[Federal Register Volume 61, Number 41 (Thursday, February 29, 1996)]
[Rules and Regulations]
[Pages 7962-7964]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-4678]
[[Page 7961]]
_______________________________________________________________________
Part VIII
Department of Housing and Urban Development
_______________________________________________________________________
Office of the Assistant Secretary for Community Planning and
Development
_______________________________________________________________________
24 CFR Part 574
Regulatory Reinvention: Streamlining the Housing Opportunities for
Persons With AIDS Program; Final Rule
Federal Register / Vol. 61, No. 41 / Thursday, February 29, 1996 /
Rules and Regulations
[[Page 7962]]
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
Office of the Assistant Secretary for Community Planning and
Development
24 CFR Part 574
[Docket No. FR-4030-F-01]
RIN 2506-AB78
Regulatory Reinvention: Streamlining the Housing Opportunities
for Persons With AIDS Program
AGENCY: Office of the Assistant Secretary for Community Planning and
Development, HUD.
ACTION: Final rule.
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SUMMARY: This final rule amends HUD's regulations for the Housing
Opportunities for Persons With AIDS (HOPWA) program. In an effort to
comply with the President's regulatory reform initiatives, this rule
will streamline the HOPWA regulations by eliminating provisions that
are duplicative of statutes or are otherwise unnecessary. This final
rule will make the regulations more concise.
EFFECTIVE DATE: April 1, 1996.
FOR FURTHER INFORMATION CONTACT: Fred Karnas, Jr., Director, Office of
HIV/AIDS Housing, Room 7154, Department of Housing and Urban
Development, 451 Seventh Street, SW, Washington, DC 20410, telephone
number (202) 708-1934 (this is not a toll-free number). A
telecommunications device for hearing- and speech-impaired persons
(TDD) is available at 1-800-877-8339 (Federal Information Relay
Service).
SUPPLEMENTARY INFORMATION: On March 4, 1995, President Clinton issued a
memorandum to all Federal departments and agencies regarding regulatory
reinvention. In response to this memorandum, the Department of Housing
and Urban Development conducted a page-by-page review of its
regulations to determine which can be eliminated, consolidated, or
otherwise improved. HUD has determined that the regulations for the
HOPWA Program can be improved and streamlined by eliminating
unnecessary provisions.
Several provisions in the regulations repeat statutory language
from the AIDS Housing Opportunity Act (42 U.S.C. 12901). It is
unnecessary to maintain statutory requirements in the Code of Federal
Regulations (CFR), since those requirements are otherwise fully
accessible and binding. Furthermore, if regulations contain statutory
language, HUD must amend the regulations whenever Congress amends the
statute. Therefore, this final rule removes repetitious statutory
language and replaces it with a citation to the specific statutory
section for easy reference.
Similarly, the environmental review procedures section
(Sec. 574.510) contains language that repeats requirements that are
stated in 24 CFR 50.3. Therefore, that section is being revised to
remove the repetitive language and substitute a cross-reference to the
applicable provision in that existing rule. Removal of this language
does not alter the procedures to be followed.
In addition, some provisions in the regulations are not regulatory
requirements. For example, several sections in the regulations contain
nonbinding guidance or explanations. While this information is very
helpful to recipients, HUD will more appropriately provide this
information through handbook guidance or other materials rather than
maintain it in the CFR.
Lastly, two changes are being made to rectify an oversight when the
part was recently revised as part of a larger rulemaking (see 61 FR
5198, February 9, 1996). The waiver provision (Sec. 574.4) is removed,
since Departmental waivers were consolidated at 24 CFR part 5. The
section dealing with nondiscrimination (Sec. 574.603) is being revised
to reinsert language limiting the application of the provision to
persons who are otherwise eligible for the program, i.e., persons who
have AIDS or related diseases and their families.
Justification for Final Rulemaking
HUD generally publishes a rule for public comment before issuing a
rule for effect, in accordance with its own regulations on rulemaking
in 24 CFR part 10. However, part 10 provides for exceptions to the
general rule if the agency finds good cause to omit advance notice and
public participation. The good cause requirement is satisfied when
prior public procedure is ``impracticable, unnecessary, or contrary to
the public interest'' (24 CFR 10.1). HUD finds that good cause exists
to publish this rule for effect without first soliciting public
comment. This rule merely removes unnecessary regulatory provisions and
does not establish or affect substantive policy. Therefore, prior
public comment is unnecessary.
