HomeMy WebLinkAboutExhibit7AI IAC-
,\'\E/\iT A
Pt. 583
submitted in response to the most re-
cently published notice of fund avail-
ability and select applications for fund-
ing with the deobligated funds. Such
selections would be made in accordance
with the selection process described in
5582.220 of this part. Any selections
made using deobligated funds will be
subject to applicable appropriation act
requirements governing the use of
deobligated funding authority.
(Approved by the Office of Management and
Budget under control number 2506-0118)
PART 583—SUPPORTIVE HOUSING
PROGRAM
Subpart A —General
Sec.
583.1 Purpose and scope.
583.5 Definitions.
Subpart 8—Assistance Provided
583.100 Types and uses of assistance.
583.105 Grants for acquisition and rehabili-
tation,
583.110 Grants for new construction.
583.115 Grants for leasing.
583.120 Grants for supportive service costs.
583.125 Grants for operating costs.
583.130 Commitment of grant amounts for
leasing. supportive services. and oper-
ating costs.
583.135 Administrative costs.
583.140 Technical assistance.
583.145 Matching requirements.
583.150 Limitations on use of assistance.
583.155 Consolidated plan.
Subpart C—Application and Grant Award
Process
583.200 Application and grant award.
583.230 Environmental review.
583.235 Renewal grants.
Subpart D—Progrom Requirements
583.300 General operation.
583.305 Term of commitment: repayment Of
grants; prevention of undue benefits.
583.310 Displacement. relocation, and acqui-
sition.
583.315 Resident rent.
583.320 Site control,
583.325 Nondiscrimination and equal oppor•
[unity requirements
583.330 Applicability of other Federal re-
quirements.
Subpart E—Administration
583.400 Grant agre'ettrrnt
24 CFR Ch. V (4-1-05 Edition)
583.405 Program changes.
5113.410 Obligation and deobligation of funds.
AUTHORITY: 42 U.S.C. 11389 and 3535(d).
SoU:RCE: 58 FR 13871. Mar. 15, 1993, unless
otherwise noted.
Subpart A—Generat
§583.I Purpose and scope.
(a) General. The Supportive Housing
Program is authorized by title IV of
the Stewart B. McKinney Homeless As-
sistance Act (the McKinney Act) (42
U.S.C. 11381-11389). The Supportive
Housing program is designed to pro-
mote the development of supportive
housing and supportive services. in-
cluding innovative approaches to assist
homeless persons in the transition
from homelessness, and to promote the
provision of supportive housing to
homeless persons to enable them to
live as independently as possible.
(b) Components. Funds under this part
may be used for:
(1) Transitional housing to facilitate
the movement of homeless individuals
and families to permanent housing:
(2) Permanent housing that provides.
long-term housing for homeless persons
with disabilities:
(3) Housing that is, or is part of, a
particularly innovative project for, or
alternative methods of, meeting the
immediate and long-term needs of
homeless persons: or
(4) Supportive services for homeless
persons not provided in conjunction
with supportive housing.
158 FR 13871. Mar. 15. 1993. as amended at 61
FR 51175. Sept. 30. 19961
*583.5 Definitions.
As used in this part:
.applicant is defined in section 422(1)
of the McKinney Act (42 U.S.C.
11382(1)). For purposes of this defini-
tion. governmental entities include
those that have general governmental
powers (such as a city or county), as
%tell as those that have limited or spe-
cial powers (such as public housing
agencies).
Consolidated plan means the plan that
a jurisdiction prepares and submits to
HUD in accordance .with 24 CFR part
91.
248
Ofc. of Asst. Secy., Comm. Planning, Develop., HUD § 583.100
Date of initial occupancy means the
dace that the supportive housing is ini-
tially occupied by a homeless person
for whom HUD provides assistance
under this part. If the assistance'is for
an existing homeless facility, the date
of initial occupancy is the date chat
services are first provided to the resi-
dents of supportive housing with fund-
ing under this part.
Date of Initial service provision means
the date that supportive services are
initially provided with funds under this
part to homeless persons who do not
reside in supportive housing. This defi-
nition applies only to projects funded
under this part that do not provide sup-
portive housing.
Disability is defined in section 422(2)
of the McKinney Act (42 U.S.C.
11382(2)).
Homeless person means an individual
or family that is described in section
103 of the McKinney Act (42 U.S.C.
11302).
Metropolitan city is defined in section
102(a)(4) of the Housing and Commu-
nity Development Act of 1974 (42 U.S.C.
5302(a)(4)). In general. metropolitan cit-
ies are those cities that are eligible for
an entitlement grant under 24 CFR
part 570. subpart D.
New construction means the building
of a structure where none existed or an
addition to an existing structure that
increases the floor area by more than
lee percent.
Operating costs is defined in section
422(5) of the McKinney Act (42 U.S.C.
11382(5)).
Outpatient health services is defined in
section 422(6) of the McKinney Act (42
U.S.C. 11382(6)).
Permanent housing for homeless persons
rs•fth disabilities is defined in section
424(c) of the McKinney Act (42 U.S.C.
11384(c)).
Private nonprofit organization is de-
fined in section 422(7) (A). (B). and (D)
of the McKinney Act (42 U.S.C. 11382(7)
)A), (B), and (D)). The organization
must also have a functioning account-
ing system that is operated in accord•
ance with generally accepted account-
ing principles. or designate an entity
that %%ill maintain a functioning ac-
counting system for the organization
in accordance with generally accepted
accounting principles.
Project is defined in sections 422(8)
and 424(d) of the McKinney Act (42
U.S.C. 11382(8), 11384(d)).
Recipient is defined in section 422(9) of
the McKinney Act (42 U.S.C. 11382(9)).
Rehabilitation means the improve-
ment or repair of an existing structure
or an addition to an existing structure
that does not increase the floor area by
more than 100 percent. Rehabilitation
does not include minor or routine re-
pairs.
State is defined in section 422(11) of
the McKinney Act (42 U.S.C. 11382(11)).
Supportive housing is defined In sec-
tion 424(a) of the McKinney Act (42
U.S.C. 11384(a)).
Supportive services is defined in sec-
tion 425 of the McKinney Act <42 U.S.C.
11385).
Transitional housing is defined in sec-
tion 424(b) of the McKinney Act (42
U.S.C. 11384(b)). See also § 583.300Q).
Tribe Is defined in section 102 of the
Housing and Community Development
Act of 1974 (42 U.S.C. 5302).
Urban county is defined in section
102(a)(6) of the Housing and Commu-
nity Development Act of 1974 (42 U.S.C.
5302(a)(6)). In general. urban counties..
are those counties that are eligible for
an entitlement grant under 24 CFR
part 570, subpart D.
161 FR 5I175, Sept. 30. 19961
Subpart B—Assistance Provided
§583.100 Types and uses of assistance.
