RURAL HOUSING SERVICE (RHS), DEPARTMENT OF AGRICULTURE

AUTHORIZATION:

Housing Act of 1949, as amended, 42 U.S.C. 1479.

OBJECTIVES:

To package single family housing applications for very low- and low-income rural residents in colonials and designated counties who wish to buy, build, or repair houses for their own use and to package applications for organizations wishing to develop rental units for lower income families.

TYPES OF ASSISTANCE:

Project Grants.

USES AND USE RESTRICTIONS:

Grants reimburse eligible organizations for part or all of the costs of conducting, administering, and coordinating an effective housing application packaging program in colonials and designated counties. Eligible organizations aid very low- and low-income individuals and families in obtaining benefit from Federal, State, and local housing programs. The following are restrictions under the housing application packaging grants: (1) These funds are available only in the areas defined in Exhibit D of RD Instruction 1944-B; (2) the packager may not charge fees or accept compensation or gratuities directly or indirectly from the very low- and low-income families being assisted under this program; (3) the packager may not represent or be associated with anyone else, other than the applicant, who may benefit in any way in the proposed transaction; (4) if the packager is compensated for this service from other sources, then the packager is not eligible for compensation from this source except as permitted by RHS; (5) grantees who are funded to do self-help housing effort; and (6) the authorized representatives must have no pecuniary interest in the award of the architectural or construction contracts, the purchase of equipment, or the purchase of the land for the housing site.

ELIGIBILITY REQUIREMENTS:

Applicant Eligibility:   An eligible grantee is an organization which is defined as any of the following entities which are legally authorized to work in designated counties and/or colonials and are: (1) A State, State agency, or unit of general local government; or (2) a private nonprofit organization or corporation that is owned and controlled by private persons or interests, is organized and operated for purposes other than making gains or profits for the corporation, and is legally precluded from distributing any gains or profits to its member.

Beneficiary Eligibility:   The targeted groups are very low- and low-income families without adequate housing in the colonials and designated counties.

Credentials/Documentation:   (1) Have the financial, legal, and administrative capacity to carry out the responsibilities of packaging housing applications for very low- and low-income applicants. To meet this requirement it must have the necessary background and experience with proven ability to perform responsibly in the field of housing application packaging, low-income housing development, or other business or administrative ventures which indicate an ability to perform responsibility in this field of housing application packaging. (2) legally obligate itself to administer grant funds, provide adequate account of the expenditure of such funds, and comply with RHS regulations; (3) if the organization is a private nonprofit corporation: (a) is organized under State and local laws. (b) is qualified under Section 501(c)(3) of the Internal Revenue Code of 1986. (c) has as one of its purposes assisting very-low- and low-income families to obtain affordable housing; and (d) comply with the administrative requirements in RD Instruction 1944-B, other RHS policies and regulations.

APPLICATION AND AWARD PROCESS:

Preapplication Coordination:   This program is excluded from coverage under E.O. 12372.

Application Procedure:   Grantees shall submit SF-424 "Application for Federal Assistance" and other material requested by the Agency. Grantees must submit packages for SFH loans/grants to the appropriate RD office servicing the designated county and/or colonials. All other packages are submitted to the appropriate district office. The forms and coordination of packaging activities should be made with the appropriate district and county offices.

Award Procedure:   Awards are made by the State Director.

Deadlines:   None.

Range of Approval/Disapproval Time:   The determination is made by the State Director. Grantees must attend training each year in order to qualify for assistance. A copy of a current "Certificate of Training" pertaining to the type of application package must be submitted.

Appeals:   Appeal rights are available under 7 CFR 3550.4.

Renewals:   Grantees may reapply and packages may be submitted after the annual housing application packaging orientation and training is held, and a "Certificate of Training" is issued.

ASSISTANCE CONSIDERATIONS:

Formula and Matching Requirements:   Not applicable.

Length and Time Phasing of Assistance:   The grant period will end when sufficient packages are received for each designated county or colonials, or on September 30, of the fiscal year, whichever is earlier.

POST ASSISTANCE REQUIREMENTS:

Reports:   Quarterly reports must be submitted to the appropriate RD office servicing the designated county and/or colonials.

Audits:   Annual audits should be made as part of the recipient's systems of financial management and internal control to meet terms and conditions of grants and other agreements.

Records:   The grantee will be required to retain records for 3 years from the date Standard Form (SF) - 269A, financial status report (short form), is submitted. These records will be accessible to RD and other Federal officials in accordance with 7 CFR Part 3015. A file of packages submitted will be established in the RD office and retained in accordance with RD Instruction 2033-A.

FINANCIAL INFORMATION:

Account Identification:   12-2009-0-1-604.

Obligations:   (Grants) FY 99 $136,000; FY 00 est $495,000; and FY 01 est $495,000.

Range and Average of Financial Assistance:   Not applicable.

PROGAM ACCOMPLISHMENTS:

In fiscal year 1999, 120 grants were made.

REGULATIONS, GUIDELINES, AND LITERATURE:

7 CFR 1944 Subpart B, 7 CFR 3014 (for nonprofit organizations) and 7 CFR 3016 (For State and local governments).

INFORMATION CONTACTS: