Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 34685 

DEPARTMENT OF THE TREASURY 

Community Development Financial 

Institutions Fund 

Funding Opportunities: Capital Magnet 

Fund; 2018 Funding Round 

Funding Opportunity Title: Notice of 

Funds Availability (NOFA) inviting 

Applications for the fiscal year (FY) 

2018 Funding Round of the Capital 

Magnet Fund (CMF). 

Announcement Type: Announcement 

of funding opportunity. 

Funding Opportunity Number: CDFI– 

2018–CMF. 

Catalog of Federal Domestic 

Assistance (CFDA) Number: 21.011. 

Dates: 

TABLE 1—FY 2018 CAPITAL MAGNET FUND FUNDING ROUND CRITICAL DEADLINES FOR APPLICANTS

Description Deadline 

Time 

(eastern 

time—ET) 

Submission method 

OMB Standard Form (SF)–424 Mandatory form ... August 20, 2018 ............ 11:59 p.m Electronically via Grants.gov. 

Create AMIS Account (if Applicant doesn’t have 

one).

August 27, 2018 ............ 11:59 p.m Electronically via Awards Management Information 

System (AMIS). 

Last day to contact Capital Magnet Fund Staff ..... September 13, 2018 ...... 5:00 p.m .. Service Request via AMIS or CDFI Fund Helpdesk: 

202–653–0421 or cmf@cdfi.treas.gov. 

CMF Application and Required Attachments ......... September 17, 2018 ...... 5:00 p.m .. Electronically via AMIS. 

Executive Summary: The Capital 

Magnet Fund (CMF) is administered by 

the Community Development Financial 

Institutions Fund (CDFI Fund). Through 

the CMF, the CDFI Fund provides 

financial assistance grants to 

Community Development Financial 

Institutions (CDFIs) and to qualified 

Nonprofit Organizations that have the 

development or management of 

affordable housing as one of their 

principal purposes. All awards provided 

through this Notice of Funds 

Availability (NOFA) are subject to 

funding availability. 

I. Program Description 

A. Authorizing Statute and 

Regulation: The CMF was established 

through the Housing and Economic 

Recovery Act of 2008 (HERA), which 

added section 1339 to the Federal 

Housing Enterprises Financial Safety 

and Soundness Act of 1992. For a 

complete understanding of the program, 

the CDFI Fund encourages Applicants to 

review the CMF interim rule (12 CFR 

part 1807) as amended February 8, 2016 

(the CMF Interim Rule), this NOFA, the 

CDFI Fund’s environmental quality 

regulation (12 CFR part 1815), the CMF 

funding application (referred to 

hereafter as the ‘‘Application,’’ meaning 

the application submitted in response to 

this NOFA), and the Uniform 

Administrative Requirements, Cost 

Principles, and Audit Requirements for 

Federal Awards (2 CFR part 200; 78 FR 

78590) (Uniform Administrative 

Requirements or UAR). Each capitalized 

term used in this NOFA, but not defined 

herein, shall have the respective 

meanings assigned to them in the CMF 

Interim Rule, the Application, or the 

Uniform Administrative Requirements. 

Details regarding Application content 

requirements are found in the 

Application and related materials at 

www.cdfifund.gov/cmf. 

B. History: The CDFI Fund was 

established by the Riegle Community 

Development Banking and Financial 

Institutions Act of 1994 to promote 

economic revitalization and community 

development through investment in and 

assistance to CDFIs. Since its creation in 

1994, the CDFI Fund has awarded 

approximately $3 billion to CDFIs, 

community development and affordable 

housing organizations, and financial 

institutions through the CMF, 

Community Development Financial 

Institutions Program (CDFI Program), 

the Native American CDFI Assistance 

Program (NACA Program), the Bank 

Enterprise Award Program (BEA 

Program), and the Financial Education 

and Counseling Pilot Program. In 

addition, the CDFI Fund has allocated 

more than $54 billion in tax credit 

allocation authority through the New 

Markets Tax Credit Program (NMTC 

Program) and has issued $1.4 billion in 

guarantees through the CDFI Bond 

Guarantee Program. 

C. Uniform Administrative 

Requirements, Cost Principles, and 

Audit Requirements for Federal Awards 

(2 CFR part 200): The Uniform 

Administrative Requirements codify 

financial, administrative, procurement, 

and program management standards 

that Federal award-making agencies 

must follow. Per the Uniform 

Administrative Requirements, when 

evaluating award applications, awarding 

agencies must evaluate the risks to the 

program posed by each applicant, and 

each applicant’s merits and eligibility. 

These requirements are designed to 

ensure that applicants for Federal 

assistance receive a fair and consistent 

review prior to an award decision. This 

review will assess items such as the 

Applicant’s financial stability, quality of 

management systems, history of 

performance, and single audit findings. 

In addition, the Uniform Administrative 

Requirements include guidance on audit 

requirements and other award 

compliance requirements for award 

Recipients. 

D. Priorities: The purpose of the CMF 

is to attract private capital for and 

increase investment in the 

Development, Preservation, 

Rehabilitation, or Purchase of 

Affordable Housing for primarily 

Extremely Low-Income, Very LowIncome, and Low-Income Families, as 

well as Economic Development 

Activities, which, In Conjunction With 

Affordable Housing Activities, 

implement a Concerted Strategy to 

stabilize or revitalize a Low-Income 

Area or Underserved Rural Area. To 

pursue these objectives, the CDFI Fund 

has established the following priorities 

for the FY 2018 funding round: (i) 

Applications where at least 20 percent 

of all rental Affordable Housing units 

that will be financed and/or supported 

with FY 2018 CMF Awards are targeted 

to Very Low-Income Families and/or at 

least 20 percent of all Homeownership 

Affordable Housing units that will be 

financed and/or supported with FY 

2018 CMF Awards are targeted to LowIncome Families; and (ii) Applications 

proposing to use the CMF Award to 

leverage private capital to finance and/ 

or support Affordable Housing 

Activities and Economic Development 

Activities. Additionally, the CDFI Fund 

seeks to fund Applications serving 


daltland on DSKBBV9HB2PROD with NOTICES
34686 Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 

geographically diverse Areas of 

Economic Distress, including 

Metropolitan Areas and Underserved 

Rural Areas. In particular, the priority 

for geographic diversity includes 

funding highly qualified Applications 

that serve states not included in the 

Service Areas of Recipients in the past 

two CMF rounds (FY 2016 and FY 

2017): Iowa, Maine, North Dakota and 

Wyoming as well as the U.S. Virgin 

Islands, Guam, the Northern Mariana 

Islands, American Samoa and Puerto 

Rico. Finally, the CDFI Fund seeks to 

fund highly qualified Applications 

proposing to serve areas ‘‘most impacted 

and distressed’’ resulting from a major 

disaster declared in 2017 as identified 

by the Department of Housing and 

Urban Development (HUD) and 

published in the Federal Register (83 

FR 5844). 

E. Funding limitations: The CDFI 

Fund reserves the right to fund, in 

whole or in part, any, all, or none of the 

Applications submitted in response to 

this NOFA. 

II. Federal Award Information 

A. Funding Availability: The CDFI 

Fund plans to award approximately 

$142.9 million in grants for the CMF FY 

2018 round under this NOFA. HERA 

prohibits the CDFI Fund from obligating 

more than 15 percent of the aggregate 

available in CMF Awards to any 

Applicant, its Subsidiaries and 

Affiliates in the same funding round. 

Affiliated entities are not allowed to 

apply separately under this NOFA. To 

provide an example of the size of 

awards in past CMF rounds, the CDFI 

Fund notes that in the FY 2017 CMF 

round, the statutory cap was $18 

million, but the largest amount awarded 

was $7.5 million, while the average 

award was $3 million. Moreover, given 

administrative and compliance 

responsibilities for Recipients, the CDFI 

Fund will not accept Applications for 

the FY 2018 round that request less than 

$500,000, and will not provide awards 

below $500,000 to any CMF Award 

Recipient for the FY 2018 CMF Round. 

The CDFI Fund reserves the right, in 

its sole discretion, to provide a CMF 

Award in an amount other than that 

which the Applicant requests; however, 

the Award amount will not exceed the 

Applicant’s award request as stated in 

its Application. An Applicant may 

receive only one Award through the FY 

2018 CMF Round. 

B. Types of Awards: The CDFI Fund 

will provide CMF Awards in the form 

of grants. CMF Awards must be used to 

support the eligible activities as set forth 

in 12 CFR 1807.301. CMF Awards 

cannot be ‘‘passed through’’ to thirdparty entities, whether Affiliates, 

Subsidiaries, or others, to undertake the 

eligible activities set forth in 12 CFR 

1807.301, without the prior written 

approval of the CDFI Fund. 

C. Limitations on using CMF Awards 

in conjunction with other CDFI Fund 

awards/allocations: 1. A CMF Award 

Recipient may not use its CMF Award 

and awards/allocations from other CDFI 

Fund programs to finance and/or 

support activities in the same property 

unless the CMF Award dollars are used 

to finance/support a different ‘‘phase’’ 

of development than what is funded by 

other CDFI Fund program awards/ 

allocations. The separate phases of 

development financing are considered 

to be: (1) Predevelopment; (2) 

acquisition; (3) site work 

(preconstruction); (4) construction/ 

rehabilitation; (5) permanent financing; 

or (6) bridge financing between two or 

more phases. If the Recipient has 

received multiple CMF Awards, these 

awards are not subject to this phasing 

restriction and may be combined in the 

same Project phase. The term 

‘‘Recipient’’ includes the CMF Award 

Recipient and any Affiliates. 

If providing Homeownership 

assistance, a CMF Award may be used 

in conjunction with awards/allocations 

from other CDFI Fund programs only if 

the Project can be divided into such 

phases and the CMF Award is used in 

a different phase from the other CDFI 

Fund program awards/allocations. To 

clarify, a CMF Award cannot be used for 

a Homeownership property that is 

permanently financed (or supported) by 

both the Recipient’s CMF Award and an 

award/allocation from another CDFI 

Fund program (e.g., down payment 

assistance funded from CMF dollars 

may not be combined with a permanent 

mortgage funded from another CDFI 

Fund program). 

2. Costs financed and/or supported by 

the Recipient’s other awards/allocations 

from CDFI Fund programs, including 

awards from prior CMF rounds, may not 

be counted or reported as Leveraged 

Costs for the CMF Award, as further set 

forth in the Assistance Agreement. 

While the Recipient’s other CMF 

Awards may be used to finance/support 

the same property, each award must 

separately meet the program 

requirements as outlined in the 

applicable Assistance Agreement and 

the CMF Interim Rule (12 CFR part 

1807); the same units and Leveraged 

Costs may not be counted towards 

meeting the programmatic requirements 

for more than one CMF Award. The 

term ‘‘Recipient’’ includes the CMF 

Award Recipient and any Affiliates. 

In all cases, the CMF Award remains 

subject to the following restriction 

imposed by the CDFI Bond Guarantee 

Program: Award funds received under 

any CDFI Fund program cannot be used 

by any participant of the CDFI Bond 

Guarantee Program, including Qualified 

Issuers, Eligible CDFIs, and Secondary 

Borrowers, to pay principal, interest, 

fees, administrative costs, or issuance 

costs (including Bond Issuance Fees) 

related to the CDFI Bond Guarantee 

Program, or to fund the Risk Share Pool 

for a Bond Issue (all capitalized terms 

used in this sentence, other than ‘‘CMF 

Award’’, shall have the meanings 

ascribed to them in the CDFI Bond 

Guarantee Program regulations and 

applicable guidance). 

