[Code of Federal Regulations]
[Title 24, Volume 1]
[Revised as of April 1, 2005]
From the U.S. Government Printing Office via GPO Access
[CITE: 24CFR91.320]

[Page 574-576]
 
                 TITLE 24--HOUSING AND URBAN DEVELOPMENT
 
PART 91_CONSOLIDATED SUBMISSIONS FOR COMMUNITY PLANNING AND DEVELOPMENT 
PROGRAMS--Table of Contents
 
       Subpart D_State Governments; Contents of Consolidated Plan
 
Sec. 91.320  Action plan.

    The action plan must include the following:
    (a) Form application. Standard Form 424;
    (b) Resources--(1) Federal resources. The consolidated plan must 
describe the Federal resources expected to be available to address the 
priority needs and specific objectives identified in the strategic plan, 
in accordance with Sec. 91.315. These resources include grant funds and 
program income.
    (2) Other resources. The consolidated plan must indicate resources 
from private and non-Federal public sources that are reasonably expected 
to be made available to address the needs identified in the plan. The 
plan must explain how Federal funds will leverage those additional 
resources, including a description of how matching requirements of the 
HUD programs will be satisfied. Where the State deems it appropriate, it 
may indicate publicly owned land or property located within the State 
that may be used to carry out the purposes stated in Sec. 91.1;
    (c) Activities. A description of the State's method for distributing 
funds to local governments and nonprofit organizations to carry out 
activities, or the activities to be undertaken by the State, using funds 
that are expected to be received under formula allocations (and related 
program income) and other HUD assistance during the program year and how 
the proposed distribution of funds will address the priority needs and 
specific objectives described in the consolidated plan;
    (d) Geographic distribution. A description of the geographic areas 
of the State (including areas of minority concentration) in which it 
will direct assistance during the ensuing program year, giving the 
rationale for the priorities for allocating investment geographically;
    (e) Homeless and other special needs activities. Activities it plans 
to undertake during the next year to address emergency shelter and 
transitional housing needs of homeless individuals and families 
(including subpopulations), to prevent low-income individuals and 
families with children (especially those with incomes below 30 percent 
of median) from becoming homeless, to help homeless persons make the 
transition to permanent housing and independent living, and to address 
the special needs of persons who are not homeless identified in 
accordance with Sec. 91.315(d);
    (f) Other actions. Actions it plans to take during the next year to 
address obstacles to meeting underserved needs, foster and maintain 
affordable housing (including the coordination of Low-Income Housing Tax 
Credits with the development of affordable housing), remove barriers to 
affordable housing, evaluate and reduce lead-based paint hazards, reduce 
the number of poverty level families, develop institutional structure, 
and enhance coordination between public and private housing and social 
service agencies and foster public housing resident initiatives. (See

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Sec. 91.315 (a), (b), (f), (g), (h), (i), (j), (k), and (l).)
    (g) Program-specific requirements. In addition, the plan must 
include the following specific information:
    (1) The method of distribution shall contain a description of all 
criteria used to select applications from local governments for funding, 
including the relative importance of the criteria--if the relative 
importance has been developed. The action plan must include a 
description of how all CDBG resources will be allocated among all 
funding categories and the threshold factors and grant size limits that 
are to be applied. If the State intends to aid nonentitlement units of 
general local government in applying for guaranteed loan funds under 24 
CFR part 570, subpart M, it must describe available guarantee amounts 
and how applications will be selected for assistance. If a State elects 
to allow units of general local government to carry out community 
revitalization strategies, the method of distribution shall reflect the 
State's process and criteria for approving local governments' 
revitalization strategies. (The statement of the method of distribution 
must provide sufficient information so that units of general local 
government will be able to understand and comment on it and be able to 
prepare responsive applications.)
    (2) HOME. (i) The State shall describe other forms of investment 
that are not described in Sec. 92.205(b) of this subtitle.
    (ii) If the State intends to use HOME funds for homebuyers, it must 
state the guidelines for resale or recapture, as required in Sec. 
92.254 of this subtitle.
    (iii) If the State intends to use HOME funds to refinance existing 
debt secured by multifamily housing that is being rehabilitated with 
HOME funds, it must state its refinancing guidelines required under 24 
CFR 92.206(b). The guidelines shall describe the conditions under which 
the State will refinance existing debt. At minimum, the guidelines must:
    (A) Demonstrate that rehabilitation is the primary eligible activity 
and ensure that this requirement is met by establishing a minimum level 
of rehabilitation per unit or a required ratio between rehabilitation 
and refinancing.
    (B) Require a review of management practices to demonstrate that 
disinvestment in the property has not occurred; that the long term needs 
of the project can be met; and that the feasibility of serving the 
targeted population over an extended affordability period can be 
demonstrated.
    (C) State whether the new investment is being made to maintain 
current affordable units, create additional affordable units or both.
    (D) Specify the required period of affordability, whether it is the 
minimum 15 years or longer.
    (E) Specify whether the investment of HOME funds may be 
jurisdiction-wide or limited to a specific geographic area, such as a 
neighborhood identified in a neighborhood revitalization strategy under 
24 CFR Sec. 91.215(e)(2) or a Federally designated Empowerment Zone or 
Enterprise Community.
    (F) State HOME funds cannot be used to refinance multifamily loans 
made or insured by any Federal program, including CDBG.
    (iv) If the state will receive funding under the American Dream 
Downpayment Initiative (ADDI) (see 24 CFR part 92, subpart M), it must 
include:
    (A) A description of the planned use of the ADDI funds;
    (B) A plan for conducting targeted outreach to residents and tenants 
of public and manufactured housing and to other families assisted by 
public housing agencies, for the purposes of ensuring that the ADDI 
funds are used to provide downpayment assistance for such residents, 
tenants, and families; and
    (C) A description of the actions to be taken to ensure the 
suitability of families receiving ADDI funds to undertake and maintain 
homeownership, such as provision of housing counseling to homebuyers.
    (3) ESG. The State shall state the process for awarding grants to 
State recipients and a description of how the State intends to make its 
allocation available to units of local government and nonprofit 
organizations.

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    (4) HOPWA. The State shall state the method of selecting project 
sponsors.

(Approved by the Office of Management and Budget under control number 
2506-0117)

[60 FR 1896, Jan. 5, 1995; 60 FR 4861, Jan. 25, 1995, as amended at 60 
FR 16379, Mar. 30, 1995; 61 FR 48750, Sept. 16, 1996; 61 FR 54920, Oct. 
22, 1996; 69 FR 16765, Mar. 30, 2004]