2014 Homeless Family Solutions System (HFSS) RFP Good Afternoon, LAHSA has posted Addendum #1 to the 2014 Homeless Family Solutions System (HFSS) RFP on LAHSA's website under the Funding Opportunities tab at http://www.lahsa.org/fundingopportunities.asp. If you have any questions or concerns, please contact the Funding Team at fundingopportunities@lahsa.org. ADDENDUM #1 Section 8.2 Questions and Answers Please note that the entire Section 8.2 of this RFP has been replaced with the below new information: (Page 22) 8.2 Questions & Answers Proposers are asked to defer all questions regarding this RFP until the Proposers’ Conference. Proposers are encouraged but not required to submit questions in writing at least two (2) days prior to the conference. Written questions are to be e-mailed to fundingopportunities@lahsa.org with “Homeless Family Solutions-RFP” in the subject line. After the Proposers’ Conference, any written questions regarding this RFP may be submitted to LAHSA via e-mail to fundingopportunities@lahsa.org with “Homeless Family Solutions-RFP” in the subject line. Proposers are responsible for checking the LAHSA website to obtain current information and responses. Any omission or error made by any proposer under this RFP for failure to obtain information posted regarding this RFP on the LAHSA website at www.lahsa.org is the sole responsibility of proposer and is not basis for appeal of any adverse score or evaluation under this RFP. All questions must be RECEIVED prior to 3:00 PM on Monday, April 7, 2014. Responses will be posted on the LAHSA website www.lahsa.org no later than eight (8) business days after questions are received. If a prospective proposer does not have access to the LAHSA website, the proposer may call and request a printed copy of any questions and answers be faxed or mailed via first class mail within 24 hours of date and time of call to LAHSA. LAHSA is not responsible for information not received by callers when requested within seven (7) calendar days of the due date of the proposal under this RFP. LAHSA shall not be obligated to answer any questions received after the above-specified deadline or any questions submitted in a manner other than as instructed above. Oral comments or responses to inquiries shall not be binding on LAHSA. 2014 HFSS Q&A Page 1 of 16 2014 Homeless Family Solutions System (HFSS) RFP Section 9 Proposal Submission Please note that the entire Section 9 of this RFP has been replaced with the below new information: (Page 23) 9. PROPOSAL SUBMISSION Proposers must submit one (1) original and one (1) copy of the complete proposal. The original must be marked “Original” on the upper right side of the cover and must bear the actual “wet” signatures of the person(s) authorized to sign the proposal. The copy must be numbered on the upper right hand side of the cover to indicate “Copy No. 1”. Proposers must also submit one complete copy in electronic format such as CD, memory stick or external hard drive, and upload a complete copy to the agency FileShare account. The electronic and hard copy shall be identical to the original document in order to be reviewed, including having each “tabbed” document individually saved. Prior to submission, please review all copies of your proposal for consistency and proper order. 9.1 Formatting Requirements a. Each program requesting funding must submit a complete proposal, specifying which region the project is located in. b. Documents must be typed in 12-point font with margins of no less than 1” on all sides. Text may be single-spaced, double-spaced or spaced one and one half space. Format must be “reader friendly” to facilitate easy review. Paragraphs must be clearly distinguishable. Use of bolding where appropriate to highlight key ideas is encouraged. Proposals must be written in English. c. Proposal responses must comply with the requirements detailed in this document. Proposals that are incomplete, out of order, have inadequate number of copies, lack required attachments, or have other