Texas Department of Housing and Community Affairs

Housing Trust Fund Division

2010-2011 Rural Housing Expansion Program

USDA Section 502 Direct Loan Application Assistance Grant Application

Internet Address:


June 18, 2010

Dear Applicant:

The Texas Department of Housing and Community Affairs is pleased to provide you with the Housing Trust Fund Program Application to accompany the Notice of Funding Availability (NOFA) for the 2010-2011 Rural Housing Expansion Program – USDA Section 502 Direct Loan Application Assistance Grant.

The Rural Housing Expansion Program policies and procedures are described in the NOFA posted on the Housing Trust Fund website:

The Housing Trust Fund provides loans, grants, or other comparable forms of assistance to units of local government, public housing authorities and non-profit organizations to finance, acquire, rehabilitate, and develop decent, safe, and affordable housing.

We look forward to working with you to improve the housing conditions in your community.

Sincerely,

Dee Copeland Patience, Manager

Housing Trust Fund Division

APPLICATION INSTRUCTIONS

HARD COPY: Print the “Submission Acknowledgement” and complete application (9 pages) with original signature. Do not print attachments.

ELECTRONIC COPY: Copy the complete application with signature, plus all attachments, to a data CD.

 Save all documents in Portable Document Format (“pdf”) onto the CD

 Name each pdf with the applicant name followed by an underscore, then the document name (e.g., “XYZ Organization_IRSletter”)

 When saving pdfs, enable the “fast web view” or “page at a time downloading”

 Pdfs should average no more than 100 kb per page

NOTE: no applications will be accepted via email or fax.

APPLICATION cHECKLIST

o Check for $30 application fee, payable to the Texas Department of Housing and Community Affairs (not applicable to non-profit organizations that have requested fee waiver in Board Resolution)

o “Submission Acknowledgement” with contact info completed by applicant

o Complete application (9 pages), printed and with original signature

o Data CD containing scanned pdfs of:

o Copy of signed application (9 pages)

o Non-profit organizations ONLY: IRS letter for tax-exempt status

o Certificate of Account Status from the Texas Comptroller

o Signed resolution, as described in the NOFA

o Audited financial statements, as described in the NOFA

o Organizational Capacity description with attachments

FOR MORE INFORMATION:

Mark Leonard, Housing Trust Fund Program Specialist

Telephone: (512) 936-7799, e-mail:

Hand delivery or overnight delivery:

Texas Department of Housing & Community Affairs

Housing Trust Fund Division

221 East 11th Street

Austin, TX 78701-2410

U.S. Postal Service delivery:

Texas Department of Housing & Community Affairs

Housing Trust Fund Division

Post Office Box 13941

Austin, TX 78711-3941

SUBMISSION ACKNOWLEDGEMENT

To be completed by APPLICANT:

Provide contact information below. If the application is verified as complete, TDHCA will email this acknowledgement to the Applicant and accept the application for further review.

If the application is verified as incomplete, TDHCA will not accept the application and will issue an “Incomplete Application” notice to the applicant.

Organization Name:

Contact:

Email:

Telephone:

Address:

City, State, Zip:

To be completed by TDHCA ONLY:

Checklist for application package

o Check for $30 application fee (if applicable)

o “Submission Acknowledgement” (this form) with contact info

o Complete application (9 pages), printed and with original signature

o Data CD containing scanned pdfs of:

o Copy of signed application (9 pages)

o Non-profit organizations ONLY: IRS letter for tax-exempt status

o Certificate of Account Status from the Texas Comptroller

o Signed resolution, as described in the NOFA

o Audited financial statements, as described in the NOFA

o Organizational Capacity description with attachments

HTF Division Staff______

Date & time application SUBMITTED______

Date & time COMPLETE application ACCEPTED______

Application number______

Applicant Information

Organization or entity name:

Contact name:

Physical address:

Mailing address (if different from physical address):

City, State, zip:

Telephone:

Email:

Applicant is a (check one):

Nonprofit Corporation

Local Government (or Council of Government)

Public Housing Authority

Taxpayer Identification Number:

Applicant Disclosures

Has the Applicant:

1) Been delinquent filing a federal or state tax return(s)? No Yes

2) Received federal or state finding(s)? No Yes

3) Been delinquent on federal or state debt? No Yes

4) Been debarred from HUD* or any other federal program?No Yes

5) Filed bankruptcy in the last 10 years? No Yes

*It is the responsibility of the Applicant to contact HUD to ensure they have not been disbarred, as HUD does not always notify persons that they have been disbarred.

If the Applicant disclosed “Yes” to any of the items 1 through 5 above, attach to this application a detailed explanation of the circumstances regarding the disclosure. Include copies of relevant correspondence from the authority that made the determination.

Funding REQUEST

Applicant requests access to the funding reservation system for reimbursement of direct costs of packaging and submitting USDA Section 502 Direct Loan applications.

Yes

Applicant requests a grant award (up to $5,000) for Capacity Building related to the USDA Section 502 Direct Loan Application Assistance Program.

