106998 Federal Register / Vol. 89, No. 250 / Tuesday, December 31, 2024 / Rules and Regulations 

food products subject to the January 1, 

2028, compliance date must comply 

with the appropriate regulations when 

initially introduced into interstate 

commerce on or after January 1, 2028. 

If any food labeling regulation involves 

special circumstances that justify a 

compliance date other than January 1, 

2028, we will determine for that 

regulation an appropriate compliance 

date, which will be specified when the 

final regulation is published. 

Dated: December 26, 2024. 

P. Ritu Nalubola, 

Associate Commissioner for Policy. 

[FR Doc. 2024–31419 Filed 12–30–24; 8:45 am] 

BILLING CODE 4164–01–P 

DEPARTMENT OF HOUSING AND 

URBAN DEVELOPMENT 

24 CFR Parts 5, 92, 93, 570, 574, 576, 

and 578 

[Docket No. FR–6057–N–06] 

Housing Opportunity Through 

Modernization Act: Implementation of 

Sections 102, 103, and 104; Extension 

of Compliance Date and Safe Harbor 

Implementation 

AGENCY: Office of the Assistant 

Secretary for Community Planning and 

Development, U.S. Department of 

Housing and Urban Development 

(HUD). 

ACTION: Final rule; extension of 

compliance date. 

SUMMARY: This document extends the 

compliance date for HUD’s final rule 

entitled ‘‘Housing Opportunity Through 

Modernization Act of 2016: 

Implementation of Sections 102, 103, 

and 104’’ (HOTMA final rule) for 

Community Planning and Development 

(CPD) programs. Specifically, HUD is 

extending the compliance date for the 

HOME Investment Partnerships program 

(HOME), HOME-American Rescue Plan 

program, Housing Trust Fund (HTF), 

Housing Opportunities for Persons With 

AIDS (HOPWA), Community 

Development Block Grant program 

(CDBG), Emergency Solution Grants 

(ESG), Continuum of Care (CoC) 

programs, and CPD programs funded 

through competitive processes 

(Competitive Programs). HUD is 

extending the compliance deadline for 

all grantees and allowing grantees that 

are ready to comply to set an earlier 

compliance date between January 1, 

2024, and January 1, 2026. In addition, 

HUD is permitting the implementation 

of certain income safe harbors 

established in the HOTMA final rule 

prior to the extended HOTMA 

compliance date. HUD is taking this 

action due to delays in updating the 

HUD systems to comply with HOTMA 

and to allow additional time for 

jurisdictions, participants, and grantees 

to incorporate HUD’s income and asset 

requirements into their own programs 

and flexibility to transition 

implementing HOTMA requirements 

under their own timelines. 

DATES: The compliance date for the final 

rule published February 14, 2023, at 88 

FR 9600, is extended. CPD participating 

jurisdictions, participants, and grantees 

(CPD grantees) subject to 24 CFR parts 

5, 92, 93, 570, 574, 576, and 578, or who 

apply the income requirements in 24 

CFR part 5 pursuant to Notices of 

Funding Opportunity (NOFOs), are not 

required to comply with the changes 

established by the HOTMA final rule 

until January 1, 2026. 

FOR FURTHER INFORMATION CONTACT: For 

HOME and the HTF, Milagro Fisher, 

Senior Affordable Housing Specialist, 

Office of Affordable Housing Programs, 

at telephone (202) 708–2684, Room 

7160; for HOPWA, Lisa Steinhauer, 

Senior Program Specialist, Office of 

HIV/AIDS Housing, at telephone (215) 

861–7651, Room 7248; for CDBG, B. 

Cory Schwartz, Deputy Director, State & 

Small Cities Division, at telephone (202) 

402–4105, Room 7282. The mailing 

address for each office contact is 

Department of Housing and Urban 

Development, 451 Seventh Street SW, 

Washington, DC 20410–7000. HUD 

welcomes and is prepared to receive 

calls from individuals who are deaf or 

hard of hearing, as well as individuals 

with speech or communication 

disabilities. To learn more about how to 

make an accessible telephone call, 

please visit: https://www.fcc.gov/ 

consumers/guides/telecommunicationsrelay-service-trs. 

SUPPLEMENTARY INFORMATION: 

I. Background 

On February 14, 2023, HUD published 

the HOTMA final rule (88 FR 9600). The 

HOTMA final rule established a January 

1, 2024, effective date for the revisions 

it made to HUD’s income regulations at 

24 CFR parts 5, 92, 93, 570, and 574. 

These revisions also affected CPD 

programs subject to 24 CFR parts 576 

and 578, as well as Competitive 

Programs using NOFOs that reference 

the regulations at 24 CFR part 5. On 

September 29, 2023, HUD’s Office of 

Public and Indian Housing (PIH) and 

Office of Housing (Housing) issued joint 

notification PIH 2023–27/H 2023–10, 

which enabled Public Housing Agencies 

(PHAs) and multifamily owners to 

establish their own compliance dates for 

sections 102 and 104 of HOTMA as 

early as January 1, 2024, and no later 

than January 1, 2025. Similarly, on 

December 8, 2023, HUD published the 

Housing Opportunity Through 

Modernization Act: Implementation of 

Sections 102, 103, and 104; Extension of 

Compliance Date (88 FR 85648) to 

extend the compliance date of the 

HOTMA final rule to January 1, 2025, 

for all CPD programs that use HUD’s 24 

CFR part 5 income regulations. 

