[Federal Register Volume 65, Number 240 (Wednesday, December 13, 2000)]
[Notices]
[Pages 78040-78049]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-31652]



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Part III





Department of Housing and Urban Development





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Notice of Funding Availability; Fair Share Allocation of Incremental 
Voucher Funding, Fiscal Year 2001; Notice

  Federal Register / Vol. 65, No. 240 / Wednesday, December 13, 2000 / 
Notices  

[[Page 78040]]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of the Assistant Secretary for Public and Indian Housing

[Docket No. FR-4632-N-01]


Notice of Funding Availability; Fair Share Allocation of 
Incremental Voucher Funding, Fiscal Year 2001

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

ACTION: Notice of fund availability (NOFA).

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SUMMARY: Purpose of the Program. The purpose of this NOFA is to invite 
public housing agencies (PHAs) to apply for vouchers on a fair share 
allocation basis under the Housing Choice Voucher Program. The vouchers 
are for issuance to families on a PHA's housing choice voucher waiting 
list to enable these families to rent decent, safe, and affordable 
housing of their choice on the private rental market.
    Available Funds. Approximately $452,907,000 in one-year budget 
authority for approximately 79,000 housing choice vouchers. Prior to 
the funding of any new applications under this NOFA for FY 2001, 
$4,191,788 of this budget authority will be used to correct the 
underfunding of four PHAs under the FY 2000 Fair Share NOFA due to an 
error on the part of HUD. See Section II(C)(3) of this NOFA regarding 
the specific PHAs, dollar amounts and corresponding number of vouchers 
that each of the four PHAs will receive to correct the underfunding 
error. This will leave $448,715,212 in one-year budget authority 
available for the funding of approximately 78,475 vouchers for 
applications submitted in FY 2001 under this NOFA.
    Eligible Applicants. Public housing agencies (PHAs). Indian Housing 
Authorities (IHA), Indian tribes and their tribally designated housing 
entities are not eligible applicants. The Native American Housing 
Assistance and Self-Determination Act of 1996 does not allow HUD to 
enter into new housing choice voucher (Section 8) annual contributions 
contracts (ACC) with IHAs after September 30, 1997.
    Application Due Date. January 29, 2001.
    Match. None.

SUPPLEMENTARY INFORMATION: If you are interested in applying for 
funding under this NOFA, please read the balance of this NOFA which 
will provide you with detailed information regarding the submission of 
an application, Housing Choice Voucher 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.

I. Application Due Date, Application Kits, Further Information, and 
Technical Assistance

    Application Due Date. Your completed application (an original and 
one copy) is due on or before January 29, 2001 at the address shown 
below. This application deadline is firm. In the interest of fairness 
to all competing PHAs, HUD will not consider any application 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.
    Address for Submitting Applications. Submit your original 
application and one copy to Michael E. Diggs, Director of the Grants 
Management Center, Department of Housing and Urban Development, 501 
School Street, SW, Suite 800, Washington, D.C. 20024.
    The Grants Management Center is the official place of receipt for 
all applications in response to this NOFA. A copy of the application is 
not required to be submitted to the local HUD Field Office. For ease of 
reference, the term ``local HUD Field Office'' will be used in this 
NOFA to mean the local HUD Field Office Hub and local HUD Field Office 
Program Center.
    Hand Carried Applications. If you are hand delivering your 
application, your application is due by not later than 8:45 am to 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.
    Mailed Applications. Applications sent by U.S. mail will be 
considered timely filed if postmarked on or before 12:00 midnight on 
the application due date and received on or within ten (10) days of 
that date at the Grants Management Center.
    Applications Sent By Overnight/Express Mail Delivery. Applications 
sent by overnight delivery or express mail will be considered timely 
filed if received by the Grants Management Center 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. 
This NOFA 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. Prior to the 
application due date, 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. Subsequent to application submission, you may contact 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).

II. Authority, Purpose, Fair Share Allocation Amount, Voucher 
Funding, and Eligibility

(A) Authority

    Authority for the approximately $452,907,000 in one-year budget 
authority for housing choice vouchers for low-income families is found 
in the Departments of Veterans Affairs and Housing and Urban 
Development, and Independent Agencies Appropriations Act, FY 2001 
(Pub.L. 106-377, approved October 27, 2000, referred to as the FY 2001 
HUD Appropriations Act. The allocation of housing assistance budget 
authority for housing choice vouchers, by allocation area based on fair 
share factors, is pursuant to the provisions of 24 CFR part 791, 
subpart D, implementing section 213(d) of the Housing and Community 
Development Act of 1974, as amended. Funding in the amount of 
$4,191,788 will be subtracted from the one-year budget authority of 
$452,907,000 in order to correct an underfunding error affecting four 
PHAs funded by HUD in FY 2000 under the FY 2000 Fair Share NOFA (see 
Section II(C)(3), Underfunding Corrections, in this NOFA).

(B) Purpose

    The purpose of the housing choice voucher funding being made 
available under this NOFA is to provide housing assistance to very low-
income families

[[Page 78041]]

to enable them to rent decent, safe, and affordable housing of their 
choice on the private market.

(C) Fair Share Allocation Amount

    This NOFA announces the availability of approximately $452,907,000 
in one-year budget authority for a fair share formula allocation which 
will provide rental assistance to approximately 79,000 very low-income 
families. Funding in the amount of $4,191,788 for 525 vouchers for four 
PHAs will first be subtracted from the $452,907,000 (leaving a balance 
of $448,715,212 for approximately 78,475 vouchers for FY 2001 
applications submitted in response to this NOFA) to correct an 
underfunding error attributable to HUD under the FY 2000 Fair Share 
NOFA that affected four PHAs. (See Section II(C)(3), Underfunding 
Corrections.)
(1) Fair Share Allocation for Each Allocation Area
    Appendix A of this NOFA lists the allocation of housing assistance 
budget authority for vouchers for each allocation area, based on fair 
share factors. Appendix A also provides an estimate of the total number 
of vouchers that could be funded from the housing assistance available 
for each allocation area based on the weighted local average costs of 
voucher assistance for a two-bedroom unit. The actual number of units 
assisted within each allocation area will vary from the estimates 
prepared by Headquarters since the actual costs of voucher assistance 
for each PHA vary from the average.
(2) Potential Additional Funding
    If additional voucher funding becomes available for fair share use 
during FY 2001, HUD plans to distribute any additional funding to 
allocation areas using the same percentage distribution as reflected in 
Appendix A to this NOFA. Any additional funding will be used under the 
competitive requirements of this NOFA to fund PHA applications which 
were approvable but not funded, or approved and funded at less than 100 
percent of the requested amount for which the PHA was eligible under 
this NOFA.
(3) Underfunding Corrections
    If prior to the award of Fair Share funding under this NOFA, HUD 
determines that any awardees under the FY 2000 Fair Share NOFA have 
been underfunded due to an error attributable to HUD, funding will be 
increased to the amount that the awardee should have received. The 
Grants Management Center will, in coordination with the local HUD Field 
Office and the affected PHA, determine the number of units that should 
have been awarded the PHA under the FY 2000 NOFA and the funding amount 
that would currently be appropriate to fund that number of units under 
the voucher funding procedures in Section II.(D) of this FY 2001 Fair 
Share NOFA.
    Prior to the issuance of this NOFA the determination was made that 
four PHA awardees under the FY 2000 Fair Share NOFA were underfunded 
due to HUD's failure to include these PHAs' Moving to Work (MTW) units 
when calculating the number of certificates and vouchers being 
administered for purposes of the number of vouchers a PHA was eligible 
to apply for and be funded. Funding in the amount of $4,191,788 will be 
subtracted from the Fair Share funding available under this NOFA to 
fund these four PHAs as follows: Seattle, Washington Housing 
Authority--$1,621,534 for 231 vouchers; Portland Oregon Housing 
Authority--$841,788 for 117 vouchers; Cambridge, Massachusetts Housing 
Authority--$1,514,386 for 133 vouchers; and Portage, Ohio Housing 
Authority--$214,080 for 44 vouchers.

(D) Voucher Funding

(1) Determination of Funding Amount for the PHA's Requested Number of 
Vouchers
    HUD will determine the amount of funding that a PHA will be awarded 
under this NOFA based upon an actual annual per unit cost {except that 
for Moving to Work (MTW) agencies the per unit cost will be calculated 
in accordance with the agency's MTW Agreement} using the following 
three step process (as may be modified based upon a percentage of 
annual per unit cost if necessary to produce the 79,000 vouchers 
provided for under this NOFA):
    (a) HUD will extract the total expenditures for all the PHA's 
housing choice voucher and certificate programs and the unit months 
leased information from the most recent approved year end statement 
(form HUD-52681) that the PHA has filed with HUD. HUD will divide the 
total expenditures for all of the PHA's housing choice voucher and 
certificate programs by the unit months leased to derive an average 
monthly per unit cost.
    (b) HUD will multiply the monthly per unit cost by 12 (months) to 
obtain an annual per unit cost.
    (c) HUD will multiply the annual per unit cost derived under 
paragraph (b) above by the Housing Choice Voucher Program (Section 8) 
Housing Assistance Payments Program Contract Rent Annual Adjustment 
Factor (with the highest cost utility included) to generate an adjusted 
annual per unit cost. For a PHA whose jurisdiction spans multiple 
annual adjustment factor areas, HUD will use the highest applicable 
annual adjustment factor.

(E) Eligible Applicants

    A PHA established pursuant to State law may apply for funding under 
this NOFA. A regional (multi-county) or State PHA is also eligible to 
apply for funding.
    A PHA may submit only one application under this NOFA. This one 
application per PHA limit applies regardless of whether or not the PHA 
is a State or regional PHA, except in those instances where such a PHA 
has more than one PHA code number due to its operating under the 
jurisdiction of more than one HUD Field Office. In such an instance, a 
separate application under each code shall be considered for funding, 
with the cumulative total of vouchers applied for under the 
applications not to exceed the maximum number of vouchers the PHA is 
eligible to apply for under Section V.(B) of this NOFA; i.e., no more 
than the number of vouchers the same PHA would be eligible to apply for 
if it only had one PHA code number.
    Two or more divisions within State government comprising separate 
PHAs shall require the State to determine which division shall submit 
an application to HUD under this NOFA. As with other PHAs, only one 
application per PHA shall be considered (see sole exception referenced 
immediately above).
    A contract administrator which does not have an annual 
contributions contract (ACC) with HUD for housing choice vouchers or 
certificates, but which constitutes a PHA under 24 CFR 791.102 by 
reason of its administering housing choice vouchers or certificates on 
behalf of another PHA, shall not be eligible to submit an application 
under this NOFA.
    Indian Housing Authorities (IHA), Indian tribes and their tribally 
designated housing entities are not eligible to apply because the 
Native American Housing Assistance and Self-Determination Act of 1996 
does not allow HUD to enter into new housing choice voucher annual 
contributions contracts (ACC) with IHAs after September 30, 1997.
    Applicants are limited to those PHAs currently administering 
housing choice vouchers or certificates.
    Some PHAs currently administering the housing choice voucher and 
certificate programs have, at the time of

[[Page 78042]]

publication of this NOFA, major program management findings from 
Inspector General audits, HUD management reviews, or independent public 
accountant (IPA) audits that are open and unresolved or other 
significant program compliance problems. HUD will not accept 
applications for additional funding from these PHAs as contract 
administrators if, on the application due date, the findings are either 
not closed, or sufficient progress toward closing its findings has not 
been made to HUD's satisfaction. The PHA must also, to HUD's 
satisfaction, be making satisfactory progress in addressing any program 
compliance problems. If the PHA wants to apply for funding under this 
NOFA, the PHA must submit an application that designates another 
housing agency, nonprofit agency, or contractor, that is acceptable to 
HUD. The PHA's application must include an agreement by the other 
housing agency, nonprofit agency, or contractor to administer the new 
funding increment on behalf of the PHA, and a statement that outlines 
the steps the PHA is taking to resolve the program findings and the 
program compliance problems. Immediately after the publication of this 
NOFA, the local HUD Field Office will notify, in writing, those PHAs 
that are not eligible to apply without such an agreement. Concurrently, 
the local HUD Field Office will provide a copy of each such written 
notification to the GMC. The PHA may appeal the decision, in writing, 
if HUD has mistakenly classified the PHA as having outstanding 
management or compliance problems. Any appeal must be accompanied by 
conclusive evidence of HUD's error (i.e., documentation showing that 
the finding has been cleared or satisfactory progress toward closing 
the findings or addressing the compliance problems has been made) and 
must be received prior to the application deadline. The appeal should 
be submitted to the local HUD Field Office where a final determination 
shall be made. Concurrently, the local HUD Field Office shall provide 
the GMC with a copy of its written response to the appeal, along with a 
copy of the PHA's written appeal. Major program management findings are 
those that would cast doubt on the capacity of the PHA to effectively 
administer any new housing choice voucher funding in accordance with 
applicable HUD regulatory and statutory requirements.

(F) Eligible Participants

    Eligible participants must be income eligible under 24 CFR 
982.201(b)(1) in order to receive a voucher. Eligible participants 
include very low-income families, and on an exception basis some low-
income families, who are on the PHA's housing choice voucher waiting 
list and who are determined to be eligible for housing assistance under 
the housing choice voucher regulations at 24 CFR part 982 and part 5.

III. General Program Requirements

(A) General Program Requirements

(1) Compliance With Fair Housing and Civil Rights Laws
    All applicants must comply with all fair housing and civil rights 
laws, statutes, regulations, and executive orders as enumerated in 24 
CFR 5.105(a). If an applicant: (a) has been charged with a systemic 
violation of the Fair Housing Act by the Secretary alleging ongoing 
discrimination; (b) is the defendant in a Fair Housing Act lawsuit 
filed by the Department of Justice alleging an ongoing pattern or 
practice of discrimination; or (c) has received a letter of 
noncompliance findings under Title VI of the Civil Rights Act of 1964, 
section 504 of the Rehabilitation Act of 1973, or section 109 of the 
Housing and Community Development Act of 1974, the applicant's 
application will not be evaluated under this NOFA if, prior to the 
application deadline, the charge, lawsuit, or letter of findings has 
not been resolved to the satisfaction of the Department. HUD's decision 
regarding whether a charge, lawsuit, or a letter of findings has been 
satisfactorily resolved will be based upon whether appropriate actions 
have been taken necessary to address allegations of ongoing 
discrimination in the policies or practices involved in the charge, 
lawsuit, or letter of findings.
(2) Additional Nondiscrimination Requirements
    In addition to compliance with the civil rights requirements listed 
at 24 CFR 5.105(a), each successful applicant must comply with the 
nondiscrimination in employment requirements of Title VII of the Civil 
Rights Act of 1964 (42 U.S.C. 2000e et seq.), the Equal Pay Act (29 
U.S.C. 206(d)), the Age Discrimination in Employment Act of 1967 (29 
U.S.C. 621 et seq.), Title IX of the Education Amendments Act of 1972, 
and the Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et 
seq.).
(3) Affirmatively Furthering Fair Housing
    Each successful applicant will have a duty to affirmatively further 
fair housing. Applicants will be required to identify the specific 
steps that they will take to:
    (a) Examine the PHA's own programs or proposed programs, including 
an identification of any impediments to fair housing (identified in the 
jurisdiction's Analysis of Impediments (AI) to Fair Housing Choice--in 
its Consolidated Plan); develop a plan to (i) address those impediments 
in a reasonable fashion in view of the resources available; and (ii) 
work with local jurisdictions to implement any of the jurisdictions' 
initiatives to affirmatively further fair housing; and maintain records 
reflecting this analysis and actions.
    (b) Remedy discrimination in housing; or
    (c) Promote fair housing rights and fair housing choice.
    Further, applicants have a duty to carry out the specific 
activities cited in their responses under this NOFA to address 
affirmatively furthering fair housing.
(4) Certifications and Assurances
    Each applicant is required to submit signed copies of Assurances 
and Certifications. The standard Assurances and Certifications are on 
Form HUD-52515, Funding Application, which includes the Equal 
Opportunity Certification, Certification Regarding Lobbying, and 
Certification Regarding Drug-Free Workplace Requirements.

(B) PHA Responsibilities and Rental Assistance Requirements

(1) Housing Choice Voucher Regulations
    PHAs must administer the housing choice vouchers received under 
this NOFA in accordance with HUD regulations and requirements governing 
the Housing Choice Voucher Program.
(2) Housing Choice Voucher Program Admission Requirements
    Housing choice voucher assistance must be provided to eligible 
applicants in conformity with regulations and requirements governing 
the Housing Choice Voucher Program and the PHA's administrative plan.
(3) Turnover
    When a voucher under this NOFA becomes available for reissue (e.g., 
the family initially selected for the program drops out of the program 
or is unsuccessful in the search for a unit), the voucher may be used 
only for the next eligible family on the PHA's housing choice voucher 
waiting list.

