[Federal Register Volume 61, Number 91 (Thursday, May 9, 1996)]
[Notices]
[Pages 21338-21352]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-11509]
[[Page 21337]]
_______________________________________________________________________
Part V
Department of Housing and Urban Development
_______________________________________________________________________
Community Development Block Grant Program for Indian Tribes and Alaska
Native Villages, Fiscal Year 1996; Funding Availability; Notice
Federal Register / Vol. 61, No. 91 / Thursday, May 9, 1996 /
Notices
[[Page 21338]]
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
[Docket No. FR-4017-N-01]
Office of the Assistant Secretary for Public and Indian Housing;
Community Development Block Grant Program for Indian Tribes and Alaska
Native Villages; Fiscal Year 1996; Notice of Funding Availability
AGENCY: Office of the Assistant Secretary for Public and Indian
Housing, HUD.
ACTION: Notice of Funding Availability for Fiscal Year 1996.
-----------------------------------------------------------------------
SUMMARY: This Notice of Funding Availability (NOFA) announces HUD's
funding for the Community Development Block Grant Program for Indian
Tribes and Alaska Native Villages (hereafter referred to as the ICDBG
Program) for Fiscal Year 1996. In the body of this document is
information concerning the following:
(a) The purpose of the NOFA and information regarding eligibility
and available amounts;
(b) A list of steps involved and a checklist of the exhibits
required in the application process, including where and how to apply
and what to submit;
(c) A description of application processing, including the
selection process and the selection criteria.
DATE: Applications must be received by the appropriate Area ONAP of the
HUD Office of Native American Programs (ONAP) no later than 3:00 p.m.
July 23, 1996.
Application materials will be available from each Area ONAP.
General program questions may be directed to the Area ONAP serving your
area or by contacting Robert Barth, Office of Native American Programs,
Office of Public and Indian Housing, Department of Housing and Urban
Development, P.O. Box 36003, 450 Golden Gate Ave. San Francisco, CA
94102. Telephone (415) 436-8121. The TTY number is (415) 436-6594.
(These are not toll-free numbers.)
SUPPLEMENTARY INFORMATION:
Paperwork Requirements
The information collection requirements contained in this Notice
have been approved by the Office of Management and Budget in accordance
with the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520), and
assigned OMB control number 2577-0191. An agency may not conduct or
sponsor, and a person is not required to respond to, a collection of
information unless the collection displays a valid control number.
Table of Contents
I. Purpose and Substantive Description
(a) Authority
(b) HUD Reform Act--Documentation, Access, and Disclosure
(c) Funding
(d) Eligible Activities
(e) Applicant Eligibility
II. Application Process and Submission Requirements
(a) Application Process
(b) Application Submission Requirements and Checklist
III. Application Screening and Review Process
(a) Screening for Acceptance
(b) Application Review Process
(c) Pre-award Requirements
IV. General Threshold Requirements and Definitions
(a) General Threshold Requirements
1. Applicant-Specific Thresholds--Capacity and Performance
A. Capacity
B. Performance
2. Community Development Appropriateness
(b) Definitions
V. Project Specific Thresholds and Selection Criteria
(a) Summary of Selection Criteria and Point Awards
(b) Project Specific Thresholds and Selection Criteria
1. HOUSING Category Projects
A. Threshold for All Housing Category Projects
B. Rehabilitation
(1) Thresholds
(2) Grant Limits
(3) Selection Criteria
C. Land to Support New Housing
(1) Thresholds
(2) Selection Criteria
D. New Housing Construction
(1) Thresholds
(2) Selection Criteria
2. COMMUNITY FACILITIES
A. Infrastructure
(1) Selection Criteria
B. Buildings
(1) Thresholds
(2) Selection Criteria
3. ECONOMIC DEVELOPMENT
A. Thresholds
B. Selection Criteria
VI. Procedural Error and Appeals
VII. Other Matters
(a) Environmental Statement
(b) Recipient Compliance with Environmental Requirements
(c) Federalism Executive Order
(d) Family Executive Order
(e) Prohibition of Advance Disclosure of Funding Decisions. (f)
Economic Opportunities for Low and Very Low Income Persons
I. Purpose and Substantive Description
(a) Authority. Title I, Housing and Community Development Act of
1974, as amended (42 U.S.C. 5301 et seq.); sec. 7(d) of the Department
of Housing and Urban Development Act (42 U.S.C. 3535(d)); 24 CFR Part
953.
(b) HUD Reform Act--Documentation, Access, and Disclosure
1. Documentation and public access requirements. HUD will ensure
that documentation and other information regarding each application
submitted pursuant to this NOFA are sufficient to indicate the basis
upon which assistance was provided or denied. This material, including
any letters of support, will be made available for public inspection
for a five-year period beginning not less than 30 days after the award
of the assistance. Material will be made available in accordance with
the Freedom of Information Act (5 U.S.C. 552) and HUD's implementing
regulations at 24 CFR part 15. In addition, HUD will include the
recipients of assistance pursuant to this NOFA in its quarterly Federal
Register notice of all recipients of HUD assistance awarded on a
competitive basis. (See 24 CFR 12.14(a) and 12.16(b), and the notice
published in the Federal Register on January 16, 1992 (57 FR 1942), for
further information on these documentation and public access
requirements.)
2. Disclosures. HUD will make available to the public for five
years all applicant disclosure reports (HUD Form 2880) submitted in
connection with this NOFA. Update reports (also Form 2880) will be made
available along with the applicant disclosure reports, but in no case
for a period less than three years. All reports--both applicant
disclosures and updates--will be made available in accordance with the
Freedom of Information Act (5 U.S.C. 552) and HUD's implementing
regulations at 24 CFR part 15. (See 24 CFR part 12 subpart C, and the
notice published in the Federal Register on January 16, 1992 [57 FR
1942], for further information on these disclosure requirements.)
(c) Funding. Amendments to Title I of the Housing and Community
Development Act of 1974 have required that the allocation for Indian
Tribes be awarded on a competitive basis in accordance with selection
criteria contained in a regulation promulgated by the Secretary after
notice and public comment. All grant funds awarded in accordance with
this NOFA are subject to the requirements of 24 CFR part 953.
This notice announces the availability of $50,000,000.
1. Allocations. The requirements for allocating funds to Area ONAPs
responsible for program administration are found at 24 CFR 953.101.
Following these requirements, the allocations for FY 1996 are as
follows:
Eastern/Woodlands....................................... $3,876,700
[[Page 21339]]
Southern Plains......................................... 9,174,300
Northern Plains......................................... 7,738,100
Southwest............................................... 21,111,100
Northwest............................................... 2,956,500
Alaska.................................................. 4,143,300
---------------
Total............................................... 49,000,000
As indicated in Section I(b)3 below, $1,000,000 will be retained to
fund imminent threat grants.
2. Grant Ceilings. The authority to establish grant ceilings is
found at 24 CFR 953.100(b)(1). Grant ceilings are established for FY
1996 funding at the following levels:
------------------------------------------------------------------------
Area ONAPs Population Ceiling
------------------------------------------------------------------------
Eastern/Woodlands................ All $300,000
Southern Plains.................. All 750,000
Northern Plains.................. All 800,000
Southwest........................ 50,001+ 5,000,000
10,501-50,000 2,500,000
9,001-10,500 2,000,000
7,501-9,000 1,500,000
6,001-7,500 1,000,000
4,501-6,000 750,000
3,001-4,500 650,000
1,501-3,000 550,000
1-1,500 450,000
Northwest........................ All 320,000
Alaska........................... All 500,000
------------------------------------------------------------------------
3. Imminent Threats. The criteria for grants to alleviate or remove
imminent threats to health or safety that require an immediate solution
are described at 24 CFR part 953, subpart E. In accordance with the
provisions of that subpart, $1,000,000 will be retained to meet the
funding needs of imminent threat applications submitted to any of the
Area ONAPs. The grant ceiling for imminent threat applications for FY
1996 is $350,000. This ceiling is established pursuant to the
provisions of Sec. 953.400(c).
If, in response to a request for assistance, an Area ONAP issues a
letter to proceed under the authority of Sec. 953.401(a), an
application must be submitted to and approved by the Area ONAP before a
grant agreement may be executed. This application must consist of the
following components:
--Standard Form 424--Application for Federal Assistance
--Brief description of the proposed project
--Form HUD-4123--Cost Summary
--Form HUD-4125--Implementation Schedule
--Form HUD-2880--Applicant/Recipient Disclosure/Update Report
--Form HUD-4126--Certifications
--Drug-free workplace certification (24 CFR part 24, Appendix C).
(d) Eligible Activities. Activities that are eligible for ICDBG
funds are identified at 24 CFR part 953 subpart C.
(e) Applicant Eligibility. To apply for funding in a given fiscal
year, an applicant must be eligible as an Indian Tribe or Alaska Native
Village (or as a tribal organization) by the application submission
date.
Tribal organizations are permitted to submit applications under 24
CFR 953.5(b) on behalf of eligible tribes or villages when one or more
eligible tribe(s) or village(s) authorize the organization to do so
under concurring resolutions. As is stated in this regulatory section,
the tribal organization must itself be eligible under Title I of the
Indian Self-Determination and Education Assistance Act.