D. Anticipated Start Date and Period 

of Performance: The CDFI Fund 

anticipates the period of performance 

for the FY 2018 CMF Round to begin in 

early 2019. The period of performance 

for each CMF Award begins with the 

date that the CDFI Fund announces the 

Recipients of FY 2018 CMF Awards and 

continues until the end of the ten-year 

period of affordability for all Projects 

financed and/or supported with the 

CMF Award, as set forth at 12 CFR 

1807.401(d) and 12 CFR 1807.402, and 

as further set forth in the Assistance 

Agreement, during which time the 

Recipient must meet certain 

performance goals. 

E. Eligible Activities: A CMF Award 

must support or finance activities that 

attract private capital for and increase 

investment in (i) the Development, 

Preservation, Rehabilitation, or 

Purchase of Affordable Housing for 

primarily Low-, Very Low- and 

Extremely Low-Income Families, and 

(ii) Economic Development Activities. 

CMF Awards may only be used as 

follows: (i) To provide Loan Loss 

Reserves, (ii) to capitalize a Revolving 

Loan Fund, (iii) to capitalize an 

Affordable Housing Fund, (iv) to 

capitalize a fund to support Economic 

Development Activities, (v) for RiskSharing Loans, or (vi) to provide Loan 

Guarantees. No more than 30 percent of 

a CMF Award may be used for 

Economic Development Activities. For 

the FY 2018 CMF Round, the CDFI 

Fund will allow all Recipients to use up 

to 5 percent of their CMF Award for 

Direct Administrative Expenses. The 

amount available for Direct 

Administrative Expenses may only be 

used for direct costs (as defined by the 

Uniform Administrative Requirements) 

incurred by the Recipient and related to 

the financing and/or support of a 

Project. The CDFI Fund considers the 

tracking of impacts and outcomes 

associated with Projects financed and/or 


daltland on DSKBBV9HB2PROD with NOTICES
Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 34687 

supported by a CMF Award to fall under 

Direct Administrative Expenses. Any 

portion of the amount available for 

Direct Administrative Expenses may be 

used for direct costs related to the 

effective tracking and evaluation of 

program or evidence-based outcomes for 

Projects. 

III. Eligibility Information 

A. Eligible Applicants: In order to be 

eligible to apply for a CMF Award, an 

Applicant must either be a Certified 

CDFI or a Nonprofit Organization, as 

defined in 12 CFR 1807.104. Table 2 

indicates the criteria that each entity 

type must meet in order to be eligible 

for a CMF Award pursuant to this 

NOFA. Note: A Certified CDFI that is 

also a Nonprofit Organization only 

needs to meet the Certified CDFI 

eligibility criteria described in Table 2, 

below, in order to be eligible for a CMF 

Award. 

TABLE 2—APPLICANT ELIGIBILITY REQUIREMENTS

Category Eligibility requirements 

Certified CDFI .......................................... • Has been in existence as a legally formed entity for at least 3 years prior to the AMIS Application deadline under this 

NOFA; 

• Has been determined by the CDFI Fund to meet the CDFI certification requirements set forth in 12 CFR 1805.201 and 

as verified in the CDFI’s AMIS account as of the date of this NOFA; and 

• Has not been notified by the CDFI Fund that its certification has been terminated. 

• In cases where the CDFI Fund has provided a Certified CDFI with written notification that it no longer meets one or 

more certification standards and has been given an opportunity to cure, the CDFI Fund will continue to consider this Applicant to be a Certified CDFI until it has received a final determination that its certification has been terminated. 

Nonprofit Organization ............................. • Has been in existence as a legally formed entity for at least 3 years prior to the AMIS Application deadline under this 

NOFA; 

• Meets the definition of Nonprofit Organization set forth in 12 CFR 1807.104. 

• Demonstrates, through articles of incorporation, by-laws, or other board-approved documents, that the development or 

management of affordable housing are among its principal purposes; and 

• Demonstrates by providing an attestation in the Application that at least thirty-three and one-third percent of its total assets are dedicated to the development or management of affordable housing. 

Application type and submission method 

through Grants.gov and Awards Management Information System (AMIS).

• Each Applicant must submit the required Application documents listed in Table 4. 

• The CDFI Fund will only accept Applications that use the official Application templates provided on the Grants.gov and 

AMIS websites. Applications submitted with alternative or altered templates will not be considered. 

• All Applicants must submit the required documents in two locations: (1) Grants.gov and (2) AMIS. 

Æ Grants.gov: Applicants must submit the Office of Management and Budget (OMB) Standard Form (SF) 424 Mandatory (Application for Federal Assistance) form. 

Æ AMIS: Applicants must submit all other required Application materials. 

Æ All Applicants must register in the Grants.gov and AMIS systems to submit an Application successfully. The CDFI 

Fund strongly encourages Applicants to register as early as possible to meet the deadlines in Table 1. 

• Grants.gov and the SF–424 Mandatory form: 

Æ Grants.gov is a common website for federal agencies to post discretionary funding opportunities and for grantees 

to find and apply to them. 

Æ The SF–424 must be submitted in Grants.gov before the other Application materials are submitted in AMIS. Applicants are strongly encouraged to submit their SF–424 as early as possible via the Grants.gov portal. 

Æ Because the SF–424 is part of the Application, if the SF–424 is not accepted by Grants.gov, the CDFI Fund will not 

review any materials submitted in AMIS and the Application will be deemed ineligible. 

Æ The SF–424 must be submitted under the FY 2018 CMF Funding Opportunity Number. 

• AMIS: 

Æ AMIS is the CDFI Fund’s enterprise-wide information technology system that will be used to submit and store organization and Application information with the CDFI Fund. 

Æ Applicants are only allowed one Capital Magnet Fund Application submission in AMIS. 

Employer Identification Number (EIN) ..... • Each Applicant must have a unique EIN assigned by the Internal Revenue Service. 

• The CDFI Fund will reject an Application submitted with the EIN of a parent or Affiliate organization. 

• The EIN of the Applicant organization in AMIS must match the EIN on the SF–424 submitted through Grants.gov. 

DUNS number ......................................... • Pursuant to OMB guidance (68 FR 38402), each Applicant must apply using its unique DUNS number in Grants.gov. 

• The CDFI Fund will reject an Application submitted with the DUNS number of a parent or Affiliate organization. 

• The DUNS number of the Applicant in AMIS must match the DUNS number on the SF–424 submitted through 

Grants.gov. 

System for Award Management (SAM) ... • Each Applicant must have an active SAM registration in order to submit the required Application materials through 

Grants.gov. 

• SAM is a web-based, government-wide application that collects, validates, stores, and disseminates business information about the federal government’s trading partners in support of the contract awards, grants, and electronic payment 

processes. See SAM.gov for more information. 

• Applicants must have a DUNS number and an EIN in order to register in SAM. 

• Applicants must complete registration in SAM in order to be able to complete the Grants.gov registration and submit an 

SF–424. 

AMIS Account .......................................... • Each Applicant must register as an organization in AMIS and submit all required Application materials through the AMIS 

portal. 

• If the Applicant does not fully register its organization in AMIS by the deadline set forth in Table 1, its Application will be

rejected without further consideration. 

• The Authorized Representative must be included as a ‘‘user’’ in the Applicant’s AMIS account. 

• An Applicant that fails to properly register and update its AMIS account may miss important communications from the 

CDFI Fund or not be able to successfully submit an Application. 

501(c)(4) status ........................................ • Pursuant to 2 U.S.C. 1611, any 501(c)(4) organization that engages in lobbying activities is not eligible to apply for or 

receive a CMF Award. 

Compliance with Nondiscrimination and 

Equal Opportunity Statutes, Regulations, and Executive Orders.

• An Applicant may not be eligible to receive an award if proceedings have been instituted against it in, by, or before any 

court, governmental agency, or administrative body, and a final determination, issued within the last 3 years as of the 

date of this NOFA, indicates the Applicant has violated any of the following laws: Title VI of the Civil Rights Act of 1964, 

as amended (42 U.S.C. 2000d); Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794); the Age Discrimination 

Act of 1975 (42 U.S.C. 6101–6107); Title VIII of the Civil Rights Act of 1968, as amended (42 U.S.C. 3601 et seq.); and 

Executive Order 13166, Improving Access to Services for Persons with Limited English Proficiency. 

Debarment Check .................................... • The CDFI Fund will conduct a debarment check and will not consider an Application if the Applicant is delinquent on 

any Federal debt or otherwise ineligible to receive a Federal award. 


daltland on DSKBBV9HB2PROD with NOTICES
34688 Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 

TABLE 2—APPLICANT ELIGIBILITY REQUIREMENTS—Continued 

Category Eligibility requirements 

Depository Institution Holding Company 

Applicant.

• In the case where a CDFI Depository Institution Holding Company Applicant intends to carry out the activities of its 

award through its Subsidiary CDFI Insured Depository Institution, the Application must be submitted by the CDFI Depository Institution Holding Company and reflect the activities and financial performance of the Subsidiary CDFI Insured 

Depository Institution. 

• The Authorized Representative of the Depository Institution Holding Company Applicant must certify that the information 

included in the Application represents that of the Subsidiary CDFI Insured Depository Institution, and that the Award will 

be used to support the Subsidiary CDFI Insured Depository Institution for the eligible activities outlined in the Application. 

Insured CDFI—Insured Credit Union and 

Insured Depository Institution.

• To be eligible for an Award, each Insured Depository Institution Applicant must have a CAMELS/CAMEL rating (rating 

for banks and credit unions, respectively), by its Federal regulator of at least ‘‘3.’’ 

• Organizations with CAMELS/CAMEL ratings of ‘‘4 or 5’’ will not be eligible for awards. 

• Organizations with a Prompt Corrective Action directive from its regulator will not be eligible for awards. 

• The CDFI Fund will also evaluate material concerns identified by the Appropriate Federal Banking Agency in determining eligibility of Insured Depository Institution Applicants. 

Any Applicant that does not meet the 

criteria in Table 2 is ineligible to apply 

for a CMF Award under this NOFA. 

Further, Section III.B describes 

additional considerations applicable to 

prior Recipients and/or Allocatees 

under any CDFI Fund program. 

B. Prior Recipients and/or Allocatees: 

Applicants must be aware that success 

in a prior round of any of the CDFI 

Fund’s programs is not indicative of 

success under this NOFA. Prior 

Recipients and/or Allocatees under any 

CDFI Fund program are eligible to apply 

under this NOFA, except as noted in 

Table 3: 

TABLE 3—ELIGIBILITY REQUIREMENTS FOR APPLICANTS WHICH ARE PRIOR AWARD/ALLOCATION RECIPIENTS

Criteria Description 

Pending resolution of noncompliance ..... • The CDFI Fund will consider an Application submitted by an Applicant that has pending noncompliance issues if the 

CDFI Fund has not yet made a final compliance determination. 

