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Emergency Shelter Grants (ESG) Program
I .
Emergency Shelter Grants (ESG)
Program
Grants to support homelessness prevention, emergency
shelter, and related services.
Nature of Program: Provides grants by formula to States,
metropolitan cities, urban counties and U.S. territories for
eligible activities, generally including essential services
related to emergency shelter, rehabilitation and conversion
of buildings to be used as emergency shelters, operation of
emergency shelters, and homelessness prevention
services.
Applicant Eligibility* States, District of Columbia, Puerto
Rico, metropolitan cities, urban counties, and U.S.
territories are eligible. Metropolitan cities and urban
counties are eligible if, after applying the formula, their
allocation is greater than 0.05 percent of the funds
appropriated.
Funding Distribution, After setting aside a small amount
for allocation to the territories, HUD allocates the fiscal
year appropriation for ESG to eligible recipients in
accordance with the percentage of CDBG funding each
jurisdiction was allocated for the previous fiscal ,year.
However, where the ESG allocation for a metropolitan city
,or urban county would be less than .5 percent of the total
fiscal year appropriation for ESG, HUD adds that
jurisdiction's allocation to the allocation for the State in
which the jurisdiction is located.
Legal Authority: Subtitle B of Title IV of the McKinney-
Vento Homeless Assistance Act (42 U.S.C. 11371-11378).
Regulations are at 24 CFR part 576.
Note: The Act to Prevent Mortgage Foreclosures and
Enhance Mortgage Credit Availability Act was signed into
law on May 20, 2009 (Public Law 111-22). Division B of
this new law isthe Homeless Emergency Assistance and
Rapid Transition to Housing Act of 2009 (HEARTH Act). The
HEARTH Act amends Subtitle B of Title IV of the Mcl(inney-
littp:Hporfal.hud.gov/hudportal/HUD?srcm/hLidprograms/esg 1/2
11/21/2014 Emergency Shelter Grants (ESG) Program
Vento Homeless Assistance Act (42 U.S.C. 11371-1.1378)
to rename the program the Emergency Solutions Grants
program, expand the range of eligible activities under the
program, and add or change certain program
requirements. HUD is now in the process of revising the
regulations at 24 CFR part 576 to implement these changes
and make other refinements to the program.
Administering Office: Office of Special Needs Assistance
Programs (SNAPS) in the Office of Community Planning and
Development, Assistant Secretary for Community Planning
and Development, U.S. Department of Housing and Urban
Development, Washington, DC 20410-7000.
Information Sources: Administering office and local HUD
field offices. On the Web
Current Status: Active,
Table of Contents
http://poi-tal.hud.gov/hudpoi,tal/HUD?sro=/hudprogrems/esg 212
AUTHENTIGATEb
U.S. OOVCRNMCNT
INPORMl:fION
OPO
Ofc. of Asst. Secy,, Comm. Planning, Develop„ HUD
result of privately undertaken rehabili-
tation, demolition, or acquisition of
the real property, the term "initiation
of negotiations" means the execution
of the agreement between the grantee
and the project sponsor,
§574.635 Lead-based paint,
The Lead -Based Paint Poisoning Pre-
vention Act (42 U.S.C. 4821--4846), the
Residential Lead -Based Paint Hazard
Reduction Act of 1992 (42 U.S,C. 4851-
4856), and implementing regulations at
part 35, subparts A, B, H, J, X, M, and
R of this part apply to activities under
this program.
[64 FR 50226, Sept. 16, 19991
§574,640 Flood insurance protection,
No property to be assisted under this
part may be located in an area that has
been identified by the Federal Emer-
gency ivianagement Agency (FEMA) as
having Special flood hazards, unless:
(a)(1) The community in which the
area is situated is participating in the
National Flood Insurance Program and
the regulations thereunder (44 CFR
parts 59 through 79); or
(2) Less than a year has passed since
FEMA notification regarding such haz-
ards; and
(b) The grantee will ensure that flood
insurance on the structure is obtained
in compliance with section 102(a) of the
Flood Minster Protection Act of 1973
(42 U,S.C. 4001 et seq.),
§ 574.645 Coastal barriers.
In accordance with the Coastal Bar-
rier Resources Act, 16 U.S.C. 3501, no fi-
nancial assistance under this part may
be made available within the Coastal
Barrier Resources System.
§ 574.650 Audit,
The financial management system
used by a State or unit of general local
government that is a grantee must pro-
vide for audits in accordance with 24
CFR part 44. A nonprofit organization
that is a grantee or a project sponsor is
subject to the audit requirements set
forth in 24 CFR part 45.
§ 574.655 Wage rates.
The provisions of the Davis -Bacon
Act (40 U,S,C, 276a-276ar5) do not apply
Pt. 576
to this program, except where funds re-
ceived under this part are combined
with funds frons. other: Federal pro-
grams that are subject to the Act,
[59 FF. 17201, Apr, 11, 19941
PART 576—EMERGENCY
SOLUTIONS GRANTS PROGRAM
Subpart A --General Provisions
Seo.
576.1 Applicability and purpose.
576,2 Definitions.
576.3 Allocation of funding.
Subpart B—Program Components and
Eligible Activities
576.100 General provisions and expenditure
limits.
576,101 Street outreach component,
576,102 Emergency shelter component.
576,103 Homelessness prevention compo -
neat.
576.104 aapid re -housing assistance compo-
nent.
576,105 Housing relocation and stabilization
services.
576,106 Short term and medium-term rental
assistance.
576,107 HMIS component.
576.108 Administrative activlties.
576.109 Indirect costs.
Subpart C —Award and Use of f=unds
576,200 Submission requirements and grant
approval.
576,201 Matching requirement.
576.202 Means of carrying out grant activi-
ties,
576.203 Obligation, expenditure, and pay -
Mont requirements.
Subpart D --,Reallocations
576,300 In general.
676.301 Metropolitan cities and urban ooun
ties.
676.302 States,
676.303 Territories.
576.304 Alternative method,
Subpart E --Program Requirements .
576.400
Area -wide systems coordination re-
quirements,
576.401
Evaluation of program participant
eligibility and needs.
576,402
'Terminating assistance,
576.403
Shelter and housing standards,
576.404
Conflicts of interest.
676,405
Homeless participation.
576.406
Faith -based activities,
576.107
Other Federal requirements,
217
§576J
576.408 Displacement, rolooation, and acqui-
sition,
Subpart F—Grant Administration
576,500 Recordkeeping and reporting re-
quirements,
576.501 Enforoernent.
A,aTHORITY: 42 U.S.C. 11371 et seg., 42 U.S.C.
3535(d),
Souncs 76 FR 75974, Dec. 5, 2011, unless
otherwise noted,
Subpart A—General Provisions
§576.1 Applicability and purpose.
This part implements the Emergency
Solutions Grants (ESG) program au-
thorized by subtitle B of title IV of the
McI{inney-Vento Homeless Assistance
Act (42 U.S.C, 11371-11378). The program
authorizes the Department of Housing
and Urban Development (HUD) to
snake grants to States, units of general
purpose local government, and terri-
tories for the rehabilitation or conver-
sion of buildings for use as emergency
shelter for the homeless, for the pay-
ment of certain expenses related to op-
erating emergency shelters, for essen-
tial services related to emergency shel-
ters and street outroach for the hone-
less, and for homelessness prevention
and rapid re -housing assistance.
§ 576.2 Definitions.
At risk of lioinetesvwss means: (1) An
individual or family who:
(i) Has an annual income below 30
percent of median fancily income for
the area, as determined by HUD;
(ii) Does not have sufficient resources
or support networks, e.g., family,
friends, faith -based or other social net-
works, immediately available to pre-
vent them from moving to an emer-
gency shelter or another place de-
scribed in paragraph (1) of the "home-
less" definition in this section; and
(iii) Meets one of the following condi-
tions:
(A) Has moved because of economic
reasons two or more times during the
60 days immediately preceding the ap-
plication for homelessness prevention
assistance;
(13) Is living in the home of another
because of economic hardship;
(C) Has been notified in writing that
their right to occupy their current
24 CFR Ch. V (4-1-72 Edition)
housing or living situation will be ter-
minated within 21 days after the date
of application for assistance;
(D) Lives in a hotel or motel and the
cost of the hotel or motel. stay is not
paid by charitable organizations or by
Federal, State, or local governmont
programs for low-income individuals;
(E) Lives in a single -room occupancy
or efficiency apartment unit in which
there reside more than two persons or
lives in a larger housing unit in which
there reside more than 1,5 persons re-
side per room, as defined by the U.S.
Census Bureau;
(F) Is exiting a publicly funded insti-
tution, or system of care (such as a
health-care facility, a mental ,health
facility, foster care or other youth fa-
cility, or Correction program or insti-
tution); or
(G) otherwise lives in housing that
has characteristics associated with in-
stability and an increased risk of
homelessness, as identified in the re-
cipient's approved consolidated plan;
(2) A child or youth who does not
qualify as "homeless" under this sec-
tion, but qualifies as "homeless" under
section 387(3) of the Runaway and
homeless Youth Act (42 U.S.C.
5732x(3)), section 687(11) of the Head
Start Act (42 U.S.C. 9832(11)), section
41408(6) of the 'Violence Against Women
Act of 1994 (42 U.S.C. 14043e-2(6)), see -
tion 330(h)(5)(A) of the Public Health
Service Act (42 U.S.C. 254b(h)(5)(A)),
section 3(rn) of the Food and Nutrition
Act of 2008 (7 U.S.C. 2012(m)), or section
17(b)(15) of the Child Nutrition Act of
1966 (42 U.S.C. 1786(b)(15)); or
(3) A child or youth who does not
qualify as "homeless" under this sec-
tion, but qualifies as "homeless" under
section 725(2) of the McKinnoy-Vonto
Homeless Assistance Act (42 U,S.C.
11434x(2)), and the parent(s) or guard-
ian(s) of that child or youth if living
with her or him.
Consolidated plan means a plan pre-
pared in accordance with 24 CFR part
91. An approved consolidated plan means
a consolidated plan that has been a,p
proved by HUD in accordance with 24
CFR part 91.
Continuunn of Care means the group
composed of representatives of rel-
evant organizations, which generally
includes nonprofit homeless providers;
218