Community Development Block
Grant – Disaster Recovery
Overview and Implementation
August 05, 2014
AGENDA
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Introductions
Program Overview
Program Requirements
The Process – from Application to
Payment
• Resources and Contacts
• Q&A
Overview: What is CDBG-DR?
• Special appropriations by Congress following a
disaster
• Supplements FEMA, SBA, NFIP, USACE and
other federal resources to cover unmet needs
• General focus is on ‘recovery’ rather than
‘relief’
• Administered by HUD as grants to States (or
entitlements) following CDBG rules with
certain waivers
Appropriations Law
Funds must be used for:
“…necessary expenses related to
disaster relief, long-term recovery, and
restoration of infrastructure, housing,
and economic revitalization…”
Colorado Disasters
Applicable Disasters
• DR 4145 – Colorado Severe Storms, Flooding,
Landslides and mudslides – Sept. 2013
• DR 4134 – Black Forest Wildfire – June 2013
• DR 4133 – Royal Gorge Wildfire – June 2013
• DR 4067 – High Park and Waldo Canyon
Wildfires – Jun/Jul 2012
First Allocation of $62.8 Million covers only the
Colorado Floods of 2013.
Wildfires included as part of Second Allocation
Allocations
• 1st Allocation - $62.8 Million (Floods Only)
– Federal Register Vol.78 No.241; Dec 16, 2013
• 2nd Allocation - $199 Million (Includes Wildfires)
– Federal Register Vol.79 No.106; Jun 3, 2014
• 3rd Allocation - $58 Million
– TBA
• Nationwide Competitive Resiliency Grant $1B
First Allocation $62.8M
Program
Household Assistance*
New Construction
Private Roads and Bridges**
Infrastructure
Amount
$12,826,900
10,440,500
2,000,000
19,477,600
Planning
1,000,000
Economic Development Grants and Loans
9,000,000
Economic Development Tourism Marketing
500,000
Agriculture
4,500,000
Administration
3,055,000
TOTAL
$62,800,000
* Includes Temporary Rental Assistance, Down Payment Assistance, SingleFamily Rehabilitation, and Construction and Demolition
** Colorado is currently seeking a waiver to implement this program
Implementation Partnership
• Overall Management – Department of Local
Affairs (DOLA)
• Housing Programs – Division of Housing (DOH)
• Infrastructure Programs – Department of
Homeland Security and Emergency Management
(DHSEM)
• Economic Development Programs – Office of
Economic Development and Int’l Trade (OEDIT)
• Agriculture Programs – Colorado Department of
Agriculture (CDA)
AGENDA
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•
•
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Introductions
Program Overview
Program Requirements
The Process – from Application to
Payment
• Resources and Contacts
• Q&A
Program Requirements
Projects Must …
• Be Disaster Related*
• Meet a National Objective
– Serve Low/Moderate Income
– Address Slum and Blight
– Meet an ‘urgent need’
• Be an Eligible Activity under CDBG
*”Disaster Related” does not always mean “damaged.”
Program Requirements
As a Grant we must …
• Ensure 50% of the dollars are
invested in programs that serve Low
and Moderate Income Households.
• Ensure 80% of the resources go to
the 3 most heavily impacted counties
of Boulder, Larimer and Weld.
Expenditure Deadline!!
April 29, 2016
• 2 years from the date HUD grant
agreement was executed with the State of
Colorado.
• All $62.8 million must be expended and
drawn
National Objectives
1. Benefit low- and moderate-income (LMI)
persons
– LMI Area Benefit (Census or Survey)
– LMI Limited Clientele
– LMI Housing
– LMI Jobs
2. Aid in the prevention or elimination of Slums
or Blight (Area or Spot basis)
3. Urgent Need (threat to community health /
welfare; disaster related impact; 18 month
requirement waived for post-Sandy disasters)
Eligible Activities
CDBG regulations permit grantees to undertake
a wide range of program activities in the
following broad categories:
• Housing
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Public Facilities
Public Services
Economic Development
Planning and Administration
NOTE: Cost share for other federal funds is allowed, provided the original use was for an
eligible activity.
Chapter 2 of this document provides an excellent resource for determining the eligible
activity:
http://portal.hud.gov/hudportal/HUD?src=/program_offices/comm_planning/communi
tydevelopment/library/stateguide
What’s Different from Regular CDBG?
• Timely Expenditure requirement (2 year clock)
• Serve 50% LMI rather than 70%
• Prevention of Duplication of Benefits
requirement
• Prevention and identification of Fraud, Waste,
and Abuse requirement
• Citizen Participation requirements
• Pre-agreement costs
• State can contract directly with entitlements,
nonprofits, for-profits, and other entities
Duplication of Benefits
CDBG-DR is the “funding source of last resort.” Verification is
needed that demonstrates all other sources:
• Have been depleted (or unavailable, provided
application was made), including insurance payments,
FEMA assistance, and Small Business Administration
assistance. Funds from any other source that are
available for the same purpose being applied for are
considered to be duplicated benefits.
