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HomeMy WebLinkAboutNS Grant - Community Development Block Grant Award - Housing Rehabilitation Program3 Application Summary FY2004 Orange County Housing Rehabilitation Program Background Orange County has received a Community Development Block Grant (CDBG) award in the amount of $400,000 from the N.C. Department of Commerce -Division of Community Assistance. These grant funds must be to used to repair substandard housing occupied by low-income families in the Towns of Carrboro and Hillsborough as well as the unincorporated areas of Orange County. Approximately 10% of the award can be used for program administration, thus, effectively $360,000 will be available for housing repair. The Program Selection Committee, as with the FY 2001 Scattered Site Grant, will consist of the HOME Program Council members from Carrboro, Hillsborough, and the County. Currently serving in that capacity are: Margaret Brown, Orange County Commissioner Tara L. Fikes, Housing/CD Director John Herrera, Carrboro Alderman James Harris, Carrboro Economic and CD Director Eric Hallman, Hillsborough Town Commissioner Margaret Hauth, Hillsborough Planning Director This Committee discussed the policies and procedures that should govern this program and agreed that the policies and unit selection process will closely mirror those utilized in the current HOME funded Housing Rehabilitation Program. Program Policies Eligibility Criteria 1. The applicant must be the Owner of the residential property located in Orange County but outside the corporate limits of the Town of Chapel Hill. 2. The applicant must have total household income at or below 50% of the HUD published area median income. 3. The property must not have- received assistance for housing rehabilitation during the previous 15 years. 4. The property must need repairs to meet the Minimum Housing Code. 5. The applicant shall have evidence of title to the property to be rehabilitated. 6. The applicant shall have paid all due property taxes. 4 ~ '~ Participant/Household Selection Program participants will be selected from the existing Housing Rehabilitation Program waiting list according to date and time of waiting list placement. There are approximately 45 families on the waiting list at this time. In selecting participants, priority will be given to owners that lack indoor plumbing or have plumbing deficiencies, or are elderly or disabled. The Selection Committee will prioritize the potential applicants and County staff will determine eligibility based on the above stated criteria. No extensive program marketing is anticipated at this time since the number of families on the waiting list at the present time far exceeds available resources. Terms of Assistance All CDBG financial assistance will be in the form of a deferred loan that is proportionally forgiven over the applicable term of recapture. CDBG Assistance $15,000 and less $15,000 and $25,000 $25,000 and above Recapture Period 5 years 10 years 15 years All deferred loans will be secured with a note and deed of trust recorded in the Orange County Register of Deeds. Target Number of Substandard Units This program will target the repair of an estimated 15 substandard dwelling units at an average cost of $24,000 per unit. No clearance or relocation activities will be necessary. Budget Housing Rehabilitation $360,000 Program Administration $ 40,000 Program Schedule Begin program implementation July 1, 2004 Complete program by -October 1, 2006 5 North Carolina Department of Commerce Division of Community Assistance __ Community Development Block Grant Program Grant Agreement Scattered Site Housing (SSH) Upon execution of this grant agreement, the North Carolina Department of Commerce (DOC) agrees to provide to the recipient Community Development Block Grant assistance under Title I of the Housing and Community Development Act of 1974, (P.L. 93-383), as amended, authorized by the DOC funding approval, the North Carolina Community Development Block Grant administrative rules, applicable laws and all other requirements of DOC now or hereafter in effect. The grant agreement is effective on the date the grant agreement and funding approval are signed by the recipient. The grant agreement consists of the approved application, including the certifications, maps, schedules and other submissions in the application, any subsequent amendments to the approved application and funding approval and the following general terms and conditions: Defmitions. Except to the extent modified or supplemented by the agreement, any term defined in the North Carolina Community Development Block Grant Administrative Rules, 4 NCAC 19L, shall have the same meaning when used herein. (a) Agreement means this grant agreement, as described above, and any amendments or supplements thereto. (b) Recipient means the entity designated as a recipient for grant assistance in the grant agreement and funding approval. (c) Certifications mean the certifications submitted with the grant application pursuant to the requirements of Paragraph (e) of Rule .0407 of the North Carolina Community Development Block Grant Administrative Rules, 4 NCAC 19L. (d) Assistance provided under this agreement means the grant funds provided under this agreement. (e) Program means the community development program, project, or other activities, including the administration thereof, for which assistance is being provided under this agreement. ' 6 (f) The date for receiving the grant means the date of the DCA Director's signature on the Grant Agreement and Funding Approval. 