[Federal Register Volume 77, Number 119 (Wednesday, June 20, 2012)]
[Notices]
[Pages 37237-37240]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-15067]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-5557-D-03]


Delegations of Authority for the Office of Housing--Federal 
Housing Administration (FHA), Redelegation of Authority to the Deputy 
Assistant Secretary for Finance and Budget

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

ACTION: Notice of revocation and redelegation of authority.

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SUMMARY: On September 15, 2006, the Assistant Secretary for Housing--
Federal Housing Commissioner and the General Deputy Assistant Secretary 
for Housing--Deputy Federal Housing Commissioner issued a comprehensive 
redelegation of authority to the Deputy Assistant Secretary for the 
Office of Finance and Budget. This redelegation of authority was 
published on October 12, 2006. Today's notice, with minor edits, 
updates and republishes in its entirety the redelegation of authority 
to Office of Finance and Budget.

DATES: Effective Date: June 5, 2012.

FOR FURTHER INFORMATION CONTACT: Office of the Associate General Deputy 
Assistant Secretary for Housing--Federal Housing Commissioner, 
Department of Housing and Urban Development, 451 Seventh Street SW., 
Room 9110, Washington, DC 20410-8000, phone 202-708-2601. (This is not

[[Page 37238]]

a toll-free number.) Persons with hearing or speech impairments may 
access this number through TTY by calling the toll-free Federal Relay 
Service at 800-877-8339.

SUPPLEMENTARY INFORMATION: Section I of this document describes the 
organization and functions of the Office of Finance and Budget. That 
organization has not undergone major change since the October 12, 2006 
(71 FR 60165), publication of the previous redelegation of authority to 
Office of Finance and Budget, with the exception that the Office of 
Evaluation has been moved under the jurisdiction of the Deputy 
Assistant Secretary for Risk Management and Regulatory Affairs. 
Therefore this publication does not include the Office of Evaluation 
within the Finance and Budget Organization.
    Section II of this notice describes the authority redelegated to 
the Deputy Assistant Secretary for Finance and Budget and the Associate 
Deputy Assistant Secretary for Finance and Budget. With the exception 
of the addition of the position of Associate Deputy Assistant Secretary 
for Finance and Budget and certain minor editorial changes, these 
redelegations remain substantively the same as those published in the 
October 12, 2006, notice.

Section I. Deputy Assistant Secretary for Finance and Budget: 
Organization

    Three offices report to the Deputy Assistant Secretary for Finance 
and Budget. These are the (1) Office of Budget and Field Resources; (2) 
Office of Asset Sales; and (3) Office of the Housing--FHA Comptroller. 
The following is a brief summary of each of these offices' functions.

A. The Office of Budget and Field Resources

    The Office of Budget and Field Resources is responsible for the 
formulation, presentation, and execution of the Office of Housing's 
program and administrative budgets. This includes fund assignments and 
funds control, financial resource management, coordination of financial 
resources in support of field operations, and budget analysis and 
reporting. The Office of Budget and Field Resources is responsible for 
analyzing and evaluating the financial and budgetary impact of new or 
revised Office of Housing programs and policies, proposed legislation, 
and new or revised OMB, GAO, or Treasury guidance. Finally, the 
Director of the Office of Budget and Field Resources is Housing's Funds 
Control Officer. The responsibilities and duties of personnel within 
the Office of Budget and Field Resources pertain to internal HUD 
matters, do not require rendering decisions that bind HUD in relation 
to external clients and customers and, therefore, do not require 
delegations of authority.

B. Office of Asset Sales

    The Office of Asset Sales oversees the disposition of mortgage 
notes acquired by Housing upon a default by the mortgagor and 
assignment of the note to FHA in return for the payment of a claim. The 
Office of Asset Sales is responsible for the sale of single family, 
multifamily, nursing home and hospital notes in the manner most 
advantageous to the federal government and supportive of the mission of 
the agency. The Office of Asset Sales develops alternative disposition 
methods that will reduce the acquisition and holding costs of these 
assets while increasing recovery upon sale.

C. Office of the Housing--FHA Comptroller

    The Office of the Housing--FHA Comptroller is a Headquarters 
operation. The Office of the Housing-FHA Comptroller contains one field 
component, the Financial Operations Center, located in Albany, New 
York, and three major offices in Washington, DC
    (1) The Office of Financial Service. The Office of Financial 
Services is comprised of three Headquarters divisions, and one field 
component, the Financial Operations Center, which is located in Albany, 
New York. The Office of Financial Services provides the policy 
direction, review, and coordination required to collect mortgage 
insurance premiums, to provide the financial services required to 
support FHA's multibillion dollar Single Family, Multifamily, and Title 
I insurance portfolios, and to provide the financial support necessary 
to manage FHA's asset management and disposition programs. The Office 
of Financial Services collects and maintains financial data necessary 
to generate accurate accounting entries to the General and Subsidiary 
ledgers and FHA's financial statements. The Office of Financial 
Services supports the systems and staff needed to maintain the 
insurance operations for FHA programs. The Office of Financial Services 
provides policy guidance and oversight for FHA's debt management and 
due diligence activities in the Financial Operations Center and 
supports FHA's asset sales programs. A summary of the functions of each 
division and of the Financial Operations Center follows:
    (a) The Single Family Insurance Operations Division. This Division 
is responsible for providing financial management services to FHA 
approved lenders that originate and/or service FHA Single Family 
insured mortgages. The Single Family Insurance Operations Division 
maintains insurance records for approximately 32 million active or 
terminated Single Family FHA-insured loans. The Single Family Insurance 
Operations Division collects the mortgage insurance premiums and 
processes refunds of overpayments and unearned mortgage insurance 
premiums.
    (b) The Single Family Post Insurance Division. This Division is 
responsible for providing processing functions necessary to support the 
FHA single family asset acquisition, management, and disposition 
operations. The Single Family Post Insurance Division directs and 
coordinates all operating requirements, systems development, and 
reporting functions requirements for its areas of responsibility. The 
Single Family Post Insurance Division provides servicing support, 
claims processing, and asset disposition processing. It also provides 
contractor oversight as appropriate.
    (c) The Multifamily Financial Operations Division. This Division is 
responsible for performing the financial management services necessary 
for the servicing of all multifamily, insured mortgages in the FHA 
portfolio and the support of the approved lenders that hold FHA-insured 
mortgages. The Multifamily Financial Operations Division is also 
responsible for the servicing of HUD-held Multifamily mortgages and the 
payment of claims for Multifamily defaulted mortgages. These 
responsibilities include collection of insurance premiums, management 
of escrow accounts, payments of preservation and protection expenses, 
and recording of mortgage satisfactions.
    (d) The Financial Operations Center. The Financial Operations 
Center (Center) is responsible for providing policy guidance, system 
support, and general oversight of FHA debt management, collection, and 
due diligence/asset liquidation activities for FHA Assets not elsewhere 
administered. The Center is responsible for all financial servicing 
duties in connection with administering the FHA Title I loan program.
    (2) The Office of Financial Analysis and Reporting. The Office of 
Financial Analysis and Reporting is comprised of three Headquarters 
Divisions. The Office of Financial Analysis and Reporting (OFAR) is 
responsible for FHA financial management and

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reporting as well as providing policy direction, review, and 
coordination of the budgetary and accounting responsibilities for the 
Office of Housing-FHA Comptroller. OFAR accumulates, summarizes, and 
reconciles all of the FHA transactions received from more than 15 
subsidiary (feeder) systems that capture the Single Family, 
Multifamily, HECM and Title I insurance activities. OFAR also is 
responsible for maintaining FHA's internal control framework as well as 
monitoring budget execution to ensure obligations and expenditures do 
not exceed authorized levels. OFAR consolidates all of these activities 
for presentation in FHA's Annual Management Report. In addition, OFAR 
oversees cash management functions and FHA investments. A description 
of the three divisions' functions follows.
    (a) Financial Analysis and Controls Division. This Division is 
responsible for developing financial control procedures, performing 
financial analysis of accounting information, and monitoring and 
controlling the FHA budget execution process. It also is responsible 
for managing subsidy flows and borrowings to include borrowing needs, 
repayments and interest calculations.
    (b) General Ledger Division. This Division is responsible for the 
preparation of all the cash accounting, proprietary accounting, and 
budgetary accounting entries that update the FHA general ledger. This 
includes all daily transactions and adjusting entries at the end of 
each accounting period, including entries required by Credit Reform and 
budgetary accounting.
    (c) The Financial Reporting Division. This Division is responsible 
for accounting and financial reporting activities for FHA programs. The 
division classifies, summarizes, analyzes and reports accounting and 
budgetary transactions for FHA activities. In addition, the division 
prepares financial reports as required by the Department of Treasury 
and the Office of Management and Budget and provides guidance and 
interpretation of guidelines and standards set forth by the Department 
of Treasury, the Office of Management and Budget and other government 
agencies. The Division monitors and prepares responses to financial 
audits and performs certain liaison functions in connection with 
program audits. (Audits may be performed by both internal and external 
agencies.)
    (3) Office of Systems and Technology. The Office of Systems and 
Technology coordinates the development and maintenance of integrated 
financial and management information systems necessary for accounting 
and management of the Housing and FHA programs.

