Summer 2024 Round 14: American Rescue Plan Act (ARPA) Special Funding
Permanent Supportive and Deeply Affordable Housing
Overview
The Summer 2024 Round 14 for the Barnes Fund will consist of $7,551,528.75 in American Rescue Plan Act (ARPA) dollars. These funds, allocated by the Metropolitan Council and administered by the Housing Trust Fund Commission through a competitive application model, will be available for the following specific purposes:
- Rental housing for 30% AMI or below for households experiencing homelessness, utilizing the Coordinated Entry Process (defined below). Projects may include either:
- Permanent Supportive Housing (PSH) (defined below) with a Housing First approach (defined below) or
- Other Deeply Affordable Rental for 0-30% AMI
- Permanent Supportive Housing projects will receive bonus points.
- Barnes Funded units may be included in a mixed income development. The income restrictions and Coordinated Entry and Housing First requirements would only apply to Barnes Funded units.
- Project must be completed, and all funds must be expended by 12/31/26.
Definitions
Permanent Supportive Housing
Permanent Supportive Housing (PSH) is a housing intervention that combines affordable housing assistance with voluntary supportive services. PSH is intended to help those with a disabling condition exiting homelessness and other institutions obtain and maintain housing as well as improve health and connection with the community.
Housing First
Housing First is an approach to quickly and successfully connect individuals and families experiencing homelessness to permanent housing without preconditions and barriers to entry, such as sobriety, treatment or service participation requirements. Supportive services are offered to maximize housing stability and prevent returns to homelessness as opposed to addressing predetermined treatment goals prior to permanent housing entry. Metro Nashville requires a Housing First approach for all Permanent Supportive Housing.
Coordinated Entry
Coordinated Entry (CE) is a process designed to quickly identify, assess, refer, and connect people in crisis to housing, shelter, and assistance. There are over 30 agencies in Nashville that participate in the Coordinated Entry process. The Office of Homeless Services is the Coordinated Entry lead agency and coordinates the strategic planning and day to day functioning of the Coordinated Entry process. Coordinated Entry is a system-wide approach that serves to assess all persons experiencing a housing crisis to help identify, prioritize, and connect them with the appropriate housing and support service resources as quickly as possible.
To address barriers to equity and organizational development, 20% of this funding ($1,510,305) will be set aside for small organizations with operating budgets below $2,000,000 per Barnes requirements. Awards in the small organization category are capped at $750,000.
Round 14 Questions and Answers
Round 14 Questions and Answers
Round 14 Information Sessions
Information session (virtual) were held via WebEx:
Barnes Fund Round 14 Information Session Presentation
Round 14 Timeline and Expectations
Applications for Round 14: American Rescue Plan Act (ARPA) Special Funding will open on June 4 and close July 15, 2024.
- Application Availability: Applications will be available beginning Tuesday, June 4, 2024, and will be managed through an online application system which will be found on the Barnes Fund website: Barnes Housing Trust Fund | Nashville.gov.
- Information Sessions: Information sessions will be held virtually on June 12 and June 18. Interested applicants are encouraged to attend an informational session. If possible, recordings of informational sessions will be posted on the Barnes Fund website.
- Questions: Interested applicants may submit questions in writing from June 4 through 12:00 p.m., on June 19. Written questions should be emailed to: [email protected], Subject: R14 Application Questions. In addition, applicants will have opportunity to ask any questions during the information sessions. Responses to questions will be posted to the Barnes Fund website and emailed to information session participants and persons who submitted questions on June 24.
- Application Deadline: The application window will close on Monday, July 15, at 11:59 p.m. Late applications will not be accepted.
- Internal Review: Staff will conduct an internal review from July 16 to July 30 to determine which applicants meet threshold criteria. During this period, staff may ask clarifying questions or request additional documentation if needed. A 48-hour response is expected.
- External Review: For applications that pass threshold review, external review will take place between July 31 and August 21.
- Award Recommendations: The Housing Trust Fund Commission will vote on recommended awards at the August 27 meeting.
- Contracting: Contracting with awardees will begin immediately after Commission approval.
