[Federal Register Volume 64, Number 44 (Monday, March 8, 1999)]
[Notices]
[Pages 11302-11308]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-5577]
[[Page 11301]]
_______________________________________________________________________
Part XI
Department of Housing and Urban Development
_______________________________________________________________________
Mainstream Housing Opportunities for Persons With Disabilities
(Mainstream Program) Fiscal Year 1999 Funding Availability; Notice
Federal Register / Vol. 64, No. 44 / Monday, March 8, 1999 /
Notices
[[Page 11302]]
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
[Docket No. FR-4415-N-01]
Notice of Funding Availability, Mainstream Housing Opportunities
for Persons With Disabilities, (Mainstream Program) Fiscal Year 1999
AGENCY: Office of the Assistant Secretary for Public and Indian
Housing, HUD.
ACTION: Notice of Funding Availability (NOFA).
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SUMMARY: Purpose of the Program. The purpose of this program is to
provide Section 8 rental vouchers to enable persons with disabilities
(elderly and non-elderly) to rent affordable private housing.
Available Funds. Approximately $48.5 million in five-year budget
authority for approximately 1,600 rental vouchers is available under
this NOFA. Although the NOFA issued on April 30, 1998, for the FY 1998
Mainstream Program (FR-4359) indicated that approvable applications not
funded in FY 1998 would receive priority for funding in FY 1999
contingent upon FY 1999 appropriations, HUD must depart from this
approach. With the enactment of the Departments of Veterans Affairs and
Housing and Urban Development, and Independent Agencies Appropriations
Act, 1999 (Pub. L. 105-276, 112 Stat. 2461, approved October 21, 1998),
Congress directed HUD in the FY 1999 House Committee Report to broaden
the Section 811 Mainstream Program's eligible applicants to include
disability non-profit organizations, as well as PHAs.
Consequently, the approximately $48.5 million available under this
NOFA will be used to fund new FY 1999 Section 811 program applications
submitted in response to this NOFA by PHAs and non-profit disability
organizations. PHAs with unfunded FY 1998 Mainstream Program
applications will need to submit a new application, in accordance with
the requirements of this NOFA, in order to be eligible to receive any
FY 1999 Mainstream Program funding.
Applications are also being invited, however, from PHAs for one-
year budget authority funding (non-Section 811 funds) that HUD
anticipates may be available for the Mainstream Program in FY 1999.
Specifically, any portion of the $40 million in one-year budget
authority in FY 1999 appropriations related to designated housing
plans, preferences in occupancy for the elderly in certain types of
Section 8 project-based developments, or restrictions in occupancy to
elderly only in certain types of section 202, section 221(d)(3), or
section 236 developments remaining unobligated will be added to the
approximately $48.5 million available under this NOFA. This one-year
budget authority will be for use only for non-elderly disabled
families.
Eligible Applicants. PHAs and non-profit disability organizations
that provide services to disabled families are eligible to apply for
the $48.5 million in five-year budget authority available under this
NOFA for applications submitted in FY 1999. Only PHAs are eligible to
apply for the one-year budget authority (up to a maximum of $40
million) that may otherwise be available under this NOFA. Indian
Housing Authorities, Indian tribes and their tribally designated
housing entities are not eligible to apply.
The rental vouchers that HUD will provide under this NOFA must be
made available to eligible disabled families regardless of their type
of disability. (See the definition of disabled family in paragraph
II(B)(1) of this NOFA.)
Application Deadline. May 7, 1999.
Match. None.
Additional Information
If you are interested in applying for funding under the Mainstream
Program, please read the balance of this NOFA which will provide you
with detailed information regarding the submission of an application,
Section 8 program requirements, the application selection process to be
used by HUD in selecting applications for funding, and other valuable
information relative to a PHA's or non-profit disability organization's
application submission and participation in the Mainstream Program. New
for FY 1999 is HUD's opening of the Mainstream Program to the receipt
of applications from non-profit disability organizations that provide
services to disabled families. Also new is HUD's encouragement to PHAs
and non-profit disability organizations to view each other as a
possible contract administrator, or to be otherwise involved in the
administration of the Section 8 vouchers that either party might
receive under this NOFA.
Application Due Date and Application Submission
Delivered Applications. The application deadline for delivered
applications for the Mainstream Program is May 7, 1999, 6:00 p.m. local
HUD Field Office HUB or local HUD Field Office Program Center time.
The above-stated application deadline is firm as to date and hour.
In the interest of fairness to all competing public housing agencies,
HUD will treat as ineligible for consideration any application that is
not received by the application deadline. Applicants should submit
their materials as early as possible to avoid any risk of loss of
eligibility because of unanticipated delays or other delivery-related
problems. HUD will not accept, at any time during the NOFA competition,
application materials sent by facsimile (FAX) transmission.
Mailed Applications. Applications for the Mainstream Program will
be considered timely filed if postmarked before midnight on the
application due date and received by the local HUD Field Office HUB or
local HUD Field Office Program Center within ten (10) days of that
date.
