housing Opportunities for 
Persons With AIDS Program'' or ``HOPWA'' for the Catalogue of Federal 
Domestic Assistance;
    (5) Item 15--You must complete the budget on HUD-424M and the HOPWA 
Project Budget Form. Please make sure that both the Total Amount on 
HUD-424M and the ``Total Budget'' section on the HOPWA Project Budget 
Form are the same. In the event that the total budgets are in conflict, 
HUD will refer to the HOPWA Project Budget form.
    (6) Item 16--Check ``No''.
    (B) Executive Summary and Synopsis. Please provide a two to three 
sentence synopsis of the main focus or features of your proposed 
program, followed by an Executive Summary of the proposed project on no 
more than two double-spaced, typed pages. HUD will use this as a 
summary if your project is chosen for funding. In your abstract, 
include your organization's name and the name of any project sponsor.
    (C) Narrative Statements. Your application must include narrative 
statements that address each of the Factors for Award found at Part D, 
Section V (B) of this program section of the SuperNOFA. Respond to each 
factor within the stated page limits and do not use a font size smaller 
than 12 point. Applications failing to submit any of the narrative 
statements will be rated as zero during the rating process.
    (D) Proposed HOPWA Project Information Form. See Appendix D in 
program section of SuperNOFA. Complete the form including the 
following:
    (1) Project Sponsors. You must identify any organization that will 
receive HOPWA funds as a project sponsor and the amount of funds to be 
received.
    (2) Non-profit Status. Non-profit grantees or project sponsors must 
submit documentation verifying your non-profit status, as outlined in 
Part A, Section VI (A).
    (3) Service Areas. Your application must identify the area(s) in 
which you are proposing to offer housing and other assistance.
    (E) Budget. You must complete the HOPWA Project Budget Form found 
in Appendix D of this program section of the SuperNOFA, which lists the 
amount of requested HOPWA funds designated for each type of HOPWA-
eligible activity. For more information, please see Part D, Section IV 
(B) and Rating Factor 3, Soundness of Approach.
    (F) Statutory Certifications. You must complete the statutory 
certifications as outlined in Part A, Section VI section of this 
program NOFA.
    After your entire application is assembled, please mark each 
exhibit with an appropriately numbered tab and number every page of the 
application sequentially. Complete the HOPWA Application Checklist 
found in Appendix D to this program section of the SuperNOFA. Attach 
the HOPWA Application Checklist to the front of your application.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14511]]



FUNDING AVAILABILITY FOR MAINSTREAM HOUSING OPPORTUNITIES FOR 
PERSONS WITH DISABILITIES (MAINSTREAM PROGRAM)

PROGRAM OVERVIEW

    Purpose of the Program. The purpose of this program is to provide 
vouchers under the Housing Choice Voucher Program to enable persons 
with disabilities (elderly and non-elderly) to access affordable 
private housing.
    Available Funds. Approximately $53.9 million in five-year budget 
authority, derived from Section 811 funding, for approximately 1,900 
vouchers is available to public housing agencies (PHAs) and nonprofit 
disability organizations.
    Applications are also being invited from PHAs for one-year budget 
authority funding (non-Section 811 funds) that HUD anticipates may be 
available for the Mainstream Program in FY 2002. Specifically, any 
portion of the $40 million in one-year budget authority contained in FY 
2002 appropriations related to designated housing plans; preferences in 
occupancy for the elderly in certain types of Section 8 project-based 
developments; or restrictions in occupancy to elderly only in certain 
types of Section 202, Section 221(d)(3), or Section 236 developments 
remaining unobligated and not needed to fund approvable applications 
under these programs will be added to the approximately $53.9 million 
in five-year budget authority available under this announcement. This 
one-year budget authority will be used only for non-elderly disabled 
families.
    See section II(A) of this funding announcement which fully 
addresses (1) the source of the $53.9 million in five-year budget 
authority appropriated by Congress for FY 2002 under Section 811 of the 
Cranston-Gonzalez National Affordable Housing Act (NAHA), and (2) the 
source of the non-Section 811 funds comprising one-year budget 
authority which may also be available under this funding announcement. 
All future references in this funding announcement to five-year budget 
authority or one-year budget authority, respectively, are based upon 
these funding sources.
    Eligible Applicants. PHAs and nonprofit disability organizations 
that provide services to disabled families are eligible to apply for 
the $53.9 million in five-year budget authority for applications 
submitted in FY 2002. While PHAs and nonprofit disability organizations 
are eligible to apply for the $53.9 million in five-year budget 
authority available under this announcement, only PHAs are eligible to 
apply for the one-year budget authority that may also be available 
under this announcement (see Section II(A) of this announcement 
regarding the possibility of one-year funding also being available for 
the Mainstream Program). PHAs or nonprofit disability organizations 
that fall into any of the categories in section VII(B)(2) of this 
announcement are ineligible to have an application funded under this 
announcement. Indian Housing Authorities (IHAs), Indian tribes and 
their tribally designated housing entities are not eligible to apply 
because the Native American Housing Assistance and Self-Determination 
Act of 1996, does not allow HUD to enter into new housing choice 
voucher annual contributions contracts (ACC) with IHAs after September 
30, 1997.
    The vouchers that HUD will provide under this announcement must be 
made available to eligible disabled families regardless of their type 
of disability. (See the definition of disabled family in Section IV(E) 
of this announcement.) The Mainstream Program vouchers must not be 
issued by the administering agency on the basis of any preference 
system favoring any particular type of disability over another, nor 
shall the vouchers be issued solely on the basis of an administering 
agency's waiting list which is based on that agency's having heretofore 
served only certain types of disabled persons. The Housing Choice 
Voucher Program regulations provide at 24 CFR 982.207(c) that a PHA may 
give preference for admission of families that include a person with 
disabilities; however, the PHA may not give preference for admission of 
persons with a specific disability. This regulatory requirement is also 
applicable to nonprofit disability organizations who receive funding 
under this announcement as such organizations must comply with the 
regulatory requirements applicable to the Housing Choice Voucher 
Program.
    Application Deadline. July 22, 2002.
    Match. None.

Additional Information

    If you are interested in applying for funding under the Mainstream 
Program, please review carefully the General Section of this SuperNOFA 
and the following additional information.

I. Application Due Date, Application Kits, Further Information and 
Technical Assistance

    Application Due Date. Submit your completed application (an 
original and one copy) to HUD on or before July 22, 2002. See the 
paragraphs titled ``Mailed Applications'' and ``Applications Sent by 
Overnight/Express Mail Delivery'' in section I of this funding 
announcement regarding the specific time on the application due date by 
which applications are to be submitted. This application deadline date 
is firm. In the interest of fairness to all competing PHAs and 
nonprofit disability organizations, HUD will not consider any 
application that is received after the application deadline. Applicants 
should take this practice into account and make early submission of 
their materials to avoid any risk of loss of eligibility brought about 
by unanticipated delays or other delivery-related problems. HUD will 
not accept, at any time during the competition under this funding 
announcement, application materials sent via facsimile (FAX) 
transmission.
    Address for Submitting Applications. Your completed application 
consists of one original and one copy. Submit your original application 
and one copy to: Michael Diggs, Director, Grants Management Center, 
Department of Housing and Urban Development, 501 School Street, SW, 
Suite 800, Washington, DC 20024. The Grants Management Center (GMC) is 
the official place of receipt for all applications in response to this 
announcement of funding availability. Applications not submitted to the 
GMC will not be considered. A copy of the application is not required 
to be submitted to the local HUD Field Office. For ease of reference, 
the term ``local HUD Field Office'' will be used in this announcement 
to mean the local HUD Field Office Hub and the local HUD Field Office 
Program Center. A listing of HUD Field Offices is attached to the 
General Section of this SuperNOFA.
    New Security Procedures. In response to the terrorist attacks in 
September 2001, HUD has implemented new security procedures that impact 
on application submission procedures. Please read the following 
instructions carefully and completely. HUD will not accept hand 
delivered applications. Applications sent to Headquarters may be mailed 
using the United States Postal Service (USPS) or may be shipped via the 
following delivery services: United Parcel Service (UPS), FedEx, DHL, 
or Falcon Carrier. No other delivery services are permitted into HUD 
Headquarters without escort. You must, therefore, use one of the four 
carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received by the GMC on or within fifteen 
(15) days

[[Page 14512]]

of the application due date. All applicants must obtain and save a 
Certificate of Mailing showing the date when you submitted your 
application to the United States Postal Service (USPS). The Certificate 
of Mailing will be your documentary evidence that your application was 
timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, DHL, 
FedEx, and Falcon Carrier. Delivery by these services must be made 
during HUD's Headquarters business hours, between 8:30 AM and 5:30 PM 
Eastern Time, Monday to Friday. If these companies do not service your 
area, you should submit your application via the United States Postal 
Service.
    For Application Kits. An application kit is not necessary for 
submitting an application in response to this announcement. This 
announcement contains all the information necessary for the submission 
of your application for voucher funding for the Mainstream Program.
    For Further Information and Technical Assistance. Prior to the 
application due date, you may contact George C. Hendrickson, Housing 
Program Specialist, Room 4216, Office of Public and Assisted Housing 
Delivery, Department of Housing and Urban Development, 451 Seventh 
Street, SW, Washington, DC 20410; telephone (202) 708-1872, ext. 4064. 
Subsequent to application submission, you may contact the Grants 
Management Center at (202) 358-0221. (These are not toll-free numbers.) 
Persons with hearing or speech impairments may access these numbers via 
TTY (text telephone) by calling the Federal Information Relay Service 
at 1-800-877-8339 (this is a toll-free number).
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of an application. For more information about the date and 
time of this broadcast, you should consult the HUD Web site at 
www.hud.gov.

II. Amount Allocated

    (A) Available Funding for Mainstream Program. Approximately $53.9 
million in five-year funding is available for approximately 1,900 
vouchers. This allocation is consistent with the FY 2002 HUD 
Appropriations Act which provides that the Secretary of HUD may 
designate up to 25 percent of the amounts earmarked for supportive 
housing for persons with disabilities, under section 811 of the 
Cranston-Gonzalez National Affordable Housing Act (NAHA), for tenant-
based assistance. The $53.9 million in five-year budget authority made 
available to applicants under this Mainstream Program funding 
announcement does not exceed 25 percent of the $240.9 million made 
available for the Section 811 Program under the FY 2002 HUD 
Appropriations Act.
    All of the approximately $53.9 million in funding is for use in the 
housing of elderly and non-elderly disabled families. HUD will 
supplement the $53.9 million of five-year budget authority with 
additional funding of up to as much as $40 million in one-year budget 
authority initially earmarked for (1) housing choice vouchers for non-
elderly disabled families in support of designated housing plans, and 
(2) non-elderly disabled families who are not currently receiving 
housing assistance in certain Section 8 project-based developments due 
to the owners establishing preferences for the admission of elderly 
families, or non-elderly disabled families not being housed in certain 
section 202, section 221(d)(3) and section 236 developments (or 
portions thereof) where the owners have restricted occupancy to elderly 
families. The FY 2002 HUD Appropriations Act states that to the extent 
the Secretary determines that the FY 2002 appropriations related to 
designated housing plans and certain types of Section 8 project-based 
developments and certain types of section 202, section 221(d)(3) and 
section 236 developments are not needed to fund applications, the funds 
may be used for other non-elderly disabled families. Any such remaining 
funds will be used to supplement funding for the Mainstream Program.
    (B) Funding for the Section 811 Program. The Section 811 Program of 
Supportive Housing for Persons With Disabilities, located elsewhere in 
the SuperNOFA, provides capital advances and project rental assistance 
in FY 2002. The Section 811 Program of Supportive Housing for Persons 
With Disabilities will provide funding to nonprofit organizations 
(sponsors) for the development and operation of small, scattered-site 
housing to enable adults with disabilities to live as independently as 
possible in the community. The capital advance does not need to be 
repaid as long as the housing is used for its intended purpose for at 
least 40 years. The project rental assistance funds cover the 
difference between the HUD-approved operating expenses of the housing 
and the tenant's contribution towards rent, which is 30 percent of 
adjusted income. The types of housing that are typically developed 
through the program are small group homes for no more than six persons, 
independent living projects containing individual apartment units for 
no more than 18 persons, and condominium units. Sponsors are required 
to ensure that residents have access to any necessary supportive 
services but cannot require the acceptance of such as a condition of 
occupancy.
    (C) Housing Choice Voucher Funding.
    (1) Lottery. HUD will select approvable applications for funding by 
lottery in the event approvable applications are received for more 
funding than is available under this Mainstream Program announcement. 
In such event, a separate lottery will be held first to select 
applications for funding for the $53.9 million available in five-year 
budget authority available under this announcement, and a separate 
lottery will be held to select applications for funding for whatever 
amount of one-year budget authority may be available during FY 2002 for 
the Mainstream Program. PHAs should clearly indicate in their 
applications if they are applying for both five-year and one-year 
funding in order to ensure their inclusion in both lotteries. This 
would allow the last selected application (if a PHA) under the five-
year funding lottery to be automatically funded with one-year budget 
authority for the remaining number of vouchers requested, but for which 
there was insufficient five-year budget authority at the point the PHA 
was selected in the five-year funding lottery. This would also allow a 
PHA to be automatically included in the lottery for one-year budget 
authority funding if not fortunate enough to be selected for any 
funding in the five-year budget authority lottery. PHAs applying for 
one-year funding must make it clear in their applications that they 
have a sufficient number of non-elderly disabled families to support 
the number of vouchers being requested. As indicated earlier in this 
announcement, one-year budget authority funding is for use only by PHAs 
solely for non-elderly disabled families, whereas five-year budget

[[Page 14513]]

authority is for use by PHAs and nonprofit disability organizations for 
both elderly and non-elderly disabled families.
    (2) Maximum Voucher Request. There is a limit on the number of 
vouchers that may be requested. An eligible applicant may apply for a 
maximum of 75 vouchers. No more than a grand total of 75 vouchers will 
be awarded to any applicant under the FY 2002 Mainstream Program; i.e., 
a PHA or nonprofit disability organization receiving five-year budget 
authority funding shall be funded for no more than 75 vouchers; a PHA 
receiving a combination of five-year and one-year budget authority 
shall be funded for no more than 75 vouchers; and a PHA receiving only 
one-year budget authority funding shall be funded for no more than 75 
vouchers.
    (3) Determination of Funding Amount for the Applicant's Requested 
Number of Vouchers. HUD will determine the amount of funding that an 
applicant will be awarded under this announcement based upon an actual 
annual per unit cost {except for Moving to Work (MTW) agencies the per 
unit cost will be calculated in accordance with the agency's MTW 
Agreement for MTW units} using the following two step process:
    (a) HUD will extract the total expenditures for all the PHA's 
housing choice voucher and certificate programs and the unit months 
leased information from the most recent approved year end statement 
(Form HUD-52681) that the PHA has filed with HUD. HUD will divide the 
total expenditures for all of the PHA's housing choice voucher and 
certificate programs by the unit months leased to derive an average 
monthly per unit cost.
    (b) HUD will multiply the monthly per unit cost by 12 (months) to 
obtain an annual per unit cost.

    Note: Applicants who do not currently administer a housing 
choice voucher program shall have their voucher funding based upon 
the actual annual per unit costs of the PHA in their most immediate 
area administering a housing choice voucher program, using the two 
step process described immediately above.

    (4) Preliminary Fee. A preliminary fee of up to $500 per unit for 
preliminary (start-up) expenses will be paid to applicants that have 
not previously administered their own housing choice voucher program 
that are selected for funding under this announcement. The preliminary 
fee will be provided to such applicants only in their first year 
administering housing choice vouchers.

III. Program Description, Eligible Applicants and Eligible 
Participants

    (A) Program Description. The Secretary has established a Mainstream 
Housing Opportunities for Persons with Disabilities Program (Mainstream 
Program) to provide vouchers to enable persons with disabilities to 
access affordable private housing of their choice.
    The Mainstream Program will assist PHAs and nonprofit disability 
organizations in providing housing choice vouchers to a segment of the 
population recognized by HUD's housing research as having one of the 
worst housing needs of any group in the United States; i.e., very low-
income households with adults with disabilities. In addition, the 
Mainstream Program will assist persons with disabilities who often face 
difficulties in locating suitable and accessible housing on the private 
market.
    (B) Eligible Applicants. Public housing agencies (PHAs) and 
nonprofit disability organizations that provide services to the 
disabled {as defined in Section IV(E) of this announcement} are 
eligible applicants for the five-year budget authority funding 
available under this funding announcement. Only PHAs are eligible to 
apply for the one-year budget authority funding that may be available 
under this funding announcement. PHAs or nonprofit disability 
organizations that fall into any of the categories in section VII(B)(2) 
of this announcement are ineligible to have an application funded under 
this announcement. Indian Housing Authorities (IHAs), Indian tribes and 
their tribally designated housing entities are not eligible to apply 
for new increments of housing choice voucher funding because the Native 
American Housing Assistance and Self-Determination Act of 1996, does 
not allow HUD to enter into new housing choice voucher annual 
contributions contracts (ACC) with IHAs after September 30, 1997.
    (1) PHAs.
    (a) A PHA may submit only one application under this announcement. 
This one application per PHA limit applies regardless of whether or not 
the PHA is a State or regional PHA, except in those instances where 
such a PHA has more than one PHA code number due to its operating under 
the jurisdiction of more than one HUD Field Office. In such instance, a 
separate application under each code shall be considered for funding, 
with the cumulative total of vouchers applied for under the 
applications not to exceed the maximum of 75 vouchers the PHA is 
eligible to apply for under section II(C)(2) of this announcement; 
i.e., no more than the number of vouchers the same PHA would be 
eligible to apply for if it only had one PHA code number.
    (b) PHAs are encouraged to involve nonprofit disability 
organizations that provide services to disabled families, as defined in 
section III(B)(2) of this announcement, in the administration of the 
Mainstream Program's vouchers. Such organizations have frequently in 
the past demonstrated a capacity to assist disabled families, as well 
as have an in-depth knowledge of the disability community.
    (i) A nonprofit disability organization could function as either a 
contract administrator for the PHA's Mainstream vouchers, or as a 
subcontractor responsible for providing case management services or 
assisting disabled families to locate suitable housing, gain access to 
supportive services, or identify private funding sources to cover the 
costs of unit modifications needed as a reasonable accommodation.
    (ii) Such contractual arrangements must, however, ensure equal 
opportunity among the wide variety of disabled populations in the PHA's 
service area.
    (c) In some cases a PHA currently administering the housing choice 
voucher program has, at the time of publication of this SuperNOFA, been 
designated by HUD as a troubled PHA under the Section 8 Management 
Assessment Program (SEMAP), or has major program management findings 
from Inspector General audits that are unresolved. HUD will not accept 
an application from such a PHA as a contract administrator if, on the 
application due date, the troubled PHA designation under SEMAP has not 
been removed by HUD, or the findings are not resolved. If the PHA wants 
to apply for funding under this announcement, the PHA must submit an 
application that designates another contractor that is acceptable to 
HUD. The PHA's application must include an agreement by the other 
contractor to administer the new funding increment on behalf of the 
PHA, and (in the instance of a PHA with unresolved major program 
management findings) a statement that outlines the steps the PHA is 
taking to resolve the program findings.
    Immediately after the publication of this SuperNOFA, the Office of 
Public Housing in the local HUD Field Office will notify, in writing, 
those PHAs that have been designated by HUD as troubled under SEMAP, 
and those PHAs with unresolved major program management findings that 
are not

[[Page 14514]]

eligible to apply without such an agreement. Concurrently, the local 
HUD Field Office will provide a copy of each such written notification 
to the Director of the Grants Management Center. The PHA may appeal the 
decision, in writing, if HUD has mistakenly classified the PHA as 
having unresolved major program findings. The PHA may not appeal its 
designation as a troubled PHA under SEMAP. Any appeal with respect to 
unresolved major program management findings must be accompanied by 
conclusive evidence of HUD's error (i.e., documentation showing that 
the finding has been cleared) and must be received prior to the 
application deadline. The appeal should be submitted to the local HUD 
Field Office where a final determination shall be made. Concurrently, 
the local HUD Field Office shall provide the Grants Management Center 
with a copy of the PHA's written appeal and the Field Office's written 
response to the appeal. Major program management findings are those 
that would cast doubt on the capacity of the PHA to effectively 
administer any new housing choice voucher funding in accordance with 
applicable HUD regulatory and statutory requirements.
    (2) Nonprofit Disability Organization. An organization, no part of 
the net earnings of which inures to the benefit of any member, founder, 
contributor, or individual, that provides services to persons with 
disabilities and has received a federal tax-exempt designation, under 
section 501(c)(3) of the Internal Revenue Code, from the U.S. Internal 
Revenue Service.
    (a) The nonprofit entity must:
    (i) Have a voluntary board;
    (ii) Be authorized by its charter or State law to enter into a 
contract with the Federal Government to provide housing assistance to 
persons with disabilities;
    (iii) Have a functioning accounting system that is operated in 
accordance with generally accepted accounting principles, or designate 
an entity that will maintain a functioning accounting system for the 
organization in accordance with generally accepted accounting 
principles; and
    (iv) Practice nondiscrimination in the provision of assistance.
    (b) A nonprofit disability organization meeting the definition of a 
nonprofit disability organization as defined in this Section III(B)(2), 
and wishing to apply for the funding available under this announcement 
must have the capacity to:
    (i) Comply with the Section 8 Management Assessment Program (SEMAP) 
certification requirements under 24 CFR part 985.
    (ii) Carry out such housing choice voucher and SEMAP specific 
related activities as making determinations as to rent reasonableness, 
performing housing quality standards (HQS) inspections and enforcement, 
conducting annual reexaminations of participant families, as well as 
otherwise meeting housing choice voucher program requirements under 24 
CFR part 982.
    (iii) Manage the Mainstream Program vouchers in a manner equivalent 
to an overall performance rating under SEMAP (24 CFR part 985) of 
``standard'' during the first fiscal year of its receiving Mainstream 
Program funding.
    (iv) Administer rental housing programs or manage rental housing, 
as demonstrated by a specific list of rental housing programs the 
nonprofit disability organization has administered or the rental 
housing the organization has managed (e.g. private rental housing, HUD 
or State-related housing programs, etc.).
    Nonprofit disability organizations are encouraged to seek out PHAs 
in their geographic area to develop cooperative contractual 
relationships under the Mainstream Program, and to enhance services to 
disabled families. In addition to contacting local PHAs, nonprofit 
disability organizations may also wish to contact regional (multi-
county), or statewide PHAs who may be applying for Mainstream Program 
funding.
    (C) Eligible Participants. Only a disabled family that is income 
eligible under 24 CFR 982.201(b)(1), as well as otherwise eligible 
under the regulations at 24 CFR 982.201(b), may receive a voucher 
awarded under the Mainstream Program. While elderly and non-elderly 
disabled families are eligible to receive a voucher awarded to a PHA or 
nonprofit disability organization using five-year budget authority 
under this announcement, only non-elderly disabled families are 
eligible to receive a voucher awarded to a PHA using one-year budget 
authority that may be available for the Mainstream Program under this 
announcement. Applicants with disabilities must be selected from the 
PHA's or nonprofit disability organization's housing choice voucher 
waiting list. Additional information on those families and individuals 
eligible to receive a voucher is located at the following HUD Web site: 
www.hud.gov/offices/pih/programs/hcv.

IV. Program Requirements and Definitions

    In addition to the civil rights compliance and nondiscrimination 
requirements listed in the General Section of this SuperNOFA, grantees 
must meet the following program requirements:
    (A) Affirmatively Furthering Fair Housing. Each successful 
applicant will have a duty to affirmatively further fair housing. 
Applicants will be required to identify the specific steps that they 
will take to:
    (1) Examine their own programs or proposed programs, including an 
identification of any impediments to fair housing (identified in the 
jurisdiction's Analysis of Impediments (AI) to Fair Housing Choice in 
the Consolidated Plan); develop a plan to (a) address those impediments 
in a reasonable fashion in view of the resources available; (b) work 
with the local jurisdictions to implement any of the jurisdictions' 
initiatives to affirmatively further fair housing; and (c) maintain 
records reflecting these analyses and actions;
    (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 under this announcement to address 
affirmatively furthering fair housing.
    (B) Certifications and Assurances. Each applicant is required to 
submit signed copies of Assurances and Certifications. The standard 
Assurances and Certifications are on Form HUD-52515, Funding 
Application, which includes the Equal Opportunity Certification, 
Certification Regarding Lobbying, and Certification Regarding Drug-Free 
Workplace Requirements.
    (C) Voucher Assistance Requirements.
    (1) Housing Choice Voucher Program Regulations. Applicants must 
administer the Mainstream Program in accordance with HUD regulations 
and requirements governing the Housing Choice Voucher Program. The only 
exception to this requirement shall be for nonprofit disability 
organizations which shall not be required to comply with the 
requirements of 24 CFR part 903 , subpart B as concerns the requirement 
for a PHA Plan.
    (2) Housing Choice Voucher Program Admission Requirements. Housing 
choice voucher assistance must be provided to eligible disabled 
families in conformity with regulations and requirements governing the 
Housing Choice Voucher Program and the PHA's administrative plan.
    (3) Turnover. When a voucher under this announcement becomes 
available for reissue (e.g., the family initially selected for the 
program drops out of the program or is unsuccessful in the search

[[Page 14515]]

for a unit), the voucher may be used only for another family eligible 
for assistance under this announcement for five years for the five-year 
funding or for one year for the one-year funding under this 
announcement from the date the rental assistance is placed under an 
annual contributions contract (ACC). If there is ever an insufficient 
pool of disabled families on the PHA's or nonprofit disability 
organization's housing choice voucher waiting list, the PHA or 
nonprofit disability organization shall conduct outreach to encourage 
eligible persons to apply for this special allocation of vouchers. 
Outreach may include contacting independent living centers, advocacy 
organizations for persons with disabilities, and medical, mental 
health, and social service providers for referrals of persons receiving 
such services who would benefit from housing choice voucher assistance. 
If the PHA's or nonprofit disability organization's housing choice 
voucher waiting list is closed, and if the PHA or nonprofit disability 
organization has insufficient applicants on its housing choice voucher 
waiting list to use all awarded vouchers under this announcement, the 
PHA or nonprofit disability organization should open the waiting list 
for applications from disabled families. PHAs and nonprofit 
organizations must take care to keep track of the number of disabled 
vouchers they have been awarded under this funding announcement versus 
the number of such vouchers that have actually been issued to disabled 
families.
    (D) PHA and Nonprofit Disability Organization Responsibilities. In 
addition to the responsibilities under the Housing Choice Voucher 
Program and HUD regulations concerning nondiscrimination based on 
disability (24 CFR 8.28) and to affirmatively further fair housing, 
PHAs and nonprofit disability organizations that receive voucher 
funding shall:
    (1) Where requested by an individual, assist program participants 
to gain access to supportive services available within the community, 
but not require eligible applicants or participants to accept 
supportive services as a condition of participation or continued 
occupancy in the program.
    (2) Identify public and private funding sources to assist 
participants in covering the costs of modifications that need to be 
made to their units as a reasonable accommodation for their 
disabilities.
    (3) Not deny persons who qualify for rental assistance under this 
program other housing opportunities, or otherwise restrict access to 
PHA or nonprofit disability organization programs to eligible 
applicants who choose not to participate.
    (4) Provide housing choice voucher search assistance.
    (5) In accordance with regulatory guidance, provide higher rents to 
owners necessary for the provision of accessible units and structural 
modifications for persons with disabilities.
    (6) Provide technical assistance to owners for making reasonable 
accommodations or making units accessible to persons with disabilities.
    (E) Definitions. The following definitions apply.
    (1) Disabled Family. Disabled family means a family whose head, 
spouse, or sole member is a person with disabilities. It may include 
two or more persons with disabilities living together, or one or more 
persons with disabilities living with one or more live-in aides.

