Indian Housing Block Grant 2023 Competitive Priorities
The Fiscal Year 2023 Indian Housing Block Grant (IHBG) Competitive NOFO Training focuses on Soundness of Approach with a maximum of 42 points. Subfactor 3.1 emphasizes IHBG Competitive Priorities, including new housing construction projects, housing rehabilitation projects, acquisition of units, and affordable housing-related infrastructure projects. HUD prioritizes projects that stimulate housing construction and rehabilitation, awarding maximum points to new housing construction projects. Points are allocated based on the nature of the proposed projects, with a focus on direct project costs. Maximum points are awarded for projects that demonstrate income below the 25th percentile threshold, according to Tribal Area Per Capita Income (PCI) Resource List.
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Fiscal Year 2023 Indian Housing Block Grant (IHBG) Competitive NOFO Training Rating Factor 3: Soundness of Approach Maximum Total 42 Points 1
Subfactor 3.1: IHBG Competitive Priorities 2 3.1 IHBG Competitive Priorities 3.1.a. New Housing Construction Projects 3.1.b. Housing Rehabilitation Projects 3.1.c. Acquisition of Units 3.1.d. Affordable Housing-Related Infrastructure Projects or Land Acquisition Projects *** Maximum 10 points possible for this Subfactor
Subfactor 3.1 IHBG Competitive Priorities 3 HUD is required to give priority to projects that will spur construction and rehabilitation of housing. New housing construction projects Housing rehabilitation Acquisition of existing units that increase affordable housing stock Affordable housing-related infrastructure projects that spur housing construction or rehabilitation Maximum of ten (10) points.
Subfactor 3.1 IHBG Competitive Priorities HUD will award maximum points to new housing construction projects. HUD will review cost items from the Cost Summary Form HUD-53246. Projects will be rated according to the Subfactor or Priority that will yield highest number of points. HUD will calculate percentage of funding proposed towards the activity for direct/project costs, only. Calculation will exclude administration/planning costs. HUD will score applications proposing to use funding under the Subfactor based on the nature of the project. Maximum of ten (10) points. 4
Subfactor 3.1.a.: New Housing Construction Projects 5 Demolition followed by reconstruction Acquisition of manufactured housing Infrastructure associated with new housing construction that begins during the Period of Performance Acquisition of land associated with new housing construction that begins within the Period of Performance HUD will rate housing rehabilitation projects that demonstrate income below the 25th percentile threshold according to Tribal Area Per Capita Income (PCI) Resource List Must provide a statement to explain how rehab is the only viable option to preserve and expand affordable housing opportunities Maximum of ten (10) points.
Subfactor 3.1.b.: Housing Rehabilitation Projects 6 Housing Rehabilitation (NEW) includes: Rehabilitation of housing to improve conditions and structures of existing affordable housing units Infrastructure associated with rehabilitation projects that begin during the Period of Performance Maximum of eight (8) points
Subfactor 3.1.c.: Acquisition Of Units 7 Acquisition Of Existing Units: Increase affordable housing stock without any associated costs for new housing construction, rehabilitation, or infrastructure Infrastructure activities to be associated with (connected to) acquisition or units, which will begin during the Period of Performance Maximum of seven (7) points.
Subfactor 3.1.d.: Affordable Housing Related Infrastructure or Land Acquisition Projects 8 Affordable Housing Related Infrastructure or Land Acquisition (NEW): Spur (stimulate) construction or rehabilitation Will support existing affordable housing or development of affordable housing Activities like new housing construction, rehabilitation of homes, and acquisition of units will be completed in the future Infrastructure will begin within the Period of Performance stated in application Maximum of seven (7) points
Subfactor 3.2- Project Implementation Plan (up to 8 points) 9
Subfactor 3.2 Project Implementation Plan 10 Components: 1. Description of how the project is viable and cost- effective 2. Rationale behind the project design 3. Location of the project (e.g. include a map, address and/or aerial photo), site control of location, any zoning compliance requirements, and whether units are on fee- simple or trust land
Subfactor 3.2 Project Implementation Plan 11 Components, continued: 4. Infrastructure projects supporting development of affordable housing beyond the Period of Performance: a. Describe plans for the housing development project(s) b. Anticipated completion date 5. Describe the estimated cost savings from either building design, construction methods, or energy-efficiency measures 6. Size (square feet) and number of units 7. Type of units (e.g. number of bedrooms proposed, single- family vs. multi-family units)
Subfactor 3.2 Project Implementation Plan 12 Reminders: If applicable, include page references in Workplan Narrative to any supporting documents! If you propose multiple projects, you must ensure all applicable components are addressed for each project.
