§ 43. Homeless housing and assistance contracts. 1. Within the limits\nof funds available in the homeless housing and assistance fund, the\ncommissioner is hereby authorized to enter into contracts with\nmunicipalities to provide state financial assistance for the project\ncosts attributable to the establishment of homeless housing projects.\nThe municipalities that enter into contracts with the commissioner shall\nundertake the establishment of the homeless housing project or shall\ncontract with a not-for-profit corporation or charitable organization to\nundertake the project, pursuant to this article.\n 2. Subject to the approval of the director of the budget, the\ncommissioner is hereby authorized to enter into contracts with\nnot-for-profit corporations or subsidiaries thereof, public corporations\nor charitable organizations or subsidiaries thereof to provide state\nfinancial assistance for the project costs attributable to the\nestablishment of homeless projects.\n 3. The state financial assistance shall be in the form of grants,\nloans or loan guarantees, as the commissioner may determine provided,\nhowever, that financial assistance to a for-profit subsidiary of a\nnot-for-profit corporation or of a charitable organization must be in\nthe form of a loan or loan guarantee. Any loan to a for-profit\nsubsidiary shall be repaid under such terms as will protect the\nfinancial viability of the project. Subject to the approval of the\ndivision of the budget, the commissioner may contract with other state\nagencies, public benefit corporation's or private institutions to\nadminister a loan or loan guarantee program pursuant to regulations to\nbe promulgated by the commissioner.\n 4. The commissioner shall require that, in order to receive funds\npursuant to this article, the municipality, not-for-profit corporation\nor subsidiary thereof, public corporation or charitable organization or\nsubsidiary thereof must submit an operating plan. Such plan shall\ninclude:\n (a) the manner in which the operating expenses of the project shall be\nmet;\n (b) the services that will be provided to homeless persons, including\nprocedures for intake, referral and outreach;\n (c) the responsibilities of the municipality and social services\ndistrict for the operation of the project;\n (d) the specific population that will be served by the project and how\nthe project will address the population's special needs;\n (e) the category of facility proposed to be established; and\n (f) evidence demonstrating that such project complies or will comply\nwith existing local, state and federal laws and regulations.\n 5. The commissioner may use up to one percent of the appropriation for\nany fiscal year to pay for technical assistance in support of project\ndevelopment and operation. Technical assistance may include assistance\nwith general project development and operation, support services\ndevelopment, architecture and engineering, legal services and financial\nservices and may be provided by individuals and not-for-profit or\nbusiness corporations. The providers of technical assistance shall be\nchosen by the department based on such information as the department\nshall require in a request for proposals or in any other competitive\nprocess which satisfies the provisions of the state finance law.\n 6. Prior to entering into a contract for the establishment and\noperation of a homeless project pursuant to this section, the\ncommissioner shall determine that the not-for-profit corporation or\nsubsidiary thereof, public corporation or charitable organization or\nsubsidiary thereof that proposes to undertake the homeless project is a\nbona fide organization which shall have demonstrated by its past and\ncurrent activities that it has the ability to maintain, manage or\noperate homeless projects, that the organization is financially\nresponsible, that the proposed project is financially viable and that\nthe project plan has been determined t
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