2009-10 RFP available 5/14/09 through 6/15/09Document Transcript
2008 HOME Special Needs
Request for Proposals
The Department of Grants Administration within the City of Tulsa is accepting proposals from eligible HOME applicants to
undertake rental activities to provide housing for special needs populations. Proposals are due by 5:00 p.m., Monday, June
Hand delivered or mailed proposals must be delivered to:
City of Tulsa
Department of Grants Administration
175 E. Second Street, Suite 480
Tulsa, OK 74103
No form of electronic application submission will be accepted.
HOME Special Needs Purpose
To provide decent affordable permanent or transitional rental housing for low and moderate income elderly, homeless, or
severely disabled persons.
Special needs rental developments must target households at and below 60%AMFI for the Tulsa Metro Area based on
family size and follow the applicable HOME rents. Rental developments with 5 or more HOME-assisted units must target
20% of the units to households at or below 50%AMFI. Tulsa Metro Area 2009 HOME Program income limits are located in
the Information Appendix.
Applicants under this RFP may request up to $500,000 in HOME hard and soft cost funding. Soft costs are limited to 15% of
the HOME hard cost request.
Funding selections will be made using a competitive process. Applications will be evaluated and funding recommendations
made by City staff. Additionally, all applications will be reviewed by HOME Project Review Committee (PRC). Final funding
determinations will be made on July 30, 2009.
Applications will be evaluated in two parts: Basic Eligibility Review and Rating. Applications that do not pass Basic Eligibility
Review will receive no further evaluation and will not advance to rating. Applications advancing to Rating will be scored
using a set of numerical criteria that will be added together to establish a final score. Scored applications will be rank
ordered from highest to lowest. Funds available for award will be applied to the rank ordering in descending order until all
funds are awarded.
DGA will analyze proposals for long term financial viability, stability, management capability. Additionally, in accordance
with 24 CFR Part 92.250 and CPD Notice 98-01, DGA will conduct subsidy layering review to assure no more HOME funds
are invested in a project in combination with other assistance than is necessary to provide affordable housing.
HOME awards will be provided as equity grants subject to the regulatory term of affordability as described in the regulations
at 24 CFR Part 92.
2008 HOME Special Needs RFP 1 May 11, 2009
Basic Eligibility Criteria
Applicants with one or more of the following conditions or that fail to meet or provide one or more of the following criteria
may fail basic eligibility review.
Application Information and Certifications: incomplete applicant information or unsigned certifications may result in
basic eligibility failure.
Project description: all proposals must provide responses to a variety of project description questions that will be
used to determine compliance with HOME’s rental activity requirements.
Fiscal Management: audits, financial statements or balance sheets and income statements containing unresolved
findings, reportable conditions, deficiencies or program compliance.
Match: full description, documentation and calculations of all sources of non-federal match.
Monitoring History: unresolved monitoring findings from previous open or closed DGA HOME or CDBG contracts
and/or open DGA HOME contracts over two years old that are not 100% expended and closed out.
Project Status: documentation of site control or a plan to obtain site control, preliminary floor
plans/elevations/specifications or a timetable to develop such plans.
Market Analysis: Permanent rental housing projects with less than 20 total units must provide a data-based analysis
demonstrating demand for the type and amount of housing proposed.
(Refer to the Information Appendix for the minimum content requirements for all data-based and third party,
independent, licensed market analyses)
Permanent rental housing projects with 20 or more total units and all rental housing financed with Section 42 Low
Income Housing Tax Credits must submit a third party independent market analysis performed by a licensed
analyst not affiliated with the applicant or developer.
All transitional rental housing projects, regardless of the number of units or project financing, are not required to
provide a data-based analysis demonstrating demand or need.
Site and Neighborhood Standards Review: All rental new construction, regardless of the number of units or project
financing, must provide Site and Neighborhood Standard Review pursuant to Title 24 Section 983.6.
Financing and Financial Commitments: All proposals will undergo subsidy layering review in accordance with 24
CFR Part 92.250 and CPD Notice 98-01 “Layering Guidance for HOME Participating Jurisdictions When Combining
HOME Funds with Other Government Subsidies”. In analyzing development budgets and operating expenses, the
City will consider reasonableness of construction costs and associated professional fees and project quality.
HOME funded soft costs cannot exceed 15% of HOME hard construction/rehabilitation costs. HOME funded builder
profit cannot exceed 15% of HOME hard construction costs. HOME funded developer fees cannot exceed 10% of
HOME hard construction costs. CHDO operating is limited to $50,000 per year.
Organizational Structure and Experience: Applicants will be evaluated and scored based on organizational
structure and direct staff experience in the HOME Program and other federal housing resources in the development
of permanent and transitional rental housing.
Organizational structure providing for proper oversight of financing, production and overall administration
Staff and organizational experience with transitional or permanent rental housing development but the use
of HOME funds
Staff and organizational experience in federal housing programs other than HOME
Staff and organizational HOME Program experience (less than 5 HOME contracts)
Staff and organizational HOME Program experience (5 contracts or more)
2008 HOME Special Needs RFP 2 May 11, 2009
Income Targeting: Points will be awarded based on the extent to which HOME-assisted units will target extremely
low income households at and below 30% of the Area Median Family Income. The percentage of extremely low
income households targeted will be calculated by dividing the number of HOME-assisted units targeted to
households at and below 30% by the total number of HOME-assisted units in the project. For example, a project
targeting 4 units to households at or below 30%AMFI with a total of 10 HOME-assisted units in the project is
targeting 40% of its units to extremely low income households. No rounding will be used in the determination of the
percentage of targeted units. Income targeting becomes part of funded applications subject to monitoring.
Deviations from the income targeting stated in funded applications will be deemed findings that in turn, may
negatively impact future application scores and/or repayment of all HOME assistance.
2008 HOME Special Needs RFP 3 May 11, 2009
Leverage: Points will be awarded based on the amount of other resources used to augment HOME funds.
Leverage resources include but are not limited to: other state or federal grants, foundation resources, borrowed
funds/ debt, Section 42 Low Income Housing Tax Credits, Federal Home Loan Bank Affordable Housing Program
funds, Oklahoma State Housing Trust Fund loans and retained CHDO Proceeds. Leverage does not include the
use of “in-kind” resources. Leverage resources must be documented with written commitments provided under
Basic Eligibility Criteria in Tab #1: “Financing and Financial Commitments”. Leverage will be based on the
percentage of non-HOME resources to total development cost. For example, if the applicant is providing $50,000 in
non-HOME resources in a project with a total development cost of $200,000, the leverage percentage is 25%. No
rounding will be used in the determination of leverage percentage.
2008 HOME Special Needs RFP 4 May 11, 2009
Ability to Further Reduce Development Costs Through New Excess Match Contributions: Points will be
awarded based on the amount of new excess non-federal matching resources provided over and above the
required 25% match. Only eligible match pursuant to 24 CFR Part 92.218 through 92.222 and CPD Notice 97-03
will be considered in the calculation of points. All new match in excess of the required 25% must be documented
under basic Eligibility, Tab #1. No rounding will be used in the determination of excess match percentages.
