[Federal Register Volume 59, Number 83 (Monday, May 2, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-10305]


[[Page Unknown]]

[Federal Register: May 2, 1994]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of the Assistant Secretary for Community Planning and 
Development

24 CFR Part 92

[Docket No. R-94-1648; FR-3411-N-03]
RIN 2501-AB50

 

HOME Investment Partnerships Program

AGENCY: Office of the Assistant Secretary for Community Planning and 
Development.

ACTION: Notice of waiver.

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SUMMARY: This document informs the public that the Department is 
waiving a provision of the HOME Program rule at 92.2 on the current 
definition of commitment. The Department on April 19, 1994, published a 
rule that expanded the definition of commitment. However, that rule 
will not become effective until May 19, 1994. In the interim, there are 
participating jurisdictions (PJs) which could benefit by being able to 
use the newly expanded definition of commitment. This document provides 
a waiver of the provisions that are being amended, obviating the need 
for individual waiver requests from the affected PJs.

EFFECTIVE DATE: April 20, 1994.

FOR FURTHER INFORMATION CONTACT: Mary Kolesar, Director of the Program 
Policy Division, Office of Affordable Housing Programs, U.S. Department 
of Housing and Urban Development, 451 Seventh Street, SW., Washington, 
DC 20410, telephone (202) 708-2470, TDD (202) 708-2565. (These are not 
toll-free numbers.)

SUPPLEMENTARY INFORMATION:

I. Background

    The HOME program statute and regulations give PJs 24 months to 
commit their HOME funds. HOME funds not committed by the 24 month 
deadline must be recaptured by the Department. The Department published 
a rule on April 19, 1994 (59 FR 18626) which included a revision to the 
definition of commitment. The Department believes greater flexibility 
in the definition of commitment is required. In addition to commitments 
to specific projects, the definition of commitment is expanded to 
include legally binding agreements with State recipients, 
subrecipients, contractors to produce affordable housing and 
reservation of funds to Community Housing Development Organizations 
(CHDOs).

II. Good Cause

    In expanding the definition of commitment in the regulation, the 
Department believed that additional flexibility was warranted because 
of the slow start-up of the program and the significant statutory and 
regulatory changes which have occurred in the program. With these major 
changes in the program, the ability of the PJs to operate the program 
effectively has substantially increased. Nonetheless, the Department 
recognized that to build on the momentum of these changes, an expansion 
of the definition would provide regulatory relief to allow funds to be 
committed to state recipients, subrecipients and CHDOs in a more 
orderly and equitable fashion. States can work with small cities and 
newly formed CHDOs to build capacity without fear of losing funds. 
Also, local PJs may tackle more difficult rental projects designed to 
serve very-low income or special needs populations, which often require 
longer development periods.
    This good cause applies to PJs whose commitment deadline occurs 
before the effective date of the April 19, 1994 regulation.

III. Waiver

    Pursuant to the authority of Sec. 92.3, the Department waives the 
definition of commitment at Sec. 92.2 for participating jurisdictions 
whose 24 months commitment deadline will occur before May 19, 1994. 
These jurisdictions may use the new definition of ``Commitment'' 
published in the Federal Register of April 19, 1994 (59 FR 18631).

    Dated: April 25, 1994.
Andrew Cuomo,
Assistant Secretary for Community Planning and Development.
[FR Doc. 94-10305 Filed 4-29-94; 8:45 am]
BILLING CODE 4210-29-P