Part I: Understanding
HUD's SuperNOFA
What Is a Competitive Grant Program?
A competitive grant program is one of the ways HUD provides public funding
to address community problems and opportunities. Each competitive program
has been created and authorized by Congress. The programs allow eligible
applicants to request funding directly from HUD to carry out certain activities
within certain parameters. For example, the Youthbuild program, authorized
in 1992, funds nonprofit organizations, public housing agencies, and State
and local governments to create and operate 2-year job training programs
for disadvantaged youth. The programs teach construction and building
trades skills, provide for life training and education, and actually construct
housing. In addition to programs, such as Youthbuild, which fund specific
strategies to directly address need, HUD's menu of competitive grants
also includes programs for technical assistance. Technical assistance
programs are designed to increase the effectiveness of HUD grant programs
by improving the capacity of program participants, including nonprofits,
to design and implement the programs, and by providing specialized technical
expertise and training to address local program issues and opportunities.
Competitive grant programs require those seeking funding to submit an
application, which must compete with all other applications submitted
for that particular program. Only a limited number of applicants receive
funding.
Competitive grants differ from other types of HUD funding, such
as formula grants or Section 8 Contract Renewals. Formula grants,
which accounted for nearly $23 billion in FY 20002,
provide funding to all eligible recipients, typically State and
local governments or public housing agencies, based on specific
formulas that vary by program. In some cases, these programs require
submission of an application or a plan, but the applications do
not compete with one another for funding. Section 8 Contract Renewals,
which account for approximately $10.6 billion in FY 2000, are automatic
if the entities holding the contracts choose to renew. None of HUD's
formula-based programs or Section 8 Contract Renewals are awarded
through the NOFA or SuperNOFA processes.
2
This total includes appropriations for the Community Development Block
Grant (less set-asides), HOME Investment Partnerships, Public Housing
Operating Subsidy, Public Housing Modernization Capital Fund, Emergency
Shelters Grant, Housing Opportunities for Persons With AIDS, and Fair
Housing Assistance programs.
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Connecting with
Communities: A User's Guide to HUD Programs and the 2000 SuperNOFA
Process |
February 2000
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