content errors or deficiencies will be rejected. Contextual changes and/or additions to the proposal after the deadline will not be accepted. d. The proposal must be submitted in the legal name of the corporation. Proposals must be signed by authorized representative(s) of the proposer organization who have legal authority to enter into a contract agreement with LAHSA. e. Proposals must be submitted in a securely fastened format. Each page of the proposal, including exhibits, must be numbered sequentially at the bottom of the page to indicate “Page _ of _”. The proposals must contain tabs marking each required attachment. The original should be submitted in a tabbed binder, preferably the smallest size binder that will hold the proposal. The copy should be fastened with a binder clip and should include tabbed dividers. Proposals that are not fastened, are not sequentially numbered pages or are not tabbed may not be accepted. 2014 HFSS Q&A Page 2 of 16 2014 Homeless Family Solutions System (HFSS) RFP f. Proposers must submit a separate complete proposal for each location for which they apply. g. Proposers must provide complete copy of the proposal in electronic format and upload a complete copy to the agency FileShare account, including a copy of the budget in Excel. Acceptable electronic formats include external hard-drives, memory sticks, and compact discs. The electronic and hard copy shall be identical to the original document in order to be reviewed, including having each “tabbed” document individually saved. h. Formatted templates in Word and Excel for components of the proposal are posted on LAHSA’s website at www.lahsa.org. 9.2 Due dates Proposals submitted in response to this RFP will be due in accordance with the following dates: All proposal packets must be RECEIVED by hand delivery, mail, or messenger in the LAHSA office no later than 3:00 PM (Pacific Daylight Time), Friday, April 25, 2014. Applications will not be accepted via facsimile. Proposals received after 3:00 PM (Pacific Daylight Time), Friday, April 25, 2014 will not be accepted. In the interest of fairness to all competing proposers, this deadline is firm as to date and hour, and LAHSA will treat as ineligible for consideration any proposal that is received after the deadline. Proposers should take this practice into account and make early submission of their materials to avoid any risk of loss of eligibility brought about by unanticipated delays, computer service outages, or other delivery-related problems. Amendments and/or addenda submitted to LAHSA after the proposal deadline will be returned without review. However, LAHSA reserves the right to request clarification of unclear or ambiguous statements made in the proposal. Submit proposal packets to: Homeless Family Solutions System RFP Los Angeles Homeless Services Authority 811 Wilshire Blvd., 6th Floor Los Angeles, CA 90017 9.3 Appeals All appeals must be submitted in writing. Proposers under this RFP may only submit process appeals, which are appeals based upon LAHSA’s failure to abide by its own established procedures in making funding recommendations. Appeals based on the outcome of the decision-making process will not be accepted. A disagreement with, or objection to, the points awarded will not be a sufficient basis for an appeal. 9.3.1 Threshold Review Appeals After the Threshold Review phase of the Proposal Evaluation Process, LAHSA staff will notify all proposers of its findings and recommendations. Within two (2) business days after notice of staff recommendations, the unsuccessful proposer must file a written statement specifying the grounds for appeal. The appeal shall be limited to two (2) typed pages and must clearly state the grounds on which the appeal is based. All appeals should be on proposer’s letterhead and entitled "Appeal from 2014 HFSS Q&A Page 3 of 16 2014 Homeless Family Solutions System (HFSS) RFP 2014 Homeless Family Solutions System RFP ". Please do not include cover letters with the appeal. Threshold appeals will be presented to the Programs and Evaluation Committee of the LAHSA Commission. The Programs and Evaluation Committee will make the final decision regarding any and all Threshold appeals. In the event the Programs and Evaluation Committee is unable to hold a timely meeting to address any appeals, the final decision will be made by the LAHSA Commission. 