[Federal Register Volume 91, Number 19 (Thursday, January 29, 2026)]
[Notices]
[Pages 3914-3919]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2026-01781]
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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
[Docket No. FR-6534-N-02]
Notice of Regulatory Waiver Requests Granted for the Second
Quarter of Calendar Year 2025
AGENCY: Office of the General Counsel, HUD.
ACTION: Notice.
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SUMMARY: Section 106 of the Department of Housing and Urban Development
Reform Act of 1989 (the HUD Reform Act) requires HUD to publish
quarterly Federal Register notices of all regulatory waivers that HUD
has approved. Each notice covers the quarterly period since the
previous Federal Register notice. The purpose of this notice is to
comply with the requirements of section 106 of the HUD Reform Act. This
notice contains a list of regulatory waivers granted by HUD during the
period beginning on April 1, 2025 and ending on June 30, 2025.
FOR FURTHER INFORMATION CONTACT: For general information about this
notice, contact Amanda Wahlig, Acting Associate General Counsel for
Legislation and Regulations, Department of Housing and Urban
Development, 451 7th Street SW, Room 10282, Washington, DC 20410-0500,
telephone 202-402-3743 (this is not a toll-free number). HUD welcomes
and is prepared to receive calls from individuals who are deaf or hard
of hearing, as well as individuals with speech and communication
disabilities.
To learn more about how to make an accessible telephone call,
please visit: https://www.fcc.gov/consumers/guides/telecommunications-relay-service-trs.
For information concerning a particular waiver that was granted and
for which public notice is provided in this document, contact the
person whose name and address follow the description of the waiver
granted in the accompanying list of waivers that have been granted in
the second quarter of calendar year 2025.
SUPPLEMENTARY INFORMATION: Section 106 of the HUD Reform Act added a
new section 7(q) to the Department of Housing and Urban Development Act
(42 U.S.C. 3535(q)), which provides that:
1. Any waiver of a regulation must be in writing and must specify
the grounds for approving the waiver;
2. Authority to approve a waiver of a regulation may be delegated
by the Secretary only to an individual of Assistant Secretary or
equivalent rank, and the person to whom authority to waive is delegated
must also have authority to issue the particular regulation to be
waived;
3. Not less than quarterly, the Secretary must notify the public of
all waivers of regulations that HUD has approved, by publishing a
notice in the Federal Register. These notices (each covering the period
since the most recent previous notification) shall:
a. Identify the project, activity, or undertaking involved;
b. Describe the nature of the provision waived and the designation
of the provision;
c. Indicate the name and title of the person who granted the waiver
request;
d. Describe briefly the grounds for approval of the request; and
e. State how additional information about a particular waiver may
be obtained.
Section 106 of the HUD Reform Act also contains requirements
applicable to waivers of HUD handbook provisions that are not relevant
to the purpose of this notice.
This notice follows procedures provided in HUD's Statement of
Policy on Waiver of Regulations and Directives issued on April 22, 1991
(56 FR 16337). In accordance with those procedures and with the
requirements of section 106 of the HUD Reform Act, waivers of
regulations are granted by the Assistant Secretary with jurisdiction
over the regulations for which a waiver was requested. In those cases
in which a General Deputy Assistant Secretary granted the waiver, the
General Deputy Assistant Secretary was serving in the absence of the
Assistant Secretary in accordance with the office's Order of
Succession.
This notice covers waivers of regulations granted by HUD from April
1, 2025 through June 30, 2025. For ease of reference, the waivers
granted by HUD are listed by HUD program office (for example, the
Office of Community Planning and Development, the Office of Fair
Housing and Equal Opportunity, the Office of Housing, and the Office of
Public and Indian Housing, etc.). Within each program office grouping,
the waivers are listed sequentially by the regulatory section of title
24 of the Code of Federal Regulations (CFR) that is being waived. For
example, a waiver of a provision in 24 CFR part 58 would be listed
before a waiver of a provision in 24 CFR part 570.
Where more than one regulatory provision is involved in the grant
of a particular waiver request, the action is listed under the section
number of the first regulatory requirement that appears in 24 CFR and
that is being waived. For example, a waiver of both Sec. 58.73 and
Sec. 58.74 would appear sequentially in the listing under Sec. 58.73.
Waiver of regulations that involve the same initial regulatory
citation are in time sequence beginning with the earliest-dated
regulatory waiver.
Should HUD receive additional information about waivers granted
during the period covered by this report (the second quarter of
calendar year 2025) before the next report is published (the third
quarter of calendar year 2025), HUD will include any additional waivers
granted for the second quarter in the next report.
Accordingly, information about approved waiver requests pertaining
to HUD regulations is provided in the Appendix that follows this
notice.
David C. Woll,
General Counsel.
