Federal Register / Vol. 85, No. 239 / Friday, December 11, 2020 / Notices 80135 

(3) Ways to enhance the quality, 

utility, and clarity of the information to 

be collected; and 

(4) Ways to minimize the burden of 

the collection of information on those 

who are to respond; including through 

the use of appropriate automated 

collection techniques or other forms of 

information technology, e.g., permitting 

electronic submission of responses. 

HUD encourages interested parties to 

submit comment in response to these 

questions. 

C. Authority 

Section 3507 of the Paperwork 

Reduction Act of 1995, 44 U.S.C. 

Chapter 35. 

John Gibbs, 

Principal Deputy Assistant Secretary for 

Community Planning and Development. 

[FR Doc. 2020–27273 Filed 12–10–20; 8:45 am] 

BILLING CODE 4210–67–P 

DEPARTMENT OF HOUSING AND 

URBAN DEVELOPMENT 

[Docket No. FR–7024–N–50] 

30-Day Notice of Proposed Information 

Collection: COVID19 HUD Contingency 

Plan for HUD Multifamily Rental Project 

Closing Documents; OMB Control No.: 

2502–0618 

AGENCY: Office of the Chief Information 

Officer, HUD. 

ACTION: Notice. 

SUMMARY: HUD has submitted the 

proposed information collection 

requirement described below to the 

Office of Management and Budget 

(OMB) for review, in accordance with 

the Paperwork Reduction Act. The 

purpose of this notice is to allow for an 

additional 30 days of public comment. 

DATES: Comments Due Date: January 11, 

2021. 

ADDRESSES: Interested persons are 

invited to submit comments regarding 

this proposal. Written comments and 

recommendations for the proposed 

information collection should be sent 

within 30 days of publication of this 

notice to www.reginfo.gov/public/do/ 

Start Printed Page 15501PRAMain. Find 

this particular information collection by 

selecting ‘‘Currently under 30-day 

Review—Open for Public Comments’’ or 

by using the search function. 

FOR FURTHER INFORMATION CONTACT: 

Colette Pollard, Reports Management 

Officer, QDAM, Department of Housing 

and Urban Development, 451 7th Street 

SW, Washington, DC 20410; email 

Colette Pollard at Colette.Pollard@

hud.gov or telephone 202–402–3400. 

Persons with hearing or speech 

impairments may access this number 

through TTY by calling the toll-free 

Federal Relay Service at (800) 877–8339. 

This is not a toll-free number. Copies of 

available documents submitted to OMB 

may be obtained from Ms. Pollard. 

SUPPLEMENTARY INFORMATION: This 

notice informs the public that HUD is 

seeking approval from OMB for the 

information collection described in 

Section A. The Federal Register notice 

that solicited public comment on the 

information collection for a period of 60 

days was published on September 4, 

2020 at 85 FR 55312. 

A. Overview of Information Collection 

Title of Information Collection: 

COVID19 HUD Contingency Plan for 

HUD Multifamily Rental Project Closing 

Documents. 

OMB Approval Number: 2502–0618. 

OMB Expiration Date: 12/32/2020. 

Type of Request: Revision of a 

currently approved collection. 

Form Numbers: HUD–5985 & HUD– 

5960. 

Respondents: Business or other forprofit, Not-for-profit institutions, State, 

Local or Tribal Government. 

Estimated Number of Respondents: 

612. 

Estimated Number of Responses: 

1,224. 

Frequency of Response: Twice per 

annum. 

Average Hours per Response: 1.00 

hour [0.50 x 2 = 1 hour]. 

Total Estimated Burdens: 1,224. 

Description of the need for the 

information and proposed use: This is a 

new collection based on situational 

conditions relating to the COVID–19 

Coronavirus outbreak and the 

Presidential declaration that began a 

national emergency. This new PRA 

collection will serve as the authority for 

any new or future changes or revisions 

to multifamily programs impacted by 

COVID–19 or related pandemics. 

The Lender’s Certificate, HUD–92434, 

establishes the conditions, which the 

Lender agrees to abide by in 

consideration of HUD’s commitment to 

FHA-insure mortgages, and by which 

the Lender certifies that the conditions 

have been fulfilled to date, including 

any work done prior to endorsement of 

the Note that has been approved by 

HUD in writing, and all HUD imposed 

conditions that have been met with 

respect to such work. The information 

collection requirements contained in the 

Lender’s Certificate are to oversee the 

parties’ compliance with all applicable 

legal requirements and therefore ensure 

protection of the FHA insurance fund. 

