COLLINS CAPITAL GROUP COLLINS CAPITAL GROUP HOUSINGHOUSING

P.O. Box 668611P.O. Box 668611Charlotte, North Carolina 28266Charlotte, North Carolina 28266

704.605.0127704.605.0127collinscapitalgroup.blogspot.com /collinscapitalgroup.blogspot.com /

Community Planning and Community Planning and Development ProgramsDevelopment Programs

Getting Involved Through the Getting Involved Through the Consolidated Planning Consolidated Planning

ProcessProcess

Module 3 OverviewModule 3 Overview

HUD’s Community Planning and Development HUD’s Community Planning and Development (CPD) Formula Programs. (CPD) Formula Programs. – CDBGCDBG– HOMEHOME– HOPWAHOPWA– ESG ESG

Briefing of CPD’s Competitive Programs. Briefing of CPD’s Competitive Programs. The Consolidated Plan Process and Getting The Consolidated Plan Process and Getting

Involved. Involved. CBDOs and CHDOs.CBDOs and CHDOs.

HUD’s Federal Formula ProgramsHUD’s Federal Formula Programs

Grantee: Grantee: – The State or Locality that receives and distributes funding.The State or Locality that receives and distributes funding.

Formulas:Formulas:– Determines which States and Localities will receive the Determines which States and Localities will receive the

funding and how much of it. funding and how much of it.

Money: Money: – Allocated each year to the grantees, for each program. Allocated each year to the grantees, for each program.

Match Funds:Match Funds:– HOME, HOPWA and ESG require a Match. HOME, HOPWA and ESG require a Match.

HUD Formula ProgramsHUD Formula Programs

1.1. Community Development Block Grant, Community Development Block Grant, CDBGCDBG– FY 2008 Total of $3,865,800,000FY 2008 Total of $3,865,800,000

2.2. HOME Investment Partnerships Program, HOME Investment Partnerships Program, HOMEHOME– FY 2008 Total of $1,704,000,000FY 2008 Total of $1,704,000,000

3.3. Emergency Shelter Grant, Emergency Shelter Grant, ESGESG– FY 2008 Total of $160,000,000FY 2008 Total of $160,000,000

4.4. Housing Opportunities for Persons with AIDS, Housing Opportunities for Persons with AIDS, HOPWAHOPWA– FY 2008 Total $300,100,000FY 2008 Total $300,100,000

http://www.hud.gov/offices/cpd/http://www.hud.gov/offices/cpd/

What is the Community Development What is the Community Development Block Grant? (CDBG)Block Grant? (CDBG)

The CDBG program is a The CDBG program is a flexibleflexible program that program that provides communities with resources to address a provides communities with resources to address a wide range of community development needs. wide range of community development needs.

It was begun through the It was begun through the Housing and Community Housing and Community Development Act of 1974Development Act of 1974. .

It is one of the longest continuously run programs at It is one of the longest continuously run programs at HUD.HUD.

http://www.hud.gov/offices/cpd/communitydevelopment/programs/http://www.hud.gov/offices/cpd/communitydevelopment/programs/

Primary Objectives of CDBGPrimary Objectives of CDBG

The development of viable communities, The development of viable communities, principally for low and moderate principally for low and moderate

income income persons, through:persons, through:

• Decent HousingDecent Housing

• Suitable Living EnvironmentSuitable Living Environment

• Expanded Economic Opportunity Expanded Economic Opportunity

CDBG National ObjectivesCDBG National Objectives

Each Activity MUST meet at least oneEach Activity MUST meet at least one::

1.1. Benefit low- and moderate-income persons,Benefit low- and moderate-income persons,

2.2. Prevent or eliminate slums or blight, Prevent or eliminate slums or blight,

3.3. Urgent NeedUrgent Need

Persons Served by CDBGPersons Served by CDBG

Low and Moderate IncomeLow and Moderate Income

Households and persons whose incomes do not Households and persons whose incomes do not exceed 80 percent of the median income of the exceed 80 percent of the median income of the area involved, as determined by HUD with area involved, as determined by HUD with adjustments for household or family size. adjustments for household or family size.

Over a 1, 2, or 3-year period, as selected by the Over a 1, 2, or 3-year period, as selected by the grantee, grantee, not less than 70 percentnot less than 70 percent of CDBG funds of CDBG funds MUST be used for activities that benefit low- and MUST be used for activities that benefit low- and moderate-income persons. moderate-income persons.