Energy Efficient Construction: Improving energy efficiency in HOME-financed developments to generate
significant savings for property owners and building residents by building and rehabilitating affordable housing to
meet the ENERGY STAR guidelines for energy efficiency set by the U.S. Environmental Protection Agency, as
suggested in USHUD’s Energy Action Plan, will be awarded points. In order to earn points under this criterion, new
construction and substantial rehabilitation must, at a minimum specify ENERGY STAR qualified products; adopt the
appropriate ENERGY STAR standards for building performance (ENERGY STAR for New Homes or ENERGY
STAR for Existing Homes); incorporate ENERGY STAR energy-efficient features including such as effective
insulation, High-Performance Windows, Tight Construction and Ducts, Efficient Heating and Cooling Equipment,
Efficient Products; and, document third-party verification of the “Energy Star” rating.
Revitalization Target Area Focus: Special needs housing undertaken in the following revitalization target areas
will be awarded points. Maps indicating the location of these target areas are located in the Information Appendix.
Tie Breaker: In the event there is a tie score between applicants and there are insufficient HOME resources to fund
all tied applications, those applications will be rank ordered based on lowest combined HOME hard and soft costs
per unit. Remaining HOME funds will be awarded using this criterion until exhausted.
Units of general local government (including instrumentalities of the City of Tulsa designated by the chief executive to act on
behalf of the Participating Jurisdiction); City certified Community Housing Development Organizations (CHDOs); and
Subrecipients (a public agency or nonprofit organization selected by the City to administer all or a portion of HOME funds
including those operating as a nonprofit arm of religious organizations or public housing authority).
Eligible & Ineligible Activities (24 CFR Part 92.205)
HOME funds may be used to develop and support affordable permanent or transitional rental housing through the
acquisition, new construction, reconstruction, or rehabilitation of non-luxury housing with suitable amenities.
Eligible and Ineligible Costs and HOME Program Requirements
Not all organizations or project concepts are equipped or suited for using HOME funds. To determine an organization’s
capacity for using and accounting for Program resources, DGA strongly encourages consideration of the following
Internal controls: Does your agency have a written set of policies and procedures that define staff qualifications and
duties, lines of authority, separation of functions, and access to assets and sensitive documents? Does your
agency have written accounting procedures for approving and recording transactions? Are financial records
periodically compared to actual assets and liabilities to check for completeness and accuracy?
Accounting records: Does your agency maintain an adequate financial accounting system, the basic elements of
which should include: (a) a chart of accounts, (b) a general ledger, (c) a cash receipts journal, (d) a cash
disbursements journal, (e) a payroll journal, (f) payable and receivable ledgers, and (g) job cost journals (if involved
in construction)? Does your accounting system provide reliable, complete, and up-to-date information about
sources and uses of all funds? Are “trial balances” performed on a regular basis (at least quarterly)?
2008 HOME Special Needs RFP 5 May 11, 2009
Allowable costs: Does your agency have a clearly defined set of standards and procedures for determining the
reasonableness, allowability, and allocability of costs incurred that’s consistent with the basic Federal rules (OMB
Circulars A-87 or A-122)? Does your agency know which specific types of expenditures are prohibited under the
HOME program? Does your agency have an approved indirect cost allocation plan?
Source documentation: Does your agency maintain up-to-date files of original source documentation (receipts,
invoices, canceled checks, etc.) for all of your financial transactions, including those involving obligations incurred
and the use of any program income?
Budget controls: Does your agency maintain an up-to-date (approved) budget for all funded activities, and perform
a comparison of that budget with actual expenditures for each budget category? Does your agency regularly
compare progress toward the achievement of goals with the rate of expenditure of program funds?
Cash management: Does your agency have a regular procedure for accurately projecting the cash needs of the
organization that will serve to minimize the time between the receipt of funds from the grantee and their actual
disbursement? Can your agency ensure that all funds are used for permitted activities?
Financial reporting: Is your agency able to provide accurate, current, and complete disclosure of the financial results
of each Federally-sponsored project or program in accordance with the reporting requirements of the grantee and
Audits: When was your last Independent Public Accountant (IPA) audit and what were the results? Does your
agency have a copy of the management letter?
If you are able to answer “yes” to all the above questions, then your agency has established a laudable degree of control over
its financial affairs. If you were not able to give an affirmative answer to all of the questions, then your organization may need to
modify and/or strengthen its financial management systems before pursuing HOME funds.
The HOME Program operates under specific regulations and a series of USHUD Community Planning and Development
Notices. The Program’s requirements are complex and detailed. Some of main Program requirements follow. Potential
applicants should consider their capacity and project concept in relation to all requirements. Applicants are cautioned the
following requirements are not all inclusive. It is an applicant’s responsibility to thoroughly review all Program regulations
and guidance before preparing a proposal for funding to ensure their ability to comply with the Program’s rules.
Eligible Project Costs
A detailed discussion of eligible project costs can be found in 24 CFR part 92.206, CPD Notice 06-01, and HOME Primer
Chapter 6 “Rental Housing Activities”.
Generally eligible project costs include:
Construction materials and labor
Acquisition of land, site preparation
Securing of buildings
Financing fees, credit reports, title binders and insurance, recordation fees
Architectural and engineering fees
Builder’s and developer’s fees
2008 HOME Special Needs RFP 6 May 11, 2009
A detailed discussion of prohibited activities and costs can be found at 24 CFR Part 92.214 and HOME Primer Chapter 6
“Rental Housing Activities”.
HOME funds cannot be used for:
Project reserve accounts or operating subsidies
Tenant-based rental assistance for the special purposes of the existing Section 8 Program
For non-federal matching contributions required under any other Federal program
To provide assistance authorized under Section 9 of the 1937 Act (Public Housing Capital and Operating Funds)
Prepayment of Low Income Housing Mortgages
Providing assistance to projects previously assisted with HOME funds during the term of affordability
Acquisition of property owned by the Participating Jurisdiction
Payment of delinquent taxes, fees or charges on properties to be assisted with HOME funds
Any costs not eligible under 24 CFR Part 92.206 through 92.20
A detailed discussion of HOME rents can be found at 24 CFR Part 92.252 and HOME Primer Chapter 6 “Rental Housing
Activities”. The 2009 HOME program Tulsa Metro Area rents are located in the Information Appendix.
All HOME-assisted rental housing must follow HOME rents for the entire term of affordability. These rents are published
annually by USHUD and are enforced by deed restrictions, covenants running with the property or other mechanisms
approved by DGA and USHUD.
There are two types of HOME rents, high and low, that apply to two different types of income strata; households at
60%AMFI and 50%AMFI. Published HOME rents are gross rents and must be reduced if tenants pay their own utilities.
Applicants are cautioned that HOME rents are often much lower than prevailing fair market rents. Therefore, gross rental
income in HOME rental developments and can be problematic in relation to cash flow and the ability to debt service private
A detailed discussion of income targeting can be found at 24 CFR Part 92.216 and HOME Primer Chapter 6 “Rental
All HOME-assisted rental developments must follow the Program’s income targeting requirements for the entire term of
affordability. Income limits are based on the development’s location, family size and number of HOME-assisted units. The
limits are published annually by USHUD and are enforced by deed restrictions, covenants running with the property or other
mechanisms approved by DGA and USHUD.
