[Federal Register Volume 63, Number 20 (Friday, January 30, 1998)]
[Notices]
[Pages 5220-5222]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-2270]


      

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Part VII





Department of Housing and Urban Development





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Office of the Assistant Secretary for Community Planning and 
Development; Notice of Funding for Fiscal Year 1997: Capacity Building 
for Community Development and Affordable Housing; Notice

  Federal Register / Vol. 63, No. 20 / Friday, January 30, 1998 / 
Notices  

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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4289-N-01]


Office of the Assistant Secretary for Community Planning and 
Development; Funding for Fiscal Year 1997: Capacity Building for 
Community Development and Affordable Housing

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

ACTION: Notice of funding for fiscal year 1997.

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SUMMARY: A recently enacted appropriation transfers $30.2 million in 
Fiscal Year 1997 funds to section 4 of the HUD Demonstration Act of 
1993 and amends it to provide this assistance through The Enterprise 
Foundation, the Local Initiatives Support Corporation (LISC), Habitat 
for Humanity, and Youthbuild, USA. The funds are to be used for 
capacity building for community development and affordable housing--
provided that at least $10,000,000 of the funding is used in rural 
areas, including tribal areas--as required by section 4 of the 1993 
Act.
    Section 4 authorizes the Secretary to establish by notice such 
requirements as may be necessary to carry out its provisions. This 
notice, which takes effect upon issuance, indicates that HUD will 
equally divide the $30.2 million appropriated for this capacity 
building initiative among the four organizations cited above. Each 
organization will match the HUD assistance provided with resources from 
private sources in an amount equal to three times its share, as 
required by section 4 of the 1993 Act. Each organization will use at 
least $2.5 million of its $7.55 million share for activities in rural 
areas, including tribal areas.
    This notice also provides details regarding administrative and 
other requirements which shall apply to this program.

FOR FURTHER INFORMATION CONTACT: Phyllis Amon, Office of Community 
Planning and Development, Department of Housing and Urban Development, 
451 Seventh Street, SW., Room 7216, Washington DC 20410. Telephone 
Number (202) 708-3176 Ext. 4380, TTY Number: (202) 708-2565. (These are 
not toll-free numbers.)

SUPPLEMENTARY INFORMATION:

1. Authority

    The 1997 Emergency Supplemental Appropriations Act for Recovery 
from Natural Disasters, and for Overseas Peacekeeping Efforts, 
including Those in Bosnia, Pub.L. 105-18, 111 Stat. 198 and 201, June 
12, 1997, (1997 Emergency Supplemental Appropriations Act) transfers 
$30.2 million from the Homeownership and Opportunity for People 
Everywhere (HOPE) program account to section 4 of the HUD Demonstration 
Act of 1993, 41 U.S.C. 9816 note, (1993 Act) and amends it to provide 
this assistance through Enterprise, LISC, Habitat for Humanity, and 
Youthbuild ``to develop the capacity and ability of community 
development corporations and community housing development 
organizations to undertake community development and affordable housing 
projects and programs.''

2. Background

    In Fiscal Year 1994, HUD provided $20 million to Enterprise and 
LISC through The National Community Development Initiative (NCDI) as 
authorized by section 4 of the HUD Demonstration Act of 1993. An 
additional $10 million for NCDI was authorized by section 12(b)(3) of 
the Housing Opportunity Program Extension Act of 1996, Pub. L. 104-120, 
110 Stat. 845, March 28, 1996. In accordance with these statutes, HUD 
divided both appropriations equally between Enterprise and LISC. HUD 
published a notice on March 30, 1994, at 59 FR 14988, which sets forth 
the requirements for these funds.
    Today's notice contains requirements for the newly authorized $30.2 
million. These funds, however, may be allocated by Enterprise and LISC 
to continue NCDI activities which received funding under the notice 
dated March 30, 1994 and grant agreements pursuant to it. Those 
activities will continue to be governed by the requirements of the 
Federal Register funding notice dated March 30, 1994.
    Today's notice does not apply to the $30 million in funds 
previously made available for NCDI under section 4 of the HUD 
Demonstration Act of 1993 or any additional HUD funds allocated by 
Enterprise and LISC for NCDI activities. The use of such funds will 
continue to be governed by the requirements of the March 30, 1994, 
Federal Register funding notice.