    Note:  This definition applies to the approximately $53.9 
million in five-year budget authority available under the Mainstream 
Program, as well as to any one-year budget authority that may be 
available. This definition shall be modified, however, to be limited 
solely to non-elderly disabled families (families whose head, spouse 
or sole member is disabled and under the age of 62) regarding any 
funding available and awarded from the approximately $40 million in 
FY 2002 for designated housing allocation plans, or in connection 
with certain Section 8 project-based developments or certain section 
202, section 221(d)(3) or section 236 developments. See Section 
II(A) of this announcement regarding the possibility of additional 
Mainstream Program funding during FY 2002 beyond the approximately 
$53.9 million initially available.

    (2) Person with disabilities. Means a person who:
    (a) Has a disability as defined in 42 U.S.C. 423;
    (b) Is determined, pursuant to HUD regulations, to have a physical, 
mental or emotional impairment that:
    (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 the ability to live independently 
could be improved by more suitable housing conditions;
    (c) Has a developmental disability as defined in 42 U.S.C. 6001;
    (d) Does not exclude persons who have the disease of acquired 
immunodeficiency syndrome or any conditions arising from the etiologic 
agent for acquired immunodeficiency syndrome;
    (e) For purposes of qualifying for low-income housing, does not 
include a person whose disability is based solely on any drug or 
alcohol dependence.
    (3) Housing choice voucher search assistance. Assistance to 
increase access by program participants to housing units in a variety 
of neighborhoods (including areas with low poverty concentrations) and 
to locate and obtain units suited to their needs.
    (F) Homeownership and Family Self-Sufficiency (FSS). Applicants are 
encouraged to establish or expand upon an existing housing choice 
voucher homeownership program, as well as complete the closing process 
on homeownership units. Applicants are also encouraged to fill slots 
under a mandatory FSS program and to establish a voluntary FSS program 
and fill slots thereunder where a mandatory FSS program is not 
required.
    (G) Increasing the Participation of Faith-Based and Community-Based 
Organizations in HUD Program Implementation. HUD believes that 
grassroots organizations; e.g., civic organizations, congregations, and 
other community-based and faith-based organizations, have not been 
effectively utilized. These grassroots organizations have a strong 
history of providing vital community services such as assisting the 
homeless and preventing homelessness; counseling individuals and 
families on fair housing rights; providing elderly housing 
opportunities; developing first time homeownership programs; increasing 
homeownership and rental housing opportunities; developing affordable 
and accessible housing in neighborhoods across the country; and 
creating economic development programs. The goal of this policy 
priority is to make HUD's housing choice voucher program more 
effective, efficient, and accessible by expanding opportunities for 
faith-based and community-based organizations to participate in 
developing solutions for their own neighborhoods. PHAs are encouraged 
to coordinate with and otherwise involve faith-based and other 
community-based organizations in those activities under the housing 
choice voucher program where their services, expertise and knowledge 
may be most effective.
    (H) Conducting Business in Accordance With Core Values and Ethical 
Standards. To reflect core values, all applicants shall develop and 
maintain a written code of conduct in the PHA administrative plan that 
(1) requires compliance with the conflict of interest requirements of 
the Housing Choice Voucher Program at 24 CFR 982.161, and (2) prohibits 
the solicitation or acceptance of gifts or gratuities, in excess of a 
nominal value, by any officer or employee of the PHA,

[[Page 14516]]

or any contractor, subcontractor or agent of the PHA. The PHA's 
administrative plan shall state PHA policies concerning PHA 
administrative and disciplinary remedies for violation of the PHA code 
of conduct. The PHA should inform all officers, employees and agents of 
its organization of the PHA's code of conduct.

V. Application Selection Process

    After the Grants Management Center has screened and disapproved any 
applications found unacceptable for further processing, the Grants 
Management Center will review all acceptable applications to ensure 
that they are technically adequate and responsive to the requirements 
of this announcement. HUD Headquarters will fund all applications from 
PHAs and nonprofit disability organizations that are recommended for 
funding by the Grants Management Center unless HUD receives approvable 
applications for more funds than are available. If HUD receives 
approvable applications for more funds than are available, HUD will 
select applicants to be funded by lottery. A separate lottery will be 
held first for those PHAs and nonprofit disability organizations 
seeking funding under the five-year budget authority available under 
this announcement, and a separate lottery will next be held for those 
PHAs seeking funding under the one-year budget authority that may be 
available under this announcement. (Nonprofit disability organizations 
are not eligible to apply for the one-year budget authority that may be 
available under this announcement.) All applicants identified by the 
Grants Management Center as having submitted technically adequate and 
responsive applications will be included in the lottery. As applicants 
are selected, the cost of funding the applications will be subtracted 
from the funds available. In order to achieve geographic diversity, HUD 
Headquarters will limit the number of applications selected for funding 
from any State to 10 percent of the budget authority available for the 
Mainstream Program. The 10 percent limit shall be applied first during 
the lottery for the five-year funding and shall continue over into the 
lottery for any one-year funding that may be available. This, for 
instance, may result in a State reaching the 10 percent limit prior to 
the start of the lottery for any one-year funding that may be 
available, and therefore any PHAs from that State would not be eligible 
for any further Mainstream funding. If establishing this geographic 
limit would result, however, in unreserved budget authority, HUD may 
modify this limit to assure that all available funds are used.
    Applications will be funded for the total number of units requested 
by the applicant and recommended for approval by the Grants Management 
Center (not to exceed 75 units) in accordance with this announcement. 
When remaining budget authority is insufficient to fund the last 
selected application in full, HUD Headquarters will fund that 
application to the extent of the funding available, unless the 
applicant indicates that it will only accept a higher number of units. 
In that event, the next selected application shall be one that has 
indicated a willingness to accept the lesser amount of funding for the 
units available.

VI. Application Submission Requirements

    (A) Form HUD-52515. All applicants must complete and submit Form 
HUD-52515, Funding Application, for the Housing Choice Voucher Program, 
(dated January 1996). This form includes all necessary certifications 
for Fair Housing, Drug Free Workplace and Lobbying Activities. PHAs are 
requested to enter their housing authority code (for example, CT002), 
telephone number, facsimile number and electronic mail address in the 
same space at the top of the form where they are also to enter the 
PHA's name and mailing address. Section C of the form should be left 
blank. The form must be completed in its entirety, with the exception 
of Section C, signed and dated. A copy of Form HUD-52515 is included in 
the forms found in Appendix B to the General Section of the SuperNOFA. 
Copies of the form may also be downloaded from the following HUD Web 
site: www.hud.gov. (On the HUD Web site click on ``handbooks and 
forms,'' then click on ``forms,'' then click on ``HUD-5'' and click on 
``HUD-52515.'' In addition, the Form HUD-52515 will also be posted with 
the Mainstream funding announcement at the following HUD Web site: 
www.hud.gov/offices/adm/grants/fundsavail.cfm.
    In the instance of a nonprofit disability organization that does 
not currently manage a housing choice voucher program, the nonprofit 
disability organization shall fill in Section B, Proposed Assisted 
Dwelling Units, of the form HUD-52515, by either basing the numbers the 
organization enters in this section on information requested from the 
nearest public housing agency, based upon its housing choice voucher 
waiting list, or based upon information from local advocacy groups and 
local public and private service agencies familiar with the needs of 
elderly and non-elderly persons with disabilities, census data, and 
pertinent information from the Consolidated Plan applicable to the 
applicant's jurisdiction. Section C, Average Monthly Adjusted Income, 
should be left blank. Section F, New HA Information, requires 
information on Financial and Administrative Capability and 
Qualification as a HA. For Financial and Administrative Capability, a 
nonprofit disability organization may reference that part of its 
application addressing the requirements of section VI (E) of this 
announcement. For Qualification as a HA, the nonprofit disability 
organization should submit information validating its qualifications as 
a nonprofit disability organization as defined in Section III (B)(2) of 
this announcement. The submission of enabling legislation is not 
required, but a legal opinion supportive of the applicant's status as a 
nonprofit disability organization, as delineated in Section III (B)(2) 
of this announcement, is required.
    (B) Letter of Intent and Narrative. The applicant must state in its 
cover letter to the application whether it is a PHA applying for five-
year and/or one-year funding, or a nonprofit disability organization 
applying for five-year funding. The applicant must also indicate the 
number of vouchers being requested, whether it will accept a reduction 
in the number of vouchers, and the minimum number of vouchers the 
applicant will accept, since the funding is limited and HUD may only 
have enough funds to approve a smaller amount than the number of 
vouchers requested. The maximum number of vouchers that an applicant 
may apply for under this announcement is limited to 75.
    PHAs and nonprofit disability organizations that do not currently 
administer a housing choice voucher program must identify the nearest 
PHA (including the full name, address, and tel. no.) that does 
administer a housing choice voucher program. This information will be 
necessary for HUD to calculate annual per unit costs for voucher 
funding awarded under this funding announcement for such PHAs and 
nonprofit disability organizations (see section II (C) (3) of this 
funding announcement).
    (C) Description of Need for Mainstream Program Vouchers. The PHA's 
and nonprofit disability organization's application must demonstrate a 
need for Mainstream Program vouchers by providing information 
documenting that the demand for housing for non-elderly and

[[Page 14517]]

elderly persons with disabilities in connection with a request for 
five-year funding under this announcement would equal or exceed the 
requested number of vouchers. If the PHA is requesting one-year 
funding, the demand for housing for non-elderly disabled persons must 
be demonstrated as equaling or exceeding the number of vouchers being 
requested. The applicant must assess and document the housing need for 
elderly and non-elderly persons with disabilities using a range of 
sources including, but not limited to: census data, information from 
the applicant's waiting list (both public housing and housing choice 
voucher), statistics on recent public housing admissions and housing 
choice voucher use, data from local advocacy groups and local public 
and private service agencies familiar with the housing needs of elderly 
and non-elderly persons with disabilities, and pertinent information 
from the Consolidated Plan [including the Analysis of Impediments to 
Fair Housing Choice (AI)] applicable to the applicant's jurisdiction. 
{See 24 CFR 91.205(d).} The applicant's demonstrated need for vouchers 
must clearly support need on the basis of only non-elderly disabled 
families when requesting one-year funding. This distinction is 
important, as any FY 2002 Mainstream Program funding that may be 
available beyond the approximately $53.9 million under this 
announcement, must be used to assist only non-elderly disabled families 
and will be available only to PHAs. (See Section II (A) of this 
announcement regarding the possibility of substantially more Mainstream 
Program funding being available beyond the approximately $53.9 
million.)
    (D) Mainstream Program Operating Plan. The application must include 
a description of an adequate plan for operating a program to serve 
eligible disabled families, including:
    (1) A description of how the applicant will carry out its 
responsibilities under 24 CFR 8.28 to assist recipients in locating 
units with needed accessibility features; and
    (2) A description of how the applicant will identify private or 
public funding sources to help participants cover the costs of 
modifications that need to be made to their units as reasonable 
accommodations to their disabilities.
    (3) A description of how the applicant will use a nonprofit 
disability organization or PHA (if any) under a contract to administer 
the Mainstream Program vouchers, or to otherwise provide services.
    (E) Certification Applicable to Nonprofit Disability Organizations. 
A nonprofit disability organization applying for funding available 
under this announcement must provide a certification stating that the 
applicant can meet the capacity requirements applicable to a nonprofit 
disability organization delineated in Section III (B)(2)(b) of this 
announcement. The certification must specifically list the four 
capacity requirements from that paragraph, and must specifically list 
the rental housing programs the nonprofit disability organization has 
administered or the rental housing the nonprofit disability 
organization has managed.
    (F) Statement Regarding the Steps the PHA and Nonprofit 
Organization Will Take to Affirmatively Further Fair Housing. The areas 
to be addressed in the PHA's and nonprofit organization's statement 
must include, but not necessarily be limited to:
    (1) The examination of the PHA's and nonprofit organization's own 
programs or proposed programs, including an identification of any 
impediments to fair housing (identified in the jurisdiction's Analysis 
of Impediments (AI) to Fair Housing Choice in its Consolidated Plan); 
and a description of a plan to (a) address those impediments in a 
reasonable fashion in view of the resources available; (b) work with 
local jurisdictions to implement any of the jurisdictions' initiatives 
to affirmatively further fair housing; and (c) the maintenance of 
records reflecting this analyses and actions;
    (2) Remedy discrimination in housing for persons with disabilities 
regardless of race, color, religion, sex, familial status, national 
origin, or nature of disability; or
    (3) Promote fair housing rights and fair housing choice.
    The applicant's statement must fully address the above areas. A 
general statement that the applicant will promote fair housing choice 
by reason of not discriminating on the basis of race, color, religion, 
etc. will not be sufficient.
    (G) Moving to Work (MTW) PHA Certification. See Section VII 
(B)(2)(c) regarding the 97 percent lease-up or budget authority 
utilization certification to be submitted by an MTW PHA not required to 
report under SEMAP.
    (H) Form HUD-2993. All PHAs must complete and submit form HUD-2993, 
Acknowledgement of Application Receipt. In addition to the PHA entering 
its name and address on the form, the full title of the program under 
which the PHA is seeking funding must also be entered. This form is 
located in the General Section of the SuperNOFA and is also available 
at the following HUD Web site: www.hud.gov. On this Web site click on 
``handbooks and forms.''

VII. Corrections to Deficient Applications

    (A) Acceptable Applications. The application must include all of 
the information specified in section VI, Application Submission 
Requirements, of this announcement. The General Section of the 
SuperNOFA provides the procedures for corrections to deficient 
applications.
    (B) Unacceptable Applications.
    (1) After the 14-calendar day technical deficiency correction 
period, the Grants Management Center will disapprove all applications 
from PHAs and nonprofit disability organizations that the Grants 
Management Center determines are not acceptable for processing. The 
Grant Management Center's notification of rejection letter must state 
the basis for the decision. The applicant may request an applicant 
debriefing. Beginning not less than 30 days after the awards for 
assistance are announced in the Federal Register, and for not longer 
than 120 days, HUD will, upon receiving a written request from the 
applicant, provide a debriefing to the requesting applicant. Applicants 
requesting to be debriefed must send a written request to Michael 
Diggs, Director, Grants Management Center, Department of Housing and 
Urban Development, 501 School Street, SW, Suite 800, Washington, DC 
20024.
    (2) Applications from PHAs or nonprofit disability organizations 
that fall into any of the following categories will not be processed:
    (a) Applications that do not meet the fair housing and civil rights 
compliance threshold requirements of Section II(B) of the General 
Section of the SuperNOFA.
    (b) If the applicant is a PHA and the PHA is designated as troubled 
by HUD under SEMAP, or has major program management findings in an 
Inspector General audit for its voucher or certificate programs that 
are unresolved. The only exception to this category is if the PHA has 
been identified under the policy established in Section III(B)(1)(c) of 
this announcement and the PHA makes application with a designated 
contract administrator. Major program management findings are those 
that would cast doubt on the capacity of the PHA to effectively 
administer any new housing choice voucher funding in accordance with 
applicable HUD regulatory and statutory requirements.
    (c) If the PHA has failed to achieve a lease-up or budget authority 
utilization rate of 97 percent for its combined certificate and voucher 
units under contract for its fiscal year ending on either September 30, 
2000; December

[[Page 14518]]

31, 2000; March 31, 2001; or June 30, 2001. PHAs that have been 
determined by HUD to have passed either the 97 percent lease-up, or 97 
percent budget authority utilization requirement for their fiscal year 
ending on either September 30, 2000; December 31, 2000; March 31, 2001; 
or June 30, 2001, will be listed with the Mainstream funding 
announcement at the following HUD Web site: www.hud.gov/offices/adm/grants/fundsavail.cfm. A PHA not listed may submit monthly lease-up and 
budget authority utilization information (following the methodology of 
Appendix A of this announcement and using the format in Appendix B 
which also includes a blank version of the format) as part of its 
application supportive of its contention that it should have been 
included among those potential applicants HUD listed on the HUD web 
site as having achieved either a 97 percent lease-up rate or 97 percent 
budget authority utilization rate for fiscal years ending on either 
September 30, 2000; December 31, 2000; March 31, 2001; June 30, 2001; 
or subsequent full fiscal year not yet processed by HUD but certified 
by the applicant. Unless utilization information is submitted on the 
blank form in Appendix B, the application will otherwise be determined 
ineligible for funding under this announcement.

    Note: The lease-up and budget authority utilization requirement 
shall not apply to applicants not currently administering a voucher 
program, or to new units associated with funding increments 
obligated during the applicant's last fiscal year and units 
obligated for litigation. In addition, lease-up or budget authority 
utilization rates of 96.5 percent but less than 97 percent shall be 
rounded up to 97 percent.

    Moving to Work (MTW) agencies that are required to report under the 
Section 8 Management Assessment Program (SEMAP) shall be held to the 97 
percent lease-up and budget authority utilization requirements 
referenced above. MTW agencies which are not required to report under 
SEMAP must submit a certification with their application certifying 
that they are not required to report under SEMAP, and that they meet 
the 97 percent lease-up or budget authority utilization requirements.
    (d) The PHA or nonprofit disability organization is involved in 
litigation and HUD determines that the litigation may seriously impede 
the ability of the applicant to administer the vouchers.
    (e) An application that does not comply with the requirements of 24 
CFR 982.102 and this program section after the expiration of the 14-
calendar day technical deficiency correction period will be rejected 
from processing.
    (f) The application was submitted after the application due date.
    (g) The application was not submitted to the official place of 
receipt as indicated in the paragraph entitled ``Address for Submitting 
Applications'' at the beginning of this announcement.
    (h) The applicant has been debarred or otherwise disqualified from 
providing assistance under the program.
    (i) The PHA did not have its PHA plans approved by HUD for the FY 
2000 plan cycle on the application due date for this funding 
announcement. (This category of ineligibility does not apply to 
nonprofit disability organizations whose housing choice voucher program 
is based solely upon previously approved housing choice vouchers under 
the Mainstream Program.)

VIII. Environmental Requirements

    In accordance with 24 CFR 50.19(b)(11) and 58.35(b)(1) of the HUD 
regulations, tenant-based rental activities under this program are 
categorically excluded from the requirements of the National 
Environmental Policy Act of 1969 (NEPA) and are not subject to 
environmental review under the related laws and authorities. Activities 
under the homeownership option of this program are categorically 
excluded from NEPA requirements and excluded from other environmental 
requirements under 24 CFR 58.5 in accordance with 24 CFR 58.35(b)(5), 
but PHAs and nonprofit organizations are responsible for the 
environmental requirements in 24 CFR 982.626(c).

IX. Authority

    Authority for this program is found in the Departments of Veteran's 
Affairs and Housing and Urban Development, and Independent Agencies 
Appropriations Act, FY 2002 (Pub.L. 107-73, approved November 26, 
2001). This FY 2002 Appropriations Act also authorized appropriations 
for housing choice vouchers to assist non-elderly disabled families 
affected by the designation of a public housing development under 
section 7 of the United States Housing Act of 1937, as amended; the 
establishment of preferences in accordance with section 651 of the 
Housing and Community Development Act (HCDA) of 1992, or the 
restriction of occupancy to elderly families in accordance with section 
658 of the HCDA Act. The FY 2002 Appropriations Act allows the 
Secretary to transfer any unobligated funds for these purposes, to the 
extent they are not needed, to assist other non-elderly disabled 
families. Therefore, any funds remaining unobligated under these 
program sections will be used to fund applications under the Mainstream 
Program in the SuperNOFA.
BILLING CODE 4210-32-P

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Notices  

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14527]]



FUNDING AVAILABILITY FOR RENTAL ASSISTANCE FOR NON-ELDERLY PERSONS 
WITH DISABILITIES RELATED TO CERTAIN TYPES OF SECTION 8 PROJECT-
BASED DEVELOPMENTS AND SECTIONS 202, 221(d)(3) AND 236 DEVELOPMENTS

PROGRAM OVERVIEW

    Purpose of the Program. The purpose of this program is to provide 
housing choice vouchers to non-elderly disabled families who are not 
currently receiving housing assistance in certain Section 8 project-
based developments due to the owners establishing preferences for the 
admission of elderly families, or in certain types of Section 202, 
Section 221(d)(3), or Section 236 developments where the owners are 
restricting occupancy in the developments (or portions thereof) to 
elderly families. The vouchers will enable non-elderly disabled 
families to access affordable housing.
    Available Funds. Approximately $20 million in one-year budget 
authority for approximately 3,950 housing choice vouchers.
    Eligible Applicants. Public housing agencies (PHAs). PHAs that fall 
into any of the categories in Section VII(B)(2) of this announcement 
are ineligible to have an application funded under this announcement. 
Indian Housing Authorities (IHAs), Indian tribes and their tribally 
designated housing entities are not eligible to apply because the 
Native American Housing Assistance and Self-Determination Act of 1996, 
does not allow HUD to enter into new housing choice voucher annual 
contributions contracts (ACC) with IHAs after September 30, 1997.
    Application Deadline. July 2, 2002.
    Match. None.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information.

I. Application Due Date, Application Kits, Further Information and 
Technical Assistance.

    Application Due Date. Submit the original and one copy of your 
completed application to HUD on or before July 2, 2002. See the 
paragraphs titled ``Mailed Applications'' and ``Applications Sent by 
Overnight/Express Mail Delivery'' in section I of this funding 
announcement regarding the specific time on the application due date by 
which applications are to be submitted. This application deadline date 
is firm. In the interest of fairness to all competing PHAs, HUD will 
not consider any application that is received after the application 
deadline. Applicants should take this practice into account and make 
early submission of their materials to avoid any risk of loss of 
eligibility brought about by unanticipated delays or other delivery-
related problems. HUD will not accept, at any time during the 
competition under this funding announcement, application materials sent 
via facsimile (FAX) transmission.
    Address for Submitting Applications. Your completed application 
consists of an original and one copy. Submit your original application 
and one copy to: Michael Diggs, Director, Grants Management Center, 
Department of Housing and Urban Development, 501 School Street, SW., 
Suite 800, Washington, DC 20024. The Grants Management Center is the 
official place of receipt for all applications in response to this 
announcement of funding availability. Applications not submitted to the 
GMC will not be considered.
    A copy of your application is not required to be submitted to the 
local HUD Field Office. For ease of reference, the term ``local HUD 
Field Office'' will be used in this announcement to mean the local HUD 
Field Office Hub and local HUD Field Office Program Center. A listing 
of HUD Field Offices is attached to the General Section of this 
SuperNOFA.
    New Security Procedures. In response to the terrorist attacks in 
September 2001, HUD has implemented new security procedures that impact 
on application submission procedures. Please read the following 
instructions carefully and completely. HUD will not accept hand 
delivered applications. Applications may be mailed to the GMC in HUD 
Headquarters using the United States Postal Service (USPS). 
Applications may also be shipped to the GMC via the following delivery 
services: United Parcel Service (UPS), FedEx, DHL, or Falcon Carrier. 
No other delivery services are permitted into HUD Headquarters without 
escort. You must, therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12:00 midnight on 
the application due date and received by the GMC within fifteen (15) 
days of the application due date. All applicants must obtain and save a 
Certificate of Mailing showing the date when you submitted your 
application to the United States Postal Service (USPS). The Certificate 
of Mailing will be your documentary evidence that your application was 
timely filed.
    Applications Sent by Overnight/Express Mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, DHL, 
FedEx, and Falcon Carrier. Delivery by these services must be made 
during HUD Headquarters business hours, between 8:30 AM AND 5:30 PM 
Eastern Time, Monday to Friday. If these companies do not service your 
area, you should submit your application via the USPS.
    For Application Kits. An application kit is not necessary for 
submitting an application in response to this announcement. This 
announcement contains all the information necessary for the submission 
of your application for voucher funding under this announcement.
    For Further Information and Technical Assistance. Prior to the 
application due date, you may contact George C. Hendrickson, Housing 
Program Specialist, Room 4216, Office of Public and Assisted Housing 
Delivery, Department of Housing and Urban Development, 451 Seventh 
Street, SW, Washington, DC 20410; telephone (202) 708-1872, ext. 4064. 
Subsequent to application submission, you may contact the Grants 
Management Center at (202) 358-0221. (These are not toll-free numbers.) 
Persons with hearing or speech impairments may access these numbers via 
TTY (text telephone) by calling the Federal Information Relay Service 
at 1-800-877-8339 (this is a toll-free number).
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of an application. For more information about the date and 
time of this broadcast, you should consult the HUD Web site at 
www.hud.gov.

II. Amount Allocated

    (A) Available Funding. Approximately $20 million in one-year budget 
authority is available to provide assistance to approximately 3,950 
non-elderly disabled families (who are not currently receiving housing 
assistance in certain Section 8 project-based developments due to the 
owners

[[Page 14528]]

establishing a preference for the admission of elderly families, and 
for non-elderly disabled families not being housed in certain Section 
202, Section 221(d)(3) and Section 236 developments or portions thereof 
where the owners have restricted occupancy to elderly families).
    In the event approvable applications are received for more than the 
approximately $20 million announced as available under this 
announcement, funds will be transferred from the approximately $20 
million available under the funding announcement for Rental Assistance 
for Non-Elderly Persons with Disabilities in Support of Designated 
Housing Plans program to the extent funds remain unobligated after 
funding all approvable applications under that announcement.
    Any funding remaining unobligated under this announcement providing 
assistance for non-elderly persons with disabilities related to certain 
developments will be used first to fund any approvable applications 
under the announcement for Rental Assistance for Non-Elderly Persons 
With Disabilities in Support of Designated Housing Plans, for which 
there may be insufficient funds. Any funds still remaining unobligated 
will be used to fund any approvable applications under the announcement 
for Mainstream Housing Opportunities for Persons with Disabilities for 
which there are insufficient funds.
    (B) Voucher Funding and Preliminary Fees.
    (1) Voucher Funding.
    (a) Maximum Voucher Request. PHAs are limited to applying for no 
more than a maximum of 200 units (vouchers). A PHA may apply only for 
the number of units needed to house:
    (i) Those non-elderly disabled families who are on the waiting list 
of an owner of a Section 8 project-based development identified in 
Section III (A)(1) of this announcement where the owner elected to 
provide preferences to elderly families, and to house other non-elderly 
disabled families residing in the community who would qualify for one-
or zero-bedroom units; and/or
    (ii) Those non-elderly disabled families who are on the waiting 
list of an assisted housing development identified in Section III(A)(2) 
of this announcement, or are otherwise residing in the community, but 
in either instance are not being housed in these assisted housing 
developments where the owners have restricted occupancy in the 
developments (or portion thereof) to elderly. Non-elderly disabled 
families in this second category would also need to qualify for one-or 
zero bedroom units.

    Note: The PHA may apply for a two-bedroom unit under Section II 
(B) of this announcement in instances where a non-elderly disabled 
family requires the extra bedroom for purposes of a live-in aide, 
medical equipment, or other justifications based on a reasonable 
accommodations request.

    (b) Determination of Funding Amount for the PHA's Requested Number 
of Vouchers. HUD will determine the amount of funding that you will be 
awarded under this announcement based upon an actual annual per unit 
cost {except for Moving to Work (MTW) agencies the per unit cost will 
be calculated in accordance with the agency's MTW Agreement for MTW 
units} using the following two step process:
    (i) HUD will extract the total expenditures for all the PHA's 
housing choice voucher and certificate programs and the unit months 
leased information from the most recent approved year end statement 
(form HUD-52681) that the PHA has filed with HUD. HUD will divide the 
total expenditures for all the PHA's housing choice voucher and 
certificate programs by the unit months leased to derive an average 
monthly per unit cost.
    (ii) HUD will multiply the monthly per unit cost by 12 (months) to 
obtain an annual per unit cost.

    Note: If you do not currently administer a housing choice 
voucher program, your voucher funding will be based upon the annual 
per unit costs of a PHA in your most immediate area administering a 
housing choice voucher program, using the two step process described 
immediately above.

    (2) Preliminary Fee. A preliminary fee of up to $500 per unit for 
preliminary (start-up) expenses will be paid to PHAs that have not 
previously administered their own housing choice voucher program that 
are selected for funding under this announcement. The preliminary fee 
will be provided to such PHAs only in their first year administering 
housing choice vouchers.

III. Program Description, Eligible Applicants, and Eligible 
Participants

    (A) Program Description. This program provides housing choice 
vouchers to non-elderly disabled families who are not currently 
receiving housing assistance in certain Section 8 project-based 
developments due to the owners establishing preferences for the 
admission of elderly families, or in certain types of Section 202, 
Section 221(d)(3), or Section 236 developments where the owners are 
restricting occupancy in the developments (or portions thereof) to 
elderly families. The vouchers will enable non-elderly disabled 
families to rent affordable housing. The specific types of developments 
covered under these two broad categories are as follows:
    (1) Section 651 of the Housing and Community Development Act of 
1992 {42 U.S.C. 13611 allowed owners of the following covered Section 8 
project-based developments (limited to only such developments 
originally designed primarily for occupancy by elderly families){ to 
provide preferences to elderly families in selecting tenants for 
available assisted units in those projects:
    (a) Section 8 New Construction Program, 24 CFR part 880;
    (b) Section 8 Substantial Rehabilitation Program, 24 CFR part 881;
    (c) State Housing Agencies Program (insofar as involving new 
construction and substantial rehabilitation), 24 CFR part 883;
    (d) New Construction Set-Aside for Section 515 Rural Rental Housing 
Projects Program, 24 CFR part 884; and
    (e) Section 8 Housing Assistance Program for the Disposition of 
HUD-Owned Projects (insofar as involving substantial rehabilitation), 
24 CFR part 886, subpart C.
    (2) Section 658 of the 1992 Act provides that an owner of a 
Federally assisted project (or portion thereof) that was designed for 
occupancy for elderly families may continue to restrict occupancy in 
such project (or portion) to elderly families in accordance with the 
rules, standards, and agreements governing occupancy in such housing in 
effect at the time of the development of the housing. The three types 
of assisted housing developments covered by Section 658 are as follows:
    (a) Housing assisted under section 202 of the Housing Act of 1959, 
as such section existed before the enactment of the National Affordable 
Housing Act (NAHA);
    (b) Housing financed by a loan or mortgage insured under section 
221(d)(3) of the National Housing Act that bears an interest rate 
determined under section 221(d)(5); and
    (c) Housing insured, assisted or held by the Secretary or a State 
or State Agency under section 236 of the National Housing Act.
    (B) Eligible Applicants.
    (1) PHAs are eligible applicants. PHAs falling into any of the 
categories in Section VII (B)(2) of this announcement are ineligible to 
have an application funded under this announcement. A PHA may submit 
only one application. This one application per PHA limit applies 
regardless of whether or not the PHA is a State or regional PHA, except 
in those instances where such a PHA

[[Page 14529]]

has been assigned more than one PHA code number due to its operating 
under the jurisdiction of more than one HUD Field Office. In such 
instance, a separate application under each code shall be considered 
for funding, with the cumulative total of vouchers applied for under 
the applications not to exceed the maximum number of vouchers the PHA 
is eligible to apply for under Section II (B)(1)(a) of this 
announcement; i.e., no more than the number of vouchers the same PHA 
would be eligible to apply for if it only had one PHA code number.
    Indian Housing Authorities (IHAs), Indian tribes and their tribally 
designated housing entities are not eligible to apply because the 
Native American Housing Assistance and Self-Determination Act of 1996 
does not allow HUD to enter into new housing choice voucher (Section 8) 
annual contributions contracts (ACC) with IHAs after September 30, 
1997.
    In some cases a PHA currently administering the housing choice 
voucher program has, at the time of publication of this SuperNOFA, been 
designated by HUD as a troubled PHA under the Section 8 Management 
Assessment Program (SEMAP), or has major program management findings 
from Inspector General audits that are unresolved. HUD will not accept 
an application from such a PHA as a contract administrator if, on the 
application due date, the troubled designation under SEMAP has not been 
removed by HUD, or the findings are not resolved. If the PHA wants to 
apply for funding under this announcement, the PHA must submit an 
application that designates another contractor that is acceptable to 
HUD. The PHA's application must include an agreement with the other 
contractor to administer the new funding increment on behalf of the 
PHA, and (in the instance of a PHA with unresolved major program 
management findings) a statement that outlines the steps the PHA is 
taking to resolve the program findings.
    Immediately after the publication of this SuperNOFA, the Office of 
Public Housing in the local HUD Field Office will notify, in writing, 
those PHAs that have been designated by HUD as troubled under SEMAP, 
and those PHAs with unresolved major program management findings that 
are not eligible to apply without such an agreement. Concurrently, the 
local HUD Field Office will provide a copy of each such written 
notification to the Grants Management Center. The PHA may appeal the 
decision in writing, if HUD has mistakenly classified the PHA as having 
unresolved major program management findings. The PHA may not appeal 
its designation as a troubled PHA under SEMAP. Any appeal with respect 
to unresolved major program management findings must be accompanied by 
conclusive evidence of HUD's error (i.e., documentation showing that 
the finding has been cleared) and must be received prior to the 
application deadline. The appeal should be submitted to the local HUD 
Field Office where a final determination shall be made. Concurrently, 
the local HUD Field Office shall provide the Grants Management Center 
with a copy of the PHA's written appeal, and the Field Office's written 
response to the appeal. Major program management findings are those 
that would cast doubt on the capacity of the PHA to effectively 
administer any new housing choice voucher funding in accordance with 
applicable HUD regulatory and statutory requirements.
    (C) Eligible Participants. Eligible participants include non-
elderly disabled families who were on the waiting list (at the time of 
the PHA's application) of a covered development identified in this 
announcement where the owner had exercised a preference for the 
admission of elderly families, or restricted occupancy to elderly 
families, at the time the PHA received the names of these families from 
the owner of the development(s) for purposes of requesting housing 
choice vouchers in response to this announcement. These non-elderly 
disabled families need not be listed on the PHA's housing choice 
voucher waiting list in order to be offered and receive housing choice 
voucher assistance; i.e., it is sufficient that their names are on the 
waiting list for a covered development at the time their names are 
provided to the PHA by the owner. Eligible participants also include 
other non-elderly disabled families residing in the community who would 
qualify for a one-or zero-bedroom unit. (See the note in this 
announcement at the end of Section II(B)(1)(a) for those limited 
instances in which a PHA could also apply for funding for a two-bedroom 
unit.) Non-elderly disabled families must be income eligible under 24 
CFR 982.201(b)(1) in order to receive a housing choice voucher, as well 
as otherwise eligible for assistance under the regulations at 24 CFR 
part 982.201(b). Additional information on the eligibility requirements 
for a family or individual to receive a housing choice voucher are 
located at the following HUD Web site: www.hud.gov/offices/pih/programs/hcv.

IV. Program Requirements and Operations

    In addition to the civil rights compliance and nondiscrimination 
requirements listed in the General Section of this SuperNOFA, grantees 
must meet the following program requirements:
    (A) Affirmatively Furthering Fair Housing. Each successful 
applicant will have a duty to affirmatively further fair housing. 
Applicants will be required to identify the specific steps that they 
will take to:
    (1) Examine the PHA's own programs or proposed programs, including 
an identification of any impediments to fair housing (identified in the 
jurisdiction's Analysis of Impediments (AI) to Fair Housing Choice in 
its Consolidated Plan); develop a plan to (a) address those impediments 
in a reasonable fashion in view of the resources available; (b) work 
with the local jurisdictions to implement any of the jurisdictions' 
initiatives to affirmatively further fair housing; and (c) maintain 
records reflecting these analyses and actions;
    (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 under this announcement to address 
affirmatively furthering fair housing.
    (B) Certifications and Assurances. Each applicant is required to 
submit signed copies of Assurances and Certifications. The standard 
Assurances and Certifications are on Form HUD-52515, Funding 
Application, which includes the Equal Opportunity Certification, 
Certification Regarding Lobbying, and Certification Regarding Drug-Free 
Workplace Requirements.
    (C) Voucher Assistance Requirements.
    (1) Housing Choice Voucher Program regulations. PHAs must 
administer the housing choice vouchers received under this announcement 
in accordance with HUD regulations and requirements governing the 
Housing Choice Voucher Program.
    (2) Housing Choice Voucher admission requirements. Housing choice 
vouchers must be provided to eligible applicants in conformity with 
regulations and requirements governing the Housing Choice Voucher 
Program and the PHA's administrative plan.
    (3) Turnover. When a voucher under this announcement becomes 
available for reissue (e.g., the family initially selected for the 
program drops out of the program or is unsuccessful in the search

[[Page 14530]]

for a unit), the voucher may be used only for another non-elderly 
disabled family eligible for assistance under this announcement for one 
year from the date the voucher funding is placed under an annual 
contributions contract (ACC).
    If there is ever an insufficient pool of non-elderly disabled 
families on the PHA's housing choice voucher waiting list, the PHA 
shall conduct outreach to encourage eligible persons to apply for this 
special allocation of vouchers. Outreach may include contacting 
independent living centers, advocacy organizations for persons with 
disabilities, and medical, mental health, and social service providers 
for referrals of persons who would benefit from housing choice voucher 
assistance. If the PHA's housing choice voucher waiting list is closed, 
and if the PHA has insufficient applicants on its housing choice 
voucher waiting list to use all awarded vouchers under this 
announcement, the PHA should open the waiting list for applications 
from non-elderly disabled families. PHAs must take care to keep track 
of the number of non-elderly disabled vouchers they have been awarded 
versus the number of such vouchers that have actually been issued to 
non-elderly disabled families.
    (D) PHA Responsibilities. In addition to PHA responsibilities under 
the Housing Choice Voucher Program and HUD regulations concerning 
nondiscrimination based on disability (24 CFR 8.28) and to 
affirmatively further fair housing, PHAs that receive voucher funding 
shall:
    (1) Where requested by an individual, assist program participants 
to gain access to supportive services available within the community, 
but not require eligible applicants or participants to accept 
supportive services as a condition of participation or continued 
occupancy in the program.
    (2) Identify public and private funding sources to assist 
participants with disabilities in covering the costs of modifications 
that need to be made to their units as a reasonable accommodation for 
their disabilities.
    (3) Not deny persons who qualify for a housing choice voucher under 
this program other housing opportunities, or otherwise restrict access 
to PHA programs to eligible applicants who choose not to participate.
    (4) Provide housing choice voucher search assistance.
    (5) In accordance with regulatory guidance, provide higher rent to 
owners necessary for the provision of accessible units and structural 
modifications for persons with disabilities.
    (6) Provide technical assistance to owners for making reasonable 
accommodations or making units accessible to persons with disabilities.
    PHAs are encouraged to coordinate with/involve nonprofit disability 
organizations in their meeting the requirements of paragraphs 1, 2, 4 
and 6 immediately above. PHAs are encouraged to seek out nonprofit 
disability organizations in this regard due to such organizations' 
capacity for assisting disabled families, and their in-depth knowledge 
of the disability community and the available resources to assist 
disabled persons.
    (E) Definitions.
    (1) Elderly Family. A family whose head of household, spouse, or 
sole member is 62 years or older.
    (2) Non-elderly Disabled Family. A family who is not elderly, and 
whose head, spouse, or sole member is a person with disabilities. It 
may include two or more persons with disabilities living together, or 
one or more persons with disabilities living with one or more live-in 
aides.
    (3) Person with Disabilities. Means a person who--
    (a) Has a disability as defined in 42 U.S.C. 423;
    (b) Is determined, pursuant to HUD regulations, to have a physical, 
mental or emotional impairment that:
    (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 the ability to live independently 
could be improved by more suitable housing conditions;
    (c) Has a developmental disability as defined in 42 U.S.C. 6001;
    (d) Does not exclude persons who have the disease of acquired 
immunodeficiency syndrome or any conditions arising from the etiologic 
agent for acquired immunodeficiency syndrome; and
    (e) For purposes of qualifying for low-income housing, does not 
include a person whose disability is based solely on any drug or 
alcohol dependence.
    (4) Housing Choice Voucher Search Assistance. Assistance to 
increase access by program participants to housing units in a variety 
of neighborhoods (including areas with low poverty and/or minority 
concentrations) and to locate and obtain units suited to their needs.
    (F) Homeownership and Family Self-Sufficiency (FSS). Applicants are 
encouraged to establish or expand upon an existing housing choice 
voucher homeownership program, as well as complete the closing process 
on homeownership units. Applicants are also encouraged to fill slots 
under a mandatory FSS program and to establish a voluntary FSS program 
and fill slots thereunder where a mandatory FSS program is not 
required.
    (G) Increasing the Participation of Faith-Based and Community-Based 
Organizations in HUD Program Implementation. HUD believes that 
grassroots organizations; e.g., civic organizations, congregations, and 
other community-based and faith-based organizations, have not been 
effectively utilized. These grassroots organizations have a strong 
history of providing vital community services such as assisting the 
homeless and preventing homelessness; counseling individuals and 
families on fair housing rights; providing elderly housing 
opportunities; developing first time homeownership programs; increasing 
homeownership and rental housing opportunities; developing affordable 
and accessible housing in neighborhoods across the country; and 
creating economic development programs. The goal of this policy 
priority to make HUD's housing choice voucher program more effective, 
efficient, and accessible by expanding opportunities for faith-based 
and other community-based organizations to participate in developing 
solutions for their own neighborhoods. PHAs are encouraged to 
coordinate with and otherwise involve faith-based and other community-
based organizations in those activities under the housing choice 
voucher program where their services, expertise and knowledge may be 
most effective.
    (H) Conducting Business in Accordance With Core Values and Ethical 
Standards. To reflect core values, all PHAs shall develop and maintain 
a written code of conduct in the PHA administrative plan that (1) 
requires compliance with the conflict of interest requirements of the 
Housing Choice Voucher Program at 24 CFR 982.161, and (2) prohibits the 
solicitation or acceptance of gifts or gratuities, in excess of a 
nominal value, by any officer or employee of the PHA, or any 
contractor, subcontractor or agent of the PHA. The PHA's administrative 
plan shall state PHA policies concerning PHA administrative and 
disciplinary remedies for violation of the PHA code of conduct. The PHA 
shall inform all officers, employees and agents of its organization of 
the PHA's code of conduct

V. Application Selection Process

    After the Grants Management Center has screened all applications 
and

[[Page 14531]]

disapproved any found unacceptable for further processing, the Grants 
Management Center will review all remaining applications to ensure that 
they are technically adequate and responsive to the requirements 
identified in this program section of the SuperNOFA.
    HUD Headquarters will fund on a first-come, first-serve basis all 
approvable applications that are recommended for funding by the Grants 
Management Center, based upon the date and time the application is 
received in the Grants Management Center. As applications are selected, 
the cost of funding the applications will be subtracted from the funds 
available. In the event approvable applications are received for more 
than the approximately $20 million available, funds will be transferred 
from the approximately $20 million available under the Rental 
Assistance for Non-elderly Persons with Disabilities in Support of 
Designated Housing Plans program to the extent such funds have not been 
obligated under that program for approvable applications. Applications 
will be funded for the total number of units requested and recommended 
for approval by the Grants Management Center. When remaining budget 
authority is insufficient to fund the last selected application in 
full, the Grants Management Center will fund that application to the 
extent of the funding available, unless the application indicates that 
the PHA will only accept a higher number of units. In that event, HUD 
will fund the next selected application that has indicated a 
willingness to accept the lesser amount of funding for units available.

VI. Application Submission Requirements

    (A) Form HUD-52515. All PHAs must complete and submit form HUD-
52515, Funding Application, for the Housing Choice Voucher Program 
(dated January 1996). This form includes all necessary certifications 
for Fair Housing, Drug Free Workplace and Lobbying Activities. PHAs are 
requested to enter their housing authority code number (for example, 
CT002), telephone number, facsimile number, and electronic mail address 
in the same space at the top of the form where they also enter the 
PHA's name and mailing address. Section C of the form should be left 
blank. The form must be completed in its entirety, with the exception 
of Section C, signed and dated. A copy of Form HUD-52515 is included in 
the forms found in the General Section of the SuperNOFA. Copies of the 
form may also be downloaded from the following HUD Web site: 
www.hud.gov. (On the HUD Web site click on ``handbooks and forms,'' 
then click on ``forms,'' then click on ``HUD-5'' and click on ``HUD-
52515.'') In addition, the Form HUD-52515 will also be posted with the 
Certain Developments funding announcement at the following HUD Web 
site: www.hud.gov/offices/adm/grants/fundsavail.cfm.
    (B) Letter of Intent and Narrative. The PHA must state in its cover 
letter to the application whether the PHA will accept a reduction in 
the number of vouchers, and the minimum number of vouchers the PHA will 
accept, since the funding is limited and HUD may only have enough funds 
to approve a smaller amount than the number of vouchers requested. The 
maximum number of vouchers that a PHA may apply for under this 
announcement is limited to 200.
    PHAs that do not currently administer a housing choice voucher 
program must identify the nearest PHA (including the full name, 
address, and tel. no.) that does administer a housing choice voucher 
program. This information will be necessary for HUD to calculate annual 
per unit costs for voucher funding awarded under this funding 
announcement to such PHAs (see section II (B)(1)(b) of this funding 
announcement).
    (C) Demonstration of Need: Certification/Waiting List Information 
and Other Non-Elderly Disabled Families Residing in the Community. In 
order to support the number of vouchers being requested on the form 
HUD-52515, the PHA's application must include:
    (1) A certification from the owner of a covered development (see 
the different types of covered developments listed in Section III(A)(1) 
and (2) of this announcement), stating the specific type of covered 
development, preferences are provided to elderly families in selecting 
tenants (Section 8 project-based developments) or occupancy in the 
development (or portion thereof) is restricted to elderly families 
(assisted housing developments), and the number of non-elderly disabled 
families on the owner's waiting list for the development. PHAs should 
contact the local HUD Field Office's Director, Multifamily Division, to 
get the names, addresses and telephone numbers of the developments 
falling under Section III (A)(1) and (2) in this announcement. The PHA 
will then need to contact the management/owners of these developments 
within their jurisdiction to verify that the development is a covered 
development. Owners of covered developments are encouraged to cooperate 
with PHAs and provide the required certification (if applicable) in a 
timely manner, along with the names, addresses and telephone numbers of 
those families on the development's waiting list that are non-elderly 
disabled families.
    (2) PHAs must also submit information supportive of the number of 
other non-elderly disabled families residing in the community who would 
qualify for one-bedroom or zero-bedroom units (not on the waiting lists 
of covered developments). (See the note at the end of Section II 
(B)(1)(a) of this announcement which identifies those limited instances 
in which a PHA may apply for funding for a two-bedroom unit.) The 
application must demonstrate a need for vouchers by providing 
information documenting that the demand for housing for non-elderly 
disabled families would equal or exceed the requested number of 
vouchers (not to exceed 200). The PHA must assess and document the need 
using a range of sources including, but not limited to: census data, 
information from the PHA's waiting list (both public housing and 
housing choice voucher), statistics on recent public housing admissions 
and voucher use, data from local advocacy groups and local public and 
private service agencies familiar with the housing needs of non-elderly 
disabled families, and pertinent information from the Consolidated Plan 
(including the Analysis of Impediments to Fair Housing Choice) 
applicable to the PHA's jurisdiction. (See 24 CFR 91.205(d).)
    (D) Statement Regarding the Steps the PHA Will Take to 
Affirmatively Further Fair Housing. The areas to be addressed in the 
PHA's statement must include, but not necessarily be limited to:
    (1) The examination of the PHA's own programs or proposed programs, 
including an identification of any impediments to fair housing 
(identified in the jurisdiction's Analysis of Impediments (AI) to Fair 
Housing Choice in its Consolidated Plan); and a description of a plan 
developed to (a) address those impediments in a reasonable fashion in 
view of the resources available; (b) work with local jurisdictions to 
implement any of the jurisdictions' initiatives to affirmatively 
further fair housing; and (c) the maintenance of records reflecting 
this analysis and actions;
    (2) Remedy discrimination in housing for persons with disabilities 
regardless of race, color, religion, sex, familial status, national 
origin, or nature of disability; or

[[Page 14532]]

    (3) Promote fair housing rights and fair housing choice.
    The PHA's statement must fully address the above areas. A general 
statement that the PHA will promote fair housing choice by reason of 
not discriminating on the basis of race, color, religion, etc. will not 
be sufficient.
    (E) Moving to Work (MTW) PHA Certification. See Section VII 
(B)(2)(c) regarding the 97 percent lease-up or budget authority 
utilization certification to be submitted by an MTW PHA not required to 
report under SEMAP.
    (F) Form HUD-2993. All PHAs must complete and submit form HUD--
2993, Acknowledgement of Application Receipt. In addition to the PHA 
entering its name and address on the form, the full title of the 
program under which the PHA is seeking funding must also be entered. 
This form is located in the General Section of the SuperNOFA and is 
also available at the following HUD Web site: www.hud.gov. On this Web 
site click on ``handbooks and forms.''

VII. Corrections to Deficient Applications

    (A) Acceptable Applications. The application must include all of 
the information specified in Section VI, Application Submission 
Requirements, of this announcement. The General Section of the 
SuperNOFA provides the procedures for corrections to deficient 
applications.
    (B) Unacceptable Applications
    (1) After the 14-calendar day technical deficiency correction 
period (as provided in the General Section), the Grants Management 
Center will disapprove all applications that the Grants Management 
Center determines are not acceptable for processing. The Grants 
Management Center's notification of rejection letter will state the 
basis for the decision. The applicant may request an applicant 
debriefing. Beginning not less than 30 days after the awards for 
assistance are announced in the Federal Register, and for not longer 
than 120 days, HUD will, upon receiving a written request from the 
applicant, provide a debriefing to the requesting applicant. Applicants 
requesting to be debriefed must send a written request to Michael 
Diggs, Director, Grants Management Center, Department of Housing and 
Urban Development, 501 School Street, SW, Suite 800, Washington, DC 
20024.
    (2) Applications that fall into any of the following categories 
will not be processed:
    (a) Applications that do not meet the threshold fair housing and 
civil rights compliance requirements of Section II(B) of the General 
Section of the SuperNOFA.
    (b) The PHA is designated as troubled by HUD under SEMAP, or has 
major program management findings in an Inspector General audit for its 
voucher or certificate programs that are unresolved. The only exception 
to this category is if the PHA has been identified under the policy 
established in Section III (B)(2) of this announcement and the PHA 
makes application with a designated contract administrator. Major 
program management findings are those that would cast doubt on the 
capacity of the PHA to effectively administer any new housing choice 
voucher funding in accordance with applicable HUD regulatory and 
statutory requirements.
    (c) The PHA has failed to achieve a lease-up or budget authority 
utilization rate of 97 percent for its combined certificate and voucher 
units under contract for its fiscal year ending on either September 30, 
2000; December 31, 2000; March 31, 2001; or June 30, 2001. PHAs that 
have been determined by HUD to have passed either the 97 percent lease-
up, or 97 percent budget authority utilization requirement for their 
fiscal year ending on either September 30, 2000; December 31, 2000; 
March 31, 2001; or June 30, 2001, will be listed with this funding 
announcement at the following HUD Web site: www.hud.gov/offices/adm/grants/fundsavail.cfm. A PHA not listed may submit monthly lease-up and 
budget authority utilization information (following the methodology of 
Appendix A of this announcement and using the format in Appendix B 
which also includes a blank version of the format) as part of its 
application supportive of its contention that it should have been 
included among those PHAs HUD listed on the HUD web site as having 
achieved either a 97 percent lease-up rate or 97 percent funding 
utilization rate for its fiscal year ending on either September 30, 
2000; December 31, 2000; March 31, 2001; June 30, 2001; or subsequent 
full fiscal year not yet processed by HUD but certified by the 
applicant. Unless utilization information is submitted on the blank 
form in Appendix B, the application will otherwise be determined 
ineligible for funding under this announcement.

    Note:
    The lease-up and budget authority utilization requirement shall 
not apply to applicants not currently administering a voucher 
program, or to new units associated with funding increments 
obligated during the applicant's last fiscal year and units 
obligated for litigation. In addition, lease-up or budget authority 
utilization rates of 96.5 percent but less than 97 percent will be 
rounded up to 97 percent.

    Moving To Work (MTW) agencies that are required to report under the 
Section 8 Management Assessment Program (SEMAP) shall be held to the 97 
percent lease-up and budget authority utilization requirements 
referenced above. MTW agencies which are not required to report under 
SEMAP must submit a certification with their application certifying 
that they are not required to report under SEMAP, and that they meet 
the 97 percent lease-up or budget authority utilization requirement.
    (d) The PHA is involved in litigation and HUD determines that the 
litigation may seriously impede the ability of the PHA to administer 
the vouchers.
    (e) An application that does not comply with the requirements of 24 
CFR 982.102 and this program section after the expiration of the 14-
calendar day technical deficiency correction period will be rejected 
from processing.
    (f) The application was submitted after the application due date.
    (g) The application was not submitted to the official place of 
receipt as indicated in the paragraph entitled ``Address for Submitting 
Applications'' at the beginning of this announcement.
    (h) The applicant has been debarred or otherwise disqualified from 
providing assistance under the program.
    (i) The PHA did not have its PHA plans approved by HUD for the FY 
2000 plan cycle on the application due date for this funding 
announcement.

VIII. Environmental Requirements

    In accordance with 24 CFR 50.19(b)(11) and 58.35(b)(1) of the HUD 
regulations, tenant-based rental activities under this program are 
categorically excluded from the requirements of the National 
Environmental Policy Act of 1969 (NEPA) and are not subject to 
environmental review under the related laws and authorities. Activities 
under the homeownership option of this program are categorically 
excluded from NEPA requirements and excluded from other environmental 
requirements under 24 CFR 58.5 in accordance with 24 CFR 58.35(b)(5), 
but PHAs are responsible for the environmental requirements in 24 CFR 
982.626(c).