All HOME-assisted rental developments must target households at 60%AMFI and follow the applicable “high” HOME rent.
However, in developments of five or more HOME-assisted units, at least 20% of the units must target households at
50%AMFI and follow the applicable “low” HOME rent. Additionally, developments using Section 42 Low Income Housing
Tax Credit financing may be required to follow more restrictive income targeting.
Tenant incomes must be recertified annually throughout the term of affordability. In instances where tenant incomes change
over time, development owners may be required to take steps to maintain HOME rent and occupancy requirements.
Other Federal Requirements
2008 HOME Special Needs RFP 7 May 11, 2009
A detailed discussion of the other federal requirements often referred to as “cross cutting federal requirements” can be
found at 24 CFR Subpart H 92.350 through 92.358, 24 CFR Part 58.38, CPD Notice 01-11, and HOME Primer Chapter 6
“Rental Housing Activities”.
All HOME-assisted housing is subject to broad federal rules that must be followed in the course of implementing
development activities. Applicants are cautioned that failure to adhere to these requirements can result in disallowed costs
and repayment of all HOME assistance.
Some of the other federal requirements applicable to all HOME-assisted activities include:
Non-discrimination and equal access
Fair Housing and equal opportunity; Title VI of the Civil Rights Act of 1964, Fair Housing Act, Equal Opportunity in
Housing, Age Discrimination Act of 1975
Handicapped accessibility; Americans with Disabilities Act, Section 504
Equal Opportunity; Executive Order 11246, Section 3 of the Housing and Urban Development Act of 1968, Minority/
Women Business Enterprise
Labor requirements; Davis bacon and related acts, Contract Work Hours and Safety Standards Act, Copeland Anti-
Kickback Act, Fair Labor Standards Act, procurement requirements at 24 CFR Part 84 and 85.36, conflict of
interest, debarred contractors
Environmental requirements including possible mandatory participation in national flood insurance program
Site and neighborhood Standards
Lead paint; Title X of the 1992 Housing and Community Development Act (24 CFR Part 35)
Uniform Relocation Assistance and Real Property Acquisition (42 USC Chapter 61)
A detailed discussion of property standards can be found at 24 CFR Subpart F 92.251 and HOME Primer Chapter 6 “Rental
All HOME-assisted rental developments must follow the Program’s property standards requirements for the entire term of
affordability. Property standards are enforced by deed restrictions, covenants running with the property or other
mechanisms approved by DGA and USHUD.
All housing constructed or rehabilitated with HOME funds must meet city’s current construction codes found at
www.cityoftulsa.org/ourcity/business/permitslicensing/codes.asp, written rehabilitation standards and accessibility
requirements of the Fair Housing Act and Section 504 of the Rehabilitation Act of 1973. Additionally, all HOME-assisted new
construction must also meet the Model Energy Code and site and neighborhood standards at 24 CFR Part 983.6(b).
Period of Affordability
A detailed discussion of the period of affordability requirements can be found at 24 CFR Part 92.252.
All HOME-assisted rental units must meet the applicable activity affordability requirements based on the average amount of
HOME funds invested per unit. Periods of affordability are enforced by deed restrictions, covenants running with the
property or other mechanisms approved by DGA and USHUD.
Activity Avg. Per-Unit HOME Investment Min. Affordability Period
Rehabilitation or acquisition of Under $15,000/unit 5 years
existing housing $15,000 - $40,000/unit 10 years
Over $40,000 15 years
Rehabilitation involving Any amount 15 years
New construction or acquisition of Any amount
2008 HOME Special Needs RFP 8 May 11, 2009
newly constructed 20 years
Program Income, Repayments and CHDO Proceeds
A detailed discussion of program income, repayments, recaptured funds and CHDO proceeds can be found in CPD Notice
Program income is the gross income received by a nonprofit Subrecipient or unit of local government that is directly
generated from the use of HOME funds including program income and matching contributions. Program income is
considered federal funds and never loses its federal identity and must be used in accordance with the HOME regulations at
24 CFR Part 92. Examples of program income include but are not limited to:
Proceeds from the disposition by sale or long term lease of real property assisted with HOME funds or matching
Gross income from the use or rental of real property owned by a Subrecipient or unit of local government less the
costs incidental to the generation of the income
Payments of principle and interest on loans made using HOME funds or matching contributions
Proceeds from the sale of loans made with HOME funds or matching contributions
Interest earned on program income
Repayments are HOME funds that result when a project is terminated before completion (either voluntarily or involuntarily)
or invested in housing that fails to comply with the affordability requirements.
CHDO proceeds are funds resulting from the permanent financing of a CHDO project that is used to pay off a CHDO
financed construction loan; the sale of CHDO sponsored rental housing to a second nonprofit; the sale of CHDO developed
homeownership housing; the principal and interest payments from a loan to a buyer of CHDO developed homeownership
CHDO proceeds retained by a CHDO with DGA’s permission are not subject to the requirements of the HOME regulations
except for 24 CFR Part 92.300(a)(2). However, CHDO proceeds may not be contributed as match. If CHDO proceeds are
retained by a CHDO a written agreement must be in place that identifies the activities that will be funded with those
proceeds as well as any other requirements.
Project-Related Soft Costs and CHDO Operating Expenses
A detailed discussion of soft costs and CHDO operating expenses can be found in 24 CFR Part 92.207, CPD Notice 96-9.
Project-related soft costs include but are not limited to: architectural, engineering or related professional services; costs to
process and settle financing such as private lender origination fees; credit reports; fees for title evidence; fees for
recordation; building permits; attorneys fees; appraisal fees; builders or developers fees.
CHDO operating expenses consist of the reasonable and necessary costs for the operation of a CHDO and are limited to:
salaries, wages and other employee compensation and benefits; employee education; training; travel; rent; utilities,
communication costs; taxes; insurance; equipment; materials and supplies.
A detailed discussion of recordkeeping requirements can be found at 24 CFR Part 92.508 and HOME Primer Chapter 6
“Rental Housing Activities”.
Rental property owners are responsible for maintaining adequate records that demonstrate compliance with HOME
requirements. Records should be kept at both the project and tenant levels.
2008 HOME Special Needs RFP 9 May 11, 2009
Project records include but are not limited to documentation supporting rent and utility allowance calculations and the
various provisions contained in written agreements. Tenant records include but are not limited to the tenant’s application
and initial and subsequent income verification.
Rental project records must be retained for five years after project completion. Records regarding individual tenant income
verifications, project rents and project inspections must be retained for five years after the affordability period ends. Other
record retention requirements may apply depending on the type of HOME funded activity, when displacement occurs and/or
when litigation or other claims and issues take place.
DGA will require reporting requirements for the entire term of affordability.
Max HOME investment
A detailed discussion of the maximum allowable HOME investment per-unit can be found at 24 CFR Part 92.250, CPD
Notice 98-02 and HOME Primer Chapter 6 “Rental Housing Activities”.