The HUD–92434M is required by the 

Closing Checklists via the Firm 

Commitment (Housing Notice 2018–03) 

and per the fact that the underlying 

forms contemplate hardcopy submission 

(since HUD historically has not 

accepted electronic submission of 

documents for closing purposes). The 

Lender’s Certification Regarding: 

Electronic Submission of Closing 

Documents is a modification of the 

HUD–92434M that will set the Office of 

General Counsel’s (‘‘OGC’’) temporary 

uniform electronic closing protocols 

until normal closing can resume after 

the COVID–19 Pandemic. 

Relating to the current COVID–19 

Coronavirus outbreak and the President 

declaring a national emergency the 

Department of Housing and Urban 

Development (‘‘HUD’’) and its offices 

remain open for business at this time, 

many are now engaged in full-time 

telework. It is therefore prudent and 

appropriate for the OGC, in 

collaboration with Multifamily to 

establish protocols, rules, and 

procedures that best ensure continuity 

of operations in the event of an 

extended closure of a specific division, 

regional or field office, or the 

determination that OGC in its entirety 

should work remotely. Pursuant to the 

March 16, 2020 HUD Memorandum 

issued for all Regional Counsel and 

Deputy Regional Counsel, all Associate 

Regional Counsel for Programs and all 

OGC Closing Attorneys, set forth 

protocols and best practices for the 

continued provision of legal services by 

HUD Closing Attorneys while working 

from home or from another remote 

location. Also included in the 

memorandum are suggestions that may 

be shared with outside counsel to 

facilitate the work being done remotely 

by OGC attorneys. Therefore, Regional 

Counsel will ensure that the temporary 

protocols set forth in the March 16, 2020 

memorandum are adopted and applied 

consistently across the regional and 

field offices within their purview. When 

the pandemic subsides and OGC 

resumes normal closing operations 

consistently across the country, HUD 

will reconsider the temporary protocols 

in this memorandum. OGC attorney 

protocols for review and approval of 

draft closing documents must rely on 

electronic transmission of closing 

documents in lieu of hard copies in 

performing their initial reviews. This 

approach will ensure the continuation 

of reviews even if our external partners 

are unable to physically transmit the 

volume of paper documents needed at 

this stage. While providing increased 

flexibility to lenders in submitting 

closing documents, this protocol does 


jbell on DSKJLSW7X2PROD with NOTICES
80136 Federal Register / Vol. 85, No. 239 / Friday, December 11, 2020 / Notices 

not authorize any additional substantive 

modifications to the closing process 

without approval of the appropriate 

Regional Counsel and the Office of 

Insured Housing in Headquarters. Draft 

closing submission will remain 

consistent with the approach of 

Multifamily Housing and OGC will 

accept draft closing packages in fully 

electronic form. 

Respondents estimation for the 

Escrow Agreement for Deferred Repairs 

& Debt Service—223(f)—(one closing): 

Estimated Number of Respondents: 

330. 

Estimated Number of Responses: 330. 

Frequency of Response: Once per 

annum. 

Average Hours per Response: .50 

hours. 

Total Estimated Burdens: 165. 

Description of the need for the 

information and proposed use: The form 

Escrow Agreement for Deferred Repairs 

& Debt Service—223(f) (‘‘Debt Service 

Escrow Agreement’’), sets the terms and 

conditions between the Borrower and 

Lender and provides for the 

establishment of an escrow by the 

Borrower as security for completion of 

non-critical deferred repairs. Such 

escrow also serves as security for HUD’s 

insurance of the loan. The agreement 

provides for prior approval of HUD for 

certain actions to be taken by the 

Borrower or Lender. The information 

collection requirements contained in 

Debt Service Escrow Agreement are to 

oversee the parties’ compliance with all 

applicable legal requirements and 

therefore ensure protection of the FHA 

insurance fund. 

The global pandemic relating to the 

COVID–19 Emergency has disrupted the 

U.S. economy with significantly 

increased unemployment and overall 

economic instability. This instability 

has carried over to real estate markets in 

general, including multifamily 

commercial markets. During these 

challenging times, HUD remains open 

for business and will continue as an 

active participant in sourcing new 

construction and refinance debt through 

its mortgage insurance programs. At the 

same time, HUD has reevaluated its 

underwriting requirements, particularly 

for market rate refinance transactions 

that may now experience increased 

vacancy, rent collection losses and 

income disruption both in the near and 

long term. Section 207 of the National 

Housing Act provides that no mortgage 

shall be acceptable for insurance unless 

the Secretary finds that the project is 

economically sound, and the MAP 

Guide permits specific mitigants to be 

employed to reduce risk for transactions 

currently in process but yet to receive a 

Firm Commitment to insure. These 

mitigants include but are not limited to 

the requirement of a Debt Service 

Reserve (DSR) for Section 223(f) 

