[Federal Register Volume 60, Number 37 (Friday, February 24, 1995)]
[Notices]
[Pages 10438-10443]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-4449]




[[Page 10437]]

_______________________________________________________________________

Part III





Department of Housing and Urban Development





_______________________________________________________________________



Office of the Assistant Secretary for Community Planning and 
Development



_______________________________________________________________________



John Heinz Neighborhood Development Program; Funding Availability; 
Notice

Federal Register / Vol. 60, No. 37 / Friday, February 24, 1995 / 
Notices 
[[Page 10438]] 

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of the Assistant Secretary for Community Planning and 
Development
[Docket No. N-95-3877; FR-3855-N-01]


NOFA for the John Heinz Neighborhood Development Program

AGENCY: Office of the Assistant Secretary for Community Planning and 
Development, HUD.

ACTION: Notice of funding availability for Fiscal Year 1995.

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SUMMARY: This NOFA announces the availability of $4,750,000 in funding 
for the FY 1995 John Heinz Neighborhood Development Program. Interested 
persons should apply for FY 1995 program funds according to the 
procedures and requirements set out in this NOFA.
    In the body of this NOFA is information concerning:
    (1) This year's round of funding for this program;
    (2) The purposes and objectives of the program;
    (3) The method of allocation and distribution of funds;
    (4) Eligibility requirements for neighborhood development 
organizations;
    (5) Eligible neighborhood development activities;
    (6) Selection criteria for the award of funds;
    (7) Application requirements for the funds;
    (8) Grantee reporting requirements; and
    (9) Other applicable administrative requirements associated with 
the program.

DATES: Applications may be requested beginning February 24, 1995. 
Completed applications must be submitted no later than 4:30 p.m. 
(Eastern Time), by the date specified in the application kit. The 
application deadline will be firm as to date and hour. In the interest 
of fairness to all competing applicants, the Department will treat as 
ineligible for consideration any application that is received after the 
deadline. Applicants should take this practice into account and make 
early submission of their materials to avoid any risk of loss of 
eligibility brought about by unanticipated delays or other delivery-
related problems.

ADDRESSES: To obtain a copy of the application kit, call: American 
Communities at 1-800-998-9999, or fax your request to: (301) 251-5747 
(this is not a toll-free number). Speech- or hearing-impaired persons 
may request an application by contacting the TDD number: (202) 708-2565 
(not a toll-free number), as listed under the
FOR FURTHER INFORMATION CONTACT heading in this NOFA. Faxed requests 
for application kits must include the applicant's name, mailing address 
(including zip code), telephone number (including area code), and must 
refer to FR-3855. Completed applications may not be submitted by fax.

FOR FURTHER INFORMATION CONTACT: Ophelia Wilson or Gene Hix, Office of 
Community Planning and Development, Department of Housing and Urban 
Development, Room 7218, 451 Seventh Street, S.W., Washington, D.C. 
20410; telephone number (202) 708-1189 and (202) 708-2565 (TDD). (These 
numbers are not toll-free.)
SUPPLEMENTARY INFORMATION:
Paperwork Reduction Act
    The information collection requirements contained in this Notice 
have been approved by the Office of Management and Budget (OMB) under 
the Paperwork Reduction Act of 1980. The control number for information 
collections described in this document is 2535-0084.

