Section 160.10  Purpose

 

The purpose of the Emergency Shelter Grants Program is to provide assistance for homeless and near-homeless individuals through local not-for-profit organizations, thus affording emergency relief from human deprivation.

 

(Source:  Amended at 18 Ill. Reg. 5163, effective March 21, 1994)

 

Section 160.20  Definitions

 

For the purposes of this Part, definitions provided in the U.S. Department of Housing and Urban Development (HUD) Emergency Shelter Grants Program rules (24 CFR 575.3 (1987)) are applicable.

 

Section 160.30  Program Requirements

 

a)         Eligible Grantees.  Any unit of general local government may apply for funding on behalf of any private, not-for-profit organization providing services to the homeless, or a not-for-profit organization may apply directly for funds.

 

b)         Eligible activities.  Emergency shelter grant amounts may be used for one or more of the following activities relating to emergency shelter for the homeless:

 

1)         Renovation, rehabilitation, or conversion of buildings (as defined in 24 CFR 575.3 (1987)) for use as emergency shelters for the homeless.  Reimbursement under these activities shall not exceed the cost to erect a comparable new building.

 

2)         Provision of essential services, including (but not limited to) services concerned with employment, health, substance abuse, education, or food.  Grant amounts provided to a unit of general local government or not-for-profit organization may be used to provide an essential service only if:

 

A)        The service is a new service or a quantifiable increase in the level of a service above that which the unit of general local government provided during the twelve (12) calendar months immediately before it received the grant amounts; and

 

B)        Not more than thirty (30) percent of the grant amounts is used for these services.

 

3)         Payment of maintenance, operation (including insurance, utilities, furnishings and food).

 

4)         Homelessness prevention activities, such as short-term subsidies to defray rent and utility arrearage for families that have received eviction or utility termination notices, security deposits or first month's rent, or other innovative programs and activities designed to prevent homelessness.  Not more than thirty (30) percent of the grant amounts is used for these services.

 

c)         Ineligible activities.  Emergency shelter grant amounts may not be used for activities other than those authorized under subsection (b).  For example, grant amounts may not be used for:

 

1)         Acquisition of an emergency shelter for the homeless;

 

2)         Rehabilitation services, such as preparation of work specifications, loan processing or inspections; or

 

3)         Improvement of buildings owned by religious organizations unless the conditions of 24 CFR 575.21(b)(2)(i) through (viii) are met.

 

d)         Matching Funds.  Each applicant must supplement its emergency shelter grant request or demonstrate an attempt to supplement with an equal amount of funds from other sources.  In-kind contributions will be considered, including, for example, the value of any donated material or building; the value of any lease on a building; any salary paid to staff in carrying out the program; and the time and services of volunteers.  (The value of that time is to be determined at a rate of $5.00 per hour.)  The necessary amount of matching funds must only be provided after the date of grant award; however, letters of commitment which document matching contributions must be submitted with the application.

 

e)         Support Services and Referral Linkages.  Homeless individuals must have access to assistance in obtaining support services.  This includes permanent housing, medical and mental health treatment, counseling and similar services essential to achieve independent living.  A referral system must be demonstrated to be in place, providing for services and aid (whether or not these services are to be provided with grant funds) and assuring a coordinated approach to serving the homeless.

 

Source:  Amended at 18 Ill. Reg. 5163, effective March 21, 1994)

 

Section 160.40  Shelter Categories

 

Applicants may propose to provide shelter assistance within one of the following shelter categories:

 

a)         Emergency Shelters (limited) which provide bed space and food, one night at a time, and do not provide supportive services.

 

b)         Emergency Shelters (programmatic) which provide bed space and food for one night or more and some supportive services.

 

c)         Transitional Shelters which provide temporary residence, food and some supportive services, not to exceed 120 consecutive days.  The shelter accommodates three or more persons who are not related to the applicants or owner by blood or marriage.

 

Source:  Amended at 18 Ill. Reg. 5163, effective March 21, 1994)

 

Section 160.50  Notice of Fund Availability

 

The Department of Commerce and Community Affairs (Department) shall release on an annual basis request for proposals (RFPs) for the purpose of soliciting formal applications from eligible local governments and not-for-profit organizations.  Applicants shall submit completed packages in accordance with a schedule annually established by the Department.  An original and two copies should be submitted to the Housing Assistance Division.

 

(Source:  Amended at 18 Ill. Reg. 5163, effective March 21, 1994)

 

Section 160.60  Application Requirements

 

An application must include the following information:

 

a)         Project Summary – A description of the proposed project and the purpose for the funding request.  The summary should include a brief history of the not-for-profit organization's experience in providing services to the homeless.  It must also identify the types of clients to be served, the type of services to be provided, and how those services will address the needs of the homeless.

 

b)         Needs Statement – A statement which describes the need for the proposed project.  The statement should include an estimate, if available, of the number of homeless persons in need of assistance in the area and the estimated number to be served by the proposed project.  Area services available to the homeless must be identified and an explanation provided as to how the proposed project would complement existing services or provide services that are currently unavailable.

 

c)         Project Activity Description – A description of activities to be performed under the project, the amount and source of funding for each activity, and a schedule for the implementation of those activities (include beginning and ending dates).  If rehabilitation is identified as an activity, the type of work to be done must be detailed and estimates of cost must be attached.  Also tasks necessary to achieve expected results must be detailed (e.g., building or zoning permits).

 

d)         Project Costs – A breakdown of all project costs by source of funding for eligible activities.

 

e)         Application Documentation – The following documentation must accompany an application:

 

1)         If funds are to be used for major rehabilitation or conversion of a building, certification that the building will remain a shelter for a period not less than ten years.

 

2)         If funds are to be used for eligible activities specified in 24 CFR 575.21(a)(1) and (3) (1987), certification that the building will be maintained as a shelter for not less than three years.

 

3)         Letters documenting the shelter facility has been inspected and meets the state and local requirements or standards relating to health and safety or copies of waivers of such requirements from the responsible agency.

 

4)         A letter of transmittal and certification of local government approval.

 

5)         Certification that any building improvements accomplished with grant funds do not affect historic property or jeopardize an endangered species.

 

6)         Certification that any building improvements accomplished with grant funds will not be made to buildings located in an area identified as having special flood hazards in accordance with HUD Emergency Shelter Grants Program rules (24 CFR 575.33(b)(4)(i)(B) (1987)).

 

7)         Letters of support and/or agreements with social service agencies.

 

8)         Certification by the local government that its proposed project will be administered in compliance with the requirements of HUD Emergency Shelter Grants Program rules (24 CFR 575.59 (1987)).

 

(Source:  Amended at 18 Ill. Reg. 5163, effective March 21, 1994)

 

Section 160.70  Selection for Funding

 

a)         The Department shall screen applications to determine that all requirements of the application package have been addressed.  Completed applications will be reviewed and evaluated by Department staff to determine which applicants:

 

1)         demonstrate the greatest need for funds in their

 

A)        estimate of the number of homeless in the area and the number of homeless to be served by grant funds,

 

B)        description of the unmet needs of the homeless in the area, and

 

C)        description of the relationship of the proposed activities to the identified needs;

 

2)         propose projects that best meet the objectives of the program and the demonstrated needs of the area's homeless;

 

3)         indicate a successful history of the not-for-profit organization in providing services to the homeless; and

 

4)         have the ability to utilize funds immediately.

 

b)         Preference in selection will be given to projects which complement and support homeless activities being carried out locally and which demonstrate that a system for coordinating these activities and other services is being used.

 

c)         Local governments and not-for-profit organizations will be notified in writing as to availability of funds and application due date.  Funds will be awarded on a competitive basis using the criteria specified in subsections (a) and (b) until all available funds are expended.

 

d)         The Department reserves the right to deny application funding when submitted applications involve eligible units of government and/or not-for-profit organizatons with serious unresolved audit or monitoring findings related to performance capacity, and/or who consistently fail to comply with program requirements.  Examples include, but are not limited to:

 

1)         untimely submittal of progress reports;

 

2)         untimely expenditures of ESGP funds;

 

3)         co-mingling of ESGP funds with other funds; and

 

4)         untimely submittal of other requested documentation.

 

(Source:  Amended at 18 Ill. Reg. 5163, effective March 21, 1994)

 

Section 160.80  Administrative Requirements

 

a)         Progress Reports – Progress reports may be required by the Department.  These reports will outline the obligation and expenditure of funds under the shelter grants program.  The Department reserves the right to request additional information to further clarify or document activities as may be necessary.

 

b)         Financial Management Standards – The grantee is accountable for all funds received under this program.  The grantee must maintain accountability over all funds, equipment, property and other assets under the grant as required by the Department.  Records shall be kept which detail the expenditures of grant funds and accurately document such expenditures.

 

c)         Monitoring – The Department will monitor each homeless shelter grant funded under this program periodically throughout the fiscal year.  The project will be evaluated for compliance with the terms and conditions of the grant document.

 

d)         Audits – The grantee shall be responsible for having an annual financial and compliance audit performed in accordance with 24 CFR Part 44.  The audit of all appropriate project records will be performed by an independent public accountant, certified and licensed by the authority of the State of Illinois and selected by the Department in conjunction with and upon receiving advice from the grantee.  The grant audit must be conducted in accordance with the Comptroller General's Standards for Audits of Governmental Organizations, Programs, Activities, or Functions.  The grantee may secure an independent audit of its Emergency Shelter Grants Program grant in the same manner as it secures its regular audits. Audits must be performed in accordance with the Single Audit Act of 1984 and OMB Circular A-128, if applicable, provided it follows the requirements of OMB Circular A-102, Attachment O, which provides for maximum open and free competition.  This audit should be conducted as part of the grantee's annual audit as is generally required by State law.  The Grantee shall contact, in writing, the Department's Office of Audits when the project is completed and advise the Department that the project is ready for audit, providing the name of the audit firm selected.  Notification shall be addressed to:

 

            Office of Audits

            Department of Commerce and Community Affairs

            620 East Adams Street, 2nd Floor

            Springfield, Illinois 62701

 

            The Department reserves the right to conduct special audits, at any time during normal working hours, of funds expended under this agreement.

 

e)         Special Conditions and Terms – Successful applicants, prior to the release of funds, must submit documentation to substantiate that assertions made in the application are met.  The Department reserves the right to establish the amount of the grant award.  Grant-related expenses may be incurred only after all grant conditions have been met and the grant award document executed.

 

f)         Memorandum of Agreement – If the grantee is a local government, it will enter into an agreement with the not-for-profit organization undertaking the proposed project activities.  This agreement will govern project activities and the release of funds.

 

g)         For the purposes of this Part, additional administrative provisions specified in 47 Ill. Adm. Code 1.110 and those found in HUD Emergency Shelter Grants Program rules (24 CFR 575.59, 575.61, 575.63, 575.65, 575.67, and 575.69 (1987)) are applicable.

 

(Source:  Amended at 18 Ill. Reg. 5163, effective March 21, 1994)

 

Section 160.90  Incorporation by Reference

 

Any incorporation by reference in this Part of the rules and regulations of any agency of the United States or of standards of a nationally recognized organization or association includes no new amendments or editions made after the date specified.