[Federal Register Volume 62, Number 106 (Tuesday, June 3, 1997)]
[Notices]
[Pages 30380-30400]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-14383]



[[Page 30379]]

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Part II





Department of Housing and Urban Development





_______________________________________________________________________



NOFA for Lead-Based Paint Hazard Control in Privately-Owned Housing, 
Fiscal Year 1997; Notice

  Federal Register / Vol. 62, No. 106 / Tuesday, June 3, 1997 / 
Notices  

[[Page 30380]]



DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4211-N-01]


NOFA for Lead-Based Paint Hazard Control in Privately-Owned 
Housing, Fiscal Year 1997

AGENCY: Office of the Secretary--Office of Lead Hazard Control, HUD.

ACTION: Notice of funding availability for Fiscal Year (FY) 1997.

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SUMMARY: This notice announces the competition for two categories of 
grant funding: Category A for approximately $46 million for a grant 
program for State and local governments to undertake lead-based paint 
hazard control in eligible privately-owned 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 privately-owned housing units on or near Superfund 
or ``Brownfield'' sites.
    Approximately 12-15 grants of $1 million-$4 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 efforts, 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. 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 provides 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 this grant 
program, and provide a relevant statutory provision.

DATES: An original and five copies of the completed application must be 
received by HUD no later than 3:00 p.m. (Eastern Time) on August 5, 
1997. 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.

ADDRESSES: Application kits may be obtained from the Office of Lead 
Hazard Control, 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 (http://www.hud.gov/lea/leahome.html). 
Completed applications must be submitted to the mailing address, and 
may not be faxed or electronically transmitted.

FOR FURTHER INFORMATION CONTACT: For Category A applicants: Ellis G. 
Goldman, Director, Program Management Division, Office of Lead Hazard 
Control, Room B-133, 451 Seventh Street, S.W., Washington, D.C. 20410, 
telephone (202) 755-1785, 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 toll-free Federal Information Relay 
Service at 1-800-877-8339.

SUPPLEMENTARY INFORMATION:

Promoting Comprehensive Approaches to Housing and Community Development

    HUD is interested in promoting comprehensive, coordinated 
approaches to housing and community development. Economic development, 
community development, public housing revitalization, homeownership, 
assisted housing for special needs populations, supportive services, 
and welfare-to-work initiatives can work better if linked at the local 
level. Toward this end, the Department in recent years has developed 
the Consolidated Planning process designed to help communities 
undertake such approaches.
    In this spirit, it may be helpful for applicants under this NOFA to 
be aware of other related HUD NOFAs that have recently been published 
or are expected to be published in the near future. By reviewing these 
NOFAs with respect to their program purposes and the eligibility of 
applicants and activities, applicants may be able to relate the 
activities proposed for funding under this NOFA to the recent and 
upcoming NOFAs and to the community's Consolidated Plan.
    HUD is publishing the following related NOFA elsewhere in today's 
Federal Register: The HOPE VI Public Housing Demolition NOFA. HUD has 
also recently published the following related NOFAs: the NOFA for the 
Revitalization of Severely Distressed Public Housing (HOPE VI) (62 FR 
18242, April 14, 1997), and the Comprehensive Improvement Assistance 
Program (CIAP) NOFA (62 FR 23928, May 1, 1997).
    To foster comprehensive, coordinated approaches by communities, the 
Department intends for the remainder of FY 1997 to continue to alert 
applicants to upcoming and recent NOFAs as each NOFA is published. In 
addition, a complete schedule of NOFAs to be published during the 
fiscal year and those already published appears under the HUD Homepage 
on the Internet, which can be accessed at http://www.hud.gov/
nofas.html. Additional steps on NOFA coordination may be considered for 
FY 1998.
    To help in obtaining a copy of your community's Consolidated Plan, 
please contact the community development office of your municipal 
government.

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

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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. Findings and Certifications

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
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 NOFA have 
been approved by the Office of Management and Budget (OMB), under the 
Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520) and assigned OMB 
control number 2539-0005. 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.

