[Federal Register Volume 80, Number 31 (Tuesday, February 17, 2015)]
[Rules and Regulations]
[Pages 8243-8247]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-03037]
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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
24 CFR Part 982
[Docket No. FR-5827-F-01]
Removal of Obsolete Section 8 Rental Assistance Certificate
Program Regulations
AGENCY: Office of the Assistant Secretary for Public and Indian
Housing, HUD.
ACTION: Final rule.
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SUMMARY: This final rule removes from regulations obsolete references
to the Section 8 Tenant-Based Rental Assistance Certificate program
(Certificate Program). In accordance with Executive Order 13563,
``Improving Regulation and Regulatory Review,'' HUD reviewed its
regulations to identify regulations that are ``outmoded, ineffective,
insufficient or excessively burdensome.'' Following its review, HUD
determined that the
[[Page 8244]]
Certificate Program regulations are obsolete and unnecessary because
they govern a program that has been consolidated into another program,
the Housing Choice Voucher (HCV) program. This rule also makes minor
editorial corrections to the regulations.
DATES: Effective date: March 19, 2015.
FOR FURTHER INFORMATION CONTACT: For questions, please contact Jennifer
Lavorel at 202-402-2515 (the number is not toll-free). Persons with
hearing or speech impairments may access this number through TTY by
calling the toll-free Federal Relay Service at 800-877-8339. She may
also be reached via postal mail at the following address: Department of
Housing and Urban Development, 451 7th Street SW., Washington, DC
20410.
SUPPLEMENTARY INFORMATION:
I. Background
On January 18, 2011, President Obama issued Executive Order 13563,
``Improving Regulation and Regulatory Review.'' \1\ The Executive Order
directs heads of Federal departments and agencies to review all
existing regulations to eliminate those that are outdated and modify
others to increase flexibility and reduce burden. As a part of HUD's
overall effort to reduce regulatory burden and streamline the content
of title 24 of the Code of Federal Regulations (CFR), this rule removes
obsolete references to the Certificate Program, which has long been
merged with the HCV program.
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\1\ The Executive Order was subsequently published in the
Federal Register on January 21, 2011, at 76 FR 3821.
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In the HCV program (and also formerly in the Certificate Program),
HUD pays rental subsidies so eligible families can afford decent, safe,
and sanitary housing. HUD provides housing assistance funds to public
housing agencies (PHAs) that administer the program. Eligible families
select and rent units that meet program housing quality standards. The
PHA contracts with the owner of the housing to make rent subsidy
payments on behalf of the family.
The Certificate Program was first created by the Housing and
Community Development Act of 1974,\2\ which amended section 8 of the
United States Housing Act of 1937 (1937 Act).\3\ Building on the
success of the Certificate Program, Congress authorized a new rental
voucher demonstration program in 1984, by adding a new section 8(o) to
the 1937 Act, as part of the Supplemental Appropriations Act, 1984.\4\
The rental voucher program was similar to the Certificate Program but
provided families with more options in housing selection. The rental
voucher program was made permanent by the Housing and Community
Development Act of 1987.\5\
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\2\ Public Law 93-383, approved August 22, 1974.
\3\ 42 U.S.C. 1437f.
\4\ Public Law 98-181, approved November 30, 1983.
\5\ Public Law 100-242, approved February 5, 1988.
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HUD published a series of regulatory changes in the 1990s to align
the two programs as closely as possible, given the statutory framework
of each program. The Quality Housing and Work Responsibility Act of
1998 (QHWRA) \6\ amended section 8 of the 1937 Act to fully merge the
Certificate and rental voucher programs and eliminated all differences
between the two. On May 14, 1999,\7\ HUD published an interim rule
implementing the merger of the two programs into the new HCV program.
The interim rule was followed by publication of an October 21, 1999,
final rule.\8\ In accordance with the regulations implementing the
merger, the Certificate Program was phased out by October 2001.
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\6\ Title V of the Departments of Veterans Affairs and Housing
and Urban Development, and Independent Agencies Appropriations Act,
1999 (Pub. L. 105-276, approved October 21, 1998).
