Georgia CDBG stimulus program applicants' manual

Georgia CDBG Stimulus Program
Applicants' Manual
Georgia Department of Community Affairs http://www.dca.ga.gov/

FFY 2009 CDBG Stimulus Application Manual

TABLE OF CONTENTS

Item

Page No.

TABLE OF CONTENTS .................................................................................................. 1 GEORGIA CODE OF ETHICS FOR GOVERNMENT SERVICE .................................... 5 DEFINITIONS.................................................................................................................. 6 INTRODUCTION ........................................................................................................... 10
Overview American Recovery and Reinvestment Act of 2009 (ARRA) ...................................... 10 Important Considerations for Stimulus Applications ................................................................... 10 Important Reminders for Application Submission ....................................................................... 11 Technical Assistance Resources ................................................................................................ 13
PART I: GENERAL INFORMATION............................................................................ 14
Eligible Program Applicants ........................................................................................................ 14 Ineligible Program Applicants ..................................................................................................... 14 Eligibility Requirements............................................................................................................... 14 Restrictions on Eligibility for Competition.................................................................................... 14 Special Requirements................................................................................................................. 15
Joint Applications .................................................................................................................. 15 Regional Applications ........................................................................................................... 15 Eligible CDBG Activities.............................................................................................................. 16 National Objective--Low-and Moderate-Income Benefit ...................................................... 16 Definition of Low- and Moderate- Income ............................................................................. 16 Examples of Eligible Activities .............................................................................................. 17 Ineligible Activities ...................................................................................................................... 19 Examples of Ineligible Activities............................................................................................ 20 Basic Compliance Rules for CDBG ............................................................................................ 20 Citizen Participation Requirements....................................................................................... 20

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Sample Public Hearing Notice .............................................................................................. 22

Residential Anti-displacement and Relocation Assistance Plan ........................................... 22

Programmatic Agreement on Historic Preservation.............................................................. 22

Acquisition of Property for Public Facility Projects ................................................................ 23

Note on Eminent Domain...................................................................................................... 23

Environmental Compliance ................................................................................................... 23

Lead-based Based Paint Poisoning Prevention in Certain Residential Structures ............... 25

Relocation Assistance........................................................................................................... 25

One-for-One Replacement of Demolished Housing Units .................................................... 25

Federal Labor Standards (Davis-Bacon, etc)........................................................................ 25

PART II: GENERAL AWARD INFORMATION AND REQUIREMENTS....................... 26

Pre-Agreement Cost Approval (PACA)....................................................................................... 26

Available Stimulus Funds ........................................................................................................... 26

Types of Grants .......................................................................................................................... 26

Maximum CDBG Grant Amounts................................................................................................ 26

Matching Requirements .............................................................................................................. 27

Limitations on Administration and Professional Fees ................................................................. 27

Housing Project Delivery Costs .................................................................................................. 27

Procurement for Application Development and other Professional Services.............................. 28

Application Submission Deadlines.............................................................................................. 29

Application Review Process........................................................................................................ 30

Overview of Rating and Selection System............................................................................ 30

Rating Factors....................................................................................................................... 30

Demographics.................................................................................................................................30

Feasibility ........................................................................................................................................31

Impact .............................................................................................................................................32

Strategy ..........................................................................................................................................32

Leverage (Reserved)......................................................................................................................33

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FFY 2009 CDBG Stimulus Application Manual Bonus Points for Project Readiness to Proceed ................................................................... 33 Final Ranking ........................................................................................................................ 33 Disposition of Applications .................................................................................................... 33 Pre-funding Site Visits........................................................................................................... 33 Technical Assistance Policy.................................................................................................. 33
Part III: Making Your Application More Competitive................................................ 34
Feasibility: ................................................................................................................................... 34 Impact: ........................................................................................................................................ 35 Strategy: ..................................................................................................................................... 35 Additional Guidance on Competitiveness ................................................................................... 36
Part IV: INSTRUCTIONS FOR COMPLETING APPLICATION FORMS..................... 37
Form DCA-1: Application Summary............................................................................................ 37 Form DCA-2: Proposed Accomplishments ................................................................................ 38 Form DCA-3 : Community-wide Needs Assessment .................................................................. 38 Form DCA-4: Description of Needs to be Addressed ................................................................ 39 Form DCA-5: Description of Activities........................................................................................ 39 Form DCA-6: Low/Moderate Income Benefit and Civil Rights Data Calculation......................... 41 Form DCA-7: Budget Summary .................................................................................................. 43 Form DCA-8: Budget Analysis .................................................................................................... 44 Form DCA-9: Environmental Review Checklist .......................................................................... 48 Form DCA-10: Certified Assurances.......................................................................................... 48 Form DCA-11: Cooperating Agreement..................................................................................... 48 Form DCA-12: Maps ................................................................................................................... 48 Form DCA-13: CDBG Disclosure Report.................................................................................... 49 Note on Activity Numbering System ........................................................................................... 50 Note on Activity Numbering System ........................................................................................... 50
PART V: APPENDICES, FORMS, AND ADDITIONAL GUIDANCE ........................... 51

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FFY 2009 CDBG Stimulus Application Manual Appendices ................................................................................................................................. 51 Application Forms ....................................................................................................................... 51 Guidance .................................................................................................................................... 51

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GEORGIA CODE OF ETHICS FOR GOVERNMENT SERVICE
45-10-1. Establishment and text of code of ethics for government service generally: There is established for and within the state and for and in all governments therein a code of ethics for government service which shall read as follows:
CODE OF ETHICS FOR GOVERNMENT SERVICE
Any person in government service should:
I. Put loyalty to the highest moral principles and to country above loyalty to persons, party, or government department.
II. Uphold the Constitution, laws, and legal regulations of the United States and the State of Georgia and of all governments therein and never be a party to their evasion.
III. Give a full day's labor for a full day's pay and give to the performance of his duties his earnest effort and best thought.
IV. Seek to find and employ more efficient and economical ways of getting tasks accomplished.
V. Never discriminate unfairly by the dispensing of special favors or privileges to anyone, whether for remuneration or not, and never accept, for himself or his family, favors or benefits under circumstances which might be construed by reasonable persons as influencing the performance of his governmental duties.
VI. Make no private promises of any kind binding upon the duties of office, since a government employee has no private word which can be binding on public duty.
VII. Engage in no business with the government, either directly or indirectly, which is inconsistent with the conscientious performance of his governmental duties.
VIII. Never use any information coming to him confidentially in the performance of governmental duties as a means for making private profit.
IX. Expose corruption wherever discovered.
X. Uphold these principles, ever conscious that public office is a public trust.

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DEFINITIONS

CDBG has a language all its own at times. This list of definitions is intended to assist applicants in understanding and using the terminology.

Area Benefit Projects: An activity, the benefits of which are available to all the residents in a particular area, where at least 70 percent of the residents are low- and moderate-income persons (modified to "at least 51 percent" for ARRA). Such an area need not be coterminous with census tracts or other officially recognized boundaries but must be the entire area served by the activity. Units of general local government may, at the discretion of the state, use either HUD-provided data comparing census data with appropriate low- and moderate-income levels or survey data that is methodologically sound. An activity that serves an area that is not primarily residential in character shall not qualify under this criterion. The web site for the HUD-provided data is http://www.hud.gov/offices/cpd/systems/census/ga/index.cfm.

Certified assurance: The document that all CDBG local government applicants must sign (See DCA Form 10). It contains many "certifications" required by federal law and should be read and must be signed by the Chief Elected Official of the applicant. In addition, the signature must be authorized by a resolution of the governing body (i.e., city council, etc.) and submitted with the application.

CDBG: The Community Development Block Grant Program as authorized by the Housing and Community Development Act of 1974. CDBG is divided into two general programs: 1) the "entitlement program" administered by HUD provides funding to metropolitan cities and urban counties; and 2) the State "non-entitlement" program for smaller local governments.

CDFD: Community Development and Finance Division of the Georgia Department of Community Affairs. The division of DCA where the CDBG program is housed.

Conflict of interest: Elected officials, government employees, and their families are generally prohibited from benefiting either financially or personally from CDBG funded activities. An example would be if a councilmember lived in the neighborhood receiving CDBG funded waterlines. See the Conflict of Interest and Certification sections of this manual for more information.

Consolidated Plan: Developed by local and state governments with input from citizens and community groups, the Consolidated Plan serves four functions: 1) it is a planning document for each state and community, built upon public participation and input; 2) it is the application for funds under HUD's formula grant programs (CDBG, HOME, ESG, and HOPWA); 3) it lays out local priorities; and 4) it lays out a 3-5 year strategy the jurisdiction will follow in implementing HUD programs.

Cooperating agreement: This is the agreement needed for joint or regional CDBG applications (see DCA Form 11). It sets forth which applicant is considered the "lead applicant" responsible for all compliance considerations.

The Davis-Bacon Act of 1931: Statutory requirement that persons working on Federally-supported projects be paid minimum prevailing wage rates for particular crafts or labor classifications as prescribed by the Secretary of Labor. For purposes of the State Administered CDBG Program, all contracts are subject to the Act and must be monitored by DCA for compliance.

Environmental Impact Assessment: As required by the National Environmental Policy Act of 1969, and for purposes of the State CDBG Program, a document prepared by a recipient government which identifies and analyzes environmental impacts of a proposed project. CDBG projects started before completion of the assessment and requisite findings and public notices are NOT eligible for CDBG

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funding. The federal government requires DCA to monitor each individual project for compliance. (See NEPA.)

Equal Employment Opportunity (EEO): Term which refers to a variety of federally required activities to ensure non-discrimination in hiring, promoting, and managing employees. DCA is required to monitor each CDBG recipient's compliance with EEO requirements.

Faith-Based Initiatives:A Bush Administration initiative to level the playing field for faith-based organizations when attempting to access federal grant funds. Faith-based organizations, although ineligible for direct CDBG assistance, may partner with local governments to assist low- and moderateincome persons using eligible CDBG activities. Please see further information at: http://www.hud.gov/offices/fbci/.

Fair Housing Act: Legislation first enacted in 1968 and expanded by amendments in 1974 and 1988, which provides the Secretary of HUD with investigation and enforcement responsibilities for fair housing practices. It prohibits discrimination in housing and lending based on race, color, religion, sex, national origin, handicap, and familial status. DCA is required to monitor each CDBG recipient's compliance with applicable requirements.

Finding of No Significant Impact (FONSI): Pursuant to NEPA, a document presenting the findings of an Environmental Assessment stating that a proposed project will not result in an action which will significantly affect the quality of human life. See 24 CFR Part 58, Directive Number: 97-8.

Uniform Act: Short title of the Federal Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970. This law and its regulations issued by U.S. DOT (49 CFR Part 24) set requirements for how property, including easements, is acquired for federally assisted projects and sets forth minimum standards for assistance for persons and businesses displaced by federally assisted projects. See also "Barney Frank" amendments. DCA is required to monitor each CDBG recipient's compliance with applicable requirements.

HOME: Federal funds authorized pursuant to the Housing and Community Development Act that provides funds to local governments and states for new construction, rehabilitation, acquisition of standard housing, assistance to homebuyers, and tenant-based rental assistance.

HUD: United States Department of Housing and Urban Development. The Federal agency responsible for oversight and regulation of CDBG funding to states.

Joint application: A joint application includes more than one local government as applicant. Joint applications are generally required when less that 51% of the beneficiaries are located within the jurisdiction of the applicant unit of local government. Exceptions may be considered on a case-by-case basis with DCA approval.

Last Resort Housing: One of the few ways that CDBG can be used for new housing construction. Used in CDBG when no existing relocation housing resources are available for displaced persons. See 49 CFR Part 24.404.

Limited clientele: As the name implies, limited clientele are those people that benefit from specific services usually delivered at a particular location. For example, people that receive health services at a county health department are the "limited clientele" of that health department. HUD has determined that for purposes of meeting the CDBG national objective of benefiting low- and moderate-income persons, certain limited clientele can be assumed to be low- and moderate-income without detailed income records. This designation is limited to people qualified to attend facilities constructed with CDBG funds that serve abused children, battered spouses, elderly persons, adults meeting the Bureau of the

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Census' Current Population Reports definition of "severely disabled," homeless persons, illiterate adults, persons living with AIDS, and migrant farm workers. Income records must be available for all other limited clientele beneficiaries, such as clients of Public Health facilities, Boys and Girls Clubs, etc., and those income records must demonstrate that at least 70 percent of the limited clientele are low-to moderate-income people.

Liquidated Damages: Liquidated damages refers to contract provisions that require the payment of a fixed sum, usually accruing on a daily basis, when certain time-related provisions of the contract are not met. In CDBG contracts, liquidated damages are assessed due to non-completion of a construction project in the time period specified in the contract in the absence of excusable delays. DCA encourages the use of liquidated damages in CDBG-funded construction contracts to encourage timely performance. Proceeds from liquidated damages are considered program income.

Low- and Moderate-Income (also L/M income or LMI): At least 70 percent of the persons benefiting from CDBG projects (modified to "at least 51 percent for ARRA) must be members of a family or household whose total gross family income is less than 80 percent of an area's median family income adjusted for family size. HUD publishes these limits on an annual basis and the most recent limits are available on the DCA web site at: http://www.dca.ga.gov/communities/CDBG/programs/CDBGforms.asp. Note that housing activities must benefit 100 percent low- and moderate-income persons.

Manufactured "Mobile" Home: A manufactured home (formerly known as a mobile home) is built to the Manufactured Home Construction and Safety Standards (HUD Code) and displays a red certification label on the exterior of each transportable section. Manufactured homes are built in the controlled environment of a manufacturing plant and are transported in one or more sections on a permanent chassis.

Method of Distribution: This is a description of the rating and ranking criteria for all CDBG Programs. Section 104 of the Housing and Community Development Act of 1974, as amended, requires States to have a method of distribution for allocation of funds to units of general local government. The method of distribution for Stimulus funds is included in this Manual and also in the amended Action Plan for ARRA funds. See DCA's web site at: http://www.dca.ga.gov/communities/CDBG/programs/cdbgstimulus.asp.

Modular Home: A housing unit constructed off-site in pieces (modules) using traditional building materials that meets or exceeds all applicable State and local building codes, then transported to the building site where the modules are joined to form a complete housing unit on a slab or foundation. A modular home is generally considered "real property".

National Objective: The Housing and Community Development Act of 1974, as amended, sets forth three general National Objectives. Every CDBG award must address at least one of the following objectives through the activities undertaken by the project: 1) benefiting low- and moderate-Income persons; 2) preventing or eliminating slums or blight; and 3) meeting urgent needs. For Stimulus funds, applicants must meet, at a minimum, the low- and moderate-Income National Objective.

NEPA: National Environmental Policy Act. NEPA mandates a framework and procedures that Federal agencies (including States and local governments that receive CDBG funds) must implement to consider all reasonably foreseeable environmental effects of their proposed actions and to involve the public in and inform the public about these environmental effects. Under the State CDBG Program, for ANY project where a local government fails to properly implement the NEPA procedures prior to undertaking a CDBG project, DCA is generally mandated to find that project "ineligible" for reimbursement with CDBG funds.

Pre-Agreement Cost Approval (PACA): CDBG regulations and DCA policy allow potential applicants to

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request "pre-agreement cost approval" (PACA) from DCA that authorizes the potential applicant to commence project activities and maintain project timetables while applying for CDBG assistance. Upon DCA's issuance of pre-agreement cost approval, a project may move forward prior to submission of an application or award of funds while maintaining eligibility. See the section of this manual entitled PreAgreement Cost Approval (PACA) for further details.
QLG: Qualified Local Government means a county or municipality which: 1) has a comprehensive plan in conformity with required minimum standards and procedures; 2) has established regulations consistent with its comprehensive plan and with the required minimum standards and procedures; and 3) has not failed to participate in DCA's mediation or other means of resolving conflicts in a manner which, in the judgment of DCA, reflects a good faith effort to resolve any conflict. Also, generally, those local governments that have complied with all necessary requirements to maintain eligibility for state funding, including the Georgia Planning Act, the Service Delivery Strategy Act (HB 489), the Solid Waste Management Act, the Local Government Audit Act, and the DCA Local Government Finance Report requirements. See DCA's web site at http://www.georgiaplanning.com/planners/planreview/ for further information and for the Qualified Local Government status of Georgia's cities and counties.
RDC: Regional Development Center. Located in regions across Georgia, these centers provide planning, grant writing and economic development assistance to local governments, usually under contract.
Regional application: An application that includes applicants in more than one county, including city and county applicants. Regional applications apply to projects benefiting a multi-county region.
Section 104(d): Refers to Section 104(d) of the Housing and Community Development Act of 1974. See 24 CFR Part 42. Requires the replacement of demolished, vacant-occupiable, and occupied low- and moderate-income housing (one-for-one replacement) as well as a higher level of relocation assistance payments for displaced low- and moderate-income tenants.
Section 8: Housing Assistance Payments Program, authorized by the Housing and Community Development Act of 1974.
Section 106: Section 106 of the National Historic Preservation Act that requires CDBG recipients and other federal programs to consider the possible effects of `federal programs' on historic buildings and neighborhoods, including archeological resources. Regulations implementing Section 106 are issued by the Advisory Council on Historic Preservation, and, in Georgia, the Department of Natural Resources, Historic Preservation Division (DNR/HPD) is the designated State Historic Preservation Office (SHPO).
Stick/Site Built Home: A housing unit built on-site using traditional building materials and methods that meet or exceed all applicable State and local building codes.

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INTRODUCTION

This Stimulus Applicants' Manual represents one of the key elements by which the Department addresses its administrative responsibilities for the Community Development Block Grant Program (CDBG). Every effort has been made to balance the need for sufficient information upon which to make rational decisions between competing proposals and to ensure compliance with Federal law with the desire to eliminate all unnecessary paperwork and reduce the administrative burden on local governments.
It is essential that applicants prepare application documents in accordance with the instructions contained herein and as outlined at the workshop sessions. Applications should be clear, thorough and sufficiently detailed to provide all information required. This is the responsibility of the applicant whether the applicant prepares the application or whether the application is prepared by a representative, agent or designee.
This Applicants' Manual addresses only the CDBG Stimulus Program Competition. Other applicants' manuals can be downloaded from the Department of Community Affairs' (DCA's) web site at www.dca.ga.gov.
Overview American Recovery and Reinvestment Act of 2009 (ARRA)
CDBG Stimulus funds were authorized by the American Recovery and Reinvestment Act of 2009 (ARRA) as an adjunct to the Community Development Block Grant (CDBG) Program and will (except for specific ARRA requirements) follow the CDBG law and regulations. CDBG is authorized through Title I of the Housing and Community Development Act of 1974 (42 U.S.C. 5301 et seq.) and regulated through 24 CFR Part 570. This Manuel outlines the proposed rating criteria to be used for the competitive distribution and use of $10,866,994 through the newly authorized program.
The U.S. Department of Housing and Urban Development (HUD) must approve the State's amended Action Plan for ARRA before stimulus funds may be received. The Department of Community Affairs (herein after referred to as DCA or The Department) will work in cooperation with HUD in order to expeditiously deliver and effectively administer these funds. HUD is in the process of developing guidance on the CDBG Stimulus program and this Manuel is issued prior to that guidance in the interest of allowing interested parties to understand the proposed State's strategy and begin considering and designing local initiatives. While DCA is confident that the proposed Action Plan and this Manual meet the intent of ARRA and are consistent with all applicable requirements, upon the release of HUD's Notice, the State may amend this Manual to make any needed alignments with HUD's Notice. Note that before submission to HUD, the amended Action Plan must be approved by the State's leadership. Updated versions of the Action Plan and this Manual can be found at the following link: http://www.dca.ga.gov/communities/CDBG/programs/cdbgstimulus.asp.
Important Considerations for Stimulus Applications
(1) ARRA directs that projects funded with Stimulus money must meet certain requirements to be able to award construction or other contracts based on bids within 120 days from the date the funds are made available. Additionally, ARRA directs that grantees use Stimulus funds to maximize job creation (both permanent and construction jobs) and economic benefit (through an eligible CDBG activity). These requirements which overlay the existing CDBG regulatory framework mean that the most competitive projects include those where:
a) acquisition of needed real estate is complete or not needed;

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b) all required permitting is complete or not needed;

c) architectural and engineering designs are complete and approved;

d) all National Environmental Policy Act (NEPA) environmental review requirements are complete; and

e) any environmental site assessment liability issues (Phase I & II reports/actions) are complete or not needed. DCA will take these requirements into account through its rating and selection system outlined in this Manual.

(2) Jobs and employment is a significant objective of ARRA. Due to this objective, in addition to the collection of standard CDBG outcome data and beneficiaries, DCA will also measure both the creation of temporary and permanent jobs on a fulltime equivalent basis (FTE). FTEs will also be part of the rating and selection system.

(3) Applicants for CDBG Stimulus monies should understand and must put in place procedures to comply with the "Buy American" provisions contained at Section 1605 of ARRA.

(4) Conformance with CDBG National Objectives: The CDBG Stimulus Program must adhere to the benefit to Low- and Moderate-Income National Objective. As required pursuant to 42 U.S.C. 5301(c), the overall benefit requirements to low-and moderate-income (LMI) persons for a particular jurisdiction's application will be a minimum of 51%.

(5) Pre-Agreement Cost Approval (PACA). Because projects often run on schedules that are timesensitive, CDBG regulations and DCA policy allow potential applicants to request pre-agreement cost approval (PACA) from DCA that authorizes the potential applicant to commence project activities and maintain project timetables while applying for CDBG assistance. Upon DCA's issuance of pre-agreement cost approval, a project may move forward prior to submission of an application or award of funds while maintaining the eligibility of the activities that take place prior to submission of an application and receipt of a grant award.

DCA strongly recommends that potential applicants contact DCA (through its Office of Community Development in Atlanta) to discuss pre-agreement cost approval prior to submission of a written request for pre-agreement cost approval. See the section of this Manual entitled Pre-Agreement Cost Approval for further information.

IN NO EVENT WILL PRE-AGREEMENT COST APPROVALS ISSUED BY DCA ENSURE DCA FUNDING FOR THE REQUESTED PROJECTS. DCA ANTICIPATES THAT THE STIMULUS COMPETITION WILL BE VERY COMPETITIVE AND PRE-AGREEMENT COST APPROVAL DOES NOT IN ANY WAY INCREASE AN APPLICANT'S COMPETITIVENESS. ALL COSTS INCURRED BY APPLICANTS PRIOR TO THE CDBG AWARD DATE ARE AT THE APPLICANTS' OWN RISK.

Important Reminders for Application Submission

Census Tract and Census Block Information. Applicants must provide Census Tract and Census Block information for CDBG activities on DCA-1. This requirement has been added because HUD is now requiring this information in order to be able to show graphically where CDBG activities are taking place around the country. The primary Census Tract and Census Block information is all that is required on the form. If the geographic area targeted is larger then the Census Block, please designate the Census Block closest to the center of the target area. See the directions for DCA-1 for further

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information. Applicants may lookup addresses' census tract, block group, and block numbers at htpp://factfinder.census.gov.
Engineering and Architectural Reports. Preliminary Engineering Reports (PERs) and Prelimary Architectural Reports (PARs) are often the heart of many CDBG applications. Please remember to review carefully the section of the Manual entitled Making Your Application More Competitive. Note that many street and drainage PERs are still not including preliminary hydrologic and hydraulic calculations. These calculations are critical for DCA's review of these projects. The calculations assist in determing the need for improvements and the appropriateness of the proposed solutions to those needs. Scores may be reduced if preliminary calculations are not provided. Some PARs are not including existing floor plans with overall and room-by-room dimensions along with current use by room. Scores may be reduced if this information is not provided. Note: For Stimulus applications, including only PERs or PARs will probably be insufficient for the purpose of submitting a competitive application. See the Application Review Process section of this Manual for further information.
Maps. In order for review panels to assess feasibility, strategy and compliance with floodplain and wetland requirements, applicants are encouraged to submit with their applications USGS topographic maps from the 7.5 minute, 1:24,000-scale quadrangle series. For additional information, the following web site may be helpful: http://www.terraserver.microsoft.com; Submitting USGS maps with an application does not relieve the applicant from meeting all map requirements listed in DCA-12. All applications must include maps that meet the requirements of DCA-12. Some applicants last year did not submit all required maps per DCA-12. Omission of required maps could result in reduced scores. Please read DCA-12 carefully for complete instructions.
Photographs. All sets of photographs provided with the original and copies of each application should be in color, dated, and keyed to a map clearly showing views of the entire target area, its overall land use, and areas and properties of particular concern. Just as surveys must be representative of the target area, photographs must be also. Photos should be numbered, dated and keyed to a street map.
Procurement. RDCs that wish to subcontract directly with private consultants must use the appropriate procurement procedures outlined in this manual and follow the requirements of 24 CFR Part 85 before entering into subcontracts with private consultants. Alternately, the local government may contract with both an RDC and private consultant provided the requirements herein are followed for the procurement of the private consultant.

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Technical Assistance Resources

For Questions About: Departmental Policy
Permanent Job Emphasis Area Benefit or Limited Clientele Emphasis
Housing Emphasis

Contact: Brian Williamson, Assistant Commissioner for Community Development Joanie Perry, Director of Economic Development Steed Robinson, Director of Community Development Rick Huber, Compliance Manager Glenn Misner, Director of Field Services Tom Spinks, Housing Consultant Glenn Misner, Director of Field Services

Phone: 404-679-1587
404-679-3173
404-679-3168
404-679-3174 404-679-3138
404-679-3128 404-679-3138

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PART I: GENERAL INFORMATION

Eligible Program Applicants
Units of general-purpose local government (cities or counties) that do not participate in HUD's CDBG Entitlement or Urban County program.

