Reconsideration of Waivers Granted to and Alternative Requirements for the State of Alabama's CDBG Disaster Recovery Grant Under the Department of Defense Emergency Supplemental Appropriations To Address Hurricanes in the Gulf of Mexico, and Pandemic Influenza Act, 2006, 58612-58616 [E8-23664]
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Federal Register / Vol. 73, No. 195 / Tuesday, October 7, 2008 / Notices
RECORD ACCESS PROCEDURES:
See ‘‘Notification procedure’’ above.
CONTESTING RECORD PROCEDURES:
See ‘‘Notification procedure’’ above.
RECORD SOURCE CATEGORIES:
All records pertaining to Auxiliary
members are derived from forms filled
out by the individuals on a voluntary
basis.
EXEMPTIONS CLAIMED FOR THE SYSTEM:
None.
Dated: September 30, 2008.
Hugo Teufel III,
Chief Privacy Officer, Department of
Homeland Security.
[FR Doc. E8–23749 Filed 10–6–08; 8:45 am]
BILLING CODE 4410–10–P
DEPARTMENT OF HOMELAND
SECURITY
Office of the Secretary
Privacy Act of 1974; System of
Records
Privacy Office, DHS.
Notice of removal of one Privacy
Act system of records notice.
AGENCY:
ACTION:
SUMMARY: In accordance with the
Privacy Act of 1974, the Department of
Homeland Security is giving notice that
it will remove five system of records
notices from its inventory of record
systems because the United States Coast
Guard no longer requires the systems.
The five obsolete systems are: DOT/CG
503 Motorboat Registration, April 11,
2000, DOT/CG 509 Non-Judicial
Punishment Record, April 11, 2000,
DOT/CG 526 Adjudication and
Settlement of Claims System, April 11,
2000, DOT/CG 633 Coast Guard Civilian
Personnel Security Program, April 11,
2000, and DOT/CG 676 Official Coast
Guard Reserve Service Record, April 11,
2000.
DATES: Effective Date: November 6,
2008.
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FOR FURTHER INFORMATION CONTACT:
Hugo Teufel III, Chief Privacy Officer,
Department of Homeland Security,
Washington, DC 20528, by telephone
(703) 235–0780 or facsimile 1–866–466–
5370.
SUPPLEMENTARY INFORMATION: Pursuant
to the provisions of the Privacy Act of
1974, 5 U.S.C. 552a, and as part of its
ongoing integration and management
efforts, the Department of Homeland
Security (DHS) is removing five United
States Coast Guard (USCG) system of
records notice from its inventory of
record systems.
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DHS inherited these record systems
upon its creation in January of 2003.
Upon review of its inventory of systems
of records, DHS has determined it no
longer needs or uses these system of
records and is retiring the following:
DOT/CG 503 Motorboat Registration (65
FR 19475 April 11, 2000), DOT/CG 509
Non-Judicial Punishment Record (65 FR
19475 April 11, 2000), DOT/CG 526
Adjudication and Settlement of Claims
System (65 FR 19475 April 11, 2000),
DOT/CG 633 Coast Guard Civilian
Personnel Security Program (65 FR
19475 April 11, 2000), and DOT/CG 676
Official Coast Guard Reserve Service
Record (65 FR 19475 April 11, 2000).
DOT/CG 503 Motorboat Registration
was originally established to manage the
USCG boating safety program.
DOT/CG 509 Non-Judicial
Punishment Record was originally
established to administer military
justice.
DOT/CG 526 Adjudication and
Settlement of Claims System was
originally established to determine the
entitlement of claimants who submit
claims to the USCG.
DOT/CG 633 Coast Guard Civilian
Personnel Security Program was
originally established to determine
eligibility for access to classified
information under Executive Order
11652.
DOT/CG 676 Official Coast Guard
Reserve Service Record was originally
established to ensure fulfillment of
normal administrative personnel
procedures, including examining and
screening for completeness and
accuracy of records correspondence.
Eliminating these systems of records
notices will have no adverse impacts on
individuals, but will promote the
overall streamlining and management of
DHS Privacy Act record systems.
Dated: September 30, 2008.
Hugo Teufel III,
Chief Privacy Officer, Department of
Homeland Security.
[FR Doc. E8–23751 Filed 10–6–08; 8:45 am]
BILLING CODE 4410–10–P
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DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT
[Docket No. FR–5252–N–01]
Reconsideration of Waivers Granted to
and Alternative Requirements for the
State of Alabama’s CDBG Disaster
Recovery Grant Under the Department
of Defense Emergency Supplemental
Appropriations To Address Hurricanes
in the Gulf of Mexico, and Pandemic
Influenza Act, 2006
Office of the Secretary, HUD.
Notice of reconsidered waivers,
alternative requirements, and statutory
program requirements.
AGENCY:
ACTION:
SUMMARY: This notice describes the
statutorily required reconsideration of
additional waivers and alternative
requirements applicable to the CDBG
disaster recovery grant provided to the
State of Alabama on June 14, 2006, for
the purpose of assisting in the recovery
in the most impacted and distressed
areas related to the consequences of
Hurricane Katrina in 2005. HUD
previously published an allocation and
application notice on February 13, 2006,
applicable to this grant and four others
under the same appropriation and
extended that notice on August 8, 2008.
As described in the Supplementary
Information section of this notice, HUD
is authorized by statute to waive
statutory and regulatory requirements
and specify alternative requirements for
this purpose, upon the request of the
state grantee. This notice for the State of
Alabama also notes statutory provisions
affecting program design and
implementation. The original notice has
been reconsidered and the waivers are
being retained.
DATES: Effective Date: October 14, 2008.
FOR FURTHER INFORMATION CONTACT:
Jessie Handforth Kome, Director,
Disaster Recovery and Special Issues
Division, Office of Block Grant
Assistance, Department of Housing and
Urban Development, 451 Seventh Street,
SW., Room 7286, Washington, DC
20410–7000, telephone number 202–
708–3587. Persons with hearing or
speech impairments may access this
number via TTY by calling the Federal
Information Relay Service at 800–877–
8339. Fax inquiries may be sent to Ms.
Kome at 202–401–2044. (Except for the
‘‘800’’ number, these telephone numbers
are not toll-free.)