9.3.2 Quality Review Appeals After the Quality Review phase of the Proposal Evaluation Process, LAHSA staff will notify all proposers of its findings and recommendations. Within (2) business days after notice of staff recommendations, the unsuccessful proposer must file a written statement specifying the grounds for appeal. The appeal shall be limited to two (2) typed pages and must clearly state the grounds on which the appeal is based. All appeals should be on proposer’s letterhead and entitled “2014 Homeless Family Solutions System RFP”. Please do not include cover letters with the appeal. Quality appeals will be presented to the Programs and Evaluation Committee. The Programs and Evaluation Committee will make a recommendation and forward its recommendations to the LAHSA Commission. The LAHSA Commission will make the final decision regarding any and all Quality appeals. All appeals are to be addressed as follows: Chair, Programs and Evaluation Committee Re: Homeless Family Solutions System RFP Appeals Los Angeles Homeless Services Authority 811 Wilshire Blvd., 6th Floor Los Angeles, CA 90017 Application Section 2 – Attachment 1 – Summary Checklist Please note that the entire Application Section 2 – Attachment 1 – Summary Checklist of this RFP has been replaced with the below new information: (Page 60) 2014 HFSS Q&A Page 4 of 16 2014 Homeless Family Solutions System (HFSS) RFP Application Section 2 Attachment1–SummaryChecklist Thefollowingdocumentsmustbesubmittedintheorderlistedbelow,withtabsmarkingeach document.Failuretosubmitanyofthesedocumentsinanapplicationmayresultinineligibilityof theapplication. Note:Ifyouhaveintentionallyleftanattachmentoutoftheproposal,pleaseincludeandinserta sheetofpaperwiththenotation“AttachmentXIntentionallyLeftBlank”.Thisshouldinclude anexplanationastowhythenormallyincludedattachmentisnotappropriatelyrelevanttoyour proposal. Attachment1–ProjectSummaryChecklist Attachment2–ExperienceandCapacity Attachment3–ProgramDesign Attachment4–Profile&Population Attachment5–PastProgramInvolvement&Performance Attachment6–CoordinationwithOtherTargetedHomelessservices Attachment7–CoordinationandIntegration Attachment8–CostEfficiency Attachment9A–ProgramBudget Attachment9B–BudgetandFinancialInformation Attachment10‐Facility Attachment11–LACountyBoardLetter 2014 HFSS Q&A Page 5 of 16 2014 Homeless Family Solutions System (HFSS) RFP Attachments – Regulations and Requirements Please note that the entire Attachments – Regulations and Requirements of this RFP has been replaced with the below new information: (Page 81-90) 2014 HFSS Q&A Page 6 of 16 2014 Homeless Family Solutions System (HFSS) RFP Appendix – Regulations and Requirements Appendix1–CrisisHousingRequirements AllCrisisHousingproposalsmustadheretothefollowingrequirements: A. Crisishousingmustbeprovidedinclean,safeandwell‐maintainedenvironment.All effortsmustbemadetoprovideasmuchcomforttotheparticipantaspossible. B. Crisishousingprovidersareexpectedtobeoperationalfor24hoursaday C. Theentirefamilyunitmustbeaccommodatedsoasnottocausetheunnecessary separationoffamilies. D. Eachparticipantmustbeprovidedwithasmuchprivacyandpersonalspaceaspossible. Participantsmust,ataminimum,beprovidedwithabed,cleanlinens,apillow,blanket andapersonalcloset/lockerforstoringandhangingclothesandotherpersonaleffects. Blanketsmustbeprovidedandmustbekeptcleanandfreeofparasiticinfestation. E. Providersmustavoidovercrowdingwithinthefacility.Thebuildingmustbeingood repair,freeofleaks,andprovideadequateheatandventilation.Itmustmeetalllocal building,healthandsafetystandards. F. Bathroomsink,toilet,andshowerfacilitiesarerequiredinnumberssuitabletomeetthe needsofallparticipants.Hotwater,cleantowels,soapandshampoomustbeprovided. Proposersareencouragedtoprovideotherhygienenecessities(e.g.toothbrush, toothpaste,etc.). G. Participants’participationinthechoresorfacilitymaintenanceresponsibilitiesshallnot impedeuponachievementofparticipants’goals.Proposersshallnotrequirereligious participationasaconditionofreceivingservices. H. Trainedsecuritypersonnelmustbeprovidedforthesafetyoffamiliesandstaff.