Community HOME Investment Program (CHIP)

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Community HOME Investment Program(CHIP)
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• 2013 RECIPIENTS Workshop

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CONGRATULATIONS TO THE SFY 2013 RECIPIENTS
OFFICE OF PROGRAM AND PUBLIC AFFAIRS
West Point, City of
Rome, City of
Hogansville, City of
Home Development Resources, Inc
Sumter County
Hawkinsville, City of
Brunswick, City of
Family Community Housing, Inc.
Vienna, City of
Douglas, City of
Jackson County
Troup County
Wadley, City of
Sandersville, City of
Thomasville, City of

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Typical Hazards
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Spending less than 1,000 in total CHIP project
  funds
• Not returning recaptured CHIP funds
• Allowing CHIP funds to sit in account for more
  than 7 days
• Spending CHIP funds on ineligible property or
  applicant
• Not seeking DCA guidance on conflicts of interest
• Not following HOME regulations including record
  retention

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Activate Agreement

• Signed by Certified Official
• Should have returned two originals by Monday, May
  27, 2013
• Executive Director of GHFA will execute the
  Agreement
• DCA will mail a copy of the executed agreement to
  the State Recipient or Sub-recipient for their
  records

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Activating Grant Signature Card (CA-1)
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Recipient may authorize up to a maximum of four
  signatories
• One signatory must be an employee of the State
  Recipient or Sub-recipient
• Indicate whether one or two signatures will be
  required for draw request
• Two authorized signatures are required if
  Certifying Representative designates him/herself
• Administrator employee may not be designated in
  lieu of the State Recipient or Sub-recipient
  employee

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Program Policy Activity Documents
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Designate up to one individual to take certain
  actions
• Approve policy documents
• Section 3 Business and Employee Recruitment Plan
• Affirmative Fair Housing Marketing Plan
• MBE/WBE Outreach Plan

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Program Policy Activity Documents (Continued)
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Designee may approve a request to DCA changing
  the scope of activities
• Designee is authorized to receive all
  communications concerning grant implementation on
  behalf of the Grantee from DCA.
• NOTE The Designee must be an elected official
  or an employee of the State Recipient or
  Sub-recipient

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Activating Grant General Banking Requirements
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Must place all funds received from DCA into a
  separate, non-interest bearing local CHIP Housing
  Account (CHIP Account).
• Any funds contributed as a minimum balance
  required by the banking institution must be
  non-CHIP funds.

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Activating Grant General Banking Requirements
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Funds placed in local CHIP Account must be
  expended (checks written and distributed to the
  appropriate vendor or other payee) within seven
  (7) business days of receipt of the funds from
  DCA.
• Funds not disbursed must be mailed to DCA within
  this seven (7) business day period.

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Activating Grant General Banking Requirements
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Failed disbursements due to inaccurate wiring
  instructions on the drawdown request form will
  result in a 40 reduction in the administrative
  funds paid
• This will reduce the administrative grant
  available to the State Recipient or
  Sub-recipient.

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Activating Grant General Banking Requirements
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• All payments will be made using either a wire
  transfer or an Automated Clearing House (ACH)
  transaction unless very limited, special
  circumstances require a manual check.

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Activating Grant Clearing General Conditions
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Appendix B to each Agreement outlines each of the
  General Conditions that must be cleared by DCA
  prior to initiating the program.
• Tier One Environmental Review
• Affirmative Fair Housing Marketing Plan
• MBE/WBE Outreach Plan (Rehab Only)
• Lead-Safe Work Practices On-Line Certification
  Course
• Section 3 Business and Employee Recruitment Plan
• Illegal Immigration Reform and Enforcement Act,
  O.C.G.A. 13-10-91

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Activating Grant Clearing General Conditions
(Contd)
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Appendix B to each Agreement outlines each of the
  General Conditions that must be cleared by DCA
  prior to initiating the program.
• Georgia Security and Immigration Reform and
  Enforcement Act, O.C.G.A. 50-36-1(e)(2).
• Grantee Staff or Contract Staff is a certified
  HQS Inspector
• DCAs P P to be adopted by the local
  government
• DCAs Written Rehabilitation Standards to be
  adopted.

