Foa_Content_of_FR-6800-N-19.pdf

U.S. Department of Housing and Urban Development

Community Planning and Development

Self-Help Homeownership Opportunity Program (SHOP)

FR-6800-N-19

12/17/2024

Table of Contents

OVERVIEW

I. FUNDING OPPORTUNITY DESCRIPTION

A. Program Description

B. Authority

II. AWARD INFORMATION

A. Available Funds

B. Number of Awards

C. Minimum/Maximum Award Information

D. Period of Performance

E. Type of Funding Instrument

III. ELIGIBILITY INFORMATION

A. Eligible Applicants

B. Ineligible Applicants

C. Cost Sharing or Matching

D. Threshold Eligibility Requirements

E. Statutory and Regulatory Requirements Affecting Eligibility

F. Program-Specific Requirements

G. Criteria for Beneficiaries

IV. APPLICATION AND SUBMISSION INFORMATION

A. Obtain an Application Package

B. Content and Form of Application Submission

C. System for Award Management (SAM) and Unique Entity Identifier (UEI)

D. Application Submission Dates and Times

E. Intergovernmental Review

F. Funding Restrictions

V. APPLICATION REVIEW INFORMATION

A. Review Criteria

B. Review and Selection Process

VI. AWARD ADMINISTRATION INFORMATION

A. Award Notices

B. Administrative, National and Departmental Policy Requirements and Terms for HUD Applicants and Recipients of Financial Assistance Awards

C. Reporting

D. Debriefing

VII. AGENCY CONTACT(S)

VIII. OTHER INFORMATION

APPENDIX

Program Office:

Community Planning and Development

Funding Opportunity Title:

Self-Help Homeownership Opportunity Program (SHOP) Funding Opportunity Number:

FR-6800-N-19

Assistance Listing Number:

14.247 Due Date for Applications:

12/17/2024

OVERVIEW

The U.S. Department of Housing and Urban Development (HUD) issues this Notice of Funding Opportunity (NOFO) to invite applications from eligible applicants for the program and purpose described within this NOFO. You, as a prospective applicant, should carefully read all instructions in all sections to avoid sending an incomplete or ineligible application. HUD funding is highly competitive. Failure to respond accurately to any submission requirement could result in an incomplete, ineligible, or noncompetitive proposal.

In accordance with Title 24 part 4, subpart B of the Code of Federal Regulations (CFR), during the selection process (which includes HUD’s NOFO development and publication, and concludes with the announcement of the selection of recipients of assistance), HUD is prohibited from disclosing covered selection information. Examples of impermissible disclosures include:

1) information regarding any applicant’s relative standing; 2) the amount of assistance requested by any applicant; and 3) any information contained in the application. Prior to the application deadline, HUD may not disclose the identity of any applicant or the number of applicants who have applied for assistance.

For further information regarding this NOFO, direct questions regarding the specific requirements of this NOFO to the agency contact identified in section VII.

Paperwork Reduction Act Statement. In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. §§ 3501- 3520) (PRA), the Office of Management and Budget (OMB) approved the information collection requirements in this NOFO. HUD may not conduct or sponsor, and a person is not required to respond to a collection of information unless the collection displays a valid OMB control number. This NOFO identifies the applicable OMB control number, unless the collection of information is excluded from these requirements under 5 CFR Part 1320.

OMB Control Number(s):

2506-0157

I. FUNDING OPPORTUNITY DESCRIPTION

A. Program Description

1. Purpose

The Self-Help Homeownership Opportunity Program (SHOP) awards grant funds to eligible national and regional non-profit organizations and consortia to purchase home sites and develop or improve the infrastructure needed to set the stage for sweat equity and volunteer-based homeownership programs for low-income persons and families.

https://www.ecfr.gov/current/title-24/subtitle-A/part-4/subpart-B https://www.ecfr.gov/current/title-5/chapter-III/subchapter-B/part-1320?toc=1

Through this NOFO, HUD is making $12,000,000 of FY 2024 SHOP grant funds available to national and regional non-profit organizations and consortia. SHOP units must be decent, safe, and sanitary non-luxury dwellings that comply with state and local codes, ordinances, and zoning requirements, and with all other SHOP requirements.

Only national and regional non-profit organizations and consortia with experience providing self-help homeownership housing programs are eligible to apply. Applicants must propose to use a significant amount of SHOP grant funds in at least two states. Individuals are not eligible applicants for SHOP grant funds. Applications received from individuals will not be reviewed by HUD.

Land acquisition, infrastructure improvements, and reasonable and necessary planning and administration costs (not to exceed 20 percent) are the only eligible uses for SHOP grant funds.

The average SHOP expenditure for the combined cost of land acquisition and infrastructure improvements cannot exceed $25,000 per SHOP unit. Successful applicants must leverage other public and private funds to pay for the construction or rehabilitation costs of each SHOP unit and for any other program costs that are not assisted with SHOP grant funds.

The SHOP units must be sold to homebuyers at prices below the prevailing market price.

Homebuyers must be low-income and must contribute a significant amount of sweat equity towards the development of the SHOP units. Reasonable accommodations must be made, whenever necessary to afford individuals with disabilities with equal opportunity to use and enjoy a dwelling. This includes making reasonable accommodations with respect to the sweat equity requirement. A homebuyer’s sweat equity contribution cannot be mortgaged or otherwise restricted upon future sale of the SHOP unit. Volunteer labor is also required.

