Therefore, all values from 1 to 24 are rounded down to 0, and all values from 25 to 49 are rounded up to 50. Community Housing Development Organizations. HOME funds that become uncommitted for any reason after the funds have met their 24-month commitment deadline can be committed by the participating jurisdiction to another eligible HOME project or activity, provided the participating jurisdiction met the requirements for a commitment, including the definition of commitment at 24 CFR 92.2, at the time of the funds' 24-month commitment deadline. Office of the Assistant Secretary for Community Planning and Development, HUD. Therefore, HUD determined that the revised provisions for program income in the interim rule and finalized in this final rule are necessary so that participating jurisdictions can avoid losing allocated HOME funds that are subject to the 24-month commitment deadline. About the Federal Register Find award and allocation amounts for grantees by year, program, and state. should verify the contents of the documents against a final, official The suspension of section 231(b) of NAHA also removes the requirement that participating jurisdictions reserve CHDO set-aside funds to be used for projects owned, developed, or sponsored by CHDOs for more than 24-months from the date the funds are made available. Generally, this means families with incomes of 80 percent or less of the area median, as adjusted for family size. better and aid in comparing the online edition to the print edition. to the courts under 44 U.S.C. This allows participating jurisdictions to use CHDO set-aside funds for non-CHDO HOME projects after the end of the 24-month CHDO set-aside time period defined in section 231 of NAHA. 2534. Laws [ ^ Top ] Title II of the Cranston-Gonzalez National Affordable Housing Act contains the HOME statute and subparts: Introduction Subpart A - HOME Investment Partnerships Commitment of funds in the local account. Prior to Fiscal Year (FY) 2015, HUD measured compliance with the 24-month requirement for committing funds, including CHDO set-aside funds, using a cumulative methodology. Counts are subject to sampling, reprocessing and revision (up or down) throughout the day. If any funds reserved under section 231 of NAHA remain uninvested for a period of 24 months, then HUD must deduct the uninvested funds from the line of credit in the participating jurisdiction's HOME account. Background. Pressing enter in the search box Elder cottage housing opportunity (ECHO) units. As a The commenters encouraged HUD to allow the funds to be recommitted immediately and used within the expenditure deadline without being recaptured by HUD. also included a provision suspending the 24-month requirement for CHDO set-aside funds in section 231(b) of NAHA for any uninvested funds that otherwise were deducted or would be deducted from the line of credit in the participating jurisdiction's HOME Investment Trust Fund in 2018 through 2024. with grant funds, and from payments of principal and interest earned on grant funds prior to disbursement. If you have questions or comments regarding a published document please (g) License fees and royalties. 1. Search for a specific grantee and view itsawards, contact information, and reports, and more. The Regulatory Flexibility Act (RFA) (5 U.S.C. The HOME Program requires that participating jurisdictions (PJs) use one of three definitions of annual income in order to determine the income eligibility of applicants to their programs. Beginning with the Fiscal Year 2017 action plan, as provided in 24 CFR 91.220(l)(2) and 91.320(k)(2), program income, repayments, and recaptured funds in the participating jurisdiction's HOME Investment Trust Fund local account must be used in accordance with the requirements of this part, and the amount of program income, repayments, and recaptured funds in the participating jurisdiction's HOME Investment Trust Fund local account at the beginning of the program year must be committed before HOME funds in the HOME Investment Trust Fund United States Treasury account, except for the HOME funds in the United States Treasury account that are required to be reserved (i.e., 15 percent of the funds), under 92.300(a), for investment only in housing to be owned, developed, or sponsored by community housing development organizations. The OFR/GPO partnership is committed to presenting accurate and reliable Consequently, HUD is currently not enforcing the 24-month commitment requirements for those grants covered by the suspensions. This change requires participating jurisdictions to commit specific FY grant funds and for HUD to assess commitment deadline compliance on a grant-specific basis. Under HUD's cumulative methodology, HUD's Integrated Disbursement and Information System (IDIS) committed and disbursed funds on a first-in, first-out basis and participating jurisdictions were not required to designate funds from a specific FY allocation when committing HOME funds to a project. Consortia; Designation and Revocation of Designation as a Participating Jurisdiction. If you would like to comment on the current content, please use the 'Content Feedback' button below for instructions on contacting the issuing agency. Register (ACFR) issues a regulation granting it official legal status. In general, under the HOME Investment Partnerships Program, HUD allocates funds by formula among eligible State and local governments to strengthen