[Federal Register Volume 78, Number 158 (Thursday, August 15, 2013)]
[Rules and Regulations]
[Pages 49680-49681]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-19856]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

24 CFR Part 891

[Docket No. FR-5167-C-03]
RIN 2502-AI67


Streamlining Requirements Governing the Use of Funding for 
Supportive Housing for the Elderly and Persons With Disabilities 
Programs; Correction

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

ACTION: Correcting amendment.

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SUMMARY: On June 20, 2013, HUD published a final rule that amended 
regulations for the purpose of streamlining the requirements applicable 
to mixed finance developments in the Section 202 Supportive Housing for 
the Elderly (Section 202) and the Section 811 Supportive Housing for 
Persons with Disabilities (Section 811) programs and amending certain 
regulations governing all Section 202 and Section 811 developments. 
This publication corrects an error in the final rule regarding the 
duration of the fund reservations for capital advances.

DATES: Effective: August 15, 2013, and applicable beginning July 22, 
2013.

FOR FURTHER INFORMATION CONTACT: Aretha Williams, Office of Housing 
Assistance and Grant Administration, Office of Housing, Department of 
Housing and Urban Development, 451 7th Street SW., Room 6136, 
Washington, DC 20410-8000; telephone number 202- 708-3000 (this is not 
a toll-free number). Persons with hearing or speech impairments may 
access this number via TTY by calling the toll-free Federal Relay 
Service at 1-800-877-8339.

SUPPLEMENTARY INFORMATION: 

I. Background

    On June 20, 2013 (78 FR 37106), HUD published a final rule amending 
regulations governing the Section 202 and Section 811 programs to 
streamline requirements for mixed finance developments and to amend 
other regulations for these programs. One amendment the rule made was 
to extend

[[Page 49681]]

the duration of availability of fund reservations for capital advances 
from 18 months to 24 months, with the option of extending this period 
to 36 months, as approved by HUD on a case-by-case basis. This final 
rule followed a March 28, 2012 (77 FR 18723) proposed rule. The final 
rule became effective on July 22, 2013.

II. Technical Corrections

    After publication of the final rule, it came to HUD's attention 
that there was an error in the regulatory text. The final rule amended 
24 CFR 891.165(a) so that ``the duration of the fund reservation for a 
capital advance with construction advances is 24 months from the date 
of initial closing . . .'' (Emphasis added). However, the language in 
24 CFR 891.165(a) should read that the duration of the fund reservation 
is 24 months from the date of issuance of the award letter to the date 
of initial closing.
    The preamble to the proposed rule (77 FR 18723) noted that the 
regulations then governing the duration of the availability of capital 
advance funds limited the duration of the fund reservations for the 
capital advances to 18 months from the date of issuance of the fund 
reservation award (77 FR at 18726). The preamble went on to note that 
the purpose of extending this duration was to enable owners to focus on 
projects to ensure that they reach initial closing and start 
construction within 24 months (77 FR at 18726). This makes it clear 
that the intent of the rule is to extend the duration of the fund 
reservation for a capital advance from the date of issuance of the 
award letter so that owners could reach initial closing, and not to 
extend the time after the date of initial closing. This rule makes a 
technical correction to the final rule to fulfill that intent.

List of Subjects in 24 CFR Part 891

    Aged, Grant programs--housing and community development, 
Individuals with disabilities, Loan programs--housing and community 
development, Rent subsidies, Reporting and recordkeeping requirements.

    Accordingly, HUD amends 24 CFR part 891 as follows:

PART 891--SUPPORTIVE HOUSING FOR THE ELDERLY AND PERSONS WITH 
DISABILITIES

0
1. The authority citation for part 891 continues to read as follows:

    Authority:  12 U.S.C. 1701q; 42 U.S.C. 1437f, 3535(d), and 8013.


Sec.  891.165  [Amended]

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2. Amend Sec.  891.165 as follows:
    In paragraph (a), revise the phrase ``24 months from the date of 
initial closing'' to read ``24 months from the date of issuance of the 
award letter to the date of initial closing''.

    Dated: August 9, 2013.
Carol J. Galante,
Assistant Secretary for Housing--Federal Housing Commissioner.
[FR Doc. 2013-19856 Filed 8-14-13; 8:45 am]
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