Public Housing Agency Plans; Change in Plan Submission Dates

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

24 CFR Part 903

[Docket No. FR-4420-F-04]

RIN 2577-AB89

Public Housing Agency Plans; Change in Plan Submission Dates

AGENCY: Office of the Assistant Secretary for Public and Indian

Housing, HUD.

ACTION: Final rule; amendment.

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SUMMARY: This final rule makes two amendments to HUD's February 18,

1999 interim rule regarding public housing agency (PHA) plans. First,

this final rule provides PHAs whose fiscal years begin on January 1,

2000, with additional time to submit their first PHA plans to HUD. This

final rule also provides that, for purposes of first PHA plan

submissions, a PHA will be considered to have submitted its PHA plans

on the submission due date, regardless of whether the PHA submits its

first plans before that date. This final rule does not address the

public comments received on the February 18, 1999 interim rule. The

comments will be addressed in a separate rulemaking that HUD is

currently developing, and that HUD expects to publish within the next

few weeks.

DATES: Effective Date: October 21, 1999.

FOR FURTHER INFORMATION CONTACT: For further information contact Beth

Cooper, the Office of Policy, Program and Legislative Initiatives,

Office of Public and Indian Housing, Department of Housing and Urban

Development, 451 Seventh Street, SW, Room 4116, Washington, DC 20410;

telephone (202) 708-0730 (this is not a toll-free number). Persons with

hearing or speech impairments may access that number via TTY by calling

the Federal Information Relay Service at (800) 877-8339.

SUPPLEMENTARY INFORMATION:

I. HUD's February 18, 1999 Interim Rule

On February 18, 1999 (64 FR 8170), HUD published an interim rule to

implement a new component of public housing and tenant-based assistance

operations required by the Quality Housing and Work Responsibility Act

of 1998 (Pub. L. 105-276, 112 Stat. 2461, approved October 21, 1998)

(referred to as the ``Public Housing Reform Act'')--the public housing

agency plans. Through these plans--the 5-year Plan and the Annual

Plan--a public housing agency (PHA) will advise HUD, its

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residents and members of the public of the PHA's mission for serving

the needs of low-income and very low-income families, and the PHA's

strategy for addressing those needs. The February 18, 1999 interim rule

established the initial procedures and requirements for development,

submission and implementation of the Plans. The February 18, 1999

interim rule also provided the dates for submission of the Plans. The

interim rule became effective on March 22, 1999, and is codified at 24

CFR part 903 (entitled ``Public Housing Agency Plans'').

II. This Rule

The purpose of this final rule is to make two amendments to the

February 18, 1999 interim rule. The amendments are as follows:

1. Extended submission date for initial PHA Plans. Section 511 of

the Public Housing Reform Act provides (in subsection (h)(1)) for the

Secretary to establish the due date for initial submission of the PHA

5-year and Annual Plans. After initial submission of the PHA Plans, the

statute sets the due date at not later than 75 days before the start of

the PHA's fiscal year. In accordance with this statutory authority, the

February 18, 1999 interim rule established due dates for the initial

submission of the PHA Plans.

The February 18, 1999 interim rule established a due date of ``no

later than 75 days before January 1, 2000'' for the first 5-year Plan

submission by PHAs whose fiscal years begin on January 1, 2000. PHAs

whose fiscal years begin after that date are required to submit their

first 5-year Plan ``no later than 75 days before the commencement of

their fiscal year.'' (See Sec. 903.3(a) of the February 18, 1999

interim rule)

The interim rule established a due date of October 15, 1999 for the

first PHA Annual Plan submission by PHAs whose fiscal years begin on

January 1, 2000. PHAs whose fiscal years begin after January 1, 2000

are required to submit their first Annual Plan no later than ``75 days

in advance of their fiscal year commencement date.'' (See Sec. 903.3(b)

of the February 18, 1999 interim rule).

On July 30, 1999, HUD issued Public and Indian Housing (PIH) Notice

99-33, which announced the availability of an electronic template that

PHAs must use to complete and submit the PHA Plans. The electronic

template, which is generally presented in question and answer format,

clarifies HUD's expectations for PHA Plan submissions and will make

these submissions easier to complete. The PIH notice also provides

additional guidance for completing the PHA Plans.

This rule extends the due date for initial PHA Plan submissions

made by PHAs with fiscal years beginning on January 1, 2000.

Specifically, the rule provides that these PHAs must submit their first

PHA Plans to HUD by December 1, 1999. This extension is designed to

permit these PHAs (who will be the first to submit PHA Plans) to

benefit from the electronic template and additional guidance provided

in PIH Notice 99-33.

2. Designation of December 1, 1999 as the PHA Plan submission date.

The February 18, 1999 interim rule provides that ``not later than 75

days after the date on which the PHA submits its plan * * * HUD will

issue written notice to the PHA if the plan has been disapproved.''

(See Sec. 903.23(b)(2) of the February 18, 1999 interim rule).

This rule amends the interim rule to provide that, for purposes of

the submission of the first PHA Plans, the ``date on which the PHA

submits its plan'' will be considered to be the submission due date.

Accordingly, the 75-day period for HUD to provide written notice of its

disapproval will not begin until the due date. For example, the initial

Plan submission due date for PHAs whose fiscal year begins on January

1, 2000 is December 1, 1999. The 75-day HUD review period for these

Plans will begin on December 1, 1999, regardless of whether the PHA has

submitted its PHA Plans before December 1, 1999.

The designation of the due date as the submission date for purposes

of the 75-day period assures that there is a uniform time period in

which HUD field offices are charged with reviewing the PHA Plan

submissions, and that field offices will have been provided appropriate

and uniform guidance prior to the review period. The result will be HUD

reviews that have the benefit of the uniform guidance and, thus, will

be conducted under uniform, national standards. The uniform time period

will also assist HUD's efforts to use its work force as efficiently as

possible. Both of these benefits will assist PHAs and the public. The

extended time period until the first submissions makes this step more

important.

III. HUD's Upcoming Final Rule Regarding the PHA Plans

This rule does not address the public comments received on the

February 18, 1999 interim rule. HUD is currently developing a separate

rule that will finalize the policies and procedures contained in the

February 18, 1999 interim rule, and that takes into consideration the

public comments received on the interim rule. HUD expects to publish

this final rule within the next few weeks.

IV. Justification for Issuance of Rule for Effect

In general, HUD publishes a rule for public comment before issuing

a rule for effect, in accordance with its own regulations on rulemaking

at 24 CFR part 10. Part 10, however, does provide for exceptions from

that general rule where HUD finds good cause to omit advance notice and

public participation. The good cause requirement is satisfied when the

prior public procedure is ``impracticable, unnecessary, or contrary to

the public interest'' (24 CFR 10.1). HUD finds that good cause exists

to publish this rule for effect without first soliciting public

comment, in that prior public procedure is unnecessary. Public

procedure is unnecessary because this rule simply makes two technical

amendments to 24 CFR part 903 regarding the due dates for initial PHA

Plan submissions. These amendments will provide PHAs whose fiscal years

begin on January 1, 2000 with additional time to prepare their first

PHA Plans. The amendments will also benefit HUD, PHAs, and the public

by assuring that there is a uniform time period in which HUD field

offices are charged with reviewing the PHA Plan submissions, and that

field offices will have been provided appropriate and uniform guidance

prior to the review period.

V. Findings and Certifications

Regulatory Flexibility Act

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

U.S.C. 605(b)), has reviewed and approved this rule, and in so doing

certifies that this rule will not have a significant economic impact on

a substantial number of small entities. This rule only makes two

technical amendments to 24 CFR part 903 regarding the due date for

initial PHA Plan submissions by PHAs with fiscal years beginning on

January 1, 2000.

Environmental Impact

This rule is exempt from the environmental review procedures under

HUD regulations in 24 CFR part 50 that implement section 102(2)(C) of

the National Environmental Policy Act of 1969 (42 U.S.C. 4332) because

of the exemption under Sec. 50.19(c)(1). This rule only makes a

technical amendment to an existing regulation.

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Executive Order 12612, Federalism

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

of Executive Order 12612, Federalism, has determined that this rule

will not have substantial direct effects on States or their political

subdivisions, or the relationship between the Federal Government and

the States, or on the distribution of power and responsibilities among

the various levels of government. No programmatic or policy changes

will result from this rule that would affect the relationship between

the Federal Government and State and local governments.

List of Subjects in 24 CFR Part 903

Administrative practice and procedure, Public housing, Reporting

and recordkeeping requirements.

For the reasons discussed in the preamble, HUD amends 24 CFR part

903 as follows:

PART 903--PUBLIC HOUSING AGENCY PLANS

1. The authority citation for part 903 continues to read as

follows:

Authority: 42 U.S.C. 1437c; 42 U.S.C. 3535(d).

2. Revise Sec. 903.3 to read as follows:

Sec. 903.3 When must a PHA submit the plans to HUD?

(a) 5-Year Plan. (1) The first PHA fiscal year that is covered by

the requirements of this part is the PHA fiscal year that begins

January 1, 2000. The first 5-Year Plan submitted by a PHA must be

submitted for the 5-year period beginning January 1, 2000. The first 5-

Year Plans are due on December 1, 1999. For PHAs whose fiscal years

begin after January 1, 2000, their 5-Year Plans are due no later than

75 days before the commencement of their fiscal year. For all PHAs,

after submission of their first 5-Year Plan, all subsequent

5-Year Plans must be submitted once every 5 PHA fiscal years, no later

than 75 days before the commencement of the PHA's fiscal year.

(2) PHAs may choose to update their 5-Year Plans every year as good

management practice. PHAs must explain any substantial deviation from

their 5-Year Plans in their Annual Plans.

(b) The Annual Plan. The first fiscal year that is covered by the

requirements of this part is the PHA fiscal year that begins January 1,

2000. The first Annual Plans are due December 1, 1999. For PHAs whose

fiscal years begin after January 1, 2000, their first Annual Plan are

due 75 days in advance of their fiscal year commencement date. For all

PHAs, after submission of their first Annual Plan, all subsequent

Annual Plans will be due 75 days in advance of the commencement of a

PHA's fiscal year.

3. Add Sec. 903.23(c) to read as follows:

Sec. 903.23 What is the process by which HUD reviews, approves, or

disapproves an Annual Plan?

* * * * *

(c) Designation of due date as submission date for initial plan

submissions. For purposes of the 75-day period described in paragraph

(b) of this section, the first 5-year and Annual Plans submitted by a

PHA will be considered to have been submitted on their due date

(December 1, 1999 or 75 days before the start of the PHA fiscal year,

as appropriate--see Sec. 903.3).

* * * * *

Dated: September 14, 1999.

Harold Lucas,

Assistant Secretary for Public and Indian Housing.

[FR Doc. 99-24600 Filed 9-20-99; 8:45 am]

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