Full Statement of Activities
Habitat for Humanity in Whatcom County is applying for funding from the United States Department of Agriculture. The funding would go towards home repairs for low-income families in rural areas of Whatcom County, and would help Habitat make those repairs affordable for low-income homeowners.
Applicants for HPG assistance would first submit a preliminary interest form outlining the applicants contact information, general household information and details regarding the repair work requested. Upon receipt of the interest form Habitat staff review the application to verify that the applicant lives in Whatcom County, is the homeowner of the residence, has an income that is within program guidelines and to pass a background check. Applications are then reviewed by the construction manager to determine if the scope of work requested is work that the team can complete in a timely manner.
Applicants who meet these basic requirements are then requested to complete a long form application which includes complete financial information and the submission of a credit report. Habitat staff review this information to complete the underwriting necessary to offer an affordable Habitat loan to the client if needed. Applications are then re-reviewed by the construction manager and a site visit is performed at this time and, if any of the work is to be done inside the home, then the entire home is assessed to ensure that it can be brought up to safe, decent & livable standards.
A complete scope of work is presented to the applicant which outlines the work to be performed, the timeframe to complete the work, the proposed cost to the applicant and the sweat equity hours requirement to be completed by the household. At this time the applicant has the choice to agree to the scope of work and to sign an agreement with Habitat to start the work.
If a Habitat loan is required by the applicant to pay for the repair work, then the details of the loan are also finalized and a promissory note signed.
The location of the property will determine the process Habitat Whatcom uses to identify potential environmental/historical impacts. We will cross reference with FEMA flood maps and county wetland maps to determine if the property would require mitigation for either, we will also ask the local permitting agency if there are any environmental/historical concerns with the property as part of the vetting process.
Habitat Whatcom will repair homes to bring them up to standard, and increase the building’s performance in the areas of the building to be rehabilitated. Projects must meet local building codes, Habitat Whatcom’s home repair and home rehab checklist, and local energy code prior to completion.
If awarded the grant, projects will be completed within one year.
Habitat will require a full-time Construction Manager, and 10 hours of administrative assistance weekly. Volunteer labor will help in keeping the projects affordable.
This program anticipates that the HPG grant funds will assist 15-20 low-income Whatcom County homeowners. This estimate assumes an average project cost of $5,000/home.
All Whatcom residents living outside of Bellingham live in a rural area, and could be impacted by this grant.
QuickBooks online is used as the accounting system used by Habitat for Humanity in Whatcom County. Projects are established within QuickBooks to track income and expenses for each project. If a promissory note is required as payment to a project then the payments to said promissory note are also tracked through QuickBooks as well as through a loan servicing program contracted by Habitat.
The program’s effectiveness will be determined by the number of clients served, and number of homes brought up to livable standards (as outlined above). Detailed quarterly reports will be submitted to USDA.
Habitat for Humanity in Whatcom County utilizes volunteer labor and gift-in-kind donations or materials and services to keep the costs of all repair projects affordable to the applicant. At this time Habitat financial income from sources such as fundraising, grants, Habitat Store income and mortgage repayment income provide the capital necessary to fund repair projects. These sources also provide funds for the construction of housing development projects, helping to keep construction loans to a minimum. Construction loans taken by Habitat are paid back in full at the end of each project from home sales and or public assistance in the form of down payment or land purchase grants.
Income received from the USDA HPG program will be used to fund material & labor costs associated with the Habitat for Humanity in Whatcom County Home Repair program. Additionally, the grant will allow Habitat to discount repair projects as needed* to ensure that each applicant’s financial responsibility and final promissory note repayment remains at no more than 35% of their total housing costs.
In the event of loss of legal status, Habitat Whatcom would follow any guidance or requirements provided by regulatory federal agencies governing lending in consultation with legal counsel.
Our outreach plan for potential clients includes, but is not limited to, mail outs, flyers, press releases, and articles in local area newspapers, as well as outreach to churches, schools, tribes, businesses and other nonprofit organizations.