CDBG-DR 2018 and 2019 Federal Register Notice Webinar February 13, - PowerPoint PPT Presentation

CDBG-DR 2018 and 2019 Federal Register Notice Webinar February 13, 2020 - 2:00-3:30 EST 1 2018 and 2019 Disasters 1

Welcome & Speakers Session Objectives: • Learn about CDBG-DR 2018 and 2019 Action Plan requirements and timelines • Discuss 2017 Infrastructure allocation and requirements Presenters: • HUD • Bonnie Newcomb, CPD Specialist • Mikayla Catani, CPD Specialist • Jen Carpenter, Assistant Director of Policy • Enterprise Community Partners • Marion McFadden, Senior Vice President, Public Policy; Senior Advisor, Resilience 2 2018 and 2019 Disasters

Agenda • Overview • Timelines and Important Deadlines • Grant Administration and Action Plan • Review of Prior Notices and Amended Requirements • Explain New Requirements and Alternatives • Questions? 3 2018 and 2019 Disasters

Overview 4 2018 and 2019 Disasters

Overview: Allocation The CDBG-DR 2018 and 2019 Federal Register Notice (85 FR 4681) allocates $3.8 billion in CDBG-DR funds appropriated by: • Supplemental Appropriations for Disaster Relief Act, 2018 (Public Law 115-254) and • Additional Supplemental Appropriations for Disaster Relief Act, 2019 (Public Law 116-20) 5 2018 and 2019 Disasters

Overview: CDBG-DR Allocations for 2017, 2018, and 2019 Prior Allocation Notices Current Notice 83 FR 5844 and 83 FR 40314 85 FR 4681 Combined Public Law 115- Public Law 115- Allocations for P.L. Public Law 115-56 Public Law 116-20 Disaster 123 254 115-254 and P.L. Year 116-20 2017 $7,390,000,000 $10,030,484,000 $431,000,000 $431,000,000 2018 $1,677,500,000 $1,216,134,000 $2,893,634,000 2019 $506,794,000 $506,794,000 Total $7,390,000,000 $10,030,484,000 $1,677,500,000 $2,153,928,000 $3,831,428,000 Excludes $15.9 billion designated for mitigation and $2 billion designated for electrical system improvements in Puerto Rico and the U.S. Virgin Islands. 6 2018 and 2019 Disasters

Overview: Waivers and Alternative Requirements The CDBG-DR 2018 and 2019 Federal Register Notice: • Imposes requirements of prior CDBG-DR notices (as amended by provisions in this notice) • Provides clarifications on waivers and alternative requirements included in prior notices • Amends prior notices by adding regulations that apply to local governments 7 2018 and 2019 Disasters

New Grantees Several jurisdictions are receiving CDBG-DR grants for the first time in this allocation; others are receiving grants for the first time in decades 8 2018 and 2019 Disasters

Allocations and Important Dates 9 2018 and 2019 Disasters

Allocations 10 2018 and 2019 Disasters

Allocations 11 2018 and 2019 Disasters

Allocations 12 2018 and 2019 Disasters

Important Dates- 2018 and 2019 Grants • Applicability Date: February 3, 2020 • April 3, 2020: Financial Management and Grant Compliance • June 2, 2020: Action Plan (projection of expenditures and outcomes) • 30-day Public Comment Period • 45-day HUD Review • QPRs: 30 days after 1 st full quarter of grant execution • Grant Expenditures: 6 years 13 2018 and 2019 Disasters

Important Dates- 2017 Infrastructure Grants • Applicability Date: February 3, 2020 • April 3, 2020: Financial Management and Grant Compliance • May 3, 2020: Substantial Action Plan Amendment • 30-day Public Comment Period • 45-day HUD Review • QPRs: 30 days after 1 st full quarter of grant execution • Grant Expenditures: 6 years 14 2018 and 2019 Disasters

Grant Administration and Action Plan 15 2018 and 2019 Disasters

2018 and 2019 Grant Process • Citizen participation plan • Consult with stakeholders, including affected local governments, Indian tribes and public housing authorities • Submission of certification of financial controls and procurement processes, and grant management • Submission of implementation plan and capacity assessment • Publish draft action plan for no less than 30 calendar days public comment period 16 2018 and 2019 Disasters