If a tribe or tribal organization claims that it is a successor to
an eligible entity, the Area ONAP must review the documentation to
determine whether it is in fact the successor entity.
Due to the unique structure of tribal entities eligible to submit
ICDBG applications in Alaska, and as only one ICDBG application may be
submitted for each area within the jurisdiction of an entity eligible
under 24 CFR 953.5, a Tribal Organization which submits an application
for activities in the jurisdiction of one or more eligible tribes or
villages must include a concurring resolution from each such tribe or
village authorizing the submittal of the application. Each such
resolution must also indicate that the tribe or village does not itself
intend to submit an ICDBG application for that funding round. The
hierarchy for funding priority continues to be the IRA Council, the
Traditional Village Council, the Village Corporation and the Regional
Corporation.
On February 16, 1995, the Bureau of Indian Affairs (BIA) published
a Federal Register Notice entitled ``Indian Entities Recognized and
Eligible to Receive Services From the United States Bureau of Indian
Affairs.'' This Notice provides a listing of Indian Tribal Entities in
Alaska found to be Indian Tribes as the term is defined and used in 25
CFR 83. Additionally, pursuant to Title I of the Indian Self
Determination and Education Assistance Act, ANCSA Village Corporations
and Regional Corporations are also considered tribes and therefore
eligible applicants for the ICDBG program.
Any questions regarding eligibility determinations and related
documentation requirements for entities in Alaska should be referred to
the Alaska Area ONAP prior to the deadline for submitting an
application. (See 24 CFR 953.5 for a complete description of eligible
applicants.)
II. Application Process and Submission Requirements
(a) Application Process
1. An application package may be obtained from the Area ONAP in the
following geographic locations:
Eastern/Woodlands Office of Native American Programs, Community
Development and Tribal Relations (CD & TR) Staff, 77 West Jackson
Blvd., Chicago, Illinois 60604; Telephone: (312) 886-6488 (all States
east of the Mississippi River, plus Iowa and Minnesota)
Southern Plains Office of Native American Programs, CD & TR Staff,
Suite 400, 500 W. Main Street, Oklahoma City, OK 73102-3202; Telephone:
(405) 553-7525. (Louisiana, Kansas, Oklahoma, and Texas, except West
Texas)
Northern Plains Office of Native American Programs, CD & TR Staff,
First Interstate Tower North, 833 17th Street, Denver, CO 80202-3607;
Telephone: (303) 672-5457 (Colorado, Montana, Nebraska, North Dakota,
South Dakota, Utah and Wyoming)
Southwest Office of Native American Programs, CD & TR Staff, Two
Arizona Center, Suite 1650, 400 N. Fifth Street, Phoenix, Arizona
85004-2361; Telephone: (602) 379-4197 (Arizona and Southern California)
Southwest Office of Native American Programs, CD & TR Staff, San
Francisco Team Philip Burton Federal Bldg. and U.S. Courthouse, 450
Golden Gate Ave., P.O. Box 36003, San Francisco, CA 94102-3448;
Telephone: (415) 436-8121 (Northern California and Nevada)
Southwest Office of Native American Programs, CD & TR Specialist,
Albuquerque Plaza, 201 3rd Street N.W., Suite 1830, Albuquerque, NM
87102-3368; Telephone: (505) 766-1372 (New Mexico and West Texas)
Northwest Office of Native American Programs, CD & TR Staff, Federal
Office Building, 909 First Avenue, Suite 200, Seattle, WA 98104-1000;
Telephone: (206) 220-5271 (Idaho, Oregon, Washington)
Alaska Office of Native American Programs, CD & TR Staff, 949 E. 36th
Avenue, Suite 401, Anchorage, AK 99508-4135; Telephone: (907) 271-4603
(Alaska)
2. Completed applications must be submitted to the appropriate Area
ONAP, listed above, from which application information and packages
were obtained. The TTY number is (202)
[[Page 21340]]
708-9300. (This is not a toll-free number.)
3. Applications must be received by the appropriate Area ONAP no
later than 3:00 P.M. on the deadline date, July 23, 1996.
(b) Application Submission Requirements and Checklist
1. General. An applicant shall submit only one application. The
ICDBG grant amount requested shall not total more than the grant
ceiling. An application may include an unlimited number of eligible
projects, e.g., housing or public facilities. Each project within an
application will be rated separately.
2. Demographic data. Applicants may submit data that are
unpublished and not generally available in order to meet the
requirements of this section. The applicant must certify that:
A. Generally available, published data are substantially inaccurate
or incomplete;
B. Data provided have been collected systematically and are
statistically reliable;
C. Data are, to the greatest extent feasible, independently
verifiable; and
D. Data differentiate between reservation and BIA service area
populations, when applicable.
3. Publication of community development statement. Applicants shall
prepare and publish or post the community development statement portion
of their application according to the citizen participation
requirements of Sec. 953.604.
4. Application Submission. The application shall include:
A. Standard Form 424--Application for Federal Assistance;
B. Community Development Statement which includes:
(1) Components that address the relevant selection criteria;
(2) A brief description or an updated description of community
development needs;
(3) A brief description of projects proposed to address needs,
including scope, magnitude, and method of implementing the project.
(4) A schedule for implementing the project (form HUD-4125
Implementation Schedule);
(5) Cost information for each separate project, including specific
activity costs, administration, planning, and technical assistance,
total HUD share (form HUD-4123 Cost Summary);
C. Certifications--form HUD 4126;
D. Drug-free Workplace Certification (24 CFR part 24, Appendix C);
E. Applicant/Recipient Disclosure/Update Report--form HUD 2880, as
required under subpart C of 24 CFR part 12, Accountability in the
Provision of HUD Assistance;
F. A map showing project location, if appropriate;
G. If the proposed project will result in displacement or temporary
relocation, a statement that identifies:
(1) The number of persons (families, individuals, businesses and
nonprofit organizations) occupying the property on the date of the
submission of the application (or date of initial site control, if
later);
(2) The number to be displaced or temporarily relocated;
(3) The estimated cost of relocation payments and other services;
(4) The source of funds for relocation; and,
(5) The organization that will carry out the relocation activities;
H. If applicable, evidence of the disclosure required by 24 CFR
953.606(e).
III. Application Screening and Review Process
(a) Screening for Acceptance. Each Area ONAP will screen
applications for single purpose grants. Applications failing this
screening shall be rejected and returned to the applicants unrated.
Area ONAPs will accept applications if all the criteria listed below as
items 1. through 6. are met:
1. The application is received by the appropriate Area ONAP no
later than 3:00 P.M. on the deadline date;
2. The applicant is eligible;
3. The proposed activities are eligible;
4. The application contains substantially all the components
specified in Section II(b)(4) of this notice;
5. At least 70% of the grant funds are to be used for activities
that benefit low and moderate income persons, in accordance with the
requirements of Sec. 953.201(a); and,
6. The application is for an amount which does not exceed the grant
ceilings that are established by the NOFA.
(b) Application Review Process.
1. Threshold review. The Area ONAP will review each application
that passes the screening process to ensure that each applicant and
each proposed project meets the applicable threshold requirements set
forth in 24 CFR 953.302, as implemented by this NOFA. If an applicant
fails to meet any of the applicant-specific thresholds, its application
cannot be accepted for rating and ranking. Project(s) that do not meet
the community development appropriateness or applicable project-
specific thresholds will not be considered for funding.
2. All projects that meet the acceptance criteria and threshold
requirements will be reviewed and rated by an Area ONAP rating team of
at least three voting members. The Area ONAP will examine each project
to determine in which one of the rating categories set forth in 24 CFR
953.305 the project most appropriately belongs. The project will be
rated on the basis of the criteria identified in the rating category
component to which the project has been assigned. The total points for
a rating component are 100, which is the maximum any project can
receive.
3. Public service projects. Due to the statutory 15 percent cap on
public services activities, applicants may not receive single purpose
grants solely to fund public services activities. However, any
application may contain a public services component for up to 15
percent of the total grant. This component may be unrelated to the
other project(s) included in the application. If an application does
not receive full funding, the public services allocation will be
proportionately reduced to comprise no more than 15 percent of the
total grant award.
4. Corrections to deficient applications and supplemental
information. The Area ONAP will not accept unsolicited information
regarding the application after the application deadline has passed.
The Area ONAP will notify applicants in writing of technical
deficiencies in applications and permit them to be corrected. A
technical deficiency is an error or oversight which, if corrected,
would not alter, in either a positive or negative fashion, the review
and rating of the application. Examples of technical deficiencies would
be a failure to submit proper certifications or failure to submit an
application containing an original signature by an authorized official.
The Area ONAP also may, at its discretion, request supplemental
information to resolve inconsistencies or ambiguities in the
application or information that may help clarify an application that,
in the Area ONAP's view, contains information that is inconsistent with
known facts or data.
Applicants will have 14 calendar days from the date of HUD's
correspondence to reply and correct the technical deficiency or provide
the requested supplemental information. If the technical deficiency is
not corrected within this time period, the Area ONAP will reject the
application as incomplete. If the supplemental information is not
provided in this time period and, as a consequence, the Area ONAP
determines that the applicant has failed to establish compliance with
the requirements of 24 CFR 953, the application will be returned,
unrated.