Section II. Redelegations to the Office of the Deputy Assistant 
Secretary for Finance and Budget

    The Assistant Secretary for Housing, General Deputy Assistant 
Secretary for Housing, and the Associate General Deputy Assistant 
Secretary for Housing redelegate program authority in broad terms to 
the Deputy Assistant Secretary for Finance and Budget and the Associate 
Deputy Assistant Secretary for Finance and Budget. In addition, the 
Housing-FHA Comptroller, who reports to the Deputy Assistant Secretary 
for Finance and Budget, is redelegated concurrent authority, with that 
of the Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget, to oversee 
the FHA financial operations and other Office of Housing activities. 
The general functions and a brief description of the authority 
redelegated are as follows:

A. General Authority

    Authority is redelegated to the Deputy Assistant Secretary for 
Finance and Budget and to the Associate Deputy Assistant Secretary for 
Finance and Budget to sign any and all documents necessary to carry out 
the business of the Office of Finance and Budget, including oversight 
of FHA financial operations. In addition, authority is redelegated to 
the Housing-FHA Comptroller to sign any and all documents necessary to 
carry out the oversight of FHA financial operations. In concert with 
the specific authorities redelegated to each of them, the Deputy 
Assistant Secretary for Finance and Budget, the Associate Deputy 
Assistant Secretary for Finance and Budget and the Housing-FHA 
Comptroller, in considering a transaction, are also redelegated 
authority to waive any directives not mandated by statute or 
regulation, for good cause and with a written justification.

B. Oversight of Financial Operations

    The Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget are 
redelegated such authority as is necessary to oversee the financial 
management and operations of Office of Housing programs. The FHA 
Comptroller, who reports to the Deputy Assistant Secretary for Finance 
and Budget, is responsible for overseeing the financial operations of 
the FHA.

C. Investment of Surplus Funds

    The Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget are 
redelegated authority to invest FHA funds in certain specified types of 
accounts, e.g., U.S. Treasury securities.

D. Borrowing from the U.S. Treasury

    The Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget are 
redelegated authority to borrow from the U.S. Treasury such funds as 
necessary to maintain a positive cash flow in the various FHA insurance 
funds.

E. Administration of the FHA Title I Loans

    The Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget are 
redelegated the authority to perform such duties as are necessary to 
carry out the financial functions of the FHA Title I Program.

F. Administration of the FHA Title II Insured Loans

    The Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget are 
redelegated the authority to perform such actions as may be necessary 
to carry out the financial functions of all FHA Title II insured loans.

G. Payment of FHA Claims

    The Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget are 
redelegated such authority to perform such actions as may be necessary 
to make FHA claim payments. These duties include but are not limited to 
determining the appropriate amount of benefits to be paid, making 
appropriate certifications for payments issued in debentures and/or 
cash, extending requisite time periods for a lender's submission of 
financial claim documentation, and collecting, through administrative 
offset, any indebtedness due HUD.

H. Servicing of HUD-Held Loans

    The Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget are 
redelegated the authority to perform such duties as are necessary to 
carry out the financial responsibilities for HUD-held notes and 
properties including but not limited to collecting mortgage payments, 
ensuring the protection and preservation of

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collateral, establishing and directing the use of funds in escrow 
accounts, and executing appropriate legal documents upon payment-in-
full of a mortgage.

I. Liaison With the U.S. Treasury Department

    The Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget are 
redelegated such authority as is necessary to process and effect such 
transactions with the U.S. Treasury as may be required in the normal 
operation of FHA operations.

J. Sale of Secretary-Held Mortgages

    The Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget are 
redelegated such authority as is necessary to sell Secretary-held 
mortgages.

K. Management of HUD-Held Mortgages, Notes, and HUD-Owned Properties

    The Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget are 
redelegated such authority as is necessary to make disbursements on 
HUD-owned or managed properties for the payment of property-related 
expenses, including property taxes, utility bills, property management 
fees, etc.

L. Source Selection Official

    The Deputy Assistant Secretary for Finance and Budget and the 
Associate Deputy Assistant Secretary for Finance and Budget are 
redelegated authority to perform all functions of a source selection 
official.

Section III. Further Redelegations

    The authority redelegated by the Assistant Secretary for Housing-
Federal Housing Commissioner, the General Deputy Assistant Secretary-
Deputy Federal Housing Commissioner and the Associate General Deputy 
Assistant Secretary for Housing to the Deputy Assistant Secretary for 
Finance and Budget and the Associate Deputy Assistant Secretary for 
Finance and Budget may be redelegated. The Housing-FHA Comptroller may 
not redelegate the authority redelegated herein.

Section IV. Authority Excepted

    The authority redelegated in Section II does not include the 
authority to issue or waive regulations under the program jurisdiction 
of the Assistant Secretary for Housing.

Section V. Revocation of Delegations

    The Assistant Secretary for Housing-Federal Housing Commissioner or 
the General Deputy Assistant Secretary for Housing-Deputy Federal 
Housing Commissioner or the Associate General Deputy Assistant 
Secretary for Housing may, at any time, revoke any of the authority 
redelegated herein. Notice of any revocation will be published in the 
Federal Register. This redelegation of authority supersedes all prior 
redelegations of authority to staff in the Office of Finance and 
Budget.

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

    Dated: June 5, 2012.
Carol J. Galante,
Acting Assistant Secretary for Housing--Federal Housing Commissioner.
[FR Doc. 2012-15067 Filed 6-19-12; 8:45 am]
BILLING CODE 4210-67-P