Farm Labor Housing Loans and Grants

To provide decent, safe, and sanitary low-rent housing and related facilities for domestic farm laborers.

Loans are available to farmers, family farm partnership, family farm corporations, or an association of farmers. Loans and grants are available to States, Puerto Rico, the U.S. Virgin Islands, political subdivisions of States, broad-based public or private nonprofit organizations, federally recognized Indian Tribes and non- profit corporations of farm workers. Grants are available to eligible applicants only when there is a pressing need and when it is doubtful that such facilities could be provided unless grant assistance is available.

Applications will be scored on the following factors: (1) The presence and extent of leveraged assistance for the units that will serve RHS income-eligible tenants at basic rents comparable to those if RHS provided full financing, computed as a percentage of the RHS total development cost. A minimum of ten percent leveraged assistance is required to earn points; however, less than ten percent and the proposal includes donated land, two points will be awarded for the donated land, (0 to 20 points); (2) Seasonal, temporary, migrant housing (5 points for up to and including 50 percent of the units; 10 points for 51 percent or more); National Office initiative will be based on the presence of and extent to which a tenant services plan exists that clearly outlines services that will be provided to the residents of the proposed project. Two points will be awarded for each resident service included in the tenant services plan up to a maximum of 10 points,(0 to 10 points). Application selection process: (1) States will review and score the applications and submit a list of applications in rank and point score order to the National Office; (2) the National Office will rank applications on a nation-wide basis and will advise States of the results.

RHS uses a two-stage application process for the Farm Labor Housing Program. First, applicants submit preapplications, which are used to determine preliminary eligibility and feasibility. RHS then invites some applicants to submit formal applications. Section 514/516 funds are divided between off-farm housing and on-farm housing. The off-farm program provides loans and grants to organizations that assist farm workers at off-farm locations with no restrictions that workers be employed on a particular farm. Under new regulations effective June 1999, preapplications for the off-farm program funds must be submitted in response to a Notice of Solicitation of Applications (NOSA) published in the Federal Register every year. RHS scores the preapplications, using a ranking process to determine which applicants will be invited to submit formal applications. The on-farm program makes loans to eligible farmers (or a group of farmers) to provide Housing, usually for their own laborers. Preapplications for on-farm units, or for repair And rehabilitation of existing off-farm units, may be submitted at any time are processed on a first-come, first-served basis.