[Federal Register Volume 87, Number 28 (Thursday, February 10, 2022)]
[Notices]
[Pages 7862-7863]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-02770]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-6313-N-01]


Waiver and Alternative Requirements for Community Development 
Block Grant Disaster Recovery Grantees--Tourism Waiver for Puerto Rico

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

ACTION: Notice.

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SUMMARY: This notice governs Community Development Block Grant Disaster 
Recovery (CDBG-DR) funds awarded under the Continuing Appropriations 
Act, 2018 and Supplemental Appropriations for Disaster Relief 
Requirements Act, 2017 and the Bipartisan Budget Act of 2018. 
Specifically, in response to a request by the Commonwealth of Puerto 
Rico, this notice grants a previously provided waiver and alternative 
requirement related to tourism and business marketing for the 
Commonwealth's use of CDBG-DR funds.

DATES: Applicability Date: February 15, 2022.

FOR FURTHER INFORMATION CONTACT: Jessie Handforth Kome, Director, 
Office of Block Grant Assistance, Department of Housing and Urban 
Development, 451 7th Street SW, Room 10166, Washington, DC 20410, 
telephone number 202-708-3587. Persons with hearing or speech 
impairments may access this number via TTY by calling the Federal Relay 
Service at 800-877-8339. Facsimile inquiries may be sent to Ms. Kome 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:

Table of Contents

I. Authority to Grant Waivers
II. Waiver and Alternative Requirement

I. Authority To Grant Waivers

    The Continuing Appropriations Act, 2018 and Supplemental 
Appropriations for Disaster Relief Requirements Act, 2017 (Pub. L. 115-
56, approved Sept. 8, 2017) and the Bipartisan Budget Act of 2018 (Pub. 
L. 115-123, approved Feb. 9, 2018) authorizes the Secretary to 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 use by the recipient of grant funds, 
except for requirements related to fair housing, nondiscrimination, 
labor standards, and the environment.
    The waiver and alternative requirement authorized in this notice 
are based upon a determination by the Secretary that good cause exists, 
and that the waiver and alternative requirement is consistent with the 
overall purposes of title I of the Housing and Community Development 
Act of 1974 (HCDA). The basis for the Secretary's determination of good 
cause is described below.

II. Waiver and Alternative Requirement Related to Tourism and Business 
Marketing (Commonwealth of Puerto Rico Only)

    The Commonwealth submitted a request for an extension of the 
previously granted waiver and alternative requirement authorizing 
activities related to tourism and business marketing for an additional 
180 days. The previously granted waiver and alternative requirement 
expired February 8, 2022. Accordingly, HUD hereby grants the waiver and 
alternative requirement described in this notice for 180 days from the 
applicability date of this notice. The cap on the activity costs 
remains unchanged. The grantee can expend no more than $25,000,000 on 
activities authorized by this waiver and alternative requirement.
    In section IV.D.17. of the Federal Register notice published on 
August 14, 2018 (83 FR 40322) (the ``August 2018 Notice), the 
Department granted the Commonwealth a waiver of 42 U.S.C. 5305(a) to 
the extent necessary to create a new eligible activity and use up to 
$15,000,000 of CDBG-DR funds for tourism and marketing activities to 
promote travel and to attract new

[[Page 7863]]

businesses to disaster-impacted areas, consistent with the amount in 
the Commonwealth's action plan and substantial amendments submitted to 
and approved by HUD. In section IV.2. of the Federal Register notice 
published on February 19, 2019 (84 FR 4844) (the ``February 2019 
Notice''), the Department amended this waiver and alternative 
requirement to authorize the use of an additional $10,000,000 of the 
Commonwealth's CDBG-DR funds for tourism and marketing activities. HUD 
required the waiver and alternative requirement to expire two years 
after the Commonwealth's first draw of its CDBG-DR funds allocated in 
the Federal Register notice published on February 9, 2018. In section 
VI.C. of the Federal Register notice published on January 6, 2021, HUD 
extended the waiver and alternative requirement, in accordance with the 
August 2018 Notice and February 2019 Notice, as referenced above, for 
one year due to issues related to the Coronavirus Disease 2019 (COVID-
19) pandemic. This one-year extension expired on February 8, 2022.
    Tourism is a significant part of the Commonwealth's economy and was 
severely impacted by Hurricanes Irma and Maria and further impacted by 
the COVID-19 pandemic. The expiration of the waiver and alternative 
requirement for tourism and marketing activities limits the ability of 
the Commonwealth to use the CDBG-DR funds during its peak tourism 
season, interrupting economic development gains made by the 
Commonwealth in its use of CDBG-DR funds for disaster recovery. As a 
result, the Secretary has determined that good cause exists to grant 
the waiver and alternative requirement described above, in accordance 
with the August 2018 Notice and February 2019 Notice, so that the 
Commonwealth may carry out tourism and marketing activities permitted 
by the waiver and alternative requirement for 180 days from the 
applicability date of this notice. HUD may further extend the waiver 
and alternative requirements administratively, if requested by the 
Commonwealth and good cause for such an extension exists at that time.

James Arthur Jemison, II,
Principal Deputy Assistant Secretary for Community Planning and 
Development.
[FR Doc. 2022-02770 Filed 2-9-22; 8:45 am]
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