Noncompliance status ............................. • The CDFI Fund will not consider an Application submitted by an Applicant that has a previously executed award agreement(s) if, as of the date of the NOFA, (i) the CDFI Fund has made a determination that such entity is noncompliant 

with a previously executed agreement and (ii) the CDFI Fund has provided written notification that such entity is ineligible to apply for or receive any future CDFI Fund awards or allocations. Such entities will be ineligible to submit an Application for such time period as specified by the CDFI Fund in writing. 

• The CDFI Fund will not consider any Applicant that has defaulted on a CDFI Fund program loan within five years of the 

AMIS Application deadline. 

C. Contacting the CDFI Fund: 

Accordingly, Applicants that are prior 

Recipients and/or Allocatees under any 

CDFI Fund program are advised to 

comply with requirements specified in 

an Assistance Agreement, allocation 

agreement, bond loan agreement, or 

agreement to guarantee. All outstanding 

reporting and compliance questions 

should be directed to the Office of 

Certification, Compliance Monitoring 

and Evaluation help desk by AMIS 

Service Requests or by telephone at 

(202) 653–0421; except in the case of 

Capital Magnet Fund reporting and 

compliance questions, which should be 

directed to the Capital Magnet Fund 

help desk by completing a Service 

Request through the Awards 

Management Information System using 

‘‘CMF—Compliance’’ as the Service 

Request type. Alternatively, the public 

can contact Capital Magnet Fund staff 

via email at CMF@cdfi.treas.gov. The 

CDFI Fund will not respond to 

Applicants’ reporting, compliance, or 

disbursement telephone calls or email 

inquiries that are received after 5:00 

p.m. ET on September 13, 2018 until 

after the Application deadline. The 

CDFI Fund will respond to technical 

issues related to AMIS Accounts 

through 5:00 p.m. ET on September 17, 

2018, via AMIS Service Requests, or at 

AMIS@cdfi.treas.gov, or by telephone at 

(202) 653–0422. 

D. Cost sharing or matching funds 

requirements: Not applicable. 

E. Other Eligibility Criteria: 

1. Entities that Submit Applications 

Together with Affiliates: As part of the 

Application review process, the CDFI 

Fund considers whether Applicants are 

Affiliates, as such term is defined in 12 

CFR 1807.104. If an Applicant and its 

Affiliate(s) wish to submit Applications, 

they must do so through one of the 

Affiliated entities, in one Application; 

an Applicant and its Affiliates may not 

submit separate Applications. If 

Affiliates submit multiple or separate 

Applications, the CDFI Fund may, at its 

discretion, reject all such Applications 

received or select only one of the 

submitted Applications to deem 

eligible, assuming that Application 

meets all other eligibility criteria in 

Section III of this NOFA. 

Furthermore, an Applicant that 

receives an award in this CMF round 

may not become an Affiliate of another 

Applicant that receives an award in this 

CMF round at any time after the 

submission of a CMF Application under 

this NOFA. This requirement will also 

be a term and condition of the 

Assistance Agreement (see additional 

Application guidance materials on the 

CDFI Fund’s website at http://

www.cdfifund.gov/cmf for more details). 

2. An Applicant will not be eligible to 

receive a CMF Award if the Applicant 

fails to demonstrate in the Application 

that its CMF Award would result in 

Eligible Project Costs (Leveraged Costs 

plus those costs funded by the CMF 

Award) that equal at least 10 times the 

amount of the CMF Award. Note that no 

costs attributable to Direct 

Administrative Expenses may be 

considered Eligible Project Costs. 

IV. Application and Submission 

Information 

A. Address to Request Application 

Package: Application materials can be 

found on the Grants.gov and the CDFI 

Fund’s website at www.cdfifund.gov/ 

cmf. Applicants may request a paper 

version of any Application material by 

contacting the CDFI Fund Help Desk by 

email at cmf@cdfi.treas.gov or by phone 

at (202) 653–0421. 

B. Content and Form of Application 

Submission: The CDFI Fund will post to 

its website, at www.cdfifund.gov/cmf, 


daltland on DSKBBV9HB2PROD with NOTICES
Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 34689 

instructions for accessing and 

submitting an Application. Detailed 

Application content requirements are 

found in the Application and related 

guidance documents. 

All Applications must be prepared in 

English and calculations must be made 

in U.S. dollars. Table 4 lists the required 

funding Application documents for the 

FY 2018 CMF Round. Applicants must 

submit all required documents for the 

Application to be deemed complete. 

The CDFI Fund reserves the right to 

request and review other pertinent or 

public information that has not been 

specifically requested in this NOFA or 

the Application. Information submitted 

by the Applicant that the CDFI Fund has 

not specifically requested will not be 

reviewed or considered as part of the 

Application. Information submitted 

must accurately reflect the Applicant’s 

activities and/or its Subsidiary Insured 

Depository Institution, in the case where 

the Applicant is an Insured Depository 

Institution Holding Company. 

TABLE 4—FUNDING APPLICATION DOCUMENTS

Application document Submission format Required? 

Standard Form (SF) 424 Mandatory Form ............................................................. Fillable PDF in 

Grants.gov.

Required for all Applicants. 

CMF Application ...................................................................................................... AMIS ...................... Required for all Applicants. 

Attacihments to the Application 

Audited financial statements, including any Single Audit filed with the Federal 

Audit Clearinghouse, if the Applicant was required to have a Single Audit 

completed (most recent 2 fiscal years).

PDF in AMIS ......... Required for all Applicants. 

Any management letters related to the audited financial statements (most recent 

2 fiscal years).

PDF in AMIS ......... Required for all Applicants. 

State Charter, Articles of Incorporation, or other establishing documents designating that the Applicant is a nonprofit or not-for-profit entity under the laws of 

the organization’s State of formation.

PDF in AMIS ......... Required only for Applicants that are 

not Certified CDFIs. 

A certification demonstrating tax exempt status from the IRS. For Applicants that 

are governmental instrumentalities only, and as long as all other eligibility requirements are met, the CDFI Fund will accept a legal opinion from counsel, 

in form and substance acceptable to the CDFI Fund, opining that the Applicant is exempt from federal taxation.

PDF in AMIS ......... Required only for Applicants that are 

not Certified CDFIs. 

Articles of incorporation, by-laws or other documents demonstrating that the Applicant has a principal purpose of managing or developing affordable housing.PDF in AMIS ......... Required only for Applicants that are 

not Certified CDFIs. 

The CDFI Fund has a sequential, twostep process that requires the 

submission of Application documents 

in separate systems and on separate 

deadlines. The SF–424 form must be 

submitted through Grants.gov and all 

other Application documents through 

the AMIS portal. The CDFI Fund will 

not accept Applications via email, mail, 

facsimile, or other forms of 

communication, except in extremely 

rare circumstances that have been preapproved by the CDFI Fund. The 

separate Application deadlines for the 

SF–424 and all other Application 

materials are listed in Tables 1 and 5. 

Only the Authorized Representative or 

Application Point of Contact designated 

in AMIS may submit the Application 

through AMIS. 

Applicants are strongly encouraged to 

submit the SF–424 as early as possible 

through Grants.gov in order to provide 

sufficient time to resolve any 

submission problems. Applicants 

should contact Grants.gov directly with 

questions related to the registration or 

submission process, as the CDFI Fund 

does not administer the Grants.gov 

system. 

The CDFI Fund strongly encourages 

Applicants to start the Grants.gov 

registration process as soon as possible, 

as it may take several weeks to complete 

(refer to the following link: http://

www.grants.gov/web/grants/ 

register.html). An Applicant that has 

previously registered with Grants.gov 

must verify that its registration is 

current and active. If an Applicant has 

not previously registered with 

Grants.gov, it must first successfully 

register with SAM, as described in 

Section IV.D below. 

C. Dun and Bradstreet Data Universal 

Numbering System (DUNS): Pursuant to 

the Uniform Administrative 

Requirements, each Applicant must 

provide as part of its Application 

submission, a valid Dun & Bradstreet 

Data Universal Numbering System 

(DUNS) number. Any Applicant without 

a DUNS number will not be able to 

register in SAM or register and submit 

an Application in the Grants.gov 

system. Please allow sufficient time for 

Dun & Bradstreet to respond to inquiries 

and/or requests for DUNS numbers. 

D. System for Award Management 

(SAM): Any entity applying for Federal 

grants or other forms of Federal 

financial assistance through Grants.gov 

must be registered in SAM before 

submitting its Application materials 

through that platform. The SAM 

registration process can take a month or 

longer to complete. A signed notarized 

letter identifying the authorized Entity 

Administrator for the entity associated 

with the DUNS number is required by 

SAM before the registration will be 

activated. This requirement is 

applicable to new entities registering in 

SAM, as well as existing entities with 

registrations being updated or renewed 

in SAM. Applicants cannot register in 

SAM without both an EIN and DUNS 

number. Applicants that have 

previously completed the SAM 

registration process must verify that 

their SAM accounts are current and 

active. Each Applicant must continue to 

maintain an active SAM registration 

with current information at all times 

during which it has an active Federal 

award or an application under 

consideration by a Federal awarding 

agency. The CDFI Fund will not 

consider any Applicant that fails to 

properly register or activate its SAM 

account and, as a result, is unable to 

submit its Application by the 

Application deadline. Applicants must 

contact SAM directly with questions 

related to registration or SAM account 

changes, as the CDFI Fund does not 

maintain this system. For more 

information about SAM, please visit 

https://www.sam.gov. 


daltland on DSKBBV9HB2PROD with NOTICES
34690 Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 

TABLE 5—GRANTS.GOV REGISTRATION TIMELINE SUMMARY

Step Agency Estimated minimum 

time to complete 

Obtain a DUNS number ........................................................ Dun & Bradstreet ................................................................. One Week.* 

Register in SAM.gov ............................................................. System for Award Management (SAM) ............................... One Month.* 

Register in Grants.gov .......................................................... Grants.gov ........................................................................... One Week.** 

* Applicants are advised that the stated duration are estimates only and represent minimum timeframes. Actual timeframes may take longer. 

The CDFI Fund will not consider any Applicant that fails to properly register or activate its SAM account, has not yet received a DUNS number, 

and/or fails to properly register in Grants.gov. 

** This estimate assumes an Applicant has a DUNS number, an EIN number, and is already registered in SAM.gov. 

E. Submission Dates and Times: 

1. Submission Deadlines: Table 6 lists 

the deadlines for submission of the 

documents related to the FY 2018 CMF 

Funding Round: 

TABLE 6—FY 2018 CMF DEADLINES FOR APPLICANTS

Document Deadline Time—eastern 

time (ET) Submission method 

SF–424 Mandatory form ............................................. August 20, 2018 .............. 11:59 p.m. ET .................... Electronically via Grants.gov. 

Create AMIS Account (if the Applicant does not already have one).August 27, 2018 .............. 11:59 p.m. ET .................... Electronically via AMIS. 

CMF Application and Required Attachments ............. September 17, 2018 ........ 5:00 p.m. ET ...................... Electronically via AMIS. 

2. Confirmation of Application 

Submission in Grants.gov and AMIS: 

Applicants are required to submit the 

OMB SF–424 Mandatory Form through 

the Grants.gov system, under the FY 

2018 Capital Magnet Fund Funding 

Opportunity Number (listed at the 

beginning of this NOFA). All other 

required Application materials must be 

submitted through the AMIS website. 

