# Submission of Proposed Information Collection to OMB > Briefs, arguments, decisions, and more. URL: https://www.frixlaw.com/law-library/documents/fr%3A94-4824 ## Record - **Collection:** Federal Register - **Document type:** Uncategorized Document - **Published:** March 3, 1994 ## Text DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Office of Community Planning and Development [Docket No. N-94-3724] Submission of Proposed Information Collection to OMB AGENCY: Office of Community Planning and Development, HUD. ACTION: Notice; Request for public comments. ----------------------------------------------------------------------- SUMMARY: The proposed information collection requirement for a survey on the use of Community Development Block Grant (CDBG) funds in promoting the development of microenterprises, has been submitted to the Office of Management and Budget (OMB) for review as required by the Paperwork Reduction Act. This survey is to be used to prepare a report directed by Congress for HUD to complete in the Housing and Community Development Act of 1992 (Pub. L. 102-550, section 807(C)(4)). The Department is soliciting public comments on the subject proposal for a period of seven (7) days. An expedited comment period is necessary to permit the collection of information needed for the report to Congress which is due by the end of April, 1994. DATES: Comment due date: March 10, 1994. ADDRESSES: Interested persons are invited to submit comments regarding this proposal by March 10, 1994. Comments should refer to this proposal by name and should be sent to: Joseph F. Lackey, Jr., OMB Desk Officer, Office of Management and Budget, New Executive Office Building, Washington, DC 20503. FOR FURTHER INFORMATION CONTACT: Kay Weaver, Reports Management Officer, Department of Housing and Urban Development, 451 7th Street, Southwest, Washington, DC 20410. Telephone: (202) 708-0050 (this is not a toll-free number). Copies of the proposed forms and other available documentation submitted to OMB may be obtained from Mrs. Weaver. SUPPLEMENTARY INFORMATION: The Department has submitted the proposal for the collection of information, as described below, to OMB for review, as required by the Paperwork Reduction Act (44 U.S.C. Chapter 350). It is also requested that OMB complete its review within 30 days. The notice lists the following information: (1) The Title of the information collection proposal; (2) the office of the agency to collect the information; (3) the description of the need for the information and its proposed use; (4) the agency form numbers, if applicable; (5) what members of the public will be affected by the proposal; (6) how frequently information submissions will be required; (7) an estimate of the total number of hours needed to prepare the information collection, including respondents, frequency of response, and hours of response; (8) whether the proposal is new or an extension, reinstatement or revision of an information collection requirement; and (9) the name and telephone number of an agency official familiar with the proposal and of the OMB Desk Officer for the Department. Authority: Section 3507 of the Paperwork Reduction Act, 44 U.S.C. 3507, Section 7(d) of the Department of Housing and Urban Development Act, 42 U.S.C. 35359d. Dated: February 17, 1994. Kenneth C. Williams, Deputy Assistant Secretary for Grant Programs. Submission of Proposed Information Collection to OMB Proposal: Request for expedited approval of a survey needed to complete a report to Congress on the use of Community Development Block Grant (CDBG) Funds in promoting the development of microenterprises. Office: Office of the Assistant Secretary for Community Planning and Development. Description of the Need for the Information and Its Proposed Use: In the Housing and Community Development Act of 1992 (Pub. L. 102-550), Congress directed that HUD report on the effectiveness of CDBG funds in promoting the development of microenterprises [Section 807(C)(4)]. This report is due to Congress the end of April, 1994 (within eighteen months after date of enactment of the Act). The report is to contain not only an analysis of the effectiveness of the use of CDBG funds in promoting the development of microenterprises, but a review of any statutory or regulatory provisions that impede such development. A review of information available with the Department of Housing and Urban Development indicates that insufficient information is available to effectively respond to Congress' request. Two survey instruments have been prepared to be administered via telephone to the entire universe of CDBG grantees (both entitlements and states) and to a purposive sample of microenterprise intermediary organizations. This survey approach is expected to provide useful and usable data regarding both entities that fund microenterprises and those that do not as well as provide greater insights into an existing statutory and/or regulatory impediments. Respondents: Units of general local governments and states receiving CDBG funds in Fiscal Year 1993 and a selected sample of 20 microenterprise intermediary organizations (taken from the 1992 Membership Directory for the Association for Enterprise Opportunity). Frequency of Response: This is a one-time information collection effort. Reporting Burden: ------------------------------------------------------------------------ Estimated No. of Estimated Total Survey respondents time burden hours ------------------------------------------------------------------------ Grantees............................... 897 \1/2\ hour 448.5 Microenterprise Intermediary Organizations......................... 20 \1/2\ hour 10.0 Total respondent burden............ 