HomeMy WebLinkAboutReso 2026-4059RESOLUTION NO.2026 -
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH,
FLORIDA, APPROVING THE FIRST AMENDMENT TO THE URBAN QUALIFICATION
COOPERATION AGREEMENT BETWEEN THE CITY OF SUNNY ISLES BEACH AND
MIAMI-DADE COUNTY FOR PARTICIPATION IN THE COMMUNITY
DEVELOPMENT BLOCK GRANT, HOME INVESTMENT PARTNERSHIPS, AND
EMERGENCY SOLUTIONS GRANT PROGRAMS FOR FISCAL YEARS 2027-2029;
PROVIDING FOR ONE SUCCESSIVE THREE-YEAR RENEWAL FOR FISCAL YEARS
2030-2032 AT THE DISCRETION OF MIAMI-DADE COUNTY; AUTHORIZING THE
MAYOR TO EXECUTE THE FIRST AMENDMENT; AUTHORIZING THE CITY
MANAGER TO DO ALL THINGS NECESSARY TO EFFECTUATE THIS RESOLUTION;
PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, on August 171h, 2023, via Resolution No. 2023-3543, the City Commission of
the City of Sunny Isles beach (the "City") approved an Urban Qualification Cooperation
Agreement (the "Agreement") with Miami -Dade County (the "County") for the City's
participation in the County's Urban County entitlement jurisdiction for fiscal years 2024-2026;
and
WHEREAS, participation in the County's Urban County entitlement jurisdiction provides
the City with opportunities to apply through the County for funding under the Community
Development Block Grant ("CDBG"), Home Investment Partnerships ("HOME"), and Emergency
Solutions Grant ("ESG") programs administered by the United States Department of Housing
and Urban Development; and
WHEREAS, the City and County desire to execute a First Amendment to the Agreement
to continue the City's participation for fiscal years 2027-2029 and to update the Agreement in
accordance with current federal requirements; and
WHEREAS, the First Amendment provides for one successive three-year renewal for
fiscal years 2030-2032 at the discretion of the County, unless either party provides written
notice electing not to participate in the subsequent qualification period; and
WHEREAS, the City Commission wishes to approve the First Amendment to the
Agreement with the County, attached hereto as Exhibit "A".
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF SUNNY
ISLES BEACH, FLORIDA, AS FOLLOWS:
Section 1. Approval of the First Amendment. The City Commission hereby approves First
Amendment to the Agreement with the County, attached hereto as Exhibit "A".
Section 2. Authorization of the Mayor. The Mayor is hereby authorized to execute said
Amendment.
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551
Section 3. Authorization of City Manager. The City Manager is hereby authorized to do all
things necessary to effectuate this Resolution.
Section 4. Effective Date. This Resolution shall become effective upon adoption.
PASSED AND ADOPTED this 20th day of fit, 2026.
Mau, c�oetanc r, CMC, City Clerk
Larisa Svechin, Mayk r
APPROVED AS TO FORM
AND LEGAL SUFFICIENCY:
-,A� -
Alain E. Bo au, City Attorney
Nabors, Giblin & Nickerson, P.A.
Moved byPAIJUX61iSeconded
Vote:
Mayor Svechin (Yes) (No)
Vice Mayor Viscarra (Yes) (No)
Commissioner Joseph (Yes) (No)
Commissioner Lama (Yes) (No)
Commissioner Stuyvesant (Yes) (No)
@ BCL@001653D6
Page 2 of 2 552
Resolution No. R-1058-11
1ST AMENDMENT
TO THE URBAN QUALIFICATION COOPERATION AGREEMENT
BETWEEN
MIAMI-DADE COUNTY
AND
CITY OF SUNNY ISLES BEACH
This Amendment amends the Urban Qualification Cooperation Agreement for the Miami -Dade
County Community Development Block Grant and Home Investment Partnerships Program
Funds for FY 2023-2026 Between Miami -Dade County and CITY OF SUNNY ISLES BEACH,
executed on 9/12/2023 (the "Contract" or "Agreement"). Miami -Dade County shall hereinafter be
referred to as the "County". CITY OF SUNNY ISLES BEACH shall hereinafter be referred to as
the "City."
The Contract, which shall be automatically renewed pursuant to Section 3 of the Contract for the
Qualification Period consisting of FY 2027-2029 is amended as follows:
Page 1 of the Agreement is hereby amended by adding the following new Whereas clause:
WHEREAS, the County Mayor or County Mayor's designee is authorized to execute this Agreement on the
County's behalf,
Paragraph 1 shall be amended to read:
The City, by executing this Agreement, understands and agrees that:
a. City may receive an allocation under the CDBG and HOME Programs through the
County's Request for Application Process. If the County does not receive a HOME
formula allocation, City cannot form a HOME consortium with other local governments.
(Note: this does not preclude the County or the City from applying for State HOME
funds if the State allows.); and
b. City may not apply for grants from appropriations under the State CDBG Program for
the fiscal years City participates in the County's CDBG program; and
c. City may receive an allocation under the ESG program only through the County.
However, City may apply to the State for ESG funds, if the State allows.
Paragraph 2 shall be amended to read:
2. This Agreement shall remain in effect for the three-year County Qualification Program
period of Fiscal Years 2027, 2028, and 2029 for which the County is to qualify to receive
Federal Funds. This Agreement shall remain in effect until the CDBG (and, where
applicable, HOME and ESG) funds and program income received (with respect to activities
carried out during the three-year qualification period and any successive qualification
periods pursuant to automatic renewal of this Agreement) are expended and the funded
activities completed, and the County and the City cannot terminate, withdraw, or be
removed from the program while the Agreement remains in effect
Paragraph 3 shall be amended to read:
3. This Agreement will renew automatically for participation for one successive three-year
Urban County qualification period (Federal Fiscal Years 2030, 2031, and 2032) at the
Page 1 of 3
553
Resolution No. R-1058-11
discretion of the County unless the County or the City provides written notice to the other
Party that it elects not to participate in a new Qualification Period. The City and County
agree that a copy of such notice shall be timely sent to the HUD Field Office.
Paragraph 5 shall be amended to read:
The Parties agree that they will timely execute any amendments to the Agreement
necessary to comply with the requirements for cooperation agreements, including those
for automatic renewals, set forth in the current Urban County Qualification Notice, attached
as Exhibit A, or future urban county qualification notices from HUD for the current or any
future Qualification Period. The Parties further agree that any amendment so executed will
be timely submitted to HUD. Failure to comply with the requirements of this section may
cause the County to void the automatic renewal for the applicable qualification period.
Paragraph 6 shall be amended to read:
6. The County and City agree to cooperate to undertake, or assist in undertaking, essential
community development and housing assistance activities, as approved and authorized
between the parties in the CDBG Agreements, including the Consolidated Plan.
Paragraph 10 shall be amended to read:
10. The County and the City affirm that it has adopted and is enforcing:
a. A policy prohibiting the use of excessive force by law enforcement agencies within its
jurisdiction against any individuals engaged in non-violent civil rights demonstrations;
and
b. A policy of enforcing applicable State and local laws against physically barring entrance
to or exit from a facility or location which is the subject of such non-violent civil rights
demonstration within the City.
Except for any changes enumerated above, all provisions of the Contract shall remain in full force
and effect. This Amendment is hereby made a part of the Contract.
This Amendment shall be valid when signed by all parties.
[Signature Page to Follow]
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554
Resolution No. R-1058-11
IN WITNESS THEREOF, the parties hereto have caused this two (2) page amendment to be
executed by their undersigned officials as duly authorized, this day of
2026.
CITY OF SUNNY ISLES BEACH
By:
Name: �lEj��yS
Title: ��7f7� 1144014
Date: �% �� (tea
By:
Name:
MIAMI-DADE COUNTY
By:
Name:
Title:
Date:
ATTEST
Title: Clerk of Board of County Commissioners
Date:
Page 3 of 3
555
M IAM I-DADE
Daniella Levine Cava
Mayor
July 22, 2026
Mayor Larisa Svechin
City of Sunny Isles Beach
18070 Collins Avenue
Sunny Isles Beach, Florida 33160
Housing and Community Development
701 NW 1st Court, 16th Floor
Miami, FL 33136-3914
miamidade.gov
Via e-mail: mayor(a)-sibfl.net: citymanager(a)_sibfl.net; smorris(a-)-sibfl.net; ssimpson(a�sibfl.net
Re: Urban County Qualification for Participation in the Community Development Block Grant (CDBG),
HOME Investment Partnerships Program (HOME), and Emergency Solutions Grant (ESG) for
Fiscal Years (FY) 2027-2029
Dear Mayor Svechin:
Miami -Dade County Housing and Community Development did not receive a response from your
municipality to our Urban County Participation Letter dated April 16, 2026, which means that your city
may continue to be considered part of the Urban County for FY 2027-2029.
An election to continue to participate requires execution of the attached 1st Amendment to the Urban
Qualification Cooperation Agreement with Miami -Dade County. It may also require approval by the
city's governing body, and other documents and certifications required by HUD, as set forth in the
attached CPD-26-08 Notice. Failure to respond means that your city may continue to be
considered part of the Urban County for FY 2027-2029.
Please have your Chief Executive Officer execute the amendment and return it to Xavier Vega via e-
mail at Xavier. Vega(@miamidade.gov by Friday, July 31, 2026.
As part of the County's entitlement jurisdiction, we encourage your municipality to apply for an allocation
of CDBG, HOME, and ESG funding through the County's annual competitive Request for Application
(RFA) process.
If you need further information regarding this request on the Urban County Qualification process, please
contact Mr. Xavier Vega, HCD Manager at 786-469-2141.
Sincerely,
Lakisha Gray
Division Director 2
Enclosure
c: Nathan Kogon, AICP, Director, HCD
Clarence D. Brown, Deputy Director, HCD
Elissa Plancher, Assistant Director, HCD
Xavier Vega, HCD Manager, HCD
Cordella Ingram, Principal Planner, HCD
556
voExr°Rr
o� °e
fI�
OFFICE OF COi�T+IIJNITYPLA?I.NNG
AND DEVELOMEN-r
U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
WASHINGTON, DC 20410-7000
SPECIAL ATTENTION:
All Regional Administrators
All CPD Regional Offices
All CPD Field Office and Program Directors
All OGC Field and Regional Offices
All CDBG Grantees
NOTICE: CPD-26-08
Issued: May 15, 2026
Expires: Remains in effect until amended,
superseded, or rescinded.
Supersedes: Notice CPD-25-04
Cross Reference: 24 CFR 570.307
SUBJECT: Instructions for Urban County Qualification for Participation in the
Community Development Block Grant (CDBG) Program
TABLE OF CONTENTS
SECTION l: OVERVIEW OF THE URBAN COUNTY NOTICE ........................................ 3
1.1 Who's this Notice for?........................................................................................................ 3
1.2 What is an "Urban County" in the CDBG Program?......................................................... 3
1.3 What is Urban County "qualification" and why are Urban Counties required
to requalify every three federal fiscal years(FYs)?............................................................ 3
1.4 What's covered in this Notice?........................................................................................... 5
1.5 What's new in this Notice?................................................................................................. 5
1.6 Who can I contact if I have questions?............................................................................... 8
1.7 Paperwork Reduction Act (PRA) information.................................................................... 8
SECTION 2: THE URBAN COUNTY QUALIFICATION PROCESS .................................. 9
2.1 Step -by -Step Process Map: The Urban County Qualification Process ............................... 9
2.2 What happens during each step in the Urban County qualification process? ................... 10
2.3 How long is my Urban County's qualification period? .................................................... 13
2.4 Can my Urban County add new Participating UGLGs during our three-year
qualificationperiod?......................................................................................................... 13
2.5 Can my Urban County add a Metropolitan City as a Joint Recipient (under a
Joint Agreement) during our three-year qualification period? .......................................... 14
2.6 Can a Participating UGLG (in a Cooperation Agreement) OR a Metropolitan City
(in a Joint Agreement) withdraw from our Urban County during our three-year
qualificationperiod?......................................................................................................... 14
2.7 What is HUD's "Determination of Essential Powers"? .................................................... 14
www.hud.gov
557
SECTION 3: YOUR URBAN COUNTY QUALIFICATION PACKAGE ...........................16
3.1
What documents must I submit in my Urban County's qualification package? ..............
16
3.2
How do I submit my Urban County's qualification package to HUD? ............................
16
3.3
What are HUD's requirements for Urban County Participation Decision Letters? ........
16
3.4
What are HUD's requirements for Cooperation Agreements between
Urban Counties and Participating UGLGs?......................................................................
20
3.5
What are HUD's requirements for Joint Agreements between Urban Counties
and Metropolitan Cities (Joint Recipients)?.....................................................................
20
3.6
What are HUD's requirements for County Counsel Legal Opinion Letters? ...................
20
3.7
What is HUD's new policy on "auto -renewal" of Cooperation Agreements and
Joint Agreements (effective for the FY 2027 Urban County qualification process)?.......
20
SECTION 4: REQUIREMENTS, DEADLINES, URBAN COUNTY LISTS,
AND OTHER GUIDANCE........................................................................................................ 23
4.1 What are all my county's requirements to qualify and receive CDBG funding
asan Urban County?......................................................................................................... 23
4.2 What requirements apply to my Urban County "qualification scenario" this year?......... 24
4.3 What are the Urban County Qualification Deadlines and where do I find them? ........... 24
4.4 What are the Urban County Lists and where do I find them? .......................................... 25
4.5 Guidance for First -Time Qualifiers.................................................................................. 25
4.6 Guidance about potential new Metropolitan Cities.......................................................... 26
4.7 Can I align my Urban County and HOME program qualification periods? ..................... 28
4.8 Guidance on Urban County qualification deadline extensions and the HOME
program's September 30 statutory deadline..................................................................... 28
4.9 Guidance for counties that may qualify as an Urban County if a Metropolitan City
relinquishes its CDBG Entitlement status......................................................................... 29
4.10 Guidance for Unique Grantee Situations.......................................................................... 29
ATTACHMENTS....................................................................................................................... 32
Attachment 1: Statutory Requirements to be Qualified as an Urban County ............................. 32
Attachment 2: Definitions of Urban County Terms................................................................... 33
Attachment 3: HUD Requirements and Sample Language for Cooperation Agreements ......... 40
Attachment 4: HUD Requirements and Sample Language for Joint Agreements ..................... 48
Attachment 5: Cooperation Agreements vs. Joint Agreements Comparison Table ................... 57
Attachment 6: Urban County Qualification Scenarios Comparison Table ................................ 62
2
558
SECTION 1: OVERVIEW OF THE URBAN COUNTY NOTICE
1.1 Who's this Notice for?
The Urban County Notice is for:
• All Community Development Block Grant (CDBG) grantees
(Urban Counties, Metropolitan Cities, and States)
• Units of general local government (UGLGs) in Urban Counties
• HUD Community Planning and Development (CPD) field and regional staff
• HUD Office of General Counsel (OGC) field and regional staff
CPD field offices must provide copies of this Notice each year to:
1. All currently qualified Urban Counties
2. Any county that can qualify as a new Urban County
3. Each state administering the State CDBG Program which includes
a potentially eligible new Urban County
NOTE: CPD field offices should encourage Urban Counties and potential new Urban Counties to
visit the HUD Exchange Urban Counties website for more guidance on Urban County qualification.
1.2 What is an "Urban County" in the CDBG Program?
Urban Counties are counties in metropolitan areas that qualify to directly receive CDBG
annual formula funding because they meet a population threshold (generally 200,000), or
meet other special characteristics, identified in the Housing and Community Development
Act (HCDA) of 1974, as amended! Urban Counties are CDBG Entitlement Communities
under the CDBG Program. For more detailed information on the statutory requirements to
be qualified as an Urban County, GO TO ATTACHMENT i. For definitions of the terms used
in this Notice, GO TO ATTACHMENT 2.
1.3 What is Urban County "qualification" and why are Urban Counties required
to requalify every three federal fiscal years (FYs)?
1.3.1 Urban County qualification is required by the HCDA and CDBG regulations
The HCDA of 1974, as amended, and CDBG program regulations at 24 CFR Part
570 require counties to "qualify" as Urban Counties through a process that involves
submitting specific qualification documentation to HUD. The overall reason HUD
must qualify Urban Counties is to ensure they are eligible for CDBG funding.
' Refer to the official definition of Urban Counties at Section 102(a)(6)(A) of the HCDA for more information:
https://www.govinfo.gov/content/pkg/COWS-10382/pdf/COMPS-1 0382.pdf
1-f-VI
Per CDBG program regulations on Urban Counties at 24 CFR 570.307(a):
"The Secretary will determine the qualifications of counties to receive entitlements
as urban counties upon receipt of qualification documentation from counties at such
time, and in such manner and form as prescribed by HUD. The Secretary shall
determine eligibility and applicable portions of each eligible county for purposes
of fund allocation under section 106 of the [HCDA] on the basis of information
available from the U.S. Bureau of the Census with respect to population and other
pertinent demographic characteristics, and based on information provided by the
county and its included units o f general local government."
1.3.2 Urban Counties are required to requalify every three federal fiscal years (FYs)
The three -fiscal -year Urban County qualification period is a statutory requirement,2
which is also codified in CDBG program regulations at 24 CFR 570.307(d)(1):
"The qualification by HUD of an urban county shall remain effective for three
successive Federal fiscal years regardless of changes in its population..."
1.3.3 Purposes of Urban County qualification
The four main purposes are officially verifying and ensuring:
1. Counties meet the population threshold to be an Urban County. In general, this
is based on the combined population in: a) the county's unincorporated areas
and b) "participating" units of general local government (Participating UGLGs).3
2. HUD can accurately allocate formula grant funding for the CDBG program
(and HOME Investment Partnerships (HOME) and Emergency Solutions Grant
(ESG) programs, if applicable).4 Urban County "configurations" affect formula
funding amounts across the entire CDBG Entitlement grantee portfolio.5
3. Intergovernmental agreements or IGAs (agreements between local govemments)6
for Urban Counties are legally sufficient for HUD. These legal agreements are
between Urban Counties and Participating UGLGs (or Metropolitan Cities).
4. Participating UGLGs (in Cooperation Agreements) and Metropolitan Cities
(in Joint Agreements) have an opportunity every three years to choose
whether to continue, or opt out of, participating in their Urban County.
2 Section 102(d) of the HCDA (42 U.S.C. 5302(d)) states: "The population of any UGLG which is included in that
of an urban county [...] shall be included in the population of such urban county for three program years beginning
with the program year that its population was first so included."
s The population of Metropolitan Cities is never counted towards Urban Counties, including under Joint Agreements.
4 The HOME and ESG programs are marked "if applicable" because not all Urban Counties receive HOME or
ESG funding. Some Urban Counties are not eligible and some choose not to participate in those programs.
s There are approximately 1,300 CDBG Entitlement Communities (cities and counties), which directly receive
CDBG grants annually. There are approximately 1,100 Metropolitan Cities and approximately 200 Urban Counties.
6 There are two types of agreements: 1) Cooperation Agreements (between Urban Counties and Participating
UGLGs); and 2) Joint Agreements (between Urban Counties and Metropolitan Cities [CDBG Entitlements]).
0
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1.4 What's covered in this Notice?
This Notice establishes and explains requirements for Urban County qualification.'
Below is a summary of the Notice's sections and attachments:
• Section 1: Overview of the Urban County Notice (this section) introduces this
Notice and Urban County qualification. Please note that SECTION 1.5 highlights
the changes HUD is making to this Notice from Notice CPD-25-04.
• Section 2: The Urban County Qualification Process provides a step-by-step
process map of the qualification process and a brief explanation of each step in
the process. This section will help you understand how the process works.
• Section 3: Your Urban County Qualification Package covers the requirements
for your county's "qualification package" that you must submit to your CPD field
office. It also provides instructions on how to submit your qualification package.
Specifically, this section provides guidance on: 1) Urban County Participation
Decision Letters; 2) Cooperation Agreements and Joint Agreements; and
3) County Counsel Legal Opinion Letters.
Section 4: Requirements, Deadlines, Urban County Lists, and Other Guidance
summarizes all requirements to receive CDBG funding as an Urban County,
provides more information on the Urban County Qualification Deadlines and
Urban County Lists that HUD will publish annually on the HUD Exchange Urban
Counties website, and provides other technical guidance for qualifying counties.