2. Obligations of the Recipient. The recipient shall perform the program as specified in the application approved by DOC. The recipient shall comply with the _ certification pursuant to Paragraph (e) of Rule .0407 of the North Carolina Community Development Block Grant Administrative Rules, 4 NCAC 19L. The recipient shall also comply with all other lawful requirements of DOC, all applicable requirements of the General Statutes of the State of North Carolina and any other applicable laws and Executive Orders currently or hereafter in force. 3. Obligations of Recipient with Respect to Certain Third Party Relationships. DOC shall hold the recipient responsible for complying with the provisions of this agreement even when the recipient designates a third party or parties to undertake all or any part of the program. The recipient shall comply with all lawful requirements of DOC necessary to insure that the program is carried out in accordance with the recipient's certifications including the certification of assumption of environmental responsibilities under Rule .1004 of the North Carolina Community Development Block Grant Administrative Rules, 4 NCAC 19L. If the recipient contracts with or designates a third party to undertake all or part of the program in exchange for a grant or loan from the recipient to the third party of all, or a portion, of the recipient's grant funds, the recipient's contract with the third party must require the third party to comply with the procurement standards set forth in 4 N. C. Administrative Code 19L .0908. 4. Conflict of Interest. None of the following or their immediate family members, during the tenure of the subject person or for one year thereafter, shall have any direct or indirect financial interest in any contract, subcontract or the proceeds thereof for work to be performed in connection with the program assisted under this agreement: employees or agents of the recipient who exercise any function or responsibility with respect to the program, and officials of the recipient, including members of the governing body. The same prohibition shall be incorporated in all such contracts or subcontracts. The assistance provided under this agreement shall not be used in the payment of any bonus or commission for the purpose of obtaining DOC approval of the application for such assistance, or DOC approval of applications for additional assistance, or any other approval or concurrence of DOC required under this agreement, or the North Carolina Community Development Block Grant Administrative Rules, with respect thereto; provided, however, that reasonable fees or bona fide technical, consultant, managerial or other such services, other than actual solicitation, are not prohibited if otherwise eligible as program costs. 5. Reimbursement to DOC for Improper Expenditures. The recipient will reimburse DOC for any amount of grant assistance improperly expended. 2 6. Access to Records. The recipient shall provide any duly authorized representative of DOC, the federal Department of Housing and Urban Development (HUD), and the Comptroller General at all reasonable times access to and the right to inspect, copy, monitor, and examine all of the books, papers, records, and other documents relating to the grant for. a period _ of three years foIlowing the completion of all close-out procedures. 7. Project Savings. The recipient is obligated to contribute 100 percent of its pledged cash contribution to the CDBG project even if the project experiences a savings after authorized activities are completed. Any project savings accrue to the CDBG program. 8. Expenditure of Non-CDBG Funds. The recipient must ensure that non-CDBG funds are expended along with CDBG funds, following the implementation schedule described in the approved application and modified by the Performance Contract, and shall report on non-CDBG expenditures with each Annual Performance Report, consistent with Section .1100 PERFORMANCE of the program regulations (4NCAC 19L). 9. Method of Payment. The Department of Commerce uses the STEPS-OUT system for CDBG payments to units of local government. Payments on requisitions will be made only by electronic funds transfer. 10. Fair Housing. For each grant year that a CDBG is active, a recipient must describe the actions it will take in the areas of enforcement,.education and removal of barriers and impediments to affirmatively further fair housing. Guidance for developing a Fair Housing Plan can be found in DCA Bulletin 93-4. 11. Equal Employment and Procurement Opportunity. A recipient must describe the actions it will take annually while the grant is open in the areas of enforcement, education and removal of barriers and impediments that affirmatively further equal access in employment and procurement. This includes a description of steps to be taken in the areas of advertisement, compliance and complaint tracking. 12. Local Economic Benefit (Section 3 Regulation). For each year that a CDBG is active, a recipient must describe a strategy whereby opportunities in employment and procurement arising out of a CDBG assisted project are identified and made available to low-income residents within the CDBG assisted area to the greatest extent feasible. This strategy must include (1) identification of training and technical assistance resources to prepare low-income residents for employment and procurement opportunities, (2) attempts to reach the numerical tazgets for new hires set forth in the Section 3 regulation, which applies to recipients receiving $200,000 or more in non-administrative line items expended for construction contracts of at least $100;000 per contract, and (3) education of low-income residents within the CDBG assisted area about the components and opportunities of the program. 