cfr_sections
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55 rows where part_number = 578 and title_number = 24 sorted by section_id
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| section_id ▼ | title_number | title_name | chapter | subchapter | part_number | part_name | subpart | subpart_name | section_number | section_heading | agency | authority | source_citation | amendment_citations | full_text |
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| 24:24:3.1.1.3.7.1.1.1 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | A | Subpart A—General Provisions | § 578.1 Purpose and scope. | HUD | (a) The Continuum of Care program is authorized by subtitle C of title IV of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11381-11389). (b) The program is designed to: (1) Promote communitywide commitment to the goal of ending homelessness; (2) Provide funding for efforts by nonprofit providers, States, and local governments to quickly rehouse homeless individuals (including unaccompanied youth) and families, while minimizing the trauma and dislocation caused to homeless individuals, families, and communities by homelessness; (3) Promote access to and effective utilization of mainstream programs by homeless individuals and families; and (4) Optimize self-sufficiency among individuals and families experiencing homelessness. | ||||
| 24:24:3.1.1.3.7.1.1.2 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | A | Subpart A—General Provisions | § 578.3 Definitions. | HUD | As used in this part: Act means the McKinney-Vento Homeless Assistance Act as amended (42 U.S.C. 11371 et seq. ). Annual renewal amount means the amount that a grant can be awarded on an annual basis when renewed. It includes funds only for those eligible activities (operating, supportive services, leasing, rental assistance, HMIS, and administration) that were funded in the original grant (or the original grant as amended), less the unrenewable activities (acquisition, new construction, rehabilitation, and any administrative costs related to these activities). Applicant means an eligible applicant that has been designated by the Continuum of Care to apply for assistance under this part on behalf of that Continuum. At risk of homelessness. (1) An individual or family who: (i) Has an annual income below 30 percent of median family income for the area, as determined by HUD; (ii) Does not have sufficient resources or support networks, e.g., family, friends, faith-based or other social networks, immediately available to prevent them from moving to an emergency shelter or another place described in paragraph (1) of the “Homeless” definition in this section; and (iii) Meets one of the following conditions: (A) Has moved because of economic reasons two or more times during the 60 days immediately preceding the application for homelessness prevention assistance; (B) Is living in the home of another because of economic hardship; (C) Has been notified in writing that their right to occupy their current housing or living situation will be terminated within 21 days of the date of application for assistance; (D) Lives in a hotel or motel and the cost of the hotel or motel stay is not paid by charitable organizations or by federal, State, or local government programs for low-income individuals; (E) Lives in a single-room occupancy or efficiency apartment unit in which there reside more than two persons, or lives in a larger housing unit in which there reside more than 1.5 people per room, as defined by the … | ||||
| 24:24:3.1.1.3.7.2.1.1 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | B | Subpart B—Establishing and Operating a Continuum of Care | § 578.5 Establishing the Continuum of Care. | HUD | (a) The Continuum of Care. Representatives from relevant organizations within a geographic area shall establish a Continuum of Care for the geographic area to carry out the duties of this part. Relevant organizations include nonprofit homeless assistance providers, victim service providers, faith-based organizations, governments, businesses, advocates, public housing agencies, school districts, social service providers, mental health agencies, hospitals, universities, affordable housing developers, law enforcement, and organizations that serve veterans and homeless and formerly homeless individuals. (b) The board. The Continuum of Care must establish a board to act on behalf of the Continuum using the process established as a requirement by § 578.7(a)(3) and must comply with the conflict-of-interest requirements at § 578.95(b). The board must: (1) Be representative of the relevant organizations and of projects serving homeless subpopulations; and (2) Include at least one homeless or formerly homeless individual. (c) Transition. Continuums of Care shall have 2 years after August 30, 2012 to comply with the requirements of paragraph (b) of this section. | ||||
| 24:24:3.1.1.3.7.2.1.2 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | B | Subpart B—Establishing and Operating a Continuum of Care | § 578.7 Responsibilities of the Continuum of Care. | HUD | [77 FR 45442, July 31, 2012,as amended at 81 FR 80809, Nov. 16, 2016] | (a) Operate the Continuum of Care. The Continuum of Care must: (1) Hold meetings of the full membership, with published agendas, at least semi-annually; (2) Make an invitation for new members to join publicly available within the geographic at least annually; (3) Adopt and follow a written process to select a board to act on behalf of the Continuum of Care. The process must be reviewed, updated, and approved by the Continuum at least once every 5 years; (4) Appoint additional committees, subcommittees, or workgroups; (5) In consultation with the collaborative applicant and the HMIS Lead, develop, follow, and update annually a governance charter, which will include all procedures and policies needed to comply with subpart B of this part and with HMIS requirements as prescribed by HUD; and a code of conduct and recusal process for the board, its chair(s), and any person acting on behalf of the board; (6) Consult with recipients and subrecipients to establish performance targets appropriate for population and program type, monitor recipient and subrecipient performance, evaluate outcomes, and take action against poor performers; (7) Evaluate outcomes of projects funded under the Emergency Solutions Grants program and the Continuum of Care program, and report to HUD; (8) In consultation with recipients of Emergency Solutions Grants program funds within the geographic area, establish and operate either a centralized or coordinated assessment system that provides an initial, comprehensive assessment of the needs of individuals and families for housing and services. The Continuum must develop a specific policy to guide the operation of the centralized or coordinated assessment system on how its system will address the needs of individuals and families who are fleeing, or attempting to flee, domestic violence, dating violence, sexual assault, or stalking, but who are seeking shelter or services from nonvictim service providers. This system must comply with any requirements established by HUD by Notice. (9) In … | |||
| 24:24:3.1.1.3.7.2.1.3 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | B | Subpart B—Establishing and Operating a Continuum of Care | § 578.9 Preparing an application for funds. | HUD | (a) The Continuum must: (1) Design, operate, and follow a collaborative process for the development of applications and approve the submission of applications in response to a NOFA published by HUD under § 578.19 of this subpart; (2) Establish priorities for funding projects in the geographic area; (3) Determine if one application for funding will be submitted for all projects within the geographic area or if more than one application will be submitted for the projects within the geographic area; (i) If more than one application will be submitted, designate an eligible applicant to be the collaborative applicant that will collect and combine the required application information from all applicants and for all projects within the geographic area that the Continuum has selected funding. The collaborative applicant will also apply for Continuum of Care planning activities. If the Continuum is an eligible applicant, it may designate itself; (ii) If only one application will be submitted, that applicant will be the collaborative applicant and will collect and combine the required application information from all projects within the geographic area that the Continuum has selected for funding and apply for Continuum of Care planning activities; (b) The Continuum retains all of its responsibilities, even if it designates one or more eligible applicants other than itself to apply for funds on behalf of the Continuum. This includes approving the Continuum of Care application. | ||||
| 24:24:3.1.1.3.7.2.1.4 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | B | Subpart B—Establishing and Operating a Continuum of Care | § 578.11 Unified Funding Agency. | HUD | [77 FR 45442, July 31, 2012, as amended at 80 FR 75939, Dec. 7, 2015] | (a) Becoming a Unified Funding Agency. To become designated as the Unified Funding Agency (UFA) for a Continuum, a collaborative applicant must be selected by the Continuum to apply to HUD to be designated as the UFA for the Continuum. (b) Criteria for designating a UFA. HUD will consider these criteria when deciding whether to designate a collaborative applicant a UFA: (1) The Continuum of Care it represents meets the requirements in § 578.7; (2) The collaborative applicant has financial management systems that meet the standards set forth in 2 CFR 200.302; (3) The collaborative applicant demonstrates the ability to monitor subrecipients; and (4) Such other criteria as HUD may establish by NOFA. (c) Requirements. HUD-designated UFAs shall: (1) Apply to HUD for funding for all of the projects within the geographic area and enter into a grant agreement with HUD for the entire geographic area. (2) Enter into legally binding agreements with subrecipients, and receive and distribute funds to subrecipients for all projects within the geographic area. (3) Require subrecipients to establish fiscal control and accounting procedures as necessary to assure the proper disbursal of and accounting for federal funds in accordance with the requirements of 2 CFR part 200, subpart D. (4) Obtain approval of any proposed grant agreement amendments by the Continuum of Care before submitting a request for an amendment to HUD. | |||
| 24:24:3.1.1.3.7.2.1.5 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | B | Subpart B—Establishing and Operating a Continuum of Care | § 578.13 Remedial action. | HUD | (a) If HUD finds that the Continuum of Care for a geographic area does not meet the requirements of the Act or its implementing regulations, or that there is no Continuum for a geographic area, HUD may take remedial action to ensure fair distribution of grant funds within the geographic area. Such measures may include: (1) Designating a replacement Continuum of Care for the geographic area; (2) Designating a replacement collaborative applicant for the Continuum's geographic area; and (3) Accepting applications from other eligible applicants within the Continuum's geographic area. (b) HUD must provide a 30-day prior written notice to the Continuum and its collaborative applicant and give them an opportunity to respond. | ||||
| 24:24:3.1.1.3.7.3.1.1 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | C | Subpart C—Application and Grant Award Process | § 578.15 Eligible applicants. | HUD | (a) Who may apply. Nonprofit organizations, States, local governments, and instrumentalities of State or local governments are eligible to apply for grants. (b) Designation by the Continuum of Care. Eligible applicant(s) must have been designated by the Continuum of Care to submit an application for grant funds under this part. The designation must state whether the Continuum is designating more than one applicant to apply for funds and, if it is, which applicant is being designated as the collaborative applicant. If the Continuum is designating only one applicant to apply for funds, the Continuum must designate that applicant to be the collaborative applicant. (c) Exclusion. For-profit entities are not eligible to apply for grants or to be subrecipients of grant funds. | ||||
| 24:24:3.1.1.3.7.3.1.10 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | C | Subpart C—Application and Grant Award Process | § 578.33 Renewals. | HUD | (a) In general. Awards made under this part and title IV of the Act, as in effect before August 30, 2012 (the Supportive Housing Program and the Shelter Plus Care program), may be renewed to continue ongoing leasing, operations, supportive services, rental assistance, HMIS, and administration beyond the initial funding period. To be considered for funding, recipients must submit a request in a form specified by HUD, must meet the requirements of this part, and must submit the request within the time frame established by HUD. (b) Length of renewal. HUD may award up to 3 years of funds for supportive services, leasing, HMIS, and operating costs. Renewals of tenant-based and sponsor-based rental assistance may be for up to one year of rental assistance. Renewals of project-based rental assistance may be for up to 15 years of rental assistance, subject to availability of annual appropriations. (c) Assistance available. (1) Assistance during each year of a renewal period may be for: (i) Up to 100 percent of the amount for supportive services and HMIS costs in the final year of the prior funding period; (ii) Up to 100 percent of the amount for leasing and operating in the final year of the prior funding period adjusted in proportion to changes in the FMR for the geographic area; and (iii) For rental assistance, up to 100 percent of the result of multiplying the number and unit size(s) in the grant agreement by the number of months in the renewal grant term and the applicable FMR. (d) Review criteria. (1) Awards made under title IV of the Act, as in effect before August 30, 2012 are eligible for renewal in the Continuum of Care program even if the awardees would not be eligible for a new grant under the program, so long as they continue to serve the same population and the same number of persons or units in the same type of housing as identified in their most recently amended grant agreement signed before August 30, 2012. Grants will be renewed if HUD receives a certification from the Continuum that there … | ||||
| 24:24:3.1.1.3.7.3.1.11 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | C | Subpart C—Application and Grant Award Process | § 578.35 Appeal. | HUD | (a) In general. Failure to follow the procedures or meet the deadlines established in this section will result in denial of the appeal. (b) Solo applicants. (1) Who may appeal. Nonprofits, States, and local governments, and instrumentalities of State or local governments that attempted to participate in the Continuum of Care planning process in the geographic area in which they operate, that believe they were denied the right to participate in a reasonable manner, and that submitted a solo application for funding by the application deadline established in the NOFA, may appeal the decision of the Continuum to HUD. (2) Notice of intent to appeal. The solo applicant must submit a written notice of intent to appeal, with a copy to the Continuum, with their funding application. (3) Deadline for submitting proof. No later than 30 days after the date that HUD announces the awards, the solo applicant shall submit in writing, with a copy to the Continuum, all relevant evidence supporting its claim, in such manner as HUD may require by Notice. (4) Response from the Continuum of Care. The Continuum shall have 30 days from the date of its receipt of the solo applicant's evidence to respond to HUD in writing and in such manner as HUD may require, with a copy to the solo applicant. (5) Decision. HUD will notify the solo applicant and the Continuum of its decision within 60 days of receipt of the Continuum's response. (6) Funding. If HUD finds that the solo applicant was not permitted to participate in the Continuum of Care planning process in a reasonable manner, then HUD may award a grant to the solo applicant when funds next become available and may direct the Continuum of Care to take remedial steps to ensure reasonable participation in the future. HUD may also reduce the award to the Continuum's applicant(s). (c) Denied or decreased funding. (1) Who may appeal. Eligible applicants that are denied funds by HUD, or that requested more funds than HUD awarded to them, may appeal the award by filing a… | ||||
| 24:24:3.1.1.3.7.3.1.2 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | C | Subpart C—Application and Grant Award Process | § 578.17 Overview of application and grant award process. | HUD | (a) Formula. (1) After enactment of the annual appropriations act for each fiscal year, and issuance of the NOFA, HUD will publish, on its Web site, the Preliminary Pro Rata Need (PPRN) assigned to metropolitan cities, urban counties, and all other counties. (2) HUD will apply the formula used to determine PPRN established in paragraph (a)(3) of this section, to the amount of funds being made available under the NOFA. That amount is calculated by: (i) Determining the total amount for the Continuum of Care competition in accordance with section 413 of the Act or as otherwise directed by the annual appropriations act; (ii) From the amount in paragraph (a)(2)(i) of this section, deducting the amount published in the NOFA as being set aside to provide a bonus to geographic areas for activities that have proven to be effective in reducing homelessness generally or for specific subpopulations listed in the NOFA or achieving homeless prevention and independent living goals established in the NOFA and to meet policy priorities set in the NOFA; and (iii) Deducting the amount of funding necessary for Continuum of Care planning activities and UFA costs. (3) PPRN is calculated on the amount determined under paragraph (a)(2) of this section by using the following formula: (i) Two percent will be allocated among the four insular areas (American Samoa, Guam, the Commonwealth of the Northern Marianas, and the Virgin Islands) on the basis of the ratio of the population of each insular area to the population of all insular areas. (ii) Seventy-five percent of the remaining amount will be allocated, using the Community Development Block Grant (CDBG) formula, to metropolitan cities and urban counties that have been funded under either the Emergency Shelter Grants or Emergency Solutions Grants programs in any one year since 2004. (iii) The amount remaining after the allocation under paragraphs (a)(1) and (2) of this section will be allocated, using the CDBG formula, to metropolitan cities and urban counties that have not bee… | ||||
| 24:24:3.1.1.3.7.3.1.3 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | C | Subpart C—Application and Grant Award Process | § 578.19 Application process. | HUD | (a) Notice of Funding Availability. After enactment of the annual appropriations act for the fiscal year, HUD will issue a NOFA in accordance with the requirements of 24 CFR part 4. (b) Applications. All applications to HUD, including applications for grant funds and requests for designation as a UFA or HPC, must be submitted at such time and in such manner as HUD may require, and contain such information as HUD determines necessary. At a minimum, an application for grant funds must contain a list of the projects for which it is applying for funds; a description of the projects; a list of the projects that will be carried out by subrecipients and the names of the subrecipients; a description of the subpopulations of homeless or at risk of homelessness to be served by projects; the number of units to be provided and/or the number of persons to be served by each project; a budget request by project; and reasonable assurances that the applicant, or the subrecipient, will own or have control of a site for the proposed project not later than the expiration of the 12-month period beginning upon notification of an award for grant assistance. | ||||
| 24:24:3.1.1.3.7.3.1.4 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | C | Subpart C—Application and Grant Award Process | § 578.21 Awarding funds. | HUD | (a) Selection. HUD will review applications in accordance with the guidelines and procedures provided in the NOFA and will award funds to recipients through a national competition based on selection criteria as defined in section 427 of the Act. (b) Announcement of awards. HUD will announce awards and notify selected applicants of any conditions imposed on awards. Conditions must be satisfied before HUD will execute a grant agreement with the applicant. (c) Satisfying conditions. HUD will withdraw an award if the applicant does not satisfy all conditions imposed on it. Correcting all issues and conditions attached to an award must be completed within the time frame established in the NOFA. Proof of site control, match, environmental review, and the documentation of financial feasibility must be completed within 12 months of the announcement of the award, or 24 months in the case of funds for acquisition, rehabilitation, or new construction. The 12-month deadline may be extended by HUD for up to 12 additional months upon a showing of compelling reasons for delay due to factors beyond the control of the recipient or subrecipient. | ||||
| 24:24:3.1.1.3.7.3.1.5 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | C | Subpart C—Application and Grant Award Process | § 578.23 Executing grant agreements. | HUD | (a) Deadline. No later than 45 days from the date when all conditions are satisfied, the recipient and HUD must execute the grant agreement. (b) Grant agreements. (1) Multiple applicants for one Continuum. If a Continuum designates more than one applicant for the geographic area, HUD will enter into a grant agreement with each designated applicant for which an award is announced. (2) One applicant for a Continuum. If a Continuum designates only one applicant for the geographic area, after awarding funds, HUD may enter into a grant agreement with that applicant for new awards, if any, and one grant agreement for renewals, Continuum of Care planning, and UFA costs, if any. These two grants will cover the entire geographic area. A default by the recipient under one of those grant agreements will also be a default under the other. (3) Unified Funding Agencies. If a Continuum is a UFA that HUD has approved, then HUD will enter into one grant agreement with the UFA for new awards, if any, and one grant agreement for renewals, Continuum of Care planning and UFA costs, if any. These two grants will cover the entire geographic area. A default by the UFA under one of those grant agreements will also be a default under the other. (c) Required agreements. Recipients will be required to sign a grant agreement in which the recipient agrees: (1) To ensure the operation of the project(s) in accordance with the provisions of the McKinney-Veto Act and all requirements under 24 CFR part 578; (2) To monitor and report the progress of the project(s) to the Continuum of Care and HUD; (3) To ensure, to the maximum extent practicable, that individuals and families experiencing homelessness are involved, through employment, provision of volunteer services, or otherwise, in constructing, rehabilitating, maintaining, and operating facilities for the project and in providing supportive services for the project; (4) To require certification from all subrecipients that: (i) Subrecipients will maintain the confidentiality … | ||||
| 24:24:3.1.1.3.7.3.1.6 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | C | Subpart C—Application and Grant Award Process | § 578.25 Site control. | HUD | (a) In general. When grant funds will be used for acquisition, rehabilitation, new construction, operating costs, or to provide supportive services, the recipient or subrecipient must demonstrate that it has site control within the time frame established in section § 578.21 before HUD will execute a grant agreement. This requirement does not apply to funds used for housing that will eventually be owned or controlled by the individuals or families served or for supportive services provided at sites not operated by the recipient or subrecipient. (b) Evidence. Acceptable evidence of site control is a deed or lease. If grant funds will be used for acquisition, acceptable evidence of site control will be a purchase agreement. The owner, lessee, and purchaser shown on these documents must be the selected applicant or intended subrecipient identified in the application for assistance. (c) Tax credit projects. (1) Applicants that plan to use the low-income housing tax credit authorized under 26 U.S.C. 42 to finance a project must prove to HUD's satisfaction that the applicant or subrecipient identified in the application is in control of the limited partnership or limited liability corporation that has a deed or lease for the project site. (i) To have control of the limited partnership, the applicant or subrecipient must be the general partner of the limited partnership or have a 51 percent controlling interest in that general partner. (ii) To have control of the limited liability company, the applicant or subrecipient must be the sole managing member. (2) If grant funds are to be used for acquisition, rehabilitation, or new construction, the recipient or subrecipient must maintain control of the partnership or corporation and must ensure that the project is operated in compliance with law and regulation for 15 years from the date of initial occupancy or initial service provision. The partnership or corporation must own the project site throughout the 15-year period. If grant funds were not used for acquisitio… | ||||
| 24:24:3.1.1.3.7.3.1.7 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | C | Subpart C—Application and Grant Award Process | § 578.27 Consolidated plan. | HUD | (a) States or units of general local government. An applicant that is a State or a unit of general local government must have a HUD-approved, complete or abbreviated, consolidated plan in accordance with 24 CFR part 91. The applicant must submit a certification that the application for funding is consistent with the HUD-approved consolidated plan(s) for the jurisdiction(s) in which the proposed project will be located. Funded applicants must certify in a grant agreement that they are following the HUD-approved consolidated plan. (b) Other applicants. Applicants that are not States or units of general local government must submit a certification by the jurisdiction(s) in which the proposed project will be located that the applicant's application for funding is consistent with the jurisdiction's HUD-approved consolidated plan. The certification must be made by the unit of general local government or the State, in accordance with the consistency certification provisions under 24 CFR part 91, subpart F. If the jurisdiction refuses to provide a certification of consistency, the applicant may appeal to HUD under § 578.35. (c) Timing of consolidated plan certification submissions. The required certification that the application for funding is consistent with the HUD-approved consolidated plan must be submitted by the funding application submission deadline announced in the NOFA. | ||||
| 24:24:3.1.1.3.7.3.1.8 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | C | Subpart C—Application and Grant Award Process | § 578.29 Subsidy layering. | HUD | HUD may provide assistance under this program only in accordance with HUD subsidy layering requirements in section 102 of the Housing and Urban Development Reform Act of 1989 (42 U.S.C. 3545) and 24 CFR part 4, subpart A. An applicant must submit information in its application on other sources of governmental assistance that the applicant has received, or reasonably expects to receive, for a proposed project or activities. HUD's review of this information is intended to prevent excessive public assistance for proposed project or activities by combining (layering) assistance under this program with other governmental housing assistance from federal, State, or local agencies, including assistance such as tax concessions or tax credits. | ||||
| 24:24:3.1.1.3.7.3.1.9 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | C | Subpart C—Application and Grant Award Process | § 578.31 Environmental review. | HUD | (a) Activities under this part are subject to environmental review by HUD under 24 CFR part 50. The recipient or subrecipient shall supply all available, relevant information necessary for HUD to perform, for each property, any environmental review required by 24 CFR part 50. The recipient or subrecipient must carry out mitigating measures required by HUD or select an alternate eligible property. HUD may eliminate from consideration any application that would require an Environmental Impact Statement. (b) The recipient or subrecipient, its project partners, and their contractors may not acquire, rehabilitate, convert, lease, repair, dispose of, demolish, or construct property for a project under this part, or commit or expend HUD or local funds for such eligible activities under this part, until HUD has performed an environmental review under 24 CFR part 50 and the recipient or subrecipient has received HUD approval of the property. | ||||
| 24:24:3.1.1.3.7.4.1.1 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.37 Program components and uses of assistance. | HUD | (a) Continuum of Care funds may be used to pay for the eligible costs listed in § 578.39 through § 578.63 when used to establish and operate projects under five program components: permanent housing; transitional housing; supportive services only; HMIS; and, in some cases, homelessness prevention. Although grant funds may be used by recipients and subrecipients in all components for the eligible costs of contributing data to the HMIS designated by the Continuum of Care, only HMIS Leads may use grant funds for an HMIS component. Administrative costs are eligible for all components. All components are subject to the restrictions on combining funds for certain eligible activities in a single project found in § 578.87(c). The eligible program components are: (1) Permanent housing (PH). Permanent housing is community-based housing, the purpose of which is to provide housing without a designated length of stay. Grant funds may be used for acquisition, rehabilitation, new construction, leasing, rental assistance, operating costs, and supportive services. PH includes: (i) Permanent supportive housing for persons with disabilities (PSH). PSH can only provide assistance to individuals with disabilities and families in which one adult or child has a disability. Supportive services designed to meet the needs of the program participants must be made available to the program participants. (ii) Rapid rehousing. Continuum of Care funds may provide supportive services, as set forth in § 578.53, and/or short-term (up to 3 months) and/or medium-term (for 3 to 24 months) tenant-based rental assistance, as set forth in § 578.51(c), as necessary to help a homeless individual or family, with or without disabilities, move as quickly as possible into permanent housing and achieve stability in that housing. When providing short-term and/or medium-term rental assistance to program participants, the rental assistance is subject to § 578.51(a)(1), but not § 578.51(a)(1)(i) and (ii); (a)(2); (c) and (f) through (i); and (l)(1). These… | ||||
| 24:24:3.1.1.3.7.4.1.10 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.55 Operating costs. | HUD | (a) Use. Grant funds may be used to pay the costs of the day-to-day operation of transitional and permanent housing in a single structure or individual housing units. (b) Eligible costs. (1) The maintenance and repair of housing; (2) Property taxes and insurance; (3) Scheduled payments to a reserve for replacement of major systems of the housing (provided that the payments must be based on the useful life of the system and expected replacement cost); (4) Building security for a structure where more than 50 percent of the units or area is paid for with grant funds; (5) Electricity, gas, and water; (6) Furniture; and (7) Equipment. (c) Ineligible costs. Program funds may not be used for rental assistance and operating costs in the same project. Program funds may not be used for the operating costs of emergency shelter- and supportive service-only facilities. Program funds may not be used for the maintenance and repair of housing where the costs of maintaining and repairing the housing are included in the lease. | ||||
