[Federal Register Volume 73, Number 124 (Thursday, June 26, 2008)]
[Rules and Regulations]
[Pages 36267-36269]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-14456]


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DEPARTMENT OF AGRICULTURE

Rural Housing Service

7 CFR Part 1944

RIN 0575-AC76


Housing Preservation Grants

AGENCY: Rural Housing Service, USDA.

ACTION: Direct final rule.

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SUMMARY: The Rural Housing Service (RHS), hereafter referred to as U.S. 
Department of Agriculture Rural Development is amending its regulations 
for the Housing Preservation Grants Program to include faith-based and 
community organizations. Faith-based and community organizations 
receiving Housing Preservation Grants (HPG) Program funding for the 
purpose of repairing and rehabilitating housing will operate within the 
guidance of the 7 CFR 1944, subpart N, as well as, comply with the 
terms specified in the HPG grant agreement. The intended effect is to 
improve the delivery and operation of the HPG Program.

DATES: This rule is effective September 9, 2008, unless we receive 
written adverse comments or written notices of intent to submit adverse 
comments on or before August 25, 2008. If we receive such comments or 
notice, we will publish a timely document in the Federal Register 
withdrawing the rule.

ADDRESSES: You may submit adverse comments or notice of intent to 
submit adverse comments by any of the following methods:
     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments.
     Mail: Submit written comments via the U.S. Postal Service 
to the Branch Chief, Regulations and Paperwork Management Branch, USDA 
Rural Development, STOP 0742, 1400 Independence Avenue, SW., 
Washington, DC 20250-0742.
     Hand Delivery/Courier: Submit written comments via Federal 
Express Mail or another mail courier service requiring a street address 
to the Branch Chief, Regulations and Paperwork Management Branch, USDA 
Rural Development, 300 7th Street, SW., Washington, DC 20024.
    All written comments will be available for public inspection during

[[Page 36268]]

regular work hours at the 300 7th Street, SW., address listed above.

FOR FURTHER INFORMATION CONTACT: Bonnie Edwards-Jackson, Senior Loan 
Specialist, Multi-Family Housing Processing Division, USDA Rural 
Development, USDA, STOP 0781, 1400 Independence Avenue, SW., 
Washington, DC 20250-0781, telephone: (202) 690-0759.

SUPPLEMENTARY INFORMATION:

Classification

    This rule has been determined to be not significant and has not 
been reviewed by the Office of Management and Budget (OMB) under 
Executive Order 12866.

Civil Justice Reform

    This rule has been reviewed under Executive Order 12988, Civil 
Justice Reform. In accordance with this order: (1) All state and local 
laws and regulations that are in conflict with this rule will be 
preempted; (2) no retroactive effect will be given to this rule; and 
(3) administrative proceedings in accordance with 7 CFR part 11, must 
be exhausted before bringing suit in court challenging action taken 
under this rule unless those regulations specifically allow bringing 
suit at an earlier time.

Executive Order 13132

    The policies contained in this rule do not have any substantial 
direct effect on States, on the relationship between the national 
government and the States, or on the distribution of power and 
responsibilities among the various levels of government. Nor does this 
rule impose substantial direct compliance costs on State and local 
governments. Therefore, consultation with the States is not required.

Unfunded Mandates Reform Act

    Title II of the Unfunded Mandates Reform Act of 1995 (UMRA) Public 
Law 104-4, establishes requirements for Federal agencies to assess the 
effects of their regulatory actions on State, local and tribal 
governments and the private sector. Under section 202 of the UMRA, 2 
U.S.C. 1532, USDA Rural Development generally must prepare a written 
statement, including a cost-benefit analysis, for proposed and final 
rules with ``Federal mandates'' that may result in expenditures to 
State, local, or tribal governments, in the aggregate, or to the 
private sector, of $100 million or more in any one year. When such 
statement is needed for a rule, section 205 of the UMRA generally 
requires USDA Rural Development to identify and consider a reasonable 
number of regulatory alternatives and adopt the least costly, more cost 
effective or least burdensome alternative that achieves the objectives 
of the rule. This rule contains no Federal mandates (under the 
provisions of Title II of the UMRA) for State, local, and tribal 
Governments or the private sector. Therefore, this rule is not subject 
to the requirements of section 202 and 205 of the UMRA.

Programs Affected

    The program affected by this rule is listed in the Catalog of 
Federal Domestic Assistance under Number 10.433, Rural Housing 
Preservation Grants.

Intergovernmental Consultation

    The program is subject to Executive Order 12372, which requires 
intergovernmental consultation with state and local officials. 
Intergovernmental consultation has been conducted in accordance with RD 
Instruction 1940-J.

Environmental Impact Statement

    This document has been reviewed in accordance with 7 CFR part 1940, 
subpart G, ``Environmental Program.'' It is the determination of RHS 
that this action does not constitute a major Federal action 
significantly affecting the quality of the human environment and in 
accordance with the National Environmental Policy Act of 1969, Public 
Law 91-190, an Environmental Impact Statement is not required.

