NY Main Street Program
Questions and Answers

Revised 13 December 2007

Program Basics
Eligible Activities
Area Eligibility
Applicant Eligibility
Match/Leverage
Application Process
Other Program Requirements

Program Basics

1.

What are Eligible Activities under the New York Main Street (NYMS) program?

Eligible activities include providing funds to building owners for façade renovation grants, to preserve or restore original architectural elements or provide a consistent streetscape; for building renovation grants, to fund necessary interior and exterior rehabilitation that will create or maintain jobs or businesses; for downtown anchor grants, which will provide gap financing for more extensive rehabilitation of important main street buildings to create business or cultural anchors; and for streetscape enhancement grants, which will only be provided in combination with one of the other activities, to fund tree planting, street furniture, kiosks, public informational signage, and other ancillary enhancements.

2.

Who can apply for NYMS Funds?

Only agencies incorporated under the NYS Not-For-Profit Corporation Law that have been serving their communities for at least one year may receive funding. Community based not-for-profit corporations, Neighborhood and Rural Preservation Companies, Business Improvement Districts incorporated pursuant to the Not-For-Profit Corporation Law, and not-for-profit charitable organizations in existence for at least one year are all eligible to apply to Housing Trust Fund Corporation (HTFC) as Local Program Administrators (LPAs). Owners of properties located in designated main street districts will apply to the LPA for funding for individual projects.

3.

What areas are eligible for funding?

NYMS is a state-wide initiative. Eligible areas include any traditional main street, downtown retail district, or neighborhood business district that is part of an eligible area for the purposes of the Community Development Block Grant (CDBG) program, Housing Trust Fund program, or other similar community development, economic development, or urban renewal program, or in an area designated as an economic development zone, enterprise community, or similar designation. Any traditional main street or downtown retail district in an area served by, or eligible to be served by, a Neighborhood or Rural Preservation Company is an eligible area. Any other main street district that is located in an area where at least 51% of the residents have incomes at or below 80% of state or area median is also eligible. Activities must occur within recognized mixed use (commercial/residential) business districts in urban, small town, or rural areas.

4.

What is the minimum amount of NYMS funding for which an applicant can apply?

$50,000

5.

What is the deadline for completing a project?

All contract activities must be completed within two years from the effective date of the contract.

6.

Are there restrictions that will be placed on the administration of a NYMS Program once an award is made?

Each main street program will be governed by an Administrative Plan. After awards are made, successful applicants will follow the Administrative Plan, to address issues consistent with federal or State regulations.

7.

What is included in the Administrative plan?

The Administrative Plan is a guide for the LPA in conducting a program in an open, fair and efficient manner that is responsive to the needs of the local community.  It should address such matters as project selection, project development, construction management, financial management, and ongoing maintenance. HTFC staff is available to provide guidance, including sample language on these matters.

8.

What restrictions will apply to owners receiving NYMS funds to improve a building?

For properties receiving a Façade Renovation Grant, Building Renovation Grant and/or Downtown Anchor Grant, the property owner must execute a Declaration in a form specified by HTFC which shall be filed in the County Clerk’s Office in the county in which the assisted property is located. The property owner must ensure the improvements are maintained for a minimum of seven years. If the property is transferred during that period the new owner must agree to assume the responsibility of maintaining the asset or all grant funds are subject to recapture by HTFC. The Declaration will also apply to residential units assisted with NYMS funds requiring the owner to market them and keep them affordable to low-income households for at least a seven-year period.

Is the creation of new residential units encouraged, or is the goal of the program the preservation and improvement of existing units?

Creation of new units through rehabilitation or adaptive re-use of existing buildings is a program goal, but new construction, as the term is generally used, is not eligible. The NYMS program is intended to promote mixed-use districts.

10.

Is there a particular main street program model that should be followed?

NYMS is a comprehensive grant program that provides funding for local revitalization efforts and technical assistance to help communities build the capacity required to grow their downtown or neighborhood retail district. Successful applicants will: involve local residents, businesses, and property owners in making decisions about program implementation; address design issues in a contextually-appropriate manner; follow a coordinated outreach and communication strategy to publicize district activities; and implement an effective business strategy to recruit appropriate businesses and measure and evaluate progress in meeting district goals. Housing is a key component in any successful main street revitalization. Affordable, marketable housing in upper-floor spaces and on adjacent streets helps to strengthen the social and economic vitality of the business district. HTFC believes that a holistic approach to main street revitalization that involves aesthetics, business creation/retention, and housing will lead to healthy and economically vibrant communities. In the end, a combination of capacity and capital is needed to revitalize main streets across the State. The NYMS program is designed to help address these needs.

11.

Will there be a mechanism for obtaining community input regarding the NYMS Program?

NYMS is administered by locally-based, not-for-profit organizations (LPAs). This structure should maximize public input on a continuous basis. The New York State Division of Housing and Community Renewal (DHCR) will monitor LPAs on a periodic basis. DHCR will also consider methods of obtaining feedback directly from Main Street Communities. A NYMS web site (http://www.nymainstreet.org) and mailbox (MainStreet@nysdhcr.gov) have been established that will also provide an opportunity for public input.

Eligible Activities

12.

Can a building with multiple storefronts be eligible for more than one façade grant?

If there are two or more separate entrances on the main street, more than 40 feet of frontage on the main street, and the building consists of two or more stories, the property may be considered eligible for two façade grants. Some larger buildings may be eligible for more than two façade grants. A single storied building may be considered if it has historical significance (built prior to 1945) and has at least 80 feet of frontage and 4 or more separate entrances on the main street. In these cases, separate façade grants may be permitted for each façade section. Whenever there are contiguous buildings or storefronts, they must have consistent façade treatments, and the State Historic Preservation Office (SHPO) must be provided an opportunity to review and suggest appropriate work items.

13.

Can façade funding only be used on the side of a building that faces the main street?

Façade funding should generally be used on the side of the building facing the main street. There may be exceptions. A corner building may have a significant side façade. In some communities, buildings are accessed via a rear parking lot, and it would also be possible to have a rear façade. In such cases, the façade funding limitations would still apply.

14.

Can you use NYMS funds to improve a side entrance to residential space?

The side entrance may be assisted, provided that the portion of the building that is on the main street has been addressed.

15.

Will HTFC consider an application that only requests funds for streetscape enhancement?

No. Streetscape enhancement grants are meant to be ancillary to a community's comprehensive efforts to improve the aesthetics and economic vitality of its main street .

16.

Does the Streetscape Enhancement Grants component classify as "eligible" any improvements to be used by the public, but not located in the public right-of-way (e.g., sidewalks)?

Streetscape Improvements can be privately owned or on a public right of way. An easement assuring public access to such improvements will be required. Public improvements that are ordinarily operation and maintenance responsibilities of local government, such as street paving, parking facilities, or new sidewalks are not eligible.

17.

Can NYMS funds be used to assist publicly owned buildings, such as a library that is financed through local taxes?

NYMS funds can not be used on municipal buildings or for municipal purposes. However, if a municipality owns a building and has a formal agreement, structure, or lease with a not-for-profit organization to operate a cultural anchor within the building, the not-for-profit can apply to the LPA for NYMS funds. An agreement between the municipality and the not-for-profit that makes the property available to the not-for-profit for at least seven years will be required.

18.

Can NYMS funds be used to assist civic buildings such as museums, cultural centers, performing arts centers or libraries?

Yes. If owned or operated by a not-for-profit corporation.

19.

Can NYMS funds be used to cover the LPA's administrative costs?

No. Applicants must cover administrative costs from other sources.

20.

Are projects that are already in progress eligible for funding?

Yes, if the work has already been cleared under the State Environmental Quality Review Act. However, NYMS funds cannot be used to substitute for other committed funding and the applicant must show that "but for" NYMS funding the proposed project could not be completed.

21.

If the work has already been done before the application is submitted, can the owner get reimbursed?

No. NYMS funds can only pay for work done after the effective date of the grant agreement; however, some work done prior to that time may be recognized as match or leverage. Applicants are cautioned that any work done prior to execution of the grant agreement is done at the risk of the applicant.