Application materials submitted 

through each system are due by the 

applicable deadline listed in Table 6. 

Applicants must submit the SF–424 by 

an earlier deadline than that of the other 

required Application materials in AMIS. 

If the SF–424 is not successfully 

accepted through Grants.gov by the 

corresponding deadline, the Applicant 

will not be able to submit the additional 

Application materials in AMIS, and the 

Application will be deemed ineligible. 

Thus, Applicants are strongly 

encouraged to submit the SF–424 as 

early as possible in the Grants.gov 

portal, given submission problems may 

impact the ability to submit a complete 

Application. 

(a) Grants.gov Submission 

Information: Each Applicant will 

receive an initial email from Grants.gov 

immediately after submitting the SF– 

424, confirming that the submission has 

entered the Grants.gov system. This 

email will contain a tracking number for 

the submitted SF–424. Within 48 hours, 

the Applicant will receive a second 

email which will indicate if the 

submitted SF–424 was either 

successfully validated or rejected with 

errors. However, Applicants should not 

rely on the email notification from 

Grants.gov to confirm that their SF–424 

was validated. Applicants are strongly 

encouraged to use the tracking number 

provided in the first email to closely 

monitor the status of their SF–424 by 

checking Grants.gov directly. The 

Application materials submitted in 

AMIS are not accepted by the CDFI 

Fund until Grants.gov has validated the 

SF–424. If using the Grants.gov 

Workspace function, please note that 

the Application package has not been 

submitted if you have not received a 

tracking number. 

(b) AMIS Submission Information: 

AMIS is a web-based portal where 

Applicants will directly enter their 

Application information and add 

required attachments listed in Table 4. 

Each Applicant must register as an 

organization in AMIS in order to submit 

the required Application materials 

through this portal. AMIS will verify 

that the Applicant provided the 

minimum information required to 

submit an Application. Applicants are 

responsible for the quality and accuracy 

of the information and attachments 

included in the Application submitted 

in AMIS. The CDFI Fund strongly 

encourages the Applicant to allow 

sufficient time to confirm the 

Application content, review the material 

submitted, and remedy any issues prior 

to the Application deadline. Applicants 

can only submit one Application in 

AMIS. Upon submission, the 

Application will be locked and cannot 

be resubmitted, edited, or modified in 

any way. The CDFI Fund will not 

unlock or allow multiple Application 

submissions. 

Prior to submission, each Application 

in AMIS must be signed by an 

Authorized Representative. An 

Authorized Representative is an officer, 

or other individual, who has the actual 

authority to legally bind and make 

representations on behalf of the 

Applicant; consultants working on 

behalf of the Applicant cannot be 

designated as Authorized 

Representatives. The Applicant may 

include consultants as Application 

point(s) of contact, who will be 

included on any communication 

regarding the Application and will be 

able to submit the Application, but 

cannot sign the Application. The 

Authorized Representative and/or 

Application point(s) of contact must be 

included as ‘‘Contacts’’ in the 

Applicant’s AMIS account. The 

Authorized Representative must also be 

a ‘‘user’’ in AMIS. An Applicant that 

fails to properly register and update its 

AMIS account may miss important 

communications from the CDFI Fund or 

fail to submit an Application 

successfully. Only the Authorized 

Representative or Application point of 

contact, listed in the Application, can 

submit the Application in AMIS. After 

submitting its Application, the 

Applicant will not be permitted to 

revise or modify its Application in any 

way or attempt to negotiate the terms of 

an award. 

3. Multiple Application Submissions: 

Applicants are only permitted to submit 

one complete Application. However, the 


daltland on DSKBBV9HB2PROD with NOTICES
Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 34691 

CDFI Fund does not control Grants.gov, 

which does allow for multiple 

application submissions. Thus, if an 

Applicant submits multiple SF–424 

Applications in Grants.gov, the CDFI 

Fund will only review the SF–424 

Application submitted in Grants.gov 

that is attached to the AMIS 

Application. Applicants can only 

submit one Application through AMIS. 

4. Late Submission: The CDFI Fund 

will not accept an Application 

submitted after the applicable 

Grants.gov or AMIS Application 

deadline, except where the submission 

delay was a direct result of a Federal 

government administrative or 

technological error. This exception 

includes any errors associated with 

Grants.gov, SAM.gov, AMIS or any other 

applicable government system. Please 

note that this exception does not apply 

to errors arising from obtaining a DUNS 

number from Dun & Bradstreet, which is 

not a government entity. An Applicant 

unable to make timely submission of its 

Application due to any errors in the 

process of obtaining a DUNS number 

will not be allowed to submit its 

Application after the Application 

deadline has passed. In the event of a 

government administrative or 

technological error causing delay, the 

Applicant must submit a request for 

acceptance of late Application 

submission and include documentation 

of the error no later than two business 

days after the applicable Application 

deadline. The CDFI Fund will not 

respond to requests for acceptance of 

late Application submissions after that 

time period. Applicants must submit 

late Application submission requests via 

Service Request in AMIS with the 

subject line of ‘‘FY2018 CMF: Late 

Application Submission Request.’’ 

5. Intergovernmental Review: Not 

Applicable. 

6. Funding Restrictions: CMF Awards 

are limited by the following: 

(a) A Recipient shall use CMF Award 

funds only for the eligible activities set 

forth in 12 CFR 1807.301 and as 

described in Section II.C and Section 

II.E of this NOFA and its Assistance 

Agreement. 

(b) A Recipient may not disburse CMF 

Award funds to an Affiliate, Subsidiary, 

or any other entity without the CDFI 

Fund’s prior written approval. 

(c) CMF Award dollars shall only be 

paid to the Recipient. 

(d) The CDFI Fund, in its sole 

discretion, may pay CMF Awards in 

amounts, or under terms and 

conditions, which are different from 

those requested by an Applicant. 

However, the CDFI Fund will not grant 

an Award in excess of the amount 

requested by the Applicant. 

V. Application Review Information 

A. Criteria: All complete and eligible 

Applications will be reviewed in 

accordance with the criteria and 

procedures described in the CMF 

Interim Rule, this NOFA, the 

Application guidance, and the Uniform 

Administrative Requirements. As part of 

the review process, the CDFI Fund 

reserves the right to contact the 

Applicant by telephone, email, mail, or 

through an on-site visit for the sole 

purpose of clarifying or confirming 

Application information at any point 

during the review process. The CDFI 

Fund reserves the right to collect such 

additional information from Applicants 

as it deems appropriate. If contacted, the 

Applicant must respond within the time 

period communicated by the CDFI Fund 

or its Application may be rejected. For 

the sake of clarity, specific application 

evaluation criteria are described in the 

context of the overall Application 

review and selection process described 

in Section V.B. below. 

B. Review and Selection Process: 

The CDFI Fund will evaluate each 

complete and eligible Application using 

the multi-phase review process 

described in this Section. For the first 

two parts of the review process, the 

Quantitative Assessment and External 

Review, the Applications will be 

grouped into two categories: (1) 

Financing entities and (2) housing 

developers/managers. Certified CDFIs 

will be categorized as financing entities. 

Nonprofit Organizations will select 

whether they are primarily financing 

entities or housing developers/ 

managers. These two groups will be 

evaluated on the criteria listed in this 

section. The CDFI Fund may elect to use 

a different criteria where appropriate, in 

order to evaluate the financial health, 

capacity, and strategies of these distinct 

entity types. In general, these 

differences are noted in this section and 

the Application. 

1. Quantitative Assessment: Each 

complete and eligible Application will 

receive a numeric score based on the 

responses to quantitative questions in 

the Application. Applications may 

receive a score of up to 100 points based 

on the following factors outlined in 

Table 7. 

TABLE 7—QUANTITATIVE ASSESSMENT FACTORS

Section Points Assessment criteria 

Business and Leveraging Strategy 40 • Private leverage multiplier. 

• Reasonableness of projected activities based on track record. 

• Applicant-level leverage multiplier. 

• Whether the Application is proposing to serve Iowa, Maine, North Dakota, Wyoming the U.S. Virgin Islands, 

Guam, the Northern Mariana Islands, American Samoa or Puerto Rico. 

Community Impact ......................... 35 • Percent of rental housing units targeted to Very Low-Income (VLI) or below (50 percent of AMI or below). 

• Percent of Homeownership units targeted to Low-Income or below (80 percent of AMI or below). 

• Relevant track record of financing and/or supporting units targeted to VLI or LI families. 

• Commitment to only finance Economic Development Activities in Low-Income Areas (if proposing Economic 

Development Activities). 

• Percent of housing units to be financed and/or supported in Areas of Economic Distress. 

Organizational Capacity ................. 25 • Capitalization. 

• Operating Performance. 

• Liquidity. 

• Audit Results. 

Within the Business and Leveraging 

Strategy Section of the Quantitative 

Assessment, an Applicant will generally 

score more favorably to the extent it: 

Proposes to leverage a higher multiplier 

of private capital (up to 10 times the 

amount of the CMF Award); has a 

volume of projected activities supported 

by its track record; and is proposing to 

leverage some portion of capital at the 

Applicant-level. An Applicant will also 

score slightly more favorably if it is 

proposing to serve Iowa, Maine, North 

Dakota, Wyoming, the U.S. Virgin 

Islands, Guam, the Northern Mariana 

Islands, American Samoa or Puerto 

Rico. 

Within the Community Impact 

Section, an Applicant will generally 


daltland on DSKBBV9HB2PROD with NOTICES
34692 Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 

score more favorably to the extent that 

it commits to one or more of the 

following: Financing and/or supporting 

a higher percentage of rental housing 

units targeted to Very Low-Income 

Families (if proposing to use CMF for 

rental housing), and/or financing and/or 

supporting a higher percentage of 

Homeownership units targeted to LowIncome Families (if proposing to use 

CMF for Homeownership). The 

Applicant will also score more favorably 

to the extent that it commits to: 

Financing and/or supporting Economic 

Development Activities in Low-Income 

Areas only (if proposing to use CMF for 

Economic Developments Activities), 

and financing and/or supporting a 

higher percentage of units located in 

Areas of Economic Distress. Areas of 

Economic Distress are census tracts: (a) 

Where at least 20 percent of households 

that are Very Low-Income (50 percent of 

AMI or below) spend more than half of 

their income on housing; or (b) where 

the unemployment rate is at least 1.5 

times the national average; or (c) that are 

Low-Income Housing Tax Credit 

Qualified Census Tracts; or (d) where 

greater than 20 percent of households 

have incomes below the poverty rate 

and the rental vacancy rate is at least 10 

percent; or (e) where greater than 20 

percent of the households have incomes 

below the poverty rate and the 

homeownership vacancy rate is at least 

10 percent; or (f) are Underserved Rural 

Areas as defined in the CMF Interim 

Rule (as amended February 8, 2016; 12 

CFR part 1807). 

Within the Financial Health section, 

Applicants will generally score more 

favorably to the extent that their 3-year 

financial data indicate, among other 

things, the following: Strong 

capitalization; strong operating 

performance; strong liquidity; and that 

the Applicant has not had any negative 

findings (e.g., opinion other than 

unqualified; a ‘‘going concern 

paragraph;’’ repeat findings of 

reportable conditions; material 

weaknesses in internal control) in any of 

the three most recently completed 

annual audits, including its Single 

Audit, if applicable. 