(a) Grant assistance. Assistance in the
form of grants is available for acquisi-
tion of structures. rehabilitation of
structures. acquisition and rehabilita-
tion of structures, new construction,
leasing, operating costs for supportive
housing, and supportive services, as de-
scribed in §§583.105 through 583.125. Ap-
plicants may apply for more than one
type of assistance.
(b) Uses of grant .assistance. Grant as-
sistance may be used to:
(1) Establish new supportive housing
facilities or new facilities to provide
supportive services:
(2) Expand existing facilities in order
to increase the number of homeless
persons served:
i3) Bring existing facilities up to a
level that meets State and local gov-
ernment health and safety standards;
249
§ 583.105
(4) Provide additional supportive
services for residents of supportive
housing or for homeless persons not re-
siding in supportive housing;
(5) Purchase HUD -owned single' fam-
ily properties currently leased by the
applicant for use as a homeless facility
under 24 CFR part 291; and
(6) Continue funding supportive hous-
ing where the recipient has received
funding under this part for leasing.
supportive services. or operating costs.
(c) Structures used for multiple pur-
poses. Structures used to provide sup-
portive housing or supportive services
may also be used for other purposes,
except that assistance under this part
will be available only in proportion to
the use of the structure for supportive
housing or supportive services.
(d) Technical assistance. HUD may
offer technical assistance, as described
in §583.140.
158 FR 13871, Mar. 15. 1993, as amended at 59
FR 36891. July 19. 19941:
583.105 Grants for acquisition and
rehabilitation.
(a) Use. HUD will grant funds to re-
cipients to:
(1) Pay a portion of the cost of the
acquisition of real property selected by
the recipients for use in the provision
of supportive housing or supportive
services, including the repayment of
any outstanding debt on a loan made
to purchase property that has not been
used previously as supportive housing
or for supportive services;
(2) Pay a portion of the cost of reha-
bilitation of structures, including cost-
effective energy measures, selected by
the recipients to. provide supportive
housing or supportive services; or
(3) Pay a portion of the cost of acqui-
sition and rehabilitation of structures.
as described in paragraphs (a)(1) and (2)
of this section.
(b) Amount. The maximum grant
available for acquisition, rehabi lita-
tion, or acquisition and rehabilitation
is the lower of:
(1) $200,000: or
(2) The total cost of the acquisition.
rehabilitation, or acquisition and reha-
bilitation minus the applicant's con-
tribution toward the cost.
(c) Increased amounts. In areas deter-
mined by HUD to have high acquisition
24 CFR Ch. V (4-1-05 Edition)
and rehabilitation costs, grants of
more than $200,000, but not more than
$400,000. may be available.
§583.110 Grants for new construction.
(a) Use. HUD will grant funds to re-
cipients to pay a portion of the cost of
new construction, including cost-effec-
tive energy measures and the cost of
land associated with that construction,
for use in the provision of supportive
housing. if the grant funds are used for
new construction, the applicant must
demonstrate that the costs associated
with new construction are substan-
tially less than the costs associated
with rehabilitation or that there is a
lack of available appropriate units that
could be rehabilitated at a cost less
than new construction. For purposes of
this cost comparison, costs associated
with rehabilitation or new construc-
tion may include the cost of real prop-
erty acquisition.
(b) Amount. The maximum grant
available for new construction is the
lower of:
(1) 3400,000; or
(2) The total cost of the new con-
struction. including the cost of land as-
sociated with that construction, minus
the applicant's contribution toward the
cost of same.
§ 583.1 I5 Grants for leasing.
(a) General. HUD will provide grants
to pay (as described in §583.130 of this
part) for the actual costs of leasing a
structure or structures, or portions
thereof, used to provide supportive
housing or supportive services for up to
five years.
(b)(1) Leasing structures. Where grants
are used to pay rent for all or part of
structures, the rent paid must be rea-
sonable in relation to rents being
charged in the area for comparable
space. In addition. the rent paid may
not exceed rents currently being
charged by the same owner for corn -
parable space.
(2) Leasing individual units. Where
grants are used to pay rent for indi-
vidual housing units, the rent paid
must be reasonable in relation to rents
being charged for comparable units,
taking into account the location, size,
type, quality, amenities, facilities, and
management services. In addition, the
250
Ofc. of Asst. Secy., Comm. Planning, Develop., HUD § 583.140
rents may not exceed rents currently
being charged by the same owner for
comparable unassisted units, and the
portion of rents paid with grant funds
may. not exceed HUD -determined fair
market rents. Recipients may use
grant funds in an amount up to one
month's rent to pay the non -recipient
landlord for any damages to leased
units by homeless participants.
(58 FR 13871, Mar. 15, 1993, as amended at 59
FR 36891. July 19, 19941
(c) Recipient match requirement for op-
erating costs. Assistance for operating
costs will be available for up to 75 per-
cent of the total cost in each year of
the grant term. The recipient must pay
the percentage of the actual operating
costs not funded by HUD. At the end of
each operating year, the recipient must
demonstrate that it has met its match
requirement of the costs for that year.
158 FR 13871, Mar. 15, 1993. as amended at 61
FR 51175, Sept. 30, 1996; 65 FR 30823. May 12.
20001
f 583.130 Commitment of grant
amounts for leasing, supportive
services, and operating costs.
Upon execution of a grant agreement
covering assistance for leasing, sup-
portive services. or operating costs.
HUD will obligate amounts for a period
not to exceed five operating years. The
total amount obligated will be equal to
an amount necessary for the specified
years of operation. less the recipient's
share of operating costs.
(Approved by the Office of Management and
Budget under OMB control number 2506-0112)
(59FR36891,July 19. 19941
*583.135 Administrative costs.
(a) General. Up to five percent of any.
grant awarded under this part may be
used for the purpose of paying costs of
administering the assistance.
(b) Administrative costs. Administra-
tive costs include the costs associated
with accounting for the use of grant
funds. preparing reports for submission
to HUD, obtaining program audits,
similar costs related to administering
the grant after the award, and staff sal-
aries associated with these administra-
tive costs. They do not include the
costs of carrying out eligible activities
under 55 583.105 through 583.125.
158 FR 13871. Mar. 15, 1993, as amended at 61
FR 51175. Sept. 30. 19961
1583.140 Technical assistance.
(a) General. HUD may set aside funds
annually to provide technical assist-
ance. either directly by HUD staff or
indirectly through third -party pro-
viders, for any supportive housing
surance. project. This technical assistance is for
583.120 Grants for supportive serv-
ices costs.
(a) General. HUD will provide grants
to pay '(as described in 5583.130 of this
part) for the actual costs of supportive
services for homeless persons for up to
five years. All or part of the supportive
services may be provided directly by
the recipient or by arrangement with
public or private service providers.
(b) Supportive services costs. Costs as-
sociated with providing supportive
services include salaries paid to pro-
viders of supportive services and any
other costs directly associated with
providing such services. For a transi-
tional housing project, supportive serv-
ices costs also include the costs of serv-
ices provided to former residents of
transitional housing to assist their ad-
justment to independent living. Such
services may be provided for up to six
months after they leave the transi-
tional housing facility.
158 FR 13871. Mar. 15, 1993. as amended at 59
FR 36891. July 19, 19941
§583.125 Grants for operating costs.
(a) General. HUD will provide grants
to pay a portion (as described in
4583.130) of the actual operating costs
of supportive housing for up to five
years.
(b) Operating costs. Operating costs
are chose associated with the day•to-
clay operation of the supportive hous-
ing. They also include the actual ex-
penses that a recipient incurs for con-
ducting on -going assessments of the
supportive services needed by residents
and the availability of such services;
relocation assistance under 4583.310, in-
cluding payments and services: and in-
251
§ 583.145
the purpose of promoting the develop-
ment of supportive housing and sup-
portive services as part of a continuum
of care approach, including innovative
approaches to assist homeless parsons
in the transition from homelessness,
and promoting the provision of sup-
portive housing to homeless persons to
enable them to live as independently as
possible.
(b) Uses of technical assistance. HUD
may use these funds to provide tech-
nical assistance to prospective appli-
cants. applicants, recipients, or other
providers of supportive housing or serv-
ices for homeless persons, for sup-
portive housing projects. The assist;
ance may include, but is not limited to,
written information such as papers,
monographs. manuals, guides, and bro-
chures; person -to -person exchanges;
and training and related costs.
(c) Selection of providers. From time
to time,. as HUD determines the need,
HUD may advertise and competitively
select providers to deliver technical as-
sistance. HUD may enter into con-
tracts, grants, or cooperative agree-
ments, when necessary, to implement
the technical assistance.
159 FR 36892, July'19. 19941
§ 583.145 Matching requirements.
(a) General. The recipient must
match the funds provided by HUD for
grants for acquisition. rehabilitation,
and new construction with an equal
amount of funds from other sources.
(b) Cash resources. The matching
funds must be cash resources provided
to the project by one or more of the
following: the recipient, the Federal
government, State and local govern-
ments. and private resources.
(c) Maintenance of effort. State or
local government funds used in the
matching contribution are subject to
the maintenance of effort requirements
described at §583.150(a).
§583.150 Limitations on use of assist-
ance.
(a) Maintenance of effort. No assist-
ance provided under this part (or any
State or local government funds used
to supplement this assistance) may be
used to replace State or local funds
previously used. or designated for use,
to assist homeless persons.
24 CFR Ch. V (4-1-05 Edition)
(b) Faith -based activities. (1) Organiza-
tions that are religious or faith -based
are eligible, on the same basis as any
other organization, to participate in
the Supportive Housing Program. Nei-
ther the Federal government nor a
State or local government receiving
funds under Supportive Housing pro-
grams shall discriminate against an or-
ganization on the basis of the organiza-
tion's religious character or affiliation.
(2) Organizations that are directly
funded under the Supportive Housing
Program may not engage in inherently
religious activities, such as worship,
religious instruction, or proselytiza-
tion as part of the programs or services
funded under this part. If an organiza-
tion conducts such activities, the ac-
tivities must be offered separately, in
time or location, from the programs or
services funded under this part, and
participation must be voluntary for the
beneficiaries of the HUD -funded pro-
grams or services.
(3) A religious organization that par-
ticipates in the Supportive Housing
Program will retain its independence
from Federal, State, and local govern-
ments. and may continue to carry out
its mission. including the definition,
practice, and expression of its religious
beliefs, provided that it does not use di-
rect Supportive Housing Program
funds to support any inherently reli-
gious activities, such as worship, reli-
gious instruction, or proselytization.
Among other things, faith -based orga-
nizations may use space in their facili-
ties to provide Supportive Housing
Program -funded services, without re-
moving religious art, icons, scriptures,
or other religious symbols. In addition,
a Supportive Housing Program -funded
religious organization retains its au-
thority over its internal governance,
and it may retain religious terms in its
organization's name. select its board
members on a religious basis, and in-
clude religious references in its organi-
zation's mission statements and other
governing documents.
(-I) An organization that participates
in the Supportive Housing Program
shall not. in providing program assist-
ance. discriminate against a program
beneficiary or prospective program
beneficiary on the basis of religion or
religious. belief.
252
Ofc. of Asst. Secy., Comm. Planning, Develop., HUD § 583.155
(5) Program funds may not ,be used
for the acquisition, construction, or re-
habilitation of structures to the extent
that those structures are used for in-
herently religious activities. Program
funds may be used for the acquisition,
construction. or rehabilitation of
structures only to the extent that
those structures are used for con-
ducting eligible activities under this
part. Where a structure Is used for both
eligible and inherently religious activi-
ties. program funds may not exceed the
cost of those portions of the acquisi-
tion, construction, or rehabilitation
that are attributable to eligible activi-
ties in accordance with the cost ac-
counting requirements applicable to
Supportive Housing Program funds in
this part. Sanctuaries, chapels, or
other rooms that a Supportive Housing
Program -funded religious congregation
uses as its principal place of worship.
however, are ineligible for Supportive
Housing Program -funded improve-
ments. Disposition of real property
after the term of the grant, or any
change in use of the property during
the teen of the grant, is subject to gov-
ernment -wide regulations governing
real property disposition (see 24 CFR
parts 84 and 85).
(6) If a State or local government vol-
untarily contributes its own funds to
supplement federally funded activities.
the State or local government has the
option to segregate the Federal funds
or commingle there. However. if the
funds are commingled, this section ap-
plies to all of the commingled funds.
(c) Participant control of site. Where an
applicant does not propose to have con-
trol of a site or sites but rather pro-
poses to assist a homeless family or in-
dividual in obtaining a lease, which
may include assistance with rent pay-
ments and receiving supportive serv-
ices, after which time the family or in-
dividual remains in the same housing
without further assistance under this
part, that applicant may not request
assistance for acquisition, rehabilita-
tion. or new construction.
158 FR 13871..Mar 1j. 1993. as arnenJer, at 59
FR 36892. Jul 19. 1993. rib FR 56407. Sept. 30.
20031
11583.155 Consolidated plan.
(a) Applicants that are States or units
of general local government. The appli-
cant must have a HUD -approved com-
plete or abbreviated consolidated plan,
in accordance with 24 CFR part 91, and
must submit a certification that the
application for funding is consistent
with the HUD -approved consolidated
plan. Funded applicants must certify in
a grant agreement that they are fol-
lowing the HUD -approved consolidated
plan.
(b) Applicants that are not States or
units of general local government. The
applicant must submit a certification
by the jurisdiction in which the pro-
posed project will be located that the
applicant's application for funding is
consistent with the jurisdiction's HUD -
approved consolidated plan. The cer-
tification must be made by the unit of
general local government or the State.
in accordance with the consistency cer-
tification provisions of the consoli-
dated plan regulations. 24 CFR part 91
subpart F.
(c) Indian tribes and the Insular Areas
of Guam, the U.S. Virgin Islands, Amer-
ican Samoa. and the Northern Mariana
Islands. These entities are not required
to have a consolidated plan or to make
consolidated plan certifications. An ap-
plication by an Indian tribe or other
applicant for a project that will be lo-
cated on a reservation of an Indian
tribe will not require a certification by
the tribe or the State. However. where
an Indian tribe is the applicant for a
project that will not be located on a
reservation. the requirement for a cer-
tification under paragraph (b) of this
sect ion will apply.
(d) Tinting of consolidated plan certifi-
cation submissions. Unless otherwise set
forth in the NOFA, the required certifi-
cation that the application for funding
is consistent with the HUD -approved
consolidated plan must be submitted
by the funding application submission
deadline announced in the NOFA.
160 FR 16380. Mar 30. 19951
253
§ 583.200
Subpart C—Application and Grant
Award Process
*583.200 Application and grant award.
When funds are made available for
assistance. HUD will publish a notice
of funding availability (NOFA) in the
FEDERAL REGISTER, in accordance with
the requirements of 24 CFR part 4. HUD
will review and screen applications in
accordance with the requirements in
section 426 of the McKinney Act (42
U.S.C. 11386) and the guidelines, rating
criteria, and procedures published in
the NOFA.
161 FR SI I76. Sept. 30. I996J
§ 583.230 Environmental review.
(a) Activities under this part are sub-
ject to HUD environmental regulations
in part 58 of this title, except that HUD
will perform an environmental review
in accordance with part 50 of this title
prior to its approval of any condi-
tionally selected applications for Fis-
cal Year 2000 and prior years that were
received directly from private non-
profit entities and governmental enti-
ties with special or limited purpose
powers. For activities under a grant
that generally would be subject to re-
view under part 58, HUD may make a
finding in accordance with §58.I l(d) and
may itself perform the environmental
review under the provisions of part 50
of this title if the recipient objects in
writing to the responsible entity's per-
forming the review under part 58. Irre-
spective of whether the responsible en-
tity in accord with part 58 (or HUD in
accord with part 50) performs the envi-
ronmental review, the recipient shall
supply all available. relevant informa-
tion necessary for the responsible enti-
ty (or HUD. if applicable) to perform
for each property any environmental
review required by this part. The re-
cipient also shall carry out mitigating
measures required by the responsible
entity (or HUD. if applicable) or select
alternate eligible property. HUD may
eliminate from consideration any ap-
plication .that would require an Envi-
ronmental Impact Statement (EIS).
(b) The recipient. its project partners
and their contractors may not acquire,
rehabilitate. convert, lease, repair. dis-
pose of. demolish or construct property
24 CFR Ch. V (4-1-05 Edition)
for a project under this part, or corn-
mit or expend HUD or local funds for
such eligible activities under this part,
until the responsible entity (as defined
in §58.2 of this title) has completed the
environmental review procedures re-
quired by part 58 and the environ-
mental certification and RROF have
been approved or HUD has performed
an environmental review under part 50
and the recipient has received HUD ap-
proval of the property. HUD will not
release grant funds if the recipient or
any other party commits grant funds
(i.e.. incurs any costs or expenditures
to be paid or reimbursed with such
funds) before the recipient submits and
HUD approves its RROF (where such
submission is required).
168 FR 56131. Sept. 29, 20031
§ 583.235 Renewal grants.
(a) Genera/. Grants made under this
part, and grants made under subtitles
C and D (the Supportive Housing Dem-
onstration and SAFAH, respectively) of
the Stewart B. McKinney Homeless As-
sistance Act as in effect before October
28, 1992, may be renewed on a non-
competitive basis to continue ongoing
leasing, operations, and supportive
services for additional years beyond
the initial funding period. To be con-
sidered for renewal funding for leasing,
operating costs, or supportive services,
recipients must submit a request for
such funding in the form specified by
HUD, must meet the requirements of
this part, and must submit requests
within the time period established by
HUD.
(b) Assistance available. The first re-
newal will be for a period of time not
to exceed the difference between the
end of the initial funding period and
ten years from the date of initial occu-
pancy or the date of initial service pro-
vision. as applicable. Any subsequent
renewal will be for a period of time not
to exceed five years. Assistance during
each year of the renewal period, sub-
ject to maintenance of effort require-
ments under § 583.150(a) may be for:
(1) Up to 50 percent of the actual op-
erating and leasing costs in the final
year of the initial funding period:
(2) Up to the amount of HUD assist-
ance for supportive services in the final
year of the initial funding period: and
254
Ofc. of Asst. Secy., Comm. Planning, Develop., HUD § 583.300
(3) An allowance for cost increases.
(c) HUD review. (1) HUD will review
the request for renewal and will evalu-
ate the recipient's performance in pre-
vious years against the plans and goals
established in the initial application
for assistance, as amended. HUD will
approve the request for renewal unless
the recipient proposes to serve a popu-
lation that is not homeless, or the re-
cipient has not shown adequate
progress as evidenced by an unaccept-
ably slow expenditure of funds. or the
recipient has been unsuccessful in as-
sisting participants in achieving and
maintaining independent. living. In de-
termining the recipient's success in as-
sisting participants to achieve and
maintain independent living. consider-
ation will be given to the level and
type of problems of participants. For
recipients with a poor record of suc-
cess, HUD will also consider the recipi-
ent's willingness to accept technical
assistance and to make changes sug-
gested by technical assistance pro-
viders. Other factors which will affect
HUD's decision to approve a renewal
request include the following: a con-
tinuing history of inadequate financial
management accounting practices, in-
dications of mismanagement on the
part of the recipient, a drastic reduc-
tion in the population served by the re-
cipient. program changes made by the
recipient without prior HUD approval,
and loss of project site.
(2) HUD reserves the right to reject a
request from any organization with an
outstanding obligation to HUD that is
in arrears or for which a payment
schedule has not been agreed to, or
whose response to an audit finding is
overdue or unsatisfactory.
(3) HUD will notify the recipient in
writing that the request has been ap-
proved or disapproved.
(,approved by the Office of hianagemert and
Budget under control number 2506-01 i2)
Subpart D—Program Requirements
583.300 General operation.
(a) State and inc-al requirements. Each
recipient of assistance under this part
must provide housing or services that
are in compliance with all applicable
State and local housing codes, licens-
ing requirements. and any other re-
quirements in the jurisdiction in which
the project is located regarding the
condition of the structure and the op-
eration of the housing or services.
(b) Habitability standards. Except for
such variations as are proposed by the
recipient and approved by HUD, sup-
portive housing must meet the fol-
lowing requirements:
(1) Structure and materials. The struc-
tures must be structurally sound so as
not to pose any threat to the health
and safety of the occupants and so as
to protect the residents from the ele-
ments.
{2) Access. The housing must be acces-
sible and capable of being utilized
without unauthorized use of other pri-
vate properties. Structures must pro-
vide alternate means of egress in case
of fire.
(3) Space and .security. Each resident
must be afforded adequate space and
security for themselves and their be-
longings. Each resident must. be pro-
vided an acceptable place to sleep.
(4) Interior air quality. Every room or
space must be provided with natural or
mechanical ventilation. Structures
must be free of pollutants in the air at
levels that threaten the health of resi-
dents.
(5) Water supply. The water supply
must be free from contamination.
(6) Sanitary facilities. Residents must
have access to sufficient sanitary fa-
cilities that are in proper operating
condition, may be used in privacy. and
are adequate for personal cleanliness
and the disposal of human waste.
(7) Thermal environment. The housing
must have adequate heating and/or
cooling facilities .in proper operating
condit ion.
{8) Illumination and electricity. The
housing must have adequate natural or
artificial illumination to permit nor-
mal indoor activities and to support
the health and safety of residents. Suf-
ficient electrical sources must be pro-
vided to permit use of essential elec-
trical appliances .voile assuring safety
from fire.
(9) Food preparation and refuse dis-
posal. All food preparation areas must
contain suitable space and equipment
to store, prepare, and serve food in a
sanitary manner.
255
§ 583.300
(10) Sanitary condition. The housing
and any equipment must be maintained
in sanitary condition.
(11) Fire safety. (i) Each unit must in-
clude at least one battery -operated or
hard -wired smoke detector, in proper
working condition, on each occupied
level of the unit. Smoke detectors
must be located. to the extent prac-
ticable. in a hallway adjacent to a bed-
room. If the unit is occupied by hear-
ing -impaired persons. smoke detectors
must have an alarm system designed
for hearing -impaired persons in each
bedroom occupied by a hearing -im-
paired person.
(ii) The public areas of all housing
must be equipped with a sufficient
number, but not less than one for each
area, of battery -operated or hard -wired
smoke detectors. Public areas include,
but are not limited to. laundry rooms,
community rooms, day care centers,
hallways, stairwells, and other com-
mon areas.
(c) Meals. Each recipient of assist-
ance under this part who provides sup-
portive housing for homeless persons
with disabilities must provide meals or
meal preparation 'facilities for resi-
dents.
(d) Ongoing assessment of supportive
services. Each recipient of assistance
under this part must conduct an ongo-
ing assessment of the supportive serv-
ices required by the residents of the
project and the availability of such
services, and make adjustments as ap-
propriate.
(e) Residential supervision. Each re-
cipient of assistance under this part
must provide residential supervision as
necessary to facilitate the adequate
provision of supportive services to the
residents of the housing throughout
the term of the commitment to operate
supportive housing. Residential super-
vision may include the employment of
a full- or part-time residential super-
visor with sufficient knowledge to pro-
vide or to supervise the provision of
supportive services to the residents.
(1) Participation of homeless persons. (1)
Each recipient must provide for the
participation of homeless persons as re-
quired in section 426(g) of the McKin-
ney Act (42 U.S.C. 11386(g)). This re-
quirement is waived if an applicant is
unable to meet it and presents a plan
24 CFR Ch. V (4-1-O5 Edition)
for HUD approval to otherwise consult
with homeless or formerly homeless
persons in considering and making
policies and decisions. See also
§ 583.330(e) .
(2) Each recipient of assistance under
this part must. to the maximum extent
practicable, involve homeless individ-
uals and families, through employ-
ment. volunteer services. or otherwise,
in constructing. rehabilitating, main-
taining. and operating the project and
in providing supportive services for the
project.
(g) Records and reports. Each recipient
of assistance under this part must keep
any records and make any reports (In-
cluding those pertaining to race, eth-
nicity, gender, and disability status
data) that HUD may require within the
timeframe required.
(h) Confidentiality. Each recipient
that provides family violence preven-
tion or treatment services must de-
velop and implement procedures to en=
sure:
(I) The confidentiality of records per-
taining to any individual services; and
(2) That the address or location of
any project assisted will not be made
public, except with written authoriza-
tion of the person or persons respon-
sible for the operation of the project.
(i) Termination of housing assistance,
The recipient may terminate assist-
ance to a participant who violates pro-
gram requirements. Recipients should
terminate assistance only in the most
severe cases. Recipients may resume
assistance to a participant whose as-
sistance was previously terminated. In
terminating assistance to a partici-
pant. the recipient must provide a for-
mal process that recognizes the rights
of individuals receiving assistance to
due process of law. This process, at a
minimum, must consist of:
(I) Written notice to the participant
containing a clear statement of the
reasons for termination;
(2) A review of the decision, in which
the participant is given the oppor-
tunity to present written or oral objec-
tions before a person other than the
person (or a subordinate of that person)
who made or approved the termination
decision: and
(3) Prompt written notice of the final
decision to the participant.
256
Ofc. of Asst. Secy., Comm. Planning, Develop., HUD §583.310
(j) Limitation of stay, in transitional
housing. A homeless individual or fam-
ily may remain in transitional housing
for a period longer than 24 months, if
permanent housing for the individual
or family has not been located or if the
individual or family requires addi-
tional time to prepare for Independent
living. However, HUD may discontinue
assistance for a transitional housing
project if more than half of the home-
less individuals or families remain in
that project longer than 24 months.
(k) Outpatient health services. Out-
patient health services provided by the
recipient must be approved as appro-
priate by HUD and the Department of
Health and Human Services (HHS).
Upon receipt of an application that
proposes the provision of outpatient
health services, HUD will consult with
HHS with respect to the appropriate-
ness of the proposed services.
(1) Annual assurances. Recipients who
receive assistance only for leasing. op-
erating costs or supportive services
costs must provide an annual assur-
ance for each year such assistance is
received that the project will be oper-
ated for the purpose specified in the 'ap-
plication.
(Approved by the Office of Management and
Budget under control number 2506-0112)
158 FR 13871, Mar. 15, 1993, as amended at 59
FR 36892. July 19, 1994: 61 FR 51176, Sept. 30,
19961
§583.305 Term of commitment; repay-
ment of grants; prevention of undue
benefits.
(a) Tenn of commitment and conversion.
Recipients must agree to operate the
housing or provide supportive services
in accordance with this part and with
sections 423 (b)(I) and (b)(3) of the
McKinney Act (42 U.S.C. 11383(b)(1),
11383(b)(3)).
