2012 CHDO Operating Fund RFP Training March 23, 2012 Laurie Linden

1. 2012 CHDO Operating Fund RFP TrainingMarch 23, 2012Laurie Linden

2. Presentation Outline • Background • Purpose • 2012 Program Objective • Minimum Qualifications • Funding Guidelines • Areas of Statistically Demonstrated Needs /Special Needs Populations • Special Needs Populations

3. Presentation Outline • Areas of Statistically Demonstrated Needs • Scoring Criteria • Proposal Format/Instructions • Submission Procedures • Proposal Submission • RFP Questions & Answers • Evaluation of Proposals

4. Presentation Outline • Proposal Deficiencies • Deficiency Correction Period • Award Notice • Protest • Timeline • Questions?

5. Background CHDO Operating Fund Program: • Provides operating funds to eligible CHDOs • To help them obtain HOME development funds for housing projects that are in planning or initial construction stages.

6. Purpose Purpose of RFP: Solicit proposals from eligible organizations that can operate a CHDO program but: • Need financial assistance for capacity to undertake a development project; and • Have the ability to obtain HOME development funds within 24 months from receipt of CHDO Operating Funds.

7. Purpose Applicants must demonstrate: • Ability to operate a CHDO Program as evidence by being CHDO designated • Need for operating support; • Funds will enhance ability to carry out the planned development project;

8. 2012 Program Objective • Operating Funds to develop affordable housing for: • persons of low and moderate incomes who reside in MFA Areas of Statistically Demonstrated Needs or, • who are members of Special Needs Populations.

9. 2012 Available Funds • Set aside 5% of 2011 HOME funds for CHDO Operating Fund Program • Estimate of $189,031 pending actual HUD allocation.

10. Minimum Qualifications Minimum Threshold Eligible participants must meet the following minimum qualifications and requirements: • Submit Proof of 501 (c)(3) or proof of status as a Government Agency • Submit proof of current registration as charitable organization with NM AG’s office for FY2009, FY2010 or FY2011 • Letters of recommendation from local government. Letter must be dated no later than 180 days prior to the application and must be signed by a Mayor, Town Manager or County Manager.

11. Minimum Qualifications Minimum Threshold 4. For agencies who received HOME funds in 2011: • Provide current financial audit (FY2010 or FY2011). Please refer to page 6 of RFP for full details surrounding audit requirements and automatic disqualification for funding 5. For agencies who did NOT receive HOME funds in 2011: • Provide either an audit to the standards on page 6 of the RFP or an independent CPA’s review of financial statements for FY2010 or FY2011 6. Offeror must have been in operation for a minimum of one year.

12. Minimum Qualifications Minimum Threshold • Offeror must be in “good standing” as of the date of this RFP issuance: • Not debarred, suspended or HUD’s Limited Denial of Participation status conferred on it by MFA and/or other funding sources • Must describe any material current or pending litigation, allegations, administrative proceedings or investigations by any regulatory agency or funding entity that impacts the reputation or financial viability of agency • https://www.epls.gov and https://www5.hud.gov/ecpcis/main/ECPCIS_List.jsp - submit as proof

13. Minimum Qualifications Minimum Threshold 8. Submit application as directed in Section 1.7 and 2.3 of RFP • Certification must be signed by either Executive Director or Board Chair • Achieve a minimum score of 65 points in the evaluation criteria.

14. Funding Guidelines • Offerors not meeting a minimum qualification and requirement will not be considered for funding under this RFP. • Preference will be given to Offerors with a demonstrated need for financial assistance for operating capacity for new projects to serve “ASDN” or Special Needs Populations” • No guarantee MFA will award maximum amount requested

15. Funding Guidelines Offerors may request funds under the following criteria: • Up to $30,000 - if that amount is not above 50% of Offeror’s operating budget for the affected FY for the following project types: • Projects in communities or housing developments within CHDO’s service area where CHDO has not developed a project since 2008, or • where the CHDO is proposing a new type of project that the CHDO has not previously undertaken; • Projects in ASDN outside CHDO’s service area; • Project for special needs population • Up to $25,000 for all other project types

16. Areas of Statistically Demonstrated Need • ASDN include: • Communities or housing developments located within the Offeror’s service area where Offeror has not developed a project since 2008. • Communities designated as underserved areas by MFA, which are outside the CHDO’s service area. • Federally designated colonias, tribal trust lands and land grants • Special Needs Populations • Projects for special populations are eligible for funding up to $30,000 regardless of Geographic area.

