N.H. Admin. Code § Bea 604.08 - InvestNH Grant and Loan Award Oversight

(a) Reports for projects expenditures shall:

(1) Be reported to the department at the frequency mandated by the award agreement with the eligible entity, typically monthly until the project is completed; and

(2) Be supported by related documentation, which shall be provided along with invoices or reports.

(b) Additional reporting, such as quarterly and annually, shall be required to validate ongoing compliance and project progress.

(c) Municipalities shall abide by their own structured procurement guidelines and requirements, and any additional requirements outlined in the award agreement. Awardees, municipalities, or housing developers shall not enter into contracts with related or affiliated contractors for materials, labor, or services without demonstrating to the department that the terms of those contracts are fair and competitive.

(d) Awardees shall:

(1) Certify that all related or affiliated contractors are billing at rates consistent with industry-accepted market rates. This self-certification shall be submitted as part of the grant application and annually thereafter;

(2) Maintain and provide upon request documentation that demonstrates compliance with industry-accepted market rates. Documentation may include, but is not limited to:

a. Market rate surveys;

b. Competitive bids;

c. Published price lists; or

d. Invoices from unrelated third-party contractors for similar services;

(3) Whenever possible, and in the case of municipalities, in compliance with applicable procurement standards and requirements, use a competitive bidding process to select contractors, including affiliated or related contractors. The process shall be documented and retained for audit purposes; and

(4) Have a conflict-of-interest policy that addresses the engagement of affiliated or related contractors. This policy shall include:

a. Disclosure requirements for any relationships between the awardee and the contractor; and

b. Procedures for ensuring fair and transparent procurement processes.

(e) If an awardee is found to be non-compliant with the requirements of this section, the department shall take corrective actions, which shall include:

(1) Requiring the awardee to refund disallowed costs;

(2) Imposing additional reporting and monitoring requirements; or

(3) Suspending or terminating the grant.

(f) The department shall utilize the services of a third-party vendor to assess industry standards or best practices as they pertain to affiliated or related parties in determining whether any agreements or contracts with such parties achieve those standards or best practices.

(g) Property constructed, improved, or acquired with InvestNH program funds shall be subject to a deed restriction for affordability requirements of at least 10 years that binds the awardee and any successors, heirs, or assignees to the program affordability requirements and other program conditions during that restricted period. This deed restriction shall survive sale, inheritance, bankruptcy, foreclosure, and any other form or means of transferring interest or title.

(h) If compliance with deed restrictions becomes impossible or impracticable, the person(s) or organization holding title to the property shall seek disposition instructions from the department and comply with those instructions.

(i) The department shall engage in the requisite due diligence to confirm awardees satisfy the mandatory eligibility criteria, including but not limited to a debarment search, risk assessment, and assessment of whether the entity is in good standing with the secretary of state's office and the department of revenue administration, where applicable.

Notes

N.H. Admin. Code § Bea 604.08

Derived from Number 37, Filed September 12, 2024, Proposed by #14044, Effective 8/8/2024, Expires 8/8/2034.