22.

Can an LPA provide NYMS funds to a building that is under renovation at time of application and is completed subsequent to the grant award?

If the work done subsequent to the award of funds is part of a distinct phase, with a separate work scope, it may be eligible if it has already been cleared under the State Environmental Quality Review Act. Renovation costs incurred subsequent to the grant agreement execution date would be eligible. Projects begun prior to execution of the grant agreement are undertaken at the owner's risk, and HTFC has no obligation to provide funding.

23.

Can NYMS funds be used to rehabilitate only the façade of an existing building, or must interior work also be done?

In order to use NYMS funds to just rehabilitate a façade on a building, LPAs must ensure that there are no outstanding Code violations or obvious health and safety issues, and that the building will be used for a purpose consistent with the proposed rejuvenation of the main street.

24.

Can NYMS funds be used to erect a false façade where there is no building?

A façade in this context would be viewed as a "streetscape enhancement". It would be subject to the total $25,000 limitation on such improvements, and it would have to be ancillary to building renovation grants or downtown anchor grants.

25.

Can NYMS funds be used for new construction?

No. New construction, as usually defined, is not permitted.

26.

Can NYMS funds be used for construction of in-fill buildings?

No. Construction of in-fill buildings is not eligible.

27.

Can NYMS funds be used to construct an additional story on an existing building?

NYMS funds cannot be used for this purpose, but where appropriate, costs to construct an architecturally-consistent addition to provide residential space above existing commercial space may be considered an eligible match.

28.

Can NYMS funds be used for demolition?

NYMS funds cannot be used for demolition of an entire structure. Some interior demolition, if necessary as part of a Building Renovation Grant or a Downtown Anchor Grant, may be permitted.

29.

Can a not-for-profit agency, acting as a NYMS LPA, allocate funds to improve a property that it owns?

An LPA may allocate funds to improve a property that it owns under certain circumstances. It must first be consistent with the required administrative plan that the LPA is following and it must be necessary to carry out the main street program as proposed. There must also be a public disclosure in the pertinent community that the LPA is doing this.

30.

Can Main Street funds be used to capitalize a revolving loan fund?

No, revolving loan funds are not an eligible use of NYMS Program funds.

31.

Can an LPA allocate NYMS funds as a loan, for the purpose of maximizing eligible basis in a tax credit project?

NYMS funding could be structured as a loan; however, approval of such will not be granted unless it is required to access other funding, such as tax credits. The loan should be of sufficiently long term, and all repayments must be returned to HTFC. Owner equity generated by the sale of credits may also count as match.

32.

Must residential units assisted with NYMS funds be reserved for occupancy by low-income households?

Any residential unit assisted with NYMS funds that is vacant at application or becomes vacant during the regulatory term must be marketed to, and affordable to, households with incomes at or below 80% of the area median income (or, if higher, 80% of the State median income), as adjusted for family size.

33.

Can market-rate rental units be part of a NYMS project?

HTFC recognizes that incorporating market-rate rental units may strengthen many main street districts. While NYMS funds cannot be used to assist market-rate units, investment in renovation of market-rate units may be considered as an eligible match for NYMS investments in commercial or civic spaces or affordable rental units.

34.

Can NYMS funds be used to assist home-ownership units in mixed-use buildings?

NYMS funds can be used to subsidize rehabilitation costs of cooperatives and condominiums that will be sold to low-income households.

35.

Must all assisted buildings include both residential and civic or commercial space?

No, but applications must propose a comprehensive approach to strengthen both the commercial and residential sectors. Also, the proposed service area should include a mix of uses (residential/commercial/civic buildings).

36.

Can NYMS funds be used for non-residential uses on the upper floors of mixed-use buildings?

Appropriate use of upper floor space may include office or other types of commercial space. If an applicant is proposing a non-residential use on the upper floors of a building, housing needs elsewhere in the mixed-use district must be addressed. Applicants should also demonstrate why the non-residential use is more appropriate for the second floor in the particular building, such as when the hours of operation of the first floor tenant conflict with living-over-the-store (e.g., a residence over a busy restaurant), or a non-residential use on the upper floors results in a better distribution of peak parking demand in the immediate area. (For example, placing offices with a peak parking demand from 9:00 am to 5:00 pm, over a restaurant that may have a peak parking demand from 6:00 pm to 11:00 pm.) There is no need to develop residential and commercial units in every individual building, but each NYMS application must address both the commercial and residential aspects of the main street district.

