[Federal Register Volume 65, Number 97 (Thursday, May 18, 2000)]
[Notices]
[Pages 31584-31592]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-12586]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4570-N-02]


Office of the Assistant Secretary for Public and Indian Housing; 
Notice of Funding Availability for Fair Share Allocation of Incremental 
Voucher Funding Fiscal Year 2000; Amendments to NOFA and Reopening of 
Application Period

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

ACTION: Notice of Fund Availability (NOFA); Amendments and Reopening of 
Application Period.

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SUMMARY: On March 10, 2000, HUD published its FY 2000 NOFA for Fair 
Share Allocation of Incremental Voucher Funding (``Fair Share NOFA''). 
This document amends the selection criteria of this NOFA primarily to 
better reflect the appropriate weight in points that should have been 
assigned to the ``housing needs'' selection criterion so that need is 
the most important basis for allocating incremental voucher funding. As 
discussed in more detail in the Supplementary Information section of 
this notice, the points of other selection criteria are also revised to 
better reflect their appropriate weight, and the separate criterion for 
portability is removed. This notice also explains that HUD will 
substitute the number of ``contracted units'' for ``HUD-approved 
budget'' the number of certificates and vouchers on the latest HUD-
approved budget when the number of a PHA's contracted units is higher 
than the number of a PHA's budgeted units.
    The application period for the Fair Share NOFA closed on April 24, 
2000. This notice reopens the application period for an additional 30 
day period.

DATES: Applications are due on June 19, 2000.
    Applicants that already submitted applications by the April 24, 
2000, application due date, need not resubmit a new application, and 
need not amend their applications. Applicants that already submitted 
applications, however, may submit new or amended applications if they 
so choose.

SUPPLEMENTARY INFORMATION:

Background--March 10, 2000 NOFA

    If you are interested in applying for funding under the Fair Share 
NOFA, and did not apply earlier, please review the entire Fair Share 
NOFA, published on March 10, 2000 (65 FR 13222). Except for the 
reopening of the application period and the revisions made by this 
document, all other provisions of the Fair Share NOFA are unchanged and 
remain applicable.
    The March 10, 2000 Fair Share NOFA will provide you with detailed 
information regarding the submission of an application, Section 8 
program requirements, the application selection process to be used by 
HUD in selecting applications for funding, and other valuable 
information relative to a PHA's application submission and 
participation in the program covered by this NOFA. The March 10, 2000 
Fair Share NOFA is also available on HUD's internet site at http://www.hud.gov under ``Funds Available.'' This Federal Register notice 
amending the March 10, 2000 Fair Share NOFA is also available at the 
same HUD web site.

Reopening of Application Period

    Application Due Date. Your completed application (an original and 
two copies) or any amendment to an earlier submitted application (also 
an original and two copies) is due on or before June 19, 2000 at the 
addresses shown below.
    As noted earlier, applicants that already submitted applications by 
the April 24, 2000, application due date, need not resubmit a new 
application, and need not amend their applications. Applicants that 
already submitted applications, however, may submit new or amended 
applications if they so choose.
    Submission of new or amended applications should clearly identify 
the name of the applicant, the applicant HA code (e.g. CA002), and 
whether the information submitted is new and replaces a previously 
submitted application in its entirety or is an addendum to the 
previously submitted application.
    Address for Submitting Applications. Submit your original 
application or your original application amendment and one copy to 
Michael E. Diggs, Director

