State of Georgia consolidated plan annual performance report, July 1, 2002 - June 30, 2003

STATE OF GEORGIA CONSOLIDATED PLAN ANNUAL PERFORMANCE
REPORT
JULY 1, 2002 - JUNE 30, 2003
Sonny Perdue Governor
Prepared By:
Georgia Department of Community Affairs
Mike Beatty, Commissioner
September 2003

TABLE OF CONTENTS

Introduction

1

Available Resource & Programmatic Accomplishments

2

Resources Made Available to the State

2

Consolidated Formula Funds

2

Other Federal and State Funds

7

Geographic Distribution of Assistance & Investments

10

Location of Investments

11

Investments by Racial/Ethnicity Category of HUD Funding

11

Leveraging

12

Projects Funded with Program Income to the HOME Program

12

Relationship of Investments to Georgia's Affordable Housing Priorities

12

Households & Persons Assisted through the State's HOPWA Program

17

Total Households and Persons Assisted

17

Relationship of Investments to Georgia's Community Development Priorities

19

Summary of Other Actions Undertaken

24

Affirmatively Furthering Fair Housing

24

Assessment of the State's Affirmative Marketing Actions and Outreach to Minority

and Women-Owned Businesses

26

Actions Taken to Address the Needs of Homeless Persons & the Special Needs of

Persons who are not Homeless

28

Addressing Obstacles to Meeting the Needs of the Undeserved

33

Eliminating Barriers to Affordable Housing

34

Overcoming Gaps in Institutional Structure and Enhancing Coordination

35

Fostering and Maintaining Affordable Housing

37

Results of On-Site Inspections of Affordable Rental Housing Assisted with HOME

37

Evaluating and Reducing Lead-Based Paint Hazards

38

Improving Public Housing & Resident Initiatives

39

Actions to Reduce the Number of Poverty Level Families

39

Carrying Out the Actions Identified in the State's Consolidated Plan

39

Citizen Participation

40

Assessment of Annual Performance

41

Evaluation of Progress in Meeting Georgia's Objectives to Provide Affordable

Housing

41

Evaluation of Progress in Meeting Georgia's Community Development Objective

41

Changes to Program Objectives

42

Assessment of Efforts in Relation to the Consolidated Plan

42

Appendix I - Location of Investments

44

Appendix II Performance of the HOPWA Program

49

INTRODUCTION

OVERVIEW

In compliance with regulations from the U.S. Department of Housing and Urban Development (HUD), the State of Georgia has developed the Federal Fiscal Year 2000 (FFY2000) Interim Consolidated Plan for the State of Georgia. As required, this document outlines the State's housing and community development needs and the steps the State plans to take to address identified needs using its allocation of federal formula funds. The Consolidated Plan is divided into four sections: (1) an assessment of housing and homeless needs (2) an analysis of the state's housing market, (3) a five-year strategic plan, and (4) a one-year action plan. The State must revise the entire Consolidated Plan no less frequently than once every five years, with the action plan section updated annually. The FFY2000 Interim Consolidated Plan is the first full update of the Consolidated Plan since 1995.

The four federal programs covered by the Consolidated Plan include the Community Development Block Grant (CDBG), HOME Investment Partnership (HOME), Emergency Shelter Grant Program (ESGP), and Housing Opportunities for People with AIDS (HOPWA) programs. During State Fiscal Year 2003 (SFY2003), the period of July 1, 2002 June 30, 2003, the Georgia Department of Community Affairs (DCA) was the recipient of the CDBG funds from HUD. The Georgia Housing and Finance Authority (GHFA) was the recipient of the State's allocation of HOME, ESGP, and HOPWA monies. However, DCA administered these funds under contract to GHFA.

The State of Georgia Consolidated Plan Annual Performance Report for FFY2002 funds is a three part document that has been prepared to assist the citizens of Georgia and HUD monitor the State's progress in implementing its Consolidated Plan. Part I includes a summary of resources and programmatic accomplishments achieved in relation to the priorities and objectives stated in the State's Annual Action Plan for FFY2002 Consolidated Funds. Part II is a summary of other actions taken to implement its overall Consolidated Plan strategy as identified in the Annual Action Plan. Part III is an assessment of the State's efforts to meet its one-year priorities and objectives stated in the Annual Action Plan.

During SFY2003, the State received its allocation of FFY2002 consolidated formula funds; however, funds awarded or loan commitments made during this program year may utilize funds from FFY2002 or earlier funding years. The following table summarizes the State's efforts during the program year to meet the objectives identified in the FFY2000 Interim Consolidated Plan:

Table 1: FFY2002/SFY2003 Achievements
Objective Rehabilitate or construct affordable rental housing units for low and moderate income households Provide rental assistance to low or moderate income households Assist low or moderate income home buyers achieve or maintain homeownership Make funding awards to organizations that provide housing and supportive services necessary to break the cycle of homelessness. Make funding awards to organizations that provide housing and supportive services necessary for Special Need households to achieve decent, safe and sanitary living conditions.

Goal 703 units
8,360 households 1,090 households
9,600 households assisted daily 370 households

Achieved 510 units
16,175 units 1,822 units
11,011 households assisted daily
1,573 households

SFY2003 Consolidated Plan Annual Performance Report

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Georgia Department of Community Affairs

I. AVAILABLE RESOURCES AND PROGRAMMATIC ACCOMPLISHMENTS
A. RESOURCES MADE AVAILABLE TO THE STATE
Consolidated Formula Funds
HOME Investment Partnership (HOME)
The HOME program is designed to strengthen public-private partnerships to provide more affordable housing. Generally, the HOME program has three main purposes:
(1) To expand the supply of decent, safe, sanitary and affordable housing with primary attention to rental housing for very low and low income Americans;
(2) To mobilize and strengthen the abilities of states and units of general local government throughout the United States to design and implement strategies to achieve an adequate supply of decent, safe, sanitary, and affordable housing; and,
(3) To provide participating jurisdictions, on a coordinated basis, with various forms of federal housing assistance, including capital investment, mortgage investment, rental assistance, and other needed federal assistance.
The State of Georgia and each of ten participating jurisdictions in Georgia received an annual formula allocation of federal HOME funds. The ten participating jurisdictions included the cities of Albany, Atlanta, Macon, and Savannah, as well as the counties of Clayton, DeKalb, and Gwinnett. Three consolidated governments Athens-Clarke County, Augusta-Richmond County and Columbus-Muscogee County also received HOME funds directly from HUD. In addition, two consortiums the Georgia Urban County Consortium (composed of Cherokee and Cobb counties) and the Fulton County-City of Roswell also received an allocation of HOME funds.
The State of Georgia was eligible to receive $21,119,000 in FFY2002 HOME funds to implement affordable housing programs in Georgia. The following twelve programs were operated in SFY2003 with this and previous years' allocations of HOME funds.
HOME Rental Housing Loan Program: This program provided construction to permanent loans for the construction or rehabilitation of affordable rental housing. The proposed housing must have been located outside one of the State's participating jurisdictions for the HOME program unless the proposed project served a Special Need population and received points from DCA as a Special Need project during the application review process or the proposed project was to be developed by a Community Housing Development Organization (CHDO).
During SFY2003, funds were competitively awarded to eligible for-profit and nonprofit organizations. DCA awarded $6,437,649 in funds to five developments in SFY2003 that will create 298 rental units. In addition, using funds from previous allocation years, the State completed projects totaling $10,287,724 for the creation of 454 units and a CHDO project totaling $1,619,500 for the creation of 56 units of affordable rental housing during SFY2003.

SFY2003 Consolidated Plan Annual Performance Report

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Georgia Department of Community Affairs

HOME CHDO Predevelopment Loan Program: This program offered interest-free loans to qualified nonprofit organizations for the preparation of complete and comprehensive applications to DCA's HOME Rental Housing Loan and Permanent Supportive Housing programs for the financing of low and moderate income housing developments.

During SFY2003, two applications were approved and closed under this program for a total amount of $50,000.

HOME CHDO Operating Assistance Fund: This program provided qualified state designated CHDOs with funding to maintain their operation and to develop their capacity to implement HOME-funded CHDO activities. Funds may be used for salaries, wages, benefits, and other employee compensation; employee education, training and travel; rent and utilities; communication costs; and equipment, materials and supplies. All activities under this grant must be linked to the deficiencies identified by the organization in their completed Capacity Assessment Tool.

During SFY2003, assistance was provided to four CHDOs under this program for a total amount of $80,000.

Permanent Supportive Housing Program: This program provided financial assistance to nonprofit developers of permanent housing for special needs households. Construction and permanent financing was available for the cost of constructing or rehabilitating rental housing for non-elderly special need tenants. The dwelling units must be affordable to low income households and at least 50% of the total units must be available to the nonelderly special need tenants. Supportive services that are applicable to the needs of the targeted special need population must be provided. To implement this program, the State used a portion of its HOME-CHDO set-aside, its non-CHDO HOME allocation, and an allocation of funds through the State Housing Trust Fund for the Homeless. The State also provided an allocation of project-based Section 8 vouchers for all units funded through this program.

During SFY2003, DCA issued preliminary commitments for three applications for
assistance under this program. Loan closings are still pending. Construction has been completed on one project and the project as of June 30th is in the lease-up phase.

OwnHOME Program: This program offered deferred payment second mortgages to cover downpayment, closing costs and prepaid expenses for low income home buyers. Funds were awarded to qualified home buyers on a first come, first served basis. Loans may have been used in conjunction with funding available through the State's Home Buyer program.

This program was implemented using a combination of funds including federal HOME monies, state funds and the proceeds from the issuance of mortgage revenue bonds. During SFY2003, DCA completed 323 projects using a combined total of $977,506 in federal assistance.

Rural Development OwnHOME Program: This program offered deferred payment second mortgages to cover a portion of downpayment, closing cost and prepaid expenses for low income home buyers receiving first mortgage loans through the USDA Rural Development Direct 502 Loan Program.

SFY2003 Consolidated Plan Annual Performance Report

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Georgia Department of Community Affairs

This program was implemented using a combination of funds, including federal HOME monies and the proceeds from the issuance of mortgage revenue bonds. The Rural Development OwnHOME program enabled 10 homebuyers to purchase their home using $54,780 in federal HOME funds.

Development-Based OwnHOME Program: This set aside provided deferred payment second mortgages to home buyers in selected developments in rural Georgia to cover downpayment, closing cost and prepaid items. The balance of funds remaining after payment of these costs may be used for principal reduction.

This program was implemented using a combination of funds, including federal HOME monies and the proceeds from the issuance of mortgage revenue bonds. Eight loans totaling $60,000 were funded under this program utilizing federal HOME funds.

OwnHOME Program for Disabled: This program provided loans to qualified disabled borrowers to cover downpayment costs and for principal reduction.

This program was implemented using a combination of funds, including federal HOME monies and the proceeds from the issuance of mortgage revenue bonds. No loans were funded under this program using federal HOME monies.

OwnHOME Program for Disaster Areas: This program provided assistance to those persons whose homes were destroyed during an event that lead to a disaster declaration by the State of Georgia. This program offered deferred repayment second mortgage loans for downpayment, closing costs and prepaid items. This program was suspended during SFY2002 for evaluation. No loans were funded under this program during SFY2003.

OwnHOME Allocation for EarthCraft Houses: This program provided a $1 million set aside of OwnHOME funds to encourage home building aimed at the reduction of pollution and the waste of natural resources. The program offered loans for downpayment, pre-paid costs, or principal reduction in the same manner as the other OwnHOME programs.

This program was implemented using a combination of funds, including federal HOME monies and the proceeds from the issuance of mortgage revenue bonds. No loans were funded under this program using federal HOME monies.

Rural Rental Housing Development Fund: This program provided funds to eligible public housing authorities for the construction of up to ten (10) units of rental housing targeted to low/moderate income families in rural areas of the State in which the larger HOME Rental Housing Loan Program projects are not economically feasible. In addition, selected participants received training and technical assistance on the housing development process in an effort to build the capacity and number of rental housing developers in rural Georgia.

During SFY2003, six local public housing authorities received training on the housing development process. Four organizations submitted loan applications for funding. These applications are currently under review. DCA continued to work with participants in the program from SFY2002. Of the three remaining SFY2002 participants, DCA has closed one loan and continues to underwrite the remaining two.

SFY2003 Consolidated Plan Annual Performance Report

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Georgia Department of Community Affairs

Community HOME Investment Program (CHIP): This program offered funds to local governments for implementation of any approved, HOME eligible housing activity. Funds were made available in conjunction with DCA's CDBG program to enable communities access to funds for both housing and community development activities.
During SFY2003, funds were competitively awarded to non-entitlement local governments across Georgia. Ten local governments in Georgia were awarded $2,740,702 in project funding and $140,939 in administrative funding to implement local housing programs in their communities. Production of affordable housing (246 units) in these and other previously awarded CHIP communities where projects were completed totaled $2,479,927 in funds during SFY2003.
Community Development Block Grant (CDBG)
The CDBG program seeks to improve the living conditions and economic opportunities of Georgia's low and moderate-income families. To meet this goal, a minimum of 70% of all allocated CDBG funds must benefit low and moderate-income persons.
CDBG funds may be used for a variety of eligible activities, including housing improvements, public infrastructure improvements, such as water and sewer facilities, and economic development. Housing activities may involve costs associated with the reconstruction or rehabilitation of either homeowner or rental units.
During SFY2003, the State of Georgia and fifteen entitlement jurisdictions in Georgia each received a formula allocation of federal CDBG funds. The fifteen entitlement jurisdictions included the cities of Albany, Atlanta, Macon, Marietta, Roswell, Savannah, and Warner Robins; the counties of Clayton, Cobb, DeKalb, Fulton, and Gwinnett; and the three consolidated governments of Athens-Clark County, Augusta-Richmond County, and Columbus-Muscogee County and are not covered in this report. The State administered CDBG funds in the remaining, non-entitlement jurisdictions in Georgia.
DCA competitively allocated CDBG funds to eligible units of local government for project administration and implementation. Each unit of local government determined the type of eligible project for which assistance through the State's CDBG program is sought. Therefore, the type of projects receiving CDBG assistance is based on the self-identified needs of each community and vary from year to year.
During SFY2003, 144 CDBG grants totaling $46,862,132 were awarded to units of local government.
; Emergency Shelter Grant Program (ESGP)
The ESGP program is designed to improve the quality of housing and associated services that exist for persons who experience homelessness, to help make available additional emergency shelters and transitional housing facilities, to help meet the cost of operating these programs and of providing certain essential social services to homeless individuals so that these persons have access not only to safe and sanitary shelter, but also to the supportive services and other kinds of transitional assistance needed to achieve permanent housing. The program is intended to restrict the increase of homelessness through the funding of preventive programs.

