Office of the Assistant Secretary for Public and Indian Housing; NOFA for FY 1996 for the Public and Indian Housing Tenant Opportunities Program Technical Assistance

Federal RegisterJul 3, 1996

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SUMMARY: HUD is announcing the availability of $15 million for Fiscal

Year 1996 under the Public and Indian Housing Tenant Opportunities

Program (TOP). HUD reinvented resident management and created the TOP

to expand the range of the resident-managed activities, so that

resident organizations can set priorities based on the needs in their

communities. The program provides assistance to Resident Councils

(RCs), Resident Management Corporations (RMCs) Resident Organizations

(ROs) and National Resident Organizations (NROs), Regional Resident

Organizations (RROs), and Statewide Resident Organizations (SROs), to

fund training and other tenant opportunities, such as the formation of

such entities, identification of the relevant social support needs, and

securing of such support for residents of public and Indian housing.

The NOFA discusses eligibility, funding amounts, selection criteria,

how to apply for funding, and the selection process, and includes an

appendix setting out the Consultant/Trainer Checklist.

DATES: Application kits may be requested beginning July 3, 1996. The

application deadline will be specified in the application kit, and will

be firm as to date and time. Applicants will have at least 30 days from

today's publication of the NOFA to prepare and submit their

applications.

The separate deadline for comments on the information collection

requirements is September 3, 1996.

ADDRESSES: To obtain a copy of the application kit, please write the

Resident Initiatives Clearinghouse, Post Office Box 6424, Rockville, MD

20850, or call the toll free number 1-800-955-2232. Requests for

application kits must include your name, mailing address (including zip

code), telephone number (including area code), and should refer to

document FR-4066. Applicants may access the TOP Application Kit through

HUD's World Wide Web site at http://www.hud.gov/pih. This NOFA cannot

be used as the application.

Comments on the proposed information collection requirements must

refer to the NOFA for FY 1996 for the Public and Indian Housing Tenant

Opportunities Program Technical Assistance (FR-4066), and must be sent

to: Reports Liaison Officer, Office of Community Relations and

Involvement, Department of Housing and Urban Development, 451 7th

Street, SW, Room 4112, Washington, DC 20410-3600.

FOR FURTHER INFORMATION CONTACT: Christine Jenkins or Barbara J.

Armstrong, Office of Community Relations and Involvement, Department of

Housing and Urban Development, 451 Seventh Street, SW., Room 4112,

Washington, D.C. 20410; telephone: (202) 708-3611. All Indian Housing

applicants may contact Tracy Outlaw, Office of Native American

Programs, Department of Housing and Urban Development, 451 Seventh

Street, SW, Room B-133, Washington, D.C. 20410; telephone: (202) 755-

0088. For hearing- and speech-impaired persons, these numbers may be

accessed via TTY (text telephone) by calling the Federal Information

Relay Service at 1-800-877-8339. (Other than the ``800'' TTY number,

telephone numbers are not toll-free.)

SUPPLEMENTARY INFORMATION:

Paperwork Reduction Act Statement

The information collection requirements contained in this notice

have been approved by the Office of Management and Budget (OMB) in

accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-

3520), and have been assigned OMB control number 2577-0087. An agency

may not conduct or sponsor, and a person is not required to respond to,

a collection of information unless the collection displays a valid

control number. Because this OMB control number will be expiring later

this year, the Department is soliciting comments, as required under 5

CFR 1320.8(d), before submitting the information collection

requirements contained in this NOFA to OMB for renewal of the control

number in accordance with 5 CFR 1320.10. Information on the estimated

information collection burden is provided under the heading, Other

Matters, at the end of this notice.

I. Purpose and Description

A. Authority

Section 20, United States Housing Act of 1937 (42 U.S.C. 1437r);

sec. 7(d), Department of Housing and Urban Development Act (42 U.S.C.

3535(d)). The amount of funding provided under this NOFA was

appropriated for the program in the Omnibus Consolidated Rescissions

and Appropriations Act of 1996 (Pub. L. 104-134, 110 Stat. 1321;

approved April 26, 1996).

B. Statutory Background

Section 122 of the Housing and Community Development Act of 1987

(Pub. L. 100-42, approved February 5, 1988) amended the United States

Housing Act of 1937 (1937 Act) by adding a new section 20 (42 U.S.C.

1437r) (section 20). Section 20 states as part of its purpose the

encouragement of ``increased resident management of public housing

projects [and the provision of funding] . . . to promote formation and

development of resident management entities'' (Sec. 20(a)). Under

Section 20(f)(1):

. . . [T]he Secretary shall provide financial assistance to

resident management corporations or resident councils that obtain,

by contract or otherwise, technical assistance for the development

of resident management entities, including the formation of such

entities, the development of the management capability of newly

formed or existing entities, the identification of the social

support needs of residents of public housing projects, and the

securing of such support.

Under Section 20(f)(2), this financial assistance may not exceed

$100,000 with respect to any public housing project. Section 20 is

implemented in 24 CFR part 950, subpart O (for Indian housing), and

part 964 (for public housing). The rules set forth, among other things,

the policies, procedures, and requirements of resident participation

and management of public and Indian housing.

The TOP meets the need in many communities for business

development, education, job training and development, social services,

and opportunities for other self-help initiatives. The program enables

resident entities to establish priorities, based on the efforts in

their public and Indian housing communities, that are aimed at

furthering economic lift and independence. Financial assistance in the

form of technical assistance grants is provided by the Secretary to

resident grantees to prepare for management activities in their housing

development (hereinafter referred to as TOP technical assistance

grants). The TOP technical assistance grants are available for ``the

development of resident management entities, including the formation of

such entities, the development of the management capability of newly

formed or existing entities, the identification of the social support

needs of residents of

[[Page 35023]]

public housing projects and the securing of such support.''

Residents may use TOP technical assistance grants for training

related to any TOP initiative. The results from organizations in

training have been significant and multifaceted. For example, resident-

managed activities have resulted in economic development, resident

self-sufficiency, improved living conditions, and enhanced social

services for residents (i.e., child care and other youth projects). TOP

will provide public and Indian housing residents the opportunity to be

trained and move toward responsible roles in their communities. The

training will aim to enhance the functioning of the resident council as

well as develop skills to engage in resident-managed activities in its

community. The Department strongly encourages resident entities to

develop a partnership with their public housing agency or Indian

housing authority (hereafter jointly referred to as ``HA''). The

Department is committed to building a real partnership among HAs,

residents, and HUD.

In FY 1996, $15 million is available to public and Indian housing

RCs/RMCs/ROs, of which $500,000 is set-aside for NROs/RROs/SROs to

provide technical assistance and training activities under the TOP

program.

Today, approximately 905 resident groups throughout the country are

in training under this program. HUD supports the tenant opportunities

movement, as well as other self-sufficiency and improvement programs

designed to benefit public and Indian housing residents. HUD's Office

of Community Relations and Involvement has the responsibility of

delivering a variety of resident initiative programs, with assistance

from a network of Community Relations and Involvement Specialists

(CRIs) in HUD's field structure. The CRIs are available to provide

direct assistance to residents and resident groups interested in

resident initiatives programs.

C. Termination and Enforcement of Grant Award

All grant awards may be terminated if a recipient materially fails

to comply with the terms and conditions of an award in accordance with

Revised OMB Circular A-110 and 24 CFR part 84 (Secs. 84.60, 84.61, and

84.62).

D. New Features of This NOFA

(1) All applicants are required to submit a TOP Work Plan that

includes TOP-specific training programs/performance standards for

implementing the TOP grant. The purpose of the training programs/

performance standards is to facilitate positive outcomes, products or

deliverables such as jobs, businesses, and services. The applicant must

select and implement the training programs/performance standards of

choice in accordance with the needs of the community. The training

programs/performance standards are not all-inclusive, and grantees may

work with the HUD Field Offices to establish other training programs/

performance standards to meet their needs, provided that the results

would be measurable. (See Section I.Q of this NOFA).

(2) All TOP grantees must adhere to the new travel policy

established by HUD. The policy ensures that all travel funded under TOP

is directed toward the successful completion of the required TOP Work

Plan/Performance Standards and time frames as explained in Section I.Q

of this NOFA. The travel policy sets a maximum amount of $5,000 over

the 3- to 5-year period of the grant. Requests for funds beyond the

limit of $5,000 must be approved by the local HUD Office. All grantees

must attend a HUD-sponsored TOP orientation training prior to expending

TOP funds, with the exception of funds needed to attend the training.

If the grantee's grant agreement is executed and the organization is

properly established in the Line of Credit Control System/Voice

Response System (LOCCS/VRS), the grantee must draw down the total

amount needed to attend the training. If the grantee's grant agreement

is not executed and the organization is not properly established in the

LOCCS/VRS, the grantee may request the HA to advance the organization

the total amount needed to attend the HUD orientation training. The

grantee must reimburse the HA when the organization is properly

established in the LOCCs/VRS.

This travel policy is not applicable to NROs/RROs/SROs. HUD will be

developing a travel policy that establishes guidelines for NROs/RROs/

SROs in the near future.

(3) To ensure the successful implementation of the TOP Work plan

activities, RCs/RMCs/ROs are required to determine the need to contract

for outside consulting/training services, after considering their own

capacity. Each RC/RMC/RO is encouraged to make maximum use of its HA;

nonprofits; or other Federal, State, or local government resources for

technical assistance and training needs. All Basic Grantees may use up

to $15,000 to obtain a consultant/trainer from the TOP database of

registered consultant/trainers for assistance in implementing Tasks 1

through 4 of the TOP Work Plan. (The TOP Work Plan is included in the

TOP Application Kit).

The HA; other nonprofits; and Federal, State, or local government

resources may serve as the consultant/trainer; however, the identified

source that intends to establish a contract with the RC/RMC/RO must

(4) HUD encourages all interested consultants/trainers to register

to participate in the TOP by completing the Consultant/Trainer

Checklist included as an Appendix to this NOFA and mailing it to the

following address: Department of Housing and Urban Development, Office

of Public and Indian Housing, Office of Resident Involvement, 451 7th

Street, SW, Room 4112, Washington, D.C. 20410.

The TOP grantee may select the HA as the consultant/trainer,

however, the HA must register to be included in the TOP database.

Grantees may invite other familiar consultants/trainers to register in

the TOP database.

(5) After completion of Tasks 1 through 4 of the TOP Work Plan, the

RC/RMO/RO may hire a consultant/trainer to assist in the implementation

of Tasks 5 through 7 of the TOP Work Plan. The grantees must follow 24

CFR 84, which implements OMB Circular A-110 and prescribes standards

and policies essential to ensure open and free competition for the

proper execution of procurement transactions when selecting a

consultant/trainer. HUD will make available the source list of

registered consultant/trainers upon request, for use in a competitive

solicitation for consultant services to assist the RC/RMC/RO in

implementing TOP Work Plan Tasks 5 through 7 of the TOP Work Plan. The

amount allowed for hiring an individual consultant for this purpose

shall not exceed 50 percent of the total grant award or $50,000,

whichever is less. HUD Field Offices will monitor this process to

ensure compliance with these requirements.

(6) Applicants shall not solicit any proposals for application

preparation or a training and technical assistance contract prior to

receiving a TOP grant award. This year HUD is eliminating the ``full-

service'' and ``separation of application preparation'' approaches to

be used by grantees for obtaining consultant services. The full-service

approach allowed RCs/RMCs/ROs to solicit competitive proposals for

consultants to assist in the preparation of the application and

included provisions for a training and technical assistance contract

without another competitive process if the RCs/RMCs/ROs were selected

to receive a grant.

[[Page 35024]]

The separation of application preparation from consultant work to be

performed after the award of a grant approach allowed an applicant to

solicit competitive proposals and contract with a Consultant-Trainer/

Housing Management specialist for the development of an application for

technical assistance. If the applicant was selected for funding, the

Consultant/Trainer/Housing Management Specialist had to compete again

through an open and free procurement process for a training and

technical assistance contract.

(7) All NROs/RROs/SROs must be registered as a nonprofit

organization at the time of application submission. NROs/RROs/SROs must

list in the application the name of the RCs/RMCs/ROs that the

organization will train or provide technical assistance and must

provide letters of support from each entity identified in the

application. The NROs/RROs/SROs cannot list RCs/RMC/ROs that have

received a maximum of $100,000.

(8) HUD no longer allows the formation of Partnership Paradigm

Technical Assistance (PPTA) organizations or the Technical Assistance

Organizations (TAOs). Therefore, no PPTA or TAO applications will be

considered for a TOP grant.

(9) HUD has included eligible activities for the elderly or

disabled persons. (See section I.K(5) of this NOFA).

(10) All RCs/RMCs/ROs, city-wide/jurisdiction-wide organizations

and NROs/RROs/SROs previously funded the maximum of $100,000 under the

TOP cannot reapply for funding under this NOFA. This decision was made

in accordance with section 20(f)(2), which states ``the financial

assistance provided under this subsection with respect to any public

housing project may not exceed $100,000.'' This section would also

prohibit an award to NROs/RROs/SROs if the resident organizations being

served have received the maximum amount of $100,000.

E. Other Features of This NOFA

(1) RCs/RMCs/ROs that have duly elected boards may receive up to

$100,000.

(2) All applicants that are selected for funding (including NROs/

RROs/SROs) will access the grant funds through the LOCCS/VRS as

explained in Section I.F, ``Funding,'' of this NOFA.

(3) An application kit is required as the formal submission to

apply for funding. The kit includes information on the preparation of a

TOP Work Plan/Performance Standards and Budget for activities proposed

by the applicant. This process facilitates the expeditious execution of

a TOP Technical Assistance Grant (TOP TAG) for those applicants that

are selected to receive funding (see Section I.H., TOP Technical

Assistance Grant Agreement). The kit also includes narratives,

certifications, and forms.

(4) A specific certification form is included in the application

kit that requires each RC/RMC/RO to certify that it has held a

democratic election. The certification must be signed by an authorized

representative of the local HA and/or an independent third party

monitor. (Not applicable to Indian ROs or NROs/RROs/SROs).

(5) The information listed below is regarding all HOPE I (lead or

joint) applicants:

All applications that are submitted by HOPE I (lead or joint)

grantees will be screened. A cross-check will be made against the HOPE

I Planning grants and HOPE I Implementation grants, to assure

compliance with section 20(f)(4) of the 1937 Act, which states: ``The

Secretary may not provide financial assistance under this subsection to

any resident management corporation or resident council with respect to

which assistance for the development or formation of such entity is

provided under title III.'' HOPE I Planning and Implementation grantees

were required to propose plans to establish a RC, RMC, or cooperative

association where one did not exist for the proposed homeownership

site, including the development or formation of that entity. In

addition, HOPE I Full Planning and Implementation grant applicants were

expected to include in their applications all eligible activities

necessary to make their proposed homeownership program feasible (even

if some of the proposed activities were to be carried out with non-HOPE

I funds, such as resident management funds). Consequently, in reviewing

TOP grant applications, for all applicants who are HOPE I (lead or

joint) grantees the following rules apply:

Rule 1. An applicant for TOP funds that has received a HOPE I Full

Planning or Implementation grant (as a lead or joint applicant) may not

also receive a TOP grant, unless the applicant proposed in its HOPE I

application to use TOP funding to carry out those activities.

Rule 2. An applicant for TOP funds that has received a HOPE I Mini

Planning grant (as a lead or joint applicant) may not receive a TOP

grant for any activity proposed for funding in the HOPE I grant. Mini

Planning grant applicants may apply for a TOP grant if the activities

proposed in the TOP application are not duplicative.

(6) All applicants will have an opportunity to correct technical

deficiencies that are curable in this application submission as

provided for in this NOFA.

F. Funding

As noted, $15 million was appropriated in FY 1996 for the TOP. Of

this amount, $25,000 has been allocated to one RC not funded in the FY

1995 funding cycle because of a HUD technical error. The remainder of

the funds is being made available on a competitive basis under this

NOFA to applicants that submit timely applications and are selected for

funding. Under section 20(f)(2), this financial assistance may not

exceed $100,000 with respect to any public housing project.

Of the remaining $14,975,000 in funds, $500,000 will be awarded to

NROs, RROs, and SROs. The purpose of these grants is to provide

technical assistance to public and Indian housing residents desiring

either to establish a RC/RMC/RO where one does not exist or to organize

an inactive RC/RMC/RO.

With the remaining $14,475,000, the Department will provide two

types of grants to RCs/RMCs/ROs: (1) Basic Grants; and (2) Additional

Grants.

Basic Grants

All RCs/RMCs/ROs that have been in existence for several years, and

new emerging groups that meet eligibility requirements (see

Definitions, Section I.I of the NOFA), may apply for a Basic Grant for

up to $100,000. All grantees will access the TOP grant funds through

the LOCCS/VRS.

To ensure the progress of the grantees, each grantee will be

allowed to draw down through LOCCS/VRS only the specific amount of

funding needed to complete the tasks and subtasks specified in the TOP

Work Plan. The grantee must complete all activities under Tasks 1

through 4 in the TOP Work Plan prior to advancing to TOP Work Plan

Tasks 5 through 7 and receiving additional funds.

The local HUD Field Office or Area Office of Native American

Programs (ONAP) will be responsible for approving the TOP Work Plan and

permitting grantees access to the LOCCS/VRS.

Additional Grants

Any RC/RMC/RO selected for a Resident Management(RM)/TOP grant in

FYs 1988-1995 (including a mini grant for start-up activities) that

received less than a total of $100,000

[[Page 35025]]

may apply for an Additional Grant not to exceed (including previous

grants) the total statutory maximum of $100,000.

To ensure the progress of the grantees, each grantee will be

allowed to draw down from LOCCS/VRS only the specific amount of funding

needed to complete the tasks and subtasks specified in the TOP Work

Plan. Each Additional Grant grantee must provide a progress report that

will indicate accomplishments and the remaining tasks to be completed.

The local HUD Field Office or Area ONAP will be responsible for

approving the TOP Work Plan and permitting grantees access to the

LOCCS/VRS.

Each Additional Grant applicant must demonstrate the need for

additional funding by submitting evidence of completing specific

activities. An Additional Grant applicant may receive a higher score if

most of the activities listed in Section I.O(1) of this NOFA are

completed and documentation is included as evidence.

NROs/SROs/RROs Grants

The purpose of this grant is to provide technical assistance to

public and Indian housing residents desiring either to establish a RC/

RMC/RO where one does not exist or to organize an inactive RC/RMC/RO.

The awards will be competitive, using the Rating Factors in Section I.P

of this NOFA, and applicants must meet eligibility requirements. The

local HUD Field Office or Area ONAP will be responsible for approving

the TOP Work Plan and determining the ability of the grantee to access

the LOCCS/VRS.

Each NRO/RRO/SRO must be registered as a nonprofit organization at

the time of application submission. NROs/RROs/SROs must list in the

application the name of the RCs/RMCs/ROs that the organization will

train or provide technical assistance, and provide letters of support

from each entity identified in the application. The NROs/RROs/SROs

cannot list RCs/RMC/ROs that have already received the maximum of

$100,000.

G. Fair Housing Act Requirement

No grantee may discriminate based on race, national origin,

religion, color, familial status, disability, or sex in the provision

of any benefits or services.

H. TOP Technical Assistance Grant Agreement

Grant awards will be made through a TOP Technical Assistance Grant

Agreement which defines the legal framework for the relationship

between HUD and a resident grantee for the proposed activities approved

for funding. The grant agreement will contain all administrative

documents and forms needed to execute the grant. No funds can be drawn

down by a grantee until the grant agreement is executed by the local

HUD Field Office or Area ONAP.

I. Definitions

The following definitions apply to public housing, as provided in

24 CFR 964.115 and 964.120:

Resident Council (RC). An incorporated or unincorporated nonprofit

organization or association that shall consist of persons residing in

public housing and must meet each of the following requirements in

order to receive official recognition from the HA/HUD, and be eligible

to receive funds for resident council activities, and stipends for

officers for their related costs for volunteer work in public housing:

(1) It may represent residents residing in scattered site

buildings, in areas of contiguous row houses; or in one or more

contiguous buildings; in a development; or in a combination of these

buildings or developments.

(2) It must adopt written procedures such as by-laws, or a

constitution which provides for the election of residents to the

governing board by the voting membership of the residents residing in

public housing on a regular basis but at least once every 3 years. The

written procedures must provide for the recall of the resident board by

the voting membership. These provisions shall allow for a petition or

other expression of the voting membership's desire for a recall

election, and set the number of percentage of voting membership

(``threshold'') who must be in agreement in order to hold a recall

election. This threshold shall not be less than 10 percent of the

voting membership.

(3) It must have a democratically elected governing board that is

elected by the voting membership. At a minimum, the governing board

should consist of five elected board members. The voting membership

must consist of heads of households (any age) and other residents at

least 18 years of age or older and whose name appears on a lease for

the unit in the public housing that the resident council represents.

Resident Management Corporation (RMC). An entity that consists of

residents residing in public housing must have each of the following

characteristics in order to receive official recognition by the HA and

HUD:

(1) It shall be a nonprofit organization that is validly

incorporated under the laws of the State in which it is located;

(2) It may be established by more than one resident council, so

long as each such council:

(a) Approves the establishment of the corporation; and

(b) Has representation on the Board of Directors of the

corporation.

(3) It shall have an elected Board of Directors, and elections must

be held at least once every 3 years;

(4) Its by-laws shall require the Board of Directors to include

resident representatives of each resident council involved in

establishing the corporation; include qualifications to run for office,

frequency of elections, procedures for recall, and term limits if

desired;

(5) Its voting members shall be heads of households (any age) and

other residents at least 18 years of age and whose name appears on the

lease of a unit in public housing represented by the resident

management corporation;

(6) Where a resident council already exists for the development, or

a portion of the development, the resident management corporation shall

be approved by the resident council board and a majority of the

residents. If there is no resident council, a majority of the residents

of the public housing development it will represent must approve the

establishment of such a corporation for the purposes of managing the

project; and

(7) It may serve as both the resident management corporation and

the resident council, so long as the corporation meets the requirements

of this part for a resident council.

The following definitions apply to Indian Housing, as defined in 24

CFR part 950:

Resident Management Corporation (RMC). An entity that proposes to

enter into, or enters into, a contract to manage IHA property. The

corporation shall have each of the following characteristics:

(1) It shall be a nonprofit organization that is incorporated under

the laws of the State or Indian tribe in which it is located;

(2) It may be established by more than one resident organization,

so long as each such organization both approves the establishment of

the corporation and has representation on the Board of Directors of the

corporation;

(3) It shall have an elected Board of Directors;

(4) Its by-laws shall require the Board of Directors to include

representatives of each resident organization involved in establishing

the corporation;

(5) Its voting members are required to be residents of the project

or projects it manages; and

[[Page 35026]]

(6) It shall be approved by the resident organization. If there is

no organization, a majority of the households of the project or

projects shall approve the establishment of such an organization.

Resident Organization (RO). A Resident Organization (or ``Resident

Council'' as defined in Section 20 of the Act) is an incorporated or

unincorporated nonprofit organization or association that meets each of

the following criteria:

(1) It shall consist of residents only, and only residents may

vote;

(2) If it represents residents in more than one development or in

all of the developments of an IHA, it shall fairly represent residents

from each development that it represents;

(3) It shall adopt written procedures providing for the election of

specific officers on a regular basis; and

(4) It shall have a democratically elected governing board. The

voting membership of the board shall consist solely of the residents of

the development or developments that the RO represents.

The following definitions apply to NROs/RROs/SROs applicants:

(Note: A NRO/RRO/SRO must be incorporated as a nonprofit

organization at the time of application submission to be eligible

for funding under this NOFA.)

National Resident Organization (NRO). An incorporated nonprofit

organization or association for public and Indian housing that meets

each of the following requirements:

(1) It is national (i.e., conducts activities or provides services

in at least two HUD Areas or two States);

(2) It has experience in providing start-up and capacity-building

training to residents and resident organizations; and

(3) Public or Indian housing residents representing different

geographical locations in the country must comprise the majority of the

board of directors.

Regional Resident Organization (RRO). An incorporated nonprofit

organization or association for public or Indian housing that meets

each of the following requirements:

(1) It is regional (i.e., not limited by HUD Areas, including

Tribal Areas); and

(2) It has experience in providing start-up and capacity-building

training to residents and resident organizations; and

(3) Public or Indian housing residents representing different

geographical locations in the region must comprise the majority of the

board of directors.

Statewide Resident Organization (SRO). An incorporated nonprofit

organization or association for public or Indian housing that meets the

following requirements:

(1) It is Statewide;

(2) It has experience in providing start-up and capacity-building

training to residents and resident organizations; and

(3) Public or Indian housing residents representing different

geographical locations in the State must comprise the majority of the

board of directors.

J. Eligibility

Only organizations that meet the definition of a RC/RMC/RO or a

NRO/RRO/SRO, as set forth under the Section I.I, ``Definitions,'' of

this NOFA will be eligible for funding under this NOFA. The local HUD

Field Office or Area ONAP will screen applications to determine

compliance with the following:

(1) Only public and Indian housing RCs/RMCs/ROs and NROs/SROs/RROs

are eligible to apply for this grant. The local HAs, Section 8

developments, or other federally subsidized housing communities are not

eligible to apply.

(2) An RC/RMC/RO must have a democratically elected governing board

to be eligible for funding. The applicant will be required to complete

a certification of resident council board election, which must be

notarized and signed by the local HA or an independent third-party

monitor. (Not applicable to Indian ROs and NROs/RROs/SROs.)

(3) A RC/RMC/RO will receive consideration for a Basic Grant based

on the rating factors contained in Section I.N of this NOFA.

(4) A RC/RMC/RO selected for funding in FYs 1988-1995 that received

less than the statutory maximum of $100,000 may apply for an Additional

Grant not to exceed (including previous grants) the total statutory

maximum of $100,000. Grantees that were awarded the maximum total

amount of $100,000 in FYs 1988-1995 are not eligible to apply.

(5) A RC/RMC/RO will receive consideration for an Additional Grant

based on the rating factors contained in Section I.O of this NOFA.

(6) Only one application will be considered for funding from an

individual development. If more than one application is received from a

development, only the application from the duly elected RC/RMC/RO will

be considered. All other applications will be rejected.

(7) A city-wide organization (consisting of members from RCs/RMCs/

ROs who reside in housing developments that are owned and operated by

the same HA within the city) may represent more than one RC/RMC/RO

within an HA and apply jointly for a TOP grant. However, the city-wide

organization cannot represent any RC/RMC/RO that has received Resident

Management (RM)/TOP technical assistance funding totalling $100,000 in

previous years. The individual developments under the umbrella of the

city-wide organization may apply for a separate grant only if the

activities that are included in the individual development's

application are not the same activities that are included in the city-

wide organization's application, and as long as no public housing

development receives more than $100,000. All applications will be

screened for duplicative activities.

(8) A jurisdiction-wide organization (consisting of members from

RCs/RMCs/ROs who reside in housing developments that are owned and

operated by the same HA within that HA's jurisdiction, other than a

city-wide organization making an application in accordance with

paragraph (7) in this Section I.I) may be formed for the purpose of

advising the HA Board of Commissioners or Executive Directors in all

areas of HA operations. In that case, the jurisdiction-wide

organization may apply for a grant to carry out jurisdiction-wide

programs. Jurisdiction-wide organization applicants may receive up to

the maximum total of $100,000, provided no public housing development

included in its application receives more than a total of $100,000 of

TOP funding.

(9) An NRO/SRO/RRO that is organized to provide technical

assistance to RCs/RMCs/ROs may receive grants up to the maximum total

of $100,000, provided no public housing development included in its

application receives more than a total of $100,000 of TOP funding. An

NRO/SRO/RRO previously funded for $100,000 cannot reapply for funding

under this NOFA, because of the statutory limitation of $100,000.

K. Eligible Activities

Activities for which funding under this NOFA may be provided to an

eligible RC/RMC/RO or NRO/RRO/SRO include any combination of, but are

not limited to, the following:

(1) Resident Capacity Building:

Training board members in community organizing, board

development, and leadership training; and

Determining the feasibility of the TOP initiatives for a

specific development.

[[Page 35027]]

(2) Resident Management:

Building and strengthening its capacity as an organization

(e.g., establishing operating/planning committees and block/building

captains to carry out specific organizational tasks, developing by-

laws, etc.); developing a cohesive relationship between the residents

and the local community; and building a partnership with the HA;

Training residents, as potential employees of an RMC, in

skills directly related to the operation, management, maintenance and

financial systems of a project;

Training of residents with respect to fair housing and

equal opportunity requirements, including the residents' rights under

the housing program, procedures for reporting violations, all civil

rights-related program requirements, requirements for reasonable

accommodation, and alleviating architectural barriers.

Gaining assistance in negotiating management contracts and

in related contract monitoring and management procedures, and designing

a long-range planning system related to contracts; and

Assisting in the actual creation of a RC/RMC/RO, such as

consulting and acquiring legal assistance to incorporate, prepare by-

laws, draft a corporate charter, and apply for nonprofit status.

(3) Resident Management Business Development:

Economic development training related to resident

management and technical assistance for job training and placement in

RC/RMC/RO developments;

Technical assistance and training in business development

related to resident management, through feasibility and market studies;

development of business plans; affirmative outreach activities; and

innovative financing methods, including revolving loan funds; and

Legal advice in establishing resident management-required

business entities.

(4) Partnerships:

Training that is required to establish a partnership

between the HA and the residents. RCs/RMCs/ROs under the same HA's

jurisdiction may wish to come together jointly, pool grant funds, and

hire a consultant who will provide technical assistance and training

related to building a partnership with the HA and assist in

implementing activities in the TOP program.

Other partnerships developed by the local residents/HA in

the community.

(5) Social Support Services (such as self-sufficiency; youth

initiatives; and elderly/handicapped activities):

Conducting feasibility studies to determine training and

social services needs;

Coordinating support services;

Training for programs such as child care, early childhood

development, parent involvement, volunteer services, parenting skills,

and before- and after-school programs;

Training programs on health, nutrition, and safety;

Conducting workshops for youth services, child abuse and

neglect prevention, and tutorial services, in partnership with

community-based organizations, such as local Boys and Girls Clubs,

YMCA/YWCA, Boys/Girls Scouts, Campfire, Big Brothers/Big Sisters, 4-H

Clubs, etc.; and

Training in the development of strategies to implement

youth programs successfully. For example, assessing the needs and

problems of the youth; improving youth initiatives that are currently

active; and training youth, housing authority staff, and RCs/RMCs/ROs

on youth initiatives and program activities.

Developing a plan to establish a congregate meal program

for seniors, including seniors living in a family project;

Developing a plan to establish a transportation system

that would provide transportation of residents to senior and youth

activities and activities for persons with disabilities; and

Training programs in developing a resident newspaper that

would be written by and for residents.

(6) General:

Training required on HUD regulations and policies

governing the operation of low-income public and Indian housing,

financial management, capacity building to develop the necessary skills

to assume management responsibilities at the project, and property

management;

Training in accessing other funding sources;

Developing training programs/performance standards and

assessment procedures to measure the success of the RC/RMC/RO;

Gaining assistance in acquiring fidelity bonding and

insurance, but not the cost of the bonding and insurance;

Assessing potential management functions or tasks that the

RC/RMC/RO might undertake;

Training in resident management-related skills, such as

computer and clerical (payroll clerk/records management) skills;

Resident management-related employment training and

counseling;

Hiring trainers or other experts. By law, resident

grantees must ensure that all training is provided by a qualified

public housing management specialist (Consultant/Trainer) or the local

HA. To ensure the successful implementation of the TOP Work Plan

activities, the RCs/RMCs/ROs are required to determine the need to

contract for outside consulting/training services, after considering

their own capacity. The RCs/RMCs/ROs are encouraged to make maximum use

of their HA, nonprofits, or other Federal, State, or local government

resources for technical assistance and training needs. All Basic

Grantees may use up to $15,000 to obtain a consultant/trainer from the

TOP database of registered consultant/trainers for assistance in

implementing Tasks 1 through 4 of the TOP Work Plan. (The TOP Work Plan

is included in the TOP Application Kit.)

The HA, other nonprofits, Federal, State or local government

resources may serve as the consultant/trainer; however, the identified

source that intends to establish a contract with the RC/RMC/RO must

After completion of Tasks 1 through 4 of the TOP Work Plan, the RC/

RMO/RO may hire a consultant/trainer to assist in the implementation of

Tasks 5 through 7 of the TOP Work Plan. The grantees must follow 24 CFR

84, which implements OMB Circular A-110 and prescribes standards and

policies essential to ensure open and free competition for the proper

execution of procurement transactions when selecting a consultant/

trainer. HUD will make available the source list of registered

consultant/trainers upon request, for use in a competitive solicitation

for consultant services to assist the RC/RMC/RO in implementing TOP

Work Plan Tasks 5 through 7 of the TOP Work Plan. The amount allowed

for hiring an individual consultant for this purpose shall not exceed

50 percent of the total grant award or $50,000, whichever is less. HUD

Field Offices will monitor this process to ensure compliance with these

requirements.

Rental or lease of a car, van, or bus by resident grantees

to attend training related to the TOP initiatives; and

Stipends, as provided in this paragraph. Officers and

members of a RC/RMC/RO will only receive stipends for participating in

or receiving training under the TOP, subject to the availability of

funds, if the following applies:

(i) The RCs/RMCs/ROs have completed at least two training programs/

performance standards, one of which must be the training program/

performance standard listed as number

[[Page 35028]]

one in the Work Plan/Training Programs/Performance Standards section

(see Work Plan/Training Programs/Performance Standards, Section I.Q of

this NOFA). The stipends should be used for additional costs incurred

during the training programs, such as childcare and transportation

costs; or

(ii) RCs/RMCs/ROs are being trained to implement resident

management activities only, and the officers and members of the

resident entity are within 3 to 6 months of establishing a dual/full

management contract with the PHA/IHA. Generally, no more than 10

percent of the grant funds should be used for this purpose.

(7) Capacity building and training to facilitate resident

participation in the Comprehensive Grant Program.

(8) Implementation of activities by a RC/RMC/RO associated with the

operation and maintenance of the public and Indian housing project.

Examples of eligible activities in this category that have not been

mentioned previously are:

Designing and implementing financial management systems

that include provisions for budgeting, accounting, and auditing;

Designing and implementing the TOP travel policy and

personnel policies; performance standards for measuring staff

productivity; policies and procedures covering organizational

structure, such as recordkeeping, maintenance, insurance, occupancy,

and management information systems; any other recognized functional

responsibilities relating to property management, in general, and

public and Indian housing management, in particular; and

responsibilities relating to any TOP initiative;

Identifying the social support needs of residents, and the

securing of that support by hiring a services coordinator. The services

coordinator should identify a plan to provide short-term technical

assistance, assess, coordinate, and assist in implementing the services

needed by the residents, such as health clinics, day care, and

security; and

Assessing potential homeownership opportunities for

residents within public and Indian housing or anywhere in the

community.

(9) Administrative costs necessary for the implementation of

activities outlined in paragraphs (1) through (8) of this Section I.K,

``Eligible Activities,'' of the NOFA. Appropriate administrative costs

include, but are not limited to, the following items or activities:

Telephone, telegraph, printing, and sundry nondwelling

equipment (such as office supplies, computer software, and furniture).

In addition, a reasonable portion of funds may be applied to the

acquisition of equipment, such as computer hardware and copying

machines. A grantee must justify the need for this equipment in

relationship to implementing the TOP initiatives.

Travel directly related to the successful completion of

the required TOP Work Plan. All grantees must adhere to the travel

policy established by HUD and must have received TOP orientation

training prior to spending any TOP funds, with the exception of funds

needed to attend a HUD-sponsored TOP orientation training. The policy

sets travel costs at a maximum amount of $5,000 per RC/RMC/RO (not

applicable to NROs/RROs/SROs).

Child care expenses for individual staff and board

members, in cases where staff or board members who need child care are

involved in training-related activities associated with the development

of resident management entities. Not more than 2 percent of the total

grant amount (0.02 times the grant award amount) may be used for

expenses to support child care needs.

(10) For NROs/RROs/SROs only: Organizing and establishing

democratically elected and effective RCs/RMCs/ROs:

Identify inactive RCs/RMCs/ROs that have RM/TOP grants and

provide local training and technical assistance to enable the

organizations to implement the RM/TOP Work Plan;

Assist residents in organizing a RC/RMC/RO and provide

appropriate training and technical assistance (i.e., incorporation,

nonprofit status, by-laws, elections; buildings, floor, and block

captains; leadership training; form a partnership with the HA; develop

and implement a needs assessment survey). This list is not inclusive.

Provide training and technical assistance to the resident

organizations in accomplishing any of the eligible activities related

to the TOP initiatives.

Provision of training must be performed within the

jurisdiction of the resident organization. This will require the

trainer to be a local person or entity.

All NROs/RROs/SROs must be knowledgeable and adhere to all policies

that relate to the RC/RMC/RO.

L. Ineligible Activities

Ineligible items or activities include, but are not limited to, the

following:

(1) Entertainment, including associated costs such as food and

beverages, except normal per diem for meals related to travel performed

in connection with implementing the TOP Work Plan. (See TOP Travel

Notice for more specific guidance.)

(2) Purchase or rental of land or buildings or any improvements to

land or buildings;

(3) Activities not directly related to the TOP initiatives, e.g.,

lead-based paint testing and abatement and operating capital for

economic development activities;

(4) Purchase of any vehicle (car, van, bus, etc.) or any other

property, other than as described under paragraph (9) of Section I.K,

``Eligible Activities,'' of this NOFA, unless approved by HUD

Headquarters or the local HUD Field Office;

(5) Architectural and engineering fees;

(6) Payment of salaries for routine project operations, such as

security and maintenance, or for RC/RMC/RO staff, except that a

reasonable amount of grant funds may be used to hire a person to

coordinate the TOP grant activities or coordinate on-site social

services;

(7) Payment of fees for lobbying services;

(8) Any fraudulent or wasteful expenditures or expenditures

otherwise incurred contrary to HUD program regulations or directives

will be considered ineligible expenditures, upon appropriate

determination by an audit by HUD Field Office staff, and HUD will

reduce the grantee's grant for the amount expended; and

(9) Any activity otherwise eligible under this NOFA for which funds

are being provided from any other source.

M. Selection Process

Each application for a grant award that is submitted in a timely

manner, as specified in the application kit, to the appropriate local

HUD field office or Area Office of Native American Programs (ONAP) (see

Appendix to this NOFA) and that otherwise meets the requirements of

this NOFA, will be evaluated. An application for either a Basic Grant

or an Additional Grant must receive a minimum score of 50 points (out

of the maximum of 110 points) to be eligible for funding. NROs/RROs/

SROs must receive a minimum score of 50 points (out of a maximum of

110) to be considered for funding. The local Field Office or Area ONAP

will transfer all RC/RMC/RO applications to a grant review site for

processing by a Grants Management Team. Upon completion of the review,

all applications will be placed in an overall nationwide ranking order

and funded until all funds are exhausted.

N. Rating Factors--Basic Grants

An application for funding for a Basic Grant will be reviewed based

on the following Rating Factors (maximum of 110 points, including 10

bonus points).

[[Page 35029]]

(1) DESCRIBE THE ACTIVITIES AND GOALS OF THE RC/RMC/RO AND THE

COMMUNITY (Maximum Points: 25):

A high score (Maximum Points: 25) is received where the

RC/RMC/RO identifies activities and describes the goals of the

community. The applicant includes a detailed and structured plan for

addressing the needs and accomplishing the overall goals of the RC/RMC/

RO.

A medium score (Maximum Points: 12) is received where the

RC/RMC/RO identifies activities and describes the goals of the

community, but the plan to address the needs and accomplish the goals

is general.

A low score (Maximum Points: 5) is received where the RC/

RMC/RO does not identify any activities and the plan to address the

needs and accomplish the goals of the community is unclear.

A score of zero (0 points) will be given if the applicant

fails to respond to this factor.

(2) EVIDENCE OF SUPPORT BY DEVELOPMENT'S RESIDENTS AND RESIDENT

INVOLVEMENT IN THE RC's/RMC's/RO's ACTIVITIES (Maximum Points: 25):

A high score (Maximum Points: 25) is received where the

RC/RMC/RO describes support by the residents and provides documentation

that shows support and the involvement of the residents in the RC's/

RMC's/RO's activities. An applicant must submit a copy of a petition or

other documentation (e.g., membership list) showing 75-100 percent of

support and involvement of the residents, minutes of the RC's/RMC's/

RO's recent monthly meeting, and the attendance log.

A medium score (Maximum Points: 12) is received where the

RC/RMC/RO describes support by the residents and the documentation of

support includes a petition or other documentation (e.g., membership

list) showing 50 percent of support and involvement of the residents.

A low score (5 points) is received where the RC/RMC/RO

describes support by the residents and the documentation of support

includes documentation (e.g., petition, membership list) showing less

than 50 percent of support and involvement of the residents.

A score of zero (0 points) is received where the RC/RMC/RO

fails to provide documentation of support by the development's

residents and support is not mentioned in the narrative.

(3) EVIDENCE THAT THE RC/RMC/RO HAS A PARTNERSHIP WITH THE HA:

(Maximum Points: 25 + 10 bonus points). Under this factor, 10 Bonus

Points will be given if the applicant can provide a narrative

describing any additional partnerships the RC/RMC/RO has developed with

the housing authority in order to implement other programs or

initiatives such as Section 3 initiatives, HUD's Drug Elimination

Program, Youth Sports Program, Comprehensive Grant (CGP), or other

related initiatives. The narrative describing the additional

partnerships must be signed by both the HA's Executive Director and a

member of the RC's/RMC's/RO's Board. The narrative cannot include

activities that are listed in the letter of support provided by the

local HA.

A high score (Maximum Points: 25) is received where the

RC/RMC/RO provides a letter of support from the local HA that shows

evidence that the HA and RC/RMC/RO have been working in partnership for

at least 2 years, and the HA has provided opportunities and services

such as training, contracts for services, transportation, and other in-

kind services. (The letter must be signed by the local HA Executive

Director.) There must be evidence that the HA has committed to support

the RC/RMC/RO activities under the TOP program and has assisted in the

preparation of the RC/RMC/RO's application for funding. The partnership

must also be evidenced by submitting a copy of an executed Memorandum

of Understanding (MOU).

A medium score (Maximum Points: 12) is received where

either: (i) The RC/RMC/RO provides a letter of support from the HA that

states its support of the RC's/RMC's/RO's activities, but there is no

evidence of a commitment to assist the RC/RMC/RO in implementing the

TOP Work Plan or of a partnership established between the HA and the

residents; or (ii) the RC/RMC/RO provides detailed documents (e.g.,

copies of correspondence exchanged with the HA, summaries of meetings

held with the HA, and summaries of efforts made to establish a

partnership with the HA) indicating that the residents have made a

substantial effort to establish a partnership with the HA, but the HA

will not support the RC's/RMC's/RO's activities.

A low score (Maximum Points: 5) is received if the

applicant mentions HA support or obstacles encountered in attempting to

build a partnership with the HA.

A score of zero (0 points) is received where the RC/RMC/RO

fails to submit a letter of support or documentation of its efforts to

obtain HA support.

(4) EVIDENCE THAT THE RC/RMC/RO HAS SUPPORT OF STATE/TRIBAL/LOCAL

GOVERNMENT, COMMUNITY ORGANIZATIONS, OR OTHER PUBLIC/PRIVATE SECTOR

GROUPS (Maximum Points: 15)

A high score (Maximum Points: 15) is received where the

RC/RMC/RO provides copies of letters of support discussing specific

assistance from three or more entities (e.g., State/Tribal/local

government, community organizations, or other public/private sector

groups).

A medium score (Maximum Points: 7) is received where the

RC/RMC/RO provides letters of support from two entities.

A low score (Maximum Points: 3) is received where the RC/

RMC/RO fails to provide any letters of support, but support of the

State/Tribal/local government, community organizations, or other

public/private sector groups is mentioned in the narrative.

A score of zero (0 points) is received where the RC/RMC/RO

fails to submit a letter of support or documentation of its efforts to

obtain support from the State/Tribal/local government, community

organizations, or other public/private sector groups.

(5) CAPABILITY OF RC/RMC/RO IN HANDLING FINANCIAL RESOURCES

(Maximum Points: 10). This factor can be demonstrated by including

previous experience of the RC/RMC/RO or by providing an explanation of

how the financial resources will be obtained:

A high score (Maximum Points: 10) is received where the

RC/RMC/RO provides evidence of having 2 or more years of experience in

handling financial resources and has adequate accounting procedures in

place or lacks experience but has provided an acceptable plan (i.e.,

hiring the HA or other private organizations) to develop the financial

controls.

A medium score (Maximum Points: 5) is received where the

RC/RMC/RO provides evidence of having 1 year of experience in handling

financial resources, but no accounting procedures are established and

no acceptable plan has been provided to hire the HA or other private

organizations to develop the financial controls.

A low score (Maximum Points: 2) is received where the RC/

RMC/RO provides evidence of having less than 1 year of experience in

handling financial resources.

A score of zero (0 points) is received where the RC/RMC/RO

has no experience in handling financial resources and there is clearly

no accounting system or procedures established.

O. Rating Factors--Additional Grants

An application for funding for an Additional Grant will be reviewed

based

[[Page 35030]]

on the following Rating Factors (maximum 110 points, including 10 bonus

points).

(1) EVIDENCE OF ACCOMPLISHMENTS AND NEED FOR ADDITIONAL FUNDING

(Maximum Points: 30):

A high score (Maximum Points: 30) is received where the

RC/RMC/RO provides a summary that includes accomplishments and a

description of need for additional funding. Applicant must also provide

evidence that shows the completion of all of the activities listed

below, therefore demonstrating progress and a need for additional

funding:

(a) Developed an active community organization that includes

democratically elected officers (example: election certification signed

by the local HA and/or an independent third-party organization and

minutes of meetings);

(b) Developed by-laws pursuant to 24 CFR part 950, subpart O, or 24

CFR part 964, whichever is applicable, that govern the operation of the

organization (example: a copy of the RC's/RMC's/RO's by-laws);

and program committees that are in training or had training to carry

out specific tasks (example: a copy of a list that includes the floor/

block captains or residential community groups and program committees,

and training plan or certificate of completion of training);

(d) Developed a basic financial management and accounting system

that will provide effective control over and accountability for all

grant funds; (example: a certification that the accounting system is

developed);

(e) Developed a Memorandum of Understanding (MOU) between the RC/

RMC/RO and HA that states the elements of their relationship and

delineates what support the HA will provide to the resident

organization (e.g., on-the-job training, technical assistance,

equipment, space, transportation, etc.) and the activities to be

conducted by the RC/RMC/RO (example: a copy of an executed MOU between

the RC/RMC/RO and HA); and

(f) Evidence of completing a course of TOP-related training

(example: a copy of the certificate or letter from the consultant/

trainer that indicates the successful completion of training by the RC/

RMC/RO).

A medium score (Maximum Points: 20) is received where the

RC/RMC/RO provides a summary that includes accomplishments and a

description of need for additional funding and submits evidence of

completing four of the activities listed under ``high score'' of this

factor.

A low score (Maximum Points: 10) is received where the RC/

RMC/RO submits evidence of completing two of the activities listed

under ``high score'' of this factor, but does not submit a summary that

includes accomplishments and a description of need for additional

funding.

A score of zero (0 points) is given if the applicant does

not submit a summary that includes accomplishments and a description of

need for additional funding or evidence of accomplishing any of the

activities listed under ``high score'' of this factor.

(2) EVIDENCE OF SUPPORT BY DEVELOPMENT'S RESIDENTS AND RESIDENT

INVOLVEMENT IN THE RC's/RMC's/RO's ACTIVITIES (Maximum Points: 25):

A high score (Maximum Points: 25) is received where the

RC/RMC/RO describes support by the residents and provides documentation

that shows support and the involvement of the residents in the RC's/

RMC's/RO's activities. An applicant must submit a copy of a petition or

other documentation (e.g., membership list) showing 75-100 percent of

support and involvement of the residents, minutes of the RC's/RMC's/

RO's recent monthly meeting, and the attendance log.

A medium score (Maximum Points: 12) is received where the

RC/RMC/RO describes support by the residents and the documentation of

support includes a petition or other documentation (e.g., membership

list) showing 50 percent of support and involvement of the residents.

A low score (5 points) is received where the RC/RMC/RO

describes support by the residents and the documentation of support

includes documentation (e.g., petition, membership list) showing less

than 50 percent of support and involvement of the residents.

A score of zero (0 points) is received where the RC/RMC/RO

fails to provide documentation of support by the development's

residents and support is not mentioned in the narrative.

(3) EVIDENCE THAT THE RC/RMC/RO HAS A PARTNERSHIP WITH THE HA:

(Maximum Points: 25 + 10 bonus points). Under this factor, 10 Bonus

Points will be given if the applicant can provide a narrative

describing any additional partnerships the RC/RMC/RO has developed with

the housing authority in order to implement other programs or

initiatives such as Section 3 initiatives, HUD's Drug Elimination

Program, Youth Sports Program, CGP, or other related initiatives. The

narrative describing the additional partnerships must be signed by both

the HA's Executive Director and a member of the RC's/RMC's/RO's Board.

The narrative cannot include activities that are listed in the letter

of support provided by the local HA.