Ineligible Program Applicants
The cities of Albany, Atlanta, Macon, Savannah, Roswell, Warner Robins, Marietta, Rome, Dalton, Gainesville, Hinesville, Brunswick and Valdosta
The consolidated governments of Athens/Clarke County Consolidated Government, Augusta/Richmond County Consolidated Government, Columbus Consolidated Government
Clayton County, Cobb County, DeKalb County, Fulton County and Gwinnett County
Any incorporated city within a HUD Entitlement Urban County that has chosen to participate with the Urban County through a Cooperating Agreement.
Eligibility Requirements
Applications may be submitted individually by one unit of general-purpose local government, or jointly or regionally, by two (2) or more units of general-purpose local government.
Only one single application per general-purpose local government, whether individually, jointly, or regionally submitted, shall be eligible for the Stimulus competition.
Only one single award under the Stimulus competition may be received by any generalpurpose local government, whether individually, jointly, or regionally submitted.
Under State statutes, applicants must comply with State planning and financial reporting laws. These laws include:
The Georgia Planning Act,
The Service Delivery Strategy Act (HB 489),
The Solid Waste Management Act,
DCA Local Government Finance Report requirements, and
Local Government Audit Act. In certain instances of non-compliance, these laws prohibit the Department of Community Affairs from providing grant assistance. For information on a community's Qualified Local Government Status (QLG), i.e., the status of a community's compliance with the first four requirements listed above, please go to the following web site: http://www.georgiaplanning.com/planners/planreview/default.asp. For information on a community's compliance with the Local Government Audit Act, please contact Ed Blaha at the Georgia Department of Audits, His contact telephone number is (404) 651-5115.
Restrictions on Eligibility for Competition
(1) Recipients of prior CDFD funding must resolve all outstanding audit and/or monitoring findings before submission of an application to DCA.

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(2) DCA reserves the right to deny CDBG Stimulus applications based on slow performance, unresolved findings, outstanding sanctions, or other reasons that could affect an applicant's ability to successfully complete the implementation of a CDBG Stimulus project.
Special Requirements
Joint Applications
Joint applications are generally required when less than 51 percent of the beneficiaries are located within the jurisdiction of the applicant unit of general-purpose local government. Activities may serve beneficiaries outside the jurisdiction of the applicant, provided the unit of general-purpose local government has identified such a need as an overall community-wide housing and community development need and 51 percent or more of the beneficiaries are located within the applicant's jurisdiction. Exceptions may be made in writing by DCA on a case-by-case basis using guidance provided by law and regulation, the applicable local service delivery strategy, and written support for the exception from the county government. Please consult DCA for guidance concerning the need for joint applications.
Joint Applications must include:
A copy of the Cooperating Agreement entered into by the cooperating units of government. This agreement should designate the unit of government that will serve as lead applicant. A sample cooperating agreement is included as Form DCA-11 of this manual.
Separate "Certified Assurances" (Form DCA-10) for each jurisdiction.
Evidence of separate public hearings for each jurisdiction. A single public hearing, however, may serve the needs of each jurisdiction, provided that (a) each jurisdiction shares a central location and (b) the hearing is clearly publicized by both (or jointly publicized by each) jurisdictions. If a single hearing is proposed, please contact DCA for guidance. For further information, please refer to Citizens Participation Requirements further outlined in this Manual.
Regional Applications
Regional applications are intended to allow an applicant to address problems and apply for a project benefiting a multi-county region. In order to encourage regional solutions, successful local applicants for regional projects (including all local applicants that are part of a regional application) will not be required to "sit out the next competition" and may apply the following year for a different or new project.
Regional applications must meet the Special Requirements for Joint Applications outlined above. In addition, Regional applications should include a letter(s) from the appropriate Regional Development Center (RDC) certifying that the project is consistent with any local and regional plans that exist and has multi-county benefits Please contact DCA prior to submission for guidance.
"What is the difference between Joint and Regional applications?"
Joint applications are usually required when less than 51% of the beneficiaries reside in the primary applicant's jurisdiction. Regional applications apply to projects benefiting a multi-county region.

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Eligible CDBG Activities
(1) Note that ARRA directs that grantees use Stimulus funds to maximize job creation, economic benefit and for activities that can be initiated within 120 days. Such projects may involve any eligible CDBG activity; however, to the extent that the minimum benefit threshold to LMI persons is met, the Department recommends that the following activities be considered: (a) the provision of assistance to private, for profit entities (including small businesses and microenterprises), when the assistance is appropriate to carry out an economic development project (that shall minimize, to the extent practicable, displacement of existing businesses and jobs in neighborhoods) that: (i) creates or retains jobs for low- and moderate-income persons; (ii) prevents or eliminates slums and blight; (iii) meets urgent needs; (iv) creates or retains businesses owned by community residents; and (v) assists businesses that provide goods or services needed by, and affordable to, low- and moderate-income residents. (b) the acquisition, construction, reconstruction, or installation of public works, facilities (except for buildings for the general conduct of government), and site or other improvements; (c) the clearance, demolition, removal, reconstruction, and rehabilitation of buildings and improvements; and (d) the provision of assistance including loans and grants for activities which are carried out by public or private nonprofit entities, including: (i) acquisition of real property; (ii) acquisition, construction, reconstruction, rehabilitation, or installation of public facilities (except for buildings for the general conduct of government); (iii) site improvements; and utilities; and (iv) commercial or industrial buildings or structures; and (v) other commercial or industrial real property improvements. (2) Pursuant to Section 1604 of ARRA, certain activities (DCA Note: while not eligible for CDBG in any event) are specifically excluded from consideration, including: casinos or other gambling facilities; aquariums; zoos; golf courses; swimming pools and similar recreation projects.

National Objective--Low-and Moderate-Income Benefit
All CDBG funded activities under the CDBG Stimulus Program must be eligible under the Housing and Community Development Act of 1974 and must meet the Low- to Moderate-Income National Objective. See the Appendix for a copy of Section 105 of the ACT which enumerates eligible activities and for a copy of 24 CFR Part 570.483 which sets forth the criteria for meeting National Objectives.
Definition of Low- and Moderate- Income
CDBG regulations specify the maximum income of program beneficiaries as summarized below:

A low- and moderate-income (L/M income) person is defined as a member of a household having an income equal to or less than the Section 8 Housing Assistance Program low income limit established by the U.S. Department of Housing and Urban Development (HUD).
A household includes, but is not limited to: a person who lives alone or intends to live alone, or two or more persons sharing residency whose income and resources are available to meet the household's needs and who are either related by blood, marriage, or operation of law, or who have a stable family relationship.
The Section 8 income guidelines are available for each county and are based on 80 percent of the county's median income or 80 percent of the statewide non-metropolitan median

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income, whichever is greater, with adjustments for family size. They are published each spring and are distributed by HUD and DCA. Refer to Appendix B for the most recently calculated income limits.
Family income is defined as follows: "the anticipated gross income from all sources (except those specifically excluded by HUD) received by all family members 18 years of age and older, including those who are temporarily absent from the unit".

Each CDBG activity must meet the following minimum threshold requirements for lowand moderate-income benefit:

9 Housing Activities:

100% benefit to Low- and Moderate-Income Persons

9 Public Facilities:

70% Benefit to Low- and Moderate- Income Persons (51% for CDBG Stimulus funds)

9 Economic Development:

51% Benefit to Low- and Moderate- Income Persons

Instructions for determining low- and moderate-income benefit are located in Part IV of this manual. (Instructions for Form DCA-6.) A sample low- and moderate-income survey is included in the Appendix. Applicants are reminded to include a complete description of the method used to determine benefit with Form DCA-6. Neighborhood surveys are the most reliable method for area benefit projects. Please refer to DCA's "Acceptable Survey Methodology" (see Appendix) publication for assistance in designing and implementing a sample survey.

In the case of buildings serving low- to moderate-income persons, do not "double count" clients. DCA is interested in the total number of people using the facility--not the number of visits to the facility. DCA counts the unduplicated number of beneficiaries over a year's time.

Each activity is eligible only to the extent to which it addresses the needs described on Form DCA-4 and benefits at least 70% (at least 51% for the Stimulus competition except that there must be a 100% benefit for direct housing activities) low- and moderate-income persons. This determination must be satisfactorily demonstrated on Form DCA-6. Failure to adequately demonstrate low- and moderate-income benefit may lead to application denial.

Examples of Eligible Activities
Examples of eligible activities include:

Supporting Fair Housing Activities (See HUD Memoranda in the Appendix.)
Addressing the Challenge of Homelessness (See HUD Memoranda in the Appendix.)
Acquisition of Real Property in whole or in part by purchase, long-term lease, donation or otherwise by the applicant, another public agency, a non-profit, and/or private individuals and for-profits for the purpose of carrying out housing rehabilitation, economic development activities, public facilities, or other eligible activities.
Disposition or costs incidental to disposing of property acquired with CDBG funds. Examples of eligible costs include appraisal, survey, marketing, legal, financial, transfer taxes, etc.
Public Facilities and Improvements, including the acquisition, construction,

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reconstruction, rehabilitation and/or installation of the same. This activity includes, but is not limited to, water and sewer facilities, flood and drainage improvements, parking, streets, curbs, gutters, sidewalks, parks and playgrounds. Other activities may include the development of shelters for homeless, elderly, mentally ill, abused and impaired persons. Public facility activities may also include the development of medical, community, senior and handicapped centers, or centers for literacy training.
Clearance costs within a "targeted area" generally include the demolition and removal of structures and other items (mobile homes, dilapidated houses, junk cars, etc.) to appropriate sites.
Interim assistance to a deteriorating "target area" may include activities which are low-budget and otherwise ineligible such as pothole, lighting, fencing, sidewalk, street repair, etc. Interim assistance may also include special refuse collection, trimming and removal of trees and overgrowth, etc. Assistance under this activity is generally associated with a redevelopment project.
Relocation or temporary relocation of families and individuals, businesses or other organizations. Relocation may be required by Federal law and regulation (the Uniform Relocation and Real Properties Acquisition Act of 1970, and pursuant regulations), or it may be "optional" and subject to local policy approved by DCA based upon need. Temporary relocation activities associated with housing rehabilitation (including lead-based paint hazard control) or reconstruction should be budgeted within the appropriate activity line item (rehabilitation or reconstruction) on Forms DCA-7 and 8, not on the relocation budget line. Only permanent relocation activities should be included in the relocation line items on Forms DCA-7 and 8.
Removal of Architectural Barrier activity includes modifications to existing structures that are necessary to remove material and architectural barriers that restrict the mobility and accessibility of the elderly or handicapped to publicly or privately owned buildings, facilities or improvements.
Housing Rehabilitation will utilize CDBG funds to finance the rehabilitation of public or private residential property, including the conversion of non-residential properties (in downtown commercial districts, etc.) for housing. Rehabilitation of housing units built prior to 1978 must provide for compliance with lead based paint hazard control regulations (24 CFR Part 35).
Reconstruction of housing provided that it is (a) owner-occupied, and (b) the house proposed for reconstruction is "not feasible" for rehabilitation. The reconstructed unit must be built on the same parcel of land as the unit it replaces. Please consult DCA for detailed guidance if reconstruction is planned.
Down Payment/Second Mortgage Assistance can be used as a strategy to encourage homeownership. This tool can be used for assistance in providing help with down payment, second mortgage, loan closing and other related costs. In keeping with HUD policy "to improve the likelihood of continued affordability," down payment assistance requirements have been revised to support fixed rate loans. DCA encourages leverage (usually first mortgage) loans at a fixed rate of interest for a term that benefits the recipient of assistance--most often 30 years. Community Development and Finance Division policy now requires DCA review of adjustable and/or variable rate mortgages and other flexible mortgage financing plans.
Code enforcement related to the payment of salaries and overhead costs directly related to activities within a declining "target area."
Economic development activities or assistance to "for profit entities," whether during the

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Annual Competition or through the Economic Development set-aside programs, generally take one of two forms: 9 direct loans to businesses/industry
9 public infrastructure in support of business/industry.
Project related soft costs including appraisal costs and cost related to reviews under the Programmatic Agreement or costs required for extraordinary environmental compliance.
Administrative costs necessary to carry out a CDBG project. These costs include expenses for: 9 General management, oversight and coordination. This category refers to the direct costs of overall program management, coordination, monitoring and evaluation. It also includes similar costs associated with carrying out projects with multiple activities. (For example, salaries, related expenses and all other costs directly related to the overall management, oversight and coordination of a project with several activities, such as within a defined concentrated project area should be charged to this category).
9 Indirect costs. Costs associated with an approved cost allocation plan prepared in accordance with OMB Circular A-87 "Cost Principles Applicable to Grants and Contracts and State and Local Governments."
9 Citizen participation. Costs related to citizen participation in the planning, implementation and assessment of the program, including, but not limited to, the costs of providing program information to the public, providing technical assistance to citizens and citizen organizations, publishing notices, and holding hearings.
9 Reasonable costs of environmental studies (including historic preservation clearances, project specific environmental assessments, and clearances for eligible activities) necessary to comply with Federal, State and local law, and other eligible administrative costs. (Please consult FMC A-87 for guidance.)
Administrative costs, however, do not include direct costs and other professional services directly related to design and implementation of an engineering or architectural project. These costs should be budgeted as part of each appropriate engineering or architectural line item. Such costs may include the preparation of cost estimates, land surveys, easement plats, pre-design meetings, preliminary construction drawings, permits and interagency approvals, construction drawings, pre-construction conferences, meetings with contractors/recipient staff, bid openings, contractor investigations, contract administration, inspections, training, & as-built drawings, etc. Other such eligible administrative costs (generally not related to the design and construction services contract) may include archaeological studies, indepth historic assessments, archival photographs, legal fees, title work, housing inspections, etc. Please consult DCA staff for budgetary guidance.
Ineligible Activities
Pursuant to Section 1604 of ARRA, certain activities (DCA Note: while not eligible for CDBG in any event) are specifically excluded from consideration, including: casinos or other gambling facilities; aquariums; zoos; golf courses; swimming pools and similar recreation projects.

