[Federal Register Volume 61, Number 94 (Tuesday, May 14, 1996)]
[Notices]
[Pages 24408-24427]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-11949]




[[Page 24407]]


_______________________________________________________________________

Part V





Department of Housing and Urban Development





_______________________________________________________________________



Notice of Funding Availability for Lead-Based Paint Hazard Control in 
Housing, Fiscal Year 1996 and Proposed Collection of Information; 
Comment Request; Notice

  Federal Register / Vol. 61, No. 94 / Tuesday, May 14, 1996 / 
Notices  

[[Page 24408]]



DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of the Secretary
[Docket No. FR-4049-N-01]


Office of Lead-Based Paint Abatement and Poisoning Prevention; 
NOFA for Lead-Based Paint Hazard Control in Housing, Fiscal Year 1996 
and Proposed Collection of Information; Comment Request

AGENCY: Office of the Secretary--Office of Lead-Based Paint Abatement 
and Poisoning Prevention, HUD.

ACTION: Notice of funding availability and request for comments on 
information collection requirements.

-----------------------------------------------------------------------

SUMMARY: This notice announces the competition for two categories of 
grant funding: Category A for approximately $50 million for a grant 
program for State and local governments to undertake lead-based paint 
hazard control in eligible housing units; and Category B for 
approximately $4 million for grants to State and local governments for 
assistance in undertaking lead-based paint hazard control in eligible 
housing units on Superfund sites. The NOFA includes statutory changes 
made to the grant program, including in the definition of the housing 
for which the Secretary is authorized to provide grants, by the Omnibus 
Consolidated Rescissions and Appropriations Act of 1996.
    Approximately 10-12 grants of $1 million-$6 million each will be 
awarded under Category A and a maximum of 8 grants of $500,000 to $2 
million each will be awarded under Category B. The grant sum requested 
by applicants under either category must constitute the total request 
for the maximum thirty six (36) months for the expected duration of the 
proposed project. Proposals can be submitted by jurisdictions for both 
categories of assistance. As part of HUD's reinvention initiative, this 
Notice of Funding Availability (NOFA) includes changes that HUD 
believes will make the application for lead-based paint hazard control 
grant funds simpler and less time-consuming than in past competitions. 
This NOFA limits a Category A applicant's response to the Rating 
Factors to a maximum of 25 pages, has specific format instructions, and 
reduces the number of budget forms required. (There are no page 
limitations for Category B applicant's responses to the Rating 
Factors.) The application kit developed for this NOFA provide 
additional details to further guide and assist those eligible to apply.
    This document includes information concerning the following:
    (1) The purpose of the NOFA, eligibility, available amounts, and 
selection criteria;
    (2) Application processing, including how to apply and how 
selections will be made; and
    (3) A checklist of steps and exhibits involved in the application 
process.
    Appendices to the NOFA identify relevant regulations and guidelines 
referenced throughout the NOFA, define ``administrative costs'', list 
HUD housing programs eligible to receive assistance under the program, 
and provide a relevant statutory provision.

DATES: An original and two copies of the completed application must be 
received by HUD no later than 3:00 p.m. (Eastern Time) on July 30, 
1996. The application deadline is firm as to date and hour. In the 
interest of fairness to all competing applicants, the Department will 
treat as ineligible for consideration any application that is received 
after its deadline. Applicants should take this factor into account and 
make early submission of their materials to avoid loss of eligibility 
brought about by unanticipated delays or other delivery-related 
problems. Sections 5 and 7 of this NOFA provide further information on 
what constitutes proper submission of an application for Category A and 
B respectively.
    The deadline for comments on the information collection 
requirements is July 15, 1996.

ADDRESSES: Application kits may be obtained from the Office of Lead-
Based Paint Abatement and Poisoning Prevention, Department of Housing 
and Urban Development, Room B-133, 451 Seventh Street, S.W., 
Washington, D.C. 20410, or by calling Ms. Phyllis Horace at (202) 755-
1785, extension 120 (this is not a toll-free number), or by making an 
e-mail request to: [email protected] (use underscore 
characters). The Department is also planning to make the NOFA and 
application kit accessible via the Internet World Wide Web. Completed 
applications should be submitted to the mailing address, and may not be 
faxed or electronically transmitted.
    Comments on the proposed information collection requirements must 
refer to the NOFA for Lead-Based Paint Hazard Control in Priority 
Housing, Fiscal Year 1996 (FR-4049), and must be sent to: Reports 
Liaison Officer, Office of Lead-Based Paint Abatement and Poisoning 
Prevention, Department of Housing & Urban Development, 451 7th Street, 
SW, Room B-133, Washington, DC 20410

FOR FURTHER INFORMATION CONTACT: For Category A applicants: Ellis G. 
Goldman, Director, Program Management Division, Office of Lead-Based 
Paint Abatement and Poisoning Prevention, Room B-133, 451 Seventh 
Street, S.W., Washington, D.C. 20410, telephone (202) 755-1822, 
extension 112 (this is not a toll-free number). For Category B 
applicants: Melissa F. Shapiro, telephone (202) 755-1785, extension 153 
(this is not a toll-free number). For hearing- and speech-impaired 
persons, the telephone number may be accessed via TTY (text telephone) 
by calling the Federal Information Relay Service at 1-800-877-8339.

SUPPLEMENTARY INFORMATION:

Table of Contents:

Section 1. Paperwork Reduction Act Statement
Section 2. Definitions.
Section 3. Purpose and Description
3.1  Purpose and Authority
3.2  Background
3.2.1  Previous Awards
3.3  Allocation Amounts
3.4  Eligibility
3.5  Limitations on the Use of Assistance
3.6  Environmental Review
3.7  Objectives and Requirements
Section 4. Application Process for Category A
4.1  Submitting Applications
4.2  Threshold Requirements
4.3  Rating Factors
Section 5. Checklist of Application Submission Requirements for 
Category A
5.1  Applicant Data
5.2  Proposed Activities
5.3  Certifications and Assurances
Section 6. Purpose and Description for Category B
6.1  Purpose and Authority
6.2  Background
6.3  Allocation Amounts
6.4  Eligibility
6.5  Limitations on the Use of Assistance
6.6  Environmental Review
6.7  Objectives and Requirements
Section 7. Application Process for Category B
7.1  Submitting Applications for Grants
7.2  Threshold Requirements
7.3  Rating Factors
7.4  Checklist of Application Submission Requirements
7.4.1  Applicant Data
7.4.2  Proposed Activities
7.4.3  Certifications and Assurances
Section 8. Corrections to Deficient Applications
Section 9. Administrative Provisions
9.1  Obligation of Funds
9.2  Increases of Awards
9.3  Deobligation
9.4  Reports
Section 10. Other Matters
Appendix A. Relevant Federal Regulations and Guidelines
Appendix B. Explanation of ``Administrative Costs''
Appendix C. Section 1011(a) of Title X, as amended by Pub.L. 104-134

[[Page 24409]]

Appendix D. Eligibility of HUD-Associated Housing Units
Appendix E. Elements of a State Certification Program

Section 1. Paperwork Reduction Act Statement

    The information collection requirements contained in this notice 
have been submitted to the Office of Management and Budget (OMB) for a 
temporary extension of the control number, in accordance with the 
Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520) and 5 CFR 
1320.13. A notice requesting public comment on this extension was 
published in the Federal Register on April 23, 1996 (61 FR 17906). When 
assigned, the OMB control number will be published by a separate notice 
in the Federal Register. 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.
    In addition, in today's notice the Department is soliciting 
comments, as required under 5 CFR 1320.8(d), before submitting the 
information collection requirements contained in this NOFA to OMB for 
regular review in accordance with 5 CFR 1320.10. The Department is 
seeking comments from members of the public and affected agencies 
concerning the proposed collection of information to:
    (1) Evaluate whether the proposed collection of information is 
necessary for the proper performance of the functions of the agency, 
including whether the information will have practical utility;
    (2) Evaluate the accuracy of the agency's estimate of the burden of 
the proposed collection of information;
    (3) Enhance the quality, utility, and clarity of the information to 
be collected; and
    (4) Minimize the burden of the collection of information on those 
who are to respond; including through the use of appropriate automated 
collection techniques or other forms of information technology, e.g., 
permitting electronic submission of responses.
    Interested persons are invited to submit comments regarding the 
information collection requirements in this proposal. Comments must be 
received within 60 days from the date of this proposal. Comments must 
refer to the proposal by name and docket number (FR-4049) and must be 
sent to: Reports Liaison Officer, Office of Lead-Based Paint Abatement 
and Poisoning Prevention, Department of Housing & Urban Development, 
451 7th Street SW, Room 4244, Washington, DC 20410.
    This Notice also lists the following information:
    Title of Proposal: NOFA for Lead-Based Paint Hazard Control in 
Priority Housing, Fiscal Year 1996 (FR-4049)
    Description of the Need for the Information and Proposed Use: This 
information collection is required in connection with the issuance of 
this NOFA, announcing the availability of $50 million for grants for 
lead-based paint hazard reduction in private priority housing.
    Form Number: None
    Members of Affected Public: State and local governments.
    Estimation of the Total Number of Hours Needed to Prepare the 
Information Collection including Number of Respondents, Frequency of 
Response, and Hours of Response:

----------------------------------------------------------------------------------------------------------------
                                                                            Frequency                           
                                                               Number of        of       Hours per      Burden  
                                                              respondents   responses     response      hours   
----------------------------------------------------------------------------------------------------------------
Application Development.....................................           75            1          120        9,000
      Total Estimated Burden Hours: 9,000.                                                                      
----------------------------------------------------------------------------------------------------------------

    Status of the Proposed Information Collection: Emergency processing 
request pending.

Section 2. Definitions

    The following definitions apply to this grant program:
    Abatement--Any set of measures designed to permanently eliminate 
lead-based paint or lead-based paint hazards. For the purposes of this 
definition, permanent means at least 20 years effective life. Abatement 
includes:
    (a) The removal of lead-based paint and lead-contaminated dust, the 
permanent enclosure or encapsulation of lead-based paint, the 
replacement of components or fixtures painted with lead-based paint, 
and the removal or permanent covering of soil; and
    (b) All preparation, cleanup, disposal, and post-abatement 
clearance testing activities associated with such measures.
    Accredited Laboratory--A laboratory that is accredited by an EPA-
approved lead laboratory accrediting organization and recognized by the 
National Lead Laboratory Accreditation Program (NLLAP), as being 
capable of performing lead analyses of samples of paint, dust wipes, 
and/or soil. (A list of recognized laboratories and EPA-approved lead 
laboratory accrediting organizations is available from the National 
Lead Information Center at (800-424-LEAD [5323]).
    Administrative Costs--(See Appendix B of this NOFA for a detailed 
definition.)
    Applicant--A State or a unit of general local government with a 
currently approved Comprehensive Housing Affordability Strategy (CHAS) 
or Consolidated Plan that applies for funding under this NOFA.
    Certified Contractor--A contractor, inspector, risk assessor, 
supervisor or others required to have successfully completed a training 
program approved by the appropriate Federal agency and who has met any 
other requirements for certification or licensure established by such 
agency or who has been certified by any State through a program which 
has been found by such Federal agency to be at least as rigorous as the 
training and certification standards and requirements found in Appendix 
E of this NOFA. All lead-hazard identification or control work shall be 
performed by workers and supervisors who have passed a Federal training 
program or a State training program found by such Federal agency to be 
at least as rigorous as the Federal program.
    Certified Inspector and Certified Risk Assessor--Included in the 
definition of ``certified contractor,'' above.
    Clearance Testing and Examination--A HUD-required visual 
examination and collection of environmental samples by a certified 
inspector or certified risk assessor, and laboratory analysis by an 
accredited laboratory upon completion of lead-hazard control work. The 
unit must undergo wipe testing showing that it has lead dust levels 
below HUD's interim standards. Current standards are: for bare and 
carpeted floors (100 g/ft \2\ [micrograms/square foot]); 
interior window sills (500 g/ft \2\); and window troughs 
(wells), exterior concrete or other rough surfaces (800 g/ft 
\2\). (These interim standards may be revised subject to EPA's issuance 
of regulations.)
    Eligible Housing--Target housing that qualifies as eligible housing 
under section 1011(a) of the Residential Lead-

[[Page 24410]]