[[Page 21341]]
No information submitted after the application due date can enhance
a project's rating, and a new project may not be substituted for one
included in the application.
5. Final ranking. All projects will be ranked against each other
according to the point totals they receive, regardless of the rating
category or component under which the points were awarded. Projects
will be selected for funding based on this final ranking, to the extent
that funds are available. Individual grant amounts will be determined
in a manner consistent with the considerations set forth in 24 CFR
953.100(b)(2).
If the Area ONAP determines that an insufficient amount of money is
available to adequately fund a project, it may decline to fund that
project and fund the next highest ranking project or projects for which
adequate funds are available. The Area ONAP may select, in rank order,
additional projects for funding if one of the higher ranking projects
is not funded, or if additional funds become available.
6. Tiebreakers. When rating results in a tie among projects and
insufficient resources remain to fund all tied projects, Area ONAPs
shall approve projects that can be fully funded over those that cannot
be fully funded. When that does not resolve the tie, the following
factors will be used in the order listed to resolve the tie:
A. Eastern/Woodlands Office
(1) The applicant with the fewest active grants.
(2) The applicant that has not received an ICDBG grant over the
longest period of time.
(3) The project that would benefit the highest percentage of low
and moderate income persons.
B. Southern Plains Office
(1) The applicant that has not received an ICDBG grant over the
longest period of time over the last 8 years.
(2) The applicant with the fewest active grants.
(3) The project that would benefit the highest percentage of low
and moderate income persons.
C. Northern Plains and Southwest Offices
(1) The applicant that has not received an ICDBG grant over the
longest period of time.
(2) The applicant with the fewest active grants.
(3) The project that would benefit the highest percentage of low
and moderate income persons.
D. Northwest Office
(1) The applicant that has not received an ICDBG grant over the
longest period of time.
(2) The applicant that has received the fewest ICDBG dollars since
the inception of the program.
(3) The project that would benefit the highest percentage of low
and moderate income persons.
E. Alaska Office
(1) The applicant that has not received an ICDBG grant over the
longest period of time.
(2) The project that would benefit the highest percentage of low
and moderate income persons.
(3) The project that would benefit the most low and moderate income
persons.
(c) Pre-award requirements.
1. Successful applicants may be required to provide supporting
documentation concerning the management, maintenance, operation, or
financing of proposed projects before a grant agreement can be
executed. Applicants will normally be given no less than thirty (30)
calendar days to respond to such requirements. In the event that no
response or an insufficient response is made within the prescribed time
period, the Area ONAP may determine that the applicant has not met the
requirements and the grant offer may be withdrawn. The Area ONAPs shall
require supporting documentation in those instances where:
A. Specific questions remain concerning the scope, magnitude,
timing, or method of implementing the project; or
B. The applicant has not provided information verifying the
commitment of other resources required to complete, operate, or
maintain the proposed project.
2. New projects may not be substituted for those originally
proposed in the application.
3. If the required conditions are not met within the prescribed
time, HUD may unilaterally rescind the grant award.
4. Grant amounts allocated for applicants unable to meet pre-award
requirements will be awarded in accordance with Part V. of this NOFA.
IV. General Threshold Requirements and Definitions
(a) General Thresholds. Two types of general thresholds are set
forth in 24 CFR 953.301(a): those that relate to applicants, and those
that address the overall community development appropriateness of the
project(s) included in the application. Project-specific thresholds
will be addressed within the pertinent project selection criteria
categories in section V(b) below.
Applicant thresholds focus on the administrative capacity of the
applicant to undertake the proposed project, on its past performance in
the ICDBG program, and in its provision of housing assistance to low
and moderate income tribal members. In order to rate and rank a project
contained in an application that has passed the screening tests
outlined in Section III of this NOFA, Area ONAPs must determine that
the proposed project meets the community development appropriateness
thresholds, i.e., the project has costs that are reasonable; the
project is appropriate for the intended use; and the project is usable
or achievable in a timely manner, generally within two years of grant
award.
1. Applicant-Specific Thresholds--Capacity and Performance
A. Capacity. The Area ONAP will assume, absent evidence to the
contrary, that the applicant possesses, or can obtain the managerial,
technical or administrative capability necessary to carry out the
proposed project. The application should address who will administer
the project and how the applicant plans to handle the technical aspects
of executing the project. If the Area ONAP determines, based on
substantial evidence, that the applicant does not have or cannot obtain
the capacity to undertake the proposed project, the application will
not receive further consideration.
B. Performance.
(1) Community development. If an applicant has previously
participated in the ICDBG Program, the Area ONAP shall determine
whether the applicant has performed adequately in grant administration
and management. The applicant is presumed to be performing adequately
unless the Area ONAP makes a performance determination to the contrary
during periodic evaluations. Where an applicant was found to be
performing inadequately, the Area ONAP shall determine whether the
applicant has corrected the deficiency or is following a schedule to
correct performance to which the applicant and the Area ONAP have
agreed. In cases of previously documented deficient performance, the
Area ONAP must determine that the applicant has taken appropriate
corrective action to improve its performance prior to the application
due date. The Area ONAP will inform in writing any potential applicant
which has been determined not to meet this performance threshold no
later than 30
[[Page 21342]]
days prior to the application due date. If the performance threshold is
not met as of the application submission deadline, an application will
not be accepted for rating and ranking.
(2) Housing assistance. The applicant is presumed not to have taken
actions to impede the provision of housing assistance for low and
moderate income members of the tribe or village. Any action taken by
the applicant to prevent or obstruct the provision or operation of
assisted housing for low and moderate income persons shall be evaluated
in terms of whether it constitutes inadequate performance by the
applicant. If an applicant has established or joined an Indian Housing
Authority (IHA), and this IHA has obtained housing assistance from HUD,
the applicant's compliance with the obligations and responsibilities to
the IHA set forth in the tribal ordinance which was the basis for the
establishment or joining of the IHA will be a performance
consideration.
An applicant will not be held accountable for the poor performance
of its IHA unless this inadequate performance is found to be a direct
result of the applicant's action or inaction. If this is true, the
application will be removed from further consideration. Applicants
which are members of ``umbrella'' IHAs will be judged only on their
individual performance and will not be held accountable for the poor
performance of other tribes that are members of the IHA.
If an applicant has received ICDBG funds for the provision of new
housing through a subrecipient, the Area ONAP will consider the
following in making its determination regarding housing assistance
performance:
a. Whether the proposed units were constructed;
b. Whether housing assistance was provided to the beneficiaries
identified in the funded application, and if not, why not;
c. Whether the applicant followed the provisions of its housing
plan and procedures; and,
d. Whether there were sustained complaints from tribal members
regarding provision and/or distribution of ICDBG housing assistance.
The Area ONAP will inform in writing any potential applicant which
has been determined not to meet the housing assistance performance
threshold no later than 30 days prior to the application deadline.
(3) Audits. This threshold requires the applicant to meet the
following performance criteria:
a. The applicant cannot have an outstanding ICDBG obligation to HUD
or a ICDBG program that is in arrears, or it must have agreed to a
repayment schedule. An applicant that has an outstanding ICDBG
obligation that is in arrears, or one that has not agreed to a
repayment schedule, will be disqualified from the current competition
and from subsequent competitions until the obligations are current. If
a grantee that was current at the time of application submission
becomes delinquent during the review period, the application may be
rejected.
b. The applicant cannot have an overdue or unsatisfactory response
to an audit finding. If there is an overdue or unsatisfactory response
to an audit finding, the applicant will be disqualified from current
and subsequent competition until the applicant has taken final action
necessary to close the audit finding. The Area ONAP administrator may
provide exceptions to this disqualification in cases where the
applicant has made a good faith effort to clear the audit finding. An
exception may be granted when funds are due HUD or an ICDBG program as
a result of a finding only when a satisfactory arrangement for
repayment of the debt has been made and payments are current.
2. Community Development Appropriateness. The following criteria
must be met by each project:
A. Costs are reasonable. The project must be described in
sufficient detail so that the Area ONAP can determine:
(1) That costs are reasonable; and,
(2) That the funds requested from the ICDBG program and all other
sources are adequate to complete the proposed activity(ies) described
in the application;
B. The project is appropriate for the intended use; and,
C. The project is usable or achievable in a timely manner,
generally within a two year period. The timetable for project
implementation and completion must be set forth on the form HUD 4125--
Implementation Schedule included in the application. A period of more
than two years is acceptable in certain circumstances, if it is
established that such circumstances are beyond the applicant's control.
(b) General Definitions.
Adopt. To approve by formal tribal resolution.
Assure. To comply with a specific NOFA requirement. The applicant
should state its compliance or its intent to comply in its application.
Document. To supply supporting written information and/or data in
the application which satisfies the NOFA requirement.
Leverage. Resources the grantee will use in conjunction with ICDBG
funds to achieve the objectives of the project. Resources include, but
are not limited to: tribal trust funds, loans from individuals or
organizations, state or Federal loans or guarantees, other grants, as
well as noncash contributions and donated services.
