Community HOME Investment Program (CHIP) - PowerPoint PPT Presentation


Title: Community HOME Investment Program (CHIP)


1
Community HOME Investment Program(CHIP)
OFFICE OF PROGRAM AND PUBLIC AFFAIRS
  • 2013 RECIPIENTS Workshop

2
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

3
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

4
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

5
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

6
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

7
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

8
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.

9
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.

10
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.

11
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.

12
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

13
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.

14
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

15
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

16
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?

17
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

18
OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Lead-Safe Certification
  • Lead-Safe Work Practices On-Line Certification
    Course
  • .C.G.A. 13-10-91

19
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

20
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

21
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).

22
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

23
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

24
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

25
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

26
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)

27
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

28
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

29
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.

30
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.

31
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.

32
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

33
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.

34
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

35
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)

36
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.

37
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.

38
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)

39
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)

40
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)

41
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.

42
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.

43
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.

44
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.

45
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.

46
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.

47
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.

48
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.

49
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

50
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

51
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

52
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

53
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).

54
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.

55
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.

56
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.

57
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

58
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

59
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

60
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

76
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

77
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

78
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

79
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.

80
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).

81
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

82
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.

83
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

84
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)

85
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

86
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

87
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

88
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 (404) 679-4840 or
    mailtofairhousing_at_dca.ga.gov

89
OFFICE OF PROGRAM AND PUBLIC AFFAIRS
  • Questions?
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Community HOME Investment Program (CHIP)

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Title: Community HOME Investment Program (CHIP)


1
Community HOME Investment Program(CHIP)
OFFICE OF PROGRAM AND PUBLIC AFFAIRS
  • 2013 RECIPIENTS Workshop

2
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

3
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

4
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

5
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

6
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

7
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

8
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.

9
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.

10
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.

11
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.

12
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

13
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.

14
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

15
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

16
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?

17
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

18
OFFICE OF PROGRAM AND PUBLIC AFFAIRS
Lead-Safe Certification
  • Lead-Safe Work Practices On-Line Certification
    Course
  • .C.G.A. 13-10-91

19
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

20
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

21
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).

22
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

23
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

24
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

25
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

26
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)

27
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

28
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

29
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.

30
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.

31
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.

32
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

33
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.

34
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

35
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)

36
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.

37
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.

38
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)

39
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)

40
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)

41
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.

42
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.

43
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.

44
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.

45
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.

46
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.

47
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.

48
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.

49
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

50
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

51
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

52
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

53
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).

54
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.

55
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.

56
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.

57
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

58
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

59
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

60
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

76
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

77
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

78
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

79
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.

80
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).

81
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

82
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.

83
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

84
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)

85
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

86
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

87
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

88
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 (404) 679-4840 or
    mailtofairhousing_at_dca.ga.gov

89
OFFICE OF PROGRAM AND PUBLIC AFFAIRS
  • Questions?
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