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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 (65 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 
housing choice voucher (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'' for the Fair Share 
NOFA, 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 legally 
authorized to operate and where the vouchers will be used, as described 
in its application. (See Section VI. (C) of this NOFA regarding the 
description of the primary market area required to be included in each 
PHA's application.)
    (1) The GMC will assign one of the following point totals:
     65 points (maximum). For each percentage point of the 
State's housing need (rounded to the nearest percentage point), the PHA 
will receive three points.
    (2) A State or regional (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 three points.
(2) Selection Criterion 2: Efforts of PHA to Provide Area-Wide Housing 
Opportunities for Families (15 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 housing choice voucher program. The GMC will assign 
points to PHAs that are not using/will not use a residency preference, 
or will use a residency preference in a limited manner for selection of 
families to participate in the voucher program. 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. The GMC will also assign points to PHAs that 
demonstrate they have implemented other initiatives that have resulted 
in expanding housing opportunities.
    A PHA having more than one housing authority code number and 
submitting an application under one or more of these code numbers (see 
Section II. (E) of this NOFA) will be eligible to receive points under 
the categories in Selection Criterion 2 if it meets the qualifications 
for points under any one or more of the separate applications it 
submits.
    (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 15 points) to determine the 
total points for this Selection Criterion:
     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 up to 50% of all new admissions.
     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 has 
implemented other initiatives that have resulted in expanding housing 
opportunities.
(3) Selection Criterion 3: Disabled Families (15 points)
    (a) Description: The GMC will assign 15 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)).

[[Page 78044]]

    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 housing choice 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:
     15 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.
(4) Selection Criterion 4: 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 housing choice 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 4 is on 
disabled families only. The definition of disabled families listed 
under Selection Criterion 3 will be used by PHAs for purposes of the 
issuance of vouchers to disabled families in connection with Selection 
Criterion 4; i.e., only those individuals that meet the definition of a 
disabled family in this NOFA 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 4. 
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 4 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 NOFA, and are otherwise 
eligible for a housing choice 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 voucher 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 voucher 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 4 
cannot be used to also qualify for the 15 points available under 
Selection Criterion 3 or conversely.

V. Fair Share Application Selection Process

(A) Maximum Funding Allowed

    The GMC may recommend for approval the maximum funding for a PHA 
under this NOFA that does not exceed the lesser of 25 percent of the 
PHA vouchers and certificates [including Moving to Work (MTW) units] 
reserved; i.e., the number of units in its adjusted baseline (see 24 
CFR 982.102(d)(ii)), or 25 percent of the number of vouchers available 
in the allocation area. The determination of reserved units shall be 
made in accordance with the methodology indicated in Appendix B.

(B) Funding Procedure

    HUD seeks to maximize, insofar as practical, the number of PHAs 
awarded funding under this NOFA. The GMC will recommend applications 
for approval in rank order (highest to lowest score) within each 
allocation area. No PHA shall be eligible to request or be funded at 
more than the maximum funding indicated under Section V.(A) above of 
this NOFA. The number of vouchers for which a PHA will first receive 
consideration by the GMC for funding will be based upon initially using 
the lesser of a 5 percent calculation for a PHA's reserved units, or 25 
percent of the vouchers available for the allocation area. If funding 
remains available within the allocation area, the percentage used for 
the PHA's reserved units will increase to the percent required to use 
all funding within the allocation area, not to exceed 25 percent.
    Where the GMC finds it has some number of vouchers left but not 
enough to fully fund the next ranked application or applications 
receiving the same score, funding will be recommended by the GMC for 
the application indicating it will accept the lesser number of vouchers 
(see Section VI. (B) of this NOFA). In the event there are two or more 
PHAs ranked at the same position (same number of rating points) 
indicating they will accept the lesser number of vouchers, the PHA 
whose application is eligible for the largest number of vouchers among 
these PHAs will be recommended by the GMC for funding.

(C) Reallocations Between Allocation Areas

    The GMC will make every reasonable effort to use all available 
funds. It may be necessary, however, to reallocate funds from one 
allocation area to another when the funds cannot be used in the 
allocation area to which they

[[Page 78045]]

were initially allocated. (See 24 CFR 791.405(d).) In such cases, the 
GMC will re-allocate funds to the allocation area having the largest 
number of approvable vouchers remaining unfunded due to lack of 
sufficient fair share funding.

(D) Applications Recommended by the GMC for Funding

    After the GMC has screened PHA applications and disapproved any 
applications found unacceptable for further processing, the GMC will 
review all acceptable applications to ensure they are technically 
adequate and responsive to the requirements of the NOFA. As PHAs are 
selected, the cost of funding the applications will be subtracted from 
the funds available. Applications will be funded for the total number 
of units recommended for approval by the GMC in accordance with this 
NOFA.