SHOP Grantees may award SHOP grant funds to local non-profit affiliate organizations to carry out the Grantee’s SHOP program. These affiliate organizations must be located within the Grantee’s service area.

2. HUD and Program-Specific Goals and Objectives

HUD’s Strategic Plan sets the direction and focus of our programs and staff to create strong, sustainable, inclusive communities and quality, affordable homes for all. This NOFO supports HUD’s Strategic Plan for Fiscal Years (FY) 2022-2026 to accomplish HUD’s mission and vision. Each of the five goals in the Strategic Plan include what HUD hopes to accomplish, the strategies to accomplish those objectives, and the indicators of success.

HUD will pursue two overarching priorities focused on increasing equity and improving customer experience across all HUD programs. Five strategic goals and several objectives undergird the Plan; however the following goals are applicable to this NOFO.

You are expected to align your application to the applicable strategic goals and objectives below.

Use the information in this section to describe in your application the specific goals, objectives, and measures that your project is expected to help accomplish. If your project is selected for funding, you are also expected to establish a plan to track progress related to those goals, objectives, and measures. HUD will monitor compliance with the goals, objectives, and measures in your project.

https://www.hud.gov/HUD-FY22-26-Strategic-Plan-Focus-Areas https://www.hud.gov/HUD-FY22-26-Strategic-Plan-Focus-Areas

Applicable Goals and Objectives from HUD’s Strategic Plan Strategic Goal 1: Support Underserved Communities Fortify support for underserved communities and support equitable community development for all people.

1A: Advance Housing Justice Fortify support for vulnerable populations, underserved communities, and Fair Housing enforcement.

1B: Reduce Homelessness Strengthen Federal, State, Tribal, and community implementation of the Housing First approach to reducing the prevalence of homelessness, with the ultimate goal of ending homelessness.

1C: Invest in the Success of Communities Promote equitable community development that generates wealth-building for underserved communities, particularly for communities of color.

Strategic Goal 2: Ensure Access to and Increase the Production of Affordable Housing Ensure housing demand is matched by adequate production of new homes and equitable access to housing opportunities for all people.

2A: Increase the Supply of Housing Enhance HUD's programs that increase the production and supply of housing across the country.

2B: Improve Rental Assistance Improve rental assistance to address the need for affordable housing.

Strategic Goal 3: Promote Homeownership Promote homeownership opportunities, equitable access to credit for purchase and improvements, and wealth-building in underserved communities.

3A: Advance Sustainable Homeownership Advance the deployment of tools and capital that put sustainable homeownership within reach.

3A: Major Initiative: Expand Homeownership Opportunities Promote financing for innovative ownership models to increase the availability of affordable housing.

3B: Create a More Accessible and Inclusive Housing Finance System Advance new policy, programs, and modernization initiatives that support a more equitable housing finance system. Promote the preservation and creation of affordable housing stock.

Strategic Goal 4: Advance Sustainable Communities Advance sustainable communities by strengthening climate resilience and energy efficiency, promoting environmental justice, and recognizing housing's role as essential to health.

4A: Guide Investment in Climate Resilience Invest in climate resilience, energy efficiency, and renewable energy across HUD programs.

4B: Strengthen Environmental Justice Reduce exposure to health risks, environmental hazards, and substandard housing, especially for low-income households and communities of color.

4C: Integrate Health and Housing Advance policies that recognize housing's role as essential to health.

To purchase home sites and develop or improve the infrastructure needed to set the stage for sweat equity and volunteer-based homeownership programs for low-income persons and families.

3. Changes from Previous NOFO

The following changes have been made from the previous NOFO:

• Plan to Affirmatively Further Fair Housing and Experience Promoting Racial Equity are no longer rated subfactors.

• Narratives (not to exceed 2 pages) must be provided for Advancing Racial Equity, Affirmative Marketing, Experience Promoting Racial Equity, and Affirmative Furthering Fair Housing. Please see Section III.F for more details.

• The Historically Black Colleges and Universities (HBCUs) Preference Point is no longer offered. Applicants working with HBCUs may select the Minority Serving Institutions (MSIs) Preference Point.

• Rural Partners Network Community Network and Rural Partners Network Preference Points are offered for this NOFO.

• Explanation of what is considered a default under the SHOP program as referenced in Section VI. Award Administration Information, B. Administrative, National and Departmental Policy Requirements and Terms for HUD Applicants and Recipients of Financial Assistance Awards, Remedies for Noncompliance.

4. Definitions

a. Standard Definitions

Affirmatively Furthering Fair Housing (AFFH) means taking meaningful actions, in addition to combating discrimination to overcome patterns of segregation and foster inclusive communities free from barriers that restrict access to opportunity based on protected characteristics. Specifically, affirmatively furthering fair housing means taking meaningful actions that, taken together, address significant disparities in housing needs and in access to opportunities, replacing segregated living patterns with truly integrated and balanced living patterns, transforming racially and ethnically concentrated areas of poverty into areas of opportunity, and fostering and maintaining compliance with civil rights and fair housing laws.

The duty to affirmatively further fair housing extends to all program participant’s activities and programs relating to housing and urban development.

