**Appendix VI**

**Disaster Waivers and Special Provisions Affecting Single Audits**

**Changes to Compliance Requirements**

Recipients affected by Hurricanes Katrina and Rita in 2005, either
directly or indirectly, may be covered by waivers and/or special
provisions that modify the terms and conditions of their awards,
including the types of compliance requirements described in this
Compliance Supplement. In some cases, the waiver or special provision
may apply to Hurricane Wilma as well. This Appendix provides updated
information on the waivers and special provisions granted by Federal
agencies. A "waiver," for purposes of this Appendix, is elimination of
or change in a substantive compliance requirement. A "special
provision," for purposes of this Appendix, is extension of a due date or
deadline for an action that is otherwise unchanged.

This Appendix includes information to assist the auditor in determining
what, if any, changes they need to be aware of when performing an audit
that covers the period during which requirements may have been lifted or
modified. Auditors engaged to perform single audits should consult the
resources described here to determine if a particular recipient or
program is covered by a waiver. While most of the Hurricane Katrina and
Rita waivers affect entities in Louisiana, Mississippi, Alabama, and
Florida, they also affect numerous other States and entities that
provided services to displaced individuals. However, because this
Appendix is a resource that provides generally applicable information
only, auditors also should inquire of auditee officials whether they are
aware of any special provisions or waivers affecting their awards.
Because some State or local governments may have issued waivers (i.e., a
waiver of out-of-state tuition for hurricane victims that might impact
student financial needs calculations), the auditor also should inquire
of auditee officials whether they are aware of any State or local waiver
that might impact Federal requirements. In most cases, copies of waivers
and special provisions issued by the Federal Government also are
available on Federal agency websites. Unless modified by waivers or
special provisions, compliance requirements of law and regulation are
applicable to grantees affected by disasters.

**Availability of Other Information**

Auditors also should refer to the Office of Management and Budget waiver
at
<http://www.whitehouse.gov/omb/financial/fin/katrina_admin_relief_093005.pdf>
and to
[http://www.gao.gov/govaud/hurricanedocument.pdf](http://www.gao.gov/govaud/hurricanedocument.pdf )
for temporary exemptions and guidance issued by the Government
Accountability Office related to the governmental auditing standards.

**Suggested Audit Procedures**

For grantees affected by Hurricanes Katrina, Rita, or Wilma, as
applicable, auditors should perform the following procedures to
determine if modifying provisions or waivers apply:

1\. Inquire of the auditee whether it is aware of any disaster-related
special provisions, including any specific waivers available as a result
of Hurricane Katrina or Rita or, where applicable, Wilma. Obtain and
examine these provisions/waivers.

2\. Consult Parts 4 and 5 of this Compliance Supplement for information
about any additional special disaster-related provisions affecting
individual programs.

3\. Also, for each major Federal program, consult the home page for the
department/agency and/or program for information about waivers and
special provisions.

4\. In performing the audit, the auditor will use Parts 4, 5, or 7 as
appropriate. For any modifying provision or waiver, whether explained or
referenced in this Appendix or made known to the auditor by the auditee,
the auditor should review and evaluate the content, validity, scope, and
applicability of the provision or waiver, with particular attention to
when it was in effect, and determine whether it excuses the grantee from
complying with the compliance requirement(s) at issue.

5\. If there are no valid disaster-related special provisions or waivers
that modify a compliance requirement, and the requirement has not been
adhered to, the auditor must report a finding of non-compliance in
accordance with the requirements of OMB Circular A-133, Paragraph
\_\_.510. However, if the auditee and/or auditor are of the opinion that
circumstances resulting from the cited natural disasters caused or
contributed to the non-compliance, such circumstances should be
explained in the description of the audit finding and/or the views of
responsible officials included with the audit findings. Audit resolution
officials will consider such causes in their resolution action, in
accordance with the applicable statute and regulations.

**PART 4 -- AGENCY PROGRAM REQUIREMENTS**

Following is a table that indicates which programs are affected by
waivers and special provisions and whether they are ones included in
Parts 4 or 5 of this Compliance Supplement.

  -----------------------------------------------------------------------
  **CFDA Number**         **Waiver/Special        **Part 4 or 5**
                          Provision**             
  ----------------------- ----------------------- -----------------------
  11.300/11.307           Waivers and Special     Part 4
                          Provisions              

  14.218/14.219           Waiver                  Part 4

  14.228                  Waivers                 Part 4

  14.231                  Waivers                 Part 4

  14.239                  Waivers                 Part 4

  14.182\                 Waiver and Special      Part 4
  14.195\                 Provisions              
  14.850\                                         
  14.854\                                         
  14.856\                                         
  14.862\                                         
  14.866\                                         
  14.867\                                         
  14.871\                                         
  14.872                                          

  84.000\                 Waivers and Special     Part 4
  84.002\                 Provisions              
  84.010\                                         
  84.011\                                         
  84.027\                                         
  84.173\                                         
  84.041\                                         
  84.042\                                         
  84.044\                                         
  84.047\                                         
  84.066\                                         
  84.217\                                         
  84.048\                                         
  84.181\                                         
  84.186\                                         
  84.282\                                         
  84.287\                                         
  84.288\                                         
  84.290\                                         
  84.291\                                         
  84.298\                                         
  84.318\                                         
  84.357\                                         
  84.365\                                         
  84.366\                                         
  84.367                                          

  84.032 (Guaranty        Waivers and Special     Part 4
  Agencies)               Provisions              

  84.126                  Waiver                  Part 4

  93.558                  Special Provisions      Part 4

  93.575/93.596           Waivers and Special     Part 4
                          Provisions              

  93.600                  Waiver                  Part 4

  97.036                  Emergency Declarations  Part 4

  97.039                  Waiver                  Part 4

  SFA Cluster             Waivers                 Part 5
  -----------------------------------------------------------------------

Number range CHAPTER**DEPARTMENT OF COMMERCE (DoC)**

**CFDA 11.300 GRANTS FOR PUBLIC WORKS AND ECONOMIC DEVELOPMENT**

**CFDA 11.307 ECONOMIC ADJUSTMENT ASSISTANCE**

**WAIVERS** -

Certain EDA administrative and programmatic requirements may have been
waived for projects located in the States of Alabama, Mississippi and
Louisiana (the "States") or in other areas experiencing severe economic
distress as a result of a 2005 natural disaster (e.g., Hurricanes
Katrina and Rita). For example, EDA may have determined that one of the
States had exhausted its effective taxing and borrowing capacity and,
thereby, extended financial assistance to the State at a maximum
investment rate of 100 percent under section 204(c)(2) of the Public
Works and Economic Development Act (PWEDA) of 1965, as amended (42 USC
3144). Similarly, EDA may have determined, under section 214 of PWEDA
(42 USC 3154), that a State was unable to comply with the comprehensive
economic development strategy (CEDS) requirements under section 302 of
PWEDA (42 USC 3162) and, as a result, designated the State as a "Special
Impact Area" for purposes of waiving the CEDS requirements with respect
to limited implementation activities permitted under certain Economic
Adjustment Assistance awards to that State. The auditor should consult
with the applicable EDA regional office for specific grant-related
waivers and determinations. 

**DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD)**

**CFDA 14.218 COMMUNITY DEVELOPMENT BLOCK GRANTS/ENTITLEMENT GRANTS**

**CFDA 14.219 COMMUNITY DEVELOPMENT BLOCK GRANTS/SMALL CITIES PROGRAM**
(HUD-Administered)

**WAIVER** - On September 5, 2005, HUD issued a statutory suspension of
the 15 percent public service expenditure cap applicable to Community
Development Block Grant (CDBG) funds for purposes related to Hurricane
Katrina assistance efforts. This suspension was extended to Hurricane
Rita recovery efforts on October 13, 2005.

**HUD Waivers for the City of Moss Point, Mississippi**

On December 21, 2005, HUD issued a series of regulatory waivers and
statutory suspensions to the City of Moss Point, Mississippi, to help
the City recover from the effects of Hurricane Katrina. The waivers and
suspensions are as follows:

**WAIVER --** HUD waived the 15 percent public service cap for Moss
Point contained at 24 CFR section 570.201, and acknowledges that the
City will utilize the statutory suspension of the 15 percent cap
contained in Section 105(a)(8) of the Housing and Community Development
Act of 1974, as amended, that was suspended on September 5, 2005.

**WAIVER --** HUD waived 24 CFR section 570.207(b)(1) to allow the City
to purchase generators for sanitary and water systems and similar public
purposes.

**WAIVER --** HUD suspended Section 105 of the Housing and Community
Development Act of 1974, as amended, to permit the City to use CDBG
funds for new housing construction. HUD also has waived 24 CFR section
570.207(b)(3) to permit the city to utilize CDBG funds for new
construction activities. This waiver and suspension are effective
through September 30, 2007.

**HUD Waivers for the City of Gulfport, Mississippi**

On December 21, 2005, HUD issued a series of regulatory waivers and
statutory suspensions to the City of Gulfport, Mississippi, to help the
City recover from the effects of Hurricane Katrina. The waivers and
suspensions are as follows:

**WAIVER** **--** HUD waived the 15 percent public service cap for
Gulfport contained at 24 CFR section 570.201, and acknowledges that the
city will utilize the statutory suspension of the 15 percent cap
contained in Section 105(a)(8) of the Housing and Community Development
Act of 1974, as amended, that was suspended on September 5, 2005.

**WAIVER --** HUD waived 24 CFR section 570.208(a)(4)(ii) to remove the
requirement that to retain jobs the recipient must document that jobs
would actually be lost without CDBG assistance.

**WAIVER --** HUD waived 24 CFR sections 570.208(a)(4)(iv)(A)(1) and (B)
and (a)(4)(v) to allow the City to presume that any census tract meets
the criteria of paragraph (a)(4)(v) if at least 51 percent of the
residents of the tract are of low- and moderate-income, according to
either the latest low- and moderate-income summary data or a more recent
survey.

**WAIVER --** HUD has suspended the provisions of Section 106 of
National Affordable Housing Act and waives 24 CFR section 91.225(a)(6)
and 24 CFR section 570.903 through December 31, 2006 to give the City
relief from the consolidated plan requirement that housing activities
undertaken with CDBG funds be consistent with the City's consolidated
plan for the most recent program year and that such performance be
reviewed by HUD annually.

**WAIVER --**HUD has suspended Section 105(a) of the Housing and
Community Development Act of 1974, as amended, to permit the City to use
CDBG funds for new housing construction. HUD also has waived 24 CFR
section 570.207(b)(3) to permit the city to utilize CDBG funds for new
construction activities. This waiver and suspension are effective
through December 31, 2006.

**HUD Waivers for the City of Biloxi, Mississippi**

On December 21, 2005, HUD issued regulatory waivers and statutory
suspensions to the City of Biloxi, Mississippi, to help the City recover
from the effects of Hurricane Katrina. The waivers and suspensions are
as follows:

**WAIVER** - HUD waived the 15 percent public service cap for Gulfport
contained at 24 CFR section 570.201, and acknowledges that the city will
utilize the statutory suspension of the\
15 percent cap contained in Section 105(a)(8) of the Housing and
Community Development Act of 1974, as amended, that was suspended on
September 5, 2005.

**HUD Waiver for Hattiesburg, Jackson, and Pascagoula, Mississippi, and
Mobile, and Mobile County, Alabama**

On February 10, 2006, HUD issued a regulatory waiver to the
aforementioned jurisdictions to help them recover from the effects of
Hurricanes Katrina and Rita. The waiver is as follows:

**WAIVER** -- HUD has waived the 30-day public comment requirements of
24 CFR section 91.105(c)(2) and will permit grantees to provide a 10-day
minimum public comment period for substantial amendments to the
consolidated plan. The waiver will remain in effect through the end of
each grantee's 2006 CDBG program year.

**HUD Waivers for the City of Baton Rouge -- Parish of East Baton Rouge,
Louisiana**

On February 14, 2006, HUD issued a series of regulatory waivers and
statutory suspensions to the City of Baton Rouge- Parish of East Baton
Rouge, Louisiana, to help the City recover from the effects of Hurricane
Katrina. The waivers and suspensions are as follows:

**WAIVER** -- HUD has suspended 42 USC 5305(a)(24)(D) to allow the City
and Parish to provide up to 100 percent of the down payment required for
low- and moderate-income homebuyers. In support of this suspension, HUD
has waived 24 CFR section 570.201(n). The relief granted by this
suspension and waiver shall remain in effect through the end of the
grantee's 2007 program year and may be utilized solely for the benefit
of low- and moderate-income homebuyers in support of Hurricane Katrina
relief efforts.

**WAIVER --**HUD has suspended 42 USC 5305(a) to permit the City and
Parish to use CDBG funds for new housing construction. HUD has waived 24
CFR section 570.207(b)(3) to permit the City to utilize CDBG funds for
new housing construction activities. The waiver and suspension are
effective through the end of the grantee's 2007 program year and may be
utilized solely for the benefit of low- and moderate-income homebuyers
in support of Hurricane Katrina relief efforts.

**Compliance Requirements Affected** - III.A, "Activities Allowed or
Unallowed," and III.G.3.c, "Matching, Level of Effort, Earmarking --
Earmarking"

**Additional Information** - The waivers can be found on the Internet at
<http://www.hud.gov/offices/cpd/library/katrina/revkatpswaive.pdf>, and
<http://www.hud.gov/offices/cpd/library/katrina/CDBGwaiver_ext.pdf>.

**CFDA 14.228 COMMUNITY DEVELOPMENT BLOCK GRANTS/STATE'S PROGRAM**
(State-Administered Small Cities Program)

**WAIVER** - On September 5, 2005, HUD issued a statutory suspension of
the 15 percent public service expenditure cap applicable to CDBG funds
for purposes related to Hurricane Katrina assistance efforts. This
suspension was extended to Hurricane Rita recovery efforts on October
13, 2005.

**HUD Waivers for the States of Louisiana and Mississippi.**

On October 13, 2005 and November 9, 2005, HUD issued a series of
statutory suspensions and regulatory waivers to the States of Louisiana
and Mississippi, respectively, to help the States' recovery from the
effects of Hurricane Katrina. The waivers are as follows:

**WAIVER** - HUD suspended 42 USC 5305(a) to permit new construction of
housing (see III.A.1, "Activities Allowed or Unallowed")

**WAIVER** - HUD has granted a waiver modifying the provisions of 24 CFR
sections 570.483(b)(4)(iv)(A)(1) and (b)(4)(v) regarding the criteria
for locations in which a person may be presumed to be of low or moderate
income. For job-retention activities, in addition to the presumptions
currently allowed, the State may accept any census tract as meeting the
criteria of paragraph (b)(4)(v), if at least 51 percent of the residents
of the tract are of low and moderate income, according to either the
latest Low/Moderate Income Survey Data or a more recent survey; and the
tract is located in a parish eligible for both Individual and Public
Assistance under disaster declaration FEMA-1603-DR or any comparable
declaration issued pursuant to Hurricane Rita (see III.A.2, "Activities
Allowed or Unallowed").

**WAIVER** - HUD waived the provisions of 24 CFR sections
570.483(b)(1)(v)(D) and (e)(5)(i) regarding job retention activities
meeting the low- and moderate-income benefit criteria on an area benefit
basis when undertaken pursuant to a community revitalization strategy.
This waiver lifted the requirement that a unit of general local
government have an approved community revitalization strategy for
purposes of paragraph (e)(5)(i). For job-retention activities, this
waiver lifted the requirement for units of general local government to
obtain prior HUD case-by-case approval under paragraph (b)(1)(v)(D), if
at least 51 percent of the residents of the unit of general local
government are of low and moderate income, according to either the
latest Low/Moderate Income Survey Data or a more recent survey; and the
unit of general local government is located in a parish eligible for
both Individual and Public Assistance under disaster declaration
FEMA-1603-DR or any comparable declaration issued pursuant to Hurricane
Rita (see III.A.2, "Activities Allowed or Unallowed").

**WAIVER** - HUD suspended 42 USC 5306(d)(3)(A), (d)(5), and (d)(6) (as
revised and renumbered by Pub. L. No. 108-199, Section 423 and formerly
codified as 42 USC 5306(d)(3)(A) and (d)(5)), and waived 24 CFR sections
570.489(a)(1)(i) and (iii), which cap State administration expenditures
and require a dollar-for-dollar match of State funds for administrative
costs exceeding \$100,000 (see III.G.3.b, "Matching, Level of Effort,
Earmarking -- Earmarking"). The suspension and waiver regarding State
administrative costs and cost matching applies to any State
administrative expenses incurred between the date of disaster
declaration FEMA-1603-DR (August 29, 2005) and the end of Louisiana's
2006 program year (March 31, 2007). The suspension regarding the limit
on Technical Assistance activities applies to Federal fiscal year 2005
and 2006 funding, as well as to any prior fiscal years for which the
State has funds remaining that are not under contract to units of
general local government.

**WAIVER** - HUD suspended the provision of 42 USC 5304(j) that
prohibits the State from requiring certain program income to be returned
to the State, and waived the same provision in 24 CFR section
570.489(e)(3) (see III.G.3.b, "Matching, Level of Effort, Earmarking -
Earmarking"). For any activities funded with Federal fiscal year 2006 or
prior year funding that is not under contract to units of general local
government as of the date of this letter, the State may require all
program income to be returned to the State.

**WAIVER** - HUD suspended 42 USC 5304(d)(2) and (d)(3) to remove the
one-for-one replacement requirements for occupied and vacant occupiable
lower-income dwelling units that may be demolished or converted to a use
other than for housing; and to remove the relocation benefits
requirements contained in Section 104(d) of the Housing and Community
Development Act (42 USC 5304(d)) to the extent they differ from those of
the Uniform Relocation Act. HUD waived 24 CFR section 42.375 to remove
the requirements implementing the aforementioned statutory requirements
regarding replacement of housing and 24 CFR section 42.350 to remove the
requirements implementing the aforementioned Housing and Community
Development Act relocation benefits requirements, to the extent these
regulations differ from the Uniform Relocation Assistance Act
regulations contained in 49 CFR part 24 (see III.K, "Real Property
Acquisition and Relocation Assistance").

**WAIVER** - For the State of Louisiana, HUD suspended 42 USC
5305(a)(24)(D) to remove the 50 percent downpayment assistance cap for
direct homeownership assistance to low-and moderate-income homebuyers
(see III.A.1, "Activities Allowed or Unallowed").

**WAIVER** - For the State of Louisiana, HUD waived the provisions of 24
CFR sections 91.325(b)(4)(ii) and 570.484 to allow the State of
Louisiana to change its certification of compliance with the 70 percent
overall low-and moderate-income benefit requirement (42 USC
5304(b)(3)(A)) retroactively, if the State so chooses, to a 2- or 3-year
period (see III.G.3.a, "Matching, Level of Effort, Earmarking -
Earmarking"). Thus, if the State of Louisiana wishes to change its
existing certifications to cover Federal fiscal years 2003-2005,
2004-2006 or 2005-2007 funding, it may do so, as long as it informs HUD
of the new certification period. (The period must cover consecutive
years.)

