Backup Documents 03/23/2010 Item #16D 4
ORIGINAL DOCUMENTS CHECKLIST & ROUTING sufi 6 D 4
TO ACCOMPANY ALL ORIGINAL DOCUMENTS SENT TO -~
THE BOARD OF COUNTY COMMISSIONERS OFFICE FOR SIGNATURE
Print on pink paper. Attach to original document. Original d')cLlmcm~ should be IWlld ddivcn:d to lh(' Board Oflii:t' fhe completed muting slip and origlllal
documents are to be forwarded to the Board Office only aftt'r the Board has taki:ll action on the item)
ROUTING SLIP
Complete routing lines # I through #4 as appropriate for additional sib'llatures, dates. and/or information needed, !fthe document is already complete with the
excention of the Chainnan's sip'nature, draw a line throuRh routin" lines # 1 throUlolh #4, comn1ett: the checklist, and forward to Sue Filson (line #5),
Route to Addressee(s) Office Initials Date
'List in routina orde'r\
l.Colleen Greene County Attorney CfYlG- ~. ?-C)./U
2. Ian Mitchell, Supervisor Board of County Commissioners ~- "3/1.S/fO
3. Minutes and Records Clerk of Court's Office
4. "'_.----,., ----,~, - . - .."'-'-".'-"--- '-
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5.
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PRIMARY CONTACT INFORMATION
(The primary contact is the holder of the original document pending nee approval, Normally tht' primary contact is the person \vho created/prepared the executive
summary. Primary contact information is needcd in thc event one of the addressees above. induding Ian Mitchell, nced to contact statYfor additional or missing
information. All original documents needing the Bee Chairman \ sig.nature are 10 be delivered [0 the Bee otlice only after the BCC has acted to approve the
item.'
Name of Primary Staff Nick Green, Grants Coordinator Phone Number 252-2376
Contact
Agenda Date Item was March 23, 2010 Agenda Item Number 1604
Annroved bv the BCC
Type of Document COC Agreement Amendment Number of Original 3
Attached Documents Attached
I.
INSTRUCTIONS & CHECKLIST
Initial the Yes column or mark "N/A" in the Not Applicable column. whichever is
a ro riate.
Original document has been signed/initialed for legal sufficiency. (All documents to be
signed by the Chainnan, with the cxception of most letters, must be reviewed and signed
by the Office of the County Attorney. This includes signature pages from ordinances,
resolutions, etc. signed by the County Attorney's Office and signature pages from
contracts, agreements, etc. that have been fully executed by all parties except the BCC
Chairman and Cletk to the Board and ossibl State Officials.)
All handwritten strike-through and revisions have been initialed by the County Attorney's
Office and all other arties exec t the BCC Chainnan and the Clerk to the Board
The Chainnan's signature line date has been entered as the date ofBCC approval of the
document or the final ne Jotiated contract date whichever is a licable.
"Sign here" tabs are placed on the appropriate pages indicating where the Chairman's
si nature and initials are re uircd.
In most cases (some contracts are an exception), the original document and this routing slip
should be provided Ian Mitchell in the BCC ollice within 24 hours of BCC approval. Some
documents are time sensitive and require forwarding to Tallahassee within a certain time
frame or the BCe's actions are nullified. Be aware of our deadlines'
The document was approved by the BCC on March 23.2010 (enter date) and all
changes made during the meeting have been incorporated in the attached document.
The Coun Attorne 's Office has reviewed the chan es, if a Hcable.
NG
Yes
(Initial)
NG
N/A(Not
A licable
2.
NA
3.
NG
4.
NG
5.
NA
6.
I: Forms! County Forms! BCe Forms! Original Documents Routing Slip WWS Original 9,ttHJ4 Revised 126.05. Kc\ised 2,24.05
16D4
EXECUTIVE SUMMARY
Recommendation to approve and authorize the Chairman to sign a renewal grant agreement
between the U.S. Department of Housing and Urban Development (HUD) and the Collier
County Board of Commissioners (BCC).
OBJECTIVE: To approve and authorize the Chairman to sign a renewal grant agreement
between the U.S. Department of Housing and Urban Development (HUD) and the Collier
County Board of Commissioners (BCC).
CONSIDERATIONS: At the May 27, 2003 BCC meeting, the Board provided approval for the
County to become the Lead Agency and apply to IIUD on behalf of the County's social service
agencies for the annual CoC grant. On November 18,2008 (Item 16D4), the Board approved the
submission ofa 2008-2009 CoC grant application to HUD for three projects requesting $761,753
in homeless assistance funding. HUD notified the County that it received partial tunding for its
application in the amount of $330,763. On July 28, 2009, the BCC approved the receipt of the
total CoC award in the amount of$330,763 (Item 16D8).
As part of the award, Shelter for Abused Women and Children (SA WCC) was to receive funding
in the amount of$113,000. Details for this agreement were $56,500 for supportive services and
$56,500 for operating services. SA WCC has requested that Collier County Department of
Housing and Human Services (HHS) increase SA WCe's allocation of $56,500 for supportive
services to $92,900 and decrease their allocation of $56,500 for operating services to $20, I 00,
leaving the total grant amount the same at $113,000. HHS requested HUD make these program
amendments and HUD agreed and approved the change through this renewal grant agreement.
FISCAL IMPACT: There is no fiscal impact to the County's general tund.
GROWTH MANAGEMENT IMPACT: This grant amendment is consistent with the goals
and objectives of the Housing Element of the County's Growth Management Plan.
LEGAL CONSIDERATIONS: This item has been reviewed and approved by the County
Attorney's Office and is legally sufficient for Board action - CMG.
RECOMMENDATION: Recommendation to approve and authorize the Chairman to sign a
renewal grant agreement between the U.S. Department of Housing and Urban Development
(HUD) the Collier County Board of Commissioners (BeC).
Prepared by: Nick Green, Grants Coordinator
Housing and Human Services Department
MEMORANDUM
Date:
March 26, 2010
To:
Nick Green, Grants Coordinator
Human & Human Services
From:
Ann Jennejohn, Deputy Clerk
Minutes & Records Department
Re:
Renewal Grant Agreement between HUD
and the Board of County Commissioners to
accommodate HUD approved budget changes
for the SA WCC Peace Village Project
Attached are two original renewal grant agreements referenced
above (Item #16D4) approved by the Board of County Commissioners
on March 23, 2010.
The Minutes and Record's Department will hold the third original
renewal agreement in the Board's Official Records.
If you have any questions please call me at 252-8406.
Thank you.
Attachment (2)
16D4
16D4
Recipient: Collier County Board of County Commissioners
Grant #: FL0295B4D060801
Address: 3050 N. Horseshoe Drive, Suite 110, Naples, FL34104
Tax 10 #: 59-6000558
Project Location: Shelterlno address
2008 SUPPORTIVE HOUSING PROGRAM
RENEWAL GRANT AGREEMENT
This Grant Agreement is made by and between the United States Department of Housing
and Urban Development (HUD) and Jhe Recipient, which is described in section I of
Attachment A, attached hereto and made a part hereof._
The assistance which is the subject of this Grant Agreement is authorized by the
McKinney-Vento Homeless Assistance Act 42 U.S.C. 11381 (hereafter "the Act"). The term
"grant" or "grant funds" means the assistance provided under this Agreement. This grant
agreement will be governed by the Act, the Supportive Housing rule codified at 24 CFR 583,
which is attached hereto and made a part hereof as Attachment B, and the Notice of Funding
Availability (NOF A) that was published in two parts. The first part was the Policy Requirements
and General Section of the NOF A, which was published March 19, 2008 at 73 FR 14882, and the
second part was the Continuum of Care Homeless Assistance Programs NOF A Section of the
NOFA, which was published July 10,2008 at 73 FR 39840. The term "Application" means the
original and renewal application submissions on the basis of which a Grant was approved by
HUD, including the certifications and assurances and any information or documentation required
to meet any grant award conditions. The Application is incorporated herein as part of this
Agreement, however, in the event of conflict between the provisions of those documents and any
provision contained herein, this Renewal Grant Agreement shall control. The Secretary agrees,
subject to the terms of the Grant Agreement, to provide the grant funds in the amount specified at
section 2 of Attachment A for the approved project described in the Application. The Recipient
agrees, subject to the terms of the Grant Agreement, to use the grant funds for eligible activities
during the grant term specified at section 3 of Attachment A.
The Recipient must provide a 25 percent cash match for supportive services.
The Recipient agrees to comply with all requirements of this Grant Agreement and to
accept responsibility for such compliance by any entities to which it makes grant funds available.