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Generally speaking, activities are ineligible if they do not meet HUD's National Objectives.
Examples of Ineligible Activities
Examples of ineligible activities:
9 Acquisition of furnishings, movable equipment, machinery, and land write-downs
9 Operating and maintenance expenses
9 Construction of buildings for the general conduct of government
9 Purchase of construction equipment
9 Cost of furnishings and personal property associated with new construction
9 Constructing new housing, creating a "secondary housing unit" (an in-law suite, etc.) attached to a primary unit; installing luxury items such as upgraded appliances, spas, pools, etc.; the cost of non-built-in equipment and furnishings (stoves and refrigerators are exceptions); and labor costs for homeowners themselves to rehabilitate their own property.
9 An exception to the new construction prohibition may be granted whenever: 1) No comparable local resources exist and the community can demonstrate eligibility under Last Resort as defined under 49 CFR Part 24.404; or (2) a local government provides funding to a community-based housing development organization meeting the criteria outlined in HUD 24 CFR 570.204. DCA reserves the right to require additional market data and other development information prior to funding any new housing construction activities.
9 Any form of direct grant assistance to a business or industry (for-profit entity) is ineligible.

Basic Compliance Rules for CDBG

This section of the CDBG Applicants' Manual describes some of the critical laws and regulations CDBG applicants must consider when planning a CDBG Project. Note that a comprehensive list of applicable laws and regulations can be found in the Appendix.

It is the responsibility of the applicant's certifying official to ensure that the proposed program, activities, goals and timetables are in compliance with all applicable Federal and State laws, regulations and executive orders.

An important part of the application feasibility score is how well the proposal addresses compliance with applicable laws and regulations. Applicants should use the Description of Activity Form (DCA-5) to describe compliance actions to be undertaken by local government applicants and, if funded, grant recipients. Applications that fail to demonstrate compliance with applicable laws and regulation will lose points in the rating and selection process. If a CDBG grant is awarded, the Department of Community Affairs will provide local government representatives additional compliance training at a Recipients' Workshop.
Citizen Participation Requirements
The Housing and Community Development Act emphasizes efforts to involve citizens, especially low-

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and moderate-income citizens, in all aspects of the CDBG Program.

As required by the Housing and Community Development Act, the Georgia Department of Community Affairs has adopted a written Citizen Participation Plan, available on the DCA website at http://www.dca.ga.gov/communities/CDBG/programs/downloads/CDBGForms/CitizenParticipationPlan. pdf

Applicants for and recipients of CDBG funds certify that they will follow this plan that requires that local units of government will provide for and encourage participation in the planning, implementation and assessment of their CDBG program.

In order to meet these goals, applicants must, at a minimum, meet the following requirements:

Hold at least one (1) public hearing in the locality prior to submission of an application to DCA. The purpose of the hearing will be to obtain citizens' views and to respond to proposals and questions concerning previous CDBG funded projects (if any) and to obtain citizen participation in the development of new proposals including identification of community needs and proposed activities. The applicant must furnish information including the estimated amount of funds proposed to be used for activities benefiting low- and moderate-income persons and its plan to minimize displacement and assist displaced persons.
A notice advertising the public hearing must be published not less than five (5) calendar days prior to the date of the hearing in the non-legal section of a local newspaper of general circulation. (A sample public hearing notice is included on the next page) Local governments are encouraged to take other actions to provide adequate notice to potentially interested persons.
A copy of the application as submitted to DCA must be available for public review and the public must be notified of its availability for review.
Hearings must be held at times and locations convenient to potential or actual beneficiaries and with accommodations for the disabled. The needs of non-English speaking residents must be met for public hearings where a significant number of non-English speaking residents can be reasonably expected to participate. Contact DCA for any required assistance.
Applicant files must contain documentary evidence that the actions listed in this section have been taken, including copies of actual notices and minutes of hearings.
Applicants and recipients must provide technical assistance to groups representative of persons of low- and moderate-income that request such assistance in developing proposals, with the level and type of assistance to be determined by the local unit of government.
Citizens must be provided with reasonable and timely access to local meetings, information and records relating to the local government's proposed and actual use of CDBG funds as required by HUD regulations, state law, or DCA policy.
This section should not be construed to restrict the responsibility or authority of the local government for the development and execution of its community development program.
The applicant must certify in the Certified Assurances component of the application (Form DCA-10) that the requirements above have been met.
Note: Georgia Law requires that "all state, county and municipal records, except those which by order of a court of this state or by law are prohibited from being open to inspection

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by the general public, shall be open for a personal inspection of any citizen of this state at a reasonable time and place, and those in charge of such records shall not refuse this privilege to any citizen" (50-18-70, O.C.G.A.). This means that past and current records on the use of CDBG funds are required to be open for public inspection.
Sample Public Hearing Notice
The (city or county) of (name of city or county) is considering applying to the Georgia Department of Community Affairs for a Community Development Block Grant of up to $(amount of funds). These funds must be used to primarily benefit low- and moderate-income persons.
The activities for which these funds may be used are in the areas of housing, public facilities, and economic development. More specific details regarding eligible activities, plans to assist displaced persons (if any), the estimated amount of funds proposed to be used for activities to benefit low- and moderate-income persons, and the rating system will be provided at a public hearing which will be held at (place/address) on (date), at (time).
The purpose of this hearing will be to obtain citizen input into the development of the application and to review progress on the previous CDBG grant (if applicable). Persons with special needs relating to handicapped accessibility or foreign language shall contact (name/phone) prior to (date). This person can be located at (complete address) between the hours of (hours am pm), Monday through Friday, except holidays. Persons with hearing disabilities can contact us at our TDD number (AC + number). [Applicants who do not have a TDD phone may consider using the Georgia Relay Service, at (TDD) 1-800-2550056 or (Voice) 1-800-255-0135.]
The applicant must maintain detailed minutes of this hearing, a "tear sheet" or affidavit pertaining to the public notice and documentation as to whether or not meeting "special needs" was required and, if applicable, addressed.

Residential Anti-displacement and Relocation Assistance Plan
A unit of general local government receiving funds from the State must certify to the State that it has in effect and is following a residential anti-displacement and relocation assistance plan, and that it will minimize displacement of persons as a result of assisted activities. Relocation activities are subject to The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (46 U.S.C. 4601) and regulations at 49 CFR, Part 24. Additionally, Section 104(D) of the Housing and Community Development Act, as amended has two major requirements (see 24 CFR Part 42): (1) the one-for-one replacement of certain housing units demolished, or converted to non-low/moderate income status, as a direct result of a CDBG project, and (2) the expanded relocation assistance benefit payment for certain displaced tenants. This requirement will affect certain program design strategies of any applicant proposing housing demolition and/or relocation activities.
Programmatic Agreement on Historic Preservation
In 1997, the State Historic Preservation Office (SHPO), DCA, and the Advisory Council on Historic Preservation signed a Programmatic Agreement (PA) affecting all housing programs funded by DCA under CDBG. Whenever recipients are planning to rehabilitate potentially historic housing (any housing over 50 years old), the terms of the Programmatic Agreement will permit, within certain limits, local decision making about the manner in which such housing will be treated. All recipients are required to follow the terms of the Programmatic Agreement and to consult with local preservation professionals whenever planned rehabilitation activities exceed a set of Exempt Activities stipulated in the

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Programmatic Agreement. Note: A copy of the Programmatic Agreement is included at the Appendix.
Acquisition of Property for Public Facility Projects
The Uniform Relocation Assistance and Real Property Acquisition Act of 1970 (URA), as amended, and as implemented by DOT regulations 49 CFR Part 24, applies whenever a local government recipient of CDBG needs to acquire property, such as land for a building, easements, Right-of-Way (ROW) for public infrastructure such as water or sewer lines, street paving, or drainage improvements.
The basic requirements are:
The property owner must be offered the Fair Market Value (FMV) of the property based on an appraisal;
Prior to the purchase offer, owners must be provided with information concerning their rights under the law; and
Donations are possible but only after the owner has been informed of the government's obligation to pay FMV and executes a waiver.
URA procedures must be followed for CDBG projects even if the local government recipient is using other federal funds, its own non-federal funds, or other non-federal funds to pay for the property.
Applicants should address the status of any property needed for the project using Form DCA-5.
Note on Eminent Domain
The State of Georgia has passed legislation (HB 1313) restricting the use of eminent domain by the political subdivisions of the state. Please note these restrictions when planning your CDBG project. For further information, please review HB 1313. This legislation amended portions of Titles 8, 22, 23, and 36.
Environmental Compliance
There are many federal and state environmental protection laws and regulations to consider when planning and implementing CDBG funded projects. It is important to note that compliance is often required for all funding sources, public and private, and for all components of the entire project. By planning at the application and predevelopment stages, CDBG recipients can avoid future compliance complications and time delays.
Form DCA-9 captures some of the important environmental compliance information needed to complete the environmental review required by NEPA.
National Environmental Policies Act of 1969 (NEPA) and HUD regulations implementing NEPA titled "Environmental Review Procedures for Entities Assuming HUD Environmental Responsibilities" (24 CFR Part 58).
All CDBG projects must take certain actions to comply with this regulation before committing funds for acquisition or construction. This generally includes the completion of an environmental impact assessment, documenting actions taken to comply with other environmental laws (such as those listed in the Appendix G and described below), and public notices.
The assessment is a written document which evaluates both the negative and positive environmental effects of a project. It looks at the human, social and natural environment. At the planning stage, CDBG applicants should consider potentially negative environmental effects and propose solutions which minimize or mitigate these effects.

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Floodplain Protection HUD has issued regulations (24 CFR Part 55) intended to minimize floodplain development. As part of the overall environmental review process, CDBG recipients will have to document compliance with this regulation. At the application stage, refer to FEMA floodplain maps to determine if any component of your planned project takes place in the floodplain. For further information on FEMA floodplain maps, please see FEMA's web site at www.fema.gov.
Also a series of Public Notices is required prior to any floodplain disturbing actions. Please see the Appendix for samples of the required notices. These notices are not required prior to submission of an application unless the applicant has requested a PACA that requires completion of an environmental review.
In addition, HUD requires any community using CDBG funds for any activity affecting a FEMA mapped floodplain to be a participating jurisdiction with the federal flood insurance program and to have FEMA approved local floodplain development restrictions. Any CDBG funded activity affecting the floodplain must also be in compliance with these local ordinances.
Wetland Protection Similar to floodplain development restrictions, the Army Corp of Engineers (ACE) under the authority of Section 404 of the Clean Water Act has authority over "jurisdictional wetlands" and restricts their development. In addition, a Section 404 ACE permit may be required for projects disturbing a wetland. Also a series of Public Notices is required prior to any wetland disturbing actions. Please see the Appendix for samples of the required notices. These notices are not required prior to submission of an application unless the applicant has requested a PACA that requires completion of an environmental review. For further information on Section 404 permitting requirements, please see the Appendix. The Appendix also contains information concerning the recognition of wetlands and an ACE form to request a determination of ACE jurisdiction over properties applicable to the proposed project. More information can be obtained at Georgia's ACE district office web site at www.sas.usace.army.mil/.
Historic Preservation Compliance Requirements Section 106 of the National Historic Preservation Act and the implementing regulations of the Advisory Council on Historic Preservation (36 CFR Part 800) require all CDBG applicants and recipients, in consultation with the State Historic Preservation Office (SHPO), to determine if any buildings, neighborhoods or archeological sites and resources listed or eligible for listing on the National Register of Historic Places are in the "Area of Potential Effect" (APE), and to determine the effect of the project on the APE. If the effect is adverse, the regulation requires the negotiation of ways to minimize or mitigate the effect.
Use Form DCA-9 to identify eligible and potentially eligible areas and buildings. Photographs keyed to a map (not the same photographs used to document the "severity of need" for the project) should be included with this form. The instructions for this form have more information on the photographic and data needs. Note that there is an attachment to the form with additional information that DNR/HPD needs to review your project in a timely manner.
DCA will send projects under consideration for funding awards to the State Historic Preservation Office at the Department of Natural Resources for review and comments. The results of this review will be included in funding awards as Special Conditions which must be complied with as part of the required Environmental Review. To hasten the process, consider seeking comments from SHPO prior to submitting an application to DCA as part of your own planning and project development.