Once the quantitative score is 

determined, Applicants in each of the 

two categories (financing entities and 

housing developers/managers) will be 

ranked in descending order based on 

their quantitative review score. The top 

80 percent of Applications in each 

category will be forwarded to the next 

level of review: External Review. The 

CDFI Fund reserves the right to forward 

additional Applications to the External 

Review phase in order to ensure that a 

diversity of geographies (including 

different states as well as Metropolitan 

and Rural Areas) are served by the 

Applicants reviewed in the External 

Review phase. The CDFI Fund also 

reserves the right to forward all 

Applicants to the External Review 

phase, regardless of Quantitative 

Assessment score, if fewer than 140 

CMF Applications are received. 

2. External Review: Applications that 

advance from the Quantitative 

Assessment will be separately scored by 

two or more external non-Federal 

reviewers who are selected based on 

criteria that include: A professional 

background in affordable housing or a 

background community and economic 

development finance with experience 

with affordable housing. These 

reviewers must complete the CDFI 

Fund’s conflict of interest process and 

be approved by the CDFI Fund. 

Reviewers will be assigned a set number 

of Applications, consisting of either 

financing entity Applicants or housing 

developer/manager Applicants, to 

review. The reviewer will provide a 

score for each of the Applications 

assessed in accordance with the scoring 

criteria outlined in Section V.B.2 of this 

NOFA and the Application materials. 

The external reviewer’s evaluation 

will result in the Application being 

awarded up to 100 total points by each 

reviewer. These points will be 

distributed across three sections: 

Business and Leveraging Strategy (40 

possible points), Community Impact (35 

possible points), and Organizational 

Capacity (25 possible points). An 

Applicant’s final External Review score 

will be a composite based on the 

external reviewers’ evaluation and 

Quantitative Assessment factors. The 

majority of the score will be based on 

the external reviewers’ evaluation. 

(a) Business and Leveraging Strategy 

(40 points): In the Business and 

Leveraging Strategy section, the 

Applicant will address: (i) The needs of 

communities and persons in its 

proposed Service Area and the extent to 

which the proposed strategy addresses 

these needs; (ii) the affordable housing, 

economic development, and financing 

gaps addressed by its business strategy; 

(iii) the projected CMF activities and 

track record; (iv) the role CMF plays in 

its project financing strategy; (v) its 

strategy for leveraging private capital 

with a CMF Award; and (vi) its strategy 

for leveraging its CMF Award at the 

Enterprise-level, through reinvestments, and/or at the Project-level 

(as applicable). 

An Applicant will generally score 

more favorably in the criteria evaluated 

by the external reviewer to the extent 

that it: (i) Clearly aligns its proposed 

CMF Award activities with the 

affordable housing needs and financing 

gaps it identifies; (ii) demonstrates that 

its strategy and activities will result in 

more favorable financing rates and 

terms; (iii) demonstrates that its 

projected activities are achievable based 

on the Applicant’s strategy and track 

record; (iv) describes a clear process for 

locating projects and proposes activities 

that have a clear need for CMF 

financing; (v) has a credible pipeline of 

projects; (vi) has a clear strategy for and 

track record of leveraging private 

capital; and (vii) has a clear strategy for 

and demonstrates a track record of 

leveraging funds at the Enterprise-level, 

through re-investments, and/or at the 

Project-level (as applicable). The extent 

to which the Applicant proposes to 

meet the disaster recovery needs of the 

areas ‘‘most impacted and distressed’’ 

resulting from a major disaster declared 

in 2017 (as identified by HUD and 

published in the Federal Register at 83 

FR 5844) will also be considered in the 

External Review phase. 

(b) Community Impact (35 points): In 

the Community Impact Section, the 

Applicant will address: (i) The extent to 

which the Applicant’s strategy is likely 

to lead to the Affordable Housing and/ 

or Economic Development Activities 

impacts referenced in the Application; 

(ii) its strategy and track record of 

financing and/or supporting housing 

units targeted to Low-Income Families 

(for Homeownership) and to Very LowIncome Families (for rental); (iii) its 

plans for financing and/or supporting 

Affordable Housing in Areas of 

Economic Distress; (iv) its community 

engagement and partnerships; (v) if 

applicable, its strategy and track record 

of financing and/or supporting 

Economic Development Activities and 

how these activities fit in a Concerted 

Strategy and will benefit the residents of 

nearby Affordable Housing. 

An Applicant will generally score 

more favorably in the criteria evaluated 

by the external reviewer to the extent 

that it: (i) Demonstrates how its business 

strategy will result in one or more of the 

Affordable Housing and/or Economic 

Development Activities impacts 

identified in the Application and the 

extent to which it has articulated and 

quantified measurements and evidence 

to support these impacts; (ii) 

demonstrates a clear and compelling 

strategy for financing and/or supporting 

housing units targeted to Low-Income 

Families (for Homeownership) and 

Very-Low Income Families (for rental); 

(iii) presents a strong ability to finance 

and/or support Affordable Housing in 

Areas of Economic Distress; (iv) has 

community engagement and 


daltland on DSKBBV9HB2PROD with NOTICES
Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 34693 

partnerships that will lead to greater 

unit production, allow the Applicant to 

serve geographic areas it otherwise 

could not reach, and/or result in 

identified community impacts that 

benefit Affordable Housing residents; 

and (v) for Economic Development 

Activities, demonstrates how its 

proposed Economic Development 

Activities fit within a Concerted 

Strategy and will benefit the residents of 

the nearby Affordable Housing. 

(c) Organizational Capacity (25 

points): In the Organizational Capacity 

section, the Applicant will discuss: (i) 

Its management team and key staff; (ii) 

the roles and responsibilities of those 

staff in managing a CMF Award; (iii) its 

past experience managing Federal 

awards (including past CMF Awards); 

and (iv) its financial health and lending 

or property portfolio (as applicable). 

An Applicant will generally score 

more favorably in the criteria evaluated 

by the external reviewer to the extent 

that it demonstrates: (i) Strong 

qualifications of its key personnel with 

respect to their skills and experience in 

identifying investments, underwriting 

or developing similar projects (as 

applicable), managing a portfolio of 

similar activities and ensuring 

compliance with program requirements; 

(ii) success in administering prior CMF 

Awards, CDFI and/or other Federal 

program awards; (iii) strong financial 

health; and (iv) solid portfolio 

performance (as applicable). 

(d) Scoring anomaly: If, in the case of 

a particular Application, the reviewers’ 

total External Review scores vary 

significantly from each other, the CDFI 

Fund may, in its sole discretion, obtain 

the evaluation and numeric scoring of 

an additional reviewer to determine 

whether the anomalous score should be 

replaced with the score of the additional 

reviewer. 

3. Internal Review: At the conclusion 

of the External Review phase, each 

group of Applications (financing entities 

and housing developers/managers) will 

be ranked separately based on their 

External Review score. The CMF 

Program Manager will then determine 

the overall number of Applications that 

will be initially forwarded for Internal 

Review. The CMF Program Manager 

may elect to initially forward up to 50 

Applications to the Internal Review 

phase to receive further consideration 

for a CMF Award. Such Applications 

will be forwarded for Internal Review in 

descending order of External Review 

score. The forwarded Applications will 

be drawn from the financing entity and 

housing developer/manager groups in 

proportion to each group’s 

representation in the overall 

Application pool. For example, if the 

Applicant pool is 60 percent financing 

entities and 40 percent housing 

developers/managers and the CMF 

Program Manager elects to forward 50 

Applications to the Internal Review 

Phase, the highest scoring 30 

Applications from the financing entity 

group and the highest scoring 20 

Applications from the housing 

developers/managers group would be 

forwarded to Internal Review. 

These forwarded Applications will 

constitute the highly qualified pool. 

During the Internal Review, CDFI Fund 

staff will prioritize the Applications in 

the highly qualified pool for an award 

based on a combination of the following 

criteria: (i) Final External Review score; 

(ii) alignment with CMF statutory and 

policy priorities; (iii) the overall quality 

of the Applicant’s strategy; and (iv) the 

Applicant’s organizational capacity and 

financial health. The CDFI Fund will 

not attempt to ensure any specific 

balance of financing entities and 

housing developers/managers in the 

final Award pool. 

In assessing the Application’s 

alignment with CMF statutory and 

policy priorities, CDFI Fund staff will 

consider the following factors, 

including, but not limited to: The 

Applicant’s proposed activities in Areas 

of Economic Distress; income targeting 

of the portfolio of Affordable Housing 

units to be financed and/or supported; 

the amount of private capital it will 

leverage with a CMF Award; and the 

amount of new Enterprise-level private 

capital that the Applicant will attract to 

its Service Area. 

In assessing the quality of the 

Applicant’s strategy, the CDFI Fund 

staff will consider the following factors, 

including, but not limited to: (i) The 

quality of the Applicant’s strategy with 

respect to how the strategy and 

financing activities address identified 

community needs; (ii) whether the 

proposed financing activities will help 

to fill the financing gaps in their market; 

(iii) whether the CMF funds will 

contribute to the Applicant offering 

more favorable rates and terms than are 

currently available in its Service Area; 

(iv) whether the Applicant’s projections 

are supported by its organizational track 

record, as well as the quality of its 

pipeline; (v) whether the proposed 

deployment/redeployment schedule is 

realistic, achievable and risk has been 

appropriately considered; (vi) the likely 

success of the strategy to leverage 

private capital; (vii) whether the strategy 

is adaptable to changing market 

conditions; (viii) whether the 

Applicant’s strategy is likely to create 

identified community impacts and the 

extent to which the Applicant has 

articulated quantifiable measurements 

and evidence to support these impacts; 

(ix) the Applicant’s approach for 

financing/supporting Affordable 

Housing in Areas of Economic Distress 

and meeting Affordable Housing income 

targeting goals; and (x) to the extent the 

Applicant is proposing to undertake 

Economic Development Activities, how 

those activities are part of a Concerted 

Strategy and will benefit residents of 

affordable housing. 

In assessing the Applicant’s 

organizational capacity and financial 

health, the CDFI Fund Staff will 

consider the following factors, 

including, but not limited to, the 

Applicant’s: Financial position and 

organizational strength; ability to meet 

Federal Award management standards 

and file appropriate reports and address 

findings from audits; and staff capacity. 

Applicants may be re-prioritized for an 

Award or Award amounts may be 

reduced as a result of this analysis. 

In the case of an Applicant that has 

received awards from other Federal 

programs, the CDFI Fund reserves the 

right to contact officials from the 

appropriate Federal agency or agencies 

to determine whether the Recipient is in 

compliance with current or prior award 

agreements, and to take such 

information into consideration before 

making a CMF Award. 

In addition to the criteria outlined 

above, the Applicant’s ability to deploy 

the CMF Award in a timely manner will 

be a key determinant in funding 

recommendation. Deployment 

considerations may include the 

Applicant’s track record of activities 

compared with projections, the 

Applicant’s progress in committing and/ 

or deploying past CMF Awards, and 

whether the Applicant received a FY 

2018 CDFI/NACA Program award for a 

similar business strategy as the 

proposed use of the CMF Award. The 

CDFI Fund may also consider the 

geographies served when determining 

funding recommendations. 

