Consolidated Submission for Community Planning and Development Programs

SUMMARY: This rule proposes to amend the Department's existing

regulations to completely replace the current regulations for

Comprehensive Housing Affordability Strategies (CHAS) with a rule that

consolidates into a single consolidated submission the planning and

application aspects of the Department's Community Development Block

Grant (CDBG), Emergency Shelter Grant (ESG), HOME Investment

Partnerships (HOME), and Housing Opportunities for Persons With AIDS

(HOPWA) formula programs with the requirements for the CHAS. This new

consolidated submission will replace the current CHAS, the HOME program

description, the Community Development plan and the CDBG final

statement, and the ESG and HOPWA applications. The rule also

consolidates the reporting requirements for these programs, replacing

the general performance reports with one performance report.

Although this rule does not incorporate the public housing

Comprehensive Grant (Comp Grant) process into the consolidated planning

and application process, it proposes changes to regulations concerning

Comp Grants to encourage this cooperation in the development of the

Comp Grant plan and the consolidated plan. The changes are intended to

ensure that the needs and resources of public housing authorities are

included in a comprehensive planning effort to revitalize distressed

neighborhoods and help low-income residents locally.

In addition, the rule proposes amendments to the separate

regulations for the CDBG, HOME, ESG, and HOPWA programs to remove some

duplicative provisions, cross-reference the new provisions, and to

conform terminology to that used in the revised part 91.

DATES: Comment due date: October 4, 1994.

ADDRESSES: Interested persons are invited to submit comments regarding

this rule to the Office of General Counsel, Rules Docket Clerk, Room

10276, Department of Housing and Urban Development, 451 Seventh Street,

SW., Washington, DC 20410-0500. Communications should refer to the

above docket number and title and to the specific sections in the

notice. A copy of each communication submitted will be available for

public inspection and copying during regular business hours at the

above address. Copies of this proposed rule will be made available on

tape or large print for those with impaired vision that request them.

They may be obtained at the above address.

FOR FURTHER INFORMATION CONTACT: Joseph F. Smith, Director, Policy

Coordination, Office of Community Planning and Development, 451 Seventh

Street, SW, Washington, DC 20410-7000, telephone (202) 708-1283 (voice)

or (202) 708-2565 (TDD). (These are not toll-free telephone numbers.)

SUPPLEMENTARY INFORMATION:

I. Information Collections

The information collection requirements for the planning process,

the application process, and the reporting process contained in this

rule have been submitted to the Office of Management and Budget for

review under the Paperwork Reduction Act of 1980 (42 U.S.C. 3501-3520).

The estimated public reporting burden is expected to be significantly

lower than the current combined burden imposed by the CHAS, CDBG, ESG,

HOME, and HOPWA programs.

The estimated public reporting burden of these collections is

stated under the Preamble heading Findings and Certifications. Send

comments regarding this burden estimate or any other aspect of these

collections of information, including suggestions for reducing the

burden, to the Department of Housing and Urban Development, Rules

Docket Clerk at the above address; and to the Office of Information and

Regulatory Affairs, Office of Management and Budget, Attention: Desk

Officer for HUD, Washington, DC 20503.

II. Background

A. Impetus for Change

To build and strengthen new partnerships with State and local

governments and the private sector to make HUD's programs work to help

them build strong communities, the Department has consulted with them

on how to make the operation of Community Planning and Development

programs more effective. In recognition of the fact that problems do

not stop at jurisdictional boundaries, this rule encourages

consultation with public and private agencies, including those outside

a single jurisdiction, to identify shared needs and solutions to intra-

jurisdictional problems. As a result of the Department's consultations,

it has decided that the multitude of applications to obtain funding and

the different funding cycles for various formula entitlement programs

were symptomatic of a general problem. The general problem was that the

easiest means for State and local governments to express their needs

for federal funding (the CHAS) was hindered by HUD's procedures.

Therefore, to eliminate duplication of effort and reduce the paperwork

burden on these jurisdictions, the Department has decided to

consolidate the program submission requirements to the greatest degree

possible. This proposal will require all of the Community Planning and

Development formula grant programs to use the same program year and

will reduce the regulations concerning submission of planning/

application/reporting documents virtually to the statutory minimum.

This framework will give the States and local governments the

flexibility to use existing plans and strategies to help citizens

understand the jurisdiction's priority needs, and assess progress of

those jurisdictions towards meeting identified goals and objectives

through measurable indicators. The Department's goal is to encourage

the development of comprehensive, easy to understand information on the

jurisdiction's housing and community development needs that would

promote meaningful citizen participation.

B. Statutory Framework

The various statutes that authorize the programs being consolidated

are as follows:

--Comprehensive Housing Affordability Strategy (CHAS): title I of the

Cranston-Gonzalez National Affordable Housing Act, 42 U.S.C. 12702-

12711.

--Community Development Block Grants (CDBG): title I of the Housing and

Community Development Act of 1974, 42 U.S.C. 5304-5320.

--Emergency Shelter Grants (ESG): title VI, subtitle B, of the Stewart

B. McKinney Homeless Assistance Act, 42 U.S.C. 11371-11378.

--HOME Investment Partnerships (HOME): title II of the Cranston-

Gonzalez National Affordable Housing Act, 42 U.S.C. 12741-12839.

--Housing Opportunities for Persons With AIDS (HOPWA): the AIDS Housing

Opportunity Act, 42 U.S.C. 12901-12912.

Also serving as a basis for determining requirements in this rule

are the Fair Housing Act (42 U.S.C. 3601-3619), title VI of the Civil

Rights Act of 1964, section 504 of the Rehabilitation Act of 1973,

title II of the Americans With Disabilities Act, and Section 3 of the

Housing and Urban Development Act of 1968 (12 U.S.C. 1701u).

The intent of this rule is to: (1) Promote citizen participation

and the development of local priority needs and objectives by providing

comprehensive information on the jurisdiction that is easy to

understand; (2) coordinate these statutory requirements in such a

manner as to minimize the federal intrusion into State and local

planning activities and to simplify the process of requesting and

obtaining federal funds available to the jurisdictions on a formula

basis; (3) promote the development of an action plan that provides a

basis for assessing performance; and (4) encourage consultation with

public and private agencies, including those outside a single

jurisdiction, to identify shared needs and solutions to intra-

jurisdictional problems.

When a jurisdiction qualifies for one formula program but not

another, its submission need only satisfy the requirements for the

formula program for which it qualifies, as well as the planning

requirements based on the Comprehensive Housing Affordability Strategy

statute (Cranston-Gonzalez National Housing Affordability Act, or

``NAHA'') to cover other competitively funded programs. If a

jurisdiction does not qualify for any of the formula programs but

competes for funding under a program that is subject to the CHAS

planning requirements of NAHA, it must follow the general provisions of

this part, but not those that apply only to other programs. If a

jurisdiction does not qualify for the HOPWA formula program but intends

to apply for a competitively awarded HOPWA grant, it should satisfy the

HOPWA planning requirements.

This rule is organized into several parts. First, there are the

proposed revisions to part 91, which encompasses the new planning/

application and reporting submissions. Second, since many of the

requirements that are common to the formula programs are combined into

part 91, there are proposed revisions to remove those requirements from

the individual program regulations. In addition, since this new

document is different from the Comprehensive Housing Affordability

Strategy, the references to the CHAS found in the program regulations

are proposed to be removed.

Part 91 is organized into seven subparts. With the exception of

jurisdictions that submit an abbreviated consolidated plan, the first

two subparts (General, and Citizen Participation and Consultation) and

the last subpart (Other General Requirements) apply to all

jurisdictions. Local governments that are not part of a HOME consortium

are covered by their own subpart (subpart C). States also are covered

by their own subpart (D). Local governments that are part of a

consortium are covered by both the local government subpart and the

consortium subpart (E). The subpart for insular areas has been

reserved. Guam, the Northern Mariana Islands, American Samoa, the

Virgin Islands, and Palau are eligible to receive program funds.

However, only Palau is required by NAHA to submit a CHAS because it is

included in the definition of ``jurisdiction.'' The other entities are

defined by NAHA as ``insular areas'' and are not required to prepare or

submit a CHAS. The Department specifically invites comments on whether

to consolidate the program submission requirements (and in the case of

Palau, abbreviated CHAS requirements) for Guam, the Northern Mariana

Islands, American Samoa, the Virgin Islands, and Palau.

Finally, the Department recognizes that there is a need for

regulatory provisions dealing with the transition from the current

application system to the new consolidated rule. The Department intends

to grant an extension of the current CHAS to cover the time period

between the end of fiscal year 1994 and the beginning of the

jurisdiction's consolidated program year.

Findings and Certifications

Regulatory Review

This rule was reviewed by the Office of Management and Budget under

Executive Order 12866, Regulatory Planning and Review. Any changes made

to the rule as a result of that review are clearly identified in the

docket file, which is available for public inspection in the office of

the Department's Rules Docket Clerk, room 10276, 451 Seventh St., SW,

Washington, DC.

Impact on the Environment

A Finding of No Significant Impact with respect to the environment

has been made in accordance with HUD regulations at 24 CFR part 50 that

implement section 102(2)(C) of the National Environmental Policy Act of

1969, 42 U.S.C. 4332. The Finding of No Significant Impact is available

for public inspection and copying during regular business hours (7:30

a.m. to 5:30 p.m.) in the Office of the Rules Docket Clerk, room 10276,

451 Seventh Street, SW, Washington, DC 20410-0500.

Federalism Impact

The General Counsel, as the Designated Official under section 6(a)

of Executive Order 12612, Federalism, has determined that the policies

contained in this rule do not have significant impact on States or

their political subdivisions since the requirements of the rule are

limited to requirements imposed by the statutes being implemented. To

the extent the rule has any significant impact, it is positive, in that

duplication of effort by State and local governments is being

eliminated and the burdens on them are reduced.

Impact on the Family

The General Counsel, as the Designated Official under Executive

Order 12606, The Family, has determined that this rule does not have

potential for significant impact on family formation, maintenance, and

general well-being, and, thus is not subject to review under the Order.

The rule merely carries out the mandate of federal statutes with

respect to planning documents for housing and community development

programs.

Impact on Small Entities

The Secretary, in accordance with the Regulatory Flexibility Act (5

U.S.C. 605(b)), has reviewed this rule before publication and by

approving it certifies that this rule will not have a significant

impact on a substantial number of small entities, because it does not

place major burdens on jurisdictions.

Regulatory Agenda

This rule was listed as sequence number 1523 in the Department's

Semiannual Regulatory Agenda published on April 25, 1994 (59 FR 20424,

20433), under Executive Order 12286 and the Regulatory Flexibility Act.

Public Reporting Burden

The Department has estimated the public reporting burden involved

in the information collections contained in the rule as shown below.

The public reporting burden for each of these collections of

information is estimated to include the time for reviewing the

instructions, searching existing data sources, gathering and

maintaining the data needed, and completing and reviewing the

collection of information.

Annual Reporting Burden--Consolidated Plan

----------------------------------------------------------------------------------------------------------------

Number of Response per

5 Year submission respondents respondent Burden hours Total hours

----------------------------------------------------------------------------------------------------------------

Localities.................................. 800 1 481 384,800

States...................................... 50 1 839 41,950

.............. .............. .............. 426,750

Annual Submission:

Localities.................................. 800 1 318 262,400

States...................................... 50 1 434 21,700

.............. .............. .............. 284,100

Abbreviated Plan:

Localities.................................. 100 1 100 10,000

.............. .............. .............. 720,850

----------------------------------------------------------------------------------------------------------------

Catalog

The Catalog of Federal Domestic Assistance numbers for the programs

affected by this rule are 14.218, 14.231. 14.239, and 14.241.

List of Subjects

24 CFR Part 91

Grant programs--Indians, Homeownership, Low and moderate income

housing, Public housing.

24 CFR Part 92

Grant programs--housing and community development, Manufactured

homes, Rent subsidies, Reporting and record keeping requirements.

24 CFR Part 570

Administrative practice and procedure, Grant programs--housing and

community development, American Samoa, Northern Mariana Islands,

Pacific Islands Trust Territory, Puerto Rico, Virgin Islands.

24 CFR Part 574

Community facilities, Disabled, Emergency shelter, Grant programs--

health programs, Grant programs--housing and community development,

Grant programs--social programs, HIV/AIDS, Homeless, Housing , Low and

moderate income housing, Nonprofit organizations, Rent subsidies,

Reporting and recordkeeping requirements, Technical assistance.

24 CFR Part 576

Community facilities, Emergency shelter grants, Grant programs--

housing and community development, Grant programs--social programs,

Homeless, Reporting and recordkeeping requirements.

24 CFR Part 968

Grant programs--housing and community development, Loan programs--

housing and community development, Public housing, Reporting and

recordkeeping requirements.

Accordingly, parts 91, 92, 570, 574, 576, and 968 of title 24 of

the Code of Federal Regulations are proposed to be amended as follows:

1. Part 91 would be revised in its entirety to read as follows:

PART 91--CONSOLIDATED SUBMISSIONS FOR COMMUNITY PLANNING AND

DEVELOPMENT PROGRAMS

Subpart A--General

Sec.

