Overview

SNAP funds available as of 3/12/10 = $1,106,192

Current Member Maximum = $90,000

FHLBank Dallas is pleased to announce the 2010 offering of its Special Needs Assistance Program (SNAP) for member financial institutions. SNAP provides grant funds for rehabilitation costs of eligible special needs homeowners.

The Bank has set aside $1,500,000 of its annual Affordable Housing Program (AHP) funds for SNAP. Funds will be available beginning Monday, January 4, and until the SNAP Funds have been exhausted or December 31, 2010, whichever occurs first. SNAP funds are disbursed on a first-come, first-served, homeowner-by-homeowner basis. The maximum SNAP award per household is $5,000, unless the member or another mortgage lender contributes at least $350 toward financial or other concessions in connection with the rehabilitation, in which case the maximum SNAP award per household is $7,000. No member may receive more than $60,000 for each $1,000,000 offered in each offering cycle.

Members interested in participating in SNAP must submit a one-time Enrollment Application and SNAP Agreement. Thereafter, members will be eligible to request SNAP funds during each annual offering cycle. To receive additional information, members should call the Community Investment Department at 800-362-2944.

Note: If by August 31, 75 percent of the SNAP funds for the year have not been disbursed to members, the Bank, at its discretion, may remove the member cap for the remainder of the year.

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Program Requirements 

• Households must have a family income of 80 percent or less of the median income for the area.
• Only special needs households are eligible. Please see Attachment A of the Affordable Housing Program Implementation Plan for the definition of “special needs”. The household will qualify if at least one household member meets the special needs definition. Please see the SNAP Funding Manual for acceptable documentation to evidence special needs.  
• SNAP funds may not be used in conjunction with any approved AHP or HELP grant.
• The member shall pass on the full amount of the SNAP funds as a grant for the benefit of the household for which the SNAP funds were approved, which must be documented in applicable documents related to the rehabilitation.
• Actual invoices or signed cost estimates are required evidencing the amount of SNAP funds requested. Verification of the completed rehabilitation work is required within 60 days of funding if a signed cost estimate was utilized to disburse the funds.
• The member, or its designee, will be responsible for ensuring that the SNAP-assisted unit is subject to a retention document, which retention document must be signed by the homeowner and must meet the requirements of Section 1291.9(a)(7) of the AHP regulations (located at 12 C.F.R. part 1291) and Attachment F of the Affordable Housing Program Implementation Plan.
• Homeowners may not receive any cash back.
• The Bank will grant up to $5,000 toward the rehabilitation. The Bank will grant up to $7,000 if a member or another lender contributes at least $350 toward financial or other concessions in connection with the rehabilitation. "Financial or other concessions" means payment by the member or another lender of rehabilitation costs, homeowner training or counseling costs or waiver or reduction of points or closing costs in conjunction with the rehabilitation.
• Subject to the following sentence, SNAP funds may be used to pay for inspection costs, financial counseling costs, or other homeownership training costs in an amount not exceeding the lesser of (i) $500 or (ii) 15% of the cost of the rehabilitation. The member must provide documentation sufficient to the Bank to evidence the household's participation in financial counseling or other homeownership training.
• The rate of interest, points, fees and any other charges for a loan made in conjunction with the SNAP subsidy must not exceed a reasonable market rate of interest, points, fees and other charges for a loan of similar maturity, terms and risk.

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Member Enrollment Application

In order for a member institution to enroll in the SNAP Program, the following application and agreement must be completed and signed by an authorized individual at your institution.

Member Enrollment Application
SNAP Subsidy Agreement

Funding Manual

The following funding manual can be viewed and printed using Adobe Acrobat Reader (if you do not have Acrobat Reader, you may download a free copy).

Please note: As of January 4, 2010, we have made changes to the SNAP Funding Manual. Changes have been made to Request for Disbursement of Funds, Deed Restriction, and Final Cost Certification. In addition, we have incorporated a new Sources and Uses of Funds document. Please utilize the new SNAP Funding Manual below.

2010 SNAP Funding Manual
Income Calculation Tool

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