APPLICATION HANDBOOK
Small Rental Rehabilitation Implementation Tool #1
Description: As part of the Disaster Recovery Small Rental Rehab Program Design & Implementation
Toolkit, the Application Handbook for a Small Rental Rehabilitation Program may be adapted and adopted
for grantees designing programs for small-scale rental property owners, including owner-occupants of
three- and four-unit buildings, small owners, mid-size owners, and IRS 501(c)(3)-designated nonprofit
organizations. The Application Handbook assists these eligible applicants in applying for the program by
detailing comprehensive eligibility requirements in addition to sample worksheets and a sample
application. The Application Handbook details a grantee currently in their second round of funding a
Small Rental Rehabilitation Program.
Modification of Source Documents Provided by: State of Louisiana
Caveat: This is an informational tool and/or template that should be adapted to each grantee’s specific
program design.
For More Information
This resource is part of the Disaster Recovery Small Rental Rehab
Program Design and Implementation Toolkit. View all of the Disaster
Recovery Toolkits here: https://www.onecpd.info/resource/2853/cdbgdr-toolkits.
For additional information about disaster recovery programs, please see
your HUD representative.
This is not an official HUD document and has not been reviewed by HUD counsel. It is provided for informational
purposes only. Any binding agreement should be reviewed by attorneys for the parties to the agreement and
must conform to state and local laws.
U.S. Department of Housing and Urban Development
Community Planning and Development, Disaster Recovery and Special Issues Division
APPLICATION HANDBOOK
Program Overview
The Small Rental Property program (the Rental program) is focused on rebuilding the stock of one- to four-unit rental
properties to address the housing needs of low- to moderate-income people in the most heavily damaged areas, speeding
recovery of entire neighborhoods and communities. The State will provide incentives for thousands of affordable rental
housing units.
The objectives of the Rental program are twofold:
 Provide affordable rents for working families
 Encourage redevelopment in impacted communities
In exchange for accepting financial incentives, property owners will be required to accept limitations on the rents they may
charge and restrictions on the incomes of the tenants they select. The amount of CDBG incentive is available in three tiers
based on the income level of the tenants to be served. The highest amount of incentive per unit will be made available to
property owners who agree to offer the lowest rents. The incentive award is in the form of a no payment, forgivable loan
at zero interest. It is awarded once the property is ready to be occupied, has been inspected by the program, and is leased
to an income-eligible tenant. The loan is due only upon resale of the property or failure to comply with the agreed- upon
restrictions on rents and household incomes during the specified commitment period.
The Rental program will have multiple rounds of funding allowing incentives to be targeted toward communities and
property owners whose properties were damaged by the hurricanes. Although the funds available through the Rental
program will be insufficient to provide every small-scale property owner with an incentive to bring their rental properties
back into service as affordable rental units, it will spur development of a significant number of quality, affordable rental
units in the most heavily damaged areas.
Funding Process
Prior to the start of each competitive funding round, the Small Rental Property program will announce the eligibility
requirements and round preferences that determine the scoring criteria for the competition. Property owners should read
the material for each round in its entirety to determine if they are eligible to apply and which level of the scoring criteria
their property appears to meet.
The typical process for applying to a competitive round of the Rental program is as follows:
 Property owners complete and submit an application to the Rental program. Owners are encouraged to work with
or consult a trusted financial advisor such as a local lending institution, nonprofit organization, or another
individual or corporation. At the end of the application, the owner must certify that all the information provided is
accurate and correct under penalty of perjury.
 The Program receives applications and verifies the following eligibility criteria.
 Damage estimate exceeds $5,000.
 At least one property owner was a resident at the time of the storms.
 Property contains one- to four-units.
 For owner-occupants, a property owner resided in the property as their primary residence at the date of the
storms and plans to continue to reside in the property.
 If an exception is found through the course of the verification process, the application will be withdrawn from the
round. The property owner will receive a determination letter at the close of the round.
Applications submitted after the round closes will be considered late. Applications submitted without information in all
required fields will be considered incomplete. Late applications and incomplete applications will not be considered in the
round. Property owners who submit late and/or incomplete applications will receive a notice after the close of the round
encouraging them to apply in the next round.
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 An automated system scores and ranks the verified applications based on the priority scoring criteria established
for the round. These criteria may change for each round and will be published in the Application Handbook and on
the Program’s Web site.
 Threshold review is determined by the amount of incentive available and the amount requested by applicants in
each round. A notification of the results is sent to each property owner. There are three types of notices:
o
o
o
Notice of Denial. Applicants that do not meet the basic threshold eligibility criteria to apply for the Rental
program will be mailed a notice of denial. The property owner may appeal the decision.
Notice of Deferral. All properties below the scoring threshold receive a notice of deferral. This letter will
indicate that although eligible for the Rental program, the application did not score well enough to meet
the threshold.
Notice of Conditional Award. All properties above the scoring threshold with sufficient scoring receive a
Notice of Conditional Award. The letter will clearly explain that the fund reservation is the amount of
incentive the property owner is eligible to receive and does not indicate an actual award amount or
entitlement. The letter will also explain the next steps required by the property owner, including any
additional documentation, and those conducted by The Program.
 The property owner will accept the Notice of Conditional Award, by returning a signed conditional award summary
to The Program within 30 days of receipt of the Conditional Award.
 After all required documents are returned, The Program will issue a commitment letter obligating the amount of
funds to be disbursed to the property owner. All construction that is necessary to comply with the building code
must be completed before any award funds will be disbursed. The commitment letter will aid the property owner
in securing any lender financing that may be needed to make repairs. The property owner is responsible for
securing construction financing (if necessary) and overseeing completion of any outstanding repair work. The
rental units must be in compliance with the building code within nine (9) months of the return of the signed loan
commitment documents. If an extension is required, the property owner must contact the Rental program
detailing the progress of the construction and an estimated date of completion.
 The property owner will notify the Rental program when construction is complete on the rental property. The
Rental program will conduct a final inspection to ensure that the rental units meet building codes and the
completed units contain all of the building elements that the owners agreed to provide on their application, such
as energy-efficient appliances, handicapped accessibility, etc.
 The property owner seeks and identifies income-eligible tenants to rent the affordable units. Property owners will
be required to list their completed rental properties on an identified website which enables prospective tenants
and displaced residents nationwide to view available affordable units.
 The property owner will ask tenants to self-certify that their annual household incomes match the rent
requirements of the rental unit. Owners will affirm that they received the tenant’s income certification and will
submit a certification report to the Rental program.
 Once the final inspection, tenant income, and rent certifications are received, the state will authorize
final disbursement of the incentive award.
 Closing is scheduled by the title company and executes all the closing documents required by the Program,
establishing the compliance requirements for up to 10 years.
 After closing and verifying all required repairs and completed documents, the Rental program will electronically
transfer the full award amount to a bank account designated by the owner and registered in the owner’s name.
Program Requirements
Repair projects must meet all local, state, and federal building codes, including the State Building Code. Properties
also must meet the flood elevation requirements determined by the FEMA, if applicable. Substantially flooddamaged structures must be brought up to code if the cost of repairs equals or exceeds 50 percent of the building’s
appraised value before it was storm damaged. An inspection of all repaired or reconstructed properties will be conducted
prior to release of the Rental program funds to ensure that these construction standards are met.
All rental units that receive an incentive from the Rental program must be rented to a low- to moderate-income individual
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or family. Rent levels were calculated to be affordable to households at 80, 65, and 50 percent of Area Median Income
(AMI). For a list of the incomes at each of these levels broken out by family size, please refer to the “Award Levels”
section. Restricted rents in the Rental program will be reviewed for upward annual adjustments with the publication
of new AMI tables by the federal government.
The amount of rent charged to the tenant cannot exceed the amount established by the Rental program for that rent tier.
Rents charged to the tenant may be calculated in one of two ways:
 If the property owner pays all the utilities for the rental unit, he or she may charge the tenant the gross rent listed
on the chart or as published annually by the grantee. Please refer to the “Guide to Utility Allowance” section.
 If the tenant is required to pay any utilities for the unit, the property owner must deduct a utility allowance from
the gross rent listed on the chart. Acceptable utility allowances include Section 8 utility allowances published by
local or state housing authorities or amounts certified by utility companies providing service to the unit. Please
refer to the “Guide to Utility Allowance” section.
Property owners will screen and select their own tenants, but will have to comply with requirements of the Fair Housing
Act (42 U.S.C. 3601-3620), which prohibits discrimination based on race, color, religion, sex, national origin, familial status,
and disability. The Program is partnering with the State’s Department of Health and Hospitals (DHH) to help identify
affordable rental properties in The State, including units that are accessible for people with disabilities. Property owners
will be required to list their completed rental properties at a designated website, which enables prospective tenants and
displaced residents nationwide to view available, affordable units. Once identified, tenants will provide information
regarding their annual household income to qualify for the unit.
The property owner will be required to submit information on the tenants and the rents for all affordable units on an
annual basis to ensure continued compliance with the Incentive Payment Agreement. An Incentive Payment Agreement
defines the property owner’s responsibilities for accepting an incentive from the program and will be executed by the
property owner at closing. It is recorded as a lien on the property for the term of the loan.
Tenants remaining in place beyond the term of their initial lease will not be required to submit income certifications in
subsequent years. While property owners will never be forced to replace tenants whose incomes increase after their initial
certification, all new tenants within the 10-year affordability period (20 years for nonprofits applying through the set-aside)
will be required to complete an income certification.
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Program Details
Am I Eligible for Round 2?
Eligibility to apply in Round 2 is similar to Round 1, but there are some important changes.
What requirements are the same as Round 1?1
Your property must be located in {insert boundaries}.
Your property must have sustained damages greater than $5,000 from the disaster.
At least one owner (if the property has multiple owners) must have been a resident or jurisdiction-based business at the
time of the storms.
Your property must have contained one- to four-dwelling units per parcel prior to the storm.
Properties with more than four units were not eligible in Round 1 and are not eligible in Round 2.
Single family homes that were not rental properties prior to the storms are not eligible for the Rental program. Owneroccupants of two-unit properties before the storms are eligible to apply to the Rental program in the general pool, but only if
they have not received an award through Homeowner Assistance program.
Owner-occupants of three- and four-unit properties continue to receive top priority in Round 2 of the program. These owners
are eligible for compensation for their unit and an incentive award for each affordable rental unit.
Mobile homes, which have a vehicle identification number (VIN) and/or steel undercarriage, are not eligible. Modular
constructed housing that is prefabricated is eligible.
Property owners qualify for the Rental program based on different types of legal ownership:
•
If there are co-owners of a one- to four-unit property, all of the property owners must be included in the application
and closing documents.
•
For-profit corporations, limited liability companies, and partnerships, including general partnerships and limited
partnerships, that were registered to do business in The jurisdiction on the date of the storms are all eligible owners
of one- to four-unit properties.
•
Nonprofit organizations that had a 501(c)(3) designation from the Internal Revenue Service (IRS) and were
registered to do business in The jurisdiction on the date of the storms are eligible owners of one- to four-unit
properties.
What’s changed from Round 1?
Partially occupied properties are eligible to compete in Round 2, though most owners may only receive an incentive award
for units that have been vacant since {insert date}.
Small-scale property owners will continue to receive priority, but mid-size owners of up to 100 rental units at the time of the
storms are now eligible. Large owners of more than 100 rental units at the time of the storms are still not eligible.
Properties with multiple owners, where a member of the pre-storm ownership group sold his or her interest to the partners
(i.e., other pre-storm owners of the property) are eligible to compete as small or mid-size owners as long as the remaining
partners meet eligibility requirements for the round.
New investors who have purchased residential rental property since the storms (property must have been rental prior to the
storms) are eligible to compete in Round 2. However, pre-storm owners will have an absolute priority over new owners.
Properties that have received a Compensation Award from Homeowner Assistance program are not eligible to apply to the
1
Note to CDBG-DR Grantee: All eligibility requirements, funding thresholds, methodology for calculating award, unit/site type and stile
are specific to the grantee originating the document.
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Small Rental Property program.
All properties must have access to utilities including water, sewer, and electricity.
Each unit must contain an oven and stovetop in any combination, as well as a refrigerator.
Incentive Award Groups
There are three groups of funding in the Rental program:
•
Property Owner general pool
•
Owner-Occupants of three- to four–unit properties
•
Nonprofit 501(c)(3) organizations
Property Owner General Pool
The Property Owner General Pool is the largest funding group. To compete for an incentive in the general pool of
applicants, an owner of record must have been a jurisdiction resident or jurisdiction-based organization authorized to
operate in the jurisdiction on {enter date}, for damages associated with the disaster.
Differing from Round 1 of the Rental program, property owner(s) applying to Round 2 may be new investors who purchased
or acquired ownership of residential rental property after the disaster. However, these owners will receive a lower
preference for funding than owners who owned their property before the hurricanes.
At least one property owner must have resided in the state at the date of the storms. Property owners do not have to
currently reside in the state to be eligible to apply.
Owner-occupants of two-unit properties (with one rental unit) before the storms are eligible to apply for an incentive from the
Rental program in the general pool for the rental unit only if they have not received an award through The Program
Homeowner Assistance program. These owners may receive an award for each affordable rental unit created and are not
eligible for assistance for their owner-occupied unit even if they decide not to live on the property.
Property owners qualify for the Rental program based on different types of legal ownership:
•
Individual owner or co-owners of one- to four-unit properties are eligible. However, if multiple owners are owners of
record, information for all property owners must be included in the application and closing documents.
•
For-profit corporations; limited liability companies; and partnerships, including general partnerships and limited
partnerships that were registered to do business in the jurisdiction on {enter date} are eligible property owners of
one- to four-unit properties.
•
Nonprofit organizations that had a 501(c)(3) designation from the IRS and were registered to do business in the
jurisdiction on {enter date} are eligible property owners of one- to four-unit properties.
Individual owners and business entities are categorized based on the number of rental units they owned at the time of the
storms. While all the property owners listed above are eligible for the Rental program, these classifications will determine
whether a property owner is eligible to apply for incentives in a particular funding round and which priority they will receive.
Ownership size is determined by the total number of rental units a property owner had at the time of the storm. Round 2 of
the Rental program allows property owners to own up to 100 rental properties. Where there are multiple property owners,
ownership size is determined by the smallest ownership size of any individual or single owner in the ownership group. If at
least one owner owns 100 or fewer rental properties, the ownership group meets the ownership size program requirements.
However, if no member of the group owns fewer than 100 rental properties, the group is ineligible for this round.
Any single property owner may only receive an incentive for a maximum of 200 units through the Rental program (total from
all rounds over the course of the program), even if they own more eligible properties that would otherwise be eligible for an
incentive.
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Owner-Occupant Program
Owner-Occupants of Three- and Four-Unit Properties Only
Owners of three- and four-unit properties who occupied at least one unit of their property prior to the hurricanes are
eligible to apply for special assistance through the Rental program. The program is committed to ensuring that qualified
owner-occupants of three- and four-unit properties are able to restore their property to a habitable condition and return to
their homes.
To be eligible for the Rental program as an owner-occupant, you must have been an owner of record of a three- or four-unit
property and occupied one unit as your primary residence on or before {enter date}. Businesses may also apply as owneroccupants if they meet these criteria. To be eligible as an owner-occupant, the property owner must also agree to live in a
unit on the property as his/her primary address following repair or reconstruction.
Rental properties meeting the following criteria are eligible for incentives from the Rental program. If the rental property
does not meet all of these criteria at the time of application, the applicant is not eligible to apply as an owneroccupant in Round 2.
If the property is owned by multiple individuals or a business meeting the eligibility criteria, the property owner(s) may still
apply as an owner-occupant. In these situations, the property owner who intends to reside on the property may be a
different individual from the property owner who lived on the property at the time of the storms.
Property owners who apply to the Rental program as owner-occupants will be eligible for:
•
An award of up to $150,000 to compensate the owner for the damage to his/her unit. This award is calculated
based on the owner unit’s pro rata share of the building. (Note: As in the Homeowner Assistance program,
$150,000 is only the maximum award. Owners’ actual awards will be calculated based on the amount of damage,
pre-storm value, and other factors.)
•
A rental incentive award for each unit designated as affordable at 80, 65, or 50 percent of AMI
•
An additional 15 percent owner-occupant bonus that is applied to the regular incentive award on each affordable
rental unit
Note on Occupied Rental Units: While owner-occupants of three- or four-unit properties with occupied rental units at the time
of the application may apply to Round 2, only units that have tenants whose income meets affordability guidelines will be
eligible to receive incentive awards. Please see the “Occupied Units” section.
Nonprofit Owner Program
The Small Rental Property program seeks to make a significant amount of rental housing available to certain residents
with disabilities and other residents with State-defined Special Needs.
Special Needs & Supportive Housing Award Bonus
Units designated for either Special Needs or Permanent Supportive Housing (PSH) must be affordable to tenants at the 50
percent of AMI rent tier. Nonprofit owners will receive an additional 15 percent bonus over and above the incentive award
for offering the unit at the 50 percent of AMI tier. This option is available in both the general pool and 20-year set-aside
priority groups.
Nonprofit 20-Year Affordable Rents (Set-Aside)
Limited to 501(c)(3) Nonprofit Organizations Applying Through the Nonprofit Set-Aside
A set-aside for nonprofit organizations offering units with long-term affordability for 20 years is available to organizations
meeting the following eligibility criteria:
 The current property owner must have an IRS 501(c)(3) designation and be registered to do business in the
jurisdiction at the time of application.
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 The nonprofit organization must agree to keep the rental units in the program at affordable rates for at least
20 years.
Additional information is available for nonprofit applicants interested in providing Special Needs and PSH commitments for
15 years.
Property Eligibility
Properties owned by small owners must meet the following criteria to be eligible for incentives from the Rental program. If
your rental property does not meet the criteria below at the time of application, your property is not eligible for
Round 2.
•
Properties containing one to four dwelling units, including single-family, duplex, triplex, and fourplex rental
properties, are eligible. A dwelling unit is defined as having complete independent living facilities for one or more
persons, including permanent provisions for living, sleeping, eating, cooking, and sanitation.
•
Properties located in {enter location} are eligible.
•
Properties that sustained storm damage of at least $5,200 as confirmed by a visual inspection or third-party
verification, including those provided by FEMA, an insurance company, or county estimates, are eligible.
•
Properties must have at least one unit that has been vacant since {enter date}.
•
Only vacant rental units are eligible to receive an incentive award in the general pool and 20-year set-aside.
Single-family homes that were not residential rental properties prior to the storms are not eligible for the Rental program.
Owner-occupants of two-unit properties, where one of which was a rental before the storms, are eligible to apply for the
Rental program in the general pool only if they have not received an award through the Homeowner
Assistance program. These owners will receive an award for each affordable rental unit created and are not eligible for
assistance for their owner-occupied unit if they decide to live on the property.
Owner-occupants of three- and four-unit properties are eligible for funding from the Rental program for the homeowner unit
and for each affordable rental unit they will create.
Single Room Occupancy (SRO) units are not eligible; studio units that contain a full bathroom and a full kitchen are eligible.
Mobile homes, including recreation vehicles and boats that have a (VIN) number and/or steel undercarriage, that were
rented as dwelling units prior to the storms are not eligible.
Modular constructed housing that is prefabricated is eligible.
Occupied Units
The Small Rental Property program is designed to restore the supply of housing in areas affected by Hurricane Katrina or
Rita. Consequently, the program is focused on helping owners bring vacant units back online. Except for owner-occupants
of three- or four-unit properties, Round 1 was restricted to completely vacant properties. Round 2 is expanded to include
partially occupied properties in order to offer their owners an opportunity to restore the remaining vacant units. However,
Rental program awards will continue to be limited to vacant units that are being restored (this does not apply to owneroccupants of three- or four-unit properties). There will not be an award granted for an occupied unit. Property owners with
tenants occupying the rental units SHOULD NOT evict tenants in order to apply for Rental program assistance. Removing
current tenants from rental units will not make those units eligible for an award. To be eligible as a vacant unit, a unit must
have been continuously vacant since November 1, 2006—well before the announcement of the Rental program. In fact, any
actions on your part to displace tenants of the property may affect your eligibility to receive ANY assistance under the
program.
After submitting a Round 2 application to the Rental program, owners should not rent any units identified as vacant units on
the application until meeting all program requirements of the commitment letter and completing the closing process. The
program must verify that all units receiving awards (1) meet the Jurisdiction building code before they are leased, (2)
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are rented at an allowable rent to an income-eligible tenant, and (3) are rented according to federal fair housing rules.
This verification cannot be accomplished if you rent your unit prior to completing your closing with the Rental program.
If your application is successful through competition in Round 2, a notice similar to the example below will need to
be provided to all tenants over age 18 who have occupied the property on or since November 1, 2006. This is a
federal requirement.
Small Rental Application Notice to Tenants
Dear
:
{Enter Date}
We are submitting an application to The Small Rental Property program for the property located at
.
We urge you not to move at this time.
If you currently reside or have resided in this property within the last ninety (90) days, you may be eligible for relocation
assistance.
You should continue to pay your monthly rent and comply with your lease terms and conditions since failure to do so
may be cause for eviction and loss of relocation assistance. You are urged not to move or sign any agreement to purchase or
lease a new unit before receiving formal notice of your possible eligibility for relocation assistance. If you move or are evicted
before receiving such notice, you may not receive any assistance. Please contact us before you make any moving plans.
Again, this is not a notice to move from the premises and does not establish eligibility for relocation payments or other
relocation assistance.
If the project is approved and you have to move, you may be eligible for relocation assistance. You will be given
advisory services, including referrals to comparable replacement housing and at least 90 days advance written notice of the date
you will be required to move. You will also receive a payment for moving expenses and may be eligible for financial assistance
to help you rent or buy a replacement home. This letter should be retained. If you have any questions about our plans, please
contact us, visit www.road2LA.org, or call 1.888.ROAD.2.LA (1.888.762.3252). TTY callers use 711 relay or 1.800.846.5277.
Sincerely,
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Award Levels
Incentives will be made in the form of a no interest, no payment, forgivable loan enabling property owners to restore their
rental units to a habitable condition and maintain affordable rent levels for up to 10 years for the general pool of owners and
up to 20 years for 501(c)(3) nonprofit organizations. Once units are determined to meet Jurisdiction building codes, an
award is disbursed in the form of a forgivable loan. The loan is completely forgiven over time and the proceeds may be spent
at the borrower’s discretion, without restriction. The loan does not require repayment if all the conditions of the loan are met.
Forgiveness of the loan will occur in staged intervals, depending on the level of affordability chosen by the applicant.
Property owners may choose to rent one or more units in their property at one of the three rent tiers calculated to be
affordable to households at 80, 65, and 50 percent of AMI. The lower the rent that owners agree to charge (e.g. 50 percent
of AMI vs. 65 or 80 percent), the greater the incentive award they are eligible to receive.
All loans (except for loans made in the nonprofit set-aside) will be forgiven over the 10-year affordability period, with at least
50 percent of the loan amount forgiven at the end of the first five years. Awards for property owners who agree to maintain
rents that are affordable to families at the 80 percent of AMI tier are relatively modest in size. For these loans, the first
$10,000 is forgiven at the end of the third year in the program (three years from the time the first eligible tenant occupies the
unit). At the end of year five, an additional $5,000 will be forgiven. The outstanding balance of the loan, if any, will then be
forgiven in five equal annual installments from year six to year 10.
Awards for property owners serving tenants at the 65 or 50 percent of AMI tiers are significantly higher than the 80 percent
tier. These loans are more than 50 percent forgiven at the end of the fifth year from the time the first eligible tenant occupies
the unit, depending on the size of the loan. The balance of the award is then forgiven in five equal annual installments.
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Award/Forgiveness Table
0 BR
(efficiency)
New Orleans MSA
1 BR
2 BR
3 BR
4 BR
or larger
80% AMI Rent Tier
Maximum Basic Award
Forgiveness at End of Year 3
Additional Forgiveness Year 5
Total Forgiveness Year 5
Balance at End of Year 5
Any remaining balance is forgiven in five equal
annual installments. If the maximum award is
received, the installments are:
$730
$15,000
$10,000
$5,000
$15,000
$0
$780
$16,500
$10,000
$5,000
$15,000
$1,500
$940
$16,500
$10,000
$5,000
$15,000
$1,500
$1,090
$20,000
$10,000
$5,000
$15,000
$5,000
$1,210
$20,000
$10,000
$5,000
$15,000
$5,000
$0
$300
$300
$1,000
$1,000
65% AMI Rent Tier
Maximum Award
Forgiveness at End of Year 5
Balance at End of Year 5
Any remaining balance is forgiven in five equal
annual installments. If the maximum award is
received, the installments are:
$600
$23,000
$15,000
$8,000
$640
$23,000
$15,000
$8,000
$770
$26,000
$15,000
$11,000
$880
$45,000
$25,000
$20,000
$990
$47,000
$25,000
$22,000
$1,600
$1,600
$2,200
$4,000
$4,400
50% AMI Rent Tier
Maximum Basic Award
Forgiveness at End of Year 5
Balance at End of Year 5
Any remaining balance is forgiven in five equal
annual installments. If the maximum award is
received, the installments are:
$460
$42,000
$25,000
$17,000
$490
$42,000
$25,000
$17,000
$590
$47,000
$25,000
$22,000
$680
$69,000
$35,000
$34,000
$760
$72,000
$35,000
$37,000
$3,400
$3,400
$4,400
$6,800
$7,400
Below are the current maximum income levels by household size available for each AMI rent tier. Each year the state will
provide updated income tables to qualify the income of new tenants.