Some Eligible CDBG ActivitiesSome Eligible CDBG Activities Acquisition of Real PropertyAcquisition of Real Property Construction of Public Facilities and Improvements Construction of Public Facilities and Improvements

– Such as water and sewer facilities, streets, neighborhood centers, Such as water and sewer facilities, streets, neighborhood centers, and the conversion of school buildings for eligible purposesand the conversion of school buildings for eligible purposes

Rehab of Residential and Non-Residential StructuresRehab of Residential and Non-Residential Structures Public Services, within certain limitsPublic Services, within certain limits Activities related to Energy Conservation and Renewable Energy Activities related to Energy Conservation and Renewable Energy

ResourcesResources Relocation and DemolitionRelocation and Demolition Housing Services, Some Homeownership Activities Housing Services, Some Homeownership Activities Economic DevelopmentEconomic Development Community Based Development Organization (CBDO) Activities Community Based Development Organization (CBDO) Activities

(More discussion in later module)(More discussion in later module) Planning and AdministrationPlanning and Administration

Some Ineligible ActivitiesSome Ineligible Activities

Buildings for the general conduct of government Buildings for the general conduct of government and general government expensesand general government expenses

Political activitiesPolitical activities New housing construction by local units of New housing construction by local units of

governmentsgovernments Income paymentsIncome payments Purchase of equipmentPurchase of equipment Operating and maintenance expensesOperating and maintenance expenses

Distribution of CDBG FundsDistribution of CDBG Funds

Entitlement ProgramEntitlement Program– Principal cities of Metropolitan Statistical Areas Principal cities of Metropolitan Statistical Areas

(MSA’s)(MSA’s)

– Cities with populations of 50,000 or moreCities with populations of 50,000 or more– Qualified urban counties with populations of 200,000 Qualified urban counties with populations of 200,000

or more or more (not including a qualifying city).(not including a qualifying city).

State and Small Cities ProgramState and Small Cities Program– States that administer the program to non-entitled States that administer the program to non-entitled

cities/counties; and Hawaiicities/counties; and Hawaii

How Can CDBG Funding Get to You?How Can CDBG Funding Get to You?

You would probably be the You would probably be the Subrecipient, Subrecipient, unless you are a CBDO.unless you are a CBDO.

– A public or private nonprofit agency, authority, or A public or private nonprofit agency, authority, or organization, or a for-profit entity authorized under organization, or a for-profit entity authorized under §570.201(o), receiving CDBG funds from the recipient §570.201(o), receiving CDBG funds from the recipient or another subrecipient to undertake activities eligible or another subrecipient to undertake activities eligible under subpart C.under subpart C.

Your local government makes the decision Your local government makes the decision about which organizations to fund.about which organizations to fund.

HOME Investment HOME Investment Partnership Program (HOME) Partnership Program (HOME)

Designed exclusively Designed exclusively to create affordable to create affordable housinghousing for low-income households. for low-income households.

Became law in 1990. Became law in 1990.

http://www.hud.gov/homeprogram/http://www.hud.gov/homeprogram/

Participating JurisdictionsParticipating Jurisdictions(PJs) (PJs)

State and Local Governments, or Consortia.State and Local Governments, or Consortia. Receive annual formula allocations HOME funds.Receive annual formula allocations HOME funds. Responsible for the eligible use of funds. Responsible for the eligible use of funds. A PJ may designate a “A PJ may designate a “Subrecipient” (Subrecipient” (public public

agency or nonprofit) to administer all or a portion agency or nonprofit) to administer all or a portion of its program on its behalf.of its program on its behalf.

You would receive funding from the PJ or the You would receive funding from the PJ or the SubrecipientSubrecipient..

Overall Key Actors in the HOME Overall Key Actors in the HOME ProgramProgram

State GovernmentsState Governments State RecipientsState Recipients Local GovernmentsLocal Governments ConsortiaConsortia SubrecipientsSubrecipients Community Housing Development Organizations Community Housing Development Organizations

(CHDO’s)(CHDO’s) Developers, owners, and sponsorsDevelopers, owners, and sponsors Private lendersPrivate lenders ContractorsContractors

Four HOME Program TypesFour HOME Program Types

Homeowner (Owner-Occupied) RehabilitationHomeowner (Owner-Occupied) Rehabilitation

Homebuyer AssistanceHomebuyer Assistance

Rental Development Rental Development – New construction or rehabilitationNew construction or rehabilitation

Tenant-Based Rental Assistance (TBRA)Tenant-Based Rental Assistance (TBRA)

Eligible HOME ActivitiesEligible HOME Activities

Acquisition (standard properties)Acquisition (standard properties)

RehabilitationRehabilitation

New ConstructionNew Construction

Tenant-based rental assistanceTenant-based rental assistance

Some Eligible HOME ExpendituresSome Eligible HOME Expenditures

Hard costs (construction)Hard costs (construction) Land AcquisitionLand Acquisition DemolitionDemolition Project Related Soft CostsProject Related Soft Costs

– InspectionsInspections– Financing fees, etc.Financing fees, etc.

Relocation CostsRelocation Costs

Some Prohibited Activities in Some Prohibited Activities in HOMEHOME

Non-housing facilities (shelters, nursing homes, Non-housing facilities (shelters, nursing homes, treatment facilities, other public facilities)treatment facilities, other public facilities)

Emergency RepairsEmergency Repairs Project-based rental assistanceProject-based rental assistance Paying delinquent taxes on behalf of the ownerPaying delinquent taxes on behalf of the owner Operation, construction or modernization of Operation, construction or modernization of

Public HousingPublic Housing Match for other federal programsMatch for other federal programs

Overview of Basic HOME RulesOverview of Basic HOME Rules

All HOME funds must be used for families with All HOME funds must be used for families with incomes below 80 percent of the Area Median incomes below 80 percent of the Area Median Income. Income.