**WAIVER** - For the State of Mississippi, HUD suspended 42 USC 5305(a)
to permit use of funds to purchase generators (see III.A.1, "Activities
Allowed or Unallowed").

**HUD Waivers for the State of Louisiana**

On January 20, 2006, HUD issued a series of regulatory waivers and
statutory suspensions to the State of Louisiana to help the State
recover from the effects of Hurricane Katrina. The waivers and
suspensions are as follows:

**WAIVER** -- For the purposes of the Louisiana Bridge Loan Program, HUD
has suspended the provisions of (1) 42 USC 5304(a)(1) requiring that the
State's method of distribution may only provide that funds be
distributed to units of general local government; (2) 42 USC 5306(d)(1)
requiring that the State's CDBG funds shall be for use in
non-entitlement areas;\
(3) 42 USC 5306(d)(2) requiring that State CDBG funds are to be
distributed only to units of general local government located in
non-entitlement areas of the State; and (4) 42 USC 5306(d)(2)(D), to
remove the requirement that the State certify that each unit of general
local government to which funds are to be distributed will identify its
housing and community development needs. To implement the aforementioned
suspensions, HUD has waived the provisions of (1) 24 CFR section
91.320(c) and (g)(1) requiring that the State's method of distribution
only provide funds that will be distributed to units of general local
government;\
(2) 24 CFR section 91.325(b)(2)(v), to eliminate the certification under
42 USC 5306(d)(2)(D), (see above); and (3) 24 CFR section 570.486(b)
regarding the requirement that units of general local government
determine that the activity is meeting its needs in accordance with 42
USC 5306(d)(2)(D).

**WAIVER** -- For the purposes of the Louisiana Bridge Loan Program, HUD
has suspended the provisions of 42 USC 5305(e)(3), which require the
State to demonstrate that the public benefit provided by the activity is
appropriate relative to the amount of assistance provided with the
grant. To implement this suspension, HUD has waived 24 CFR section
570.482(f)(6), which requires the State and its grant recipients to
demonstrate the level of public benefit.

**WAIVER** -- For the purposes of the Louisiana Bridge Loan Program, HUD
has waived the provisions of 24 CFR section 570.483(d) regarding
required certifications by the unit of general local government to
support the classification of activities as meeting the urgent need
national objective.

**Compliance Requirements Affected** - The following compliance
requirements have been affected by the waivers listed above:

III.A, "Activities Allowed or Unallowed;" III.G.3.a, b, and d,
"Matching, Level of Effort, Earmarking - Earmarking;" III.K, "Real
Property Acquisition and Relocation Assistance"

**Additional Information** -- Information on these and other waivers
issued by HUD can be found on the Internet at:
<http://www.hud.gov/offices/cpd/library/katrina/>,
<http://www.hud.gov/offices/cpd/library/katrina/revkatpswaive.pdf>,
<http://www.hud.gov/offices/cpd/library/katrina/modCPwaiver.pdf>, and
<http://www.hud.gov/offices/cpd/library/katrina/CDBGwaiver_ext.pdf>.

**CFDA 14.231 EMERGENCY SHELTER GRANTS PROGRAM**

**WAIVER** - The definition of "emergency shelter" has been waived so
that it is not limited to "facilities." The current definition prevents
the use of conventional housing owned by private-sector landlords from
being used as short-term emergency and transitional shelter resources.
Because of the scope of this disaster, HUD provided maximum flexibility
to grantees to meet their emergency housing needs (24 CFR section
576.3).

**WAIVER** - The obligation and expenditure requirements listed in 24
CFR sections 576.35(a) and (b) are waived for a period of up to one year
(subject to any applicable statutory limitations). Within 24 CFR section
576.35, (a) refers to States and (b) refers to Formula cities and
counties, territories, and Indian tribes. States must currently make the
funds available for use within 65 days, obligate them within 180 days,
and spend them within 24 months. Entitlement communities must spend
funds within 24 months. This waiver will enable grantees to retain their
funds while homeless providers and their communities seek to rebuild
service-delivery systems in the wake of the Katrina and Rita disasters
(24 CFR section 575.35).

**Compliance Requirements Affected** - III.A, "Activities Allowed or
Unallowed," III.H, "Period of Availability of Federal Funds," and
III.N.2, "Special Tests and Provisions -- Funding"

**Additional Information** -- The waivers cited in this section are
listed at the following website:
<http://www.hud.gov/offices/cpd/library/katrina/ESGWaiver.pdf>.

**CFDA 14.239 HOME INVESTMENT PARTNERSHIPS PROGRAM**

**WAIVER** - The requirements in 24 CFR sections 92.203(a)(1) and (2)
and 24 CFR section 92.610(c) that require that initial income
determinations be made using source documentation are waived. This
waiver will permit the Participating Jurisdiction (PJ) to use
self-certification of income, as provided in 24 CFR section
92.203(a)(1)(ii), in lieu of source documentation to determine
eligibility of beneficiaries for HOME and American Dream Downpayment
Initiative (ADDI) assistance who are unable to provide such
documentation because their homes were severely damaged or they were
displaced by Hurricane Katrina or Rita. The PJ must retain the income
self-certification. This waiver also applies to any "receiving
community" for persons displaced by Hurricane Katrina or Rita who are
registered with the Federal Emergency Management Agency (FEMA) (see
III.E.1.a and b, "Eligibility - Eligibility for Individuals").

**WAIVER** - The requirements in 24 CFR section 92.207 that limit the
amount of HOME funds that a PJ may use for administrative and planning
costs to 10 percent of allocation plus program income received are
waived. This waiver is intended to enable the PJ to expend up to 20
percent of its Federal fiscal year 2004, 2005, and 2006 allocations and
program income received for administrative and planning costs (See
III.G.3.d, "Matching, Level of Effort, Earmarking -- Earmarking").

**WAIVER** - The requirements in 24 CFR sections 92.209(b), (c), (h),
(i), (j) and (k) that govern the operation of a HOME Tenant-Based Rental
Assistance (TBRA) program have been waived in the provisions of: (b)
General requirement (certification); (c) Tenant selection; (h) Maximum
subsidy; (i) Housing quality standards; (j) Definition of Security
deposit; and (k) Program operation. (HUD cannot suspend requirements
with respect to low-income status of beneficiaries.) (See III.A.1,
"Activities Allowed or Unallowed;" III.E.1.b and c, "Eligibility -
Eligibility for Individuals;" and III.N.1 and 2, "Special Tests and
Provisions - Maximum Per Unit Subsidy and Drawdown of HOME Funds.")

