The Department of Housing and Urban Development's mission is to increase homeownership, support community development and increase access to affordable housing free from discrimination. HUD fulfills this mission through high ethical standards, management and accountability, and by forming partnerships with community organizations.
It is anticipated that all 360 365 eligible governments awarded funds will apply, and that all 360 365 awards will be granted in FY 20072008. The States and entitlement communities make grants to thousands of homeless emergency shelters and transitional housing programs to assist them in maintaining and operating their facilities and providing essential services to homeless clients. In additions, financial assistance and services are provided to help prevent families and individuals from becoming homeless.
Uses and Use Restrictions
Grantees may use the grant for one or more of the following activities relating to emergency shelter and transitional housing for the homeless: (1) renovation, major rehabilitation, or conversion of buildings for use as shelters for the homeless; (2) provision of essential services to the homeless (not more than 30 percent of the grant, unless waived by HUD); (3) payment of operations (not more than 10 percent of the grant for staff management costs), maintenance, rent, repair, security, fuel, equipment, insurance, utilities, and furnishings; and (4) homeless prevention activities (not more than 30 percent of the grant), and (5) administrative costs not to exceed five percent of the ESG grant.
In the case of State grantees, the grant for administration must be shared with funded recipients.
States, metropolitan cities, urban counties, and territories.
Local governments receiving formula allocations may distribute all or part of their grants to nonprofit recipients to be used for ESG activities.
State grantees must distribute ESG funds to local governments, or directly to nonprofit organizations with the approval of the local government.
Only local governments and nonprofit organizations may apply for ESG funds directly from States.
The territories receive their allocations based on their population size.
Homeless families and individuals, and low-income persons in immediate risk of losing their housing due to eviction, foreclosure, or utility shutoffs.
States, metropolitan cities, urban counties, and territories that elect to participate in the program must submit (1) an approved Consolidated Plan; and (2) certifications that each grantee will (a) supplement the assistance provided under the program with an equal amount of funds from other sources, except for State grantees under the $100,000 exemption, (b) ensure that any building using ESG funds will continue as a homeless shelter for specified periods, (c) ensure that assisted rehabilitation is sufficient to make the structure safe and sanitary, (d) provide for a procedure to ensure the confidentiality of victims of domestic violence, and assist homeless individuals in obtaining appropriate supportive services and other available assistance, and (e) meet other generally applicable requirements, such as nondiscrimination and equal opportunity. Costs will be determined in accordance with OMB Circular No. A-133 for State and local governments. State grantees are exempt from matching the first $100,000 of their award, but States must certify that they will provide the benefits of that exemption to local government and nonprofit recipients.
Aplication and Award Process
This program is eligible for coverage under E.O.
12372, "Intergovernmental Review of Federal Programs." An applicant should consult the State office or official designated as the single point of contact for more information on the process the State requires to be followed in applying for assistance, if the State has selected the program for review.
The Consolidated Plan required by 24 CFR Part 91 must be used for this program.
Application Procedure: To be eligible, each grantee must have a HUD-approved Consolidated Plan, which contain descriptions of the community's homeless assistance needs, details available resources, and provides a five-year plan and an annual action plan. The annual action plan specifies new projects being funded, along with any revisions in the overall document. Each participating grantee must submit certifications required by HUD.
The HUD field office reviews the grantee's Consolidated Plan and, if approved, executes a grant agreement.
Each State, metropolitan city, urban county, and territory grantee should submit its Consolidated Plan to its local HUD office no later than 45 days before the start of its program year as required by 24 CFR Part 91.
McKinney-Vento Homeless Assistance Act of 1987, Title IV, as amended, 42 U.S.C. 11371-78.
Range of Approval/Disapproval Time
The Consolidated plan is generally approved in 10 working days or deemed approved by HUD within 45 days of receipt.
Formula and Matching Requirements
After the ESG appropriation is set aside for the territories, the amount of each grant for formula grantees is determined by the Community Development Block Grant (CDBG) formula using several objective measures of community need, including poverty, population, housing overcrowding, age of housing and growth lag. Allocations among the territories are based on their populations. If, according to the formula, an eligible government receives less than .05 percent of the yearly appropriation, then that grant is added to the allocation for that State. A State must allocate to its local governments or to nonprofit organizations the entire grant, except for the up to five percent used to administer the grant. The administrative funds must be shared with local government grantees in that State. Grantees must match grant funds with an equal amount of funds from other sources including donated material or a building, leasehold value, additional staff salaries, and volunteer time.
Length and Time Phasing of Assistance
Length and Time Phasing of Assistance: Length and Time Phasing of Assistance: Grant awards should be made within 45 days of HUD's receipt and approval of the Consolidated Plan. A State should make available to its recipients all of its grant allocation within 65 days of the date of the grant award by HUD. A State recipient should have its entire grant obligated by 180 days from the date on which the State made the grant available to it, and spent the entire grant within 24 months of this date. For State homeless prevention funds, the State may continue to make available homeless prevention funds within 180 days of grant award. State recipients that are local government agencies and nonprofit organizations then have 30 days to obligate the funds, and up to 24 months to spend them. Each local government grantee should have all of its grant funds obligated by 180 days from its grant award by HUD, and entirely spent within 24 months.
Post Assistance Requirements
Each grantee shall annually report on its uses of funds and program progress in a HUD-approved format within 90 days after the close of its program year.
State and local governments report via an on-line computer linkup with HUD, and a consolidated annual performance and evaluation report.
In accordance with the provisions of OMB Circular No. A- 133, "Audits of States, Local Governments, and Nonprofit Institutions, "State and local governments that expend total Federal financial assistance of $500,000 or more within their fiscal year must have an independent financial audit conducted for that year. This single audit combines the government's annual financial statement audit with additional audit coverage of its Federal funds.
According to the ESG regulations, grantees and recipients must retain records for four years from the date of submission of the annual performance report.
(Grants) FY 07 $160,000,000; FY 08 est $160,000,000; and FY 09 est $160,000,000.
Range and Average of Financial Assistance
Each grantee shall annually report on its uses of funds and program progress in a HUD-approved format within 90 days after the close of its program year. State and local governments report via an on-line computer linkup with HUD, and a consolidated annual performance and evaluation report.
Regulations, Guidelines, and Literature
The program is governed by streamlined final regulations published in the Federal Register on October 2, 1996, at 24 CFR Part 576. A comprehensive "Emergency Shelter Grants (ESG) Program Desk Guide" is available from HUD at 1-800-998- 9999, Or or can be found on the ESG homepage on HUD's Website at http://www.hud.gov/offices/cpd/homeless/library/esg/esgdeskguide/.
Regional or Local Office
Contact appropriate HUD Field Office listed in Appendix IV of the Catalog.
Headquarters Office: Michael RoanhouseRobyn Raysor, Office of Special Needs Assistance Programs, Room 7262, Office of Community Planning and Development, Department of Housing and Urban Development, Washington, DC 20410. Telephone: (202) 708-1226402-4891, E-mail: Michael_RoanhouseRobyn.S.Raysor@hud.gov.
Criteria for Selecting Proposals
Proposed ESG projects are part of the prospective grantee's Consolidated Plan, which are reviewed according to criteria set forth in 24 CFR 91.
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