(a)  Applications for Scattered Site Housing funds must show that:

(1)           100 percent of the CDBG funds proposed for each project will benefit low‑ and moderate‑income persons; and

(2)           CDBG funds proposed for each activity shall meet a national objective as specified in HUD regulations previously incorporated by reference, except that funds shall not be used to meet the national objective of urgent need which is covered by Rule .0801 of this Subchapter.

(b)  The Division may examine the following areas to determine capacity:

(1)           audit and monitoring findings on previously funded Community Development Block Grant programs, and the applicant’s fiscal accountability as demonstrated in other state or federal programs or local government financial reports; and

(2)           the rate of expenditure of funds and accomplishments in previously funded CDBG programs.

Applicants that show a lack of capacity will not be rated or funded.


History Note:        Authority G.S. 143B‑10; 143B‑431; 24 C.F.R. 570.482; 24 C.F.R. 570.483;

Eff. March 1, 1995;

Amended Eff. August 1, 1998;

Temporary Amendment Eff. January 1, 2001;

Amended Eff. August 1, 2002.