8 13. Section 504 and ADA. Recipients must complete the Section 504 Survey and Transition Plan. This plan will not satisfy all the requirements of the Americans with Disabilities Act, but it will meet the minimum requirements for a CDBG assisted project. 14. Obligation of Recipient With Regard to Vacant Units. The recipient shall ensure that all vacant units being rehabilitated will be occupied by a low or moderate income family by the time close-out occurs. 15. Utility Assessments or Fees: Assessments or fees to recover the CDBG funded portion of a utility project may be charged to properties not owned and occupied by low and moderate income persons. Such assessments are program income and, as such, must be used for eligible CDBG activities that meet a CDBG national objective. 16. Schedule for Release of Conditions and Completion Activities. The recipient must satisfy Funding Approval Conditions to release CDBG funds within 90 days (June 29, 2004) from the- date (April 1, 2004) the Grant Agreement and Funding Approval are signed by the DCA Director. The recipient must draw down all CDBG funds, expend all local non-CDBG funds and complete all project activities in conformance with the activities implementation schedule in the application as modified by the Performance Contract. The recipient must obligate all funds within 27 months (July 1, 2006} from the date the Grant Agreement and Funding Approval are signed by the DCA Director. All funds are to be expended within 30 months (October 1, 2006) from the date the Grant Agreement and Funding Approval are signed by the DCA Director. Any remaining funds will be de-obligated. All closeout documents must be returned to DCA by (January 1, 2007). Consistent with Section .1104 of the program regulations (4NCAC 19L), based on review of the recipient's performance for conformance with the approved application and approved performance schedules, the Secretary of Commerce may withdraw the grant, except for funds already expended. 4 9 Upon execution of this agreement by DOC and the recipient, the recipient hereby accepts the assistance on the terms of this grant agreement effective on the date indicated below, and further certifies that the official signing this document has been duly authorized by the recipient's governing body to execute this Grant Agreement. Secretary of the Department of Commerce Date: April 1, 2004 Q By: l~-,~-e- - Gloria Nance-Sims Director Division of Community Assistance Date: Name of Recipient Q By: Signature of Authorized Official (Title) 5 10 NortL Carolina Division of Community Assistance Community Development Block Grant Program Funding Approval 1. Name and Address.. of Recipient 2. Grant Number and Funding Approval Date Orange County Grant Number: 04-C-1239 ~P O Box 8181 Date of Original Funding Approval : 4/1/2004 Hillsborough, North Carolina 27278 Date of Amended Funded Approval: 3. Approved Projects Project Number and Name Approved Amount Scattered Sites Housing Rehabilitation Program $400,000 Total Award $400,000 4. Funding Approval Conditions The following conditions must be removed in writing by the Division of Community Assistance (DCA) in order for all funds to be released for the approved projects listed in item (3), above: A. Environmental Condition: No funds may be obligated or expended in any activity except for the payment of reasonable costs related to the planning, administration, engineering, desing and environmental assesments for the approved project until the recipient has complied with the Environmental Review Procedures for the N.C. CDBG Program and the CDBG regulations contained in 4 NCAC 19L 1004. B. Administration Contracts/Inter-local agreements Condition• No funds may be obligated or expended in any project activity except the administration activity until the recipient has submitted either a copy of the contract awarded for administration of this grant or a statement signed by the CEO stating that the contract will be administered internally. C. Performance Based Contract Condition: No funds may be obligated or expended in any project activity except for the administration activity until the recipient has returned to DCA one copy of the properly completed Performance Based Contract. D. Amendment Condition: No funds may be obligated or expended in any project activity except for the administration activity until the recipient provides written assurance that it commits to assisting the number of units stated in the SSH application and if the number of units to be assisted, the method of selection, or the policies that have been designed for this grant changes, the local government is responsible for following DCA amendment procedures. E. Disclosure Report Condition• No funds may be obligated or expended in any project activity except the administration activity until the recipient has returned to DCA one copy of the properly completed Disclosure Report Form. 4. Funding Approval Conditions, Continued F. Closeout Condition No funds may be obligated or expended in any activity until closeout documentation has been received by DCA. 11 County of Orange 2 04-C-1239 12 5. Signature of Aut orized Official - ~ - Name _ Gloria Nance-Sims Director, Division of Community Assistance Title 04/01/04 Date 6. Signature of Authorized Local Official Name Title Date County of Orange 3 04-C-1239 SIGNATORY FORM AND CERTIFICATION Recipient Name ~,._Or.ange County Address: P . 