The total amount of HOME funds invested on a per-unit basis in affordable housing may not exceed the per-unit dollar
limitations established by USHUD under Section 221(d)(3)(ii) of the National Housing Act for elevator-type projects that
apply to the area in which the housing is located. The 221(d)(3)(ii) limits for Tulsa are located in the Information Appendix.
The actual HOME per-unit subsidy provided depends on 3 factors:
The proportion of the total project cost that is HOME-eligible
How many units in a development are HOME-assisted
The financial needs of the project
For properties with HOME-assisted and non-assisted units, applicants must select “fixed” or “floating” units. When HOME-
assisted units are fixed, the specific units that are HOME-assisted and subject to the Program’s rent and occupancy
requirements are designated and may never change. When HOME-assisted units are floating, the units that are designated
as HOME-assisted may change over time as long as the total number of HOME-assisted units in the project remains
HOME Rental Unit Leases
A detailed discussion of leases under the HOME Program can be found at 24 CFR Part 92.253 and HOME Primer Chapter
6 “Rental Housing Activities”.
Unless by mutual agreement between the tenant and owner, HOME-assisted rental property leases must be for a minimum
of one year.
Leases between the owner and tenant in a HOME-assisted property cannot contain any of the following provisions:
Agreement to be sued
Agreement by the tenant that the owner may seize or sell personal property of the household members without
Excusing the owner from responsibility
Waiver of legal proceedings
Waiver of a jury trial
Waiver of right to appeal a jury decision
Tenant chargeable with cost of legal actions regardless of outcome
2008 HOME Special Needs RFP 10 May 11, 2009
Owners may terminate tenancy or refuse to renew a lease only upon 30 days written notice and only for serious or repeated
violation of the terms and conditions of the lease; violation of applicable federal, state or local law; completion of the tenancy
period for transitional housing or for other good cause.
Owners of HOME-assisted rental housing must adopt written tenant selection policies and criteria that are:
Consistent with the purpose of providing housing for very low income and low income families
Are reasonably related to program eligibility and the applicant’s ability to perform the obligations of the lease
Provide for the selection of tenants from a written waiting list in the chronological order of their application, insofar
as is practicable
Give prompt written notification to any rejected applicant of the grounds for any rejection
Managing On-going Compliance
To maintain long term compliance with the HOME Program's rental requirements, property owners must ensure:
Properties are marketed to qualified applicants
Tenants are screened for eligibility
Rent and occupancy requirements are observed
Adequate property maintenance is conducted
When hiring a third party management company, owners should select firms with prior experience in managing HOME-
assisted developments. When self managing, owners should ensure staff receive adequate initial and on-going training in
the HOME Program’s rental requirements.
A detailed discussion of the HOME Program match requirements can be found at 24 CFR Part 92.218 through 92.222, CPD
Notice 97-03 and HOME Primer Chapter 6 “Rental Housing Activities”.
All applicants for HOME funds are required to demonstrate and document 25% non-federal match resources and
commitments. All applicants are cautioned that securing eligible matching contributions can be difficult and most often must
be derived from multiple sources.
Eligible sources of match are limited by regulation to the following:
Cash or cash equivalents from non-federal sources
The value of waived taxes, fees or other charges associated with HOME projects
The value of donated land or real property
The cost of infrastructure improvements associated with HOME projects
A percentage of the proceeds of single or multi-family housing bonds issued by state, state instrumentalities or local
The value of donated materials, equipment, labor and professional services
Direct costs of supportive services to residents of HOME projects
Direct cost of homebuyer counseling to families purchasing homes with HOME assistance
Ineligible sources of match include:
Match counted for other federal programs
Community Development Block Grant funds
Other federal grant funds
Funds raised through IRS Section 42 Low Income Housing Tax Credits
Interest rate subsidies attributable to federal tax-exempt financing
Cash contributions from investors, applicants for or recipients of HOME assistance
2008 HOME Special Needs RFP 11 May 11, 2009
Expenditures on program administration
Applicants will find the following web links useful in gathering information regarding the HOME regulations, CPD Notices,
HOME Primer and other HOME guidance:
Applicant questions regarding this RFP can be directed in writing to Nancy Robbins, Department of Grants Administration,
City of Tulsa, 175 E. Second Street, Suite 480, Tulsa, OK 74103 or by phone 918-596-2605 (phone), fax 918-699-3523 or
Application Format and Instructions
All applications must be typed (no less than 12 point font), single spaced on 8½” x 11" paper, bound in a three ring
binder tabbed according to Basic Eligibility and Rating Criteria. All application pages must be sequentially
numbered within each tab.
Supporting documents must be appear at the end of the Tab in which they are referenced and labeled as numbered
exhibits. For example Exhibit #1, Exhibit #2, etc.
All components of this RFP must be provided. If an item is not applicable, it should be designated “Not applicable”.
Applicants are required to submit one signed original application and five (5) copies.
Application Submission Checklist
Basic Eligibility Criteria Tab #1
Organizational Structure and Experience Tab #2
Income Targeting Tab #3
Leverage Tab #4
Ability to Further Reduce Development Costs Through Excess Match Contributions Tab #5
Energy Efficient Construction Tab #6
2008 HOME Special Needs RFP 12 May 11, 2009
Revitalization Target Area Focus Tab #7
Tie Breaker Tab #8
2008 HOME Special Needs RFP 13 May 11, 2009
2008 HOME Special Needs RFP 14 May 11, 2009
Tab #1: Basic Eligibility
State Zip Code:
Phone #: Fax #:
Federal Employer Identification Number:
Applicant’s Official Authorized Signatory:
Name of primary contact person:
Address of primary contact person:
Phone #: Fax #:
City of Tulsa Certified CHDO________
Location of project (address and legal description): _________________________________________________________
Funding Request Information:
Total HOME Funds Requested (hard and soft cost): $__________
Total match obligation: $________
2008 HOME Special Needs RFP 15 May 11, 2009
1. Provide a detailed description of the proposed project by responding to the items that follow. Project description
information will be used to determine compliance with the HOME requirements.
2. Indicate whether the proposed project is for permanent or transitional housing and the type of activity to be
undertaken. For example, rental new construction, rental conversion, single family acquisition/rehabilitation/rental.
3. Indicate whether the applicant will be entering a formal partnership with another entity to develop, own and operate
the proposed rental project. If partnering with another entity, describe how the applicant will assure they are the
general partner or member with at least 51% of the voting majority over the use of HOME funds and support the
explanation with draft partnership agreement provided as a numbered exhibit under Tab #1.
4. Indicate the total number and type of units in the project number including bedroom mix, total number of HOME-
assisted units and whether HOME-assisted units will be fixed or floating. Applicants are referred to CPD Notice
5. Indicate whether the proposed project will consist of less than 100% HOME-assisted units. If the project is
composed of less than 100% HOME-assisted units, the applicant must delineate how the number of HOME-
assisted units was calculated. Applicants are referred to CPD Notice 98-02.
