760 Mass. Reg. 19.02
Application. An application for a loan or grant, in the format specified by the FCF Guidelines, including a description of a proposed Project, all financing sources, and all other matters required by 760 CMR 19.00 and the FCF Guidelines.
Area Median Income. Income, adjusted for family size, and for the pertinent region, as determined by the United States Department of Housing and Urban Development.
Community-based Housing. A non-institutional Residential Housing Development, or unit therein, that is reserved for clients of the Executive Office of Health and Human Services (EOHHS) who have been found eligible for such housing by DDS or DMH, of one of the following types:
(a) Group Home or Single Room Occupancy Housing. A residence that provides separate sleeping facilities for each resident. The building must also provide facilities for living, eating, cooking and sanitation for all residents; however, these facilities may be shared;
(b) Scattered Site Housing. A residence that provides separate facilities for living, sleeping, eating, cooking and sanitation for each resident; or
(c) Independent Integrated Housing. A residence reserved for Low Income Households or Individuals located in a Residential Housing Development on a single site or multiple sites, in which no more than a of the housing units are reserved for Low Income Households or Individuals and which complies with any additional requirements that may be specified in the FCF Guidelines, as approved by DHCD.
DCAM. The Division of Capital Asset Management and Maintenance of the Executive Office of Administration and Finance (which term shall encompass its predecessor, the Division of Capital Planning and Operations).
DDS. The Department of Developmental Services of the Executive Office of Health and Human Services.
Deferred Payment Loan (DPL). A loan secured by a mortgage on a Project which defers the repayment of principal and interest (if any) for a defined or undefined period of time.
Developer. The Developer of an Eligible Project satisfying the requirements of 760 CMR 19.03, and its permitted successors and assigns. The Developer may also be the owner of the Eligible Project, but need not be the owner, so long as:
(a) such Developer has control of the site on which the Eligible Project is located pursuant to a ground lease or other instrument acceptable to DHCD, in its discretion, for a period at least equal to the term of any applicable FCF loan; and
(b) the owner assents to the Developer's execution, delivery and recording of the Land Use Restriction and executes and delivers the Land Use Restriction and/or such additional documentation as DHCD may require, in its discretion, regarding the rights of DHCD and/or any Financial Intermediary with respect to the site.
DHCD. The Department of Housing and Community Development (including, where applicable, its predecessor, the Executive Office of Communities Development).
DMH. The Department of Mental Health of the Executive Office of Health and Human Services.
Eligible Project/Use (Project). The acquisition, construction, renovation and/or rehabilitation and operation of Community-based Housing for Individuals with Mental Illness or Individuals with Intellectual Disabilities that meets the requirements of 760 CMR 19.03. An Eligible Project supported by an FCF loan or grant is sometimes referred to herein as a "Project".
EOHHS. The Executive Office of Health and Human Services.
FCF Guidelines. Guidelines issued by DHCD setting out, clarifying and further explaining 760 CMR 19.00, program policy and procedure. The FCF Guidelines shall apply to all FCF financing programs (subject always to 760 CMR 19.01(3) ).
Facilities. Institutional Facilities owned or operated by the Commonwealth for either Individuals with Mental Illness or Individuals with Intellectual Disabilities, which are more specifically identified in the Report of the Special Commission.
Facilities Consolidation. The closure and consolidation of Facilities and the reorganization of community service systems by the Commonwealth in accordance with the Report of the Special Commission.
Facilities Consolidation Plan. The December 1993 Facilities Consolidation Plan prepared by the Secretary of EOHHS, which has been reviewed and approved by DHCD and filed with the Secretary of Administration and Finance of the Commonwealth and the House and Senate Ways and Means Committees.
FCF Legislation. Collectively, the Original FCF Legislation, the FCF 2 Legislation, the FCF 3 Legislation, the FCF 4 Legislation, the FCF 5 Legislation, and the FCF 6 Legislation, or where the context so requires, the specific legislation applicable, respectively, to Original FCF, FCF 2 or FCF 3 loans, or to FCF 4, FCF 5 or FCF 6 loans or grants, as appropriate.
FCF Units. The housing units of an Eligible Project that are supported by the FCF loan or grant and reserved for Individuals with Mental Illness or Individuals with Intellectual Disabilities that meet the requirements of 760 CMR 19.03.
Financial Intermediary. For all Projects funded under the FCF Legislation, a local housing authority or a redevelopment authority, the Community Economic Development Assistance Corporation, the Massachusetts Housing Finance Agency, the Massachusetts Development Finance Agency (formerly the Massachusetts Government Land Bank), or only for Projects funded under the Original FCF or FCF 2 Legislation, a community development corporation, which serves as the conduit for FCF loan funds, or funding under the FCF 4, FCF 5, or FCF 6 Legislation, or loan or grant funds, and is not a member of the development team.
