[Federal Register Volume 68, Number 161 (Wednesday, August 20, 2003)]
[Notices]
[Pages 50161-50167]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-21240]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4837-D-02]


Redelegations of Authority to the Office of Housing/Federal 
Housing Administration for Multifamily Housing Programs and Health Care 
Programs

AGENCY: Office of the Assistant Secretary for Housing-Federal Housing 
Commissioner, HUD.

ACTION: Notice of revocation and redelegation of authority for 
multifamily and health care programs.

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SUMMARY: Published elsewhere in today's Federal Register, the Secretary 
of HUD issued an up-to-date comprehensive delegation of authority for 
housing and health care programs to the Assistant Secretary for 
Housing-Federal Housing Commissioner and the General Deputy Assistant 
Secretary for Housing-Deputy Federal Housing Commissioner. This notice 
advises the public of redelegations of authority for Multifamily 
Housing Programs from the Assistant Secretary to Office of Housing 
staff in the (1) Office of Multifamily Housing in Headquarters and in 
the Field, and (2) Office of Insured Health Care Facilities.

EFFECTIVE DATE: August 11, 2003.

FOR FURTHER INFORMATION CONTACT: Janet Golrick, Assistant Deputy 
Assistant Secretary for Office of Multifamily Housing, Office of 
Housing, Department of Housing and Urban Development, Room 6112, 
Washington, DC 20410, phone (202) 708-2495. (This is not a toll-free 
number. Persons with hearing or speech impairments may access this 
number through TTY number by calling the toll-free Federal Relay 
Service number at (800) 877-8339.

SUPPLEMENTARY INFORMATION: The organizational structure of the Office 
of Multifamily Housing, Office of Housing, has undergone substantial 
change over recent years. Office of Housing Headquarters personnel is 
primarily responsible for assisting the Assistant Secretary in 
developing policies and procedures for Office of Housing programs. On 
occasion, Headquarters will review and decide cases where, for example, 
novel issues have national implications.
    A separate question concerns which positions within the Office of 
Housing should be redelegated the authority to bind the Department. 
While a number of HUD staff, reflecting a range of expertise, may 
participate in the decision-making process, performing such functions 
as gathering and assessing facts and making recommendations about the 
disposition of a transaction, only a relatively small number of 
managers, acting within the scope of their redelegated authority and 
applicable law, have independent authority through the delegation 
process to make binding decisions on behalf of HUD.
    Accordingly, under this delegation, which supersedes all prior 
delegations to staff in the Office of Multifamily Housing and the 
Office of Insured Health Care Facilities, the Assistant Secretary is 
delegating very broad operating authority to a clearly defined universe 
of Office of Housing positions in Headquarters and in the field.

Section I. Multifamily Housing Programs: Office of Housing Organization

A. Office of Multifamily Housing--Headquarters

    All Multifamily Housing managers in Headquarters and in the field 
report to the Deputy Assistant Secretary and Associate Deputy Assistant 
Secretary for Multifamily Housing. In Headquarters, there are five 
major Multifamily Housing offices, each of which is headed by a 
Director. These Offices and a general description of each are the 
following:
Office of Multifamily Housing Development
    This Office develops and implements policies and guidelines for the 
loan origination aspects of the Federal Housing Administration (FHA) 
multifamily housing and health care mortgage insurance programs, 
excluding section 242 hospitals, from pre-application to final 
endorsement of the mortgage note. The Office is also responsible for 
Multifamily Accelerated Processing (MAP) and section 542 Risk-Sharing 
policies and procedures, including lender approval and lender 
monitoring. Housing Office staff provides technical guidance to the 
HUD/FHA multifamily housing field staff, the industry, and other 
Headquarters Offices.
Office of Asset Management
    The Office of Asset Management is responsible for strategic 
planning, guidance, and oversight of HUD's

[[Page 50162]]

multifamily housing portfolio of project assets after development and 
upon occupancy (multifamily housing properties consist primarily of 
rental housing properties with five or more dwelling units, such as 
apartments or town houses, but also include nursing homes, elderly 
housing, mobile home parks, retirement service centers, and, very 
occasionally, vacant land). The Office develops policy for, and 
oversees, field office asset management operations. The Office is 
responsible for oversight of regulated property ownership and 
management, routine mortgage servicing, default servicing, acquisition 
and/or disposition of loans and properties, and management of 
properties where the Secretary is owner or mortgagee-in-possession. The 
Office also has oversight for subsidy payments for the sections 202/811 
elderly and disabled programs. The Office serves as Multifamily 
Housing's liaison with the Real Estate Assessment Center (REAC) and the 
Departmental Enforcement Center (DEC). The Office oversees field office 
and lender-servicing activities for HUD-involved properties. Through 
two field Property Disposition Centers, the Office oversees HUD 
management, ownership, and the sale of properties, which HUD owns by 
virtue of default and foreclosure, or for which HUD is mortgagee-in-
possession. In support of asset management, the Office defines business 
requirements for automated systems development and modification.
Office of Housing Assistance and Grant Administration
    The Office of Housing Assistance and Grant Administration is 
responsible for directing and overseeing housing assistance and 
competitive grant programs administered by the Office of Multifamily 
Housing Programs with its primary focus on production and development 
functions. Programs include project-based section 8 housing assistance, 
the section 202/811 Capital Advance Program, the section 531 
Rehabilitation Program, Service Coordinators, Assisted Living 
Conversion, and Congregate Housing Services Programs.

Office of Housing Assistance Contract Administration Oversight

    The Office of Housing Assistance Contract Administration Oversight 
is responsible for providing policies, procedures, guidelines, 
technical oversight, performance assessment, and compliance under the 
terms of the respective Annual Contributions Contracts for section 8 
Contract Administrators (CA). The section 8 contract administration 
oversight by this Office provides that properties continue to meet the 
Department's standard of providing decent, safe, and sanitary housing 
to low-income families. Additionally, this Office is responsible for 
assuring the Department meets its financial obligations to owners as 
specified in the various subsidy contracts by ensuring availability of 
subsidy payments. The Office oversees ongoing funding of project-based 
assistance contracts, including contracts under section 8, Rent 
Supplement, and Rental Assistance Payments programs.
Office of Program Systems Management
    The Office of Program Systems Management is responsible for the 
automated systems that support Multifamily Housing programs. The Office 
works with the other four Multifamily Offices to develop and enhance 
the systems used to support their respective programs.

B. Office of Multifamily Housing--Field Office Structure

    The Field Office organization consists of 51 offices, including 
Hubs and Program Centers. In all, there are 18 Hubs. Each of the 18 
Hubs also has a Program Center (referred to as the Projects Management 
Staff), co-located with the Hub. The Program Center administers 
programs for the immediate geographical area of the Hub, whereas the 
Hub oversees operations for the broader geographic area. There are 33 
Program Centers, each of which reports to a Hub and is located 
elsewhere within the Hub's broader geographic jurisdiction.
    The highest-ranking official in a Hub is the Hub Director. His or 
her immediate deputy is the Director of the Operations Staff (referred 
to in this notice as the Operations Officer). The Director of the 
Projects Management Staff (referred to in this notice as the Director 
of Project Management) reports to the Hub Director and oversees the 
work of the co-located Program Center. The head of a Program Center 
located outside of the Hub is the Program Center Director. The occupant 
of this position also reports to the Hub Director. (Note: In this 
notice, reference to ``Program Center Directors'' refers to both the 
aforementioned Director of Projects Management and the Directors of 
Program Centers located outside the Hub location).
    The chart below identifies each Hub, Program Centers that report to 
it, and the geographic area that it serves.

                    Multifamily Housing Hub Structure
------------------------------------------------------------------------
                                                        Geographic area
               Hub                  Program center         serviced
------------------------------------------------------------------------
Atlanta.........................  Caribbean,          Georgia, Kentucky,
                                   Knoxville,          Puerto Rico,
                                   Louisville,         Tennessee, Virgin
                                   Nashville (Also,    Islands.
                                   a Multifamily
                                   Property
                                   Disposition
                                   Center is located
                                   in Atlanta).
Baltimore.......................  Richmond,           Maryland,
                                   Washington, DC.     Virginia,
                                                       Washington, DC.
Boston..........................  Hartford,           Connecticut,
                                   Manchester,         Maine,
                                   Providence.         Massachusetts,
                                                       New Hampshire,
                                                       Rhode Island,
                                                       Vermont.
Buffalo.........................  ..................  NY State, except
                                                       for NYC Metro
                                                       Area.
Chicago.........................  Indianapolis......  Illinois, Indiana.
Columbus........................  Cleveland.........  Ohio.
Denver..........................  ..................  Colorado, Montana,
                                                       North Dakota,
                                                       South Dakota,
                                                       Utah, Wyoming.
Detroit.........................  ..................  Michigan.
Fort Worth......................  Albuquerque,        Arkansas,
                                   Houston, Little     Louisiana, New
                                   Rock, New           Mexico, Texas.
                                   Orleans, San
                                   Antonio (Also, a
                                   Multifamily
                                   Property
                                   Disposition
                                   Center is located
                                   in Fort Worth).
Greensboro......................  Columbia..........  North Carolina,
                                                       South Carolina.
Jacksonville....................  Birmingham, Coral   Florida, Alabama,
                                   Gables, Jackson.    Mississippi.
Kansas City.....................  Des Moines,         Iowa, Kansas,
                                   Oklahoma City,      Missouri,
                                   Omaha, St. Louis.   Nebraska,
                                                       Oklahoma.
Los Angeles.....................  ..................  Southern
                                                       California.
Minneapolis.....................  Milwaukee.........  Minnesota,
                                                       Wisconsin.
New York City...................  ..................  New York City
                                                       Metro Area.

