[Federal Register Volume 60, Number 79 (Tuesday, April 25, 1995)]
[Notices]
[Pages 20360-20363]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-10140]




[[Page 20359]]

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Part VII





Department of Housing and Urban Development





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HUD Housing Counseling Agency; Inviting National, Regional, and Multi-
State Nonprofit or Public Organizations to Apply for Approval; Notice

  Federal Register / Vol. 60, No. 79 / Tuesday, April 25, 1995 / 
Notices  
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[[Page 20360]] 


DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of Housing--Federal Housing Commissioner
[Docket No. N-95-3902; FR-3888-N-01]


Notice Inviting National, Regional, and Multi-State Nonprofit or 
Public Organizations To Apply for Approval as a HUD Housing Counseling 
Agency

AGENCY: Office of the Assistant Secretary for Housing--Federal Housing 
Commissioner, HUD.

ACTION: Application for approval of national, regional and multi-state 
nonprofits or public entities as HUD-approved housing counseling 
agencies.

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SUMMARY: This Notice describes the criteria for approval by the U.S. 
Department of Housing and Urban Development (HUD) of national, 
regional, and multi-state nonprofit or public organizations as housing 
counseling agencies and sets forth the application approval process.
    All organizations wishing to participate in HUD's FY '95 housing 
counseling program must first receive HUD approval as a housing 
counseling agency. Although HUD has an established process for 
approving local counseling agencies, FY '95 will mark the first year 
that HUD will approve national, regional, and multi-state organizations 
for participation in its counseling program. National, regional, and 
multi-state nonprofit or public organizations that apply for HUD 
approval under this Notice are not necessarily guaranteed HUD housing 
counseling funding for FY '95. However, the HUD approval process 
outlined in this Notice is a prerequisite to the application for FY '95 
funding by national, regional, or multi-state nonprofit or public 
organizations. The NOFA announcing the availability of FY '95 funds is 
expected to be published at a later date.

DATES: Complete applications must be submitted for HUD approval no 
later than 4:30 p.m. e.s.t. on May 10, 1995. In order to be assured of 
eligibility for FY '95 funding, all applications for HUD certification 
must be physically received by this deadline date and hour by Emelda P. 
Johnson, Deputy Assistant Secretary for Single Family Housing, 
Department of Housing and Urban Development, 451 7th Street SW., Room 
9282, Washington D.C. 20410.

FOR FURTHER INFORMATION CONTACT: Written inquiries about this Notice 
may be mailed or faxed to the attention of Marion F. Connell, Office of 
Housing, Department of Housing and Urban Development, 451 7th Street 
SW., Room 9282, Washington D.C. 20410; fax number (202) 708-4006. 
Telephone inquiries may be directed to (202) 708-0740 (voice) or (202) 
708-4594 (TDD). Please note: these are not toll free numbers.

SUPPLEMENTARY INFORMATION:

Paperwork Reduction Act Statement

    The information collection requirements contained in this notice 
have been approved by the Office of Management and Budget, under 
section 3504(h) of the Paperwork Reduction Act of 1980 (44 U.S.C. 3501-
3520), and assigned OMB control number 2502-0261.

I. Purpose and Substantive Description

A. Authority and Purpose

    Section 106 of the Department of Housing and Urban Development Act 
of 1968 (12 U.S.C. 1701x) authorizes the Secretary of HUD to provide, 
or contract with public or private organizations to provide, counseling 
and advice to tenants and homeowners with respect to property 
maintenance, financial management, and such other matters as may be 
appropriate to assist them in improving their housing conditions and in 
meeting the responsibilities of tenancy or homeownership. In accordance 
with its responsibilities under the Fair Housing Act and other Civil 
Rights laws, the Department requires housing counseling agencies to be 
familiar with these laws. Appropriations acts for the past several 
years have consistently provided funds for counseling and advice under 
Section 106 to current and prospective tenants and homeowners. Under 
the counseling program, HUD funds housing counseling agencies which 
offer a range of services to renters, first-time homebuyers, and 
current homeowners.
    In order to participate in the HUD program, housing counseling 
agencies must first be approved by the Department. In previous fiscal 
years, HUD provided all of its housing counseling funding directly to 
local housing counseling agencies. The approval process for local 
housing counseling agencies requires that the local agency submit 
information documenting minimum levels of experience and technical 
expertise. Once approved, these local agencies are eligible to apply 
for HUD funding. Currently there are 661 HUD-approved local housing 
counseling agencies, of which 431 received funding in FY '94.
    For FY '95, HUD will fund both local counseling agencies and 
national, regional, or multi-state nonprofit or public organizations. 
These national, regional, or multi-state nonprofit or public 
organizations (sometimes referred to as ``intermediaries'') will assist 
HUD to manage the use of housing counseling funds in a more efficient 
and effective manner. These organizations may use the HUD program to 
fund local affiliates which offer housing counseling services, and/or 
may provide counseling services directly to the public.
    All national, regional, or multi-state organizations wishing to 
participate in the program must receive HUD approval before applying 
for funding. HUD will publish a separate NOFA announcing the 
availability of FY '95 housing counseling funding. In order to allow 
sufficient review time, the Department requires that all applications 
for approval as a HUD housing counseling agency be submitted by the 
date stated above. Organizations that are not HUD-approved as of the 
NOFA publication date will be ineligible to participate in the FY '95 
program.

B. Applicability of Handbook

    The Housing Counseling Program is generally governed by HUD 
Handbook 7610.1, REV-3. However, since the current version of that 
handbook did not contemplate the inclusion of national, regional, and 
multi-state housing counseling agencies, its provisions are hereby 
superseded with respect to this new category of participants. Although 
the handbook does not apply to this category of participants, these 
participants are responsible to provide, either directly or through 
their affiliates, housing counseling services of the same quality as 
are provided by the HUD-approved independent housing agencies that are 
subject to the provisions of the handbook.

C. Eligible Applicants

(1) Type of Organization
    In order to apply for HUD approval under this Notice, an 
organization must be a nonprofit or public agency that is authorized to 
provide housing counseling; and a national, regional, or multi-state 
organization. (Local agencies may continue to apply for approval at the 
appropriate HUD Field Office under existing procedures.) For purpose of 
determining the type of organization, national, regional, and multi-
state organizations are defined as follows:
     National organizations are entities that have branches or 
affiliates covering more than one regional area of the country.
[[Page 20361]]

     Regional organizations serve a ``regional area'' such as 
the Southwest or Northeast. The regional organization's operational 
boundaries need not conform precisely to the typically accepted 
definition of a particular area.
     Multi-state organizations serve two or more states. The 
states need not be contiguous and the operational boundaries of the 
organization need not precisely conform to State boundaries.
(2) Civil Rights Compliance
    The organization may have no outstanding finding of a violation of: 
Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d) and 
regulations pursuant thereto (24 CFR Part 1); the Fair Housing Act (42 
U.S.C. 3601-19); Executive Order 11063, as amended by Executive Order 
12892 and HUD regulations (24 CFR Part 107); Section 504 of the 
Rehabilitation Act of 1973 (29 U.S.C. 794) and regulations issued 
pursuant thereto (24 CFR Part 8); Title II of the Americans with 
Disabilities Act of 1990 and applicable regulations at 28 CFR Part 36); 
the Age Discrimination Act of 1975 (42 U.S.C. 6101-07) and regulations 
issued pursuant thereto (24 CFR Part 146); Executive Order 11246 and 
all regulations issued pursuant thereto (41 CFR Chapter 60-1); and 
Section 3 of the Housing and Urban Development Act of 1968 (12 U.S.C. 
1701u) and regulations pursuant thereto (24 CFR Part 135).

II. Application Process

A. Submitting an Application Package

    The signed original and one signed copy of the application 
information must be submitted in a sealed envelope addressed to Emelda 
P. Johnson, Deputy Assistant Secretary for Single Family Housing, U.S. 
Department of Housing and Urban Development, 451 7th Street SW., Room 
9282, Washington D.C. 20410. Envelopes should be clearly marked, 
``Housing Counseling Application''. Applicants should retain a copy of 
the application for their records. Where the application requests 
submission of existing legal or corporate documents, send only a copy--
not the original document.
    Applications must be physically received by no later than the date 
stated above in the ``Dates'' section. Applicants have the option of 
submitting their response to sections B 4-9 below after receiving 
preliminary approval. In that case, the first phase of the application 
must be submitted within five working days of publication of this 
Notice. HUD will respond by telephone within two working days of 
receipt of the first phase. The second phase of the application must 
then be received by the date stated above in the ``Dates'' section of 
this Notice. HUD recommends a one-step application process in the 
interest of timeliness and efficiency for the applicant but is making 
the two-step option available in conformance with previous practice.
    The above stated application deadline is firm as to its date and 
hour. In the interest of fairness to all applicants, the Department 
will treat as ineligible for consideration any application that is 
received after the deadline. Applicants should take this policy into 
account and make early submission of their materials to avoid any risk 
of loss of eligibility brought about by unanticipated delays or other 
delivery-related problems.
    Facsimile (FAX) applications are not acceptable and will not be 
reviewed.

B. Application Content

    Applicants must submit an application following the format 
prescribed in forms HUD-9900C and HUD-9900D to HUD by the date and time 
stated above. After review and approval of this application, HUD will 
send the applicant a letter stating that the organization is recognized 
as a HUD-approved housing counseling agency with a copy of HUD's 
standard approval certificate. The following sections of this Notice 
state the submission requirements for each portion of the application 
package.
    All application materials should be on 8.5 x 11'' paper and should 
be typewritten or produced using other methods of wordprocessing. For 
identification purposes, assure that the name and complete address of 
the applicant appear on the top or bottom of each page. Use the outline 
format specified below and do not deviate or add or skip sections. 
Applicants should ensure that submitted materials are clear and 
concise.
    National, regional, or multi-state organizations seeking HUD 
approval as a housing counseling agency must submit the following 
information as part of their application package:
(1) Transmittal Letter
    In the transmittal letter, or cover sheet, to the application, 
clearly list the following information about the applicant:
    a. Official name of organization;
    b. Acronym, if any, for official name;
    c. Address of main office; (If the applicant will use a location 
other than the main office for counseling coordination activities, 
please indicate this address as well.)
    d. Main office telephone and FAX number. Also, toll free 800 # if 
applicable;
    e. Name and title of chief operating officer;
    f. Counseling program administrator's name and title;
    g. The name, title, and telephone number of the person to contact 
regarding the organization's application.
    The cover sheet or transmittal letter should be signed and dated by 
the person authorized by the applicant's governing body to submit this 
application. Beneath the signature and date, type the signer's name and 
title and affirmatively state that this person is authorized to submit 
the application.
(2) Executive Summary
    Provide a one page summary of the organization's proposed housing 
counseling plan and describe how this plan meets the housing needs and 
problems of the organization's targeted population. Also note how the 
organization's resources will enable it to implement its plan.
(3) Type of Organization
    a. National Organizations: Note the number of the States where 
housing counseling services will be provided. State the number of 
offices (main, branch, or affiliate) where these services will be 
provided.
    b. Regional Organizations: State the name of the region where 
services will be provided. Note the number of the States which are 
included in the organization's region. State the number of offices 
(main, branch, or affiliate) where these services will be provided.
    c. Multi-State Organizations: List the names of the States where 
housing counseling services will be provided. For each state, list the 
number of offices (main, branch, or affiliate) where these services 
will be provided.
(4) Community Base
    a. Describe the applicant's experience and record of achievement in 
housing counseling during the past year. This experience should be 
specific to the communities where the organization proposes to offer 
housing counseling services.
    b. List the following information for all affiliates or branch 
offices:
     Official Name.
     Address, including ZIP code.
     Mailing address (if different).
     Telephone and FAX number (if a toll free number is 
available please note that number as well).
     Name, title, and telephone number of the person in charge 
of the housing counseling program. [[Page 20362]] 
    Please note: The information requested in this section (b.) may 
alternatively be submitted at the time a HUD-approved organization 
applies for funding. HUD recognizes that some national groups are still 
forming their counseling network.
    c. If housing counseling services will be offered to non-English 
speaking persons, please attach evidence of staff members who fluently 
speak the clients' native language.
(5) Target Area
    a. Describe the organization's proposed target area for housing 
counseling, including: size of population; racial and ethnic make-up of 
the population; socio-economic factors; and age and condition of the 
housing stock. Do not exceed two typewritten pages.
    b. State why the organization selected this particular target area 
and why the organization believes it is particularly well situated to 
service this area. Do not exceed one typewritten page.
    c. If other housing counseling agencies serve this same target 
area, describe why the applicant believes that it should also target 
this area. Do not exceed one typewritten page.
    d. List the U.S. Postal Service ZIP codes for all areas serviced by 
the main office and its affiliates or branch offices over the past 12 
months.
(6) Housing Needs and Problems
    Describe the housing needs and problems of the target area serviced 
by the organization. Include special needs and problems, such as those 
related to available housing stock, low income or poverty, 
homelessness, language, persons with disabilities, and ethnic, 
minority, and racial factors.
(7) Resources
    Submit a narrative statement of the resources the applicant has on-
hand as of the submission date of this application. ``On-hand'' is 
defined as the staff, facilities, and funding which the applicant 
either possesses or has a written commitment to receive but does not 
include amounts which the organization hopes to receive or plans to 
seek. Break out the statement of resources by staff, facilities, and 
funding categories:
    a. Staff.
     Attach a brief resume for each person who will oversee the 
housing counseling program at the applicant's headquarters. Each resume 
should indicate position title and duties.
    b. Facilities.
     Provide a general description of the applicant's 
facilities. State whether privacy and accessibility for persons with 
disabilities is provided at each affiliate or branch location. An 
opportunity for privacy during consultation and reasonable 
accommodations for accessibility are required at each location. If 
access for persons with disabilities, including persons with mobility, 
hearing, visual, and other disabilities, is not possible at all sites, 
indicate how counseling will be provided to persons with disabilities 
as needed. Also state whether public transportation is available within 
a 15 minute walk of each housing counseling location, to ensure 
accessibility of all populations needing to be served.
    c. Funding.
     List the sources and amount of funds available ``on-hand'' 
within the initial 12 month period of working as a HUD-approved housing 
counseling agency. The Department will give priority consideration to 
organizations that can demonstrate the ability to leverage funding 
received from HUD.
     Submit a copy of the organization's current housing 
counseling budget and indicate the sources of funds for that budget.
(8) Community Resources
    List the names of the types of community resources from which you 
expect your branches or affiliates to receive services or other forms 
of assistance for clients either at your facilities or those of the 
resource. Community resources consist of the types of local, state, and 
federal public and private resources with whom the applicant expects 
branches or affiliates to have firm working relationships. This may 
also include other HUD-approved housing counseling agencies.
(9) Housing Counseling Plan
    Describe in detail the housing counseling which will be provided by 
the applicant organization. This plan should take into account the 
resources, housing needs and problems, and target areas identified by 
the applicant. Be concise.
(10) Legal Status
    Submit a copy of the document which verifies that the applicant is 
a nonprofit organization, such as a copy of a 501 (c) determination 
from the IRS, or official document duly authorizing a public agency. 
This document must include the official name, address, and telephone 
number of the entity that granted this status. HUD assumes, and the 
applicant assures, that all affiliates and branch offices are also 
nonprofit organizations or public agencies.
(11) Charter
    Attach a copy of the organization's document that authorizes 
housing counseling activities. This document might include the charter, 
by-laws, board resolution, etc.
(12) Audit Report
    Attach a copy of an audit report conducted within the 12 month 
period prior to the date of the application. HUD assumes and the 
applicant assures that affiliates and branch offices have also been 
audited within the last 12 months. If an audit has not been conducted 
within the last 12 months, certification must be received that one will 
be immediately undertaken, and a copy provided to HUD when completed. 
Regardless of how recently the last audit was done, a copy of the 
organization's most recent audit must be immediately submitted. The 
applicant must also assure that each affiliate or branch has a 
functioning management system in accordance with generally accepted 
accounting standards.
(13) Assurances and Signatures
    Affirmatively state that the applicant will comply with the 
following requirements:
    a. Administer its housing counseling program in compliance with 
Title VI of the Civil Rights Act of 1964, Title VIII of the Civil 
Rights Act of 1968, Executive Order 11063, Section 504 of the 
Rehabilitation Act of 1973, and the Age Discrimination Act of 1975, and 
applicable provisions of the Americans with Disabilities Act of 1990.
    b. Provide its housing counseling services without subagreements 
with agencies other than the stated affiliates and branches or other 
HUD-approved housing counseling agencies. Written agreements must be 
executed with affiliates or branches delineating the respective 
responsibilities of the various organizations party to the agreement.
    c. Represent its clients without any conflicts of interest on the 
part of the applicant or its staff that might compromise the agency's 
ability to represent fully and impartially the best interests of the 
client.
    d. Meet all local, State, and federal requirements necessary to 
provide the applicant's housing services. Agency staff must possess a 
working knowledge of all current laws and ordinances that relate to 
housing counseling, such as debt management and a range of mortgage 
loan products available in their area.
    e. Comply with fee guidelines set forth in HUD's Handbook 7610.1 
REV-3, if the applicant plans to charge a fee to some of its clients. 
[[Page 20363]] 