IX. Authority

    Authority for this program is found in the Departments of Veteran's 
Affairs and Housing and Urban Development, and Independent Agencies 
Appropriations Act, FY 2002 (Pub.L. 107-73, approved November 26, 
2001). This FY 2002 Appropriations Act authorized

[[Page 14533]]

appropriations for housing choice vouchers to assist non-elderly 
disabled families affected by the establishment of preferences in 
accordance with section 651 of the Housing and Community Development 
Act of 1992, or the restriction of occupancy to elderly families in 
accordance with section 658 of the Act. The FY 2002 Appropriations Act 
also allows the Secretary to transfer any unobligated funds for this 
purpose to assist non-elderly disabled families to the extent they are 
not needed under Sections 651 and 658 for such families. Therefore, any 
funds remaining unobligated under this program section of this 
SuperNOFA will be used first to fund any approvable applications under 
the Rental Assistance for Non-Elderly Persons With Disabilities in 
Support of Designated Housing Plans program for which there are 
insufficient funds. Thereafter, any funds still remaining unobligated 
will be used to fund applications under the Mainstream Program in the 
SuperNOFA.
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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14541]]



FUNDING AVAILABILITY FOR RENTAL ASSISTANCE FOR NON-ELDERLY PERSONS 
WITH DISABILITIES IN SUPPORT OF DESIGNATED HOUSING PLANS

PROGRAM OVERVIEW

    Purpose of the Program. The purpose of the voucher funding being 
made available under the Housing Choice Voucher Program through this 
announcement is to enable non-elderly families with disabilities to 
access affordable private housing. The vouchers will assist public 
housing agencies (PHAs) in providing sufficient alternative resources 
to meet the housing needs of those non-elderly disabled families who 
would have been housed by the PHA if occupancy in a designated public 
housing project/building (or portion thereof) were not restricted to 
elderly households, and assist PHAs who wish to continue to designate 
their buildings as ``mixed elderly and disabled buildings'' but can 
demonstrate a need for alternative resources for non-elderly disabled 
families.
    Available Funds. Approximately $20 million in one-year budget 
authority for approximately 3,950 housing choice vouchers.
    Eligible Applicants. Public housing agencies (PHAs). PHAs that fall 
into any of the categories in section VII(B)(2) of this announcement 
are ineligible to have an application funded under this announcement. 
Indian Housing Authorities, Indian tribes and their tribally designated 
housing entities are not eligible to apply because the Native American 
Housing Assistance and Self-Determination Act of 1996, does not allow 
HUD to enter into new housing choice voucher annual contributions 
contracts (ACC) with IHAs after September 30, 1997. Further, IHAs would 
not otherwise have been eligible to apply under this announcement 
because the requirements of section 7 of the U.S. Housing Act of 1937 
(42 U.S.C. 1437e) regarding designated housing plans are not applicable 
to IHAs.
    Application Deadline. The application in its entirety must be 
submitted to HUD's Grants Management Center by July 23, 2002. By not 
later than May 20, 2002, the designated housing plan portion of the 
application must be submitted to HUD's Special Application Center.
    Match: None.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information.

I. Application Due Dates, Application Kits, Further Information and 
Technical Assistance

    Application Due Dates. Submit your original and one copy of your 
completed application (including the designated housing plan, as 
appropriate) to HUD on or before July 23, 2002. See the paragraphs 
titled ``Mailed Applications'' and ``Applications Sent by Overnight/
Express Mail Delivery'' in section I of this funding announcement 
regarding the specific time on the application due date by which 
applications are to be submitted. This application deadline date is 
firm. In the interest of fairness to all competing PHAs, HUD will not 
consider any application that is received after the application 
deadline. Applicants should take this practice into account and make 
early submission of their materials to avoid any risk of loss of 
eligibility brought about by unanticipated delays or other delivery-
related problems. HUD will not accept, at any time during the 
competition under this funding announcement, application materials sent 
via facsimile (FAX) transmission.
    Address for Submitting Applications. Your completed application 
consists of an original and two copies. Submit the original application 
and one copy to: Michael Diggs, Director, Grants Management Center, 
Department of Housing and Urban Development, 501 School; Street, SW, 
Suite 800, Washington, DC 20024. The Grants Management Center (GMC) is 
the official place of receipt for all applications in response to this 
announcement of funding availability. Applications not submitted to the 
GMC will not be considered.
    Submit one copy of the designated housing plan portion of your 
application to the Office of Public Housing, Special Application Center 
(SAC), Room 2401, 77 West Jackson Boulevard, Chicago, IL 60604 (312-
886-9754), so as to be received by the SAC by not later than May 20, 
2002. See the paragraph titled ``Mailed Applications'' in section I of 
this funding announcement regarding the specific time on the 
application due date by which applications are to be submitted.

    Note: The Special Application Center is allowed, by statute, 60 
days in which to review a PHA's designated housing plan.

    A PHA submitting an application for voucher funding under this 
announcement shall not be eligible for funding if it does not submit 
its entire application to the GMC, and the designated housing plan 
portion of its application (as applicable) to the SAC, by the deadline 
dates specified above.
    A copy of your application is not required to be submitted to the 
local HUD Field Office. For ease of reference, the term ``local HUD 
Field Office'' will be used in this announcement to mean the local HUD 
Field Office Hub and local HUD Field Office Program Center. A listing 
of HUD Field Offices is attached to the General Section of this 
SuperNOFA.
    New Security Procedures. In response to the terrorist attacks in 
September 2001, HUD has implemented new security procedures that impact 
on application submission procedures. Please read the following 
instructions carefully and completely. HUD will not accept hand 
delivered applications. Applications may be mailed to the GMC in HUD 
Headquarters, or (for the designated housing plan portion of the 
application) to the SAC in Chicago, Illinois, using the United States 
Postal Service (USPS). Applications may also be shipped to the GMC via 
the following delivery services: United Parcel Service (UPS), FedEx, 
DHL, or Falcon Carrier. (Use of these delivery services or any other 
delivery services for the submission of the designated housing plan 
portion of the application to the SAC is not allowed.) No other 
delivery services are permitted into HUD Headquarters without escort. 
You must, therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered to be 
timely filed if your application is postmarked on or before 12:00 
midnight on the application due date and received by the GMC (the 
entire application) and the SAC (designated housing plan portion of the 
application) within fifteen (15) days of the application due dates 
applicable to each of these separate submissions. All applicants must 
obtain and save a Certificate of Mailing showing the date when you 
submitted your application to the United States Postal Service (USPS). 
The Certificate of mailing will be your documentary evidence that your 
application was timely filed.
    Applications Sent to the GMC by Overnight/Express Mail Delivery. If 
your application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD

[[Page 14542]]

Headquarters regularly. These services are UPS, DHL, FedEx, and Falcon 
Carrier. Delivery by these services must be made during HUD 
Headquarters business hours, between 8:30AM and 5:30PM Eastern Time, 
Monday to Friday. If these companies do not service your area, you 
should submit your application via the USPS. (The submission by a PHA 
to the SAC of the designated housing plan portion of its application 
must be done solely by mail using the USPS.)
    For Application Kits. An application kit is not necessary for 
submitting an application in response to this announcement. This 
announcement contains all the information necessary for the submission 
of your application for voucher funding under this announcement.
    For Further Information and Technical Assistance. Prior to the 
application due date, you may contact George C. Hendrickson, Housing 
Program Specialist, Room 4216, Office of Public and Assisted Housing 
Delivery, Department of Housing and Urban Development, 451 Seventh 
Street, SW., Washington, DC 20410; telephone (202) 708-1872, ext.4064. 
Subsequent to application submission, you may contact the Grants 
Management Center at (202) 358-0221. (These are not toll-free numbers.) 
Persons with hearing or speech impairments may access these numbers via 
TTY (text telephone) by calling the Federal Information Relay Service 
at 1-800-877-8339 (this is a toll-free number).
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of an application. For more information about the date and 
time of this broadcast, you should consult the HUD Web site at 
www.hud.gov.

II. Amount Allocated.

    (A) Available Funding. Approximately $20 million in one-year budget 
authority is available for housing choice vouchers for non-elderly 
disabled families in support of designated housing plans to designate 
public housing for occupancy by elderly families only, or elderly 
families and disabled families only. This funding is expected to 
provide assistance to approximately 3,950 non-elderly disabled 
families.
    The FY 2002 HUD Appropriations Act allows the Secretary of HUD to 
transfer any unobligated funds for support of designated housing plans 
to assist non-elderly disabled families to the extent they are not 
needed to fund approvable applications related to designated housing 
plans during FY 2002. Accordingly, any funds remaining unobligated 
under this announcement will first be used to fund any approvable 
applications under HUD's announcement for Rental Assistance for Non-
Elderly Persons with Disabilities Related to Certain Types of Section 8 
Project-Based Developments and Section 202, Section 221(d)(3) and 
Section 236 Developments, for which there are insufficient funds. Any 
funds still remaining unobligated under this announcement for funding 
in support of designated housing plans shall be used to fund any 
approvable applications under HUD's announcement for Mainstream Housing 
Opportunities For Persons With Disabilities, for which there are 
insufficient funds.
    (B) Voucher Funding.
    (1) Maximum Voucher Request. A PHA may apply for only the number of 
units needed to house those non-elderly disabled families that 
otherwise would have been housed if not for the designation of a 
project/building (or portion thereof) for occupancy by the elderly 
only. The size of the units applied for must bear a direct relationship 
to the size of the units designated. PHAs are limited to applying for 
no more than a maximum of 200 units (vouchers).
    (2) Determination of Funding Amount for the PHA's Requested Number 
of Vouchers. HUD will determine the amount of funding that a PHA will 
be awarded under this announcement based upon an actual annual per unit 
cost {except for Moving to Work (MTW) agencies the per unit cost will 
be calculated in accordance with the agency's MTW Agreement for MTW 
units} using the following two step process:
    (a) HUD will extract the total expenditures for all the PHA's 
housing choice voucher and certificate programs and the unit months 
leased information from the most recent approved year end statement 
(form HUD-52681) that the PHA has filed with HUD. HUD will divide the 
total expenditures for all of the PHA's housing choice voucher and 
certificate programs by the unit months leased to derive an average 
monthly per unit cost.
    (b) HUD will multiply the monthly per unit cost by 12 (months) to 
obtain an annual per unit cost.

    Note: Applicants who do not currently administer a housing 
choice voucher program shall have their voucher funding based upon 
the actual annual per unit costs of the PHA in their most immediate 
area administering a housing choice voucher program, using the two 
step process described immediately above.

    (3) Preliminary Fee. A preliminary fee of up to $500 per unit for 
preliminary (start-up) expenses will be paid to PHAs that have not 
previously administered their own housing choice voucher program and 
that are selected for funding under this announcement. The preliminary 
fee will be provided to such PHAs only in their first year 
administering housing choice vouchers.

III. Program Description, Eligible Applicants, and Eligible 
Participants

    (A) Program Description. This program provides housing choice 
vouchers to assist non-elderly disabled families who would have been 
housed by a PHA if occupancy in the designated public housing project/
building (or portion thereof) were not restricted to elderly 
households, and assist PHAs that wish to continue to designate their 
projects/buildings (or portions thereof) as ``mixed elderly and 
disabled buildings'' and can demonstrate a need for alternative housing 
resources for non-elderly disabled families that is consistent with the 
jurisdiction's Consolidated Plan and the low-income housing needs of 
the jurisdiction.
    (B) Eligible Applicants. PHAs are the eligible applicants. PHAs 
that fall into any of the categories in section VII(B)(2) of this 
announcement are ineligible to have an application funded under this 
announcement. A PHA may submit only one application under this 
announcement. This one application per PHA limit applies regardless of 
whether the PHA is a State or regional PHA, except in those instances 
where such a PHA has more than one PHA code number due to its operating 
under the jurisdiction of more than one HUD Field Office. In such 
instance, a separate application under each code shall be considered 
for funding, with the cumulative total of vouchers applied for under 
the applications not to exceed the maximum number of vouchers the PHA 
is eligible to apply for under section II (B)(1) of this announcement; 
i.e., no more than the number of vouchers the same PHA would be 
eligible to apply for if it only had one PHA code number.
    Indian Housing Authorities (IHAs), Indian tribes and their tribally 
designated housing entities are not eligible to apply because the 
Native American Housing Assistance and Self-Determination Act of 1996, 
does not allow HUD to enter into new Housing Choice Voucher Program 
annual contributions contracts (ACC) with IHAs after September 30, 
1997. Further, IHAs would not otherwise have been eligible to apply 
under this announcement because the requirements of section 7 of the 
U.S. Housing Act of 1937 (42 U.S.C.

[[Page 14543]]

1437e) regarding designated housing plans are not applicable to IHAs.
    In some cases a PHA currently administering the housing choice 
voucher program has, at the time of publication of this SuperNOFA, been 
designated by HUD as a troubled PHA under the Section 8 Management 
Assessment Program (SEMAP), or has major program management findings 
from Inspector General audits that are unresolved. HUD will not accept 
an application from such a PHA as a contract administrator if, on the 
application due date, the troubled designation under SEMAP has not been 
removed by HUD, or the findings are not resolved. If the PHA wants to 
apply for funding under this announcement, the PHA must submit an 
application that designates another contractor that is acceptable to 
HUD. The PHA's application must include an agreement by the other 
contractor to administer the new funding increment on behalf of the 
PHA, and (in the instance of a PHA with unresolved major program 
management findings) a statement that outlines the steps the PHA is 
taking to resolve the program findings.
    Immediately after the publication of this SuperNOFA, the Office of 
Public Housing in the local HUD Field Office will notify, in writing, 
those PHAs that have been designated by HUD as troubled under SEMAP, 
and those PHAs with unresolved major program management findings that 
are not eligible to apply without such an agreement. Concurrently, the 
local HUD Field Office will provide a copy of each such written 
notification to the Grants Management Center. The PHA may appeal the 
decision, in writing, if HUD has mistakenly classified the PHA as 
having unresolved major program management findings. The PHA may not 
appeal its designation as a troubled PHA under SEMAP. Any appeal with 
respect to unresolved major program management findings must be 
accompanied by conclusive evidence of HUD's error (i.e., documentation 
showing that the finding has been cleared) and must be received prior 
to the application deadline. The appeal should be submitted to the 
local HUD Field Office where a final determination shall be made. 
Concurrently, the local HUD Field Office shall provide the Grants 
Management Center with a copy of the PHA's written appeal and the Field 
Office's written response to the appeal. Major program management 
findings are those that would cast doubt on the capacity of the PHA to 
effectively administer any new housing choice voucher funding in 
accordance with applicable HUD regulatory and statutory requirements.
    (C) Eligible Participants. Only non-elderly disabled families that 
are income eligible under 24 CFR 982.201(b)(1) and who live in public 
housing that has been designated for occupancy by the elderly, or non-
elderly disabled families who are on the PHA's public housing waiting 
list, may receive a voucher awarded in conjunction with an approved 
designated housing plan. Such families need not be listed on the PHA's 
housing choice voucher waiting list in order to be offered and receive 
a housing choice voucher. These families may be admitted to the housing 
choice voucher program as a special admission (24 CFR 982.203). 
Additional information on the eligibility requirements for a family or 
individual to receive a housing choice voucher are located at the 
following HUD Web site: www.hud.gov/offices /pih/programs/hcv.

IV. Program Requirements and Definitions

    In addition to the civil rights compliance and nondiscrimination 
requirements listed in the General Section of this SuperNOFA, grantees 
must meet the following program requirements:
    (A) Affirmatively Furthering Fair Housing. Each successful 
applicant will have a duty to affirmatively further fair housing. 
Applicants will be required to identify the specific steps that they 
will take to:
    (1) Examine the PHA's own programs or proposed programs, including 
an identification of any impediments to fair housing (identified in the 
jurisdiction's Analysis of Impediments (AI) to Fair Housing Choice in 
its Consolidated Plan); develop a plan to (a) address those impediments 
in a reasonable fashion in view of the resources available; (b) work 
with the local jurisdictions to implement any of the jurisdictions' 
initiatives to affirmatively further fair housing; and (c) maintain 
records reflecting these analyses and actions;
    (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 under this announcement to address 
affirmatively furthering fair housing.
    (B) Certifications and Assurances. Each applicant is required to 
submit signed copies of Assurances and Certifications. The standard 
Assurances and Certifications are on Form HUD-52515, Funding 
Application, which includes the Equal Opportunity Certification, 
Certification Regarding Lobbying, and Certification Regarding Drug-Free 
Workplace Requirements.
    (C) Voucher Assistance Requirements.
    (1) Housing Choice Voucher Program Regulations. PHAs must 
administer the housing choice vouchers received under this announcement 
in accordance with HUD regulations and requirements governing the 
Housing Choice Voucher Program.
    (2) Housing Choice Voucher Admission Requirements. Housing choice 
vouchers must be provided to eligible applicants in conformity with 
regulations and requirements governing the Housing Choice Voucher 
Program and the PHA's administrative plan.
    (3) Turnover. When a voucher under this announcement becomes 
available for reissue (e.g., the non-elderly disabled family initially 
selected for the program drops out of the program or is unsuccessful in 
the search for a unit), the rental assistance may be used only for 
another non-elderly disabled family eligible for assistance under this 
announcement for one year from the date the rental assistance is placed 
under an annual contributions contract (ACC). If there is ever an 
insufficient pool of non-elderly disabled families on the PHA's housing 
choice voucher waiting list, the PHA shall conduct outreach to 
encourage eligible non-elderly disabled families to apply for this 
special allocation of vouchers. Outreach may include contacting 
independent living centers, advocacy organizations for persons with 
disabilities, and medical, mental health, and social service providers 
for referrals of persons who would benefit from housing choice voucher 
assistance. If the PHA's housing choice voucher waiting list is closed, 
and if the PHA has insufficient non-elderly disabled applicants on that 
waiting list to use all awarded vouchers under this announcement, the 
PHA should open the waiting list for applications from non-elderly 
disabled families. PHAs must take care to keep track of the number of 
non-elderly disabled vouchers they have been awarded versus the number 
of such vouchers actually issued to non-elderly disabled families.
    (D) PHA Responsibilities. In addition to PHA responsibilities under 
the Housing Choice Voucher Program and HUD regulations concerning 
nondiscrimination based on disability (24 CFR 8.28) and to 
affirmatively further fair housing, PHAs that receive voucher funding 
shall:

[[Page 14544]]

    (1) Where requested by an individual, assist program participants 
to gain access to supportive services available within the community, 
but not require eligible applicants or participants to accept 
supportive services as a condition of participation or continued 
occupancy in the program.
    (2) Identify public and private funding sources to assist 
participants with disabilities in covering the costs of structural 
alterations and other accessibility features that are needed as 
accommodations for their disabilities.
    (3) Not deny persons who qualify for a housing choice voucher under 
this program other housing opportunities, or otherwise restrict access 
to PHA programs to eligible applicants who choose not to participate.
    (4) Provide housing choice voucher search assistance.
    (5) In accordance with regulatory guidance, provide higher rent to 
owners necessary for the provision of accessible units and structural 
modifications for persons with disabilities.
    (6) Provide technical assistance to owners for making reasonable 
accommodations or making units accessible to persons with disabilities.
    PHAs are encouraged to coordinate with/involve nonprofit disability 
organizations in meeting the requirements of sections 1, 2, 4 and 6 
immediately above. PHAs are encouraged to seek out nonprofit disability 
organizations in this regard due to such organizations' capacity for 
assisting disabled families, and their in-depth knowledge of the 
disability community and the available resources to assist disabled 
persons.
    (E) Definitions.
    (1) Designated Housing Plan. A HUD-approved designated housing plan 
is required of PHAs seeking to designate a project/building (or portion 
thereof) for occupancy by elderly families only, or elderly and 
disabled families only. See section 10(a) of the Housing Opportunity 
Extension Act of 1996 (Pub. L. 104-120, approved March 28, 1996) as 
explained in Notice PIH 97-12 (HA), Requirements for Designation of 
Public Housing Projects. This Notice was extended by Notice PIH 2001-17 
(HA). Section 10(a) amended section 7 of the United States Housing Act 
of 1937 (42 U.S.C. 1437e).
    (2) Elderly Family. A family whose head of household, spouse, or 
sole member is 62 years or older.
    (3) Non-elderly Disabled Family. A family who is not elderly, and 
whose head, spouse, or sole member is a person with disabilities. It 
may include two or more persons with disabilities living together, or 
one or more persons with disabilities living with one or more live-in 
aides.
    (4) Person with disabilities. Means a person who--
    (a) Has a disability as defined in 42 U.S.C. 423;
    (b) Is determined, pursuant to HUD regulations, to have a physical, 
mental or emotional impairment that:
    (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 the ability to live independently 
could be improved by more suitable housing conditions; or
    (c) Has a developmental disability as defined in 42 U.S.C. 6001;
    (d) Does not exclude persons who have the disease of acquired 
immunodeficiency syndrome or any conditions arising from the etiologic 
agent for acquired immunodeficiency syndrome; and
    (e) For purposes of qualifying for low-income housing, does not 
include a person whose disability is based solely on any drug or 
alcohol dependence.
    (5) Housing choice voucher search assistance. Assistance to 
increase access by program participants to housing units in a variety 
of neighborhoods (including areas with low poverty concentrations) and 
to locate and obtain units suited to their needs.
    (F) Homeownership and Family Self-Sufficiency (FSS). Applicants are 
encouraged to establish or expand upon an existing housing choice 
voucher homeownership program, as well as complete the closing process 
on homeownership units. Applicants are also encouraged to fill slots 
under a mandatory FSS program and to establish a voluntary FSS program 
and fill slots thereunder where a mandatory FSS program is not 
required.
    (G) Increasing the Participation of Faith-Based and Community-Based 
Organizations in HUD Program Implementation. HUD believes that 
grassroots organizations; e.g., civic organizations, congregations, and 
other community-based and faith-based organizations, have not been 
effectively utilized. These grassroots organizations have a strong 
history of providing vital community services such as assisting the 
homeless and preventing homelessness; counseling individuals and 
families on fair housing rights; providing elderly housing 
opportunities; developing first time homeownership programs; increasing 
homeownership and rental housing opportunities; developing affordable 
and accessible housing in neighborhoods across the country; and 
creating economic development programs. The goal of this policy 
priority is to make HUD's housing choice voucher program more 
effective, efficient, and accessible by expanding opportunities for 
faith-based and other community-based organizations to participate in 
developing solutions for their own neighborhoods. PHAs are encouraged 
to coordinate with and otherwise involve faith-based and other 
community-based organizations in those activities under the housing 
choice voucher program where their services, expertise and knowledge 
may be most effective.
    (H) Conducting Business in Accordance With Core Values and Ethical 
Standards. To reflect core values, all PHAs shall develop and maintain 
a written code of conduct in the PHA administrative plan that (1) 
requires compliance with the conflict of interest requirements of the 
Housing Choice Voucher Program at 24 CFR 982.161, and (2) prohibits the 
solicitation or acceptance of gifts or gratuities, in excess of a 
nominal value, by any officer or employee of the PHA, or any 
contractor, subcontractor or agent of the PHA. The PHA's administrative 
plan shall state PHA policies concerning PHA administrative and 
disciplinary remedies for violation of the PHA code of conduct. The PHA 
shall inform all officers, employees and agents of its organization of 
the PHA's code of conduct.

V. Application Selection Process

    After the Grants Management Center has screened PHA applications 
and disapproved any applications found unacceptable for further 
processing, the Grants Management Center will review all acceptable 
applications (exclusive of the Designated Housing Plan portion of the 
application--which is reviewed by the Special Application Center) to 
ensure that they are technically adequate and responsive to the 
requirements of this announcement of funding availability.
    The Special Application Center will send to the Grants Management 
Center the following information on each designated housing plan, or 
updated needs data in connection with a previously approved designated 
housing plan, submitted in conjunction with this announcement:
    (1) A copy of the letter to the PHA approving or disapproving its 
designated housing plan, or updated needs data.
    (2) Special Application Center contact person and telephone number.
    HUD Headquarters will fund on a first-come, first-serve basis all

[[Page 14545]]

approvable applications from PHAs that are recommended for funding by 
the Grants Management Center and that the Special Application Center 
advises has an approved designated housing plan or acceptable updated 
needs data, based upon the date and time the application is received in 
the Grants Management Center. As PHAs are selected, the cost of funding 
the applications will be subtracted from the funds available. In the 
event approvable applications are received for more than the 
approximately $20 million available under this announcement, funds will 
be transferred from the approximately $20 million available under the 
announcement for non-elderly disabled families not receiving housing 
assistance in certain Section 8 project-based developments, or certain 
Section 202, Section 221(d)(3) or Section 236 developments, to the 
extent funds are not needed for approvable applications under that 
announcement. Applications will be funded for the total number of units 
requested by the PHA and approved by the Grants Management Center in 
accordance with this funding announcement for support of Designated 
Housing Plans. When remaining budget authority is insufficient to fund 
the last selected PHA application in full, however, HUD Headquarters 
will fund that application to the extent of the funding available, 
unless the PHA's application indicates that the PHA will only accept a 
higher number of units. In that event, the next selected application 
shall be one that has indicated a willingness to accept the lesser 
amount of funding for the units available.

VI. Application Submission Requirements

    (A) Form HUD-52515. All PHAs must complete and submit form HUD-
52515, Funding Application, for the Housing Choice Voucher Program, 
(dated January 1996). This form includes all the necessary 
certifications for Fair Housing, Drug Free Workplace and Lobbying 
Activities. PHAs are requested to enter their housing authority code 
number (for example, CT002), telephone number, facsimile number, and 
electronic mail address in the same place at the top of the form where 
they are also to enter the PHA's name and mailing address. The 
information entered in Section B of the form for bedroom size and 
number of requested units must bear a direct relationship to the 
bedroom size and number of units designated in the PHA's designated 
housing plan that will no longer be available for the future admission 
of non-elderly disabled families. Section C of the form should be left 
blank. The form must be completed in its entirety, with the exception 
of Section C, signed and dated. A copy of Form HUD-52515 is included in 
the forms found in the General Section of the SuperNOFA. Copies of the 
form may also be downloaded from the following HUD Web site: 
www.hud.gov. (On the HUD Web site click on ``handbooks and forms,'' 
then click on ``forms,'' then click on ``HUD-5'' and click on ``HUD-
52515.'' In addition, the Form HUD-52515 will also be posted with the 
Designated Housing funding announcement at the following HUD Web site: 
www.hud.gov/offices/adm/grants/fundsavail.cfm.
    (B) Letter of Intent and Narrative. The PHA must state in its cover 
letter to the application whether the PHA will accept a reduction in 
the number of vouchers, and the minimum number of vouchers that the PHA 
will accept, since the funding is limited and HUD may only have enough 
funds to approve a smaller amount than the number of vouchers 
requested. The maximum number of vouchers that a PHA may apply for 
under this announcement is limited to 200.
    PHAs that do not currently administer a housing choice voucher 
program must identify the nearest PHA (including the full name, 
address, and tel. no.) that does administer a housing choice voucher 
program. This information will be necessary for HUD to calculate annual 
per unit costs for voucher funding awarded under this funding 
announcement to such PHAs (see section II (B)(2)(c) of this funding 
announcement).
    (C) Approvable Designated Housing Plan. The application must 
include an approvable plan to designate housing in accordance with 
section 10(a) of the Housing Opportunities Extension Act of 1996 (Pub.L 
104-120, approved March 28, 1996) as explained in Notice PIH 97-12 
(HA), Requirements for Designation of Public Housing Projects. This 
Notice was extended by Notice PIH 2001-17 (HA), dated May 16, 2001.
    PHAs should also bear in mind that the HUD regulations require PHAs 
to submit an Annual Plan which must provide a statement regarding any 
public housing project (or portion thereof) which the PHA plans to 
designate as elderly only or mixed elderly and disabled {see 24 CFR 
903.7 (1)(ii)}. Only those PHAs which are designated by HUD as high 
performing PHAs, or are small PHAs (less than 250 public housing units) 
that are not designated as troubled, are excluded from the requirement 
to address the designation of elderly and disabled public housing units 
in the Annual Plan. The Special Application Center will not process a 
designated housing plan if the PHA's intent to designate is not covered 
in its Annual Plan.
    (D) Designated Housing Plan Previously Approved. Any PHA wishing to 
rely on a designated housing plan previously approved by HUD, that did 
not require housing choice vouchers or certificates for non-elderly 
disabled families or that now requires more vouchers than previously 
justified, will be required to submit the information called for in 
sections (A) and (B) immediately above, a copy of the previously HUD-
approved designated housing plan, and updated needs data supporting the 
need now for vouchers not previously deemed necessary as an alternative 
housing resource. The updated needs data should indicate why the PHA 
does not have the appropriate resources to carry out the previously 
approved plan, identify the number of vouchers needed for non-elderly 
disabled families, and address the housing needs in its Consolidated 
Plan. While updated needs data is not considered an amendment or 
revision of a previously approved designated housing plan, the updated 
needs data must be submitted to the Special Application Center for 
review. The deadline date and submission requirements for updated needs 
data are the same as for the designated housing plan (see section I of 
this announcement).
    Conversely, any PHA wishing to rely on a designated housing plan 
previously approved by HUD, contingent upon the PHA's future submission 
of an application for housing choice vouchers as an alternative housing 
resource for non-elderly disabled families, will need to only submit 
the HUD-approval letter for the designated housing plan in lieu of the 
plan itself (updated needs data also unnecessary).
    (E) Statement Regarding the Steps the PHA Will Take to 
Affirmatively Further Fair Housing. The areas to be addressed in the 
PHA's statement must include, but not necessarily be limited to:
    (1) The examination of the PHA's own programs or proposed programs, 
including an identification of any impediments to fair housing 
(identified in the jurisdiction's Analysis of Impediments (AI) to Fair 
Housing Choice in its Consolidated Plan); and a description of a plan 
to (a) address those impediments in a reasonable fashion in view of the 
resources available; (b) work with local jurisdictions to implement any 
of the jurisdictions' initiatives to affirmatively further fair 
housing; and

[[Page 14546]]

(c) the maintenance of records reflecting these analyses and actions;
    (2) Remedy discrimination in housing for persons with disabilities 
regardless of race, color, religion, sex, familial status, national 
origin, or nature of disability; or
    (3) Promote fair housing rights and fair housing choice.
    The PHA's statement must fully address the above areas. A general 
statement that the PHA will promote fair housing choice by reason of 
not discriminating on the basis of race, color, religion, etc. will not 
be sufficient.
    (F) Moving to Work (MTW) PHA Information and Certification. See 
section VII (B)(2)(c) regarding the 97 percent lease-up or budget 
authority utilization certification to be submitted by an MTW PHA not 
required to report under SEMAP.
    (G) Form HUD-2993. All PHAs must complete and submit form HUD-2993, 
Acknowledgement of Application Receipt. In addition to the PHA entering 
its name and address on the form, the full title of the program under 
which the PHA is seeking funding must also be entered. This form is 
located in the General Section of the SuperNOFA and is also available 
at the following HUD Web site: www.hud.gov. On this Web site click on 
``handbooks and forms.''

VII. Corrections to Deficient Applications

    (A) Acceptable Applications. The application must include all of 
the information specified in section VI, Application Submission 
Requirements. The General Section of the SuperNOFA provides the 
procedures for corrections to deficient applications.
    (B) Unacceptable Applications.
    (1) After the 14-calendar day technical deficiency correction 
period, the Grants Management Center will disapprove all PHA 
applications that the Grants Management Center determines are not 
acceptable for processing. The Grants Management Center's notification 
of rejection letter must state the basis for the decision. The 
applicant may request an applicant debriefing. Beginning not less than 
30 days after the awards for assistance are announced in the Federal 
Register, and for not longer than 120 days, HUD will, upon receiving a 
written request from the applicant, provide a debriefing to the 
requesting applicant. Applicants requesting to be debriefed must send a 
written request to Michael Diggs, Director, Grants Management Center, 
Department of Housing and Urban Development, 501 School Street, SW, 
Suite 800, Washington, DC 20024.
    (2) Applications from PHAs that fall into any of the following 
categories will not be processed:
    (a) Applications that do not meet the fair housing and civil rights 
compliance threshold requirements of the General Section of the 
SuperNOFA.
    (b) The PHA is designated as troubled by HUD under SEMAP, or has 
major program management findings in an Inspector General audit for its 
voucher or certificate programs that are unresolved. The only exception 
to this category is if the PHA has been identified under the policy 
established in Section III (B) of this announcement and the PHA makes 
application with a designated contract administrator. Major program 
management findings are those that would cast doubt on the capacity of 
the PHA to effectively administer any new housing choice voucher 
funding in accordance with applicable HUD regulatory and statutory 
requirements.
    (c) The PHA has failed to achieve a lease-up or budget authority 
utilization rate of 97 percent for its combined certificate and voucher 
units under contract for its fiscal year ending on either September 30, 
2000; December 31, 2000; March 31, 2001; or June 30, 2001. PHAs that 
have been determined by HUD to have passed either the 97 percent lease-
up, or 97 percent budget authority utilization requirement for their 
fiscal year ending on either September 30, 2000; December 31, 2000; 
March 31, 2001; or June 30, 2001, will be listed with this funding 
announcement at the following HUD Web site: www.hud.gov/offices/adm/grants/fundsavail.cfm. A PHA not listed may submit monthly lease-up and 
budget authority utilization information (following the methodology of 
Appendix A of this announcement and using the format in Appendix B 
which also includes a blank version of the format) as part of its 
application supportive of its contention that it should have been 
included among those PHAs HUD listed on the HUD website as having 
achieved either a 97 percent lease-up rate or 97 percent budget 
authority utilization rate for fiscal years ending on either September 
30, 2000; December 31, 2000; March 31, 2001; June 30, 2001; or 
subsequent full fiscal year not yet processed by HUD but certified by 
the applicant. Unless utilization information is submitted on the blank 
form in Appendix B, the application will otherwise be determined 
ineligible for funding under this announcement.

    Note: The lease-up and budget authority utilization requirement 
shall not apply to applicants not currently administering a voucher 
program, or to new units associated with funding increments 
obligated during the applicant's last fiscal year and units 
obligated for litigation. In addition, lease-up or budget authority 
utilization rates of 96.5 percent but less than 97 percent shall be 
rounded up to 97 percent.)

    Moving To Work (MTW) agencies that are required to report under the 
Section 8 Management Assessment Program (SEMAP) shall be held to the 97 
percent lease-up and budget authority utilization requirements 
referenced above. MTW agencies which are not required to report under 
SEMAP must submit a certification with their application certifying 
that they are not required to report under SEMAP, and that they meet 
the 97 percent lease-up or budget authority utilization requirements.
    (d) The PHA is involved in litigation and HUD determines that the 
litigation may seriously impede the ability of the PHA to administer 
the vouchers.
    (e) An application that does not comply with the requirements of 24 
CFR 982.102 and this program section after the expiration of the 14-
calendar day technical deficiency correction period will be rejected 
from processing.
    (f) The application was submitted after the application due date.
    (g) The application was not submitted to the official place of 
receipt as indicated in the paragraph entitled ``Address for Submitting 
Applications'' at the beginning of this announcement.
    (h) The applicant has been debarred or otherwise disqualified from 
providing assistance under the program.
    (i) The PHA did not have its PHA plans approved by HUD for the FY 
2000 plan cycle on the application due date for this funding 
announcement.

VIII. Environmental Requirements

    In accordance with 24 CFR 50.19(b)(11) and 58.35(b)(1) of the HUD 
regulations, tenant-based rental activities under this program are 
categorically excluded from the requirements of the National 
Environmental Policy Act of 1969 (NEPA) and are not subject to 
environmental review under the related laws and authorities. Activities 
under the homeownership option of this program are categorically 
excluded from NEPA requirements and excluded from other environmental 
requirements under 24 CFR 58.5 in accordance with 24 CFR 58.35(b)(5), 
but PHAs are responsible for the environmental requirements in 24 CFR 
982.626(c).

IX. Authority

    Authority for this program is found in the Departments of Veteran's 
Affairs and Housing and Urban Development, and

[[Page 14547]]

Independent Agencies Appropriations Act, FY 2002 (Pub. L. 107-73, 
approved November 26, 2001). This FY 2002 Appropriations Act authorized 
appropriations for housing choice vouchers to assist non-elderly 
disabled families affected by the designation of a public housing 
development under section 7 of the United States Housing Act of 1937, 
as amended. The FY 2002 Appropriations Act also allows the Secretary to 
transfer any unobligated funds for this purpose to assist non-elderly 
disabled families affected by the establishment of preferences in 
accordance with section 651 of the Housing and Community Development 
Act (HCDA) of 1992 or the restriction of occupancy to elderly families 
in accordance with section 658 of the HCDA of 1992. Thereafter, the FY 
2002 Appropriations Act allows for any funds still remaining 
unobligated to be used to fund applications for vouchers for non-
elderly disabled families under the Mainstream Program in the 
SuperNOFA.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14555]]



FUNDING AVAILABILITY FOR SERVICE COORDINATORS IN MULTIFAMILY 
HOUSING

PROGRAM OVERVIEW

    Purpose of the Program. The purpose of this Service Coordinator 
program is to allow multifamily housing owners to assist elderly 
individuals and people with disabilities living in HUD-assisted housing 
and in the surrounding area to obtain needed supportive services from 
the community, in order to enable them to continue living as 
independently as possible in their own homes.
    Available Funds. Approximately $25 million.
    Eligible Applicants. Only owners of eligible developments may apply 
for and become the recipient of grant funds. Property management 
companies may administer grant programs but are not eligible 
applicants. See Section III for more detailed eligibility criteria.
    Application Deadline: July 3, 2002.
    Match. None.

ADDITIONAL INFORMATION

    If you are interested in applying for funding under this program, 
please review carefully the General Section of this SuperNOFA and the 
following additional information.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Your completed application (an original and 
two copies) is due on or before 6:00 pm, local time, on July 3, 2002 at 
the address given below.
    See the General Section of this SuperNOFA for specific procedures 
concerning the form of application submission (e.g., mailing 
applications by U.S. Postal Service). Only Service Coordinator 
applications mailed via the United States Postal Service will be 
accepted.
    Addresses for Submitting Applications. Appendix A to this program 
section contains a list of HUD Field Offices where you must send your 
application by the deadline. Please address your application to the 
Director, Multifamily Housing Hub or Program Center in your local HUD 
Field Office. You should not submit any copies of your application to 
HUD Headquarters.
    For Application Kits. For an application kit, please call the 
SuperNOFA Information Center at 1-800-HUD-8929. If you have a hearing 
or speech impairment, please call the Center's TTY number at 1-800-HUD-
2209. When requesting an application kit, please refer to the 
Multifamily Housing Service Coordinator Program and provide your name, 
address (including zip code) and telephone number (including area 
code). An application kit also will be available on the Internet at 
http://www.hud.gov.
    For Further Information and Technical Assistance. You may contact 
your local HUD Field Office staff for questions you have regarding this 
program section of the SuperNOFA and your application kit. Please 
contact the Multifamily Housing Resident Initiatives Specialist or 
Service Coordinator contact person in your local Office. If you are an 
owner of a Section 515 development, contact the Multifamily HUB or 
Multifamily Program Center in the HUD Field Office that normally 
provides asset management to that development. If you have a question 
that the Field staff are unable to answer, please call Carissa Janis, 
Housing Project Manager, Office of Housing Assistance and Grants 
Administration, Department of Housing and Urban Development, 451 
Seventh Street, SW., Room 6146, Washington, DC 20410; (202) 708-2866, 
extension 2487. (This number is not toll free). If you are hearing or 
speech impaired, you may access this number via TTY by calling the 
Federal Information Relay Service at 1-800-877-8339.
    Satellite Broadcast. HUD will hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of the application. For more information about the date and 
time of the broadcast, you should consult the HUD Web site at http://www.hud.gov.

II. Amount Allocated

    (A) Available Funding. This NOFA makes available approximately $25 
million in Fiscal Year (FY) 2002 funding from the $50 million provided 
in the Housing for Special Populations account in the Departments of 
Veterans Affairs and Housing and Urban Development, and Independent 
Agencies Appropriations Act, 2002 (Pub.L. 107-73, approved November 26, 
2001).
    HUD will use the remaining $25 million appropriated this year to 
provide one-year extensions to expiring Service Coordinator and 
Congregate Housing Services Program (CHSP) grants.
    HUD will first fund Service Coordinator costs in applications 
selected to receive an Assisted Living Conversion Program (ALCP) grant 
award. The Department estimates that approximately $2 million will be 
needed to fund these programs. The actual amount will be based upon 
demand and the number of applications that meet threshold criteria in 
both the ALCP and Service Coordinator programs. HUD will set-aside the 
requested amount of ALCP/Service Coordinator funds prior to conducting 
the national lottery. Any funds not used for ALCP Service Coordinator 
programs will revert to the lottery to fund all other eligible 
applications submitted under this NOFA.
    In FY 2001, HUD awarded 218 grants for a total of $25,125,340. One 
of the 218 grants was awarded to an ALCP grant recipient, for $70,431.
    (B) Maximum Grant Award. There is no maximum grant amount. The 
grant amount you request must be based on the number of frail or at-
risk elderly or non-elderly people with disabilities who live in your 
development. Under normal circumstances, a full-time Service 
Coordinator should be able to serve about 50-60 frail or at-risk 
elderly or non-elderly people with disabilities. ``Frail elderly'' 
person means an individual 62 years of age or older who is unable to 
perform at least three activities of daily living (ADLs) as defined by 
the regulations for HUD's Section 202 Program (Supportive Housing for 
the Elderly) at 24 CFR 891.205. An ``at-risk elderly'' person is an 
individual 62 years of age or older who is unable to perform one or two 
ADLs. Your proposed salary must also be supported by evidence of 
comparable salaries in your area.
    (C) Reduction of Requested Grant Amounts. You may be awarded an 
amount less than requested if:
    (1) HUD determines that some elements of your proposed action plan 
are ineligible for funding;
    (2) Insufficient amounts remain under the allocation to fund the 
full amount you requested, and HUD determines that partial funding is a 
viable option; or
    (3) HUD determines that a reduced grant would prevent duplicative 
Federal funding.
    (D) Alternative Funding for Service Coordinators. Owners may submit 
requests following instructions in Housing's Management Agent Handbook 
4381.5, REVISION-2, CHANGE-2, Chapter 8. This Handbook provides 
procedures for requesting funding for a coordinator using residual 
receipts, the budget-based rent increase process, contract rents 
adjusted by the Annual Adjustment Factor (AAF) or the Project Rental 
Assistance Contract (PRAC). Refer to Housing Notice H-01-07 for 
information on using Section 236 excess income to fund a Service 
Coordinator. HUD Field staff will approve use of Section 8 funds or 
excess income consistent with current policy.

[[Page 14556]]

Field Office staff may approve use of project funds for a Service 
Coordinator at any time, as long as you have available project funds. 
You should discuss these alternative funding options with your Field 
Office staff prior to submitting a grant application.

III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. The Service Coordinator Program provides 
funding for the employment and support of Service Coordinators in 
insured and assisted housing developments that were designed for the 
elderly and persons with disabilities and continue to operate as such. 
Service Coordinators help residents obtain supportive services from the 
community that are needed to enable independent living and aging in 
place.
    A Service Coordinator is a social service staff person hired or 
contracted by the development's owner or management company. The 
Coordinator is responsible for assuring that elderly residents, 
especially those who are frail or at risk, and those non-elderly 
residents with disabilities are linked to the supportive services they 
need to continue living independently in that development. All services 
should meet the specific desires and needs of the residents themselves. 
The Service Coordinator may not require any elderly individual or 
person with a disability to accept any specific supportive service(s).
    You may want to review the Management Agent Handbook 4381.5 
REVISION-2, CHANGE-2, Chapter 8 for further guidance on service 
coordinators. This Handbook is accessible through HUDCLIPS on HUD's Web 
site at http://www.hudclips.org. The Handbook is in the Handbooks and 
Notices--Housing Notices database. Enter the Handbook number in the 
``Document Number'' field to retrieve the Handbook.
    There is no minimum unit number for eligible developments. In 
proposing a Service Coordinator program at a small development, 
however, be careful to follow the guidance provided in Section II.B of 
this NOFA. You may also use grant funds to augment current Service 
Coordinator programs and to continue programs in cases where current or 
previous funding sources are no longer available. Please refer to 
Sections III.D and E, below.
    The American Homeownership and Economic Opportunity Act of 2000 
(Pub.L. 106-569, approved December 27, 2000) expanded the scope of the 
Service Coordinator program. This Act allows owners of eligible 
developments to provide service coordination to low-income elderly or 
disabled families living in the vicinity of the development. You have 
the option to serve such community residents as a part of your proposed 
program to provide coordination to current residents of an eligible 
development. The objective of this expanded authority is to help 
additional low-income elderly and disabled individuals age in place and 
live as independently as possible in their current homes. Any reference 
in this program NOFA or in the application kit to elderly or disabled 
residents of a development shall be construed to include low-income 
elderly or disabled families living in the vicinity of such a 
development.
    (B) Eligible Applicants and Developments.
    To be eligible for funding, you must meet all of the applicable 
threshold requirements of Section II(B) of the General Section of the 
SuperNOFA.
    (1) You must be an owner of a development assisted under one of the 
following programs:
    (a) Section 202 and 202/8;
    (b) Existing Section 8 project-based and moderate rehabilitation 
developments (includes any multifamily housing development with 
project-based Section 8; or
    (c) Section 221(d)(3) below-market interest rate, and 236 
developments that are insured or assisted.
    (2) Additionally, developments listed in paragraph (1), above, are 
eligible only if they meet the following criteria:
    (a) Have frail or at-risk elderly residents and/or non-elderly 
residents with disabilities who together total at least 25 percent of 
the building's residents.
    (b) Were designed for the elderly or persons with disabilities and 
continue to operate as such. This includes any building within a mixed-
use development that was designed for occupancy by elderly persons or 
persons with disabilities at its inception and continues to operate as 
such, or consistent with title VI, subtitle D of the Housing and 
Community Development Act of 1992 (Pub. L. 102-550, approved October 
28, 1992). If not so designed, a development in which the owner gives 
preferences in tenant selection (with HUD approval) to eligible elderly 
persons or persons with disabilities, for all units in that 
development.
    (c) Are current in mortgage payments or are current under a workout 
agreement.
    (d) Meet HUD's Uniform Physical Conditions Standards (codified in 
24 CFR part 5, subpart G), based on the most recent physical inspection 
report and responses thereto, as evidenced by a score of 60 or better 
or by an approved plan for developments scoring less than 60.
    (e) Are in compliance with their regulatory agreement, Housing 
Assistance Payment (HAP) Contract, and other outstanding directives.
    (f) Owners using the AAF rent increase process or who are profit-
motivated must provide certification that rental and other income from 
the development are insufficient to pay for a service coordinator.
    (3) If your eligibility status changes during the course of the 
grant term, making you ineligible to receive a grant (e.g. due to 
prepayment of mortgage, sale of property, or opting out of a Section 8 
Housing Assistance Payment (HAP) contract), HUD has the right to 
terminate your grant.
    (4) If you are applying for an Assisted Living Conversion Program 
(ALCP) grant, you may apply for new or augmented Service Coordinator 
costs to serve Assisted Living residents and/or all residents of your 
development.
    (C) Ineligible Applicants and Developments.
    (1) Property management companies, area agencies on aging, and 
other like organizations are not eligible applicants for Service 
Coordinator funds. Such agents may prepare applications and sign 
application documents if they provide written authorization from the 
owner corporation as part of the application. In such cases, the owner 
corporation must be indicated on all forms and documents as the funding 
recipient.
    (2) Developments not designed for the elderly or disabled or those 
no longer operating as such.
    (3) Section 221(d)(4) developments without project-based Section 8 
assistance.
    (4) Section 202/811 developments with a PRAC. Owners of Section 202 
PRAC developments may obtain funding by requesting an increase in their 
PRAC payment consistent with Handbook 4381.5 REVISION-2, CHANGE-2, 
Chapter 8.
    The American Homeownership and Economic Opportunity Act of 2000 
provides authority for Section 202 PRACs to receive Service Coordinator 
grants as described in this program NOFA and separate from their PRAC 
funding. However, PRAC funds are a readily accessible funding source 
for Service Coordinators in Section 202 PRAC developments. Including 
the Service Coordinator in the PRAC development's operating budget also 
provides a more stable and permanent source of funding. For these 
reasons, the

[[Page 14557]]

Department has chosen to limit funding available through this program 
NOFA to those eligible housing developments listed in section III.B(1) 
of this NOFA.
    There is no statutory authority for service coordinators in Section 
811 developments.
    (D) Eligible Activities.
    (1) Service Coordinator Program grant funds may be used to pay for 
the salary, fringe benefits, and related administrative costs of 
employing a service coordinator. Administrative costs may include, but 
are not limited to, purchase of furniture, office equipment and 
supplies, computer hardware and software, Internet service, training, 
quality assurance, travel, and utilities.
    You may use grant funds to pay for Quality Assurance (QA) in an 
amount that does not exceed 10% of the Service Coordinator's salary. QA 
is limited monitoring oversight of the Service Coordinator by a 
qualified third party, to assure that the position is effectively 
implemented. A qualified individual must have supervisory work 
experience and education in social or health care services. On-site 
housing management staff cannot perform QA and current salaries of in-
house staff may not be augmented for this purpose.
    (2) You may use funds to augment a current Service Coordinator 
program, by increasing the hours of a currently employed Service 
Coordinator, or hiring an additional Service Coordinator or aide on a 
part- or full-time basis.
    (3) You may use funds to continue a Service Coordinator program 
that has previously been funded through other sources. In your 
application, you must provide evidence that this funding source has 
already ended or will discontinue within six months following the 
application deadline date and that no other funding mechanism is 
available to continue the program. This applies only to funding sources 
other than the subsidy awards and grants provided by the Department 
through program Notices beginning in FY 1992. HUD currently provides 
one-year extensions to these subsidy awards and grants through a 
separate funding action.
    (4) You may propose reasonable costs associated with setting up a 
confidential office space for the Service Coordinator. Such expenses 
must be one-time only administrative start-up costs. Such costs may 
involve acquisition, leasing, rehabilitation, or conversion of space. 
HUD Field Office staff must approve both the proposed costs and 
activity and must perform an environmental assessment on such proposed 
work prior to grant award.
    (5) You may provide service coordination to low-income elderly or 
disabled families living in the vicinity of an eligible development. 
Community residents should come to your housing development to meet 
with and receive service from the Service Coordinator.
    (E) Ineligible Activities.
    (1) You may not use funds available through this NOFA to replace 
currently available funding from other sources for a Service 
Coordinator or for some other staff person who performs service 
coordinator functions.
    (2) Owners with existing service coordinator subsidy awards or 
grants may not apply for renewal or extension of those programs under 
this NOFA.
    (3) Congregate Housing Services Program (CHSP) grantees may not use 
these funds to meet statutory program match requirements and may not 
use these funds to replace current CHSP program funds to continue the 
employment of a service coordinator.
    (4) The cost of application preparation is not eligible.
    (5) Grant funds cannot be used to increase a project's management 
fee.
    (6) You cannot hire an additional part of full-time Service 
Coordinator for the sole purpose of serving low-income elderly or 
disabled families who live in the vicinity of your development.

IV. Program Requirements

    In addition to the requirements listed in Section II of the General 
Section of this SuperNOFA, you must also meet the requirements in 
Section IV of this program section of the SuperNOFA. These requirements 
apply to all activities, programs, and functions used to plan, budget, 
and evaluate the work funded under your program.
    (A) Administrative Costs. HUD has the right to reduce the proposed 
costs if they appear unreasonable or inappropriate.
    (B) Term of Funded Activities. The grant term is three years. 
Grants will be renewable subject to the availability of funds.
    (C) Subgrants and Subcontracting. You may directly hire a Service 
Coordinator or you may contract with a qualified third party to provide 
this service.
    (D) As a condition of receiving a grant, Section 202 developments 
with project-based Section 8 must open a Residual Receipts account 
separate from the Reserve for Replacement account, if they do not 
already have such a separate account.
    (E) Forms, Certifications, and Assurances. See the General Section 
of the SuperNOFA for the applicable forms, certifications, and 
assurances that you must submit. This includes a certification that you 
are in compliance with Federal Civil Rights laws, as specified in 
Section II(H) of the General Section of this SuperNOFA.
    (F) Affirmatively Furthering Fair Housing. You must comply with 
Section II(D) of the General Section of this SuperNOFA.
    (G) Conducting Business In Accordance With Core Values and Ethical 
Standards. Entities that are subject to 24 CFR parts 84 and 85 (most 
nonprofit organizations and State, local and tribal governments or 
government agencies or instrumentalities who receive Federal awards of 
financial assistance) are required to develop and maintain a written 
code of conduct (See Secs. 84.42 and 85.36(b)(3)). Consistent with 
regulations governing specific programs, your code of conduct must 
prohibit real and apparent conflicts of interest that may arise among 
employees, officers or agents; prohibit the solicitation and acceptance 
of gifts or gratuities by your officers, employees and agents for their 
personal benefit in excess of minimal value, and outline administrative 
and disciplinary actions available to remedy violations of such 
standards. If awarded assistance under this SuperNOFA, you will be 
required, prior to entering into a grant agreement with HUD, to submit 
a copy of your code of conduct and describe the methods you will use to 
ensure that all officers, employees and agents of your organization are 
aware of your code of conduct.