[[Page 50163]]

 
Philadelphia....................  Charleston,         Delaware, New
                                   Newark,             Jersey,
                                   Pittsburgh.         Pennsylvania,
                                                       West Virginia.
San Francisco...................  Honolulu, Phoenix,  Arizona, Northern
                                   Las Vegas.          California,
                                                       Hawaii, Nevada.
Seattle.........................  Anchorage,          Alaska, Idaho,
                                   Portland.           Oregon,
                                                       Washington.
------------------------------------------------------------------------

    In summary, certain Multifamily Housing Office managers in Program 
Centers, Hubs, and Headquarters, acting within the scope of their 
redelegated authorities and applicable law, have independent authority, 
through the delegation process, to make binding decisions on behalf of 
the Department. Program Center Directors report to Hub Directors who, 
in turn, report to the Deputy Assistant Secretary and the Associate 
Deputy Assistant Secretary for Multifamily Housing Programs.

C. Office of Insured Health Care Facilities (OIHCF)

    The Office of Insured Health Care Facilities was created some 
twelve years ago for the express purpose of reviewing and approving 
mortgage insurance proposals for hospitals and to handle asset 
management and property disposition matters related to HUD's insured 
hospital portfolio. OIHCF also administers all matters under Title XI 
of the National Housing Act (mortgage insurance for group practice 
facilities). Prior to the creation of OIHCF, hospital mortgage 
insurance applications were processed within the Office of Multifamily 
Housing. However, because of underwriting and oversight issues unique 
to hospital care facilities, HUD determined to create this separate 
office with particular expertise in the health care area. Unlike the 
usual case where applications for mortgage insurance are submitted to 
the local Program Center, insurance proposals for hospitals are 
submitted to OIHCF in Headquarters. OIHCF staff is located in HUD 
Headquarters, although some staff is out-stationed to New York City. 
The Director and the Deputy Director of OIHCF report directly to the 
Assistant Secretary and the General Deputy Assistant Secretary for 
Housing. In making its determinations, OIHCF also oversees work 
performed by personnel in the Department of Health and Human Services 
(HHS), pursuant to a Memorandum of Agreement between the two 
departments. OIHCF also makes limited use of resources in the Office of 
Multifamily Housing's Field structure. In order to facilitate 
transactions in hospital insurance cases, certain authority is being 
delegated to Hub Directors in Multifamily Housing Field Offices. 
However, this authority may be exercised only pursuant to the prior 
direction or concurrence of the OIHCF Director.

Section II. Multifamily Housing Programs--Functions

    The Office of Multifamily Housing is charged with carrying out 
duties of the Assistant Secretary and General Deputy Assistant 
Secretary for Housing, as they relate to multifamily programs set forth 
in HUD's governing legislation. This broad range of programs enables 
HUD, in concert with its partners from the private and public sectors, 
to provide safe, decent, and affordable multifamily housing to millions 
of American families. The programs include mortgage insurance, capital 
advances, grant programs, and some programs that assist communities in 
reducing crime. Some programs make access to assisted living facilities 
more affordable.


    Note: Multifamily Housing programs and functions related thereto 
do not include activities performed by the Office of Housing under 
the Federal Housing Enterprises Financial Safety and Soundness Act 
of 1992 (FHEFSSA) (12 U.S.C. 4501 et seq). A separate Office within 
Housing, the Office of Government Sponsored Enterprise Regulatory 
Staff assists the Assistant Secretary in carrying out the provisions 
of the FHEFSSA.


    Under this delegation, the Assistant Secretary redelegates broad 
program authority, with limited exceptions that are discussed in 
Section III. of this notice to the Deputy Assistant Secretary, the 
Associate Deputy Assistant Secretary, certain Multifamily Housing 
Directors in Headquarters and the Field, and the Director of the OIHCF.
    Characterizing the authority that is being redelegated by the 
Assistant Secretary in broad or general terms will enable the Deputy 
Assistant Secretary, the Associate Deputy Assistant Secretary, and 
certain Directors to perform all functions necessary to accomplish 
Multifamily Program tasks and objectives.
    In some past delegation notices, HUD has set forth, in ``laundry 
list'' fashion, the functions that are carried out by managers under 
generic function headings. Publishing detailed lists has proven 
problematic, as some listed items become obsolete over time, while 
others are omitted through oversight. Conversely, this delegation sets 
forth functions in general terms, while the preamble provides insights 
into the nature of the work performed by managers with delegated 
authority under each category. The basic Multifamily Housing functions 
and a brief description of each are as follows:
    A. General Authority: This authority allows Office of Housing 
officials, in the Office of Multifamily Housing and in OIHCF, to sign 
any and all documents necessary to carry out the business, within their 
program and geographic jurisdictions. In addition, this authority 
allows such officials, when considering a proposal, to waive any 
directives, not mandated by statute or regulation, or reserved to 
Headquarters, for good cause and with a written justification.
    B. Production: This function allows a manager with delegated 
authority to make all necessary determinations that relate to the FHA-
insured mortgage underwriting process and the Risk-Sharing Programs. 
Essentially, this category of functions begins with a pre-application 
or application for mortgage insurance and ends with the Department's 
endorsement of an insured mortgage and related documentation. For all 
mortgage insurance programs, it includes, but is not limited to, such 
activities as determining the acceptability of project sites; issuing 
conditional or firm commitments for FHA insurance; issuing initial or 
final endorsements for FHA insurance; executing regulatory agreements; 
requiring corrective actions and escrow accounts as needed; and 
wherever applicable, directing the actions of HUD clients in connection 
with a project's development (e.g., authorizing a Housing Finance 
Agency to process risk sharing loans or to conduct a subsidy layering 
review). Similar production functions are performed in connection with 
capital advances for elderly persons (section 202) and persons with 
disabilities (section 811). For example, applications are reviewed and 
rated; funding awards are made; and regulatory agreements executed.
    C. Asset Management: Functions carried out under this category 
involve HUD's continuing relationship with a multifamily project after 
it has been added to the HUD portfolio through either FHA mortgage 
insurance, co-