Applications Sent By Overnight Delivery. Overnight delivery items
will be considered timely filed for the Mainstream Program if received
before or on the application due date, or upon submission of
documentary evidence that they were placed in transit with the
overnight delivery service by no later than the specified application
due date.
Official Place of Application Receipt. The original and a copy of
the application should be submitted to the local HUD Field Office HUB,
Attention: Director, Office of Public Housing, or to the local HUD
Field Office Program Center, Attention: Program Center Coordinator. The
local HUD Field Office is the official place of receipt for all
applications submitted in response to this NOFA. For ease of reference,
the term ``local HUD Field Office'' will be used throughout this NOFA
to mean the local HUD Field Office HUB and local HUD Field Office
Program Center.
For Application Kits, Further Information and Technical Assistance
For Application Kits. An application kit is not being made
available and is not necessary for submitting an application for
Mainstream Program funding.
For Further Information. For answers to your questions, you have
two options. You may contact the local HUD Field Office, or you may
contact George C. Hendrickson, Housing Program Specialist, Office of
Public and Assisted Housing Delivery, Department of Housing and Urban
Development, Room 4216, 451 Seventh Street, SW, Washington, DC 20410-
8000; telephone (202) 708-1872, ext. 4064. (The number listed above is
not a toll-free number). Persons with hearing or speech impairments may
access this number via TTY (text telephone) by calling the Federal
Information Relay Service at 1-
[[Page 11303]]
800-877-8339 (this is a toll-free number).
For Technical Assistance. Prior to the application due date, George
Hendrickson of HUD's Headquarters staff (at the address and telephone
number indicated above) will be available to provide general guidance
and technical assistance about this NOFA. Current law does not permit
HUD staff to assist in preparing the application. Following selection,
but prior to award, HUD staff will be available to assist in clarifying
or confirming information that is a prerequisite to the offer of an
award by HUD.
I. Authority, Purpose, Amount Allocated, and Eligibility
(A) Authority. Authority for the approximately $48.5 million in 5-
year budget authority available for the Mainstream Program under this
NOFA (general use rental assistance for persons with disabilities) is
found in the Departments of Veterans Affairs and Housing and Urban
Development, and Independent Agencies Appropriations Act, 1999 (Pub. L.
105-276, approved October 21, 1998), referred to in this NOFA as the
HUD FY 1999 Appropriations Act. The HUD FY 1999 Appropriations Act
states that the Secretary may designate up to 25 percent of the amounts
earmarked for Section 811 of the National Affordable Housing Act of
1990 (42 U.S.C. 8013) for tenant-based assistance, as authorized under
that section. The HUD FY 1999 Appropriations Act provides the Secretary
of HUD with the authority to waive any provision of section 811 that
the Secretary determines is not necessary to achieve the objectives of
tenant-based assistance. Accordingly, the Secretary hereby exercises
this waiver authority in order to allow non-profit disability
organizations to be eligible to apply for the five-year budget
authority for which new applications are being requested under this
NOFA for FY 1999; i.e., $48.5 million.
The HUD FY 1999 Appropriations Act also authorizes the use of
approximately $40 million in one-year budget authority for Section 8
rental vouchers for non-elderly disabled families in support of
designated housing plans, for non-elderly disabled families who are not
currently receiving housing assistance in certain Section 8 project-
based developments due to the owners establishing preferences for the
admission of elderly families, and for nonelderly disabled families not
being housed in certain section 202, section 221(d)(3) and section 236
developments (or portions thereof) where the owners have restricted
occupancy to elderly families. The HUD FY 1999 Appropriations Act
states that to the extent the Secretary determines that the FY 1999
appropriations related to designated housing plans and certain types of
Section 8 project-based developments and certain types of section 202,
section 221(d)(3) and section 236 developments are not needed to fund
applications, the funds may be used for other non-elderly disabled
families. Any such remaining funds will be used to supplement funding
for the Mainstream Program. As a result, as much as $40 million in one-
year budget authority may be available in additional funding in FY 1999
for the Mainstream Program.
(B) Purpose. The Secretary has established a Mainstream Housing
Opportunities for Persons with Disabilities Program (Mainstream
Program) to provide rental vouchers to enable persons with disabilities
to rent affordable private housing of their choice. In prior fiscal
years HUD provided funding for rental vouchers and certificates for the
Mainstream Program. In FY 1999, however, HUD will be providing rental
vouchers only for this program. This is due to provisions in the
Quality Housing and Work Responsibility Act of 1998 (Pub. L. 105-276,
112 Stat. 2461, approved October 21, 1998) (QHWRA) that call for the
merging of the Section 8 rental voucher and certificate programs into a
rental voucher program. HUD intends to publish an interim rule in the
spring of FY 1999 to implement the new rental voucher program. Since
successful applicants for the FY 1999 Mainstream Program will not be
funded until after the implementation of the interim rule, rental
vouchers only are being provided this year for the Mainstream Program.