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of the Grants Management Center, Department of Housing and Urban 
Development, 501 School Street, SW, Suite 800, Washington, DC 20024.
    Submit the second copy of your application or application amendment 
to the local HUD Field Office Hub, Attention: Director, Office of 
Public Housing, or to the local HUD Field Office Program Center, 
Attention: Program Center Coordinator.
    The Grants Management Center is the official place of receipt for 
all applications in response to this NOFA.
    Delivered Applications. If you are hand delivering your 
application, or application amendment, it is due on or before 5:00 pm, 
Eastern time, on the application due date to the Office of Public and 
Indian Housing's Grants Management Center (GMC) in Washington, DC. A 
copy is also to be submitted by the applicant to the local HUD Field 
Office Hub or local HUD Field Office Program Center.
    This application deadline in this notice is firm as to date and 
hour. In the interest of fairness to all competing PHAs, HUD will not 
consider any application or application amendment that is received 
after the application deadline. Applicants should take this practice 
into account and make early submission of their materials to avoid any 
risk of loss of eligibility brought about by unanticipated delays or 
other delivery-related problems. HUD will not accept, at any time 
during the NOFA competition, application materials sent via facsimile 
(FAX) transmission.
    Mailed Applications. Applications sent by U.S. mail will be 
considered timely filed if postmarked before midnight on the 
application due date and received within ten (10) days of that date.
    Applications Sent by Overnight Delivery. Applications sent by 
overnight delivery will be considered timely filed if received before 
or on the application due date, or upon submission of documentary 
evidence that they were placed in transit with the overnight delivery 
service by no later than the specified application due date.
    For Application Kit. An application kit is not available and is not 
necessary for submitting an application for funding under this NOFA. 
The March 10, 2000 Fair Share NOFA, as amended by this notice, contains 
all of the information necessary for the submission of an application 
for voucher funding in connection with this NOFA.
    For Further Information and Technical Assistance. You may contact 
George C. Hendrickson, Housing Program Specialist, Room 4216, Office of 
Public and Assisted Housing Delivery, Department of Housing and Urban 
Development, Room 4216, 451 Seventh Street, SW, Washington, DC 20410; 
telephone (202) 708-1872, ext. 4064, or you may contact Ms. Sherry 
McCown at the Grants Management Center at (202) 358-0273. (These are 
not toll-free numbers.) Persons with hearing or speech impairments may 
access these numbers via TTY (text telephone) by calling the Federal 
Information Relay Service at 1-800-877-8339 (this is a toll-free 
number).

Amendments to Selection Criteria and Points Assigned

    This document amends the selection criteria in Section IV of the 
March 10, 2000 Fair Share NOFA primarily to better reflect the 
appropriate weight in points that should have been assigned to the 
``housing needs'' selection criterion so that need is the most 
important basis for allocating incremental voucher funding. Weights of 
other criteria are reduced accordingly. This document also alters or 
removes two selection criteria that do not assess a public housing 
agency's housing needs and are otherwise problematic. First, the 
residency preference subcategory is being altered to provide for the 
assignment of points to PHAs that will limit applicability of residency 
preferences to 15% of all new admissions to the program, as well as to 
those PHAs that do not have a residency preference or agree to 
eliminate one. This change is made in recognition that some PHAs with 
legally adopted residency preferences and great housing needs would 
have been penalized by the language provided in the March 10, 2000 Fair 
Share NOFA. Second, the portability selection criterion is removed 
because portability is adequately covered in the Area-Wide Housing 
Opportunities (Selection Criterion 2) and because the portability 
criterion would have awarded too many points for PHAs promising to 
absorb portable families with the new funds, relative to the March 10, 
2000 Fair Share NOFA's treatment of PHAs that already are absorbing 
portable families. Because of the changes in the Selection Criteria, 
changes were required to be made to Attachment 2 to the March 10, 2000 
Fair Share NOFA (Fair Share Application Checklist) and the amended 
checklist is included in this notice.
    This document also revises the total amount of points a PHA is 
eligible to receive under the Fair Share NOFA. The March 10, 2000 Fair 
Share NOFA provided for a total of 160 points. The amendments made by 
this notice provide that the total number of points a PHA is eligible 
to receive is 100 points.
    The changes made by this document are as follows:
     Selection Criterion 1: Housing Needs--the maximum number 
of points for this criterion is changed from 30 to 45 points, and the 
assignment of these points is based more specifically on the percentage 
of the State's housing need in the PHA's jurisdiction.
     Selection Criterion 2: Efforts of PHA to Provide Area-Wide 
Housing Opportunities for Families--the points for this criterion are 
changed from 60 to 30 points. To correspond to the reduction in the 
point total for this criterion, all the subcategories under Selection 
Criterion 2 are reduced from 10 to 5 points. In addition, the residency 
preference subcategory is changed as discussed above. PHAs that would 
have received points for this subcategory will still receive points and 
need submit nothing else unless they choose to amend their 
certification. PHAs that would not have received points but would 
qualify under the amended language need to submit the required 
certification.
     Selection Criterion 3: Local Initiatives--the points for 
this criterion are changed from 20 to 10 points.
     Selection Criterion 4: Disabled Families--the points for 
this criterion are changed from 20 to 10 points.
     Selection Criterion 5: Medicaid Home and Community Based 
Services Waivers under Section 1915(c) of the Social Security Act--the 
points for this criterion are changed from 10 to 5 points.
     Selection Criterion 6: Portability--this criterion is 
removed as a selection criterion for the reasons discussed above. 
Statements already submitted in response to this criterion will not be 
considered.

