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2009 CDBG Scattered Site Housing Program

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Part I. Scattered Site Housing Overview

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Overview• Scattered Site Housing (SSH) grants enable

local governments to address the most critical housing needs of very low income families

• These are families with incomes at or below 50% of area median income

• Allows each county, the lead agent, to receive funding every three years on a non-competitive basis

• This program is consistent with the goals of the North Carolina Consolidated Plan

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Eligible Recipients

• In 2009, eligible recipients include 32 counties and their interested non-entitlement municipalities.

• Anson, Avery, Brunswick, Caldwell, Carteret, Catawba, Clay, Craven,

Davidson, Duplin, Edgecombe, Forsyth, Graham, Granville, Greene, Hoke, Iredell, Jackson, Lenoir, Lincoln, Moore, Pamlico, Perquimans, Pitt, Randolph, Rutherford, Stanly, Tyrrell, Union, Watauga, Wilson, Yadkin.

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Distribution of Funds

• The Scattered Site Housing program requires that all activities benefit persons with very low incomes at or below 50% of area median income

• The County is the lead entity and is required to work with all interested non-entitlement municipalities within the county

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Distribution of Funds continued

• DCA requires the lead entity and interested non-entitlement municipalities to complete a public process in designing the SSH Program

• At a minimum, each participating local government is to adopt the SSH Program to be implemented in the county

• A formal action by the governing body needs to be taken for those local governments not participating

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Eligible Uses• The Scattered Site Housing Program is a

rehabilitation program targeted towards very low-income owner occupied households. Owner occupied units that are designated as real property whether stick built, modular or manufactured may be rehabilitated. However, if it is determined that rehabilitation of the property is not feasible then relocation is an option and the replacement unit must have the capacity to be secured with a Note and Deed of Trust.

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Grant Cycle

• SSH grants will be available every three (3) years on a non-competitive basis to participating counties and their interested municipalities. Funding will be subject to successful performance completion of prior projects and funding availability

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Award Amount

• Scattered Site Housing grants are for $400,000 which includes CDBG funded administration up to 10% of the total CDBG costs and $7,000 for planning

• As long as procurement procedures consistent with 24 CFR 85.36 are followed, applicants receiving approval for this SSH Project may charge application preparation to the current SSH program

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Grant Limitations and Performance Expectations

• 2009 SSH Grants will be closely tracked according to the performance based contract

• Projects that are completed at the 24-month period may be eligible to receive additional funds subject to availability

• Grant are not subject to the $1,250,000 cap

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Regulations for Applicants

• Application must conform with all Federal and State regulations governing the CDBG program

• All units must be selected prior to sending in the 2009 Scattered Site Housing Application

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Performance Measures

The Government Performance and Results Act of 1993 (GPRA) mandates that federal programs improve their effectiveness and public accountability by focusing on results. The U.S. Department of Housing and Urban Development (HUD) has developed the CPD Performance Measurements System for recipients of HUD funds to use to fulfill the requirements of the Act. The Scattered Site Housing category will use the following measures for all scattered site housing activities except administration, which has no performance measures.

Performance Measures for Scattered Site Housing Rehabilitation C-1 Objective: Providing Decent Affordable Housing

C-1 Outcome: SustainabilityL-1 Objective: Providing Decent Affordable HousingL-1 Outcome: Sustainability

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Conflict of Interest

• The following people or their immediate family members shall not have any direct financial interest in any contract, etc during the tenure of the grant or one year thereafter.– Employees or agents of the recipient who

exercise any function or responsibility for the CDBG Grant

– Officials of the recipient including members of the governing body.

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Housing Distribution Plan

• The Housing Distribution Plan is the major component of the application.

• It constitutes the plan that will govern the SSH Program for the county and its participating municipalities.

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Local Option for Emergency Repairs

• Applicants can use up to 10% ($40,000) of SSH Grant for an emergency repair local option project. The local option project must meet the following criteria:– Homes must be occupied by home owners

with incomes at or below 50% of area median income

– Houses must be structures that can be rehabilitated

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Local Option for Emergency RepairsContinued

– No more than $5,000 CDBG funds per house can be spent on repairs

– There must be a written policy and a process for selecting the homeowners which must be attached to the application

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Technical Assistance

• Technical assistance is available between workshop date and submission date

• Contact Iris C. Payne at (919) 733-2853 ext. 249 or e-mail at ipayne@nccommerce.com

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Certificate of Intent

• Returned to DCA no later than

June 30, 2009

• Should indicate whether or not participating

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Dates and Submission Information• Applications are to be submitted to DCA by 5:00 p.m. Friday,

July 31, 2009

• Local governments are to submit an original and one (1) copy

• SSH Applications may be mailed through the US Post Office or hand delivered or sent by FedEx or UPS directly to our office address at 1307 Glenwood Avenue, Suite 250, Raleigh, NC.

• Gloria Nance-Sims, Director North Carolina Division of Community Assistance

4313 Mail Service CenterRaleigh, NC 27699-4313

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Part II. Application Contents

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Part II. Scattered Site Housing Application“Pulling It All Together”

• Plans

• Key Themes– Public participation/involvement– Incorporation of good program design and

flexibility

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Application Contents

• Planning• Administrative Oversight• Selecting and Processing Applicants

(Selection Committee is required to have minutes from meetings on file)

• Procurement• Financial Assistance• Construction Management• Financial Management• Lead Based Paint

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What’s New in Scattered Site

• Conditions required with application includes the following:

– Environmental

– Flood Plain

– Citizens’ Participation

– Rehabilitation Check List

– Work Write-ups

– Tax Cards

• Planning amount increased to $7,000.00

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Questions ???