(Please notethatLAHSAwillnotacceptsecurityplansthatincludeshelterclientsservingas securitypersonnel). I. Providerswillberequiredtoprovidebreakfastanddinnermealstoeachparticipant.The onlyexceptiontothisrequirementisformediumcrisishousingthatisconfiguredin separateapartmentswithprivatekitchensorindividualroomswithlargesharedkitchens, SingleResidenceOccupancy(SRO)style.Inthesetypesoftransitionalprograms participantsmayberesponsibleforplanningandpreparingtheirownmealsand purchasingaportionoftheirownfoodonlyifthisisamanagedlifeskillsenhancement componentoftheprogram.Insuchsituations,theprogrammustalsoprovidespecificlife skillstraininginnutrition,foodbudgeting,andmealplanningandpreparation. Additionally,agencystaffmustensurethateachindividualhasaccesstosufficientfood 2014 HFSS Q&A Page 7 of 16 2014 Homeless Family Solutions System (HFSS) RFP J. K. L. M. N. resources.Allmeals,whetherprovidedbytheprogramorpreparedbytheparticipant, mustbecompleteandnutritionallyadequate. Medium‐CrisisHousingOnly:Staffshouldpossessextensiveknowledgeoftheformaland informalresourcesthatwillenablethemtoadvocateandaccuratelyconnectparticipants tohousingandcommunity‐basedsupportiveservices.Staffisresponsibleforprovidingall theavailableoptionssothattheparticipantcanmakeinformeddecisionswhenselecting stablehousing. Medium‐TermCrisisHousingOnly:Althoughsomemedium‐termcrisishousingprograms chargerent,thechargemustbebasedontheparticipant’sactualincomeandcannot exceedthirtypercent(30%)oftheparticipant’sadjustedincome.Programschargingrent mustincludedocumentationintheparticipant’scasefileverifyinghis/hermonthlyincome anddemonstratingthatthechargedoesnotexceedthe30%limit.Programor participationfeesmayonlybechargedforsupportiveservicesthatarenotfundedor reimbursedbyanyotherfundingsource.Inaddition,programorparticipationfeescannot beforcostsassociatedwiththeoperationofthefacility.Providersseekingfundingfor transitionalhousingunderthisRFPareencouragedtomakeeveryefforttoreduceany chargestoprogramparticipants. CrisisHousingprovidersarerequiredtomaintain,ataminimum,anaverageof95%unit (family)occupancyratethroughoutthetermofthecontract. Crisishousingprovidersshallprocureallapplicablelicensesorpermitsnecessarytomeet thecoderegulationsrequiredtooperatetheProgramfundedunderthisAgreement. TheMcKinney‐VentoAct,asamendedbytheHEARTHActrequiresrecipientstodesignate astaffpersontoensurethatchildrenareenrolledinschoolandconnectedtothe appropriateserviceswithinthecommunity.Therecipientmustdocument,inwriting,its processforidentifying/hiringadesignatedstaffperson,includinganybudgetorresource implications,toensurecompliancewiththeMcKinney‐VentoAct,asamendedbythe HEARTHAct. Appendix2–FinancialAssistance CertainFSSfundscanbeutilizedtoprovidehotel/motel vouchersforfamiliesinneedofshort‐termemergency shelter.Itistheresponsibilityoftheserviceproviderto identifyanappropriatemotel/hotelandmaintainall documentationverifyingthatthehotel/motelmeetsthe requirementssetinthispolicy. 2014 HFSS Q&A Funded by: Homelessness Prevention Initiative Funds ESG Shelter and Services DPSS Single Allocation Page 8 of 16 2014 Homeless Family Solutions System (HFSS) RFP Hotel/Motelvouchersaresubjecttothefollowingtermsandconditions: FamilyEligibility: ThefamilyisenrolledinaRapidRe‐HousingProgram Householdmustnothaveanyotherhousingopportunityavailableforthatnight Noappropriateshelterbedsareavailable; o Documentedbyattemptingtoplacetheclientinatleastthreeappropriateshelter facilities. Motelvouchersareonlyavailableforalimitedamountofdaysdependinguponfundingstream. Amotel/hotelvouchercannotbeusedif: ThehouseholdisenrolledinHomelessnessPrevention; Appropriateshelterbedsareavailable,butahotelispreferred. Motel/HotelStandards: Scoreatminimumanoverall“Adequate”ratingontheHotel/MotelMinimumStandards SiteInspectionTool.Hotels/motelswhichdonotmeetthisstandardmaynotbeeligiblefor reimbursement. o SiteInspectionToolshouldbecompletedandkeptonfileforeachcontracted motel/hotel.Thehotel/motelfacilitiesshouldbeinspectedatminimumonceevery six(6)months. Thecostofthehotel/motelmustbereasonableandappropriateandconsistentwithother motel/hotelratesinthearea.Sub‐recipientsshouldretaindocumentationverifyingthat motelcostsarereasonableforthegeographicregion. Appendix3 – RentalApplicationFees Directfinancialassistancecanbeutilizedtopayforrentalapplicationfeestoassisthomeless familiessecurepermanenthousing. Applicationfeesarenormalcostsassociatedwith Funded by: applyingforpermanenthousing.Theymustbe ESG Rapid Re-Housing reasonableandmaynotexceedthemaximumamounts assetbytheStateofCalifornia(In2012thisamountwas limitedto$49.50).Applicationcostsareusedtoverify thefamily’spersonalinformationandaregenerallyrequiredforeachadulthouseholdmember. Serviceprovidersmayassistalladulthouseholdmemberswiththesecosts. Familiesmustbeenrolledinarapidre‐housingprograminordertoreceiveRentalApplication Feepaymentassistance. 2014 HFSS Q&A Page 9 of 16 2014 Homeless Family Solutions System (HFSS) RFP Appendix4 – MovingAssistance Directfinancialassistancecanbeutilizedtoprovide Funded by: movingassistancetohomelessfamiliesmovinginto ESG Rapid Re-Housing permanenthousing. Movingassistanceisdividedintotwotypesandfamilies maybeeligibletoreceivebothtypesofassistance: MovingAssistance o Movingassistancehelpstopayformovingrelatedexpensessuchasmovingvan rental(inclusiveofmileagerelatedcharges),truckrentalinsurance,labor,and movingcompanies. o Themaximumamountofassistanceavailableunderthiscategoryis$250. StoragePaymentAssistance o Storagepaymentsmustbereasonableandcomparabletootherstoragecostsinthe region. o Familiesmayreceiveuptothree(3)monthsofstoragepaymentassistance o Storagecostsincurredpriortoenrollmentinarapidre‐housingprogramarenot eligibleforassistance. Familiesmustbeenrolledinarapidre‐housingprogramtobeeligibleforthisassistance. Appendix5 – SecurityDeposits Directfinancialassistancecanbeutilizedtoprovide Funded by: securitydepositstoassisthomelesshouseholdssecure ESG Rapid Re-Housing DPSS Single Allocation permanenthousing. Familyeligibility: Movingintopermanenthousing Enrolledinarapidre‐housingprogram. Thefollowingcriteriamustbemet: Depositcannotexceedtheequivalentoftwomonthsofrent; TheunithasbeenapprovedinaccordancewiththeUnitApprovalPolicy. Housingsituationmustbeapermanenthousingdestinationwithastandardlease agreementforaperiodofatleastoneyear; PaymentisbeingmadedirectlytotheAuthorizedAgent. Appendix6 – UtilityDepositsandPayments Directfinancialassistancecanbeutilizedtoprovide utilityset‐upcostsandutilityarrearpayment assistance. 2014 HFSS Q&A Funded by: ESG Rapid Re-Housing Page 10 of 16 2014 Homeless Family Solutions System (HFSS) RFP FamilyEligibilityfordirectfinancialassistance: Movingintopermanenthousing Enrolledinarapidre‐housingprogram AbilitytoobtainandmaintainutilitiesinthenameoftheHeadofHouseholdorother contributingadultresidinginthehousehold. Thefollowingareallowablecostsrelatingtoutilitydepositandpaymentassistance: Ongoingutilitypaymentsforeachservicewhileactivelyenrolledinarapidre‐housing program Utilityarrearsassistanceperiodcannotexceedatotalof6months.Themonthsdonot needtobeconsecutiveandthereisnotimelimitforhowlongagothechargesmayhave beenincurred. Additional Guidance: Utility Arrears Utilityarrearsandutilitypaymentscannot If money is owed to the utility companies preventing service turn on families should seek assistance from the exceed24monthsintotalforeachservice; other resources in addition to ESG Rapid Re‐Housing as funds are limited: Eachproviderwillissuepaymentsonthebehalfof Families can attempt to make a special payment arrangement with the utility company and must provide eligibleprogramparticipantstotheappropriate documentation of the payment arrangement