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Addressing General Conditions Environmental
Review Requirements Tier 1 Environmental Tab
A
(Must be submitted to DCA and cleared prior to
any draw down of funds)

• Sub-Recipients
• DCA complete Statutory Checklist
• DCA publish in newspaper
• DCA charge sub-recipient for cost of publishing
• DCA request ROF
• DCA issues Authority to Grant Funds after HUD
  clearance

• State Recipient
• Complete Statutory Checklist
• Provide detailed information
• Publish in newspaper
• Request ROF
• Receive Authority to Grant Funds

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Affirmative Fair Housing Marketing Plan Forms
Tab A

• Fair and open to all qualified applicants
• Proof of houses being in standard condition and
  on market at affordable price range
• Get details and documentation from real estate
  community
• Maintain applicant waiting list showing
  resolution of each application
• All printed CHIP literature must have fair
  housing logo

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Affirmative Fair Housing Marketing Plan Forms
Tab A (Contd)

• Implement the program marketing plan as set forth
  in the application Affirmative Marketing Plan
• Begin taking applications and follow the fair and
  equitable application in-take process as set
  forth in your application
• What is the basic marketing strategy?
• Have all program applicants been pre-approved?

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS
MBE/WBE Outreach Plan Forms Tab B

• Grantee must
• Make reasonable efforts to encourage the use of
  Minority and Women Owned Business Enterprises
  (WBE/WBE)
• Adopt as part of P P
• Approved by DCA

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Lead-Safe Certification

• Lead-Safe Work Practices On-Line Certification
  Course
• .C.G.A. 13-10-91

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Section 3 Business and Employee Recruitment
Plan Forms Tab D

• Section 3 Business and Employee Recruitment Plan
  13-10-91

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Illegal Immigration Reform and Enforcement Act,
O.C.G.A. 13-10-91 Forms Tab D. C.G.A

• Illegal Immigration Reform and Enforcement Act,
  O.C.G.A. 13-10-91.
• .G.A. 13-10-91

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Addressing General Conditions Georgia
Security and Immigration Reform and Enforcement
Act, O.C.G.A. 50-36-1(e)(2) Forms Tab D

• Georgia Security and Immigration Reform and
  Enforcement Act, O.C.G.A. 50-36-1(e)(2).

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Addressing General Conditions Grantee Staff
or Contract Staff is a certified HQS Inspector

• Grantee Staff or Contract Staff is a certified
  HQS Inspector

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Develop Your Local CHIP Program Policies and
Procedures
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Lead paragraph setting forth approved award
  (amount of award, activities, award date)
• Eligible Borrowers
• Eligible Activities
• Application In-take
• CHIP Loan Terms and Conditions
• Minimum Property Standards

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Addressing General Conditions Develop Local
Program Policies and Procedures (contd)
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Written Rehabilitation Standards
• General Property Improvements
• Inspection, Work Write Up, Bidding Procedures
• Contractor Qualifications
• Loan Documentation and Loan Closings
• Progress Payments, Change Orders, Close-Outs
• Appeals and Complaints

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Homeowner Rehabilitation Setting-Up Activities
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• ACTIVITY PRE-SET UP
• Income Verification Form (CC-8)
• Certification to Use Unit as Principal Residence
  (CC-7)
• Declaration of Citizenship Status (CC-3 and CC-4)
• Certification as to Conflict of Interest (CC-6)
• Copy of Warranty Deed
• Documentation of Market Value of the Property

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Homeowner Rehabilitation Setting-Up Activities
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Activity Pre-Set Up (CONTINUED)
• Tier 2 Site Specific Environmental Checklist with
  Supporting Documentation (Environmental, Tabs D
  or E).
• Must submit to DCA a Homeowner Rehabilitation
  Activity Pre-Set up Information Form (CA-3)

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Environmental Review Requirements Tier 2
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Sub-Recipients
• Submit Environmental Screening Checklist
• Submit supporting documentation
• Floodplain/Wetland Maps
• DCA completes Site Specific Environmental
  Screening Checklist
• DCA performs clearance
• DCA issues Notice to Proceed

• State Recipients
• Submit Site Specific Environmental Screening
  Checklist
• Submit all supporting documentation
• DCA verify clearance
• DCA issues Notice to Proceed

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Homeowner Rehabilitation Setting-Up Activities
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Activity Pre-Set Up (Contd)
• Proof of Year of Construction of Housing Unit as
  evidenced by one of the following documents
• Tax Record
• Appraisal
• Builders Deed
• Historic Survey
• Sanborn Fire Insurance Map
• Other legal documentation

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Homeowner Rehabilitation Setting-Up Activities
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Activity Pre-Set Up (Contd)
• Lead-Based Paint Visual Assessment if unit
  constructed prior to 1978
• Initial Scope of Work Write-Up for Non-Lead Costs
• Initial Scope of Work Write-Up for Lead Costs if
  unit constructed prior to 1978
• Pictures of housing unit demonstrating need for
  work to be performed.
• Pictures should reflect all of the work to be
  addressed on the regular work write up as well as
  the lead work write up.

