[Federal Register Volume 66, Number 29 (Monday, February 12, 2001)]
[Notices]
[Pages 9820-9823]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-3510]


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DEPARTMENT OF AGRICULTURE

Rural Housing Service


Request for Proposals (RFP): Demonstration Program for 
Agriculture, Aquaculture, and Seafood Processor Worker Housing Grants

AGENCY: Rural Housing Service, USDA.

ACTION: Notice.

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SUMMARY: The Rural Housing Service (RHS) announces the availability of 
funds, the timeframe to submit proposals, and the guidelines for 
proposals for agriculture, aquaculture, and seafood processor worker 
housing grants in the States of Mississippi and Alaska. Public Law 106-
387 (Department of Agriculture, Rural Development, Food and Drug 
Administration, and Related Agencies Act, 2001) authorizes RHS to 
establish a demonstration program to provide financial assistance 
(grants) for agriculture, aquaculture, and seafood processing workers 
in the States of Mississippi and Alaska. This RFP requests proposals 
from qualified private and public nonprofit agencies, cooperatives, 
state and local governments, and tribal organizations in Mississippi 
and Alaska to construct housing for agriculture, aquaculture, and 
seafood processing workers. Any one project may not receive grant funds 
of more than $1.5 million from this program. At least one project in 
Alaska and one project in Mississippi will be funded under this 
program. Housing facilities constructed under this RFP are expected to 
increase the supply of housing for agriculture, aquaculture, and 
seafood processing workers in markets where adequate housing is not 
available.

DATES: The deadline for receipt of all applications in response to this 
RFP is 5 p.m., Eastern Standard Time, on May 14, 2001. The application 
closing deadline is firm as to date and hour. RHS will not consider any 
application that is received after the closing deadline. Applicants 
intending to mail applications must provide sufficient time to permit 
delivery on or before the closing deadline. Acceptance by a post office 
or private mailer does not constitute delivery. Facsimile (FAX), COD, 
and postage due applications will not be accepted.

ADDRESSES: Applications should be submitted to the USDA-Rural Housing 
Service; Attention: David Layfield, Senior Loan Specialist, USDA, Rural 
Housing Service, Multi-Family Housing Processing Division, STOP 0781, 
Room 1239, 1400 Independence Ave., SW., Washington, DC 20250-0781. RHS 
will date and time certify incoming applications to evidence timely 
receipt and, upon request, will provide the applicant with a written 
acknowledgement of receipt.

FOR FURTHER INFORMATION CONTACT: For further information and an 
application package including all required forms, contact David 
Layfield, Senior Loan Specialist, USDA, Rural Housing Service, Multi-
Family Housing Processing Division, Stop 0781, Room 1239, 1400 
Independence Avenue, SW., Washington, DC 20250-0781, telephone (202) 
720-1604. (This is not a toll-free number.)

SUPPLEMENTARY INFORMATION:

Paperwork Reduction Act

    Under the Paperwork Reduction Act, 44 U.S.C. 3501 et seq., OMB must 
approve all ``collections of information'' by the Rural Housing 
Service. The Act defines ``collection of information'' as a requirement 
for ``answers to * * * identical reporting or recordkeeping 
requirements imposed on ten or more persons * * *.'' (44 U.S.C. 
3502(3)(A).) Because this RFP will receive less than 10 respondents, 
the Paperwork Reduction Act does not apply.

General Information

    The agriculture, aquaculture, and seafood processor worker housing 
grants authorized by Public Laws 106-387 and 106-554 are for the 
purpose of developing a housing demonstration program for agriculture, 
aquaculture, and seafood processor worker housing in markets in 
Mississippi and Alaska that have a demonstrated need for housing for 
such workers. Under Public Laws 106-387 and 106-554, RHS has the 
authority to award $5,000,000 in grant funds for a housing 
demonstration program for agriculture, aquaculture, and seafood 
processor workers in Mississippi and Alaska.