I. Purpose and Substantive Description

A. Authority

    Section 123 of the Housing and Urban-Rural Recovery Act of 1983 (42 
U.S.C. 5318 note) (Section 123) authorized the John Heinz Neighborhood 
Development Program. For Fiscal Year 1995, a total of $5 million has 
been appropriated for this program under the Departments of Veterans 
Affairs and Housing and Urban Development and Independent Agencies 
Appropriations Act, 1995 (Pub. L. 103-327, approved September 28, 
1994).
    Section 123(e)(6)(D) permits the Secretary of Housing and Urban 
Development (Secretary) to use no more than five percent of the funds 
appropriated for administrative or other expenses in connection with 
the program. The remaining funds are to be used to match monetary 
support raised over a one-year grant period from individuals, 
businesses, neighborhood development funding organizations, and 
nonprofit or other organizations located within established 
neighborhood boundaries. For purposes of this NOFA the term 
``neighborhood development funding organization'' means:
    (1) A depository institution, the accounts of which are insured 
pursuant to the Federal Credit Union Act, and any subsidiary (as such 
term is defined in section 3(w) of the Federal Deposit Insurance Act) 
thereof;
    (2) A depository institution holding company and any subsidiary (as 
such term is defined in section 3(w) of the Federal Deposit Insurance 
Act) thereof; or
    (3) A company at least 75 percent of the common stock of which is 
owned by one or more insured depository institutions or depository 
institution holding companies.
    The purpose of the program is to support eligible neighborhood 
development activities using cooperative efforts and monetary 
contributions from local sources. The Federal funds are incentive funds 
to promote neighborhood development initiatives and to encourage 
neighborhood organizations to become more self-sufficient in their 
development activities. Not more than 50 percent of the 1995 awards may 
be to previous grantees in the program; the remaining awards will be 
made to organizations selected from among new applicants. Applications 
will be selected for funding on the basis of evaluation criteria that 
reflect the program purposes and priorities and are contained in this 
notice.
    The objectives of the Neighborhood Development Program are:
--To help neighborhood development organizations increase their 
capacities to carry out larger or more complex activities, in 
cooperation with private and public institutions; and
--To assist neighborhood development organizations to achieve long-term 
financial support for their activities. The activities must benefit 
low-income persons within the neighborhood.

B. Allocation Amounts

    The Department will make grants, in the form of matching funds, to 
eligible neighborhood development organizations. Under Section 
123(e)(3), a grantee organization may receive no more than $75,000 in 
Federal matching funds in a single program year. HUD reserves the right 
to make grants for less than the maximum amount. When the amount of 
funds requested is greater than the amount of funds appropriated, HUD 
also reserves the right to consider the degree an applicant has 
previously been funded under the John Heinz Program, and greater 
consideration may be given to those organizations which have received 
the least amount of funding under this program.
    The amount of Federal matching funds that an applicant receives 
during the program year will depend in part upon the amount of monetary 
[[Page 10439]] contributions raised in the preceding quarter of the 
program year from individuals, businesses, neighborhood development 
funding organizations, and nonprofit and other organizations located 
within established neighborhood boundaries. Contributions attributable 
to organizations or persons not residing in or conducting business 
within the grantee's neighborhood, loans, in-kind services, 
contributions by owners of properties to be improved, fees for 
services, public funds, and any in-lieu-of-cash contributions cannot be 
used to match Federal funds. These contributions may, however, be used 
to carry out project activities. The neighborhood monetary 
contributions for matching purposes must be raised within the one-year 
grant period. However, grant activities may be programmed over a one- 
to three-year period.
    A Federal matching ratio will be established for each participating 
applicant in accordance with the statutory requirement that the highest 
ratios be established for neighborhoods having the greatest degree of 
economic distress. Subject to the statutory maximum of $75,000, the 
Federal match for this program year will range from one to six Federal 
dollars for each qualifying dollar raised by the grantee. Applications 
selected to receive Federal funds will be rank-ordered and the matching 
ratios will be determined in accordance with this criterion. The 
Department also reserves the right to fund applications, in other than 
rank order, on the basis of achieving geographic balance.
    Any application selected for the award of Federal funds that 
proposed a matching funds ratio in excess of the ratio HUD determines 
for it will be offered an award of funds at the HUD determined ratio. 
However, any application selected for award that proposed a match below 
the maximum ratio HUD determines for it will be funded at the level 
proposed by the applicant.
    Federal payments to participating neighborhood organizations will 
be made on a quarterly basis following receipt of quarterly performance 
and financial reports. The maximum Federal payment to an applicant will 
be governed by the amount of verified, qualifying monetary 
contributions received from local sources in the preceding quarter, 
multiplied by the matching funds ratio established for the 
neighborhood. Ten percent of the total grant award will be held pending 
receipt of the final report and close-out documentation.

