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Division of Housing & Community Renewal

Revised, January, 2012

The following instructions should be used by organizations administering New York State HOME Program funds received from the Housing Trust Fund Corporation (HTFC). Subrecipients (not-for-profit organizations) and state recipients (units of local government) administering local programs with New York State HOME Program funds must follow these instructions to report on project activity and receive disbursement of funds. Community Housing Development Organizations (CHDOs) should refer to disbursement instructions specific to CHDO projects ( CHDO Disbursement and Reporting Instructions (48 KB)).

These instructions will refer to state recipients and subrecipients collectively as "recipients." Where different procedures apply to state recipients and subrecipients, specific instructions will be provided. This document provides recipients with instructions on disbursement and reporting procedures established by the Office of Community Renewal (OCR) for the HOME Program. Recipients should also refer to other HTFC publications, to their HOME Program Agreement, and to other instructions provided by HTFC or by New York State Homes and Community Renewal (HCR) personnel.

The purpose of this document is to provide guidance to CHDOs on project activity reporting and securing payment of project funds. Proper reporting will ensure that the Office of Community Renewal (OCR) can quickly and effectively approve proposed projects to ensure that all State and Federal program requirements are met. OCR is responsible for ensuring that the amount of HOME funds invested in each project is no more than is necessary to provide affordable housing, that the project is consistent with the activities described in the HOME Program agreement between the CHDO and HTFC and that funds are available for the project once all requirements have been met. The CHDO is responsible for compliance with all HOME and HTFC requirements, adhering to the process described the Program agreement and providing all required project information to OCR in a timely manner.

1. Project Set-up and Commitment

   Before project funds can be disbursed to a recipient, a project account (activity number) for the funds must be established by OCR. The following sections explain the processes for establishing project accounts, funding revisions, and project completion reporting.

   As soon as the recipient has determined the amount of assistance that will be made available for a project, confirmed eligibility, and executed a written agreement with the project owner (or with the home buyer or tenant) that meets the HUD regulatory definition of "commitment," the recipient must complete and send a Set Up Form to OCR. Please note that these forms have recently been revised; old forms will no longer be accepted.

   For home buyer activities, use the Homebuyer Set Up and Completion Form. For rehabilitation of owner-occupied housing, use the Homeowner Rehab Set Up and Completion Form. For rental rehabilitation activities, use the Rental Set Up and Completion Form. For Tenant Based Rental Assistance, use the Tenant Based Rental Assistance Set Up Form. Copies of these forms can be accessed on the HCR website at http://nysdhcr.gov/Forms/HOMELPA/.

   Forms must be emailed to HOMEProgram@nyshcr.org with a cc to the appropriate HCR Regional Office Representative.

   Complete all applicable sections of the Set Up Report except Part A, Item 2, "IDIS Activity ID Number." The activity number will be assigned by HUD when OCR establishes the project account. Not all sections will be completed by all recipients, but all recipients must enter the OCR-assigned SHARS ID number for the contract. SHARS ID numbers must also be included on any correspondence sent to OCR.

   In Part D, "Activity Information", enter the parcel's tax identification number (section/block/lot number) and SWIS code in the designated spaces. Part I, "Lead Paint", has been recently added to the form and must be completed.

   When you submit the form to OCR, save a copy of the completed form on your computer or on reliable storage media. You will be required to use the file again, with additional sections filled in, at project completion.

   1. The Integrated Disbursement and Information System (IDIS)

   Upon receipt of the Set Up Form, OCR reserves funds for the activity from the State's federal IDIS account. HUD developed IDIS to manage and disburse program funds, and to collect project and tenant data.

   OCR uses IDIS to make inquiries about project status, to establish project accounts, and to draw funds from the HUD Line of Credit Control System (LOCCS) to pay for program costs that have been incurred. OCR is responsible for maintaining project accounts in IDIS and accessing funds to honor valid payment requests. The recipient is responsible for submitting accurate project set-up and completion reports to OCR in a timely manner, and for reviewing reports provided by OCR to verify accuracy of data entered into the system.

   2. Activity Number Confirmation

   After OCR enters project data and commits HOME funds to the project in IDIS, the system-assigned activity number is transmitted to the recipient. This transmittal confirms that the activity has been processed in the IDIS system, and that funds have been set aside for payment. Recipients must provide an email address when submitting the set-up report; activity numbers will be transmitted by email.

   3. Project Funding Revisions

   If the amount of funds committed to a project increases, or the commitment is withdrawn, the amount of HOME funds set aside for the activity in IDIS must be revised. The recipient must verify that sufficient uncommitted funds are available for increases, and must submit an amended project set-up form to OCR for processing. Do not submit an amendment to decrease funds allocated to a project. To cancel a project, submit a copy of the project set-up form with the word "CANCELLED" written in large letters in the body of the email message. Projects may not be cancelled after funds have been disbursed to the recipient for the project. Please contact your Regional Representative to receive instructions about how to re-allocate/return disbursed funds for a project that does not progress to completion. The LPA may charge these costs to their administrative account, but HOME funds cannot be spent on projects that do not result in the production/rehabilitation of an affordable unit.