VI. Fair Share Application Submission Requirements

(A) Form HUD-52515

    All PHAs must complete and submit form HUD-52515, Funding 
Application, for housing choice vouchers (Section 8), (dated January 
1996). Section C of the form should be left blank. PHAs are requested 
to enter their housing authority code number, as well as their 
electronic mail address, telephone number, and facsimile telephone 
number in the same space at the top of the form where they are also to 
enter the PHA's name and mailing address.
    This form includes all necessary certifications for Fair Housing, 
Drug Free Workplace and Lobbying Activities.
    Appendix A to this NOFA lists the estimate of the number of 
vouchers and budget authority available for each allocation area. PHAs 
should limit their applications for the ``fair share'' program to a 
reasonable number of vouchers based on the capacity of the PHA to 
lease-up within 12 months of ACC execution. The number of vouchers on 
the PHA application may not exceed that allowed under Section V.(A) of 
this NOFA. Copies of form HUD-52515 may be obtained from the local HUD 
Field Office or may be downloaded from the HUD Home Page site on the 
Internet's world wide web (http://www.hud.gov). (On the HUD website 
click on ``handbooks and forms,'' then click on ``forms'', then click 
on ``HUD-5'' and click on ``HUD-52515''.) The form must be completed in 
its entirety, with the exception of section C, signed and dated.
    (1) A PHA may submit only one application (Form HUD-52515). (See 
Section II(E), Eligible Applicants, of this NOFA which fully addresses 
this one application per eligible applicant requirement and the one 
very limited exception allowed under that requirement.)
    (2) The GMC will reduce the number of vouchers requested in any 
application that exceeds the established application limit in Section 
V(A) of this NOFA above.

(B) Letter of Intent and Narrative

    The PHA must state in its cover letter to the application whether 
it will accept a reduction in the number of vouchers, and the minimum 
number of vouchers it will accept, since the funding is limited and HUD 
may only have enough funds to approve a smaller amount than the number 
of vouchers requested. The application should include a narrative 
description of how the application meets, or will meet, the application 
selection criteria in Section IV(A) of this NOFA. Failure to submit a 
narrative description is not cause for application rejection; however, 
the GMC can only rate and rank the application based on information it 
has on-hand.

(C) Description of Primary Market Area

    Each PHA must specify in the application its primary market area; 
i.e., the area in which it is authorized to operate and in which the 
housing choice vouchers will be used. This information may be different 
than that entered by such a PHA on the form HUD-52515, as the form 
calls for the PHA to identify its ``legal area of operation'' which may 
be far more geographically expansive than the specific city, county, or 
area within a State where a PHA, particularly a regional or State PHA, 
intends to use the fair share vouchers. This information is critical 
because, as indicated in Section IV(A)(1)(c) of this NOFA, the 
geographic area in which the vouchers are intended to be used and in 
which the PHA is legally authorized to operate a Housing Choice Voucher 
Program will be used to determine the percentage of the state's housing 
needs that are within the PHA's primary market area under Selection 
Criterion 1. For example, although a PHA may be legally authorized to 
operate throughout the entire county in which it is located, if the 
vouchers will be used only in two cities within that county then the 
primary market area is those two cities and not the entire county. 
Likewise, for a State PHA which may be legally authorized to operate 
throughout the entire State, but which intends to use the fair share 
vouchers in only one county, the primary market area is solely that 
county. In addition, the primary market area shall not include a 
geographic area in which the PHA is issuing vouchers, outside its 
normally legally authorized area of operation, based upon an agreement 
with another PHA(s) to issue vouchers in the other PHA's jurisdiction.

(D) Statement Regarding the Steps the PHA Will Take to Affirmatively 
Further Fair Housing

    The areas to be addressed in the PHA's statement should include, 
but not necessarily be limited to:
    (1) An examination of the PHA's own programs or proposed programs, 
including an identification of any impediments to fair housing 
(identified in the jurisdiction's Analysis of Impediments (AI) to Fair 
Housing Choice--in its Consolidated Plan); and a description of a plan 
developed to (a) address those impediments in a reasonable fashion in 
view of the resources available and (b) work with local jurisdictions 
to implement any of the jurisdiction's initiatives to affirmatively 
further fair housing; and the maintenance of records reflecting this 
analysis and actions;
    (2) Remedy discrimination in housing; or
    (3) Promote fair housing rights and fair housing choice.

(E) Moving to Work (MTW) PHA Information and Certification

    See Section VII (B)(2)(c) regarding the information to be submitted 
by an MTW PHA required to report under the Section 8 Management 
Assessment Program (SEMAP) but not meeting the 95 percent lease-up or 
budget authority utilization requirements, or the lease-up or budget 
authority utilization certification to be submitted by an MTW PHA not 
required to report under SEMAP.

(F) Multifamily Tenant Characteristics System (MTCS) Reporting 
Certification

    In order to be eligible to submit an application under this NOFA, 
the PHA must have had a minimum reporting rate of not less than 85 
percent for housing choice voucher and certificate resident records to 
HUD's MTCS (see 24 CFR Part 908 and Notice PIH 98-30) for the period 
ending December 1999, and must submit a certification with its 
application certifying to having met this requirement.

VII. Corrections to Deficient Applications

(A) Acceptable Applications

    An acceptable application is one which meets all of the application 
submission requirements in Section VI

[[Page 78046]]

of this NOFA and does not fall into any of the categories listed in 
Section VII (B) of this NOFA. The GMC will initially screen all 
applications and notify PHAs of technical deficiencies by letter.
    With respect to correction of deficient applications, HUD may not, 
after the application due date and consistent with HUD's regulations in 
24 CFR part 4, subpart B, consider any unsolicited information an 
applicant may want to provide. HUD may contact an applicant to clarify 
an item in the application or to correct technical deficiencies. Please 
note, however, that HUD may not seek clarification of items or 
responses that improve the substantive quality of a response to any 
selection factors. In order not to unreasonably exclude applications 
from being rated and ranked, HUD may contact applicants to ensure 
proper completion of the application and will do so on a uniform basis 
for all applicants. Examples of curable (correctable) technical 
deficiencies include failure to submit the proper certifications or 
failure to submit an application that contains an original signature by 
an authorized official. In each case under this NOFA, the GMC will 
notify the applicant in writing by describing the clarification or 
technical deficiency. The applicant must submit clarifications or 
corrections of technical deficiencies in accordance with the 
information provided by the GMC within 7 calendar days of the date of 
receipt of the HUD notification. (If the due date falls on a Saturday, 
Sunday, or Federal holiday, your correction must be received by HUD on 
the next day that is not a Saturday, Sunday, or Federal holiday.) If 
the deficiency is not corrected within this time period, HUD will 
reject the application as incomplete, and it will not be considered for 
funding.