• Subrogation Agreements are REQUIRED – repayment of
funds if another source is received or disclosed at a
later date.
A separate notice regarding Duplication of Benefits can be found in Federal Register
Vol. 76, No. 221/ November 16, 2011.
CDBG Requirements
DR activities must adhere to all applicable Federal and State
CDBG Program guidelines and requirements, unless specifically
waived by HUD, including:
• Environmental Review (NEPA)
• Recordkeeping Requirements (see
Exhibit I-A)
• Uniform Relocation Assistance
• Section 3
See the CDBG Guidebook located at
http://www.colorado.gov/cs/Satellite/DOLAMain/CBON/1251592194217 for assistance with complying with
CDBG requirements.
CDBG Requirements (cont.)
• Affirmatively Furthering Fair Housing
• Section 504
• Labor Standards – Davis-Bacon
prevailing wage requirements and
enforcement
See the CDBG Guidebook located at
http://www.colorado.gov/cs/Satellite/DOLAMain/CBON/1251592194217 for assistance with complying with
CDBG requirements.
Labor: Davis-Bacon
Applies to federally funded construction
• Greater than $2000
• Residential construction of greater than eight
units
Does not apply
• For cost share on FEMA PA Category A & B
(Debris removal and emergency response)
• Projects completed prior to May 16, 2014
without the initial intent of using CDBG-DR
Labor: Davis-Bacon (cont.)
• Copy of Wage Determination or Exhibit VII-D
• Evidence of Wage Lock-In
• Copy of Bid Package
• Bid Log kept
• Minutes of the Bid Opening recorded
• Evidence of Bid Bond and Payment Bond
• Contractor Eligibility Verification (debarment
check in SAM)
Labor: Davis-Bacon (cont.)
• Construction Contract Award Letter/ Notice to Proceed
• Copy of Construction Contract or Construction File
• Weekly Payrolls
• Additional Job Classification Request (if applicable)
• Copy of Job Site Interviews
• Section 3 Recruitment Efforts
• Notice of Final Payment
See Contractor’s Guide to Davis-Bacon in your handouts
for more information
Procurement
• Use your own locally approved
standards, as long as they are
equally or more restrictive than
24 CFR Part 85.
AGENDA
•
•
•
•
Introductions
Program Overview
Program Requirements
The Process – from Application to
Payment
• Resources and Contacts
• Q&A
Process Overview
• Application
• Award Letter / Environmental
Review
• Contract Process
• Reimbursement Process
• Quarterly Reporting
Infrastructure Application Example
APPLICANT
(UGLG)
Submits Notice of Intent (NOI)
DOLA
Program Lead
Review and Score
Preliminary Approval of Project List
Submits Complete Application
based on approved projects
Issue Conditional Award
Letter
Complete Environmental Review
Process
Issue Release of
Funds (ROF)
Write Statement of Project
(SOP) or of Work (SOW);
Develop Contract based on
approved template
Pre-Review
Signs Contract
DOLA Executes Contract
Repeat Award Letter, ROF, Contract process as projects are ready for implementation.
Release of Funds Process
1. Award letter
– Identifies level of environmental review
required
2. Grantee completes environmental
review process using proper form
3. CENST and EA forms sent to
AGEISS for review
4. ROF letter issued
Environmental Review
See handout: Recipients will either submit documentation to AGEISS
OR
Request assistance with the environmental review
Environmental Review
• The AGEISS team will be available for the
following:
– to provide technical assistance for environmental
review questions;
– to complete CEST and EA environmental review
requirements for any CDBG-DR grantee; and
– to review all CEST and EA environmental
documents for completeness, regardless of who
completed the review.
AGEISS is to be utilized strictly for CDBG-DR funded projects
Environmental Review
• CDBG Environmental Guidebook:
www.dola.state.co.us/environmentalreview
• Environmental Consultant – services for CDBG-DR
Grantees
AGEISS Inc.
Energy | Environment | Facilities | Professional Services
1202 Bergen Pkwy, Ste. 310, Evergreen, CO 80439
Main contact: Jennifer Loos at 303-674-5059 x121
AGEISS team email: DOLA-Support@ageiss-inc.com
Contract Overview
• All contract documents are boiler templates that
have been approved by the Office of the State
Controller
• Generally one contract per project, but
exceptions are possible
• No required cure period for failure to perform
• Reimbursement of Pre-Agreement Costs
Contract Exhibits
• Exhibit A – Applicable Laws
• Exhibit B – Statement of Project
• Exhibit C – Supplemental Provisions for
Federal Funding Accountability and
Transparency Act of 2006 (FFATA)
• Exhibit D – Rent and Income Limit Table
• Exhibit E –Form Of Option Letter
• Exhibit F – Procedure to Prevent
Duplication of Benefits
Start-up Requirements
• Assurances and Certifications (Exhibit I-B)
• Excessive Force Resolution (Exhibit I-D)
• Residential Anti-Displacement and Relocation
Assistance Plan (Exhibit I-F)
• Intergovernmental Agreement (IGA) — if
necessary (Exhibit I-G)
• Memorandum of Understanding (MOU) — if
necessary (Exhibit I-H)
These exhibits are available in the CDBG Guidebook located at
http://www.colorado.gov/cs/Satellite/DOLAMain/CBON/1251592194217
Start-up Requirements (cont.)