• Attachments includes six attachments:
Attachment 1: Statutory Requirements to be an Urban County
Attachment 2: Definitions of Urban County Terms
Attachment 3: HUD Requirements and Sample Language for Cooperation Agreements
Attachment 4: HUD Requirements and Sample Language for Joint Agreements
Attachment 5: Cooperation Agreements vs. Joint Agreements Comparison Table
Attachment 6: Urban County Qualification Scenarios Comparison Table
1.5 What's new in this Notice?
• Converted to a standing Notice: HUD will no longer publish an Urban County
Notice annually. This Notice will remain in effect until amended, superseded, or
rescinded by a new Urban County Notice. As a supplement to this Notice, HUD will
publish three additional guidance products annually on the HUD Exchange Urban
Counties website: 1) Urban County Qualification Deadlines; 2) Urban County Lists;
and 3) Metropolitan Cities in Joint Agreements with Urban Counties.
' In this Notice, HUD uses the phrases "Urban County qualification" or "qualifying Urban Counties" for simplicity
instead of using "Urban County qualification and requalification" or "qualifying or requalifying Urban Counties."
Requalifying as an Urban County is essentially the same process as qualifying the first time.
561
Removed references to specific fiscal years (FYs) and three-year Urban County
qualification periods: Because HUD converted this Notice to a standing Notice,
this Notice no longer refers to specific FYs or specific three-year qualification
periods (e.g., FYs 20XX-20XX). The only exception is to explain the effective
date of HUD's policy change to "auto -renewal" of Urban County agreements.
Added new content in Section 1 (Overview of the Urban County Notice):
HUD added new content to Section 1 to provide more foundational information
on Urban County qualification for grantees and HUD staff. The new sections
(SECTION 1.2 and SECTION i.i) explain the statutory and regulatory basis for
Urban County qualification under the HCDA of 1974, as amended, and CDBG
regulations at 24 CFR 570.307. HUD also more thoroughly explains the
purposes of Urban County qualification in SECTION 1.3.3.
• Revised Section 2 (The Urban County Qualification Process): HUD revised the
Step -by -Step Process Map (GO TO SECTION 2.1) and the narrative explanation
of each step in the process (GO TO SECTION 2.2). HUD revised these sections to
improve the explanation of the qualification process, and made minor revisions
to the final steps of the process to ensure CPD field staff and Urban Counties are
notified which counties are qualified for the next three-year qualification period.
• Replaced the previous Section 3 with a new Section 3 ("Your Urban County
Qualification Package") and added content reorganized from other sections
in previous Notices: HUD added this new section to consolidate guidance on
the "qualification package" Urban Counties must submit to CPD field offices:
1) Urban County Participation Decision Letters, 2) Cooperation Agreements
and Joint Agreements (if any), and 3) County Counsel Legal Opinion Letters.
• Replaced the previous Section 4 (Attachments) with the previous Section 3 and
revised the name and content of the new Section 4 ("Requirements, Deadlines,
Urban County Lists, and Other Guidance"): The new Section 4 summarizes all
requirements, explains "qualification scenarios" counties will be in over time,
and explains the Urban County Qualification Deadlines and Urban County Lists
which will be updated each year on the HUD Exchange Urban Counties website.
• Eliminated specific names for Urban County notification letters:
HUD eliminated the four specific names for notification letters to UGLGs and
Metropolitan Cities (e.g., Notification of Opportunity to be Excluded) in favor
of using a single name for all notification letters: Urban County Participation
Decision Letters. HUD made this change to make it easier for grantee staff to
understand the notification letters. This change does not imply all notification
letters to UGLGs have the same requirements (they do not). However, all letters
are seeking CDBG program participation decisions from UGLGs and Metropolitan
Cities in Urban Counties (opting in/out of the Urban County). HUD believes the
new naming convention for these letters is simpler and easier to understand.
2
562
Changed HUD's policy on "auto -renewal" of Cooperation and Joint Agreements
(effective for the FY2027 Urban County Qualification Process): In this Notice,
HUD is notifying Urban Counties and partnering local governments that HUD
is changing its policy on "auto -renewal" of Cooperation Agreements and Joint
Agreements. Please note that this new policy will go into effect for the FY 2027
Urban Countyqualification process (for the FYs 2028-2030 qualification period).
HUD is delaying the effective date to provide Urban Counties sufficient time to
implement this policy change.
o Under the new policy, Cooperation and Joint Agreements may only
auto -renew for one three -fiscal -year qualification period, rather than
in perpetuity. Essentially, the agreements may only be in place for a
maximum of six years (two qualification periods)$ before the parties
involved must reauthorize and re -execute the agreement(s). GO TO
SECTION 1.7 to learn more about the new policy.
Defined additional Urban County Terms (Attachment 2): HUD defined more
terms used in this Notice to help grantees and HUD staff, especially new staff,
better understand Urban County qualification. There are many unique terms
related to Urban Counties and the qualification process. This attachment provides
a helpful resource for readers to learn what specific Urban County terms mean.
Revised HUD Requirements for Cooperation Agreements and Sample Language
for Cooperation Agreements (Attachment 3): HUD made minor adjustments to
Cooperation Agreement requirements and the sample language for Cooperation
Agreements and combined these two previous attachments into one. Most of the
adjustments HUD made were to conform this attachment with HUD's new policy
on "auto -renewal" of Urban Countv agreements.
Added new guidance on HUD Requirements and Sample Language for Joint
Agreements (Attachment 4): HUD added new guidance to clarify requirements,
and provide sample language, for Joint Agreements. HUD added this guidance to
avoid confusion for grantees about what must be included in Joint Agreements.
While the requirements for Cooperation Agreements and Joint Agreements are
similar, there are several differences.
Added new Cooperation Agreements vs. Joint Agreements Comparison Table
(Attachment 5): HUD added this new table to provide a useful tool for Urban
Counties, UGLGs, and Metropolitan Cities to compare the differences between
Cooperation Agreements and Joint Agreements. HUD added this guidance due
to confusion among Urban Counties,_ UGLGs, and Metropolitan Cities on the
distinction between Cooperation Agreements and Joint Agreements.
8 HUD will allow an emergency exception to allow agreements to auto -renew for one additional qualification
period (maximum total of nine years) with written approval from the Urban County's CPD field office.
7
563
Revised and improved the Urban County Qualification Scenarios Comparison
Table (Attachment 6): HUD made minor adjustments to this table to better explain
the distinctions between the three Urban County qualification scenarios that Urban
Counties may experience any given year.
1.6 Who can I contact if I have questions?
Contact your CPD Representative or your CPD field office. To reach the CPD Entitlement
Communities Division with questions about Urban Counties, email urbancountiesnhud.gov.
NOTE: HUD encourages Urban Counties, potential new Urban Counties, and UGLGs in Urban Counties
to contact their CPD field office first before emailing the CPD Entitlement Communities Division.
1.7 Paperwork Reduction Act (PRA) information
The Office of Management and Budget (OMB) has approved the information collection
requirements in this Notice under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-
3520). The assigned OMB control number for this information collection is 2506-0170.
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SECTION 2: THE URBAN COUNTY QUALIFICATION PROCESS
2.1 Step -by -Step Process Map: The Urban County Qualification Process
STEP 1
CPD FIELD OFFICES INITIATE PROCESS—EMAILING
THIS NOTICE TO CURRENTAND POTENTIALURBAN
COUNTIES AND REFERRING THEM TO GUIDANCE ON
THE HUD EXCHANGE URBAN COUNTIES WEBSITE
STEP 6
COUNTIES SUBMIT QUALIFICATION PACKAGES TO THEIR
CPD FIELD OFFICES WITH 1) PARTICIPATION DECISION
LETTERS, 2) AGREEMENTS OR AMENDMENTS, AND
3) COUNTY COUNSEL LEGAL OPINION LETTERS
STEP 7
OGC FIELD OR REGIONAL COUNSEL COMPLETES
LEGAL REVIEW OF 1) AGREEMENTS (ORAMENDMENTS)
AND 2) COUNTY COUNSEL LEGAL OPINION LETTERS
AND CERTIFIES THEY MEET HUD REQUIREMENTS
STEP 12
❑CPD FIELD OFFICES SEND LETTERS TO
URBAN COUNTIES NOTIFYING THEM THAT
V THEYARE QUALIFIED FORTHE UPCOMING
THREE-YEAR QUALIFICATION PERIOD
STEP 2
URBAN COUNTIES INITIATE PROCESS LOCALLY —
SENDING URBAN COUNTY PARTICIPATION DECISION
LETTERS TO UGLGs AND METROPOLITAN CITIES AND
RECEIVING RESPONSE LETTERS (AS NECESSARY)
STEP 5
URBAN COUNTIES, PARTICIPATING UGLGS, AND
METROPOLITAN CRIES AUTHORIZE AND EXECUTE NEW
AGREEMENTS, AUTO -RENEW EXISTING AGREEMENTS,
OR AMEND EXISTING AGREEMENTS (AS NECESSARY)
STEPS
CPD FIELD OFFICES UPDATE URBAN COUNTY
WORKSHEETS IN THE GMP-R URBAN COUNTY
MODULE AND CONTACT URBAN COUNTI ES TO
VERIFYTHEIR URBAN COUNTY CONFIGURATIONS
STEP 11
AFTER FIELD OFFICE VERIFICATION, CPD-OFO
PROVIDES CPD FIELD OFFICES WITH THE FINAL
LIST OF URBAN COUNTIES QUALIFIED FORTHE
UPCOMING THREE-YEAR QUALIFICATION PERIOD
STEP 3
URBAN COUNTIES DRAFT 1) COOPERATION
AGREEMENTS AND/OR JOINTAGREEMENTS(OR
AMENDMENTS TOAGREEMENTS)AND 2)COUNTY
COUNSEL LEGAL OPINION LETTERS (AS NECESSARY)
-----------i STEP4 �-----------
L------- J
OPTIONAL: OGC FIELD OR REGIONALCOUNSEL
COMPLETE PRELIMINARY REVIEWS OF DRAFT
AGREEMENTS (OR AMENDMENTS) AND
COUNTY COUNSEL LEGAL OPINION LETTERS
STEP 9
CPD OFFICE OFTECHNOLOGY, INNOVATION, AND
EVALUATION (CPD-OTIE) COMPLETES REVIEW OF
URBAN COUNTY WORKSHEETS IN THE GMP-R
URBAN COUNTY MODULEAND NOTESANY ISSUES
STEP 10
CPD FIELD OFFICES VERIFY FINAL URBAN COUNTY
CONFIGURATIONS IN THE GMP-R URBAN COUNTY
MODULE AND NOTIFY CPD-OTIE OF ANY ISSUES
WITHINTEN (10) BUSINESS DAYS
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2.2 What happens during each step in the Urban County qualification process?
2.2.1 Step 1: CPD field offices initiate process mailing this Notice to current
and potential Urban Counties and referring them to guidance on the HUD
Exchange Urban Counties website
CPD field offices initiate the Urban County qualification process by emailing this
Notice to all currently qualified (and potential new) Urban Counties. In this email,
CPD field offices will also refer counties to two additional guidance products that
HUD will publish annually on the HUD Exchange Urban Counties website:
1) Urban County Qualification Deadlines and 2) Urban County Lists.
NOTE: GO TO SECTION 4.3 for more information on Urban County Qualification Deadlines
and GO TO SECTION 4.4 for more information on Urban County Lists.
2.2.2 Step 2: Urban Counties initiate process locally —sending Urban County
Participation Decision Letters to UGLGs and Metropolitan Cities and
receiving response letters (as necessary)
RECOMMENDATION: HUD recommends that Urban Counties begin outreach with UGLGs
and Metropolitan Cities in their county near the beginning of the year (e.g., January) to secure
their participation decisions on joining, continuing, or opting out, of their Urban County for the
next three -fiscal -year qualification period. Counties should not wait for HUD to contact them
(Step 1) OR for HUD to publish an updated Urban County Notice or updated Urban County
Qualification Deadlines and Urban County Lists. Beginning the Urban County qualification
process in January of the qualification year allows 8-9 months to complete the whole process.
Your county will initiate the qualification process locally by contacting all UGLGs
in your county (including potential new Metropolitan Cities) in writing (letters) to
determine their CDBG program participation decisions for the upcoming three-year
Urban County qualification period. With this Notice, HUD is renaming these official
letters: Urban County Participation Decision Letters.
NOTE: GO TO SECTION -;.I for guidance on Urban County Participation Decision Letters and GO TO
SECTION 4.6 for guidance on potential new Metropolitan Cities. (The U.S. Census Bureau identifies
potential new Metropolitan Cities around July or August each year based on updated data.)
Urban Counties are not required to contact current Metropolitan Cities (independent
CDBG Entitlement grantees) with Urban County Participation Decision Letters.
However, your Urban County may consider communicating with current Metropolitan
Cities to discuss partnering with your Urban County under a Joint Agreement.
NOTE: HUD understands that relationships between Urban Counties and current independent
Metropolitan Cities (CDBG Entitlements) vary widely across the Nation. Most current independent
Metropolitan Cities will prefer to administer their own CDBG programs and are not interested in
joining an Urban County. However, some current independent Metropolitan Cities may be interested
in pursuing a Joint Agreement with their Urban County.
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2.2.3 Step 3: Urban Counties draft 1) Cooperation Agreements with Participating
UGLGs and/or JointAgreements with Metropolitan Cities (or amendments
to agreements) and 2) County Counsel Legal Opinion Letters (as necessary)
After your county secures participation decisions, you will draft: 1) Cooperation
Agreements with Participating UGLGs and/or Joint Agreements with Metropolitan
Cities (or amendments to agreements) AND 2) a County Counsel Legal Opinion
Letter (as necessary). GO TO SECTION I for the requirements for these documents.
HUD RECOMMENDATION: HUD encourages your county to submit a draft Cooperation
Agreement and/or draft Joint Agreement (or draft amendment) for a preliminary legal review by
OGC Field or Regional Counsel. This may help avoid time-consuming, back -and -forth revisions
between your county and HUD after you submit your qualification package (Step 6). For example,
it may help avoid HUD deeming your agreement(s) or amendment(s) unacceptable after all your
Urban County's participating governments have authorized and executed them. Your county
should request a preliminary review early enough in the process to execute any needed changes
before the deadline for submitting your complete Urban County qualification package to HUD.
2.2.4 Step 4 (Optional Step): OGC Field or Regional Counsel complete preliminary
reviews of draft Cooperation and/or JointAgreements) (or amendments) and
County Counsel Legal Opinion Letters
If your Urban County chooses to submit a draft Cooperation Agreement and/or
Joint Agreement to HUD (or draft amendment), OGC Field or Regional Counsel
will perform a preliminary legal review of your draft agreement (or amendment)
and County Counsel Legal Opinion Letter (if also provided). This optional step
includes any back -and -forth between HUD and your county on revising the draft
agreement (or amendment) and County Counsel Legal Opinion Letter.
2.2.5 Step 5: Urban Counties, Participating UGLGs, and Metropolitan Cities
authorize and execute new agreements (or amendments to existing
agreements) OR "auto -renew" existing agreements per HUD's "auto -
renewal" policy (as necessary)
Your county must officially authorize and execute new Cooperation Agreements
and/or Joint Agreements (or amendments to existing agreements). This means
securing authorization from governingbodies odies for all participating governments
(e.g., city or county council resolutions) AND executing agreements/amendments
with signatures from the chief executive officers of all participating governments.
HUD will accept "digital" signatures if they show a) verification the chief executive
officer (or their designee) completed the signature and b) a time and date stamp.
9 The "chief executive officer" is an elected official, or legally designated official, who has the primary responsibility
for the conduct of governmental affairs. Examples include the mayor, county executive, board chairperson, or governor.
Refer to the official definition at 24 CFR 570.3.
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Existing Urban County agreements that contain auto -renewal provisions may also
be "auto -renewed," consistent with HUD's "auto -renewal" policy for Cooperation
Agreements and Joint Agreements.
NOTE: HUD is announcing a new "auto -renewal" policy in this Notice. However, that policy will not
take effect until the FY 2027 Urban County qualification process and does not affect Urban Counties
qualifying in FY 2026 (for FYs 2027-2029). GO TO SECTION 3.7 for more information.
2.2.6 Step 6: Urban Counties submit qualification packages to their CPD field offices
with 1) Urban County Participation Decision Letters, 2) Cooperation and/or Joint
Agreements (or amendments), and 3) County Counsel Legal Opinion Letters
Your county must submit its final Urban County qualification package to your CPD
field office with all required qualification documents for HUD's review and approval.
As necessary, your package must include: 1) all Urban County Participation Decision
Letters, 2) authorized and executed Cooperation Agreements and/or Joint Agreements
(or amendments), and 3) a County Counsel Legal Opinion Letter. GO TO SECTION I
for more guidance on the documents you must submit to your CPD field office.
NOTE: Counties seeking Urban County qualification for the first time must submit their package to
their CPD field office and the CPD Entitlement Communities Division (urbancounties(a)hud.gov).
GO TO SECTION 4.5 for more guidance on Urban County qualification for First -Time Qualifiers.
2.2.7 Step 7: OGC Field or Regional Counsel completes official legal review of
1) Cooperation and/or JointAgreements (or amendments) and 2) County
Counsel Legal Opinion Letters and certifies they meet HUD requirements
OGC Field or Regional Counsel completes its official review of your Cooperation
and/or Joint Agreements (or amendments) and County Counsel Legal Opinion Letter.
OGC Field or Regional Counsel must officially certify that each agreement meets
HUD requirements for Cooperation Agreements and Joint Agreements in this Notice.
OGC Field or Regional Counsel submit their certifications to the CPD field office.
2.2.8 Step 8: CPD field offices update Urban County worksheets in the GMP-R
Urban County Module and contact Urban Counties to verify their Urban
County configurations
Based on the documentation submitted by Urban Counties, CPD field offices will
update Urban County worksheets in the GMP-R Urban County Module. CPD field
offices will also update Urban County worksheets for currently qualified Urban
Counties adding new Participating UGLGs for the rest of their qualification period.
After CPD field staff update the worksheets, they will send them to Urban Counties
to double-check and verify the data on the Participating UGLGs and Metropolitan
Cities (in Joint Agreements) for each Urban County. Verifying this data is accurate
is critical because your Urban County's population size affects formula funding
allocations across the entire CDBG Entitlement grantee portfolio.
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2.2.9 Step 9: CPD Office of Technology, Innovation, and Evaluation (CPD-OTIE)
completes review of Urban County worksheets in the GMP-R Urban County
Module and notes any issues
CPD-OTIE will review the Urban County worksheets in the GMP-R Urban County
Module and will note any issues with the worksheets (Urban County configurations)
that need to be resolved by CPD field offices.
2.2.10 Step 10: CPD field offices verify final Urban County configurations in the
GMP-R Urban County Module and notify OTIE of any issues within ten
(10) business days
CPD field offices will review and verify the final Urban County configurations
in the GMP-R Urban County Module. CPD field offices must notify CPD-OTIE
within ten (10) business days if there are any data errors in the Urban County
worksheets and work with CPD-OTIE to resolve those issues.
2.2.11 Step 11: After field office verification, CPD-Office of Field Operations
(CPD-OFO) provides CPD field offices with the final list of Urban
Counties qualified for the upcoming three-year qualification period
Following field office verification that Urban County worksheets are accurate,
CPD-OFO, CPD-OBGA, and CPD-OTIE will coordinate and concur on the final
list of Urban Counties qualified for the upcoming three-year qualification period.
CPD-OFO will distribute this final list of Urban Counties to all CPD field offices,
with instructions to notify Urban Counties that they are officially qualified.
2.2.12 Step 12: CPD field offices send letters to Urban Counties notifying them
that they are qualified for the upcoming three-year qualification period
CPD field offices will notify your Urban County in writing that your county is
qualified as an Urban County for the upcoming three-year qualification period.
2.3 How long is my Urban County's qualification period?
After qualifying, your county is entitled to receive CDBG funds as an Urban County for
three consecutive fiscal ,years, if Congress appropriates funds and if your county submits its
Consolidated Plan/Action Plan by August 16 each year. Urban Counties requalify for their
next qualification period in their third and final year of their current qualification period.
2.4 Can my Urban, County add new Participating UGLGs during our three-year
qualification period?
Yes. Your Urban County may add previously Nonparticipating UGLGs to your Urban
County as Participating UGLGs for your second and/or third years of your qualification
period if UGLGs decide they want to participate. During years 1-2 of your qualification
period, your county may choose to send an Urban County Participation Decision Letter
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to any Nonparticipating UGLGs in your county offering them the opportunity to join
your Urban County for the remainder of the qualification period. Sending reminder
letters to Nonparticipating UGLGs during your Urban County's qualification period
about their opportunity to join is optional.
