Round 13 Timeline and Expectations
- Applications will open on January 31, 2024.
They will be accessed through an online application system which can be found through the Barnes application webpage.
Please complete the online application and attach the completed relevant files using the templates located on the Barnes webpage. - Information session will be held on February 7, 2024.
- Please submit questions in writing to [email protected] and [email protected] by February 21, 2024.
- Applications will close on March 18, 2024, at 11:59pm. Late applications will not be accepted.
- The internal review period will begin March 19 to April 2. During this cure period staff will ask clarifying questions or request additional documentation. A 48-hour response is expected.
- External review will begin on April 3 and conclude April 24.
- The Housing Trust Fund Commission will vote on recommended awards on May 28, 2024.
- Contracting with awardees will begin immediately after with a goal of a final recorded contract and associated legislation to be filed with Metro Council in late July/early August 2024.
- Unfunded applications may seek a consultation with staff to review the application in September 2024.
How to Apply
- Before applying, please read the complete description of Round 13 grant policy and eligibility requirements at Spring 2024 Round 13: Barnes General Funding Grant Policy. It contains important information that will be needed for application preparation.
- Applications will be accepted beginning January 31, 2024, and closing March 18, 2024.
- No paper applications will be accepted. Applications must be submitted online through the links available on this webpage.
- Inquiries may be sent to the Barnes Housing Trust Fund Manager [email protected]).
Round 13 Applications
All four program types are under the same application, so please click on the application link and then choose which of the following program(s) you wish to apply for:
- Homeownership Development Application
- Rental New Construction
- New Category: Rental Rehab, or projects where nonprofit organizations acquire and repair existing homes to rent to eligible tenants.
- Owner-Occupied Rehab, or rehabilitation of existing affordable owner-occupied homes.
Please note that all uploads are contained in the Survey Monkey Apply applications and can be downloaded from there.
Round 13 Application Uploads/Attachments
- Affirmative Marketing Plan
- Universal Design Checklist
- Energy Efficiency and Sustainability Checklist
- Board-Staff-Program DEAI Checklist
Round 13 Scoring Information
- Round 13 Scoring Matrix - Homeownership
- Round 13 Scoring Matrix - Rental New Construction
- Round 13 Scoring Matrix - Rental Rehab
- Round 13 Scoring Matrix - Owner-Occupied Rehab
Eligibility Requirements
Eligible proposals for Round 13 must create or preserve affordable housing opportunities in Nashville-Davidson County, Tennessee.
All General Applicant Requirements
- Applicant must be a 501(c)3 nonprofit. The nonprofit may partner with a for-profit developer as long as the nonprofit maintains 51% control of the development. Team and partnership structures should be described in the application.
- Nonprofits who serve their mission through housing, but whose mission is not specifically the creation or preservation of housing, must partner with an experienced general contractor or other experienced partners with development experience. This includes nonprofits seeking to grow their housing expertise.
- Homeownership and rental applicants must have good financial standing including a positive cash flow and demonstrate the financial ability to carry out the project.
- Contract terms are for 24 months, and the proposed project must be completed within that timeframe unless an approved contract extension is granted by the Commission.
- Previously funded grantees must be in good standing with the Commission based on their project completion and progress within their contract period.
- Applicants are encouraged to have multiple funding sources outside of the Barnes request. Using Low Income Housing Tax Credit (LIHTC) funding and other sources are permissible, but applicants must specify all funding sources in the Funding Sources and Uses question.
- Homeownership and rental proposals must include Universal Design.
- Homeownership and rental proposals must meet Sustainability Standards.
- Site control is strongly recommended. Evidence of site control includes deed in hand, a 99-year ground lease, or a signed sales contract. Prior to the use of any funds, the property must be properly zoned, and it is the sole responsibility of the Recipient to pursue any necessary rezoning or other land use change. This Grant Contract in no way serves to supersede the authority of the Metro Nashville Planning Commission or the Metropolitan Council’s authority to approve or deny zoning or land use changes on the proposed property and shall not be used for such purposes.
- Applicants will describe the level of due diligence performed to understand zoning, permitting, and code requirements for the proposed project.
- Level of design for the proposed project must be specified.
Applicant Requirements by Project Type
Homeownership Applicant Requirements
- All Barnes-funded units must serve households at 80% AMI or below per the annual HUD AMI adjusted for household size in Nashville MSA. Household income is determined (and documented) at the time a prospective homebuyer enters into a program agreement with the Applicant.
- Loans provided by the nonprofit must meet or exceed FHA standards of lending for homebuyers.
- Barnes-funded homes must remain affordable for a minimum affordability term of 30 years. A Deed of Restrictive Covenant must be filed by Metro at time of the title transfer from Applicant to Homebuyer. Applicant must demonstrate that Homebuyer understands the terms of the affordability term and their responsibilities with regard to income limits and maximum sales price.
- Applicants are encouraged to have strong land control for the proposed development prior to applying.
- Unless otherwise prohibited by local, state, or Federal law, these programs will be open to all potential homebuyers regardless of immigration status.
- Developer Fee must be no more than 20% of the total project budget request from Barnes. Higher points may be earned by projects where the Developer Fee is 10% or less.
Rental New Construction Applicant Requirements
- All Barnes-funded units must serve tenants at 60% AMI or below per the annual HUD AMI for the Nashville MSA adjusted for household size. Although income averaging may be allowed by other funding sources, household income for Barnes Funded units cannot exceed 60% AMI.
- Barnes-funded developments must remain affordable for a minimum affordability term of 30 years. A Deed of Restrictive Covenant will be filed by Metro at project completion .
- Proposals must have a positive proforma within the affordability period.
- Applicants are encouraged to have strong land control for the proposed development prior to applying.
- Unless otherwise prohibited by local, state, or Federal law, these programs will be open to all potential tenants regardless of immigration status.
- Developer Fee must be no more than 20% of the total project budget request from Barnes. Higher points may be earned by projects where the Developer Fee is 10% or less.
- Recipient shall not increase rents during an agreed upon lease term, but such prohibition shall not apply to any renewal of the lease, nor shall it affect the portion of rent paid by another federal, state, or local program with respect to the tenant or units benefitting from the grant funds.
Rental Rehabilitation Applicant Requirements
- Eligible Activities
- Acquisition of a single site or multiple sites.
- Rehabilitation of existing or acquired homes owned and operated by the Applicant.
- Income Requirements
- Unoccupied Units: Tenant household income should not exceed 60% AMI adjusted for household size at initial occupancy.
- Occupied Units: To preserve housing security, no tenants should be displaced due to income. However, when an occupied unit becomes vacant, it must be rented to a tenant with household income not exceeding 60% AMI adjusted for household size.
Owner-Occupied Rehabilitation Applicant Requirements
- All Barnes-funded rehab units must serve homeowners at 80% AMI or below per the annual HUD AMI adjusted for household size in Nashville MSA.
- Barnes-funded rehab must show a lien and cost recapture agreement for investments of more than $10,000 per unit to address health and safety upgrades that do not unduly enrich the homeowner’s property for proper accountability of invested dollars. The following lien schedule should be used.
Lien | Loan Amount |
---|---|
2 years | Up to $10,000 |
3 years | $20,000 |
4 years | $30,000 |
5 years | $40,000 |
6 years | $50,000 |
7 years | $60,000 |
8 years | $70,000 |
- Rehab work provided must have at least a 1-year warranty.
- Code violations within the scope of work must be addressed and corrected during rehab process.
- Developer Fee must be no more than 20% of the total project budget request from Barnes. Higher points may be earned by projects where the Developer Fee is 10% or less.
Minimum Standards Required for Consideration
Several minimum standard criteria must be met in order to be considered for funding.
Note: If these criteria are not met, staff will not advance the application for further review.
Complete Application and Attachments
Submitted applications must be complete.
- All questions are answered thoroughly through entire narrative.
- All required uploads listed in the application are attached.
Financial Standing
- All applicants must have good financial standing, including a positive cash flow.
- Organizations with an annual budget above $500,000 must provide an audit with no findings for the Lead Organization, completed within the past 24 months. Small Organizations with annual budgets of $200,000 to $500,000 must provide Financial Statements completed by an independent CPA.
Organizational/Partnership Structure
- Organizational information must be complete. All partners are listed.
- Applicant must be a 501(c)3 nonprofit organization.
- No part of the leadership team is involved in a lawsuit or subject to outstanding claims related to safety violations or wage payments.
- The percentage of total Barnes request that will be used for your administration/development fee cannot exceed 20%.
Properties
Metro is not making property available for Round 13. Applicant must provide own land. Applicant must demonstrate site control by answering whether the title is clear and the form of the site control (option, signed sales contract, deed in hand, or signed 99-year ground lease) will be part of Question 8 on the application.
Site Control/Zoning
- Do you have a site?
- Is the title clear?
- Site control is strongly recommended. Evidence of site control includes deed in hand, a 99-year ground lease, or a signed sales contract. You are required to describe site control in Question 8.
- Zoning determination under one of the two following scenarios (I or II) is required. Failure to meet I or II (and if II, provide items a and b) will prevent your application from being considered for funding.
I. If property is zoned: Provide documentation.
II. If property is not zoned: Prior to the use of any funds, the property must be properly zoned, and it is the sole responsibility of the Recipient to pursue any necessary rezoning or other land use change. The Grant Contract in no way serves to supersede the authority of the Metro Nashville Planning Commission or the Metropolitan Council’s authority to approve or deny zoning or land use changes on the proposed property and shall not be used for such purposes.
Applicant must verify with Metro Planning staff that rezoning is feasible (provided that Metro Council approves). Therefore, the submitted Barnes application must include:- Council Member letter of support for project
- Date of conversation and contact info for Planning Staff involved in verification conversation
Applicants are encouraged to submit proposals for projects that meet zoning and land use requirements.