SFY2003 Consolidated Plan Annual Performance Report

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Georgia Department of Community Affairs

During SFY2003, the ESGP Program provided financial assistance to shelters and homeless service providers to meet the emergency needs of homeless individuals and families. Applicants were eligible to use the ESGP funds for operational expenses, the provision of essential services, or the acquisition, rehabilitation, or construction of associated facilities. Each funding award is based on numerous factors, including: housing capacity, number of months open, number of homeless individuals served, coordination with other providers, cost effectiveness, and administrative capacity. The State Housing Trust Fund for the Homeless provided the 50% nonfederal funding match required by the federal ESGP program regulations.
During SFY2003, DCA received $1,851,000 in ESGP funds from the federal government. ESG Program funds administered during this reporting period totaled $4,351,091 in State funds and Federal FY2002 ESGP funds received by the State of Georgia. The amount of ESGP funding expended to the State for administration was $92,550 bringing the total amount of ESGP funds expended during FFY2002 to $4,443,641. With the 278 grants administered under this program, a total of 67,524 persons received assistance with housing, and a total of 176,077 persons received supportive services. On average each day 4,657 individuals were provided shelter or transitional housing and 11,011 persons received supportive services.
; Housing Opportunities for Persons with AIDS (HOPWA)
The HOPWA program is a federally funded program that has been in operation since 1994. The program was borne out of Congress' desire to address the housing crisis associated with the AIDS epidemic and is designed to provide states and localities with the resources and incentives to devise long-term comprehensive strategies for meeting the housing needs of persons with acquired immunodeficiency syndrome and related diseases. In Georgia, the HOPWA program provides supportive housing opportunities for persons living with AIDS and related diseases through direct subsidies to organizations operating housing and service programs for this population.
During SFY2003, eligible applicants included qualified organizations whose missions incorporate the provision of housing and supportive services to persons with AIDS or related diseases. To be considered "qualified," an applicant must have demonstrated the capability and capacity to provide the level of support services required by these residents. The applicant must also have received written approval and support of the local government where the assisted housing is or would be located. Recipients must also have operated their programs in full compliance with the HUD regulations published at 24 CFR Part 574. Any housing assisted under this program was required to be restricted to occupancy by eligible persons with AIDS.
Applicants were eligible to use HOPWA funds for the following activities:
Community-based housing; Short-term assistance for persons who are in danger of becoming homeless; Tenant-based rental assistance programs for eligible persons; Provision of supportive services to individuals with AIDS or related diseases; Rehabilitation or construction of a housing facility owned and operated by the applicant
demonstrating organizational/financial capacity in providing supportive services; or, Acquisition of facilities providing housing and/or services to low income persons with
AIDS or related factors.

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Georgia Department of Community Affairs

The applicant determines the housing and service needs within their service area. The State's goal is to assist designated sponsors with the expansion or enhancement of their organizational capacity and/or current programs.
During SFY2003, the State of Georgia received $1,701,000 in FFY2002 HOPWA program funds from the federal government. The State also received program income from Central City AIDS Network, Inc. in the amount of $2,907. HOPWA funds administered during this reporting period totaled $1,897,607. The amount of HOPWA funds expended by the state for administration was $57,345 bringing the total amount of HOPWA funds expended during FFY2002 to $1,954,952. During the program year, 295 families and 1,160 individuals were provided needed housing assistance and an additional 3,086 individuals were provided supportive services through the State's twelve (12) project sponsors. DCA primarily uses Georgia's allocation of formula HOPWA funds to serve 139 of Georgia's 159 counties. These counties are outside of the HUD designated 20-county area served by the City of Atlanta's formula HOPWA program. This year HOPWA funds were awarded to Atlanta based Jerusalem House, Inc. The funds were used to match one of the State's Shelter Plus Care grants for which Jerusalem agreed to be the project sponsor.
Other Federal and State Funds
Low Income Housing Tax Credit/Georgia Housing Tax Credit
The Tax Reform Act of 1986 created the Low Income Housing Tax Credit to promote the development of rental housing for low income residents through tax incentives rather than direct subsidies. Under this program, taxpayers that develop and own qualified rental projects that reserve all or a portion of the units for low-income residents are eligible to receive a credit against federal income tax liability. Recipients must either: (1) have at least 40% of their units rented at all times to tenants with incomes that are 60% or less of the area median income or (2) have at least 20% of their units rented at all times to tenants with incomes which are 50% or less of the area median income. Program income requirements are set by the federal government, and adjusted for family size. During SFY2003, the program was competitively available to owners of projects involving new construction or the rehabilitation of existing units.
During the 2000 session of the State General Assembly, legislation was passed to create the Georgia Housing Tax Credit for qualified projects placed in service after January 1, 2002. This Credit is provided in an amount equal to the federal housing tax credit allowed. To be eligible to receive the Georgia Housing Tax Credit, the project must meet the qualifications for the federal Low Income Housing Tax Credit as defined in Section 42 of the Internal Revenue Code of 1986.
During SFY2003, DCA administered both the federal and the state program for the State of Georgia, allocating $14,276,092 million in federal and state Housing Credit authority. This activity will produce 2,855 rental units.
; State Appropriation to the HOME Program
The State General Assembly annually appropriates funds towards the State's contribution to meet its 25% match obligation required by the federal HOME program regulations. Funds are annually awarded to eligible projects funded through the HOME Rental Housing Loan program or the OwnHOME program.
During SFY2003, DCA completed 135 OwnHOME projects using $471,355 in state funds. The OwnHOME Program for Disabled Persons enabled 3 homebuyers to purchase their home using

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Georgia Department of Community Affairs

$45,000 in state match funds. Seven of the same projects assisted under the Home Rental Housing Loan program also received a total of $1,876,485 in state funds.
; Section 8 Certificates, Vouchers and Moderate Rehabilitation
The Section 8 Rental Assistance program enables public housing authorities to offer expanded opportunities for rental assistance to lower-income families by utilizing existing housing units. The program is tailored to meet the individual needs of families by offering each family the freedom to find a suitable unit and a landlord who will agree to accept the Section 8 rent subsidies on behalf of the family and to also maintain their rental properties to the required Housing Quality Standards.
During SFY2003, DCA operated the Section 8 Rental Assistance program on behalf of the State of Georgia in 149 counties. Across the remainder of the State (Bibb, Chatham, Clayton, Cobb, DeKalb, Fulton, Glynn, Muscogee, Richmond, and Sumter counties), local public housing authorities administer this program.
During SFY2003, the State's Section 8 Rental Assistance program provided $81,660,512 in assistance, benefiting 16,175 households.
; HUD Shelter Plus Care Rental Assistance (S+C)
The Shelter Plus Care program is designed to provide housing and supportive services on a long-term basis for homeless persons with disabilities and their families. Persons served by this program primarily have disabilities associated with serious mental illness, chronic problems with alcohol and/or drugs, and acquired immunodeficiency syndrome (AIDS) or related diseases.
The program allows for a variety of housing choices that must be matched by sub-grantees, called "sponsors" under the S+C program, with a range of supportive services funded by sources other than the federal S+C monies. Program grants are used for the provision of rental assistance payments through four components:
Tenant-based Rental Assistance (TRA) Sponsor-based Rental Assistance (SRA) Project-based Rental Assistance with rehabilitation (PRAW) or Project-based Rental
Assistance without rehabilitation (PRA) Section 8 Moderate Rehabilitation Program for Single Occupancy Dwellings (SRO).
Since FFY1995, DCA has received $16.5 million dollars in S+C commitments to assist 27 sponsors. Beginning in FFY1996, approximately $5.7 million was received to assist two sponsors with project-based rental assistance on rehabilitated units for a 10-year period and to assist two sponsors with five-year commitments for project-based rental assistance without rehabilitation. In FFY1999, DCA received an additional $3.7 million dollars to provide sponsor-based rental assistance to an additional nine agencies. In FFY2000, DCA received an additional $3.3 million to provide sponsor-based rental assistance to eight additional agencies. In FFY2001, DCA received an additional $1.3 million to provide sponsor-based rental assistance to three additional agencies, and the award amount for FFY2002 was $2.5 million.

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Georgia Department of Community Affairs

In all, 602 homeless and disabled individuals are targeted to receive shelter and supportive services utilizing 512 housing units over five or ten year periods. An additional 122 family members will also benefit, raising the total estimated benefit to 724 persons per year.
; Mortgage Revenue Bond Proceeds
During SFY2003, the DCA operated the Single Family Home Buyer program using the proceeds generated from GHFA's issuance of mortgage revenue bonds specific to each program. The Single Family Home Buyer Program offered below-market interest rate loans to qualified low and moderate-income home buyers. These fixed-rate mortgage loans were required to be either FHA or conventionally insured, or VA or RHS guaranteed if the loan-to-value ratio was greater than 80%. Program assistance was available on a first come, first served basis through a network of participating mortgage lenders. During SFY2003, this program provided $81,644,051 in loans to assist 960 households achieve homeownership.
The State also used the proceeds of its mortgage revenue bonds to fund downpayment and closing costs through the State's OwnHOME programs. Ninety (90) loans were closed through the Rural Development OwnHOME program using a total of $2,164,800 in bond funds. A total of $142,500 in bond funds were utilized to close 19 loans through the Development-Based OwnHOME program.
State Housing Trust Fund for the Homeless
In 1989 the Georgia General Assembly established the State Housing Trust Fund for the Homeless (Trust Fund). Administered by DCA, the Trust Fund serves as a conduit for federal Homeless McKinney funds and is responsible for administering grants and loans to local governments and private nonprofit organizations to assist low-income and homeless persons. During SFY2003, the Trust Fund awarded 278 grants to: 1) prevent new incidents of homelessness among vulnerable families, 2) acquire and rehabilitate homeless facilities, 3) provide a variety of supportive services such as food and counseling, 4) operate emergency shelters, transitional and supportive housing facilities, and 5) provide a variety of technical assistance programs designed to enhance the way organizations deliver services to benefit lowincome and homeless persons.
The Trust Fund also provides funds to the Permanent Supportive Housing Program. This program provides financial assistance to developers of permanent housing for special need households. Construction and permanent financing is available for the cost of constructing or rehabilitating rental housing for non-elderly special need tenants. During SFY2003 the Trust Fund made preliminary commitments to three applicants for assistance under this program. Loan closings are still pending. Construction has been completed on one project and the project as of June 30, 2003 is in the lease-up phase. Two additional projects have commitments of Housing Trust Fund monies totaling $800,000.
Another activity, the Homeless Assistance program, promotes the availability of housing and essential services by contracting with organizations to provide shelter, transitional housing, and essential services. The production numbers for the Homeless Assistance program are included in the data reported for the ESG program.
The Trust Fund contracts with several technical assistance providers to implement its Nonprofit Technical Assistance programs. Specialized assistance is available to build internal administrative capacity and assessment of organizational needs. Generalized assistance includes

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Georgia Department of Community Affairs

development workshops and other training opportunities. DCA provides overall administrative oversight of this program. The production numbers for the Homeless Assistance program are included in the data reported for the ESG program

B. GEOGRAPHIC DISTRIBUTION OF ASSISTANCE AND INVESTMENTS
Because of the "first come, first served" use of OwnHOME funds and the competitive allocation process of the remaining programs, the geographic allocation of funds and assistance cannot be predetermined for a program year. However, their actual distribution can be provided for SFY2003. The distribution between urban and rural areas has been determined based on the designation of a county within a metropolitan statistical area (MSA) as determined by the U.S. Bureau of the Census. Any county included within one of the state's fifteen MSAs is classified as "urban." These counties include: Baker, Barrow, Bartow, Bibb, Brantley, Brooks, Bryan, Burke, Butts, Carroll, Catoosa, Chatham, Chattahoochee, Cherokee, Clarke, Clayton, Cobb, Columbia, Coweta, Crawford, Dade, Dawson, DeKalb, Dougherty, Douglas, Echols, Effingham, Fayette, Floyd, Forsyth, Fulton, Glynn, Gwinnett, Hall, Haralson, Harris, Heard, Henry, Houston, Jasper, Jones, Lamar, Lanier, Lee, Liberty, Long, Lowndes, Madison, Marion, McDuffie, McIntosh, Meriwether, Monroe, Murray, Muscogee, Newton, Oconee, Oglethorpe, Paulding, Pickens, Pike, Richmond, Rockdale, Spalding, Terrell, Twiggs, Walker, Walton, Whitfield and Worth.

In addition, the timing of the assistance is different between the HOME program and the remaining consolidated funding sources. Information on all of the HOME funded programs, except the CHDO Predevelopment Loan Program (CPLP) and the CHDO Operating Assistance Program (COAP), is provided for those projects where a Completion Report was provided to HUD during SFY2003. Information for the CPLP and COAP is provided based on the award of grants or loans to eligible applicants during SFY2003. Statistics for the CDBG, ESGP and HOPWA programs are based on project awards made during SFY2003.

The geographic distribution of assistance (units/grants/loans) by each consolidated formula program during SFY2003 is as follows:

Table 2: Geographic Distribution of Units/Grants/Loans

Urban

Program

Amount

Percentage

HOME Total

578 units

53%

3 loans

50%

OwnHOME

295 units

91%

Rural Development OwnHOME

2 units

20%

HOME Rental Housing Loan

279 units

55%

Permanent Supportive Housing Loan

0 units

0%

Rural Rental Housing Development Fund

0 units

0%

HOME CHDO Predevelopment Loan

1 loan

50%

HOME CHDO Operating Assistance

2 grants

50%

CHIP

2 unit

1%

CDBG

18 grants

13%

ESGP

66 grants

86%

HOPWA

11 grants

85%

Rural

Amount

Percentage

512 units

47%

3 loans

50%

28 units

9%

8 units

80%

231 units

45%

0 units

0%

0 units

0%

1 loan

50%

2 grants

50%

245 units

99%

126 grants

87%

11 grants

14%

2 grants

15%

The geographic distribution of investments during SFY2003 by each consolidated program is as follows:

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Georgia Department of Community Affairs

Table 3: Geographic Distribution of Funding

Urban

Program

Amount

Percentage

HOME Total

$6,679,499

42%

OwnHOME

$932,763

90%

Rural Development OwnHOME

$9,176

17%

HOME Rental Housing Loan

$5,684,694

48%

Permanent Supportive Housing Loan

$0

0%

Rural Rental Housing Development Fund

$0

0%

HOME CHDO Predevelopment Loan

$15,000

34%

HOME CHDO Operating Assistance

$40,000

50%

CHIP

$52,866

2%

CDBG

$7,577,637

16%

ESGP

$ 1,672,845

93%

HOPWA

$ 2,347,549

93%

C. LOCATION OF INVESTMENTS

Rural

Amount

Percentage

$8,864,938

58%

$169,743

10%

$45,604

83%

$6,222,530

52%

$0

0%

$0

0%

$30,000

66%

$40,000

50%

$2,427,061

98%

$39,284,495

84%

$ 124,200

7%

$174,900

7%

Appendix I provides a listing by county of the amount of consolidated formula funds provided to projects within each county during SFY2003.