Year2
1-person
2-person
3-person
4-person
5-person
6-person
7-person
50%
65%
80%
2
Note to CDBG-DR Grantees: The table is purposely left blank. Check with HUD User to access current information.
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8-person
Mixed-Income Bonus
A 15 percent mixed-income bonus incentive award is available to property owners choosing to rent at least one unit on a
property at unrestricted market rents and at least one unit at the restricted rents established by the Rental program.
Mixed-income properties will receive awards based on the rent levels of the affordable units in the property and then receive
an additional 15 percent bonus. The award amount is calculated only on the affordable unit(s). For example, an owner of a
three-unit property who chooses to make one unit affordable and two units at market rate, will be eligible for 115 percent of
the regular award for one unit (due to the bonus), but will still receive a significantly lower award than an owner who is
providing two or more affordable units.
Owner-Occupant Bonus
A 15 percent owner-occupant bonus incentive award is available to property owners choosing to live with their tenants with
at least one unit at the restricted rents established by the program. This bonus is only available to owner-occupants of three
and four-unit properties. Owner-occupants of two-unit properties are not eligible to receive this bonus.
Owner-occupant properties will receive awards based on the rent levels of the affordable units in the property and then
receive an additional 15 percent bonus. The award amount is calculated only on the affordable units.
Maximum Award
The maximum award amount selected cannot exceed the estimated amount of the cost to repair or rebuild the property on a
per-unit basis. Please review the “Choosing Your Award” section of this handbook for details.
Scoring Criteria
The Program will use scoring criteria to select which applications will receive incentives in each round. Property owners will
respond to scoring questions that have points assigned to them. The application is given a score based on the responses to
these questions. Priority is given based on the owner type. The Rental program has prioritized owner types in the following
order.
1.
2.
3.
4.
Owner-occupants of three- and four-unit buildings
Small owners – property owners who own 20 or fewer units
Mid-size owners – property owners who own 21 to 100 units
New investors – owners who purchased or acquired ownership of the property after the storms
Please refer to the “Scoring Criteria Worksheet” in this handbook for assistance with the points associated with each
question.
Choosing Your Awards
The Small Rental Property program offers owners a choice of award amounts. This is an important decision, and we want to
help make this choice as easy for you to understand as possible. All owners should consider two main factors: (1) the level
of rents they are prepared to accept and (2) the amount of funds they need to cover the cost of repairing/rebuilding their
units.
In general, the award table offers those owners who choose to provide lower rents with the highest awards. However, the
award charts only show the maximum amounts available. As explained on the Award Calculation Worksheet, the actual
award that an owner may receive through the program is set at the lesser of:
•
The amount chosen from the award tables, including any bonus amounts, or
•
100 percent of the estimated cost to repair or reconstruct the rental property
As a result, owners who choose one of the higher awards must have suffered a significant amount of damage and be willing
to keep their rents low. In contrast, if your building needed only a few repairs, you will only be eligible for a smaller award
and would probably want to choose a higher rent level.
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12
To assist you, here is an example that shows how choosing different rents might impact your award options.
Case #1. A duplex with three-bedroom rental units has a total of $80,000 in repair needs. The owner would like to rent his
units to tenants in the mid-range tier (those making 65 percent of AMI or less). At that level, the owner would be eligible for
a maximum award of $45,000 per unit, or $90,000 total. Since the total cost to repair the property is less than the maximum
award, he will receive a final award of $80,000, the lesser of the two.
If the same owner wanted to serve tenants at the highest income tier (80 percent of AMI), the award calculation would
change. The owner would be able to charge a significantly higher rent each month, but would only be eligible to receive a
maximum award of $20,000 per unit, or a total of $40,000. This could leave the owner with some repair costs unpaid, which
he might need to finance through some other source.
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Award Calculation Worksheet
This worksheet is provided to help you apply for the Rental program. It may not necessarily indicate the amount of award
you will receive, and should be used as an estimate of the total award. The program is unable to supply you with estimates
for this information; please be prepared by bringing estimates with you when meeting with a Rental program representative.
We encourage you to bring this worksheet and any supporting documentation to a financial planner, bank, or other individual
who can provide you financial advice.
Site Work (utility lines, landscaping, etc.)
Demolition
Repair/Reconstruction Costs
Lead Abatement
Soft Costs:
Architectural/Engineering (drawings, specifications, if applicable)
Financing Costs (construction interest, appraisal, origination fees)
Survey
Legal Costs (attorney fees, notary fees, etc.)
Title Insurance
Building Permit
Other Soft Costs
Consultant Fee (if applicable)
Relocation (if applicable)
Contingency (to pay for unexpected costs; not greater than 10 percent)
Other Development Costs:
Cost to Repair/Reconstruct Subtotal
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
(A)
Forgivable Loan Award
Bonus Award for Mixed Income (if applicable)
Bonus Award for Special Needs (if applicable)
Maximum Award Total
$
$
$
$
(B)
Small Business Administration Funds
For Repair/Reconstruction (if owner-occupant of 3 or 4 units)
FEMA Funds for Repair/Reconstruction (if owner-occupant of 3 or 4 units)
Insurance Proceeds for Repair/Reconstruction (if owner-occupant of 3 or 4 units)
Permanent Loan to Be Obtained From Lender
Total Other Funds
$
Financial Gap (owner's funds, equity, etc.)
Calculated as A-B-C = Financial Gap
$
Small Rental Rehabilitation Tool: Application & Progress Checklist
$
$
$
$
(C)
14
Guide to Utility Allowance
To keep housing affordable for low- to moderate-income households, the Program asks you to consider a utility
allowance when selecting affordable rent levels on your application.
What is a utility allowance?
The utility allowance is designed to help your tenants cover some of the cost of their utilities if you are not providing these
utilities for them. If you intend to pay utilities for your tenants, there is no utility allowance subtracted from the monthly rent
listed in the award tables. If, however, you ask your tenant to pay for any of the services themselves, you must subtract an
allowance from the amount of monthly rent shown in the tables. A utility allowance is used in most federal housing programs
and helps to ensure that owners who take on the financial responsibility for tenants’ utility charges are able to receive a
higher rent than owners who do not. Whether you choose to use an allowance for utilities or pay for the services yourself
generally depends on your preference.
Which utilities are included in this allowance?
The utilities for which an allowance is provided to tenants include electricity, natural gas, water, sewer, and trash collection.
If you plan to ask a tenant to pay any of these costs in addition to their rent, a utility allowance is required. The decision to
use a utility allowance will never affect the competitiveness of your application or your chances of receiving funding in any
round. You do not need to indicate this decision on the application. However, you will need to make this decision before you
offer your unit for rent. As a result, it is a good idea for you to begin now to consider whether you will use the utility
allowance or cover the cost of all utilities yourself.
How to figure out your potential utility allowance
Because the amount of utility consumption tends to vary due to the characteristics of your rental unit, including the location
and size, the Program has developed a set of monthly allowances for property owners to use. The chart below provides the
amount of allowance you may use based on your property’s characteristics.
Jurisdiction A
Jurisdiction B
0 BR
$50
$50
1 BR
$75
$50
2 BR
$85
$60
3 BR
$100
$70
4 BR
$125
$80
How was the allowance determined?
The utility allowance is designed to provide those tenants who must pay their own utilities with some compensation in the
form of a lower monthly rent. Utility costs are generally higher for larger units and in areas where the rates are higher.
Consequently, the allowance for tenants in these units is higher. The utility allowance is also designed to assist owners by
ensuring that adequate rental income is maintained to keep up the rental property. Utility costs have recently risen
significantly and a higher allowance for tenants would result in lower rents for your building; this could jeopardize your ability
to deliver quality housing. This schedule attempts to distribute the cost of utilities in an even-handed manner.
Will the allowance change?
The Program will publish current allowances each year. These allowances will be calculated as described above and will
only change if there are significant increases or decreases in the utility rates being charged.
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Appendix
Appendix A. Operating Income and Expense Worksheet
This worksheet is provided to help you prepare to apply for the Small Rental Property program. It should be used as a tool
to help you estimate the amount of income you will receive from rents listed in the award tables. A Rental program
representative will not be able to provide you with this information, but will be able to help you complete the calculations on
the worksheet. We encourage you to bring this worksheet and any supporting documentation to a financial planner, bank,
or other individual who can provide you financial advice.
1. Property Income
Gross Rents
Less Utility Allowance
Maximum Allowable Rent
Less vacancy @10 percent
$
$
$
$
Subtotal Gross Income
$
2. Operating Expenses
Property Management
(6 percent of gross income)
Utilities
Maintenance
Insurance
Taxes (state, parish)
Reserve for Replacement
3. Mortgage Payment Calculation
Gross Income
Less Operating Expenses
Net Income
Income for Mortgage Payment
0.9 * net income from above
$
$
$
$
$
$
$
$
$
$
$
(*90 percent of net income is usually the maximum allowed by most lenders to apply for a mortgage.)