V. Application Selection Process

    (A) General. Service Coordinator Program grant funds will not be 
awarded through a rating and ranking process. Instead, HUD will hold 
one national lottery for all approvable applications forwarded from 
Multifamily HUB and Multifamily Program Centers (a list of these 
offices is found in the Appendix to this notice).
    (B) Threshold Eligibility Review. HUD Multifamily Field Office 
staff will review applications for completeness and compliance with the 
eligibility criteria set forth in Section III of this NOFA. Field 
Office staff will forward application information to Headquarters for 
entry into the lottery if the application was received by the deadline 
date, meets all eligibility criteria, proposes reasonable costs for 
eligible activities, and includes all technical corrections by the 
designated deadline date.
    ``Reasonable costs'' are generally those that are consistent with 
salaries and administrative costs of similar

[[Page 14558]]

programs in the jurisdiction of the HUD Field Office.
    (C) Service Coordinators in ALCP projects. The Department will 
first fund approved Service Coordinator requests in ALCP applications 
selected to receive an ALCP award. HUD estimates that approximately $2 
million will be needed to fund these programs. Any funds not used for 
ALCP Service Coordinator programs will revert to the national lottery.
    (D) The Lottery. HUD staff will use a computer program to randomly 
select applications. HUD will fully fund as many applications as 
possible with the given amount of funds. If funds remain after fully 
funding as many applications as possible, HUD will offer to partially 
fund the next application chosen in the lottery, in order to use the 
entire allocation of funds.

VI. Application Submission Requirements

    (A) Single Applications. (1) You may submit one application for one 
or more developments that your corporation owns.
    (2) You may submit more than one application to a single Field 
Office, if you wish to increase your chances of selection in the 
lottery. Each application must propose a stand-alone program and the 
development(s) must all be located in the same Field Office 
jurisdiction.
    (3) If you wish to apply on behalf of developments located in 
different Field Office jurisdictions, you must submit a separate 
application to each Field Office.
    (B) Joint Applications. You may join with one or more other 
eligible owners to share a Service Coordinator and submit a joint 
application. In the past, joint applications have been used by small 
developments who joined together to hire and share a part or full-time 
Service Coordinator.
    (C) There is no maximum grant amount. The grant amount you request 
must be based on the number of frail or at-risk elderly or non-elderly 
people with disabilities who live in your development. (See Section 
II.B of this NOFA for more information.)
    (D) Application Submission Requirements for ALCP Applicants. If you 
are an ALCP applicant and you request new or additional Service 
Coordinator costs specifically for your proposed Assisted Living 
Program, you must submit an application containing all required 
documents and information listed in this NOFA. In addition, you must 
submit a HUD-424-M ``Federal Assistance Funding Matrix and 
Certifications'' with your ALCP application, which indicates the amount 
of funds you are requesting to cover Service Coordinator costs. HUD 
Field Office staff will review both applications simultaneously.
    ALCP applicants must submit all the required items in the Service 
Coordinator application listed in Section VI(E) of this NOFA. You may 
provide a copy of all standard forms in your Service Coordinator 
application. If you do not provide either an original or copy of these 
forms, your Service Coordinator application will be incomplete.
    If you currently do not have a Service Coordinator working at the 
development proposed in your ALCP application and your ALCP application 
is selected to receive an ALCP award, HUD will fund a Service 
Coordinator to serve either ALCP residents only or all residents of the 
development dependent upon your request. If your development currently 
has a Service Coordinator, you may request additional hours for the 
Service Coordinator to serve the Assisted Living residents. If you 
request additional hours, you must specify the number of additional 
hours per week and provide an explanation based on the anticipated 
needs of the Assisted Living residents. Provide this explanation in 
your ALCP application as instructed in the ALCP NOFA.
    If you request Service Coordinator funding to serve all residents 
of your development, your request can be entered into the national 
lottery if your ALCP application is not selected to receive an award. 
You will be able to indicate this request in the application materials.
    Owners applying for ALCP grants may also submit separate Service 
Coordinator applications for entry into the lottery for other eligible 
developments they own and that are not included in their ALCP 
application.
    (E) Your application must contain the items listed in this Section 
VI(E). These items include the standard forms, certifications, and 
assurances listed in the General Section of the SuperNOFA that are 
applicable to this funding (collectively, referred to as the ``standard 
forms''). The standard forms can be found in Appendix B to the General 
Section of the SuperNOFA. The remaining application items that are 
forms (i.e., excluding such items as narratives, letters), referred to 
as the ``non-standard forms'' can be found as Appendix B to this 
program section of the SuperNOFA. The items are as follows:

Standard Forms

    (1) Standard Form for Application for Federal Assistance (SF-424) 
(which includes civil rights/fair housing certification);
    (2) Federal Assistance Funding Matrix and Certifications (HUD-
424M);
    (3) Standard Form for Assurances--Non-Construction Programs (SF-
424B);
    (4) Drug Free Workplace Certification (HUD-50070);
    (5) Certification of Payments to Influence Federal Transactions 
(HUD-50071) and if engaged in lobbying, the Disclosure Form Regarding 
Lobbying (SF-LLL);
    (6) Applicant/Recipient Disclosure/Update Report Form (HUD-2880);
    (7) Certification Regarding Debarment and Suspension (HUD-2992); 
and
    (8) Acknowledgment of Application Receipt (HUD-2993).

Other Application Items

    All applications for funding under the Service Coordinator Program 
must contain the following documents and information:
    (1) Transmittal letter and request, using the designated format 
provided in both Appendix B to this NOFA and in the application kit.
    (2) (If applicable) Lead agency letter format.
    (3) Evidence of comparable salaries in local area.
    (4) If quality assurance is included in the proposed budget, a 
justification and explanation of who will perform this work, what 
responsibilities are involved, and how often the work will be done.
    (5) If you propose to serve low-income elderly or disabled families 
living in the vicinity of the development(s) included in your 
application, a narrative description of your plan.
    (6) (If applicable) Evidence that prior funding sources for your 
development's Service Coordinator program are no longer available or 
will expire within six months following the application deadline date.
    (7) A bank statement showing the current residual receipts or 
excess income balance in the development's account.
    (8) Service Coordinator Certifications. This includes 
certifications that you, the applicant, will comply with the following:
    (a) 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 that you will affirmatively 
further fair housing; and

[[Page 14559]]

    (b) 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.), Title IX of the Education Amendments Act 
of 1972, and Titles I and V of the Americans with Disabilities Act of 
1990 (42 U.S.C. 12101 et seq.).
    (9)(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 HUD regulations at 24 CFR parts 
84 and 85.
    (b) Owners applying on behalf of developments using the AAF must 
also provide certification from the auditor that the development's 
rental or other income is insufficient to pay the costs of employing a 
Service Coordinator.
    (10) Applicant checklist.

VII. Corrections to Deficient Applications

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

VIII. Environmental Requirements

    It is anticipated that most activities under this program are 
categorically excluded from NEPA and related environmental authorities 
under 24 CFR 50.19(b)(3), (4), (12), or (13). If grant funds will be 
used to cover the cost of any activities which are not exempted from 
environmental review requirements--such as acquisition, leasing, 
construction, or building rehabilitation, HUD will perform an 
environmental review to the extent required by 24 CFR part 50, prior to 
grant award.

IX. Authority

    Section 808 of the Cranston-Gonzalez National Affordable Housing 
Act (Pub. L. 101-625, approved November 28, 1990), as amended by 
sections 671, 674, 676, and 677 of the Housing and Community 
Development Act of 1992 (Pub. L. 102-550, approved October 28, 1992), 
and section 851 of the American Homeownership and Economic Opportunity 
Act of 2000 (Pub. L. 106-569, approved December 27, 2000).

Appendix A: HUD Field Office List for Mailing Service Coordinator

Applications

Alabama

Multifamily Housing Program Center, HUD--Birmingham Office, 600 
Beacon Parkway West, Rm. 300, Birmingham, AL 35209-3144, OFC Phone: 
(205) 290-7611, FAX: (205) 290-7632

Alaska

Multifamily Housing Hub, HUD Seattle Office, 909 First Avenue, Suite 
190, MS-0AHM, Seattle, WA 98104-1000, OFC Phone: (206) 220-5228 ext. 
3250, FAX: (206) 220-5206

Arizona

Multifamily Housing Program Center, HUD Phoenix Office, 400 North 
Fifth Street, Suite 1600, Phoenix, AZ 85004-2361, OFC Phone: (602) 
379-4434, FAX: (602) 379-3985

Arkansas

Multifamily Housing Program Center, HUD Little Rock Office, 425 West 
Capitol Avenue #900, Little Rock, AR 72201-3488, OFC Phone: (501) 
324-5401, FAX: (501) 324-6142

California

Multifamily Housing Hub, HUD--San Francisco Office, 450 Golden Gate 
Avenue, PO Box 36003, San Francisco, CA 94102-3448, OFC Phone: (415) 
436-6505, FAX: (415) 436-8996
Los Angeles Multifamily Hub, 611 West Sixth Street, Suite 800, Los 
Angeles, CA 90017, OFC Phone: (213) 894-8000 x 3634, Fax: (213) 894-
8255

Colorado

Multifamily Housing Hub, HUD Denver Office, 633 17th Street, 11th 
Floor, Denver, CO 80202-3607, OFC Phone: (303) 672-5343, FAX: (303) 
672-5153

Connecticut

Multifamily Housing Program Center, HUD--Hartford Office, One 
Corporate Center, 19th floor, Hartford, CT 06103-3220, OFC Phone: 
(860) 240-4800 Ext. 3068, FAX: (860) 240-4850

Delaware

Multifamily Housing Hub, HUD Philadelphia Office, The Wanamaker 
Building, 100 Penn Square, East, Philadelphia, PA 19107-3380, OFC 
Phone: (215) 656-0609 Ext. 3533, FAX: (215) 656-3427

District of Columbia

Multifamily Housing Program Center, HUD Washington, DC Office, Suite 
300, 820 First Street, NE., Washington, DC 20022-4205, OFC Phone: 
(202) 275-9200, FAX: (202) 275-9212

Florida

Multifamily Housing Hub, HUD--Jacksonville Office, 301 West Bay 
Street, Suite 2200, Jacksonville, FL 32202-5121, OFC Phone: (904) 
232-1777 x2144, FAX: (904) 232-2731

Georgia

Multifamily Housing Hub, HUD--Atlanta Office, Five Points Plaza 
Building, 40 Marietta Street, SW., Atlanta, Georgia 30303-2806, OFC 
Phone: (404) 331-4976, FAX: (404) 331-4028

Hawaii

Multifamily Housing Program Center, HUD Honolulu Office, 7 
Waterfront Plaza, 500 Ala Moana Blvd. #500, Honolulu, HI 96813-4918, 
OFC Phone: (808) 522-8185 Ext. 244, FAX: (808) 522-8194

Idaho

Multifamily Housing Hub, HUD Seattle Office, 909 First Avenue, Suite 
190, MS-0AHM, Seattle, WA 98104-1000, OFC Phone: (206) 220-5228 ext. 
3250, FAX: (206) 220-5206

Illinois

Multifamily Housing Hub, HUD--Chicago Office, Ralph Metcalfe Federal 
Building, 77 West Jackson Boulevard, Chicago, IL 60604-3507, OFC 
Phone: (312) 353-6236 Ext. 2202, FAX: (312) 886-2729

Indiana

Multifamily Housing Program Center, HUD Indianapolis Office, 151 
North Delaware Street, Suite 1200, Indianapolis, IN 46204-2526, OFC 
Phone: (317) 226-6303, FAX: (317) 226-7308

Iowa

Multifamily Housing Program Center, HUD Des Moines Office, 210 
Walnut Street, Room 239, Des Moines, IA 50309-2155, OFC Phone: (515) 
284-4736, FAX: (515) 284-4743

Kansas

Multifamily Housing Hub, HUD Kansas City Office, 400 State Avenue, 
Room 200, Kansas City, KS 66101-2406, OFC Phone: (913) 551-6844, 
FAX: (913) 551-5469

Kentucky

Multifamily Housing Program Center, HUD--Louisville Office, 601 West 
Broadway, PO Box 1044, Louisville, KY 40201-1044, OFC Phone: (502) 
582-6124, FAX: (502) 582-6547

Louisiana

Multifamily Housing Program Center, HUD New Orleans Office, Hale 
Boggs Bldg.--501 Magazine Street, 9th Floor, New Orleans, LA 70130-
3099, OFC Phone: (504) 589-7236, FAX: (504) 589-6834

Maine

Multifamily Housing Program Center, HUD--Manchester Office, Norris 
Cotton Federal Bldg., 275 Chestnut Street, Manchester, NH 03101-
2487, OFC Phone: (603) 666-7684, FAX: (603) 666-7697

Maryland

Multifamily Housing Hub, HUD Baltimore Office, 5th Floor, 10 South 
Howard Street, Baltimore, MD 21201-2505, OFC Phone: (410) 962-2520 
Ext. 3474, FAX: (410) 962-1849

Massachusetts

Multifamily Housing Hub, HUD--Boston Office, O'Neil Federal 
Building, 10 Causeway Street, Rm. 375, Boston, MA 02222-1092, OFC 
Phone: (617) 565-5162, FAX: (617) 565-6557

Michigan

Multifamily Housing Hub, HUD Detroit Office, 477 Michigan Avenue, 
Detroit, MI 48226-2592, OFC Phone: (313) 226-7900, FAX: (313) 226-
5611
Multifamily Housing Program Center, HUD Grand Rapids, Trade Center 
Building, 50 Louis Street, NW., Grand Rapids, MI

[[Page 14560]]

49503-2648, OFC Phone: (616) 456-2100, FAX: (616) 456-2191

Minnesota

Multifamily Housing Hub, HUD Minneapolis Office, 220 Second Street, 
South, Minneapolis, MN 55401-2195, OFC Phone: (612) 370-3051 Ext. 0, 
FAX: (612) 370-3090

Mississippi

Multifamily Housing Program Center, HUD Jackson Office--McCoy 
Federal Building, 100 W. Capitol Street, Room 910, Jackson, MS 
39269-1096, OFC Phone: (601) 965-4738, FAX: (601) 965-4773

Missouri

Multifamily Housing Hub, HUD Kansas City Office, 400 State Avenue, 
Room 200, Kansas City, KS 66101-2406, OFC Phone: (913) 551-6844, 
FAX: (913) 551-5469
Multifamily Housing Program Center, HUD St. Louis Office, Robert A. 
Young Federal Building, 1222 Spruce Street--Third Floor, St. Louis, 
MO 63103-2836, OFC Phone: (314) 539-6382, FAX: (314) 539-6356

Montana

Multifamily Housing Hub, HUD Denver Office, 633 17th Street, 14th 
Floor, Denver, CO 80202-3607, OFC Phone: (303) 672-5343, FAX: (303) 
672-5153

Nebraska

Multifamily Housing Program Center, HUD Omaha Office, 10909 Mill 
Valley Road, Suite 100, Omaha, NE 68154-3955, OFC Phone: (402) 492-
3113, FAX: (402) 492-3184

Nevada

Multifamily Housing Program Center, HUD Las Vegas Office, 333 N. 
Rancho Drive--Atrium Bldg. Suite 700, Las Vegas, NV 89106-3714, OFC 
Phone: (702) 388-6525, FAX: (702) 388-6244

New Hampshire

Multifamily Housing Program Center, HUD--Manchester Office, Norris 
Cotton Federal Bldg., 275 Chestnut Street, Manchester, NH 03101-
2487, OFC Phone: (603) 666-7684, FAX: (603) 666-7697

New Jersey

Multifamily Housing Program Center, HUD--Newark Office--13th Floor, 
One Newark Center, Newark, NJ 07102-5260, OFC Phone: (973) 622-7900 
Ext. 3400, FAX: (973) 645-2271

New Mexico

Multifamily Housing Hub, HUD Ft. Worth Office, 801 Cherry Street, PO 
Box 2905, Ft. Worth, TX 76102-2905, OFC Phone: (817) 978-5764, FAX: 
(817) 978-5520

New York

Multifamily Housing Hub, HUD--New York Office, 26 Federal Plaza--
Room 3214, New York, NY 10278-0068, OFC Phone: (212) 264-0777 Ext. 
3713, FAX: (212) 264-1277
Multifamily Housing Hub, HUD--Buffalo Office, Lafayette Court, 5th 
Floor 465 Main Street, Buffalo, NY 14203-1780, OFC Phone: (716) 551-
5755 Ext. 5509, FAX: (716) 551-3252

North Carolina

Multifamily Housing Hub, HUD Greensboro Office--Koger Building, 2306 
West Meadowview Road, Greensboro, NC 27407, OFC Phone: (336) 547-
4034, FAX: (336) 547-4121

North Dakota

Multifamily Housing Hub, HUD Denver Office, 633 17th Street, 14th 
Floor, Denver, CO 80202-3607, OFC Phone: (303) 672-5343, FAX: (303) 
672-5153

Ohio

Multifamily Housing Hub, HUD Columbus Office, 200 North High Street, 
Columbus, OH 43215-2499, OFC Phone: (614) 469-5737, Ext. 8111, FAX: 
(614) 469-2432
Multifamily Housing Program Center, HUD Cincinnati Office, 525 Vine 
Street, Suite 700, Cincinnati, OH 45202-3188, OFC Phone: (513) 684-
2350, FAX: (513) 684-6224
Multifamily Housing Program Center, HUD Cleveland Office, 1350 
Euclid Avenue, Suite 500, Cleveland, OH 44115-1815, OFC Phone: (216) 
522-4058 Ext. 7000, FAX: (216) 522-4067

Oklahoma

Multifamily Housing Program Center, HUD Oklahoma City Office, 500 W. 
Main Street, Suite 400, Oklahoma City, OK 73102-2233, OFC Phone: 
(405) 553-7410, FAX: (405) 553-7406

Oregon

Multifamily Housing Hub, HUD Seattle Office, 909 First Avenue, Suite 
190, MS-0AHM, Seattle, WA 98104-1000, OFC Phone: (206) 220-5228 ext. 
3250, FAX: (206) 220-5206

Pennsylvania

Multifamily Housing Hub, HUD Philadelphia Office, The Wanamaker 
Building, 100 Penn Square, East, Philadelphia, PA 19107-3380, OFC 
Phone: (215) 656-0609 Ext. 3533, FAX: (215) 656-3427
Multifamily Housing Program Center, HUD Pittsburgh Office, 339 Sixth 
Avenue--Sixth Floor, Pittsburgh, PA 15222-2515, OFC Phone: (412) 
644-6639, FAX: (412) 644-5872

Puerto Rico

Multifamily Housing Program Center, HUD Caribbean Office, 171 Carlos 
E. Chardon Avenue, San Juan, PR 00918-0903, OFC Phone: (787) 766-
5401, FAX: (787) 766-5522

Rhode Island

Multifamily Housing Program Center, HUD--Providence Office, 10 
Weybosset Street, Sixth Floor, Providence, RI 02903-2808, OFC Phone: 
(401) 528-5230, FAX: (401) 528-5097

South Carolina

Multifamily Housing Program Center, HUD Columbia Office, 1835 
Assembly Street, Columbia, SC 29201-2480, OFC Phone: (803) 765-5162, 
FAX: (803) 253-3043

South Dakota

Multifamily Housing Hub, HUD Denver Office, 633 17th Street, 14th 
Floor, Denver, CO 80202-3607, OFC Phone: (303) 672-5343, FAX: (303) 
672-5153

Tennessee

Multifamily Housing Program Center, HUD--Knoxville Office, 710 
Locust Street, SW, Knoxville, TN 37902-2526, OFC Phone: (423) 545-
4411, FAX: (423) 545-4578
Multifamily Housing Program Center, HUD--Nashville Office, 251 
Cumberland Bend Drive, Suite 200, Nashville, TN 37228-1803, OFC 
Phone: (615) 736-5748, FAX: (615) 736-2018

Texas

Multifamily Housing Hub, HUD Ft. Worth Office, 801 Cherry Street, PO 
Box 2905, Ft. Worth, TX 76102-2905, OFC Phone: (817) 978-5764, FAX: 
(817) 978-5520
Multifamily Housing Program Center, HUD Houston Office, 2211 
Norfolk, #200, Houston, TX 77098-4096, OFC Phone: (713) 313-2274 
Ext. 7015, FAX: (713) 313-2319
Multifamily Housing Program Center, HUD San Antonio Office, 800 
Dolorosa, San Antonio, TX 78207-4563, OFC Phone: (210) 475-6831, 
FAX: (210) 472-6897

Utah

Multifamily Housing Hub, HUD Denver Office, 633 17th Street, 14th 
Floor, Denver, CO 80202-3607, OFC Phone: (303) 672-5343, FAX: (303) 
672-5153

Vermont

Multifamily Housing Program Center, HUD--Manchester Office, Norris 
Cotton Federal Bldg., 275 Chestnut Street, Manchester, NH 03101-
2487, OFC Phone: (603) 666-7684, FAX: (603) 666-7697

Virginia

Multifamily Housing Hub, HUD Richmond Office, 3600 West Broad 
Street, Richmond, VA 23230-4920, OFC Phone: (804) 278-4500 Ext. 
3146, FAX: (804) 278-4613

Washington

Multifamily Housing Hub, HUD Seattle Office, 909 First Avenue, Suite 
190, MS-0AHM, Seattle, WA 98104-1000, OFC Phone: (206) 220-5228 ext. 
3250, FAX: (206) 220-5206

West Virginia

Multifamily Housing Program Center, HUD--Charleston Office, 405 
Capitol Street, Suite 708, Charleston, WV 25301-1795, OFC Phone: 
(304) 347-7000 Ext. 103, FAX: (304) 347-7050

Wisconsin

Multifamily Housing Program Center, HUD Milwaukee Office, 310 West 
Wisconsin Avenue, Room 1380, Milwaukee, WI 53203-2289, OFC Phone: 
(414) 297-3214 Ext. 8662, FAX: (414) 297-3204

Wyoming

Multifamily Housing Hub, HUD Denver Office, 633 17th Street, 14th 
Floor, Denver, CO 80202-3607, OFC Phone: (303) 672-5343, FAX: (303) 
672-5153

Appendix B

    The non-standard forms required for the Service Coordinators in 
Multifamily Housing application follow:

1. Applicant Checklist (Non-ALCP Applicants)

[[Page 14561]]

2. Sample Request Letter Format
3. Service Coordinator Certifications
4. Transmittal Letter Format for Designated Lead Agency
5. ALCP Applicant Checklist and ALCP Applicants' Form

BILLING CODE 4210-32-P

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[[Page 14593]]



FUNDING AVAILABILITY FOR HOUSING CHOICE VOUCHER FAMILY SELF-
SUFFICIENCY (FSS) PROGRAM COORDINATORS

PROGRAM OVERVIEW

    Purpose of Program. The Housing Choice Voucher FSS program 
(referred to in previous NOFAs as the Section 8 FSS program and as the 
Rental Certificate/Housing Choice Voucher FSS program) is intended to 
promote the development of local strategies to coordinate the use of 
assistance under the Housing Choice Voucher program with public and 
private resources to enable participating families to achieve economic 
independence and self-sufficiency. As a result of their participation 
in the FSS program, many families have achieved stable, well-paid 
employment, which has made it possible for them to become homeowners. 
An FSS program coordinator assures that program participants are linked 
to the supportive services they need to achieve self-sufficiency.
    Funding under this NOFA may not be used to pay the salary of an FSS 
coordinator for a public housing FSS program. Operating subsidy may be 
used to fund a public housing FSS program coordinator's salary.
    Available Funds. This NOFA announces the availability of up to 
$46.4 million in Fiscal Year (FY) 2002 for Housing Choice Voucher FSS 
program coordinators. If additional funding becomes available during FY 
2002, HUD may increase the amount available for Housing Choice Voucher 
FSS Program coordinators under this NOFA. Salaries of FSS program 
coordinators funded under this NOFA must not exceed salaries for 
comparable positions in the PHA's local area and are subject to a cap 
of $62,000 per full time coordinator position funded. Under this NOFA, 
if PHAs apply jointly, the $62,000 maximum amount that may be requested 
per position applies to each full-time coordinator position in the 
application as a whole, not to each PHA separately. Evidence of salary 
comparability to similar positions in the local jurisdiction for each 
position must be kept on file in the PHA office.
    Eligible Applicants: Public housing agencies (PHAs) eligible to 
receive funding under this NOFA are those that received funding for one 
or more FSS program coordinators under the FY 2001 FSS Program 
Coordinator NOFA and apply under this NOFA and those PHAs with HUD 
approval to administer a Housing Choice Voucher FSS program of at least 
25 slots, or, if they are PHAs with HUD approval to administer Housing 
Choice Voucher FSS programs of fewer than 25 slots, they apply jointly 
with one or more other PHAs so that between or among them they have HUD 
approval to administer at least 25 Housing Choice Voucher FSS slots. 
PHAs that were funded under the FY 2001 FSS NOFA that offer 
homeownership opportunities to FSS program participants may also apply 
for funding for an additional coordinator position to support 
homeownership activities for its FSS program participants.
    Application Deadline. May 21, 2002.
    Match. None

ADDITIONAL INFORMATION

    If you are interested in applying for Housing Choice Voucher FSS 
Program Coordinator funding under this NOFA, please review carefully 
the General Section of this SuperNOFA and the following additional 
information.

I. Application Due Date, Application Kits, and Technical Assistance

    Application Due Date. Your completed application (an original and 
two copies) is due on or before May 21, 2002.
    See the General Section of this SuperNOFA for specific procedures 
concerning the form of application submission.
    Address for Submitting Applications. Your completed application 
consists of one original and two copies. Submit your original 
application and one copy with an Acknowledgment of Application Receipt, 
form HUD-2993, to: Michael E. Diggs, Director, PIH Grants Management 
Center, Department of Housing and Urban Development, 501 School Street, 
Suite 800, Washington, DC 20024.
    Submit the second copy of your application to your local HUD Field 
Office Public Housing Hub or Program Center. A listing of HUD Field 
Offices is attached to the General Section of this SuperNOFA. This copy 
is provided to the local HUD Field Office for informational purposes. 
Late receipt of the application by the field office will not disqualify 
the application.
    Application Submission Procedures. New Security Procedures. HUD has 
implemented new security procedures that impact on application 
submission procedures. Please read the following instructions carefully 
and completely. HUD will not accept hand delivered applications. 
Applications may be mailed using the United States Postal Service 
(USPS) or may be shipped via the following delivery services: United 
Parcel Service (UPS), FedEx, DHL, or Falcon Carrier. No other delivery 
services are permitted into HUD Headquarters without escort. You must, 
therefore, use one of the four carriers listed above.
    Mailed Applications. Your application will be considered timely 
filed if your application is postmarked on or before 12 midnight on the 
application due date and received by the PIH Grants Management Center 
on or within fifteen (15) days of the application due date. All 
applicants must obtain and save a Certificate of mailing showing the 
date, when you submitted your application to the United States Postal 
Service (USPS). The Certificate of Mailing will be your documentary 
evidence that your application was timely filed.
    Applications Sent by Overnight/Express mail Delivery. If your 
application is sent by overnight delivery or express mail, your 
application will be timely filed if it is received before or on the 
application due date, or when you submit documentary evidence that your 
application was placed in transit with the overnight delivery/express 
mail service by no later than the application due date. Due to new 
security measures, you must use one of four carrier services that do 
business with HUD Headquarters regularly. These services are UPS, DHL, 
FedEx and Falcon Carrier. Delivery by these services must be made 
during HUD's Headquarters business hours, between 8:30 AM and 5:30 PM 
Eastern time, Monday to Friday. If these companies do not service your 
area, you should submit your application via the United States Postal 
Service.
    For Application Kits. There is no application kit for this NOFA. 
This announcement contains all the information necessary for the 
submission of your application for Housing Choice Voucher FSS program 
coordinator funding.
    For Further Information and Technical Assistance. For answers to 
your questions, you may contact the Public and Indian Housing Resource 
Center at 1-800-955-2232 or the Hub Director of Public Housing or the 
Program Center Coordinator in the local HUD Field Office or you may 
contact the Grants Management Center at (202) 358-0221, extension 7675. 
Persons with hearing or speech impairments may access these numbers via 
TTY (text telephone) by calling the Federal Information Relay Service 
at 1-800-877-8339 (this is a toll-free number). Information can be 
accessed via the Internet at http://www.hud.gov/grants.
    Prior to the application deadline, staff at the numbers given above 
will be available to provide general guidance,

[[Page 14594]]

but not guidance in actually preparing the application. Following 
selection, 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 by HUD.
    Satellite Broadcast. HUD plans to hold an information broadcast via 
satellite for potential applicants to learn more about the program and 
preparation of an application. For more information about the date and 
time of this broadcast, you should consult the HUD Web site at 
www.hud.gov.