2. Requests for Payment

Recipients draw funds by submitting payments requests to OCR. Funds may only be requested after costs are incurred. Advances of funds are not permitted. Payment requests are made using the Local Recipient Disbursement Request accompanied by the appropriate detail sheets. A disbursement request form may be submitted only after costs have been incurred and an activity has been set up by OCR. This form can be found at http://nysdhcr.gov/Forms/HOMELPA/ . Funds will be transferred directly into the LPA's designated account through an Automated Clearing House procedure. The Designation of Depository must be submitted to the HTFC, with original signatures as soon as you have signed your contract. These forms are available on the HCR website at: http://nysdhcr.gov/Forms/ocdhm_directdeposit.pdf.

Complete all sections of the form except those marked "HTFC use only." Enter the full name of the state recipient or subrecipient where indicated. This form is used to indicate the total amount of funds that will be drawn against the authorized contract amount. The amounts are detailed by activity on the accompanying detail sheets. The Disbursement Request form must be signed by an authorized representative of the recipient. An "Authorized Signatory Form For Request For Funds" must be completed prior to the start of all contracts and at any time an employee is added as a signatory. This form can be found at: http://nysdhcr.gov/Forms/HOMELPA/.

Be sure to include your SHARS identification number on all forms to facilitate processing. Disbursements should be numbered consecutively beginning with the SHARS ID number (i.e. 20110000-01, 2011000-02). If you have any questions regarding this process, please contact your regional representative. All disbursement requests must be submitted to the appropriate regional office representative.

All disbursement requests must include documentation for each expense billed to the HOME Program. Recipients must send original signed copies of each disbursement request to the following addresses to avoid delaying receipt of funds:

	Capital District Regional Office New York State HOME Program Office of Community Renewal Hampton Plaza, 9th Floor 38-40 State St. Albany, NY 12207		New York City Regional Office New York State HOME Program Office of Community Renewal 25 Beaver St. New York, New York 10004
	Buffalo Regional Office New York State HOME Program Office of Community Renewal Electric Tower, Suite 105 535 Washington Street Buffalo, NY 14203		Syracuse Regional Office New York State HOME Program Office of Community Renewal 620 Erie Blvd. West, Suite 312 Syracuse, NY 13204

Multiple payments for the same contract may be included on the same disbursement request form, by attaching additional detail sheets (see below). Recipients must limit payment requests to a minimum of $1,000 may be requested.

1. Payment Certification Detail Sheets

One detail sheet must be submitted for each activity (project or building) for which funds are being requested. The detail sheet must include the IDIS activity number (from the Activity Number Transmittal) and the SHARS ID # for each project for which funds are being requested.

To request funds for several activities on the same Disbursement Request form, provide the requested information for each activity on a separate detail sheet. For home ownership projects, also provide a copy of a closing statement (HUD-1) or good faith estimate (GFE) that includes the requested information. Payment requests submitted with incomplete detail sheets will be rejected.

There are different detail sheets for home buyer, housing rehabilitation, TBRA projects and for administrative expenses. For home buyer projects that involve rehabilitation, the detail sheet that is submitted must correspond to the work for which funds are being requested. For example, if funds are being requested for a particular project for both acquisition and construction or rehabilitation expenses, both detail sheets must be submitted for that project.

2. Administrative Funds

Administrative funds are set aside when the contract between the recipient and HTFC is executed. There is no need to submit a setup report for administrative funds. When funds are needed for administrative expenses, the recipient should complete the administrative funds detail sheet. Attach additional pages if necessary. Indicate the dates covered for all expenses included in the request. For salary items, include the title and name of the staff person for whom funds are requested, and the pay periods covered. For other than personnel services (OTPS) items include a detailed breakdown of expenses. This form can be found at http://nysdhcr.gov/Forms/HOMELPA/.

3. Project Completion

After the project is complete and all funds have been drawn, a project completion report must be submitted. For each completed project, the recipient must submit the updated Homeowner Rehab Set Up/Completion Form, Homebuyer Set Up/Completion Form, or Rental Set Up/Completion Form, depending on the type of project. There is no project completion report for tenant-based rental assistance projects.

Project completion reports must be emailed to HOMEProgram@nyshcr.org within 60 days of final payment, with a cc to the regional office representative; OFC enters completion data into the IDIS system following verification that all funds have been expended. Failure to submit completion reports within 60 days of final payment will result in suspension of additional project setups.

Addendum:

Record Keeping, Reporting, and Monitoring

All recipients are responsible for maintaining complete project files, including participant applications, eligibility documentation, and contracts, contractor invoices, inspection reports, work specifications, loan commitments, lead paint hazard documentation, and other documentation related to payments made with HOME funds. These files will be examined by HCR representatives during on-site monitoring visits, and are subject to examination at any time by representatives of HCR and/or the NYS Office of the State Comptroller, HUD.

The project setup and completion report, payment requests, and payment certification detail sheets constitute the primary reporting requirements for the New York State HOME Program. Each form submitted to HTFC should be filled out completely, and checked to ensure that no errors are present. Occasionally recipients will be required to submit additional forms. A short annual report is usually required each January, in a format provided by HTFC.

Income earned through the use of HOME Program funds is program income. The receipt and use of program income must be reported to HTFC on the appropriate Set Up and Completion form. Refer to HOME Program Notice 03-01 for guidance on program income.

Please be sure to use current versions of all forms. For copies of any HUD notice related to the HOME program, call the HOME information center at (800) 998-9999, or contact your HCR Regional Office. Copies may also be available from the HCR web site at www.nyshcr.org. As a reminder, the HCR regional office representative should always be copied on any form or correspondence submitted to the OCR HOME Program office. If you have questions on this process, please contact your Regional Office Representative.

Last updated on 01/19/12