[[Page 50164]]

insurance or risk-sharing programs, direct loan, capital advance or 
grant programs, or other subsidy programs, and combinations thereof. 
On-going decision-making relates to an insured or subsidized project's 
occupancy, operations, and physical and financial condition from the 
time of occupancy through financial disposition including but not 
limited to prepayment, repayment of the loan or end of the subsidy 
contract, foreclosure, and/or termination of the subsidy contract. In 
addition, functions involve the renewal of section 8 contracts and 
other project-based assistance, and imposing sanctions upon project 
owners that, for example, violate the terms of their regulatory 
agreement and/or section 8 housing assistance contracts.
    D. Competitive Capital Advance Programs: Competitive programs 
within the Office of Multifamily Housing typically include those for 
the section 202 supportive housing for the elderly, section 811 
supportive housing for persons with disabilities, service coordinators, 
and the assisted living conversion programs. In any given year, 
Congress may authorize additional or alternative programs. Office 
functions include developing the criteria for applications, rating and 
ranking applications, and executing capital advance and grant 
agreements. Once a grant is awarded, functions include monitoring 
compliance with the grant agreement, terminating a grant for non-
compliance, modifying a grant, and closing out a grant. Once a capital 
advance has been awarded under the section 202 or section 811 programs, 
functions include processing a firm commitment application, initially 
closing the project, monitoring compliance with the construction 
contract, and finally closing the project once costs have been 
certified.
    E. Program Demonstrations: Periodically, the Congress will enact 
legislation that authorizes HUD to conduct a multifamily housing 
program on a demonstration basis. The purpose of a demonstration is 
essentially to test the viability of a new program on a limited basis, 
e.g., by geography, case volume, or time. Functions related to 
demonstration programs include developing program criteria, 
implementing the program, monitoring activities and results, preparing 
any required reports to Congress, and closing out the program.
    F. Property Disposition: Property disposition functions begin after 
HUD has made an initial decision to foreclose on a property. These 
functions include notifying an owner, and hearing and deciding an 
owner's appeal to the foreclosure determination; deciding the terms of 
and directing a foreclosure sale; accepting a deed-in-lieu of 
foreclosure, authorizing any work and related terms required by a 
project in advance of a sale; advertising a project for sale; approving 
disposition plans, sales documents, and purchasers; executing rental 
assistance contracts; and relocation of residents as may be necessary.
    G. Coinsurance: HUD stopped accepting new applications for 
multifamily housing coinsurance in 1990. However, multifamily housing 
coinsurance program functions are still carried on in relation to the 
existing inventory, and include any and all actions necessary to carry 
out the program authorized under 12 U.S.C. 1715z-9. Functions also 
include authorizing second mortgage documents in partial-payment of 
claims cases, as well approving requests for the conversion of 
coinsurance to full mortgage insurance.
    H. Portfolio Reengineering: The Portfolio Reengineering 
Demonstration Project was originally authorized in 1996 and most 
recently in 1998 under Title V of the Departments of Veterans Affairs 
and Housing and Urban Development, and Independent Agencies 
Appropriations Act, 1998 (Pub. L. 105-65). Although all cases under the 
program have been closed, there are certain actions remaining, such as 
final disbursements to joint venture partners, which will enable the 
program to be terminated.
    I. Hospital Mortgage Insurance: Functions for the hospital mortgage 
insurance program cover the range of activities from the pre-commitment 
stage through property disposition. The functions include the same 
kinds of activities described above for the multifamily insurance 
program and fall within the generic categories of production, asset 
management, and property disposition.
    J. Contract Administration Oversight/Funding: Functions in this 
area of contract administration oversight involve activities related to 
the award of the Contract Administration Contracts (Annual Contribution 
Contracts), assessment and assignment of section 8 contracts to the 
Performance-Based Contract Administrators (PBCAs), evaluation of PBCA 
performance, provision of technical assistance to PBCAs and 
prescription of any remedial actions needed to improve PBCA 
performance. Key functions also involve developing policies and 
procedures for field offices and coordinating efforts between the PBCAs 
and the local multifamily field office staff, monitoring, evaluating, 
and providing technical guidance relative to field activities, assuring 
that PBCAs provide data needed to evaluate their performance and the 
status of contracts they administer, and coordinating audit activities 
associated with section 8 Contract Administration.
    Funding activities involve all budget and funding responsibilities 
associated with the Rental Assistance Programs (RAP) (i.e., section 8 
but not sections 202/811, RAP, Rent Supplement, Project-Based section 
8, and Service Coordinators), including both HUD and third-party 
administered contracts. Activities also include creating and approving 
administrative commitments for active contracts, determinations of 
funding levels, reservations of the subsidy based on funding 
availability, monitoring allotments as compared to annual 
appropriations, funding assignments against allotments, reservations 
compared to fund assignments, and actual reservations versus estimated 
activity. Additional functions include monitoring the timely payment of 
section 8 housing assistance to administrators and project owners in 
cooperation with the section 8 Financial Management Center (FMC) and 
the accounting staff in the Office of the Chief Financial Officer. The 
work with the FMC primarily focuses on the impact of funding and 
payment when initiating conversions from HUDCAPS to LOCCS. The funding 
area also works with the Department's budget and accounting 
organizations to generate budget authority estimates for the above-
referenced subsidy programs, develop procedures for funding and payment 
processes, and systems integration to support the data. Another 
function is to liaison and coordinate with counterpart staff in the 
field offices to provide training and guidance, and to assure that 
funds are obligated and contracted.