C. Eligibility

1. Eligible Applicants--Definition
    An eligible neighborhood development organization must be located 
in and serve the neighborhood for which assistance is to be provided. 
It cannot be a city-wide organization, a multi-neighborhood consortium, 
or, in general, an organization serving a large area of the city. The 
applicant must meet all of the following statutory requirements:
    (a) The applicant must be incorporated as a private, voluntary, 
nonprofit corporation under the laws of the State in which it operates;
    (b) The applicant must be responsible through a governing body to 
the residents of the neighborhood it serves. Not less than 51 percent 
of the members of the governing body must be residents of the 
neighborhood;
    (c) The applicant must have conducted business for at least one 
year before the date of its application;
    (d) The applicant must operate within an area that meets at least 
one of the following criteria:
    (i) The area meets the requirements for Federal assistance under 
section 119 of the Housing and Community Development Act of 1974 (Urban 
Development Action Grants);
    (ii) The area is designated as an empowerment zone or an enterprise 
community under Federal law;
    (iii) The area is designated as an enterprise zone under State law, 
and is recognized by the Secretary as a State enterprise zone for 
purposes of this section; or
    (iv) The area is a qualified distressed community within the 
meaning of section 233(b)(1) of the Bank Enterprise Act of 1991; and
    (e) The applicant must have conducted one or more eligible 
neighborhood development activities that primarily benefit low-income 
persons, as defined in section 102(a)(20) of the Housing and Community 
Development Act of 1974. (In general, low-income residents means 
families and individuals whose incomes do not exceed 50 percent of the 
median income of the area involved.)
2. Eligible Applicants--Other Threshold Requirements
    In addition, an applicant must:
    (a) Specify a business/management plan for accomplishing one or 
more of the activities listed in Section I.C(3), Eligible Activities, 
of this NOFA;
    (b) Specify a strategy for achieving greater long-term private 
sector support, especially in cooperation with a neighborhood 
development funding organization. An applicant that is otherwise 
eligible will be deemed to have the full benefit of the cooperation of 
a neighborhood development funding organization if the eligible 
applicant:
    (i) Is located in an area described in paragraph (d) of Section 
I.C(1) of this NOFA (Eligible Applicants--Definition) that does not 
contain a neighborhood development funding organization; or
    (ii) Demonstrates that it has been unable to obtain the cooperation 
of any neighborhood development funding organization in the area 
despite having made a good faith effort to obtain such cooperation; and
    (c) Specifies a strategy for increasing the capacity of the 
applicant.
3. Eligible Activities
    Eligible activities include the following, but are not limited to 
the examples given:
    (a) Developing economic development activities that include:
    (i) Creating permanent jobs in the neighborhood; and
    (ii) Establishing or expanding businesses within the neighborhood 
(such as a business incubator);
    (b) Developing new housing, rehabilitating existing housing, or 
managing housing stock within the neighborhood;
    (c) Developing delivery mechanisms for essential services that have 
lasting benefits to the neighborhood. Examples include fair housing 
counseling services, child care centers, youth training, and health 
services; or
    (d) Planning, promoting, or financing voluntary neighborhood 
improvement efforts, such as, but not limited to:
    (i) Establishing a neighborhood credit union, demolishing abandoned 
buildings, removing abandoned cars, and establishing an on-going street 
and alley cleanup program;
    (ii) Strategic planning to integrate housing, economic development, 
essential services, the remediation of hazards (such as brownfields), 
and neighborhood urban design activities; and
    (iii) Integrating neighborhood strategic planning or community-
based projects into city- and metropolitan-wide planning or service 
delivery, as a means of establishing linkages with city and 
metropolitan planning, job markets, and service delivery mechanisms in 
other areas within the metropolitan region.

