Code of Maine Rules
19 - DEPARTMENT OF ECONOMIC AND COMMUNITY DEVELOPMENT
498 - OFFICE OF TOURISM AND COMMUNITY DEVELOPMENT
Chapter 20 - COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM 2001 PROGRAM STATEMENT
Section 498-20-1 - PROGRAM OVERVIEW

Universal Citation: 19 ME Code Rules ยง 498-20-1

Current through 2024-38, September 18, 2024

A. CDBG OBJECTIVES

The Maine CDBG Program serves as a catalyst for local governments to implement programs which:

1. benefit low and moderate-income persons;

2. are part of a long-range community strategy;

3. improve deteriorated residential and business districts and local economic conditions;

4. provide the conditions and incentives for further public and private investment; and

5. foster partnerships between groups of municipalities, state and federal entities, multi-jurisdictional organizations and the private sector to address common community and economic development problems.

6. minimize development sprawl consistent with the State of Maine Growth Management Act, and support the revitalization of downtown areas.

B. METHOD OF DISTRIBUTION

DECD, through the Office of Community Development (OCD), offers programs to assist municipalities to achieve their community and economic development objectives. The 2001 Program Statement provides a description of the selection criteria that OCD will use to allocate CDBG funds among communities. Programs are grouped under three broad categories - Community Development, Economic Development and Planning.

1. Community Development
a. Housing Assistance Grants

b. Public Facility Grants

c. Public Infrastructure Grants

d. Public Service Grants

e. Downtown Revitalization Program

f. Urgent Need Grants

g. City of Augusta Capitol River District Set-Aside Grant

2. Economic Development
a. Development Fund

b. Regional Assistance Fund

c. Micro-Loan Program

d. Economic Development Infrastructure Grants

e. Business Assistance Program

f. Interim Finance Program

3. Planning
a. Project Development Phase Planning Grants

b. Community Planning Grants

c. Housing Assessment Planning Grants

C. STATE ADMINISTRATION

1. General Administration Allocation: Pursuant to Section 106(d) (3) (A) of the Housing and Community Development Act of 1974, as amended, (the Act) the DECD will utilize $100,000 plus 2% of its allotment from the Department of Housing and Urban Development (HUD) to administer Maine's CDBG Program in accordance with Federal and State requirements.

2. Technical Assistance Administration Allocation: Pursuant to Section 106(d) (5) of the Act, DECD will utilize 1% of its allotment from HUD to provide technical assistance to local governments and nonprofit program recipients.

D. EXCLUSION OF ENTITLEMENT COMMUNITIES

The entitlement communities of Auburn, Bangor, Lewiston and Portland are not eligible to receive State CDBG program funds.

E. NOTICE - GRANT ADMINSTRATION REQUIREMENT

Beginning with the 2000 CDBG grant awards, communities must employ a certified grant administrator (as employee or consultant) or send whoever will be administering their program to the next offered grant administrator training program. The goal is to have all grantees using the services of certified administrators as soon as possible. Communities may request exceptions to the requirement under special circumstances.

F. PROGRAM TIMEFRAME

Application deadlines - 4:00PM on the dates listed:

Public Infrastructure................................................................................ December 8, 2000

Public Facilities.......................................................................................... December 8, 2000

Housing Assistance.................................................................................. February 16, 2001

Downtown Revitalization........................................................................... January 19, 2001

Economic Development Infrastructure.................................................... Ongoing beginning

.................................................................................................................... January 4, 2001

(official application acceptance, 1st Thursday of every month)

Public Service.................................................................................................... April 6, 2001

Micro-Loan.................................................................................................. February 9, 2001

Community Planning................................................................................. February 16, 2001

Housing Planning...................................................................................... February 16, 2001

Urgent Need....................................................................................... 1st come basis beginning March 2, 2001

Development Fund.................................................................................................... Monthly

(official application acceptance, 1st Thursday of every month)

Business Assistance Program....................................................................................... Open

Regional Assistance Fund.............................................................................................. Open

Interim Finance Program................................................................................ 1st come basis beginning January 1, 2001

G. PROGRAM BUDGET

COMMUNITY DEVELOPMENT BLOCK GRANT

2001 Program Budget

FY 2001 CDBG Budget $16,377,000
Administration 427,540
Technical Assistance Administration 163,770
Regional Council Technical Assistance 152,690
1. Housing Assistance Grants 2,400,000
2. Public Infrastructure Grants 3,600,000
3. Public Facilities Grants 1,500,000
4. Public Service Grants 200,000
5. Urgent Need Grants 200,000
6. Downtown Revitalization Grants 1,200,000
7. City of Augusta - Capitol River Improvement District 500,000
8. Development Fund 500,000
9. Economic Development Fund 5,000,000
Business Assistance Economic Development Infrastructure Regional Assistance Fund Interim Finance Program (see below*)
10. Micro Loan Program 150,000
11. Community Planning 158,000
12. Housing Assessment Planning 150,000
13. Project Development Phase Planning 75,000

* The budget for the Interim Finance Program is comprised of monies not yet disbursed from each of the other programs. These monies are lent on a short-term basis. The maximum budget for this program is $5,000,000. This program is capitalized only as loans are issued.