Documentation requirements for point award. For the applicant's own
resources, a council resolution which identifies and commits the
resources must be included in the application. For resources to be
provided by another entity, written verification of an application or
request for the leveraged resources must be included in the
application. In addition, for grants or other contributed resources
from a public agency, foundation, or other private party, a written
commitment which may be contingent on approval of the ICDBG award must
be received by the Area ONAP no later than 30 days after the
application deadline. This commitment must specifically identify or
indicate: the dollar amount committed (or dollar value of the noncash
resource and the basis for the valuation); that the resources are
currently available or will be available when necessary for successful
project implementation; and, the project.
If the nature of the funding cycle of the contributing entity
precludes such an entity from making a firm funding commitment in this
timeframe, such resources will be considered in the award of points if
the entity provides a written statement indicating that the application
or request for assistance has been received from the ICDBG applicant
and stating the date by which its funding determination will be made;
this date cannot be more than six months from the anticipated date of
grant approval notification by HUD. (If the proposed project rates high
enough for funding consideration, a special condition will be
established in the grant agreement for the project.)
This condition will indicate that if a firm funding commitment for
the leveraged resources is not provided within six months of the date
of grant approval, the grant funds approved will be recaptured by HUD
and will be used in accordance with the requirements of Sec. 953.102.
This statement must be received by the Area ONAP no later than 30 days
after the application deadline. If the commitment or statement is not
received in the required timeframe or if the required information is
not included, points will not be awarded for the proposed contribution.
[[Page 21343]]
If the proposed project still rates high enough to be approved, a
pre-award condition will be established which will require the
applicant to provide evidence of firmly committed resources to cover
the entire non-ICDBG project cost. If this condition is not met, the
grant will not be awarded.
In addition to the above requirements for point award, special
documentation must be included in the application for certain
contributions. The contribution of goods and services will be
considered for point award if the applicable requirements listed above
are met; if the items or services are demonstrated and determined
necessary to the actual development of the project; and comparable cost
and/or time estimates are submitted which support the donation.
To be considered for point award land to be contributed will only
be considered when its use and area are integral to the development of
the project. In addition, the value of the land must be verified by any
of the following means or methods and this documentation must be
included in the application:
--A site specific appraisal no more than two years old;
--An appraisal of a near-by comparable site also no more than two years
old;
--A reasonable extrapolation of land value based on current area
realtors value guides.
Project Cost. The total cost to implement the project. Project cost
includes both ICDBG and non ICDBG funds and resources.
Section 8 standards. Housing quality standards contained in the
Section 8 Tenant-Based Assistance: Unified Rule for Tenant-Based
Assistance Under the Section 8 Rental Certificate Program and the
Section 8 Rental Voucher Program (24 CFR 982.401).
Standard Housing/Standard Condition. Housing which meets the
housing quality standards (HQS) adopted by the applicant. The adopted
standards must provide for the following:
--That the house is safe, in a physically sound condition with all
systems performing their intended design functions;
--A livable home environment;
--An energy efficient building and systems which incorporate energy
conservation measures;
--Adequate space and privacy for all intended household members.
The HQS adopted by the applicant must be at least as stringent as
the Section 8 standards unless the Area ONAP approves less stringent
standards based on a determination that local conditions make the use
of Section 8 standards infeasible. Applicants may submit their request
for the approval of standards less stringent than Section 8 standards
prior to the application due date. If the request is submitted with the
application, applicants should not assume automatic approval by the
Area ONAP.
Tribe. Indian Tribe, band, group or nation, including Alaska
Indians, Aleuts, Eskimos, Alaska Native Villages, ANCSA Village
Corporations and Regional Corporations.
V. Project Specific Thresholds and Selection Criteria
(a) Summary of Selection System Criteria and Point Awards
------------------------------------------------------------------------
Maximum
points
------------------------------------------------------------------------
1. Housing: ...........
A. Rehabilitation: ...........
(1) Project Need and Design: ...........
a. Percent of funds for standard rehab............... 20
b. Applicant's selection criteria.................... 10
c. Housing survey.................................... 15
(2) Planning and Implementation: ...........
a. Rehabilitation policies: ...........
(i) Rehabilitation standards....................... 5
(ii) Selection criteria............................ 10
(iii) Project implementation policies and
procedures........................................ 10
b. Post rehab maintenance 5
c. Cost estimates 15
d. Cost effectiveness 5
(3) Leveraging 5
------------
Total points....................................... 100
------------
B. Land to Support New Housing: ...........
(1) Project Need....................................... 40
(2) Planning and Implementation: ...........
a. Suitability of the land........................... 20
b. Housing resources................................. 10
c. Supportive services............................... 5
d. Commitment of households.......................... 5
e. Land to trust status.............................. 5
f. Infrastructure commitment......................... 10
g. Land meets need and is reasonably priced.......... 5
Total points....................................... 100
C. New Housing Construction: ...........
1. Project Need and Design: ...........
a. IHA member/assistance............................. 15
b. Housing policies and plan......................... 20
c. Beneficiary identification........................ 10
2. Planning and Implementation:
a. Occupancy standards............................... 10
b. Site acceptability................................ 15
c. Energy conservation design........................ 5
d. Housing survey.................................... 10
[[Page 21344]]
e. Cost effectiveness................................ 5
3. Leveraging.......................................... 10
------------
Total points....................................... 100
------------
2. Community Facilities: ...........
A. Infrastructure: ...........
(1) Project Need and Design: ...........
a. Meets an essential need........................... 20
b. Benefits the neediest............................. 15
c. Provides infrastructure/health and safety......... 25
(2) Planning and Implementation: ...........
a. Maintenance and operation plan.................... 15
b. Appropriate and effective design scale and cost... 15
(3) Leveraging 10
Total points....................................... 100
B. Buildings: ...........
(1) Project Need and Design: ...........
a. Meets an essential need........................... 20
b. Benefits the neediest............................. 10
c. Provides building/health and safety............... 25
d. Multi-use/multi-benefit........................... 5
(2) Planning and Implementation: ...........
a. Maintenance and operation plan.................... 15
b. Appropriate and effective design scale and cost... 15
(3) Leveraging 10
Total points....................................... 100
C. Economic Development: ...........
(1) Organization....................................... 8
(2) Project Success: ...........
a. Market analysis................................... 15
b. Management capacity............................... 15
c. Financial analysis................................ 15
(3) Leveraging......................................... 12
(4) Jobs: ...........
a. ICDBG cost/job.................................... 15
b. Quality of jobs/training.......................... 5
(5) Additional considerations: 15
------------
Total points....................................... 100
------------------------------------------------------------------------
(b) Project Specific Thresholds and Selection Criteria
1. Housing Category Projects
A. Specific threshold for housing category projects.
The applicant shall provide an assurance that households that have
been evicted from HUD assisted housing within the past five years will
not be assisted by the proposed project except in emergency situations.
The Area ONAP Administrator will review each emergency situation
proposed by an applicant on a case-by-case basis to determine whether
an exception is warranted.
B. Rehabilitation
(1) Thresholds
a. All applicants for housing rehabilitation grants shall adopt
rehabilitation standards and rehabilitation policies, prior to
submitting an application. These standards and policies must be
submitted with the application.
b. The applicant shall provide an assurance that:
(i) Any house to be rehabilitated will be the permanent non-
seasonal residence of the occupants; the residents will live in the
unit at least nine months per year.
(ii) Houses designated for eventual replacement will only receive
repairs essential for the health and safety of the occupants.
(iii) Project funds will be used to rehabilitate HUD assisted
houses only when the tenant/homeowner's payments are current or the
tenant/homeowner is current in a repayment agreement that is subject to
approval by the Area ONAP. In emergency situations the Area ONAP
administrator may grant exceptions to this requirement on a case-by-
case basis.
(iv) Houses that have received comprehensive rehabilitation
assistance from any ICDBG or other Federal grant program within the
past 8 years will not be assisted with ICDBG funds to make the same
repairs if the repairs are needed as a result of abuse or neglect.
(2) Grant Limits
Rehabilitation grant limits for each Area ONAP jurisdiction are as
follows:
a. Eastern/Woodlands--$15,000
b. Southern Plains--$20,000
c. Northern Plains--$33,500
d. Southwest--$35,000
e. Northwest--$20,000
f. Alaska--Lesser of $45/sq.ft. or $35,000
(3) Selection Criteria
a. Project Need and Design (45 points)
(i) The percentage of ICDBG funds committed to bring the houses to
be assisted up to a standard condition as defined by the applicant.
Administrative, planning, and technical assistance expenditures are
excluded in computing the percentage of ICDBG funds committed to bring
the houses up to a standard condition. The percentage of ICDBG funds
not used to bring the houses up to a standard condition must
[[Page 21345]]
be used for emergency repairs, demolition of substandard units or
another purpose closely related to the housing rehabilitation project.
Percentage of ICDBG funds committed to bring houses to be assisted
up to a standard condition:
91-100%--20 points
81-90.9%--15 points
80.9 and less--0 points
(ii) The applicant's selection criteria which are included in the
application give first priority to the neediest households.
``Neediest'' is defined as households whose houses are in the greatest
disrepair (but still suitable for rehabilitation treatment) in the
project area, or very low-income households.
