[Federal Register Volume 59, Number 93 (Monday, May 16, 1994)]
[Unknown Section]
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From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-11837]
[[Page Unknown]]
[Federal Register: May 16, 1994]
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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
[Docket No. N-94-3768]
Submission of Proposed Information Collection to OMB
AGENCY: Office of Administration, HUD.
ACTION: Notice.
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SUMMARY: The proposed information collection requirement described
below has been submitted to the Office of Management and Budget (OMB)
as required by the Paperwork Reduction Act for expedited review. The
Department is soliciting public comments on the subject proposal.
DATES: Comments due date: May 26, 1994.
ADDRESSES: Interested persons are invited to submit comments regarding
this proposal. Comments must be received within ten (10) days from the
date of this Notice. Comments should refer to the proposal by name and
should be sent to: Joseph F. Lackey, Jr., OMB Desk Officer, Office of
Management and Budget, New Executive Office Building, Washington, DC
20503.
FOR FURTHER INFORMATION CONTACT:
Kay F. Weaver, Reports Management Officer, Department of Housing and
Urban Development, 451 7th Street, Southwest, Washington, DC 20410.
Copies of the proposed forms and other available documents submitted to
OMB may be obtained from Ms. Weaver.
SUPPLEMENTARY INFORMATION: This Notice informs the public that the
Department of Housing and Urban Development has submitted to OMB, for
expedited processing, a form to be used to report annual
accomplishments regarding employment, training, and contracting
opportunities under Section 3, and a (complaint) form for filing with
the Department allegations of non-compliance with section 3. HUD is
requesting a 10-day OMB review of the documents.
The Department has submitted the proposal for the collection of
information as described below, to OMB for review, as required by the
Paperwork Reduction Act (44 U.S.C. chapter 35):
(1) The title of the information collection proposal;
(2) The Office of the agency to collect the information;
(3) The description of the need for the information and its
proposed use;
(4) The agency form number, if applicable;
(5) What members of the public will be affected by the proposal;
(6) How often information submission will be required;
(7) An estimate of the total number of hours needed to prepare the
information submission including number of respondents, frequency of
response, and hours for preparing the response;
(8) Whether the proposal is new or an extension, reinstatement, or
revision of an information collection requirement; and
(9) The name and telephone numbers of an agency official familiar
with the proposal and of the OMB Desk Officer for the Department.
Authority: Section 3507 of the Paperwork Reduction Act of, 44
U.S.C. 3507; Section 7(d) of the Department of Housing and Urban
Development Act, 42 U.S.C. 3535(d).
Dated: May 2, 1994.
Roberta Achtenberg,
Assistant Secretary for Fair Housing and Equal Opportunity.
Notice of Submission of Proposed Information Collection to OMB
Proposal: Information Collection for Part 135--Employment Opportunities
for Low and Very Low-Income Persons
Office: Office of Economic Opportunity, EPE Assistant Secretary for
Fair Housing and Equal Opportunity
Description of the Need for the Information and its Proposed Use: This
information collection will facilitate the collection of Section 3
information to assess the impact of HUD-assisted activities on
enhancing the employment opportunities for lower income persons and the
use of businesses that provide economic opportunities to them.
Form Number: Form HUD 958 and Form HUD 60002
Respondents: HUD recipients and their contractors and subcontractors
Frequency of Submission: Annually
Reporting Burden: Form Hud-60002
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Number Hours
Number of respondents of per Total
reports report hours
------------------------------------------------------------------------
58,403 (recipients)...................... 1 2 116,806
75,000 (contractors and subcontractors).. 1 2 150,000
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Form HUD-958
------------------------------------------------------------------------
Hours
Number of respondents Number of per Total
responses response hours
------------------------------------------------------------------------
100 complainants......................... 100 1 100
100 respondents.......................... 90 4 360
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Total Estimated Burden Hours: 534,072
Status: Revision of a currently approved collection
Contact: Maxine B. Cunningham, HUD (202) 708-2251, Joseph F. Lackey,
Jr., OMB (202) 395-6880
Date: May 2, 1994
Supporting Statement
1. Need for Information and Legal Requirements
Section 3 Reporting Form
Section 3 of the Housing and Urban Development Act of 1968
(Section 3) mandates that the Department ensure that employment and
other economic opportunities generated by its housing and community
development assistance programs are, to the greatest extent
feasible, directed toward low- and very low-income persons,
particularly those who are recipients of government assistance for
housing.