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Homeowner Rehabilitation Setting-Up Activities
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Activity Pre-Set Up (Contd)
• Reconstruction
• For any Recipient that proposed reconstruction as
  part of their program design, on each individual
  unit, a Reconstruction Feasibility Test Form
  (CR-8) must be provided that provides the
  following information
• Narrative describing the needs for a unit to be
  reconstructed instead of rehabilitated.

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Homeowner Rehabilitation Setting-Up Activities
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Activity Pre-Set Up (Contd)
• Reconstruction
• Describe plans to relocate the unit residents
  during reconstruction
• source of funds
• estimated length of time that relocation will be
  necessary
• commitment from Recipient that sufficient
  resources are available to the Recipient to cover
  the entire length of time that the relocation
  will be necessary.
• An appraisal or third party documentation of the
  After Development Value of the Property.

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Homeowner Rehabilitation Reconstruction
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• All reconstruction activities must meet all of
  the following visitability requirements of OCGA
  8-3-172
• One No Step Entry through 36 inch door
• On first floor
• Each interior door is at least a standard 32 inch
  door, unless the door provides access only to a
  closet of less than 15 square feet in area
• Each hallway has a width of at least 36 inches
  and is level, with ramped or beveled changes at
  each door threshold
• Each bathroom wall is reinforced for potential
  installation of grab bars
• Each electrical panel or breaker box (located
  inside on first floor), light switch, or
  thermostat is not higher than 48 inches above the
  floor
• Each electrical plug or other receptacle is at
  least 15 inches above the floor

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Homeowner Rehabilitation Activity Pre-Set Up
(Contd)
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Upon review of the information submitted as part
  of the Pre-Set Up phase
• DCA will provide a Notice to Proceed Pre-Setup
  Letter (CR-4)
• The assigned DCA Project Number for the activity
  will be included.
• The Recipient is free to enter into a contract
  with the homeowner and allow the homeowner to
  secure a contractor.

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Homeowner Rehabilitation Activity Pre-Set Up
(contd)
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Rehab or Reconstruction
• If upon review, the information is not compliant
  or insufficient
• DCA will issue a Pre-Set Up Deficiency
  Determination Email
• Include the Project Number for the activity and
  identify any areas of non-compliance

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Homeowner Rehabilitation Pre-Set Up Review
Schedule
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• DCA will review the Homeowner Rehabilitation
  Assistance Activity Information Form and
  accompanying documentation within five (5)
  business days from receipt of the documentation
  and either
• (1) issue a Pre-Set Up Deficiency Determination
  Email or
• (2) issue the Notice to Proceed Pre-Set up (CR-4)

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Homeowner Rehabilitation
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Pre-Set Up Review Schedule
• If additional information has been submitted in
  response to a Pre-Set Up Deficiency Determination
  Email
• DCA will issue either an additional Pre-Set Up
  Deficiency Determination Email or
• Issue a Notice to Proceed Pre-Set up (CR-4)
• within five (5) business days from receipt of the
  requested documentation.

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Homeowner RehabilitationPre-Set Up Review
Schedule
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• DCA will scan and send electronically or fax
• The Pre-Set Up Deficiency Determination Email
• or
• The Notice to Proceed Pre-Set up (CR-4) to the
  State Recipient or Sub-recipient and, if
  applicable, their Administrator.

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Homeowner Rehabilitation Activity Set Up
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Homeowner Rehabilitation Assistance Activity Set
  Up Form (CA-4)
• Accompanying Documentation
• Agreement between State Recipient or
  Sub-recipient and Homeowner
• As evidenced by a copy of the Promissory Note
  (CL-4R)
• Addendum to Construction Contract (CR-A10)
• Deed to Secure Debt
• Homeowner Rehab Assistance Deed to Secure Debt
  (CL-1)

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Homeowner Rehabilitation Activity Set Up
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Contract between the Homeowner and Contractor
• Must include the Contractors Work Write-Up
• After-Rehab Appraised Value
• Proof of Contractor Clearance
• Notice of Commencement
• Proof of Lead Renovator Certification
• Georgia Security and Immigration Compliance Act
  of 2006 (CC-2)

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Homeowner Rehabilitation Activity Set Up
(continued)
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• DCA will review the Homeowner Rehabilitation
  Assistance Activity Set Up Form and accompanying
  documentation to determine compliance with CHIP
  requirements
• 1. Issue a Homeowner Rehabilitation Assistance
  Activity
• Deficiency Determination Email
• or
• 2. Issue a Notice to Proceed Rehab Set up(CR-4b)

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Homeowner Rehabilitation Set-Up Review
Schedule
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• DCA will review the Set Up form and accompanying
  documentation, identify any deficiencies, and
  communicate those deficiencies within five (5)
  business days of receipt at DCA
• DCA will issue a Notice to Proceed Rehab Set up
  (CR-4b) within five (5) business days of DCAs
  receipt of a complete Set Up package.

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Homeowner Rehabilitation Setting-Up Activities
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• DCA will scan and send electronically or fax the
  Notice to Proceed Rehab Set up (CR-4b) to the
  State Recipient or Sub-recipient and, if
  applicable, their Administrator.

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Homeowner Rehabilitation Revised Set Up
Submission
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Revised Set Up requests must be prepared on the
  Homeowner Rehabilitation Assistance Activity Set
  Up Form (CA-4)
• Submit via mail, courier or hand-delivery to DCA
  with original signatures.
• Make sure you check the revision box on the
  upper left hand corner and provide the name and
  phone number of the person completing the form.

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Homeowner Rehabilitation Revised Set Up
Submission
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• DCA will review the Revised Set Up Form (CA-4)
  and accompanying documentation,
• Identify any deficiencies, and, if necessary,
  communicate those deficiencies within three (5)
  business days of receipt at DCA.
• DCA will issue a Notice to Proceed Rehab Set up
  (CR-4b) within (5) business days of DCAs receipt
  of a complete Set Up package.

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Homeowner Rehabilitation Revised Set Up
Submission
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• If additional information is requested and
  received, DCA will review the additional
  information and communicate back to the State
  Recipient or Sub-recipient within (5) business
  days of its receipt of the additional information
  or issue a Contractors Notice to Proceed (CR-4b)
  within five (5) business days of receipt of the
  additional information.

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Homeowner Rehabilitation Revised Set Up
Submission
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• DCA will scan and send electronically or fax the
  Notice to Proceed Rehab Set up (CR-4b) to the
  State Recipient or Sub-recipient and, if
  applicable, their Administrator.

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Homeowner Rehabilitation Setting-Up Activities
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Activity Set Up
• All Pre-Set Up and Set Up requests must be
  submitted
• via mail, courier or hand-delivery to DCA with
  original signatures
• requests for additional documentation must also
  be submitted via mail, courier or hand-delivery
  to DCA.

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Homeowner Rehabilitation Set Up Cancellation
Submission
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• All cancelled Set Up requests must be prepared
  on the Homeowner Rehabilitation Assistance
  Activity Set Up Form (CA-4)
• submit via mail, courier or hand-delivery to DCA.
• Make sure to place an x next to the box
  designated for a cancelled project on the upper
  left hand corner of the Form.
• DCA will issue a cancelled confirmation within
  (5) business days of DCAs receipt of the
  cancelled set up request.

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Homeowner Rehabilitation Request to Exceed
Maximum
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• For Amounts Up to 20 of the Original Set Up
  Amount
• may exceed the original set up amount for an
  individual housing unit by up to 20 without
  seeking DCA approval.
• must submit a revised Homeowner Rehabilitation
  Activity Set Up Form (CA-4).
• CHIP Project Number
• Name of Homeowner

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Homeowner Rehabilitation Request to Exceed
Maximum
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Must submit a revised Homeowner Rehabilitation
  Activity Set Up Form (CA-4)
• CHIP Project Number
• Name of Homeowner
• Address of Unit
• Revised HOME Cost

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Homeowner Rehabilitation Request to Exceed
Maximum
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Accompanying Documentation
• Narrative describing the reasoning behind the
  need for the increased assistance request
• Homeowner Affidavit to Execute Amended Promissory
  Note (CL-A13)
• Signed Change Order Amending the Contract between
  Homeowner and Contractor

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Homeowner Rehabilitation Request to Exceed
Maximum
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Must include Contractors Work Write-Up
• Reconstruction Feasibility Form (CR-8)
• Contract between Homeowner and Contractor
• After-Rehab Appraised Value
• Pictures documenting the need for the revised
  scope of work

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Homeowner Rehabilitation Request to Exceed
Maximum
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• DCA will consider the request and, if approved
  or denied, issue a Grant Notice (CA 8).