The Recipient agrees to participate in a local Homeless Management Information System
(HMIS) when implemented.
The Recipient and project sponsor, if any, will not knowingly allow illegal activities in
any unit assisted with grant funds.
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1604
The Recipient agrees to draw grant funds at least quarterly.
HUD notifications to the Recipient shall be to the address of the Recipient as written
above, unless HUD is otherwise advised in writing. Recipient notifications to HUD shall be to
the HUD Field Office executing the Grant Agreement. No right, benefit, or advantage of the
Recipient hereunder be assigned without prior written approval of HUD.
For any project funded by this grant, which is also financed through the use of the Low
Income Housing Tax Credit, the following applies:
HUD recognizes that the Recipient or the project sponsor will or has financed this
project through the use of the Low- Income Housing Tax Credit. The Recipient or
project sponsor shall be the general partner of a limited partnership formed for
that purpose. If grant funds were used for acquisition, rehabilitation or
construction, then, throughout a period of twenty years from the date of initial
occupancy or the initial service provision, the Recipient or project sponsor shall
continue as general partner and shall ensure that the project is operated in
accordance with the requirements of this Grant Agreement, the applicable
regulations and statutes. Further, the said limited partnership shall own the
project site throughout that twenty-year period. If grant funds were not used for
acquisition, rehabilitation or new construction, then the period shall not be twenty
years, but shall be for the term of the grant agreement and any renewal thereof.
Failure to comply with the terms of this paragraph shall constitute a default under
the Grant Agreement.
A default shall consist of any use of grant funds for a purpose other than as authorized by
this Grant Agreement, failure in the Recipient's duty to provide the supportive housing for the
minimum term in accordance with the requirements of Attachment B, noncompliance with the
Act or Attachment A provisions, any other material breach of the Grant Agreement, or
misrepresentations in the application submissions which, if known by HUD, would have resulted
in this grant not being provided. Upon due notice to the Recipient of the occurrence of any such
default and the provision of a reasonable opportunity to respond, HUD may take one or more of
the following actions:
(a) direct the Recipient to submit progress schedules for completing approved
activities; or
(b) issue a letter of warning advising the Recipient of the default, establishing a date
by which corrective actions must be completed and putting the Recipient on
notice that more serious actions will be taken if the default is not corrected or is
repeated; or
(c) direct the Recipient to establish and maintain a management plan that assigns
responsibilities for carrying out remedial actions; or
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1604
(d) direct the Recipient to suspend, discontinue or not incur costs for the affected
activity; or
(e) reduce or recapture the grant; or
(f) direct the Recipient to reimburse the program accounts for costs inappropriately
charged to the program; or
(g) continue the grant with a substitute recipient of HUD's choosing; or
(h) other appropriate action including, but not limited to, any remedial action legally
available, such as affirmative litigation seeking declaratory judgment, specific
performance, damages, temporary or permanent injunctions and any other
available remedies.
No delay or omission by HUD in exercising any right or remedy available to it under this
Grant Agreement shall impair any such right or remedy or constitute a waiver or acquiescence in
any Recipient default.
For each operating year in which funding is received, the Recipient shall file annual
certifications with HUD that the supportive housing has been provided in accordance with the
requirements of the Grant Agreement.
This Grant Agreement constitutes the entire agreement between the parties hereto, and
may be amended only in writing executed by HUD and the Recipient. More specifically, the
Recipient shall not change recipients, location, services, or population to be served nor shift
more than 10 percent of funds from one approved type of eligible activity to another, or make
any other significant change, without the prior written approval of HUD.
Recipient: Collier County Board of County Commissioners
Grant #: FL0295B4D06080l
5
16"D4
SIGNATURES
This Grant Agreement is hereby executed as follows:
UNITED STATES OF AMERICA
Secretary of Housing and Urban Development
-,
By:
:);", ,/'P,," i /7/'
t:..c,.,.t&L>. ~
"
o
Signature and Date
Maria Rosa, Ortiz-Hill
Print name of signatory
Director, CPD Division
Title
RECIPIENT
Collier County Board of Commissioners
Name of Organization
By: .~lA) ~~
Authonzed SIgnature and Date '
3/33110
Item #
(leV i
o~~1()
{i'((\ LV, Covl-c
,
Agenda
Date
Cho..\n~\a.i'
Date '2 ~-v --' 0
Rec'd V' oc;.> ,
~
Deputy CIeri<
Print name of signatory
Title
Approved as to form & legal sufficiency
~~
Assistant County Attorney
.ATTEST:
DWIGHT E, BROCK, Clerk'
By jta/.{ ~o.(.
.'11' . .;:..~,~, .'
Itlft ~~..,. .
....
Recipient: Collier County Board of County Commissioners
Grant #: FL0295B4D060801
6
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ATTACHMENT A
1. The Recipient is Collier Countv Board of Commissioners
2. HUD's total fund obligation for this project is $113.000, which shall be allocated
as follows:
a. Leasing $-0-
b. Supportive services $92,900
c. Operating costs $20,100
~ ~~ ~~
e. Administration $-0-
3. Although this agreement will become effective only upon the execution hereof by
both parties, upon execution, the ternl of this agreement shall run from the end of the
Recipient's final operating year under the original Grant Agreement or, if the original
Grant Agreement was amended to extend its term, the term of this agreement shall
run from the end of the extension of the original Grant Agreement term for a period
of 12 months. Eligible costs, as defined by the Act and Attachment A, incurred
between the end of Recipient's final operating year under the original Grant
Agreement, or extension thereof, and the execution of this Renewal Grant Agreement
may be paid with funds from the first operating year of this Renewal Grant.
Recipient: Collier County Board of County Commissioners
Grant #: FL0295B4D06080l
7
.\TTACH:\IENT n
1604
PART 583-SLI'PORTIVE HOUSING PROGRAM
Sec
'\83.1
'\83.'\
'\83.100
'\83.105
.183.110
'\83.115
'\83.1 00
'\83.125
'\83.130
'\83.135
583.140
'\83.145
'\83.150
'\83155
Subpart A-General
Subpart A-(;eneral
* 583.1 Purpose and scope.
(a) Gel/eral. The Supportive Housing Program
is authorized by title IV of tbe Stewart B. \1cKinney
Homeless Assistance Act (the :'v1cKinney Act) (42
U.s.e. 11381-11.189). The Supportiw Housing program
is designed to promote the development of supportive
housing and supportive services. including innovative
appro:ll'hes to assist homdess persons in the transition
from humelesslll'ss. and to promote the pro..... ision of
supportive housing to homeless persons to enable them
to live as independently as possible.
(b) CO/lll'ollellls. Funds under this part may be
lIsed for:
(I) Transitional housing to facilitate the
movement of homeless individuals and families to
permanent housing;
(2) Permanent housing that provides long-term
housing for homeless persons with disabilities;
(3) Housing that is. or is part of. a particularly
innovative project for. or alternative methods of.
meeting the immediate and long-term needs of homeless
persons; or
(4) Supportive services for homeless persons not
provided in conjunction with supportive housing.
1'\8 FR 13871. Mar. 15. 1993. as amended at 61 FR
'\117'\. Sept. 30.19961
Purpose and scope
Definitions
Subpart 8-Assistance Provided
Types and uses of assistance
Grants for aC4uisition and rehabil itation
Grants for new construction
Grants for leasing
Grants for supportive "crvice costs
Grants for operating costs
Commitment of grant amounts for leasing.
supportive services, amI operating costs
AJministrative costs
Technical assistance
Matching re4uirements
Limitations on use of assistance
Consol idated plan
Subpart C-Applieation and Grant Award Process
'\83. 700
'\83.230
'\83.235
583.300
583.305
583.310
'\83.315
583.VO
'\83.325
583.330
Application and grant award
Environmental review
Renewal grants
Subpart D-Program Re<luirements
Generul operation
Term of commitment; repayment of grants;
prevention of undue benefits
Displacement. relocation. and aC4uisition
Resident rent
Site control
Nondiscrimination and equal opportunity
requirements
Applicability of other Federal requirements
* 583.5 Dennilions
As used in this part: ,lppliculll is defined in
section 422( I) of the McKinney Act (42 U.s.C
113R2( I )). For purposes of this definition.
governmental entities include those that have general
governmental powers I such as a city or Cllunty). as well
-
as Ihose that have limited or special powers (such as
public housing agencies).
COllsolid"ll'II pl,," means the plan that a
jurisdiction prepares and submits to BUD in accordance
IV ith 24 CFR part I) I.
/J"le oOllililll OCCl/p""CY means the date that the
supportive housing is initially occupied by a homeless
person for \\ homllUD provides assistance under this
part. If the assistance is for an e.xisting homeless
facility. the d"le ofillili,,1 OCCIIPW/(Y is the date that
Subpart E-Administration
583.4()() Grant agreement
583.405 Program changes
'\83.410 Obligation and deobligation of funds.
AUTHORITY: 42 U.S.e. 11389 and .\5.\5(d)
SOURCE: '\8 FR 1.1871. Mar 15. 199.1. unless
otherwise noted
18
~'._._,h.'.._
"il..'rvices ar~ first provided to the resi<.knts of supportive
hou.sing wilh funding under this part.
Date (~l initial .w'fTin' /,,.o\';sion means the date
thai supportive services are initially prmided IVilh funds
under this part to homeless persons IVho do not reside in
supportIVe housing. This definilion applies only 10
pf(lJects funded under this part Ihal do nol provide
"iLlPportive hOllsing.
Disahilily is defined in seclion .+221 )) of the
\1cKinney Act 142 USC II.1S2(2)).
Homeless person means an individual or family
thai is descrihed in seclion 103 of the \1cKinney Act 142
USC II }(2).
Melropolitan cilv is defined in seelion 102(a)(.+)
of the I'[ousing and Community Development Act of
197.+ (.+2 USC 5}02(a)(.+)). In general, melropolilan
cities are those cities that ar~ l'Ii2,ihle for an \,:ntitlemcnt
~
granlunder 2.+ CFR part 570. suhpart D.
New construction means the huilding of a
structure where none existed or an audition to an
existing structure that increases the floor area hy more
than 100 percent.
Operatin!? costs is defined in section 422(5) of
the McKinney Act (42 U.S.C II }8?(S)).
Outpatient health sl~rvict's is Jefineu in section
'+22(6) of the McKinney Act (.+2 use 11.18)16)).
Permanellt housing for I/(mwless person,\' ~\'ith
"is<ll,ililies is defined in section .+2.+(c) of the McKinney
Act 142 U.S.C II.184(c)).
Prh'llte nonprofit orgulli::.atirm is defined in
section .+22(7) (A). (8), and (D) of the McKinney Act
(4? USe. II.1S2(7) tA), (8). and (0)). The
organization Illllst also have a fUllctioning accoullting
~ ~ ~
system that is operated in accordane-c IV ilh generally
ae-e-epted accounting prine-iples, or designate an entity
that will maintain a functioning accounting system for
the organization in accordance with gellerally acn:ptl'u
accounting prine-iples
Project is defined in sections .+22IS) and .+2.+(d)
of the \kKinney Act 142 USe. II.1S2(S), II3S.+(d)).
Rl'('ip;l'llt is defined in section "+22(9) of the
\lcKinney Act (.+2 USe. II.1S2(t)))
Rdlllbililulioll Irlt'ans the illlprovl'Jl1l'1ll or repair of an
l'.\isting structure or an addition to an l'.\i.stillg structure
that docs nol increase the floor area hy more than ILJO
percent. Rehahilitation does nul include minor or
routine repairs.
SllIIe is defined in section .+22( II) of the
\Ie-Kinney Ae-I (-p U.S.e. II3S2( II I).
19
SII/'/'(.JU;I'i' housing is ~k~'ineu in ~t.6.1 ~(I.~~f the
\kKlIlney .\et t.+2 US(. II3S.+lill.O U "I'
Supportive .\'('J"I';('es is defined in section ...25 of
the \kKinney Ael 142 Lrs.c 11385).
Transitional hOllsing is lll'fined ill "t'ction
.+2.+(h) of the McKinney Act 1.+2 USe. II3S.+(h)). See
also ~ '1S}.JOOtj).
/"rihe is ddined in seclion 102 of the Housing
and Communily De,e1opmenl Act of 197.+ (.+2 USe.
-'())
.'. -).
Urhall ["(/"/11.1' is defined in section 102Ia)(6) of
the Housing and Community Developmenl Ael of 197.+
(.+2 USC S}02(alln)). [n general. urhan counlies are
those counlies Ihat arc eligihle for an enlitlemenl grant
under '4 CFR part 570. subpart D.
161 FR51[75.Scpt.JO.19961
Subpllrt B-Assistanee I'rovided
~ 583.100 Types and uses or assistance.
(a) (;rcU/t assistallce. Assistance in the form of
grants is availahk for acquisition of structures,
rehabilitation of structures, acquisitiun and
rehabilitation of structures. new construction. leasing,
operaling cosls for supportive housing, and supportive
services. as descrihed in ~~ 58}.1 OS through S8}.125.
Applicants may apply for more than one type of
assistance.
(0) Uses (~/gr(lnt assistance. Grant assistance
may he used to:
( I ) ESlablish neIV supportive housing facilities
or new facilities to proviJ~ supportive services;
(2) Expand e.xisting facililies in order to
increase the Ilumber of homeless persons served;
(.1) Bring existing facililies up to a levellhal
meels State and local government health and safcty
standards;.
H) Provide additional supportive services for
n:....idel1ts of .supportive housing or for homeless persons
not residmg in supportive housing;
(5) Purchase HL'D-owned single family
properties e-L1rrently leased by Ihe applicant for Lise as a
homeless facility under 2.+ CFR part 291; and
((,) Conlinue funding supportive housing \V here
thc recipient has received funding Linder this peut for
lea\ing. \upportive "i~rVil't:s. or operating CO\ts.
(c) Str//( 'tures used/Of multiple jllf1!JOSt'S
Slrul"lures L1sed to provide supportive housing or
"illPportive servicL'''' may also he used for other purposes,
e,"eplthal a.ssislane-e under this part \Viii he availahle
only in proportion to the use of the structure for
supponive housing or supportive services.
(d) Technical assistance. HUD may offer
technical assistance, as described in * 583.140.
[58 FR 13871, Mar. 15, 1993, as amended at 59 FR
36891. July 19, 19941
* 583,105 Grants for acquisition and rehabilitation.
(a) Use. HUD will grant funds to recipients to:
( I ) Pay a ponion of the cost of the acquisition of
real propeny selected by the recipients for use in the
provision of supponive housing or supportive services.
including the repayment of any outstanding debt on a
loan made to purchase property that has not been used
previously as supportive housing or for supponive
services;
(2) Pay a portion of the cost of rehabilitation of
structures, including cost effective energy measures,
selected by the recipients to provide supportive housing
or supp0l1ive services; or
(3) Pay a ponion of the cost of acquisition and
rchabilitation of structures, as described in paragraphs
(a)( I) and (2) of this section.
(b) AII/ount. The maximum grant available for
acquisition, rehabil itation, or acquisition and
rehabilitation is the lower of:
( I ) $200,000; or
(2) The total cost of the acquisition,
rehabilitation, or acquisition and rehabilitation minus
the applicant's contribution toward the cost.
(c) Increased all/aunts. In areas determined by
HUD to have high acquisition and rehabilitation costs,
grants of more than $200,000, but not more than
$400,000, may be available.
* 583.110 G rants for new construction.
(a) Uve. HUD will grant funds to recipients to
pay a ponion of the cost of new construction, including
cost-effective energy measures and the cost of land
associated with that construction, for use in the
provision of supponive housing. If the grant funds are
used for new construction, the applicant must
demonstrate that the costs associated with new
construction are substantially less than the costs
associated with rehabilitation or that there is a lack of
available appropriate units that could be rehabilitated at
a cost less than new construction. For purposes of this
cost comparison. costs associated with rehabilitation or
new construction may include the cost of real property
acquIsition.
"_.. ..__H'_'~"___" ,,__ ",." _ ~~_
,~~-,,-.<<-'_..- .-
20
--.
(b) All/aunt. The maximum gr:wt ~li~lelor
new construction is the lower of: 1 ,0 U q.
( 1 ) $400,000; or
(2) The total cost of the new construct ion,
including the cost of land associated with that
construction, minus the applicant's contribution toward
the cost of same.
* 583.115 Grants for leasing.
(a) General. HUD will provide grants to pay (as
described in * 583.130 of this pan) for the actual costs
of leasing a structure or structures, or portions thereof.
used to provide supportive housing or supponive
services for up to five years.
(b)( I ) Leasing structures. Where grants are used
to pay rent for all or pan of structures, the rent paid must
be reasonable in relation to rents being charged in the
area for comparable space. In addition, the rent paid may
not exceed rents currently being charged by the same
owner for comparable space.