NOTE: HUD calculates your Urban County's CDBG grant amount annually and it will account for the
addition of any new Participating UGLGs for the second and/or third years of your qualification period.
2.5 Can my Urban County add a Metropolitan City as a Joint Recipient (under a
JointAgreement) during our three-year qualification period?
No. Your Urban County may only add a Metropolitan City as a Joint Recipient (under a
JointAgreement) during your Urban County's qualification year for the next three-year
qualification period. Per 24 CFR 570.308(a)(1), Joint Requests for an Urban County
to administer a Metropolitan City's CDBG grant program, in addition to administering
the Urban County's CDBG program, may only be submitted and considered by HUD
the year that your Urban County is requalifying.
2.6 Can a Participating UGLG (in a Cooperation Agreement) OR a Metropolitan City
(in a JointAgreement) withdraw from our Urban County during our three-year
qualification period?
No. Participating UGLGs in Cooperation Agreements may not withdraw from your Urban
County during your qualification period —unless your county does not receive a CDBG
grant for any year during the qualification period. Participating UGLGs must continue to
participate in your Urban County even if they become eligible to be a Metropolitan City
during your Urban County's three-year qualification period. Similarly, Metropolitan Cities
in Joint Agreements with your Urban County also may not withdraw from your Urban
County during your three-year qualification period —unless your county does not receive
a CDBG grant for any year during the qualification period.
NOTE: If an unincorporated area of your county incorporates (becomes an UGLG) during your qualification
period, it must remain part of your Urban County until your current qualification period ends. If this occurs,
your county must execute a Cooperation Agreement with the new UGLG if your county does not have
"essential powers" in UGLGs.
2.7 What is HUD's "Determination of Essential Powers"?
As part of Urban County qualification, HUD must determine where your county can legally
carry out "essential communily development and housing assistance activities." HUD calls
this the "Determination of Essential Powers," and usually makes this determination the first
time an Urban County qualifies. When an Urban County is requalifying, HUD may rely on
its previous determination(s), unless there is evidence to the contrary.
In the Determination of Essential Powers, OGC Field or Regional Counsel determines the
legal authority of your county to conduct "essential community development and housing
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assistance activities" in your county's 1) unincorporated areas and 2) UGLGs (without
consent by UGLG governing bodies). In carrying out its review, OGC Field or Regional
Counsel may request and consider information provided by your county, in addition to
other relevant information obtained from independent sources.
To be qualified as an Urban County, your county must have "essential powers" in its
unincorporated areas, at a minimum, per the HCDA of 1974, as amended. This requirement
and the quoted language on "essential powers" is in the HCDA of 1974, as amended, and
CDBG program regulations on Urban Counties at 24 CFR 570.307, as shown below:
• Per Section 102(a)(6)(A)(i) of the HCDA of 1974, as amended, an Urban County
must be "authorized under State law to undertake essential community development
and housing assistance activities in its unincorporated areas, if any, which are not
units of general local government... "
Per the Urban Counties regulations at 24 CFR 570.307(b)(1): "the Secretary
shall determine which counties have authority to carry out essential community
development and housing assistance activities in their included units ofgeneral
local government without the consent of the local governing body and which
counties must execute cooperation agreements with such units to include them
in the urban countg for qualification and grant calculation purposes."
NOTE: "Essential powers" are granted (or not granted) by state governments under state laws. Most states
only grant counties "essential powers" in unincorporated areas, and not in their UGLGs because UGLGs
are granted authority over their jurisdictions. Because most states do not grant their counties "essential
powers" in UGLGs, Cooperation Agreements are generally required for all Participating UGLGs that wish
to join an Urban County. Joint Agreements are required between Urban Counties and Metropolitan Cities.
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SECTION 3: YOUR URBAN COUNTY QUALIFICATION PACKAGE
3.1 What documents must I submit in my Urban County's qualification package?
Your Urban County must submit three sets of documents to your CPD field office:
1. Urban County Participation Decision Letters exchanged back and forth
between your county, UGLGs, and Metropolitan Cities about participating
or not participating in your Urban County's CDBG program
2. Authorized and executed Cooperation Agreements with Participating UGLGs
and/or Joint Agreements with Metropolitan Cities (or Amendments to agreements)
3. County Counsel Legal Opinion Letter
3.2 How do I submit my Urban County's qualification package to HUD?
You should submit your qualification package to your CPD field office via email to your
CPD Representative. If you are a First -Time Qualifier, your county must submit your
qualification package to your CPD field office and the CPD Entitlement Communities
Division (urbancountieskhud. og_v).
NOTE: GO TO SECTION 4.5 for more guidance for First -Time Qualifiers.
3.3 What are HUD's requirements for Urban County Participation Decision Letters?
HUD has simplified the naming convention for the notification letters that qualifying
Urban Counties must send to UGLGs and Metropolitan Cities during the qualification
process. The new name for these letters is simpler and more descriptive: Urban County
Participation Decision Letters. HUD changed the name of the letters to better capture
their purpose: securing CDBG program participation decisions from UGLGs and
Metropolitan Cities for the Urban County's upcoming three-year qualification period.
NOTE: Urban County Participation Decision Letters refers to both the outgoing letters sent by the
qualifying Urban County and any response letters received from UGLGs or Metropolitan Cities.
3.3.1 Urban County Participation Decision Letters for all UGLGs in your county
Each time your Urban County qualifies, you must contact all UGLGs in your
county (except current independent Metropolitan Cities) with an Urban County
Participation Decision Letter. This is true regardless of a) each UGLG's past
CDBG program participation decisions, b) if your county has "essential powers"
in UGLGs, and c) if you have Auto -Renewal Cooperation Agreements in place.
For example, your Urban County may have a Nonparticipating UGLG that has
chosen not to participate for 25 years. When your Urban County requalifies every
three years, you still must give this UGLG the opportunity to change their CDBG
program participation decision and join your Urban County's CDBG program.
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Letter Requirements and CDBG Program Participation Options for UGLGs
UGLGs in requalifying Urban Counties will be in a variety of scenarios during
an Urban County's requalification year, depending on the relationships and legal
authorities between the Urban County and its UGLGs. For example, when Urban
Counties are requalifying, some UGLGs will be:
• Participating UGLGs in the Urban County in its current qualification period
(either in a Cooperation Agreement or not, depending on "essential powers.")
• Nonparticipating UGLGs in the Urban County in its current qualification period.
• "Split places," which have unique CDBG program participation options
because their jurisdictions are in multiple counties.
if your Urban County has "essential powers" in UGLGs (applies to few states
UGLGs are automatically included as participants in your Urban County —unless
they ask to be excluded from the Urban County. If these UGLGs do not respond
to your Urban County Participation Decision Letter, they will be included in
your Urban County (even if they chose to be a Nonparticipating UGLG during
the last qualification period). They must opt out of each qualification period.
ifyour Urban County does not have "essential powers" in UGLGs: UGLGs must
choose to join your Urban County and must execute a Cooperation Agreement.
If these UGLGs do not respond to your Urban County Participation Decision
Letter, they cannot be included in your Urban County.
Regardless of each UGLG's specific situation, your Urban County must a) contact
all UGLGs (except current independent Metropolitan Cities/CDBG Entitlements) to
notify them of their CDBG program participation options for your Urban County's
upcoming three-year qualification period and b) request their participation decisions
in a response letter by the deadline set in the Urban County Qualification Deadlines
posted on the HUD Exchange Urban Counties website.
CDBG Program Participation Options for UGLGs currently in Cooperation
Agreements with your Urban County (currently Participating UGLGs)
Continue as a Participating UGLG in your Urban County by renewing their
Cooperation Agreement for the upcomingthree-year hree-qualification period.
This means submitting a newly -executed agreement OR auto -renewing the
agreement, per HUD's "auto -renewal" policy. (Please note again that the new
"auto -renewal" policy outlined in SECTION 3.7 will take effect in FY 2027.)
2. Opt out of being a Participating UGLG in your Urban County by terminating
or not renewing their Cooperation Agreement for the upcomingthree-year
qualification period. After opting out, an UGLG may choose to seek State
CDBG program funding as a Non -Entitlement UGLG OR not participate in
the CDBG program altogether.
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CDBG Program Participation Options for UGLGs that are currently
Nonparticipating UGLGs in your Urban County
1. Join your Urban County as a Participating UGLG by executing a Cooperation
Agreement with your Urban County, if necessary, based on "essential powers."
2. Continue to opt out of your Urban County by responding to your Urban
County's letter stating that their UGLG does not wish to participate. After
opting out, an UGLG may choose to seek State CDBG program funding as a
Non -Entitlement UGLG OR not participate in the CDBG program altogether.
CDBG Program Participation Options for "Split Places" (UGLGs whose
jurisdictions are "split" across two or more counties)
For split places partly located in only ONE Urban County, one of these applies:
I . If it's a split place where your county has essential powers in incorporated areas
(rare), the entire area of the split place will be included in your Urban County
for the qualification period (unless the split place asks to be excluded); OR
2. If the split place can only be included in your Urban County with a Cooperation
Agreement, the entire area of the split place may be included in your Urban
County for the qualification period after executing a Cooperation Agreement.
For split places partly located in TWO OR MORE Urban Counties, the split place
may choose from one of three participation options:
1. To be excluded from all Urban Counties
2. To be included entirely in one Urban County and excluded from the other
Urban County(ies)
3. To participate in more than one Urban County in which it's partially located, but
there must be no overlapping. Your Urban County can't expend CDBG funds in
the part of a split place that is in another Urban County's CDBG program.
3.3.2 OPTIONAL: Urban County Participation Decision Letters for Nonparticipating
UGLGs during a currently qualified Urban County's qualification period
If your currently qualified Urban County has Nonparticipating UGLGs, you may
re -invite these UGLGs to join your Urban County for the remaining 1-2 years
of your current qualification period. HUD defers to your county on that decision
because HUD already requires your Urban County to notify all UGLGs (except
current independent Metropolitan Cities) of their participation options each
requalification year. The list of qualified Urban Counties with Nonparticipating
UGLGs will be published each year on the HUD Exchange Urban Counties
website (List 5). GO TO SECTION 4.4 for more information on Urban County Lists.
NOTE: If a Nonparticipating UGLG decides to join your Urban County and a Cooperation
Agreement is necessary, then your Urban County must execute an agreement that meets
HUD requirements for Cooperation Agreements in ATTACHMENT '3.
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3.3.3 Urban County Participation Decision Letters for Metropolitan Cities currently
in JointAgreements with an Urban County
For requalifying Urban Counties that are in Joint Agreements with Metropolitan
Cities, your county must also send letters to those Metropolitan Cities notifying
them of their opportunity to change their CDBG program participation decision,
even if you have an Auto -Renewal Joint Agreement in place with the jurisdictions.
Your Urban County must request a participation decision from the Metropolitan
City in a response letter by the deadline set in the Urban County Qualification
Deadlines published on the HUD Exchange Urban Counties website.
CDBG Program Participation Options for Metropolitan Cities currently
in JointAgreements with your Urban County
Renew the Joint Agreement with your Urban County for the upcoming
three-year Urban County qualification period. This means reauthorizing
and re -executing the agreement OR auto -renewing the agreement, per
HUD's "auto -renewal" policy. (Please note again that the new "auto -
renewal" policy outlined in SECTION 1.7 will take effect in FY 2027.)
2. Terminate the Joint Agreement with your Urban County, relinquish their
CDBG Entitlement status, and execute a Cooperation Agreement to
continue participating in your Urban County (as a Participating UGLG)
for your upcoming three-year Urban County qualification period.
3. Terminate the Joint Agreement with your Urban County and resume
their independent CDBG Entitlement status as a Metropolitan City.
4. Terminate the Joint Agreement with your Urban Coun1y, relinquish
their CDBG Entitlement status, and become a Non -Entitlement UGLG.
They may then choose to seek State CDBG Program funding OR not
participate in the CDBG program altogether.
NOTE: If a Metropolitan City is geographically "split" across multiple Urban Counties,
they may only be in a Joint Agreement with one of the Urban Counties.
3.3.4 Urban County Participation Decision Letters from Metropolitan Cities
accepting or deferring their CDBG Entitlement status
If applicable, you may also need to submit letters sent and received from:
1. Any UGLG that may newly qualify as a Metropolitan City but wants
to defer its CDBG Entitlement status;
2. Any UGLG currently deferring Metropolitan City (CDBG Entitlement)
status that wants to continue to defer its CDBG Entitlement status;
3. Any UGLG accepting Metropolitan City (CDBG Entitlement) status
stating it will enter into a Joint Agreement with your Urban County
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(and a letter from your Urban County confirming willingness to enter
into the Joint Agreement); and
4. Any UGLG accepting Metropolitan City (CDBG Entitlement) status
stating that they will cease participation in your Urban County's
CDBG program and become an independent CDBG Entitlement.
3.4 What are HUD's requirements for Cooperation Agreements between Urban
Counties and Participating UGLGs?
GO TO ATTACHMENT 3 for HUD's list of requirements for Cooperation Agreements.
HUD also provides sample language for Cooperation Agreements in ATTACHMENT 3.
3.5 What are HUD's requirements for JointAgreements between Urban Counties
and Metropolitan Cities (Joint Recipients)?
GO TO ATTACHMENT 4 for HUD's list of requirements for Joint Agreements. HUD also
provides sample language for JointAgreements in ATTACHMENT 4.
NOTE: If either your Urban County or the Metropolitan City falls under the "exception criteria" at 24 CFR
570.208(a)(1)(ii) for activities that benefit low- and moderate -income residents of an area, your Urban County
must notify the Metropolitan City in a letter of the potential effects of Joint Agreements on these activities.
3.6 What are HUD's requirements for County Counsel Legal Opinion Letters?
You must submit a legal opinion from your county counsel's office (office of the "chief
legal official" for your county) in an official letter. HUD will accept letters issued by your
county's Office of County Counsel, Office of General Counsel, or similarly named office.
HUD will also accept letters signed by an attorney who is not the "chief legal official,"
such as your Depply County Counsel or Legal Branch Chief. This legal opinion letter
must state two things: 1) that state and local law authorizes the terms and provisions of
your Cooperation Agreements with Participating UGLGs and/or Joint Agreements with
Metropolitan Cities (Joint Recipients) AND 2) that the agreements provide full legal
authority for your county to undertake, or assist in undertaking, essential community
development and housing assistance activities in incorporated areas.
3.7 What is HUD's new policy on "auto -renewal" of Cooperation Agreements and
JointAgreements (effective for the FY 2027 Urban County qualification process)?
3.7.1 Background and history on "auto -renewal" of Urban County agreements
In the past, HUD allowed Urban Counties and partnering local governments to
"auto -renew" their Urban County agreements (Cooperation Agreements and Joint
Agreements) in perpetuity by adding an auto -renewal provision to their agreements.
Urban Counties and partnering local governments would only make amendments
to their agreements if required by HUD (in a new Urban County Notice) or
because new federal, state, or local laws necessitated updating the agreements.
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3.7.2 Why HUD is updating its "auto -renewal" policy for Urban County agreements
HUD is aware that some Urban Counties have Cooperation Agreements that have
not been reauthorized or re -executed for many years. This was not the intent of
HUD's policy on "auto -renewal" for agreements, and intergovernmental
agreements should be revisited, reauthorized, and re -executed more frequently,
given changing conditions at the local level. Furthermore, automatic renewal of
Cooperation Agreements and Joint Agreements was not provided for, or mentioned,
in the HCDA of 1974, as amended, or CDBG regulations at 24 CFR 570.307.
HUD is modifying its "auto -renewal" policy for Cooperation Agreements and Joint
Aeements to re -align the Urban County qualification process more closely with
the intent of the HCDA of 1974, as amended. HUD is retaining "auto -renewal" of
agreements under a new policy, after careful consideration, to allow flexibility for
large Urban Counties that may have many Participating UGLGs (and therefore,
many Cooperation Agreements to reauthorize and re -execute).
3.7.3 HUD's new "auto -renewal" policy for Urban County agreements
HUD's new policy aligns with HUD's original intent by limiting the time an
"auto -renewal" agreement may be in effect. Urban Counties and participating
governments may also no longer use amendments to extend their agreements
for an indefinite amount of time without reauthorizing and re -executing the
entire Cooperation or Joint Agreement.
Per the new policy, Auto -Renewal Cooperation Agreements and Joint Agreements
matey "automatically renew" for one three-year qualification period after
the initial three-year period. This means an "auto -renewal"
agreement may only be in effect for a total of six fiscal years qualification
periods). After that six -year period, the Urban County and Participating UGLG
(or the Metropolitan City for Joint Agreements) must reauthorize and re -execute
a new agreement. New Auto -Renewal Agreements, under the new policy, also
must list the fiscal years they are effective, with an end'date for the agreements.
To align this Notice with the new "auto -renewal" policy, HUD:
• modified the definitions of Auto -Renewal Cooperation Agreement or
Joint Agreement and Amendment (Attachment 2);
• modified the "auto -renewal" and "amendment" language in HUD's list
of requirements and sample language for Cooperation Agreements
(Attachment 3); and
• ensured that HUD's new list of requirements and sample language for
Joint Agreements (Attachment 4) reflects this policy.
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3.7.4 Applicability, effective date, and phase -in of new "auto -renewal" policy
Given the significant change for Urban Counties, HUD will phase in this new
"auto -renewal" policy. The policy will take effect for the FY 2027 Urban County
qualification process (not the FY 2026 qualification process). Urban Counties
must comply with the new "auto -renewal" policy when they requalify (beginning
with Urban Counties requalifying in FY 2027 for FYs 2028-2030), but Urban
Counties are not required to comply before their next requalification year or to
amend their current Auto -Renewal Cooperation or Joint Agreements.
Many Urban Counties requalify in FY 2026 (122), which is more than sixty
percent of currently qualified Urban Counties. The (122) Urban Counties
requalifying in FY 2026 (for the FYs 2027-2029 qualification period) are
not required to comply with the new "auto -renewal" policy until their next
requalification year (FY 2029). They may "auto -renew" their agreements for
one final three-year qualification period, following the procedures they have
used in the past. These Urban Counties also do not need to amend their
agreements at any time during FYs 2027-2029 for the purpose of complying
with HUD's new "auto -renewal" policy.
3.7.5 Auto -Renewal Emergency Exception
To enable flexibility, HUD is also including an "emergency exception" to the
new "auto -renewal" policy that may be granted by CPD field offices on a one-
time, case -by -case basis. If an Urban County has Auto -Renewal Cooperation
Agreements or Joint Agreements that the Urban County is due to reauthorize
and re -execute (e.g., after six years), but the Urban County experiences an
emergency preventing them from renewing their agreements, HUD may permit
their agreements to "auto -renew" for one additional three-year Urban County
qualification period due to the emergency (maximum total of nine years for the
agreement(s) to be in place).
If an Urban County is in this situation, the Urban County must submit a written
request to their CPD field office. This request must explain why their county
needs the emergency exception and why they cannot renew their agreement(s)
for the next three-year Urban County qualification period. For example, their
Urban County experienced a natural disaster that impacted the county's
operations during the Urban County qualification process (which runs through
the spring and summer months and ends September 30). CPD field offices will
consider auto -renewal emergency exception requests on a case -by -case basis.
CPD field offices must review and approve or deny the request within 15 days
and must notify the CPD Entitlement Communities Division of this decision at
urbancountieskhud. gov.
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SECTION 4: REQUIREMENTS, DEADLINES, URBAN COUNTY LISTS,
AND OTHER GUIDANCE
4.1 What are all my county's requirements to qualify and receive CDBG funding
as an Urban County?
1. Meet a population threshold during Urban County qualification. [GO TO ATTACHMENT I]
2. Possess "essential powers" (legal authority) to carry out "essential community
development and housing assistance activities" in unincorporated areas AND
in Participating UGLGs or joint recipient Metropolitan Cities. [GO TO SECTION 2.7]
NOTE: For counties that do not have state -granted authority to carry out these types of activities
in incorporated areas, they must execute Cooperation Agreements (with Participating UGLGs)
or Joint Agreements (with Metropolitan Cities). This applies to most counties in the United States.