Based Paint Hazard Reduction Act of 1992, as amended by section 217 of 
the Omnibus Consolidated Rescissions and Appropriations Act of 1996 
(Pub. L. 104-134; 110 Stat. 1321, approved April 26, 1996) (See 
Appendix C of this NOFA for criteria for eligible housing units and 
Appendix D for a list of HUD's programs and their eligibility or 
ineligibility for receiving assistance under this grant program.) The 
term does not include any public housing (whether Federal or locally 
supported), any federally owned housing, or any federally assisted 
housing.
    Encapsulation--The application of any covering or coating that acts 
as a barrier between the lead-based paint and the environment and that 
relies, for its durability, on adhesion between the encapsulant and the 
painted surface, and on the integrity of the existing bonds between 
paint layers, and between the paint and the substrate.
    Enclosure--The use of rigid, durable construction materials that 
are mechanically fastened to the substrate to act as a barrier between 
the lead-based paint and the environment.
    Federally Assisted Housing--Residential dwellings receiving 
project-based assistance under programs including:
    (1) Section 221(d)(3) or section 236 of the National Housing Act;
    (2) Section 1 of the Housing and Urban Development Act of 1965;
    (3) Section 8 of the United States Housing Act of 1937; or
    (4) Sections 502(a), 504, 514, 515, 516, and 533 of the Housing Act 
of 1949.
    ``Federally Assisted Housing'' is not eligible for assistance under 
the HUD Lead-Based Paint Hazard Control Grant Program. (See Appendix D 
of this NOFA.)
    Guidelines for the Evaluation and Control of Lead-Based Paint 
Hazards in Housing (June 1995)--HUD's manual of lead hazard control 
practices (commonly referred to as the Guidelines) which provide 
detailed, comprehensive, technical information on how to identify lead-
based paint hazards in housing and how to control such hazards safely 
and efficiently. (The Guidelines replace the HUD ``Lead-Based Paint: 
Interim Guidelines for Hazard Identification and Abatement in Public 
and Indian Housing.'')
    Hazardous Waste--As defined in EPA regulations (40 CFR 261.3). 
Solid waste, or a combination of solid wastes, that because of its 
quantity; concentration; or physical, chemical, or infectious 
characteristics may:
    (1) Cause, or significantly contribute to increases in mortality, 
serious and irreversible, or incapacitating but reversible illness; or
    (2) Pose a substantial present or potential hazard to human health 
or the environment when improperly treated, stored, transported, or 
disposed.
    HEPA Vacuum--(High Efficiency Particulate Air)--A vacuum cleaner 
fitted with a filter capable of removing particles of 0.3 microns or 
larger at 99.97 percent or greater efficiency from the exhaust air 
stream.
    Interim Controls--A set of measures designed to temporarily reduce 
human exposure or possible exposure to lead-based paint hazards. Such 
measures include specialized cleaning, repairs, maintenance, painting, 
temporary containment, and management and resident education programs. 
Interim controls include dust removal; paint film stabilization; 
treatment of friction and impact surfaces; installation of soil 
coverings, such as grass or sod; and land-use controls.
    Laboratory Analysis--As used for paint, dust-wipes or soil, 
analysis for lead by an accredited laboratory in accordance with the 
requirements and limitations of its accreditation.
    Lead-Based Paint--Any paint, varnish, shellac, or other coating 
that contains lead equal to or greater than 1.0 mg/cm2 as measured 
by XRF or laboratory analysis, or 0.5 percent by weight (5,000 
g/g, 5,000 ppm, or 5,000 mg/kg) as measured by laboratory 
analysis. (Local definitions may vary.)
    Lead-Based Paint Hazard--A condition in which exposure to lead from 
lead-contaminated dust, lead-contaminated soil, or deteriorated lead-
based paint would have an adverse effect on human health (as 
established by the EPA Administrator under Title IV of the Toxic 
Substances Control Act). Lead-based paint hazards include for example, 
deteriorated lead-based paint, dust levels above applicable standards, 
and bare leaded soil above applicable standards.
    Lead-Based Paint Hazard Control--Activities to control and 
eliminate lead-based hazards, including interim controls, abatement and 
complete abatement.
    Lead-Contaminated Dust--Surface dust in residences that contains an 
area or mass concentration of lead in excess of the standard 
established by the EPA Administrator, pursuant to Title IV of the Toxic 
Substances Control Act. Until the EPA standards are established, the 
HUD-recommended clearance and risk assessment standards for leaded dust 
are 100 g/ft2 on floors, 500 g/ft \2\ on 
interior window sills, and 800 g/ft2 on window troughs 
(wells), exterior concrete or other rough surfaces; criteria for work 
under this grant shall be at least as stringent as these standards.
    Lead-Contaminated Soil--Bare soil on residential property that 
contains lead in excess of the standard established by the EPA 
Administrator, pursuant to Title IV of the Toxic Substances Control 
Act. The HUD-recommended standard and interim EPA guidance is 400 
g/g for high-contact play areas and 2,000 g/g in 
other bare areas of the yard; criteria for work under this grant shall 
be at least as stringent as these standards. Soil contaminated with 
lead at levels greater than or equal to 5,000 g/g should be 
abated by removal or paving.
    mg--milligram; 1/1,000 of a gram; equal to about 35/1,000,000 (35 
millionths) of an ounce (an ounce is equal to about 28,400 mg).
    Potentially Responsible Party (PRP)--Any individual or entity 
including owners, operators, transporters, or generators who may be 
liable under CERCLA section 107(a).
    Replacement--A strategy of abatement that entails the removal of 
building components coated with lead-based paint (such as windows, 
doors, and trim) and the installation of new components free of lead-
based paint.
    Residential Dwelling--This term means either:
    (1) A single-family dwelling, including attached structures, such 
as porches and stoops; or
    (2) A single-family dwelling unit in a structure that contains more 
than one separate residential dwelling unit and in which each unit is, 
or is intended to be used or occupied, in whole or in part, as the home 
or residence of one or more persons.
    Risk Assessment--An on-site investigation of a residential dwelling 
to discover any lead-based paint hazards. Risk assessments include an 
investigation of the age, history, management, maintenance of the 
dwelling, and the number of children under age 6 and women of child-
bearing age who are residents; a visual assessment; limited 
environmental sampling (i.e., collection of dust wipe samples, soil 
samples, and deteriorated paint samples); and preparation of a report 
identifying acceptable abatement and interim control strategies based 
on specific conditions.
    State Certification Program--(see Appendix E of this NOFA--Elements 
of a State Certification Program)
    Substrate--A surface on which paint, varnish, or other coating has 
been applied or may be applied. Examples of substrates include wood, 
plaster, metal, and drywall.

[[Page 24411]]

    Target Housing--Any residential unit constructed before 1978, 
except dwellings for the elderly or persons with disabilities (unless 
any child who is less than 6 years of age resides or is expected to 
reside in such housing for the elderly or persons with disabilities) or 
any 0-bedroom dwelling.
    Testing--The measurement of lead in painted surfaces by Federal- or 
State-certified personnel using a portable X-ray fluorescence analyzer 
(XRF) operated in accordance with its manufacturer's operating 
instructions and its Performance Characteristics Sheet (PCS), 
laboratory analysis by an accredited laboratory of paint samples, or 
other method(s) approved by HUD.
    Title X--The Residential Lead-Based Hazard Reduction Act of 1992 
(Title X of the Housing and Community Development Act of 1992, Pub. L. 
102-550, approved October 28, 1992).
    Trained Worker--For lead hazard control work, a worker who has 
successfully met all the requirements of a Federal or State-accredited 
lead-based paint training course in a particular discipline which 
meets, at a minimum, the requirements found in Appendix E of this NOFA.
    g (or ug)--Micrograms. The prefix micro means 1/1,000,000 
(or one-millionth); a microgram is 1/1,000,000 of a gram and 1/1,000 of 
a milligram; equal to about 35/1,000,000,000 (35 billionths) of an 
ounce (an ounce is equal to 28,400,000 g).
    Wipe Sampling for Settled Lead-Contaminated Dust--The collection of 
settled dust samples from surfaces to measure for the presence of lead. 
Samples must be analyzed by an accredited laboratory. For clearance 
purposes, settled dust sampling shall be performed in accordance with 
the HUD Guidelines. Surfaces sampled must meet the current HUD 
standards for clearance. All surfaces shall have no more than the 
maximum allowable standards. (See ``Clearance Testing and 
Examination''.)
    XRF Analyzer--An instrument that determines lead area concentration 
in painted surfaces in units of milligrams per square centimeter (mg/
cm\2\) using the principle of x-ray fluorescence (XRF). For purposes of 
the grant program, and as used in the Guidelines, the term XRF analyzer 
only refers to portable instruments manufactured to analyze paint, and 
does not refer to laboratory-grade units or portable instruments 
designed to analyze soil or dust. XRF analyzers are to be operated in 
accordance with their manufacturer's operating instructions and their 
Performance Characteristics Sheet (PCS).

Section 3. Purpose and Description

Section 3.1  Purpose and Authority
    Hazard-control grants are to assist State and local governments in 
undertaking programs for the identification and control of lead-based 
paint hazards in eligible housing units for rental occupants and owner 
occupants. (Appendix D of this NOFA lists HUD-associated housing 
programs that may have dwellings that meet the definition of eligible 
housing.) Approximately fifty million dollars ($50 million) is being 
made available to fund approximately 10-12 Category A grants of $1 
million to $6 million each to assist State and local governments in 
undertaking lead-based paint hazard control in eligible housing. A 
maximum of 20 percent of the funds under Category A of this NOFA shall 
be available to previous Lead-Based Paint Hazard Control grantees. This 
limitation is imposed to build capacity in those areas where no 
previous grant supported work has been done, but still retain the 
Department's ability to target some funds to areas of greatest need. 
Approximately four million dollars ($4 million) will be available to 
fund a maximum of eight (8) Category B grants of $500,000 to $2 million 
each. Funds available under Category B are intended to promote 
coordination between Superfund and the HUD Lead-Based Paint Hazard 
Control Grant Program, to maximize the benefits provided under each 
program, and to involve the private sector. These funds are to be used 
to control lead-based paint hazards at Superfund sites where Superfund 
dollars will be spent to control lead-contaminated soil, and probably 
housing exteriors, and HUD grant dollars will be used to control lead-
based paint hazards in eligible housing units.
    Proposals may be submitted under both categories of assistance. The 
amounts constitute the total request for the duration of the project. 
Grants are authorized under section 1011 (a)-(f) of Title X.
    The purposes of this program include:
    (a) Implementation of a national strategy, as defined in Title X, 
to build the infrastructure necessary to eliminate lead-based paint 
hazards in all housing, as widely and expeditiously as possible;
    (b) Encouragement of effective action to prevent childhood lead 
poisoning by establishing a workable framework for lead-based paint 
hazard identification and control;
    (c) Mobilization of public and private resources, involving 
cooperation among all levels of government and the private sector, to 
develop the most promising, cost-effective methods for identifying and 
controlling lead-based paint hazards; and
    (d) To the greatest extent feasible, promoting job training, 
employment, and other economic lift opportunities for low-income 
residents and businesses which are owned by and/or employ low-income 
residents as defined in 24 CFR 135.5 (See 59 FR 33881, June 30, 1994).
Section 3.2  Background
    Lead is a powerful toxicant that attacks the central nervous system 
and is particularly damaging to the neurological development of young 
children. Pregnant women can transfer lead through the placenta to the 
fetus. Lead-based paint (LBP) is one of the major sources of lead in 
the environment. In addition to paint, lead may be found in dust, soil, 
drinking water, food, emissions from leaded gasoline combustion, and 
industrial emissions. Human exposure to lead is found by measuring 
blood samples for the presence of lead.
    Based upon additional analysis in 1995 of the data generated from 
the national housing survey conducted for HUD (Report on the National 
Survey of Lead-Based Paint in Housing, June 1995.), of all occupied 
housing units built before Congress banned the use of lead-based paint 
in 1978, approximately 83 percent or 64.4 million housing units are 
estimated to have lead-based paint somewhere on the exterior or 
interior of the building. Approximately 90 percent of the dwellings 
built prior to 1960 have lead-based paint. Older dwellings are more 
likely to have higher concentrations of lead on painted surfaces and 
greater surface area coverage. Although intact lead-based paint poses 
little immediate risk to occupants, non-intact paint which is chipping, 
peeling, or otherwise deteriorating may present an immediate risk to 
occupants. Therefore, of particular concern are the 14.4 million 
housing units that contain deteriorated lead-based paint and/or lead-
contaminated dust and the 3.3 million units that are occupied by young 
children. Approximately half of these units are occupied by families 
with incomes lower than the national median.
    HUD has been actively engaged in a number of activities relating to 
lead-based paint as a result of the Lead-Based Paint Poisoning 
Prevention Act (LBPPPA), 1971, as amended, 42 U.S.C. 4801-4846. Title X 
provides major initiatives and more detailed requirements for this 
NOFA. (Appendix A of this NOFA identifies relevant

[[Page 24412]]

Federal regulations and guidelines referred to in this NOFA.)
    In June 1995, HUD published Guidelines for the Evaluation and 
Control of Lead-Based Paint in Housing (Guidelines) (See Appendix A of 
this NOFA). These Guidelines provide detailed, comprehensive, technical 
information on how to identify lead-based paint hazards in housing and 
how to control such hazards safely and efficiently. These Guidelines 
replace the Interim Guidelines developed in 1990.
    In July 1995, the Task Force on Lead-Based Paint Hazard Reduction 
and Financing, which was established pursuant to Section 1015 of Title 
X, presented its final report to HUD and the Environmental Protection 
Agency (EPA). The Task Force Report, entitled Putting the Pieces 
Together: Controlling Lead Hazards in the Nation's Housing, (See 
Appendix A of this NOFA) recommended a number of actions which are 
needed to develop comprehensive, health-protective, cost-effective, and 
feasible approaches to solving the most significant environmental 
health hazard facing America's children. In dealing with the estimated 
64.4 million housing units with lead-based paint, the Task Force, using 
the Title X framework for redefining the problem, moved beyond the mere 
presence of lead-based paint and focused on the conditions that can 
expose a child to lead hazards--deteriorating lead-based paint, lead-
contaminated dust and bare lead-contaminated soil. The Task Force 
recommendations therefore focus on addressing lead hazards in the 
approximately 15 million housing units estimated to contain lead 
hazards, and preventing new lead hazards in the balance of the housing 
stock. This NOFA incorporates many of the recommendations outlined in 
the Task Force Report.
    The Environmental Protection Agency (EPA), with assistance from HUD 
and the Centers for Disease Control and Prevention (CDC), operates the 
National Lead Information Center which includes an automated consumer 
information Hotline 1-800-LEADFYI (1-800-532-3394) and a Clearinghouse 
for lead-based paint resources and assistance 1-800-424-LEAD (1-800-
424-5323).
    In the Federal Register of September 2, 1994, the EPA published the 
proposed rule pursuant to sections 402 and 404 of the Toxic Substances 
Control Act (TSCA), as amended by Title X (see 40 CFR Part 745 Lead; 
Requirements for Lead-Based Paint Activities) for training and 
certification requirements for lead-based paint contractors, 
inspectors, risk assessors, designers and workers; and its requirements 
for a model state program. Until the proposed rule is final, and State 
Lead-Based Paint Contractor Certification and Accreditation Programs 
are authorized by EPA, State programs should be at least as protective 
as outlined in Appendix E of this NOFA. State Lead-Based Paint 
Contractor Certification and Accreditation Programs meeting the 
requirements under Appendix E of this NOFA are considered acceptable to 
HUD and EPA for purposes of the grant programs announced in this NOFA.
Section 3.2.1  Previous Lead-Based Paint Hazard Control Grant Awards
    This NOFA is for a fourth round of grants. In Fiscal Years 1992, 
1993, and 1994, HUD conducted competitions and approved a total of 64 
Lead-Based Paint Hazard Control grants to 56 grantees for approximately 
$279 million dollars. There was no competition in FY 1995.
Section 3.3  Allocation Amounts
    (a) Amounts. Approximately $50 million will be made available for 
the Category A grant program from the appropriations made for the lead-
based paint hazard reduction program in the Omnibus Consolidated 
Rescissions and Appropriations Act of 1996 (Pub. L. 104-134, 110 Stat. 
1321, approved April 26, 1996).
    (b) Residual Funds. In the selection process, once available funds 
have been allocated to meet the full requested and/or negotiated 
amounts of the top eligible applicants, HUD reserves the right, in 
successive order, to offer any residual amount as partial funding to 
the next eligible applicant. Such applicant(s) shall have not more than 
7 calendar days to accept, or to decline and reapply in a future round, 
provided HUD, in its sole judgment, is satisfied that the residual 
amount is sufficient to support a viable, though reduced effort, by 
such applicant(s).
    (c) Goals. Because lead-based paint is a national problem, these 
funds are awarded in a manner that:
     Maximizes the number of housing units in which lead-hazard 
control occurs;
     Stimulates cost-effective State and local approaches that 
can be replicated in as many settings as possible;
     Disperses the grants as widely as possible across the 
nation; and
     Builds local capacity.
    HUD expects to award approximately 10-12 Category A grants of $1 
million to $6 million each on a cost-reimbursable basis.
Section 3.4  Eligibility
    Title X specifies the following eligibility requirements for grants 
to identify and control lead-based paint hazards in housing:
    (a) Eligible Applicants. A State or unit of local government that 
has a currently approved Comprehensive Housing Affordability Strategy 
(CHAS) under section 105 (42 U.S.C. 12705) of the Cranston-Gonzalez 
National Affordable Housing Act (NAHA) or a currently approved 
Consolidated Plan is eligible to apply for a grant. However, applicants 
are advised that in selecting grantees under this NOFA, the Secretary 
or his designee is unlikely to select applicants that were previously 
funded under the FY 1994 NOFA (Round Three), issued April 21, 1994 (59 
FR 19080). A maximum of 20 percent of the funds under Category A of 
this NOFA shall be available to previous Lead-Based Paint Hazard 
Control grantees. This selection decision will be pursuant to the 
Secretary's authority to ensure geographic distribution and to ensure 
that available funds are used effectively to promote the purposes of 
Title X. (See Section 4.3, Rating Factors, for additional discussion of 
this consideration for selection.)
    (b) Certified Performers. Funds shall be available only for 
projects conducted by contractors, risk assessors, inspectors, workers 
and others engaged in lead-based paint activities who meet the 
requirements of a State Lead-Based Paint Contractor Certification and 
Accreditation Program that is at least as protective as the Federal 
certification program standards outlined in Appendix E to this NOFA or 
which meets the requirements of a State program authorized by EPA under 
the requirements of Section 404 of the Toxic Substances Control Act 
(TSCA).
    (c) Eligible Activities. The following direct and support 
activities are eligible under this grant program:
    (1) Direct Project Elements (whether activities of the grantee or 
sub-grantees or other sub-recipients):
     Performing risk assessments, inspections and testing of 
eligible housing constructed prior to 1978 to determine the presence of 
lead-based paint, lead dust, or leaded soil through the use of 
acceptable testing procedures.
     Conducting Lead Hazard Control which may include any 
combination of the following:
     Interim control of lead-based paint hazards in housing;
     Hazard abatement for programs that apply a differentiated 
set of resources to each unit, dependent upon conditions of the unit 
and the extent of hazards; and

[[Page 24413]]

     Complete abatement of lead-based paint and lead-based 
paint hazards, including soil and dust, by means of removal, enclosure, 
encapsulation, or replacement methods.
    (HUD encourages local innovation in performing work under this 
grant.)
     Carrying out temporary relocation of families and 
individuals during the period in which hazard control is conducted and 
until the time the affected unit receives clearance for reoccupancy.
     Conducting pre-hazard control blood lead testing of 
children under the age of six residing in units undergoing risk 
assessment, inspection or hazard control.
     Performing blood lead testing and air sampling to protect 
the health of the hazard-control workers, supervisors, and contractors.
     Undertaking other housing rehabilitation activities under 
this program that are specifically required to carry out effective 
hazard control, and without which, the hazard control could not be 
effected. Grant funds from this program may also be used for the lead-
based paint hazard-control component in conjunction with other housing 
rehabilitation programs.
     Conducting pre- and post-hazard control dust-wipe testing 
and analysis.
     Carrying out engineering and architectural costs that are 
necessary to, and in direct support of, lead hazard control.
     Conducting general or targeted community awareness or 
education programs on lead hazard control and lead poisoning 
prevention.
     Securing liability insurance for lead-hazard control 
activities.
     Supporting data collection, analysis, and evaluation of 
grant program activities. This direct project activity includes 
compiling and delivering such data as may be required by HUD. For 
estimating purposes, an applicant should consider devoting 3 percent of 
the total grant sum for this purpose (This 3 percent does not include 
the blood lead and environmental testing costs.) Note that this 
activity is not included in administrative costs, for which there is a 
separate 10 percent limit.
     Preparing a final report at the conclusion of grant 
activities.
    (2) Support Elements:
     Administrative costs of the grantee (maximum of 10 
percent; (see Appendix B of this NOFA for definition).
     Program planning and management costs of sub-grantees and 
other sub-recipients.
    (d) Ineligible Activities. Grant funds shall not be used:
    (1) To purchase real property.
    (2) To purchase capital equipment having a per unit cost in excess 
of $5,000, except for XRF analyzers. If purchased, capital equipment 
and the XRF analyzers shall remain the property of the grantee at the 
conclusion of the project. Funds may be used, however, to lease 
equipment specifically for the Lead-Based Paint Hazard Control Grant 
Program. If leased equipment, other than XRF analyzers, becomes the 
property of the grantee as the result of a lease arrangement, the 
leased equipment becomes the property of the grantee at the end of the 
grant period; and
    (3) For chelation or other medical treatment costs related to 
children with elevated blood lead levels. Non-Federal funds used to 
cover these costs may be counted as part of the required matching 
contribution.
Section 3.5  Limitations on the use of Assistance.
    (a) Pursuant to the Coastal Barrier Resources Act (16 U.S.C. 3501), 
grant funds may not be used for properties located in the Coastal 
Barrier Resources System.
    (b) Under the Flood Disaster Protection Act of 1973 (42 U.S.C. 
4001-4128), grant funds may not be used for construction, 
reconstruction, repair or improvement or lead-based paint hazard 
control of a building or mobile home which is located in an area 
identified by the Federal Emergency Management Agency (FEMA) as having 
special flood hazards unless:
    (1) The community in which the area is situated is participating in 
the National Flood Insurance Program in accordance with the applicable 
regulations (44 CFR parts 59-79), or less than a year has passed since 
FEMA notification regarding these hazards; and
    (2) Flood insurance on the property is obtained in accordance with 
section 102(a) of the Flood Disaster Protection Act (42 U.S.C. 
4012a(a)). Applicants are responsible for assuring that flood insurance 
is obtained and maintained for the appropriate amount and term.
    (c) The National Historic Preservation Act of 1966 (16 U.S.C. 470) 
(NHPA) and the regulations at 36 CFR part 800 apply to the lead-based 
paint hazard control activities that are undertaken pursuant to this 
NOFA. HUD and the Advisory Council for Historic Preservation have 
developed an optional Model Agreement for use by grantees and State 
Historic Preservation Officers in carrying out activities under this 
NOFA. (See Section 3.6, Environmental Review and Section 8, Other 
Matters, in this NOFA.)
    (d) The applicant shall comply with the requirements of the Uniform 
Relocation Assistance and Real Property Acquisition Policies Act of 
1970 (URA) (42 U.S.C. 4201-4655). These policies are described in HUD 
Handbook 1378, Tenant Assistance, Relocation and Real Property 
Acquisition. No displacement (a permanent, involuntary move) is 
anticipated. However, to preclude avoidable claims for relocation 
assistance, all occupants (owner and tenants) shall, as soon as 
feasible, be notified in writing that they will not be displaced by the 
lead-based paint hazard-control program. In most cases, tenants and 
owner-occupants will be required to relocate temporarily to permit 
lead-based paint hazard-control activities to be carried out. All 
conditions of the temporary relocation must be reasonable. The policy 
regarding temporary relocation costs for owner-occupants who elect to 
participate in hazard-control is a matter of grantee discretion. With 
respect to tenants who will be required to relocate temporarily, at a 
minimum the tenant shall be provided:
    (1) Reimbursement for all reasonable out-of-pocket expenses 
incurred in connection with the temporary relocation, including the 
cost of moving to and from the temporarily occupied housing and any 
increase in monthly rent/utility costs at that housing; and
    (2) Appropriate advisory services, including reasonable advance 
written notice of the date and approximate duration of the temporary 
relocation; the address of the suitable, decent, safe, and sanitary 
dwelling to be made available for the temporary period; the 
reimbursement provisions of paragraph (e) of this section; and 
information on a resident's rights under the Fair Housing Act.
    (e) Abatement waste disposal will be handled according to the 
requirements of the appropriate State or Federal regulatory agency. 
(See HUD Guidelines for the disposal of hazard control waste that 
contains lead-based paint but is not classified as hazardous.)
    (f) The applicant shall observe the procedures for worker 
protection established in the HUD Guidelines, as well as the 
requirements of the Occupational Safety and Health Administration 
(OSHA) (29 CFR 1926.62--Lead Exposure in Construction) (See Appendix A 
of this NOFA). If other OSHA requirements published prior to the start 
of actual abatement included as part of lead hazard control work at any 
individual project site are more stringent than the

[[Page 24414]]