6. Describe how the term of affordability and resale provisions will be enforced and how long the term of affordability
7. What construction code will be used?
8. If the proposed development will require temporary or permanent relocation, how will the applicant assure
compliance with the Uniform Relocation Assistance Act?
9. Indicate whether the project is expected to generate Program Income. If the project will generate Program Income,
describe how that Program Income will be tracked in accordance with 24 CFR Part 92.503, CPD Notice 97-9 and
returned to the City.
10. Indicate whether the project is expected to generate CHDO Proceeds. If the project will generate CHDO
Proceeds indicate whether applicant wants to retain CHDO Proceeds and how those Proceeds will be tracked and
reused in accordance with CPD Notice 97-9.
11. Describe any tenant appropriate supportive services that will be provided. Document supportive services with
written commitments from providers as numbered exhibits under Tab #1.
12. Provide a production schedule of no more than 24 months identifying all major phases of the proposed project as a
numbered exhibit under Tab #1.
13. Describe how the project will meet the City’s location policy. The city’s location policy is provided under the
2008 HOME Special Needs RFP 16 May 11, 2009
CITY OF TULSA-DEPARTMENT OF GRANTS ADMINISTRATION
HOME Certifications Form
The Applicant certifies that:
1. It is using and will use HOME funds for eligible activities and costs, as described in 24 CFR § 92.205 through 92.209 and
that it is not using and will not use HOME funds for prohibited activities, as described in § 92.214.
2. Before committing any funds to a project, it will evaluate the project in accordance with the guidelines that it adopts for this
purpose and will invest a minimum of $1,000 and not invest any more HOME funds in combination with other Federal
assistance than is necessary to provide affordable housing.
3. It has identified non-federal match at or above the required 25% of the grant allocation amount.
4. It understands that failure to provide any of the documentation necessary to support the information in this application
may result in the return of all HOME Program funds, both expended and unexpended.
5. It understands that in the event a HOME funding award is made, the content of the application shall be incorporated as
part of the contract and, as such, will be used to monitor performance. Activities, commitments, and representations
offered in the application that are not subsequently made a part of the project as funded, shall be considered a material
contract failure, and may result in a repayment of all HOME funds and/or suspension from Program participation.
6. Applicant understands and will comply with the requirements of Title VI of the Civil Rights Act of 1964, As Amended (42
U.S.C. 2000d et. seq.); The Fair Housing Act (42 U.S.C. 3601-3620); Equal Opportunity in Housing (Executive Order
11063, as amended by Executive Order 12259; and the Age Discrimination Act of 1975, As Amended (42 U.S.C. 6101).
7. Applicant understands and will comply with the HOME Program requirements for Affirmative Marketing on any project
with five or more HOME-assisted units.
8. Applicant understands and will comply with the requirements of the Americans with Disabilities Act (42 U.S.C. 12131;
47 U.S.C. 155,201,218, and 225); the Fair Housing Act (42 U.S.C. 3601-19); and Section 504 of the Rehabilitation Act
9. Applicant understands and will comply with the requirements of Equal Employment Opportunity (Executive Order
11246, as Amended); Section 3 of the Housing and Urban Development Act of 1968; and Minority/Women’s Business
Enterprise (Executive Orders 11625, 12432 and 12138).
10. Applicant understands and will comply with the requirements of the Davis-Bacon Act and Related Acts (40 U.S.C.
276(A)-7); the Contract Work Hours and Safety Standards Act, as Amended (40 U.S.C. 327-333); the Copeland (Anti-
Kickback) Act (40 U.S.C. 276c); and the Fair Labor Standards Act of 1938, as Amended (29 U.S.C. 201, et. seq.).
11. Applicant understands and will comply with the contracting and procurement requirements of the HOME Program.
12. Applicant affirms that no person who is an employee, agent, consultant, or officer of the Applicant who could exercise
any functions or responsibilities with respect to any activity assisted with HOME funds, or who would be in a position to
participate in a decision-making process or gain inside information with regard to any HOME-assisted activity, will obtain
a financial interest or benefit from any HOME-assisted activity, or have an interest in any contract, subcontract or
agreement with respect thereto, or the proceeds thereunder, either for themselves or those with whom they have family
or business ties, during their tenure or for one year thereafter.
2008 HOME Special Needs RFP 17 May 11, 2009
13. Applicant understands and will comply with the requirements of the Environmental Review process for the HOME
Program, including the requirements of 24 CFR Part 58 and CPD Notice 01-11.
14. Applicant understands and will comply with Section 202 of the Flood Disaster Protection Act of 1973 (42 U.S.C. 4106).
15. For any new construction of rental housing units, the Applicant will provide housing that is suitable from the standpoint
of facilitating and furthering full compliance with the applicable provisions of Title VI of the Civil Rights Act of 1964, the
Fair Housing Act and Executive Order 11063, and HUD regulations issued pursuant thereto, as well as ensuring that
the proposed sites for new construction meet the requirements in 24 CFR 983.6(b).
16. Applicant will ensure that all units in a project assisted with HOME funds comply with 24 CFR Part 35 regarding the
lead-based paint requirements for HUD-assisted housing.
17. Applicant understands and will comply with the provisions of the Uniform Relocation Act on all HOME projects involving
acquisition, rehabilitation, conversion or demolition.
18. Applicant has written policies and procedures in place to provide for the following:
a) Tracking expended and unexpended HOME funds
b) Tracking of program income or CHDO proceeds, if applicable
c) Properly maintaining source documentation of expenditures
d) Tracking of match liability and credit
e) Applicant has written policies and procedures in place to ensure that all expenditures are
eligible, reasonable, and properly documented.
f) Applicant has written policies and procedures in place to ensure proper control of records
g) Applicant has written policies and procedures in place and adequate staff to ensure
separation of duties.
h) Applicant has adequate internal controls in place to ensure proper maintenance and
disbursement of the HOME funds.
i) Applicant certifies that it will comply with the following, as indicated (check one):
_____ (Nonprofit Subrecipient) OMB Circular No. A-122, A-110, and A-133 and 24 CFR
Parts 84.2, 84.5, 84.3, 84.16, 84.21, 84.22, 84.26, 84.28, 84.30, 84.31, 84.34, 84.37, 84.40,
84.48, 84.51, 84.60, 84.62, 84.72 and 84.73.
_____ (CHDO) 24 CFR Part 84.43.
19. Religious Entities: Applicants that are religious entities understand and will comply with the following:
(a) The organization will not discriminate against any employee or applicant for employment
on the basis of religion and will not limit employment or give preference in employment to
persons on the basis of religion.
(b) The organization will not discriminate against any person applying for such public services
on the basis of religion and will not limit such services or give preference to persons on the
basis of religion.
(c) The organization will provide no religious instruction or counseling, conduct no religious
worship or services, engage in no religious proselytizing, and exert no other religious
influence in the provisions of such public services.
All of the information contained in this application for funding through the Home Investment Partnership Program (HOME) is
true and accurate to the best of my knowledge; that all documentation supporting the information in this application is on file
in the Applicants office, available for review by the City of Tulsa staff during normal business hours; that any misstatement
or falsification of information shall be grounds for cancellation of the contract and recapture of all expended and
unexpended HOME funds; and, the application’s submission has been duly authorized by the governing body of:
2008 HOME Special Needs RFP 18 May 11, 2009
I certify that the above statements are true and correct to the best of my knowledge and belief. I understand
Name of Agency
Signature/Authorized Official Date
(Should be Board of Directors Chairperson or President)
Signature of Authorized Representative Title
Printed Name Date
Signature of Preparer if Different Title
than Authorized Representative
Printed Name Date
2008 HOME Special Needs RFP 19 May 11, 2009
2008 HOME Special Needs RFP 20 May 11, 2009
Applicant is a non-federal entity that expends $500,000 or more per year in Federal awards and is required to have a single
or program-specific audit conducted for that year in accordance with OMB Circular No. A-133 “Audits of States, Local
Governments, and Non-Profit Organizations”
Yes ______ No _______
If yes, has applicant provided the City of Tulsa with its most recent audit?
Yes _____ No _______
If no, include audit in Tab #1 as an exhibit.
Applicant’s audit, financial statement or balance sheet and income statement reflecting the current financial position of the
applicant and contain no unresolved findings, reportable conditions, deficiencies or program compliance issues.
Yes _____ No _____
If no, describe in detail the unresolved findings, reportable conditions, deficiencies or program compliance issues and all
corrective actions taken.
Provide a detailed description of all sources and amounts of non-federal matching resources to be used in the proposed
project and support each source of match with signed written commitments as exhibits in Tab #1. Match commitments must
indicate the type of match being provided, amount, use in project and timing of resource availability.
Match commitments must indicate the type of match being provided, amount, use in project and timing of resource
Applicants proposing discounted or donated land as a source of match, a third-party, independent appraisal must be
provided along with a letter from the seller/donator acknowledging the discount or donation as their contribution to
Source Calculation Amount
2008 HOME Special Needs RFP 21 May 11, 2009
Monitoring and Performance History
Has the applicant organization received HOME funds from the city of Tulsa in the prior three years?
If yes, list contract numbers: _________________________________________
Does the applicant have unresolved monitoring findings from previous open or closed DGA HOME or CDBG contracts?
Yes ______ No________
If yes, provide a detailed description of the findings and corrective actions taken to date.
Does the applicant have any open DGA HOME contracts over two years old that are not 100% expended and closed out?
Yes _______ No ______
If yes, what is the contract(s) number? ______________________________________________________
Does the applicant have site control of the property to be used in the development of special needs transitional or
permanent rental housing?
Yes _____ No _____
If yes, check the form of site control and provide documentation as a numbered exhibit under Tab #1.
Fee simple title____
Warranty deed _____
Purchase contract or purchase option_____
If the applicant does not have site control, provide a detailed explanation indicating the plan to obtain site control within 120
days of grant award.
Does the applicant have preliminary floor plans and elevations or preliminary specifications for the proposed project?
Yes _____ No______
If yes, provide as a numbered exhibit under Tab #1.
If no, provide a detailed explanation indicating when preliminary floor plans and elevations or preliminary specifications for
the proposed project will be developed.
2008 HOME Special Needs RFP 22 May 11, 2009
Is zoning appropriate to the proposed project in place?
Yes _______ No _______
If yes, provide documentation of proper zoning as a numbered exhibit under Tab #1.
If no, provide a detailed timeline indicating the major steps to be taken to achieve proper zoning.
Is the proposed project for permanent rental housing with less than 20 total units?
Yes _____ No _____
If yes, provide a data-based analysis demonstrating demand for the type and amount of housing proposed as a numbered
exhibit under Tab #1.
Is the proposed project for permanent rental housing with 20 or more total units or permanent rental housing financed with
Section 42 Low Income Housing Tax Credits?
Yes _____ No ______
If yes, provide a third party independent market analysis performed by a licensed analyst not affiliated with the applicant or
developer as a numbered exhibit under tab #1.
Is the proposed project transitional rental housing?
Yes _____ No _____
Site and Neighborhood Standards Review
Does your proposed transitional or permanent rental housing project involve new construction?
Yes _____ No _____
If yes, provide a Site and Neighborhood Standards Review addressing each of the required elements in Title 24 Section
983.6 as a numbered exhibit in Tab #1. The Title 24 Section 983.6 required elements are located in the Information Exhibit.
Financing and Financial Commitments
Provide a development budget that includes all sources and uses of funds as a numbered exhibit under Tab #1.
Provide rent and expense assumptions, an operating expense budget and 15 year proforma as numbered exhibits under
Tab #1. Delineate whether utilities are included in the rent total by footnoting below the rent and expenses tables and
showing calculation of net monthly HOME rents.
If your organization is a City of Tulsa certified Community Housing Development Organization requesting CHDO operating
funds, provide an operating budget as a numbered exhibit under Tab #1.
2008 HOME Special Needs RFP 23 May 11, 2009
Provide written commitments for all sources of funding presented in the development budget as a numbered exhibit under
tab #1. Projects relying on Section 42 Low Income Housing Tax Credit financing that do not have an award of credits at the
time of their HOME application submission, may provide a projected time table detailing when credits will be awarded in lieu
of a written commitment for credits.
All income should be included in the proforma; the rate of increase for income should be no higher than 3% per year; all
cash expenses should be included; expenses should be trended higher than income; vacancy rates should be no lower than
5% on an annual basis; and property management fees should be approximately 5% to 7% of gross rents.
Total development costs must equal the total for all sources of funding. Operating budget cash flow must demonstrate
sufficient revenues to pay for all on-going expenses and debt. When permanent or term loans are used in connection with
HOME funds a minimum debt coverage ratio of 1.15 must be maintained for 15 years. Soft cost, builder profit, and
developer fee limitations are located on page 2 of this Request for Proposal.
Eligible project hard and soft costs can be found in 24 CFR part 92.206, CPD Notice 06-01, HOME Primer Chapter 6
“Rental Housing Activities” and the Information Appendix.
A sample development budget, rent and expenses assumption tables, proforma and CHDO operating budget are provided
in the Information Appendix. These samples contain the minimum required detail. Applicants may use the samples or their
own budgets provided, at a minimum, they contain the same level of detail as the samples.
2008 HOME Special Needs RFP 24 May 11, 2009
2008 HOME Special Needs RFP 25 May 11, 2009
Tab #2: Organizational Structure and Experience -- 30 Points
Provide responses and supporting documentation regarding the items below.
1. Provide an organizational chart for the applicant entity that includes all housing personnel and positions as a numbered
exhibit under Tab #2.
2. Provide a description of the overall organization’s experience and individual staff persons’ experience (by name and job
title) in the use of HOME rental activity funds, including number of years of direct experience in the HOME Program and the
number of HOME contracts awarded and successfully completed.
3. Describe staff and organizational experience related to transitional or permanent rental housing development using other
federal affordable housing resources.
4. Using the table below, list the names and job titles of all staff persons responsible for the implementation of HOME rental
Names Job Titles Areas of Responsibility Years of Experience
Overall project coordination and contract
administration, Fair Housing, Affirmative
Marketing, M/WBE, Equal Opportunity,
Section 3, contracting and procurement
Daily project oversight and project
production, administration, project file
maintenance, activity set-ups,
environmental review, reimbursement and
project completion reports, lead based
paint hazards, Fair Housing, Affirmative
Marketing, M/WBE, supervision of
subcontractors, historical review and
clearance, Labor requirements, relocation,
site and neighborhood review standards,
handicapped accessibility, project
closeouts and reporting
Maintains books and financial records,
processes accounts payable and
receivable, validates invoices, prepares
monthly Program expenditure reports,
project closeouts and reporting
Conducts residential inspections of
5. Describe how and where all records and materials pertaining to the HOME contract will be maintained.
2008 HOME Special Needs RFP 26 May 11, 2009
Tab #3: Income Targeting – 10 Points
Provide responses to the items below and complete the income targeting certification.
1. Total number of HOME-assisted units in proposed project: _________
2. Total number of HOME-assisted units targeted to households at and below 30%AMFI
2% of the HOME-assisted units targeted to households at or below 30%AMFI
3% to 4% of the HOME-assisted units targeted to households at or below 30%AMFI
5% or more of the HOME-assisted units targeted to households at or below 30%AMFI
I hereby certify _______% of the total HOME assisted units will target households at and below 30%AMFI
throughout the applicable period of affordability.
Name and Title
2008 HOME Special Needs RFP 27 May 11, 2009
2008 HOME Special Needs RFP 28 May 11, 2009
Tab #4: Leverage -- 20 Points
Provide responses to the items below.
1. Total development cost: $__________________
2. Total leverage resources documented under Basic Eligibility, Tab #1: $_________________
5% to 15%
16% to 25%
26% to 30%
31% or more
No rounding will apply in the calculation of the leverage percentage.
Reminder: Leverage resources must be documented with written commitments under Basic Eligibility Criteria in Tab #1:
“Financing and Financial Commitments”.
Tab #5: Ability to Further Reduce Development Costs Through Excess Match Contributions -- 20 Points
Provide responses to the items below.
1. Total HOME hard and soft cost request: $________________
2. 25% regulatory match obligation documented under Basic Eligibility, Tab #1: $_______________
3. Total match resources in excess of the 25% regulatory match obligation documented under Basic Eligibility, Tab #1:
Excess Match Scale
26% to 28%
29% to 30%
31% to 32%
33% or more
No rounding will apply in the calculation of the excess match percentage.
Tab #6: Energy Efficient Construction -- 10 Points
Provide responses and supporting documentation regarding the items below.
1. Have “Energy Star” qualified products and standards for building performance been incorporated to the construction or
rehabilitation of the proposed HOME rental dwellings?
Yes _______ No _______
2008 HOME Special Needs RFP 29 May 11, 2009
2. If yes, provide third-party Home Energy Rating Systems (HERS) verification as a numbered exhibit under Tab #7.
2008 HOME Special Needs RFP 30 May 11, 2009
Tab #7: Revitalization Target Area Focus – 10 Points
Provide responses and supporting documentation regarding the items below.
1. Will your proposed project be undertaken in one or more of Tulsa’s rrevitalization target areas?
Yes ______ No ______
2. If yes, state target areas, provide development site addresses and document with one or more maps of development
sites designated as a numbered exhibit under Tab #8.
Tab #8: Tie Breaker In the event of a tie score between applicants and there are insufficient HOME resources to fund all
tied applications, those applications will be rank ordered based on lowest combined HOME hard and soft costs per unit.
Remaining HOME funds will be awarded using this process until exhausted.
Applicants do not need to submit information for this criterion. Staff will extract the data needed to make the determination
based on the information contained in applicant’s development and soft costs budgets presented under Basic Eligibility, Tab
2008 HOME Special Needs RFP 31 May 11, 2009
City of Tulsa Location Policy
The location policy is designed to promote housing opportunities for lower income and minority households, encourage
dispersal of assisted housing throughout the community, assure the availability of public facilities and services, and avoid
the creation of new lower income and minority concentrations as a result of local, State or Federal housing programs.
Applicable Federal, State and local fair housing and equal opportunity policies will be addressed in implementing the five-
The City encourages mixed income developments (more than half of the units are leased to those earning above 60% of the
median family income) for any future general occupancy project-based developments. The City would consider, on a case
by case basis, supporting development proposals, which offer such a mix.
In an effort to disperse assisted housing, no more than 10% of the housing units in a Planning District or Sub-District should
be assisted by project-based subsidy programs, including tax exempt bond financed and Low Income Housing Tax Credit
financed multifamily developments, exclusive of housing for the elderly and disabled (e.g. Section 202, Section 811, Shelter
Plus Care, Section 8 Single Room Occupancy).
No more than a total of 40 project-based general occupancy units shall be within 1/2 mile of the proposed development.
For additional information, refer to the Subsidized Housing by Planning District Table and Location of Assisted Complexes
map, which follow.
2008 HOME Special Needs RFP 32 May 11, 2009
Project/site selection processes should be tailored to provide a priority for selection of proposed developments within those
Planning Districts and Sub-Districts with less than 5% project-based general occupancy assisted housing. Every effort
should be made to ensure that assisted housing units are dispersed among the various Planning Districts for individual
subsidy programs. In addition, project selection processes should be designed to encourage sponsors to coordinate project
proposals with appropriate neighborhood organizations and with surrounding neighborhood uses.
2008 HOME Special Needs RFP 33 May 11, 2009
2009 Tulsa Metro HOME Program - Income Limits
Income 1 Person 2 Person 3 Person 4 Person 5 Person 6 Person 7 Person 8 Person
30% Limits 12100 13850 15550 17300 18700 20050 21450 22850
Very Low 20150 23050 25900 28800 31100 33400 35700 38000
60% Limits 24180 27660 31080 34560 37320 40080 42840 45600
Low 80% 32250 36900 41500 46100 49800 53500 57150 60850
2009 Tulsa Metro HOME Program Rents
Rent Efficiency 1 BR 2 BR 3BR 4BR 5BR 6BR
Low HOME 503 540 647 748 835 921 1008
High 532 578 707 934 964 1109 1205
2009 Tulsa Section 221(d)(3)(ii) Limits
# of Tulsa-185%
2008 HOME Special Needs RFP 34 May 11, 2009
Minimum Content Requirements for All Data-based and Third Party Independent Licensed Market Analyses
1. A map and a description of the proposed site including physical features of the property, streets, site access and
availability of utilities, community facilities, proximity to local schools and parks, transportation and shopping
2. An evaluation of the need for affordable housing within the market area including a review of economic and
employment factors such as population growth trends, development and activity, industry, major employers, and
3. An assessment of the current housing supply type, quantity, unit mix, location, age, condition, occupancy levels,
and housing cost overburden statistics
4. A description of the potential effect on the occupancy rates of other comparable properties in the market area
5. A description of rents and vacancy rates of comparable housing
6. An identification of the number of households in the market area that are of the appropriate age, income and size
for the proposed activity
7. A calculation of the capture rate by dividing the total number of units in the project by the total number of age, size
and income-qualified renter households in the primary market area
8. The expected market absorption of the proposed housing
TITLE 24 Sec. 983.6 Site and Neighborhood Standards Required Elements
All rental new construction site and neighborhood standard reviews must address each of the following elements:
Describe how the site must be adequate in size, exposure, and contour to accommodate the number and type of
units proposed, and whether adequate utilities (water, sewer, gas, and electricity) and streets are available to
service the site.