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 Consolidated Plan that applies for funding under 
this NOFA.
    Certified Contractor--A contractor, inspector, risk assessor, 
supervisor or other who has successfully completed a training program 
approved by the appropriate Federal agency and who meets any other 
requirements for certification or licensure established by such agency 
or who is 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-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.'')

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    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/cm \2\ 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/ft \2\ on floors, 500 g/ft \2\ on interior 
window sills, and 800 g/ft \2\ 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 the Comprehensive Environmental Response Compensation and 
Liability Act (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.
    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/
cm2) 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

[[Page 30383]]

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

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 privately-owned 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 forty-six million 
dollars ($46 million) is being made available to fund approximately 12-
15 Category A grants to assist State and local governments in 
undertaking lead-based paint hazard control in eligible privately-owned 
housing. Previously unfunded applicants are eligible to receive grants 
of $1 million to $4 million each. Existing grantees which are 
applicants are eligible to receive Category A grants of $1 million to 
$3 million each. A maximum of 33 percent of the funds under Category A 
of this NOFA shall be available to previous Lead-Based Paint Hazard 
Control grantees which meet the additional performance-based threshold 
criteria set forth in this NOFA. The applications of existing grantees 
shall be evaluated and scored as a separate class and will not be in 
competition with previously unfunded applicants. 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 or the brownfield initiative with 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 or brownfield 
sites where Superfund or brownfield 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 
privately-owned 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 and 
minority residents and businesses which are owned by and/or employ low-
income and minority residents as defined in 24 CFR 135.5 (See 59 FR 
33881, June 30, 1994).

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 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. Children

[[Page 30384]]

with elevated blood lead levels are disproportionately located in older 
and poorer neighborhoods in the nation's central cities. More than one-
third of African-American children living in large central cities have 
elevated blood lead levels. 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 August 29, 1996, the EPA published the 
final 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 in Target Housing and 
Child-Occupied Facilities) 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 
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.

3.2.1  Previous Lead-Based Paint Hazard Control Grant Awards

    This NOFA is for a fifth round of grants. In Fiscal Years 1992, 
1993, 1994, and 1996, HUD conducted competitions and approved a total 
of 84 Lead-Based Paint Hazard Control grants for approximately $335 
million dollars. There was no competition in FY 1995.

3.3  Allocation Amounts

(a) Amounts
    Approximately $46 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 Departments of Veterans Affairs and 
Housing and Urban Development, and Independent Agencies Appropriations 
Act, 1997 (Pub.L. 104-204, approved September 26, 1996) (FY 1997 
Appropriations Act).
(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;
     Builds local capacity; and
     Affirmatively furthers fair housing and environmental 
justice.
    HUD expects to award approximately 12-15 Category A grants of $1 
million to $4 million each on a cost-reimbursable basis.

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 
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 1996 NOFA (Round Four), issued May 14, 1996 (61 FR 
24408) or any applicant which has been awarded two (2) Lead-Based Paint 
Hazard Control Grants. As stated previously, approximately forty-six 
million dollars ($46 million) is being made available to fund 
approximately 12-15 Category A grants to assist State and local 
governments in undertaking lead-based paint hazard control in eligible 
privately-owned housing. Previously unfunded applicants are eligible to 
receive grants of $1 million to $4 million each. Existing grantees 
which are applicants are eligible to receive Category A grants of $1 
million to $3 million each. A maximum of 33 percent of the funds under 
Category A of this NOFA shall be available to previous Lead-Based Paint 
Hazard Control grantees which meet the additional performance-based 
threshold criteria set forth in this NOFA. The applications of existing 
grantees shall be evaluated and scored as a separate class and will not 
be in competition with previously unfunded applicants. 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: (HUD encourages local innovation in performing work 
under this grant.) HUD reserves the right, in negotiating the grant 
agreement, to delete budget items that, in its judgment, are not 
necessary for the direct support of program purposes, and to request 
the grantee to redirect the deleted sums to other acceptable purposes, 
or to make a corresponding reduction in the grant award.
    (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 30385]]

     Complete abatement of lead-based paint and lead-based 
paint hazards, including soil and dust, by means of removal, enclosure, 
encapsulation, or replacement methods.
     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 minimal 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.
     Providing training to low-income persons for the purposes 
of lead-based paint worker or contractor certification and/or 
licensing.
     Conducting general or targeted community awareness or 
education programs on lead hazard control and lead poisoning 
prevention. This activity would include educating owners of rental 
properties to the provisions of the Fair Housing Act. It would also 
include making all materials available in alternative formats for 
persons with disabilities (e.g.; braille, audio, large type), upon 
request.
     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.

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) Where the community is participating in the National Flood 
Insurance Program, 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 10, Findings 
and Certifications, in this NOFA.)
    (d) The applicant/grantee, subgrantee, or other subrecipient shall 
comply with the requirements of the Uniform Relocation Assistance and 
Real Property Acquisition Policies Act of 1970 (URA) (42 U.S.C. 4601-
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. However, the policy on paying for such costs should 
be in writing and administered consistently in all cases. 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

[[Page 30386]]

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 Health and Safety Administration 
(OSHA) (29 CFR 1926.62--Lead Exposure in Construction) (See Appendix A 
of this NOFA), or the State or local occupational safety and health 
regulations, whichever are most stringent. 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 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.

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.

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. 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, or 
the quality of the environment.
(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 and laboratory analysis 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
    (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/cm2) 
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.

[[Page 30387]]

    (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 and soil samples, and any paint samples to be analyzed by a 
laboratory, must be analyzed by a laboratory accredited to perform 
those analyses (see Definitions). Units shall not be reoccupied until 
clearance levels are achieved.

Section 4. Grant Application Process for Category A

4.1  Submitting Applications for Grants

    To be considered for Category A funding, an original and two copies 
of the application must be physically received in the Office of Lead 
Hazard Control, Department of Housing and Urban Development, Room B-
133, 451 Seventh Street, S.W., Washington, D.C. 20410, no later than 
3:00 P.M. (Eastern Time) on August 5, 1997. 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 a limited number of 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.

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 Consolidated Plan. Applicants under this NOFA are 
permitted to submit documentation that HUD approved their current 
program year Consolidated Plan. Applicants are to submit, as an 
appendix, a copy of the lead-based paint element included in the 
approved Consolidated Plan. Applicants that do not have a currently 
approved 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. Applicants with outstanding 
findings of civil rights violations are not eligible for funding.
(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 established pursuant to lead-based paint 
contractor certification and accreditation legislation 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 paragraph (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 
for contractors 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

[[Page 30388]]

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.

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 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 110 points for previously unfunded applicants and 125 points 
for applicants which are existing grantees. (Applicants which are 
existing Lead-Based Paint Hazard Control grantees are eligible to 
receive a maximum of 15 additional points for performance related to 
implementing their most recent grant award.) The applications of 
existing grantees shall be evaluated and scored as a separate class and 
will not be in competition with previously unfunded applicants.
    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 1996 NOFA (Round 
Four) issued May 14, 1996 (61 FR 24408), or any applicant which has 
been awarded two (2) Lead-Based Paint Hazard Control Grants). As stated 
previously, approximately forty-six million dollars ($46 million) is 
being made available to fund approximately 12-15 Category A grants to 
assist State and local governments in undertaking lead-based paint 
hazard control in eligible privately-owned housing. Previously unfunded 
applicants are eligible to receive grants of $1 million to $4 million 
each. Existing grantees which are applicants are eligible to receive 
Category A grants of $1 million to $3 million each. A maximum of 33 
percent of the funds under Category A of this NOFA shall be available 
to existing Lead-Based Paint Hazard Control grantees which meet the 
additional performance-based threshold criteria set forth in this NOFA. 
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.
    It is desirable for the applicant 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 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. Existing 
grantees must provide an assurance that the lead hazard control 
activities proposed in the application will commence concurrently with 
lead hazard control work being conducted with previously awarded HUD 
lead-based paint grant funds. A detailed description of how this will 
be accomplished shall be provided.
    (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 
privately-owned 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.
     A description of the applicant's previous experience in 
reducing or eliminating lead-based paint hazards in conjunction with 
other Federal, State or locally funded programs.
     The process for the selection, prioritization, risk 
assessment and/or inspection, and enrollment of units of eligible 
privately-owned 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/cm 2 or other threshold established by 
statute, regulation or local ordinance.)
     The lead hazard control methods to be undertaken and the 
number of units to be treated for each method selected (Interim 
Controls, hazard abatement, and complete abatement). Provide an 
estimate of the per unit costs for each method planned in conducting 
lead hazard control and the time frames projected to initiate and 
complete lead hazard control work in units selected. Efforts to 
incorporate cost-effective