D. INVESTMENTS BY RACIAL/ETHNICITY CATEGORY OF HUD FUNDING
The following table highlights beneficiary households by racial and ethnicity status. Information is provided as available for each HUD funding source that provided affordable housing opportunities during SFY2003.

Data is included for OwnHOME, CHIP, and HOME Rental Housing Loan projects in which a completion report was filed during SFY2003. Information for CDBG assistance is included for projects completed by grant recipients during SFY2003. Information regarding ESGP and HOPWA assistance equals the clients provided housing assistance during SFY2003. Section 8 assistance is provided for all clients served during the program year.

Table 4: Racial/Ethnicity Characteristics of Housing Beneficiaries of HUD Funding

White

Black

Asian/Pacific

Program

Non-Hispanic Non-Hispanic Hispanic

Islander

HOME Total

444

537

41

1

OwnHOME

124

189

7

1

Rural Development

5

4

1

0

OwnHOME

CHIP

70

143

31

0

HOME Rental Housing

245

201

2

0

ESGP

16,071

48,674

1,654

320

HOPWA

318

800

37

0

CDBG

5

79

0

0

**Section 8

2,650

13,525

0

0

Native American
2 0 0

Other* 64 2 0

1

1

1

62

64

741

4

0

0

0

0

0

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Georgia Department of Community Affairs

Total

19,488

63,615

1,732

321

% of All Beneficiaries

23%

74%

2%

0.4%

NOTE: Percentages may not total 100% due to rounding.

* Also reflects vacant units. ** Section 8 figures are an estimated breakout of ethnic groups based on current tenant data.

70 0.1%

806 0.9%

E. LEVERAGING
The State of Georgia met each program's regulatory leveraging obligations during SFY2003 as follows:
HOME: The State of Georgia utilizes State appropriations and the proceeds from the issuance of mortgage revenue bonds to meet the required 25% matching requirement under the HOME program. Other eligible sources for matching HOME funds are also used as available. A complete listing of the state's match liability and specific contributions are provided in the HOME Annual Performance Report submitted under separate cover to HUD. A copy may be obtained from the State by contacting the DCA's Housing Programs Coordinator at (404) 679-5293 on or after November 15, 2003.
ESGP: The Housing Trust Fund for the Homeless provides funds to meet the 50% matching requirement for the use of federal ESGP funds.
CDBG: For the annual CDBG competition, DCA requires a local cash match for all nonhousing CDBG projects. The required cash match is based on the amount of CDBG funds received as follows:
Y 0% for amounts up to $300,000 in CDBG funds, Y 5% for amounts from $301,000 to $500,000, and Y 10% of amounts over $500,000
Note that the EIP, Immediate Threat and Danger, and Redevelopment Fund CDBG set-asides do not require a match. During FFY2002 $716,032 in local CDBG cash match was provided by local units of government that received CDBG funds. In addition, all competitive CDBG applications receive up to 30 additional points in the rating system for provision of additional resources. While these are not always cash amounts, usually they are other loans, grants or local government cash and in-kind contributions. The FFY2002 CDBG competition leveraged $26,543,601 in additional resources.
F. PROJECTS FUNDED WITH PROGRAM INCOME TO THE HOME PROGRAM
The State of Georgia expended $458,312 in HOME Program Income to fund 130 OwnHOME projects. In addition $1,876,485 in HOME Program Income during SFY2003 was spent on the following seven projects funded through the State's HOME Rental Housing Loan program:
9972 Waring II Apartments, Waycross.................................... $ 280,585 8819 Ashton Court, LaGrange ................................................ $ 262,839 9947 Harbor Point, Tifton........................................................ $ 280,585 9946 Selman Place, Bainbridge ............................................... $ 280,585 8938 Gatwick- Senior Village, Perry....................................... $ 476,379 9965 Kirkwood Trail Apartments, Cedartown ........................ $ 135,926

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9992 South Rossville Senior Village, Rossville ...................... $ 159,586
G. RELATIONSHIP OF INVESTMENTS TO GEORGIA'S AFFORDABLE HOUSING PRIORITIES
This section outlines the state's progress towards addressing the affordable housing priorities identified in the State's Annual Action Plan for FFY2002 Consolidated Funds document. Because of the structure of the various programs, such as the HOME program that allows for a two-year cycle to commit funds to individual projects, federal funding sources may represent funding years other than FFY2002. Therefore, the total amount of program funds committed to projects identified in this section does not equal the amount of FFY2002 program funds received from HUD.
In addition, the projected and actual household benefit figures associated with each objective only represent the assistance level produced from the State's consolidated formula allocation and other HUD assistance. Actual production statistics of other funding sources are provided separately for informational purposes, as available.
Data on beneficiaries of consolidated or other HUD funding are based on the following:
OwnHOME, CHIP and HOME Rental Housing Loan beneficiary households are included for those projects with a completion report filed during SFY2003.
Section 8 Rental Assistance beneficiaries include those households receiving housing and/or utility assistance during SFY2003.
ESGP beneficiary data represents a daily average number of individuals who received project shelter or assistance during SFY2003.
HOPWA beneficiary data represents those households who received housing and/or supportive services during SFY2003.
CDBG beneficiaries are included for all housing activity undertaken by grant recipients during SFY2003.
Extremely low-income households include those households with a total income 030% of the median family income for their county.
Low income households include those households with a total income 31-50% of the median family income for their county.
Moderate income households include those households with a total income 51-80% of the median family income for their county.
Information on investments by either HUD or Other Source funding are based on the following:
All information associated with investments of Home Buyer program funds are based on loans closed during SFY2003.
All information associated with the CHIP, OwnHOME or HOME Rental Housing Loan programs is included for those projects with a completion report filed during SFY2003.
All information associated with Low Income Housing Tax Credit/Georgia Housing Tax Credit, HOPWA, ESGP or any other State Housing Trust Fund program are based on awards made during SFY2003.

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All information associated with the Section 8 Rental Assistance program is based on assistance provided during SFY2003.
The following pages of this section identify the number of units created towards meeting each of the State's priorities in comparison with production projections stated in the Annual Action Plan for FFY2002 Consolidated Funds.

Priority: To increase the number of Georgia's low and moderate income households who have obtained affordable, rental housing which is free of overcrowded and structurally substandard conditions.

Objective #1:

Rehabilitate or construct affordable, rental housing units for 209 extremely low, 379 low and 257 moderate income households.

Total SFY2003 Household Benefit of HUD Funded Programs:

Extremely Low Income

213

Low Income

181

Moderate Income

116

SFY2003 Investment & Assistance by HUD Funded Programs:

Program

Investment

Assistance

HOME Rental Housing Loan

$11,907,224

510 units

SFY2003 Investment and Assistance by Other Programs:

Program Low Income Housing Tax Credit (State and Federal)

Investment $14,276,092

Assistance 2,855 units

Objective #2:

Provide 4,879 extremely low and 3,266 low-income households and 693 moderate income households with rental assistance.

Estimated Total SFY2003 Household Benefit of HUD Funded Programs:

Extremely Low Income Low Income Moderate Income

11,969* 3,559*
647*

SFY2003 Investment and Assistance by HUD Funded Program:

Program HOPWA Section 8 Rental Assistance

Investment $1,112,953 $81,660,512

Assistance 621 households 16,175 households

* Does not include HOPWA households assisted.

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SFY2003 Investment and Assistance by Other Programs:
Program Shelter Plus Care

Investment $1,431,935

Priority: To increase the number of Georgia's low and moderate income households who have achieved and are maintaining homeownership in housing free of overcrowded and structurally substandard conditions.

Objective #3:

Assist 83 extremely low, 450 low and 501 moderate income households to achieve or maintain homeownership in housing free of overcrowded and structurally substandard conditions.

Estimated Total SFY2003 Household Benefit of HUD Funded Programs:

Extremely Low Income

73

Low Income

125

Moderate Income

417

SFY2003 Investment and Assistance by HUD Funded Program:

Program OwnHOME Development Based OwnHOME Rural Development OwnHOME CHIP CDBG Rehabilitation/Reconstruction

Investment $977,506 $60,000 $54,780
$2,479,927 $907,200

Assistance 323 households
8 households 10 households 246 households 28 households

SFY2003 Investment and Assistance by Other Programs:

Program Home Buyer OwnHOME State Match Development Based OwnHOME State
Match
OwnHOME for Disabled State Match Rural Development OwnHOME - State
Match

Investment $81,644,051 $471,355 $142,500
$45,000 $2,164,800

Assistance 960 households 135 households 19 households
3 households 90 households

Note: OwnHOME borrowers may have also received assistance through DCA's Home Buyer program.

Priority: To increase the access of Georgia's homeless to a continuum of housing and supportive services which address their housing, economic, health and social needs.

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Objective #4:

Provide housing and supportive services necessary for Georgia's homeless to break the cycle of homelessness to a daily average of 10,200 individuals.

Estimated Total SFY2003 Benefit of HUD Funded Programs:

Funding Awards

290

Housing for Average Daily Households

4,657

SFY2003 Investment and Assistance by HUD Funded Program:

Program Emergency Shelter Grant / Transitional Shelter Program

Investment $ 4,443,641

Assistance 278 awards * 4,657 daily housed * 11,011 daily services *

HOPWA Shelter Plus Care

$ 1,954,952 $1,084,948

12 awards 621 individuals housed 539 people in 295 families housed 395 units assisted 6 new awards made during FFY2003

* ESGP figures include both state and federal funds allocated to the Program.

SFY2003 Investment and Assistance by Other Programs:

Program

Investment

No Investment Occurred through Other Programs

during SFY2003

Assistance

Priority: To increase the access of Georgia's Special Needs populations to a continuum of housing and supportive services which address their housing, economic, health, and social needs.

Objective #5:

Make funding awards to organizations or households that assist 429 Special Need households with the housing and supportive services necessary to achieve decent, safe and sanitary living conditions.

Estimated Total SFY2003 Organizational Benefit of HUD Funded Programs:

Special Need Households Assisted Special Need Individuals Assisted

2,443 4,659

SFY2003 Investment and Assistance by HUD Funded Programs:

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Georgia Department of Community Affairs

Program

Investment

Assistance

OwnHOME

$13,145

4 elderly households

HOME Rental Housing

$ 10,194,462 (est.)

444 elderly households

CHIP

$755,640

49 elderly households

ESGP

Not Available

1,539 elderly households

HOPWA

$1,954,952

295 families*

4,659 individuals*

CDBG Rehabilitation/Reconstruction

$ 384,608

12 elderly households

Shelter Plus Care

$1,431,935

395 units assisted

targeted for disabled

households

* - The number of families in the HOPWA figures reflect those who received housing.

SFY2003 Investment and Assistance by Other Programs:

Program Home Buyer OwnHOME for Disabled State Match

Investment $ 443,829 $45,000

Assistance 8 elderly households 3 disabled households

H. HOUSEHOLDS AND PERSONS ASSISTED THROUGH THE STATE'S HOPWA PROGRAM

Amount and Type of Assistance Provided

The HOPWA program provided the following assistance levels during SFY2003:

Housing Assistance to Individuals
Number of persons (adults and children) with HIV/AIDS who received housing assistance Number of other persons in family units who received housing assistance Total number of persons who received housing assistance Housing Assistance to Families

621 539 1,160

Number of families assisted Persons Assisted with Supportive Services Only
Number of persons (adults and children) with HIV/AIDS who received supportive services only Number of other persons in family units who received supportive services only Total number of persons who received supportive services only Persons Receiving Housing Information Services
Estimated number of persons who received housing information services

295
952 778 1,730
3,086

I. TOTAL HOUSEHOLDS AND PERSONS ASSISTED
As shown in HUD Exhibit C on page 18, the HOME, CDBG, ESGP and HOPWA program funds administered by the State assisted 57,885 low and moderate income households across Georgia during SFY2003.

Assistance by Income Level:
Approximately 18% of the non-elderly renter and owner households assisted were extremely low income (0 - 30% MFI), 19% were low income (31% - 50% MFI), and 63% were moderate income (51 - 80% MFI). The remaining 0.4% of the units were vacant at the time the household information was provided to the State.

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Assistance by Racial/Ethnicity Category:
Approximately 61% of all households assisted under the HOME, CDBG, ESGP and HOPWA programs, or 52,213 households, were of a minority racial or ethnic group. Non-Hispanic black households comprised over 58% of all minority households assisted.
Slightly more than 19% of all households assisted were non-Hispanic white households.

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HUD Exhibit C Summary of Housing Accomplishments

Name of Grantee: State of Georgia State: Georgia

Program Year: SFY2003 (FFY2002)

Priority Need Category Renters (HOME: Rental, Housing Loan)
0-30% MFI 31 50% MFI 51-80% MFI Vacant Total Owners (HOME: OwnHOME, CHIP, CDBG) 0-30% MFI 31 50% MFI 51-80% MFI Total Homeless (ESGP) * Individuals Individuals in Families Total Non-Homeless Special Needs (HOPWA) Individuals Individuals in Families Total Total Housing
Non-Homeless Special Needs **
(Elderly: HOME, CDBG)

Actual Units
152 181 116 61 510
68 117 416 601
45,241 22,283 67,524
621 539 1,160 69,795
509

* Homeless Families and Individuals assisted with shelter or transitional housing. ** Elderly households are also counted in the above categories and are therefore
separated here.

TOTAL HOUSING
Hispanic Non-Hispanic
White Black Native American Asian/Pacific Islander Other ;
; - Includes vacancies

69,975
1,732 66,866 16,838 50,028
70 321 806

Note: Information is included for ESGP, HOME, CDBG, and HOPWA funded projects only.

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J. THE RELATIONSHIP OF COMMUNITY DEVELOPMENT BLOCK GRANT INVESTMENTS TO GEORGIA'S COMMUNITY DEVELOPMENT PRIORITIES
This section describes the use of FFY2002 (SFY2003) CDBG funds as well as the accomplishments of the CDBG Program during the period July 1, 2002 and June 30, 2003. The following subsection describes the relationship of these accomplishments to the goals and objectives stated in the Consolidated Plan for FFY2002 Funds.

