FY 2019 Section 811 Supportive Housing for Persons with Disabilities (Capital Advance)

The Section 811 Supportive Housing for Persons with Disabilities Program aims to expand the supply of integrated affordable housing by providing Capital Advance funding for the development of permanent supportive rental housing for very-low-income persons with disabilities age 18 years or older. The program also provides project rental subsidies in the form of a Project Rental Assistance Contract (“PRAC”) to maintain ongoing affordability over the next forty years. These units provide persons with disabilities the opportunity to live with dignity and independence within the community in an integrated environment that provides access to appropriate and voluntary supportive services.

Individuals with disabilities have historically faced discrimination that limited opportunities to live independently in the community and often required persons to live in institutions and other segregated settings. In 1999, the United States Supreme Court issued the landmark decision in Olmstead v. L.C., 527 U.S. 581 (1999), affirming that the unjustified segregation of individuals with disabilities is a form of discrimination prohibited by Title II of the Americans with Disabilities Act (ADA). Persons with disabilities must have choice in the housing, health care, and related support services they receive. As individual states facilitate the transition and integration of individuals with disabilities from institutional and other segregated settings into the community, Sponsors/Owners of supportive rental housing for persons with disabilities have an opportunity to design innovative approaches to meet the associated challenges and opportunities.

HUD is committed to helping Sponsors/Owners offer very low-income persons with disabilities housing options that provide meaningful choices about housing, health care, and long-term services and support so they can participate fully in community life. The Frank Melville Supportive Housing Investment Act of 2010 (Pub. L. No. 111-374) amended Section 811 of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 8013), including the PRAC program, to better achieve this goal.

The Department of Housing and Urban Development ("HUD") seeks to fund innovative Section 811 permanent supportive housing models that will be at the forefront of design, service delivery and efficient use of federal resources To meet this goal, HUD expects successful applications to demonstrate best practices or innovation in both physical design and supportive services. Proposals must promote the long-term housing security and facilitate community integration of persons with disabilities. HUD aims to provide Capital Advance funding to those applicants who use Capital Advance funds to leverage other financing sources to meet the goal of the development of permanent supportive housing and increasing the number of units produced per dollar of Federal resources. For more information about specific Review Criteria see Section V.A.

Partnerships.

Sponsors/Owners are encouraged to establish formal partnerships with health and human service agencies or other organizations with a demonstrated capacity to coordinate voluntary services and supports to enable individuals to live independently in the community. These partner organizations should assist the Owners by providing referrals of potential tenants, assisting with a timely transition to a unit, and providing the opportunity to access supportive services and supports. Demonstrated capacity may refer to previous experience as well as a well-developed plan to provide referrals, services, and supports. At a minimum, a well-developed supportive services plan:

Aligns with the applicant’s Local/State’s approach to expanding community living opportunities for persons with disabilities.
Documents an implementation and sustainment strategy for providing outreach and referrals, transition services, tenancy support, and other services and supports as needed.
Discusses the applicant’s approach for development and capacity building within the partnership.

In addition to receiving referrals from partner organizations, the Owners must allow non-elderly persons with disabilities to apply for housing directly without going through a partner agency. There is no limit to the number of agencies an Owner may partner with for referrals and supportive services.

In addition to local service providers, HUD encourages applicants to partner with one or more of the following State service agencies that offer supports:

State Medicaid Agency
State Developmental Disability Services Agency
State Mental Health Authority
Centers for Independent Living

Such partnerships cannot result in eligibility requirements which may violate nondiscrimination requirements under any applicable Federal civil rights statutes and requirements, including Section 504 of the Rehabilitation Act (Section 504), titles II or III of the Americans with Disabilities (ADA), and the Fair Housing Act and their implementing regulations at 24 CFR part 8; 28 CFR parts 35 and 36; 24 CFR part 100.

Funding of up to $75,000,000 is available through this NOFA. HUD expects to make approximately 25 -30 awards from the funds available under this NOFA. The precise number of awards will depend on the eligible proposals.

This program does offer Opportunity Zones which applicants must provide the above required documents/information in the application.

Modifications have been made to Rating Factor 3 Soundness of Approach

b. (5 points) Affirmatively Furthering Fair Housing (AFFA)

Modification: To remove ambiguity the modification will add language to clarify what components will be evaluated during the rating of this factor and their associated points. These components will be consistent with the AFFH Rating Factor in previous Section 811 Capital Advance NOFAs.

c. (3 points) Site and Neighborhood Standards.

Modification: Adding language to clarify that only projects that do not involve new construction will need to respond to this rating factor and that applications that involve new construction will automatically receive the full three points for this rating factor, since they will have already passed the site and neighborhood standards eligibility review.

Please review Section V. Application Review Information for further details on the Modifications to Rating Factor 3.

Application due remains February 10, 2020.

Funding Opportunity Number: FR-6300-N-49
Opportunity Title: : Section 811 Supportive Housing for Persons with Disabilities (Capital Advance)
Competition ID: FR-6300-N-49
CFDA No: 14.181
Opening Date: October 9, 2019
Closing Date: February 10, 2020

Contact Information: Questions regarding this NOFA should be directed FY18811NOFA@hud.gov mailbox. Persons with hearing or speech impairments may access this number via TTY by calling the toll-free Federal Relay Service at 800-877-8339. Please note that HUD staff cannot assist applicants in preparing their applications