[Federal Register Volume 77, Number 119 (Wednesday, June 20, 2012)]
[Notices]
[Pages 37241-37248]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-15071]


-----------------------------------------------------------------------

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-5557-D-05]


Delegations of Authority for the Office of Housing--Federal 
Housing Administration (FHA); Redelegations of Authority Regarding 
Multifamily Housing Programs

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

ACTION: Notice of revocation and redelegation of authority.

-----------------------------------------------------------------------

SUMMARY: On October 12, 2006, the Assistant Secretary for Housing--
Federal Housing Commissioner published comprehensive redelegations of 
authority for the Office of Multifamily Housing Programs and the Office 
of Insured Health Care Facilities (OIHCF). Today's notice of 
redelegations of authority updates and amends the notice that was 
published on October 12, 2006. The notice reflects changes that have 
been made to the redelegations of authority regarding multifamily 
housing programs since October 12, 2006. In general, these changes 
reflect (1) the inclusion of the Office of Affordable Housing 
Preservation and its functions in the Office of Multifamily Housing 
Programs and (2) the deletion of certain redelegations for healthcare 
facility programs and functions, which now are contained in a separate 
Office of Healthcare Programs and are subject to their own 
redelegations to be published in a separate notice.

DATES: Effective Date: June 5, 2012.

FOR FURTHER INFORMATION CONTACT: Janet Golrick, Associate Deputy 
Assistant Secretary for the Office of Multifamily Housing, Office of 
Housing, Department of Housing and Urban Development, 451 Seventh 
Street SW., Room 6112, Washington, DC 20410-8000, telephone 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: Several important changes are included in 
today's notice. First, specific redelegations of authority for 
functions performed by the Office of Affordable Housing Programs (OAHP) 
are contained in Section VII. Previously, redelegations of authority 
for OAHP were published separately from those for the Office of 
Multifamily Housing Programs, and the last publication was on October 
12, 2006 (71 FR 60178). Those authorities have been updated but not 
functionally amended and are reproduced in their entirety in today's 
notice with one addition that is noted below. OAHP has now been merged 
into the Office of Multifamily Housing Programs, and the position of 
OAHP Deputy Assistant Secretary has been changed to OAHP Associate 
Deputy Assistant Secretary. As a result, previous redelegations to the 
OAHP Deputy Assistant Secretary (and the OAHP Associate Deputy 
Assistant Secretary) now run to the Deputy Assistant Secretary for 
Multifamily Housing Programs and the Associate Deputy Assistant 
Secretary for Affordable Housing Programs.
    Second, the Assistant Secretary is now redelegating authority to 
the Deputy Assistant Secretary for Multifamily Housing Programs and the 
Associate Deputy Assistant Secretary for Affordable Housing Programs 
authority to perform all the functions necessary to implement Title XII 
of Division A of the American Recovery and Reinvestment Act of 2009 
(ARRA), (Pub. L. 111-5, approved February 17, 2009). ARRA created a 
program for making energy improvements in multifamily housing known as 
the Green Retrofit Program for Multifamily Housing.
    Third, today's notice does not contain certain redelegations for 
HUD's healthcare programs, except in connection with property 
disposition activities for section 232 healthcare facilities and 
section 242 hospitals. All other functions for sections 232 and 242 
have been consolidated in the Office of Healthcare Programs.
    Fourth, today's notice contains a redelegation to the Deputy 
Assistant Secretary for Multifamily Housing Programs and the Associate 
Deputy Assistant Secretary for Multifamily Housing Programs to carry 
out activities under the Self-Help Housing Property Disposition Program 
authorized under the Federal Property and Administrative Services Act 
of 1949, as amended by Public Law 105-50 (40 U.S.C. 550(f)). This 
delegation of authority previously was published on March 16, 2004 and 
is incorporated here.
    Fifth, a new position, the Associate Deputy Assistant Secretary for 
Multifamily Housing Administration, is included in the description of 
the Office

[[Page 37242]]

of Multifamily Housing Programs in Section I.
    Finally, Section III.F., function (2), continues to indicate that 
Hub Operations Officers and Program Center Directors can issue a firm 
commitment for mortgage insurance if the principal amount of the 
mortgage does not exceed $15 million. The Hub Director can issue a firm 
commitment for mortgage insurance without any limitation related to the 
principal amount of the mortgage but such loans may be subject to HUB 
or National Loan Committee approval before either an application 
invitation letter or a firm commitment can be issued, depending on 
program type, project size, loan size, and real estate risk, in 
accordance with Notice H 2011-04 or its successors.

Section I. Multifamily Housing Programs: Office of Housing Organization

A. Office of Multifamily Housing Programs--Headquarters

    In general, all Office of Multifamily Housing managers in 
Headquarters and in the Field report to the Deputy Assistant Secretary 
for Multifamily Housing Programs and to their appropriate program 
Associate Deputy Assistant Secretary (i.e., the Associate Deputy 
Assistant Secretary for Multifamily Housing Programs or the Associate 
Deputy Assistant Secretary for Affordable Housing Programs) and, for 
internal administrative matters only, to the Associate Deputy Assistant 
Secretary for Multifamily Administration. In Headquarters, there are 
six major Multifamily Housing program offices, each of which is headed 
by an Associate Deputy Assistant Secretary or a Director. These offices 
and a general description of each appear below:
1. Office of Multifamily Housing Development
    This office develops and implements policies and guidelines for the 
loan origination aspects of FHA multifamily housing mortgage insurance 
programs from pre-application to final endorsement of the mortgage 
note. The office is responsible for Traditional Application Processing 
(TAP), Multifamily Accelerated Processing (MAP) and Section 542 Risk-
Sharing policies and procedures, including lender approval and lender 
monitoring. The Office of Multifamily Housing Development staff 
provides technical guidance to the HUD/FHA multifamily housing field 
staff, the industry, and other Headquarters offices.
2. Office of Asset Management
    The Office of Asset Management (Office of AM) is responsible for 
strategic planning, guidance, and oversight of HUD's 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, elderly housing, housing for persons with disabilities, 
mobile home parks, retirement service centers and, very occasionally, 
vacant land). The Office of AM develops policy for, and oversees, field 
office asset management operations. The Office of AM 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 of AM serves 
as Multifamily Housing's liaison with the Real Estate Assessment Center 
(REAC) and the Departmental Enforcement Center (DEC). In addition, the 
Office of AM oversees field office and lender-servicing activities for 
HUD-involved properties. Through two field Property Disposition 
Centers, the Office of AM 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. The Office 
and the Centers also oversee and implement property disposition 
functions for the Office of Healthcare Programs.
3. 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, and places its primary focus on production and 
development functions. Its programs include project-based Section 8 
housing assistance, the Section 202/811 Capital Advance Program, the 
Emergency Capital Repair Grants program, Service Coordinators, Assisted 
Living Conversion, and Congregate Housing Services Programs. The Office 
also is involved with other project based assistance programs including 
Rent Supplement, Rental Assistance Payments, Project Rental Assistance 
Contracts, and Senior Project Rental Assistance Contracts. In addition, 
the Office provides occupancy policy guidance and supports the Rental 
Housing Integrity Improvement Initiative and Enterprise Income 
Verification in connection with HUD efforts to reduce improper 
payments.
4. Office of Housing Assistance Contract Administration Oversight
    The Office of Housing Assistance Contract Administration Oversight 
is responsible for policies, procedures, guidelines, performance 
assessment, and technical and general 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, the Office of Housing Assistance Contract 
Administration Oversight is responsible for assuring that 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 the Section 8, Rent 
Supplement, and Rental Assistance Payments programs.
5. Office of Program Systems Management
    The Office of Program Systems Management is responsible for the 
automated systems that support multifamily housing programs and 
healthcare programs. This office works with the offices to develop and 
enhance the systems used to support their respective programs.
6. Office of Affordable Housing Preservation
    The Office of Affordable Housing Preservation (OAHP) was 
established to administer the Mark to Market program, to assure the 
smooth continuation of the Mark to Market program utilizing authorities 
that continued after the legislative sunset of the Office of 
Multifamily Housing Assistance Restructuring on September 30, 2004. 
OAHP also provides assistance to affordable housing areas in the 
oversight and preservation of a wide spectrum of affordable housing 
programs, including making energy improvements to multifamily housing. 
OAHP's duties include those needed to support Multifamily Development 
and Asset Management, as may be assigned by the Deputy Assistant 
Secretary for Multifamily Housing Programs. The Office is headed by an 
Associate Deputy Assistant Secretary and a Deputy

[[Page 37243]]

Associate Deputy Assistant Secretary. OAHP is headquartered in 
Washington, DC and has a limited field presence with two field offices: 
one in Washington, DC, and one in Chicago, Illinois. There also is OAHP 
staff out-stationed in New York City. Redelegations of authority to the 
Deputy Assistant Secretary for Multifamily Housing Programs and the 
Associate Deputy Assistant Secretary for the Office of Affordable 
Housing Preservation are set forth in Section VII of the notice.