As anticipated in the Annual Action Plan for FFY2002 funds, the State received a CDBG allocation of $45,794,000. The Annual Action Plan proposed the following allocation of these funds:

Table 5: FFY2002 Anticipated Funding and Allocation of CDBG Funds

Award From HUD:

Less Set-Aside For:

State Administration

Immediate Threat and Danger Program

Employment Incentive Program

Set-aside for Technical Assistance

Redevelopment Fund

Lead Based Paint Testing

$45,794,000 $815,880 $500,000
$5,500,000 $225,000 $750,000 $50,000

Remainder:

Amount Available for Regular Competition

Source: Annual Action Plan for FFY2002 Consolidated Funds

$37,953,120

During this Program Year, the State awarded 144 CDBG grants for all categories of CDBG funding totaling $46,862,132 in CDBG funds. This amount includes monies from the FFY2002 allocation as well as funds available from past allocations or funds deobligated from previous grantees. The distribution of these funds by type of project is displayed in the following table.

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Table 6: Analysis of CDBG Competition for Program Year 2002 (7/1/02 6/30/03)

Type of Projects

Requests % Awards %

Amount

%

Amount

%

Requested

Awarded

Multi Activity Economic Development
Housing Public Facilities Totals

4 3% 1 0% 7 3% 145 95% 157 100%

2 3% 0 0% 2 3% 75 95% 79 100%

$3,151,154 $500,000
$2,612,598 $67,283,008 $73,546,760

4% 1% 4% 91% 100%

$1,598,454 $0
$731,507 $35,245,490 $37,575,451

4% 0% 2% 94% 100%

Type of Applicants City
County Joint
Regional Totals

Requests 100 55 1 1 157

% 64% 35% 1% 1% 100%

Awards 47 30 1 1 79

% 59% 38% 1% 1%
100%

Public Facilities Projects Water Sewer
Water & Sewer Drainage
Streets & Drainage Multi Infrastructure
Multiple Facilities Senior Center Youth Center
Battered Women' Shelter Gas System Improvements
Health Center Head Start/Day Care Multi Purpose Center
Learning Center Mental Health Retardation Totals

Requests 25 20 5 4 33 18 1 7 6 2 1 8 2 10 1 2 145

% 17% 14% 3% 3% 23% 12% 1% 5% 4% 1% 1% 6% 1% 7% 1% 1% 100%

Awards 11 11 3 4 21 8 0 5 2 1 1 3 2 2 0 1 75

% 15% 15% 4% 5% 28% 11% 0% 7% 3% 1% 1% 4% 3% 3% 0% 1% 100%

Grand Totals Requests 157

Awards 79

Requested Average Amounts
$468,451

Awarded Average Amount
$475,639

*All percentages have been rounded to the nearest percent therefore the total sum may not exactly equal 100%.

The Action Plan for 2002 also set-aside CDBG funds for the delivery of technical assistance, and state administration of the CDBG Program. The expenditure of these funds also overlaps the Program Year.
The technical assistance funds are used for the delivery of technical assistance to CDBG recipients or applicants. These activities included a series of economic development training classes carried out under contract with the National Development Council, as well as state administration costs associated with actual on-site technical assistance activities, such as helping

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grantees understand federal regulatory requirements and training on the new HUD lead-based paint hazard reduction regulations. Much of this type of technical assistance is delivered on-site with grantees.

Relationship to Consolidated Plan Priorities and Objectives

As stated in the Annual Action Plan for 2002 CDBG funds, the State has established both a longterm and short-term objective. In measuring the State's success in meeting these objectives it should be noted that the State is in the role of deciding what local governments receive funds and does not mandate the type of projects funded.

The primary long term objective of the State of Georgia's CDBG Program is to develop viable communities by providing decent housing and a suitable living environment and expanding economic opportunities, principally for low income and moderate income persons. [The shortterm objective is to make CDBG funds available to local governments to address their locally identified needs. Locally elected officials through consultation with local residents identify these needs].

Table 6 summarizes the FFY2002 CDBG awards made as of June 30, 2003. The table breaks out the types of activities funded and the expected number of persons to be assisted. Since the average duration of each project from grant award to project closeout is nearly two years, the measurement of actual accomplishments will be reported over several report periods. Available data indicates that nearly 90% of all persons to benefit will be low and moderate-income persons. The Table shows that the CDBG Program is used to meet a wide variety of locally identified needs.

Table 7 reports on accomplishments during this performance period and summarizes the number of persons benefiting from CDBG grants completed during the reporting period. While most of these grants were not funded with FFY2002 funds, the table shows again that local governments use the funds for a wide variety of purposes primarily benefiting persons of low and moderateincome.

TABLE 7: Community Development Block Grant Accomplishments SFY2003

Activity

Units

Persons LMI Persons

Housing Rehabilitation/Reconstruction Water Facilities Sewer Facilities Streets &/or Drainage Youth Facilities/Shelters Head Start/Daycare Facilities Facilities for Disabled Health Facilities: Mental Health Facilities: Physical Adult Learning Centers Senior Centers Multi-Purpose Centers Economic Development: Jobs

28

84

8,622

7,021

6,504

6

1,032

3

295

4

532

2

965

6

12,322

2

539

10

1,068

6

2,295

20

1,832

84
7,615 6,032 5,203
959 295 532 832 11,456 465 1,068 2,243 1,645

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Based on the information reported above on the use of State CDBG funds, there is a very strong relationship between the use of CDBG funds to the identified CDBG Program Objective. Funds have been provided to local units of government to develop viable communities by providing decent housing and a suitable living environment and expanding economic opportunities. A wide variety of locally identified needs are being met. The major limitation in meeting these needs is the availability of adequate funds to meet the needs.
The priority of principally benefiting low income and moderate income persons will be met because over 90% of the program beneficiaries will be documented to be from low and moderate income families. Because of the success of the CDBG Program in meeting its objective, presently the State does not plan or anticipate any major changes in the program objective or basic program design.
While there has been a downward trend in local governments requesting CDBG funds for housing rehabilitation, this reporting period saw a slight increase. The decline in the use of CDBG for housing rehabilitation and reconstruction can be partially attributed to the State's decision in 1997 to establish the Community Home Investment Program (CHIP). This Program makes HOME funds available to CDBG eligible communities. Many communities have chosen to apply for CHIP funds to provide for housing activities and CDBG funds to provide for public facility improvements within the community often in the same neighborhoods. DCA made this application process much easier for local governments by establishing a single application process.
Minimizing Displacement: While not required by HUD regulations on the CAPER, HUD has asked that the State describe the steps it takes to minimize displacement. The only time displacement occurs under the State CDBG program is when a dilapidated occupied house is to be demolished. In the very rare instances this event occurs, DCA monitors the grantee very closely and provides technical assistance to ensure that the activity is in full compliance with the Uniform Act as well as Section 104(d) of the Housing and Community Development Act. This includes relocation assistance for displaced persons and the one-for-one replacement of the dwelling unit.
Description of CDBG Housing Rehabilitation Programs: While not required by HUD regulations for the CAPER, HUD has asked that a description of local CDBG rehabilitation efforts be included in the CAPER.
Currently the State has 22 active housing programs and 22 multi-activity programs (that include housing) funded with CDBG funds and 76 active programs funded with CHIP funds. Each of these 120 programs are designed and operated locally to meet locally identified needs. The State monitors these programs and provides technical assistance to ensure the local programs meet HUD and State requirements.
Generally each program offers a mix of low interest loans and forgivable loans to address code violations and deteriorated conditions. Some programs also offer limited assistance for general property improvements. Forgivable loans are usually offered to cover a substantial portion of the rehabilitation cost with owners required to participate to some extent. Owner participation typically ranges from 10% to 30% for CDBG and 25% to 50% for CHIP. Most programs limit assistance to owner occupied housing. All beneficiaries must be below the established low and moderate-income levels for the locality.

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All Grantees Met a National Objective: The Housing and Community Development Act of 1976 lists three National Objectives for the CDBG Program: Job Creation, Meeting Urgent Needs and Benefit to Low and Moderate-Income Persons. All CDBG grants made by DCA meet at least one of these Objectives. In addition the overall low and moderate-income benefit level is nearly 90% which far exceeds the required 70%.
Compliance with Program Requirements: DCA has established a compliance program for CDBG that regularly monitors on-site all grantees for compliance with all requirements using a set of written compliance standards and checklists. In addition two annual CDBG Workshops are designed to assist grantees comply with requirements. More information is available is the DCA CDBG Recipients Manual.
Comprehensive Planning: All local governments are required by state law to have a DCA approved Comprehensive Plan. Conformance with the local plan is one of the factors considered in the ranking of applications for CDBG assistance.
Jobs Made Available To But Not Taken by Low and Moderate-income Persons: All jobs created by CDBG economic activities are made available to low and moderate-income persons, but not all jobs are taken by low and moderate-income persons. Data included in the PER indicates that overall nearly 85% of jobs created were taken by low and moderate-income persons. All businesses assisted with CDBG funds must sign a contract that a minimum of 51% of jobs created will be filled by low and moderate-income persons or funds must be repaid to the State. DCA and the assisted businesses work with a number of other programs, such as the Georgia Department of Labor, to ensure this goal is met.
Description of any activities that serve a limited clientele not falling within one of the categories of presumed benefit: This would include activities such construction of public health facilities, Head Start facilities and Boys and Girls Club facilities. DCA requires that such facilities collect family income information from all persons benefiting to document that at least 70% of the persons do have a low or moderate-income level. Generally these activities achieve a benefit level exceeding 95% LMI.
Source(s) of Program Income: The only Program Income (which is also reported in the PER) received by the State are funds from discontinued CDBG capitalized local economic development Revolving Loan Funds.
Progress report on HUD approved neighborhood revitalization strategies: There are no HUD approved neighborhood revitalization strategies approved for nonentitlement CDBG eligible communities.

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II. SUMMARY OF OTHER ACTIONS UNDERTAKEN

A. AFFIRMATIVELY FURTHERING FAIR HOUSING
The Georgia Commission on Equal Opportunity administers and implements the Georgia Fair Housing Law, as amended. HUD formally notified the State in January 1996 that the State's fair housing law and policies to administer the law are substantially equivalent to those created under the federal Fair Housing Act. Based on this determination, HUD now refers all complaints alleging a discriminatory housing practice within the jurisdiction of the State to the Georgia Commission on Equal Opportunity. HUD will review the performance of the State every five years to determine continued qualification for this certification.
During SFY2003, the State of Georgia continued to fund operation of a Tenant /Landlord Hot Line through a contract with Georgia Legal Services Program, Inc., (GLSP). Additionally, a brochure on commonly asked questions is available through GLSP and is also accessible through the DCA webpage.
The State also has a completed Analysis of Impediments to Fair Housing Choice in Georgia (AI). This study was undertaken in compliance with requirements of the Housing and Community Development Act, as amended, and with the Consolidated Plan implementing regulations. The final version of this document was submitted to HUD on August 31, 1998 and was subsequently approved by HUD. The State began updating the currently approved AI in January of 2003. While analyzing Georgia's current fair housing situation, DCA sought input from a number of outside sources including the Georgia Commission on Equal Opportunity, local government officials, disability advocates, real estate agents, affordable housing developers, housing counselors, and fair housing advocates.
DCA utilized a multifaceted approach in order to complete the AI, including: Analyzing the demographic data of the state of Georgia to use as a reference point for discussion of fair housing impediments in the state. Reviewing the state of Georgia's Consolidated Plan to gather background information on housing needs and previous actions taken to promote fair housing in the state. Reviewing state laws, regulations, and administrative policies, procedures, and practices, and assessing whether they presented impediments to the location, availability, affordability, and accessibility of housing. Reviewing fair housing discrimination complaints filed with and by HUD, the U.S. Department of Justice, and the Georgia Commission on Equal Opportunity (GCEO). Conducting an analysis of Home Mortgage Disclosure Act (HMDA) data to identify restrictions in banking practices in the state. Surveying Georgia housing stakeholders, who are knowledgeable about housing actions and concerned with fair housing. Analyzing the scope and impact of actions and programs undertaken in the state to promote fair housing. Holding two public hearings to solicit input from the public.
As a result of our study, DCA has identified four impediments to fair housing choice that it will address within the next five years.
Lack of knowledge about fair housing laws and resources. Reluctance on the part of some Georgia landlords to rent to persons receiving Section
8 housing assistance.

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People with disabilities having difficulty finding suitable and accessible housing. In the Hispanic communities of Georgia, language barriers and unfamiliarity with the
home buying process are catalysts for discrimination.
In order to bring the efforts of this fair housing analysis to fruition, DCA has designed a plan of action in order to mitigate and eliminate the identified impediments to fair housing choice. DCA, in conjunction with other agencies, intends to address these impediments in several innovative ways.
DCA will continue to provide information on tenant/landlord laws to the general public. We will apply for HUD fair housing/fair lending funds to provide outreach and education activities in Georgia. DCA will utilize the Money Smart Program to increase fair housing and homeownership education in the rural parts of Georgia. DCA will make available brochures and/or other promotional material, in English and Spanish. DCA will seek participation by the GCEO in various landlord workshops and other housing conferences conducted or sponsored by DCA.
DCA's Office of Affordable Housing will continue efforts to train landlords regarding IRS Code 26 U.S.C.A 42(h)(6)(B)(iv) and 26 C.F.R 1.42-5(c)(1)(xi), which prohibits landlords of low-income tax credit properties from refusing to lease to a holder of a Section 8 voucher or certificate. Staff will also use property visits and random phone calls to continues efforts to ensure compliance of low-income tax credit properties.
DCA will implement the Rental Access Network, which will provide an on-line resource for property managers to market units with accessible features for individuals with disabilities and provide a convenient resource to prospective renters to locate affordable and accessible housing. DCA will continue to partner with the Governor's Council on Development Disabilities to fund a position at DCA to promote and expand affordable housing options for people with disabilities. DCA will also continue to support efforts to expand the Easy Living Program across the state and will begin to offer enhanced downpayment assistance for units that have received the Easy Living Seal of Approval.
DCA's Office of Homeownership will continue to provide home buyer education workshops and materials in Spanish; fund a bilingual position at DCA to promote and market DCA's home buyer programs in Spanish-speaking communities; have major portions of the DCA web site available for viewing in Spanish; and continue to increase the number of bilingual staff at DCA through Spanish language training education.
The updated version of the State's Analysis of Impediments to Fair Housing Choice will be submitted to HUD for approval by September 30, 2003.