The Housing and Community Development Act (HCDA) of 1992
requires the Secretary of Housing and Urban Development (HUD) to
submit to the Congress, not later than one year after the date of
enactment, a report describing (1) the Secretary's efforts to
enforce Section 3; (2) barriers to full implementation of Section 3;
(3) the anticipated costs and benefits of full implementation of
Section 3; and (4) recommendations for legislative changes to
enhance the effectiveness of Section 3.
Congressional actions support the need for a data collection
instrument to assess Section 3's impact. Responding to a directive
in the Conference Report on the Housing and Community Development
Act of 1987, the Department in FY 1991 issued a report to Congress.
This report assessed the impact of HUD-assisted activities on
enhancing the employment opportunities for lower income persons and
the use of businesses located in the area of assisted projects.
Further, the Fair Housing Act, as amended in 1988, at Section
808(e)(6) requires the Secretary of HUD to report annually to
Congress, and make available to the public, data on beneficiaries of
HUD-assisted programs pursuant to Section 3. In addition, Section
562 paragraph (a) of the Housing and Community Development Act of
1987 requires HUD to collect data and report annually to Congress on
the racial and ethnic characteristics of persons eligible for,
assisted by or otherwise benefiting from each community development
and housing assistance program administered by HUD. Since the
provisions of Section 3 apply to community development and housing
assistance programs, Section 562 authorizes the Secretary to collect
information determined to be necessary and appropriate in order to
complete this report. In spite of these numerous reporting
requirements, no data is collected on Section 3 which allows the
Department to determine the potential or to evaluate the impact of
the statute in meeting its objectives.
Congress, as well as the Department's Office of Inspector
General, have admonished the Department in failing to systematically
implement Section 3. The primary impediment is the absence of a
regulation which conforms to the statute and applies to all Section
3 covered assistance.
The regulations governing Section 3 at 24 CFR Part 135 have been
revised to incorporate the statutory amendments in the Housing and
Community Development Act of 1992; reflect certain changes in the
Department's programs that are subject to the Section 3 regulations;
clarify the obligations of individuals and entities subject to the
requirements of Section 3; and simplify the Department's
administration of Section 3 requirements. The revised regulations
include recordkeeping and reporting requirements.
The section 3 proposed rule was published on October 8, 1993 for
public comment. As a result of comments received, the Department
made a number of changes to the rule. Accordingly, the previously
approved section 3 reporting form, OMB No. 2529-0043, was revised to
reflect the changes made in the rule.
Changes in the rule affecting the recordkeeping and reporting
requirements are the establishment of numerical goals to be reported
in staff hours for training and employment and numerical goals to be
reported in percentages for contracting opportunities. The section 3
reporting form, OMB No. 2529-0043, requested that data be reported
on the number of section 3 residents hired in available positions
and the total dollar amount of contracts awarded to section 3
business concerns. Based on revisions to the rule, the data
collection will reflect staff hours for new hires and section 3
positions, and a percentage of the total dollar amount of contracts
awarded to section 3 business concerns. These are elements needed
for an effective program performance measurement system as required
under the Government Performance and Results Act of 1993.
In addition, we are adding a Complaint Register which will be
used to file section 3 complaints for your approval. Although the
regulations implementing section 3, since 1973 have provided for HUD
processing of allegations of non-compliance, this is the first
request for OMB approval of a formal complaint form for this
requirement.
The Department is seeking a three year approval of the revised
section 3 reporting form, OMB No. 2529-0043; and the section 3
complaint form.
Complaint Register
The Complaint Register for section 3 of the Housing and Urban
Development Act of 1968 (Section 3 Compliant Form) is necessary for
the collection of information relative to the investigation of
allegations of noncompliance pursuant to Section 3 of the Housing
and Urban Development Act of 1968, as amended (Section 3). Section 3
requires that the Department, to the greatest extent feasible,
provide: (1) job and training opportunities for lower income persons
within that unit of local government or the metropolitan area (or
nonmetropolitan county) where the project is located; and (2)
business opportunities for firms located or owned in substantial
part by persons in the same metropolitan area (or nonmetropolitan
county) as the project. The regulation at 24 CFR part 135 provides
that Section 3 residents and business concerns may file a complaint
alleging noncompliance with Section 3 by a recipient, contractor or
subcontractor. The complaint must be filed within 180 days of the
alleged violation.