[[Page 30389]]

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, including 
eligibility criteria, terms, conditions and amounts available, 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 the 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.
    Existing grantees must provide a complete description of their 
progress and accomplishments related to implementing their original or 
amended lead hazard control strategy under their most recent grant 
award. If the strategy and/or methods proposed in this application 
differ from the applicant's existing grant, a description of the basis 
for this modified strategy should be included.
    (3) Program Evaluation and/or Data Collection (5 points)--The 
applicant must identify the specific methods to be used, in addition to 
using HUD reporting or data collection forms, 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--[Place-Based Factor] 
(20 Points)
    For this rating factor, the Secretary's Representative will review 
and score all eligible applications received from their designated 
State and local jurisdictions. The extent to which the applicant has 
enlisted the broad participation of neighborhood, community, 
governmental and nongovernmental organizations and the private sector 
(for-profit and not-for-profit entities) 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 jurisdiction. Such efforts might include: the formation 
of broad-based lead task forces; expansion of public and private 
cooperation and coordination of lead hazard control program services 
with other revitalization efforts such as Federally designated Urban or 
Rural Empowerment Zones, Enterprise Communities, or Supplemental 
Empowerment Zones, and, implementation of programmatic responses to 
environmental justice issues. (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 firm commitments, memoranda of 
understanding or agreements, and letters of participation and/or a 
discussion of levels of effort and responsibility will result in a 
reduced rating under this factor.
    Existing grantees must provide a detailed description of their 
progress and accomplishments related to their efforts to enlist broad-
based support and participation of the community and private sector as 
well as any plans to expand or enhance their efforts under this NOFA.
(d) Applicant Capacity and Commitment to Hazard Control. (15 Points for 
Previously Unfunded Applicants; 30 Points for Existing Grantees)
    (The applications of existing grantees shall be evaluated and 
scored as a separate class and will not be in competition with 
previously unfunded applicants)--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. An 
existing grantee applicant must provide a description of its progress 
and achievements in implementing its most recent grant award within the 
period of performance. Existing grantee applicants must describe their 
plans to concurrently implement lead hazard control activities under 
this NOFA with work already undertaken with their most recent grant 
award.
     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. (3 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

[[Page 30390]]