(B) Unacceptable Applications 

    (1) After the 7-calendar day technical deficiency correction 
period, the GMC will disapprove all PHA applications that it determines 
are not acceptable for processing. The GMC's notification of rejection 
letter must state the basis for the decision.
    (2) Applications from PHAs that fall into any of the following 
categories will not be processed:
    (a) Applications from PHAs that do not meet the requirements of 
Section III(A)(1) of this NOFA, Compliance With Fair Housing and Civil 
Rights Laws.
    (b) The PHA has major program management findings in an Inspector 
General audit, HUD management review, or independent public accountant 
(IPA) audit for its voucher or certificate programs that are not closed 
or on which satisfactory progress in resolving the findings is not 
being made; or program compliance problems for its voucher or 
certificate programs on which satisfactory progress is not being made. 
The only exception to this category is if the PHA has been identified 
under the policy established in Section II.(E) of this NOFA and the PHA 
makes application with a designated contract administrator. Major 
program management findings are those that would cast doubt on the 
capacity of the PHA to effectively administer any new Section 8 voucher 
funding in accordance with applicable HUD regulatory and statutory 
requirements.
    (c) The PHA has failed to achieve a lease-up rate of 95 percent for 
its combined certificate and voucher units under contract for its 
fiscal year ending in 1999. Category (c) may be passed, however, if the 
PHA achieved a combined certificate and voucher budget authority 
utilization rate of 95 percent or greater for its fiscal year ending in 
1999. In the event the PHA is unable to meet either of these percentage 
requirements, it may still pass category (c) if it submits information 
to the GMC, as part of its application, demonstrating that it was able 
to either increase its combined certificate and voucher lease-up rate 
to 95 percent or greater for its fiscal year ending in 2000, or was 
able to increase combined certificate and voucher budget authority 
utilization to 95 percent or more for its fiscal year ending in 2000. 
PHAs that have been determined by HUD to have passed either the 95 
percent lease-up, or 95 percent budget authority utilization 
requirement for their fiscal year ending in 1999 will be listed with 
the Fair Share NOFA under ``funds available'' on the HUD Home Page site 
on the Internet's world wide web (http://www.hud.gov). A PHA not listed 
must either submit information (following the format of Appendix B of 
this NOFA) in its application supportive of its 95 percent lease-up or 
95 percent budget authority utilization performance for its fiscal year 
ending in 2000, or submit information (following the format of Appendix 
B of this NOFA) as part of its application supportive of its contention 
that it should have been included among those PHAs HUD listed on the 
HUD Home Page as having achieved either a 95 percent lease-up rate or 
95 percent budget authority utilization rate for fiscal years ending in 
1999. Appendix B of this NOFA indicates the methodology and data 
sources used by HUD to calculate the lease-up and budget authority 
utilization percentage rates for PHAs with fiscal years ending in 1999. 
Any PHA wishing to submit information to the GMC in connection with its 
1999 fiscal year or 2000 fiscal year for the purposes described 
immediately above (so as to be eligible under category (c) to submit an 
application) will be required to use the same methodology and data 
sources indicated in Appendix B.
    Moving To Work (MTW) agencies that are required to report under the 
Section 8 Management Assessment Program (SEMAP) shall be held to the 95 
percent lease-up and budget authority utilization requirements 
referenced above, except where such an MTW agency provides information 
in its application demonstrating to HUD that a lower percentage is the 
result of the implementation of specific aspects of its program under 
its MTW Agreement with HUD. MTW agencies which are not required to 
report under SEMAP must submit a certification with their application 
certifying that they are not required to report under SEMAP, and that 
they meet the 95 percent lease-up or budget authority utilization 
requirements.
    (d) The PHA is involved in litigation and HUD determines that the 
litigation may seriously impede the ability of the PHA to administer 
the vouchers.
    (e) A PHA's application that does not comply with the requirements 
of 24 CFR 982.102 and this NOFA after the expiration of the 7-calendar 
day technical deficiency correction period will be rejected from 
processing.
    (f) The PHA's application was submitted after the application due 
date.
    (g) The application was not submitted to the official place of 
receipt as indicated in the paragraph entitled ``Address for Submitting 
Applications'' at the beginning of this NOFA.
    (h) The applicant has been debarred or otherwise disqualified from 
providing assistance under the program.
    (i) The applicant has failed to achieve a minimum 85 percent 
submission rate for housing choice voucher and certificate resident 
records to HUD's Multifamily Tenant Characteristics System (MTCS), as 
set forth by 24 CFR Part 908 and Notice PIH 98-30, for the period 
ending December 1999.

VIII. Findings and Certifications

(A) Paperwork Reduction Act Statement

    The Housing Choice Voucher Program (Section 8) information 
collection requirements contained in this NOFA have been approved by 
the Office of Management and Budget in accordance with the Paperwork 
Reduction Act of 1995 (44 U.S.C. 3501-3520), and

[[Page 78047]]

assigned OMB control number 2577-0169. 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.

(B) Environmental Impact

    In accordance with 24 CFR 50.19(b)(11) of the HUD regulations, 
tenant-based rental activities under this program are categorically 
excluded from the requirements of the National Environmental Policy Act 
of 1969 (NEPA) and are not subject to environmental review under the 
related laws and authorities. This NOFA provides funding for these 
activities under 24 CFR part 982, which does not contain environmental 
review provisions because of the categorical exclusion of these 
activities from environmental review. Accordingly, under 24 CFR 
50.19(c)(5), issuance of this NOFA is also categorically excluded from 
environmental review under NEPA.

