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any applicant that demonstrates that the percentage of its contracts based on dollar value, awarded within the past two years to minority owned, controlled, or managed businesses, is greater than the percentage of minorities residing within the county for nonmetropolitan applicants, or within the SMSA for metropolitan applicants.

(ii) Twenty-five points will be awarded to any applicant that demonstrates that its percentage of minority employees is greater than the percentage of minorities within the county for nonmetropolitan applicants, or within the SMSA for metropolitan applicants.

(h) Housing Opportunity Plan (50 points). Fifty points will be awarded to any jurisdiction participating in & HUD-approved areawide Housing Opportunity Plan.

(i) Hold-Harmless Provisions (25 points). Twenty-five points will be awarded to a community which is currently carrying out a comprehensive community development program and which is subject to the phase-out provisions of Section 106(h) of the housing and Community Development Act of 1974, as amended.

(j) Final ranking. The points received by each applicant on the nine rating factors will be totaled and the preapplications ranked according to the final point totals. Invitations for full applications will be made based on this final ranking to the extent funds are available. HUD may invite additional applications on a stand-by basis in the event one of the applications from the higher ranked applicants is not approved, or additional funds become available.

§ 570.425 Preapplications for Comprehensive Grants.

(a) Submission requirements. Preapplications shall be submitted on HUD forms to the appropriate Area Office and shall consist of the following:

(1) Standard Form 424, as prescribed by OMB Circular A-102;

(2) A program narrative statement which consists of the following:

(i) A brief description of the applicant's community development prob

lems/needs to be served by the proposed program; and identification of the criteria for selection to be addressed by the program;

(ii) A description of the program to be carried out with assistance under this Subpart and an estimate of the cost of the proposed activities;

(iii) Information that demonstrates the impact the proposed program will have on the design criteria being addressed;

(iv) An analysis of the amount of funds that will be used to benefit lowand moderate-income persons. The analysis shall indicate the total number of persons to be served, the number of persons that meet the definition of low and moderate income, how such low- and moderate-income persons are served, and the nature of the benefit;

(v) A brief statement describing the overall housing strategy that will be employed to meet the community's housing needs; and

(vi) Other information appropriate to respond to the other criteria for selection set forth in § 570.424.

(3) A certificate assuring compliance with all the citizen participation requirements of § 570.431(c) and (d)(1).

(4) A map of the applicant's jurisdiction which clearly identifies:

(i) Census tracts and/or enumeration districts;

(ii) Location of the proposed activities; (iii) groups;

Concentrations

of minority

(iv) Concentrations of low- and moderate-income persons; and

(v) General locations for proposed new or rehabilitated housing assistance.

(5) If the applicant has received prior assistance under this part, a status report regarding performance with prior grants pursuant to § 570.423(c), or the Grantee Performance Report in lieu of the status report.

(b) Submission of additional data. Only data submitted by the deadline for submission of preapplications will be considered in the selection process, unless specifically requested by HUD in writing. All other data received

after the deadline will be returned to the applicant.

§ 570.426 Applications for Comprehensive Grants.

(a) Application requirements. The application requirements contained in §§ 570.303, 570.304, 570.305, 570.306 (excluding paragraph (a)(4)(i)), and 570.307 of Subpart D of this Part, shall apply to applicants for Comprehensive Grants.

(b) Coordination with applications for CDBG Entitlement Grants. Where possible, HUD will use information submitted with a hold-harmless entitlement application, such as a Housing Assistance Plan which was prepared for a grant in the same fiscal year in which the Small Cities Grant is being sought. Communities that anticipate applying for a Small Cities Comprehensive Grant in addition to their hold-harmless entitlement, are encouraged to develop an overall strategy and comprehensive program that anticipates some additional funding, but which would lend itself to be segmented if the Small Cities request is not funded. Additional steps which could be taken to save time and effort would be to:

(1) Include the possibility of additional funding in the planning phase in such a manner that citizen participation requirements would have been met if and when a preapplication for a Small Cities Comprehensive Grant is submitted;

(2) Submit such proposals through a A-95 clearinghouse process with the annual hold-harmless entitlement application to eliminate the necessity of resubmitting such information if and when an application for a Small Cities Comprehensive Grant is submitted.

(c) Title VI compliance. All applicants, except those currently receiving a hold-harmless grant, will be required to submit, on a form prescribed by HUD, evidence of compliance with title VI of the Civil Rights Act of 1964. The purpose of the evidence is to enable HUD to determine whether the benefits to be provided will be on a nondiscriminatory basis and will achieve the purposes of the program

for all persons, regardless of race, color, or national origin.

§ 570.427 Single purpose program general requirements.

(a) General. The Single Purpose Program will provide funds for one or more projects consisting of an activity or a set of activities designed to meet a specific community development need. Funds will be made available to address serious problems with housing needs or economic conditions which principally affect persons of low- and moderate-income or public facilities which affect the public health and safety.

(b) Projects. Applicants may seek funds within a single preapplication for more than one project, as long as the total grant request is within any grant ceilings and individual grant amounts that have been established. Each project will be rated separately. Grants requested, either by themselves or in combination with other stated funding sources, must be sufficient to complete the program.

or

(c) Performance requirements. Communities which are currently carrying out or have carried out a metropolitan nonmetropolitan discretionary grant program must satisfy the performance criteria described in Section 570.423(c) before they may apply for another grant. Performance determinations will be made as of the date the preapplication is submitted to the Area Office.

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behalf of themselves, States in behalf of themselves or in behalf of counties, or joint preapplications in which a county is participating, will be scored separately with respect to the needs factors of § 570.428(a)–(d).