D. Selection Criteria/Ranking Factors

    Applications will be evaluated on the basis of the following 
factors. In addition, two (2) bonus points will be added in determining 
the final score for an application submitted by an 
[[Page 10440]] applicant that is located in a Federal Empowerment Zone 
or Enterprise Community. Every applicant is encouraged to demonstrate 
how its program activities will enhance citizen involvement in the 
development of the locality's Consolidated Plan. Further, HUD is 
interested in supporting activities of applicants that have 
demonstrated capacity to engage citizens in planning and program 
implementation initiatives that benefit neighborhoods, but have not 
previously participated in this program.
    (1) The degree of economic distress within the neighborhood served 
by the applicant and the extent to which the proposed activities will 
benefit persons of low-income residing in the neighborhood. The degree 
of economic distress is based on the percentage of poverty within the 
neighborhood area, as determined from the 1990 U.S. Census data. 
Applicants with the highest poverty level relative to their population 
will be given higher points. (25 points)
    (2) The record of past performance and staff capability in carrying 
out one or more of the activities specified under Section I.C(3), 
Eligible Activities, of this NOFA, and in promoting fair housing, equal 
employment opportunity, and minority-owned business entrepreneurial 
opportunities. (20 points)
    (3) The quality of the management/business plan submitted for 
accomplishing the activities proposed by the applicant, including the 
budget and budget narrative, fundraising plan and matching ratio, and 
evidence of a sound financial management system. (25 points)
    (4) The extent of neighborhood residents' participation in the 
activities of the applicant; the level of coordination with local 
governments, which may be evidenced through a certification from the 
Chief Executive Officer of the unit of local government; and the extent 
of participation of a neighborhood development funding organization in 
the proposed activities. (20 points)
    (5) The extent to which the applicant has developed a strategy to 
increase its capacity to carry out larger or more complex project 
activities and to address its long-term financial and organizational 
development needs. (10 points)

E. Determination of Ratio for Federal Contribution

    The Secretary will determine the ratio by which Federal funds will 
be used to match monetary contributions made to each eligible applicant 
that is selected for funding under this NOFA. The ratio will be based 
on the degree of economic distress. Neighborhoods indicating the 
greatest degree of economic distress will be assigned higher ratios 
under this factor than those with lesser degrees of economic distress.

F. Environmental Reviews

    HUD will conduct the appropriate environmental review and comply 
with all the environmental requirements in 24 CFR Part 50 before award 
of a grant. Grantees will be expected to adhere to all assurances 
applicable to environmental concerns as contained in the RFGA and grant 
agreements.

II. Application Submissions Process

A. Obtaining Application

    For an application kit, call: American Communities at 1-800-998-
9999 or fax your request to (301) 251-5747. (This is not a toll-free 
number). Speech- or hearing-impaired persons may request an application 
by contacting the TDD number: (202) 708-2565 (not a toll-free number), 
as listed under the ``For Further Information Contact'' heading in this 
NOFA.
    Faxed requests for application kits must include the applicant's 
name, mailing address (including zip code), and telephone number 
(including area code), and must refer to FR-3855. The RFGA contains the 
application, forms, and other information regarding the application 
process and the administration of the program, including relevant 
provisions from OMB Circulars A-110 and A-122. (This NOFA summarizes 
major provisions of the RFGA.)

B. Application Submission

    An original and three copies of an application must be submitted 
to: Processing and Control Branch, Office of Community Planning and 
Development, Department of Housing and Urban Development, 451 Seventh 
Street, SW, Room 7255, Washington, DC 20410. HUD will accept only one 
application per neighborhood organization. Responses to the application 
kit must be limited to 50 pages, single-spaced, exclusive of the 
following required forms: Cover Page, Standard Form-424, Assurance Form 
SF-424B, Applicant/Recipient Disclosure Update Report HUD-2880, Drug-
Free Workplace Certification, Articles of Incorporation and Bylaws, 
Audit Report and Miscellaneous Materials. All pages and attachments 
must be numbered consecutively, in arabic numbers. Reviewers are not 
required to read beyond the 50-page maximum.