**WAIVER** - The requirements in 24 CFR section 92.209(h)(3) of the HOME
final rule provide two options for PJs in establishing rent standards
for their TBRA programs. The TBRA payment may not exceed the difference
between the rent standard and 30 percent of the families' adjusted
income. In many housing markets there is a limited stock of vacant units
that charge rents within the rent standards and evacuees receiving TBRA
would be required to pay more than 30 percent of their income toward
rent. This waives the HOME rent standard requirement and permits PJs to
establish rent standards, by unit size, that are reasonable based upon
rents being charged for comparable unassisted units in the area, taking
into account the location, size, type, quality, amenities, facilities,
management, and maintenance of each unit. This rent standard is to be
used in calculating the TBRA subsidy for persons displaced by Hurricane
Katrina or Rita. PJs are required to determine rent reasonableness in
accordance with 24 CFR section 92.209(f). This waiver expires on October
4, 2007. This waiver also applies to any "receiving community" for
persons displaced by Hurricane Katrina or Rita (see III.E.1.a and b,
"Eligibility - Eligibility for Individuals").

**WAIVER** - The matching requirements in 24 CFR section 92.222(b) are
reduced for the PJ by 100 percent with respect to any HOME funds
expended during Federal fiscal years 2006 and 2007. The requirement that
the PJ must submit a copy of the disaster declaration is waived (see
III.G.1, "Matching, Level of Effort, Earmarking -- Matching").

**WAIVER** - The requirements in 24 CFR sections 92.250(a) and 92.612(a)
regarding the maximum subsidy amount of HOME and ADDI funds that the PJ
may invest per unit have been waived. For the State of Texas, this
waiver is limited to counties declared disaster areas under the Stafford
Act. (See III.G.3.a, "Matching, Level of Effort, Earmarking -
Earmarking.")

**WAIVER** - The requirements in 24 CFR sections 92.251 and 92.612(b)
that require that housing assisted with HOME or ADDI funds meet property
standards based on the activity undertaken, i.e., HUD housing quality
standards (HQS) in 24 CFR section 982.109 for tenant-based rental
assistance and homebuyer assistance and state and local standards and
codes or model codes for rehabilitation and new construction, are
waived. Property standard requirements are waived for repair of
properties damaged by Hurricane Katrina or Rita and for units occupied
by tenant-based rental assistance recipients that were displaced by
Katrina or Rita. Units must meet State and local health and safety
codes. The lead housing safety regulations established in 24 CFR part 35
are not waived. For the State of Texas, this waiver is limited to
counties declared disaster areas under the Stafford Act. (See III.N.3,
"Special Tests and Provisions - Housing Quality Standards.")

**WAIVER** - The requirements in 24 CFR sections 92.209(i) and 92.251(d)
provide that units occupied by recipients of HOME TBRA meet the Housing
Quality Standards (HQS) established at 24 CFR section 982.401. This
property standard requirement is waived for units occupied by TBRA
recipients who were displaced by Hurricane Katrina or Rita and are
registered with FEMA. PJs must ensure that these units, at a minimum,
meet state and local health and safety codes within 30 days of
occupancy. The lead hazard safety regulations at 24 CFR part 35, subpart
M, which require the PJ to perform a visual assessment for deteriorated
paint surfaces when a child under age 6 will occupy a unit using a TBRA
subsidy, remain in effect. This waiver also applies to any "receiving
community" for persons displaced by Hurricane Katrina or Rita. (See
III.N.3, "Special Tests and Provisions - Housing Quality Standards.")

**WAIVER** - The requirements in 24 CFR section 92.253(d) requiring an
owner of rental housing assisted with HOME funds to adopt written tenant
selection policies and procedures are waived. For the State of Texas,
this waiver is limited to counties declared disaster areas under the
Stafford Act. (See III.E.1, "Eligibility - Eligibility for
Individuals.")

**WAIVER** - The requirements in 24 CFR section 92.300(a)(1) establish a
set-aside for Community Housing Development Organizations (CHDOs). The
requirement that the PJ use 15 percent of its allocation for housing
owned, developed, or sponsored by CHDOs is suspended for the PJ's
Federal fiscal year 2005 and 2006 allocations (see III.G.3.c, "Matching,
Level of Effort, Earmarking -- Earmarking").

**WAIVER** - The requirements in 24 CFR sections 92.353(e) and 42.375
requiring a PJ to replace occupied and vacant occupiable lower-income
dwelling units that are demolished or converted to a use other than as
lower-income dwelling units in connection with a development project
assisted with HOME are waived. For the State of Texas, this waiver is
limited to counties declared disaster areas under the Stafford Act. (See
III.A.1, "Activities Allowed or Unallowed.")

####### **WAIVER** - The requirement in 24 CFR section 92.602(e) that limits the amount of ADDI assistance that may be provided to an assisted homebuyer to the greater of: (1) 6 percent of the sales price; or 2) \$10,000 have been waived. The waiver will relieve the PJ of the burden of finding other sources of financing for families affected by Hurricane Katrina or Rita. The waiver is limited to households affected by the disaster. (See III.A.1, "Activities Allowed or Unallowed.")

**WAIVER** - The requirement in 24 CFR section 92.254(a)(2) that the
sales price or maximum after-rehabilitation value of HOME-assisted
housing may not exceed 95 percent of the area median sales price has
been waived. The waiver will provide PJs with flexibility to assist
low-income homebuyers to purchase available, standard housing in the
local market area. The waiver is limited to households affected by
Hurricane Katrina or Rita. (See III.N.1, "Special Tests and Provisions
-- Maximum Per Unit Subsidy.")

**Compliance Requirements Affected** - III.A.1, "Activities Allowed or
Unallowed;" III.E.1.a, b. and c, "Eligibility;" III.G.1 and G.3.a, c,
and d, "Matching, Level of Effort, Earmarking;" and III.N.1, 2, and 3,
"Special Tests and Provisions"

**Additional Information** -- The waivers cited in this section are HOME
statutory requirements that were suspended and HOME regulatory
requirements that were waived by HUD on September 9, September 14, and
October 14, 2005, for Participating Jurisdictions (PJ) affected by
Hurricane Katrina or Rita. A copy of the waivers can be found on the
Internet at <http://www.hud.gov/offices/cpd/library/katrina/>.

The following waivers and special provisions apply to the Public and
Indian Housing (PIH) programs listed below as well as to PIH funding
under CFDA 14.182, which is a Community Planning and Development
program.