utilitycompany.Regardlessofsub‐recipientspecific Payments can be made to the utility company with funds procedures,paymentrequestsforutilityassistance leveraged on the family’s behalf through community utility assistance programs. mustincludethefollowing: UtilitySet‐UpForm UtilityArrearBreakdownForm o Documentationclearlyindicatingthetimeperiodthatchargeswereincurredas wellasafinalbillorotherdocumentwhichindicatesthetotalremainingbalance due.Note:Specialcareshouldbetakentoreviewthisdocumentationforthetime periodthatchargeswereincurredtodeterminethefrequencyinwhichchargesare applied(forexample,LADWPconductsbillingbimonthlywhileTheGasCompany conductsbillingmonthly). Copyofutilitybillforeachmonththatongoingutilitypaymentassistanceisprovided Appendix7 – RentalAssistance Directfinancialassistancecanbeutilizedtoprovide Funded by: rentalassistancetohomelessfamiliesmovinginto ESG Rapid Re-Housing DPSS Single Allocation permanenthousing. Rentalassistanceissubjecttothefollowing: Rentalassistancepaymentsmustbetenantbasedandarelimitedtotheamountslistedin theappropriatefundingspecificsectionofthisdocument. Rentalassistancepaymentsmustbemadedirectlytothelandlord.Sub‐recipients (serviceproviders)mustverifypropertyownershipandpropertymanagement 2014 HFSS Q&A Page 11 of 16 2014 Homeless Family Solutions System (HFSS) RFP relationshipspriortotheissuanceofanypaymentsforfinancialassistance. Rentalassistancecannotbeprovidedformobilehomes,RVs,spacerent,ormotels. Themaximumrentburdenissetat80%(85%forDPSSfundedassistance).Therent burdenisthecostoftherentalunitplusanytenantpaidutilities. Agenciesshouldassistprogramparticipantstolocatearentalunitatorbelowmarket rent.Whenarentalunithasbeenlocated,agenciesneedtoassisttheparticipantin contactingthelandlordtocompletetheappropriatepaperworkandconductahabitability standardsinspection. Assistancecanbeutilizedinconjunctionwith(butnotduringthesametimeperiodas similartypesofassistance)otherformsofassistance Ifduringparticipationintherentalassistanceprogramtheparticipantbecomeseligible foranothersubsidizedrentalprogram(Section8,PublicHousing,SubsidizedHousing Complex),theparticipantwillberequiredtoaccepttherentalassistance,therefore terminatingthemediumtermrentalassistance.Sub‐recipientswillberesponsibleto coordinatebetweenparticipant,landlordandhousingauthority(ifapplicable),toensure propertimingasparticipanttransitionstopermanenthousing. Priortotheissuanceofanyassistance,thefollowingcriteriamustbemet: TheunithasbeenapprovedinaccordancewiththeUnitApprovalPolicy; Thehouseholdhasastandardleaseagreementforaperiodofatleastoneyear. Rentalassistancecannotbeusedinthefollowingsituations: Thehouseholdisalreadyreceivingarentalsubsidyorotherformofrentalassistance paymentfromotherFederal,stateorlocalsource; Thefamilyisnotpayingtheirfullportionofrent; Theleaseagreementfortheassistedunitisatimminentlyriskofbeinglostandtheuseof rentalassistancewillnotpreservetheunit. NotificationthatAssistancePeriodisending: Agenciesadministeringrentalassistanceshouldensurethatparticipantsarethattheassistanceis forashort‐termdurationonly.Providersshouldnotifyfamiliesinwritingnolessthan90and60 dayspriortothefinalissuanceofrentalassistancebenefits Appendix8–UnitApprovalProcess Anassistedunitmustundergoamulti‐partverificationprocessasrequiredbyHUDHEARTH. Anytimeaprogramparticipantisreceivingfinancialassistanceandmovingintoanewunit (financialassistanceincludesrentalassistance,securitydepositassistance,andutilityassistance). Theapprovalprocessisnotrequiredforthosefamiliesreceivingservicesonly.Thepurposeof thispolicyistoensurethattheunitcomplieswithFederalpaymentstandards,rent reasonablenessrequirementsandHabitabilityStandards.Italsoensuresthatfamiliesmoveinto unitswhicharesafe,habitable,andthatunitsarefairlyandreasonablypriced. 