3. Allocation and Form of Awards

    The 1997 Emergency Supplemental Appropriations Act provides $30.2 
million for Section 4 activities. In accordance with congressional 
intent, Enterprise, LISC, Habitat for Humanity, and Youthbuild will 
each be awarded 7.55 million. The accompanying Conference Report stated 
in part:

    The language makes a technical change to include certain 
participating intermediary organizations * * *. It is the intent of 
the conferees that funds available shall be equally divided among 
participating intermediary organizations. (H.R. Conf. Rep. No. 105-
119, 105th Cong., 1st Sess. 115 (1997))

    Each organization will use $2.5 million of its share for activities 
in rural areas, including tribal areas.

4. Eligible Activities

    Eligible activities under this award include:
    (a) Training, education, support, and advice to enhance the 
technical and administrative capabilities of community development 
corporations (CDCs) and community housing development organizations 
(CHDOs);
    (b) Loans, grants, development assistance, predevelopment 
assistance, or other financial assistance to CDCs/CHDOs to carry out 
community development and affordable housing activities that benefit 
low-income families and persons, including the acquisition, 
construction, or rehabilitation of housing for low-income families and 
persons, and community and economic development activities which create 
jobs for low-income persons; and
    (c) Such other activities as may be determined by Enterprise, LISC, 
Habitat for Humanity, and Youthbuild in consultation with the Secretary 
or his designee.

5. Matching Requirements

    As required by section 4 of the 1993 Act, this $30.2 million 
appropriation is subject to each award dollar being matched by three 
dollars in cash or in-kind contributions to be obtained from private 
sources. Each of the organizations receiving these funds will document 
its proportionate share of matching resources, including resources 
committed directly or by a third party to a grantee or subgrantee after 
June 12, 1997 to conduct activities in approved work plans.
    In-kind contributions shall conform to the requirements of 24 CFR 
84.23.

6. Administrative and Other Requirements

    The award will be governed by 24 CFR part 84 (Uniform 
Administrative Requirements), A-122 (Cost Principles for Nonprofit 
Organizations), and A-133 (Audits of Institutions of Higher Education 
and other Nonprofit Institutions) as implemented at 24 CFR part 45.

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    Other requirements will be detailed in the terms and conditions of 
the grant agreement provided to grantees, including the following:
    (a) Each grantee will submit to HUD a specific work and funding 
plan for each community showing when and how the federal funds and non-
federal matching resources will be used. The work plan must be 
sufficiently detailed for monitoring purposes and must identify the 
performance goals and objectives to be achieved. Within 30 days after 
submission of a specific work plan, HUD will approve the work plan or 
notify the grantee of matters which need to be addressed prior to 
approval, or the work plan shall be construed to be approved. Work 
plans may be developed for less than the full dollar amount and term of 
the award, but no HUD-funded costs may be incurred for any activity 
until the work plan is approved by HUD. All activities are also subject 
to the environmental requirements in paragraph 6.(f) of this notice.
    (b) The grantees shall submit to HUD an annual performance report 
due 90 days after the end of each calendar year, with the first report 
due on March 31, 1999. Performance reports shall include reports on 
both performance and financial progress under work plans including 
reports on the commitment and expenditure of private matching resources 
utilized through the end of the reporting period. Reports shall conform 
to the reporting requirements of 24 CFR part 84. Additional information 
or increased frequency of reporting, not to exceed twice a year, may be 
required by HUD any time during the grant agreement if HUD finds such 
reporting to be necessary for monitoring purposes.
    To further the consultation process and share the results of 
progress to date, the Secretary may require grantees to present and 
discuss their performance reports at annual meetings in Washington, DC 
during the life of the award.
    (c) The performance reports must contain the information required 
under 24 CFR part 84, including a comparison of actual accomplishments 
with the objectives and performance goals of the work plans. In the 
work plans each grantee will identify performance goals and objectives 
established for each community in which it proposes to work and 
appropriate measurements under the work plan such as: the number of 
housing units and facilities each CDC/CHDO produces annually during the 
grant period and the average cost of these units. Provided, however, 
that when the activity described in a work plan is not to be undertaken 
in a single community that a report indicating the areas in which the 
activity will be undertaken, along with appropriate goals and 
objectives, will be provided when that information is available. The 
performance reports will also include a discussion of the 
reasonableness of the unit costs; the reasons for slippage if 
established objectives and goals are not met; and additional pertinent 
information.
    (d) A final performance report, in the form described in paragraph 
(c) above, shall be provided to HUD by each grantee within 90 days 
after the completion date of the award.
    (e) Financial status reports (SF-269A) shall be submitted 
semiannually.
    (f) Environmental review. Individual projects to be funded by these 
grants may not be known at the time the overall grants are awarded and 
also may not be known when some of the individual subgrants are made. 
Therefore, in accordance with 24 CFR 50.3(h), the application and the 
grant agreement must provide that no commitment or expenditure of HUD 
or local funds to a HUD-assisted project may be made until HUD has 
completed an environmental review to the extent required under 
applicable regulations and has given notification of its approval in 
accordance with 24 CFR 50.3(h).

8. Application Content

    Grantees will be required to file an application containing the 
following:
    (a) Application for Federal Assistance (OMB Standard Form 424), 
Non-construction Assurances (SF-424B), Certification Regarding Drug-
Free Workplace Requirements, Certification Regarding Lobbying and the 
Fair Housing and Equal Opportunity certification described in section 
9(f) of this notice;
    (b) A Summary Budget for the amount of funds being requested as 
described in section VI (10) of the ``NOFA for Consolidated Technical 
Assistance for Community Planning and Development (CPD) Programs; 
Notice,'' published at 59 FR 33842, 33848, on June 30, 1994 and 
specifying any amounts to be committed to NCDI activities under the 
notice dated March 30, 1994 and grant agreements pursuant to it.

9. Other Matters

    (a) Environmental Impact. A Finding of No Significant Impact with 
respect to the environment has been made in accordance with the 
Department's regulations at 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 between 7:30 a.m. and 5:30 p.m. weekdays at the Office of 
the Rules Docket Clerk, Room 10276, Department of Housing and Urban 
Development, 451 Seventh Street, SW, Washington, DC 20410.
    (b) Wage Rates. Unless triggered by other Federal funds for a 
project under this grant, the requirements of the Davis-Bacon Act do 
not apply.
    (c) Relocation. The Uniform Relocation Act applies to anyone who is 
displaced as a result of acquisition, rehabilitation, or demolition, 
for a HUD-assisted activity.
    (d) Federalism. The General Counsel, as the Designated Official 
under section 7(a) of the Executive Order 12612, Federalism, has 
determined that the policies contained in this funding notice will not 
have substantial direct effects on States or their political 
subdivisions or on the distribution of power and responsibilities among 
the various levels of government. Specifically, this notice makes funds 
available through specific entities for specific activities, as 
required by statute, and does not impinge upon the relationships 
between the Federal government, and State and local governments.
    (e) Prohibition against lobbying activities. Applicants for funding 
under this notice 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) and to the 
provisions of the Lobbying Disclosure Act of 1995, Pub. L. 104-65 
(December 19, 1995).
    The Byrd Amendment, which is implemented in regulations at 24 CFR 
part 87, prohibits applicants for Federal contracts and grants from 
using appropriated funds to attempt to influence Federal Executive or 
legislative officers or employees in connection with obtaining such 
assistance, or with its extension, continuation, renewal, amendment or 
modification. The Byrd Amendment applies to the funds that are the 
subject of this notice. Therefore, applicants must file with their 
application a certification stating that they have not made and will 
not make any prohibited payments and, if any payments or agreement to 
make payments of nonappropriated funds for these purposes have been 
made, a form SF-LLL disclosing such payments must be submitted.
    The Lobbying Disclosure Act of 1995, Pub. L. 104-65 (December 19, 
1995), which repealed section 112 of the HUD Reform Act and resulted in 
the elimination of the regulations at 24 CFR

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part 86, requires all persons and entities who lobby covered Executive 
or Legislative Branch officials to register with the Secretary of the 
Senate and the Clerk of the House of Representatives and file reports 
concerning their lobbying activities.
    (f) Fair Housing and Equal Opportunity. Applications must contain a 
certification that the applicant will comply with the requirements of 
the Fair Housing Act, title VI of the Civil Rights Act of 1964, section 
504 of the Rehabilitation Act of 1973, and the Age Discrimination Act 
of 1975, and will affirmatively further fair housing.

    Authority: Section 4 of the HUD Demonstration Act of 1993, Pub. 
L. 103-120, 42 U.S.C. 9816 note, as amended and Pub. L. 105-18, 111 
Stat 198.

    Dated: January 23, 1998.
Saul N. Ramirez, Jr.,
Assistant Secretary for Community Planning and Development.
[FR Doc. 98-2270 Filed 1-29-98; 8:45 am]
BILLING CODE 4210-29-P