(2) Leasing individual units. Where grants are
used to pay rent for individual housing units, the rent
paid must be reasonable in relation to rents being
charged for comparable units, taking into account the
location. size. type, quality, amenities, facilities, and
management services. In addition. the rents may not
exceed rents currently being charged by the same owner
for comparable unassisted units, and the portion of rents
paid with grant funds may not exceed HUD-determined
fair market rents. Recipients may use grant funds in an
amount up to one month's rent to pay the non-recipient
landlord for any damages to leased units by homeless
partie i pants.
158 FR 13871, Mar. 15, 1993, as amended at 59 FR
36891,July 19, 19941
* 583.120 Grants for supportive services costs.
(a) General. HUD will provide grants to pay (as
described in * 583.130 of this part) for the actual costs
of supportive services for homeless persons for up to
five years. Allor part of the supportive services may be
provided directly by the recipient or by arrangement
with public or private service providers.
(b) Support;\'e serl'ices costs. Costs associated
with providing supportive scrviees include salaries paid
to providers of supportive services and any other costs
directly associated with providing such services. For a
transitional housing project, supportive services costs
also include the costs of services provided to former
residents of transitional housing to assist their
adjustment to indcpendent living. Such services may be
~,~-~._. ..".-
provided for up to six months after they leave the
transitional housing facility.
1:'i8 FR 13871, Mar. l:'i, 1993, as amended at:'i9 FR
36891, July 19, 19941
* 583.125 Grants for operating cost..
ta) General. HUD will provide grants to pay a
portion (as described in * 583.130) of the actual
operating costs of supportive housing for up to five
'y~ars.
(b) Opallling costs. Operating costs are those
associated with the day-today operation of the
supportive housing. They also include the actual
expenses that a recipient incurs for conducting on-going
assessments of the supp0l1ive services needed by
residents and the availability of such services; relocation
assistance under * :'i83.310, including payments and
services; and insurance.
(c) Recipient match lTl/uirc/11Cll! for operating
costs. Assistance for operating costs will be available for
up to 75 percent of the total cost in each year of the
grant term. The recipient must pay the percentage of the
actual operating costs not funded by HUD. At the end of
each operating year, the recipient must demonstrate that
it has met its match requirement of the costs for that
year.
158 FR 13871. Mar. 15, 1993, as amended at 61 FR
51175, Sept. 30, 1996; 65 FR 30823, May I J, JOOOI
* 583.130 Commitment of grant amounts for leasing,
supportive services, and operating costs
U pOll execution of a grant agrecment covering
assistance for leasing, supportive services, or operating
costs, HUD will obligate amounts for a period not to
exceed five operating years. The total amount obligated
will be equal to an amount necessary for the specified
years of operation, less the recipient's share of operating
costs.
(Approved by the Office of Management and Budget
under OMB control number 2506--{) 112) 159 FR 3689 I.
July 19. 19941
* 583.135 Administrath'e costs.
(a) rieneral. Up to five percent of any grant
awarded under this part may be used for the purpose of
paying costs of administering the assistance.
(h) Admillislrlllil'l! ("osts. Administrative costs
include the costs associated v,ith accoLllHing for the liSt'
c
of grant funds, preparing reports for submission to
HlJO. obtaining program audits, similar costs rL'lak'd to
administering the grant after the a\vard, and stafr ..,alaries
associated with these administrative costs. They do not
21
include the costs of carrying out eligibla~vf'irs Irder
~* :'i83.I05 through 583.125.0 U ...
1:'i8 FR 13871, Mar. 15. 1993,as amended at61 FR
:'i 1175, Sept. 3D. 19961
* 583.1~0 Technical assistance.
(al G('I/eral. HUD may set aside funds annually
to provide technical assistance, either directly by HUD
staff or indirectly through third-party providers, for any
supportive housing project. This technical assistance is
for the purpose of promoting the development of
supportive housing and supportive services as part of a
continuum of care approach, including innovative
approaches to assist homeless persons in the transition
from homelessness, and promoting the provision of
supportive housing to homeless persons to enable them
to live as independently as possible.
Ib) Uses o(rechllical assistallce. HUD may use
these funds to provide technical assistance to
prospective applicants, applicants, recipients, or other
providers of suppOItive housing or services for homeless
persons, for supportive housing projects. The assistance
may include, but is not limited to, written information
such as papers, monographs, manuals, guides, and
brochures; person-to-person exchanges; and training and
related costs.
Ic) Selectioll oll'roviders. From time to time, as
HUD determines the need, HUD may advertise and
competitively select providers to deliver technical
assistance. HUn may enter into contracts, grants. or
cooperative agreements. when necessary. to implement
the technical assistance.
1:'i9 FR 36892, July 19, 19941
* 583,1~5 Matching requirements.
(a) Gelleral. The recipient must match the funds
provided by HUD for grants for acquisition,
rchabilitation. and new construction with an equal
amount of funds from other sources.
(b) Cash resollrces. The matching funds must be
cash resources provided to the project by one or more of
the following: the recipient, the Federal government,
State and local governments, and private resources.
I c) Mail1f('l/allcc or efllJrt. State or local
government funds lIsed in the matching contribution are
~ ~
subject to the maintenance of effort requirements
described at * 583.150(a).
* 583.150 Limitations on IIse of assistance.
(a) j\;/ll;l1ll'l111I1{'(! (~r(~lf()rt. No assistance
provided under this p,u1 (or any State or local
government funds used to supplement this assistance)
may be used to replace State or local funds previously
used, or designated for use, to assist homeless persons.
(bl Faith-hosed actil'ities. (I) Organizations that
are religious or faith-based are eligible, on the same
basis as any other organization. to participate in the
Supportive Housing Program. Neither the Federal
government nor a State or local government receiving
funds under Supportive Housing programs shall
discriminate against an organization on the basis of the
organization's religious character or affiliation.
(2) Organizations that are directly funded under
the Supportive Housing Program may not engage in
inherently religious activities, such as worship, religious
instruction. or proselytization as part of the programs or
services funded under this part. If an organization
conducts such activities, the activities must be offered
separately, in time or location, from the programs or
services funded under this part, and participation must
be voluntary for the beneficiaries of the HUD-funded
programs or services.
(3) A religious organization that participates in
the Supportive Housing Program will retain its
independence from Federal, State, and local
governments, and may continue to carry out its mission,
including the definition. practice, and expression of its
religious beliefs, provided that it docs not use direct
Supportive Housing Program funds to support any
inherently religious activities, such as worship, religious
instruction, or proselytization. Among other things,
faith-based organizations may use space in their
facilities to provide Supportive Housing Program-
funded services, without removing religious art, icons,
scriptures. or other religious symbols. In addition. a
Supportive Housing Program-funded religious
organization retains its authority over its intemal
governance, and it may retain religious terms in its
organization's name, select its board members on a
religious basis, and include religious references in its
organization's mission statements and other governing
documents.
(4) An organization that participates in the
Supportive Housing Program shall not. in providing
program assistance. discriminate against a program
beneficiary or prospective program beneficiary on tbe
basis of religion or religious belief.
(5) Program funds may not be used for the
acquisition, construction, or rehabilitation of structures
to the extent that those structures are used for inherently
religious activities. Program funds may be used for the
acquisition. construction, or rehabilitation of structures
only to the extent that those structures are used for
-
n
--
__..__."__~__. .... ~_"'_.~ r ' ,_.""~___.m_
conducting eligible activities un art. Where a
structure is used for both elilb rently
religious activities, program).. I n t exceed the
cost of those portions of the acquisition, construction. or
rehabilitation that are attributable to eligible activities in
accordance with the cost accounting requirements
applicable to Supportive Housing Program funds in this
part. Sanctuaries, chapels. or other rooms that a
Supportive Housing Program-funded religious
congregation uses as its principal place of worship,
however, are ineligible for Supportive Housing
Program-funded improvements. Disposition of real
property after the term of the grant, or any change in use
of the property during the term of the grant, is subject to
government. wide regulations governing real property
disposition (see 24 CFR parts 84 and 85).
(6) If a State or local government voluntarily
contributes its own funds to supplement federally
funded activities, the State or local government has the
option to segregate the Federal funds or commingle
them. However, if the funds arc commingled, this
section applies to all of the commingled funds.
(cl Participant control of site. Where an
applicant docs not propose to have control of a site or
sites but rather proposes to assist a homeless family or
individual in obtaining a lease, which may include
assistance with rent payments and receiving supportive
services. after which time the family or individual
remains in the same housing without further assistance
under this part, that applicant may not request assistance
for acquisition, rehabilitation, or new construction.
158 FR 13871, Mar. 15. 1993, as amended at 59 FR
36892, July 19, 1993; 68 FR 56407. Sept. 30,20031
~ 583.155 Consolidated plan.
(a) Applicallts that are States or tlnits of general
local gOl'emmellt. The applicant must have a HUD-
approved complete or abbreviated consolidated plan, in
accordance with 24 CFR part 91, and must submit a
certification that the application for funding is consistent
with the HUD-approved consolidated plan. Funded
applicants must certify in a grant agreement that they arc
following the HUD-approved consolidated plan.
(b) Applicants that are not States or tlnits of
general local gOl'erlllnelll. The applicant must submit a
certification by the jurisdiction in which the proposed
project will be located that the applicant's application
for funding is consistent with the jurisdiction's HUD
approved consolidated plan. The certification must be
made by the unit of general local government or the
State, in accordance with the consistency ccrtification
... ,. __._.o___"_~.".,~__._.,__.,, ,
--_.-~^---- "--'_._",...".~..,,,
~.-----
provisions of the consolidated plan regulations, '4 CFR
part 91, subpart F.
(c) II/dian trihes al/d the l/lslI/ar Areas of" Gllalll.
the U.S. Virgin/slands. American Samoa, (/lId the
Northern /v/ariww/s/ands. These entities are not
required to have a consolidated plan or to make
consolidated plan certifications. An application by an
Indian tribe or other applicant for a project that will be
located on a reservation of an Indian tribe will not
require a certification by the tribe or the State. HO\wver,
where an Indian tribe is the applicant for a project that
will not be located on a resenation, the requirement for
a certification under paragraph (b) of this section will
apply.
(J.) Timing of COil soli dated [}Ilin ('crtUinlfioll
suhmissiol1s. Unless otherwise sd forth in the NOFA.,
the required certification that the application for funding
is consistent with the HUD-approved consolidated plan
must be submitted by the funding application
submission deadline announced inthc NOFA.
[60 FR 16380, Mar. 30, 19951
Subpart C-Applieatiou and Grant Award Process
* 583.200 Application aud grant award
When funds arc made available for assistance,
HUD will publish a notice of funding availability
(NOFA) in the FEDERAL REGISTER. in accordance
with the requirements of ~4 CFR part 4. HUD will
review and screen applications in accordance with the
requirements in section 426 of the McKinney Act (42
U.s.e. 11386) and the guidelines, rating criteria, and
procedures published in the NOFA.
[61 FR 51176, Sept. 30,19961
* 583.230 Environmeutal review.
(a) Activities under this part are subject to HUD
environmental regulations in palt 58 of this title, except
that HUD will perform an environmental review in
accordance with part 50 of this title prior to its approval
of any conditionally selected applications for Fiscal
Ycar 2000 and prior years that were received directly
from private nonprofit entities and governmental entities
with special or limited purpose powers. For activities
under a grant that generally would be subjcct to revicw
under part 58, HUD may make a finding in accordancc
with S 58.11 (d) and may itself pcrform the
environmental review under the provisions of part 50 of
this title if the recipicnt objects in writing to the
responsible entity's performing the review under part
58. Irrespective of whcther the responsible cntity in
accord with part 58 (or HUD in accord with part 50)
performs the \.?"ovironmclllal rl'vic\v, the recipient shall
23
supply all available, relevant informal>~Ds4 kif
the responSIble entity (or HUD, It applicable) to perform
for each property any enviroomental rcview requircd by
this part. The recipient also shall carry out mitigating
measures required by the responsible entity (or HUD. if
applicable) or select alternate eligible property. HUD
may eliminate from consideration any application that
would require an Environmental Impact Statement
lEIS).
I b) The recipient, its project partners and their
contractors may DOt acquire. rehabilitate, convert, lease,
repair. dispose of, demolish or construct property for a
project under this part, or commit or e.'pend HUD or
local funds for such eligible activities under this part.
until the responsible entity (as defined in S 58.2 of this
title) has completed the environmental review
procedures required by part 58 and the environmental
certification and RROF havc been approved or HUD has
performed an environmental review under part 50 and
the rccipient has received HUD approval of the
property. I-IUD will not release grant funds if the
recipient or any other party commits grant funds (i.e.,
incurs any costs or ~xpenditllres to be paid or
reimburscd with such funds) before the recipient
submits and HUD approves its RROF (whcre such
submission is rcquired).
[68 FR 56131, Sept. 29, ~Oml
* 583.235 Renewal grants.
(a) General. Grants made under this part, and
grants made under subtitles C and D (the Supportive
Housing Demonstration and SAFAH, respectively) of
the Stewart B. McKinney Homeless Assistance Act as in
effcct bcfore October '8, 1992. may be renewed on a
noncompetitive basis to continue ongoing leasing,
operations, and supportive services for additional years
beyond the initial funding period. To be considered for
renewal funding for Icasing, operating costs. or
supportive services, recipients must submit a request for
such funding in the form specified by BUD, must meet
the rcquirements of this part, and must submit requests
within the time period established by HUD.
Ib) Assistance available. The first renewal will
hc for a period of time not to exceed the difference
bctween the end of the initial funding period and ten
years from thc date of initial occupancy or the date of
initial servicc provision, as applicable. Any subsequent
renewal will be for a period of time not to exceed five
Yt'ars. Assistance during each year of the renewal
period, subjcct to maintenance of effort requirements
under S 58.J.150(a) may be for:
( I ) Up to 50 percent of the actual operating and
leasing costs in the final year of the initial funding
period;
(2) Up to the amount of HUD assistance for
supportive services in the final year of the initial funding
period; and
(3) An allowance for cost increases.
(c) HUD review. (I) HUD will review the
request for renewal and will evaluate the recipient's
performance in previous years against the plans and
goals established in the initial application for assistance,
as amended. HUD will approve the request for renewal
unless the recipient proposes to serve a population that
is not homeless, or the recipient has not shown adequate
progress as evidenced by an unacceptably slow
expenditure of funds, or the recipient has been
ullsuccessful in assisting participants in achieving and
maintaining independent living. In determining the
recipient's slIccess in assisting participants to achieve
and maintain independent living, consideration will be
given to the level and type of problems of participants.
For recipients with a poor record of success, HUD will
also consider the recipient's willingness to accept
technical assistance and to make changes suggested by
technical assistance providers. Other factors which will
affect HUD's decision to approve a renewal request
include the following: a continuing history of inadequate
financial management accounting practices, indications
of mismanagement on the part of the recipient, a drastic
reduction in the population served by the recipient,
program changes made by the recipient without prior
HUD approval, and loss of project site.
(J) HUD reserves the right to reject a request
from any organization with an outstanding obligation to
HUD that is in arrears or for which a payment schedule
has not been agreed to, or whose response to an audit
finding is overdue or unsatisfactory.
(3) HUD will notify the recipient in writing that
the request has been approved or disapproved.
(Approved by the Office of Management and Budget
under control number 2506-(112)
Subpart D-Program Requirements
~ 583.300 General operation.
(a) State alld local rel.fuirements. Each recipient
of assistance under this pa.1must provide housing or
services that are in compliance with all applicable State
and local housing codes, licensing rcquirements, and any
other requiremcnts in the jurisdiction in which the
project is locatcd regarding the condition of the structure
and the operation of the housing or services.
'-'-'---
-
___'_'~'_"" ,_ _m__ ___ .'_'
--- ---..
24
(b) Habitabilitv sllllldardsl:&r>BrJ'eh
variations as are proposed hy the r . ~tl:tt~proved
by HUD, supportive housing must meet the following
requirements:
( I ) Structure and materials. The structures must
be structurally sound so as not to pose any threat to the
health and safety of the occupants and so as to protect
the residents from the elements.
(2) Access. The housing must be accessible and
capable of being utilized without unauthorized use of
other private properties. Structures must provide
alternate means of egress in case of fire.
(3) Space and secur;tv. Eaeh resident must be
afforded adequate space and security for themselves and
their belongings
Each resident must be provided an acceptable place to
sleep.
(4) lllter;or air I.fuality. Every room or space
must be provided with natural or mechanical ventilation.
Structures must be free of pollutants in the air at levels
that threaten the health of residents.
(5) Water supply. The water supply must be free
from contamination.
(6) Sall;wry jew;lit;es. Residents must have
access to sufficient sanitary facilities that are in proper
operating condition, may be used in privacy. and are
adequate for personal clean I iness and the disposal of
human waste.
(7) 111ermal envirollment. The housing must
have adequate heating and/or cooling facilities in proper
operating condition.
(8) mum;nat;on alld electr;city. The housing
must have adequate natural or artificial illumination to
permit normal indoor activities and to support the health
and safety of residents. Sufficient electrical sources
must be provided to permit use of essential electrical
appliances while assuring safety from fire.
(9) Food preparation and refi/se disposal. All
food preparation areas must contain suitable space and
equipment to store, prepare, and serve food in a sanitary
manner.
(10) Sanitary condition. The housing and any
equipment must be maintained in sanitary condition.
(II) Fire .wfety. (i) Each unit must include at
least one battery-operated or hard-wired smoke detector,
in proper working condition, on each occupied level of
the unit. Smoke detectors must be located, to the extent
practicable, in a hallway adjacent to a bedroom. If the
unit is occupied by hearing- impaired persons, smoke
detectors must have an alarm system designed for
-,._- .
--','.'.."'- ,--
_.__..._'_.....'_n.__.._
hearing-impaired persons in eaeh bedroom oeeupied by
a hearing-impaired person.
(ii) The publie areas of all housing must be
equipped with a sufficient number, but not less than one
for each area, of battery-operated or hard-wired smoke
detectors. Public areas include, but are not limited to,
laundry rooms, community rooms, day care centers,
hallways, stairwells, and other common areas.
(c) /VImls. Each recipient of assistance under
this part who provides supportive housing for homeless
persons with disabilities must provide meals or meal
preparation facilities for residents.
(d) Ongoing assessmt'llt (~rSltpporth'e sen'ices.
Each recipient of assistance under this part must conduct
an ongoing assessment of the SlIpP0l1ive services
required by the residents of the project and the
availability of sucb services, and make adjustments as
appropriate.
Ie) Residential sllpervision. Each recipient of
assistance under this part must provide residential
supervision as necessary to facilitate tbe adequate
provision of supportive services to the fesidents of the
housing throughout the term of the commitment to
operate supportive housing. Residential supervision may
inelude the employment of a full- or part-time
residential supervisor with sufficient knowledge to
provide or to supervise the provision of supportive
services to the residents.
If) Participatioll OrtW/IIeli'SS persons. ( I ) Each
recipient must provide for the participation of homeless
persons as required in section 426(g) of the MeKinney
Act (42 U.S.c. 11.186(g)). This requirement is waived if
an applieant is unable to meet it and presents a plan for
HLJD approval to otherwise consult with homeless or
formerly homeless persons in considering and making
policies and deeisions. See also * 58.1..1.10(e).
(2) Each recipient of assistance under this part
must, to the maximum extent practicable, involve
hl":.less individuals and families, through cmployment,
volunteer services. or utherwise. in constructing.
rehabilitating, maintaining, and operating thc project
and in providing supportive services for the project.
(g) Records and reports. Each recipient of
assistance under this part must keep any records and
make any reports I including those pertaining to race,
,.thnicit), gender, and disability status data) that HUD
may require within the timeframe required.
(11) Confidentiality. Each recipient that provides
family vioknce prevention Of treatment services must
,Jevelop and implement procedures to ensure:
25
(I) The confidentiality of rel,'rD4,A,
any individual serviees; and
()) That the address or location of any project
assisted will not be made public, except with written
authorization of the person or persons responsible for
the operation of the project.
(i) Termination (~lllOltsin!: assistance
The recipient may terminate assistance to a participant
\\ ho violates program requirements. Recipients should
lL>rminate assistance only in the most severe cases.
Recipients may resume assistance to a participant whose
assistance was previously terminated. In terminating
assistance to a participant. the recipient must provide a
formal process that recognizes the rights of individuals
receiving assistance to due process of law. This process,
at a minimum, must consist of:
( I ) Written notice to the participant containing a
clear statement of the reasons for termination:
(0) ^ review of the decision, in which the
participant is given the opportunity to present written or
oral objections before a person other than the person (or
a subordinate of that person) who made or approved the
termination decision; and
(.1) Prompt written notice of the final decision to
the participant.
(j) Limitation (~l stay ill transithmal holtsing. A
homeless individual or family may remain in transitional
housing for a period longer than 24 months, if
permanent housing for the individual or family has not
been located or if the individual or family requires
additional time to prepare for independent living.
However, HUD may discontinue assistance for a
transitional housing project if more than half of the
homeless individuals or families remain in that project
IOllger than )4 momhs.
(k) Outl'lItii'llt health senias. Outpatient health
services provided by the recipient must be approved as
appropriate by HUD and the Department of Health and
Human Services (HHS). Upon receipt of an application
that proposcs the provision of outpatient health serviccs,
HUD will consult with HHS with respect to the
appropriateness of the proposed services.
(I) AWlllal as.\lll"ll11CCS. Recipients who receive
assistance only for leasing, operating costs or supportive
:-.erviccs costs must provide an annllal asslIrance for each
year such assistance is received that the project will be
operated for the purpose specified ill the application.
(Approved by the Offiee of Management and Budget
under control number 2506-01 10) 158 FR 1.1871, Mar.
15, 1993, as amended at 59 FR 36892, July 19, 1994: 61
FR 51176, Sept. 30, 19961
* 583.305 Term of commitment; repayment of
grants; prevention of undue benefits.
(a) Term (~lc(}mmitment llnd conversion.
Recipients must agree to operate the housing or provide
supportive services in accordance with this part and with
sections 423 (b)( I) and (b)(3) of the McKinney Act (42
U.S.e. 11383(b)( I). 11383(b)(3)).
(b) Repayment of grant and pre\'ention ollllldlle
hene/;ts. In accordance with section 423(c) of the
McKinney Act (42 USe. 11383(c)), HUD will require
recipients to repay the grant unless HUD has authorized
conversion of the project under section 423(b)(3) of the
McKinney Act (42 USe. 11.183(b)(3)).
161 FR 51176, Sept. 30.19961
* 583.310 Displacement, relocation, and acquisition.
(a) Millimizing displacement. Consistent with
the other goals and objectives of this part, recipients
must assure that they have taken all reasonable steps to
minimize the displacement of persons (families,
individuals, businesses. nonprofit organizations, and
farms) as a result of supportive housing assisted under
this part.
(b) Relocation assistance for displaced persons.
A displaced person (defined in paragraph (f) of this
section) must be provided relocation assistance at the
levels described in, and in accordance with, the
requirements of the Uniform Relocation Assistance and
Real Property Acquisition Policies Act of 1970 (URA)
(42 U.S.e. 4601-4655) and implementing regulations at
49 CFR part 24.
(c) Real property (JClfllisithm rt'lJuirernell!S
The acquisition of real property for supportive housing
is subject to the URA and the requirements described in
49 CFR part 24, subpart S.
(d) Responsihility ol recip;CIlt. (I) The recipient
must certify (i.e.. provide assurance of compliance) that
it will comply with the URA, the regulations at 49 CFR
part 74, and the requirements of this section, and must
ensure such compliance notwithstanding any third
party's contractual obligation to the recipient to comply
with these provisions.
(7) The cost of required relocation assistance is
an eligible project cost in the same manner and to the
same extent as other project costs. Such costs also may
be paid for with local public funds or funds available
from other sources.
26
(3) The rec ipient must 4i~irf'ltcflids in
sufficient detail to demonstrate .J.~i,u~th
provisions of this section.
(c) Appeals. A person who disagrees with the
recipient's determination concerning whether the person
qualifies as a "displaced person," or the amount of
relocation assistance for which the person is eligible,
may file a written appeal of that determination with the
recipient. A low-income person who is dissatisfied with
the recipient's determination on his or her appeal may
submit a written request for review of that determination
to the HUD field office.
(f) De/init;un oldi.\placed person. (I) For
purposes of this section, the term "displaced person"
means a person (family, individual, business, nonprofit
organization, or farm) that moves from real property, or
moves personal property from real property permanently
as a direct result of acquisition, rehabilitation, or
demolition for supportive housing projects assisted
under this pa.t. The term "displaced person" includes,
but may not be I imited to:
(i) A person that moves permanently from the
real property after the property owner (or person in
control of the site) issues a vacate notice, or refuses to
renew an expiring lease in order to evade the
responsibility to provide relocation assistance, if the
move occurs on or after the date the recipient submits to
HUD the application or application amendment
designating the project site.
