Notice of Regulatory Waiver Requests Granted for the First Quarter of Calendar Year 2014, 29792-29797 [2014-12011]

Agencies

• DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Federal Register Volume 79, Number 100 (Friday, May 23, 2014)]
[Notices]
[Pages 29792-29797]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-12011]


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 DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-5789-N-01]


Notice of Regulatory Waiver Requests Granted for the First 
Quarter of Calendar Year 2014

AGENCY: Office of the General Counsel, HUD.

ACTION: Notice.

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SUMMARY: Section 106 of the Department of Housing and Urban Development 
Reform Act of 1989 (the HUD Reform Act) requires HUD to publish 
quarterly Federal Register notices of all regulatory waivers that HUD 
has approved. Each notice covers the quarterly period since the 
previous Federal Register notice. The purpose of this notice is to 
comply with the requirements of section 106 of the HUD Reform Act. This 
notice contains a list of regulatory waivers granted by HUD during the 
period beginning on January 1, 2014, and ending on March 31, 2014.

FOR FURTHER INFORMATION CONTACT: For general information about this 
notice, contact Camille E. Acevedo, Associate General Counsel for 
Legislation and Regulations, Department of Housing and Urban 
Development, 451 Seventh Street SW., Room 10282, Washington, DC 20410-
0500, telephone 202-708-1793 (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 Relay Service at 800-877-8339.
    For information concerning a particular waiver that was granted and 
for which public notice is provided in this document, contact the 
person whose name and address follow the description of the waiver 
granted in the accompanying list of waivers that have been granted in 
the first quarter of calendar year 2014.

SUPPLEMENTARY INFORMATION: Section 106 of the HUD Reform Act added a 
new section 7(q) to the Department of Housing and Urban Development Act 
(42 U.S.C. 3535(q)), which provides that:
    1. Any waiver of a regulation must be in writing and must specify 
the grounds for approving the waiver;
    2. Authority to approve a waiver of a regulation may be delegated 
by the Secretary only to an individual of Assistant Secretary or 
equivalent rank, and the person to whom authority to waive is delegated 
must also have authority to issue the particular regulation to be 
waived;
    3. Not less than quarterly, the Secretary must notify the public of 
all waivers of regulations that HUD has approved, by publishing a 
notice in the Federal Register. These notices (each covering the period 
since the most recent previous notification) shall:
    a. Identify the project, activity, or undertaking involved;
    b. Describe the nature of the provision waived and the designation 
of the provision;
    c. Indicate the name and title of the person who granted the waiver 
request;
    d. Describe briefly the grounds for approval of the request; and
    e. State how additional information about a particular waiver may 
be obtained.
    Section 106 of the HUD Reform Act also contains requirements 
applicable to waivers of HUD handbook provisions that are not relevant 
to the purpose of this notice.
    This notice follows procedures provided in HUD's Statement of 
Policy on Waiver of Regulations and Directives issued on April 22, 1991 
(56 FR 16337). In accordance with those procedures and with the 
requirements of section 106 of the HUD Reform Act, waivers of 
regulations are granted by the Assistant Secretary with jurisdiction 
over the regulations for which a waiver was requested. In those cases 
in which a General Deputy Assistant Secretary granted the waiver, the 
General Deputy Assistant Secretary was serving in the absence of the 
Assistant Secretary in accordance with the office's Order of 
Succession.
    This notice covers waivers of regulations granted by HUD from 
January 1, 2014 through March 31, 2014. For ease of reference, the 
waivers granted by HUD are listed by HUD program office (for example, 
the Office of Community Planning and Development, the Office of Fair 
Housing and Equal Opportunity, the Office of Housing, and the Office of 
Public and Indian Housing, etc.). Within each program office grouping, 
the waivers are listed sequentially by the regulatory section of title 
24 of the Code of Federal Regulations (CFR) that is being waived. For 
example, a waiver of a provision in 24 CFR part 58 would be listed 
before a waiver of a provision in 24 CFR part 570.
    Where more than one regulatory provision is involved in the grant 
of a particular waiver request, the action is listed under the section 
number of the first regulatory requirement that appears in 24 CFR and 
that is being waived. For example, a waiver of both Sec.  58.73 and 
Sec.  58.74 would appear sequentially in the listing under Sec.  58.73.
    Waiver of regulations that involve the same initial regulatory 
citation are in time sequence beginning with the earliest-dated 
regulatory waiver.
    Should HUD receive additional information about waivers granted 
during the period covered by this report (the first quarter of calendar 
year 2014) before the next report is published (the second quarter of 
calendar year 2014), HUD will include any additional waivers granted 
for the first quarter in the next report.
    Accordingly, information about approved waiver requests pertaining 
to HUD regulations is provided in the Appendix that follows this 
notice.

    Dated: May 19, 2014.
Damon Y. Smith,
Acting General Counsel.

Appendix

Listing of Waivers of Regulatory Requirements Granted by Offices of the 
Department of Housing and Urban Development January 1, 2014 through 
March 31, 2014

    Note to Reader: More information about the granting of these 
waivers, including a copy of the waiver request and approval, may be 
obtained by contacting the person whose name is listed as the 
contact person directly after each set of regulatory waivers 
granted.
    The regulatory waivers granted appear in the following order:

I. Regulatory Waivers Granted by the Office of Community Planning 
and Development.
II. Regulatory Waivers Granted by the Office of Housing.
III. Regulatory Waivers Granted by the Office of Public and Indian 
Housing.

I. Regulatory Waivers Granted by the Office of Community Planning and 
Development

    For further information about the following regulatory waivers, 
please see the name of the contact person that immediately follows 
the description of the waiver granted.

 Regulation: 24 CFR 576.106(d)(1).

    Project/Activity: Du Page County, IL and the State of West 
Virginia each requested a waiver of 24 CFR 576.106(d) to allow the 
use Emergency Solutions Grants (ESG) rapid re-housing and 
homelessness prevention funding for housing units with rents 
exceeding HUD's Fair Market Rent (FMR) requirements.

[[Page 29793]]

    Nature of Requirement: Under 24 CFR 576.106(d)(1), rental 
assistance cannot be provided unless the rent is equal to or less 
than the FMR established by HUD, as provided under 24 CFR part 888, 
and complies with HUD's standard of rent reasonableness, as 
established under 24 CFR 982.507. This restriction is intended to 
ensure that program participants can remain in their housing after 
their ESG assistance ends. This restriction also helps ensure that 
the amount of ESG assistance provided for rental assistance is 
reasonable, while serving the greatest number of program 
participants possible.
    Granted By: Mark Johnston, Deputy Assistant Secretary for 
Special Needs, Office of Community Planning and Development.
    Date Granted: March 27, 2014.
    Reason Waived: Du Page County, Illinois, and the State of West 
Virginia sufficiently demonstrated their requested waivers were 
necessary to ensure their program participants could find habitable 
units in which ESG rental assistance could be used. In addition, the 
waivers were sufficiently limited to permit Du Page County, IL and 
the State of West Virginia to assist with rents that are only 
slightly higher than the FMR and meet HUD's standard of rent 
reasonableness. HUD determined that the slightly higher rents would 
not prevent program participants from being able to retain the 
housing after the assistance ends.
    Contact: Ann M. Oliva, Director, Office of Special Needs 
Assistance Programs, Office of Community Planning and Development, 
Department of Housing and Urban Development, 451 Seventh Street SW., 
Room 7262, Washington, DC 20410, telephone number (202) 708-4300.

 Regulation: 24 CFR 882.410(a)(2).

    Project/Activity: The Housing Authority of New Orleans (HANO, 
LA) requested a waiver of 24 CFR 882.410(a)(2) to allow a special 
rent adjustment to cover the costs of substantial increases in 
property insurance premiums for a Moderate Rehabilitation Single 
Room Occupancy (Mod Rehab SRO) project in the City of New Orleans.
    Nature of Requirement: This regulation permits a special rent 
adjustment to reflect increases in the actual and necessary expenses 
of owning and maintaining the unit which have resulted from 
substantial general increases in real property taxes, assessments, 
utility rates and utilities not covered by regulated rates. The list 
of costs covered by special adjustments at this regulation does not 
include property insurance.
    Granted By: Mark Johnston, Deputy Assistant Secretary for 
Special Needs, Office of Community Planning and Development.
    Date Granted: March 20, 2014
    Reason Waived: The granting of the waiver was based on the 
statutory authority for special adjustments at section 8(c)(2)(B) of 
the U.S. Housing Act of 1937,which provides for ``similar costs.'' 
The granting of the waiver recognized property insurance premiums as 
a similar cost.
    Contact: Ann M. Oliva, Director, Office of Special Needs 
Assistance Programs, Office of Community Planning and Development, 
Department of Housing and Urban Development, 451 Seventh Street SW., 
Room 7262, Washington, DC 20410, telephone number (202) 708-4300.

 Regulation: Neighborhood Stabilization Program 3 Notice 75 
FR 64333 (II.H.3.F) in accordance with Title XII of Division A under 
the heading Community Planning and Development: Community 
Development Fund of the American Recovery and Reinvestment Act of 
2009.

    Project/Activity: The city of Warren, MI requested a waiver of 
the 10 percent demolition cap under the Neighborhood Stabilization 
Program (NSP) which restricts grantees from spending more than 10 
percent of total grant funds on demolition activities. The city 
requested a waiver to spend $277,701.28 or approximately 16 percent 
of its Neighborhood Stabilization Program 3 (NSP3) allocation on the 
demolition of blighted structures.
    Nature of Requirement: Section II.H.3.F of the NSP3 Notice 
provides that a grantee may not use more than 10 percent of its 
grant for demolition activities.
    Granted By: Mark Johnston, Deputy Assistant Secretary for 
Special Needs, Office of Community Planning and Development.
    Date Granted: January 8, 2014.
    Reason Waived: The city provided statistical data showing high 
vacancy and abandonment rates that resulted from significant 
population and job loss. The city explained that there are a high 
number of properties requiring immediate demolition to remove safety 
hazards and the destabilizing influence of the blighted properties. 
The city committed to link the targeted demolition units with the 
rehabilitation of several units in the same locality that would 
assist in restoring stability in the area. On the basis of this 
information, the waiver was granted.
    Contact: Jessie Handforth Kome, Deputy Director, Office of Block 
Grant Assistance, Office of Community Planning and Development, 
Department of Housing and Urban Development, 451 Seventh Street SW., 
Room 7286, Washington, DC 20410, telephone (202) 402-5539.

 Regulation: Neighborhood Stabilization Program 3 Notice 75 
FR 64333 (II.H.3.F) in accordance with Title XII of Division A under 
the heading Community Planning and Development: Community 
Development Fund of the American Recovery and Reinvestment Act of 
2009.

    Project/Activity: Lorain County, OH requested a waiver of the 10 
percent demolition cap under the Neighborhood Stabilization Program 
(NSP) which restricts grantees from spending more than 10 percent of 
total grant funds on demolition activities. The county requested a 
waiver to spend $900,000.00 or approximately 55 percent of its NSP3 
allocation on demolition of blighted structures.
    Nature of Requirement: Section II.H.3.F of the NSP3 Notice 
provides that a grantee may not use more than 10 percent of its 
grant for demolition activities.
    Granted By: Mark Johnston, Deputy Assistant Secretary for 
Special Needs, Office of Community Planning and Development.
    Date Granted: February 26, 2014.
    Reason Waived: The county provided statistical data showing high 
vacancy and abandonment rates due to significant population and job 
loss in the region. The county explained that there are 44 units in 
the city of Elyria and several units in the city of Lorain that 
require immediate demolition. The removal of these safety hazards 
and destabilizing influence would promote meaningful development to 
occur within a faster timeframe. On the basis of this information, 
the waiver was granted.
    Contact: Jessie Handforth Kome, Deputy Director, Office of Block 
Grant Assistance, Office of Community Planning and Development, 
Department of Housing and Urban Development, 451 Seventh Street SW., 
Room 7286, Washington, DC 20410, telephone (202) 402-5539.

 Regulation: Neighborhood Stabilization Program 3 Notice 75 
FR 64333 (II.H.3.F) in accordance with Title XII of Division A under 
the heading Community Planning and Development: Community 
Development Fund of the American Recovery and Reinvestment Act of 
2009.

    Project/Activity: Anderson, IN requested a waiver of the 10 
percent demolition cap under the Neighborhood Stabilization Program 
(NSP) which restricts grantees from spending more than 10 percent of 
total grant funds on demolition activities. The city requested a 
waiver to spend $512,881 or approximately 42 percent of its NSP3 
allocation on the demolition of blighted structures.
    Nature of Requirement: Section II.H.3.F of the NSP3 Notice 
provides that a grantee may not use more than 10 percent of its 
grant for demolition activities.
    Granted By: Mark Johnston, Deputy Assistant Secretary for 
Special Needs, Office of Community Planning and Development.
    Date Granted: February 21, 2014.
    Reason Waived: The city provided statistical data evidencing 
high vacancy and abandonment rates due to significant population and 
job loss. These demolition funds would remove and assist in 
stabilizing commercial sites that will in turn attract investments 
and jobs. On the basis of this information, the waiver was granted.
    Contact: Jessie Handforth Kome, Deputy Director, Office of Block 
Grant Assistance, Office of Community Planning and Development, 
Department of Housing and Urban Development, 451 Seventh Street SW., 
Room 7286, Washington, DC 20410, telephone (202) 402-5539.

II. Regulatory Waivers Granted by the Office of Housing--Federal 
Housing Administration (FHA)

    For further information about the following regulatory waivers, 
please see the name of the contact person that immediately follows 
the description of the waiver granted.

 Regulation: 24 CFR 200.73(c).

    Project/Activity: Broadway Townhomes, Camden, N.J., Project 
Number: 035-35103.
    Nature of Requirement: HUD's regulation at 24 CFR 200.73(c) 
requires that one site contains at least five rental dwelling units. 
HUD's Handbook 4425.1, Chapter 3, Part 3-7, elaborates on this 
regulation by stating that the project must be one site and the site 
may consist of two or more non-contiguous

[[Page 29794]]

parcels, i.e. a ``scattered site,'' if they meet the requirements 
outlined in the handbook. In the case of a scattered site, however, 
a waiver of 24 CFR Sec.  200.73(c) is needed if each noncontiguous 
parcel does not contain at least five rental dwelling units.
    Granted By: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing
    Commissioner.
    Date Granted: February 25, 2014.
    Reason Waived: Each noncontiguous parcel in the project did not 
contain at least five units. The project demonstrated marketability 
and the capability of being managed as a single real estate entity. 
All of the properties continue to be professionally managed and 
maintained as a group, have existing housing assistance payment 
(HAP) contracts and have been allocated low-income housing tax 
credits. The applicable Internal Revenue Service (IRS) provisions 
related to the tax credits ended in December 2004; however, the 
partnership managing the project executed an extended low-income 
housing covenant for a total period of 30 years, which ends December 
31, 2019. No physical or other changes to the property were 
identified which would impact its ongoing recognition as a single 
project constituting 157 sites containing 175 multifamily rental 
units. The combined total land area for the (157) parcels in 3.91 
acres or 170,295 square feet contained within 10 square blocks.
    Contact: Theodore K. Toon, Director, Office of Multifamily 
Housing Development, HTD, Office of Housing, Department of Housing 
and Urban Development, 451 Seventh Street SW., Room 6134, 
Washington, DC 20410, telephone (202) 402-8386.

 Regulation: 24 CFR 203.32(a) and 24 CFR 203.41(a)(3).

    Project/Activity: Downpayment Assistance/Quicken Loans' Employee 
Down Payment Assistance Program in Detroit, Michigan. Quicken Loans 
requested authority to provide downpayment assistance loans with 
restrictions for an amount not to exceed $20,000 per loan to its 
employees who purchase principal residences with FHA-insured 
mortgages in downtown Detroit, Michigan, so long as no part of the 
downpayment assistance loan was used to fund the borrower's minimum 
required investment for the first mortgage. For each year that an 
employee maintains employment with Quicken Loans, continues to 
occupy the property as its principal residence, and does not sell or 
transfer the home during a five year period, 20 percent of the 
unpaid principal balance on the down payment assistance loan will be 
forgiven. Under this waiver Quicken Loans may provide no more than 
eighty down payment assistance loans over a two year period.
    Nature of Requirement: HUD's regulation at 24 CFR 203.32(a) 
prohibits a contractual liability resulting in unpaid obligations in 
connection with an FHA-insured mortgage insured, and HUD's 
regulation at 24 CFR203.41(a)(3) prohibits any legal restriction on 
the conveyance of a property insured by the FHA.
    Granted By: Carol J. Galante, Assistant Secretary for Housing--
Federal Housing Commissioner.
    Date Granted: January 31, 2014.
    Reason Waived: A wavier of the regulation was granted because 
the Quicken
    Loans program is aligned with HUD's focus on assisting Detroit, 
Michigan with its recovery from bankruptcy. The Quicken Loans 
program would support Detroit's local economy by encouraging 
investment in the Detroit housing market, thereby stimulating 
economic development, increasing tax revenues and renovating the 
housing stock in downtown Detroit. Furthermore, FHA determined that 
risk to the Mutual Mortgage Insurance Fund would be minimal due to 
the limited scope of the program targeting one metropolitan area.
    Contact: Arlene Nunes, Office of the Deputy Assistant Secretary 
of Single Family Housing, Office of Housing, Department of Housing 
and Urban Development, 451 Seventh Street SW., Room 9266, 
Washington, DC 20410, telephone (202) 708-3000.

 Regulation: 24 CFR 219.220(b).

    Project/Activity: Pine Grove Apartments, FHA Project Number 023-
027NI, Taunton, MA. The owners have requested deferral of repayment 
of the Flexible Subsidy Operating Assistance Loan on this project 
due to their inability to repay the loan in full upon prepayment of 
the 236 Loan.
    Nature of Requirement: Section 219.220(b) which governs the 
repayment of operating assistance provided under the Flexible 
Subsidy Program for Troubled Projects prior to May 1, 1996 states: 
``Assistance that has been paid to a project owner under this 
subpart must be repaid at the earlier of the expiration of the term 
of the mortgage, termination of mortgage insurance, prepayment of 
the mortgage, or a sale of the project . . .'' Either of these 
actions would typically terminate FHA involvement with the property, 
and the Flexible Subsidy Loan would be repaid, in whole, at that 
time.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: January 13, 2014.
    Reason Waived: The owner requested and was granted waiver of the 
requirement to defer repayment of the Flexible Subsidy Operating 
Assistance Loan to allow the much needed preservation and moderate 
rehabilitation of the project. The project will be preserved as an 
affordable housing resource of Taunton, MA.
    Contact: Minnie Monroe-Baldwin, Director of Preservation, Office 
of Affordable Housing Preservation, Office of Housing, Department of 
Housing and Urban Development, 451 7th Street SW., Room 6222, 
Washington, DC 20410, telephone (202) 402-2636.

 Regulation: 24 CFR 219.220(b).

    Project/Activity: Garfield Park Village Apartments, FHA Project 
Number 121-SH022 and 121-SH072, Santa Cruz, CA. The owners have 
requested deferral of repayment of the Flexible Subsidy Operating 
Assistance Loan on this project due to their inability to repay the 
loan in full upon prepayment of the 202 Loan.
    Nature of Requirement: Section 219.220(b) which governs the 
repayment of operating assistance provided under the Flexible 
Subsidy Program for Troubled Projects prior to May 1, 1996 states: 
``Assistance that has been paid to a project owner under this 
subpart must be repaid at the earlier of the expiration of the term 
of the mortgage, termination of mortgage insurance, prepayment of 
the mortgage, or a sale of the project . . .'' Either of these 
actions would typically terminate FHA involvement with the property, 
and the Flexible Subsidy Loan would be repaid, in whole, at that 
time.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: March 25, 2014.
    Reason Waived: The owner requested and was granted waiver of the 
requirement to defer repayment of the Flexible Subsidy Operating 
Assistance Loan to allow the much needed preservation and moderate 
rehabilitation of the project. The project will be preserved as a 
senior affordable housing resource of Santa Cruz, CA.
    Contact: Minnie Monroe-Baldwin, Director of Preservation, Office 
of Affordable Housing Preservation, Office of Housing, Department of 
Housing and Urban Development, 451 7th Street SW., Room 6222, 
Washington, DC 20410, telephone (202) 402-2636.

 Regulation: 24 CFR 219.220(b).

    Project/Activity: Southwicke Square Cooperative 1-3, FHA Project 
Number 044-44057/44058/44059, Trenton, Michigan. The owners 
requested deferral of repayment of the Flexible Subsidy Operating 
Assistance Loan on this project due to their inability to repay the 
loan in full upon maturity.
    Nature of Requirement: HUD's regulation at 24 CFR 219.220(b), 
which governs the repayment of operating assistance provided under 
the Flexible Subsidy Program for Troubled Projects prior to May 1, 
1996, states: ``Assistance that has been paid to a project owner 
under this subpart must be repaid at the earlier of the expiration 
of the term of the mortgage, termination of mortgage insurance, 
prepayment of the mortgage, or a sale of the project . . .'' Either 
of these actions would typically terminate FHA involvement with the 
property, and the Flexible Subsidy Loan would be repaid, in whole, 
at that time.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: February 21, 2014.
    Reason Waived: The owner requested and was granted waiver of the 
requirement to defer repayment of the Flexible Subsidy Operating 
Assistance Loan. Deferral of repayment of the Flexible Subsidy Loan 
would allow for refinancing of the loan and for significant repairs/
improvements to be made to the project, assuring its preservation as 
an affordable housing resource for an additional 35 years.
    Contact: Mark B. Van Kirk, Director, Office of Asset Management, 
Office of Housing, Department of Housing and Urban Development, 451 
Seventh Street SW., Room 6160, Washington, DC 20410, telephone (202) 
708-3730.

 Regulation: 24 CFR 219.220(b).

    Project/Activity: Memorial Apartments, FHA Project Number 052-
SH006, Baltimore, Maryland. The owner requested deferral of

[[Page 29795]]

repayment of the Flexible Subsidy Operating Assistance Loan due to 
their inability to pay the loan in full upon maturity.
    Nature of Requirement: HUD's regulation at 24 CFR 219.220(b), 
which governs the repayment of operating assistance provided under 
the Flexible Subsidy Program for Troubled Projects prior to May 1, 
1996, states: ``Assistance that has been paid to a project owner 
under this subpart must be repaid at the earlier of the expiration 
of the term of the mortgage, termination of mortgage insurance, 
prepayment of the mortgage, or a sale of the project . . .'' Either 
of these actions would typically terminate FHA involvement with the 
property, and the Flexible Subsidy Loan would be repaid, in whole, 
at that time.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: February 18, 2014.
    Reason Waived: The owner requested and was granted waiver of 
this regulation because it has been demonstrated that it is in the 
public's best interest to defer repayment of the Flexible Subsidy 
Operating Assistance Loan. The loan will be refinanced, facilitating 
the substantial rehabilitation of the aging project. Waiving the 
requirement will provide the long-term preservation of this property 
as an affordable housing resource for an additional term of 40 
years.
    Contact: Mark B. Van Kirk, Director, Office of Asset Management, 
Office of Housing, Department of Housing and Urban Development, 451 
Seventh Street SW., Room 6160, Washington, DC 20410, telephone (202) 
708-3730.

 Regulation: 24 CFR 219.220(b).

    Project/Activity: Holy Family Apartments, FHA Project Number 
064-55043T, Lafayette, Louisiana. The owners requested deferral of 
repayment of the Flexible Subsidy Operating Assistance Loan on this 
project due to their inability to repay the loan in full upon 
maturity.
    Nature of Requirement: HUD's regulation at 24 CFR 219.220(b), 
which governs the repayment of operating assistance provided under 
the Flexible Subsidy Program for Troubled Projects prior to May 1, 
1996, states: ``Assistance that has been paid to a project owner 
under this subpart must be repaid at the earlier of the expiration 
of the term of the mortgage, termination of mortgage insurance, 
prepayment of the mortgage, or a sale of the project . . .'' Either 
of these actions would typically terminate FHA involvement with the 
property, and the Flexible Subsidy Loan would be repaid, in whole, 
at that time.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: January 16, 2014.
    Reason Waived: The owner requested and was granted approval to 
defer repayment of the Flexible Subsidy Operating Assistance Loan 
for this project as good cause has been shown that it is in the 
public's best interest. The owner committed to refinance the loan 
and use the proceeds to complete urgently needed rehabilitation, 
building code changes and updates of the project. The funding 
sources will enable the owner to maintain the project as affordable 
housing for low-income families for 40 years.

 Regulation: 24 CFR 232.7.

    Project/Activity: VIP Care Pavilion (VIP) serves memory care 
residents. The facility is licensed for 111 residents. The facility 
does not meet the requirements of 24 CFR Sec.  232.7 ``Bathroom'' of 
FHA's regulations. The building is located in Margate, FL.
    Nature of Requirement: HUD's regulation at 24 CFR 232.7 mandates 
in a board and care home or assisted living facility that not less 
than one full bathroom be provided for every four residents. Also, 
the bathroom cannot be accessed from a public corridor or area.
    Granted By: Carol J. Galante, Assistant Secretary for Housing--
Federal Housing Commissioner.
    Date Granted: February 3, 2014.
    Reason Waived: The memory care residents of VIP all need 
assistance with bathing and toileting. The bathrooms/shower rooms 
provide enough space for staff to safely assist the residents. VIP 
concluded that this arrangement is safer for the residents.
    Contact: Vance T. Morris, Special Assistant, Office of 
Healthcare Programs, Office of Housing, Department of Housing and 
Urban Development, 451 Seventh Street SW., Room 9172, Washington, DC 
20410, telephone (202) 402-2419.

 Regulation: 24 CFR 232.7.

    Project/Activity: Trinity Shores of Port Lavaca (Trinity) is a 
licensed assisted living facility in Port Lavaca, Texas. The 
facility has 62 units of which 13 are Memory Care in a secured wing. 
The 49 assisted living units are fully compliant with 24 CFR 232.7 
``Bathroom.''
    Nature of Requirement: HUD's regulation at 24 CFR 232.7 mandates 
in a board and care home or assisted living facility that not less 
than one full bathroom be provided for every four residents. Also, 
the bathroom cannot be accessed from a public corridor or area.
    Granted By: Carol J. Galante, Assistant Secretary for Housing--
Federal Housing Commissioner.
    Date Granted: March 18, 2014.
    Reason Waived: The memory care residents of Trinity all need 
assistance with bathing and toileting. The bathrooms/shower rooms 
provide enough space for staff to safely assist the residents. 
Trinity concluded that this arrangement is safer for the residents.
    Contact: Vance T. Morris, Special Assistant, Office of 
Healthcare Programs, Office of Housing, Department of Housing and 
Urban Development, 451 Seventh Street SW., Room 9172, Washington, DC 
20410, telephone (202) 402-2419.

 Regulation: 24 CFR 891.100(d).

    Project/Activity: Independence Oaks Apartments, Cleveland, TX, 
Project Number: 114-HD048/TX24-Q101-002.
    Nature of Requirement: Section 891.100(d) prohibits amendment of 
the amount of the approved capital advance funds prior to closing.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: January 28, 2014.
    Reason Waived: The project is economically designed and 
comparable in cost to similar projects in the area, and the sponsor/
owner exhausted all efforts to obtain additional funding from other 
sources.
    Contact: Catherine M. Brennan, Director, Office of Housing 
Assistance and Grant Administration, Office of Housing, Department 
of Housing and Urban Development, 451 Seventh Street SW., Room 6134, 
Washington, DC 20410, telephone (202) 708-3000.

 Regulation: 24 CFR 891.100(d).

    Project/Activity: Stephenson 202, Stephenson, MI, Project 
Number: 047-EE052/MI33-S101-002.
    Nature of Requirement: Section 891.100(d) prohibits amendment of 
the amount of the approved capital advance funds prior to closing.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: January 28, 2014.
    Reason Waived: The project is economically designed and 
comparable in cost to similar projects in the area, and the sponsor/
owner exhausted all efforts to obtain additional funding from other 
sources.
    Contact: Catherine M. Brennan, Director, Office of Housing 
Assistance and Grant Administration, Office of Housing, Department 
of Housing and Urban Development, 451 Seventh Street SW., Room 6134, 
Washington, DC 20410, telephone (202) 708-3000.

 Regulation: 24 CFR 891.100(d).

    Project/Activity: InReach Apartments, Charlotte, NC, Project 
Number: 053-HD257/NC19-Q101-006.
    Nature of Requirement: Section 891.100(d) prohibits amendment of 
the amount of the approved capital advance funds prior to closing.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: January 28, 2014.
    Reason Waived: The project is economically designed and 
comparable in cost to similar projects in the area, and the sponsor/
owner exhausted all efforts to obtain additional funding from other 
sources.
    Contact: Catherine M. Brennan, Director, Office of Housing 
Assistance and Grant Administration, Office of Housing, Department 
of Housing and Urban Development, 451 Seventh Street SW., Room 6134, 
Washington, DC 20410, telephone (202) 708-3000.

 Regulation: 24 CFR 891.100(d).

    Project/Activity: Options Supportive Housing Project XV, Lake 
Grove, NY,
    Project Number: 012-HD144/NY36-Q101-001.
    Nature of Requirement: Section 891.100(d) prohibits amendment of 
the amount of the approved capital advance funds prior to closing.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: January 28, 2014.
    Reason Waived: The project is economically designed and 
comparable in cost to similar projects in the area, and the sponsor/
owner exhausted all efforts to obtain additional funding from other 
sources.

[[Page 29796]]

    Contact: Catherine M. Brennan, Director, Office of Housing 
Assistance and Grant Administration, Office of Housing, Department 
of Housing and Urban Development, 451 Seventh Street SW., Room 6134, 
Washington, DC 20410, telephone (202) 708-3000.

 Regulation: 24 CFR 891.100(d).

    Project/Activity: Focus Manor, Louisville, MS, Project Number: 
065-HD045/MS26-Q101-001.
    Nature of Requirement: Section 891.100(d) prohibits amendment of 
the amount of the approved capital advance funds prior to closing.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: March 26, 2014.
    Reason Waived: The project is economically designed and 
comparable in cost to similar projects in the area, and the sponsor/
owner exhausted all efforts to obtain additional funding from other 
sources.
    Contact: Catherine M. Brennan, Director, Office of Housing 
Assistance and Grant Administration, Office of Housing, Department 
of Housing and Urban Development, 451 Seventh Street SW., Room 6134, 
Washington, DC 20410, telephone (202) 708-3000.

 Regulation: 24 CFR 891.165.

    Project/Activity: Hayward Senior Housing--Phase II, Hayward, CA, 
Project Number: 121-EE234/CA39-S101-011.
    Nature of Requirement: Section 891.165 provides that the 
duration of the fund reservation of the capital advance is 18 months 
from the date of issuance with limited exceptions up to 36 months, 
as approved by HUD on a case-by-case basis.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: January 8, 2014.
    Reason Waived: Additional time was needed in order to meet the 
construction lender's loan requirement for this capital advance upon 
completion mixed-finance project.
    Contact: Catherine M. Brennan, Director, Office of Housing 
Assistance and Grant Administration, Office of Housing, Department 
of Housing and Urban Development, 451 Seventh Street SW., Room 6134, 
Washington, DC 20410, telephone (202) 708-3000.

 Regulation: 24 CFR 891.165.

    Project/Activity: Westcliff Heights Senior Apartments, Las 
Vegas, NV, Project Number: 125-EE131/NV25-S081-001.
    Nature of Requirement: Section 891.165 provides that the 
duration of the fund reservation of the capital advance is 18 months 
from the date of issuance with limited exceptions up to 36 months, 
as approved by HUD on a case-by-case basis.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: January 28, 2014.
    Reason Waived: Additional time was needed due to the minimum 
length of time of the construction loan before this capital advance 
upon completion project can reach initial closing.
    Contact: Catherine M. Brennan, Director, Office of Housing 
Assistance and Grant Administration, Office of Housing, Department 
of Housing and Urban Development, 451 Seventh Street SW., Room 6134, 
Washington, DC 20410, telephone (202) 708-3000.

     Fiscal Year 2012 (FY12) Section 811 Project Rental 
Assistance Demonstration Program NOFA (Docket No. FR-5600-N-28-C1)