4. Selection: Once Applications have 

been internally evaluated and 

preliminary award determinations have 

been made, the Applications will be 

forwarded to a selecting official for a 

final award determination. After 

preliminary award determinations are 

made, the selecting official will review 

the list of potential Recipients to 

determine whether the Recipient pool 

meets the following statutory objectives: 

(a) The potential Recipients’ proposed 

Service Areas collectively represent 

broad geographic coverage throughout 

the United States; and 


daltland on DSKBBV9HB2PROD with NOTICES
34694 Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 

(b) The potential Recipients’ proposed 

activities equitably represent both 

Metropolitan Areas and Rural Areas. For 

the purposes of the FY 2018 CMF 

Round, the term Rural Areas is defined 

per 12 CFR 1282.1 (Enterprise Duty To 

Serve Final Rule) as (i) A census tract 

outside of a Metropolitan Statistical 

Area as designated by the Office of 

Management and Budget; or (ii) A 

census tract in a Metropolitan Statistical 

Area as designated by the Office of 

Management and Budget that is outside 

of the Metropolitan Statistical Area’s 

Urbanized Areas, as designated by the 

U.S. Department of Agriculture’s 

(USDA) Rural-Urban Commuting Area 

(RUCA) Code #1, and outside of tracts 

with a housing density of over 64 

housing units per square mile for 

USDA’s RUCA Code #2. The CDFI Fund 

will publish a dataset indicating which 

census tracts are designated as Rural 

Areas for the FY 2018 Round on its 

website. 

The CDFI Fund reserves the right to 

modify CMF Award amounts and/or the 

CMF Recipient pool if deemed 

necessary to achieve either of these 

statutory objectives. In order to evaluate 

the geographic coverage of the potential 

CMF Recipient pool, Applicants will be 

asked to designate one of the following 

three Service Area types in their 

Applications: Local, Statewide, or 

Multi-State. These Service Area types 

are further defined in the Application; 

the largest Service Area an Applicant 

can propose is a 10 state Multi-State 

Service Area. To achieve greater 

investment in Rural Areas and/or 

broader geographic coverage, the CDFI 

Fund may consider an Application 

ranked outside of the highly qualified 

pool to receive an Award. However, the 

CDFI Fund will not award an 

Application that scores in the bottom 50 

percent of the External Review score 

rankings. During the selection process, 

the CDFI Fund also reserves the right to 

modify or place restrictions on the 

Service Area requested in any 

Applicant’s Application in order to 

further these statutory objectives. 

In cases where the selecting official’s 

award determination varies significantly 

from the initial CMF Award amount 

recommended by the CDFI Fund staff 

review, the CMF Award 

recommendation will be forwarded to a 

reviewing official for final 

determination. The CDFI Fund, in its 

sole discretion, reserves the right to 

reject an Application and/or adjust CMF 

Award amounts as appropriate, based 

on information obtained during the 

review process. 

5. Insured Depository Institution 

Applicants: In the case of Applicants 

that are Insured Depository Institutions 

or Insured Credit Unions, the CDFI 

Fund will consider safety and 

soundness information from the 

Appropriate Federal Banking Agency or 

Appropriate State Agency, as 

applicable. If the Applicant is a CDFI 

Depository Institution Holding 

Company, the CDFI Fund will consider 

information provided by the 

Appropriate Federal Banking Agency 

and Appropriate State Agency about 

both the CDFI Depository Institution 

Holding Company and the CDFI Insured 

Depository Institution that will expend 

and carry out the Award. If the 

Appropriate Federal Banking Agency or 

Appropriate State Agency identifies 

safety and soundness concerns, the 

CDFI Fund will assess whether the 

concerns cause or will cause the 

Applicant to be incapable of 

undertaking the activities for which 

funding has been requested. 

6. Right of Rejection: The CDFI Fund 

reserves the right to reject an 

Application if information (including 

administrative errors) comes to the 

attention of the CDFI Fund that 

adversely affects an Applicant’s 

eligibility for an award, adversely affects 

the CDFI Fund’s evaluation or scoring of 

an Application, or indicates fraud or 

mismanagement on the Applicant’s part. 

If the CDFI Fund determines that any 

portion of the Application is incorrect 

in any material respect, the CDFI Fund 

reserves the right, in its sole discretion, 

to reject the Application. The CDFI 

Fund reserves the right to change its 

eligibility and evaluation criteria and 

procedures, if the CDFI Fund deems it 

appropriate. If said changes materially 

affect the CDFI Fund’s award decisions, 

the CDFI Fund will provide information 

regarding the changes through the CDFI 

Fund’s website. There is no right to 

appeal the CDFI Fund’s award 

decisions. The CDFI Fund’s award 

decisions are final. 

7. Anticipated Award Announcement: 

The CDFI Fund anticipates making CMF 

Award announcements in early 2019. 

VI. Federal Award Administration 

Information 

A. Award Notification: Each 

successful Applicant will receive 

notification from the CDFI Fund stating 

that its Application has been approved 

for an award. Each Applicant not 

selected for an award will receive 

notification and provided a debriefing 

document in its AMIS account. 

B. Administrative and Policy 

Requirements Prior to Entering into an 

Assistance Agreement: The CDFI Fund 

may, in its discretion and without 

advance notice to the Recipient, 

terminate the award or take other 

actions as it deems appropriate if, prior 

to entering into an Assistance 

Agreement, information (including an 

administrative error) comes to the CDFI 

Fund’s attention that adversely affects 

the following: The Recipient’s eligibility 

for an award; the CDFI Fund’s 

evaluation of the Application; the 

Recipient’s compliance with any 

requirement listed in the Uniform 

Requirements; or indicates fraud or 

mismanagement on the Recipient’s part. 

If the Recipient’s certification status 

as a CDFI changes prior to entering into 

an Assistance Agreement, the CDFI 

Fund reserves the right, in its sole 

discretion, to re-calculate the CMF 

Award, or modify the Assistance 

Agreement based on the Recipient’s 

non-CDFI status. 

By receiving notification of a CMF 

Award, the Recipient agrees that, if the 

CDFI Fund becomes aware of any 

information (including an 

administrative error) prior to the 

Effective Date of the Assistance 

Agreement that either adversely affects 

the Recipient’s eligibility for an CMF 

Award, or adversely affects the CDFI 

Fund’s evaluation of the Recipient’s 

Application, or indicates fraud or 

mismanagement on the part of the 

Recipient, the CDFI Fund may, in its 

discretion and without advance notice 

to the Recipient, rescind the notice of 

award or take other actions as it deems 

appropriate. 

The CDFI Fund reserves the right, in 

its sole discretion, to rescind an award 

if the Recipient fails to return the 

Assistance Agreement, signed by an 

Authorized Representative of the 

Recipient, and/or provide the CDFI 

Fund with any other requested 

documentation, within the CDFI Fund’s 

deadlines. 

In addition, the CDFI Fund reserves 

the right, in its sole discretion, to 

terminate and rescind the Assistance 

Agreement and the award made under 

this NOFA for any criteria described in 

Table 8: 


daltland on DSKBBV9HB2PROD with NOTICES
Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 34695 

TABLE 8—REQUIREMENTS PRIOR TO EXECUTING AN ASSISTANCE AGREEMENT

Requirement Criteria 

Failure to meet reporting requirements.• If a Recipient received a prior award or allocation under any CDFI Fund program and is not current on the reporting requirements set forth in the previously executed assistance, award, allocation, bond loan agreement(s), or agreement to guarantee, 

as of the date of the notice of award, the CDFI Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement and/or to delay making a Payment of CMF Award, until said prior Recipient or Allocatee is current on the reporting requirements in the previously executed assistance, award, allocation, bond loan agreement(s), or agreement to guarantee. 

• If such a prior Recipient or Allocatee is unable to meet this requirement within the timeframe set by the CDFI Fund, the CDFI 

Fund reserves the right, in its sole discretion, to terminate and rescind the notice of award and the CMF Award made under this

NOFA. 

• Please note that automated systems employed by the CDFI Fund for receipt of reports submitted electronically typically acknowledge only a report’s receipt; such acknowledgment does not warrant that the report received was complete, nor that it 

met reporting requirements. If said prior Recipient or Allocatee is unable to meet this requirement within the timeframe set by

the CDFI Fund, the CDFI Fund reserves the right, in its sole discretion, to terminate and rescind the notice of Award and the 

CMF Award made under this NOFA. 

Failure to maintain CDFI Certification (if applicable) or eligible 

Nonprofit Organization status 

(if applicable).

• A Recipient must be a Certified CDFI or an eligible Nonprofit Organization, as each is defined in the CMF Interim Rule and this

NOFA, prior to entering into an Assistance Agreement. 

If, at any time prior to entering into an Assistance Agreement under this NOFA, an Applicant that is a Certified CDFI has submitted reports (or failed to submit an annual certification report as instructed by the CDFI Fund) to the CDFI Fund that demonstrate noncompliance with the requirements for certification, but the CDFI Fund has yet to make a final determination regarding whether or not the entity is Certified, the CDFI Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement and/or to delay making a Payment of CMF Award, pending full resolution, in the sole determination of the 

CDFI Fund, of the noncompliance. 

• If the Applicant is unable to meet this requirement, in the sole determination of the CDFI Fund, the CDFI Fund reserves the 

right, in its sole discretion, to terminate and rescind the notice of award and the CMF Award made under this NOFA. 

Pending resolution of noncompliance.• If, at any time prior to entering into an Assistance Agreement under this NOFA, an Applicant that is a prior CDFI Fund award 

Recipient or Allocatee under any CDFI Fund program has submitted reports to the CDFI Fund that demonstrate noncompliance 

with a previous assistance, award, or allocation agreement, but the CDFI Fund has yet to make a final determination regarding 

whether or not the entity is in default of its previous assistance, award, allocation, bond loan agreement, or agreement to guarantee, the CDFI Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement and/or to delay

making a Payment of CMF Award, pending full resolution, in the sole determination of the CDFI Fund, of the noncompliance. 

• If said prior Recipient or Allocatee is unable to meet this requirement, in the sole determination of the CDFI Fund, the CDFI 

Fund reserves the right, in its sole discretion, to terminate and rescind the notice of award and the CMF Award made under this

NOFA. 

Default or Equivalent Noncompliance status.• If, at any time prior to entering into an Assistance Agreement, the CDFI Fund determines that a Recipient is in default (or 

equivalent noncompliance status) of an active, previously executed agreement with the CDFI Fund and the Recipient was provided written notification of such determination, the CDFI Fund can delay entering into an Assistance Agreement, until the Recipient has cured the default (or equivalent noncompliance status), if applicable, by taking actions the CDFI Fund has specified 

within the specified timeframe. 

Final Default and Sanctions ........ • If the CDFI Fund has found the Recipient in final default of a prior executed agreement and provided notification of sanctions,

the CDFI Fund may delay entering into an Assistance Agreement with the Recipient, impose conditions prior to entering in Assistance Agreement, or modify or rescind all or a portion of the CMF Award made under this NOFA within the time period specified in such notification. 

Compliance with Federal civil 

rights requirements.