C. Application Deadline

    Applications may be requested beginning February 24, 1995. 
Applications must be submitted no later than 4:30 p.m. (Eastern Time), 
by the date specified in the application kit. The application deadline 
will be firm as to date and hour. In the interest of fairness to all 
competing applicants, the Department will treat as ineligible for 
consideration any application that is received after the deadline. 
Applicants should take this practice into account and make early 
submission of their materials to avoid any risk of loss of eligibility 
brought about by unanticipated delays or other delivery-related 
problems.

III. Checklist of Application Submission Requirements

A. Preapplication Determination of Eligibility

    Before preparing an application, the applicant should carefully 
check the eligibility requirements described in Section I.C, 
Eligibility, of this NOFA. Applicants that are uncertain whether the 
city or urban county in which they are located meets the current 
minimum standards of physical and economic distress (used in 
determining which cities and urban counties were potentially eligible 
applicants under the Urban Development Action Grant Program) are 
advised to consult the following two notices published by the 
Department in the Federal Register: (1) ``Urban Development Action 
Grant: Revised Minimum Standards for Small Cities'' (52 FR 37876, 
October 9, 1987); and (2) ``Urban Development Action Grant; Revised 
Minimum Standards for Large Cities and Urban Counties'' (52 FR 38174, 
October 14, 1987).
    Any applicant that needs additional help in determining its 
eligibility should contact the nearest Department of Housing and Urban 
Development Field Office (Community Planning and Development Division). 
If assistance is needed, the city or county community development 
office serving a neighborhood organization should be able to provide an 
applicant with the HUD Field Office contact number. If unable to obtain 
a local contact, the HUD Headquarters contact for this information is 
Mrs. Stella Hall, telephone number (202) 708-2186, or contact the TDD 
number: (202) 708-0564. (These are not toll free numbers.)

