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§ 7751. Selection Criteria.

25 CA ADC § 7751Barclays Official California Code of Regulations

Barclays California Code of Regulations
Title 25. Housing and Community Development
Division 1. Housing and Community Development
Chapter 7. Department of Housing and Community Development Programs
Subchapter 9. Calhome Program Requirements
Article 9. Application Procedures
25 CCR § 7751
§ 7751. Selection Criteria.
Currentness
(a) Applications shall not be considered for funding unless the application is received by the deadline as stated in the NOFA and demonstrates that all of the following conditions exist:
(1) The application contains substantially all of the information required by Section 7750 and contains sufficient information to allow the Department to apply the rating factors set forth in subsection (b) of this Section.
(2) the applicant is eligible;
(3) the applicant proposes an eligible activity;
(4) the applicant proposes an eligible use of the funds;
(5) the applicant does not have any unresolved audit findings for prior Department or federally-funded housing or community development projects or programs;
(6) the applicant has no pending lawsuits that would impact implementation of the program or project for which funding is being requested;
(7) if the application is for a development project, construction on the project has not yet begun; and
(8) the proposed program or project is consistent with any special terms and conditions of the NOFA (e.g., maximum amounts for downpayment assistance, sales price, development loan).
(b) Each application considered for funding shall be rated using the following criteria and maximum possible rating points. The maximum points an application may receive shall not exceed 1,000 points. Applications must receive a minimum of 550 points to be considered for funding.
(1) Capability to operate the local proposed program, administer and conduct the self-help technical assistance project, or develop the type of homeownership project proposed in the application as follows (up to 400 points):
(A) prior experience with administration/implementation of the type of program proposed in the application; or
(B) prior experience in developing the type of homeownership development project or self-help technical assistance homeownership project as proposed in the application; and
(C) prior experience with loan servicing or a plan to provide loan servicing/management capabilities.
(2) Community need in a geographic area of the proposed local program or project will be based on one or more of the following factors: poverty level and overpayment for housing by low-income households, age of housing stock in the jurisdiction, numbers and percentages of substandard housing units, overcrowding of housing by tenure (including rental and ownership housing) in the jurisdiction, and percentages of households that are below poverty level and who are overcrowded and living in substandard housing by tenure, as reflected in U.S. Census data; and the ratio between the median home sales price and the median household income in the jurisdiction. The specific community need factors that will apply to each activity will be identified in the NOFA. (up to 150 points)
(3) Feasibility of the proposed activity as demonstrated by either of the following (up to 250 points):
(A) for applications proposing local program activities, the extent to which the proposed local program is responding to a community need. Feasibility will be determined by statistical indicators based on single-source data readily available to the Department for all potential jurisdictions that may apply for CalHome funding.
(i) For mortgage assistance programs, feasibility will be based on U.S. Census Bureau data regarding the percentage of low-income homeownership in a jurisdiction, the ratio of the CalHome appraised value limits relative to the CalHome median income for a four-person household. From data supplied by the California Association of Realtors, the number of homes sold in the previous 12 months in a jurisdiction at or below the median sales price for the jurisdiction. The higher the percentage of low-income homeowners, the higher the points awarded. The higher the ratio of housing cost to income, the higher the points awarded. The higher the number of homes sold at or below median sales price the higher the points awarded.
(ii) For owner-occupied rehabilitation, feasibility will be based on U.S. Census Bureau data regarding the percentage of low-income households that are currently homeowners, the number of overcrowded households, and the age of the housing stock. The higher the percentage of low-income homeowners, the higher the points awarded. The higher the percentage of pre-1980 homes, the higher the points awarded. The higher the number of overcrowded households, the higher the points awarded.
(iii) For shared housing, feasibility will be determined by the U. S. Department of Housing and Urban Development's (HUD) fair market rent (FMR) for a one-bedroom unit as a percentage of CalHome median income (AMI) for a one-person household and U.S. Census Bureau data on the jurisdiction vacancy rate. The higher the ratio of FMR to AMI, and the lower the vacancy rate, the higher the points awarded.
(B) for applications proposing a homeownership development project or a self-help technical assistance homeownership project:
(i) the readiness of the project development to proceed as evidenced by the status of local government approvals; project financing commitments; resolution to impediments to development; and
(ii) evidence of ability to serve low- and very low-income households pursuant to the mortgage assistance underwriting requirements stated in Section 7731, as evidenced by the development budget and proposed unit sales prices.
(iii) feasibility will be based on U.S. Census Bureau data regarding percentage of low-income homeownership in a jurisdiction and the ratio of the CalHome appraised value limits relative to the CalHome median income for a four-person household. The higher the percentage of low-income homeowners, the higher the points awarded. The higher the ratio of housing cost to income, the higher the points awarded.
(4) Contributes to community revitalization as defined in Section 7716(g) or meets a legislatively mandated priority for funds allocated to the CalHome Program. (up to 100 points)
(5) Volunteer Labor, Self-Help Labor or Youth Construction Skills Training Program (up to 100 points)
Applications applying for homeownership development projects, self-help technical assistance homeownership projects, or a mortgage assistance local program for new construction housing or acquisition with rehabilitation when the recipient is acquiring and rehabilitating properties for sale to first-time homebuyers, will receive up to 100 points to the extent that they are utilizing:
(A) volunteer or self-help construction labor, where a minimum of five hundred (500) hours of on-site construction labor per assisted unit is provided; or
(B) labor provided by youth participating in a construction skills training program, where a minimum of five hundred (500) hours of on-site construction labor per assisted unit is provided. The five hundred (500) hours of construction training labor must be provided by the 16 to 24 year old program participants.
(c) Performance Penalty (50 points) A deduction to the total score will be applied for failure to meet CalHome Program Performance Goals pursuant to Section 7755.

Credits

Note: Authority cited: Sections 50406(n) and 50650.2, Health and Safety Code. Reference: Sections 50650.4 and 50650.7, Health and Safety Code.
History
1. New section filed 9-29-2003; operative 9-29-2003 pursuant to Government Code section 11343.4 (Register 2003, No. 40).
This database is current through 6/21/24 Register 2024, No. 25.
Cal. Admin. Code tit. 25, § 7751, 25 CA ADC § 7751
End of Document