91.1 Purpose.

91.2 Applicability.

91.5 Definitions.

91.10 Consolidated program year.

91.15 Submission date.

Subpart B--Citizen Participation and Consultation

91.100 Consultation.

91.105 Citizen participation plan.

Subpart C--Local Governments: Contents of Consolidated Plan

91.200 Contents and format.

91.205 Housing and homeless needs assessment.

91.210 Housing market analysis.

91.215 Strategies, priority needs, and objectives.

91.220 Action plan.

91.225 Certifications.

91.230 Monitoring.

91.235 Special case--abbreviated consolidated plan.

Subpart D--State Governments: Contents of Consolidated Plan

91.300 Contents and format.

91.305 Housing and homeless needs assessment.

91.310 Housing market analysis.

91.315 Strategies, priority needs, and objectives.

91.320 Action plan.

91.325 Certifications.

91.330 Monitoring.

Subpart E--Consortia: Contents of Consolidated Plan

91.400 Applicability.

91.405 Consolidated program year.

91.410 Housing market analysis.

91.415 Housing and homeless needs assessment.

91.420 Strategies and priority needs.

91.425 Action plan.

91.430 Certifications.

91.435 Monitoring.

Subpart F--Other General Requirements

91.500 HUD approval action.

91.505 Amendments to the consolidated plan.

91.510 Consistency determinations.

91.515 Funding determinations by HUD.

91.520 Performance reports.

91.525 Performance review by HUD.

Subpart G--Insular Areas [Reserved]

Authority: 42 U.S.C. 3535(d), 3601-3619, 5301-5315, 11331-11388,

12701-12711, 12741-12756, and 12901-12912.

Subpart A--General

Sec. 91.1 Purpose.

(a) Overall goals. (1) The overall goals of the community

development and planning programs covered by this part are to

strengthen partnerships with jurisdictions to extend and strengthen

partnerships among all levels of government and the private sector,

including for-profit and nonprofit organizations, to enable them to

provide decent housing, establish and maintain a suitable living

environment, and expand economic opportunities for every American,

particularly for very low-income and low-income persons.

(i) Decent housing includes assisting homeless persons to obtain

appropriate housing and assisting persons at risk of becoming homeless;

retention of the affordable housing stock; and increasing the

availability of permanent housing in standard condition and affordable

cost to low-income and very low-income families, particularly to

members of disadvantaged minorities, without discrimination on the

basis of race, color, religion, sex, national origin, familial status,

or disability. Decent housing also includes increasing the supply of

supportive housing, which combines structural features and services

needed to enable persons with special needs to live with dignity and

independence.

(ii) A suitable living environment includes improving the safety

and livability of neighborhoods; increasing access to quality public

and private facilities and services; reducing the isolation of income

groups within a community or geographical area through the spatial

deconcentration of housing opportunities for persons of lower income

and the revitalization of deteriorating or deteriorated neighborhoods;

restoring and preserving properties of special historic, architectural,

or aesthetic value; and conservation of energy resources.

(iii) Expanded economic opportunities includes the provision of

jobs accessible to housing affordable to low income persons, including

provision of jobs involved in carrying out activities under programs

covered by this plan to low-income persons living in areas affected by

those programs and activities; availability of mortgage financing for

low income persons at reasonable rates using nondiscriminatory lending

practices; access to capital and credit for development activities that

promote the long-term economic and social viability of the community;

and empowerment and self-sufficiency opportunities for low income

persons to reduce generational poverty in federally assisted and public

housing.

(2) The consolidated submission described in this part 91 requires

the jurisdiction to state in one document its plan to pursue these

goals for all the community planning and development programs, as well

as for housing programs. It is these goals against which the plan and

the jurisdiction's performance under the plan will be evaluated by HUD.

(b) Functions of plan. The consolidated plan serves the following

functions:

(1) A planning document for the jurisdiction, which builds on a

participatory process at the lowest levels;

(2) An application for federal funds under HUD's formula grant

programs;

(3) A strategy to be followed in carrying out HUD programs; and

(4) An action plan that provides a basis for assessing performance.

Sec. 91.2 Applicability.

(a) The following formula grant programs are covered by the

consolidated plan:

(1) The Community Development Block Grant (CDBG) programs (see part

570, Subparts D and I);

(2) The Emergency Shelter Grants (ESG) program (see part 576);

(3) The HOME Investment Partnerships (HOME) program (see part 92);

and

(4) The Housing Opportunities for Persons With AIDS (HOPWA) program

(see part 574).

(b) A jurisdiction must have a consolidated plan that is approved

by HUD as a prerequisite to receiving funds from HUD under the

following programs:

(1) The HOPE I Public Housing Homeownership (HOPE I) program (see

24 CFR subtitle A, appendix A);

(2) The HOPE II Homeownership of Multifamily Units (HOPE II)

program (see 24 CFR subtitle A, appendix B);

(3) The HOPE III Homeownership of Single Family Homes (HOPE III)

program (see 24 CFR part 572);

(4) The Low-Income Housing Preservation (prepayment avoidance

incentives) program, when administered by a State agency (see 24 CFR

248.177);

(5) The Supportive Housing for the Elderly (Section 202) program

(see part 889);

(6) The Supportive Housing for Persons with Disabilities program

(see part 890);

(7) The Supportive Housing program (see part 583);

(8) The Single Room Occupancy Housing (SRO) program (see part 882,

subpart H);

(9) The Shelter Plus Care program (see 24 CFR part 582);

(10) The Community Development Block Grant program--Small Cities

and Insular Areas (see 24 CFR part 570, subparts E and F);

(11) HOME program reallocations;

(12) Revitalization of Severely Distressed Public Housing (section

24 of the United States Housing Act of 1937);

(13) Hope for Youth: Youthbuild (see part 585);

(14) The John Heinz Neighborhood Development program (see 24 CFR

part 594);

(15) The Lead-Based Paint Hazard Reduction program (see 24 CFR part

35);

(16) Grants for Regulatory Barrier Removal Strategies and

Implementation (section 1204, Housing and Community Development Act of

1992); and

(17) Competitive grants under the Housing Opportunities for Persons

With AIDS (HOPWA) program (see part 574).

(c) Other programs do not require consistency with an approved

consolidated plan. However, HUD funding allocations for the Section 8

Certificate and Voucher Programs are to be made in a way that enables

participating jurisdictions to carry out their consolidated plans.

Sec. 91.5 Definitions.

Certification. A written assertion, based on supporting evidence,

that must be kept available for inspection by HUD, by the Inspector

General of HUD, and by the public. The assertion shall be deemed to be

accurate unless HUD determines otherwise, after inspecting the evidence

and providing due notice and opportunity for comment.

Consolidated plan (or ``the plan''). The document that is submitted

annually to HUD that serves as the planning documents (comprehensive

housing affordability strategy and community development plan) of the

jurisdiction and an application for funding under any of the Community

Planning and Development formula grant programs (CDBG, ESG, HOME, or

HOPWA), which is prepared in accordance with the process prescribed in

this part.

Consortium. Geographically contiguous units of general local

government that are acting as a single unit of general local government

for purposes of the HOME program (see 24 CFR part 92). (A unit of

general local government that is also part of a consortium for HOME

program purposes must submit a plan that complies with subpart C of

this part, as well as contributing to the consortium's plan that

complies with subpart E of this part.)

Emergency shelter. Any facility with overnight sleeping

accommodations, the primary purpose of which is to provide temporary

shelter for the homeless in general or for specific populations of the

homeless.

Extremely low-income households (or families). Households whose

income is between 0 and 30 percent of the median income for the area,

as determined by HUD with adjustments for smaller and larger families,

except that HUD may establish income ceilings higher or lower than 30

percent of the median for the area on the basis of HUD's findings that

such variations are necessary because of prevailing levels of

construction costs or fair market rents, or unusually high or low

family incomes.

Homeless. An individual (not imprisoned or otherwise detained

pursuant to an Act of Congress or a State law) or family who:

(1) Lacks a fixed, regular, and adequate nighttime residence; and

(2) Has a primary nighttime residence that is:

(i) A supervised publicly or privately operated shelter designed to

provide temporary living accommodations (including welfare hotels,

congregate shelters, and transitional housing for the mentally ill);

(ii) An institution that provides a temporary residence for

individuals intended to be institutionalized: or

(iii) A public or private place not designed for, or ordinarily

used as, a regular sleeping accommodation for human beings.

Homeless family. A family that includes at least one parent or

guardian and one child under the age of 18; a pregnant woman; or a

person in the process of securing legal custody of a person under the

age of 18; who is homeless, as defined in this section.

Homeless individual. A youth (17 years or younger) not accompanied

by an adult (18 years or older) or an adult without children, who is

homeless, as defined in this section.

HUD. The United States Department of Housing and Urban Development.

Jurisdiction. A State, unit of general local government, or a

consortium.

Lead-based paint hazards. Any condition that causes exposure to

lead from lead-contaminated dust, lead-contaminated soil, lead-

contaminated paint that is deteriorated or present in accessible

surfaces, friction surfaces, or impact surfaces that would result in

adverse human health effects as established by the appropriate Federal

agency.

Low-income families. Families whose incomes do not exceed 80

percent of the median income for the area, as determined by HUD with

adjustments for smaller and larger families, except that HUD may

establish income ceilings higher or lower than 80 percent of the median

for the area on the basis of HUD's findings that such variations are

necessary because of prevailing levels of construction costs or fair

market rents, or unusually high or low family incomes. (The CDBG

program has used the terms ``low-income'' and ``moderate-income''

persons, which terms are derived from its statute. Those terms have the

same meaning as the terms ``very low-income'' and ``low-income'' as

used in NAHA and in the United States Housing Act of 1937 for the

assisted housing programs administered under it. To make the usage

uniform under this part, the terms ``very low-income'' and ``low-

income'' are used here.)

Poverty level households (or families). Households with incomes

below the poverty line, as defined by the Office of Management and

Budget and revised annually.

State. Any State of the United States, the District of Columbia,

and the Commonwealth of Puerto Rico.

Transitional housing. A project that is designed to provide housing

and appropriate supportive services to homeless persons to facilitate

movement to independent living within 24 months, or a longer period

approved by HUD. For purposes of the HOME program, there is no HUD-

approved time period for moving to independent living.

Unit of general local government. A city, town, township, county,

parish, village, or other general purpose political subdivision of a

State; an urban county; the Federated States of Micronesia and Palau,

the Marshall Islands, or a general purpose political subdivision

thereof; and a consortium of such political subdivisions recognized by

HUD in accordance with the HOME program (part 92) or the CDBG program

(part 570).

Urban county. See definition in Sec. 570.3.

Very low-income families. Low-income families whose incomes do not

exceed 50 percent of the median family income for the area, as

determined by HUD with adjustments for smaller and larger families,

except that HUD may establish income ceilings higher or lower than 50

percent of the median for the area on the basis of HUD's findings that

such variations are necessary because of prevailing levels of

construction costs or fair market rents, or unusually high or low

family incomes.

Sec. 91.10 Consolidated program year.

(a) Each of the following programs shall be administered by a

jurisdiction on a single consolidated program year, established by the

jurisdiction: CDBG, ESG, HOME, and HOPWA. Except as provided in

paragraph (b) of this section, the program year shall run for a twelve

month period and begin on the first calendar day of a month.

(b) Once a program year is established, the jurisdiction may either

shorten or lengthen its program year to change the beginning date of

the following program year, provided that it notifies HUD in writing at

least two months before the date the program year would have ended if

it had not been lengthened or at least two months before the end of a

proposed shortened program year.

(c) See subpart E of this part for requirements concerning program

year for units of general local government that are part of a

consortium.

Sec. 91.15 Submission date.

(a) General. (1) In order to facilitate continuity in its program

and to provide accountability to citizens, each jurisdiction should

submit its consolidated plan to HUD at least 45 days before the start

of its program year. (But see Sec. 92.52(b) with respect to newly

eligible jurisdictions under the HOME program.) With the exception of

the August 16 date noted in paragraph (a)(2) of this section, HUD may

grant a jurisdiction an extension of the submission deadline for good

cause.

(2) In no event will HUD accept a submission earlier than November

15 or later than August 16 of the Federal fiscal year for which the

grant funds are appropriated. (Failure to submit the plan by August 16

will automatically result in a loss of the CDBG funds to which the

jurisdiction would otherwise be entitled.)

(b) Annual submission. The portions of the document that must be

submitted on an annual basis are the action plan and the

certifications.

Subpart B--Citizen Participation and Consultation

Sec. 91.100 Consultation.

(a) General. When preparing the plan, the jurisdiction shall

consult with other public and private agencies that provide assisted

housing, health services, and social services (including those focusing

on services to children, elderly persons, persons with disabilities--

including HIV/AIDS, homeless persons) during preparation of the plan.

When preparing the portion of its plan concerning lead-based paint

hazards, the jurisdiction shall consult with State or local health and

child welfare agencies and examine health department data on the

addresses of housing units in which children have been identified as

lead poisoned. When preparing the description of priority nonhousing

community development needs, a unit of general local government must

notify adjacent units of general local government. The jurisdiction

should also consult with adjacent units of general local government,

particularly for problems and solutions that go beyond a single

jurisdiction. When preparing its method of distribution of assistance

under the CDBG program, a State must consult with local governments in

nonentitlement areas of the State.

(b) HOPWA. The largest city in each metropolitan area that is

eligible to receive a HOPWA formula allocation must consult broadly to

develop a metropolitan-wide strategy for addressing the needs of

persons with HIV/AIDS and their families living throughout the

metropolitan area.

(c) Public housing. The jurisdiction shall consult with the local

public housing agency participating in an approved Comprehensive Grant

program concerning consideration of public housing needs and planned

Comprehensive Grant program activities. This consultation will help

provide a better basis for the certification by the local Chief

Executive Officer that the Comprehensive Grant Plan/annual statement is

consistent with the local government's assessment of low-income housing

needs (as evidenced in the housing and community development plan) and

that the local government will cooperate in providing resident programs

and services (as required by Sec. 968.320(d) of the regulations for the

Comprehensive Grant program). It will also help ensure that activities

with regard to local drug elimination, neighborhood improvement

programs, and resident programs and services, funded under the public

housing program and those funded under a program covered by the

consolidated plan are fully coordinated to achieve comprehensive

community development goals.

Sec. 91.105 Citizen participation plan.

(a) Applicability. (1) The jurisdiction is required to adopt a

citizen participation plan. (Where a jurisdiction, before the

effectiveness of this rule, adopted a plan that complies with section

104(a)(3) of the Housing and Community Development Act of 1974 but will

need to amend the plan to comply with provisions of this section, the

plan shall be amended by the first day of the jurisdiction's program

year that begins on or after 180 days following the effective date of

this rule.)

(2) Although these requirements are designed especially to

encourage participation by very low- and low-income persons,

particularly those living in slum and blighted areas and in areas where

CDBG funds are proposed to be used, jurisdictions are expected to take

whatever actions are appropriate to encourage the participation of all

its citizens, including minorities and non-English speaking persons, as

well as persons with mobility, visual or hearing impairments.

(3) The jurisdiction shall encourage, in conjunction with

consultation with public housing authorities, the participation of

residents of public and assisted housing developments, in the process

of developing and implementing the consolidated plan, along with other

low-income residents of targeted revitalization areas in which the

developments are located. The jurisdiction shall make an effort to

provide information to the housing agency about housing and community

development plan activities related to its developments and surrounding

communities so that the housing agency can make this information

available at the annual public hearing required under the Comprehensive

Grant program.

(b) Required elements of citizen participation (CP) plan.--(1)

Encouragement of citizen participation. The CP plan must encourage

citizens to participate in the development of the consolidated plan,

any amendments to the plan, and the performance report.

(2) Information to be provided. The CP plan must assure that

citizens or, as appropriate, units of general local government, be

furnished appropriate information.

(i) The CP plan must require that, before the jurisdiction adopts a

consolidated plan, the jurisdiction will make available to citizens,

public agencies, and other interested parties information that includes

the amount of assistance the jurisdiction expects to receive and the

range of activities that may be undertaken, including the amount that

will benefit persons of very low- and low-income and the plans to

minimize displacement of persons and to assist any persons displaced.

(ii) The CP plan must require the jurisdiction to publish the

proposed consolidated plan for comment. The requirement for publishing

may be met by publishing a summary of the proposed consolidated plan in

one or more newspapers of general circulation, and by making copies of

the proposed plan available at libraries, government offices, and

public places. The summary must describe the contents and purpose of

the consolidated plan, and must include a list of the locations where

copies of the entire plan may be examined.

(iii) The CP plan must require the jurisdiction to notify citizens,

or units of general local government, as appropriate, of the

availability of the consolidated plan as adopted, any amendments, and

its performance report, as these documents are developed, to afford

citizens a reasonable opportunity to examine their contents.

(iv) The CP plan also must provide a period, not less than 30 days,

to receive comments from citizens, or units of general local

government, on the plan, amendments, or report that is to be submitted

to HUD before its submission.

(3) Access to records. The CP plan must require the jurisdiction to

provide citizens, public agencies, and other interested parties with

reasonable and timely access to information and records relating to the

jurisdiction's consolidated plan and the jurisdiction's use of

assistance under the programs covered by this part during the preceding

five years.

(4) Technical assistance. The CP plan also must provide for

technical assistance to groups representative of persons of very low-

and low-income that request such assistance in developing proposals for

funding assistance under any of the programs covered by the

consolidated plan, with the level and type of assistance determined by

the jurisdiction.

(5) Public hearings. (i) The CP plan must provide for at least two

public hearings per year to obtain citizens' views, to be conducted at

a minimum of two different stages of the program year. Together, the

hearings must address housing and community development needs,

development of proposed activities, and review of program performance.

To obtain the views of citizens on housing and community development

needs, including priority nonhousing community development needs, the

CP plan must provide that at least one of these hearings are held

before the proposed consolidated plan is published for comment.

(ii) The CP plan must provide that adequate advance notice be given

to citizens or, as appropriate, units of general local government of

each hearing, with sufficient information published about the subject

of the hearing to permit informed comment.

(iii) The CP plan must provide that hearings be held at times and

locations convenient to potential and actual beneficiaries, and with

accommodation for persons with disabilities.

(iv) The CP plan must identify how the needs of non-English

speaking residents will be met in the case of public hearings where a

significant number of non-English speaking residents can be reasonably

expected to participate.

(6) Comments and complaints. (i) The CP plan shall require the

jurisdiction to consider any comments or views of citizens (or units of

general local government) received in writing, or orally at the public

hearings, in preparing the final consolidated plan, amendment of the

plan, or performance report. A summary of these comments or views, and

a summary of any comments or views not accepted and the reasons

therefor, shall be attached to the final consolidated plan, amendment

of the plan, or performance report.

(ii) The CP plan shall describe the jurisdiction's appropriate and

practicable procedures to handle complaints from citizens related to

the consolidated plan, amendments, and performance report. At a

minimum, the CP plan shall require that the jurisdiction must provide a

timely, substantive written response to every written citizen

complaint, within an established period of time (within 15 working

days, where practicable, if the jurisdiction is a CDBG grant

recipient).

(7) Criteria for amendment to plan. The CP plan must specify the

criteria the jurisdiction will use for determining what constitutes a

substantial change in the jurisdiction's planned or actual activities

that requires an amendment to the consolidated plan. (See Sec. 91.505.)

It must address such changes as changes in the use of CDBG funds from

one eligible activity to another or changes in the method of

distribution of such funds.

(c) Adoption of CP plan. The jurisdiction must provide citizens

with a reasonable opportunity to comment on the original citizen

participation (CP) plan and on any amendments to the CP plan, and must

make the CP plan public. The CP plan must be in a format accessible to

persons with disabilities.

(d) Use of CP plan. The jurisdiction must follow its citizen

participation plan.

Subpart C--Local Governments: Contents of Consolidated Plan

Sec. 91.200 Contents and format.

The consolidated plan shall be submitted in such format as may be

prescribed by HUD, including forms and narratives, or in such other

format as jointly agreed upon by HUD and the jurisdiction. The content

shall comply with the requirements of this part, including the

requirement of Sec. 91.105 to include a summary of public comments.

Sec. 91.205 Housing and homeless needs assessment.

(a) General. The plan must describe the jurisdiction's estimated

housing needs and needs for supportive services projected for the

ensuing five-year period. Housing data included in this portion of the

plan shall be based on data available from the U.S. Census, as updated

by any properly conducted local study, or any other reliable source

that the jurisdiction clearly identifies and should reflect the

consultation with social service agencies conducted in accordance with

Sec. 91.100 and the citizen participation process. For a jurisdiction

seeking funding under the HOPWA program, the needs described for

housing and supportive services must address the needs of persons with

HIV/AIDS and their families throughout the metropolitan area.

(b) Categories of persons affected. (1) The plan must describe the

jurisdiction's need for assistance for extremely low-income, very low-

income, low-income, and moderate-income families, for renters and

owners, for elderly persons, for large families, and for persons with

disabilities. The description of housing needs shall include a

discussion of the cost burden and severe cost burden, overcrowding

(especially for large families), and substandard housing conditions

being experienced by extremely low-income, very low-income, other low-

income, and moderate-income renters and owners compared to the

jurisdiction as a whole.

(2) For any of the categories enumerated in paragraph (b)(1) of

this section, to the extent that any racial or ethnic group has

disproportionately greater need in comparison to the needs of that

category as a whole, assessment of that specific need shall be

included. For this purpose, disproportionately greater need exists when

the percentage of persons in a category of need who are members of a

particular racial or ethnic group is at least 10 percentage points

higher than the percentage of persons in the category as a whole.

(3) With respect to a jurisdiction seeking assistance under the

HOPWA program, the plan must identify the size and characteristics of

the population with HIV/AIDS and their families within the eligible

metropolitan statistical area it will serve.

(c) Homeless needs. The plan must describe the nature and extent of

homelessness, including rural homelessness, within the jurisdiction.

The plan must include an estimate of the special needs of various

categories of families and individuals who are homeless or threatened

with homelessness (such as persons with mental illness or with

substance abuse problems), in accordance with a table prescribed by

HUD. The plan also should contain a narrative description of the nature

and extent of homelessness by racial and ethnic group, to the extent

information is available.

(d) Lead-based paint hazards. The plan must estimate the number of

housing units within the jurisdiction that are occupied by low-income

families or very low-income families that contain lead-based paint

hazards, as defined in this part.

Sec. 91.210 Housing market analysis.

(a) General characteristics. Based on information available to the

jurisdiction, the plan must describe the significant characteristics of

the jurisdiction's housing market, including such aspects as the

supply, demand, and condition and cost of housing and the housing stock

available to serve persons with disabilities and to serve persons with

HIV/AIDS and their families. The jurisdiction must identify and

describe any areas within the jurisdiction with concentrations of

racial/ethnic minorities and/or low-income families, stating how it

defines the terms ``area of low-income concentration'' and ``area of

minority concentration'' for this purpose. The locations and degree of

these concentrations must be identified, either in a narrative or on

one or more maps.

(b) Public and assisted housing. (1) The plan must describe the

number of public housing units in the jurisdiction, the physical

condition of such units, the restoration and revitalization needs,

results from the Section 504 needs assessment (i.e., assessment of

needs of tenants and applicants on waiting list for accessible units,

as required by 24 CFR 8.25), and the public housing agency's strategy

for improving the management and operation of such public housing and

for improving the living environment of low- and very low-income

families residing in public housing. The consolidated plan must

identify the developments in the jurisdictions that are participating

in an approved HUD Comprehensive Grant program. Activities covered by

the consolidated plan that are being coordinated or jointly funded with

the public housing Comprehensive Grant program must be identified by

project and referenced to the approved Comprehensive Grant program.

Examples of joint projects are efforts to revitalize neighborhoods

surrounding public housing projects (either current or proposed);

cooperation in provision of resident programs and services;

coordination of local drug elimination or anti-crime strategies;

upgrading of police, fire, schools, and other services; and economic

development projects in or near public housing projects to tie in with

self-sufficiency efforts for residents. The annual action plan of the

consolidated plan shall make appropriate reference to the annual

revisions of the action plan prepared for the Comprehensive Grant

program.

(2) The jurisdiction shall include a description of the number and

targeting (income level and type of household served) of units

currently assisted by local, state, or federally funded programs, and

an assessment of whether any such units are expected to be lost from

the assisted housing inventory for any reason.

(c) Homeless facilities. The plan must include a brief inventory of

facilities and services that meet the emergency shelter, transitional

housing, permanent supportive housing, and permanent housing needs of

homeless persons within the jurisdiction.

(d) Barriers to affordable housing. The plan must explain whether

the cost of housing or the incentives to develop, maintain, or improve

affordable housing in the jurisdiction are affected by public policies,

particularly by policies of the jurisdiction, including tax policies

affecting land and other property, land use controls, zoning

ordinances, building codes, fees and charges, growth limits, and

policies that affect the return on residential investment.

(e) Institutional structure. The plan must explain the

institutional structure, including private industry, nonprofit

organizations, and public institutions, through which the jurisdiction

will carry out its housing and community development plan, assessing

the strengths and gaps in that delivery system.

(f) Governmental coordination. With respect to the public entities

involved, the plan must describe the means of cooperation and

coordination among the State and any units of general local government

in the metropolitan area in the development and submission of its plan.

Sec. 91.215 Strategies, priority needs, and objectives.

(a) General. The Consolidated Plan must state for each of the

jurisdiction's priority needs identified in the priority needs table

prescribed by HUD and in local consultation:

(1) The reasons for the jurisdiction's choice of priority need,

describing its choice in terms of housing need (e.g., income, tenure,

and housing problems), and identifying obstacles to addressing

underserved needs;

(2) The specific objectives. Each objective shall identify the key

goals in quantitative terms along with numeric or other measurable

indicators of progress and a target date for completion (in subsequent

years, the plan may incorporate the objectives from a prior year's plan

if they have not changed); and

(3) A description of the jurisdiction's resource allocation

geographically within the jurisdiction (or within the metropolitan area

for the HOPWA program) and among different activities.

(b) Resources. (1) Federal resources. The plan must describe the

expected Federal resources to be available to address the needs

identified in accordance with Sec. 91.205.

(2) Other resources. The plan must indicate resources from private

and non-Federal public sources that are reasonably expected to be made

available to address the needs identified in the plan. The plan must

explain how Federal funds will leverage those additional resources,

including a description of how matching requirements of the HUD

programs will be satisfied. Where the jurisdiction deems it

appropriate, it may indicate publicly owned land or property located

within the jurisdiction that may be used to carry out the purposes

stated in Sec. 91.1.

(c) Affordable housing. The plan must include the number of

families to whom the jurisdiction will provide affordable housing, as

defined in Sec. 92.252 of this chapter for rental housing and

Sec. 92.254 of this chapter for homeownership, and must include the

priority housing needs table prescribed by HUD. In addition, the

strategy should cover any other types of affordable housing that would

meet needs in the priority needs table. The plan shall describe the

basis for assigning the relative priority given to a particular group's

needs and indicate how the characteristics of the housing market will

influence the use of funds made available for rental assistance,

production of new units, rehabilitation of old units, or acquisition of

existing units.