B. Application Checklist

    Each application must contain the following, as required by the 
RFGA.
    (1) A signed copy of Standard Form SF-424; [[Page 10441]] 
    (2) An abstract describing, among other things, the applicant and 
its achievements, the proposed project, its intended beneficiaries, its 
projected impact on the neighborhood, and the manner in which the 
proposed project will be carried out;
    (3) A completed fact sheet that lists neighborhood and 
organizational characteristics;
    (4) Evidence that the applicant meets eligibility criteria and 
provides the following data:
    (a) A city map, with street names, delineating the applicant's 
neighborhood boundaries and indicating where project activities will 
take place;
    (b) Census tract, block, or enumeration district references and zip 
code references must also be delineated on the map or on other maps 
submitted;
    (c) Census data on the size of the neighborhood population, 
including the number of low-income persons and the size of the minority 
population, broken down by ethnic, racial, and gender composition;
    (d) A copy of the applicant organization's corporate charter, along 
with the incorporation papers, bylaws, and a statement of purpose;
    (e) A list of the names of the neighborhood governing board members 
and their addresses (with zip codes) to show that at least 51% reside 
in the neighborhood. Indicate those who reside in the neighborhood 
separately from those who conduct business in the neighborhood;
    (f) Identification of the applicant organization's past and current 
neighborhood projects, including those projects that are eligible 
neighborhood development activities as defined in Section I.C(3), 
Eligible Activities, of this NOFA;
    (g) A description of the means by which the governing board members 
account to residents of the neighborhood, including the method and 
frequency of selection of members of the governing board, the 
consultation process with residents, the frequency of meetings, and a 
statement showing how the board is representative of the demographics 
of the neighborhood (i.e., a breakdown by tenants, homeowners, race, 
sex, ethnic composition, etc.);
    (h) Evidence of the applicant's sound financial management system, 
determined from its financial statements or audits;
    (i) A letter from the Chief Executive Officer of the unit of 
general local government in which assisted activities are to be carried 
out, certifying that the activities are consistent with the 
Consolidated Plan of the jurisdiction to be served.
    (j) Evidence of cooperation with a neighborhood development funding 
organization. In lieu of this participation, evidence may be presented 
that the applicant:
    (i) Has no neighborhood development funding organization within the 
applicable boundaries; or
    (ii) Has been unsuccessful, despite having made a good faith 
effort, in obtaining this participation.
    (k) A certification that the applicant will comply with the 
requirements of Federal law governing the application, acceptance, and 
use of Federal funds;
    (l) A narrative statement defining how neighborhood matching funds 
will be raised and their anticipated sources; what neighborhood 
development activities will be funded; and a strategy for achieving 
greater long-term private sector support;
    (m) A project management plan, including a schedule of tasks for 
both fund raising and project implementation;
    (n) A project budget and budget narrative; and
    (o) A certification that a potential grantee will comply with the 
drug-free workplace requirements in accordance with 24 CFR part 24, 
subpart F; and
    (5) Equal Opportunity Requirements. The neighborhood development 
organization must certify that it will carry out activities assisted 
under the program in compliance with:
    (a) The requirements of the Fair Housing Act (42 U.S.C. 3601-3619) 
and implementing regulations at 24 CFR parts 100, 108, 109, 110, and 
115; part 200, Subpart M; and Executive Order 11063 (Equal Opportunity 
Housing implementing regulations at 24 CFR Part 107; and Title VI of 
the Civil Rights Act of 1964 (42 U.S.C. 2000d) (Nondiscrimination in 
Federally Assisted Programs) and implementing regulations issued at 24 
CFR part 1;
    (b) The prohibitions against discrimination on the basis of age 
under the Age Discrimination Act of 1975 (42 U.S.C. 6101-07) and 
implementing regulations at 24 CFR part 146; the prohibition against 
discrimination against individuals with a disability under section 504 
of the Rehabilitation Act of 1973 (29 U.S.C. 794) and implementing 
regulations at 24 CFR part 8; and the requirements of Executive Order 
11246 and the implementing regulations issued at 41 CFR chapter 60;
    (c) The requirements of section 3 of the Housing and Urban 
Development Act of 1968, 12 U.S.C. 1701u and implementing regulations 
at 24 CFR part 135; and
    (d) The requirements of Executive Orders 11625, 12432, and 12138. 
Consistent with HUD's responsibilities under these Orders, the grantee 
must make efforts to encourage the use of minority and women's business 
enterprises in connection with activities funded under this notice.
    (e) The prohibitions against discrimination and related 
requirements of section 109 of the Housing and Community Development 
Act of 1974 (42 U.S.C. 5309).
    (f) The requirement of the Americans with Disabilities Act (42 
U.S.C. 12181-12189) and implementing regulations at 28 CFR part 36, as 
applicable.

IV. Corrections to Deficient Applications

    After the submission deadline date, HUD will screen each 
application to determine whether it is complete. If an application 
lacks certain technical items or contains a technical error, such as an 
incorrect signatory, HUD will notify the applicant in writing that it 
has 14 calendar days from the date of HUD's written notification to 
cure the technical deficiency. If the applicant fails to submit the 
missing material within the 14-day cure period, HUD will disqualify the 
application.
    This 14-day cure period applies only to nonsubstantive deficiencies 
or errors. Deficiencies capable of cure will involve only items not 
necessary for HUD to assess the merits of an application against the 
factors specified in this NOFA.
    Examples of deficiencies that may be cured are:

--Omitted or improper signatures;
--Omitted certifications or assurances; and
--Omitted financial statements or audits.