SUPPLEMENTARY INFORMATION:
Authority To Grant Waivers
The Department of Defense,
Emergency Supplemental
Appropriations to Address Hurricanes
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in the Gulf of Mexico, and Pandemic
Influenza Act, 2006 (Pub. L. 109–148,
approved December 30, 2005) (the 2006
Act) appropriated $11.5 billion in
Community Development Block Grant
funds for necessary expenses related to
disaster relief, long-term recovery, and
restoration of infrastructure directly
related to the consequences of the
covered disasters. The State of Alabama
received an allocation of $74,388,000
from this appropriation. The Act
authorized 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 these
funds and guarantees, except for
requirements related to fair housing,
nondiscrimination, labor standards, and
the environment (including waivers
concerning lead-based paint), upon a
request by the state and a finding by the
Secretary that such a waiver would not
be inconsistent with the overall purpose
of the statute. The law further provided
that the Secretary may waive the
requirement that activities benefit
persons of low and moderate income,
except that at least 50 percent of the
funds granted must benefit primarily
persons of low and moderate income,
unless the Secretary otherwise makes a
finding of compelling need. The
following waivers and alternative
requirements are in response to written
requests from the State of Alabama and
are being retained after reconsideration.
The Secretary has found that the
following waivers and alternative
requirements, as described below, are
not inconsistent with the overall
purpose of 42 U.S.C. 5301 et seq.; Title
I of the Housing and Community
Development Act of 1974, as amended,
(the 1974 Act); or of 42 U.S.C. 12704 et
seq., of the Cranston-Gonzalez National
Affordable Housing Act, as amended.
Under the requirements of the
Department of Housing and Urban
Development Act, as amended (42
U.S.C. 3535(q)), regulatory waivers must
be published in the Federal Register.
The Department is also using this notice
to provide information about other ways
in which the requirements for this grant
vary from regular CDBG program rules.
Therefore, HUD is using this notice to
make public alternative requirements
and to note the applicability of disaster
recovery related statutory provisions.
Compiling this information in a single
notice creates a helpful resource for
Alabama grant administrators and HUD
field staff. Waivers and alternative
requirements regarding the common
application and reporting process for all
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grantees under this appropriation were
published in a prior notice (71 FR 7666,
published February 13, 2006) and
retained in Notice 73 FR 46312,
published August 8, 2008.
Except as described in notices
regarding this grant, the statutory and
regulatory provisions governing the
CDBG program for states, including
those at 24 CFR part 570, shall apply to
the use of these funds.
Descriptions of Changes
This section of the notice briefly
describes the basis for each
reconsidered waiver and provides an
explanation of related alternative
requirements, if additional explanation
is necessary. This Descriptions section
also highlights some of the statutory
items and alternative requirements
described in the sections that follow.
Except as provided in the October 30,
2006, and August 8, 2008, notices, the
waivers, alternative requirements, and
statutory changes apply only to the
CDBG supplemental disaster recovery
funds appropriated in the 2006 Act and
allocated to the State of Alabama. These
actions provide additional flexibility in
program design and implementation
and note statutory requirements unique
to this appropriation.
Eligibility
Eligibility—housing related. The
waivers that allowed new housing
construction and payment of up to 100
percent of a housing downpayment have
been necessary following major
disasters in which large numbers of
affordable housing units have been
damaged or destroyed, as is the case in
the disaster eligible under this notice.
General planning activities use
entitlement presumption. The annual
state CDBG program requires that local
government grant recipients for
planning-only grants must document
that the use of funds meets a national
objective. In the state CDBG program,
these planning grants are typically used
for individual project plans. By contrast,
planning activities carried out by
entitlement communities are more
likely to include nonproject specific
plans such as functional land use plans,
historic preservation plans,
comprehensive plans, development of
housing codes, and neighborhood plans
related to guiding long-term community
development efforts comprising
multiple activities funded by multiple
sources. In the annual entitlement
program, these more general stand-alone
planning activities are presumed to
meet a national objective under the
requirements at 24 CFR 570.208(d)(4).
The Department noted that almost all
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58613
effective CDBG disaster recoveries in the
past have relied on some form of areawide or comprehensive planning
activity to guide overall redevelopment
independent of the ultimate source of
implementation funds. Therefore, the
Department removed the eligibility
requirement that CDBG disaster
recovery assisted planning-only grants
or state directly administered planning
activities that will guide recovery in
accordance with the appropriations act
must comply with the state CDBG
program rules at 24 CFR 570.483(b)(5) or
(c)(3).
Anti-pirating. The limited waiver of
the anti-pirating requirements allowed
the flexibility to provide assistance to a
business located in another state or
market area within the same state if the
business was displaced from a declared
area within the state by the disaster and
the business wishes to return. This
waiver is necessary to allow a grantee
affected by a major disaster to rebuild its
employment base.
Program Income
A combination of CDBG provisions
limited the flexibility available to the
state for the use of program income.
Prior to 2002, program income earned
on disaster grants was usually program
income in accordance with the rules of
the regular CDBG program of the
applicable state and lost its disaster
grant identity, thus losing use of the
waivers and streamlined alternative
requirements. Also, the state CDBG
program rule and law are designed for
a program in which the state distributes
all funds rather than carrying out
activities directly. The 1974 Act
specifically provides for a local
government receiving CDBG grants from
a state to retain program income if it
uses the funds for additional eligible
activities under the annual CDBG
program. The 1974 Act allows the state
to require return of the program income
to the state under certain circumstances.
The notice waived the existing statute
and regulations to give the state, in all
circumstances, the choice of whether or
not a local government receiving a
distribution of CDBG disaster recovery
funds and using program income for
activities in the Action Plan could retain
this income and use it for additional
disaster recovery activities. In addition,
the notice allowed program income to
the disaster grant generated by activities
undertaken directly by the state or its
agent(s) to retain the original disaster
recovery grant’s alternative
requirements and waivers and to remain
under the state’s discretion until grant
closeout, at which point any program
income on hand or received
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subsequently would become program
income to the state’s annual CDBG
program. The alternative requirements
provided all the necessary conforming
changes to the program income
regulations.
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Relocation Requirements
HUD provided a limited waiver of the
relocation requirements. HUD waived
the one-for-one replacement of low- and
moderate-income housing units
demolished or converted using CDBG
funds requirement for housing units
damaged by one or more disasters. HUD
waived this requirement because it did
not take into account the large, sudden
changes a major disaster may cause to
the local housing stock, population, or
local economy. Further, the requirement
did not take into account the threats to
public health and safety and to
economic revitalization that may be
caused by the presence of disasterdamaged structures that are unsuitable
for rehabilitation. Left unchanged, the
requirement could have impeded
disaster recovery and discouraged
grantees from acquiring, converting, or
demolishing disaster-damaged housing
because of excessive costs that would
have resulted from replacing all such
units within the specified time frame.
HUD also waived the relocation
benefits requirements contained in
Section 104(d) of the 1974 Act to the
extent they differ from those of the
Uniform Relocation Assistance and Real
Properties Acquisition Act of 1970 (42
U.S.C. 4601 et seq.). This change
simplified implementation while
preserving statutory protections for
persons displaced by federal projects.
Timely Distribution of Funds
The state CDBG program regulation
regarding timely distribution of funds is
at 24 CFR 570.494. This provision is
designed to work in the context of an
annual program in which almost all
grant funds are distributed to units of
general local government. Because the
state may use its disaster recovery grant
funds to carry out some or all activities
directly, and because Congress
expressly allowed this grant to be
available until expended, HUD waived
this requirement. However, HUD still
expects the State of Alabama to
expeditiously obligate and expend all
funds, including any recaptured funds
or program income, in carrying out
activities in a timely manner.
Waivers and Alternative Requirements
1. Program income alternative
requirement. 42 U.S.C. 5304(j) and 24
CFR 570.489(e) are waived to the extent
that they conflict with the rules stated
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in the program income alternative
requirement below. The following
alternative requirement applies instead.
(a) Program income.
(1) For the purposes of this subpart,
‘‘program income’’ is defined as gross
income received by a state, a unit of
general local government, a tribe, or a
subrecipient of a unit of general local
government or a tribe that was generated
from the use of CDBG funds, except as
provided in paragraph (a)(2) of this
section. When income is generated by
an activity that is only partially assisted
with CDBG funds, the income shall be
prorated to reflect the percentage of
CDBG funds used (e.g., a single loan
supported by CDBG funds and other
funds; a single parcel of land purchased
with CDBG funds and other funds).
Program income includes, but is not
limited to, the following:
(i) Proceeds from the disposition by
sale or long-term lease of real property
purchased or improved with CDBG
funds;
(ii) Proceeds from the disposition of
equipment purchased with CDBG funds;
(iii) Gross income from the use or
rental of real or personal property
acquired by the unit of general local
government or tribe or subrecipient of a
state, a tribe, or a unit of general local
government with CDBG funds less the
costs incidental to the generation of the
income;
(iv) Gross income from the use or
rental of real property owned by a state,
tribe, or the unit of general local
government or a subrecipient of a state,
tribe, or unit of general local
government, that was constructed or
improved with CDBG funds, less the
costs incidental to the generation of the
income;
(v) Payments of principal and interest
on loans made using CDBG funds;
(vi) Proceeds from the sale of loans
made with CDBG funds;
(vii) Proceeds from the sale of
obligations secured by loans made with
CDBG funds;
(viii) Interest earned on program
income pending disposition of the
income, but excluding interest earned
on funds held in a revolving fund
account;
(ix) Funds collected through special
assessments made against properties
owned and occupied by households not
of low and moderate income, where the
special assessments are used to recover
all or part of the CDBG portion of a
public improvement; and
(x) Gross income paid to a state, tribe,
or a unit of general local government or
subrecipient from the ownership
interest in a for-profit entity acquired in
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return for the provision of CDBG
assistance.
(2) ‘‘Program income’’ does not
include the following:
(i) The total amount of funds which
is less than $25,000 received in a single
year that is retained by a unit of general
local government, tribe, or subrecipient;
(ii) Amounts generated by activities
eligible under section 105(a)(15) of the
1974 Act and carried out by an entity
under the authority of section 105(a)(15)
of the Act.
(3) The state may permit the unit of
general local government or tribe that
receives or will receive program income
to retain the program income, subject to
the requirements of paragraph (a)(3)(ii)
of this section, or the state may require
the unit of general local government or
tribe to pay the program income to the
state.
(i) Program income paid to the state.
Program income that is paid to the state
or received by the state is treated as
additional disaster recovery CDBG
funds subject to the requirements of this
notice and must be used by the state or
distributed to units of general local
government in accordance with the
state’s Action Plan for Disaster
Recovery. To the maximum extent
feasible, program income shall be used
or distributed before the state makes
additional withdrawals from the United
States Treasury, except as provided in
paragraph (b) of this section.
(ii) Program income retained by a unit
of general local government or tribe.
(A) Program income that is received
and retained by the unit of general local
government or tribe before closeout of
the grant that generated the program
income is treated as additional disaster
recovery CDBG funds and is subject to
the requirements of this notice.
(B) Program income that is received
and retained by the unit of general local
government or tribe after closeout of the
grant that generated the program
income, but that is used to continue the
disaster recovery activity that generated
the program income, is subject to the
waivers and alternative requirements of
this notice.
(C) All other program income is
subject to the requirements of 42 U.S.C.
5304(j) and subpart I of 24 CFR part 570.
(D) The state shall require units of
general local government or tribes, to
the maximum extent feasible, to
disburse program income that is subject
to the requirements of this notice before
requesting additional funds from the
state for activities, except as provided in
paragraph (b) of this section.
(b) Revolving funds.
(1) The state may establish or permit
units of general local government or
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tribes to establish revolving funds to
carry out specific, identified activities.
A revolving fund, for this purpose, is a
separate fund (with a set of accounts
that are independent of other program
accounts) established to carry out
specific activities which, in turn,
generate payments to the fund for use in
carrying out such activities. These
payments to the revolving fund are
program income and must be
substantially disbursed from the
revolving fund before additional grant
funds are drawn from the United States
Treasury for revolving fund activities.
Such program income is not required to
be disbursed for nonrevolving fund
activities.
(2) The state may also establish a
revolving fund to distribute funds to
units of general local government or
tribes to carry out specific, identified
activities. A revolving fund, for this
purpose, is a separate fund (with a set
of accounts that are independent of
other program accounts) established to
fund grants to units of general local
government to carry out specific
activities which, in turn, generate
payments to the fund for additional
grants to units of general local
government to carry out such activities.
Program income in the revolving fund
must be disbursed from the fund before
additional grant funds are drawn from
the Treasury for payments to units of
general local government which could
be funded from the revolving fund.
(3) A revolving fund established by
either the state or unit of general local
government shall not be directly funded
or capitalized with grant funds.
(c) Transfer of program income.
Notwithstanding other provisions of this
notice, the state may transfer program
income before closeout of the grant that
generated the program income to its
own annual CDBG program or to any
annual CDBG-funded activities
administered by a unit of general local
government or Indian tribe within the
state.
(d) Program income on hand at the
state or its subrecipients at the time of
grant closeout by HUD and program
income received by the state after such
grant closeout shall be program income
to the most recent annual CDBG
program grant of the state.
2. Housing-related eligibility waivers.
42 U.S.C. 5305(a) is waived to the extent
necessary to allow down payment
assistance for up to 100 percent of the
downpayment (42 U.S.C. 5305(a)(24)(D))
and to allow new housing construction.