917 \1/2\ hour 458.5 ------------------------------------------------------------------------ Status: This is a one-time collection effort for a report to Congress. Contact: Barbara Neal, HUD (202) 708-1577. Dated: February 17, 1994. Supporting Statement for Collection of Information Community Development Block Grant (CDBG) Microenterprise Report Part A. Justification 1. Circumstances That Make the Collection of Information Necessary Section 807(c)(4) of the Housing and Community Development Act of 1992 requires the Department of Housing and Urban Development (HUD) to submit to Congress a report on the effectiveness of the use of CDBG funds in promoting development of microenterprises, including a review of any statutory or regulatory provision that impedes their development. A microenterprise is defined by the 1992 Act to be a commercial enterprise that has five or fewer employees, one or more of whom owns the enterprise. HUD does not require grantees to report on the size of the businesses receiving CDBG assistance and thus has only very limited information currently available on this issue. 2. Purpose and Use of the Information This survey is being undertaken in an effort to provide HUD with current, relevant information regarding the actual experiences of community and economic development practitioners in this area for the Department's consideration in the preparation of the required report to Congress. Such information will contribute to a more accurate appraisal of microenterprise activities. If the survey is not conducted, the report to Congress will clearly fail to fully address all relevant statutory or regulatory provisions that serve to impede the effective use of CDBG funds for microenterprise activities. 3. Use of Information Technology to Reduce Burden HUD computerized files of Grantee Performance Report (GPR) data had been used to determine a potential sampling frame of grantees for the survey. However, the information provided only limited facts that indicated a sampling frame of grantees would not provide adequate information for the report to Congress. In order to respond most effectively to the intent of the report, HUD needs information on grantees that fund microenterprises, those which do not and what, if any, impediments exist. The GPR data is not a reliable basis for providing this data. 4. Efforts to Identify Duplication Efforts have been made to identify possible duplication and avoid it by reviewing GPR data files and information available in reports by interest groups. 5. Availability of Similar Information There is no systematic and uniform source of information about the effectiveness of CDBG assistance in promoting the development of microenterprises, nor about any existing statutory or regulatory impediments. Information on type of grantee (state, urban county, unit of general local government) and size of 1993 entitlement grant can be obtained through HUD's existing data base. Other than that, however, and as stated above, GPR data files provide limited information. They are most useful in identifying grantees that are making small dollar- value CDBG loans or grants to for-profit businesses. Such information suggests that these activities are to assist microenterprises. The GPR files do not, however, provide much qualitative information regarding the nature of the activities or any statutory or regulatory impediments that the respective grantees had to overcome in designing such activities. Reports prepared by microenterprise interest groups provide some information of this type, but it is limited. Perceived statutory or regulatory impediments identified by some of these entities need to be corroborated by obtaining information from actual practitioners. 6. Effort To Minimize the Burden for Small Entities Most of the information collection does not involve small entities. Some of the nonprofit intermediary organizations responding to the survey, however, may have small staffs. Efforts have been made to minimize the burden for such entities in the following ways: a. By making this a one-time information-collection effort; b. By collecting the data through telephone interviews, rather than self-administered questionnaires. The survey is expected to take less than 30 minutes; c. By designing the survey in a manner that will not require retrieving detailed activity information from case files or performing extensive calculations or analysis of data. The overall purpose of the survey is to provide HUD with the most current, relevant information so that its required report to Congress may best address any impediments to using CDBG funds for the development of microenterprises. The input of small entities should serve to provide invaluable input as to any existing statutory and/or regulatory barriers that would serve to benefit all microenterprises. 7. Consequence of Less Frequent Information Collection This is a one-time collection of information. Therefore, less frequent collection of data is not an issue. 8. Inconsistency With 5 CFR 1320.6 The proposed data collection plan is consistent with the guidelines set forth in 5 CFR 1320.6 (Controlling Paperwork Burdens on the Public--General Information Collection Guidelines). There are no circumstances that require deviation from these guidelines. 9. Consultation Outside of the Agency HUD has discussed the type of information to be obtained through the survey with the National Community Development Association at the NCDA Legislative Conference on January 18, 1993. NCDA represents CDBG entitlement grantees. 10. Assurances of Confidentiality The data requested is not considered to be of a confidential nature. No data on individual CDBG grantees or intermediary organizations will be made available outside the agency without the prior written consent of the appropriate party. The report to Congress will analyze and aggregate the data received and will not include identifiers linking back to individuals. 11. Questions of Sensitive Nature There are no questions of a sensitive nature in this survey. 12. Estimated Cost to the Federal Government and to Respondents ---------------------------------------------------------------------------------------------------------------- Average Number of x Estimated x hourly = Total costs respondents hours rates ---------------------------------------------------------------------------------------------------------------- Grantees (States and Local Governments)... 897 \1/2\ hour $15.00 $6,727.50 Microenterprise Intermediary Organizations 20 \1/2\ hour 10.00 100.00 Federal Government: Operational expenses (staff).......... .............. 20 15.00 300.00 Printing.......................... .............. ........... ........... 100.00 Postage........................... .............. ........... ........... 265.00 665.00 Survey completion and analysis........ .............. 575 15.00 8,625.00 9,290.00 ---------------------------------------------------------------------------------------------------------------- 13. Respondent Burden There will be two categories of respondents: CDBG grantees (states and entitlement) and microenterprise intermediary organizations. Two separate survey forms, one tailored for each group, have been designed. Telephone surveys will be administered to all 897 CDBG entitlement and state grantees and a selected sample of 20 respondents in the microenterprise intermediary organization category. Most of the survey questions are straight-forward and will not require much research or analysis by the respondents. Those questions dealing directly with perceived impediments to assisting microenterprises with CDBG funds will require the most time on the part of respondents. Still, the majority of respondents should be able to answer these questions with minimal research and preparation. Thus, it is anticipated that the phone survey will take each respondent approximately less than one-half hour to answer. The surveys will be mailed to the respondents in advance to familiarize them with the type of information being sought to complete the report to Congress. ------------------------------------------------------------------------ Estimated No. of Estimated Total Survey respondents time burden hours ------------------------------------------------------------------------ Grantees......................... 897 \1/2\ hour 448.5 Microenterprise Intermediary, Organizations................... 20 \1/2\ hour 10.0 Total respondent burden.... 917 \1/2\ hour 458.5 ------------------------------------------------------------------------ 14. Reasons for Changes in Burden This is a new information collection effort; therefore, this section is not applicable. 15. Publication for Statistical Use HUD will analyze the information obtained through the surveys to determine common issues and problems encountered by community and economic development practitioners in undertaking microenterprise activities with CDBG funds. Data will be analyzed by grantee type, regional identity and size of grant in determining if common issues and problems exist. HUD will rely on the evaluation of the survey data in preparing its required report to Congress. Assuming approval from OMB is received no later than March 15, 1994, the surveys would be mailed no later than March 18, 1994. The follow-up telephone survey is expected to begin March 24 and be completed no later than April 6, 1994. Analysis of the data and preparation of the report, pursuant to Section 807(c)(4) of the 1992 Act, would be completed by April 29, 1994 and forwarded to Congress thereafter. Part B. Collections of Information Employing Statistical Methods 1. Potential Respondent Universe Two target populations are of interest to this survey: CDBG grantees and microenterprise intermediary organizations. The data collection approach employs two, statistical methods: A universe of 897 CDBG grantees (states and entitlements) and a purposive sample of 20 microenterprise intermediary organizations. Telephone interviews for this group of 917 will be attempted and it is expected that 807 grantee and 18 intermediary organization interviews will be completed for a 90% response rate. ------------------------------------------------------------------------ Expected Target Expected response Completed Target population population sample rate telephone size size (percent) interviews ------------------------------------------------------------------------ Grantees................... \1\897 897 90 807 Microenterprise Intermediary Organizations \1\183 20 90 18 ------------------------------------------------------------------------ \1\Based on 1993 CDBG funding allocations. \2\Based on 1992 Membership Directory for the Association for Enterprise Opportunity. 2. Procedures for Collection of Information a. Universe/Sample Stratification and Selection. HUD intends to survey all CDBG grantees because of the need to have information on grantees that fund microenterprise organizations and those that do not; there is no sampling frame that provides this information prior to conducting the survey. For instance, if a sample of CDBG grantees was drawn and the survey indicated that few of these grantees funded microenterprises, it would provide little information to permit an analysis of the effectiveness of the use of CDBG funds in promoting the development of microenterprises. A purposive sample of 20 intermediary organizations will be selected from those listed in the 1992 Association for Enterprise Opportunity Membership Directory. The sample will be selected on the basis of type of intermediary organization (cooperatives/non-profit enterprises, enterprise development organizations, financial intermediaries, and technical assistance providers/consultants) and geographic region to help ensure that the selected sample offers representation and variability on these characteristics. b. Estimation Procedure. Not applicable. c. Degree of Accuracy. Assuming a 90% response rate from grantees and that nonresponse is random, the grantee survey will yield very good estimates even if the proportion of grantees who fund microenterprises is small. The sample of intermediary organizations is not a statistical sample. d. Unusual Problems Requiring Specialized Sampling Procedures. No specialized sampling procedures are required. e. Use of Periodic Data Collection Cycles to Reduce Burden. This is a one-time data collection effort. 3. Methods to Maximize Response Rates In an effort to maximize response rates, a copy of the survey instrument will be mailed to all respondents prior to the telephone survey in order to familiarize them with its content. 4. Tests of Procedures to be Undertaken Input has been received from HUD's Office of Policy Development and Research (PD & R) in order to fine-tune the survey instrument and permit the collection of information needed for the report to Congress. 5. Persons Involved in the Survey Individual consulted on the statistical aspect of the survey instrument: Kevin Neary, HUD's PD & R Program Evaluation Division (202- 708-0574). Individual responsible for completion of report: Barbara Neal, HUD's Office of Community Planning and Development, Entitlement Communities Division (202-708-1577). Grantee Survey for HUD Microenterprise Report Section 807(c)(4) of the Housing and Community Development Act of 1992 (``1992 Act'') requires the Department of Housing and Urban Development (HUD) to submit to Congress a report on the effectiveness of the use of Community Development Block Grant (CDBG) funds in promoting development of microenterprises, including a review of any statutory or regulatory provision that impedes their development. This survey is being undertaken in an effort to provide HUD with current, relevant information regarding the actual experiences of community and economic development practitioners in this area for the Department's consideration in the preparation of the required report to Congress. Your participation is voluntary, but failure to respond will hurt HUD's ability to report accurately to Congress on the nature and extent of microenterprise activity in the CDBG program. Therefore, your participation is greatly appreciated. This survey seeks to obtain information regarding any microenterprise assistance activities you may be undertaking with CDBG funds. A ``microenterprise'' is defined by the 1992 Act to be a commercial enterprise that has five or fewer employees, one or more of whom owns the enterprise. For the purposes of this survey, ``microenterprise assistance activities'' are those that are designed to promote the establishment and expansion of microenterprises, as such entities are defined above. Examples of such activities include: Provision of training for persons interested in starting microenterprises. Provision of technical assistance and training to existing microenterprises. Provision of financial assistance to new and existing microenterprises. Name of Grantee (Optional):-------------------------------------------- Type of Grantee (State, Urban County, Unit of Local Government):------- Address, City, State, HUD Region:-------------------------------------- Name of Contact Person & Phone Number (Optional)----------------------- 1. Does your community use Community Development Block Grant (CDBG) funds for microenterprise assistance activities? Yes ______ No ______ (If No, go to Q.8) 2. What national objective(s) is/are your CDBG-funded microenterprise assistance activities designed to meet? (Check all that apply.) ______Low/mod Area Benefit ______Low/mod Jobs ______Slum/Blight ______Urgent Need 3. a. Are your CDBG-assisted microenterprise activities run directly by the grantee or through a subrecipient or some other entity? (Check all that apply.) ______Grantee ______Subrecipient ______Other (Describe) ---------------------------------------------------------------------- ---------------------------------------------------------------------- ---------------------------------------------------------------------- b. If the activities are run through a subrecipient, please identify the nature of that entity (e.g., public non-profit agency, Community Development Corporation (CDC), Small Business Investment Company (SBIC), etc.). (Check all that apply.) ______Public non-profit agency ______CDC ______SBIC ______Other (Describe) ---------------------------------------------------------------------- ---------------------------------------------------------------------- ---------------------------------------------------------------------- 4. What amount of CDBG funds has been budgeted in your most recent final statement for microenterprise assistance activities? ____________ 5. What percentage of your annual grant does the above amount represent? ____________ 6. Would you say the level of CDBG assistance you provide to microenterprises is ______ To much (End of survey) ______ About right (End of survey) ______ Too little (Go to Q.7) 7. Is there anything about the CDBG statute or regulations that prevents you from assisting as many microenterprises as you would like? ______ No ______ Yes (Please describe) ---------------------------------------------------------------------- ---------------------------------------------------------------------- ---------------------------------------------------------------------- (End of Survey) For respondents that answered ``No'' to Q.1, please answer Q.8 and Q.9. 