GUIDELINES AND APPLICATION FOR 2016-2017 Web viewProject specific operating costs incurred by a ......
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GUIDELINES AND APPLICATION FOR 2016-2017 COMPETITIVE OPERATING GRANT PROGRAM Purpose of the Operating Grant The grant can be used to offset a portion of general operating expenses for CHDOs that are carrying out their mission by developing, owning or sponsoring HOME-assisted development in their service area. It can also be used to strengthen CHDOs so that they can become self- sufficient and generate income through development activities and not have to rely on this funding source which may not be always be available. Eligible Expenses The grant covers reasonable and necessary costs for the operation of the CHDO. Such costs include salaries, wages, and other employee compensation and benefits; employee education, training, and travel; rent; utilities; communication costs; taxes; insurance; equipment; materials; and supplies. Ineligible Expenses Project specific operating costs incurred by a CHDO while acting in the capacity of a sub-recipient of HOME funding regardless of source, or contractor under the HOME program. Pre-development costs such as engineering, architecture, land purchase options, marketing, market studies, etc. All activities related to the administration of the Community Housing Improvement Program, Community Development Block Grant, Community Service Block Grant, or other local, State, or federal programs in which the CHDO acts in the capacity of a sub-recipient. Limitations Unlike the mandatory set-aside to CHDOs of 15% of the state’s allocation of HOME funds, operating grants are not required to be offered by the State of Ohio. The total HOME grant to the State of Ohio will determine the availability of operating grants. That decision will be made once the Federal HOME allocation for fiscal year 2017 is announced. CHDO OPERATING GRANT PAGE 1
Transcript of GUIDELINES AND APPLICATION FOR 2016-2017 Web viewProject specific operating costs incurred by a ......
GUIDELINES AND APPLICATION FOR 2016-2017 COMPETITIVE OPERATING GRANT PROGRAM
Purpose of the Operating GrantThe grant can be used to offset a portion of general operating expenses for CHDOs that are carrying out their mission by developing, owning or sponsoring HOME-assisted development in their service area. It can also be used to strengthen CHDOs so that they can become self-sufficient and generate income through development activities and not have to rely on this funding source which may not be always be available.
Eligible Expenses The grant covers reasonable and necessary costs for the operation of the CHDO. Such costs include salaries, wages, and other employee compensation and benefits; employee education, training, and travel; rent; utilities; communication costs; taxes; insurance; equipment; materials; and supplies.
Ineligible ExpensesProject specific operating costs incurred by a CHDO while acting in the capacity of a sub-recipient of HOME funding regardless of source, or contractor under the HOME program. Pre-development costs such as engineering, architecture, land purchase options, marketing, market studies, etc.All activities related to the administration of the Community Housing Improvement Program, Community Development Block Grant, Community Service Block Grant, or other local, State, or federal programs in which the CHDO acts in the capacity of a sub-recipient.
LimitationsUnlike the mandatory set-aside to CHDOs of 15% of the state’s allocation of HOME funds, operating grants are not required to be offered by the State of Ohio. The total HOME grant to the State of Ohio will determine the availability of operating grants. That decision will be made once the Federal HOME allocation for fiscal year 2017 is announced.
The operating grant, along with any other CHDO operating grants funded by entities other than OHFA, may not exceed 50% of the organization’s operating expenses for the fiscal year, or $50,000, whichever is less.
A CHDO may only receive one OHFA-funded operating grant for each qualifying development.
Amount of FundingThis is unknown at this time. Notification of the amount allocated for the current operating grant round for those organizations that have received a tax credit award for 2016 will go out as soon as this is determined.
The grants will all be for the same amount, with a maximum of $50,000. The amount of Federal HOME funds allocated to Ohio and the number of qualified applicants will determine the grant amount. The
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award may not exceed 50% of the organization’s operating expenses for the fiscal year, or $50,000, whichever is less. This includes all HOME-funded operating grants from all other jurisdictions.
OHFA reviewers will determine the size of the award for each CHDO. The determination will be based on the number of successful applicants and the total amount allocated.
The grant agreement will be for one year and will reimburse eligible expenses that are incurred between July 1, 2016 and June 30, 2017
Definition of TermsQUALIFYING DEVELOPMENT
Any OHFA-awarded development that is funded, at least in part, by the State of Ohio’s 15% HOME funds set-aside and has not yet met the definition of “project completion”
PROJECT COMPLETIONAll necessary title transfer requirements and construction work have been performed; the project complies with the requirements of this part (including the property standards under §92.251); the final drawdown of HOME funds has been disbursed for the project; and the project completion information has been entered into the disbursement and information system established by HUD, except that with respect to rental housing project completion, for the purposes of §92.502(d) of this part, project completion occurs upon completion of construction and before occupancy. For tenant-based rental assistance, project completion means the final drawdown has been disbursed for the project.