2014 HFSS Q&A Page 12 of 16 2014 Homeless Family Solutions System (HFSS) RFP Thefollowingisrequiredtoapproveaunitforassistance: CompliancewiththeHUDRentReasonablenessRequirements CompliancewiththeHUFFairMarketRate CompliancewithHabitabilityStandards VerificationofPropertyOwnership LeaseAgreement RentalAssistanceAgreement(onlyforunitsreceivingrentalassistance) Thefollowingprocessshouldbefollowingwhenapprovingaunitforassistance: Additional Guidance: Determining Gross Rent 1. DeterminetheGrossRentAmountfortheunit. Fees may include the Allowance for the Systematic Code Enforcement Program GrossRentAmount=Totalcontractedrentamount+ and the Rent Stabilization Ordinance Fee Utility allowance is added for those utilities Feesrequiredforoccupancy(exclusiveoflatefeesand that the tenant pays for separately petfees)+MonthlyUtilityAllowance 2. EnsurecompliancewithPaymentStandard(FairMarketRent)24CFR888and24CFR 982.503AllunitsassistedwithESGfundsmustcomplywiththepaymentstandardsetby HUDfortheGreaterLosAngeles‐LongBeachareas.Thepaymentstandard,alsocalledFair MarketRent(FMR)issetannuallybyHUD. 3. EnsurethattheRentisReasonablenessinaccordancewith24CFR982.507. Therentchargedforaunitmustbereasonableinrelationtorentscurrentlybeingcharged forcomparableunitsintheprivateunassistedmarket.Unitswhichexceedtherent reasonablenessdeterminationcannotbeassistedwithrentalassistanceunlessthe landlord/propertyowneriswillingtolowertherenttomeettherentreasonableness determination. Rentreasonablenessmeansthatthetotalrentchargedforaunitmustbereasonablein relationtotherentsbeingchargedduringthesametimeperiodforcomparableunitsin theprivateunassistedmarketandmustnotbeinexcessofrentschargedbytheowner duringthesametimeperiodforcomparableunassistedunits.Inaddition,rentspaidmust notexceedthelocalFairMarketRentestablishedbyHUD. Subrecipientsshoulddeterminerentreasonablenessbyconsideringthelocation,quality, size,type,andageoftheunit,andanyamenities,maintenance,andutilitiestobeprovided bytheowner.Comparablerentscanbecheckedbyusingamarketstudyofrentscharged forunits ofdifferentsizesindifferentlocationsorbyreviewingadvertisementsforcomparable 2014 HFSS Q&A Page 13 of 16 2014 Homeless Family Solutions System (HFSS) RFP rentalunits. Anotheracceptablemethodofdocumentationofrentreasonablenessiswritten verificationsignedbythepropertyownerormanagementcompany,onletterhead, affirmingthattherentforaunitassistedwithESGfundsiscomparabletocurrentrents chargedforsimilarunassistedunitsmanagedbythesameowner. IfthegrossrentisatorbelowboththeFMRandtherentreasonablenessstandardfora unitofcomparablesize,type,location,amenities,etc.,rentalassistancefundsmaybeused topaytherentamountfortheunit. IfthegrossrentfortheunitexceedseithertherentreasonablenessstandardorFMR,sub‐ recipientsareprohibitedfromusingESGfundsforanyportionoftherent,evenifthe householdiswillingand/orabletopaythedifference. 4. EnsurethattheunitcomplieswithHUDHabitabilityStandards.Inspectionsmustbe conducteduponinitialoccupancyandthenonanannualbasisforthetermofassistanceto ensurethattheunitbeingassistedmeetshabitabilityrequirements.Inadditiontothe HabitabilityInspection,sub‐recipientsmustalsoconductanVisualLead‐PaintAssessment. Habitabilitystandardsdonotrequireacertifiedinspectortoconducton‐siteinspections. Forexample,unitsassistedmaybeinspectedby: Programstaff; Stafffromorhiredbyanagencyofthegrantee’slocalgovernment;or Stafffromanothersubsidyprogramprovidingassistancetotheunitandalso requiringaninspection(e.g.,Section8,HOPWATBRA),aslongastheyfollow theminimumhabitabilitystandardsrequired. Additional Guidance: W‐9’s 5. Verifytheowneroftheproperty.Sub‐recipientsmust IRS Tax Code requires that businesses ensurethatallfinancialassistancepaidonbehalfofan issue 1099’s to any entity it pays $600 or more in goods and services. As such, subeligiblefamilyarebeingpaidtotheownerortoa recipients may require a landlord complete person/entitywhichhaslegalauthorityoveraproperty a W-9 in order to issue them payments. (aswithpropertymanagementcompanies). However, a W-9 is not meet the property ownership verification requirement. 6. Ensurethatthelandlordwillbeissuingarentalorlease agreementtothefamilyandwillbeincludingallhouseholdmembersonthelease agreement. 