DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 24 …

1 DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 24 CFR Part 578 [Docket No. FR-5476-I-01] RIN 2506-AC29 Homeless Emergency Assistance and Rapid Transition to HOUSING : Continuum of Care Program AGENCY: Office of the Assistant Secretary for Community Planning and DEVELOPMENT . ACTION: Interim rule. PART 578 CONTINUUM OF CARE PROGRAM Introductory Sections Commenting Instructions Executive Summary Background / Summary Subpart A General Provisions Regulation Purpose and scope. Preamble Regulation Definitions. Preamble Regulation Subpart B Establishing and Operating a Continuum of Care Preamble Regulation Establishing the Continuum of Care.

2 Preamble Regulation Responsibilities of the Continuum of Care. Preamble Regulation Preparing an application for funds. Preamble Regulation Unified Funding Agency. Preamble Regulation Remedial action. Preamble Regulation Subpart C Application and Grant Award Process Regulation Eligible applicants. Preamble Regulation Overview of application and grant award process. Preamble Regulation Application process. Preamble Regulation Awarding funds. Preamble Regulation Executing grant agreements. Preamble Regulation Site control. Regulation Consolidated plan. Regulation Subsidy layering.

3 Regulation Environmental review. Regulation Renewals. Preamble Regulation Appeal. Preamble Regulation Subpart D Program Components and Eligible Costs Regulation Program components and uses of assistance. Preamble Regulation Continuum of Care planning activities. Preamble Regulation Unified Funding Agency costs. Preamble Regulation Acquisition. Regulation Rehabilitation. Regulation New construction. Regulation Leasing. Preamble Regulation Rental assistance. Preamble Regulation Supportive services. Preamble Regulation 2 Operating costs. Regulation Homeless Management Information System.

4 Regulation Project administrative costs. Regulation Relocation costs. Regulation Indirect costs. Preamble Regulation Subpart E High-Performing Communities Preamble Regulation Standards. Preamble Regulation Publication of application. Regulation Cooperation among entities. Regulation HPC-eligible activities. Preamble Regulation Subpart F Program Requirements Preamble Regulation Matching requirements. Preamble Regulation General operations. Preamble Regulation Calculating occupancy charges and rent. Regulation Limitation on transitional HOUSING . Regulation Term of commitment, repayment of grants, and prevention of undue benefits.

5 Regulation Displacement, relocation, and acquisition. Preamble Regulation Timeliness standards. Preamble Regulation Limitation on use of funds. Preamble Regulation Limitation on use of grant funds to serve persons defined as homeless under other federal laws. Regulation Termination of assistance to program participants. Preamble Regulation Fair HOUSING and Equal Opportunity. Preamble Regulation Conflicts of interest. Regulation Program income. Regulation Applicability of other federal requirements. Regulation Subpart G Grant Administration Regulation Technical assistance. Preamble Regulation Recordkeeping requirements.

6 Preamble Regulation Grant and project changes. Preamble Regulation Sanctions. Preamble Regulation Closeout. Preamble Regulation SUMMARY: The Homeless Emergency Assistance and Rapid Transition to HOUSING Act of 2009 (HEARTH Act), enacted into law on May 20, 2009, consolidates three of the separate homeless assistance programs administered by HUD under the McKinney-Vento Homeless Assistance Act into a single grant program, and revises the Emergency Shelter Grants program and renames it the Emergency Solutions Grants program. The HEARTH Act also codifies in law the Continuum of Care planning process, a longstanding part of HUD s application process to assist homeless persons by providing greater coordination in responding to their needs.

7 The HEARTH Act also directs HUD to promulgate regulations for these new programs and processes. This interim rule focuses on regulatory implementation of the Continuum of Care program, including the Continuum of Care planning process. The existing homeless assistance programs that comprise the Continuum of Care program are the following: 3 the Supportive HOUSING program, the Shelter Plus Care program, and the Moderate Rehabilitation/Single Room Occupancy (SRO) program. This rule establishes the regulations for the Continuum of Care program, and, through the establishment of such regulations, the funding made available for the Continuum of Care program in the statute appropriating Fiscal Year (FY) 2012 funding for HUD can more quickly be disbursed, consistent with the HEARTH Act requirements, and avoid any disruption in current Continuum of Care activities.

8 DATES: Effective Date: August 30, 2012. Comment Due Date. October 1, 2012. ADDRESSES: Interested persons are invited to submit comments regarding this rule to the Regulations Division, Office of General Counsel, 451 7th Street, SW, Room 10276, DEPARTMENT of HOUSING and URBAN DEVELOPMENT , Washington, DC 20410-0500. Communications must refer to the above docket number and title. There are two methods for submitting public comments. All submissions must refer to the above docket number and title. 1. Submission of Comments by Mail. Comments may be submitted by mail to the Regulations Division, Office of General Counsel, DEPARTMENT of HOUSING and URBAN DEVELOPMENT , 451 7th Street, SW, Room 10276, Washington, DC 20410-0500.

9 2. Electronic Submission of Comments. Interested persons may submit comments electronically through the Federal eRulemaking Portal at HUD strongly encourages commenters to submit comments electronically. Electronic submission of comments allows the commenter maximum time to prepare and submit a comment, ensures timely receipt by HUD, and enables HUD to make them immediately available to the public. Comments submitted electronically through the website can be viewed by other commenters and interested members of the public. Commenters should follow the instructions provided on that site to submit comments electronically.

10 Note: To receive consideration as public comments, comments must be submitted through one of the two methods specified above. Again, all submissions must refer to the docket number and title of the rule. No Facsimile Comments. Facsimile (FAX) comments are not acceptable. Public Inspection of Public Comments. All properly submitted comments and communications submitted to HUD will be available for public inspection and copying between 8 and 5 weekdays at the above address. Due to security measures at the HUD Headquarters building, an advance appointment to review the public comments must be scheduled by calling the Regulations Division at 202-708-3055 (this is not a toll-free number).