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 17 Hubs, most of which also 
have a Program Center sometimes (referred to as Projects Management 
Staff) co-located with the Hub. In a few instances where a Hub does not 
have a Program Center, it may have an office outside the Hub, comprised 
of out-stationed staff, that serves a specific geographic area. Each 
Program Center or office administers programs for the immediate 
geographical area of the Hub, whereas the Hub oversees operations for 
the broader geographic area. There are 34 Program Centers, each of 
which reports to a Hub and is located within the Hub's jurisdiction.
    The highest-ranking official in a Hub is the Hub Director. The 
immediate deputy of the Hub Director 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 who is located outside 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, the 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, Knoxville,   Georgia, Kentucky,
                           Louisville, Nashville   Puerto Rico,
                           (Also, a Multifamily    Tennessee, Virgin
                           Property Disposition    Islands.
                           Center is located in
                           Atlanta).
Baltimore...............  Richmond, Washington,   Maryland, Virginia,
                           DC.                     Washington, DC.
Boston..................  Hartford, Manchester,   Connecticut, Maine,
                           Providence.             Massachusetts, New
                                                   Hampshire, Rhode
                                                   Island, Vermont.
Chicago.................  Indianapolis..........  Illinois, Indiana.
Columbus................  Cleveland.............  Ohio.
Denver..................  ......................  Colorado, Montana,
                                                   North Dakota, South
                                                   Dakota, Utah,
                                                   Wyoming.
Detroit.................  ......................  Michigan.
Fort Worth..............  Albuquerque, Houston,   Arkansas, Louisiana,
                           Little Rock, New        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, Miami,      Florida, Alabama,
                           Jackson.                Mississippi.
Kansas City.............  Des Moines, Oklahoma    Iowa, Kansas,
                           City, Omaha, St.        Missouri, Nebraska,
                           Louis.                  Oklahoma.
Los Angeles.............  ......................  Southern California.
Minneapolis.............  Milwaukee.............  Minnesota, Wisconsin.
New York City...........  Buffalo...............  New York State,
                                                   including New York
                                                   City Metro Area.
Philadelphia............  Charleston, Newark,     Delaware, New Jersey,
                           Pittsburgh.             Pennsylvania, West
                                                   Virginia.
San Francisco...........  Honolulu, Phoenix, Las  Arizona, Northern
                           Vegas.                  California, Hawaii,
                                                   Nevada.
Seattle.................  Anchorage, Portland...  Alaska, Idaho, 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 for Multifamily 
Housing Programs and the Associate Deputy Assistant Secretary for 
Multifamily Housing Programs.

Section II. Multifamily Housing Programs--Functions

    The Office of Multifamily Housing is charged with carrying out 
duties of the Assistant Secretary for Housing, the General Deputy 
Assistant Secretary for Housing, and the Associate 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. Under this delegation, the Assistant 
Secretary for Housing, General Deputy Assistant Secretary for Housing 
and the Associate General Deputy Assistant Secretary for Housing 
redelegate broad program authority to the Deputy Assistant Secretary 
for Multifamily Housing and the Associate Deputy Assistant Secretary 
for Multifamily Housing, for particular Multifamily Housing Directors 
in Headquarters and the field.
    Characterizing the authority that is being redelegated in broad or 
general terms in this Section II will enable the Deputy Assistant 
Secretary for Multifamily Housing and the Associate Deputy Assistant 
Secretary for Multifamily Housing and particular Multifamily Housing 
Directors to perform all functions necessary to accomplish multifamily 
housing 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. However, publishing detailed lists has 
proven problematic, as some

[[Page 37244]]

listed items become obsolete over time, while others are omitted 
through oversight. Conversely, this Section II of 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 to sign any and all documents necessary to carry 
out 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 written 
justification.

B. Development

    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 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 (the Section 202 program) and persons with 
disabilities (Section 811). For example, under those programs, 
applications are reviewed and rated, funding awards are made, 
regulatory and use 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-insurance, or 
risk-sharing programs; direct loan; capital advance or grant programs; 
other subsidy programs; and combinations thereof. Under this category, 
ongoing decision-making relates to an insured or subsidized project's 
occupancy, operations, and physical and financial condition from the 
time of occupancy through final 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 contract.