Guidelines, those more stringent OSHA standards shall govern.
    (g) Lead hazard control methods that will not be allowed are: open-
flame burning, dry scraping (except immediately around electrical 
circuits and plumbing fixtures), uncontrolled abrasive blasting, 
machine sanding without HEPA attachments or use of chemicals containing 
methylene chloride. The applicant is cautioned that methods that 
generate high levels of lead dust, such as abrasive sanding, shall be 
undertaken only with requisite worker protection, containment of dust 
and debris, suitable clean-up, and clearance.
Section 3.6  Environmental Review
    In accordance with the Multifamily Housing Property Disposition 
Reform Act of 1994, HUD regulations in 24 CFR Part 58 provide that 
recipients of lead-based paint hazard control grants will assume 
Federal environmental review responsibilities. Recipients of a grant 
under this NOFA will be given guidance in carrying out these 
responsibilities.
Section 3.7  Objectives and Requirements
    (a) Generally. Grantees will be afforded considerable latitude in 
designing and implementing the methods of lead-based paint hazard 
control to be employed in their jurisdictions. HUD is interested in 
promoting lead hazard control approaches that result in the reduction 
of this health threat for the maximum number of low-income residents, 
and that demonstrate replicable techniques that are cost-effective and 
efficient. Flexibility will be allowed within the parameters 
established below. It is critical that written policies and procedures 
for all phases of lead hazard control, including risk assessment, 
inspection, pre-hazard control blood lead testing, financing, 
relocation and clearance testing be clearly established in writing and 
adhered to by all applicants, subcontractors, sub-grantees, sub-
recipients, and their contractors. The Department has found that the 
establishment of written procedures clearly assigning duties to 
participating agencies and individuals helps to protect children, 
families, and workers during lead hazard control work.
    Proposed methods requiring a variance from the standards or 
procedures cited below will be considered on their merits in a separate 
HUD review and approval process after the grant award is made and a 
specific justification has been presented. If a grant application is 
dependent on a variation from the procedures cited below, but otherwise 
is of award quality, it will be made as a conditional grant, subject to 
approval of the request for variation. When such a request is made, 
either in the application or during the planning phase, HUD intends to 
consult with experts from both the public and private sector as part of 
its final determinations and will document its findings in an 
environmental impact assessment. Approval of any proposed modifications 
will not involve a lowering of standards that would have a potential to 
adversely affect the health of residents, contractors or workers.
    (b) Data collection. Grantees will be required to collect the data 
necessary to document the various lead hazard control methods employed 
in order to determine the relative cost and effectiveness of these 
methods in reducing or eliminating lead-based paint hazards. Pre- and 
post-lead hazard control environmental dust-wipe sampling is a 
requirement.
    (c) Lead Hazard Control Testing--Schedule. In developing the 
application cost proposal, applicants shall include costs for the pre- 
and post-hazard control testing for each dwelling that will undergo 
either a lead-based paint risk assessment and/or inspection and hazard 
control according to HUD Guidelines, as follows:
    (1) XRF on-site (or supplementary laboratory) testing: Conducted 
according to HUD Guidelines. Pretest every room or area in each 
dwelling unit planned for hazard control, using each XRF analyzer in 
accordance with its manufacturer's operating instructions and its 
Performance Characteristics Sheet (PCS);
    (2) Blood lead testing: Before lead hazard control work begins, the 
testing of each occupant who is a child under six years old according 
to the recommendations contained in Preventing Lead Poisoning in Young 
Children, 1991 Centers for Disease Control and Prevention (CDC). (See 
Appendix A of this NOFA.)
    (3) Dust testing: Conducted according to the HUD Guidelines.
    (A) Pretest before lead hazard control work begins;
    (B) Clearance testing before reoccupying a unit or area; and
    (C) Test at 12-months after the unit is reoccupied.
    (d) Testing--guidance. (1) Generally. All testing and sampling 
shall conform to the HUD Guidelines. Note that it is particularly 
important to provide this full cycle of testing for hazard control, 
including interim controls, even though the testing itself may become a 
substantial part of the cost per unit.
    (2) Required Thresholds for Hazard control. While the Department's 
Guidelines (see Appendix A of this NOFA) employ two hazard-control 
thresholds, one milligram per square centimeter (1.0 mg/cm\2\) or 0.5 
percent by weight, applicants may utilize other thresholds, provided 
that the alternative threshold is justified adequately and is accepted 
by HUD. The justification must state why the applicant believes the 
proposed threshold will provide satisfactory health protection for 
occupants, and must discuss cost savings and benefits expected to 
result from using the proposed approach.
    (3) Surfaces which require lead hazard control. HUD's Guidelines 
identify hazards considered to be of greatest immediate concern to 
young children and which require hazard control to be undertaken. 
Children are most frequently exposed to the following hazards: Lead-
contaminated dust, deteriorated lead-based paint; and bare, accessible 
lead contaminated soil. Friction, chewable, and impact surfaces with 
intact lead-based paint are also of concern, but do not necessarily 
need to be treated, depending on dust testing results. Friction 
surfaces are subject to abrasion and may generate lead-contaminated 
dust in the dwelling; chewable surfaces are protruding surfaces that 
are easily chewed on by young children; and impact surfaces may become 
deteriorated through forceful contact. The applicant may choose to 
treat fewer surfaces or apply other hazard control techniques, provided 
that an adequate rationale, including periodic monitoring, is presented 
to and accepted by HUD. The rationale must state why the applicant 
believes the proposed approach will provide satisfactory health 
protection for occupants and at the same time, provide cost savings or 
other benefits.
    (4) Grantees shall be required to meet the post-hazard control 
wipe-test clearance thresholds contained in the HUD Guidelines (See 
Appendix A of this NOFA). Wipe tests shall be conducted by a certified 
inspector who is independent of the lead hazard control contractor. 
Dust-wipe samples must be analyzed by an accredited laboratory (see 
Definitions). Units shall not be reoccupied until clearance levels are 
achieved.

Section 4. Grant Application Process for Category A

Section 4.1  Submitting Applications for Grants
    To be considered for Category A funding, an original and two copies 
of the application must be physically

[[Page 24415]]

received in the Office of Lead-Based Paint Abatement and Poisoning 
Prevention (OLBPAPP), Department of Housing and Urban Development, Room 
B-133, 451 Seventh Street SW., Washington, D.C. 20410, no later than 
3:00 P.M. (Eastern Time) on July 30, 1996. Electronic (FAX or 
equivalent) transmittal of the application is not an acceptable 
transmittal mode.
    Separate proposals may be submitted by a jurisdiction for each 
category of assistance.
    For Category A, the application must have clearly numbered pages, a 
complete table of contents and appendices. The applicant narrative 
response to the Rating Factors is limited to a maximum of 25 pages. 
Responses must be typewritten on one (1) side only on 8\1/2\'' x 11'' 
paper using a 12-point font.
    The above-stated application deadline is firm as to date and hour. 
In the interest of fairness to all competing applicants, the Department 
will treat as ineligible for consideration any application that is 
received after the deadline. Applicants should take this factor into 
account and make early submission of their materials to avoid any risk 
of loss of eligibility brought about by unanticipated delays, equipment 
breakdown, or delivery-related problems.
    HUD will review each application to determine whether it meets all 
of the threshold criteria established for Category A under Section 4.2 
of this NOFA. Nonresponsive applications will be declared ineligible 
for further consideration. Applications that meet all of the threshold 
criteria will be eligible to be scored and ranked, based on the total 
number of points allocated for each of the rating factors for Category 
A in Section 4.3 of this NOFA.
    HUD intends to fund the highest ranked applications within the 
limits of funding availability, but reserves the right to advance other 
eligible applicants in funding rank, if necessary, to assure geographic 
diversity, to promote the purposes of Title X, to broaden the range of 
hazard control alternatives to be tested, or to enhance data 
reliability.
Section 4.2  Threshold Requirements for Category A Grants
    (a) Purpose. The application must be for funds to identify and 
control lead hazards in eligible housing (see Appendix D of this NOFA 
for program-by-program listing of eligible HUD-associated housing 
programs).
    (b) Eligible Applicants. An applicant must be a State or unit of 
local government that has a currently approved Comprehensive Housing 
Affordability Strategy (CHAS) or a currently approved Consolidated 
Plan. Applicants under this NOFA are permitted to submit documentation 
that HUD approved their current program year CHAS or Consolidated Plan. 
Applicants are to submit, as an appendix, a copy of the lead-based 
paint element included in the approved CHAS or Consolidated Plan. 
Applicants that do not have a currently approved CHAS or Consolidated 
Plan, but are otherwise eligible for this grant program, must include 
their abbreviated Consolidated Plan which includes a lead-based paint 
hazard control strategy developed and submitted in accordance with 24 
CFR 91.235.
    (c) Matching Contribution. Each applicant shall provide a matching 
contribution of at least 10 percent of the requested grant sum. This 
may be in the form of a cash or in-kind contribution or a combination 
of both.
    (d) Contractor Certification Program Requirement. Each applicant 
must carry out its hazard control program under an operational State 
program that is at least as protective as the training and 
certification program requirements cited in Appendix E of this NOFA. 
Applicants should indicate which of the following situations, (1) or 
(2) applies with respect to contractor certification.
    (1) A State applicant shall furnish copies of the existing 
statutes, regulations or other appropriate documentation regarding the 
State's Lead-Based Paint Contractor Certification and Accreditation 
Program which meet the standards set forth in (d) above.
    (2) Other applicants may be approved for a conditional grant with 
funding subject to the following provisions:
    (A) A State applicant which has existing legislation acceptable to 
HUD, but which has not implemented an acceptable lead-based paint 
contractor certification program, shall furnish at the time of the 
application, written assurances from the Governor that an acceptable 
certification program will be implemented within 1 year from the date 
of the application deadline date and that the designated agency 
implementing the certification program shall offer training sessions 
leading to certification within six (6) months of the effective date of 
implementing regulations. If legislative approval of proposed 
regulations is also required, a similar written assurance must be 
provided by the chairs of committees having jurisdiction.
    With the exception of costs incurred for planning purposes, HUD 
will not release any funds for the lead hazard control phase of the 
grant program until the State has implemented an acceptable lead-based 
paint contractor certification and accreditation program and has 
submitted and secured HUD approval of the grantee Request for Release 
of Funds (HUD Form 7015.15) which certifies that the grantee has 
fulfilled the environmental review requirements of the grant.
    (B) Local government applicants in States which have not 
implemented an acceptable contractor certification program must provide 
assurances that only certified contractors and trained workers from 
other State certification programs acceptable to HUD will be used in 
conducting lead hazard control work.
    Applicants are advised that if the commitment to implement a 
certification/training program or use certified contractors is not 
fulfilled within the stated time, the conditional grant agreement may 
be immediately terminated.
    (e) Continued Availability of Lead Safe Housing to Low-Income 
Families. Units in which lead hazards have been controlled under this 
program shall be occupied by and/or continue to be available to low-
income residents as required by the statute (see Appendix C of this 
NOFA). Grantees are encouraged to maintain a listing of units in which 
lead hazards have been controlled for distribution and marketing to 
agencies and families as suitable housing for children under six.
    (f) Cooperation With Related Research and Evaluation. Applicants 
shall cooperate fully with any research or evaluation sponsored by HUD 
and associated with this grant program, including preservation of the 
data and records of the project and compiling requested information in 
formats provided by the researchers, evaluators or HUD. This 
cooperation may also include the compiling of certain relevant local 
demographic, dwelling unit, and participant data not contemplated in 
the applicant's original proposal. Participant data shall be subject to 
Privacy Act protection. For estimating purposes, an applicant shall 
devote three percent of the total grant sum for data collection and 
evaluation purposes, as discussed in Section 3.4, Eligibility, of this 
NOFA.
Section 4.3  Rating Factors
    HUD will use the following technical and financial criteria to rate 
and rank applications received in response to Category A of this NOFA. 
The Request for Grant Applications (RFGA) will provide guidance in 
responding to all the Rating Factors. The technical quality

[[Page 24416]]

of an application will be rated, and then the strength, quality, and 
completeness of the financial and resources plan will be used to assess 
the likelihood that the technical plan can be carried out using the 
available resources. The maximum score possible under the rating 
factors is 100 points.
    Applicants are advised, however, that in selecting grantees under 
this NOFA, the Secretary or his designee is unlikely to select 
applicants who were previously funded under the FY 1994 NOFA (Round 
Three), issued April 21, 1994 (59 FR 19080). A maximum of 20 percent of 
the funds under Category A of this NOFA shall be available to previous 
Lead-Based Paint Hazard Control grantees. This selection prerogative 
will be exercised under the Secretary's authority to ensure that 
available funds are used effectively and to promote the purposes of 
Title X. See section 1011(d)(5) of Title X (42 U.S.C. 4852(d)(5)).
    (a) Need. (10 Points)-- The scope and magnitude of the applicant's 
current lead-based paint problem for which grant program funds can be 
expected to have an impact. The applicant should document its unmet 
need for assistance. Examples should be the number and proportion of 
children with elevated blood lead levels; the number and proportion of 
housing units with deteriorating interior or exterior lead-based paint, 
lead-contaminated dust or bare lead-contaminated soil. The applicant 
should include:
    (1) A description of the applicant's current level of effort to 
deal with lead hazards in housing and lead-related health problems; and
    (2) Provide and/or summarize any available data from these previous 
efforts.
    It is desirable to include:
    (1) The age and condition of housing;
    (2) The number and percentage of low income families whose incomes 
do not exceed 80 percent of the median income for the area as 
determined by HUD, with adjustments for smaller and larger families;
    (3) The number and proportion of children at risk of lead 
poisoning; and
    (4) Other socioeconomic or environmental factors that document a 
need to establish or continue lead hazard control work in the 
applicant's jurisdiction.
    (These data may be available in the applicant jurisdiction's 
currently approved CHAS or Consolidated Plan, or derived from 1990 
Census Data)
    (b) Work Plan and Budget (50 points)--The quality and cost-
effectiveness of the applicant's proposed lead-based paint hazard 
control program. The work plan and budget should include the following 
elements:
    (1) Program Management (10 points)--A description of the way in 
which the project will be carried out during the period of performance 
(up to 36 months), including the participation of sub-grantees, 
contractors, sub-recipients, and others assisting in implementing the 
project. Specific, time phased and measurable objectives should be 
identified and described for carrying out the program plan.
    (2) Lead Hazard Control Strategy (35 Points)--
     The total number of owner occupied and rental units in 
which lead hazard control interventions will be undertaken.
     The degree to which the work plan focuses on eligible 
housing units with children under the age of 6 years. Description of 
the planned approach to control lead hazards before children are 
poisoned and/or to control lead hazards in units where children have 
already been identified with an elevated blood lead level, including 
the referral of children with elevated blood lead levels for medical 
case management.
     The degree to which lead hazard control work will be done 
in conjunction with other housing rehabilitation, weatherization, code 
violation or other work.
     The process for the selection, prioritization, risk 
assessment and/or inspection, and enrollment of units of eligible 
housing in which lead hazard control will be undertaken. (Housing 
having a risk assessment or inspection performed in accordance with the 
HUD Guidelines within 12 months of a grant award and identified with 
lead-based paint may be included in the already inspected inventory.)
     The testing methods, schedule, and costs for performing 
blood lead testing, risk assessments and/or inspections. (Identify the 
lead-based paint threshold for undertaking lead hazard control--e.g. 
0.5 percent, 1.0 mg/cm2 or other threshold established by statute, 
regulation or local ordinance.)
     The lead hazard control methods to be undertaken and the 
number of units for each method (Interim Controls, hazard abatement, 
and complete abatement). Provide an estimate of the per unit costs for 
lead hazard control and the time frames to initiate and complete lead 
hazard control work in units selected. Efforts to incorporate cost-
effective recommendations of the HUD Task Force Report: Putting the 
Pieces Together: Controlling Lead Hazards in the Nation's Housing (see 
Appendix A of this NOFA) should be included.
     A description of the financing mechanism to be employed in 
carrying out lead hazard control activities and the way in which these 
funds will be administered (e.g. use of grants, deferred loans, 
forgivable loans, other resources, private sector financing, etc.).
     The applicant's plan for temporary relocation of occupants 
of units selected for lead hazard control work. (Use of safe houses and 
other housing arrangements, storage of household goods, stipends, 
incentives, etc.)
     Proposed community awareness, education and outreach 
programs in support of the applicant's work plan and objectives. 
General and/or targeted efforts undertaken to assist the program in 
reducing lead poisoning. To the extent possible, programs should be 
culturally sensitive, developmentally appropriate, and linguistically 
specific.
    (3) Program Evaluation and Data Collection (5 points)--The 
applicant must identify the specific methods to be used to measure 
progress and evaluate the program's effectiveness. The applicant should 
describe how the information will be obtained, documented and reported.
    (4) Budget (Not Scored)--The applicant's proposed budget (for the 
maximum 36-month period of performance) will be evaluated for the 
extent to which it is reasonable, clearly justified, and consistent 
with the intended use of grant funds. HUD is not required to approve or 
fund all proposed activities. Applicants may devote up to 24 months for 
the planning and completion of lead hazard control activities and up to 
an additional 12 months for post-hazard control testing.
     All budget categories and costs (Part B of Standard Form 
424A) and major tasks should be thoroughly documented and justified. 
Describe in detail the budgeted costs for each program element included 
in the overall plan (administrative costs, program management, lead 
hazard control strategy, community awareness, education and outreach, 
and program evaluation and data collection).
    (c) Community and Private Sector Participation (20 points)--The 
extent to which the applicant has enlisted the broad participation of 
neighborhood, community, governmental and nongovernmental organizations 
and the private sector in the hazard control program through specific 
commitments of time, effort, and resources. In implementing a lead-
based paint hazard control program, substantial efforts must be made to 
collaborate and coordinate activities with other housing, health and 
environmental agencies and organizations in the applicant's