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Homeowner Rehabilitation Request to Exceed
Maximum
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Any increases in project cost above 20 of the
  original project cost must be approved by DCA
  prior to initiating any work associated with the
  cost amendment.

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Homeowner Rehabilitation Drawing Funds
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Must prepare and submit with supporting
  documentation to DCA a CHIP Drawdown Request Form
  (CA-2 and/or CA-2b).
• Each item, including project delivery costs, for
  which payment is requested must be accompanied by
  supporting documenting of the cost.
• Should note that invoices simply reference
  project delivery costs are not detailed or
  itemized and will not meet HUDs or DCAs
  requirements for detail and itemization.

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Homeowner Rehabilitation Drawing Funds
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Each interim draw request must be accompanied
  with a schedule of work completed compared to the
  construction contract that is prepared by the
  contractor. Each item, including project delivery
  costs, for which payment is requested must be
  accompanied by supporting documenting of the
  cost.

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Homeowner Rehabilitation Drawing Funds
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Must submit at the time of final construction
  draw
• Homeowner Rehabilitation Assistance Completion
  Form - (CA-5)
• Contractor and Sub-Contractor Activity - (CR-3)
• Section 3 Report - (CC-1)
• Match Contribution Form - (CC-9), if State
  Recipient or Sub-recipient agreed to provide
  Match Contribution

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Homeowner Rehabilitation Drawing Funds
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Must submit at the time of final construction
  draw
• Supporting Documentation
• Final Schedule of Work Completed compared to the
  Construction Contract
• Agreement between State Recipient or
  Sub-recipient and Homeowner
• As evidenced by a copy of the Amended and
  Re-Stated Promissory Note
• Additional documents that may be required by DCA

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Homeowner Rehabilitation Drawing Funds
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Must submit at the time of final construction
  draw
• Final Lien Waivers
• Certificate of Final Inspection (CR- 9)
• Pictures documenting completed work activity.
• Final Owners Satisfaction Statement (CR-7)
• Copy of the recorded Collateral Assignment (CL-5)
• Contractors Certification of Work Completion
  Work Homeowner

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Homeowner Rehabilitation Drawing Funds
Administrative Funds
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• At the time of the final construction draw
• May request payment of administrative funds, (if
  administrative funds were awarded)
• The amount requested may not exceed 2 of the
  funds drawn for the activity.

61
Homeowner Rehabilitation Drawing Funds Project
Administrative Funds
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Upon DCAs determination that the documentation
  submitted with the CHIP Draw Request Form is
  determined to be complete
• DCA will initiate within five (5) business days
  of DCAs receipt of the Homeowner Rehabilitation
  Assistance Draw Request Form a formal request to
  HUD for funding.
• If the draw documentation is complete
• should anticipate receipt of funds in your
  account fourteen (14) business days from DCAs
  receipt of a Draw Request Form.

62
Homeowner Rehabilitation Drawing Funds Project
Administrative Funds
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• If DCA determines that the documentation
  submitted with the CHIP Draw Request Form is
  insufficient
• DCA will contact the administrator or recipient
  to inform them of the deficiency

63
Homeowner Rehabilitation Subsidy Form
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• In the event of the death of a homeowner(s)
  during the stated period of affordability, DCA
  will permit a State Recipient or Sub-recipient to
  allow within its stated program design for
  transfer of the property to an eligible low and
  moderate income household that is an immediate
  family member of the original homeowner. An
  immediate family member is defined as a spouse,
  parent, brother or sister, or child of that
  person, or an individual to whom that person
  stands in loco parentis. The State Recipient or
  Sub-recipient must provide procedures within its
  program design to qualify the immediate family
  member as an eligible household. All
  documentation must be submitted to DCA and
  retained in the files of the State Recipient or
  Sub-recipient.