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B. ASSESSMENT OF THE STATE'S AFFIRMATIVE MARKETING ACTIONS AND OUTREACH TO MINORITY AND WOMEN-OWNED BUSINESSES
Assessment of Affirmative Marketing Efforts
Affirmative Marketing Efforts
Concerted efforts continue to be made to inform local governments, nonprofits, for-profit developers, public housing authorities and others about the affirmative marketing requirements of the HOME program.
The CHIP program requires each State Recipient and each owner of five or more rental or homeowner housing units to develop and implement an Affirmative Fair Housing Marketing Plan (AFHMP) and a Minority Business Enterprise/Women Business Enterprise Outreach Plan (MBE/WBE). DCA reviews and approves all AFHMP and MBE/WBE plans before any written agreements are signed or funds are disbursed. The AFHMP requires the State Recipient and any owner of five or more rental or homeowner housing units to adopt the plan outlining marketing procedures and requirements which both provide CHIP program information and attract eligible persons (low income homeowners, buyers or tenants) in the housing market area to the CHIP program. This marketing must be done without regard to race, color, national origin, sex, region, familial status or disability. DCA also requires that State Recipients and developers provide an annual assessment of the AFHMP.
The CHIP program requires that the State Recipients adopt a MBE/WBE Outreach Plan setting forth procedures to ensure the inclusion, to the maximum extent possible, of minorities and women, and entities owned by minorities and women, in CHIP funded projects. DCA also requires that the State Recipient provide an annual assessment of the MBE/WBE Outreach Plan.
DCA also makes a special effort to inform minority groups of HOME program opportunities by requiring that each recipient of HOME funds through the HOME Rental Housing Loan, Rural Rental Housing Development Fund and Permanent Supportive Housing Loan programs develop and implement an Affirmative Fair Housing Marketing Plan. This plan outlines actions the developer will take to attract to the project eligible persons from all racial, ethnic and gender groups, especially those households least likely to apply for the housing without special outreach.
The affirmative marketing plan must meet each of the following criteria:
specify a method by which the owner will inform potential tenants about fair housing laws;
require the use of the Equal Housing Opportunity (EHO) logo or slogan in any press releases or written materials distributed by or on behalf of the owner;
require the owner to maintain records of efforts under the affirmative marketing plan and the results of said efforts; and,
require the owner to assess annually their affirmative marketing efforts and describe the method of self-assessment used.
The State will not release funds for projects unless this plan has been reviewed and approved by DCA.

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The State monitors implementation of Affirmative Marketing Plans developed by HOME recipients to ensure full compliance with the State's affirmative marketing goals. The Compliance section of DCA's Office of Affordable Housing conducts routine site visits to funded projects. An integral part of the visit is the on-site review of documentation of the project's participation in the Affirmative Marketing Plan. Documentation of phone calls, form letters, and questionnaires ensure that the required marketing efforts are taking place.

Each General Partner of a HOME funded development must sign an Annual Owner Certification that attests that the property is adhering to HOME program requirements. The recipient must attach a copy of their current Affirmative Marketing Plan with the required documentation. The certification is another mechanism for DCA to utilize in monitoring the Affirmative Marketing efforts of grantees.

Minority Participation
During SFY2003, the State's HOME-funded programs significantly benefited minority Georgians. As shown in Table 8, in most cases, the percentage of minority households benefiting from Georgia's HOME-funded programs is higher than both the percentages of minority households in the state's population and the percentage of minority low and moderate-income households.

Table 8: Minority Concentration of Selected Household Types

Population Group

Percentage of Population Group who

are Minority Households

Comparison Groups:

All Georgia Households

29%

Low and Moderate Income Households

38%

Program Beneficiaries:

OwnHOME Recipients

61%

Rural Development OwnHOME

50%

Recipients

CHIP Recipients

53%

HOME Rental Housing Loan

45%

Recipients

NOTE: Information on OwnHOME, CHIP and HOME Rental Housing Loan programs

includes only those projects where a completion report was filed to HUD during

SFY2003.

Thus, Georgia's use of HOME funds is addressing the needs of minority households in the state.

Assessment of Outreach to Minority and Women-Owned Businesses
During SFY2003, DCA reported to HUD the total investment of $38,905,163 in contracts to projects funded through the CHIP and HOME Rental Housing Loan programs. This investment accounted for 280 contracts entered into for associated projects. Fifty three (53) projects (18%) were completed by minority and women-owned businesses. DCA's MBE/WBE Outreach Plan ensures the inclusion, to the maximum extent possible, of entities owned by women/minorities. The maintenance of records on the actual involvement includes real estate firms, construction companies, appraisal/management firms, financial institutions, underwriters, and providers of legal services. Further information during SFY2003 has been included in DCA's HOME Annual Performance Report.

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In SFY2003, the State followed formalized procedures to encourage greater implementation of the State's outreach activities. The participation of Section 3 businesses in projects receiving funding through any of the State's consolidated programs is strongly encouraged by DCA.
C. ACTIONS TAKEN TO ADDRESS THE NEEDS OF HOMELESS PERSONS AND THE SPECIAL NEEDS OF PERSONS WHO ARE NOT HOMELESS
Assisting the Homeless
The State develops an annual Continuum of Care Plan for the `Balance of State'. This document serves as the state's blueprint for providing a series of comprehensive and progressive care to homeless individuals and families such that they become self-sufficient and permanently housed. The plan outlines specific projects and activities that the Trust Fund will undertake in the coming year. In addition to being used as a planning tool, the continuum of care document is also a means that many Georgia communities can use to access federal SuperNOFA funding from HUD. Each year since 1998, the Trust Fund and its many community partners have developed a plan that has generated $16,500,000 dollars for transitional housing, mental health programs, day facilities, child-care and a host of other programs. The State administered several programs during SFY2003 to benefit the homeless, including the Emergency Shelter Grant Program (ESGP), the Nonprofit Technical Assistance, the Housing Opportunities for Persons with AIDS (HOPWA), and the Shelter Plus Care (S+C) Programs. Once ESGP funds are awarded to each nonprofit agency, the State provides administrative workshops and training, and each program is monitored.
During SFY2003, the Emergency Shelter Grant program provided financial assistance to shelters and homeless service providers to meet the emergency needs of homeless individuals and families. Applicants were eligible to use the ESGP funds for operational expenses, the provision of essential services, or the acquisition, rehabilitation, or construction of associated facilities. The State Housing Trust Fund for the Homeless provided the 50% non-federal funding match required by the federal ESGP program regulations.
The first line of defense against homelessness is the Homeless Prevention Program. The State awarded over four hundred thousand dollars to 30 organizations around the state to help them stabilize families that experience a temporary economic setback. Prevention funds are used to pay past due mortgage payments, rents, and utility bills. Homeless Prevention funds can also be used to pay deposits or legal assistance.
Emergency Shelters are the points of entry for thousands of persons that have become homeless. Families living in emergency facilities receive food, shelter and essential services designed to stabilize them for a period of thirty to sixty days. Emergency shelter staff guide clients through the maze of social services available to them, including social security, Temporary Aid to Needy Families (TANF), employment training and other resources designed to return them to permanent housing. The next phase along the continuum of care is Transitional Housing. Families in transitional housing typically have private to semi-private living quarters. The daily regimen in these facilities is more relaxed than in shelters, but greater responsibilities are placed on the families to adhere to a plan for self-sufficiency. Families typically stay in transitional housing for up to twenty-four months. In FFY2002, the Trust Fund

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assisted its grantees in providing 5,589 bed spaces in emergency shelter and transitional housing facilities.

Supportive Services In addition to housing, the State awarded money to organizations that provide services designed to address issues that may have contributed to the family's homelessness. The range of services include things such as housing counseling, childcare, education, employment training, financial counseling, legal aid, childcare, mental health counseling, primary health care, and substance abuse therapy.

In SFY2003, DCA made 278 ESGP funding awards to organizations that provide housing and other supportive services necessary to break the cycle of homelessness. A daily average of 4,657 individuals were provided housing and a daily average of 11,011 persons received only supportive services.

Training Providers of homeless assistance require ongoing training to stay abreast of innovative social work strategies as well as resources for funding, staff and volunteers -- that's why the Trust Fund invested some $160,000 for a broad range of training opportunities in FFY2002. Twenty-three organizations in Georgia participate in the Best Practices Technical Assistance Program as trainers. This innovative project is devised to have local organizations with expertise in one or more areas of homeless facilities and services to provide peer training to other homeless service providers. The objective of this program is to ensure that homeless service providers have access to tools and resources that will enable them to provide a high quality of services to persons in need of assistance. Training under this program occurs year round in all regions of the state. The Regional Homeless Resource Fairs are designed to facilitate communication between providers and effectively coordinate services offered to homeless families. These fairs were held in eleven of the State's regions this last year. Homeless Services providers and others interested in homeless issues attend these events to exchange ideas, discuss new projects and propose new ways of serving homeless people. The fairs also feature national and local speakers as well as trainers from the Best Practices Technical Assistance Program. Fair participants have opportunities to attend workshops on a variety of topics such as tips for start-up organizations, standards of care and policies and procedures for operating homeless housing. The Trust Fund staff also provides ongoing training to grantees and persons that are interested in starting new homeless projects. The Trust Fund staff performs site-visits to agencies around the state, and during those visits, a range of one-on-one technical assistance support is offered.

Acquisition & Rehabilitation Each year, the State helps local governments and nonprofit organizations acquire land and buildings, or make substantial repairs to facilities used to house or provide service to homeless persons. As there is a growing need for emergency shelter space, the State Housing Trust Fund makes the largest sum of its development budget available to organizations seeking to develop additional space for shelter beds. The Trust Fund awarded over $500,000 for 10 acquisition and rehabilitation projects in SFY2003.

Special Needs Recognizing that some homeless individuals may never become completely independent of charitable assistance from the public and private sector because of the complex nature of their homelessness the Trust Fund has provided funds to aid people that require long-term social and psychological support. These individuals suffer from a range of medical issues to include physical disabilities, mental illnesses, and/or chemical addictions. To keep such persons housed

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and treated, a comprehensive support mechanism is needed. The Trust Fund operated two such programs in SFY2003, Housing Opportunities for Persons with AIDS, and the Shelter Plus Care program.
Housing Opportunities for Persons With AIDS (HOPWA) The HOPWA program serves individuals and families affected by HIV/AIDS. Because this disease often leaves individuals and families financially devastated due to accumulating medical bills and lost wages due to sickness, the State's HOPWA Project Sponsors make rental assistance and supportive services available to eligible persons. For persons impacted by HIV/AIDS, this is a very important phase on the continuum of care. In FFY2002, the State administered $1,897,607 in HOPWA funds to assist twelve (12) Project Sponsors located throughout Georgia in serving persons affected by HIV/AIDS. Of the HOPWA funds expended, $1,112,953 provided 559 units of housing to 621 persons with HIV/AIDS along with 539 additional family members and $699,311 provided supportive services only to 952 persons with HIV/AIDS, and 3,086 persons with HIV/AIDS received housing information. Project Sponsors received $85,343 in HOPWA administration funds. In addition to housing, some of the services provided through the HOPWA Program were case management, outreach, health/medical services, alcohol and drug abuse services, employment assistance, education, nutritional services/meals, permanent housing placement, resettlement assistance, emergency shelter vouchers, life management skills, legal services, mental health services, and transportation. Appendix II provides information on the number of units provided to persons with HIV/AIDS using HOPWA funds during SFY2003 and a comparison to planned actions, as approved in the Consolidated Plan Annual Action Plan for this operating year.
During FFY2002, the State of Georgia had sponsors with HOPWA-developed community housing in the larger communities of Macon, Savannah, and Augusta through the Project Sponsors Central City AIDS Network, Inc., Union Mission (Savannah), Inc., and St. Stephens Ministry of Augusta, Inc. respectively. In addition to community housing and services programs, they offer rental and emergency housing assistance programs. Action Ministries, Inc. also operated community based housing in Carollton, Dalton, Gainesville, Griffin, LaGrange, Rome and other North Georgia communities, and they provided services and short term rent, mortgage and utility assistance. Also of note, the Lowndes County Board of Commissioners recently completed the development of a large, regional AIDS service center in Valdosta.
Also during this contract year AIDS Coalition of Northeast Georgia, Inc., Amethyst Project, Inc., Coastal Area Support Team, Inc., and South Georgia Coalition to End Homelessness, Inc. offered service and scattered site programs located in the smaller communities of Athens, Statesboro, Brunswick, and Valdosta. Also during FFY2002, the State administered HOPWA funds to one new nonprofit agency, Comprehensive AIDS Resource Encounter, Inc. in Jesup and the surrounding 4 counties. And lastly, this year HOPWA funds were allocated to Atlanta based Jerusalem House, Inc. as project sponsor in order to match one of the State's (S+C) grants that the original project sponsor was unable to administer. The State continually strives to find agencies to initiate programs for persons with HIV/AIDS in rural areas where the need is unmet and to assist designated sponsors with the expansion or enhancement of their organizational capacity and/or current programs. This year the State conducted two statewide HOPWA meetings. During these meetings, organizations with HOPWA programs assess their programs, consider new information about HIV/AIDS, and develop annual HOPWA goals. Once HOPWA funds have been awarded to a Project Sponsor, the State provides grant management oversight, which includes technical assistance

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and training as well as monitoring of each HOPWA funded agency. During FFY2002, the State conducted monitoring visits for the HOPWA Program to five Project Sponsors.

To the extent that persons with HIV/AIDS are classified as "homeless" by HUD's definition, housing and services are also available to persons with HIV/AIDS under the ESG Program. According to the State's ESGP grantees, a total of 4,662 persons receiving emergency or transitional housing through the ESG Program reported to have HIV/AIDS during this reporting period.

What follows is a list of the twelve (12) Project Sponsors who drew down HOPWA funds during the period of July 1, 2002 through June 30, 2003, the amount each sponsor received during this period, and the service the sponsor provided.