**14.182 SECTION 8 NEW CONSTRUCTION AND SUBSTANTIAL REHABILITATION**

**14.195 SECTION 8 HOUSING ASSISTANCE PAYMENTS PROGRAM - SPECIAL
ALLOCATIONS**

**14.850 PUBLIC AND INDIAN HOUSING**

**14.854 PUBLIC AND INDIAN HOUSING DRUG ELIMINATION PROGRAM**

**14.856 LOWER INCOME HOUSING ASSISTANCE PROGRAM - SECTION 8 MODERATE
REHABILITATION**

**14.862 INDIAN COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM**

**14.866 DEMOLITION AND REVITALIZATION OF SEVERELY DISTRESSED PUBLIC
HOUSING (HOPE VI)**

**14.867 INDIAN HOUSING BLOCK GRANTS**

**14.871 SECTION 8 HOUSING CHOICE VOUCHERS**

**14.872 PUBLIC HOUSING CAPITAL FUND (CFP)**

**WAIVERS** -- The requirement for PHAs to obligate capital funds for
modernization, substantial rehabilitation, or new construction has been
extended to allow an additional 12 months beyond 24 months after the
date on which the funds become available for obligation for
modernization, or the date on which the PHA accumulates adequate funds
to undertake modernization, substantial rehabilitation, or new
construction. In addition, the requirement for capital funds to be
expended not later than 4 years after the date on which the funds become
available for obligation, plus the period of any extension approved
under Section 9(j)(2), has been extended by 12 months in the affected
areas. These extensions are for areas affected by Hurricane Katrina or
Rita and are authorized by Section 9(j)(5) of the U.S. Housing Act of
1937 (42 USC 1437g(j)(2)). (See III.H, "Period of Availability of
Federal Funds.")

**SPECIAL PROVISIONS** -- The filing deadline established in 24 CFR
section 5.801 for a PHA to submit unaudited financial information is
changed from 60 to 180 days after the end of the PHA's fiscal year. In
addition, for PHAs with fiscal years ending December 31, 2004 and March
31, 2005, the deadline for submitting audited financial information is
changed from 9 months to 13 months. (See II, "Program Procedures.")

**Additional Information** -- Waivers issued for Public and Indian
Housing programs can be found on the Internet at:
<http://www.hud.gov/offices/pih/publications/katrinapihadminwaiv.pdf>;
and <http://www.hud.gov/offices/pih/publications/ritapihadminwaiv.pdf>.

**DEPARTMENT OF EDUCATION (ED)**

**CFDA 84.000 ED CROSS-CUTTING SECTION**

**CFDA 84.002 ADULT EDUCATION \-- STATE GRANT PROGRAM**

**CFDA 84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES (LEAs) (Title
I, Part A of ESEA)**

**CFDA 84.011 MIGRANT EDUCATION** **\-- STATE GRANT PROGRAM (Title I,
Part C of ESEA)**

**CFDA 84.027 SPECIAL EDUCATION \-- GRANTS TO STATES (IDEA, Part B)**

**CFDA 84.173 SPECIAL EDUCATION \-- PRESCHOOL GRANTS (IDEA Preschool)**

**CFDA 84.041 IMPACT AID**

**CFDA 84.042 TRIO \-- STUDENT SUPPORT SERVICES**

**CFDA 84.044 TRIO \-- TALENT SEARCH**

**CFDA 84.047 TRIO \-- UPWARD BOUND**

**CFDA 84.066 TRIO \-- EDUCATIONAL OPPORTUNITY CENTERS**

**CFDA 84.217 TRIO \-- MCNAIR POST-BACCALAUREATE ACHIEVEMENT**

**CFDA 84.048 VOCATIONAL EDUCATION \-- BASIC GRANTS TO STATES\
(Perkins III)**[^1]

**CFDA 84.181 SPECIAL EDUCATION \-- GRANTS FOR INFANTS AND FAMILIES WITH
DISABILITIES**

**CFDA 84.186 SAFE AND DRUG-FREE SCHOOLS AND COMMUNITIES \-- STATE
GRANTS**

**CFDA 84.282 CHARTER SCHOOLS**

**CFDA 84.287 TWENTY-FIRST CENTURY COMMUNITY LEARNING CENTERS**

**CFDA 84.288 BILINGUAL EDUCATION -- PROGRAM DEVELOPMENT AND
IMPLEMENTATION GRANTS**

**CFDA 84.290 BILINGUAL EDUCATION -- COMPREHENSIVE SCHOOL GRANTS**

**CFDA 84.291 BILINGUAL EDUCATION -- SYSTEMWIDE IMPROVEMENT GRANTS**

**CFDA 84.298 STATE GRANTS FOR INNOVATIVE PROGRAMS**

####### **CFDA 84.318 EDUCATION TECHNOLOGY STATE GRANTS**

####### **CFDA 84.357 READING FIRST STATE GRANTS**

####### **CFDA 84.365 ENGLISH LANGUAGE ACQUISITION GRANTS**

####### **CFDA 84.366 MATHEMATICS AND SCIENCE PARTNERSHIPS**

####### **CFDA 84.367 IMPROVING TEACHER QUALITY STATE GRANTS**

**WAIVERS/SPECIAL PROVISIONS** - The above programs may be affected by
waivers or special provisions issued by ED for ED Elementary and
Secondary Education Programs. ED has issued guidance to States with LEAs
and schools accepting students from the Gulf States impacted by
Hurricanes Katrina and Rita (see web sites below).

**Compliance Requirements Affected** - Auditors should review the ED
websites for any waivers or special provisions that affect the
compliance requirements for programs being audited.

**Additional Information** -- Guidance and information on waivers and
special provisions related to Hurricanes Katrina and Rita for ED
Elementary and Secondary Education Programs is available at:
<http://hurricanehelpforschools.gov/letters/index.html>. Auditors should
review these websites for waivers or changes in compliance requirements.

**WAIVERS/SPECIAL PROVISIONS** - Under Pub. L. No. 109-148, Title IV,
Subtitle B, Higher Education Hurricane Relief Act of 2005, the Secretary
of Education is to provide additional authority to waive requirements.
In providing any grant or other assistance, directly or indirectly, to
an entity in an affected State in which a major disaster has been
declared in accordance with section 401 of the Robert T. Stafford Relief
and Emergency Assistance Act (42 USC 5170), related to Hurricane Katrina
or Hurricane Rita, in order to ease fiscal burdens, the Secretary of
Education may waive or modify for fiscal year 2006 any requirement
related to:

-   Maintenance of effort - If the Secretary grants a waiver or
    modification under this section waiving or modifying a requirement
    relating to maintenance of effort for fiscal year 2006, the level of
    effort required for fiscal year 2007 shall not be reduced because of
    the waiver or modification.

-   The use of Federal funds to supplement, not supplant, non-Federal
    funds, or

-   Any non-Federal share or capital contribution required to match
    Federal funds provided under Department of Education programs.

This provision does not waive or modify any provision of the Individuals
with Disabilities Education Act (IDEA) (20 USC 1400 *et seq*.).

**CFDA 84.032 FEDERAL FAMILY EDUCATION LOANS - (Guaranty Agencies)**

**WAIVERS/SPECIAL PROVISIONS** - ED has issued guidance applicable for
guaranty agencies that are insuring loans for students at schools in the
geographic area directly affected by Hurricane Katrina or Rita, and
applicable for schools accepting students from that geographic area.

**Compliance Requirements Affected** - Auditors should review the ED
website for any waivers or special provisions that affect the compliance
requirements for programs being audited.

**Additional Information** - Guidance is available on the Internet at:
<http://ifap.ed.gov/eannouncements/katrina.html>, then link on the
particular Hurricane, Katrina or Rita. This will take you to a separate
page which on the left shows "Lenders, Servicers, and Guaranty
Agencies." (Some information is also provided relating to counties
affected by Hurricane Wilma.) ED will post any additional guidance on
the above website as required.

**CFDA 84.126 REHABILITATION SERVICES~~\--~~VOCATIONAL REHABILITATION
GRANTS TO STATES**

**WAIVER** -- Pub. L. No. 109-082, Assistance for Individuals with
Disabilities Affected by Hurricane Katrina or Rita Act of 2005, enacted
on September 30, 2005, granted affected States in the Gulf region
waivers of the State matching requirements for Federal fiscal year (FY)
2005 funds awarded during the FY 2005 reallotment process and for FY
2005 funds restored to Louisiana. Louisiana would have relinquished
these funds due to a failure to provide matching funds. The States
benefiting were Alabama, Louisiana, Mississippi, and Texas. Grant award
notifications that accompanied the FY 2005 reallotment awards specified
the amount of the waiver granted for each of the affected Vocational
Rehabilitation agencies. The affected regulatory guidance is 34 CFR
section 361.60.

**WAIVER** -- Pub. L. No. 109-148, Title IV, Subtitle A, provided the
Secretary of Education the authority to grant waivers of requirements
related to matching of Federal funds and maintenance of effort. Section
105 stipulates that a waiver granted by the Secretary for this program
is limited to FY 2006 grant funds. Section 105 further states that, if
the Secretary grants a waiver related to the maintenance of effort
requirement for FY 2006, the affected State's level of effort for FY
2007 shall not be reduced on account of the FY 2006 waiver.

**Compliance Requirement Affected** - III.G.1, "Matching, Level of
Effort, Earmarking - Matching"

**DEPARTMENT OF HEALTH AND HUMAN SERVICES**

**CFDA 93.558 TEMPORARY ASSISTANCE FOR NEEDY FAMILIES (TANF)**

See Part 4, 93.558, "Program Procedures - Source of Governing
Requirements," concerning funding authorized by the TANF Emergency
Response and Recovery Act of 2005,\
Pub. L. No. 109-68, which was enacted on September 21, 2005. Section 4
of Pub. L. No. 109-68 expired on September 30, 2006; and section 5 does
not have an expiration date.

**SPECIAL PROVISIONS** - Section 5 of Pub.L. 109-68 authorizes a State
or tribe to use any TANF grant for any fiscal year to support needy
families affected by Hurricane Katrina. Thus, both prior-year, unspent
funds and current year grants may be used for any TANF benefit or
service (not just "assistance") for these families. As a result, the
prohibition in 45 CFR section 263.11(b) against use of prior-year funds
for non-assistance benefits and services would not apply.

The Administration for Children and Families (ACF) published Program
Instruction TANF-ACF-PI-2007-08, dated November 28, 2007, to explain
policy and provide guidance with respect to the current TANF program on
the use of Federal TANF funds and State maintenance-of-effort funds to
enable States and Tribes to serve families affected by a Federal or
State disaster declaration. This Program Instruction (PI) presents items
to consider with respect to the current TANF program as you address the
needs of families affected by a Federal or State-declared disaster. The
purpose of this Program Instruction is to inform States and Tribes how
they may use TANF funds *on a short-term basis* in response to a Federal
or State declared disaster. The streamlined or abbreviated determination
and verification processes addressed in this PI are triggered by the
Federal or State disaster declaration and may continue for up to four
consecutive months. If a State or Tribe believes that it needs to use
TANF funds in this manner for longer than four consecutive months, then
it must request an extension in writing from the applicable Regional
TANF Program Manager. The Regional TANF Program Manager will consult
with the Office of Family Assistance prior to granting any extension.
This PI is available on the Internet at
<http://www.acf.hhs.gov/programs/ofa/pi-ofa/2007/200708/PI200708.htm>.

**Compliance Requirements Affected** - III.G.2.1.c, "Matching, Level of
Effort, Earmarking - Level of Effort - Maintenance of Effort;" III.H.1.a
and H.2, "Period of Availability of Federal Funds;" III.E.1.a,
"Eligibility - Eligibility for Individuals;" and III.N.2, "Special Tests
and Provisions - Income Eligibility and Verification System (IEVS)."

**CFDA 93.575 CHILD CARE AND DEVELOPMENT BLOCK GRANT (CCDBG)**

**CFDA 93.596 CHILD CARE MANDATORY AND MATCHING FUNDS OF THE CHILD CARE
AND DEVELOPMENT FUND (CCDF**)

**WAIVER** -- The Emergency Supplemental Appropriations Act to Address
Hurricanes in the Gulf of Mexico and Pandemic Influenza of 2006 (Pub. L.
No. 109-148) provided the Secretary of Health and Human Services with
temporary authority to waive certain provisions of the Child Care and
Development Block Grant (CCDBG) Act of 1990 (42 USC 9858 *et seq*.), as
amended, for States affected by the Gulf hurricane disasters and those
States serving significant numbers of individuals affected by the Gulf
hurricane disasters. This waiver authority expired September 30, 2006.
Eligible States could request waivers from the following requirements of
the CCDBG Act: requirement that eligible families have income no greater
than 85 percent of State Median Income; requirement that eligible
families be working or in training or educational programs; requirement
that States spend at least four percent of their CCDF allotment on
quality activities; provisions of the CCDBG Act that could be construed
to prevent children designated as evacuees from receiving priority for
child care services (except that children residing in a State and
currently receiving services should not lose such services in order to
accommodate evacuee children); and requirements related to State match.
Further information on the CCDF waivers authorized in response to the
Gulf hurricane disasters may be found in a program instruction on the
subject issued by the Child Care Bureau (ACYF-PI-CC-06-01), which may be
found on the Child Care Bureau website at
<http://www.acf.hhs.gov/programs/ccb/law/state_byyear.htm>.