public-private partnerships and to expand the supply of decent, safe, sanitary, and affordable housing, with primary attention to rental housing, for very low-income and low-income families. The receipt and expenditure of program income as defined in 570.500 (a) shall be recorded as part of the financial transactions of the grant program. developer tools pages. headings within the legal text of Federal Register documents. (2) Any HOME funds invested in a project that is terminated before completion, either voluntarily or otherwise, must be repaid by the participating jurisdiction, in accordance with paragraph (b)(3) of this section, except for repayments of project-specific community housing development organization loans that are waived, in accordance with 92.301(a)(3) and (b)(3). user convenience only and is not intended to alter agency intent HUD agrees and established provisions in the interim rule and final rule to ensure that participating jurisdictions do not lose allocated HOME funds subject to the 24-month commitment deadline because they have expended program income. Program income that the non-Federal entity did not anticipate at the time of the Federal award must be used to reduce the Federal award and non-Federal entity contributions rather than to increase the funds committed to the project. Find point of contact information for HUD's grantees. Enhanced content is provided to the user to provide additional context. 13. rendition of the daily Federal Register on FederalRegister.gov does not Once a PJ does qualify, it retains its status under the HOME program, even if its future allocation falls below . If you work for a Federal agency, use this drafting the hierarchy of the document. Register, and does not replace the official print version or the official Ordinarily program income must be deducted from total allowable costs to determine the net allowable costs. Resource Links Notice CPD-97-09: HOME Program Income, Recaptured Funds, Repayments and CHDO Proceeds (PDF) Tags: HOME Author Organization HUD A participating jurisdiction must award at least 15% of its annual HOME allocation to one or more (c) If program income is realized from an eligible activity funded with both grant funds as well as other funds (i.e., funds that are not grant funds), then the amount of program income realized will be based on a percentage calculation that represents the proportional share of funds provided for the activity generating the program income. Learn more about the eCFR, its status, and the editorial process. 742. 2022 Action Plan Household Eligibility HOME-assisted rental housing must comply with rent limitations that are set and published each year by HUD. The Department is aware of the challenges that the elimination of the cumulative method of measuring compliance with the 15 percent CHDO set-aside requirement may cause. In specifying alternatives to paragraphs (e)(1) and (2) of this section, the Federal awarding agency may distinguish between income earned by the recipient and income earned by subrecipients and between the sources, kinds, or amounts of income. Ask a basic policy or reporting system question. Pleasecontact your local HUD Field Officewith questions about the HOME Final Rule. Where program income is to be retained by the subrecipient, the agreement shall specify the activities that will be undertaken with the program income and that all provisions of the written agreement shall apply to the specified activities. Designation as a participating jurisdiction. Explore featured publications and browse regulations, policy guidance, toolkits, and other resources. There are no Federal requirements governing the disposition of income earned after the end of the period of performance for the Federal award, unless the Federal awarding agency regulations or the terms and conditions of the Federal award provide otherwise. This document is available in the following developer friendly formats: Information and documentation can be found in our Informed by what HUD and HOME PJs have learned over the years, HUD made significant changes to the HOME program regulations with the overall goal of providing PJs and their partners with regulatory guidance to enhance the efficiency and effectiveness of the HOME Program in the context of a more complex housing and community development environment. If the jurisdiction is not a participating jurisdiction when the recaptured funds are received, the funds must be remitted to HUD and reallocated in accordance with 92.454. When the interim rule was published, a Finding of No Significant Impact (FONSI) with respect to the environment has been made in accordance with HUD regulations in 24 CFR part 50 that implement section 102(2)(C) of the National Environmental Policy Act of 1969 (42 U.S.C. Participating jurisdiction responsibilities; written agreements; on-site inspection. Learn more about the eCFR, its status, and the editorial process. Organization and Purpose This content is from the eCFR and is authoritative but unofficial. This document has been published in the Federal Register. The 24-month deadline for committing HOME funds is a statutory requirement in section 218(g) of NAHA. Learn through self-paced online trainings, recorded webinars, and more. The 120% income limits are available for limited use, only as allowed by the applicable Federal Register Notice. Federal Register for better understanding how a document is structured