Assistance Listing number refers to the unique number assigned to each Federal assistance program publicly available in the Assistance Listing, which is managed and administered by the General Services Administration. The Assistance Listing number was formerly known as the Catalog of Federal Domestic Assistance (CFDA) number.

Authorized Organization Representative (AOR) is a person authorized to legally bind your organization and submit applications via Grants.gov. The AOR is authorized by the E-Business Point of Contact (E-Biz POC) in the System for Award Management (see E-Biz POC definition).

An AOR may include an Expanded AOR and/or a Standard AOR.

Expanded Authorized Organization Representative is a user in Grants.gov who is authorized by the E-Biz POC to perform the functions of a Standard AOR, initiate and submit applications on behalf of your organization, and is allowed to modify organization-level settings and certifications in Grants.gov.

Standard Authorized Organization Representative is a user in Grants.gov who is authorized by the E-Biz POC to initiate and submit applications in Grants.gov. A Grants.gov user with the Standard AOR role can only submit applications when they are a Participant for that workspace.

Consolidated Plan is the document submitted to HUD that serves as the comprehensive housing affordability strategy, community development plan, and submission for funding under any of the Community Planning and Development formula grant programs (e.g., CDBG, ESG, HOME, and HOPWA). This Plan is prepared in accordance with the process described in 24 CFR part 91.

This plan is completed by engaging in a participatory process to assess affordable housing and community development needs and market conditions, and to make data-driven, place-based investment decisions with funding from formula grant programs. (See 24 CFR part 91 for HUD’s requirements regarding the Consolidated Plan and related Action Plan).

Contract means, for the purpose of Federal financial assistance, a legal instrument by which a recipient or subrecipient purchases property or services needed to carry out the project or program under a Federal award. For additional information on contractor and subrecipient determinations, see 2 CFR 200.331.

Contractor means an entity that receives a contract as defined above and in 2 CFR 200.1.

Cooperative agreement has the same meaning defined at 2 CFR 200.1.

Deficiency, with respect to the making of an application for funding, is information missing or omitted within a submitted application. Examples of deficiencies include missing documents, missing or incomplete information on a form, or some other type of unsatisfied information requirement. Depending on specific criteria, a deficiency may be either Curable or Non-Curable.

A Curable Deficiency is missing or incomplete application information that may be corrected by the applicant with timely action. To be curable, the deficiency must:

• Not be a threshold requirement, except for documentation of applicant eligibility;

• Not influence how an applicant is ranked or scored versus other applicants; and

• Be remedied within the time frame specified in the notice of deficiency.

A Non-Curable Deficiency is missing or incomplete application information that cannot be corrected by an applicant after the submission deadline. A non-curable deficiency is a deficiency that is a threshold requirement, or a deficiency that, if corrected, would change an applicant’s score or rank versus other applicants. If an application includes a non-curable deficiency, the application may receive an ineligible determination, or the non-curable deficiency may otherwise adversely affect the application’s score and final funding determination.

E-Business Point of Contact (E-Biz POC) is an individual associated with the applicant organization who is responsible for the administration and management of award activities for the applicant organization. The E-Biz POC is likely to be an organization's chief financial officer https://www.ecfr.gov/current/title-24/subtitle-A/part-91 https://www.ecfr.gov/current/title-24/subtitle-A/part-91 https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200/subpart-D/subject-group-ECFR031321e29ac5bbd/section-200.331 https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200 or authorizing official. The E-Biz POC authorizes representatives of their organization to apply on behalf of the organization (see Authorized Organization Representative definition). There can only be one E-Biz POC per unique entity identifier (see definition of Unique Entity Identifier below).

Eligibility requirements are mandatory requirements for an application to be eligible for funding.

Environmental Justice means investing in environmental improvements, remedying past environmental inequities, and otherwise developing, implementing, and enforcing environmental laws and policies in a manner that advances equity and provides meaningful involvement for people and communities that have been environmentally underserved or overburdened, such as Black and Brown communities, indigenous groups, and individuals with disabilities. This definition does not alter the requirements under HUD’s regulations at 24 CFR 58.5(j) and 24 CFR 50.4(l) implementing Executive Order 12898. E.O. 12898 requires a consideration of how Federally assisted projects may have disproportionately high and adverse human health or environmental effects on minority and/or low-income populations. For additional information on environmental review compliance, refer to:

https://www.hud.gov/program_offices/comm_planning/environment_energy/regulations.

Equity has the meaning given to that term in Section 2(a) of Executive Order 13985 and means the consistent and systematic fair, just, and impartial treatment of all individuals, including individuals who belong to underserved communities that have been denied such treatment, such as Black, Latino, and Indigenous and Native American persons, Asian Americans and Pacific Islanders and other persons of color; members of religious minorities; lesbian, gay, bisexual, transgender, and queer (LGBTQ+) persons; persons with disabilities; persons who live in rural areas; and persons otherwise adversely affected by persistent poverty or inequality.

Federal award, has the meaning, depending on the context, in either paragraphs (1) or (2) of this definition:

(1)

(a) The Federal financial assistance that a recipient receives directly from a Federal awarding agency or indirectly from a pass-through entity, as described in 2 CFR 200.101; or

(b) The cost-reimbursement contract under the Federal Acquisition Regulations that a non- Federal entity receives directly from a Federal awarding agency or indirectly from a pass- through entity, as described in 2 CFR 200.101.