37.

Will HTFC fund an application for NYMS funds that proposes to only assist a single building?

It is not likely that an application proposing assistance to a single building will be funded. The program is intended to provide comprehensive solutions to targeted mixed-use districts.

38.

Can NYMS fund energy conservation measures? Handicap accessibility improvements? Lead paint hazard control measures? Other health and safety work?

Each of these are eligible uses of NYMS funds.

39.

Is exterior painting an eligible use of NYMS funds?

Yes, if done in conjunction with required façade improvements, or to control of lead paint hazards.

40.

Is signage an eligible expense?

Yes. The signage must be context-sensitive to the overall façade renovation and must not mask the architectural elements of the building. Signage should be installed as part of an overall façade renovation.

41.

Are there restrictions on the use of vinyl/aluminum siding and vinyl/aluminum replacement windows?

Yes. NYMS funds cannot generally be used for vinyl/aluminum siding. Where it is determined that the replacement of windows is necessary, the new windows should match the original window design. Wood windows should not be replaced with vinyl or aluminum windows. Approval of replacement windows by SHPO may also be required.

42.

Can NYMS funds be used to fund interior-lit plastic/vinyl signs?

No. Signs should be exterior-lit and be made of appropriate materials.

43.

Is the purchase of fixtures, furnishings, and equipment for businesses an eligible use of NYMS funds?

Only permanent fixtures may be purchased as part of a building renovation grant and only where that investment can be shown to retain or create jobs or improve access for persons with disabilities.

44.

Is it allowable to complete work on part of a building but leave another part unfinished (to "warehouse" the unfinished space for a future use)?

If the project can be completed in compliance with all applicable codes and ordinances, and the unfinished space does not present a hazard to occupants or users of the building and does not have a negative visual impact on the main street façade, this may be an acceptable practice. However, this can only be done when the investment of NYMS funds will result in occupied commercial and residential space in addition to the unfinished space.

45.

Can NYMS funds be used to improve a church on the main street?

NYMS funds cannot be used to improve any structure that is used for religious purposes.

46.

Is a project that includes a proposed change in the use of a building an eligible use of NYMS funds?

Yes.

47.

For the renovation of a commercial unit on the first floor and residential unit above, if NYMS funds are only used to renovate the commercial space, and other funds are used to renovate the residential space, do the affordable housing restrictions apply?

No, only those units receiving direct investment of NYMS funds will be regulated under NYMS.

48.

Are the costs of architectural services eligible?

Yes, provided that they are necessary and appropriate to the work being done. Costs for general architectural surveys and work on buildings that eventually prove infeasible, and do not receive other investments of NYMS funds, will not be paid by HTFC.

49.

Is a downtown anchor also eligible for a façade renovation grant, in addition to the downtown anchor grant?

Yes.

50.

Can NYMS funds be used for acquisition?

Acquisition is not an eligible use of NYMS funds. Acquisition without renovation does not contribute to the revitalization of the main street. NYMS funds must be used for rehabilitation and renovation.

51.

Can NYMS funds be used for a feasibility study?

No.

52.

Can a not-for-profit that does not have site control for a property at the time of application submission still apply?

Generally, an LPA will not have site control of properties to be assisted at time of application. Before providing a grant to a building owner, the LPA must ensure that the grant recipient has site control. There must be a reasonable expectation that the proposed owner can acquire the property and complete the renovations within the two-year contract period. An LPA may apply to assist a property that it plans to own and manage. If the building is privately owned at the time of application, then the LPA must have firm financial commitments in place for the purchase and a contract of sale with the owner.

Area Eligibility

53.

Will HTFC accept target area designations provided for the CDBG, Empire Zone, or other similar community and economic development programs, in lieu of the income determination for the area?