• The CDFI Fund will terminate and rescind the Assistance Agreement and the CMF Award made under this NOFA if, prior to entering into an Assistance Agreement under this NOFA, the Recipient receives a final determination, made within the last 3 

years of the date of this NOFA, in any proceeding instituted against the Recipient in, by, or before any court, governmental, or 

administrative body or agency, declaring that the CMF Award Recipient has violated the following laws: Title VI of the Civil 

Rights Act of 1964, as amended (42 U.S.C. 2000d); Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794); the Age Discrimination Act of 1975 (42 U.S.C. 6101–6107); Title VIII of the Civil Rights Act of 1968, as amended (42 U.S.C. 3601 et seq.); 

and Executive Order 13166, Improving Access to Services for Persons with Limited English Proficiency. 

Do Not Pay .................................. • The CDFI Fund reserves the right, in its sole discretion, to rescind an award if the Recipient is identified as an ineligible Recipient in the Do Not Pay database. 

• The Do Not Pay Business Center was developed to support Federal agencies in their efforts to reduce the number of improper 

payments made through programs funded by the Federal government. 

Safety and soundness ................. • If it is determined that the Recipient is or will be incapable of meeting its CMF Award obligations, the CDFI Fund will deem the 

Recipient to be ineligible or require it to improve safety and soundness conditions prior to entering into an Assistance Agreement. 

C. Assistance Agreement: Each 

Applicant that is selected to receive an 

award under this NOFA must enter into 

an Assistance Agreement with the CDFI 

Fund in order to become a Recipient 

and receive Payment. Each CMF Award 

under this NOFA generally will have a 

period of performance that begins with 

the announcement date of the award 

and continues until the end of the 

period of affordability, as set forth at 12 

CFR 1807.401(d) and 12 CFR 1807.402, 

and as further set forth in the Assistance 

Agreement. 

1. The Assistance Agreement will set 

forth certain required terms and 

conditions of the CMF Award, which 

will include, but not be limited to: 

(a) The amount of the award; 

(b) The approved uses of the award; 

(c) The approved Service Area in 

which the award may be used; 

(d) Performance goals and measures; 

(e) Reinvestment requirements for 

Program Income; and 

(f) Reporting requirements for all 

Recipients. 

2. Prior to executing the Assistance 

Agreement, the CDFI Fund may, in its 

discretion, allow Recipients to request 

changes to the Service Area of the 

Award and certain performance goals 

and measures. The CDFI Fund, in its 

sole determination, may approve or 

reject these requested changes or 

propose other modifications, including 

a reduction in the Award amount. The 

CDFI Fund will only approve 

performance goals and measures or 

Service Area changes if it determines 

that such requested changes do not 

undermine the competitive process 

upon which the CMF Award 

determination was made. The CDFI 

Fund may also, in its discretion, provide 

Recipients the opportunity to add states 

to their Service Area in order to serve 

states not already covered in the Award 


daltland on DSKBBV9HB2PROD with NOTICES
34696 Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 

pool and to further HERA’s goal that the 

CMF serve geographically diverse areas 

of every state. Any modifications agreed 

upon prior to the execution of the 

Assistance Agreement will become a 

condition of the Award. 

3. The Assistance Agreement shall 

provide that, prior to any determination 

by the CDFI Fund that a Recipient has 

failed to comply substantially with the 

Act, the CMF Interim Rule, or the 

environmental quality regulations, the 

CDFI Fund shall provide the Recipient 

with reasonable notice and opportunity 

for hearing. If the Recipient fails to 

comply substantially with the 

Assistance Agreement, the CDFI Fund 

may: 

(a) Require changes in the 

performance goals set forth in the 

Assistance Agreement; 

(b) Reduce or terminate the CMF 

Award; or 

(c) Require repayment of any CMF 

Award that has been distributed to the 

Recipient. 

4. The Assistance Agreement shall 

also provide that, if the CDFI Fund 

determines noncompliance with the 

terms and conditions of the Assistance 

Agreement on the part of the Recipient, 

the CDFI Fund may: 

(a) Bar the Recipient from reapplying 

for any assistance from the CDFI Fund; 

or 

(b) Take such other actions as the 

CDFI Fund deems appropriate or as set 

forth in the Assistance Agreement. 

5. In addition to entering into an 

Assistance Agreement, each Applicant 

selected to receive a CMF Award must 

furnish to the CDFI Fund a certificate of 

good standing from the jurisdiction in 

which it was formed. The CDFI Fund 

may, in its sole discretion, also require 

the Applicant to furnish an opinion 

from its legal counsel, the content of 

which may be further specified in the 

Assistance Agreement, and which, 

among other matters, opines that: 

(a) The Recipient is duly formed and 

in good standing in the jurisdiction in 

which it was formed and the 

jurisdiction(s) in which it transacts 

business; 

(b) The Recipient has the authority to 

enter into the Assistance Agreement and 

undertake the activities that are 

specified therein; 

(c) The Recipient has no pending or 

threatened litigation that would 

materially affect its ability to enter into 

and carry out the activities specified in 

the Assistance Agreement; 

(d) The Recipient is not in default of 

its articles of incorporation or 

formation, bylaws or operating 

agreements, other organizational or 

establishing documents, or any 

agreements with the Federal 

government; and 

(e) The CMF affordability restrictions 

that are to be imposed by deed 

restrictions, covenants running with the 

land, or other CDFI Fund approved 

mechanisms are recordable and 

enforceable under the laws of the State 

and locality where the Recipient will 

undertake its CMF activities. 

D. Paperwork Reduction Act: Under 

the Paperwork Reduction Act (44 U.S.C. 

chapter 35), an agency may not conduct 

or sponsor a collection of information, 

and an individual is not required to 

respond to a collection of information, 

unless it displays a valid OMB control 

number. If applicable, the CDFI Fund 

may inform Applicants that they do not 

need to provide certain Application 

information otherwise required. 

Pursuant to the Paperwork Reduction 

Act, the Capital Magnet Fund 

Application has been assigned the 

following control number: 1559–0036. 

E. Reporting: The CDFI Fund will 

require each Recipient that receives a 

CMF Award through this NOFA to 

account for and report to the CDFI Fund 

on the use of the CMF Award. This will 

require Recipients to establish 

administrative controls, subject to the 

Uniform Administrative Requirements 

and other applicable OMB guidance. 

The CDFI Fund will collect information 

from each such Recipient on its use of 

the CMF Award annually following 

Payment and more often if deemed 

appropriate by the CDFI Fund in its sole 

discretion. The CDFI Fund will provide 

guidance to Recipients outlining the 

format and content of the information 

required to be provided to describe how 

the funds were used. 

The CDFI Fund may collect 

information from each Recipient 

including, but not limited to, an Annual 

Report with the components listed in 

Table 9: 

TABLE 9—REPORTING REQUIREMENTS

Criteria Description 

Single Audit Narrative Report (or 

like report).

The Recipient must submit, via AMIS, a Single Audit Narrative Report for each year of its period of performance notifying the 

CDFI Fund whether it is required to have a single audit pursuant to OMB Single Audit requirements. 

Single Audit (if applicable) ........... If a nonprofit Recipient is required to complete a Single Audit Report, it must be submitted to the Federal Audit Clearinghouse 

(see 2 CFR subpart F—Audit Requirements in the Uniform Requirements) and AMIS (optional). 

Financial Statement Audit ........... For-profit and nonprofit Recipients must submit a Financial Statement Audit (FSA) report in AMIS, performed by an independent 

certified public accountant, as specified in the Assistance Agreement. This report will not be required for Insured Credit Unions, 

Insured Depository Institutions, or Depository Institution Holding Companies. 

Performance Report .................... The Recipient must submit a performance report not less than annually, which is a progress report on the Recipient’s use of the 

CMF Award towards meeting its performance goals, affordable housing outcomes, and the Recipient’s overall performance. The 

CMF Performance Report covers the Announcement Date through the Investment Period for the CMF Award and the ten-year 

Affordability Period for each Project. The Investment Period shall mean the period beginning with the Effective Date of the Assistance Agreement and ending not earlier than the fifth year anniversary of the Effective Date, or as otherwise established in

the Assistance Agreement. The Affordability Period shall mean, for each Project, the period beginning on the date when the 

Project is placed into service and consisting of the full ten consecutive years thereafter, or as otherwise established in the Assistance Agreement. 

If the Recipient fails to meet a performance goal or reporting requirements, it must submit an explanation of noncompliance via

AMIS. 

Environmental Review ................. The Recipient shall submit the Environmental Review Notification Report each time the Recipient identifies a new proposed CMF 

project for which (i) a categorical exclusion does not apply and/or (ii) the Recipient determines that the proposed project does 

involve actions that normally require an Environmental Impact Statement, as described in 12 CFR part 1815. The Environmental Review Notification Report must be submitted to the CDFI Fund no later than ninety (90) days prior to the date that 

funds are Committed to a project. 

Each Recipient is responsible for the 

timely and complete submission of the 

annual reporting documents. The CDFI 

Fund will use such information to 

monitor each Recipient’s compliance 

with the requirements set forth in the 

Assistance Agreement and to assess the 

impact of the CMF. The CDFI Fund 

reserves the right, in its sole discretion, 

to modify these reporting requirements 

if it determines it to be appropriate and 

necessary; however, such reporting 


daltland on DSKBBV9HB2PROD with NOTICES
Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 34697 

requirements will be modified only after 

notice to Recipients. 

F. Financial Management and 

Accounting: The CDFI Fund will require 

Recipients to maintain financial 

management and accounting systems 

that comply with Federal statutes, 

regulations, and the terms and 

conditions of the CMF Award. These 

systems must be sufficient to permit the 

preparation of reports required by 

general and program specific terms and 

conditions, including the tracing of 

funds to a level of expenditures 

adequate to establish that such funds 

have been used in accordance with the 

Federal statutes, regulations, and the 

terms and conditions of the CMF 

Award. 

The cost principles used by 

Recipients must be consistent with 

Federal cost principles; must support 

the accumulation of costs as required by 

the principles; and must provide for 

adequate documentation to support 

costs charged to the CMF Award. In 

addition, the CDFI Fund will require 

Recipients to: Maintain effective 

internal controls; comply with 

applicable statutes and regulations, the 

Assistance Agreement, and related 

guidance; evaluate and monitor 

compliance; take action when not in 

compliance; and safeguard personally 

identifiable information. 

VII. Agency Contacts 

A. Availability: The CDFI Fund will 

respond to questions and provide 

support concerning this NOFA and the 

Application between the hours of 9:00 

a.m. and 5:00 p.m. ET, starting on the 

date of the publication of this NOFA 

until the close of business on the third 

business day preceding the Application 

deadline. The CDFI Fund will not 

respond to questions or provide support 

concerning the Application that are 

received after 5:00 p.m. ET on said date, 

until after the Application deadline. 

CDFI Fund IT support will be available 

until 5:00 p.m. ET on date of the 

Application deadline. Applications and 

other information regarding the CDFI 

Fund and its programs may be obtained 

from the CDFI Fund’s website at http:// 

www.cdfifund.gov/cmf. The CDFI Fund 

will post on its website responses to 

questions of general applicability 

regarding the CMF. 

B. The CDFI Fund’s contact 

information is listed in Table 10: 

TABLE 10—CONTACT INFORMATION

Type of question Preferred method Telephone No. 

