FR Doc 05-5041

[Federal Register: March 21, 2005 (Volume 70, Number 53)]
[Notices]
[Page 13975-14024]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr21mr05-146]

[[pp. 13975-14024]] Notice of HUD's Fiscal Year 2005 Notice of Funding Availability
Policy Requirements and General Section to the SuperNOFA for HUD's
Discretionary Programs

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[GRAPHIC] [TIFF OMITTED] TN21MR05.167

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Youthbuild

Overview Information

A. Federal Agency Name: Department of Housing and Urban
Development, Office of Community Planning and Development.
B. Funding Opportunity Title: Youthbuild.
C. Announcement Type: Initial announcement.
D. Funding Opportunity Number: The OMB approval number for this
program is 2506-0142. The Federal Register number for this NOFA is FR-
4950-N-04.
E. Catalog of Federal Domestic Assistance (CFDA) Number(s): 14.243,
Youthbuild Program
F. Dates: The application submission date is on or before June 21,
2005. Please see the General Section of the SuperNOFA (the General
Section) for application submission and receipt procedures. Please note
that this year, all applications must be submitted electronically using
http://www.grants.gov, as described in Section IV.F of the General
Section.
G. Additional Overview Content Information: 1. Purpose of the
Program. The purpose of the Youthbuild program is to assist
disadvantaged young adults between the ages of 16 and 24 years of age
in distressed communities to: (1) Complete their high school education;
(2) provide on-site construction training experiences which result in
the rehabilitation or construction of housing for homeless persons and
low- and very low-income families; (3) foster leadership skills; (4)
further opportunities for placement in apprenticeship programs; and (5)
promote economic self-sufficiency for program participants.
2. Available Funds. Approximately $56,444,800 in appropriated funds
and carry over is available for Fiscal Year (FY) 2005, plus any funds
available through recapture, minus any amount needed to correct errors.
3. Eligible Applicants. Eligible applicants are public or private
nonprofit organizations that include grassroots community-based
organizations inclusive of faith-based organizations. For a definition
of grass-roots community based organizations see Secretarial Policy
Priority D. Providing Full and Equal Access to Grassroots, Faith-Based
and other Community-Based Organizations in HUD Program Implementation
found in the General Section. Other eligible applicants include state
or local housing agencies or authorities, state or units of local
government, or any entity eligible to provide education and employment
training under other federal employment training programs, as further
defined in HUD's regulation at 24 CFR 585.4.
4. Match. None.
If you are interested in applying for funding under this program,
please carefully review the General Section and the following
additional information.

Full Text of Announcement

I. Funding Opportunity Description

A. Program Description. The purposes of the Youthbuild Program are
to:
1. Provide economically disadvantaged young adults with
opportunities to obtain an educational experience that will enhance
their employment skills, as a means to achieving self-sufficiency;
2. Foster the development of leadership skills and commitment to
community;
3. Expand the supply of permanent affordable housing for homeless
and low- and very low-income persons by providing implementation grants
for carrying out a Youthbuild program;
4. Provide disadvantaged young adults with meaningful on-site
training experiences in housing construction and rehabilitation that
will enable them to render a service to their communities by helping to
meet the housing needs of homeless persons and low-income families; and
5. Give to the greatest extent possible, job training, employment,
contracting, and other economic opportunities to low-income young
adults.
B. Desirable Elements of a Youthbuild Program. You should document
the extent to which HUD's initiatives are furthered by the proposed
activities. Such initiatives include:
1. Providing increased homeownership and rental opportunities for
low- and moderate-income persons, persons with disabilities, the
elderly, minorities, and families with limited English proficiency;
2. Improving our nation's communities;
3. Encouraging accessible design features;
4. Providing full and equal access to grassroots faith-based and
other community based organizations in HUD program implementation; and
5. Ending chronic homelessness.
C. Definitions. The following definitions apply to the Youthbuild
Program: Rural and Underserved areas are defined as follows:
1. Rural Area. A rural area is defined in one of five ways:
a. A non-urban place having fewer than 2,500 inhabitants (within or
outside of metropolitan areas).
b. A county or parish with an urban population of 20,000
inhabitants or fewer.
c. Territory, including its persons and housing units, in rural
portions of ``extended cities.'' The Census Bureau identifies the rural
portions of extended cities.
d. Open country, which is not part of or associated with an urban
area. The United States Department of Agriculture (USDA) describes
``open country'' as a site separated by open space from any adjacent
densely populated urban area. Open space includes undeveloped land,
agricultural land or sparsely settled areas but does not include
physical barriers (such as rivers and canals), public parks, commercial
and industrial developments, small areas reserved for recreational
purposes, and open space set aside for future development.
e. Any place with a population not in excess of 20,000 and not
located in a Metropolitan Statistical Area.
2. Underserved Area. An underserved area is defined as an area
comprised of census tracts with the following economic distress
criteria:
a. A census tract where the unemployment remains high (50 percent
or more above the nation's unemployment rate) and
b. A census tract where high rates of poverty (50 percent or more
above the national average) persist.

II. Award Information

A. Available Funds. Approximately $56,444,800 in funding is made
available for this FY 2005 Youthbuild NOFA, which includes any carry
over from previous appropriated funds, plus any FY 2005 funds
appropriated by Congress. See the General Section for funding amounts
and available funds.
B. Authority. This program is authorized under subtitle D of title
IV of the Cranston-Gonzalez National Affordable Housing Act, as added
by section 164 of the Housing and Community Development Act of 1992
(Pub. L. 102-550, 106 Stat. 3723, 42 U.S.C. 12899). The Youthbuild
Program regulations are found in 24 CFR part 585.
C. Funding Categories. HUD will award up to $56,444,800 on a
competitive basis. Funds will be divided among three categories of
grants as described below. In each fiscal year, the Secretary shall
reserve five percent of the amounts available for technical assistance
activities under this subtitle pursuant to section 402 to carry out
subsections (b) and (c) (Subtitle D-Hope

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for Youth: Section 458 (42 U.S.C. 12899g)).
1. Category 1 Grants. New Applicants. HUD will award up to
$10,000,000 for new applicants that have not previously received
implementation grants since the inception of the Youthbuild Program and
that have elected not to apply under Category 2 or 3. The maximum
amount that may be awarded to a successful applicant in this category
is $400,000, for a period not to exceed 30 months.
2. Category 2 Grants. Grants up to $700,000. HUD will award up to
$37,516,800 for grants up to $700,000 for a period not to exceed 30
months. The maximum amount that may be awarded to a successful
applicant in this category is $700,000. Any eligible applicant can
apply in Category 2.
3. Category 3 Grants. Underserved and Rural Areas. HUD will award
approximately $8,928,000 for grants to organizations serving clients in
underserved and rural areas as defined in this NOFA for a period not to
exceed 30 months. The maximum amount that may be awarded to a
successful applicant in this category is $400,000.
4. Selection of Category. Applicants must indicate in their project
abstract which funding category they are applying for. For Category 3
applicants, you must designate which definition(s) under Section I.C.
is (are) applicable.
5. Grant Period. You must expend funds awarded within 30 months of
the effective date of the grant agreement.
6. Maximum Awards. Under the competition established by this
Youthbuild program section of the SuperNOFA, the maximum award for a
Youthbuild grant is $700,000 for Category 2 grants. The maximum amount
of award for Categories 1 and 3 grants is $400,000.

III. Eligibility Information

A. Eligible Applicants. Eligible applicants are public or private
nonprofit organizations which include grassroots community-based
organizations inclusive of faith-based organizations. For a definition
of grass-roots community based organizations, see Secretarial Policy
Priority D. Providing Full and Equal Access to Grassroots, Faith-Based
and Other Community-Based Organizations in HUD Program Implementation
found in the General Section. Other eligible applicants include state
or local housing agencies or authorities, states or units of local
government, or any entity eligible to provide education and employment
training under other federal employment training programs as further
defined in HUD's regulation at 24 CFR 585.4.
B. Cost Sharing or Matching. Under the Youthbuild program, there is
no match required. Applicants that submit evidence of leveraging
dollars under Rating Factor 4 ``Leveraging Resources'' will receive
points under that Factor.
C. Other. 1. Eligible Activities
a. Work and activities associated with the acquisition,
architectural and engineering work, rehabilitation or construction of
housing, as defined in HUD's regulations at 24 CFR 585.309, 585.310,
and 585.311.
b. Relocation payments and other assistance required to comply with
HUD's regulation at 24 CFR 585.308;
c. Costs of ongoing training and technical assistance needs related
to carrying out a Youthbuild program;
d. Education, job training, counseling, employment, leadership
development services, and optional activities that meet the needs of
the participants including entrepreneurial training, driver education,
apprenticeship opportunities, financial literacy, credit counseling,
assistance programs for those with learning disabilities, and in-house
staff training;
e. Outreach to potential participants;
f. Wages, benefits, and need-based stipends for participants; and
g. Administrative costs must not exceed 10 percent of the grant
award. HUD encourages you to use grant funds for outreach, recruitment,
training, and other services for the participants that facilitate
program implementation. Please refer to HUD's regulation at 24 CFR
585.305 for further details on eligible activities.
2. Threshold Requirements. All applicants must comply with the
threshold requirements as defined in the General Section and the
requirements listed below to receive an award. Applications that do not
meet these requirements will be considered ineligible for funding and
will be disqualified.
a. Eligible Participants. Participants in a Youthbuild program must
be very low-income high school dropouts between the ages of 16 and 24,
inclusive, at the time of enrollment. Up to 25 percent of participants
may be above very low-income, or may be high school graduates (or
equivalent), but must have educational needs (such as lack of reading,
writing, and communication skills) that justify their participation in
the program.
b. Youthbuild Program Components. Applications that receive
assistance under this Youthbuild program section of the SuperNOFA must
contain the three components described as follows:
(1) Educational and job training services;
(2) Leadership training, counseling, and other support activities;
and
(3) On-site training through actual housing rehabilitation and/or
new construction work.
(New construction may be subject to the accessible design and
construction requirements of the Fair Housing Act [see the General
Section], including the provision of alternative training experiences
that are necessary as a reasonable accommodation for students with
disabilities.)
c. Identification of and Access to Property. Your application must
identify the location of the site(s) or property(ies) (e.g., addresses,
parcel numbers, etc.) that will be used for on-site construction. Your
application MUST contain a letter from the property owner or property
management company or companies allowing access to the housing site(s)
for on-site construction training. HUD will deem as ineligible any
application that fails to specifically identify the location of the on-
site construction, including evidence of site access. Guidance on
evidence of site access is as follows:
(1) If the applicant or joint applicant has a contract or option to
purchase the property, you should include a copy of the contract or
option; and
(2) If a third party owns the property or has a contract or option
to purchase, that third party must provide a letter to you stating the
nature of the ownership and specifically providing you with access to
the property for the purposes of the program and the time frame in
which the property will be available. In the case of a contract or
option, include a copy of the document.
d. Minimum Score. In order to be considered eligible for funding,
your application must receive a minimum score of 75, including a
minimum of 10 points in Factor 1.
e. DUNS Requirement. Refer to the General Section for information
regarding the DUNS requirement. You will need to obtain a DUNS number
to receive an award from HUD and submit your application on line using
http://www.grants.gov.
f. Civil Rights Threshold Requirement. Applicants must meet all of
the applicable threshold requirements of Section III.C.2.c of the
General Section regarding Fair Housing and Civil Rights laws, statutes,
regulations and Executive orders and enumerated in 24 CFR 5.105(a).
g. Potential Environmental Disqualification. HUD reserves the right
to disqualify an application where one or more environmental thresholds
are exceeded if HUD determines that it cannot conduct the environmental

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review and satisfactorily complete the review within the HUD
application review period. (See 24 CFR 585.307.) Environmental
thresholds are explained in Appendix A of this program section of the
SuperNOFA. Complete form 2C13a, 2C13b, or 2C13c and form 2C15 only if
you are proposing to use Youthbuild funds for new housing construction,
rehabilitation, lease or acquisition.
h. Consistency with Consolidated Plan. You must provide the
required certification that the proposed activities are consistent with
the HUD-approved Consolidated Plan in accordance with 24 CFR part 91.
See the General Section regarding the Certification of Consistency with
the Consolidated Plan requirement.
i. If you have received a Youthbuild grant and it is greater than
24 months old and you have not drawn down at least 50 percent of the
total HUD grant funds as of the application submission date for this
NOFA, you will not be eligible to receive a FY 2005 Youthbuild grant.
3. Program Requirements. In addition to the program requirements
listed below, applicants must comply with the program requirements in
Section III.C of the General Section.
a. Locational Limitations. You may submit more than one application
in the current competition if your program's participant recruitment
and housing areas are in different jurisdictions. Each application you
submit may only propose activities to carry out one Youthbuild program,
i.e., to start a new Youthbuild program or to fund new classes of
Youthbuild participants for an existing program.
b. Site Selection. In determining the site or the location of a
federally assisted facility, the applicant may not select sites that
will exclude qualified persons with disabilities, or otherwise subject
them to discrimination under the Youthbuild program.
c. New Construction, Substantial Alterations,--Other Alterations.
If the applicant undertakes to participate in New Construction,
Substantial Alterations, or Other Alterations, it must conform to the
accessibility standards outlined in the regulations implementing the
Rehabilitation Act of 1973 at 24 CFR part 8, Sec. Sec. 8.22, 8.23(a)
and Sec. 8.23(b).
d. Training Requirement. Each program must be structured so that 50
percent of each participant's time is spent in on-site training and the
other 50 percent in educational training.
e. Economic Opportunities for Low- and Very Low-Income Persons
(Section 3). Section 3 of the Housing and Urban Development Act of
1968, (12 U.S.C. 1701u) is applicable to the Youthbuild program.
Section 3 requires recipients to ensure that, to the greatest extent
feasible, training, employment, and other economic opportunities will
be directed to low- and very-low income persons, particularly those who
are recipients of government assistance for housing, and business
concerns which provide economic opportunities to low- and very low-
income persons. The regulations may be found at 24 CFR part 135.
f. Participation in Local Workforce Investment Act One-Stop Center.
Youthbuild grantees are mandatory partners in one-stop centers
authorized by the Workforce Investment Act of 1998 (Pub. L. 105-220).
g. First time applicants. If you are a first-time applicant
applying for funding under Category 1, you must have a graduating class
of not more than 20 participants.
h. Environmental Reviews. Environmental procedures apply to HUD
approval of grants when you propose to use Youthbuild funds to cover
any costs for the lease, acquisition, rehabilitation, or new
construction of real property proposed for housing project development.
Environmental procedures do not apply to HUD approval of your
application when you propose to use your Youthbuild funds solely to
cover costs for classroom and/or on-the-job construction training and
support services.
If you propose to use your Youthbuild funds to cover any costs of
the lease, acquisition, rehabilitation, or new construction of real
property, you must submit all relevant environmental information in
your application to support HUD decisionmaking in accordance with the
environmental procedures and standards set forth in HUD's regulation at
24 CFR 585.307.

IV. Application and Submission Information: (See the General Section)

A. Addresses to Request Application Package: There is no
application kit for the FY2005 Youthbuild NOFA. This SuperNOFA clearly
describes the requirements for completing a successful application and
all forms and certifications needed to complete the application are
included in the General and Youthbuild Sections of the SuperNOFA, which
can be downloaded from http://www.Grants.gov/Apply. The Grants.gov web
site contains the electronic forms and the NOFA which includes forms
and other attachments. The NOFA and forms are contained in a zipped
file found under instructions. You many call the Grants.gov Support
Desk at 800-518-Grants or email the Support Desk at Support@Grants.gov
for assistance in downloading the application and instructions. The
Support Desk is open weekdays from 8 a.m. to 9 p.m. Eastern Time,
except Federal holidays.
B. Content and Form of Application Submission: Be sure to read the
application submission instructions in the General Section and below
carefully.
1. Response to NOFA Page Limitation. The total narrative response
to all factors identified in Section V of this program NOFA must not
exceed 15 single sided pages of text based on an 8.5 by 11 inch paper,
using a standard 12 point font, with lines double-spaced. Please note
that submitting pages in excess of the page limit will not disqualify
your application. However, HUD will not review or consider the
information on any excess pages.
2. Application Items. Your application must contain the items
listed in this section below. These items include the standard forms,
certifications, and assurances listed in the General Section that are
applicable to this funding (collectively referred to as the ``standard
forms''). The standard forms can be found in Appendix A to the General
Section. The other items listed represent program specific forms or
information needed to evaluate your application. General letters of
support not associated with specific cash or in-kind commitments have
no bearing on the rating of the applications for any rating factor.

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Required form or
What to submit Required content format When to submit it
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Project abstract............... Category applying .................. Application submission date.
for (if Category
3, specify which
definition(s)
under ``rural and
underserved''
is(are)
applicable);
Amount of funds
requested;
Location of
project,
including census
tract(s); Number
of participants
to be trained;
Number of houses
to be
constructed;
Number of houses
to be rehabbed;
Major partners.
Application Survey on Ensuring .................. SF-424, SF-424
Equal Opportunity for supplement.
Applicants.
Budget information............. Total Youthbuild Youthbuild Form 4A
Grant Budget.
Rating Factors: Narrative Described in
addressing 5 rating factors. Section V of this
announcement.
Non-Housing Program Resources .................. Youthbuild Form 4B
and accompanying letters of
commitment for non-housing
program resources.
Logic Model Form............... .................. HUD-96010.........
Applicant/Recipient Disclosure/ (Per required HUD-2880..........
Update Form. form).
Disclosure of Lobby Activities .................. SF-LLL............
(if necessary).
Certification of Consistency .................. HUD-2990..........
with RC/EZ/EC-II Strategic
Plan.
Certification of Consistency .................. HUD-2991..........
with Consolidated Plan.
Acknowledgment of Application .................. HUD-2993..........
Receipt.
Client Comments and Suggestions .................. HUD-2994..........
Youthbuild Program Specific .................. HUD-40211......... Application submission date.
Forms/information (required
for all applications) Exhibit
2C (Housing Site Description).
Exhibit 2C10 (Individual
Housing Project Site)
Estimate.
Accompanying letters of
commitment to cover costs of
lease, acquisition,
rehabilitation or new
construction of real property.
Site Access Letter(s).
Youthbuild Program Specific .................. .................. Application submission date.
Forms (only if applicant
proposes to use Youthbuild
funds for lease, acquisition,
rehabilitation, or new
construction of real property).
Exhibit 2C13a (Housing Project
Certifications for Residential
Rental Units.
Exhibit 2C13b (Housing Project
Certifications for
Transitional Housing).
Exhibit 2C13c (Housing Project .................. .................. Application submission date.
Certifications for
Homeownership).
Exhibit 2C15 (Environmental
Threshold Information for a
Property Proposed for YB
Funding).
Questionnaire for HUD's .................. HUD-27300......... Application submission date.
Initiative on Removal of
Regulatory Barriers.
Facsimile Transmittal.......... To be used when HUD-96011......... On or before the application submission
submitting third date.
party letters or
other documents
if you are unable
to scan the
documents and
make them
attachments to
your electronic
application.
----------------------------------------------------------------------------------------------------------------

C. Submission Dates and Times: The application submission date is
June 21, 2005. Applications must be received by Grants.gov no later
than 11:59:59 PM Eastern time on the application submission date.
Applicants that have requested and received a waiver to the electronic
application submission requirement must submit their application to the
United States Postal Service no later than 11:59:59 PM on the
application submission date. Please see the General Section for
application submission and timely receipt procedures.
D. Intergovernmental Review. The Youthbuild is subject to
Intergovernmental Review under Executive Order 12372,
``Intergovernmental Review of Federal

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Programs.'' See the General Section for further discussion of the
Executive Order and HUD's implementing regulations.
E. Funding Restrictions. Administrative costs must not exceed 10
percent of the grant award.

V. Application Review Information

The factors for rating and ranking applicants, and maximum points
for each factor, are provided below. The maximum number of points for
the program is 102. This includes two RC/EZ/EC-II and USDA designated
Round II EC bonus points, as described in the General Section. The
minimum fundable score is 75, including a minimum of 10 points in
Factor 1.
A. Rating Factor 1. Capacity of the Applicant and Relevant
Organizational Experience (20 points, minimum 10 points). This factor
addresses the qualifications and experience of the applicant and
participating parties to implement a successful young adult education
training program in accordance with your work plan as further described
in Factor 3. HUD will review and evaluate information provided
documenting recent capability. Experience within the last 5 years will
be considered recent. In addition, as described in the General Section,
HUD will take into account the applicant's past performance and may
deduct points in this rating factor for previous inability to
demonstrate performance. In reviewing this rating factor, HUD will
evaluate the following sub-factors:
1. Team Member Composition and Experience (5 points). Your
experience and the experience of your project director, core staff
competencies including your day-to-day program manager, consultants,
and contractors. You must demonstrate that your program manager has the
background, experience, and capacity to implement all of the program
components of the proposed work plan, as evidenced by recent work
experience (within the last 5 years) in managing projects of the same
or similar size, dollar amount, types of activities, and beneficiaries
as those proposed in your work plan. If any gaps exist in your
experience or organizational structure to carry out the program,
describe how you will fill those gaps including the hiring of
consultants or other outside parties.
2. Organizational Structure (5 points). The structure of your
organization (include an organizational chart), management structure,
including reporting relationships of key staff, a system for
coordinating with outside contractors or third party service providers,
a mechanism for an internal and external auditing relationship, and an
accounting system which meets federal accounting system requirements.
You should provide a clear description of how your organizational
structure will operate to carry out your work plan.
3. Achievement of Performance Outcomes (10 points). The objectives
and accomplishments of your past experience in conducting similar
activities. You must describe your past project objectives and
accomplishments that are similar to those of your proposed work plan to
show your effectiveness and timeliness in managing similar projects. If
you have received similar grants including previous Youthbuild grants,
you must describe the effectiveness of your administration, including
timeliness and meeting performance results from performance reports. In
addressing timeliness of reports, you must compare when your reports
were due with when they were actually submitted. You must describe your
achievements, including specific measurable outcome objectives: number
of youths recruited, trained, and received GEDs; number of youths
obtaining jobs (i.e., those that are a part of a career path or
apprenticeship program); number of youths participating in
apprenticeships and number of housing units rehabilitated or
constructed and made available for low- and very low-income persons.
Previously generated outcomes should include the following: (1) Percent
entered employment or enrolled in education and/or training first
quarter after program exit, (2) percent of participants that earned a
diploma, GED, or certificate, (3) percent that have attained literacy
and numeracy skills by participants, (4) annual cost per participant.
Also, you must describe the extent to which you or participating
partners have been successful in past education, training and
employment programs and activities, including federally funded
Youthbuild programs. In applying the rating criteria, HUD will take
into consideration your performance (including meeting target dates and
schedules) as reported. The more recent, relevant, and successful the
experience of the proposed team members, organization and other
participating entities in relation to the work plan, the greater the
number of points that you will receive. For previous and existing
Youthbuild grantees, applicants that can demonstrate a closer and
greater linkage between the expected outcomes and the previously
generated outcomes will receive a higher amount of points for this
Factor. Applicants that have been slow to draw their funds and
therefore appear to be not making progress in completing their program
activities, will receive lower rating points than applicants that have
a pattern and practice of drawing funds in a timely manner consistent
with timely progress in meeting program activity goals and objectives.
B. Rating Factor 2: Need/Extent of the Problem (22 Points): This
Factor addresses the extent to which there is need for funding the
proposed activities based on levels of distress and an indication of
the urgency of meeting the need/distress in the applicant's target
area. In responding to this Factor, applications will be evaluated on
the extent to which the level of need for the proposed activity and the
urgency in meeting the need are documented and compared to the target
area and national data.
1. In applying this Factor, HUD will consider current levels of
distress for the area (i.e., Census Tract(s) or Block Groups)
immediately surrounding the project site or the target area to be
served by the proposed project, and in the nation. This means that an
application that provides data that show levels of distress in the
target area expressed as a percent greater than the national average
will be rated higher under this Factor.
Notwithstanding the above, an applicant proposing a project to be
located outside the target area could still receive points under the
Distress Factor if a clear rationale and linkage is provided linking
the proposed project location and the benefits to be derived by persons
living in more distressed area(s) of the applicant's target area.
2. Applicants should provide data that address indicators of
distress, as follows:
a. Poverty (5 points)--data should be provided in both absolute and
percentage form (i.e., whole numbers and percentages) for the target
area(s); an application that compares the local poverty rate in the
following manner to the national average at the time of submission will
receive points under this section as follows:
(1) Less than the national average--0 points.
(2) Equal to but less than twice the national average--1 points.
(3) Twice but less than three times the national average--3 points.
(4) Three or more times the national average--5 points.
b. Unemployment (5 points)--for the project area;
(1) Less than the national average--0 points.

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(2) Equal to but less than twice the national average--1 point.
(3) Twice but less than three times the national average--2 points.
(4) Three but less than four times the national average--3 points.
(5) Four but less than five times the national average--4 points.
(6) Five or more times the national average--5 points.
c. High School Dropouts (9 points)--for the project area;
(1) Less than the national average--0 points.
(2) Equal to but less than twice the national average--2 points.
(3) Twice but less than three times the national average--4 points.
(4) Three but less than four times the national average--6 points.
(5) Four but less than five times the national average-- 8 points.
(6) Five or more times the national average--9 points.
d. Concrete examples of social and/or economic decline that best
capture the applicant's local situation (3 points). Examples that could
be provided under this section are information on the community's
stagnant or falling tax base, including recent commercial or industrial
closings, housing conditions, such as the number and percentage of
substandard and/or overcrowded units, rent burden (defined as average
housing cost divided by average income) for the target area and urgency
in addressing problems facing youth, local crime statistics, etc.
3. In rating applications under this Factor, HUD reserves the right
to consider sources of available objective data, such as the U.S.
Census, other than, or in addition to, those provided by applicants,
and to compare such data to those provided by applicants and local
crime statistics for the project site.
HUD requires use of sound and reliable data (e.g., U.S. Census
data, state statistical reports, university studies/reports that are
verifiable) to support distress levels cited in each application. A
source for all information along with the publication or origination
date must also be provided. Updated Census data are available as
follows for the listed indicators:
a. Unemployment rate-- estimated monthly, with a two-month lag;
b. High School Dropout rate using the status rate-1999 data;
c. Poverty rate--2000 Census data at the tract level.
C. Rating Factor 3: Soundness of Approach (36 points): This Factor
addresses the extent to which your proposed program is coordinated with
other ongoing and related activities in the area you propose to serve
and how well your program outcomes result in increased independence and
empowerment to your beneficiaries at the conclusion of the grant
period. HUD will evaluate the extent to which your application meets
the following three elements:
1. Coordination Elements: 5 points as distributed below.
a. Coordination of activities (2 points). The extent to which you
have coordinated your activities with other known organizations that
are not directly in your proposed work activities, but with which you
share common goals and objectives and are working toward meeting these
objectives in a holistic and comprehensive manner. The goal of
coordination is to ensure that programs do not operate in isolation.
The more your activities are coordinated with other agencies in your
service area, the more points you will receive. An example of
coordination of activities would be the applicant's partnership with an
existing child day care facility (which is not funded by program) that
provides day care services to the Youthbuild participants during the
hours they are being trained or receiving education.
b. Self-Sufficiency (1 point). Describe how your program will
provide Youthbuild participants the ability to achieve: independent
living, economic empowerment, educational opportunities, housing choice
or an improved environment that is free from environmental hazards such
as lead hazards, brownfields, overcrowded housing, etc. An applicant
that addresses this subfactor will receive one point.
c. Sustainability (2 points). For applicants that have not received
a prior Youthbuild award, describe how your program will be financially
self-sustaining by decreasing dependence on Youthbuild funding and
relying more on state, local, and private funding so your activities
can be continued after your grant award is complete. For previous
Youthbuild grantees, describe how your program demonstrates a
progression of reduced reliance on HUD's Youthbuild funds, as either a
reduced Youthbuild grant amount or increased overall program level with
Youthbuild as a declining share of the total.
2. Youthbuild Program Work Plan: For each component, HUD will
consider the overall quality and feasibility of your proposed work plan
and budget that must be consistent with the Youthbuild program as
measured by your specific activities and outcomes. You will receive a
greater number of points if the program components are consistent with
the purpose of the Youthbuild program and your project goals and the
resources provided. Letters describing specific resources or services
to be contributed by non-applicant organizations must be included in
your application.
Specifically, HUD will consider the following categories when
assessing your proposed work plan:
a. Program Components. (15 points)
(1) Outreach strategy, recruitment strategy, and selection
activities. Points will be awarded based upon overall quality and
feasibility of the outreach, recruitment and selection activities, the
number and types of outreach activities, number of youths to be
recruited including eligible participants who are harder to reach and
comprehensiveness of the local selection process.
In evaluating this category, HUD will consider your selection
strategies and your specific outreach efforts to recruit or contact:
(a) potential eligible participants who are unlikely to be aware of
this program (because of race, color, national origin, religion,
ethnicity, sex, or disability);
(b) young women, young women with dependent children, and persons
receiving public assistance; and
(c) public agencies, courts, homeless shelters, local school
systems, local workforce development systems, one-stop centers and
community-based organizations, etc.
(2) Educational and job training services and activities. Points
will be awarded based upon the qualifications of instructors and
proposed wages and stipends for youth participants. In evaluating this
category, HUD will consider:
(a) The types of in-class academic and vocational instruction you
will provide;
(b) The number and qualifications of program instructors and ratio
of instructors to participants;
(c) Scheduling plan for classroom and on-the-job training needed to
meet program requirements and ensure timely completion of your program;
and
(d) Reasonable payments to participants of wages, stipends, and
incentives. Wages or stipends for on-site construction training must be
at least federal minimum wage.
(3) Leadership development. Points will be awarded based upon your
proposed leadership curriculum, qualifications of instructors, and the
impact of the proposed leadership activities on the target area. You
must describe the leadership development training you will offer to
participants and strategies for providing the training

[[Page 13984]]

to build group cohesion and peer support.
(4) Support services. You must assess the need for counseling and
referral services during each stage of program implementation: outreach
strategy, recruitment strategy, youths interviewed and not selected for
the program, program participants, youths who drop out of the program,
and graduates of the program. Describe how the participant needs will
be addressed, document counseling and referral services to be offered
to participants, the type of counseling, social services, and/or need-
based stipends you will provide.
(5) Follow-up assistance and support activities to program
graduates. You must describe the type of proposed assistance and
support which should be based upon an assessment of the needs of the
program graduates and should include continued linkage to the local
Youthbuild program, counseling, and social service referral services.
(6) On-site training. Points will be awarded based upon the
experience of proposed instructors, number of youth to be trained, and
wages or stipends for participants. HUD will consider:
(a) The housing construction or rehabilitation activities
participants will undertake at the site(s) to be used for the on-site
training component of the program as provided in the training
curriculum and methodology for carrying out on-site training;
(b) The qualification and number of on-site supervisors;
(c) The ratio of trainers to participants;
(d) The number of participants per site; and
(e) The amounts, wages, and/or stipends you will pay to
participants during on-site work. Amounts must be at least federal
minimum wage.
b. Strategy for Job Placement. (2 points).
(1) For applicants that have not received a prior Youthbuild award.
HUD will evaluate the quality and feasibility of your proposed strategy
to place youth participants in permanent jobs. You will be rated on the
following factors: (a) proposed number of youth to obtain jobs that
promote economic self-sufficiency (i.e., those that are a part of
career paths or apprenticeship programs); (b) proposed number of youths
who will continue post-secondary or secondary education; and (c)
proposed number of youths to receive entrepreneurship training.
(2) For Youthbuild grantees who have grants that are at least 24
months old. In addition to the information in section V.C.2.b(1) above,
provide the actual number of program participants that met each
criterion in section V.C.2.b(1)(a), V.C.2.b(1)(b) and V.C.2.b(1)(c) as
a percent of the total program participants served.
c. Housing Program Priority: (10 points). HUD will assign Housing
Program Priority points to all applications that contain evidence that
housing resources from other federal, state, local, or private sources
are available and firmly committed to cover all costs, in full, for the
following housing activities for the proposed Youthbuild program:
acquisition, architect and engineering fees, construction, and
rehabilitation. Forms 2C, Housing Site Description, and 2C10,
Youthbuild Grant Individual Housing Project Site Estimate, must be
completed to receive the Housing Program Priority points. Applications
that do not include proper documentation of firm financial commitments
of non-Youthbuild resources or propose to use Youthbuild grant funds,
in whole or in part, or do not evidence site control, for any one of
the housing activities listed above will not be entitled to housing
program priority points. For an applicant to receive the housing
program priority points, each letter of commitment to cover the costs
of the above activities must include the following:
(1) The organization's name;
(2) the applicant's name;
(3) the proposed program;
(4) the proposed amount of commitment and which housing
activity(ies) (i.e., acquisition, architect and engineering fees,
construction, and rehabilitation) the commitment represent(s);
(5) a signature by an official of the organization legally able to
make commitments on behalf of the organization with a statement
confirming that the authority remains in effect for a period stated in
the commitment.
(6) If the contribution is cash, the applicant, the applicant's
partner(s) or contributing entity must evidence its financial
capability through a corporate or personal financial statement or other
appropriate means. If any portion of the committed activity is to be
financed through a lending institution, the participant must evidence
the institution's commitment to fund the commitment.
(7) Affirm that its investment is contingent only upon receipt of
FY2005 Youthbuild funds and state a willingness on the part of the
signatory to sign a legally binding commitment not earlier than the
date this NOFA is published and (conditioned on HUD's environmental
review and approval of a property, where applicable) upon award of the
grant.
d. Policy Priorities: (4 points). Policy Priorities are further
defined in the General Section. Applicants should document the extent
HUD's policy priorities are enhanced by the proposed activities.
Applicants that include activities that can result in the achievement
of these departmental policy priorities, as described in the General
Section, will receive higher rating points in evaluating their
application for funding. Three departmental policy priorities are
listed below. Policy Priorities include:
(1) Ending chronic homelessness (1 point);
(2) Removal of regulatory barriers to affordable housing (up to 2
points) (see the General Section for further explanation). You must
complete Form HUD-27300, Questionnaire for HUD's Initiative on Removal
of Regulatory Barriers and provide the requested documentation to
receive points for this policy priority. See the General Section for a
discussion of how points are allocated.
(3) Participation in Energy Star (1 point). See the General Section
for further explanation. Applicants must state how they incorporate
this priority into their application in order to receive the one point.
D. Rating Factor 4: Leveraging of Non-housing Resources (10
Points). This Factor addresses the ability of the applicant to secure
non-housing resources from its program partners. HUD will evaluate the
extent to which firm commitments of resources are obtained from
federal, state, local, private, and nonprofit sources. The applicant
will receive points based upon the ratio of committed non-HUD resources
for non-housing activities compared to the amount of Youthbuild funds
requested in the application. (Exhibit 4B Non-Housing Program Resources
must be completed and you must provide letters of firm commitment from
the donor with the amount of cash or in-kind contribution). Applicants
submitting letters of commitment without the Exhibit 4 completed, will
not receive points for this Rating Factor. Each commitment described on
Exhibit 4B for this Factor must have a firm commitment letter. In
addition, the amount of the commitment in each letter must match the
amount listed on the Form 4B.
In assigning points for this criterion, HUD will consider the level
of resources obtained for cash or in-kind contributions to cover the
following kinds of areas:

[[Page 13985]]

[sbull] Social services (i.e., counseling and training);
[sbull] Use of existing vocational, adult, and bilingual
educational courses;
[sbull] Donation of labor, resource personnel, supplies, teaching
materials, classroom, and/or meeting space.
1. Firm commitment for non-housing resources. Each letter of
commitment to cover the costs of the above activities must include the
following:
a. the organization's name;
b. the applicant's name;
c. the proposed program;
d. the proposed amount of commitment and which non-housing
activity(ies) the commitment represent(s);
e. a signature by an official of the organization legally able to
make commitments on behalf of the organization with a statement
confirming that the authority remains in effect for a period stated in
the commitment;
f. an affirmation that its investment is contingent only upon
receipt of FY2005 Youthbuild funds and a statement of willingness on
the part of the signatory to sign a legally binding commitment not
earlier than the date this NOFA is published.
2. Resources from other federal, state, local governments, or
private entities. HUD encourages use of existing federal, state, local
governments, or private and nonprofit housing programs as part of your
Youthbuild program. In addition, HUD encourages use of other non-
Youthbuild funds available for vocational, adult, and bilingual
education programs, or for job training under the Workforce Investment
Act and the Personal Responsibility and Work Opportunity Reconciliation
Act of 1996 (48 U.S.C. 1601 et seq.).
E. Rating Factor 5: Achieving Results and Program Evaluation (12
Points). This factor emphasizes HUD's commitment to ensuring that
applicants keep promises made in their application to rigorously assess
their performance and ensure performance goals are met. Achieving
results means you, the applicant, have clearly identified the benefits,
or outcomes of your program. Outcomes are ultimate goals. Benchmarks or
outputs are interim activities or products that lead to the ultimate
achievement of your goals. Performance measurement requires that you,
the applicant, identify program outcomes, interim products or
benchmarks, and performance indicators that will allow you to assess
your performance. Performance indicators must be quantified and measure
actual achievements against anticipated achievements. You should
identify what you are going to measure, how you are going to measure
it, and the steps you have in place to make adjustments to your work
plan if performance targets are not met within established timeframes.
Applicants are required to address this factor as a narrative as well
as complete the Logic Model form (see appendix to the General Section).
This rating factor reflects HUD's goal to embrace high standards of
ethics, management and accountability. HUD's evaluation of this rating
factor will be based upon your Logic Model performance measures,
results, and timeframes consistent with your program description,
budget, resources, and program design.
At a minimum, your Logic Model must include the following program
outcomes:
[sbull] Number of participants enrolled in the program;
[sbull] Number of participants that graduate;
[sbull] Number of housing units constructed;
[sbull] Number of housing units rehabilitated;
[sbull] Number and percent of GED's or certificates attained by
participants (for percentage calculation, numerator: the number of
participants who attain a diploma, GED or certificate; denominator:
those who are participating in the Youthbuild program).
[sbull] Number and percent of graduates placed in employment or
education (for percentage calculation, numerator: the number of
participants who have entered employment or enrolled in post secondary
education; denominator: the number of graduates from the Youthbuild
program); and
[sbull] Number and percentage of graduates who made literacy and
numeracy gains (measures the increase in literacy and numeracy skills
of participants through a common assessment tool administered at
program registration and regular intervals thereafter); for percentage
calculation, numerator: the number of Youthbuild program participants
who increase one or more education functioning levels; denominator: the
number of Youthbuild program participants who have completed a year in
the program).
[sbull] Efficiency or annual cost per participant (numerator: grant
amount; denominator: number of Youthbuild participants.)
An applicant should agree to cooperate with any HUD-approved
evaluation by making staff available for interview, providing lists of
participants and their contact information, and making available files
under appropriate assurance of confidentiality of records.

VI. Reviews and Selection Process

A. Rating and Ranking

1. General. To review and rate applications, HUD may establish
panels including officials from other federal agencies and outside
experts or consultants to obtain certain expertise and other outside
points of view.
2. Rating. All applications for funding will be evaluated against
the rating factors described in Section V. of this NOFA.
3. Ranking. Applications will be ranked separately within each of
the three funding categories. Applications will be selected for funding
in accordance with their rank order in each category.
4. Eligibility for Selection. To be eligible for funding, an
application must have an overall minimum score of 75 points, including
a minimum score of 10 points in Factor 1. If two or more applications
are rated fundable and have the same score, but there are insufficient
funds to fund all of them, HUD will select the application(s) with the
highest score for Rating Factor 3 (Soundness of Approach). If two or
more applications still have the same score, the highest score in the
following factors will be selected sequentially until one highest score
can be determined: Rating Factor 1 (Capacity of the Applicant and
Relevant Organization); Rating Factor 4 (Leveraging of Resources) and
Rating Factor 2 (Need/Extent of the Problem).
5. Adjustments to Funding. HUD reserves the right to utilize this
year's funding to fund previous years' errors prior to rating and
ranking this year's applications. Any available funds that remain after
all applications within funding range have been selected or obligated
will be reallocated between categories 1 and 2 by rank order between
applications at the discretion of the selecting official or designee.
Category 3 funds are appropriated as a set-aside, and can not be
reallocated.
6. Corrections to Deficient Applications. The General Section
provides the procedures for corrections to deficient applications.
B. Anticipated Announcement and Award Dates. HUD anticipates making
award announcements no later than four months after the application
submission deadline date.

VII. Award Administration Information

A. Award Notices

1. Notification of Approval or Disapproval. HUD will notify you

[[Page 13986]]

whether or not you have been selected for an award. If you are
selected, HUD's notice to you of the amount of the grant award based on
the approved application will constitute HUD's CONDITIONAL approval,
subject to negotiation and execution of the grant agreement by HUD.
2. Application Debriefing. Applicants who wish to have a debriefing
of their application must send a written or email request (see the
General Section) to: Mr. Mark A. Horwath, Director; Youthbuild Program;
Office of Economic Development; Office of Community Planning and
Development; 451 Seventh Street, SW., Room 7149; Washington, DC 20410-
7000 or e-mail address Mark--A.--Horwath@hud.gov. Debriefing
information can be found in the General Section of the SuperNOFA.

B. Administrative and National Policy Requirements

1. Applicable OMB Circulars. Please refer to the General Section
for information regarding applicable OMB Circulars.
2. Applicable Executive Orders and Statutes. Please note that
Executive Order 13202 may apply to your program (see the General
Section) and Section 6002 of the Solid Waste Disposal Act covering the
procurement of recovered materials may also be applicable (see the
General Section.)
3. Executive Order 13166, Improving Access To Services For Persons
With Limited English Proficiency (LEP). Consistent with Executive Order
13166, ``Improving Access to Services for Persons with Limited
Proficiency (LEP),'' issued on August 11, 2000, all HUD recipients
should take reasonable steps to provide certain materials and
information available in languages other than English. The
determination as to what materials, languages, and modes of
translation/interpretation services should be used shall be based upon:
a. The specific needs and capabilities of the LEP populations among
the award recipient's program beneficiaries and potential beneficiaries
of assistance (e.g. tenants, community residents, counselees, trainees,
etc.)
b. The recipient's primary and major program purposes;
c. Resources of the recipient and size of the program; and
d. Local housing, demographic, and community conditions and needs.
HUD's LEP recipient Guidance has been published in the Federal Register
on December 19, 2003 and further guidance may be found at http://
www.lep.gov.
4. Reporting Requirements:
a. Progress reports and Logic Model reporting. Youthbuild grantees
are required to submit progress reports to the appropriate HUD field
office in accordance with 24 CFR Part 585.403, using HUD Form 40201.
Should you receive a FY 2005 Youthbuild award, you will be required to
update your Logic Model periodically, addressing the time schedule,
accomplishments to date and results and submit it to HUD in conjunction
within the timeframes established for the Youthbuild progress reports.
b. Racial and Ethnic Data reporting. HUD requires that funded
recipients collect racial data and ethnic beneficiary data. It has
adopted the Office of Management and Budget's Standards for the
Collection of Racial and Ethnic Data. In view of these requirements,
you should use form HUD-27061, Racial and Ethnic Data Reporting Form
(instructions for its use), found on http://www.HUDclips.org., a
comparable program form, or a comparable electronic data system for
this purpose.

VIII. Agency Contact(s)

For technical assistance in downloading an application package from
Grants.gov/Apply, contact the Grants.gov help desk at 800-518-Grants or
by sending an e-mail to support@grants.gov.
For programmatic information concerning the HUD Youthbuild program,
contact Ms. Phyllis Williams, Community Planning and Development
Specialist; Office of Economic Development; Office of Community
Planning and Development; U. S. Department of Housing and Urban
Development; 451 Seventh Street, SW., Room 7149; Washington, DC 20410-
7000; telephone (202) 708-2035 (this is not a toll-free number).
Persons with speech or hearing impairments may access this number via
TTY by calling the toll-free Federal Information Relay Service at 800-
877-8339. Prior to the application deadline, HUD's staff will be
available to provide general guidance on the application submission
process and location of information, but not guidance in preparing your
application.
A. Satellite Broadcast. HUD will hold an information broadcast via
satellite for potential applicants to learn more about the program and
preparation of an application. For more information about the date and
time of this broadcast, you should consult the HUD Web site at http://
www.hud.gov.
B. Paperwork Reduction Act: The information collection requirements
contained in this document have been approved by the Office of
Management and Budget (OMB) under the Paperwork Reduction Act of 1995
(44 U.S.C. 3501-3520) and assigned OMB control number 2506.0142. In
accordance with the Paperwork Reduction Act, HUD may not conduct or
sponsor, and a person is not required to respond to, a collection of
information unless the collection displays a currently valid OMB
control number. Public reporting burden for the collection of
information is estimated to average 45 hours per annum per respondent
for the application and grant administration. This includes the time
for collecting, reviewing, and reporting the data for the application,
semi-annual reports, and final report. The information will be used for
grantee selection and monitoring the administration of funds. Response
to this request for information is required in order to receive the
benefits to be derived.

Appendix A

Instructions for Completion of Youthbuild

Environmental Requirements

(Exhibit 2C(15))

A. Instructions to Applicants

1. If you propose to use Youthbuild funds to cover any costs of
the lease, acquisition, rehabilitation, or new construction or real
property, you shall submit all relevant environmental information in
your application to support HUD decisionmaking in accordance with
the environmental procedures and standards described in 24 CFR
585.307. For each proposed Youthbuild property for which HUD
environmental procedures apply, you are to prepare a separate
Exhibit 2C(15) in which you supply HUD with environmental threshold
information and letters from qualified data sources (see definition
below) which support the information. HUD will review your
submission and determine how, if necessary, HUD will comply with any
federal laws and authorities that may be applicable to your property
proposed for Youthbuild funding. If environmental procedures apply
and Exhibit 2C(15) with supporting documentation is not included
then the application will be deemed ineligible.
You are to follow these instructions for preparing Exhibit
2C(15). The instructions advise you on how to obtain and document
certain information to be supplied to HUD in this exhibit. Before
selecting a property for Youthbuild funding, you should read these
instructions and be advised that HUD encourages you to select, to
the extent practicable, properties and locations that are free of
environmental hazards and problems discussed in these instructions.
The responses to the environmental criteria in Exhibit 2C(15) will
be used to determine environmental approval or disapproval by HUD of
proposals for physical development of properties.
2. After selecting a property for proposed Youthbuild funding,
you are to determine the activities to be undertaken with your
Youthbuild funds. You are to indicate in Section E whether the
Youthbuild funds will be used for:

[[Page 13987]]

a. Lease or purchase of a property;
b. Minor rehabilitation;
c. Major rehabilitation; or
d. New construction of housing.
The activities proposed for Youthbuild funding will determine
the kind of data that you will need to obtain from a qualified data
source in order to complete Exhibit 2C(15).
3. Once you have selected a property and determined the
activities for Youthbuild funding, you are advised to check with
your city or county agency that administers HUD's Community
Development Block Grant program and performs environmental reviews,
or the local planning agency. This course of action is recommended
in view of the fact that most, if not all of the data needed for
preparing Exhibit 2C(15) is readily available from the local
community development agency and the local planning agency. You are
advised to ask the environmental staff of those agencies the
following questions:
a. Has the agency ever prepared an environmental review of the
proposed Youthbuild property or the neighborhood in which the
property is located, and if so, would it provide a copy to the
applicant for use by HUD;
b. Would the agency assist you in completing section G; or if
the agency is not able to help complete any item in section G, would
the agency advise you which local or state agency is the appropriate
qualified data source for obtaining the information.
Also, you should check with the local planning agency before
proceeding elsewhere for the information.
You are advised that the cost of preparing information and
analyses needed for Exhibit 2C(15) is an eligible cost under the
Youthbuild program and is reimbursable if you are approved for a
grant.
4. Key terms used in these instructions are defined in the
following section. Most of the other terms are technical and their
definition would be known to qualified data sources.
a. Qualified data source means any federal, state, or local
agency with expertise or experience in environmental protection
(e.g., the local community development agency; the land planning
agency; the state environmental protection agency; the State
Historic Preservation Officer) or any other source qualified to
provide reliable information on the particular subject. Please
attach a letter supporting the information from each qualified data
source to Exhibit 2C(15).
b. Minor rehabilitation refers to proposed repairs and
renovations to
(1) A building for residential use (with one to four units):
(a) Where the density is not increased beyond four units;
(b) Where the land use is not changed; and
(c) Where the footprint of the building is not increased in a
floodplain or in a wetland; or
(2) A multifamily residential building (with more than four
units):
(a) Where the unit density is not changed more than 20 percent;
(b) Where the land use is not changed to non-residential; and
(c) Where the estimated cost of rehabilitation is less than 75
percent of the total estimated cost of replacement after
rehabilitation.
c. Major rehabilitation refers to proposed repairs and
renovations to:
(1) An existing building for residential use with one to four
units:
(a) Where the density is increased beyond four units;
(b) That involves changes in land use; or
(c) Where the footprint of the building is increased in a
floodplain or in a wetland.
(2) An existing multifamily building (with five or more units):
(a) Where the estimated cost of the work is 75 percent or more
of the estimated cost of replacement after completion;
(b) That involves changes in land use from residential to
nonresidential, or from nonresidential to residential; or
(c) That increases unit density by more than 20 percent.
d. Multifamily housing means any residential building that
contains five or more apartments or rooming units.
e. Single family housing means any residential building that
contains one-to-four dwelling units.
Because each federal environmental law or authority has
compliance requirements that differ according to the type of
proposed activity to be funded, you are required to supply
information in Exhibit 2C(15) only for the type of activity for
which the Youthbuild grant will be used.
f. If you propose new construction or major rehabilitation of
multifamily housing or major rehabilitation of single family
housing, you must supply complete and reliable environmental
threshold information for items 1 through 13 in section G.
g. If you propose new construction of single family housing, you
must supply complete and reliable environmental threshold
information for items 1 through 12 in section G.
h. If you propose minor rehabilitation of multifamily or single
family housing, or the purchase or lease of a property, you must
supply complete and reliable environmental threshold information for
items 1 through 7 in section G.
5. Applicants subject to HUD's environmental procedures are to
submit Exhibit 2C(15) and accompanying documentation to HUD with the
applications for grant assistance. Such applicants are prohibited
from committing or expending state, local, or other funds in order
to undertake property rehabilitation, construction (including
demolition), or acquisition (including lease), until HUD and the
grantee execute a grant agreement for the proposed Youthbuild
project.
6. HUD reserves the right to disqualify any application where
one or more environmental thresholds are exceeded if HUD determines
that the compliance review cannot be conducted and satisfactorily
completed within the HUD review period for Youthbuild applications.

B. Environmental Threshold and Documentation Requirements

The threshold and documentation requirements for each of the
federal environmental laws and authorities are described below,
following the same order as they appear in section G.

1. Site Within Designated Coastal Barrier Resources

Threshold: Youthbuild applicants are prohibited by federal law
from using federal financial assistance for properties if the
properties are located within designated coastal barriers of the
Atlantic Ocean, Gulf of Mexico, and the Great Lakes (Coastal Barrier
Resources Act, 16 U.S.C. 3501).
* Documentation: You are to select either A or B for the
condition that best describes the property and report the option
selected in item 1 of section G.
A. Your program operates in a community that does not contain
any shores along the Atlantic Ocean, the Gulf of Mexico, or the
Great Lakes.
B. Your program operates in a community that does contain shores
along the Atlantic Ocean, the Gulf of Mexico, or the Great Lakes.
You must provide HUD with a finding made by a qualified data source
stating that the proposed property is not located within a
designated coastal barrier resource by citing the map panel number
of the official maps issued by the Department of the Interior (DOI)
on the basis of which the finding was made.

2. Site Contaminated With Toxic Chemicals and Radioactive Materials

Threshold: Under HUD policy, as described in 24 CFR 50.3 (i),
HUD will not approve the provision of financial assistance to
residential properties on sites where contamination could affect the
health and safety of occupants or conflict with the intended
utilization of the property. Sites known or suspected to be
contaminated by toxic chemicals or radioactive materials include,
but are not limited to, sites: (i) listed on either an EPA Superfund
National Priorities List (NPL) or CERCLA (Comprehensive
Environmental Response, Compensation, and Liability Act) List, or
equivalent state list; (ii) located within 3,000 feet of a hazardous
or solid waste landfill site; or (iii) with an underground storage
tank (which is not a residential fuel tank).
* Documentation: You are to select either A or B for the
condition that best describes property and report the option
selected in item 2 of section G.
A. You are providing HUD with a finding made by a qualified data
source stating that the proposed Youthbuild property and any
neighboring properties do not contain any sites known or suspected
to be contaminated with toxic chemicals and radioactive materials.
B. You are providing any site contamination data by a qualified
data source in your letter for HUD's evaluation of contamination
and/or suspicion of any contamination of a proposed property or any
neighboring properties.

3. Site Affecting a Floodplain

Threshold: A property located within a floodplain and proposed
for funding is subject to Executive Order 11988, Floodplain
Management. The Executive Order directs HUD to avoid, where
practicable, proposed financial support for any floodplain property,

[[Page 13988]]

whenever HUD has options to approve properties in flood-free
locations. The Order does not apply to existing single family
properties proposed for purchase or lease except for: (a) Property
that is located within a floodway or coastal high hazard area; and
(b) substantial improvement. Substantial improvement for flood
hazard purposes means any property rehabilitation which: (i)
increases the unit density of the property; or (ii) equals or
exceeds 50 percent of the market value of the property before
rehabilitation, but excluding the costs for correcting health,
sanitary, and safety code violations. Note: Proposed funding for
substantial improvement and new construction are subject to the
Executive Order decisionmaking process. This may result in a
disqualification of your application (refer above to number 7 under
``Instructions to Applicants'').
* Documentation: You are to select A or B for the condition that
best describes your property and report the option selected in item
3 of section G.
A. You are providing HUD with a finding made by a qualified data
source stating that the property is not located within the Special
Flood Hazard Area (SFHA).
B. You are providing HUD with a finding made by a qualified data
source that the property is located within the Special Flood Hazard
Area (SFHA) and indicating if the property is located within a
floodway or coastal high hazard area.
The information for A and B must provide HUD with the flood map
panel number obtained either from the official maps issued for the
National Flood Insurance Program or from the property appraisal
report used to make the finding.
For all proposed rehabilitation of properties that are located
within a SFHA, you must provide HUD with estimates of: (1) the
property value before rehabilitation, and (2) the cost of the
proposed rehabilitation. Provide the estimates in section F.
If the property is found to be located within a SFHA, proceed to
item 4 on flood insurance protection. Otherwise proceed to item 5.

4. Building Requiring Flood Insurance Protection

Threshold: HUD will estimate the amount and period of flood
insurance coverage that is to be made a condition of approval of any
HUD financial assistance for a building located within a Special
Flood Hazard Area (SFHA). The Flood Disaster Protection Act of 1973
requires owners of HUD-assisted buildings to purchase and maintain
flood insurance protection as a condition of approval of any HUD
financial assistance for the proposed purchase, rehabilitation, or
new construction of any SFHA building. The law prescribes the
coverage period and dollar amount of flood insurance protection.
Proof of Purchase of Flood Insurance Protection: You must
provide HUD with proof of purchase of flood insurance protection for
any proposed Youthbuild building located within the SFHA, whenever
HUD funding is being used for property purchase, rehabilitation, or
new construction. The standard documentation for compliance is the
Policy Declarations form issued by the National Flood Insurance
Program (NFIP) or issued by any property insurance company offering
coverage under the NFIP. Whenever the requirement applies to
coverage that extends to future years, the grant agreement will
require that the insured have its insurer automatically forward to
HUD, in the same manner as to the insured, an information copy of
the Policy Declarations form, which is used to verify compliance.
* Documentation: You are to select either A or B for the
condition that best describes your property and report the option
selected in item 4 of section G.
A. You already own the property and attach a copy of the Policy
Declarations form confirming that a current flood insurance policy
is in effect and the policy provides adequate coverage for the
building proposed for the Youthbuild project located within the
Special Flood Hazard Area.
B. After you have purchased (or constructed, in the case of
proposed new construction) the Youthbuild property, you must obtain
and maintain flood insurance protection. For the term and amount of
coverage prescribed by law, you must provide HUD with a copy of the
Policy Declarations form confirming that the flood insurance policy
is in effect and the policy provides adequate coverage for the
Youthbuild building located within the Special Flood Hazard Area.

5. Site Within Clear Zones or Accident Potential Zones of Airports and
Airfields

Threshold: HUD policy as described in 24 CFR part 51, subpart D
applies to HUD approval of financial assistance to: (a) properties
located within clear zones; and (b) in the case of new construction
or major rehabilitation, properties located within accident
potential zones.
(a) Clear zones: New construction and major rehabilitation of a
property that is located on a clear zone site is prohibited. HUD
financial assistance in a clear zone is allowed only for the
proposed lease, purchase, or minor rehabilitation of properties (24
CFR 51.302(a)). For HUD funding approval for any property in a clear
zone: (a) HUD will give advance written notice to the prospective
property buyer in accord with 24 CFR 51.303(a)(3); and (b) a copy of
the HUD notice signed by the prospective property buyer will be
placed in the property file. The written notice informs the
prospective property buyer of: (i) the potential hazards from
airplane accidents, which studies have shown more likely to occur
within clear zones than in other areas around the airport/airfield;
and (ii) the potential acquisition by airport or airfield operators,
who may wish to buy the property at some future date as part of a
clear zone acquisition program.
(b) Accident potential zones: For properties located within the
accident potential zone (APZ), HUD shall determine whether the use
of the property is generally consistent with Department of Defense
``Land Use Compatibility Guidelines for Accident Potential Zones.''
* Documentation: You are to select either A or B for the
condition that best describes your property and report the option
selected in item 5 of section G.
A. The property is not located within 3,000 feet of a civil
airport or military airfield.
B. If your property is located within 3,000 feet of a civil
airport or military airfield, you must provide HUD with a finding
from the airport operator stating whether or not the property is
located within a runway clear zone at a civil airport, or a clear
zone or accident potential zone at a military airfield.
For properties that are located within a runway clear zone or a
clear zone or accident potential zone, if you propose to
rehabilitate such a property you must provide HUD with estimates of:
(i) the cost of the proposed rehabilitation, and (ii) the property
value after completion of the rehabilitation. The estimates are to
be provided in section F.

6. Site Is or Affects an Historic Property

Threshold: Only if a property is proposed for rehabilitation or
new construction must HUD in consultation with the State Historic
Preservation Officer (SHPO), and following the Department of the
Interior's Standards and Guidelines for Evaluation, make a
determination whether the property is:
a. Listed on or formally determined to be eligible for listing
on the National Register of Historic Places;
b. Located within or directly adjacent to an historic district;
or
c. A property whose area of potential effects includes an
historic district or property.
Historic properties and districts are subject by law to special
protection and historic preservation processing, which HUD must
perform to comply with the regulations of the Advisory Council on
Historic Preservation (ACHP: 36 CFR part 800). Note: If you are
using information from the SHPO as a qualified data source you need
to allow sufficient time to obtain the information from the SHPO.
You may wish to make special arrangements with the SHPO for rapid
review of the proposed property where this is practicable. In
addition, for properties determined to be historic properties, HUD
will require 30 to 90 days in most cases for HUD to perform historic
preservation compliance with the ACHP regulations. This may result
in a disqualification of the application (refer above to number 7
under ``Instructions to Applicants'').
* Documentation: You are to select one of the following options
that best describes the condition of your property and report the
option selected in item 6 of section G.
A. You propose financial assistance for rehabilitation or new
construction, and are providing HUD with a SHPO's finding that the
proposed Youthbuild activity:
1. Is located within an area where there are no historic
properties; or
2. Will have no effect on historic properties; or
3. Will have an effect on historic properties not considered
adverse
B. You propose financial assistance for rehabilitation or new
construction, and are providing HUD with a SHPO's finding that the
proposed Youthbuild activity will have an adverse effect on historic
properties.
C. You are providing HUD with a copy of a letter from the SHPO
stating any reason for not being able to provide you with the
requested information and finding.

[[Page 13989]]

7. Site Near Hazardous Industrial Operations

Threshold: Properties that are located near hazardous industrial
operations handling fuels or chemicals of an explosive or flammable
nature are subject to HUD safety standards (24 CFR 51, subpart C).
However, under the Youthbuild program, these standards would apply
only if you propose: (a) Construction of a building; (b) conversion
of a non-residential land use to a residential land use including
making habitable a building condemned for habitation; or (c)
rehabilitation that increases the density of a residential structure
by increasing the number of dwelling or rooming units. In the case
of tanks containing common liquid fuels, the requirement for an
acceptable separation distance (ASD) calculation only applies to
storage tanks that have a capacity of more than 100 gallons.
* Documentation: You are to select one of the following options
that best describes the condition of the property, and report the
option selected in item 7 of section G.
A. The proposed project does not include: (1) Construction of a
building; (2) conversion of a non-residential land use to a
residential land use including making habitable a building condemned
for habitation; or (3) rehabilitation that increases the density of
a residential structure by increasing the number of dwelling or
rooming units.
B. The proposed project includes: (1) Construction of a
building; (2) conversion of a non-residential land use to a
residential land use including making habitable a building condemned
for habitation; or (3) rehabilitation that increases the density of
a residential structure by increasing the number of dwelling or
rooming units; and you are providing HUD with a finding by a
qualified data source that the proposed property is not located
within the immediate vicinity of hazardous industrial operations
handling fuel or chemicals of an explosive or flammable nature by
citing data used and the maps used.
C. The applicant proposes: (1) Construction of a building; (2)
conversion of a non-residential land use to a residential land use
including making habitable a building condemned for habitation; or
(3) rehabilitation that increases the density of a residential
structure by increasing the number of dwelling or rooming units. The
grantee provides HUD a finding made by a qualified data source
stating: (1) That the proposed property is located within the
immediate vicinity of hazardous industrial operations handling fuel
or chemicals of an explosive or flammable nature; (2) the type and
scale of such hazardous industrial operations; (3) the distance of
such operations from the proposed property; (4) a preliminary
calculation of the acceptable separation distance (ASD) between such
operations and the proposed property; and (5) a recommendation as to
whether it is safe to use the property in accord with 24 CFR part
51, subpart C.

8. Site Near High Noise Source

Threshold: For new construction that is to occur in high noise
areas (i.e., exceeding 65 decibels), applicants shall incorporate
noise attenuation features to the extent required by HUD
environmental criteria and standards contained in subpart B (Noise
Abatement and Control) of 24 CFR part 51. Approvals in a Normally
unacceptable noise zone require a minimum of 5 decibels additional
sound attenuation for buildings having noise-sensitive uses if the
day-night average sound level is greater than 65 decibels but does
not exceed 70 decibels, or a minimum of 10 decibels of additional
sound attenuation if the day-night average sound level is greater
than 70 decibels but does not exceed 75 decibels.
Proposed housing sites with above 75 decibels are unacceptable
and the noise attenuation measures require the approval of the
Assistant Secretary for Community Planning and Development. In
Unacceptable noise zones, HUD strongly encourages conversion of
noise-exposed sites to non-housing land uses compatible with the
high noise levels.
For major rehabilitation projects involving five or more
dwelling units located in the ``Normally Unacceptable'' and
``Unacceptable'' noise zones, HUD actively seeks to have project
sponsors incorporate noise attenuation features, given the extent
and nature of the rehabilitation being undertaken and the level of
exterior noise exposure.
*Documentation: You are to select A or B for the condition that
best describes their project and report the option selected in item
8 of section G.
A. You are providing HUD with a finding made by a qualified data
source stating that the property proposed by the applicant for a
major rehabilitation or new construction project involving five or
more dwelling units is not located within: (1) 1,000 feet of a major
noise source, road, or highway; (2) 3,000 feet of a railroad; or (3)
1 mile of a civil or 5 miles of a military airfield.
B. The applicant provides HUD with a finding made by a qualified
data source: (1) stating that the plans for the property proposed by
the applicant for a major rehabilitation or new construction project
involving five or more dwelling units will incorporate noise
attenuation features in accord with HUD environmental criteria and
standards contained in subpart B (Noise Abatement and Control) of 24
CFR part 51; (2) stating whether the property is located within a
``Normally Unacceptable'' or ``Unacceptable'' noise zone; and (3)
providing HUD plans and a statement of the anticipated interior
noise levels.

9. Site Affecting Coastal Zone Management

Threshold: Only for proposed activities involving new
construction or major rehabilitation of multifamily housing does the
Coastal Zone Management (CZM) authority apply. Projects that can
affect the coastal zone must be carried out in a manner consistent
with the approved state coastal zone management program under
section 307 of the Coastal Zone Management Act of 1972, as amended.
*Documentation: You are to select either A or B for the
condition that best describes the project and report the option
selected in item 9 of section G.
A. You state that your project is not located within a coastal
zone, as defined by the States Coastal Zone Management Plan.
B. If your project is located within a coastal zone, you are
providing HUD with a finding made by the state coastal zone
management agency that the project proposed by the applicant is
consistent with the approved state coastal zone management program.

10. Site Affecting a Sole Source Aquifer

Threshold: The sole source aquifer authority applies primarily
to activities involving proposed new construction or conversion to
housing of non-residential property. Projects that can affect
aquifers designated by the Environmental Protection Agency (EPA)
must be reviewed for impact on such designated aquifer sources. The
Safe Drinking Water Act of 1974 requires protection of drinking
water systems that are the sole or principal drinking water source
for an area and which, if contaminated, would create a significant
hazard to public health.
*Documentation: You are to select either A or B for the
condition that best describes the project and report the option
selected in item 10 of section G.
A. You are providing HUD with a finding made by a qualified data
source stating that the proposed property is not located on nor does
it affect a sole source aquifer designated by EPA.
B. If your project proposes new construction or conversion
activities that are located on or may affect any sole source aquifer
designated by the EPA, you are identifying the aquifer and providing
HUD with an explanation of the effect on the aquifer from a
qualified data source, and/or a copy of any comments on the proposed
project that have been received from the EPA Regional Office as well
as from any state or local agency with jurisdiction for protecting
the drinking water system.

11. Site Affecting Endangered Species

Threshold: The Endangered Species Protection (ESP) authority
applies primarily to activities involving proposed new construction
or conversion to housing of a non-residential property. Projects
which can affect listed or proposed endangered or threatened species
or critical habitats require consultation with the Department of the
Interior or the Department of Commerce in compliance with the
procedure of section 7 of the Endangered Species Act of 1973, as
amended.
*Documentation: You are to select either A or B for the
condition that best describes the property and report the option
selected in item 11 of section G.
A. If your project proposes new construction or conversion
activities, you are providing HUD with a finding made by a qualified
data source that the project is not likely to affect any listed or
proposed endangered or threatened species or critical habitat. The
finding shall indicate whether the project is located within a
critical habitat, and if so, explain why the project is not likely
to affect the species or habitat.
B. If your project proposes new construction or conversion
activities that are likely to affect listed or proposed endangered

[[Page 13990]]

or threatened species or critical habitat, you are providing HUD
with a statement from a qualified data source explaining the likely
effect, and/or a finding made by the Fish and Wildlife Service of
the Department of the Interior or the National Marine Fisheries
Service of the Department of Commerce stating as acceptable the
proposed mitigation that you will provide to protect any affected
endangered or threatened species or critical habitat.

12. Site Affecting a Designated Wetland

Threshold: New construction or conversion to housing of a non-
residential property located within a designated wetland is subject
to Executive Order 11990, Protection of Wetlands. This Executive
Order directs HUD to avoid, where practicable, financial support for
new construction on wetland property. Note: Proposed funding for new
construction or conversion is subject to the Executive Order
decisionmaking process. This may result in a disqualification of the
application (refer above to number 7 under ``Instructions to
Applicants'').
*Documentation: You are to select A or B for the condition that
best describes the property and report the option selected in item
12 of section G.
A. You are providing HUD with a finding made by a qualified data
source stating that the property is not located within a designated
wetland where new construction or conversion is proposed.
B. You are providing HUD with a finding made by a qualified data
source that the property is located within a designated wetland,
which applies only to property where new construction or conversion
is proposed.
The information for A and B must provide HUD with the wetland
panel number obtained from official maps issued by the Department of
the Interior on the basis of which the finding was made, or where
the Department of the Interior has not mapped the area, a letter or
other documentation from the Army Corps of Engineers, or other
federal agency.

13. Significant Impact to the Human Environment.

Threshold: HUD must perform an environmental assessment of any
property proposed for either:
a. Major rehabilitation of:
(1) Multifamily residential buildings (with more than four
units) that would: increase unit density by more than 20 percent,
change the land use, or cost 75 percent or more of the total
estimated cost of replacement after rehabilitation; or
(2) Buildings for residential use (with one to four units) that
would increase density beyond four units, change the land use, or
increase the footprint of the building in a floodplain or in a
wetland;
b. New construction except for (A) an individual action on up to
four dwelling units where there is a maximum of four units on any
one site (The units can be four one-unit buildings or one four-unit
building or any combination in between); and (B) an individual
action on a project of five or more housing units developed on
scattered sites, when the sites are more than 2,000 feet apart and
there are not more than four housing units on any one site. It is
the policy of the Department to reject proposals that have
significant adverse environmental impacts and to encourage the
modification of projects in order to enhance environmental quality
and minimize environmental harm. This policy is authorized by the
National Environmental Policy Act (NEPA) and the implementing
regulations of the Council on Environmental Quality and HUD's
Environmental regulations at 24 CFR part 50.
*Documentation: You are to provide HUD with any information on
any adverse environmental impacts that affect the property or that
the project would create. You are to report these data on a separate
sheet and attach it to Exhibit 2C(15). Examples of adverse impacts
are: soil instability and erodibility; natural or person-made
hazards and nuisances; air pollution; inadequate infrastructure
(e.g., water supply, waste water treatment, storm water management,
solid waste collection), inadequate public services (i.e., fire,
police, health care, social services, schools, parks) and
transportation; and encroachment on prime farmlands and wild and
scenic river areas. You are to identify any significant impacts to
the human environment.

APPENDIX B

The following non-standard forms are required for your
Youthbuild application. The Youthbuild forms were approved under OMB
Approval No. 2506-0142 (expiration 12/31/06).

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[[Page 14001]]

Housing Choice Voucher Family Self-Sufficiency Program Coordinators

Overview Information

A. Federal Agency Name: Department of Housing and Urban
Development, Office of Public and Indian Housing, Office of Public
Housing and Voucher Programs.
B. Funding Opportunity Title: Housing Choice Voucher Family Self-
Sufficiency (FSS) Program Coordinators.
C. Announcement Type: Initial announcement.
D. Funding Opportunity Number: The Federal Register number for this
NOFA is FR-4950-N-17. The OMB approval number for this program is 2577-
0178.
E. Catalog of Federal Domestic Assistance (CFDA) Number: 14.871,
Section 8 Housing Choice Vouchers.
F. Dates: Application Deadline: The application submission date is
May 20, 2005. Please see the General Section for application
submission, delivery, and timely receipt requirements.
G. Optional, Additional Overview Content Information: The purpose
of the Housing Choice Voucher FSS program is to promote the development
of local strategies to coordinate the use of assistance under the
Housing Choice Voucher program with public and private resources to
enable participating families to achieve economic independence and
self-sufficiency. The FSS program and this FSS NOFA support the
Department's strategic goals of increasing homeownership activities and
helping HUD-assisted renters make progress toward self-sufficiency. The
FSS program provides critical tools that can be used by communities to
support welfare reform and help families develop new skills that will
lead to economic self-sufficiency. As a result of their participation
in the FSS program, many families have achieved stable, well-paid
employment, which has made it possible for them to become homeowners.
An FSS program coordinator assures that program participants are linked
to the supportive services they need to achieve self-sufficiency.

Full Text of Announcement

I. Funding Opportunity Description

A. Authority and Program Description. The Consolidated
Appropriations Act, 2005, allows funding for program coordinators under
the Housing Choice Voucher FSS program. Through annual NOFAs, HUD has
provided funding to public housing agencies (PHAs) that are operating
Housing Choice Voucher FSS programs to enable those PHAs to employ
program coordinators to support their Housing Choice Voucher FSS
programs. In the Fiscal Year (FY) 2005 Housing Choice Voucher FSS
Program Coordinator NOFA, HUD is again making funding available to PHAs
to employ FSS program coordinators and FSS homeownership program
coordinators for one year. Funding priority under this NOFA will be
provided to applicants that demonstrate that their FSS families have
made progress in moving to homeownership. HUD will accept applications
from both new and renewal PHAs that have HUD approval to administer a
Housing Choice Voucher FSS program. PHAs funded under the Housing
Choice Voucher FSS NOFA in FY2004 are considered ``renewal'' PHAs in
this NOFA. These renewal PHAs are invited to apply for funds to
continue previously funded Housing Choice Voucher FSS program
coordinator and FSS homeownership coordinator positions that they have
filled. In addition, any renewal PHA that has demonstrated significant
progress in expanding FSS homeownership opportunities may apply for an
additional Housing Choice Voucher FSS homeownership coordinator to
support Housing Choice Voucher FSS homeownership activities. For
funding Category 1 of this NOFA only, eligible renewal PHA applicants
include PHAs that received funding under the FY2003 FSS NOFA.
Because of the importance of the FSS program in helping families
increase earned income and develop assets, HUD will also accept
applications from ``new'' PHAs, PHAs that do not qualify as renewal
PHAs under this FSS NOFA. The maximum number of positions that a new
applicant PHA, including new PHA joint applicants, may receive is one
full-time FSS program coordinator. Preference in funding these ``new''
applicant PHAs will be given to applicants with documented home
purchases by Housing Choice Voucher program participants and graduates.
A definition of the Housing Choice Voucher Home Purchase Percentage
that will be used for this preference is found in I.C.10 of this FSS
NOFA.
To support the Department's initiatives on Colonias, a selection
preference is again included in this NOFA for ``new'' applicant PHAs
that provide services and support to rural under-served communities in
the Southwest Border regions of Arizona, California, New Mexico, and
Texas. See Section III.C.3.c. of this NOFA for requirements that must
be met to qualify for the Colonias preference.
PHAs are encouraged to outreach to persons with disabilities who
are Housing Choice Voucher program participants and might be interested
in participating in the FSS program and to include agencies on their
FSS Program Coordinating Committee (PCC) that work with and provide
services for families with disabilities.
Applicants must administer the FSS program in accordance with HUD
regulations and requirements in 24 CFR part 984 which govern the
Housing Choice Voucher FSS Program and must comply with the existing
Housing Choice Voucher program requirements, notices and guidebooks.
B. Number of Positions for Which Eligible PHAs May Apply. Eligible
PHAs may apply for funding for Housing Choice Voucher FSS program
coordinator positions under this NOFA as follows:
1. Renewal PHAs. PHAs that qualify as eligible renewal PHAs under
this NOFA, may apply for:
a. Continuation of each FSS coordinator position, including
homeownership coordinator positions, awarded under the Housing Choice
Voucher FSS NOFA in FY2004 that has been filled by the PHA, and, for
funding Category 1 of this NOFA only, continuation of eligible
positions funded under the FY2003 FSS NOFA.
b. New Position. Up to one additional full-time Housing Choice
Voucher FSS homeownership program coordinator for renewal PHAs with
qualifying homeownership programs.
2. New PHAs. A PHA that meets the requirements for a new PHA under
this FSS NOFA, may apply for Housing Choice Voucher FSS program
coordinator positions as follows: a) Up to one full-time Housing Choice
Voucher FSS coordinator position for a PHA with HUD approval to
administer a Housing Choice Voucher FSS program of 25 or more FSS
slots. b) Up to one full-time Housing Choice Voucher FSS coordinator
position per application for joint PHA applicants that together have
HUD approval to administer a total of at least 25 Housing Choice
Voucher FSS slots.
C. Definitions. The following definitions apply to the funding
available under this NOFA.
1. Renewal PHA Applicant. A PHA or PHAs that received funding under
the Housing Choice Voucher FSS NOFA in FY2004. For purposes of Category
1 applicants only, eligible renewal PHAs also include PHAs that
received FSS funding in 2003.
2. New PHA Applicant. PHAs that did not receive funding under the
Housing Choice Voucher FSS NOFA in FY2004 that have HUD approval to
administer a Housing Choice Voucher FSS program

[[Page 14002]]

of at least 25 slots or that fulfill the 25 slot minimum by applying
jointly with one or more other PHAs.
3. FSS Program Size. The total number of Housing Choice Voucher FSS
program slots identified in the PHA's HUD-approved FSS Action Plan. The
total may include both voluntary and mandatory Housing Choice Voucher
FSS program slots.
4. Qualifying FSS Homeownership Program. Qualifying programs
include the Housing Choice Voucher program homeownership option or
other programs administered by the PHA or other entities that prepare
Housing Choice Voucher program FSS participants for making the
transition from renting to homeownership.
5. FSS Homeownership Percentage. A percentage that will be computed
by HUD for the purpose of establishing the order of funding of eligible
renewal applicants under this NOFA. It is the total number of an
applicant's Housing Choice Voucher FSS homeownership families as a
percentage of the PHA's Housing Choice Voucher FSS program
participants.
6. Total Number of FSS Homeownership Families. The total number of
Housing Choice Voucher FSS homeownership families enrolled in the
applicant's Qualifying Homeownership Programs as of the application due
date of this NOFA, plus the number of its Housing Choice Voucher FSS
graduates that moved to homeownership between October 1, 2000, and the
application due date of this NOFA. Homeownership participation of
families is reported to HUD on the FSS program coordinator application
and on the form HUD-50058. These numbers are subject to audit.
7. The Number of Housing Choice Voucher FSS Program Participants.
The number that is used to calculate the FSS Homeownership Percentage
of the applicant. It is the total number of families shown in HUD's PIC
data system as enrolled in the applicant's Housing Choice Voucher FSS
program on the application due date of this NOFA, plus the number of
families that successfully completed their Housing Choice Voucher FSS
contracts in the applicant's program between October 1, 2000, and the
application due date of this NOFA.
8. Percentage of Families with Positive FSS Escrow Balances. A
percentage that will be computed by HUD and used to determine funding
order under this NOFA. It is the number of Housing Choice Voucher FSS
families with positive escrow balances as a percentage of Housing
Choice Voucher FSS families with FSS progress reports submitted to HUD
on the Form HUD-50058. The data source is HUD's PIC data system records
of Form HUD-50058 Housing Choice Voucher FSS program progress reports
that were effective between October 1, 2003, and the application due
date of this NOFA.
9. Housing Choice Voucher Program Size. The number of Housing
Choice Vouchers in a PHA's voucher program as determined by HUD using
baseline data.
10. Housing Choice Voucher Program Home Purchase Percentage. A
percentage calculated for new applicant PHAs that are eligible for
funding under Category 3 of this FSS NOFA. It is the number of
documented home purchases by Housing Choice Voucher program
participants and graduates for the period from October 1, 2000 through
the application due date of this NOFA as a percentage of the
applicant's Housing Choice Voucher program size.

II. Award Information

A. Available Funds

This NOFA announces the availability of approximately $45.6 million
in FY2005 to employ FSS program and FSS homeownership coordinators for
the Housing Choice Voucher FSS program. If additional funding becomes
available during FY2005, HUD may increase the amount available for
Housing Choice Voucher FSS Program coordinators and Housing Choice
Voucher FSS homeownership coordinators under this NOFA. A maximum of
$63,000 is available for each full-time coordinator position funded.
Salaries are to be based on local comparables. The funding will be
provided as a one-year Housing Choice Voucher funding increment under
the PHA's Annual Contributions Contract (ACC). HUD reserves the right
to adjust funding for renewal positions in order to ensure a fair and
reasonable distribution of funding.

III. Eligibility Information

A. Eligible Applicants. PHAs eligible to apply for funding under
this NOFA are:
1. Renewal PHAs. Those PHAs that received funding under the Housing
Choice Voucher FSS NOFA in FY2004. To continue to qualify as renewal
PHAs, the FY2005 application of joint applicants must include at least
one PHA applicant that meets this standard. Joint applicants can change
the lead PHA in their FY2005 application. A PHA that was originally
funded as part of a joint application, that wishes to now apply
separately would continue to be considered a renewal PHA applicant for
funding purposes, but must be able to meet the FSS minimum program size
requirement of a HUD-approved Housing Choice Voucher FSS program of at
least 25 slots that applies to new applicant PHAs. For purposes of
Category 1 applicants only, eligible renewal PHAs also include PHAs
that received FSS funding in 2003.
2. New PHAs. PHAs that were not funded under the Housing Choice
Voucher FSS NOFA in FY2004. The new applicant PHA must be authorized
through its HUD-approved FSS Action Plan to administer a Housing Choice
Voucher FSS program of at least 25 slots, or be a PHA with HUD approval
to administer Housing Choice Voucher FSS programs of fewer than 25
slots that applies jointly with one or more other PHAs so that together
they have HUD approval to administer at least 25 Housing Choice Voucher
FSS slots. Joint applicants must specify a lead co-applicant that will
receive and administer the FSS program coordinator funding.
3. Moving to Work (MTW) PHAs. New and renewal PHAs that are under
the MTW demonstration may qualify for funding under this NOFA if the
PHA administers an FSS program. When determining the size of a MTW
PHA's HUD-approved FSS program, the PHA may request that the number of
FSS slots reflected in the PHA's MTW agreement be used instead of the
number in the PHA's FSS Action Plan.
4. Troubled PHAs. a. A PHA that has been designated by HUD as a
troubled PHA under the Section 8 Management Assessment Program (SEMAP),
or that has serious program management findings from Inspector General
audits or serious outstanding HUD management review or Independent
Public Accountant (IPA) audit findings for the PHA's Housing Choice
Voucher or Moderate Rehabilitation programs that are resolved prior to
application due date is eligible to apply under this NOFA. Serious
program management findings are those that would cast doubt on the
capacity of the PHA to administer its Housing Choice Voucher FSS
program in accordance with applicable HUD regulatory and statutory
requirements.
b. The requirements that apply to a PHA whose SEMAP troubled
designation has not been removed by HUD or the major program management
findings or other significant program compliance problems that have not
been resolved by the due date are stated in Section III.C.3.e. of this
NOFA.
B. Cost Sharing or Matching. None required.

[[Page 14003]]

C. Other. 1. Eligible Activities. Funds awarded to PHAs under this
FSS NOFA may only be used to pay salaries and fringe benefits of
Housing Choice Voucher FSS program staff. Funding may be used to employ
or otherwise retain for one year the services of Housing Choice Voucher
FSS program coordinators and Housing Choice Voucher FSS homeownership
coordinators. FSS coordinator support positions funded under previous
FSS NOFAs that made funding available for such FSS positions may be
continued. A part-time program coordinator may be retained where
appropriate.
2. Threshold Requirements. a. All Applicants.
(1) Each applicant must qualify as an eligible PHA under Section
III.A. of this NOFA and must have submitted their FSS application by
the application due date and in the format required in Section IV. of
this NOFA.
(2) All applications must include a Dun and Bradstreet Universal
Numbering System (DUNS) number. (See Section III.C. of the General
Section for further information about the DUNS number requirement.)
(3) Civil Rights Thresholds, Non-discrimination, Affirmatively
Furthering Fair Housing. All applicants must comply with these
requirements. Please see Section III.C. of the General Section for
details. Section 3 of the Housing and Urban Development Act of 1968
does not apply to this program.
(4) The PHA must have a financial management system that meets
federal standards. See Section III.C. of the General Section regarding
those applicants that may be subject to HUD's arranging for a pre-award
survey of an applicant's financial management system.
(5) Applicants must comply with the requirements for funding
competitions established by the HUD Reform Act of 1989 (42 U.S.C. 3531
et seq.) and other requirements as defined in the General Section.
b. Renewal Applicants. (1) Continued funding for existing
coordinator positions. In addition to meeting the requirements of
Section III.A.of this FSS NOFA, renewal PHA applicants must continue to
operate a Housing Choice Voucher FSS program, have filled eligible FSS
program coordinator positions for which they are seeking renewal
funding, executed FSS contracts of participation with Housing Choice
Voucher FSS program families and submitted reports on participant
families to HUD via the form HUD-50058.
(2) New position. Renewal PHAs applying for an additional Housing
Choice Voucher FSS Homeownership Coordinator must meet all requirements
in Section III.A. and III.C.2.a and b. above, and must administer or
participate in a qualifying homeownership program that serves Housing
Choice Voucher FSS program participants or graduates. Qualifying
homeownership programs include the Housing Choice Voucher program
homeownership option and other programs, which may be administer by the
PHA or another entity, that prepare Housing Choice Voucher program FSS
participants for making the transition from rental to homeownership.
c. New Applicants. New applicants must meet the requirements of
Section III.A. and Section III C.2.a of this FSS NOFA.
3. Program Requirements. a. Salary Comparables. For all positions
requested under this NOFA, evidence of salary comparability to similar
positions in the local jurisdiction must be kept on file in the PHA
office.
b. FSS Action Plan. The requirements for the FSS Action Plan are
stated in 24 CFR 984.201. For a new PHA applicant to qualify for
funding under this NOFA, the PHA's initial FSS Action Plan or amendment
to change the number of Housing Choice Voucher FSS slots in the PHA's
previously HUD-approved FSS Action Plan, must be submitted to and
approved by the PHA's local HUD field office prior to the application
due date of this FSS NOFA. An FSS Action Plan can be updated by means
of a simple one-page addendum that reflects the total number of Housing
Choice Voucher FSS slots (voluntary and /or mandatory slots) the PHA
intends to fill. New PHA applicants with previously approved Housing
Choice Voucher FSS Action Plans may wish to confirm the number of HUD-
approved slots their local HUD field office has on record for the PHA.
A MTW PHA may request that the number of FSS slots reflected in its MTW
agreement be used instead of the number of slots in the PHA's FSS
Action Plan.
c. Colonias Preference. New applicant PHAs claiming the Colonias
preference must meet the requirements of Section III.A. and Section
III.C.2.a and III.C.2.c. of this FSS NOFA and must operate in a
Southwest border area that contains Colonia communities and administer
programs that include outreach to members of those Colonia communities.
Attachment A of this NOFA provides a listing of PHAs in Arizona,
California, New Mexico, and Texas that HUD has identified as operating
in areas containing Colonia communities. PHAs not listed in Attachment
A that are claiming the Colonias preference will be required to include
in their application submission a written request that HUD determine
their eligibility for the preference.
d. Homeownership Preferences. See priority funding categories in
Section V.B.2. of this FSS NOFA.
e. Troubled PHAs. A PHA whose SEMAP troubled designation has not
been removed by HUD or that has major program management findings or
other significant program compliance problems that have not been
resolved by the application due date, may apply if the PHA submits an
application that designates another organization or entity that is
acceptable to HUD that:
(1) Includes an agreement by the other organization or entity to
administer the FSS program on behalf of the PHA; and
(2) In the instance of a PHA with unresolved major program
management findings, includes a statement that outlines the steps the
PHA is taking to resolve the program findings.
Immediately after the publication of this NOFA, the Office of
Public Housing in the local HUD field office will notify, in writing,
those PHAs that have been designated by HUD as troubled under SEMAP,
and those PHAs with unresolved major program management findings or
other significant program compliance problems that are not eligible to
apply without such an agreement. Concurrently, the local HUD field
office will provide a copy of each such written notification to the
Director of the Grants Management Center.
f. Conducting Business in Accordance with Core Values and Ethical
Standards. To reflect core values, all PHAs shall develop and maintain
a written code of conduct in the PHA administrative plan that:
(1) Requires compliance with the conflict of interest requirements
of the Housing Choice Voucher Program at 24 CFR 982.161; and
(2) Prohibits the solicitation or acceptance of gifts or
gratuities, in excess of a nominal value, by any officer or employee of
the PHA, or any contractor, subcontractor, or agent of the PHA. The
PHA's administrative plan shall state PHA policies concerning PHA
administrative and disciplinary remedies for violation of the PHA code
of conduct. The PHA shall inform all officers, employees, and agents of
its organization of the PHA's code of conduct.

IV. Application and Submission Information

A. Addresses to Request Application Package

1. Web site. A copy of this funding announcement for the Housing
Choice

[[Page 14004]]

Voucher FSS Program may be downloaded from the following web site:
http://www.grants.gov.
2. Application Kit. There is no application kit for this NOFA. This
announcement contains all the information necessary for the submission
of your application for Housing Choice Voucher FSS program coordinator
funding.
3. Further Information. You may request general information, copies
of the General Section and of a Program NOFA or NOFAs, from the NOFA
Information Center (800-HUD-8929) or 800-HUD-2209 (TTY) between the
hours of 10 a.m. and 6:30 p.m. (Eastern Time) Monday through Friday,
except on federal holidays. When requesting information, please refer
to the name of the program you are interested in. The NOFA Information
Center opens for business simultaneously with the publication of the
SuperNOFA. You can also obtain information on this NOFA and download
application information for this NOFA through the web site, http://
www.grants.gov.
4. Technical Assistance. See Section VII. of this FSS funding
announcement.

B. Content and Form of Application Submission

1. Content of Application. Each new and renewal PHA must complete
the form SF-424, the SF-LLL, if appropriate, and the Form HUD-52651,
the new FSS application form. In addition, the application must include
a completed Logic Model (from HUD 96010) showing proposed performance
measures. See the General Section for information on, and a copy of,
the Logic Model. A copy of the HUD-52651 follows immediately after
Attachment A of this NOFA. In completing the SF-424, renewal PHAs
should select the continuation box on question 8, type of application.
Both new and renewal PHA applicants should enter the proposed Annual
Contributions Contract (ACC) amendment effective and ending dates for
the FSS coordinator funding in 13 of the SF-424. In section 15 of SF-
424, estimated funding, complete only 15.a., which will be the amount
requested from HUD in the FY2005 FSS application, and 15.g., Total.
2. Forms, Certifications, and Assurances. See section IV.B. of the
General Section.

C. Submission Date and Time

Your completed application must be submitted and received by
Grants.gov no later than 11:59:59 p.m. eastern time on the application
submission date of May 20, 2005. Applicants should carefully read the
section titled ``APPLICATION and SUBMISSION INFORMATION'' in part IV.
of the General Section regarding HUD's procedures pertinent to the
submission of your application as they have changed significantly this
year.

D. Intergovernmental Review

Applicants submitting applications under this funding announcement
are not subject to intergovernmental review; i.e., Executive Order (EO)
12372, Intergovernmental Review of Federal Program.

E. Funding Restrictions

1. Salary Cap. Awards under this NOFA are subject to a cap of
$63,000 per year per full time coordinator position funded. Under this
NOFA, if PHAs apply jointly, the $63,000 maximum amount that may be
requested per position applies to up to one full time coordinator
position for the application as a whole, not to each PHA separately.
2. Limitation on Renewal Funding Increases. For renewal coordinator
positions, PHAs will be limited to a one percent increase above the
amount of the most recent award for the position unless a higher
increase is approved by the local HUD field office after review of the
PHA's written justification and at least three comparables that must be
submitted to the field office by the PHA at the time they submit their
FY2005 Housing Choice Voucher FSS Program Coordinator application to
HUD. Examples of acceptable reasons for increases above one percent
would be need for a coordinator with higher level of skills or to
increase the hours of a part time coordinator to full time. Total
positions funded cannot exceed the maximum number of positions for
which the PHA is eligible under this NOFA.
3. Ineligible Activities. a. Funds under this NOFA may not be used
to pay the salary of an FSS coordinator for a public housing FSS
program. A Housing Choice Voucher FSS program coordinator may only
serve Housing Choice Voucher families while the public housing FSS
program serves only public housing residents. In FY2005, funding for
public housing FSS program coordinators is being made available through
the Public Housing Resident Opportunities and Self-Sufficiency (ROSS)
NOFA for Public Housing FSS Program Coordinators that is included in
the FY2005 SuperNOFA.
b. Funds under this FSS NOFA may not be used to pay for services
for FSS program participants.

F. Other Submission Requirements

1. Application Submission and Receipt Procedures. See IV.F of the
General Section. Electronic application submission is mandatory unless
an applicant requests, and is granted, a waiver to the requirement.
Procedures for obtaining a waiver are contained in Section IV.F of the
General Section.