Yes. If the area has been designated a CDBG target area, Empire Zone, Urban Renewal area, or other federal or State designation, HTFC will accept that designation in lieu of a determination based on the income of residents of the area.

54.

If not directly designated, how should area income be measured for determining area eligibility?

Relevant, current, and verifiable data, including but not limited to the most recent Census data pertaining to the target area, should be presented to demonstrate that a majority of the residents of the target area earn 80% or less than the Area's Median Income (AMI).

55.

Do the area eligibility requirements apply to the specific target area that will be assisted by the NYMS program, or can they be based on demographics of a larger service area that the target area is contained in?

They can be based upon either.

56.

In a village in which less than 51% of the population is below 80% AMI, can the downtown area in which more than 51% of the population is below 80% AMI be designated as the target area, and thus be eligible for a NYMS grant?

Yes. Applicants are encouraged to identify well-defined main street areas. This will maximize the impact that the local program will have on the main street area.

57.

Will HTFC consider proposals that will assist two or more non-contiguous main street districts?

Yes. However, the LPA must demonstrate that they have the capacity to administer such projects and that the service area they have defined is not so broad that it diminishes program impact.

58.

Will HTFC fund proposals that would assist buildings outside of the immediate main street target area, such as on adjacent streets? What about buildings on sites that are set far back from the main street?

Yes. However, the LPA must demonstrate that buildings on the adjacent side street are integral to the overall main street revitalization effort and that the building is located within the defined service area. For example, a theater on a side street that anchors the downtown business district would be eligible for funding.

59.

Is there a preference for funding proposals in districts where contiguous buildings will be assisted?

Yes, since this will generally increase the impact of investment of NYMS funds.

Applicant Eligibility

60.

Will HTFC accept applications from a municipality?

No. Under existing statutory authority, the HTFC may only fund applications from organizations incorporated in New York State under the Not-For-Profit Corporation Law.

61.

Must a not-for-profit organization have IRS 501(c)(3) designation?

The NYMS Program does not require applicants to have 501(c)(3) status. Applicants must have been in existence for at least one year and must be incorporated under the Not-for-Profit Law.

62.

Can an LPA have elected officials on its board?

The board of directors of the LPA should be representative of the residents and other legitimate interests of the area being served. Publicly elected officials serving at or above the State level may not serve on the board of the LPA, unless that participation is otherwise mandated by federal or State statute. No member of a political party's executive committee, at any level, shall serve on the board of the LPA. In urban areas, chief executive officials and members of local legislative bodies are prohibited from serving on LPA boards. In all cases, elected officials should constitute less than half of the board of the LPA.

63.

May an LPA, such as a local Business Improvement District, allocate funds to improve the property of one of its board members?

Under certain circumstances, it may be permitted for an LPA to allocate funds for a property owned by a member of its board. The allocation must first be consistent with the selection procedures described in the administrative plan that the LPA is following. Secondly, there must be a public disclosure in the pertinent community that the LPA is doing this. The board member whose property may receive assistance may not vote on or participate in discussions concerning that matter.

Match/Leverage

64.

Are there matching requirements for NYMS eligible activities?

Façade Renovation Grants, which are limited to no more than $10,000 per building, require a dollar for dollar match. Building Renovation Grants, which are limited to no more than $ 50,000 per building, also require a dollar for dollar match.  Downtown Anchor Grants, which are limited to $100,000, may not exceed 25% of total project costs. In each case no more than half of the required match is expected to come from other public funds. Streetscape Grants do not have a specific match requirement, but they are limited to $25,000 per award and must be ancillary to one or more other main street activities. In addition to specific match requirements, applicants must also demonstrate that they will be able to secure sufficient resources to administer the proposed main street program.

65.

Must LPAs provide a cash match?

No, local match can come from a variety of other public and private sources. In many communities it is expected that property owners will pay for 50% or more of the improvements of their property.

66.

Can part of an owner's matching funds come from another grant or must his/her 50% be his/her own funding?

No more than half of the required match for Façade Renovation, Building Renovation and Downtown Anchor Grants should be provided by other public funds. Strictly speaking, the requirement can be met by non-public funds as well as the owner's own funding. Applicants who feel it necessary to use higher levels of public subsidy in their communities should explain, in their applications, the reasons why such subsidies are needed.

