Requirements for ESG
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1 General Program Requirements for ESG Presenters: - Michael Roanhouse - Margaret McFaddin - Janet Pershing Resource Advisors: - Brett Gagnon - Fred Berman Ready, SET, Go! Webinar Series Office of Special Needs Assistance Programs U.S. Department of Housing and Urban Development
2 Webinar Format Webinar will last approximately 1.5 hours. Recording of webinar will be posted on the HUD s Homelessness Resource Exchange at Audience members are muted due to the high number of participants. 2
3 Technical Difficulties During the Webinar For audio, please use the telephone, not your computer If you have technical difficulty with the audio or video portions of this webcast, try: Logging off, then logging in again Requesting esting help through the questions function in the Go To Webinar toolbar 3
4 Submitting Questions During the Webinar To pose a question for the ESG Resource Advisors during this webinar, use the Questions function in the Go To Webinar toolbar Many questions have been answered in previous webinars and in other materials to be posted on the HRE ESG Resource Advisors will only have time to answer some questions 4
5 Submitting Questions After the Webinar If you have a question that is not answered during the webinar, you may submit it to HUD s Virtual Help Desk at /h d Select Emergency Solutions Grants as your Program/System Select appropriate p sub-topic 5
6 Webinar Objectives Webinar participants will be able to: Describe the deadlines for obligation and expenditure of ESG funds Describe ESG program match requirements Identify 9 general program requirements Describe ESG recordkeeping and reporting requirements Locate additional ESG-related information and tools on the HRE 6
7 Introduction This webinar will Cover basic requirements for ESG grant administration Provide an overview of general program requirements, award and use of funds, and grant administration It will not Provide all of the detail you will need Address administrative costs (see the ESG Program Components and Activities webinar) 7
8 Award and Use of Funds 8
9 Recipients and Subrecipients State Recipient Metro City/Urban County/Territory Recipient Component/Activity Eligible Subrecipient Per Component/Activity State Agency GP Local Gov. Non-profit MC/UC Agency Nonprofit 1. Street Outreach No Yes Yes Yes Yes 2. Emergency Shelter No Yes Yes Yes Yes 3. Homelessness Prevention No Yes Yes Yes Yes 4. Rapid Re-housing No Yes Yes Yes Yes 5. Homeless Management Information System (HMIS) Yes Yes Yes Yes Yes Administration Yes MC/UC State must State may Yes may Share Share share 9
10 Recipient and Subrecipient Recipient Subrecipient Receives Directly from HUD From a Recipient funds: Type of Executed Grant Executed agreement: Agreement Subrecipient Agreement Type of entity: State t General purpose Territory Metropolitan city Urban county local government Private nonprofit 10
11 Obligation Requirements Type of Recipient or Subrecipient State Recipients Subrecipients of States Recipients Other than States Time elapsed from HUD s signature of Grant Agreement (or Grant Amendment for reallocated funds) 60 days 120 days 180 days 11
12 Obligations For States, obligation means: Subgrant to a subrecipient Letter of award requiring payment to a subrecipient For recipients other than States, obligation means: Agreement with a subrecipient Letter of award requiring payment to a subrecipient Procurement contract Written designation of department within recipient s government to directly carry out activity If recipient is urban county, may also include letter or award requiring payment to a member government 12
13 Expenditures The entire grant must be expended* within 24 months of date HUD signs agreement Recipients must draw down funds at least once a quarter Recipients must reimburse subrecipients within 30 days of receipt of complete payment request * Expenditure means an actual cash disbursement for a direct charge Expenditure means an actual cash disbursement for a direct charge for a good or service or an indirect cost OR the accrual of a direct charge for a good or service or an indirect cost
14 Matching Requirements 14
15 Match Requirements Type of Recipient or Subrecipient State Recipients (does not include Territories) Territory Recipients Non-State Recipients Subrecipients Match Requirements Dollar for dollar after first $100,000 of annual allocation*** No match required Dollar for dollar including first $100, of annual allocation No match responsibility unless required by recipient *** State recipients must transfer this benefit to those subrecipients least capable of providing match 15
16 Match Requirements ( ) Match may be provided from Federal, state, local, or private sources, unless The funds are ESG funds from other fiscal years Program rules prohibit the use of those funds as match th ESG is used as match for the other source Match may be cash or non-cash Program income must be considered match 16
17 General Program Requirements 17
18 General Program Requirements Overview Area-wide Systems Coordination ( ) Evaluation of Participant Eligibility and Needs ( ) Terminating Assistance ( ) Shelter and Housing Standards ( ) Conflicts of Interest ( ) Homeless Participation ( ) Faith-Based Activities ( ) Other Federal Requirements ( ) Displacement, Relocation, and Acquisition ( ) 18