8. Would you like to see your community use CDBG to support microenterprise development? ______ No (End of survey) ______ Yes 9. If ``Yes'' to Q.8, is there anything about the CDBG statute or regulations that prevents you from assisting microenterprises with CDBG funds? ______ No ______ Yes (Please describe) ---------------------------------------------------------------------- ---------------------------------------------------------------------- ---------------------------------------------------------------------- This mailing has been sent to familiarize you with the survey questions. An interviewer will contact you by telephone in the near future to obtain you responses. If you have any questions concerning this survey, please contact: Ms. Barbara Neal, Entitlement Communities Division, U.S. Department of Housing & Urban Development, room 7282, 451-7th Street, SW., Washington, DC 20410. Telephone Number: (202) 708- 1577. Survey of Intermediary Organizations HUD Microenterprise Report Section 807(c)(4) of the Housing and Community Development Act of 1992 (``1992 Act'') requires the Department of Housing and Urban Development (HUD) to submit to Congress a report on the effectiveness of the use of Community Development Block Grant (CDBG) funds in promoting development of microenterprises, including a review of any statutory or regulatory provision that impedes their development. This survey is being undertaken in an effort to provide HUD with current, relevant information regarding the actual experiences of community and economic development practitioners in this area for the Department's consideration in the preparation of the required report to Congress. Your participation is voluntary, but failure to respond will hurt HUD's ability to report accurately to Congress on the nature and extent of microenterprise activity in the CDBG program. Therefore, your participation is greatly appreciated. This survey seeks to obtain information regarding any microenterprise assistance activities you may be undertaking with CDBG funds. A ``microenterprise'' is defined by the 1992 Act to be a commercial enterprise that has five or fewer employees, one or more of whom owns the enterprise. For the purposes of this survey, ``microenterprise assistance activities'' are those that are designed to promote the establishment and expansion of microenterprises, as such entities are defined above. Examples of such activities include: Provision of training for persons interested in starting microenterprises. Provision of technical assistance and training to existing microenterprises. Provision of financial assistance to new and existing microenterprises. Name of Organization (Optional):--------------------------------------- Address, City; State/HUD Region:--------------------------------------- Name & Phone Number of Contact Person (Optional):---------------------- 1. Does your organization use Community Development Block Grant (CDBG) funds for microenterprise assistance activities? Yes ______ No ______ (If No, please go to Q.6) 2. What national objective(s) is/are your CDBG-funded microenterprise assistance activities designed to meet? (Check all that apply.) ______ Low/mod Area Benefit ______ Low/mod Jobs ______ Slum/Blight ______ Urgent Need 3. Please identify the nature of your entity (e.g., public non- profit agency, Community Development Corporation (CDC), Small Business Investment Company (SBIC), etc.). (Check all that apply.) ______ Public non-profit agency ______ CDC ______ SBIC ______ Other Please describe) ---------------------------------------------------------------------- ---------------------------------------------------------------------- ---------------------------------------------------------------------- 4. Would you say that the level of CDBG assistance you provide to microenterprises is ______ Too much (End of survey) ______ About right (End of survey) ______ Too little (Please go to Q.5) 5. Is there anything about the CDBG statute or regulations that prevents you from assisting as many microenterprises as you would like? ______ No ______ Yes (Please describe) ---------------------------------------------------------------------- ---------------------------------------------------------------------- ---------------------------------------------------------------------- ---------------------------------------------------------------------- ---------------------------------------------------------------------- (End of Survey) For respondents that answered ``No'' to Q.1, please answer Q.6 and Q.7. 6. Would you like to see your organization use CDBG to support microenterprise development? ______ No ______ Yes 7. If ``Yes'' to Q.6, is there anything about the CDBG statute or regulations that prevents you from assisting microenterprises with CDBG funds? ______ No ______ Yes (Please describe) ---------------------------------------------------------------------- ---------------------------------------------------------------------- ---------------------------------------------------------------------- ---------------------------------------------------------------------- This mailing has been sent to familiarize you with the survey questions. An interviewer will contact you by telephone in the near future to obtain your responses. If you have any questions concerning this survey, please contact: Ms. Barbara Neal, Entitlement Communities Division, U.S. Department of Housing & Urban Development, room 7282, 451-7th Street, SW., Washington, D.C. 20410. Telephone Number: (202) 708-1577. [FR Doc. 94-4824 Filed 3-2-94; 8:45 am] BILLING CODE 4210-29-M --- Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/fr%3A94-4824. Public record. Not legal advice.