The U.S. Department of Housing and Urban Development (HUD) funds housing and services for people who are homeless through the annual NOFA (Notice of Funding Availability) process.

Largest Single Source of Funding

HUD’s Continuum of Care homeless assistance programs serve as the largest single source of funding for homeless services in Chicago; and, in 2008 Chicago received more than $47.9 million from HUD to support over 140 programs for homeless individuals and families. HUD awards the Continuum of Care homeless assistance grants through an annual application process known as the NOFA (Notice of Funding Availability), which is typically released by HUD in the spring or summer of each year.

Each year, on behalf of the Chicago Planning Council on Homelessness, the Chicago Alliance to End Homelessness submits a lengthy application to HUD (totaling 3,000 pages in 2008) for the Continuum of Care NOFA funding. Included in this application is Chicago’s priority list for distributing the annual HUD funding. In order for a program to receive HUD funding, it must appear on Chicago’s priority list.

Chicago runs a local application process to determine which programs will be placed on the list to receive HUD funding. Since the number of applications far exceeds the amount of available funding, the Chicago process is competitive. The Chicago Alliance staffs this process, with oversight provided by the Chicago Planning Council on Homelessness, which is a planning body made up of homeless service agencies, consumers of homeless services, government partners, private foundations, and members of the Chicago Alliance to End Homelessness. The role of the Chicago Planning Council on Homelessness is to establish the policies, principles, and priorities of Chicago’s NOFA process.

For agencies applying for HUD funding in Chicago, the NOFA process has two parts – the local evaluation process and the submission of the HUD application:

Part 1: The Evaluation Process
Prior to the release of the Continuum of Care NOFA by HUD, Chicago performs its own evaluation of renewal and new projects through two simultaneous processes. These processes are established by the Chicago Planning Council on Homelessness and managed by the Chicago Alliance to End Homelessness.

For Supportive Housing Program (SHP) renewal projects, agencies complete and submit the evaluation instrument, which is a tool used to evaluate each program. Evaluation instrument applications are then scored by independent evaluators and projects are prioritized for HUD funding through ranking policies established each year by the Chicago Planning Council on Homelessness. Shelter Plus Care (S+C) renewal projects are managed by the Chicago Department of Family and Support Services (formerly Chicago Department of Human Services) and do not compete in the evaluation process.

For new projects, agencies complete a separate application process consisting of a letter of interest (LOI) and an application (if applicable). New projects may be for any of the following HUD Continuum of Care programs: Supportive Housing Program (SHP), Shelter Plus Care (S+C) or Section 8/SRO. As with renewal SHP projects, new projects are prioritized for HUD funding through ranking policies set by the Chicago Planning Council on Homelessness.

Part 2: Submission of HUD Application
Once HUD releases the Continuum of Care NOFA, agencies are required to submit a series of online forms, for each program, through HUD’s new electronic application system e-snaps. These include: SF-424, SF-LLL, Logic model, 40090-2, and the Exhibit 2 application.

Exhibit 2 serves as the universal application for all projects applying under the Continuum of Care—including new and renewal Supportive Housing Program (SHP), new and renewal Shelter Plus Care (S+C), and new Section 8 Single-Room Occupancy (SRO) program applications.
 

2010 HUD NOFA Process

The 2010 HUD Continuum of Care NOFA process started with the local evaluation process, which began on March 29, 2010 when the 2010 Evaluation Instrument was distributed to all renewal Supportive Housing Program (SHP) projects. Training on the 2010 Evaluation Instrument was held on April 13-14, 2010 and the Evaluation Instrument was due on May 14, 2010 at 5pm to the Chicago Alliance’s office (205 West Wacker Drive, Suite 1321). After the Evaluation Instrument applications are received and reviewed, agencies will be notified of their preliminary project scores.

The HUD application process will start when the NOFA is released by HUD; it has not yet been published. All subsequent deadlines and trainings will be finalized once the NOFA is released but for an overview of the process, see the 2010 NOFA Process Timeline.

Chicago Ranking Policies
On July 21, 2010 the Chicago Planning Council on Homelessness passed the 2010 Ranking Policies for Chicago’s NOFA process. The ranking policies can be found here. Note that projects that score below a 50 on the local Evaluation Instrument will be notified that they are required to participate in technical assistance sessions and propose an action for improvement. For more information, please contact Nicole Prichard or Amanda Becker Carlisle.

Chicago Evaluation Process:
The 2010 NOFA Evaluation Instrument was released on March 29, 2010 and was due on May 14, 2010 by 5pm. Please see the links below for information and documents related to the local evaluation process and make sure to check this page regularly for updated information regarding the Chicago evaluation process.

2010 Evaluation Instrument Documents and Attachments
2010 Evaluation Instrument for Renewal Projects

2010 Evaluation Instrument Training and FAQ Documents
2010 Evaluation Instrument Training Presentation (Novice Session)
2010 Evaluation Instrumnet Training Presentation (All Session)
2010 Evaluation Instrument FAQs #1 - 4/22/10

Bonus and New Project Process:
On June 15, 2010, the Chicago Alliance released an Opportunity to Submit Letters of Interest for applicants wishing to apply for new permanent supportive housing funding through the HUD Continuum of Care (CoC) Homeless Assistance Grant Programs. Projects must serve homeless, disabled households (individuals or families). 

Selected projects will be submitted to HUD for funding through either the permanent housing bonus project funds or through reallocation of renewal project funds. A six-step process is being undertaken to select finalists, beginning with the LOI process. Letters of Interest (LOIs) must be submitted by 5pm on July 7, 2010 to the Chicago Alliance to End Homelessness at 205 W. Wacker Drive, Suite 1321, Chicago, IL 60606. Please see the links below for all information and documents related to the bonus and new project process.

2010 Bonus/ New Project Documents and Attachments
2010 Bonus/ New Project Opportunity to Submit Letters of Interest
2010 Bonus/ New Project LOI Appendix 1 - SHP Budget Forms
2010 Bonus/ New Project LOI Appendix 2 - S+C and SRO Budget Forms

HUD Application Process:
Following the Chicago Evaluation Process and the NOFA’s release, all new and renewal projects must complete an Exhibit 2 application to HUD for funding via e-snaps. HUD has not yet published the 2010 NOFA for Continuum of Care programs; once the NOFA is published, it will be posted here along with other related resources to help renewal projects complete the HUD application process.

Special Budget Seminar:
On March 25, 2009, the Alliance and local HUD representatives held a special budget seminar for agencies who wish to explore the possibility of shifting money in the project budgets from services into leasing and/or operations. This helps both the continuum as it competes nationally on its housing to services ratio, as well as helps agencies score more competitively during the local evaluation process. Additionally, information on consolidating multiple grants was given. If you were unable to attend the training but would like information on these topics, please refer to the documents below and/or contact Alliance NOFA Staff. 

Budget Seminar Documents
Alliance Introduction on Budgets
HUD Budget Changes Guidelines
HUD Budget Changes Appendix: available in PDF or fillable format
Budget Seminar Notes and Tips 

Useful NOFA Links

e-snaps and HUD e-snaps Training and Resource Page: HUD unveiled a new electronic application for the 2008 Continuum of Care (CoC) competition through a new online system, called e-snaps. HUD provides frequently updated information about e-snaps during the NOFA process on their Training and Resource Page.

Supportive Housing Program Desk Guide: The SHP Desk Guide describes the SHP grant process from grant award onward. It will take you through the life cycle of a grant, incorporating everything from very basic information to the intricacies of grant administration. The guide is not a substitute for the SHP regulations. However, it is a practical guide to issues that arise during project implementation.

Supportive Housing Program Self-Monitoring Tools: The guide provides user-friendly forms to enable staff to assess their project operations against the standards set by HUD rules and regulations. Tools include: Measuring Project Progress, Determining and Documenting Participant Eligibility, Tracking Match Requirements, Tracking Important Contract Dates and Implementation Milestones, Calculating Resident Rent, Record Keeping and Financial Management, and Conducting a Housing Assessment.

HUD Homeless Resource Exchange: The Homelessness Resource Exchange is your online one-stop shop for information and resources on assisting people who are homeless or at risk of becoming homeless. Program guidance and regulations, technical assistance (TA) and training resources, research and publications, and more are available.

Local HUD Representatives: See section entitled "Homeless Programs" for representatives' contact information for HUD SHP, S+C, and SRO programs in Chicago.

Program Models Chart

Important NOFA Documents

Any program interested in applying for HUD funding should read the documents below to become familiar with the application process.

Key NOFA Documents:
2009 Exhibit 1
2009 NOFA Final Ranking
2009 Report on HMIS
2008 NOFA Report
2008 Exhibit 1
2008 NOFA Final Ranking
2007 Exhibit 1
2007 SuperNOFA Final Ranking
2007 SuperNOFA Report
2006 Exhibit 1
2006 SuperNOFA Report
2005 Exhibit 1
2005 SuperNOFA Report

Visit the HUD website for further information on the NOFA process.