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 is 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 as soon as costs 
have been certified.

E. Program Demonstrations

    Periodically, 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

    In 1990, HUD stopped accepting new applications for multifamily 
housing coinsurance. However, HUD still carries out multifamily housing 
coinsurance program functions in relation to the existing inventory, 
which 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 
as 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 is ongoing 
asset management functions related to this portfolio of projects.

I. 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 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 Housing field office staff; 
monitoring, evaluating, and providing technical guidance relative to 
field activities;

[[Page 37245]]

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 budget and funding responsibilities 
associated with various rental assistance programs, 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 accounting staff in the Office of the Chief 
Financial Officer. 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 integrate systems to support the 
data.

Section III. Multifamily Housing Programs--Authority Redelegated

    The Assistant Secretary, the General Deputy Assistant Secretary and 
the Associate General Deputy Assistant Secretary for Housing retain and 
redelegate the power and authority, as provided in this Section III, 
(1) To the Deputy Assistant Secretary for Multifamily Housing Programs 
and the Associate Deputy Assistant Secretary for Multifamily Housing 
Programs; (2) through the above Deputy Assistant Secretary and 
Associate Deputy Assistant Secretary, to the Headquarters Multifamily 
Directors listed below; and (3) through the Headquarters Multifamily 
Directors, to the Headquarters and Field Office managers listed below; 
the following power and authority.

A. Deputy Assistant Secretary and Associate Deputy Assistant Secretary 
for Multifamily Housing Programs

    Authority is redelegated, on a nationwide basis, to take all 
actions necessary to conduct all multifamily housing programs, 
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 a competitive capital 
advance program;
    (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 conduct asset management activities 
under 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 (Pub. 
L. 106-65);
    (9) All functions necessary to the conduct of Section 8 contract 
administration oversight/funding;
    (10) All functions necessary to carry out the Self-Help Housing 
Property Disposition Program; and,
    (11) All source selection official functions.

B. Director, Office of Multifamily Housing Development

    Authority is redelegated, on a nationwide basis, to take all 
actions necessary to conduct all multifamily housing programs, 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; and
    (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, 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 a 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 housing programs, 
not including the property disposition program, coinsurance program, 
and portfolio reengineering program. The authority is further limited 
in that it may only be exercised within each official's authorized 
geographic jurisdiction. Accordingly, the Hub

[[Page 37246]]

Directors and Operations Officers may exercise the functions enumerated 
herein with the full geographic jurisdiction of their respective Hubs, 
which include 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 
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, except that Operations 
Officers and Program Center Directors cannot issue a firm commitment 
for mortgage insurance where the principal amount of the mortgage is in 
excess of $15 million. The Hub Director can issue a firm commitment for 
mortgage insurance without any limitation related to the principal 
amount of the mortgage but such loans may be subject to HUB or National 
Loan Committee approval before either an application invitation letter 
or a firm commitment can be issued, depending on program type, project 
size, loan size, and real estate risk, in accordance with Notice H 
2011-04 or its successors.
    (3) All asset management functions related to mortgage insurance, 
grant, or other programs, except as follows:
    (a) Operations Officers and Program Center Directors cannot issue 
(i) a notice of violation under the terms of a regulatory agreement or 
(ii) a notice of default under the terms of a housing assistance 
contract.
    (b) Hub Directors, Operations Officers, and Program Center 
Directors cannot perform the following functions:
    (i) Authorize the acceleration of the principal debt of a mortgage;
    (ii) Terminate a rent supplement contract or rental assistance 
contract;
    (iii) Declare a default under an interest reduction payment 
contract;
    (iv) Authorize a partial payment of claim;
    (v) Authorize a mortgage modification;
    (vi) Authorize the override of a mortgage lockout provision;
    (vii) Authorize a prepayment of a HUD-insured or HUD-held mortgage, 
or voluntary termination of mortgage insurance, unless specifically 
authorized to do so by an express redelegation of authority from the 
Assistant Secretary for Housing or the General Deputy Assistant 
Secretary for Housing, setting forth any affected programs and terms 
and conditions applicable thereto.
    (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.
    (6) Hub Directors, but not Operations Officers and Program Center 
Directors, are authorized to carry out all source selection official 
functions for field-office based procurements, provided that the 
contract amount is less than $10 million.

