2008 Applicants Presentation Workshop Compliance Agenda Prohibited Conflict of Interest DCA-13 Disclosure Report Requirement Procurement of Professional Services Federal Labor Standards Considerations Property Acquisition Requirements Equal Opportunity Requirements

Page 2Presentation name | date Documentation of Benefit ▪Limited Clientele Projects ▪Area Benefit ▪Acceptable Survey Methodology Qualified Local Government Status Environmental Review Requirements ▪Form DCA-9 (new) ▪Section 106 ▪Historic Preservation Division Presentation

Page 3Presentation name | date Prohibited Conflict of Interest No Contracting Interest No Personal Benefit ▪Elected Officials and Family Members Only if: ▪Public Disclosure ▪Abstain from any votes and discussion ▪Attorney Opinion on State and Local Laws ▪Include in Application

Page 4Presentation name | date Review Appendix F and DCA-10 It is an Exception to the regulation and not a Waiver of the regulation

Page 5Presentation name | date DCA-13 Disclosure Report Requirement Financial benefit, not a COI Disclosure HUD Reform Act If total HUD assistance exceeds $200,000 Disclosure of all persons or contractors with a financial interest All consultants, developers or contractors involved in the application or implementation must be identified Disclosure of all sources of project funding DCA-13 form (4 pages)

Page 6Presentation name | date Procurement Standards Professional Services Grant Writers Grant Administrators Architects and Engineers

Page 7Presentation name | date Professional Services Procurement HUD Regulation 24 CFR Part 85 (Common Administrative Requirements) CDBG Applicants’ Manual Page 24

Page 8Presentation name | date Professional Services Procurement Competitive Negotiation Requires RFP or RFQ (architects or engineers only) Applicable if CDBG/CHIP funds are to finance activity Remember CDBG/CHIP can not pay for grant application cost (Pre-agreement Costs) Not Applicable to agreements with RDC

Page 9Presentation name | date Professional Services Procurement  Pre-award or post award selection?

Page 10Presentation name | date Professional Services Procurement Free, Open and Equitable Competition Solicit from known providers Publicize RFP or RFQ Evaluate proposals received Negotiate with more than one Document process and reasons for selection

Page 11Presentation name | date Request for Proposals or Qualifications Identify Scope of Work…what you want and when you need it List evaluation factors, how you will apply them and their relative importance Reminder: Price does not have to be a factor using the RFQ (Architects and Engineers) but must be for RFP (Grant Administrators)

Page 12Presentation name | date Request for Proposals or Qualifications Price can be negotiated Geographic location (proximity) can not be the deciding factor. If it is a factor respondents must be given an opportunity to explain how they propose to provide the requested service despite their location

Page 13Presentation name | date Request for Proposals or Qualifications Example Evaluation Factor: CDBG Experience Criteria:Number of (CDBG) Grants Funded Score:  10 points10 or more grants  5 points5 to 9 grants  1 pointless than 5  0 pointsnone

Page 14Presentation name | date RFP/RFQ Solicitation Send directly to “known providers” Standard:  7 or more for Grant Administrators  10 or more for Engineers or Architects Documentation of process and letters sent Be sure to provide submittal deadline  30 day minimum

Page 15Presentation name | date Publicize RFP/RFQ Local paper, legal section is acceptable Regional city paper is preferable Clearly state what is being requested Provide deadline for proposals/qualification statements  30 days minimum

Page 16Presentation name | date Evaluation of Proposals or Qualification Statements Committee review File memorandum explaining final choice Notify unsuccessful applicants Award Contract for Service to successful professional

Page 17Presentation name | date Other Considerations Contract price can not be a percentage of construction cost If you are requesting both grant management and architectural/ engineering services the Advertisement and Solicitation must be clear in the solicitation that the same firm does not have to provide both services

Page 18Presentation name | date Other Considerations Unsuccessful grant applicants from previous years can use same engineer or architect if:  Must be for previous application cycle  Followed acceptable procurement process  Application must be for same (improved!!) project

Page 19Presentation name | date Professional Services Procurement Failure to comply may result in DCA disallowing the use of CDBG/CHIP funds to pay for the professional activity

Page 20Presentation name | date Federal Labor Standards Applicable to any construction contract over $2000, supported in whole or in part by CDBG or CHIP Exempt: ▪Rehabilitation or Construction of six (6) or less housing units per contract using CDBG and eight (8) or less using CHIP/HOME funds.