Appendix
Listing of Waivers of Regulatory Requirements Granted by Offices of the
Department of Housing and Urban Development April 1, 2025 Through June
30, 2025
Note to Reader: More information about the granting of these
waivers, including a copy of the waiver request and approval, may be
obtained by contacting the person whose name is listed as the
contact person directly after each set of regulatory waivers
granted. The regulatory waivers granted appear in the following
order:
I. Regulatory waivers granted by the Office of Community Planning
and Development
II. Regulatory waivers granted by the Office of Housing
III. Regulatory waivers granted by the Office of Public and Indian
Housing
I. Regulatory Waivers Granted by the Office of Community Planning and
Development
For further information about the following regulatory waivers,
please see the name of the contact person that immediately follows
the description of the waiver granted.
Regulation: Section 104(e)(1) of the Housing and
Community Development Act of 1974, as amended (HCDA), 24 CFR
570.902, Section 105(e)(3) of the HCDA and 24 CFR 570.209(b), 24 CFR
570.208(a)(4), 570.506(b)(5)(ii)(c), and 570.506(b)(6)(iii).
Project/Activity: Due to California wildfires and straight-line
winds, the City of Los Angeles, California requested statutory
suspensions and regulatory waivers related to enforcement of the
timeliness requirement, the public benefits standard, and
documentation for job creation and retention. The city also
requested an extension of existing waivers related to new housing
construction, the public services cap, and emergency grant payments.
Nature of Requirement: Section 104(e)(1) of the HCDA and 24 CFR
570.902 require that the grantee carries out its activities in a
timely manner and establishes 1.5 as the ratio of grant funds
available to the grantee in its line of credit, as measured 60 days
prior to
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the end of the program year. Section 105(e)(3) of the HCDA requires
that the public benefit provided by special economic development
activities be appropriate relative to the amount of assistance for
the activities; 24 CFR 570.209(b) provides the standards that
Community Development Block Grant (CDBG) expenditures must have for
special economic development activities. 24 CFR 570.208(a)(4),
570.506(b)(5)(ii)(c), and 570.506(b)(6)(iii) requires that low- and
moderate-income (LMI) job creation and retention consider family
income when determining whether a beneficiary is eligible.
Documenting this national objective requires maintaining records
showing the beneficiary's family size and income to demonstrate LMI
eligibility.
Granted By: David C. Woll, Jr., Principal Deputy Assistant
Secretary for Community Planning and Development.
Date Granted: April 21, 2025.
Reason Waived: The California wildfires and straight-line winds
disaster caused substantial damage to neighborhoods throughout the
city. A Presidentially declared disaster declaration (FEMA-DR-4856-
CA), as amended, was issued on January 8, 2025. In response to the
disaster, the city requested statutory suspensions and regulatory
waivers associated with the CDBG program and an extension of its
July 1, 2024 ``streamlined waiver'' that the Department of Housing
and Urban Development (HUD) had already made available to recipients
of Community Planning and Development (CPD) grant programs impacted
by Presidentially declared major disasters through the Availability
of Waivers of Community Planning and Development Grant Program and
Consolidated Plan Requirements to Facilitate Recovery from
Presidentially Declared Major Disasters memorandum. The waivers
granted will allow the City of Los Angeles to expedite recovery
efforts for low- and moderate-income residents affected by the
disaster, through new housing construction, emergency grant
payments, job creation and retention, and additional public and
support services for affected individuals and families. The
statutory suspensions and regulatory waivers are in effect through
June 30, 2025 (enforcement of the CDBG timeliness requirement) and
June 30, 2026 (emergency grant payments, public services cap, public
benefits standards, new housing construction, and documentation for
job retention/job creation).
Contact: James H[ouml]emann, Director, Entitlement Communities
Division, Community Planning and Development, Department of Housing
and Urban Development, 451 7th Street SW, Room 7282, Washington, DC
20410, telephone (202) 402-4548.
Regulation: Section 104(e)(1) of the Housing and
Community Development Act of 1974, as amended (HCDA), 24 CFR
570.902, Section 105(e)(3) of the HCDA and 24 CFR 570.209(b), 24 CFR
570.208(a)(4), 570.506(b)(5)(ii)(c), and 570.506(b)(6)(iii).
Project/Activity: Due to California wildfires and straight-line
winds, the County of Los Angeles, California requested statutory
suspensions and regulatory waivers related to timeliness, the public
benefits standard, and documentation for job creation and retention.
The County also requested an extension of existing waivers related
to new housing construction, suspension of the public services cap,
and emergency grant payments.
Nature of Requirement: Section 104(e)(1) of the Housing and
Community Development Act of 1974, as amended (HCDA) and 24 CFR
570.902 require that the grantee carries out its activities in a
timely manner and establishes 1.5 as the ratio of grant funds
available to the grantee in its line of credit, as measured 60 days
prior to the end of the program year. Section 105(e)(3) of the HCDA
requires that the public benefit provided by special economic
development activities be appropriate relative to the amount of
assistance for the activities; 24 CFR 570.209(b) provides the
standards that Community Development Block Grant (CDBG) expenditures
must have for special economic development activities. 24 CFR
570.208(a)(4), 570.506(b)(5)(ii)(c), and 570.506(b)(6)(iii) requires
that low- and moderate-income (LMI) job creation and retention
consider family income when determining whether a beneficiary is
eligible. Documenting this national objective requires maintaining
records showing the beneficiary's family size and income to
demonstrate LMI eligibility.
Granted By: David C. Woll, Jr., Principal Deputy Assistant
Secretary for Community Planning and Development.
Date Granted: April 4, 2025.
Reason Waived: The California wildfires and straight-line winds
disaster caused substantial damage to neighborhoods throughout the
county. A Presidentially declared disaster declaration (FEMA-DR-
4856-CA), as amended, was issued on January 8, 2025. In response to
the disaster, the County of Los Angeles requested statutory
suspensions and regulatory waivers associated with the CDBG program
and an extension of its July 1, 2024 ``streamlined waiver'' that the
Department of Housing and Urban Development (HUD) had already made
available to recipients of Community Planning and Development (CPD)
grant programs impacted by Presidentially declared major disasters
through the Availability of Waivers of Community Planning and
Development Grant Program and Consolidated Plan Requirements to
Facilitate Recovery from Presidentially Declared Major Disasters
memorandum. The waivers granted will allow the County of Los Angeles
to expedite recovery efforts for low- and moderate-income residents
affected by the disaster, through new housing construction,
emergency grant payments, job creation and retention, and pay for
additional public and support services for affected individuals and
families. The statutory suspensions and regulatory waivers are in
effect through June 30, 2025 (enforcement of the CDBG timeliness
requirement), June 30, 2026 (emergency grant payments, public
services cap, and public benefits standards), and June 30, 2028 (new
housing construction and documentation for job retention/job
creation).
Contact: James H[ouml]emann, Director, Entitlement Communities
Division, Community Planning and Development, Department of Housing
and Urban Development, 451 7th Street SW, Room 7282, Washington, DC
20410, telephone (202) 402-4548.
Regulation: 24 CFR 570.705(f).
Project/Activity: The City of Duluth, Minnesota requested a
waiver of the regulation governing loan guarantees under Section 108
of the Housing and Community Development Act, as amended, to extend
the maximum repayment term of the guaranteed loan. The original
maturity of the guaranteed loan was August 1, 2025, which would have
resulted in a repayment period of nineteen years and eleven months.
The waiver permitted the extension of the maturity by an additional
twelve months to August 1, 2026, that would allow additional time
for the City to use sale proceeds from the project property to make
a final payment on the Note. The project financed by the guaranteed
loan involved the acquisition of real property and the construction
of infrastructure for the development of rental housing where no
less than 51% of the units are occupied by low- and moderate-income
residents.
Nature of Requirement: 24 CFR 570.705(f) states that the term of
debt obligations made under 24 CFR 570 subpart M shall not exceed
twenty years.
Granted By: David C. Woll Jr., Principal Deputy Assistant
Secretary for Community Planning and Development.
Date Granted: June 17, 2025.
Reason Waived: The revenue generated from the sale of the
property is the intended source of repayment of the guaranteed loan.
Extending the maximum term allows the third-party developer adequate
time to secure financing and complete the purchase, which will
enable the City of Duluth to make the final payment with non-Federal
funds.
Contact: B. Cory Schwartz, Director (Acting), Office of Block
Grant Assistance, Office of Community Planning and Development,
Department of Housing and Urban Development, 451 7th Street SW, Room
7282, Washington, DC 20410, telephone (202) 402-4105.
Waiver and Alternative Requirement on the Use of CDBG-DR Funds for
Buildings for the General Conduct of Government (Lee County Only)
Regulation: 42 U.S.C. 5305(a)(2) and 24 CFR 570.207(a)
(prohibiting the use of Community Development Block Grant Disaster
Recovery (CDBG-DR) funds for buildings for the general conduct of
government), as incorporated by reference in Section I of the
Consolidated Notice (Appendix B to HUD's CDBG-DR notice published in
the Federal Register on May 18, 2023, at 88 FR 32046) (the ``May
2023 Notice'').
Project/Activity: CDBG-DR funds allocated to Lee County,
Florida, pursuant to the Department of Housing and Urban Development
(HUD) Appropriations Act, 2023 (Pub. L. 117-328, Division L, Title
X) approved December 29, 2022, for major disasters occurring in 2022
(the ``Appropriations Act'').
Nature of Requirement: HUD allocated CDBG-DR funds to Lee
County, Florida,
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through the May 2023 Notice. This notice included the Consolidated
Notice as Appendix B and made the Consolidated Notice applicable to
these allocations. Specifically, HUD received a request from Lee
County to waive the prohibition on using CDBG-DR funds for buildings
for the general conduct of government as outlined in 42 U.S.C.
5305(a)(2) and 24 CFR 570.207(a). This waiver allows Lee County to
use CDBG-DR funds for the construction, reconstruction, and
rehabilitation of buildings for the general conduct of government,
including when such funds are used as the non-federal match for
funds provided through the Federal Emergency Management Agency
(FEMA). As an alternative requirement, Lee County is prohibited from
using CDBG-DR funds for buildings in which the legislative or
general administrative affairs of government are not conducted year-
round, or for buildings used exclusively as emergency operations
centers.
Granted By: David C. Woll, Jr., Principal Deputy Assistant
Secretary.
Date Granted: May 12, 2025.
Reason Waived: After reviewing the grantee's request, HUD
determined there was good cause to waive the prohibition on using
CDBG-DR funds for buildings for the general conduct of government.
This waiver enables Lee County to utilize CDBG-DR funds for
essential government infrastructure, facilitating effective disaster
recovery and long-term resilience in the most impacted and
distressed areas resulting from the 2022 disaster.
Applicability: This waiver is applicable to the CDBG-DR funds
awarded to Lee County, Florida, under the Appropriations Act. It
permits the use of these funds for the construction, reconstruction,
and rehabilitation of buildings for the general conduct of
government, including as a non-federal match for FEMA funds, in
accordance with the terms, including alternative requirements,
specified in the waiver.
Contact: Gerilee Bennett, Acting Director, Office of Disaster
Recovery, Office of Community Planning and Development, Department
of Housing and Urban Development, 451 7th Street SW, Room 7282,
Washington, DC 20410, telephone (202) 708-3587.
Waiver and Alternative Requirement To Extend the Reimbursement
Period for Eligible Pre-Application Costs (Volusia County Only)
Regulation: Paragraph III.F.5 of the Consolidated
Notice (Appendix B to HUD's Community Development Block Grant
Disaster Recovery (CDBG-DR) notice published in the Federal Register
on May 18, 2023, at 88 FR 32046) (the ``May 2023 Notice''), as
modified by Memorandum 24-02. This waiver modifies the alternative
requirement in paragraph III.F.5, which governs the deadline by
which grantees may reimburse eligible pre-application costs incurred
by homeowners, renters, businesses, and other qualifying entities
following a major disaster.
Project/Activity: CDBG-DR funds allocated to Volusia County,
Florida, pursuant to the Department of Housing and Urban Development
Appropriations Act, 2023 (Pub. L. 117-328, Division L, Title II),
for major disasters occurring in 2022 (the ``Appropriations Act'').
Nature of Requirement: HUD allocated CDBG-DR funds to Volusia
County, Florida, through the May 2023 Notice, which included the
Consolidated Notice as Appendix B and made it applicable to these
allocations. Paragraph III.F.5 of the Consolidated Notice permits
grantees to reimburse eligible pre-application costs incurred by
applicants after the disaster incident date and before applying for
assistance, subject to a reimbursement deadline of one year after
the applicability date of the Allocation Announcement Notice or one
year after the disaster date, whichever is later.
In response to a request from Volusia County, HUD previously
extended the reimbursement deadline from May 23, 2024, to May 23,
2025 (Memorandum 24-02). Following a subsequent request justified by
ongoing outreach efforts and administrative considerations related
to recovery from multiple disasters--including Hurricane Milton in
2024--this waiver further extends the reimbursement deadline to
October 31, 2025. This extension facilitates greater participation
in the Single Family Repair and Replacement Program and supports
programmatic consistency and administrative efficiency across
recovery efforts for both the 2022 and 2024 disasters.
Granted By: David C. Woll, Jr., Principal Deputy Assistant
Secretary.
Date Granted: May 28, 2025.
Reason Waived: After reviewing the grantee's request, HUD
determined there is good cause to extend the reimbursement deadline
for eligible pre-application costs to October 31, 2025, for Volusia
County only. This waiver supports enhanced disaster recovery by
allowing additional homeowners and other eligible applicants more
time to be reimbursed for disaster-related expenses incurred prior
to application submission. The extension aligns recovery efforts
across multiple disaster declarations, reducing administrative
burden and improving program continuity.
Applicability: This waiver is applicable solely to CDBG-DR funds
awarded to Volusia County, Florida, under the Appropriations Act. It
extends the reimbursement period for eligible pre-application costs
under paragraph III.F.5 of the Consolidated Notice to October 31,
2025, or the date of application, whichever is earlier. The waiver
expires on October 31, 2025.
Contact: Gerilee Bennett, Acting Director, Office of Disaster
Recovery, Office of Community Planning and Development, Department
of Housing and Urban Development, 451 7th Street SW, Room 7282,
Washington, DC 20410, telephone number (202) 708-3587.
Waiver and Alternative Requirement To Extend the Reimbursement
Period for Eligible Pre-Application Costs and To Expand Eligible
Activites (State of Oregon Only)
Regulation: Paragraphs III.F.5 and II.B.5 of the
Consolidated Notice included as Appendix B to HUD's Community
Development Block Grant Disaster Recovery (CDBG-DR) notices
published in the Federal Register on February 3, 2022, at 87 FR 6364
(the ``February 2022 Notice'') and May 24, 2022, at 87 FR 31636 (the
``May 2022 Notice''). This waiver modifies the alternative
requirement in paragraph III.F.5, which governs both the deadline
and types of activities eligible for reimbursement of pre-
application costs under CDBG-DR.
Project/Activity: CDBG-DR funds allocated to the State of Oregon
pursuant to the Disaster Relief Supplemental Appropriations Act,
2022 (Pub. L. 117-43, Division B), for major disasters occurring in
2020 and 2021 (the ``Appropriations Act'').