– Deeper targeting for rental housingDeeper targeting for rental housing

HOME-funded projects are subject to affordability HOME-funded projects are subject to affordability periods.periods.

New construction and rehab must meet local codes New construction and rehab must meet local codes and property standards and federal accessibility and property standards and federal accessibility requirements.requirements.

Other Notable HOME FeaturesOther Notable HOME Features

Matching requirement Matching requirement – PJs must match 25 cents of every HOME dollar.PJs must match 25 cents of every HOME dollar.

Performance standardsPerformance standards– Funds must be committed within 2 yearsFunds must be committed within 2 years– Funds must be expended within 5 yearsFunds must be expended within 5 years

Technical Assistance fundsTechnical Assistance funds– Awarded to intermediaries to build the capacity of Awarded to intermediaries to build the capacity of

qualified Community Housing Development qualified Community Housing Development Organizations (CHDOs).Organizations (CHDOs).

Forms of HOME AssistanceForms of HOME Assistance

Direct AssistanceDirect Assistance– GrantsGrants– Direct Loans (interest or non-interest bearing)Direct Loans (interest or non-interest bearing)– Deferred LoansDeferred Loans

Loan GuaranteesLoan Guarantees– For rental, owner-occupied rehab or homebuyer For rental, owner-occupied rehab or homebuyer

programs. programs.

Limits on How Funds Can Be Spent Limits on How Funds Can Be Spent

AdministrationAdministration: Up to 10% of allocation: Up to 10% of allocation

CHDO Operating ExpensesCHDO Operating Expenses: Up to 5%: Up to 5%

CHDO Set-Aside for development CHDO Set-Aside for development project activitiesproject activities: AT LEAST 15%: AT LEAST 15%

Remaining HOME funding is used for Remaining HOME funding is used for Project ActivitiesProject Activities. .

Housing Opportunities for Housing Opportunities for Persons With AIDS (HOPWA)Persons With AIDS (HOPWA)

Has both a Formula and a Competitive Program.Has both a Formula and a Competitive Program.

Eligible States and localities determined using a Eligible States and localities determined using a statutory formula that relies on AIDS statistics. statutory formula that relies on AIDS statistics.

Used for housing assistance and appropriate supportive Used for housing assistance and appropriate supportive services.services.

http://www.hud.gov/offices/cpd/aidshousing/programs/http://www.hud.gov/offices/cpd/aidshousing/programs/

HOPWAHOPWA Some Examples of Eligible Uses: Some Examples of Eligible Uses:

– Acquisition, rehabilitation and new construction of Acquisition, rehabilitation and new construction of housing units housing units

– Costs for facility operations Costs for facility operations

– Rental assistanceRental assistance

– Short-term payments to prevent homelessness Short-term payments to prevent homelessness

– Supportive ServicesSupportive Services• Mental health services Mental health services

• Chemical dependency treatment Chemical dependency treatment

• Nutritional services Nutritional services

• Case management Case management

• Assistance with daily living Assistance with daily living

Emergency Shelter Grant (ESG)Emergency Shelter Grant (ESG)

Purpose:Purpose:

To provide homeless persons with basic To provide homeless persons with basic shelter and essential supportive services.shelter and essential supportive services.

http://www.hud.gov/offices/cpd/homeless/programs/esghttp://www.hud.gov/offices/cpd/homeless/programs/esg

Emergency Shelter Grant (ESG)Emergency Shelter Grant (ESG)

History:History:

Originally established by the Homeless Housing Originally established by the Homeless Housing Act of 1986Act of 1986

Incorporated into subtitle B of title IV of the Incorporated into subtitle B of title IV of the McKinney-Vento Homeless Assistance Act in McKinney-Vento Homeless Assistance Act in 1987. 1987.

Emergency Shelter Grant (ESG)Emergency Shelter Grant (ESG)

Grantees: Grantees: – State governments, metropolitan cities, urban counties, State governments, metropolitan cities, urban counties,

and U.S. territories and U.S. territories – Grantees make the funds available to Grantees make the funds available to eligible recipientseligible recipients, ,

which can be local government agencies or private which can be local government agencies or private nonprofit organizations. nonprofit organizations.

Matching Requirement: Matching Requirement: – Local ESG grant funds must be matched dollar for dollar Local ESG grant funds must be matched dollar for dollar

with locally-generated amounts.with locally-generated amounts.– States do not have to match the first $100,000 of ESG States do not have to match the first $100,000 of ESG

assistance that they receive.assistance that they receive.