4. Maximum Mortgage Calculation
Total Loan Amount
Proposed Interest Rate
Term of Mortgage
Monthly Payment
Maximum Supportable Mortgage
$
$
$
$
$
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Appendix B. Scoring Criteria Worksheet
This worksheet is provided to help you apply for the Rental program. Please do not submit this worksheet with your
application. The table below contains three columns. If the criteria describe you, your rental property, or your plans for repair
or reconstruction, enter the number in the Total Points column into the Your Points column. When you are finished, add the
total number of points you may be eligible to receive.
Italicized criteria will be verified by The Program, and not included on the application as individual scoring
questions.
Your
Points
Total
Points
20
10
20
5
15
10
5
10
5
1
1
6
2
6
2
6
2
3
4
8
Scoring Criteria
Property is located in a designated priority residential redevelopment area as referenced in a locally
approved design plan.
Property is listed on the National Register of Historic Places. (Calculated by applicant responses)
Property creates a mixed-income building with at least one market-rate rental unit and one affordable
rental unit. (Calculated by applicant responses)
1. Property is located within two (2) miles of at least three (3) the following amenities:
elementary school, hospital/doctor’s office, recreational facility, place of worship, fire station, post
office, grocery or convenience store, childcare services, public transportation, public library, bank/credit
union
2. Property owner is not applying through the nonprofit set-aside and agrees to a ten (10)-year term of
affordability, with the entire loan forgiven at the end of 10 years.
(Only for general pool applicants; nonprofit set-aside cannot receive these points)
3. At least one property owner receives greater than thirty (30) percent of his/her annual income from
rental revenue.
4. Property received at least one bid from a Jurisdiction-licensed contractor or registered
home improvement contractor prior to the date of application.
5. Property will be built with any three (3) of the following hazard mitigation measures: stronger exterior
doors, bracing on garage doors, tying down or anchoring of propane and heating fuel tanks, elevation
of washers and dryers, elevation of furnaces and water heaters, elevation of electrical panels and air
conditioning units, window protection, hurricane straps or clips, walls bolted to the foundation, or
backflow valves.
6. Property has received a building permit prior to the date of application.
7. All affordable units will contain a garbage disposal.
8. All affordable units will contain a tankless water heater that serves each rental unit separately.
9. All affordable units will contain an ENERGY STAR® efficient refrigerator.
10. All affordable units will contain a conventional dishwasher.
11. All affordable units will contain an ENERGY STAR® efficient dishwasher.
12. All affordable units will contain a washer/dryer hook-up.
13. All affordable units will contain an ENERGY STAR® efficient clothes washer.
14. All affordable units will contain a clothes dryer.
15. All affordable units will contain ceiling fans in all sleeping and living rooms.
16. All affordable units will contain conventional central heating and air conditioning systems.
17. All affordable units will contain energy-efficient central heating and air conditioning systems of at
Small Rental Rehabilitation Tool: Application & Progress Checklist
17
10
5
5
5
10
176
10
10
20
30
246
least 14 SEER or 95 percent AFUE.
18. All affordable units will be built to one of the following nationally recognized green building
standards: National Association of Home (NAHB) Builders Silver or Gold standards, Leadership in
Energy and Environmental Design (LEED) standards, or Green Communities standards. This criterion
will require the owner to have a certified construction consultant document the building’s compliance
with the selected standards.
19. All affordable units will be built in excess of the following kitchen dimensions:
1-bedroom units with 6 lineal feet of cabinetry and 100 total square feet (SF)
2-bedroom units with 10 lineal feet of cabinetry and 120 total SF
3-bedroom units with 14 lineal feet of cabinetry and 160 total SF
4 or more bedroom units with 22 lineal feet of cabinetry and 180 total SF
20. All affordable units will be built in excess of the following total unit dimensions:
600 SF for studios, 720 SF for 1-bedroom units, 960 SF for 2-bedroom units, 1,080 SF for 3-bedroom
units, 1,440 SF for 4 or more bedroom units
21. All affordable units will be built to visitability standards, which include at least one no-step entrance,
doors and hallways wide enough for a wheelchair to navigate, and at least one handicappedaccessible bathroom located on the first floor of the unit.
(Applicants may not receive points for both Universal Design and visitability standards.)
22. All affordable units will be built to Universal Design standards that include visitability standards and
the following requirements: installing a sidelight for the main entrance door, ensuring that all main floor
interior doors have 32–36 inches of clear passage space, ensuring there are no changes in interior
floor levels, providing 42-inch-wide hallways, creating bathrooms with sinks that have clear floor space
of 30 x 48 inches in front, and bathing facilities that are accessible to disabled tenants.
(Applicants may not receive points for both Universal Design and visitability standards.)
TOTAL
The next four scoring criteria are For Applicants to the Nonprofit Set-Aside ONLY:
*Applicants may not select more than one of the scoring questions marked with an asterisk.
1.NP. The property owner is a nonprofit organization applying through the set-aside and owned the
property at the time of the storms.
2.NP. The property owner is a nonprofit organization applying through the set-aside and agrees to offer
at least 50 percent of the property at initial occupancy to occupants identified with special needs. Units
are required to be affordable at the 50 percent of AMI rent level.* (Calculated by applicant responses)
3.NP. The property owner is a nonprofit organization applying through the set-aside and agrees to
make a 15-year commitment to offering at least 50 percent of the property for PSH occupants referred
by the state, with wraparound services funded through the Jurisdiction Supportive Services Program
and project-based rental assistance. Units are required to be affordable at the 50 percent of AMI rent
level.* (Calculated by applicant responses)
4.NP. The property owner is a nonprofit organization applying through the set-aside and agrees to
make a 15-year commitment to providing at least 50 percent of the property for PSH occupants
referred by the state, with wraparound services funded through the Jurisdiction Supportive Services
Program and rent subsidies funded by the property owner. Units are required to be affordable at the 50
percent of AMI rent level.* (Calculated by applicant responses)
TOTAL
Small Rental Rehabilitation Tool: Application & Progress Checklist
18
Appendix C. Sample Rental Property Owner Application
The information collected below will be used to determine whether you qualify for the Small Rental Property program. It will not be
disclosed other than to the jurisdiction or its agents without your consent except for verification of information or as required and
permitted by law.
All fields marked with an asterisk (*) must be accurately completed. Incomplete and/or late applications will not be considered in Round
2. You should only submit one application for each rental property and print legibly in blue or black ink. Completing an online
application is the fastest way to submit an application and assure completion.
If you have questions about the information requested in this application, or need assistance completing it, call 1.888.762.3252. TTY
callers use 711 relay or 1.800.846.5277. Reasonable accommodation such as alternative application formats may also be requested by
calling these numbers. You may also view an online application assistance guide at www.road2la.com/rental.
Mail your application to:
Road Home Rental Applications
PO Box 4729
Baton Rouge, LA 70821
Courier/hand deliver your application to:
Road Home Rental Applications
7850 Anselmo Lane
Baton Rouge, LA 70810
Your answers to the following questions will be used to determine your eligibility for Round 2 of the Small Rental Property
program.
*1. Is the property located in Acadia, Calcasieu, Cameron, Iberia, Jefferson, Orleans, Plaquemines,
St. Bernard, St. Tammany, Tangipahoa, Terrebonne, Vermilion or Washington Parish?
Yes
No
*2. Did the property sustain damages of at least $5,200 from Hurricane Katrina or Rita?
Yes
No
*3. Did the property contain between one and four dwelling units prior to the storm?
Yes
No
*4. Was at least one property owner a resident or Jurisdiction-based business or nonprofit
at the time of the storms?
Yes
No
*5. Did at least one property owner own 100 or fewer rental units at the time of the storms?
Yes
No
*6. Was this a residential rental property at the date of the storms?
Yes
No
PRIMARY CONTACT INFORMATION
Prefix:
Mrs.
Mr.
Ms.
Suffix:
Esq.
II
III
Dr.
IV
*First Name
JOHN
Jr.
Middle Name
Sr.
MD
Ph.D.
*Current Address
111 FIRST AVENUE
*City
NEW ORLEANS
*City
*State
*State
LOUISIANA
*Last Name
DOE
*Mailing Address
Same as current address
*Zip Code 70000
*Zip Code
*Parish (if in Louisiana) ORLEANS
*Parish (if in Louisiana)
*Daytime Telephone/TTY: (504) 555-5555
*Evening Telephone/TTY: (504) 444-4444
Email Address: johndoe@aol.com
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19
Owner Information
Owner #1
* How many total rental units does this owner own?