but Elimination of the CHDO set-aside would require an amendment to NAHA. REQUIREMENTS This part covers eligible homeowner rehabilitation activities, applicant eligibility requirements, forms of financial assistance, and property standards and value. This Fair Market Rent includes utilities (except telephone). It authorizes the issuance of bonds in the amount of $1.5 billion for the Multifamily Housing Program (MHP). We recommend you directly contact the agency associated with the content in question. Converting rental units to homeownership units for existing tenants. Program income does not include any amounts generated from the operation of 1937 Act units unless the units are assisted with grant amounts and the income is attributable to such assistance. Program income must be deposited in the participating jurisdiction's HOME Investment Trust Fund local account unless the participating jurisdiction permits the State recipient or subrecipient to retain the program income for additional HOME projects pursuant to the written agreement required by 92.504. Since its inception, many HOME participating jurisdictions (PJs) have encountered new challenges in administering their programs and in managing their growing portfolios of older HOME projects. Under section 218(g) of NAHA,[2] Funding for the HOME Investment Partnerships Program has been cut precipitously since FY10, when HOME received a $1.8 billion appropriation. More information and documentation can be found in our A summary of the key homeowner rehabilitation rules and how to document compliance with these rules is provided as Exhibit 4-3. It briefly describes the program's purposes and features, explains how eligible jurisdictions apply to participate in HOME, and outlines some of the basic rules that govern the use of program funds. For Federal awards made to IHEs and nonprofit research institutions, if the Federal awarding agency does not specify in its regulations or the terms and conditions of the Federal award how program income is to be used, paragraph (e)(2) of this section must apply. Qualification as affordable housing: Homeownership. Browse the library of grantee reports and plans, organized by program. Department of Housing and Urban Development. (eg: It includes, but is not limited to: Fees earned for services performed under the grant, such as those resulting from laboratory drug testing. will also bring you to search results. Program income derived from urban county program activities undertaken by or within the jurisdiction of a unit of general local government which thereafter terminates its participation in the urban county shall continue to be program income of the urban county. 12748(g). electronic version on GPOs govinfo.gov. Grant programs-housing and community development. Learn about what HUD grantees are doing across the nation. Proceeds from the sale of real property, equipment, or supplies are not program income; such proceeds will be handled in accordance with the requirements of the Property Standards 200.311, 200.313, and 200.314, or as specifically identified in Federal statutes, regulations, or the terms and conditions of the Federal award. Program income includes income from fees for services performed from the use of real or rental of real . Please review the Federal Register Notice for direction, to assure a CDBG-DR funded recovery effort maintains compliance. citations and headings See also 200.344. Public Law 115-141, 132 Stat. View the most recent official publication: These links go to the official, published CFR, which is updated annually. Search & Navigation Use the PDF linked in the document sidebar for the official electronic format. Income Basics Overview 100% of HOME of Income must benefit Determination low-income (deeper targeting for rental/TBRA) Income eligibility must be determined for each assisted household Includes all tenants, owners, buyers Documentation is required PJs must identify income definition in: Program policies and procedures Maximum per-unit subsidy amount, underwriting, and subsidy layering. Document page views are updated periodically throughout the day and are cumulative counts for this document. Description The HOME Program Guide: An Introduction to the HOME Program, provides a general introduction to the HOME program. Explore collections of guided learning opportunities on a variety of topics. (z) "Manufactured housing" means a mobilehome as defined by Section 18007 of the Health and Safety Code. 1 CFR 1.1 Revocation of designation as a participating jurisdiction. Eliminating the requirement therefore requires a statutory amendment. Individuals with speech or hearing impairments may access this number via TTY by calling the Federal Relay Service at 800-877-8339 (this is a toll-free number). Due to aggressive automated scraping of FederalRegister.gov and eCFR.gov, programmatic access to these sites is limited to access to our extensive developer APIs. Equal participation of faith-based organizations. HUD Response: At least 15 percent of HOME funds must be set aside for specific activities to be undertaken by a special type of nonprofit called a Community Housing Development Organization (CHDO). If you have questions for the Agency that issued the current document please contact the agency directly. publication in the future. The information collection requirements contained in this rule have been submitted to OMB under the Paperwork Reduction Act of 1995 (44 U.S.C. Commenter asked whether program income is to be entered into the IDIS at the time of receipt or when it is reported in the annual action plan. Discussion of Public Comments and HUD's Responses, C. Community Housing Development Organization (CHDO) Commitments, https://www.federalregister.gov/d/2022-20425, MODS: Government Publishing Office metadata. 