V. Application Review Information

A. Criteria. The funds available under this NOFA are being awarded
based on demonstrated performance. Applications are reviewed by the
local HUD field office and GMC to determine whether or not they are
technically adequate based on the NOFA requirements. Field offices will
provide to the GMC in a timely manner, as requested, information needed
by the GMC to make its determination, such as the HUD-approved Housing
Choice Voucher FSS program size of new PHA applicants and information
on the administrative capabilities of PHAs. Categories of applications
that will not be funded are stated in Section V.B.6. of this FSS NOFA.
B. Reviews and Selection Process. 1. Technically Acceptable
Applications. All technically adequate applications will be funded to
the extent funds are available.
2. Funding Priority Categories. If HUD receives applications for
funding greater than the amount made available under this NOFA, HUD
will divide eligible applications into priority categories as follows:
Funding Category 1--Applications from eligible renewal PHAs with
qualifying homeownership programs for continuation of previously funded
eligible positions where the PHA has hired the funded FSS and
homeownership coordinators and the PHA can demonstrate that a minimum
of five (5) Housing Choice Voucher FSS program participants or
graduates purchased homes between October 1, 2000 and the application
due date of this FSS NOFA (that can be confirmed by homeownership
information in the PIC data base from form HUD-50058) or as otherwise
reported for Moving to Work (MTW) homeownership. For purposes of
Category 1 applicants only, eligible renewal PHAs also include PHAs
that received FSS funding in FY 2003.
Funding Category 2--Eligible renewal PHAs with qualifying
homeownership programs for continuation of previously funded eligible
positions where the PHA has hired funded coordinators and completed one
of the following: (a) As of the application due date of this FSS

[[Page 14005]]

NOFA, has successfully enrolled a minimum of twenty-five (25) Housing
Choice Voucher FSS families into homeownership preparation activities,
including homeownership counseling; or (b) Between October 1, 2000 and
the application due date of this FSS NOFA, a minimum of one (1) Housing
Choice Voucher FSS family completed purchase of a home as reported in
the PIC data base or as otherwise reported for MTW homeownership
closings.
Funding Category 3--Applications from eligible new applicant PHAs
that wish to initiate an FSS homeownership program that serves Housing
Choice Voucher families. Those PHAs with documented home purchases by
Housing Choice Voucher program participants and graduates and PHAs
qualifying for the Colonias preference will receive preference.
Funding Category 4--Applications from eligible renewal PHAs with
qualifying homeownership programs that request funding for an
additional Housing Choice Voucher FSS homeownership position to expand
their FSS homeownership programs provided the applicant can document
that a minimum of ten (10) Housing Choice Voucher FSS participants or
graduates completed purchases of homes between October 1, 2000 and the
application due date of this FSS NOFA.
Funding Category 5--Applications from new applicant PHAs that have
an existing Housing Choice Voucher FSS program and can demonstrate they
have a minimum of ten (10) Housing Choice Voucher FSS families with
existing positive escrow balances as of the application due date of the
FSS NOFA or have had a minimum of 20 families that have graduated from
the Housing Choice Voucher FSS program between October 1, 2000 and the
application due date of this FSS NOFA.
3. Order of Funding. Starting with Funding Category 1, HUD will
first determine whether there are sufficient monies to fund all
eligible positions requested in the funding category. If available
funding is not sufficient to fund all positions requested in the
category, HUD will fund applications in the following order:
(a) Funding Category 1. HUD will calculate for each eligible
applicant, the PHA's FSS Homeownership Percentage and Positive Escrow
Percentage and will use these percentages in making funding decisions.
Definitions and a description of the calculation of the FSS
Homeownership Percentage and the Positive Escrow Percentage are
included in Section I.C. of this NOFA.
HUD will begin funding eligible Funding Category 1 applicants
starting with the PHAs with the highest FSS Homeownership Percentage
first. If monies are not sufficient to fund all applicants with the
same FSS Homeownership Percentage, HUD will fund eligible applicants in
order starting with those that have the highest Positive Escrow
Percentage first. If funding is not sufficient to fund all applicants
with the same FSS Homeownership Percentage and/or Positive Escrow
Percentage, HUD will select among eligible applicants by Housing Choice
Voucher program size starting with eligible applicants with the
smallest Housing Choice Voucher program size first.
(b) Funding Category 2. If funding remains after funding all
Funding Category 1 applications, HUD will then process eligible Funding
Category 2 applications. HUD will calculate the FSS Homeownership
Percentage and Positive Escrow Percentage for Funding Category 2
applicants as it did for Funding Category 1 applicants. If there are
not sufficient monies to fund all Funding Category 2 applications, HUD
will begin funding Funding Category 2 applications starting with
applicants with the highest FSS Homeownership Percentage first. If
there is not enough funding for all applicants with the same FSS
Homeownership Percentage, HUD will use Positive Escrow Percentage to
determine selection order, starting with applicants with the highest
Positive Escrow Percentage. If monies are not sufficient to fund all
applicants with the same FSS Homeownership Percentage and Positive
Escrow Percentage, HUD will select eligible applicants by Housing
Choice Voucher program size starting with eligible applicants with the
smallest Housing Choice Voucher program size first.
(c) Funding Category 3. If funding remains after funding all
Funding Category 1 and 2 applications, HUD will then process requests
of eligible Funding Category 3 applicant PHAs. HUD will first calculate
the Housing Choice Voucher Program Home Purchase Percentage for all
eligible Funding Category 3 applicants. This percentage is the number
of documented home purchases by Housing Choice Voucher program
participants and graduates for the period from October 1, 2000 through
the application due date of this NOFA as a percentage of the
applicant's Housing Voucher Program size. If there are not sufficient
monies to fund all eligible positions requested, HUD will begin funding
positions starting with PHAs eligible for the Colonias preference,
starting with PHAs with the smallest Housing Choice Voucher program
size first. If monies are still available, HUD will begin funding
Category 3 applications from PHAs with the highest Housing Choice
Voucher Program Home Purchase Percentage first. If there are not
sufficient monies to fund all applications with the same percentage of
documented home purchases, HUD will select eligible applicants in order
by Housing Choice Voucher program size starting with eligible
applicants with the smallest Housing Choice Voucher program size first.
(d) Funding Category 4. If funds remain after funding all Category
1 through 3 applicants have been funded, HUD will then process
applications from eligible renewal applicants that have requested
funding for an additional FSS coordinator position to support Housing
Choice Voucher FSS homeownership activities. If there are not
sufficient monies to fund all eligible positions requested, HUD will
use the FSS Homeownership Percentage and the Positive Escrow Percentage
that has been calculated for these PHAs and will begin funding eligible
applications starting with applicants with the highest FSS
Homeownership Percentage first. If monies are not sufficient to fund
all applicants with the same FSS Homeownership Percentage, HUD will use
Positive Escrow Percentage to determine selection order, starting with
applicants with the highest Positive Escrow Percentage. If monies are
not sufficient to fund all applicants with the same FSS Homeownership
Percentage and Positive Escrow Percentage, HUD will select eligible
applicants by Housing Choice Voucher program size starting with
eligible applicants with the smallest Housing Choice Voucher program
size first.
(e) Funding Category 5. If funding remains after funding all
Funding Category 1 through 4 applicants, HUD will then process
applications from eligible Funding Category 5 applicants for an initial
coordinator position. If there are not sufficient monies to fund all
eligible Category 5 applicants, HUD will first fund applications from
eligible Funding Category 5 applicants that qualify for the Colonias
preference starting with the smallest Housing Choice Voucher programs
first. If funding remains, HUD will calculate the Positive Escrow
Percentage for all remaining Category 5 applications and will begin
funding Category 5 applications starting with applicants with the
highest Positive Escrow Percentage first. If monies are not sufficient
to fund all applicants with the same Positive Escrow Percentage, HUD
will select eligible applicants by Housing Choice Voucher program size

[[Page 14006]]

starting with eligible applicants with the smallest Housing Choice
Voucher program size first.
(f) Remaining Funds. If any funding remains, HUD will calculate the
FSS Homeownership Percentage and Positive Escrow Percentage for all
remaining eligible applicants and will begin funding any remaining
eligible applications starting with those with the highest FSS
Homeownership Percentage first. If funding remains, HUD will then begin
funding any remaining unfunded applications starting with those with
the highest positive escrow percentage.
4. Based on the number of applications submitted, the GMC may elect
not to process applications for a funding priority category where it is
apparent that there are insufficient funds available to fund any
applications within the priority category.
5. Corrections to Deficient Applications. a. The General Section of
the NOFA provides the procedures for corrections to deficient
applications. An example of a correctable technical deficiency
includes, but is not limited to: submission of a Form SF-424 or FSS
application Form HUD-52651 with missing information.
6. Unacceptable Applications. After the technical deficiency
correction period (as provided in the General Section), the GMC will
disapprove PHA applications that it determines are not acceptable for
processing. Applications from PHAs that fall into any of the following
categories are ineligible for funding under this NOFA and will not be
processed:
a. An application submitted by an entity that is not an eligible
PHA as defined under Section III.A. and Section III.C. of this FSS NOFA
or an application that does not comply with the requirements of Section
IV.B. IV.C. and IV.F. of this FSS NOFA.
b. An application from a PHA that does not meet the fair housing
and civil rights compliance requirements of the General Section of the
NOFA.
c. An application from a PHA that does not comply with the
prohibition against lobbying activities of this NOFA.
d. An application from a PHA that as of the application due date
has not made progress satisfactory to HUD in resolving serious
outstanding Inspector General audit findings, or serious outstanding
HUD management review or IPA audit findings for the Housing Choice
Voucher program and/or Moderate Rehabilitation program or a
``troubled'' rating under SEMAP, and has not designated another
organization acceptable to HUD to administer the FSS program on behalf
of the PHA as required in Section III.C.3.e. of this FSS NOFA.
e. An application from a PHA that has been debarred or otherwise
disqualified from providing assistance under the program.
f. An application that did not meet the application due date and
timely receipt requirements as specified in this NOFA and the General
Section.
g. Applications will not be funded which do not meet the Threshold
requirements identified in this NOFA and the General Section.
C. Anticipated Announcement and Award Dates. It is anticipated the
announcement of Housing Choice Voucher FSS program coordinator awards
will take place during either the months of July or August 2005.

VI. Award Administration Information

A. Award Notices. Successful applicants will receive an award
letter from HUD. Funding will be provided to successful applicants as
an amendment to the Annual Contributions Contract (ACC) of the
applicant PHA. In the case of awards to joint applicants, the funding
will be provided as an amendment to the ACC of the lead PHA that was
identified in the application.
Unsuccessful applicants will receive a notification of rejection
letter from that GMC that will state the basis for the decision. The
applicant may request an applicant debriefing. Beginning not less than
30 days after the awards for assistance are publicly announced in the
Federal Register and for at least 120 days after awards for assistance
are announced publicly, HUD will, upon receiving a written request,
provide a debriefing to the requesting applicant. (See Section VI.A. of
the General Section for additional information regarding a debriefing.)
Applicants requesting to be debriefed must send a written request to:
Iredia Hutchinson, Director; Grants Management Center; U. S. Department
of Housing and Urban Development, 501 School Street, SW., Suite 800;
Washington, DC 20024.
B. Administrative and National Policy Requirements.
1. Environmental Impact. No environmental review is required in
connection with the award of assistance under this NOFA, because the
NOFA only provides funds for employing a coordinator that provides
public and supportive services, which are categorically excluded from
environmental review under the National Environmental Policy Act of
1969 (42 U.S.C. 4321) and not subject to compliance actions for related
environmental authorities under 24 CFR 50.19(b)(4) and (12).
2. HUD's Strategic Goals. HUD is committed to ensuring that
programs result in the achievement of HUD's strategic mission. The FSS
program and this FSS NOFA support the Department's strategic goals of
increasing homeownership activities and helping HUD-assisted renters
make progress toward self-sufficiency by giving funding preference to
PHAs whose FSS programs show success in moving families to self-
sufficiency and homeownership. You can find out about HUD's Strategic
Framework and Annual Performance Plan at http://www.hud.gov/offices/
cfo/reports/cforept.cfm.
3. HUD Policy Priorities. This NOFA supports the HUD policy
priority of providing increased homeownership opportunities to program
participants. In this NOFA, funding priority is given to those PHA
applicants that demonstrate that their FSS families have participated
in homeownership programs. See Section V.B. of the General Section for
a full discussion of HUD's policy priorities.
C. Reporting. Successful applicants must report activities of their
FSS enrollment, progress and exit activities of their FSS program
participants through required submissions of the Form HUD-50058. HUD's
assessment of the accomplishments of the FSS programs of PHAs funded
under this NOFA will be based primarily on Public Housing Information
Center (PIC) system data obtained from the Form HUD-50058. MTW PHAs
that do not report to HUD on the Form HUD-50058 will be asked to submit
an annual report to HUD with the same information on FSS program
activities that is provided to HUD by non-MTW PHAs via the Form HUD-
50058. An applicant is also required to submit a completed Logic Model
showing accomplishments against proposed outputs and outcomes as part
of their annual reporting requirement to HUD. In addition, HUD requires
that funded recipients collect racial and ethnic beneficiary data. It
has adopted the Office of Management and Budget's Standards for the
Collection of Racial and Ethnic Data. In view of these requirements,
funded recipients should use Form HUD-27061, Racial and Ethnic Data
Reporting Form (found on http://www.HUDclips.org), a comparable program
form, or a comparable electronic data system for this purpose.

VII. Agency Contacts

A. For Technical Assistance. For answers to your questions, you may
contact the Public and Indian Housing Resource Center at 800-955-2232.

[[Page 14007]]

Persons with hearing or speech impairments may access this number via
TTY (text telephone) by calling the Federal Information Relay Service
at 800-877-8339. (These are toll-free numbers). Prior to the
application deadline, staff at the numbers given above will be
available to provide general guidance, but not guidance in actually
preparing the application. Following selection, but prior to award, HUD
staff will be available to assist in clarifying or confirming
information that is a prerequisite to the offer of an award by HUD.
B. Satellite Broadcast. HUD will hold an information broadcast via
satellite for potential applicants to learn more about the Housing
Choice Voucher FSS program and preparation of an application. For more
information about the date and time of this broadcast, you should
consult the HUD web site at http://www.hud.gov.

VIII. Other Information

A. Paperwork Reduction Act: The information collection requirements
contained in this document have been approved by the Office of
Management and Budget (OMB) under the Paperwork Reduction Act of 1995
(44 U.S.C. 3501-3520) and assigned OMB control number 2577-0178. In
accordance with the Paperwork Reduction Act, HUD may not conduct or
sponsor, and a person is not required to respond to, a collection of
information unless the collection displays a currently valid OMB
control number. Public reporting burden for the collection of
information is estimated to average one hour per annum per respondent
for the application and grant administration. This includes the time
for collecting, reviewing, and reporting the data for the application
and other required reporting. The information will be used for grantee
selection and monitoring the administration of funds. Response to this
request for information is required in order to receive the benefits to
be derived.
B. Public Access, Documentation, and Disclosure. See Section VIII.
F. of the General Section.

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Rural Housing and Economic Development Program Overview Information

A. Federal Agency Name: Department of Housing and Urban
Development, Community Planning and Development, Office of Rural
Housing and Economic Development.
B. Funding Opportunity Title: Rural Housing and Economic
Development (RHED) program.
C. Announcement Type: Initial Announcement.
D. Funding Opportunity Number: The Federal Register number is FR-
4950-N-34. The OMB approval number is 2506-0169.
E. Catalog of Federal Domestic Assistance (CFDA) Number: Rural
Housing and Economic Development. The CDFA number is 14.250.
F. Application Due Date: The application submission date is May 17,
2005.
G. Optional Additional Overview Information: 1. The purpose of the
Rural Housing and Economic Development program is to build capacity at
the state and local level for rural housing and economic development
and to support innovative housing and economic development activities
in rural areas. The funds made available under this program will be
awarded competitively through a selection process conducted by HUD in
accordance with the HUD Reform Act.

Full Text of Announcement

I. Funding Opportunity Description

A. Background

There has been a growing national recognition of the need to
enhance the capacity of local rural nonprofit organizations, community
development corporations, federally recognized Indian tribes, state
housing finance agencies (HFAs) and state economic development and
community development agencies to expand the supply of affordable
housing and to engage in economic development activities in rural
areas. A number of resources are available from the federal government
to address these problems, including programs of the United States
Department of Agriculture (USDA), the Economic Development
Administration (EDA), the Appalachian Regional Commission (ARC), the
Department of Interior (for Indian tribes), and HUD. The Rural Housing
and Economic Development program was developed to supplement these
resources and to focus specifically on capacity building and promoting
innovative approaches to housing and economic development in rural
areas. In administering these funds, HUD encourages you to coordinate
your activities with those supported by any of the agencies listed
above.

B. Definitions

1. Appalachia's Distressed Counties means those counties in
Appalachia that the Appalachian Regional Commission (ARC) has
determined to have unemployment and poverty rates that are 150 percent
of the respective U.S. rates and a per capita income that is less than
67 percent of the U.S. per capita income, and have counties with 200
percent of the U.S. poverty rate and one other indicator, such as the
percentage of overcrowded housing. Refer to www.arc.gov for a list of
ARC distressed counties and more information.
2. Colonia means any identifiable, rural community that:
a. Is located in the state of Arizona, California, New Mexico, or
Texas;
b. Is within 150 miles of the border between the U.S. and Mexico;
and
c. Is determined to be a Colonia on the basis of objective need
criteria, including a lack of potable water supply, lack of adequate
sewage systems, and lack of decent, safe, sanitary, and accessible
housing.
3. Farm Worker means a farm employee of an owner, tenant, labor
contractor, or other operator raising or harvesting agricultural or
aquacultural commodities; or a worker in the employment of a farm
operator, handling, planting, drying, packing, grading, storing,
delivering to storage or market, or carrying to market agricultural or
aquacultural commodities produced by the operator. Seasonal farm
workers are those farm employees who typically do not have a constant
year-round salary.
4. Firm Commitment means a letter of commitment from a partner by
which an applicant's partner agrees to perform an activity specified in
the application, demonstrates the financial capacity to deliver the
resources necessary to carry out the activity and commits the resources
to the activity, either in cash or through in-kind contributions. It is
irrevocable, subject only to approval and receipt of a FY2005 Rural
Housing and Economic Development grant. Each letter of commitment must
include the organization's name and applicant's name, reference the
Rural Housing and Economic Development program, and describe the
proposed total level of commitment and responsibilities, expressed in
dollar value for cash or in-kind contributions, as they relate to the
proposed program. The commitment must be written on the letterhead of
the participating organization, must be signed by an official of the
organization legally able to make commitments on behalf of the
organization, and must be dated no earlier than the date of publication
of this NOFA. In documenting a firm commitment, the applicant's partner
must:
a. Specify the authority by which the commitment is made, the
amount of the commitment, the proposed use of funds, and the
relationship of the commitment to the proposed investment. If the
committed activity is to be self-financed, the applicant's partner must
demonstrate its financial capability through a corporate or personal
financial statement or other appropriate means. If any portion of the
activity is to be financed through a lending institution, the
participant must provide evidence of the institution's commitment to
fund the loan;
b. Affirm that the firm commitment is contingent only upon the
receipt of FY2005 Rural Housing and Economic Development funds and
state a willingness on the part of the signatory to sign a legally
binding agreement (conditioned upon HUD's environmental review and
approval of a property where applicable) upon award of the grant.
5. Federally Recognized Indian tribe means any tribal entity
eligible to apply for funding and services from the Bureau of Indian
Affairs by virtue of its status as an Indian tribe. The list of
federally recognized Indian tribes can be found in the notice published
by the Department of the Interior on December 5, 2003 (68 FR 68180) and
is also available from HUD.
6. Innovative Housing Activities means projects, techniques,
methods, combinations of assistance, construction materials, energy
efficiency improvements, or financing institutions or sources new to
the eligible area or to its population. The innovative activities can
also build upon and enhance a model that already exists.
7. Local Rural Nonprofit Organization or Community Development
Corporation means either of the following:
a. Any private entity with tax-exempt status recognized by the
Internal Revenue Service (IRS) which serves the eligible rural area
identified in the application (including a local affiliate of a
national organization that provides technical and capacity building
assistance in rural areas); or
b. Any public nonprofit entity such as a Council of Governments
that will serve specific local nonprofit organizations in the eligible
area.

[[Page 14014]]

8. Lower Mississippi Delta Region means the eight-state, 240-
county/parish region defined by Congress in the Lower Mississippi Delta
Development Act, Public Law 100-460. Refer to www.dra.gov for more
information.
9. Eligible Rural Area means one of the following:
a. A non-urban place having fewer than 2,500 inhabitants (within or
outside of metropolitan areas).
b. A county or parish with an urban population of 20,000
inhabitants or less.
c. Territory, including its persons and housing units, in the rural
portions of ``extended cities.'' The U.S. Census Bureau identifies the
rural portions of extended cities.
d. Open country that is not part of or associated with an urban
area. The USDA describes ``open country'' as a site separated by open
space from any adjacent densely populated urban area. Open space
includes undeveloped land, agricultural land, or sparsely settled
areas, but does not include physical barriers (such as rivers and
canals), public parks, commercial and industrial developments, small
areas reserved for recreational purposes, or open space set aside for
future development.
e. Any place with a population not in excess of 20,000 and not
located in a Metropolitan Statistical Area.
10. State Community and/or Economic Development Agency means any
state agency that has promotion of economic development statewide or in
a local community as its primary purpose.
11. State Housing Finance Agency means any state agency created to
assist local communities and housing providers with financing
assistance for development of housing in rural areas, particularly for
low- and moderate-income people.

II. Award Information

A. Amount Allocated

1. Available Funds. Approximately $24 million in Fiscal Year (FY)
2005 funding (plus any additional funds available through recapture)
are being made available through this NOFA.
2. Funding Categories and Maximum Award Amounts. HUD will award up
to approximately $24 million on a competitive basis in the following
funding categories. Applicants must apply for funds in only one of the
two categories: Category 1--Capacity Building, or Category 2--Support
for Innovative Housing and Economic Development Activities.
a. Category 1: Capacity Building. HUD will award up to
approximately $10 million to applicants for capacity building
activities. This amount will go directly to local rural nonprofit
organizations or community development corporations or federally
recognized Indian tribes to increase an organization's capacity to
support innovative housing and economic development activities. The
maximum amount awarded to a successful applicant in this category will
be $150,000.
b. Category 2: Support for Innovative Housing and Economic
Development Activities. HUD will award up to approximately $14 million
to federally recognized Indian tribes, state housing finance agencies
(HFAs), state community and/or economic development agencies, local
rural nonprofit organizations or community development corporations to
support innovative housing and economic development activities in rural
areas throughout the nation. The maximum amount awarded to a successful
applicant in this category will be $400,000.

B. Grant Amount

In the event, you, the applicant, are awarded a grant that has been
reduced (e.g., the application contained some activities that were
ineligible or budget information did not support the request), you will
be required to modify your project plans and application to conform to
the terms of HUD's approval before execution of the grant agreement.
HUD reserves the right to reduce or de-obligate the award if
suitable modifications to the proposed project are not submitted by the
awardee within 90 days of the request. Any modifications must be within
the scope of the original application. HUD reserves the right to not
make awards under this NOFA.

C. Grant Period

Recipients will have 36 months from the date of the executed grant
agreement to complete all project activities.

D. Notification of Approval or Disapproval

HUD will notify you whether or not you have been selected for an
award. If you are selected, HUD's notice to you concerning the amount
of the grant award (based on the approved application) will constitute
HUD's conditional approval, subject to negotiation and execution of a
grant agreement by HUD.

III. Eligibility Information

A. Eligible Applicants

Eligible applicants for the Rural Housing and Economic Development
program are local rural nonprofit organizations and community
development corporations, federally recognized Indian tribes, state
housing finance agencies and state community and/or economic
development agencies. Also, you must meet all of the applicable
eligibility requirements described in Section III.C of the General
Section. Eligible applicants for each of the funding categories are as
follows:
1. For Capacity Building Funding. If you are a local rural
nonprofit, including grassroots, faith-based and other community-based
grassroots organization, community development corporation, or
federally recognized Indian tribe, you are eligible for capacity
building funding to carry out innovative housing and economic
development activities that should lead to an applicant becoming self-
sustaining in the future.
2. For Support for Innovative Housing and Economic Development
Activities Funding. If you are a local rural nonprofit organizations,
including grassroots, faith-based and other community-based grassroots
organization, community development corporation, federally recognized
Indian tribe, state HFA, or state economic development or community
development agency, you may apply for funding to support innovative
housing and economic development activities in rural areas.

B. Cost Sharing or Matching

There is no match required under the Rural Housing and Economic
Development program. Applicants that submit evidence of leveraging
dollars under Rating Factor 4 ``Leveraging Resources'' will receive
points according to the scale under that factor.

C. Other

1. Eligible Activities. The following are examples of eligible
activities under the Rural Housing and Economic Development program.
These examples are illustrative and are not meant to limit the
activities that you may propose in your application:
a. For Capacity Building Funding. Capacity building for innovative
Rural Housing and Economic Development involves the enhancement of
existing organizations to carry out new functions or to perform
existing functions more effectively. Permissible activities include,
but are not limited to, the following:
(1) Enhancement of existing functions or creation of new functions
to provide affordable housing and economic development in rural areas;

[[Page 14015]]

(2) Acquisition of additional space and support facilities;
(3) Salaries for additional staff needed to conduct the work,
including financial management specialists, and economic development
specialists;
(4) Training of staff in the areas of financial management,
economic development financing, housing accessibility and visitability
standards, fair housing issues, and complaint filing;
(5) Development of business plans to help the organization become
self-sustaining;
(6) Development of Management Information Systems (MISs) and
software to enable better and more accurate reporting of information to
HUD and to other entities;
(7) Development of feasibility studies and market studies;
(8) Training in energy efficiency in construction for housing and
commercial projects;
(9) Housing counseling services, including fair housing counseling,
information on budgeting, and information on credit and available
federal programs;
(10) Conducting conferences or meetings with other federal or state
agencies to inform residents of programs, rights, and responsibilities
associated with homebuying opportunities; and
(11) Arranging for technical assistance to conduct needs
assessments, conduct asset inventories, and develop strategic plans.
b. For Support of Innovative Housing and Economic Development
Activities. This category is intended to support other costs for
innovative housing and economic development activities. Permissible
activities may include, but are not limited to the following:
(1) Cost of using new or innovative construction, energy
efficiency, or other techniques that will result in the design or
construction of innovative housing and economic development projects;
(2) Preparation of plans or of architectural or engineering
drawings;
(3) Preparation of legal documents, government paperwork, and
applications necessary for construction of housing and economic
development activities to occur in the jurisdiction;
(4) Acquisition of land and buildings;
(5) Demolition of property to permit construction or rehabilitation
activities to occur;
(6) Development of infrastructure to support the housing or
economic development activities;
(7) Purchase of construction materials;
(8) Job training to support the activities of the organization;
(9) Homeownership counseling, including fair housing counseling,
credit counseling, budgeting, access to credit, and other federal
assistance available;
(10) Conducting conferences or meetings with other federal or state
agencies tribes, tribally designated housing entities (TDHE) or
national or regional housing organizations, to inform residents of
programs, rights, and responsibilities associated with homebuying
opportunities;
(11) Development of feasibility studies and market studies;
(12) Development of Management Information Systems (MISs) and
software to enable better and more accurate reporting of information to
HUD and to other entities;
(13) Establishing Community Development Financial Institutions
(CDFIs), lines of credit, revolving loan funds, microenterprises, and
small business incubators; and
(14) Provision of direct financial assistance to homeowners/
businesses/developers, etc. This can be in the form of default
reserves, pooling/securitization mechanisms, loans, grants, funding
existing individual development accounts or similar activities.
2. Statutory and Regulatory Requirements. To be eligible for
funding under HUD NOFAs issued during FY2005, you, the applicant, must
meet all statutory and regulatory requirements applicable to this NOFA
as described in the General Section. HUD may also eliminate ineligible
activities from funding consideration and reduce funding amounts
accordingly.
3. General HUD Threshold Requirements. You must meet all threshold
requirements described in the General Section.
a. Ineligible Applicants. HUD will not consider an application from
an ineligible applicant.
b. Economic Opportunities for Low- and Very Low-Income Persons
(Section 3). Recipients of assistance under this NOFA must comply with
Section 3 of the Housing and Urban Development Act of 1968, 12 U.S.C.
1701u (Economic Opportunities for Low- and Very Low-Income Persons in
Connection with Assisted Projects) and the HUD regulations at 24 CFR
part 135, including the reporting requirements at subpart E. Section 3
requires recipients to ensure that, to the greatest extent feasible,
training, employment, and other economic opportunities will be directed
to low- and very-low income persons, particularly those who are
recipients of government assistance for housing, and business concerns
that provide economic opportunities to low- and very low-income
persons.
4. Program-Specific Threshold Requirements.
a. The application must receive a minimum rating score of 75 points
to be considered for funding.
b. HUD will only fund eligible applicants as defined in this NOFA
under Section III.A.
c. Applicants must serve an eligible rural area as defined in I. of
this NOFA.
d. Proposed activities must meet the objectives of the Rural
Housing and Economic Development program.
e. Applicants must demonstrate that their activities will continue
to serve populations that are in need and that beneficiaries will have
a choice of innovative housing and economic development opportunities
as a result of the activities.

IV. Application and Submission Information

A. Address to Request Application Package

This section describes how you may obtain application forms. Copies
of the published Rural Housing and Economic Development NOFA and
application forms may be downloaded from the Grants.gov Web site at
http://www.grants.gov/Apply. The web site contains the electronic forms
and the NOFA which includes forms and other attachments. The NOFA and
forms is a zip file found under instructions. You may call the
Grants.gov support desk at 800-518-GRANTS, or email the support desk at
Support@Grants.gov for assistance in downloading the application.
You may request general information and paper copies of this NOFA
from the NOFA Information Center (800-HUD-8929 or 800-HUD-2209 (TTY))
between the hours of 10 a.m. and 6:30 p.m. (Eastern Time) Monday
through Friday, except on federal holidays. When requesting
information, please refer to the name of the program you are interested
in. Be sure to provide your name, address (including zip code), and
telephone number (including area code).

B. Content and Form of Application Submission

1. Application Submission Requirements. Be sure to read and follow
the application submission requirements carefully.
a. Page Numbering. All pages of the application must be numbered
sequentially if you are submitting a paper copy application. For
electronic application submission you should

[[Page 14016]]

follow the directions in the General Section.
b. Application Items. Your application must contain the items
listed below.
(1) An abstract that must include the category under which you are
applying, the dollar amount requested, the category under which you
qualify for demographics of distress special factor under Rating Factor
2 ``Need and Extent of the Problem,'' which of the five definitions of
the term ``rural area'' set forth in Section I B.9 of this NOFA applies
to the proposed service area, and accompanying documentation as
indicated on the form.
(2) Table of Contents.
(3) A signed SF-424 (application form).
(4) SF-424 Supplement Survey on Equal Opportunity for Applicants
(optional submission).
(5) Facsimile Transmittal (HUD-96011).
(6) Disclosure of Lobbying Activities (SF-LLL).
(7) Applicant/Recipient Disclosure/Update Report (HUD-2880).
(8) Client Comments and Suggestions (HUD-2994) (Optional)
(9) Program Outcome Logic Model (HUD-96010).
(10) A budget for all funds (federal and non-federal including HUD-
424CB and HUD 424-CBW).
(11) Certification of Consistency with RC/EZ/EC-II Strategic Plan
(HUD-2990), if applicable.
(12) Certification of Consistency with the Consolidated Plan (HUD-
2991), if applicable.
(13) Documentation of funds pledged in support of Rating Factor 4--
``Leveraging Resources'' (which will not be counted in the 15-page
limitation). Documentation must be in the form of a ``firm commitment''
as defined in Section I.B.4. of this NOFA.
(14) If you are a private nonprofit organization, a copy of your
organization's IRS ruling providing tax-exempt status under section 501
of the Internal Revenue Code of 1986, as amended.
(15) Narrative response to Factors for Award (not to exceed 15
pages).
(a) A description of your organization and assignment of
responsibilities for the work to be carried out under the grant (Rating
Factor 1).
(b) A description of the need and extent of the problem and
populations to be served (Rating Factor 2).
(c) A workplan that demonstrates your soundness of approach and the
clear linkage between rural housing and economic development (Rating
Factor 3). In addressing this submission requirement, you must:
(i) Describe the activities you propose to undertake that address
the needs, which have been identified, the linkage between rural
housing and economic development, as well as the specific outcomes you
expect to achieve.
(ii) Include a management plan that identifies the specific actions
you will take to complete the proposed activities on time and a budget
in the format provided that explains the uses of both federal and non-
federal funds and the period of performance under the grant.
(iii) Include a discussion of the process by which the work
accomplished with the grant will be evaluated to determine if the
objectives of the grant were met.
(d) Identify the resources that will be leveraged by the amount of
this grant's funding that you are requesting (Rating Factor 4). To
receive the maximum number of points under Rating Factor 4 you must
provide evidence of firm commitments.
(e) You must describe the extent to which your program reflects a
coordinated, community-based process of identifying needs and building
a system to address these needs, providing program beneficiaries with
outcomes that result in increased independence and empowerment, and the
potential for your organization to become financially self-sustaining.
You must also describe how your activities will achieve the program
outcomes, as described in Rating Factor 5 (Achieving Results and
Program Evaluation), namely, where applicable, the number of housing
units constructed, the number of housing units rehabilitated, the
number of jobs created, the number of jobs retained, the number of
participants trained, the number of new businesses created and the
number of existing businesses assisted, number of housing units
rehabilitated that will be made available to low-to-moderate income
participants, percentage change in earnings as a result of employment
for those participants, the percent of trained participants who find a
job, and annual estimated savings for low-income families as a result
of energy efficiency improvements entered into the HUD Program Outcome
Logic Model (form 96010) (Rating Factor 5).
(f) The total narrative response to all factors should not exceed
15 pages and be submitted in a format that equals to 8.5 x 11-inch
single sided paper, with 12 point font and double lined spacing. Please
note that although submitting pages in excess of the page limit will
not disqualify your application, HUD will not consider or review the
information on any excess pages, which may result in a lower score or
failure to meet a threshold requirement. In addition, applicants should
be aware that additional pages increase the size of the application and
the length of time it will take to electronically submit the document
and have it electronically received by Grants.gov. Large files result
in slower delivery to Grants.gov.
(16) Questionnaire for HUD's Initiative on Removal of Regulatory
Barriers (HUD 27300). To get the points for this policy priority, you
must include the documentation or references to URLs where the
information can be found.

C. Submission Dates and Times

1. Electronic Application Submission. Applications for the Rural
Housing and Economic Development program must be submitted and received
by Grants.gov no later than 11:59:59 p.m. Eastern Time of the
application submission date. Applicants are advised to allow time for
transmitting their application to Grants.gov. You will receive an
acknowledgement of receipt from Grants.gov when your application has
been successfully received. Please see the General Section for more
detailed information.
2. Paper Copy Application Submission. Applicants receiving a waiver
of the mandatory electronic applications submission requirement must
submit the original and required number of paper copies of the
application to the United States Postal Service no later than 11:59:59
p.m. on the application submission date. No hand delivery or services
other than the United States Post Office will be accepted.
Applicants should be aware that large packages must be taken to a
Post Office for delivery. The United States Postal Service in many
areas of the country no longer will deliver large packages that are
dropped in a mailbox for delivery. Applicants are advised to carefully
read the application submission and timely receipt requirements in the
General Section as they have changed from previous years.
3. Only one application will be accepted from any given
organization. If more than one application is submitted electronically,
the last application submitted prior to the due date and time will be
the one reviewed by HUD. HUD will not accept application addendums
after the deadline unless HUD has specifically asked the applicant for
a correction to a technical deficiency in the application. Responses to
technical deficiencies must be received by HUD within the time
allocated to cure the deficiency. Corrections to technical deficiencies
are submitted directly to

[[Page 14017]]

HUD in accordance with the information provided by the program office
in their cure notification.

----------------------------------------------------------------------------------------------------------------
What to submit Required content Required form or format When to submit it
----------------------------------------------------------------------------------------------------------------
Application:
Abstract........................ May 20, 2005.
Application Form................ SF-424, SF 424
Supplement.
Budget information.............. (Per required form).... HUD-CB, HUD-CBW........
Rating Factors: Narrative....... Described in Section V.
of this announcement.
Disclosure Update............... HUD-2880...............
Disclosure of Lobby............. SF-LLL.................
Facsimile Transmittal........... HUD-96011..............
Certification of RC/EZ/EC-II.... HUD-2990...............
Certification of Consistency HUD 2991...............
with Consolidated Plan.
Comments and Suggestions........ HUD-2994...............
Program Outcome Logic Model..... HUD-96010..............
Questionnaire for HUD's Initiative HUD-27300..............
on Removal of Regulatory Barriers.
----------------------------------------------------------------------------------------------------------------

D. Intergovernmental Agency Review

Intergovernmental agency review is not required for this program.

E. Funding Restrictions

1. Administrative Costs. Administrative costs for assistance under
the Rural Housing and Economic Development program may not exceed 15
percent of the total HUD Rural Housing and Economic Development grant
award.
2. Multiple Capacity Building Grants. If you have received two or
more Rural Housing and Economic Development grants for capacity
building since 1999, you are not eligible to apply under Category 1:
Capacity Building.
3. Ineligible Activities. RHED funds cannot be used for the
following activities:
a. Income payments to subsidize individuals or families;
b. Political activities;
c. General governmental expenses other than expenses related to the
administrative cost of the grant; or
d. Projects or activities intended for personal gain or private
use.
HUD reserves the right to reduce or deobligate the award if
suitable modifications to the proposed project are not submitted by the
awardee within 90 days of the request. Any modification must be within
the scope of the original application. HUD reserves the right not to
make awards under this NOFA.
F. Other Submission Requirements. Carefully review the procedures
presented in Section IV of the General Section. During FY 2005, HUD
will only accept electronic applications submitted through
www.grants.gov unless the applicant has received a waiver from the
Department. Please see the General Section for detailed instructions
and timelines for requesting a waiver of this requirement. Applicants
receiving a waiver of the electronic submission requirement should send
an original and two copies of the application to Department of Housing
and Urban Development, Office of Community Planning and Development,
Attn: Office of Rural Housing and Economic Development, Processing and
Control Unit (Room 7251), 451 Seventh Street, SW., Washington, DC
20410-7000.

V. Application Review Information

A. Criteria. Carefully review all the Application Review procedures
in Section V of the General Section. In addition, the following Rating
Factors will be used to review, evaluate, and rate your application.
1. Rating Factor 1--Capacity of the Applicant and Relevant
Organizational Experience (25 points). This rating factor addresses the
extent to which you have the organizational resources necessary to
successfully implement your proposed work plan, as further described in
Rating Factor 3, within the 36-month award period.
a. Rating standards applicable to individual funding categories.
The two funding categories have different objectives. Accordingly, in
addition to the generally applicable rating standard discussed above,
the different standards discussed below will be used to judge the
experience and qualifications of the applicants for each of the two
funding categories. HUD fully supports emerging organizations that
desire to develop internal capacity. Therefore, the following
categories will be evaluated:
(1) For Capacity Building applications (25 points). Team members,
composition, experience, organizational structure, and management
capacity. Your response to this sub-factor should clearly state the
need that your organization will address with the requested assistance.
In addition, you should describe how the enhanced capacity realized
through the assistance will fulfill that need. HUD will evaluate the
experience (including its recentness and relevancy) of your project
director, core staff, and any outside consultant, contractor,
subrecipient, or project partner as it relates to innovative housing
and economic development and to the implementation of the activities in
your workplan. HUD also will assess the services that consultants or
other parties will provide to fill gaps in your staffing structure to
enable you to carry out the proposed workplan; the experience of your
project director in managing projects of similar size, scope, and
dollar amount; the lines of authority and procedures that you have in
place for ensuring that workplan goals and objectives are being met,
that consultants and other project partners are performing as planned,
and that beneficiaries are being adequately served. In responding to
this sub-factor, please indicate how the capacity building assistance
will strengthen or otherwise affect your organization's current housing
or economic development program portfolio or, if you are a new grantee,
how the capacity assistance will ensure that you can carry out your
proposed activities. In judging your response to this factor, HUD will
only consider work experience gained within the last three years. When
responding, please be sure to provide the dates, job titles and
relevancy of the past experience to work to be undertaken by the
employee or contractor under your Rural Housing and Economic
Development program application. Failure to provide dates results in
HUD assuming that the experience is earlier than the last three

[[Page 14018]]

years, and could result in a lower rating for the response. The more
recent, relevant, and successful the experience of your team members is
in relationship to the workplan activities, the greater the number of
points you will receive.
(2) For Support for Innovative Rural Housing and Economic
Development Activities applications:
(a) Team members, composition, and experience (10 points). HUD will
evaluate the experience (including its recentness and relevancy) of
your project director, core staff, and any outside consultant,
contractor, subrecipient, or project partner as it relates to
innovative housing and economic development and to the implementation
of the activities in your workplan. HUD also will assess the services
that consultants or other parties will provide to fill gaps in your
staffing structure to enable you to carry out the proposed workplan;
the experience of your project director in managing projects of similar
size, scope, and dollar amount; the lines of authority and procedures
that you have in place for ensuring that workplan goals and objectives
are being met, that consultants and other project partners are
performing as planned, and that beneficiaries are being adequately
served. In judging your response to this factor, HUD will only consider
work experience gained within the last seven years. When responding,
please be sure to provide the dates, job titles and relevancy of the
past experience to work to be undertaken by the employee or contractor
under your proposed Rural Housing and Economic Development award. The
more recent, relevant, and successful the experience of your team
members are in relationship to the workplan activities, the greater the
number of points that you will receive.
(b) Organizational structure and management capacity (5 points).
HUD will evaluate the extent to which you can demonstrate your
organization's ability to manage a workforce composed of full-time or
part-time staff, as well as any consultant staff, and your ability to
work with community-based groups or organizations in resolving issues
related to affordable housing and economic development. In evaluating
this subfactor, HUD will take into account your experience in working
with community-based organizations to design and implement programs
that address the identified housing and economic development issues.
The more recent, relevant, and successful the experience of your
organization and any participating entity, the greater the number of
points you will receive.
(c) Experience with performance based funding requirements (10
points). HUD will evaluate your performance in any previous grant
program undertaken with HUD funds or other federal, state, local, or
nonprofit or for-profit organization funds. In assessing points for
this sub-factor, HUD reserves the right to take into account your past
performance in meeting performance and reporting goals for any previous
HUD award, in particular whether the program achieved its outcomes. HUD
will deduct one point for each of the following activities related to
previous HUD grant programs for which unsatisfactory performance has
been verified: (1) mismanagement of funds, including the inability to
account for funds appropriately; (2) untimely use of funds received
either from HUD or other federal, state, or local programs; and (3)
significant and consistent failure to measure performance outcomes.
Among the specific outcomes to be measured are the increases in program
accomplishments as a result of capacity building assistance and the
increase in organizational resources as a result of assistance.
(d) Past Rural Housing and Economic Development program
performance. The past performance of previously awarded Rural Housing
and Economic Development grantees will be taken into consideration when
evaluating Rating Factor 1 ``Capacity of the Applicant and Relevant
Organizational Experience.'' Applicants who have been awarded Rural
Housing and Economic Development program funds prior to FY2005 should
indicate fiscal year and funding amount. HUD local field offices may be
consulted to verify information submitted by the applicant as a part of
the review of applications.
2. Rating Factor 2--Need and Extent of the Problem (20 points). The
Rural Housing and Economic Development program is designed to address
the problems of rural poverty, inadequate housing and lack of economic
opportunity. This factor addresses the extent to which there is a need
for funding the proposed activities based on levels of distress and the
urgency of meeting the need/distress in the applicant's target area. In
responding to this factor, applications will be evaluated on the extent
to which the level of need for the proposed activity and the urgency in
meeting the need are documented and compared to target area and
national data.
a. In applying this factor, HUD will compare the current levels of
need in the area (i.e., Census Tract(s) or Block Group(s) immediately
surrounding the project site or the target area to be served by the
proposed project and the national levels of need. This means that an
application that provides data that show levels of need in the project
area expressed as a percent greater than the national average will be
rated higher under this factor. Applicants should provide data that
address indicators of need as follows:
(1) Poverty Rate (5 points)--Data should be provided in both
absolute and percentage form (i.e., whole numbers and percents) for the
target area(s). An application that compares the local poverty rate in
the following manner to the national average at the time of submission
will receive points under this section as follows:
(a) Less than the national average = 0 points;
(b) Equal to but less than twice the national average = 1 points;
(c) Twice but less than three times the national average = 3
points;
(d) Three or more times the national average = 5 points.
(2) Unemployment (5 points)--for the target area:
(a) Less than the national average = 0 points;
(b) Equal to but less than twice the national average = 1 points;
(c) Twice but less than three times the national average = 2
points;
(d) Three but less than four times the national average = 3 points;
(e) Four but less than five times the national average = 4 points;
(f) Five or more times the national average = 5 points.
(3) Other indicators of social or economic decline that best
capture the applicant's local situation (5 points).
(a) Data that could be provided under this section are information
on the community's stagnant or falling tax base, including recent
commercial or industrial closings; housing conditions, such as the
number and percentage of substandard or overcrowded units; rent burden
(defined as average housing cost divided by average income) for the
target area; local crime statistics, falling property values, etc. To
the extent that the applicant's statewide or local Consolidated Plan,
its Analysis of Impediments to Fair Housing Choice (AI), its Indian
housing plan or its anti-poverty strategy identify the level of
distress in the community and the neighborhood in which the project is
to be carried out, references to such documents should be included in
preparing the response to this factor.
(b) In rating applications under this factor, HUD reserves the
right to consider sources of available objective data other than or in
addition to those provided by applicants, and to compare

[[Page 14019]]

such data to those provided by applicants for the project site. These
may include U.S. Census data.
(c) HUD requires use of sound, verifiable, and reliable data (e.g.,
U.S. Census data, state statistical reports, university studies/
reports, or Home Mortgage Disclosure Act or Community Reinvestment Act
databases) to support distress levels cited in each application. See
http://www.ffiec.gov/ or http://www.ffiec.gov/webcensus/ffieccensus.
for census data. A source for all information along with the
publication or origination date must also be provided.
(d) Updated Census data are available for the following indicators:
(i) Unemployment rate--estimated monthly for counties, with a two-
month lag;
(ii) Population--estimated for incorporated places and counties,
through 2000;
(iii) Poverty rate--through 2000.
(4) Demographics of Distress--Special Factors (5 points). Because
HUD is concerned with meeting the needs of certain underserved areas,
you will be awarded a total of five points if you are located in or
propose to serve one or more of the following populations, or if your
application demonstrates that 100 percent of the beneficiaries
supported by Rural Housing and Economic Development funds are in one or
more of the following populations. You must also specifically identify
how each population will be served and that the proposed service area
meets the definition of ``eligible rural area'' in Section I of this
NOFA:
(a) Areas with very small populations in non-urban areas (2,500
population or less);
(b) Seasonal farm workers;
(c) Federally recognized Indian tribes;
(d) Colonias;
(e) Appalachia's Distressed Counties; or
(f) The Lower Mississippi Delta Region (8 states and 240 counties/
parishes).
For these underserved areas, you should ensure that the populations
that you serve and the documentation that you provide are consistent
with the information described in the above paragraph under this rating
factor.
3. Rating Factor 3--Soundness of Approach (20 points). This factor
addresses the overall quality of your proposed workplan, taking into
account the project and the activities proposed to be undertaken; the
cost-effectiveness of your proposed program; and the linkages between
identified needs, the purposes of this program, and your proposed
activities and tasks. In addition, this factor addresses your ability
to ensure that a clear linkage exists between innovative rural housing
and economic development. In assessing cost-effectiveness, HUD will
take into account your staffing levels; beneficiaries to be served; and
your timetable for the achievement of program outcomes, the delivery of
products and reports, and any anticipated outcome or product. You will
receive a greater number of points if your workplan is consistent with
the purpose of the Rural Housing and Economic Development program, your
program goals, and the resources provided.
a. Management Plan (13 points). A clearly defined management plan
should be submitted that identifies each of the projects and activities
you will carry out to further the objectives of this program; describes
the linkage between rural housing and economic development activities;
and addresses the needs identified in Factor 2, including needs that
previously were identified in a statewide or local Analysis of
Impediments to Fair Housing Choice (AI) or Consolidated Plan. The
populations that were described in Rating Factor 2 for the purpose of
documenting need should be the same populations that will receive the
primary benefit of the activities, both immediately and over the long
term. The benefits should be affirmatively marketed to those
populations least likely to apply for and receive these benefits
without such marketing. Your timetable should address the measurable
goals and objectives to be achieved through the proposed activities;
the method you will use for evaluating and monitoring program progress
with respect to those activities; and the method you will use to ensure
that the activities will be completed on time and within your proposed
budget estimates. Your management plan should also include the budget
for your program, broken out by line item. Documented projected cost
estimates from outside sources are also required. Applicants should
submit their workplan on a spreadsheet showing each project to be
undertaken and the tasks (to the extent necessary or appropriate) in
your workplan to implement the project with your associated budget
estimate for each activity/task. Your workplan should provide the
rationale for your proposed activities and assumptions used in
determining your project timeline and budget estimates. Failure to
provide your rationale may result in your application receiving fewer
points for lack of clarity in the proposed management plan.
This subfactor should include information that indicates the extent
to which you have coordinated your activities with other known
organizations (e.g., through letters of participation or coordination)
that are not directly participating in your proposed work activities,
but with which you share common goals and objectives and that are
working toward meeting these objectives in a holistic and comprehensive
manner. The goal of this coordination is to ensure that programs do not
operate in isolation. Additionally, your application should demonstrate
the extent to which your program has the potential to be financially
self-sustaining by decreasing dependence on Rural Housing and Economic
Development funding and relying more on state, local, and private
funding. The goal of sustainability is to ensure that the activities
proposed in your application can be continued after your grant award is
complete.
b. Policy Priorities (7 Points). Policy priorities are outlined in
detail in the General Section. You should document the extent to which
HUD's policy priorities are furthered by the proposed activities.
Applicants that include activities that can result in the achievement
of these departmental policy priorities will receive higher rating
points in evaluating their application for funding. Seven departmental
policy priorities are listed below. When policy priorities are
included, describe in brief detail how those activities will be carried
out.
The point values for policy priorities are as follows:
(1) Providing increased homeownership and rental opportunities for
low- and moderate-income persons, persons with disabilities, the
elderly, minorities, and families with limited English proficiency=1
point;
(2) Improving our Nation's communities=1 point;
(3) Encouraging accessible design features=1 point;
(4) Providing full and equal access to grassroots faith-based and
other community-based organizations in HUD program implementation=1
point;
(5) Ending chronic homelessness within ten years=1 point;
(6) Removal of barriers to affordable housing= 2 points and;
(7) Promoting Energy Efficiency and Adopting Energy Star = 1 point.
4. Rating Factor 4--Leveraging Resources (10 points). This factor
addresses the extent to which applicants for either of the two funding
categories

[[Page 14020]]

have obtained firm commitments of financial or in-kind resources from
other federal, state, local, and private sources. For every Rural
Housing and Economic Development program dollar anticipated, you should
provide the specific amount of dollars leveraged. In assigning points
for this criterion, HUD will consider the level of outside resources
obtained in the form of cash or in-kind goods or services that support
activities proposed in your application. HUD will award a greater
number of points based upon a comparison of the extent of leveraged
funds with the requested Rural Housing and Economic Development award.
This criterion is applicable to both funding categories under this
NOFA. The level of outside resources for which commitments are obtained
will be evaluated based on their importance to the total program. Your
application must provide evidence of leveraging in the form of letters
of firm commitment from any entity, including your own organization,
which will be providing matching funds to the project. Each commitment
described in the narrative of this factor must be in accordance with
the definition of ``firm commitment,'' as defined in this NOFA. The
commitment letter must be on letterhead of the participating
organization, must be signed by an official of the organization legally
able to make commitments on behalf of the organization, and must not be
dated earlier than the date this NOFA is published.
Points for this factor will be awarded based on the satisfactory
provisions of evidence of leveraging and financial sustainability, as
described above, and the ratio of leveraged funds to requested HUD
Rural Housing and Economic Development funds as follows:
a. 50% or more of requested HUD Rural Housing and Economic
Development funds=10 points;
b. 49-40% of requested HUD Rural Housing and Economic Development
funds=8 points;
c. 39-30% of requested HUD Rural Housing and Economic Development
funds=6 points;
d. 29-20% of requested HUD Rural Housing and Economic Development
funds=4 points;
e. 19-9% of requested HUD Rural Housing and Economic Development
funds=2 points;
f. Less than 9% of HUD requested Rural Housing and Economic
Development funds =0 points.
See the General Section for instructions for submitting third party
letters and other documents with your electronic application.
5. Rating Factor 5--Achieving Results and Program Evaluation (25
points). This factor emphasizes HUD's commitment to ensure that
applicants keep promises made in their application. This factor
assesses their performance to ensure that rigorous and useful
performance measures are used and goals are met. Achieving results
means you, the applicant, have clearly identified the benefits or
outcomes of your program. Outcomes are ultimate project end goals.
Benchmarks or outputs are interim activities or products that lead to
the ultimate achievement of your goals. Program evaluation requires
that you, the applicant, identify program outcomes, interim products or
benchmarks, and performance indicators that will allow you to measure
your performance. Performance indicators should be objectively
quantifiable and measure actual achievements against anticipated
achievements. Your evaluation plan should identify what you are going
to measure, how you are going to measure it, and the steps you have in
place to make adjustments to your work plan if performance targets are
not met within established time frames.
Applicants must also complete the ``Logic Model'' HUD Form (HUD-
96010) included in the appendix to this NOFA and submit the completed
form with their application. This rating factor reflects HUD's goal to
embrace high standards of ethics, management, and accountability. HUD
will hold a training broadcast via satellite for potential applicants
to learn more about Rating Factor 5. For more information about the
date and time of the broadcast, consult the HUD web site at
www.hud.gov/grants/index.cfm.
Program outcomes for the Rural Housing and Economic Development
program must include where applicable:
a. Number of housing units constructed;
b. Number of housing units rehabilitated that will be made
available to low-to-moderate-income participants;
c. Number of jobs created;
d. Percentage change in earnings as a result of employment for
those participants;
e. Number of participants trained;
f. Percent of participants trained who find a job;
g. Number of new businesses created;
h. Number of existing businesses assisted; and
i. Annual estimated savings for low-income families as a result of
energy efficiency improvements.
j. Increase in program accomplishments as a result of capacity
building assistance (e.g. number of employees hired or retained,
efficiency or effectiveness of services provided); and
k. Increase in organizational resources as a result of assistance
(e.g., dollars leveraged). If you receive an award of funds, you will
be required to use the logic model to report progress against the
proposed outcomes in your approved application and award agreement.
Applicant must provide a breakdown of estimated dollar amount of
the Rural Housing and Economic Development grant to be expended on each
of the performance measures included on the HUD-96010 ``Logic Model''
and under the Rating Factor 5 section of your application.
6. RC/EZ/EC-II bonus points (2 points). HUD will award two bonus
points to all applications that include documentation stating that the
proposed eligible activities/projects will be located in and serve
federally designated RC/EZ/EC-II. A listing of federally designated RC/
EZ/EC-II is available on the Internet at www.hud.gov/grants/index.cfm.
This notice contains a certification (HUD-2990) that must be
completed for the applicant to be considered for Rural EZ/Round II EC
bonus points.
B. Review and Selection Process
1. Application Selection Process
a. Rating and Ranking
(1) General. To review and rate applications, HUD may establish
panels which may include outside experts or consultants to obtain
certain expertise and outside points of view, including views from
other federal agencies.
(2) Rating. All applicants for funding will be evaluated against
applicable criteria. In evaluating applications for funding, HUD will
take into account an applicant's past performance in managing funds,
including the ability to account for funds appropriately; its timely
use of funds received either from HUD or other federal, state or local
programs; its success in meeting performance targets for completion of
activities; and the number of persons to be served or targeted for
assistance. HUD may use information relating to these items based on
information at hand or available from public sources such as
newspapers, Inspector General or Government Accounting Office reports
or findings, hotline complaints that have been found to have merit, or
other such sources of information. In evaluating past performance, HUD
will deduct points from rating scores as specified under Rating Factor
1, Capacity of the Applicant and Relevant Organizational Experience.

[[Page 14021]]

(3) Ranking. Applicants will be ranked separately within each of
the two funding categories. Applicants will be selected for funding in
accordance with their rank order in each category. An application must
receive a minimum score of 75 points to be eligible for funding. If two
or more applications are rated fundable and have the same score, but
there are insufficient funds to fund all of them, the application(s)
with the highest score for Rating Factor 2 (Need and Extent of the
Problem) will be selected. If applications still have the same score,
the highest score in the following factors will be selected
sequentially until one highest score can be determined: Rating Factor 3
(Soundness of Approach), Rating Factor 1 (Capacity and Experience),
Rating Factor 5 (Achieving Results and Program Evaluation), and Rating
Factor 4 (Leveraging Resources).
a. Initial screening. During the period immediately following the
application deadline, HUD will screen each application to determine
eligibility. Applications will be rejected if they:
(1) Are submitted by ineligible applicants;
(2) Do not serve an eligible rural area as defined in Section III
of this NOFA;
(3) Do not meet the objectives of the Rural Housing and Economic
Development program; or
(4) Propose a project for which the majority of the activities are
ineligible.
b. Rating Factors for Award Used to Evaluate and Rate Applications.
The factors for rating and ranking applicants and the maximum points
for each factor are provided above. The maximum number of points for
this program is 102. This includes 100 points for all five rating
factors and two RC/EZ/EC-II bonus points, as described above.
c. Environmental Review. Each application constitutes an assurance
that the applicant agrees to assist HUD in complying with the
provisions set forth in 24 CFR part 50. Selection for award does not
constitute approval of any proposed site. Following selection for
award, HUD will perform an environmental review of activities proposed
for assistance under this part, in accordance with 24 CFR part 50. The
results of the environmental review may require that proposed
activities be modified or that proposed sites be rejected. Applicants
are particularly cautioned not to undertake or commit HUD funds for
acquisition or development of proposed properties (including
establishing lines of credit that permit financing of such activities
or making commitments for loans that would finance such activities from
a revolving loan fund capitalized by funds under this NOFA) prior to
HUD approval of specific properties or areas. Each application
constitutes an assurance that you, the applicant, will assist HUD in
complying with part 50; will supply HUD with all available relevant
information to perform an environmental review for each proposed
property; will carry out mitigating measures required by HUD or select
alternate property; and will not acquire, rehabilitate, convert,
demolish, lease, repair, or construct property, or commit or expend HUD
or local funds for these program activities with respect to any
eligible property until HUD approval of the property is received. In
supplying HUD with environmental information, grantees must use the
guidance provided in Notice CPD-99-01, entitled ``Field Environmental
Processing for HUD Colonias Initiative (HCI) grants,'' issued January
27, 1999. HUD's funding commitment is contingent upon HUD's site
approval following an environmental review.
d. Adjustments to Funding.
(1) HUD will not fund any portion of your application that is
ineligible for funding and does not meet the requirements of this NOFA,
or is duplicative of other funded programs or activities from prior
year awards or other selected applicants. Only the eligible non-
duplicative portions of your application may be funded.
(2) HUD reserves the right to reallocate funds between categories
to achieve the maximum allocation of funds in both categories.
(3) If after all eligible applicants have been selected for funding
in Category 1 and funds remain, the remaining funds will be allocated
to Category 2 to fund additional eligible applications in that
category. If a balance of funds remains, HUD reserves the right to
utilize those funds toward the following year's awards.
(4) Please see the Section VI.A.3 of the General Section for more
information about funding.
(5) Performance and Compliance Actions of Funding Recipients. HUD
will measure and address the performance and compliance actions of
funding recipients in accordance with the applicable standards and
sanctions of the Rural Housing and Economic Development program.
e. Corrections to Deficient Applications. After the application due
date, HUD may not, consistent with its regulations in 24 CFR part 4,
subpart B, consider any unsolicited information you, the applicant, may
want to provide. HUD may contact you to clarify an item in your
application or to correct technical deficiencies. HUD may not seek
clarification of items or responses that improve the substantive
quality of your response to any rating factors. In order not to
unreasonably exclude applications from being rated and ranked, HUD may
contact applicants to ensure proper completion of the application and
will do so on a uniform basis for all applicants.
Examples of curable (correctable) technical deficiencies include
inconsistencies in the funding request, a failure to submit the proper
certifications or failure to submit an application that contains a
signature by an official able to make a legally biding commitment on
behalf of the applicant. In the case of an applicant who received a
waiver, the technical deficiency may include a failure to submit an
application that contains an original signature. If HUD finds a curable
deficiency in the application, HUD will notify you in writing by
describing the clarification or technical deficiency. HUD will notify
applicants by facsimile or by USPS, return receipt requested.
Clarifications or corrections of technical deficiencies in accordance
with the information provided by HUD must be submitted within 14
calendar days of the date of receipt of the HUD notification. (If the
due date falls on a Saturday, Sunday or federal holiday, your
correction must be received by HUD on the next day that is not a
Saturday, Sunday or federal holiday.) If the deficiency is not
corrected within this time period, HUD will reject the application as
incomplete and it will not be considered for funding. In order to meet
statutory deadlines for the obligation of funds or for timely
completion of the review process, Program NOFAs may reduce the number
of days for submitting a response to a HUD clarification or correction
to a technical deficiency. Please be sure to carefully read each
Program NOFA for any additional information and instructions. An
applicant's response to a HUD notification of a curable deficiency
should be submitted directly to HUD in accordance with the instructions
provided with request to cure the deficiency.

VI. Award Administration Information:

A. Award Notice. Successful Rural Housing and Economic Development
program applicants will be notified of grant award and will receive
post-award instructions by mail.
B. Administrative and National Policy Requirements. In addition to
the requirements listed below, please review all requirements in
Section III of the General Section.

[[Page 14022]]

1. Lead-Based Paint Hazard Control. All property assisted under the
Rural Housing and Economic Development program is covered by the Lead-
Based Paint Poisoning Prevention Act (42 U.S.C. 4821-4846) and HUD's
implementing regulations at 24 CFR part 35.
2. Audit Requirements. Any grantee that expends $500,000 or more in
federal financial assistance in a single year (this can be program year
or fiscal year) must meet the audit requirements established in 24 CFR
parts 84 and 85 in accordance with OMB A-133.
3. Accounting System Requirements. The Rural Housing and Economic
Development program requires that successful applicants have in place
an accounting system that meets the policies, guidance, and
requirements described in the following applicable OMB Circulars and
Code of Federal Regulations:
a. OMB Circular A-87 (Cost Principles for State, Local and Indian
Tribal Governments);
b. OMB Circular A-122 (Cost Principles for Non-Profit
Organizations);
c. OMB Circular A-133 (Audits of States, Local Governments, and
Non-Profit Organizations);
d. 24 CFR part 84 (Grants and Agreements with Institutions of
Higher Education, Hospitals, and other Non-Profit Organizations); and
e. 24 CFR part 85 (Administrative Requirements for Grants and
Cooperative Agreements to State, Local, and Federally recognized Indian
tribal governments).
C. Reporting: Reporting documents apply to the award, acceptance
and use of assistance under the Rural Housing and Economic Development
program and to the remedies for noncompliance, except when inconsistent
with HUD's Appropriation Act, or other federal statutes or the
provisions of this NOFA.
For each reporting period, as part of your required report to HUD,
you must include a completed Logic Model (Form HUD 96010), which
identifies output and outcome achievements. If you are reporting race
and ethnic data, you must use Form HUD-27061, Race and Ethnic Data
Reporting Form.
D. Debriefing. See the General Section for information on how to
obtain a debriefing on your application review and evaluation.

VII. Agency Contact(s)

Further Information and Technical Assistance: For information
concerning the HUD Rural Housing and Economic Development program,
contact Mr. Thann Young, Program Specialist, or Ms. Linda L. Streets,
Community Development Specialist, Office of Rural Housing and Economic
Development, Office of Community Planning and Development, Department
of Housing and Urban Development, 451 Seventh Street, SW., Room 7137,
Washington, DC 20410-7000; telephone 202-708-2290 (this is not a toll-
free number). Persons with speech or hearing impairments may access
this number via TTY by calling the toll-free Federal Information Relay
Service at 800-877-8339.
Prior to the application deadline, Mr. Young or Ms. Streets will be
available at the number above to provide general guidance and
clarification of the NOFA, but not guidance in actually preparing your
application. Following selection, but prior to award, HUD staff will be
available to assist in clarifying or confirming information that is a
prerequisite to the offer of an award by HUD.

VIII. Other Information

1. Satellite Broadcast. HUD will hold an information webcast via
satellite for potential applicants to learn more about the program and
preparation of an application. For more information about the date and
time of this webcast, consult the HUD web site at www.hud.gov.
2. The Paperwork Reduction Act. The information collection
requirements contained in this document have been approved by the
Office of Management and Budget (OMB) under the Paperwork Reduction Act
of 1995 (44 U.S.C. 3501-3520) and assigned OMB control number 2506-
0169. In accordance with the Paperwork Reduction Act, HUD may not
conduct or sponsor and a person is not required to respond to a
collection of information, unless it displays a currently valid OMB
control number. Public reporting burden for the collection of
information is estimated to average 100 hours per annum per respondent
for the application and grant administration. This includes the time
for collecting, reviewing and reporting the data for the application,
semi-annual reports, and final report. The information will be used for
grantee selection and monitoring the administration of funds.

[[Page 14023]]

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[[Page 14024]]

Public Housing Neighborhood Networks Program

Overview Information

A. Federal Agency Name: Department of Housing and Urban
Development, Office of Public and Indian Housing.
B. Funding Opportunity Title: Public Housing Neighborhood Networks
program.
C. Announcement Type: Initial announcement.
D. Funding Opportunity Number: The Federal Register number for this
NOFA is: FR-4950-N-24. The OMB approval number for this program is
2577-0229.
E. Catalog of Federal Domestic Assistance (CFDA) Number(s): 14.870.
F. Dates: The application submission date is June 3, 2005. Please
see the General Section of the SuperNOFA for application submission and
timely receipt requirements.
G. Optional, Additional Overview Content Information: 1. Purpose of
Program: The purpose of the Public Housing Neighborhood Networks (NN)
program is to provide grants to public housing authorities (PHAs) to:
a) update and expand existing NN /community technology centers; or b)
establish new NN centers. These centers offer comprehensive services
designed to help public housing residents achieve long-term economic
self-sufficiency.
2. Funding Available: The Department plans to award approximately
$23,888,000 ($13,888,000 in new appropriations plus $10,000,000 in
carryover) under the Neighborhood Networks program in Fiscal Year 2005.
3. Award Amounts: Awards will range from $150,000 to $6000,000.
4. Eligible Applicants. Eligible applicants are PHAs only.
Tribes and tribally designated housing entities (TDHEs), nonprofit
organizations, and resident associations are not eligible to apply for
funding under the Public Housing Neighborhood Networks program.
5. Cost Sharing/Match Requirement: PHAs are required to match at
least 25 percent of the requested grant amount.
6. Grant term. The grant term is three years from the execution
date of the grant agreement.

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Grant program Total funding Eligible applicants Maximum grant amount
--------------------------------------------------------------------------------------------------------------------------------------------------------
Neighborhood Networks....................... $23.8 Million.................. PHAs--existing centers..................... $150,000 for PHAs with 1-780
units.
$200,000 for PHAs with 781-
2,500 units.
$250,000 for PHAs with 2,501-
7,300 units.
$300,000 for PHAs with 7,301
units or more.
PHAs--new centers.......................... $300,000 for PHAs with 1-780
units.
$400,000 for PHAs with 781-
2,500 units.
$500,000 for PHAs with 2,501-
7,300 units.
$600,000 for PHAs with 7,301
units or more.
--------------------------------------------------------------------------------------------------------------------------------------------------------

Full Text of Announcement

I. Funding Opportunity Description

A. Definition of Terms

1. Contract Administrator is a grant administrator or financial
management agent that oversees the implementation of the grant and/or
the financial aspects of the grant. See the ``Program Requirements''
and ``Threshold Requirements'' sections for more information.
2. An existing computer center is: (1) A computer lab, or
technology center owned and operated by a PHA which serves residents of
public housing and has not received prior NN funding and therefore is
not officially designated a HUD Public and Indian Housing (PIH) NN
center; (2) a computer lab designated as a HUD PIH NN center, which
seeks to expand its services; or (3) a computer lab which needs funding
under this program to become operational and serve residents of public
housing.
3. A new NN center is one that will be established (i.e. there is
no infrastructure, space, or equipment currently in use for this
purpose) with NN grant funds. NOTE: An applicant previously funded
under Neighborhood Networks may apply under the ``New Computer Center''
category only if it will develop a new center in a development which
cannot be served by the applicant's existing NN center(s).
4. Past Performance is a threshold requirement. Using Rating Factor
1, HUD's field offices will evaluate applicants for past performance to
determine whether an applicant has the capacity to manage the grant
they are applying for. Field offices will evaluate the past performance
of contract administrators for applicants that required one.
5. Person with disabilities means a person who:
a. Has a condition defined as a disability in section 223 of the
Social Security Act;
b. Has a developmental disability as defined in section 102 of the
Developmental Disabilities Assistance Bill of Rights Act; or
c. Is determined to have a physical, mental, or emotional
impairment which:
(1) Is expected to be of long-continued and indefinite duration;
(2) Substantially impedes his or her ability to live independently;
and
(3) Is of such a nature that such ability could be improved by more
suitable housing conditions.
The term ``person with disabilities'' includes persons who have
acquired immunodeficiency syndrome (HIV/AIDS) or any conditions arising
from the etiologic agent for AIDS. In addition, no individual shall be
considered a person with disabilities solely based on drug or alcohol
dependence.
The definition provided above for persons with disabilities is the
proper definition for determining program qualifications. However, the
definition of a person with disabilities contained in section 504 of
the Rehabilitation Act of 1973 and its implementing regulations must be
used for purposes of reasonable accommodations.
6. Project Coordinator is responsible for coordinating the
grantee's approved activities to ensure that grant goals and objectives
are met. A qualified Project Coordinator is someone with at least two
years of experience working on supportive services designed
specifically for underserved populations. The Project Coordinator and
grantee are both responsible for ensuring that all federal requirements
are followed.
7. Secretary means the Secretary of Housing and Urban Development.
8. Senior person means a person who is at least 62 years of age.

B. Program Description

1. The Public Housing Neighborhood Networks program provides grants
to PHAs to (1) update and expand existing NN/community technology
centers; or (2) establish new (NN) centers.
2. NN centers must be located within a public housing development,
on PHA land, or within reasonable walking distance to the PHA
development(s).

[[Page 14025]]

3. HUD is looking for applications that implement comprehensive
programs within the three year grant term which will result in improved
economic self-sufficiency for public housing residents. HUD is looking
for proposals that involve partnerships with organizations that will
supplement and enhance the services offered to residents.
4. NN centers provide computer and Internet access to public
housing residents and offer a full range of computer and job training
services. Applicants should submit proposals that will incorporate
computer and Internet use to: provide job training for youths, adults
and seniors; expand educational opportunities for residents; promote
economic self-sufficiency and help residents transition from welfare to
work; assist children with homework; provide guidance to high school
students (or other interested residents) for post-secondary education
(college or trade schools); and provide other services deemed necessary
from resident input.
5. All applicants must complete a business plan (see sample HUD-
52766 provided in the Appendix) covering the three-year grant term.
Applicants' business plan and narrative must indicate how the centers
will become self-sustaining after the grant term expires. Proposed
grant activities should build on the foundation created by previous NN
grants such as Resident Opportunities and Self-Sufficiency (ROSS)
grants, or other federal, state and local self-sufficiency efforts.

C. Eligible Activities

1. Hiring a Qualified Project Coordinator To Administer the Grant
Program. A qualified Project Coordinator must have project management
and information technology experience. The Project Coordinator should
be hired for the entire term of your grant. The Project Coordinator is
responsible for ensuring that the center achieves its proposed goals
and objectives. In addition, the Project Coordinator is responsible for
the following activities:
a. Marketing the program to residents;
b. Assessing residents' needs, interests, skills, and job-
readiness;
c. Assessing residents' needs for supportive services, e.g.
childcare, transportation;
d. Designing and coordinating grant activities based on residents'
needs and interests; and
e. Monitoring the progress of program participants and evaluating
the overall success of the program. For more information on how to
measure performance, please see Rating Factor 5 in the ``Application
Review Information'' section of this NOFA.
2. Literacy training and GED preparation;
3. Computer training, from basic to advanced;
4. College preparatory courses and information;
5. Job Training: Some examples of the job training skills
encouraged are: oral and written communication skills; work ethic;
interpersonal and teamwork skills; resume writing; interviewing
techniques, creating job training and placement programs with local
employers and employment agencies; and post-employment follow-up to
assist residents who are new to the workplace.
6. Physical improvements. Physical improvements must relate to
providing space for a Neighborhood Networks center. Renovation,
conversion, wiring, and repair costs may be essential elements of
physical improvements. In addition, architectural, engineering, and
related professional services required to prepare plans or drawings,
write-ups, specifications or inspections may also be part of the cost
of implementing physical improvements.
a. Creating an accessible space for persons with disabilities is an
eligible use of funds. Refer to Office of Management and Budget (OMB)
Circular A-87, ``Cost Principles for State, Local and Indian Tribal
Governments.''
b. The renovation, conversion, or joining of vacant units in a PHA
development to create space for the equipment and activities of a NN
center (computers, printers, and office space) are eligible activities
for physical improvement.
c. The renovation or conversion of existing common areas in a PHA
development to accommodate a NN center is eligible.
d. If renovation, conversion, or repair is done off-site, the PHA
must provide documentation with its application that it has control of
the proposed property for at least five years. Control can be
demonstrated through a lease agreement, ownership documentation, or
other appropriate documentation.
7. Maintenance and insurance costs. Includes installing and
maintaining the hardware and software as well as insurance coverage for
the space and equipment.
8. Purchase of computers, printers, software and other peripheral
equipment are eligible expenses. In addition, costs of computer
hardware and software for the needs of persons with disabilities are an
eligible cost for this funding category;
9. Distance Learning Equipment. Distance learning equipment
(including the costs for video casting and purchase/lease/rental of
distance learning equipment) is an eligible use of funds. The proposal
must indicate that the center will be working in a virtual setting with
a college, university or other educational organization. Distance
learning equipment can also be used to link one or more centers so that
residents can benefit from courses being offered at only one site.
10. Security and related costs. Includes space and minor refitting,
locks, and other equipment for safeguarding the center.
11. Hiring Residents. Grantees may hire residents to help with the
implementation of this grant program.
12. Administrative costs. Administrative costs may include, but are
not limited to, purchase of furniture, office equipment and supplies,
local travel, and utilities. Administrative costs may not be used to
pay for salaries of any kind. For both new and existing NN centers,
administrative costs must not exceed 10 percent of the total grant
amount requested from HUD. Administrative costs must adhere to OMB
Circular A-87. Please use HUD-424-CBW to itemize your administrative
costs. You may attach an additional sheet of paper to the HUD-424-CBW
form if necessary in order to fully itemize your administrative costs.

D. Regulations Governing the Neighborhood Networks Grant

The Neighborhood Networks program is governed by regulations in 24
CFR parts 905 and 968.

II. Award Information

A. Total Funding. The Department expects to award approximately a
total of $23,888,000 ($13,888,000 in new appropriations plus
$10,000,000 in carryover) under the Neighborhood Networks program in
Fiscal Year 2005. Awards will be made as follows:
1. Forty percent of available funding for Neighborhood Networks
will be used for updating and expanding existing computer technology
centers. The other 60 percent will provide grants to establish and
operate new Neighborhood Networks centers.
2. PHAs must use the number of occupied public housing units as of
September 30, 2004 per their budget. This is required so the PHA can
determine the maximum grant amount they are eligible for in accordance
with the categories listed below. PHAs should clearly indicate on the
Fact

[[Continued on page 14025]]

[Federal Register: March 21, 2005 (Volume 70, Number 53)]
[Notices]
[Page 14025-14074]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr21mr05-147]

[[pp. 14025-14074]] Notice of HUD's Fiscal Year 2005 Notice of Funding Availability
Policy Requirements and General Section to the SuperNOFA for HUD's
Discretionary Programs

[[Continued from page 14024]]

[[Page 14026]]

Sheet (HUD-52751) the number of units under management.
a. Funding Levels for Existing Centers:

------------------------------------------------------------------------
Number of conventional units Maximum funding
------------------------------------------------------------------------
1-780 units............................... $150,000
781-2,500 units........................... 200,000
2,501-7,300 units......................... 250,000
7,301 or more units....................... 300,000
------------------------------------------------------------------------

b. Funding Levels for New Centers:

------------------------------------------------------------------------
Number of conventional units Maximum funding
------------------------------------------------------------------------
1-780 units............................... $300,000
781-2,500 units........................... 400,000
2,501-7,300 units......................... 500,000
7,301 or more units....................... 600,000
------------------------------------------------------------------------

B. Grant Period: Three years. The grant period shall begin the day
the grant agreement and the form HUD-1044, ``Assistance Award/
Amendment'' are signed by the grantee and HUD.
C. Grant Extensions. Requests to extend the grant term must be
submitted in writing by the grantee to the local HUD field office. Such
requests must be done prior to grant termination and with at least 30
days notice to give the field office a reasonable amount of time to
fully evaluate the request. Requests must explain why the extension is
necessary, what work remains to be completed, and what work and
progress was accomplished to date. Extensions may be granted one time
only by the field office for no more than six months.
D. Type of Award: Grant agreement.
E. Subcontracting: Subcontracting is permitted. Grantees must
follow the HUD federal procurement regulations found at 24 CFR 85.36.

III. Eligibility Information

A. Eligible Applicants: Public Housing Authorities are eligible to
apply for this funding category. Tribes/TDHEs, nonprofit organizations,
and resident associations are not eligible to apply for this funding
category.
B. Cost Sharing or Matching: All applicants are required to obtain
a 25 percent cash or in-kind match. The match is a threshold
requirement. Applicants who do not demonstrate the minimum 25 percent
match will fail the threshold requirement and will not receive further
consideration for funding. Please see the section below on threshold
requirements for more information on what is required for the match.
C. Other: 1. Threshold Requirements: Applicants must respond to
each threshold requirement clearly and thoroughly by following the
instructions below. If your application fails one threshold requirement
(regardless of the type of threshold) it will be considered a failed
application. Applicants and grantees must also meet the threshold
requirements contained in Section III.C. of the General Section of the
SuperNOFA.
a. Match. All applicants are required to commit a 25 percent match
in cash or in-kind donations that are defined in this paragraph. Joint
applicants must together have at least a 25 percent match. Applicants
who do not demonstrate the minimum 25 percent match will fail this
threshold requirement and will not receive further consideration for
funding. If you are also applying for funding under the ROSS grant
program, you must use different sources of match donations for each
grant application and you must indicate which ROSS grant(s) you are
applying for by attaching a narrative to your application. This
narrative must state the sources and amounts of each of your match
contributions for this application as well as any other HUD grant
program to which you are applying.
Match donations must be firmly committed. Firmly committed means
that the amount of match resources and their dedication to Neighborhood
Networks-funded activities must be explicit, in writing and signed by a
person authorized to make the commitment. Letters of commitment and
memoranda of understanding (MOU) must be on organization letterhead,
and signed by a person authorized to make the commitment. The letters
of commitment/MOUs must indicate the total dollar value of the
commitment, be dated within two months of the application deadline, and
indicate how the commitment will relate to the proposed program. The
commitment should be available at time of award. Applicants proposing
to use their own, non-HUD grant funds to meet the match requirement,
must also include a letter of commitment indicating the type of match
(cash or in-kind) and how the match will be used. Grant awards shall be
contingent upon letters of commitment being submitted with your
application. Please see the General Section of the SuperNOFA for
instructions for submitting the required letters with your electronic
application.
(1) Volunteer time and services shall be computed using the
professional rate for the local area or the national minimum wage rate
of $5.15 per hour (Note: applicants may not count their staff time
towards the match.) If grantees propose to use volunteers for
development or operations work that would otherwise be subject to
payment of Davis-Bacon or HUD-determined prevailing wage rates
(including construction, rehabilitation or maintenance) their services
must be computed using the appropriate methodology. Additional
information on these wage rates can be found at: www.hud.gov/, by
contacting HUD Field Office Labor Relations staff, or from the PHA.
Such volunteers must also meet the requirements of section 12(b) of the
United States Housing Act of 1937 and 24 CFR part 70;
(2) In order for HUD to determine the value of any donated
material, equipment, staff time, building, or lease, your application
must provide a letter from the organization making the donation. The
letter must state the value of the contribution.
(3) Other resources/services that can be committed include: in-kind
services such as administrative assistance provided to the applicant;
funds from federal sources that are allowed by statute, for example
Community Development Block Grant (CDBG); funds from any state or local
government sources; and funds from private contributions. Applicants
may also partner with other program funding recipients to coordinate
the use of resources in the target area.
b. Past Performance. HUD's field offices will evaluate data
provided by applicants as well as their past performance to determine
whether applicants have the capacity to manage the grant they are
applying for. Field offices will evaluate the contract administrators'
past performance for applicants required to have a contract
administrator. Using Rating Factor 1, the field office will evaluate
applicants' past performance. Applicants should carefully review Rating
Factor 1 to ensure their application addresses all of the criteria
requested. If applicants fail to address what is requested in Rating
Factor 1, their application will not receive further consideration.
c. Contract Administrator Partnership Agreement. PHAs that are
troubled at time of application are required to submit a signed
Contract Administrator Partnership Agreement. The agreement must be for
the entire grant term. Grant awards must have a signed Contract
Administrator Partnership Agreement included in the application.
Applicants required to have a Contract Administrator Partnership
Agreement that fail to submit one will fail this threshold requirement
and will not receive further consideration for funding.

[[Page 14027]]

Troubled PHAs are not eligible to be contract administrators. Grant
writers who assist in the preparation of their Neighborhood Networks
applications are also ineligible to be contract administrators.
For more information on contract administrators, see the section
``Program Requirements.''
d. Minimum Score for All Fundable Applications. Applications that
pass all threshold requirements and go through the ranking and rating
process, must receive a minimum score of 75 in order to be considered
for funding.
e. The Dun and Bradstreet Universal Numbering System (DUNS) Number
Requirement. Refer to the General Section of the SuperNOFA for
information regarding the DUNS requirement. You will need to obtain a
DUNS number to receive an award from HUD. You will need a DUNS number
to complete your Grants.gov registration. Registration is required for
electronic submission. See the General Section of the SuperNOFA for a
discussion of the Grants.gov registration process.
f. Applicants will not be considered for funding if their request
exceeds the maximum amount they are eligible for.
2. Program Requirements:
a. Program Evaluations. A portion of grant funds should be reserved
to ensure that evaluations can be completed for all participants who
received training through this program. For example, applicants may
propose to reserve one percent of grant funds for every 10 students
they train for the purpose of evaluating students' success in the
program.
b. Physical Improvements. All renovations must meet appropriate
accessibility requirements, including the requirements of Section 504
of the Rehabilitation Act of 1973 at 24 CFR part 8, Architectural
Barriers Act at 24 CFR part 40, the Americans with Disabilities Act and
the Fair Housing Act. Compliance with the Uniform Federal Accessibility
Standards must comply with the requirements of 24 CFR 8.21, 8.22,
8.232, and 8.25 with respect to buildings.
c. Contract Administrator. The contract administrator must assure
that the financial management system and procurement procedures that
will be implemented during the grant term comply with 24 CFR part 85.
CAs are expressly forbidden from accessing HUD's Line of Credit Control
System (LOCCS) and submitting vouchers on behalf of grantees. Contract
administrators must assist PHAs in meeting HUD's reporting
requirements, see Section VI.C. ``Reporting'' for more information.
Contract administrators may be: local housing agencies; community-based
organizations such as community development corporations (CDCs),
churches, temples, synagogues, mosques; nonprofit organizations; state/
regional associations and organizations. Troubled PHAs are not eligible
to be contract administrators. Grant writers who assist applicants in
preparing their Neighborhood Networks applications are also ineligible
to be contract administrators. Organizations that the applicant
proposes to use as the contract administrator must not violate the
conflict of interest standards as defined in 24 CFR part 84 and 24 CFR
part 85.
d. Other Requirements Applicable to All Programs. All applicants,
lead and non-lead, should refer to ``Other Requirements and Procedures
Applicable to All Programs'' of the General Section of the SuperNOFA
for other requirements to which they may be subject.
3. Number of Applications Permitted:
a. General. Applicants may submit only one application for a NN
grant.
b. Joint applications. Two or more applicants may join together to
submit a joint application for proposed grant activities. Joint
applications must designate a lead applicant. Only the lead applicant
is subject to the threshold requirements outlined in this NOFA.
However, both lead and non-lead applicants are subject to threshold
requirements outlined in Section III. C. of the General Section of the
SuperNOFA. The lead applicant must be registered with Grants.gov and
submit the application using the Grants.gov portal. Applicants who
submit joint applications cannot submit separate applications as sole
applicants under this NOFA. NOTE: The lead applicant will determine the
maximum funding amount the applicants are eligible to receive.
4. Eligible Participants: All program participants must be
residents of public housing or residents of other housing assisted with
funding made available under the 2005 Appropriations Act (e.g.,
residents receiving tenant-based or project-based voucher assistance,
as well as elderly and disabled residents).
5. Compliance with Program Requirements. In addition to the
specific NN program requirement, all applicants and grantees must also
comply with the program requirements contained in Section III. C. of
the General Section of the SuperNOFA.

IV. Application and Submission Information

A. Address to Obtain an Application Package. There is no
application kit this year. Please refer to the General Section for
information on how to submit your application electronically. Copies of
this published NOFA and application forms for this program may be
downloaded from the grants.gov Web site at http://www.grants.gov/APPLY.
If you have difficulty accessing the information you may call the
Grants.gov help desk toll-free at (800) 518-GRANTS or sending an e-mail
to Support@Grants.gov. The operators will assist you in accessing the
information.
B. Content and Form of Application Submission: 1. Application
Preparation: Before preparing an application for Neighborhood Networks
funding, applicants should carefully review the program description,
program requirements, ineligible activities, threshold requirements
contained in this NOFA, and the General Section. Applicants should also
review each rating factor found in the ``Application Review
Information'' section before writing a narrative response. Applicants'
narratives must be descriptive in order to ensure that every requested
item is addressed. Applicants should make sure to include all requested
information, according to the instructions found in this NOFA and the
General Section. This will help ensure a fair and accurate review of
your application.
2. Content and Format for Submission: In order to be funded,
applicants must propose programs which meet all the requirements and
objectives of the Neighborhood Networks program described in this NOFA
and follow the submission instructions for electronic filing and
submitting third party letters and other documentation found in the
General Section.
3. Content of Application: Applicants must write narrative
responses to each of the rating factors described in the section below.
Their responses must demonstrate that they have the necessary capacity
to successfully manage this grant program. Applicants should ensure
that their narratives are written clearly and concisely so that HUD
reviewers, who may not be familiar with the Neighborhood Networks
program, fully understand the proposal. HUD encourages applicants to
carefully review each rating factor, the regulations governing the
Neighborhood Networks program, at 24 CFR parts 905 and 968, and the
General Section prior to responding to the rating factors.
4. Format of Application: (1) Applications may not exceed 35
narrative pages. Narrative pages must be submitted as separate
electronic files, formatted as double-spaced, single-sided documents.
Each file should have

[[Page 14028]]

the pages numbered consecutively. Use Times New Roman font style and
font size 12. Supporting documentation, required forms, and
certifications will not be counted toward the 35 narrative page limit.
See the General Section for information on how to submit documents that
are not in electronic format. Applicants should make every effort to
submit only what is necessary in terms of supporting documentation.
Please see the General Section for instructions on how to submit
supporting documentation with your electronic application.
(2) The following checklist has been provided to guarantee that the
applicants submit all of the required forms and information. Electronic
application filers should make sure the file names for their narratives
reflect the labels in the checklist. Each narrative must be in a
separate file with all the files zipped together and sent as an
attachment in the application submittal.

(Note: Applicants who receive a waiver to submit paper
applications, must submit their applications in a three-ring binder,
with TABS dividing the sections as indicated below):

TAB 1: Required Forms
1. Acknowledgment of Application Receipt (HUD-2993), for paper
application submissions only (you must have an approved waiver to
submit a paper application);
2. Application for Federal Assistance (SF-424);
3. SF-424 Supplement--Survey on Ensuring Equal Opportunity for
Applicants;
4. Questionnaire for HUD's Initiative on Removal of Regulatory
Barriers (HUD-27300);
5. ROSS Fact Sheet (HUD-52751);
6. Grant Application Detailed Budget (HUD-424-CB);
7. Grant Application Detailed Budget Worksheet (HUD-424-CBW);
8. Applicant/Recipient Disclosure/Update Report (HUD-2880);
9. Certification of Consistency with RC/EZ/EC-II Strategic Plan
(HUD-2990) if applicable;
10. Certification of Consistency with the Consolidated Plan (HUD-
2991) if applicable;
11. Disclosure of Lobbying Activities (HUD-SF-LLL)--if applicable;
12. Disclosure of Lobbying Activities Continuation Sheet (HUD-SF-
LLL-A)--if applicable; and
13. Client Comments and Suggestions (HUD-2994). (Optional)
14. Facsimile Transmittal (HUD-96011)
TAB 2: Threshold Requirements
1. Letters from Partners attesting to match;
2. Letter from Applicant's organization attesting to match (if
applicant is contributing to match); and
3. Contract Administrator Partnership Agreement (required for
troubled PHAs) (HUD-52755).
TAB 3: Rating Factor 1
1. Narrative
2. Chart A: Program Staffing (HUD-52756)
3. Chart B: Applicant/Administrator Track Record (HUD-52757)
4. Resumes/Position Descriptions
TAB 4: Narrative for Rating Factor 2
TAB 5: Rating Factor 3
1. Narrative
2. Business Plan (see sample) (HUD-52766)
TAB 6: Narrative for Rating Factor 4
TAB 7: Narrative for Rating Factor 5 and NN Program Forms
1. Narrative
2. Logic Model (HUD-96010);
3. Sample Performance measures/outcomes are attached for
applicants' information
C. Submission Dates and Times: 1. Due Dates: Electronic
applications must be submitted and received by Grants.gov no later than
11:59:59 p.m. eastern time on June 3, 2005. For applicants receiving a
waiver to the electronic filing requirement, please see the General
Section for waiver and mailing requirements.
2. Proof of Timely Submission. Please see Section IV.F of the
General Section for application submission, and timely receipt
requirements. Applicants that fail to meet the deadline for application
receipt will not receive funding consideration.
D. Intergovernmental Review: Not applicable.
E. Funding Restrictions: 1. Reimbursement for Grant Application
Costs: Applicants who receive a NN award are prohibited from using
these grant funds to reimburse any costs incurred while preparing their
applications.
2. Covered Salaries:
a. Project Coordinator: The Neighborhood Networks program will fund
up to $65,000 in combined annual salary and fringe benefits for a full-
time Project Coordinator. The Project Coordinator's salary and fringe
benefits may not exceed 30 percent of the total grant amount. For audit
purposes, applicants must have documentation on file demonstrating that
the salary paid to the Project Coordinator is comparable to similar
professions in their local area.
b. Hiring Residents: Grantees may hire residents to help with the
implementation of this grant program. No more than five percent of
grant funds can be used for this purpose.
c. NN funds may only be used for the types of salaries described in
this section according to the restrictions described herein. NN funds
may not be used to pay for salaries of any other kind.
d. Neighborhood Networks grant funds cannot be used to hire or pay
the services of a Contract Administrator.
3. Administrative Costs. Administrative costs may include, but are
not limited to, purchase of furniture, office equipment, supplies,
local travel, and utilities. Administrative costs may not be used to
pay for salaries. Administrative costs must not exceed 10 percent of
the total grant amount requested from HUD. Administrative costs must
adhere to OMB Circular A-87. Please use HUD-424-CBW to itemize your
administrative costs.
4. Ineligible Activities/Costs. Grant funds may not be used for
ineligible activities:
a. Payment of wages and/or salaries to participants for receiving
supportive services and/or training programs;
b. Purchase, lease, or rental of land;
c. Purchase, lease, or rental of vehicles;
d. Entertainment costs;
e. Purchasing food;
f. Service Coordinator salary and fringe benefits;
g. Stipends;
h. Cost of application preparation;
i. Costs which exceed limits identified in the NOFA for the
following: Project Coordinator, resident salaries, physical
improvements (see below) and administrative expenses; and
j. Any other costs not eligible under section 9(d)(1)(E) of the
U.S. Housing Act of 1937. A copy of the regulation can be found at
www.hud.gov/fundsavailable.
k. NN funds cannot be used to hire or pay for the services of a
Contract Administrator
5. Physical Improvements. For new centers, expenses for physical
improvements may not exceed 20 percent of the total grant amount
requested from HUD. For existing centers, expenses for physical
improvements may not exceed 10 percent of the total grant amount.
F. Other Submission Requirements: a. Electronic Delivery. Beginning
in FY2005, HUD requires applicants to submit applications
electronically through www.grants.gov/Apply. Applicants interested in
applying for funding must submit their applications electronically via
the web site http://www.grants.gov/Apply. This site has simple
instructions that will enable you to apply for HUD assistance. The
www.grants.gov/Apply feature includes

[[Page 14029]]

a simple, unified application process to enable applicants to apply for
grants online.
b. Waivers to the Electronic Submission Process: Applicants may
request a waiver to the electronic submission process (see Section IV.F
of the General Section for more information). Applicants who are
granted a waiver must submit their applications to: HUD Grants
Management Center (GMC), Mail Stop: Neighborhood Networks, 501 School
Street, SW., 8th floor, Washington, DC 20024. Please see the General
Section for detailed mailing and delivery instructions as the
procedures have changed significantly for this year.
c. Number of Copies. Only applicants receiving a waiver to the
electronic submission requirement may submit an original and two paper
copies of the application. One paper copy must be sent to the area
field office. See the chart in the General Section if you have received
a waiver of the electronic submission requirement.