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 and 
healthcare 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, 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, 
Pennsylvania; Cleveland, Ohio; Houston, Texas; and Oklahoma City, 
Oklahoma

    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 (Pub. L. 106-65).

Section IV. Authority Excepted

    The authority redelegated in Section III.A. through III.I. does not 
include authority to issue or waive regulations.

Section V. Further Redelegations

    The authority redelegated by the Assistant Secretary for Housing--
Federal Housing Commissioner and the General Deputy Assistant 
Secretary--Deputy Federal Housing Commissioner and the Associate 
General Deputy Assistant Secretary for Housing may not be further 
redelegated by the officials identified in Sections III.A. through 
III.I., except that a Hub Director may 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 
those managers under this notice, except the authority to issue 
waivers, or FHA conditional or firm mortgage insurance commitments, and 
to endorse FHA notes for insurance. If work is transferred from one Hub 
to another or work is performed for a Hub by staff from another 
geographical location, the delegation must also be approved in writing 
by the Deputy Assistant Secretary or Associate Deputy Assistant 
Secretary for Multifamily Housing.
    The authority specified in Section III. A, item (10) may not be 
further redelegated by the Deputy Assistant Secretary for Multifamily 
Housing Programs or the Associate Deputy Assistant Secretary for 
Multifamily Housing Programs to other officials.

Section VI. Revocation of Delegations

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

Section VII. Office of Affordable Housing Preservation--Authority 
Redelegated

    A. The Assistant Secretary for Housing, the General Deputy 
Assistant Secretary for Housing, and the Associate General Deputy 
Assistant Secretary for Housing, redelegate to the Deputy Assistant 
Secretary for Multifamily

[[Page 37247]]