Regulatory Flexibility Act

    This rule has been reviewed with regard to the requirements of the 
Regulatory Flexibility Act (5 U.S.C. 601-612). The undersigned has 
determined and certified by signature of this document that this rule 
will not have a significant economic impact on a substantial number of 
small entities.

Paperwork Reduction Act of 1995

    The information collection requirements contained in this 
regulation have been approved by OMB under the provisions of 44 U.S.C. 
chapter 35 and have been assigned OMB control number 0575-0172, in 
accordance with the Paperwork Reduction Act (PRA) of 1995. This rule 
does not impose any new or modified information collection 
requirements.

E-Government Act Compliance

    The USDA Rural Development is committed to complying with the E-
Government Act, to promote the use of the Internet and other 
information technologies to provide increased opportunities for citizen 
access to Government information and services, and for other purposes.

Background

    The HPG program is a grant program, which provides qualified public 
agencies, private nonprofit organizations, and other eligible entities 
grant funds to assist very low- and low-income homeowners in repairing 
and rehabilitating their homes in rural areas. In addition, the HPG 
program assists rental property owners and cooperative housing 
complexes in repairing and rehabilitating their units if they agree to 
make such units available to low- and very low-income persons.
    The regulation governing the HPG program is being amended to 
provide clarification for the public regarding the eligibility of 
faith-based and community organizations for the HPG Program.
    The reason for the revision is the present regulation lacks 
language referencing faith-based and community organizations. Revising 
the regulation will further clarify the definition of ``Organization'' 
to include faith-based and community organizations. As a result, this 
will enable more faith-based and smaller community based organizations 
to apply for the HPG funding.

List of Subjects in 7 CFR Part 1944

    Grant programs--Housing and community development, Home 
improvement, Loan programs, Housing and community development, 
Nonprofit organizations, Rural housing.

0
For the reasons set forth in the preamble, chapter XVIII, title 7, Code 
of Federal Regulations is amended as follows:

CHAPTER XVIII--RURAL HOUSING SERVICE, RURAL BUSINESS-COOPERATIVE 
SERVICE, RURAL UTILITIES SERVICE, AND FARM SERVICE AGENCY, DEPARTMENT 
OF AGRICULTURE

PART 1944--HOUSING

0
1. The authority citation for part 1944 continues to read as follows:

    Authority: 5 U.S.C. 301; 42 U.S.C. 1480.

Subpart N--Housing Preservation Grants

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2. Section 1944.656 is amended by revising the definition for 
``Organization'' to read as follows.


Sec.  1944.656  Definitions.

* * * * *
    Organization. An organization is defined as one of the following:

[[Page 36269]]

    (1) A State, commonwealth, trust territory, other political 
subdivision, or public nonprofit corporation authorized to receive and 
administer HPG funds;
    (2) An American Indian tribe, band, group, nation, including 
Alaskan Indians, Aleuts, Eskimos and any Alaskan Native Village, of the 
United States which is considered an eligible recipient under the 
Indian Self-Determination and Education Assistance Act (Pub. L. 93-638) 
or under the State and Local Fiscal Assistance Act of 1972 (Pub. L. 92-
512);
    (3) A private nonprofit organization, including faith-based and 
community organizations, that is owned and controlled by private 
persons or interests for purposes other than making gains or profits 
for the corporation, is legally precluded from distributing any gains 
or profits to its members, and is authorized to undertake housing 
development activities; or
    (4) A consortium of units of government and/or private nonprofit 
organizations, including faith-based and community organizations, which 
is otherwise eligible to receive and administer HPG funds and which 
meets the following conditions:
    (i) Be comprised of units of government and/or private nonprofit 
corporations that are close together, located in the same state, and 
serve areas eligible for USDA Rural Development assistance; and
    (ii) Have executed an agreement among its members designating one 
participating unit of government or private nonprofit corporation as 
the applicant or designating a legal entity (such as a Council of 
Governments) to be the applicant.
* * * * *


Sec.  1944.679  [Amended]

0
3. Section 1944.679 is amended as follows:
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A. By removing the number ``2'' and adding the words ``at least one'' 
in its place in paragraphs (b)(3)(i) and (ii), and
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B. By removing the words ``, including FmHA or its successor agency 
under Public Law 103-354's HPG program'' in paragraph (b)(3)(i).

Appendix--Exhibit D to Subpart N of Part 1944 [Amended]

0
4. In the appendix, Exhibit D to Subpart N of Part 1944, paragraph 3(a) 
and (b) are amended by removing the word ``two'' and adding the words 
``at least one'' in its place.

    Dated: June 14, 2008.
Russell T. Davis,
Administrator, Rural Housing Service.
[FR Doc. E8-14456 Filed 6-25-08; 8:45 am]
BILLING CODE 3410-XV-P