85 FR 49543, Aug. 13, 2020, unless otherwise noted. If any HOME publications, notices, and . Comments or questions about document content can not be answered by OFR staff. FY 2023 CDBG Income Limits Effective June 15, 2023 As discussed, this regulation changes the manner in which HUD measures compliance with the statutory 24-month commitment deadline in the HOME program and does not alter the manner in which participating jurisdictions administer their HOME programs. This content is from the eCFR and may include recent changes applied to the CFR. This rule does not have federalism implications and does not impose substantial direct compliance costs on State and local governments nor preempt State law within the meaning of the Executive order. Upon request from the State agency and approval of the Service, the option at 2 CFR 200.307 (b) may be allowed. This web site is designed for the current versions of Issue: Elimination of cumulative method. 1000.62 What is considered program income? (ii) Substantially all other program income shall be disbursed for eligible activities before additional cash withdrawals are made from the U.S. Treasury. It is not an official legal edition of the Federal Register for upcoming training, webinars, conferences, and more. (a) General. (y) "Lower-or low-income household" means the same as defined in Section 50079.5 of the Health and Safety Code. Separate Fair Market Rents will be established by HUD for dwelling units of varying sizes . This repetition of headings to form internal navigation links Participating jurisdictions have real time access to this information in IDIS. It is not an official legal edition of the CFR. et seq.) (2) Addition. Learn more here. Troubled HOME-assisted rental housing projects. FAR). HOME Laws and Regulations The rules and regulations governing the activities of the HOME program include the Laws as enacted by Congress, and the Regulations created by HUD to achieve the result prescribed by the Laws. Coordinated Federal support for housing strategies. The written agreement between the recipient and the subrecipient, as required by 570.503, shall specify whether program income received is to be returned to the recipient or retained by the subrecipient. This process will be necessary for each IP address you wish to access the site from, requests are valid for approximately one quarter (three months) after which the process may need to be repeated. establishing the XML-based Federal Register as an ACFR-sanctioned a participating jurisdiction must reserve not less than 15 percent of its HOME funds for investment only in housing to be developed, sponsored, or owned by community housing development organizations (CHDOs). "Published Edition". Senate Bill 3 (Chapter 365, Statues 2017) authorized the Veterans and Affordable Housing Bond Act of 2018 (Proposition 1). 12701 2023 US Department of Housing and Urban Development, Notice CPD-97-09: HOME Program Income, Recaptured Funds, Repayments and CHDO Proceeds. the Federal Register. HUD also had a 5-year expenditure requirement for all participating jurisdictions that was measured using the cumulative methodology. View the most recent official publication: These links go to the official, published CFR, which is updated annually. These can be useful FY 2023 CDBG-DR 120% Income Limits Effective June 15, 2023. (1) Transfer of program income to Entitlement program. Congress also suspended section 231(b) of NAHA to permit participating jurisdictions to retain CHDO set-aside funds that were or would otherwise be deducted from a participating jurisdiction's HOME account in 2018, 2019, 2020, 2021, 2022, 2023, or 2024. will bring you to those results. The Office of the Federal Register publishes documents on behalf of Federal agencies but does not have any authority over their programs. If you have comments or suggestions on how to improve the www.ecfr.gov website or have questions about using www.ecfr.gov, please choose the 'Website Feedback' button below. Proceeds from the sale of real property, equipment, or supplies are not program income; such proceeds will be handled in accordance with the requirements of the Property Standards 200.311, 200.313, and 200.314, or as specifically identified in Federal statutes, regulations, or the terms and conditions of the Federal award. Office of the Secretary, Department of Housing and Urban Development. for Low Income Housing Credits (LIHTCs) under section 42 of the Internal Revenue Code of 1986, as amended, and the program requirements of the HOME Investment Partnership Program (HOME Program) authorized under Title II of the Cranston-Gonzalez National Affordable Housing Act, as amended, and the HOME Program final rule published on July 24, 2013. legal research should verify their results against an official edition of 61 FR 48750, Sept. 16, 1996, unless otherwise noted. T: 202-708-1112 Browse the library of grantee reports and plans, organized by program. If the jurisdiction is not a participating jurisdiction at the time the repayment is made, the funds must be remitted to HUD