Nature of Requirement: HUD allocated CDBG-DR funds to the State
of Oregon under the February 2022 Notice, which includes the
Consolidated Notice as Appendix B. The May 2022 Notice further
modified certain requirements contained in the February 2022 Notice.
Paragraph III.F.5 of the Consolidated Notice permits grantees to
reimburse pre-application costs incurred by homeowners, renters,
businesses, and other qualifying entities, provided such costs were
incurred within one year after the applicability date of the
Allocation Announcement Notice or the date of the disaster,
whichever is later. The same paragraph restricts reimbursement for
rehabilitation and reconstruction activities to costs incurred
within the footprint of the damaged structure, sidewalk, driveway,
parking lot, or other developed areas, and does not include broader
homeownership assistance for households displaced to new properties.
In response to a request from the State of Oregon, this waiver
(1) extends the reimbursement deadline to January 10, 2025, and (2)
expands the range of eligible reimbursable activities to include
certain costs incurred outside the original property footprint and
homeownership assistance for displaced households.
Granted By: Matthew E. Ammon, Performing the Delegable Duties of
the Deputy Secretary.
Date Granted: June 8, 2025.
Reason Waived: After reviewing the grantee's request, HUD
determined there is good cause to extend the reimbursement deadline
for eligible pre-application costs to January 10, 2025, and to
expand the scope of eligible reimbursable activities. The State of
Oregon's Homeowner Assistance and Reconstruction Program (HARP) was
amended to provide a reimbursement pathway for households who
incurred eligible disaster-related costs after the original
reimbursement deadline. Many households--particularly low- and
moderate-income households--were displaced due to the 2020 wildfires
and made significant personal expenditures to secure habitable
housing outside the footprint of their damaged properties. These
households depleted savings, retirement funds, or assumed debt to
repair or acquire new homes. This waiver enables the State to
support these residents through reimbursement, increasing access and
fairness in the recovery process.
Applicability: This waiver is applicable solely to CDBG-DR funds
awarded to the
[[Page 3917]]
State of Oregon under the Appropriations Act. It extends the
reimbursement deadline under paragraph III.F.5 of the Consolidated
Notice to January 10, 2025, or the date of application for
assistance, whichever is earlier. It also allows reimbursement of:
(1) Rehabilitation and reconstruction activities outside the
original footprint, where rebuilding on-site is unsafe or
impracticable; (2) Homeownership assistance, as defined under 42
U.S.C. 5305(a)(24) and modified by paragraph II.B.5 of the
Consolidated Notice, where the displaced household gave up site
control prior to January 1, 2024, and now occupies the replacement
home. All reimbursed costs must be necessary and reasonable, must
not duplicate other benefits, and must comply with the State's most
recently approved action plan and applicable policies and
procedures.
Contact: Gerilee Bennett, Acting Director, Office of Disaster
Recovery, Office of Community Planning and Development, Department
of Housing and Urban Development, 451 7th Street SW, Room 7282,
Washington, DC 20410, telephone number (202) 708-3587.
Regulation: 24 CFR 93.400(d)(2).
Project/Activity: The State of Ohio requested a waiver of 24 CFR
93.400(d)(2) to extend the expenditure deadline for its Fiscal Year
2020 Housing Trust Fund (HTF) grant funds committed to the
Wintergreen Ledges project, a 120-unit affordable rental housing
development in Akron, Ohio.
Nature of Requirement: The regulation at 24 CFR 93.400(d)(2)
requires HUD to reduce or recapture any funds in the grantee's HTF
Treasury account that are not expended within five years after HUD
executed the grantee's HTF grant agreement.
Granted by: David C. Woll, Jr., Principal Deputy Assistant
Secretary for Community Planning and Development.
Date Granted: May 6, 2025.
Reason Waived: Department determined that a waiver of the
State's FY 2020 expenditure requirement is justified because the
project experienced delays related to the insolvency of the original
general contractor, which resulted in the substitution of a new
general contractor and an updated construction schedule. This waiver
will enable the State to retain HTF funds committed to the
Wintergreen Ledges project and prevent the potential loss of
affordable units.
Contact: Peter Huber, Acting Director, Office of Affordable
Housing Programs, Office of Community Planning and Development,
Department of Housing and Urban Development, 451 7th Street SW, Room
7282, Washington, DC 20410, email [email protected], telephone
(202) 402-3941.
Regulation: 24 CFR 93.400(d)(2).
Project/Activity: The State of Alabama requested a waiver of 24
CFR 93.400(d)(2) to extend the expenditure deadline for its Fiscal
Year 2019 Housing Trust Fund (HTF) grant funds committed to the
Oakleigh Crossing project.
Nature of Requirement: The regulation at 24 CFR 93.400(d)(2)
requires HUD to reduce or recapture any funds in the grantee's HTF
Treasury account that are not expended within five years after HUD
executed the grantee's HTF grant agreement.
Granted by: David C. Woll, Jr., Principal Deputy Assistant
Secretary for Community Planning and Development.
Date Granted: May 6, 2025.