(d) Homelessness. The plan must include the priority homeless needs

table prescribed by HUD and must describe the jurisdiction's strategy

identifying resources used for the following:

(1) Helping low-income families avoid becoming homeless;

(2) Reaching out to homeless persons and assessing their individual

needs;

(3) Addressing the emergency shelter and transitional housing needs

of homeless persons; and

(4) Helping homeless persons make the transition to permanent

housing and independent living.

(e) Community development. If the jurisdiction seeks assistance

under the Community Development Block Grant program, the plan must

describe the jurisdiction's priority non-housing community development

needs eligible for assistance under HUD's community development

programs by CDBG eligibility category, reflecting needs of persons or

households, as appropriate, in terms of dollar amounts estimated to

meet the priority need for the type of activity, in accordance with a

table prescribed by HUD. This community development component of the

plan must state the jurisdiction's long-term and short-term community

development objectives, which must be developed in accordance with the

statutory goals described in Sec. 91.1. The jurisdiction shall describe

the public housing Comprehensive Grant program strategies undertaken

jointly with consolidated plan activities described in Sec. 91.210(b),

such as joint or coordinated neighborhood revitalization, improved

public service, anti-drug or crime activities, related to the public

housing developments concerned.

(f) Barriers to affordable housing. The plan must describe the

jurisdiction's strategy to remove or ameliorate negative effects of

public policies that serve as barriers to affordable housing, as

identified in accordance with Sec. 91.210(d), except that, if a State

requires a unit of general local government to submit a regulatory

barrier assessment that is substantially equivalent to the information

required under this paragraph, as determined by the Secretary, the unit

of general local government may submit its assessment submitted to the

State to the Secretary and shall be considered to have complied with

this requirement.

(g) Public housing resident initiatives. The plan must describe the

jurisdiction's activities to encourage public housing residents to

become more involved in management and participate in homeownership.

(h) Lead-based paint hazards. The plan must outline the actions

proposed or being taken to evaluate and reduce lead-based paint

hazards, and describe how the lead-based paint hazard reduction will be

integrated into housing policies and programs.

(i) Anti-poverty strategy. The plan must describe the

jurisdiction's goals, programs, and policies for reducing the number of

poverty level households and how the jurisdiction's goals, programs,

and policies for producing and preserving affordable housing will be

coordinated with other programs and services for which the jurisdiction

is responsible and the extent to which they will reduce (or assist in

reducing) the number of households with incomes below the poverty line.

(j) Institutional structure. The plan must describe what the

jurisdiction will do to overcome gaps in the institutional structure

for carrying out its strategy for addressing its priority needs.

(k) Coordination. The plan must describe the jurisdiction's

activities to enhance coordination between public and assisted housing

providers and private and governmental health, mental health, and

service agencies. With respect to the public entities involved, the

plan must describe the means of cooperation and coordination among the

State and any units of general local government in the implementation

of its strategy, including activities to encourage public housing

residents to become more involved in management and participate in

homeownership.

Sec. 91.220 Action plan.

The action plan must include the following:

(a) Standard Form 424;

(b) A description of the activities the jurisdiction will undertake

during the next year to address priority needs and local objectives

that were identified in Sec. 91.215. This description shall identify

the local objectives that will be addressed by the activities that are

expected to be undertaken using formula grant funds, other HUD

assistance, non-HUD sources of funds, and program income the

jurisdiction expects to receive during the program year. This

information is to be presented in the form of a table prescribed by

HUD;

(c) Activities it plans to undertake during the next year to

address emergency shelter and transitional housing needs of homeless

individuals and families, to prevent low-income individuals and

families with children (especially those with incomes below 30 percent

of median) from becoming homeless, and to help homeless persons make

the transition to permanent housing and independent living;

(d) Actions it plans to take during the next year to foster and

maintain affordable housing, public housing improvements and resident

initiatives, remove barriers to affordable housing, evaluate and reduce

lead-based hazards, reduce the number of households with incomes below

the poverty line, develop institutional structure, address obstacles to

meeting underserved needs, and enhance coordination between public and

private housing and social service agencies. (See Sec. 91.215 (c), (g),

(h), (i), (j), and (k).) For HOME funds, a participating jurisdiction

shall describe other forms of investment that are not described in

Sec. 92.205(b) of this chapter.

Sec. 91.225 Certifications.

(a) General.--(1) Citizen participation. Each jurisdiction must

certify that it is in full compliance and following a detailed citizen

participation plan that satisfies the requirements of Sec. 91.105.

(2) Affirmatively furthering fair housing. Each jurisdiction is

required to submit a certification that it will affirmatively further

fair housing. This certification includes conducting an analysis of

impediments to fair housing choice and preparing a description of any

steps taken to carry out the certification, and maintaining evidence to

support the certification. (See 24 CFR 570.601(c) for a description of

the responsibilities that a CDBG entitlement community must undertake

to fulfill this certification.)

(3) Anti-displacement and relocation plan. Each jurisdiction is

required to submit a certification that it has in effect and is

following a residential antidisplacement and relocation assistance plan

in connection with any activity assisted with funding under the CDBG or

HOME programs.

(4) Drug-free workplace. The jurisdiction must submit a

certification with regard to drug-free workplace required by 24 CFR

part 24, subpart F.

(5) Anti-lobbying. The jurisdiction must submit a certification

with regard to compliance with restrictions on lobbying required by 24

CFR part 87, together with disclosure forms, if required by that part.

(6) Authority of jurisdiction. The jurisdiction must submit a

certification that the consolidated plan is authorized under State and

local law (as applicable) and that the jurisdiction possesses the legal

authority to carry out the programs for which it is seeking funding, in

accordance with applicable HUD regulations.

(7) Consistency with plan. The housing activities to be undertaken

with CDBG, HOME, ESG, and HOPWA funds are consistent with the plan.

(8) Acquisition and relocation. It will comply with the acquisition

and relocation requirements of the Uniform Relocation Assistance and

Real Property Acquisition Policies Act of 1970, as amended, and

implementing regulations at 49 CFR part 24.

(9) Section 3. It will comply with section 3 of the Housing and

Urban Development Act of 1968.

(b) Community Development Block Grant program. For jurisdictions

that seek funding under CDBG, the following certifications are

required:

(1) Consultation by States. In the case of a State, a certification

that it has consulted with affected units of local government about the

method of distribution of funding.

(2) Community development plan. A certification that this

consolidated housing and community development plan identifies

community development and housing needs and specifies both short-term

and long-term community development objectives that have been developed

in accordance with the primary objective of the statute authorizing the

CDBG program, as described in Sec. 570.2 of this title, and

requirements of this part and part 570 of this title.

(3) Strategy. A certification that the jurisdiction is following a

current consolidated plan (formerly Comprehensive Housing Affordability

Strategy) that has been approved by HUD.

(4) Use of funds. A certification that the jurisdiction has

complied with the following criteria:

(i) With respect to activities expected to be assisted with CDBG

funds, the Action Plan has been developed so as to give the maximum

feasible priority to activities that will benefit very low- and low-

income families or aid in the prevention or elimination of slums or

blight. The plan may also include CDBG-assisted activities that are

certified to be designed to meet other community development needs

having particular urgency because existing conditions pose a serious

and immediate threat to the health or welfare of the community where

other financial resources are not available to meet such needs;

(ii) The aggregate use of CDBG funds, including section 108

guaranteed loans, during a period specified by the jurisdiction,

consisting of one, two, or three specific consecutive program years,

shall principally benefit very low- and low-income families in a manner

that ensures that at least 70 percent of the amount is expended for

activities that benefit such persons during the designated period (see

24 CFR 570.200 for definition of ``CDBG funds''); and

(iii) The jurisdiction will not attempt to recover any capital

costs of public improvements assisted with CDBG funds, including

Section 108 loan guarantees, by assessing any amount against properties

owned and occupied by persons of very low- and low-income, including

any fee charged or assessment made as a condition of obtaining access

to such public improvements. However, if CDBG funds are used to pay the

proportion of a fee or assessment attributable to the capital costs of

public improvements (assisted in part with CDBG funds) financed from

other revenue sources, an assessment or charge may be made against the

property with respect to the public improvements financed by a source

other than CDBG funds. In addition, with respect to properties owned

and occupied by low-income (but not very low-income) families, an

assessment or charge may be made against the property with respect to

the public improvements financed by a source other than CDBG funds if

the jurisdiction certifies that it lacks CDBG funds to cover the

assessment.

(5) A certification that the jurisdiction will comply with

applicable laws.

(6) Excessive force. A certification that the jurisdiction has

adopted and is enforcing:

(i) A policy prohibiting the use of excessive force by law

enforcement agencies within its jurisdiction against any individuals

engaged in non-violent civil rights demonstrations; and

(ii) A policy of enforcing applicable State and local laws against

physically barring entrance to or exit from, a facility or location

that is the subject of such non-violent civil rights demonstrations

within its jurisdiction.

(7) Compliance with anti-discrimination laws. The jurisdiction must

submit a certification that the grant will be conducted and

administered in compliance with title VI of the Civil Rights Act of

1964 (42 U.S.C. 2000d), the Fair Housing Act (42 U.S.C. 3601-3619), the

Age Discrimination Act of 1975 (42 U.S.C. 6101-6107), Executive Orders

11063, 11625, 12138, 12432, and 12892, Section 504 of the

Rehabilitation Act of 1973 (29 U.S.C. 794), and implementing

regulations.

(c) Emergency Shelter Grant program. For jurisdictions that seek

funding under the Emergency Shelter Grant program, a certification is

required by the metropolitan city or urban county that it will comply,

and by the State that it will ensure that its State recipients comply,

with the following requirements:

(1) In the case of assistance involving major rehabilitation or

conversion, maintain any building for which assistance is used under

the ESG program as a shelter for homeless individuals and families for

not less than a 10-year period;

(2) In the case of assistance involving rehabilitation less than

that covered under paragraph (d)(1) of this section, maintain any

building for which assistance is used under the ESG program as a

shelter for homeless individuals and families for not less than a

three-year period;

(3) In the case of assistance involving essential services

(employment, health, drug abuse, or education) or maintenance,

operation, insurance, utilities and furnishings, provide services or

shelter to homeless individuals and families for the period during

which the ESG assistance is provided, without regard to a particular

site or structure as long as the same general population is served;

(4) Any renovation carried out with ESG assistance shall be

sufficient to ensure that the building involved is safe and sanitary;

(5) It will assist homeless individuals in obtaining appropriate

supportive services, including permanent housing, medical and mental

health treatment, counseling, supervision, and other services essential

for achieving independent living, and other Federal, State, local, and

private assistance available for such individuals;

(6) Obtain matching amounts required under Sec. 576.71 of this

title;

(7) Develop and implement procedures to ensure the confidentiality

of records pertaining to any individual provided family violence

prevention or treatment services under any project assisted under the

ESG program, including protection against the release of the address or

location of any family violence shelter project except with the written

authorization of the person responsible for the operation of that

shelter; and

(8) To the maximum extent practicable, it will involve, through

employment, volunteer services, or otherwise, homeless individuals and

families in constructing, renovating, maintaining, and operating

facilities assisted under this program, in providing services assisted

under the program, and in providing services for occupants of

facilities assisted under the program.

(d) HOME program. Each participating jurisdiction must provide the

following certifications:

(1) If it plans to use HOME funds for tenant-based rental

assistance, a certification that rental-based assistance is an

essential element of its consolidated plan;

(2) That it is using and will use HOME funds for eligible

activities and costs, as described in Secs. 92.205 and 92.209 of this

chapter and that it is not using and will not use HOME funds for

prohibited activities, as described in Sec. 92.214 of this chapter;

(3) That before committing funds to a project, the participating

jurisdiction will evaluate the project in accordance with guidelines

that it adopts for this purpose and will not invest any more HOME funds

in combination with other federal assistance than is necessary to

provide affordable housing;

(e) Housing Opportunities for Persons With AIDS. For jurisdictions

that seek funding under the Housing Opportunities for Persons With AIDS

program, a certification is required by the jurisdiction that:

(1) Activities funded under the program will meet urgent needs that

are not being met by available public and private sources; and

(2) Any property purchased, leased, rehabilitated, renovated, or

converted with assistance under that program shall be operated for not

less than 10 years for the purpose specified in the plan, or for a

period of not less than three years in cases involving non-substantial

rehabilitation or repair of a building or structure.

Sec. 91.230 Monitoring.

The plan must describe the standards and procedures that the

jurisdiction will use to monitor activities carried out in furtherance

of the plan and will use to ensure long-term compliance with

requirements of the programs involved, including the comprehensive

planning requirements.

Sec. 91.235 Special case--abbreviated consolidated plan.

(a) Who may submit an abbreviated plan? A jurisdiction that is not

a CDBG entitlement community under 24 CFR part 570, subpart D, and is

not expected to be a participating jurisdiction in the HOME program

under 24 CFR part 92, may submit an abbreviated consolidated plan that

is appropriate to the types and amounts of assistance sought from HUD.

(b) When is an abbreviated plan necessary?

(1) Jurisdiction. When a jurisdiction that is permitted to use an

abbreviated plan applies to HUD for funds under a program that requires

an approved consolidated plan (see Sec. 91.2), it must obtain approval

of an abbreviated plan and submit a certification that the housing

activities are consistent with the plan.

(2) Other applicants. When an eligible applicant other than a

jurisdiction (e.g., a public housing agency or nonprofit organization)

seeks to apply for funding under a program requiring an approved

consolidated plan, the jurisdiction--if it is permitted to use an

abbreviated plan--may prepare an abbreviated plan appropriate to the

project.