7. Thesub‐recipientmustenterintoarentalassistanceagreementwithpropertyowner settingforththetermsunderwhichtherentalassistanceisbeingprovided.Itmustat leastincludethefollowing: 2014 HFSS Q&A Page 14 of 16 2014 Homeless Family Solutions System (HFSS) RFP Aprovisionrequiringtheownertogivethesub‐recipientacopyofanynoticetothe programparticipanttovacatethehousingunit,oranycomplaintusedunderstateor locallawtocommenceanevictionactionagainsttheprogramparticipant,asindicated in§576.106(e)). Thesamepaymentduedate,graceperiod,andlatepaymentpenaltyrequirementsas theprogramparticipant’slease,asindicatedin§576.106(f)). Forproject‐basedrentalassistance,theinitialtermoftherentalassistanceagreement mustbe1year.Fortenant‐basedrentalassistance,recipients/sub‐recipientsshould establishthetermoftherentalassistanceagreementfortheperiodoftimethey anticipateprovidingassistance. Thetypeofrentalassistancebeingprovided(tenant‐basedorproject‐based). Ifasub‐recipientincurslatepaymentpenalties,itisthesoleresponsibilityofthesub‐recipient topaythosepenaltiesusingnon‐ESGfunds,asindicatedin§576.106(f). Thesub‐recipientmayrequiretheprogramparticipanttopayaportionofthemonthlyrental cost.Insuchcases,therentalassistanceagreementshouldspecifytheamountofrenttobe paidbythesub‐recipientandtheamounttobepaidbytheprogramparticipant,asindicated in§576.106(b). Whenprovidingtenant‐basedrentalassistance,therentalassistanceagreementwiththe ownermustterminateandnofurtherrentalassistancepaymentsmaybemadeunderthat agreementif:theprogramparticipantmovesoutofthehousingunit;theleaseterminatesand isnotrenewed;ortheprogramparticipantbecomesineligibletoreceiveESGrentalassistance §576.106(h). Appendix9–Lead‐basedpaintrequirements Lead‐BasedpaintregulationsapplytopropertiesconstructedpriortoJanuary1,1978.The purposeoftheserequirementsistoensurethathousingassistedwithfederalfundsdoesnotpose lead‐basedpainthazardstoyoungchildren.Assuch,ESGgranteesaresubjecttothe requirements,asapplicable,oftheLead‐BasedPaintPoisoningPreventionActandtheAct’s implementingregulationsat24CFRPart35.SinceLAHSA’sESGprogramdealsprimarilywiththe operationofshort‐termemergencysheltersandthedeliveryofre‐housingassistancetoformerly homelesspersons,ESGisgovernedbySubpartKoftheLead‐BasedPaintHazardregulations. UndertheLead‐BasedPaintPoisoningPreventionActof1973,visualassessmentsforpotential 2014 HFSS Q&A Page 15 of 16 2014 Homeless Family Solutions System (HFSS) RFP lead‐basedpainthazardsmustbeconductedforallpre‐1978unitsinwhichachildundertheage ofsixwillberesidingbeforefinancialassistancemaybeprovided. Additional Guidance: Lead Based Paint Visual Assessments Visualassessmentsmustbeconductedregardless Become a HUD‐certified Visual Assessor by successfully ofwhethertheprogramparticipantisreceiving completing an online training course from HUD: assistancetoremaininanexistingunitormoving http://www.hud.gov/offices/lead/training/visualassessmen toanewunit.Individuals t/h00101.htm Sub‐recipientsmustensureprogramparticipantsenteringintoleasesforhousingbuiltpriorto 1978receiveinformationregardingleadbasedpaintandworkwithlandlordstoensuretheyare followingprogramrequirementsregardingleadbasedpaint: (a)Avisualinspectionofallpaintedsurfacesonunitsbuiltpriorto1978shallbeconducted oneachunitunderagreementforre‐housingassistance. (b)Ifdeterioratedpaintisfoundinunitsbuiltpriorto1978theownerofthepropertymust stabilizedeterioratedpaintsurfacesbeforecommencementofassistedoccupancy. LeadBasedPaintRegulationsareexemptforthefollowingsituations: (a)HousingbuiltafterJanuary1,1978(thedatewhenlead‐basedpaintwasbannedfor residentialuse); (b)Housingexclusivelyfortheelderlyorpersonswithdisabilities,unlessachildunderage 6isexpectedtoresidethere; (c)Zerobedroomdwellings,includingefficiencyapartments,single‐room occupancyhousing,dormitories,ormilitarybarracks; (d)Propertythathasbeenfoundtobefreeoflead‐basedpaintbyacertifiedinspector; and (e)Propertyfromwhichalllead‐basedpainthasbeenremoved,andclearancehasbeen achieved. Appendix10–LACountyBoardLetter Letter to the LA County Board of Supervisors Requesting Approval of the Homeless Family Solutions System LetterisinaseparatePDFdocument. 2014 HFSS Q&A Page 16 of 16