10 TAC §54.1, §54.2
The Texas Department of Housing and Community Affairs
proposes new 10 TAC Chapter 54, Disaster Recovery, §54.1, concerning
Definitions, and §54.2, concerning General Provisions. The proposed
new sections will establish rules to ensure compliance with statutory
funding requirements, formalize existing policy, to effectively monitor
the activities under disaster assistance, to ensure benchmarks are
achieved and disaster funds are spent timely.
Mr. Michael Gerber, Executive Director, has determined that for
the first five-year period the proposed sections are in effect there
will be no fiscal implications for state or local governments as a
result of enforcing or administering the sections as proposed.
Mr. Gerber has also determined that for each year of the first
five years the sections are in effect the public benefit anticipated
as a result of enforcing the rules will be enhanced compliance with
formalized policy, all contractual and statutory requirements. There
will be no effect on small businesses or persons. There is no anticipated
economic cost to persons who are required to comply with the sections
as proposed.
The new sections are proposed pursuant to the authority
of the Texas Government Code, Chapter 2306, which provides the Department
the authority to adopt rules governing the administration of the Department
and its programs.
The proposed new sections affect no other code, article or statute.
§54.1.Definitions.
The following words and terms, when used in this chapter, shall
have the following meanings, unless the context clearly indicates
otherwise.
(1) CDBG--Community Development Block Grant.
(2) Good cause--Verifiable events beyond the control
of the TDHCA and the Subrecipient such as unavailability of records
from third parties, impediments due to coordination with other governmental
entities, delays due to inclement weather or other acts of God, funding
delays, wide-spread shortage of labor or other significant resources.
(3) NOFA--Notice of Funding Availability.
(4) RFP--Request for Proposal.
(5) TDHCA--Texas Department of Housing and Community Affairs.
§54.2.General Provisions.
(a) The Contract term will not exceed twenty-four (24)
months, and performance under the Contract will be evaluated with
the following benchmarks:
(1) Community Development Block Grant (CDBG) Disaster
Homeowner Assistance Activities. The Contract term will not exceed
twenty-four (24) months. Performance under the Contract will be based
on the following benchmarks from the Contract begin date:
(A) Six (6) months--Pool of applicants identified,
eligibility assessment begun including site specific environmental
on a minimum of 10% of applicants;
(B) Eight (8) months--Procurement complete for contractors
used for rehabilitation and reconstruction activities, 25% of the
households to be assisted environmentally cleared;
(C) Twelve (12) months--Eligibility determined on 100%
of the households receiving assistance under Homeowner Assistance
Programs, 50% of the funds committed to eligible households, and 10%
of the project funds drawn;
(D) Eighteen (18) months--100% of the project funds
must be committed to the households receiving assistance, 50% of the
homes must be under construction or rehabilitation, and 25% of the
project funds drawn;
(E) Twenty-two (22) months--100% of the construction
for all homes must be complete, 75% of the project funds drawn; and
(F) Twenty-four (24) months--85% of project funds are
drawn, close out must be complete within sixty (60) days of end of contract.
(2) CDBG Rental Activities. The Contract term will
not exceed twenty-four (24) months. Performance under the Contract
and State administered programs will be based on the following benchmarks
from the Contract begin date:
(A) Six (6) months--The RFP or NOFA, as applicable, must be published;
(B) Eight (8) months--Developments must be selected
under rental programs and environmentally cleared;
(C) Twelve (12) months--Loan closing must be closed
for any rental components and 10% of project funds drawn;
(D) Eighteen (18) months--50% of project funds drawn;
(E) Twenty-two (22) months--75% of the project funds drawn; and
(F) Twenty-four (24) months--100% of construction complete,
certificates of occupancy issued, 95% of funds drawn. Close out must
be complete within sixty (60) days of end of contract.
(3) CDBG Disaster Downpayment Homeownership Assistance
Activities. The Contract term will not exceed twenty-four (24) months.
Performance under the Contract will be based on the following benchmarks
from the Contract begin date:
(A) Six (6) months--Pool of applicants identified,
eligibility assessment begun including site specific environmental
on a minimum of 25% of applicants;
(B) Twelve (12) months--Eligibility determination made
on 100% of applicants, 25% of the project funds drawn;
(C) Eighteen (18) months--50% of the applicants assisted,
45% of project funds drawn; and
(D) Twenty-four (24) months--100% of the applicants
assisted, 75% of project funds drawn. Close out must be complete within
sixty (60) days of end of contract.
(b) The Executive Director of the TDHCA may grant one
extension to revise benchmarks and/or lower percentages, due to good cause.
This agency hereby certifies that the proposal has
been reviewed by legal counsel and found to be within the agency's
legal authority to adopt.
Filed with the Office of the Secretary of State on July 20, 2009.
TRD-200902947
Michael Gerber
Executive Director
Texas Department of Housing and Community Affairs
Earliest possible date of adoption: August 30, 2009
For further information, please call: (512) 475-3916