II. Amount Allocated

    For FY 2002, up to $46.4 million is available under the HUD 2002 
Appropriations Act for PHA administrative fees for Housing Choice 
Voucher FSS program coordinators. This amount is from HUD's 
Congressional justifications that were submitted in support of the 
Departments of Veterans Affairs and Housing and Urban Development, and 
Independent Agencies Appropriations Act, 2002 (Pub.L. 107-73, approved 
November 26, 2001). If additional funds become available in FY 2002, 
through retention, recapture, or reallocation, HUD may seek to 
reprogram all or some of these funds to fund additional applications 
submitted in response to the NOFA. This is the ninth fiscal year of 
funding for Housing Choice Voucher FSS program coordinators.

HUD Corrections to Funding Provided Under the FY 2001 NOFA

    HUD has determined that the funding reserved under the FY 2001 
Rental Certificate/Housing Choice Voucher NOFA for eleven PHAs was 
lower than the PHAs should have received under that NOFA and HUD 
believes that underfunding should be corrected. Therefore, prior to 
funding any applications under the FY 2002 NOFA, HUD is making funding, 
in the amount of $627,046 in FY 2002 funding, available to correct 
those errors as follows: Pico Rivera Housing Assistance Agency, CA--
$60,000; New Britain Housing Authority, CT--$168,000; Cedar Rapids 
Housing Services, IA--$87,180; City of Louisville, KY--$70,824; East 
Baton Rouge Housing Authority, LA--$33,537; Salem Housing Authority, 
MA--$26,537; Metropolitan Council, MN--$56,738; Norfolk Housing 
Authority, NE--$34,800; Rochester Housing Authority, NY--$48,041; 
Economic Improvement Council, Inc., NC--$28,389; Municipality of 
Yabucoa, PR--$13,000.

III. Program Description; Eligible Applicants; Number of Positions 
for Which Eligible Applicants May Apply; Eligible Activities

    (A) Program Description. Through annual NOFAs, HUD has provided 
funding to PHAs that are operating Housing Choice Voucher FSS programs 
to enable those PHAs to hire Housing Choice Voucher FSS program 
coordinators.
    In the FY 2002 FSS NOFA, HUD is making funding available to renew 
positions funded under the FY 2001 FSS NOFA to allow PHAs to continue 
to pay the salaries of Housing Choice Voucher FSS program coordinators 
funded under the FY 2001 NOFA for another year.
    Under this NOFA, for the first time, HUD also invites PHAs that 
qualify for renewal of positions awarded under the FY 2001 NOFA to 
apply for an additional coordinator position to support homeownership 
activities for its FSS program participants. To qualify for this 
additional position, eligible renewal PHAs must have implemented or 
participate in homeownership programs, including homeownership voucher 
programs, that are available to families participating in the FSS 
program.
    Because of the importance of the FSS program in helping families 
increase earned income and develop assets, HUD will also accept 
applications from PHAs that were not funded under the FY 2001 NOFA. In 
addition, under this NOFA eligible new and renewal state and regional 
PHAs that have HUD approval of their FSS action plans to operate 
separate FSS programs of at least 25 slots in different parts of their 
jurisdictions may also apply for up to one new position for any part of 
the PHA jurisdiction where the state or regional PHA did not receive 
funding under the FY 2001 NOFA.
    Applicants should be aware that in this NOFA, the HUD-approved FSS 
slots means the total number of mandatory and voluntary housing choice 
voucher FSS program slots identified in the PHA's HUD-approved FSS 
action plan. It does not mean the number of families currently enrolled 
in the FSS program or the number of families the PHA has served 
including those that have graduated. The FSS action plan can be updated 
by means of a simple one page addendum which reflects the total number 
of FSS slots (voluntary and/or mandatory slots) the PHA plans to serve. 
This addendum must be submitted to the PHA's local HUD office as it is 
approved by that office.
    Both the voluntary Housing Choice Voucher FSS slots and the 
mandatory Housing Choice Voucher FSS slots, identified in the PHA's 
HUD-approved FSS Action Plan, are counted in determining the PHA's 
Housing Choice Voucher FSS program size. Prior to submitting an 
application, PHAs may wish to confirm the number of HUD-approved slots 
their local HUD field office has on record for the PHA to assure that 
it is accurate.
    To qualify for consideration for funding with those FSS program 
coordinator applications submitted by the due date under this NOFA, 
amendments to change the number of FSS slots in the PHA's FSS Action 
Plan must be approved by the local HUD field office prior to the 
application due date. PHAs whose FSS action plans are approved after 
the due date of applications under this NOFA would be considered for 
funding only if funding remains after funding of all eligible 
applications received by the due date.
    There are no maximum or minimum Housing Choice Voucher program size 
requirements for PHAs applying for funding under this NOFA.
    (B) Eligible Applicants. Public housing agencies (PHAs) eligible to 
receive funding under this NOFA are: (1) Those PHAs that received 
funding under the FY 2001 NOFA for Rental Certificate/Housing Choice 
Voucher FSS Program Coordinators. (To qualify for renewal of positions 
funded under the FY 2001 FSS NOFA, the number of FSS slots in the PHA's 
HUD-approved FSS Action Plan must remain at a level that will support 
the number of positions that were funded in FY 2001 and the PHA must 
continue to operate an FSS program, have hired an FSS program 
coordinator or coordinators with funding awarded for that purpose under 
the FY 2001 FSS NOFA, and executed FSS contracts of participation with 
program participants.) (2) PHAs that were not funded under the FY 2001 
FSS NOFA that are authorized through their HUD-approved FSS Action Plan 
to administer a Housing Choice Voucher FSS program of at least 25 
slots; or, if they are PHAs with HUD approval to administer Housing 
Choice Voucher FSS programs of fewer than 25 slots, they apply jointly 
with one or more other PHAs so that between or among them they have HUD 
approval to administer at least 25 Housing Choice Voucher FSS slots. 
Joint applicants must specify a lead co-applicant which will receive 
and administer the FSS program coordinator funding.
    PHAs that qualify to apply as renewal PHAs under category (1) 
above, that have implemented or participate in

[[Page 14595]]

homeownership programs, including Housing Choice Voucher homeownership 
programs as well as other programs such as state or local homeownership 
programs, that are available to families participating in FSS programs, 
may apply for an additional coordinator position to support 
homeownership activities for families participating in the FSS program.
    PHAs that are administering Family Self-Sufficiency programs under 
the Moving to Work (MTW) demonstration may qualify for funding under 
this NOFA if the PHA administers a Family Self-Sufficiency program that 
serves Housing Choice Voucher program families. When determining the 
size of a MTW PHA's HUD-approved FSS program, the PHA may request that 
the number of FSS slots reflected in the PHA's MTW agreement be used 
instead of the number in the PHA's FSS Action Plan.
    (C) Number of Positions for which Eligible PHAs may apply: Eligible 
PHAs may apply for coordinator positions under this NOFA as follows:
    (1) PHAs funded under the FY 2001 FSS NOFA: PHAs that received 
funding under the FY 2001 FSS NOFA that qualify as eligible PHAs under 
the definition of eligible applicants in Section III.B. of this NOFA, 
may apply for:
    (a) Renewal of the FSS coordinator positions funded under the FY 
2001 FSS NOFA that have been filled by the PHA,
    (b) If the PHA administers or participates in a homeownership 
program which gives a selection preference for FSS families or limits 
eligibility to FSS families, and the PHA currently has FSS families 
ready to, or already participating in, a homeownership program, the PHA 
may apply for up to one additional full time FSS coordinator position 
to support FSS program homeownership activities and;
    (c) If the PHA is a state or regional PHA with HUD approval to 
administer an FSS program in more than one part of its jurisdiction and 
has filled all positions funded under the FY 2001 FSS NOFA, the PHA may 
apply for an additional position for any area of its jurisdiction where 
it has HUD approval to operate a Housing Choice Voucher FSS program of 
at least 25 slots if the PHA was not funded for a position for that 
area under the FY 2001 FSS NOFA.
    (2) PHAs not funded under the FY 2001 FSS NOFA: PHAs that were not 
funded under the FY 2001 FSS NOFA, including PHAs applying jointly and 
state and regional PHAs, that qualify as eligible new applicants under 
the definition of eligible applicants in Section III.B. of this NOFA 
may apply for positions as follows:
    (a) PHAs with HUD approval to administer an FSS program of 25 or 
more slots may apply for up to one full time FSS coordinator position 
and;
    (b) Eligible state or regional PHAs with HUD approval to operate 
FSS program in different parts of their jurisdiction may apply for up 
to one FSS coordinator in any area where they have HUD approval to 
administer a Housing Choice Voucher FSS program of at least 25 slots.
    (D) Eligible Activities. Funds are available to PHAs under this 
NOFA to employ or otherwise retain the services of Housing Choice 
Voucher FSS program coordinators for one year. A part-time Housing 
Choice Voucher FSS program coordinator may be retained where 
appropriate. In the Housing Choice Voucher FSS program, PHAs are 
required to use rental assistance under the Housing Choice Voucher 
program together with public and private resources to provide 
supportive services to enable participating families to achieve 
economic independence and self-sufficiency. Effective delivery of 
supportive services is a critical element in a successful FSS program. 
PHAs are encouraged to outreach to disabled Housing Choice Voucher 
program participants who might be interested in participating in the 
FSS program and to include on their FSS Program Coordinating Committees 
agencies that work with and provide services for disabled families. The 
FSS program supports the Department's objective of helping poor and 
disadvantaged families and individuals increase wages, develop assets 
and move to homeownership. The program provides critical tools that can 
be used by communities to support welfare reform and help families 
develop new skills that will lead to economic self-sufficiency.

IV. Program Requirements

    (A) Program Coordinator Role. PHAs administering the FSS program 
use program coordinating committees (PCCs) to assist them to secure 
resources and implement the FSS program. The PCC is made up of 
representatives of businesses, local government, job training and 
employment agencies, local welfare agencies, educational institutions, 
childcare providers, and nonprofit service providers, including faith-
based and other community organizations.
    An FSS program coordinator works with the PCC and with local 
service providers to assure that program participants are linked to the 
supportive services they need to achieve self-sufficiency. The FSS 
program coordinator may ensure, through case management, that the 
services included in participants' contracts of participation are 
provided on a regular, ongoing and satisfactory basis, that 
participants are fulfilling their responsibilities under the contracts 
and that FSS escrow accounts are established and properly maintained 
for eligible families. FSS coordinators may also perform job 
development functions for the FSS program.
    (B) Staffing Guidelines. Under normal circumstances, a full-time 
FSS program coordinator should be able to serve approximately 50 FSS 
participants, depending on the coordinator's case management functions.
    (C) Conducting Business in Accordance With HUD Core Values and 
Ethical Standards. All applicants shall develop and maintain a written 
code of conduct that reflects their core values in accordance with the 
requirements stated in Section II.B.(2) of the General Section of this 
the SuperNOFA.
    (D) Other Requirements. PHAs must meet the civil rights compliance 
and nondiscrimination requirements listed in the General Section of 
this SuperNOFA.

V. Application Selection Process

    The funds available under this NOFA are not being awarded on a 
competitive basis. Applications will be reviewed by the Grants 
Management Center (GMC) to determine whether or not they are 
technically adequate based on the NOFA requirements. Field offices will 
provide to the GMC in a timely manner, as requested, information needed 
by the GMC to make its determination, such as the HUD-approved Housing 
Choice Voucher FSS program size and information on the PHA's 
administrative capabilities. Categories of applications that will not 
be funded are stated in Section VII.(B) of this NOFA.
    All technically adequate applications will be funded to the extent 
funds are available. If HUD receives applications for funding greater 
than the amount made available under this NOFA, HUD will fund eligible 
applicants as follows: Applications will be divided into the following 
categories of funding priority:
    Priority 1--Applications from PHAs, including state and regional 
PHAs, for continuation of the position or positions funded under the FY 
2001 FSS NOFA where a coordinator has been hired by the PHA.
    Priority 2--Applications from eligible renewal PHAs, funded under 
priority 1 of this NOFA, for an additional

[[Page 14596]]

coordinator position to support FSS homeownership activities.
    Priority 3--Priority 3 will consist of: (a) Applications for up to 
one initial FSS coordinator position from PHAs that were not funded 
under the FY 2001 FSS NOFA including, for state and regional PHAs with 
HUD approval to operate FSS programs in different parts of their 
jurisdictions, up to one FSS coordinator position per area where they 
are authorized to operate a Housing Choice Voucher FSS program of at 
least 25 FSS slots.
    (b) Applications from Priority 1 (renewal) state and regional PHAs 
for up to one full time FSS program coordinator position in any area of 
their jurisdiction where they are authorized to operate a Housing 
Choice Voucher FSS program of at least 25 FSS slots, but did not 
receive funding for a full time FSS program coordinator position under 
the FY 2001 FSS NOFA.
    HUD will first fund all eligible Priority 1 applications to 
continue funding for Housing Choice Voucher FSS program coordinators 
funded under the FY 2001 FSS NOFA where the PHA has hired an FSS 
program coordinator. If the amount available is not sufficient to fund 
all eligible applications, HUD will determine if all applications can 
be funded if salary increases are limited to three percent of the FY 
2001 awards. If monies are still not sufficient to fund all eligible 
applicants, HUD will begin funding eligible applications by Housing 
Choice Voucher program size starting with the smallest Housing Choice 
Voucher programs first. Housing Choice Voucher program size will be 
determined by HUD using baseline data developed by the Department.
    If funding remains after funding all priority 1 applications, HUD 
will then provide funding to eligible Priority 2 applicants for up to 
one additional Housing Choice Voucher FSS program coordinator position 
per eligible PHA to support the homeownership activities of Housing 
Choice Voucher FSS program participants. If there are not sufficient 
monies to fund an additional FSS coordinator for each Priority 2 PHA, 
HUD will begin funding up to one full-time coordinator for each 
eligible Priority 2 applicant starting with PHAs with the highest 
percentage of FSS families currently ready for homeownership. The 
percentage will be computed using the HUD-approved Housing Choice 
Voucher FSS program size in the PHA's HUD-approved FSS action plan.
    If funding remains after funding all Priority 1 and 2 applications, 
HUD will then provide funding to eligible Priority 3 applicants for up 
to one Housing Choice Voucher FSS program coordinator position per PHA, 
or in the case of state and regional PHAs, up to one full time 
coordinator for each area where they are authorized to operate a 
Housing Choice Voucher program of at least 25 slots and did not receive 
funding for the position under the FY 2001 FSS NOFA. If there is 
insufficient funding for all Priority 3 applicants, funding will be 
awarded to applicants in Housing Choice Voucher program size order 
starting from the PHAs with the smallest Housing Choice Voucher 
programs first. Housing Choice Voucher program size will be determined 
by HUD using baseline data developed by the Department. If there are 
not sufficient monies to fund all applications from Priority 3 PHAs 
with the same Housing Choice Voucher program size, funding will be 
provided based on the size of the PHA's Housing Choice Voucher FSS 
program, reflected in the PHA's HUD-approved Housing Choice Voucher FSS 
Action Plan, starting with the largest approved Housing Choice Voucher 
FSS program first.
    If funding remains after all eligible applications submitted in 
response to this NOFA are funded and received by the due date, the 
Grants Management Center will use any funding still available through 
the end of FY 2002 to fund applications submitted after the due date of 
this NOFA that meet all other requirements of this NOFA. These 
applications will be funded on a first-come, first-serve basis through 
September 30, 2002, as long as funds are available.

VI. Application Submission Requirements

    (A) Application Requirement for PHAs that Received FY 2001 FSS 
Program Coordinator Funding. Each PHA that received funding for a 
Rental Certificate/Housing Choice Voucher FSS program coordinator or 
coordinators under the FY 2001 FSS NOFA that wishes to receive funding 
under this NOFA must complete a certification in the format shown as 
``Attachment A'' of this NOFA, and must include all information 
required in ``Attachment A.'' The completed Attachment A certification 
along with the Fair Housing Certification (Attachment C of this NOFA) 
and the Certification Regarding Lobbying (Attachment D of this NOFA) 
constitute the entire PHA application for funding under this section 
unless the PHA is also applying for an additional position to support 
FSS homeownership activities. PHAs applying for an additional position 
to support FSS homeownership activities must also submit Attachment E. 
The certifications must be submitted to the GMC by the due date to be 
eligible for the initial round of funding under this NOFA.
    (B) Request for FSS Program Coordinator Funds by Eligible PHAs that 
were NOT Funded in FY 2001. PHAs that did not receive funding under the 
FY 2001 FSS Program Coordinator NOFA must complete a certification in 
the format shown as ``Attachment B'' of this FSS NOFA and must include 
all information required in Attachment B. The completed Attachment B 
certification along with the Fair Housing Certification (Attachment C 
of this NOFA) and the Certification Regarding Lobbying (Attachment D of 
the NOFA) constitute the entire PHA application for funding under this 
section. The certifications must be submitted to the GMC by the due 
date to be considered for funding for the initial round of funding 
under this NOFA.
    (C) Applicant Debriefing. Beginning not less than 30 days after the 
awards for assistance are announced in the Federal Register notice, and 
for no less than 120 days after awards for assistance are announced, 
HUD will provide a debriefing to any applicant requesting a debriefing 
on their application. All requests for debriefing must be made in 
writing and submitted to Michael E. Diggs, Director, PIH Grants 
Management Center, Department of Housing and Urban Development, 501 
School Street, Suite 800, Washington, DC 20024. Materials provided will 
include the final assessment indicating the basis upon which assistance 
was provided or denied.

VII. Corrections to Deficient Applications

    (A) Acceptable Applications. The General Section of the SuperNOFA 
provides the procedures for corrections to deficient applications. 
Examples of correctable technical deficiencies include, but are not 
limited to, failure to submit the proper attachment C, D or E 
certifications, submission of an attachment A or B with missing 
information or submission of an attachment or certification that lacks 
an original signature by an authorized official.
    (B) Unacceptable Applications.
    (1) After the 14-calendar day technical deficiency correction 
period (as provided in the General Section), the GMC will disapprove 
PHA applications that it determines are not acceptable for processing 
under the initial round of funding.
    (2) Applications from PHAs that fall into any of the following 
categories are

[[Page 14597]]

ineligible for funding under this NOFA and will not be processed:
    (a) An application from a PHA that is not an eligible PHA under 
Section III.B. of this NOFA or an application that does not comply with 
the requirements of Section VI. of this NOFA.
    (b) An application from a PHA that does not meet the requirements 
of fair housing and civil rights compliance requirements of Section 
II(B) of the General Section of the SuperNOFA.
    (c) An application from a PHA that at the end of the 14-calendar 
day technical correction period has not made progress satisfactory to 
HUD in resolving serious outstanding Inspector General audit findings, 
or serious outstanding HUD management review or independent public 
accountant (IPA) audit findings for one or more of the following 
programs: Housing Choice Voucher or Moderate Rehabilitation. Serious 
program management findings are those that would cast doubt on the 
capacity of the PHA to administer its Housing Choice Voucher program in 
accordance with applicable HUD regulatory and statutory requirements.
    (d) The application was not submitted to the official place of 
receipt as indicated in the paragraph entitled ``Address for Submitting 
Applications'' at the beginning of this announcement.
    (e) The applicant has been debarred or otherwise disqualified from 
providing assistance under the program.
    (3) Otherwise eligible applications that are not received by the 
due date of this NOFA will not be funded unless funds remain available 
after all eligible applications received by the due date have been 
funded. If at that time all the funding under this NOFA has not been 
awarded, then otherwise eligible applications received after the due 
date will be funded on a first come, first served basis through the end 
of FY 2002, as long as funding remains available. If more than one such 
application is received at the same date and time, the application from 
the PHA with the smallest Housing Choice Voucher program will be funded 
first.

VIII. Environmental Requirements

    No environmental review is required in connection with the award of 
assistance under this NOFA, because the NOFA only provides funds for 
employing a coordinator that provides public and supportive services, 
which are categorically excluded from environmental review under the 
National Environmental Policy Act of 1969 (42 U.S.C. 4321) and not 
subject to compliance actions for related environmental authorities 
under 24 CFR 50.19(b)(4) and (12).

IX. Authority

    The Departments of Veterans Affairs and Housing and Urban 
Development and Independent Agencies Appropriations Act, 2002 (Pub. L. 
107-73, approved November 26, 2001) allows funding for program 
coordinators under the Housing Choice Voucher FSS program. As a result, 
the Department determined to make a sufficient amount available under 
this NOFA, under Part 984, in accordance with section 984.302(b), to 
enable PHAs to employ one or more Housing Choice Voucher FSS program 
coordinators for one year at a reasonable cost as determined by the PHA 
and HUD, based on salaries for similar positions in the locality.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14609]]



FUNDING AVAILABILITY FOR EARLY DOCTORAL STUDENT RESEARCH GRANT 
PROGRAM

PROGRAM OVERVIEW

    Purpose of the Program. To help eligible doctoral students 
cultivate their research skills through the preparation of research 
manuscripts that focus on housing and urban development issues.
    Available Funds. Approximately $150,000 in FY 2002 funds.
    Eligible Applicants: Only pre-dissertation Ph.D. students whose 
studies include urban economics as a major or concentration within 
another field related to housing and urban development.
    Application Deadline. June 20, 2002.
    Match. None.

ADDITIONAL INFORMATION

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Your completed application is due on or 
before June 20, 2002. You should read the General Section of the 
SuperNOFA because it contains more detailed information about the 
application due date.
    Address for Submitting Applications. Your completed application 
consists of an original signed application and an electronic copy of 
the application. All applications must be submitted via the United 
States Postal Service to the following address: University Partnerships 
Clearinghouse, Aspen Systems Corporation, Mail Stop 6P, 2277 Research 
Blvd., Rockville, MD 20850. You should read the General Section of the 
SuperNOFA because it contains more detailed information on submission 
deadlines. Please mark on the envelope for your application that it is 
for the Early Doctoral Student Research Grant Program.
    HUD will accept only one application per doctoral student.
    For Application Kits. The application requirements are contained in 
this program NOFA. There is no separate application kit for the 
program.
    For Further Information and Technical Assistance. You may contact 
Armand Carrier of HUD's Office of University Partnerships at 202-708-
3061 ext 3181. If you have a hearing or speech impairment, you may 
access this number via TTY by calling the Federal Information Relay 
Service toll-free at 1-800-877-8339. You may also write to Mr. Carrier 
via e-mail at hud.gov">Carriere@hud.gov">Armand_W._hud.gov">Carriere@hud.gov.

II. Amount Allocated

    Approximately $150,000 in FY 2002 funds is being made available 
under this SuperNOFA for Early Doctoral Student Research Grant Program 
(EDSRG).
    The maximum grant period is 12 months. The performance period will 
commence on the effective date of the grant agreement.
    The maximum amount to be requested by and awarded to a doctoral 
student is $15,000. HUD reserves the right to make awards for less than 
the maximum amount or less than the amount requested in your 
application.

Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. The purpose of the EDSRG is to enable 
doctoral students to cultivate their research skills through the 
preparation of research manuscripts that focus on policy-relevant 
housing and urban development issues. The program will also provide a 
forum for new scholars to share their research findings through 
presentation of this research to a scholarly conference and/or 
publication in a refereed journal. The FY 2002 EDSRG Program seeks to 
fund research studies that will inform Federal problem solving and 
policymaking relating to HUD's policy priorities for this year. 
Examples of topics addressing these priorities include but are not 
limited to:

 Homeownership

1. Homeownership
    (a) Relative importance of factors in tenure decisions
    (b) Estimation of private and social benefits and costs of 
homeownership
    (c) Role in employment, household savings, and investment decisions
    (d) Effects of demographics, macro-economic environment and 
government policies on homeownership
    (e) Effects of homeownership on low- and moderate-income
2. Housing finance
    (a) Institutional barriers to efficiency in the housing finance 
system
    (b) Enabling the housing finance system to better serve low-income 
and minority borrowers
3. Home Equity Conversion Mortgages

 Housing Market Conditions

1. Housing markets
    (a) Factors affecting rents, home values, tenure, vacancy rates
    (b) Market absorption of new units
    (c) Construction activity
1. Housing Stock
    (a) Durability of stock
    (b) Energy efficiency
    (c) Factors determining rehabilitation and remodeling
    (d) Comparisons with stock in other developed countries
3. Availability of Affordable Housing
    (a) Policy and program options in tight or ``soft'' markets
    (b) Preservation of existing stock

 Equal Opportunity and Access to Housing

1. Effectiveness of different models (including local initiatives) for 
promoting Fair Housing Objectives
2. Discrimination in housing and lending
    (a) Methods to detect discrimination
    (b) Systemic patterns and practices

 Homelessness

1. Strategies to combat homelessness
    (a) Addressing chronic homelessness
    (b) Preventing homelessness
    (c) Helping families move from transitional to permanent housing
    (d) Issues and responses to youth homelessness
    (e) Causes of homelessness

 Community and Economic Development

1. Create or expand business
    (a) Meet the needs of underserved inner city, older suburb, or 
rural areas
    (b) Expansion of access to capital
    (c) Joint ventures with faith-based or other community-based 
grassroots organizations
2. Development of inner cities
    (a) Studies of reinvestment pressures
    (b) Theories of capital/land/market failure that help to explain 
depopulation or disinvestment
    (c) Government policies or market interventions that would 
alleviate these patterns
3. Regionalism and growth management
    (a) The economic interdependence of cities and suburbs
    (b) Rehabilitation and infill development
    (c) Regional problem solving and coalition building
    (d) Reinvestment in the urban core
    (e) Impact of community economic development policies, programs, 
and initiatives

 Faith-Based and Other Community-Based Partnerships

1. Community development and community building
    (a) Role of faith-based groups in low-income housing and community 
development efforts
    (b) Faith-based and higher education community building efforts
2. Evaluation of college/community partnerships and institutionalizing

[[Page 14610]]

these partnerships at colleges and universities

 Assisted Housing Programs

1. Affordability of rental housing
    (a) Innovative partnerships or finance tools
    (b) Cost-benefit analyses of alternative methods of providing 
housing assistance
    (c) Effectiveness of voucher programs
    (d) Evaluations of existing programs
2. Housing needs of the elderly and persons with disabilities
    (a) Availability
    (b) Design and Quality, including Accessibility
    (c) Affordability
    (d) Linked Services
3. Strategies for helping families in public and assisted housing make 
progress toward self-sufficiency and become homeowners.

