1. 2015 CDBG LATERALS NOFA WORKSHOP California Department Of Housing And Community Development Presenter: Stoyan Elitzin

2. HOUSEKEEPING  Today’s Schedule – 9:00 a.m. - 4:30 p.m.  Cell Phones – Vibrate Mode  Rest Rooms  Parking  Questions – save for the Q&A sessions during the presentation 2015 CDBG Drought Laterals NOFA 2

3. INTRODUCTION  WORKSHOP PRESENTER(S)  NOFA Section Staff  AUDIENCE Your Name. Where you’re from. What you do. How many years of CDBG experience. 2015 CDBG Drought Laterals NOFA 3

4. TODAY’S WORKSHOP  NOFA Basics  Application Process  Who Can Apply?  Threshold Requirements  Eligible & Ineligible Activities  Award Announcements  Grant Contracts  Federal Overlays 2015 CDBG Drought Laterals NOFA 4

5. NOFA BASICS Drought’s Impact on Counties: Top 5 Counties (Per CalOES Operations Report) Tulare Co Tuolumne Co Mariposa Co Fresno Co Merced Co 2015 CDBG Drought Laterals NOFA 5

6. NOFA BASICS Available NOFA Funds = approximately $5 million For direct relief and mitigation of the effects of the 2014 California Drought Disaster, as declared by Governor Brown. The CDBG activity is Housing Rehabilitation (HUD Matrix Code 14A). 2015 CDBG Drought Laterals NOFA 6

7. NOFA BASICS Application Timelines: Key Dates NOFA & Application Release: October 6, 2015 HCD Starts Accepting Applications on: October 30, 2015 Applications Deadline: None. First-come, first-served, based on daily receipts*, until funds are exhausted Awards Announced:As Available Potential Second NOFA:1 st Quarter 2016 If Funds Available 2015 CDBG Drought Laterals NOFA 7

8. NOFA BASICS Funding  Application minimum - $150,000,  Application maximum - $750,000,  Spend Program Income first!  General Administration – up to 7.5% of total grant,  Activity Delivery- up to 10% of activity funds 2015 CDBG Drought Laterals NOFA 8

9. Application Process NOFA Application Submittal Process  No In-Person drop off or Walk-In of NOFA Application (Division-wide Policy)  Applications must be received by the Department no earlier than Friday, October 30, 2015. An Application sent and accepted via overnight mail counts as received by HCD on the day it was mailed out via overnight.  Applications should have delivery verification by USPS, FedEx, UPS, or other Courier Service 2015 CDBG Drought Laterals NOFA 9

10. Application Process  Application must be signed by the Authorized Representative  Include Resolution and proof of Public Participation  If funds are oversubscribed, or multiple applications received on the same day, a tie-breaker process will be used based on jurisdiction-wide poverty levels. 2015 CDBG Drought Laterals NOFA 10

11. LATERALS NOFA Any Questions? 2015 CDBG Drought Laterals NOFA 11

12. Who Can Apply? Non-Entitlement Jurisdictions in California  Cities with populations under 50,000.  Counties with populations under 200,000.  Not currently a party to an Urban Party Agreement.  Not eligible to participate in the HUD Administered CDBG Entitlement Program.  Eligible jurisdictions may apply on behalf of Non-Federally Recognized Native American Tribes located in the jurisdiction 2015 CDBG Drought Laterals NOFA 12

13. Threshold Requirements The following CDBG threshold requirements DO NOT apply to the 2015 CDBG Lateral NOFA: The 50% Rule for expenditure of funds by the application due date, Compliance with OMB Circular A-133, Single Audit Report by application due/submittal date, Housing Element submittal and adoption 2015 CDBG Drought Laterals NOFA 13

14. Threshold Requirements Threshold Requirements continued  Must provide a copy of the governing resolution specific to the 2015 CDBG Lateral NOFA application  Must not be debarred, suspended, or declared ineligible to participate in federal programs.  Must be in compliance with CDBG Citizen Participation regulations (Appendix A) 2015 CDBG Drought Laterals NOFA 14

15. NATIONAL OBJECTIVES Urgent Need Existing conditions posing serious and immediate threat to the health and welfare of the community, are of recent origin or recently became urgent (became critical within 18 months) and other sources of funding are not available.  Available upon formal determination by the Department. 2015 CDBG Drought Laterals NOFA 15

