[Federal Register Volume 64, Number 91 (Wednesday, May 12, 1999)]
[Notices]
[Pages 25746-25753]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-11919]



[[Page 25745]]

_______________________________________________________________________

Part VI





Department of Housing and Urban Development





_______________________________________________________________________



Withdrawing and Reissuing FY 1999 Notice of Funding Availability for 
the Public Housing Drug Elimination Program; Notice

Federal Register / Vol. 64, No. 91 / Wednesday, May 12, 1999 / 
Notice

[[Page 25746]]



DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4451-N-03]


Notice Withdrawing and Reissuing FY 1999 Notice of Funding 
Availability for the Public Housing Drug Elimination Program

AGENCY: Office of the Assistant Secretary for Public and Indian 
Housing, HUD.

ACTION: Notice Withdrawing and Reissuing FY 1999 Notice of Funding 
Availability (NOFA) for the FY 1999 Public Housing Drug Elimination 
Program (PHDEP).

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

SUMMARY: The Department of Housing and Urban Development (HUD) is 
withdrawing the FY 1999 NOFA for the Public Housing Drug Elimination 
Program (PHDEP) published in the Federal Register of February 26, 1999 
(64 FR 9745) and reissuing a NOFA that requests less information. 
Elsewhere in this issue of the Federal Register is HUD's proposed rule 
to implement the distribution of PHDEP funding under a non-competitive 
formula. The information requested by this notice will be used by HUD 
whether or not funds are distributed competitively, and will reduce the 
current reporting burden on applicants. This action is intended to 
prevent an interruption in the funding process while issues related to 
the proposed rule are resolved.

DATES: Requested information should be submitted by June 16, 1999.

ADDRESSES: Submit an original and two copies of the information 
requested to the local Field Office with delegated public housing 
responsibilities: Attention: Director, Office of Public Housing, or, in 
the case of the Tribes or Tribally Designated Housing Entities (TDHEs), 
to the local HUD Administrator, Area Office of Native American Programs 
(AONAP), as appropriate. For a listing of Field Offices, please see the 
application kit, or the Appendix published in the February 26, 1999 
SuperNOFA at 64 FR 9767.

FOR FURTHER INFORMATION CONTACT: Bertha M. Jones, Program Analyst, 
Community Safety and Conservation Division, Office of Public and Indian 
Housing, Department of Housing and Urban Development, 451 Seventh 
Street, SW, Washington, DC 20410, telephone (202) 708-1197 x.4237; or 
Tracy C. Outlaw, National Office of Native American Programs, 
Department of Housing and Urban Development, 1999 Broadway, Suite 3390, 
Denver, CO 80202, telephone (303) 675-1600 (these are not toll-free 
numbers). Hearing or speech-impaired individuals may access this number 
via TTY by calling the toll-free Federal Information Relay Service at 
1-800-877-8339.

SUPPLEMENTARY INFORMATION:

Background

    Section 586 of the Quality Housing and Work Responsibility Act of 
1998 (Pub.L. 105-276, 112 Stat. 2461, approved October 21, 1998) 
(Public Housing Reform Act) made important changes to PHDEP, including 
authorizing the Secretary to make renewable grants. An Advance Notice 
of Proposed Rulemaking published in the Federal Register of February 
18, 1999 (64 FR 8210) announced HUD's intention to develop, through 
proposed rulemaking, a formula allocation funding for PHDEP. Elsewhere 
in this issue of the Federal Register HUD has published a proposed rule 
on PHDEP formula allocation.
    Depending on the outcome of the proposed rulemaking on a formula 
allocation of PHDEP funds, HUD may award FY 1999 funds by a 
noncompetitive formula. However, at this time, in order to reduce the 
reporting burden required of applicants, expedite processing of FY 1999 
funding awards and avoid an interruption in the funding process, HUD is 
withdrawing the FY 1999 Notice of Funding Availability (NOFA) for the 
FY 1999 Public Housing Drug Elimination Program (PHDEP). Instead, HUD 
is requesting the information described below to be submitted by June 
16, 1999. The information solicited under this Notice will not be a 
part of the rulemaking record.

Withdrawal of FY 1999 Notice of Funding Availability (NOFA) for the HUD 
Public and Indian Housing Drug Elimination Program

    Accordingly, the FY 1999 Public and Indian Housing Drug Elimination 
Program NOFA, published in the Federal Register of February 26, 1999 
(64 FR 9745), is hereby withdrawn.

Reissuance of FY 1999 Notice of Funding Availability (NOFA) for the HUD 
Public and Indian Housing Drug Elimination Program

    Accordingly, the FY 1999 Public and Indian Housing Drug Elimination 
Program NOFA is hereby reissued as follows:

I. Program Overview

    Purpose of the Program. To provide grants to eliminate drugs and 
drug-related crime in public housing and Indian communities.
    Available Funds. Approximately $242,750,000 is available during FY 
99 for PHDEP grants.
    Eligible Applicants. Public Housing Authorities (PHAs), Tribes, or 
Tribally Designated Housing Entities (TDHEs) on behalf of the Tribe.
    Application Deadline. June 16, 1999.
    Match. None

II. Application Due Date, Application Kits, Address for Submitting 
Applications, Further Information and Technical Assistance

    Application Due Date. Applications (an original and two copies) are 
due on or before 6:00 pm local time on June 16, 1999 at the address 
shown below.
    For Application Kits. To receive a copy of the Public Housing Drug 
Elimination Program (PHDEP) application kit please call the SuperNOFA 
Information Center at 1-800-HUD-8929. Persons with hearing or speech 
impairments may call the Center's TTY number at 1-800-483-2209. When 
requesting an application kit, please refer to the Public Housing Drug 
Elimination Program (PHDEP). Please provide your name, address 
(including zip code, and telephone number (including area code). 
Although this Notice is the governing document for FY 1999 PHDEP 
funding, the information in the application kit is helpful to the 
extent the application kit is consistent with this Notice, and the 
blank forms contained in Section I of the application kit, beginning on 
page I-19, should still be used.
    Address For Submitting Applications. Submit an original and two 
identical copies of the application by the application due date at the 
local Field Office with delegated public housing responsibilities: 
Attention: Director, Office of Public Housing, or, in the case of the 
Tribes or TDHEs, to the local HUD Administrator, Area Office of Native 
American Programs (AONAP), as appropriate. For a listing of Field 
Offices, please see the application kit, or the Appendix published in 
the February 26, 1999 SuperNOFA at 64 FR 9767.
    For Further Information and Technical Assistance. Please call the 
local HUD Field Office HUB with delegated housing responsibilities for 
your housing agency, the Area Office of Native American Programs 
(AONAPs) with jurisdiction over your Tribe or Tribally Designated 
Housing Entity (TDHE), HUD's Drug Information and Strategy 
Clearinghouse (DISC) at 1-800-952-2232; or Bertha M. Jones, Program 
Analyst, in the Community Safety and Conservation Division, Office of 
Public and Indian Housing, Department of Housing and Urban Development, 
451

