ࡱ> %` :bjbj"x"x .@@36668 78T^~8<<<<<A\B$hf߹9D<<DD߹<<HHHD<<HDHHs<r8 P֡?6'EGN.0^E>FѶLC"CHCCCCC߹߹HdCCC^DDDD$ Neighborhood Stabilization Program Instructions for Grantee Submissions (Updated 11.4.08) Table of Contents  TOC \o "1-3" \h \z \u  HYPERLINK \l "_Toc210555867" PROGRAM REQUIREMENTS  PAGEREF _Toc210555867 \h 1  HYPERLINK \l "_Toc210555868" Areas of Greatest Need  PAGEREF _Toc210555868 \h 1  HYPERLINK \l "_Toc210555869" Eligible Uses of NSP Funds  PAGEREF _Toc210555869 \h 2  HYPERLINK \l "_Toc210555870" Low/Moderate/Middle Income (LMMI) Requirements  PAGEREF _Toc210555870 \h 2  HYPERLINK \l "_Toc210555871" Submission Requirements  PAGEREF _Toc210555871 \h 2  HYPERLINK \l "_Toc210555872" What to Submit  PAGEREF _Toc210555872 \h 2  HYPERLINK \l "_Toc210555873" Deadlines  PAGEREF _Toc210555873 \h 3  HYPERLINK \l "_Toc210555874" Who Submits  PAGEREF _Toc210555874 \h 3  HYPERLINK \l "_Toc210555875" Management Information System  PAGEREF _Toc210555875 \h 3  HYPERLINK \l "_Toc210555876" Submission of Paper Substantial Amendments, Certifications, and SF-424s  PAGEREF _Toc210555876 \h 3  HYPERLINK \l "_Toc210555877" Public Comment  PAGEREF _Toc210555877 \h 3  HYPERLINK \l "_Toc210555878" Internet Postings  PAGEREF _Toc210555878 \h 4  HYPERLINK \l "_Toc210555879" Language  PAGEREF _Toc210555879 \h 4  HYPERLINK \l "_Toc210555880" Pre-Award Costs  PAGEREF _Toc210555880 \h 4  HYPERLINK \l "_Toc210555881" Waivers  PAGEREF _Toc210555881 \h 4  HYPERLINK \l "_Toc210555882" NSP Substantial Amendment Contents Checklist  PAGEREF _Toc210555882 \h 5  HYPERLINK \l "_Toc210555883" General Information  PAGEREF _Toc210555883 \h 5  HYPERLINK \l "_Toc210555884" Needs, Distribution, Use of Funds, and Definitions  PAGEREF _Toc210555884 \h 5  HYPERLINK \l "_Toc210555885" Activity Information Describing the Use of Funds  PAGEREF _Toc210555885 \h 6  PROGRAM REQUIREMENTS Areas of Greatest Need Jurisdictions that receive NSP funds must give priority emphasis to the areas of greatest need within their states, including those: (1) with the greatest percentage of foreclosures, (2) with the highest percentage of homes financed by subprime mortgage related loans, and (3) identified as likely to face a significant rise in the rate of home foreclosures. To assist grantees in identifying areas of greatest need, HUD developed a  HYPERLINK "http://www.huduser.org/publications/commdevl/nsp.html" foreclosure and abandonment risk score to assist grantees in targeting the areas of greatest need within their jurisdictions. Eligible Uses of NSP Funds NSP funds may be used for activities which include, but are not limited to: Establishing financing mechanisms for purchase and redevelopment of foreclosed homes and residential properties; Purchasing and rehabilitating homes and residential properties abandoned or foreclosed; Establishing land banks for foreclosed homes; Demolishing blighted structures; or Redeveloping demolished or vacant properties For more information, HUD prepared a  HYPERLINK "http://hudstage.hud.gov/offices/cpd/communitydevelopment/programs/neighborhoodspg/nspeligibleuses.doc" Guide to NSP Eligible Uses. Low/Moderate/Middle Income (LMMI) Requirements All NSP funds shall be used to benefit individuals and families whose incomes do not exceed 120 percent of area median income, measured as 2.4 times the current HYPERLINK "http://www.huduser.org/datasets/il/il08/index.html"Section 8 income limit for households below 50 percent of median income, adjusted for family size. Note: An entitlement community receiving money from the state must apply the area median income levels applicable to its regular CDBG program; not the balance of state levels. At least 25 percent of NSP funds shall be used for the purchase of abandoned or foreclosed upon homes or residential properties that will be used to house individuals or families whose incomes do not exceed 50 percent of area median income. Grantees may visit the  HYPERLINK "http://www.huduser.org/publications/commdevl/nsp.html" NSP Data website to identify LMMI areas. Submission Requirements What to Submit NSP Substantial Amendment to the 2008 consolidated/action plan HYPERLINK "http://www.hud.gov/offices/cpd/communitydevelopment/programs/neighborhoodspg/afa.pdf"SF-424 (Signed & Dated) Signed certifications (Signed & Dated). Note: Grantees may use the HYPERLINK "http://hudstage.hud.gov/offices/cpd/communitydevelopment/programs/neighborhoodspg/nsptemplate.doc"Substantial Amendment Template, which includes a form for the NSP Substantial Amendment and certifications. Deadlines November 15, 2008. By November 15, 2008, grantees must publish and post their proposed NSP Substantial Amendments to their websites for the required 15-day public comment period. December 1, 2008. Grantees must submit a substantially complete Substantial Amendment by the December 1, 2008 deadline. Failure to submit a substantially complete Substantial Amendment on time means that HUD may reallocate the funds set aside under the formula. Note: Further information on how to submit will be forthcoming. Who Submits Each eligible grantee may submit its own NSP Substantial Amendment; OR Contiguous grantees (metropolitan cities or urban counties) in the same metropolitan area may submit joint requests, resulting in a single combined grant and a single NSP Substantial Amendment. A jurisdiction need not have a joint agreement with an urban county under the regular CDBG entitlement program to request a joint program for NSP funding. Grantees must specify which jurisdiction will receive the combined grant and administer the funds; OR Any eligible grantee may submit a joint request with its state. The state will receive the combined grant and administer the funds. Note: Any existing entitlement city/urban county joint agreements and urban county participation agreements governing Fiscal Year 2008 regular CDBG will apply to NSP as well. Management Information System Disaster Recovery Grant Reporting system (DRGR) is the Management Information System used for NSP; Grantees may submit Substantial Amendments via  HYPERLINK "https://drgr.hud.gov/DRGRWeb/index.jsp" DRGR; or Grantees submitting paper Substantial Amendments must set up their action plan in DRGR prior to the first required performance report. Applicants submitting paper NSP Substantial Amendments are encouraged to use the HYPERLINK "http://hudstage.hud.gov/offices/cpd/communitydevelopment/programs/neighborhoodspg/nsptemplate.doc"NSP Substantial Amendment Template and Checklist in order to expedite HUD review. Paper Substantial Amendments should be delivered to grantees local HUD offices. Grantees may locate contact information for field offices HYPERLINK "http://www.hud.gov/offices/cpd/about/staff/fodirectors/"here. Submission of Paper Substantial Amendments, Certifications, and SF-424s Grantees must submit a signed and dated HYPERLINK "http://www.hud.gov/offices/cpd/communitydevelopment/programs/neighborhoodspg/afa.pdf"SF-424 The Catalog of Federal Domestic Assistance numbers for grants made under NSP are as follows: -14.218 (CDBG/Entitlement Grants); -14.225 (CDBG/Special Purpose Grants/Insular Areas); and -14.228 (CDBG/State's program and Non-Entitlement Grants in Hawaii) Public Comment The proposed action plan must be published via the usual methods used for the grantees consolidated plan and action plans, and on the (lead) grantees public website for at least 15 calendar days for public comment. For joint requests, the citizen participation process must include citizens of all jurisdictions participating. The final NSP Substantial Amendments must include a summary of public comments. Internet Postings Grantees must maintain a website available to the general public containing the following information: Proposed NSP Substantial Amendment (for at least 15 days prior to final Substantial Amendment), Final NSP Substantial Amendment (Note: If a state is incorporating an entitlement jurisdictions consolidated plan and NSP needs, include a hyperlink to the entitlement jurisdictions consolidated plan and NSP substantial amendment), Standard Form 424, and DRGR Reports Language All program information, including the NSP Substantial Amendment must be available in the appropriate languages for the geographic area for persons with limited English proficiency. This may be a particular issue for states. Because regular state CDBG funds are not used in entitlement areas, state CDBG staffs may not be aware of limited English proficient