Reason Waived: The Department determined that a waiver of the
State's FY 2019 expenditure requirement is justified due to
Pandemic-related supply chain disruptions, material and labor
shortages, and cost increases; and delays caused by issues with the
original contractor and syndication negotiations. This waiver will
enable the State to retain HTF funds committed to the Oakleigh
Crossing project and prevent the potential loss of affordable units
and displacement of in-place tenants.
Contact: Peter Huber, Acting Director, Office of Affordable
Housing Programs, Office of Community Planning and Development,
Department of Housing and Urban Development, 451 7th Street SW, Room
7282, Washington, DC 20410, email [email protected], telephone
(202) 402-3941.
Regulation: 24 CFR 93.400(d)(2).
Project/Activity: The State of Ohio requested a waiver of 24 CFR
93.400(d)(2) to extend the expenditure deadline for its Fiscal Year
2021 grant funds which are committed to The Meadows project.
Nature of Requirement: The regulation at 24 CFR 93.400(d)(2)
requires HUD to reduce or recapture any funds in the grantee's HTF
Treasury account that are not expended within five years after HUD
executed the grantee's HTF grant agreement.
Granted by: David C. Woll, Jr., Principal Deputy Assistant
Secretary for Community Planning and Development.
Date Granted: June 9, 2025.
Reason Waived: The Department determined that a waiver of the
State's FY 2021 expenditure requirement is justified because the
Meadows project was delayed due to the HUD Part 58 environmental
review required by other funding sources in the project and the
State's policy to hold 10 percent of funds in retainage until
construction completion. This waiver will permit the State to retain
HTF funds committed to the Meadows project and prevent the potential
loss of affordable units.
Contact: Peter Huber, Acting Director, Office of Affordable
Housing Programs, Office of Community Planning and Development,
Department of Housing and Urban Development, 451 7th Street SW, Room
7282, Washington, DC 20410, email [email protected], telephone
(202) 402-3941.
Regulation: 24 CFR 93.400(d)(2).
Project/Activity: The State of Texas requested a waiver of 24
CFR 93.400(d)(2) to extend the expenditure deadline for its Fiscal
Year 2021 grant funds committed to the Boulevard 61 project.
Nature of Requirement: The regulation at 24 CFR 93.400(d)(2)
requires HUD to reduce or recapture any funds in the grantee's HTF
Treasury account that are not expended within five years after HUD
executed the grantee's HTF grant agreement.
Granted by: David C. Woll, Jr., Principal Deputy Assistant
Secretary for Community Planning and Development.
Date Granted: June 17, 2025.
Reason Waived: The Department determined that a waiver of the
State's FY 2021 HTF expenditure requirement is justified because the
Boulevard 61 project was delayed due to a temporary gap in funding
from significant increases in insurance, interest, and construction
costs. This waiver will enable the State to retain HTF funds
committed to the Boulevard 61 project and prevent the potential loss
of affordable units.
Contact: Peter Huber, Acting Director, Office of Affordable
Housing Programs, Office of Community Planning and Development,
Department of Housing and Urban Development, 451 7th Street SW, Room
7282, Washington, DC 20410, email [email protected], telephone
(202) 402-3941.
II. Regulatory Waivers Granted by the Office of Housing
For further information about the following regulatory waivers,
please see the name of the contact person that immediately follows
the description of the waiver granted.
Regulation: 24 CFR part 891.165(a), which limits the duration of
a fund reservation to up to 36 months.
Project/Activity: Waiver of required to allow Eastern West
Virginia Community Action Agency (the Sponsor) enough time to obtain
the necessary external approvals for HUD's initial closing for
Moorefield Place Senior Homes. Nature of Requirement: Section 24 CFR
part 891.165(a) limits the duration of a fund reservation to up to
36 months. ``The duration of the fund reservation for a capital
advance with construction advances is 24 months from the date of
issuance of the award letter to the date of initial closing. This
duration can be up to 36 months, as approved by HUD on a case-by-
case basis.''
Granted by: Frank Cassidy, Principal Deputy Assistant Secretary
for Housing.
Date Granted: June 18, 2025.
Reason Waived: The Multifamily Northeast Regional Center's
Underwriting Division submitted the waiver request with its
recommendation of approval to HUD's Office of Housing on January 15,
2025. A loss of a funding source is the reason cited for the delay
in the project reaching initial closing. The Sponsor has secured the
$1,500,000 lost funding as a grant from the Federal Home Loan Bank.
The project also has 9% Competitive Low Income Housing Tax Credits
(LIHTC) reserved from the West Virginia Housing Development Fund.
HUD has learned the project is in danger of losing their LIHTC
credits if this waiver is not approved. The Northeast Regional
Center's Underwriting Division recommends approval of the waiver
because the Sponsor has 2 secured additional funding and displayed a
sincere commitment to the development of the project.
Contact: Shalonda Kelly, Program Analyst, Office of Assisted
Housing Oversight, Grants and New Funding, Office of Housing,
Department of Housing and Urban Development, 451 7th Street SW,
Washington, DC 20410, email [email protected], telephone
(202) 402-5028.