Project Sponsor
1. Action Ministries, Inc.* 2. AIDS Coalition of Northeast Georgia, Inc.* 3. Amethyst Project, Inc.* 4. Central City AIDS Network, Inc.* 5. Coastal Area Support Team, Inc.* 6. Comprehensive AIDS Resource Encounter, Inc. 7. Jerusalem House, Inc. 8. Lowndes County Board of Commissioners 9. Metro Columbus Task Force for the Homeless, Inc. 10. South Central GA Task Force for the Homeless, Inc. 11. St. Stephens Ministry of Augusta, Inc.* 12. Union Mission (Savannah), Inc.*
Total Amount Expended

Funds Expended
$170,699 $91,291 $77,694 $276,609 $95,001 $5,335 $61,035 $473,000 $87,417 $89,087 $207,175 $263,264 $1,897,607

Service Provided with the State's HOPWA Funds
Housing & Supportive Services Housing & Supportive Services Housing & Supportive Services Housing & Supportive Services Housing & Supportive Services Housing & Supportive Services Housing & Supportive Services Construction /Development Svce Center Housing & Supportive Services Housing & Supportive Services Housing & Supportive Services Housing & Supportive Services

Project sponsors throughout the State experienced a number of barriers to operating the HOPWA Program this year. Several of the State's project sponsors reported that a lack of safe, affordable housing is a problem when trying to find housing for participants who are becoming more independent. Sometimes clients are reluctant to seek services through the local health department due to a perceived lack of confidentiality and lack of services. Credit histories, criminal backgrounds or history of substance abuse can interfere with obtaining housing from Public Housing Authorities and landlords. Language can be a barrier with the growing population of persons in the Hispanic community. A lack of support services such as substance abuse treatment, mental health treatment, and/or employment training continues to be a barrier in many rural counties as well as a lack of AIDS specific support services. Some other barriers are the lack of dental services and educational programs on the prevention of HIV/AIDS. Transportation in the rural areas has also continued to be a barrier for many participants. And finally, community attitudes in regards to the stigma/fear of persons with HIV/AIDS were reported to be a barrier for clients.
There were no specific actions in response to the barriers listed, and the State has no recommendations for the HOPWA Program at this time.
Shelter Plus Care (S+C) Since 1998, the State has been the primary applicant to HUD for Shelter Plus Care Housing. This program provides permanent housing and on-going treatment for homeless persons with disabilities and their families. Persons served by this program primarily have disabilities associated with serious mental illness, chronic problems with alcohol and/or drugs, and

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acquired immunodeficiency syndrome (AIDS) or related diseases. Twelve Community Service Boards that fall under the purview of the Georgia Department of Human Resources deliver services under the S+C program. Their trained staff identifies appropriate housing and provides on-going treatment. Program grants are used to provide rental assistance payments through four components:
Tenant-based Rental Assistance (TRA) Sponsor-based Rental Assistance (SRA) Project-based Rental Assistance with rehabilitation (PRAW) or Project-based Rental
Assistance without rehabilitation (PRA) Section 8 Moderate Rehabilitation Program for Single Occupancy Dwellings (SRO).
During SFY2003, DCA provided assistance through twenty-three sponsors for 395 housing units using $1,431,935 in program funds.
Permanent Affordable Housing The final housing solution for most homeless families is permanent affordable housing. By leveraging funds with the Georgia Department of Community Affairs and the U.S. Department of Housing and Urban Development, the Trust Fund has helped dozens of organizations to acquire land, renovate and build multi-family and single-family units for persons that are lowincome. To support the development of affordable housing projects, the Trust Fund made preliminary commitments to three applicants for assistance under this program. Loan closings are still pending. Construction has been completed on one project and the project as of June 30, 2003 is in the lease-up phase. Two additional projects have commitments of Housing Trust Fund monies totaling $800,000.
Assisting Other Special Need Households
The State administered several programs during SFY2003 to benefit other special need households, in addition to DCA's HOPWA program. While not solely dedicated to assisting special need households, DCA's Section 8, OwnHOME, CHIP, and HOME Rental Housing Loan programs provided assistance to both disabled and elderly households in Georgia. Full descriptions of these programs and their level of assistance to these special need groups can be found in Section I of this document.
Recognizing the need for housing for non-elderly special needs households and their families, DCA developed the Permanent Supportive Housing Program. This program provided for the construction and permanent financing for the cost of constructing or rehabilitating rental housing, and supportive services that are applicable to the needs of the targeted special need population. A full description of this program can be found in Section I of this document.
The increased loan amount available through DCA's OwnHOME program as a result of our partnership with the Georgia office of USDA Rural Development also has resulted in greater assistance to borrowers in rural Georgia. DCA entered into an agreement with USDARD during SFY1997 to provide up to $10,000 as a subordinate mortgage loan to USDA-RD's Direct 502 loan. The OwnHOME loan may be used by the borrower to cover a portion of the borrower-paid closing costs and prepaid expenses and/or to reduce the principal amount of the first mortgage.

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D. ADDRESSING OBSTACLES TO MEETING THE NEEDS OF THE UNDERSERVED
Addressing the Obstacles
The State has recognized in its Consolidated Plan that many obstacles connected to affordable housing issues relate to public perceptions and market factors. However, the State can take actions to address issues pertinent to its regulatory control. Actions taken by DCA during SFY2003 included:
Implementing federal fair housing requirements in association with all HUD-funded housing activities;
Providing housing information to first-time homebuyers, including: Consumer Education Seminars that promote a basic awareness of the advantages and responsibilities of homeownership;
Developing and helping to facilitate a training course "Best Housing We Can Have", in joint partnership with the Georgia Municipal Association and the Association County Commissioners of Georgia through a contractual agreement with Common Focus.
Pursuing federal regulatory changes that will enable the State to more efficiently provide assistance to underserved households.
Examining other State measures that may remove obstacles to the provision of affordable housing opportunities for low and moderate income Georgians.
Continuing to require and to monitor the performance of local governments funded through the State's CDBG program to promote fair housing.
Using mortgage revenue bonds and the Low Income Housing Tax Credit/Georgia Housing Tax Credit to foster and maintain affordable housing opportunities in Georgia.
Supporting the efforts of service providers through the Housing Trust Fund to assist the homeless.
Implementing the Continuum of Care plan to meet the housing needs of families that are homeless or at risk of being homeless in rural areas of Georgia.
Continuing to strive to assist designated HOPWA project sponsors with the expansion or enhancement of their organizational capacity and/or current programs.
Continuing to encourage nonprofit agencies in the southern and southwestern area of the state to initiate HOPWA programs to meet the rural needs of persons with HIV/AIDS in rural areas.
Continuing implementation of a Housing Counseling Program funded through a combination of funds from HUD and the Georgia Housing and Finance Authority that offers pre-purchase and post-purchase counseling services through a partnership with eight regional Consumer Credit Counseling Services (CCCS) agencies across Georgia.
Offering Spanish language brochures and workbooks for DCA's home buyer programs to enable Georgia's Hispanic population better access to this assistance.
Making special efforts to work with rural communities in Georgia to encourage the development of affordable housing for the region's workforce population.

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Offering a set-aside of DCA's OwnHOME funds for selected developments in rural Georgia to encourage the new construction of single family homes in these communities.
Contracting with the University of Georgia to complete data to identify the State of the State's Housing for each of Georgia's twelve service delivery regions.
Continuing DCA's Rural Rental Housing Development Fund to provide education on the housing development process to participating Public Housing Authorities.
Assisting Households with a Disproportionate Housing Need
The State has recognized in its Consolidated Plan the existence of a disproportionate need for housing on the part of some Hispanic, black, and elderly households types. The State continued to provide incentives through its various programs that encourage the development of affordable housing opportunities for households of these groups.
To further encourage this effort, DCA's Office of Affordable Housing (OAH) continued to modify its policies for funds awarded during SFY2003 to enhance the competitiveness of applications in which:
The developer has entered into an agreement with the local public housing authority to give priority to public housing tenants and to households on the waiting list for a unit in public housing.
The project addresses affordable housing for elderly (age 62+) citizens with incomes at or below 60% of the area median income.
The project holds and rents at least 50% of the total dwelling units to Special Needs households (excluding elderly households) with provisions for supportive services.
The project reserved and rented a greater share of the total units to very low income households, those earning less than 50% of the area median income.
In addition, the State continued to actively market its Single Family Home Buyer and OwnHOME programs to real estate and mortgage companies operating in neighborhoods with high minority concentrations. DCA utilized print advertising, brochures, and housing fairs in order to promote greater awareness across Georgia.
A Single Family Marketing Coordinator fluent in Spanish was hired in an effort to reach the Hispanic population that does not speak English. Also, DCA partnered with Blueprints for the American Dream: Gilmer County's Latino Workforce Housing Initiative. The initiative works with various federal, state, and local community agencies to provide quality, affordable housing. To date, the initiative has generated $1.5 million in the construction of 11 new homes.
E. ELIMINATING BARRIERS TO AFFORDABLE HOUSING
During SFY2003, DCA continued important program modifications to help eliminate barriers to affordable housing and open the access to decent, safe, sanitary, and affordable housing for Georgia's most under-served households.
As part of its funding round awarded during SFY2003, the OAH awarded extra points in the project scoring process to projects serving non-elderly special need households, including the homeless. To receive these points, at least fifty (50) percent of a development's units must be reserved and rented to either formerly homeless individuals or families, persons with

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HIV/AIDS, persons recognized by federal or state government with other special need, or migrant farm workers. Supportive services applicable to the needs of the designated special need tenants must also be provided by an experienced, licensed provider of such services.
The Office of Single Family Housing within DCA has developed a written brochure in Spanish that describes the OwnHOME and Home Buyer programs for potential low-income buyers. A Spanish version of the Housing Counseling Workbook entitled "Su Casa Propia" is also available. Also, DCA continued its collaboration with the Georgia Chapter of the Home of Your Own Alliance (HOYO) to help eliminate the barriers to purchasing a home by qualified, disabled individuals.
During SFY2003, DCA continued its effort to spur the production of moderate income single family housing in rural communities with significant unmet workforce housing needs. This Development Based OwnHOME allocation for single family housing is a demonstration program to help DCA determine if targeted home buyer assistance will improve the market for new moderately priced housing in these areas. As with the standard OwnHOME program, funds may be used by borrowers for downpayment assistance, closing costs, pre-paid items. In addition, the funds may be used to reduce the principal of the borrowers first mortgage. The maximum amount of OwnHOME funds available to each borrower is $5,000. DCA also modified its Permanent Supportive Housing Program that offers construction and permanent financing to develop affordable rental housing with supportive services available to the targeted tenant population. The State also will convert the required number of tenantbased rental assistance to project-based rental assistance within funded developments. Adding this project-based rental assistance makes these units affordable to the targeted residences.
DCA's Rural Rental Housing Development Fund also provide critical educational instruction to representatives of small, local public housing authorities on the housing development process. In many rural Georgia communities, no private sector developers are creating affordable rental housing. Because of their skills in managing rental units, many small housing authorities can fill that gap. Once the educational component to the RRHDF program is completed, participants submit a funding application to DCA for the construction and permanent financing of up to ten rental units.
F. OVERCOMING GAPS IN INSTITUTIONAL STRUCTURE AND ENHANCING COORDINATION
The State also continued to take steps during SFY2003 to meet its priority: To increase coordination, strengthen linkages and encourage the formation of partnerships between Georgia's private sector housing developers, financial institutions, nonprofit organizations, public sector agencies, foundations, and other providers. The State's efforts included:
Continuing to implement the Community HOME Investment Program (CHIP) to provide eligible local governments access to both HOME and CDBG funds through a single, coordinated application process for the implementation of approved and eligible housing and community development activities within their communities.
Continuing the State's informal efforts to work with other governmental agencies, nonprofit organizations, housing developers, financial institutions, foundations and other providers to create effective solutions to the housing needs of Georgians.

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Continuing the State's participation in various forums and networks from across the state which address affordable housing, homelessness or the housing issues of special needs groups.
Continuing the State's Empowerment Zone/Enterprise Community (EZ/EC) initiatives assisting EZ/EC communities in Georgia. Projects include property acquisition, consulting service contracts for neighborhood master plans, and renovation of industrial parks.
Implementing Georgia's Home Buyer and OwnHOME programs through a network of private sector, participating lenders and in cooperation with fourteen nonprofit housing counseling agencies.
Participating and facilitating homebuyer/educational fairs attended by people interested in buying their first home.
Making available DCA's Internet web site to increase access to information on Georgia's affordable housing and community development needs and to promote the availability of its programs with its current and future partners.
Continuing of DCA's Community Housing Initiative to support local officials and leaders achieve their community goals, strengthen downtown revitalization, rejuvenate deteriorating or blighted neighborhoods, and create economic benefits and a stronger tax base through the use of established DCA resources and programs. One facet of this effort was DCA's involvement in the National League of Cities affordable housing program through assistance to the communities of Darien, Dublin, Jesup, McDonough, Monticello, and Waynesboro.
Offering educational training to local officials through DCA's "Best Housing We Can Have" class to heighten awareness of housing issues in their communities. This class is offered in cooperation with the Georgia Municipal Association. Approximately 50 individuals were trained this year. This class was also offered in cooperation with the Association County Commissioners of Georgia with approximately 30 individuals receiving training.
Providing education to local economic development officials through the Georgia Academy for Economic Development to highlight the role of work force housing in local economies and its importance to each community's economic development efforts.
Continuing implementation of a Continuum of Care Plan and established network of providers.
Continuing the State's response to AIDS by collaborating with Ryan White Consortiums, GA Department of Community Health, and the Statewide HIV Prevention Program on our commitment to providing safe, decent, and affordable housing for our most vulnerable citizens living with HIV/AIDS and their families.
Continuing to facilitate a proactive dialog about preventing and eliminating homelessness, the Trust Fund regularly convenes meetings of the State Homeless Advisory Council. The council is composed of twenty-five representatives from the

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homeless service provider community, local government providers, nonprofit organizations, ecumenical community and many others interested in addressing issues of homelessness. This past year the State was awarded funds form HUD for a comprehensive Homeless Management Information Systems (HMIS) initiative.
Continuing DCA's collaboration with the Georgia Department of Human Resources through the Georgia Mental Health Planning Council with the goal of ending chronic homelessness and in procuring mainstream resources for homeless services.
Continuing DCA's collaboration with the Collaborative Initiative to Help End Chronic Homelessness. This past year, DCA submitted a collaborative application to HUD, the U.S. Department of Health and Human Services (HHS), and the U.S. Department of Veterans Affairs (VA) by the Georgia Department of Community Affairs serving as the lead applicant along with Progressive Redevelopment, Inc., Grady Health System, Saint Joseph's Mercy Care Services, Inc., and Atlanta Veterans Affairs Medical Center for permanent supportive housing of chronically homeless persons with disabilities.
Continuing DCA's collaboration with local agencies in applying for federal funds to create programs that serve persons who are chronically homeless. This past year, DCA submitted a collaborative application to HUD and the U.S. Department of Labor (DOL) by the Georgia Housing and Finance Authority, the Atlanta Workforce Development Authority, the Cooperative Resource Center (CRC), and St. Jude's Recovery Center, Inc. to provide permanent supportive housing and job readiness training for chronically homeless persons.
Providing pre-purchase and post-purchase Housing Counseling programs through Consumer Credit Counseling agencies across the State of Georgia.
Continuing DCA's partnership with ten local public housing authorities through Georgia HAP Administrators, Inc., a nonprofit that received the contract to provide Section 8 HAP Contract Administration services to HUD in Georgia.
Implementing the Housing Georgia 2002/Magnolia Awards for Excellence in Housing event to enable Georgia's affordable housing community to come together to celebrate extraordinary achievements in housing. Awards were given in seven categories and award finalist made presentations describing their achievements to conference participants.
G. FOSTERING AND MAINTAINING AFFORDABLE HOUSING
All of the programs implemented by DCA using any of the consolidated program funds are designed to foster and maintain affordable housing opportunities across Georgia. The programs and production activity described in Section I serve as evidence of the state's commitment to this objective.
H. RESULTS OF ON-SITE INSPECTIONS OF AFFORDABLE RENTAL HOUSING ASSISTED WITH HOME
During SFY2003, DCA followed its established HOME Audit Policies and Procedures to monitor developments funded through its HOME Rental Housing Loan program. Currently, DCA regularly monitors 59 properties and will continue this effort through the expiration of