[[Page 25747]]

Seventh Street, SW, Room 4206, Washington, DC 20410, telephone (202) 
708-1197, extension 4237; or Tracy C. Outlaw, National Office of Native 
American Programs, Department of Housing and Urban Development, 1999 
Broadway, Suite 3390, Denver, CO 80202, telephone (303) 675-1600. (With 
the exception of the ``1-800'' telephone number, these are not toll-
free numbers.)

III. Submission Requirements

    In order to expedite its process for awarding FY 1999 funding, HUD 
is requesting that applicants submit the following information. The 
blank forms contained in Section I of the application kit, beginning on 
page I-19, should still be used. Applicants who do not submit the 
information in response to this notice will not be disadvantaged in the 
funding process for FY 1999. HUD will publish another notice this 
Fiscal Year with additional information on the funding process.
    (A) The locations and unit counts of the developments that are 
targeted for FY 1999 PHDEP assistance.
    (B) A plan for addressing the problem of drug-related crime and the 
problems associated with drug-related crime in the developments 
targeted for funding, that describes each of the activities to be 
implemented at each of the targeted developments and the particular 
problem that each activity is intended to address (see sections IV.(D) 
and (E) of this Notice, below, for a description of eligible and 
ineligible activities). The applicant should describe how each activity 
fits in with the goals and objectives that the applicant could achieve 
over a five-year period. The applicant should also set goals for each 
year for each activity. There should also be a description of the 
quantitative and/or qualitative measures that the applicant will use to 
assess its progress toward achieving its goals for each activity. Where 
quantitative measures will be used, the applicant must provide baseline 
data that describes current conditions and that will be compared to 
conditions over the grant term as a measure of the applicant's 
performance. Where only qualitative measures are used, the applicant 
must describe why no quantitative data could be applied to the activity 
in question. See also specific plan requirements in section IV of this 
Notice, below, regarding Housing Authority Police Departments.
    (C) A budget for each fiscal year of the grant period (may not 
exceed 24 months) which estimates amounts to be expended for the 
activities set forth in their submission. The budget shall assume 
funding of the greater of $25,000, the minimum award amount, or $220 
per unit for the applicant's total unit count computed in accordance 
with section IV.(H) of this Notice, below, with a maximum award amount 
of $35 million.
    (D) A timetable that shows the start and end date for each activity 
with intermediate achievement milestones for each activity.
    (E) A description of the role of each partner, if any, who will be 
working with the applicant during the grant period to implement the 
activities identified in the submission, including a description of 
subgrantees, if applicable. The description must include the names of 
subgrantees, as well as the relative roles and contributions of each 
subgrantee in implementing the PHDEP grant activities.
    (F) A summary of the proposed program activities in five (5) 
sentences or less.

IV. Program Requirements

    (A) General Requirements. Sections II and VII of the General 
Section of the SuperNOFA published on February 26, 1999 (64 FR 9618), 
continue to apply to this Notice.
    (B) Program Description. Funds are available for Public Housing 
Authorities (PHAs), Tribes or Tribally Designated Housing Entities 
(TDHEs) to develop and finance drug and drug-related crime elimination 
efforts in their developments. You may use funds for enhancing security 
within your developments, making physical improvements to enhance 
security; and/or developing and implementing prevention, intervention 
and treatment programs to stop drug use in public and Indian housing 
communities.
    In FY 1999, HUD is requiring all applicants to establish measurable 
baseline information and realistic goals for drug-related crime in 
Public Housing and for all major PHDEP activities being proposed. In 
addition, HUD is developing a formula based system for use in awarding 
PHDEP grants.
    (C) Eligible Applicants. Eligible applicants include PHAs, Tribes 
or TDHEs. (A Tribe can apply either in its own name or through its 
TDHE. A TDHE cannot apply on behalf of a Tribe that is applying on its 
own behalf.) Resident Management Corporations (RMCs); and incorporated 
Resident Councils (RCs) are eligible for funding from PHAs as sub-
grantees. RMCs and ROs that were operating pursuant to 24 CFR part 950 
are eligible for funding from Tribes or TDHEs as subgrantees to develop 
security and substance abuse prevention programs. Eligible applicants 
with substantial drug-related crime in and around their premises are 
strongly encouraged to apply.
    (D) Eligible/Ineligible Activities. Under statute, PHDEP grants may 
be used for seven types of activities including: Physical improvement 
specifically designed to enhance security; Programs designed to reduce 
use of drugs in and around public or Indian housing developments 
including drug-abuse prevention, intervention, referral, and treatment; 
Funding for non-profit public housing resident management corporations 
(RMCs), Resident Councils (RCs), and Resident Organizations (ROs) to 
develop security and drug abuse prevention programs involving site 
residents; Employment of security personnel; Employment of personnel to 
investigate and provide evidence in administrative or judicial 
proceeding; Reimbursement of local law enforcement agencies for 
additional security and protective services; and Training, 
communications equipment, and related equipment for use by voluntary 
tenant patrols. Applicants may choose eligible activities that best fit 
their communities' needs.
    Following is a discussion by activity type of: what is fundable; 
what is not fundable; and specific requirements.
    (1) Physical Improvements to Enhance Security. (a) Physical 
improvements specifically designed to enhance security may include: 
installing barriers, speed bumps, lighting systems, fences, 
surveillance equipment (e.g., Closed Circuit Television (CCTV), 
computers and software, fax machines, cameras, monitors, and supporting 
equipment), bolts, locks, and landscaping or reconfiguring common areas 
to discourage drug-related crime.
    (i) All physical improvements must be accessible to persons with 
disabilities. For example, locks or buzzer systems that are not 
accessible to persons with restricted or impaired strength, mobility, 
or hearing may not be funded by PHDEP. Defensible space improvements 
must comply with civil rights requirements and cannot exclude or 
segregate people because of their race, color, or national origin from 
benefits, services, or other terms or conditions of housing. All 
physical improvements must meet the accessibility requirements of 24 
CFR part 8.
    (ii) Funding is permitted for the purchase or lease of house 
trailers of any type that are not designated as a building if they are 
used for eligible community policing, educational, employment, and 
youth activities. A justification of purchase versus lease

[[Page 25748]]

must be supported by a cost-benefit analysis prior to purchase or 
lease.
    (b) Ineligible Improvements. The following are ineligible for 
funding:
    (i) Physical improvements that involve demolishing any units in a 
development;
    (ii) Physical improvements that would displace persons;
    (iii) Acquiring real property.
    (2) Programs to Reduce Drug Use (Prevention, Intervention, 
Treatment, Structured Aftercare and Support Systems). (a) General 
Requirements and Strategies. Any substance abuse prevention, 
intervention, treatment, and aftercare program should use a ``continuum 
of care'' approach. A ``continuum of care'' approach includes not just 
treating the addiction or dependency but providing aftercare, 
mentoring, and support services such as day care, family counseling, 
education, training, employment development opportunities, and other 
activities.
    You should develop a substance abuse/sobriety (remission)/treatment 
(dependency) strategy to adequately plan your substance abuse 
prevention, intervention, treatment, and structured aftercare efforts. 
In many cases, you may want to include education, training, and 
employment opportunities for residents; and support Welfare to Work 
initiatives. When undertaking these activities, you should be 
leveraging your PHDEP resources with other Federal, State, local and 
Tribal resources. For example, your program may include providing space 
and other infrastructure for these efforts with several public agencies 
providing staff and other resources at limited or no cost. Your 
strategy must incorporate existing community resources and you must 
document how they will be used in your program. The strategy should 
also document how community resources will be provided on-site, or how 
participants will be referred and transported to treatment programs 
that are not on-site.
    A community-based approach also requires you to develop a 
culturally appropriate strategy. Curricula, activities, and staff 
should address the cultural issues of the local community, which 
requires your application to indicate your familiarity and facility 
with the language and cultural norms of the community. As applicable, 
your strategy should address cultural competencies associated with 
Hispanic, African-American, Asian, Native American or other racial or 
ethnic communities.
    Your activities should focus resources directly to housing 
authority residents and families.
    For all activities involving education, training and employment, 
you should document efforts to coordinate with Federal, Tribal, State 
and local employment training and development services, ``welfare to 
work'' efforts, or other new ``welfare reform'' efforts.
    The current Diagnostic and Statistical Manual (DSM) of Mental 
Disorders of the American Psychiatric Association dated May 1994, 
contains information on substance abuse, dependency and structured 
aftercare. For more information about this reference, contact: APPI, 
1400 K. Street, NW, Suite 1100, Washington, DC 20005 on 1(800) 368-5777 
or World Wide Web site at 
http://www.appi.org.
    Eligible activities may include:
    (i) Substance abuse prevention, intervention, and referral 
programs;
    (ii) Programs of local social, faith-based and/or other 
organizations that provide treatment services (contractual or 
otherwise) for dependency/remission; and
    (iii) Structured aftercare/support system programs.
    (b) Activities must be ``in and around''. PHDEP funding is 
permitted for programs that reduce/eliminate drug-related crime ``in 
and around'' the premises of the housing authority/development(s). HUD 
has defined the term ``in and around'' to mean within, or adjacent to, 
the physical boundaries of a public or Indian housing development. This 
ensures that program funds and activities are targeted to benefit, as 
directly as possible, public and Indian housing developments and their 
residents.
    (c) Eligible cost. (i) Funding is permitted for reasonable, 
necessary, and justified purchasing or leasing (whichever is documented 
as the most cost effective) of vehicles for transporting adult and 
youth residents for education, job training, and off-site treatment 
programs directly related to reducing drugs and drug-related crime. The 
cost reasonableness can be determined by a comparison of the number of 
participants in and anticipated costs of these programs compared to the 
purchase or lease cost of the vehicles. If these costs are included in 
your program, your plan must include a description of why the expenses 
are necessary. The primary use of such vehicles must correspond with 
their intended purposes under your grant.
    (ii) Funding is permitted for reasonable, necessary and justified 
program costs, such as meals and beverages incurred only for training, 
education and employment activities, and youth services directly 
related to reducing drugs and drug-related crime. Refer to Office of 
Management and Budget (OMB) Circular A-87, Cost Principles for State, 
Local and Indian Tribal Governments.
    (d) Prevention. Prevention programs should provide directly, or 
otherwise make available, services designed to distribute substance/
drug education information, to foster effective parenting skills, and 
to provide referrals for treatment and other available support services 
in the housing development or the community for housing authority 
families.
    Prevention programs should provide an effective prevention approach 
for residents that address the individual resident and his or her 
relationship to family, peers, and the community. Your prevention 
programs activities should identify and change the causal factors 
present in housing authorities that lead to drug-related crime thereby 
lowering the risk of drug usage. Components of an effective approach 
may include, but are not limited to, wellness and educational training; 
substance abuse sobriety, refusal and restraint skills training 
programs; or drug, substance abuse/dependency and family counseling. 
These may already be available in the community of your housing 
developments and should be included to the maximum extent possible in 
your proposed program of activities.
    The following eligible activities under a prevention program are 
discussed in more detail below: educational opportunities; family and 
other support services; youth services; and economic and educational 
opportunities for resident adult and youth activities.
    (i) Educational Opportunities. The causes and effects of illegal 
drug/substance abuse must be taught in a culturally appropriate and 
structured setting. You may contract (in accordance with 24 CFR 85.36) 
to provide such knowledge and skills through training programs. The 
professionals contracted to provide these services are required to base 
their services on your needs assessment and program plan. These 
educational opportunities may be a part of resident meetings, youth 
activities, or other gatherings of public and Indian housing residents.
    (ii) Family and Other Support Services. ``Supportive services'' are 
services that allow housing authority families to have access to 
prevention, educational and employment opportunities. Supportive 
services may include: child care; employment training; computer skills 
training; remedial education; substance abuse

[[Page 25749]]

counseling; help in getting a high school equivalency certificate; and 
other services to reduce drug-related crime.
    (iii) Youth Services. ``Educating and enabling America's youth to 
reject illegal drugs'' is Goal #1 of the Office of National Drug 
Control Policy (ONDCP) top five goals in the Nation's Drug Control 
Strategy. Activities that target youth further this goal. Youth drug 
and crime prevention programs must include, but are not limited to, 
groups composed of young people ages 16 through 18. Your youth drug and 
crime prevention activities should be coordinated by adults but have 
housing authority youth actively involved in organizing youth 
leadership, sports, recreational, cultural and other activities. 
Eligible youth services may include: youth sports; youth leadership 
skills training; cultural and recreational activities. These youth 
services provide an alternative to drugs and drug-related criminal 
activity for public housing and Native American youth. Youth leadership 
skills training may include training in leadership, peer pressure 
reversal, resistance or refusal skills, life skills, goal planning, 
parenting skills, and other relevant topics. Youth leadership training 
should be designed to place youth in leadership roles including: 
mentors to younger program participants, assistant coaches, managers, 
and team captains. Cultural and recreational activities may include 
ethnic heritage classes, art, dance, drama and music appreciation.
    The following are eligible youth services activities:
    (1) Salaries and expenses for staff for youth sports programs and 
cultural activities and leadership training;
    (2) Sports and recreation equipment to be used by participants;
    (3) Non-profit subgrantees that provide scheduled organized sports 
competitions, cultural, educational, recreational or other activities, 
including: Boys and Girls Clubs, YMCAs, YWCAs, the Inner City Games, 
Association of Midnight Basketball Leagues.
    (4) Liability insurance costs for youth sports activities.
    (iv) Economic and Educational Opportunities for Resident Adult and 
Youth. Any economic and educational activities should provide residents 
opportunities for interaction with, or referral to, established higher 
education, vocational institutions and/or private sector businesses in 
the immediate surrounding communities with the goal of developing or 
building on the residents' skills to pursue educational, vocational and 
economic goals and become self-sufficient.
    Any economic and educational opportunities for residents and youth 
activities should be consistent with ``welfare to work'' and related 
Federal, Tribal, State and local government efforts for employment 
training, education and employment opportunities related to ``welfare 
to work'' goals. Establishing or referring adults and youth to computer 
learning centers, employment service centers (coordinated with Federal, 
Tribal, State and local employment offices), and micro-business centers 
are eligible.
    Limited educational scholarships are permitted under this section. 
No one individual award may exceed $500.00, and there is a total 
maximum scholarship program cap of $10,000. Educational scholarship FY 
1999 PHDEP funds must be obligated and expended during the term of your 
grant. You should develop and document a scholarship strategy; the 
financial and management controls that will be used; and projected 
outcomes.
    (e) Intervention. The aim of intervention is to identify or detect 
residents with substance abuse issues, assist them in modifying their 
behavior, and in getting early treatment, and structured aftercare.
    (f) Substance Abuse/Dependency Treatment. (i) Treatment funded 
under this program should be ``in and around'' the premises of the 
housing authority/development(s) you proposed for funding. In 
undertaking substance abuse/dependency treatment programs, you must 
establish a confidentiality policy regarding medical and disability 
related information.
    (ii) Funds awarded for substance abuse/dependency treatment must be 
targeted towards developing and implementing, or expanding and 
improving sobriety maintenance, substance-free maintenance support 
groups, substance abuse counseling, referral treatment services, and 
short or long range structured aftercare for residents.
    (iii) Any drug program should address the following goals for 
residents:
    (1) Increasing accessibility of treatment services;
    (2) Decreasing drug-related crime ``in and around'' your housing 
authority/development(s) by reducing and/or eliminating drug use.; and
    (3) Providing services designed for youth and/or adult drug abusers 
and recovering addicts (e.g., prenatal and postpartum care, specialized 
family and parental counseling, parenting classes, domestic or youth 
violence counseling).
    (iv) Approaches that have proven effective with similar populations 
have included, but are not limited to, the following:
    (1) Formal referral arrangements to other treatment programs in 
cases where the resident is able to obtain treatment costs from sources 
other than this program.
    (2) Family/youth counseling.
    (3) Linkages to educational and vocational training and employment 
counseling.
    (4) Coordination of services from and to appropriate local 
substance abuse/treatment agencies, HIV-related service agencies, 
mental health and public health programs.
    (v) As applicable, you must develop a working partnership with the 
Single State Agency or local, Tribal or State license provider or 
authority with substance abuse program(s) coordination responsibilities 
to coordinate, develop and implement your substance dependency 
treatment program.
    (vi) You must use counselors (contractual or otherwise) that meet 
any applicable Federal, State, Tribal, and local government licensing, 
bonding, training, certification and continuing training re-
certification requirements.
    (vii) You must get certification from the Single State Agency or 
authority with substance abuse and dependency programs coordination 
responsibilities that your proposed program is consistent with the 
State plan; and that the service(s) meets all Federal, State, Tribal 
and local government medical licensing, training, bonding, and 
certification requirements.
    (viii) Funding is permitted for drug treatment of housing authority 
residents at local in-patient medical treatment programs and 
facilities. PHDEP funding for structured in-patient drug treatment 
under PHDEP funds is limited to 60 days, and structured drug out-
patient treatment, which includes individual/family aftercare, is 
limited to 6 months. If you are undertaking drug treatment programs, 
your program should provide, directly or indirectly, employment 
training, education and employment opportunities related to ``welfare 
to work.''
    (ix) Funding is permitted for detoxification procedures designed to 
reduce or eliminate the short-term presence of toxic substances in the 
body tissues of a patient.
    (x) Funding is not permitted for maintenance drug programs. 
Maintenance drugs are medications that are prescribed regularly for a 
short/long period of supportive therapy (e.g. methadone maintenance), 
rather than for immediate control of a disorder.