transactions to offset anticipated 

operating losses post endorsement. To 

address risk and/or changed economic 

circumstances for transactions that have 

been issued a commitment to insure but 

have yet to endorse, HUD includes 

language in the Firm Commitment 

affirming that no material adverse 

change (MAC) has occurred between the 

issuance of the commitment and 

endorsement. Accordingly, HUD has 

taken the position that the impact of the 

COVID–19 Emergency has resulted in a 

material change in most, if not all, real 

estate markets and therefore, HUD will 

require mitigants to offset this 

additional risk. Accordingly, this form 

provides clarification and instructions 

to HUD staff describing additional 

mitigants that may be included in the 

Firm Commitment for Section 223(f) 

loans that are in processing, as well as 

for those projects for which a Firm 

Commitment has been issued. 

Revisions to the OMB approved Form 

HUD–92476.1M is the temporary 

Escrow Agreement for Deferred Repairs 

& Debt Service—223(f). This form does 

not permanently replace the HUD– 

92476.1M. The revised escrow, while 

based on the HUD–92476.1M, is a 

separate document for temporary use 

during the COVID–19 emergency 

pursuant to Mortgagee Letter 2020–11 

issued April 10, 2020. The temporary 

Escrow Agreement for Deferred Repairs 

& Debt Service—223(f) Form will 

remain in effect until such time as HUD 

determines that the real estate markets 

that have been negatively affected by the 

COVID–19 Emergency have stabilized 

and additional mitigants for Section 

223(f) transactions are no longer 

required. 

This new collection can be used to 

address future changes to multifamily 

programs or processes that may arise 

from impacts due to the COVID19 

pandemic. 

B. Solicitation of Public Comment 

This notice is soliciting comments 

from members of the public and affected 

parties concerning the collection of 

information described in Section A on 

the following: 

(1) Whether the proposed collection 

of information is necessary for the 

proper performance of the functions of 

the agency, including whether the 

information will have practical utility; 

(2) The accuracy of the agency’s 

estimate of the burden of the proposed 

collection of information; 

(3) Ways to enhance the quality, 

utility, and clarity of the information to 

be collected; and 

(4) Ways to minimize the burden of 

the collection of information on those 

who are to respond; including through 

the use of appropriate automated 

collection techniques or other forms of 

information technology, e.g., permitting 

electronic submission of responses. 

(5) Ways to minimize the burden of 

the collection of information on those 

who are to respond, including the use 

of automated collection techniques or 

other forms of information technology. 

HUD encourages interested parties to 

submit comment in response to these 

questions. 

C. Authority 

Section 3507 of the Paperwork 

Reduction Act of 1995, 44 U.S.C. 

Chapter 35. 

Colette Pollard, 

Departmental Reports Management Officer, 

Office of the Chief Information Officer. 

[FR Doc. 2020–27272 Filed 12–10–20; 8:45 am] 

BILLING CODE 4210–67–P 

DEPARTMENT OF HOUSING AND 

URBAN DEVELOPMENT 

[Docket No. FR–7024–N–51] 

30-Day Notice of Proposed Information 

Collection: Public Housing Agency 

(PHA) 5-Year and Annual Plan; OMB 

Control No.: 2577–0226 

AGENCY: Office of the Chief Information 

Officer, HUD. 

ACTION: Notice. 

SUMMARY: HUD has submitted the 

proposed information collection 

requirement described below to the 

Office of Management and Budget 

(OMB) for review, in accordance with 

the Paperwork Reduction Act. The 

purpose of this notice is to allow for an 

additional 30 days of public comment. 

DATES: Comments Due Date: January 11, 

2021. 

ADDRESSES: Interested persons are 

invited to submit comments regarding 

this proposal. Written comments and 

recommendations for the proposed 

information collection should be sent 

within 30 days of publication of this 

notice to www.reginfo.gov/public/do/ 

Start Printed Page 15501PRAMain. Find 

this particular information collection by 

selecting ‘‘Currently under 30-day 

Review—Open for Public Comments’’ or 

by using the search function. 

FOR FURTHER INFORMATION CONTACT: 

Colette Pollard, Reports Management 

Officer, QDAM, Department of Housing 


jbell on DSKJLSW7X2PROD with NOTICES