II. Further Extensions of the HOTMA 

Final Rule Compliance Date 

On September 18, 2024, PIH 

announced that PHAs were not to 

implement and comply with the section 

102 and 104 income and assets 

provisions in the HOTMA final rule by 

January 1, 2025. This extension was due 

to delays in updating the HUD systems 

to comply with the rule. Then, on 

September 20, 2024, Housing issued 

notification H 2024–09 to announce that 

multifamily owners were not to 

implement and comply with the 

HOTMA final rule until July 1, 2025. 

This was also due to delays in updating 

the HUD systems to comply with the 

rule. Now, HUD has determined that 

CPD grantees receiving assistance 

through CPD programs, which often 

overlap with PIH and multifamily 

programs, must be provided with 

certain flexibilities. HUD is 

communicating these flexibilities 

through this document. 

HUD’s determination that these 

flexibilities are necessary was made in 

light of the fact that CPD grantees may 

not be able to comply with the 

requirements of the HOTMA final rule 

until after HUD has provided the 

guidance and performed the software 

updates necessary for CPD grantees to 

implement the HOTMA final rule. Even 

after the necessary guidance is provided 

and updates to HUD systems are made, 

CPD grantees will still need additional 

time to incorporate this guidance into 

their program policies and procedures 

and to update their own systems and 

software. Therefore, in recognition of 

these operational issues and challenges, 

HUD is allowing CPD grantees to set 

their own compliance dates for the 

applicable HOTMA final rule 

provisions. These compliance dates may 

be as early as January 1, 2024, and no 

later than January 1, 2026. Until these 

new compliance dates, CPD grantees 

must continue to adhere, as applicable, 

to the requirements found in both their 

program regulations and the regulations 

at 24 CFR 5.603, 24 CFR 5.609, 24 CFR 

5.611, and 24 CFR 5.617 as they existed 

prior to January 1, 2024. Furthermore, 


khammond on DSK9W7S144PROD with RULES
Federal Register / Vol. 89, No. 250 / Tuesday, December 31, 2024 / Rules and Regulations 106999 

1https://www.hud.gov/sites/dfiles/PIH/ 

documents/PIH%20HOTMA%20

Implementation%20FAQ%209.13.2024.pdf 

updated September 13, 2024. 

CPD grantees must continue to rely on 

the instructions provided in the 

document published December 8, 2023 

at 88 FR 85648 for implementing the 

HOTMA final rule. 

III. Implementation of the HOTMA Safe 

Harbor for ESG, COC Programs, and 

HOPWA 

The HOTMA final rule established an 

income safe harbor provision at 24 CFR 

5.609(c)(3). This provision permits 

PHAs and multifamily owners to 

determine the annual income of a family 

prior to the application of any 

deductions applied in accordance with 

24 CFR 5.611 based on income 

determinations made under the rules of 

other Federal programs or means-tested 

forms of Federal public assistance. On 

September 13, 2024, PIH published 

updated HOTMA Implementation 

FAQs 1 describing that PHAs may 

implement the safe harbor provision at 

24 CFR 5.609(c)(3). 

Now, HUD is allowing certain CPD 

grantees that have program regulations 

that cross reference 24 CFR 5.609(c)(3) 

to use this safe harbor provision prior to 

implementing the HOTMA final rule. 

Grantees of the following CPD programs 

may use this safe harbor provision: 

HOPWA (see 24 CFR 574.310(e)), ESG 

(see 24 CFR 576.401(c)), and the CoC 

programs (see 24 CFR 578.77(b) and (c)). 

Before using this safe harbor provision, 

grantees of these CPD programs must 

update their program guidelines and 

establish policies and procedures that 

describe income verifications when 

using this safe harbor provision. HUD is 

providing these grantees, and 

specifically HOPWA grantees, the 

ability to use this income safe harbor 

provision so that its CPD program 

guidance more closely aligns with its 

Section 8 program guidance, as HUD’s 

HOPWA regulations closely track 

Housing Choice Voucher program 

regulations. 