C. Corrections to Deficient Applications

    After the deadline, applicants that met the deadline may cure only 
non-substantive, technical deficiencies in their application. 
Applicants have a 14 calendar day ``cure period'' to correct 
deficiencies in the application that are not integral to HUD's review 
of the application. Applicants have 14 days from the date HUD notifies 
the applicant of any problem to submit the appropriate information to 
HUD. Notification of a technical deficiency may be in writing or by 
telephone. If the notification is by telephone, a written confirmation 
will be transmitted by HUD to the applicant. Such deficiencies should 
be cured prior to application for HUD funding; however, exceptions may 
be made if circumstances warrant.

III. Other Matters

Environmental Review

    A Finding of No Significant Impact with respect to the environment 
was 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, in connection with the Notice of Funding 
Availability published in connection with the Housing Counseling 
program on March 21, 1994 (59 FR 13366). That Finding is available for 
public inspection during business hours in the Office of the Rules 
Docket Clerk, Office of General Counsel, room 10276, Department of 
Housing and Urban Development, 451 Seventh Street, SW, Washington, DC 
20410.

Federalism Impact

    The General Counsel, as the Designated Official under section 6(a) 
of Executive Order 12612, Federalism, has determined that this notice 
does not have ``federalism implications'' because it does not have 
substantial direct effects on the States (including their political 
subdivisions), or on the distribution of power and responsibilities 
among the various levels of government. This notice only affects multi-
state, regional and national nonprofit or public organizations who want 
to apply to participate in HUD's program to provide housing counseling 
services, assisting and advising housing consumers about how to develop 
competence and responsibility in meeting their housing needs.

Impact on the Family

    The General Counsel, as the Designated Official under Executive 
Order 12606, the Family, has determined that this notice has potential 
significant impact on family formation, maintenance, and general well-
being only to the extent that the entities who qualify for 
participation in HUD's housing counseling program under this notice 
will provide families with the counseling and advice they need to avoid 
rent delinquencies or mortgage defaults, and to develop competence and 
responsibility in meeting their housing needs. Since the potential 
impact on the family is considered beneficial, no further review under 
the Order is necessary.

Catalog

    The Catalog of Federal Domestic Assistance Program number is 
14.169.

    Authority: 12 U.S.C. 1701x; 42 U.S.C. 3535(d).

    Dated: April 13, 1995.
Nicolas P. Retsinas,
Assistant Secretary for Housing--Federal Housing Commissioner.
[FR Doc. 95-10140 Filed 4-24-95; 8:45 am]
BILLING CODE 4210-27-P