Describe how the site and neighborhood are suitable from the standpoint of facilitating and furthering full
compliance with the applicable provisions of title VI of the Civil Rights Act of 1964, the Fair Housing Act, Executive
Order 11063, and implementing HUD regulations.
Indicate whether the site is located in an area of minority concentration. If it is in an area of minority concentration
describe how it will avoid causing a significant increase in the proportion of minority to non-minority residents in the
Describe how the site promotes greater choice of housing opportunities and avoids undue concentration of assisted
persons in areas containing a high proportion of low-income persons.
Describe whether the neighborhood is seriously detrimental to family life or one in which substandard dwellings or
other undesirable conditions predominate. If it is an area seriously detrimental to family lie or one in which
substandard dwellings or other undesirable conditions predominate, describe whether there is an active and
concerted program to remedy the undesirable conditions.
Describe the site’s accessibility to social, recreational, educational, commercial, and health facilities and services,
and other municipal facilities and services that are at least equivalent to those typically found in neighborhoods
consisting largely of unassisted, standard housing of similar market rents.
Describe how travel time and cost from the site by public transportation or private automobile to places of
employment providing a range of jobs for lower-income workers is not excessive. (This requirement does not apply
to rental new construction for elderly persons)
2008 HOME Special Needs RFP 35 May 11, 2009
Eligible HOME Hard and Soft Costs
The following is guidance only. Refer to HOME Regulations at 24 CFR Part 92.206 and 92.207, CPD Notice 96-9
“Administrative costs, project-related soft costs and CHDO operating expenses” and “Building HOME; A Program Primer
Rental Housing Activities” for additional detail.
Hard Costs – Eligible hard costs include, but are not limited to:
• Costs to meet local construction and/or rehabilitation standards.
• Acquisition of land and existing structures.
• Securing of buildings.
• Construction materials and labor.
• Essential improvements.
• Energy-conservation efficient improvements, if undertaken within a more comprehensive plan of work that brings
the unit up to local property standards and the written rehabilitation standards established below and delineated in
• Lead based paint hazard reduction, if undertaken within a more comprehensive plan of work that brings the unit up
to local property standards and the written rehabilitation standards established below and delineated in the
• Accessibility for persons with disabilities, if undertaken within a more comprehensive plan of work that brings the
unit up to local property standards and the written rehabilitation standards established below and delineated in the
• Repair or replacement of major housing systems in danger of failure.
• Incipient repairs and general property improvements of a non-luxury nature.
• Site improvements and utility connections.
• Lot clearing, prior to and in conjunction with rehabilitation.
Soft Costs – Capped at 15% of the total HOME hard and soft costs – Reasonable and necessary costs directly related to an
individual unit. All soft costs must be a part of the total development costs. Soft costs must be specifically tied to an
address. Eligible soft costs include, but are not limited to:
• Developer fees.
• Financing fees.
• Credit reports.
• Title binders and insurance.
• Recordation fees, transaction taxes.
• Legal and accounting fees.
• Architectural/engineering fees, including specifications and job progress inspections.
• Refinancing of secured existing debt if the housing is owner occupied and refinancing allows the overall costs of
borrower to be reduced and the housing is made more affordable.
• Work write-ups and cost estimates.
• Building permits; contractor fees.
• Temporary relocation costs and fair housing information services.
• Environmental Review.
CHDO Operating Expenses – Capped at $50,000 per year - Reasonable and necessary costs for the operation of a CHDO
and are limited to: salaries, wages and other employee compensation and benefits; employee education; training; travel;
rent; utilities, communication costs; taxes; insurance; equipment; materials and supplies.
2008 HOME Special Needs RFP 36 May 11, 2009
Sample Development Budget
Other Other Other
Funds Funds Funds
(specify) (specify) (specify)
Hard Construction Costs HOME
MOBILIZATION, PLANS, PERMITS
DEMOLITION, SITE PREP
HEAT & AIR
EXTERIOR DOORS SET
STUCCO, MASONRY, SIDING
INTERIOR TRIM & DOORS
CABINETS & COUNTER TOPS
EXTERIOR CONCRETE WORK
VINYL / CERAMIC FLOORING
CARPETING & OTHER
FINAL GRADE & LANDSCAPE
TOTAL HARD COSTS
Soft Construction Costs
FILING FEESTRANSACTION TAXES
TOTAL SOFT COSTS (15%)
2008 HOME Special Needs RFP 37 May 11, 2009
TOTAL REHABILITATION COSTS
2008 HOME Special Needs RFP 38 May 11, 2009
HOME Other Match (25%)
Construction materials & labor
Acquisition land & existing structures
HOME downpayment assistance
ADDI down payment assistance
Site prep or improvement including demolition
Title binders & insurance
Recordation fees, transaction taxes
Legal & accounting fees, including cost certification
Arch./engineering fees, including specs. & job progress inspections
Affirmative marketing & marketing costs
Homebuyer ed./counseling to HOME-assisted buyers
Other costs directly related to specific project
Replacement housing, moving costs & out-of-pocket expenses
Staff & overhead related to relocation assistance and services
Project Cost Total
2008 HOME Special Needs RFP 39 May 11, 2009
Sample Rent and Expense Assumption Tables
RENT AND EXPENSE
Unit Type # Units Rent Rent
High HOME Rent limits=$_______ less $_______ tenant paid utility allowance= Net HOME Rent $______
Op Cost Inc./Year
Vac. Year 1
Vac. Year 2
Vac. Year 3 & Future
2008 HOME Special Needs RFP 40 May 11, 2009
Sample Operating Expense Budget
OPERATING EXPENSES TOTAL Per Unit
Real Estate Property Tax
Total Operating Expenses
Total Operating Exp. and
2008 HOME Special Needs RFP 41 May 11, 2009
Sample CHDO Operating Budget
CHDO Operating Line Item HOME Application OHEA Development Fees Unrestricted Total Budget
Budget Fees & Revenue Agency Revenue
Executive Director (??%)
Housing Director (??%)
Assoc. Housing Director (??%)
Financial Officer (??%)
Housing Specialist (??%)
Local Travel (????? miles x current
federal mileage rate)
Out of Area Travel (?? trips @ $??)
Out of State Travel (? trips @ $???)
Office Rent (??? sq ft x $???/sq
Storage ($??? x 12 mo)
Utilities ($???/mo x 12 mo)
Office & Cell Phones/Internet
General Liability Insurance
Position Bond Insurance
Directors Liability Insurance
Total Other Costs
Tulsa Target Areas
2008 HOME Special Needs RFP 43 May 11, 2009