(ii) Any person, including a person who moves
before the date described in paragraph (1)( I )(i) of this
section, if the recipient or HUD determines that the
displacement resulted directly from acquisition,
rehabilitation, or demolition for the assisted project.
(iii) A tenant-occupant of a dwelling unit who
moves permanently from the building/complex on or
after the date of the "initiation of negotiations" (see
paragraph (g) of this section) if the move occurs before
the tenant has been provided written notice offering him
or her the opportunity to lease and occupy a suitable,
decent, safe and sanitary dwelling in the same building!
complex, under reasonable terms and conditions, upon
completion of the project. Such reasonable terms and
conditions must include a monthly rent and estimated
average monthly utility costs that do not exceed the
greater of:
(A) The tenant's monthly rent before the
initiation of negotiations and estimated average utility
costs, or
(S) 30 percent of gross household income. [f the
initial rent is at or near the maximum, there must be a
reasonable basis for concluding at the time the project is
initiated that future reJll increases will be modest.
(iv) A tenant of a dwelling who is required to
relocate temporarily. but does not return to the
building/eomplex, if either:
(A) A tenant is not offered payment for all
reasonable out.of-poeket expenses incurred in
connection with the temporary relocation. Of
(B) Other conditions of the temporary rclocation
are not reasonahle.
(v) A tenant of a dwell ing who moves from the
building/complex permancntly aftcr he or she has been
required to move to another unit in the same
building/complex, if either:
(A) The tenant is not offered reimbursement for
all reasonable out-of-pocket expenses incurred in
connection with the move; Of
(B) Other conditions of the move are not
reasonable.
(2) Notwithstanding the provisions of paragraph
(t)( I) of this section, a person does not qualify as a
"displaced person" (and is not eligible for relocation
assistance under the URA or this section), if:
(i) The person has been cvicted for serious or
repeated violation of the terms and conditions of the
lease or occupancy agreemcnt, violation of applicable
Federal, State, or local or tribal law, or other good
cause. and HUD determines that the eviction was not
undertaken for the purpose of evading the obligation to
provide relocation assistance;
(iil The person moved into the property after the
submission of the application and, before signing a lease
and commencing occupancy, was provided written
notice of the project, its possible impact on the person
(e.g., the person may be displaced, temporarily
relocated, or suffer a rent increase) and the fact that the
person would not qualify as a "displaced person" (or
for any assistance provided under this section), if the
project is approved;
(iii) The person is ineligible under 49 CFR
24. J(g)(2); or
c
(iv) HUD determines that the person was not
displaced as a direct result of acquisition, rehabilitation,
or demolition for the project.
(3) The recipient may request, at any time,
HLD's determination of whether a displacement is or
would he C'overeu under this section.
(g) Dl>jil1;t;o" (~lillifhlfi()ll ofnegotiafio!ls. For
purposes of determining the formula for computing the
27
replacement housing assistance to be pr3vil..J Bal. ~,.~
residential tenant displaced as a direct r~uH"t pn;;fely
undertaken rehabilitation, demolition, or acquisition of
the real property. the term "initiation of negotiations"
means the execution of the agreement between the
rec'ipicnt and HUD.
(h) Delillitioll ofwoject. For purposes of this
section, the term "projcct" means an undertaking paid
for in whole or in part with assistance under this part.
Two or more activities that are integrally related, each
cssential to the others, are considered a single project,
whether or not all component activities receive
assistance under this pal1.
158 FR 13871, Mar. 15, 1993, as amended at 59 FR
36892. July 19, 19941
* 5113.315 Resident rent.
(al CulCIIlutioll o{residellt re/1/. Each resident of
supportive housing may he required to pay as rent an
amount determined by the recipient which may not
exceed the highest of:
c
(I) 30 percent of the family's monthly adjusted
income (adjustment factors include the number of
people in the family, age of family members, medical
expenses and child care e.'penses). The calculation of
the family's monthly adjustcd income must include the
c'pense deductions provided in 24 CFR 5.61I(a), and
for persons with disabilities, the calculation of the
family's monthly adjusted income also must include the
disallowance of earned income as provided in ?4 CFR
5.617, if applicahle:
(2) 10 percent of the family's monthly gross
Illcome; or
(3) If the family is receiving payments for
welfare assistance from a public agency and a part of the
payments, adjusted in accordance with the family's
ac'tllal housing costs, is specifically designated by the
agency to meet the family's housing costs, the portion of
the payment that is designated for housing costs.
(b) Use oj" relll. Resident rent may be used in the
operation of the project or may be reserved, in whole or
in rart, to assist resiJents of transitional housing in
moving to permanent housing.
(cl Fccs. In audition to [esiuent rent, recipients
lIlay charge resilients reasonahle fees for services not
paid with grant funds.
158 FR 13871, Mar. 15, 1993, as amended at 59 FR
.16892. July 19, 1<)94: 66 FR 6J25, Jan. 19, "0011
* 5113.J20 Site control.
1'1) Sire colltrol. (I) Where grant funds will be
lIsed for acquisition, rehabilitation, or new construction
to provide supportive housing or supportive services, or
where grant funds will be used for operating costs of
supportive housing, or where grant funds will be used to
provide supportive services except where an applicant
will provide services at sites not operated by the
applicant, an applicant must demonstrate site control
before HUD will execute a grant agreement (e.g.,
through a deed, lease, executed contract of sale). If such
site eontrol is not demonstrated within one year after
initial notification of the award of assistance under this
part, the grant will be deobligated as provided in
paragraph (cl of this section.
(2) Where grant funds will be used to lease all
or part of a structure to provide supportive housing or
supportive services, or where grant funds will be used to
lease individual housing units for homeless persons who
will eventually control the units, site control need not be
demonstrated.
(b) Site change. (I) A recipient may obtain
ownership or control of a suitable site different from the
one speeified in its application. Retention of an
assistance award is subject to the new site's meeting all
requirements under this part for suitable sites.
(2) If the acquisition, rehabilitation, acquisition
and rehabilitation, or new construction costs for the
substitute site are greater than the amount of the grant
awarded for the site specified in the application, the
recipient must provide for all additional costs. If the
recipient is unable to demonstrate to HUD that it is able
to provide for the difference in costs, HUD may
deobligate the award of assistance.
(c) Failure to obtain site control within one
Yi'llr. HUD will recapture or deobligate any award for
assistance under this part if the recipient is not in control
of a suitable site before the e.xpiration of one year after
initial notification of an award.
* 583,325 Nondiscrimination and equal opportunity
requirements.
(a) C;<'Izera/. Notwithstanding the permissibility
of proposals that serve designated populations of
disabled homeless persons, recipients serving a
designated population of disabled homeless persons are
required, within the designated population, to comply
with these requirements for nondiscrimination on the
basis of race. color, religion. sex., national origin. age,
familial status, and disability.
(b) Nondiscrimination and equal opportunity
rel/uirements. The nondiscrimination and equal
opportunity requirements set forth at part 5 of this title
apply to this program. The Indian Civil Rights Act (25
U.S.c. 1301 et seq.) applies to tribes when they exercise
28
their powers of self-governme'f1t and to Indian housing
authorities (IHAs) when estabil etbJtl.ekercise of
such powers. When an IHA is . IW,iMt ~er State
law, the applicability of the Indian Civil Rights Act will
be determined on a case-by-case basis. Projects subject
to the Indian Civil Rights Act must be developed and
operated in compliance with its provisions and all
implementing HUD requirements, instead of title VI and
the Fair Housing Act and their implementing
regulations.
(c) Procedures. (I) If the procedures that the
recipient intends to use to make known the availability
of the supportive housing are unlikely to reach persons
of any particular race, color, religion, se.x, age, national
origin, familial status, or handieap who may qualify for
admission to the housing, the recipient must establish
additional proeedures that will ensure that such persons
can obtain information conccrning availability of the
housing.
(2) The recipient must adopt procedures to make
available information on the existence and locations of
facilities and services that are accessible to persons with
a handicap and maintain evidence of implementation of
the procedures.
(d) Accessibility requirements. The recipient
must comply with the new construction accessibility
requirements of the Fair Housing Act and section 504 of
the Rehabilitation Act of 1973, and the reasonable
accommodation and rehabilitation accessibility
requirements of section 504 as follows:
( I) All new construction must meet the
accessibility requirements of 24 CFR 8.22 and, as
applicable, 24 CFR 100.205.
(2) Projects in which costs of rehabilitation are
75 pereent or more of the replacement cost of the
building must meet the requirements of 24 CFR 8.23(a).