V. Application Review Information

A. Criteria

1. Factors for Award Used To Evaluate and Rate Applications to the
Neighborhood Networks Program: The factors for rating and ranking
applicants and maximum points for each factor are provided below. The
maximum number of points available for this program is 102. This
includes two RC/EZ/EC bonus points. The SuperNOFA contains a
certification that must be completed in order for the applicant to be
considered for RC/EZ/EC-II bonus points. A listing of federally
designated RC/EZ/EC-II is available on HUD's web site at: www.hud.gov/
fundsdsavailable. The agency certifying to RC/EZ/EC-II status must be
included in the listing on HUD's web site. Please see the General
Section for details concerning RDC/EZ/EC-II bonus points. NOTE:
Applicants should carefully review each rating factor before writing a
response. Applicants' narratives must be descriptive and detailed in
order to ensure every requested item is addressed. Applicants should
make sure their narratives thoroughly address the Rating Factors below
and include all requested information, according to the instructions
found in this NOFA. This will help ensure a fair and accurate
application review.
a. Rating Factor 1: Capacity of the Applicant and Relevant
Organizational Staff (35 Points)
This factor addresses whether the applicant has the organizational
resources necessary to successfully implement the proposed activities
within the grant period. In rating this factor, HUD will consider
whether the proposal demonstrates that the applicant will have
qualified and experienced staff. HUD will also bear in mind whether or
not the proposed staff will be dedicated to administering the program.
(1) Proposed Program Staffing (12 Points).
(a) Staff Experience (4 Points). HUD is requesting details about
the knowledge and experience of the proposed Project Coordinator,
staff, and partners in planning and managing programs. Experience will
be judged in terms of recent, relevant and successful experience of
proposed staff to undertake program activities. In rating this factor,
HUD will consider experience within the last 5 years to be recent;
experience pertaining to the specific activities being proposed to be
relevant; and experience producing specific accomplishments to be
successful. Applicants will receive a greater amount of points if the
proposed staff has recent and applicable experience. HUD is looking for
staff to possess experience working with and successfully implementing
similar projects. If proposed staff has experience in providing
community technology services and in delivering social service programs
to underserved populations, applicants will receive a maximum score of
four points. If proposed staff has experience in only one area,
applicants will receive two points. If proposed staff has experience in
neither area, applicants will receive a score of 0 for this subfactor.
The following information should be included in the application in
order to provide HUD an understanding of the proposed staff's
experience and capacity:
(i) The number of staff years (one staff year = 2080 hours) to be
allocated to the program by each employee as well as each of their
roles in the program;
(ii) The staff's relevant educational background and/or work
experience;
(iii) Relevant and successful experience running programs whose
activities include social services and computer programs that are
similar to the eligible program activities described in this NOFA;
(b) Hiring Residents (3 points). Three points will be awarded if
applicants commit to hiring one to three residents. Small PHAs should
hire one person, medium PHAs should hire one to two people, and large
PHAs should hire three people in order to get the maximum score. In
order to receive points for this subfactor, applicants must explain in
their narrative that they will hire residents and indicate the number
of residents to be hired, and work they will be assigned.
(c) Organizational Capacity (5 Points). Applicants will be
evaluated based on whether they have, and/or whether their partners
have sufficient qualified personnel to deliver the proposed activities
in a timely and effective fashion. In order to enhance or supplement
capacity, applicants should provide evidence of partnerships with
nonprofit organizations or other organizations that have experience
providing community technology services to typically underserved
populations. Applicants' narrative must describe their ability to
immediately begin the proposed work program. Applicants may scan
resumes or position descriptions (where staff is not yet hired) for all
key personnel so they become an electronic attachment to your
Grants.gov application. Please see the General Section for instructions
on how to submit the required information with your electronic
application. (Resumes/position descriptions do not count toward the 35-
page limit.)
(2) Past Performance of Applicant/Contract Administrator (6
Points). Applicants' narrative must describe how they (or their
Contract Administrator) successfully implemented grant programs
(including those listed below) designed to promote resident self-
sufficiency or moving from welfare to work. Applicants' past experience
may include, but is not limited to, running programs aimed at assisting
residents of low-income housing achieve economic self-sufficiency;
e.g., ROSS grants and Youthbuild. Applicants' narrative must indicate
the grants they received and managed, the grant amounts, and grant
terms (years) of the grants that they are counting towards past
experience. Applicants will be evaluated according to the following
criteria:
(a) Benefits gained by participating residents. These must be
measurable. Applicants should describe results their programs have
obtained, (e.g., higher incomes, improved grades, higher rates of
employment, increased savings, improved literacy, etc.);
(b) Description of timely grant expenditure throughout the term of
past grants. Timely means regular drawdowns throughout the life of the
grant, i.e., quarterly drawdowns, with all funds expended by the end of
the grant term;
(c) Description of past leveraging. Applicants must describe how
they have leveraged funding or in-kind services beyond what was
originally proposed for past projects;

[[Page 14030]]

(3) Program Administration and Fiscal Management (17 Points).
(a) Program Administration (10 Points). Applicants should describe
how they will manage the program; how HUD can be sure that there is
program accountability; and provide a description of proposed staff's
roles and responsibilities. Applicants should also describe how grant
staff, and partners will report to the Project Coordinator and other
senior staff.
(b) Fiscal Management (7 Points) In rating this factor, applicants'
skills and experience in fiscal management will be evaluated. If
applicants have had any audit or material weakness findings in the past
five years, they will be evaluated on how well they have addressed
them. Applicants must provide the following:
(i) A complete description of their fiscal management structure,
including fiscal controls currently in place, which includes those of a
Contract Administrator for applicants who required one. (i.e., troubled
PHAs);
(ii) Applicants must list any audit findings in the past five years
(HUD Inspector General, management review, fiscal, etc.), material
weaknesses and what has been done to address them;
(iii) For applicants who are required to have a Contract
Administrator, describe the skills and experience the Contract
Administrator has in managing Federal funds.
b. Rating Factor 2: Need (10 Points)
This factor addresses the need for funding an applicant's proposed
program. In responding to this factor, applicants will be evaluated on
the extent to which they describe and document the level of need for
their proposed activities.
In responding to this factor, applicants must include:
(1) Demonstrated Link Between Proposed Activities and Local Need.
(10 points). Applicants' narrative must demonstrate a clear
relationship between proposed activities, community needs and the
purpose of the program's funding in order for points to be awarded for
this factor.
c. Rating Factor 3: Soundness of Approach (25 Points)
This factor addresses both the quality and cost-effectiveness of
applicants' proposed business plan. The business plan must indicate a
clear relationship between proposed activities, the targeted
population's needs, and the purpose of the program funding. Applicants'
activities must address HUD's policy priorities outlined in this Rating
Factor.
In rating this factor HUD will consider:
(1) Quality of the Business Plan (20 points). This factor evaluates
both the applicants' business plan and budget which will be evaluated
based on the following criteria:
(a) Specific Services and/or Activities (9 points). Applicants'
narrative must describe the specific services, course curriculum, and
activities they plan to offer and who will be responsible for each. In
addition to the narrative, applicants must also provide a business
listing the specific services, activities, and outcomes they expect.
The business plan must show a logical order of activities and progress
and must tie to the outcomes and outputs applicants identify in the
Logic Model (see Rating Factor 5). Please see a sample business plan in
the Appendix (HUD-52766). Applicants' narrative must explain how their
proposed activities will:
(i) Involve community partners in the delivery of services (4
points); and
(ii) Offer comprehensive services versus a small range of services
geared toward enhancing economic opportunities for residents. (5
points).
(b) Feasibility and Demonstrable Benefits (4 points). This factor
examines whether applicants' business plan is logical, feasible and
likely to achieve its stated purpose during the term of the grant.
HUD's desire is to fund applications that will quickly produce
demonstrable results and advance the purposes of the Neighborhood
Networks program.
(i) Timeliness. This subfactor evaluates whether applicants'
business plan demonstrates that their project is ready to be
implemented shortly after grant award. In addition, the timing of the
application should not exceed three months following the execution of
the grant agreement. The business plan must indicate timeframes and
deadlines for accomplishing major activities.
(ii) Description of the problem and solution. The business plan
will be evaluated based on how well applicants' proposed activities
address the needs described in Rating Factor 2.
(c) Budget Appropriateness/Efficient Use of Grant (7 Points). The
score in this factor will be based on the following:
(i) Justification of expenses (4 Points). Applicants will be
evaluated based on whether their expenses are reasonable, well
explained, and support the objectives of their proposal.
(ii) Budget Efficiency (3 Points). Applicants will be evaluated
based on whether their application requests funds commensurate with the
level of effort necessary to accomplish their goals and anticipated
results.
(d) Ineligible Activities. Two points will be deducted for each
ineligible activity proposed in the application, as identified in
Section IV(E). For example, you will lose 2 points if you propose costs
that exceed the limits identified in the NOFA for a Project
Coordinator.
(2) Addressing HUD's Policy Priorities (5 points). HUD wants to
improve the quality of life for those living in distressed communities.
HUD's grant programs are a vehicle for long-term, positive change that
can be achieved at the community level. Applicants' narrative and
business plan will be evaluated based on how well they meet the
following HUD policy priorities:
(a) Improving the Quality of Life in Our Nation's Communities. (1
points). In order to receive points in this category, applicants'
narrative and business plan must indicate the types of activities,
services, and training programs that will be offered. These programs
should help residents successfully transition from welfare to work and
earn higher wages, or for elderly/disabled residents, to continue to
live independently.
(b) Providing Full and Equal Access to Grassroots Faith-Based and
Other Community-Based Organizations in HUD Program Implementation (1
point). HUD encourages applicants to partner with grassroots
organizations, e.g., civic organizations, grassroots faith-based and
other community-based organizations. These grassroots organizations
have a strong history of providing vital community services such as
developing first-time homeownership programs, creating economic
development programs, providing job training and other supportive
services. In order to receive points under this factor, applicants'
narrative and business plan must describe how applicants will work with
these organizations and what types of services they will provide.
(c) Policy Priority for Increasing the Supply of Affordable Housing
Through the Removal of Regulatory Barriers to Affordable Housing (up to
2 points).Under this policy priority, higher rating points are
available to (1) governmental applicants that are able to demonstrate
successful efforts in removing regulatory barriers to affordable
housing, and (2) nongovernmental applicants undertaking activities in
jurisdictions that have undertaken successful efforts in removing
barriers. For applicants to obtain the policy priority points for
efforts to successfully remove regulatory barriers, applicants should
complete form HUD 27300, ``Questionnaire for HUD's Initiative on
Removal of Regulatory Barriers.'' A copy of HUD's Notice entitled
America's Affordable Communities Initiative, HUD's Initiative

[[Page 14031]]

on Removal of Regulatory Barriers: Announcement of Incentive Criteria
on Barrier Removal in HUD's 2004 Competitive Funding Allocations'' can
be found on HUD's Web site at http://www.hud.gov/grants/index.cfm. The
information and requirements contained in HUD's regulatory barriers
policy priority apply to this FY 2005 NOFA. A description of the policy
priority and a copy of form HUD 27300 can be found in the General
Section. Applicants are encouraged to read the Notice as well as the
General Section to obtain an understanding of this policy priority and
how it can impact their score. A number of questions expressly request
the applicant to provide brief documentation with their response. Other
questions require that for each affirmative statement made, the
applicant must supply a reference, URL, or a brief statement indicating
where the back-up information may be found, and a point of contact,
including a telephone number or email address. The electronic copy of
the HUD 27300 has space to identify a URL or reference that the
material is being scanned and attached to the application as part of
the submission or faxed to HUD following the facsimile submission
instructions.
(d) Energy Star (1 point). HUD has adopted a wide-ranging energy
action plan for improving energy efficiency in all program areas. As a
first step toward implementing the energy plan, HUD, the Environmental
Protection Agency (EPA) and the Department of Energy (DoE) have signed
a joint partnership to promote energy efficiency in HUD's affordable
housing efforts and programs. The purpose of the Energy Star
partnership is to promote energy efficiency of the affordable housing
stock, but also to help protect the environment. Applicants
constructing, rehabilitating, or maintaining housing or community
facilities are encouraged to promote energy efficiency in design and
operations. They are urged especially to purchase and use Energy Star
labeled products. Applicants providing housing assistance or counseling
services are encouraged to promote Energy Star building by homebuyers
and renters. Program activities can include developing Energy Star
promotional and information materials, outreach to low- and moderate-
income renters and buyers on the benefits and savings when using Energy
Star products and appliances, and promoting the designation of
community buildings and homes as Energy Star compliant. For further
information about Energy Star, see http://www.energystar.gov or call 1-
888-STAR-YES (1-888-782-7937) or for the hearing-impaired, 1-888-588-
9920 TTY. Applicants demonstrating that they will meet one or more
provisions of this policy priority will receive one point.
d. Rating Factor 4: Leveraging Resources (20 Points)
(1) This factor addresses the applicant's ability to secure
community resources that can be combined with HUD's grant resources in
order to achieve program purposes. Applicants are required to create
partnerships with organizations that can help achieve their program's
goals. PHAs are required by section 12(d)(7) of the U.S. Housing Act of
1937 (entitled ``Cooperation Agreements for Economic Self-Sufficiency
Activities'') to make best efforts to enter into such agreements with
relevant state or local agencies. In rating this factor, HUD will look
at the extent to which applicants partner, coordinate and leverage
their services and resources with other organizations serving the same
or similar populations.
(2) Additionally, applicants must have at least a 25 percent cash
or in-kind match. The match is a threshold requirement. Joint
applicants must have at least a 25 percent match. Applicants who do not
demonstrate the minimum 25 percent match will fail the threshold
requirement and will not receive further consideration for funding.
Leveraging in excess of the 25 percent of the requested grant amount
will receive a higher point value. In evaluating this factor HUD will
consider the extent to which applicants have partnered with other
entities to secure additional resources. This will increase the
effectiveness of the proposed program activities. The additional
resources and services must be firmly committed, must support the
proposed grant activities and must, in combined amount (including in-
kind contributions of personnel, space and/or equipment, and monetary
contributions) equal at least 25 percent of the grant amount requested
in this application. ``Firmly committed'' means that the amount of
resources and their dedication to Neighborhood Networks-funded
activities must be explicit, in writing, and signed by a person
authorized to make the commitment. Please see the section on Threshold
Requirements for more information.
(3) Points for this factor will be awarded based on the documented
evidence of partnerships and firm commitments and the ratio of
requested Neighborhood Networks funds to the total proposed grant
budget.
Points will be assigned based on the following scale:

--------------------------------------------------------------------------------------------------------------------------------------------------------
Percentage of match Points awarded
--------------------------------------------------------------------------------------------------------------------------------------------------------
25....................................... 5 points (with partnerships) 3 points (without partnerships).
26-50.................................... 10 points (with partnerships) 8 points (without partnerships).
51-75.................................... 15 points (with partnerships) 13 points (without partnerships).
76 or above.............................. 20 points (with partnerships) 18 points (without partnerships).
--------------------------------------------------------------------------------------------------------------------------------------------------------

e. Rating Factor 5: Achieving Results and Program Evaluation (10
Points)
(1) An important element in this year's NOFA is the development and
reporting of performance measures and outcomes. This factor emphasizes
HUD's determination to ensure that applicants meet commitments made in
their applications and grant agreements. They are also required to
assess their performance so they can measure performance goals.
Applicants must demonstrate how they propose to measure their success
and outcomes relating to the Department's Strategic Plan. HUD requires
NN applicants to develop an effective, quantifiable, outcome-oriented
plan for measuring performance and determining that goals have been
met. Applicants must use the Logic Model form (HUD-96010) for this
purpose.
(2) Applicants must establish interim benchmarks, or outputs, for
their proposed program that lead to the ultimate achievement of
outcomes. ``Outputs'' are the direct products of a program's
activities. Examples of outputs are: the number of eligible families
that participate in supportive services, the number of new services
provided, the number of residents, or the number of households using a
technology center. Outputs should produce outcomes for your program.
``Outcomes'' are benefits accruing to the residents, families and/or
communities during or after participation in the NN program. Applicants
must clearly identify the outcomes to be achieved and measured.
Examples of outcomes are: increasing academic achievement in

[[Page 14032]]

youth, increasing residents' financial stability (e.g. increasing
assets of a household through savings), or increasing employment
stability (e.g., whether persons assisted obtain or retain employment
for one or two years after job training completion). Outcomes are not
the actual development or delivery of services or program activities.
(3) This rating factor requires that applicants identify program
outputs, outcomes, and performance indicators that will allow
applicants to measure their performance. Performance indicators should
be objectively quantifiable and measure actual achievements against
anticipated achievements. Applicants' narrative, business plan, and
Logic Model should identify what applicants are going to measure, how
they are going to measure it, and the steps they have in place to make
adjustments if performance targets begin to fall short of established
benchmarks and timeframes. Applicants' proposals must also show how
they will measure the performance of partners and affiliates.
Applicants must include the standards, data sources, and measurement
methods they will use to measure performance.
In order to respond to this factor, applicants should use the
sample performance measures located in the Appendix (HUD-52758) as a
guide. Applicants will be evaluated based on how comprehensively they
propose to measure their program's outcomes; e.g. whether the Logic
Model tracks activities and outcomes resulting from the proposed
activities, whether the Logic Model identifies evaluation tools and
sources, and whether the Logic Model provides output and outcome
information for the short, medium and long-term.
B. Review and Selection Process: 1. Review Process. Four types of
reviews will be conducted: a screening to determine if you are eligible
to apply for funding under the Neighborhood Networks category; whether
your application submission is complete, on time and meets threshold; a
review by the field office to evaluate past performance; and a
technical review to rate your application based on the five rating
factors provided in this NOFA.
2. Selection Process: The selection process is designed to achieve
geographic diversity of grant awards throughout the country. HUD will
first select the highest ranked application from each of the ten
federal regions. After this ``round,'' HUD will select the second
highest ranked application in each of the ten federal regions for
funding (the second round). HUD will continue this process with the
third, fourth, and so on, highest ranked applications in each federal
region until the last complete round is selected for funding. If
available funds exist to fund some but not all eligible applications in
the next round, HUD will make awards to those remaining applications in
rank order (by score). In this round, selections will be made
regardless of region and will fully fund as many as possible with
remaining funds. If remaining funds are too small to make an award,
they will be applied to funding the fiscal year 2006 Neighborhood
Networks program, assuming new funding is made available.
3. Tie Scores. In the event of a tie between two applications, HUD
will select the application that was received first.
4. Deficiency Period. Applicants will have fourteen calendar days
in which to provide missing information requested from HUD. For other
information on correcting deficient applications, please see the
General Section.

VI. Award Administration Information:

A. Award Notices: HUD will make announcements of grant awards after
the rating and ranking process is completed. Grantees will be notified
by letter. The letter will contain instructions and the steps they must
take to access funding and begin implementing grant activities.
Applicants who are not funded will also receive letters via U.S. postal
mail.
B. Debriefings: Applicants who are not funded may request a
debriefing. Applicants requesting to be debriefed must send a written
request to: Iredia Hutchinson, Director, Grants Management Center, 501
School Street, SW., Suite 800, Washington, DC 20024. Please refer to
the General Section for additional information on debriefings.
C. Administrative and National Policy Requirements:
1. Applicable Requirements. Grantees are subject to regulations and
other requirements found in:
a. 24 CFR 85 ``Administrative Requirements for Grants and
Cooperative Agreements to State, Local, and Federally Recognized Indian
Tribal Governments'';
b. 24 CFR Part 905 ``The Public Housing Capital Fund Program'';
c. 24 CFR Part 968 ``Public Housing Modernization'';
d. OMB Circular A-87 ``Cost Principles for State, Local, and Indian
Tribal Governments''; and
e. OMB Circular A-133 ``Audits of States, Local Governments, and
Non-Profit Organizations''.
2. Economic Opportunities for Low- and Very Low-Income Persons
(Section 3).
Applicants and grantees must also comply with Section 3 of the
Housing and Urban Development Act of 1968, 12 U.S.C. 1701u and ensure
that training, employment, and other economic opportunities shall, to
the greatest extent feasible, be directed toward low and very low-
income persons, particularly those who are recipients of government
assistance for housing and to business concerns which provide economic
opportunities to low and very low-income persons.
3. Executive Order 13202, Preservation of Open Competition and
Government Neutrality Towards Government Contractors' Labor Relations
on Federal and Federally Funded Construction Projects. For further
information see the General Section.
4. Fair Housing and Civil Rights Laws. Applicants and their
subrecipients must comply with all Fair Housing and Civil Rights laws,
statutes, regulations, and Executive Orders as enumerated in 24 CFR
5.105(a), as applicable. Please see the General Section for more
information.
5. Environmental Impact. Some activities under this Neighborhood
Networks program section will be excluded and not subject to
environmental review under 24 CFR 58.34(a)(3), (a)(8) or (a)(9),
58.35(b)(2) or (b)(3), 50.19(b)(3), (b)(8), (b)(9), (b)(12), or
(b)(13). Some will be subject to environmental review. Any applicant
proposing any long-term leasing or physical development activities, and
its partners, are prohibited from constructing, rehabilitating,
converting, leasing, repairing or constructing property, or committing
or expending HUD or non-HUD funds for these types of program
activities, until the following has occurred:
HUD has approved the grantee's Request for Release of Funds (HUD
Form 7015.15) following a Responsible Entity's completion of an
environmental review under 24 CFR part 58, where required, or if HUD
has determined in accordance with 24 CFR 58.11 to perform the
environmental review itself under 24 CFR part 50, HUD has completed the
environmental review.
6. Wage Rates. Laborers and mechanics employed in the development
and operation of Neighborhood Networks facilities must be paid Davis-
Bacon or HUD-determined prevailing wage rates, respectively, unless
they meet the qualifications of a volunteer (see Section III.C.1.a of
this program section).

[[Page 14033]]

7. Provision of Services to Individuals with Limited English
Proficiency (LEP). Successful applicants and grantees must seek to
provide access to program benefits and information to LEP individuals
through translation and interpretive services in accordance with HUD's
LEP Recipient Guidance 68 FR 70968.
8. Communications. Successful applicants should ensure that notices
of and communications during all training sessions and meetings be
effective for persons who have hearing and/or visual disabilities
consistent with Section 504, see 24 CFR 8.6.
9. Procurement of Recovered Materials. State agencies or a
political subdivision of a state that are using assistance under a HUD
program NOFA, must comply with the requirements of Section 6002 of the
Solid Waste Disposal Act, as amended by the Resource Conservation and
Recovery Act. In addition, any person contracting with such an agency
with respect to work performed under an assisted contract, must comply
with the requirements of Section 6002 of the Solid Waste Disposal Act,
as amended by the Resource Conservation and Recovery Act. Please see
the General Section for more information.
D. Reporting:
1. Semi-Annual Performance Reports. Grantees shall submit semi-
annual performance reports to the local HUD field office. These
progress reports shall include financial reports (SF-269A) and a
narrative describing milestones, business plan progress, problems
encountered and methods used to address these problems. HUD anticipates
that some of the reporting of financial status and grant performance
will be through electronic or Internet-based submissions. Grantees
shall use quantifiable data to measure performance against goals and
objectives outlined in their business plan. Applicants that receive
awards from HUD should be prepared to report on additional measures
that HUD may designate at time of award. Performance reports are due to
the field office on July 30 and January 31 of each year. If reports are
not received by the due date, grant funds will not be advanced until
reports are received.
2. Final Report. All grantees shall submit a final report to their
local field office. This reports must include a financial report (SF-
269A) and a narrative evaluating overall performance against their
business plan. Grantees shall use quantifiable data to measure
performance against goals and objectives outlined in their business
plan. The financial report shall contain a summary of all expenditures
made from the beginning of the grant agreement to the end of the grant
agreement and shall include any unexpended balances. The final
narrative and financial report shall be due to the field office 90 days
after the termination of the grant agreement
3. Logic Model. For each semi-annual reporting period, you must
include a completed Logic Model (Form HUD 96010), which identifies
output and outcome achievements. These semi-annual reporting periods
are required. A completed Logic Model must also be provided with the
final report showing cumulative outputs and outcomes for the entire
award period.

VII. Agency Contact(s)

For questions and technical assistance, applicants may call the
Public and Indian Housing Information and Resource Center at 800-955-
2232. For the hearing or speech impaired, please call the Federal Relay
Service at 800-877-8339.

VIII. Other Information

A. Code of Conduct: See the General Section of the SuperNOFA for
more information.
B. Transfer of Funds: HUD does not have the discretion to transfer
funds for the Neighborhood Networks category to or from any other grant
program.
C. Paperwork Reduction Act: The information collection requirements
contained in this document have been approved by the Office of
Management and Budget (OMB) under the Paperwork Reduction Act of 1995
(44 U.S.C. 3501-3520) and assigned OMB control number 2577-0229. In
accordance with the Paperwork Reduction Act, HUD may not conduct or
sponsor, and a person is not required to respond to, a collection of
information unless the collection displays a currently valid OMB
control number. Public reporting burden for the collection of
information is estimated to average ten hours per annum per respondent
for the application and grant administration. This includes the time
for collecting, reviewing, and reporting the data for the application,
semi-annual reports and final report. The information will be used for
grantee selection and monitoring the administration of funds. Response
to this request for information is required in order to receive the
benefits to be derived.
D. Appendix of Forms: The forms specific to the Neighborhood
Networks Program follow.

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[[Page 14055]]

Resident Service Delivery Models-Family, Resident Service Delivery
Models-Elderly/Persons with Disabilities, and Homeownership Supportive
Services Under the Resident Opportunity and Self-Sufficiency (ROSS)
Program

Overview Information

A. Federal Agency Name: U.S. Department of Housing and Urban
Development, Office of Public and Indian Housing.
B. Funding Opportunity Title: Resident Service Delivery Models-
Family, Resident Service Delivery Models-Elderly/Persons with
Disabilities, and Homeownership Supportive Services under the Resident
Opportunity and Self-Sufficiency (ROSS) program.
C. Announcement Type: Initial announcement.
D. Funding Opportunity Number: The Federal Register number for this
NOFA is: FR-4950-N-22. The OMB approval number is: 2577-0229.
E. Catalog of Federal Domestic Assistance (CFDA) Number(s):
Resident Opportunity and Self Sufficiency, 14.870.
F. Dates: Resident Service Delivery Models-Elderly/Persons with
Disabilities: The application submission date is July 6, 2005. Please
see the General Section of the SuperNOFA for application submission and
timely receipt requirements.
Resident Service Delivery Models-Family: The application submission
date is July 25, 2005. Please see the General Section of the SuperNOFA
for application submission and timely receipt requirements.
Homeownership Supportive Services: The application submission date
is May 26, 2005. Please see the General Section of the SuperNOFA for
application submission and timely receipt requirements.
G. Optional, Additional Overview Content Information:
1. Purpose of Program: The purpose of the Public and Indian Housing
Resident Opportunity and Self Sufficiency (ROSS) program is to provide
grants to public housing agencies (PHAs), tribes/tribally designated
housing entities (TDHEs), Resident Associations (RAs), and nonprofit
organizations, including grassroots, faith-based and other community-
based organizations for the delivery and coordination of supportive
services and other activities designed to help public and Indian
housing residents attain economic self-sufficiency and elderly
residents and residents with disabilities continue to live
independently.
2. Funding Available: A total of approximately $58.1 million is
available for ROSS in fiscal year 2005.
3. Award Amounts: Awards, depending on the grant category, unit
count and type of grantee, will range from $125,000 to $1,000,000.
Please see each program description for more specific information about
funding amounts.
4. Eligible Applicants: Eligible applicants are PHAs; tribes/TDHEs;
nonprofit organizations including grassroots faith-based and other
community-based organizations that have resident support or the support
of tribes; RAs; resident councils (RCs); resident organizations (ROs);
City-Wide Resident Organizations (CWROs); Intermediary Resident
Organizations (IROs); Jurisdiction-Wide Resident Organizations;
Regional Resident Organizations; Resident Management Corporations
(RMCs); Site-Based Resident Organizations; Statewide Resident
Organizations (SRO); and Tribal/TDHE resident groups. The term
``resident association'' or ``RA'' will be used to refer to all types
of eligible resident organizations. Please see the section on
``Definition of Terms'' for a complete definition of each type of
eligible resident organization.
Resident Associations are not eligible for the Homeownership
Supportive Services program.
See each program for more specific eligibility information.
5. Cost Sharing/Match Requirement: At least 25 percent of the
requested grant amount is required as a match. The match may be in cash
and/or in-kind donations. The match is a threshold requirement.
6. Grant term: The grant term for each funding category is three
years from the execution date of the grant agreement.

----------------------------------------------------------------------------------------------------------------
Grant program Total funding Eligible applicants Maximum grant amount
----------------------------------------------------------------------------------------------------------------
Resident Service Delivery Models-- $22.9 million.......... PHAs................... $250,000 for PHAs with
Family. 1-780 units. $350,000
for PHAs with 781-
2,500 units. $500,000
for PHAs with 2,501-
7,300 units.
$1,000,000 for PHAs
with 7,301 or more
units.
....................... Resident Associations.. $125,000.
....................... Non-profit entities.... $125,000 per RA;
Maximum award is
$375,000.
....................... Tribes/TDHEs........... $250,000 for Tribes
with 1-780 units.
$350,000 for Tribes
with 781-2,500 units.
$500,000 for Tribes
with 2,501-7,300
units. $1,000,000 for
Tribes with 7,301 or
more units.
Resident Service Delivery Models-- $16.27 million......... PHAs................... $250,000 for PHAs with
Elderly and Persons with 1-217 units. $350,000
Disabilities. for PHAs with 218-
1,155 units. $450,000
for PHAs with 1,156 or
more units.
....................... Resident Associations.. $125,000.
....................... Non-profit entities.... $125,000 per RA;
Maximum award is
$375,000.
....................... Tribes/TDHEs........... $250,000 for Tribes
with 1-217 units.
$350,000 for Tribes
with 218-1,155 units.
$450,000 for Tribes
with 1,156 or more
units.
Homeownership Supportive Services.... $18.9 million.......... PHAs................... $250,000 for PHAs with
1-780 units. $350,000
for PHAs with 781-
2,500 units. $500,000
for PHAs with 2,501-
7,300 units.
$1,000,000 for PHAs
with 7,301 or more
units.

[[Page 14056]]

....................... Non-profit entities.... $125,000 per RA;
Maximum award is
$375,000.
....................... Tribes/TDHEs........... $250,000 for Tribes
with 1-780 units.
$350,000 for Tribes
with 781-2,500 units.
$500,000 for Tribes
with 2,501-7,300 units
$1,000,000 for Tribes
with 7,301 or more
units.
----------------------------------------------------------------------------------------------------------------

Full Text of Announcement

I. Funding Opportunity Description

A. Resident Services Delivery Models-Family (RSDM-Family): The
purpose is to provide funding to assist PHAs, tribes/TDHEs, RAs,
nonprofit organizations which include grassroots community based
organizations, inclusive of faith-based organizations, create programs
which will help residents achieve economic self-sufficiency. Applicants
must submit proposals that will link residents with services such as
job training and educational opportunities that facilitate self-
sufficiency.
B. Resident Services Delivery Models-Elderly/Persons with
Disabilities (RSDM-Elderly): This category is intended to provide PHAs,
Indian tribes/TDHEs, RAs, and nonprofit organizations with the
resources to provide and coordinate supportive services that will help
elderly and/or disabled Public and Indian Housing residents continue to
live independently.
C. Homeownership Supportive Services (HSS): The HSS category
provides funds for PHAs, tribes/TDHEs, and qualified nonprofit
organizations to deliver homeownership training, counseling and
supportive services for residents of Public and Indian housing who are
participating or have participated in self-sufficiency programs, such
as ROSS, Public Housing Family Self-Sufficiency (FSS) or other federal,
state, or local self-sufficiency programs. HSS is designed to enhance
other self-sufficiency efforts by providing public housing residents
with the necessary preparation and supportive services they need in
order to move from subsidized rental housing to homeownership. PHAs,
tribes/TDHEs, and nonprofit organizations specializing in homeownership
training and counseling are eligible to apply.
D. Definition of Terms:
1. City-Wide Resident Organization consists of members from
Resident Councils, Resident Management Corporations, and Resident
Organizations who reside in public housing developments that are owned
and operated by the same PHA within a city.
2. Community Facility means a non-dwelling structure that provides
space for multiple supportive services for the benefit of public or
Indian housing residents and others eligible for the services provided.
Supportive services may include but are not limited to:
a. Job-training;
b. After-school activities for youth;
c. Neighborhood Networks (formerly Twenty/20 Education Communities
(TECs), Campus of Learners activities);
d. English as a Second Language (ESL) classes; and
e. Child care.
3. Contract Administrator means an overall grant administrator or a
financial management agent (or both) that oversees the implementation
of the grant and/or the financial aspects of the grant. (See the
``Program Requirements'' and ``Threshold Requirements'' sections for
more information.)
4. Elderly person means a person who is at least 62 years of age.
5. Jurisdiction-Wide Resident Organization means an incorporated
nonprofit organization or association that meets the following
requirements:
a. Most of its activities are conducted within the jurisdiction of
a single housing authority;
b. There are no incorporated resident councils or resident
management corporations within the jurisdiction of the single housing
authority;
c. It has experience in providing start-up and capacity-building
training to residents and resident organizations; and
d. Public housing residents representing unincorporated resident
councils within the jurisdiction of the single housing authority must
comprise a majority of the board of directors.
6. Tribally Designated Housing Entity (TDHE) is an entity
authorized or established by one or more Indian tribe to act on behalf
of each such tribe authorizing or establishing the housing entity.
7. Indian Tribe means any tribe, band, nation, or other organized
group of a community of Indians, including any Alaska native village,
regional, or village corporation as defined in or established pursuant
to the Alaska Native Claims Settlement Act, and that is recognized as
eligible for the special programs and services provided by the United
States to Indians because of their status as Indians pursuant to the
Indian Self Determination and Education Act of 1975.
8. Intermediary Resident Organizations means jurisdiction-wide
resident organizations, citywide resident organizations, statewide
resident organizations, regional resident organizations, and national
resident organizations.
9. NAHASDA-assisted resident means a resident of a tribe (as
defined above) who has been assisted by the Native American Housing
Assistance and Self-Determination Act (NAHASDA) of 1996 .
10. National Resident Organization (NRO) is an incorporated
nonprofit organization or association for public housing that meets
each of the following requirements:
a. It is national (i.e., conducts activities or provides services
in at least two HUD areas or two states);
b. It has the capacity to provide start-up and capacity-building
training to residents and resident organizations; and
c. Public housing residents representing different geographical
locations in the country are members of the board of directors.
11. Nonprofit organization is an organization that is exempt from
federal taxation. A nonprofit organization can be organized for the
following purposes: charitable, religious, educational, scientific, or
other similar purposes in the public interest. In order to qualify, an
organization must be a corporation, community chest, fund, or
foundation. An individual or partnership will not qualify. To obtain
nonprofit status, qualified organizations must file an application with
the Internal Revenue Service (IRS) and receive designation as such by
the IRS. For more information, go to www.irs.gov. Applicants who are in
the process of applying for nonprofit status, but have not yet received
nonprofit designation from the IRS, will not be considered nonprofit
organizations. All nonprofit applicants

[[Page 14057]]

must submit their IRS determination letter to prove their nonprofit
(e.g., 501(c)(3)) status. Please see the section on ``Threshold
Requirements'' for more information. Nonprofit applicants must also
provide letters of support as described in the ``Threshold
Requirements'' section.
12. National nonprofit organizations work on a national basis and
have the capacity to mobilize resources on both a national and local
level. All nonprofit applicants must submit their IRS determination
letter to prove their nonprofit (e.g., 501(c)(3)) status. National
nonprofit applicants must also provide letters of support as outlined
in the ``Threshold Requirements'' section.
13. Past Performance is a threshold requirement. Using Rating
Factor 1, HUD's field offices will evaluate applicants for past
performance to determine whether an applicant has the capacity to
manage the grant for which they are applying. The area Office of Native
American Programs (ONAP) will review past performance for tribal/TDHE
submissions. Field offices will evaluate the past performance of
contract administrators for applicants required to have a contract
administrator.
14. Person with disabilities means a person who:
a. Has a condition defined as a disability in section 223 of the
Social Security Act; or
b. Has a developmental disability as defined in section 102 of the
Developmental Disabilities Assistance Bill of Rights Act.
The term ``person with disabilities'' does not exclude persons who
have acquired immunodeficiency syndrome (HIV/AIDS) or any conditions
arising from the etiologic agent for AIDS. In addition, no individual
shall be considered a person with disabilities, for purposes of
eligibility for low-income housing, solely on the basis of any drug or
alcohol dependence.
The definition of a person with disabilities contained in section
504 of the Rehabilitation Act of 1973 and its implementing regulations
must be used for purposes of reasonable accommodations.
15. Project Coordinator is responsible for coordinating the
grantee's approved activities to ensure that grant goals and objectives
are met. A qualified project coordinator is someone with experience
managing projects and preferably has experience working with supportive
services. The project coordinator and grantees are responsible for
ensuring that all federal requirements are followed.
16. Resident Association (RA) means any or all of the forms of
resident organizations as they are defined elsewhere in this
Definitions section and includes Resident Councils (RC), Resident
Management Corporations (RMC), Regional Resident Organizations (RRO),
Statewide Resident Organizations (SRO), Jurisdiction-Wide Resident
Organizations, and National Resident Organizations (NRO). The NOFA will
use ``Resident Association'' or ``RA'' to refer to all eligible types
of resident organizations. See 24 CFR 964.115 for more information.
17. Regional Resident Organization (RRO) means an incorporated
nonprofit organization or association for public housing that meets
each of the following requirements:
a. The RRO is regional (i.e., not limited by HUD Areas);
b. The RRO has experience in providing start-up and capacity-
building training to residents and resident organizations; and
c. Public housing residents representing different geographical
locations in the region must comprise the majority of the board of
directors.
18. Resident Management Corporation (RMC) means an entity that
proposes to enter into, or enters into a contract to conduct one or
more management activities of a PHA and meets the requirements of 24
CFR 964.120.
19. Resident Organization (RO) for tribal entities means an
incorporated or unincorporated nonprofit tribal organization or
association that meets each of the following criteria:
a. It shall consist of residents only, and only residents may vote;
b. If it represents residents in more than one development or in
all of the developments of the tribal/TDHE community, it shall fairly
represent residents from each development that it represents;
c. It shall adopt written procedures providing for the election of
specific officers on a regular basis; and
d. It shall have an elected governing board.
20. Secretary means the Secretary of Housing and Urban Development.
21. Site-Based Resident Associations means resident councils or
resident management corporations representing a specific public housing
development.
22. Statewide Resident Organization (SRO) is an incorporated
nonprofit organization or association for public housing that meets the
following requirements:
a. The SRO is statewide;
b. The SRO has experience in providing start-up and capacity-
building training to residents and resident organizations; and
c. Public housing residents representing different geographical
locations in the state must comprise the majority of the Board of
Directors.
23. Tribal/TDHE Resident Group means tribal/TDHE resident groups
that are democratically elected groups such as IHA-wide resident
groups, area-wide resident groups, single development groups, or
resident management corporations (RMCs).
E. Regulations Governing the ROSS Grant: Resident Service Delivery
Models-Family, Resident Service Delivery Models-Elderly/Persons with
Disabilities, and Homeownership Supportive Services are governed by 24
CFR Part 964.

II. Award Information

A. Information for All Grant Categories and All Applicants

1. Grant Period. Three years. The grant period shall begin the day
the grant agreement and the form HUD-1044, ``Assistance Award/
Amendment'' are signed by both the grantee and HUD.
2. Grant Extensions. Requests to extend the grant term beyond the
originally established grant term must be submitted in writing by the
grantee to the local HUD field office or area ONAP at least 90 days
prior to the expiration of the grant term. Requests must explain why
the extension is necessary, what work remains to be completed, and what
work and progress was accomplished to date. Extensions may be granted
only once by the field office for a period not to exceed six months.
3. Type of Award. Grant agreement.
4. Subcontracting. Subcontracting is permitted. Grantees must
follow federal procurement regulations found in HUD regulations at 24
CFR 84.40-84.48 and 24 CFR 85.36.

B. Resident Services Delivery Models--Family

1. Total Funding. The Department expects to award $22,950,000
($15,000,000 appropriated and $7,950,000 of carryover) under this
category. Awards will be made as follows:
a. PHAs must use the number of occupied conventional family public
housing units as of September 30, 2004, per their budget to determine
the maximum grant amount they are eligible for in accordance with the
categories listed below. PHAs should clearly indicate on the Fact Sheet
the number of units under their Annual Contributions Contract.

[[Page 14058]]

------------------------------------------------------------------------
Maximum
Number of conventional units funding
------------------------------------------------------------------------
1-780 units............................................. $250,000
781-2,500 units......................................... 350,000
2501-7,300 units........................................ 500,000
7,301 or more units..................................... 1,000,000
------------------------------------------------------------------------

b. The maximum grant award is $125,000 for each RA.
c. Nonprofit organizations that have resident support or the
support of tribes or RAs are limited to $125,000 for each RA. A
nonprofit organization may submit a single application for no more than
three different RAs from the same PHA for a maximum grant award of
$375,000. Nonprofit organizations may submit more than one application
provided they target residents of distinct PHAs or tribes/TDHEs. In
cases where nonprofit applicants are not able to obtain support from
RAs, they must obtain letters of support from PHAs, tribes/TDHEs and
they may also submit letters from one or more of the following:
Resident Advisory Boards (RABs), local civic organizations, or units of
local government. NOTE: All nonprofit applicants that do not include
letters of support from RAs must include a letter of support from PHAs
or tribes/TDHEs (please see Threshold Requirements for more
information).
Funding for nonprofit applicants that do not receive letters of
support from RAs will be determined as follows (support letters from
PHAs must indicate the developments to be served by the nonprofit
organization as well as the number of occupied conventional family
public housing units in those developments):

------------------------------------------------------------------------
Maximum
Number of conventional units funding
------------------------------------------------------------------------
1-2,500 units........................................... $125,000
2501-7,300 units........................................ 250,000
7,301 or more units..................................... 375,000
------------------------------------------------------------------------

Applicants should see the General Section of the SuperNOFA for
instructions on submitting support letters and other documentation with
their electronic application.
d. Tribes/TDHEs should use the number of units counted as Formula
Current Assisted Stock for Fiscal Year 2004 as defined in 24 CFR
1000.316. Tribes/TDHEs are eligible for the same amounts as PHAs within
each category in (a) above. Tribes that have not previously received
funds from the Department under the U.S. Housing Act of 1937 should
count housing units under management that are owned and operated by the
Tribe and are identified in their housing inventory as of September 30,
2004, for family units. Tribes should clearly indicate the number of
units under management on the Fact Sheet.

C. Resident Services Delivery Models--Elderly/Persons with Disabilities

1. Total Funding. The Department expects to award $16,272,000
(10,672,000 appropriated and 5,600,000 of carryover funds) under this
category.
Awards will be made as follows:
a. PHAs must use the number of occupied elderly and disabled
conventional public housing units as of September 30, 2004, per their
budget to determine the maximum grant amount they are eligible for in
accordance with the categories listed below. PHAs should clearly
indicate the number of units under their Annual Contributions Contract
on the Fact Sheet.

------------------------------------------------------------------------
Maximum
Number of conventional units funding
------------------------------------------------------------------------
1-217 units............................................. $250,000
218-1,155 units......................................... 350,000
1,156 or more units..................................... 450,000
------------------------------------------------------------------------

b. The maximum grant award is $125,000 for each RA.
c. Nonprofit organizations that have resident support or the
support of tribes or RAs are limited to $125,000 for each RA. A
nonprofit organization may submit a single application for no more than
three different RAs from the same PHA for a maximum grant award of
$375,000. Nonprofit organizations may submit more than one application
provided they target residents of distinct PHAs or tribes/TDHEs. In
cases where nonprofit applicants are not able to obtain support from
RAs, they must obtain letters of support from PHAs, tribes/TDHEs and
they may also submit letters of support from one or more of the
following: Resident Advisory Boards (RABs), local civic organizations,
or units of local government. Note: All nonprofit applicants that do
not include letters of support from RAs must include a letter of
support from PHAs or tribes/TDHEs (please see Threshold Requirements
for more information).
Funding for nonprofit applicants that do not receive letters of
support from RAs will be determined as follows (support letters from
PHAs must indicate the developments to be served by the nonprofit
organization as well as the number of occupied conventional elderly/
disabled public housing units in those developments):

------------------------------------------------------------------------
Maximum
Number of conventional units funding
------------------------------------------------------------------------
1-217 units............................................. $125,000
218-1,155 units......................................... 250,000
1,156 or more units..................................... 375,000
------------------------------------------------------------------------

Applicants should see the General Section of the SuperNOFA for
instructions on submitting support letters and other documentation with
their electronic application.
d. Tribes/TDHEs should use the number of units counted as Formula
Current Assisted Stock for Fiscal Year 2004 as defined in 24 CFR
1000.316. Tribes/TDHEs are eligible for the same amounts as PHAs within
each category in (a) above. Tribes that have not previously received
funds from the Department under the 1937 Housing Act should count
housing units under management that are owned and operated by the Tribe
and are identified in their housing inventory as of September 30, 2004,
for elderly/disabled units. Tribes should clearly indicate the number
of units under management on the Fact Sheet.

D. Homeownership Supportive Services

1. Total Funding. The Department expects to award $18,900,000
($12,400,000 appropriated and $6,500,000 of carryover funds) under this
category. Awards will be made as follows:
a. PHAs must use the number of occupied conventional family public
housing units as of September 30, 2004, per their budget to determine
the maximum grant amount they are eligible for in accordance with the
categories listed below. PHAs should clearly indicate the number of
units under their Annual Contributions Contract on the Fact Sheet.

b. Nonprofit organizations that have resident support or the
support of tribes or RAs are limited to $125,000 for each RA. A
nonprofit organization may submit a single application for no more than
three different RAs from the same PHA for a maximum grant award of
$375,000. Nonprofit organizations may submit more than one application
provided they target residents of distinct PHAs or tribes/TDHEs. In
cases where nonprofit applicants are not able to obtain support from
RAs, they must obtain letters of support from PHAs, tribes/TDHEs and
they may also submit letters of support from one or more of

[[Page 14059]]

the following: Resident Advisory Boards (RABs), local civic
organizations, or units of local government. Note: All nonprofit
applicants that do not include letters of support from RAs must include
a letter of support from PHAs or tribes/TDHEs (please see Threshold
Requirements for more information).
Funding for nonprofit applicants that do not receive letters of
support from RAs will be determined as follows (support letters from
PHAs must indicate the developments to be served by the nonprofit as
well as the number of occupied conventional family public housing units
in those developments):

------------------------------------------------------------------------
Maximum
Number of conventional units funding
------------------------------------------------------------------------
1-2,500 units........................................... $125,000
2501-7,300 units........................................ 250,000
7,301 or more units..................................... 375,000
------------------------------------------------------------------------

RAs are not eligible to apply for funding under the HSS category.
Applicants should see the General Section of the SuperNOFA for
instructions on submitting support letters and other documentation with
their electronic application.
c. Tribes/TDHEs should use the number of units counted as Formula
Current Assisted Stock for Fiscal Year 2004 as defined in 24 CFR
1000.316. Tribes/TDHEs are eligible for the same amounts as PHAs within
each category in (a) above. Tribes that have not previously received
funds from the Department under the U.S. Housing Act of 1937 should
count housing units under management that are owned and operated by the
Tribe and are identified in their housing inventory as of September 30,
2004, for family units. Tribes should clearly indicate the number of
units under management on the Fact Sheet.

III. Eligibility Information

A. Eligible Applicants

1. RSDM--Family. This funding category provides grants to PHAs,
tribes/TDHEs, RAs, and nonprofit organizations supported by resident
organizations or PHAs, tribes/TDHEs, and RABs, local civic
organizations or units of local government.
2. RSDM--Elderly/Persons with Disabilities. This funding category
provides grants to PHAs, tribes/TDHEs, RAs, and nonprofit organizations
supported by resident organizations or PHAs, tribes/TDHEs and RABs,
local civic organizations or units of local government. PHAs that are
recipients of the Elderly/Disabled renewal Service Coordinator grant
are not eligible to apply for this ROSS funding category.
3. Homeownership Supportive Services. This funding category
provides grants to PHAs, tribes/TDHEs and qualified nonprofit
organizations that have the support of resident organizations or PHAs,
tribes/TDHEs and RABs, local civic organizations or units of local
government. Resident Associations are not eligible to apply for funding
under this category.

B. Cost Sharing or Matching

Information for All Grant Categories and All Applicants: The match
is a threshold requirement. Applicants who do not demonstrate the
minimum 25 percent match will fail the threshold requirement and will
not receive further consideration for funding. Please see the section
below on threshold requirements for more information on what is
required for the match.

C. Other

1. Eligible Activities
a. RSDM--Family. HUD is looking for applications that implement
comprehensive programs within the three year grant term which will
result in improved economic self-sufficiency for Public and Indian
housing residents. HUD is looking for proposals that involve
partnerships with organizations that will enhance grantees' ability to
provide educational programs, housing counseling, including fair
housing counseling, job training and other supportive services for
residents. All applicants must complete a work plan (see sample work
plans on HUD's Web site at http://www.hud.gov/offices/adm/grants/
fundsavail.cfm) covering the three-year grant term.
The eligible activities are listed in four categories, from basic
to advanced: Life-Skills Training; Job Training, Job Search and
Placement Assistance; Post Employment Follow-up; and finally,
Activities to Support Career Advancement and Long-term Economic Self-
Sufficiency. Applicants are not limited to choosing one category of
activity, but rather should design their programs to address the
specific needs of the population they are targeting. Applicants are
encouraged to pull from all categories and activities listed. Funds may
be used for the activities described below.
(1) Hiring of a qualified project coordinator to run the grant
program. A qualified project coordinator must have at least two years
of experience managing programs and should have experience working on
supportive services programs. The project coordinator should be hired
for the entire three-year term of the grant. The project coordinator is
responsible for:
(a) Marketing the program to residents;
(b) Assessing participating residents' skills and job-readiness;
(c) Assessing participating residents' needs for supportive
services, e.g., child care, transportation costs, etc.
(d) Assisting a tribe or TDHE to create a resident group to promote
self-sufficiency efforts on the reservation;
(e) Designing and coordinating grant activities based on residents'
needs and the local labor market; and
(f) Monitoring the progress of program participants and evaluating
the overall success of the program. A portion of grant funds should be
reserved to ensure that evaluations can be completed for all
participants who received training through this program. For more
information on how to measure performance, please see Rating Factor 5
in the ``Application Review Information'' section of this NOFA.
(2) Life-skills Training (for Youth and Adults). Applicants'
proposals can cover the following types of activities:
(a) Credit. The importance of having good credit and how to
maintain good credit.
(b) Banking and Money Management. How to open a bank account;
balance a checkbook; create a weekly spending budget and establish
contingency plans for child care and transportation, etc.
(c) Real Life Issues. Information on tax forms; voter registration;
leases; car insurance; health insurance; long-term care insurance; etc.
(d) Literacy training and GED preparation.
(e) College preparatory courses and information.
(f) Goal setting.
(g) Mentoring.
(h) Hiring residents to help with the implementation of this grant
program. NOTE: Stipends and salaries serve different purposes. Resident
salaries can only be used to hire residents to help grant program staff
with the implementation of grant activities.
(3) Job Training, Job Search and Placement Assistance. Eligible
activities include:
(a) Skills Assessment of participating residents.
(b) Applying for a job. How to complete employment forms;
highlighting skills employers are looking for; researching job
opportunities in the area; calculating net wages.
(c) Soft skills training including problem solving and other
cognitive skills; oral and written communication skills; workplace
norms (appropriate dress, punctuality, respectful communication, etc.),
work ethic; interpersonal and teamwork skills.