• Delegation of Signatory Auth. (Exhibit II-F)
• Environmental Review Correspondence
• Environmental Release of Funds Letter from
DOLA, followed by Final Award Letter
• Executed CDBG-DR Grant Agreement Contract
• Evidence of SAM registration of contractor and
subcontractors for debarment checks
• Federal Funding Accountability and Transparency
Act (FFATA) Reporting
These exhibits are available in the CDBG Guidebook located at
http://www.colorado.gov/cs/Satellite/DOLAMain/CBON/1251592194217
Payment Process Example
Applicant
Program Lead
DR Team
DOLA FINANCE
CONTROLLER
Incur cost/
submit invoice
Package pay request
Program
Review/Approve
Financial
Review/Approve
DRGR Voucher
Entry and CORE
payment entry
Reviews/Approves
CORE payment
and DRGR
Voucher
Requests Check
Receives
reimbursement
Cuts check
Payment Requests
Payment Request Forms
• Quarterly—can be used for
longer term projects
• Monthly—should be used for
shorter term projects
Payment Request Documentation
QUARTERLY REQUEST FORM
MONTHLY REQUEST FORM
Pay Request Documentation
Pay Request must have the following:
• All supporting documentation for any cost(s)
sought ​for reimbursement​
• Documentation of any match required for the grantee’s
project, must accompany the form​.
• Documentation requirements​ ​include​ any documentation
of procurement activities associated with the cost(s)
requested for reimbursement.
Failure to submit th​e full amount of supporting​ documentation will
definitely delay payment of the amount requested until after the
required documentation is received and fully reviewed.
Quarterly Performance
• HUD requires quarterly performance updates on
all CDBG-DR funded activities
• Performance will be collected with pay requests
for short-term activities
• Quarterly reporting will be required for long-term
activities
– Progress
– Beneficiaries
• Reporting requirements vary with eligible activity
Reporting Requirements will be a required deliverable in
the contracts.
Project Closeout
• Legal Notice and Public Hearing Minutes for
Post-Award Public Hearing
• Programmatic Monitoring Letter
• Copy of Final Financial Status Report
• Copy of Final Payment Request
• Copy of Section 3 Report (if applicable)
• Copy Project Completion Report
• Project Close-out Letter
Project Closeout (cont.)
• Completion and Submission of Audit to DOLA *
*OMB Circular A – 133 Compliance Supplement
for single audit can be downloaded from:
http://harvester.census.gov/sac/sainfo.html
• This supplement should be provided to the local
government’s auditor prior to completion of
audit.
• CDBG Catalog of Federal Domestic Assistance
(CFDA) # is 14.228
• Acceptance of Audit from DOLA
Project Closeout (cont.)
See the CDBG Guidebook for
complete closeout instructions
at:
http://www.colorado.gov/cs/Satellite/DOLAMain/CBON/1251592194217
AGENDA
•
•
•
•
Introductions
Program Overview
Program Requirements
The Process – from Application to
Payment
• Resources and Contacts
• Q&A
Web Resources
• Colorado CDBG-DR Website:
http://dola.colorado.gov/cdbg-dr
• DOLA’s CDBG Guidebook:
http://www.colorado.gov/cs/Satellite/DOLAMain/CBON/1251592194217
• CDBG-DR laws, regulations and federal register notices:
https://www.onecpd.info/cdbg-dr/cdbg-dr-lawsregulations-and-federal-register-notices/
• CDBG Environmental Guidebook:
www.dola.state.co.us/environmentalreview
Contacts
Don Sandoval, North Central Regional Manager, DOLA
don.sandoval@state.co.us
office phone: 970-679-4501
Dave Bowman, State Disaster Recovery Manager, DOLA
dave.bowman@state.co.us
office phone: 303-864-7877
Justin Hamel, Federal Grants Program Manager, DOLA
justin.hamel@state.co.us
office phone: 303-864-7745
Contacts – Program Areas
Alison O’Kelly, CDBG-DR
Housing Programs, DOH
alison.okelly@state.co.us
office phone: 303-864-7821
George Bistany, CDBG-DR
Economic Development, DLG
george.bistany@state.co.us
office phone: 303-892-3815
Jill Hart, CDBG-DR
Infrastructure Pgms, DHSEM
jill.hart@state.co.us
office phone: 720-852-6621
Lara Duran, CDBG-DR
Agriculture Pgms, DLG
lara.duran@state.co.us
office phone: 303-869-9028
Andy Hill, CDBG-DR Planning
Pgms, DLG
andy.hill@state.co.us
office phone: 303-864-7725
AGENDA
•
•
•
•
Introductions
Program Overview
Program Requirements
The Process – from Application to
Payment
• Resources and Contacts
• Q&A