[[Page 25750]]

    (3) Resident Management Corporations (RMCs), Resident Councils 
(RCs), and Resident Organizations (ROs). RMCs, and incorporated RCs and 
ROs, may be a subcontractor to their housing authorities, or Tribe/
TDHE, to develop security and substance abuse prevention programs for 
residents. Such programs may include voluntary tenant patrol 
activities, substance abuse education, intervention, and referral 
programs, youth programs, and outreach efforts. The elimination of 
drug-related crime within housing authorities/developments must have 
the active involvement and commitment of public and Indian housing 
residents and their organizations. Active involvement requires that 
residents be involved in the planning process and implementation.
    To enhance the ability of housing authorities, and Tribes/TDHEs, to 
combat drug-related crime within their developments, Resident Councils 
(RCs), Resident Management Corporations (RMCs), and Resident 
Organizations (ROs) may undertake program management functions, 
notwithstanding the otherwise applicable requirements of 24 CFR part 
964. Sub-contracts with the RMC/RC/RO must include the amount of 
funding, applicable terms, conditions, financial controls, payment 
mechanism schedule, performance and financial report requirements, 
special conditions, including sanctions for violating the agreement, 
and monitoring requirements. Costs must not be incurred until a written 
contract is executed.
    (4) Employment of HA Security Personnel. You may employ HA security 
personnel. Employment of security personnel is divided into two 
categories: security personnel services, and housing authority police 
departments. You are encouraged to involve police officials residing in 
public housing to partake in PHDEP security-related programs. The 
following specific requirements apply to all employment of security 
personnel activities funded under PHDEP:
    (a) Compliance. Security guard personnel and public housing 
authority police departments must be in compliance with, all relevant 
Federal, State, Tribal or local government insurance, licensing, 
certification, training, bonding, or other law enforcement 
requirements.
    (b) Law Enforcement Service Agreement. You must enter into a law 
enforcement service agreement with the local law enforcement agency and 
if applicable, the contract provider of security. Your service 
agreement must include:
    (i) The activities security guard personnel or the public housing 
authority police department (HAPD) will perform; the scope of 
authority; written policies, procedures, and practices that will govern 
security personnel or HAPD performance (i.e., a policy manual and how 
security guard personnel or the HAPD shall coordinate activities with 
your local law enforcement agency);
    (ii) The types of activities that your approved security guard 
personnel or the HAPD are expressly prohibited from undertaking.
    (c) Policy Manual. Security guard personnel services and PHPDs must 
be guided by a policy manual that directs the activities of its 
personnel and contains the policies, procedures, and general orders 
that regulate conduct and describes in detail how jobs are to be 
performed. The policy manual must exist before incurring personnel 
costs for security services. To comply with State police department 
standards and/or Commission on Accreditation Law Enforcement Agencies 
(CALEA), you must also ensure all security guard personnel and housing 
authority police officers are trained in the following areas. These 
areas must also be covered in your policy manual:
    (i) Use of force;
    (ii) Resident contacts;
    (iii) Enforcement of HA rules;
    (iv) Response criteria to calls;
    (v) Pursuits;
    (vi) Arrest procedures;
    (vii) Reporting of crimes and workload;
    (viii) Feedback procedures to victims;
    (ix) Citizens' complaint procedures;
    (x) Internal affairs investigations;
    (xi) Towing of vehicles;
    (xii) Authorized weapons and other equipment;
    (xiii) Radio procedures internally and with local police;
    (xiv) Training requirements;
    (xv) Patrol procedures;
    (xvi) Scheduling of meetings with residents;
    (xvii) Reports to be completed;
    (xviii) Record keeping and position descriptions on all personnel;
    (xix) Post assignments;
    (xx) Monitoring;
    (xxi) Self-evaluation program requirements; and
    (xxii) First aid training.
    (d) Data Management. A daily activity and incident complaint form 
approved by the housing authority must be used by security personnel 
and officers for the collection and analysis of criminal incidents and 
responses to service calls. Security guard personnel and HAPDs must 
establish and maintain a system of records management for the daily 
activity and incident complaint forms that appropriately ensures the 
confidentially of personal criminal information.
    (e) Management Informational Systems (MIS) (computers, software, 
and associated equipment) and management personnel. Costs in support of 
these activities are eligible for funding.
    (5) Security Personnel Services. Contracting for, or direct housing 
authority employment of, security personnel services in and around 
housing development(s) is permitted under this program. However, 
contracts for security personnel services must be awarded on a 
competitive basis.
    (a) Eligible Services--Over and Above. Security guard personnel 
funded by this program must perform services that are over and above 
those usually performed by local municipal law enforcement agencies on 
a routine basis. Eligible services may include patrolling inside 
buildings, providing personnel services at building entrances to check 
for proper identification, or patrolling and checking car parking lots 
for appropriate parking decals.
    (b) Employment of Residents. HUD encourages you to employ qualified 
resident(s) as security guard personnel, and/or to contract with 
security guard personnel firms that demonstrate a program to employ 
qualified residents as security guard personnel. Since your program of 
eliminating drug-related crime should promote ``welfare to work'' an 
excellent way to implement this is to employ residents.
    (6) Employment of Personnel and Equipment for HUD Authorized 
Housing Authority Police Departments. Funding equipment and employment 
of housing authority police department (HAPD) personnel is permitted 
for housing authorities that already have HAPDs. The following 12 
housing authorities are approved by HUD as being eligible under the FY 
1999 PHDEP for these activities:

Baltimore Housing Authority and Community Development, Baltimore, MD
Boston Housing Authority, Boston, MA
Buffalo Housing Authority, Buffalo, NY
Chicago Housing Authority, Chicago, IL
Cuyahoga Metropolitan Housing Authority, Cleveland, OH
Housing Authority of the City of Los Angeles, Los Angeles, CA
Housing Authority of the City of Oakland, Oakland, CA
Philadelphia Housing Authority, Philadelphia, PA
Housing Authority of the City of Pittsburgh, Pittsburgh, PA