Housing and the Associate Deputy Assistant Secretary for the Office of 
Affordable Housing Preservation the following authority:
    All authority necessary to carry out the provisions of the Mark-to-
Market Program under MAHRA (42 U.S.C. 1437f note), except for the 
authority to issue and/or waive regulations and to sue and be sued.
    B. The Assistant Secretary for Housing, the General Deputy 
Assistant Secretary for Housing and the Associate General Deputy 
Assistant Secretary for Housing redelegate to the Deputy Assistant 
Secretary for Multifamily Housing and the Associate Deputy Assistant 
Secretary for the Office of Affordable Housing Programs the following 
authority:
    (1) To modify and sign any documents necessary to perform 
enumerated functions and to waive any directive issued by OAHP that is 
not mandated by a statute or regulation.
    (2) To administer all provisions of MAHRA, including but not 
limited to the following:
    (a) To make eligibility determinations under sections 512 and 516 
of MAHRA;
    (b) To enter into, modify, and or extend agreements with 
participating administrative entities under section 513 of MAHRA;
    (c) In connection with a restructuring transaction, to make rent 
and/or mortgage restructuring determinations under sections 514, 515, 
517, and 524 of MAHRA; and
    (d) To terminate, modify, or affirm any decision on appeal under 
MAHRA.
    (3) In connection with a restructuring transaction, to modify the 
principal balance, payments, interest rate, and amortization period and 
other terms of existing FHA-insured and HUD-held mortgages including 
any HUD or Secretary-held subordinate debt encumbering or otherwise 
related to a project; and to issue restructuring commitments and 
closing documents relating to such debt.
    (4) To issue HUD forms 92264 and 92264A upon approval of a 
restructuring plan.
    (5) In connection with a restructuring transaction, to approve 
transfers of physical assets.
    (6) In connection with a restructuring transaction, to approve the 
``Environmental Assessment and Compliance Findings for the Related Laws 
and Authorities,'' form HUD 4128.
    (7) To issue a commitment to insure and endorse for insurance a 
mortgage note given to refinance a HUD-insured or HUD-held mortgage, 
pursuant to section 223(a)(7) of the National Housing Act (12 U.S.C. 
1715n).
    (8) For qualified nonprofit entities acquiring projects that are 
the subject of a restructuring transaction, to modify, assign, or 
forgive debt created in the restructuring.
    (9) To administer escrow accounts and modify the agreement 
established under the restructuring transaction, for the purpose of 
addressing immediate and near-term rehabilitation needs of a project.
    (10) To perform all source selection official duties, subject to 
laws, regulations, and HUD policies and procedures governing the 
procurement process.
    (11) To administer grant programs, other than selecting a grantee 
as only the Assistant Secretary is authorized to function as the Grant 
Official for the Office of Housing.
    (12) To perform all functions of a source selection official in 
relation to a procurement under the subject matter jurisdiction of 
OAHP.
    (13) To approve, in connection with a project's sale or mortgage 
refinancing, the assumption, modification, and/or subordination of 
mortgage restructuring notes and contingent repayment notes previously 
created during a debt restructuring transaction.
    (14) To perform all the functions necessary to implement Title XII 
of Division A of the American Recovery and Reinvestment Act of 2009, 
P.L. 111-5 (the ``Recovery Act''), in the section titled ``Assisted 
Housing Stability and Energy and Green Retrofit Investments'' under 
``Housing Programs'', generally known as the Green Retrofit Program for 
Multifamily Housing.
    C. The Deputy Assistant Secretary for Multifamily Housing and the 
Associate Deputy Assistant Secretary for the Office of Affordable 
Housing Preservation further redelegate to each OAHP Director and OAHP 
Deputy Director, in the Field Offices and at Headquarters, the 
following authority:
    (1) To modify and sign any documents necessary to perform 
enumerated functions and to waive any directive issued by OAHP that is 
not mandated by a statute or regulation.
    (2) To administer the following provisions of MAHRA;
    (a) To make eligibility determinations under sections 512 and 516 
of MAHRA;
    (b) In connection with a restructuring transaction, to make rent 
and/or mortgage restructuring determinations under sections 514, 515, 
517, and 524; and
    (c) To reject or hear and decide any appeal made to the Production 
Office under 24 CFR 401.645 or another permissible procedure.
    (3) In connection with a restructuring transaction, to modify the 
principal balance, payments, interest rate, and amortization period and 
other terms of existing FHA-insured and HUD-held mortgages, including 
any HUD or Secretary-held subordinate debt encumbering or otherwise 
related to a project; and to issue restructuring commitments and 
closing documents relating to such debt.
    (4) To issue HUD forms 92264 and 92264A upon approval of a 
restructuring plan.
    (5) In connection with a restructuring transaction, to approve 
transfers of physical assets.
    (6) In connection with a restructuring transaction, to approve 
environmental assessment and compliance findings for related laws 
report, HUD form 4128.1.
    (7) To issue a commitment to insure and endorse for insurance a 
mortgage note given to refinance a HUD-insured or HUD-held mortgage, 
pursuant to section 223(a)(7) of the National Housing Act (12 U.S.C. 
1715n).
    (8) For qualified nonprofit entities acquiring projects that are 
the subject of a restructuring transaction, to modify, assign, or 
forgive debt created in the restructuring.
    D. The Deputy Assistant Secretary for Multifamily Housing and the 
Associate Deputy Assistant Secretary for the Office of Affordable 
Housing preservation further redelegate to the Rehabilitation Escrow 
Administration Manager the following authority:
    (1) To modify and sign any documents necessary to perform 
enumerated functions related to the rehabilitation needs of a project 
that was the subject of a restructuring transaction, and to waive any 
directive issued by OAHP that is not mandated by a statute or 
regulation.
    (2) To administer escrow accounts and modify the agreement 
established under the restructuring transaction, for the purpose of 
addressing immediate and near- term rehabilitation needs of a project.
    E. The Deputy Assistant Secretary for Multifamily Housing and the 
Associate Deputy Assistant Secretary for the Office of Affordable 
Housing Preservation further redelegate to the Bonds and Appeals 
Manager the following authority:
    (1) To modify and sign any documents necessary to perform 
enumerated functions related to appeals under MAHRA and/or the 
regulations promulgated under MAHRA.
    (2) To reject or hear and decide any appeal under MAHRA and/or the 
regulations promulgated under MAHRA, except for 24 CFR 401.645.

[[Page 37248]]

Section VIII. Authority Excepted

    The authority redelegated in Section VII.A. through VII.E. does not 
include the authority to issue or to waive HUD regulations. The 
authority redelegated in Section VII.A. through VII. E. does not 
include the authority to sue or be sued.

Section IX. Further Redelegation

    The authority redelegated in Section VII.A. through VII.E. may not 
be further redelegated.

    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. 2012-15071 Filed 6-19-12; 8:45 am]
BILLING CODE 4210-67-P