The Mainstream Program will assist PHAs and non-profit disability
organizations in providing Section 8 rental vouchers to a segment of
the population recognized by HUD's housing research as having one of
the worst case housing needs of any group in the United States; i.e.,
very low-income households with adults with disabilities. In addition,
the Mainstream Program will assist persons with disabilities who often
face difficulties in locating suitable and accessible housing on the
private market.
(C) Amount Allocated. Approximately $48.5 million in five year
funding for approximately 1,600 rental vouchers. All of the
approximately $48.5 million in funding is for use in the housing of
elderly and non-elderly disabled families.
HUD will supplement the Mainstream Program funding with additional
funding, up to as much as $40 million in one-year budget authority for
approximately 8,200 rental vouchers, to the extent this budget
authority is not needed during FY 1999 to fund applications in support
of designated housing plans under NOFA FR-4412, or to fund applications
related to non-elderly disabled families on the waiting lists of
certain types of Section 8 project-based developments where the owner
has established a preference for the admission of elderly families, or
applications related to non-elderly disabled families on the waiting
lists of section 202, section 221(d)(3) or section 236 developments
where the owner has restricted occupancy in the project (or portion
thereof) to elderly families under NOFA FR-4413. Applications for this
one-year budget authority that may be available for the Mainstream
Program may be submitted by PHAs only.
HUD will select approvable applications for funding by lottery in
the event approvable applications are received for more funding than is
available under this NOFA FR-4415. In such event, a separate lottery
will be held to select applications for funding for the $48.5 million
available in five-year budget authority available under this NOFA, and
a separate lottery will be held to select applications for funding for
whatever amount of one-year budget authority may be available during FY
1999 for the Mainstream Program. PHA applicants should clearly indicate
in their applications if they are applying for both one-year and five-
year funding in order to ensure their inclusion in both lotteries. PHA
applicants, both those applying solely for one-year funding as well as
those submitting a single application requesting both five-year or one-
year funding, must make it clear in their applications that they have a
sufficient number of non-elderly disabled families to support the
number of rental vouchers being requested for one-year funding.
There is a limit on the number of rental vouchers that may be
requested. An eligible PHA or non-profit disability organization may
apply for a maximum of 75 rental vouchers.
(D) Eligible Applicants. A PHA established pursuant to State law
may apply for either, or both the one-year and five-year funding under
this NOFA. Non-profit disability organizations that provide services to
disabled families may apply only for the five-year funding under this
NOFA. Indian Housing Authorities, Indian tribes and their tribally
designated housing entities are
[[Page 11304]]
no longer eligible for new increments of Section 8 funding. A regional
(multi-county) or State PHA is eligible to apply for funding.
PHAs are encouraged to involve non-profit disability organizations,
that provide services to disabled families, in the administration of
the Mainstream Program's rental vouchers. Such non-profit disability
organizations could function as either a contract administrator for the
PHA's Section 8 Mainstream vouchers, or as a subcontractor responsible
for providing case management services or assisting disabled families
to locate suitable housing, gain access to supportive services, or
identify private funding sources to cover the costs of unit
modifications needed as a reasonable accommodation. Such contractual
arrangements must, however, ensure equal opportunity among the wide
variety of disabled populations in the PHA's service area. PHAs are
being encouraged to seek out non-profit disability organizations to
assist in the administration of the Mainstream vouchers due to such
organizations' capacity for assisting disabled families, as well as
their in-depth knowledge of the disability community. Likewise, non-
profit disability organizations are encouraged to seek out PHAs in
their geographic area to develop cooperative contractual relationships
under the Mainstream Program, and to enhance services to disabled
families. In addition to contacting local PHAs, non-profit disability
organizations may also wish to contact regional (multi-county), or
state-wide PHAs who may be applying for Mainstream Program funding.
Some PHAs currently administering the Section 8 rental voucher and
certificate programs have, at the time of publication of this NOFA,
major program management findings from Inspector General audits, HUD
management reviews, or independent public accountant (IPA) audits that
are open and unresolved or other significant program compliance
problems. HUD will not accept applications for additional funding from
these PHAs as contract administrators if, on the application due date,
the findings are not closed to HUD's satisfaction. If the PHA wants to
apply for funding under this NOFA, the PHA must submit an application
that designates another housing agency, nonprofit agency, or
contractor, that is acceptable to HUD. The PHA's application must
include an agreement by the other housing agency, nonprofit agency, or
contractor to administer the new funding increment on behalf of the
PHA, and a statement that outlines the steps the PHA is taking to
resolve the program findings. Immediately after the publication of this
NOFA, the Office of Public Housing in the local HUD Field Office will
notify, in writing, those PHAs that are not eligible to apply without
such an agreement. The PHA may appeal the decision, if HUD has
mistakenly classified the PHA as having outstanding management or
compliance problems. Any appeal must be accompanied by conclusive
evidence of HUD's error and must be received prior to the application
deadline.