(C) Catalog of Federal Domestic Assistance Numbers

    The Federal Domestic Assistance number for this program is 14.857.

(D) Federalism Impact

    Executive Order 13132 (captioned ``Federalism'') prohibits, to the 
extent practicable and permitted by law, an agency from promulgating a 
regulation that has federalism implications and either imposes 
substantial direct compliance costs on State and local governments and 
is not required by statute, or preempts State law, unless the relevant 
requirements of section 6 of the Executive Order are met. None of the 
provisions in this NOFA will have federalism implications and they will 
not impose substantial direct compliance costs on State and local 
governments or preempt State law within the meaning of the Executive 
Order. As a result, the notice is not subject to review under the 
Order.

(E) Accountability in the Provision of HUD Assistance

    Section 102 of the Department of Housing and Urban Development 
Reform Act of 1989 (HUD Reform Act) and the regulations in 24 CFR part 
4, subpart A contain a number of provisions that are designed to ensure 
greater accountability and integrity in the provision of certain types 
of assistance administered by HUD. On January 14, 1992 (57 FR 1942), 
HUD published a notice that also provides information on the 
implementation of section 102. HUD will comply with the documentation, 
public access, and disclosure requirements of section 102 with regard 
to the assistance awarded under this NOFA, as follows:
(1) Documentation and Public Access Requirements
    HUD will ensure that documentation and other information regarding 
each application submitted pursuant to this NOFA are sufficient to 
indicate the basis upon which assistance was provided or denied. This 
material, including any letters of support, will be made available for 
public inspection for a 5-year period beginning not less than 30 days 
after the award of the assistance. Material will be made available in 
accordance with the Freedom of Information Act (5 U.S.C. 552) and HUD's 
implementing regulations at 24 CFR part 15. In addition, HUD will 
include the recipients of assistance pursuant to this NOFA in its 
Federal Register notice of all recipients of HUD assistance awarded on 
a competitive basis.
(2) Disclosures
    HUD will make available to the public for 5 years all applicant 
disclosure reports (HUD Form 2880) submitted in connection with this 
NOFA. Update reports (also Form 2880) will be made available along with 
the applicant disclosure reports, but in no case for a period less than 
3 years. All reports--both applicant disclosures and updates--will be 
made available in accordance with the Freedom of Information Act (5 
U.S.C. 552) and HUD's implementing regulations at 24 CFR part 15.

(F) Section 103 HUD Reform Act

    HUD will comply with section 103 of the Department of Housing and 
Urban Development Reform Act of 1989 and HUD's implementing regulations 
in subpart B of 24 CFR part 4 with regard to the funding competition 
announced today. These requirements continue to apply until the 
announcement of the selection of successful applicants. HUD employees 
involved in the review of applications and in the making of funding 
decisions are limited by section 103 from providing advance information 
to any person (other than an authorized employee of HUD) concerning 
funding decisions, or from otherwise giving any applicant an unfair 
competitive advantage. Persons who apply for assistance in this 
competition should confine their inquiries to the subject areas 
permitted under section 103 and subpart B of 24 CFR part 4.
    Applicants or employees who have ethics related questions should 
contact the HUD Office of Ethics at (202) 708-3815. (This is not a 
toll-free number.) For HUD employees who have specific program 
questions, such as whether particular subject matter can be discussed 
with persons outside HUD, the employee should contact the appropriate 
Field Office Counsel.

(G) Prohibition Against Lobbying Activities

    Applicants for funding under this NOFA are subject to the 
provisions of section 319 of the Department of Interior and Related 
Agencies Appropriation Act for Fiscal Year 1991 (31 U.S.C. 1352) (the 
Byrd Amendment) and to the provisions of the Lobbying Disclosure Act of 
1995 (Pub. L. 104-65; approved 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 NOFA. Therefore, applicants must file 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; approved 
December 19, 1995), which repealed section 112 of the HUD Reform Act, 
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.

    Dated: December 4, 2000.
Harold Lucas,
Assistant Secretary for Public and Indian Housing.

Appendix A

         Housing Choice Vouchers--FY 2001 Fair Share Allocations
------------------------------------------------------------------------
                 Allocation area                      Dollars     Units
------------------------------------------------------------------------
Alabama..........................................     3,832,512      986
Alaska & Washington..............................     8,490,178    1,466
Arizona..........................................     5,674,314    1,058
Arkansas.........................................     2,259,847      593
California.......................................    80,985,425   11,176
Colorado.........................................     6,109,188    1,008

[[Page 78048]]