Other Matters
Regulatory Flexibility Act
The Secretary, in accordance with the Regulatory Flexibility Act (5
U.S.C. 605(b)), has reviewed and approved this final rule, and in so
doing certifies that this rule will not have a significant economic
impact on a substantial number of small entities. This rule merely
streamlines regulations by removing unnecessary provisions. The rule
will have no adverse or disproportionate economic impact on small
businesses.
Environmental Impact
This rulemaking does not have an environmental impact. This
rulemaking simply amends an existing regulation by consolidating and
streamlining provisions. It does not change the environmental review
procedures or the physical impact of the program or the projects
assisted under the regulations being amended. A Finding of No
Significant Impact with respect to the environment was made in
accordance with HUD regulations in 24 CFR part 50 that implement
section 102(2)(C) of the National Environmental Policy Act of 1969 (42
U.S.C. 4332) at the time of development of regulations implementing the
HOPWA program. That finding remains applicable to this rule and is
available for public inspection between 7:30 a.m. and 5:30 p.m.
weekdays in the Office of the Rules Docket Clerk, Office of General
Counsel, Room 10276, Department of Housing and Urban Development, 451
Seventh Street, SW, Washington, DC.
Executive Order 12612, Federalism
The General Counsel, as the Designated Official under section 6(a)
of Executive Order 12612, Federalism, has determined that this rule
will not have substantial direct effects on States or their political
subdivisions, or the relationship between the Federal government and
the States, or on the distribution of power and responsibilities among
the various levels of government. No programmatic or policy changes
will result from this rule that would affect the relationship between
the Federal Government and State and local governments.
Executive Order 12606, The Family
The General Counsel, as the Designated Official under Executive
Order 12606, The Family, has determined that this rule will not have
the potential for significant impact on family formation, maintenance,
or general well-being, and thus is not subject to review under the
Order. No significant change in existing HUD policies or programs will
result from promulgation of this rule.
List of Subjects in 24 CFR Part 574
AIDS, Community facilities, Disabled, Emergency shelter, Grant
programs--health programs, Grant programs--housing and community
development,
[[Page 7963]]
Grant programs--social programs, Homeless, Housing, Low and moderate
income housing, Nonprofit organizations, Rent subsidies, Reporting and
recordkeeping requirements, Technical assistance.
Accordingly, part 574 of title 24 of the Code of Federal
Regulations is amended, as follows:
PART 574--HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS
1. The authority citation for part 574 continues to read as
follows:
Authority: 42 U.S.C. 3535(d) and 12901-12912.
Sec. 574.1 [Removed]
2. Section 574.1 is removed.
Sec. 574.2 [Removed]
3. Section 574.2 is removed.
4. In Sec. 574.3, the definitions for ``City'', ``Low-income
individual'', ``Metropolitan statistical area'', ``Project sponsor'',
and ``State'' are revised to read as follows:
Sec. 574.3 Definitions.
* * * * *
City has the meaning given it in section 102(a) of the Housing and
Community Development Act of 1974 (42 U.S.C. 5302).
* * * * *
Low-income individual has the meaning given it in section 853(3) of
the AIDS Housing Opportunity Act (42 U.S.C. 12902).
Metropolitan statistical area has the meaning given it in section
853(5) of the AIDS Housing Opportunity Act (42.U.S.C. 12902).
* * * * *
Project sponsor means any nonprofit organization or governmental
housing agency that receives funds under a contract with the grantee to
carry out eligible activities under this part. The selection of project
sponsors is not subject to the procurement requirements of 24 CFR
85.36.
* * * * *
State has the meaning given it in section 853(9) of the AIDS
Housing Opportunity Act (42 U.S.C. 12902).
* * * * *
Sec. 574.4 [Removed]
5. Section 574.4 is removed.
6. Section 574.110 is added, to read as follows:
Sec. 574.110 Overview of formula allocations.