Yes Amount requested $

No

number of households to be served

Applicant proposes to serve a minimum of households through the Program.

LOCATION & JURISDICTION OF THE SERVICE AREA

TDHCA Uniform State Service Region:

Look up regions at

Proposed Service Area(s) for program (e.g., “City of Austin, Travis County” or “Starr, Hidalgo, and Willacy Counties”):

List Elected Representatives for EACH separate service area proposed*:

Look up representatives at

Service Area 1:

State Representatives(s): ,

State Senator(s): ,

U.S. Representative(s): ,

Service Area 2:

State Representatives(s): ,

State Senator(s): ,

U.S. Representative(s): ,

Service Area 3:

State Representatives(s): ,

State Senator(s): ,

U.S. Representative(s): ,

Service Area 4:

State Representatives(s): ,

State Senator(s): ,

U.S. Representative(s): ,

*Attach additional pages if necessary

ORGANIZATIONAL CAPACITY DESCRIPTION

As described in Section 13(d) of the NOFA (page 13): Provide a description of the Applicant’s organizational capacity and readiness to proceed with packaging, submitting and closing USDA Section 502 Direct Loan Applications, including:

  • The organization’s history of packaging, submitting and closing USDA Section 502 Direct Loan Applications (please limit description to 300 words); and
  • Financial management systems and staff in place to manage the organization’s finance (please limit description to 300 words)

Page 1 of 9

2010 Rural Housing Expansion Program – USDA Section 502 Direct Loan Application Assistance

Grant Application

PARTICIPATION IN TDHCA PROGRAMS, TABLE 1

In Table 1, Applicant must list:

  • previous or current participation in any TDHCA programs for HOUSING construction or rehabilitation
  • pending applications for any TDHCA programs for HOUSING construction or rehabilitation
  • if not applicable, write “N/A”
  • attach additional pages if necessary

Applicant legal name:

Table 1: TDHCA Housing Construction/Rehabiliation Programs

TDHCA Contract or Loan number / Property or Program Name / Location
(city, county) / Total # of Units / HOME / Housing Trust Fund / Housing Tax Credit / Mortgage
Revenue Bonds / Disaster Recovery / Contract Start
(mm/yyyy) / Contract End
(mm/yyyy) / Non-compliance [1]

Page 1 of 9

2010 Rural Housing Expansion Program – USDA Section 502 Direct Loan Application Assistance

Grant Application

PARTICIPATION IN TDHCA PROGRAMS, TABLE 2

In Table 2, Applicant must list:

  • previous or current participation in any TDHCA programs for SERVICE-related activities (i.e., not construction)
  • pending applications for any TDHCA programs for SERVICE-related activities
  • if not applicable, write “N/A”
  • attach additional pages if necessary

Applicant legal name:

Table 2: TDHCA SERVICE-RELATED ACTIVITIES

TDHCA Contract or Loan number / Grantee, Contractor, or Sub-Recipient Name / Location
(city, county) / Contract Amount / HOME / Housing Trust Fund / CSBG / CEAP / WAP / ENTERP / Contract Start
(mm/yyyy) / Contract End
(mm/yyyy) / Non-compliance [2]

Page 1 of 9

2010 Rural Housing Expansion Program – USDA Section 502 Direct Loan Application Assistance

Grant Application

Certification of Applicant

I, the Applicant, hereby apply to the Texas Department of Housing and Community Affairs (the “Department”) for approval to participate in the Housing Trust Fund Program. The Applicant certifies that all statements made in this application and related exhibits are true, complete, and correct and are made in good faith. The Applicant further certifies that:

(1) The “Participation in TDHCA Programs” tables list every housing or service-related activity that received TDHCA funding, for which Applicant has received or for which the Applicant is now applying.

(2) For the period beginning ten years prior to the date of this certification:

(a) The Applicant has not been arrested, indicted, convicted, or imprisoned for a felony, and is not presently the subject of a complaint or indictment charging for a crime of moral turpitude.

(b) The Applicant has not been suspended, debarred, or been subject to enforcement action under state or federal securities law, or otherwise restricted by any department or agency of federal or state government from doing business with such department or agency.

(c) The Applicant has not defaulted on an obligation covered by a surety or performance bond and has not been the subject of a claim under an employee fidelity bond.

(3) For the period beginning ten years prior to the date of this certification, during Applicant’s participation in the activities shown in the “Participation in TDHCA Programs” tables, there has not been:

(a) a mortgage in default, assigned or foreclosed, nor has mortgage relief by the lender been given;

(b) to the best of Applicant’s knowledge, unresolved findings raised as a result of Departmental or HUD audits, management reviews or other governmental investigation concerning the Applicant or the Applicant’s developments or contracts;

(c) any breach by the owner of any agreements relating to the construction or rehabilitation, use, operation, management, or disposition; or

(d) a suspension or termination of payments under any state or federal assistance contract.

(4) To the best of the Applicant’s knowledge, the Applicant has demonstrated fiscal, programmatic, and contractual compliance on previously awarded Department contracts or loan agreements and resolution of any previous audit findings and outstanding monetary obligations with the Department.

(5) In the procurement of property and services by recipients of Housing Trust Funds, the conflict of interest provisions in 10 TAC §51.12 and §2306 of the Texas Government Code apply. The Applicant understands that:

(a) No persons who exercise or have exercised any functions or responsibilities with respect to HTF-funded activities or who are in a position to participate in a decision making process or gain inside information with regard to these activities, may obtain a financial interest or benefit from an such 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; and

(b) The conflict of interest provisions apply to any person who is an employee, agent, consultant, officer, or elected official or appointed official of the recipient which is receiving HTF funds.

(6)As required by §2306.257 of the Texas Government Code, as added by SB 322, 77th Session of the Texas Legislature, the Applicant may not receive funds or other assistance from the Department unless the Applicant certifies that it is in compliance with the housing laws described in subparagraph (a) through (d) of this paragraph. To satisfy that requirement, the Applicant certifies that the developments listed in the “Participation in TDHCA Programs” tables, in which the Applicant is currently participating, are in compliance with:

(a)state and federal fair housing laws, including Chapter 301, Property Code, the Texas Fair Housing Act; Title IV of the Civil Rights Act of 1968; and the Fair Housing Amendments of 1988 (42 U.S.C. §3601 et seq.),

(b)the Civil Rights Act of 1964 (42 U.S.C. §2000a et seq.),

(c) the Americans with Disabilities Act of 1990 (42 U.S.C. §12101 et seq.), and

(d) the Rehabilitation Act of 1973 (29 U.S.C. §701 et seq.).

(7)The Applicant certifies that the Applicant, or a branch, division, or department of the Applicant does not and will not knowingly employ an undocumented worker, where "undocumented worker" means an individual who, at the time of employment, is not lawfully admitted for permanent residence to the United States or authorized under law to be employed in that manner in the United States. If, after receiving a public subsidy, the Applicant, or a branch, division, or department of the Applicant is convicted of a violation under 8 U.S.C §1324a(f), the Applicant shall repay the amount of the public subsidy with interest, at the rate and according to the other terms provided by an agreement under Texas Government Code §2264.053, not later than the 120th day after the date TDHCA notifies the Applicant of the violation.

Before any award is granted by the Board to the Applicant, the Department and the Applicant must enter into an agreement that says, at least:

“The Applicant agrees that if the Applicant, or a branch, division, or department of the Applicant is convicted of a violation under 8 U.S.C §1324a(f), the Applicant shall repay the amount of the public subsidy with interest, at the rate of (TBD) % per annum, not later than the 120th day after the date TDHCA notifies the Applicant of the violation."

(8)The Applicant understands that the Department periodically monitors for compliance with the requirements specified in paragraph (5) during the construction phase of a housing development that has received funds or other assistance from the Department. The monitoring level for each housing development is based on the amount of risk of noncompliance with the requirements specified in paragraph (5) associated with the development. The Department shall notify a recipient who has received funds or other assistance from the Department in writing of an apparent violation and shall afford the recipient a reasonable amount of time, as determined by the Department, to correct the identified violation, if possible, prior to the imposition of a sanction. The Department shall notify the Texas Commission on Human Rights at the same time notification is sent to the recipient. The Applicant understands that the Department may impose one or more of the following sanctions depending on the severity of the violation of a law specified in subsection (5) by a recipient of housing funds or other assistance from the Department:

(a)a reprimand posted on the Department’s website;

(b)termination of assistance; or

(c)a bar on future eligibility for assistance through a housing program administered by the Department. A bar shall be in place for at least one calendar year from the date of imposition by the Department and may not last for more than ten calendar years from the date of imposition.

(9) The Applicant agrees to, as required by the Department, have relevant staff members attend Administrator training in person. If an alternative to attending training in person exists, and is acceptable to the Department, the Applicant agrees to have relevant staff certify completion of the training.

Signature ______

(must be signed by person authorized to execute contracts on behalf of the Applicant)

Date of signature______

Printed name and title______

Email address______

Telephone______

Page 1 of 9

2010 Rural Housing Expansion Program – USDA Section 502 Direct Loan Application Assistance

Grant Application

[1] If the activity has past non-compliance or defaults, technical or otherwise, attach a description and note whether it has been cured. Examples of non-compliance include: defaults, mortgage relief, assignments, foreclosures, material/mechanic’s liens, legal action, issuance of IRS Form 8823, non-compliance with local building codes or planning regulations, and other program findings.

[2] If the activity has past non-compliance or defaults, technical or otherwise, attach a description and note whether it has been cured. Examples of non-compliance include: defaults, mortgage relief, assignments, foreclosures, material/mechanic’s liens, legal action, issuance of IRS Form 8823, non-compliance with local building codes or planning regulations, and other program findings.