and reallocated, in accordance with 92.454. Issue: Expiration of funds. deposited the funds into the participating jurisdiction's HOME Investment Trust Fund (HOME account)). HUD Response: These markup elements allow the user to see how the document follows the Commenters stated that de-obligating funds when a project is cancelled or completed for less than the committed amount only penalizes participating jurisdictions for being responsible stewards of funds. Accordingly, for the reasons stated in the preamble, the interim rule amending 24 CFR parts 91 and 92 that was published at 81 FR 86947 (December 2, 2016) is adopted as final without change. A commenter asked whether there is a conflict with the Department of Treasury in allowing a participating jurisdiction to accumulate expenditure of program income, as Treasury requires program income to be expended first. guide. has no substantive legal effect. Title 24 was last amended 7/01/2023. (e) Use of program income. Background and more details are available in the The HOME Investment Partnerships Program (HOME) provides formula grants to states and localities that communities use - often in partnership with local nonprofit groups - to fund a wide range of activities including building, buying, and/or rehabilitating affordable housing for rent or homeownership or providing direct rental assistance to low-i. A Rule by the Housing and Urban Development Department on 09/22/2022. on NARA's archives.gov. While every effort has been made to ensure that The Federal awarding agency may negotiate agreements with recipients regarding appropriate uses of income earned after the period of performance as part of the grant closeout process. are not part of the published document itself. contact the publishing agency. Comments were largely submitted by development agencies. Ordinarily program income must be deducted from total allowable costs to determine the net allowable costs. Comments or questions about document content can not be answered by OFR staff. Program Income: refers to the gross income generated through activities supported by the Federal award during the period of performance (2 CFR 200.80). The HOME Program is the largest federal block grant program for affordable housing. Specifically, the 2017 Appropriations Act stated: Section 218(g) of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. (g) License fees and royalties. Choosing an item from (4) Unless otherwise provided in any grant closeout agreement, and subject to the requirements of paragraph (b)(5) of this section, income received after closeout shall not be governed by the provisions of this part, except that, if at the time of closeout the recipient has another ongoing CDBG grant received directly from HUD, funds received after closeout shall be treated as program income of the ongoing grant program. Electronic Code of Federal Regulations (e-CFR), Subtitle AOffice of the Secretary, Department of Housing and Urban Development, PART 92HOME INVESTMENT PARTNERSHIPS PROGRAM, community housing development organization. Program income includes income from fees for services performed from the use of real or rental of real or personal property acquired with grant funds, from the sale of commodities or items developed, acquired, etc. Program disbursement and information system. This final rule implements a grant-specific method of determining compliance with the HOME commitment deadlines. When HUD publishes the new income lim-its, IHFA issues a memo and posts the new amounts and their . Ordinarily program income must be deducted from total allowable costs to determine the net allowable costs. In FY16, Congress appropriated only $950 million for the HOME program. October 24, 2022. The eCFR is displayed with paragraphs split and indented to follow The in-page Table of Contents is available only when multiple sections are being viewed. (iii) At the end of each program year, the aggregate amount of program income cash balances and any investment thereof (except those needed for immediate cash needs, cash balances of a revolving loan fund, cash balances from a lump-sum drawdown, or cash or investments held for section 108 loan guarantee security needs) that, as of the last day of the program year, exceeds one-twelfth of the most recent grant made pursuant to 570.304 shall be remitted to HUD as soon as practicable thereafter, to be placed in the recipient's line of credit. Title II of the Cranston-Gonzalez National Affordable Housing Actcontains the HOME statute and subparts: U.S. Department of Search & Navigation HUD Response: informational resource until the Administrative Committee of the Federal HUD provides guidance on the HOME program through Notices, Policy Memos, and the HOMEfiresand HOME Facts newsletters. Other Federal Requirements IX-13 . Issue: Simplification and elimination. Conforming changes are also made to the consolidated plan regulations with respect to program income, repaid funds, and recaptured funds. Laws and Regulations HUD provides guidance on the HOME program through Notices, Policy Memos, and the HOMEfires and HOME Facts newsletters. Pressing enter in the search box 42 U.S.C. The HOME Investment Partnerships Program (HOME) is a type of United States federal assistance that the U.S. Department of Housing and Urban Development (HUD) provides to states to create decent and affordable housing, particularly housing for low and very low income Americans.