[[Page 25751]]

Waterbury Housing Authority, Waterbury, CT
Virgin Islands Housing Authority, Virgin Islands
District of Columbia Housing Authority, Washington, DC

    (a) Notice PIH 98-16, issued March 11, 1998, reinstated PIH 95-58 
(PHA) ``Guidelines for Creating, Implementing and Managing Public 
Housing Authority Police Departments in Public Housing Authorities).'' 
This Notice identifies prerequisites for creating HAPDs and provides 
guidance to assist housing authorities in making decisions about public 
housing security, analysis of security needs, and performance measures 
and outcomes.
    (b) Housing authorities with their own HAPDs, but that are not 
included in the list above, shall request (in writing) to be recognized 
by HUD as a HAPD. The written request must be sent to the Office of the 
Deputy Assistant Secretary for Public and Assisted Housing Delivery, 
Public and Indian Housing, Department of Housing and Urban Development, 
Room 4204, 451 Seventh Street, SW, Washington, DC 20410. This request 
must be approved by HUD before you submit your FY 1999 PHDEP 
application.
    (c)(i) HAPDs funded under this program that are not nationally or 
state accredited must submit a plan and timetable for such 
accreditation. Housing authorities may use either their State 
accreditation program, if one exists, or the Commission on 
Accreditation for Law Enforcement Agencies (CALEA) for this purpose. 
Use of grant funds for HAPD accreditation activities is permitted.
    (ii) Housing authorities receiving grants for funding HAPDs are 
required to hire an HAPD accreditation specialist to manage the 
accreditation program. If you have a public housing police department 
funded under the FY 1996, 1997, or 1998 PHDEP you must include in your 
plan what progress you made in implementing your accreditation program 
and the projected date of accreditation. HUD will monitor results of 
your plan and timetable. HAPDs not meeting their timetables will be 
ineligible for funding in FY 2000.
    (d) If you are allocating funds for this activity, you must 
describe the current level of local law enforcement agency baseline 
services being provided to the housing authority/development(s) 
proposed for assistance. Local law enforcement baseline services are 
defined as ordinary and routine services provided to the residents as 
part of the overall city and/or county-wide deployment of police 
resources to respond to crime and other public safety incidents 
including: 911 communications, processing calls for service, routine 
patrol officer responses to calls for service, and investigative 
follow-up of criminal activity.
    (e) If you are allocating funds for housing authority public 
housing authority police department officers, you must have car-to-car 
(or other vehicles) and portable-to-portable radio communications links 
between public housing authority police officers and local law 
enforcement officers to assure a coordinated and safe response to 
crimes or calls for services. The use of scanners (radio monitors) is 
not sufficient to meet the requirements of this section. If you do not 
have such links you must include in your plan a timetable for the 
implementation of such communications links. This activity is eligible 
for funding. If you were a housing authority funded under the FY 1994, 
1995, 1996, 1997, and/or 1998 PHDEP for public housing police 
departments, you must include in your plan what progress has been made 
in implementing its planned communications links.
    (f) HAPDs funded under this program that are not employing a 
community policing concept must incorporate a community policing 
concept in the implementation of their policing activities. Community 
policing under PHDEP is defined as a method of providing law 
enforcement services partnership among residents, police, schools, 
churches, government services, the private sector, and other local, 
State, Tribal, and Federal law enforcement agencies to prevent crime 
and improve the quality of life by addressing the conditions and 
problems that lead to crime and fear of crime. Community policing uses 
proactive measures including foot patrols, bicycle patrols, and motor 
scooters patrols. It also includes KOBAN activities where police 
officers operate out of police mini-stations, and other community-based 
facilities in housing authorities providing human resource activities 
with youth), and citizen contacts. This concept empowers police 
officers at the beat and zone level and residents in neighborhoods to:
    (i) Reduce crime and fear of crime;
    (ii) Ensure the maintenance of order;
    (iii) Provide referrals of residents, victims, and homeless persons 
to social services and government agencies;
    (iv) Ensure feedback of police actions to victims of crime; and (v) 
Promote a law enforcement value system based on the needs and rights of 
residents.
    For additional information regarding KOBAN community policing 
contact Cedric Brown, (202) 708-1197, extension 4057.
    (g) Authorized PHPDs can purchase or lease law enforcement clothing 
or equipment. Eligible law enforcement clothing or equipment may 
include uniforms and protective vests; firearms/weapons and ammunition; 
police vehicles including cars, vans, buses; or other equipment 
supporting PHPDs crime prevention and security mission. If you have not 
been identified by HUD as having an authorized PHPD, you are not 
permitted to use PHDEP funds to purchase any clothing or equipment for 
use by local municipal police departments and/or other law enforcement 
agencies.
    (7) Reimbursement of Local Law Enforcement Agencies for Additional 
(Supplemental--Over and Above Local Law Enforcement Baseline Services) 
Security and Protective Services. Additional security and protective 
services are permitted if services are over and above the local police 
department's current level of baseline services. Housing authorities, 
Tribes, and TDHEs are required to identify the level of local law 
enforcement services received and the increased level of services to be 
received in their local Cooperation Agreement.
    (8) Employment of Investigators. Employment of, and equipment for, 
one or more individuals to investigate drug-related crime ``in and 
around'' the real property comprising your development(s) and providing 
evidence relating to such crime in any administrative or judicial 
proceedings is permitted. Under this section, reimbursable costs 
associated with the investigation of drug-related crimes (e.g., travel 
directly related to the investigator's activities, or costs associated 
with the investigator's testimony at judicial or administrative 
proceedings) may only be those directly incurred by the investigator.
    (a) If you are a housing authority that employs investigators 
funded by this program, you must demonstrate compliance with all 
relevant Federal, Tribal, State or local government insurance, 
licensing, certification, training, bonding, or other similar law 
enforcement requirements.
    (b) Both you and the provider of the investigative services are 
required to execute a written agreement that describes the following:
    (i) The activities that your investigators will perform, their 
scope of authority, reports to be completed, established investigative 
policies, procedures, and practices that will govern their performance 
(i.e., a Policy Manual; and how your investigators will