17. Special Needs Populations Special Needs Populations Definition: • Low-income persons who: • Are 55 years or older; • Have physical or developmental disabilities, or • Have chronic mental illness per HUD Handbook 4571.2, S 1-5, Parts A.2 & A3 A minimum of 25% of the total units must be specifically set aside for Special Needs Populations in order to qualify for the higher subsidy

18. Areas of Need Specific ASDN have been identified for the following type of development projects: • Single-family developments – Statewide (except ABQ and Las Cruces) • Rental acquisition and rehab – Bernalillo, Dona Ana, Luna, Roosevelt, San Miguel, Santa Fe, Sierra, Socorro, Taos, Torrance and Valencia • Rental new construction – Bernalillo, Chaves, Cibola, Curry, Dona Ana, Eddy, Lea, Roosevelt, Sandoval, San Juan, Taos and Valencia

19. Scoring Criteria Capacity and Experience 40 Points Program/Project Readiness 30 Points Finance 15 Points Program Specific 15 Points Total Points 100 Points Must score minimum of 65 points to qualify for funding

20. Scoring Criteria Capacity and Experience values: • Housing Production history = 10 points max • Frequency of monitor findings = 10 points max • Access to skilled individuals = 10 points max *** NEW RULE – must have paid staff with Housing Development experience – no consultants or volunteers • Trainings = 5 points max • Housing Development Certificates = 5 points max Program/Project Readiness values: • Proposed Number of units = 10 points max • Project completion projection = 10 points max • Funding leveraging = 10 points max

21. Scoring Criteria Finance values: • Audit findings = 10 points max • Fiscal oversight = 2 points max • Checks and Balances = 3 points max Program Specific • Community Need = 15 points Max

22. Proposal FormatInstruction to Offerors 4. A recent letter of support of local government from area(s) where requested funds are to be used. Letter must be dated during the prior (6) six months from the date of the Response to the RFP; 5. Signature of an official authorized to obligate the Offeror on the Offeror’s certification form. 6. Offeror’s IRS certification as a 501 (c) 3 organization

23. Submission Procedures • Proposals must be sealed and clearly identified on the face of the envelope, “Response to CHDO RFP” • Unsigned proposals will not be accepted • All questions on the Application must be answered and Exhibits completed. • Proposals will not be opened publicly but will be opened in the presence of more than one MFA employee. • Send one copy of financial audit and three copes of the application.

24. Proposal Submission Received by MFA no later than April 20, 2012, 4:00 PM Mountain Time Proposals must be in sealed envelopes marked “Response to CHDO RFP” to the attention of: Shannon Tilseth, Administrative Assistant New Mexico Mortgage Finance Authority 344 4th St. SW Albuquerque, NM 87102

25. RFP Questions and Answers An FAQ will be set up on MFA website at http://www.housingnm.org/faq the day after the CHDO RFP training and will close two (2) business days before the CHDO RFP due date. Refer to Timeline below for dates. • Questions on RFP and application must be submitted via the MFA FAQ venue.

26. RFP Questions and Answers To submit your questions, http://www.housingnm.org/chdo-rfp • Should the schedule change, respondents will be notified by email. • MFA will make every attempt to post answers to questions on web site within 2 (two) business days after questions have been posted. 

27. Deficiency Correction Period DEFICIENCY CORRECTION PERIOD IS ONLY FOR THRESHOLD ITEMS. • MFA will communicate proposal deficiencies of the RFP to the contact person within 10 business days of the Proposal Submission date via e-mail and US Mail. • Applicants will have 5 business days after the date of the e-mail delivery notice to submit additional information regarding threshold. • The Deficiency Correction Period may not be used by the Applicant to alter the original structure of the Application. • If the information requested is not provided within the timeframe provided, or is submitted but remains deficient, the Application will be rejected without any further review.

28. Award Notice • Proposals will be evaluated by an Internal Review Committee of MFA staff using the criteria listed in Parts II, III, and IV of the RFP. • Notification of preliminary selections will occur on or around May 18, 2012 • An MFA Board Committee will also review the recommendations and proposals and final selection will be made by the full MFA Board of Directors. • MFA shall provide written notice of the award to all Offerors within two (2) business days of the date of the approved award. • The award will be contingent upon successful negotiations of a final contract between MFA and the Offeror whose proposal is accepted by MFA.

29. Protest • An Offeror who is aggrieved in connection with this RFP or the notification of preliminary selection to this RFP may protest to the MFA. • The protest must be based on an allegation of a failure to adhere to the evaluation process as designated in the RFP, including MFA’s evaluation of proposals • The protest must be written and addressed to: Shannon Tilseth, Administrative Assistant New Mexico Mortgage Finance Authority 344 4th St. SW Albuquerque, NM 87102

30. Protest • The Protest must be delivered to the MFA within fifteen (15) calendar days after the notice of preliminary selection . • The Administrative Assistant will give notice of the protest to all Offerors who appear to have a substantial and reasonable prospect of being affected by the outcome of the protest. • The Offerors receiving notice may file responses to the protest within seven (7) calendar days of notice of protest. • The protest process shall be: • A review by the Contracted Services Committee of MFA’s Board of Directors; • That committee’s recommended action on the protest to the full Board of Directors.

31. Timeline • March 21, 2012 RFP release date  • March 23, 2012 Scheduled RFP Training / FAQ on website opens • April 18, 2012 RFP FAQ Closes • April 20, 2012 Deadline for receipt of proposals by MFA • May 11, 2012 Scheduled Deficiency Correction Period Ends • May 18, 2012 Notice of Preliminary Selections • June 8, 2012 End of 15 day protest period • June 11, 2012 End of 7 day protest response period • June 20, 2012 Final Award Recommendations to MFA Board

32. Questions? • Does your agency qualify? • Do you have an identified development project? • Do you have experienced staff in housing development? • Does your agency lack operating funds? • MFA looks forward to hearing from you!