3. Planning requirements. For CDBG
disaster recovery assisted planning
activities that will guide recovery in
accordance with the 2006 Act, the state
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CDBG program rules at 24 CFR
570.483(b)(5) and (c)(3) are waived and
the presumption at 24 CFR
570.208(d)(4) applies.
4. Waiver and modification of the
anti-pirating clause to permit assistance
to help a business return. 42 U.S.C
5305(h) and 24 CFR 570.482 are hereby
waived only to allow the grantee to
provide assistance under this grant to
any business that was operating in the
covered disaster area before the incident
date of Hurricane Katrina and has since
moved, in whole or in part, from the
affected area to another state or to a
labor market area within the same state
to continue business.
5. Waiver of one-for-one replacement
of units damaged by disaster. 42 U.S.C.
5301(d)(2) and (d)(3) are waived to
remove the one-for-one replacement
requirements for occupied and vacant,
occupiable lower-income dwelling units
that may be demolished or converted to
a use other than for housing; and to
remove the relocation benefits
requirements contained at 42 U.S.C.
5304(d) to the extent they differ from
those of the Uniform Relocation Act.
Also, 24 CFR 42.375 is waived to
remove the requirements implementing
the above-mentioned statutory
requirements regarding replacement of
housing and 24 CFR 42.350, to the
extent that these regulations differ from
the regulations contained in 49 CFR part
24. These requirements are waived
provided the grantee assures HUD it
will use all resources at its disposal to
ensure no displaced homeowner will be
denied access to decent, safe, and
sanitary suitable replacement housing
because he or she has not received
sufficient financial assistance.
6. Waiver of requirement for timely
distribution of funds. 24 CFR 570.494
regarding timely distribution of funds is
waived.
Notes on Applicable Statutory
Requirements
7. Notes on flood buyouts:
a. Payment of pre-flood values for
buyouts. HUD disaster recovery
entitlement communities, state grant
recipients, and Indian tribes have the
discretion to pay pre-flood or post-flood
values for the acquisition of properties
located in a flood way or floodplain. In
using CDBG disaster recovery funds for
such acquisitions, the grantee must
uniformly apply whichever valuation
method it chooses.
b. Ownership and maintenance of
acquired property. Any property
acquired with disaster recovery grants
funds being used to match Federal
Emergency Management Agency
(FEMA) Section 404 Hazard Mitigation
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58615
Grant Program funds is subject to
section 404(b)(2) of the Robert T.
Stafford Disaster Relief and Emergency
Assistance Act, as amended, which
requires that such property be dedicated
and maintained in perpetuity for a use
that is compatible with open space,
recreational, or wetlands management
practices. In addition, with minor
exceptions, no new structure may be
erected on the property and no
subsequent application for federal
disaster assistance may be made for any
purpose. The acquiring entity may want
to lease such property to adjacent
property owners or other parties for
compatible uses in return for a
maintenance agreement. Although
federal policy encourages leasing rather
than selling such property, the property
may be sold. In all cases, a deed
restriction or covenant running with the
land must require that the property be
dedicated and maintained for
compatible uses, in perpetuity.
c. Future federal assistance to owners
remaining in floodplain.
(1) Section 582 of the National Flood
Insurance Reform Act of 1994, as
amended, (42 U.S.C. 5154(a)) prohibits
flood disaster assistance in certain
circumstances. In general, it provides
that no federal disaster relief assistance
made available in a flood disaster area
may be used to make payment
(including any loan assistance payment)
to a person for repair, replacement, or
restoration of damage to any personal,
residential, or commercial property, if
that person at any time has received
flood disaster assistance that was
conditional on the person first having
obtained flood insurance under
applicable federal law and the person
has subsequently failed to obtain and
maintain flood insurance as required
under applicable federal law on such
property. (Section 582 is selfimplementing without regulations.) This
means that a grantee may not provide
disaster assistance for the abovementioned repair, replacement, or
restoration to a person who has failed to
meet this requirement.
(2) Section 582 also implies a
responsibility for a grantee that receives
CDBG disaster recovery funds or that,
under 42 U.S.C. 5321, designates
annually appropriated CDBG funds for
disaster recovery. That responsibility is
to inform property owners receiving
disaster assistance that triggers the flood
insurance purchase requirement that
they have a statutory responsibility to
notify any transferee of the requirement
to obtain and maintain flood insurance,
and that the transferring owner may be
liable if he or she fails to do so. These
requirements are described below.
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(3) Duty to notify. In the event of the
transfer of any property described in
paragraph (4)(iv) below, the transferor
shall, not later than the date on which
such transfer occurs, notify the
transferee in writing of the requirements
to:
(i) Obtain flood insurance in
accordance with applicable federal law
with respect to such property, if the
property is not so insured as of the date
on which the property is transferred;
and
(ii) Maintain flood insurance in
accordance with applicable federal law
with respect to such property.
(iii) Such written notification shall be
contained in documents evidencing the
transfer of ownership of the property.
(4) Failure to notify. If a transferor
fails to provide notice as described
above and, subsequent to the transfer of
the property:
(i) The transferee fails to obtain or
maintain flood insurance, in accordance
with applicable federal law, with
respect to the property;
(ii) The property is damaged by a
flood disaster; and
(iii) Federal disaster relief assistance
is provided for the repair, replacement,
or restoration of the property as a result
of such damage, the transferor shall be
required to reimburse the federal
government in an amount equal to the
amount of the federal disaster relief
assistance provided with respect to the
property.
(iv) The notification requirements
apply to personal, commercial, or
residential property for which federal
disaster relief assistance made available
in a flood disaster area has been
provided, prior to the date on which the
property is transferred, for repair,
replacement, or restoration of the
property, if such assistance was
conditioned upon obtaining flood
insurance in accordance with applicable
federal law with respect to such
property.
(v) The term ‘‘Federal disaster relief
assistance’’ applies to HUD or other
federal assistance for disaster relief in
‘‘flood disaster areas.’’ The term ‘‘flood
disaster area’’ is defined in section
582(d)(2) to include an area receiving a
presidential declaration of a major
disaster or emergency as a result of
flood conditions.
8. Non-Federal Cost Sharing of Army
Corps of Engineers Projects. Public Law
105–276, Title II, Oct. 21, 1998, 112
Stat. 2478, provided in part that: ‘‘For
any fiscal year, of the amounts made
available as emergency funds under the
heading ‘Community Development
Block Grants Fund’ and
notwithstanding any other provision of
VerDate Aug<31>2005
18:23 Oct 06, 2008
Jkt 217001
law, not more than $250,000 may be
used for the non-Federal cost-share of
any project funded by the Secretary of
the Army through the Corps of
Engineers.’’