its planned comprehensive Lead-Based Paint Hazard Control Grant 
Program. (5 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. (2 points)
     Performance-Based Criteria for Existing Grantees Only.
    Applicants are advised that in selecting grantees under this NOFA, 
the Secretary or his designee is unlikely to select applicants which 
were previously funded under the FY 96 NOFA (Round Four) issued May 14, 
1996 (61 FR 24408), or any applicant which has two (2) Lead-Based Paint 
Hazard Control Grants. This selection decision is pursuant to the 
Secretary's authority to ensure geographic distribution and to ensure 
that funds available under this NOFA are used effectively to promote 
the purposes of Title X and to target funds to areas of greatest need.
    Grantees which have demonstrated measurable progress in the 
implementation of their most recent grant award as measured by 
expenditures and/or units completed or in-progress will receive more 
favorable consideration under this factor for award relative to other 
existing grantees applying under this NOFA. Progress will be judged 
from the effective starting date of the applicant's most recent lead-
based paint hazard control grant award. (15 points)
(e) Actions Affirmatively Furthering Fair Housing in Department 
Programs (10 Points)
    Extent to which proposal affirmatively furthers fair housing and 
environmental justice for all persons regardless of race, color, 
national origin, religion, sex, disability (including children with 
EBL), or familial status (size of family and number of children). 
Special consideration will be given to particularly innovative 
strategies and those designed to remedy the effects of identified past 
discrimination. Applicants with existing grants should discuss 
outstanding current activity on the factors specified below. Proposals 
which receive the full ten points will have addressed, in depth, the 
following issues:
    (1) Outreach strategies and methodologies to provide lead hazard-
free housing to all segments of the population: homeowners, owners of 
rental properties, and tenants; especially for occupants least likely 
to receive its benefits. Once the population to which outreach will be 
``targeted'' is identified, (e.g.; homeowners who are racial minorities 
living in minority-concentrated areas or owners of properties with 
under-served tenants such as minority renters with large families 
containing young children), outreach strategies directed specifically 
to them should be multifaceted. This criterion goes beyond testing and 
hazard control; it concerns what happens to the units after the lead 
hazard control and tries to ensure that all families will have 
adequate, lead hazard-safe housing.
    (2) Demonstrate how the funding would be used in conjunction with 
the State or local government's Fair Housing Planning strategy to 
overcome any identified impediment to fair housing choice, which 
pertains to lead-based paint, and how experience with this program will 
be used to update these documents. Specific impediments, plans for 
correcting the identified impediments, and planned updates to the 
analysis of impediments should be described.
(f) 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 after the grant is completed. Applicants 
should review the Lead-Based Paint Hazard Reduction and Financing Task 
Force Report: Putting the Pieces Together: Controlling Lead Hazards in 
the Nation's Housing (See NOFA, Appendix A). Lead hazard control 
integration plans may include: (1) Incorporating lead-based paint 
maintenance and hazard control standards into housing codes and health 
regulations; (2) incorporating lead-based paint hazard control with 
other housing rehabilitation or code violation activities; (3) the use 
of public subsidies or other resources; (4) developing public-private 
lending partnerships to finance lead hazard control as part of 
acquisition and rehabilitation financing; (5) the use of revolving loan 
funds to finance future lead hazard control activities; and (6) the 
development and maintenance of a registry of lead-safe units with valid 
documentation of compliance with standards of lead hazard control and 
the process by which children, particularly those under age 6, are 
matched to lead-safe units.
    Existing grantees must provide a description of the efforts they 
have undertaken to integrate lead hazard control activities beyond the 
duration of their currently funded program and how they plan on 
continuing and enhancing such efforts in the future.

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

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, sub-grantees, 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

[[Page 30391]]

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 and experience in 
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.
    (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. Findings and Certifications 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 Consolidated Plan. A copy of the applicant's lead 
hazard control element included in the current program year 
Consolidated Plan.

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
     Methods to Affirmatively Further Fair Housing; and
     Future Integration and Coordination of Lead Hazard Control 
Activities With Other Programs.

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, 
including the authorities cited at 24 CFR 5.105.
    (d) Assurance that financial management system meets the standards 
for fund control and accountability (24 CFR 85.20).
    (e) Assurance that pre-hazard control, clearance, and 12 month 
post-hazard control testing will be conducted by certified performers.
    (f) Assurance, to the extent possible, that blood lead testing, 
blood lead level test results, and medical referral and follow up 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.)
    (g) Assurance that Lead-Based Paint Hazard Control Grant Program 
funds will not replace existing resources dedicated to any ongoing 
project.
    (h) 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

 6.1  Purpose and Authority

    Category B provides funds for two Federal government agencies to 
work

[[Page 30392]]