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The additional cost of negotiated mitigation measures is an eligible CDBG cost.
Lead-based Based Paint Poisoning Prevention in Certain Residential Structures
HUD regulation 24 CFR Part 35 provides for the evaluation and control of lead-based paint hazards in residential housing units built prior to January 1, 1978. Requirements for compliance with this regulation vary, depending on the activity undertaken using federal funds. Every program utilizing federal funds (including CDBG and HOME) is required to comply with this regulation for activities including, but not limited to, rehabilitation, homebuyer assistance and down payment assistance. Further guidance is available in the Guidelines for CDBG Residential Rehabilitation Program Manual, or DCA staff is available on request to provide technical assistance.
Relocation Assistance
The Uniform Relocation Assistance and Real Property Acquisition Act of 1970 (URA), as amended, and as implemented by DOT regulations 49 CFR Part 24 applies if tenants or homeowners (regardless of income) are displaced in conjunction with a CDBG activity. See also the applicability of the URA to property acquisition above.
The purpose of this part is: (a) to ensure that owners of real property to be acquired for Federal and federally-assisted projects are treated fairly and consistently, to encourage and expedite acquisition by agreements with such owners, to minimize litigation and relieve congestion in the courts, and to promote public confidence in Federal and federally-assisted land acquisition programs; (b) to ensure that persons displaced as a direct result of Federal or federally-assisted projects are treated fairly, consistently, and equitably so that such persons will not suffer disproportionate injuries as a result of projects designed for the benefit of the public as a whole; and (c) to ensure that agencies implement these regulations in a manner that is efficient and cost effective. Further guidance is available in HUD Handbook 1378 or DCA staff is available on request to provide technical assistance.
One-for-One Replacement of Demolished Housing Units
Section 104(d) of the Housing and Community Development Act is applicable if rental units are converted to non- "low- and moderate-income dwelling units" or if occupied or occupiable housing units are demolished. This section requires the one-for-one replacement of affected units within a specific timeframe. This section also makes provision for an alternative relocation payment formula for displaced persons who will be provided "tenant-to-tenant" relocation assistance. See HUD regulations at 24 CFR Part 570.606 and 24 CFR Part 42. Further guidance is available in HUD Handbook 1378 or DCA staff is available on request to provide technical assistance.
Federal Labor Standards (Davis-Bacon, etc)
These federal labor standards require the payment of US Department of Labor "prevailing wages" (at a minimum) for most construction projects. There are also extensive reporting and project monitoring requirements.

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PART II: GENERAL AWARD INFORMATION AND REQUIREMENTS

Pre-Agreement Cost Approval (PACA)
Because projects often run on schedules that are time-sensitive, CDBG regulations and DCA policy allow potential applicants to request pre-agreement cost approval (PACA) from DCA that authorizes the potential applicant to commence project activities and maintain project timetables while applying for CDBG assistance. Upon DCA's issuance of pre-agreement cost approval, a project may move forward prior to submission of an application or award of funds while maintaining the eligibility of the activities that take place prior to submission of an application and receipt of a grant award.
DCA strongly recommends that potential applicants contact DCA (through its Office of Community Development in Atlanta) to discuss pre-agreement cost approval prior to submission of a written request for pre-agreement cost approval.
DCA will only grant pre-agreement cost approvals that are in compliance with 24 CFR 570.489(b) and 24 CFR Part 58. Upon approval of pre-agreement costs, the applicant is eligible for reimbursement of eligible expenses if a CDBG award is made.
IN NO EVENT WILL PRE-AGREEMENT COST APPROVALS ISSUED BY DCA ENSURE DCA FUNDING FOR THE REQUESTED PROJECTS. DCA ANTICIPATS THAT THE STIMULUS COMPETITION WILL BE VERY COMPETITIVE AND PRE-AGREEMENT COST APPROVAL DOES NOT IN ANY WAY INCREASE AN APPLICANT'S COMPETITIVENESS. ALL COSTS INCURRED BY APPLICANTS PRIOR TO THE CDBG AWARD DATE ARE AT THE APPLICANTS' OWN RISK.
Available Stimulus Funds
Approximately $10,500,000 in CDBG Stimulus funds is estimated to be available for distribution under the Stimulus competition.
Types of Grants
Applications under the Stimulus competition may only be for a single-activity grant:
1) Single-activity grant applications must be structured to address problems within one of the following three areas: (a) housing, (b) public facilities, or (c) economic development.
2) Multi-activity grant applications -- not applicable for the Stimulus competition.

Maximum CDBG Grant Amounts

Single-Activity $500,000

Multi-Activity N/A

The dollar amounts established are maximums. Application proposals should be developed that are consistent with the community's needs and ability to complete the program in a timely fashion. The DCA review process emphasizes the establishment of realistic goals and the development of resources needed to address the goals.

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Matching Requirements
There are no matching requirements for the CDBG Stimulus competition.
Limitations on Administration and Professional Fees

At the time of publication of this version of the Manual, HUD has not provided guidance on the levels of allowable administrative costs. DCA will inform applicants should changes be necessary to the schedule below.

Use the following limits for administrative, engineering and/or architectural costs paid for with CDBG funds.

Type of Project
Single Activity (Public Facility or Econ. Dev.)
Multi-Activity Single Activity Housing

Administrative Cost Limit
6% of grant + $200* per unit to which plumbing improvements are made
N/A 7% of grant + up to $2,000* per unit rehabilitated

Engineering/Architectural Cost Limit** -Engineering @ 12% of CDBG construction amount -Architectural @ 10% of CDBG construction amount N/A N/A

*Per unit charges (Project Delivery Costs) should be budgeted in the activity line item, not in administration.

**Under limited circumstances, CDBG may pay for more than 12% of the CDBG construction amount when DOT funds are used as match or leverage because DOT will not pay the cost of engineering for its projects. In these instances, the applicant should explain on DCA-8 the justification for additional engineering funds. In no case will CDBG pay more than 12% for engineering of the combined CDBG and DOT construction costs. DOT projects that require little if any engineering (e.g., street resurfacing) will not receive any special consideration.

The limit for CDBG engineering and/or architectural services cost is based on construction cost paid for with CDBG funds. Contingency line items included in Preliminary Engineering and Architectural Reports are not considered construction costs and may not be included in the calculation of maximum engineering and architectural fees.

Note: Up to $1,000 for financial audit costs are also an allowable CDBG administrative expense, in addition to the percentages specified above.
Housing Project Delivery Costs
In order to provide an incentive for jurisdictions to complete at least the number of housing units that is equal to the number indicated in their project application, DCA will provide a maximum of 7% of the CDBG housing or multi-activity grant award amount for General Administration combined with up to a $2,000 Project Delivery Cost payment per completed unit of housing, subject to the following schedule:

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Unit Type Stick Built (including Modular) Stick Built (including Modular) Manufactured ("mobile home") Owner owns unit AND land Manufactured ("mobile home") Owner owns unit AND land Manufactured ("mobile home") Manufactured ("mobile home") Owner owns unit only (long term lease on land)

Activity

Maximum PDC

Rehabilitation/Reconstruction Up to $2,500

Down Payment or Second Mortgage Assistance Down Payment or Second Mortgage Assistance

Up to $1,500 Up to $1,000

Reconstruction

Up to $1,000

Rehabilitation
Down Payment or Second Mortgage Assistance

Up to $750 Up to $750

Additional Project Delivery Costs for Lead Hazard Control for rehabilitation of housing built prior to 1978 allowed by CDBG are as follows:

Inspection/Risk Assessment procurement and oversight, a maximum of up to $100 per unit. Lead hazard control construction and clearance procurement and oversight, a maximum of up to $400 per unit.

Note: If the project administrator performs lead hazard evaluation (inspection/risk assessment) or clearance "in-house" (no procurement or oversight), the maximum PDC for this activity is $300 for procurement and oversight of the actual lead hazard control work by a qualified firm.

Project Delivery Costs must be reasonable and necessary and supported by documentation. PDC's should be budgeted on the appropriate activity line item, NOT in the General Administration line on DCA-7 and 8.

DCA reserves the right to reduce the overall level of administrative funds depending on the scope of the project. Jurisdictions can expect to receive approximately half of the regular Project Delivery Cost payment for certain activities that are less expensive administratively on a per unit basis, such as permanent relocation and multiple units of rental housing under one roof.

Procurement for Application Development and other Professional Services

CDBG payments for professional services are subject to the "competitive negotiation" requirements of 24 CFR Part 85 (Common Administrative Rule). These provisions apply, typically, to contracts with private consultants, engineers and architects, and are not necessary when contracting with Regional Development Centers. Note, however, that RDCs that wish to subcontract directly with private consultants must use the procedures in this section and follow the requirements of 24 CFR Part 85 before entering into subcontracts with private consultants. Alternately, the local government may contract with both an RDC and private consultant provided the requirements herein are followed for the procurement of the private consultant.

To comply, the applicant government (not the individual or firm proposing to provide services) must:

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Develop a Request for Proposal (RFP) that includes "evaluation factors" selected by the applicant and their level of importance. A Request for Qualifications (RFQ) is also acceptable for engineering or architectural services. Contact DCA for assistance.
Publicize the RFP or RFQ. This is most often accomplished by publishing it in the applicant's "legal organ." Allow 30 days for responses.
Send a letter with copy of the RFP or RFQ to a number of "known providers". When soliciting firms to develop applications/administer projects, RFP's should be sent to at least 7 known providers. When soliciting engineering/architectural services, the RFP or RFQ should be sent to at least 10 known providers. As a service to applicants, recipients and others, DCA maintains a list of professionals who have expressed an interest in making proposals on CDBG projects. This is not an "approved" list. DCA does not approve or disapprove professionals. This is the applicant's or recipient's responsibility.
Negotiate with (preferably with at least 2) respondents to the RFP or RFQ.
Prepare documentation that evaluates proposals and establishes reasons (based on criteria in RFP or RFQ) for contract recommendations.
Consult city or county attorney with above recommendations and proposed contract.
Based upon established reasons and attorney's recommendation, obtain full council/commission approval and execute contract. Letter(s) thanking unsuccessful respondents for making a proposal should then be sent. Based on evaluation criteria contained in the RFP/RFQ, this letter should state reasons why the respondent was not hired.
Because CDBG funds cannot be used to pay application development costs, applicants may (or may not, at their discretion) use this procurement process to select professionals for the preparation of an application. Applicants are cautioned, however, only to obligate CDBG funds after a grant is awarded. Initial contracts should only obligate the applicant to compensate for costs of application development. (Note: this cost is not eligible for reimbursement under the CDBG Program.) If the professional is selected to prepare the application and provide additional services upon award, then the procurement process described above must be utilized.
If an acceptable procurement process was followed within the last year for an application that is being resubmitted because it was denied within the past year, it is not necessary for the local government to readvertise for professional services if they choose to retain the same firm for the same application. If the procurement is more than 1-year old, a new advertisement and solicitation of RFP's/RFQ's is required.
Application Submission Deadlines
To participate in the CDBG Stimulus competition, all applications must be submitted to DCA by June 1, 2009. Applications must be U.S.P.O. postmarked no later than June 1, 2009 or hand delivered no later than the close of business (5 PM) on June 1, 2009.
We suggest that applications that are mailed be sent by certified or registered mail.
Applicants must submit an original application and three (3) copies (set of 4). Please be sure at least 2 of the 4 copies have original photographs. DCA recommends that all sets of photographs be in color. The mailing address is as follows:

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Administrative Secretary Office of Community Development Georgia Department of Community Affairs 60 Executive Park South, NE Atlanta, Georgia 30329-2231
Following the publication of expected federal guidance and/or regulations for CDBG Stimulus funds in early May, the Department will re-evaluate this proposed Action Plan and determine if an extension of the application deadline is warranted. If an extension is given, Notice will be given through DCA's website and by email to interested parties.
Application Review Process

Overview of Rating and Selection System
(1) After the application deadline, applications shall be evaluated against the rating and selection factors specified below, using any additional and/or supplemental information, data, analyses, documentation, commitments, assurances, etc. as might be required or requested by DCA for purposes of evaluating, rating and selecting applicants under this program. Applications lacking sufficient information or documentation to be evaluated may be returned to the locality and disqualified.
(2) After review and scoring, projects will be funded according to rank (highest scoring funded first) until all CDBG Stimulus funds are exhausted.

CDBG Stimulus applications will be rated and scored against each of the following factors. The maximum score is 500. Demographic scores will be calculated separately for cities and counties. For purposes of calculating the demographic score, joint or regional applications that include a county will be included in the county group and those including only cities will be included in the city group.