Page 21Presentation name | date Federal Labor Standards Four Key Laws Davis Bacon Minimum Pay ▪Prevailing Wage Rate Determination Over-time pay ▪1.5 times rate of pay for over 40 hrs per week Copeland Anti-kickback Health and Safety Standards

Page 22Presentation name | date Federal Labor Standards Construction Cost Impact ▪Wages may be higher than normal for your area Administrative Burden may effect cost ▪Obtaining correct wage rate determination ▪Contract requirements ▪Reviewing required weekly payroll reports ▪Job Site Interviews ▪Solving compliance problems ▪Final Wage Report

Page 23Presentation name | date Acquisition of Property Applicable Law: Uniform Real Property Acquisition and Relocation Assistance Policies Act of 1970 (URA) Applicable Regulation ▪49 CFR Part 24 (DOT)

Page 24Presentation name | date Acquisition of Property Applicability ▪Purchase of land for building ▪Rights-of Way (ROW) for Streets ▪Permanent Easements for water, sewer, drainage, etc. ▪All acquisitions for CDBG Project Regardless of Source of Funds –i.e. Local funds

Page 25Presentation name | date Acquisition of Property Basic Requirements ▪Preliminary Notice of Intent to Acquire and URA Protections Provided to Owner ▪Amount Paid Must be Based on Appraised Value ▪Donations Acceptable But Only With Waiver ▪Owner Must be Offered Fair Market Value ▪Written Purchase Offer

Page 26Presentation name | date Acquisition of Property Indicate ownership status of property needed for project # of parcels and estimated cost Indicators of Readiness to proceed Don’t get Owners to Donate just prior to submittal of Application.

Page 27Presentation name | date BREAK

Page 28Presentation name | date Equal Opportunity Applicable Civil Rights Laws and Regulations ▪Section 109 of the Housing and Community Development Act of 1974 ▪Section 504 and the Americans with Disabilities Act (ADA) ▪Fair Housing Law ▪Ethnic and Racial Reporting Requirements

Page 29Presentation name | date Equal Opportunity Section 109 ▪Can not discriminate in CDBG or CHIP Programs on basis of: Race Ethnicity Sex Age Family Status Disability ▪HUD/FHEO can investigate complaints

Page 30Presentation name | date Section109 Choice of Beneficiaries and Target Areas must be equitable ▪DCA-6 (Benefit) asks for number of minority and non-minority beneficiaries ▪Final Report asks for race and ethnic data in addition to LMI status

Page 31Presentation name | date ADA and Section 504 Public Hearing locations must be accessible Public Building must be accessible Public Information must be accessible (TDD and GA Relay Service)

Page 32Presentation name | date Fair Housing Affirmatively Further Fair Housing Certification Public Information and Education is an eligible activity

Page 33Presentation name | date Documentation of Benefit Number of people to benefit (Proposed Accomplishments) are recorded on DCA-2 and DCA-6. Establishes basis for eligibility ▪70% Rule ▪100% for Housing Must be accurate as possible Reasonable Verifyable

Page 34Presentation name | date Documentation of Benefit Two Methods Direct count based on client records ▪Housing ▪Job Creation ▪Limited Clientele for Buildings for Community Service Health Centers, Senior Centers, etc. Area income survey ▪Public Utility and other Area Benefit projects

Page 35Presentation name | date Limited Clientele Benefit (Direct Count) Useful for Building Projects and Housing Benefit is limited to persons attending program or whose home is rehabilitated Information needed to determine LMI and Racial/Ethnicity status must be based on records “Double Counting” problem ▪People not “Service Encounters”, etc.

Page 36Presentation name | date Limited Clientele Benefit (Direct Count) May want to show existing and proposed numbers May want to break-out numbers by program in facility Example: Senior Center ▪People benefiting from on-site meals ▪Home delivery of meals ▪Attending daily programs

Page 37Presentation name | date Limited Clientele Benefit Some people can be assumed to be LMI ▪Only need a count of the # of people ▪Assumed LMI: Elderly Severely Disabled Homeless Battered or Abused Men, Women or Children Migrant Workers Persons living with AIDS Illiterate

Page 38Presentation name | date Limited Clientele Benefit If clients are not on this list (i.e. Health facility, etc.) the documentation of the number of persons to benefit must include family size and income data