\7\ 64 FR 26632.
\8\ 64 FR 56894.
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The removal of obsolete references to the Certificate Program from
24 CFR will eliminate any misunderstanding that the Certificate Program
is an active program. No new assistance is being provided under this
program. To the extent that any Project-Based Certificate Program
contracts remain in effect, they are now governed by the regulations in
24 CFR 983.10, entitled ``Project-based certificate (PBC) program''.
In addition to eliminating obsolete regulatory provisions in 24 CFR
part, this rule makes certain minor editorial corrections to the
regulations in 24 CFR part 982. For example, in certain places, the
regulations refer to PHAs as PHAs but in other places the regulations
refer to PHAs as housing authorities or HAs. HUD revised the
regulations to consistently use the terms PHA or PHAs throughout.
Similarly, the rule revises the part 982 regulations to refer to the
tenant-based voucher program as the HCV program.
II. Justification for Final Rulemaking
In accordance with 24 CFR part 10, it is the practice of HUD to
offer interested parties the opportunity to comment on proposed
regulations. Part 10, consistent with 5 U.S.C. 553(b), provides for
exceptions to the general rule if an agency, for good cause, finds that
``notice and public procedure thereon are impracticable, unnecessary,
or contrary to the public interest.'' (See 24 CFR 10.1.)
The removal of these regulations from 24 CFR does not establish or
affect substantive policy. This final rule removes obsolete and
unnecessary regulatory provisions for a program that is no longer being
funded and makes non-substantive editorial corrections. Therefore, HUD
finds that public notice and comment are unnecessary and contrary to
the public interest.
III. Findings and Certifications
Regulatory Flexibility Act
The Regulatory Flexibility Act (RFA) (5 U.S.C. 601 et seq.)
generally requires an agency to conduct a regulatory flexibility
analysis of any rule subject to notice and comment rulemaking
requirements, unless the agency certifies that the rule will not have a
significant economic impact on a substantial number of small entities.
Because HUD has determined that good cause exists to issue this rule
without prior public comment, this rule is not subject to the
requirement to publish an initial or final regulatory flexibility
analysis under the RFA as part of such action.
Unfunded Mandates Reform
Section 202 of the Unfunded Mandates Reform Act of 1995 (UMRA) (2
U.S.C. 1532) requires that an agency prepare a budgetary impact
statement before promulgating a rule that includes a Federal mandate
that may result in the expenditure by state, local, and tribal
governments, in the aggregate, or by the private sector, of $100
million or more in any one year. If a budgetary impact statement is
required, section 205 of UMRA (2 U.S.C. 1534) also requires an agency
to identify and consider a reasonable number of regulatory alternatives
before promulgating a rule. However, the UMRA applies only to rules for
which an agency publishes a general notice of proposed rulemaking. As
discussed above, HUD has determined, for good cause, that prior notice
and public comment is not required on this rule and, therefore, the
UMRA does not apply to this final rule.
Executive Order 13132, Federalism
Executive Order 13132 (entitled ``Federalism''`) prohibits an
agency from publishing any rule that has federalism implications if the
rule either imposes substantial direct compliance costs on state and
local governments and is not required by statute, or the rule preempts
[[Page 8245]]
state law, unless the agency meets the consultation and funding
requirements of section 6 of the Executive Order. This final rule will
not have federalism implications and would not impose substantial
direct compliance costs on state and local governments or preempt state
law within the meaning of the Executive order.
Environmental Review
This final rule does not direct, provide for assistance or loan and
mortgage insurance for, or otherwise govern, or regulate, real property
acquisition, disposition, leasing, rehabilitation, alteration,
demolition, or new construction, or establish, revise, or provide for
standards for construction or construction materials, manufactured
housing, or occupancy. Accordingly, under 24 CFR 50.19(c)(1), this
final rule is categorically excluded from environmental review under
the National Environmental Policy Act of 1969 (42 U.S.C. 4321).
List of Subjects in 24 CFR Part 982
Grant programs--housing and community development, Grant programs-
Indians, Indians, Public housing, Rent subsidies, Reporting and
recordkeeping requirements.
