U.S. Department of Housing and Urban Development

Community Planning and Development

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Special Attention of: Transmittal Handbook No.: 6510.2 REV-2

Regional Administrators Issued: July 20, 1993

Category A Field Office Managers

ATTN: CPD Directors

Entitlement Grantees

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1\. This Transmits

Handbook 6510.2, REV-2, Community Development Block Grant

Program: Entitlement Grantee Performance Report

Instructions.

2\. Purpose:

This Handbook provides guidance to Community Development

Block Grant (CDBG) entitlement communities on how to

complete the annual Grantee Performance Report (GPR).

3\. Background:

During FY 1991, the Department began an assessment of

program regulations and other requirements to minimize

paperwork burdens. Eight task force working groups composed

of persons representing grantees, national public interest

groups and HUD field staff were established as a part of

this Paperwork Reduction Initiative for the following

program areas: Final Statements, Rehabilitation, Economic

Development, Environment, State and Small Cities, Financial

Management/Miscellaneous, Grantee Performance Reports, and

the Housing Assistance Plan (which later converted to the

Comprehensive Housing Affordability Strategy as a result of

changes made by the National Affordable Housing Act). Many

of the changes that are reflected in this GPR are in

response to the recommendations made by these groups. The

recommendations which HUD accepted that relate to the GPR

are:

. Consolidate all reports into as few as possible,

principally the GPR and the CHAS performance report.

. Make the GPR an annual activity report rather than

cumulative for each activity.

. Consolidate as much essential information as possible

on each activity onto the Activity Summary form.

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. Modify forms to be more understandable and meaningful

to the recipient, the general public, and the

reviewers.

. Eliminate some narratives and report the

information on the appropriate forms.

. Revise the GPR Form on Rehabilitation Activities.

. Clarify the GPR instructions as to the length of time

activities should be reported on, so it is clear when

the three-year period for record retention begins.

. Modify the GPR to indicate the method by which a

grantee\'s level of obligations for public service

activities is calculated.

. Broaden and improve the utility of the computerized

system for GPR preparation.

All these recommendations have been addressed in the

attached revised GPR with the exception of the

recommendation on computerization. Efforts to computerize

the entire GPR as well as Final Statements are currently

underway and grantees are currently being trained on the new

system.

4\. Significant Changes:

a\. GPR Cover sheet, form HUD-4949.1:

\(1\) Provides for the name and address of the director

of the CDBG entitlement program in addition to the

name and address of the grantee.

\(2\) Requires the grantee to identify the person to

contact concerning disclosures required by the HUD

Reform Act of 1989.

\(3\) Requires a narrative pertaining to the grantee\'s

use of CDBG funds in relation to its community

development objectives only under certain

circumstances.

\(4\) Requires the grantee to identify how the GPR was

made available to the public.

b\. Activity Summary, form HUD-4949.2/2a:

Two versions of the Activity Summary form are to be

used for reporting activity information. Form 4949.2,

Summary of Activities Not Having Direct Benefits, is to

be used to report all activities, except public service

activities and activities subject to the direct benefit

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reporting requirement. Form 4949.2a, Summary of

Activities Having Direct Benefits, is to be used to

report public service activities and activities that

are subject to the direct benefit reporting

requirement. The second version of the form was

developed to accommodate the recommendation to include

direct benefit information on the Activity Summary

form.

\(1\) Direct benefit information currently reported on

form 4949.5 has been incorporated into a window

box on the Activity Summary form (HUD 4949.2a) to

be completed following each applicable activity

entry. Direct benefit data is to reflect actual

numbers rather than percentages.

\(2\) The appropriate regulatory eligibility citation

must be provided for each CDBG-assisted activity

(Direct Homeownership Assistance is identified as

a separate activity title).

\(3\) The appropriate code from the National Objective

Matrix (Exhibit 2a) is to be provided for each

CDBG-assisted activity.

\(4\) The terms \"single-family and multi-family\" have

been changed to \"single-unit and multi-unit\"

because of the special requirement in the CDBG

regulations applying to structures having more

than one dwelling unit.

