COMMUNITY PLANNING AND DEVELOPMENT, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

AUTHORIZATION:

Stewart B. McKinney Homeless Assistance Act of 1987, Title IV, Subtitle C, as amended.

OBJECTIVES:

The Supportive Housing Program is designed to promote the development of supportive housing and supportive services to assist homeless persons in the transition from homelessness and to enable them to live as independently as possible. Program funds may be used to provide: (i) transitional housing within a 24-month period as well as up to six months of follow-up services to former residents to assist their adjustment to independent living; (ii) permanent housing provided in conjunction with appropriate supportive services designed to maximize the ability of persons with disabilities to live as independently as possible; (iii) supportive housing that is, or is part of, a particularly innovative project for, or alternative method of, meeting the immediate and long-term needs of homeless individuals and families; (iv) supportive services for homeless individuals not provided in conjunction with supportive housing, and (v) safe havens for homeless individuals with serious mental illness currently residing on the streets who may not yet be ready for supportive services.

TYPES OF ASSISTANCE:

Project Grants;  Direct Payments for Specified Use.

USES AND USE RESTRICTIONS:

Seven types of assistance may be provided for Supportive Housing: acquisition of structures for use as supportive housing or in providing supportive services; rehabilitation of structures for use as supportive housing or in providing supportive services; new construction of buildings for use as supportive housing under limited circumstances; leasing of structures for use as supportive housing or in providing supportive services; operating costs of supportive housing; costs of providing supportive services to homeless persons; and administrative costs not to exceed five percent of the SHP grant.

ELIGIBILITY REQUIREMENTS:

Applicant Eligibility:   States, local governments, other governmental entities, private nonprofit organizations, and community mental health associations that are public nonprofit organizations.

Beneficiary Eligibility:   Homeless individuals and families with children.

Credentials/Documentation:   Private nonprofit entities must establish eligibility based on documentation showing they have tax exempt status under Section 501(c)(3) of the Internal Revenue Code; are a certified United Way Agency; or have a voluntary board and a functioning accounting system.

APPLICATION AND AWARD PROCESS:

Preapplication Coordination:   An environmental assessment is required for this program. Any application that HUD determines would have a significant adverse impact on the human environment would not be eligible for funding. All components of this program are excluded from coverage under E.O. 12372.

Application Procedure:   One application package prescribing the specific information that applicants must submit is available. The standard application forms as furnished by HUD must be used for this program. Any proposed project under this program must be consistent with the applicable HUD-approved Consolidated Plan and must be permissible under applicable zoning ordinances and regulations.

Award Procedure:   HUD reviews applications, rates and ranks those meeting threshold requirements, and prepares a Grant Agreement for those applications selected.

Deadlines:   A Notice of Fund Availability announces deadlines for completed applications and time frames for HUD selections.

Range of Approval/Disapproval Time:   Processing of applications will take place in HUD Field Offices and at HUD Headquarters, and selection of successful applicants will take place at HUD Headquarters. HUD will make its final selections and obligate funds as soon as the applications can be processed.

Appeals:   None.

Renewals:   Information on renewals is contained in the Notice of Fund Availability and the application package.

ASSISTANCE CONSIDERATIONS:

Formula and Matching Requirements:   Recipients must match grants for acquisition, rehabilitation, and new construction, with an equal amount of funds from other sources.

Length and Time Phasing of Assistance:   Grants may be made available for up to 3 years for operating and supportive services costs.

POST ASSISTANCE REQUIREMENTS:

Reports:   Each recipient must keep any records and make any reports as specified by HUD.

Audits:   The financial management systems used by governmental entities that are recipients under this program must provide for audits in accordance with 24 CFR 44. Private nonprofit entity recipients are subject to the audit requirements of OMB Circular No. A-133. HUD may perform further and additional audits as it finds necessary or appropriate.

Records:   Each recipient must agree to participate in an evaluation of the program, and to keep any records and make any reports that HUD may require for the purpose of reporting to Congress on the cost of the program and the social, financial, and other advantages of supportive housing components as a means of assisting homeless persons.

FINANCIAL INFORMATION:

Account Identification:   86-0192-0-1-604.

Obligations:   (Grants) FY 99 $590,000,000; FY 00 est $593,864,000; FY 01 est $630,840,000. (NOTE: Amounts reported reflect allocation of new budget authority rather than obligation amounts.)

Range and Average of Financial Assistance:   HUD imposes the following limitations: (1) Acquisition and/or rehabilitation construction grants for the Supportive Housing Program may not exceed $200,000 (up to $400,000 in high cost areas); new construction may not exceed $400,000; (2) funding of up to 75 percent for operating costs; (3) funding of up to 80 percent for supportive services cost; and (4) the program provides grants for leasing costs for three years.

PROGAM ACCOMPLISHMENTS:

1,710 applications were accepted for the supportive Housing Program as of the end of fiscal year 1999.

REGULATIONS, GUIDELINES, AND LITERATURE:

24 CFR 583 published in the Federal Register.

INFORMATION CONTACTS: