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PA Bulletin, Doc. No. 22-821



Availability of Draft 2022 Annual Action Plan, 2nd Public Hearing and 2nd Pennsylvania Housing Advisory Committee Meeting

[52 Pa.B. 3228]
[Saturday, June 4, 2022]

 The Department of Community and Economic Development (Department) announces the availability of the Commonwealth's Draft Federal Fiscal Year 2022 Annual Action Plan. The Annual Action Plan (Plan) is submitted to the United States Department of Housing and Urban Development (HUD) as the annual application for Federal funds administered by the Commonwealth. The HUD funding programs covered by the Plan and administered by the Department are the Community Development Block Grant (CDBG), the HOME Investment Partnerships (HOME) and the Emergency Solutions Grant (ESG) programs. Also covered by the Plan is the Housing Opportunities for Persons with AIDS (HOPWA) program which the Department of Health administers and the National Housing Trust Fund (HTF) which is administered by the Pennsylvania Housing Finance Agency (PHFA).

 This summary is designed to provide an opportunity for citizens, local governmental officials and interested organizations of this Commonwealth to comment about the Plan prior to its submission to HUD.


 The Plan takes the strategy developed in the Consolidated Plan of 2019—2023 and applies it to the administration of the CDBG, HOME, ESG, CDBG-Disaster Recovery, Neighborhood Stabilization Program, HTF and HOPWA programs for 2022 Program Year. HUD must approve the Plan for the Commonwealth to receive funding under the identified HUD programs.


 The 2022 Plan will include the Methods of Distribution for all Federal programs, as well as the goals and outcomes expected during the 2022 calendar year. In addition to the Department's web site (, the approved plan will be able to be viewed on HUD's web site at

Allocations for 2022 by Program and Methods of Distribution


 Method of Distribution based on the requirements of the act of October 11, 1984 (Act 179) (P.L. 906, No. 179). The 2022 Plan does not include any changes to this distribution.

 Entitlement—85% of allocation distributed by the distribution outlined in the Act 179 formula.

 Competitive—12% of allocation distributed competitively based on priorities outlined in the Plan with no maximum request or award.

 In the Plan, the Department continues to reserve the right to divert any recaptured funds and all uncommitted competitive funds to respond to State or Federally declared natural disasters or emergency declarations.


 1. Maximum funding availability varies by HOME eligible activity.

 a. Applicants seeking existing owner-occupied housing rehabilitation and homebuyer activities funding will be limited to a maximum of $500,000 as a town, borough, or township. Cities and county applicants are limited to $750,000.

 b. Applicants seeking rental housing and homebuyer—new construction activities will be limited to a maximum funding request of the per unit subsidy limits for the Metropolitan statistical area for the proposed activity.

 2. Rental housing applicants must demonstrate matching contributions equal to 25% or greater for all HOME rental projects. Eligible match contributions may include cash contributions from non-Federal sources, value of donated property, forbearance of fees, cost of onsite infrastructure improvements directly required for the HOME-assisted project and other eligible sources more specifically detailed in 24 CFR 92.220 (relating to form of matching contribution).

 3. Rental housing developments funded by the Department competitive process will be limited to projects consisting of less than 10 total units. Other rental housing activities, for 10 units and above may be submitted to the PHFA and following the PHFA's competitive application process.

 4. A Community Housing Development Organization (CHDO) can receive up to 50% of its annual operating budget or $50,000.00 whichever is greater as CHDO operating funds.


 1. Rapid Rehousing—no less than 40% will be allocated to Rapid Rehousing, excluding administration and data collection activities for the Pennsylvania Homeless Management System (HMIS).

 2. Emergency Shelter

 No more than 60% of the annual Federal allocation may be used for Emergency Shelter activities (including operations, essential services and street outreach).

 3. Federal direct-entitlement grantees, those that receive a direct allocation of ESG funds from HUD annually, are eligible to apply for all eligible ESG uses, however direct-entitlement communities will not receive priority over nonentitlement applicants.

 4. Each applicant must demonstrate coordination of their efforts with the local Continuum of Care priorities.

 5. Nonprofit entities are eligible to apply directly. Regional activities must benefit service areas greater than one county.

 6. The Department will grant award amounts based on the evaluations until all grant funds are awarded.

 7. ESG funds may become available for reallocation because of poor grantee performance, voluntary returns, funds returned at the end of the contract period, repayment of ineligible expenses or HUD approved reallocation of expired funds. The Department will utilize its Reallocation Policy to allocate available funds.


 Priorities are established by each of the regional grantees through a formal process reflective of its demographic and epidemiological profile. Six regional grantees conduct a competitive procurement process and receive plans to provide HOPWA services from large organizations and smaller, grassroots faith-based and other community organizations. In addition, each Regional Grantee has the capacity to distribute patient care funds directly if it is expedient or more cost-effective method, or both, for delivery. Regional grantees who are funded for short term rent/mortgage/utility assistance that do have caps in place, have based them on historical usage, the estimated number of clients in need of this service and the amount typically needed to avoid eviction.


 The PHFA will utilize the same process for applicant selection as they have developed for their Low-Income Tax Credit program which may be found in the Tax Credit Allocation Plan. HTF funds will only be awarded to projects that meet the guidelines and receive low-income housing tax credits.

Recovery Housing Program—$1,091,286

 The funding for the Recovery Housing Program will be distributed through a competitive process to all eligible applicants, based on scoring of established criteria of the submitted application. An eligible applicant shall be a registered entity with the Department of State and be able to provide recovery housing for individuals in recovery from substance use disorder, in accordance with the act of December 19, 2017 (Act 59) (P.L. 1187, No. 59) and any subsequent regulations thereafter. Additionally, an applicant shall be licensed or certified by the Department of Drug and Alcohol Programs as a Drug and Alcohol Recovery House, as defined by Act 59.

 Finally, eligible applicants shall permit the use of medication assisted treatment using one of the Food and Drug Administration-approved medication for the maintenance treatment of opioid use disorder, such as methadone, buprenorphine/naloxone products/buprenorphine products including sublingual tablets/film, and extended release, long-acting injectable buprenorphine formulations and injectable naloxone.

Public Review and Comment

 The 2022 Plan is available on the Internet or electronically for public comment from June 4, 2022, through July 5, 2022.

Written Comments

 Comments may be electronically submitted to the Department at Written comments should be submitted to Megan L. Snyder, Center for Community and Housing Development, Department of Community and Economic Development, 400 North Street, 4th Floor, Commonwealth Keystone Building, Harrisburg, PA 17120-0225. Written comments must be received by close of business, 4 p.m., Tuesday, July 5, 2022, to be included as testimony in the Plan.

Pennsylvania Housing Advisory Committee

Thursday, June 16, 2022
10 a.m.

 The Pennsylvania Housing Advisory Committee (Committee) is responsible for reviewing Statewide housing, community development and support services, needs and priorities, as well as advising the Department in the preparation of the Commonwealth Consolidated Plan, annual action plans, and the coordination of Federal, State and local resources to manage the implementation of these plans.

 As part of the planning process for the Consolidated Plan for the 2022 Plan, the Committee will be meeting in an open, public forum to discuss the allocations for the 2022 Program Year. The programs affected by this are: CDBG; HOME Investment Partnerships Program; ESG Program; HOPWA; and HTF.

 Anyone who wishes to attend the Committee meeting can join by phone at (267) 332-8737. The conference ID is 733 746 211#.

 Anyone who has a disability or limited English proficiency and wishes to participate in the public hearing should contact Megan Snyder,, (717) 720-7404, or TDD (717) 346-0308 at a minimum of 72 hours prior to the meeting to discuss how the Department can accommodate their needs.

Second Public Hearing

Thursday, June 23, 2022
10 a.m.

 The second public hearing for the 2022 Plan will be conducted electronically by means of Microsoft Teams on Thursday, June 23, 2022, at 10 a.m. Consistent with the Department's Citizen Participation Plan, this hearing will be held virtually to ensure proper social distancing and limiting public gatherings due to the novel coronavirus (COVID-19) pandemic. Those who wish to make comment or discuss policy may participate directly from their phone, personal computer or from a computer located at their public library.

 Individuals or organizations may give testimony or comments during this meeting. Comments will be accepted about topics related to the needs of this Commonwealth in the following areas: community development, housing including special needs, homelessness, economic development and any changes to the methods of distribution of the existing Federal programs.

 Registration is not required and citizens may join the meeting by phone at (267) 332-8737. The conference ID is 826 383 380#.

 The hearing will be recorded for public record. The hearing will be shortened if there is no one to testify or there is minimal response.

 Anyone who has a disability or limited English proficiency and wishes to participate in the public hearing should contact Megan Snyder,, (717) 720-7404, or TDD (717) 346-0308 at a minimum of 72 hours prior to the meeting to discuss how the Department can accommodate their needs.

Written Comments

 Written testimony, instead of testimony provided during the public hearing, must be submitted by 4 p.m., Tuesday, July 5, 2022, for review for consideration for the Action Plan. Submit comments to Megan Snyder, Department of Community and Economic Development, Center for Community Financing, 400 North Street, 4th Floor, Commonwealth Keystone Building, Harrisburg, PA 17120-0225,

Acting Secretary

[Pa.B. Doc. No. 22-821. Filed for public inspection June 3, 2022, 9:00 a.m.]

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