Financially Feasible Project. An Eligible Project that is likely to secure binding financing commitments from other funding sources which, together with the FCF funds, total the budgeted amount necessary to develop and operate the Project.
For-profit Organization. An entity, including a corporation, partnership or trust organized under the laws of the Commonwealth or another state. The For-profit Organization must also demonstrate, to the satisfaction of DHCD, the capability of managing all of its responsibilities to the Eligible Project.
Gross Cash Expenditures. All expenses paid out by the Project, including all payments of principal and interest (if any) and any other debt service on outstanding loans, all operating and maintenance expenses, and reasonable payments into capital and operating reserves for the Project.
Gross Cash Receipts. All cash collections received by the Project from all sources, with the exception of documented contributions, donations and grant proceeds.
Individual with Mental Illness/Individual Served by DMH. A person DMH determines is eligible to receive services and subsidies provided by DMH.
Individual with Intellectual Disabilities/Individual Served by DDS. A person DDS determines is eligible to receive services and subsidies provided by DDS.
Land Use Restriction. An agreement by a Developer (and, as required by DHCD, by the owner of the site on which the Eligible Project is located, if other than the Developer), running with the land for the benefit of the DHCD, DMH and DDS, and restricting a Project to use as Community-based Housing, or for funding under the FCF 5 or FCF 6 Legislation, Community-based Housing or Supportive Housing, for Individuals with Mental Illness or Individuals with Intellectual Disabilities. Such agreement, as further described in 760 CMR 19.04(2)(f), shall include such terms and conditions as are imposed under the FCF Legislation and/or the FCF Guidelines or are otherwise required by DHCD, and shall be recorded and/or registered in the Registry of Deeds and/or Registry District of the Land Court where the Project is located.
Lease-purchase Agreement. In the case of Projects funded under the Original FCF and FCF 2 Legislation, an agreement between the Developer and DCAM, as further described in 760 CMR 19.04(4), under which DCAM leases an Eligible Project for the benefit of DDS or DMH for 30 years. The Lease-purchase Agreement may be for a shorter period if the DCAM Commissioner, in consultation with DDS or DMH, as applicable, determines that the amortization of such agreement for a shorter period would be as cost-effective as a 30-year term. The Lease-purchase Agreement may be extended for up to ten years, if the DDS or DMH commissioner recommends an extension to DCAM to satisfy repayment of an FCF loan. The Lease-purchase Agreement may incorporate a Title Transfer Agreement.
Low Income Household or Individual. An individual or family, including one or more Individuals with Mental Illness or Individuals with Intellectual Disabilities, whose adjusted income is less than or equal to 80% of the Area Median Income.
Nonprofit Corporation. A corporation organized under M.G.L. c. 180, which may also be required by DHCD to be a 501(c)(3) organization under the Internal Revenue Code at the time of Application or loan closing. To qualify as a Nonprofit Corporation for purposes of the FCF program, no member, shareholder, officer or employee of the corporation or its board of directors can profit, in any way, from the FCF assistance or from the Project. The Nonprofit Corporation must also demonstrate, to the satisfaction of DHCD, the capability of managing all of its responsibilities to the Project.
Report of the Special Commission. The report entitled "Actions for Quality Care" dated June, 1991, together with the subsequent report dated May, 1992 by the Governor's Special Commission on the Consolidation of Health and Human Services Institutional Facilities in the Commonwealth.
Residential Housing Development. Property which is predominantly used for housing and is in compliance with applicable laws and ordinances.
Supportive Housing. Community-based Housing that provides residents with supports and services linked to their housing.
Title Transfer Agreement. In the case of Projects funded under the Original FCF and FCF 2 Legislation, an agreement reflecting the option granted by the Developer/owner for the Commonwealth to acquire title to the Project:
(a) when the FCF loan becomes due and payable; or
(b) upon the expiration of a Lease-purchase Agreement with DCAM, as applicable (except that the commissioners of DDS and DMH may recommend that title be transferred to the provider of housing or other services at the Project, subject to a Land Use Restriction, in accordance with the requirements of the FCF Legislation). The option shall be granted by the Developer to DCAM, as agent for the Commonwealth. The Title Transfer Agreement shall run with the land, and shall be recorded in the appropriate Registry of Deeds or Registry District of the Land Court at the closing of the FCF loan, or at the time of the execution and delivery of the Lease-purchase Agreement, as applicable (or upon the earlier of the foregoing events, if an FCF loan is being made for an Eligible Project that is also (or will also be) the subject of a Lease-purchase Agreement). If an exception described in 760 CMR 19.04(2)(i) applies, no Title Transfer Agreement shall be required. When an FCF loan is made in conjunction with a Lease-purchase Agreement, DHCD may require that the Title Transfer Agreement be incorporated into the Lease-purchase Agreement.
Total Development Costs. Total hard and soft costs of developing an Eligible Project, including the costs to purchase, design, construct and finance the Project.
760 CMR 19.02