(3) Limitation. For the HOME program, an abbreviated consolidated

plan is only permitted with respect to reallocations to other than

participating jurisdictions (see part 92, subpart J of this chapter).

For the CDBG program, an abbreviated plan may be submitted only for the

HUD-administered Small Cities program and for the Insular Areas program

(only Palau is subject to this requirement).

(c) What is an abbreviated plan? An abbreviated plan must contain

sufficient information about needs, resources, and planned activities

to address the needs to cover the type and amount of assistance

anticipated to be funded by HUD.

(d) Citizen participation. Prior to submission of the consolidated

plan to HUD for funding, the applicant must conduct a citizen

participation process as provided in section 107 of the Cranston-

Gonzalez National Affordable Housing Act.

Subpart D--State Governments: Contents of Consolidated Plan

Sec. 91.300 Contents and format.

The consolidated plan shall be submitted in such format as may be

prescribed by HUD, including forms and narratives, or in such other

format as jointly agreed upon by HUD and the State. The content shall

comply with the requirements of this part, including the requirement of

Sec. 91.105 to include a summary of public comments.

Sec. 91.305 Housing and homeless needs assessment.

(a) General. The plan must describe the State's estimated housing

needs projected for the ensuing five-year period. Housing data included

in this portion of the plan shall be based on data available from the

U.S. Census, as updated by any properly conducted local study, or any

other reliable source that the jurisdiction clearly identifies and

should reflect the consultation with social service agencies conducted

in accordance with Sec. 91.100 and the citizen participation process.

(b) Categories of persons affected. The plan must describe the

jurisdiction's need for assistance for extremely low income, very low-

income, low-income, and moderate income families, for renters and

owners, for elderly persons, for large families, and for persons with

disabilities. The description of housing needs shall include a

discussion of the cost burden and severe cost burden, overcrowding

(especially for large families), and substandard housing conditions

being experienced by extremely low-income, very low-income, other low-

income, and moderate-income renters and owners compared to the

jurisdiction as a whole. For any of these categories, to the extent

that any racial or ethnic group has disproportionately greater need in

comparison to the needs of that category as a whole, assessment of that

specific need shall be included. For this purpose, disproportionately

greater need exists when the percentage of persons in a category of

need who are members of a particular racial or ethnic group is at least

10 percentage points higher than the percentage of persons in the

category as a whole. With respect to a jurisdiction seeking assistance

under the HOPWA program, the plan must identify the size and

characteristics of the population with acquired immunodeficiency

syndrome, related diseases, and their families within the metropolitan

area to be served.

(c) Homeless needs. The plan must describe the nature and extent of

homelessness, including rural homelessness, within the jurisdiction.

The plan must include an estimate of the special needs of various

categories of families and individuals who are homeless or threatened

with homelessness (such as persons with mental illness or with

substance abuse problems), in accordance with a table prescribed by

HUD. The plan also should contain a narrative description of the nature

and extent of homelessness by racial and ethnic group, to the extent

information is available.

(d) Lead-based paint hazards. The plan must estimate the number of

housing units within the State that are occupied by low-income families

or very low-income families that contain lead-based paint hazards, as

defined in this part.

Sec. 91.310 Housing market analysis.

(a) General characteristics. Based on data available to the State,

the plan must describe the significant characteristics of the State's

housing markets (including such aspects as the supply, demand, and

condition and cost of housing).

(b) Low-income tax credit use. The plan must describe the strategy

to coordinate the Low-income Tax Credit with development of housing

that is affordable to very low-income and low-income families.

(c) Homeless facilities. The plan must include a brief inventory of

facilities and services that meet the needs for emergency shelter and

transitional housing needs of homeless persons within the State.

(d) Barriers to affordable housing. The plan must explain whether

the cost of housing or the incentives to develop, maintain, or improve

affordable housing in the State are affected by its policies, including

tax policies affecting land and other property, land use controls,

zoning ordinances, building codes, fees and charges, growth limits, and

policies that affect the return on residential investment.

(e) Institutional structure. The plan must explain the

institutional structure, including private industry, nonprofit

organizations, and public institutions, through which the State will

carry out its housing and community development plan, assessing the

strengths and gaps in that delivery system.

(f) Governmental coordination. With respect to the public entities

involved, the plan must describe the means of cooperation and

coordination among the State and any units of general local government

in the development and submission of the State's plan.

Sec. 91.315 Strategies, priority needs, and objectives.

(a) General. The consolidated plan must state for each of the

State's priority needs identified in the priority needs table

prescribed by HUD and in local consultation:

(1) The reasons for the State's choice of priority need, describing

its choice in terms of housing need (e.g., income, tenure, and housing

problems), and identifying obstacles to addressing underserved needs;

(2) The specific objectives. Each objective shall identify the key

goals in quantitative terms along with numeric or other measurable

indicators of progress and a target date for completion (in subsequent

years, the plans may incorporate the objectives from a prior year's

plan if they have not changed); and

(3) A description of the State's resource allocation geographically

within the State (or for the HOPWA program, outside metropolitan areas

receiving HOPWA grants) and among different activities.

(b) Resources--(1) Federal resources. The plan must describe the

expected Federal resources to be available to address the needs

identified in accordance with Sec. 91.305.

(2) Other resources. The plan must indicate resources from private

and non-Federal public sources that are reasonably expected to be made

available to address the needs identified in the plan. The plan must

explain how Federal funds will leverage those additional resources,

including a description of how matching requirements of the HUD

programs will be satisfied. Where the State deems it appropriate, it

may indicate publicly owned land or property located within the

jurisdiction that may be used to carry out the purposes stated in

Sec. 91.1.

(c) Affordable housing. The plan must include the number of

families to whom the State will provide affordable housing, as defined

in Sec. 92.252 of this chapter for rental housing and Sec. 92.254 of

this chapter for homeownership, and must include the priority housing

needs table prescribed by HUD. The plan must indicate how those

characteristics will influence the use of funds made available for

rental assistance, production of new units, rehabilitation of old

units, or acquisition of existing units.

(d) Homelessness. The plan must include the priority homeless needs

table prescribed by HUD and must describe the jurisdiction's strategy

for the following:

(1) Helping low-income families avoid becoming homeless;

(2) Reaching out to homeless persons and assessing their individual

needs;

(3) Addressing the emergency shelter and transitional housing needs

of homeless persons; and

(4) Helping homeless persons make the transition to permanent

housing and independent living.

(e) Community development. If the State seeks assistance under the

Community Development Block Grant program, the plan must describe the

State's priority nonhousing community development needs that affect

more than one unit of general local government and involve activities

typically funded by the State under the CDBG program. These priority

needs must be described by CDBG eligibility category, reflecting the

needs of persons or households, as appropriate, for each type of

activity. This community development component of the plan must state

the State's long-term and short-term community development objectives,

which must be developed in accordance with the statutory goals

described in Sec. 91.1.

(f) Barriers to affordable housing. The plan must describe the

State's strategy to remove or ameliorate negative effects of its

policies that serve as barriers to affordable housing, as identified in

accordance with Sec. 91.310.

(g) Public housing resident initiatives. For a State that has a

State housing agency, the plan must describe the State's activities to

encourage public housing residents to become more involved in

management and participate in homeownership.

(h) Lead-based paint hazards. The plan must outline the actions

proposed or being taken to evaluate and reduce lead-based paint

hazards, and describe how the lead-based paint hazard reduction will be

integrated into housing policies and programs.

(i) Anti-poverty strategy. The plan must describe the State's

goals, programs, and policies for reducing the number of poverty level

households and how the State's goals, programs, and policies for

producing and preserving affordable housing will be coordinated with

other programs and services for which the State is responsible and the

extent to which they will reduce (or assist in reducing) the number of

households with incomes below the poverty line.

(j) Institutional structure. The plan must describe what the State

will do to overcome gaps in the institutional structure for carrying

out its strategy for addressing its priority needs.

(k) Coordination. The plan must describe the State's activities to

enhance coordination between public and assisted housing providers and

private and governmental health, mental health, and service agencies.

With respect to the public entities involved, the plan must describe

the means of cooperation and coordination among the State and any units

of general local government in the implementation of its strategy,

including activities to encourage public housing residents to become

more involved in management and participate in homeownership.

Sec. 91.320 Action plan.

(a) General. The action plan must describe the state's method for

distributing funds to local governments to carry out activities, or the

activities to be undertaken by the state, using funds that are expected

to be received under formula allocations (and related program income)

and other HUD assistance during the program year. These funds are

expected to be made available to address housing and related needs and

non-housing community development needs described in the consolidated

plan, in accordance with Sec. 91.315. With respect to the District of

Columbia, the action plan must be in accordance with the provisions of

Sec. 91.220.

(b) Specific information. The action plan must include the

following:

(1) For HOME funds, the state will describe the general priorities

for allocating investments geographically within the state and among

different activities and housing needs.

(2) For CDBG funds, a statement of the criteria used to select

applications for funding, including the relative importance of the

criteria. The action plan must include a description of how all CDBG

resources will be allocated among all funding categories and the

threshold factors and grant size limits that are to be applied. If the

State intends to aid nonentitlement units of general local government

in applying for guaranteed loan funds under part 570, Subpart M of this

title, it must describe available guarantee amounts and how

applications will be selected for assistance. (The statement of the

method of distribution must provide sufficient information so that

units of general local government will be able to understand and

comment on it, and be able to prepare responsive applications.)

(3) For ESG funds, a statement of the process for awarding grants

to State recipients and a description of how it intends to make its

allocation available to units of local government and nonprofit

organizations.

Sec. 91.325 Certifications.

(a) General.--(1) Citizen participation. A certification that the

State and each unit of general local government that is receiving

assistance from the State, is following a detailed citizen

participation plan that satisfies the requirements of Sec. 91.105.

(2) Affirmatively furthering fair housing. Each State is required

to submit a certification that it will affirmatively further fair

housing. This certification includes conducting an analysis of

impediments to fair housing choice and preparing a description of any

steps taken to carry out the certification, and maintaining evidence to

support the certification. (See Sec. 570.487(b)(2)(ii) of this title

for a description of the responsibilities that a State must undertake

to fulfill this certification.)

(3) Anti-displacement and relocation plan. The State is required to

submit a certification that it has in effect and is following a

residential antidisplacement and relocation assistance plan in

connection with any activity assisted with funding under the CDBG or

HOME programs.

(4) Drug-free workplace. The State must submit a certification with

regard to drug-free workplace required by 24 CFR part 24, subpart F.

(5) Anti-lobbying. The State must submit a certification with

regard to compliance with restrictions on lobbying required by 24 CFR

part 87, together with disclosure forms, if required by that part.

(6) Authority of State. The State must submit a certification that

the consolidated plan is authorized under State law and that the State

possesses the legal authority to carry out the programs for which it is

seeking funding, in accordance with applicable HUD regulations.

(7) Consistency with plan. The housing activities to be undertaken

with CDBG, HOME, ESG, and HOPWA funds are consistent with the plan.

(8) Acquisition and relocation. It will comply with the acquisition

and relocation requirements of the Uniform Relocation Assistance and

Real Property Acquisition Policies Act of 1970, as amended, and

implementing regulations at 49 CFR part 24.

(9) Section 3. It will comply with section 3 of the Housing and

Urban Development Act of 1968.

(b) Community Development Block Grant program. For States that seek

funding under CDBG, the following certifications are required:

(1) Consultation by States. A certification that it has consulted

with affected units of local government about the method of

distribution of funding.

(2) Community development plan. A certification that this

consolidated plan identifies community development and housing needs

and specifies both short-term and long-term community development

objectives that have been developed in accordance with the primary

objective of the statute authorizing the CDBG program, as described in

Sec. 570.2 of this title, and requirements of this part and part 570 of

this title.

(3) Use of funds. A certification that the State has complied with

the following criteria:

(i) With respect to activities expected to be assisted with CDBG

funds, the Action plan has been developed so as to give the maximum

feasible priority to activities that will benefit very low- and low-

income families or aid in the prevention or elimination of slums or

blight. The plan may also include CDBG-assisted activities that are

certified to be designed to meet other community development needs

having particular urgency because existing conditions pose a serious

and immediate threat to the health or welfare of the community where

other financial resources are not available to meet such needs;

(ii) The aggregate use of CDBG funds, including section 108

guaranteed loans, during a period specified by the State, consisting of

one, two, or three specific consecutive program years, shall

principally benefit very low- and low-income families in a manner that

ensures that at least 70 percent of the amount is expended for

activities that benefit such persons during the designated period (see

24 CFR 570.200 for definition of ``CDBG funds''); and

(iii) The State will not attempt to recover any capital costs of

public improvements assisted with CDBG funds, including Section 108

loan guarantees, by assessing any amount against properties owned and

occupied by persons of very low- and low-income, including any fee

charged or assessment made as a condition of obtaining access to such

public improvements. However, if CDBG funds are used to pay the

proportion of a fee or assessment attributable to the capital costs of

public improvements (assisted in part with CDBG funds) financed from

other revenue sources, an assessment or charge may be made against the

property with respect to the public improvements financed by a source

other than with CDBG funds. In addition, with respect to properties

owned and occupied by low-income (but not very low-income) families, an

assessment or charge may be made against the property with respect to

the public improvements financed by a source other than CDBG funds if

the jurisdiction certifies that it lacks CDBG funds to cover the

assessment;

(4) Compliance with laws. The State will comply with applicable

laws.