 
Connecticut......................................     5,822,038      891
Delaware.........................................       872,723      149
District of Columbia & Maryland..................     9,073,520    1,556
Florida..........................................    18,168,761    3,295
Georgia..........................................     9,376,338    1,762
Hawaii & Pacific Islands.........................     2,952,114      407
Idaho............................................     1,069,276      262
Illinois.........................................    21,352,392    3,626
Indiana..........................................     6,143,219    1,353
Iowa.............................................     3,311,913      803
Kansas...........................................     2,486,578      626
Kentucky.........................................     3,831,993    1,015
Louisiana........................................     5,095,557    1,283
Maine............................................     1,671,828      336
Massachusetts....................................    14,279,752    2,112
Michigan.........................................    13,632,265    2,651
Minnesota........................................     5,488,976    1,043
Mississippi......................................     2,485,561      672
Missouri.........................................     5,662,051    1,337
Montana..........................................     1,187,042      245
Nebraska.........................................     1,905,039      445
Nevada...........................................     2,671,352      442
New Hampshire....................................     1,495,658      243
New Jersey.......................................    16,581,017    2,210
New Mexico.......................................     1,678,279      383
New York.........................................    71,902,793    9,830
North Carolina...................................     8,022,284    1,664
North Dakota.....................................       721,896      176
Ohio.............................................    15,518,163    3,266
Oklahoma.........................................     3,079,623      792
Oregon...........................................     4,588,121      948
Pennsylvania.....................................    18,177,238    3,558
Puerto Rico & Virgin Islands.....................     3,726,802    1,005
Rhode Island.....................................     2,033,286      357
South Carolina...................................     3,520,083      815
South Dakota.....................................       936,014      215
Tennessee........................................     5,247,465    1,229
Texas............................................    25,394,562    4,955
Utah.............................................     2,095,813      398
Vermont..........................................     1,019,047      179
Virginia.........................................     6,958,322    1,475
West Virginia....................................     1,778,802      492
Wisconsin........................................     7,908,238    1,655
Wyoming..........................................       439,954      105
      US Total*..................................   448,715,212  78,475
------------------------------------------------------------------------
* Budget authority was reduced from $452,907,000 to $448,715,212 in
  order to correct the underfunding of four PHAs under the FY 2000 Fair
  Share NOFA due to a HUD error (see Section II(C)(3), Underfunding
  Corrections, of this NOFA). Vouchers have likewise been reduced from
  79,000 to 78,475 in order to first fund the 525 vouchers that should
  have been funded for the four PHAs under the FY 2000 Fair Share NOFA.
  The four PHAs were located in the Alaska/Washington, Massachusetts,
  Ohio, and Oregon fair share allocation areas, so the dollar/voucher
  reductions were effectuated for these allocation areas consistent with
  the dollars and vouchers per PHA cited in Section II(C)(3) of this
  NOFA.

Appendix B

Methodology for Determining Lease-Up and Budget Authority 
Utilization Percentage Rates

    Using data from the HUDCAPS system, HUD determined which PHAs met 
the 95% budget authority utilization or 95% lease-up criteria. The data 
used in the determination was based on PHA fiscal years ending in 1999. 
The budget authority utilization and lease-up rates were determined 
based upon the methodology indicated below.

Budget Authority Utilization

    Percentage of budget authority utilization was determined by 
comparing the total contributions required to the annual budget 
authority (ABA) available for the PHA 1999 year combining the 
certificate and voucher programs.
    Total contributions required were determined based on the combined 
actual costs approved by HUD on the form HUD-52681, Year End Settlement 
Statement. The components which make up the total contributions 
required are the total of housing assistance payments, ongoing 
administrative fees earned, hard to house fees earned, and IPA audit 
costs. From this total any interest earned on administrative fees is 
subtracted. The net amount is the total contributions required.
    ABA is the prorated portion applicable to the PHA 1999 year for 
each funding increment which had an active contract term during all or 
a portion of the PHA year.
    Example. PHA ABC Fiscal year 10/1/98 through 9/30/99.

 
 
 
HUD 52681 Approved Data:
  HAP.....................................................   $2,500,000
  Administrative Fee......................................      250,000
  Hard to House Fee.......................................        1,000
  Audit...................................................        2,000
  Total...................................................    2,753,000
  Interest earned on administrative fee...................       (2,500)
                                                           -------------
    Total contributions required..........................    2,750,500
 


                                     Calculation of Annual Budget Authority
----------------------------------------------------------------------------------------------------------------
                          Increments                                Contract term         Total BA       ABA
----------------------------------------------------------------------------------------------------------------
001..........................................................        11/01/98-10/31/99   $1,300,000   $1,191,667
002..........................................................        01/01/99-12/31/99    1,200,000      900,000
003..........................................................        04/01/99-03/31/00      950,000      475,000
004..........................................................        07/01/99-06/30/00    1,500,000      375,000
                                                                                       -------------------------
      Totals.................................................  .......................    4,950,000    2,941,667
----------------------------------------------------------------------------------------------------------------


[[Page 78049]]

Budget Authority Utilization

Total contributions required divided by $2,750,000
Annual budget authority equals $2,941,667
Budget Authority Utilization--93.5%

Lease-up Rate

    The lease-up rate was determined by comparing the reserved units 
(funding increments active as of the end of the PHA 1999 year) to the 
unit months leased (divided by 12) reported on the combined HUD 52681, 
Year End Settlement Statement(s) for 1999.
    Active funding increments awarded by HUD for special purposes such 
as litigation, relocation/replacement, housing conversions. Welfare to 
Work, and new units awarded to the PHA during the last twelve months 
were excluded from the reserved units as the Department recognizes that 
many of these unit allocations have special requirements which require 
extended periods of time to achieve lease-up.
    Example.  

------------------------------------------------------------------------
                Increments                      Contract term      Units
------------------------------------------------------------------------
001.......................................     11/01/98-10/31/99    242
002.......................................     01/01/99-12/31/99    224
003.......................................     04/01/99-03/31/00    178
004.......................................     07/01/99-06/30/00    280
                                                                 -------
  Totals..................................  ....................   924
Increment 003 litigation........................................   (178)
                                                                 -------
  Adjusted contract units.......................................    746
------------------------------------------------------------------------

Unit months leased reported by PHA--8,726
Divided by 12--727
Units Leased--727

Lease-up Rate

Units leased--727
Divided by adjusted contract units equals--746
Lease-up Rate--97.5%
[FR Doc. 00-31652 Filed 12-12-00; 8:45 am]
BILLING CODE 4210-33-P