*Owner Entity Type:
Prefix:
Mrs.
Individual Owner
Mr.
Ms.
*State
21 to 100
Co-Owner
*First Name
JOHN
Dr.
Suffix:
Esq.
II
III
*Current Address
111 FIRST AVENUE
*City
NEW ORLEANS
1 to 20
IV
Jr.
Sr.
101 to 200
Partnership
Corporation
Middle Name
MD
Ph.D.
*Mailing Address
201+
Nonprofit Organization
*Last Name
DOE
Same as current address
*City
LOUISIANA
*State
*Parish (if in Louisiana) ORLEANS
*Parish (if in Louisiana)
*Daytime Telephone/TTY: (504) 555-5555
*Evening Telephone/TTY: (504) 444-4444
*Social Security No.
222–22–2222
Marital Status
*Date of Birth (mm/dd/yyyy)
01/ 01/1955
Married
Unmarried
Legally Separated
Email Address: johndoe@aol.com
FOR INDIVIDUAL OWNERS & CO-OWNERS ONLY
The Program is required to request demographic information for purposes of reporting to the federal government. You are not required
to provide this information, but are encouraged to do so.
Gender:
Male
Female
Household Size: _3__
Ethnicity:
Hispanic/Latino
Non-Hispanic/Latino
Race:
American Indian/Alaska Native
Black/African American and White
American Indian/Alaska Native and White
Native Hawaiian/Other Pacific Islander
American Indian/Alaska Native/Black-African American
Other/Multiracial
Asian
White
Asian and White
I choose not to provide this information.
FOR BUSINESS ENTITIES ONLY
*Organization Name
Entity Type:
Corporation
Local Government
Sole Proprietor
Name Continuation
General Partner
Nonprofit Organization
Minority Business Enterprise
Limited Partnership
Other
Women’s Business Enterprise
*Federal Tax ID#
*Louisiana Tax ID#
*Current Address
*Mailing Address
*City
*City
*State
*State
*Zip Code
*Zip Code
*Parish (if in Louisiana)
*Parish (if in Louisiana)
Small Rental Rehabilitation Tool: Application & Progress Checklist
Individual Joint Venture
Publicly Owned
Same as current address
20
Owner #2
* How many total rental units does this owner own?
*Owner Entity Type:
Prefix:
Mrs.
Individual Owner
Mr.
Ms.
*State
Co-Owner
*First Name
JANE
Dr.
Suffix:
Esq.
II
III
*Current Address
111 FIRST AVENUE
*City
NEW ORLEANS
1 to 20
IV
Jr.
Sr.
21 to 100
101 to 200
Partnership
Corporation
Middle Name
MD
Ph.D.
*Mailing Address
201+
Nonprofit Organization
*Last Name
DOE
Same as current address
*City
LOUISIANA
*State
*Parish (if in Louisiana) ORLEANS
*Parish (if in Louisiana)
*Daytime Telephone/TTY: (504) 555-5554
Evening Telephone/TTY: (
*Social Security No.
333–33–3333
Marital Status
*Date of Birth (mm/dd/yyyy)
12/25/1955
Married
) __________________
Unmarried
Legally Separated
Email Address: janedoe@aol.com
FOR INDIVIDUAL OWNERS & CO-OWNERS ONLY
The program is required to request demographic information for purposes of reporting to the federal government. You are not
required to provide this information, but are encouraged to do so.
Gender:
Male
Female
Household Size: __3__
Ethnicity:
Hispanic/Latino
Non-Hispanic/Latino
Race:
American Indian/Alaska Native
Black/African American and White
American Indian/Alaska Native and White
Native Hawaiian/Other Pacific Islander
American Indian/Alaska Native/Black-African American
Other/Multiracial
Asian
White
Asian and White
I choose not to provide this information.
FOR BUSINESS ENTITIES ONLY
*Organization Name
Entity Type:
Corporation
Local Government
Sole Proprietor
Name Continuation
General Partner
Nonprofit Organization
Minority Business Enterprise
Limited Partnership
Other
Women’s Business Enterprise
*Federal Tax ID#
*Louisiana Tax ID#
*Current Address
*Mailing Address
*City
*City
*State
*State
*Zip Code
*Zip Code
*Parish (if in Louisiana)
*Parish (if in Louisiana)
Small Rental Rehabilitation Tool: Application & Progress Checklist
Individual Joint Venture
Publicly Owned
Same as current address
21
Owner #3
* How many total rental units does this owner own?
*Owner Entity Type:
Individual Owner
Prefix:
Mrs.
Mr.
Suffix:
Esq.
II
Ms.
Co-Owner
*First Name
Dr.
III
1 to 20
IV
Jr.
Sr.
21 to 100
101 to 200
201+
Partnership
Corporation
Middle Name
MD
Nonprofit Organization
*Last Name
Ph.D.
*Current Address
*Mailing Address
Same as current address
*City
*City
*State
*State
*Parish (if in Louisiana)
*Parish (if in Louisiana)
*Daytime Telephone/TTY: (
) __________________
Evening Telephone/TTY: (
*Social Security No.
*Date of Birth (mm/dd/yyyy)
Marital Status
Married
) __________________
Unmarried
Legally Separated
Email Address:
FOR INDIVIDUAL OWNERS & CO-OWNERS ONLY
The program is required to request demographic information for purposes of reporting to the federal government. You are not required
to provide this information, but are encouraged to do so.
Gender:
Male
Female
Household Size: _____
Ethnicity:
Hispanic/Latino
Non-Hispanic/Latino
Race:
American Indian/Alaska Native
Black/African American and White
American Indian/Alaska Native and White
Native Hawaiian/Other Pacific Islander
American Indian/Alaska Native/Black-African American
Other/ Multiracial
Asian
White
Asian and White
I choose not to provide this information.
FOR BUSINESS ENTITIES ONLY
*Organization Name MISSING PERSONS, INC
Entity Type:
Corporation
Local Government
Sole Proprietor
General Partner
Nonprofit Organization
Minority Business Enterprise
Name Continuation
Limited Partnership
Other
Individual Joint Venture
Publicly Owned
Women’s Business Enterprise
*Federal Tax ID# 77-7777777
*Louisiana Tax ID# 77-7777777
*Current Address
112 FIRST AVENUE
*Mailing Address
*City
NEW ORLEANS
*City
*State
LOUISIANA
*State
*Zip Code
70000
*Zip Code
*Parish (if in Louisiana) ORLEANS
Small Rental Rehabilitation Tool: Application & Progress Checklist
Same as current address
*Parish (if in Louisiana)
22
Owner #4
* How many total rental units does this owner own?
*Owner Entity Type:
Individual Owner
Prefix:
Mrs.
Mr.
Suffix:
Esq.
II
Ms.
Co-Owner
*First Name
Dr.
III
1 to 20
IV
Jr.
Sr.
21 to 100
101 to 200
Partnership
Corporation
Middle Name
MD
201+
Nonprofit Organization
*Last Name
Ph.D.
*Current Address
*Mailing Address
Same as current address
*City
*City
*State
*State
*Parish (if in Louisiana)
*Parish (if in Louisiana)
*Daytime Telephone/TTY: (
) __________________
Evening Telephone/TTY: (
*Social Security No.
*Date of Birth (mm/dd/yyyy)
Marital Status
Married
) __________________
Unmarried
Legally Separated
Email Address:
FOR INDIVIDUAL OWNERS & CO-OWNERS ONLY
The program is required to request demographic information for purposes of reporting to the federal government. You are not required
to provide this information, but are encouraged to do so.
Gender:
Male
Female
Household Size: _____
Ethnicity:
Hispanic/Latino
Non-Hispanic/Latino
Race:
American Indian/Alaska Native
Black/African American and White
American Indian/Alaska Native and White
Native Hawaiian/Other Pacific Islander
American Indian/Alaska Native/Black-African American
Other/Multiracial
Asian
White
Asian and White
I choose not to provide this information.
FOR BUSINESS ENTITIES ONLY
*Organization Name
Entity Type:
Corporation
Local Government
Sole Proprietor
Name Continuation
General Partner
Nonprofit Organization
Minority Business Enterprise
Limited Partnership
Other
Individual Joint Venture
Publicly Owned
Women’s Business Enterprise
*Federal Tax ID#
*Louisiana Tax ID#
*Current Address
*Mailing Address
*City
*City
*State
*State
*Zip Code
*Zip Code
*Parish (if in Louisiana)
*Parish (if in Louisiana)
Same as current address
***If your property is owned by more individual owners, please copy this sheet and provide information on all additional
owners. Otherwise, please continue to the Rental Property Information section.