3. Meet all notification requirements for UGLGs and Metropolitan Cities by sending
Urban County Participation Decision Letters to UGLGs and Metropolitan Cities
and providing all outgoing and response letters. [GO TO SECTION 1.3]
4. Hold fully authorized and executed Cooperation Agreements that meet HUD
requirements and/or Joint Agreements that meet all HUD requirements (legally
sufficient intergovernmental agreements), along with submitting a valid County
Counsel Legal Opinion Letter. [GO TO SECTION 3
Incorporate new HUD requirements into Cooperation Agreements and/or Joint
Agreements by revising, reauthorizing, and re -executing agreements when
requalifying as an Urban County (if necessary). [GO TO SECTION 31
6. Submit all required documentation in your Urban County qualification package
to your CPD field office and meet all Urban County Qualification Deadlines
during the Urban County qualification process. [GO TO SECTION i and GO TO
SECTION 4.11
7. Submit a Consolidated Plan and Action Plans as required by 24 CFR Part 91
to receive a CDBG grant each year.10 By statute, your county must submit its
Consolidated Plan and Annual Action Plans by August 16 each year. Failure
to do so will result in 1) a loss of CDBG funds for that program year and
2) termination of your qualification as an Urban County —unless Congress
extends the August 16 deadline by statute.
NOTE: If your Urban County enters into a Joint Agreement with one or more Metropolitan Cities,
your county must submit a Consolidated Plan covering the county and the Metropolitan City(ies).
10 See Notice CPD-26-05 (or any subsequent updated "Consolidated Plan Notice") for guidance on submitting
Consolidated Plans and Annual Action Plans.
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4.2 What requirements apply to my Urban County "qualification scenario' this year?
Current or potential new Urban Counties are in one of three Urban County "qualification
scenarios" each year. GO TO ATTACHMENT 6 to view the Urban County Qualification
Scenarios Comparison Table, which compares requirements for the three scenarios below:
Requali&ing This Year (Requali aers): Currently qualified Urban Counties requalifying
this fiscal year for the subsequent three fiscal years. Requalifiers must go through the
full qualification process. This includes sending Urban County Participation Decision
Letters, reauthorizing and re -executing Cooperation Agreements and/or Joint
Agreements (if necessary), preparing an updated County Counsel Legal Opinion Letter
(if necessary), and submitting their qualification package to their CPD field office.
2. Requali &inQ Next Year or Year After Next: Currently qualified Urban Counties that are
not requalifying this year because they are in years 1-2 of their current qualification
period. These Urban Counties will requalify next year or the year after next. The only
action item for these counties (which is optional) is to invite Nonparticipating UGLGs
to join their Urban County for the remainder of their current qualification period.
First -Time Quali iers: Counties seeking Urban County qualification for the first time.
These potential new Urban Counties must go through the full qualification process.
Because they are new, they also have two unique requirements: 1) OGC Field or
Regional Counsel must complete the "Determination of Essential Powers" for their
county and 2) they must submit their qualification package to their CPD field office
and the CPD Entitlement Communities Division."
NOTE: GO TO SECTION 2.7 for more information on HUD's "Determination of Essential Powers"
and GO TO SECTION 4.5 for guidance for First -Time Qualifiers on Urban County qualification.
4.3 What are the Urban County Qualification Deadlines and where do I find them?
Deadlines for actions that qualifying Urban Counties, UGLGs, and Metropolitan Cities
must complete for Urban County qualification each year. These deadlines guide Urban
Counties through the qualification process, ensuring that counties remain on track and
meet iterative milestones to successfully qualify as an Urban County by September 30
(HOME program statutory deadline). HUD will publish updated Urban County
Qualification Deadlines annually on the HUD Exchange Urban Counties website.
4.3.1 How to request extensions for Urban County Qualification Deadlines
If your Urban County needs an extension for any of the Urban County Qualification
Deadlines published on the HUD Exchange Urban Counties website, please reach out
to your CPD field office. CPD field offices will review your request and may approve
" Qualification packages from First -Time Quakers must be emailed to the CPD Entitlement Communities
Division at urbancountiesAhud.gov. The reason First -Time Qualifiers must submit their package to HUD
Headquarters is that these counties and their partnering local governments tend to have more questions
regarding Urban County qualification and may need additional guidance. In addition, it is helpful for HUD
headquarters to track potential new Urban Counties as they progress towards becoming a new Urban County.
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an extension, taking into consideration your Urban County's overall progress
towards qualification and the HOME program's September 30 statutory deadline.
NOTE: CPD field offices may also contact the CPD Entitlement Communities Division, as needed,
to discuss whether an extension may be granted. GO TO SECTION 4.8 for more guidance on deadline
extensions and the HOME program's September 30 statutory deadline.
4.4 What are the Urban County Lists and where do I find them?
The Urban County Lists are seven lists of counties prepared annually by CPD-OTIE based
on updated data from the U.S. Census Bureau. These lists are the authoritative data source
on current and potential new Urban Counties. Each year, HUD will publish the seven
updated Urban County Lists below on the HUD Exchange Urban Counties website:
1. All Currently Qualified Urban Counties
2. Urban Counties Requalifying in [This Fiscal Year] *
3. Urban Counties Requalifying in [Next Fiscal Year]*
4. Urban Counties Requalifying in [Fiscal Year After Next] *
5. Urban Counties Qualified through [Next Fiscal Year or Fiscal Year After Next]*
That Contain Nonparticipating UGLGs
6. Counties That May Qualify if Metropolitan Cities Relinquished Entitlement Status
7. Counties Previously Determined Eligible but NOT Accepting Urban County Status
* NOTE: On the website, HUD will include the actual fiscal years in the names for Lists 2-5.
4.5 Guidance for First -Time Qualifiers
This section provides guidance for First -Time Qualifiers because these counties do not
have previous experience with the qualification process and may have more questions.
4.5.1 Where to start as a First -Time Qualifier
Your first step is to contact your CPD field office as soon as possible to let them
know your county is seeking to qualify. It is helpful for your CPD field office to
know your county is seeking to qualify, so they can guide you throughout the
process and answer any questions. HUD recommends that First -Time Qualifiers
read this Notice in its entirety to become more familiar with Urban County terms
(GO TO ATTACHMENT 2) and the qualification process (GO TO SECTION 2).
4.5.2 Determination of Essential Powers as a First -Time Qualifier
After you notify your CPD field office of your county's intent to seek Urban County
qualification, your CPD field office will request OGC Field or Regional Counsel
complete a Determination of Essential Powers for your county. OGC Field or
Regional Counsel will complete this determination and provide your CPD field
office with the results. Your CPD field office will then provide this determination
to your county. GO TO SECTION 2.7 for more information about this process.
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4.5.3 Submitting your qualification package as a First -Time Qualifier
You should submit your qualification documentation to your CPD field office
via email to a "CPD Representative." Contact your CPD field office to identify
the specific staff member (CPD Representative) at your CPD field office to email
your qualification package. Because your county is a First -Time Qualifier, you
must also email your qualification package to the CPD Entitlement Communities
Division at urbancounties(a�hud.ov.
4.6 Guidance about potential new Metropolitan Cities
At some point, a Participating UGLG in your Urban County may become eligible to
be a Metropolitan City (CDBG Entitlement) for the first time due to population growth
that pushes their population over 50,000.12 If this occurs in your Urban County, the
Participating UGLG must remain part of your Urban County until your current Urban
County qualification period ends, per SECTION 2.6. They cannot withdraw from your
Urban County to become a Metropolitan City (CDBG Entitlement) during the three-
year qualification period.
Apotential new Metropolitan City has four options to choose from at the time your
Urban Count.
y is requalifying for the upcomingthree-year hree-year qualification period:
• Option 1: Accept its CDBG Entitlement status and administer its own CDBG
program as an independent Metropolitan City (not participate in your Urban
County for the upcoming three-year qualification period).
• Option 2: Accept its CDBG Entitlement status but continue to participate
with your Urban County as a Metropolitan City under a Joint Agreement.
• Option 3: Defer its CDBG Entitlement status (not accept it) and continue
to participate in your Urban County under a Cooperation Agreement as a
Participating UGLG.
• Option 4: Defer its CDBG Entitlement status (not accept it) and opt out of
your Urban County to become a Nonparticipating UGLG. They may then
choose to seek State CDBG program funding as a Non -Entitlement UGLG
OR not participate in the CDBG program altogether.
12 Under Section 102(a)(4) of the HCDA of 1974, as amended, a city within a metropolitan area may qualify as a
Metropolitan City if it has a population of 50,000 or more. For this determination, HUD relies on population data
compiled and published by the U.S. Census Bureau, including data from the latest decennial census or the American
Community Survey, as applicable, together with applicable metropolitan area delineations published by the Office
of Management and Budget (OMB). See 42 U.S.C. 5302(a)(4), 24 CFR 570.3, and 24 CFR 570.4(c).
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4.6.1 When HUD expects the list of potential new Metropolitan Cities to be available
The U.S. Census Bureau will provide HUD with updated Census data on or around
July 1 each year.13 This will include a list of newl�eli eligible potential Metropolitan
Cities (in addition to previously eligible potential Metropolitan Cities).
The CPD Entitlement Communities Division will provide this information to CPD
field offices during July or August in the Potential New Entitlements Memo. CPD
field offices must notify each potential new Metropolitan City via letter and give
them the opportunity to accept or defer their CDBG Entitlement status. Generally,
HUD offers potential new Metropolitan Cities 30 days to notify their local CPD
field office of their decision on accepting or deferring CDBG Entitlement status.
4.6.2 Guidance on how to proceed with the Urban County qualification process
for Urban Counties with UGLGs who may become Metropolitan Cities
The list of potential new Metropolitan Cities becomes available late in the Urban
County qualification process. This can result in delays completing Urban County
qualification, particularly if an UGLG decides to accept its CDBG Entitlement
status (become a Metropolitan City) after it agreed to participate in your Urban
County as a Participating UGLG for the next qualification period. HUD cannot
avoid this timing conflict but has identified two options for dealing with this.
Option 1: Negotiate a delayed schedule with the UGLG who may become a
Metropolitan City (potential new CDBG Entitlement)
This is HUD's preferred option. You can negotiate a schedule with the UGLG to
provide extra time to receive notification from HUD of their CDBG Entitlement
eligibility. If the UGLG ends up not being eligible to become a Metropolitan City
(or becomes eligible and defers its CDBG Entitlement status), then your Urban
County can still execute a Cooperation Agreement with the UGLG and meet the
Urban County Qualification Deadlines.
Option 2: Include a void clause in the Cooperation Agreement with the UGLG
who may become a Metropolitan City (potential new CDBG Entitlement)
You can include a void clause in the Cooperation Agreement with the UGLG which
states the agreement will be voided if the UGLG is notified by HUD of its eligibility
to become a Metropolitan City and chooses to accept its CDBG Entitlement status.
This is the best option if your county believes that delaying executing a Cooperation
Agreement will prevent your county from meeting the Urban County Qualification
Deadlines. If you include a void clause in a Cooperation Agreement, it must state
that if the agreement is not voided, then the UGLG must participate in your Urban
County for the entire three-year qualification period.
13 Each summer, the U.S. Census Bureau releases new Population and Housing Unit Estimates for incorporated
areas (cities and counties).
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4.7 Can I align my Urban County and HOME program qualification periods?
Yes. If your Urban County qualification and HOME consortium qualification periods
are not synced, you may align these periods, per 24 CFR 92.101(e). The Urban County
(CDBG) and HOME consortia qualification periods are both three years. Your HOME
consortium may choose a shorter qualification period than three years (one or two years)
to sync your HOME qualification period with your Urban County qualification period
moving forward. All your HOME consortium members must also have the same
program year start date.
4.8 Guidance on Urban County qualification deadline extensions and the HOME
program's September 30 statutory deadline
The Urban County qualification schedule is coordinated with the schedule for HOME
consortia qualification because the HOME program must use the identical CDBG Urban
County configurations for determining HOME formula allocations.14 The Urban County
Qualification Deadlines will typically September 20 each year. This provides HUD
with enough time, before the September 30 deadline for the next FY's funding under the
HOME Program, to notify counties that they qualify as Urban Counties under the CDBG
Program. To avoid any issues with the HOME program's September 30 statutory deadline,
your county must complete all steps in the Urban County_ qualification process by
September 20 (at the latest).
In the past, Urban Counties have requested extensions to submit required documents
because some Participating UGLGs' governing bodies don't meet during the summer.
Although flexibility exists to allow extensions in unusual situations, HUD will not rg ant
any extensions past September 15 each year. Urban Counties must consider the meeting
schedules of Participating UGLGs' governing bodies during the requalification process.
HUD encourages Urban Counties to try to execute their Cooperation Agreements and
Joint Agreements before summer recess begins to avoid issues.
Many Urban Counties are simultaneously completing HOME consortia qualification
and Urban County qualification. The HOME consortia qualification process must
be completed by the statutory deadline of September 30 to receive a HOME
formula allocation. If the Urban County_ qualification process is not completed by
September 30 for Urban Counties that are participating jurisdictions (PJs) in the
HOME program, including consortia, the PJ cannot receive a HOME allocation. 15
14 This is due to HOME program statutory requirements (42 USC 12747(b)(1)(A)) and regulatory requirements
(24 CFR 92.50(c)) for HOME formula allocation. The HOME program formula allocation must be based on
data for jurisdictions that make up the Urban County as of September 30 of the prior fiscal year (FY).
HUD can't allocate HOME program funding to Urban Counties using inaccurate data.
15 42 U.S.C. 12747(b)(3)
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4.9 Guidance for counties that may qualify as an Urban County if a Metropolitan
City relinquishes its CDBG Entitlement status
Your county may be in a situation where it could qualify as an Urban County, but only
if a Metropolitan City (or Cities) in your county relinquishes their CDBG Entitlement
status. The list of Urban Counties fitting this description will be published each year
on the HUD Exchange Urban Counties website (List 6). If a Metropolitan City is
willing to relinquish its CDBG Entitlement status, they may participate in your Urban
County as a Participating UGLG in a Cooperation Agreement (like other Participating
UGLGs who are not eligible to become CDBG Entitlements).
If your county wants to pursue Urban County qualification because a Metropolitan
City in your county is willing to relinquish its CDBG Entitlement status, please notify
your CPD field office no later than two weeks after receiving the Metropolitan Cit,
notification that it is relinquishing its CDBG Entitlement status. Your county must
provide your CPD field office with: 1) a letter from the Metropolitan City stating its
intent to relinquish its CDBG Entitlement status and 2) a letter from your county
stating your intent to qualify as an Urban County. CPD field offices must send these
documents to the CPD Entitlement Communities Division (urbancounties(2hud.gov)
immediately after receiving them.
4.10 Guidance for Unique Grantee Situations
4.10.1 When an UGLG dissolves, unincorporates, or merges into another UGLG
At some point, an UGLG in your Urban County may dissolve, unincorporate, or
merge with another UGLG. The bullets below provide guidance on how this may
affect your Urban County based on three different scenarios that may occur:
• Assuming your Urban County has "essential powers" in unincorporated
areas (as Urban Counties must have), the dissolved UGLG (which is now an
unincorporated area) will automatically become part of your Urban County.
If the dissolved UGLG merges into another Participating UGLG in your
Urban County, then the newly expanded Participating UGLG will remain
a participant in your Urban County. If this occurs, a revised Cooperation
Agreement reflecting the expanded jurisdiction of the Participating UGLG
must be submitted to your local CPD field office and OGC Field or
Regional Counsel for review.
If the dissolved UGLG merges with a Nonparticipating UGLG in your
Urban County, the dissolved UGLG is still considered part of your Urban
County until your Urban County requalifies.
The U.S. Census Bureau's designation of a former incorporated UGLG as dissolved,
or a former unincorporated UGLG as incorporated, is important because Section
102(b) of the HCDA requires the definitions in Section 102(a) (City, Metropolitan
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City, and Urban County) to be based on the most recent data compiled by the U.S.
Census Bureau.16 The bullets below provide guidance on how this affects your
Urban County based on two different scenarios that may occur:
If your Urban County is requalifying this year or the following year, and
the UGLG is recognized by Census as dissolved, the former UGLG will
be considered a part of the unincorporated area of your Urban County.
In that instance, CDBG funds may be used for activities in the former
UGLG, and its residents may benefit from CDBG-funded activities.
• If your Urban County is requalifying this year, and the UGLG is not
recognized as dissolved by Census (although dissolution has occurred),
the UGLG will become part of your Urban County, as the UGLG has
legally ceased to exist, regardless of being recognized as such by Census.
4.10.2 Qualification of New York Towns as Metropolitan Cities (CDBG Entitlements)
In the State of New York, there are eight towns that can qualify as Metropolitan
Cities if the town secures the participation of all the incorporated villages in their
boundaries to attain Metropolitan City status. These eight towns are in existing
Urban Counties and are eligible to be Metropolitan Cities but have not taken steps
to qualify as Metropolitan Cities: Greenburgh, Hempstead, North Hempstead,
Oyster Bay, Clarkstown, Ramapo, Smithtown, and Southampton.
These eight towns have decided to participate in their respective Urban Counties'
CDBG programs as Participating UGLGs. But when their respective Urban
Counties requalify, these eight towns may decide to become Metropolitan Cities
and administer their own CDBG programs. This means that the towns would
leave the Urban Counties in which they are currently Participating UGLGs.
If a New York town decides to become a Metropolitan City and administer its
own CDBG Entitlement program, they must take the following steps:
1. The New York town should decide before the Urban County requalification
process starts whether it will accept its CDBG Entitlement status. HUD's
experience has shown that UGLGs need plenty of time to complete all the
necessary processes, so HUD recommends that this decision -making process
should start the year before the requalification year. The town can't qualify
as a Metropolitan City unless it secures participation of all the villages in
its boundaries by executing a Cooperation Agreement with those villages.
Depending on local circumstances, it may take several months to notify
every village by letter of its intent to become a separate CDBG Entitlement
community and to secure the participation of all villages.
16 HUD uses a variety of U.S. Census data sets for the CDBG program, including: Population and Housing Unit
Estimates (updated annually), the American Community Survey 5-Year Survey (updated annually), and the
Decennial Census (updated every ten years). HUD also uses OMB data as well.
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2. The Urban County must notify all Participating UGLGs by letter (typically in
April) that they may choose to opt out of the Urban CouM's CDBG program.
The UGLGs must notify the Urban Counties by letter of their decisions
(typically in June). The New York town must respond to the Urban County's
correspondence by that date. If the town has an Auto -Renewal Cooperation
Agreement with the Urban County, it must notify the Urban County (typically
by mid -June) that it is terminating the Cooperation Agreement.
3. The Urban County must be notified by the deadline set in the Urban County
Qualification Deadlines on the HUD Exchange Urban Counties website so
that it may complete the requalification process on time. Failure to meet the
deadlines may result in the New York town having to remain part of the
Urban County for the next three-year qualification period. If one of these
New York towns notifies its Urban County it is leaving, but does not sign up
all the villages, then the town (and villages that have signed on to the town's
decision to seek CDBG Entitlement status) may be excluded from the Urban
County. But the town (and the villages that signed on) can't receive CDBG
funding as a CDBG Entitlement grantee because the town did not qualify as a
Metropolitan City due to failing to sign up all its villages.
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ATTACHMENTS
Attachment 1: Statutory Requirements to be Qualified as an Urban County
Section 102(a)(6)(A) of the Housing and Community Development Act of 1974 (HCDA)
(42 U.S.C. 5301 et seq.) defines Urban Counties. In general, an Urban County must:
a) have authority under state law to carry out "essential community development and housing
assistance activities" in their unincorporated areas [Section 102(a)(6)(A)(i) of HCDA]
AND
b) meet one of these three population thresholds:
1. Have a total combined population of 200,000 or more in their unincorporated areas
and Participating UGLGs. [Section 102(a)(6)(A)(i)(ii)(I) of HCDA]
2. Have a total combined population of at least 100,000 (but fewer than 200,000) in their
unincorporated areas and Participating UGLGs, if those areas (combined) include the
majority of low- and moderate -income people in the county. HUD calls this the "low -
and moderate -income preponderance test." [Section 102(a)(6)(A)(i)(ii)(I) of HCDA]
CPD-OTIE performs calculations to determine if a county can meet the low -
and moderate -income preponderance test if it does not meet the first population
threshold above or third population threshold below.
The county itself (overall) still must have a minimum population of 200,000,
excluding its Metropolitan Cities. This means that the total population of the
county in unincorporated areas, Participating UGLGs, and any Nonparticipating
UGLGs is greater than 200,000.
3. Have a population of 100,000 or more, a population density of at least 5,000 persons
per square mile, and not have any incorporated places (UGLGs) as defined by the U.S.
Census Bureau. [Section 102(a)(6)(A)(i)(ii)(II) of HCDA]
NOTE is The population of Metropolitan Cities must be excluded from all population threshold calculations,
including when a Metropolitan City executes a Joint Agreement with an Urban County.
NOTE 2: Some counties previously qualified as Urban Counties under Section 102(a)(6)(C) and (D) of the
HCDA. No Urban Counties currently qualify under this authority.
NOTE 1: Due to a special condition in the HCDA of 1974, as amended, any county that was classified as an Urban
County for FY 1999 is eligible to requalify as an Urban County regardless of if the county can meet one of the
Urban County population thresholds. Any county that qualified as an Urban County after FY 1999 will remain
an Urban County if it meets Section 102(a)(6)(A) of the Housing and Community Development Act of 1974.
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Attachment 2: Definitions of Urban County Terms
NOTE: HUD italicized terms, within each definition, that are also defined in Attachment 2 (except for the term
Urban County or Urban Counties due to the frequency of their use).
Amendment: A change, correction, clarification, or deletion to a Cooperation Agreement or
Joint Agreement. An amendment may be necessary due to shifting requirements at the federal,
state, or local government level that happen during an Urban County's qualification period.
Auto -Renewal Cooperation Agreement or Joint Agreement: A Cooperation Agreement or Joint
Agreement containing an "auto -renewal" provision stating the agreement will automatically renew
for one additional three-year qualification period after the initial three-year qualification period
(enabling the agreement to be in effect for a total of six years). The Urban County still must send
Urban County Participation Decision Letters to all UGLGs (Participating and Nonparticipating
UGLGs) and any Metropolitan Cities in Joint Agreements every requalification year as they retain
the option to opt out of an Urban County's CDBG program each requalification year. The Urban
County may make an Amendment to their auto -renewal agreements at any time (any year of their
qualification period), if necessary, and when they are requalifying for the one additional three-year
qualification period permitted under HUD's auto -renewal policy for Urban County agreements.
Auto -Renewal Emergency Exception: An exception, allowed by a CPD field office, to HUD's
policy on Auto -Renewal Cooperation or Joint Agreements. This exception enables "auto -renewal"
of the agreement for one more three-year Urban County qualification period (on a one-time basis)
due to an emergency which prevents the Urban County, Participating UGLGs, and/or Metropolitan
Cities from reauthorizing and re -executing their Cooperation and/or Joint Agreements. The Urban
County must submit a written request to their CPD field office explaining why they need this
exception and why they cannot fully renew their agreement(s) for their next qualification period.
For example, their Urban County experienced a natural disaster impacting the county's operations
during the Urban County Qualification Process (runs through the spring and summer months and
ends September 30). The CPD field office must review and approve or deny the request within 15
days and notify the CPD Entitlement Communities Division at urbancounties anhud.9ov.
CDBG Entitlement Communities ("CDBG Entitlements"): Jurisdictions which qualify to
directly receive annual formula funding under the CDBG Entitlement Program. There are two
types of CDBG Entitlement Communities: 1) cities designated as Metropolitan Cities (which
includes Principal Cities) and 2) qualified Urban Counties.
CDBG Entitlement Program: HUD grant program which provides annual CDBG formula
grants to CDBG Entitlement Communities (Metropolitan Cities and Urban Counties) to develop
viable urban communities, provide decent housing and suitable living environments, and expand
economic opportunities for low- and moderate -income people.
Chief Executive Officer: An elected official, or legally designated official, who has the primary
responsibility for the conduct of governmental affairs in a jurisdiction. Examples include mayor,
county executive, board chairperson, or governor. Refer to 24 CFR 570.3 for official definition.
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Cooperation Agreement: Intergovernmental Agreement (IGA) between an Urban County and
a Participating UGLG, which explains roles and responsibilities, restrictions, CDBG program
requirements, and enables the county to undertake, or assist in undertaking, "essential
community development and housing assistance activities" in the UGLG's jurisdiction with
the UGLG's "cooperation." Cooperation Agreements are required for counties that do not
have "essential powers" in UGLGS (which is most counties in the U.S.). However, HUD also
encourages counties that are granted "essential powers" countywide (including in UGLGs) to
also execute Cooperation Agreements with their Participating UGLGs. Per 24 CFR 570.503,
minimally, there must be an agreement between an Urban County and its Participating UGLGs
that meets the requirements for subrecipient agreements. 24 CFR 570.501(b) instructs Urban
Counties to apply "the same requirements as are applicable to subrecipients" to Participating
UGLGs in their Urban County.
County Counsel Legal Opinion Letter: A legal opinion letter prepared by an Urban County's
chief legal official (e.g., County Counsel or OGC) which states that the terms and provisions
of the Urban County's agreements with Participating UGLGs (Cooperation Agreements) and
agreements with Metropolitan Cities (Joint Agreements) are authorized by state and local law
and that they provide full legal authority for the Urban County to undertake, or assist in
undertaking, essential community development and housing assistance activities in UGLGs.
CPD: HUD's Office of Community Planning and Development. CPD is responsible for
administering all CPD funding, such as the five annual formula grant programs: 1) CDBG,
2) HOME Investment Partnerships (HOME), 3) Housing Trust Fund (HTF), 4) Emergency
Solutions Grants (ESG), and 5) Housing Opportunities for Persons With AIDS (HOPWA);
other homelessness grants (such as Continuum of Care [CoC]); and Community Project
Funding (CPF) grants (congressionally directed grants).
CPD Entitlement Communities Division: The CPD division at HUD Headquarters, under
the CPD Office of Block Grant Assistance (OBGA), that administers the CDBG Entitlement
Program and prepares this Urban County Notice. This division can address any questions
about Urban County qualification. The division can be reached at urbancountiesghud.gov.
CPD Office of Block Grant Assistance (CPD-OBGA): The CPD office containing the CPD
Entitlement Communities Division. OBGA is the main program office for the CDBG program.
CPD Office of Field Operations (CPD-OFO): The CPD office responsible for overseeing
the administration of CPD programs and policies across the Nation. CPD-OFO is made up
of a front office at HUD Headquarters and the CPD field office structure across the Nation,
including ten regional offices and more than 40 field offices across HUD's ten regions.
CPD Office of Technology, Innovation, and Evaluation (CPD-OTIE): The CPD office at
HUD Headquarters that manages the GMP-R Urban County Module used for Urban County
qualification. CPD-OTIE also manages the CPD annual formula allocation process. CPD-
OTIE was formerly known as the Systems Development and Evaluation Division (SDED).
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Determination of Essential Powers: A legal determination made by HUD about the legal
authority of a county to carry out "essential community development and housing assistance
activities" in its 1) unincorporated areas and 2) UGLGs (without consent by UGLG governing
bodies). The "essential community development and housing assistance activities" include
activities such as acquiring property for reuse as low- and moderate -income housing, directly
rehabilitating or providing financial assistance for housing, supporting low -rent housing
activities, disposing of land to private developers for redevelopment, and condemning property
for low-income housing. To be qualified as an Urban County, the county must have Essential
Powers in its unincorporated areas, per Section 102(a)(6)(A)(I) of the HCDA of 1974. HUD
typically makes the Determination of Essential Powers the first time an Urban County qualifies.
NOTE: Essential Powers are granted (or not granted) by state governments under state laws. Most states only
grant counties Essential Powers in Unincorporated Areas, and not in their UGLGs because UGLGs are granted
authority over their jurisdiction. Because most states don't grant their counties Essential Powers in UGLGs,
Cooperation Agreements are generally required for all Participating UGLGs that wish to join an Urban County.
Joint Agreements are required between Urban Counties and Metropolitan Cities.
Essential Powers: The legal authority of counties, granted by their state, to carry out "essential
community development and housing assistance activities" within an area or jurisdiction. Most
counties only have Essential Powers in Unincorporated Areas, but some states grant counties
Essential Powers in Incorporated Areas or UGLGs.
First -Time Qualifiers: Counties seeking qualification as an Urban County for the first time.
Grants Management Process System (GMP-R) Urban County Module: The module in the
GMP-R system that is used by CPD field and headquarters offices to track and update Urban
County Configurations. The module is the official system of record for tracking program
participation decisions by all UGLGs and Metropolitan Cities located within Urban Counties.
HCDA of 1974: The Housing and Community Development Act (HCDA) of 1974, as
amended, is the statute (or law) which created the Community Development Block Grant
(CDBG) program (and Urban Counties).
HOME Consortium: A group of contiguous UGLGs that are jointly participating in the HOME
Investment Partnerships (HOME) Program as a participating jurisdiction (PJ). HOME Consortia
provide a method for local governments, that would not otherwise qualify for HOME funding,
to join with other contiguous UGLGs to directly participate in the HOME program.
Incorporated Areas: Areas in a county that have been incorporated as an official entity under
state law. These areas (cities, towns, townships, villages, and boroughs) have a legally defined
boundary and an active, functioning government. Incorporated areas are also interchangeably
called units ofgeneral local government (UGLGs).
Intergovernmental Agreements (IGAs): Legally binding contracts or formal partnerships
between two or more governmental entities (e.g., cities and counties) to cooperate on issues
of mutual concern, share resources, or provide services. There are two types of IGAs for the
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purposes of the CDBG program and Urban Counties: 1) Cooperation Agreements between
Urban Counties and Participating UGLGs and 2) Joint Agreements between Urban Counties
and Metropolitan Cities. Both types of IGAs identify conditions for how the two governments
(the county and the city) will work together. HUD calls these IGAs by different names because
they involve different types of governments partnering with an Urban County: Non -Entitlement
UGLGs for Cooperation Agreements and Metropolitan Cities (CDBG Entitlements) for Joint
Agreements. Both types of agreements must provide full legal authority for an Urban County
to undertake, or assist in undertaking, essential community development and housing
assistance activities in its Incorporated Areas or UGLGs.
Joint Agreement: Intergovernmental Agreement (IGA) between an Urban County and
Metropolitan City within the county boundaries, which explains roles and responsibilities,
restrictions, CDBG program requirements, and enables the county to undertake, or assist in
undertaking, "essential community development and housing assistance activities" in the
Metropolitan City's jurisdiction. A Joint Agreement allows an Urban County to manage and
administer the Metropolitan City's CDBG grant program, in addition to administering the
Urban County's CDBG grant program. In a Joint Agreement, both the Urban County and the
Metropolitan City are considered Joint Recipients. The Metropolitan City's CDBG grant
funding must be spent in the jurisdiction of the Metropolitan City.
Joint Recipient: An Urban County or Metropolitan City that is part of a Joint Agreement.
Under the agreement, the Urban County administers the CDBG grant program for the
Metropolitan City, in addition to administering its Urban County CDBG grant program.
Joint Request: The request letter submitted by a Metropolitan City and Urban County to their
CPD field office to request approval for the Urban County to administer the Metropolitan City's
CDBG grant program on their behalf. Refer to 24 CFR 570.308 for regulatory guidance on Joint
Requests, Joint Recipients, and Joint Agreements. Joint Requests must be approved by the CPD
field office for the grantees to proceed with executing a Joint Agreement. Joint Requests will be
deemed approved by HUD after 30 days unless HUD notifies the Metropolitan City and Urban
County of its disapproval and the reasons for disapproval. Importantly, Joint Requests must only
be considered and submitted at the time the county is qualifying as an Urban County. Joint
Requests approved by HUD remain effective for the period for which the county is qualified as
an Urban County (three years). An Urban County may be joined by more than one Metropolitan
City; however, a Metropolitan City located in more than one Urban County (split across multiple
Urban Counties), may only be included in one Urban County.
Letter: A signed letter on official city or county government letterhead. An attached signed PDF
letter on official city or county government letterhead may be sent via email. Digital signatures
are allowed if the digital signature a) indicates that the person completing the -digital signature is
the Chief Executive Officer (or designee) and b) contains a date and time stamp for the signature.
Metropolitan City: City within a metropolitan area which is the Principal City of such
area, as defined by the Office of Management and Budget (OMB), or any other city, within
592
a metropolitan area, which has a population of 50,000 or more. Any city that was classified
as a Metropolitan City for at least two years shall remain classified as a Metropolitan City.
Metropolitan Cities are eligible to directly receive annual CDBG formula grant funding,
which is why they are considered CDBG Entitlements.
Non -Entitlement Area: An UGLG which is not a Metropolitan City or part of an Urban County
and does not include Indian Tribes. Non -Entitlement Areas are UGLGs (smaller cities and lower -
population counties that cannot qualify as Urban Counties). Non -Entitlement Areas are eligible
to seek State CDBG Program funding and that process varies based on each state's "method
of distribution."
Nonparticipating UGLGs: UGLGs in an Urban County that have chosen not to participate in
the Urban County's CDBG program. Nonparticipating UGLGs can join an Urban County each
year during the Urban County Qualification Process. If a Nonparticipating UGLG wishes to
join an Urban County, in general they must authorize and execute a Cooperation Agreement
with the Urban County (unless the county has Essential Powers in UGLGs). Nonparticipating
UGLGs may also be considered Non -Entitlement Areas. Nonparticipating UGLGs may seek
State CDBG Program funding (process varies based on each state's "method of distribution").
OGC Field or Regional Counsel: Attorneys in HUD's field and regional offices. HUD's Office
of General Counsel (OGC) provides legal opinions, advice, and services for all HUD programs
and activities. During Urban County qualification, OGC Field or Regional Counsel must review
Cooperation Agreements, Joint Agreements, and County Counsel Legal Opinion Letters and
certify that the Cooperation and/or Joint Agreements are legally sufficient for the purposes of
Urban County qualification and the CDBG program. OGC Field or Regional Counsel also
complete the Determination of Essential Powers.
Participating UGLGs: UGLGs in an Urban County that have chosen to participate in the Urban
County's CDBG program. An UGLG can join an Urban County any year of the Urban County's
Qualification Period (during the spring and summer months when the Urban County Qualification
Process occurs). But once an UGLG joins an Urban County as a Participating UGLG, they must
remain part of the Urban County for the remainder of that Urban County Qualification Period.
Essentially, they are locked into that CDBG program participation decision for 1-3 years based
on when they join. In general, Participating UGLGs must execute a Cooperation Agreement
(unless their Urban County has Essential Powers in UGLGs). Metropolitan Cities may also
become Participating UGLGs by Relinquishing CDBG Entitlement Status and executing a
Cooperation Agreement with the Urban County, if necessary.
Principal City: A specific type of Metropolitan City, as defined in Sec. 102(a)(4) of the HCDA
of 1974. Congress originally used the term "central city" in the HCDA of 1974: "a city within a
metropolitan area which is the central city of such area." In 2003, OMB replaced "central city"
with "principal city." HUD changed CDBG regulations to ensure the definition of Metropolitan
City for the CDBG program was consistent with OMB's use of Principal City. OMB periodically
re -designates Principal Cities in bulletins updating their designations of metropolitan statistical
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areas (MSAs), micropolitan statistical areas, and core -based statistical areas (CBSAs). The largest
city in each metropolitan or micropolitan statistical area is designated a Principal City. Additional
cities also qualify as Principal Cities if requirements are met concerning population size and
employment. OMB last updated these designations in July 2023 (OMB Bulletin No. 23-01).
Relinquishing CDBG Entitlement Status: The action of a Metropolitan City officially giving
up its status as a CDBG Entitlement Community. The Metropolitan City must submit an official
letter to their CPD field office notifying HUD that it wants to relinquish its CDBG Entitlement
status. Their CPD field office will then notify the CPD Entitlement Communities Division as this
will affect CPD formula allocation. After a Metropolitan City relinquishes CDBG Entitlement
status, they may choose to become a Participating UGLG in an Urban County, seek State CDBG
Program funding, or not participate in the CDBG program altogether.
Requalifiers: Currently qualified Urban Counties that are in their requalification year (the third
year of their current expiring Urban County Qualification Period).
Split Place: An UGLG whose population is in more than one county. The jurisdiction crosses
county lines. The counties do not all have to be Urban Counties. The UGLG must decide which
county(ies) it will attribute its population to for Urban County qualification (if any).
State CDBG Program: HUD grant program which awards CDBG funds to state governments
for distribution to Non -Entitlement Areas in their state (UGLGs and lower -population counties
not qualified as Urban Counties) to develop and preserve decent affordable housing, provide
services to the most vulnerable in local communities, and create and keep jobs. States award
their CDBG funding to Non -Entitlement Areas using a "method of distribution" of their choice.
Unincorporated Areas: Areas in a county not incorporated as cities, towns, townships, villages,
or boroughs. These areas may have a name and be locally recognized, but they do not have
legally defined boundaries or a separate legal government. Unincorporated areas are primarily
"census designated places" (CDPs) and "unorganized territories," per the U.S. Census Bureau.
Unit of General Local Government (UGLG): An Incorporated Area operated by a local
governing body (for example, a city council). These are typically known as cities, towns,
townships, villages, or boroughs.
Urban County: A county that has met population thresholds and qualified to directly receive
CDBG funds from HUD. An Urban County is a CDBG Entitlement Community under the
CDBG Entitlement Program. Refer to the official definition of Urban Counties at Section
102(a)(6)(A) of the HCDA of 1974 for more information.
Urban County Configuration: The group of Participating UGLGs in Cooperation Agreements
and/or Metropolitan Cities in Joint Agreements that make up an Urban County, including the
county government itself. This is a technical term primarily used internally by HUD. It is often
used when referring to the Urban County "worksheets" in the GMP-R Urban County Module and
Urban County reports produced by the Integrated Disbursement and Information System (IDIS).
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Urban County Lists: The seven lists of counties HUD publishes annually on the HUD
Exchange Urban Counties website to be used for the Urban County Qualification Process.
These lists are the authoritative data source on current and potential new Urban Counties.
Most importantly, the Urban County Lists show the years currently qualified Urban Counties
must requalify.
Urban County Participation Decision Letters: The letters that Urban Counties and potential
new Urban Counties send to UGLGs and Metropolitan Cities to request their official decision
on whether to participate (or not) in the Urban County. As part of the qualification process, the
Urban County sends these letters to UGLGs and Metropolitan Cities with a request for an official
response letter to be sent back to the Urban County (generally within 30 days). Urban County
Participation Decision Letters also include the response letters UGLGs and Metropolitan Cities
send back to the Urban County with their participation decisions.
Urban County Qualification Deadlines: The deadlines HUD publishes annually on the HUD
Exchange Urban Counties website for the Urban County Qualification Process. The deadlines
are actions that qualifying Urban Counties, UGLGs, and Metropolitan Cities must complete in
the spring and summer months each year. These deadlines guide Urban Counties through the
Urban County Qualification Process, ensuring that counties remain on track and meet iterative
milestones to successfully qualify as an Urban County by September 30 (the HOME program's
statutory deadline).
Urban County Qualification Period: The three -fiscal -year period that an Urban County is
qualified by HUD as an Urban County. During this period, the Urban County is eligible to
receive CDBG funding directly as a CDBG Entitlement Community (so long as Congress
appropriates funds and the Urban County submits its Consolidated Plan/Action Plan by
August 16 each year). Urban Counties requalify for their next Urban County Qualification
Period in their third and final year of their current Urban County Qualification Period.
Urban County Qualification Process: The overall process of Urban County qualification,
which occurs each year through the spring and summer months and ends on September 30
(HOME program statutory deadline). GO TO SECTION 2 for the Step -by -Step Process Map.
The process involves Requalifiers and First -Time Qualifiers completing the following three
actions: 1) securing CDBG program participation decisions from UGLGs and Metropolitan
Cities in their county via Urban County Participation Decision Letters, 2) authorizing and
executing Cooperation Agreements and/or Joint Agreements between the parties and securing
County Counsel Legal Opinion Letters, and 3) submitting all qualification documentation to
HUD for review and approval to be qualified as an Urban County for the next three -fiscal -
year Urban County Qualification Period.
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Attachment 3: HUD Requirements and Sample Language for Cooperation Agreements
List of HUD requirements (12) for Urban County Cooperation AQreements17
1. It must be authorized by governing bodies and executed (signed) by CEOs.
The governing bodies for your Urban County and the Participating UGLG must authorize
the Cooperation Agreement. Both chief executive officers (CEOs) must sign the agreement.
A County Counsel Legal Opinion Letter must be submitted with the Cooperation Agreement.
The opinion must state that the terms and provisions of the agreement are fully authorized
under state and local law and that the agreement provides the legal authority for the county
to undertake, or assist in undertaking, essential community development and housing
assistance activities within the Participating UGLG's jurisdiction.
2. It must state that your county and the Participating UGLG will cooperate to carry
out essential community development and housing assistance activities.