A provision in the FY 1999 House Committee Report concerning HUD's
FY 1999 appropriations called for HUD to allow non-profit disability
organizations to apply directly to HUD for the 25 percent of section
811 funds to be made available for the Mainstream Program. A non-profit
disability organization wishing to apply for the five-year funding
available under this NOFA must have the capacity to:
(1) Comply with the Section 8 Management Assessment Program (SEMAP)
certification requirements under 24 CFR Part 985.
(2) Carry out such Section 8 and SEMAP specific related activities
as making determinations as to rent reasonableness, performing housing
quality standards (HQS) inspections and enforcement, conducting annual
reexaminations of participant families, as well as otherwise meeting
Section 8 program requirements under 24 CFR parts 887 and 982.
(3) Manage the Section 8 Mainstream Program vouchers in a manner
equivalent to an overall performance rating under SEMAP (24 CFR Part
985) of ``standard'' during the first fiscal year of its receiving
Mainstream Program funding.
(4) Administer rental housing programs or manage rental housing, as
demonstrated by a specific list of rental housing programs the
nonprofit disability organization has administered or the rental
housing the organization has managed (e.g., private rental housing, HUD
or State-related housing programs, etc.).
(E) Eligible Participants. Only a disabled family that is income
eligible under 24 CFR 982.201(b) may receive a rental voucher awarded
under the Mainstream Program. While elderly and non-elderly disabled
families are eligible to receive a Section 8 rental voucher awarded to
a PHA or non-profit disability organization using five-year budget
authority under this NOFA, only non-elderly disabled families are
eligible to receive a rental voucher awarded to a PHA using one-year
budget authority that may be available for the Mainstream Program under
this NOFA. Applicants with disabilities will be selected from the PHA's
or non-profit disability organization's Section 8 waiting list.
II. Program Requirements and Definitions
(A) Program Requirements. (1) Compliance With Fair Housing and
Civil Rights Laws. All applicants must comply with all fair housing and
civil rights laws, statutes, regulations, and executive orders as
enumerated in 24 CFR 5.105(a). If an applicant: (a) has been charged
with a systemic violation of the Fair Housing Act by the Secretary
alleging ongoing discrimination; (b) is the defendant in a Fair Housing
Act lawsuit filed by the Department of Justice alleging an ongoing
pattern or practice of discrimination; or (c) has received a letter of
noncompliance findings under Title VI of the Civil Rights Act of 1964,
section 504 of the Rehabilitation Act of 1973, or section 109 of the
Housing and Community Development Act of 1974, the applicant's
application will not be evaluated under this NOFA if, prior to the
application deadline, the charge, lawsuit, or letter of findings has
not been resolved to the satisfaction of the Department. HUD's decision
regarding whether a charge, lawsuit, or a letter of findings has been
satisfactorily resolved will be based upon whether appropriate actions
have been taken necessary to address allegations of ongoing
discrimination in the policies or practices involved in the charge,
lawsuit, or letter of findings.
(2) Additional Nondiscrimination Requirements. Applicants must
comply with the Americans with Disabilities Act, and Title IX of the
Education Amendments Act of 1972. In addition to compliance with the
civil rights requirements listed at 24 CFR 5.105, each successful
applicant must comply with the nondiscrimination in employment
requirements of Title VII of the Civil Rights Act of 1964 (42 U.S.C.
2000e et seq.), the Equal Pay Act (29 U.S.C. 206(d)), the Age
Discrimination in Employment Act of 1967 (29 U.S.C. 621 et seq.), and
Titles I and V of the Americans with Disabilities Act (42 U.S.C. 12101
et seq.).
(3) Affirmatively Furthering Fair Housing. Each successful
applicant will have a duty to affirmatively further fair housing.
Applicants will be required to identify the specific steps that they
will take to: (a) address the elimination of impediments to fair
housing that were identified in the jurisdiction's Analysis of
Impediments (AI) to Fair Housing Choice; (b) remedy discrimination in
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housing; or (c) promote fair housing rights and fair housing choice.
(4) Certifications and Assurances. Each applicant is required to
submit signed copies of Assurances and Certifications. The standard
Assurances and Certifications are on Form HUD-52515, Funding
Application, which includes the Equal Opportunity Certification,
Certification Regarding Lobbying, and Certification Regarding Drug-Free
Workplace Requirements.
(5) Rental Voucher Assistance Requirements.
(a) Section 8 regulations. PHAs and non-profit disability
organizations must administer the Mainstream Program in accordance with
HUD regulations and requirements governing the Section 8 rental voucher
program.
(b) Section 8 admission requirements. Section 8 assistance must be
provided to eligible applicants in conformity with regulations and
requirements governing the Section 8 rental voucher program and the
PHA's and non-profit disability organization's administrative plan.