[[Page 14060]]

(d) Creating job training and placement programs.
(e) Resume writing.
(f) Interviewing techniques.
(g) Employer linkage and job placement. Working with local
employers and job placement providers to design and offer training that
addresses local employers' needs, create a job placement program that
refers trained residents to participating employers and other local
area employers.
(h) Career advancement and planning programs. Such programs should
be designed to:
(i) Career goal setting;
(ii) Provide strategies such as finding a strong professional
mentor within an organization residents may be working for and focusing
on the organization's priorities.
(iii) Reinforce welfare-to-work programs and focus efforts on
increasing residents' earning capacity. Activities can include job
counseling, helping residents secure better paying jobs or jobs in
better work environments, preparing for work in a new job category,
obtaining additional job skills and other job-related or educational
training.
(iv) Working with local employers, to create opportunities that
combine education and skills training with jobs. Strategies that
promote work-based learning can offer the most effective method for
giving new workers the tools they need to move on to a career ladder
and achieve upward mobility.
(4) Post-employment follow-up. After placing residents in jobs,
providing follow-up and ongoing support to newly hired residents can
have a significant positive impact on long-term job retention.
(5) Activities To Support Career Advancement and Long-term Economic
Self-Sufficiency.
(a) Individual Savings Accounts (ISAs). Applicants may create
programs that encourage residents to save and contribute to match
savings accounts such as Individual Development Accounts (IDAs). The
programs should include financial counseling and education activities.
ISAs may only be used for three purposes: (1) To purchase a first home
that is existing or under construction when the purchase contract is
signed; (2) to receive post-secondary education or training; or (3) to
start a local business (other than acquiring, leasing, constructing, or
rehabilitating real property in connection with the business).
Applicants are encouraged to leverage RSDM funds by working with local
financial organizations, which can also contribute to residents' ISAs.
FSS escrow accounts may not be used as a match for RSDM-funded ISAs.
Grantees shall consult the Internal Revenue Service regarding possible
tax consequences of the ISAs to participating residents.
(b) Housing Counseling. This can include information to help
residents move to market rate rental housing and/or ``pre-purchase''
homeownership counseling and training. This may include training on
such subjects as credit and financial management; credit repair;
housing search; how to finance the purchase of a home; fair housing;
Individual Savings Accounts, Real Estate Settlement Procedures Act
(RESPA); and home maintenance.
(6) Stipends. Stipends are an eligible use of grant funds. Stipends
may be used for reasonable out-of-pocket costs. Stipends may be used to
reimburse such things as local transportation to and from job training
and job interviews, supplemental educational materials, and child care
expenses. Stipends must be tied to residents' successful performance
and regular attendance.
(7) Hiring of Residents. Grant funds may also be used to hire a
resident(s) as program staff.
(8) Supportive Services.
(a) After school programs for school-age children to include
tutoring, remedial training, educational programming using computers.
(b) Provision of information on the Earned Income Tax Credit
Program, Food Stamps, Child Tax Credit Program, Medicaid, the State
Child Health Insurance Program (S-CHIP), Student Loan Interest
Deduction, tribal welfare programs, and other benefit programs that can
assist individuals and families make a successful transition from
welfare to work.
(c) Transportation costs as necessary to enable participating
families to receive services or commute to training or employment.
(d) Child-care provision for ROSS-RSDM--Family program
participants.
(e) Parenting courses.
(f) Nutrition courses.
(g) Health care information and services including referrals to
mental health providers, alcohol and other drug abuse treatment
programs.
(h) English as a second language (ESL) classes.
(i) Creating and maintaining linkages to local social service
agencies, such as employment agencies, health departments,
transportation agencies, economic/community development agencies,
community colleges, recreational and cultural services, and other
community organizations such as Boys & Girls Clubs, 4H-Clubs, Boy
Scouts, Girl Scouts, etc.
b. RSDM--Elderly/Persons with Disabilities HUD is looking for
applications that implement comprehensive programs within the three-
year grant term, which will result in improved living conditions for
the elderly/persons with disabilities population. HUD is also looking
for proposals that involve partnerships with organizations that will
help grantees provide enhanced services to the elderly/persons with
disabilities they will serve. All applicants must complete a work plan
covering the three-year grant term.
Proposed grant activities should build on the foundation created by
previous ROSS grants or other federal, state, and local efforts to
assist this population.
Eligible activities include the following: (1) Hiring of a
qualified project coordinator to run the grant program. A qualified
project coordinator should have at least two years of experience
managing programs and have experience working with supportive services.
The project coordinator is responsible for:
(a) Assessing participating residents' needs for supportive
services (e.g., Medicaid, Medicare, physician care, food stamps,
rehabilitation services, veterans disability, state-funded programs
such as nurse case management, housekeeping, Meals-on-Wheels;
transportation etc.);
(b) Designing and coordinating grant activities based on residents'
needs;
(c) Monitoring the progress of program participants and evaluating
the overall success of the program. A portion of grant funds should be
reserved to ensure that evaluations can be completed for all
participants who received assistance through this program. For more
information on how to measure performance, please see Rating Factor 5
in the ``Application Review Information'' section of this NOFA.
(2) Coordination and set up of meal services;
(3) Coordination and set-up of transportation services;
(4) Wellness programs including, health and nutrition programs,
preventive health education, referral to rehabilitation services, and
services for the disabled and other community resources;
(5) Personal emergency response;
(6) Congregate services--includes supportive services that are
provided in a congregate setting at a conventional public housing
development; and
(7) Case management.

[[Page 14061]]

c. Homeownership Supportive Services
HUD is looking for applications that implement comprehensive
programs within the three year grant term which will result in
increased rates of homeownership for residents of Public and Indian
housing. Applicants should create linkages with HUD homeownership
programs such as: the Housing Choice Voucher Homeownership Program, the
PHA Homeownership Program also known as Section 32 (formerly the
Section 5(h) Homeownership Program) and homeownership programs and
resources offered by other organizations or state or local
homeownership programs.
Tribes/TDHEs should create linkages with programs such as the
Mutual Help Homeownership Opportunity Program, the Section 184 Program,
and homeownership programs developed under the Indian Housing Block
Grant Program such as mortgage assistance.
All applicants must complete a work plan (see sample work plans on
HUD's web site at http://www.hud.gov/offices/adm/grants/fundsavail.cfm)
covering the three-year grant term.
HUD is also looking for proposals that involve partnerships with
organizations that will enhance the services grantees will offer.
Applicants are strongly encouraged to partner with HUD-approved housing
counseling agencies. For a list of HUD-approved housing counseling
agencies, go to: http://www.hud.gov/offices/hsg/sfh/hcc/hccprof14.cfm.
Applicants' programs should build on the foundation created by previous
ROSS grants, or other state and local self-sufficiency efforts in which
their target population may have participated.
Under this funding category, applicants must develop homeownership
training programs for the residents they intend to serve. Eligible
activities include the following:
(1) Hiring of a qualified project coordinator to run the grant
program. A qualified project coordinator must have experience working
on homeownership programs designed for typically underserved
populations. The project coordinator is responsible for:
(a) Assessing participating residents' needs;
(b) Designing and coordinating grant activities based on residents'
needs;
(c) Monitoring the progress of program participants and evaluating
the overall success of the program. A portion of grant funds should be
reserved to ensure that evaluations can be completed for all
participants who received assistance through this program. For more
information on how to measure performance, please see Rating Factor 5
in the ``Application Review Information'' section of this NOFA.
(2) Training to include:
(a) Asset building;
(b) Credit counseling and credit scoring;
(c) Financial literacy and management;
(d) Selecting a real estate broker;
(e) Choosing a lender;
(f) Appraisals;
(g) Home inspections;
(h) Avoiding delinquency and predatory lending;
(i) Foreclosure prevention;
(j) Home maintenance and financial management for first-time
homeowners;
(k) Real Estate Settlement Procedures Act (RESPA); and
(l) Fair Housing Counseling.
(3) Individual Savings Accounts (ISAs). You may create programs
that encourage residents to save and contribute to match savings
accounts such as Individual Development Accounts (IDAs). ISAs may be
used only for (a) Escrow accounts, (b) down payment assistance and (c)
closing costs to assist the resident to purchase an existing dwelling
unit or a dwelling unit under construction. You are encouraged to
leverage HSS funds by working with local financial organizations, which
can also contribute to residents' ISAs. FSS escrow accounts may not be
used as a match for HSS-funded ISAs. FSS residents are not eligible to
participate in the ISA provision.
2. Threshold Requirements. The criteria below apply to all grant
categories and all applicants unless otherwise indicated:
Applicants must respond to each threshold requirement clearly and
thoroughly by following the instructions below. If your application
fails one threshold requirement (regardless of the type of threshold)
it will be considered a failed application and will not receive
consideration for funding.
a. Match. All applicants are required to have in place a firmly
committed 25 percent match in cash or in-kind donations as defined in
this NOFA. Joint applicants must together have at least a 25 percent
match. Applicants who do not demonstrate the minimum 25 percent match
will fail this threshold requirement and will not receive further
consideration for funding. If you are applying for more than one ROSS
grant, you must use different sources of match donations for each grant
application and you must indicate which additional ROSS grant(s) you
are applying for by attaching an additional page to HUD budget form
424-CBW stating the sources and amounts of each of your match
contributions for this application as well as any other HUD programs to
which you are applying. Match donations must be firmly committed which
means that the amount of match resources and their dedication to ROSS-
funded activities must be explicit, in writing, and signed by a person
authorized to make the commitment. Letters of commitment, memoranda of
understanding (MOU), or tribal resolution must be on organization
letterhead, and signed by a person authorized to make the stated
commitment whether it be in cash or in-kind services. The letters of
commitment/MOUs/tribal resolutions must indicate the total dollar value
of the commitment and be dated within two months of the application
deadline, and indicate how the commitment will relate to the proposed
program. The commitment should be available at time of award.
Applicants proposing to use their own, non-ROSS grant funds to meet the
match requirement in whole or in part, must also include a letter of
commitment indicating the type of match (cash or in-kind) and how the
match will be used. Please see the General Section of the SuperNOFA for
instructions for submitting the required letters with your electronic
application.
Leveraging in excess of the 25 percent of the grant amount will
receive a higher point value.
(1) Volunteer time and services shall be computed by using the
normal professional rate for the local area or the national minimum
wage rate of $5.15 per hour (Note: applicants may not count their staff
time toward the match);
(2) In order for HUD to determine the value of any donated
material, equipment, staff time, building, or lease, your application
must provide a letter from the organization making the donation stating
the value of the contribution.
(3) Other resources/services that can be committed include: in-kind
services such as contributions of administrative services provided to
the applicant; funds from federal sources (not including ROSS funds) as
allowed by statute, including for example Community Development Block
Grant (CDBG); funds from any state or local government sources; and
funds from private contributions. Applicants may also partner with
other program funding recipients to coordinate the use of resources in
the target area.
b. Past Performance. HUD's field offices will evaluate data
provided by applicants as well as applicants' past performance to
determine whether applicants have the capacity to manage

[[Page 14062]]

the grant for which they are applying. The area Offices of Native
American Programs (ONAP) will review past performance for tribal and
TDHE submissions. Field offices will evaluate the contract
administrators' past performance for applicants required to have a
contract administrator. In evaluating past performance HUD will look at
the applicant's record of completing grant activities on time, within
budget and the results achieved. Using Rating Factor 1, the field
office/area ONAP will evaluate applicants' past performance. Applicants
should carefully review Rating Factor 1 to ensure their application
addresses each of the criteria requested therein. If applicants fail to
address what is requested in Rating Factor 1, their application will
fail this threshold and will not receive further consideration.
c. Contract Administrator Partnership Agreement. All nonprofit
applicants, all resident organizations, and PHAs that are troubled at
time of application are required to submit a signed Contract
Administrator Partnership Agreement. The agreement must be for the
entire grant term. Grant awards shall be contingent upon having a
signed partnership agreement included in your application. Applicants
required to have a Contract Administrator Partnership Agreement that
fail to submit one will fail this threshold requirement and will not
receive further consideration for funding. Please see the General
Section of the SuperNOFA for instructions for submitting the required
information with your electronic application.
Troubled PHAs are not eligible to be contract administrators. Grant
writers who assist applicants with preparing their ROSS applications
are also ineligible to be contract administrators. For more information
on contract administrators, see the section ``Program Requirements.''
d. Letters of Support for Nonprofit Applicants.
(1) All nonprofit applicants must include letters of support from
resident associations (RAs), Resident Advisory Boards (RABs), local
civic organizations, or units of local government. In the event that
RAs are inactive, or that applicants submit letters of support from
other organizations such as RABs, nonprofit applicants must also submit
letters from PHAs or tribes/TDHEs indicating support for their
application. All letters of support must be signed by an authorized
representative of the supporting organization and dated within two
months of the application deadline.
(2) Nonprofit applicants that do receive support from resident
associations must submit form HUD-52754 ``List of Resident Associations
Supporting Nonprofit Applicants.'' Submitting this form is not
applicable where RAs are inactive or where applicants do not submit
letters of support from RAs.
(3) In cases where nonprofit organizations are applying to serve
tribes/TDHEs, nonprofit applicants must submit letters of support from
tribes/TDHEs. Nonprofit organizations must also use form HUD-52754 to
list which tribes/TDHEs support their application.
(4) Letters of support from RAs must describe to what extent they
are familiar with the nonprofit applicant and indicate their support
and understanding of the nonprofit organization's proposal/application.
Letters from RAs must include contact information and the name and
title of the person authorized to sign for the organization and should,
whenever possible, be on RA letterhead.
(5) Letters of support from RABs must describe to what extent the
RAB is familiar with the nonprofit applicant and indicate its support
and understanding of the nonprofit organization's proposal/application.
Letters from RABs must include contact information and the name and
title of the person authorized to sign for the organization, and should
be on RAB or PHA letterhead.
(6) Letters of support from civic organizations or units of local
government must describe to what extent they are familiar with the
nonprofit applicant and which programs the nonprofit applicant has
operated or managed in the community that are similar to the
applicant's proposal. Such letters of support must include contact
information and the name and title of the person authorized to sign for
the organization. The letter should be on organization letterhead.
(7) All nonprofit applicants that do not provide letters of support
from resident associations must provide letters of support from PHAs or
tribes/TDHEs with jurisdiction over the developments the applicant
proposes to serve. Letters from PHAs or tribes/TDHEs must describe the
extent to which the nonprofit applicant is familiar with the needs of
the community to be served, which programs the nonprofit applicant has
operated or managed in the community that are similar to the
applicant's proposal, and whether the nonprofit organization has the
capacity to implement its proposed program. Letters from PHAs or
tribes/TDHEs must also list the names of the developments to be served,
the number of occupied conventional family or elderly/disabled public
housing units (depending on the grant category) in those developments,
certify that the units are conventional public housing, and identify
the ROSS grant category to which the nonprofit organization is
applying. PHA or tribe/TDHE letters of support must be signed by the
Executive Director, tribal leader, or authorized designee and must be
on PHA or tribe/TDHE letterhead. Please see the General Section of the
SuperNOFA for instructions for submitting the required letters with
your electronic application.
(8) Applications from nonprofit organizations, which do not submit
the information requested in this section will fail this threshold
requirement and will not be considered for funding.
e. Nonprofit status. All nonprofit applicants must submit their IRS
determination letter to prove their nonprofit (e.g., 501(c)(3)) status.
Applicants that fail to submit this letter will fail this threshold
requirement and will not be considered for funding. Please see the
General Section of the SuperNOFA for instructions for submitting the
required documentation with your electronic application.
f. Minimum Score for All Fundable Applications. Applications that
pass all threshold requirements and go through the ranking and rating
process, must receive a minimum score of 75 in order to be considered
for funding.
g. Funding Requests in Excess of Maximum Grant Amount. Applicants
that request funding in excess of the maximum grant amount which they
are eligible to receive will not receive funding consideration.
h. Performance Standards for PHA Applicants to the Homeownership
Supportive Services Program (applicable only to PHAs). PHA applicants
to the Homeownership Supportive Services program that administer a
Homeownership Voucher Program will be required to provide Homeownership
Vouchers per year, according to the minimum amounts listed in the table
below, to eligible families who successfully complete training under
the Homeownership Supportive Services grant program. Additionally,
applicants must commit to enrolling public housing residents in their
homeownership supportive services program in accordance with the
amounts listed in the table printed immediately below.

[[Page 14063]]

------------------------------------------------------------------------
Minimum
Maximum Minimum enrollments
Number of conventional units funding vouchers (over 3
(annual) year term)
------------------------------------------------------------------------
1-780 units...................... $250,000 10 50
781-2,500 units.................. 350,000 12 70
2501-7,300 units................. 500,000 14 100
7,301 or more units.............. 1,000,000 16 200
------------------------------------------------------------------------

Those PHAs which administer a Housing Choice Voucher program but
have not elected to provide assistance under the Homeownership Voucher
option and receive funding under this category, will be required to
implement the Homeownership Voucher Program and make Homeownership
Vouchers available, in the amounts listed above, on an annual basis to
eligible families who successfully complete training under this ROSS
activity. PHA applicants as described in this section must provide a
letter certifying that they will comply with this requirement.
i. Tribal/TDHE applicants. Tribal/TDHE applicants to the HSS
program must have a Low-income Homeownership Program outlined in their
current Indian Housing Plan. Tribes/TDHEs will also be required to
provide homeownership assistance to a minimum of 10 eligible families.
j. The Dun and Bradstreet Universal Numbering System (DUNS) Number
Requirement. Refer to the General Section of the SuperNOFA for
information regarding the DUNS requirement. You will need to obtain a
DUNS number to receive an award from HUD. You will need a DUNS number
to complete your Grants.gov registration. Registration is required for
electronic submission. See the General Section of the SuperNOFA for a
discussion of the Grants.gov registration process.
3. Program Requirements
a. Contract Administrator. The contract administrator must assure
that the financial management system and procurement procedures that
will be in place during the grant term will fully comply with either 24
CFR part 84 or 85, as appropriate. CAs are expressly forbidden from
accessing HUD's Line of Credit Control System (LOCCS) and submitting
vouchers on behalf of grantees. Contract administrators must also
assist PHAs meet HUD's reporting requirements, see Section VI (C)
``Reporting'' for more information. Contract administrators may be:
Local housing agencies; community-based organizations such as community
development corporations (CDCs), churches, temples, synagogues,
mosques; nonprofit organizations; state/regional associations and
organizations. Troubled PHAs are not eligible to be contract
administrators. Grant writers who assist applicants prepare their
applications are also ineligible to be contract administrators.
Organizations that the applicant proposes to use as the contract
administrator must not violate or be in violation of other conflicts of
interest as defined in 24 CFR part 84 and 24 CFR part 85.
c. Requirements Applicable to All Programs. All applicants, lead
and non-lead, should refer to ``Other Requirements and Procedures
Applicable to All Programs'' of the General Section of the SuperNOFA
for requirements pertaining specifically to procurement of recovered
materials and for information regarding other requirements to which
they may be subject.
4. Number of Applications Permitted. Except as otherwise noted, the
criteria below apply to all grant categories and all applicants.
a. General. Applicants including PHAs, tribes/TDHEs, RAs, and
nonprofit organizations that have support from the resident
associations they propose to serve or the support of tribes/TDHEs may
submit one application for each ROSS funding category, however
applicants must submit separate applications for each funding category.
Nonprofit organizations may submit more than one application per
funding category provided that they will be serving residents of
distinct PHAs or Tribes/TDHEs.
b. More than one application per development. Applications from
PHAs, tribes/TDHEs, RAs, and nonprofit organizations targeting the same
public housing development/population will not all be funded. HUD
suggests that in these cases, applicants work together to submit one
application. Otherwise, the highest scoring application will be funded.
c. Joint applications. Two or more applicants may join together to
submit a joint application for proposed grant activities. Joint
applications must designate a lead applicant. The lead applicant must
be registered with Grants.gov and submit the application using the
Grants.gov portal. Lead applicants are subject to all threshold
requirements. Non-lead applicants are subject to the following
threshold requirements as applicable:
(1) Letters of support for nonprofit applicants;
(2) Evidence of nonprofit status as outlined under the section
covering threshold requirements; and
(3) Threshold requirements outlined in Section III. C. of the
General Section of the SuperNOFA.
Joint applications may include PHAs, RAs, Tribes/TDHEs, and
nonprofit organizations on behalf of resident organizations. Joint
applications involving nonprofit organizations must also provide
evidence of resident support or support from local civic organizations
or from units of local government. PHAs, tribes/TDHEs, and resident
organizations that are part of a joint application may not also submit
separate applications as sole applicants under this NOFA.
Note: The lead applicant will determine the maximum funding amount
the applicants are eligible to receive.
5. Eligible Participants. All program participants must be
residents of conventional public housing or NAHASDA-assisted housing.
Participants in the Public Housing Family Self-Sufficiency (FSS)
program (non-Housing Choice Voucher FSS Program) are also eligible to
participate in activities funded under ROSS.
6. Eligible Developments. Only conventional Public and Indian
housing developments may be served by ROSS grant funds. Other housing/
developments, including, but not limited to private housing, federally
insured housing, federally subsidized or assisted (i.e., assisted under
Section 8, Section 202, Section 811, Section 236), and others are not
eligible to participate in ROSS.
7. Energy Star. HUD has adopted a wide-ranging energy action plan
for improving energy efficiency in all program areas. As a first step
toward implementing the energy plan, HUD, the Environmental Protection
Agency (EPA) and the Department of Energy (DoE) have signed a joint
partnership to promote energy efficiency in HUD's affordable housing
efforts and programs.

[[Page 14064]]

The purpose of the Energy Star partnership is to promote energy
efficiency of the affordable housing stock, but also to help protect
the environment. Applicants constructing, rehabilitating, or
maintaining housing or community facilities are encouraged to promote
energy efficiency in design and operations. They are urged especially
to purchase and use Energy Star labeled products. Applicants providing
housing assistance or counseling services are encouraged to promote
Energy Star building by homebuyers and renters. Program activities can
include developing Energy Star promotional and information materials,
outreach to low- and moderate-income renters and buyers on the benefits
and savings when using Energy Star products and appliances, and
promoting the designation of community buildings and homes as Energy
Star compliant. For further information about Energy Star, see http://
www.energystar.gov or call 888-STAR-YES (888-782-7937) or for the
hearing-impaired, 888-588-9920 (TTY).

IV. Application and Submission Information

A. Address to Obtain an Application Package. There is no
application kit this year. Please refer to the General Section of the
SuperNOFA for information on how to submit your application
electronically. You may also visit www.Grants.gov/Apply to obtain
application information.
B. Content and Form of Application Submission.
1. Application Format Information for All Grant Categories and All
Applicants. Before preparing an application to any ROSS funding
program, applicants should carefully review the program description,
ineligible activities, program and threshold requirements, and the
General Section of the SuperNOFA. Applicants should also review each
rating factor found in the ``Application Review Information'' section
before writing a narrative response. Applicants' narratives should be
as descriptive as possible, ensuring that every requested item is
addressed. Applicants should make sure to include all requested
information, according to the instructions found in this NOFA and where
applicable, in the General Section of the SuperNOFA. This will help
ensure a fair and accurate review of your application.
2. Content and Format for Submission.
a. Content of Application. Applicants must write narrative
responses to each of the rating factors, which follow this section.
Applicants will be evaluated on whether their responses demonstrate
that they have the necessary capacity to successfully manage this grant
program. Applicants should ensure that their narratives are written
clearly and concisely so that HUD reviewers, who may not be familiar
with the ROSS program, may fully understand your proposal.
b. Format of Application. (1) Applications may not exceed 35
narrative pages. Narrative pages must be typed, double-spaced,
numbered, use Times New Roman font style, and font size 12. Supporting
documentation, required forms, and certificates will not be counted
toward the 35 narrative page limit. However, applicants should make
every effort to submit only what is necessary in terms of supporting
documentation. Please see the General Section of the SuperNOFA for
instructions on how to submit supporting documentation with your
electronic application.
(2) The following checklist has been provided to assist applicants
ensure they submit all required forms and information. (Note:
Applicants who receive a waiver to submit paper applications, must
submit their applications in a three-ring binder, with TABS dividing
the sections as indicated below):
TAB 1: Required Forms from the General Section of the SuperNOFA and
other ROSS forms:
1. Acknowledgement of Application Receipt (HUD-2993), for paper
application submissions only (you must have an approved waiver to
submit a paper application);
2. Application for Federal Financial Assistance (SF-24);
3. SF-424 Supplement, Survey on Ensuring Equal Opportunity for
Applicants;
4. Questionnaire for HUD's Initiative on Removal of Regulatory
Barriers (HUD-27300);
5. ROSS Fact Sheet (HUD-52751);
6. Grant Application Detailed Budget (HUD-424-CB);
7. Grant Application Detailed Budget Worksheet (HUD-424-CBW);
8. Applicant/Recipient Disclosure/Update Report (HUD-2880);
9. Certification of Consistency with RC/EZ/EC-II Strategic Plan
(HUD-2990) if applicable;
10. Certification of Consistency with the Consolidated Plan (HUD-
2991) if applicable;
11. Certification of Consistency with the Indian Housing Plan if
applicable (HUD-52752);
12. Certification of Resident Council Board of Election (not
required for tribes/nonprofit organizations working on behalf of
tribes) (HUD-52753);
13. Disclosure of Lobbying Activities (SF-LLL), if applicable;
14. Disclosure of Lobbying Activities Continuation Sheet (SF-LLL-
A), if applicable;
15. Client Comments and Suggestions (HUD-2994); (Optional)
16. Facsimile Transmittal Sheet (HUD-96011).
TAB 2: Threshold Requirements:
1. Letters from Partners attesting to match;
2. Letter from Applicant's organization attesting to match (if
applicant is contributing to match);
3. Letters of Support from Resident Associations/ PHAs/tribes/
TDHEs/ Resident Advisory Boards/local civic organizations and/or units
of local government Threshold requirement for all nonprofit
applicants);
4. Chart of Resident Associations Participating (required for
nonprofit applicants but not applicable to applications from tribes/
TDHEs.) (HUD-52754);
5. IRS nonprofit determination letter proving 501(c)(3) status
(Threshold requirement for all nonprofit applicants); and
6. Contract Administrator Partnership Agreement (required for
nonprofit organizations, resident associations, and troubled PHAs)
(HUD-52755).
TAB 3: Narrative for Rating Factor 1 and ROSS Program Forms
1. Narrative;
2. Chart A: Program Staffing (HUD-52756);
3. Chart B: Applicant/Administrator Track Record (HUD-52757);
4. Resumes/Position Descriptions.
TAB 4: Narrative for Rating Factor 2
TAB 5: Rating Factor 3
1. Narrative;
2. Work plan (see relevant sample ROSS work plan HUD-52764).
TAB 6: Narrative for Rating Factor 4
TAB 7: Narrative for Rating Factor 5 and ROSS Program Forms
1. Narrative;
2. Logic Model (HUD-96010);
3. Sample Performance measures/outcomes are attached for
applicants' information.
C. Submission Dates and Times: 1. Due Dates. a. Resident Service
Delivery Models--Elderly/Persons with Disabilities: The application
must be submitted and received by Grant.gov no later than 11:59:59 p.m.
eastern time on July 6, 2005. For applicants receiving a waiver to the
electronic filing requirement, please see the General Section for
waiver and mailing requirements. Please carefully read the General
Section of the SuperNOFA for

[[Page 14065]]

application submission, and timely receipt requirements.
b. Resident Service Delivery Models-Family. The application must be
submitted and received by Grant.gov no later than 11:59:59 p.m. eastern
time on July 25, 2005. For applicants receiving a waiver to the
electronic filing requirement, please see the General Section for
waiver and mailing requirements. Please carefully read the General
Section of the SuperNOFA for application submission, and timely receipt
requirements.
c. Homeownership Supportive Services. The application must be
submitted and received by Grant.gov no later than 11:59:59 p.m. eastern
time on May 26, 2005. For applicants receiving a waiver to the
electronic filing requirement, please see the General Section for
waiver and mailing requirements. Please carefully read the General
Section of the SuperNOFA for application submission, and timely receipt
requirements.
2. Proof of Timely Submission. Please see the General Section of
the SuperNOFA this information. Applicants that fail to meet the
deadline for application receipt will not receive funding
consideration.
3. For Waivers Only. Applicants who have received waivers to submit
paper applications (see the General Section of the SuperNOFA for more
information), must submit their applications to: HUD Grants Management
Center, Mail Stop: Name of ROSS Grant Category, 501 School Street, SW.,
8th floor, Washington DC 20024. Please see the General Section of the
SuperNOFA for detailed mailing and delivery instructions.
4. Number of Copies. Only applicants receiving a waiver to the
electronic submission requirement may submit a paper copy application.
Paper applications must be submitted in triplicate (one original and
two identical copies). For all applicants (including tribal and TDHE
applicants), the original and one identical copy must be sent to the
Grants Management Center and an identical copy must be sent to your
local field office in accordance with the submission and timely receipt
requirements described in the General Section of this SuperNOFA.
D. Intergovernmental Review: Not applicable.
E. Funding Restrictions: 1. Reimbursement for Grant Application
Costs. Applicants who receive an award under any ROSS funding category
are prohibited from using ROSS grant funds to reimburse any costs
incurred in conjunction with preparation of their ROSS grant
application.
2. Covered Salaries. Applicable to all grant categories and all
applicants:
a. Project Coordinator. All applicants may propose to hire a
qualified project coordinator to run the grant program. The ROSS
program will fund up to $65,000 in combined annual salary and fringe
benefits for a full-time project coordinator. The project coordinator's
salary and fringe benefits may not exceed 30 percent of the total grant
amount. For audit purposes, applicants must have documentation on file
demonstrating that the salary of the project coordinator is comparable
to similar professions in their local area.
b. Resident Salaries. Only the RSDM--Family category permits
grantees to use grant funds for this purpose. No more than five percent
of RSDM--Family funds may be used to pay for resident salaries.
c. Types of Salaries. ROSS funds may only be used for the types of
salaries described in this section according to the restrictions
described herein. ROSS funds may only be used to pay for salaries of
staff that provide direct services to residents. Direct services staff,
for purposes of this NOFA, are defined as housing authority personnel
who, as their primary responsibility, provide services directly to
residents that participate in the activities described in this
application e.g., case managers, van drivers, job trainers, childcare
providers, among other positions. ROSS funds may not be used to pay for
salaries for any other kind of staff.
3. Administrative Costs. Administrative costs may include, but are
not limited to, purchase of furniture, office equipment and supplies,
local travel, and utilities. Administrative costs may not be used to
pay for salaries of any kind. Nonprofit organizations only may use
administrative funds to pay for rental of space. Administrative costs
must not exceed 10 percent of the total grant amount requested from
HUD. Administrative costs must adhere to OMB Circular A-87 or A-122 as
appropriate. Please use HUD-424-CBW to itemize your administrative
costs.
4. Individual Savings Accounts (ISAs). ROSS RSDM--Family and
Homeownership Supportive Services funds can be used as matching funds
for ISAs but no more than 20 percent of total grant funds may be used
for this purpose.
5. Stipends. This applies to RSDM--Family only. No more than $200
of the grant award may be used per participant per month for stipends
for active trainees and program participants. Stipends may only be used
to reimburse reasonable out-of-pocket expenses related to participation
in training and other program-related activities. Receipts for such
expenses must be provided by the resident in order to obtain
reimbursement. Stipends are not considered an administrative expense
and therefore are not subject to the 10 percent limitation on
administrative costs.
6. Ineligible Activities/Costs. Grant funds may not be used for
ineligible activities. The following are ineligible activities/costs:
a. Payment of wages and/or salaries to participants for receiving
supportive services and/or training programs;
b. Purchase, lease, or rental of land;
c. New construction, costs for construction materials;
d. Rehabilitation or physical improvements;
e. Purchase, lease, or rental of vehicles;
f. Entertainment costs; g. Purchasing food;
h. Elderly/Disabled Service Coordinator salary and fringe benefits;
i. Payment of wages and/or salaries to doctors, nurses or other
staff (including health aids or companions) in relation to medical
services provided to residents;
j. Purchase of non-prescription or prescription medications;
k. Stipends (Stipends are only allowed under RSDM--Family);
l. Down payment assistance (Note: Participants may use their ISAs
under the RSDM--Family and Homeownership Supportive Services program
for this purpose);
m. Revolving loan funds;
n. Costs, which exceed limits, identified in the NOFA for the
following: Project Coordinator, resident salaries, ISAs, stipends,
administrative expenses, and long distance travel; and
o. Cost of application preparation.
p. For RSDM Elderly grant applicants--transportation costs of
residents (grant funds may be used to pay for coordination and set-up
of transportation services).
q. Salaries for staff that are not direct services staff. Direct
services staff, for purposes of this NOFA, are defined as housing
authority personnel who, as their primary responsibility, provide
services directly to residents that participate in the activities
described in this application e.g., case managers, van drivers, job
trainers, childcare providers, among other positions. ROSS funds cannot
be used to hire or pay for the services of a Contract Administrator.
7. ROSS funds cannot be used to hire or pay for the services of a
Contract Administrator.
8. Other Budgetary Restrictions. Some long distance travel may be
necessary

[[Page 14066]]

during the term of the grant in order for professional grant staff to
attend HUD-sponsored training conferences for ROSS grantees. Long
distance travel costs for grant program staff may not exceed $5,000 for
the life of the grant and must receive prior approval from the
grantee's local HUD field office or area ONAP.

V. Application Review Information

A. Criteria

1. Factors for Award Used To Evaluate and Rate Applications to the
ROSS program. The factors for rating and ranking applicants and maximum
points for each factor are provided below. The maximum number of points
available for this program is 102. This includes two RC/EZ/EC-II bonus
points. The SuperNOFA contains a certification that must be completed
in order for the applicant to be considered for the RC/EZ/EC-II bonus
points. A listing of federally designated RCs, EZs, and EC-IIs, is
available at http://www.hud.gov/offices/adm/grants/fundsavail.cfm. The
agency certifying to RC/EZ/EC-II status must be contained in the
listing of RC/EZ/EC-II organizations on HUD's Web site at: http://
www.hud.gov/offices/adm/grants/fundsavail.cfm.
Note: Applicants should carefully review each rating factor before
writing a response. Applicants' narratives should be as descriptive as
possible, ensuring that every requested item is addressed. Applicants
should make sure their narratives thoroughly address the Rating Factors
below. Applicants should include all requested information, according
to the instructions found in this NOFA. This will help ensure a fair
and accurate application review.
a. Rating Factor 1: Capacity of the Applicant and Relevant
Organizational Staff (25 Points).
This factor addresses whether the applicant has the organizational
resources necessary to successfully implement the proposed activities
within the grant period. In rating this factor HUD will consider the
extent to which the proposal demonstrates that the applicant will have
qualified and experienced staff dedicated to administering the program.
(1) Proposed Program Staffing (7 Points).
(a) Staff Experience (4 Points). The knowledge and experience of
the proposed project coordinator, staff, and partners in planning and
managing programs for which funding is being requested. Experience will
be judged in terms of recent, relevant and successful experience of
proposed staff to undertake eligible program activities. In rating this
factor, HUD will consider experience within the last 5 years to be
recent; experience pertaining to the specific activities being proposed
to be relevant; and experience producing specific accomplishments to be
successful. The more recent the experience and the more experience
proposed staff members who work on the project have in successfully
conducting and completing similar activities, the greater the number of
points applicants will receive for this rating factor. The following
information should be provided in order to provide HUD an understanding
of proposed staff's experience and capacity:
(i) The number of staff years (one staff year = 2080 hours) to be
allocated to the proposed program by each employee or expert as well as
each of their roles in the program;
(ii) The staff's relevant educational background and/or work
experience; and
(iii) Relevant and successful experience running programs whose
activities are similar to the eligible program activities described in
the grant category to which you are applying.
(b) Organizational Capacity (3 Points). Applicants will be
evaluated based on whether they have, or their partners have sufficient
qualified personnel to deliver the proposed activities in a timely and
effective fashion. In order to enhance or supplement capacity,
applicants should provide evidence of partnerships with nonprofit
organizations or other organizations that have experience providing
supportive services to typically underserved populations. Applicants'
narrative must describe their ability to immediately begin the proposed
work program. Provide resumes and position descriptions (where staff is
not yet hired) for all key personnel. (Resumes/position descriptions do
not count toward the 35-page limit.)
(2) Past Performance of Applicant/Contract Administrator (6
Points).
(a) Applicants' past experience may include, but is not limited to,
running and managing programs aimed at:
(i) RSDM--Family: assisting residents of low-income housing achieve
economic self-sufficiency;
(ii) RSDM--Elderly: assisting elderly/persons with disabilities who
reside in low-income housing to live independently;
(iii) Homeownership: assisting residents of low-income housing
achieve economic self-sufficiency and homeownership.
(b) Applicants' narrative must indicate past grants they received
and managed, the grant amounts, and grant terms (years) of the grants,
which they are counting toward past experience.
(c) Applicants' narrative must describe how they (or their Contract
Administrator) successfully implemented past grant programs designed
to:
(i) RSDM--Family--promote resident self-sufficiency, moving from
welfare to work, and/or helping residents move to market rate rental
housing;
(ii) RSDM--Elderly--assist elderly/persons with disabilities meet
their daily living needs and enhance their access to needed services so
they can continue to reside comfortably and productively in their
current living environment;
(iii) Homeownership--promote moving from subsidized housing to
homeownership.
(d) Applicants will be evaluated according to the following
criteria:
(i) Achievement of specific measurable outcomes and objectives in
terms of benefits gained by participating residents. Applicants should
describe results their programs have obtained, such as:
(A) RSDM--Family: reduced welfare dependency, higher incomes,
higher rates of employment, increased savings, moving from subsidized
housing to market rate rental housing;
(B) RSDM--Elderly: less emergency care, improved health conditions
of assisted population, access to greater number of social services;
(C) Homeownership: number of families in homeownership counseling
pipeline, rates of homeownership achieved through training programs.
(ii) Description of success in attracting and keeping residents
involved in past grant-funded training programs. HUD wants to see that
applicants' grant-funded programs benefited a significant numbers of
residents;
(iii) Description of timely expenditure of program funding
throughout the term of past grants. Timely means regular drawdowns
throughout the life of the grant, i.e., quarterly drawdowns, with all
funds expended by the end of the grant term;
(iv) Description of Past Leveraging. Applicants must describe how
they have leveraged funding or in-kind services beyond amounts that
were originally proposed for past projects;
(3) Program Administration and Fiscal Management (12 Points).
(a) Program Administration and Accountability (6 Points).
Applicants should describe how they will manage the program; how HUD
can be sure that there is program accountability; and provide a
description of proposed staff's roles and responsibilities. Applicants

[[Page 14067]]

should also describe how grant staff and partners shall report to the
project coordinator and other senior staff.
(b) Fiscal Management (6 Points). In rating this factor,
applicants' skills and experience in fiscal management will be
evaluated. If applicants have had any audit or material weakness
findings in the past five years, they will be evaluated on how well
they have addressed them. Applicants must provide the following:
(i) A complete description of their fiscal management structure,
including fiscal controls currently in place including those of a
Contract Administrator for applicants required to have a Contract
Administrator, (i.e., troubled PHAs, resident associations, and
nonprofit applicants);
(ii) Applicants must list any audit findings in the past five years
(HUD Inspector General, management review, fiscal, etc.), material
weaknesses, and what has been done to address them;
(iii) For applicants who are required to have a Contract
Administrator, describe the skills and experience the Contract
Administrator has in managing federal funds.
b. Rating Factor 2: Need/Extent of the Problem (10 Points).
This factor addresses the extent to which there is a need for
funding the proposed program. In responding to this factor, applicants
will be evaluated on the extent to which they describe and document the
level of need for their proposed activities and the urgency for meeting
the need.
In responding to this factor, applicants must include:
(1) Socioeconomic Profile (5 points). A thorough socioeconomic
profile of the eligible residents to be served by the program,
including education levels, income levels, the number of single-parent
families, economic statistics for the local area, etc.
(2) Demonstrated Link Between Proposed Activities and Local Need (5
points). Applicants' narrative must demonstrate a clear relationship
between proposed activities, community needs and the purpose of the
program funding in order for points to be awarded for this factor.
c. Rating Factor 3: Soundness of Approach (30 Points) This factor
addresses both the quality and cost-effectiveness of applicants'
proposed work plan. The work plan must indicate a clear relationship
between proposed activities, the targeted population's needs, and the
purpose of the program funding. Applicants' activities must address
HUD's policy priorities outlined in this Rating Factor.
In rating this factor HUD will consider:
(1) Quality of the Work Plan (18 points). This factor evaluates
both the applicant's work plan and budget, which will be evaluated
based on the following criteria:
(a) Specific Services and/or Activities (8 points). Applicants'
narrative must describe the specific services, course curriculum, and
activities they plan to offer and who will be responsible for each. In
addition to the narrative, applicants must also provide a work plan,
which must list the specific services, activities, and outcomes they
expect. The work plan must show a logical order of activities and
progress and must tie to the outcomes and outputs applicants identify
in the Logic Model (see Rating Factor 5). Please see a sample work plan
in the Appendix. Applicants' narrative must explain how their proposed
activities will:
(i) Involve community partners in the delivery of services (4
points);
(ii) Offer comprehensive services versus a small range of services
geared toward achieving the following (2 points):
RSDM--Family: enhancing economic opportunities for residents;
RSDM--Elderly: enhancing residents' quality of life;
Homeownership: enhancing homeownership opportunities for residents;
and
(iii) Link to other ROSS-funded self-sufficiency programs (2
points).
(b) Feasibility and Demonstrable Benefits (4 points). This factor
examines whether applicants' work plan is logical, feasible and likely
to achieve its stated purpose during the term of the grant. HUD's
desire is to fund applications that will quickly produce demonstrable
results and advance the purposes of the ROSS program.
(i) Timeliness. This subfactor evaluates whether applicants' work
plan demonstrates that their project is ready to be implemented shortly
after grant award, but not to exceed three months following the
execution of the grant agreement. The work plan must indicate
timeframes and deadlines for accomplishing major activities.
(ii) Description of the problem and solution. The work plan will be
evaluated based on how well applicants' proposed activities address the
needs described in Rating Factor 2.
(c) Budget Appropriateness/Efficient Use of Grant (6 Points) The
score in this factor will be based on the following:
(i) Justification of expenses. Applicants will be evaluated based
on whether their expenses are reasonable and thoroughly explained, and
support the objectives of their proposal.
(ii) Budget Efficiency. Applicants will be evaluated based on
whether their application requests funds commensurate with the level of
effort necessary to accomplish their goals and anticipated results.
(d) Ineligible Activities. Two points will be deducted for each
ineligible activity proposed in the application, as identified in
Section IV(E). For example, you will lose 2 points if you propose costs
that exceed the limits identified in the NOFA for a Project
Coordinator; or you will lose 2 points if you propose paying for
salaries for staff that are not direct services staff.
(2) Addressing HUD's Policy Priorities (12 points). HUD wants to
improve the quality of life for those living in distressed communities.
HUD's grant programs are a vehicle through which long-term, positive
change can be achieved at the community level. Applicants' narrative
and work plan will be evaluated based on how well they meet the
following HUD policy priorities:
(a) Applicants will respond to either (i) or (ii) below depending
on what type of applicant they are, for a maximum of 5 points.
(i) Improving the Quality of Life in Our Nation's Communities (For
RSDM-Family and RSDM-Elderly Applicants only)(5 points). In order to
receive points in this category, applicants' narrative and work plan
must indicate the types of activities, service, and training programs
applicants will offer which can help residents successfully transition
from welfare to work and earn higher wages, or for elderly/disabled
residents, to continue to live independently.
(ii) Providing Increased Homeownership and Rental Opportunities for
Low- and Moderate-Income Persons, Persons with Disabilities, the
Elderly, Minorities, and Families With Limited English Proficiency (For
Homeownership Applicants only) (5 points). In order to receive points
in this category, applicants' narrative and work plan must indicate the
types of activities and training programs they will offer which can
help residents successfully transition from subsidized housing to
market-rate rental housing or homeownership.
(b) Providing Full and Equal Access to Grassroots Faith-Based and
Other Community-Based Organizations in HUD Program Implementation (For
all applicants) (5 points). HUD encourages applicants to partner with
grassroots organizations, e.g., civic organizations,

[[Page 14068]]

grassroots faith-based and other community-based organizations that are
not usually effectively utilized. These grassroots organizations have a
strong history of providing vital community services such as developing
first-time homeownership programs, creating economic development
programs, providing job training and other supportive services. In
order to receive points under this factor, applicants' narrative and
work plan must describe how applicants will work with these
organizations and what types of services they will provide.
(c) Policy Priority for Increasing the Supply of Affordable Housing
Through the Removal of Regulatory Barriers to Affordable Housing. (up
to 2 points).
Under this policy priority, higher rating points are available to:
(1) Governmental applicants that are able to demonstrate successful
efforts in removing regulatory barriers to affordable housing, and (2)
nongovernmental applicants that are associated with jurisdictions that
have undertaken successful efforts in removing barriers. For applicants
to obtain the policy priority points for efforts to successfully remove
regulatory barriers, applicants would have to complete form HUD 27300,
``Questionnaire for HUD's Initiative on Removal of Regulatory
Barriers.'' A copy of HUD's Notice entitled America's Affordable
Communities Initiative, HUD's Initiative on Removal of Regulatory
Barriers: Announcement of Incentive Criteria on Barrier Removal in
HUD's 2004 Competitive Funding Allocations'' can be found on HUD's Web
site at http://www.hud.gov/grants/index.cfm. The information and
requirements contained in HUD's regulatory barriers policy priority
apply to this FY 2005 NOFA. A description of the policy priority and a
copy of form HUD-27300 can be found in the application package posted
to www.Grants.gov. Applicants are encouraged to read the Notice as well
as the General Section of the SuperNOFA to obtain an understanding of
this policy priority and how it can impact their score. A limited
number of questions expressly request the applicant to provide brief
documentation with their response. Other questions require that for
each affirmative statement made, the applicant must supply a reference,
URL, or a brief statement indicating where the back-up information may
be found, and a point of contact, including a telephone number and/or
email address. The electronic copy of the HUD 27300 has space to
identify a URL or reference that the material is being scanned and
attached to the application as part of the submission or faxed to HUD
following the facsimile submission instructions.
d. Rating Factor 4: Leveraging Resources (20 Points).
This factor addresses the applicant's ability to secure community
resources that can be combined with HUD's grant resources to achieve
program purposes. Applicants are required to create partnerships with
organizations that can help achieve their program's goals. PHAs are
required by section 12(d)(7) of the U.S. Housing Act of 1937 entitled
``Cooperation Agreements for Economic Self-Sufficiency Activities'') to
make best efforts to enter into such agreements with relevant state or
local agencies. In rating this factor, HUD will look at the extent to
which applicants partner, coordinate and leverage their services with
other organizations serving the same or similar populations.
Additionally, applicants must have at least a 25 percent cash or
in-kind match. The match is a threshold requirement. Joint applicants
must together have at least a 25 percent match. Applicants who do not
demonstrate the minimum 25 percent match will fail the threshold
requirement and will not receive further consideration for funding.
Leveraging in excess of the 25 percent of the grant amount will receive
a higher point value. In evaluating this factor HUD will consider the
extent to which applicants have partnered with other entities to secure
additional resources, which will increase the effectiveness of the
proposed program activities. The additional resources and services must
be firmly committed, must support the proposed grant activities and
must, in combined amount (including in-kind contributions of personnel,
space and/or equipment, and monetary contributions) equal at least 25
percent of the grant amount requested in this application. ``Firmly
committed'' means that the amount of resources and their dedication to
ROSS-funded activities must be explicit, in writing and signed by a
person authorized to make the commitment. Please see the section on
Threshold Requirements for more information.
Points for this factor will be awarded based on the documented
evidence of partnerships and firm commitments and the ratio of
requested ROSS funds to the total proposed grant budget.
Points will be assigned based on the following scale:

Percentage of Match Points Awarded
25..................................... 5 points (with partnerships) 3
points (without partnerships);
26-50.................................. 10 points (with partnerships) 8
points (without partnerships);
51-75.................................. 15 points (with partnerships)
13 points (without
partnerships);
76 or above............................ 20 points (with partnerships)
18 points (without
partnerships).
------------------------------------------------------------------------

e. Rating Factor 5: Achieving Results and Program Evaluation (15
Points)
(1) An important element in this year's NOFA is the development and
reporting of performance measures and outcomes. This factor emphasizes
HUD's determination to ensure that applicants meet commitments made in
their applications and grant agreements and that they assess their
performance so that they realize performance goals. Applicants must
demonstrate how they propose to measure their success and outcomes as
they relate to the Department's Strategic Plan.
(2) HUD requires ROSS applicants to develop an effective,
quantifiable, outcome-oriented plan for measuring performance and
determining that goals have been met. Applicants must use the Logic
Model form HUD-96010 for this purpose.
(3) Applicants must establish interim benchmarks, or outputs, for
their proposed program that lead to the ultimate achievement of
outcomes. ``Outputs'' are the direct products of a program's
activities. Examples of outputs are: the number of eligible families
that participate in supportive services, the number of new services
provided, the number of residents receiving counseling, or the number
of households using a technology center. Outputs should produce
outcomes for your program. ``Outcomes'' are benefits accruing to the
residents, families and/or communities during or after participation in
the ROSS program. Applicants must clearly identify the outcomes to be
achieved and measured. Examples of outcomes are: increasing the
homeownership rates among residents of a development or from a
particular housing authority, increasing residents' financial stability
(e.g., increasing assets of a household through savings), or increasing
employment stability (e.g., whether persons assisted obtain or retain
employment for one or two years after job training completion).
Outcomes are not the actual development or delivery of services or
program activities.
(4) This rating factor requires that applicants identify program
outputs, outcomes, and performance indicators

[[Page 14069]]

that will allow applicants to measure their performance. Performance
indicators should be objectively quantifiable and measure actual
achievements against anticipated achievements. Applicants' narrative,
work plan, and Logic Model should identify what applicants are going to
measure, how they are going to measure it, and the steps they have in
place to make adjustments to their work plan and management practices
if performance targets begin to fall short of established benchmarks
and time frames. Applicants' proposal must also show how they will
measure the performance of partners and affiliates. Applicants must
include the standards, data sources, and measurement methods they will
use to measure performance.
(5) In order to respond to this factor, applicants can use the
sample performance measures found at http://www.hud.gov/offices/adm/
grants/fundsavail.cfm. Applicants will be evaluated based on how
comprehensively they propose to measure their program's outcomes.