Substitution of ``Contracted Units'' for Budgeted Units When Number 
of Contracted Units Is Higher Than Number of Budgeted Units

    In the March 10, 2000 Fair Share NOFA, HUD used the term ``HUD-
approved budget'' in discussing the calculation of maximum funding 
allowed under the NOFA. For example, in Section V.(A) (``Fair Share 
Application Process''), HUD advises that the ``The GMC may recommend 
for approval the maximum funding for a PHA under this NOFA that does 
not exceed the lesser of 25% of the PHA vouchers and certificates on 
the latest HUD-approved budget or 25% of the number of vouchers 
available in the State, whichever is less.'' (See page 13226, first 
column). Reference to 25%

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of HUD-approved budget (``budgeted units'') for certificates and 
vouchers also appears in Section V(B) and Section VI(A) (also on page 
13226).
    Because the automated data on budgeted units are not optimal in all 
cases, through this notice, HUD provides notification that it will 
substitute in this calculation contracted units (i.e., the number of 
units under an Annual Contributions Contract) for the number of 
certificates and vouchers on the latest HUD-approved budget when the 
number of a PHA's contracted units is higher than the number of a PHA's 
budgeted units. The determination of contracted units shall be made in 
accordance with Attachment 3 (Methodology for Determining Lease-Up and 
Budget Authority Utilization Percentage Rates) to the March 10, 2000 
Fair Share NOFA (see page 13229).
    Accordingly, in the FY 2000 NOFA for Fair Share Allocation of 
Incremental Voucher Funding, notice document 00-6027, beginning at 65 
FR 13222, in the issue of Friday, March 10 2000, the following 
amendments are made to Section IV of the NOFA at 65 FR 13224, and 
Attachment 2 at 65 FR 13229:

IV. Fair Share Application Rating Process

    (A) Selection Criteria. The GMC will use the Selection Criteria 
shown below for the rating of applications submitted in response to 
this NOFA. The maximum score under the selection criteria for fair 
share funding is 100 points.
    (1) Selection Criterion 1: Housing Needs (45 points).
    (a) Description: This criterion assesses the housing need in the 
primary market area specified in the PHA's application compared with 
the housing need for the State. Housing need is defined as the number 
of very low-income renter households with severe rent burden, based on 
1990 Census data. Very low-income is defined as income at or below the 
Section 8 very low-income limits. Severe rent burden is defined as a 
household paying 50 percent or more of its gross income for rent.
    (b) Needs Data: For the purpose of this criterion, housing needs 
are based on a tabulation of 1990 Census data prepared for the 
Department by the Bureau of the Census. Data on housing needs are 
available for all States, all counties (county equivalents), and places 
with populations of 10,000 or more as of 1990. Information will be 
posted on the HUD Home Page site on the Internet's world wide web 
(http://www.hud.gov under ``Funds Available'') indicating the 
proportion of each State's housing needs for primary markets.
    (c) Rating and Assessment: The number of points assigned is based 
on the percentage of the State's housing need that is within the PHA's 
primary market area. The primary market area is defined as the 
jurisdiction (or its closest equivalent in terms of areas for which 
housing needs data are available) in which the PHA is authorized to 
operate and where the vouchers will be used, as described in its 
application. (See paragraph VI(C) of this NOFA regarding regional 
(multi-county) and State PHAs.)
    (1) The GMC will assign the following points :
     45 points (maximum). For each percentage point of the 
State's housing need (rounded to the nearest percentage point), the PHA 
will receive two points.
    (2) A State, regional or multi-county PHA will receive points based 
on the areas it serves where the vouchers will be used, e.g., the 
entire State or the sum of the housing needs for the counties and/or 
localities comprising its primary market area.
    (3) A PHA with a primary market area that is a community with a 
population of 10,000 or less, or a PHA for which housing needs data are 
not available, will receive 2 points.
    (2) Selection Criterion 2: Efforts of PHA to Provide Area-Wide 
Housing Opportunities for Families (30 points).
    (a) Description: Many PHAs have undertaken voluntary efforts to 
provide area-wide housing opportunities for families. The efforts 
described in response to this selection criterion must be beyond those 
required by federal law or regulation such as the portability 
provisions of the Section 8 voucher program. The GMC will assign points 
to PHAs that have established cooperative agreements with other PHAs or 
created a consortium of PHAs in order to facilitate the transfer of 
families and their rental assistance between PHA jurisdictions. In 
addition, the GMC will assign points to PHAs that have established 
relationships with non-profit groups to provide families with 
additional counseling, or have directly provided counseling, to 
increase the likelihood of a successful move by the families to areas 
that do not have large concentrations of poverty.
    (b) Rating and Assessment: The GMC will assign point values for any 
of the following assessments for which the PHA qualifies and add the 
points for all the assessments (maximum of 30 points) to determine the 
total points for this Selection Criterion:
     5 Points--Assign 5 points if the PHA documents that it 
participates in an area-wide exchange program where all PHAs absorb 
portable Section 8 families.
     5 Points--Assign 5 points if the PHA certifies that (i) 
its administrative plan does not include a ``residency preference'' for 
selection of families to participate in its voucher program, or (ii) it 
will eliminate immediately any ``residency preference'' currently in 
its administrative plan, or (iii) it will limit applicability of 
residency preferences to 15% of all new admissions to the voucher 
program.
     5 Points--Assign 5 points if the PHA documents that it has 
established a contractual relationship with a non-profit agency or the 
local governmental entity to provide housing counseling for families 
that want to move to low-poverty or non-minority areas. The five PHAs 
approved for the FY 93 Moving to Opportunity (MTO) for Fair Housing 
Demonstration, PHAs participating in the Regional Opportunity 
Counseling (ROC) Program, and any other PHAs that receive counseling 
funds from HUD in connection with the demolition of public housing, 
public housing vacancy consolidation, or settlement of litigation 
involving desegregation may qualify for points under this assessment. 
However, these PHAs must identify all activities undertaken, other than 
those funded and required under the MTO Demonstration, ROC Program, or 
the court-ordered plans or plans for relocating public housing 
families, to expand housing opportunities.
     5 Points--Assign 5 points if the PHA documents that it 
participates with other PHAs in using a metropolitan wide or combined 
waiting list for selecting participants in the program.
     5 Points--Assign 5 points if the PHA documents that it has 
implemented other initiatives that have resulted in expanding housing 
opportunities in areas that do not have undue concentrations of poverty 
or minority families.
     5 Points--Assign 5 points if the PHA has formed a 
consortium or joint venture with other PHAs to administer its voucher 
program.
    (3) Selection Criterion 3: Local Initiatives (10 points).
    (a) Description: The application must describe the extent to which 
the PHA demonstrates locally initiated efforts in support of its 
voucher and certificate programs or comparable tenant-based rental 
assistance programs. Evaluation of a locality's contribution is 
measured competitively by whether the locality is able to provide 
services, cash contributions, or tax abatements to rental property 
owners leasing to Section 8 families, or demonstrates its

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intention to provide this kind of support in the future.
    (b) Rating and Assessment: The GMC will assign one of two point-
values, as follows:
     10 points: The State or locality provides local support 
(e.g., financial, manpower for inspection services) to its voucher or 
certificate program.
     0 points: The State or locality does not provide support 
to the PHA's voucher or certificate program.
    (4) Selection Criterion 4: Disabled Families (10 points).
    (a) Description: The GMC will assign 10 points to PHAs that 
indicate at least 15 percent or more of the vouchers they are 
requesting (or funded by HUD) under this NOFA will be used to house 
disabled families. The PHA's application must be specific as to the 
exact percentage of vouchers that will be issued solely to disabled 
families. Disabled families are defined as follows:
    (i) Disabled Family. A family whose head, spouse, or sole member is 
a person with disabilities. The term ``disabled family'' may include 
two or more such persons with disabilities living together, and one or 
more such persons with disabilities living with one or more persons who 
are determined essential to the care and well-being of the person or 
persons with disabilities (live-in aides).
    (ii) Person with disabilities. A person who--
    a. Has a disability as defined in section 223 of the Social 
Security Act (42 U.S.C. 423), or
    b. Is determined to have a physical, mental or emotional impairment 
that:
    1. Is expected to be of long-continued and indefinite duration;
    2. Substantially impedes his or her ability to live independently; 
and
    3. Is of such a nature that such ability could be improved by more 
suitable housing conditions, or
    c. Has a developmental disability as defined in section 102 of the 
Developmental Disabilities Assistance and Bill of Rights Act (42 U.S.C. 
6001(5)).
    The term ``person with disabilities'' does not exclude persons who 
have the disease of acquired immunodeficiency syndrome (AIDS) or any 
conditions arising from the etiologic agent for acquired 
immunodeficiency syndrome (HIV).