64
Homeowner Rehabilitation General Property
Improvements
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Improvements outside the scope of bringing a unit
  up to the state and local standards are generally
  not permitted unless the purpose of the
  improvement is to increase the energy efficiency
  or handicapped accessibility of the unit.
• The costs of weatherization and handicapped
  accessibility improvements may not exceed 15,000
  or more than 50 of the total cost of the
  rehabilitation work.

65
Homeowner Rehabilitation Owner Contribution
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Local program design for all Homeowner
  Rehabilitation Activities must not require any
  contribution for eligible project costs from an
  eligible homeowner with an income equal to or
  less than 50 of the Statewide Non-Metropolitan
  Area Median Income as adjusted for household size

66
Homeowner Rehabilitation Drawing Funds
Owner Contribution
OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Household Size Income Limit Below Which No Owner Contribution Can Be Required
1 15,610
2 17,840
3 20,070
4 22,300
5 24,530
6 26,760
7 28,990
8 31,220
67
Homeowner Rehabilitation Drawing Funds
Project Delivery Fees
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• The following eligible Project-Related Soft Costs
  may be charged to the activity
• Processing of applications from the homeowner
• Appraisals required by HOME program regulations
• Preparation of work write-ups and work
  specifications
• Lead based paint inspections, risk assessments
  and clearance testing
• Project underwriting
• Construction inspections
• Project document preparation
• Architectural, engineering or related
  professional services required to prepared plans,
  drawings or specifications of a project
• Fees for recordation and filing of legal
  documents, building permits, attorneys, private
  appraisals, and independent cost estimates
• Project-specific environmental review
• Costs associated with informing a homeowner about
  relocation rights or benefits

68
Homeowner Rehabilitation Project Delivery Fees
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• For stick-built housing or Modular Housing
  constructed in 1978 or later years, the Project
  Delivery Fee may not exceed 3,000.
• For all Manufactured Housing, the Project
  Delivery Cost may not exceed 1,000.

69
OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Homeowner Rehabilitation Project Delivery Fees

• All Project Delivery Fees will be disbursed based
  on submission of invoices or other documentation
  evidencing the costs incurred
• Project Delivery Fees will not be disbursed until
  the home buyer has closed the deferred payment
  loan for the CHIP funded assistance

70
Homeowner Rehabilitation Commitment
Expenditure Deadline
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• All project funds must be committed within 24
  months of the date of the State Recipient or
  Sub-recipients agreement with GHFA
• All funds must be expended within 30 months of
  the date of the State Recipient or Sub-recipients
  agreement with GHFA
• At DCAs sole and absolute discretion, failure to
  meet this requirement may result in DCAs
  recapture of funds or in barring the State
  Recipient or Sub-recipient from participation in
  future funding rounds

71
Period of Affordability
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Begins on the date that the project is marked as
  completed in HUDs Integrated Disbursement and
  Information System (IDIS)
• Its length depends on the amount of CHIP
  investment in the property
• The amount of CHIP investment consists of all
  CHIP funds invested in a unit, including Project
  Delivery Fees

72
Period of Affordability
OFFICE OF PROGRAM AND PUBLIC AFFAIRS
CHIP Investment Per Unit Length of Affordability Period
Less than 15,000 6 Years
15,000 40,000 11 Years
More than 40,000 16 Years
73
All Activities Administrative Fee
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• DCA will permit an administrative fee equal to 2
  of the total funds awarded for project costs,
  including Project Delivery Fees
• Administrative fees will not be advanced until
  the final draw submitted for a Homeowner
  Rehabilitation or Down Payment Assistance
  Activity
• Administrative Fees will be disbursed by
  multiplying the applicable administrative fee
  percentage (2) by the amount of funds requested
  to be drawn for eligible project costs, including
  Project Delivery Fees

74
All Activities Application Fee Charged to
Home Buyer or Homeowner
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• An application fee may not be charged by any
  State Recipient or Sub-recipient to a prospective
  participant associated with any CHIP-financed
  Homeowner Rehabilitation activity.