(b) Repat ment of grant and prevention
of undue benefits. In accordance with
section 423(c) of the McKinney Act (42
L'.S.C. 11383(c)). HUD will require re-
cipients to repay the grant unless HUD
has authorized conversion of the
project under section 423(b)(3) of the
Mckinney Act (42 U.S.C. I1383(b)(3)).
IN FR 51176. Sept. 30. 19961
§583.310 Displacement, relocation, and
acquisition.
(a) Minimizing displacement. Con-
sistent with the other goals and objec-
tives of this part, recipients must as-
sure that they have taken all reason-
able steps to minimize the displace-
ment of persons (families, individuals,
businesses, nonprofit organizations,
and farms) as a result of supportive
housing assisted under this part.
(b) Relocation assistance for displaced
persons. A displaced person (defined in
paragraph (f) of this section) must be
provided relocation assistance at the
levels described in, and in accordance
with, the requirements of the Uniform
Relocation Assistance and Real Prop-
erty Acquisition Policies Act of 1970
(URA) (42 U.S.C. 4601-4655) and imple-
menting regulations at 49 CFR part 24.
(c) Real property acquisition require-
ments. The acquisition of real property
for supportive housing is subject to the
URA and the requirements described in
49 CFR part 24, subpart B.
(d) Responsibility of recipient. (1) The
recipient must certify (i.e., provide as-
surance of compliance) that it will
comply with the URA. the regulations
at 49 CFR part 24, and the requirements
of this section. and must ensure such
compliance notwithstanding any third
party's contractual obligation to the
recipient to comply with these provi-
sions.
(2) The cost of required relocation as-
sistance is an eligible project cost in
the same manner and to the same ex-
tent as other project costs. Such costs
also may be paid for with local public
funds or funds available from other
sources.
(3) The recipient rnust maintain
records in sufficient detail to dem-
onstrate compliance with provisions of
this section.
(e) .Appeals. A person wvho disagrees
with the recipient's determination con-
cerning whether the person qualifies as
a 'displaced person," or the amount of
relocation assistance for which the per-
son is eligible, may file a written ap-
peal of that determination with the re-
cipient. A low-income person who is
dissatisfied with the recipient's deter-
mination on his or her appeal may sub-
mit a written request for review of that
determination to the HUD field office.
257
§583.310 24 CFR Ch. V (4-1-05 Edition)
(1) Definition of displaced person. (I)
For purposes of this section, the term
"displaced person" means a person
(family. individual, business, nonprofit
organization, or farm) that moves from
real property, or moves personal prop-
erty from real property permanently as
a direct result of acquisition. rehabili-
tation, or demolition for supportive
housing projects assisted under this
part. The term "displaced person" In-
cludes, but may not be limited to:
(i) A person that moves permanently
from the real property after the prop-
erty owner (or person in control of the
site) issues a vacate notice, or refuses
to renew an expiring lease in order to
evade the responsibility to provide re-
location assistance, if the move occurs
on or after the date the recipient sub-
mits to HUD the application or appli-
cation amendment designating the
project site.
(ii) Any person, including a person
who moves before the date described in
paragraph (f)(1)(i) of this section, if the
recipient or HUD determines that the
displacement resulted directly from ac-
quisition, rehabilitation, or demolition
for the assisted project.
(iii) A tenant -occupant of a dwelling
unit who moves permanently from the
building/complex on or after the date of
the "initiation of negotiations" (see
paragraph (g) of this section) if the
move occurs before the tenant has been
provided written notice offering him or
her the opportunity to lease and oc•
cupy a suitable, decent. safe and sani-
tary dwelling in the same building/
complex, under reasonable terms and
conditions. upon completion of the
project. Such reasonable terms and
conditions must include a monthly
rent and estimated average monthly
utility casts that do not exceed the
greater of:
(A) The tenant's monthly rent before
the initiation of negotiations and esti-
mated average utility costs. or
(B) 30 percent of gross household in-
come. If the initial rent is at or near
the maximum, there must be a reason-
able basis for concluding at the time
the project is initiated that future rent
increases will be modest.
(ix) .A tenant of a dwelling who is re-
quired to relocate temporarily, but
258
does not return to the building/com-
plex, if either:
(A) A tenant is not offered payment
for all reasonable out-of-pocket ex-
penses incurred in connection with the
temporary relocation, or
(B) Other conditions of the tem-
porary relocation are not reasonable.
(v) A tenant of a dwelling who moves
from the building/complex perma-
nently after he or she has been re-
quired to move to another unit in the
same building/complex, if either:
(A) The tenant is not offered reim-
bursement for all reasonable out-of-
pocket expenses incurred in connection
with the move; or
•(B) Other conditions of the move are
not reasonable.
(2) Notwithstanding the provisions of
paragraph (f)(1) of this section, a per-
son does not qualify as a "displaced
person" (and is not eligible for reloca-
tion assistance under the URA or this
section), if:
(i) The person has been evicted for se-
rious or repeated violation of the terms
and conditions of the lease or occu-
pancy agreement, violation of applica-
ble Federal, State, or local or tribal
law. or other good cause, and HUD de-
termines that the eviction was not un-
dertaken for the purpose of evading the
obligation to provide relocation assist-
ance:
(ii) The person moved into the prop-
erty after the submission of the appli-
cation and, before signing a lease and
commencing occupancy. was provided
written notice of the project, its pos-
sible impact on the person (e.g., the
person may be displaced, temporarily
relocated. or suffer a rent increase) and
the fact that • the person would not
qualify as a "displaced person" (or for
any assistance provided under this sec-
tion), if the project is approved;
(iii) The person is ineligible under 49
CFR 24.2(g)(2); or
(iv) HUD determines that the person
was not displaced as a direct result of
acquisition. rehabilitation, or demoli-
tion for the project.
(3) The recipient may request. at any
time, HUD's determination of whether
a displacement is or would be covered
under this section.
(g) Definition of initiation of negotia-
tions. For purposes of determining the
Ofc. of Asst. Secy., Comm. Planning, Develop., HUD § 583.320
formula for computing the replacement
housing assistance to be provided to a
residential tenant displaced as a direct
result of privately undertaken rehabili-
tation, demolition, or acquisition of
the real property, the term "initiation
of negotiations" means the execution
of the agreement between the recipient
and HUD.
(h) Definition of project. For purposes
of this section. the term "project"
means an undertaking paid for In
whole or in part with assistance under
this part. Two or more activities that
are integrally related. each essential to
the others, are considered a single
project, whether or not all component
activities receive assistance under this
part.
158 FR 13871, Mar. 15, 1993, as amended at 59
FR 36892. July 19, 19941
§ 583.315 Resident rent.