It is anticipated that the Section 3 Complaint Form will help to
expedite the acceptance of complaints because the form guides the
complainants to include all necessary components of the complaint,
thereby saving costs associated with staff time that would otherwise
be spent securing additional information that would be necessary to
complete a complaint.
Statutory Authority
The authorization for the information collection on the Section
3 Reporting Form is Section 3 of the Housing and Urban Development
Act of 1968, as amended, 12 U.S.C. 1701u. The implementing
regulations are found at 24 CFR Part 135 Subpart F--Recordkeeping
and Reporting.
The authorization for Section 3 Complaint Form is Section 3 of
the Housing and Urban Development Act of 1968, as amended, 12 U.S.C.
1701u. The implementing regulations are found at 24 CFR Part 135
Subpart D--Complaint and Compliance Review. The Section 3 Complaint
Form was developed to provide for uniformity in the information
that, by regulation, must be included in a complaint and for the
convenience of the public. The Section 3 regulation (24 CFR Part
135) states what each complaint should contain. For purposes of
meeting the time requirement for filing complaints (180 days),
initially these complaints do not have to be submitted on the form
that HUD provides.
2. Use of Information
The Section 3 Reporting Form will be used by the Department to
monitor program recipients' compliance with Section 3. HUD
Headquarters will use the information to assess the results of the
Department's efforts to meet the statutory objectives of Section 3.
Also, the data collected will be used by recipients as a self-
monitoring tool. If the information is not collected, HUD will be
unable to prepare the mandatory reports to Congress or to assess the
effectiveness of Section 3.
The Section 3 Complaint Form will be used by a complainant to
provide the necessary information to file a complaint. A complaint
may be filed by mail, in person or by telephone with the Office of
Fair Housing And Equal Opportunity (FHEO), Department of Housing and
Urban Development. FHEO staff will use the information provided by
this form as the basis for the Department's determination of
jurisdiction over a complainants' allegations.
3. Improved Technology To Reduce Burden
This issue is not applicable to the Section 3 Reporting Form.
The collection of data on the Section 3 Complaint Form is
consistent with the use of improved technology as the Department
prepares to convert their form to a direct electronic input source.
This electronic input source will reduce the burden of completing
the form manually before the information is stored on to an
electronic media for use in the Department's automated tracking
system.
4. Duplication
The Section 3 Reporting Form does not duplicate any other
reporting requirement in the Department.
The Section 3 Complaint Form does not duplicate any other
information collection process. HUD is the only Federal agency with
responsibility for administration of Section 3. This form is unique
to the processing of a allegation of noncompliance with the Section
3 statute or implementing regulations.
5. No Similar Information
No similar information is available to HUD with respect to the
Section 3 Reporting Form.
6. Small Business Burden
The collection of information by the Section 3 Reporting Form
involves recipients, contractors, and subcontractors receiving
Federal financial assistance for housing and community development
programs covered by Section 3. To minimize the burden, the
Department has attempted to provide clear guidance on the required
information collection. This guidance will prevent the recipient
from collecting and submitting unnecessary or duplicative
information. The Section 3 regulations apply to any Public and
Indian Housing programs that receive: (1) Development assistance
pursuant to Section 5 of the U.S. Housing Act of 1937; (2) operating
assistance pursuant to Section 9 of the U.S. Housing Act of 1937; or
(3) modernization grants pursuant to Section 14 of the U.S. Housing
Act of 1937. The regulations also apply to other housing and
community development assistance expended for: (1) housing
rehabilitation (including reduction and abatement of lead-based
paint hazards); (2) housing construction; (3) other public
construction projects; and (4) housing and community development
assistance for which the HUD share of the project cost (as defined
in Sec. 135.5) for such activity exceeds $100,000, or the amount of
any subcontract awarded in connection with the covered activity
exceeds $50,000.
Recipients and contractors subject to Section 3 requirements
must maintain appropriate documentation to establish that, at a
minimum, a good faith effort was made to provide economic
opportunities resulting from financial assistance for housing and
community development programs to low- and very low-income
residents. Each recipient who receives Section 3 covered assistance
from HUD shall submit to the Assistant Secretary for Fair Housing
and Equal Opportunity an annual report in such form and with such
information as the Assistant Secretary may request, for the purpose
of determining the results of Section 3 activities.
These results are used to assess the impact of the law, to
target monitoring and compliance reviews, and to prepare reports to
Congress.
A Section 3 complaint may be filed by an individual representing
the interests of a small business. The information required on the
Section 3 Complaint Form, is the same type of information
voluntarily provided by a person representing an individual.
