Environmental Review Procedures for Entities Assuming HUD Environmental Responsibilities

SUMMARY: HUD is adopting certain technical amendments relating to an

interim rule published in the Federal Register on March 13, 1995 that

amended 24 CFR part 58 to implement certain environmental provisions

enacted in the Multifamily Housing Property Disposition Reform Act of

1994. One technical amendment pertains to the effective date. The

interim rule establishes April 12, 1995 as the effective date, except

as otherwise provided for certain programs. However, some regulations

for programs newly covered by part 58 have existing environmental

provisions that conflict with the applicability of part 58 under the

interim rule and have not yet been amended. The technical amendment

makes clear that, for programs to which the effective date of April 12,

1995 applies, the interim rule supersedes preexisting program

regulations that would otherwise conflict with the application of part

58 procedures under the interim rule. HUD is also adopting two

technical amendments clarifying the designation of the entity

responsible for environmental review, including a clarification

applicable where the recipient is an Indian housing authority in

Alaska.

EFFECTIVE DATE: April 12, 1995.

FOR FURTHER INFORMATION CONTACT: Richard H. Broun, Director, Office of

Community Viability, Room 7240, Department of Housing and Urban

Development, 451 Seventh Street SW., Washington, DC 20410, telephone

(202) 708-3297. For telephone communication, contact Roy Gonnella,

Director, Environmental Review Division at (202) 708-3436. Hearing or

speech-impaired individuals may call HUD's TDD number (202) 708-4594.

This is not a toll-free number.

SUPPLEMENTARY INFORMATION: On March 13, 1995 (60 FR 13518) HUD

published an interim rule amending 24 CFR part 58 with an effective

date of April 12, 1995, except with respect to applicability to Public

Housing programs under title I of the United States Housing Act, as to

which a later effective date was provided. The interim rule implements

certain environmental provisions enacted in the Multifamily Housing

Property Disposition Reform Act of 1994 (MHPDRA). The latter provides

for the assumption of environmental review responsibilities by States

and units of general local government, including those that are not

recipients, under certain public and Indian housing programs, housing

assistance under Section 8 of the United States Housing Act, special

projects, and the FHA multifamily housing finance agency risk sharing

pilot program.

Section 58.10 of the interim rule requires the responsible entity

to assume the environmental responsibilities for projects under

programs cited in Sec. 58.1(c) in accordance with procedural provisions

of the National Environmental Policy Act (NEPA) and the regulations of

the Council on Environmental Quality (CEQ) (40 CFR parts 1500 through

1508), as well as the procedures set forth in part 58, ``unless

otherwise provided for in program regulations.'' HUD intended this

provision to allow the flexibility for regulations of individual

programs that are subject to part 58 to provide exceptions to the

assumption of environmental responsibilities by responsible entities

designated under part 58, if appropriate for a specific program.

However, some existing program regulations covered by the MHPDRA

provisions--in particular, regulations under Section 8 of the United

States Housing Act--still call for environmental review by HUD under 24

CFR part 50 and have not yet been amended to provide for responsible

entities to assume review responsibilities under part 58. The quoted

provision in Sec. 58.10, as written, unintentionally implies that these

earlier program regulations preclude responsible entities from assuming

environmental review responsibilities under part 58, thus essentially

delaying the effective date of the interim rule for these programs. In

fact, HUD intended the effective date of April 12, 1995 to apply to all

the programs affected by the interim rule except the Public Housing

programs referenced in the ``Effective Date'' block of the preamble, so

that responsible entities could begin assuming responsibilities

notwithstanding existing contrary provisions in program regulations.

HUD expects to conform existing program regulations to the interim rule

during program rulemaking, but did not intend to delay the application

of the interim rule during that time. Accordingly, the technical

amendment would add to the end of the first sentence of Sec. 58.10 the

phrase ``issued after April 12, 1995'', to indicate that only program

regulations issued after that date may supersede the responsible

entity's duty to assume environmental review responsibilities.

HUD is also adopting two technical amendments to the definition of

``responsible entity'' in Sec. 58.2(a)(7). The first amendment

clarifies the applicability of the first sentence of

Sec. 58.2(a)(7)(ii), which indicates that a State, unit of general

local government, Indian tribe or Alaska native village is the

responsible entity for programs listed in Sec. 58.1(c) (6) through (8).

Currently, while the second sentence provides additional designations

of ``nonrecipient responsible entities'' for those programs, the first

sentence does not explicitly indicate that it applies only when the

governmental entities designated are recipients. The amendment would so

indicate.

The second amendment to Sec. 58.2(a)(7)(ii) adds a new paragraph

(a)(7)(ii)(E) that applies specifically to Indian housing authorities

(IHAs) in Alaska. It provides that for such IHAs, the responsible

entity is the Alaska native village in whose community the project is

located, or if HUD determines this infeasible, a unit of general local

government or the State, as designated by HUD. This amendment is

necessary because paragraph (a)(7)(ii)(D) does not specifically

reference projects located in Alaska native villages and because the

reference in paragraph (a)(7)(ii)(D) to the Indian tribe that

established the Indian housing authority would not apply to IHAs

established by regional corporations in Alaska. Paragraph (a)(7)(ii)(D)

is now amended to apply only outside Alaska.

This document also makes two corrections to the interim rule that

was published on March 13, 1995. First, the title of Sec. 58.77(d)

should read as follows: Responsibility for monitoring and training.

Also, Sec. 58.77(d)(2) should reference Sec. 58.13 instead of

Sec. 58.17.

In general, the Department publishes a rule for public comment

before issuing a rule for effect, in accordance with its own

regulations on rulemaking, 24 CFR part 10. However, under 24 CFR part

10, notice and public procedure (comments) can be omitted if the

Department determines in a particular case or class of cases that

notice and public procedure are impracticable, unnecessary or contrary

to the public interest. Soliciting public comments on this technical

amendment would be unnecessary and contrary to the public interest.

This rule only makes technical

[[Page 48611]]

amendments to the interim rule published on March 13, 1995.

List of Subjects in 24 CFR Part 58

Environmental protection, Community development block grants,

Environmental Impact Statements, Grant programs--housing and community

development, Reporting and recordkeeping requirements.

Accordingly, 24 CFR part 58 is amended as follows:

PART 58--[AMENDED]

1. The authority citation for part 58 continues to read as follows:

Authority: 12 U.S.C. 1707 note; 42 U.S.C. 1437o(i)(1) and (2),

1437x, 3535(d), 3547, 4332, 4852, 5304(g), 11402, and 12838; E.O.

11514, 35 FR 4247, 3 CFR, 1966-1970, Comp., p. 902, as amended by

E.O. 11991, 42 FR 26967, 3 CFR, 1977 Comp., p. 123.

2. Section 58.2 is amended by revising paragraph (a)(7)(ii)

introductory text and paragraph (a)(7)(ii)(D), and by adding a new

paragraph (a)(7)(ii)(E) to read as follows:

Sec. 58.2 Terms, abbreviations and definitions.

(a) * * *

(7) * * *

(ii) With respect to environmental responsibilities under the

programs listed in Sec. 58.1(c) (6) through (8), a State, unit of

general local government, Indian tribe or Alaska native village, when

it is the recipient under the program. Nonrecipient responsible

entities are designated as follows:

* * * * *

(D) For Indian housing authorities (outside of Alaska), the Indian

tribe in whose jurisdiction the project is located, or if the project

is located outside of a reservation, the Indian tribe that established

the authority.

(E) For Indian housing authorities in Alaska, the Alaska native

village in whose community the project is located, or if HUD determines

this infeasible, a unit of general local government or the State, as

designated by HUD.

* * * * *

Sec. 58.10 [Amended]

3. Section 58.10 is amended by adding to the end of the first

sentence ending with ``program regulations'' and before the period, the

clarifying phrase ``issued after April 12, 1995''.

Sec. 58.77 [Amended]

4. Section 58.77 is amended by revising the title of paragraph (d),

to read, ``(d). Responsibility for monitoring and training.''

5. In Sec. 58.77, the second sentence in paragraph (d)(2) is

amended to refer to ``Sec. 58.13'' instead of ``Sec. 58.17''.

Dated: September 12, 1995.

Henry G. Cisneros,

Secretary.

[FR Doc. 95-23158 Filed 9-18-95; 8:45 am]

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