(a) Calculation of resident rent. Each
resident of supportive housing may be
required to pay as rent an amount de-
termined by the recipient which may
not exceed the highest of:
(1) 30 percent of the family's monthly
adjusted income (adjustment factors
include the number of people in the
family, age of family members, medical
expenses and child care expenses). The
calculation of the family's monthly ad-
justed income must include the ex-
pense deductions provided in 24 CFR
5.611(a), and for persons with disabil-
ities. the calculation of the family's
monthly adjusted income also must in-
clude the disallowance of earned in-
come as provided in 24 CFR 5.617, if ap-
plicable:
(2) 10 percent of the family's monthly
gross income; or
(3) If the family is receiving pay-
ments for welfare assistance from a
public agency and a part of the pay•
means. adjusted in accordance with the
family's actual housing costs, is spe-
cifically designated by the agency to
meet the family's housing costs, the
portion of the payment that is des-
ignated for housing costs.
(b) Use of rent. Resident rent may be
used in the operation of the project or
may be reserved, in whole or in part. to
assist residents of transitional housing c
in moving to permanent housing.
259
(c) Fees. In addition to resident rent
recipients may charge residents rea
sonable fees for services not paid wit
h
§ 583.320 Site control.
(a) Site control. (1) Where grant funds
will be used for acquisition. rehabilita-
tion, or new construction to provide
supportive housing or supportive serv-
ices, or where grant funds will be used
for operating costs of supportive hous-
ing. or where grant funds will be used
to provide supportive services except
where an applicant will provide serv-
ices at sites not operated by the appli-
cant, an applicant must demonstrate
site control before HUD will execute a
grant agreement (e.g.. through a deed,
lease, executed contract of sale). If
such site control is not demonstrated
within one year after initial notifica-
tion of the award of assistance under
this part. the grant will be deobli.gated
as provided in paragraph (c) of this sec-
tion.
(2) Where grant funds will be used to
lease all or part of a structure to. pro-
vide supportive housing or supportive
services, or where grant funds will be
used to lease individual housing units
for homeless persons who will eventu-
ally control the units, site control need
not be demonstrated.
(b) Site change. (I) A recipient may
obtain ownership or control of a suit-
able site different from the one speci-
fied in its application. Retention of an
assistance award is subject to the new
site's meeting all requirements under
this part for suitable sites.
(2) If the acquisition, rehabilitation,
acquisition and rehabilitation. or new
construction costs for the substitute
site are greater than the amount of the
grant awarded for the site specified in
the application, the recipient must pro-
vide for all additional costs. If the re-
cipient is unable to demonstrate to
HUD that it is able to provide for the
difference in costs, HUD may
dcobligate the award of assistance.
(c) Failure to obtain site control within
one Year. HUD will recapture or
ieohligate any award for assistance
rnder this part if the recipient is not in
§ 583.325
control of a suitable site before the ex-
piration of one year after initial notifi-
cation of an award.
*583.325 Nondiscrimination and equal
opportunity requirements.
(a) General. Notwithstanding the per-
missibility of proposals that serve des-
ignated populations of disabled home-
less persons. recipients serving a des-
ignated population of disabled home-
less persons are required, within the
designated population, to comply with
these requirements for nondiscrimina-
tion on the basis of race, color, reli-
gion, sex. national origin, age, familial
status, and disability.
(b) Nondiscrimination and equal oppor-
tunity requirements. The nondiscrimina-
tion and equal opportunity require-
ments set forth at part 5 of this title
apply to this program. The Indian Civil
Rights Act (25 U.S.C: 1301 et seq.) ap-
plies to tribes when they exercise their
powers .of self-government, and to In-
dian housing authorities (IHAs) when
established by the exercise of such
powers. When an IHA is established
under State law. the applicability of
the Indian Civil Rights Act will be de-
termined .,on a case -by -case basis.
Projects subject to the Indian Civil
Rights Act must be developed and oper-
ated in compliance with its provisions
and all implementing HUD require-
ments, instead of title VI and the Fair
Housing Act and their implementing
regulations.
(c) Procedures. (1) If the procedures
that the recipient intends to use to
make known the availability of the
supportive housing are unlikely to
reach persons of any particular race,
color, religion. sex, age. national ori-
gin. familial status, or handicap who
may qualify for admission to the hous-
ing. the recipient must establish addi-
tional procedures that will ensure that
such persons can obtain information
concerning availability of the housing.
(2) The recipient must adopt proce-
dures to make available information
on the existence and locations of facili-
ties and services that are accessible to
persons with a handicap and maintain
evidence of implementation of the pro-
cedures.
(d) Accessibility requirements. The re•
cipient must comply ‘vith the new con-
24 CFR Ch. V (4-1-05 Edition)
struction accessibility requirements of
the Fair Housing Act and section 504 of
the Rehabilitation Act of 1973, and the
reasonable accommodation and reha-
bilitation accessibility requirements of
section 504 as follows:
(1) All new construction must meet
the accessibility requirements of 24
CFR 8.22 and, as applicable. 24 CFR
100.205.
(2) Projects in which costs of reha-
bilitation are 75 percent or more of the
replacement cost of the building must
meet the requirements of 24 CFR
8.23(a). Other rehabilitation must meet
the requirements of 24 CFR 8.23(b).
)58 FR 13871. Mar. 15. 1993, as amended at 59
FR 33894. June 30. 1994: 61 FR 5210. Feb. 9.
1996: 61 FR 51176. Sept. 30. 1996)
§583.330 Applicability of other Federal
requirements.
In addition to the requirements set
forth in 24 CFR part 5. use of assistance
provided under this part must comply
with the following Federal require-
ments:
(a) Flood Insurance. (1) The Flood Dis-
aster Protection Act of 1973 (42 U.S.C.
4001-4128) prohibits the approval of ap-
plications for assistance for acquisition
or construction (including rehabilita-
tion) for supportive housing located in
an area identified by the Federal Emer-
gency Management Agency (FEMA) as
having special flood hazards, unless:
(i) The community in which the area
is situated is participating in the Na-
tional Flood Insurance Program (see 44.
CFR parts 59 through 79), or less than
a year has passed since FEMA notifica-
tion regarding such hazards; and
(ii) Flood insurance is obtained as a
condition of approval of the applica-
tion.
(2) Applicants with supportive hous-
ing located in an area identified by
FEIv1A as having special flood hazards
and receiving assistance for acquisition
or construction (including rehabilita-
tion) are responsible for assuring that
flood insurance under the National
Flood Insurance Program is obtained
and maintained.
(b) The Coastal Barrier Resources
Act of 1982 (16 l;.S.C. 3501 et seq.) may
apply to proposals under this part, de-
pending on the assistance requested.