IV. Implementation of the HOTMA Safe 

Harbor for HOME and HTF 

The HOTMA final rule also 

established separate safe harbor 

provisions at 24 CFR 92.203(a)(1) and 

(2) and at 24 CFR 92.252(h) for HOME 

and other safe harbor provisions at 24 

CFR 93.151(a)(1) through (3), and 24 

CFR 93.302(e) for HTF. Under 24 CFR 

92.203(a)(1) and 24 CFR 93.151(a)(3), a 

participating jurisdiction or HTF grantee 

must accept a PHA’s, owner’s, or rental 

subsidy provider’s income 

determinations, in accordance with 24 

CFR 5.609, if a family is applying for or 

living in a HOME-assisted or HTFassisted rental unit and the unit is being 

assisted by Federal project-based rental 

subsidy. Similarly, a participating 

jurisdiction or HTF grantee must accept 

a State project-based rental subsidy 

provider’s income determination under 

the rules of that State program. In the 

same way, under 24 CFR 93.151(a)(1), 

for HTF-assisted units that are assisted 

under the public housing program, an 

HTF grantee must accept a PHA’s 

determination of a family’s annual 

income and adjusted income under 24 

CFR 5.609 and 24 CFR 5.611. Moreover, 

under 24 CFR 92.203(a)(2) and 24 CFR 

93.151(a)(2), a participating jurisdiction 

or HTF grantee may accept a Federal 

tenant-based rental assistance provider’s 

income determinations if a family is 

applying for or living in a HOMEassisted or HTF-assisted rental unit and 

the family is being assisted by a Federal 

tenant-based rental assistance program. 

Now, HUD is allowing participating 

jurisdictions and HTF grantees to use 

the safe harbor provisions in 24 CFR 

92.203(a) and 24 CFR 92.252(h), or 24 

CFR 93.151(a) and 24 CFR 93.302(e), 

prior to the new HOTMA final rule 

compliance date and upon publication 

of this document, even if they have not 

implemented the remaining provisions 

of the HOTMA final rule. Before using 

the safe harbor provisions, participating 

jurisdictions and HTF grantees must 

update their program guidelines and 

establish policies and procedures that 

describe income verification when using 

the safe harbor provisions. HUD is 

providing participating jurisdictions 

and HTF grantees the ability to use 

these safe harbor provisions so that its 

HOME and HTF guidance more closely 

aligns with its other HOTMA final rule 

implementation guidance and to reduce 

the administrative burden on CPD 

grantees associated with having to meet 

two different sets of income 

requirements for the same unit. 

V. Conclusion 

Accordingly, HUD extends the 

January 1, 2025, compliance date for 

implementing the changes made by the 

HOTMA final rule to 24 CFR parts 5, 92, 

93, 570, and 574 for the CPD programs 

described in this document until 

January 1, 2026. Until January 1, 2026, 

the grantees of these programs subject to 

these parts may instead choose to 

comply with these parts as they existed 

prior to January 1, 2024, and may also 

implement the income safe harbor 

provisions described in this document. 

Marion McFadden, 

Principal Deputy Assistant Secretary for 

Community Planning and Development, 

Office of Community Planning and 

Development. 

[FR Doc. 2024–31401 Filed 12–30–24; 8:45 am] 

BILLING CODE 4210–67–P 

DEPARTMENT OF HOMELAND 

SECURITY 

Coast Guard 

33 CFR Part 165 

[Docket No. USCG–2024–1071] 

Safety Zone; San Francisco New 

Year’s Eve Fireworks; San Francisco 

Bay, San Francisco, CA 

AGENCY: Coast Guard, Department of 

Homeland Security (DHS). 

ACTION: Notification of enforcement of 

regulation. 

SUMMARY: The Coast Guard will enforce 

the safety zone in the navigable waters 

of the San Francisco Bay near the San 

Francisco Ferry building for the San 

Francisco New Year’s Eve Fireworks 

Display. The safety zone will be 

enforced December 31, 2024, into 

January 1, 2025. This action is necessary 

to protect personnel, vessels, and the 

marine environment from the dangers 

associated with pyrotechnics. During 

the enforcement period, unauthorized 

persons or vessels are prohibited from 

entering, transiting through, or 

remaining in the safety zone, unless 

authorized by the Patrol Commander or 

other Federal, State, or local law 

enforcement agencies. 

DATES: The regulation in 33 CFR 

165.1191 will be enforced for the 

location described in table 1 to 

§ 165.1191, item number 24, from noon 

on December 31, 2024, through 12:45 

a.m. on January 1, 2025. 

FOR FURTHER INFORMATION CONTACT: If 

you have questions about this 

notification of enforcement, call or 

email Lieutenant William Harris, U.S. 

Coast Guard Sector San Francisco, 

Waterways Management Division; 

telephone (415) 399–7443, or email 

SFWaterways@uscg.mil. 

SUPPLEMENTARY INFORMATION: The Coast 

Guard will enforce the safety zone 

regulations in 33 CFR 165.1191 for the 

event and location listed in table 1 to 

§ 165.1191, item number 24, for the San 

Francisco New Year’s Eve Fireworks 

Display from noon on December 31, 

2024, through 12:45 a.m. on January 1, 


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