If there is ever an insufficient pool of disabled families on the
PHA or non-profit disability organization's Section 8 waiting list, the
PHA/non-profit disability organization shall conduct outreach to
encourage eligible persons to apply for this special allocation of
rental vouchers. Outreach may include contacting independent living
centers, advocacy organizations for persons with disabilities, and
medical, mental health, and social service providers for referrals of
persons receiving such services who would benefit from Section 8
assistance. If the PHA's or non-profit disability organization's
Section 8 waiting list is closed, and if the PHA or non-profit
disability organization has insufficient applicants on its Section 8
waiting list to use all awarded rental vouchers under this NOFA, the
PHA shall open the waiting list for applications from disabled
families.
(c) Turnover. When a rental voucher under this NOFA becomes
available for reissue (e.g., the family initially selected for the
program drops out of the program or is unsuccessful in the search for a
unit), the rental assistance may be used only for another individual or
family eligible for assistance under this NOFA for five years for the
five-year funding or for one year for the one-year funding under this
NOFA from the date the rental assistance is placed under an annual
contributions contract (ACC).
(d) PHA and Non-Profit Disability Organization Responsibilities. In
addition to the responsibilities under the Section 8 rental voucher
program and HUD regulations concerning nondiscrimination based on
disability (24 CFR 8.28) and to affirmatively further fair housing,
PHAs that receive rental voucher funding shall:
(i) Where requested by an individual, assist program participants
to gain access to supportive services available within the community,
but not require eligible applicants or participants to accept
supportive services as a condition of participation or continued
occupancy in the program.
(ii) Identify public and private funding sources to assist
participants in covering the costs of modifications that need to be
made to their units as a reasonable accommodation for their
disabilities.
(iii) Not deny persons who qualify for rental assistance under this
program other housing opportunities, or otherwise restrict access to
PHA or non-profit disability organization programs to eligible
applicants who choose not to participate.
(iv) Provide Section 8 search assistance.
(v) In accordance with regulatory guidance, provide higher rents to
owners necessary for the provision of accessible units and structural
modifications for persons with disabilities.
(vi) Provide technical assistance to owners for making reasonable
accommodations or making units accessible to persons with disabilities.
(B) Definitions. (1) Disabled Family. A family whose head, spouse,
or sole member is a person with disabilities. The term ``disabled
family'' may include two or more persons with disabilities living
together, and one or more persons with disabilities living with one or
more live-in aides. A disabled family may include a person with
disabilities who is elderly. (Note: This definition applies to the
approximately $48.5 million available under the Mainstream Program.
This definition shall be modified, however, to be limited solely to
non-elderly disabled families (families whose head, spouse or sole
member is disabled and under the age of 62) regarding any funding
available and awarded from the approximately $40 million in FY 1999 for
designated housing allocation plans, or in connection with certain
Section 8 project-based developments or certain section 202, section
221(d)(3) or section 236 developments. See the SUMMARY section at the
beginning of this NOFA regarding the possibility of additional
Mainstream Program funding during FY 1999 beyond the approximately
$48.5 million available as announced under this NOFA.)
(2) Nonprofit disability organization. A private organization, no
part of the net earnings of which inures to the benefit of any member,
founder, contributor, or individual, that provides assistance to
persons with disabilities, as defined in section 811, and has received
a federal tax-exempt designation from the U.S. Internal Revenue
Service. The organization must:
(a) Have a voluntary board;
(b) Be authorized by its charter or State law to enter into a
contract with the Federal Government to provide housing assistance;
(c) Have a functioning accounting system that is operated in
accordance with generally accepted accounting principles, or designate
an entity that will maintain a functioning accounting system for the
organization in accordance with generally accepted accounting
principles; and
(d) Practice nondiscrimination in the provision of assistance.
(3) Person with disabilities. A person who--
(a) Has a disability as defined in section 223 of the Social
Security Act (42 U.S.C. 423), or
(b) Is determined to have a physical, mental or emotional
impairment that:
(i) Is expected to be of long-continued and indefinite duration;
(ii) Substantially impedes his or her ability to live
independently; and
(iii) Is of such a nature that such ability could be improved by
more suitable housing conditions, or
(c) Has a developmental disability as defined in section 102 of the
Developmental Disabilities Assistance and Bill of Rights Act (42 U.S.C.
6001(5)).
The term ``person with disabilities'' does not exclude persons who
have the disease of acquired immunodeficiency syndrome (AIDS) or any
conditions arising from the etiologic agent for acquired
immunodeficiency syndrome (HIV).
Note: While the above definition of a ``person with
disabilities'' is to be used for purposes of determining a family's
eligibility for a Section 8 rental voucher under this NOFA, the
definition of a person with disabilities contained in section 504 of
the Rehabilitation Act of 1973 and its implementing regulations must
be used for purposes of reasonable accommodations.
(4) Section 8 search assistance. Assistance to increase access by
program participants to housing units in a variety of neighborhoods
(including areas with low poverty concentrations) and to locate and
obtain units suited to their needs.
[[Page 11306]]
III. Application Selection Process For Mainstream Program
After the local HUD Field Office has screened PHA and non-profit
disability organization applications and disapproved any applications
found unacceptable for further processing, the local HUD Field Office
will review all acceptable applications to ensure that they are
technically adequate and responsive to the requirements of the NOFA.
The local HUD Field Office will send to the Grants Management Center,
Attention: Michael Diggs, Director, 501 School Street, SW, Suite 800,
Washington, DC 20024, (tel. 202-358-0273), the following information on
each application that is found technically adequate and responsive:
(1) Name and address of the PHA or non-profit disability
organization;
(2) Local HUD Field Office contact person and telephone number;
(3) The number of rental vouchers in the PHA application, and the
minimum number of rental vouchers acceptable to the PHA; and
(4) A completed fund reservation worksheet, indicating the number
of Section 8 rental vouchers requested in the PHA application and
recommended for approval by the local HUD Field Office, and the
corresponding five-year and/or one-year budget authority.
HUD Headquarters will fund all applications from PHAs that are
recommended for funding by the local HUD Field Offices unless HUD
receives approvable applications for more funds than are available. If
HUD receives approvable applications for more funds than are available,
HUD will select applicants to be funded by lottery. A separate lottery
will be held for those applicants seeking funding under the five-year
budget authority available under this NOFA, and a separate lottery will
be held for those PHAs seeking funding under the one-year budget
authority that may be available under this NOFA. All applicants
identified by the local HUD Field Offices as having submitted
technically adequate and responsive applications will be included in
the lottery. As applicants are selected, the cost of funding the
applications will be subtracted from the funds available. In order to
achieve geographic diversity, HUD Headquarters will limit the number of
applications selected for funding from any State to 10 percent of the
budget authority available for the general use Mainstream Program. If
establishing this geographic limit would result, however, in unreserved
budget authority, HUD may modify this limit to assure that all
available funds are used.
Applications will be funded for the total number of units requested
by the PHA and recommended for approval by the local HUD Field Office
(not to exceed 75 units) in accordance with this NOFA. When remaining
budget authority is insufficient to fund the last selected application
in full, however, HUD Headquarters will fund that application to the
extent of the funding available, unless the applicant indicates it will
only accept a higher number of units. In that event, the next selected
application shall be one that has indicated a willingness to accept the
lesser amount of funding for units available.
IV. Application Submission Requirements for Mainstream Program
(A) Form HUD-52515. All applicants must complete and submit form
HUD-52515, Funding Application, for the Section 8 rental voucher
program (dated January 1996). This form includes all necessary
certifications for Fair Housing, Drug Free Workplace and Lobbying
Activities. An application must include the information in Section (C),
Average Monthly Adjusted Income, of form HUD-52515 in order for HUD to
calculate the amount of Section 8 budget authority necessary to fund
the requested number of units. Copies of form HUD-52515 may be obtained
from the local HUD Field Office or may be downloaded from the HUD Home
Page site on the Internet's world wide web (http://www.hud.gov).
(B) Letter of Intent and Narrative. The applicant must state in its
cover letter to the application whether it will accept a reduction in
the number of rental vouchers, and the minimum number of rental
vouchers it will accept, since the funding is limited and HUD may only
have enough funds to approve a smaller amount than the number of rental
vouchers requested. The maximum number of rental vouchers that an
applicant may apply for under this NOFA is limited to 75. The applicant
should also indicate whether or not it intends to enter into a contract
with a non-profit disability organization to serve as the contract
administrator of the Section 8 Mainstream Program vouchers, or to
otherwise provide services related to the Mainstream Program (see
Section I(D) of this NOFA).
(C) Description of Need for Mainstream Program Rental Assistance.
The application must demonstrate a need for Mainstream Program rental
vouchers by providing information documenting that the demand for
housing for non-elderly persons with disabilities would equal or exceed
the requested number of rental vouchers. The applicant must assess and
document the housing need for non-elderly persons with disabilities
using a range of sources including, but not limited to: census data,
information from the applicant's waiting list (both public housing and
Section 8), statistics on recent public housing admissions and rental
certificate and voucher use, data from local advocacy groups and local
public and private service agencies familiar with the housing needs of
non-elderly persons with disabilities, and pertinent information from
the Consolidated Plan applicable to the applicant's jurisdiction. (See
24 CFR 91.205(d).) The applicant's demonstrated need for rental
vouchers must clearly support need on the basis of non-elderly disabled
families. This distinction is important, as any FY 1999 Mainstream
Program funding that may be available beyond the approximately $48.5
million under this NOFA, must be used to assist only non-elderly
disabled families. (See the SUMMARY section at the beginning of this
NOFA regarding the possibility of substantially more Mainstream Program
funding beyond the approximately $48.5 million announced in this NOFA
as having already been obligated to fund previously unfunded FY 1998
applications.)