If your Urban County does not have essential powers in the Participating UGLG, the
Cooperation Agreement must specifically state that the Participating UGLG will:
"undertake, or assist in undertaking, essential community development and housing
assistance activities."
NOTE: As an alternative to this language, your Cooperation Agreement may reference state law
authorizing the UGLG to undertake these activities. Your Urban County must submit alternative
language to HUD for approval by OGC Field or Regional Counsel.
3. It must state that the Cooperation Agreement covers the CDBG program and that
your Urban County and the Participating UGLG may not seek CDBG funding
from the State's CDBG program while participating in the Urban County.
4. It must state that the Cooperation Agreement also covers the: 1) HOME program
(if your Urban County receives HOME funding); and 2) the ESG program (if your
Urban County receives ESG funding). The Participating UGLG may only receive
HOME and ESG formula -allocated funds from your Urban County.
It must state that the UGLG may only receive formula -allocated funds for the HOME
and ESG programs from your Urban County. Even if your Urban County does not
participate in the HOME program, the Participating UGLG cannot form a HOME
consortium with other UGLGs. Similarly, the Participating UGLG may only receive
ESG formula -allocated funds from your Urban County.
NOTE: If your state allows it, your Urban County and Participating UGLGs may still seek HOME
or ESG funds from your state government.
" The twelve requirements in this list are HUD's requirements only. Urban Counties and Participating UGLGs must
also incorporate local -specific provisions into their agreements to comply with state and local requirements.
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5. It must specify the qualification period for your Urban County (three federal fiscal
years covered by the Cooperation Agreement) OR the remaining 1-2 years of your
qualification period (for amendments to Cooperation Agreements). It must also state
that, by the date in the Urban County Qualification Deadlines published on the HUD
Exchange Urban Counties website for the next qualification period, your Urban
County will notify the Participating UGLG by letter of its right not to participate.
For Auto -Renewal Cooperation Agreements, it must state the three additional fiscal
years that will be covered by the agreement when it auto -renews.
The qualification period for your Urban County is the next three fiscal years after your
county qualifies or requalifies. If your Urban County is amending a Cooperation
Agreement, the amendment must update how many years remain (one or two) in your
qualification period. HUD discusses amendments more in 46 below. For Auto -Renewal
Cooperation Agreements, it must state the three additional fiscal years that will be
covered by the agreement when it auto -renews.
6. For regular Cooperation Agreements, it must state that your Urban County and the
Participating UGLG will amend the agreement, if necessary, to meet requirements
during the Urban County's three-year qualification period. ForAuto-Renewal
Cooperation Agreements, it must state that your Urban County and the Participating
UGLG will amend the agreement, if necessary, to meet requirements at any time
during the two qualification periods the agreement is in effect (including at the time
of requalification).
An amendment is any change to a Cooperation Agreement which must be authorized and
executed during an Urban County's qualification period (or also at the time of requalification
for an Auto -Renewal Cooperation Agreement). Over time, changes to laws and regulations
may require your Urban County to amend your Cooperation Agreements to add new
provision(s). An amendment allows your Urban County to draft a separate amendment to
your existing agreements that includes the new provision(s) rather than drafting an entire new
Cooperation Agreement containing the new provisions. The amendment must be authorized
by governing bodies and executed (signed) by chief executive officers, like the Cooperation
Agreement itself. Auto -Renewal Cooperation Agreements may be amended at the time of
requalification for the second three-year qualification period, as well as during the two
qualification periods, to cover any new required provisions. If your Urban County fails to
make a required amendment to a Cooperation Agreement by the deadlines published on the
HUD Exchange Urban Counties website, your Cooperation Agreement is voided and you
must submit a new Cooperation Agreement.
7. It must state that the agreement remains in effect until all funds (CDBG, HOME,
ESG, and any program income) are expended and all activities are completed.
This applies to the three-year qualification period (and second three-year qualification
period for Auto -Renewal Cooperation Agreements). The Urban County and Participating
UGLG can't terminate or withdraw from the agreement while it remains in effect.
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8. It must state that your Urban County and the Participating UGLG will comply
with all federal laws and regulations specified in HUD's Urban County Notice.
The Cooperation Agreement must contain an explicit provision obligating your Urban
County and the Participating UGLG to comply with your Urban County's certification
(under section 104(b) of Title I of the Housing and Community Development Act of
1974), that your grant will be conducted and administered in conformity with:
Title VI of the Civil Rights Act of 1964 (and the implementing regulations at
24 CFR Part 1);
• the Fair Housing Act (Title VIII of the Civil Rights Act of 1968), and the
implementing regulations at 24 CFR Part 100, and the duty to affirmatively
further fair housing (AFFH); and
Section 109 of Title I of the Housing and Community Development Act of 1974,
and the implementing regulations at 24 CFR Part 6, which incorporates:
o Section 504 of the Rehabilitation Act of 1973, and the implementing
regulations at 24 CFR Part 8;
o Title II of the Americans with Disabilities Act, and the implementing
regulations at 28 CFR Part 35;
o the Age Discrimination Act of 1975, and the implementing regulation
at 24 CFR Part 146;
o Section 3 of the Housing and Urban Development Act of 1968;
o Uniform Relocation Assistance and Real Property Acquisition Policies
Act of 1970, and the implementing regulations at 49 CFR Part 24;
o Section 104(d) of Housing and Community Development Act of 1974,
and the implementing regulations at 24 CFR Part 42; and
• Other applicable laws
Required provision on affirmatively furthering fair housing (AFFH)
The Cooperation Agreement must contain a provision prohibiting an Urban County
from funding activities in, or in support of, any Participating UGLG that impedes your
county's actions to comply with your fair housing certification. HUD requires this
provision because noncompliance with the duty to affirmatively further fair housing
by a Participating UGLG may constitute noncompliance by your Urban County. This
can result in HUD issuing funding sanctions or other remedial actions for your county.
9. It must include a provision prohibiting excessive use of force and prohibiting
physically barring entrance to or exit from a facility or location which is the
subject of non-violent civil rights demonstrations within jurisdictions.
The agreement must state that the Participating UGLG has adopted and is enforcing:
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1. A policy prohibiting the use of excessive force bylaw enforcement agencies
within its jurisdiction against any individuals engaged in non-violent civil rights
demonstrations; and
2. A policy of enforcing applicable State and local laws against physically barring
entrance to or exit from a facility or location which is the subject of such non-
violent civil rights demonstrations within jurisdictions.
10. It must NOT include a veto provision that could obstruct implementation of your
Urban County's Consolidated Plan.
The Cooperation Agreement must NOT include a veto provision (or other restriction)
that would allow a Participating UGLG to obstruct implementation of your Urban
County's approved Consolidated Plan during the qualification period. Your Urban
County has final responsibility for choosing CDBG activities (and HOME and ESG
activities, if applicable) and submitting the Consolidated Plan to HUD. If your Urban
County is a member of a HOME consortium (but not the lead entity), the HOME
consortium is responsible for submitting the Consolidated Plan for your Urban County.
11. It must state that the Participating UGLG is subject to the same requirements
as subrecipients in the CDBG program.
Per 24 CFR 570.501(b), the Cooperation Agreement must state that the Participating
UGLG is subject to the same requirements as subrecipients in the CDBG program.
This includes the requirement for executing a written subrecipient agreement before
your county disburses CDBG funds to a Participating UGLG.
12. It must include a provision that the parties may not sell, trade, or transfer any HUD
funds. Congress has prohibited this practice. HUD will not accept Cooperation
Agreements or approve any Urban County's qualification without this provision.
Your agreement must include this specific provision: Parties to this Agreement understand
and agree that they may not sell, trade, or otherwise transfer all or any portion of CDBG
funds to a Metropolitan City, Urban County, unit of general local government, or insular
area that directly or indirectly receives CDBG funds in exchange for any funds, credits,
or non -Federal considerations, but must use such funds for activities eligible under
Title I of the Housing and Community Development Act of 1974, as amended.
Additional provisions your Urban County may include (authorized by state/local laws)
Your Cooperation Agreements may also include any provisions authorized by state and
local laws. These provisions may legally require a Participating UGLG to undertake
necessary actions, as determined by your county, to carry out a community development
program and the approved Consolidated Plan and/or meet other requirements of the CDBG
program (and, where applicable, HOME and ESG programs) and other applicable laws.
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Sample Language for Cooperation Agreements
HUD Sample Language
HUD
Cooperation
• . of
the sarn le language]
1
It must be authorized by governing
This may best translate to a "Whereas " clause,
bodies and signed by CEOs.
paired with the execution on the signature block.
Example:
WHEREAS, the Mayor of the Municipality is
authorized to execute this Agreement on the
Municipality's behalf; and
WHEREAS, the County Executive is authorized
to execute this Agreement on the County's behalf
2
It must state that your county
The County and the Municipality agree to
and the Participating UGLG will
cooperate to undertake, or assist in undertaking,
cooperate to carry out essential
essential community development and housing
community development and
assistance activities, as approved and authorized
housing assistance activities.
between the parties in the CDBG Agreements,
including the Consolidated Plan.
3
It must state that the agreement
The participating Municipality understands and
covers the CDBG program and that
agrees that it may not apply for grants under the
your county and the Participating
State CDBG Program for the fiscal years during
UGLG may not seek CDBG
the period in which the Municipality participates
funding from the State's CDBG
in the Urban County's CDBG Program.
program while participating in
the Urban County.
4
It must state that the agreement
Example, covering CDBG, HOME, and ESG:
also covers: 1) the HOME program
This Agreement covers the following formula
(ifyour Urban County receives
funding programs administered by HUD where
HOME funding); and 2) the ESG
the County is awarded and accepts funding
program (ifyour Urban County
directly from HUD: the CDBG Program, the
receives ESG funding). The
HOME Program, and the ESG Program.
Participating UGLG may only
receive HOME and ESG formula-
The participating Municipality understands and
allocated funds from your Urban
agrees that it may receive a formula allocation
County.
under the HOME and ESG Programs only
through the Urban County. This does not
preclude the Urban County or the Municipality
from applying for HOME or ESG funds from
the State, if the State allows.
600
5 It must specify the qualification
period for your Urban County (three
federal -fiscal years covered by the
Cooperation Agreement) OR the
remaining 1-2 years of your
qualification period (for amendments
to Cooperation Agreements). It must
also state that, by the date in the
Urban County Qualification Deadlines
published on the HUD Exchange
Urban Counties website for the next
qualification period, your Urban
County will notify the Participating
UGLG by letter of its right not to
participate. ForAuto-Renewal
Cooperation Agreements, it must state
the three additional fiscal years that
will be covered by the agreement
when it auto -renews.
6 For regular Cooperation Agreements,
it must state that your Urban County
and the Participating UGLG will
amend the agreement, if necessary, to
meet requirements during the Urban
County's three-year qualification
period. For Auto Renewal
Cooperation Agreements, it must state
that your Urban County and the
Participating UGLG will amend the
agreement, if necessary, to meet
requirements at any time during the
two qualification periods the
agreement is in effect (including at
the time of requalification).
1 Sample Language
explanatory[Text i17 italiCS is • not part of
the sample language]
Example, Auto -Renewal Cooperation Agreement:
This Agreement shall remain in effect for the
three-year program period of Federal Fiscal Years
XXXX, XXXX, and XXXX, and until funds
granted and program income received during the
three-year program period are expended and the
funded activities completed. Neither the County
nor the Municipality may terminate, withdraw, or
be removed from the program during the three-
year program period.
This Agreement will renew automatically for
participation for one successive three-year Urban
County qualification period (Federal Fiscal Years
XXXX, XXXX, and XXXX), unless the
Municipality or the County provide written notice
to the other party that it elects not to participate in
a new qualification period. The terminating party
shall send a copy of the notice of termination to
the HUD field office by the date specified on the
HUD Exchange Urban Counties website. The
County will notify the Municipality in writing of
the Municipality's right to make this election. A
copy of the County's notification must be sent to
the HUD field office by the date specified on the
HUD Exchange Urban Counties website.
The Parties agree to adopt amendment(s) to
this Agreement as may be required by HUD to
meet any new Urban County Qualification
requirement(s), when applicable. Failure by
either Party to adopt any such amendment, and
to submit such amendment to HUD, will void
the agreement for such qualification period.
45
601
7 It must state that the agreement
remains in effect until all funds
(CDBG, HOME, ESG, and any
program income) are expended
and all activities are completed.
8 It must state that your Urban
County and the Participating
UGLG will comply with all federal
laws and regulations specified in
HUD's Urban County Notice.
1 Sample Language
[Text in italics is explanatory and not pail of
the sample language]
See above language in 96
The County and the Municipality shall take all
actions necessary to assure compliance with the
County's certification under Section 104(b) of Title
I of the Housing and Community Development Act
of 1974, as amended, that the grant will be
conducted and administered in conformity with:
• Title VI of the Civil Rights Act of 1964, and the
implementing regulations at 24 CFR Part 1;
• the Fair Housing Act, and the implementing
regulations at 24 CFR Part 100, and will comply
with the obligation to affirmatively further fair
housing; and
• Section 109 of Title I of the Housing and
Community Development Act of 1974, and the
implementing regulations at 24 CFR Part 6,
which incorporates: Section 504 of the
Rehabilitation Act of 1973, and the
implementing regulations at 24 CFR Part 8;
Title II of the Americans with Disabilities Act
of 1974, and the implementing regulations at
28 CFR Part 35; the Age Discrimination Act of
1975, and the implementing regulations at 24
CFR Part 146; Section 3 of the Housing and
Urban Development Act of 1968; Uniform
Relocation and Real Property Policies Act of
1970 and the implementing regulations at 49
CFR Part 24; Section 104(d) of the Housing
and Community Development Act of 1974 and
the implementing regulations at 24 CFR Part
42; and all other applicable laws and
regulations. The Parties agree that Urban
County funding in no event will be used for
activities in, or in support of, any cooperating
unit of general local government that impedes
the County's actions to comply with the
County's fair housing certification and duty to
affirmatively further fair housing.
46
602
9 It must include a provision prohibiting
excessive use of force and prohibiting
physically barring entrance to or exit
from a facility or location which is the
subject of non-violent civil rights
demonstrations within jurisdictions.
10 It must NOT include a veto
provision that could obstruct
implementation of your Urban
County's Consolidated Plan.
11 It must state that the Participating
UGLG is subject to the same
requirements as subrecipients
in the CDBG program.
12 It must include a provision that the
Participating UGLG may not sell,
trade, or transfer any HUD funds
provided by your Urban County.
1 Sample Language
explanatory[Text in italics is part of
the sample .-
The County and the Municipality each have
adopted and are enforcing:
1. A policy prohibiting the use of excessive
force by law enforcement agencies within its
jurisdiction against any individuals engaged
in non-violent civil rights demonstrations.
2. A policy of enforcing applicable State and
local laws against physically barring
entrance to or exit from a facility or location
that is the subject of non-violent civil rights
demonstrations within its jurisdiction.
No provision necessary to satisfy this requirement
Pursuant to 24 CFR 570.501(b), the Municipality
is subject to the same requirements applicable
to subrecipients, including the requirement of a
written agreement as described in 24 CFR 570.503.
Parties to this Agreement understand and agree
that they may not sell, trade, or otherwise transfer
all or any portion of CDBG funds to a
Metropolitan City, Urban County, unit of general
local government, or insular area that directly or
indirectly receives CDBG funds in exchange for
any funds, credits, or non -Federal considerations,
but must use such funds for activities eligible
under Title I of the Housing and Community
Development Act of 1974, as amended.
47
603
Attachment 4: HUD Requirements and Sample Language for JointAgreements
List of HUD requirements (12) for Urban County JointAgreements11
1. It must be authorized by governing bodies and signed by CEOs.
The governing bodies for your Urban County and the Metropolitan City must authorize
the Joint Agreement. Both chief executive officers (CEOs) must sign the agreement.
A County Counsel Legal Opinion Letter must also be submitted with the JointAgreement.
The opinion must state that the terms and provisions of the agreement are fully authorized
under state and local law and that the agreement provides the legal authority for the
county to undertake, or assist in undertaking, essential community development and
housing assistance activities within the Metropolitan City's jurisdiction.
2. It must state that your Urban County and the Metropolitan City will cooperate to
carry out essential community development and housing assistance activities in the
Metropolitan City, and that the Urban County will expend the Metropolitan City's
CDBG grant in and for the benefit of the Metropolitan City.
If your Urban County does not have essential powers in the Metropolitan City, the
agreement must specifically state that the Metropolitan City will: "undertake, or assist
in undertaking, essential community development and housing assistance activities."
The agreement must also state that your Urban County will expend the Metropolitan
City's CDBG grant in, and for the benefit of, that Metropolitan City.
The Urban County and Metropolitan City may elect to explain in the Joint Agreement
that the Urban County will allot a certain percentage of the overall combined grant for
purposes of coordinating with the Metropolitan City on planning and administration
of the Metropolitan City's grant funds. Because the Urban County is administering the
Metropolitan City's CDBG grant, however, the Urban County is entitled to 20 percent
(20%) of the Metropolitan City's grant for administering their CDBG program.
NOTE: As an alternative to this language, your agreement may reference state law authorizing the
Metropolitan City to undertake these activities. Your Urban County must submit alternative language
to HUD for approval by OGC Field or Regional Counsel.
3. It must state that the agreement covers the CDBG program and that your Urban
County and the Metropolitan City may not seek CDBG funding from the State's
CDBG program while participating in the Urban County.
4. It must state that the agreement also covers: 1) the HOME program (if your Urban
County receives HOME funding); and 2) the ESG program (if your Urban County
receives ESG funding).
18 The twelve requirements in this list are HUD's requirements only. Urban Counties and Metropolitan Cities must
also incorporate local -specific provisions into their agreements to comply with state and local requirements.
.;
604
It must state that if the Metropolitan City qualifies to receive a separate allocation of
HOME funds, it has three options: (1) it may form a HOME consortium with the Urban
County, in which case it will be included as part of the Urban County when the HOME
funds for the county are calculated; (2) it may elect to continue to receive its separate
HOME grant but have the Urban County administer it; or (3) the Metropolitan City may
administer its HOME program on its own. Similarly, the agreement must state how the
Metropolitan City will treat ESG funding.
NOTE: If your state allows it, your Urban County and Participating UGLGs may still seek HOME or
ESG funds from your state government.
5. It must specify the qualification period for your Urban County (three fiscal years
covered by the JointAgreement) OR the remaining 1-2 years of your qualification
period (for amendments to Joint Agreements). It must also state that, by the date
in the Urban County Qualification Deadlines published on the HUD Exchange
Urban Counties website for the next qualification period, your Urban County will
notify the Metropolitan City by letter of its right not to participate. For Auto -
Renewal Joint Agreements, it must state the three additional fiscal years that will
be covered by the agreement when it auto -renews.
The qualification period for your Urban County is the next three fiscal years after your
county qualifies or requalifies. If your Urban County is amending a Joint Agreement,
the amendment must update how many years remain (one or two) in your qualification
period. HUD discusses amendments more in #6 below. For Auto -Renewal Joint
Agreements, it must state the three additional fiscal years that will be covered by the
agreement when it auto -renews.
6. For regular Joint Agreements, it must state that your Urban County and the
Metropolitan City will amend the agreement, if necessary, to meet requirements
during the Urban County's three-year qualification period. For Auto -Renewal
Joint Agreements, it must state that your Urban County and the Metropolitan
City will amend the agreement, if necessary, to meet requirements at any point
during the two qualification periods the agreement is in effect (including at the
time of requalification).
An amendment is any change to a Joint Agreement which must be authorized and
executed during an Urban County's qualification period (or also at the time of
requalification for an Auto -Renewal Joint Agreement). Over time, changes to laws
and regulations will occur that may require your Urban County to amend your Joint
Agreements to add new provision(s). An amendment allows your Urban County to
draft a separate amendment to your existing agreements that includes the new
provision(s) rather than drafting an entire new Joint Agreement containing the new
provisions. The amendment must be authorized by governing bodies and executed
(signed) by chief executive officers, like the Joint Agreement itself. Auto -Renewal
Joint Agreements may be amended at the time of requalification for the second three-
year qualification period, as well as during the two qualification periods, to cover any
605
new required provisions. If your Urban County fails to make a required amendment to
a Joint Agreement by the deadlines published on the HUD Exchange Urban Counties
website, your Joint Agreement is voided and you must submit a new Joint Agreement.
7. It must state the plan for the disposition of program income generated by the
Metropolitan City during the time it is a participant in the Urban County.