(not toll free) Email addresses 

CMF ......................................................... Submit a Service Request in AMIS ........ 202–653–0421 cmf@cdfi.treas.gov. 

CDFI Certification .................................... Submit a Service Request in AMIS ........ 202–653–0423 ccme@cdfi.treas.gov. 

Compliance Monitoring and Evaluation ... Submit a Service Request in AMIS ........ 202–653–0423 ccme@cdfi.treas.gov. 

Information Technology Support ............. Submit a Service Request in AMIS ........ 202–653–0422 AMIS@cdfi.treas.gov. 

The preferred method of contact is to 

submit a Service Request (SR) within 

AMIS. For a CMF Application question, 

select ‘‘General Inquiry’’ for the record 

type and select ‘‘CMF—Application’’ for 

the type. For a CDFI Certification or 

Compliance question, select ‘‘General 

Inquiry’’ for the record type and select 

the appropriate type. For Information 

Technology, select ‘‘General Inquiry’’ 

for the record type and select ‘‘CMF– 

AMIS technical problem’’ for the type. 

Failure to select the appropriate type of 

SR could result in delays in responding 

to your question. 

C. Communication with the CDFI 

Fund: The CDFI Fund will use AMIS to 

communicate with Applicants and 

Recipients, using the contact 

information maintained in their 

respective AMIS accounts. Therefore, 

the Recipient and any Subsidiaries, 

signatories, and Affiliates must maintain 

accurate contact information (including 

contact persons and Authorized 

Representatives, email addresses, fax 

numbers, phone numbers, and office 

addresses) in its AMIS account(s). For 

more information about AMIS please 

see the Help documents posted at 

https://amis.cdfifund.gov/s/Training. 

VIII. Other Information 

The CMF regulations are set forth in 

12 CFR part 1807. 12 CFR 1807.105 

provides the CDFI Fund the ability to 

waive any part of the regulations for 

good cause: ‘‘The CDFI Fund may waive 

any requirement of this part that is not 

required by law upon a determination of 

good cause. Each such waiver shall be 

in writing and supported by a statement 

of the facts and the grounds forming the 

basis of the waiver. For a waiver in an 

individual case, the CDFI Fund must 

determine that application of the 

requirement to be waived would 

adversely affect the achievement of the 

purposes of the Act. For waivers of 

general applicability, the CDFI Fund 

will publish notification of granted 

waivers in the Federal Register.’’ 

Pursuant to this requirement, the CDFI 

Fund is publishing notification in this 

NOFA that it hereby waives a portion of 

12 CFR 1807.501 for all Recipients of 

CMF Awards. 

A. Statement of Facts: Per § 4569(h)(4) 

of HERA, grants under CMF ‘‘shall be 

committed for use within 2 years.’’ 

Pursuant to HERA, the CDFI Fund 

issued regulations through the CMF 

Interim Rule (12 CFR part 1807). 12 CFR 

1807.501(a) requires CMF Recipients to 

issue Commitments for use of the 

Award within two years of the Effective 

Date of the Assistance Agreement. 12 

CFR 1807.501(b) requires that the 

Commitment be a written, legally 

binding agreement to provide CMF 

Award proceeds to a qualifying Family, 

developer, or project sponsor for each 

specific Project. A legally-binding 

agreement means that the Recipient 

must have a counterparty to which it 

can issue the Commitment. This 

definition of Commitment effectively 

precludes CMF Award Recipients from 

Committing CMF Award dollars to an 

Affordable Housing or Economic 

Development Activity where the 

Recipient itself conducts or provides 

Loan Loss Reserves for the 

Development, Preservation, 

Rehabilitation, or Purchase of 

Affordable Housing or Economic 

Development Activity, and there is not 

a counterparty to effectuate a legallybinding agreement. 

B. Grounds for Waiver: The CDFI 

Fund has discovered that Recipients are 

varied in their business models and 

entity types and thus their ability to 

identify a separate legal entity to 

demonstrate the CMF Award is 

Committed also varies. Some Recipients 

are developers and will use their CMF 

Awards for predevelopment activities 

and thus have not created a separate 

legal entity in the early stages of a 

Project. Those Recipients that are tribal 

entities may not be able to create a 

separate legal entity due to the laws of 

their tribal government. Recipients that 

are using their CMF Award for Purchase 

often are required to have a mortgage 

lending license under state law that 

allows them to provide mortgages. Thus 


daltland on DSKBBV9HB2PROD with NOTICES
34698 Federal Register / Vol. 83, No. 140 / Friday, July 20, 2018 / Notices 

requiring a Recipient to have a legally 

binding agreement with an entity that 

has a mortgage lending license is often 

not feasible. In this scenario, it is more 

reliable to have the Recipient provide 

the mortgage financing directly to the 

Low-Income Families. The CDFI Fund 

has determined that for the purpose of 

evidencing Commitment to a Project for 

Purchase and achieving Project 

Completion for Purchase, a Recipient’s 

entire portfolio of Homeownership 

financed and/or supported with its CMF 

Award will be deemed a Project. 

For the above stated reasons, the CDFI 

Fund is issuing a general waiver herein 

of 12 CFR 1807.501(b) in cases where 

the CMF Award Recipient serves in the 

role as the developer for the Project or 

is financing and/or supporting a Project 

for Purchase and the Project is not 

owned, sponsored, or being developed 

by a limited partnership or limited 

liability company or other separate 

entity. Additionally, the CDFI Fund is 

issuing a general waiver herein of 12 

CFR 1807.501(b) in cases where the 

Recipient is committing its CMF Award 

to a Loan Loss Reserve made by the 

Recipient, where the reserve is not 

pledged to a third party or separate 

entity affiliated with the Recipient, but 

is used to reserve against losses from 

loans directly made by the Recipient. 

In lieu of a legally binding written 

agreement, such Recipients will be able 

to evidence a Commitment via a Board 

of Director’s resolution for an identified 

Project. The resolution will be required 

to be in the form and substance 

acceptable to the CDFI Fund in its sole 

discretion. The CDFI Fund has 

determined that providing this waiver 

does not adversely affect the 

achievement of the purposes of HERA. 

Authority: Pub. L. 110–289. 12 U.S.C. 

4701, 12 CFR part 1805, 12 CFR part 1807, 

12 CFR part 1815, 12 U.S.C. 4502. 

Mary Ann Donovan, 

Director, Community Development Financial 

Institutions Fund. 

[FR Doc. 2018–15473 Filed 7–19–18; 8:45 am] 

BILLING CODE 4810–70–P 

DEPARTMENT OF THE TREASURY 

Internal Revenue Service 

Proposed Collection; Comment 

Request for Regulation Project 

AGENCY: Internal Revenue Service (IRS), 

Treasury. 

ACTION: Notice and request for 

comments. 

SUMMARY: The Internal Revenue Service, 

as part of its continuing effort to reduce 

paperwork and respondent burden, 

invites the general public and other 

Federal agencies to take this 

opportunity to comment on continuing 

information collections, as required by 

the Paperwork Reduction Act of 1995. 

The IRS is soliciting comments on forms 

used by individual taxpayers: Comment 

Request focused on Form 1040 and 

Schedules 1, 2, 3, 4, 5, 6, the 

discontinuance of 1040A and 1040EZ 

and revised Form W–4. The remainder 

of the collection including Schedules A, 

B, C, C–EZ, D, E, EIC, F, H, J, R, and SE, 

Form 1040NR, Form 1040NR–EZ, Form 

1040X, and all attachments to these 

forms will be addressed on the next 

submission of the information 

collection. 

DATES: Comments should be received on 

or before September 18, 2018 to be 

assured of consideration. 

ADDRESSES: Taxpayers may submit 

comments electronically via the Federal 

eRulemaking Portal at 

www.regulations.gov (type IRS–2018– 

0015 in the search field on the 

regulation.gov homepage to find this 

notice and submit comments). All 

recommendations for guidance 

submitted by the public in response to 

this notice will be available for public 

inspection and copying in their entirety. 

Direct all written comments to Laurie 

Brimmer, Internal Revenue Service, at 

(202) 317–5756, Room 6529, 1111 

Constitution Avenue NW, Washington, 

DC 20224. 

FOR FURTHER INFORMATION CONTACT: 

Requests for additional information or 

copies of the form should be directed to 

Kerry Dennis at Internal Revenue 

Service, at (202) 317–5751 Room 6529, 

1111 Constitution Avenue NW, 

Washington, DC 20224, or through the 

internet, at omb.unit@irs.gov. 

SUPPLEMENTARY INFORMATION: 

PRA Approval of Forms Used by 

Individual Taxpayers 

Under the PRA, OMB assigns a 

control number to each ’’collection of 

information’’ that it reviews and 

approves for use by an agency. The PRA 

also requires agencies to estimate the 

burden for each collection of 

information. Burden estimates for each 

control number are displayed in (1) PRA 

notices that accompany collections of 

information, (2) Federal Register notices 

such as this one, and (3) OMB’s 

database of approved information 

collections. 

Taxpayer Burden Model 

The IRS uses the Individual Taxpayer 

Burden Model (ITBM) to estimate the 

burden experienced by individual 

taxpayers when complying with Federal 

tax laws. The model was developed 

using a survey of tax year 2015 

individual taxpayers that was fielded in 

2016 and 2017. The approach to 

measuring burden focuses on the 

characteristics and activities undertaken 

by individual taxpayers in meeting their 

tax return filing obligations. 

Burden is defined as the time and outof-pocket costs incurred by taxpayers in 

complying with the Federal tax system. 

Out-of-pocket costs include any 

expenses incurred by taxpayers to 

prepare and submit their tax returns. 

Examples include tax return preparation 

fees, the purchase price of tax 

preparation software, submission fees, 

photocopying costs, postage, and phone 

calls (if not toll-free). 

The methodology distinguishes 

among preparation method, taxpayer 

activities, taxpayer type, filing method, 

and income level. Indicators of tax law 

and administrative complexity, as 

reflected in the tax forms and 

instructions, are incorporated into the 

model. 

Preparation methods reflected in the 

model are as follows: 

• Self-prepared without software, 

• Self-prepared with software, and 

• Use of a paid preparer or tax 

professional. 

Types of taxpayer activities reflected 

in the model are as follows: 

• Recordkeeping, 

• Tax planning, 

• Gathering tax materials, 

• Use of services (IRS and other), 

• Form completion, and 

• Form submission. 

Taxpayer Burden Estimates 

Summary level results from fiscal year 

2018 using this methodology are 

presented below. The data shown were 

the best forward-looking estimates 

available for income tax returns filed for 

tax year 2017. 

The burden estimates were based on 

tax year 2017 statutory requirements as 

of January 31, 2018 for taxpayers filing 

a tax year 2017 Form 1040, 1040A, or 

1040EZ tax return. Time spent and outof-pocket costs are presented separately. 

Time burden is broken out by taxpayer 

activity, with record keeping 

representing the largest component. 

Out-of-pocket costs include any 

expenses incurred by taxpayers to 

prepare and submit their tax returns. 

Examples include tax return preparation 

and submission fees, postage and 

photocopying costs, and tax preparation 

software costs. 

Reported time and cost burdens are 

national averages and do not necessarily 

reflect a ‘‘typical’’ case. Most taxpayers 


daltland on DSKBBV9HB2PROD with NOTICES