[[Page 3918]]
Regulation: 24 CFR 242.16(a)(3)(vi)(B).
Project/Activity: St. Barnabas Hospital, FHA# 012-22502, New
York, New York Nature of Requirement: OHF requires Lenders seeking
Section 223(f)/242 refinancings to demonstrate that the proposed
Borrower's financial performance would be materially improved by the
refinancing. The aforementioned Regulation includes seven specific
indicators (Refinancing Criteria) that the Lender must use to
demonstrate that the refinancing will materially improve the
Borrower's financial performance. In order for the proposal to be
eligible for refinancing under the Section 223(f)/242 program, the
Lender must certify that no less than three of seven of the
Refinancing Criteria are met. Despite the fact that St. Barnabas
Hospital has an indisputable need to refinance its debt, the
Hospital only met one of the seven criteria.
Granted by: Matthew E. Ammon, Performing the Delegable Duties of
the Deputy Secretary.
Date Granted: April 10, 2025.
Reason Waived: Without a refinancing (which would result in
monthly debt service of under $400,000) monthly debt service will
increase to over $1M. While the Hospital's financial performance
will be improved by a Section 223(f)/242 refinancing, this need is
not adequately captured by the seven Refinancing Criteria in the
Regulation.
Contact: Paul Giaudrone, Underwriting Director, Office of
Healthcare Programs, Office of Housing, Department of Housing and
Urban Development, 451 7th Street SW, Washington, DC 20410,
telephone (202) 402-5684.
III. Regulatory Waivers Granted by the Office of Public and Indian
Housing
For further information about the following regulatory waivers,
please see the name of the contact person that immediately follows
the description of the waiver granted.
Regulation: 24 CFR 5.801(d)(1), 24 CFR 902.62(a)(3).
Nature of Requirement: 24 CFR 5.801(d)(1) pertains to reporting
requirement dates for specific PHAs. 24 CFR 902.62(a)(3) pertains to
the date a PHA's audited financial statement must be received.
Project/Activity: Trumbull Metropolitan Housing Authority
(TMHA).
Granted By: Benjamin Hobbs, Principal Deputy Assistant Secretary
for Public and Indian Housing.
Date Granted: April 18, 2025.
Reason Waived: HUD grants the waivers on the basis of good
cause, citing TMHA's provided reason that the Ohio Auditor of State
office cannot commence the audit in a timely manner.
Contact: Lara Philbert, Assessment Manager, Integrated
Assessment Division, Office of Public and Indian Housing, Department
of Housing and Urban Development, 451 7th Street SW, Washington, DC
20410, email [email protected], telephone (202) 475-8930.
Regulation: Section 9(g)(1) of the U.S. Housing Act of
1937.
Nature of Requirement: Section 9(g)(1) of the U.S. Housing Act
of 1937 pertains to the use of funds, specifically, the flexibility
in use of funds.
Project/Activity: Westmoreland County Housing Authority (WCHA).
Granted By: Benjamin Hobbs, Principal Deputy Assistant Secretary
for Public and Indian Housing.
Date Granted: April 17, 2025.
Reason Waived: HUD grants the waivers on the basis of good
cause, citing WCHA's provided reasons of wanting to use Capital
Funds for anticrime and antidrug activities (for which the required
HUD authorization) and providing local crime data and projections to
support such a need.
Contact: David Fleischman, Director in HUD's Capital Program
Division, Office of Public and Indian Housing, Department of Housing
and Urban Development, 451 7th Street SW, Room, Washington, DC
20410, email [email protected], telephone (202) 402-2071.
Regulation: 24 CFR 965 Subpart B.
Nature of Requirement: 24 CFR 965 Subpart B pertains to required
insurance coverage for PHAs under the Annual Contributions Contract
(ACC).
Project/Activity: Housing Authority of the Birmingham District
(HABD).
Granted By: Benjamin Hobbs, Principal Deputy Assistant Secretary
for Public and Indian Housing.
Date Granted: April 24, 2025.
Reason Waived: HUD grants the waiver on the basis of good cause,
citing HABD's provided reasons, which include:
[cir] On September 2, 2019, the Special Application Center (SAC)
issued correspondence to the HABD approving its DDA0008489
application for the demolition of 54 dwelling buildings containing
202 dwelling units and 2 non-dwelling units (the property) under the
Charles P. Marks Village (AL001000006) in HUD's Inventory Management
System/Public and Indian Housing Information Center (IMS/PIC)
system.
[cir] On June 6, 2024, HABD submitted a letter to HUD's
Birmingham Field Office per the guidelines in Notice PIH 2018-16,
Regulatory Waivers, formally requesting to use the authority at 24
CFR 5.110 to waive 24 CFR 965.205 and the mandatory insurance
coverage requirement for replacement cost property insurance, for
204 vacant units at Charles P. Marks Village (AL001000006). In the
letter, HABD also cited the following reasons for the delayed
demolition since the approved SAC application in 2019: the onset of
the COVID-19 pandemic and staffing/leadership turnover.