Finding of No Significant Impact
A Finding of No Significant Impact
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). The Finding of
No Significant Impact is available for
public inspection between 8 a.m. and 5
p.m. weekdays in the Office of the Rules
Docket Clerk, Office of General Counsel,
Department of Housing and Urban
Development, 451 Seventh Street, SW.,
Room 10276, Washington, DC 20410–
0500.
Dated: September 26, 2008.
Roy A. Bernardi,
Deputy Secretary.
[FR Doc. E8–23664 Filed 10–6–08; 8:45 am]
BILLING CODE 4210–67–P
DEPARTMENT OF THE INTERIOR
U.S. Geological Survey
Agency Information Collection:
Comment Request
United States Geological
Survey (USGS), Interior.
ACTION: Notice of a new collection.
AGENCY:
SUMMARY: To comply with the
Paperwork Reduction Act of 1995
(PRA), we are notifying the public that
we will submit to OMB a new
information collection request (ICR) for
approval of the paperwork requirements
for the National Institutes for Water
Resources (NIWR)–USGS competitive
grant program conducted in conjunction
with the State Water Resources Research
Institutes. The NIWR cooperates with
the USGS in establishing total
programmatic direction, reporting on
the activities of the Institutes,
coordinating and facilitating regional
research and information and
technology transfer, and in operating the
NIWR–USGS Student Internship
Program. Furthermore, an annual
progress and final technical report for
all projects is required at the end of the
project period.
This notice provides the public an
opportunity to comment on the
paperwork burden of this collection.
DATES: You must submit comment on or
before December 8, 2008.
ADDRESSES: Send your comments to the
IC to Phadrea Ponds, Information
PO 00000
Frm 00088
Fmt 4703
Sfmt 4703
Collections Clearance Officer, U.S.
Geological Survey, 2150–C Center
Avenue, Fort Collins, CO 80525 (mail);
(970) 226–9230 (fax); or
pponds@usgs.gov (e-mail). Please
reference Information Collection 1028–
NEW, USGS–WRRI.
FOR FURTHER INFORMATION CONTACT: John
E. Schefter, Chief, Office of External
Research, U.S. Geological Survey, 12201
Sunrise Valley Drive, MS 424, Reston,
Virginia 20192 (mail) at (703) 648–6800
(Phone); or schefter@usgs.gov (e-mail).
SUPPLEMENTARY INFORMATION:
Title: NIWR–USGS National
Competitive Grant Program.
OMB Control Number: 1028-new.
Abstract: The NIWR–USGS National
Competitive Grant Program issues an
annual call for proposals to support
research on water problems and issues
of a regional or interstate nature beyond
those of concern only to a single state
and which relate to specific program
priorities identified jointly by the USGS
and the state water resources research
institutes authorized by the Water
Resources Research Act of 1984, as
amended (42 U.S.C. 10301 et seq.). Any
investigator at an accredited institution
of higher learning in the United States
is eligible to apply for a grant through
a water research institute or center
established under the provisions of the
Act. Proposals involving substantial
collaboration between the USGS and
university scientists are encouraged.
Proposals may be for projects of 1 to 3
years in duration and may request up to
$250,000 in federal funds. Successful
applicants must match each dollar of
the federal grant with one dollar from
nonfederal sources. This program is
authorized by the Water Resources
Research Act of 1984, as amended (42
U.S.C. 10303(g)).
We will protect information from
respondents considered proprietary
under the Freedom of Information Act
(5 U.S.C. 552) and implementing
regulations (43 CFR Part 2), and under
regulations at 30 CFR 250.197, ‘‘Data
and information to be made available to
the public or for limited inspection.’’
Responses are voluntary. No questions
of a ‘‘sensitive’’ nature are asked. We
intend to release the project abstracts
and primary investigators for awarded/
funded projects only.
Frequency of Collection: Annually.
Affected Public: Research
investigators at accredited institutions
of higher education.
Respondent’s Obligation: Voluntary
(necessary to receive benefits).
Estimated Number and Description of
Respondents: We expect to receive
approximately 65 applications and
award 7 grants per year.
E:\FR\FM\07OCN1.SGM
07OCN1
]]>Agencies
[Federal Register Volume 73, Number 195 (Tuesday, October 7, 2008)]
[Notices]
[Pages 58612-58616]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-23664]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
[Docket No. FR-5252-N-01]
Reconsideration of Waivers Granted to and Alternative
Requirements for the State of Alabama's CDBG Disaster Recovery Grant
Under the Department of Defense Emergency Supplemental Appropriations
To Address Hurricanes in the Gulf of Mexico, and Pandemic Influenza
Act, 2006
AGENCY: Office of the Secretary, HUD.
ACTION: Notice of reconsidered waivers, alternative requirements, and
statutory program requirements.
-----------------------------------------------------------------------
SUMMARY: This notice describes the statutorily required reconsideration
of additional waivers and alternative requirements applicable to the
CDBG disaster recovery grant provided to the State of Alabama on June
14, 2006, for the purpose of assisting in the recovery in the most
impacted and distressed areas related to the consequences of Hurricane
Katrina in 2005. HUD previously published an allocation and application
notice on February 13, 2006, applicable to this grant and four others
under the same appropriation and extended that notice on August 8,
2008. As described in the Supplementary Information section of this
notice, HUD is authorized by statute to waive statutory and regulatory
requirements and specify alternative requirements for this purpose,
upon the request of the state grantee. This notice for the State of
Alabama also notes statutory provisions affecting program design and
implementation. The original notice has been reconsidered and the
waivers are being retained.
DATES: Effective Date: October 14, 2008.
FOR FURTHER INFORMATION CONTACT: Jessie Handforth Kome, Director,
Disaster Recovery and Special Issues Division, Office of Block Grant
Assistance, Department of Housing and Urban Development, 451 Seventh
Street, SW., Room 7286, Washington, DC 20410-7000, telephone number
202-708-3587. Persons with hearing or speech impairments may access
this number via TTY by calling the Federal Information Relay Service at
800-877-8339. Fax inquiries may be sent to Ms. Kome at 202-401-2044.
(Except for the ``800'' number, these telephone numbers are not toll-
free.)