(D) Mainstream Program Operating Plan. The application must include
a description of an adequate plan for operating a program to serve
eligible non-elderly disabled families, including:
(1) A description of how the applicant will carry out its
responsibilities under 24 CFR 8.28 to assist recipients in locating
units with needed accessibility features; and
(2) A description of how the applicant will identify private or
public funding sources to help participants cover the costs of
modifications that need to be made to their units as reasonable
accommodations to their disabilities.
(3) A description of how the applicant will use a non-profit
disability organization or PHA (if any) to assist in the administration
of the Section 8 Mainstream Program (see paragraph I (D) of this NOFA).
(E) Certification Applicable to Non-Profit Disability
Organizations. A non-profit disability organization applying for the
five-year funding available under this NOFA must provide a
certification stating that it can meet the capacity requirements
applicable to a non-profit disability organization delineated in the
last paragraph of paragraph I (D) of this NOFA. The certification must
specifically list the four capacity requirements from that paragraph,
and
[[Page 11307]]
must specifically list the rental housing programs the nonprofit
disability organization has administered or the rental housing the
nonprofit disability organization has managed.
Note: Notice of Repeal of Local Government Comment Requirements.
Local government comments that HUD was previously required to obtain
from the unit of general local government on PHA applications for
Section 8 rental assistance under Section 213(c) of the Housing and
Community Development Act of 1974 are no longer required. Section
551 of the Quality Housing and Work Responsibility Act of 1998
(Pub.L. 105-276, 112 Stat. 2461, approved October 21, 1998) (QHWRA)
repealed the provisions of Section 213(c) of the Housing and
Community Development Act of 1974. Although section 503 of QHWRA
establishes an effective date of October 21, 1999, for its
provisions unless otherwise specifically provided, section 503 also
permits any QHWRA provision or amendment to be implemented by
notice, unless otherwise specifically provided. Accordingly, HUD's
Notice of Initial Guidance on the QHWRA, published on February 18,
1999 (64 FR 8192), provided the notice of immediate implementation
of section 551 of QHWRA, as permitted by section 503 of QHWRA.
V. Corrections to Deficient Mainstream Program Applications
(A) Acceptable Applications. To be eligible for processing, an
application must be received by the local HUD Field Office no later
than the date and time specified in this NOFA. The local HUD Field
Office will initially screen all applications and notify PHAs of
technical deficiencies by letter.
If an application has technical deficiencies, the applicant will
have 14 calendar days from the date of the issuance of the HUD
notification letter to submit the missing or corrected information to
the local HUD Field Office before the application can be considered for
further processing by HUD. Curable technical deficiencies relate only
to items that do not improve the substantive quality of the
application.
All applicants must submit corrections within 14 calendar days from
the date of the HUD letter notifying the applicant of any such
deficiency. Information received by the local HUD Field Office after 3
p.m. local HUD Field Office time on the 14th calendar day of the
correction period will not be accepted and the application will be
rejected as incomplete.
(B) Unacceptable Applications. (1) After the 14-calendar day
technical deficiency correction period, the local HUD Field Office will
disapprove all applications that it determines are not acceptable for
processing. The local HUD Field Office's notification of rejection
letter must state the basis for the decision.
(2) Applications that fall into any of the following categories
will not be processed:
(a) Applications that do not meet the requirements of Section
II(A)(1) of this NOFA, Compliance With Fair Housing and Civil Rights
Laws.
(b) The PHA has serious unaddressed, outstanding Inspector General
audit findings, HUD management review findings, or Independent Public
Accountant (IPA) findings for its rental voucher or rental certificate
programs; or the PHA has failed to achieve a lease-up rate of 90
percent of units in its HUD-approved budget for the PHA fiscal year
prior to application for funding in each of its rental voucher and
certificate programs (excluding the impact of the three-month statutory
delay requirement effective in FY 1997 and 1998 for the reissuance of
rental vouchers and certificates). The only exception to this category
is if the PHA has been identified under the policy established in
Section I.(D) of this NOFA and the PHA makes application with a
designated contract administrator.
(c) The PHA or non-profit disability organization is involved in
litigation and HUD determines that the litigation may seriously impede
the ability of the PHA or non-profit disability organization to
administer the rental vouchers.
(d) An application that does not comply with the requirements of 24
CFR 982.102 and this NOFA after the expiration of the 14-calendar day
technical deficiency correction period will be rejected from
processing.
(e) The application was submitted after the application due date.
VI. Findings and Certifications
(A) Paperwork Reduction Act Statement. The Section 8 information
collection requirements contained in this NOFA have been approved by
the Office of Management and Budget in accordance with the Paperwork
Reduction Act of 1995 (44 U.S.C. 3501-3520), and assigned OMB control
number 2577-0169. An agency may not conduct or sponsor, and a person is
not required to respond to, a collection of information unless the
collection displays a valid control number.