[[Page 9821]]

I. Purpose

    Public Laws 106-387 and 106-554 authorized funds to the Department 
to implement a demonstration grant program for the construction of 
housing for agriculture, aquaculture, and seafood processing workers in 
Mississippi and Alaska.
    The demonstration program has been designed to increase the supply 
of rental housing for a growing segment of the population whose needs 
are not currently being met. The program is expected to provide housing 
opportunities for processing workers in markets that cannot support 
other forms of conventional and government housing models. Developers 
of housing under this program will receive a grant of up to 75% of the 
Total Development Cost (TDC) of the project. TDC includes all hard 
costs, soft costs, initial operating reserves, administrative fees, 
furnishings and equipment, and related facilities.
    Housing constructed under this program may not receive RHS Rental 
Assistance or Operating Subsidies authorized under 7 U.S.C. 1490a for 
payment of tenant rents. Project financial models should be structured 
to work without rental subsidies while keeping rents affordable for the 
target population.
    Projects should be located close to tenants' workplaces and 
services as much as feasible. Location of the project is limited to 
rural areas as defined in 42 U.S.C. 1490.

II. Project Threshold Criteria

    All applications must meet the minimum threshold requirements 
contained in this RFP. The threshold criteria are as follows:

A. Occupancy Requirements

    Eligibility for residency in facilities constructed under this RFP 
is limited to individuals and families who earn at least 40% of their 
income from the processing of agriculture, aquaculture, and seafood 
commodities and earn less than or equal to 60% of the National Median 
Income for a family of four as reported by the U.S. Census Bureau. 
Residents must be United States citizens or legally admitted for 
permanent residence.

B. Eligible Grantees

    Eligibility for grants under this notice is limited to private and 
public nonprofit agencies, non-profit cooperatives, state and local 
governments, and tribal organizations. Applicants must possess the 
experience, knowledge, and capacity to develop affordable multifamily 
housing in rural areas.

C. Grant Limit

    A grant under this RFP may fund up to and including 75% of a 
project's Total Development Cost (TDC). TDC includes all hard costs, 
soft costs, initial operating reserves, administrative fees, 
furnishings and equipment, and related facilities. In addition, any one 
project may not receive grant funds of more than $1.5 million from this 
program. At least one project in Alaska and one project in Mississippi 
will be funded by this program.

D. Eligible Costs

    Eligible costs for grants under this RFP include all project 
related costs including all hard costs, soft costs, initial operating 
reserves, administrative fees, furnishings and equipment, and related 
facilities.

E. Term of Use

    The project will remain in use for the intended purpose for the 
life of the project as required under 7 CFR. 3015, 3016, or 3019, as 
applicable. These provisions require the grant recipient to use the 
real property for the authorized purpose of the project as long as it 
is needed.

F. Site Control

    The developer must own or demonstrate evidence of site control of 
the proposed site. At a minimum, site control should extend 180 days 
past the date of application submission and is preferred to be for one 
year. Proof of site control should be submitted with the application. 
This can be in the form of a contract of sale, option agreement, long-
term lease agreement, or deed or other documentation of ownership by 
the applicant. The applicant must exercise care in site selection. Site 
approval is subject to completion of an environmental assessment by RHS 
and sites with environmental problems will increase the amount of time 
necessary to complete this assessment. Proposals which will directly or 
indirectly impact protected resources, such as floodplains or wetlands, 
can require consideration of alternative sites, changes in project 
design, or the implementation of other mitigation measures to lessen 
adverse effects on the environment.

G. Zoning

    A zoning designation adequate to develop the type of housing and 
number of units proposed is required. Evidence of proper zoning must be 
included with the application. Where there is a clear plan to have a 
site rezoned, a narrative explaining the situation and detailing the 
process and timeline for rezoning may be accepted.

H. Utilities

    Adequate capacity to connect the project to water, sewer, 
electricity, and telephone services must be demonstrated. Letters from 
utility providers must be included in the application. If on-site 
utilities are proposed, engineering reports indicating correct soil 
types, adequate land capacity, etc. must be included in the 
application.

I. Market Demand

    Projects funded under this RFP must be in markets with demonstrated 
need for agriculture, aquaculture, and seafood processing worker 
housing. All applications should include documentation of this need in 
the form of a market analysis, survey, or other documentation of need.

J. Design Characteristics

    Housing constructed under this demonstration may be of any 
architectural style as long as it is permitted by local zoning laws, 
meets all applicable building codes, and fits with the character of the 
surrounding community. Building design is subject to the requirements 
of section 504 of the Rehabilitation Act of 1973, the Americans with 
Disabilities Act, the Fair Housing Act, and any state or local 
accessibility requirements. For these reasons, buildings must be 
designed and constructed in accordance with the Uniform Federal 
Accessibility Standards, the Americans with Disabilities Act 
Accessibility Guidelines, the Fair Housing Act Accessibility 
Guidelines, and any state or local standards.

K. Civil Rights

    Title VI of the Civil Rights Act of 1964 prohibits recipients of 
Federal financial assistance from discriminating in their programs and 
activities on the basis of race, color, or national origin. It also 
requires recipients (1) to sign a civil rights assurance agreement 
(i.e., Form RD 400-4), (2) to collect statistical data on race and 
national origin, (3) submit to the Agency timely, complete, and 
accurate compliance reports so that the Agency can determine compliance 
with program regulations and applicable civil rights laws, and (4) to 
disseminate information to the public stating that the recipient 
operates a program that is subject to the non-discrimination 
requirements of Title VI and briefly explain the procedures for filing 
complaints.

[[Page 9822]]

    Section 504 of the Rehabilitation Act of 1973 prohibits recipients 
of Federal financial assistance from discriminating against persons 
with disabilities and requires recipients to make their programs and 
activities accessible to, and usable by, persons with disabilities.
    The Fair Housing Act (Title VIII of the Civil Rights Act of 1968, 
as amended by the Housing Amendments Act of 1988) prohibits 
discrimination because of race, color, religion, sex, handicap, 
familial status, and national origin in the sale, rental, or 
advertising of dwellings in providing services or availability of 
residential real estate transactions.
    The Age Discrimination Act of 1975 prohibits recipients of Federal 
financial assistance from discriminating in their programs and 
activities on the basis of age.
    As part of the grant proposal, the applicant must provide (1) a 
notice of all civil rights law suits filed against it; (2) a 
description of assistance applications they have pending in other 
Agencies and of Federal assistance being provided; (3) a description of 
any civil rights compliance reviews of the applicant during the 
preceding two years; and (4) a statement as to whether the applicant 
has been found in noncompliance with any civil rights requirements.
    Successful applicants have a duty to affirmatively further fair 
housing. Proposals will include specific steps that the applicant will 
take to promote and ensure and affirmatively further fair housing.
    In the event Federal financial assistance will be used to obtain or 
improve real property, instruments of conveyance shall contain a 
covenant running with the land assuring non-discrimination for the 
period the real property is used for the same or similar purpose for 
which the Federal financial assistance is being extended, or for 
another purpose involving the provision of similar services or 
benefits. The covenant shall be as follows:
    ``The property described herein was obtained or improved with 
Federal financial assistance and is subject to the provisions of Title 
VI of the Civil Rights Act of 1964, section 504 of the Rehabilitation 
Act of 1973, the Age Discrimination Act of 1975, and the regulations 
issued thereto. This covenant is in effect for as long as the property 
continues to be used for the same or similar purpose for which the 
financial assistance was extended, or for as long as the above 
recipient owns it, whichever is longer.''
    Contractors must comply with the Equal Employment Opportunity 
Executive Order 11246, as amended by Executive Orders 11478 and 13087, 
and construction contracts must contain the specific non-discrimination 
language that is required by the Executive Order.
    Before funds are disbursed, a pre-award civil rights compliance 
review will be conducted by the Agency to determine whether the 
applicant is, and will be, in compliance with Title VI of the Civil 
Rights Act of 1964, section 504 of the Rehabilitation Act of 1973, the 
Fair Housing Act, and the Age Discrimination Act of 1975. In addition, 
the Agency will conduct a Civil Rights Impact Analysis.

L. Environmental Requirements

    All applications are subject to satisfactory completion of the 
appropriate level of environmental review by RHS in accordance with 7 
CFR part 1940, subpart G. For the purposes of 7 CFR part 1940, subpart 
G, applications under this RFP will be considered multi-family 
projects.
    All applications are subject to the requirements of Executive Order 
12898, ``Federal Actions to Address Environmental Justice in Minority 
Populations and Low-income Populations,'' as further addressed in 
Administrative Notice 3548(2006-P), dated April 28, 2000 (available via 
the Internet at http://rdinit.usda.gov/regs).
    All applications are subject to the flood insurance requirements of 
7 CFR part 1806, subpart B, and Administrative Notice No. 3538(426.2), 
dated June 6, 2000 (available via the Internet at http://rdinit.usda.gov/regs).

M. Applicable Regulations

    All grants funded under this program must meet the requirements of 
7 CFR 3015 and 3016 or 3019, as applicable, RD Instructions 1924-A (7 
CFR part 1924, subpart A), and 1924-C (7 CFR part 1924, subpart C).

III. Proposal Format

A. Proposals must include the following:
    1. SF-424 ``Application for Federal Assistance''.
    2. Applicant Financial Statements.
    3. HUD 935.2 ``Affirmative Fair Housing Marketing Plan''.
    4. RD 1944-30 and 1944-31 ``Identity of Interest'' forms.
    5. HUD 2530 ``Previous Participation Certification''.
    6. RD 1924-13 ``Estimate and Certificate of Actual Cost''.
    7. RD 1930-7 ``Multiple Family Housing Project Budget'' including 
rent schedule and operating and maintenance budget.
    8. RD 1940-20 ``Request for Environmental Information''.
    9. Statement of applicants experience in developing multifamily 
housing.
    10. A Sources and Uses Statement showing all sources of funding 
included in the proposed project. The terms and schedules of all 
sources included in the project should be included in the Sources and 
Uses Statement.
    11. Applicant organizational documents (articles of incorporation, 
by laws, etc.).
    12. Narrative description of the proposed project including 
description of site, housing, amenities, etc.
    13. A location map showing the site and surrounding services.
    14. Evidence of site control.
    15. Evidence of proper zoning or explanation of how proper zoning 
will be achieved.
    16. Evidence of utilities availability or evidence that the site is 
suitable for on-site utilities.
    17. A description of any related facilities including justification 
and cost of such facilities.
    18. Schematic design drawings including a site plan, building 
elevations, and floor plans.
    19. Outline design specifications.
    20. A statement agreeing to pay any cost overruns from the 
applicants own sources.
    21. Documentation of need in the form of a market study, survey, or 
other sources.
    22. If seeking points under Evaluation Criteria, a copy of the 
Tenant Services Plan.
    23. If seeking points under Evaluation Criteria, documentation 
verifying the unemployment rate of the place where the project is 
located.
B. The above items are required for the RFP response. If a proposal is 
accepted for further processing, there will be additional submittals 
required.

IV. Evaluation Criteria

A. Leveraging (Up to 20 Points)

    Points will be awarded based on the percent of non-RHS funds 
specifically identified and designated to supplement RHS funds. 
Leveraged funds may include donated land per 7 CFR part 1944 subpart E. 
In the case of donated land, the amount of leveraging will be 
determined by an opinion of value to be prepared by a licensed 
appraiser. Points will be awarded as follows:

------------------------------------------------------------------------
                     Percent of leveraging                        Points
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Over 50%.......................................................       20
36% to 50%.....................................................       10
25% to 35%.....................................................        5
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[[Page 9823]]