Small Rental Rehabilitation Tool: Application & Progress Checklist
23
Rental Property Information
Primary Property Address (as listed with the Parish Assessor’s Office)
*House Number*
227
*City
*Street Name*
FIRST
Street Direction
NEW ORLEANS
*Street Type* (e.g. Ave, St, Blvd)
AVENUE
*State LOUISIANA
*Parish ORLEANS
*Zip Code 70000
Parish Tax Parcel Number
Reimbursement for storm-related loss on real estate
SBA # 1234567890
FEMA# 987654321
Insurance Policy Number
AC783400
SBA Amount $1,300.00
FEMA Amount $2,500.00
Insurance Provider Name
SAFETYNET INSURANCE
Insurance Compensation Amount
$30,000.00
Questions about the Property
For the following requested information, estimated dates are acceptable.
*Year Built
1970
*Estimated Cost of Construction
$90,000
*Date of Purchase (mm/dd/yyyy)
*Date of Most Recent Appraisal
02/02/1999
*Estimated Construction Start Date
05/01/2007
*Estimated Construction Completion Date
*Estimate Percentage of Construction Complete:
06/01/2006
0-24%
07/31/2007
25-49%
50-74%
75-99%
100%
*1. Are there any outstanding real estate taxes, loans, liens, or judgments
against the property?
Yes
No
Don’t Know
*2. Do you have title insurance?
Yes
No
Don’t Know
*3. Is the property located in a floodplain?
Yes
No
Don’t Know
*4. Is the property in a local historic district or a nominated or designated
landmark?
Yes
No
Don’t Know
*5. Is the property in a National Register District or a National Register
Eligible District?
Yes
No
Don’t Know
*6. Have you purchased the property since Hurricane Katrina or Rita?
Yes
No
*7. Has a certificate of occupancy or certificate of substantial completion
been issued by the local authority for this property?
Small Rental Rehabilitation Tool: Application & Progress Checklist
Yes
No
If YES, date issued: 05/01/2007
(mm/dd/yyyy)
24
PROPERTY CHARACTERISTICS BEFORE REPAIR
Building Type Before Repairs:
1 Unit
2 Units
3 Units
4 Units
Unit #1
*House Number 227
*Street Name SESAME
Street Direction
*Street Type
*Unit Number
STREET
*Number of Bedrooms
0 – Efficiency
1 – One Bedroom
2 – Two Bedrooms
3 – Three Bedrooms
4 – Four or More Bedrooms
A
*Occupancy Type
Business
Owner
Tenant
*Has the unit been occupied by a tenant at any time since November 1, 2006?
No
Yes
If YES, provide information for all tenants over the age of 18 who occupied this unit.
TENANT #1
*Move-In Date
(mm/dd/yyyy)
*First Name
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
TENANT #2
*Move-In Date
(mm/dd/yyyy)
*First Name
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
TENANT #3
*Move-In Date
(mm/dd/yyyy)
*First Name
No If NO, provide tenant’s current address below
*Move Out Date (mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
TENANT #4
*Move-In Date
(mm/dd/yyyy)
*First Name
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
If there are more than four tenants over the age of 18 who have occupied the unit since November 1, 2006, please attach
additional sheets and provide all required tenant information.
Small Rental Rehabilitation Tool: Application & Progress Checklist
25
Unit #2
*House Number 227
*Street Name SESAME
Street Direction
*Street Type
*Unit Number
STREET
*Number of Bedrooms
0 – Efficiency
1 – One Bedroom
2 – Two Bedrooms
3 – Three Bedrooms
4 – Four or More Bedrooms
B
*Occupancy Type
Business
Owner
Tenant
*Has the unit been occupied by a tenant at any time since November 1, 2006?
No
Yes
If YES, provide information for all tenants over the age of 18 who occupied this unit.
TENANT #1
*Move-In Date
(mm/dd/yyyy)
*First Name
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
TENANT #2
*Move-In Date
(mm/dd/yyyy)
*First Name
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
TENANT #3
*Move-In Date
(mm/dd/yyyy)
*First Name
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
TENANT #4
*Move-In Date
(mm/dd/yyyy)
*First Name
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
If there are more than four tenants over the age of 18 who have occupied the unit since November 1, 2006, please attach
additional sheets and provide all required tenant information.
Small Rental Rehabilitation Tool: Application & Progress Checklist
26
Unit #3
*House Number
227
Street Direction
*Street Name
SESAME
*Street Type
*Unit Number
STREET
*Number of Bedrooms
0 – Efficiency
1 – One Bedroom
2 – Two Bedrooms
3 – Three Bedrooms
4 – Four or More Bedrooms
D
*Occupancy Type
Business
Owner
Tenant
*Has the unit been occupied by a tenant at any time since November 1, 2006?
No
Yes
If YES, provide information for all tenants over the age of 18 who occupied this unit.
TENANT #1
*Move-In Date
(mm/dd/yyyy)
05/02/2007
*First Name
JOHN
SMITH
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Mailing Address (including City, State and Zip)
TENANT #2
*Move In Date
(mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
*First Name
$30,000
No If NO, provide tenant’s current address below
*Move Out Date (mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
$0.00
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Mailing Address (including City, State and Zip)
1400 LAGOON DRIVE
NEW ORLEANS, LA 70000
*Move-In Date
TENANT #3
*First Name
(mm/dd/yyyy)
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
05/02/ 2007
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
TENANT #4
*Move-In Date
(mm/dd/yyyy)
*First Name
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
If there are more than four tenants over the age of 18 who have occupied the unit since November 1, 2006, please attach
additional sheets and provide all required tenant information.
Small Rental Rehabilitation Tool: Application & Progress Checklist
27
Unit #4
*House Number
227
Street Direction
*Street Name
SESAME
*Street Type
*Unit Number
STREET
*Number of Bedrooms
0 – Efficiency
1 – One Bedroom
2 – Two Bedrooms
3 – Three Bedrooms
4 – Four or More Bedrooms
D
*Occupancy Type
Business
Owner
Tenant
*Has the unit been occupied by a tenant at any time since November 1, 2006?
No
Yes
If YES, provide information for all tenants over the age of 18 who occupied this unit.
TENANT #1
*Move-In Date
(mm/dd/yyyy)
04/01/2007
*First Name
WILLIAM
WHITE
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Mailing Address (including City, State and Zip)
5757 W. 25TH AVENUE
NEW YORK, NY 10000
TENANT #2
*Move-In Date
(mm/dd/yyyy)
*First Name
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Mailing Address (including City, State and Zip)
TENANT #3
*Move-In Date
(mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
*First Name
$40,000.00
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
TENANT #4
*Move-In Date
(mm/dd/yyyy)
*First Name
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
Estimated Tenant
Annual Income
*Last Name
$
*Is this unit currently occupied by this tenant?
Yes
*Tenant’s Current Address (including City, State and Zip)
No If NO, provide tenant’s current address below
*Move-Out Date (mm/dd/yyyy)
If there are more than four tenants over the age of 18 who have occupied the unit since November 1, 2006, please attach
additional sheets and provide all required tenant information.
Small Rental Rehabilitation Tool: Application & Progress Checklist
28
Property Characteristics After Repair
The following section asks questions about your plans for renting units after repair or reconstruction of the rental property. Your
answers to the following questions will determine the maximum amount of award you are eligible to receive for this property.
Unit #1
Check here if this unit will not be rebuilt.
*House Number
227
*Street Name
SESAME
Street Direction
*Street Type
STREET
*Number of Bedrooms*
0 – Efficiency
1 – One Bedroom
2 – Two Bedrooms
*Occupancy Type
Owner
Market-Rate Tenant
Business
Affordable Tenant***
*Unit Number
B
3 – Three Bedrooms
4 – Four or More Bedrooms
*Affordable Rent Tier
(for affordable tenant units only)
80% AMI Tier
65% AMI Tier
50% AMI Tier
Unit #2
Check here if this unit will not be rebuilt.
Check here if this unit is a new unit that did not exist prior to the storms.
*House Number
227
*Street Name
SESAME
Street Direction
*Street Type
STREET
*Number of Bedrooms*
0 – Efficiency
1 – One Bedroom
2 – Two Bedrooms
*Occupancy Type
Owner
Market-Rate Tenant
Business
Affordable Tenant***
Small Rental Rehabilitation Tool: Application & Progress Checklist
*Unit Number
B
3 – Three Bedrooms
4 – Four or More Bedrooms
*Affordable Rent Tier
(for affordable tenant units only)
80% AMI Tier
65% AMI Tier
50% AMI Tier
29
Unit #3
Check here if this unit will not be rebuilt.
Check here if this unit is a new unit that did not exist prior to the storms.