(5) Excessive force. A certification that the State has adopted and

is enforcing:

(i) A policy prohibiting the use of excessive force by law

enforcement agencies within its jurisdiction against any individuals

engaged in non-violent civil rights demonstrations; and

(ii) A policy of enforcing applicable State and local laws against

physically barring entrance to or exit from, a facility or location

that is the subject of such non-violent civil rights demonstrations

within its jurisdiction.

(6) Compliance with anti-discrimination laws. The State must submit

a certification that the grant will be conducted and administered in

compliance with title VI of the Civil Rights Act of 1964 (42 U.S.C.

2000d), the Fair Housing Act (42 U.S.C. 3601-3619), the Age

Discrimination Act of 1975 (42 U.S.C. 6101-6107), Executive Orders

11063, 11625, 12138, 12432, and 12892, Section 504 of the

Rehabilitation Act of 1973 (29 U.S.C. 794), and implementing

regulations.

(7) Certifications. The State must meet the certification

requirements contained in sections 106(d)(2)(C) and (D).

(c) Emergency Shelter Grant program. For States that seek funding

under the Emergency Shelter Grant program, a certification is required

by the State that it will ensure that its State recipients comply with

the following criteria:

(1) In the case of assistance involving major rehabilitation or

conversion, maintain any building for which assistance is used under

the ESG program as a shelter for homeless individuals and families for

not less than a 10-year period;

(2) In the case of assistance involving rehabilitation less than

that covered under paragraph (d)(1) of this section, maintain any

building for which assistance is used under the ESG program as a

shelter for homeless individuals and families for not less than a

three-year period;

(3) In the case of assistance involving essential services

(employment, health, drug abuse, or education) or maintenance,

operation, insurance, utilities and furnishings, provide services or

shelter to homeless individuals and families for the period during

which the ESG assistance is provided, without regard to a particular

site or structure as long as the same general population is served;

(4) Any renovation carried out with ESG assistance shall be

sufficient to ensure that the building involved is safe and sanitary;

(5) It will assist homeless individuals in obtaining appropriate

supportive services, including permanent housing, medical and mental

health treatment, counseling, supervision, and other services essential

for achieving independent living, and other Federal, State, local, and

private assistance available for such individuals;

(6) Obtain matching amounts required under Sec. 576.71 of this

title;

(7) Develop and implement procedures to ensure the confidentiality

of records pertaining to any individual provided family violence

prevention or treatment services under any project assisted under the

ESG program, including protection against the release of the address or

location of any family violence shelter project except with the written

authorization of the person responsible for the operation of that

shelter; and

(8) To the maximum extent practicable, it will involve, through

employment, volunteer services, or otherwise, homeless individuals and

families in constructing, renovating, maintaining, and operating

facilities assisted under this program, in providing services assisted

under the program, and in providing services for occupants of

facilities assisted under the program.

(d) HOME program. Each participating jurisdiction must provide the

following certifications:

(1) If it plans to use program funds for tenant-based rental

assistance, a certification that rental-based assistance is an

essential element of its consolidated plan;

(2) That it is using and will use HOME funds for eligible

activities and costs, as described in Secs. 92.205 and 92.209 of this

chapter and that it is not using and will not use HOME funds for

prohibited activities, as described in Sec. 92.214 of this chapter;

(3) That before committing funds to a project, the participating

jurisdiction will evaluate the project in accordance with guidelines

that it adopts for this purpose and will not invest any more HOME funds

in combination with other federal assistance than is necessary to

provide affordable housing;

(e) Housing Opportunities for Persons With AIDS. For States that

seek funding under the Housing Opportunities for Persons With AIDS

program, a certification is required by the State that:

(1) Activities funded under the program will meet urgent needs that

are not being met by available public and private sources; and

(2) Any property purchased, leased, rehabilitated, renovated, or

converted with assistance under that program shall be operated for not

less than 10 years specified in the plan, or for a period of not less

than three years in cases involving non-substantial rehabilitation or

repair of a building or structure.

Sec. 91.330 Monitoring.

The consolidated plan must describe the standards and procedures

that the State will use to monitor activities carried out in

furtherance of the plan and will use to ensure long-term compliance

with requirements of the programs involved, including the comprehensive

planning requirements.

Subpart E--Consortia: Contents of Consolidated Plan

Sec. 91.400 Applicability.

This subpart applies to HOME program consortia, as defined in

Sec. 91.5 (see 24 CFR part 92). Units of local government that

participate in a consortium must participate in submission of a

consolidated plan for the consortium, prepared in accordance with this

subpart, as well as submitting their own consolidated plans, prepared

in accordance with subpart C of this part, to cover all programs other

than HOME.

Sec. 91.405 Consolidated program year.

(a) Same program year for consortia members. All units of general

local government that are members of a consortium must be on the same

program year.

(b)(1) Notwithstanding the requirement of paragraph (a) of this

section, consortia in existence on [the effective date of this rule]

will be allowed a transition period during the balance of their current

consortium agreement or, if their agreement ends in Fiscal Year 1994,

during their 3-year agreement renewed in Fiscal Year 1995, to align

their program years.

(2) During any such transition period, the lead agency (if it is a

CDBG entitlement community) must submit, as its consolidated plan, a

plan that complies with this subpart for the consortium, plus the

Community Development Plan component (in accordance with Sec. 91.215)

and Action Plan for funds other than HOME funds (in accordance with

Sec. 91.220) for its own jurisdiction. All other communities in the

consortium may submit their respective Community Development Plan and

Action Plans for funds other than HOME funds separately, in accordance

with their individual program years.

Sec. 91.410 Housing market analysis.

Housing market analysis must be described in the plan in accordance

with the provisions of Sec. 91.210; however, it must be described for

the entire consortium.

Sec. 91.415 Housing and homeless needs assessment.

Housing and homeless needs must be described in the plan in

accordance with the provisions of Sec. 91.205; however, they must be

described for the entire consortium.

Sec. 91.420 Strategies and priority needs.

Strategies and priority needs must be described in the plan in

accordance with the provisions of Sec. 91.215; however, they must be

described for the entire consortium. The consortium must set forth its

priorities for allocating resources geographically within the

jurisdiction for the HOME program, describing how the plan will address

the needs identified (in accordance with Sec. 91.405), describing the

reasons for the consortium's allocation priorities, and identifying any

obstacles there are to addressing underserved needs.

Sec. 91.425 Action plan.

The action plan must describe the projects and activities to be

undertaken with formula grant funds and program income expected to be

received during the program year and the actions the consortium expects

to take during the program year to pursue its strategy.

Sec. 91.430 Certifications.

(a) General.--(1) Citizen participation. Each jurisdiction must

certify that it is in full compliance and following a detailed citizen

participation plan that satisfies the requirements of Sec. 91.105.

(2) Affirmatively furthering fair housing. Each jurisdiction is

required to submit a certification that it will affirmatively further

fair housing and is required to maintain evidence to support the

certification, including its analysis of impediments to fair housing

choice and a description of any steps taken to carry out the

certification. (See 24 CFR 570.601(c) for a description of the

responsibilities that a CDBG entitlement community must undertake to

fulfill this certification.)

(3) Anti-displacement and relocation plan. Each jurisdiction is

required to submit a certification that it has in effect and is

following a residential antidisplacement and relocation assistance plan

in connection with any activity assisted with funding under the CDBG or

HOME programs.

(4) Drug-free workplace. The jurisdiction must submit a

certification with regard to drug-free workplace required by 24 CFR

part 24, subpart F.

(5) Anti-lobbying. The jurisdiction must submit a certification

with regard to compliance with restrictions on lobbying required by 24

CFR part 87, together with disclosure forms, if required by that part.

(6) Authority of jurisdiction. The jurisdiction must submit a

certification that the consolidated plan is authorized under State and

local law (as applicable) and that the jurisdiction possesses the legal

authority to carry out the programs for which it is seeking funding, in

accordance with applicable HUD regulations.

(7) Consistency with plan. The housing activities to be undertaken

with CDBG, HOME, ESG, and HOPWA funds are consistent with the plan.

(8) Acquisition and relocation. It will comply with the acquisition

and relocation requirements of the Uniform Relocation Assistance and

Real Property Acquisition Policies Act of 1970, as amended, and

implementing regulations at 49 CFR part 24.

(9) Section 3. It will comply with section 3 of the Housing and

Urban Development Act of 1968.

(b) Community Development Block Grant program. For jurisdictions

that seek funding under CDBG, the following certifications are

required:

(1) Consultation by States. In the case of a State, a certification

that it has consulted with affected units of local government about the

method of distribution of funding.

(2) Community development plan. A certification that this

consolidated housing and community development plan identifies

community development and housing needs and specifies both short-term

and long-term community development objectives that have been developed

in accordance with the primary objective of the statute authorizing the

CDBG program, as described in Sec. 570.2 of this title, and

requirements of this part and part 570 of this title.

(3) Strategy. A certification that the jurisdiction is following a

current consolidated plan (formerly Comprehensive Housing Affordability

Strategy) that has been approved by HUD.

(4) Use of funds. A certification that the jurisdiction has

complied with the following criteria:

(i) With respect to activities expected to be assisted with CDBG

funds, the Action Plan has been developed so as to give the maximum

feasible priority to activities that will benefit very low- and low-

income families or aid in the prevention or elimination of slums or

blight. The plan may also include CDBG-assisted activities that are

certified to be designed to meet other community development needs

having particular urgency because existing conditions pose a serious

and immediate threat to the health or welfare of the community where

other financial resources are not available to meet such needs;

(ii) The aggregate use of CDBG funds, including section 108

guaranteed loans, during a period specified by the jurisdiction,

consisting of one, two, or three specific consecutive program years,

shall principally benefit very low- and low-income families in a manner

that ensures that at least 70 percent of the amount is expended for

activities that benefit such persons during the designated period (see

24 CFR 570.200 for definition of ``CDBG funds'');

(iii) The jurisdiction will not attempt to recover any capital

costs of public improvements assisted with CDBG funds, including

Section 108 loan guarantees, by assessing any amount against properties

owned and occupied by persons of very low- and low-income, including

any fee charged or assessment made as a condition of obtaining access

to such public improvements. However, if CDBG funds are used to pay the

proportion of a fee or assessment attributable to the capital costs of

public improvements (assisted in part with CDBG funds) financed from

other revenue sources, an assessment or charge may be made against the

property with respect to the public improvements financed by a source

other than CDBG funds. In addition, with respect to properties owned

and occupied by low-income (but not very low-income) families, an

assessment or charge may be made against the property with respect to

the public improvements financed by a source other than CDBG funds if

the jurisdiction certifies that it lacks CDBG funds to cover the

assessment; and

(5) A certification that the jurisdiction will comply with

applicable laws.

(6) Excessive force. A certification that the jurisdiction has

adopted and is enforcing:

(i) A policy prohibiting the use of excessive force by law

enforcement agencies within its jurisdiction against any individuals

engaged in non-violent civil rights demonstrations; and

(ii) A policy of enforcing applicable State and local laws against

physically barring entrance to or exit from, a facility or location

that is the subject of such non-violent civil rights demonstrations

within its jurisdiction.

(7) Compliance with anti-discrimination laws. The jurisdiction must

submit a certification that the grant will be conducted and

administered in compliance with title VI of the Civil Rights Act of

1964 (42 U.S.C. 2000d), the Fair Housing Act (42 U.S.C. 3601-3619), the

Age Discrimination Act of 1975 (42 U.S.C. 6101-6107), Executive Orders

11063, 11625, 12138, 12432, and 12892, Section 504 of the

Rehabilitation Act of 1973 (29 U.S.C. 794), and implementing

regulations.

(c) Emergency Shelter Grant program. For jurisdictions that seek

funding under the Emergency Shelter Grant program, a certification is

required by the metropolitan city or urban county that it will comply,

and by the State that it will ensure that its State recipients comply,

with the following requirements:

(1) In the case of assistance involving major rehabilitation or

conversion, maintain any building for which assistance is used under

the ESG program as a shelter for homeless individuals and families for

not less than a 10-year period;

(2) In the case of assistance involving rehabilitation less than

that covered under paragraph (d)(1) of this section, maintain any

building for which assistance is used under the ESG program as a

shelter for homeless individuals and families for not less than a

three-year period;

(3) In the case of assistance involving essential services

(employment, health, drug abuse, or education) or maintenance,

operation, insurance, utilities and furnishings, provide services or

shelter to homeless individuals and families for the period during

which the ESG assistance is provided, without regard to a particular

site or structure as long as the same general population is served;

(4) Any renovation carried out with ESG assistance shall be

sufficient to ensure that the building involved is safe and sanitary;

(5) It will assist homeless individuals in obtaining appropriate

supportive services, including permanent housing, medical and mental

health treatment, counseling, supervision, and other services essential

for achieving independent living, and other Federal, State, local, and

private assistance available for such individuals;

(6) Obtain matching amounts required under Sec. 576.71 of this

title;

(7) Develop and implement procedures to ensure the confidentiality

of records pertaining to any individual provided family violence

prevention or treatment services under any project assisted under the

ESG program, including protection against the release of the address or

location of any family violence shelter project except with the written

authorization of the person responsible for the operation of that

shelter; and

(8) To the maximum extent practicable, it will involve, through

employment, volunteer services, or otherwise, homeless individuals and

families in constructing, renovating, maintaining, and operating

facilities assisted under this program, in providing services assisted

under the program, and in providing services for occupants of

facilities assisted under the program.

(d) HOME program. Each participating jurisdiction must provide the

following certifications:

(1) If it plans to use HOME funds for tenant-based rental

assistance, a certification that rental-based assistance is an

essential element of its consolidated plan;

(2) That it is using and will use HOME funds for eligible

activities and costs, as described in Secs. 92.205 and 92.209 of this

chapter and that is not using and will not use HOME funds for

prohibited activities, as described in Sec. 92.214 of this chapter;

(3) That before committing funds to a project, the participating

jurisdiction will evaluate the project in accordance with guidelines

that it adopts for this purpose and will not invest any more HOME funds

in combination with other federal assistance than is necessary to

provide affordable housing;

(e) Housing Opportunities for Persons With AIDS. For jurisdictions

that seek funding under the Housing Opportunities for Persons With AIDS

program, a certification is required by the jurisdiction that:

(1) Activities funded under the program will meet urgent needs that

are not being met by available public and private sources; and

(2) Any property purchased, leased, rehabilitated, renovated, or

converted with assistance under that program shall be operated for not

less than 10 years for the purpose specified in the plan, or for a

period of not less than three years in cases involving non-substantial

rehabilitation or repair of a building or structure.

Sec. 91.435 Monitoring.

The plan must describe the standards and procedures that the

consortium will use to monitor activities carried out in furtherance of

the plan and will use to ensure long-term compliance with requirements

of the programs involved, including the comprehensive planning

requirements.

Subpart F--Other General Requirements

Sec. 91.500 HUD approval action.

(a) General. HUD will review the plan upon receipt. The plan will

be deemed approved 60 days after HUD receives the plan, unless before

that date the Department has notified the jurisdiction that the plan is

disapproved.

(b) Standard of review. HUD may disapprove a plan or a portion of a

plan if it is inconsistent with the purposes of the Cranston-Gonzalez

National Affordable Housing Act or if it is substantially incomplete. A

plan is substantially incomplete, among other things, if HUD has

determined, after inspecting the evidence and providing due notice and

opportunity to the jurisdiction for comment, that the plan fails to

address all the required elements in the regulations. Disapproval of a

plan with respect to one program does not affect assistance distributed

on the basis of a formula under other programs.

(c) Written notice of disapproval. Within 15 days after HUD

notifies a jurisdiction that it is disapproving its plan, it must

inform the jurisdiction in writing of the reasons for disapproval and

actions that the jurisdiction could take to meet the criteria for

approval.

(d) Revisions and resubmission. The jurisdiction may revise or

resubmit a plan within 45 days after the first notification of

disapproval. HUD must respond to approve or disapprove the plan within

30 days of receiving the revisions or resubmission.

Sec. 91.505 Amendments to the consolidated plan.

(a) Amendments to the plan. The jurisdiction shall amend its

approved plan whenever it makes one of the following decisions:

(1) To make a substantial change in its allocation priorities or a

substantial change in the method of distribution of funds;

(2) To carry out an activity, using funds from any program covered

by the consolidated plan (including program income), not previously

described in the action plan; or

(3) To substantially change the purpose, scope, location, or

beneficiaries of an activity.

(b) Criteria for substantial change. The jurisdiction shall

identify in its citizen participation plan the criteria it will use for

determining what constitutes a substantial change for this purpose.

(c) Submission to HUD. The amendment must be made public and

submitted to HUD before it implements changes embodied in the

amendment. See Sec. 91.105 for the public notice procedures applicable

to any amendment. For any amendment affecting the HOPWA program that

would involve acquisition, rehabilitation, conversion, lease, repair or

construction of properties to provide housing, an environmental review

of the revised proposed use of funds must be completed by HUD in

accordance with 24 CFR 574.510.

(d) Citizen participation. When a jurisdiction decides to make a

change that requires an amendment of the plan, in accordance with

Sec. 91.105, it shall provide citizens or, as appropriate, units of

general local government, with reasonable notice of the change and an

opportunity to comment on it. The jurisdiction must consider the

comments received and must make the amendment available to the public

at the time it is submitted to HUD.

Sec. 91.510 Consistency determinations.

A jurisdiction's certification that an application is consistent

with its consolidated plan means the jurisdiction's plan shows need,

the proposed activities are consistent with the jurisdiction's

strategy, and the location of the proposed activities is consistent

with the geographic areas specified in the plan. The jurisdiction shall

provide the reasons for the denial when it fails to grant a

certification of consistency. To receive funding from HUD that is based

on a formula allocation, a certification of consistency of the proposed

activities with this consolidated plan shall be necessary.

Sec. 91.515 Funding determinations by HUD.

(a) Formula funding. The action plan submitted by the jurisdiction

will be considered as the application for the CDBG, HOME, ESG, and

HOPWA formula grants to which the jurisdiction may be entitled under

applicable program regulations. A single form SF-424 shall be included

for this purpose in the submission to HUD. The Department will make its

funding award determination after reviewing the plan submission in

accordance with Sec. 91.500.

(b) Other funding. For other funding, the jurisdiction must still

respond to Notices of Funding Availability for the individual programs

in order to receive funding.

Sec. 91.520 Performance reports.

(a) General. Each jurisdiction that has a consolidated plan shall

annually review and report, in a form acceptable to HUD, on the

progress it has made in carrying out its plan. This performance report

shall be submitted to HUD within 90 days after the close of the

jurisdiction's program year.

(b) Affordable housing. The report shall include an evaluation of

the jurisdiction's progress in meeting its short-term objective of

providing affordable housing, including the number and types of

households served. This element of the report must include the number

of extremely low, very low-income, and low- and moderate-income persons

served and the racial and ethnic status of persons assisted with funds

made available.

(c) CDBG. For CDBG recipients, the report shall include a

description of the use of CDBG funds during the program year and an

assessment by the jurisdiction of the relationship of that use to the

objectives identified in the plan, giving special attention to the

highest priority activities that were identified. This element of the

report must evaluate the extent to which its funds were used for

activities that benefited extremely low, very low-income and low-income

persons. It must also indicate the nature of and reasons for changes in

its program objectives over the year and what changes it expects to

make in its programs as a result of its experiences.

(d) HOME. For HOME participating jurisdictions, the report shall

include the results of on-site inspections of affordable rental housing

assisted under the program to determine compliance with housing codes

and other applicable regulations.

(e) HOPWA. For jurisdictions receiving funding under the Housing

Opportunities for Persons With AIDS program, the report must include

the number of individuals assisted and the types of assistance

provided.

(f) Evaluation by HUD. HUD shall review the performance report and

determine whether it is satisfactory. If a satisfactory report is not

submitted in a timely manner, the Department may suspend funding until

a satisfactory report is submitted, or may withdraw and reallocate

funding if the Department determines, after notice and opportunity for

a hearing, that the jurisdiction will not submit a satisfactory report.

Sec. 91.525 Performance review by HUD.

(a) General. HUD shall review the performance of each jurisdiction

covered by this part at least annually, including site visits by

employees--insofar as practicable, assessing the following:

(1) Management of funds made available under programs administered

by HUD;

(2) Compliance with the consolidated plan;

(3) Accuracy in the preparation of performance reports;

(4) Extent to which the jurisdiction made progress towards the

statutory goals identified in Sec. 91.1; and

(5) Efforts to ensure that housing assisted under programs

administered by HUD is in compliance with contractual agreements and

the requirements of law.

(b) Report by HUD. HUD shall report on the performance review in

writing, stating the length of time the jurisdiction has to review and

comment on the report, which will be at least 30 days. HUD may revise

the report after considering the jurisdiction's views, and shall make

the report, the jurisdiction's comments, and any revisions available to

the public within 30 days after receipt of the jurisdiction's comments.

Subpart G--Insular Areas [Reserved]

PART 92--HOME INVESTMENT PARTNERSHIPS PROGRAM

2. The authority citation for part 92 would continue to read as

follows:

Authority: 42 U.S.C. 3535(d) and 12701-12839.

3. In Sec. 92.2, the definition of ``housing strategy'' would be

removed and a definition of ``consolidated plan'' would be added, to

read as follows:

Sec. 92.2 Definitions.

* * * * *

Consolidated plan. The plan prepared in accordance with part 91 of

this chapter, which describes needs, resources, priorities and proposed

activities to be undertaken with respect to HUD programs, including the

HOME program. An approved consolidated plan means a consolidated plan

that has been approved by HUD in accordance with part 91 of this

chapter.

* * * * *

4. Section 92.52 would be amended to revise the heading,

redesignate the existing text as paragraph (a), add a heading and a

sentence at the beginning of newly redesignated paragraph (a), and to

add a new paragraph (b), to read as follows:

Sec. 92.52 Formula allocations.

(a) Notification of allocation. HUD will notify each participating

jurisdiction of its HOME formula allocation amount. * * *

(b) New participating jurisdictions. HUD will notify each

jurisdiction that has not previously participated in the HOME program

of its formula allocation. Within 30 days of that notice, a newly

eligible jurisdiction must notify HUD of its intent to become a

participating jurisdiction. Within 90 days of the jurisdiction's

submission of the notice of intent, it must submit a new or revised

consolidated plan, which must be approved by HUD before funding is

forthcoming. The plan shall identify the jurisdiction's program year

starting date.

Secs. 92.61-92.63 [Removed]

5. Sections 92.61, 92.62, and 92.63 would be removed.

6. Section 92.150 would be revised to read as follows:

Sec. 92.150 Submission requirements.

In order to receive its HOME allocation, a participating

jurisdiction must submit a consolidated plan in accordance with 24 CFR

part 91. That part includes requirements for the content of the plan,

for the process of developing the plan, including citizen participation

provisions, for the submission date, for HUD approval, and for the

amendment process.

Sec. 92.151 [Removed]

7. Section 92.151 would be removed.

Sec. 92.152 [Removed]

8. Section 92.152 would be removed.

Sec. 92.204 [Amended]

9. Section 92.204 would be amended by removing from paragraph (c)

the phrase, ``subpart D (Program Description),''.

Sec. 92.211 [Amended]

10. Section 92.211 would be amended by adding, to paragraph (a)(1)

after the word ``certifies'', the phrase ``(see Sec. 91.605)''.

Sec. 92.451 [Amended]

11. Section 92.451 would be amended by removing from paragraph

(a)(1)(iii), the phrase ``housing strategy in accordance with

Sec. 92.104'' and by adding in its place, the phrase ``consolidated

plan, in accordance with part 91 of this title''; and by removing from

paragraph (a)(2) the word ``Sec. 91.70'' and by adding in its place,

the phrase ``part 91 of this chapter''.

Sec. 92.453 [Amended]

12. Section 92.453 would be amended by removing from paragraph

(b)(2)(ii) the phrase ``housing strategy'' in the three places where it

occurs, and by adding for it in those three places, the phrase

``consolidated plan''.

Secs. 92.505-92.506 [Removed]

13. Sections 92.505 and 92.506 would be removed.

14. Section 92.509 would be revised to read as follows:

Sec. 92.509 Performance reports.

For annual performance report requirements, see part 91 of this

title.

PART 570--COMMUNITY DEVELOPMENT BLOCK GRANTS

15. The authority citation for part 570 would continue to read as

follows:

Authority: 42 U.S.C. 3535(d) and 5300-5320.

16. In Sec. 570.3, the definition of ``Comprehensive Housing

Affordability Strategy (CHAS)'' would be removed, and the definition of

``consolidated plan'' would be added, to read as follows:

Sec. 570.3 Definitions.

* * * * *

Consolidated plan. The plan prepared in accordance with part 91 of

this title, which describes needs, resources, priorities and proposed

activities to be undertaken with respect to HUD programs, including the

HOME program. An approved consolidated plan means a consolidated plan

that has been approved by HUD in accordance with part 91 of this title.

* * * * *

Sec. 570.205 [Amended]

17. In Sec. 570.205, paragraph (a)(3)(i) would be amended by

removing the term ``Comprehensive Housing Affordability Strategy'', and

inserting in its place the term ``consolidated plan''.

Sec. 570.301 [Removed]

18. Section 570.301 would be removed.

19. Section 570.302 would be revised to read as follows:

Sec. 570.302 Submission requirements.

In order to receive its annual CDBG entitlement grant, a

jurisdiction must submit a consolidated plan in accordance with 24 CFR

part 91. That part includes requirements for the content of the plan,

for the process of developing the plan, including citizen participation

provisions, for the submission date, for HUD approval, and for the

amendment process.

20. Section 570.303 would be revised to read as follows:

Sec. 570.303 Certifications.

The jurisdiction must make the certifications that are set forth in

24 CFR part 91 as part of the consolidated plan.

21. In Sec. 570.304, paragraph (a) would be revised to read as

follows:

Sec. 570.304 Making of grants.

(a) Approval of grant. HUD will approve a grant if the

jurisdiction's submission in accordance with 24 CFR part 91 is

approved, in accordance with Sec. 91.25, and was received within the

time period required (see Sec. 91.20).

* * * * *

Sec. 570.305 [Removed]

22. Section 570.305 would be removed.

Sec. 570.306 [Removed]

23. Section 570.306 would be removed.

Sec. 570.308 [Amended]

24. In Sec. 570.308, paragraph (d) would be amended by removing the

words, ``this subpart'', and inserting in their place the words, ``part

91 of this title''.

25. In Sec. 570.485, paragraphs (b), (c), and (e) would be removed;

paragraph (d) would be redesignated as paragraph (b); and paragraph (a)

would be revised to read as follows:

Sec. 570.485 State submissions and State citizen participation

requirements.