[cir] The letter stated that HABD will maintain commercial
general liability insurance on the units if a claim is made against
the agency. Lastly, the letter stated that approving this request
will improve the Asset Management Project's (AMP) fiscal position
resulting in a more efficient allocation of the operating subsidy
for the property.
[cir] On July 3, 2024, the Region IV Birmingham Office Director
forwarded the HABD's request and supporting documentation in
accordance with Notice PIH 2018-16, Regulatory Waivers, and its
assessment of the request to the General Deputy Assistant Secretary
for PIH approval.
Similarly, HUD waives any contractual requirement found in the
ACC that would obligate HABD to purchase or maintain replacement
value property insurance for Charles P. Marks Village; specifically,
any and all projects approved for demolition by HUD located in
Charles P. Marks Village.
Contact: Kevin J. Gallagher, Public Housing Financial Management
Division Director, Office of Public and Indian Housing, Department
of Housing and Urban, 451 7th Street SW, Room, Washington, DC 20410,
email [email protected], telephone (202) 402-4192.
Regulation: Section 9(g)(1) of the U.S. Housing Act of
1937.
Nature of Requirement: Section 9(g)(1) of the U.S. Housing Act
of 1937 pertains to the use of funds, specifically, the flexibility
in use of funds.
Project/Activity: St. Louis Housing Authority (SLHA).
Granted By: Benjamin Hobbs, Principal Deputy Assistant Secretary
for Public and Indian Housing.
Date Granted: April 24, 2025.
Reason Waived: HUD grants the waivers on the basis of good
cause, citing SLHA's provided reasons of wanting to use Capital
Funds for anticrime and antidrug activities (for which the required
HUD authorization) and providing local crime data and projections to
support such a need.
Contact: David Fleischman, Director in HUD's Capital Program
Division, Office of Public and Indian Housing, 451 7th Street SW,
Room, Washington, DC 20410, email [email protected],
telephone (202) 402-2071.
Regulation: 2 CFR 200.313(e)(2).
Nature of Requirement: 2 CFR 200.313(e)(2) pertains to equipment
acquired under a Federal award, including its title, use, management
requirements, disposition, and retention.
Project/Activity: Oconto Housing Authority (OHA).
Granted By: Benjamin Hobbs, Principal Deputy Assistant Secretary
for Public and Indian Housing.
Date Granted: May 7, 2025.
Reason Waived: HUD grants the waiver on the basis of good cause,
citing OHA's reasons as provided:
[cir] Following the property conversion under RAD/Section 18,
OHA sold the snowplow truck purchased with LRPH funds, for $24,000.
[cir] OHA requests ``an exception to 2 CFR 200.314, which
requires compensation to HUD for the sale of any residual inventory
of unused supplies exceeding $5,000 in total aggregate value.'' (The
latest amendment to 2 CFR part 200 increased the threshold from
$5,000 to $10,000.)
[cir] OHA states that the proceeds from the sale of the snowplow
truck will be used to fulfill its obligation to close out the Public
Housing Annual Contributions Contract and ensure that all housing
authority obligations and commitments are resolved.
[cir] OHA outlines that their remaining ACC activities are a
final LRPH audit, closeout of LRPH grants, and obtaining several
legal opinions to ensure all the OHA's housing authority obligations
and commitments are resolved.
[cir] OHA contends that there are not any remaining LPRH funds
to complete the
[[Page 3919]]
Public Housing Annual Contributions Contract Obligations, which is
why they are requesting this exemption.
Contact: Kevin J. Gallagher, Public Housing Financial Management
Division Director, Office of Public and Indian Housing, Department
of Housing and Urban, 451 7th Street SW, Room, Washington, DC 20410,
email [email protected], telephone (202) 402-4192.
Regulation: PIH Notice 2018-1, Section 9: Guidance on
Small Area Market Rent (SAFMR) and Payment Standard.
Project/Activity: Regulatory Waivers and Administrative
Flexibilities During a Presidentially Declared Disaster, for Public
Housing Agencies During CY 2024 and CY 2025 FR-6438-N-01 (February
5, 2024).
Nature of Requirement: PHAs may request a suspension or
temporary exemption from using SAFMRs. A PDD PHA can request a
suspension or temporary exemption from the requirement to use
SAFMRs, and HUD can provide such an extension, through this waiver
process rather than following the requirements and process outlined
in PIH Notice 2018-1, which would normally be required.
Reason Waived: This waiver is to temporarily exempt the PHA from
implementing SAFMRs will allow the PHA to prioritize recovery
efforts and allow for the housing market to stabilize before the
PHAs can adequately assess and apply SAFMRs when fluctuating rental
prices and lack of supply stabilized.
Granted by: Benjamin Hobbs, Principal Deputy Assistant Secretary
for Public and Indian Housing.
Contact: Tesia Anyanaso, Office of Field Operations/Coordination
and Compliance Division, Office of Public and Indian Housing, 451
Seventh St. SW, Suite 3180, Washington, DC 20410, or email to
[email protected].
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Code PHAs Waiver signed
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CA004............................ HACLA............... 5/21/2025
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[FR Doc. 2026-01781 Filed 1-28-26; 8:45 am]
BILLING CODE 4210-67-P