Section 265.39.8. Allocation of funds.

       39.8(1) IFA may retain up to 10 percent of the state’s annual HOME allocation from HUD for administrative costs associated with program implementation and operation.

       39.8(2) Not less than 15 percent of the state’s annual HOME allocation shall be reserved for eligible housing activities developed, sponsored or owned by CHDOs.

       39.8(3) IFA reserves the right to set aside a portion of the state’s annual HOME allocation for rental housing activities for the Rural Development Section 515 Preservation Demonstration Program as long as the program exists.

       39.8(4) Not more than 5 percent of the state’s annual HOME allocation may be reserved for CHDO operating expenses.

       39.8(5) IFA reserves the right to limit or exceed the amount of funds set aside for any single activity type.

       39.8(6) A single award shall be limited to no more than:

        a.           $600,000 for single-family housing activity, or

        b.           $1,000,000 for rental project, or

        c.           $1,000,000 for tenant-based rental assistance activity.

       39.8(7) Single-family per-unit subsidies.

        a.           The maximum per-unit subsidy for all single-family housing activities involving rehabilitation is $37,500. The $37,500 per-unit limit includes all applicable costs including, but not limited to, the hard costs of rehabilitation or the acquisition subsidy or both; homebuyer assistance activities; technical services costs, including lead hazard reduction carrying costs; lead hazard reduction costs; and temporary relocation. All rehabilitation hard costs funded with HOME funds are limited to $24,999. All applicable technical services costs, including any lead hazard reduction carrying costs, are limited to $4,500 per unit.

        b.           Assistance for single-family housing activities providing acquisition assistance for housing (mortgage buy-down, down payment or closing costs assistance or both, or combinations thereof) is limited to $35,000 per unit, inclusive of all costs, including technical services costs.

       39.8(8) Subrecipients shall identify general administrative costs in the HOME application. IFA reserves the right to negotiate the amount of funds provided for general administration, but in no case shall the amount for general administration exceed 10 percent of a total HOME award. Only local government and nonprofit recipients are eligible for general administrative funds. Subrecipients must certify that all general administrative costs reimbursed by HOME funds are separate from and not reimbursed by HOME as technical services costs.

       39.8(9) IFA reserves the right to negotiate the amount and terms of a HOME award.

       39.8(10) IFA reserves the right to make award decisions such that the state maintains the required level of local match to HOME funds.

[ARC 8963B, IAB 7/28/10, effective 7/8/10; ARC 9284B, IAB 12/15/10, effective 1/19/11; ARC 9764B, IAB 10/5/11, effective 11/9/11; ARC 0500C, IAB 12/12/12, effective 11/19/12; ARC 1140C, IAB 10/30/13, effective 12/4/13]