Yes--10 points
No--0 points
(iii) Documentation of project need with a housing survey of all of
the houses to be rehabilitated with ICDBG funds. This survey should
include standard housing data on each house surveyed (e.g., age, size,
type, number of rooms, number of habitable rooms, number of bedrooms/
sleeping rooms, type of heating). The survey should indicate the
deficiencies for each house. A definition of ``suitable for
rehabilitation'' must be included. At a minimum, this definition must
not include houses that need only minor repairs, or houses that need
such major repairs that rehabilitation is structurally or financially
infeasible.
The application contains all the required survey data and the
required definition of ``suitable for rehabilitation.'' (15 points)
The application does not contain the required definition of
``suitable for rehabilitation'' and/or all the survey data, but does
contain sufficient data to enable the project to proceed effectively.
(10 points)
The application does not contain survey data or the survey data it
does contain is not sufficient to enable the project to proceed
effectively. (0 points)
b. Planning and Implementation (50 points)
(i) Rehabilitation Policies and Procedures including:
a. Adopted rehabilitation standards. The rehabilitation standards
adopted by the applicant will ensure that after rehabilitation the
houses assisted will be in a standard condition.
Yes--5 points
No--0 points
b. Rehabilitation selection policies and procedures. The
rehabilitation selection policies and procedures contained in the
application include:
--Property selection standards;
--Cost limits;
--Type of financing (e.g., loan or grant);
--Homeowner costs and responsibilities;
--Procedures for selecting households to be assisted; and,
--Income verification procedures.
The application contains all the rehabilitation selection policies
and procedures listed above. (10 points)
The application does not contain all the rehabilitation selection
policies and procedures listed above, but contains sufficient data to
enable the project to proceed effectively or the application contains
all the rehabilitation selection policies and procedures listed above,
but in insufficient detail. (5 points)
The application does not contain the rehabilitation selection
policies and procedures listed above or if it does contain policies and
procedures, they are not sufficient to enable the project to proceed
effectively. (0 points)
c. Project implementation policies and procedures. These policies
and procedures must include a description of the following items:
--The qualifications which will be required of the inspector;
--The inspection procedures to be used;
--The procedures to be used to select the contractor or contractors;
--The manner in which the households to be assisted will be involved in
the rehabilitation process;
--How disputes between the households to be assisted, the contractors
and the applicant will be resolved; and, if applicable,
--The repayment provisions which will be required if sale of the
assisted house occurs prior to 5 years after the rehabilitation work
has been completed.
The application contains all the policies and procedures listed
above, and they will enable the project to be effectively implemented.
(10 points)
The application contains some but not all of the policies and
procedures listed above and these policies and procedures are
sufficient for the project to proceed effectively. (5 points)
The application does not contain the policies and procedures listed
above. (0 points)
(ii) Post rehabilitation maintenance policies that address
counseling and training assisted households on maintenance. The
policies included in the application contain a well-planned counseling
and training program. Training will be provided for assisted
households, and provision is made for households unable to do their own
maintenance (e.g., elderly and persons with disabilities). The policies
include follow-up inspections after rehabilitation is completed to
ensure the house is being maintained. (5 points)
The policies contain a well-planned home maintenance training and
counseling program but fail to adequately address all of the items
listed above. (3 points)
The application does not contain a well-planned home maintenance
training and counseling program. (0 points)
(iii) Quality of cost estimates. Cost estimates have been prepared
by a qualified individual. (Qualifications of the estimator must be
included in the application.) Costs of rehabilitation are documented on
a per house basis and are supported by a work write-up for each house
to be assisted. The work write-ups are based upon making those repairs
necessary to bring the houses to a standard condition in a manner
consistent with adopted construction codes and requirements. The write-
ups must be submitted with the application. If national standards,
e.g., the Uniform Building Code, have been locally adopted as the
construction codes and requirements, they must be referenced. If
locally developed and adopted codes and requirements are used, they
must be submitted. (15 points)
Cost estimates have been prepared for each house to be
rehabilitated to determine the total rehabilitation cost. The cost
estimates are included in the application. Costs to rehabilitate each
house are documented by a deficiency list. (12 points)
Cost estimates have been prepared and are included in the
application but the estimates are based on surveys and not on
individual house deficiency lists. (5 points)
Cost estimates are not included in the application or the basis for
the cost estimates included is inappropriate or not provided. (0
points)
(iv) Cost effectiveness of the rehabilitation program. This is a
measure of how efficiently and effectively funds will be used under the
proposed program. Applicants must demonstrate how the proposed
rehabilitation will bring the houses to be assisted to a standard
condition in an efficient and cost effective manner.
Rehabilitation project is cost effective. (5 points)
Rehabilitation project is not cost effective. (0 points)
c. Leveraging. (5 points)
Points under this component will be awarded in a manner consistent
with the definition of ``Leverage' included in this NOFA and the
following breakdown:
[[Page 21346]]
------------------------------------------------------------------------
Non-ICDBG percentage of project cost Points
------------------------------------------------------------------------
25 and over.................................................. 5
20-24.9...................................................... 4
15-19.9...................................................... 3
10-14.9...................................................... 2
5-9.9...................................................... 1
0-4.9...................................................... 0
------------------------------------------------------------------------
C. Land to Support New Housing
(1) Thresholds
a. The application contains information and documentation which
establishes that there is a reasonable ratio between the number of net
usable acres to be acquired and the number of low and moderate income
households with documented housing needs.
b. Housing assistance needs must be clearly demonstrated and
documented with either a survey that identifies the households to be
served, their size, income levels and the condition of current housing
or an IHA approved waiting list. The survey or waiting list must be
submitted with the application.
(2) Selection Criteria
a. Project Need and Design. (40 Points)
Information included in the application establishes that:
The applicant has no suitable land for the construction of new
housing and the necessary infrastructure and amenities for this
housing. (40 points); or,
The applicant has land suitable for housing construction and needed
infrastructure and amenities, but the land is officially dedicated to
another purpose. (30 points); or,
The applicant will be acquiring land for housing construction and
the construction of needed infrastructure and amenities for both new
and existing housing. (25 points); or,
The applicant will be acquiring land for the construction of
amenities for existing housing. (15 points); or,
The reason for the land acquisition does not meet any of the
criteria listed above. (0 points)
b. Planning and Implementation. (60 points)
(i) Suitability of land to be acquired. A preliminary investigation
has been conducted by a qualified entity independent of the applicant.
Based on this investigation (which must be submitted with the
application), the land appears to meet all applicable requirements:
--Soil conditions appear to be suitable for individual and/or community
septic systems or other acceptable methods for waste water collection
and treatment have been identified.
--The land has adequate:
--Availability of drinking water;
--Access to utilities;
--Vehicular access;
--Drainage;
--The land appears to comply with environmental requirements. Future
development costs are expected to be consistent with other subdivision
development costs in the area (subdivision development costs include
the costs of the land, housing construction, water and sewer,
electrical service, roads, and drainage facilities if required).
Yes--20 points
No--0 points
(ii) Housing resources.
Evidence of a conditional commitment for at least 25 percent of the
housing units to be built on the land proposed for acquisition or
evidence that an approvable application for these units has been
submitted has been included in the application. (10 points)
The evidence required for the award of 10 points has not been
included in the application. (0 points)
(iii) Availability/accessibility of supportive services and
employment opportunities. Documentation is provided in the application
to indicate that upon completion of construction of the housing to be
built on the land to be acquired, fire and police protection will be
available to the site and medical and social services, schools,
shopping, and employment opportunities will be accessible from the site
according to the community's established norms.
Yes--5 points
No--0 points
(iv) Commitment that households will move into the new housing.
Documented commitment from households that they will move into the new
housing to be built on the land to be acquired is included in the
application.
Yes--5 points
No--0 points
(v) Land can be taken into trust and provisions have been made for
taxes and fees. There must be a written assurance from the BIA that the
land will be taken into trust. The applicant must demonstrate the
financial capability and commitment to pay the property taxes and fees
on the land for any period of time during which it anticipates it will
own the property in fee. This commitment must be in the form of a
resolution by the governing body of the applicant which indicates that
the applicant will pay or guarantee that all taxes and fees on the land
will be paid.
Documentation from the BIA that land can be taken into trust and
the required governing body resolution are included in the application.
(5 points)
Either the assurance or the resolution (or both) are missing from
the application or they are inadequate. (0 points)
(vi) A plan or commitment for any infrastructure needed to support
the housing to be built on the land to be acquired. The plan or
commitment must address water, waste water collection and treatment,
electricity, roads, and drainage facilities necessary to support the
housing to be developed.
Financial commitments for all necessary infrastructure have been
included in the application or documentation is included which
demonstrates that all necessary infrastructure is in place. (10 points)
A plan for the provision of all necessary infrastructure is
included in the application but all financial commitments required to
implement the plan have not been submitted. (5 points)
Neither a financial commitment or plan are included in the
application. (0 points)
(vii) The extent to which the site proposed for acquisition meets
the housing needs of the applicant and is reasonably priced. The
application includes documentation which indicates that the applicant
has examined and assessed the appropriateness of alternative sites and
which demonstrates that the site proposed for acquisition best meets
the documented housing needs of tribal households. The application must
include comparable sales data which shows that the cost of the land
proposed for acquisition is reasonable.