Louisiana's Office of Family Support requested and was granted the
following waivers: (1) from the entire capital contribution required to
draw down Louisiana's allotment of FY 2006 Federal CCDF matching funds;
(2) from any capital contribution required to draw down Louisiana's
share of additional Federal CCDF matching funds that may be
redistributed pursuant to 45 CFR section 98.64; and (3) from the CCDBG
Act provisions requiring States to spend at least four percent of their
CCDF allotment on quality activities.

Mississippi's Department of Human Services requested and was granted the
following waivers with respect to the additional allotment of funds
appropriated by the Deficit Reduction Act (DRA) of 2005 (Pub .L. No.
109-171): (1) from that portion of the capital contribution required to
draw down those additional CCDF matching funds; and (2) from the CCDBG
Act provisions requiring States to spend at least four percent of their
CCDF allotment on quality activities. As noted, these waivers do not
apply to the entire FY 2006 allotment, but only to those additional
funds made available in January 2006.

The Texas Workforce Commission requested and was granted waivers: (1)
from the capital contribution required to draw down \$30,730,811 in FY
2006 Federal CCDF matching; and\
(2) from the capital contribution required to draw down up to
\$4,469,189 in additional Federal CCDF matching funds that may be
redistributed pursuant to 45 CFR section 98.64.

**Compliance Requirements Affected** - III.E.1, "Eligibility -
Eligibility for Individuals," and III.G, "Matching, Level of Effort,
Earmarking - Matching."

**SPECIAL PROVISIONS** - In response to Hurricanes Katrina and Rita, the
Child Care Bureau issued guidance on Flexibility in Spending CCDF Funds
in Response to Federal or State Declared Emergency Situations
(ACYF-IM-CC-05-03), which may be found on the Child Care Bureau's
website:
[[http://www.acf.hhs.gov/programs/ccb/policy1/current/im0503/im0503.htm]{.underline}](http://www.acf.hhs.gov/programs/ccb/policy1/current/im0503/im0503.htm).
The guidance details existing flexibility in the CCDF program that
States could use in responding to child care needs in emergency
situations. Since this flexibility is currently provided in statute or
regulations, there is no expiration date for these special provisions.

The Child Care Bureau's guidance offered the options under existing
statute and regulations to help States use CCDF funds assist victims of
Hurricanes Katrina and Rita. Some of these options included (1) using
CCDF quality dollars to provide immediate assistance to displaced
families; (2) revising eligibility conditions or priority rules (e.g.,
defining "working" to include families seeking employment, participating
in community service, or a similar activity and adding additional
eligibility conditions or priority rules as a method of targeting
programs);\
(3) broadening the definition of protective services to permit emergency
eligibility;\
(4) examining the State's income eligibility threshold and what the
State counts as income; and (5) using quality dollars to provide
supply-building grants to providers.

The guidance noted that exercising some options would require the State
to submit an amendment to their State Plan, but that such amendments
could be submitted up to 60 days after the effective date of a change,
and that States desiring to take advantage of options afforded by the
CCDF statute and regulations could act immediately.

**Compliance Requirements Affected** - III.A, "Activities Allowed or
Unallowed," and III.E.1, "Eligibility - Eligibility for Individuals"

**CFDA 93.600 HEAD START**

**WAIVER**- Any family that declares it has been forced to leave its
home because of Hurricane Katrina should be considered an evacuee.
Pre-school age children of these families are to be considered as income
eligible for Head Start. If a family does not have a birth certificate,
programs should accept the family's information about the child's birth
date and a note should be included in the child's file that age and/or
income eligibility was determined by based on information provided by
the child's family. (Chapter 6, Pub. L. No. 109-148)

**Compliance Requirement Affected --** III,G.3.c, "Matching, Level, of
Effort, Earmarking - Earmarking - Required percentage of income
eligibles"

**Additional Information -** ACYF-IM-HS-05-04, Waivers and Funding
Related to Hurricane Katrina
([http://eclkc.ohs.acf.hhs.gov/hslc/Program%20Design%20and%20Management/Head%20Start%20Requirements/IMs/2005](http://eclkc.ohs.acf.hhs.gov/hslc/Program Design and Management/Head Start Requirements/IMs/2005))

**DEPARTMENT OF HOMELAND SECURITY**

**97.036 DISASTER GRANTS - PUBLIC ASSISTANCE (PRESIDENTIALLY DECLARED
DISASTERS)**

As a result of Hurricane Katrina, 42 States received Emergency
Declarations. The policies in "Emergency Declarations for Sheltering,"
"Debris Removal on Private Property in Specific Counties," and
"Warehousing of Donations" include Katrina-specific information on
allowable activities. The full text of the policies is located at
<http://www.fema.gov/government/grant/pa/policy.shtm>

**Compliance Requirements Affected:** III.A, "Activities Allowed or
Unallowed"

**97.039 HAZARD MITIGATION GRANT PROGRAM (HMGP)**

WAIVER - A waiver from prior-approval requirements in OMB Circular A-87
applicable to pre-award costs has been granted for HMGP funding provided
to the States of Lousiana and Mississippi for the specific disasters
declared for Hurricanes Katrina and Rita. Information is posted on
[www.dhs.gov "Open for Business](http://www.dhs.gov/)."

**Compliance Requirements Affected:** III.A, "Activities Allowed or
Unallowed"

**PART 5 -- STUDENT FINANCIAL ASSISTANCE CLUSTER**

> **WAIVERS** -- The Department of Education has issued guidance to
> schools directly affected by Hurricane Katrina, Rita, or Wilma and
> schools accepting students from the Gulf States impacted by the
> hurricanes.
>
> **Additional Information** -Guidance for schools is available at:
> <http://ifap.ed.gov/eannouncements/katrina.html>. For specific
> information at this site, link to the individual hurricane.

General guidance for Title IV participants is located at:
<http://ifap.ed.gov/>.

[^1]: This was the name of the program at the time of the hurricanes.