- Council Approval: The goal is to file legislation for Metro Council approval of contracts in October.
- Review of Unfunded Applications: Applicants who are not awarded funds may seek a consultation with staff to review the application after Metro Council has approved all R14 awards.
How to Apply
- Before applying, please read the complete description of Round 14 grant policy and eligibility requirements at Summer 2024 Round 14: Permanent Supportive and Deeply Affordable Housing Grant Policy. It contains important information that will be needed for application preparation.
- Applications will be accepted beginning June 4, 2024, and closing July 15, 2024.
- No paper applications will be accepted. Applications must be submitted online through the links available on this webpage.
- Inquiries may be sent to [email protected].
Round 14 Application
Please note that all uploads are contained in the Survey Monkey Apply applications and can be downloaded from there.
Round 14 Application Uploads/Attachments
- Universal Design Checklist
- Energy Efficiency and Sustainability Checklist
- Board-Staff-Program DEAI Checklist
Round 14 Scoring Information
Round 14 Scoring Matrix – Permanent Supportive and Deeply Affordable Housing
Eligibility Requirements
Eligible proposals for Round 14 must create or preserve affordable housing opportunities in Nashville-Davidson County, Tennessee.
Specific Requirements for Round 14
- Residents served must be at or below 30% of the Area Median Income AND experiencing homelessness.
- Projects may include either Permanent Supportive Housing (PSH) or other Deeply Affordable Rental for 0-30% AMI.
- Applicant must demonstrate project team experience providing Permanent Supportive Housing (if proposed), serving 0-30% AMI households (if proposed), and individuals experiencing homelessness.
- If proposing Permanent Supportive Housing, applicant must demonstrate how PSH services will be provided and include MOU/LOI from PSH service provider. If the applicant is providing services, it must demonstrate capacity.
- If proposing PSH, must describe and document funding source for PSH services. To meet ARPA timeline, service provider must already have funding in place to provide supportive services. Barnes Round 14 Grant Funding cannot be used to provide PSH services.
- Maximum Development Fee allowed is 25%.
- Because ARPA funds have strict expenditure deadlines, all proposed projects must already meet zoning and land use requirements. This Grant Contract in no way serves to supersede the authority of the Metro Nashville Planning Commission or the Metropolitan Council’s authority to approve or deny zoning or land use changes on the proposed property and shall not be used for such purposes.
- Site control is required. Evidence of site control includes deed in hand, a 99-year ground lease, or a signed sales contract. R14 ARPA funds may be used to acquire and renovate motels for Permanent Supportive Housing (and site control demonstrated with sales contract or option), but not for other acquisition purposes.
- Applicants are encouraged to have multiple funding sources outside of Barnes request; however, applicants cannot utilize other Metro funding, including other Barnes Funds grants or Affordable Housing Gap Financing from MDHA for the same units. R14 funds are intended to create net new units. However, applicants may utilize the Low-Income Housing Tax Credit PILOT, if applicable.
- If other funding sources require environmental or other reviews, applicant must demonstrate that such reviews will not hamper project’s ability to meet required timeline.
- Developers must agree to lease all PSH and 0-30% AMI units through the Coordinated Entry (CE) process managed by Metro Office of Homeless Services (OHS). Applicants’ eligibility shall be determined using the Coordinated Entry Process managed by Metro Office of Homeless Services (OHS).
- Recipients shall not increase rents during an agreed upon lease term. If the recipient desires to increase rents upon lease renewal, Metro Office Homeless Services (OHS) and the jurisdictive PHA (if applicable) must be notified in writing 120 days in advance of the preceding lease terms end date and must be approved by Metro Office Homeless Services (OHS) and the jurisdictive PHA (if applicable) before execution of the renewed lease.
- As it relates to units occupied by tenants who do not receive housing subsidies, increased rental rates shall not surpass the fair market rent as determined by HUD.
- As it relates to units occupied by tenants who receive housing subsidies, increased rental rates shall not surpass the approved contract rent amount(s) as determined by the jurisdictive PHA.
- As it relates to units that have housing subsidies affixed, increased rental rates shall not surpass the approved contract rent amount(s) as determined by the jurisdictive PHA.