Five Categories of ESG Eligible Five Categories of ESG Eligible ActivitiesActivities

Rehab or conversion of buildings into Rehab or conversion of buildings into homeless shelters  homeless shelters  

Operating expenses and maintenance of the Operating expenses and maintenance of the sheltershelter

Essential supportive services  Essential supportive services  Short-term homeless prevention activitiesShort-term homeless prevention activities Administration of the grant  Administration of the grant  

HUD’s Definition of Homelessness HUD’s Definition of Homelessness

Based on primary nighttime residenceBased on primary nighttime residence Includes individuals and families Includes individuals and families Must be living in one of the following:Must be living in one of the following:

– Places not meant for human habitation;Places not meant for human habitation;– Emergency shelter; orEmergency shelter; or– Transitional housing for homeless persons who Transitional housing for homeless persons who

originally came from streets or emergency originally came from streets or emergency shelter shelter

HUD’s Definition of HomelessnessHUD’s Definition of Homelessness

Does not include:Does not include:– Persons living in substandard housingPersons living in substandard housing– Persons living in overcrowded housing Persons living in overcrowded housing

situationssituations– Persons that are wards of the statePersons that are wards of the state– Persons being discharged from institutions Persons being discharged from institutions

where housing placement is condition of where housing placement is condition of releaserelease

– Persons living with family/friends Persons living with family/friends

Chronic HomelessnessChronic Homelessness

HUD is focused on ending chronic homelessnessHUD is focused on ending chronic homelessness

Definition of a chronically homeless person: Definition of a chronically homeless person: “Either:

1. An unaccompanied homeless individual with a disabling condition who has been continuously homeless for a year or more, OR

2. An unaccompanied individual with a disabling condition who has had at least four episodes of homelessness in the past three years.”

Competitive ProgramsCompetitive Programs

In the Office Community Planning and In the Office Community Planning and Development (CPD)Development (CPD)– The Continuum of CareThe Continuum of Care

• Homeless Competitive Grants Homeless Competitive Grants

– Other CPD Competitive GrantsOther CPD Competitive Grants

Certificate of Consistency with the Certificate of Consistency with the Consolidated PlanConsolidated Plan

The Continuum of Care (CoC)The Continuum of Care (CoC)

HUD’s Homeless Assistance PlanHUD’s Homeless Assistance Plan

HUD believes the best approach for HUD believes the best approach for alleviating homelessness is through a alleviating homelessness is through a community-based process that provides a community-based process that provides a comprehensive response to the diverse needs comprehensive response to the diverse needs of homeless persons.of homeless persons.

http://www.hud.gov/offices/cpd/homeless/programs/index.cfmhttp://www.hud.gov/offices/cpd/homeless/programs/index.cfm

Continuum of Care BasicsContinuum of Care Basics

““A collaborative funding approach that helps A collaborative funding approach that helps communities plan for and provide a full range of communities plan for and provide a full range of emergency, transitional, and permanent housing emergency, transitional, and permanent housing and service resources to address the various needs and service resources to address the various needs of homeless persons.”of homeless persons.” FY 2007 SuperNOFAFY 2007 SuperNOFA

Locally organizedLocally organized Includes designated lead agency and contact Includes designated lead agency and contact

personperson Geographically basedGeographically based

Overview of Continuum of CareOverview of Continuum of Care

– Housing and service Housing and service providersproviders

– Nonprofit organizationsNonprofit organizations

– Public housing Public housing authoritiesauthorities

– Advocacy groupsAdvocacy groups

– Community and faith-Community and faith-based organizationsbased organizations

– State and local State and local government agenciesgovernment agencies

– Housing developers and Housing developers and other private businessesother private businesses

– Private agencies, like Private agencies, like health care organizationshealth care organizations

– Law enforcement and Law enforcement and correctionscorrections

– School systemsSchool systems

– Private funding providersPrivate funding providers

– Homeless or formerly Homeless or formerly homeless personshomeless persons

A CoC system is developed through an inclusive, community-A CoC system is developed through an inclusive, community-wide or region-wide process involving:wide or region-wide process involving:

Continuum of CareContinuum of Care

CoC CoC Planning/Coordinating Planning/Coordinating

OrganizationsOrganizations

Veterans ServicesVeterans Services

BusinessesBusinesses

Mental IllnessMental Illness

HIV / AIDSHIV / AIDS

Neighborhood Neighborhood GroupsGroups

BanksBanks

FoundationsFoundations

Service ProvidersService Providers

HousingHousingDevelopersDevelopers

Homeless PersonsHomeless PersonsEducatorsEducators

GovernmentGovernment

Five Basic Components of Five Basic Components of Continuum of CareContinuum of Care

1.1. Outreach and assessment to identify the needs and Outreach and assessment to identify the needs and conditions of homeless persons. conditions of homeless persons.

2.2. Immediate (emergency) shelter with appropriate Immediate (emergency) shelter with appropriate supportive services.supportive services.

3.3. Transitional housing with appropriate supportive Transitional housing with appropriate supportive services.services.

4.4. Permanent housing or permanent supportive housing.Permanent housing or permanent supportive housing.

5.5. Prevention strategies. Prevention strategies.

Continuum of Care (CoC) Continuum of Care (CoC) Competitive Homeless Assistance Competitive Homeless Assistance

ProgramsPrograms Supportive Housing Program (SHP)Supportive Housing Program (SHP)

Shelter Plus Care (S+C)Shelter Plus Care (S+C)

Section 8 Moderate Rehabilitation Single Section 8 Moderate Rehabilitation Single Room Occupancy (SRO) Program for Room Occupancy (SRO) Program for Homeless IndividualsHomeless Individuals

Supportive Housing Program (SHP)Supportive Housing Program (SHP) Provides housing, including housing units and Provides housing, including housing units and

group quarters.group quarters.

