Home Improvement Program

Pre-screening Prioritization Tool

The Home Improvement Program will assess and prioritize program interest using the Pre-screening Tool outlined below. Expressions of interest will be prioritized based on the work needing to be addressed by the property owner. Interested property owners and/or renters should fill out the interest form stating the specific repairs their property needs.


Building Code
Repairs needed to address condition(s) that have been identified as issues by ISD (Inspectional Services Department). 

Lead Paint Hazards 
This category will be utilized in the review of applications for units in which at least one of several circumstances apply:

1. a child under age 6 resides in the unit; 
2. a child or children spend at least three (3) hours a day on two separate days a week and a total of 60 hours per year in the unit
3. a household member is pregnant or expecting to give birth;
4. a child residing in the unit has an elevated or poisoned blood lead level, a child in the has been referred to this program from CLPPP (Childhood Lead Poisoning Prevention Program), DPH (Department of Public Health,) other agency, or by a physician.

Health and Safety 
Information below gives examples of repairs or replacement items that may fall under this category. The list is only partial and again is meant to offer examples of this type of work. This category should be selected if the repair or replacement items involve the safety of the property’s occupants or residents’ health. Examples may include but are not limited to:

• Repair or replace stairs, railings, or porches due to poor conditions; 
• Roof repair/replacement due to missing/damaged shingles or leaking roof; 
• Window Replacement due to broken panes and or air leaks; 
• Sewer repair and replacement work.
   

Work to support aging-in-place of existing occupant(s)

Heating System conversion (fossil fuel to electric)

Heating System replacement (same fuel source as existing)

Energy Efficiency work other than heat system replacement
 

Program Eligibility

In most buildings of up to seven units, 51% of the units must be occupied by low-to-moderate income households with income up to 80% of the Area Median Income (AMI). In two-unit buildings, only one unit (50% of the total) must be occupied by a low-to-moderate-income household. Income eligibility is determined according to HUD regulations identified in the Code of Federal Regulations at 24 CFR, Part 5.

Participating owners must complete a MassSave home energy assessment if one has not been completed within the past two years of program participation. Owners may schedule the MassSave Energy Assessment upon application submission or request a call from a MassSave representative using the following link https://form.jotform.com/62933784792168.

The property owner is required to provide program staff with a Certificate of Good Standing from the City of Somerville’s Treasury Department.

Property owners cannot have had any bankruptcies/foreclosure notices that are not discharged during the application or the home repair construction process.

Any unit receiving CDBG Home Improvement Program loan funds must comply with 24 CFR Part 35 Subpart J regarding lead paint abatement. This regulation requires that units receiving funds be tested for lead paint hazards and that the scope of improvements includes any repairs to bring the property into compliance with applicable lead paint laws. To access further information on this requirement, please use the following link https://www.ecfr.gov/current/title-24/subtitle-A/part-35/subpart-J.

Information for Contractors

All contractors must hold a Massachusetts Construction Supervisor License and be registered as a Home Improvement Contractor (HIC) with the Commonwealth. Workers’ Compensation insurance, liability insurance, and an active registration with SAM.gov are also requirements for program participation.

Contractors must be eligible to receive federal funds. All contractors must sign a certificate to certify they are not on HUD’s registry of disbarred contractors/vendors and must also carry and provide documentation of minimum insurance requirements. Minimum insurance requirements are $1,000,000 in general liability insurance and $1,000,000 in worker’s compensation, including coverage of at least $100,000 per employee with a policy limit of $1,000,000.

Contractors must inform OSPCD’s Home Improvement Program staff of any intention to use subcontractors for the purpose of executing part of a project’s scope of work. Conduct and performance of any subcontractor(s) is the responsibility of the General Contractor.

The OSPCD Home Improvement Program will provide financing in an amount equal to the cost of the lowest acceptable bid.

The contractor shall be responsible for obtaining the necessary permits to perform the work and display them as required by the City of Somerville’s Inspectional Services Department (ISD). Program Staff will routinely inspect the progress of work, and payments will be issued as work is completed and inspected relative to the agreed-upon payment schedule for the specific project. 

If you are a contractor interested in providing services for the program and being included on the Home Improvement Program’s list of approved contractors, please complete and submit the application through the link provided below:

• Application for contractors interested in providing services for the program 
  
  

Financial Assistance Terms

The balance of any loan is due upon sale, transfer, or “cash-out” refinancing of the property.

The loan will be secured with a mortgage recorded at the Middlesex South Registry of Deeds. Participants are responsible for recording fees, estimated at $205.00, with additional fees possible.

All rental units in a property receiving a Home Improvement Program loan must be rented at or below affordable rents for the life of the loan. Should a unit participating in the program be rented above the Fair Market Rent (FMR), the monthly amount charged must be reduced to the then-current FMR set by HUD. During the period of affordability, rent for a unit can be increased at most annually, and such a rent increase cannot exceed the current Annual Adjustment Factor set by HUD. Upon tenant turnover for properties participating in the program and that have rents below FMR, an owner may increase the rent to the next highest applicable tier. Property owners must comply with the affordable rents for the duration of the affordability periods that corresponds to the program areas shown in the table below: