Matching Requirement in McKinney-Vento Act Programs, 75324-75326 [E8-29304]

Download as PDF 75324 Federal Register / Vol. 73, No. 239 / Thursday, December 11, 2008 / Rules and Regulations place add ‘‘Nos. 000009 and 021641’’ and in the ‘‘Sponsor’’ column add ‘‘021641’’; and remove and reserve paragraph (e)(2)(xi). Dated: December 3, 2008. Bernadette Dunham, Director, Center for Veterinary Medicine. [FR Doc. E8–29177 Filed 12–11–08; 8:45 am] BILLING CODE 4160–01–S DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 24 CFR Parts 576, 582, 583 [Docket No. FR–5247–F–01] RIN 2506–AC24 Matching Requirement in McKinneyVento Act Programs AGENCY: Office of the Assistant Secretary for Community Planning and Development, HUD. ACTION: Final rule. SUMMARY: The McKinney-Vento Homeless Assistance Act is the primary federal statute that addresses the issues of homelessness in the United States. Three grant programs administered by HUD under this statute (the Supportive Housing program, the Shelter Plus Care program, and the Emergency Shelter Grants program) each impose a matching requirement for a grant awarded by HUD under the program. This rule codifies, in the regulations governing these programs, the scope of the match requirement, and the responsibility of the recipient of the grant to ensure that the funds that the recipient uses to satisfy HUD’s match requirements are not prohibited to be used for this purpose under any statute that may govern the matching funds. The scope of the match and the responsibility to ensure that a match is a permissible match is not a new interpretation, or new responsibility, respectively. HUD has determined, however, that codification in regulation benefits grantees, especially new recipients, since codified regulations present an easy locatable source for permanent program policies and requirements. Effective Date: January 12, 2009. Ann Marie Oliva, Director, Office of Special Needs Assistance Programs, Office of Community Development, Department of Housing and Urban Development, 451 Seventh Street, SW., Room 7262, Washington, DC 20410–7000, telephone number 202–708–4300 (this is not a tollfree number). Persons with hearing or DATES: jlentini on PROD1PC65 with RULES FOR FURTHER INFORMATION CONTACT: VerDate Aug<31>2005 16:21 Dec 10, 2008 Jkt 217001 speech impairments may access this number through TTY by calling the tollfree Federal Information Relay Service at 1–800–877–8339. SUPPLEMENTARY INFORMATION: I. Background The McKinney-Vento Homeless Assistance Act (42 U.S.C. 11381–11389) (McKinney-Vento Act), first enacted in 1987, was the first major, coordinated federal legislative response to homelessness. The McKinney-Vento Act authorizes funds for several federal homeless assistance programs, including four administered by HUD: Emergency Shelter Grants (ESG), Section 8 Moderate Rehabilitation for Single Room Occupancy Dwellings for Homeless Individuals (SRO), Shelter Plus Care (S+C), and the Supportive Housing Program (SHP). Under these programs, HUD awards grants for the purposes of providing housing and services to homeless persons. For three of the four programs (ESG, S+C, and SHP), the McKinney-Vento Act imposes a requirement to match certain amounts provided through the McKinney-Vento grants with an equal amount of funds. For the ESG and S+C programs, the match requirement addressed by this final rule applies to all grant funds, while under SHP, the match requirement addressed by this final rule applies only to grant funds provided for acquisition, rehabilitation, and construction. Each of these matching requirements mandates that the funds may come from any source other than the statutory source (that is, the subtitle) authorizing each program. The applicable statutory match provisions for each of these programs state that each recipient that is provided a grant under the applicable McKinneyVento Act subtitle (that authorizes funds for ESG, S+C, or SHP) shall be required to supplement the assistance provided under this subtitle with an amount of funds from sources ‘‘other than this subtitle.’’ The applicable statutory provisions for ESG, SHP, and S+C are codified at 42 U.S.C. 11375(a)(1), 42 U.S.C. 11386(e), and 42 U.S.C. 11403b(a)(1), respectively. This final rule does not apply to resources that a recipient or grantee is required to provide in accordance with other provisions, such as annual appropriations act provisions regarding supportive services, Notice of Funding Availability provisions regarding homeless management information systems, and statutory and regulatory provisions regarding portions of operating costs and other costs not funded by HUD. PO 00000 Frm 00020 Fmt 4700 Sfmt 4700 Although the statutory language does not explicitly state that funds may come from federal sources, HUD’s longstanding interpretation has been that by excluding as an eligible match only those funds authorized for the specific program (that is, an S+C grant cannot be used as a match for another S+C grant), ‘‘sources other than this subtitle’’ has meant any other source, including federal sources, and HUD has accepted other federal funds as a match. HUD’s longstanding interpretation was recently confirmed in the Conference Report (House Committee on Appropriations on H.R. 2764, Public Law 110–161, Books 1 and 2) accompanying the Consolidated Appropriations Act, 2008 (Pub. L. 110– 161, approved December 26, 2007). The House Committee on Appropriations stated as follows: Further, the Committees on Appropriations note the broad statutory authority of the McKinney-Vento Homeless Assistance Act concerning the use of matching funds from any source other than the specific subtitle from which funds are awarded. The purpose of this broad statutory authority is to ensure the coordinated effort to address the needs of the homeless, which is central to the goal to end homelessness. Homeless housing programs within a community are most effective when a recipient can augment grant amounts with funds from any source, including Federal, State, local and private sources. Any funds, including Federal funds, are and have been eligible to be used as matching funds unless such funds are statutorily prohibited to be used as a match. (See Book 2 at page 2447) The applicable McKinney-Vento provisions require the recipient to assure compliance with the match requirement. The ESG and S+C programs further require the recipients of funds under these programs to certify compliance with the match requirement, which includes describing the amount of the funds and the source of the funds. (See 42 U.S.C. 11375(a)(1) and 42 U.S.C. 11403b(a)(1).) II. This Final Rule Because questions about the scope of the matching requirement arise from time to time, HUD has determined to amend the regulations for the three programs to codify the broad scope of sources from which funds may be used to meet the matching requirement. Additionally, HUD is codifying that, in accordance with the applicable McKinney-Vento statutory provisions, it is the recipient’s responsibility to ensure that the matching funds are eligible to be used to satisfy HUD’s match requirements. E:\FR\FM\11DER1.SGM 11DER1 Federal Register / Vol. 73, No. 239 / Thursday, December 11, 2008 / Rules and Regulations III. Findings and Certifications Environmental Impact This final rule does not direct, provide for assistance or loan and mortgage insurance for, or otherwise govern or regulate real property acquisition, disposition, leasing, rehabilitation, alteration, demolition, or new construction; or establish, revise, or provide for standards for construction or construction materials, manufactured housing, or occupancy. Accordingly, under 24 CFR 50.19(c)(1), this rule is categorically excluded from environmental review under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.). Regulatory Flexibility Act The Regulatory Flexibility Act (RFA) (5 U.S.C. 601 et seq.) generally requires an agency to conduct a regulatory flexibility analysis of any rule subject to notice and comment rulemaking requirements, unless the agency certifies that the rule will not have a significant economic impact on a substantial number of small entities. This rule is issued as a final rule because it is simply conforming program regulations to certain statutory requirements. No discretion or interpretation is being exercised in the codification of these requirements. Therefore, this rule would not have a significant impact on entities. Accordingly, the undersigned certifies that this rule will not have a significant economic impact on a substantial number of small entities. jlentini on PROD1PC65 with RULES Executive Order 13132, Federalism Executive Order 13132 (entitled ‘‘Federalism’’) prohibits an agency from publishing any rule that has federalism implications if the rule either imposes substantial direct compliance costs on state and local governments and is not required by statute, or the rule preempts state law, unless the agency meets the consultation and funding requirements of section 6 of the Executive Order. This rule would not have federalism implications and would not impose substantial direct compliance costs on state and local governments or preempt state law within the meaning of the Executive Order. Unfunded Mandates Reform Act Title II of the Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1531– 1538) (UMRA) establishes requirements for federal agencies to assess the effects of their regulatory actions on state, local, and tribal governments, and on the private sector. This final rule will not impose any federal mandates on any state, local, or tribal governments, or on VerDate Aug<31>2005 16:21 Dec 10, 2008 Jkt 217001 the private sector, within the meaning of UMRA. Catalog of Federal Domestic Assistance The Catalog of Federal Domestic Assistance (CFDA) program numbers are 14.231, 14.235, and 14.238. List of Subjects 24 CFR Part 576 Community facilities, Emergency shelter grants, Grant programs—housing and community development, Grant program—social programs, Homeless, Reporting and recordkeeping requirements. Civil rights, Community facilities, Grant programs—housing and community development, Grant programs—social programs, Homeless, Individuals with disabilities, Mental health programs, Nonprofit organizations, Rent subsidies, Reporting and recordkeeping requirements. 24 CFR Part 583 Homeless, Leasing, Reporting and recordkeeping requirements. ■ Accordingly, for the reasons stated above, HUD amends 24 CFR parts 576, 582, and 583 as follows: PART 576—EMERGENCY SHELTER GRANTS PROGRAM: STEWART B. McKINNEY HOMELESS ASSISTANCE ACT 1. The authority citation for 24 CFR part 576 continues to read as follows: ■ Authority: 42 U.S.C. 3535(d) and 11376. 2. In § 576.51, paragraph (a) is revised to read as follows: ■ Matching funds. (a) General. (1) Each grantee, other than a territory, must match the funding provided by HUD under this part as set forth in 42 U.S.C. 11375. This statute provides that a grantee may use funds from any source, including any other federal source (but excluding the specific statutory subtitle from which ESG funds are provided), as well as State, local, and private sources, provided that funds from the other source are not statutorily prohibited to be used as a match. (2) The first $100,000 of any assistance provided to a recipient that is a State is not required to be matched, but the benefit of the unmatched amount must be shared as provided in 42 U.S.C. 11375(c)(4). Matching funds must be provided after the date of the grant award to the grantee. Funds used to match a previous ESG grant may not PO 00000 Frm 00021 Fmt 4700 be used to match a subsequent grant award under this part. A grantee may comply with this requirement by providing the matching funds itself, or through matching funds or voluntary efforts provided by any State recipient or nonprofit recipient (as appropriate). (3) It is the responsibility of the grantee to ensure that any funds used as matching funds are eligible under the laws governing the funds to be used as matching funds for a grant awarded under this program. * * * * * PART 582—SHELTER PLUS CARE 3. The authority citation for 24 CFR part 582 continues to read as follows: ■ 24 CFR Part 582 § 576.51 75325 Sfmt 4700 Authority: 42 U.S.C. 3535(d) and 11403– 11470b. 4. In § 582.110, paragraph (a) is revised to read as follows: ■ § 582.110 Matching requirements. (a) Matching rental assistance with supportive services. (1) To qualify for rental assistance grants, an applicant must certify that it will provide or ensure the provision of supportive services, including funding the services itself if the planned resources do not become available for any reason, appropriate to the needs of the population being served, and at least equal in value to the aggregate amount of rental assistance funded by HUD. The supportive services may be newly created for the program or already in operation, and may be provided or funded by other Federal, State, local, or private programs in accordance with 42 U.S.C. 11403b. This statute provides that a recipient may use funds from any source, including any other Federal source (but excluding the specific statutory subtitle from which S+C funds are provided), as well as State, local, and private sources, provided that funds from the other source are not statutorily prohibited to be used as a match. (2) Only services that are provided after the execution of the grant agreement may count toward the match. (3) It is the responsibility of the recipient to ensure that any funds or services used to satisfy the matching requirements of this section are eligible under the laws governing the funds or services to be used as matching funds or services for a grant awarded under this program. * * * * * PART 583—SUPPORTIVE HOUSING PROGRAM 5. The authority citation for 24 CFR part 583 continues to read as follows: ■ E:\FR\FM\11DER1.SGM 11DER1 75326 Federal Register / Vol. 73, No. 239 / Thursday, December 11, 2008 / Rules and Regulations Authority: 42 U.S.C. 11389 and 3535(d). 6. In § 583.145, paragraph (b) is revised to read as follows ■ § 583.145 Matching requirements. * * * * * (b) Cash resources. The matching funds must be cash resources provided to the project by one or more of the following: the recipient, the Federal government, State and local governments, and private resources, in accordance with 42 U.S.C. 11386. This statute provides that a recipient may use funds from any source, including any other Federal source (but excluding the specific statutory subtitle from which Supportive Housing Program funds are provided), as well as State, local, and private sources, provided that funds from the other source are not statutorily prohibited to be used as a match. It is the responsibility of the recipient to ensure that any funds used to satisfy the matching requirements of this section are eligible under the laws governing the funds to be used as matching funds for a grant awarded under this program. * * * * * certain lenders who are currently required to file information returns under the existing regulations. DATES: Effective Date: This correction is effective December 11, 2008, and is applicable on November 10, 2008. FOR FURTHER INFORMATION CONTACT: Barbara Pettoni, (202) 622–4910 (not a toll-free number). SUPPLEMENTARY INFORMATION: Background The final and temporary regulations that are the subject of this document are under section 6050P of the Internal Revenue Code. DATES: Effective Date: This correction is effective December 11, 2008, and is applicable on November 10, 2008. FOR FURTHER INFORMATION CONTACT: Barbara Pettoni, (202) 622–4910 (not a toll-free number). SUPPLEMENTARY INFORMATION: BILLING CODE 4210–67–P DEPARTMENT OF THE TREASURY Internal Revenue Service Need for Correction As published, final and temporary regulations (TD 9430) contains an error that may prove to be misleading and is in need of clarification. Background Correction of Publication Accordingly, the publication of the final and temporary regulations (TD 9430), which was the subject of FR Doc. E8–26676, is corrected as follows: On page 66540, column 1, in the preamble, under the paragraph heading ‘‘Reasons for Change’’, first paragraph of the column, line 14, the language ‘‘Treasury Department and IRS is’’ is corrected to read ‘‘Treasury Department and IRS are’’. Need for Correction LaNita Van Dyke, Chief, Publications and Regulations Branch, Legal Processing Division, Associate Chief Counsel (Procedure and Administration). [FR Doc. E8–29273 Filed 12–10–08; 8:45 am] Dated: November 21, 2008. Susan D. Peppler, Assistant Secretary for Community Planning and Development. [FR Doc. E8–29304 Filed 12–10–08; 8:45 am] ■ The final and temporary regulations that are the subject of this document are under section 6050P of the Internal Revenue Code. As published, final and temporary regulations (TD 9430) contains an error that may prove to be misleading and is in need of clarification. List of Subjects in 26 CFR Part 1 Income taxes, Reporting and recordkeeping requirements. Correction of Publication Accordingly, 26 CFR part 1 is corrected by making the following correcting amendment: PART 1—INCOME TAXES BILLING CODE 4830–01–P Paragraph 1. The authority citation for part 1 continues to read, in part, as follows: ■ 26 CFR Part 1 [TD 9430] DEPARTMENT OF THE TREASURY RIN 1545–BH99 Internal Revenue Service Information Reporting for Discharges of Indebtedness; Correction 26 CFR Part 1 Internal Revenue Service (IRS), Treasury. ACTION: Correction to final and temporary regulations. AGENCY: jlentini on PROD1PC65 with RULES businesses that are currently required to report and will reduce the number of information returns required to be filed. The temporary regulations will impact certain lenders who are currently required to file information returns under the existing regulations. SUMMARY: This document contains a correction to final and temporary regulations (TD 9430) that were published in the Federal Register on Monday, November 10, 2008 (73 FR 66539) relating to information returns for cancellation of indebtedness by certain entities. The temporary regulations will avoid premature information reporting from certain businesses that are currently required to report and will reduce the number of information returns required to be filed. The temporary regulations will impact VerDate Aug<31>2005 16:21 Dec 10, 2008 Jkt 217001 Authority: 26 U.S.C. 7805 * * * Par. 2. Section 1.6050P–1T is amended by revising an entry for (a) through (b)(2)(i)(G) [Reserved] as follows: ■ [TD 9430] RIN 1545–BH99 Information Reporting for Discharges of Indebtedness; Correction AGENCY: Internal Revenue Service (IRS), Treasury. ACTION: Correcting amendment. SUMMARY: This document contains a correction to final and temporary regulations (TD 9430) that were published in the Federal Register on Monday, November 10, 2008 (73 FR 66539) relating to information returns for cancellation of indebtedness by certain entities. The temporary regulations will avoid premature information reporting from certain PO 00000 Frm 00022 Fmt 4700 Sfmt 4700 § 1.6050P–1T Information reporting for discharges of indebtedness by certain entities (temporary). (a) Through (b)(2)(i)(G) [Reserved]. For further guidance, see § 1.6050P–1(a) through (b)(2)(i)(G). * * * * * LaNita Van Dyke, Chief, Publications and Regulations Branch, Legal Processing Division, Associate Chief Counsel (Procedure and Administration). [FR Doc. E8–29276 Filed 12–10–08; 8:45 am] BILLING CODE 4830–01–P E:\FR\FM\11DER1.SGM 11DER1

Agencies

[Federal Register Volume 73, Number 239 (Thursday, December 11, 2008)]
[Rules and Regulations]
[Pages 75324-75326]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-29304]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

24 CFR Parts 576, 582, 583

[Docket No. FR-5247-F-01]
RIN 2506-AC24


Matching Requirement in McKinney-Vento Act Programs

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

ACTION: Final rule.

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

SUMMARY: The McKinney-Vento Homeless Assistance Act is the primary 
federal statute that addresses the issues of homelessness in the United 
States. Three grant programs administered by HUD under this statute 
(the Supportive Housing program, the Shelter Plus Care program, and the 
Emergency Shelter Grants program) each impose a matching requirement 
for a grant awarded by HUD under the program. This rule codifies, in 
the regulations governing these programs, the scope of the match 
requirement, and the responsibility of the recipient of the grant to 
ensure that the funds that the recipient uses to satisfy HUD's match 
requirements are not prohibited to be used for this purpose under any 
statute that may govern the matching funds. The scope of the match and 
the responsibility to ensure that a match is a permissible match is not 
a new interpretation, or new responsibility, respectively. HUD has 
determined, however, that codification in regulation benefits grantees, 
especially new recipients, since codified regulations present an easy 
locatable source for permanent program policies and requirements.

DATES: Effective Date: January 12, 2009.

FOR FURTHER INFORMATION CONTACT: Ann Marie Oliva, Director, Office of 
Special Needs Assistance Programs, Office of Community Development, 
Department of Housing and Urban Development, 451 Seventh Street, SW., 
Room 7262, Washington, DC 20410-7000, telephone number 202-708-4300 
(this is not a toll-free number). Persons with hearing or speech 
impairments may access this number through TTY by calling the toll-free 
Federal Information Relay Service at 1-800-877-8339.

SUPPLEMENTARY INFORMATION:

I. Background

    The McKinney-Vento Homeless Assistance Act (42 U.S.C. 11381-11389) 
(McKinney-Vento Act), first enacted in 1987, was the first major, 
coordinated federal legislative response to homelessness. The McKinney-
Vento Act authorizes funds for several federal homeless assistance 
programs, including four administered by HUD: Emergency Shelter Grants 
(ESG), Section 8 Moderate Rehabilitation for Single Room Occupancy 
Dwellings for Homeless Individuals (SRO), Shelter Plus Care (S+C), and 
the Supportive Housing Program (SHP). Under these programs, HUD awards 
grants for the purposes of providing housing and services to homeless 
persons.
    For three of the four programs (ESG, S+C, and SHP), the McKinney-
Vento Act imposes a requirement to match certain amounts provided 
through the McKinney-Vento grants with an equal amount of funds. For 
the ESG and S+C programs, the match requirement addressed by this final 
rule applies to all grant funds, while under SHP, the match requirement 
addressed by this final rule applies only to grant funds provided for 
acquisition, rehabilitation, and construction. Each of these matching 
requirements mandates that the funds may come from any source other 
than the statutory source (that is, the subtitle) authorizing each 
program. The applicable statutory match provisions for each of these 
programs state that each recipient that is provided a grant under the 
applicable McKinney-Vento Act subtitle (that authorizes funds for ESG, 
S+C, or SHP) shall be required to supplement the assistance provided 
under this subtitle with an amount of funds from sources ``other than 
this subtitle.'' The applicable statutory provisions for ESG, SHP, and 
S+C are codified at 42 U.S.C. 11375(a)(1), 42 U.S.C. 11386(e), and 42 
U.S.C. 11403b(a)(1), respectively. This final rule does not apply to 
resources that a recipient or grantee is required to provide in 
accordance with other provisions, such as annual appropriations act 
provisions regarding supportive services, Notice of Funding 
Availability provisions regarding homeless management information 
systems, and statutory and regulatory provisions regarding portions of 
operating costs and other costs not funded by HUD.
    Although the statutory language does not explicitly state that 
funds may come from federal sources, HUD's longstanding interpretation 
has been that by excluding as an eligible match only those funds 
authorized for the specific program (that is, an S+C grant cannot be 
used as a match for another S+C grant), ``sources other than this 
subtitle'' has meant any other source, including federal sources, and 
HUD has accepted other federal funds as a match. HUD's longstanding 
interpretation was recently confirmed in the Conference Report (House 
Committee on Appropriations on H.R. 2764, Public Law 110-161, Books 1 
and 2) accompanying the Consolidated Appropriations Act, 2008 (Pub. L. 
110-161, approved December 26, 2007). The House Committee on 
Appropriations stated as follows:

    Further, the Committees on Appropriations note the broad 
statutory authority of the McKinney-Vento Homeless Assistance Act 
concerning the use of matching funds from any source other than the 
specific subtitle from which funds are awarded. The purpose of this 
broad statutory authority is to ensure the coordinated effort to 
address the needs of the homeless, which is central to the goal to 
end homelessness. Homeless housing programs within a community are 
most effective when a recipient can augment grant amounts with funds 
from any source, including Federal, State, local and private 
sources. Any funds, including Federal funds, are and have been 
eligible to be used as matching funds unless such funds are 
statutorily prohibited to be used as a match. (See Book 2 at page 
2447)

    The applicable McKinney-Vento provisions require the recipient to 
assure compliance with the match requirement. The ESG and S+C programs 
further require the recipients of funds under these programs to certify 
compliance with the match requirement, which includes describing the 
amount of the funds and the source of the funds. (See 42 U.S.C. 
11375(a)(1) and 42 U.S.C. 11403b(a)(1).)

II. This Final Rule

    Because questions about the scope of the matching requirement arise 
from time to time, HUD has determined to amend the regulations for the 
three programs to codify the broad scope of sources from which funds 
may be used to meet the matching requirement. Additionally, HUD is 
codifying that, in accordance with the applicable McKinney-Vento 
statutory provisions, it is the recipient's responsibility to ensure 
that the matching funds are eligible to be used to satisfy HUD's match 
requirements.

[[Page 75325]]

III. Findings and Certifications

Environmental Impact

    This final rule does not direct, provide for assistance or loan and 
mortgage insurance for, or otherwise govern or regulate real property 
acquisition, disposition, leasing, rehabilitation, alteration, 
demolition, or new construction; or establish, revise, or provide for 
standards for construction or construction materials, manufactured 
housing, or occupancy. Accordingly, under 24 CFR 50.19(c)(1), this rule 
is categorically excluded from environmental review under the National 
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).

Regulatory Flexibility Act

    The Regulatory Flexibility Act (RFA) (5 U.S.C. 601 et seq.) 
generally requires an agency to conduct a regulatory flexibility 
analysis of any rule subject to notice and comment rulemaking 
requirements, unless the agency certifies that the rule will not have a 
significant economic impact on a substantial number of small entities. 
This rule is issued as a final rule because it is simply conforming 
program regulations to certain statutory requirements. No discretion or 
interpretation is being exercised in the codification of these 
requirements. Therefore, this rule would not have a significant impact 
on entities. Accordingly, the undersigned certifies that this rule will 
not have a significant economic impact on a substantial number of small 
entities.

Executive Order 13132, Federalism

    Executive Order 13132 (entitled ``Federalism'') prohibits an agency 
from publishing any rule that has federalism implications if the rule 
either imposes substantial direct compliance costs on state and local 
governments and is not required by statute, or the rule preempts state 
law, unless the agency meets the consultation and funding requirements 
of section 6 of the Executive Order. This rule would not have 
federalism implications and would not impose substantial direct 
compliance costs on state and local governments or preempt state law 
within the meaning of the Executive Order.

Unfunded Mandates Reform Act

    Title II of the Unfunded Mandates Reform Act of 1995 (2 U.S.C. 
1531-1538) (UMRA) establishes requirements for federal agencies to 
assess the effects of their regulatory actions on state, local, and 
tribal governments, and on the private sector. This final rule will not 
impose any federal mandates on any state, local, or tribal governments, 
or on the private sector, within the meaning of UMRA.

Catalog of Federal Domestic Assistance

    The Catalog of Federal Domestic Assistance (CFDA) program numbers 
are 14.231, 14.235, and 14.238.

List of Subjects

24 CFR Part 576

    Community facilities, Emergency shelter grants, Grant programs--
housing and community development, Grant program--social programs, 
Homeless, Reporting and recordkeeping requirements.

24 CFR Part 582

    Civil rights, Community facilities, Grant programs--housing and 
community development, Grant programs--social programs, Homeless, 
Individuals with disabilities, Mental health programs, Nonprofit 
organizations, Rent subsidies, Reporting and recordkeeping 
requirements.