    (Note:  While the above definition of a ``person with 
disabilities'' is to be used for purposes of determining a family's 
eligibility for a Section 8 voucher designated as being for a 
disabled family under this NOFA, the definition of a person with 
disabilities contained in section 504 of the Rehabilitation Act of 
1973 and its implementing regulations must be used for purposes of 
meeting the requirements of Fair Housing laws, including providing 
reasonable accommodations.)

    No individual shall be considered a person with disabilities for 
the purpose of determining eligibility solely on the basis of any drug 
or alcohol dependence.
    (b) Rating and Assessment: The GMC will assign one of two point 
values, as follows:
     10 points: The PHA will use not less than 15 percent of 
the vouchers being requested (or funded by HUD) to house disabled 
families.
     0 points: The PHA will use less than 15 percent of the 
vouchers it is requesting (or funded by HUD) to house disabled 
families.
    (5) Selection Criterion 5: Medicaid Home and Community Based 
Services Waivers Under Section 1915(c) of the Social Security Act (5 
points).
    (a) Description: This selection criterion is for PHAs interested in 
the provision of Section 8 voucher assistance to families within their 
jurisdiction who are disabled and also covered under a waiver of 
Section 1915(c) of the Social Security Act. Section 1915(c) waivers are 
approved by the Health Care Financing Administration within the 
Department of Health and Human Services (HHS) for the agency within 
each State responsible for the administration of the medicaid program. 
Contacting the responsible State agency (for example, the Agency for 
Health Care Administration in the State of Florida) will assist the PHA 
in determining how many, if any, individuals are covered by a Section 
1915(c) waiver in the PHA's legal area of operation. These waivers 
allow medicaid-eligible individuals at risk of being placed in 
hospitals, nursing facilities or intermediate care facilities the 
alternative of being cared for in their homes and communities. These 
individuals are thereby assisted in preserving their independence and 
ties to family and friends at a cost no higher than that of 
institutional care.
    While a Section 1915(c) waiver may cover individuals other than 
those who are disabled, the focus of Selection Criterion 5 is on 
disabled families only. The definition of disabled families listed 
under Selection Criterion 4 will be used by PHAs for purposes of the 
issuance of vouchers to disabled families in connection with Selection 
Criterion 5; i.e., only those individuals that meet the definition of a 
disabled family in this announcement are to be considered in connection 
with a PHA determining how many such disabled families are covered by a 
Section 1915(c) waiver in their legal area of operation and whether to 
try to qualify for the 5 points available under Selection Criterion 5. 
The PHA's application must be specific as to the percentage of vouchers 
that will be issued to such disabled families.
    Any PHA attempting to qualify for the 5 points available under 
Selection Criterion 5 should also include information within its 
application indicating the collaborative efforts already undertaken 
with the responsible State agency to identify eligible families, as 
well as agreements reached with that agency for future referrals of 
such families. HUD reserves the right at some future point in time to 
conduct an evaluation of the success of the PHA's efforts to 
collaborate with the State agency and to successfully house individuals 
that meet the requirements of being covered by a Section 1915(c) 
waiver, qualify as a disabled family under this announcement, and are 
otherwise eligible for a Section 8 voucher.
    (b) Rating and Assessment: The GMC will assign one of two point 
values as follows:
     5 points: The PHA will use not less than 3 percent of the 
vouchers being requested (or funded by HUD) to house Section 8 
eligible, disabled families covered by a waiver under Section 1915(c) 
of the Social Security Act.
     0 points: The PHA will use less than 3 percent of the 
vouchers it is requesting (or funded by HUD) to house Section 8 
eligible, disabled families covered by a waiver under Section 1915(c) 
of the Social Security Act.
    (c) Prohibition Against Double Counting. The number (percentage) of 
disabled families that a PHA indicates it will issue vouchers to when 
qualifying for the 5 points available under Selection Criterion 5 
cannot be used to also qualify for the 10 points available under 
Selection Criterion 4 or conversely.

    Dated: May 15, 2000.
Harold Lucas,
Assistant Secretary for Public and Indian Housing.
BILLING CODE 4210-33-P

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[FR Doc. 00-12586 Filed 5-15-00; 4:58 pm]
BILLING CODE 4210-33-C