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24 CFR Subtitle a (4–1–02 Edition)

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24 CFR Subtitle a (4–1–02 Edition) § 92.60 24 CFR Subtitle A (4–1–02 Edition) general local government, in accord- more of the remaining insular areas ance with paragraph (d)(4) of this sec- based upon the insular area’s perform- tion. ance in committing HOME funds with- in the 24 month deadline, producing [61 FR 48750, Sept. 16, 1996, as amended at 62 FR 28928, May 28, 1997] housing units described in its program description, and meeting HOME pro- INSULAR AREAS PROGRAM gram requirements. Funds that become available but which are not used to in- § 92.60 Allocation amounts for insular crease the allocation amount for one or areas. more of the remaining insular areas (a) Initial allocation amount for each will be reallocated in accordance with insular area. The initial allocation § 92.66. amount for each insular area is deter- (e) Notice of allocation amounts. HUD mined based upon the insular area’s will notify each insular area, in writ- population and occupied rental units ing, as to the amount of its HOME allo- compared to all insular areas. cation. (b) Threshold requirements. The HUD Field Office shall review each insular § 92.61 Program description. area’s progress on outstanding alloca- (a) Submission requirement. Not later tions made under this section, based on than 90 days after HUD notifies the in- the insular area’s performance report, sular area of the amount of its alloca- the timeliness of close-outs, and com- tion, the insular area must submit a pliance with fund management require- program description and certifications ments and regulations, taking into to HUD. consideration the size of the allocation (b) Content of program description. The and the degree and complexity of the program description must contain the program. If HUD determines from this following: review that the insular area does not (1) An executed Standard Form 424; have the capacity to administer effec- (2) The estimated use of HOME funds tively a new allocation, or a portion of and a description of projects and eligi- a new allocation, in addition to alloca- ble activities, including number of tions currently under administration, units to be assisted, estimated costs, HUD may reduce the insular area’s ini- and tenure type (rental or owner occu- tial allocation amount. pied) and, for tenant assistance, num- (c) Previous audit findings and out- ber of households to be assisted; standing monetary obligations. HUD (3) A timetable for the implementa- shall not make an allocation to an in- tion of the projects or eligible activi- sular area that has either an out- ties; standing audit finding for any HUD (4) If the insular area intends to use program, or an outstanding monetary HOME funds for homebuyers, the obligation to HUD that is in arrears, or guidelines for resale or recapture as re- for which a repayment schedule has quired in § 92.254(a)(5); not been established. This restriction (5) If the insular area intends to use does not apply if the HUD Field Office HOME funds for tenant-based rental as- finds that the insular area has made a sistance, a description of how the pro- good faith effort to clear the audit and, gram will be administered consistent when there is an outstanding monetary with the minimum guidelines described obligation to HUD, the insular area has in § 92.209; made a satisfactory arrangement for (6) If an insular area intends to use repayment of the funds due HUD and other forms of investment not de- payments are current. scribed in § 92.205(b), a description of (d) Increases to the initial allocation the other forms of investment; amount. If funds reserved for the insu- (7) A statement of the policy and pro- lar areas are available because HUD cedures to be followed by the insular has decreased the amount for one or area to meet the requirements for af- more insular areas in accordance with firmative marketing, and establishing paragraphs (b) or (c) of this section, or and overseeing a minority and women for any other reason, HUD may in- business outreach program under crease the allocation amount for one or § 92.351; 566 VerDate Apr<18>2002 00:14 Apr 22, 2002 Jkt 197074 PO 00000 Frm 00566 Fmt 8010 Sfmt 8010 Y:\SGML\197074T.XXX pfrm12 PsN: 197074T Office of the Secretary, HUD § 92.63 (8) If the insular intends to use by past performance in housing and HOME funds for refinancing along with community development programs. If rehabilitation, the insular area’s guide- the insular area has not submitted in- lines described in § 92.206(b). formation on § 92.61 (b)(4), (b)(6), and (c) Certifications. The following cer- (b)(7), or the guidelines under (b)(8) are tifications must accompany the pro- not satisfactory to HUD, if