24 CFR Part 583

    Homeless, Leasing, Reporting and recordkeeping requirements.

0
Accordingly, for the reasons stated above, HUD amends 24 CFR parts 576, 
582, and 583 as follows:

PART 576--EMERGENCY SHELTER GRANTS PROGRAM: STEWART B. McKINNEY 
HOMELESS ASSISTANCE ACT

0
1. The authority citation for 24 CFR part 576 continues to read as 
follows:

    Authority: 42 U.S.C. 3535(d) and 11376.


0
2. In Sec.  576.51, paragraph (a) is revised to read as follows:


Sec.  576.51  Matching funds.

    (a) General. (1) Each grantee, other than a territory, must match 
the funding provided by HUD under this part as set forth in 42 U.S.C. 
11375. This statute provides that a grantee may use funds from any 
source, including any other federal source (but excluding the specific 
statutory subtitle from which ESG funds are provided), as well as 
State, local, and private sources, provided that funds from the other 
source are not statutorily prohibited to be used as a match.
    (2) The first $100,000 of any assistance provided to a recipient 
that is a State is not required to be matched, but the benefit of the 
unmatched amount must be shared as provided in 42 U.S.C. 11375(c)(4). 
Matching funds must be provided after the date of the grant award to 
the grantee. Funds used to match a previous ESG grant may not be used 
to match a subsequent grant award under this part. A grantee may comply 
with this requirement by providing the matching funds itself, or 
through matching funds or voluntary efforts provided by any State 
recipient or nonprofit recipient (as appropriate).
    (3) It is the responsibility of the grantee to ensure that any 
funds used as matching funds are eligible under the laws governing the 
funds to be used as matching funds for a grant awarded under this 
program.
* * * * *

PART 582--SHELTER PLUS CARE

0
3. The authority citation for 24 CFR part 582 continues to read as 
follows:

    Authority: 42 U.S.C. 3535(d) and 11403-11470b.


0
4. In Sec.  582.110, paragraph (a) is revised to read as follows:


Sec.  582.110  Matching requirements.

    (a) Matching rental assistance with supportive services. (1) To 
qualify for rental assistance grants, an applicant must certify that it 
will provide or ensure the provision of supportive services, including 
funding the services itself if the planned resources do not become 
available for any reason, appropriate to the needs of the population 
being served, and at least equal in value to the aggregate amount of 
rental assistance funded by HUD. The supportive services may be newly 
created for the program or already in operation, and may be provided or 
funded by other Federal, State, local, or private programs in 
accordance with 42 U.S.C. 11403b. This statute provides that a 
recipient may use funds from any source, including any other Federal 
source (but excluding the specific statutory subtitle from which S+C 
funds are provided), as well as State, local, and private sources, 
provided that funds from the other source are not statutorily 
prohibited to be used as a match.
    (2) Only services that are provided after the execution of the 
grant agreement may count toward the match.
    (3) It is the responsibility of the recipient to ensure that any 
funds or services used to satisfy the matching requirements of this 
section are eligible under the laws governing the funds or services to 
be used as matching funds or services for a grant awarded under this 
program.
* * * * *

PART 583--SUPPORTIVE HOUSING PROGRAM

0
5. The authority citation for 24 CFR part 583 continues to read as 
follows:


[[Page 75326]]


    Authority: 42 U.S.C. 11389 and 3535(d).


0
6. In Sec.  583.145, paragraph (b) is revised to read as follows


Sec.  583.145  Matching requirements.

* * * * *
    (b) Cash resources. The matching funds must be cash resources 
provided to the project by one or more of the following: the recipient, 
the Federal government, State and local governments, and private 
resources, in accordance with 42 U.S.C. 11386. This statute provides 
that a recipient may use funds from any source, including any other 
Federal source (but excluding the specific statutory subtitle from 
which Supportive Housing Program funds are provided), as well as State, 
local, and private sources, provided that funds from the other source 
are not statutorily prohibited to be used as a match. It is the 
responsibility of the recipient to ensure that any funds used to 
satisfy the matching requirements of this section are eligible under 
the laws governing the funds to be used as matching funds for a grant 
awarded under this program.
* * * * *

    Dated: November 21, 2008.
Susan D. Peppler,
Assistant Secretary for Community Planning and Development.
[FR Doc. E8-29304 Filed 12-10-08; 8:45 am]
BILLING CODE 4210-67-P
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