HOME funds may be invested in both rental and homeownership activities; however, Rent and Income Restrictions, affordability periods, occupancy requirements, property standards, relocation and displacement requirements, and other federal requirements must be fulfilled. The minimum amount of HOME funds invested in a project that involves rental or homeownership housing is $1,000 per each HOME assisted unit in a project. Refer to the HOME Program Allocation Plan for details regarding eligibility requirements. All developments financed with HOME funds must meet Section 504 Accessibility requirements.
Requests for HOME funds are considered in a three-stage process: Application Stage, Reservation Stage, and Commitment Stage. No construction, acquisition, or rehabilitation activities may begin until the process is fully complete and a start order has been issued by SDHDA.
Prior to a commitment of HOME funds, the environmental effects of each activity carried out with HOME funds must be assessed in accordance with the provisions of the National Environmental Policy Act of 1969 (NEPA) and the related authorities listed in HUD's implementing regulations at 24 CFR Parts 50 and 58.
The environmental review is conducted by SDHDA and involves the following, as applicable:
- Completing the appropriate level of environmental review.
- Publishing required public notices.
- Submitting to HUD a Request for Release of Funds and Certification.
- Receiving from HUD approval of the Request for Release of Funds and Certification.