[[Page 24417]]

jurisdiction. Efforts to promote the formation of broad-based lead task 
forces, to expand public and private cooperation and coordination in 
the provision of lead hazard control program services, and to address 
environmental justice issues should be described. (10 points)
    To the greatest extent feasible, the applicant should promote job 
training, employment, and other economic lift opportunities for target 
area low-income residents and businesses in the hazard control program. 
(10 points)
    Evidence of commitments should include organization names, their 
proposed levels of effort, resources and responsibilities of these 
participants, including clearly proposed plans for the employment of 
low-income residents. The absence of commitments, memoranda of 
understanding or agreements, and letters of participation or discussion 
of levels of effort and responsibility will result in a reduced rating 
under this factor.
    (d) Applicant Capacity and Commitment to Hazard Control (15 
points)--The capacity of the applicant to initiate and carry out the 
lead-based paint testing and hazard-control program successfully within 
the period of performance established.
     Describe the applicant's administrative organization, 
including staff who will be responsible for carrying out the 
responsibilities of the program. (As an appendix, the applicant should 
include a clearly identified organizational chart, as well as resumes, 
position descriptions, and vacancy announcements, including salaries of 
key personnel identified to carry out the requirements of this grant 
program.) Indicate for key personnel, the percentage of time to be 
devoted to the project and any portion of salary to be paid by the 
grant. A full-time day-to-day program manager is recommended. Describe 
how other principal components of the applicant agency or other 
organizations will participate in or otherwise support the grant 
program. (5 points)
     Describe the knowledge and experience of the overall 
proposed project director and day-to-day program manager in planning 
and managing large and complex interdisciplinary programs, especially 
involving housing rehabilitation, public health, or environmental 
programs. The percentage of time devoted to the project as well as the 
knowledge and experience of the project director and day-to-day program 
manager are significant factors to be considered. (5 points)
     The institutional capacity of the applicant, as 
demonstrated by prior experience in initiating and implementing lead 
hazard control efforts and/or related environmental, health, or housing 
projects should be thoroughly described. The applicant should indicate 
how this prior experience will be used in carrying out its planned 
comprehensive Lead-Based Paint Hazard Control Grant Program. (2 points)
     At a minimum, the applicant shall provide a matching 
contribution of at least 10 percent of the requested grant sum. That 
contribution may be in cash, in-kind or a combination of both. In-kind 
contributions shall be given a monetary value. Community Development 
Block Grant funds are the only Federal funds which may be considered 
part of the 10 percent matching contribution and only when they are 
specifically dedicated as an integral part of the project (e.g., CDBG 
rehabilitation funds used in conjunction with lead hazard control work 
in units). Other resources committed to the program that exceed the 
minimum required 10 percent match will provide points for this rating 
factor. Each source of contributions, cash or in-kind, both for the 
required minimum and additional amounts, shall be supported by a letter 
of commitment from the contributing entity, whether a public or private 
source, which shall describe the contributed resources that will be 
used in the program. Staff in-kind contributions should be given a 
monetary value as discussed above. The absence of letters providing 
specific details and amount of the actual contributions will result in 
those contributions not being counted. (3 points)
    (e) Lead-Hazard Control Integration (5 Points)--A description and/
or specific plan of how the applicant will integrate lead hazard 
control activities with other housing, health, and environmental 
programs beyond the duration of the grant shall be included in the 
application. The applicant plans may include:
    (1) Adopting cost-effective recommendations contained in the HUD 
Task Force Report: Putting the Pieces Together: Controlling Lead 
Hazards in the Nation's Housing;
    (2) Incorporating lead hazard control with other housing 
rehabilitation, code violation or other work; and
    (3) Other efforts designed to address lead hazards in the 
community, including identifying other local, State, and private 
sources of support for conducting lead hazard control work.

Section 5. Checklist of Application Submission Requirements--Category A

Section 5.1  Applicant Data
    Applicants must complete and submit applications in accordance with 
the format and instructions contained in the application kit. The 
following is a checklist of the application contents that will be 
specified in the application kit:
    (a) The name, mailing address, telephone number, and principal 
contact person of the applicant. If the applicant has consortium 
associates, subgrantees, partners, major subcontractors, joint venture 
participants, or others contributing resources to the project, similar 
information shall also be provided for each of them.
    (b) For State applicants, copies of existing statutes, regulations 
or other appropriate documentation regarding the State's Lead-Based 
Paint Contractor Certification and Accreditation Program. A State 
applicant which has existing legislation acceptable to HUD, but which 
has not implemented an acceptable lead-based paint contractor 
certification program, shall furnish assurances from the Governor that 
an acceptable certification program will be implemented within 1 year 
from the date of the application deadline date and that the designated 
agency implementing the certification program shall offer training 
sessions leading to certification within 6 months of the effective date 
of implementing regulations. If legislative approval of proposed 
regulations is also required, a similar assurance must be provided by 
the chairs of committees having jurisdiction. Local government 
applicants in States which have not implemented an acceptable 
contractor certification program must provide assurances that only 
certified contractors and trained workers from State certification 
programs acceptable to HUD will be used in conducting lead hazard 
control work. (See Section 4.2(d) of this NOFA regarding this 
requirement).
    (c) Evidence of the applicant's commitment to eliminating or 
reducing significant lead-based paint hazards in privately-owned 
eligible housing as detailed in the applicant's work plan for lead-
based paint hazard control (See Rating Factor, Work Plan and Budget, in 
Section 4.3 of this NOFA).
    (d) A detailed description of the funding mechanism, selection 
process, and other proposed activities that the applicant plans to use 
to assist any sub-grantees or sub-recipients under this grant.

[[Page 24418]]

    (e) A detailed total budget with supporting cost justification for 
all budget categories of the Federal grant request. There shall be a 
separate estimate for the overall grant management element, 
``Administrative Costs,'' which are more fully defined in Appendix B of 
this NOFA. The budget shall include not more than 10 percent for 
administrative costs and not less than 90 percent for direct project 
elements (See Section 3.4(c) Eligible Activities of this NOFA).
    (f) Certification assuring that the applicant will conduct lead 
hazard control activities safely and effectively.
    (g) An itemized breakout of the applicant's required matching 
contribution, including values placed on donated in-kind services; 
letters or other evidence of commitment from donors; and the amounts 
and sources of contributed resources.
    (h) Memoranda of Understanding or Agreement, letters of commitment 
or other documentation describing the proposed roles of agencies, local 
broad-based task forces, participating community or neighborhood-based 
groups or organizations, local businesses, and others working with the 
program.
    (i) Completed Forms HUD-2880, Applicant/Recipient Disclosure/Update 
Report, and SF-LLL, Disclosure of Lobbying Activities, where applicable 
(See Section 10. Other Matters in this NOFA).
    (j) Standard Forms SF-424, 424A, 424B, and other certifications and 
assurances listed in section 5.3 of this NOFA.
    (k) A copy of the applicant's approval notification for the current 
program year for its Comprehensive Housing Affordability Strategy 
(CHAS) or Consolidated Plan. A copy of the applicant's lead hazard 
control element included in the current program year CHAS or 
Consolidated Plan.
Section 5.2  Proposed Activities
    (a) Affected housing and population to be served. The applicant 
shall describe the size and general characteristics of the target 
housing within its jurisdiction, including a description of the 
housing's location, condition, and occupants, and a current estimate of 
the number of children under the age of six in these units. Other 
characteristics described in Section 4.3 Rating Factor (a)--``Need'' 
should be provided. If specific area(s) (neighborhoods, census tracts, 
etc.) within an applicant's jurisdiction are specifically targeted for 
lead hazard control activities, the applicant shall describe these same 
characteristics for the area. Maps may be included as an appendix. To 
the extent practical, preference shall be given to occupied eligible 
housing units with children under the age of 6. Vacant housing that 
subsequently will be occupied by low-income renters or owners should 
also be included in this description. In addition, as a measure of its 
ongoing commitment to lead-based paint programs, the applicant shall 
provide information on the magnitude and extent of the childhood lead 
poisoning problem within its jurisdiction and for any area(s) to be 
included in the lead hazard control program. Current efforts undertaken 
to provide health care services for children with elevated blood lead 
levels and efforts to address lead-based paint hazards shall be 
described.
    (b) Discussion of program activities. (See Section 4.3 Rating 
Factors) The applicant shall provide a discussion of the overall 
proposed hazard control program, including, but not limited to, 
information on the following:
     Needs Assessment
     Program Work Plan and Budget to include:

--Program Management;
--Lead Hazard Control Strategy:
--Number of eligible housing units, hazard control methods, blood lead 
and environmental testing methods, costs, financing mechanisms, 
relocation plans, and community awareness and education;

     Program Evaluation and Data Collection;
     Budget Request;
     Community and Private Sector Participation;
     Ability to Implement the Lead Hazard Control Grant 
Program; and
     Future Integration and Coordination of Lead Hazard Control 
Activities With Other Programs.
Section 5.3  Certifications and Assurances
    The following certifications and assurances are to be included in 
all Category A applications:
    (a) Compliance with environmental laws and authorities (24 CFR Part 
58).
    (b) Compliance with the Uniform Relocation Assistance and Real 
Property Acquisition Policies Act of 1970. (Implementing Regulations at 
49 CFR Part 24; and HUD Handbook 1378, Tenant Assistance, Relocation 
and Real Property Acquisition.)
    (c) Compliance with Federal civil rights laws and requirements.
    (d) Compliance with the requirements of the Fair Housing Act (42 
U.S.C. 3601-19); Executive Order 11063; Title VI of the Civil Rights 
Act of 1964, pertaining to equal opportunity and nondiscrimination in 
housing).
    (e) Compliance with the Age Discrimination Act of 1975 and Section 
504 of the Rehabilitation Act of 1973.
    (f) Compliance with Section 3 of the Housing and Urban Development 
Act of 1968. (Implementing regulations at 24 CFR Part 135.)
    (g) Assurance that financial management system meets the standards 
for fund control and accountability (24 CFR 85.20).
    (h) Assurance that pre-hazard control, clearance, and 12 month 
post-hazard control testing will be conducted by certified performers.
    (i) Assurance, to the extent possible, that blood lead testing, 
blood lead level test results, and medical referral and followup are 
conducted for children under six years of age occupying affected units 
according to the recommendations of the Centers for Disease Control and 
Prevention (CDC). (See Appendix A of this NOFA-Preventing Lead 
Poisoning in Young Children, October, 1991.)
    (j) Assurance that Lead-Based Paint Hazard Control Grant Program 
funds will not replace existing resources dedicated to any ongoing 
project.
    (k) The application shall contain any other assurances that HUD 
includes in the application kit under this NOFA, including 
certification of compliance with the Drug-Free Workplace Act of 1988 in 
accordance with the requirements set forth at 24 CFR part 24, subpart 
F.

