HomeMy WebLinkAboutFUNDING APPROVAL AND GRANT AGREEMENT FOR NEIGHBORHOOD STABILZATIION PROGRAM (nsp3) FUNDING APPROVAL AND GRANT AGREEMENT FOR
NEIGHBORHOOD STABILIZATION PROGRAM 3 (NSP3) FUNDS
AS AUTHORIZED AND APPROPRIATED UNDER THE WALL STREET
REFORM AND CONSUMER PROTECTION ACT OF 2010, AMERICAN
RECOVERY AND REINVESTMENT ACT OF 2009 AND THE HOUSING
AND ECONOMIC RECOVERY ACT OF 2008
(PUBLIC LAWS 111 -203, 111 -005 and 110 -289)
NSP3 GRANTEE: City of Augusta, Georgia
NSP3 GRANT NUMBER: B- 11 -MN -13 -0002
NSP3 GRANT AMOUNT: $1,161,297
NSP3 APPROVAL DATE: March 8, 2011
NSP3 EXPENDITURE DEADLINE (2 YEAR): March 8, 2013
NSP3 EXPENDITURE DEADLINE (3 YEAR): March 8, 2014
GRANTEE DUNS NUMBER: 073438418
1. This Grant Agreement between the U.S. Department of Housing and Urban Development
(HUD) and the Augusta, Georgia (Grantee) is made pursuant to the authority of section
1497 of the Wall Street Reform and Consumer Protection Act of 2010 (Pub. L. 111 -203
(July 21, 2010)) (Dodd -Frank Act), title XII of Division A of the American Recovery and
Reinvestment Act of 2009 (Public Law 111 -5 (February 17, 2009)) (Recovery Act) and
sections 2301 — 2304 of the Housing and Economic Recovery Act of 2008 (Public Law
110 -289 (July 30, 2008)) (HERA). The program established pursuant to section 2301-
2304 of HERA is known as the "Neighborhood Stabilization Program" or "NSP." The
term "NSP2" refers to the second appropriation of NSP funds provided under the
Recovery Act. The additional allocation under the Frank Dodd Act represents the third
round of Neighborhood Stabilization Program funding and is referred to as "NSP3."
Notice of Formula Allocations and Program Requirements for Neighborhood
Stabilization Program Formula Grants (Docket No. FR- 5447 -N -01, October 19, 2010)
(NSP3 Notice); the Dodd -Frank Act; the Recovery Act; HERA; the Grantee's
application for NSP3; the HUD regulations at 24 CFR Part 570 (as modified by the NSP3
Notice as now in effect and as may be amended from time to time) (Regulations); and
this Funding Approval, including any special conditions, constitute part of the Grant
Agreement. In the event of a conflict between a provision of the Grantee's Application
and any provision of this Grant Agreement, the latter shall control.
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2. The Grantee shall comply with reporting requirements established by HUD and OMB
(including all revisions to such reporting requirements) and the Federal Funding
Accountability and Transparency Act (Pub. L. 109 -282) (including implementing
guidance).
3. Subject to the provisions of this Grant Agreement, HUD will make NSP3 Grant Funds in
the amount of $1,161,297 available to the Grantee upon execution of this Grant
Agreement by the parties. Of that amount, $290,324.25 must be used to house
individuals or families whose incomes do not exceed 50 percent of area median income,
pursuant to Dodd -Frank Act. The Grantee shall have 24 months from the date of HUD's
execution of this Grant Agreement to expend half of the NSP3 Grant amount pursuant to
the requirements of this Agreement, the Dodd -Frank Act, the Recovery Act, HERA and
the NSP3 Notice, as amended. The Grantee shall have 36 months from the date of
HUD's execution of this Grant Agreement to expend the total NSP3 Grant amount
pursuant to the requirements of this Agreement, the Dodd -Frank Act, the Recovery Act,
HERA and the NSP3 Notice, as amended. The NSP3 Grant Funds may be used to pay
eligible costs arising from eligible uses incurred after the NSP3 Approval Date provided
the activities to which such costs are related are carried out in compliance with all
applicable requirements. Pre -award planning and general administrative costs may not be
paid with funding assistance except as permitted in the NSP3 Notice, as amended. Other
pre -award costs may not be paid with funding assistance except as permitted by 24 CFR
570.200(h); for purposes of NSP3, such costs are limited to those incurred on or after the
date that the NSP3 Notice was published by HUD.
4. The Grantee agrees to assume all of the responsibilities for environmental review,
decisionmaking, and actions, as specified and required in regulations issued by the
Secretary pursuant to section 104(g) of Title I of the Housing and Community
Development Act, as amended (42 U.S.C. 5304) and published in 24 CFR Part 58.
5. The Grantee agrees that it will demolish or convert units using NSP3 funds only to the
extent and scope described in the NSP3 substantial amendment. The Grantee agrees that
under no circumstances will NSP3 funds be used to demolish any public housing (as
defined in section 3 of the United States Housing Act of 1937 (42 U.S.C. 1437a)).
6. The Grantee agrees to comply with the Recovery Act provisions concerning tenant
protections applicable to NSP3 acquisitions of foreclosed property. The Grantee must
document its efforts to ensure that the initial successor in interest (ISII) in a foreclosed
upon dwelling or residential real property (typically, the initial successor in interest in
property acquired through foreclosure is the lender or trustee for holders of obligations
secured by mortgage liens) has provided bona fide tenants with the notice and other
protections outlined in the Recovery Act. The Grantee will not use NSP3 funds to
finance the acquisition of property from any initial successor in interest that failed to
comply with applicable requirements unless the Grantee assumes the obligations of such
initial successor in interest with respect to bona fide tenants. If the Grantee elects to
assume such obligations, it may only do so if the tenant is still occupying the property
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and will provide any tenant displaced as a result of the NSP3 funded acquisition with the
assistance outlined in 24 CFR 570.606. If the Grantee knows that the ISII did not comply
with the NSP tenant protection requirements and vacated the property contrary to the
NSP requirements, NSP3 funds cannot be used to acquire such properties.
7. The Grantee further acknowledges its responsibility for adherence to all applicable terms
and conditions of this grant award by sub - recipient entities and contractors, including
obtaining a DUNS number (or updating the existing DUNS record), and registering with
the Central Contractor Registration.
8. This Grant Agreement may be amended only with the prior written approval of HUD. In
considering proposed amendments to this Grant Agreement, HUD shall also review,
among other things, whether the amendment is otherwise consistent with the Dodd -Frank
Act, the Recovery Act, HERA, the NSP3 Notice, as amended, and the Regulations.
9. The Grantee may not amend its Grantee Submission other than as described above;
however, such amendments will be subject to the requirements of the NSP3 Notice and
any revisions HUD may make to the NSP3 Notice (or any successor Notice or
regulation).
10. The Grantee must respond in writing to any citizen complaint within 15 working days, if
feasible, and send a copy of the response to HUD. The Grantee shall at all times maintain
an up -to -date copy of its Grantee Application, including all amendments approved by
HUD, on its Internet website. Further, the Grantee shall maintain information on all
drawdowns, deposits, and expenditures of grant funds and program income under this
Funding Approval and Grant Agreement and any other records required by 24 CFR
570.506 and the NSP3 Notice, as amended, in its files and shall make such information
available for audit or inspection by duly authorized representatives of HUD, HUD's
Office of the Inspector General, or the Comptroller General of the United States.
11. The Grantee is advised that providing false, fictitious or misleading information with
respect to NSP3 Grant Funds may result in criminal, civil or administrative prosecution
under 18 USC § 1001, 18 USC § 1343, 31 USC § 3729, 31 USC § 3801 or another
applicable statute.
12. Close -out of this grant shall be subject to the provisions of 24 CFR 570.509 or such
close -out instructions as may hereafter be issued by HUD specifically for NSP3 grants.
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This NSP3 Grant Agreement is binding with respect to HUD in accordance with its terms upon
the execution by HUD in the space provided below, subject to execution on behalf of the
Grantee.
The United States Department of The Grantee
Housing and Urban Development City of Augusta, Georgia
Signature of thorized fficial Signature of Authorized Official
Mary D. Presley - T) ' ► '` `' `, = c t f
Name of Authorized Official Name of Authorized Official
Director
Atlanta Office of Community Planning rig
and Development �'� `y C
Title of Authorized Official Title of Authorized Official
Date of S gnat e Date of Signature
58- 2204274
Grantee Tax Identification Number
For HUD CFO Use Only
Current Balances Increases/Decreases Ending Balance Date
Q PPjMeNrDFyo U.S. Department of Housing and Urban Development
Atlanta Office
* * c
°(, 111111I1 Community Planning and Development
� Five Points Plaza
ve gN Devt Ce 40 Marietta Street, NW, 15' Floor
Atlanta, GA 30303 -2806
March 8, 2011
Mr. Chester Wheeler III
Director
Augusta Housing and Community Development
925 Laney Walker Blvd., Second Floor
Augusta, GA 30901
Dear Mr. Wheeler:
SUBJECT: Neighborhood Stabilization Program 3 (NSP 3)
Grant Number: B- 11 -MN -13 -0002
Enclosed are three copies of the Funding Approval and Grant Agreement (Grant Agreement)
for Neighborhood Stabilization Program 3 (NSP 3) grant funds allocated to City of Atlanta, Georgia.