67.

Are soft costs paid by building owners considered as match?

Professional service costs incurred by owners (project delivery or 'soft costs,' such as architectural services), may be recognized as match provided they are reasonable and sufficiently documented and related to a specific project (i.e., building) that is assisted. The owner should get two cost estimates for the same scope of work in any case.

68.

Can NYMS funds be used in conjunction with CDBG, HOME, LIHC, or other community development or economic development programs?

Yes, applications that are coordinated with other public programs are encouraged.

69.

Can CDBG, ESDC, or other State funds be used to meet matching requirements?

Yes, federal or State community or economic development funding can be used to meet matching requirements and it can also be counted as leveraged funds for scoring purposes. No more than half of the required match for Façade Renovation, Building Renovation, and Downtown Anchor Grants should be provided by public funds.

70.

What is the difference between match and leverage?

Investments of NYMS funds in eligible building activities must be matched by other funds. Any funds provided to administer the program or to support program activities beyond the required match amount are considered leveraged funds. The availability of funds to an LPA may increase the likelihood that the application will be funded.

71.

Can an LPA receive administrative support from a municipality?

Yes, an LPA can subcontract with a municipality to provide services for the administration of the NYMS Program. The LPA will still be the recipient of the NYMS award and the LPA will be responsible for the overall conduct of the program.

72.

Can acquisition costs be counted as match / and or leverage?

No, only construction and design costs count as match or leverage.

73.

Are Low Income Housing Tax Credits, New Markets Credits, Historic Preservation Credits and any other tax credit programs classified as public or private funds?

Equity investments in a tax credit project are considered public financing. Developers' fees that are re-invested in a project are considered private funding.

74.

Can NYSERDA funds be part of a match?

Yes, NYSERDA can be part of the match. Improving energy efficiency in residential units and /or commercial units is encouraged. Because downtowns (main streets) tend to be older parts of communities, energy efficiency may be an appropriate and logical goal for local main street programs. Applicants should consider Weatherization Assistance , if affordable residential units will be part of the NYMS Program provided assistance.

75.

Can the owner equity contribution to the project be in the form of a construction loan?

Owner's equity can be a permanent loan. Construction loans cannot be counted as match or leverage.

76.

Can the special assessment for BIDs be used as the match for building owners?

Revenue from a BID's special assessment that is used as part of the NYMS Program can be recognized as match, but at least 25% of the total cost of the renovation should still be provided by the building owner.

77.

Can funds already contracted for be recognized as match and /or leverage?

Funds expended for costs incurred after the award of a NYMS grant may be recognized as match or leverage, regardless of when they were awarded or contracted.

78.

Must match requirements be realized on a building-by-building basis?

Match must be generated on a building-by-building basis in order to expedite payment for work done. HTFC will consider waivers of this requirement in certain unusual circumstances; however, such accommodations are likely to complicate and delay payments.

79.

Can the equity of a property that is free and clear of a mortgage obligation be considered as a cash match?

Only if funds are borrowed against the equity from a financial institution and used in the renovation.

80.

Can a building owner take out a loan for the match?

Yes.

Application Process

81.

Must a local resolution of support be submitted with the application?

Applicants are required to obtain a resolution of support prior to submission of a NYMS application to HTFC. HTFC requests information about the resolution in the application and may request a copy of the resolution of support after submission of the application. Applicants are encouraged to obtain any other evidence of support from, and in coordination with, the municipality in which the main street target area is located. Applications that do not adequately demonstrate support from the local municipality will not be funded. Please note that applicants will not receive notices on this or any other deficiency in the application.

82.

Is there any specific language that should be incorporated in the Resolution of Support?

There is no specific language. The Resolution should simply demonstrate that the local government is aware of and supportive of the proposed main street program. The local government does not have to pledge money, land, or any other asset, nor does the local government need to waive any local rule or regulation. A local government may supply resolutions of support for any number of local main street programs.

83.

What level of government should the municipal resolution come from?

The resolution should come from each municipality in which the target area is located. For programs in New York City, the resolution should come from the relevant Community Board (or Boards) that has jurisdiction over the proposed site.

84.

Must a complete business plan be submitted with the application, or is an examination of the market sufficient?

Business plans are required for downtown anchor grant applications. The purpose of the business plan is to provide some assurance that the anchor business will prosper, or if the anchor business closes, that another business, perhaps in the same field, will be able to use the improved asset.

85.

When is a market analysis required, and when is a business plan required?

Downtown Anchor Grant applicants must have a business plan for the anchor grant project; that business plan must include a market analysis. If funded, LPAs should also consider requesting a detailed business plan and market analysis from the owner of a Building Renovation Grant before providing funds to the owner. The LPA is responsible for collecting and evaluating business plans and market information received for Building Renovation Grant projects and may determine the appropriate time for submission.

86.

Is a market analysis required for an anchor grant if there are conditional leases in place, or leases are currently being negotiated?

Yes. The "market analysis" is required as part of a business plan. The market analysis and business plan will be used to assess risk; the LPA should also find this information useful. The business plan should cover the operation of the business / preservation of the assets at least through the minimum enforcement period of seven years.

87.

For renovation grants, must specific buildings to be assisted be identified in the application?

Except for downtown anchor grants, buildings need not be identified at time of application. Buildings that do eventually receive assistance must be in the main street (target) area cited in the initial application.

88.

How quickly will payments be made under the NYMSProgram?

HTFC will make payments to LPAs through an automated deposit system. Normally, this process, from receipt of payment request at HTFC to payment, can be accomplished within two weeks. Factors such as multiple funding sources or small progress payments will complicate the process somewhat and may slow payments.

89.

What kind of documents must an owner submit to the LPA to substantiate work costs?

LPAs must obtain copies of work write-ups, invoices for materials and labor, cancelled checks, releases of liens, or any other documents necessary to maintain effective internal controls.

90.

How will you address funding multiple applicants from one particular area?

Generally the highest scoring applications in each area will be funded. As noted in the Request for Proposals, "HTFC will strive to achieve an equitable geographic distribution of funds when making awards."

91.

Will NPCs get priority points in scoring?

There are no automatic priority points. Organizations that have a history of serving their community and have a successful experience in administering similar programs will receive the maximum points in the capacity section.

92.

Will unsuccessful applicants be informed of the deficiencies in their applications and be allowed to submit corrected applications in subsequent funding rounds?

Applicants that are not funded will be offered the opportunity for an exit conference in which DHCR staff will review scoring results in detail and discuss possible improvements in the application. Subject to the availability of funds and the existence of future funding rounds, applicants may resubmit applications.

Other Program Requirements

93.

Will NYMS LPAs be required to address lead-based paint hazards?

Lead-based paint is a serious health threat, particularly to young children. LPAs must follow HUD’s“Guidelines for the Evaluation and control of Lead Based Paint Hazards in Housing” to control lead hazards in residential units and related common areas assisted with NYMS funds.

94.

Does NYMS require utilization of women- and minority- owned business firms?

Yes. To the extent feasible, LPAs must ensure that outreach to certified women-owned and minority-owned businesses is conducted. DHCR's Office of Fair Housing and Equal Opportunity can provide assistance with outreach.

95.

Does HTFC mandate insurance requirements?

Yes. LPAs must carry a $1,000,000 liability policy, with HTFC named as additional insured, and must obtain a fidelity bond in an amount larger than the largest likely payment under the program. Owners should be required to carry sufficient insurance to replace the property and business in the event of fire or other loss.

96.

Is there be ongoing Technical Assistance?

Yes. The HTFC, staff advisors, and other resources will be made available to LPAs and other interested parties. In addition, HTFC offers an extensive program of technical assistance, including workshops, Web-based assistance, publications, and direct assistance to program administrators.

97.

Will a building owner be required to maintain the NYMS-improved façade?

Yes. LPAs will require the owner to maintain the NYMS-improved façade for a period of at least seven years.

98.

Will owners be required to place a program poster in the window?