SUPPLEMENTARY INFORMATION:
Authority To Grant Waivers
The Department of Defense, Emergency Supplemental Appropriations to
Address Hurricanes
[[Page 58613]]
in the Gulf of Mexico, and Pandemic Influenza Act, 2006 (Pub. L. 109-
148, approved December 30, 2005) (the 2006 Act) appropriated $11.5
billion in Community Development Block Grant funds for necessary
expenses related to disaster relief, long-term recovery, and
restoration of infrastructure directly related to the consequences of
the covered disasters. The State of Alabama received an allocation of
$74,388,000 from this appropriation. The Act authorized 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 these funds
and guarantees, except for requirements related to fair housing,
nondiscrimination, labor standards, and the environment (including
waivers concerning lead-based paint), upon a request by the state and a
finding by the Secretary that such a waiver would not be inconsistent
with the overall purpose of the statute. The law further provided that
the Secretary may waive the requirement that activities benefit persons
of low and moderate income, except that at least 50 percent of the
funds granted must benefit primarily persons of low and moderate
income, unless the Secretary otherwise makes a finding of compelling
need. The following waivers and alternative requirements are in
response to written requests from the State of Alabama and are being
retained after reconsideration.
The Secretary has found that the following waivers and alternative
requirements, as described below, are not inconsistent with the overall
purpose of 42 U.S.C. 5301 et seq.; Title I of the Housing and Community
Development Act of 1974, as amended, (the 1974 Act); or of 42 U.S.C.
12704 et seq., of the Cranston-Gonzalez National Affordable Housing
Act, as amended. Under the requirements of the Department of Housing
and Urban Development Act, as amended (42 U.S.C. 3535(q)), regulatory
waivers must be published in the Federal Register. The Department is
also using this notice to provide information about other ways in which
the requirements for this grant vary from regular CDBG program rules.
Therefore, HUD is using this notice to make public alternative
requirements and to note the applicability of disaster recovery related
statutory provisions. Compiling this information in a single notice
creates a helpful resource for Alabama grant administrators and HUD
field staff. Waivers and alternative requirements regarding the common
application and reporting process for all grantees under this
appropriation were published in a prior notice (71 FR 7666, published
February 13, 2006) and retained in Notice 73 FR 46312, published August
8, 2008.
Except as described in notices regarding this grant, the statutory
and regulatory provisions governing the CDBG program for states,
including those at 24 CFR part 570, shall apply to the use of these
funds.
Descriptions of Changes
This section of the notice briefly describes the basis for each
reconsidered waiver and provides an explanation of related alternative
requirements, if additional explanation is necessary. This Descriptions
section also highlights some of the statutory items and alternative
requirements described in the sections that follow.
Except as provided in the October 30, 2006, and August 8, 2008,
notices, the waivers, alternative requirements, and statutory changes
apply only to the CDBG supplemental disaster recovery funds
appropriated in the 2006 Act and allocated to the State of Alabama.
These actions provide additional flexibility in program design and
implementation and note statutory requirements unique to this
appropriation.
Eligibility
Eligibility--housing related. The waivers that allowed new housing
construction and payment of up to 100 percent of a housing downpayment
have been necessary following major disasters in which large numbers of
affordable housing units have been damaged or destroyed, as is the case
in the disaster eligible under this notice.
General planning activities use entitlement presumption. The annual
state CDBG program requires that local government grant recipients for
planning-only grants must document that the use of funds meets a
national objective. In the state CDBG program, these planning grants
are typically used for individual project plans. By contrast, planning
activities carried out by entitlement communities are more likely to
include nonproject specific plans such as functional land use plans,
historic preservation plans, comprehensive plans, development of
housing codes, and neighborhood plans related to guiding long-term
community development efforts comprising multiple activities funded by
multiple sources. In the annual entitlement program, these more general
stand-alone planning activities are presumed to meet a national
objective under the requirements at 24 CFR 570.208(d)(4). The
Department noted that almost all effective CDBG disaster recoveries in
the past have relied on some form of area-wide or comprehensive
planning activity to guide overall redevelopment independent of the
ultimate source of implementation funds. Therefore, the Department
removed the eligibility requirement that CDBG disaster recovery
assisted planning-only grants or state directly administered planning
activities that will guide recovery in accordance with the
appropriations act must comply with the state CDBG program rules at 24
CFR 570.483(b)(5) or (c)(3).
Anti-pirating. The limited waiver of the anti-pirating requirements
allowed the flexibility to provide assistance to a business located in
another state or market area within the same state if the business was
displaced from a declared area within the state by the disaster and the
business wishes to return. This waiver is necessary to allow a grantee
affected by a major disaster to rebuild its employment base.
Program Income
A combination of CDBG provisions limited the flexibility available
to the state for the use of program income. Prior to 2002, program
income earned on disaster grants was usually program income in
accordance with the rules of the regular CDBG program of the applicable
state and lost its disaster grant identity, thus losing use of the
waivers and streamlined alternative requirements. Also, the state CDBG
program rule and law are designed for a program in which the state
distributes all funds rather than carrying out activities directly. The
1974 Act specifically provides for a local government receiving CDBG
grants from a state to retain program income if it uses the funds for
additional eligible activities under the annual CDBG program. The 1974
Act allows the state to require return of the program income to the
state under certain circumstances. The notice waived the existing
statute and regulations to give the state, in all circumstances, the
choice of whether or not a local government receiving a distribution of
CDBG disaster recovery funds and using program income for activities in
the Action Plan could retain this income and use it for additional
disaster recovery activities. In addition, the notice allowed program
income to the disaster grant generated by activities undertaken
directly by the state or its agent(s) to retain the original disaster
recovery grant's alternative requirements and waivers and to remain
under the state's discretion until grant closeout, at which point any
program income on hand or received
[[Page 58614]]
subsequently would become program income to the state's annual CDBG
program. The alternative requirements provided all the necessary
conforming changes to the program income regulations.
Relocation Requirements
HUD provided a limited waiver of the relocation requirements. HUD
waived the one-for-one replacement of low- and moderate-income housing
units demolished or converted using CDBG funds requirement for housing
units damaged by one or more disasters. HUD waived this requirement
because it did not take into account the large, sudden changes a major
disaster may cause to the local housing stock, population, or local
economy. Further, the requirement did not take into account the threats
to public health and safety and to economic revitalization that may be
caused by the presence of disaster-damaged structures that are
unsuitable for rehabilitation. Left unchanged, the requirement could
have impeded disaster recovery and discouraged grantees from acquiring,
converting, or demolishing disaster-damaged housing because of
excessive costs that would have resulted from replacing all such units
within the specified time frame.
HUD also waived the relocation benefits requirements contained in
Section 104(d) of the 1974 Act to the extent they differ from those of
the Uniform Relocation Assistance and Real Properties Acquisition Act
of 1970 (42 U.S.C. 4601 et seq.). This change simplified implementation
while preserving statutory protections for persons displaced by federal
projects.
