RAD PIH Notice 2012-32 (.pdf, 1 MB) - National Low Income ...

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Section II: Moderate Rehabilitation Projects2.2.10 Selection CriteriaThis Section explains the criteria that HUD will use to select projects competitively forparticipation under the Demonstration, including targets, application periods, and rankingfactors.A. TargetsAs required under the statute, HUD seeks to offer awards across geographies. Awards will bemade according to the Mod Rehab CHAP Unit Commitment Targets (i.e., pools) contained in thetable below, representing approximately five percent of the units currently assisted through ModRehab contracts.Upon receipt of applications, HUD may, to utilize all available units, make minor modificationsto one or more of these caps in order to accommodate the number of units represented by theactual applicant properties.Mod Rehab CHAP Unit Commitment Targets,by Census Region (―Pools‖) 86Mod RehabUnitsRegionNortheast Midwest South West Total349 220 412 269 1,250B. Application Perioda. Application Submission. HUD will begin accepting applications on September 24, 2012(60 days from the date of issuance of this Notice) and will close on October 24, 2012 (90days from issuance of this Notice), coinciding with the public housing Initial ApplicationPeriod. During this time, HUD will sort the applications into their appropriate pools.Each RAD Application will generate a score according to the four ranking factorsdescribed below. The maximum points that an application can receive is 100. Tiebreakerswill be decided by random lottery. After 30 days, the Mod Rehab Application Period willclose and applications will be ranked in their respective pools.b. HUD Review. During the 30-day period following the close of the Mod RehabApplication Period, HUD will rank all applications and review them in rank order toensure that they are complete and meet the eligibility requirements under Section 2.2.2 ofthis Notice. Applications that pass this review are referred to as ―qualified applications.‖86 For a list of the states contained in each Census regions, please see http://www.census.gov/geo/www/reg_div.txt.Puerto Rico and the Virgin Islands will be included in the South and Guam will be included in the West.PIH-2012-32 (HA) Rental Assistance Demonstration – Final Implementation 98
Section II: Moderate Rehabilitation ProjectsIncomplete applications or those that fail to meet eligibility requirements will bewithdrawn from the competition. All applicants will be notified of their status after the30-day review period.c. Awards. Beginning with the highest ranked applications, HUD will select projects untilCHAP Unit Commitment Targets have been met in each pool.In pools that are oversubscribed—where the units associated with qualified applicationsexceed the CHAP Unit Commitment Targets during the Initial Application Period—applications that are not selected will be placed on a waiting list in rank order.Because of the limited number of awards that may be available, HUD anticipates thatsufficient qualified applications will be received to make awards. If insufficient qualifiedapplications are received during the Mod Rehab Application Period, HUD will makeadditional awards to public housing applications.Following the review and selection of applications submitted during the Application Period,HUD will post a summary of applications selected for award, total units by pool, and waiting liststatus for all other qualified projects. All applicants will be notified of their status after the 30-day review period. For each project selected, HUD will notify the applicant of CHAP award viaan award letter.C. Mod Rehab Ranking FactorsThere are four categories of ranking factors:1. High Capital Need Projects (0-50 points). All project applications will be scored on ascale between zero and 50 points based on the level of immediate capital needs, asdefined in the application, that the owner proposes to address through conversion.Applications that propose to meet or exceed the established threshold for high capitalneeds will receive the maximum 50 points. 87 The rehabilitation thresholds are indicated inthe table below.87 Lacking national data on the capital needs in the Mod Rehab assisted stock, HUD is using the same high capitalneeds thresholds as are being used for the public housing stock, for the purposes of the High Need Ranking Factor.See Section 1.12.D, for a description of the methodology.PIH-2012-32 (HA) Rental Assistance Demonstration – Final Implementation 99
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