speaking populations in those metropolitan jurisdictions. Pre-Award Costs A grantee may incur pre-award costs necessary to develop the NSP Substantial Amendment and undertake other administrative actions necessary to receive the NSP grant, beginning September 29, 2008. A state may also authorize its subrecipients to incur costs prior to the states award of funds to subrecipients. Waivers Grantees seeking a waiver under the provisions of the NSP notice, seeking to undertake an activity other than those specified in the NSP notice, or who have inquiries regarding whether an activity requires a waiver, should contact their local HUD field office. Further information shall be forthcoming regarding the process of submitting waivers. NSP Substantial Amendment Contents Checklist To ensure their submissions are substantially complete, grantees should include the following in their NSP Substantial Amendment. General Information Contact information. Include administrator contact information. Web Address. Include the URL of administrators website, where NSP documents are available. Needs, Distribution, Use of Funds, and Definitions Needs Data. Summary needs data identifying the geographic areas of greatest need in the grantees jurisdiction. Distribution and Use Narrative. Narrative describing how the distribution and use of NSP funds prioritize the geographic areas of greatest need, including those: with the greatest percentage of home foreclosures; with the highest percentage of homes financed by a subprime mortgage related loan; and identified as likely to face a significant rise in the rate of home foreclosures. Definitions. Narratives shall include definitions of: blighted structure (in the context of state or local law); affordable rents; Descriptions. Narratives shall describe: how the jurisdiction will ensure continued affordability for NSP-assisted housing; and what housing rehabilitation standards shall apply to NSP-assisted activities. Acquisition and Relocation. If a grantee is planning to use NSP funds to demolish or convert any low- and moderate-income dwelling units, grantees shall include the number of low- and moderate-income dwelling units i.e., d" 80% of area median income reasonably expected to be demolished or converted as a direct result of NSP-assisted activities; the number of NSP affordable housing units made available to low- , moderate-, and middle-income households i.e., d" 120% of area median income reasonably expected to be produced by activity and income level as provided for in DRGR, by each NSP activity providing such housing (including a proposed time schedule for commencement and completion); the number of dwelling units reasonably expected to be made available for households whose income does not exceed 50 percent of area median income. Activity Information Describing the Use of Funds A description of each activity shall include: 1. General Use Information (For All Activities) The eligible use of funds under NSP. The eligible activity or activities under the CDBG program that correlates with the NSP eligible use. To help determine which CDBG activities correlate with uses under the NSP, grantees can consult the HYPERLINK "http://www.hud.gov/offices/cpd/communitydevelopment/programs/neighborhoodspg/nspcrosswalk.doc"crosswalk from the NSP Notice. The geographic areas of greatest need addressed by the activity or activities. Appropriate performance measures (e.g., units of housing to be acquired, rehabilitated, or demolished). The amount of funds budgeted for the activity. The name and location of the entity that will carry out the activity. The expected start and end dates of the activity. Expected benefit to income-qualified persons or households.  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If so, the estimated amount of funds to be used for this purpose. 2. Specific Activity Requirements (if Applicable) Describe the general terms under which assistance will be provided, including: Discount required for acquisition of foreclosed upon properties for activities involving property acquisition. Range of interest rates for financing mechanisms. Duration or term of assistance. Tenure of beneficiaries. 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