Subfactor 3.3 Project Implementation Schedule and Project Readiness (up to 8 points) 13
Subfactor 3.3 Project Implementation Schedule and Project Readiness 14 Implementation Schedule (HUD-53247) and Narrative Components: 1. Describe specific tasks and timelines for completing project on time and within budget. Include work of both applicant and any contractors, consultants, sub-recipients, etc. 2. On the HUD-53247, identify each significant activity and milestones List key milestones Include planned start and completion dates of all tasks 3. Describe if applicant has already completed major steps Environmental review Proposed plans or specifications for new construction or rehab Proposed site for new development Initiation of bid process Secured leveraged financing Coordination efforts with community
Subfactor 3.3 Project Implementation Schedule and Project Readiness 15 Environmental review process Choice Limiting Action (definition): Action in which a Tribe or TDHE commits or expends HUD or non- HUD funds on activities that reduces or eliminates opportunity to choose alternatives. Changes or alters environment or conditions of land or property of proposed project. Includes actions to acquire, dispose, rehabilitate, demolish, convert, transfer, remove, lease, or construct properties (including entering contracts or other written commitments). NOTE:This is different than the Environmental Review- Intent application submission requirement Expression of listed on p. 27 of the NOFO.
Subfactor 3.4- Budget (up to 8 points) 16
Subfactor 3.4- Budget 17 HUD evaluation criteria: 1. Cost Summary (HUD-53246) and detailed budget narrative 2. Budget thoroughly prepared 3. Costs are eligible under NAHASDA 4. Costs are allowable, allocable, reasonable and necessary for implementing the project and activities 5. Current Total Development Cost (TDC) referenced by 24 CFR 1000.302 and Notice PIH-2022-16 (Updated TDC limits).
Subfactor 3.4-Budget HUD evaluation criteria: Definition overview 1. Eligible = costs are in keeping with NAHASDA Sec. 202. 2. Allowable = costs meet the Cost Principles criteria in 2 CFR 200 Subpart E. Example of unallowable cost: alcohol and entertainment! 3. Allocable = all costs must be tied to the workplan activities and incurred within the Period of Performance Exception: Pre-award proposal costs or land acquisition 4. Reasonable = prudent person test 5. Necessary = Costs crucial for implementing activities
Subfactor 3.4-Budget Budget components: Breakdown of cost estimates by line item for each proposed activity, including administration and planning costs Budget calculations must be mathematically correct Description of the qualifications and experience of the individual(s) that prepared the budget How experience is recent and relevant to the project
Subfactor 3.4- Budget 20 Budget components: If including indirect costs, demonstrate how they are calculated with either current federally-approved negotiated rate or the de minimis rate (2CFR 200.414) IDC counts toward Admin. and Planning cap
Subfactor 3.5- Sustainability (up to 8 points) 21
Subfactor 3.5- Sustainability 22 Sustainability Components Describe plans to maintain project upon completion and plans to secure funding beyond completion date to sustain project. Detail how the project furthers your IHBG program for your Tribe or TDHE Describethe project s affordability period which should align with your useful life periods in your IHBG Formula IHP Applicant is required to maintain all housing under the IHBG Competition program and ensure it remains affordable Maximum of eight (8) points.
End of Rating Factor 3 Module Soundness of Approach 23
