Bullet Points to Guidelines

FY 2020 Non-City Capital Projects

Please note:
These bullet points are only a summary and do not purport to be complete. Reference is made to the “Guidelines for Capital Funding Requests for Not-for-Profit Organizations Fiscal Year 2020” for more detailed information about City capital grants.

  • A Capital Funding Request Form for not-for-profit organizations must be submitted for projects that are (i) on property that is not owned or leased by the City or (ii) owned by the City but are leased to the not-for-profit seeking to enter into a funding agreement or any other contract with the City to receive funds to improve the property (in which case, approval from the City agency that acts as landlord is required and all improvements must comply with the terms of the City lease).

  • The recipient organization must be a not-for-profit registered to do business in New York State with a demonstrated history of operating services and programs that are consistent with the Project’s defined City Purpose.

  • Once a Project has received an appropriation, the recipient organization may not change the Project to a different location or type of work without submission of a new Form during the application process for the following fiscal year and a re-appropriation of funds for the new purpose.

  • The recipient organization must be a not-for-profit.

  • The recipient organization must have one or more City operating contracts. For construction Projects, the contract must be for at least three consecutive fiscal years including the current fiscal year (2019), and have a minimum annual dollar amount of $50,000. (This requirement does not apply to Cultural Projects.)

  • For Moveable Property Projects, the recipient must have a City operating contract in the City fiscal year 2019 in an amount of $25,000. This requirement does not apply to equipment purchases for hospital/clinics. (This requirement does not apply to Cultural Projects.)

  • Projects must be for a capital asset under GAAP and City rules.

  • No funding may be made available for a Project expected to be used by the recipient for less than five years.

  • The recipient organization must agree to a lien (restrictive covenant or security agreement) in a senior position on the property for its entire useful life.

  • Projects involving land or buildings must have a minimum City contribution of at least $500,000.

  • For Moveable Property Projects, each item must cost at least $35,000, unless it is for Initial Outfitting of new space.

  • For Projects involving Moveable Property that has a minor degree of attachment to real property, the Project must have a minimum City contribution of at least $250,000.

  • The City contribution may not exceed 90% of the portion of a real property Project up to $2 million and 50% of the portion in excess thereof. Furthermore, the City may pay a maximum of 50% of real property Project costs once City appropriations at the same address for the same exceed $2 million in aggregate (excluding separate and distinct projects that have been fully completed and funding closed out). (This requirement does not apply to Cultural Projects.)

  • The lesser of 50% or $1 million of the non-City funds for the project must be in hand at the time of the application for City funding from cash; pledged funds or commitment letters from lenders willing to accept a subordinate position (with cash in hand before any City funds are distributed). (Does not apply to Cultural Projects)

  • The City may fund 100% of equipment projects.

  • For Projects involving real property (such as construction, reconstruction, or acquisition), the property must be used and owned by the recipient organization (i.e. not rented) except for:

    • Cultural Projects

    • Governmental Property

    • Property rented from an affiliate of the recipient organization provided that certain criteria described in the Guidelines are met

    • For Senior Centers, this requirement may be waived when certain criteria described in the Guidelines are met

  • No organization may receive a City rent subsidy for space that has been acquired or improved with City capital funds.

  • City capital funds may not be used for administrative use (e.g., back office, executive or support service space or use), unless the funds are for an integrated building used both for Front Line Services and administrative uses. City capital funds may only be applied to buildings (or condominium units) in which a majority of space used by the funding recipient is for Front Line Services for a majority of the time that such space is used. Therefore, the City may pay for any acquisition, construction, reconstruction or equipment in a building that is used primarily for Front Line Services, even if the capital work being carried out, or the equipment being purchased, is in a portion of the building that is not in itself dedicated to Front Line Services. Front Line Services are services that are rendered directly to the public through physical public access or through telephonic communication (such as a hotline). (Does not apply to Cultural Projects or electronic medical records projects)

  • The recipient organization must demonstrate an operating budget to support the Project on an ongoing basis.

  • The recipient organization must have current, paid full-time staff.

  • The recipient organization must provide three years of audited financials.

  • City funded costs will be subject to a 2.5% City administrative fee.

  • Real property Project costs must have a 15% contingency built in.

  • The City will reimburse only for eligible costs incurred after the date of the City appropriation.

  • No funding for private elementary or secondary schools, except where 100% of the students are students with disabilities whose tuition is covered by the City (may not be located in a building with another school).

  • The City will not fund recipient organizations that have not complied with requirements of prior City agreements. Such non-compliance may be cured.