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each properties period of affordability. In an effort to ensure that the property owners understand on-going compliance requirements, notification of upcoming training and detailed HOME management packages (including all required Compliance Forms) are given to the participants at the Pre-Construction Conferences.
Individual "hands-on" project-specific training is offered to each staff at each development prior to the start of lease-up. The owner, management company, and on-site manager are encouraged to attend the training. During SFY2003, DCA provided training to 33 developments or 62 staff members of HOME funded developments. DCA's Compliance staff also continues to attend industry held training to further enhance DCA's ability to serve the HOME multifamily projects.
DCA's Compliance staff continues to place emphasis on reviewing Affirmative Fair Marketing and accessibility issues. Updates of the Marketing Plan are reviewed and SelfEvaluation/Transition Plans for accessibility are requested.
An Annual Owner Certification of Compliance with HOME rules and regulations was instituted in SFY1999 and is now an on-going requirement. All HOME property owners are required to submit this certification to DCA each February.
I. EVALUATING AND REDUCING LEAD-BASED PAINT HAZARDS
In 1994, three State agencies came together to develop a coordinated strategy to address Georgia's lead-based paint hazards. These agencies are (1) the Georgia Department of Human Resources (DHR), Division of Public Health, through implementation of the CDC funded Georgia Childhood Lead Poisoning Prevention Program, (2) the Georgia Department of Natural Resources which is responsible for certification of lead abatement contractors and professionals and implementation of Georgia's "Lead Poisoning Prevention Act of 1994, as amended," and (3) the Georgia Department of Community Affairs (DCA) which administers the HUD funded Community Development Block Grant (CDBG) and other housing programs. One of the outcomes of this collaboration was the DCA applied for and was awarded competitive HUD funds to implement the Georgia Lead Safe Homes Demonstration Project.
The efforts of these agencies continued during the current report period. The following are some of the more significant accomplishments during SFY2003:
The DHR, Public Health Division continued to implement the Georgia Childhood Lead Poisoning Prevention Program (CLPPP). The Division of Public Health provides the following services using CDC funds: 1) Identification of sources of exposure through the use of public health environmentalists; 2) Medical case management and treatment through local health departments of children identified with elevated blood lead levels; and 3) Community education through the provision of public and professional information relating to the lead hazard issue.
The Department of Natural Resources continued to identify and certify lead abatement contractors, workers, risk assessors, inspectors and firms, and continued to inspect lead abatement work at job sites.
DCA continued to implement the HUD funded Lead Safe Homes Demonstration Program. The $5.7 million in HUD Lead Hazard Reduction Grant funds is matched with

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state CDBG and other funds. Most funds are used for actual lead abatement work, lead hazard testing and risk assessments, training, and temporary relocation assistance. The Lead Safe Homes Demonstration Program ended December 31, 2002. The grant enabled 412 units to be accessed for lead hazard, 177 units to be completed and cleared of lead hazards, and allowed 150 individuals to receive lead certification for Supervisor, Worker, Risk Assessor and Inspector.
DCA has continued to train lead abatement contractors and risk assessors working with Demonstration Program recipients. Several sessions were held and a majority of the attendees achieved certification under the DNR regulations. A majority of the new certifications were issued to small and/or minority firms or individuals.
DCA awarded a contract to the Georgia Institute of Technology to study the incidence of childhood lead poisoning and the locations of homes and daycare facilities with lead hazards.
J. IMPROVING PUBLIC HOUSING AND RESIDENT INITIATIVES
DCA does not have an ongoing financial relationship with local public housing authorities in regards to traditional public housing. However, DCA established the Rural Rental Housing Development Fund to provide funds to eligible public housing authorities for the construction of up to ten (10) units of rental housing targeted to low/moderate income families in rural areas of the State in which the larger HOME Rental Housing Loan Program projects are not economically feasible. Selected participants also received training and technical assistance on the housing development process in an effort to build the capacity and number of rental housing developers in rural Georgia.
K. ACTIONS TO REDUCE THE NUMBER OF POVERTY LEVEL FAMILIES
While a solution to assisting the significant number of Georgians living in poverty is beyond the scope of the four HUD formula programs, the implementation of the housing and community development programs as described in Section I has assisted in the alleviation of some of the conditions of poverty manifested in poor or overcrowded housing, lack of jobs and deteriorated neighborhoods. The grants the State made to local governments and nonprofit service providers helped persons and families in poverty.
During FFY2002, CDBG set-aside funds for the Employment Incentive Program resulted in the award of 28 grants for the creation of new jobs for lower income persons as well as job training. The additional income generated by the creation of new jobs should help lift families above the poverty level.
L. CARRYING OUT THE ACTIONS IDENTIFIED IN THE STATE'S CONSOLIDATED PLAN
The actions identified in Part I and Part II of this performance report indicate the State's commitment to carrying out the activities identified in its Annual Action Plan for FFY2002 Consolidated Funds. DCA has administered all of the consolidated resources that it planned to receive from HUD and moved to implement its housing and community development activities with the goal of meeting the priorities established in the State of Georgia's Consolidated Plan.
In addition, the State acted to assist other entities seeking funds for projects that also further these priorities. During SFY2003, the DCA approved Certifications of Consistency with its Consolidated Plan for 13 proposed projects, including:

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Application to HUD by the Gospel Tabernacle for Section 202 funds to develop 45 one bedroom independent living units for the elderly.
Application to HUD by Phase, Inc for Section 514 and 516 funds to develop a 23unit multi-family development, which is a year round farm labor housing development, targeting the area's seasonal low to moderate-income farmworkers.
Application to HUD by the Easter Seals Southern Georgia for Section 811 funds to construct an eight-unit apartment complex for persons with developmental disabilities in Waycross.
Application to HUD by Evangel Temple for Section 202 funds to construct a 30-unit apartment complex to serve very-low, low and moderate-income elderly persons in Valdosta, Georgia.
Application to HUD by Arc Cobb for Section 811 funds to construct a four-person group home in Cartersville, Georgia for persons with developmental disabilities.
Application to HUD by the Cherokee Training Center, Inc., for Section 811 funds to construct a four-person group home in Woodstock, Georgia for persons with disabilities.
Application to HUD by VOA Southeast, Inc., for Section 811 funds for the construction of a four-bedroom group home in Rossville, Georgia for persons with developmental disabilities.
Application to HUD by VOA Southeast, Inc., for Section 202 funds to develop a 34unit apartment complex for the elderly in Waycorss, Georgia.
Application to HUD by the Georgia Department of Community Affairs Balance of State Continuum of Care (CoC) for Continuum of Care SuperNOFA funds that would provide permanent supportive housing, transitional housing, and/or essential services for homeless persons/homeless disabled persons through separate grants to 25 various non-profit agencies located throughout the State.
Application to HUD by VOA Southeast, Inc., for Section 811 funds for the construction of a 13-unit apartment complex in Griffin, Georgia to serve as a residential option to twelve elderly persons.
Application to HUD by VOA Southeast, Inc., for Section 811 funds for the construction of a 13-unit apartment complex in LaFayette, Georgia to serve as residential options for persons with developmental disabilities.
Application to HUD by VOA Southeast, Inc., for Section 811 funds for the construction of a 13-unit apartment complex in Waycross, Georgia to serve as residential options for persons with chronic mental illnesses.
Application to HUD by Arc Cobb for Section 811 funds for the construction of a four-person group home in Marietta, Georgia to serve as a residential alternative to people with developmental disabilities.
No requests submitted were determined to be incompatible with the Consolidated Plan.
During SFY2003, DCA also reviewed the Agency Plans of local public housing authorities for consistency with the State's Consolidated Plan. DCA reviewed 29 plans during the program year.
M. CITIZEN PARTICIPATION
A comprehensive effort was undertaken to disseminate draft versions of this Consolidated Plan Annual Performance Report in conformance with the State's Citizen Participation Plan. DCA placed advertisements on Thursday, September 11, notifying the public of the document's availability upon request from the offices of the DCA. Advertisements were

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placed in the following newspapers: Albany Herald, Athens Banner-Herald, Atlanta JournalConstitution, Augusta Chronicle, Columbus Ledger, Macon Telegraph, Rome News-Tribune, and Savannah News-Press. The document was also made available to the public on DCA's web site.
Written comments were due by 5:00 p.m. on Thursday, September 25th in compliance with the required fifteen-day review period. DCA received no public comments by this deadline.

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III. ASSESSMENT OF ANNUAL PERFORMANCE
A. EVALUATION OF PROGRESS IN MEETING GEORGIA'S OBJECTIVES TO PROVIDE AFFORDABLE HOUSING
The State continues to make significant progress in or toward meeting its housing priorities established in its five-year strategy with the Consolidated Plan. The State assisted 69,795 households with housing and shelter assistance funded through HOME, CDBG, ESGP or HOPWA during SFY2003
To meet its rental housing priority, the State projected it would rehabilitate or construct affordable, rental housing units for 209 extremely low, 379 low and 257 moderate-income households. During SFY2003, the State actually assisted in the rehabilitation or construction of rental housing for 213 extremely low, 181 low and 116 moderate-income households using HOME funds.
To meet its rental housing priority, the State also projected it would provide 4,879 extremely low, 3,266 low and 693 moderate-income households with rental assistance. During SFY2003, the State estimates that it assisted 11,969 extremely low, 3,559 low, and 647 moderate income households with rental assistance through the Section 8 program. Overall production was higher than projected.
To meet its homeownership priority, the State projected it would assist 83 extremely low, 450 low and 501 moderate income households to achieve or maintain homeownership in housing free of overcrowded and structurally substandard conditions. During SFY2003, the State actually assisted 68 extremely low, 117 low and 416 moderate-income households achieve this goal using HOME and CDBG funds.
To meet its priority regarding homelessness, the State projected it would make funding awards to organizations to provide an average 10,200 persons daily with housing and supportive services which address the housing, economic, health and social needs of the homeless. One of the State's goals is to provide a range of services and activities that have a measurable, major impact on conditions of poverty in the community. The Continuum of Care network has allowed DCA to increase the capacity level of organizations providing services. During SFY2003, the ESGP program distributed 77 funding awards -- 66 (86%) grants in urban areas and 11 (14%) in rural areas of Georgia. These funding provided housing and/or services to 11,011 individuals daily. Approximately 4,657 individuals were housed daily.
To meet its priority regarding special need households, the State anticipated making funding awards to provide housing and supportive services necessary to assist 429 special need households to achieve decent, safe and sanitary living conditions. DCA assisted 2,048 elderly households through the HOME, ESG, and CDBG programs; as well as 295 families and 4,659 individuals through the HOPWA program during SFY2003.
B. Evaluation of Progress in Meeting Georgia's Community Development Objective
The primary long term objective of the State of Georgia's CDBG Program, as stated in the FFY2002 Consolidated Plan, is to develop viable communities by providing decent housing

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and a suitable living environment and expanding economic opportunities, principally for low income and moderate income persons.
In general, our evaluation is that the State is making significant progress in meeting this objective. This conclusion is based on the number and type of grants awarded and the numbers of persons benefiting from these projects.
During the program year covered by this report, 142 awards to local units of government were made with CDBG funds Table 6: Analysis of CDBG Competition for Program Year 2002 (7/1/02 6/30/03), presents the number of persons expected to benefit from these CDBG funds. Over 90% of these persons are low and moderate-income persons.
One major obstacle to meeting the objective is the reduction is the amount of CDBG funds available to the State. Over the past few years Congress has held steady on the overall amount of funding but has also set-aside millions of dollars for congressional mandated priorities. These set-asides significantly reduce the amount of funds available to the State and seem to contradict the currently favored "block grant" approach. In addition, because the overall appropriation from Congress has not changed over the past several years, while construction prices continue to increase, the effective "buying power" of the funds available has declined.
In looking at how funds have been allocated over the past several years, we have noted a reduction in the amount of CDBG funds requested and awarded to local governments for housing rehabilitation. For example, results of the FFY1999 CDBG competition indicate that 127 homes will be rehabilitated or reconstructed using funds from that allocation. For FFY1998 the figure was 123 housing units. This figure has declined since the FFY1994 competition when 486 housing units were scheduled to be rehabilitated or reconstructed. FFY1994 is referenced because the competition was actually held during the State Program Year 1995 - the first year of the Consolidated Plan.
This reduction is off set in part by the decision in 1997 to set-aside some of the State's HOME allocation to be used for a local government housing improvement program (known as CHIP). This HOME set-aside is distributed in the same manner and at the same time as the regular annual CDBG competition. Given the inherent flexibility of the HOME Program, it is understandable that local governments interested in improving housing are making applications to CHIP for housing and CDBG for economic development and infrastructure projects. The FFY2002 CHIP program will eventually rehabilitate or reconstruct approximately 73 homes and assist in the creation of an additional 50 new affordable housing units occupied by low and moderate-income families. Additionally, an estimated 53 households will receive acquisition and/or downpayment assistance for a home.
C. Changes to Program Objectives
The State does not propose any changes to its program objectives as a result of this evaluation of its progress in meeting its Consolidated Plan goals. The State will continue to regularly refine and expand the availability of funding opportunities to best meet the needs of Georgia. Any changes will be reflected in the State's Annual Action Plan for FFY2003 Consolidated Funds or, if necessary, through an amendment submitted to HUD.
D. Assessment of Efforts in Relation to the Consolidated Plan

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SFY2003 was a significant year in the implementation of affordable housing and community development programs to benefit Georgia's low and moderate-income households. The Georgia Department of Community Affairs serves as the lead agency in the evaluation and the implementation of HUD's four consolidated formula programs--Community Development Block Grant (CDBG), HOME Investment Partnership (HOME), Emergency Shelter Grant (ESGP), and Housing Opportunity for People with AIDS (HOPWA). The objectives and the investment of resources are established in both the Strategic/Action Plans for the State. DCA has continued to evaluate/refine its efforts in respect to program implementation. Internally, work groups have been established within DCA to address issues that may impact capacity and service delivery.
The State continued to implement the Community HOME Improvement Program which makes HOME and CDBG funding available to local governments through a single application for the implementation of comprehensive community strategies. In addition, DCA continues to implement existing programs using HUD funds which have been widely successful, including the OwnHOME program, the CDBG Regular Annual Competition, the Emergency Shelter Grant, the Housing Opportunities for People with AIDS, CHIP, and HOME Rental Housing programs.
The number of loans made through the OwnHOME program totaled 323, accounting for $977,506 in assistance. Approximately 91% of these loans were in MSAs, while 9% were located in non-MSA or rural counties. During SFY2003, DCA continued its efforts to expand the availability of these programs by targeting and making outreach to special need/rural populations.
DCA has also afforded increased opportunities for the sharing of experiences and expertise regarding affordable housing issues. The Continuum of Care Plan maximizes the broad spectrum of services available to special needs populations, especially the homeless. Proposed actions have included technical assistance to local governments in the adoption of ordinances and the continued support of the Community Planning Institute. In terms of production improvements, the State has sought to increase the capacity and responsiveness of housing assistance providers, including local nonprofit organizations.
Thus, the State's efforts in SFY2003 continued to address its priorities and objectives related to affordable housing and community development issues and the administration of related HUD-funded programs. As a result, the State of Georgia concludes that significant progress has been made to address the priorities and objectives outlined in its Consolidated Plan document.
The State continues to refine existing programs and implement new programs that promote opportunities for enhanced living conditions of low and moderate income Georgians. DCA does not currently propose any changes to its programs as a result of this performance assessment.

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APPENDIX I
LOCATION OF INVESTMENTS
This section provides information on the investment of consolidated formula funds within each county during SFY2003. Please note that ESGP, HOPWA, and CDBG investment figures are equal to the amount of funds awarded within each county. HOME investment amounts are equal to the total of funds used in all projects funded through the CHIP, HOME Rental Housing Loan, HOME Predevelopment Loan, and various OwnHOME programs in which a project completion report was filed during SFY2003. Investments are also provided for the CHDO Predevelopment Loan and CHDO Operating Assistance programs if a loan was closed or grant awarded during SFY2003.
Please note that for the ESGP and the HOPWA programs, the listing that follows only includes the county where the nonprofit agency providing housing and/or services is located, and may not actually reflect the total of the counties that are actually in each agency's service area.
No investment of funds from any of the consolidated formula programs occurred in SFY2003 in the following counties: Baker, Banks, Bleckley, Bryan, Candler, Chattahoochee, Chattooga, Dade, Dawson, Early, Elbert, Fayette, Franklin, Hancock, Harris, Heard, Jackson, Jenkins, Johnson, Lincoln, Miller, Monroe, Morgan, Oconee, Pickens, Polk, Stephens, Stewart, Telfair, Towns, Treutlen, Upson, Washington, Webster, Wheeler, White, and Wilkinson.

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Appling HOME
Atkinson CDBG HOME
Bacon HOME
Baldwin CDBG ESGP
Barrow CDBG ESGP HOME
Bartow CDBG ESGP HOME
Ben Hill HOME
Berrien CDBG
Bibb ESGP HOME HOPWA
Brantley CDBG
Brooks CDBG
Bulloch CDBG ESGP HOME HOPWA
Burke CDBG

$29,000
$500,000 $92,420
$68,139
$100,000 $4,700
$218,138 $22,400 $14,786
$250,000 $16,600 $10,013
$190,459
$850,000
$117,300 $7,502
$371,200
$378,954
$400,000
$50,000 $85,000 $58,393 $153,500
$439,075

Butts HOME
Calhoun CDBG
Camden CDBG ESGP HOME
Carroll CDBG ESGP HOME
Catoosa CDBG
Charlton CDBG HOME
Chatham ESGP HOME HOPWA
Cherokee ESGP HOME
Clarke ESGP HOPWA
Clay CDBG
Clayton ESGP HOME
Clinch CDBG
Cobb ESGP

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$3,590
$994,325
$50,000 $2,500 $76,939
$500,000 $50,000 $59,377
$500,000
$550,000 $94,143
$617,800 $14,657 $614,193
$8,100 $27,613
$192,200 $69,500
$500,000
$73,100 $66,622
$798,000
$346,000
Georgia Department of Community Affairs

HOME Coffee CDBG HOME
Colquitt CDBG ESGP
Columbia CDBG HOME
Cook CDBG ESGP HOME
Coweta CDBG HOME
Crawford CDBG
Crisp CDBG HOME
Decatur CDBG HOME
DeKalb ESGP HOME
Dodge CDBG
Dooly CDBG HOME
Dougherty CDBG ESGP HOME

$61,665 $796,747 $93,209
$215,530 $5,000
$500,000 $8,590
$1,298,359 $23,400 $36,170
$489,499 $120,499
$500,000
$1,960,883 $4,292
$472,500 $44,378
$347,600 $165,083
$1,000,000
$810,200 $126,626
$50,000 $228,500
$6,109

Douglas
SFY2003 Consolidated Plan Annual Performance Report

ESGP HOME
Echols CDBG
Effingham HOME
Emanuel CDBG HOME
Evans HOME
Fannin ESGP
Floyd ESGP HOME
Forsyth ESGP HOME
Fulton ESGP HOME HOPWA
Gilmer CDBG
Glascock CDBG
Glynn CDBG ESGP HOPWA
Gordon HOME
Grady HOME
Greene
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$41,000 $42,779
$500,000
$13,754
$850,000 $67,753
$69,891
$11,300
$24,000 $17,650
$10,000 $2,068
$2,434,978 $98,028 $227,100
$440,400
$500,000
$500,000 $5,000
$164,400
$20,000
$10,000
Georgia Department of Community Affairs

CDBG

$577,078

Gwinnett ESGP HOME

$80,000 $28,590

Habersham CDBG ESGP HOME

$783,269 $13,200 $9,000

Hall ESGP HOME

$23,500 $188,779

Haralson CDBG

$500,000

Hart ESGP

$6,000

Henry CDBG ESGP HOME

$500,000 $12,600 $51,417

Houston ESGP HOME

$41,100 $29,745

Irwin CDBG HOME

$678,648 $110,912

Jasper CDBG

$69,500

Jeff Davis HOME

$62,835

Jefferson CDBG

$556,750

Jones CDBG HOME

$1,000,000 $4,379

Lamar HOME Lanier CDBG

$1,695 $20,838

SFY2003 Consolidated Plan Annual Performance Report

Laurens CDBG ESGP
Lee CDBG HOME
Liberty CDBG ESGP HOME
Long HOME
Lowndes CDBG ESGP HOME HOPWA
Lumpkin CDBG ESGP
Macon CDBG HOME
Madison CDBG
Marion CDBG
McDuffie CDBG
McIntosh CDBG HOME
Meriwether CDBG HOME
Mitchell CDBG
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$1,500,000 $17,000
$500,000 $3,064
$500,000 $7,000
$116,792
$1,765
$800,000 $140,800 $285,446 $390,300
$350,000 $7,900
$367,358 $99,133
$500,000
$39,072
$570,000
$493,654 $20,000
$50,000 $2,262
$312,860 Georgia Department of
Community Affairs

HOME
Montgomery CDBG
Murray CDBG
Muscogee ESGP HOME HOPWA
Newton HOME
Oglethope CDBG
Paulding ESGP HOME
Peach CDBG HOME
Pierce CDBG
Pike CDBG HOME
Pulaski CDBG
Putnam CDBG
Quitman CDBG
Rabun CDBG

$7,500
$1,000,000
$50,000
$141,900 $10,169 $115,162
$54,856
$549,000
$15,000 $50,754
$500,000 $2,726
$399,581
$622,331 $3,026
$25,000
$289,362
$500,000
$50,000

Randolph CDBG HOME

$1,252,597 $109,612

SFY2003 Consolidated Plan Annual Performance Report

Richmond ESGP HOPWA
Rockdale ESGP HOME
Schely CDBG
Screven CDBG
Seminole CDBG
Spalding ESGP HOME
Sumter CDBG HOME
Talbot CDBG HOME
Taliaferro CDBG
Tattnall CDBG
Taylor ESGP
Terrell CDBG
Thomas CDBG ESGP HOME
Tift CDBG
Toombs
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$413,138 $220,794
$25,000 $4,933
$500,000
$262,840
$1,000,000
$5,000 $12,711
$707,910 $136,803
$550,000 $4,726
$1,000,000
$535,388
$30,000
$500,000
$939,576 $20,130 $6,397
$500,000
Georgia Department of Community Affairs

CDBG HOME
Troup ESGP HOME
Turner CDBG HOME
Twiggs CDBG
Union CDBG ESGP
Walker ESGP HOME
Walton CDBG ESGP HOME Ware HOME

$1,299,500 $70,512
$14,800 $18,831
$464,410 $2,336
$500,000
$500,000 $55,000
$15,000 $12,864
$1,000,000 $1,000 $2,344 $80,959

Warren CDBG
Wayne ESGP HOME HOPWA
Whitfield ESGP
Wilcox CDBG HOME
Wilkes CDBG
Worth HOME

$1,006,000
$4,200 $18,433 $21,400
$30,800
$500,000 $45,122
$277,000
$88,808

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APPENDIX II
PERFORMANCE OF THE HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS (HOPWA) PROGRAM
This section provides information on the number of units provided to persons with HIV/AIDS using HOPWA funds during SFY2003 and a comparison to Planned Actions, as approved in the Action Plan/Consolidated Plan for this operating year.
The following definitions apply to terms used previously in this report and on the following two HOPWA performance charts:
ROWS: 1. Rental assistance means some form of on-going rental housing subsidy for the individual or household, such as tenant-based rental assistance payments or other scatter-site units that may be leased by the client, where the amount is determined based in part on household incomes and rent costs.
2. Short-term or emergency housing payments means some form of limited subsidy, a onetime emergency payment, or payments made over a limited time period to prevent the homelessness of a household, e.g. HOPWA short-term rent, mortgage and utility payments within a 21 week period.
3-a. Units in facilities supported with operating costs means units and costs for leasing, maintaining or operating the housing facility, such as a community residence, SRO dwelling or other multi-unit dwelling; project-based rental assistance and sponsor leasing costs should be counted in this category as well as costs for minor repairs or other maintenance costs, costs for security, operations, insurance, utilities, furnishings, equipment, supplies, other incidental costs in providing housing to clients in these units.
3-b. Units in facilities that were developed with capital costs and opened and served clients means units and costs for the development or renovation of a housing facility, such as a community residence, SRO dwelling or other multi-unit dwelling, where costs for acquisition of the unit, new construction or conversion; substantial or non-substantial rehabilitation of the unit were expended during the period and the number of units reported were used by clients for some part of this period.
3-c. Units in facilities being developed with capital costs but not yet opened means units and costs for the development or renovation of a housing facility, such as a community residence, SRO dwelling or other multi-unit dwelling, where costs for acquisition of the unit, new construction or conversion; substantial or non-substantial rehabilitation of the unit were expended during the period BUT the unit was still in development and not yet used by a client during the period.
After providing a subtotal of the number of units from all categories, please use the deduction for units reported in more than one category line to correct for duplication in the number of units.

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TOTAL means the non-duplicated number of units of housing that were dedicated to persons with HIV/AIDS and their families that were supported with HOPWA and other funds, during this operating year.
COLUMNS: Amount of Grantee and other funds means the amount of funds that were expended during the reporting period from non-HOPWA sources that are under the control of the Grantee or sponsors in dedicating assistance to this client population. Ryan White CARE Act funds or other assistance that is not directly providing housing assistance or other residential support, to the degree that this practicable has not been included in this report.
Deduction for units reported in more than one column line corrects for duplication in the number of units, e.g. if more than one funding source is used for that unit.
TOTAL by type of unit means the non-duplicated number of units of housing (by type of housing) that were dedicated to persons with HIV/AIDS and their families and that were supported with HOPWA and other funds, during this operating year.

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Report covers the period: 7/1/2002 to 6/30/2003

Performance Chart 1 -- Actual Performance. Types of Housing Units Dedicated to Persons with HIV/AIDS which were Supported during the Operating Year

Type of Unit: 1. Rental Assistance

Number of units with HOPWA funds
94

Amount of HOPWA funds
$195,578

Number of units with Grantee and other funds
0

Amount of Grantee and other funds
0

Deduction for units reported in more than one column
0

TOTAL by type of unit
94

2. Short-term/emergency 368

$187,595 0

0

0

368

housing payments

3-a. Units in facilities

97

$729,780 0

0

0

97

supported with operating

costs

3-b. Units in facilities that 0

0

0

0

0

0

were developed with

capital costs and opened

and served clients

3-c. Units in facilities

0

0

0

0

0

0

being developed with

capital costs but not yet

opened

Subtotal

559

$1,112,95 0

0

0

559

3

Deduction for units

0

0

0

0

0

0

reported in more than one

category

TOTAL

559

$1,112,95 0

0

0

559

3

Performance is measured by the number of units of housing that were supported with HOPWA or other Federal, State, local and private funds for the purposes of providing housing assistance or residential support to persons living with HIV/AIDS and their families. Note that this chart does not directly measure supportive service costs nor does it measure persons with HIV/AIDS who received housing or services under the State's Emergency Shelter Grant Program (ESGP). To the extent that persons with HIV/AIDS are homeless, they are eligible to receive housing and/or services under the ESG Program. According to beneficiary data collected on clients who received housing through the State's ESG Program, 4,662 individuals reported that they had HIV/AIDS.

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Report covers the period: 7/1/2002 to 6/30/2003

Performance Chart 2 -- Comparison to Planned Actions, as approved in the Action Plan/Consolidated Plan for this Operating Year (Estimated Numbers of Units)

Type of Unit: 1. Rental Assistance

Estimated Number of Units by type in the approved Consolidated Plan/Action Plan for this operating year
169

Comment, on comparison with actual accomplishments (or attach)
-75

2. Short-term or emergency

564

housing payments

3-a. Units in facilities

82

supported with operating costs

3-b. Units in facilities that

0

were developed with

capital costs and opened

and served clients

3-c. Units in facilities

0

being developed with capital costs but not yet

opened

Subtotal

815

Deduction for units

0

reported in more than one

category

TOTAL

815

-196 -15 +0
0
+256** 0
+256**

** During FY2002-03, while the number of units assisted increased by 54 over the previous fiscal year, the number of units were overestimated by 256.
During FY2002-03, the State administered HOPWA funds for the first time to Comprehensive AIDS Resource Encounter, Inc. This project sponsor covers an additional 5 counties, which provided 15 additional units of previously unavailable housing to 17 persons with HIV/AIDS and 14 of their family members. The South Georgia Coalition to End Homelessness expanded their service area to include 8 additional counties. Also of note, Lowndes County Board of Commissioner's HOPWA Development project of a large, regional AIDS service center in Valdosta was completed during FY2002-03.

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