Office of the Secretary, HUD § 92.66
§ 92.64 Applicability of requirements tained provided the funds are used for to insular areas. eligible activities in accordance with (a) Insular areas are subject to the the requirements of this section. same requirements in subpart E (Pro- (3) Section 92.504 (Participating juris- gram Requirements), subpart F diction responsibilities; written agree- (Project Requirements), subpart K ments; on-site inspections) applies, ex- (Program Administration), and subpart cept that the written agreement must L (Performance Reviews and Sanc- ensure compliance with the require- tions) of this part as participating ju- ments in this section. risdictions, except for the following: (4) Section 92.508 (Recordkeeping) ap- (1) Subpart E (Program Require- plies with respect to the records that ments): Administrative costs, as de- relate to the requirements of this sec- scribed in § 92.207, are eligible costs for tion. insular areas in an amount not to ex- (5) Section 92.509 (Performance re- ceed 15 percent of the HOME funds pro- ports) applies, except that a perform- vided to the insular area. The match- ance report is required for the fiscal ing contribution requirements in this year allocation only after completion part do not apply. of the approved projects funded by the (2) Subpart K (Program Administra- allocation. tion): (6) Subpart L (Performance Reviews (i) Section 92.500 (The HOME Invest- and Sanctions): Section 92.552 does not ment Trust Fund) does not apply. HUD apply. Instead, § 92.65 applies. will establish a HOME account in the (b) The requirements of subpart H United States Treasury for each insu- (Other Federal Requirements) of this lar area and the HOME funds must be part apply as follows: § 92.357 Executive used for approved activities. A local ac- Order 12372 applies as written, and the count must be established for program requirements of the remaining sections income. Each insular area may use ei- which apply to participating jurisdic- ther a separate local HOME account or tions are applicable to the insular a subsidiary account within its general areas. fund (or other appropriate fund) as the (c) Subpart B (Allocation Formula), local HOME account. HUD will recap- subpart C (Consortia; Designation and ture HOME funds in the HOME Treas- Revocation as a Participating Jurisdic- ury account by the amount of: tion), subpart D (Submission Require- (A) Any funds that are not com- ments), and subpart G (Community mitted within 24 months after the last Housing Development Organizations) of day of the month in which HUD noti- this part do not apply. fies the insular area of HUD’s execu- (d) Subpart A (General) applies, ex- tion of the HOME Investment Partner- cept that for the definitions of commit- ship Agreement; ment, program income, and subrecipient, (B) Any funds that are not expended ‘‘participating jurisdiction’’ means within five years after the last day of ‘‘insular area.’’ the month in which HUD notifies the insular area of HUD’s execution of the § 92.65 Funding sanctions. HOME Investment Partnership Agree- Following notice and opportunity for ment; and informal consultation, HUD may with- (C) Any penalties assessed by HUD hold, reduce or terminate the assist- under § 92.552. ance where any corrective or remedial (ii) Section 92.502 (Program disburse- actions taken under § 92.551 fail to rem- ment and information system) applies, edy an insular area’s performance defi- except that references to the HOME In- ciencies, and the deficiencies are suffi- vestment Trust Fund mean HOME ac- ciently substantial, in the judgment of count. In addition, § 92.502(c) does not HUD, to warrant sanctions. apply, and instead compliance with Treasury Circular No. 1075 (31 CFR part § 92.66 Reallocation. 205) and 24 CFR 85.21 is required. Any HOME funds which are reduced (iii) Section 92.503 (Program income, or recaptured from an insular area’s al- repayments, and recaptured funds) ap- location and which are not used to in- plies, except that the funds may be re- crease the allocation amount for one or
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VerDate Mar<15>2010 20:24 May 27, 2014 Jkt 232082 PO 00000 Frm 00585 Fmt 8010 Sfmt 8010 Q:\24\24V1.TXT ofr150 PsN: PC150 § 92.100 24 CFR Subtitle A (4–1–14 Edition)
more of the remaining insular areas as poses of this part on behalf of its mem- provided in § 92.60 of this part, will be ber jurisdictions. HUD will endeavor to reallocated by HUD to the States in ac- make its determination as quickly as cordance with the requirements in sub- practicable after receiving the consor- part J for reallocating funds initially tium’s documentation in order to pro- allocated to a State. vide the consortium an opportunity to correct its submission, if necessary. If Subpart C—Consortia; Designation the submission is deficient, HUD will and Revocation of Designa- work with the consortium to resolve tion as a Participating Juris- the issue, but will not delay the for- diction mula allocations. HUD, at its discre- tion, may review the performance of an § 92.100 [Reserved] existing consortium that wishes to re- qualify to determine whether it con- § 92.101 Consortia. tinues to have sufficient authority and (a) A consortium of geographically administrative capacity to successfully contiguous units of general local gov- administer the program. ernment is a unit of general local gov- (b) A metropolitan city or an urban ernment for purposes of this part if the county may be a member of a consor- requirements of this section are met. tium. A unit of general local govern- (1) One or more members of a pro- ment that is included in an urban posed consortium or an existing con- county may be part of a consortium, sortium whose consortium qualifica- only if the urban county joins the con- tion terminates at the end of the fiscal sortium. The included local govern- year, must provide written notification ment cannot join the consortium ex- to the HUD Field Office of its intent to cept through participation in the urban participate as a consortium in the county. HOME Program for the following fiscal (c) A non-urban county may be a year. HUD shall establish the deadline member of a consortium. However, the for this submission. county cannot on its own include the (2) The proposed consortium must whole county in the consortium. A unit provide, at such time and in a manner of local government located within the and form prescribed by HUD, the quali- non-urban county that wishes to par- fication documents, which will include ticipate as a member of the consortium submission of: must sign the HOME consortium agree- (i) A written certification by the ment. State that the consortium will direct (d) If the representative unit of gen- its activities to alleviation of housing eral local government distributes problems within the State; and HOME funds to member units of gen- (ii) Documentation which dem- eral local government, the representa- onstrates that the consortium has exe- tive unit is responsible for applying to cuted one legally binding cooperation the member units of general local gov- agreement among its members author- ernment the same requirements as are izing one member unit of general local applicable to subrecipients. government to act in a representative (e) The consortium’s qualification as capacity for all member units of gen- a unit of general local government con- eral local government for the purposes tinues for a period of three successive of this part and providing that the rep- Federal fiscal years, or until HUD re- resentative member assumes overall vokes its designation as a participating responsibility for ensuring that the jurisdiction, or until an urban county consortium’s HOME Program is carried member fails to requalify under the out in compliance with the require- CDBG program as an urban county for ments of this part. a fiscal year included in the consor- (3) Before the end of the fiscal year in tium’s qualification period, or the con- which the notice of intent and docu- sortium fails to receive a HOME alloca- mentation are submitted, HUD must tion for the first Federal fiscal year of determine that a proposed consortium the consortium’s qualification period has sufficient authority and adminis- and does not request to be considered trative capability to carry out the pur- to receive a HOME allocation in each
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