Through this Notice of Funding Availability ( “NOFA”), the Baltimore City Department of Housing and Community Development (“DHCD”) is making up to $16 million available from the Housing Accelerator Fund (HAF) and up to $15 million available from the American Rescue Plan (ARP) for the HOME Investment Partnerships Program (HOME) to support the construction of Permanent Supportive Housing (PSH) for individuals and families who are homeless, at risk of homelessness or in other vulnerable positions.
Donor Name: Baltimore City Department of Housing and Community Development (DHCD)
State: Maryland
City: Baltimore
Type of Grant: Grant
Deadline: 10/26/2023
Size of the Grant: up to $500,000
Grant Duration: 2 years
Details:
The Housing Accelerator Fund is funded under the America Rescue Program Act (ARPA) on behalf of Mayor’s Office of Homeless Services (MOHS). The primary goal of the Housing Accelerator Fund (HAF) is to implement innovative funding mechanisms that will foster the development of an expanded supply of permanent supportive housing units for people exiting chronic homelessness. The Housing Accelerator Fund (HAF) will be jointly administered by the Mayor’s Office of Homeless Service (MOHS) and the Department of Housing and Community Development (DHCD) and leverage significant Federal, State, and private sector investments. Safe, affordable housing units are in high demand and the extremely limited supply of such units places serious constraints on rehousing provider’s ability to rapidly move families into permanent housing. The American Rescue Plan Act of 2021 created a special allocation of $5 billion to support state and local programs for populations experiencing homelessness or identified as at-risk of homelessness and housing instability. This special allocation is administered by the U.S. Department of Housing and Urban Development (HUD) through the HOME Investment Partnerships Program (HOME-ARP), with the primary goal being to assist four “qualifying populations” through four types of eligible activities. Baltimore City HOME-ARP funds are limited to the cost of the hard construction of Permanent Supportive Housing units only. The development of new affordable units is a top priority to ensure individuals and families experiencing homelessness can access safe, sustainable permanent housing options and remain housed long-term.
For the purposes of this NOFA, PSH units must follow the Housing First model and fill vacancies through the Coordinated Access System. The “Housing First” approach within supportive housing aims to quickly and successfully connect individuals and families experiencing homelessness to permanent housing without preconditions or barriers to entry, such as sobriety, treatment or service participation requirements.
Funding Information
The NOFA proposes maximum awards for the construction of affordable housing of up to $250,000 per unit for permanent supportive housing and up to $100,000 per unit for traditional affordable housing. Additionally, projects will be eligible for awards of up to $500,000 for predevelopment costs associated with the funded units.
Grant Period
Funds must be obligated by December 31, 2024 and all funds must be spent by December 31, 2026.
Eligible Uses
Eligible uses of funds include:
- Architectural and Engineering
- Environmental assessment and testing
- Market and Financial Feasibility Analysis
- Carrying Costs
- Zoning Analysis
- Staff Time
- Development consultants
- Legal Fees associated with closing, financing, and drafting legal documents necessary for development
Eligible Project or Activities
- Close financing gaps to allow potential projects with supportive housing units to proceed to development.
- Secure set-asides of supportive housing units within housing projects already under development through equity investments.
- Provide financing to develop new projects and enable their competition for other financing, through pre-development financing grants or loans
Market data will be required during the underwriting process.
Additionally, all projects must meet the following criteria:
- Housing is permanent and affordable where tenants hold leases and acceptance of services is not a condition of occupancy following a Housing First model; and
- Comprehensive, individualized support services are accessible by tenants where they live and, in a manner, designed to maximize tenant stability and self-sufficiency.
- PSH units will accept referrals from the community’s Coordinated Access System and tenant application and selection processes are accessible to people with high barriers to housing access.
Eligibility Criteria
This NOFA is limited to applicants that are either a Non-Profit, For-Profit or Joint Ventures that are seeking funds to create units accessible and dedicated for permanent supportive housing populations, and other affordable housing projects.
Ineligibility
- Acquisition of City-Owned Properties
- Acquisition of properties through Receivership
- Acquisition of properties through Tax sale
- Staff that are not directly related to predevelopment, construction, or maintenance of the project General operating costs such as rent, utilities, or operating supplies
- Relocation
- Repayment of existing loans or liens
- Community gardens or urban agriculture uses
- Projects that support a specific religious or other affiliation
- Commercial, retail, or economic development uses
- Costs associated with the preparation of this NOFA submission.
For more information, visit DHCD.