16. NATIONAL OBJECTIVES Documentation Required: Number of homes with dry water wells and no access to permanent potable water, Certification the wells dried up following the date of the 2014 Drought Declaration, Evidence that the impacted homes are near an existing or proposed water system that they can connect to and that has committed to serving the residences (copy of Agreement, draft ok) Certification that the jurisdiction is unable to finance the activity on its own, and that other sources of funding are not available to meet such needs (Certification form at the end of Application) 2015 CDBG Drought Laterals NOFA 16

17. BENEFICIARIES Beneficiaries Because this NOFA is based on the Urgent Need National Objective, grantees are not required to income qualify the beneficiaries being served. 2015 CDBG Drought Laterals NOFA 17

18. ELIGIBLE ACTIVITIES Installation of water lateral connections within the private property boundaries to existing or proposed water systems, as part of the Housing Rehabilitation activity (HUD Matrix Code 14A). Utility Connection Fees – one-time fees for capital water improvements, such as providing a connection from the water main to the meter, as well as installing the water meter and valve. Abatement (capping) of existing wells which are dry, contaminated or have inadequate water supply. Definition of Water Lateral Connection: the line that extends from the private residence to the water meter. 2015 CDBG Drought Laterals NOFA 18

19. INELIGIBLE ACTIVITIES Drilling of new water wells or deepening of existing wells Installations of water lateral connection for households that are not near or cannot connect to a public water system that will serve the households Installations of water mains Pre-paid future maintenance costs, such as those included in the utility connection fees 2015 CDBG Drought Laterals NOFA 19

20. LATERALS NOFA Any Questions? 2015 CDBG Drought Laterals NOFA 20

21. ELIGIBLE ACTIVITIES Types of Assistance Owner-occupied households may receive a grant Investor-owned properties require a loan (minimum 5 year term and Rent Limitation Agreement; can be 0% interest with deferred payments) 2015 CDBG Drought Laterals NOFA 21

22. AWARD ANNOUNCEMENTS Awards will be announced within 45 days of receiving an application that has met the eligibility criteria. If inadequate Threshold documentation or ineligible activities, Applicant may revise the application. However, the date of submittal of the revised application will count as the jurisdiction’s date of application for award purposes. 2015 CDBG Drought Laterals NOFA 22

23. GRANT CONTRACTS Grantees must obtain clearance or approval for any General or Special conditions prior to beginning a CDBG-funded activity. General Conditions will include: 1.NEPA Exemption Certification 2.Laterals Program Guidelines 2015 CDBG Drought Laterals NOFA 23

24. GRANT CONTRACTS Term of Agreement: The Agreement shall expire 36 months from the date of award; Expenditure Deadline - 30 months from the date of the award. Expenditure Milestone: The Department may terminate this Agreement if Grantee fails to drawdown at least 50 percent of the grant amount within eighteen months of Agreement execution. 2015 CDBG Drought Laterals NOFA 24

25. FEDERAL OVERLAYS NEPA - Exempt per federal regulations Public Participation  At least one properly-noticed public hearing  If one hearing, must be in front of the governing body and obtain Resolution  Refer to Appendix A for details Relocation  Not expected for this activity  If anticipated, applicant must submit Relocation Plan 2015 CDBG Drought Laterals NOFA 25

26. FEDERAL OVERLAYS Procurement Procurement of Administrators: If activity is not administered in-house, follow the normal process for procuring activity administrators. Procurement of Contractors: Can do tiered procurement process: 1.Grantee sends out RFP for eligible contractors 2.Obtain specific bids for up to 7 laterals and use small purchase method Construction contract is between homeowner and contractor. 2015 CDBG Drought Laterals NOFA 26

27. FEDERAL OVERLAYS PREVAILING WAGES No exemption provisions for this overlay Trigger: a construction project that involves 8 contiguous housing units or more will trigger federal prevailing wages. Based on the actual contract executed with the contractor, and not on the total amount of units assisted by a jurisdiction 2015 CDBG Drought Laterals NOFA 27

28. FEDERAL OVERLAYS Federal Debarment & Suspension The Department cannot award any CDBG funds to applicants that are debarred, suspended, proposed for debarment, declared ineligible or voluntarily excluded from participation from federally-assisted programs. 2015 CDBG Drought Laterals NOFA 28

29. LATERALS NOFA Any Questions? 2015 CDBG Drought Laterals NOFA 29