[[Page 25752]]

coordinate their activities with local, State, Tribal, and Federal law 
enforcement agencies); and prohibited activities.
    (ii) The activities the housing authority/Tribal investigators are 
expressly prohibited from undertaking.
    (c) Your investigator(s) may use PHDEP funds to purchase or lease 
any law enforcement clothing or equipment, such as vehicles, uniforms, 
ammunition, firearms/weapons, or vehicles; including cars, vans, buses, 
protective vests, and any other supportive equipment.
    (d) Your investigator(s) shall report on drug-related crime in your 
developments. You must establish, implement and maintain a system of 
records management that ensures confidentiality of criminal records and 
information. Housing authority-approved activity forms must be used for 
collection, analysis and reporting of activities by your investigators. 
You are encouraged to develop and use Management Information Systems 
(MIS) (Computers, software, hardware, and associated equipment) and 
hire management personnel for crime and workload reporting in support 
of your crime prevention and security activities.
    (e) You may not expend funds and funds will not be released by the 
local HUD Field Office/AONAP until you have met the requirements of 
section IV.(6)(d) of this Notice.
    (9) Voluntary Tenant Patrols. HUD believes the elimination of drug-
related crime within and around the housing authority/development(s) 
requires the active involvement and commitment of residents and their 
organizations. Members of tenant patrols must be volunteers and must be 
residents of the housing authority's development(s). Voluntary tenant 
patrols are expected to patrol in your development(s) proposed for 
assistance, and to report illegal activities to appropriate housing 
authority staff, and local, State, Tribal, and Federal law enforcement 
agencies, as appropriate.
    (a) Training equipment, uniforms for use by voluntary tenant 
patrols acting in cooperation with officials of local law enforcement 
agencies is permitted. All costs must be reasonable, necessary and 
justified. Bicycles, motor scooters, all season uniforms and associated 
equipment to be used, exclusively, by the members of your voluntary 
tenant patrol are eligible items. Voluntary tenant patrol uniforms and 
equipment must be identified with your specific housing authority/
development(s) identification and markings.
    (b) Housing authorities are required to obtain liability insurance 
to protect themselves and the members of the voluntary tenant patrol 
against potential liability for the activities of the patrol under this 
program. The cost of this insurance is negligible.
    (c) If you are funding voluntary tenant patrol activities, you, 
your local law enforcement agency, and the tenant patrol, before 
expending grant funds, are required to execute a written agreement that 
includes:
    (i) The nature of the activities to be performed by your voluntary 
tenant patrol, the patrol's scope of authority, assignment, policies, 
procedures, and practices that will govern the voluntary tenant 
patrol's performance and how the patrol will coordinate its activities 
with the law enforcement agency;
    (ii) The activities the voluntary tenant patrol is expressly 
prohibited from undertaking and that the carrying or use of firearms, 
weapons, nightsticks, clubs, handcuffs, or mace is prohibited;
    (iii) Required initial and on-going voluntary tenant patrol 
training members will receive from the local law enforcement agency; 
(Please note that training by HUD-approved trainers and/or the local 
law enforcement agency is required before putting a voluntary tenant 
patrol into effect); and
    (iv) Voluntary tenant patrol members will be subject to individual 
or collective liability for any actions undertaken outside the scope of 
their authority (described in paragraph (ii) above) and that such acts 
are not covered under your housing authority liability insurance.
    (d) PHDEP grant funds must not be used for any type of financial 
compensation, such as full-time wages or salaries for voluntary tenant 
and/or patrol participants. Funding for housing authority personnel or 
resident(s) to be hired to coordinate this activity is permitted. 
Excessive staffing is not permitted.
    (10) Evaluation of PHDEP Activities. Funding is permitted to 
contractually hire organizations and/or consultant(s) to conduct an 
independent assessment and evaluation of the effectiveness of your 
PHDEP program. You should include in your plan and budget contracting 
with an independent survey organization to conduct an annual resident 
survey in your targeted developments/areas. The amount of funding 
proposed for conducting assessments or evaluations should be necessary, 
reasonable, and justified. However, even if adequately justified, HUD 
would not expect that this cost should exceed ten (10) percent of the 
total grant amount requested.
    (11) High Intensity Drug Trafficking Areas (HIDTAs). Funding may be 
used for activities to eliminate drug-related crime in housing owned by 
a public housing agency that is not public housing assisted under the 
United States Housing Act of 1937 and is not otherwise federally 
assisted. For example, housing that receives tenant subsidies under 
Section 8 is federally assisted and would not qualify, but housing that 
receives only State, Tribal, or local assistance would qualify if it 
meets the following two requirements:
    (a) The housing is located in a high intensity drug trafficking 
area designated pursuant to Section 1005 of the Anti-Drug Abuse Act of 
1988 (see Appendix A); and
    (b) The PHA owning the housing demonstrates, on the basis of 
information submitted, that the drug-related crime at the housing 
authority project has a detrimental affect in or around the housing.
    The High Intensity Drug Trafficking Areas (HIDTAs) are areas 
identified as having problems that adversely impact the rest of the 
country.
    (E) Ineligible Activities. PHDEP funding is not permitted for any 
of the activities listed below.
    (1) Costs incurred before the effective date of your grant 
agreement (Form HUD-1044), including, but not limited to, consultant 
fees related to the development of your application or the actual 
writing of your application.
    (2) The purchase of controlled substances for any purpose. 
Controlled substance shall have the meaning provided in section 102 of 
the Controlled Substance Act (21 U.S.C. 802).
    (3) Compensation of informants, including confidential informants. 
These should be part of the baseline services provided and budgeted by 
local law enforcement agencies.
    (4) Direct purchase or lease of clothing or equipment, vehicles 
(including cars, vans, and buses), uniforms, ammunition, firearms/
weapons, protective vests, and any other supportive equipment for use 
in law enforcement or military enforcement except for HAPDs and 
investigator activities listed in this program requirements section.
    (5) Construction of facility space in a building or unit, and the 
costs of retrofitting/modifying existing buildings owned by the housing 
authorities and TDHEs for purposes other than: community policing mini-
station operations, adult/youth education, employment training 
facilities, and drug abuse treatment activities.
    (6) Organized fund raising, advertising, financial campaigns, 
endowment drives, solicitation of gifts