Term of GrantAn Individual Funding Agreement between OHFA and the CHDO must be signed before funds are disbursed.Individual Funding Agreements detail the procedure for reimbursement of eligible operating expenses incurred between July 1, 2016 and June 30, 2017.Timing of reimbursement requests will be specified in the Individual Funding Agreements.
Application RequirementsAll organizations will apply using the application that is contained within these guidelines
Review ProcessFor the Standard Operating Grant, OHFA staff will first screen for a qualified development. An OHFA review team will then score the eligible applications based on the responses given in the scoring categories. Applicants will then be ranked according to their scores. Those applicants whose scores are tied will receive policy preference points for each of the following:
The number of units that will be produced in the qualifying development (1 point for each unit)CHDOs that serve a rural area (1 point)CHDOs that did not receive an operating grant in the 2013-2014 funding cycle (1 point)
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TimelinesApplication deadlines and award dates to be announced.
Submission of the Application for Operating Grant Award When complete, email this packet, saved as a Word document with the organization’s name as
part of the file name, and all accompanying documentation files (if required), which are named such that they can be easily identified in the review process.
Send the email to: [email protected]
The subject line of the email should read “(name of organization) – 2016-2017 CHDO Operating Grant”
The email must be received on or before the due date (to be announced)
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APPLICATION FOR THE COMPETITIVE OPERATING GRANT PROGRAM
ESTABLISHING A QUALIFYING DEVELOPMENTDevelopment Name Click here to enter text.Year Tax Credits Allocated Click here to enter text.Address Click here to enter text.City or Township Click here to enter text.Zip Code Click here to enter text.County Click here to enter text.Rental or Ownership? Click here to enter text.Type of Construction Choose an item.Total Number of Units Click here to enter text.Total Number of Buildings Click here to enter text.
Source of Funds: (check all that apply)☐OHFA-administered HOME funds☐Other HOME funds☐CDBG funds ☐Low Income Housing Tax Credits☐State or Federal Historic Tax Credits☐OHFA Administered Ohio Housing Trust Fund☐Other funding Click here to enter text.
Development Completion Status☐ The development has met the definition of project completion ☐ As of the date of this application, the development has not met the definition of project completion. What is the percentage completed? When do you anticipate project completion? Click here to enter text. If % completed is >0, submit documentation that substantiates the percentage completed.
SCORING METHODS and DIRECTIONS
Point CategoriesEstablishing Need for Operating Assistance for 2016-2017 (20 points possible)Connection to the CHDOs Service Area (30 points possible)Housing Development Plan (20 points possible)
DirectionsSelect the applicable statements/questions by checking the box.All checked statements/questions require a detailed, narrative response in addition to the checkmark, unless noted otherwise. The response needs to clearly illustrate what is asked for in the selected item.
Type your detailed response immediately following the selected statement or question. For example:
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☒ The CHDO will use the operating grant to strengthen its on-staff housing development experience. (10 points) An operating grant of $50,000 will enable us to hire 2 additional part-time housing development project managers. This is a critical need for us at the moment as we anticipate at least three new development projects this year – two of which are fully funded and ready to go in the service area and a potential partnership to develop workforce housing with an automobile headlight manufacturer, Lima Beam Industries, in Allen County.
Applicant will be awarded the designated points for strong, clear concise responses. Supply complete answers, with actual as well as anecdotal data to back up your assertions.Applicant will not be awarded any points for responses that do not directly and fully address the topic – no partial credit.Applicant will not be awarded any points for responses that indicate a lack of knowledge of the applicable HOME regulations.
COMPETITIVE SCORING
Establishing Need for Operating Assistance for 2016-2017 (20 possible points)
SELECT ONE
☐ The CHDO serves a rural area and does not have access to the funding opportunities that are more readily available to those that serve urban areas. Within your narrative, be sure to identify those sources that are not available to the applicant. (20 points) Click here to enter text.
☐ The CHDO did not receive an operating grant for the period of July 2014-June 2015 and requires one now to sustain operations. (10 points) Click here to enter text.
☐ The CHDO will use the operating grant to strengthen its on-staff housing development experience. (10 points) Click here to enter text.
☐ The CHDO will only be sustainable with a grant of operating funds in this cycle. Include in your narrative all recent actions implemented to insure the CHDO’s sustainability to this point. (10 points) Click here to enter text.
Connection to the CHDO’s Service Area (30 possible points)
SELECT ONE
These statements refer to the Community Involvement Plan in your governing documents which was used to certify your organization as a CHDO.☐ Low-income residents of the service area had actual, direct input into the design, siting, and development of the qualifying development and will have input in its management once it is occupied. (30 points) Click here to enter text.
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☐ The CHDO’s Community Involvement Plan is strong and clear and is able to truly capture input from low-income residents of the service area. (10 points) Click here to enter text.
Housing Development Plan (20 possible points)☐ Document the nexus between the board-approved Housing Development Plan and the qualifying development. (20 points) Click here to enter text.
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