UNITS OF GENERAL LOCAL GOVERNMENT (VILLAGE, CITY, TOWN OR COUNTY), EXCLUDING METROPOLITAN CITIES, URBAN COUNTIES AND INDIAN TRIBES

The New York State Housing Trust Fund Corporation's Office for Small Cities announces the availability of approximately $40 million in Small Cities Community Development Block Grant funding for the 2008 Annual Competitive Round and the 2008 Open Round Economic Development Programs.

PROGRAM DESCRIPTION

The New York State Small Cities Community Development Block Grant Program (Small Cities CDBG) is a federally funded program authorized by Title I of the Housing and Community Development Act of 1974 that is administered by the Office for Small Cities (OFSC). The Small Cities CDBG Program provides funding to Small Cities eligible communities for the development of projects that provide decent and hazard-free affordable housing, access to safe drinking water, proper disposal of household wastewater, access to community-needed services in local facilities, foster microenterprise activities and economic opportunities through the support of projects that create and/or retain permanent employment opportunities that principally benefit low-and moderate-income persons. Activities funded under the Small Cities CDBG Program must benefit low-and moderate-income persons, aid in the prevention or elimination of slums or blight or meet community development needs having a particular urgency. 70% of Small Cities CDBG funds must benefit low-and moderate-income persons.

ELIGIBLE APPLICANTS

Eligible applicants are units of general local government (village, city, town or county), excluding metropolitan cities, urban counties and Indian Tribes. Cities, towns and villages having a population under 50,000, and counties with an un-incorporated population under 200,000 are eligible to apply for Small Cities CDBG funding. Questions regarding eligibility should be directed to OFSC.

ELIGIBLE ACTIVITIES

Annual Competitive Round Program

Funding under the 2008 Annual Competitive Round may be used by eligible applicants for community development projects in the categories of: Housing (rehabilitation, homeownership, private water/ wastewater system assistance or construction of new affordable housing), Public Facility and Infrastructure and Microenterprise. A community may propose a project that addresses a particular area of need or may propose a project that undertakes a strategy that comprehensively addresses community development needs within a particular area. OFSC encourages communities to propose projects that are creative and innovative in addressing their community development needs.

Economic development projects, other than microenterprise, submitted under the Annual Competitive Round Program will only be considered if part of a comprehensive grant proposal. Proposals for Economic Development projects should be submitted under the Open Round Economic Development Program.

Open Round Economic Development Program

Under the Open Round Economic Development Program, Small Cities' eligible communities may undertake economic development activities that create and/or retain permanent, private sector job opportunities that principally benefit low- and moderate-income persons, through the expansion and retention of business and industry in New York State. Small Cities CDBG Economic Development grant funds are considered gap financing and are designed to leverage the maximum feasible amount of private and/or other public financing.

OFSC typically provides funding for economic development activities for the following purposes:

Small Cities CDBG funds may only be used for the construction or rehabilitation of commercial property, or its supporting infrastructure (e.g., water or sewer lines), when a private business has committed itself to utilizing the property for a business purpose that will result in the creation or retention of the requisite number of jobs principally for low-and moderate-income persons.

Market driven businesses (e.g., restaurant, retail) will only be considered when development of that business is an integral part of a comprehensive or geographically-targeted community revitalization effort. Start-up businesses will be considered on a case-by-case basis.

Applicants for the Open Round Economic Development Program must apply to the OFSC on behalf of the end user of the Small Cities CDBG funds. The OFSC makes awards directly to the applicant and does not make direct loans or grants to businesses.

FUNDING LIMITS

Annual Competitive Round Grants

The OFSC may approve applications for projects which exceed the maximum FTE job created/retained or the funding limit where it is found that a project or projects may have a significant impact beyond the immediate benefit of jobs created or retained inasmuch as the project/business may realize a potential for regional or even statewide economic impact. However, the State will not approve an application where the maximum expenditure per FTE job created/retained exceeds $35,000.

APPLICATION FOR FUNDING

Annual Competitive Round Program

The 2008 Annual Competitive Round Application will be available on the Office for Small Cities' website, www.nysmallcities.org on January 16, 2008. Applications are due no later than April 21, 2008. Applications are to be forwarded or hand-delivered to: The Office for Small Cities, Hampton Plaza, 38-40 State Street, Albany, NY 12227. If mailed, applications must be postmarked no later than April 21, 2008. If hand-delivered, it must be delivered by April 21, 2008, no later than 4:00 p.m.

The above-stated application deadline is firm as to date and hour. In the interest of fairness to all competing applicants, OFSC will consider applications not received by 4:00 p.m. on, or postmarked by, April 21, 2008 ineligible. Applicants should make early submission of their materials to avoid any risk of loss of eligibility brought about by unanticipated delays or other delivery-related problems.

Open Round Economic Development Program

Interested applicants must contact the OFSC and complete the preliminary evaluation process to determine if economic development project, as proposed, meets CDBG program and OFSC selection requirements. Based upon the information provided during the preliminary evaluation process, the applicant may then be invited to submit an application for funding.

Beginning January 16, 2008 eligible applicants may start the preliminary evaluation process. To obtain a copy of the Local Governments' Guide to The Office for Small Cities CDBG Economic Development Program, please visit our website at www.nysmall cities.com. Questions about the 2008 Annual Competitive Round or the Open Round Economic Development Programs and the applicability of either program for a community development project should be directed to OFSC at the earliest opportunity at 518-474-2057.

MUNICIPALITIES AND NOT-FOR PROFIT ORGANIZATIONS INCLUDING CHARITABLE AND FAITH BASED ORGANIZATIONS ARE ELIGIBLE TO APPLY

Applications will be accepted through (02/04/2008) for HIP/SHIP funds. Hip/Ship must provide supportive services designed to stabilize households and to prevent homelessness; and for those who are currently homeless to facilitate the transition from homelessness to permanent housing. OTDA will utilize HIP/SHIP funds to pay providers for the achievement of designated contract outcomes which place and maintain a household in affordable, permanent housing and/or successful prevention of an eviction and maintenance of the household in affordable, permanent housing.

For an application, contact: Monique Ann Marshall, Office of Temporary and Disability Assistance, Bureau of Housing Services, 40 N. Pearl St., 10B, Albany, NY 12243, (518) 473-6440, e-mail: [email protected]