Complainants are individuals or businesses who chose to submit this
form to HUD, and by electing to do so, are required to only submit
it once. No reporting of any kind is required, nor are respondents
remunerated by HUD for this effort.
7. Reporting Cycle
Section 3 Reporting Form information will be collected annually.
The report may be submitted on the same cycle as the performance
report required by the program under which Section 3 covered
assistance is provided. Where a performance report is not required,
the Section 3 report is due to the local HUD (Category A) Office
within ten (10) days after the end of the reporting period indicated
in Block 8 of form HUD-60002 or at the completion of the project if
sooner. Also, an annual reporting cycle will assist HUD in meeting
its reporting requirements under Section 808(e)(6) of the Fair
Housing Act, Section 561 of the HCDA of 1987 and Section 916 of the
HCDA of 1992. This report also will assist the Department in
evaluating and managing program performance.
The Section 3 Complaint Form mandates no specific requirements
with respect to the frequency of collection of information. The
Section 3 Compliant Form is made available to the public for use by
individuals or businesses who wish to file a Section 3 compliant
with HUD. Complaints are individuals who chose to submit this form
to HUD, and by electing to do so, are required to only submit it
once. No remunerated by HUD for this effort.
8. Consistency With 5 CFR 1320.6
Use of the Section 3 Reporting Form is consistent with 24 CFR
part 1320.6.
Use of the Section 3 Complaint Form is consistent with 24 CFR
part 1320.6.
9. Outside Consultation
Pursuant to statutory requirements, staff from the Departments
of Labor and Commerce, and the Small Business Administration have
been contacted regarding the Section 3 Reporting Form. The attached
Section 3 Reporting Form--Economic Opportunities for Low- and Very
Low-Income Persons, Housing and Urban Development Act of 1968, has
been developed by the Section 3 Compliance Division for collecting
Section 3 data. Form HUD-2516 is modified to collect Section 3
contracting data from public and Indian housing programs and all
community development programs except those administered by States.
Form HUD-60002 is designed to collect Section 3 contracting data
from all other Section 3 covered programs and to collect training
and employment data on all Section 3 covered programs. These data
collection forms are the only instruments that collect Section 3
employment, training and contracting information.
No one was consulted outside the Department with respect to the
Section 3 Complaint Form. The instructions are specific, and the
information provided by the complainant is unique on each form.
10. Confidentiality
An assurance of confidentiality is not applicable to the Section
3 Reporting Form. The form will be filed with HUD's Office of Fair
Housing and Equal Opportunity. The Privacy Act of 1974 and OMB
Circular A-108 are not applicable.
All information collected by the Section 3 Complaint Form
complies with the Privacy Act of 1974 and OMB Circular A-108,
``Responsibilities for Maintenance of Records About Individuals by
Federal Agencies''. Each respondent is apprised of the filing of a
Section 3 Complaint against them. However, information obtained
during the investigation is held in confidence and may not be
divulged while the investigation is in progress.
11. Sensitive Questions
The Section 3 Reporting Form reporting requirements do not
contain sensitive questions. The information requested deals with
the results of the recipient's good faith efforts to provide
opportunities for lower income residents to receive job training and
employment and for local businesses to receive contracts in
connection with HUD assisted programs. Data is cumulative and
personal identifying information is not included.
The Section 3 Complaint Form does not request information of a
sensitive nature such as sexual behavior and attitudes, religious
beliefs and other matters that are commonly considered private.
Section 3 is racially neutral and as such the complaint form does
not request information regarding the complainants' race, color,
sex, or national origin because these areas are not protected
classes or issues which determine beneficiaries of Section 3. The
information provided on this complaint form is given voluntarily and
provides the basis for HUD's investigation of the complaint to
determine if the allegations of noncompliance are valid.