Section 6. Application Process for Category B

Section 6  Purpose and Description
Section 6.1  Purpose and Authority
    Category B provides funds for two Federal government agencies to 
work cooperatively to reduce lead hazards to children. This category 
provides funds to control lead-based paint hazards at Superfund sites 
where Superfund dollars will be spent to control lead in soil hazards 
and HUD dollars will be spent to control lead-based paint hazards in 
residences.
    Approximately 4 million dollars will be available in awards ranging 
from five-hundred thousand dollars ($500 thousand) to 2 million dollars 
($2 million) available to each grantee. The amounts are for the total, 
multiyear work of a proposed project. Grants are authorized under 
section 1011(a)-(f) of Title X.
    The purposes of this program include:
    (a) To demonstrate that Potentially Responsible Parties (PRPs), 
State and

[[Page 24419]]

local governments, and other affected parties such as low-income 
residents can work together to maximize benefits both from Superfund 
actions and other lead-based paint hazard control activities. (A 
Potentially Responsible Party (PRP) is defined by Superfund as any 
individual or entity including owners, operators, transporters or 
generators who may be liable under section 107(a) of the Comprehensive 
Environmental Response Compensation and Liability Act (CERCLA)).
    (b) To the greatest extent feasible, promoting job training, 
employment, and other economic lift opportunities for low-income 
residents and businesses as defined in 24 CFR 135.5 (see 59 FR 33881, 
June 30, 1994, and Category A Section 3.1(d) of this NOFA).
Section 6.2  Background
    This category brings together two Federal agencies, HUD and the 
Environmental Protection Agency (EPA), to address housing and 
environmental issues. These funds will be targeted to communities that 
have, within 18 months of the application submission deadline date 
undergone EPA Superfund cleanup activity. These funds will be used 
primarily for interior lead-based paint hazard control. Under this 
Category, HUD funds may not be used for soil cleanup.
    A multiagency approach is needed to address deteriorating interior 
paint, exterior paint, and contaminated soil and dust simultaneously. 
HUD's lead-based paint hazard control grant program has typically been 
used to control primarily lead-based paint and dust both inside and 
outside homes. The HUD lead-based paint hazard control grant program 
may also be used to deal with lead in soil on an optional basis as 
determined by grantees. EPA Superfund normally cleans up residential 
soils that are contaminated with hazardous substances from local 
Superfund sites. EPA Superfund does not generally address the problem 
of deteriorating interior lead-based paint because exposures from 
interior paint are generally not within the jurisdiction of the 
Superfund program. Exterior lead-based paint hazard control may be 
considered an eligible activity by the Superfund program.
    Category B targets communities with Superfund sites that may or may 
not have participated in previous HUD lead-based paint hazard control 
grant programs. This Category will create a means for communities with 
a Superfund site(s) to address both lead-based paint inside and outside 
houses as well as soil cleanup. HUD is developing a place-based 
strategy that empowers local communities to combine government programs 
to remedy specific problems, cutting across traditional program 
boundaries. This NOFA is an example of how HUD and EPA are working 
together to enable communities to determine how best to solve specific 
problems in their local area.
    An important product of this grant program will be to demonstrate 
how to address lead-based paint abatement issues at sites with multiple 
sources of lead, thereby addressing housing and environmental problems 
simultaneously. HUD expects that additional experience in this area 
will reduce abatement costs and offer creative strategies for overall 
lead risk reduction.
Section 6.3  Allocation Amounts
    (a) Amounts. Approximately $4 million will be available for the 
Category B grant program from the appropriations made for the lead-
based paint hazard reduction program in the Omnibus Consolidated 
Rescissions and Appropriations Act of 1996 (Pub. L. 104-134, 110 Stat. 
1321, approved April 26, 1996).
    (b) Residual Funds. In the selection process, once available funds 
have been allocated to meet the full requested amounts of the top 
eligible applicants, HUD reserves the right to offer any residual 
amount as partial funding to the next eligible applicant in successive 
order. Any such applicant shall have not more than 7 calendar days to 
accept or decline the grant. In addition, HUD reserves the right to 
award only one grant, should only one applicant be able to support a 
credible effort. Also, because this is the initial notice of funding 
availability under this Category, it is possible that no applicant will 
be able to demonstrate support of a program in which case all funds 
would revert to Category A.
Section 6.4  Eligibility
    Title X specifies the following eligibility requirements for grants 
to identify and control lead-based paint hazards in housing:
    (a) Eligible Applicants. A State or unit of local government that 
has a current year approved Comprehensive Housing Affordability 
Strategy (CHAS) under Section 105 (42 U.S.C. 12705) of the Cranston-
Gonzalez National Affordable Housing Act (NAHA) or a current year 
approved consolidated plan is eligible to apply for a grant. Applicants 
that do not have a currently approved CHAS or Consolidated Plan, but 
are otherwise eligible for this grant program, must include their 
abbreviated Consolidated Plan which includes a lead-based paint hazard 
control strategy developed and submitted in accordance with 24 CFR 
91.235.
    Under Category B, all eligible applicants compete equally, 
regardless of previous awards under the HUD Lead-Based Paint Hazard 
Control grant program.
    (b) Certified Performers--See Category A, Section 3.4(b).
    (c) Eligible Activities--See Category A, Section 3.4(c).
    (d) Ineligible Activities--See Category A, Section 3.4(d).
Section 6.5  Limitations on the Use of Assistance
    See Category A, Section 3.5.
Section 6.6  Environmental Review
    See Category A, Section 3.6.
Section 6.7  Objectives and Requirements
    See Category A, Section 3.7.

Section 7  Grant Application Process

Section 7.1  Submitting Applications for Grants
    See Category A, Section 4.1.
    (There are no page restrictions or format requirements for Category 
B applications.)
Section 7.2  Threshold Requirements for Category B
    (a) Purpose. The application must be for funds to identify and 
control lead hazards in housing at Superfund sites where lead has been 
identified as a major contaminant. (See Appendix D of this NOFA for 
program-by-program listing of eligible HUD-associated housing 
programs.)
    See Category A (Section 4.2(b)-(f) for eligible applicants, 
matching contribution, contractor certification program requirement, 
and other threshold requirements.
    (b) Status of Superfund remediation. Jurisdictions are eligible 
only if remediation activity was completed within 18 months of the 
application submission deadline date, or the jurisdiction has a Record 
of Decision with a completion date for the remediation work of no more 
than three years from the date of application submission deadline date, 
or the site is undergoing remedial action or will undergo removal 
action within 18 months after the application submission deadline date.
Section 7.3  Rating Factors
    HUD will use the following technical and financial criteria to rate 
and rank applications received in response to this

[[Page 24420]]

NOFA. The Request for Grant Application (RFGA) kit will provide 
guidance in responding to all the Rating Factors. The technical quality 
of an application will be rated, and then the strength, quality, and 
completeness of the financial and resources plan will be used to assess 
the likelihood that the technical plan can be carried out using the 
available resources.
    While HUD is very interested in applicants who have managed to 
involve PRPs, HUD explicitly recognizes that there are a number of 
sites where there is no PRP and it is unlikely one will ever be found. 
These sites often have environmental justice issues which reflect the 
cumulative effects from multiple sources of lead exposure. Under this 
Category, HUD seeks a balance between those sites who have active and 
willing PRPs and those that have no other means to accomplish lead-
based paint hazard control. HUD believes that the best way to achieve 
this balance is to recognize PRP involvement and provide points for 
this involvement in one of the factors. PRP involvement is not a 
prerequisite threshold requirement for eligibility or selection of an 
award.
    The maximum score possible under the rating factors is 100 points.
    (a) Coordination (35 points).
    (1) Describe the history of the working relationship of the 
applicant, EPA Superfund authorities, the residents, and each 
Potentially Responsible Party (PRP), if any. Describe Superfund's site-
specific community relations plan including public meetings and other 
outreach activities that present a complete picture of the community's 
involvement in site cleanup and any likely issues that may be 
encountered during site remediation. (25 points)
    (2) Discuss the financial, technical, and other resources 
contributed by the PRP. (10 points)
    (b) Activities (25 points).
    (1) Describe the extent of the remediation work on the soil; 
provide a comprehensive picture of cleanup activities, both planned and 
undertaken, including any relevant site information that demonstrates 
the applicant's need, and describe how coordinated efforts of the 
applicant, PRPs, residents, and Superfund activities will reduce 
overall lead risk. (15 points)
    (2) Describe which non-HUD funding sources have been secured to 
abate exterior lead-based paint hazards. (10 points)
    (c) Strategy (20 points).
    (1) Discuss the quality and cost-effectiveness of the proposed 
lead-based paint hazard control strategy, especially as it relates to 
Superfund cleanup activities, HUD lead-based paint hazard control, and 
how they fit into an overall environmental lead risk reduction 
scenario. The overall plan must include: the selection of sub-grantees 
and other sub-recipients to assist in implementing the project; the 
total number of units to be tested and treated and the rationale for 
this total; the abatement/hazard control methods and levels of 
treatment proposed, and number of units by type of treatment; the 
amount of prior hazard control experience; financing mechanisms for 
hazard control activities and the process for recruiting property 
owners; temporary relocation plans, if needed; and the degree to which 
the strategy focuses on households in eligible housing with children 
under the age of 6 years; (8 points)
    (2) The level of coordination between the applicant, HUD, and the 
Superfund program; the experience of the applicant with environmental 
issues; the experience of the applicant with environmental justice 
issues; the experience of the applicant in dealing with the private 
sector, especially with PRPs; (7 points)
    (3) A program for education and outreach to the people residing on 
the Superfund site on the hazards of lead in paint, soil, and dust, 
including blood lead screening of young children and, if necessary, 
referral for medical treatment. Include roles and responsibilities and 
approaches undertaken by the groups and organizations involved in both 
education and outreach, and blood lead testing and medical follow-up. 
(5 points)
    (d) Management and Budget Plan. (20 points)
    The Management and Budget Plan shall include:
    (1) A narrative describing how the process and tasks of the grant 
program will be coordinated and managed by the personnel discussed in 
the strategy rating factor. Provide a brief narrative for each major 
budget subtask and justification for each functional cost element, 
explaining its planned use. (8 points)
    (2) A budget proposal for each major cost element of the HUD grant, 
a task by task spreadsheet for the HUD grant and Part B of Standard 
Form 424A, for the match and other resources contributed by the 
applicant and the budget for the Superfund part of the project. 
Describe specifically how Superfund dollars and HUD dollars will be 
allocated and tracked and whether or not Superfund dollars will be used 
to control exterior lead-based paint hazards as part of the soil 
remediation plan. (8 points)
    (3) At a minimum, the applicant shall provide a 10 percent matching 
contribution of the requested grant sum. Points for this factor will be 
awarded only for the amount of the net contributions that exceed the 10 
percent statutory minimum. Contributions may be cash or in-kind, or a 
combination of both. In-kind contributions must be given a monetary 
value. PRPs may contribute cash to meet this 10 percent matching 
contribution requirement. Community Development Block Grant funds are 
the only Federal funds which may be considered part of the 10 percent 
matching contribution, when they are specifically dedicated to this 
project. Additional resources committed to the program that exceed the 
minimum required 10 percent match will provide points for this rating 
factor. Each source of contributions, cash or in-kind, both for the 
required minimum and additional amounts, shall be made in a letter of 
commitment from the contributing entity, whether a public or private 
source, and shall describe the contributed resources that will be used 
in the program. The absence of letters providing specific details and 
amount of the actual contributions will result in that contribution not 
being counted. (4 points)
Section 7.4  Checklist of Application Submission Requirements
7.4.1  Applicant Data
    See Category A, Section 5.1(a)-(k).
7.4.2  Proposed Activities
    See Category A, Section 5.2(a)-(d).
7.4.3  Certifications and Assurances
    See Category A, Section 5.3(a)-(k).

Section 8. Corrections to Deficient Applications

    Shortly after the expiration of the NOFA submission deadline date, 
HUD will notify applicants in writing of any minor deficiencies in the 
applications that are not of a substantive nature, such as an omitted 
certification or illegible signature. The applicant shall submit 
corrections, which must be received at the Office of Lead-Based Paint 
Abatement and Poisoning Prevention within 21 calendar days from the 
date of HUD's letter notifying the applicant of any minor deficiencies. 
Electronic or FAX transmittal is not an acceptable transmittal mode. 
Corrections to minor deficiencies will be accepted within the 21-day 
time limit. Applicants that do not make timely response to requests for 
deficiency corrections shall be removed from further consideration for 
an award.
    Applicants shall only be permitted to correct those deficiencies 
determined by

[[Page 24421]]

HUD to be minor. Deficiencies determined by HUD to be substantive may 
not be corrected.