Maximum Points

Unemployment Need - absolute number unemployed

20

Unemployment Need - percent unemployed

20

Demographic Need - per capita income

20

Program Feasibility

150

Program Impact

150

Project Strategy

100

Bonus for Project Readiness

40

Maximum Total Points

500

(3) Final Ranking and Grant Selection: The points received by each applicant on the rating factors will be totaled and the total scores ranked accordingly. Grant awards will be based on this final ranking to the extent funds are available. In case of ties, the applicant with the highest demographic score will be given priority.
Rating Factors
Demographics

Rating factors will be assigned in the following manner: Unemployment Need - absolute number of people unemployed: Applicants will be

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divided into two groups (includes only city or includes county) and then compared in terms of the number of unemployed persons. Scores will be obtained by dividing each applicant's number of unemployed persons by the greatest number of unemployed persons of any applicant in the group and multiplying by 20.
Unemployment Need - percent of people unemployed: Applicants will be divided into two groups (includes only city or includes county) and then compared in terms of the percentage of population unemployed. Scores will be obtained by dividing each applicant's percentage of persons unemployed by the highest percentage of persons unemployed of any applicant in the group and multiplying by 20.
Demographic Need - per capita income: Applicants will be divided into two groups (includes only city or includes county) and then compared in terms of their per capita income. Scores will be obtained by dividing each applicant's per capita income into the lowest per capita income of any applicant in the group and multiplying by 20.

Note: Demographic Scores will be calculated by DCA. Demographic scores will be based on the latest available data for each factor. Where unemployment rates are not available, county unemployment rates will be used as a proxy measure.
Feasibility
Program Feasibility: Applicants will be compared in terms of project feasibility. The following factors will be considered wherever applicable: a) Ability of the applicant to have the project bid and contract awarded within 120 days; b) Reasonable project timetables; c) Completion of all necessary engineering, architectural, and/or site plans and designs ;d) Completion and documentation of all necessary property acquisition; e) Completion of all required local, state, and federal permits (environmental, historic preservation, NEPA, etc., as applicable); f) Absence of, or complete resolution of, environmental remediation needs; g) Documentation and reasonableness of costs ;h) Where applicable, documentation that preliminary engineering, architectural or site plans have been prepared and support the proposed project; i) Documentation of funding commitments from other project funding sources; j) Demonstration of compliance with applicable local, state, and federal laws; k) Administrative capacity of the applicant to administer funds and demonstration of adequate CDBG implementation history; l) Determination by DCA that partnering organizations, businesses and/or subrecipients are reputable, able to perform and credit worthy; and m) Documentation that all applicable financing is in place and ready to invest.
Wetland and floodplain maps should be included with the application to assist DCA in determining project feasibility in addition to USGS topographic maps from the 7.5 minute, 1:24,000-scale quadrangle series. All Preliminary Engineering Reports and Preliminary Architectural Reports should include an original signature and the appropriate professional stamp. Points may be deducted for feasibility without these features.
Points for feasibility will be awarded by a review panel, in accordance with the levels below, based on how well each applicant, compared to others, addresses the feasibility factors.

Level One: (Poor) Level Two: (Below Average) Level Three: (Average) Level Four: (Good) Level Five: (Excellent)

0.0 37.5 75.0 112.5 150.0

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Impact


Program Impact: The following factors will be considered: a) Number of temporary construction jobs/beneficiaries created and/or retained (FTE); b) Number of permanent jobs/beneficiaries created and/or retained (FTE); c) CDBG Stimulus cost per job/beneficiary; e) Project's impact on local unemployment rates; and f) Project's impact on the benefiting populations' quality of life or opportunity for economic advancement.

Points for impact will be awarded by a review panel, in accordance with the levels below, based on how well each applicant, compared to others, addresses the impact factors.

Level One: (Poor) Level Two: (Below Average) Level Three: (Average) Level Four: (Good) Level Five: (Excellent)

0.0 37.5 75.0 112.5 150.0

Strategy
Program Strategy: Applicants will be compared in terms of program strategy. The following factors are considered: a) Project's relationship to overall objectives of the general CDBG and ARRA to use funds in a manner that maximizes job creation and economic benefit, especially with respect to permanent job creation for low and moderate income persons; b) Demonstration of local government's need for Stimulus funds due to financial or economic constraints resulting from the current state of the economy; c) Demonstration of local government's or subrecipient's ability to operate and maintain facility/infrastructure proposed to be funded with Stimulus funds; and d) (If applicable) demonstration of capacity of proposed subrecipients for administration, accountability and meeting investment commitments.
A project activity schedule must be included in this section of the application. See the instructions for Form DCA-5 for more information.
Conformance with Georgia Planning Act: One of the review factors considered as a project strategy question is the conformance of the proposal with the locally adopted Comprehensive Plan, as approved by DCA. In order to demonstrate conformance, applicants should discuss on Form DCA-5 how the proposal conforms to the Plan including citations or quotes from pertinent pages of the Plan.
Service Delivery Strategy (O.C.G.A. 36-70-20): In addition, state law requires that all projects funded be consistent with the community's adopted Service Delivery Strategy (O.C.G.A. 36-70-20). The appropriate citation of the Strategy along with any attachments and service area maps should be included in the application, along with a signed certification that the project is consistent with the Strategy. If the project is not covered by the adopted Strategy, a statement to that effect should be included in the certification.
Points for strategy will be awarded, in accordance with the levels below, by a review panel based on how well the applicant, compared to others, addresses the strategy factors.

Level One: (Poor) Level Two: (Below Average) Level Three: (Average) Level Four: (Good) Level Five: (Excellent)

0.0 25.0 50.0 75.0 100.0

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Leverage (Reserved)
Bonus Points for Project Readiness to Proceed
Addition of extra points for each criterion that applies (up to 40 total points): a) Completion of all required designs--15 points; b) Acquisition of all applicable local, state, and federal permits--10 points; c) Completion of bid documents--10 points; b) Completion of NEPA environmental review--5 points.
In order to receive consideration for readiness points, points should be claimed on DCA-5. A brief narrative should be included in DCA-5 stating the points claimed and the rationale for claiming the points. In addition, DCA-5 should clearly reference all documentation attached to the application that demonstrates accomplishment of the point thresholds outlined above.
Final Ranking
The points received by each applicant on the rating factors will be totaled and the total scores ranked accordingly. Grant awards will be based on this final ranking to the extent funds are available. In case of ties, the applicant with the highest demographic score will be given priority.
Disposition of Applications
Grant commitments will be forwarded to local units of government whose applications are approved for funding.
Applicants whose programs are denied will be notified of the denial. DCA's decisions regarding awards and denials will be based on the Method of Distribution as required by HUD, this Applicants' Manual, the rating and selection criteria outlined herein, and the final ranking of all applications based on the points awarded to each applicant. DCA will fund the applications in order of rank beginning with the topranked application until funds are depleted. DCA's funding decisions are final and DCA may waive any irregularities consistent with the Method of Distribution and this Manual.
Pre-funding Site Visits
The Department of Community Affairs may make at least one unannounced site visit to applicants during the application review process. The purpose of the visits will be to verify information contained in the application and to compare similarly proposed projects.
Technical Assistance Policy
The Department of Community Affairs will provide technical assistance on request from the unit of local government.
Please note that although DCA staff can provide technical assistance in the form of guidance and information at the application stage, staff cannot write application proposals for local governments. The CDBG process is competitive. Each application is ranked relative to the entire pool of applications. Any technical assistance provided by DCA staff does not guarantee project funding.

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Part III: Making Your Application More Competitive
This Part provides guidance on how to address the application rating factors of feasibility, impact and strategy. These factors represent a total maximum score of 400 points or a majority of the points available to an applicant. For an overview of the rating and selection system, see Part II, Application Review Process.
The score of an application based on feasibility, impact and strategy are determined by a DCA staff review of similar applications. Utilizing this information should make your application more competitive.
Feasibility:
Some of the basic components essential in addressing project feasibility are as follows:
Make sure all activities are eligible. Has the Low- to Moderate-Income National Objective been met? (51% or > L/M Income benefit) Have the benefit number and L/M Income percentage been accurately counted or reasonably
estimated based on acceptable methodology? Has the survey methodology been described thoroughly on Form DCA-6 or in an attachment? Include a copy of the survey form used to determine the number of beneficiaries and the L/M
percentage. Have all additional sources of funding been confirmed? Address ongoing operation and maintenance of your proposed project. With buildings, are all funding sources (project and programs) confirmed? Who will operate and staff programs, are they committed? Are environmental or historic preservation issues or concerns addressed? Will permits be required? Address all types of permits needed and indicate the time required to
secure permits. (Railroad, DOT, etc.) System Capacity. If additional water or sewer customers will be added, please address the current
system's capability to add customers. Address utility relocation needs and costs. With Water and Sewer applications:
o Address EPD requirements. o Address the need for household plumbing improvements. o Address the feasibility of plumbing improvements. o Address proper abandonment of wells/septic tanks. o Address house connections/reconnections. Make sure the project schedule is reasonable. Clearly address and disclose any conflict of interest issue. Insure that cost estimates are professionally prepared. Are unit costs reasonable? Be sure that architectural and engineering reports are signed and stamped by a certified professional. With Streets and Drainage projects: Are design standards identified? What is the standard? Was a drainage study completed that includes downstream impact?

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Impact:
Some of the basic components essential in addressing project impact are as follows:
How many people will benefit? Including jobs created (FTEs) as applicable. What is the cost per person/job benefiting? How does the project impact on the benefiting population's quality of life, living environment or
opportunities for economic advancement? Can you substantiate this in any way other than through a good narrative? Analyze the documented severity of need and the impact of the project on the identified need or problem. Fully describe your application's impact on the need. What percentage of the need will be met? With Buildings document overcrowding and other existing building inadequacies with photographs. To a great extend, an applicant's impact score is determined by the documented severity of need compared to other similar applications. The severity of need is often determined by the extent to which the need described affects the job opportunities or health and safety of L/M residents. Include letters from third parties that provide evidence and validation of need/commitments, such as letters from private firms, environmental health specialists, EPD consent orders/letters, etc. Include letters from residents describing problems shown in the application. Provide accurate and detailed photographs, preferably dated, numbered and keyed to a map. Scores may be enhanced with good photographs. Photographs for housing projects should show both interior and exterior conditions; street and drainage and building photographs are critical for documenting need. Include reports from building inspectors on housing applications. Include news reports discussing problems shown in the application, if available. Avoid low-density population target areas, unless an extremely high need exists
Strategy:
Some of the basic components essential in addressing project strategy are as follows:
Accurately and clearly describe the problem and its severity. Document the need you describe. Be sure that the benefit/job number and cost per person/job is reasonable. The project must principally benefit L/M income persons and meet the required L/M threshold. Consider alternatives and propose the most appropriate and cost effective alternative. Provide
costs for the alternatives not chosen and explain why the chosen alternative was the most appropriate, price and other things considered. With Buildings:
o Is the proposed site accessible? o Is a new level of service being provided? o Who is the major beneficiary? o Is the proposed benefit/job number reasonable? (Project only unduplicated beneficiaries
over the period of one year. For example, if a senior center has a meal program that is attended by 50 people a day Monday through Friday, the beneficiary count will be 50.) o Is there a similar building in the city/county? o Have potential environmental impacts including historic structures on site or in the vicinity, archeological sites, etc., been considered? o Provide a clear before and after picture of the existing and proposed facility and program, including floor plans, customers served, and programs offered. Consider using a chart to show use and times of use for activities in the proposed facility. If a new or

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relatively new organization will provide services in a DCA-funded facility, consider preparing a brief business plan to assist in demonstrating the organization's capacity to provide the proposed services. o Focus on the needs of clients. The needs of staff are secondary unless they affect clients directly. o Discuss why other buildings in the community are not available. Provide maps that support your project, including topo maps. Is evidence of conformance with the Comprehensive Plan and Service Delivery Strategy included in the application? HAVE THE CLARIFICATIONS DISCUSSED IN THE DCA MEMO DATED FEBRUARY 27, 2008 BEEN ADDRESSED? SEE THE APPENDIX.
Additional Guidance on Competitiveness
See the Appendix and Guidance Sections for further information.
Applicants proposing housing or reconstruction must complete a Financial Plan (see Appendix), that summarizes proposed activities. The Plan must be attached to DCA-5.

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Part IV: INSTRUCTIONS FOR COMPLETING APPLICATION FORMS
Note that instructions for DCA forms have not been updated since the publication of the FY 2009 CDBG Applicants' Manual. Please note the needed updates in Parts I III.
Note that all required forms are available at the DCA web site and should be accessed from that site:
http://www.dca.ga.gov/communities/CDBG/index.asp

Form DCA-1: Application Summary

Please complete DCA 1 in the following manner:

Items 1 - 6: Enter name of applicant, official mailing address, census tract and block information, project address, e-mail, and telephone number and area code of the city or county who is making the application.

Item 7 - 12: Enter name, job title, agency, mailing address, e-mail, and telephone number and area code of the grant writer/contact person regarding the application. This person may be contacted during the review process to answer direct questions or to provide additional information regarding the application.

