Section 100. Processing of owner proposals

In the moderate rehabilitation program, owner proposals submitted to the authority will be processed as follows:

Step 1 - Preparation and submission by owner of a proposal.

Step 2 - Preliminary screening of proposal by the authority and disqualification of incomplete or clearly ineligible proposals.

Step 3 - Inspection by the authority of owner's property to determine the work items necessary to bring the unit(s) up to program standards.

Step 4 - Preparation by the authority of list of deficiencies to be corrected, estimate by the authority of rehabilitation costs, and preliminary determination by the authority of project feasibility, taking into account current rents or operating expenses, the estimated cost of requiring improvements, and the terms of available financing. Notification by the authority to the owner of results.

Step 5 - Selection for processing by the authority of owner's proposal.

Step 6 - Determination by the authority of eligibility of tenants currently occupying unit(s) to be rehabilitated. Notification by the authority to the owner of results.

Step 7 - Preparation by the owner and/or the authority of work write-ups, bidding of work, selection of contractor, preparation of lease, obtaining of financing, and final determination of project feasibility.

Step 8 - Execution of an agreement providing that upon owner's satisfactory completion of all required work, the authority will provide section 8 housing assistance payments on behalf of eligible tenants occupying the rehabilitated unit(s). Initial calculation of contract rent(s).

Step 9 - Execution by the owner and contractor of a construction contract and completion of required work. Inspection by the authority of work upon completion.

Step 10 - Recalculation by the authority of contract rent. Execution of a HAP contract by the owner and the authority.

Step 11 - Occupancy of the unit(s) by the assisted tenant(s), who may be the current eligible tenant(s) or tenant(s) selected by the owner from the locality's waiting list. Execution of an approved lease.

Step 12 - Commencement of section 8 housing assistance payments on behalf of the tenant. Performance by the owner, the authority and its administrative agent of all activities required following rehabilitation.

In the project-based certificate assistance program, units will be selected as follows:

Step 1 - The authority will submit information to HUD concerning the number of units currently under the authority's annual contributions contract with HUD for the authority's section 8 certificate program, the total number of units for which the authority is requesting approval to attach assistance, the number of units by unit size to be assisted from each funding source and the estimated termination dates for the HAP contracts.

Step 2 - HUD shall review the information and notify the authority of approval or disapproval.

Step 3 - The authority will advertise in a newspaper of general circulation that the authority will accept applications for project-based certificate assistance.

Step 4 - The owner will submit an application containing a description of the housing to be constructed or rehabilitated, evidence of site control, evidence of proper zoning, the proposed contract rent per unit, information concerning temporary relocation of site occupants, identity of the owner and development team, a management plan, information concerning the financing, the proposed term of the HAP contract and such other information that the authority believes to be necessary.

Step 5 - The owner's proposal's will be ranked and selected by the authority, in accordance with selection criteria determined by the authority pursuant to 13VAC10-80-10.

Step 6 - The authority will enter into the agreement with the owner.

Step 7 - Execution by the owner and contractor or a construction contract and completion of the required work. Inspection by the authority of work upon completion.

Step 8 - Execution of a HAP contract by the owner and the authority.

Step 9 - Occupancy of the unit(s) by the assisted tenant(s), who may be the current eligible tenant(s) or tenant(s) selected by the owner from the locality's waiting list. Execution of an approved lease.

Step 10 - Commencement of section 8 housing assistance payments on behalf of the tenant. Performance by the owner, the authority and its administrative agent of all activities required following rehabilitation.

Historical Notes

Derived from VR400-02-0007 § 10, eff. July 1, 1989; amended, Volume 11, Issue 17, eff. May 1, 1995.

Statutory Authority

§ 36-55.30:3 of the Code of Virginia.