Section 9. Administrative Provisions

Section 9.1  Obligation of Funds
    (a) Provision of funds. Funding shall be provided on a cost-
reimbursable basis not to exceed the amount of the grant, except as 
otherwise provided in Sections 9.2 and 9.3 of this NOFA.
    (b) Availability of funds. All payments will be made on a cost-
reimbursable basis, except that a one (1) percent final payment shall 
be made upon completion of all tasks and delivery of an acceptable 
final report.
    HUD will release funds for the inspection of units and for 
conducting the lead hazard control phase (interim controls, hazard 
abatement, or complete abatement) of the program after the grantee has 
submitted and secured HUD approval of HUD Form 7015.15 (Request for 
Release of Funds) which certifies that the grantee has fulfilled the 
environmental review requirements of the grant.
Section 9.2  Increases of Awards
    After executing the grant agreement and initial obligation of 
funds, HUD will not increase the grant sum or the total amount to be 
obligated based upon the original scope of work. Amounts awarded may 
only be increased as provided in Section 9.3, Deobligation, of this 
NOFA.
Section 9.3  Deobligation
    (a) Reasons for deobligation. HUD may deobligate amounts for the 
grant if proposed activities are not initiated or completed within the 
required time after the award effective date. The grant agreement will 
set forth in detail other circumstances under which funds may be 
deobligated and other sanctions imposed.
    (b) Treatment of deobligated funds. HUD may undertake any 
combination of the following actions:
    (1) Readvertise the availability of funds that have been 
deobligated under this section in a new NOFA;
    (2) Reconsider applications that were submitted in response to the 
most recently published NOFA, and select additional applications for 
funding with deobligated funds. These selections will be made in 
accordance with the selection process described in the applicable NOFA;
    (3) Fund supplemental requests from existing grantees for the 
performance of expanded scopes of work that may be of benefit to the 
overall program; and
    (4) For deobligated funds that total less than a minimum grant 
amount ($1 million), issue a solicitation to provide technical 
assistance or other program support services to Lead-Based Paint Hazard 
Control grantees from previous rounds.
Section 9.4  Reports
    The grantee shall submit the following types of reports:
    (a) Progress Reports. The grantee shall submit quarterly progress 
reports in accordance with HUD requirements. These progress reports 
shall include expenditure reports and a narrative describing important 
events, milestones, work plan progress, and problems encountered during 
the period covered.
    (b) Final Report. The grantee shall submit a final report in 
accordance with the procedures of HUD's Management Reporting System. 
The report shall summarize the applicant's plans, execution of the 
plans, achievements noted, and lessons learned. The report need not be 
lengthy, but should be of a quality and detail to provide a free-
standing description to any outside reader of all of the applicant's 
work and achievements under the grant.

Section 10. Other Matters

Environmental Review

    A Finding of No Significant Impact with respect to the environment 
has been made in accordance with HUD regulations in 24 CFR part 50, 
which implements Section 102(2)(C) of the National Environmental Policy 
Act of 1969, 42 U.S.C. 4332. The Finding of No Significant Impact is 
available for public inspection during regular business hours in the 
Office of the General Counsel, Rules Docket Clerk, Department of 
Housing and Urban Development, 451 Seventh Street, S.W., Room 10276, 
Washington, D.C. 20410.

Federalism Executive Order

    The General Counsel, as the Designated Official under section 8(a) 
of Executive Order 12612, Federalism, has determined that the policies 
and procedures contained in this NOFA will not have substantial direct 
effects on States or their political subdivisions, or the relationship 
between the federal government and the States, or the distribution of 
power and responsibilities among the various levels of government. 
Under this NOFA, grants will be made for the control of lead-based 
paint and lead-dust hazards in low-income owner-occupied units and 
privately owned low-income rental units. Although the Department 
encourages States and local governments to initiate or expand lead-
based paint certification, testing, abatement, and financing programs, 
any action by a State or local government in these areas is voluntary. 
Because action is not mandatory, the NOFA does not impinge upon the 
relationships between the Federal government and State and local 
governments, and the notice is not subject to review under the Order.

Family Executive Order

    The General Counsel, as the Designated Official under Executive 
Order 12606, The Family, has determined that this document will likely 
have a beneficial impact on family formation, maintenance and general 
well-being. This NOFA, insofar as it funds repairs to privately owned 
housing, will assist in preserving decent housing stock for low-income 
resident families. Accordingly, since the impact on the family is 
beneficial, no further review is considered necessary.

Section 102 of the HUD Reform Act--Documentation and Public Access 
Requirements--Applicant/Recipient Disclosures:

    Documentation and public access requirements. HUD will ensure that 
documentation and other information regarding each application 
submitted pursuant to this NOFA are sufficient to indicate the basis 
upon which assistance was provided or denied. This material, including 
any letters of support, will be made available for public inspection 
for a five-year period beginning not less than 30 days after the award 
of the assistance. Material will be made available in accordance with 
the Freedom of Information Act (5 U.S.C. 552) and HUD's implementing 
regulations at 24 CFR part 15. In addition, HUD will include the 
recipients of assistance pursuant to this NOFA in its Federal Register 
notice of all recipients of HUD assistance awarded on a competitive 
basis. (See 24 CFR 12.14(a) and 12.16(b), and the notice published in 
the Federal Register on January 16, 1992 (57 FR 1942), for further 
information on these documentation and public access requirements.)
    Disclosures. HUD will make available to the public for five years 
all applicant disclosure reports (HUD Form 2880) submitted in 
connection with this NOFA. Update reports (also Form 2880) will be made 
available along with the applicant disclosure reports, but in no case 
for a period less than three years. All reports--both applicant 
disclosures and updates--will be made available in accordance with the 
Freedom of Information Act (5 U.S.C. 552) and HUD's implementing 
regulations at 24 CFR part 15. (See 24 CFR part 12, Subpart C, and the 
notice published in

[[Page 24422]]

the Federal Register on January 16, 1992 (57 FR 1942), for further 
information on these disclosure requirements.)

Prohibition Against Lobbying Activities

    Applicants for funding under this NOFA are subject to the 
provisions of Section 319 of the Department of Interior and Related 
Agencies Appropriation Act for Fiscal Year 1991, 31 U.S.C. Section 1352 
(the Byrd Amendment) and to the provisions of the Lobbying Disclosure 
Act of 1995, P.L. 104-65 (December 19, 1995).
    The Byrd Amendment, which is implemented in regulations at 24 CFR 
Part 87, prohibits applicants for and recipients and sub-recipients of 
Federal contracts, grants, loans, cooperative agreements, and loan 
insurance or guarantees from using appropriated funds to attempt to 
influence Federal Executive or Legislative officers or employees in 
connection with obtaining such assistance, or with its extension, 
continuation, renewal, amendment or modification. In addition, 
applicants for and recipients and sub-recipients or Federal contracts, 
grants, loans, cooperative agreements, and loan insurance or guarantees 
above certain monetary amounts must file either a certification stating 
that they have not made and will not make any prohibited payments or a 
statement disclosing any prohibited payments or agreements to make such 
payments.
    The Lobbying Disclosure Act of 1995, Pub. L. 104-65 (approved 
December 19, 1995), which repealed Section 112 of the HUD Reform Act 
and resulted in the elimination of the regulations at 24 CFR Part 86, 
requires all persons and entities who lobby covered Executive or 
Legislative Branch officials to register with the Secretary of the 
Senate and the Clerk of the House of Representatives and file reports 
concerning their lobbying activities.

Procurement Standards

    All grantees are governed by and should consult 24 CFR parts 85.36 
and 85.37, which implement OMB Circular A-102 and detail the procedures 
for subcontracts and sub-grants by States and local governments. Under 
Sec. 85.36, which pertains to subcontracts, small purchase procedures 
can be used for contracts up to $100,000, and require price or rate 
quotations from several sources (three is acceptable); above that 
threshold, more formal procedures are required (note that Sec. 85.36 
treats States differently than local governments). Section 85.37 
procedures apply to sub-grants, and are not as restrictive. If States 
have more restrictive standards for contracts and grants, the State 
standards can be applied. All grantees should consult and become 
familiar with Secs. 85.36 and 85.37 before issuing subcontracts or sub-
grants.

Davis-Bacon Act

    The Davis-Bacon Act does not apply to this program. However, if 
grant funds are used in conjunction with other Federal programs in 
which Davis-Bacon prevailing wage rates apply, then Davis-Bacon 
provisions would apply to the extent required under the other Federal 
programs.

Prohibition Against Advance Information on Funding Decisions--Section 
103 of the Reform Act

    HUD's regulation implementing Section 103 of the Department of 
Housing and Urban Development Reform Act of 1989 (42 U.S.C. 3537a) 
(Reform Act), codified as 24 CFR part 4, applies to the funding 
competition announced today. The requirements of the rule continue to 
apply until the announcement of the selection of successful applicants.
    HUD employees involved in the review of applications and in making 
of funding decisions are restrained by part 4 from providing advance 
information to any person (other than an authorized employee of HUD) 
concerning funding decisions, or from otherwise giving any applicant an 
unfair competitive advantage. Persons who apply for assistance in this 
competition should confine their inquiries to the subject areas 
permitted under 24 CFR part 4.
    Applicants or employees who have ethics-related questions should 
contact the HUD Office of Ethics (202) 708-3815 (this is not a toll-
free number). Any HUD employee who has specific program questions, such 
as whether particular subject matter can be discussed with persons 
outside the Department, should contact the appropriate Field Office 
Counsel or Headquarters Counsel for the program to which the question 
pertains.

    Authority: 42 U.S.C. 4821-4846; 42 U.S.C. 3535(d).

    Dated: April 15, 1996.
Ronald J. Morony
Deputy Director, Office of Lead-Based Paint Abatement and Poisoning 
Prevention.

Appendix A--Relevant Federal Regulations and Guidelines

    To Secure Any Of The Documents Listed, Call The Listed Telephone 
Number (generally not toll-free).

Regulations

    1. Worker Protection: OSHA publication--Telephone: 202-219-4667
    OSHA Regulations (available for a charge)--Government Printing 
Office--Telephone: 202-512-1800

--General Industry Lead Standard, 29 CFR 1910.1025; (Document Number 
869022001124)
--Lead Exposure in Construction, 29 CFR 1926.62, and appendices A, B, 
C, and D; published 58 FR 26590 (May 4, 1993). (Document Number 
869022001141)

    2. Waste Disposal: 40 CFR parts 260-268 (EPA regulations)--
Telephone 1-800-424-9346.
    3. Lead; Requirements for Lead-Based Paint Activities; Proposed 
Rule: 40 CFR Part 745 (EPA) (State Certification and Accreditation 
Program for those engaged in lead-based paint activities)--Telephone: 
202-554-1404 (Toxic Substances Control Act Hotline)

Guidelines

    1. Lead-Based Paint: Guidelines for the Evaluation and Control of 
Lead-Based Paint Hazards in Housing; HUD, June 1995 (available for a 
charge)--Telephone: 800-245-2691:
    Post-Lead Hazard Control Clearance, No More Than:

100 Micrograms/Sq.Ft. (Bare and Carpeted Floors)
500 Micrograms/Sq.Ft. (Window Sills)
800 Micrograms/Sq.Ft. (Window Troughs (Wells), exterior concrete and 
other rough surfaces)

    2. HUD Handbook 1378, Tenant Assistance, Relocation and Real 
Property Acquisition; Telephone: 202-708-0336.
    3. Preventing Lead Poisoning In Young Children; Centers for Disease 
Control, October 1991: Telephone: 770-488-7330.

Reports

    1. Putting the Pieces Together: Controlling Lead Hazards in the 
Nation's Housing, HUD, (Summary and Full Report), July 1995, (available 
for a charge)--Telephone 800-245-2691:
    2. Comprehensive and Workable Plan for the Abatement of Lead-Based 
Paint in Privately Owned Housing: Report to Congress (HUD, December 7, 
1990) (available for a charge)--Telephone 800-245-2691.

[[Page 24423]]



              CDC Classes of Blood Lead Levels in Children              
------------------------------------------------------------------------
                     Concentration                                      
       Class          (q/                 Comment              
                          dL)                                           
------------------------------------------------------------------------
I..................          <9     Child is not considered to be lead- 
                                     poisoned.                          
IIA................       10-14     Large number or proportion of       
                                     children with blood lead levels in 
                                     this range should trigger community-
                                     wide childhood lead poisoning      
                                     prevention activities. Children in 
                                     this range may need to be          
                                     rescreened more frequently.        
IIB................       15-19     Child should receive nutritional and
                                     educational interventions and more 
                                     frequent screening. If the blood   
                                     lead level persists, environmental 
                                     investigation and intervention     
                                     should be done.                    
III................       20-44     Child should receive environmental  
                                     evaluation and remediation and a   
                                     medical evaluation; may need       
                                     pharmacologic treatment of lead    
                                     poisoning.                         
IV.................       45-69     Child will need both medical and    
                                     environmental interventions,       
                                     including chelation therapy.       
V..................         >70     Child is a medical emergency.       
                                     Medical and environmental          
                                     management must begin immediately. 
------------------------------------------------------------------------

Appendix B--``Administrative Costs''