2018 and 2019 Grant Process • Responds to public comment and submits its action plan and projected expenditures and outcomes • Standard Form 424 and certifications • Requests and receives Disaster Recovery Grant Reporting (DRGR) system access • Enter activities before or after submission of the action plan • HUD reviews and approves or disproves the action plan within 45 days. If the plan is not approved, HUD will notify the grantee of the deficiencies and the grantee will resubmit the action plan. 17 2018 and 2019 Disasters

2018 and 2019 Grant Process • The Secretary of HUD certifies each grantee’s proficiencies and Action Plan • HUD sends an approval letter and grant agreement to grantee • Grantee signs and returns the grant agreement • Grantee publishes final HUD-approved action plan on its official website 18 2018 and 2019 Disasters

2018 and 2019 Grant Process • HUD establishes the grantee’s line of credit • Grantee drafts and publishes policies and procedures for programs and key recovery operations implemented by the grantee with CDBG-DR funds • Grantee must enter the activities from its approved action plan into the DRGR system and submit its DRGR action plan to HUD • Grantee may draw down on funds after environmental review is completed 19 2018 and 2019 Disasters

2017 Infrastructure Grant Process • Substantial amendment to current action plan must include: • Additional allocation of funds • Address the requirements of prior notices (83 FR 5844 & 83 FR 40314) • For grantees who have entered into alternative procedures under section 428 of the Stafford Act HUD will condition the availability of funds 20 2018 and 2019 Disasters

Pre-award Evaluation 21 2018 and 2019 Disasters

Certifications • Certification on financial controls and procurement processes, and adequate procedures for proper grant management (1) Proficient financial management controls (2) Procurement process/standards (3) Duplication of benefits procedures (4) Timely expenditures (5) Comprehensive disaster recovery website (6) Procedures to detect and prevent fraud, waste, and abuse • Due: April 3, 2020 22 2018 and 2019 Disasters

Sufficient Management Capacity (1) Timely information on app status (2) Implementation plan (a) Capacity assessment (b) Staffing (c) Internal and interagency coordination (d) Technical assistance (e) Accountability • Due: April 3, 2020 23 2018 and 2019 Disasters

Review of Prior Notices, Waivers, and Additional Requirements 24 2018 and 2019 Disasters

Prior Notices • Waivers and alternative requirements are established and amended in prior notices: • February 9, 2018 at 83 FR 5844 • August 14, 2018 at 83 FR 40314 • February 19, 2019 at 84 FR 4836 • June 20, 2019 at 84 FR 28848 25 2018 and 2019 Disasters

Waivers and Requirements • Congress gives HUD the right to waive certain parts of regular CDBG in order to make it more responsive to a disaster. • Good cause exists • Is not inconsistent with overall purpose of HCD Act • Cannot conflict with cross-cutting requirements: • Equal opportunity • Fair Housing • Environmental Review • Davis Bacon Labor Standards 26 2018 and 2019 Disasters

Administrative Waivers and Additional Requirements 27 2018 and 2019 Disasters

Administrative Waivers and Requirements • Public Comment Period: 30-day public comment period required for all action plans and substantial amendments. • Planning and Administration Cap: Administration expenditures may not exceed 5 percent of the total grant. Planning expenditures are capped at 15 percent of the total grant. • Direct Grant Administration: States may directly administer programs. • Overall Benefit: The 70 percent overall benefit requirement remains in effect. 28 2018 and 2019 Disasters

Most Impacted and Distressed • Administration Expenditures in the MID: 80 percent of administration expenditures will count towards the MID requirement. • Planning Expenditures: Expenditures for planning activities may only be counted towards the MID requirement if the grantee describes in its action plan how those planning activities will benefit the MID area. • MID Calculations: 80 percent of the total grant must be spent in the HUD-identified MID areas. 29 2018 and 2019 Disasters

Substantial Amendment Requirements • Substantial Amendment Criteria: • Change in program benefit or eligibility criteria • Addition or deletion of an activity • Allocation or reallocation of a monetary threshold amount as specified by the grantee in its action plan • Change in the monetary threshold amount established 30 2018 and 2019 Disasters

Administrative Waivers and Requirements • Urgent Need: Required to document how each program or project responds to a disaster-related impact, but not limited to 24 months. • Criteria to Mitigate Risk: HUD may establish grant conditions to mitigate the risk of a grant award. 31 2018 and 2019 Disasters

Waivers Related to Housing and Construction Projects 32 2018 and 2019 Disasters