*House Number
227
*Street Name
SESAME
Street Direction
*Street Type
STREET
*Number of Bedrooms*
0 – Efficiency
1 – One Bedroom
2 – Two Bedrooms
*Occupancy Type
Owner
Market-Rate Tenant
Business
Affordable Tenant***
*Unit Number
C
3 – Three Bedrooms
4 – Four or More Bedrooms
*Affordable Rent Tier
(for affordable tenant units only)
80% AMI Tier
65% AMI Tier
50% AMI Tier
Unit #4
Check here if this unit will not be rebuilt.
Check here if this unit is a new unit that did not exist prior to the storms.
*House Number
227
*Street Name
SESAME
Street Direction
*Street Type
STREET
*Number of Bedrooms*
0 – Efficiency
1 – One Bedroom
2 – Two Bedrooms
*Occupancy Type
Owner
Market-Rate Tenant
Business
Affordable Tenant***
Small Rental Rehabilitation Tool: Application & Progress Checklist
*Unit Number
D
3 – Three Bedrooms
4 – Four or More Bedrooms
*Affordable Rent Tier
(for affordable tenant units only)
80% AMI Tier
65% AMI Tier
50% AMI Tier
30
Nonprofit Organizations Only
Nonprofit organizations may choose to participate in the general pool or the special funding set-aside. Nonprofit organizations that do
not wish to participate in the nonprofit set-aside are still eligible to provide Special Needs housing or PSH. Please answer YES or NO
to questions 1–3 and provide all requested information in the table below.
*1. Would you like to participate in a special funding set-aside for nonprofit organizations
that requires a 20-year commitment to offering affordable rental units?
***If NO, SKIP questions 2 and 3 and continue to the table below if you wish to offer
Special Needs or PSH units.
*2. If yes, did the nonprofit organization applying through the set-aside own the property
at the time of the storms?
*3. Do you agree to make a 15-year commitment to offer at least 50 percent of the property for
PSH occupants referred by the state, with wraparound services funded through the Louisiana
Supportive Services Program?
If YES, please indicate which units will be PSH.
By choosing this option, units must be at the 50 percent of AMI affordable rent tier.
*House
Number
*Unit
Number
Special Needs/Permanent Supportive
Housing
Yes
No
Yes
No
Yes
No
Additional Rent Subsidy for Permanent
Supportive Housing
( ONLY if answered YES to Question 3)
Special Needs
Funded by Owner
Permanent Supportive Housing
State Project-Based Rental Assistance
Special Needs
Permanent Supportive Housing
Funded by Owner
State Project-Based Rental Assistance
Special Needs
Funded by Owner
Permanent Supportive Housing
State Project-Based Rental Assistance
Special Needs
Funded by Owner
Permanent Supportive Housing
State Project-Based Rental Assistance
Small Rental Rehabilitation Tool: Application & Progress Checklist
31
Priority Scoring Criteria
The following criteria were developed by the jurisdiction for use in Round 2 of the Small Rental Property program. These criteria will be
used to score your application. Please respond YES or NO to each question by checking the appropriate box. ONLY check the
statements that apply to this rental property, property owner(s), or to your repair or reconstruction plans.
1.
Yes
No
Property is located within two (2) miles of at least three (3) the following amenities: elementary school,
hospital/doctor’s office, recreational facility, place of worship, fire station, post office, grocery or
convenience store, childcare services, public transportation, public library, bank/credit union.
2.
Yes
No
The property owner is not applying through the nonprofit set-aside and agrees to a ten (10)-year term of
affordability, with the entire loan forgiven at the end of 10 years.
3.
Yes
No
At least one property owner receives greater than thirty (30) percent of their annual income from rental
revenue.
4.
Yes
No
Property has received at least one bid from licensed contractor or registered home
improvement contractor prior to date of application.
5.
Yes
No
Property will be built with at least three (3) of following hazard mitigation measures: stronger exterior doors,
bracing on garage doors, tying down or anchoring of propane and heating fuel tanks, elevation of washers
and dryers, elevation of furnaces and water heaters, elevation of electrical panels and air conditioning
units, window protection, hurricane straps or clips, walls bolted to the foundation, or backflow valves.
6.
Yes
No
Property has received a building permit prior to date of application.
7.
Yes
No
All affordable units will contain a garbage disposal.
8.
Yes
No
All affordable units will contain a tankless water heater that serves each rental unit separately.
9.
Yes
No
All affordable units will contain an ENERGY STAR® efficient refrigerator.
10.
Yes
No
All affordable units will contain a conventional dishwasher.
11.
Yes
No
All affordable units will contain an ENERGY STAR® efficient dishwasher.
12.
Yes
No
All affordable units will contain a washer/dryer hook-up.
13.
Yes
No
All affordable units will contain an ENERGY STAR efficient clothes washer.
14.
Yes
No
All affordable units will contain a clothes dryer.
15.
Yes
No
All affordable units will contain ceiling fans in all sleeping and living rooms.
16.
Yes
No
All affordable units will contain conventional central heating and air conditioning systems.
17.
Yes
No
All affordable units will contain energy efficient central heating and air conditioning systems not less than
a rating of 14 SEER or 95 percent AFUE.
Small Rental Rehabilitation Tool: Application & Progress Checklist
32
PRIORITY SCORING CRITERIA
18.
Yes
No
All affordable units will be built to one of the following nationally recognized green building standards:
National Association of Home Builders Silver or Gold standards, Leadership in Energy and Environmental
Design standards, or Green Communities standards. This criterion will require the owner to have a certified
construction consultant document the building’s compliance with the selected standards.
19.
Yes
No
All affordable units will be built in excess of the following kitchen dimensions:
1-bedroom units with 6 lineal feet of cabinetry and 100 total square feet (SF)
2-bedroom units with 10 lineal feet of cabinetry and 120 total SF
3-bedroom units with 14 lineal feet of cabinetry and 160 total SF
4-or more bedroom units with 22 lineal feet of cabinetry and 180 total SF
20.
Yes
No
All affordable units will be built in excess of the following total unit dimensions:
600 square feet (SF) for studios, 720 SF for 1-bedroom units, 960 SF for 2-bedroom units, 1,080
SF for 3-bedroom units, 1,440 SF for 4 or more bedroom units
21.
Yes
No
All affordable units will be built to visitability standards, which include at least one no-step entrance, doors
and hallways wide enough for a wheelchair to navigate, and at least one handicapped-accessible
bathroom located on the first floor of the unit.
22.
Yes
No
All affordable units will be built to Universal Design standards, which include visitability standards and the
following requirements: installing a sidelight for the main entrance door, ensuring that all main floor
interior doors have 32–36 inch of clear passage space, ensuring there are no changes in interior floor
levels, providing 42-inch-wide hallways, creating bathrooms with sinks that have clear floor space of 30 x
48 inches in front, and bathing facilities that are accessible to disabled tenants. You cannot receive points
for both Universal Design and visitability standards.
Small Rental Rehabilitation Tool: Application & Progress Checklist
33
The undersigned agrees and acknowledges that the information provided in this application is true and correct as of the date set forth
opposite my signature and that any intentional or negligent misrepresentation of the information contained in this application may result in
Civil Liability, including monetary damages, to any person who may suffer any loss due to reliance upon any misrepresentation that I
have made on this application, and/or in criminal penalties including, but not limited to, fine, imprisonment or both under the provision of
Title 18 United States Code Section 1001.
I certify that a Small Rental Application Notice has been provided to all persons who have occupied this property since
November 1, 2006.
I further certify that, to the best of my knowledge and belief, all the information on and attached to this application is true, correct,
complete, and provided in good faith. I understand that false or fraudulent information on, or attached to, this application may be
grounds for not making a loan and may be punishable by a fine and/or imprisonment. I understand that any information I give may be
investigated. (Louisiana Criminal Code: R.S. 14:67, Theft; R.S. 14:67, Identity Theft; and/or R.S. 14:72, Forgery)
Print Applicant Name: _________JOHN DOE___________
Applicant Signature: ________J O H N
D O E __________
Date: ___________________
Equal Housing Opportunity
We Do Business in Accordance With the Fair Housing Act
(The Civil Rights Act of 1968, as amended by the Fair Housing Amendments Act of 1988)
IT IS ILLEGAL TO DISCRIMINATE AGAINST ANY PERSON BECAUSE OF RACE, COLOR, RELIGION, SEX, DISABILITY, FAMILIAL
STATUS (HAVING ONE OR MORE CHILDREN), OR NATIONAL ORIGIN.
Anyone who feels he or she has been discriminated against should send a complaint to: U.S. Department of Housing and Urban Development,
Assistant Secretary for Fair Housing and Equal Opportunity, Washington, DC 20410.
Small Rental Rehabilitation Tool: Application & Progress Checklist
34