Accordingly, for the reasons stated in the preamble, and pursuant
to the Secretary's authority under 42 U.S.C. 3535(d), 24 CFR part 982
is amended as follows:
PART 982--SECTION 8 TENANT-BASED ASSISTANCE: HOUSING CHOICE VOUCHER
PROGRAM
0
1. The authority citation for part 982 continues to read as follows:
Authority: 42 U.S.C. 1437f and 3535(d).
0
2. Revise Sec. 982.1(a) to read as follows:
Sec. 982.1 Programs: purpose and structure.
(a) General description. (1) In the HUD Housing Choice Voucher
(HCV) program, HUD pays rental subsidies so eligible families can
afford decent, safe, and sanitary housing. The HCV program is generally
administered by State or local governmental entities called public
housing agencies (PHAs). HUD provides housing assistance funds to the
PHA. HUD also provides funds for PHA administration of the program.
(2) Families select and rent units that meet program housing
quality standards. If the PHA approves a family's unit and tenancy, the
PHA contracts with the owner to make rent subsidy payments on behalf of
the family. A PHA may not approve a tenancy unless the rent is
reasonable.
(3) Subsidy in the HCV program is based on a local ``payment
standard'' that reflects the cost to lease a unit in the local housing
market. If the rent is less than the payment standard, the family
generally pays 30 percent of adjusted monthly income for rent. If the
rent is more than the payment standard, the family pays a larger share
of the rent.
* * * * *
0
3. Revise Sec. 982.2 to read as follows:
Sec. 982.2 Applicability.
Part 982 contains the program requirements for the tenant-based
housing assistance program under Section 8 of the United States Housing
Act of 1937 (42 U.S.C. 1437f). The tenant-based program is the HCV
program.
0
4. Amend Sec. 982.4 as follows:
0
a. Revise paragraph (a)(2); and
0
b. In paragraph (b), remove the definition of ``Tenant rent'' and
revise the definitions of ``Absorption'', ``Administrative plan'',
``Admission'', ``Applicant'', ``Budget authority'', ``Continuously
assisted'', ``Housing quality standards (HQS)'', ``Merger date'',
``Program'', ``Receiving PHA'', and ``Utility reimbursement''.
The revisions read as follows:
Sec. 982.4 Definitions.
(a) * * *
(2) Definitions concerning family income and rent. The terms
``adjusted income,'' ``annual income,'' ``extremely low income
family,'' ``tenant rent,'' ``total tenant payment,'' ``utility
allowance,'' ``utility reimbursement,'' and ``welfare assistance'' are
defined in part 5, subpart F of this title. The definitions of ``tenant
rent'' and ``utility reimbursement'' in part 5, subpart F of this title
do not apply to the HCV program under part 982.
(b) * * *
Absorption. In portability (under subpart H of this part): the
point at which a receiving PHA stops billing the initial PHA for
assistance on behalf of a portability family. The receiving PHA uses
funds available under the receiving PHA consolidated ACC.
* * * * *
Administrative plan. The plan that describes PHA policies for
administration of the HCV program. See Sec. 982.54.
Admission. The point when the family becomes a participant in the
program. The date used for this purpose is the effective date of the
first HAP contract for a family (first day of initial lease term) in
the tenant-based program.
Applicant (applicant family). A family that has applied for
admission to the HCV program but is not yet a program participant.
Budget authority. An amount authorized and appropriated by the
Congress for payment to PHAs under the HCV program. For each funding
increment in the program, budget authority is the maximum amount that
may be paid by HUD to the PHA over the ACC term of the funding
increment.
* * * * *
Continuously assisted. An applicant is continuously assisted under
the 1937 Act if the family is already receiving assistance under any
1937 Act program when the family is admitted to the HCV program.
* * * * *
Housing quality standards (HQS). The HUD minimum quality standards
for housing assisted under the HCV program. See Sec. 982.401.