Yes--5 points
No--0 points
D. New Housing Construction
The following thresholds and selection criteria apply to new
housing construction to be implemented through a Community-Based
Development Organization (CBDO) as provided for under 24 CFR 570.204.
Please note that all households to be assisted under a new housing
construction project must be of low or moderate income status.
(1) Thresholds
a. New housing construction can only be implemented through a
Community-Based Development Organization (CBDO). Eligible CBDOs are
described in 24 CFR 570.204(c). The applicant must provide an assurance
that it understands this requirement.
b. Documentation which supports the following determinations must
be included in the application:
[[Page 21347]]
--No other housing is available in the immediate reservation area that
is suitable for the households to be assisted;
--No other funding sources can meet the needs of the household(s) to be
served.
--The house occupied by the household to be assisted is not in standard
condition and rehabilitation is not economically feasible, or the
household is currently in an overcrowded house [sharing house with
another household(s)], or the household to be assisted has no current
residence.
c. All applicants for new housing construction projects shall adopt
construction standards and construction policies prior to submitting an
application. Applicants must identify the building code to be used when
constructing the houses and must document that this code has been
adopted. The building code may be a tribal building code or a
nationally recognized model code. If it is a tribal code it must
regulate all of the areas and sub-areas identified in 24 CFR
200.925(b), and it must be reviewed and approved by the Area ONAP. If
the code is recognized nationally, it must be the latest edition of one
of the codes incorporated by reference in 24 CFR 200.925(c).
d. The applicant must provide an assurance that any house to be
constructed will be the permanent non-seasonal residence of the
household to be assisted; this household must live in the house at
least nine months per year.
(2) Selection Criteria
a. Project Need and Design (45 points)
(i) The application includes documentation which establishes that
the applicant either is not served by an Indian Housing Authority(IHA),
or if it is a member of an umbrella IHA, this IHA has not provided
assistance to the applicant in a substantial period of time, or the IHA
serving the applicant has not received HUD Public and Indian Housing
new construction assistance in a substantial period of time due to
limited HUD appropriations. The period of time during which the IHA
serving the applicant has not received funding for inadequate or poor
performance by the applicant does not count towards the period of time
that no assistance has been provided by HUD.
No assistance from IHA for 10 years or longer. (15 points)
No assistance from IHA for 6-9 years, 11 months. (10 points)
No assistance from IHA for 0-5 years, 11 months. (0 points)
(ii) Adopted housing construction policies and plan. The plan must
include a description of the proposed CBDO and its relationship (or
proposed relationship) to the applicant. In addition, the policies and
plan must include:
--A selection system that gives priority to the neediest households.
Neediest shall be defined as households whose current residences are in
the greatest disrepair, or very low-income households, or households
without permanent housing.
--A system effectively addressing long-term maintenance of the
constructed houses.
--Estimated costs and identification of the entity responsible for
paying utilities, fire hazard insurance and other normal maintenance
costs.
--Policies governing ownership of the houses, including the status of
the land.
--Description of a comprehensive plan or approach being implemented by
the tribe to meet the housing needs of its members.
--Policies governing disposition or conversion to non-dwelling uses of
substandard houses that will be vacated when a replacement house is
provided.
The policies and plan include all of the information listed above.
(20 points)
The policies and plan do not include all of the information listed
above, but do include sufficient information to allow the project to
proceed effectively or, all of the information is included, but in
insufficient detail. (10 points)
The information included in the application is not sufficient to
meet the requirements for the award of 10 points. (0 points)
(iii) Beneficiary identification. Households to be assisted are
identified in the application and their income eligibility and
household size are documented. (10 points)
Households to be assisted are not identified or, if identified,
their income eligibility and household size are not documented. (0
points)
b. Planning and Implementation (45 points)
(i) Occupancy Standards. The proposed housing will be designed and
built according to adopted reasonable standards that govern the size of
the housing in relation to the size of the occupying household (minimum
and maximum number of persons allowed for the number of sleeping
rooms); the minimum and maximum square footage allowed for major living
spaces (bedrooms, living room, kitchen and dining room). The standards
must be submitted with the application.
Applicant has adopted reasonable occupancy standards which are
included in the application. (10 points)
Applicant has not adopted reasonable occupancy standards or the
standards were not included in the application. (0 points)
(ii) Site Acceptability.
The applicant (or the proposed beneficiary household) has control
of the land upon which the houses will be built. The application
includes documentation that all housing sites are in trust or
documentation from the BIA that the sites will be taken into trust
within one year of the date of the ICDBG approval notification. If the
sites are not in trust by the date of ICDBG approval notification,
documentation that they are in trust must be provided to the Area ONAP
before ICDBG funds may be obligated for construction.
A preliminary investigation of the site(s) has been conducted by a
qualified entity independent of the applicant. Based on this
investigation (which must be included in the application) the site(s)
appear to meet all applicable requirements:
--Soil conditions appear to be suitable for individual or community
septic systems or other acceptable methods for waste water collection
and treatment have been identified;
--Each site has adequate:
--Availability of drinking water
--Access to utilities
--Vehicular access
--Drainage;
--Each site appears to comply with environmental requirements.
Yes--15 points
No--0 points
(iii) Energy Conservation Design. The application includes
documentation which demonstrates that the proposed houses have been
designed in a manner which will ensure that energy use will be no
greater than that for comparable houses in the same general geographic
area that have been constructed in accordance with applicable state
energy conservation standards for residential construction. Any special
design features, materials, or construction techniques which enhance
energy conservation must be described.
Yes--5 points
No--0 points
(iv) Housing Survey.
The applicant has completed a survey of housing conditions and
housing needs of its tribal members. This survey was completed within
the twelve month period prior to the application submission deadline
(or if an earlier survey, it was updated during this time period). The
survey must be submitted
[[Page 21348]]
with the application. The following descriptive data is included for
each household surveyed.
--Size of the household, inc. age and gender of any children
--Is the household occupying permanent housing or is it homeless?
--Annual household income
--Owner or renter
--Number of habitable rooms and number of sleeping rooms
Physical condition of the house--standard/substandard
If substandard, is it suitable for rehabilitation? A definition of
``suitable for rehabilitation'' must be included.
--Number of distinct households occupying the house/degree of
overcrowding
--If there is a need for a replacement house, what are the housing
preferences of the household, e.g. ownership or rental; location;
manufactured or stick-built
An acceptable survey was submitted. (10 points)
The survey submitted was not acceptable or no survey was submitted.
(0 points)
(v) Cost effectiveness of new housing construction.
This is a measure of how efficiently and effectively funds will be
used under the proposed program. Applicants must demonstrate how the
proposed housing activities will be accomplished in an efficient and
cost effective manner. The applicant has demonstrated that the proposed
activities are cost effective. (5 points)
The applicant has not demonstrated that the proposed activities are
cost effective. (0 points)
c. Leveraging. (10 points)
Points under this component will be awarded in a manner consistent
with the definition of ``Leverage'' included in this NOFA and the
following breakdown:
------------------------------------------------------------------------
Non-ICDBG percentage of project cost Points
------------------------------------------------------------------------
25 and over..................................................... 10
20-24.9......................................................... 8
15-19.9......................................................... 6
10-14.9......................................................... 4
5-9.9........................................................... 2
0-4.9........................................................... 0
------------------------------------------------------------------------
2. Community Facilities
A. Infrastructure
(1) Selection Criteria
a. Project Need and Design. (60 points)
(i) The application includes documentation which demonstrates that
the proposed project meets an essential community development need by
fulfilling a function that is critical to the continued existence or
orderly development of the community.
The proposed project will fulfill a function which is critical to
the continued existence or orderly development of the community. (20
points)
The proposed project will fulfill a function which is not critical
to the continued existence or orderly development of the community. (0
points)
(ii) The proposed project benefits the neediest segment of the
population, as identified below. Applications must include information
which demonstrates that income data was collected in a statistically
reliable and independently verifiable manner and that:
85 percent or more of the beneficiaries are low and moderate
income. (15 points)
Between 75-84.9 percent of the beneficiaries are low and moderate
income. (10 points)
Between 55-74.9 percent of the beneficiaries are low and moderate
income. (5 points)
Less than 55 percent of the beneficiaries are low and moderate
income. (0 points)
(iii) The application includes documentation which demonstrates
that the proposed project will provide infrastructure that does not
currently exist for the area to be served or it will eliminate or
substantially reduce a health or safety threat or problem or it will
replace existing infrastructure that no longer functions adequately to
meet current needs.