I. Purpose
    The intent of this HUD grant program is to allow the Grantee to be 
reimbursed for the reasonable direct and indirect costs, subject to a 
top limit, for overall management of the grant. In most circumstances 
the Grantee, whether a state or a local government, is expected to 
serve principally as a conduit to pass funding to sub-grantees, which 
are to be responsible for performance of the lead-hazard reduction 
work. Congress set a top limit of ten (10) percent of the total grant 
sum for the Grantee to perform the function of overall management of 
the grant program, including passing on funding to sub-grantees. The 
cost of that function, for the purpose of this grant, is defined as the 
``administrative cost'' of the grant, and is limited to ten (10) 
percent of the total grant amount. The balance of ninety (90) percent 
or more of the total grant sum is reserved for the sub-grantee/direct-
performers of the lead-hazard reduction work.
II. Administrative Costs: What They Are Not
    For the purposes of this HUD grant program for States and local 
governments to provide support for the evaluation and reduction of 
lead-hazards in low and moderate-income, private target housing: the 
term ``administrative costs'' should not be confused with the terms 
``general and administrative cost'', ``indirect costs'', ``overhead'', 
and ``burden rate''. These are accounting terms, usually represented by 
a government-accepted standard percentage rate. The percentage rate 
allocates a fair share of an organization's costs that cannot be 
attributed to a particular project or department (such as the chief 
executive's salary or the costs of the organization's headquarters 
building) to all projects and operating departments (such as the Fire 
Department; the Police Department; the Community Development 
Department, the Health Department or this program). Such allocated 
costs are added to those projects' or departments' direct costs to 
determine their total costs to the organization.
III. Administrative Costs: What They Are
    For the purposes of this HUD grant program, ``Administrative 
Costs'' are the Grantee's allowable direct costs for the overall 
management of the grant program plus the allocable indirect costs. The 
allowable limit of such costs that can be reimbursed under this program 
is ten (10) percent of the total grant sum. Should the Grantee's actual 
costs for overall management of the grant program exceed ten (10) 
percent of the total grant sum, those excess costs shall be paid for by 
the Grantee. However, excess costs paid for by the Grantee may be shown 
as part of the requirement for cost-sharing funds to support the grant.
IV. Administrative Costs: Definition
A. General
     Administrative costs, are the allowable, reasonable, and allocable 
direct and indirect costs related to the overall management of the HUD 
grant for lead-hazard reduction activities. Those costs shall be 
segregated in a separate cost center within the Grantee's accounting 
system, and they are eligible costs for reimbursement as part of the 
grant, subject to the ten (10) percent limit. Such administrative costs 
do not include any of the staff and overhead costs directly arising 
from specific sub-grantee program activities eligible under FY 1992 
NOFA Section II.e.(5) (a) and (b) (ii) through (vi), because those 
costs are eligible for reimbursement under a separate cost center as a 
direct part of project activities.
    The Grantee may elect to serve solely as a conduit to sub-grantees, 
who will in turn perform the direct program activities eligible under 
NOFA Section II.E.(5) (a) and (b) (ii) through (vi), or the grantee may 
elect to perform all or a part of the direct program activities in 
other parts of its own organization, which shall have their own 
segregated, cost centers for those direct program activities. In either 
case, not more than 10 percent of the total HUD grant sum may be 
devoted to administrative costs, and not less than 90% of the total 
grant sum shall be devoted to direct program activities. Grantee shall 
take care not to mix or attribute administrative costs to the direct 
project cost centers.
B. Specific
    Reasonable costs for the Grantee's overall grant management, 
coordination, monitoring, and evaluation are eligible administrative 
costs. Subject to the (10) percent limit, such costs include, but are 
not limited to, necessary expenditures for the following, goods, 
activities and services:
    (1) Salaries, wages, and related costs of the Grantee's staff, the 
staff of affiliated public agencies, or other staff engaged in 
Grantee's overall grant management activities. In charging costs to 
this category the recipient may either include the entire salary, 
wages, and related costs allocable to the program for each person whose 
primary responsibilities ( more than 65% of their time) with regard to 
the grant program involve direct overall grant management assignments, 
or the pro rata share of the salary, wages, and related costs of each 
person whose job includes any overall grant management assignments. The 
Grantee may use only one of these two methods during this program. 
Overall grant management includes the following types of activities:
    (a) Preparing grantee program budgets and schedules, and amendments 
thereto;
    (b) Developing systems for the selection and award of funding to 
sub-grantees and other sub-recipients;
    (c) Developing suitable agreements for use with sub-grantees and 
other sub-recipients to carry out grant activities;
    (d) Developing systems for assuring compliance with program 
requirements;

[[Page 24424]]

    (e) Monitoring sub-grantee and sub-recipient activities for 
progress and compliance with program requirements;
    (f) Preparing presentations, reports, and other documents related 
to the program for submission to HUD;
    (g) Evaluating program results against stated objectives; and
    (h) Providing local officials and citizens with information about 
the overall grant program. (However, a more general education program, 
helping the public understand the nature of lead hazards, lead hazard 
reduction, blood-lead screening, and the health consequences of lead 
poisoning is a direct project support activity, under NOFA Section 
II.E. (5) (b), and should not be attributed to administrative costs, 
but to its own cost center.)
    (i) Coordinating the resolution of overall grant audit and 
monitoring findings;
    (j) Managing or supervising persons whose responsibilities with 
regard to the program include such assignments as those described in 
paragraphs (a) through (i).
    (2) Travel costs incurred for official business in carrying out the 
overall grant management;
    (3) Administrative services performed under third party contracts 
or agreements, for services directly allocable to overall grant 
management such as overall-grant legal services, overall-grant 
accounting services, and overall-grant audit services;
    (4) Other costs for goods and services required for and directly 
related to the overall management of the grant program, including such 
goods and services as telephone, postage, rental of equipment, renter's 
insurance for the program management space, utilities, office supplies, 
and rental and maintenance (but not purchase) of office space for the 
program.
    (5) The fair and allocable share of Grantee's general costs that 
are not directly attributable to specific projects or operating 
departments such as: The Mayor's and City Council's salaries and 
related costs; the costs of the City's General Council's office, not 
charged off to particular projects or operating departments; and the 
costs of the City's Accounting Department not charged back to specific 
projects or operating departments. (If Grantee has an established 
burden rate it should be used; if not Grantee shall be assigned a 
negotiated provisional burden rate, subject to final audit.) To repeat, 
all of the above activities goods and services: 1.a-j., 2., 3., 4., and 
5. are subject to the ten (10) percent limit.

Appendix C

    Section 217 of Public Law 104-134 (the Omnibus Consolidated 
Rescissions and Appropriations Act of 1996, 110 Stat. 1321, approved 
April 26, 1996) amended Section 1011(a) of the Residential Lead-Based 
Paint Hazard Reduction Act of 1992 (Title X) to read as follows:
    Sec. 1011  Grants for Lead-Based Paint Hazard Reduction in Target 
Housing.
    (a) General Authority. The Secretary is authorized to provide 
grants to eligible applicants to evaluate and reduce lead-based paint 
hazards in housing that is not federally assisted housing, federally 
owned housing, or public housing, in accordance with the provisions of 
this section. Grants shall only be made under this section to provide 
assistance for housing which meets the following criteria--
    (1) for grants made to assist rental housing, at least 50 percent 
of the units must be occupied by or made available to families with 
incomes at or below 50 percent of the area median income level and the 
remaining units shall be occupied or made available to families with 
incomes at or below 80 percent of the area median income level, and in 
all cases the landlord shall give priority in renting units assisted 
under this section, for not less than 3 years following the completion 
of lead abatement activities, to families with a child under the age of 
six years, except that building with five or more units may have 20 
percent of the units occupied by families with incomes above 80 percent 
of area median income level:
    (2) for grants made to assist housing owned by owner-occupants, all 
units assisted with grants under this section shall be the principal 
residence of families with income at or below 80 percent of the area 
median income level, and not less than 90 percent of the units assisted 
with grants under this section shall be occupied by a child under the 
age of six years or shall be units where a child under the age of six 
years spends a significant amount of time visiting; and
    (3) notwithstanding paragraphs (1) and (2), Round II grantees who 
receive assistance under this section may use such assistance for 
priority housing.
* * * * *
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[[Page 24426]]

Appendix E--Elements of a State Certification Program

    Congress has assigned Federal responsibility to the Environmental 
Protection Agency (EPA) for the definition, implementation, and 
oversight of State Certification Programs for workers, contractors, and 
inspectors engaged in the detection and reduction of lead-based paint 
hazards. The Department of Housing and Urban Development (HUD) has a 
strong interest in the strength and rigor of the EPA program, because 
HUD must rely on the effectiveness of the EPA program to assure the 
safe detection and reduction of those lead-based paint hazards.
    In October 1992, Congress passed the Residential Lead-Based Paint 
Hazard Reduction Act (Title X of the Housing and Community Development 
Act of 1992). This legislation required EPA to promulgate regulations 
governing the accreditation of training programs, the certification of 
contractors and the training of workers engaged in lead-based paint 
activities. In addition, EPA was directed to issue work practice 
standards. Under the statute, lead-based paint activities are defined 
as:
    (a) In the case of target housing: risk assessment, inspection, and 
abatement; and
    (b) In the case of any public building constructed before 1978, 
commercial building, bridge, or other structure or superstructure: 
identification of lead-based paint and materials containing lead-based 
paint, deleading, removal of lead from bridges, and demolition.
    EPA is preparing to promulgate these regulations under the 
authority of Title IV of the Toxic Substances Control Act (TSCA), 
Section 402 and Section 404. Section 402(a) of TSCA directs EPA to 
promulgate regulations governing lead-based paint activities. Section 
404(a) of TSCA requires any State that seeks to administer and enforce 
the requirements established by the Agency under Section 402 of TSCA 
must submit to the Administrator of EPA, in such form as the 
Administrator shall require, a request for authorization of such a 
program.
    States will have two years after final promulgation of TSCA Section 
402/404 to establish and seek authorization of the State Program. State 
programs that reflect the minimum training, certification, 
accreditation, and standards that currently exist in EPA's proposed 
regulations are likely to be authorized by EPA. States that commit to 
develop appropriate accreditation and certification programs and to 
seek authorization by EPA are encouraged to enact broad enabling 
legislation.
    While the regulations establishing an EPA State Authorized Program 
are not final, EPA can define a minimum set of basic elements that must 
be contained in enabling legislation. These minimum elements are 
outlined in #1 below. In addition, EPA believes that additional 
elements should be included in legislation and these are identified in 
#2 below.
    Certification, worker training, and accreditation of training 
providers are three of the basic elements that must be contained in a 
State's enabling legislation. It is imperative that these three 
elements be included in a State's enacted legislation prior to applying 
for a HUD Lead-Based Paint Hazard Control Grant.
    1. The enabling statute, at a minimum, shall contain the following 
elements:
    a. Agency. Establish an agency, or agencies, or designate an 
existing State agency, or agencies, to implement the State program.
    b. Certification. Authorize and direct the agency, or agencies, to 
promulgate regulations requiring the certification of contractors that 
offer to perform lead-hazard detection or lead-hazard reduction 
services.
    c. Worker Training. Authorize and direct the agency, or agencies to 
promulgate regulations setting training requirements for workers, 
inspectors, and other persons directly and substantially involved in 
the performance of lead-based paint activities. Such regulations shall 
establish minimum acceptable levels of training, and periodic refresher 
training for each class of workers, and require that training shall be 
provided by accredited training providers.
    d. Accreditation of Training Providers. Authorize and direct the 
agency, or agencies, to promulgate regulations to establish the 
accreditation of training programs. The legislation shall require that 
the regulation cover the following: (i) minimum requirements for the 
accreditation of training providers; (ii) minimum training curriculum 
requirements; (iii) minimum training hour requirements; (iv) minimum 
hands-on training requirements; (v) minimum trainee competency and 
proficiency requirements; and (vi) minimum requirements for training 
program quality control.
    e. Standards. Authorize and direct the agency, or agencies, to 
promulgate regulations establishing standards for performing lead-based 
paint activities, taking into account reliability, effectiveness, and 
safety.
    f. Compliance. Authorize and direct the agency, or agencies, to 
promulgate regulations that will require any activity, involving lead-
hazard detection or lead-hazard reduction procedures, to comply with 
agency regulations and to use certified and accredited personnel.
    g. Enforcement. Authorize and direct the agency, or agencies, to 
promulgate regulations that provide for the enforcement of the State 
Certification Program, and that establish suitable sanctions, for those 
who fail to comply with program requirements. The regulations shall 
include provisions for the decertification and deaccreditation of 
programs and personnel.
    h. Federal Funding Eligibility. Authorize and direct the agency, or 
agencies, to revise its regulations and procedures from time to time to 
assure that State lead-hazard activities continue to be eligible for 
Federal funding, by meeting the State Certification Program standards 
and other requirements that may from time to time be promulgated by 
EPA, HUD, and such other Federal agencies as may have jurisdiction over 
lead hazards;
    i. Reciprocity. Authorize the agency, or agencies, to establish 
liaison with the other States having a State Certification Program to 
assure the maximum consistency of program requirements, in order to 
facilitate reciprocity of certification and accreditation among the 
several States;
    2. In addition to the mandatory elements present in #1 above, HUD 
and EPA strongly recommend that the enabling legislation include:
    a. Staffing. Authorize and direct the agency, or agencies to 
dedicate suitable staff and to acquire suitable space, equipment, 
supplies and other items necessary for the operations of the program.
    b. Fees. Authorize the agency, or agencies, to collect such fees 
for certification, accreditation, and other reviews as State policy may 
determine to be necessary to help support the activities of the agency 
or agencies.
    c. Laboratory Oversight. Authorize and direct the agency, or 
agencies, to cooperate with EPA in any joint oversight procedures EPA 
may propose for laboratories accredited under the EPA laboratory 
accreditation program for laboratories that offer to provide lead 
analysis services.
    d. Data Collection. Authorize the agency, or agencies, to establish 
a unit for the collection and analysis of data on lead-hazard detection 
and lead-hazard reduction activities in the State, and on

[[Page 24427]]

the certification, accreditation, and enforcement activities of the 
agency.
    e. Public Education. Authorize the agency, or agencies, in 
cooperation with other relevant agencies of the State, to conduct 
programs of public education on the nature and consequences of lead 
hazards and on the need for lead-hazard reduction activities to be 
conducted under careful supervision and by certified and accredited 
personnel in order to assure the public safety.

[FR Doc. 96-11949 Filed 5-13-96; 8:45 am]
BILLING CODE 4210-32-P