Timely Distribution of Funds
The state CDBG program regulation regarding timely distribution of
funds is at 24 CFR 570.494. This provision is designed to work in the
context of an annual program in which almost all grant funds are
distributed to units of general local government. Because the state may
use its disaster recovery grant funds to carry out some or all
activities directly, and because Congress expressly allowed this grant
to be available until expended, HUD waived this requirement. However,
HUD still expects the State of Alabama to expeditiously obligate and
expend all funds, including any recaptured funds or program income, in
carrying out activities in a timely manner.
Waivers and Alternative Requirements
1. Program income alternative requirement. 42 U.S.C. 5304(j) and 24
CFR 570.489(e) are waived to the extent that they conflict with the
rules stated in the program income alternative requirement below. The
following alternative requirement applies instead.
(a) Program income.
(1) For the purposes of this subpart, ``program income'' is defined
as gross income received by a state, a unit of general local
government, a tribe, or a subrecipient of a unit of general local
government or a tribe that was generated from the use of CDBG funds,
except as provided in paragraph (a)(2) of this section. When income is
generated by an activity that is only partially assisted with CDBG
funds, the income shall be prorated to reflect the percentage of CDBG
funds used (e.g., a single loan supported by CDBG funds and other
funds; a single parcel of land purchased with CDBG funds and other
funds). Program income includes, but is not limited to, the following:
(i) Proceeds from the disposition by sale or long-term lease of
real property purchased or improved with CDBG funds;
(ii) Proceeds from the disposition of equipment purchased with CDBG
funds;
(iii) Gross income from the use or rental of real or personal
property acquired by the unit of general local government or tribe or
subrecipient of a state, a tribe, or a unit of general local government
with CDBG funds less the costs incidental to the generation of the
income;
(iv) Gross income from the use or rental of real property owned by
a state, tribe, or the unit of general local government or a
subrecipient of a state, tribe, or unit of general local government,
that was constructed or improved with CDBG funds, less the costs
incidental to the generation of the income;
(v) Payments of principal and interest on loans made using CDBG
funds;
(vi) Proceeds from the sale of loans made with CDBG funds;
(vii) Proceeds from the sale of obligations secured by loans made
with CDBG funds;
(viii) Interest earned on program income pending disposition of the
income, but excluding interest earned on funds held in a revolving fund
account;
(ix) Funds collected through special assessments made against
properties owned and occupied by households not of low and moderate
income, where the special assessments are used to recover all or part
of the CDBG portion of a public improvement; and
(x) Gross income paid to a state, tribe, or a unit of general local
government or subrecipient from the ownership interest in a for-profit
entity acquired in return for the provision of CDBG assistance.
(2) ``Program income'' does not include the following:
(i) The total amount of funds which is less than $25,000 received
in a single year that is retained by a unit of general local
government, tribe, or subrecipient;
(ii) Amounts generated by activities eligible under section
105(a)(15) of the 1974 Act and carried out by an entity under the
authority of section 105(a)(15) of the Act.
(3) The state may permit the unit of general local government or
tribe that receives or will receive program income to retain the
program income, subject to the requirements of paragraph (a)(3)(ii) of
this section, or the state may require the unit of general local
government or tribe to pay the program income to the state.
(i) Program income paid to the state. Program income that is paid
to the state or received by the state is treated as additional disaster
recovery CDBG funds subject to the requirements of this notice and must
be used by the state or distributed to units of general local
government in accordance with the state's Action Plan for Disaster
Recovery. To the maximum extent feasible, program income shall be used
or distributed before the state makes additional withdrawals from the
United States Treasury, except as provided in paragraph (b) of this
section.
(ii) Program income retained by a unit of general local government
or tribe.
(A) Program income that is received and retained by the unit of
general local government or tribe before closeout of the grant that
generated the program income is treated as additional disaster recovery
CDBG funds and is subject to the requirements of this notice.
(B) Program income that is received and retained by the unit of
general local government or tribe after closeout of the grant that
generated the program income, but that is used to continue the disaster
recovery activity that generated the program income, is subject to the
waivers and alternative requirements of this notice.
(C) All other program income is subject to the requirements of 42
U.S.C. 5304(j) and subpart I of 24 CFR part 570.
(D) The state shall require units of general local government or
tribes, to the maximum extent feasible, to disburse program income that
is subject to the requirements of this notice before requesting
additional funds from the state for activities, except as provided in
paragraph (b) of this section.
(b) Revolving funds.
(1) The state may establish or permit units of general local
government or
[[Page 58615]]
tribes to establish revolving funds to carry out specific, identified
activities. A revolving fund, for this purpose, is a separate fund
(with a set of accounts that are independent of other program accounts)
established to carry out specific activities which, in turn, generate
payments to the fund for use in carrying out such activities. These
payments to the revolving fund are program income and must be
substantially disbursed from the revolving fund before additional grant
funds are drawn from the United States Treasury for revolving fund
activities. Such program income is not required to be disbursed for
nonrevolving fund activities.
(2) The state may also establish a revolving fund to distribute
funds to units of general local government or tribes to carry out
specific, identified activities. A revolving fund, for this purpose, is
a separate fund (with a set of accounts that are independent of other
program accounts) established to fund grants to units of general local
government to carry out specific activities which, in turn, generate
payments to the fund for additional grants to units of general local
government to carry out such activities. Program income in the
revolving fund must be disbursed from the fund before additional grant
funds are drawn from the Treasury for payments to units of general
local government which could be funded from the revolving fund.
(3) A revolving fund established by either the state or unit of
general local government shall not be directly funded or capitalized
with grant funds.
(c) Transfer of program income. Notwithstanding other provisions of
this notice, the state may transfer program income before closeout of
the grant that generated the program income to its own annual CDBG
program or to any annual CDBG-funded activities administered by a unit
of general local government or Indian tribe within the state.
(d) Program income on hand at the state or its subrecipients at the
time of grant closeout by HUD and program income received by the state
after such grant closeout shall be program income to the most recent
annual CDBG program grant of the state.
2. Housing-related eligibility waivers. 42 U.S.C. 5305(a) is waived
to the extent necessary to allow down payment assistance for up to 100
percent of the downpayment (42 U.S.C. 5305(a)(24)(D)) and to allow new
housing construction.
3. Planning requirements. For CDBG disaster recovery assisted
planning activities that will guide recovery in accordance with the
2006 Act, the state CDBG program rules at 24 CFR 570.483(b)(5) and
(c)(3) are waived and the presumption at 24 CFR 570.208(d)(4) applies.