The Urban County and Metropolitan City can't terminate or withdraw from the agreement
while it remains in effect. The Urban County may transfer the program income to the
Metropolitan City, upon its termination of Urban County participation, provided that the
Municipality begins participating as an independent CDBG Entitlement grantee and
agrees to use the program income in its own CDBG Entitlement program.
8. It must state that your Urban County and the Metropolitan City will comply with
all federal laws and regulations specified in HUD's Urban County Notice.
The agreement must contain an explicit provision obligating your Urban County and the
Metropolitan City to comply with your Urban County's certification (under section 104(b)
of Title I of the Housing and Community Development Act of 1974), that your grant will
be conducted and administered in conformity with:
Title VI of the Civil Rights Act of 1964 (and the implementing regulations at
24 CFR Part 1);
• the Fair Housing Act (Title VIII of the Civil Rights Act of 1968), and the
implementing regulations at 24 CFR Part 100, and the duty to affirmatively
further fair housing (AFFH); and
• Section 109 of Title I of the Housing and Community Development Act of 1974,
and the implementing regulations at 24 CFR Part 6, which incorporates:
o Section 504 of the Rehabilitation Act of 1973, and the implementing
regulations at 24 CFR Part 8;
o Title II of the Americans with Disabilities Act, and the implementing
regulations at 28 CFR Part 35;
o the Age Discrimination Act of 1975, and the implementing regulation
at 24 CFR Part 146;
o Section 3 of the Housing and Urban Development Act of 1968;
o Uniform Relocation and Real Property Acquisition Policies Act of
1970, and the implementing regulations at 49 CFR Part 24;
o Section 104(d) of the Housing and Community Development Act of
1974, implementing regulation at 24 CFR Part 42; and
• Other applicable laws
50
606
Required provision on affirmatively furthering fair housing (AFFH)
The Joint Agreement must contain a provision prohibiting an Urban County from
funding activities in, or in support of, any Metropolitan City that impedes your
county's actions to comply with your fair housing certification. HUD requires this
provision because noncompliance with the duty to affirmatively further fair housing
by a Metropolitan City may constitute noncompliance by your Urban County. This
can result in HUD issuing funding sanctions or other remedial actions for your
Urban County.
9. It must include a provision prohibiting excessive use of force and prohibiting
physically barring entrance to or exit from a facility or location which is the
subject of non-violent civil rights demonstrations within jurisdictions.
The agreement must state that the Metropolitan City has adopted and is enforcing:
1. A policy prohibiting the use of excessive force by law enforcement agencies
within its jurisdiction against any individuals engaged in non-violent civil
rights demonstrations; and
2. A policy of enforcing applicable State and local laws against physically
barring entrance to or exit from a facility or location which is the subject
of such non-violent civil rights demonstrations within jurisdictions.
10. It must NOT include a veto provision that could obstruct implementation of
your Urban County's Consolidated Plan.
Your agreement must NOT include a veto provision (or other restriction) that would
allow a Metropolitan City to obstruct implementation of your Urban County's
approved Consolidated Plan during the qualification period. Your Urban County has
final responsibility for choosing CDBG activities (and HOME and ESG activities, if
applicable) and submitting the Consolidated Plan to HUD. If your Urban County is a
member of a HOME consortium (but not the lead entity), the HOME consortium is
responsible for submitting the Consolidated Plan for your Urban County.
11. It must state that the Metropolitan City is subject to the same requirements as
subrecipients in the CDBG program.
Per 24 CFR 570.501(b), the agreement must state that the Metropolitan City is subject
to the same requirements as subrecipients in the CDBG program. This includes the
requirement for executing a written agreement before your Urban County disburses
CDBG funds to the Metropolitan City.
12. It must include a provision that the parties may not sell, trade, or transfer any
HUD funds. Congress has prohibited this practice. HUD will not accept Joint
Agreements or approve any Urban County's qualification without this provision.
Your agreement must include this specific provision: Parties to this Agreement understand
and agree that they may not sell, trade, or otherwise transfer all or any portion of CDBG
51
607
funds to a Metropolitan City, Urban County, unit of general local government, or insular
area that directly or indirectly receives CDBG funds in exchange for any funds, credits, or
non -Federal considerations, but must use such funds for activities eligible under Title I of
the Housing and Community Development Act of 1974, as amended.
Additional provisions your Urban County may include (authorized by state/local laws)
Your Joint Agreements may also include any provisions authorized by state and local laws.
These provisions may legally require a Metropolitan City to undertake necessary actions,
as determined by your county, to carry out a community development program and the
approved Consolidated Plan and/or meet other requirements of the CDBG program
(and, where applicable, HOME and ESG programs) and other applicable laws.
52
608
Sample Lan2ua2e for Joint Amreements
LanguageHUD Sample
AgreementHUD Joint ..qexplanatory
the sample language]
1 It must be authorized by governing
This may best translate to a "Whereas " clause,
bodies and signed by CEOs.
paired with the execution on the signature block.
Example:
WHEREAS, the Mayor of the Municipality is
authorized to execute this Agreement on the
Municipality's behalf; and
WHEREAS, the County Executive is authorized
to execute this Agreement on the County's behalf
2
It must state that your Urban
The County and the Municipality agree to
County and the Metropolitan City
cooperate to undertake, or assist in undertaking,
will cooperate to carry out
essential community development and housing
essential community development
assistance activities in and for the benefit of the
and housing assistance activities in
Municipality, as approved and authorized
the Metropolitan City, and that
between the parties in the CDBG Agreements,
the Urban County will expend the
including the Consolidated Plan.
Metropolitan City's CDBG grant
in and for the benefit of the
Metropolitan City.
3
It must state that the agreement
The participating Municipality understands and
covers the CDBG program and
agrees that it may not apply for grants under the
that your Urban County and the
State CDBG Program for the fiscal years during
Metropolitan City may not seek
the period in which the Municipality participates
CDBG funding from the State's
in the Urban County's CDBG Program. The
CDBG program while participating
Urban County agrees that the CDBG funds that
in the Urban County.
the Municipality is entitled to will be utilized to
benefit the Municipality.
4
It must state that the agreement
Example, covering CDBG, HOME, and ESG:
also covers: 1) the HOME program
This Agreement covers the following formula
(ifyour Urban County receives
funding programs administered by HUD where
HOME funding); and 2) the ESG
the County is awarded and accepts funding
program (ifyour Urban County
directly from HUD: the CDBG Program, the
receives ESG funding).
HOME Program, and the ESG Program.
The participating Municipality understands and
agrees that it may receive a formula allocation
under the HOME and ESG Programs only through
the Urban County. This does not preclude the
53
609
IUD Joint Agreement Requirement
5 It must specify the qualification
period for your Urban County
(three fiscal years covered by the
Joint Agreement) OR the remaining
1-2 years of your qualification
period (for amendments to Joint
Agreements). It must also state that,
by the date in the Urban County
Qualifieation Deadlines published
on the HUD Exchange Urban
Counties website for the next
qualification period, your Urban
County will notify the Metropolitan
City by letter of its right not to
participate. For Auto -Renewal Joint
Agreements, it must state the three
additional fiscal years that will be
covered by the agreement when it
auto -renews.
6 For reaular JointAueements, it must
state that your Urban County and the
Metropolitan City will amend the
agreement, if necessary, to meet
requirements during the Urban
County's three-year qualification
period. For Auto Renewal Joint
Agreements, it must state that your
Urban County and the Metropolitan
City will amend the agreement, if
necessary, to meet requirements at
any point during the two
1 Sample Language
[Text in italics is explanatory and not part of
the sample .-
Urban County or the Municipality from applying
for HOME or ESG funds from the State, if the
State allows.
Example, Auto -Renewal Joint Agreement:
This Agreement shall remain in effect for the
three-year program period of Federal Fiscal Years
XXXX, XXXX, and XXXX, and until funds
granted and program income received during the
three-year program period are expended and the
funded activities completed. Neither the County
nor the Municipality may terminate, withdraw, or
be removed from the program during the three-
year program period.
This Agreement will renew automatically for
participation in one successive three-year Urban
County qualification period (Federal Fiscal Years
XXXX, XXXX, XXXX), unless the Municipality
or the County provide written notice to the other
party that it elects not to participate in a new
qualification period. The terminating party shall
send a copy of the notice of termination to the
HUD field office by the date specified on the
HUD Exchange Urban Counties website. The
County will notify the Municipality in writing of
the Municipality's right to make this election. A
copy of the County's notification must be sent to
the HUD field office by the date specified on the
HUD Exchange Urban Counties website.
The Parties agree to adopt amendment(s) to this
Agreement as may be required by HUD to meet
any new Urban County Qualification
requirement(s), when applicable. Failure by
either Party to adopt any such amendment, and
to submit such amendment to HUD, will void
the agreement for such qualification period.
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610
IUD Joint Agreement Requirement
qualification periods the agreement is
in effect (including at the time of
requalification).
7 It must state the plan for the
disposition of program income
generated by the Metropolitan City
during the time it is a participant
in the Urban County.
8 It must state that your Urban
County and the Metropolitan City
will comply with all federal laws
and regulations specified in HUD's
Urban County Notice.
1 Sample Language
[Text i17 italiCS is explanatory and not part of
the sample language]
The County and Municipality shall not terminate
or withdraw from the agreement while it remains
in effect. The County may transfer the program
income to the Metropolitan City, upon its
termination of Urban County participation,
provided that the Municipality begins participating
as an independent CDBG Entitlement grantee and
agrees to use the program income in its own CDBG
Entitlement program.
The County and the Municipality shall take all
actions necessary to assure compliance with the
County's certification under Section 104(b) of Title
I of the Housing and Community Development Act
of 1974, as amended, that the grant will be
conducted and administered in conformity with:
• Title VI of the Civil Rights Act of 1964, and the
implementing regulations at 24 CFR Part 1;
• the Fair Housing Act, and the implementing
regulations at 24 CFR Part 100, and will comply
with the obligation to affirmatively further fair
housing; and
• Section 109 of Title I of the Housing and
Community Development Act of 1974, and
the implementing regulations at 24 CFR Part
6, which incorporates: Section 504 of the
Rehabilitation Act of 1973, and the
implementing regulations at 24 CFR Part 8;
Title II of the Americans with Disabilities Act
of 1974, and the implementing regulations at
28 CFR Part 35; the Age Discrimination Act
of 1975, and the implementing regulations at
24 CFR Part 146; Section 3 of the Housing
and Urban Development Act of 1968;
Uniform Relocation and Real Property
Policies Act of 1970 and the implementing
regulations at 49 CFR Part 24; Section 104(d)
of the Housing and Community Development
Act of 1974 and the implementing regulations
at 24 CFR Part 42; and all other applicable
55
611
HUD Sample '
HUD
Joint Agreement Requirement
[Text i17 italics is explanatory and not part of
the sample langUage]
laws and regulations. The Parties agree that
Urban County funding in no event will be
used for activities in, or in support of, any
cooperating unit of general local government
that impedes the County's actions to comply
with the County's fair housing certification
and duty to affirmatively further fair housing.
9
It must include a provision prohibiting
The County and the Municipality each have
excessive use of force and prohibiting
adopted and are enforcing:
physically barring entrance to or exit
1. A policy prohibiting the use of excessive
from a facility or location which is the
force by law enforcement agencies within its
subject of non-violent civil rights
jurisdiction against any individuals engaged
demonstrations within jurisdictions.
in non-violent civil rights demonstrations.
2. A policy of enforcing applicable State and
local laws against physically barring entrance
to or exit from a facility or location that is
the subject of non-violent civil rights
demonstrations within its jurisdiction.
10
It must NOT include a veto
No provision necessary to satisfy this requirement
provision that could obstruct
implementation of your Urban
County's Consolidated Plan.
11
It must state that the Metropolitan
Pursuant to 24 CFR 570.501(b), the Municipality
City is subject to the same
is subject to the same requirements applicable
requirements as subrecipients
to subrecipients, including the requirement of a
in the CDBG program.
written agreement as described in 24 CFR 570.503.
12
It must include a provision that the
Parties to this Agreement understand and agree that
Metropolitan City may not sell,
they may not sell, trade, or otherwise transfer all or
trade, or transfer any HUD funds
any portion of CDBG funds to a Metropolitan City,
provided by your Urban County.
Urban County, unit of general local government,
or insular area that directly or indirectly receives
CDBG funds in exchange for any funds, credits,
or non -Federal considerations, but must use such
funds for activities eligible under Title I of the
Housing and Community Development Act of
1974, as amended.
56
612
Attachment 5: Cooperation Agreements vs. JointAgreements Comparison Table
,,,•
(Urban Counh, and Participating LJGLG)
(Urban County and iNletropolitan City)
Definition of Agreement
• Intergovernmental agreement (IGA) between
• Intergovernmental agreement (IGA) between
an Urban County and a Participating UGLG
an Urban County and a Metropolitan City
(Non -Entitlement).
(CDBG Entitlement).
• The Urban County must enter into Cooperation
• The Urban County must enter into Joint
Agreements with UGLGs when the Urban County
Agreements with Metropolitan Cities when the
does not have the power to carry out "essential
Urban County will administer the Metropolitan
community development and housing assistance
City's CDBG program, in addition to the Urban
activities" in UGLGs without consent from
County's CDBG program.
UGLG governing bodies.
• Most states only grant counties "essential powers"
in unincorporated areas and not in UGLGs.
Responsibilities
• The Urban County is responsible for all aspects
The Urban County is responsible for all aspects
of Urban County
of administering their CDBG program, including
of administering their CDBG program AND the
planning and citizen participation, expending
Metropolitan City's CDBG program, including
program income and ensuring timely expenditure
planning and citizen participation, expending
of funds, responding to audits and monitoring
program income and ensuring timely expenditure
findings, fair housing and other cross -cutting
of funds, responding to audit and monitoring
requirements, management and oversight of
findings, fair housing and other cross -cutting
subrecipients (including Participating UGLGs),
requirements, management and oversight of
and reporting and inputting information into IDIS.
subrecipients, and reporting and inputting
• The Urban County needs to establish policies
information into IDIS.
and procedures governing its process for
The Urban County may use up to 20% of the
selecting activities for funding, including when
Metropolitan City's CDBG grant for planning
and how a county may provide funds to
and general administrative costs. The amount of
Participating UGLGs. However, the CDBG
planning and administration funds available to
regulations give each grantee the flexibility to
the Urban County should be explained in the
design its program based on locally -identified
Joint Agreement.
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613
Issue/Topic
6
(Urban County and Participating UGLG)
(Urban County and Metropolitan City)
needs and priorities. It is common for Urban
Counties to work with their Participating
UGLGs to help design the county's program.
That process may or may not be spelled out in
the Cooperation Agreements with Participating
UGLGs.
Responsibilities of
• Cooperating with the Urban County on the
Not applicable because Joint Agreements are only
Participating UGLGs
needs and activities they want funded in their
between Urban Counties and Metropolitan Cities.
jurisdiction.
• They may or may not receive CDBG funding for
activities from the Urban County in any given
program year. There is no guarantee of funding.
• If they receive CDBG funding from the Urban
County, they may carry out the activities
themselves OR allow the Urban County to
carry out the activities in their jurisdiction.
Responsibilities of
Not applicable because Cooperation Agreements are
• Providing input to the Urban County on needs and
Metropolitan City
between Urban Counties and Participating UGLGs.
activities to fund with CDBG in their jurisdiction.
NOTE: Metropolitan Cities may also choose to relinquish their CDBG
• Other responsibilities may be spelled out in the
Entitlement status to participate in an Urban County, but they are then
Joint Agreement (as agreed to by Urban County).
considered a Participating UGLG (not a Metropolitan City [Entitlement]).
Where CDBG Investments
The Urban County has full discretion on where and
The Urban County is required to spend all the
and Activities May Occur
how CDBG funds are spent across the Urban County.
Metropolitan City's CDBG grant funds in the
Each Participating UGLG is not guaranteed to receive
jurisdictional boundaries of the Metropolitan City
CDBG investment in their jurisdiction in any given
and for the benefit of that Metropolitan City.
program year.
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614
(Urban County and Participating UGLG)
(Urban County and Metropolitan City)
When Can They Opt In
Participating UGLGs may join an Urban County
Metropolitan Cities may only submit Joint Requests
during any year of its qualification period.
to become a Joint Recipient with an Urban County
the year that the Urban County is qualifying.
When Can They Opt Out
Participating UGLGs cannot opt out of an Urban
Metropolitan Cities cannot opt out of an Urban
County during a three-year Urban County
County during a three-year Urban County
qualification period. They must wait until the
qualification period. They must wait until the
Urban County qualifies again.
Urban County qualifies again.
CDBG Allocations and
HUD computes a single CDBG allocation for the
HUD computes a separate CDBG allocation for
CPD Formula Allocation
Urban County as a whole, including the population
the Metropolitan City and the Urban County each
Methodology
and demographic data of all Participating UGLGs
year, based on their respective population and
and all unincorporated areas of the county from the
demographic data from the U.S. Census Bureau.
U.S. Census Bureau.
HUD Grant Agreement
HUD executes one grant agreement with the
HUD combines the two grant allocations and executes
Urban County for its single CDBG allocation.
one grant agreement with the Urban County for the
combined amount of its own allocation and the
allocation for the Metropolitan City. (Joint Recipients)
Contractual Relationships
The Urban County has a contractual relationship
The Urban County has a contractual relationship
with HUD. There is no contractual relationship
with HUD because the Urban County is administering
between HUD and Participating UGLGs.
their own Urban County CDBG grant AND the
Metropolitan City's CDBG grant. The Urban County
signs the combined grant agreement with HUD.
Policy on Auto -Renewal
Auto -Renewal Cooperation Agreements are permitted.
Auto -Renewal Joint Agreements are permitted.
of Intergovernmental
They allow the Cooperation Agreement to "auto-
They allow the Joint Agreement to "auto -renew"
Agreements (IGAs):
renew" for one additional three-year Urban County
for one additional three-year Urban County
Cooperation Agreements
qualification period without the Urban County and
qualification period without the Urban County
and Joint Agreements
59
615
Issue/Topic
(Urban County and Participating UGLG)
(Urban County and Metropolitan City)
Participating UGLGs having to reauthorize and
and Metropolitan City(ies) having to reauthorize
re -execute their agreements.
and re -execute their agreements.
NOTE: Changes to HUD guidance (Urban County Notice) or other federal,
Nola: Changes to HUD guidance (Urban County Notice) or other federal,
state, or local laws may require Urban Counties and Participating UGLGs
state, or local laws may require Urban Counties and Metropolitan Cities to
to make amendments to their Cooperation Agreements any year of the six
make amendments to their Joint Agreements any year of the six years
years covered by an Auto Renewal Cooperation Agreement.
covered by an Auto -Renewal Joint Agreement.
Consolidated Planning
The Urban County must only complete and submit
The Urban County must only complete and submit
one Consolidated Plan, Annual Action Plan, and
one Consolidated Plan, Annual Action Plan, and
CAPER on behalf of the entire Urban County.
CAPER, covering both their Urban County and the
Metropolitan City(ies), aligning their housing and
community development needs.
CDBG Program
• All program requirements (such as the 20%
• All program requirements (such as the 20%
Requirements
planning and administration cap, the 15% public
planning and administration cap, the 15%
service cap, the 70% overall benefit requirement)
public service cap, and the 70% overall benefit
are based on the Urban County's grant and apply
requirement) are based on the combined grant
to the Urban County's CDBG grant (as a whole).
amount and apply to the Urban County's CDBG
• Expenditure caps do not apply separately to
grant (as a whole).
the Urban County and each individual sub-
• Expenditure caps do not apply separately to the
award that the Urban County may make to a
Metropolitan City's CDBG grant and the Urban
Participating UGLG.
County's grant.
• Low/moderate income summary data and the
Low/moderate income summary data and the
upper quartile exception criteria apply to the
upper quartile exception criteria are based on
Urban County's CDBG grant (as a whole).
the Urban County grant (as a whole) and do
not apply separately to the Metropolitan
City's grant and the Urban County's grant.