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.
    In addition, for the first time, HUD is expanding the scope of 
Category B to include Brownfield sites. HUD hopes that by making funds 
available for use at Brownfield sites, the Department can fulfill an 
important part of its mission to provide safe, affordable housing. By 
including Brownfields, the Department is continuing another successful 
partnership with EPA that it began last year with the development of 
Category B. This partnership has enabled State and local governments to 
combine Federal 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 own jurisdictions.
    For purposes of this NOFA, an eligible Brownfield site is one where 
the State or local government has made the Brownfield designation; 
there are one or more buildings that will be converted into low-income 
family residential units; the buildings to be converted are likely to 
have lead-based paint hazards that must be controlled and that the 
residential units will be for income eligible families.
    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 of the Housing and Community Development 
Act of 1992.
    The purposes of this program include:
    (a)(1) To demonstrate that Potentially Responsible Parties (PRPs), 
State and 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)).
    (2) To address the difficult urban housing problems at Brownfield 
sites that have been passed over for development and to demonstrate how 
HUD and EPA, together with State and local governments and the private 
sector can work to solve this problem.
    (b) To promote 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 received a Brownfield site designation, or within 18 months of the 
application submission deadline date have 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 at Superfund sites but may be used for soil 
cleanup at Brownfield sites.
    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 be 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.
    As part of HUD's efforts towards the joint goals of environmentally 
safe housing and urban redevelopment of bypassed Brownfields sites, 
certain Brownfield sites will be eligible. HUD wants to encourage the 
provision of privately-owned low-income housing on sites that were once 
abandoned.
    Category B targets: (1) Communities with Superfund sites that may 
or may not have participated in previous HUD lead-based paint hazard 
control grant programs; and (2) communities with eligible Brownfield 
sites. In addition, States or units of local government, where 
privately-owned income eligible housing exists near Federal Facilities 
designated as Superfund sites, may apply for assistance under this 
NOFA. This Category will create a means for communities with a 
Superfund site(s) and/or Brownfield sites to address both lead-based 
paint inside and outside houses as well as soil cleanup. HUD has 
developed 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 FY 1997 Appropriations Act.
(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.

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 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

[[Page 30393]]

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. 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 
Category B of the FY 1996 NOFA (Round Four), issued May 14, 1996 (61 FR 
24408)
(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 privately-owned eligible housing units at or near Superfund 
sites where lead has been identified as a major contaminant or for 
privately-owned eligible housing units at or near Brownfield sites. 
(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.
(c) Brownfield Sites
    Jurisdictions are eligible where the State or local Government has 
made the Brownfield designation; there are one or more buildings that 
will be converted into residential units; the buildings to be converted 
are likely to have lead-based paint hazards that must be controlled; 
and the residential units will be for income eligible families.

