The Department of Local Affairs’ Division of Housing is deeply committed to executing contracts in a timely manner, in support of our mission as well as applicants’ projects in getting affordable housing to the citizen’s of Colorado. Internally, we’re working to develop clear agency-wide metrics to track and measure our efficiencies and effectiveness. We are however also reliant on you, as our partners, to commit to consistent timely turnaround times to ensure we can execute contract language in support of our goal to build more housing now.
The general templates provided are intended to allow applicants to see the contractual language before the specific project drafts are provided. The project’s contract specialist will be able to answer any questions at the time of the kickoff call.
Project-specific drafts are provided within 14 days of the kickoff call. In order to ensure timely review, the Division of Housing requests comments on project-specific drafts be limited to Exhibit B and Exhibit F. In the case of a loan agreement, there are times when the other lenders may request some minor changes to Exhibits G, H, and I. If an applicant provides substantive or substantial comments on any other sections of the project-specific drafts, other than to correct factual matters, and/or provides comments back on the first project-specific drafts after 21 days, the timeliness of executing a contract before the award letter expires may be jeopardized.
90-Day Contracting Process Timeline
The 90-Day Contracting Process Timeline above is broken into two categories: Days 1-60 and Days 61-90. The following information is conveyed in the image above.
Days 1 to 60
- The Division of Housing (DOH) confirms documentation is complete, hands off to applicant, and schedules kickoff within 7 days
- DOH and the applicant have a joint kickoff call
- DOH contract specialist contacts applicant with questions and sends initial agreement draft, which includes details from kickoff, within 14 days
- Applicant reviews initial draft and returns to DOH within 21 days. Brief, simple, common, and non-substantive comments will see faster turnaround throughout the process. Substantial comments will likely result in the applicant not meeting the award letter timing
- DOH incorporates revisions and sends second draft to applicant within 7 days. This review is intended just to capture errors. Substantial comments will likely result in not meeting the timeline
- Applicant reviews updated draft and returns to DOH within 7 days. Substantial comments will likely result in not meeting the timing
- DOH contract specialist finalizes and provides documents for state review within 7 days
Days 61 to 90
- DOH conducts internal reviews for program, procurement, and accounting and may contact applicant about outstanding award letter conditions. Sends final draft to applicant within 10 days
- Applicant signs all documents and routes subordination agreements to other lenders for signature. Returns to DOH within 10 days. Grants are uploaded to DocuSign and circulated for electronic signature. Loans are printed by the borrower and other lenders, signed, and returned to DOH. DOH must sign last and can’t sign pages to be held in escrow at a title company
- DOH routes documents for signature within 7 days. Agreement executed
- DOH routes final documents to applicant or title for recording