19 Area-Wide Systems Coordination 1. Consultation with CoC(s) 2. Coordination with other Targeted Homeless Services 3. Coordination with Mainstream Resources 4. Participation in a Centralized or Coordinated d Assessment System 5. Written Standards for Providing ESG Assistance 6. Participation in HMIS 19
20 Area-Wide System Coordination Consultation with CoC(s) Recipient s must consult with each CoC that serves the recipients geographic g area Topics for consultation must include: How to allocate ESG funds (e.g., which component and which activity) Development of project performance standards, including outcome measures for projects and activities Funding, policies and procedures for HMIS administration and operation 20
21 Area-Wide System Coordination Consultation with CoC(s) Consultation with CoC(s) and the Consolidated d Plan A recipient s Annual Action Plan must include a description of how the recipient i will consult with each CoC Data collected by the CoC C should inform recipient s strategic plan by identifying needs and gaps in homeless services delivery system 21
22 Area-Wide System Coordination Coordination with Targeted Homeless Services Recipients and subrecipients must coordinate ESG-funded activities with other programs targeted to serving homeless people Examples of Targeted Homeless Services CoCC Programs HUD-VASH PATH Program Healthcare for the Homeless 22
23 Area-Wide System Coordination Coordination with Mainstream Resources Recipients and subrecipients must coordinate and integrate ESG-funded activities with mainstream resources (those that are not targeted to homeless persons specifically) for which persons who are homeless or at-risk of homelessness may be eligible. Examples of Mainstream Resources Housing Programs Employment Programs Health Services Education Programs Social Services Youth Programs 23
24 Area-Wide System Coordination Centralized or Coordinated Assessment System Recipients and subrecipients must use the CoC s centralized or coordinated assessment system to evaluate eligibility* ESG recipients must ensure the CoC s system is consistent with the written standards for determining ESG assistance Victim service providers that receive ESG funds may opt to not use the CoC s system * Requirement does not go into effect until the CoC regulation is published for effect and the CoC establishes centralized or coordinated assessment system 24
25 Area-Wide System Coordination Written Standards Recipients must establish and consistently apply written standards for providing ESG assistance State recipients may establish written standards for each area covered by a CoC or area over which services are coordinated or allow each subrecipient to establish and consistently apply within its program Recipients must describe the standards in the Consolidated Plan 25
26 Area-Wide System Coordination Written Standards Required Topics for Written Standards Participant eligibility Coordination among gproviders Targeting and providing Participant contributions for essential services for Street Homelessness Prevention and Outreach Rapid Re-Housing assistance Policies governing stays in Duration and amount of rental Emergency Shelter assistance Policies governing essential Duration and amount of housing services related to Emergency stabilization and/or relocation Shelter services Prioritizing receipt of Homelessness Prevention and Rapid Re-Housing assistance 26
27 Area-Wide System Coordination HMIS Participation Recipients and subrecipients must collect and enter data into the applicable community-wide HMIS or comparable database for: All persons served All ESG-funded activities Database must be consistent with HUD data and technical standards d HUD will publish additional regulations 27
28 Quiz: Area-Wide Systems Requirements 1. ESG recipients are required to consult with local CoCs about the allocation of ESG funds. True False 2. State recipients must require all of their subrecipients to comply with the same standards for determining ESG assistance. True False 28
29 Evaluation of Participant Eligibility and Needs 1. Initial Evaluations 2. Re-evaluations for Homeless Prevention and Rapid Re-housing assistance 3. Annual Income 4. Connecting program participants to mainstream and other resources 5. Housing stability case management 29
30 Evaluation of Participant Eligibility and Needs: Initial Evaluations Recipient or subrecipient must conduct an initial evaluation of all households that present for assistance to determine: Eligibility for ESG assistance Amount and type of assistance necessary for household to regain stability in permanent housing Must comply with the recipient s written standards and the CoC s centralized or coordinated assessment system 30
31 Evaluation of Participant Eligibility and Needs: Re-evaluations Re-evaluations are required for program participants p receiving: Homeless Prevention assistance (not less than once every 3 months) Rapid Re-Housing assistance (not less than once a year) Re-evaluations evaluations are required to determine: Program participants continue to be eligible for assistance The amount and type of assistance needed by the household to retain stability in permanent housing 31
32 Evaluation of Participant Eligibility and Needs: Re-evaluations To continue to be eligible for Rapid Re- Housing or Homelessness Prevention assistance, a household must: Have an annual income at or below 30% of AMI; Lack sufficient resources and support networks to retain housing without ESG assistance 32
33 Evaluation of Participant Eligibility and Needs: Annual Income Must use standard for calculating annual income established in 24 CFR Additional information on income can be found at including: Archived Determining and Documenting Homeless and At-Risk Status, Income, and Disability Forthcoming User Guide 33
34 Evaluation of Participant Eligibility and Needs: Resources Recipients and subrecipients must assist each program participant in obtaining needed mainstream and other resources available within the geographic area, including: Appropriate supportive services essential to achieving independent living Other federal, state, local, and private assistance available to assist in obtaining housing stability 34
35 Evaluation of Participant Eligibility and Needs: Case Management Recipients and subrecipients providing homelessness prevention or rapid re-housing assistance must: Require program participants to meet with a case manager at least once a month* Develop a plan to assist the program participant in retaining permanent housing after the ESG assistance ends *Program participants receiving services from a victim service provider may be exempted from the case management requirement 35
36 Quiz: Evaluation of Participant Eligibility and Needs 1. Program participants receiving rapid re-housing assistance must be reevaluated how often? A. Once every 3 months B. Once annually C. Every time their income changes 2. Program participants must have an income at or below % to continue to be eligible for homelessness prevention assistance. A. 30 percent B. 50 percent C. 80 percent 36
37 Terminating Assistance Recipients and subrecipients may terminate t ESG assistance if participant i t violates the rules of the program. In order to terminate assistance the recipient/subrecipient must establish and follow a formal process that: Recognizes individual rights Allows termination in only the most severe cases 37
38 Terminating Assistance Termination process for rental assistance or housing relocation and stabilization services must include: Written notice to the program participant, with clear statement of reasons for termination Review of decision to terminate, with opportunity for the program participant to present written or oral objections to third party Prompt written notice to the program participant of final decision 38
39 Terminating Assistance Assistance to a program participant who has been terminated from a program may resume at a later date. 39
40 Shelter and Housing Standards Lead-based paint remediation and disclosure applies to all ESG-funded shelters and all housing occupied by ESG participants Minimum safety, sanitation, privacy standards are required when ESG funds are used for: Emergency shelter building conversion, major rehabilitation, or other renovation Emergency Shelter operations Permanent housing 40
41 Shelter and Housing Standards Shelter and Housing Standards Addressed in the Regulation Include Minimum Standards for: Structure And Materials Thermal Environment Access (For Emergency Illumination and Electricity Shelters Only) Food Preparation Space And Security Sanitary Conditions Interior Air Quality Fire Safety Water Supply Sanitary Facilities Recipients and subrecipients may establish standards that exceed or add to minimum standards 41
42 Conflicts of Interest: Organizational Must not condition ESG assistance on participant s acceptance of housing or shelter owned by: Recipient, Subrecipient, or Parent or subsidiary of subrecipient Subrecipient must not conduct initial evaluation or provide homelessness prevention assistance to persons living in property owned by: Subrecipient or Parent or subsidiary of subrecipient 42
43 Conflicts of Interest: Individual For procurement of goods and services, recipients and subrecipients must comply with HUD s Administrative Requirements (24 CFR part for governments or part for private nonprofits). For all other transactions and activities: Restrictions on financial interests and benefits apply to employees, agents, consultants, officers, and elected or appointed officials of the recipient or subrecipient if they have certain types of responsible positions. Restrictions pertain to financial gain for self, family, or those with business ties. HUD may grant exceptions 43
44 Homeless Participation Recipients other than States must involve homeless or formerly homeless persons on the board of directors or other policy/decisionmaking body regarding g ESG assistance Recipients unable to meet this requirement, must develop and implement a plan to consult with homeless or formerly homeless persons in considering and making policies regarding g ESG assistance and must include this plan in their Consolidated Plan 44
45 Homeless Participation Recipients must involve* homeless persons in: Renovation, construction, maintenance, and operation of ESG facilities Provision of ESG services Provision of services to occupants of facilities assisted with ESG funds * Involvement may be volunteer or employment 45
46 Faith-Based Activities Religious/faith-based organizations Are eligible on same basis as other organizations Retain their independence Must not engage in inherently religious activities as part of ESG-funded activities Must not discriminate based on religion or religious belief Must not use ESG funds to rehabilitate structures used for inherently religious activities (e.g., chapels or sanctuaries) 46