(B) Environmental Impact. In accordance with 24 CFR 50.19(b)(11) of
the HUD regulations, tenant-based activities assisted under this
program are categorically excluded from the requirements of the
National Environmental Policy Act and are not subject to environmental
review under the related laws and authorities. In accordance with 24
CFR 50.19(c)(5)(ii), the approval for issuance of this NOFA is
categorically excluded from environmental review under the National
Environmental Policy Act of 1969 (42 U.S.C. 4321).
(C) Catalog of Federal Domestic Assistance Numbers. The Federal
Domestic Assistance number for this program is: 14.857.
(D) Federalism Impact. The General Counsel, as the Designated
Official under section 6(a) of Executive Order 12612, Federalism, has
determined that the policies contained in this NOFA 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. As a result, the notice is not subject to review
under the Order. This notice is a funding notice and does not
substantially alter the established roles of HUD, the States, and local
governments, including PHAs.
(E) Accountability in the Provision of HUD Assistance. Section 102
of the Department of Housing and Urban Development Reform Act of 1989
(HUD Reform Act) and the regulations in 24 CFR part 4, subpart A
contain a number of provisions that are designed to ensure greater
accountability and integrity in the provision of certain types of
assistance administered by HUD. On January 14, 1992 (57 FR 1942), HUD
published a notice that also provides information on the implementation
of section 102. HUD will comply with the documentation, public access,
and disclosure requirements of section 102 with regard to the
assistance awarded under this NOFA, as follows:
(1) Documentation and public access requirements. HUD will ensure
that documentation and other information regarding each application
submitted pursuant to this NOFA are sufficient to indicate the basis
upon which assistance was provided or denied. This material, including
any letters of support, will be made available for public inspection
for a 5-year period beginning not less than 30 days after the award of
the assistance. Material will be made available in accordance with the
Freedom of Information Act (5 U.S.C. 552) and HUD's implementing
regulations at 24 CFR part 15. In addition, HUD will include the
recipients of assistance pursuant to this NOFA in its Federal Register
notice of all recipients of HUD assistance awarded on a competitive
basis.
[[Page 11308]]
(2) Disclosures. HUD will make available to the public for 5 years
all applicant disclosure reports (HUD Form 2880) submitted in
connection with this NOFA. Update reports (also Form 2880) will be made
available along with the applicant disclosure reports, but in no case
for a period less than 3 years. All reports--both applicant disclosures
and updates--will be made available in accordance with the Freedom of
Information Act (5 U.S.C. 552) and HUD's implementing regulations at 24
CFR part 15.
(F) Section 103 HUD Reform Act. HUD will comply with section 103 of
the Department of Housing and Urban Development Reform Act of 1989 and
HUD's implementing regulations in subpart B of 24 CFR part 4 with
regard to the funding competition announced today. These requirements
continue to apply until the announcement of the selection of successful
applicants. HUD employees involved in the review of applications and in
the making of funding decisions are limited by section 103 from
providing advance information to any person (other than an authorized
employee of HUD) concerning funding decisions, or from otherwise giving
any applicant an unfair competitive advantage. Persons who apply for
assistance in this competition should confine their inquiries to the
subject areas permitted under section 103 and subpart B of 24 CFR part
4.
Applicants or employees who have ethics related questions should
contact the HUD Office of Ethics (202) 708-3815. (This is not a toll-
free number.) For HUD employees who have specific program questions,
such as whether particular subject matter can be discussed with persons
outside HUD, the employee should contact the appropriate Field Office
Counsel.
(G) Prohibition Against Lobbying Activities. Applicants for funding
under this NOFA are subject to the provisions of section 319 of the
Department of Interior and Related Agencies Appropriation Act for
Fiscal Year 1991 (31 U.S.C. 1352) (the Byrd Amendment) and to the
provisions of the Lobbying Disclosure Act of 1995 (Pub. L. 104-65;
approved December 19, 1995).
The Byrd Amendment, which is implemented in regulations at 24 CFR
part 87, prohibits applicants for Federal contracts and grants from
using appropriated funds to attempt to influence Federal executive or
legislative officers or employees in connection with obtaining such
assistance, or with its extension, continuation, renewal, amendment, or
modification. The Byrd Amendment applies to the funds that are the
subject of this NOFA. Therefore, applicants must file a certification
stating that they have not made and will not make any prohibited
payments and, if any payments or agreement to make payments of
nonappropriated funds for these purposes have been made, a form SF-LLL
disclosing such payments must be submitted. The certification and the
SF-LLL are included in the application.
The Lobbying Disclosure Act of 1995 (Pub. L. 104-65; approved
December 19, 1995), which repealed section 112 of the HUD Reform Act,
requires all persons and entities who lobby covered executive or
legislative branch officials to register with the Secretary of the
Senate and the Clerk of the House of Representatives and file reports
concerning their lobbying activities.
Dated: March 3, 1999.
Deborah Vicent,
General Deputy Assistant, Secretary for Public and Indian Housing
[FR Doc. 99-5577 Filed 3-5-99; 8:45 am]
BILLING CODE 4210-33-P