Section III. Multifamily and Health Care Programs--Summary of 
Delegations

    As noted above, in order to efficiently administer the business of 
multifamily housing, the Assistant Secretary is delegating broad 
authority to clearly identified positions within the Office of 
Multifamily Housing in Headquarters and the Field, and to the Director 
and Deputy Director of OIHCF. Delegations in relation to four programs 
are being afforded exceptional treatment. These programs are the 
property disposition program, coinsurance program, portfolio 
restructuring program, and the mortgage insurance program for 
hospitals. This section contains a general discussion of

[[Page 50165]]

delegations for all multifamily programs. The authority actually 
delegated is set forth in section V below.
    A. Headquarters--Office of Multifamily Housing: Inasmuch as the 
Deputy Assistant Secretary and the Associate Deputy Assistant Secretary 
oversee the operations of the Office of Multifamily Housing, each is 
being delegated authority to conduct all business related to 
multifamily programs, with limited exceptions. The Deputy Assistant 
Secretary and Associate Deputy Assistant Secretary will not be 
delegated any authority to perform functions under the mortgage 
insurance program for hospitals. The Director and Deputy Director of 
OIHCF will administer that program. Only the Assistant Secretary or a 
person acting in the position of the Assistant Secretary can issue or 
waive a regulation.
    Headquarters Directors will also be delegated authority appropriate 
to their particular subject matter jurisdictions. These directors 
typically assist the Deputy Assistant Secretary in developing the 
policies, guidance, and procedures pursuant to which multifamily 
programs are conducted. Although requests related to individual 
projects ordinarily originate and are decided in the Field, in unique 
cases or cases that have national implications, require novel 
interpretations of policy, or have extraordinary monetary or other 
significance, Headquarters Office Directors may elect to review and 
decide. The Assistant Secretary is redelegating authority to 
Headquarters directors to enable them to function efficiently in these 
kinds of circumstances.
    The Director of the Office of Multifamily Housing Development will 
be delegated the authority to perform all program functions summarized 
in section II.A. (General), section II.B (Production), and section II.E 
(Program Demonstrations), for the FHA mortgage insurance programs and 
Risk-Sharing.
    The Director of the Office of Asset Management will be delegated 
the authority to perform all program functions in section II.A. 
(General), section II.C. (Asset Management), section II.D. (Competitive 
Capital Advance Programs), section II.E. (Program Demonstrations), 
section II.F. (Property Disposition), section II.G. (Coinsurance), and 
section II.H. (Portfolio Reengineering).
    The Director of the Office of Housing Assistance and Grant 
Administration will be delegated the authority to perform program 
functions in section II. A (General), and section II.D. (Competitive 
Capital Advance Program).
    The Director of the Office of Housing Assistance Contract 
Administration Oversight will be delegated the authority to perform all 
program functions summarized in section II.A. (General), section II.J. 
(Contract Administration Oversight/Funding).
    The responsibilities of the remaining Director in Headquarters (the 
Office of Program Systems Management) are such that no delegations are 
required.
    B. Field Offices--Office of Multifamily Housing: As a general rule, 
actions involving individual projects that come to the Department are 
considered and decided by Housing officials at the Field Office level. 
Managers who work at or near the location of a proposal are ordinarily 
best suited to assess the needs of the community and, within that 
context, the merits of a proposal. Accordingly, Field Office managers 
require broad delegations of authority. Authority will be delegated to 
each Hub Director and each Hub Operations Officer to perform, within 
the full geographic jurisdiction of the Hub, all of the functions 
described in sections II.A. through E. of this notice (i.e., functions 
related to General Authority; Production; Asset Management; Competitive 
Capital Advance Program; and Program Demonstrations). Special treatment 
is afforded to two program areas, i.e., property disposition and 
coinsurance.
    Property Disposition: Authority to exercise property disposition 
functions (section II.F. above) will be delegated only to the Director 
for the Property Disposition Center in the Atlanta, Georgia Hub and the 
Fort Worth, Texas Hub. To maximize efficiencies, the Office of Housing 
has concentrated relevant resources and expertise in these two Hubs 
that conduct property disposition activities for the entire United 
States.
    Coinsurance: Authority to exercise asset management functions for 
HUD's coinsured portfolio is delegated to the Hub Director, Operations 
Officer, and the Program Center Director in the Greensboro, North 
Carolina Hub only. As noted, no new coinsurance activity is allowable 
and the staff and resources have been concentrated in Greensboro to 
handle all matters related to the extant coinsurance portfolio.
    Hospital Mortgage Insurance Program: Property disposition functions 
are being delegated to the Hub Director, Operations Officer, and the 
Program Center Director in the Atlanta and Fort Worth Hubs. Certain 
Field Office managers will be delegated authority to sign closing 
documents for the final insurance endorsement of a mortgage loan. Also, 
Field staff will perform services (e.g., environmental reviews) in 
support of program determinations made by OIHCF.
    C. Office of Insured Health Care Facilities: The OIHCF Director and 
Deputy Director will be delegated all of the authority in section II.A 
(General) and section II.I (Hospital Insurance Program Functions), 
other than the authority to authorize commitments for mortgage 
insurance. The Director and Deputy Director can only issue a 
commitment, subject to the prior authorization of the Assistant 
Secretary for Housing-Federal Housing Commissioner.

Section IV. Futher Redelegations

    The authority being redelegated by the Assistant Secretary and 
General Deputy Assistant Secretary may not be further redelegated by 
Office of Multifamily Housing managers in Headquarters and the Field, 
except by Hub Directors, in the two circumstances described herein. 
Ordinarily, if an official is, for any reason, unable to perform 
duties, another official will act in his or her stead during that 
period, pursuant to a written, specific delegation of authority or 
office order of succession. However, workload or other demands in a 
particular Hub, at any given time, may require the Hub Director to 
redelegate authority to staff in the Hub or a Program Center.
    Accordingly, to ensure the smooth flow of business, the Hub 
Director will be permitted to delegate authority (other than that to 
issue waivers of directives, or conditional and firm mortgage loan 
insurance commitments or endorse FHA notes) to, or withdraw it from, 
any Supervisory Project Manager(s) and Senior Project Managers under 
his or her jurisdiction. Supervisory and Senior Project Managers are 
senior staff that typically perform complex and significant duties in 
connection with multifamily housing transactions. These delegations 
need not be published in the Federal Register, but must be in writing 
and available for public inspection at the (involved) Hub, Program 
Center(s), and Washington, DC Headquarters Office of Multifamily 
Housing.
    Another circumstance may arise in relation to a particular 
transaction where, for example, because of particular expertise or 
workload demands, another HUD employee may be required to perform the 
involved functions. In such an event, the Hub Director redelegating the 
authority will do so in writing, describing the particular transaction 
and duties to be performed. This specific delegation will not be 
published. The delegation will, however, be made a part of the record

[[Page 50166]]

of the transaction, so that parties to the transaction know that the 
HUD official performing the function is duly authorized to carry out 
the prescribed duties.

Section V. Multifamily Housing Programs And Health Care Programs--
Authority Redelegated

    The Assistant Secretary for Housing-Federal Housing Commissioner 
and the General Deputy Assistant Secretary for Housing-Deputy Federal 
Housing Commissioner retain and redelegate, (1) to the Deputy Assistant 
Secretary for the Office of Multifamily Housing Programs and Associate 
Deputy Assistant Secretary and (2) through the Deputy Assistant 
Secretary and Associate Deputy Assistant Secretary, to the Headquarters 
Office Directors listed below, and (3) through the Headquarters Office 
Directors, to the Headquarters and Field Office managers listed below, 
and (4) to the Director of the Office of Insured Health Care 
facilities, the power and authority described as follows:
    A. Deputy Assistant Secretary and Associate Deputy Assistant 
Secretary of the Office of Multifamily Housing Programs: Authority is 
redelegated, on a nationwide basis, to take all actions necessary to 
conduct all multifamily housing programs, other than the mortgage 
insurance program for hospitals, including but not limited to, the 
exercise of the following functions:
    (1) The general power to modify and sign any documents necessary to 
perform enumerated functions and to waive any directive that is not 
mandated by a statute or regulation;
    (2) All production functions related to mortgage insurance, capital 
advance, risk-sharing, or other programs;
    (3) All asset management functions related to mortgage insurance, 
grant, or other programs;
    (4) All functions necessary to carry out competitive capital 
advance programs;
    (5) All functions necessary to carry out a program conducted on a 
demonstration basis;
    (6) All property disposition functions;
    (7) All functions necessary to the conduct of the multifamily 
coinsurance program;
    (8) All functions necessary to the conduct of the portfolio 
reengineering program, re-authorized under Title V of the Departments 
of Veterans Affairs and Housing and Urban Development, and Independent 
Agencies Appropriations Act of 1998 (Public Law 106-65); and
    (9) All functions necessary to the conduct of section 8 contract 
administration oversight/funding.
    B. Director, Office of Multifamily Development: Authority is 
redelegated, on a nationwide basis, to take all actions necessary to 
conduct all multifamily housing programs other than the mortgage 
insurance program for hospitals, in relation to the following 
functions:
    (1) The general power to sign any documents necessary to perform 
enumerated functions and to waive any directive that is not mandated by 
a statute or regulation;
    (2) All production functions related to mortgage insurance or risk-
sharing programs;
    (3) All functions necessary to carry out a program conducted on a 
demonstration basis.
    C. Director, Office of Asset Management: Authority is redelegated, 
on a nationwide basis, to take all actions necessary to conduct all 
multifamily housing programs, other than the mortage insurance program 
for hospitals, in relation to the following functions:
    (1) The general power to sign any documents necessary to perform 
enumerated functions and to waive any directive that is not mandated by 
a statute or regulation;
    (2) All asset management functions related to mortgage insurance, 
loans, capital advances, or grants or other programs, except functions 
related to the renewal of Section 8 contracts and other project-based 
assistance;
    (3) All functions necessary to carry out competitive capital 
advance programs;
    (4) All functions necessary to carry out a program conducted on a 
demonstration basis;
    (5) All property disposition functions;
    (6) All functions necessary to conduct the multifamily coinsurance 
program; and
    (7) All functions necessary to conduct the portfolio reengineering 
program, re-authorized under Title V of the Department of Veterans 
Affairs and Housing and Urban Development, and Independent Agencies 
Appropriations Act of 1998.
    D. Director, Office of Housing Assistance and Grant Administration: 
Authority is redelegated, on a nationwide basis, to take all actions 
necessary to conduct:
    (1) The general power to sign any documents necessary to perform 
enumerated functions and to waive any directive that is not mandated by 
a statute or regulation;
    (2) All functions necessary to carry out competitive capital 
advance programs; and
    (3) Only asset management functions related to the renewal of 
Section 8 contracts and other project-based assistance.
    E. Director, Office of Housing Assistance Contract Administration 
Oversight:
    Authority is redelegated, on a nationwide basis, to take all 
actions necessary to conduct the business of Section 8 Contract 
Administration and funding Rental Assistance Programs as designated in 
Section II, in relation to the following functions:
    (1) The general power to sign any documents necessary to perform 
enumerated functions and waive any directive that is not mandated by a 
statute or regulation; and
    (2) All functions related to Section 8 Contract Administration and 
funding.
    F. All Hub Directors, Operations Officers, and Program Center 
Directors: The authority redelegated authorizes these officials to take 
all actions necessary to the conduct of all multifamily programs, not 
including the property disposition program, coinsurance program, 
portfolio reengineering program and, except as noted in the specific 
delegations below, the hospital and Title XI mortgage insurance 
programs. The authority is further limited in that it may only be 
exercised within each official's authorized geographic jurisdiction. 
Accordingly, the Hub Directors and Operations Officers may exercise the 
functions enumerated herein with the full geographic jurisdiction of 
their respective Hubs, that includes all Program Center areas under 
their respective jurisdictions. The Hub Director for Project Management 
may only exercise the authority within the immediate ``program center'' 
jurisdiction of the Hub. The Program Center Director may only exercise 
the authority within the geographic jurisdiction of the Program Center. 
The authority redelegated permits the exercise of the following 
functions:
    (1) The general power to modify and sign any documents necessary to 
perform enumerated functions and to waive any directive that is not 
mandated by statute or regulation;
    (2) All production functions related to mortgage insurance, grant, 
or other multifamily housing insurance programs, and to endorse notes 
for mortgage insurance for loans issued under the hospital mortgage 
insurance program and Title XI mortgage insurance program;
    (3) All asset management functions related to mortgage insurance, 
grant, or other programs, except for the authority to issue (a) a 
notice of violation and/or