* * * * *
Merger date. October 1, 1999, which is the effective date of the
merger of the two tenant-based programs (the housing voucher and
housing certificate programs) into the Housing Choice Voucher (HCV)
program.
* * * * *
Program. The Section 8 HCV program under this part.
* * * * *
Receiving PHA. In portability: A PHA that receives a family
selected for participation in the HCV program of another PHA. The
receiving PHA issues a voucher and provides program assistance to the
family.
* * * * *
Utility reimbursement. The portion of the housing assistance
payment which exceeds the amount of the rent to owner. (See Sec.
982.514(b)).
* * * * *
0
5. In Sec. 982.51(b), revise the second sentence to read as follows:
Sec. 982.51 PHA authority to administer program.
* * * * *
(b) * * * The PHA must submit additional evidence when there is a
change that affects its status as a PHA, its authority to administer
the program, or its jurisdiction.
Sec. 982.53 [Amended]
0
6. In Sec. 982.53(e), remove the phrase ``incidents of'' and add in
its place ``an incidence of''.
Sec. 982.54 [Amended]
0
7. In Sec. 982.54, remove paragraph (d)(19) and redesignate paragraphs
(d)(20) through (23) as paragraphs (d)(19) through (22), respectively.
[[Page 8246]]
Sec. 982.101 [Amended]
0
8. In Sec. 982.101(c), remove the word ``HAs'' and add in its place
``PHAs'' and remove the parenthetical ``(NOFA)'' and add in its place
``(NOFAs)''.
Sec. 982.102 [Amended]
0
9. Amend Sec. 982.102 as follows:
0
a. In paragraph (a), remove the phrase ``part 983 of this title'' and
add in its place ``24 CFR part 983'' and remove the ``,'' at the end of
the paragraph and add a ``.'' in its place;
0
b. In paragraph (e)(1)(i), remove the words ``PHA certificate and
voucher programs (including project-based assistance under such
programs)'' and add, in their place, the words ``HCV program (including
project-based assistance under such program)'';
0
c. Redesignate the second paragraph (e)(3)(iii) as paragraph
(e)(3)(iv); and
0
d. In paragraph (f), capitalize the word ``consolidated'' in the
paragraph heading.
Sec. 982.103 [Amended]
0
10. In Sec. 982.103(a), capitalize the word ``a'' at the beginning of
the paragraph.
Sec. 982.151 [Amended]
0
11. In Sec. 982.151(a)(2), remove the words ``PHA tenant-based
assistance program'' and add in their place ``PHA's HCV program''.
Sec. 982.152 [Amended]
0
12. Amend Sec. 982.152 as follows:
0
a. In paragraph (a), remove all references to ``HA'' and add in their
place ``PHA''; and
0
b. In paragraph (b)(2), remove the phrase ``tenant-based'' and add in
its place ``HCV''.
Sec. 982.158 [Amended]
0
13. In Sec. 982.158(c), remove the word ``tPHAt'' and add in its place
``that''.
Sec. 982.161 [Amended]
0
14. In Sec. 982.161(a), remove the phrase ``tenant-based programs''
and add in its place ``HCV program''.
0
15. Amend Sec. 982.201 as follows:
0
a. In the paragraph heading of paragraph (a), add the word ``In''
before the word ``general'';
0
b. In paragraph (b)(2)(i), remove the phrase ``tenant-based voucher''
and add in its place ``HCV'';
0
c. Remove paragraph (b)(2)(iv) and redesignate paragraphs (b)(2)(v)
through (vii) as paragraphs (b)(2)(iv) through (vi), respectively;
0
d. In newly redesignated paragraph (b)(2)(v), remove the phrase
``tenant-based voucher'' and add in its place ``HCV''; and
0
e. Revise newly redesignated paragraph (b)(2)(vi) and paragraph (b)(3).
The revisions read as follows:
Sec. 982.201 Eligibility and targeting.
* * * * *
(b) * * *
(2) * * *
(vi) If a family initially leases a unit outside the PHA
jurisdiction under portability procedures at admission to the HCV
program, such admission shall be counted against the targeting
obligation of the initial PHA (unless the receiving PHA absorbs the
portable family into the receiving PHA's HCV program from the point of
admission).