(a) Required submissions. In order to receive its annual CDBG grant

under this subpart, a State must submit a consolidated plan in

accordance with 24 CFR part 91. That part includes requirements for the

content of the plan, for the process of developing the plan, including

citizen participation provisions, for the submission date, for HUD

approval, and for the amendment process.

* * * * *

26. In Sec. 570.486, paragraph (a) would be revised to read as

follows:

Sec. 570.486 Local government requirements.

(a) Citizen participation requirements for a unit of general local

government. Each unit of general local government receiving a grant

from a State under this part shall meet the citizen participation

requirements specified in 24 CFR 91.105-91.115.

* * * * *

Sec. 570.487 [Amended]

27. Section 570.487 would be amended by adding the following

material at the end of paragraph (b)(1):

``For each state receiving a grant under section 106(b) of the Act,

the certification that the grantee will affirmatively further fair

housing shall specifically require the grantee to assume the

responsibility of fair housing planning by conducting an analysis to

identify impediments to fair housing choice within its jurisdiction,

taking appropriate actions to overcome the effects of any impediments

identified through that analysis, and maintaining records reflecting

the analysis and actions in this regard.''

Sec. 570.491 [Removed]

28. Section 570.491 would be removed.

29. In Sec. 570.507, paragraph (a) would be revised to read as

follows:

Sec. 570.507 Reports.

(a) Performance and evaluation report. The annual performance and

evaluation report shall be submitted in accordance with part 91 of this

title.

* * * * *

Sec. 570.509 [Amended]

30. Section 570.509 would be amended by removing from paragraph (b)

the word, ``Sec. 570.507'' and adding in its place the words, ``part 91

of this title''; and by removing from paragraph (d) the phrases,

``comprehensive housing affordability strategy'', ``Comprehensive

Housing Affordability Strategy (CHAS)'', and ``fiscal year'', and

adding, in their place, the phrases, ``consolidated plan'',

``Consolidated Plan'', and ``program year'', respectively.

Sec. 570.601 [Amended]

31. Section 570.601 would be amended by adding the following

material at the end of paragraph (b):

``For each community receiving a grant under section 106(b) of the

Act, the certification that the grantee will affirmatively further fair

housing shall specifically require the grantee to assume the

responsibility of fair housing planning by conducting an analysis to

identify impediments to fair housing choice within its jurisdiction,

taking appropriate actions to overcome the effects of any impediments

identified through that analysis, and maintaining records reflecting

the analysis and actions in this regard.''

Sec. 570.605 [Amended]

32. Section 570.605 would be amended by removing the phrase,

``final statement pursuant to Sec. 570.302'', and by adding, in its

place, the phrase, ``consolidated plan, in accordance with 24 CFR part

91''.

Sec. 570.901 [Amended]

33. Section 570.901 would be amended by removing from paragraph (d)

the phrase, ``presubmission requirements at Sec. 570.301, the amendment

requirements at Sec. 570.305'', and adding in its place the phrase,

submission requirements of 24 CFR part 91''.

Sec. 570.910 [Amended]

34. Section 570.910 would be amended by removing from paragraph

(b)(2)(iii) the phrase, ``subpart D'', and adding in its place the

phrase, ``24 CFR part 91''.

PART 574--HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS

35. The authority citation for part 574 would continue to read as

follows:

Authority: 42 U.S.C. 12901-12912.

36. Section 574.2 would be revised to read as follows:

Sec. 574.2 Overview.

(a) Available funds. The Department awards funds appropriated for

any fiscal year for the program through a formula allocation and a

competitive grant process. Ninety percent of funds appropriated for

this program are distributed by formula entitlement. The remaining ten

percent is awarded through the competitive process.

(b) Formula entitlements. The formula grants are awarded upon

submission and approval of a consolidated plan, pursuant to 24 CFR part

91, that covers the assistance to be provided under this part. Certain

States and cities that are the most populous unit of general local

government in eligible metropolitan statistical areas will receive

formula allocations based on their State or metropolitan population and

proportionate number of cases of persons with AIDS. They will receive

funds under this part (providing they comply with 24 CFR part 91) for

eligible activities that address the housing needs of persons with AIDS

or related diseases and their families (see Sec. 574.130(b)).

(c) Competitive grants. The competitive grants are awarded based on

applications submitted in response to a Notice of Funds Availability

published in the Federal Register, as described in subpart C of this

part. All States and units of general local government and nonprofit

organizations are eligible to apply for competitive grants to fund

projects of national significance. Only those States and units of

general local government that do not qualify for formula allocations

are eligible to apply for competitive grants to fund other projects.

37. In Sec. 574.3, the definitions for ``Eligible State'' and

``Qualifying city'' would be revised to read as follows:

Sec. 574.3 Definitions.

* * * * *

Eligible State means a State that has:

(1) More than 1,500 cumulative cases of AIDS in those areas of the

State outside of eligible metropolitan statistical areas that are

eligible to be funded through a qualifying city; and

(2) A consolidated plan prepared, submitted, and approved in

accordance with 24 CFR part 91 that covers the assistance to be

provided under this part.

* * * * *

Qualifying city means a city that is the most populous unit of

general local government in an eligible metropolitan statistical area

(EMSA) and that has a consolidated plan prepared, submitted, and

approved in accordance with 24 CFR part 91 that covers the assistance

to be provided under this part.

* * * * *

38. In Sec. 574.100, a new paragraph (b) would be added, and the

existing material would be designated as paragraph (a), to read as

follows:

Sec. 574.100 Eligible applicants.

* * * * *

(b) HUD will notify eligible States and qualifying cities of their

status annually.

39. Section 574.120 would be revised to read as follows:

Sec. 574.120 Responsibility of applicant to serve EMSA.

The EMSA's applicant shall serve eligible persons who live anywhere

within the EMSA, except that housing assistance shall be provided only

in localities within the EMSA that have a consolidated plan prepared,

submitted, and approved in accordance with 24 CFR part 91 that covers

the assistance to be provided under this part. In allocating grant

amounts among eligible activities, the EMSA's applicant shall address

needs of eligible persons who reside within the metropolitan

statistical area, including those not within the jurisdiction of the

applicant.

Sec. 574.160 [Removed]

40. Section 574.160 would be removed.

Sec. 574.170 [Removed]

41. Section 574.170 would be removed.

Sec. 574.180 [Removed]

42. Section 574.180 would be removed.

43. In Sec. 574.190, the first sentence would be revised to read as

follows:

Sec. 574.190 Reallocation of grant amounts.

If an eligible State or qualifying city does not submit a

consolidated plan in a timely fashion, in accordance with 24 CFR part

91, that provides for use of its allocation of funding under this part,

the funds allocated to that jurisdiction will be added to the funds

available for formula allocations to other jurisdictions in the current

fiscal year. * * *

Sec. 574.240 [Amended]

44. In Sec. 574.240, paragraph (c)(11) would be amended by removing

the phrase, ``CHAS approved by HUD (see Sec. 574.160(a))'' and by

adding in its place the phrase, ``consolidated plan approved by HUD in

accordance with 24 CFR part 91''.

45. Section 574.520 would be revised to read as follows:

Sec. 574.520 Performance reports.

(a) Formula grants. For a formula grant recipient, the performance

reporting requirements are specified in 24 CFR part 91.

(b) Competitive grants. A grantee shall submit to HUD annually a

report describing the use of the amounts received, including the number

of individuals assisted, the types of assistance provided, and any

other information that HUD may require. Annual reports are required

until all grant funds are expended.

PART 576--EMERGENCY SHELTER GRANTS PROGRAM: STEWART B McKINNEY

HOMELESS ASSISTANCE ACT

46. The authority citation for part 576 would continue to read as

follows:

Authority: 42 U.S.C. 3535(d) and 11376.

47. In Sec. 576.3, the definition of ``Comprehensive Housing

Affordability Strategy'' would be removed and a definition of

``Consolidated plan'' would be added, to read as follows:

Sec. 576.3 Definitions.

* * * * *

Consolidated plan. The plan prepared in accordance with part 91 of

this title, which describes needs, resources, priorities and proposed

activities to be undertaken with respect to HUD programs, including the

HOME program. An approved consolidated plan means a consolidated plan

that has been approved by HUD in accordance with part 91 of this title.

* * * * *

Sec. 576.31 Subpart C--[Removed and Reserved]

48. Subpart C consisting of Sec. 576.31 would be removed and

reserved.

49-50. Section 576.51 would be revised to read as follows:

Sec. 576.51 Application requirements.

In order to receive a grant under this part, a State or formula

city or county must submit a consolidated plan in accordance with 24

CFR part 91 that includes activities to be funded under this part. Part

91 includes requirements for the content of the plan, for the process

of developing the plan, including citizen participation provisions, for

the submission date, for HUD approval, and for the amendment process.

This plan serves as the jurisdiction's application for funding under

this program.

51. In Sec. 576.53, paragraphs (a) and (b) would be removed;

paragraphs (c), (d), and (e) would be redesignated as paragraphs (a),

(b), and (c); and newly redesignated paragraph (c) would be revised to

read as follows:

Sec. 576.53 Review and approval of applications.

* * * * *

(c) Reallocation amounts. Any emergency shelter grant allocation

that is not used will be reallocated in accordance with Sec. 576.67.

52. In Sec. 576.61, the heading of the section and paragraph (a)

would be revised to read as follows:

Sec. 576.61 Reallocation of grant amounts--formula cities and

counties.

(a) Applicability. This section applies where a formula city or

county fails to submit or obtain HUD approval of its consolidated plan

within 90 days of the date upon which amounts under this part first

become available for allocation in any fiscal year.

* * * * *

53. In Sec. 576.63, the heading of the section, paragraph (a),

paragraph (d), introductory text, and paragraph (d)(1) would be

revised, to read as follows:

Sec. 576.63 Reallocation of grant amounts--States and Territories.

(a) Applicability. This section applies where a State or Territory

fails to submit or obtain HUD approval of its consolidated plan by the

deadline specified in Sec. 576.61(a), or grant amounts cannot be

reallocated to a State under Sec. 576.61.

* * * * *

(d) Eligibility for reallocation amounts. In order to receive

reallocation amounts under this section, the formula city or county, or

State or Territory, must:

(1) Submit an amendment, in accordance with 24 CFR part 91, to its

consolidated plan for that program year to cover activities for the

reallocation amount it wishes to receive; and

* * * * *

54. In Sec. 576.67, paragraphs (c)(5) and (f)(1) would be revised

to read as follows:

Sec. 576.67 Reallocation of grant amounts; returned or unused amounts.

* * * * *

(c) * * *

(5) The responsible HUD field office will announce the availability

of returned grant amounts. The announcement will establish deadlines

for submitting applications, and will set out other terms and

conditions relating to grant awards, consistent with this part. The

announcement will specify the application documents to be submitted.

* * * * *

(f) * * *

(1) For purposes of this section, emergency shelter grant amounts

are considered ``returned'' when they become available for reallocation

because a jurisdiction does not execute a grant agreement with HUD for

them.

* * * * *

Sec. 576.85 [Removed]

55. Section 576.85 would be removed.

PART 968--PUBLIC HOUSING MODERNIZATION

56. The authority citation for part 968 would continue to read as

follows:

Authority: 42 U.S.C. 1437d, 1437l, 3535(d).

57. In Sec. 968.320, the first sentence of paragraph (c) would be

revised; paragraphs (d), (e), and (f) would be redesignated as

paragraphs (e), (f), and (g), respectively; a new paragraph (d) would

be added; the newly redesignated paragraph (e) would be amended by

adding three new sentences after the third sentence of the introductory

language, by adding a phrase to the end of paragraph (e)(4)(i) before

the semicolon, and by removing from paragraph (e)(6)(ii) the phrase

``Comprehensive Housing Affordability Strategy'' and adding in its

place the phrase ``consolidated plan''; to read as follows:

Sec. 968.320 Comprehensive plan (including action plan).

* * * * *

(c) Local government participation. A PHA shall consult with and

provide information to appropriate local government officials with

respect to the development of a comprehensive plan and to ensure that

there is coordination between the actions taken under the consolidated

plan (see 24 CFR part 91) for project and neighborhood improvements

where public housing units are located or proposed for construction

and/or modernization and improvement; and for meeting public and human

service needs of the public and assisted housing projects and their

residents. Among the areas with high potential for coordination for

undertaking joint projects are anti-crime and anti-drug efforts,

creation of micro-businesses in or near public housing projects,

neighborhood improvements, carrying out Family Self-Sufficiency or

other programs, and complying with site and neighborhood standards

policies. * * *

(d) Participation in coordinating entities. To the extent that

coordinating entities are set up to plan and implement the consolidated

plans (under 24 CFR part 91), the PHA shall participate in these

entities to ensure coordination with broader community development

strategies.

(e) * * * Where long-term physical and social viability of the

development is dependent upon revitalization of the surrounding

neighborhood in the provision of or coordination of public services, or

the consolidation or coordination of drug prevention and other human

service initiatives, the PHA shall identify these needs and strategies.

In addition, the PHA shall identify the funds or other resources in the

consolidated plan that are to be used to help address these needs and

strategies and the degree to which the activities in the comprehensive

plan contribute to a broader consolidated plan. These activities shall

be described in the Cooperation Agreement with the city. * * *

(4) * * *

(i) * * * and taking into account broader efforts to revitalize the

neighborhoods in which the development is located;

Dated: July 6, 1994.

Henry G. Cisneros,

Secretary.

[FR Doc. 94-18705 Filed 8-4-94; 8:45 am]

BILLING CODE 4210-32-P