Chapter 8: Acquisition/Rehabilitation Rental Application Forms and Instructions
I. Eligibility
A. Eligible Applicants
Eligible applicants are local or regional non-profit 501(c)(3) or 501(c)(4) housing or related service organizations, local units of government, Public Housing Authorities, and state-designated Community Housing Development Organizations.
B. Eligible Activities
NAHTF funds will be available for rental housing for families, elderly, and/or special needs populations. Activities includeacquisition and rehabilitation of existing units. Properties financed or properties that will be financed with Low-Income Housing Tax Credits or USDA 515 funds are not eligible.
C. Eligible Costs
1. Rehabilitation: This includes the alteration, improvement, or modification of an existing structure excluding mobile homes. Rehabilitation may include adding rooms, which are not dwelling units, outside of the existing walls of a structure. Conversion, which is a type of Rehabilitation, is changing the use of an existing structure to one of affordable residential housing. Units cannot be added beyond the building envelope. Conversion of a structure to commercial use is prohibited.
2. Reconstruction: This refers to rebuilding a structure on the same lot where housing is standing at the time of project commitment. NAHP funds may be used to build a new foundation or repair an existing foundation. During reconstruction, the number of rooms per unit may change, but the number of units may not.
3. Relocation Costs: Both permanent and temporary relocation assistance are eligible costs. Staff and overhead costs associated with relocation assistance are also eligible.
4. Project-related Soft Costs: These must be reasonable and necessary and can include: finance-related costs; credit reports; title binders and insurance; surety fees; recordation fees; transaction taxes; legal and accounting fees (including cost certification); appraisals, environmental reviews; builders or developers’ fees; architectural, engineering and related professional services; tenant counseling, provided the recipient of tenant counseling ultimately becomes the tenant or owner of an NAHP unit; project audit costs; affirmative marketing and fair housing services to prospective tenants of an assisted project; and staff costs directly related to projects.
5. Capitalization of Project Reserves: NAHP funds may be used to fund an initial operating deficit reserve.
6. Acquisition: Funds may be used to acquire a vacant building or building not currently being utilized for rental housing and adapt the building to residential multi-family housing. Acquisition of an existing rental, including affordable rental property, is also eligible. The acquisition purchase price must be less than or equal to the value identified in an independent appraisal.
D. Grant Amounts
The maximum grant amount request is $400,000. This amount is to be used as a guideline. Amount of award will be determined on a case-by-case basis with consideration given to the number of applications and scoring and ranking criteria.
II. Application Instructions and Forms
This section contains all forms and exhibits to be submitted so that your application can be scored and ranked effectively. Application narratives should be thorough and concise. The Department reserves the right to verify all information and consult with other agencies on the proposed project.
Generally, there are more applicants requesting funds than there are funds available. Applicants must carefully read and review the (1) 2008 Housing and Community Development Annual Action Plan Housing Priority Section and (2) Application Guidelines Chapters 1, 2, 3 and 8 to develop a competitive application.
A. Verified Thresholds
The Department may contact the applicant for further information on any thresholds. The Department may non-select an application if any or all of the following thresholds cannot be verified.
- Application and corresponding Parts are complete.
- The applicant is eligible.
- Activities are eligible and comply with national objectives and Nebraska Affordable Housing Program priorities.
- Applicant has addressed all compliance problems in the allotted amount of time given by the Department.
- Applicant is current with all reporting requirements (semiannual status report, closeout reports, audit reports, notification of annual audit reports, Target Plans, etc.)
- Applicant has achieved the required percentages, by the application due date, of State CDBG funds drawn down for prior State CDBG. All CDBG awards will be reviewed including those within the housing program except for Economic Development awards.
CDBG 2006 Award Drawn Down 90%
CDBG 2005 & Prior Award Drawn Down 100%
The percentage for funds drawn down shall be figured by NDED based on the final application acceptance date, except for applicants awarded funds after the initial award date in which funds drawn down shall be based on the proportionate number of months that have lapsed since the initial grant award.
7.Preliminary Property Condition Assessment & Design – Please attach a property condition assessment that is less than one year old. Applicants are highly encouraged to work with all project owners to develop the property condition assessment. The assessment should include a Capital Reserves Schedule, immediate and short-term repairs cost estimate, evaluation of the existing buildings, building architectural and structural systems, building mechanical and electrical systems, interior information on dwelling units and any other structures. [Attach Property Condition Assessment] – Attach an architectural design of the units, including schematic floor plans of the various unit sizes. List all applicable local, state and/or national building codes, zoning requirements and covenants, and describe how the project meets them.
8.Project Physical Condition Review - Explain when the physical condition review request was made to the NDED Regional Housing Specialist and the results of the review. Requests must have been made in writing to NDED by February 22, 2008. The NDED Regional Housing Specialists must approve the review and approve the building.
9.Fair Housing – Provide an explanation of the Fair Housing Act and Section 504 accessibility requirements applicable to the project. Explain what Fair Housing Act and Section 504 requirements apply to the project and how they will be met and/or exceeded. Requirements are not limited to project design. NDED may consult other agencies to review the project for compliance with these requirements.
10.Timeline – Your target plan must indicate completion of the project assistance within 24 months.
B. Application Submittal Instructions
In submitting your application, these instructions must be followed:
- Submit original (unbound and 2-hole punched) and 4 complete copies of the application.
- Two-Hole punch the original application in the center top.
- Do not staple.
- Table of Contents must be included.
- All pages must be numbered in sequence at the bottom right-hand corner of the page.
- All Exhibits must be labeled at the bottom right-hand corner of the page.
- All Attachments must be labeled at the bottom right-hand corner of the page.
Below is an outline of what your Rental Project Application should look like.
- Part I General Information (use required form)
- Table of Contents (include page numbers)
- Part II Funding Summary (use required form)
- One Page Project Summary
- Part III Project Budget and Financing
- Part IV Proposed Target Plan (Follow Instructions)
- Part V Project Proposal
- Part VI Award Threshold Requirements (submit required documentation)
- Part VII Project Design and Impact (Follow Instructions)
- Part VIII Required Exhibits (Follow Instructions)
- ATTACHMENTS - Provide additional supplemental documentation identified in the instructions or referred to in Part IV or Part V narrative information. These items may include a Notice of Public Hearing, Public Meeting Notice Proof of Publication, Certificate of Posting, and a summary of citizens’ comments.
For Application Assistance Please Contact Your Regional Housing Specialist.
Region / Housing Specialist / Phone Number / Email AddressNortheast / Cassie Seagren / (402)471-4296 /
Central / Pat Compton / (308)865-6511 /
Western / Kristi McClung / (308)889-3420 /
Southeast / Paula Rhian / (402)471-3760 /
DED USE ONLY
Application Number
08-TFRH-
Date Received
2008 Application for
Nebraska Affordable Housing Program
Acquisition/Rehabilitation Rental Program
Nebraska Department of Economic Development (NDED)
Part I – General Information
Pre-Application Number: 08-______
Type or Print All Information
1. APPLICANT IDENTIFICATION / 2. PERSON PREPARING APPLICATIONApplicant: / Name:
Contact: / Address:
Address: / City/State/Zip:
Telephone #:
City/State/Zip: / Fax #:
Email Address:
Telephone #: / Application Preparer (check one)
Fax #: / Local Staff Out-of-State Consultant
Federal Tax ID #: / In-State Consultant Non-Profit Organization
Email Address: / Economic Development District Other, Specify ______
3. RENTAL REHABILITATION ACTIVITIES(check all that apply) / 4. NAHTF REGION INDICATOR (check all that apply)
Panhandle - Region 1 (Western Investment Zone)
Single Family Units, # of units______/ North Central - Region 2 (Central Investment Zone)
Duplex, # of units______/ Southwest - Region 3 (Western Investment Zone)
Multi-Family Units, # of units______/ South Central - Region 4 (Central Investment Zone)
Northeast - Region 5 (Northeast Investment Zone)
5. TYPE OF APPLICANT / Southeast - Region 6 (Southeast Investment Zone)
Lincoln - Region 8 (Southeast Investment Zone)
Unit of Local Government
Non-Profit 501 (c)(3) / 6. Service Area
Local Housing Authority / Area to be served (city, county, region, etc): ______
Non-Profit 501 (c)(4) / ______
CHDO (State Designated) / Legislative District(s): ______
Other, Specify______/ Congressional District(s):______
7. CERTIFYING OFFICIAL
To the best of my knowledge and belief, all data and information in this application is true and correct, including any commitment of local or other resources. This application has been duly authorized by the governing body of the applicant. This applicant will comply with all Federal and State requirements governing the use of NAHP funds.
______
Signature in ink Typed Name & Title Date
SUBMIT THE ORIGINAL (UNBOUND & TWO HOLE PUNCHED) FOUR COPIES OF THE ENTIRE APPLICATION TO:
Nebraska Department of Economic Development
Division of Community & Rural Development
301 Centennial Mall South – P.O. Box 94666
Lincoln, NE 68509-4666
Part II – Funding Summary (Round amounts to the nearest dollar)
Activity Code / Activity / NAHTF Funds / Other Funds / Total Funds / Source(s) of Other Funds520 / Acquisition
541 / Rehabilitation SF 1-4 Units
561 / Rehabilitation Multi-family
541 / Conversion SF 1-4 Units
561 / Conversion Multi-family
541 / Reconstruction SF 1-4 Units
561 / Reconstruction Multi-family
523 / Relocation
580 / Housing Management*
580a / Paint Testing/Risk Assessment/ Clearance Testing**
581 / Capitalization of Project Reserves
181 / General Administration
1000 / TOTAL COSTS
Note: Table does not calculate totals.
* Housing Management/Project-related Soft Costs recommendedmaximumis 8% of total NAHTF funds.
** Paint Testing, Risk Assessments, and Clearance Testing are limited to $1,000 per unit and are
not subject to the Housing Management Maximums.
General Administration maximum is 6% of total NAHTF funds.
C. Application Instructions
Part I – General Information
Type or print all information except where signatures are required.
Pre-Application Number: Enter the Pre-Application number assigned by the Department.
Box 1: Provide the information requested.
Box 2: Provide the information requested.
Box 3: Check the appropriate box(es) for the type of activity(ies) for which the application is made including proposed activities to be funded with NAHP funds and Other funds. Enter the number of units to be completed by the proposed project.
Box 4: Indicate which NAHTF region your project will be located in. The application activities must be confined to one Investment Zone. For Region and Zoneboundaries, please refer to the map in Chapter 1.
Box 5: Check the appropriate applicant type box under which funds are being requested. If this is a joint application, check the appropriate type of applicant for the lead applicant.
Box 6: Indicate the area in which the program will take place. Enter the appropriate Congressional and Legislative District(s) information.
Box 7: Type the name of title of the Certifying Official and date. The Certifying Official for a local government is the chief elected official. The Certifying Official for a non-profit or public housing authority applicant is the official authorized by the governing body to sign applications for state and federal funding. If the Certifying Official for a non-profit or public housing authority is not the Board President or Board Chair, attach the authorizing documentation of the governing body for the certifying official to sign the application.
Part II – Funding Summary
- Round all dollar amounts to the nearest dollar.
- Enter the dollar amounts into the appropriate boxes in the funding summary table.
- DescribeALL other funds, including funds provided by the homeowner, lenders, builders, etc.
- If you have any questions regarding the Activity Codes direct them to your Regional Housing Specialist.
- Support activities are activities that are only allowed to be funded with NAHP in conjunction with primary activities. Support activities include, but are not limited to, relocation.
- The Part II Funding Summary should correlate with the Part III Project Budget and Financing.
The Department reserves the right to non-select an application at any point during the review process if the applicant does not have the full funding commitment of all other key investors prior to application due date.
One Page Project Summary
Include a one page summary of the proposed project.
Part III – Project Budget and Financing
Provide a detailed budget for the proposed project, including program costs, housing management (project soft costs), and general administration. The budget should include costs for each item and the proposed or likely funding source of each item. All costs listed in Part III must correlate with the Part II funding summary.
Program Costs: List for each activity number the major costs by line item. Program costs are the “hard” costs of acquisition, rehabilitation or construction costs. The total line item costs for each activity must equal the total by activity shown in Part II.
Administration Costs – Housing Management: The project related soft costs, or housing management, budget should include all costs of administrative and support activities for the housing proposal except construction costs and the actual costs of real property acquisition, demolition, clearance, etc. Major line items costs for Housing Management may include, but not limited to, homeowner education; architectural, engineering, and legal fees; appraisal costs, housing inspection fees;application review, and program promotion. Paint testing, risk assessments and clearance testing are project related costs which are subject to the $1,000 NAHP funds per unit maximum but are not included in the recommended Housing Management 8% maximums.
Administration Costs – General Administration: The general administration budget includes those costs that are administrative in nature and are attributable to the receipt of the award. Common line item costs in this activity are environmental review, audits, labor standards enforcement, preparation of required grant progress reports and draws, etc. If many of the general administration duties are performed by local government staff personnel, it is acceptable to use salaries and benefits as line item costs. However, it should be noted what specific duties are to be performed under the salaries and benefits line item.
Capitalization of Project Reserves (activity 581)
Reserves are meant to meet any shortfall in project income during the project affordability period. The reserve can be used only for project operating expenses, scheduled payments to replacement reserves and debt service. Reserves remaining at the end of 18 months may be retained as reserves in the project at the discretion of NDED. If theproposed project development budget includes NAHP-funded reserves, a proposed plan for the disposition of any remaining funds at the end of the 18-month period must be attached to this application.
Proposed Funding Source: All budget items should also indicate the proposed source of funds for that item. The Department understands that the application budget and financing is a proposal only and may vary somewhat during the project implementation. Nonetheless, a budget indicating both sources and uses must be submitted.
Part IV – Proposed Target Plan
Target Plan forms are available at
You must use this form and attach to your application.
1)Enter the Name of the Applicant (grantee), the name of the contact person for the project, and the contact person’s email address.
2)Provide a Baseline Measurement related to the proposed activity (i.e., Has the applicant completed asimilar project in the past? How many units were completed?).
3)List the Target(s) for your project. The target must contain (1) the number of proposed units,(2) the proposed change of condition of the proposed units at project completion, (3) where the targetwill be achieved, and (4) date the target will be fully completed and verifiable.
4)List all workplan items and milestones. Include the person or entity responsible for each of these. Work plan items are the actions that must be taken tocomplete a milestone. Milestones are the result that is measured. Each work plan item listed must describe the actions that will be taken to complete a specific milestone.
5)Dates for the workplan items to be completed cannot be the same date as the milestone that it corresponds with.
6)All workplan items and milestones must be listed in chronological order.
The more details that can be provided about the actual project, the methods used to achieve the project, and information about the persons responsible for project implementation and development will benefit the applicant in the NDED application review process.
Part V – Project Proposal Threshold Requirements
1)Maximum Per Unit Subsidy - Describe how the NAHP assistance requested will not exceed the Maximum per unit NAHP Subsidy. A listing of subsidy limits by county and adjusted for bedroom size can be found at
2)Other NAHTF-assisted units, High NAHTF-assisted units and Low NAHTF-assisted units – All NAHTF-assisted units must be designated as either Other NAHTF-assisted units (not eligible HOME units), High NAHTF-assisted units (same as High HOME units) or Low NAHTF-assisted units (same as Low-HOME units). Other NAHTF-assisted units must be affordable to and limited to households at or below 80% of the area median income, as defined by HUD. High NAHTF-assisted units must be affordable to and limited to households at or below 60% of the area median income, as defined by HUD, for the first tenant and 80% of the area median income, as defined by HUD, for all following tenants. Low NAHTF-assisted units must be affordable to and limited to households at or below 50% of the area median income, as defined by HUD. How many of the units will be Other NAHTF-assisted? High NAHTF-assisted? Low NAHTF-assisted?