(3) The annual income (gross income) of an applicant family is used
both for determination of income-eligibility under paragraph (b)(1) of
this section and for targeting under paragraph (b)(2)(i) of this
section. In determining annual income of an applicant family that
includes a person with disabilities, the determination must include the
disallowance of increase in annual income as provided in 24 CFR 5.617,
if applicable.
* * * * *
Sec. 982.205 [Amended]
0
16. In Sec. 982.205(a)(1), capitalize the word ``a'' in the first
sentence following the paragraph heading.
0
17. Add Sec. 982.305(b)(1)(iii) to read as follows:
Sec. 982.305 PHA approval of assisted tenancy.
* * * * *
(b) * * *
(1)
(iii) The PHA has approved leasing of the unit in accordance with
program requirements.
* * * * *
Sec. 982.311 [Amended]
0
18. In Sec. 982.311(b), remove the word ``HA'' and add in its place
``PHA''.
Sec. 982.315 [Amended]
0
19. In Sec. 982.315(b)(3), remove the words ``or actual'' and add in
their place ``of actual''.
0
20. Amend Sec. 982.355 as follows:
0
a. In paragraph (a), remove the phrase ``a tenant-based'' and add in
its place ``an HCV'';
0
b. Revise paragraph (c)(1);
0
c. In paragraph (d)(1), remove the phrase ``PHA voucher'' and add in
its place ``PHA's HCV'' and remove the phrase ``PHA tenant-based'' and
add in its place ``PHA's HCV'';
0
d. In paragraph (e)(6), capitalize the word ``a'' at the beginning of
the paragraph and remove the phrase ``PHA tenant-based'' and add in its
place ``PHA's HCV''; and
0
e. In paragraph (e)(7), remove the phrase ``tenant-based'' and add in
its place ``HCV''.
The revision reads as follows:
Sec. 982.355 Portability: Administration by receiving PHA.
* * * * *
(c) * * *
(1) The receiving PHA does not redetermine eligibility for a
portable family that was already receiving assistance in the initial
PHA's HCV program. However, for a portable family that was not already
receiving assistance in the PHA's HCV program, the initial PHA must
determine whether the family is eligible for admission to the receiving
PHA's HCV program.
* * * * *
Sec. 982.401 [Amended]
0
21. Amend Sec. 982.401 as follows:
0
a. In paragraph (a)(1), remove the phrase ``in the programs'' and add
in its place ``under the HCV program'';
0
b. In paragraph (c)(1)(ii), add a period after ``e.g''; and
0
c. In paragraph (n)(1), remove '' -'' after ``hearing-impaired
person,''.
Sec. 982.403 [Amended]
0
22. In Sec. 982.403, remove paragraph (b) and redesignate paragraph
(c) as paragraph (b).
Sec. 982.406 [Amended]
0
23. In Sec. 982.406, remove ``tPHAn'' and add in its place ``than''.
Sec. 982.452 [Amended]
0
24. In Sec. 982.452(b)(5)(ii), remove the line break between ``tenant
contribution'' and ``(the part of rent''.
0
25. Revise Sec. 982.501 to read as follows:
Sec. 982.501 Overview.
This subpart describes program requirements concerning the housing
assistance payment and rent to owner under the HCV program.
Sec. 982.502 [Removed]
0
26. Remove Sec. 982.502.
Sec. 982.503 [Amended]
0
27. Amend Sec. 982.503 as follows:
0
a. Remove ``Voucher tenancy:'' from the section heading; and
0
b. Remove paragraph (c)(7).
Sec. 982.504 [Amended]
0
28. Amend Sec. 982.504 as follows:
[[Page 8247]]
0
a. Remove ``Voucher tenancy:'' from the section heading;
0
b. In paragraph (a) introductory text, remove the phrase ``tenant-based
assistance under the voucher program'' and add in its place ``HCV
assistance'';
0
c. In paragraph (a)(1), remove the phrase ``tenant-based voucher'' and
add in its place ``HCV'' and remove the phrase ``Sec. 401.421 of this
title'' and add in its place ``24 CFR 401.421''; and
0
d. In paragraph (a)(2), remove ``tenant-based'' and add in its place
``HCV''.