Combine supportive services and housing to help Combine supportive services and housing to help homeless persons to live as independently as homeless persons to live as independently as possible. possible.

Three overall goals:Three overall goals:– Achieve residential stability Achieve residential stability – Increase skill levels and/or incomes Increase skill levels and/or incomes – Obtain greater self-determination Obtain greater self-determination

Shelter Plus Care (S+C)Shelter Plus Care (S+C)

Provides housing and supportive services on a Provides housing and supportive services on a long-term basis for long-term basis for homeless persons with homeless persons with disabilitiesdisabilities, and their families. , and their families.

Rental assistance for Rental assistance for hard-to-servehard-to-serve homeless homeless persons with disabilitiespersons with disabilities..

Works in connection with supportive services Works in connection with supportive services funded from sources outside the program. funded from sources outside the program.

Single Room Occupancy ProgramSingle Room Occupancy Program

Provides rental assistance for homeless Provides rental assistance for homeless persons in connection with the moderate persons in connection with the moderate rehabilitation of SRO dwellings. rehabilitation of SRO dwellings.

SRO housing contains units for occupancy SRO housing contains units for occupancy by one personby one person

ResourcesResources

Homeless Resource Exchange (HRE):Homeless Resource Exchange (HRE):– http://www.HUDHRE.infohttp://www.HUDHRE.info

HUD’s web site: HUD’s web site: – http://www.hud.gov/offices/cpd/homeless/index.cfm http://www.hud.gov/offices/cpd/homeless/index.cfm

– http://www.hud.gov/homeless/ http://www.hud.gov/homeless/

Other CPD Competitive Programs Other CPD Competitive Programs

HOPWA Competitive Program HOPWA Competitive Program Self-Help Homeownership Opportunity Program Self-Help Homeownership Opportunity Program

(SHOP)(SHOP) Rural Housing and Economic Development (RHED)Rural Housing and Economic Development (RHED) Brownfields Economic Development Initiative (BEDI)Brownfields Economic Development Initiative (BEDI)

– Linked to the Section 108 Loan Guarantee program.Linked to the Section 108 Loan Guarantee program.

Technical AssistanceTechnical Assistance– HOMEHOME– CHDO TA CHDO TA – McKinney-Vento Homeless Assistance Programs HOPWA McKinney-Vento Homeless Assistance Programs HOPWA

When Considering Federal Funding, When Considering Federal Funding, Ask Yourself…Ask Yourself…

What are the priorities of your community? What are the priorities of your community? Does your program/project meet those priorities?Does your program/project meet those priorities? Are you already doing the types of projects Are you already doing the types of projects

serving the target population sought by the serving the target population sought by the funding program? funding program?

Does your organization have the capacity and Does your organization have the capacity and experience to use and manage the funding?experience to use and manage the funding?

Is your organization financially prepared to Is your organization financially prepared to manage federal funding and can you meet the manage federal funding and can you meet the required match?required match?

The Consolidated PlanThe Consolidated Plan

Why Should You Care?Why Should You Care?

Money!!!Money!!!

Primarily Benefits Low-income Persons and Primarily Benefits Low-income Persons and Families!Families!

Opportunity for Empowerment!Opportunity for Empowerment!

Get on Your Community’s Radar!Get on Your Community’s Radar!

Why the Consolidated Plan Process Why the Consolidated Plan Process is Importantis Important

It is THE process for how your organization It is THE process for how your organization can be regularly and actively involved in can be regularly and actively involved in your City, County or State's planning and your City, County or State's planning and funding process.funding process.

Benefits to Getting InvolvedBenefits to Getting Involved

Community InvolvementCommunity Involvement InfluenceInfluence FundingFunding AccountabilityAccountability Potential Access to CPD’s Formula Potential Access to CPD’s Formula

ProgramsPrograms

Roots of the Con PlanRoots of the Con Plan

Comprehensive Housing Affordability Comprehensive Housing Affordability Strategy (CHAS)Strategy (CHAS)

– Created in 1990, Title 1 National Created in 1990, Title 1 National Affordable Housing Act; aka Cranston-Affordable Housing Act; aka Cranston-Gonzalez ActGonzalez Act

– Aim to develop Aim to develop Annual Housing GoalsAnnual Housing Goals

The Consolidated PlanThe Consolidated Plan

A collaborative process whereby a community A collaborative process whereby a community establishes a vision for housing, community and establishes a vision for housing, community and economic development actionseconomic development actions

PurposesPurposes– ““Application” for Formula Funding for States Application” for Formula Funding for States

and Localitiesand Localities– Planning DocumentPlanning Document– Performance ReportingPerformance Reporting

The Consolidated PlanThe Consolidated Plan

StakeholdersStakeholders

– HUDHUD– State and Local GovernmentsState and Local Governments– Community Groups Community Groups – Non-ProfitsNon-Profits– Private SectorPrivate Sector– Financial InstitutionsFinancial Institutions