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Rehabilitation 2008

What kind of inspections have you been doing for your rehab units?

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Rehabilitation in 2009

• What’s New?– Inspection of unit on new form

and work write up submitted with application.

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Reminders

Remember this is State law!

Will generate a better rehabilitation outcome through a better work write-up!

Up front time in the inspection process helps identify worst case houses!

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Attachment ADivision of Community Assistance Inspection Worksheet

Property Owner: _______________________________________________________________Address of Property: ____________________________________________________________ ____________________________________________________________Inspector: ___________________________________________ Date______/_____/______

The following items have been inspected and if not found to be in compliance with the North Carolina State Building Code, corrective action is provided in the attached work write-up.

Inspected Item: Yes No RA NA (R/A – Requires Attention)

Structural Components:

Foundation: Comment: __________________________Floors: Comment: __________________________Walls: Comment: __________________________Columns / piers: Comment: __________________________Ceilings: Comment: __________________________ Exterior Components:

Wall cladding, flashing, trim: Comment: __________________________Entry way doors: Comment: __________________________Windows: Comment: __________________________Decks: Comment: __________________________Balconies: Comment: __________________________Stoops, steps: Comment: __________________________Porches, railings: Comment: __________________________Eaves, soffits, fascias: Comment: __________________________Driveways, walkways: Comment: __________________________Retaining walls: Comment: __________________________Vegetation: Comment: __________________________Grading and Drainage: Comment: __________________________

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Roofing Components:

Roof Coverings: Comment: __________________________Roof drainage systems: Comment: __________________________Flashings: Comment: __________________________Skylights, chimneys andRoof penetrations:

Comment: __________________________Plumbing Components:

Piping Materials, including supports and insulation: Comment: __________________________Fixtures and Faucets: Comment: __________________________Functional Flow: Comment: __________________________Leaks: Comment: __________________________Cross connections: Comment: __________________________Traps, drains, waste and vent piping: Comment: __________________________Functional Drainage: Comment: __________________________Water heating equipment: Comment: __________________________Fuel Storage and Distribution: Comment: __________________________Sump Pump:

Comment: __________________________Electrical Components:

Service entrance conductors: Comment: __________________________Main over current device: Comment: __________________________Main and distribution panels: Comment: __________________________Amperage and voltage rating: Comment: __________________________Ceiling fans: Comment: __________________________Lighting fixtures: Comment: __________________________Switches: Comment: __________________________Receptacles: Comment: __________________________Polarity and grounding: Comment: __________________________Ground fault circuit Interrupters: Comment: __________________________Smoke detectors: Comment: __________________________

Heating equipment: Comment: __________________________Distribution system: Comment: __________________________

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Heating Source:

Heating equipment: Comment: __________________________Distribution system: Comment: __________________________

Interior Components:

Walls: Comment: __________________________Ceilings: Comment: __________________________Floors: Comment: __________________________Steps and stairways: Comment: __________________________Balconies and railings: Comment: __________________________Cabinets and counters: Comment: __________________________Doors and windows: Comment: __________________________Water penetration: Comment: __________________________

Insulation and Ventilation Components:

Insulation and Vapor: Comment: __________________________Retardants: Comment: __________________________Attic ventilation: Comment: __________________________Foundation ventilation: Comment: __________________________Kitchen and Bath ventilation: Comment: __________________________

Appliances:

Range and oven: Comment: __________________________Kitchen ventilation fan: Comment: __________________________Refrigerator: Comment: __________________________

Housing Requirements:

Habitable kitchen: Comment: __________________________Permanent interiorBathroom: Comment: __________________________Two exterior doors: Comment: __________________________Accessible as needed: Comment: __________________________

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Lead Based Paint

• HUD Requirement.

• Increases cost of rehabilitation.

• Health Concern

• Potential law suits for failure to act.

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L. Lead-Based Paint RequirementsLead-Based Paint Regulations are found at 24 CFR Part 35. All CDBG grantees awarded funds to rehabilitate any houses constructed prior to 1978 are required to follow the regulations. Lead-based paint required activities depend on the lower per unit cost of either (1) the amount of rehabilitation “hard costs” per unit or (2) the amount of federal assistance per unit when there are other federal funds in the unit. “Hard costs” do not include such costs as administrative costs, relocation costs, environmental reviews, acquisition of the property, or the costs of lead hazard evaluation and reduction.DCA Requirements•All units must have a risk assessment and paint inspection by a certified risk assessor;•All units must be cleared by a certified inspector or risk assessor who must be a third party entity;•Local governments must use contractors trained in Safe Work Practices; •Local governments that undertake temporary relocation must develop adopt and follow an Optional Temporary Relocation Policy.•It is our policy when lead based paint is identified in a unit being rehabilitated, the lead based paint be abated whenever possible. •Cost for abatement may be charged to the rehabilitation unit.

Contact Jim Liles for assistance with any questions on lead-based paint requirements.E-mail address:jliles@nccommerce.com Telephone: 919/733-2850Fax: 919/733-5262