[[Page 50167]]

notice of default under a regulatory agreement and (b) a notice of 
default, abatement, termination and/or redirection under a housing 
assistance contract (except that a HUB Director can issue a notice of 
abatement and, subsequently, a notice of termination under the terms of 
a housing assistance contract);
    (4) All functions necessary to carry out competitive capital 
advance programs; and
    (5) All functions necessary to carry out a program conducted on a 
demonstration basis.
    G. Directors for Property Disposition Centers in the Atlanta, 
Georgia and Fort Worth, Texas Hubs Only: Authority is redelegated, on a 
nationwide basis, to take all actions and perform all functions, 
including signing any documents in furtherance thereof and issuing 
waivers of directives not mandated by statute or regulation, necessary 
to conduct the multifamily property disposition program.
    H. Hub Director, Operations Officer, and Program Center Director 
for the Greensboro, North Carolina Hub Only: Authority is redelegated, 
on a nationwide basis, to take all actions and to perform all 
functions, including signing any documents in furtherance thereof and 
issuing waivers of directives not mandated by statute or regulation, 
necessary to the conduct of the multifamily coinsurance program.
    I. Hub Directors, Operations Officers, and Directors for Project 
Management in Buffalo, New York, Philadelphia, Pennsylvania, Atlanta, 
Georgia, Jacksonville, Florida, Columbus, Ohio, Fort Worth, Texas, 
Kansas City, Kansas, Denver, Colorado, San Francisco, California, and 
Seattle, Washington, and the Program Center Directors in Pittsburgh, 
Pennyslvania, Cleveland, Ohio, Houston, Texas, and Oklahoma City, 
Oklahoma Only: Authority is redelegated, on a nationwide basis, to take 
all actions and perform all functions, including signing documents in 
furtherance thereof and issuing waivers of directives not mandated by 
statute or regulation, necessary to conduct of the portfolio 
reengineering program authorized under Title V of the Department of 
Veteran Affairs and Housing and Urban Development, and Independent 
Agencies Appropriations'Act, 1998 (Public Law 106-65).
    J. Director, Office of Insured Health Care Facilities: Authority is 
redelegated, on a nationwide basis, to take all actions necessary to 
the conduct of the mortgage insurance program for hospitals including 
the exercise of the following functions:
    (1) The general power to sign any documents necessary to perform 
enumerated functions and to waive any directive that is not mandated by 
a statute or regulation;
    (2) All production functions, except that the authority to 
authorize commitments for mortgage insurance is subject to the prior 
authorization of the Assistant Secretary;
    (3) All asset management functions; and
    (4) All property disposition functions.

Section VI. Authority Excepted

    The authority redelegated in Sections V.A through J, does not 
include authority to issue or waive regulations, or to implement the 
authority contained in the Federal Housing Enterprises Financial Safety 
and Soundness Act of 1992 (12 U.S.C. 4501 et seq.).

Section VII. Further Redelegations

    The authority redelegated by the Assistant Secretary for Housing-
Federal Housing Commissioner and the General Deputy Assistant 
Secretary-Deputy Federal Housing Commissioner may not be further 
redelegated by the officials identified in Sections V.A through J, 
except that a Hub Director may (1) redelegate to, or withdraw from, any 
Supervisory Project Manager(s) or Senior Project Managers within his or 
her geographic jurisdiction, any of the authority delegated to him or 
her under this notice, except the authority to issue waivers, or FHA 
conditional or firm mortgage insurance commitments, and to endorse FHA 
notes for insurance. Any such delegation, or withdrawal thereof, need 
not be published in the Federal Register, but shall be in writing and 
maintained for public inspection in the Hub, affected Program 
Center(s), and the Washington, DC Headquarters Office of Multifamily 
Housing; and (2) issue a specific delegation in writing, to a HUD 
employee for the exercise of functions in relation to a particular 
transaction or transactions. The specific delegation need not be 
published in the Federal Register but must identify the transaction(s); 
scope of delegated functions; and be made part of the record of the 
transaction(s) so that all parties thereto will have notice that the 
authorizing HUD official is duly authorized to carry out the prescribed 
duties. If work is transferred from one Hub to another, the delegation 
must also be approved in writing by the Deputy Assistant Secretary or 
Associate Deputy Assistant Secretary for Multifamily Programs.

Section VIII. Revocation of Delegations

    All prior redelegations of authority from the Assistant Secretary 
for Housing-Federal Housing Commissioner to staff in the Office of 
Multifamily Housing and in the OIHCF are hereby revoked and/or 
superseded. The Assistant Secretary for Housing-Federal Housing 
Commissioner or the General Deputy Assistant Secretary for Housing-
Deputy Federal Housing Commissioner may, at any time, revoke any of the 
authority redelegated herein. Notice of any revocation will be 
published in the Federal Register.

    Authority: Section 7(d), Department of Housing and Urban 
Development Act (42 U.S.C. 3535(d)).

    Dated: August 11, 2003.
John C. Weicher,
Assistant Secretary for Housing-Federal Housing Commissioner.
[FR Doc. 03-21240 Filed 8-19-03; 8:45 am]
BILLING CODE 4210-27-P