H. THRESHOLD CRITERIA AND REGULATIONS FOR THE CDBG PROGRAM

The following state and federal regulations APPLY TO ALL PROGRAMS:

1. Federal and State Certifications for Local Governments:

All communities applying for CDBG funds must certify that they will:

minimize displacement and adhere to a locally adopted displacement policy in compliance with Section 104(d) of the Act; take action to affirmatively further fair housing and comply with the provisions of the Civil Rights Acts of 1964 and 1968; not attempt to recover certain capital costs of improvements funded in part with CDBG funds; establish a community development plan; meet all required State and Federal public participation requirements; comply with the Federal requirements of Section 319 of Public Law 101-122 regarding government-wide restriction on lobbying; with the exception of administrative or personnel costs, verify that no person who is an employee, agent, consultant, officer, or elected official or appointed official of State or local government or of any designated public agencies, or subrecipients which are receiving CDBG funding may obtain a financial interest or benefit, have an interest in or benefit from the activity, or have an interest in any contract, subcontract or agreement with respect to CDBG activities; review the project proposed in the application to ensure it complies with the community's comprehensive plan and/or applicable state and local land use requirements.

2. The following general requirements apply to all programs:
(a) Prohibition on Multiple Grants: Except for the Development Fund (DF), Economic Development Infrastructure (EDI), Business Assistance (BA) and Regional Assistance Fund (RAF) programs, units of general local government and unorganized territories may not apply for, or benefit from, more than one grant per program category in any grant year.

Communities participating in multi-jurisdictional applications may submit their own application for the same program as long as they demonstrate that there will not be a duplication of program activity/benefit.

(b) Prohibition on Subsequent Year Award: Except for the Development Fund, Economic Development Infrastructure, Business Assistance, and Public Infrastructure grant programs, units of general local government and unorganized territories that benefited from a 2000 award may not apply again in that specific program until the 2002 program. Public Infrastructure grantees may receive grants in consecutive years to complete the same or related project. Communities may apply for and receive Public Infrastructure grants and Public Facility grants in subsequent years. These are considered different programs.

(c) Restriction of Grant Awards: OCD may restrict the award of grants to communities with outstanding audit or monitoring findings or a record of administrative misconduct.

(d) Project Development Phase Planning Grants: Project Development Phase participants may be eligible for planning grant funds on an as needed basis to assist with payment of project development costs. Extent of assistance shall be determined by OCD staff to a maximum of $2,500, most grants will not exceed $2,000.

(e) Grant Termination: OCD will terminate a community's grant if progress on the project is not apparent within 6 months from the date of contract signing. The Program Manager may grant waivers for cause.

(f) Eligible Activities: Applications will be reviewed to determine that the activities proposed are eligible under Section 105(a) of the Act. Activities not eligible for CDBG funding will not be considered.

(g) Project Benefit: Applications will be reviewed to verify that the proposed activities meet one of the CDBG Program national objectives pursuant to Section 104(b) 3 of the Act. If the activity does not meet a national objective the application will not be considered for funding.

(h) Repayment of Grant Funds: Recipients must repay to the State of Maine all funds expended if program benefits are not achieved.

(i) Changes in Title 30-A, Subsection 4349-A as amended by PL 776 : Significant changes were made to the "Growth Management Act" by the 119th Legislature that affect the award of CDBG grants after January 1, 2001. OCD will provide information separate from the Program Statement outlining these changes and their impact on the award of CDBG grants for "growth related capital investments" as defined in the statute.

(j) Preference for Communities: In accordance with Title 30-A subsection 4349-A(3) OCD is required to give preference in the award of grants for capital investments not defined as "growth related" in subsection 4301(5-B) to communities with certified growth management programs or that have adopted a comprehensive plan and implementation strategy consistent with the goals and guidelines of the subchapter over a municipality that does not obtain the certificate or finding of consistency within 4 years after receipt of the first installment of a financial assistance grant or rejection of an offer of financial assistance.

3. Eligible Applicants:

All units of general local government in Maine, including plantations, except for the entitlement communities of Portland, Bangor, Lewiston and Auburn, are eligible to apply for and receive CDBG funds. County governments may apply on behalf of unorganized territories. Groups of local governments may apply for multi-jurisdictional or joint projects. Multi-jurisdictional applications require designation of one local government as the lead applicant and consent for that designation by each participating local government. Counties may apply for Economic Development Infrastructure, Business Assistance, Development Fund, Regional Assistance Fund, Public Service or IFP grant programs on behalf of a collaboration of communities.

4. Scoring of Applications

Applicants will be placed in rank order from highest to lowest according to the scores determined by the scoring team. Raw scores will be converted to ordinal rankings. Final scores will be determined by: (all scores - lowest score) / (all scorers - 1). Starting at the top of the scoring list, applicants will be invited to proceed to the Project Development Phase. An invitation into the Project Development Phase or notification to complete a final application is not a guarantee of funding. However, successful communities will receive an amount determined by the OCD for their project, but not to exceed the maximum grant award for that program.

5. Project Development Phase & Final Application Project Development
(a) Project Planning: Details of the project including pre-engineering, inspections, cost analysis, feasibility and/ or market studies.

(b) Management Plan: Details of the structure and methods established by the community for program management.

(c) Regulations: Project Development Phase applications will be reviewed for compliance with State and Federal regulations.

(d) Project Eligibility: Verification that proposed activities are eligible under the Act.

(e) Project Benefit: Verification that proposed activities meet one of the CDBG Program national objectives.

(f) Environmental Review: Review of project for compliance with stateand federal environmental regulations.

The goal of the Project Development Phase or final application is a grant contract for CDBG funds. An OCD Project Development Specialist will be assigned to work closely with each community to finalize their project. Communities not completing their Project Development Phase or final application within six months of receiving an invitation will forfeit their grant award. The CDBG Program Manager may waive this requirement in light of extenuating circumstances.

Disclaimer: These regulations may not be the most recent version. Maine may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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