12. Estimate of Costs
For HUD Section 3 Reporting Form--Preparing the Report
FHEO:
GS-13 to compile and analyze the information at $25.18 per
hour for approximately 8 hours........................... $201.44
GS-15 to review and approve at $35 per hour for
approximately 3 hours.................................... 105.00
GS-7 to type, copy, and prepare report for mailing at
$11.94 per hour for approximately 8 hours................ 95.52
Mailing costs for first class for 58,403 packages per
recipient @ $1 per report. (33,000 PHI recipients, 403
Housing recipients, & 25,000 CPD recipients)............. 58,403.00
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Total................................................. 58.804.96
For Respondents--Recordkeeping and Reporting Recipients
One professional staff at $25 per hour for approximately 3
hours...................................................... 75.00
One secretary to type, copy, and prepare report for mailing
at $11 per hour for approximately 12 hours................. 132.00
Mailing costs for first class for 1 package @ $1 per report. 1.00
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Total................................................. 208.00
Contractors
One professional staff at $25 per hour for approximately 1\1/
2\ hours................................................... 37.50
One secretary to type, copy, and prepare report for mailing
at $11 per hour for approximately 4 hours.................. 44.00
Mailing costs for first class for one package @ $1 per
report..................................................... 1.00
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Total................................................. 82.50
For HUD--Reviewing the Section 3 Complaint Form
FHEO:
GS-12 to review each Section 3 Complaint Form at $19 per
hour for \1/3\hour.......................................
HUD anticipates a receipt of 100 complaints annually. 100
complaints x .33 minutes = 33 hrs........................
33 hrs x $19 per hour..................................... 627.00
10 % overhead............................................. 62.70
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Total................................................. 689.70
For Complainants--Completion of Section 3 Complaint Form
This form is voluntarily filled out by a Section 3
Complainant in one hour. There is no financial investment
required or expected
For Respondents--Completion of Section 3 Complaint Form
A Respondent does not complete the Section 3 Complaint Form.
However, the respondent is required to respond and/or
resolve the allegations identified on the Section 3
Complaint Form. The estimated time for response is four (4)
hours. The estimated cost for this response time is as
follows:
One professional staff (attorney) at $75 per hour for
approximately 3 hours.................................... 225.00
One secretary to type, copy, and prepare response for
mailing at $11 per hour for approximately 1 hour......... 11.00
Mailing costs for first class for one package @ $1 per
response................................................. 1.00
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Total................................................. 237.00
13. Estimate of Collection Burden
For the Section 3 Reporting Form the total universe of potential
respondents, including recipients, prime contractors and
subcontractors, is approximately 133,403. We anticipate that about
58,403 respondents (HUD recipients) will submit summary reports to
HUD. Prime contractors and subcontractors will submit reports, as
requested, to the recipients. The required summary report from the
recipients is submitted to HUD annually, 10 days after the end of
the designated reporting period. The information is generated by the
recipient through maintaining documentation that summarizes efforts
made, and the results of those efforts, to provide opportunities for
training and employment arising from HUD assistance to low- and very
low-income residents. The data will be recorded on the Section 3
reporting form (form HUD-60002, Economic Opportunities for Low- and
Very Low-Income Persons). It is estimated that two hours per
reporting period will be required of the recipients, contractors and
subcontractors to prepare the Section 3 report. We estimate that the
burden will not vary significantly among the respondents.
Form HUD-60002
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Number Hours
Number of respondents of per Total
reports report hours
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58,403 (recipients)....................... 1 2 116,806
75,000 (contractors and subcontractors)... 1 2 150,000
------------------------------------------------------------------------
For the Section 3 Complaint Form, the Department estimates that
during the course of a year approximately 100 Section 3 complaints
will be filed. It is anticipated that it will take the complainant
approximately one (1) hour to complete the complaint form. It is
anticipated that it will take the respondent approximately four
hours to respond to the allegations of the complaint. Of the 100
complaints anticipated for receipt, HUD does not expect to require
or receive a response from each respondent. About 10% of the
complaints received will be administratively closed for lack of
jurisdiction prior to the notification of the respondent. Therefore,
the number of responses by the respondent has been lessened by 10%
(to 90 responses) resulting in 360 total response hours for a
respondent.
The total number of burden hours for the Section 3 Complaint
Form is 460 hours calculated as follows:
Section 3 Complaint Form
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Hours
Number of per Total
Number of respondents responses response hours
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100 complainants......................... 100 1 100
100 respondents.......................... 90 4 360
Recordkeeping:
133,403 recipients, contractors &
subcontractors........................ 1 4 266,806
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14. Change in Burden
The Section 3 Reporting Form is revised to reflect public
comments to the proposed rule.
This is the first time that the Section 3 Complaint Form
information has been requested.
15. Publication of Data
There are no existing plans for the tabulation and publication
of Section 3 Reporting Form data.
There are no existing plans for the tabulation and publication of
Section 3 Complaint Form data.
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[FR Doc. 94-11837 Filed 5-13-94; 8:45 am]
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