• When UGLGs become Participating UGLGs
• If the Metropolitan City qualifies to receive
Impact on the HOME
in an Urban County for the CDBG Program,
a separate allocation of HOME funds, the
and ESG Programs
Metropolitan City has three options:
60
616
/ /
Issue/Topic
(Urban1 1(Urban1 Metropolitan
they are part of the Urban County for the 1. Form a HOME consortium with the
HOME and ESG programs as well. Urban County (the Metropolitan City
• Participating UGLGs may only receive HOME will be included as part of the Urban
and ESG formula -allocated funds from the County when HUD calculates HOME
Urban County. Even if the Urban County does allocations for the county).
not receive a HOME formula allocation, 2. Continue to receive a separate allocation
Participating UGLGs cannot form their own of HOME funds but have the Urban
HOME consortium or join another HOME County administer their HOME funds.
consortium. 3. Administer its own HOME program.
• If the state allows it, both the Urban County and
Participating UGLGs can seek additional HOME
and/or ESG funding from the state.
61
617
Attachment 6: Urban County Qualification Scenarios Comparison Table
Urban County Requirements
Determination of Essential Powers
GO TO SECTION 2.7
REQUALIFIERS:
Unrix-ml ' v qual�fied (1rhan Counlies
HUD may rely on a previous Determination of
Essential Powers (unless there is evidence that
essential powers may have changed).
REQUALIFYINGNEXT YEAR
OR YEAR AFTER NEXT:
Currently qualyied I 4-han Counties
HUD does not conduct a Determination of
Essential Powers for Urban Counties during
a qualification period.
FIRST-TIME QUALIFIERS:
Neir counties seeknqf lo qual�& a., cut
HUD OGC Field or Regional Counsel must
certify a Determination of Essential Powers.
Urban County Participation
The Urban County must send letters to all its
OPTIONAL: The county may choose to send
The county must send letters to all its UGLGs
Decision Letters for Participating
UGLGs (regardless of past participation) to
a letter to Nonparticipating UGLGs (if any)
to determine their participation decisions for
and Nonparticipating UGLGs
determine their participation decisions for the
informing them that they may join the Urban
the upcoming qualification period.
GO TO SECTION z.z
upcoming qualification period.
County as a Participating UGLG for the rest
. If the county has essential powers in UGLGs:
• If the county has essential powers in UGLGs:
of the current qualification period (1-2 years).
the county's letter must inform them of their
the county's letter must inform them of their
• If an UGLG decides to join the Urban County:
right to be excluded from the Urban County,
right to be excluded from the Urban County,
In general, the Urban County and the new
and that if they do not respond to the letter,
and that if they do not respond to the letter,
Participating UGLG must authorize and
they will be included in the Urban County
they will be included in the Urban County
execute a Cooperation Agreement.
for the next three FYs.
for the next qualification period.
• If the county has Auto -Renewal Cooperation
the county has "split places": the county's
"split"
Agreements in place: the county's letter must
letter
letter must inform any UGLGssf oof
inform Participating UGLGs of their right to
then participation options for the next
opt out of the agreement and to be excluded
qualification period.
from the Urban County for the upcoming
qualification period.
• If the county has "split places": the county's
letter must inform any "split" UGLGs of
their participation options for the upcoming
qualification period.
62
618
I
(TrInin County Requirements
Currently quot�ficd Urban Counties
O, YEAR AFTER NEXT:
CurraniN qval�fied Urbaii Counties
FIRST-11ME �tLIALIFIE&S:
No,- counties socking it, quaty.�as an
Urban County Participation
The Urban County must communicate with
No action is required because the Urban County
In general, the potential new Urban County must
Decision Letters for
previously identified potential Metropolitan
is in the middle of a qualification period.
send official letters to any Metropolitan Cities
Metropolitan Cities
Cities to determine their participation
NOTE I: Metropolitan Cities that are under a✓oint
notifying them of the opportunity to participate
GO TO SECTION a.a
decisions for the upcoming qualification
Agreement or relinquished their CDBG Entitlement
in the new Urban County for the upcoming
period.
status to become a Participating UGLG may not
qualification period either by:
• The Urban County must communicate with
withdraw from the Urban County during a
relinquishing their CDBG Entitlement
newly identified potential new Metropolitan
qualification period.
status as a Metropolitan City and executing
Cities (identified in most recent U.S. Census
NOTE z: Participating UGLGs that surpass a
a Cooperation Agreement with the county
data) to determine their participation decisions
population of 50,000 (become eligible to be a
to become a Participating UGLG in the
for the upcoming qualification period.
Metropolitan City) may not withdraw from the
Urban County's CDBG grant program;
Urban County during a qualification period.
OR
• retaining their CDBG Entitlement status
as a Metropolitan City and executing a
Joint Agreement with the Urban County to
administer their CDBG program for them.
NOTE: Metropolitan Cities have every right to keep
their CDBG Entitlement status (continue administering
their own CDBG grant program independently) and not
participate in the new Urban County.
Cooperation Agreements
• If the Urban County has regular Cooperation
No action is required because the Urban County
If the county does not have essential powers in
(with Participating UGLGs)
Agreements in place with Participating
is in the middle of a qualification period.
its UGLGs (most counties), they must execute
GO TO ATTACHMENT q
UGLGs, they must execute new Cooperation
. If the Urban County adds Nonparticipating
Cooperation Agreements between their county
Agreements with Participating UGLGs
UGLGs to their Urban County as new
and Participating UGLGs
• If the Urban County has Auto -Renewal
Participating UGLGs for the rest of its current
Cooperation Agreements in place, they must
qualification period, they must execute
make any required amendments to their
Cooperation Agreements with the new
619
Ilrban County Requirements
Currently quahlied Urban Counfies
REQt[ALIFYING NEXT YEAR
,. YEARAFTER NEXT:
FIRST-TIME QIIALIFIERS:
Neir counties sucking it) qualij.i-av an
Cooperation Agreements with Participating
Participating UGLGs and submit the
UGLGs for the next qualification period.
Cooperation Agreements to HUD.
(Please note thatAuto-Renewal Cooperation
Agreements may only be in effect for six FYs
beginning in FY 2027.)
JointAgreements
If a Metropolitan City within the Urban County
No action is required because the Urban County is
If a Metropolitan City within the county wants
(with Metropolitan Cities)
wants the Urban County to administer its CDBG
in the middle of a qualification period; Joint
the county to administer its CDBG program,
GO TO ATTACHMENT a
grant program, the county and the Metropolitan
Agreements can only be executed at the time an
the county and the Metropolitan City must
City must submit a Joint Request to their CPD
Urban County is qualifying. (24 CFR 570.308)
submit a Joint Request to their CPD field
field office and execute a Joint Agreement.
office and execute a Joint Agreement.
Documents That Must be
1. All Urban County Participation Decision
No action is required because the Urban County
1. All Urban County Participation Decision
Submitted to HUD in the Urban
Letters exchanged between the Urban County,
is in the middle of a qualification period.
Letters exchanged between the potential new
County Qualification Package
UGLGs, and Metropolitan Cities about
Urban County, UGLGs, and Metropolitan
GO TO SECTION 7
participation in the Urban County
If the Urban County is adding new Participating
Cities about participation in the Urban County
2. Cooperation Agreements with Participating
UGLGs to the Urban County, they must submit:
2, Cooperation Agreements with Participating
UGLGs (if applicable)
1. Urban County Participation Decision Letters
UGLGs (if applicable)
3. JointAgreements with Metropolitan Cities
sent to Nonparticipating UGLGs and response
3. Joint Agreements with Metropolitan Cities
(if applicable)
letters received
(if applicable)
4. Amendments to Cooperation or Joint
2. New Cooperation Agreements with new
4. County Counsel Legal Opinion Letter
Agreements (if applicable)
Participating UGLGs (if applicable)
5. County Counsel Legal Opinion Letter
3. Updated County Counsel Legal Opinion Letter
620
Resolution Number # 1058-11
Awarded Amount S
URBAN QUALIFICATION COOPERATION AGREEMENT FOR THE MIAMI-DADE COUNTY
COMMUNITY DEVELOPMENT BLOCK GRANT AND HOME INVESTMENT PARTNERSHIPS
PROGRAM FUNDS FOR FISCAL YEARS 2024, 2025 AND 2026
BETWEEN
MIAMI-DADE COUNTY
AND
CITY OF SUNNY ISLES BEACH
This Agreement (hereinafter referred to as "Agreement" or "Contract"), by and between Miami -Dade
County, a political subdivision of the State of Florida through its Department of Public Housing and
Community Development hereinafter referred to as "PHCD" and having its principal offices at 701 N.W. 151
Court, 10' Floor, Miami, Florida 33136, hereinafter referred to as "County", and the City of Sunny Isles
Beach, hereinafter referred to as "City" and having offices at 18070 Collins Avenue, Sunny Isles Beach,
Florida 33160 and telephone number of (305) 947-0606, collectively referred to as the "Parties", states,
conditions and covenants for the participation of City in the Community Development Block Grant, Home
Investment Partnerships and Emergency Shelter Grant programs, which are administered by the
Department of Housing and Urban Development ("HUD"), as part of the County's jurisdiction.
WHEREAS, the Home Rule Charter authorizes Miami -Dade County to provide for the uniform health and
welfare of the residents throughout the County; and
WHEREAS, the Community Development Block Grant ("CDBG") Program is authorized by the Housing and
Community Development Act of 1974, as amended, with the primary objective of promoting and
development of Friable urban communities. Program regulations are at 24 CFR Part 570; and
WHEREAS, the Home Investment Partnerships program ("HOME") is authorized under Title 11 of the
Cranston -Gonzalez National Affordable Housing Act, as amended. Program regulations are at 24 CFR Part
9Z and
WHEREAS, the Emergency Shelter Grant ("ESG") program is authorized by the McKinney-Vento Homeless
Assistance Act, as amended. Program regulations are at 24 CFR Part 576.
WHEREAS, the CDBG, HOME and ESG programs shall collectively be referred to as the "Federal Funds";
and
WHEREAS, the City desires to participate in the CDBG, HOME and ESG programs as a participating
municipality in the County's jurisdiction; and
WHEREAS, the County is desirous of the City participating in the CDBG, HOME and ESG programs as
part of the County's Entitlement jurisdiction; and
WHEREAS, it is mutually beneficial to each of the Parties hereto for the County to administer and execute
the provisions of this Agreement in accordance with the terms and conditions hereinafter provided and
subject to local ordinances and state and federal law; and
WHEREAS, the U.S. Department of Housing and Urban Development (HUD) has indicated thatthe County
and City may cooperate as an Urban County Joint Entitlement Recipient in administration of CDBG, HOME
and ESG; and
N
N
co
WHEREAS, County and City are required to execute a cooperation agreement, or renew an existing
cooperation agreement, for the City's participation in the County's jurisdiction for Federal Funds for each
three-year qualification period ("Qualification Period"): and
WHEREAS, the governing bodies of the County and the City have authorized the execution of this
Agreement by the Chief Executive Officer of the County and City, respectively; and
WHEREAS, this Acreement small be accompanied by a legal opinion from the County's counsel that the
terms and provisions of this Agreement are fully authorized under State and local law and that the
Agreement provides full legal authority for the County; and
WHEREAS, the County intends to further include within the Urban County the City,
NOW, THEREFORE. IT IS AGREED AS FOLLOWS:
The City, by executing this Agreement, agrees that:
a City may receive an allocation under the CDBG and HOME Programs through the County's
Request for Application Process. If the County does not receive a HOME formula allocation,
City cannot form a HOME consortium with other local governments. (Note: this does not
preclude the County or the City from applying for State HOME funds if the State allows.); and
b. City may not apply for grants from appropriations under the State CDBG Program for the fiscal
years City participates in the County's CDBG program; and
c. City may receive an allocation under the ESG program only through the County, However, City
may apply to the State for ESG funds, if the State allows.
2. This Agreement shall cover the County Qualification Period for Fiscal Years 2024, 2025, and 2026
for which the County is to qualify to receive Federal Funds. This Agreement shall remain in effect
until the CDBG (and, where applicable, HOME and ESG) funds and program income received (with
respect to activities carried out during the three-year qualification period and any successive
qualification periods pursuant to automatic renewal of this Agreement) are expended and the
funded activities completed, and the County and the City cannot terminate or withdraw from this
Agreement while the Agreement remains in effect.
3. This Agreement may be automatically renewed for successive three-year Qualification periods at
the discretion of the County unless the County or the City provides written notice that it elects not
to extend City's participation for the new Qualification Period. The City and County agree that a
COPY of such notice shall be timely sent to the HUD Field Office.
4. By the date specified in the HUD's Urban County Qualification Notice for each Qualification Period,
the County will notify the City in writing of its right not to participate. A copy of the County's
notification to City shall be sent to the HUD Field Office by the date specified in the Urban County
Qualification schedule located in any applicable Urban County Qualification Notice for a
Qualification Period.
5. The Parties agree that they will timely execute any amendments to the Agreement necessary to
comply with the requirements for cooperation agreements, including those for automatic renewals,
set forth in the current Urban County Qualification Notice, attached as Exhibit A, or future urban
county qualification notices from HUD for the current or any future Qualification Period. The Parties
further agree that any amendment so executed will be timely submitted to HUD as required by the
Urban County Qualification CPD Notice 23-02, issued on April 10, 2023 and expiring on April 10,
2024. Failure to comply with the requirements of this section may cause the County to void the
automatic renewal for the applicable qualification period.
6. The County and City agree to cooperate to undertake, or assist in undertaking, community renewal
and lower -income housing assistance activities.
M
N
The County and City shall take all actions necessary to assure compliance with the County's
certification under section 104(b) of Title I of the Housing and Urban Development Act of 1974, as
amended, that the grant will be conducted and administered in conformity with Title VI of the Civil
Rights Act of 1964, and the implementing regulations at 24 CFR part 1, and the Fair Housing Act,
and the implementing regulations at 24 CFR Part 100, and will affirmatively further fair housing.
The County and City shall comply with section 109 of Title I of the Housing and Community
Development Act of 1974, and 'lie implementing regulations at 24 CFR part 6, which incorporates
Section 504 of the Rehabilitation Act of 1973, and the implementing regulations at 24 CFR part 8,
Title II of the Americans with Disabilities Act, and the implementing regulations at 28 CFR part 35,
the Age Discrimination Act of 1975, and the implementing regulation at 24 CFR part 146, and
Section 3 of the Housing and Urban Development Act of 1968, and other applicable laws. The
County and City are obligated to sign the assurances and certifications in HUD-424-B.
8. Under no circumstances shall the Federal Funds be used for activities in, or in support of, any
participating municipality, including City, that does not affirmatively further fair housing within its
own jurisdiction or that impedes the County's actions to comply with the County's fair housing
certification.
9. The City acknowledges that the County has final responsibility and authority for selecting CDBG
(and, where applicable, HOME and ESG) activities and submitting the Consolidated Plan to HUD.
The City agrees that during the term of this Agreement, the City will fully support the implementation
of the County's Consolidated Plan and any amendments.
10. The City affirms that it has adopted and is enforcing:
a. A policy prohibiting the use of excessive force by law enforcement agencies within its
jurisdiction against any individuals engaged in non-violent civil rights demonstrations; and
b. A policy of enforcing applicable State and local laws against physically barring entrance to
or exit from a facility or location which is the subject of such non-violent civil rights
demonstration within the City.
11. Pursuant to 24 CFR 570.501(b), the City is subject to the same requirements applicable to
subrecipients, including the requirement of a written agreement as described in 24 CFR 570.503.
12, The County shall take the final responsibility and assume all the obligation of application for
assistance under the provisions of the Housing and Community Development Act of 1974 and
subsequent amendments, including the analysis of needs, the setting of objectives, the
development of the HUD Consolidated Plan and Action Plans, and any other documents,
assurances, or certificates as required by HUD, subject to change in legislation or regulations.
13. Funds for housing and community development activities shall be expended in a manner to reflect
the needs of low to moderate -income groups pursuant to the Housing and Community
Development Act 1974, as amended.
14. All records of the County or City related to this Agreement and any projects undertaken pursuant
thereto shall, upon reasonable notice, be available for inspection by HUD, County and/or City
auditors during the normal business hours.
15. This agreement shall be binding upon the Parties hereto and their successors and assigns.
16. The City and the County acknowledge that it may be necessary to dispose of real property that was
originally acquired or improved in whole or in part using Federal Funds. The City agrees that it shall
notify the County within thirty (30) days regarding any proposed modification or change in the use
of real property form that planned at the time of acquisition or improvement, including disposition.
The City acknowledges that federal regulations may require a public hearing or other process prior
to modifying, changing the use or disposing of such real property.
17. Indemnification. The County shall not assume any liability for the acts, omissions to act or
negligence of the City, its agent, servants, or employees; nor shall the City exclude liability for its
own acts, omissions to act, or negligence arising out of the City's performance pursuant to this
Agreement. The City shall indemnify and hold harmless the County and its officers, employees and
agents or instrumentalities ;rom any and all liabilities, losses or damages, agents or of any kind
nature arising out of, relating or resulting from performance of this Agreement by the Awardee
shall pay all claims and losses in connection therewith and shall investigate and defend all claims,
suits or actions of any kind of nature in the name of the County, where applicable, including
appellate proceedings, and shall pay all cost, judgments, and attorney's fees which may issue
thereon. The City expressly understands and agrees that any insurance protection required by this
agreement or otherwise provided by the Awardee shall in no way limit the responsibility to
indemnify, keep and save harmless and defend the County or its officers, employees, agents and
instrumentalities as herein provided. Nothing herein is indented to serve as a waiver of sovereign
immunity by the County nor shall anything herein be construed as consent by the County to be
sued by third parties in any matter arising out of this Agreement. The provisions of this section
survive the termination of expiration of this Agreement.
18. The County and City agree that neither the County nor the City shall sell, trade, or otherwise transfer
all or any such portion of the Federal Funds to another metropolitan city, urban county, unit of
general local government, or Indian tribe, or insular area that directly or indirectly receives CDBG
funds in exchange for any other funds, credits or non -Federal considerations, but must use such
funds for activities eligible under Title 1 of the Housing and Community Development Act of 1974,
as amended.
IN WITNESS THEREOF, the parties hereto have caused this five 5) page contract to be executed by their
undersigned officials as duly authorized, this la- day 0 023.
AWARDEE: MIAMI-DADE COUN
CITY OF SUNNY ISLES BEACH
BY: t BY:
—a'
NAME: Stan Morris
TITLE: City Manager
DATE: August 4, 2023
NAME: Mor6 S coyp_�CmA
TITLE: Chief Community Services Officer
DATE: 7O 2
APPROV AS TO FORM: ATTEST:
BY:
NAME: Melissa Gallo Juan Fernandez-Barquin
CLERK OF' HE C UR AND CO f TROLLER
BY:
TITLE: Assistant County Attorney UTY CLERK G0�1A
DATE: _ / c Olga Vdverde - e18183
coulm
Passed, Adopto and a roved this �� day of O-023
ATTEST, IY'1 ] L, &
BY:
lUlhftw &-TAMWQ—
Type or Print Name
City Clerk
�Cr OFSPNj4Y ISLES BEACH:
APPROVED S TO FORM:
BY.
'My Att-oThey
AGREEMENT IS NOT VALID UNTIL SIGNED BY ALL PARTIES
5
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y •y9�\Qr L.T
a
City of Sunny Isles Beach
18070 Collins Avenue
Sunny Isles Beach, Florida 33160
(305) 947-0606 City Hall
(305)949-3113 Fax
MEMORANDUM
TO: Honorable Mayor and City Commissioners
VIA: Stan Morris, City Manager
FROM: Ben Hogarth, Assistant to the Deputy City Manager
DATE: August 20, 2026
RE: Amending the Miami -Dade County Urban Qualification Cooperation
Agreement for Fiscal Years 2027-2029
RECOMMENDATION:
This item is presented for consideration by the City Commission.
REASONS:
The proposed resolution would amend an existing fiscal year 2024-2026 cooperation agreement
between Miami -Dade County and the City of Sunny Isles Beach to include the City in the County's
"Urban County" entitlement qualification through the United States Department of Housing and Urban
Development (H U D) for fiscal years 2027-2029.
While municipalities with populations greater than 50,000 persons may qualify unilaterally, all other
municipalities qualify under Miami -Dade County's Urban County designation and are entitled to
funding opportunities through the County once federal monies are awarded. Funding opportunities
include grants for longstanding programs like the Community Development Block Grant (CDBG), the
Home Investment Partnerships Program (HOME), and the Emergency Shelter Grant (ESG). The
resolution would also provide for one successive three-year renewal at the discretion of the County for
the 2030, 2031, and 2032 fiscal years.
FUNDING SOURCE:
No Funding is required for the approval of this item.
ATTACHMENTS:
Resolution
Item Number: 9.M
549
First Amendment - Miami -Dade County
Item Number: 9.M
550