The Consolidated PlanThe Consolidated Plan

Basics:Basics:

The Three or Five-Year Plan Strategic PlanThe Three or Five-Year Plan Strategic Plan The The AnnualAnnual Action Plan Action Plan The The AnnualAnnual Performance Report Performance Report

3 – 5 Year Strategic Plan3 – 5 Year Strategic Plan

Setting Priority NeedsSetting Priority Needs

– Specific Objectives/Performance MeasuresSpecific Objectives/Performance Measures

– Non-housing Community Development PlanNon-housing Community Development Plan

– Neighborhood Revitalization Strategy Areas Neighborhood Revitalization Strategy Areas

– Continuum of Care Homeless StrategyContinuum of Care Homeless Strategy

– Anti-Poverty StrategyAnti-Poverty Strategy

Annual Action Plan Annual Action Plan

Resources and annual objectivesResources and annual objectives

– Programs, projects, or activitiesPrograms, projects, or activities

– Annual numeric goalsAnnual numeric goals

– Other relevant actionsOther relevant actions

– CertificationsCertifications

Five Stages of the Consolidated Five Stages of the Consolidated Plan ProcessPlan Process

1.1. Identifying NeedsIdentifying Needs

2.2. The “Proposed” Consolidated PlanThe “Proposed” Consolidated Plan

3.3. The “Final” Consolidated PlanThe “Final” Consolidated Plan

4.4. Annual Performance ReportAnnual Performance Report

5.5. Substantial AmendmentsSubstantial Amendments

Identifying NeedsIdentifying Needs

The Community ProfileThe Community Profile1.1. Housing, homeless, community Housing, homeless, community

development and special needs assessmentdevelopment and special needs assessment

2.2. Housing market analysisHousing market analysis

3.3. Inventory of public and assisted housingInventory of public and assisted housing

4.4. Inventory of homeless facilities/servicesInventory of homeless facilities/services

5.5. Barriers to affordable housingBarriers to affordable housing

Proposing the Con PlanProposing the Con Plan

Setting PrioritiesSetting Priorities– Activities designed to respond to the Activities designed to respond to the

identified needsidentified needs

– Geographic areas where needs existGeographic areas where needs exist

– Indicate how funds identified will be Indicate how funds identified will be used to meet needsused to meet needs

– Performance IndicatorsPerformance Indicators

Proposing the Con PlanProposing the Con Plan

Identifying Identifying AllAll Resources That Will Be Resources That Will Be AvailableAvailable– CDBG, HOME, ESG, HOPWA, Public and CDBG, HOME, ESG, HOPWA, Public and

Assisted HousingAssisted Housing– State and Local FundsState and Local Funds– Private FundsPrivate Funds

Citizen Participation PlanCitizen Participation Plan

Grantees must provide and encourage Grantees must provide and encourage citizen participation.citizen participation.

Required to have a Plan, but no rules on Required to have a Plan, but no rules on when to update it.when to update it.

The Development of the plan requires The Development of the plan requires consultation with public and private sectors.consultation with public and private sectors.

The Citizen Participation PlanThe Citizen Participation Plan

Community StakeholdersCommunity Stakeholders

Access to InformationAccess to Information

Public Hearings Public Hearings – At least 2 each year, 1 for StatesAt least 2 each year, 1 for States

– AccommodationsAccommodations

Review and CommentReview and Comment

Technical Assistance for Citizen Technical Assistance for Citizen ParticipationParticipation

The Citizen Participation Plan must describe The Citizen Participation Plan must describe how technical assistance will be provided how technical assistance will be provided to appropriate groups that request to appropriate groups that request assistance to develop proposals.assistance to develop proposals.

Characteristics of Effective Characteristics of Effective Citizen ParticipationCitizen Participation

1.1. Collaboration between community and Collaboration between community and faith-based organizationsfaith-based organizations

2.2. Collaboration between those Collaboration between those Organizations and Local GovernmentOrganizations and Local Government

3.3. Open Discussion of Community Issues Open Discussion of Community Issues and Needsand Needs

4.4. Short-term and Long-term PlanningShort-term and Long-term Planning

5.5. Marketing and OutreachMarketing and Outreach

The “Final” Con PlanThe “Final” Con Plan

Considers all the comments made during Considers all the comments made during the citizen participation processthe citizen participation process

Must be publicly available. Must be publicly available.

