COSCDA, Des Moines September 21, 2011 CPD Program Updates

HOME Program Update

HOME Budget FY 2012 – Administration request - $1.625 million – House mark at $1.2 billion – Senate - $1.0 billion FY 2013 – Budget preparation underway

FY 2012 Budget Senate Committee Mark 9/20/11 “HOME Investment Partnership: $1 billion for the HOME Investment Partnership program, which is $607 less than the fiscal year 2011 enacted level. This funding supports the creation and rehabilitation of low-income housing across the country. The bill also includes reforms to ensure that funds are used in a timely fashion for worthy projects.”

FY 2012 Budget Senate Committee Mark 9/20/11 “Community Development Block Grants (CDBG): $2.85 billion is provided for CDBG grant funding for States and communities across the Nation. This is $485 million below the fiscal year 2011 enacted level. This funding will assist states and communities that are still struggling as the economy recovers with their continued efforts to invest in and support the needs of low income communities.”

HOME Proposed Rule - Status Completed Departmental Clearance Due to be sent to OMB Projected Publication Date

HOME Proposed Rule Topics Performance and Reporting Timeliness CHDO Capacity Program Income Reporting Written Agreements HOME and Public Housing

HOME Proposed Rule Topics – cont. Property Standards and Energy Efficiency Physical Inspection Schedules for Rental Troubled Project Procedures Financial Oversight of rental projects

HOME Proposed Rule Topics – cont HOME Proposed Rule Topics – cont. Underwriting and Developer Capacity Special Needs Housing – Disabled Populations Maximum Value Limits for Homeownership Units – 95% of Area Median Purchase Price Recapture Provisions Responsible Homeownership Program Design

HOME Performance and Reporting PJs must integrate review of Open Activity and Vacant Unit Reports into normal operations – Generate red flags when: Projects remain in final draw for more than 120 days Continuing vacancies/unreported beneficiary data – Check PR 27s or other reports to identify old funds stuck in subfunds.

Tracking Project Progress PJs must be more proactive with respect to stalled or slowly progressing projects. – Written agreements must include performance standards and enforcement mechanisms Penalties Change Developers Expect IDIS changes that require reporting on projects that may not be progressing. September auto-cancellation – 0 projects! Jan – August – 2,128 projects, > $350,000,000

Unsold Homebuyer Units An unsold homebuyer unit developed with HOME funds is an ineligible activity – More aggressive marketing – Develop waiting list of eligible buyers – Convert to rental CHDOs, Other Nonprofits, or PHAs may be willing to own or manage scattered site rental Look for Upcoming Webinars on this subject in November

HOME Training OAHP is soliciting HOME training requests from CPD Field Offices – Due Thursday, September 22nd – Catalog of courses available at

Homeless Programs Update

Overview of Presentation Overview of Presentation Policy Drivers – Federal Strategic Plan FY2011 CoC Competition HEARTH Act Update FY2012 Budget and Implications

Policy Driver: Federal Strategic Plan Overall Goals of the Opening Doors: Federal Strategic Plan to Prevent and End Homelessness: 1.End Veterans homelessness in 5 years 2.End Chronic Homelessness in 5 Years 3.End Family and Youth Homelessness in 10 Years 4.Set a Path to Ending All Homelessness

FY 2011 CoC Competition FY 2011 CoC Competition 2011 Continuum of Care Competition opened September 30, 2011 Applications are due October 28, 2011 HUD expects to announce awards earlier than last year HUD anticipates that the amended definition of homeless will be used for grants awarded in the FY2011 CoC Competition

HEARTH Act Update HEARTH Act Update Working through 6 sets of regulations to implement HEARTH: – Definition of Homelessness (final rule) – Emergency Solutions Grants Program – Consolidated Plan Amendments – Homeless Management Information Systems – Continuum of Care Program – Rural Housing Stability Assistance Program

HEARTH Act Update HEARTH Act Update HUD expects that the final rule for the definition of homeless will be in effect for: The second allocation of FY 2011 ESG funds Grants awarded in the FY2011 CoC Competition (SHP, S+C, and SRO) The CoC Program The RHS Program

Hearth Act Update Emergency Solutions Grants Program HUD expects the Emergency Solutions Grants Program and amendments to the Consolidated Plan regulations to be implemented in The regulations are currently at OMB for review. HUD is developing materials to assist recipients plan for and implement ESG.

Hearth Act Update Emergency Solutions Grants Program Hearth Act Update Emergency Solutions Grants Program FY2011 ESG funds will be awarded in two allocations totaling at least $225 million: $160 million was allocated under the current Emergency Shelter Grants Program regulations At least $65 will be allocated when the Emergency Solutions Grant regulation is published for effect

HEARTH Act Update HMIS, CoC, RHS HEARTH Act Update HMIS, CoC, RHS The regulations governing HMIS will be published for public comment in 2011 Until the HMIS regulation is published for effect the current data and technical standards apply The Continuum of Care Program and the Rural Housing Stability Assistance Program are to be implemented in 2012, depending on appropriation

Budget Update FY 2011 Budget Requested $2.055 Billion Received $1.905 Billion (an increase from 2010) – Could not fund full HEARTH implementation – ESG increased to at least $225 million from $160 million

Budget Update FY 2012 Budget Requested $2.37 Billion to implement HEARTH House mark-up proposes $1.901 Billion – Sets aside $225 million for ESG

FY 2012 Budget Update – Senate Mark – 9/20/2011 “Homeless Assistance grants: $1.9 billion for homeless assistance grants. This level of funding is equal to the fiscal year 2011 enacted level. In response to the increase in family homelessness, the bill includes $286 million for the Emergency Solutions Grant program to prevent families from becoming homeless, or rapidly re-house those that are homeless.”

Resources Up-to-date information regarding the HEARTH Act, including a copy of the McKinney-Vento Act amended by the HEARTH Act, can be found at Notification of the availability of future information will be released via HUD’s Homeless Assistance listserv. To join HUD’s listserv, go to and click on “Homeless Assistance Program.”

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