[Federal Register Volume 84, Number 6 (Wednesday, January 9, 2019)]
[Notices]
[Pages 97-98]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-00050]



 ========================================================================
 Notices
                                                 Federal Register
 ________________________________________________________________________
 
 This section of the FEDERAL REGISTER contains documents other than rules 
 or proposed rules that are applicable to the public. Notices of hearings 
 and investigations, committee meetings, agency decisions and rulings, 
 delegations of authority, filing of petitions and applications and agency 
 statements of organization and functions are examples of documents 
 appearing in this section.
 
 ========================================================================
 

  Federal Register / Vol. 84, No. 6 / Wednesday, January 9, 2019 / 
Notices  

[[Page 97]]



DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-6136-N-01]


Waiver and Alternative Requirement for Community Development 
Block Grant--Disaster Recovery (CDBG-DR) Grantees

AGENCY: Office of the Assistant Secretary for Community Planning and 
Development, HUD.

ACTION: Notice.

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

SUMMARY: This notice addresses Community Development Block Grant 
disaster recovery (CDBG-DR) funds. Specifically, this notice waives and 
establishes an alternative requirement for the timing of HUD's review 
of CDBG-DR Action Plans for Disaster Recovery and Action Plan 
Amendments that were pending approval as of December 21, 2018. HUD is 
taking this action due to a lapse in its appropriations for FY 2019 as 
of that date and the resultant inability to satisfactorily complete the 
review and approval process consistent with its customary timeline.

DATES: Applicability Date: January 14, 2019.

FOR FURTHER INFORMATION CONTACT: David C. Woll, Jr., Principal Deputy 
Assistant Secretary, Department of Housing and Urban Development, 451 
7th Street SW, Room 7100, Washington, DC 20410, telephone number 202-
708-2690. Persons with hearing or speech disability may access this 
number via TTY/VRS by calling the Federal Relay Service at 800-877-
8339. Facsimile inquiries may be sent to Mr. Woll at 202-708-0033. 
(Except for the ``800'' number, these telephone numbers are not toll-
free.) Email inquiries may be sent to [email protected].

SUPPLEMENTARY INFORMATION: 

I. Waiver and Alternative Requirement for HUD Review of Action Plans 
for Disaster Recovery and Action Plan Amendments Related to Funding 
Appropriated by Public Laws 115-123 and 115-56

    Public Law 115-123 \1\ appropriated $28 billion of Community 
Development Block Grant disaster recovery (CDBG-DR) funding for two 
purposes: (1) To address unmet needs arising from certain major 
declared disasters that occurred in 2017; and (2) To fund mitigation 
activities for all CDBG-DR grantees that received CDBG-DR funding in 
response to unmet needs arising from major disasters declared in 2015, 
2016, and 2017. These funds were in addition to $7.4 billion 
appropriated by Public Law 115-56 \2\ for unmet needs arising from 
major declared disasters in 2017. HUD allocated virtually all funding 
for unmet needs \3\ and established administrative requirements via two 
Federal Register Notices published on February 9, 2018 (83 FR 5844-
5869) and August 14, 2018 (83 FR 40314-40325).
---------------------------------------------------------------------------

    \1\ See Title XI, Subdivision I, Division B of Public Law 115-
123, the Bipartisan Budget Act of 2018.
    \2\ See Division B of Public Law 115-56, Continuing 
Appropriations Act, 2018 and Supplemental Appropriations for 
Disaster Relief Requirements, 2017.
    \3\ While HUD has informally indicated how it will allocate $2 
billion in CDBG-DR unmet need funding to enhance or improve 
electrical power systems in jurisdictions affected by Hurricane 
Maria in 2017, the formal allocation will be made via a Federal 
Register Notice to be published in the future.
---------------------------------------------------------------------------

    In general, the funds are to be used for activities authorized 
under Title I of the Housing and Community Development Act of 1974 (42 
U.S.C. 5301 et seq.) (HCD Act) related to disaster relief, long-term 
recovery, restoration of infrastructure and housing and economic 
revitalization in the ``most impacted and distressed'' areas defined by 
HUD. By providing the supplemental disaster recovery funding under 
Title I of the HCD Act, Congress implicates the general statutory and 
regulatory requirements of the Community Development Block Grant (CDBG) 
program.
    Both Public Law 115-123 and 115-56 include the following proviso 
with respect to CDBG-DR funding:
    Provided further, That prior to the obligation of funds a grantee 
shall submit a plan to the Secretary for approval detailing the 
proposed use of all funds, . . . :
    HUD's Federal Register Notice of February 9, 2018, establishes the 
requirements and criteria that inform these plans and substantial 
amendments thereto (see section VI., A.2., Action Plan for Disaster 
Recovery waiver and alternative requirement (83 FR 5849)). Section VI., 
A.2.(e) is entitled Review and Approval of Action Plan and states that 
``HUD will review each action plan within 45 days from the date or 
receipt.'' The above referenced requirements are also generally 
applicable to CDBG-DR funds allocated by the August 14, 2018, Notice, 
via Section II., ``Use of Funds.''
    For CDBG-DR funds appropriated by Public Laws 115-123 and 115-56, 
HUD currently has three Action Plan Amendments (State of Florida, the 
Commonwealth of Puerto Rico and the United States Virgin Islands 
(USVI)) pending review and approval involving an aggregate of $9.3 
billion. In addition, there are Action Plans from the states of 
California, Georgia and Missouri pending review and approval for an 
aggregate of $221 million.
    Public Laws 115-123 and 115-56 also include the following proviso:

    Provided further, That in administering the funds under this 
heading, the Secretary of Housing and Urban Development may waive, 
or specify alternative requirements for, any provision of any 
statute or regulation that the Secretary administers in connection 
with the obligation by the Secretary or the use by the recipient of 
these funds (except for requirements related to fair housing, 
nondiscrimination, labor standards, and the environment), if the 
Secretary finds that good cause exists for the waiver or alternative 
requirement and such waiver or alternative requirement would not be 
inconsistent with the overall purpose of title I of the Housing and 
Community Development Act of 1974:

    This proviso enables HUD to waive various statutory requirements 
applicable to CDBG and to establish alternative requirements to those 
provisions. In this Notice, HUD is applying this authority to extend 
the period available for HUD review of pending Action Plan Amendments 
and Action Plans involving CDBG-DR funding under Public Laws 115-123 
and 115-56.
    Due to the lapse of FY 2019 appropriations for HUD as of December 
21, 2018, HUD has already issued a regulatory waiver extending the HUD

[[Page 98]]

review period for the Action Plan Amendments submitted by Florida, 
Puerto Rico and the USVI from 45 days to 60 days, which is the period 
set forth under the applicable statutory provision (42 U.S.C. 
12705(c)(1)) for consideration of housing strategy, which is analogous 
to an action plan or action plan amendment. HUD has not yet addressed 
the status of the pending Action Plans for California, Georgia and 
Missouri as the 45-day review period for these submissions occurs in 
late January, 2019. However, HUD cannot be assured of completing the 
reviews of these pending submissions and issuing affirmative approvals 
as required by Public Laws 115-123 and 115-56 given the impact upon 
HUD's operations during the appropriations lapse period. Therefore, the 
Secretary finds that there is good cause to waive the statutory sixty 
(60) day review deadline established by 42 U.S.C. 12705(c)(1) and is 
issuing an alternative requirement for review of pending Action Plan 
Amendments and Action Plans involving funding under Public Laws 115-123 
and 115-56. HUD will review the pending Action Plan Amendments and 
Action Plans and provide affected grantees with a decision within a 
time period which will be announced by HUD after enactment of funding 
for the Department's normal operations.
    Failure to extend the review period could lead to deemed approvals 
upon expiration of the customary 60-day review period, an outcome that 
would be inconsistent with both HUD's oversight responsibilities and 
the purposes of the CDBG-DR funding or, alternatively, disapproval. 
Grantees with pending submissions are advised that the extension of 
HUD's review period and resulting delays should not be considered a 
commentary on the submissions but is a recognition of the current 
circumstances.

II. Catalog of Federal Domestic Assistance

    The Catalog of Federal Domestic Assistance numbers for the disaster 
recovery grants under this notice is 14.228 for State CDBG grantees.

III. Finding of No Significant Impact

    A Finding of No Significant Impact (FONSI) with respect to the 
environment has been made in accordance with HUD regulations at 24 CFR 
part 50, which implement section 102(2)(C) of the National 
Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)). The FONSI is 
available for public inspection between 8 a.m. and 5 p.m. weekdays in 
the Regulations Division, Office of General Counsel, Department of 
Housing and Urban Development, 451 7th Street SW, Room 10276, 
Washington, DC 20410-0500. Due to security measures at the HUD 
Headquarters building, an advance appointment to review the docket file 
must be scheduled by calling the Regulations Division at 202-708-3055 
(this is not a toll-free number). Hearing- or speech-impaired 
individuals may access this number through TTY by calling the Federal 
Relay Service at 800-877-8339 (this is a toll-free number).

    Dated: January 4, 2019.
Benjamin S. Carson, Sr.,
Secretary.
[FR Doc. 2019-00050 Filed 1-8-19; 8:45 am]
 BILLING CODE 4210-67-P