HUD approval is necessary HUD approval is necessary – Due 45 days before the start of the program Due 45 days before the start of the program

yearyear– HUD has 45 days to approve or disapproveHUD has 45 days to approve or disapprove

The “Final” Con PlanThe “Final” Con Plan

Possible Reasons for Disapproval:Possible Reasons for Disapproval:– Developed without the required citizen Developed without the required citizen

participation processparticipation process– Failing to meet all the required elements of the Failing to meet all the required elements of the

regulationsregulations– Inaccurate certifications Inaccurate certifications – Inconsistency with the purposes of the National Inconsistency with the purposes of the National

Affordable Housing ActAffordable Housing Act

Annual Performance ReportAnnual Performance Report

CAPER: Consolidated Annual Performance and CAPER: Consolidated Annual Performance and Evaluation ReportEvaluation Report

Provides a detailed description of the activities Provides a detailed description of the activities funded with CPD money during the program year. funded with CPD money during the program year. – How much money budgeted How much money budgeted

– How much money spentHow much money spent

– Location of activitiesLocation of activities

– What was accomplishedWhat was accomplished

– Who benefitedWho benefited

Substantial AmendmentsSubstantial Amendments

Specify criteria to be used to determine Specify criteria to be used to determine what constitutes a substantial amendment.what constitutes a substantial amendment.

Describe how citizens will be given Describe how citizens will be given opportunity to comment with length of opportunity to comment with length of comment period and summary of comment period and summary of comments. comments.

““Consistent” With the Consistent” With the Consolidated PlanConsolidated Plan

Law requires that any use of Community Law requires that any use of Community Planning and Development money for Planning and Development money for housinghousing activities be “consistent” with the activities be “consistent” with the jurisdiction’s Consolidated Plan.jurisdiction’s Consolidated Plan.

What is meant by “Consistent”?What is meant by “Consistent”?– NeedNeed– Long-range StrategyLong-range Strategy– LocationLocation

Roles of Non-Profits in the Roles of Non-Profits in the Consolidated Plan ProcessConsolidated Plan Process

Engage in Strategic Planning ProcessEngage in Strategic Planning Process Ensure that Low-Income Persons are Ensure that Low-Income Persons are

Beneficiaries of Program FundsBeneficiaries of Program Funds Have the needs of communities you serve Have the needs of communities you serve

be recognized. be recognized. Stay informed of the process, speak up at Stay informed of the process, speak up at

public hearings, and provide comments!public hearings, and provide comments!

How Do You Get Involved?How Do You Get Involved?

Figure Out if Your Government Must Figure Out if Your Government Must Prepare a Consolidated PlanPrepare a Consolidated Plan

Annual Process: Annual Process: – Updated each year with the Annual Action Updated each year with the Annual Action

Plan, and Performance ReportPlan, and Performance Report– Go to the Public Hearings and be prepared to Go to the Public Hearings and be prepared to

commentcomment

How Do You Get Involved?How Do You Get Involved?

To whom Do I Speak With?To whom Do I Speak With?– Government officials, Housing or Planning department, Government officials, Housing or Planning department,

HUD Local or Regional Field OfficeHUD Local or Regional Field Office

What Papers or Information Should I Ask For? What Papers or Information Should I Ask For? – ““Citizen Participation Plan”Citizen Participation Plan”

– ““Long-term Strategic Plan”Long-term Strategic Plan”

– ““Annual Action Plan”Annual Action Plan”

– ““Consolidated Annual Performance Report” (CAPER)Consolidated Annual Performance Report” (CAPER)

Where Can You Start?Where Can You Start?

Let your state or locality know you are Let your state or locality know you are interestedinterested

Let them know you want to be involvedLet them know you want to be involved Let them know you want to be kept Let them know you want to be kept

informedinformed Ask to be placed on their mailing listAsk to be placed on their mailing list Know you have a right to be involvedKnow you have a right to be involved Be persistentBe persistent

Information SourcesInformation Sources

HUD Consolidated Plan website:HUD Consolidated Plan website:– http://www.hud.gov/offices/cpd/about/conplan/http://www.hud.gov/offices/cpd/about/conplan/

Your Local HUD Office Your Local HUD Office

Housing Development Organizations: Housing Development Organizations:

Special ConsiderationsSpecial Considerations CBDOCBDO

– Community Based Development OrganizationCommunity Based Development Organization– CDBGCDBG

CHDOCHDO– Community Housing Development OrganizationCommunity Housing Development Organization– HOMEHOME

Community Based Development Community Based Development Organizations (CBDO)Organizations (CBDO)

CDBG Program CDBG Program A CBDO must undertake one of these three A CBDO must undertake one of these three

activities:activities:

1.1. Neighborhood revitalizationNeighborhood revitalization

2.2. Community economic developmentCommunity economic development

3.3. Energy conservationEnergy conservation

Benefit to Being a CBDOBenefit to Being a CBDO

Access to conducting a wider variety of Access to conducting a wider variety of neighborhood revitalization activities > more neighborhood revitalization activities > more flexibility. flexibility.

Status allows spending of CDBG funds on certain Status allows spending of CDBG funds on certain types of projects that are not ordinarily eligible for types of projects that are not ordinarily eligible for fundingfunding– e.g. new housing constructione.g. new housing construction

However: However: Distribution and use of funding for Distribution and use of funding for

CBDO’s is determined by the grantee.CBDO’s is determined by the grantee.

CBDO RequirementsCBDO Requirements

The Organization Must: The Organization Must: Be organized under state/local law for specific Be organized under state/local law for specific

community development activitiescommunity development activities Operate in a specific geographic area within a Operate in a specific geographic area within a

grantee’s jurisdictiongrantee’s jurisdiction Have a primary focus the improvement of Have a primary focus the improvement of

economic/physical/social aspect of service area, economic/physical/social aspect of service area, particularly for low/mod personsparticularly for low/mod persons

Have a governing board of at least 51% Have a governing board of at least 51% low/mod representatives.low/mod representatives.