Items 13 - 18: Enter name, job title, agency, mailing address, e-mail, and telephone number and area code of the grant administrator (if known).

Item 19: Briefly title the program (e.g. "Target Area Water Improvements") and provide a brief description of project activities. Please include all activities and briefly quantify the described activities. A needs description is not necessary for this item. An example of a brief title and description might be:

"Provide new water lines and service connections for the Eastside Neighborhood to benefit 53 persons, all of whom are members of low-income households."

Items 20 - 23: Please check the appropriate box.

Item 24: An unscheduled visit to the project site will be conducted by DCA staff on all top-ranked applications that identify specific site(s) or targeted neighborhoods. Maps should be designed clearly and accurately so that the site visit team can locate the proposed target area, the existing conditions and all activities.

Items 25 & 26: Enter the number of months that you anticipate implementation will require, together with beginning and ending dates for the program. A start date of October 15, 2009 should be anticipated. Note that CDBG program requirements expect completion of all projects within 24 months.

Item 27: Enter amount of CDBG/CHIP funds requested. This amount must match the

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amounts on forms DCA-7 and DCA-8.
Item 28: Check box to indicate application type.
Items 29 & 30: Application must be executed by chief elected official or other person authorized by resolution to submit the application. Attach resolution.

Form DCA-2: Proposed Accomplishments

The purpose of this form is to provide a quantified summary of the accomplishments proposed by the applicant to be undertaken with CDBG/CHIP funds. Note that a similar form will be used at project completion to collect data on actual accomplishments. Be sure to make an entry for all proposed CDBG funded activities.

Header: Indicate the name of the jurisdiction for which the application has been prepared. Check whether this is an Original Application form or an Amended form. Include date of amendment if applicable. DCA will write in the project number if funded. This number should be included on any amended forms. Include the proposed accomplishments for the total grant here as well, CHIP or CDBG. This will usually the total population of the target area(s).

Activity and Measure Columns: The column labeled "Activity" is a list of various possible CDBG funded activities. The column labeled "Measure" is the corresponding units of measurement used to quantify proposed accomplishments.

The only entry to these two columns by an Applicant or Recipient would be to enter the type of building (example: Senior Center, Head Start Center, etc.) or the type of "Other Public Facility" (example: Sidewalks, Gas Lines, etc.) if these types of activities are proposed.

Proposed Accomplishments Column: Here the applicant must enter the actual data corresponding to each CDBG/CHIP funded activity and the corresponding measure. For example, if an applicant proposes to acquire 4 structures, 5 easement parcels, and dispose of 1 parcel, the following entry would be made:

Activity

Measure

Accomplishments

Acquisition, Disposition

# structures

4

# parcels

5/1

Note: See instructions for DCA-6 for detailed information on counting persons to benefit.

Form DCA-3 : Community-wide Needs Assessment

This form is no longer required.

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Form DCA-4: Description of Needs to be Addressed
This form asks you to describe the needs being addressed by your grant request. The next form, DCA5, is where you describe how those needs will be addressed through the activities funded by the grant. Please keep this distinction in mind when filling out these two forms.
For single-activity applicants, describe the specific needs around which the program is designed within one of the following three problem areas:
9 Housing 9 Public Facilities 9 Economic Development
For multi-activity applicants, describe the community development needs (i.e., housing, public facilities, economic development) which have been identified. In order to be competitive, all existing conditions of the proposed multi-activity target area should be described including but not limited to: housing conditions, street, drainage, water system, sewer system, etc. Need for improvement of the existing conditions should be noted and addressed in DCA 5. Identified needs not met under the program (if any) should be explained.
Form DCA-5: Description of Activities
Header: Indicate the name of the jurisdiction for which the application has been prepared. Check whether this is an Original Application form or an Amended form. Include date of amendment if applicable. DCA will write in the project number if funded. This number should be included on any amended forms.
Do not repeat information included on form DCA-4. Describe in detail each activity, identifying each activity by name and number, to be undertaken with CDBG funds. This description should be specific and provide sufficient detail concerning the nature, scope, location and purpose of activities and how they are designed in accordance with applicable law, regulation and how they relate to each other.
Housing activities should include descriptions (narrative and photographic) for each unit proposed, including estimates of activity cost (by housing unit) as well as the basis for determining cost. Descriptions of units should illustrate problems in each unit in sufficient detail to justify projected costs.
Note: When preparing cost estimates keep in mind that the work under the program, if it is funded, may occur as far as 30 months after submission of the grant application. All housing activities are subject to the "20% Rule" that requires PRIOR DCA approval to exceed the application cost estimate by more than 20% (including change orders).
Applicants proposing housing rehabilitation or reconstruction must complete a Financial Plan (See Appendix H) that summarizes proposed activities. The Plan must be attached to DCA-5
Note: Rehabilitation of units built prior to 1978 is required to conform to HUD Regulations 24 CFR Part 35 (Lead Based Paint Poisoning Prevention).
Applicants are instructed to list administration as the last activity. No description is

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necessary for contingencies. Architectural design or engineering, and related activities should be considered as a component of each activity and not as a part of the program's administrative costs. Please refer to the description of eligible activities in Part I of this manual and/or contact DCA staff for further guidance.
DCA will consider activity line item (not administrative) budget requests for "extraordinary compliance or administrative measures" when the applicant can demonstrate that administrative allowances are insufficient to adequately compensate for costs such as archeological surveys, archival photographs or other unforeseen costs of complying with the Programmatic Agreement on Historic Preservation, environmental impact statements, etc., or other compliance or administrative measures necessary due to a high number of complex and complicated cases relative to property that must be acquired in order for the project to proceed.
Applicants should be aware that DCA may request reviewing comments from State, Federal and other agencies involved financially or with any other interest in the proposed project. Any comment with significant adverse impact upon project feasibility or strategy may reduce the score. Applicants may choose, therefore, to solicit reviewing agency comments at the outset, and, as necessary, incorporate reviewing comments into application narratives, engineering reports, etc., prior to application submission.
Applicants are further advised to discuss the impact proposed activities will have upon the needs identified in DCA-4. Applicants are encouraged to meet 100% of the needs identified in Form DCA-4. Multi-activity applicants should also describe how activities will interrelate with each other to address the identified need.

Applicants should also include a project implementation schedule with Form DCA-5. The following example is included for guidance.

Activity Award

Initiate N/A

Completion date October 2009

Complete environmental, floodplain & historic assm't. etc.

December 2009

January 2009

Design water system

December 2009

April 2009

Acquisition titles & plats for easements

December 2009

February 2009

Design approvals

May 2009

June 2009

Bidding

July 2009

August 2009

Award and Construction

September 2009

March 2010

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Housing rehabilitation policy

December 2009

January 2009

Applications and rehabilitation

February 2009

March 2010

Initiate & complete close-out

April 2010

June 2010

Conformance with the Georgia Planning Act: One of the review factors considered as a project strategy question is the conformance of the proposal with the locally adopted Comprehensive Plan, as approved by DCA. In order to demonstrate conformance, applicants should discuss on Form DCA-5 how the proposal conforms to the Plan, including citations or quotes from pertinent pages of the Plan.

In addition, state law requires that all projects funded demonstrate that the project is not inconsistent with the community's adopted Service Delivery Strategy. The appropriate citation of the Strategy along with any attachments and service area maps should be included in the application, along with a signed Certification that the project is not inconsistent with the Strategy. If the project is not covered by the adopted Strategy, a statement to that effect should be included in the Certification.

Form DCA-6: Low/Moderate Income Benefit and Civil Rights Data Calculation

Under the CDBG program, applications are required to have at least a 70% benefit to low- and moderate-income persons (51% for economic development and 100% for direct housing activities) for each activity (administrative and contingency budgets are excluded). Income limits are included in this manual as Appendix B. The applicant is also advised to refer to Part I of this manual for the definition of "low- and moderate-income". In addition, data must be provided to demonstrate compliance with applicable civil rights statutes. Appendix C, Guide to Acceptable Survey Methodology, includes a sample of an income survey form applicants may consider using.

Each step of the calculation is described below. Applicants must use Form DCA-6 for display of the information.

In column 1 list each CDBG funded activity number. Do not include administration or contingency. If the same activity will be implemented in different areas of the community, provide a separate line for each component (i.e., Area 1 and Area 2). See Note on Activity Numbering System preceding the forms, and the numbering scheme on DCA-7.

In column 2 show the total number of persons that the activity will serve.

In column 3 provide the total number of minorities who will be served by the activity. "Minority" is defined as any non-white (including Hispanic) person.

In column 4 provide the total number of non-minority persons who will be served by the activity. A "non-minority" is defined as a white person. The sum of columns 3 and 4 should equal column 2.

In column 5 show the number of low- and moderate-income persons that the activity will serve.

In column 6, divide column 5 by column 2 to show the percent of low- and moderate-income persons that the activity will serve.

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In column 7 show the amount of CDBG funds requested for the activity.

In column 8 multiply column 7 by column 6 to show the amount of the funds for the activity that will be used to benefit low- and moderate-income persons.

At the bottom of column 7 show the total amount of funds requested by adding up the amounts for each activity.

At the bottom of column 8 show the total amount of funds that will benefit low- and moderate-income persons by adding up the amount of funds to benefit low- and moderateincome persons for each activity.

In box 9 determine the overall benefit to low- and moderate-income persons by dividing the total of column 8 by the total of column 7 and enter the percent in the "Total Benefit".

Describe the methodology used to determine the number of minorities/ non-minorities and the number of low and moderate-income persons to be served by each activity. Attach additional sheets if needed and include a copy of any survey form used to determine benefit.

Applications may be considered ineligible for competition without a complete, appropriate and acceptable description of the method used.

In the case of public buildings in which a service is provided, list the current total number of persons using the facility and the number who are low- and moderate-income. Do not provide the number of visits to the facility. If applicable also list the projected number of persons to be served and the number of these who are low- and moderate-income.

Also for public buildings, provide the source of the information and indicate how low- and moderateincome status is documented. Note that for certain "limited clientele" buildings, L/M income status is generally presumed to be 100%. This includes elderly persons, handicapped persons, abused children and certain other groups. Contact DCA for guidance if needed.

For certain other public buildings, including health centers, information on family size and income of center users must be available to document low- and moderate-income benefit.

When a survey is used to determine the number of persons benefiting and their income status, the following information at a minimum must also be provided in the methodology section of DCA-6:
9 # of households in the target area (geographic area of benefit) 9 # of households interviewed 9 # of persons living in the households interviewed (minority vs. non-minority) 9 # of low and moderate income households interviewed 9 # of persons living in the low and moderate income households interviewed 9 # of households interviewed in which the income was above the low- and moderate-
income levels 9 # of persons living in the households in which the income was above the low- and
moderate-income levels 9 Description of how the sample (if any) was selected and how the total number of
households in the target area was determined. To be a valid sample survey the sample must be a "random sample" chosen using an acceptable methodology. Please use DCA's Acceptable Survey Methodology publication for guidance in this area.

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9 Description of how the survey was completed, including who did the interviews, when they were completed (time and day) and other details.
9 A copy of the actual survey form used must be provided.
Note that the total number of people benefiting on DCA-6 (total of column 2) may not reconcile to the total number of people benefiting on DCA-2. Some activities are combined on DCA-2 to form larger HUD-recognized categories that DCA must use in reporting beneficiaries to HUD.
Form DCA-7: Budget Summary
Part A of this form should include an assessment of CDBG funds budgeted for the project. Please review the Eligible Activities section in Part I of this manual for guidance on budgeting within appropriate line items. It is also important that each activity budget on Form DCA-7 be consistent with activity and cost summaries outlined on forms DCA-5 (activities summary) and DCA-8 (budget analysis).
9 In column (a), enter the amount allocated for each type of activity being undertaken to deal with housing need(s) funded by CHIP, if any;
9 In column (b), enter the amount allocated for each type of activity being undertaken to deal with housing need(s) funded by CDBG, if any.
9 In column (c), enter the amount allocated for each type of activity being undertaken to deal with public facility need(s), if any.
9 In column (d), enter the amount allocated for each type of activity being undertaken to deal with economic development need(s), if any.
9 In column (e), enter the sum of amounts shown in columns (a), (b), (c), and (d) for each type of activity listed.
9 Please refer to the Eligible Activities section in Part I, Appendix A, and Appendix G, for assistance in determining the eligibility of specific activities.
9 General Administration (line 50) - Enter the eligible CDBG costs of general administration on line 50. Do not include Project Delivery Costs with administrative costs on line 50. These costs are to be included with line item costs for activities that are eligible for PDC's.
9 Contingencies may not exceed 10% of the grant amount shown in Part A, Line 52.
Part B of this form is used to identify the total funds available (including in-kind contributions) to complete the program.
9 Line 1: Enter the CDBG grant requested from DCA.
9 Line 2: Refers to CHIP grants.
9 Line 3: Enter the amount of program income expected to be received (if any) and applied to program activity costs. This would include any income received from previous CDBG projects that is not reserved, by DCA approved local policy, for economic development activities.