The infrastructure does not exist or the existing infrastructure no
longer functions or the existing infrastructure does not contribute to
the elimination of, or causes, a verified health or safety threat or
problem. (25 points)
The existing infrastructure no longer functions adequately to meet
current needs or is unreliable. (20 points)
The proposed project will replace or supplement existing
infrastructure which is adequate for current needs but which will not
meet acknowledged future needs. (12 points)
The proposed project will replace or supplement existing
infrastructure which is adequate to meet current needs and future needs
have not been acknowledged or documented. (0 points)
If the project is intended to address a health or safety threat or
problem, the applicant must provide documentation consisting of a
signed study or letter from a qualified independent authority which
verifies that:
--A threat to health or safety (or a health or safety problem) exists
which has caused or has the potential to cause serious illness, injury,
disease, or death; and,
--The threat or problem can be completely or substantially eliminated
if the proposed project is undertaken.
b. Planning and Implementation (30 points)
(i) A viable plan for maintenance and operation. If the applicant
is to assume responsibility for maintenance and operation of the
proposed facility, the applicant must adopt a maintenance and operation
plan which addresses maintenance, repair and replacement of items not
covered by insurance, and which clearly identifies operating
responsibilities and resources. This plan and the adopting resolution
must be included in the application. The plan must identify a funding
source to ensure that the facility will be properly maintained and
operated. The resolution adopting the plan must identify the total
annual dollar amount the applicant will commit.
If an entity other than the applicant commits to pay for
maintenance and operation, a letter of commitment which identifies the
responsibilities the entity will assume and which documents its
financial ability to assume these responsibilities must be included in
the application; submission of a maintenance and operation plan is not
required. Points will only be awarded if the Area ONAP is able to
determine that the entity is financially able to assume the costs of
maintenance and operation.
An acceptable maintenance and operation plan and adopting
resolution (or letter of commitment) are included in the application.
(15 points)
The plan, resolution or the commitment letter have not been
included in the application or if included they are not acceptable. (0
points)
c. An appropriate and effective design, scale and cost. The
application includes information which demonstrates that the proposed
project is the most appropriate and cost effective approach to address
the identified need. This information demonstrates that the use of
existing facilities and resources, and alternatives, including method
of implementation and cost, have been considered. If only one approach
is feasible (there are no alternatives to the proposed project), the
application must include an explanation.
[[Page 21349]]
The required information is included in the application. (15
points)
The required information is not included in the application or, if
included, it is unacceptable. (0 points)
d. Leveraging. (10 points) Points under this component will be
awarded in a manner consistent with the definition of ``Leverage''
included in this NOFA and the following breakdown:
------------------------------------------------------------------------
Non-ICDBG percentage of project cost Points
------------------------------------------------------------------------
25 and over..................................................... 10
20-24.9......................................................... 8
15-19.9......................................................... 6
10-14.9......................................................... 4
5-9.9........................................................... 2
0-4.9........................................................... 0
------------------------------------------------------------------------
B. Buildings
(1) Threshold. An applicant proposing a facility which would
provide health care services funded by the Indian Health Service (IHS)
must assure that the facility meets all applicable IHS facility
requirements. It is recognized that tribes that are contracting
services from the IHS may establish other facility standards. These
tribes must assure that these standards at least compare to nationally
accepted minimum standards.
(2) Selection Criteria.
a. Project Need and Design. (60 points)
(i) The application includes documentation that the proposed
building meets an essential community development need by providing
space so that a service or function which is critical to the continued
existence or orderly development of the community can be provided.
The proposed building will provide space for a service or function
which is essential to the continued existence or orderly development of
the community. (20 points)
The proposed building will provide space for a service or function
which is not critical to the continued existence or orderly development
of the community. (0 points)
(ii) The proposed project benefits the neediest segment of the
population, as identified below. Applications must include information
which demonstrates that income data was collected in a statistically
reliable and independently verifiable manner and that:
85 percent or more of the beneficiaries are low and moderate
income. (10 points)
Between 75-84.9 percent of the beneficiaries are low and moderate
income. (8 points)
Between 55-74.9 percent of the beneficiaries are low and moderate
income. (5 points)
Less than 55 percent of the beneficiaries are low and moderate
income. (0 points)
(iii) The application includes documentation which demonstrates
that the proposed building will be used to provide services or
functions which are not provided to service area beneficiaries or it
will replace a building which does not meet health or safety standards
which is currently being used to provide the service or function or it
will replace a building which is no longer able to provide the space or
amenities to meet the current need for the services or functions.
The services or functions to be provided in the proposed building
do not exist for the service area population or the building currently
being used does not meet health or safety standards. (25 points)
The building to be replaced by the proposed building is not able to
provide the space or amenities for the services or functions so that
current needs cannot be entirely met. (20 points)
The building to be replaced is able to provide adequate space and
current needs are being met but it cannot provide space for
acknowledged future needs. (10 points)
The proposed building is not necessary since current needs and
acknowledged future needs can be met through the use of existing
facilities. (0 points)
If the proposed building is intended to replace an existing
building which does not meet health or safety standards, the
application must include documentation consisting of a signed letter
from a qualified independent authority which specifically identifies
the standard or standards which are not being met by the existing
building.
(iv) Provides multiple uses or multiple benefits, or has services
available 24 hours a day. The application must show that the proposed
building will house more than one broad category of activity or that
services would be provided out of the building 24 hours a day. A
written commitment for the use of the space must be included in the
application. ``Broad category'' means a single activity or group of
activities which serves a particular group of beneficiaries (e.g.,
senior citizens) or meets a particular need (e.g., literacy). No one
category of activity will occupy more than 75 percent of the available
space for more than 75 percent of the time. Multipurpose buildings do
not automatically meet these criteria, nor do buildings that provide a
variety of activities for one client group.
The proposed building will provide multiple uses or benefits or
will have services available 24 hours/day and a commitment for the use
of the space is included in the application. (5 points)
The proposed building will not provide multiple benefits or
services or will not have services available 24 hours a day or the
application does not include a commitment for the use of the space. (0
points)
b. Planning and Implementation. (30 points)
(i) A viable plan for maintenance and operation. If the applicant
is to assume responsibility for the maintenance and operation of the
proposed building, the applicant must adopt a maintenance and operation
plan which addresses maintenance, repair and replacement of items not
covered by insurance, and which clearly identifies operating
responsibilities and resources. This plan and the adopting resolution
must be included in the application. The plan must identify a funding
source to ensure that the building will be properly maintained and
operated. The resolution adopting the plan must identify the total
annual dollar amount the applicant will commit.
If an entity other than the applicant commits to pay for
maintenance and operation, a letter of commitment which identifies the
responsibilities the entity will assume and which documents its
financial ability to meet these responsibilities must be included in
the application; submission of a maintenance and operation plan is not
required. Points will only be awarded if the Area ONAP is able to
determine that the entity is financially able to assume the costs of
maintenance and operation.
An acceptable maintenance and operation plan and adopting
resolution (or letter of commitment) are included in the application.
(15 points)
The plan, resolution or the commitment letter have not been
included in the application, or if included, they are not acceptable.
(0 points)
(ii) An appropriate and effective design, scale and cost. The
application includes information which demonstrates that the proposed
building is the most appropriate and cost effective approach to address
the identified need(s). This information demonstrates that the use of
existing facilities and resources and alternatives, including method of
implementation and cost, have been considered. If only one approach is
feasible (there are no alternatives to the proposed building),
[[Page 21350]]
the application must include an explanation.
The required information is included in the application. (15
points)
The required information is not included in the application or, if
included, it is unacceptable. (0 points)
c. Leveraging. (10 points)
Points under this component will be awarded based on the definition
of ``Leverage'' included in this NOFA and the following breakdown:
------------------------------------------------------------------------
Non-ICDBG percentage of project cost Points
------------------------------------------------------------------------
25 or more................................................... 10
20-24.9...................................................... 8
15-19.9...................................................... 6
10-14.9...................................................... 4
5-9.9........................................................ 2
0-4.9........................................................ 0
------------------------------------------------------------------------
3. Economic Development
A. Thresholds
(1) Economic development assistance may be provided only when a
financial analysis is done which shows public benefit commensurate with
the assistance to the business can reasonably be expected to result
from the assisted project, and the project has a reasonable chance of
success. The applicant shall demonstrate the need for grant assistance
by providing documentation to support a determination that the
assistance is appropriate to implement an economic development project.
(2) All economic development projects must meet one of the national
objectives. A general claim of cash flow or benefit to the tribe as a
whole does not demonstrate benefit to low and moderate income persons.
B. Selection Criteria
(1) Organization. (8 points)
The application contains information and documentation which
addresses all of the following three elements:
--The applicant (or entity to be assisted) has an established
organization system for operation of a business, (e.g., adopted tribal
ordinances, articles of incorporation, Board of Directors in place,
tribal department).
--Formal provisions exist for separation of government functions from
business operating decisions. An operating plan has been established
and is submitted.
--The Board of Directors consists of persons who have prior business
experience. A staffing plan has been developed and is submitted.
(Maximum: 8 Points)
The application contains all of the first element listed above, and
some of the items in the second and third elements OR, the application
contains all of the elements listed above, but in insufficient detail.