0 . Box 8181 Hillsborough, N.C. 27278 Grant No. 04~ C-12 3 9 Signatures of individuals authorized to sign Requisition for Funds forms. (Two signatures required on each requisition.) Kenneth T. Chavious,Fin~nce Director .~~T......-.~ (Signature) (Type ~lamej (i'yped i lej ~'~~^~ , Roderick Visser, Asst. County Manager (Signature) (Typed Name) (Typed Title) (Signature) Gwen Harvey, Asst. County Manager (Typed Name) (Typed Title) (Signature) (Typed Name) (Typed Title) CERTIFICATION ~. () I certify that the signatures above are of the individuals authorized to sign Requisition for Funds form for the above recipient. Certifying Official + Title 2. ()The governing board has passed a resolution authorizing the persons above to sign Requisition for Funds forms for the above recipient. A copy of the resolution is,attached. I certify that the signatures above are those of the individuals authorized by resolution of the governing board of the recipient to sign Requisition for Funds forms. Certifying Official + Title First quarter be¢ins on the date of DCA Director's si¢nature on the Grant A¢reement and Fundine Approval List goals to be accomplished each Qusrter. lst Quarter 2nd Quarter 3rd Quarter 4th Quarter 5th Quarter 6th Quarter 7th Quarter 8th Quarter 9th Quarter 10th Quarter Process % Process % Process % Process % Process % Process % Process % Process % Process % Process Completed Completed Completed Completed Completed Completed Completed Completed Completed Completed Description Description Description Description Description Description Description Description Description Description 1. Administrative Activities a Grant Agreement/Funding Approval 1~~~ b. Environmental Condition 1~~% c. Citizen Participation Condition 1 00°~ d. Flood Plain Compliance Condition 1 ~0~ e. Other Conditions 1~~~ F~+ i Fi~uarter be¢ina oa the date of DCA Director's sienature on the Grant A¢reement and Fuadin¢ Approval List goals to be accomplished each Quarter. Activities should correspond to those on the Budget and National Objective Part A Benefit: Low and Moderate Income forms in application approved far funding. Ist Quarter 2nd Quarter 3rd Quarter 4th Quarter Sth Quarter 6th Quarter 7th Quarter 8th Quarter 9th Quarter 10th Quarter %Units %Units %Units %Units °h Units %Units %Units %Units 2. Housing Activities a Relocation b. Acquisition o. Disposition d. Clearance e. Rehabilitation of Privately owned dwellings (Includes any on-site installations; e.g., septic 13 . 2 6 . 3 9 .5 2 .6 5 .7 8 .91 10 0 10 0% tanks, wells) f. Units Constmcted g. Units Occupied 2 4 6 8 10 12 14 15 15 S: PROGDEV: CR:PFMBASE F-+ N/ A List Flrst quarter 6eains on the date of DCA Director's si¢nature on the Grant AEreement and Fund[n¢ Approval. goals to be accomplished each Quarter. Activities should correspond to those on the Budget and National Objective Part A Benefit: Low and Moderate Income forms in application approved for funding. 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter 5th Quarter 6th Quarter 7th Quarter 8th Quarter 9th Quarter 10th Quarter %Process %Process %Process %Process %Process %Process %Process %Process %Process %Process Completed Completed Completed Completed Completed Completed Completed Completed Completed Completed Description Description Description Description Description Description Description Description Description Description 3. Water Improvements. Engineering Bidding Process Contract Awarding Conswcti on/lnstal lation Work Completed 4. Sewer Improvements Engineering Bidding Process Contract Awarding Work Construction Work Completed 5. SUeet Improvements Engineering Bidding Process Contract Awarding Construction/Install ation Work Completed 6. Drainage Improvements Engineering Bidding Process Contract Awarding Constmctio n/Instal lation Work Completed 7.Other Improvements Work Completed 8. Signature of Authorized Local Official Barry Jacobs Name Chair, Orange County Bd. of County Commissioners Title 9. Signature of Authorized DCA Official Name Gluria Nance-Sims Director, Division of Communitv Assistance Title Date Date Fr V 18 RESOLUTION Whereas, Orange County has received a FY 2004 Community Development Block Grant (CDBG) Award for the Scattered Site Housing Rehabilitation Program in the amount of $400,000 from the N.C. Department of Commerce on April 1, 2004; and Whereas, these CDBG funds will be used for the repair of approximately fifteen (15) substandard dwelling units in the Towns of Carrboro, Hillsborough and unincorporated Orange County; and Whereas, the Orange County Board of Commissioners approved the execution of the Grant Agreement, Funding Approval; Signatory Form and Certification; and Performance Based Contract by the Chair of the Board on May 18, 2004; and Whereas, throughout grant implementation, the N.C. Department of Commerce will require the execution of additional documents as required by the Grant Agreement and Funding Approval approved by the BOCC. NOW, THEREFORE, be it resolved, that the Orange County Board of County Commissioners hereby authorize the Chair of the Board to execute all documents required by the N.C. Department of Commerce -Division of Community Assistance for the implementation of the FY 2004 Community Development Block Grant Award for the Scattered Site Housing Rehabilitation Program. This, the 18~' day of May 2004.