B. Review and Selection Process

1. Review Process for All Grant Categories and All Applicants. Four
types of reviews will be conducted: a screening to determine if you are
eligible to apply for funding under the ROSS grant category to which
you are applying; whether your application submission is complete, on
time and meets threshold; a review by the field office (or area ONAP
office) to evaluate past performance; and a technical review to rate
your application based on the five rating factors provided in this
NOFA.
2. Selection Process for All Grant Categories and All Applicants.
The selection process is designed to achieve geographic diversity of
grant awards throughout the country. For each grant category, HUD will
first select the highest ranked application from each of the ten
federal regions and DPONAP for funding. After this ``round,'' HUD will
select the second highest ranked application in each of the ten federal
regions and DPONAP for funding (the second round). HUD will continue
this process with the third, fourth, and so on, highest ranked
applications in each federal region and DPONAP until the last complete
round is selected for funding. If available funds exist to fund some
but not all eligible applications in the next round, HUD will make
awards to those remaining applications in rank order (by score)
regardless of region and DPONAP and will fully fund as many as possible
with remaining funds. If remaining funds in one grant category are too
small to make an award, they may be transferred to another category
under the ROSS program.
3. Tie Scores. In the event of a tie between two applications in
the same category which target the same developments, HUD will select
the application that was received first.
4. Deficiency Period. Applicants will have 14 calendar days in
which to provide missing information requested from HUD. For other
information on correcting deficient applications, please see the
General Section of the SuperNOFA.

VI. Award Administration Information

A. Award Notices. HUD will make announcements of grant awards after
the rating and ranking process is completed. Grantees will be notified
by letter and will receive instructions for what steps they must take
in order to access funding and begin implementing grant activities.
Applicants who are not funded will also receive letters via U.S. postal
mail.
B. Debriefings. Applicants who are not funded may request a
debriefing. Applicants requesting to be debriefed must send a written
request to: Iredia Hutchinson, Director, Grants Management Center, 501
School Street, SW., Suite 800, Washington, DC 20024.
C. Administrative and National Policy Requirements. 1.
Environmental Impact. In accordance with 24 CFR 58.34 (a)(3) or (a)(9),
58.35(b)(2), (b)(4) or (b)(5), 50.19(b)(3), (b)(9), (b)(12), (b)(14),
or (b)(15) activities under this ROSS program are categorically
excluded from the requirements of the National Environmental Policy Act
of 1969 and are not subject to environmental review under related laws
and authorities.
2. Applicable Requirements. Unless specifically enumerated in this
NOFA, all applicants, lead and non-lead applicants, are subject to the
requirements specified in Section III.C. of the General Section of the
SuperNOFA. Grantees are subject to regulations and other requirements
found in:
a. 24 CFR 84 ``Uniform Administrative Requirements for Grants and
Agreements with Institutions of Higher Education, Hospitals, and Other
Nonprofit Organizations'';
b. 24 CFR 85 ``Administrative Requirements for Grants and
Cooperative Agreements to State, Local, and Federally Recognized Indian
Tribal Governments'';
c. 24 CFR 964 ``Tenant Participation and Tenant Opportunities in
Public Housing'';
d. OMB Circular A-87 ``Cost Principles for State, Local, and Indian
Tribal Governments''
e. OMB Circular A-110 ``Uniform Administrative Requirements for
Grants and Other Agreements with Institutions of Higher Education,
Hospitals and Other Non-Profit Organizations'';
f. OMB Circular A-122 ``Cost Principles for Non-Profit
Organizations''; and
g. OMB Circular A-133 ``Audits of States, Local Governments, and
Non-Profit Organizations''.
3. Economic Opportunities for Low- and Very Low-Income Persons
(Section 3). Applicants and grantees must also comply with Section 3 of
the Housing and Urban Development Act of 1968, 12 U.S.C. 1701u and
ensure that training, employment, and other economic opportunities
shall, to the greatest extent feasible, be directed toward low and very
low-income persons, particularly those who are recipients of government
assistance for housing and to business concerns which provide economic
opportunities to low and very low-income persons.
4. Fair Housing and Civil Rights Laws. Applicants and their
subrecipients must comply with all Fair Housing and Civil Rights laws,
statutes, regulations, and Executive Orders as enumerated in 24 CFR
5.105(a), as applicable. Please see the General Section of the
SuperNOFA for more information.
D. Reporting. 1. Semi-Annual Performance Reports. Grantees shall
submit semi-annual performance reports to the field office or area
ONAP. These progress reports shall include financial reports (SF-269A),
a Logic Model (HUD-96010) showing achievements to date against outputs
and outcomes proposed in the application and approved by HUD, and a
narrative describing milestones, work plan progress, and problems
encountered and methods used to address these problems. HUD anticipates
that some of the reporting of financial status and grant performance
will be through electronic or Internet-based submissions. Grantees
shall use quantifiable data to measure performance against goals and
objectives outlined in their work plan. Applicants that receive awards
from HUD should be prepared to report on additional measures that HUD
may designate at time of award. Performance reports are due to the
field office on July 30 and January 31 of each year. If reports are not
received by the due date, grant funds will be suspended until reports
are received.
2. Final Report. All grantees shall submit a final report to their
local field

[[Page 14070]]

office or area ONAP that will include a financial report (SF-269A), a
final Logic Model, and a narrative evaluating overall results achieved
against their work plan. Grantees shall use quantifiable data to
measure performance against goals and objectives outlined in their work
plan. The financial report shall contain a summary of all expenditures
made from the beginning of the grant agreement to the end of the grant
agreement and shall include any unexpended balances. The final
narrative, Logic Model, and financial report shall be due to the field
office 90 days after the termination of the grant agreement.
3. Final Audit. Grantees are required to obtain a complete final
close-out audit of the grant's financial statements by a Certified
Public Accountant (CPA), in accordance with generally accepted
government audit standards. A written report of the audit must be
forwarded to HUD within 60 days of issuance. Grant recipients must
comply with the requirements of 24 CFR 84 or 24 CFR 85 as stated in OMB
Circulars A-87, A-110, and A-122, as applicable.
4. Logic Model. For each reporting period, as part of your required
report to HUD, you must include a completed Logic Model (Form 96010),
which identifies output and outcome achievements.

VII. Agency Contact(s)

For questions and technical assistance, you may call the Public and
Indian Housing Information and Resource Center at 800-955-2232. For
persons with hearing or speech impairments, please call the toll-free
Federal Relay Service at 800-877-8339. In the case of tribes/TDHEs,
please contact DPONAP at 800-561-5913 or (303) 675-1600 (this is not a
toll-free number).

VIII. Other Information

A. Code of Conduct. Please see the General Section of the SuperNOFA
for more information.
B. Transfer of Funds. If transfer of funds from any of the ROSS
programs does become necessary, HUD will give first priority to
Homeownership Supportive Services, second priority to Family Self-
Sufficiency, third priority to RSDM--Family, and fourth priority to
RSDM--Elderly/Persons with Disabilities.
C. Paperwork Reduction Act. The information collection requirements
contained in this document have been approved by the Office of
Management and Budget (OMB) under the Paperwork Reduction Act of 1995
(44 U.S.C. 3501-3520) and assigned OMB control number 2577-0229. In
accordance with the Paperwork Reduction Act, HUD may not conduct or
sponsor, and a person is not required to respond to, a collection of
information unless the collection displays a currently valid OMB
control number. Public reporting burden for the collection of
information is estimated to average ten hours per annum per respondent
for the application and grant administration. This includes the time
for collecting, reviewing, and reporting the data for the application,
semi-annual reports and final report. The information will be used for
grantee selection and monitoring the administration of funds. Response
to this request for information is required in order to receive the
benefits to be derived.
Appendix of Forms. The forms specific to the ROSS Program follow.

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[Federal Register: March 21, 2005 (Volume 70, Number 53)]
[Notices]
[Page 14075-14124]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr21mr05-148]

[[pp. 14075-14124]] Notice of HUD's Fiscal Year 2005 Notice of Funding Availability
Policy Requirements and General Section to the SuperNOFA for HUD's
Discretionary Programs

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Public and Indian Housing Family Self-Sufficiency Program Under the
Resident Opportunities and Self-Sufficiency (ROSS) Program

Overview Information

A. Federal Agency Name: Department of Housing and Urban
Development, Office of Public and Indian Housing.
B. Funding Opportunity Title: This NOFA is for the Public and
Indian Housing Family Self-Sufficiency program under the Resident
Opportunities and Self-Sufficiency (ROSS) program.
C. Announcement Type: Initial announcement.
D. Funding Opportunity Number: The Federal Register number for this
NOFA is: FR-4950-N-23. The OMB approval number is: 2577-0229.
E. Catalog of Federal Domestic Assistance (CFDA) Number(s):
Resident Opportunity and Self Sufficiency, 14.870.
F. Dates: The application submission date is June 20, 2005. Please
see the General Section for application

[[Page 14088]]

submission and timely receipt requirements.
G. Optional, Additional Overview Content Information: 1. Purpose of
Program: The purpose of the Family Self-Sufficiency (FSS) program for
Public Housing is to link participating families to the supportive
services they need to achieve self-sufficiency and no longer need
public assistance.
2. Funding Available: The Department expects to award a total of
approximately $22,950,000 ($15,000,000 of appropriations and $7,950,000
of carryover) under the FSS program in Fiscal Year 2005.
3. Award Amounts: Award amounts will be based on locality pay rates
for professions similar to that of an FSS program coordinator.
Individual award amounts will not exceed $65,000 to pay for the annual
salary and fringe benefits of the program coordinator.
4. Eligible Applicants: Eligible applicants are PHAs and tribes/
TDHEs that administer public housing programs. Renewal applicants and
new applicants to the program must have an approved FSS Action Plan on
file with their local HUD field office prior to this NOFA's application
deadline. Please see the Threshold Requirements section for more
information.
Nonprofit organizations and resident associations are not eligible
for funding under this program.
5. Cost Sharing/Match Requirement: There is no match requirement
under this funding program.
6. Grant term: The grant term for FSS is one year from the
execution date of the grant agreement.

----------------------------------------------------------------------------------------------------------------
Total
Grant program funding Eligible applicants Maximum grant amount
----------------------------------------------------------------------------------------------------------------
Public Housing Family Self-Sufficiency... $22,950,000 PHAs, tribes/TDHEs only.... $65,000 maximum salary
amount
----------------------------------------------------------------------------------------------------------------

Full Text of Announcement

I. Funding Opportunity Description

A. Definition of Terms

1. Action Plan describes the policies and procedures of the PHA or
tribe/TDHE for operation of a local FSS program, and contains the
following information (for a full description of the minimum amount of
information the Action Plan must contain, please see 24 CFR 984.201):
a. Family demographics. A description of the number, size,
characteristics, and other demographics (including racial and ethnic
data), and the supportive services needs of the families expected to
participate in the FSS program;
b. Estimate of participating families. A description of the number
of eligible FSS families who can reasonably be expected to receive
supportive services under the FSS program, based on available and
anticipated federal, tribal, state, local, and private resources;
c. Eligible families from other self-sufficiency programs. The
number of families participating in other federal, state, or local
self-sufficiency programs (provide program name and sponsoring
organization) that are expected to participate in the FSS program.
d. FSS Family selection procedures. A statement indicating the
procedures to be utilized by select families participating in the FSS
program.
e. Incentives to encourage participation. Description of the FSS
account and other incentives the PHA will offer participating families.
f. Outreach efforts. The Action Plan must describe the efforts the
PHA or tribe/TDHE will make to recruit FSS participants.
g. FSS activities and supportive services consist of a description
of the activities and supportive services that will be provided by
public and private sources.
h. Additional requirements. Additional requirements are contained
in 24 CFR Part 984.
2. Contract Administrator means an overall grant administrator and/
or a financial management agent used by a troubled PHA to oversee the
implementation of the grant and/or the financial aspects of the grant.
3. Indian Tribe (``tribe'') means any tribe, band, nation, or other
organized group or a community of Indians, including any Alaska native
village, regional, or village corporation as defined in or established
pursuant to the Alaska Native Claims Settlement Act, and that is
recognized as eligible for the special programs and services provided
by the United States to Indians because of their status as Indians
pursuant to the Indian Self Determination and Education Act of 1975, or
any state-recognized tribe eligible for assistance under section 4
(12)(C) of NAHASDA.
4. NAHASDA-assisted resident means a tribal member living in
housing assisted by the Native American Housing Assistance and Self-
Determination Act (NAHASDA) of 1996.
5. Past Performance is a threshold requirement. HUD's field offices
will evaluate data provided by applicants and their past performance to
determine whether an applicant has the capacity to manage the FSS grant
program. The area Office of Native American Programs (ONAP) will review
past performance for tribal/TDHE submissions. PHAs or tribes/TDHEs that
have managed a HUD-funded FSS program for more than five years must be
able to demonstrate that families who have participated in the FSS
program for five years are actually achieving self-sufficiency and/or
have significantly increased their earned income. Please see the
section on Threshold Requirements for more information.
6. Person with disabilities means a person who:
(1) Has a condition defined as a disability in section 223 of the
Social Security Act;
(2) Has a developmental disability as defined in section 102 of the
Developmental Disabilities Assistance Bill of Rights Act; or
(3) Is determined to have a physical, mental, or emotional
impairment which:
(i) Is expected to be of long-continued and indefinite duration;
(ii) Substantially impedes his or her ability to live
independently; and
(iii) Is of such a nature that such ability could be improved by
more suitable housing conditions.
The term ``person with disabilities'' does not exclude persons who
have immunodeficiency syndrome (HIV/AIDS) or any conditions arising
from the etiologic agent for AIDS. In addition, no individual shall be
considered a person with disabilities, for purposes of eligibility for
low-income housing, solely on the basis of any drug or alcohol
dependence.
The definition provided above for persons with disabilities is the
proper definition for determining program qualifications. However, the
definition of a person with disabilities contained in section 504 of
the Rehabilitation Act of 1973 and its implementing regulations must be
used for purposes of reasonable accommodations.
7. Program Coordinator under the Family Self-Sufficiency (FSS)
program is someone responsible for linking FSS program participants to
supportive services. Program Coordinators will work with the Program
Coordinating Committee and local service providers to ensure that the
necessary services and linkages to community resources are

[[Page 14089]]

being made; ensuring that the services included in participants'
contracts of participation are provided on a regular, ongoing and
satisfactory basis; making sure that participants are fulfilling their
responsibilities under the contracts and that FSS escrow accounts are
established and properly maintained for eligible families. FSS
coordinators may also perform job development functions for the FSS
program.
8. Project is the same as ``low-income housing project'' as defined
in section 3(b)(1) of the United States Housing Act of 1937 (42 U.S.C.
1437 a (b)(1)) (1937 Act).
9. Secretary means the Secretary of Housing and Urban Development.
10. Tribally Designated Housing Entity (TDHE) is an entity
authorized or established by one or more Indian tribe to act on behalf
of each such tribe authorizing or establishing the housing entity.

B. Program Description

1. The FSS program provides funding for PHAs to pay for the salary
and fringe benefits of a program coordinator who will link families to
the supportive services they need to achieve self-sufficiency.
2. A PHA administering the FSS program must use a Program
Coordinating Committee (PCC) to secure the necessary resources to
implement the FSS program. A PCC is made up of representatives of
businesses, local government, job training and employment agencies,
local welfare agencies, educational institutions, childcare providers,
and nonprofit service providers, including faith-based and other
community organizations. See 24 CFR 984.202 for more information.
3. HUD is looking for applications that either build on existing
FSS programs or propose to implement a new Public Housing FSS program.
Applicants who propose to link to other ROSS-funded self-sufficiency
programs will receive five additional points (see Rating Factor 3 at
Section V.A.1.c. (1)(a)(i)).

C. Regulations Governing the FSS Program

The FSS program is governed by 24 CFR Part 984.

II. Award Information

A. Total Funding: The Department expects to award a total of
approximately $22,950,000 ($15,000,000 of appropriations and $7,950,000
of carryover) under the PH Family Self-Sufficiency program. Funding
amounts for individual grantees will be contingent upon HUD field
office approval.
B. Grant Period: One year. The grant period shall begin the day the
grant agreement and the form HUD-1044, ``Assistance Award/Amendment''
are signed.
C. Grant Extensions. Requests to extend the grant term beyond the
originally established term must be submitted in writing by the grantee
to the local HUD field office. Such requests must be done prior to
grant termination and with at least 60 days notice to give the field
office a reasonable amount of time to fully evaluate the request.
Requests must explain why the extension is necessary, what work remains
to be completed, and what was accomplished to date. Extensions may be
granted one time only by the field office for a period not to exceed
six months.
D. Type of Award: Grant agreement.

III. Eligibility Information

A. Eligible Applicants: Eligible applicants are public housing
agencies (PHAs), which administer public housing programs and tribes/
TDHEs. New and renewal applicants to the program must have an approved
FSS Action Plan on file with their local HUD field office prior to this
NOFA's application deadline.
Nonprofit organizations and resident associations are not eligible
for funding under this program.
B. Cost Sharing or Matching: There is no match requirement under
this funding program.
C. Other: 1. Threshold Requirements. Applicants must respond to
each threshold requirement clearly and thoroughly by following the
instructions below. If your application fails one threshold requirement
(regardless of the type) it will be considered a failed application.
The following are threshold requirements that are applicable to this
ROSS component:
a. Past Performance. HUD's field offices will evaluate data
provided by applicants and their past performance to determine whether
an applicant has the capacity to manage the FSS program. The area
Office of Native American Programs (ONAP) will review past performance
for tribal/TDHE submissions. For applicants required to have a contract
administrator, field offices will evaluate the contract administrator's
past performance. Using Rating Factor 1, the field office will evaluate
applicants' past performance. If applicants fail to address what is
requested in Rating Factor 1, their application will fail this
threshold and will not receive further consideration.
b. Contract Administrator Partnership Agreement. PHAs that are
troubled at the time of application are required to submit a signed
Contract Administrator Partnership Agreement. The agreement must be for
the entire grant term. The grant award shall be contingent upon having
a signed Partnership Agreement included in the application. Troubled
PHAs are not eligible to be contract administrators. Grant writers who
assist applicants prepare their FSS applications are ineligible to be
contract administrators. For more information on contract
administrators, please see the section on Program Requirements below.
Please see the General Section for instructions on how to submit the
required information with your electronic application.
c. FSS Action Plan. New applicants to the program must have a HUD
approved FSS Action Plan on file with their local HUD field (or ONAP)
office prior to this NOFA's application deadline. PHAs with previously
approved Housing Choice Voucher (HCV) FSS Action Plans may either amend
their HCV FSS Action Plan to include the FSS program or may submit a
separate FSS Action Plan for HUD field office (ONAP) approval. New PH
FSS Action Plans and amendments to existing Action Plans must be
submitted to applicants' local HUD field office well enough in advance
to ensure sufficient time for field office approval of the FSS Action
Plan prior to the NOFA deadline. FSS Action Plans must comply with 24
CFR 984.201.
d. Minimum Score for All Fundable Applications. Applications that
pass all threshold requirements and go through the ranking and rating
process, must receive a minimum score of 75 in order to be considered
for funding.
e. The Dun and Bradstreet Universal Numbering System (DUNS) Number
Requirement. Refer to the General Section for information regarding the
DUNS requirement. You will need to obtain a DUNS number to receive an
award from HUD. You will need a DUNS number to complete your Grants.gov
registration. Registration is required for electronic submission. See
the General Section for a discussion of the Grants.gov registration
process.
2. Program Requirements:
a. Hiring a FSS program coordinator. Funds awarded to PHAs under
this NOFA may only be used to employ or retain the services of a FSS
program coordinator for the one year grant term. A part-time program
coordinator may be retained where appropriate. The FSS program
coordinator must:
(1) Work with the PCC and with local service providers to ensure
that FSS

[[Page 14090]]

program participants are linked to the supportive services they need to
achieve self-sufficiency.
(2) Ensure that the services included in participants' contracts of
participation are provided on a regular, ongoing and satisfactory
basis, that participants are fulfilling their responsibilities under
the contracts and that FSS escrow accounts are established and properly
maintained for eligible families. All of these tasks should be ensured
through case management. FSS coordinators may also perform job
development functions for the FSS program.
(3) Under normal circumstances, a full-time FSS program coordinator
should be able to serve approximately 50 FSS program participants,
depending on the coordinator's case management functions.
(4) Monitor the progress of program participants and evaluate the
overall success of the program. For more information on how to measure
performance, please see Rating Factor 4 in the ``Application Review
Information'' section of this NOFA.
b. Outreach. Applicants are encouraged to reach out to persons with
disabilities who are public/Indian Housing residents and might be
interested in participating in the FSS program. Applicants should
include agencies on their FSS PCC that work with and provide services
for families with disabilities.
c. Eligible families. Current residents of public/Indian housing
are eligible. Eligible families who are currently enrolled or
participating in local public/Indian housing self-sufficiency programs
are also eligible.
d. Contract of participation. Each family that is selected to
participate in an FSS program must enter into a contract of
participation with the PHA or tribe/TDHE that operates the FSS program.
The contract shall be signed by the head of the FSS family.
e. Contract term. The contract with participating families shall be
for five years. During this time each family will be required to
fulfill its contractual obligations. PHAs or tribes/TDHEs may extend
contracts for no more than two years for any family that requests an
extension of its contract provided the PHA or tribe/TDHE finds that
good cause exists to provide an extension. This extension request must
be in writing. See 24 CFR 984.303 for more information on contracts of
participation.
f. Escrow accounts for very low or low income participating
families. Such accounts shall be computed using the guidelines set
forth in 24 CFR 984.305. Note: FSS families who are not low-income are
not entitled to an escrow/credit.
g. Number of Program Coordinators.
(1) Renewal Applicants.
(a) Maintaining Program Size. Applicants that received funding from
the Operating Fund or the 2004 FSS NOFA may apply for renewal of each
FSS coordinator position(s) that has been filled by the applicant in
either of the past two years under the Operating Fund or the 2004 FSS
NOFA.
Funding for more than one program coordinator position is
contingent upon HUD field office approval. For renewal applicants, HUD
will fund a one percent increase over the amount most recently funded
but not to exceed $65,000 for the FSS program coordinator(s) salary and
fringe benefits.
(b) Expanding Program Size. Applicants wishing to expand their FSS
program may in addition to requesting funds for their current FSS
program coordinator(s), also request funds for one additional FSS
coordinator. Note: Funding priority will be given to renewing existing
staff positions for renewal applicants and to applicants wishing to
implement a new program (see new applicants below). If sufficient
funding is available to fund expanding applicant's existing programs,
HUD will do so in accordance with the selection process under Section
V(B).
(2) New Applicants. A PHA or tribe/TDHE that has not received
funding under the Operating Fund for a FSS Program Coordinator may
apply for only one program coordinator position as follows:
(a) Up to one full-time FSS coordinator position for a PHA or
tribe/TDHE with HUD approval to administer an FSS program of 25 or more
FSS slots.
(b) Up to one full-time position per application for joint PHA/
tribe/TDHE applicants that have HUD approval to administer a total of
at least 25 FSS slots between or among them.
h. Contract Administrator. The Contract Administrator must assure
that the financial management system and procurement procedures that
will be in place during the grant term will fully comply with 24 CFR
part 85. CAs are expressly forbidden from accessing HUD's Line of
Credit Control System (LOCCS) and submitting vouchers on behalf of
grantees. Contract administrators must also assist PHAs/tribes/TDHEs to
meet HUD's reporting requirements, see Section VI.C. ``Reporting'' for
more information. Contract administrators may be: Local Housing
Agencies; community-based organizations such as Community Development
Corporations (CDCs), churches, temples, synagogues, mosques; nonprofit
organizations; State/Regional associations and organizations. Troubled
PHAs are not eligible to be contract administrators. Grant writers who
assist applicants in preparing their FSS applications are also
ineligible to be contract administrators. Organizations that the
applicant proposes to use as the contract administrator must not
violate any conflicts of interest as defined in 24 CFR Part 84 or 24
CFR Part 85.
3. Number of Applications Permitted:
a. General. Applicants may submit only one application under this
category. Applicants may submit one application for each of the other
funding categories under ROSS (Resident Service Delivery Models-Family,
Resident Service Delivery Models-Elderly/Persons with Disabilities and
Homeownership Supportive Services) and one application under the Public
Housing Neighborhood Networks grant program (tribes/TDHEs are not
eligible applicants for the Public Housing Neighborhood Networks grant
program); however, applicants must submit separate applications for
each funding category.
b. Joint applications. Two or more PHAs or tribes/TDHEs may join
together to submit an application under this NOFA. Joint applications
must designate a lead applicant. Only the lead applicant is subject to
threshold requirements as outlined in this NOFA, however both lead and
non-lead applicants are subject to the Threshold requirements outlined
in Section III. C. of the General Section. The lead applicant must be
registered with Grants.gov and submit the application using the
Grants.gov portal. The lead applicant must be registered with
Grants.gov and submit the application using the Grants.gov portal.
Applicants who submit joint applications may not also submit separate
applications as sole applicants under this NOFA.
4. Eligible Participants: All program participants must be
residents of public/Indian housing or residents of other housing
assisted with funding made available under the 2005 Appropriations Act
(e.g., residents receiving tenant-based or project-based voucher
assistance, as well as elderly and disabled residents).
5. Compliance with Program Requirements. In addition to the program
requirements specific to the FSS program, all applicants and grantees
must comply with the program requirements contained in Section III.C.
of the General Section.

[[Page 14091]]

IV. Application and Submission Information

A. Obtaining an Application Package: There is no application kit
this year. Please refer to the General Section for information on how
to submit your application electronically. Copies of this published
NOFA and application forms for this program may be downloaded from the
grants.gov web site at http://www.grants.gov/APPLY. If you have
difficulty accessing the information you may call the Grants.gov help
desk toll-free at (800) 518-GRANTS or sending an email to
Support@Grants.gov. The operators will assist you in accessing the
information.
B. Content and Form of Application Submission: 1. Application
Format: Before preparing an application to the FSS program, applicants
should carefully review the program description, ineligible activities,
threshold requirements, and the General Section. Applicants should also
review each rating factor found in the ``Application Review
Information'' section before writing a narrative response. Applicants'
narratives should be as descriptive as possible, ensuring that every
requested item is addressed. Applicants should make sure to include all
requested information, according to the instructions found in this NOFA
and where applicable, in the General Section. This will help ensure a
fair and accurate review of your application.
2. Content and Format for Submission:
a. Content of Application: Applicants must write narrative
responses to each of the rating factors described in this section.
Applicants responses must demonstrate that they have the necessary
capacity to successfully manage this grant program. Applicants should
ensure that their narratives are written clearly and concisely so that
HUD reviewers, who may not be familiar with the FSS program, may fully
understand your proposal. HUD encourages applicants to carefully review
each rating factor, the regulations governing the FSS program, 24 CFR
part 984, and the General Section prior to responding to each rating
factor.
b. Format of Application: (1) Applications may not exceed 35
narrative pages. Narrative pages must be submitted as separate
electronic files, formatted as double-spaced, single-sided documents.
Each file should have the pages numbered consecutively. Use Times New
Roman font style, and font size 12. Supporting documentation, required
forms, and certifications will not be counted toward the 35 narrative
page limit. See the General Section for information on how to submit
documents that are not in electronic format. Applicants should make
every effort to submit only what is necessary in terms of supporting
documentation. Please see the General Section for instructions on how
to submit supporting documentation with your electronic application.
(2) The following checklist has been provided to assist applicants
ensure they submit all required forms and information. Electronic
application filers should make sure the file names for their narratives
reflect the labels in the checklist. Each narrative must be in a
separate file with all the files zipped together and sent as an
attachment in the application submittal. (Note: Applicants who receive
a waiver to submit paper applications, must submit their applications
in a three-ring binder, with TABS dividing the sections as indicated
below):
TAB 1: Required Forms:
1. Acknowledgement of Application Receipt (HUD-2993), for paper
application submissions only (you must have an approval waiver to
submit a paper application);
2. SF-424 Application for Federal Assistance;
3. SF-424 Supplement, Survey on Ensuring Equal Opportunity for
Applicants;
4. Questionnaire for HUD's Initiative on Removal of Regulatory
Barriers (HUD-27300);
5. HUD-52751ROSS Fact Sheet
6. HUD-424 CB Grant Application Detailed Budget;
7. Grant Application Detailed Budget Worksheet (HUD-424-CBW);
8. HUD-2880 Applicant Disclosure/Update Report;
9. HUD-2990 Certification of Consistency with RC/EZ/EC-II Strategic
Plan (if applicable);
10. HUD-2991 Certification of Consistency with the Consolidated
Plan (if applicable);
11. Certification of Consistency with the Indian Housing Plan if
applicable (HUD-52752);
12. SF-LLL Disclosure of Lobbying Activities (if applicable);
13. SF-LLL-A Disclosure of Lobbying Activities Continuation Sheet
(if applicable);
14. HUD-2994 Client Comments and Suggestions (optional); and
15. Facsimile Transmittal (HUD-96011).
TAB 2: Threshold Requirements:
[sbull] Contract Administrator Partnership Agreement (required for
troubled PHAs) (HUD-52755)
TAB 3: Rating Factor 1 and ROSS Program Forms
1. Narrative.
2. Chart A: HUD 52756 Program Staffing.
3. Chart B: HUD 52757 Applicant/Administrator Track Record.
4. Resume(s)/Position Description(s).
TAB 4: Narrative for Rating Factor 2.
TAB 5: Rating Factor 3.
1. Narrative.
2. HUD 52767 Family Self-Sufficiency Funding Request Form.
TAB 6: Rating Factor 4 and ROSS Program Forms.
1. Narrative.
2. HUD 96010 Logic Model.
C. Submission Dates and Times: 1. Due Dates: The application
submission date is June 20, 2005. Please see the General Section for
application submission and timely receipt requirements.
2. Proof of Timely Submission. Please see the General Section for
this information. Applicants that fail to meet the deadline for
application receipt will not receive funding consideration.
D. Intergovernmental Review: Not applicable.
E. Funding Restrictions: 1. Reimbursement for Grant Application
Costs: Applicants who receive an award under this program cannot use
FSS grant funds to pay for any costs incurred with the preparation of
their FSS grant application.
2. Covered Salaries: a. Program Coordinator: All applicants may
hire a qualified program coordinator to run the grant program. The FSS
program will fund up to $65,000 in combined annual salary and fringe
benefits for a full-time program coordinator. For audit purposes,
applicants must have documentation on file demonstrating that the
salary they pay the program coordinator is comparable to similar
professions in their local area.
b. Contract Administrator: FSS funds cannot be used to hire or pay
for the services of a Contract Administrator.
c. Eligible Salaries. FSS funds may only be used for the types of
salaries described in this section according to the restrictions
described herein. FSS funds may not be used to pay for salaries of any
other kind.
3. Administrative Costs. FSS funds cannot be used to pay for
administrative costs.
4. Ineligible Activities. Grant funds may not be used for
ineligible activities. Ineligible activities include:
a. The salary of an FSS coordinator for the Housing Choice Voucher
FSS program;
b. Services for FSS program participants;
c. Elderly/Disabled Service Coordinator salary and fringe benefits;

[[Page 14092]]

d. Wages and/or salaries to participants for receiving supportive
services and/or training programs;
e. The purchase of food;
f. The purchase, lease, or rental of land;
g. New construction, materials costs;
h. Rehab or physical improvements;
i. Entertainment costs; j. Purchase, lease, or rental of vehicles;
k. Stipends;
l. Cost of application preparation; and
m. Costs that exceed limits identified in the NOFA for the
following: Program Coordinator.
n. FSS funds cannot be used to hire or pay for the services of a
Contract Administrator.
F. Other Submission Requirements: a. Electronic Delivery. Beginning
in FY2005, HUD requires applicants to submit applications
electronically through www.grants.gov/Apply. Applicants interested in
applying for funding must submit their applications electronically via
the Web site http://www.grants.gov/Apply. This site has easy to follow
step-by-step instructions that will enable you to apply for HUD
assistance. The www.grants.gov/Apply feature includes a simple, unified
application process to enable applicants to apply for grants online.
b. Waivers to the Electronic Submission Process: Applicants may
request a waiver to the electronic submission process (see Section IV.F
of the General Section for more information). Applicants who are
granted a waiver must submit their applications to: HUD Grants
Management Center (GMC), Mail Stop: Public Housing FSS Program, 501
School Street, SW., 8th floor, Washington, DC 20024. Please see the
General Section for detailed mailing and delivery instructions as the
procedures have changed significantly for this year.
c. Number of Copies. Only applicants receiving a waiver to the
electronic submission requirement must submit an original and two paper
copies of the application. One of the copies must be sent to the area
field office. See Section IV and Appendix C of the General Section for
requirements for waiver and paper copy application submission
requirements.

V. Application Review Information

A. Criteria

1. Factors for Award Used To Evaluate and Rate Applications to the
FSS program: The factors for rating and ranking applicants and maximum
points for each factor are provided below. The maximum number of points
available for this program is 102. This includes two RC/EZ/EC-II bonus
points. The SuperNOFA contains a certification that must be completed
in order for the applicant to be considered for RC/EZ/EC-II bonus
points. A listing of federally designated Empowerment Zones (EZs),
Renewal Communities (RCs), or Enterprise Communities, designated by
USDA in round II (EC-IIs), is available on HUD's Web site at http://
www.hud.gov/offices/adm/grants/fundsavail.cfm. The agency certifying to
RC/EZ/EC-II status must be identified in the listing on HUD's Web site.

Note: Applicants should carefully review each rating factor
before writing a response. Applicants should make sure their
narratives thoroughly address the Rating Factors below and to
include all requested information, according to the instructions
found in this NOFA. This will help ensure a fair and accurate
application review.

a. Rating Factor 1: Capacity of the Applicant and Relevant
Organizational Staff (45 Points)
In rating this factor, HUD will consider the extent to which the
proposal demonstrates that the applicant will have qualified and
experienced program coordinator(s) dedicated to administering the
program.
(1) Proposed Program Staffing (10 Points).
(a) Staff Experience (5 Points). The knowledge and experience of
the proposed program coordinator(s) in planning and managing programs
for which funding is being requested. Experience will be judged in
terms of recent, relevant and successful experience of the program
coordinator(s) to undertake eligible program activities. In rating this
factor, HUD will consider experience within the last 5 years to be
recent; experience similar to the functions of an FSS program
coordinator to be relevant; and experience producing specific
accomplishments to be successful. A greater amount of points will be
received based on recent and related experience proposed staff have in
successfully completing similar tasks. The following information should
be provided in order to provide HUD an understanding of proposed
staff's experience and capacity:
(i) The staff's relevant educational background and/or work
experience; and
(ii) Relevant and successful experience running programs whose
activities are similar to the FSS Program.
(b) Staff Capacity (5 Points). Applicants will be evaluated based
on whether they have staff in place or will be able to quickly access
qualified professional(s), to administer the FSS program in a timely
and effective fashion. Applicants' requesting to implement a new FSS
program or to expand their existing program must describe their ability
to immediately begin implementing an FSS program. Applicants may scan
resumes (or position descriptions where staff is not yet hired) for the
program coordinator position so they become an electronic attachment to
your Grants.gov application. Please see the General Section for
instructions on how to submit the required information with your
electronic application. (Resume(s)/position description(s) do not count
toward the 35-page limit.)
(2) Past Performance of Applicant/Contract Administrator (25
Points). Applicants' narrative must describe how they (or their
contract administrator) achieved actual results in assisting low-income
families and individuals in achieving economic self-sufficiency or
moving from welfare to gainful employment. Renewal applicants should
include facts and statistics in their narrative from past annual
performance reports and/or the FSS addendum to HUD Form 50058.
Applicants that have managed a HUD-funded FSS program for more than
five years must be able to demonstrate that families who have
participated in the FSS program for five years are actually achieving
self-sufficiency and/or have significantly increased their earned
income.
Applicants will be evaluated according to the following criteria:
(a) Achievement of specific, measurable participant outcomes in
terms of benefits gained by participating residents. (15 Points).
Applicants should describe and clearly demonstrate results their
participants have achieved through the FSS program, for example: Higher
incomes, higher rates of employment, increased savings; and moving out
of subsidized housing to market-rate housing.
(b) Describe success in attracting and keeping residents involved
in past grant-funded training programs (5 Points). HUD wants to see
that applicants' grant-funded programs benefited significant numbers of
participating residents/families;
(c) Description of timely fund expenditure throughout the term of
past grants (5 Points). Timely means regular drawdowns throughout the
life of the grant, i.e. quarterly drawdowns, with all funds expended by
the end of the grant term;
(3) Program Administration and Fiscal Management (10 Points).
(a) Program Administration and Accountability (5 Points).
Applicants

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should describe how they will manage the program and how HUD can be
sure that there is program accountability.
(b) Fiscal Management (5 Points). In rating this factor,
applicants' skills and experience in fiscal management will be
evaluated. If applicants have had any audit or material weakness
findings in the past five years, they will be evaluated on how well
they have addressed them. Applicants must provide the following:
(i) A complete description of their fiscal management structure,
including fiscal controls currently in place including those of a
contract administrator for applicants required to have a contract
administrator, (troubled PHAs);
(ii) Applicants must list any audit findings in the past five years
(HUD Inspector General, management review, fiscal, etc.), material
weaknesses and what has been done to address them;
(iii) Applicants who are required to have a contract administrator,
must describe the skills and experience the contract administrator has
in managing federal funds.
b. Rating Factor 2: Need (10 Points)
In responding to this factor, you will be evaluated on the extent
to which you describe and document the level of need for an FSS program
coordinator in the communities you serve.
In responding to this factor, you must include:
(1) Socioeconomic Profile (5 points). A socioeconomic profile of
the eligible residents to be served by your program, including
education levels, income levels, the number of single-parent families,
etc.
(2) Number of People to Be Served (5 points). Renewal applicants
must provide the number of people being served and whether they will
fill slots left by graduating participants. New applicants must provide
the number of slots they will fill. Applicants applying to expand their
FSS program, must provide the number of slots they will add to their
program.
c. Rating Factor 3: Soundness of Approach (30 Points)
In rating this factor HUD will consider:
(1) Quality of Your Proposal (26 points). This factor evaluates
your application based on the following criteria:
(a) Scope of Services (12 points). Your narrative should refer to
the FSS Action Plan submitted to your local HUD field office and it
must describe how many people you plan to serve, whether you will
expand your program over time, and how your program will:
(i) Link with other ROSS-funded self-sufficiency programs; (5
points)
(ii) Involve community partners in the delivery of services; (4
points) and
(iii) Link to comprehensive services versus a small range of
services geared toward enhancing economic opportunities for residents
(3 points).
(b) Feasibility and Demonstrable Benefits (10 points). This factor
examines whether your proposal is logical, feasible and likely to
achieve its stated purpose during the term of the grant. HUD's desire
is to fund applications that will quickly produce results and advance
the purposes of the FSS program.
(i) Timeliness (5 Points). This subfactor evaluates whether your
proposal is ready to be implemented shortly after grant award, but not
to exceed three months following the execution of the grant agreement.
Your proposal must indicate timeframes and deadlines for accomplishing
major activities.
(ii) Description of the problem and solution (5 Points). Your
proposal will be evaluated based on how well your proposal and approach
to case management address the needs described in Rating Factor 2.
(c) Salary Appropriateness/Efficient Use of Grant (4 Points). You
will be evaluated based on whether the salary you propose for the
program coordinator is comparable to similar professions in your local
area. In addition, your narrative must justify the salary you propose
to pay the program coordinator by using local pay rates for comparable
professions.
(d) Ineligible Activities. Two points will be deducted for each
ineligible activity proposed in the application, as identified in
Section IV (E). For example, you will lose 2 points if you propose
costs that exceed the limits identified in the NOFA for a Project
Coordinator.
(2) Addressing HUD's Policy Priorities (4 points). HUD wants to
improve the quality of life for those living in distressed communities.
HUD's grant programs are a vehicle through which long-term, positive
change can be achieved at the community level. Your proposal will be
evaluated based on how well it meets the following HUD policy
priorities:
(a) Improving the Quality of Life in Our Nation's Communities (1
point). In order to receive points in this category, your narrative
must indicate how your FSS program will help residents successfully
transition from welfare to work and earn higher wages.
(b) Providing Full and Equal Access to Grassroots Faith-Based and
Other Community-Based Organizations in HUD Program Implementation (1
point). HUD encourages applicants to partner with grassroots
organizations, e.g., civic organizations, grassroots faith-based and
other community-based organizations. These grassroots organizations
have a strong history of providing community services such as
developing first-time homeownership programs, creating economic
development programs, providing job training and other supportive
services. In order to receive points under this factor, your narrative
must describe how you will work with these organizations and what types
of services they will provide.
(c) Policy Priority for Increasing the Supply of Affordable Housing
Through the Removal of Regulatory Barriers to Affordable Housing (up to
2 points). Under this policy priority, higher rating points are
available to: (1) Governmental applicants that demonstrate successful
efforts in removing regulatory barriers to affordable housing, and (2)
nongovernmental applicants undertaking activities in jurisdictions that
have carried out successful efforts in removing barriers. For
applicants to obtain the policy priority points for efforts to
successfully remove regulatory barriers, applicants would have to
complete form HUD 27300, ``Questionnaire for HUD's Initiative on
Removal of Regulatory Barriers.'' A copy of HUD's Notice entitled
America's Affordable Communities Initiative, HUD's Initiative on
Removal of Regulatory Barriers: Announcement of Incentive Criteria on
Barrier Removal in HUD's 2004 Competitive Funding Allocations'' can be
found on HUD's Web site at http://www.hud.gov/grants/index.cfm. The
information and requirements contained in HUD's regulatory barriers
policy apply to this FY 2005 NOFA. A description of the policy priority
and a copy of form HUD 27300 can be found in the General Section
Applicants are encouraged to read the Notice as well as the General
Section to obtain an understanding of this policy priority and how it
can impact their score. A number of questions expressly request the
applicant to provide brief documentation with their response. Other
questions require that for each affirmative statement made, the
applicant must supply a reference, URL, or a brief statement indicating
where the back-up information may be found, and a point of contact,
including a telephone number and/or e mail address. The electronic copy
of the HUD 27300 has space to identify a URL or reference that the
material is being scanned and

[[Page 14094]]

attached to the application as part of the submission or faxed to HUD
following the facsimile submission instructions.
d. Rating Factor 4: Achieving Results and Program Evaluation (15
Points)
(1) An important element in this year's NOFA is the development and
reporting of performance measures and outcomes. This factor emphasizes
HUD's determination to ensure that applicants meet commitments made in
their applications to help families achieve true self-sufficiency.
Applicants must demonstrate how they propose to measure their success
and outcomes as they relate to the Department's Strategic Plan.
(2) HUD requires FSS applicants to develop an effective,
quantifiable, outcome-oriented plan for measuring performance and
determining that goals have been met. Applicants must use the Logic
Model form (HUD-96010) for this purpose.
(3) Applicants must establish interim benchmarks, or outputs, for
their proposed program that lead to the ultimate achievement of
outcomes. ``Outputs'' are the direct products of a program's
activities. Examples of outputs are: the number of eligible families
that participate in supportive services, the number of families
enrolled, the number of families with increased earned income, the
number of families who have left assisted housing altogether, or the
number of households that develop an escrow account. ``Outcomes'' are
benefits that the residents, families and/or communities have accrued
during or after participation in the FSS program. Applicants must
clearly identify the outcomes to be achieved and measured. Examples of
outcomes are: increasing residents' financial stability (e.g.,
increasing assets of a household through savings or escrow), increasing
the number of FSS graduates, or increasing employment stability (e.g.,
whether persons assisted obtain or retain employment for one or two
years after job training completion). Outcomes are not the actual
development or delivery of services or program activities.
(4) This rating factor requires that applicants identify program
outputs, outcomes, and performance indicators that will allow HUD and
applicants to measure performance and accountability. Performance
indicators should be objectively quantifiable and measure actual
achievements against anticipated achievements. Applicants' narrative
and Logic Model should identify what applicants are going to measure,
how they are going to measure it, and the steps they have in place to
make adjustments to their work or management practices if performance
targets begin to fall short of established benchmarks and timeframes.
Applicants must include the standards, data sources, and measurement
methods they will use to measure performance.
(5) In order to respond to this factor, applicants should use the
sample performance measures (HUD-52758) located in the Appendix as a
guide. Applicants will be evaluated based on how they propose to
measure their program's outcomes, e.g. whether the Logic Model tracks
activities and outcomes resulting from the proposed activities, whether
the Logic Model identifies evaluation tools and sources, and whether
the Logic Model provides output and outcome information for the short,
medium and long-term.