Page 39Presentation name | date Documentation of Benefit Area Surveys Area Benefit ▪Water and sewer ▪Streets, drainage or sidewalks, etc Count everyone in area to benefit ▪All residents on street ▪Separate areas…one very low income area can not qualify a non-low and moderate income area even if overall benefit exceeds 70% minimum

Page 40Presentation name | date Documentation of Benefit Area Surveys Accurate in done properly 100% vs. Sample Survey Guidebook is available (Appendix C) Two Important Considerations ▪Who to Survey or Selecting the “Sample” ▪How to Survey or Implementation Considerations

Page 41Presentation name | date Documentation of Benefit Area Surveys Prefer 100% survey for a small area Large area may require a sample survey ▪Water Storage Facility ▪Treatment Facility The goal of a sample survey is to be able to make an accurate inference about a population based on a survey of a smaller or sample group Can be accurate if done properly

Page 42Presentation name | date Documentation of Benefit Area Surveys Sample Standards ▪Must be large enough based on population to be sampled ▪Table B (Page 9 of Guide) gives required minimum sample size based on population or “universe” ▪Example: 100 to 115 residents requires a sample of at least 90 residents 651 to 1200 requires a minimum sample of 300.

Page 43Presentation name | date Documentation of Benefit Area Surveys Must be a systematic and random selection of families to be survey so that each family has an equal change of being selected Going door to door until you accumulate enough surveys to meet the minimum sample size is not random. Guide provides more information of random selection methods

Page 44Presentation name | date Documentation of Benefit Sample Selection Example 500 families in neighborhood ▪Minimum sample required is 250 ▪250/500=1/2 or every other family must be survey ▪Make a random start and go to every other house (Systematic) ▪Must have a systematic replacement rule ▪Example: If after 3 attempts (all times) no one is home, always go to the neighbor on right.

Page 45Presentation name | date Documentation of Benefit Area Surveys: Implementation Acceptable Survey Form Must Ask ▪# Family Members ▪Gross Family Income ▪Racial data for final benefit form Avoid “leading” questions which may bias respondent Test the Survey Publicity Go at all hours and days of week

Page 46Presentation name | date DCA Form 6 Reports # of people to benefit as well as # who are low and moderate-income and # of minorities Must describe how the information was determined

Page 47Presentation name | date Who is a low and moderate income person? “A member of a family having an annual gross family income equal to or less that the Section 8 lower income limit, adjusted for family size”.

Page 48Presentation name | date DCA Form 6 For surveys must include: ▪How sample was chosen ▪# of families in area ▪# of families surveyed ▪# of persons in families surveyed ▪# of LMI families surveyed ▪How the survey was conducted (Who and When) ▪Copy of a survey form used Prior to funding decisions we may ask for copies of all surveys completed Must keep all information for DCA review

Page 49Presentation name | date Qualified Local Government Status Comprehensive Plan Status Required DCA Reports Service Delivery Strategy Solid Waste Planning We also check with Ga. Depart. of Audits Check your status at DCA web site We check during application reviews

Page 50Presentation name | date Environmental Review Requirements for CDBG/CHIP Applications Obligation of CDBG/CHIP Recipients: ▪Comply with environmental and historic preservation laws (Big List) ▪Assess and evaluate environmental effects ▪Minimize and mitigate any adverse effects ▪Public Notification ▪Do Not Obligate Funds Until E.R. Release of Funds Recipients’ Workshop Training

Page 51Presentation name | date Environmental Review Requirements for CDBG/CHIP Applications As you plan your project consider: ▪Neighborhood impacts ▪Historic Preservation Demolition Reuse and Rehabilitation of Historic Resources New building in a Historic Neighborhood ▪Memorandum of Understanding

Page 52Presentation name | date Environmental Review Requirements for CDBG/CHIP Applications Form DCA-9 Environmental Review Information ▪Floodplain and Wetland ▪Cultural and Historic Resources Archaeological Building and Structure Information Environmental Grant Special Conditions ▪Information from DCA-9 ▪DNR/HPD Comments

Page 53Presentation name | date HUD cross-cutting toolkits (Financial Management, Labor Relations and Environmental requirements) on its website /toolkit/index.cfmhttp:// /toolkit/index.cfm

Page 54Presentation name | date Historic Presentation Division Presentation by Michelle Volkema

Page 55Presentation name | date Compliance Requirements Questions? Rick Huber (404) Pam Truitt (404)

Page 56Presentation name | date Good Luck