CBDO GOVERNING BOARDCBDO GOVERNING BOARD

To meet the 51% low/mod representation:To meet the 51% low/mod representation: Residents of service areaResidents of service area Owners/officers of entities located in service area OROwners/officers of entities located in service area OR Representatives of low/mod groups in service area Representatives of low/mod groups in service area

Less than 1/3 of board may be:Less than 1/3 of board may be: Elected or appointed public officials, orElected or appointed public officials, or Employees of the granteeEmployees of the grantee

Governing body must be nominated by general Governing body must be nominated by general membership. membership.

Other CBDO RequirementsOther CBDO Requirements

If CBDO is a for-profit entity, profits to If CBDO is a for-profit entity, profits to shareholders/members must be incidental to shareholders/members must be incidental to operationsoperations

Organizations that could easily qualify:Organizations that could easily qualify: Single-neighborhood –based CHDOs Single-neighborhood –based CHDOs

automatically meet CBDO requirements.automatically meet CBDO requirements. Other CHDO’s must qualify separately. Other CHDO’s must qualify separately. Certain SBA organizationsCertain SBA organizations

Community Housing Development OrganizationCommunity Housing Development Organization

CHDOCHDO HOME Program fundsHOME Program funds

The Bottom Line:The Bottom Line: The project must involve development activityThe project must involve development activity The CHDO must own, develop or sponsor the The CHDO must own, develop or sponsor the

project project CHDO has effective project control.CHDO has effective project control.

Use of HOME FundsUse of HOME Funds

Eligible uses of CHDO set-aside funds:Eligible uses of CHDO set-aside funds:

Develop affordable housing for renters or homebuyers through Develop affordable housing for renters or homebuyers through rehabilitation or new constructionrehabilitation or new construction

Ineligible uses of set-aside funds:Ineligible uses of set-aside funds:

Provision of tenant-based rental assistanceProvision of tenant-based rental assistance Rehabilitation for owner-occupantsRehabilitation for owner-occupants Provision of downpayment/closing costs to homebuyers unless Provision of downpayment/closing costs to homebuyers unless

CHDO developed unitCHDO developed unit Any project where CHDO role does not meet own, develop or Any project where CHDO role does not meet own, develop or

sponsor definitionsponsor definition

Extra Benefits as a CHDOExtra Benefits as a CHDO

At least 15% of HOME allocation set-aside for At least 15% of HOME allocation set-aside for CHDOsCHDOs Up to 10% of the CHDO set-aside may be provided for Up to 10% of the CHDO set-aside may be provided for

site control or predevelopment loanssite control or predevelopment loans

Optional: Up to 5% of HOME allocation for Optional: Up to 5% of HOME allocation for CHDO operating expenses (salaries, rent, admin, CHDO operating expenses (salaries, rent, admin, etc.)etc.)

Technical AssistanceTechnical Assistance

CHDO Qualifying CriteriaCHDO Qualifying Criteria

CHDOs must meet requirements pertaining CHDOs must meet requirements pertaining to their:to their:

Legal statusLegal status Organizational structureOrganizational structure Capacity and experienceCapacity and experience

Legal Status to Be a CHDOLegal Status to Be a CHDO

To be eligible, an organization must:To be eligible, an organization must:

Be organized under state and local lawBe organized under state and local law Have as its purpose to provide decent and Have as its purpose to provide decent and

affordable housing to low-income personsaffordable housing to low-income persons Provide no individual benefitProvide no individual benefit Have a clearly defined service areaHave a clearly defined service area Have IRS tax exempt statusHave IRS tax exempt status

Organizational StructureOrganizational Structure

CHDO board must have:CHDO board must have: At least 1/3 of board must represent the low-income At least 1/3 of board must represent the low-income

communitycommunity No more than 1/3 of board may represent the public No more than 1/3 of board may represent the public

sector (elected/appointed officials, and employees)sector (elected/appointed officials, and employees)

Low-income representatives are:Low-income representatives are: Residents of low-income neighborhoodsResidents of low-income neighborhoods Low-income personsLow-income persons Elected representatives of low-income neighborhood Elected representatives of low-income neighborhood

organizationsorganizations

Capacity and ExperienceCapacity and Experience

Organization must:Organization must:

Have at least ONE YEAR of experience Have at least ONE YEAR of experience serving the communityserving the community

Demonstrate staff capacity to carry out planned Demonstrate staff capacity to carry out planned activities (can be contract with consultant who activities (can be contract with consultant who has experience and will train CHDO staff to has experience and will train CHDO staff to carry out future projects independently)carry out future projects independently)

Have financial accountability standardsHave financial accountability standards

http://www.hud.gov/offices/cpd/affordablehousing/programs/home/http://www.hud.gov/offices/cpd/affordablehousing/programs/home/topical/chdo.cfmtopical/chdo.cfm