Laserfiche WebLink
investment, pre -development loan funds, participation leases, or other public-private <br />partnership arrangements. <br />HOME Investment Partnerships Program (HOME) Funds <br />HOME eligible program activities include: (1) Homeowner Rehabilitation; (2) Homebuyer <br />Activities; (3) Rental Housing; and (4) Tenant -Based Rental Assistance (TBRA). For <br />affordable housing development, the City of Santa Ana provides HOME funds as a loan <br />to affordable housing developers, with a 3% interest rate for a 55 -year term repaid by <br />residual receipt payments. <br />HOME funds can be used for the following costs: new construction projects; <br />rehabilitation; reconstruction; conversion; site improvements; acquisition of property; <br />acquisition of vacant land; demolition; relocation costs; refinancing; capitalization of <br />project reserves; and project -related soft costs. <br />Prohibited activities and costs under the HOME program include: project reserve <br />accounts; TBRA for certain purposes; match for other federal programs; public housing; <br />acquisition of city -owned property; payment of delinquent taxes, fees, or charges; and <br />project -based rental assistance. <br />Requirements for HOME -funded projects include, but are not limited, to the following <br />requirements. HOME funds must be used for households at or below 80% AMI with <br />HOME rents determined annually by U.S. Department of Housing and Urban <br />Development (HUD). HOME -funded properties must meet certain minimum property <br />standards, which are outlined in the City's Property Standards. The HOME affordability <br />period is 5 to 20 years depending on the HOME assistance; however, the City's <br />affordability period is 55 -years for all rental projects. The City monitors these units <br />during the affordability period for compliance through on-site physical inspections, <br />review of tenant files and programmatic requirements, and annual reports. The City is <br />required to meet prescribed timeliness requirements to commit within 2 -years and <br />expend within 5 -years of receiving the HOME funds. Allocation of funds must go <br />through a competitive Request for Proposals (RFP) process per 24 CFR PART 85 <br />Administrative Requirements for Grants. <br />Community Development Block Grant (CDBG) Funds <br />CDBG eligible program activities related to housing include: (1) homeowner assistance; <br />(2) rental rehabilitation activities; (3) homeowner rehabilitation activities; (4) housing <br />services in connection with the HOME Program; and (5) acquisition of existing housing. <br />Prohibited activities and costs under the CDBG program, as related to affordable <br />housing development, includes: operating and maintenance expenses, and new <br />housing construction projects. <br />65A-10 <br />