B. Review and Selection Process

1. Review Process: Four types of reviews will be conducted: a
screening to determine if you are eligible to apply for funding under
the FSS grant category; whether your application submission is
complete, on time and meets the threshold requirements; a review by the
field office (or ONAP) to evaluate past performance and whether there
is an approved FSS Action Plan on file with the field office; and a
technical review to rate your application based on the four rating
factors provided in this NOFA.
2. Selection Process: The selection process is designed to achieve
geographic diversity of grant awards throughout the country. HUD will
first select the highest ranked application from each of the ten
federal regions and DPONAP for funding. After this ``round,'' HUD will
select the second highest ranked application in each of the ten federal
regions (the second round). HUD will continue this process with the
third, fourth, and so on, highest ranked applications in each federal
region and DPONAP until the last complete round is selected for
funding. If available funds exist to fund some but not all eligible
applications in the next round, HUD will make awards to those remaining
applications in rank order (by score) regardless of region and DPONAP
and will fully fund as many as possible with remaining funds. If
remaining funds are too small to make an award, they may be transferred
to another ROSS funding category.
3. Tie Scores. In the event of a tie between two applications from
the same region, HUD will select the application that was received
first.
4. Deficiency Period. Applicants will have fourteen calendar days
to provide missing information requested from HUD. For other
information on correcting deficient applications, please see the
General Section.

VI. Award Administration Information

A. Award Notices: HUD will make announcements of grant awards after
the rating and ranking process is completed. Grantees will be notified
by letter and will receive instructions for the steps they must take to
access funding and begin implementing grant activities. Applicants who
are not funded will also receive letters via U.S. postal mail.
B. Debriefings: Applicants who are not funded may request a
debriefing. Applicants requesting to be debriefed must send a written
request to: Iredia Hutchinson, Director, Grants Management Center, 501
School Street, SW., Suite 800, Washington, DC 20024. See the General
Section for additional information on debriefings.
C. Administrative and National Policy Requirements: 1.
Environmental Impact. No environmental review is required in connection
with the award of assistance under this NOFA. The reason being the NOFA
only provides funds for employing a coordinator who provides public and
supportive services and/or a contract administrator who provides
administrative and management services. Theses services listed above
are categorically excluded from environmental review under the National
Environmental Policy Act of 1969 (42 U.S.C. 4321) and not subject to
compliance actions for related environmental authorities under 24 CFR
50.19(b)(3), (4) and (12).
2. Applicable Requirements. Grantees are subject to regulations and
other requirements found in:
a. OMB Circular A-87 ``Cost principles for State, Local, and Indian
Tribal Governments'';
b. OMB Circular A-133 ``Audits of States, Local Governments, and
Non-Profit Organizations'';
c. HUD Regulations 24 CFR Part 984 ``Section 8 and Public Housing
Family Self-Sufficiency Program''; and
d. HUD Regulations 24 CFR Part 85 ``Administrative Requirements for
Grants and Cooperative Agreements to State, Local, and Federally
Recognized Indian Tribal Governments''.
3. Economic Opportunities for Low- and Very Low-Income Persons
(Section 3). Applicants and grantees must also comply with Section 3 of
the Housing and Urban Development Act of 1968, 12 U.S.C. 1701u and
ensure that training, employment, and other economic opportunities
shall, to the greatest extent feasible, be directed toward low and very
low-income persons, particularly those who are recipients of government
assistance for housing and

[[Page 14095]]

to business concerns which provide economic opportunities to low and
very low-income persons.
4. Fair Housing and Civil Rights Laws. Applicants and their
subrecipients must comply with all Fair Housing and Civil Rights laws,
statutes, regulations, and Executive Orders as enumerated in 24 CFR
5.105(a), as applicable. Please see the General Section for more
information.
5. Provision of Services to Individuals with Limited English
Proficiency (LEP). Successful applicants and grantees must seek to
provide access to program benefits and information to LEP individuals
through translation and interpretive services in accordance with HUD's
LEP Recipient Guidance 68 FR 70968.
6. Communications. Successful applicants should ensure that notices
of and communications during all training sessions and meetings be
effective for persons who have hearing and/or visual disabilities
consistent with Section 504, see 24 CFR Part 8.6.
D. Reporting: 1. Semi-Annual Performance Reports. Grantees shall
submit semi-annual performance reports to the field office. These
progress reports shall include financial reports (SF-269A or its
successor), the Logic Model showing achievements to date against
proposed outputs and outcomes, and your evaluation procedures and
activities undertaken to ensure that the project remains on schedule,
within budget and that you are achieving the goals established. A
narrative describing milestones, work plan progress, and problems
encountered and methods used to address these problems must also be
included. HUD anticipates that some of the reporting of financial
status and grant performance will be through electronic or Internet-
based submissions. Grantees shall use quantifiable data to measure
performance against goals and objectives outlined in their Logic Model.
Applicants that receive awards from HUD should be prepared to report on
additional measures that HUD may designate at time of award.
Performance reports are due to the field office on July 30 and January
31 of each year. If reports are not received by the due date, grant
funds will be suspended until reports are received.
2. Reporting Using HUD-50058 Addendum. Grantees must also report on
PH FSS program participants to PIC using the HUD-50058 addendum to
report on the enrollment, progress, and exit of individual families.
Failure to report to PIC is a violation of the program and may result
in grant termination.
3. Final Report. All grantees shall submit a final report to their
local field office. This will include a financial report (SF-269A or
its successor) and a narrative evaluating overall performance against
goals. Grantees shall use quantifiable data to measure performance
against goals and use the Logic Model as part of their final report
submission. The financial report shall contain a summary of salary
expenditures made from the beginning of the grant agreement to the end
of the grant agreement and shall include any unexpended balances. The
final narrative, Logic Model, and financial report shall be due to the
field office 90 days after the termination of the grant agreement.

VII. Agency Contact(s)

VIII. Other Information

A. Code of Conduct: See the General Section for more information.
B. Transfer of Funds. If transfer of funds from any of the ROSS
programs does become necessary, HUD will give first priority to
Homeownership Supportive Services, second priority to Family Self-
Sufficiency, third priority to RSDM--Family, and fourth priority to
RSDM--Elderly/Disabled. HUD does not have the discretion to transfer
funds for the Neighborhood Networks program to any other funding
category under ROSS.
C. Paperwork Reduction Act: The information collection requirements
contained in this document have been approved by the Office of
Management and Budget (OMB) under the Paperwork Reduction Act of 1995
(44 U.S.C. 3501-3520) and assigned OMB control number 2577-0229. In
accordance with the Paperwork Reduction Act, HUD may not conduct or
sponsor, and a person is not required to respond to, a collection of
information unless the collection displays a currently valid OMB
control number. Public reporting burden for the collection of
information is estimated to average eight hours per annum per
respondent for the application and grant administration. This includes
the time for collecting, reviewing, and reporting the data for the
application, semi-annual reports and final report. The information will
be used for grantee selection and monitoring the administration of
funds. Response to this request for information is required in order to
receive the benefits to be derived.
D. Appendix of Forms. The forms specific to the FSS under the ROSS
Program follow.

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Housing Opportunities for Persons With AIDS (HOPWA) Overview
Information

A. Federal Agency Name: Department of Housing and Urban
Development, Office of Community Planning and Development (CPD), Office
of HIV/AIDS Housing.
B. Funding Opportunity Title: Housing Opportunities for Persons
With AIDS (HOPWA).
C. Announcement Type: Initial Announcement

[[Page 14110]]

D. Funding Opportunity Number: The Federal Register number for this
NOFA is: FR-4900-N-14. The OMB approval number for this program is
2506-0133.
E. Catalog of Federal Domestic Assistance (CFDA) Numbers: 14.241
Housing Opportunities for Persons With AIDS Program.
F. Dates: The application submission date is on May 27, 2005 for
the Renewal of expiring HOPWA permanent supportive housing projects and
for New and Continuing HOPWA applications. Refer to the General Section
for application submission and timely receipt requirements.
G. Additional Overview Information:
1. Purpose of the Program: To provide States and localities with
the resources and incentives to devise Long-term comprehensive
strategies for meeting the housing and related supportive service needs
of low-income persons with Human Immunodeficiency Virus/Acquired
Immunodeficiency Syndrome (HIV/AIDS) and their families. Grant
recipients will measure client outcomes to assess how housing
assistance results in creating or maintaining stable housing, reduces
risks of homelessness, and improves access to healthcare and other
needed support. States, units of general local government, and
nonprofit organizations interested in applying for funding under this
grant program should carefully review the General Section and detailed
information listed in this Program NOFA. There is no separate
Application Kit for this Program NOFA.
2. Available Funds. Approximately $27,925,000 in FY2005 funding is
made available along with approximately $9,052,000 in remaining FY2004
funds. These amounts may be adjusted based on the approved
appropriations for the Department's HOPWA program for Fiscal Year 2005.
The Department's 2004 SuperNOFA, published on May 14, 2004, stated that
HUD would issue a Notice at a later date to award any remaining 2004
HOPWA competitive funds for new and continuing projects. The selection
of the 2004 Renewals for permanent supportive housing projects was made
on October 25, 2004 for the award of $20,175,475 to 22 eligible
projects. The remaining amount of approximately $9,052,000 is being
made available through this Notice.
This Notice makes available funding for three types of HOPWA
competitive grants: (1) Renewals of expiring HOPWA projects that
conduct permanent supportive housing activities (Renewals); (2) new
awards for permanent supportive housing activities to be conducted by
States and units of general local government that are not eligible to
receive HOPWA formula allocations (Long-term projects); and (3) awards
for new and continuing Special Projects of National Significance (SPNS)
demonstration projects that will undertake new housing service delivery
models or housing project activities that include plans to provide
HOPWA clients with permanent housing assistance by the end of the
operating period.
Remaining FY2004 funds will be made available for new long-term
projects and, if funds remain, for new and continuing SPNS
demonstration projects, in the order of their ranking in their category
of grants.
FY2005 funds will be made available in the following priority
order: (1) Renewal of expiring HOPWA grants providing permanent
supportive housing as described in Renewal of Permanent Supportive
Housing Grants; (2) and if FY2005 funds remain, new awards for long-
term projects; and (3) then awards for new and continuing Special
Projects of National Significance (SPNS) demonstration projects.
3. Eligible Applicants. States, units of general local government,
and nonprofit organizations may apply for HOPWA competitive funding
under this Program NOFA. Eligibility requirements are contained below.
4. Match. There are no cost sharing or matching requirements for
applications under this program NOFA. However, requests to fund
projects under this Program NOFA will be reviewed for leveraging, see
Section IV.B.
5. Authorities. If you are interested in applying for funding under
this program, please review carefully the General Section and the
following sections of this Program NOFA. For more information on
eligible activities under the HOPWA Program, see the HOPWA program
regulations at 24 CFR part 574 and the AIDS Housing Opportunity Act (42
U.S.C. 12901-12912), which govern the program.

Full Text of Announcement

Funding Opportunity Description

A. Program Description

1. Renewal of Permanent Supportive Housing Grants. Under the
Department's Appropriations Act, the Secretary is required to renew
qualifying expiring contracts for permanent supportive housing. HUD
will renew previously funded competitive grants that meet the
eligibility requirements below and all program requirements.
Applications will be reviewed on a pass/fail threshold review system
and are not required to address the Department policy priorities
described in the General Section.
2. New Long-Term Projects for Permanent Supportive Housing. HUD
will award funds for permanent supportive housing activities through a
competitive selection process for new Long-term projects that provide
housing and related supportive services to low-income persons living
with HIV/AIDS and their families in areas that are not eligible for
HOPWA formula allocations.
3. New and Continuing SPNS Demonstration Grants. HUD will award new
and continuing Special Projects of National Significance (SPNS)
demonstration grants through a competitive selection process. SPNS
demonstration projects will undertake new housing service delivery
models or housing project activities that include plans to provide
HOPWA clients with permanent housing assistance by the end of the
operating period under the award. Consistent with the selection
considerations established at 42 U.S.C. 12903(c)(3)(C), demonstration
projects will help show program successes or lessons learned in
planning, operating and evaluating an innovative type of service
delivery model for the purposes of demonstrating potential
replicability in the HOPWA program, in addition to other housing
programs throughout the nation.
For purposes of this Program NOFA, ``New and Continuing projects''
refers to new Long-term projects and new and continuing SPNS
demonstration projects collectively.
4. Definitions for all HOPWA grants.
a. Chronically Homeless Person. A chronically homeless person is
defined as an unaccompanied homeless individual with a disabling
condition who has either been continuously homeless for a year or more
OR has had at least 4 episodes of homelessness in the past 3 years. A
disabling condition is defined as a diagnosable substance abuse
disorder, serious mental illness, developmental disability, or chronic
physical illness or disability, including the co-occurrence of two or
more of these conditions.
b. Long-term Project. The term ``Long-term Project'' refers to
projects established by State or local government applicants that are
part of Long-term Comprehensive Strategies (Long-term) which provide
housing and related supportive services for low-income persons living
with HIV/AIDS and their families in areas that are not eligible for
HOPWA formula allocations.
c. SPNS Demonstration Grant or Project. The term SPNS demonstration
grant refers to Special Projects of National Significance (SPNS) awards
for

[[Page 14111]]

new housing project activities or service delivery models for providing
housing assistance to eligible persons. In conjunction with these
activities, SPNS demonstration projects must include specific plans to
provide HOPWA clients with permanent housing assistance by the end of
the operating period under the award. SPNS demonstration grants will
only be awarded to transitional, short-term and emergency housing
projects. Funding for SPNS demonstration projects is provided on a one-
time only basis. These projects do not provide permanent supportive
housing and, therefore, will not be eligible for renewal under the
current criteria for permanent supportive housing projects. HOPWA
support for participants is expected to terminate as they become more
self-sufficient, move to or benefit from permanent housing programs, or
establish stable permanent housing through other means.
d. Expiring Grant is defined by the end date in the grant agreement
signed with HUD on the existing project (including any amendment or
extension approved by HUD) which results in an existing agreement
expiring in Federal Fiscal Year 2005 (i.e., from October 1, 2004 to
September 30, 2005), or will expire within 18 months after the date of
the publication of this Program NOFA.
e. Lease or Occupancy Agreement. In establishing that an eligible
person has obtained permanent supportive housing and a legal right to
continue in that housing unit, the lease or occupancy agreement must be
for a term of at least one year. The lease or occupancy agreement must
also be automatically renewable upon expiration, except on reasonable
prior notice by either the tenant or the landlord.
f. Nonprofit Organization. Non-profit organization means any non-
profit organization (including a State or locally chartered, nonprofit
organization) that: (1) Is organized under State or local laws; (2) Has
no part of its earnings inuring to the benefit of any member, founder,
contributor or individual; (3) Has a functioning accounting system that
is operated in accordance with generally accepted accounting
principles, or has designated an entity that will maintain such an
accounting system; and (4) Has among its purposes significant
activities related to providing services or housing to persons with
acquired immunodeficiency syndrome or related diseases, as clarified to
include infection with the human immunodeficiency virus (HIV).
g. Permanent Supportive Housing. Permanent supportive housing is
defined as housing in which the eligible person has a continuous legal
right to remain in the unit and which provides the eligible person
ongoing supportive services through qualified providers. HUD will
consider a grant to provide permanent supportive housing if 51 percent
or more of HOPWA program activity funds are used: (1) To provide for
the development or operation of permanent housing or rental assistance
for permanent housing units where ongoing supportive services are made
available through other leveraged resources; and (2) to provide for
supportive services for residents in permanent housing; or (3) in some
combination of these.
As provided in Section III.C.2.(i), ``Grant Purpose and Agreements
to Operate Eligible Permanent Supportive Housing Grants'', you must
include in your grant files a copy of the standard lease form or
occupancy agreement used for residents of the project. The lease or
occupancy agreement must meet the definition for such agreements
provided above. Failure to maintain this project documentation of the
client's lease or occupancy agreement will constitute a grant default.
The requirements governing termination of housing are located in 24 CFR
574.310(e).
h. Transitional Housing. For purposes of this notice, the term
``transitional housing'' means housing, the purpose of which is to
facilitate the movement of eligible person(s) to permanent housing
within 24 months. The eligible person(s) may remain in transitional
housing for a longer period if permanent housing for the eligible
person(s) has not been located or the eligible person(s) requires
additional time to prepare for independent living. However, no more
than half of the eligible persons may remain in that project longer
than 24 months. Failure to observe this requirement may constitute a
grant default, which could result in grant sanctions (including
deobligation).

B. Statutory and Regulatory Requirements

If you are interested in applying for funding under this program,
please review carefully the General Section and this Program NOFA. For
more information on the HOPWA program, including eligible uses of
funds, see the HOPWA program regulations at 24 CFR part 574 and the
AIDS Housing Opportunity Act (42 U.S.C. 12901-12913), which govern the
program.

C. Availability of Other HOPWA Resources

1. Formula Allocations. Applicants are advised to also consider
seeking funds from the formula component of the HOPWA program and from
other resources. Ninety percent of the HOPWA program is allocated by
formula to eligible States and qualifying cities. In FY2005, HUD
expects that the approximately $251 million in HOPWA funds will be
distributed by formula to the qualifying cities for 83 eligible
metropolitan statistical areas (EMSAs) and to 39 eligible States for
areas outside of EMSAs. The formula amounts are subject to the amounts
approved by Congress for Fiscal Year 2005. Recipients of formula funds
must follow HUD's Consolidated Plan process. Information on
consolidated planning, including HOPWA formula programs and
descriptions of previously awarded competitive grants, is available on
the HUD Web site at www.hud.gov/grants.
2. National HOPWA Technical Assistance. To apply for funding to
serve as a provider of HOPWA technical assistance, you must submit an
application for funds under the Community Development Technical
Assistance (CDTA) part of the SuperNOFA. The CDTA notice makes HOPWA
funds available to organizations qualified to provide technical
assistance support to HOPWA grantees and project sponsors.
Organizations seeking help in managing their HOPWA project, such as
advice or other help needed in planning, operating, reporting to HUD
and evaluating HOPWA programs, can request technical assistance by
contacting their State or area CPD office.

II. Award Information

A. Total. Approximately $27,925,000 in FY2005 funding along with
approximately $9,052,000 in carry-over FY2004 funds will be awarded
under this HOPWA Program NOFA.
B. Number and Timing of Awards. HUD anticipates that projects
awarded under this Notice will be announced by August 30, 2005. It is
expected that selected Renewal Projects will continue program
activities under a new grant agreement for an additional three years.
The start date for the new agreement shall be immediately following the
end date of the existing agreement so there is continuity of service.
The period of performance for new Long-term projects is three years,
with the potential for HUD approval of a one-time extension of up to 12
months. These grants may be eligible for Renewal as expiring permanent
supportive housing projects.

[[Page 14112]]

The period of performance for new and continuing SPNS demonstration
projects is three years, with the potential for HUD approval of a one-
time extension of up to 12 months. These grants do not provide
permanent supportive housing and, therefore, will not be eligible for
Renewal under the current criteria for permanent supportive housing
projects.
C. Maximum Grant Award. In order to fairly distribute available
funding, the maximum grant award that you may receive is:
1. For program activities: $1,300,000 (e.g., activities that
directly benefit eligible persons);
2. For grant administrative costs of the grantee: 3 percent of the
awarded grant amount (e.g., an additional $39,000 if the maximum grant
is awarded);
3. For grant administrative costs for project sponsors: 7 percent
of the amounts received by the project sponsor under the grant (e.g.,
an additional $91,000 if the maximum grant is awarded);
4. Total maximum grant amount for all categories of grant awards
under this NOFA is: $1,430,000.
D. Average Grant Award. Based on the results of the 2004 HOPWA
competition, the average grant award for the 22 grants selected was
$916,600.

III. Eligibility Information

A. Eligible Applicants

1. Eligibility for Funding to Nonprofit Organizations. If you are a
nonprofit organization, you must also satisfy the nonprofit
requirements established in the definition for eligible nonprofit
organization found in 24 CFR 574.3 and in the definitions section of
this Program NOFA. In the case that a nonprofit organization is being
added to your Renewal project in your application, or a sponsor's legal
status has changed due to merger or other action, you will also need to
submit the related required information described in Section IV.B of
this Program NOFA.
2. General Eligibility for Renewal of Expiring Grants for Permanent
Supportive Housing. Eligible applicants are States, units of general
local government, and nonprofit organizations that have been awarded
funds under a previous HOPWA national competition and operated their
projects under a signed grant agreement with HUD. To be eligible, your
project must provide permanent supportive housing to eligible persons
under an expiring grant and meet the threshold requirements established
under this Program NOFA to continue to receive funding for your
project.
3. Additional Eligibility for Renewal and Continuing Projects. To
be eligible for a Renewal or continuing grant, you must be operating
your existing HOPWA competitive project in a manner that meets program
requirements. This is evidenced by not having a record of poor
performance or unresolved grants management issues with your existing
project. HUD will consider any evidence of poor performance taking
place up to the date of the public announcement of awards under this
NOFA. Unresolved problems may include: HUD knowledge that planned
activities remain significantly delayed in their implementation; a
significant number of planned housing units are vacant; required annual
progress reports are not timely filed with HUD; unresolved actions
pending under a HUD notice of default on your current grant or
significant citizen complaints are unresolved or not responded to with
justified reasons. Weak performance may also be evident if more than 50
percent of grant funds remain recorded as unexpended as of the
application due date for Renewals under this Program NOFA, as measured
by reimbursements filed with HUD's financial system.
4. General Eligibility on New and Continuing Applicants and
Sponsors. States, units of general local government, and nonprofit
organizations may apply under the Special Projects of National
Significance (SPNS) demonstration grants category to propose new or
continuing projects which will provide residents with permanent housing
assistance by the end of their operating period.
However, States and units of general local government are
encouraged to apply under the ``Long-term'' category, if the project
entails new permanent supportive housing activities in areas that did
not receive HOPWA formula allocations in FY2004 or are not designated
to receive allocations in FY2005. Applicants under the Long-term
category of grants will be reviewed, rated, and ranked with other
applications under this funding category. Nonprofit organizations are
not eligible to apply directly for Long-term grants, but may serve as a
project sponsor for an eligible State or local government applicant.

B. Cost Sharing or Matching

There are no cost sharing or matching requirements for applications
under this program NOFA. However, requests to fund projects under this
Program NOFA will be reviewed for leveraging, see Section IV.B.
paragraphs 3.e. for renewals and 4.f. for new and continuing projects.

C. Other Eligibility Requirements

1. Threshold Requirements for All Applications. Applicants must
meet the Threshold requirement identified in the General Section. HUD
will also review your application to determine that you are eligible
for funding, as follows:
a. Eligible Applicant. (1) Your application is consistent with the
requirements of Section III of this Program NOFA for eligibility based
on applicant requirements, project sponsor requirements and the lack of
any unresolved management issues for Renewal and continuing grants; and
(2) Your application complies with the Dun and Bradstreet Data
Universal Numbering System (DUNS) Number Requirement. Beginning in
Federal Fiscal Year 2004, any applicant seeking funding directly from
HUD must obtain a DUNS number and include it in their SF-424
Application for Federal Assistance submission. Failure to provide a
DUNS number can prevent you from obtaining an award. This policy is
pursuant to OMB Policy issued in the Federal Register on June 27, 2003
(68 FR 38402). The Grants.gov registration process for applying on line
requires the applicant have a DUNS number to be authenticated. More
information on the requirement of the DUNS Number can be found in the
General Section.
b. Expiring Grants. For a Renewal or continuing grant, your
application is consistent with the definition for a HOPWA expiring
grant in Section I.A. of this Program NOFA.
c. Permanent Supportive Housing Projects. For a Renewal or new
Long-term project, your application is consistent with the definition
for a HOPWA permanent supportive housing grant in Section I.A of this
Program NOFA.
d. Eligible Project Sponsors. Your application is consistent with
the requirements for eligibility of project sponsors, as follows:
If the project sponsor is a nonprofit organization, that
organization must also satisfy the nonprofit requirements established
in the definition of eligible nonprofit organization found in 24 CFR
574.3 and in the definition section of this Program NOFA. In the case
that the organization's nonprofit status has changed since the time of
your original application to HUD under the prior competition, or a
nonprofit organization is being added to your Renewal or New and
Continuing project, you will need to submit the required information

[[Page 14113]]

described in Section IV.B. of this Program NOFA.
To the maximum extent possible, the Renewal project should continue
with the same project sponsors, as documented in the prior HOPWA award
or amendments to that award as approved by HUD. HUD will consider the
merits for changing a project sponsor as sufficient if the new sponsor
evidences the capacity to enhance project operations or improve
responsiveness to eligible persons. Such examples for changing a
project sponsor may be that a new project sponsor has greater
management, financial, or program service delivery capacity to conduct
program activities or a prior project sponsor is no longer in
operation, had evidence of inefficient or unresponsive behavior under
their prior service, or has merged with another entity.
2. Program Requirements. All grant recipients must also meet the
following program requirements, including performance goals and
operational benchmarks and conduct project activities in a consistent
and ongoing manner over the approved grant operating period. If a
selected project does not meet the appropriate requirement, HUD
reserves the right to cancel or withdraw the grant funds.
a. General Provisions. The provisions outlined within the General
Section apply to the HOPWA program unless otherwise stated within this
Program NOFA. Specifically, you are encouraged to review, Section
III.C., Other: Requirements and Procedures Applicable to All Programs.
b. Environmental Requirements. All HOPWA assistance is subject to
the National Environmental Policy Act and applicable related Federal
environmental authorities. While some eligible activities, such as
tenant-based rental assistance, supportive services, operating costs,
and administrative costs, are excluded from environmental review
because of the lack of environmental impact, other activities require
environmental review. All new facility-based projects must undergo an
environmental review. In accordance with Section 856(h) of the AIDS
Housing Opportunities Act and the HOPWA regulations at 24 CFR 574.510,
environmental reviews for HOPWA activities are to be completed by
responsible entities (including units of general local government,
States, Indian tribes, and Alaska Native villages) in accordance with
24 CFR part 58. Applicants or grantees that are not a responsible
entity must request the unit of general local government to perform the
environmental review. HOPWA grantees and project sponsors may not
commit or expend any grant or non-federal funds on project activities
until HUD has approved a ``Request for Release of Funds and
Certification'' (RROF), form HUD-7015.15, on compliance with the
National Environmental Policy Act and implementing regulations at 24
CFR part 58 (Environmental Review Procedures for Entities Assuming HUD
Environmental Responsibilities) and the environmental certification
from the responsible entity (other than those listed in 24 CFR
58.22(f), 58.34 or 58.35 (b) for which the responsible entity documents
its findings of exemption or exclusion for the environmental review
record (24 CFR 58.34 (b) or 24 CFR 58.35 (d)). The recipient, its
project partners and their contractors may not acquire, rehabilitate,
convert, lease, repair, dispose of, demolish, or construct property for
a project, or commit or expend HUD or local funds for such eligible
activities, until the responsible entity (as defined in 58.2) has
completed the environmental review procedures required by 24 CFR part
58 and the environmental certification and RROF have been approved. HUD
will not release grant funds if the recipient or any other party
commits grant funds (i.e., incurs any costs or expenditures to be paid
or reimbursed with such funds) before the recipient submits and HUD
approves its RROF (where such submission is required). The recipient
shall supply all available, relevant information necessary for the
responsible entity to perform, for each property, any environmental
review required.
c. Required HOPWA Performance Goals. Grant recipients must conduct
activities consistent with their planned annual housing assistance
performance output goals, objectively measure actual achievements
against anticipated achievements, and report on their actual
performance housing outputs and client outcomes. Applicants are
requested to use the HOPWA Budget Form found in the appendices in this
Program NOFA for recording the funding for housing assistance
activities that are associated with these performance outputs,
including any funding request for HOPWA funds and/or your commitment to
use other funds for this purpose. Applicants must establish a
reasonable client outcome goal on achieving housing stability to be
quantified after each year of operation to demonstrate client outcomes.
HUD expects that each HOPWA grantee will show that at least half of the
beneficiaries achieve stable housing in their program during the
operating year, as shown by stable housing arrangements for the
household at the end of each operating year. The grantee will assist in
establishing a baseline on annual performance to help measure how
future efforts lead to the achievement of higher levels of housing
stability. On a national basis, HUD has established the goal that over
80 percent of clients will be shown to be in stable housing situations
by 2008.
(1) Required Output. The projected number of low-income households
with persons living with HIV/AIDS expected to benefit from HOPWA
assistance by the type of housing support to be provided through your
project during each operating year.
(2) Required Outcome. Through the use of HOPWA housing assistance
and related supportive services, the number of eligible persons shown
annually to have established or maintained housing stability, along
with reduced risks of homelessness, and improved access to healthcare,
and other support for eligible persons.
d. Optional Program Performance Goals. (1) Optional Outputs. In
addition to required performance goals described in the paragraph
above, you may include other measures or annual indicators, such as the
projected numbers of persons, client contacts by service, the number of
permanent housing client plans established by case managers, the number
of jobs created through a job training or skills development program or
other measures of the numbers to be served through each activity during
each project operating year.
(2) Optional Outcomes. In addition, you may establish other outcome
goals, such as: increase the access to permanent housing for eligible
persons to enable these households to become more self-sufficient as
evidenced by increase in income or reduced need for housing or other
Federal or non-federal subsidies and support. In addition, outcomes
should also address the challenge of homelessness for persons living
with HIV/AIDS and their families, including persons who are chronically
homeless, by enabling them to move from transitional housing to
permanent housing with appropriate supportive services assistance.
e. HUD Logic Model. To illustrate the planning for the use of
resources, project activities, required outputs and outcomes, and other
grantee identified goals, and for reporting on annual accomplishments,
you must use the Logic Model (Form HUD-96010) in the General Section to
meet these application requirements. Applicants

[[Page 14114]]

must make use of the required elements in paragraph (a) in this form.
f. HOPWA Facility Use Period Requirement. Any building or structure
assisted with amounts under this part will be maintained as a facility
to provide assistance for eligible persons: (1) For not less than 10
years in the case of assistance involving new construction, substantial
rehabilitation or acquisition of a building or structure; and (2) for
not less than three years in cases involving substantial rehabilitation
or repair of a building structure.
g. Grant Purpose and Agreements to Provide Permanent Supportive
Housing. As a requirement for the receipt of these Federal funds, the
grant applicant agrees to maintain project eligibility and related
documentation on the following:
(1) Agreement to Continue the Provision of Permanent Housing. For
projects providing permanent housing, your application constitutes an
agreement that you will continue to provide permanent supportive
housing support to HOPWA eligible persons over the operating period of
this grant. This agreement must insure that at least 51 percent of the
HOPWA program activity funds awarded to your project are used for this
purpose and any new funds and related commitment of other funds will
continue to provide permanent supportive housing to eligible persons
for the planned annual outputs.
(2) Agreement to Continue the Use of Other Resources. If your
project will rely on other State, local, Federal, or private resources
to provide the permanent housing or supportive services portion of your
project as documented and approved by HUD in commitment letters for
leveraging, you must ensure that the other resources will continue to
be available for that purpose for project beneficiaries throughout
their commitment periods under the term of the grant. Failure to use
committed resources as documented and approved by HUD for leveraging
will constitute a grant default which could result in grant sanctions,
including the reduction in amounts awarded for supportive services for
which the commitment is not evidenced in grant operations.
(3) Agreement on Permanent Client Occupancy. For projects providing
permanent housing, excluding short-term mortgage, rent, and utility
payments projects, you must agree to maintain evidence that the client
has a continuous legal right to remain in the unit or property and has
access to ongoing supportive services provided through qualified
providers. You must include in your grant files a copy of the standard
lease form or occupancy agreement used for residents of the project.
The lease or occupancy agreement must be for a term of at least one-
year. The lease or occupancy agreement must also be automatically
renewable upon expiration, except on reasonable prior notice by either
the tenant or the landlord. The requirements governing termination of
housing are located in 24 CFR 574.310(e). Failure to maintain this
project documentation of the client's lease or occupancy agreement will
constitute a grant default.
h. Execution of Grant Agreement and Obligation of Awards. HOPWA
grants are obligated upon execution of the grant agreement Applicants
selected for receiving FY2005 funding must execute grant agreements, as
soon as practicable but no later than six months after the notice of
selection. For applicants selected for receiving FY2004 funding under
this competition, the grant agreement must be executed as soon as
practicable, but by no later than September 15, 2005, consistent with a
statutory requirement for the obligation of the FY2004 funds.
i. Disbursement of Funds. Under this Program NOFA, grant recipients
must fully expend their grant in a consistent and ongoing manner, and
complete the use of the funds by no later than three years following
the effective date or the operation start date in the grant agreement,
unless HUD has approved a one-time extension of the grant agreement
term of an additional 12 months or less. A time limit on grant
expenditures, that is established in the National Defense Authorization
Act for Fiscal Year 1991, requires the expenditure of all HOPWA funds
awarded under the FY2004 Appropriations Act by September 30, 2010, and
HOPWA funds awarded under the FY2005 Appropriations Act by September
30, 2011. After September 30, 2010 (for FY04 funds) and September 30,
2011 (for FY05 funds), any unexpended funds shall be canceled and,
thereafter, shall not be available for obligation or expenditure for
any purpose.
j. Site Control through Acquisition or Lease. If you acquire or
lease a site for housing activities, you are required to gain site
control within one year from the date of your notice of selection by
HUD.
k. Rehabilitation or New Construction. If you propose to use HOPWA
funds for rehabilitation or new construction activities for housing
projects, you must agree to begin the rehabilitation or construction
within 18 months, and all rehabilitation or construction work must be
complete within the terms of your grant agreement with HUD.
l. Project Operations. If funds are used for operating costs of
existing housing facilities, you must agree to begin to use these funds
within six months, consistent with the terms of your grant agreement
with HUD. If funds for a New and Continuing project, are to be used for
operating costs, in connection with the new construction or substantial
rehabilitation of housing facilities, the amount of funds designated
for operating costs must be limited to the amount to be used during the
portion of the planned three-year period for your grant agreement for
which the facility will be operational and assisting eligible persons.
Delays in the project's development activities, such as the planned
completion of the construction or rehabilitation activities, could
result in the loss of funds designated for operating costs, if such
funds remain in excess after the authorized use period for this award.
For example, if you expect to take two years to complete the
rehabilitation of the facility, any operating costs could only be
requested for use in the remaining one-year of the planned three-year
operating period for this award.
3. Eligible Activities. a. Renewal Project Guidelines.
(1) The activities to be renewed must be ongoing forms of support
over three years.(2) The Renewal application may also establish a
reasonable level of operating costs for a permanent supportive housing
facility that involved the use of HOPWA funding for its acquisition,
new construction, leasing or rehabilitation in the prior or original
grant. Subject to standards set forth in applicable OMB Circulars, you
may establish your request for operating costs based on current costs
for operating your project (or a housing project of a similar type and
size) as the reasonable and necessary operating costs for maintaining
the investment in these permanent housing projects over the term of the
Renewal grant.
(3) Administrative costs for grantees and project sponsors, which
must include the use of funds for data collection on project outcomes,
are available as part of your Renewal budget request. HUD expects that
the use of administrative funds for data collection will help to ensure
strong program management and result in accurate reporting of outputs
and outcomes.
b. General Guidelines on Eligible Activities Applying to All
Projects
(1) Proposed Project Activities. In your application, you must
specify the activities and budget amounts for which

[[Page 14115]]

HOPWA funds are being requested, consistent with the eligible
activities found in the HOPWA regulations at 24 CFR 574.300-340. For
SPNS demonstration grants, activities are limited to those entailing
transitional, short-term and emergency housing assistance. A copy of
the regulations may be downloaded from www.hud.gov/offices/cpd/
aidshousing/lawsregs/index.cfm. You are encouraged to review the HOPWA
regulations before seeking funding. HUD will not approve proposals that
depend on a prospective determination as to how program funds will be
used. For example, a proposal to establish a local request-for-proposal
process to select either activities, or to select project sponsors, and
other similar proposals that have the effect of delaying the obligation
of funds due to the unplanned use of HOPWA funds, will not be approved.
(2) Additional Guidance on Use of Program Funds.
(a) Housing Assistance.
(i) HOPWA projects must demonstrate that housing assistance is the
main focus of their project. Please indicate if you propose to use
HOPWA funds to provide permanent supportive housing (as defined in
Section I.A.1.a). If you are proposing emergency or transitional
housing assistance, your plan must include linkages to permanent
supportive housing. As found at 24 CFR 574.300(b)(8), operating costs
for housing include the day-to-day operating costs for the housing
project, including costs for maintenance, security, operations,
insurance, utilities, furnishings, equipment, supplies, and other
incidental costs for the housing activities, such as costs for staff
involved in the housing functions of this project.
(ii) As addressed in the rating criteria for New and Continuing
projects, to receive the maximum points under the rating criteria, your
project must clearly address the housing needs of eligible persons
through the direct use of HOPWA funds for eligible housing costs.
(b) Supportive Services. Many of the eligible persons who will be
served by HOPWA may need other support in addition to housing. It is
important that you design programs that enhance access to those
existing mainstream resources through community wide strategies to
coordinate assistance to eligible persons. These mainstream programs
include: healthcare; AIDS drug assistance, and other services funded
through the Ryan White CARE Act; other Federal programs such as
Medicaid, Children's Health Insurance Program, Temporary Assistance for
Needy Families, Food Stamps, Mental Health Block Grant, Substance Abuse
Block Grant, Workforce Investment Act, and the Welfare-to-Work grant
program; and other State, local and private sources. Further, to help
ensure that selected projects address housing related purposes, no more
than 35 percent of the proposed budget for program activities
undertaken by New and Continuing project recipients, and no more than
35 percent of the maximum grant amount for program activities for a
Renewal grant, can be designated for supportive services costs.
Applications will be reviewed for leveraging resources, including
commitments to provide additional supportive services in an amount
equal to or greater than the total amount requested for supportive
services, as described in Section IV.B.5. In addition, HUD will not
award funds for the acquisition, lease, rehabilitation, or new
construction of a supportive services-only facility. Additional
restrictions and limitations that apply to supportive services such as
healthcare costs can be found at 24 CFR 574.300. HUD will not provide
funds for medications. Costs for staff engaged in delivering the
supportive service is part of the supportive service activity cost, and
should not be listed as operating costs or ``other'' costs in the
application's proposed budget.
(c) Permanent Housing Placement Assistance. Permanent housing
placement services at 574.300(b)(7) may also be used in connection with
the provision of housing support provided under these awards. Permanent
housing placement costs may involve costs associated with helping
eligible persons establish a new residence where ongoing occupancy is
expected to continue, including rental application fees, related credit
checks and reasonable security deposits necessary to move persons to
permanent housing, provided such deposits do not exceed two months of
rent. Leveraged resources could involve other forms of move-in support,
such as essential housing supplies, smoke alarms, standard furnishings,
minor repairs to the unit associated with move-in, and other incidental
costs for occupancy of the housing unit. While these items are not
eligible as permanent housing placement costs, grantees may make use of
other leveraged funds for these costs. Applicants should note that
permanent housing placement is a type of supportive service and,
therefore, the leveraging guidelines described in Section IV.B.5, will
apply to requests for such assistance.
(d) Other HUD-Approved Activities. You may propose other activities
not already authorized at 24 CFR 574.300(b), subject to HUD's approval.
Your proposal should address the expected beneficial impact of this
alternative activity in addressing housing needs of eligible persons by
describing the project impact and the identified performance output and
client outcome measures for this activity.

IV. Application and Submission Information

A. Addresses To Request Application Package

Copies of the published NOFAs and application forms for HUD
programs announced through NOFA may be downloaded from the Grants.gov
Web site at http://www.grants.gov/Apply or, if you have difficulty
accessing the information, you may receive customer support from
Grants.gov by calling their Support Desk at (800) 518-GRANTS or sending
an e-mail to support@grants.gov. The operators will assist you in
accessing the information. If you do not have internet access and need
to obtain a copy of the NOFA, you can contact HUD's NOFA Information
Center toll-free at (800) HUD-8929. Persons with hearing or speech
impairments may also call toll-free at (800) HUD-2209.

B. Content and Form of Application Submission

HOPWA applicants are not required to provide the forms,
certifications, and assurances listed in the General Section unless
stated below. The following certifications must be included with your
application. All certifications and forms, except those found in the
General Section, are included in the appendices in this Program NOFA.
1. Required and Optional Forms: Applicants are requested to submit
the following information:
a. Application for Federal Assistance (SF-424).
b. Survey on Ensuring Equal Opportunity for Applicants (SF-424
Supplement).
c. Program Outcome Logic Model (HUD-96010).
d. Certification of Consistency with the Consolidated Plan (HUD-
2991).
e. Certification of Consistency with the RC/EZ/EC-II Strategic Plan
(HUD-2990)--if applicable to the service area of your project.
f. Applicant/Recipient Disclosure/Update Report (HUD-2880).
g. Disclosure of Lobbying Activities (SF-LLL), if applicable.

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h. HOPWA Application Budget Summary, including HOPWA Applicant
Certifications (form HUD-40110-B).
i. Acknowledgement of Application Receipt (HUD-2993), if applicable
due to an approved waiver of the electronic submission requirement.
j. Client Comments and Suggestions (HUD-2994) (Optional).
2. Additional HOPWA guidance on forms.
a. Application for Federal Assistance (SF-424). In completing the
SF-424, a number of items in other required forms may be completed or
automatically populated though the use of the electronic Grants.gov
application. In applying for HOPWA grant funds, the applicant's
signature on the SF-424 will also show agreement for following the
Program Requirements found at III.C.2., including all of the items
under paragraph f. HOPWA Facility Use Period Requirement. For the HOPWA
program, the following items on the SF-424 would be completed as
follows:

--Item 7--The applicable letters are ``A'' for State; ``B, C, or D''
for a unit of local government; or ``O'' for Nonprofit;
--Item 9--Grants.gov will enter U.S. Department of Housing and Urban
Development or HUD;
--Item 10--Grants.gov will enter 14.241 and the title ``Housing
Opportunities for Persons With AIDS Program'' or ``HOPWA'' for the
Catalog of Federal Domestic Assistance;
--Item 15--You must complete the budget on page 1 along with more
detailed information on the HOPWA Application Budget Summary form
described below. Please make sure that both the Total Amount on page 1
and the ``Total Budget'' section on the Budget form are the same. In
the event that the total budgets are in conflict, HUD will refer to the
HOPWA Application Budget Summary form.
--Item 16--Check ``No''.

b. HOPWA Application Budget Summary (form HUD-40110-B). Please
complete the HOPWA Application Budget Summary (form HUD-40110-B) that
will provide a summary of the total budget for this project, the annual
HOPWA amounts to be used in each of the three years of operation and
description budget by project sponsor of the HOPWA funds to be used by
each sponsor. On this form, you must provide a short narrative which
outlines each of your requested budget line items and how the funds
will be used, including the amount of requested funding by line item
for you and your project sponsors. The summary items will be more fully
described in the applicable narrative sections of your application.
c. Certification of Consistency with the Consolidated Plan (HUD-
2991). Except as stated below, you must include a Consolidated Plan
certification from the applicable State or local government official
for submitting the appropriate plan for the areas in which activities
are targeted to be carried out. The authorizing official from the State
or local government must sign this certification. If your project will
be carried out on a national basis or will be located on a reservation
of an Indian tribe, or in one of the U.S. Territories of Guam, the
Virgin Islands, American Samoa, or the Northern Mariana Islands, you
are not required to include a Consolidated Plan certification from
these areas with your application.
3. Application Content for Renewal Applications. The following
provides the applicant with an overview of the information required for
Renewal Applications. The criteria that the Renewal Application will be
reviewed and rated on can be found in Section V.A.1, of this Program
NOFA. For your narrative responses, please number the pages and include
a header and a footer that provides the name of the applicant, the
program name, and type of application (i.e., Renewal).
a. Executive Summary and Synopsis. On no more than five double-
spaced pages, please provide an Executive Summary of the proposed
Renewal project, beginning with a two or three sentence synopsis of the
focus or special purposes of your project. The summary should provide
an overview of the main components of your planned HOPWA project,
including any updated elements from the original project application
and your annual housing output for your next operating year. In the
Executive Summary, please provide the name of the grantee and any
project sponsors, along with contact names, phone numbers, and e-mail
addresses.
b. Organizational Capacity Narrative. If a new project sponsor(s)
is added to the Renewal proposal, please describe the capacity of the
project sponsor(s) to conduct program activities. Follow the procedures
in the General Section for submitting this documentation. You must
submit documentation of the organization's nonprofit status and HIV/
AIDS purposes, as described in Section III.A. on eligibility with your
HOPWA application and maintain a copy in your project files in order to
able to produce them upon request. In your statement, please address
the extent to which the project sponsor(s) have the past organizational
experience and knowledge: in serving persons with HIV/AIDS and their
families; in programs similar to those proposed in your application; in
monitoring and evaluating program performance and disseminating
information on project outcomes; and, in achieving the purpose for
which funds were provided, as measured by expenditures and measurable
progress in operating the project. Please provide this narrative
information on no more than two double-spaced typed pages. If you are
adding more than one project sponsor, you may include up to two
additional pages per project sponsor.
c. Provision of Current Permanent Supportive Housing Narrative. On
no more than four double-spaced pages, demonstrate how your project
provides permanent supportive housing through HOPWA and/or other
resources, and report on how the project has been meeting housing
assistance outputs compared to planned and approved number of
households or units of housing under the current grant. Include the
type of assistance and number of housing units being provided and a
description of the supportive services provided. Additionally, your
description should outline how HOPWA and other funding, if applicable,
work together to provide permanent supportive housing, including any
efforts that have helped clients achieve greater self-sufficiency
through access to other ongoing housing options, which do not depend on
HOPWA funds. Describe how your project has been meeting planned
performance benchmarks, as appropriate, in program development and
operation; in meeting project performance goals, such as, that the
number of persons assisted is comparable to the number that was planned
at the time of the application; and is expending funds consistent with
the existing agreement with HUD. Also describe how you evaluated
project data on performance, adjusted program activities and shared
information that you have gained from your lessons learned on these
past activities.
d. Achieving New Results and Program Evaluation Narrative. On no
more than three double-spaced pages identify the housing benefits or
outcomes of your Renewal program including your activities, related
project benchmarks, and performance output indicators over the next
three grant operating years. Your application should address your
evaluation plan or method for collecting data on HUD program measures
to evidence achievement of your project's goals and objectives and to
establish a baseline for

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client outcomes. You must also complete and submit as part of your
application the Logic Model Form (HUD-96010) to illustrate your plans
for the use of resources, project activities, outputs, outcomes, and
goals.
e. Documentation of Leveraging for Supportive Services for Renewal
Projects. If your Renewal project requests funding for supportive
services, your application will be reviewed for leverage. As described
in paragraph 5 of this section, you must demonstrate evidence of
commitments from other State, local, Federal, or private resources to
provide additional supportive services for project beneficiaries of an
equal or at a greater value in order to qualify for an increase in any
budget line item (BLI) above 100 percent of the approved BLI for your
existing grant up to the 120 percent limit. You must follow
instructions for documenting leveraging as established in paragraph 5
of this section. The total of all leveraged resources to provide
supportive services must at least equal the requested totals for HOPWA
supportive service funds in Line 10 and Line 11 of the Application
Budget Summary in order to qualify the application for an increase in
any budget line item (BLI) above 100 percent of the approved BLI for
the existing grant up to the 120 percent limit. Attempts to falsify or
failure to maintain and produce these letters of commitment upon
request could lead to the termination of the awarded grant. Note that
if your Renewal application does not request funds for supportive
services and this is a change to your existing grant, you must continue
to utilize other sources to provide a reasonable level of supportive
services that is similar to that previously provided.
f. Proof of Nonprofit Status and AIDS Purpose. In the case that a
project sponsor is being added, or a sponsor's legal status has changed
due to merger or other action, you will also need to submit the related
required information described in Section IV.B.4.b of this Program
NOFA.
4. Application Content for New Long-term, and New and Continuing
SPNS Demonstration Project Applications. The following is an overview
of the information required for applications for new Long-term
projects, and for new and continuing Special Projects of National
Significance (SPNS) demonstration grants. Long-term projects provide
permanent housing and related supportive services to low-income persons
living with HIV/AIDS and their families in areas that are not eligible
for HOPWA formula allocations. New and continuing SPNS demonstration
projects will undertake new housing service delivery models or housing
project activities that include plans to provide HOPWA clients with
permanent housing assistance by the end of the operating period under
the award