Section 7.3 Rating Factors

    HUD will use the following technical and financial criteria to rate 
and rank applications received in response to this 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.
    In selecting successful Superfund applicants, HUD is very 
interested in applicants who have managed to involve PRPs yet 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. These ``orphan'' Superfund 
sites are similar to Brownfield sites in that neither has the resources 
of a contributing PRP available to them. For this reason orphan 
Superfund sites and Brownfield sites will be evaluated similarly under 
Category B of the NOFA. However Superfund sites where one or more PRPs 
have been identified, and where PRPs are contributing less than 1% of 
the requested grant amount, will have a reduced score under this rating 
factor (see Section 7.3(a)(2)). Under Category B, HUD seeks a balance 
between those sites who have active and willing PRPs and those orphan 
Superfund sites and Brownfield sites 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 and at the same time 
not exclude orphan Superfund or Brownfield sites. Therefore, since 
neither orphan Superfund sites nor Brownfield sites have PRP's, PRP 
involvement is not a prerequisite threshold requirement for eligibility 
or selection of an award.
    The maximum score possible under the rating factors is 110 points.
(a) Coordination (35 Points)
    (1) Describe the history of the working relationship of the 
applicant, EPA, any other Federal agencies, residents or neighborhood-
based organizations, and each Potentially Responsible Party (PRP), if 
any. When describing the working relationship with EPA, applicants 
should include Superfund activity, if appropriate, or Brownfield 
activity. Describe any site-specific community relations plans and 
activities including public meetings and other outreach activities that 
present a complete picture of the community's involvement and any 
likely issues that may arise. (25 points)
    (2) Discuss the financial, technical, and other resources 
contributed. (10 points)
    Applicants will be scored according to ONLY one of the following 
situations:
    (i) The site is an orphan Superfund site or a Brownfield site. The 
applicant will receive the full score. (5 points)
   or
    (ii) The site is a Superfund site and the total PRP contributions 
are equal to or exceed 1% of the requested grant sum. (10 points)
   or
    (iii) The site is a Superfund site and one or more PRPs have been 
identified and total contributions are less than 1% of the requested 
grant sum. (5 points)
(b) Activities (25 Points)
    (1) (i) For Superfund sites: 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)
   or
    (ii) For Brownfield sites: Applicants must provide information 
about whether or not lead soil contamination exists (if known) 
including the level of contamination. If soil lead levels exist, or are 
likely to exist, that need remediation, applicants must describe how 
remediation will occur. (15 points)
    (2) Describe which non-HUD funding sources have been secured to 
abate

[[Page 30394]]

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 or Brownfield sites, 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 (if applicable); 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 (if applicable). (8 points)
    (2) The level of coordination between the applicant, HUD, and the 
Superfund program or the Brownfield 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 for Superfund sites with 
PRPs. (7 points)
    (3) A program for education and outreach to the people residing on 
or near the Superfund site or on or near the Brownfield 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 or the 
Brownfield part of the project as applicable. If applicable, 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)
(e) Actions Affirmatively Furthering Fair Housing in Department 
Programs (10 Points)
    Extent to which proposal affirmatively furthers fair housing and 
environmental justice for all persons regardless of race, color, 
national origin, religion, sex, disability (including children with 
EBL), or familial status (size of family and number of children). 
Special consideration will be given to particularly innovative 
strategies and those designed to remedy the effects of identified past 
discrimination. Applicants with existing grants should discuss 
outstanding current activity on the factors specified below. Proposals 
which receive the full ten points will have addressed, in depth, the 
following issues:
    (1) Outreach strategies and methodologies to provide lead hazard-
free housing to all segments of the population: homeowners, owners of 
rental properties, and tenants; especially for occupants least likely 
to receive its benefits. Once the population to which outreach will be 
``targeted'' is identified, (e.g.; homeowners who are racial minorities 
living in minority-concentrated areas or owners of properties with 
under-served tenants such as minority renters with large families 
containing young children), outreach strategies directed specifically 
to them should be multifaceted. This criterion goes beyond testing and 
hazard control; it concerns what happens to the units after the lead 
hazard control and tries to ensure that all families will have 
adequate, lead hazard-safe housing.
    (2) Demonstrate how the funding would be used in conjunction with 
the State or local government's Fair Housing Planning strategy to 
overcome any identified impediment to fair housing choice, which 
pertains to lead-based paint, and how experience with this program will 
be used to update these documents. Specific impediments, plans for 
correcting the identified impediments, and planned updates to the 
analysis of impediments should be described.

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 and do not affect the 
score, such as an omitted certification or illegible signature. The 
applicant shall submit corrections, which must be received at the 
Office of Lead Hazard Control 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 HUD to be minor. Deficiencies

[[Page 30395]]

determined by HUD to be substantive and which may affect the score may 
not be corrected.

Section 9. Administrative Provisions

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.

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.

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 either or both of the following actions:
    (1) Readvertise the availability of funds that have been 
deobligated under this section in a new NOFA; or
    (2) Choose additional applications which were submitted in response 
to this NOFA in accordance with the selection process described in 
Section 4.1 and Section 7.3 of this NOFA.