- The contract between Metro and grantee will be for 24 months. Funds must be expended by 12/31/26, with no extensions allowed. Application must include timeline and milestones showing that project will be complete, and all funds expended by 12/31/26.
Details about Coordinated Entry (CE) process
The following described the responsibilities of Metro Office of Homeless Services (OHS) as it related to Coordinate Entry:
- Through community coordination and Coordinated Entry (CE) prioritization protocol, refer appropriate client applicants from the By Name List to vacancies in the Applicant’s Barnes-funded units. Referrals will be made within 1 week of the vacancy. MOHS agrees to process all client applicants and make referrals in accordance with the community’s established CE process requirements. Before referring a client applicant, MOHS also will validate that each: a) is experiencing homelessness and b) has an appropriate housing subsidy.
- Refer client applicants to partner agencies for ongoing support services to assist in the transition from homelessness to housing. If CE cannot assign support services case manager from a partner agency, MOHS staff will provide support services for the client applicant until a case manager is available.
- If a client applicant is not well suited for placement, OHS will assist a partner agency in referring the client applicant to another housing resource and refer a new client applicant to the vacant unit.
- Update HMIS to include all required documentation and HMIS Universal data elements and program specific data elements.
- Investigate and address complaints regarding data collection, VISPDAT scoring and/or other assessment process tools.
- Enter data into any additionally mutually agreed upon collections tools.
Standard Barnes Funds Requirements
- Applicant must be 501(c)3 nonprofit. The nonprofit may partner with a for-profit developer as long as the nonprofit maintains 51% control of the development. Team and partnership structures should be described in the application.
- Applicants must have good financial standing including a positive cash flow and demonstrate the financial ability to carry out the project.
- Nonprofits who serve their mission through housing, but whose mission is not specifically the creation or preservation of housing, must partner with an experienced general contractor or other experienced partners with development experience.
- Proposals must include Universal Design Checklist.
- Project proposals must meet Energy Efficiency and Sustainability Checklist standard.
- Unless otherwise prohibited by local, state, or Federal law, these programs will be open to all at-risk adults (defined above) regardless of immigration status.
- Previously funded grantees must be in good standing with the Commission based on their project completion and progress within their contract period.
- Applicants are encouraged to have multiple funding sources outside of the Barnes request.
- Applicants will describe the level of due diligence performed to understand zoning, permitting, and code requirements for the proposed project.
- Level of design for the proposed project must be specified.
Minimum Standards Required for Consideration
Several minimum standard criteria must be met in order to be considered for funding.
Note: If these criteria are not met, staff will not advance the application for further review.
Complete Application and Attachments
Submitted applications must be complete.
- All questions are answered thoroughly through entire narrative.
- All required uploads listed in the application are attached.
Financial Standing
- All applicants must have good financial standing, including a positive cash flow.
- Organizations with an annual budget above $500,000 must provide an audit with no findings for the Lead Organization, completed within the past 24 months. Small Organizations with annual budgets of $200,000 to $500,000 must provide Financial Statements completed by an independent CPA.
Organizational/Partnership Structure
- Organizational information must be complete. All partners are listed.
- Applicant must be a 501(c)3 nonprofit organization.
- No part of the leadership team is involved in a lawsuit or subject to outstanding claims related to safety violations or wage payments.
- The percentage of total Barnes request that will be used for your administration/development fee cannot exceed 25%.
Properties
Metro is not making property available for Round 14. Applicant must provide own land. Applicant must demonstrate site control by answering whether the title is clear and the form of the site control (option, signed sales contract, deed in hand, or signed 99-year ground lease).
Site Control/Zoning
- Do you have a site?
- Is the title clear?
- Because ARPA funds have strict expenditure deadlines, all proposed projects must already meet zoning and land use requirements. To demonstrate zoning compliance, applicants should obtain and submit an official zoning letter from the Codes Administrator. To request a letter, email [email protected], Subject: Request for Zoning Letter for Barnes Fund Application, and provide your proposed project information, including street address and parcel number(s). Complete application and attachments