The formula grants are awarded upon submission and approval of a
consolidated plan, pursuant to 24 CFR part 91, that covers the
assistance to be provided under this part. Certain states and cities
that are the most populous unit of general local government in eligible
metropolitan statistical areas will receive formula allocations based
on their State or metropolitan population and proportionate number of
cases of persons with AIDS. They will receive funds under this part
(providing they comply with 24 CFR part 91) for eligible activities
that address the housing needs of persons with AIDS or related diseases
and their families (see Sec. 574.130(b)).
Sec. 574.150 [Removed]
7. Section 574.150 is removed.
8. Section 574.200 is amended by adding paragraphs (c) and (d), to
read as follows:
Sec. 574.200 Amounts available for competitive grants.
* * * * *
(c) The competitive grants are awarded based on applications, as
described in subpart C of this part, submitted in response to a Notice
of Funding Availability published in the Federal Register. All States
and units of general local government and nonprofit organizations are
eligible to apply for competitive grants to fund projects of national
significance. Only those States and units of general local government
that do not qualify for formula allocations are eligible to apply for
competitive grants to fund other projects.
(d) If HUD makes a procedural error in a funding competition that,
when corrected, would warrant funding of an otherwise eligible
application, HUD will select that application for potential funding
when sufficient funds become available.
Sec. 574.230 [Removed]
9. Section 574.230 is removed.
10. Section 574.240 is revised to read as follows:
Sec. 574.240 Application requirements.
Applications must comply with the provisions of the Department's
Notice of Funding Availability (NOFA) for the fiscal year published in
the Federal Register in accordance with 24 CFR part 12. The rating
criteria, including the point value for each, are described in the
NOFA, including criteria determined by the Secretary.
Sec. 574.250 [Removed]
11. Section 574.250 is removed.
Sec. 574.310 [Amended]
12. In Sec. 574.310, paragraph (d) is amended by removing from the
introductory text the words, ``determined in accordance with section
3(a) of the United States Housing Act of 1937 and 24 CFR 813.106. Under
these authorities, each resident must pay as rent'', and adding in
their place the words, ``which is''.
13. In Sec. 574.320, paragraph (b) is revised to read as follows:
Sec. 574.320 Additional standards for rental assistance.
* * * * *
(b) With respect to shared housing arrangements, the rent charged
for an assisted family or individual shall be in relation to the size
of the private space for that assisted family or individual in
comparison to other private space in the shared unit, excluding common
space. An assisted family or individual may be assigned a pro rata
portion based on the ratio derived by dividing the number of bedrooms
in their private space by the number of bedrooms in the unit.
Participation in shared housing arrangements shall be voluntary.
14. Section 574.510 is revised to read as follows:
Sec. 574.510 Environmental procedures and standards.
Before any amounts under this program are used to acquire,
rehabilitate, convert, lease, repair or construct properties to provide
housing, HUD shall perform a review in accord with 24 CFR part 50,
which implements the National Environmental Policy Act and the related
Federal environmental laws and authorities listed under 24 CFR 50.4. In
performing its environmental review, HUD may use previously issued
environmental reviews prepared by other local, State, or federal
agencies for the proposed property. The grantee will cooperate in
providing these documents. HUD must, however, conduct the environmental
analysis and prepare the environmental review and be responsible for
the required environmental findings. An environmental assurance shall
be provided by an applicant for formula allocations or competitive
awards in accordance with 24 CFR 50.3(i).
15. Section 574.540 is revised to read as follows:
Sec. 574.540 Deobligation of funds.
HUD may deobligate all or a portion of the amounts approved for
eligible activities if such amounts are not expended in a timely
manner, or the proposed activity for which funding was approved is not
provided in accordance with the approved application or action plan and
the requirements of this regulation. HUD may deobligate any
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amount of grant funds that have not been expended within a three-year
period from the date of the signing of the grant agreement. The grant
agreement may set forth other circumstances under which funds may be
deobligated or sanctions imposed.
16. Section 574.603 is amended by revising the introductory text,
to read as follows:
Sec. 574.603 Nondiscrimination and equal opportunity.
Within the population eligible for this program, the
nondiscrimination and equal opportunity requirements set forth in 24
CFR part 5 and the following requirements apply:
* * * * *
Dated: February 21, 1996.
Andrew M. Cuomo,
Assistant Secretary for Community Planning and Development.
[FR Doc. 96-4678 Filed 2-28-96; 8:45 am]
BILLING CODE 4210-29-P