(2) The instrument setting forth the terms and conditions. The instrument is the grant agreement, cooperative agreement, other agreement for assistance covered in paragraph (2) of the definitions of Federal financial assistance in 2 CFR 200.1, and this NOFO, or the cost-reimbursement contract awarded under the Federal Acquisition Regulations.

(3) Federal award does not include other contracts that a Federal agency uses to buy goods or services from a contractor or a contract to operate Federal Government owned, contractor operated facilities (GOCOs).

https://www.ecfr.gov/current/title-24/subtitle-A/part-58/subpart-A/section-58.5 https://www.ecfr.gov/current/title-24/subtitle-A/part-50/subpart-A/section-50.4 https://www.ecfr.gov/current/title-24/subtitle-A/part-50/subpart-A/section-50.4 https://www.archives.gov/files/federal-register/executive-orders/pdf/12898.pdf https://www.hud.gov/program_offices/comm_planning/environment_energy/regulations https://www.federalregister.gov/documents/2021/01/25/2021-01753/advancing-racial-equity-and-support-for-underserved-communities-through-the-federal-government https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200 https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200

(4) See also definitions of Federal financial assistance, grant agreement, and cooperative agreement in 2 CFR 200.1.

Federal Financial Assistance has the same meaning defined at 2 CFR 200.1.

Grants.gov is the website serving as the Federal government’s central portal for searching and applying for Federal financial assistance throughout the Federal government. Registration on Grants.gov is required for submission of applications to prospective agencies unless otherwise specified in this NOFO.

Green and Resilient Building Standard means an industry-recognized standard incorporating both:

(1) Certification under (i) Enterprise Green Communities, (ii) Leadership in Energy and Environmental Design (LEED) (New Construction, Homes, Midrise, Existing Buildings Operations and Maintenance, or Neighborhood Development), (iii) International Code Council (ICC)-700 National Green Building Standard Green+ Resilience; or the (iv) Living Building Challenge, or (v) a regional standard such as Earth Advantage New Homes; or (vi) any other equivalent comprehensive green building program acceptable to HUD; and

(2) Minimum energy efficiency requirements, such as those defined in (i) ENERGY STAR (Certified Homes or Multifamily High-Rise), (ii) DOE Zero Energy Ready Home; (iii) Passive House Institute Passive Building or EnerPHit certification from the Passive House Institute US (PHIUS), International Passive House Association; or (iv) any other equivalent energy efficiency standard acceptable to HUD.

Historically Black Colleges and Universities (HBCUs) are any historically Black college or university that was established prior to 1964, whose principal mission was, and is, the education of Black Americans, and that is accredited by a nationally recognized accrediting agency or association determined by the Secretary of Education to be a reliable authority as to the quality of training offered or is, according to such an agency or association, making reasonable progress toward accreditation. A list of accredited HBCUs can be found at the U.S. Department of Education’s website.

Minority-Serving Institutions (MSIs) are

(1) a part B institution (as defined in 20 U.S.C. § 1061(2));

(2) a Hispanic-serving institution (as defined in 20 U.S.C. § 1101a(5));

(3) a Tribal College or University (as defined in 20 U.S.C. § 1059c(b)(3));

(4) an Alaska Native-serving institution or a Native Hawaiian-serving institution (as defined in 20 U.S.C. § 1059d(b));

(5) a Predominantly Black Institution (as defined in 20 U.S.C. § 1059e(b)(6));

(6) an Asian American and Native American Pacific Islander-serving institution (as defined in 20 U.S.C. § 1059g(b)(2)); or

(7) a Native American-serving nontribal institution (as defined in 20 U.S.C. § 1059f(b)(2)).

https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200 https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200 https://sites.ed.gov/whhbcu/one-hundred-and-five-historically-black-colleges-and-universities/ https://sites.ed.gov/whhbcu/one-hundred-and-five-historically-black-colleges-and-universities/ https://www.govinfo.gov/content/pkg/USCODE-2020-title20/pdf/USCODE-2020-title20-chap28-subchapIII-partB-sec1061.pdf https://www.govinfo.gov/content/pkg/USCODE-2020-title20/pdf/USCODE-2020-title20-chap28-subchapV-partA-sec1101a.pdf https://www.govinfo.gov/content/pkg/USCODE-2015-title20/pdf/USCODE-2015-title20-chap28-subchapIII-partA-sec1059c.pdf https://www.govinfo.gov/content/pkg/USCODE-2015-title20/pdf/USCODE-2015-title20-chap28-subchapIII-partA-sec1059d.pdf https://www.govinfo.gov/content/pkg/USCODE-2020-title20/pdf/USCODE-2020-title20-chap28-subchapIII-partA-sec1059e.pdf https://www.govinfo.gov/content/pkg/USCODE-2020-title20/pdf/USCODE-2020-title20-chap28-subchapIII-partA-sec1059g.pdf https://www.govinfo.gov/content/pkg/USCODE-2020-title20/pdf/USCODE-2020-title20-chap28-subchapIII-partA-sec1059g.pdf https://www.govinfo.gov/content/pkg/USCODE-2020-title20/pdf/USCODE-2020-title20-chap28-subchapIII-partA-sec1059f.pdf

Non-Federal Entity (NFE) means a state, local government, Indian tribe, Institution of Higher Education (IHE), or non-profit organization that carries out a Federal award as a recipient or subrecipient.

Primary Point of Contact (PPOC) is the person who may be contacted with questions about the application submitted by the AOR. The PPOC is listed in item 8F on the SF-424.

Promise Zones (PZs) are high poverty areas in select urban, rural and tribal communities designated from 2014-2016 where the Federal government partners with local leaders to increase economic activity, improve educational opportunities, leverage private investment, reduce violent crime, enhance public health and address other priorities identified by the community.

See Promise Zones.

Racial Equity is the elimination of racial disparities and is achieved when race can no longer predict opportunities, distribution of resources, or outcomes – particularly for Black and Brown persons.

Recipient means an entity, usually but not limited to non-Federal entities, that receives a Federal award directly from HUD. The term recipient does not include subrecipients or individuals that are beneficiaries of the award.

Rural Partners Network (RPN) is an all-of-government program that helps rural communities find resources and funding to create jobs, build infrastructure, and support long-term economic stability on their own terms. The RPN is central to President Biden’s commitment to ensuring that rural Americans have the opportunity to succeed – and that they can find that opportunity in rural America. Through the Rural Partners Network, the Administration is marshaling the combined resources of the federal agencies and other providers to partner directly with rural people and places and unlock the full potential of rural America.

Rural Partners Network (RPN) Community Networks (CN) are designated rural places by the Federal government. When being considered for an RPN CN, rural stakeholders were asked to define their geographic footprint, and their “community network” and select a “Host Entity.”

The “Host Entity” leads the local collaborations and partnerships. These RPN CNs are a collaboration among local leaders, residents, civic and business organizations, nonprofits, service providers, development agencies, and others representing the diversity of the region’s population and perspectives. The RPN CN Host Entity and their stakeholders have defined their geographic footprint for their community network, which can be a single county – or can include multiple counties and towns in a geographically-distinct rural region. The official list of RPN CN is located on the Rural.gov website.

Small business is defined as a privately-owned corporation, partnership, or sole proprietorship that has fewer employees and less annual revenue than regular-sized business. The definition of “small”—in terms of being able to apply for government support and qualify for preferential tax policy—varies by country and industry. The U.S. Small Business Administration defines a small business according to a set of standards based on specific industries. See 13 CFR part 121.

Subaward means an award provided by a pass-through entity to a subrecipient for the subrecipient to carry out part of a Federal award received by the pass-through entity. It does not include payments to a contractor or payments to an individual that is a beneficiary of a Federal https://www.hud.gov/program_offices/field_policy_mgt/fieldpolicymgtpz http://www.rural.gov https://www.ecfr.gov/current/title-13/chapter-I/part-121?toc=1 program. A subaward may be provided through any form of legal agreement, including an agreement that the pass-through entity considers a contract.

Subrecipient means an entity, usually but not limited to non-Federal entities, that receives a subaward from a pass-through entity to carry out part of a Federal award but does not include an individual that is a beneficiary of such award. A subrecipient may also be a recipient of other Federal awards directly from a Federal awarding agency.

System for Award Management (SAM) is the Federal Repository into which an entity must provide information required for the conduct of business as a recipient. Registration with SAM is required for submission of applications via Grants.gov. You can access the website at https://www.sam.gov/SAM/. There is no cost to use SAM.

Threshold Requirements are eligibility requirements that must be met for an application to be reviewed, rated, and ranked. Threshold requirements are not curable, except for documentation of applicant eligibility, which are listed in Section III.D., Threshold Eligibility Requirements.

Similarly, there are eligibility requirements under Section III.E., Statutory and Regulatory Requirements Affecting Eligibility.

Underserved Communities has the meaning given to that term in Section 2(b) of Executive Order 13985 and refers to populations sharing a particular characteristic, as well as geographic communities, that have been systematically denied a full opportunity to participate in aspects of economic, social, and civic life, as exemplified by the list in the definition of “equity” above.

Unique Entity Identifier (UEI) means the identifier assigned by SAM to uniquely identify entities. As of April 4, 2022, the Federal government has transitioned from the use of the DUNS Number to the use of UEI, as the primary means of entity identification for Federal awards government-wide.

b. Program Definitions.

(1) Lots Acquired - Lots acquired using SHOP funds that will be used for construction or rehabilitation of a SHOP Unit and conveyance to a SHOP eligible homebuyer.

(2) Units Under Construction - Units for which ground has been broken and construction is underway but not completed.

(3) Units Completed - Units for which a Certificate of Occupancy has been issued but the units have not been conveyed.

(4) Units Conveyed - Units for which titles have been conveyed to SHOP eligible homebuyers.

(5) Units Occupied - Units occupied by SHOP eligible homebuyers.

(6) Letter of firm commitment – A letter of commitment from an applicant’s partner organization by which the partner (a) agrees to perform an activity specified in the application,

(b) demonstrates the financial capacity to deliver the resources necessary to carry out the activity, and (c) commits the resources to the activity, either in cash or through in-kind contributions.

B. Authority SHOP is authorized by Section 11 of the Housing Opportunity Program Extension Act of 1996 (Public Law 104-120, as amended, 42 U.S.C. 12805 note, referred to as the “SHOP” statute).

HUD's authority for making funding available under this NOFO is the Consolidated Appropriations Act, 2024 (Public Law 118-42 approved March 09, 2024).

https://www.sam.gov/SAM/ https://www.federalregister.gov/documents/2021/01/25/2021-01753/advancing-racial-equity-and-support-for-underserved-communities-through-the-federal-government

II. AWARD INFORMATION

A. Available Funds Funding of approximately $12,000,000 is available through this NOFO. Subject to appropriations, HUD reserves the right to award fiscal year 2025 funds based on this NOFO competition.

Additional funds may become available for award under this NOFO consistent with VI.A.2.e., Adjustments to Funding. Use of these funds is subject to statutory constraints. All awards are subject to the funding restrictions contained in this NOFO.

B. Number of Awards HUD expects to make approximately 7 awards from the funds available under this NOFO.

C. Minimum/Maximum Award Information Estimated Total Funding:

$12,000,000 Minimum Award Amount:

$1,145,000 Per Project Period

Maximum Award Amount:

$12,000,000 Per Project Period

D. Period of Performance The Grantee must expend all SHOP grant funds within 24 months of the date that HUD makes the SHOP grant funds available for drawdown in the Grantee’s line of credit. Grantees are subject to 24-month expenditure deadlines unless they are providing SHOP funds to an affiliate or subrecipient developing five or more SHOP units.

However, grant funds provided to a SHOP affiliate that develops five or more SHOP units must be expended within 36 months of the date that HUD makes the SHOP grant funds available for drawdown in the Grantee’s line of credit. The Grantee must convey all SHOP units in order to meet the 36-month deadline requirement.

The Grantee’s administrative costs directly related to the management and oversight of affiliates developing five or more SHOP units must also be expended within 36 months of the date the SHOP grant funds are made available in the Grantee’s line of credit. HUD will establish a 24-month period of performance in the Disaster Recovery Grant Reporting (DRGR) system. Sixty

(60) days before the expiration date of this 24-month period of performance, the Grantee must notify HUD in accordance with instructions in the grant agreement of any affiliates that are developing five or more SHOP units and have not fully drawn down their SHOP grant funds in

DRGR.

Estimated Project Start Date:

03/20/2025 Estimated Project End Date:

03/20/2028 Length of Project Periods:

36-month project period and budget period

Length of Periods Explanation of Other:

Timely Performance. The Grantee and its affiliates must develop and convey all SHOP units within 36 months of the end of the applicable period of performance. HUD may grant an extension to a Grantee’s performance schedule only when justified by good cause. HUD will require corrective actions when a Grantee fails to satisfy its approved schedule. HUD will note any failure to perform as required under the award as poor performance which may negatively affect an applicant’s future SHOP funding.

E. Type of Funding Instrument Funding Instrument Type:

G (Grant)

III. ELIGIBILITY INFORMATION

A. Eligible Applicants 12 (Nonprofits having a 501(c)(3) status with the IRS, other than institutions of higher education)

25 (Others (see text field entitled "Additional Information on Eligibility" for clarification))

Additional Information on Eligibility Eligible applicants include public or private non-profit organizations, or a consortium of public or private non-profit organizations, that have the capacity and experience to provide or facilitate self-help homeownership opportunities on a national or regional basis. Grantees must directly undertake eligible SHOP activities and/or enter into a written agreement with one or more non-profit affiliate organizations to carry out eligible SHOP activities.

The term “you” as used in this NOFO refers to the SHOP applicant, including all consortium members. The term “consortium” refers to all consortium members. The term “Grantee” refers to a successful SHOP applicant, including all consortium members, that have been awarded SHOP grant funds under this NOFO. The term “affiliate” refers to an eligible non-profit organization that is an affiliate of a SHOP grantee.

a. Eligible SHOP Applicant

(i) National Organization. A national organization is a public or private non-profit organization that carries out self-help homeownership housing activities or funds affiliates that carry out self-help homeownership housing activities on a national scale.

(ii) Regional Organization. A regional organization is a public or private non-profit organization that carries out self-help homeownership housing activities or funds affiliates that carry out self-help homeownership housing activities on a regional scale. A regional area is a geographic area, such as the Southwest or Northeast that includes at least two states. The states in the region need not be contiguous, and the service area of the organization need not precisely conform to state boundaries.

(iii) Consortium. A consortium is two or more public or private non-profit organizations located in at least two states that enter into an agreement to submit a single application for SHOP grant funds to carry out self-help homeownership housing activities on a national or regional basis. Individual consortium members may carry out self-help homeownership housing activities or fund affiliates to carry out self-help homeownership housing activities. The consortium must designate one member as the lead entity to act on behalf of all consortium members. The lead entity must be responsible and accountable for the timely performance and compliance of all consortium members. The consortium must execute a new written agreement with each affiliate that is participating in the consortium's FY2024 SHOP program. The consortium cannot amend a prior written agreement.

b. Affiliate Organization ("Affiliate") Applicants may undertake eligible SHOP activities directly and/or enter into a written agreement with one or more non-profit, affiliate organizations to carry out the SHOP activities. If the applicant will use affiliate organizations, the affiliate must satisfy the following:

(i) Type of Organization: Your affiliates must be:

(a) Subordinate Organization. A local non-profit self-help homeownership housing organization that is a subordinate organization (i.e., chapter, local, post, or unit) of your central organization and covered by the group exemption issued to the central organization under section 501(c) (3) or 501(c)(4) of the Internal Revenue Code; or

(b) Organization with an Existing Relationship. A local non-profit self-help homeownership housing organization with which you have an existing relationship (e.g., you have provided technical assistance, mentoring or funding to the local self-help homeownership housing organization); or

(c) Organization with a Future Relationship. A local non-profit self-help homeownership housing organization with which you do not have an existing relationship, but to which you will provide technical assistance, mentoring or funding in accordance with your SHOP application.

(ii) Service Area. Your affiliate must be located within your service area.

(iii) Written Agreement. You must have a written agreement with each of your affiliates that incorporates the requirements of this NOFO. Your written agreement must describe the SHOP responsibilities of your affiliate. If you are a consortium, each of your affiliates must be linked to an individual consortium member by a written agreement. You must execute a new written agreement with each affiliate that is participating in your FY2024 SHOP program. You cannot amend a prior written agreement.

c. Planning and Administrative Costs

Planning and Administrative Costs are defined as any reasonable administrative and planning expenses relating to carrying out program activities which include general management, oversight, and coordination. Eligible planning and administrative costs may include but are not limited to, salaries, wages, and general management, oversight, and coordination of SHOP program activities. Up to 20% of the grant award may be used for planning and administrative costs.

Faith-based organizations

(1) Faith-based organizations may apply for this award on the same basis as any other organization, as set forth at 24 CFR part 5.109, and subject to the protections and requirements of 42 U.S.C. § 2000bb et seq., HUD will not, in the selection of recipients, discriminate against an organization based on the organization’s religious character, affiliation, or exercise.

(2) A faith-based organization that participates in this program will retain its independence and may continue to carry out its mission consistent with religious freedom and conscience protections in Federal law, including the Free Speech and Free Exercise Clauses of the Constitution, 42 U.S.C. § 2000bb et seq., 42 U.S.C. § 238n, 42 U.S.C. § 18113, 42 U.S.C. §§ 2000e-1(a) and 2000e-2€, 42 U.S.C. § 12113(d), and the Weldon Amendment, among others.

Religious accommodations may also be sought under many of these religious freedom and conscience protection laws, particularly under the Religious Freedom Restoration Act.

(3) A faith-based organization may not use direct financial assistance from HUD to support or engage in any explicitly religious activities except where consistent with the Establishment Clause and any other applicable requirements. Such an organization also may not, in providing services funded by HUD, discriminate against a beneficiary or prospective program beneficiary on the basis of religion, religious belief, a refusal to hold a religious belief, or a refusal to attend or participate in a religious practice.

B. Ineligible Applicants Individuals, foreign entities, and sole proprietorship organizations are not eligible to compete for, or receive, awards made under this announcement.

C. Cost Sharing or Matching This Program does not require cost sharing or matching, but provides points based on leverage, as described below.

Generally, federal sources are not allowed to be used as cost share or match unless otherwise permitted by a program’s authorizing statute.

There is no matching requirement for SHOP; however, the Grantee must leverage resources for the cost of construction and/or rehabilitation of self-help homeownership housing units assisted with SHOP grant funds, and for any other program costs that are not funded with SHOP grant funds. Refer to SHOP NOFO “Rating Factor 4: Leveraging Resources.”

D. Threshold Eligibility Requirements Applicants who fail to meet any of the following threshold eligibility requirements are deemed ineligible. Applications from ineligible applicants are not rated or ranked and will not receive HUD funding.

1. Resolution of Civil Rights Matters https://www.ecfr.gov/current/title-24/subtitle-A/part-5#p-5.109

Outstanding civil rights matters must be resolved before the application submission deadline.

Applicants with unresolved civil rights matters at the application deadline are deemed ineligible.

Applications from ineligible applicants are not rated or ranked and will not receive HUD funding.

a. An applicant is ineligible for funding if the applicant has any of the charges, cause determinations, lawsuits, or letters of findings referenced in subparagraphs (1) – (5) that are not resolved to HUD’s satisfaction before or on the application deadline date for this NOFO.

(1) Charges from HUD concerning a systemic violation of the Fair Housing Act or receipt of a cause determination from a substantially equivalent state or local fair housing agency concerning a systemic violation of a substantially equivalent state or local fair housing law proscribing discrimination because of race, color, religion, sex (including sexual orientation and gender identity), national origin, disability or familial status;

(2) Status as a defendant in a Fair Housing Act lawsuit filed by the United States alleging a pattern or practice of discrimination or denial of rights to a group of persons raising an issue of general public importance under 42 U.S.C. § 3614(a);

(3) Status as a defendant in any other lawsuit filed or joined by the Department of Justice, or in which the Department of Justice has intervened, or filed an amicus brief or statement of interest, alleging a pattern or practice or systemic violation of Title VI of the Civil Rights Act of 1964, Section 504 of the Rehabilitation Act of 1973, Section 109 of the Housing and Community Development Act of 1974, the Americans with Disabilities Act, Violence Against Women Act, or a claim under the False Claims Act related to fair housing, non-discrimination, or civil rights generally including an alleged failure to affirmatively further fair housing;

(4) Receipt of a letter of findings identifying systemic non-compliance with Title VI of the Civil Rights Act of 1964, Section 504 of the Rehabilitation Act of 1973, Section 109 of the Housing and Community Development Act of 1974; Violence Against Women Act; or the Americans with Disabilities Act; or

(5) Receipt of a cause determination from a substantially equivalent state or local fair housing agency concerning a systemic violation of provisions of a state or local law prohibiting discrimination in housing based on sexual orientation, gender identity, or lawful source of income.

b. HUD will determine if actions to resolve the charge, cause determination, lawsuit, or letter of findings taken before the application deadline date will resolve the matter. Examples of actions that may be sufficient to resolve the matter include, but are not limited to:

(1) Current compliance with a voluntary compliance agreement signed by all the parties;

(2) Current compliance with a HUD-approved conciliation agreement signed by all the parties;

(3) Current compliance with a conciliation agreement signed by all the parties and approved by the state governmental or local administrative agency with jurisdiction over the matter;

(4) Current compliance with a consent order or consent decree;

(5) Current compliance with a final judicial ruling or administrative ruling or decision; or

(6) Dismissal of charges.

3. Application Threshold Requirements

See Section III.D. Program-Specific Requirements Affecting Eligibility.

2. Timely Submission of Applications

Applications submitted after the deadline stated within this NOFO that do not meet the requirements of the grace period policy are marked late. Late applications are ineligible and are not considered for funding. See Section IV. D. Application Submission Dates and Times.

E. Statutory and Regulatory Requirements Affecting Eligibility Eligibility Requirements for Applicants of HUD’s Financial Assistance Programs The following requirements affect applicant eligibility. Detailed information on each requirement is found in the “Eligibility Requirements for Applicants of HUD’s Competitive Programs” document on HUD’s Funding Opportunities page. Applicants who fail to meet any of these eligibility requirements are deemed ineligible to receive HUD funding.

1. Universal Identifier and System for Award Management (SAM.gov) Requirements

2. Outstanding Delinquent Federal Debts

3. Debarments or Suspensions, or both

4. Mandatory Disclosure Requirement

5. Pre-selection Review of Performance

6. Sufficiency of Financial Management System

7. False Statements

8. Prohibition Against Lobbying Activities

In addition, each applicant under this NOFO must have the necessary processes and systems in place to comply with the Award Term in Appendix A of 2 CFR part 170 if the applicant receives an award, unless an exception applies as provided in 2 CFR170.110.

F. Program-Specific Requirements

(1) No Duplicate Submissions. You must not propose to fund any affiliate or consortium member under your SHOP application that is also seeking FY2024 SHOP grant funds from another SHOP applicant. If an affiliate or consortium member applies for SHOP grant funds through more than one applicant, HUD will disqualify that affiliate or consortium member from receiving funding.

(2) Eligible Applicant. HUD may only award SHOP grant funds to organizations that meet all of the following criteria:

(a) Non-profit Status - An eligible public or private non-profit organization under Federal, state or tribal law;

(b) Service Area – A national or regional organization or consortia (see Section III.A.

“Eligible SHOP Applicants” of this NOFO) that serves at least two states; and (c ) Self-Help Homeownership Housing Experience - An organization experienced in providing or facilitating self-help homeownership housing opportunities as demonstrated by the successful completion of at least 30 self-help homeownership housing units in a national or regional area, consisting of at least two states, within the 24-month period preceding the submission of your SHOP application. This may include self-help homeownership housing units https://www.hud.gov/program_offices/spm/gmomgmt/grantsinfo/fy24eligibility https://www.hud.gov/program_offices/spm/gmomgmt/grantsinfo/fy24eligibility https://www.ecfr.gov/current/title-2/subtitle-A/chapter-I/part-170/appendix-Appendix%20A%20to%20Part%20170 https://www.ecfr.gov/current/title-2/subtitle-A/chapter-I/part-170/subpart-A/section-170.110 completed by one or more of your affiliates during this time period, provided these units were undertaken in accordance with a written agreement between you and your affiliate(s). For a dwelling to qualify as a self-help homeownership housing unit, a homebuyer (defined as the individual or individuals who own the completed unit) must have contributed a significant amount of sweat-equity toward the construction or rehabilitation of the unit as set forth in the SHOP NOFO Section III.F. (15) “Sweat Equity.”

(3) Consortium Agreement. If you are a consortium, all consortium members must sign and date a written Consortium Agreement for the purpose of applying for SHOP grant funds and carrying out SHOP activities in compliance with this NOFO. This Consortium Agreement must designate a lead entity authorized to submit the SHOP application on behalf of all consortium members. The Consortium Agreement must also state that the lead entity will be accountable for the performance and compliance of the Consortium's SHOP program in accordance with all requirements of this NOFO, and that each consortium member is responsible and accountable for the performance and compliance of its affiliates.

If funded, each consortium member must enter into a separate written agreement with the lead entity. This agreement must include the requirements of the FY2024 SHOP Grant Agreement executed between HUD and the consortium, and set forth each consortium member’s responsibilities as described in your approved SHOP application. If the consortium uses affiliates, each affiliate must be linked to a consortium member that is responsible for the timely performance and SHOP compliance of that affiliate.

(4) Code of Conduct. You must develop, maintain and follow a written code of conduct in accordance with 2 CFR 200.318.