Other rehabilitation must meet the requirements of 24
CFR 8.23(b).
158 FR 13871, Mar. 15, 1993, as amended at 59 FR
33894, June 30,1994; 61 FR 5210, Feb. 9,1996; 61 FR
51176, Sept. 30,19961
* 583.330 Applicability of other Federal
.
reqUIrements
In addition to the requirements set forth in 24
CFR p'U1 5, use of assistance provided under this part
must comply with the following Federal requirements:
(al Flood insurance. (I) The Flood Disaster
Protection Act of 1973 (42 USC 4001---41 ?8) prohibits
the approval of appl ieations for assistance for
acquisition or construction (including rehabilitation) for
c
c
1 supportive housing located in an area identified by the
-1
! Federal Emergency Management Agency (FEMA) as
I
. having special tlood hazards. unless:
(i) The community in which the area is situated
is participating in the National Flood Insurance Program
(see 44 CFR parts 59 through 79), or less than a year has
passed since f'EMA notification regarding such hazards;
and
(ii) Flood insurance is obtained as a condition of
approval of the application.
(1) Applicants with supportive housing located
in an area identified by FEMA as having special tlood
hazards and receiving assistance for an..juisition or
construction (including rehabil itation) are responsible
for assuring that flood insurance under the National
Flood Insurance Program is obtained and maintained.
(b) The Coastal Barrier Resources Act of 1982
( 16 U.s.e. 35(1I l't Si"!-) may apply to proposals under
this P"'1, depending on the assistance requested.
(c) Applicabilitv otOMB Cirelllllrs. The
policies, guidelines. and requirements of OMB Circular
No. A-87 (Cost Principles Applicable to Grants,
Contracts and Other Agreements with State and Local
Governments) and 24 CFR part 85 apply to the award.
acceptance, and use of assistance under the program by
governmental entities, and OMB Circular Nos. A-II 0
(Grants and Cooperative Agreements with Institutions of
Iligher Education, Hospitals. and Other Nonprofit
Organizations) and A-I ?? (Cost Principles Applicable
to Grants, Contracts and Other Agreements with
Nonprofit Institutions) apply to the acceptance and use
of assistance hy private nonprofit organizations. except
w here inconsistent with the provisions of the McKinney
Act, other Federal statutes. or this part. (Copies of OMB
Circulars may be obtained from E.O.P. Publications,
room 2200, New Executive Office Building.
~
Washington, DC Josm, telephone (?02) 395-7332.
(This is not a toll-free numbeL) There is a limit of two
free copies.
(d) [ew/-ba.IEd paillt. The Lead-Based Paint
Poisoning Prevention Act (-12 U.s.e. 4821-4846), the
Residential Lead- Based Paint Hazard Reduction Act of
1992 (-12 U.s.e. 48S 1-4856), and implementing
rl');ulations at part 35. subparts A, B. J, K, and R of this
title apply to activities under this program.
(c) COIl/liets o/illterest. (I) In addition to the
conflict of interest requirements in J4 CFR part 85, no
person \\t'ho is an employee. agent. consultant, officer, Of
elected or appointed official of the recipient and who
exercises or has cxclTiscu any functions or
responsibilities \\-'ith respect to assisted activities, or vvho
29
is in a position to participate in a decisionmaking
pro.c~s.s or gain insi?e informatio~'.i~ rftr~~o slIch
actIVitIes, may obtam a personal O.lflQtcUt ifltrest or
benefit from the activity, or have an interest in any
contract, subcontract. or agreement with respect thereto,
or the proceeds thereunder. either for himself or herself
or for those with whom he or she has family or business
tics. during his or her tenure or for one year thereafter.
Participation by homeless individuals who also arc
participants under the program in pol icy or
decisionmaking under * 583.300(f) does not constitute a
conflict of interest.
(J) Upon the written request of the recipient.
HlJD may grant an exception to the provisions of
paragraph (e)( I) of this section on a case-by-case basis
when it determines that the exception will serve to
further the purposes of the program and the effective
and efficient administration of the recipient's pruject.
An exception may he considered only after the recipient
has provided the following:
(i) For States and other governmental entities, a
disclosure of the nature of the contlict, accompanied by
an assurance that there has been public disclosure of the
conflict and a description of how the public disclosure
Vv as maue: and
(ii) For all recipients, an opinion of the
recipient's attorney that the interest for which the
cxception is sought would not violate State or loeallaw.
(3) In determining whether to grant a requested
exception after the recipient has satisfactorily met the
requirement of paragraph (e)(7) of this section, HUD
will consider the cumulative effect of the following
factors, where applicable:
(i) Whether the exception would provide a
significant cost benefit or an essential degree of
cxpertise to the project which would otherwise not be
available;
Iii) Whether the person affected is a member of
a group or class of el igible persons and the exception
will permit such person to receive generally the same
interests or benefits as are being made available or
provided to the group or class;
(iii) Whether the affected person has withdrawn
from his or her functions or responsibilities, or the
decisionmaking process \\.ith respect to the specific
assisted activity in 4uestion;
(iv) Whether the interest or benefit was present
before the affected person was in a position as described
in paragraph (e)( I) of this section;
(v) Whether undue hardship will result either to
the recipient or the person affected when weighed
against the public interest served by avoiding the
prohibited conflict; and
(vi) Any other relevant considerations.
(I) Alldit. The financial management systems
used by recipients under this program must provide for
audits in accordance with 24 CFR part 44 or part 45, as
applicable. HUD may perform or require additional
audits as it finds necessary or appropriate.
(g) Davis-Bacon Act. The provisions of the
Davis-Bacon Act do not apply to this program.
158 FR 13871, Mar. 15, 1993, as amended at 61 FR
5211. Feb. 9, 1996; 64 FR 50226, Sept. 15, 19991
Subpart E-Administration
* 583.400 Grant agreement.
(a) General. The duty to provide supportive
housing or supportive services in accordance with the
requirements of this part will be incorporated in a grant
agreement executed by HUD and the recipient.
(b) Enfim'ement. HUD will enforce the
obligations in the grant agreement through such action
as may be appropriate, including repayment of funds
that have already been disbursed to the recipient.
* 583.405 Program changes.
(a) HUD approval. (I) A recipient may not
make any significant changes to an approved program
without prior HUD approval. Significant changes
include. but are not limited to, a change in the recipient,
a change in the project site, additions or deletions in the
types of activities listed in * 583.100 of this part
approved for the program or a shift of more than 10
percent of funds from one approved type of activity to
another. and a change in the category of participants to
be served. Depending on the nature of the change, HUD
may require a new certification of consistency with the
consolidated plan (see * 583.155).
(2) Approval for changes is contingent upon the
application ranking remaining high enough after the
approved change to have been competitively selected for
funding in the year the appl ication was selected.
(b) DocllmenWtion olother changes. Any
changes to an approved program that do not require
prior HUD approval must be fully documented in the
recipient's records.
[58 FR 13871, Mar. 15, 1993, as amended at 61 FR
51176, Sept. 30, 19961
* 583.410 Obligation and deobligation of funds.
(a) Ohligation ofji/llds. WIlt14Unn,.tlre .j
applicant execute a grant agreemenllt'UsUe'fligated
to cover the amount of the approved assistance under
subpart B of this part. The recipient will be expected to
carry out the supportive housing or supportive services
activities as proposed in the application.
(b) Increases. After the initial obligation of
funds, HUD will not make revisions to increase the
amount obligated.
(c) Deobligation. (I) HUD may deobligate all or
parts of grants for acquisition, rehabilitation, acquisition
and rehabilitation, or new construction:
(i) If the actual total cost of acquisition,
rehabilitation, acquisition and rehabilitation, or new
construction is less than the total cost anticipated in the
application; or
(ii) If proposed activities for which funding was
approved are not begun within three months or residents
do not begin to occupy the facility within nine months
after grant execution.
(2) HUD may deobligate the amounts for annual
leasing costs, operating costs or supportive services in
any year:
(i) If the actual leasing costs, operating costs or
supportive services for that year are less than the total
cost anticipated in the application; or
(ii) If the proposed supportive housing
operations are not begun within three months after the
units arc available for occupancy.
(3) The grant agreement may set forth in detail
other circumstances under which funds may be
deobligated, and other sanctions may be imposed.
(4) HUD may:
(i) Readvertise the availability of funds that
have been deobligated under this section in a notice of
fund availability under * 583.200, or
(ii) Award deobligated funds to applications
previously submitted in response to the most recently
published notice of fund availability, and in accordance
with subpart C of this part.
30