4. Waiver and modification of the anti-pirating clause to permit
assistance to help a business return. 42 U.S.C 5305(h) and 24 CFR
570.482 are hereby waived only to allow the grantee to provide
assistance under this grant to any business that was operating in the
covered disaster area before the incident date of Hurricane Katrina and
has since moved, in whole or in part, from the affected area to another
state or to a labor market area within the same state to continue
business.
5. Waiver of one-for-one replacement of units damaged by disaster.
42 U.S.C. 5301(d)(2) and (d)(3) are waived to remove the one-for-one
replacement requirements for occupied and vacant, occupiable lower-
income dwelling units that may be demolished or converted to a use
other than for housing; and to remove the relocation benefits
requirements contained at 42 U.S.C. 5304(d) to the extent they differ
from those of the Uniform Relocation Act. Also, 24 CFR 42.375 is waived
to remove the requirements implementing the above-mentioned statutory
requirements regarding replacement of housing and 24 CFR 42.350, to the
extent that these regulations differ from the regulations contained in
49 CFR part 24. These requirements are waived provided the grantee
assures HUD it will use all resources at its disposal to ensure no
displaced homeowner will be denied access to decent, safe, and sanitary
suitable replacement housing because he or she has not received
sufficient financial assistance.
6. Waiver of requirement for timely distribution of funds. 24 CFR
570.494 regarding timely distribution of funds is waived.
Notes on Applicable Statutory Requirements
7. Notes on flood buyouts:
a. Payment of pre-flood values for buyouts. HUD disaster recovery
entitlement communities, state grant recipients, and Indian tribes have
the discretion to pay pre-flood or post-flood values for the
acquisition of properties located in a flood way or floodplain. In
using CDBG disaster recovery funds for such acquisitions, the grantee
must uniformly apply whichever valuation method it chooses.
b. Ownership and maintenance of acquired property. Any property
acquired with disaster recovery grants funds being used to match
Federal Emergency Management Agency (FEMA) Section 404 Hazard
Mitigation Grant Program funds is subject to section 404(b)(2) of the
Robert T. Stafford Disaster Relief and Emergency Assistance Act, as
amended, which requires that such property be dedicated and maintained
in perpetuity for a use that is compatible with open space,
recreational, or wetlands management practices. In addition, with minor
exceptions, no new structure may be erected on the property and no
subsequent application for federal disaster assistance may be made for
any purpose. The acquiring entity may want to lease such property to
adjacent property owners or other parties for compatible uses in return
for a maintenance agreement. Although federal policy encourages leasing
rather than selling such property, the property may be sold. In all
cases, a deed restriction or covenant running with the land must
require that the property be dedicated and maintained for compatible
uses, in perpetuity.
c. Future federal assistance to owners remaining in floodplain.
(1) Section 582 of the National Flood Insurance Reform Act of 1994,
as amended, (42 U.S.C. 5154(a)) prohibits flood disaster assistance in
certain circumstances. In general, it provides that no federal disaster
relief assistance made available in a flood disaster area may be used
to make payment (including any loan assistance payment) to a person for
repair, replacement, or restoration of damage to any personal,
residential, or commercial property, if that person at any time has
received flood disaster assistance that was conditional on the person
first having obtained flood insurance under applicable federal law and
the person has subsequently failed to obtain and maintain flood
insurance as required under applicable federal law on such property.
(Section 582 is self-implementing without regulations.) This means that
a grantee may not provide disaster assistance for the above-mentioned
repair, replacement, or restoration to a person who has failed to meet
this requirement.
(2) Section 582 also implies a responsibility for a grantee that
receives CDBG disaster recovery funds or that, under 42 U.S.C. 5321,
designates annually appropriated CDBG funds for disaster recovery. That
responsibility is to inform property owners receiving disaster
assistance that triggers the flood insurance purchase requirement that
they have a statutory responsibility to notify any transferee of the
requirement to obtain and maintain flood insurance, and that the
transferring owner may be liable if he or she fails to do so. These
requirements are described below.
[[Page 58616]]
(3) Duty to notify. In the event of the transfer of any property
described in paragraph (4)(iv) below, the transferor shall, not later
than the date on which such transfer occurs, notify the transferee in
writing of the requirements to:
(i) Obtain flood insurance in accordance with applicable federal
law with respect to such property, if the property is not so insured as
of the date on which the property is transferred; and
(ii) Maintain flood insurance in accordance with applicable federal
law with respect to such property.
(iii) Such written notification shall be contained in documents
evidencing the transfer of ownership of the property.
(4) Failure to notify. If a transferor fails to provide notice as
described above and, subsequent to the transfer of the property:
(i) The transferee fails to obtain or maintain flood insurance, in
accordance with applicable federal law, with respect to the property;
(ii) The property is damaged by a flood disaster; and
(iii) Federal disaster relief assistance is provided for the
repair, replacement, or restoration of the property as a result of such
damage, the transferor shall be required to reimburse the federal
government in an amount equal to the amount of the federal disaster
relief assistance provided with respect to the property.
(iv) The notification requirements apply to personal, commercial,
or residential property for which federal disaster relief assistance
made available in a flood disaster area has been provided, prior to the
date on which the property is transferred, for repair, replacement, or
restoration of the property, if such assistance was conditioned upon
obtaining flood insurance in accordance with applicable federal law
with respect to such property.
(v) The term ``Federal disaster relief assistance'' applies to HUD
or other federal assistance for disaster relief in ``flood disaster
areas.'' The term ``flood disaster area'' is defined in section
582(d)(2) to include an area receiving a presidential declaration of a
major disaster or emergency as a result of flood conditions.
8. Non-Federal Cost Sharing of Army Corps of Engineers Projects.
Public Law 105-276, Title II, Oct. 21, 1998, 112 Stat. 2478, provided
in part that: ``For any fiscal year, of the amounts made available as
emergency funds under the heading `Community Development Block Grants
Fund' and notwithstanding any other provision of law, not more than
$250,000 may be used for the non-Federal cost-share of any project
funded by the Secretary of the Army through the Corps of Engineers.''
Finding of No Significant Impact
A Finding of No Significant Impact 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). The Finding of No Significant Impact is
available for public inspection between 8 a.m. and 5 p.m. weekdays in
the Office of the Rules Docket Clerk, Office of General Counsel,
Department of Housing and Urban Development, 451 Seventh Street, SW.,
Room 10276, Washington, DC 20410-0500.
Dated: September 26, 2008.
Roy A. Bernardi,
Deputy Secretary.
[FR Doc. E8-23664 Filed 10-6-08; 8:45 am]
BILLING CODE 4210-67-P