| 24:24:3.1.1.3.7.4.1.11 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.57 Homeless Management Information System. | HUD | (a) Eligible costs. (1) The recipient or subrecipient may use Continuum of Care program funds to pay the costs of contributing data to the HMIS designated by the Continuum of Care, including the costs of: (i) Purchasing or leasing computer hardware; (ii) Purchasing software or software licenses; (iii) Purchasing or leasing equipment, including telephones, fax machines, and furniture; (iv) Obtaining technical support; (v) Leasing office space; (vi) Paying charges for electricity, gas, water, phone service, and high-speed data transmission necessary to operate or contribute data to the HMIS; (vii) Paying salaries for operating HMIS, including: (A) Completing data entry; (B) Monitoring and reviewing data quality; (C) Completing data analysis; (D) Reporting to the HMIS Lead; (E) Training staff on using the HMIS; and (F) Implementing and complying with HMIS requirements; (viii) Paying costs of staff to travel to and attend HUD-sponsored and HUD-approved training on HMIS and programs authorized by Title IV of the McKinney-Vento Homeless Assistance Act; (ix) Paying staff travel costs to conduct intake; and (x) Paying participation fees charged by the HMIS Lead, as authorized by HUD, if the recipient or subrecipient is not the HMIS Lead. (2) If the recipient or subrecipient is the HMIS Lead, it may also use Continuum of Care funds to pay the costs of: (i) Hosting and maintaining HMIS software or data; (ii) Backing up, recovering, or repairing HMIS software or data; (iii) Upgrading, customizing, and enhancing the HMIS; (iv) Integrating and warehousing data, including development of a data warehouse for use in aggregating data from subrecipients using multiple software systems; (v) Administering the system; (vi) Reporting to providers, the Continuum of Care, and HUD; and (vii) Conducting training on using the system, including traveling to the training. (3) If the recipient or subrecipient is a victim services provider, or a legal services provider, it may use Continuum of Care funds to establish… | ||||
| 24:24:3.1.1.3.7.4.1.12 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.59 Project administrative costs. | HUD | (a) Eligible costs. The recipient or subrecipient may use up to 10 percent of any grant awarded under this part, excluding the amount for Continuum of Care Planning Activities and UFA costs, for the payment of project administrative costs related to the planning and execution of Continuum of Care activities. This does not include staff and overhead costs directly related to carrying out activities eligible under § 578.43 through § 578.57, because those costs are eligible as part of those activities. Eligible administrative costs include: (1) General management, oversight, and coordination. Costs of overall program management, coordination, monitoring, and evaluation. These costs include, but are not limited to, necessary expenditures for the following: (i) Salaries, wages, and related costs of the recipient's staff, the staff of subrecipients, or other staff engaged in program administration. In charging costs to this category, the recipient may include the entire salary, wages, and related costs allocable to the program of each person whose primary responsibilities with regard to the program involve program administration assignments, or the pro rata share of the salary, wages, and related costs of each person whose job includes any program administration assignments. The recipient may use only one of these methods for each fiscal year grant. Program administration assignments include the following: (A) Preparing program budgets and schedules, and amendments to those budgets and schedules; (B) Developing systems for assuring compliance with program requirements; (C) Developing agreements with subrecipients and contractors to carry out program activities; (D) Monitoring program activities for progress and compliance with program requirements; (E) Preparing reports and other documents directly related to the program for submission to HUD; (F) Coordinating the resolution of audit and monitoring findings; (G) Evaluating program results against stated objectives; and (H) Managing or supervising persons … | ||||
| 24:24:3.1.1.3.7.4.1.13 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.61 Relocation costs. | HUD | (a) In general. Relocation costs under the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 are eligible. (b) Eligible relocation costs. Eligible costs are costs to provide relocation payments and other assistance to persons displaced by a project assisted with grant funds in accordance with § 578.83. | ||||
| 24:24:3.1.1.3.7.4.1.14 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.63 Indirect costs. | HUD | [77 FR 45442, July 31, 2012, as amended at 80 FR 75939, Dec. 7, 2015] | (a) In general. Continuum of Care funds may be used to pay indirect costs in accordance with 2 CFR part 200, subpart E. (b) Allocation. Indirect costs may be allocated to each eligible activity as provided in this subpart, so long as that allocation is consistent with an indirect cost rate proposal developed in accordance with 2 CFR part 200, subpart E. (c) Expenditure limits. The indirect costs charged to an activity subject to an expenditure limit under §§ 578.39, 578.41, and 578.59 must be added to the direct costs charged for that activity when determining the total costs subject to the expenditure limits. | |||
| 24:24:3.1.1.3.7.4.1.2 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.39 Continuum of Care planning activities. | HUD | (a) In general. Collaborative applicants may use up to 3 percent of their FPRN, or a maximum amount to be established by the NOFA, for costs of: (1) Designing and carrying out a collaborative process for the development of an application to HUD; (2) Evaluating the outcomes of projects for which funds are awarded in the geographic area under the Continuum of Care and the Emergency Solutions Grants programs; and (3) Participating in the consolidated plan(s) for the geographic area(s). (b) Continuum of Care planning activities. Eligible planning costs include the costs of: (1) Developing a communitywide or regionwide process involving the coordination of nonprofit homeless providers, victim service providers, faith-based organizations, governments, businesses, advocates, public housing agencies, school districts, social service providers, mental health agencies, hospitals, universities, affordable housing developers, law enforcement, organizations that serve veterans, and homeless and formerly homeless individuals; (2) Determining the geographic area that the Continuum of Care will serve; (3) Developing a Continuum of Care system; (4) Evaluating the outcomes of projects for which funds are awarded in the geographic area, including the Emergency Solutions Grants program; (5) Participating in the consolidated plan(s) of the jurisdiction(s) in the geographic area; and (6) Preparing and submitting an application to HUD on behalf of the entire Continuum of Care membership, including conducting a sheltered and unsheltered point-in-time count and other data collection as required by HUD. (c) Monitoring costs. The costs of monitoring recipients and subrecipients and enforcing compliance with program requirements are eligible. | ||||
| 24:24:3.1.1.3.7.4.1.3 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.41 Unified Funding Agency costs. | HUD | (a) In general. UFAs may use up to 3 percent of their FPRN, or a maximum amount to be established by the NOFA, whichever is less, for fiscal control and accounting costs necessary to assure the proper disbursal of, and accounting for, federal funds awarded to subrecipients under the Continuum of Care program. (b) UFA costs. UFA costs include costs of ensuring that all financial transactions carried out under the Continuum of Care program are conducted and records are maintained in accordance with generally accepted accounting principles, including arranging for an annual survey, audit, or evaluation of the financial records of each project carried out by a subrecipient funded by a grant received through the Continuum of Care program. (c) Monitoring costs. The costs of monitoring subrecipients and enforcing compliance with program requirements are eligible for costs. | ||||
| 24:24:3.1.1.3.7.4.1.4 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.43 Acquisition. | HUD | Grant funds may be used to pay up to 100 percent of the cost of acquisition of real property selected by the recipient or subrecipient for use in the provision of housing or supportive services for homeless persons. | ||||
| 24:24:3.1.1.3.7.4.1.5 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.45 Rehabilitation. | HUD | [77 FR 45442, July 31, 2012, as amended at 81 FR 92637, Dec. 20, 2016] | (a) Use. Grant funds may be used to pay up to 100 percent of the cost of rehabilitation of structures to provide housing or supportive services to homeless persons. (b) Eligible costs. Eligible rehabilitation costs include installing cost-effective energy measures, and bringing an existing structure to State and local government health and safety standards. (c) Ineligible costs. Grant funds may not be used for rehabilitation of leased property. (d) Broadband infrastructure. Any substantial rehabilitation, as defined by 24 CFR 5.100, of a building with more than 4 rental units and funded by a grant awarded after January 19, 2017 must include installation of broadband infrastructure, as this term is also defined in 24 CFR 5.100, except where the grantee determines and, in accordance with § 578.103, documents the determination that: (1) The location of the substantial rehabilitation makes installation of broadband infrastructure infeasible; (2) The cost of installing broadband infrastructure would result in a fundamental alteration in the nature of its program or activity or in an undue financial burden; or (3) The structure of the housing to be substantially rehabilitated makes installation of broadband infrastructure infeasible. | |||
| 24:24:3.1.1.3.7.4.1.6 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.47 New construction. | HUD | [77 FR 45442, July 31, 2012, as amended at 81 FR 92637, Dec. 20, 2016] | (a) Use. Grant funds may be used to: (1) Pay up to 100 percent of the cost of new construction, including the building of a new structure or building an addition to an existing structure that increases the floor area by 100 percent or more, and the cost of land associated with that construction, for use as housing. (2) If grant funds are used for new construction, the applicant must demonstrate that the costs of new construction are substantially less than the costs of rehabilitation or that there is a lack of available appropriate units that could be rehabilitated at a cost less than new construction. For purposes of this cost comparison, costs of rehabilitation or new construction may include the cost of real property acquisition. (b) Ineligible costs. Grant funds may not be used for new construction on leased property. (c) Broadband infrastructure. Any new construction of a building with more than 4 rental units and funded by a grant awarded after January 19, 2017 must include installation of broadband infrastructure, as this term is defined in 24 CFR 5.100, except where the grantee determines and, in accordance with § 578.103, documents the determination that: (1) The location of the new construction makes installation of broadband infrastructure infeasible; or (2) The cost of installing broadband infrastructure would result in a fundamental alteration in the nature of its program or activity or in an undue financial burden. | |||
| 24:24:3.1.1.3.7.4.1.7 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.49 Leasing. | HUD | (a) Use. (1) Where the recipient or subrecipient is leasing the structure, or portions thereof, grant funds may be used to pay for 100 percent of the costs of leasing a structure or structures, or portions thereof, to provide housing or supportive services to homeless persons for up to 3 years. Leasing funds may not be used to lease units or structures owned by the recipient, subrecipient, their parent organization(s), any other related organization(s), or organizations that are members of a partnership, where the partnership owns the structure, unless HUD authorized an exception for good cause. (2) Any request for an exception must include the following: (i) A description of how leasing these structures is in the best interest of the program; (ii) Supporting documentation showing that the leasing charges paid with grant funds are reasonable for the market; and (iii) A copy of the written policy for resolving disputes between the landlord and tenant, including a recusal for officers, agents, and staff who work for both the landlord and tenant. (b) Requirements. (1) Leasing structures. When grants are used to pay rent for all or part of a structure or structures, the rent paid must be reasonable in relation to rents being charged in the area for comparable space. In addition, the rent paid may not exceed rents currently being charged by the same owner for comparable unassisted space. (2) Leasing individual units. When grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units, taking into account the location, size, type, quality, amenities, facilities, and management services. In addition, the rents may not exceed rents currently being charged for comparable units, and the rent paid may not exceed HUD-determined fair market rents. (3) Utilities. If electricity, gas, and water are included in the rent, these utilities may be paid from leasing funds. If utilities are not provided by the landlord, these utility c… | ||||
| 24:24:3.1.1.3.7.4.1.8 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.51 Rental assistance. | HUD | [77 FR 45442, July 31, 2012, as amended at 81 FR 38584, June 14, 2016; 81 FR 80810, Nov. 16, 2016] | (a) Use. (1) Grant funds may be used for rental assistance for homeless individuals and families. Rental assistance cannot be provided to a program participant who is already receiving rental assistance, or living in a housing unit receiving rental assistance or operating assistance through other federal, State, or local sources. (i) The rental assistance may be short-term, up to 3 months of rent; medium-term, for 3 to 24 months of rent; or long-term, for longer than 24 months of rent and must be administered in accordance with the policies and procedures established by the Continuum as set forth in § 578.7(a)(9) and this section. (ii) The rental assistance may be tenant-based, project-based, or sponsor-based, and may be for transitional or permanent housing. (2) Grant funds may be used for security deposits in an amount not to exceed 2 months of rent. An advance payment of the last month's rent may be provided to the landlord, in addition to the security deposit and payment of first month's rent. (b) Rental assistance administrator. Rental assistance must be administered by a State, unit of general local government, or a public housing agency. (c) Tenant-based rental assistance. Tenant-based rental assistance is rental assistance in which program participants choose housing of an appropriate size in which to reside. Up to 5 years' worth of rental assistance may be awarded to a project in one competition. (1) When necessary to facilitate the coordination of supportive services, recipients and subrecipients may require program participants to live in a specific area for their entire period of participation, or in a specific structure for the first year and in a specific area for the remainder of their period of participation. Program participants who are receiving rental assistance in transitional housing may be required to live in a specific structure for their entire period of participation in transitional housing. (2) Program participants who have complied with all program requirements during their… | |||
| 24:24:3.1.1.3.7.4.1.9 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | D | Subpart D—Program Components and Eligible Costs | § 578.53 Supportive services. | HUD | [77 FR 45442, July 31, 2012, as amended at 81 FR 90660, Dec. 14, 2016] | (a) In general. Grant funds may be used to pay the eligible costs of supportive services that address the special needs of the program participants. If the supportive services are provided in a supportive service facility not contained in a housing structure, the costs of day-to-day operation of the supportive service facility, including maintenance, repair, building security, furniture, utilities, and equipment are eligible as a supportive service. (1) Supportive services must be necessary to assist program participants obtain and maintain housing. (2) Recipients and subrecipients shall conduct an annual assessment of the service needs of the program participants and should adjust services accordingly. (b) Duration. (1) For a transitional housing project, supportive services must be made available to residents throughout the duration of their residence in the project. (2) Permanent supportive housing projects must provide supportive services for the residents to enable them to live as independently as is practicable throughout the duration of their residence in the project. (3) Services may also be provided to former residents of transitional housing and current residents of permanent housing who were homeless in the prior 6 months, for no more than 6 months after leaving transitional housing or homelessness, respectively, to assist their adjustment to independent living. (4) Rapid rehousing projects must require the program participant to meet with a case manager not less than once per month as set forth in § 578.37(a)(1)(ii)(F), to assist the program participant in maintaining long-term housing stability. (c) Special populations. All eligible costs are eligible to the same extent for program participants who are unaccompanied homeless youth; persons living with HIV/AIDS; and victims of domestic violence, dating violence, sexual assault, or stalking. (d) Ineligible costs. Any cost that is not described as an eligible cost under this section is not an eligible cost of providing supportive service… | |||
| 24:24:3.1.1.3.7.5.1.1 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | E | Subpart E—High-Performing Communities | § 578.65 Standards. | HUD | (a) In general. The collaborative applicant for a Continuum may apply to HUD to have the Continuum be designated a high-performing community (HPC). The designation shall be for grants awarded in the same competition in which the designation is applied for and made. (b) Applying for HPC designation. The application must be submitted at such time and in such manner as HUD may require, must use HMIS data where required to show the standards for qualifying are met, and must contain such information as HUD requires, including at a minimum: (1) A report showing how the Continuum of Care program funds received in the preceding year were expended; (2) A specific plan for how grant funds will be expended; and (3) Information establishing that the Continuum of Care meets the standards for HPCs. (c) Standards for qualifying as an HPC. To qualify as an HPC, a Continuum must demonstrate through: (1) Reliable data generated by the Continuum of Care's HMIS that it meets all of the following standards: (i) Mean length of homelessness. Either the mean length of episode of homelessness within the Continuum's geographic area is fewer than 20 days, or the mean length of episodes of homelessness for individuals or families in similar circumstances was reduced by at least 10 percent from the preceding federal fiscal year. (ii) Reduced recidivism. Of individuals and families who leave homelessness, less than 5 percent become homeless again at any time within the next 2 years; or the percentage of individuals and families in similar circumstances who become homeless again within 2 years after leaving homelessness was decreased by at least 20 percent from the preceding federal fiscal year. (iii) HMIS coverage. The Continuum's HMIS must have a bed coverage rate of 80 percent and a service volume coverage rate of 80 percent as calculated in accordance with HUD's HMIS requirements. (iv) Serving families and youth. With respect to Continuums that served homeless families and youth defined as homeless under other feder… | ||||
| 24:24:3.1.1.3.7.5.1.2 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | E | Subpart E—High-Performing Communities | § 578.67 Publication of application. | HUD | HUD will publish the application to be designated an HPC through the HUD Web site, for public comment as to whether the Continuum seeking designation as an HPC meets the standards for being one. | ||||
| 24:24:3.1.1.3.7.5.1.3 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | E | Subpart E—High-Performing Communities | § 578.69 Cooperation among entities. | HUD | An HPC must cooperate with HUD in distributing information about its successful efforts to reduce homelessness. | ||||
| 24:24:3.1.1.3.7.5.1.4 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | E | Subpart E—High-Performing Communities | § 578.71 HPC-eligible activities. | HUD | In addition to using grant funds for the eligible costs described in subpart D of this part, recipients and subrecipients in Continuums of Care designated as HPCs may also use grant funds to provide housing relocation and stabilization services and short- and/or medium-term rental assistance to individuals and families at risk of homelessness as set forth in 24 CFR 576.103 and 24 CFR 576.104, if necessary to prevent the individual or family from becoming homeless. Activities must be carried out in accordance with the plan submitted in the application. When carrying out housing relocation and stabilization services and short- and/or medium-term rental assistance, the written standards set forth in § 578.7(a)(9)(v) and recordkeeping requirements of 24 CFR 576.500 apply. | ||||
| 24:24:3.1.1.3.7.6.1.1 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.73 Matching requirements. | HUD | [77 FR 45442, July 31, 2012, as amended at 80 FR 75940, Dec. 7, 2015] | (a) In general. The recipient or subrecipient must match all grant funds, except for leasing funds, with no less than 25 percent of funds or in-kind contributions from other sources. For Continuum of Care geographic areas in which there is more than one grant agreement, the 25 percent match must be provided on a grant-by-grant basis. Recipients that are UFAs or are the sole recipient for their Continuum, may provide match on a Continuum-wide basis. Cash match must be used for the costs of activities that are eligible under subpart D of this part, except that HPCs may use such match for the costs of activities that are eligible under § 578.71. (b) Cash sources. Notwithstanding 2 CFR 200.306(b)(5), a recipient or subrecipient may use funds from any source, including any other federal sources (excluding Continuum of Care program funds), as well as State, local, and private sources, provided that funds from the source are not statutorily prohibited to be used as a match. The recipient must ensure that any funds used to satisfy the matching requirements of this section are eligible under the laws governing the funds in order to be used as matching funds for a grant awarded under this program. (c) In-kind contributions. (1) The recipient or subrecipient may use the value of any real property, equipment, goods, or services contributed to the project as match, provided that if the recipient or subrecipient had to pay for them with grant funds, the costs would have been eligible under Subpart D, or, in the case of HPCs, eligible under § 578.71. (2) The requirements of 2 CFR 200.306, with the exception of § 200.306(b)(5) apply. (3) Before grant execution, services to be provided by a third party must be documented by a memorandum of understanding (MOU) between the recipient or subrecipient and the third party that will provide the services. Services provided by individuals must be valued at rates consistent with those ordinarily paid for similar work in the recipient's or subrecipient's organization. If the recip… | |||