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. Findings and Certifications

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.

Accountability in the Provision of HUD Assistance

    Section 102 of the Department of Housing and Urban Development 
Reform Act of 1989 (HUD Reform Act) and the final rule codified at 24 
CFR part 4, subpart A, published on April 1, 1996 (61 FR 1448), contain 
a number of provisions that are designed to ensure greater 
accountability and integrity in the provision of certain types of 
assistance administered by HUD. On January 14, 1992 (57 FR 1942), HUD 
published a notice that also provides information on the implementation 
of section 102. The documentation, public access, and disclosure 
requirements of section 102 are applicable to assistance awarded under 
this NOFA as follows:
a. Documentation and Public Access
    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.
b. 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,

[[Page 30396]]

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.

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. 1352) (the 
Byrd Amendment), which prohibits applicants from using appropriated 
funds for lobbying the Executive or Legislative Branches of the Federal 
Government in connection with a specific contract, grant, or loan. 
Applicants are required to certify, using the certification found at 
Appendix A to 24 CFR part 87, that they will not, and have not, used 
appropriated funds for any prohibited lobbying activities. In addition, 
applicants must disclose, using Standard Form LLL, ``Disclosure of 
Lobbying Activities,'' any funds, other than Federally appropriated 
funds, that will be or have been used to influence Federal employees, 
members of Congress, and Congressional staff regarding specific grants 
or contracts.

Procurement Standards

    All grantees are governed by and should consult 24 CFR sections 
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 HUD 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 all successful applicants.
    HUD employees involved in the review of applications and in the 
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 who have ethics related questions should contact HUD's 
Ethics Law Division (202) 708-3815 (This is not a toll-free number).

Catalog of Federal Domestic Assistance Number

    The Catalog of Federal Domestic Assistance Number for this program 
is 14.900.

    Dated: May 22, 1997.
David E. Jacobs,
Director, Office of Lead Hazard Control.

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 in Target 
Housing and Child-Occupied Facilities; Final 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.

                                  CDC Classes of Blood Lead Levels in Children                                  
----------------------------------------------------------------------------------------------------------------
                                       Concentration  (q/dL)                              Comment                     
----------------------------------------------------------------------------------------------------------------
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.      

[[Page 30397]]

                                                                                                                
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 and 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 Section 3.4(c) of this NOFA, 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;
    (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

[[Page 30398]]

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 
buildings 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 30400]]

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.
    On August 29, 1996 EPA promulgated a final regulation that 
established requirements for lead-based paint activities in Target 
Housing and Child Occupied Facilities. At 40 CFR part 745 Subpart L, 
the Agency established requirements for the certification of 
individuals and the accreditation of training programs as well as 
work practice standards. At 40 CFR part 745 Subpart Q, the Agency 
established procedures and requirements for the approval of State 
programs that would be administered and enforced in lieu of the 
Federal Program in that State. At 40 CFR 745.325 and 745.327, the 
Agency established the minimum programmatic and enforcement elements 
that a program must have in order to be authorized. States will have 
until August 30, 1998 to receive authorization from the Agency. 
After that date, EPA will administer the Federal program in that 
State. Any State that is applying for a HUD Lead-Based Paint Hazard 
Control Grant must have legislation that provides the State with the 
authority to develop a program that reflects substantial progress 
towards fulfilling the requirements of 40 CFR 745.325 and 327. Thus, 
while HUD does not require that 40 CFR part 745 be fully implemented 
at this time, a State must have enacted legislation which will 
support the eventual implementation of all requirements set forth in 
EPA's final rule. States should be aware that effective August 30, 
1998, HUD will not award grants for lead-based paint hazard 
evaluation or reduction to a State unless such State has an 
authorized program under section 404 of the Toxic Substances Control 
Act.

[FR Doc. 97-14383 Filed 6-2-97; 8:45 am]
BILLING CODE 4210-32-P