The Department has approved your jurisdiction's substantial action plan amendment for the NSP 3
funds in the amount of $1,161,297 and looks forward to working with you as your jurisdiction begins
to implement its NSP 3 program.
The NSP 3 program is authorized by Section 1497 of the Dodd -Frank Wall Street Reform and
Consumer Protection Act of 2010 (Dodd- Frank). Please note that under the terms of Dodd - Frank,
NSP 3 grantees have the same deadlines for expenditure as NSP 2, defined in the Title XII of
American Recovery and Reinvestment Act (ARRA): grantees must expend 50% of their grant amount
in two years and 100% of their grant amount in three years. The two -year period was triggered by
HUD's execution of the Grant Agreement. Please execute the agreements, retain one copy for your
records, and return the other two copies to HUD as quickly as possible to ensure that you have the
maximum time available to use the NSP funds. Grant Agreements should be returned to this office at
the following address:
Department of Housing and Urban Development
Atlanta Office of Community Planning and Development
40 Marietta Street, NW, 15 Floor
Atlanta, Georgia 30303
Grant Agreements must be signed by an authorized official of the grantee. Upon receipt of the
executed Grant Agreement, HUD will immediately forward the fully executed Grant Agreement to the
Department's accounting operations center in order to make the funds available on the grantee's line of
credit. Please recall that NSP funds will be available through HUD's Disaster Recovery Grant
Reporting (DRGR) system, not the Integrated Disbursement and Information System (IDIS). If you
have questions regarding DRGR, please contact the DRGR help desk at DRGR Help @hud.gov. HUD
will notify grantees when NSP funds are available for drawdown through DRGR.
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Grantees are reminded that the October 19, 2010, Federal Register Notice for NSP 3 requires
quarterly reporting by grantees (see 75 FR 64337, Section 0, Reporting). Such reports are due not
later than 30 days following the end of each calendar quarter with the first such report due not later
than July 31, 2011, for the quarter ending June 30, 2011. Given three -year period in which grantees
must expend the NSP 3 funds, it is imperative that grantees regularly update DRGR with program
performance information. HUD will closely monitor quarterly report submissions and will
aggressively pursue grantees that fail to report in a timely manner. Grantees are also reminded that
each quarterly report must be posted on their web sites so that the public may have ready access to the
information.
In the October 19, 2010 Notice, HUD authorized grantees to use up to 10 percent of their NSP
funds for administrative costs incurred in management and implementation of the NSP program.
While HUD is cognizant of the fiscal pressures facing many state and local governments, please
understand that these funds may only be used for administration of NSP and may not be used to
finance the broader governmental functions of the grantee. The Department will be monitoring NSP
drawdowns to identify instances where grantees draw administrative funds that are excessive in
relation to the level of program progress.
Grantees are reminded that:
• The October 19, 2010, Federal Register Notice requires that NSP grantees maintain on their
official website a copy of the final approved substantial action plan amendment. Grantees
are also reminded that they are required to post quarterly performance reports to their
websites concurrent with their submission to HUD.
• NSP - funded activities are subject to applicable provisions of the HUD Environmental
Review Procedures (24 CFR Part 58). In this regard a request for release of funds must be
approved by HUD prior to the obligation or utilization of funds for NSP activities. The
environmental review process for NSP is the same as for the Community Development
Block Grant (CDBG) program.
• The Grant Agreement requires grantees to submit information on performance measurement
as established by the Secretary for activities undertaken with NSP grant funds.
• As a recipient of HUD funds, federal law requires that grantees ensure their plan benefits all
members of their community, without regard to race, color, national origin, sex, religion,
familial status, or disability. Grantees should take affirmative steps to ensure that no person is
denied the benefit of housing or housing - related services for any of the foregoing reasons.
• Providing false, fictitious or misleading information with respect to the administration of NSP
funds may result in criminal, civil or administrative prosecution under 18 U.S.C. 1001, 18
U.S.C. 1343, 31 U.S.C. 3729, 31 U.S.C. 3801, or another applicable statute.
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The Department is pleased to have this opportunity to work with your jurisdiction through the
Neighborhood Stabilization Program and we are available to assist with your implementation of the
program. If you have not already been contacted by HUD staff or a Technical Assistance provider,
please feel free to take advantage of customized training and capacity building opportunities through
the NSP TA Program. More information can be found on the NSP Resource Exchange at
www.hud.gov /nspta .
Sincerely,
p, d
Mary D. P sley�
Director
Atlanta Office of Community Planning
and Development
Enclosures