75
All Activities Administrative Fee
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• DCA will permit an administrative fee to cover
  eligible costs of administering the program,
  including
• Providing citizens with information about the
  CHIP funded program, including outreach
  activities
• Preparing a budget and schedule
• Preparing reports and other documents related to
  program performance
• Office space and utility costs
• Purchasing equipment, insurance and office
  supplies
• Compliance monitoring
• Resolving audit and monitoring findings

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All Activities Award Adjustment
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Entities that receive an Award Adjustment for
  project-related funds will also receive a
  corresponding adjustment for administrative funds

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All Activities Avoiding Conflict of Interest
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Whenever a Recipient is not a direct party to a
  contract, the following Conflict of Interest
  provisions apply 
• Conflicts prohibited
• Persons Covered
• Exceptions
• Factors to be considered for exceptions

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All Activities Amendments, Budget Revisions, and
other Adjustments to Your Program
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Must request a program amendment and receive
  prior approval from DCA in the following
  instances
• 1. If the addition of a new activity or deletion
  of an approved activity is proposed
• 2. If any activity is proposed that deviates
  from any designated target areas or targeted
  client population

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All Activities Amendments, Budget Revisions, and
other Adjustments to Your Program
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• 3. If a revision is proposed which will result
  in a transfer between approved budget activities
  or in a change in any activitys budget
  allocation of an amount and,
• 4. If you plan to deviate from the planned
  number of stick-built or modular homes for a
  homeowner rehabilitation activity and undertake,
  in lieu of stick-built homes, the rehabilitation
  of owner-occupied manufactured housing.

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All Activities Amendments, Budget Revisions, and
other Adjustments to Your Program
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• If the proposed amendment is approved or denied,
  DCA will issue a CHIP Grant Notice (CA-8).

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All Activities Keeping Records for Your Program
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Must maintain financial and programmatic records
  covering all financial transactions and
  demonstrating compliance with all HOME
  regulations and other state requirements in an
  accessible manner for a minimum of five (5) years
  from the date of program close-out except under
  the following circumstances

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All Activities Closing Out Your Program
OFFICE OF SPECIAL HOUSING INITIATIVE

• There are two levels of close-out under CHIP
• Activity Close-Out
• Program Close-Out.

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All Activities Closing Out Your Program
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

1. Activity Close-Out. Activity close-out must be
   completed at time of final draw.
2. Program Close-Out. Within thirty (30) days of
   payment of all CHIP-funded costs (with the
   exception of any unsettled third-party claims),
   the State Recipient or Sub-recipient should
   inform DCA that the CHIP Program is ready for
   close out and when the next annual audit is
   scheduled. The following shall be used by DCA
   and the State Recipient or Sub-recipient

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Remember
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• As a recipient and administrator of CHIP funds,
  you must implement your program following the
  instructions outlined in the Homeowner
  Rehabilitation Guide as applicable as well as the
  CHIP Administrative Manual and the SFY 2013 CHIP
  Program Description.
• Review the CHIP Rehabilitation Guide (Website)

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Remember Mailing Address for Setups, draws, and
completion reports
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Michelle Lewis
• CHIP Program Manager
• Georgia Department of Community Affairs
• Office of Program and Public Affairs
• 60 Executive Park South, N.E.
• Atlanta, Georgia 30329-2231

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Contact Us
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• All CHIP forms are available on the DCA website
  at
• http//www.dca.ga.gov/housing/housingdevelopment/p
  rograms/homeinvestment.asp

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Thank You!
OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• CHIP Contacts
• Carmen Chubb, Assistant Commissioner for Housing,
  carmen.chubb_at_dca.ga.gov, 404-679-0607
• Cassandra Knight, Division Director, Housing
  Policy and Administration Division,
  cassandra.knight_at_dca.ga.gov, 404-679-4805
• Don Watt, Director, Office of Program and Public
  Affairs, don.watt_at_dca.ga.gov, 404-679-0660
• Michelle Lewis, CHIP Program Manager,
  michelle.lewis_at_dca.ga.gov, 404-679-0659
• Detric Goss, Planning and Policy Development
  Specialist, detric.goss_at_dca.ga.gov, 404-679-0567
• LaQuanta Pressley, Grants Consultant,
  laquanta.pressley_at_dca.ga.gov, 404-679-0680

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• The Georgia Department of Community Affairs is
  committed to providing all persons with equal
  access to its services, programs, activities,
  education and employment regardless of race,
  color, national origin, religion, sex, familial
  status, disability, or age. For a reasonable
  accommodation, please contact Staci Tillman or
  Ron Pounds at [phone] or
  mailtofairhousing_at_dca.ga.gov

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OFFICE OF PROGRAM AND PUBLIC AFFAIRS

• Questions?