[Federal Register Volume 70, Number 12 (Wednesday, January 19, 2005)]
[Notices]
[Page 3054]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E5-169]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4743-N-07]


Notice of Planned Closing of Memphis, TN Post-of-Duty Station

AGENCY: Office of Inspector General, (HUD).

ACTION: Notice of planned closing of the Memphis, Tennessee post-of-
duty station.

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SUMMARY: This notice advises the public that HUD Office of Inspector 
General (OIG) plans to close its Memphis, Tennessee post-of-duty 
station, and also provides a cost-benefit analysis of the impact of 
this closure.

FOR FURTHER INFORMATION CONTACT: Bryan Saddler, Counsel to the 
Inspector General, Room 8260, Department of Housing and Urban 
Development, 451 Seventh Street, SW., Washington, DC 20410-4500, 202-
708-1613 (this is not a toll free number). A telecommunications device 
for hearing- and speech--impaired persons (TTY) is available at 1-800-
877-8339 (Federal Information Relay Services).

SUPPLEMENTARY INFORMATION: The Memphis, Tennessee post-of-duty station 
was opened in the middle 1980s to address fraud throughout the State of 
Tennessee. Later, the Nashville, Tennessee office--which is centrally 
located, and, thus, better situated geographically to address fraud 
statewide--was opened. In September 2004, one of the two agents 
assigned to Memphis was promoted and transferred to Texas. HUD/OIG has 
determined that greater efficiency and cost-savings can be achieved by 
now consolidating staff and resources in the centrally located 
Nashville office.
    Section 7(p) of the Department of Housing and Urban Development Act 
(42 U.S.C. 3535(p)) provides that a plan for field reorganization, 
which may involve the closing of any field or regional office, of the 
Department of Housing and Urban Development may not take effect until 
90 days after a cost-benefit analysis of the effect of the plan on the 
office in question is published in the Federal Register. The required 
cost-benefit analysis should include: (1) An estimate of cost savings 
anticipated; (2) an estimate of the additional cost which will result 
from the reorganization; (3) a discussion of the impact on the local 
economy; and (4) an estimate of the effect of the reorganization on the 
availability, accessibility, and quality of services provided for 
recipients of those services.
    Legislative history pertaining to section 7(p) indicates that not 
all reorganizations are subject to the requirements of section 7(p). 
Congress stated that ``[t]his amendment is not intended to [apply] to 
or restrict the internal operations or organization of the Department 
(such as the establishment of new or combination of existing 
organization units within a field office, the duty stationing of 
employees in various locations to provide on-site service, or the 
establishment or closing, based on workload, of small, informal offices 
such as valuation stations).'' (See House Conference Report No. 95-
1792, October 14, 1978 at 58.) Through this notice, HUD/OIG advises the 
public of the closing of the Memphis, Tennessee duty station and 
provides the cost benefit analysis of the impact of the closure.
    Impact Of The Closure Of The Memphis, Tennessee, Post-Of-Duty 
Station: HUD/OIG considered the costs and benefits of closing the 
Memphis, Tennessee post-of-duty station, and is publishing its cost-
benefit analysis with this notice. In summary, HUD/OIG has determined 
that the closure will result in a cost savings, and, as a result of the 
size and limited function of the office, will cause no appreciable 
impact on the provision of authorized investigative services/activities 
in the area.

Cost-Benefit Analysis

    A. Cost Savings: The Memphis, Tennessee post-of-duty station 
currently costs approximately $2,645.00 per month for space rental. 
Additional associated overhead expenses (e.g., telephone service) are 
incurred to operate the post-of-duty station. Thus, closing the office 
will result in annual savings of at least $32,000. In addition, by 
closing the office HUD/OIG will not be required to incur additional 
costs associated with current plans to install high-speed computer 
access lines to and on the premises.
    B. Additional Costs: Relocation costs associated with the transfer 
of one special agent to Nashville from Memphis, Tennessee is estimated 
to total no more than $25,000. This cost will be offset by savings in 
the first year.
    C. Impact on Local Economy: No appreciable impact on the local 
economy is anticipated. The post-of-duty station is co-located with 
office space leased by other Federal agencies, and it is anticipated 
that the space can easily be re-leased to other tenants.
    D. Effect on Availability, Accessibility and Quality of Services 
Provided to Recipients of Those Services: The availability, 
accessibility and quality of services provided to complainants will not 
be adversely impacted. Special agents assigned to other HUD/OIG 
offices--chiefly Nashville--can cost-effectively address fraud 
allegations in Tennessee generally and Memphis specifically.
    For the reasons stated in this notice, HUD/OIG intends to proceed 
to close its Memphis, Tennessee post-of-duty station at the expiration 
of the 90-day period from the date of publication of this notice.

    Dated: January 6, 2005.
Kenneth M. Donohue, Sr.,
Inspector General.
 [FR Doc. E5-169 Filed 1-18-05; 8:45 am]
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