 Colonias

1. How current housing policies determine the kinds of housing 
available
2. The perception of ``community'' in colonias
3. Evaluation of existing housing programs in colonias

    (B) Eligible Applicants. You must meet the following requirements:
    (1) You must be a currently enrolled and full-time student in an 
accredited doctoral program at an accredited institution of higher 
education;
    (2) You must have urban economics as your major field or as a 
concentration within a major in another field related to housing and 
urban development;
    (3) You must not have taken your preliminary/comprehensive 
examinations;
    (4) You must have completed at least two semesters or three terms 
of your doctoral studies program (depending on the course structure of 
the institution); and
    (5) You must have been assigned a faculty advisor to supervise your 
research manuscript.
    You must provide documentation from the chair of your department 
that you meet all of these conditions and that in his/her opinion it is 
realistic to believe that the research manuscript can be completed 
within the one-year grant period. In addition, you and your institution 
must meet all the applicable threshold requirements found in Section 
II(B) of the General Section of the SuperNOFA.
    (C) Eligible Activities. Your grant must support direct costs 
incurred in the timely completion of a research manuscript. Eligible 
costs include stipends, computer software, the purchase of data, travel 
expenses to collect data; transcription services, and compensation for 
interviews. Three thousand dollars of the grant will be held back until 
you have completed your research manuscript and either it has been 
accepted for presentation at a conference or for publication in a 
refereed journal by September 30, 2003, or a committee of three faculty 
members (including your faculty sponsor, as the principal investigator 
of the grant) has determined and certified to HUD that the manuscript 
is of high quality and worthy of submission to conferences or journals.
    (D) Ineligible Activities. Your grant may not be used to pay for 
tuition, computer hardware, or meals.
    (E) Other Requirements:
    (1) Support from your university. Support from your university is 
required. Such support might include tuition waivers, office space, 
equipment, computer time, or similar items you might need in order to 
complete your dissertation. This support may not replace support or 
assistance that your institution would otherwise provide you.
    (2) University sponsorship. The university shall enter into a Grant 
Agreement with HUD that provides for payment of the grant by HUD to the 
university and from the university to you, the approved applicant, and 
that further provides all required certifications and assurances. The 
university shall agree to provide as the Principal Investigator under 
the Grant Agreement a dissertation advisor or chair of the applicant's 
dissertation committee who shall supervise your work under the Grant 
Agreement.
    (3) Progress reporting. You will be required to submit a report, 
halfway through your grant, on the progress you have made towards 
completion of the research manuscript and the likelihood that you will 
complete it on time.

IV. Application Selection Process

    HUD will conduct two types of review: a threshold review to 
determine your eligibility to apply; and a technical review to rate 
your application based on the rating factors in this section.
    (A) Threshold Factors for Funding Consideration. Under this 
threshold review, your application can only be rated if the following 
standards are met:
    (1) You are an eligible doctoral student, as defined in Section 
III(B) above and have provided a letter from your department chair, in 
the format in Appendix A, confirming this;
    (2) You have requested no more than the grant maximum of $15,000; 
and
    (3) Your institution has agreed to provide some support to you as 
part of this grant.
    (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.

Rating Factor 1: Capacity To Do the Research (20 Points)

    In reviewing this factor, HUD will determine the extent to which:
    (1) Your skills and experience are relevant to your proposed 
research manuscript (e.g., course work, teaching, research projects, 
presentations);
    (2) You have undertaken appropriate preparation (e.g., preliminary 
design of the survey collection instruments, pre-clearance on 
interviews) to undertake the dissertation; and
    (3) Your proposed research will help to further your research 
skills (i.e, it is relevant to the kinds of projects you will continue 
to work on as you earn your Ph.D.).

Rating Factor 2: Need for the Research (35 Points)

    In reviewing this factor, HUD will determine the extent to which 
your research manuscript will produce policy-relevant information that 
is directly related to one of the research priorities listed above 
(i.e., the research that will be produced could have an effect on HUD's 
strategic goals and HUD's programs and policies to achieve these 
goals--see the HUD Web site at http://www.hud.gov/about/budget/fy02/cjs/fy2002app.pdf for a discussion of these goals. The less directly 
related to one of these topics your research is, the fewer points you 
will receive. For example, a study of minorities' housing choice 
decisions would have high relevance to HUD's strategic goals; a study 
of transportation inequities would have medium relevance; and a study 
of the effects of global warming on urban development would have low 
relevance.

Rating Factor 3: Soundness of Approach (35 Points)

    In reviewing this factor, HUD will determine the extent to which 
your research design and methodology are likely to produce data and 
information that will successfully answer your research hypotheses. HUD 
will also evaluate the extent to which the methodology you propose to 
use is sound and generally accepted by the relevant research community. 
Reviewers will be looking at the extent to which you use standard 
methodological practices in line with research already

[[Page 14611]]

completed or existing publications in the field related to your 
research questions.
    In reviewing this factor, HUD will also determine the extent to 
which your research design and methodology and plan for completion of 
your research manuscript can feasibly be completed within the one-year 
grant period. Applications that propose extremely complex and time-
consuming data collection efforts (e.g., major longitudinal studies or 
a very large number of sites visits within the grant period) will be 
determined to be less feasible of completion within the allowed time 
frame. For example, if you propose a methodology based on information 
that may not be publicly available until after the end of the grant 
period (e.g., Census information), or a data collection plan that will 
take longer than the time you have allowed for it, you will get zero 
points for this factor.

Rating Factor 4: Issuance of Your Research Manuscript (10 Points)

    One purpose of the EDSRG Program is to fund research studies that 
will inform Federal problem solving and policymaking relating to HUD's 
policy priorities for this year. HUD, therefore, will evaluate the 
likelihood that the manuscript will be ready to present at a conference 
or be ready for publication in a refereed journal by September 30, 
2003. HUD will also evaluate your plans to disseminate your research 
though other means, e.g., seminars, your university's publications, or 
relevant internet listserves.
    (C) Selections. In order to be funded, you must receive a minimum 
score of 70 points. HUD will fund applications in rank order, until it 
has awarded all available funds. If two or more applications have the 
same number of points, the application with the most points for Factor 
1, Relevance to HUD's Mission, shall be selected. If there is still a 
tie, the application with the most points for Factor 2, Quality of the 
Research Design, shall be selected.
    After all application selections have been made, HUD may require 
that you participate in negotiations to determine the specific terms of 
the Statement of Work and the grant budget. In cases where HUD cannot 
successfully complete negotiations, or you fail to provide HUD with 
requested information, an award 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 that applicant.
    (D) Applicant Debriefing. Beginning not less than 30 days after the 
awards for assistance are announced in the Federal Register, and for 
not less than 120 days after awards for assistance are announced, HUD 
will provide a debriefing to any applicant requesting a debriefing on 
their application. All requests for debriefings must be made in writing 
and submitted to Armand Carrier of HUD's Office of University 
Partnerships, Robert C. Weaver Building, 451 7th St. SW., Room 8106, 
Washington DC 20410. You may also write to Mr. Carrier via e-mail at 
hud.gov">Armand_W._Carrie@hud.gov.
    Information provided to you during your debriefing will include the 
final scores you received for each rating factor, final evaluator 
comments for each rating factor, and the final assessment indicating 
the basis upon which assistance was provided or denied.

V. Application Submission Requirements

    You should include an original and one computer disk (in Word 6.0 
or higher) of the items listed below. In order to be able to recycle 
paper, please do not submit applications in bound form; binder clips or 
loose leaf binders are acceptable. Also, please do not use colored 
paper. Please note the page limits for some of the items listed below 
and do not exceed them.
    Your application must contain the items listed in this section and 
they must be included in the order shown here. There is no separate 
application kit for this program. These items include the standard 
forms, certifications, and assurances listed in the General Section of 
the SuperNOFA that are applicable to this funding (collectively 
referred to as the ``standard forms''). The standard forms can be found 
in Appendix B to the General Section of the SuperNOFA. The remaining 
application, referred to as the ``non-standard forms,'' can be found as 
Appendix A to this program section of the SuperNOFA. The Catalog of 
Federal Domestic Assistance number for this program is 14.517 and is 
listed in the program chart in the General Section of the SuperNOFA. 
Sample documents are also included in this appendix. The items are as 
follows:
    (A) SF-424, Application for Federal Assistance. Include the name 
and address of the person authorized to execute the grant agreement in 
Block 5. Include the institution's tax ID number in Block 6. The form 
should be signed by the appropriate university official.
    (B) Table of contents of the application.
    (C) Transmittal Letter, from you, containing the following 
information:
    (1) Title of your research project;
    (2) Your name, university and home addresses, university and home 
telephone numbers, facsimile numbers, and email address;
    (3) Your university's name, department, mailing address, telephone 
and facsimile numbers.
    (4) Your faculty advisor's name, address, telephone and facsimile 
numbers--this person will serve as the Principal Investigator for the 
grant.
    (D) A statement from your department chair that you have met all 
the eligibility criteria described in Section III(B) (see Appendix A 
for a sample).
    (E) A statement from the appropriate official that describes your 
university's support, as described in Section III(E) (see Appendix B 
for a sample).
    (F) An abstract of 500 words or less that addresses the following 
topics:
    (1) Specific purpose of the dissertation;
    (2) Methodology being used; and
    (3) How you meet the eligibility criteria.
    (G) A narrative of the proposed research, not to exceed 5 double-
spaced typed pages. This narrative must include the following items in 
the following order:
    (1) Statement of the problem;
    (2) Your capacity to do the research. (Include your resume, showing 
educational background, research experience, background in statistics 
and empirical research, computer experience, and background in housing 
and/or urban studies.)
    (3) Need for the research;
    (4) Approach (research design and methodology);
    (5) Your plan for disseminating your research.
    (H) A proposed budget (See Appendix C for a sample).
    (I) Certifications. These forms must be signed by the doctoral 
candidate and can be downloaded from the HUD web site at www.hud.gov.
    (1) HUD-2992, Certification regarding debarment and suspension 
pursuant to 24 CFR part 24.
    (2) HUD-50071, Disclosure of lobbying pursuant to 24 CFR part 87.
    (3) HUD-50070, Certification of Drug-Free Workplace, pursuant to 24 
CFR 24.600 et seq.
    (J) Acknowledgment of Receipt of Applications (HUD-2993). If you 
wish to confirm that HUD received your application, please complete 
this form. This form is optional.

VI. Environmental Requirements

    The provision of assistance under this program is categorically 
excluded from environmental review under the National Environmental 
Policy Act of

[[Page 14612]]

1969 (42 U.S.C. 4321) and not subject to compliance actions for related 
environmental authorities under Sec. 50.19(b)(1) and (b)(9).

VII. Authority

    This program is being undertaken under HUD's research authority 
under Title V of the Housing and Urban Development Act of 1970.

Appendices A, B and C

    The non-standard sample forms and letters, which follow, are 
required for your Early Doctoral Student Research Grant application.
BILLING CODE 4210-32-P

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  Federal Register / Vol. 67, No. 58 / Tuesday, March 26, 2002 / 
Notices  

[[Page 14619]]



FUNDING AVAILABILITY FOR DOCTORAL DISSERTATION RESEARCH GRANT 
PROGRAM

PROGRAM OVERVIEW

    Purpose of the Program. To assist Ph.D. candidates complete their 
research and dissertations on housing and urban development issues.
    Available Funds. Approximately $400,000 in FY 2002 funds.
    Eligible Applicants: Only Ph.D. candidates who have completed all 
of their doctoral program requirements except the preparation of the 
dissertation.
    Application Deadline. June 20, 2002.
    Match. None.

ADDITIONAL INFORMATION

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Your completed application is due on or 
before June 20, 2002. You should read the general section of the 
SuperNOFA because it contains more detailed information about the 
application due date.
    Address for Submitting Applications. Your completed application 
consists of an original signed application and an electronic copy of 
the application. All applications must be submitted via the United 
States Postal Service to the following address: University Partnerships 
Clearinghouse, Aspen Systems Corporation, Mail Stop 6P, 2277 Research 
Blvd., Rockville, MD 20850. You should read the General Section of the 
SuperNOFA because it contains more detailed information on submission 
deadlines. Please mark on the envelope for your application that it is 
the Doctoral Dissertation Research Grant Program.
    HUD will accept only one application per Ph.D. candidate.
    For Application Kits. The application requirements are contained in 
this program NOFA. There is no separate application kit for the 
program.
    For Further Information and Technical Assistance. You may contact 
Armand Carriere of HUD's Office of University Partnerships at 202-708-
3061, extension 3181. If you have a hearing or speech impairment, you 
may access this number via TTY by calling the Federal Information Relay 
Service toll-free at 1-800-877-8339. You may also write to Mr. Carriere 
via e-mail at hud.gov">Armand_W._Carrier@hud.gov.

II. Amount Allocated

    Approximately $400,000 in FY 2002 funds is being made available 
under this SuperNOFA for the Doctoral Dissertation Research Grant 
Program (DDRG).
    The maximum grant period is 24 months. The performance period will 
commence on the effective date of the grant agreement.
    The maximum amount to be requested by and awarded to a Ph.D. 
candidate is $25,000. HUD reserves the right to make awards for less 
than the maximum amount or less than the amount requested in your 
application.

III. Program Description; Eligible Applicants; Eligible Activities

    (A) Program Description. The purpose of DDRG is to enable Ph.D. 
candidates enrolled at accredited institutions of higher education to 
complete their research and dissertations on HUD-related housing and 
urban development issues. The FY 2002 DDRG program seeks to fund 
dissertations that will inform Federal problem-solving and policy 
making relating to policy-relevant issues. Examples of such topics 
include but are not limited to:

 Homeownership

1. Homeownership
    (a) Relative importance of factors in tenure decisions
    (b) Estimation of private and social benefits and costs of 
homeownership
    (c) Role in employment, household savings, and investment decisions
    (d) Effects of demographics, macro-economic environment and 
government policies on homeownership
    (e) Effects of homeownership on low- and moderate-income households
2. Housing finance
    (a) Institutional barriers to efficiency in the housing finance 
system
    (b) Enabling the housing finance system to better serve low-income 
and minority borrowers
3. Home Equity Conversion Mortgages

 Housing Market Conditions

1. Housing Markets
    (a) Factors affecting rents, home values, tenure, vacancy rates
    (b) Market absorption of new units
    (c) Construction activity
2. Housing Stock
    (a) Durability of stock
    (b) Energy efficiency
    (c) Factors determining rehabilitation and remodeling
    (a) Comparisons with stock in other developed countries
3. Availability of Affordable Housing
    (a) Policy and program options in tight or ``soft'' markets
    (b) Preservation of existing stock

 Equal Opportunity and Access to Housing

1. Effectiveness of different models (including local initiatives) for 
promoting Fair Housing Objectives
2. Discrimination in housing and lending
    (a) Methods to detect discrimination
    (b) Systemic patterns and practices

 Homelessness

1. Strategies to combat homelessness
    (a) Addressing chronic homelessness
    (b) Preventing homelessness
    (c) Helping families move from transitional to permanent housing
    (d) Causes of homelessness
    (e) Issues and responses to youth homelessness

 Community and Economic Development

1. Create or expand business
    (a) Meet the needs of underserved inner city, older suburb, or 
rural areas
    (b) Expansion of access to capital
    (c) Joint ventures with faith-based or other community-based 
grassroots organizations
2. Development of inner cities
    (a) Studies of reinvestment pressures
    (b) Theories of capital/land/market failure that help to explain 
depopulation or disinvestment
    (c) Government policies or market interventions that would 
alleviate these patterns
3. Regionalism and growth management
    (a) The economic interdependence of cities and suburbs
    (b) Rehabilitation and infill development
    (c) Regional problem solving and coalition building
    (d) Reinvestment in the urban core
    (e) Impact of community economic development policies, programs, 
and initiatives

 Faith-Based and Other Community-Based Partnerships

1. Community development and community building
    (a) Role of faith-based groups in low-income housing and community 
development efforts
    (b) Faith-based and higher education community building efforts
2. Evaluation of college/community partnerships and institutionalizing 
these partnerships at colleges and universities

 Assisted Housing Programs

1. Affordability of rental housing
    (a) Innovative partnerships or finance tools
    (b) Cost-benefit analyses of alternative

[[Page 14620]]

methods for providing housing assistance
    (c) Effectiveness of voucher programs
    (d) Evaluations of existing programs
2. Housing needs of the elderly and persons with disabilities
    (a) Availability
    (b) Design and Quality, including Accessibility
    (c) Affordability
    (d) Linked Services
3. Strategies for helping families in public and assisted housing make 
progress toward self-sufficiency and become homeowners.

 Colonias

1. How current housing policies determine the kinds of housing 
available
2. The perception of ``community'' in colonias
3. Evaluation of existing housing programs in colonias

    (B) Eligible Applicants. You must be a currently enrolled and 
matriculated student who has been accepted into candidacy in an 
accredited doctoral program at an accredited institution of higher 
education and have a fully developed and approved dissertation 
proposal. You must provide documentation from your dissertation 
committee chair that:
    (1) By the application due date, your dissertation proposal has 
been accepted by your full dissertation committee and you have been 
assigned a dissertation advisor;
    (2) By September 1, 2002, you will have satisfactorily completed 
all other written and oral Ph.D. requirements, including all your 
examinations and defense of your proposal, except the dissertation; and
    (3) It is realistic to believe that the dissertation can be 
completed within the two-year grant period.
    In addition, you and your institution must meet all the applicable 
threshold requirements found in Section II(B) of the General Section of 
the SuperNOFA.

    Note: Institutions which have had previously awarded Doctoral 
Dissertation Research Grants terminated for non-performance and have 
outstanding funds owed to HUD resulting from this determination will 
be excluded from competition for the Doctoral Dissertation Research 
Grant program until the outstanding funds are repaid.

    (C) Eligible Activities. Your grant must support direct costs 
incurred in the timely completion of a dissertation. Eligible costs 
include stipends, computer software, the purchase of data, travel 
expenses to collect data; transcription services, and compensation for 
interviews. Six thousand dollars of the grant will be held back until 
you have completed your dissertation, had it approved by your 
committee, and submitted it to HUD.
    (D) Ineligible Activities. Your grant may not be used to pay for 
tuition, computer hardware, or meals.
    (E) Other Requirements. (1) Support from your university. Support 
from your university is required. Such support might include tuition 
waivers, office space, equipment, computer time, or similar items you 
might need in order to complete your dissertation. This support may not 
replace support or assistance that your institution would otherwise 
provide you.
    (2) University sponsorship. The university shall enter into a Grant 
Agreement with HUD that provides for payment of the grant by HUD to the 
university and from the university to you, the approved applicant, and 
that further provides all required certifications and assurances. The 
university shall agree to provide as the Principal Investigator under 
the Grant Agreement a dissertation advisor or chair of the applicant's 
dissertation committee who shall supervise your work under the Grant 
Agreement.
    (3) Progress reporting. You will be required to submit a report, at 
the end of the first year of your grant, on the progress you have made 
towards completion of the dissertation and the likelihood that you will 
complete it on time.

IV. Application Selection Process

    HUD will conduct two types of review: a threshold review to 
determine your eligibility to apply; and a technical review to rate 
your application based on the rating factors in this section.
    (A) Threshold Factors for Funding Consideration. Under this 
threshold review, your application can only be rated if the following 
standards are met:
    (1) You are an eligible Ph.D. candidate, as defined in Section 
III(B) above and have provided a letter from your dissertation 
committee chair, in the format in Appendix A, confirming this;
    (2) You have requested no more than the $25,000 grant maximum; and
    (3) Your institution has agreed to provide some support to you as 
part of this grant.
    (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.

Rating Factor 1: Capacity To Do the Research (20 points)

    In reviewing this factor, HUD will determine the extent to which 
your skills and experience are relevant to your proposed dissertation 
(e.g., course work, teaching, research projects, presentations). HUD 
will determine the extent to which you have undertaken appropriate 
preparation (e.g., selecting sites for data collection, identifying 
potential interviewees and categories of interviewees, pre-clearance on 
interviews) to undertake the dissertation. HUD will also determine the 
extent to which your previous research experience (e.g., graduate-level 
research projects, presentations at conferences, publications, etc.) is 
relevant to and supportive of your proposed dissertation.

Rating Factor 2: Need for Your Research (35 Points)

    In reviewing this factor, HUD will determine the extent to which 
your dissertation will produce policy-relevant information that is 
directly related to one of the research priorities listed above (i.e., 
the research that will be produced could have an effect on HUD's 
strategic goals and HUD's programs and policies to achieve these 
goals--see the HUD Web site at http://www.hud.gov/about/budget/fy02/cjs/fy2002app.pdf for a discussion of these goals). The less directly 
related to one of these topics your dissertation is, the fewer points 
you will receive. For example, a study of minorities' housing choice 
decisions would have high relevance to HUD's strategic goals; a study 
of transportation inequities would have medium relevance; and a study 
of the effects of global warming on urban development would have low 
relevance.

Rating Factor 3: Soundness of Approach (35 Points)

    In reviewing this factor, HUD will determine the extent to which 
your research design and methodology are likely to produce data and 
information that will successfully answer your research hypotheses. HUD 
will also evaluate the extent to which the methodology you propose to 
use is sound and generally accepted by the relevant research community. 
Reviewers will be looking at the extent to which you use standard 
methodological practices in line with research already completed or 
existing publications in the field related to your research questions.
    HUD will also determine the extent to which your research design 
and methodology and plan for completion of

[[Page 14621]]

the dissertation can be completed within the two-year grant period. 
Applications that propose extremely complex and time-consuming data 
collection efforts (e.g., major longitudinal studies or a very large 
number of sites visits within the two year grant period) will be 
determined to be less feasible of completion within the allowed time 
frame. For example, if you propose a methodology based on information 
that may not be publicly available until after the end of the two-year 
grant period (e.g., Census information), or a data collection plan that 
will take longer than the time you have allowed for it, you will get 
zero points.

Rating Factor 4: Dissemination of Your Dissertation (10 Points)

    An important purpose of the DDRG Program is to fund research that 
will inform Federal problem-solving and policy making relating to 
housing and urban development. In reviewing this factor, HUD will 
evaluate the likelihood that your research will be ready and suitable 
for publication or presentation at policy conference by the end of the 
grant period. HUD will also evaluate your plans to disseminate your 
research though other means, e.g., seminars, your university's 
publications, or relevant internet list services.
    (C) Selections. In order to be funded, you must receive a minimum 
score of 70 points. HUD will fund applications in rank order, until it 
has awarded all available funds. If two or more applications have the 
same number of points, the application with the most points for Factor 
1, Relevance to HUD's Mission, shall be selected. If there is still a 
tie, the application with the most points for Factor 2, Quality of the 
Research Design, shall be selected.
    After all application selections have been made, HUD may require 
that you participate in negotiations to determine the specific terms of 
the Statement of Work and the grant budget. In cases where HUD cannot 
successfully complete negotiations, or you fail to provide HUD with 
requested information, an award 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 that applicant.
    (D) Applicant Debriefing. Beginning not less than 30 days after the 
awards for assistance are announced in the Federal Register, and for 
not less than 120 days after awards for assistance are announced, HUD 
will provide a debriefing to any applicant requesting a debriefing on 
their application. All requests for debriefings must be made in writing 
and submitted to Armand Carriere of HUD's Office of University 
Partnerships Robert C. Weaver Building, 451 7th St. SW., Room 8106, 
Washington DC 20410. You may also write to Mr. Carriere via e-mail at 
hud.gov">Carriere@hud.gov">Armand_W._hud.gov">Carriere@hud.gov.

V. Application Submission Requirements

    You should include an original and one computer disk (in Word 6.0 
or higher) of the items listed below. In order to be able to recycle 
paper, please do not submit applications in bound form; binder clips or 
loose leaf binders are acceptable. Also, please do not use colored 
paper. Please note the page limits for some of the items listed below 
and do not exceed them.
    Your application must contain the items listed in this section and 
they must be included in the order shown here. There is no separate 
application kit for this program. These items include the standard 
forms, certifications, and assurances listed in the General Section of 
the SuperNOFA that are applicable to this funding (collectively 
referred to as the ``standard forms''). The standard forms can be found 
in Appendix B to the General Section of the SuperNOFA. The remaining 
application, referred to as the ``non-standard forms,'' can be found as 
Appendix A to this program section of the SuperNOFA. The Catalog of 
Federal Domestic Assistance number for this program is 14.516 and is 
listed in the program chart in the General Section of the SuperNOFA. 
Sample documents are also included in this appendix. The items are as 
follows:
    (A) SF-424, Application for Federal Assistance. Include the name 
and address of the person authorized to execute the grant agreement in 
Block 5. Include the institution's tax ID number in Block 6. The form 
should be signed by the appropriate university official.
    (B) Table of contents of the application.
    (C) Transmittal Letter, from you, containing the following 
information:
    (1) Title of your dissertation;
    (2) Your name, university and home addresses, university and home 
telephone and facsimile numbers, and email address;
    (3) Your university's name, department, mailing address, telephone 
and facsimile numbers.
    (4) Your dissertation advisor's name, address, telephone and 
facsimile numbers--this person will serve as the Principal Investigator 
for the grant.
    (D) A statement from your dissertation advisor or chair of the 
dissertation committee that you have met all the eligibility criteria 
described in Section III(B) (see Appendix A for a sample).
    (E) A statement from the appropriate official that describes your 
university's support, as described in Section III(E) (see Appendix B 
for a sample).
    (F) An abstract of 500 words or less that addresses the following 
topics:
    (1) Specific purpose of the dissertation;
    (2) Methodology being used; and
    (3) How you meet the eligibility criteria.
    (G) A narrative of the proposed research, not to exceed 10 double-
spaced typed pages. Do not submit your dissertation proposal itself. 
This narrative must include the following in the following order:
    (1) Statement of the problem;
    (2) Your capacity to do the research. (Include your resume, showing 
educational background, research experience, background in statistics 
and empirical research, computer experience, and background in housing 
and/or urban studies.)
    (3) Need for the research;
    (4) Approach (research design and methodology);
    (5) Your plan for disseminating your research.
    (H) A proposed budget (See Appendix C for a sample).
    (I) Certifications. These forms must be signed by the doctoral 
candidate and can be downloaded from the HUD web site at www.hud.gov.
    (1) HUD-2992, Certification regarding debarment and suspension 
pursuant to 24 CFR part 24.
    (2) HUD-50071, Disclosure of lobbying pursuant to 24 CFR part 87.
    (3) HUD-50070, Certification of Drug-Free Workplace, pursuant to 24 
CFR 24.600 et seq.
    (J) Acknowledgment of Receipt of Applications (HUD-2993). If you 
wish to confirm that HUD received your application, please complete 
this form. This form is optional.

VI. Environmental Requirements

    The provision of assistance under this program is categorically 
excluded from environmental review under the National Environmental 
Policy Act of 1969 (42 U.S.C. 4321) and not subject to compliance 
actions for related environmental authorities under Sec. 50.19(b)(1) 
and (b)(9).

VII. Authority

    This program is being undertaken under HUD's research authority 
under Title V of the Housing and Urban Development Act of 1970.

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Appendices A, B and C

    The non-standard sample forms and letters, which follow, are 
required for your Doctoral Dissertation Research Grant application.
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