V. Other Matters

A. Reporting Requirements

    In addition to complying with relevant provisions of OMB Circulars 
A-110 and A-122, grantees will be required to submit quarterly 
performance and financial reports. These reports should inform HUD of 
any changes that may affect the outcome of the program, such as changes 
in any of the following: the governing board membership, staffing, 
working relationships with local government and private organizations, 
fund raising activities, volunteer efforts, the management plan, and 
the budget. The quarterly reports must also verify the amount of 
monetary contributions received from within the neighborhood, as a 
basis for Federal disbursement of [[Page 10442]] matching funds. 
Grantees must certify that none of the monetary contributions 
originated through public funding sources.
    Grantees will be required also to submit a final report at the 
completion of the grant period. Ten (10) percent of the total grant 
amount will be held until a final report and close-out documents are 
received from the grantee. This final report must describe fully the 
successes and failures associated with the project, including the 
reasons for the successes and failures. It should also describe 
possible improvements in the methods used. The quarterly and final 
reports will be used for evaluation purposes, reports to the Congress 
on the program, and a report on successful projects that will be 
distributed to other neighborhood organizations.

B. Other Federal Requirements

    In addition to the Equal Opportunity Requirements set forth in 
Section III.B(4) of this NOFA, grantees must comply with the following 
requirements:
    (1) Ineligible contractors. The provisions of 24 CFR part 24 
relating to the employment, engagement of services, awarding of 
contracts, or funding of any contractors or subcontractors during any 
period of debarment, suspension, or placement in ineligibility status.
    (2) Flood insurance. No building proposed for acquisition, 
construction, reconstruction, repair, or improvement to be assisted 
under this program may be located in an area that has been identified 
by the Federal Emergency Management Agency (FEMA) as having special 
flood hazards, unless the community in which the area is situated is 
participating in the National Flood Insurance Program (implemented in 
regulations at 44 CFR parts 59-79), or less than a year has passed 
since FEMA notification regarding such hazards, and the grantee ensures 
that flood insurance on the structure is obtained in compliance with 
section 102(a) of the Flood Disaster Protection Act of 1973 (42 U.S.C. 
4001 et seq.).
    (3) Lead-based paint. The requirements, as applicable, of the Lead-
Based Paint Poisoning Prevention Act (42 U.S.C. 4821-4846), and 
implementing regulations at 24 CFR part 35.
    (4) Applicability of OMB Circulars. The policies, guidelines, and 
requirements of OMB Circular Nos. A-110 and A-122 with respect to the 
acceptance and use of assistance by private nonprofit organizations.
    (5) Relocation and Real Property Acquisition. The Uniform 
Relocation Assistance and Real Property Acquisition Policies Act of 
1970 (URA), 49 CFR part 24, and HUD Handbook 1378, Tenant Assistance, 
Relocation and Real Property Acquisition, apply to the acquisition of 
real property for an assisted project and the displacement of any 
person (households, business, nonprofit organization, or farm) as a 
direct result of acquisition, rehabilitation, or demolition for the 
HUD-assisted project.
    (6) Certifications. In the absence of independent evidence that 
tends to challenge in a substantial manner the certifications made by 
the applicant, the required certifications will be accepted by HUD. 
However, if independent evidence is available, HUD may require further 
information or assurances to be submitted in order to determine whether 
the applicant's certifications are satisfactory.

C. National Environmental Policy Act

    A finding of no significant impact with respect to the environment 
has been made in accordance with HUD regulations in 24 CFR part 50 that 
implement section 102(2)(C) of the National Environmental Policy Act of 
1969. (42 U.S.C. 4332). The finding of no significant impact is 
available for public inspection and copying Monday through Friday 
during regular business hours at the Office of the Rules Docket Clerk, 
Office of General Counsel, Room 10276, Department of Housing and Urban 
Development, 451 Seventh Street, S.W., Washington, D.C. 20410.

Executive Order 12612, Federalism

    The General Counsel, as the Designated Official under section 6(a) 
of Executive Order 12612, Federalism, has determined that the policies 
contained in this notice will not have substantial direct effects on 
states or their political subdivisions, or the relationship between the 
federal government and the states, or on the distribution of power and 
responsibilities among the various levels of government. As a result, 
the notice is not subject to review under the order. The notice 
announces incentive funds to encourage neighborhood organizations to 
become more self-sufficient in their development activities.

