INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT WHAT IS AN INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT (ICDBG)? ICDBG is a grant program being offered by HUD’s Office of Native American Programs (ONAP) The purpose of the ICDBG program is the development of viable Indian and Alaska Native communities, including the creation of decent housing, suitable living environments, and economic opportunities primarily for persons with low and moderate incomes.

INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT NATURE OF PROGRAM: Grants are offered on a competitive basis to eligible Indian tribes and Alaska Native Villages to improve the housing stock, provide community facilities, make infrastructure improvements, fund microenterprises, and expand job opportunities.

INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT ELIGIBLE ACTIVITIES: Housing rehabilitation, acquisition of land for housing, and assistance for homeownership opportunities for low and moderate income persons. Construction of single or multi-use facilities, streets, and public facilities, as well as for economic development projects, especially for nonprofit tribal organizations or local development corporations.

INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT APPLICATION CRITERIA: Closing Date for ICDBG Applications: June 14, 2016 Maximum program award $1,000,000 Minimum program award $500,000 Projects funded (for acquisition of land) must be completed within 12 months of the grant award, unless there is good cause for not being able to do so.

INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT TRIBAL HOUSING COMMITTEE RECOMMENDATION: Based upon the results of a 2012 survey of all Kashia Tribal Members, it has been concluded that adequate, affordable housing is of primary concern. The Kashia Housing Department recommends applying for the grant, and if successful use grant funds to purchase land to build Tribally-owned rental units, or rent-to-own units.

INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT GRANT REQUEST: Based upon the allocation formula used by HUD ONAP, Kashia can apply for $605,000 in funding. ICDBG funds can be used for purchase of land, with additional funding through NAHASDA and the Title VI Loan Guarantee Program and funding for building rental units by applying for a Low Income Housing Tax Credit (LIHTC) award.

INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT TITLE VI LOAN GUARANTEE PROGRAM: Allows Tribes to acquire federally guaranteed loans of up to 5x their Indian Housing Block Grant in order to purchase land for housing development. Can be used for new construction, to rehabilitate housing, build infrastructure, acquire land, fund financing costs etc. Can be used in combination with other funding sources such as LIHTC

INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT LOW INCOME HOUSING TAX CREDITS (LIHTC) Used by Tribes across the US to build low-income housing Competitive application process to States to obtain tax credits CA has an $80M pool with a $1M Tribal Set Aside. Tribes don’t pay taxes so they partner with builders. Tribes sell the tax credits to the builder to finance the project A $1M credit = $1M off the builder’s taxes owed, each year for 10 years (a value of $10M) After 15 years, title to the property reverts to Tribe

LOW INCOME HOUSING TAX CREDITS (LIHTC) A LIHTC project will provide Tribal Jobs such as Property Manager, Admissions & Occupancy Manager, and Maintenance Positions After full ownership reverts to the Tribe, it can choose to sell the units to residents, continue renting to low-income Tribal Members, or rent at full market price to Tribal Members, the public or both as a income-producing business, or even sell the property for a profit.

INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT TRAVOIS INC. ICDBG, Title VI Guarantees and LIHTC programs are all very competitive and complex. Travois Inc. specializes in this area and has won more than 172 LIHTC grants for Tribes all over the country. Some Tribes have built multiple projects using LIHTC. Travois charges an initial $25k fee, which increases which each successive, successful step in the application process

INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT TIMELINE Deadline to submit ICDBG Application: June 14, 2016 ICDBG Award Announcement: Approx 90 Days after Submission Title VI Application on ICDBG Award Deadline to submit LIHTC Application: TBD

INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT In order to apply for ICDBG, we must have Tribal Members’ comments on this potential source of funding and what it should be used for. Thank you for reviewing this presentation and for your thoughts!

INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT COMMENTS AND QUESTIONS