The business should be able to operate effectively. (Moderate: 5
Points)
The application does not meet the criteria for the award of
moderate points. (Unsatisfactory: 0 Points)
(2) Project Success. (45 points)
The project will be rated on the adequacy and quality of the
information included in the application which addresses the following
criteria: ANY PROJECT NOT RECEIVING AT LEAST MODERATE POINTS IN EACH OF
THE FOLLOWING THREE RATING FACTORS WILL NOT BE CONSIDERED FOR FUNDING.
a. Market analysis
A feasibility/market analysis, generally not older than two years,
which identifies the market and demonstrates that the proposed
activities are highly likely to capture a fair share of the market. The
analysis must be submitted with the application. (Maximum: 15 points)
A feasibility/market analysis which identifies the market and
demonstrates that the proposed activities are reasonably likely to
capture a fair share of the market. The analysis must be submitted with
the application. (Moderate: 10 points)
The submission does not meet the criteria for the award of moderate
points. (Unsatisfactory: 0 points)
b. Management capacity.
A management team with qualifying specialized training or
technical/managerial experience in the operation of a similar business
has been identified. Job descriptions of key management positions as
well as resumes showing qualifying specialized technical/managerial
training or experience of the identified management team must be
submitted with the application. (Maximum: 15 points)
A management team with qualifying general business training or
experience will be hired if the grant is approved. Job descriptions of
key management positions must be submitted with the application.
(Moderate: 12 points)
The submission does not meet the criteria for the award of 12
points. (Unsatisfactory: 0 points)
c. Financial Analysis of the Business The financial viability of a
project will be determined by an analysis of financial and other
project related information. For all proposed projects, the following
must be submitted:
(i) A detailed cost summary for the project;
(ii) Evidence of funding sources;
(iii) Five year operating or cash flow financial projections. If
the project involves the expansion of an existing business, financial
statements for the most recent three year period for the business must
also be submitted with the application (financial statements include
the balance sheet, income statement and statement of retained
earnings). For start-up businesses that will not be owned by the
grantee, current financial or net worth statements of principal
business owners or officers must also be submitted with the
application.
The information derived from the analysis will be reviewed and
compared to local or national industry standards to assess
reasonableness of development costs, financial need, profitability, and
risk as factors in determining overall financial viability. In
determining whether a project is financially viable, the Area ONAP will
also consider current and projected market conditions and profitability
measures such as cash flow return on equity, cash flow return on total
assets and the ratio of net profit before taxes to total assets.
Sources of industry standards include Marshall and Swift Publication
Company, Robert Morris Associates, Dun and Bradstreet, the Chamber of
Commerce, etc. Local standards may also be used. If one of these
standards is cited by the applicant, the appropriate data must be
submitted with the application. Based on the analysis:
The project has an excellent chance of achieving financial success.
(Maximum: 15 points)
The project has an average chance of achieving financial success.
(Moderate: 8 points)
The project has a minimal prospect of achieving financial success.
(Unsatisfactory: 0 points)
(3) Leveraging.
Points under this component will be awarded in a manner consistent
with the definition of ``Leverage'' included in this NOFA and the
following breakdown:
------------------------------------------------------------------------
Non-ICDBG percentage of project cost Points
------------------------------------------------------------------------
30% or more..................................................... 12
20-29.9%........................................................ 8
10-19.9%........................................................ 4
Less than 10%................................................... 0
------------------------------------------------------------------------
(4) Permanent Full-Time Equivalent Job Creation and Training. (20
points)
The total number of permanent full-time equivalent jobs expected to
be created and/or retained as a result of the project as well as a
summary of job descriptions. Retained jobs will not be counted unless
clear evidence is
[[Page 21351]]
provided that these jobs would be lost without the project. The number
and kind(s) of jobs expected to be available to low and moderate income
persons must be identified.
a. ICDBG cost per job
$30,000 or less--15 points
$30,001-40,000--12 points
$40,001-45,000--8 points
$45,001+--0 points
b. Quality of jobs and/or training targeted to low and moderate
income persons.
--The jobs offer wages and benefits comparable to area wages and
benefits for similar jobs, provide opportunity for advancement, and
teach a transferable skill; or
--The employer commits to provide training opportunities. A description
of the planned training program must be submitted with the application
Yes--5 points
No--0 points
(5) Additional Considerations. (15 points) A project must meet
three of the following criteria to receive 15 points. (15 points)
--Use, improve or expand members' special skills. Special skills are
those that members have developed through education, training or
traditional cultural experiences.
Yes--5 points
No 0 points
--Provide spin-off benefits beyond the initial economic development
benefits to employees or to the community
Yes--5 points
No--0 points
--Provide special opportunities for residents of Federally-assisted
housing
Yes--5 points
No--0 points
--Provide benefits to other businesses owned by Indians or Alaska
natives
Yes--5 points
No--0 points
--Loan Repayment/Reuse of ICDBG funds. If the business is not tribally
owned, at least 50% of the ICDBG assistance to the business will be
repaid to the grantee within a 10 year period. If the business is
tribally owned, the tribe agrees (by submission of a tribal resolution)
within a 10 year period to use funds equal to 50% of the ICDBG
assistance for eligible activities that meet a national objective.
These funds should come from the profits of the tribally owned business
Yes--5 points
No--0 points
VI. Procedural Error and Appeals
With respect to any claims of procedural error that may be made by
unsuccessful applicants, please note that a procedural error is, by
definition, an error in process. An example is a point calculation
error which would, if corrected, raise the total point award for a
project over the cut-off point for funding. Rating panel judgements
made within the provisions of this NOFA and the program regulations (24
CFR 953) are not subject to claims of procedural error. If an Area ONAP
makes a procedural error in the application review and rating process
which, when corrected, would result in the award of sufficient points
to warrant the funding of an otherwise approvable project, the Area
ONAP may fund that project in the next funding round without further
competition. All appeals must be submitted to the appropriate Area ONAP
within 90 days after the applicant is notified in writing of a funding
decision.
VII. Other Matters
(a) Environmental Statement. A Finding of No Significant Impact
with respect to the environment has been made in accordance with HUD
regulations at 24 CFR Part 50, which implement section 102(2)(C) of the
National Environmental Policy Act of 1969. The Finding of No
Significant Impact is available for public inspection between 7:30 a.m.
and 5:30 p.m. weekdays in the Office of the Rules Docket Clerk, Office
of the General Counsel, Department of Housing and Urban Development,
Room 10276, 451 Seventh Street, S.W., Washington, D.C. 20410.
(b) Recipient Compliance with Environmental Requirements. Prior to
any commitment of project funds and before any request for release of
funds, a recipient must comply with the environmental requirements
identified in 24 CFR 953.605.
(c) Federalism Executive Order. The General Counsel, as the
Designated Official under section 6(a) of Executive Order 12612,
Federalism, has determined that this NOFA will not have substantial,
direct effects on states, on their political subdivisions, or on their
relationship with the Federal Government, or on the distribution of
power and responsibilities between them and other levels of government.
While the NOFA will provide financial assistance to Indian tribes and
Alaska native villages, none of its provisions will have an effect on
the relationship between the Federal Government and the states or their
political subdivisions.
(d) Family Executive Order. The General Counsel, as the Designated
Official for Executive Order 12606, The Family, has determined that the
policies announced in this NOFA would not have the potential for
significant impact on family formation, maintenance and general well-
being and thus not subject to review under the Order.
(e) Prohibition of Advance Disclosure of Funding Decisions. HUD's
regulation implementing section 103 of the Department of Housing and
Urban Development Reform Act of 1989, codified as 24 CFR Part 4,
applies to the funding competition announced today. The requirements of
the rule continue to apply until the announcement of the selection of
successful applicants.
HUD employees involved in the review of the applications and in the
making of funding decisions are limited by Part 4 from providing
advance information to any person (other than an authorized employee of
HUD) concerning funding decisions, or from otherwise giving any
applicant an unfair competitive advantage. Persons who apply for
assistance in this competition should confine their inquiries to the
subject areas permitted under 24 CFR part 4.
Applicants who have ethics related questions should contact the HUD
Office of Ethics (202) 708-3815. (This is not a toll-free number.) For
HUD employees who have specific program questions, such as whether
particular subject matter can be discussed with persons outside HUD,
the employee should contact the appropriate Area ONAP Counsel, or
Headquarters counsel for the program to which the question pertains.
(f) Economic Opportunities for Low and Very Low Income Persons. All
applicants are herein notified that the provisions of section 3 of the
Housing and Urban Development Act of 1968, as amended, and the
regulations in 24 CFR part 135 are applicable to funding awards made
under this NOFA. One of the purposes of the assistance is to give to
the greatest extent feasible, and consistent with existing Federal,
State, and local laws and regulations, job training, employment,
contracting and other economic opportunities to section 3 residents and
section 3 business concerns. Tribes that receive HUD assistance
described in this part shall comply with the procedures and
requirements of this part to the maximum extent consistent with, but
not in derogation of, compliance with section 7(b) of the Indian Self-
determination and Education Assistance Act (25 U.S.C. 450e(b)).
Authority: Title I, Housing and Community Development Act of
1974, as amended (42 U.S.C. 5301 et seq.); sec. 7(d) of the
Department of Housing and Urban
[[Page 21352]]
Development Act (42 U.S.C. 3535(d)); 24 CFR 953.
Dated: April 23, 1996.
Michael B. Janis,
General Deputy, Assistant Secretary for Public and Indian Housing.
[FR Doc. 96-11509 Filed 5-8-96; 8:45 am]
BILLING CODE 4210-33-P