[[Page 25753]]

and bequests, rallies, marches, community celebrations, stipends and 
similar expenses.
    (7) Court costs and attorneys fees related to screening or evicting 
residents for drug-related crime are not allowable.
    (8) PHDEP grant funds cannot be transferred to any Federal agency.
    (9) Costs to establish councils, resident associations, resident 
organizations, and resident corporations are not allowable.
    (10) Indirect costs are not allowable.
    (11) Supplant existing positions/activities. For purposes of the 
PHDEP, supplanting is defined as ``taking the place of or to 
supersede''.
    (12) Alcohol-exclusive activities and programs are not eligible for 
funding under this program, although activities and programs may 
address situations of multiple abuse involving controlled substances 
and alcohol. PHDEP is limited to only controlled substances.
    (F) Commingling of Funds. Housing authorities must not co-mingle 
funds of multiple HUD programs including: Comprehensive Improvement 
Assistance Program (CIAP); Comprehensive Grant Program (CGP); Economic 
Development and Supportive Services (EDSS); Tenant Opportunity Program 
(TOP); Indian Housing Block Grant (IHBG); Housing Opportunity for 
People Everywhere (HOPE) projects; Family Investment; Elderly Service 
Coordinator; and Operating Subsidy.
    (G) Reports and Closeout. In accordance with 24 CFR 761.35, 
grantees are required to submit a PHDEP Semi-Annual Performance Report 
and the Semi-Annual Financial Status Report (SF-269A) to the 
appropriate HUD Field Office. HUD will require grantees to transmit 
reports electronically to facilitate providing more meaningful 
performance information to comply with the requirements of the 
Government Performance and Results Act (GPRA) and to provide greater 
assurance that the program activities undertaken are effective in 
reducing drugs and drug-related crime in areas targeted by PHDEP. HUD 
will require grantees to report the number of grant-funded, full-time 
equivalent positions for law enforcement and security services, and 
PHDEP-supported activities for residents broken out by youth, adults, 
families, and communities. For each category of PHDEP-supported 
activities, other than law enforcement, grantees will report the 
results achieved using program or activity goals that are specific and 
measurable to the extent practicable.
    In addition, all grantees shall be required, as indicated by 
written notice from HUD, to participate in HUD-sponsored training 
activities. HUD will issue a separate notice containing the details for 
meeting performance reporting requirements.
    (H) Computing Unit Counts. Unit counts are to be computed as 
follows:
    (1) PHAs. (a) The unit count includes rental, Turnkey III 
Homeownership, and Section 23 leased housing bond-financed projects. 
Eligible units are those that are under management and fully developed, 
and must be covered by an Annual Contributions Contract (ACC) during 
the period of grant award. In determining unit count for PHA-Owned 
Rental Housing, a long-term vacancy unit as defined in 24 CFR 990.102 
is included in the count.
    (b) PHAs preparing PHDEP applications are required to confirm/
validate the unit count with the local Field Office (Office of Public 
Housing) before they submit their applications. Confirmation/Validation 
may be given if the unit count to be used is the same as the unit count 
reflected on a PHA's most recently approved Operating Budget (Form HUD-
52564) and/or subsidy calculation (Form HUD-52723) submitted for that 
program. Field Offices that have PHAs that are not required to submit 
either of these forms may confirm/validate the PHDEP unit count if it 
is the same as the most recently submitted Form HUD-51234. Field 
Offices in validating the unit count shall not include Non-Federally 
Assisted Housing units located in High Intensity Drug-Trafficking 
Areas.
    (2) Tribes and TDHEs. (a) The unit count includes rental, Turnkey 
III and Mutual Help Homeownership units which have not been conveyed to 
a homebuyer, and Section 23 lease housing bond-financed projects. Such 
units must be counted as Current Assisted Stock under the Indian 
Housing Block Grant Program.
    (b) Eligible units are those units which are under management and 
fully developed. However, you should note that in determining the unit 
count for PHA-owned or Native American rental housing, a long-term 
vacancy unit, as defined in 990.102 or 24 CFR 950.102 (as revised May 
1, 1996), is still included in the count. If you are an applicant for 
Native American housing developments, you must certify that the 
targeted units were covered by an ACC on September 30, 1997.
    (c) Use the number of units counted as Formula Current Assisted 
Stock for Fiscal Year 1999 as defined in 24 CFR 1000.316.
    (I) MTCS Compliance. PHAs, to receive funding, must be in 
compliance with HUD Notice PIH 99-2, Reporting Requirements for 
Multifamily Tenant Characteristics System (MTCS) (Form HUD-50058).

Authority

    Chapter 2, Subtitle C, Title V of the Anti-Drug Abuse Act of 1988 
(42 U.S.C. 11901 et. seq), as amended by section 581 of the National 
Affordable Housing Act of 1990 (Pub.L. 101-625, approved November 28, 
1990) (NAHA), section 161 of the Housing and Community Development Act 
of 1992 (Pub.L. 102-550, approved October 28, 1992) (HCDA 1992), and 
section 586 of the Quality Housing and Work Responsibility Act of 1998 
(Pub.L. 105-276, 112 Stat. 2461, approved October 21, 1998) (Public 
Housing Reform Act).

Paperwork Reduction Act Statement

    The information collection requirements contained in this Notice 
have been approved by the Office of Management and Budget under the 
Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520), and assigned OMB 
control number 2577-0124. 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.
Catalog of Federal Domestic Assistance. The Catalog of Federal 
Domestic Assistance number for the Public and Indian Housing Drug 
Elimination Program is 14.854.

    Dated: May 6, 1999.
Deborah Vincent,
General Deputy Assistant Secretary for Public and Indian Housing.
[FR Doc. 99-11919 Filed 5-11-99; 8:45 am]
BILLING CODE 4210-33-P