(a) Need-absolute number of poverty persons (100 points). All applicants will be ranked in terms of the absolute number of poverty persons below the poverty level according to the latest data from the Bureau of the Census. Individual scores will be obtained by dividing each applicant's absolute number of poverty persons by the greatest number of poverty persons of any applicant and multiplying the result by 100.

(b) Need-percent of poverty persons (50 points). All applicants will be ranked in terms of the percentage of their population below the poverty level according to the latest data from the Bureau of the Census. Individual scores will be obtained by dividing each applicant's percentage of poverty persons by the highest percentage of poverty persons of any applicant and multiplying the results by 50.

(c) Need-absolute housing need (30 points). All applicants will be ranked in terms of their absolute housing need, as identified in the latest data available from the Bureau of the Census. Need will be measured by the number of units which lack plumbing or are overcrowded. Individual scores will be obtained by dividing each applicant's absolute number of housing units which lack plumbing or are overcrowded by the highest amount of such housing units of any applicant and multiplying the results by 30.

(d) Need-percent of housing need (20 points). All applicants will be ranked in terms of their percent of housing need, as identified in the latest data available from the Bureau of the Census. Within nonmetropolitan areas, need will be measured by

the percent of units which lack plumbing or are overcrowded. Individual scores will be obtained by dividing each applicant's percentage of housing need by the highest percentage of housing need of any applicant and multiplying the results by 20.

(e) Program factor-impact of the proposed program (200 points). All applicants will be rated based on the impact of the proposed project will have on the need identified. The intent of this factor is to select among the projects which are proposed to address a similar problem area, those projects which will have the most significant impact. In assessing impact, consideration will be given to the amount of funds requested by the applicant, the results to be achieved, the extent and nature of benefit to lowand moderate-income persons, any additional actions that may be required, previous actions taken by the applicant, environmental concerns, site selection standards where appropriate, and the nature of the activity.

(1) Problem areas. The problem areas cited in the preapplication for which funds are being requested must be in one of the following three categories:

(i) Housing.

(ii) Deficiencies in public facilities which affect the public health and safety.

(iii) Economic conditions.

The applicant must explain how the project being proposed impacts on the problem area selected, and the needs of low- and moderate-income persons. Specific measurable terms should be used in this explanation.

(2) Rating method. All projects addressing the same problem area will be compared in terms of impact on the identified problem area, as follows:

The project would have no impact.
The project would have minimal impact.
The project would have moderate
impact

The project would have substantial
impact.

0

50

100

200

(f) Benefit to low- and moderateincome persons (200 points). This factor will measure the benefit to lowand moderate-income persons. All applicants will be ranked in terms of the

Title 24-Housing and Urban Development

local government in which the State
or county intends to carry out activi-
ties, the State or county may satisfy
its Housing Assistance Plan require-
ments by indicating its support of the
existing plan.

(2) For joint applications and applications in behalf of units of general local government, the Housing Assistance Plan (HAP) shall relate to each unit of government in which activities are to be carried out. The plan shall be adopted by each unit of general local government included in the application and shall be consistent with any other HAP applicable to these jurisdictions.

(g) Urban counties and metropolitan cities. A State or a county may not apply for funds provided under this subpart for use in a metropolitan city or an urban county, including any unit of general local government that is participating in the metropolitan city or urban county.

§ 570.422 State participation. [Reserved]

§ 570.423 Comprehensive program general

requirements.

(a) Definition. A comprehensive program must meet all of the following criteria:

(1) Address a substantial portion of the identifiable community development needs within a defined concentrated area;

(2) Involve two or more activities that bear a relationship to each other, excluding administration, planning, and management, and which either in terms of support or necessity are carried out in a coordinated manner;

(3) Have beneficial impact within a reasonable period of time;

(4) Be developed through assessment of the applicant's community development, housing, and economic needs; Exceptions to the requirement that the activities be concentrated within a designated area may be made if the applicant can demonstrate to HUD's satisfaction that the proposal represents a reasonable means of addressing the needs identified.

(b) Funding commitments. (1) HUD will make commitments of up to three years for the Comprehensive Program,

subject to the availability of appropri ations. In determining the number of years for which a commitment will be made, HUD will consider the nature of the program proposed, the previous performance of the applicant, including both community development and housing; the capacity of the applicant to carry out the program proposed; the scheduling of the program; and the year-by-year fund requirements. Special consideration for funding commitments beyond one year will be given to those applicants currently carrying out a Comprehensive Program and subject to the phase-out proing and Community Development Act visions of Section 106(h) of the Housof 1974, as amended. Grant requests must either by themselves, or in combination with other stated funding sources, be sufficient to complete the program described.

(2) Once a community has been selected for a multiyear commitment and funds are available, it will not have to compete in the selection process for funding during subsequent years. Funds will be provided in subsequent fiscal years after the grantee has submitted the Annual Community Development Program, and HUD has determined that the annual program either is consistent with that described in the original application or has been properly amended pursuant to § 570.434, and the community's performance is adequate. Performance determinations will be made based on the criteria described in § 570.423(c).

(c) Capacity and Performance Considerations. No grant will be made to an applicant that does not have the capacity to undertake the proposed program. In addition, applicants which have participated in the Block Grant Program previously must have performed adequately. In determining whether an applicant has performed adequately, HUD will examine the applicant's performance in the following

areas:

(1) Community development activities. (i) The rate of progress achieved in moving activities into execution;

(ii) The rate of expenditure or obligation of community development funds.

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