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The Home Rehabilitation and Repair Guidelines document outlines the process, guidelines, and criteria for a home rehabilitation loan or grant. Home rehabilitation and repair helps eliminate health and safety hazards, correct code violations, replace or upgrade major housing systems, or provide any repairs so that the house can be weatherized. This document contains a template guideline to home rehabilitation and repair; however, additional language may be incorporated by the user to ensure the user's needs are met. Use this document if you are seeking Home Rehabilitation assistance.
The Home Rehabilitation and Repair Guidelines document outlines the process, guidelines, and criteria for a home rehabilitation loan or grant. Home rehabilitation and repair helps eliminate health and safety hazards, correct code violations, replace or upgrade major housing systems, or provide any repairs so that the house can be weatherized. This document contains a template guideline to home rehabilitation and repair; however, additional language may be incorporated by the user to ensure the user's needs are met. Use this document if you are seeking Home Rehabilitation assistance. Home Rehabilitation and Repair General Home Rehabilitation and Repair Any funds obtained must be used to return the home to a habitable space that can be used by any of its occupants. The home must be the participant’s primary residence. If the home is rented, renters may use funds to return the home to a habitable space that can be used by any of its occupants. No funds may be used to make modifications or corrections that are covered under federal and state Fair Housing Laws. The purpose of the funds is to: ● eliminate health and safety hazards ● correct code violations ● replace or upgrade major housing system ● provide any repairs so that the house can be weatherized If the applicant has a disability or lives with a household member with a disability, funds may be used to create accessibility by removing barriers or making accommodations. Program requirements ● A site visit by VIDA Specialist to home is required before project initiation and after project completion ● The applicant must complete of 10 to 12 hours of financial education ● The applicant must complete at least 6 hours of asset-specific training ● The applicant must obtain bids from 3 eligible contractors It is required that the VIDA Specialist visit the site of the proposed work to become fully acquainted with any obstacles to completion of the work. The VIDA Specialist must analyze the costs of before and after construction. Eligible uses of funds include, but are not limited to: ● Essential improvements to maintain the home’s structural integrity ● Improvements related to energy ● Improvements for access for household member with disability ● Improvements to eliminate health hazards associated with lead-based paint, radon, asbestos, formaldehyde, mold, mildew, etc. ● Any retrofitting due to proximity to seismic activity ● Any emergency conditions, including repair or replacement of major housing systems, including: 1. Electrical issues due to blowing of fuses and/or circuit breakers, which indicate a system overload. Unsafe conditions due to too few electrical outlets as evidenced by extensive use of extension cords and/or exposed wiring 2. Plumbing issues due to broken water-heating system. Frequent sewer system backups or malfunctioning septic systems. 3. Roofing issues due to water intrusion that could cause structural damage or mold. Non-eligible use of funds includes, but are not limited to: ● landscaping ● improvements that are cosmetic rather than structural ● any remodeling of luxury or nonessential items © Copyright 2011 Docstoc Inc. registered document proprietary, copy not 2 Participants The participants must live in the property as primary residence. A participant’s household income must: ● Be less than 80% AMI as designated by the county or the state by household size, whichever is higher. ● Be Oregon residents. ● Be at least 12 years of age. ● Have a household net worth of less than $20,000, with the exception of one primary vehicle and residence. Funding Eligible participants will have access to $3,000 in match per 12-month period to a maximum of $9,000. Asset-Specific Training In addition to the requirement that an applicant complete financial education, participants must also complete a minimum of 6 hours of asset-specific training. The curriculum must cover the following elements: ● Home repair and maintenance ● Home protection through insurance, any warning signs, minor do-it-yourself repairs, and information about when to call a professional ● Working with inspectors, contractors, and other professionals, including any processes for repairing a home. These processes would include: bidding, price comparison, licenses, pre-construction meetings, etc. ● Instruction on the timeline and financing of the project ● The creation of a fund for a “rainy day” Contractor Selection All work to rehabilitate the property must be performed by licensed, bonded contractors. Any contractors must: ● Work to meet federal, state, and local codes. ● Be able to complete contracted work in a timely and business-like manner. ● Provide satisfactory business, credit, and professional references upon request. ● Be licensed, bonded, and insured by the State of Oregon, or the State of Washington, Idaho, or California in the event that the participant’s primary dwelling is within twenty-five miles of the Oregon border. Any contractors debarred or suspended are prohibited from participating. A participants, their immediate family, or their household members may not do repairs to the home, even if they meet the requirements listed previously. Bidding The applicant or a member organization working for the applicant must solicit 3 bids for rehabilitation work. If the applicant obtain his/her own bids, the successful bidder will need to provide copies of his/her license and bond, and proof of liability insurance, before the awarding of a contract to the participant and VIDA Specialist. The bidder may be required to provide references. In addition, the bidder must certify that he/she has not been previously disqualified from participating in HUD-assisted programs. The bid must include all prices. The proposal from the contractor may not be higher than 10% or lower than 15% of the area estimated cost. For a bid to be accepted, all information required on the bid form must be provided, including cost allowances for fixtures and materials. The contract will be awarded to the responsible bidder whose bid is most advantageous due to price and other factors. The member organization is responsible for working with the participant to monitor contracts to ensure compliance with federal, state, and local regulations even though the contractor is employed by the owner. Before the VIDA participant may award the contract, a personal development plan must be approved by CASA of Oregon before the start of the project. © Copyright 2011 Docstoc Inc. registered document proprietary, copy not 3 Disbursals Any bills from the contractor must abide by the billing instructions in the bid/contract. A inspection must be requested by the City/County Permit Center, County Health Department, or Department of Labor and Industries for any code-controlled work. Code violations that are cited by any permit authority must be corrected. After a code violation has been noted, the work must be re-inspected and approved prior to billing. A copy of permit approval must be submitted with the invoice. In addition, a copy of the Waiver of Lien must be notarized and issued to the owner and the member organization before or during submission of the invoice. Incomplete invoices will not be accepted or paid. After the receipt of a contractor’s invoice is received, a VIDA Specialist will inspect on behalf of the owner for compliance with the work specifications and quality of work. If deficiencies are found, the contractor will be notified. Once found, deficiencies must be corrected, re-inspected, and approved by VIDA Specialist before the invoice is processed. Lien Waiver or Lien Release Before payment is released, the contractor must execute a Waiver of Lien, unless a payment and performance bond has been required and posted. The VIDA Specialist may also require a lien waiver from his/her subcontractors and suppliers of material. © Copyright 2011 Docstoc Inc. registered document proprietary, copy not 4 VIDA Specialist Checklist Before enrollment ● The participant meets general eligibility criteria. ● A site visit was performed and needs verified by VIDA Specialist. At the site visit, the Specialist must verify that the modifications are required to make the home habitable, accessible, or able to be visited for any or all household members. ● If a Participant wishes to rehabilitate or repair a rental unit, the VIDA Specialist must verify that modifications should not be covered under Fair Housing Laws At enrollment ● The participant must schedule asset-specific training with Member organization. ● The participant must schedule financial education training with Member organization. Before construction ● The VIDA Specialist reviews Participant Development Plan. ● The VIDA Specialist verifies credentials of the contractor. ● The VIDA Specialist reviews at least 3 bids with participant and works with him/her to choose contractor. Before disbursal ● A waiver of Lien/Lien Release is submitted. ● A personal Development Plan is submitted. ● All certificates of completion of trainings are submitted. ● A site visit was performed by VIDA Specialist. ● Exit forms are submitted. © Copyright 2011 Docstoc Inc. registered document proprietary, copy not 5
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