B. Tenant Services (Up to 25 Points)

    Points will be awarded based on the presence of and extent to which 
a tenant services plan exists that clearly outlines services that will 
be provided to residents of the proposed project.
    These services include but are not limited to:
    1. Day care or before and after school child care.
    2. Computer learning centers.
    3. Homeownership and budget counseling.
    4. Parenting programs for young parents (such as family support 
centers), parenting skills sessions for all interested parents, and 
parent and child activities.
    5. Literacy programs (such as book clubs, toddler reading programs, 
and story groups), libraries, and book sharing groups or centers.
    6. Art activities or art centers for children that include 
painting, photography, ceramics, etc.
    7. Health education and referral or health care outreach centers.
    8. Job training and preparation centers.
    9. Housing services and/or community coordinators.
    10. Mentoring programs where young adults mentor adolescents or 
more established adults mentor other adults.
    11. Community meeting centers.
    12. Recreation centers located within housing complexes.
    13. Nutritional services.
    14. Transportation services.
    A tenant services plan must be submitted with the application to 
receive points under this criteria. Points may be awarded based on the 
extent to which the plan is comprehensive, well defined, feasible, 
appropriate for the proposed tenant population, innovative, and 
involves a unique collaboration, partnership, ownership or management 
structure. Projects that include on-site services must be designed to 
include the necessary physical space for the services. Letters or 
agreements documenting a service provider's involvement with the 
project should be submitted. Five points will be awarded for each 
resident service included in the tenant services plan up to a maximum 
of 25 points.

C. High Unemployment (Up to 10 Points)

    Points will be awarded to projects which are located in counties, 
boroughs, or census areas that are characterized by high unemployment 
levels. Evidence of unemployment rates must be included in the 
application to receive points under this criterion. All rates must be 
the 2000 annual average as reported by the state agency responsible for 
recording and reporting unemployment rates in the proposed state. 
Points will be awarded as follows:

------------------------------------------------------------------------
                       Unemployment rate                          Points
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<gr-thn-eq>10%.................................................       10
<gr-thn-eq>6%10%...............................................        5
------------------------------------------------------------------------

V. Review Process

    All proposals will be received, evaluated, and accepted or rejected 
by a RHS grant committee. The grant committee will consist of three RHS 
National Office staff and two RHS staff from the state where the 
project is located.
    The grant committee will inform applicants of proposal acceptance 
for further processing or rejection within 30 days of the closing date 
of the RFP.
    If the proposal is accepted for further processing, the applicant 
will be expected to submit additional information prior to grant 
obligation. In addition, RHS must complete the appropriate level of 
environmental review prior to grant obligation. The applicant is 
expected to assist RHS, as necessary, in the development of this 
environmental review.
    Prior to grant obligation, the grant recipient shall enter into a 
grant agreement with the RHS which shall outline the roles and 
responsibilities of both parties. A sample grant agreement will be made 
available to the grant recipient prior to grant obligation.

VI. RHS Monitoring

    During construction, RHS will take part in periodic progress 
meetings at the project site and shall inspect completed work. RHS 
approval of work completed must be given before grant funds can be 
disbursed for that work.
    RHS monitoring shall continue throughout the useful life of the 
project or until the grant is terminated under provisions established 
in 7 CFR parts 3015, 3016, and 3019. Monitoring shall consist of 
initial and annual tenant certifications, civil rights compliance 
reviews, tri-annual physical inspections, annual proposed and actual 
operating budgets, and annual audits. If other funding sources involved 
in the project require reporting, those formats may be used in place of 
RHS methods as long as those formats meet RHS requirements.
    Tenants and grantees must execute an Agency-approved tenant 
certification form establishing the tenant's eligibility prior to 
occupancy. In addition, tenant households must be recertified and must 
execute a tenant certification form at least annually.
    Grantees will submit to a tri-annual (once every three years) 
physical inspection of the project. RHS will inspect for health and 
safety issues, deferred maintenance, and other physical problems that 
can endanger the provision of decent, affordable housing to the target 
population on a long-term basis.
    Annual proposed and actual operating and maintenance budgets will 
be required to insure that all project needs are being met and all RHS 
guidelines are being followed. The form of operating and maintenance 
budgets will be designated by RHS.
    The grantee must submit to RHS annual audits of the project 
finances in accordance with the requirements established by OMB, in 
accordance with Departmental requirements in 7 CFR part 3052.

    Dated: January 19, 2001.
James C. Kearney,
Administrator, Rural Housing Service.
[FR Doc. 01-3510 Filed 2-9-01; 8:45 am]
BILLING CODE 3410-XV-U