[Federal Register Volume 61, Number 15 (Tuesday, January 23, 1996)]
[Rules and Regulations]
[Pages 1824-1825]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-832]




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Part III





Department of Housing and Urban Development





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Office of the Secretary



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24 CFR Part 92



HOME Investment Partnerships Program; Interim Rule

  Federal Register / Vol. 61, No. 15 / Tuesday, January 23, 1996 / 
Rules and Regulations   

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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of the Secretary

24 CFR Part 92

[Docket No. FR-3836-I-02]
RIN 2501-AB94


HOME Investment Partnerships Program

AGENCY: Office of the Secretary, HUD.

ACTION: Interim rule.

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SUMMARY: This interim rule amends the existing interim rule for the 
HOME Investment Partnerships Program by implementing a change in the 
operation of the HOME formula to maximize the number of units of 
general local government which receive an initial allocation of HOME 
funds.

EFFECTIVE DATE: February 22, 1996.

FOR FURTHER INFORMATION CONTACT: Mary Kolesar, Director, Program Policy 
Division, Office of Affordable Housing Programs, 451 Seventh Street, 
S.W., Washington, D.C. 20410, telephone (202) 708-2470, TDD (202) 708-
2565. (These are not toll-free numbers.)

SUPPLEMENTARY INFORMATION:

I. Paperwork Reduction Act Statement

    The information collection requirements for the HOME Program have 
been approved by the Office of Management and Budget in accordance with 
the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520), and assigned 
OMB control number 2501-0013. This interim rule does not contain 
additional information requirements. An agency may not conduct or 
sponsor, and a person is not required to respond to, a collection of 
information unless the collection displays a valid control number.

II. Background

    On July 12, 1995 (60 FR 36012), the Department published a proposed 
rule to make a change in the operation of the HOME formula. It was 
proposed that Section 92.50(d)(3) would be revised to maximize the 
number of units of general local government which receive an initial 
allocation of HOME funds.
    Formerly, units of general local government, after an initial 
distribution of funds available for allocation, were eliminated at 
$250,000 and below from the pool of eligible jurisdictions and their 
allocations were redistributed among other units of general local 
government. This redistribution technique continued until 95% of the 
funds had been distributed among units of general local government that 
received $500,000 or more. The new method would drop only one 
jurisdiction on each recalculation, and redistribute funds to all 
others, thus assuring that the maximum number of units of general local 
government receive an allocation.
    The Department received 9 comments on this section of the proposed 
rule.
    On the formula redistribution technique to maximize the number of 
participating jurisdictions, seven commenters favored the change while 
two did not. One of the two commenters felt that additional performance 
criteria should be added to the formula calculations rewarding good 
performance.
    The Department agrees with the majority of comments received that 
maximizing the number of participating jurisdictions which receive the 
minimum allocation is a positive change. With respect to the comment 
suggesting additional performance criteria, adding such criteria 
without further public comment would not be appropriate. Therefore, the 
Department is revising the formula technique as proposed in the July 
12, 1995 rule. This rule is being published as an interim rule and not 
as a final rule because the HOME program regulation at 24 CFR part 92 
has not yet been issued as a final rule.

III. Findings and Certifications

Environmental Review

    A Finding of No Significant Impact with respect to the environment 
has been made in accordance with HUD regulations at 24 CFR part 50, 
which implement section 102(2)(C) of the National Environmental Policy 
Act of 1969. The Finding of No Significant Impact is available for 
public inspection between 7:30 a.m. and 5:30 p.m. weekdays in the 
Office of the Rules Docket Clerk.

Regulatory Planning and Review

    This interim rule has been reviewed in accordance with Executive 
Order 12866, issued by the President on September 30, 1993 (58 FR 
51735, October 4, 1993). Any changes to the rule resulting from this 
review are available for public inspection between 7:30 a.m. and 5:30 
p.m. weekdays in the Office of the Rules Docket Clerk.

Impact on Small Entities

    In accordance with the Regulatory Flexibility Act (5 U.S.C. 
605(b)), the undersigned hereby certifies that this interim rule does 
not have a significant economic impact on a substantial number of small 
entities, because jurisdictions that are statutorily eligible to 
receive formula allocations are relatively larger cities, counties or 
States.

Federalism Impact

    The General Counsel has determined, as the Designated Official for 
HUD under section 6(a) of Executive Order 12612, Federalism, that this 
interim rule does not have federalism implications concerning the 
division of local, State, and federal responsibilities. While the HOME 
Program interim rule amended by this interim rule was determined to be 
a rule with federalism implications and the Department submitted a 
Federalism Assessment concerning the interim rule to OMB, this rule 
would only make a limited adjustment to the interim rule and does not 
significantly affect any of the factors considered in the Federalism 
Assessment for the interim rule.

Impact on the Family

    The General Counsel, as the designated official under Executive 
Order 12606, The Family, has determined that this interim rule would 
have an indirect, though beneficial, impact on family formation, 
maintenance, and general well-being. As such, it is not subject to 
further review under the Order.

    The Catalog of Federal Domestic Assistance Number for the HOME 
Program is 14.239.

List of Subjects in 24 CFR Part 92

    Administrative practice and procedure, Grant programs--housing and 
community development, Grant programs--Indians, Indians, Low and 
moderate income housing, Manufactured homes, Rent subsidies, Reporting 
and recordkeeping requirements.

    Accordingly, the Department amends part 92 of title 24 of the Code 
of Federal Regulations as follows:

PART 92--HOME INVESTMENT PARTNERSHIPS PROGRAM

    1. The authority citation for part 92 continues to read as follows:

    Authority: 42 U.S.C. 3535(d) and 12701-12839.

    2. In Sec. 92.50, paragraph (d)(3) is revised to read as follows:


Sec. 92.50  Formula allocation.

* * * * *
    (d) * * *
    (3) To determine the maximum number of units of general local 
government that receive a formula 

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allocation, only one jurisdiction (the unit of general local government 
with the smallest allocation of HOME funds) is dropped from the pool of 
eligible jurisdictions on each successive recalculation. Then the 
amount of funds available for units of general local government is 
redistributed to all others. This recalculation/redistribution 
continues until all remaining units of general local government receive 
an allocation of $500,000 or more.
* * * * *
    Dated: December 7, 1995.
Henry G. Cisneros,
Secretary.
[FR Doc. 96-832 Filed 1-22-96; 8:45 am]
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