| 24:24:3.1.1.3.7.6.1.10 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.91 Termination of assistance to program participants. | HUD | (a) Termination of assistance. The recipient or subrecipient may terminate assistance to a program participant who violates program requirements or conditions of occupancy. Termination under this section does not bar the recipient or subrecipient from providing further assistance at a later date to the same individual or family. (b) Due process. In terminating assistance to a program participant, the recipient or subrecipient must provide a formal process that recognizes the rights of individuals receiving assistance under the due process of law. This process, at a minimum, must consist of: (1) Providing the program participant with a written copy of the program rules and the termination process before the participant begins to receive assistance; (2) Written notice to the program participant containing a clear statement of the reasons for termination; (3) A review of the decision, in which the program participant is given the opportunity to present written or oral objections before a person other than the person (or a subordinate of that person) who made or approved the termination decision; and (4) Prompt written notice of the final decision to the program participant. (c) Hard-to-house populations. Recipients and subrecipients that are providing permanent supportive housing for hard-to-house populations of homeless persons must exercise judgment and examine all extenuating circumstances in determining when violations are serious enough to warrant termination so that a program participant's assistance is terminated only in the most severe cases. | ||||
| 24:24:3.1.1.3.7.6.1.11 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.93 Fair Housing and Equal Opportunity. | HUD | (a) Nondiscrimination and equal opportunity requirements. The nondiscrimination and equal opportunity requirements set forth in 24 CFR 5.105(a) are applicable. (b) Housing for specific subpopulations. Recipients and subrecipients may exclusively serve a particular homeless subpopulation in transitional or permanent housing if the housing addresses a need identified by the Continuum of Care for the geographic area and meets one of the following: (1) The housing may be limited to one sex where such housing consists of a single structure with shared bedrooms or bathing facilities such that the considerations of personal privacy and the physical limitations of the configuration of the housing make it appropriate for the housing to be limited to one sex; (2) The housing may be limited to a specific subpopulation, so long as admission does not discriminate against any protected class under federal nondiscrimination laws in 24 CFR 5.105 ( e.g., the housing may be limited to homeless veterans, victims of domestic violence and their children, or chronically homeless persons and families). (3) The housing may be limited to families with children. (4) If the housing has in residence at least one family with a child under the age of 18, the housing may exclude registered sex offenders and persons with a criminal record that includes a violent crime from the project so long as the child resides in the housing. (5) Sober housing may exclude persons who refuse to sign an occupancy agreement or lease that prohibits program participants from possessing, using, or being under the influence of illegal substances and/or alcohol on the premises. (6) If the housing is assisted with funds under a federal program that is limited by federal statute or Executive Order to a specific subpopulation, the housing may be limited to that subpopulation ( e.g., housing also assisted with funding from the Housing Opportunities for Persons with AIDS program under 24 CFR part 574 may be limited to persons with acquired immunodeficiency s… | ||||
| 24:24:3.1.1.3.7.6.1.12 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.95 Conflicts of interest. | HUD | [77 FR 45442, July 31, 2012, as amended at 80 FR 75940, Dec. 7, 2015] | (a) Procurement. For the procurement of property (goods, supplies, or equipment) and services, the recipient and its subrecipients must comply with the standards of conduct and conflict-of-interest requirements under 2 CFR 200.317 and 200.318. (b) Continuum of Care board members. No Continuum of Care board member may participate in or influence discussions or resulting decisions concerning the award of a grant or other financial benefits to the organization that the member represents. (c) Organizational conflict. An organizational conflict of interest arises when, because of activities or relationships with other persons or organizations, the recipient or subrecipient is unable or potentially unable to render impartial assistance in the provision of any type or amount of assistance under this part, or when a covered person's, as in paragraph (d)(1) of this section, objectivity in performing work with respect to any activity assisted under this part is or might be otherwise impaired. Such an organizational conflict would arise when a board member of an applicant participates in decision of the applicant concerning the award of a grant, or provision of other financial benefits, to the organization that such member represents. It would also arise when an employee of a recipient or subrecipient participates in making rent reasonableness determinations under § 578.49(b)(2) and § 578.51(g) and housing quality inspections of property under § 578.75(b) that the recipient, subrecipient, or related entity owns. (d) Other conflicts. For all other transactions and activities, the following restrictions apply: (1) No covered person, meaning a person who is an employee, agent, consultant, officer, or elected or appointed official of the recipient or its subrecipients and who exercises or has exercised any functions or responsibilities with respect to activities assisted under this part, or who is in a position to participate in a decision-making process or gain inside information with regard to activities assisted … | |||
| 24:24:3.1.1.3.7.6.1.13 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.97 Program income. | HUD | (a) Defined. Program income is the income received by the recipient or subrecipient directly generated by a grant-supported activity. (b) Use. Program income earned during the grant term shall be retained by the recipient, and added to funds committed to the project by HUD and the recipient, used for eligible activities in accordance with the requirements of this part. Costs incident to the generation of program income may be deducted from gross income to calculate program income, provided that the costs have not been charged to grant funds. (c) Rent and occupancy charges. Rents and occupancy charges collected from program participants are program income. In addition, rents and occupancy charges collected from residents of transitional housing may be reserved, in whole or in part, to assist the residents from whom they are collected to move to permanent housing. | ||||
| 24:24:3.1.1.3.7.6.1.14 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.99 Applicability of other Federal requirements. | HUD | [77 FR 45442, July 31, 2012, as amended at 80 FR 75940, Dec. 7, 2015; 81 FR 80810, Nov. 16, 2016; 81 FR 87812, Dec. 6, 2016; 85 FR 61568, Sept. 29, 2020] | In addition to the requirements set forth in 24 CFR part 5, use of assistance provided under this part must comply with the following federal requirements: (a) Environmental review. Activities under this part are subject to environmental review by HUD under 24 CFR part 50 as noted in § 578.31. (b) Section 6002 of the Solid Waste Disposal Act. State agencies and agencies of a political subdivision of a state that are using assistance under this part for procurement, and any person contracting with such an agency with respect to work performed under an assisted contract, must comply with the requirements of Section 6003 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act. In accordance with Section 6002, these agencies and persons must: (1) Procure items designated in guidelines of the Environmental Protection Agency (EPA) at 40 CFR part 247 that contain the highest percentage of recovered materials practicable, consistent with maintaining a satisfactory level of competition, where the purchase price of the item exceeds $10,000 or the value of the quantity acquired in the preceding fiscal year exceeded $10,000; (2) Procure solid waste management services in a manner that maximizes energy and resource recovery; and (3) Must have established an affirmative procurement program for the procurement of recovered materials identified in the EPA guidelines. (c) Transparency Act Reporting. Section 872 of the Duncan Hunter Defense Appropriations Act of 2009, and additional requirements published by the Office of Management and Budget (OMB), requires recipients to report subawards made either as pass-through awards, subrecipient awards, or vendor awards in the Federal Government Web site www.fsrs.gov or its successor system. The reporting of award and subaward information is in accordance with the requirements of the Federal Financial Assistance Accountability and Transparency Act of 2006, as amended by section 6202 of Public Law 110-252 and in OMB Policy Guidance issued to … | |||