E. Executive Order 12606, the Family

    The General Counsel, as the Designated Official under Executive 
Order 12606, The Family, has determined that this notice has potential 
for a significant impact on family formation, maintenance, and general 
well-being. The purpose of the notice is to provide funding to improve 
neighborhood opportunities relating to employment, business, housing, 
and the provision of essential services, all of which could benefit 
families significantly. However, because the impact on families would 
be indirect and would be beneficial, no further review is considered 
necessary.

F. Section 102 HUD Reform Act: Documentation and Public Access 
Requirements

    HUD will ensure that documentation and other information regarding 
each application submitted pursuant to this NOFA are sufficient to 
indicate the basis upon which assistance was provided or denied. This 
material, including any letters of support, will be made available for 
public inspection for a five-year period beginning not less than 30 
days after the award of the assistance. Material will be made available 
in accordance with the Freedom of Information Act (5 U.S.C. 552) and 
HUD's implementing regulations at 24 CFR part 15. In addition, HUD will 
include the recipients of assistance pursuant to this NOFA in its 
Federal Register notice of all recipients of HUD assistance awarded on 
a competitive basis. (See 24 CFR 12.14(a) and 12.16(b), and the notice 
published in the Federal Register on January 16, 1992 (57 FR 1942), for 
further information on these requirements.)

G. Section 103 of the HUD Reform Act

    HUD's regulation implementing section 103 of the Department of 
Housing and Urban Development Reform Act of 1989 (42 U.S.C. 3537a) was 
published on May 13, 1991 (56 FR 22088) and became effective on June 
12, 1991. That regulation, codified as 24 CFR part 4, applies to the 
funding competition announced today. The requirements of the rule 
continue to apply until the announcement of the selection of successful 
applicants.
    HUD employees involved in the review of applications and in the 
making of funding decisions are restrained by part 4 from providing 
advance information to any person (other than an authorized employee of 
HUD) concerning funding decisions, or from otherwise giving any 
applicant an unfair competitive advantage. Persons who apply for 
assistance in this competition should confine their inquiries to the 
subject areas permitted under 24 CFR part 4.
    Applicants who have questions should contact the HUD Office of 
Ethics (202) 708-3815 (voice/TDD). (This is not a toll-free number.) 
The Office of Ethics can provide information of a general nature to HUD 
employees, as [[Page 10443]] well. However, a HUD employee who has 
specific program questions, such as whether particular subject matter 
can be discussed with persons outside the Department, should contact 
his or her Field Office Counsel, or Headquarters counsel for the 
program to which the question pertains.

H. Section 112 of the Reform Act

    Section 13 of the Department of Housing and Urban Development Act 
(42 U.S.C. 3537b) contains two provisions dealing with efforts to 
influence HUD's decisions with respect to financial assistance. The 
first imposes disclosure requirements on those who are typically 
involved in these efforts--those who pay others to influence the award 
of assistance or the taking of a management action by the Department 
and those who are paid to provide the influence. The second restricts 
the payment of fees to those who are paid to influence the award of HUD 
assistance, if the fees are tied to the number of housing units 
received or are based on the amount of assistance received, or if they 
are contingent upon the receipt of assistance.
    Section 13 has been implemented by 24 CFR part 86. If readers are 
involved in any efforts to influence the Department in these ways, they 
are urged to read part 86, particularly the examples contained in 
Appendix A of that part.
    Any questions about the rule should be directed to the Office of 
Ethics, room 2158, Department of Housing and Urban Development, 451 
Seventh Street, S.W., Washington, D.C. 20410-3000. Telephone: (202) 
708-3815 (voice/TDD) (This is not a toll-free number.) Forms necessary 
for compliance with the rule may be obtained from the local HUD office.

    Authority: 42 U.S.C. 5318 note and 3535(d).

    Dated: February 17, 1995.
Andrew Cuomo,
Assistant Secretary for Community Planning and Development.
[FR Doc. 95-4449 Filed 2-21-95; 8:45 am]
BILLING CODE 4210-29-P