Assisted Living Conversion for Eligible Multifamily Housing Projects

 

To preserve the current elderly housing stock by converting units with a grant into Assisted Living Facilities (ALFs) or Service-Enriched Housing (SEH) for the frail elderly aging in place, as defined in Section 232(B)(6) of the National Housing Act and 202(k). The program is expected to promote aging in place and prevent premature institutionalization of the target population.

General information about this opportunity
Last Known Status
Active
Program Number
14.314
Federal Agency/Office
Agency: Department of Housing and Urban Development
Office: Office of Housing-Federal Housing Commissioner
Type(s) of Assistance Offered
Project Grants
Program Accomplishments
Fiscal Year 2013: Fiscal Year 2013: No current data available. (Note: FY 2013 grants have not been announced.). Fiscal Year 2014: No Current Data Available Fiscal Year 2015: No Current Data Available
Authorization
Section 202b of the Housing Act of 1959, as amended by the Section 202 Supportive Housing for the Elderly Act of 2010 (Public Law 111-372), 12 U.S.C 1701q-2.
Who is eligible to apply/benefit from this assistance?
Applicant Eligibility
Only private nonprofit owners of eligible multifamily assisted housing developments specified in Section 683(2)(B), (C), (D), (E), and (F) (Section 202 projects for the elderly, Rural Housing Section 515 projects receiving Section 8 rental assistance, projects receiving project-based rental assistance under Section 8, projects financed by a below-market interest rate loan or mortgage insured under Section 221(d)(3) of the Housing Act, or housing financed under Section 236 of the National Housing Act) that have been in occupancy for at least five years are eligible for funding. To be eligible, owners must meet the following criteria: (1) Must be in compliance with Loan Agreement, Capital Advance Agreement, Regulatory Agreement, Housing Assistance Payment Contract, Project Rental Assistance Contract, Rent Supplement or LMSA Contract, or any other HUD grant or contract document; (2) Must be in compliance with all fair housing and civil rights laws, statutes, regulations, and executive orders as enumerated in 24 CFR 5.105(a).
Beneficiary Eligibility
Eligible residents who meet the admissions/discharge requirements as established for assisted living by State and local licensing, or HUD frailty requirements under 24 CFR 891.205 if more stringent. The residents must be able to live independently but may need assistance with activities of daily living (that is, assistance with eating, bathing, grooming, dressing and home management activities).