260
Ofc. al Asst. Secy., Comm. Planning, Develop., HUD § 583.330
(c) Applicability of OMB'Circulars..The 5583.300(f) does not constitute a con -
policies, guidelines, and requirements filet of interest.
of OMB Circular No. A-87 (Cost Prin- (2) Upon the written request of the
ciples Applicable to Grants, Contracts recipient. HUD may grant an exception
and Other Agreements with State and to the provisions of paragraph (e)(1) of
Local Governments) and 24 CFR part 85 this section on a case -by -case basis
apply to the award, acceptance. and when it determines that the exception
use of assistance under the program by will serve to further the purposes of
governmental entities, and OMB Cir- the program and the effective and effi-
cular Nos. A-110 (Grants and Coopera- cient administration of the recipient's
tive Agreements with Institutions of project. An exception may be consid-
Higher Education. Hospitals, and Other ered only after the recipient has pro -
Nonprofit Organizations) and A-122 vided the following:
(Cost Principles Applicable to Grants. (i) For States and other govern -
Contracts and Other Agreements with mental entities, a disclosure of the na
Nonprofit Institutions) apply to the ac- ture of the conflict, accompanied by an
ceptance and use of assistance by pri- assurance that there has been public
vate nonprofit organizations, except disclosure of the conflict and a descrip-
where inconsistent with the provisions Lion of how the public disclosure was
of the McKinney Act, other Federal made: and
statutes, or this part. (Copies of OMB (ii) For all recipients. an opinion of
Circulars may be obtained from E.O.P. the recipient's attorney that the inter -
Publications, room 2200, New Executive est for which the exception is sought
Office Building, Washington, DC 20503. would not violate State or local law.
telephone (202) 395-7332. (This is not a (3) In determining whether to grant a
toll -free number.) There is a limit of requested exception after the recipient
two free copies. has satisfactorily met the requirement
(d) Lead -based paint. The Lead -Based of paragraph (e)(2) of this section. HUD
Paint Poisoning Prevention Act (42 will consider the cumulative effect of
U.S.C. 4821-4846), the Residential Lead- the following factors, where applicable:
Based Paint Hazard Reduction Act of (i) Whether the exception would pro-
1992 (42 U.S.C. 4851-4856), and irnple- vide a significant cost benefit or an es-
menting regulations at part 35, sub- sential degree of expertise to the
parts A. B. J. K. and R of this title project which would otherwise not be
apply to activities under this program. available:
(e) Conflicts of Interest. (1) In addition (ii) Whether the person affected is a
to the conflict of interest requirements member of a group or class of eligible
in 24 CFR part 85, no person who is an persons and the exception will permit
employee, agent. consultant, officer, or such person to receive generally the
elected or appointed official of the re- same interests or benefits as are being
cipient and who exercises or has exer- made available or provided to the
cised any functions or responsibilities group or class:
with respect to assisted activities, or (iii) Whether the affected person has
who is in a position to participate in a withdrawn from his or her functions or
decisionmaking process or gain inside responsibilities. or the decisionmaking
information with regard to such activi- process with respect to the specific as -
ties, may obtain a personal or financial sisted activity in question:
interest or benefit from the activity. or (iv) Whether the interest or benefit
have an interest in any contract, sub- was present before the affected person
contract, or agreement with respect was in a position as described in para-
thereto, or the proceeds thereunder, ei- graph (e)(1) of this section:
ther for himself or herself or for those (v) Whether undue hardship will re -
with whom he or she has family or stilt either to the recipient or the per -
business ties. during his or her tenure son affected when weighed against the
or for one vear thereafter. Participa- public interest served by avoiding the
tion by homeless individuals ‘vho also prohibited conflict: and
are participants under the program in (vi) Anv other relevant consider -
polio' or decisionmaking under at ions.
261
Ofc. of Asst. Secy., Comm. Planning, Develop., HUD § 585.3
notice of fund availability, and in ac-
cordance with subpart C of this part.
PART 585—YOUTHBUILD PROGRAM
Sec.
585.1
585.2
585.3
585.4
Subpart A —General
Authority.
Program purpose.
Program components.
Definitions.
Subpart B [Reserved]
Subpart C—Youthbuild Planning Grants
585.201
585.202
585.203
585.204
585.205
Purpose.
Award limits.
Grant term.
Locatlonal considerations.
Eligible activities.
Subpart D—Youthbuild Implementation
Grants
585.301 Purpose.
585.302 Award limits.
585.303 Grant term.
585.304 Locattonal considerations.
585.305 Eligible activities.
585.306 Designation of costs.
585.307 Environmental procedures and
standards.
585.308 Relocation assistance and real prop-
erty acquisition.
585.309 Project -related restrictions applica-
ble to Youthbuild residential rental
housing.
585.310 Protect -related restrictions applica-
ble to Youthbuild transitional housing
for the homeless.
585.311 Project -related restrictions applica-
ble to Youthbuild homeownership hous-
ing.
585.312 Wages. labor standards. and non-
discrimination.
585.313 Labor standards.
Subpart E—Administration
585.401 Recordkeeping by recipients.
585.402 Grant agreement.
585,403 Reporting requirements.
585.404 Program changes.
585.405 Obligation and deubligatiun of funds.
585.406 F.iith-based activities.
Subpart F—Applicability of Other Federal
Requirements
585 501 Application of OMB Circulars.
585.502 Certificar ions.
585.503 Conflict of interest.
585.50.1 Use of debarred, suspended. or ineli-
gible contractors.
ACT);DRITY: 42 U.S.C. 3535(d) and 8011.
263
SOURCE: 60 FR 9737. Feb. 21. 1995, unless
otherwise noted.
Subpart A —General
ti 585.1 Authority.
(a) General. The Youthbuild program
is authorized under subtitle D of title
IV of the National Affordable Housing
Act (42 U.S.C. 8011), as added by section
164 of the Housing and Community De-
velopment Act of 1992 (Pub. L. 102-550).
(b) Authority restriction. No provision
of the Youthbuild program may be con-
strued to authorize any agency, officer,
or employee of the United States to ex-
ercise any direction, supervision, or
control over the curriculum. program
of instruction. administration. or per-
sonnel of any educational institution,
school. or school system, or over the
selection of library resources, text-
books. or other printed or published in-
structional materials used by any edu-
cational institution or school system
participating in a Youthbuild program.
9585.2 Program purpose.
The purposes of the Youthbuild pro-
gram are set out in section 451 of the
National Affordable Housing Act (42
U.S.C. 12899) ("NAHA").
161 FR 52187, Oct. 4. 19961
*585.3 Program components.
A Youthbuild implementation pro-
gram uses comprehensive and multi-
disciplinary approaches designed to
prepare young adults who have dropped
out of high school for educational and
employment opportunities by employ-
ing them as construction trainees on
work sites for housing designated for .
homeless persons and low- and very
low-income families. A Youthbuild
planning grant is designed to give re-
cipients sufficient time and financial
resources to develop a comprehensive
Youthbuild program that can be effec-
tively implemented. Youthbuild pro-
grams must contain the three compo-
nents described in paragraphs (a), (b)
and (cl) of this section. Other activities
described in paragraph (c) of this sec-
tion are optional:
(a) Educational services, including:
(I) Services and activities designed to
meet the basic educational needs of