Sec. 982.505 [Amended]
0
29. In Sec. 982.505, remove ``Voucher tenancy:'' from the section
heading.
0
30. Revise Sec. 982.516(d)(2) to read as follows:
Sec. 982.516 Family income and composition: Regular and interim
examinations.
* * * * *
(d) * * *
(2) At the effective date of a regular or interim reexamination,
the PHA must make appropriate adjustments in the housing assistance
payment in accordance with Sec. 982.505.
* * * * *
Sec. 982.517 [Amended]
0
31. In Sec. 982.517(c)(1), capitalize the word ``a'' at the beginning
of the paragraph and remove the word ``PHAs'' and add in its place
``has''.
Sec. Sec. 982.518, 982.519, and 982.520 [Removed]
0
32. Remove Sec. Sec. 982.518 through 982.520.
Sec. 982.521 [Amended]
0
33. Remove Sec. 982.521(c).
Sec. 982.552 [Amended]
0
34. In Sec. 982.522(c)(2)(iii), add ``may'' before ``consider
whether''.
Sec. 982.553 [Amended]
0
35. In Sec. 982.553(a)(2)(ii)(B), remove the phrase ``not to have''
and add in its place ``not have''.
Sec. 982.555 [Amended]
0
36. Amend Sec. 982.555 as follows:
0
a. In paragraph (a), add a space between the paragraph heading and
paragraph (a)(1), capitalize the word ``a'' at the beginning of
paragraph (a)(1), remove paragraph (a)(1)(iv), and redesignate
paragraphs (a)(1)(v) and (vi) as paragraphs (a)(1)(iv) and (v),
respectively; and
0
b. In paragraphs (b)(4), (5), (6), and (7), capitalize the word ``a''
at the beginning of each paragraph.
Sec. 982.601 [Amended]
0
37. In Sec. 982.601(c)(1), add a period after ``e.g''.
Sec. 982.615 [Amended]
0
38. In Sec. 982.615(b), remove ``HA'' and add in its place ``PHA''.
0
39. Revise Sec. 982.619(b)(4) to read as follows:
Sec. 982.619 Cooperative housing.
* * * * *
(b) * * *
(4) Adjustments are applied to the carrying charge as determined in
accordance with this section.
* * * * *
Sec. 982.623 [Amended]
0
40. Amend Sec. 982.623 as follows:
0
a. Remove paragraph (a);
0
b. Remove the heading of paragraph (b).
0
c. Redesignate paragraphs (b)(1) through (4) as paragraphs (a) through
(d), respectively;
0
d. In newly redesignated paragraph (c), further redesignate paragraphs
(i) and (ii) as paragraphs (c)(1) and (2), respectively; and
0
e. In newly redesignated paragraph (d), further redesignate paragraphs
(i) through (iii) as paragraphs (d)(1) through (3), respectively.
Sec. 982.625 [Amended]
0
41. In Sec. 982.625(g)(2), add a space between ``its'' and ``Section
8''.
Sec. 982.627 [Amended]
0
42. In Sec. 982.627(c)(2)(ii)(A), remove the line break between
``voucher'' and ``program''.
Sec. 982.631 [Amended]
0
43. In Sec. 982.631(c)(2)(iii), remove the line break between ``unit''
and ``unless''.
Sec. 982.636 [Amended]
0
44. In Sec. 982.636(c), add a period after ``e.g''.
Sec. 982.641 [Amended]
0
45. In Sec. 982.641(c)(3), in the cross-reference ``Sec.
982.353(b)(1), (2), and (3)'', remove ``(b)(1),(2), and (3)''.
Dated: February 9, 2015.
Jemine A. Bryon,
Acting Assistant Secretary for Public and Indian Housing.
[FR Doc. 2015-03037 Filed 2-13-15; 8:45 am]
BILLING CODE 4210-67-P