Today, HUD issued an interim final rule for the HOME Investment Partnerships (HOME) Program that makes changes to how the Department will determine participating jurisdictions’ (PJs) compliance with the statutory 24-month commitment requirement.
Starting with Fiscal Year (FY) 2015 HOME grants, HUD will begin determining compliance using a grant-specific accounting method. In order to prevent PJs from losing appropriated funds when they expend program income, this rule also establishes a new method of administering program income.
Beginning in 2013, HUD has provided frequent discussions and training on the transition from the cumulative method to grant-specific method of accounting for its formula grant programs. With the exception of the new requirements related to program income, this rule does not establish new and unfamiliar requirements for PJs. Thus, HUD has elected to omit the advanced public notice and comment process. This interim final rule becomes effective on January 3, 2017
HUD is still accepting public comments on the rule however, and requests comments on the best way to treat program income to avoid loss of appropriated HOME funds. Public comments are due by January 31, 2017.
NAHRO staff will provide with a section-by-section analysis of this rule in the forthcoming edition of the NAHRO Monitor (members only).
[Note: This article previously reported erroneous effective and comment due dates that were included in HUD’s final rule. HUD has since issued a technical correction and this article has been updated to reflect the correct dates.]