\(5\) The \"month/year activity funded\" column has been

changed to \"date initially funded.\"

\(6\) The national objective code column has been

condensed into one column and the codes appear in

a box at the bottom of the Activity Summary form.

\(7\) The following activity codes have been added:

Float Funded Activity (FFA); Other HUD Funds in

Activity (HUD); Program Income (PI); Revolving

Fund (RF); and One-for-One Replacement (REP). The

codes appear in a box at the bottom of the

Activity Summary form.

\(8\) The amount of CDBG funds expended for each multi-unit

housing activity that may be credited as

benefiting low- and moderate-income persons for

purposes of meeting the overall benefit

certification is to be reported under the

\"Accomplishments/Status\" column on the Activity

Summary form.

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\(9\) The reporting of financial data for each activity

has been condensed into two columns, \"Budgeted\"

and \"Expended This Reporting Period.\" The

definition of expenditures has been revised to be

consistent with the definition in the Common Rule.

When reporting public service activities on form

4949.2a, a separate block is provided for use in

reporting the amount of any unliquidated

obligations.

\(10\) The GPR instructions have been revised to reflect

that activity information should be reported for

the \"reporting period only\" except in those

instances where it is necessary to show compliance

with a national objective, such as multi-unit

housing and job creation/retention activities.

c\. Financial Summary, form 4949.3:

Combines the former Status of Funds Parts I & II, form

4949.3, and Status of Funds Part III, form 4949.4 into

a new redesigned form.

\(1\) Program income received from revolving funds and

from other sources is to be reported separately

for the grantee and subrecipient(s).

\(2\) A new section has been added for the calculation

of the planning/program administration and public

service statutory caps.

\(3\) An attachment is required to provide additional

information when there is program income returned

to revolving funds; program income from float

funded activities; income from the sale of real

property; other loan repayments; prior period

adjustments; loans outstanding; loans deferred or

written off; parcels of CDBG-acquired property

available for sale; or lump sum drawdown

agreements.

\(4\) Each grantee is required to complete a

reconciliation of the unexpended balance of CDBG

funds to the funds in the line-of-credit and cash

on hand, and calculate the balance of unprogrammed

funds.

d\. One-for-One Replacement Summary, form 4949.4:

A new form has been designed to report the status of

activities subject to the one-for-one replacement

requirement.

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e\. Rehabilitation Activities, form 4949.5:

The Rehabilitation Activities form (formerly number

4949.2a) has been redesigned and renumbered 4949.5. A

brief narrative description of each type of

rehabilitation program for which projects/units were

completed during the reporting period must be included

with the GPR.

f\. Displacement Summary, form 4949.6:

The Displacement Summary (formerly form number 4949.7)

has been renumbered 4949.6.

The Displacement narrative has been revised and renamed

the Displacement/Tenant Assistance/Relocation

Narrative. When required, this narrative is to be

submitted as an attachment to the Activity Summary

form.

5\. Deletions:

The following forms have been deleted:

a\. Low/Mod Benefit Worksheet, form 4949.3a:

The reporting of this information has been transferred

to the \"Accomplishments/Status\" column on the Activity

Summary form.

b\. Actions to Affirmatively Further Fair Housing, form

4949.6:

The reporting of this information has been deleted from

the GPR and will be covered as part of the

Comprehensive Housing Affordability Strategy (CHAS)

Annual Performance Report.

6\. Distribution to Recipients:

Each Field Office shall ensure that a copy of this handbook

has been received by each CDBG entitlement recipient.

7\. Filing Instructions:

Insert: Handbook 6510.2, REV-2, issued 7/93.

Remove: Handbook 6510.2, REV-1, issued 4/88.

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Handbook 6510.2 Rev-2

U.S. Department of Housing and Urban Development

Washington, D.C. 20410

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Program Participants

and Departmental Staff

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Community

Development Block

Grant Program

Entitlement Grantee

Performance Report

Instructions

CGBE : Distribution : W-3-1, W-1, R-1, R-6,

Special (CPD Regional and Field

Directors), CDBG Entitlement Grantees

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