Yes, during construction and for 90 days thereafter.

99.

Are architectural drawings required for renovations?

HTFC does not require submission of architecturals with the NYMS application; however, LPAs will need to conduct a design review. Eventually, a photo of the building , description of proposed scope of work, and sketch of any proposed façade renovation will be required for SHPO review. Architectural drawings may be required where the reconstruction of structural elements of the façade is involved.

100.

Are DHCR/HTFC design standards applicable to the NYMS Program?

DHCR Design Handbook does not apply to NYMS; however, good design is still required. The standards established by SHPO should be observed. When NYMS funds are used in the rehabilitation or construction of residential units, DHCR/HTFC design standards should be observed, though there will not be a formal review for such. In the future, HTFC will promulgate design standards specific to NYMS for use in those communities that have not adapted local design ordinances.

101.

Must accessibility be incorporated into NYMS work scopes?

Applicants must comply with the provision of the Americans with Disabilities Act (1990), the Fair Housing Act (1968), and the Rehabilitation Act (1973).

102.

Must successful LPAs obtain bids for NYMS work?

Yes, while formal public bidding is not required by NYMS, LPAs will be required to obtain two bids for each separate project in order to establish the reasonableness of project costs.

103.

Does NYMS have a specific procedure or prescribed form for these bids?

While NYMS does not prescribe the exact procedure or form of the bids, there are principles that should be upheld in seeking bids or quotes. First, there should be a clear scope of work for the project for which bids or quotes are sought. Secondly, all bidders must have equal access to relevant information, including information on the property itself. The process should be free of collusion and intimidation. The LPA should exercise appropriate oversight over the entire process to ensure that it is fair and efficient.

104.

Perceived and actual conflicts of interest may damage the credibility of a local organization in the community. What steps can a NYMS LPA take to avoid a conflict of interest?

Perceived and actual conflicts of interest may arise when certain individuals have access to inside information with regard to the award of a contract or property assistance, or have undue influence on the policy or process by which a contract or property assistance is awarded. To avoid such situations, LPAs should have a written policy statement that specifies which parties are covered and what measures will be taken to allow eligible individuals access to program benefits while avoiding actual and perceived conflicts of interest. NYMS staff is available to provide guidance to LPAs in developing such a statement of policy.

105.

May a contractor receive NYMS funds for work done on property that s/he owns?

Often in local NYMS programs, property-owners play a significant role in such activities as (1) the development of work scopes, (2) choosing contractors to be solicited, (3) evaluating bids, and (4) determining satisfactory performance of the contract. When the property owner also becomes a participant in the bidding and construction phases, an apparent conflict of interest is created, as he or she has information and influence that other bidders and contractors do not have..

106.

Does NYMS funding trigger State or Federal prevailing wage requirements or the Wicks law?

No, those requirements do not apply to NYMS

107.

Does the interior of a building need to be useable or habitable in order to use NYMS funds to renovate a façade?

Yes, in order to receive a use NYMS funds to renovate a façade, a building must be occupied and not in violation of local or State Codes, and, if vacant, it must be ready to be occupied.

108.

If a vacant upper floor is rehabilitated for residential purposes, what should the LPA do to prevent it from being turned into commercial space soon afterwards?

LPAs must ensure, with the use of an HTFC-provided declaration, that assisted units, commercial or residential, are maintained as intended for a minimum of seven years.

109.

What are the design standards for building renovation? Should original architectural renderings be used?

Architectural renderings, and even old post cards or photos, can be useful in developing a design for renovation. Strict reliance on any single source may not be appropriate. The goal should be to respect the original design of the building, consistent with the overall design of the main street.

110.

Does the commercial space have to be on the first floor? Suppose the commercial is on the second floor (e.g. provide handicapped accessible units at ground level)?

Residential use is generally not considered the best use of first floor units on the main street; however, there may be instances in which commercial ventures (e.g., offices) on upper floors make sense and would be acceptable. Please also keep in mind that the cost of installing an elevator or other similar measures to make second floor space or rear spaces accessible for residential use is an eligible expense.

111.

Are adjustments for regional high costs considered in terms of the grant limits?

No.