applicable; gram description: or if the level of proposed projects or (1) A certification that, before com- eligible activities is not within the mitting funds to a project, the insular management capability demonstrated area will evaluate the project in ac- by past performance in housing and cordance with guidelines that it adopts community development programs, the for this purpose and will not invest any insular area may be required to furnish more HOME funds in combination with such further information or assurances other governmental assistance than is as HUD may consider necessary to find necessary to provide affordable hous- the program description and certifi- ing; cations satisfactory. The HUD Field (2) If the insular area intends to pro- Office shall work with the insular area vide tenant-based rental assistance, to achieve a complete and satisfactory the certification required by § 92.209; program description. (3) A certification that the submis- (b) Review period. Within thirty days sion of the program description is au- of receipt of the program description, thorized under applicable law and the the HUD Field Office will notify the in- insular area possesses the legal author- sular area if determinations cannot be ity to carry out the HOME Investment made under § 92.61 (b)(4), (b)(6), (b)(7), or Partnerships Program, in accordance (b)(8) with the supporting information with the HOME regulations; submitted, or if the proposed projects (4) A certification that it will comply or activities are beyond currently dem- with the acquisition and relocation re- onstrated capability. The insular area quirements of the Uniform Relocation will have a reasonable period of time, Assistance and Real Property Acquisi- agreed upon mutually, to submit the tion Policies Act of 1970, as amended, necessary supporting information or to implementing regulations at 49 CFR revise the proposed projects or activi- part 24 and the requirements of § 92.353; ties in its program description. (5) A certification that the insular area will use HOME funds in compli- (c) HOME Investment Partnership ance with all requirements of this part; Agreement. After HUD Field Office ap- (6) The certification with regard to proval under this section, a HOME the drug-free workplace required by 24 funds allocation is made by HUD exe- CFR part 24, subpart F; and cution of the agreement, subject to (7) The certification required with re- execution by the insular area. The gard to lobbying required by 24 CFR funds are obligated on the date HUD part 87, together with disclosure forms, notifies the insular area of HUD’s exe- if required by 24 CFR part 87. cution of the agreement. § 92.62 Review of program description § 92.63 Amendments to program de- and certifications. scription. (a) Review of program description. The An insular area must submit to HUD responsible HUD Field Office will re- for approval any substantial change in view an insular area’s program descrip- its HUD-approved program description tion and will approve the description that it makes and must document any unless the insular area has failed to other changes in its file. A substantial submit information sufficient to allow change involves a change in the guide- HUD to make the necessary determina- lines for resale or recapture tions required for § 92.61 (b)(4), (b)(6), (§ 92.61(b)(4)), other forms of investment and (b)(7), or the guidelines under (b)(8) (§ 92.61(b)(6)), minority and women busi- are not satisfactory to HUD, if applica- ness outreach program (§ 92.61(b)(7)) or ble; or if the level of proposed projects refinancing (§ 92.61(b)(8)); or a change in or eligible activities is not within the the tenure type of the project or activi- management capability demonstrated ties; or a funding increase to a project 567 VerDate Apr<18>2002 00:14 Apr 22, 2002 Jkt 197074 PO 00000 Frm 00567 Fmt 8010 Sfmt 8010 Y:\SGML\197074T.XXX pfrm12 PsN: 197074T § 92.64 24 CFR Subtitle A (4–1–02 Edition) or activity of $100,000 or 50% (which- (B) Any funds that are not expended ever is greater). The HUD Field Office within five years after the last day of will notify the insular area if its pro- the month in which HUD notifies the gram description, as amended, does not insular area of HUD’s execution of the permit determinations to be made HOME Investment Partnership Agree- under § 92.61 (b)(4), (b)(6), (b)(7), or ment; and (b)(8), or if the level of proposed (C) Any penalties assessed by HUD projects or eligible activities is not under § 92.552. within the management capability (ii) Section 92.502 (Program disburse- demonstrated by past performance in ment and information system) applies, housing and community development except that references to the HOME In- programs, within 30 days of receipt.
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