Service-Enriched Housing is designed to accommodate elderly persons and people with disabilities with a functional limitation, meaning residents who are unable to perform at least one activity of daily living.
Credentials/Documentation
Assisted Living Facilities must be licensed and regulated by the State (or if there is no State law providing such licensing and regulation, by the municipality or other subdivision in which the facility is located). For Service-Enriched Housing, supportive services must be available through a licensed or certified third party service provider. For both ALF and SEH, the application must include a firm commitment for the supportive services to be offered at the ALF or SEH as part of the application. The Notice of Funding Availability contains all the necessary information for applicants to apply for the grant. This program is excluded from coverage under OMB Circular No. A-87.
What is the process for applying and being award this assistance?
Pre-Application Procedure
Applicants applying to convert to an ALF must have contacted the State licensing agency for such a project to determine if the proposed project will meet state licensing requirements. The Supportive Service Plan (SSP) is required for the ALF and SEH, the plan should include services and coordnation of the supportive services which will be offered in the ALF or SEH must be developed and submitted to the appropriate State or local organization. Applicants must comply with all applicable statutory requirements and statutory requirements under Section 232(b)(6) prior to application submission. Environmental impact information is not required for this program. This program is eligible for coverage under E.O. 12372, "Intergovernmental Review of Federal Programs." An applicant should consult the office or official designated as the single point of contact in his or her State 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.
Application Procedure
This program is excluded from coverage under OMB Circular No. A-102. This program is excluded from coverage under OMB Circular No. A-110. Applications are only accepted in response to the Notice of Funding Availability which is published in the Federal Register each fiscal year. Applicants responding to the NOFA should ensure that their application is complete before submitting it to HUD. Applications must be submitted in accordance with requirements of the NOFA. All applications received by the deadline will be screened for curable deficiencies. After the completeness review, HUD reviews the application to determine whether it meets the threshold requirements. Only those applications that meet all of the threshold requirements will be eligible to receive an award. Applications submitted in response to the NOFA that are eligible, pass threshold and have a total score of 75 points (or more) are eligible for ranking and selection.
Award Procedure
Applications are reviewed and selected for funding within the funding allocation of the geographical Hub area. At the end of the technical review, all applications will be either rated or technically rejected. If an application meets all program eligibility requirements after completion of the technical review, it will be rated according to the rating selection factors. The number of points that an application receives will depend on the extent to which the application is responsive to the information requested in the selection criteria. The maximum number of points an application may receive under this program is 102.
Deadlines
Contact the headquarters or regional office, as appropriate, for application deadlines.
Approval/Disapproval Decision Time
A processing schedule is developed for each funding round. Applicants are provided with a decision by the end of the schedule , after approximately 4-6 months from processing start date.
Appeals
From 1 to 15 days. An applicant will have fourteen (14) calendar days from the date of HUD's written notice to appeal a technical rejection. HUD will make a determination on an appeal before finalizing selection recommendations.
Renewals
Not Applicable.
How are proposals selected?
Criteria for selecting proposals are in the NOFA.
How may assistance be used?
Assisted living facilities (ALFs) are designed to accommodate frail elderly persons and people with disabilities who can live independently but need assistance with activities of daily living (that is, assistance with eating, bathing, grooming, dressing and home management activities.) ALFs must provide support services such as personal care, transportation, meals, housekeeping, and laundry. Service-Enriched Housing (SEH) is housing that is designed to accommodate frail elderly persons or elderly persons with service needs who are aging in place. Residents are able to live independently but need assistance with activities of daily living comparable to services tyically provided in a licensed assisted living facility, such as healthcare-related services. These supportive services must be available through a licensed or certified third party service provider. Typical funding will cover basic physical conversion of existing project units, as well as related common and services space. The ALCP provides funding for the physical costs of converting some or all of the units of an eligible development into an ALF or SEH, including unit configuration, common and services space and any necessary remodeling, consistent with HUD or the State's statute/regulations (whichever is more stringent). There must be sufficient community space to accommodate a central kitchen or dining facility, lounges, recreation and other multiple-areas available to all residents of the project, or office/staff spaces in the ALF or SEH. Funding for the supportive services must be provided by the owners, either directly or through a third party.
What are the requirements after being awarded this opportunity?
Reporting
Any change in the owner during the period of the capital advance must be approved by HUD. Performance reports are required annually in accordance with instructions outlined in the Grant Agreement. No cash reports are required. No progress reports are required. Financial reports are required every six months in accordance with instructions outlined in the Grant Agreement. No performance monitoring is required.
Auditing
This program is excluded from coverage under OMB Circular No. A-133. HUD reserves the right to audit the accounts of the owner in order to determine compliance and conformance with HUD regulations and standards.
Records
Regular financial reports are required. Owners must service and maintain records in accordance with acceptable HUD and State requirements and regulations as outlined in the grant agreement.
Other Assistance Considerations
Formula and Matching Requirements
This program has no statutory formula.
This program has no matching requirements. This program has no matching requirements. However, owners are required to find the supportive services through other funding sources.
MOE requirements are not applicable to this program.
Length and Time Phasing of Assistance
This program has no matching requirements. However, owners are required to find the supportive services through other funding sources. See the following for information on how assistance is awarded/released: Projects must be completed within 18 months from the time the grant agreement is executed.
Who do I contact about this opportunity?
Regional or Local Office
See Regional Agency Offices. Persons are encouraged to communicate with the nearest local HUD Multifamily Hubs and Program Centers listed at http://www.hud.gov/localoffices.cfm or at the Catalog Address Appendix IV.
Headquarters Office
Katina Washington 451 7th St SW Room 6152, Washington, District of Columbia 20410 Email: Katina.x.washington@hud.gov Phone: (202) 708-3000
Website Address
http://www.hud.gov/offices/hsg/mfh/progdesc/alcp.cfm.
Financial Information
Account Identification
86-0320-0-1-604.
Obligations
(Project Grants) FY 13 $26,922,000; FY 14 est $20,000,000; and FY 15 est $0 - Reported under program 14.157 for FY 10, FY 11, and FY 12.
Range and Average of Financial Assistance
$2-6 million; average $4 million.
Regulations, Guidelines and Literature
Section 202(b) of the Housing Act of 1959, Assisted Living Conversion Program Notice of Funding Availability for FY 2013
Examples of Funded Projects
Not Applicable.

 


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