    Project/Activity: Waiver of NOFA provisions in the FY 2012 
Section 811 Project Rental Assistance Demonstration Program NOFA 
dated May 15, 2012 to allow for revisions to the environmental 
requirements.
    Nature of Requirement: The FY 2012 NOFA detailed environmental 
requirements and environmental assurance provisions (as corrected in 
a technical correction posted on July 2, 2012), which applicants 
selected for funding are obligated to implement. The waiver revised 
those provisions as follows:
    [cir] Properties that are currently HUD-assisted or FHA-insured 
that will not engage in activities with physical impacts or changes 
beyond routine maintenance activities or minimal repairs will not 
have to comply with the environmental tenets.
    [cir] Clarification that if, at the time that a project applies 
for PRAD assistance, the project is under construction or being 
rehabilitated, the project shall be subject to the environmental 
review requirements applicable to new construction or rehab if the 
work has not progressed beyond a stage of construction where 
modifications can be undertaken to avoid the adverse environmental 
impacts addressed by the requirement.
    [cir] Projects will have the option to evaluate the site for 
contamination issues either through an assessment process that is 
detailed in the proposed revision and is similar to the Office of 
Community Planning and Development's Continuum of Care (a similar 
rental assistance program) contamination assessment requirements, or 
through an ASTM E 1527-05 (or most recent edition) Phase I ESA.
    [cir] If the project involves an existing property for which a 
Phase I ESA was prepared previously for a real estate transaction, 
and that Phase I ESA met ASTM Phase I ESA requirements at the time 
it was prepared, a new Phase I ESA will not be required for that 
project.
    [cir] Coastal Barrier Resources was removed as an environmental 
tenet and made a separate requirement because the statutory 
obligations of the Coastal Barrier Resources Act remain even without 
a HUD project level review.
    Granted by: Carol J. Galante, Assistant Secretary for Housing-
Federal Housing Commissioner.
    Date Granted: March 14, 2014.
    Reason Waived: The waiver responds to concerns raised by the 
grantees and further aligns the Section 811 Project Rental 
Assistance Demonstration NOFA with the environmental requirements 
and environmental policies of the Office of Housing and HUD 
generally. Properties that are currently HUD-assisted or FHA-insured 
and will undergo no more that routine maintenance activities or 
minimal repairs have already undergone applicable environmental 
reviews at time of the original assistance or insurance, and will 
not undergo significant new physical changes in connection with the 
PRA assistance. The optional process for evaluating a site for 
contamination issues, and the use of existing Phase I ESAs that were 
ASTM-compliant, will facilitate use of the PRA Demo by permitting 
less costly methods of assessment for contamination while continuing 
to protect the health and safety of residents. Revising the 
reference to the Coastal Barrier Resources Act will not alter the 
applicable requirement but will simply clarify that the requirement 
is required by statute.
    Contact: Catherine M. Brennan, Director, Office of Housing 
Assistance and Grant Administration, Office of Housing, Department 
of Housing and Urban Development, 451 Seventh Street SW., Room 6134, 
Washington, DC 20410, telephone (202) 708-3000.

III. Regulatory Waivers Granted by the Office of Public and Indian 
Housing

    For further information about the following regulatory waivers, 
please see the name of the contact person that immediately follows 
the description of the waiver granted.

 Regulation: 24 CFR 982.505(c)(5).

    Project/Activity: City of Vallejo Housing and Community 
Development Division (CVHCDD), Vallejo, CA.
    Nature of Requirement: HUD's regulation at 24 CFR 982.505(5) 
states that irrespective of any increase or decrease in the payment 
standard amount, if the family unit size increases or decreases 
during the housing assistance payments (HAP) term, the new family 
unit size must be used to determine the payment standard amount for 
the family beginning at the family's first regular reexamination 
following the change in family unit size.
    Granted By: Sandra B. Henriquez, Assistant Secretary for Public 
and Indian Housing.
    Date Granted: March 21, 2014.
    Reason Waived: The regulation was waived to allow the CVHCDD to 
delay implementation of the reduced subsidy standards for affected 
families until the end of their lease term instead of the family's 
next annual reexamination, in cases where the lease term does not 
expire for at least 30 days after the date of the reexamination, and 
the landlord is unwilling to release the family from its lease. This 
waiver did not apply to families that are renting on a month-to-
month basis.
    Contact: Laure Rawson, Director, Housing Voucher Management and 
Operations Division, Office of Public Housing and Voucher Programs, 
Office of Public and Indian Housing, Department of Housing and Urban 
Development, 451 Seventh Street SW., Room 4216, Washington, DC 
20410, telephone (202) 708-0477.

 Regulation: 24 CFR 982.505(d).

    Project/Activity: San Francisco Housing Authority (SFHA), San 
Francisco, CA.
    Nature of Requirement: HUD's regulation at 24 CFR 982.505(d) 
states that a public housing agency may only approve a higher

[[Page 29797]]

payment standard for a family as a reasonable accommodation if the 
higher payment standard is within the basic range of 90 to 110 
percent of the fair market rent (FMR) for the unit size.
    Granted By: Sandra B. Henriquez, Assistant Secretary for Public 
and Indian Housing.
    Date Granted: January 13, 2014.
    Reason Waived: The four homeless veterans, who are disabled, 
required an exception payment standard to move to units in a 
building that provided services for veterans. To provide this 
reasonable accommodation so the clients could move to these units 
and pay no more than 40 percent of their adjusted income toward the 
family share, the SFHA was allowed to approve an exception payment 
standard that exceeded the basic range of 90 to 110 percent of the 
FMR.
    Contact: Laure Rawson, Director, Housing Voucher Management and 
Operations Division, Office of Public Housing and Voucher Programs, 
Office of Public and Indian Housing, Department of Housing and Urban 
Development, 451 Seventh Street SW., Room 4216, Washington, DC 
20410, telephone (202) 708-0477.
 Regulation: 24 CFR 982.505(d).
    Project/Activity: Howard County Housing Commission (HCHC), 
Howard County, MD.
    Nature of Requirement: HUD's regulation at 24 CFR 982.505(d) 
states that a public housing agency may only approve a higher 
payment standard for a family as a reasonable accommodation if the 
higher payment standard is within the basic range of 90 to 110 
percent of the fair market rent (FMR) for the unit size.
    Granted By: Sandra B. Henriquez, Assistant Secretary for Public 
and Indian Housing.
    Date Granted: March 14, 2014.
    Reason Waived: The participant, who is disabled, required an 
exception payment standard to move to a new unit that met her health 
needs. To provide this reasonable accommodation so the client could 
be assisted in a new current unit and pay no more than 40 percent of 
her adjusted income toward the family share, the HCHC was allowed to 
approve an exception payment standard that exceeded the basic range 
of 90 to 110 percent of the FMR
    Contact: Laure Rawson, Director, Housing Voucher Management and 
Operations Division, Office of Public Housing and Voucher Programs, 
Office of Public and Indian Housing, Department of Housing and Urban 
Development, 451 Seventh Street, SW., Room 4216, Washington, DC 
20410, telephone (202) 708-0477.

 Regulation: 24 CFR 982.505(d).

    Project/Activity: New Avenues to Independence, Inc. (NAII), 
Cleveland, OH.
    Nature of Requirement: HUD's regulation at 24 CFR 982.505(d) 
states that a public housing agency may only approve a higher 
payment standard for a family as a reasonable accommodation if the 
higher payment standard is within the basic range of 90 to 110 
percent of the fair market rent (FMR) for the unit size.
    Granted By: Sandra B. Henriquez, Assistant Secretary for Public 
and Indian Housing.
    Date Granted: March 31, 2014.
    Reason Waived: The participant, who is disabled, required an 
exception payment standard to remain in his current unit that meets 
his needs without becoming rent burdened. To provide this reasonable 
accommodation so the client could be assisted in his current unit 
and pay no more than 40 percent of his adjusted income toward the 
family share, the NAII was allowed to approve an exception payment 
standard that exceeded the basic range of 90 to 110 percent of the 
FMR
    Contact: Laure Rawson, Director, Housing Voucher Management and 
Operations Division, Office of Public Housing and Voucher Programs, 
Office of Public and Indian Housing, Department of Housing and Urban 
Development, 451 Seventh Street SW., Room 4210, Washington, DC 
20410, telephone (202) 708-0477.

 Regulation: 24 CFR 983.51(b)(1) and (c).

    Project/Activity: New York City Department of Housing 
Preservation and Development (NYCDHPD), New York City, NY.
    Nature of Requirement: HUD's regulation at 24 CFR 983.51 states 
the competitive selection and alternate selection requirements of 
project-based voucher (PBV) units.
    Granted By: Sandra B. Henriquez, Assistant Secretary for Public 
and Indian Housing
    Date Granted: January 6, 2014.
    Reason Waived: The waiver was approved so that NYCDHPD could add 
an additional 15 percent of the 1,093 units in Ocean Village to the 
103 units that were converted under the Rental Assistance 
Demonstration program due to the surge in housing need from the 
displacement of many homeowners due to Hurricane Sandy.
    Contact: Laure Rawson, Director, Housing Voucher Management and 
Operations Division, Office of Public Housing and Voucher Programs, 
Office of Public and Indian Housing, Department of Housing and Urban 
Development, 451 Seventh Street SW., Room 4216, Washington, DC 
20410, telephone (202) 708-0477.

 Regulation: 24 CFR 983.59(b)(1).

    Project/Activity: Scott County Community Development Agency 
(SCDDA), Shakopee, MN.
    Nature of Requirement: HUD's regulation at 24 CFR 983.59(b)(1) 
states that the rent to owner for public housing agency (PHA) owned 
units is determined according to the same requirements as for other 
project-based voucher (PBV) units, except that the independent 
entity approved by HUD must establish the initial contract rents 
based on an appraisal by a licensed, state-certified appraiser.
    Granted By: Sandra B. Henriquez, Assistant Secretary for Public 
and Indian Housing.
    Date Granted: January 6, 2014.
    Reason Waived: This waiver was approved to provide partial 
relief from these requirements.
    Contact: Laure Rawson, Director, Housing Voucher Management and 
Operations Division, Office of Public Housing and Voucher Programs, 
Office of Public and Indian Housing, Department of Housing and Urban 
Development, 451 Seventh Street SW., Room 4216, Washington, DC 
20410, telephone (202) 708-0477.

 Regulation: 24 CFR 983.59(b)(1).

    Project/Activity: Housing Authority of Snohomish County (HASC), 
Everett, WA.
    Nature of Requirement: HUD's regulation at 24 CFR 983.59(b)(1) 
states that the rent to owner for public housing agency (PHA) owned 
units is determined according to the same requirements as for other 
project-based voucher (PBV) units, except that the independent 
entity approved by HUD must establish the initial contract rents 
based on an appraisal by a licensed, state-certified appraiser.
    Granted By: Sandra B. Henriquez, Assistant Secretary for Public 
and Indian Housing.
    Date Granted: March 18, 2014.
    Reason Waived: This waiver was approved to provide partial 
relief from these requirements.
    Contact: Laure Rawson, Director, Housing Voucher Management and 
Operations Division, Office of Public Housing and Voucher Programs, 
Office of Public and Indian Housing, Department of Housing and Urban 
Development, 451 Seventh Street SW., Room 4216, Washington, DC 
20410, telephone (202) 708-0477.

 Regulation: 24 CFR 983.301(b)(1).

    Project/Activity: Michigan State Housing Development Authority 
(MSHDA). Lansing, MI.
    Nature of Requirement: HUD's regulation at 24 CFR 983.301(b)(1) 
allows the rent to owner to go below the initial rent in project-
based voucher (PBV) units.
    Granted By: Sandra B. Henriquez, Assistant Secretary for Public 
and Indian Housing.
    Date Granted: January 2, 2014.
    Reason Waived: The waiver was approved to allow MSHDA to apply 
provisions of the proposed rule to avoid a major operating deficit
    Contact: Laure Rawson, Director, Housing Voucher Management and 
Operations Division, Office of Public Housing and Voucher Programs, 
Office of Public and Indian Housing, Department of Housing and Urban 
Development, 451 Seventh Street SW., Room 4216, Washington, DC 
20410, telephone (202) 708-0477.

[FR Doc. 2014-12011 Filed 5-22-14; 8:45 am]
BILLING CODE 4210-67-P