47 Faith-Based Activities If local government contributes its own funds to a faith-based organization to supplement federal funds Funds may be segregated or commingled If commingled, restrictions apply 47
48 Other Federal Requirements Recipients and subrecipients must comply with the following other Federal Requirements: 24 CFR part 5, including nondiscrimination and equal opportunity requirements at 24 CFR 5.105(a) Section 3 of the Housing and Urban Development Act of 1968 (except homeless individual have priority over other Section 3 residents) Environmental Review under 24 CFR part 50 48
49 Other Federal Requirements Recipients and subrecipients must also comply with the following other Federal Requirements: Fair Housing Act Uniform Administrative Requirements Nondiscrimination in Federally Assisted Programs Age Discrimination Act Section 504 of the Rehabilitation Act Americans with Disabilities Act Equal Employment Opportunity Programs Minority Business Enterprises Women s Business Enterprise Drug Free Workplace Debarred, Suspended, Ineligible Contractors Affirmative Outreach Section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act 49
50 Displacement, Relocation, and Acquisition Must take reasonable steps to minimize displacement as a result of ESG-funded project Uniform Relocation Act applies, but is extremely rare for ESG. See for details. Types of relocation assistance Definition of displaced person Types of non-qualified displaced persons s Definition of initiation of negotiation Appeals of determinations of assistance 50
51 Recordkeeping and Reporting 51
52 Recordkeeping and Reporting Develop and implement written policies and procedures for Compliance with recordkeeping and reporting requirements Protecting confidentiality Provide reasonable access to records on use of ESG funds (subject to confidentiality laws) Reporting Collect and report data in IDIS Comply with FFATA and reporting requirements in 24 CFR parts 85 and 91 52
53 Recordkeeping and Reporting Type of Information All program records for each fiscal year of ESG funds Program participant records Emergency shelter renovation costs are > 75% of prerenovation value Emergency shelter conversion costs >75% of post-conversion value Record Retention Period 5 years or longer 5 years after year of expenditure of all funds from grant under which participant was served 10 years from initial obligation 10 years from initial obligation 53
54 Resources 54
55 Anticipated User Guides Street Outreach Emergency Shelter Homelessness Prevention and Rapid Re-Housing HMIS Administrative Activities Consolidated Plan IDIS Determining Homeless and At-Risk Status, Income, and Disability General Program Requirements 55
56 Additional Resources Resources on will eventually include all of the following: User Guides McKinney-Vento Act, as amended by the HEARTH Act All published program regulations Webinar recordings At-a-glance charts and sample forms Link to the ESG Help Desk 56
57 Webinar Evaluation You should now be able to: Describe the deadlines for obligation and expenditure of ESG funds Describe ESG program match requirements Identify 9 general program requirements Describe ESG recordkeeping and reporting requirements Locate additional ESG-related information and tools on the HRE Please complete the online survey to rate how well this webinar met its objectives 57
58 Answers and Explanations to Poll Questions Area-Wide Systems Requirements: 1. True. Recipients are required to consult with local Continuums about the allocation of ESG funds, the performance measures for ESG-funded projects, and the funding and operation of the HMIS. CoCs must ensure that their projects are consistent with the Consolidated Plan. This requirement creates two-way communication between the CoC and ESG recipients and also assists communities in coordinateing housing services to prevent and reduce homelessness. 2. False. States may establish their own standards and require that subrecipients follow them. OR states may allow subrecipients to establish and apply their own standards for implementing ESG assistance However, if states allow subrecipients to develop their own standards, then the recipient must include the parameters for these standards in their Consolidated plan. 58
59 Answers and Explanations to Poll Questions Evaluation of Participant Eligibility and Needs: 1. B. Once annually. This is different for those of you used to administering HPRP assistance. Program participants receiving rapid re-housing are only required to be re-evaluated once annually. The recipient or subrecipient may require program participants i t to notify them when income or other household h characteristics that affect income change. The recipient or subrecipient must re-evaluate a program participant every time an income change is reported, but having participants report changes is not a regulatory requirement. Program participants receiving homelessness prevention assistance must be re-evaluated not less than once every three months. 2. A. 30%. Program participants must have an income AT OR BELOW 30% to continue to be eligible for homelessness prevention assistance. 59
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