| 24:24:3.1.1.3.7.6.1.2 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.75 General operations. | HUD | [77 FR 45442, July 31, 2012, as amended at 81 FR 80810, Nov. 16, 2016; 88 FR 30499, May 11, 2023] | (a) State and local requirements. (1) Housing and facilities constructed or rehabilitated with assistance under this part must meet State or local building codes, and in the absence of State or local building codes, the International Residential Code or International Building Code (as applicable to the type of structure) of the International Code Council. (2) Services provided with assistance under this part must be provided in compliance with all applicable State and local requirements, including licensing requirements. (b) Housing standards. Housing leased with Continuum of Care program funds, or for which rental assistance payments are made with Continuum of Care program funds, must meet the applicable standards under 24 CFR 5.703, except that the carbon monoxide detection requirement at 24 CFR 5.703(b)(2) and (d)(6) shall not apply. For housing that is occupied by program participants receiving tenant-based rental assistance, 24 CFR part 35, subparts A, B, M, and R apply. For housing rehabilitated with funds under this part, the lead-based paint requirements in 24 CFR part 35, subparts A, B, J, and R apply. For housing that receives project-based or sponsor-based rental assistance, 24 CFR part 35, subparts A, B, H, and R apply. For residential property for which funds under this part are used for acquisition, leasing, services, or operating costs, 24 CFR part 35, subparts A, B, K, and R apply. Additionally, for tenant-based rental assistance, for leasing of individual units, and for sponsor based rental assistance where not all units in a structure are or will be assisted, the standards apply only to the unit itself, and to the means of ingress and egress from the unit to the public way and to the building's common areas. (1) Before any assistance will be provided on behalf of a program participant, the recipient, or subrecipient, must physically inspect each unit to assure that the unit meets 24 CFR 5.703. Assistance will not be provided for units that fail to meet 24 CFR 5.703, unless the owner corre… | |||
| 24:24:3.1.1.3.7.6.1.3 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.77 Calculating occupancy charges and rent. | HUD | (a) Occupancy agreements and leases. Recipients and subrecipients must have signed occupancy agreements or leases (or subleases) with program participants residing in housing. (b) Calculation of occupancy charges. Recipients and subrecipients are not required to impose occupancy charges on program participants as a condition of residing in the housing. However, if occupancy charges are imposed, they may not exceed the highest of: (1) 30 percent of the family's monthly adjusted income (adjustment factors include the number of people in the family, age of family members, medical expenses, and child-care expenses); (2) 10 percent of the family's monthly income; or (3) If the family is receiving payments for welfare assistance from a public agency and a part of the payments (adjusted in accordance with the family's actual housing costs) is specifically designated by the agency to meet the family's housing costs, the portion of the payments that is designated for housing costs. (4) Income. Income must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). Recipients and subrecipients must examine a program participant's income initially, and if there is a change in family composition ( e.g., birth of a child) or a decrease in the resident's income during the year, the resident may request an interim reexamination, and the occupancy charge will be adjusted accordingly. (c) Resident rent. (1) Amount of rent. (i) Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). (ii) Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). (2) Review. Recipients or subrecipients must examine a program participant's income initially, and at least annually thereafter, to determine the amount of the contribution toward rent payable by the program participant. Adjustments to a program participant's contribution … | ||||
| 24:24:3.1.1.3.7.6.1.4 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.79 Limitation on transitional housing. | HUD | A homeless individual or family may remain in transitional housing for a period longer than 24 months, if permanent housing for the individual or family has not been located or if the individual or family requires additional time to prepare for independent living. However, HUD may discontinue assistance for a transitional housing project if more than half of the homeless individuals or families remain in that project longer than 24 months. | ||||
| 24:24:3.1.1.3.7.6.1.5 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.81 Term of commitment, repayment of grants, and prevention of undue benefits. | HUD | (a) In general. All recipients and subrecipients receiving grant funds for acquisition, rehabilitation, or new construction must operate the housing or provide supportive services in accordance with this part, for at least 15 years from the date of initial occupancy or date of initial service provision. Recipient and subrecipients must execute and record a HUD-approved Declaration of Restrictive Covenants before receiving payment of grant funds. (b) Conversion. Recipients and subrecipients carrying out a project that provides transitional or permanent housing or supportive services in a structure may submit a request to HUD to convert a project for the direct benefit of very low-income persons. The request must be made while the project is operating as homeless housing or supportive services for homeless individuals and families, must be in writing, and must include an explanation of why the project is no longer needed to provide transitional or permanent housing or supportive services. The primary factor in HUD's decision on the proposed conversion is the unmet need for transitional or permanent housing or supportive services in the Continuum of Care's geographic area. (c) Repayment of grant funds. If a project is not operated as transitional or permanent housing for 10 years following the date of initial occupancy, HUD will require repayment of the entire amount of the grant used for acquisition, rehabilitation, or new construction, unless conversion of the project has been authorized under paragraph (b) of this section. If the housing is used for such purposes for more than 10 years, the payment amount will be reduced by 20 percentage points for each year, beyond the 10-year period in which the project is used for transitional or permanent housing. (d) Prevention of undue benefits. Except as provided under paragraph (e) of this section, upon any sale or other disposition of a project site that received grant funds for acquisition, rehabilitation, or new construction, occurring before the 15-year per… | ||||
| 24:24:3.1.1.3.7.6.1.6 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.83 Displacement, relocation, and acquisition. | HUD | (a) Minimizing displacement. Consistent with the other goals and objectives of this part, recipients and subrecipients must ensure that they have taken all reasonable steps to minimize the displacement of persons (families, individuals, businesses, nonprofit organizations, and farms) as a result of projects assisted under this part. “Project,” as used in this section, means any activity or series of activities assisted with Continuum of Care funds received or anticipated in any phase of an undertaking. (b) Temporary relocation. (1) Existing Building Not Assisted under Title IV of the McKinney-Vento Act. No tenant may be required to relocate temporarily for a project if the building in which the project is being undertaken or will be undertaken is not currently assisted under Title IV of the McKinney-Vento Act. The absence of such assistance to the building means the tenants are not homeless and the tenants are therefore not eligible to receive assistance under the Continuum of Care program. When a tenant moves for such a project under conditions that cause the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (URA), 42 U.S.C. 4601-4655, to apply, the tenant must be treated as permanently displaced and offered relocation assistance and payments consistent with paragraph (c) of this section. (2) Existing Transitional Housing or Permanent Housing Projects Assisted Under Title IV of the McKinney-Vento Act. Consistent with paragraph (c)(2)(ii) of this section, no program participant may be required to relocate temporarily for a project if the person cannot be offered a decent, safe, and sanitary unit in the same building or complex upon project completion under reasonable terms and conditions. The length of occupancy requirements in § 578.79 may prevent a program participant from returning to the property upon completion (See paragraph (c)(2)(iii)(D) of this section). Any program participant who has been temporarily relocated for a period beyond one year must be treated as perm… | ||||
| 24:24:3.1.1.3.7.6.1.7 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.85 Timeliness standards. | HUD | (a) In general. Recipients must initiate approved activities and projects promptly. (b) Construction activities. Recipients of funds for rehabilitation or new construction must meet the following standards: (1) Construction activities must begin within 9 months of the later of signing of the grant agreement or of signing an addendum to the grant agreement authorizing use of grant funds for the project. (2) Construction activities must be completed within 24 months of signing the grant agreement. (3) Activities that cannot begin until after construction activities are completed must begin within 3 months of the date that construction activities are completed. (c) Distribution. A recipient that receives funds through this part must: (1) Distribute the funds to subrecipients (in advance of expenditures by the subrecipients); (2) Distribute the appropriate portion of the funds to a subrecipient no later than 45 days after receiving an approvable request for such distribution from the subrecipient; and (3) Draw down funds at least once per quarter of the program year, after eligible activities commence. | ||||
| 24:24:3.1.1.3.7.6.1.8 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.87 Limitation on use of funds. | HUD | [77 FR 45442, July 31, 2012, as amended at 80 FR 75804, Dec. 4, 2015;80 FR 75940, Dec. 7, 2015; 81 FR 19418, Apr. 4, 2016] | (a) Maintenance of effort. No assistance provided under this part (or any State or local government funds used to supplement this assistance) may be used to replace State or local funds previously used, or designated for use, to assist homeless persons. (b) Equal participation of faith-based organizations. The HUD program requirements in § 5.109 apply to the Continuum of Care program, including the requirements regarding disposition and change in use of real property by a faith-based organization. (c) Restriction on combining funds. In a single structure or housing unit, the following types of assistance may not be combined: (1) Leasing and acquisition, rehabilitation, or new construction; (2) Tenant-based rental assistance and acquisition, rehabilitation, or new construction; (3) Short- or medium-term rental assistance and acquisition, rehabilitation, or new construction; (4) Rental assistance and leasing; or (5) Rental assistance and operating. (d) Program fees. Recipients and subrecipients may not charge program participants program fees. | |||
| 24:24:3.1.1.3.7.6.1.9 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | F | Subpart F—Program Requirements | § 578.89 Limitation on use of grant funds to serve persons defined as homeless under other federal laws. | HUD | (a) Application requirement. Applicants that intend to serve unaccompanied youth and families with children and youth defined as homeless under other federal laws in paragraph (3) of the homeless definition in § 576.2 must demonstrate in their application, to HUD's satisfaction, that the use of grant funds to serve such persons is an equal or greater priority than serving persons defined as homeless under paragraphs (1), (2), and (4) of the definition of homeless in § 576.2. To demonstrate that it is of equal or greater priority, applicants must show that it is equally or more cost effective in meeting the overall goals and objectives of the plan submitted under section 427(b)(1)(B) of the Act, especially with respect to children and unaccompanied youth. (b) Limit. No more than 10 percent of the funds awarded to recipients within a single Continuum of Care's geographic area may be used to serve such persons. (c) Exception. The 10 percent limitation does not apply to Continuums in which the rate of homelessness, as calculated in the most recent point-in-time count, is less than one-tenth of one percent of the total population. | ||||
| 24:24:3.1.1.3.7.7.1.1 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | G | Subpart G—Grant Administration | § 578.101 Technical assistance. | HUD | (a) Purpose. The purpose of Continuum of Care technical assistance is to increase the effectiveness with which Continuums of Care, eligible applicants, recipients, subrecipients, and UFAs implement and administer their Continuum of Care planning process; improve their capacity to prepare applications; prevent the separation of families in projects funded under the Emergency Solutions Grants, Continuum of Care, and Rural Housing Stability Assistance programs; and adopt and provide best practices in housing and services for persons experiencing homelessness. (b) Defined. Technical assistance means the transfer of skills and knowledge to entities that may need, but do not possess, such skills and knowledge. The assistance may include, but is not limited to, written information such as papers, manuals, guides, and brochures; person-to-person exchanges; web-based curriculums, training and Webinars, and their costs. (c) Set-aside. HUD may set aside funds annually to provide technical assistance, either directly by HUD staff or indirectly through third-party providers. (d) Awards. From time to time, as HUD determines the need, HUD may advertise and competitively select providers to deliver technical assistance. HUD may enter into contracts, grants, or cooperative agreements, when necessary, to implement the technical assistance. HUD may also enter into agreements with other federal agencies for awarding the technical assistance funds. | ||||
| 24:24:3.1.1.3.7.7.1.2 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | G | Subpart G—Grant Administration | § 578.103 Recordkeeping requirements. | HUD | [77 FR 45442, July 31, 2012, as amended at 80 FR 75804, Dec. 4, 2015; 80 FR 75940, Dec. 7, 2015; 80 FR 80258, Dec. 24, 2015; 81 FR 80811, Nov. 16, 2016] | (a) In general. The recipient and its subrecipients must establish and maintain standard operating procedures for ensuring that Continuum of Care program funds are used in accordance with the requirements of this part and must establish and maintain sufficient records to enable HUD to determine whether the recipient and its subrecipients are meeting the requirements of this part, including: (1) Continuum of Care records. Each collaborative applicant must keep the following documentation related to establishing and operating a Continuum of Care: (i) Evidence that the Board selected by the Continuum of Care meets the requirements of § 578.5(b); (ii) Evidence that the Continuum has been established and operated as set forth in subpart B of this part, including published agendas and meeting minutes, an approved Governance Charter that is reviewed and updated annually, a written process for selecting a board that is reviewed and updated at least once every 5 years, evidence required for designating a single HMIS for the Continuum, and monitoring reports of recipients and subrecipients; (iii) Evidence that the Continuum has prepared the application for funds as set forth in § 578.9, including the designation of the eligible applicant to be the collaborative applicant. (2) Unified funding agency records. UFAs that requested grant amendments from HUD, as set forth in § 578.105, must keep evidence that the grant amendment was approved by the Continuum. This evidence may include minutes of meetings at which the grant amendment was discussed and approved. (3) Homeless status. Acceptable evidence of the homeless as status is set forth in 24 CFR 576.500(b). (4) Chronically homeless status. The recipient must maintain and follow written intake procedures to ensure compliance with the chronically homeless definition in § 578.3. The procedures must require documentation at intake of the evidence relied upon to establish and verify chronically homeless status. The procedures must establish the order of priority f… | |||
| 24:24:3.1.1.3.7.7.1.3 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | G | Subpart G—Grant Administration | § 578.105 Grant and project changes. | HUD | (a) For Unified Funding Agencies and Continuums having only one recipient. (1) The recipient may not make any significant changes without prior HUD approval, evidenced by a grant amendment signed by HUD and the recipient. Significant grant changes include a change of recipient, a shift in a single year of more than 10 percent of the total amount awarded under the grant for one approved eligible activity category to another activity and a permanent change in the subpopulation served by any one project funded under the grant, as well as a permanent proposed reduction in the total number of units funded under the grant. (2) Approval of substitution of the recipient is contingent on the new recipient meeting the capacity criteria in the NOFA under which the grant was awarded, or the most recent NOFA. Approval of shifting funds between activities and changing subpopulations is contingent on the change being necessary to better serve eligible persons within the geographic area and ensuring that the priorities established under the NOFA in which the grant was originally awarded, or the most recent NOFA, are met. (b) For Continuums having more than one recipient. (1) The recipients or subrecipients may not make any significant changes to a project without prior HUD approval, evidenced by a grant amendment signed by HUD and the recipient. Significant changes include a change of recipient, a change of project site, additions or deletions in the types of eligible activities approved for a project, a shift of more than 10 percent from one approved eligible activity to another, a reduction in the number of units, and a change in the subpopulation served. (2) Approval of substitution of the recipient is contingent on the new recipient meeting the capacity criteria in the NOFA under which the grant was awarded, or the most recent NOFA. Approval of shifting funds between activities and changing subpopulations is contingent on the change being necessary to better serve eligible persons within the geographic area and ensuri… | ||||
| 24:24:3.1.1.3.7.7.1.4 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | G | Subpart G—Grant Administration | § 578.107 Sanctions. | HUD | (a) Performance reviews. (1) HUD will review the performance of each recipient in carrying out its responsibilities under this part, with or without prior notice to the recipient. In conducting performance reviews, HUD will rely primarily on information obtained from the records and reports from the recipient and subrecipients, as well as information from on-site monitoring, audit reports, and information generated from HUD's financial and reporting systems ( e.g., LOCCS and e-snaps) and HMIS. Where applicable, HUD may also consider relevant information pertaining to the recipient's performance gained from other sources, including citizen comments, complaint determinations, and litigation. (2) If HUD determines preliminarily that the recipient or one of its subrecipients has not complied with a program requirement, HUD will give the recipient notice of this determination and an opportunity to demonstrate, within the time prescribed by HUD and on the basis of substantial facts and data that the recipient has complied with the requirements. HUD may change the method of payment to require the recipient to submit documentation before payment and obtain HUD's prior approval each time the recipient draws down funds. To obtain prior approval, the recipient may be required to manually submit its payment requests and supporting documentation to HUD in order to show that the funds to be drawn down will be expended on eligible activities in accordance with all program requirements. (3) If the recipient fails to demonstrate to HUD's satisfaction that the activities were carried out in compliance with program requirements, HUD may take one or more of the remedial actions or sanctions specified in paragraph (b) of this section. (b) Remedial actions and sanctions. Remedial actions and sanctions for a failure to meet a program requirement will be designed to prevent a continuation of the deficiency; to mitigate, to the extent possible, its adverse effects or consequences; and to prevent its recurrence. (1) HUD may instr… | ||||
| 24:24:3.1.1.3.7.7.1.5 | 24 | Housing and Urban Development | V | C | 578 | PART 578—CONTINUUM OF CARE PROGRAM | G | Subpart G—Grant Administration | § 578.109 Closeout. | HUD | [77 FR 45442, July 31, 2012, as amended at 80 FR 75940, Dec. 7, 2015] | (a) In general. Grants will be closed out in accordance with the requirements of 2 CFR part 200, subpart D, and closeout procedures established by HUD. (b) Reports. Applicants must submit all reports required by HUD no later than 90 days from the date of the end of the project's grant term. (c) Closeout agreement. Any obligations remaining as of the date of the closeout must be covered by the terms of a closeout agreement. The agreement will be prepared by HUD in consultation with the recipient. The agreement must identify the grant being closed out, and include provisions with respect to the following: (1) Identification of any closeout costs or contingent liabilities subject to payment with Continuum of Care program funds after the closeout agreement is signed; (2) Identification of any unused grant funds to be deobligated by HUD; (3) Identification of any program income on deposit in financial institutions at the time the closeout agreement is signed; (4) Description of the recipient's responsibility after closeout for: (i) Compliance with all program requirements in using program income on deposit at the time the closeout agreement is signed and in using any other remaining Continuum of Care program funds available for closeout costs and contingent liabilities; (ii) Use of real property assisted with Continuum of Care program funds in accordance with the terms of commitment and principles; (iii) Use of personal property purchased with Continuum of Care program funds; and (iv) Compliance with requirements governing program income received subsequent to grant closeout. (5) Other provisions appropriate to any special circumstances of the grant closeout, in modification of or in addition to the obligations in paragraphs (c)(1) through (4) of this section. |
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