009.01.83 Ark. Code R. § 002 - Arkansas Job Stimulus Program
The goal of the Arkansas Jobs Stimulus Program (AJSP) is creation of new employment opportunities for unemployed individuals, particularly in areas where unemployment is highest and has been high for the longest period of time.
State program objectives include the following:
* creation of immediate employment opportunities for individuals who were unemployed for at least 15 weeks since September 23, 1982.
* fund projects in areas of high and long term unemployment;
* fund projects which address and resolve pressing community and economic development needs;
* fund projects which can be underway quickly.
In addition, each activity assisted with AJSP funds must meet one of the three national objectives found in the Housing and Community Development Act, as amended. They are to:
* benefit low and moderate income families, or
* aid in the prevention or elimination of slum and blight, or
* meet other community development needs having a particular urgency because existing conditions pose a serious and immediate threat to the health or welfare of the community and where other financial resources are not available to meet such needs.
An eligible applicant is any "non-entitlement" general purpose unit of local government. ("Entitlement" units of government will receive Emergency Jobs funding on a non-competitive formula basis directly from HUD, and are not eligible to participate in this program). Funding assistance may be provided, subject to limitations noted, to:
* cities and towns
* all counties
* counties applying "on behalf of" towns of less than 500 population
* eligible applicants jointly (i.e., two or more cities, city/county, etc.). In situations where two or more eligible local governments face a common community development problem, a single, joint application can be submitted if the solution of the problem requires mutual action.
* In the event that either an "on behalf of" or joint application is submitted, the local governments involved must submit an executed cooperation agreement that defines grantee responsibilities, should the application be successful.
* Eligible applicants may contract, subgrant or otherwise pass through funds to other entities such as housing authorities, improvement districts, private firms and nonprofit corporations to perform project activities. However, only eligible applicants may apply directly for funding from the State and are responsible for project success.
* Counties may propose activities in either incorporated or unincorporated areas or both, except that a county may not propose activities located within the jurisdiction of an entitlement city. When a county proposes activities within a . city or town, but not on behalf of that city or town, that city or town may submit its own application for assistance.
* All applicants for AJSP funds must demonstrate that they have the capacity to carry out their proposed program.
* Previous HUD determinations of lack of capacity or inadequate performance will not necessarily exclude an otherwise eligible applicant from applying, but will be reviewed by the Department on a case-by-case basis, which could result in a grantee being required to comply with special conditions in order to receive AJSP funding.
* A single grant cycle will be used in distributing AJSP funds. Therefore, an eligible applicant may apply only once, either individually or jointly. Counties may submit one application for any part of the county and one each for any town under 500 population wishing to exercise this option. (Each such application will be rated individually, on its own merits).
In order to be consistent with federal law and Congressional intent, the Department will approve only applications whose activities address at least one of the three specific national objectives, noted in Section I. Additionally, applications must also address the State goal and be consistent with the state program objectives.
Eligible Activities include:
Ineligible activities Include:
For the purpose of determining the benefits of project activities, "low- to moderate-income" is defined as 80 percent of the 1983 median family income for all non-entitlement areas In Arkansas. This income maximum is $14,297.
A condition of slum and blight exists when: structures, buildings or Improvements, which by reason of dilapidation, deterioration, age or obsolescence. Inadequate provision for ventilation, light, air, sanitation, or open spaces, high density of population and overcrowding, or the existence of conditions which endanger life or property by fire and other causes, or any combination of such factors are conducive to ill health, transmission of disease, Infant mortality, juvenile delinquency, or crime, and are detrimental to the public health, safety, morals or welfare; or, by reason of the presence of a substantial number of substandard, slum, deteriorated or deteriorating structures, predominance of defective or inadequate street layout, faulty lot layout in relation to size, adequacy, accessibility or usefulness, unsanitary or unsafe conditions, deterioration of site or other improvements, diversity of ownership, tax on special assessment delinquency exceeding the fair value of the land, defective or unusual conditions of title, or the existence of conditions which endanger life or property by fire and other causes or any combination of such factors, substantially impair or arrest the sound growth of a city, retard the provision of housing accommodations or constitute an economic or social liability and are a menace to the public health, safety, morals, or welfare in their present condition and use; any area which is predominantly open and which because of obsolete platting, diversity of ownership, deterioration of structures or of site improvements substantially impairs or arrests the sound growth of the community.
As used in this program, leverage refers to the participation and use of non-AJSP resources in carrying out project activities. Any and all resources may be considered when determining the extent to which AJSP funds leverage other resources. Other resources may be considered leveraged even if they were committed and available to participate in proposed project activities before AJSP funds become available, so long as AJSP funds do not substitute for other funds previously committed.
In calculating the impact of leveraging, other grant program funds will be given nominal weight; loan funds awarded by public agencies will be given relatively more weight; private sector investments of any type will be given the most weight. The emphasis given to leveraging are provided in AJSP application materials.
Grantees will be expected to complete approved projects within 18 months from the date of grant award. Hence, the scope of the project and funds requested will be important determinants to project success and timely implementation. The Department will consider each project separately during the period of negotiation so that a realistic date for project completion can be established. Grant agreements may be amended when conditions beyond the grantee's control necessitate a change,
The Department will not make a grant award to an applicant that lacks the capacity to undertake the proposed program. Capacity determinations will be made on a case-by-case basis and will be based upon generally available information. No grant award will be made to an applicant that has an unresolved audit finding for any State administered program.
Capacity determinations will consider the:
* applicant's progress in implementing other projects supported by State or federal funds;
* applicant's compliance with applicable State and federal laws and regulations, and the resolution of findings made as a result of State and/or federal monitoring;
* applicant's ability to undertake the proposed activities and to ensure that funds will be expended in a timely and efficient manner;
* applicant's ability to maintain and support the proposed project after completion; and
* qualifications and experience of the person(s) or agency(ies) responsible for project implementation and completion, (If individuals or agencies are not known at the time of grant application, an applicant should indicate the general assignment of responsibility proposed. Final selection of administrative responsibility should be established prior to grant award.)
The total cost of carrying out eligible activities in a grant program is comprised of project costs and administrative costs. All such costs must be consistent with the requirements of 0MB Circular A-87: Cost Principles for State and Local Governments, 0MB Circular A-102: Uniform Requirements for Assistance to State and Local Governments, and applicable state law. The Department will authorize, as a part of the grant agreement, major allowable costs consistent with the scope of the program. The Department reserves the right to negotiate a funding commitment in an amount less than requested in the application if the proposed scope of the program would not thereby be reduced.
Not more than ten percent (10%) of grant funds may be utilized for administrative expenses incidental to the project. Such expenses include general office costs, clerical and bookkeeping expenses, travel, workshop and training costs, general personnel costs, preparation of required reports, public notices and related expenses. The Department will negotiate with each recipient the amount to be authorized, up to the 10% maximum.
The Department may authorize the use of grant funds for administrative purposes in amounts exceeding 10% of the grant only when the Department determines that such an exception is clearly necessary to successfully satisfy program conditions imposed by the Department.
Most other eligible costs are considered project costs, for which no specific maximums will generally be applied. Such costs must be reasonable and appropriate to the project's scope and activities.
Costs associated with the preparation of a specific grant agreement-such as preliminary engineering, environmental reviews, required documentation, etc.-are eligible AJSP costs. The Department may, at its discretion, authorize the incurring of such costs or provide modest grant advances, with appropriate conditions.
Program income Is any Income generated as a result of grant supported activities. An example of such income is the interest derived from repayment to a local revolving loan program. These funds may be retained at the local level, with prior Department approval, to be used for activities and purposes eligible under the AJSP. However, interest earned on grant funds while on deposit in a project account prior to disbursement may not be retained by the recipient; hence, project funds must be maintained in non-interest bearing accounts.
The Department will consider project amendments if they are necessitated by actions beyond the control of the applicant. All recipients must request prior approval for all project amendments involving new activities or alteration of existing activities, or lengthening of the project period, as negotiated in the grant agreement. Amendments will not be approved which would materially alter the circumstances under which the grant was originally ranked and funded.
Funds will be distributed to local recipients through the State Treasury, consistent with all fiscal requirements stipulated in the grant agreement.
Grantees may request and receive authorized grant funds on an advance drawdown basis by submitting appropriate forms and documentation, subject to approval by the Department, and consistent with the requirements of Treasury Circular 1075,
Under normal circumstances, the Department will not grant additional funds to pay for project costs which exceed the originally approved budget. Careful project design, budgeting, and administration are grantee responsibilities. However, subject to availability of funds, the Department may authorize the use of grant funds for project overruns under circumstances beyond the reasonable control of the grantee, provided that all other requirements of the program can be adhered to.
Many project activities eligible for funding can involve the acquisition and disposition of real property. When the acquired property is occupied by tenants, homeowners, or businesses, relocation assistance must be offered. If an applicant anticipates the relocation of any person or business, a relocation plan must be submitted as a part of the grant agreement. The relocation plan will cover various factors including, but not limited to, a replacement housing inventory, an assessment of available support services, a plan of implementation, and project location'maps.
Each applicant must hold at least one public hearing prior to the submission of an application. Notice of this public hearing should be advertised or posted in such a way, customary to the community, as to provide citizens with ample notice of the time, place and purpose of the hearing. The purpose of the hearing is to solicit citizen comment on community needs and priorities and, where appropriate, to advise citizens of the scope of a proposed application for funding. Minutes of the hearing and any other documentation of the hearing process will be maintained by the community or county during the course of a project.
All applications submitted to the Department must be accompanied by a duly adopted and recorded resolution of the grantee's governing body authorizing the request for funding. A copy of the resolution and of the application must be available for public inspection in the administrative offices of the applicant.
1980 Census Data and data generated by the Arkansas Employment Security Division will serve as the basic sources of statistical information to be used in preparation of an application. Data generated through surveys or other sources at the local level must be verifiable.
Q, Complaints
All complaints received by the Department will be referred to the appropriate local government applicant or recipient. Actions taken to resolve the complaint will be documented in writing with copies of all correspondence sent to the Department. Complaints may also be handled by the Department as an enforcement matter in accordance with the provisions of Section VI -E.
The Department has reserved $5,164,000 to assist projects which undertake eligible activities. No further allocation among project types will be assigned. These funds will be awarded to the most highly rated proposals submitted during a single, competitive application cycle. All eligible applicants may submit one application for a grant under this program.
Individual applicants may request up to $500,000 in grant funds, while not more than $750,000 may be awarded for joint applications.
The Department will establish a time period during which applications for funding may be submitted. The dates for submission will be published in newspapers, newsletters and magazines. However, it is the applicant's responsibility to be aware of submission deadlines.
The Department will provide all forms and instructions necessary to apply for AJSP grant funds. Funding assistance may be requested only on forms issued by the Department.
All applicants must submit their applications to the State Clearinghouse for review and comment. This will be done in accordance with the State Clearinghouse procedures which are in effect at the time of application submission. All comments will be forwarded to the Department for evaluation.
Applicants must provide all information stipulated in the application. Incomplete applications will not be reviewed, Information relative to the application will not be accepted after the submission deadline unless specifically requested by the Department, The Department may request verification or clarification of existing information.
All applications for AJSP funds will be evaluated to determine which proposals should receive funding support. Rating criteria, described in Section V, will be utilized to ensure consistency with state and national objectives and, further, to rank proposals so that the best are funded.
Prior to substantive review, activities which are ineligible to receive AJSP funding support will be stricken from the application. An applicant may elect to withdraw an application from further consideration at this time. If the applicant wishes the application to remain in competition, the remaining eligible activities will be evaluated against appropriate rating criteria.
Those applicants receiving the highest scores will be invited to negotiate a potential grant agreement. Applicants who have fared well in the rating and ranking process will be required to participate in a pre-award workshop to acquaint them with specific program compliance requirements; this will be the first step toward successful negotiation of a grant award. Final negotiations and consultation will be scheduled with individual applicants.
Grants will be awarded to recipients in the form of a contract between the State and the local unit of government. The contract will specify the scope of work to be undertaken, assignments of responsibility, financial commitments, appropriate assurances, and other terms and conditions, Department staff will work with recipients to complete all contract documents. Upon completion of successful negotiations, the contract will be executed by the Director of the Department and the mayor or county judge, on behalf of the recipient.
Applicants may review their application and program scores at any time after ratings and rankings have been released by the Department. Ratings may be appealed by an applicant provided that:
* the basis of the appeal is an assertion that the Department miscalculated or erred in computing a numerical score.
* no new documentation is introduced with the intent to change the basis on which a rating was made.
* the request for appeal is made within 10 working days after the applicant has been notified that their application will not be funded,
If the appeal results in a new rating which would have made the applicant eligible for a commitment of AJSP funding, the application will be given priority for any redistributed funds, consistent with IV-C(1).
As provided above, funds have been initially reserved to fund projects . All funds will be tentatively earmarked to the highest ranked applications submitted. There may be several circumstances where funds cannot be distributed as originally intended, including the inability of the Department and a highly ranked applicant to negotiate a grant award in a timely fashion.
Where funds become available for redistribution as a result of these two conditions, they will be committed, insofar as possible, to projects as follows:
* Uncommitted funds will be offered to the most highly ranked but unfunded applicants which can use them subject to the following principles:
* Preference will be given to applicants whose applications should have received a grant earmark, but did not due to Departmental rating errors, provided that their projects can be underway quickly,
* Partial funding will not be offered to an applicant if doing so would reduce the original rating of the application.
* New commitments will be offered in rank order (the highest considered first) provided that available funds approximate funds originally requested.
* If remaining funds are insufficient to assist unfunded applications, they may be used to supplement existing projects, provided that all other AJSP grant conditions can be adhered to and benefits realized from job creation are not diminished.
Some funds may have been committed to specific projects, but can "^ become available for commitment to other projects as a result of:
* project underruns, where funds are left after project completion and cannot be used to expand the original project;
* project termination before completion, where problems cannot be resolved and further funding cannot be justified; or
* audit findings which require repayment of misspent funds.
Grant funds which are recaptured as a result of these conditions may be utilized by the Department to assist eligible projects in areas of high, long-term unemployment that will result in Immediate job creation. Depending on the amount of funds thus available, assistance may be offered to:
* augment current projects to increase project benefits, provided that all other grant conditions can be adhered to;
* highly ranked but unfunded applications.
The Department reserves the right to exercise administrative discretion in the reallocation of grant funds, consistent with effective and efficient operation of the AJS Program.
Applications submitted will be reviewed by the Department staff for threshold eligibility and completeness. The Department will utilize internal review panels, and will utilize the assistance of other state agency personnel to perform technical reviews of applications ."submitted. Reviews conducted by the State Clearinghouse, as well as comments by the State Technical Review Committee, will be Incorporated in the application evaluation process.
Applications for AJSP funds will be evaluated by applying specific rating criteria. These criteria have been established to identify and fund projects which are well-conceived and most closely further State and national program goals and objectives.
The following four types of factors will be applied to each application that is submitted for funding consideration: threshold, distress, strategy, and impact.
* Threshold Factors--Each application must satisfy certain minimum conditions. No points are assigned to these factors. However, an application which does not meet threshold requirements will not be reviewed further and cannot be considered for funding.
These factors include:
* Readiness to proceed - An applicant must demonstrate that a project, if approved for funding, could be implemented rapidly, Evidence such as completed engineering, other funding commitments in place, and administrative capacity will be reviewed to determine a project's readiness.
* Eligibility activity - All activities requesting funding support must be eligible.
* Benefit to low--to moderate-income - The minimum percentage of AJSP funds which benefit low - to moderate-income families (as defined in Section III -D) for any given activity must be:
* 51% for any general community facility project
* 100% for any housing project
* 51% for any economic development project
* with adjustments to percent of overall benefit consistent with the following table:
|
When one dollar of AJSP funds leverage non-AJSP dollars equal to: |
% of all jobs created which benefit LMIH |
|
0.00 * 2.99 |
51% |
|
3.00 * 3.99 |
33% |
|
4.00 * 4.99 |
25% |
|
5.00 * 9.99 |
20% |
|
10.00 * 19.99 |
10% |
|
Over 20.00 |
5% |
* Feasibility - The applicant must demonstiate that the proposed project can be completed successfully and that, once completed, can be operated and maintained.
* Distress--Twenty percent (20%)of the point value, in evaluating any application, is based on the socio-economic condition of an applicant's jurisdiction. This overall condition is determined by the following indicators:
* Unemployment (15%) as measured by the most current 12 month average unemployment rate of the applicant's jurisdiction. Rates will be calculated by the Employment Security Division and points will awarded based on the relationship of the applicant's unemployment rate to the highest unemployment rate of any application submitted.
* Poverty (5%) as measured by the percentage of the applicant's population below poverty level. Points will be awarded based on the relationship of appliccant's poverty level to the highest poverty level of any application submitted.
* Strategy--Thirty percent (30%) of the point value, in evaluating any application, is based on the design of an applicant's proposal. Specific factors include:
* Appropriateness of proposed activities to meeting identified community development needs (10%) The applicant must define these needs and demonstrate how the project will resolve them.
* Providing job opportunities for the unemployed (20%). An applicant must demonstrate how the project will create job opportunities for unemployed persons in its jurisdiction. The applicant should provide evidence that:
* The kinds of jobs, which will be generated by the project, match up with the skills of unemployed persons in the applicant's jurisdiction.
* Procedures can and will be Instituted to fill a majority of new jobs with persons who have been unemployed at least 15 weeks since September 23, 1982.
* Training or retraining programs, if necessary, are feasible and likely to occur.
* Impact--Fifty percent (50%) of the point value, In evaluating any application, is based on the results which will occur if the proposed activities are undertaken. Specific factors Include:
* Creation of permanent jobs (25%). Applicants which can demonstrate specific long-term job opportunities resulting from project activities will rate highly in this program, Although public sector employment may be considered for rating, significantly more emphasis will be placed on long-term private sector employment which benefits persons who have been unemployed at least 15 weeks since September 23, 1982.
* Creation of short-term jobs (15%). Applicants may demonstrate specific short-term jobs resulting from project activities. Emphasis should be placed on jobs which utilize persons unemployed for at least 15 weeks since September 23, 1982.
* Leverage of other resources (5%), Applications will be considered more favorably if the project utilizes other funding, particularly private sector commitments
Preventing/eliminating slum and blight or benefit to low-to moderate-income families greater than minimum required (5%). An application may be rated higher if it can demonstrate that project activities will prevent or eliminate slum and blighting conditions as defined in Section III -E, or if the level of benefit to low-to moderate-income families exceeds the thresholds noted above.
The State will require that all grantees attend training sessions to acquaint them with the State rules and regulations for administration of their project grants. It will be mandatory for those who deal with the program details on a day-to-day basis to attend.
The State will also provide continuing technical assistance to grantees and others involved in community and economic development throughout the year.
The Department will monitor each grantee periodically, so that any problems which might occur may be resolved immediately. It is the State's objective to assist and support grantees in carrying out their projects and to comply with applicable state and federal law and regulations.
Grantees will be required to maintain complete fiscal and programmatic files, and to comply with program reporting requirements. Representatives of the Department shall have access to all books, accounts, records, reports and files pertaining to activities funded under AJSP.
Each grant recipient will be responsible for the conduct of a financial audit upon completion of project activities. As a minimum, such audit is to be performed by a certified public accountant whose services are secured through open, competitive bid.
If the Department determines, that a recipient's performance fails to meet the terms and conditions in its grant agreement, several courses of action may be pursued. Such determinations may arise as a result of either:
* citizen complaints of recipient performance to the Department;
* notification to the Department by other State or Federal agencies of violations in regulation or law;
* Departmental evaluation of required recipient performance reports;
* Departmental evaluation of the results of monitoring visits.
The Department will take one or more of the following courses of action, as appropriate, to resolve the problem:
All actions proposed by the Department must be undertaken with regard to due process. Accordingly, the Department will:
* notify the recipient, in writing, of the proposed actions and the authority and basis for them;
* provide adequate, specified, time for the recipient to respond to the allegation, either by remedial action or rebuttal;
* permit a hearing by the Department, at the request of the recipient, provided that such hearing is requested within 10 working days after receiving notice of the proposed action; failure to request a hearing will result in a decision by default against the recipient.
It is the responsibility of applicants which are selected for funding to comply with all applicable federal and state laws, Executive Orders, and regulations affecting their projects. These requirements pertain to financial management, labor standards, environmental assessments, civil rights, fair housing, and acquisition and relocation. Compliance with these and other requirements will become specific conditions of the contract/grant agreement between the Department and the recipient.
Notes
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