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9 Line 4: Enter the amount of other Federal grants or loans, such as Rural Development or ARC funds which will be provided in support of the program. Provide documentation of commitment from the Federal agency whenever possible to enhance competitiveness and for calculation of the leverage score.
9 Line 5: Enter the amount of local funds to be provided by the applicant (including required match amount) in support of the program. Provide documentation of commitment.
9 Line 6: Enter the amount of other State funds to be provided in support of the program. Provide documentation of commitment from the State agency whenever possible to enhance competitiveness and for calculation of the leverage score.
9 Line 7: Enter and identify private lender contributions or commitments
9 Line 8: Enter and identify other funds, such as private commitments in support of the program. Provide documentation of private commitment to enhance competitiveness and for calculation of the leverage score.

Form DCA-8: Budget Analysis

General Information
The purpose of this form is to allow applicants to describe, in detail, the resources available, or to be made available, for each activity. Applicants are encouraged to provide sufficient quantifiable data and to describe supporting efforts for the proposed program. Form DCA-8 should be backed-up by credible estimates of program cost prepared by individuals and agencies qualified to provide them.
Note that a cash match contribution is required of all projects except for CDBG singleactivity housing applications as follows: a) 0% for amounts up to $300,000 in CDBG funds; b) 5% for amounts from $300,001 to $500,000 in CDBG funds; c) 10% of amounts from $500,001 to $800,000 in CDBG funds.
The minimum required cash match to receive a $500,000 grant would therefore be $10,000, and to receive an $800,000 grant would be $40,000. The first $300,000 is always match free. Although the match must be a cash match and cannot consist of in-kind services, its source can be local public funds, other state or federal funds, or private investments or contributions. Whatever the source, it must be evidenced by a firm written commitment to be counted as match (either a resolution or letter).

Match funds cannot be used for administration or contingency costs.

Finally, please note that DCA will assign "leveraging" points for other funds and resources, over and above the required minimum cash match. All leverage claims must be listed on this form. Leverage will also include documented fees paid for planning and preliminary engineering services specific to the CDBG project paid or invoiced prior to application submission. A separate letter must be included documenting any funds/services to be included as leverage. Please see the section on Leverage of Additional Resources in this manual for more complete instructions on what may be counted as leverage.

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9 In column 1, list the activity name and number. See note on numbering system on page 55.
9 In column 2, briefly itemize CDBG funds allocated for each activity, consistent with Section A of the Budget Summary (Form DCA-7). These brief summaries can reference additional detail that may be included in architectural or engineering reports and attached to the application. The purpose of this form is to allow a review panel to compare unit costs. Be sure to provide units and costs (i.e., "construct 5,000 SF health center @ $75 SF -- total cost: $375,000).
Total engineering and architectural costs must be itemized here and shown in columns 3 though 6.
Housing applications including rehabilitation activities for units constructed prior to 1978 should budget an additional 25% of the total estimated rehabilitation cost to fund compliance with lead-based paint regulations.
Sufficient detail should be provided in this column to support proposed engineering and inspection fees. Such data should include detail on proposed services, as well as estimated fees for design services, conferences, travel, resident and periodic inspections, tests, surveys, printing and reproduction, additional services, etc. Please refer to Part II of this manual that addresses Limitations on Administrative and Professional Fees.
Preliminary (pre-award) fees are not reimbursable. CDBG funds may not be allowed for total proposed engineering fees if sufficient justification is not provided. Documented pre-award fees paid for planning and legitimate preliminary engineering services (in-depth and well-documented studies, etc.) specific to the CDBG project may be shown as leverage in column 5. Fees paid for the preparation of an application may also be eligible as leverage.
9 In column 3 reference the CDBG cost, if any, for each item shown in column 2. If the item in column 2 will not be paid for with CDBG funds, indicate by placing a -0- in column 3.
9 In column 4 reference the CHIP cost, if any, for each item shown in column 2. If the item in column 2 will not be paid for with CHIP funds, indicate by placing a -0- in column 4.
9 In column 5a show the amount of "other funds", match and leverage (not CDBG or CHIP) that will be used to pay for itemized costs. The source of these funds should be identified on column 5b
9 For competitive reasons, applicants are encouraged to obtain credible estimates for all costs. Examples of "other funds" could be: a) local government, b) federal agency, c) private sector, d) program income or e) state agency.
9 In column 6, enter the total amount of funds available to carry out the proposed activity. On each page of DCA-8 use block 7a to subtotal columns 4, 5 and 6. On the final page, use block 7b to total all pages.
9 For an explanation of leverage contributions or other actions in support of the project,
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please use block 8 (the space at the bottom of Form DCA-8). Be specific. Attach clear commitments from the appropriate agencies. IN ORDER TO BE CONSIDERED FOR CREDIT FOR LEVERAGE CONTRIBUTIONS, A VALUE MUST BE PLACED ON THESE CONTRIBUTIONS IN COLUMN 5. The following is an example of how Form DCA-8 may be completed
The following is an example of how Form DCA-8 may be completed:
(Space Intentionally Left Blank)

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1 Name/Number

FFY 2009 CDBG Stimulus Application Manual

2 Itemized Unit Cost

3
CDBG Funds

4 CHIP Funds

5 Other Funds

6 Total

A-03j-01 Waterlines

Construction

$300,000
(see Eng. Report)

$10,000 (Local Cash)

$310,000

Engineering and inspection, etc. (See Eng. Report)

$30,000

-0-

$30,000

Administration & Audit

$13,000

-0-

$13,000

Resurfacing at

culvert locations

by DOT (see DOT

letter)

-0-

$10,000 GA DOT

$10,000

ROW Restoration, etc.

$10,000 Any Town

$10,000

7.

Totals $343,000

-0-

$30,000

$373,000

8.

Narrative for Match and Leverage Funds: The City of Any Town will use its crews to

perform fine grading and grassing, right of way restoration, clean-up, etc. This cost is

estimated at $10,000. Please see attached letter. Also see attached letter committing

local cash and the 8.attached letter from GA DOT.

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Form DCA-9: Environmental Review Checklist
Note: This form is self-explanatory.
Form DCA-10: Certified Assurances
Note: This form is self-explanatory. Be sure to attach a description of any possible conflict of interest situation and a copy of the resolution authorizing submittal of the application.
BE SURE THAT THE CHIEF ELECTED OFFICIALS THOROUGHLY REVIEWS THIS DOCUMENT BEFORE HE OR SHE SIGNS IT.

Form DCA-11: Cooperating Agreement

Note: This form is self-explanatory.

Form DCA-12: Maps

Applicants must submit map(s) that are clearly legible and will enable DCA staff to find the proposed activity site(s) without local assistance during a site visit.

All map(s) must include a scale, north arrow and legend. More than one scale of map may be used to show detail, but all scale(s) must be indicated on the respective maps. A larger community-wide map should indicate the boundary of the area represented by more detailed maps. More than one type of requested information can be included on a map if it is clearly legible. A legend must be included to indicate what different colors or patterns represent.

Maps must, at a minimum, include the following information:

Project activity location(s). For housing and multi-activity projects this includes all existing conditions described on Form DCA-4 and the proposed improvements identified on Form DCA-5 (i.e., house-by-house analysis of renter/owner, occupied/vacant, standard/deteriorated/dilapidated, acquisition/relocation/demolition, conventionally-built/manufactured homes, lot sizes, etc.). All project activity maps should include existing land use information, i.e., lot lines, housing, commercial, and industrial units, and if possible, whether units are owner or renter occupied.

For public facility activities show the locations of facilities proposed, together with the location(s) of facilities to be replaced. For centers, show existing and proposed locations;

Project activity service area(s);

Location of areas of concentration of low- and moderate-income persons, including number and percentage of these persons, if available;

Locations of areas of concentrations of minorities, including number and percentage, if available; and

Location of areas of concentration of substandard and deteriorated housing, including number and percentage, if available.

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If the community has low- and moderate-income persons, substandard housing units and/or minority people dispersed throughout the community, indicate this on the map's legend; and 1) display the location of the proposed activity(s) and its service area; 2) indicate the numbers and percent of L/M income families, minorities and substandard housing located within the jurisdiction making application; and 3) provide the same data for the CDBG service area(s). Any required information excluded from required maps may lead to a reduction in the strategy score.
In order for review panels to assess feasibility, strategy and compliance with floodplain and wetland requirements, applicants are encouraged to submit with their applications USGS topographic maps from the 7.5 minute, 1:24,000-scale quadrangle series.
Form DCA-13: CDBG Disclosure Report
All applicants must complete and submit Parts I and II of the Disclosure Report. At the completion of Part II of the report, some applicants will find that they must complete Parts III, IV, V and VI of the Report.
Part I requires the applicant's name, address, phone number; indication as to whether this is an initial report or an update; the amount of CDBG funds being requested; the amount of any CDBG program income that will be used with the CDBG grant; and the total amount of CDBG assistance.
Part II asks two questions. If the answer to both questions is "no," the applicant must provide the certification at the end of Part II but is not required to complete the remainder of the report. If the answer to either question is "yes" then the applicant must complete the remainder of the Report.
Part III requires information on any other Federal, State and/or local assistance that is to be used in conjunction with the CDBG project.
Part IV requires the identification of interested parties. Interested parties are persons and entities with a reportable financial interest in the project. If an entity (such as a corporation, partnership, etc.) is being disclosed, the disclosure in Part IV must include an identification of each officer, director, principal stockholder or other official of the entity. Please indicate if the person or entity is a "sole proprietorship." All consultants, developers or contractors involved in the application for CDBG assistance, or in the planning, development or implementation of the project, must be identified as an interested party. Also, any other person or entity that has a pecuniary interest in the project that exceeds $50,000 or 10 percent of the CDBG assistance, whichever is lower, must be listed as an interested party. Pecuniary interest means any financial involvement in the project, including (but not limited to) situations in which a person or entity has an equity interest in the project, shares in any profit on resale or any distribution of surplus cash or other assets of the project or receives compensation for any goods or services provided in connection with the project. (The following are not considered interested parties: local CDBG administrative staff, recipients of housing assistance, and rehabilitation contractors as long as the rehabilitation agreement is between the property owner and the contractor.)
Part V requires applicants to identify the sources and uses of all funds to be used in conjunction with the CDBG funded project. The sources and uses must include all the other assistance identified in Part III as well as the CDBG funds identified in Part I, items 3a, and 3b).
Part VI requires the certification of the Chief Elected Official.

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Note on Activity Numbering System
The activity number is used in this application on the Description of Activities (DCA-5), Low- and Moderate-Income Benefit and Civil Rights Data Calculation (DCA-6), the Budget Summary (DCA-7), and the Budget Analysis (DCA-8). In all instances, the activity should be referred to both by the activity number and activity name, as it appears on the Budget Summary (DCA-7).
The activity number system has two components:
The prefixes indicate the purpose of the activity as follows: A = Administration C = Contingencies E = Economic Development H = Housing P = Public Facility T = Engineering S = Architecture
The second component is the budget code. The codes can be found on the Budget Summary Form (DCA-7). Every code is comprised of three (3) alpha or numeric characters followed by a hyphen and then two (2) additional numeric characters. This code indicates the type of activity.
For example:
P-001-00 = Acquisition of Property for a Public Facility H-001-00 = Acquisition of Property for Housing A-21A-00 = Grant Administration C-022-00 = Contingencies

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PART V: APPENDICES, FORMS, AND ADDITIONAL GUIDANCE
Note: These appendices and forms can be located at DCA's web site at http://www.dca.ga.gov/communities/CDBG/programs/CDBGregular.asp#appmanu als.
Appendices
Appendix A - Eligible Activities Excerpt from Title I of the HCD Act Appendix B - Low- and Moderate-Income Limits Appendix C - Guide to Acceptable Survey Methodology and Sample Survey Form Appendix D - HUD National Objectives Appendix E - Supplemental Information and Documentation Appendix F - CDBG Conflict of Interest Regulations and Guidance Appendix G - List of Major Applicable Federal Laws Appendix H - Financial Plan Form (Housing Only) Appendix I - Programmatic Agreement on Historic Preservation Appendix J - DCA Policy on Adjustable Rate Mortgages Appendix K - Sample Floodplain Notices, 404 Permit Information, Request for Determination of Jurisdictional Wetlands Appendix L HUD Notice: Using CDBG to Address Homelessness Appendix M HUD Notice: Fair Housing Agencies Eligible for CDBG Funding Appendix N HUD Notice: Affirmatively Furthering Fair Housing in the CDBG Program Appendix O DCA Notice to the Field: Clarifications for the Annual Competition and Ineligible Procurement Practices
Application Forms
DCA 1 13
Guidance
Employee Confidential Income Release Form- FFY 2009 Income Limits Guidance on Completing the CDBG Environmental Review Requirements Updated OMB Implementing Guidance for ARRA OMB Guidance for ARRA Buy American Provisions

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