80 FR 75931 - Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards: Conforming Amendments
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Federal Register Volume 80, Issue 234 (December 7, 2015)
Federal Register Volume 80, Issue 234 (December 7, 2015)
| Page Range | 75931-75945 | |
| FR Document | 2015-29692 |
[Federal Register Volume 80, Number 234 (Monday, December 7, 2015)] [Rules and Regulations] [Pages 75931-75945] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-29692] [[Page 75931]] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 24 CFR Parts 4, 5, 92, 115, 125, 135, 200, 202, 214, 236, 242, 248, 266, 401, 570, 573, 574, 576, 578, 582, 583, 700, 761, 880, 881, 882, 883, 884, 886, 891, 902, 905, 943, 963, 964, 965, 970, 982, 990, 1000, 1003, and 1006 [Docket No. FR-5783-F-02] RIN 2501-AD66 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards: Conforming Amendments AGENCY: Office of the Secretary, HUD. ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: On December 19, 2014, the Office of Management and Budget (OMB) published a joint, Governmentwide interim rule with all Federal award-making agencies, entitled ``Federal Awarding Agency Regulatory Implementation of Office of Management and Budget's Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.'' In that rule, all Federal award-making agencies, including HUD, implemented the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. HUD also amended its administrative requirements for grants and cooperative agreements. This final rule conforms HUD's regulations to OMB's rule, revises cross references within affected HUD regulations, and makes other conforming changes and corrections. DATES: Effective Date: January 6, 2016. FOR FURTHER INFORMATION CONTACT: Scott Moore, Financial Operations Analyst, Office of the Chief Financial Officer, Financial Policy & Procedures Division, 451 7th Street SW., Room 3210, Washington, DC 20410, telephone number 202-402-2277, or Loyd LaMois, Supervisory Program Analyst, Office of Strategic Planning and Management, 451 7th Street SW., Room 3156, Washington, DC 20410, telephone number 202-402- 3964. These are not a toll-free numbers. Persons with hearing or speech impairments may access these numbers through TTY by calling the Federal Relay Service, toll-free, at 800-877-8339. SUPPLEMENTARY INFORMATION: I. Background On December 19, 2014 (79 FR 75867), OMB published a joint, Governmentwide interim rule of all Federal award-making agencies entitled, ``Federal Awarding Agency Regulatory Implementation of Office of Management and Budget's Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.'' In the joint interim rule, HUD and all other Federal award-making agencies implemented OMB's final guidance entitled, ``Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards'' (Uniform Guidance) published on December 26, 2013 (78 FR 78589). The Uniform Guidance followed publication of a Notice of Proposed Guidance published on February 1, 2013 (78 FR 7282), and an Advance Notice of Proposed Guidance published on February 28, 2012 (77 FR 11778), and incorporated public comments received on those two documents. The Uniform Guidance is codified at 2 CFR part 200. OMB's Uniform Guidance provides a Governmentwide framework for Federal grant management designed to reduce administrative burden for non-Federal entities receiving Federal awards, while reducing the risk of waste, fraud, and abuse. The Uniform Guidance establishes requirements and responsibilities for all Federal agencies that award Federal financial assistance and all non-Federal entities that receive Federal awards. In developing the Uniform Guidance, OMB consolidated existing OMB circulars into a single set of requirements. OMB circulars consolidated and superseded by the Uniform Guidance include:A-21, ``Cost Principles for Educational Institutions''; A-87, ``Cost Principles for State, Local and Indian Tribal Governments''; A-102, ``Grant Awards and Cooperative Agreements with State and Local Governments''; A-110, ``Uniform Administrative Requirements for Awards and Other Agreements with Institutions of Higher Education, Hospitals, and Other Nonprofit Organizations''; and A-133, ``Audits of States, Local Governments and Non- Profit Organizations''. The Uniform Guidance also replaces provisions of OMB circulars that relate to Single Audit Act audits. OMB's consolidation of prior guidance was aimed at eliminating duplicative or nearly duplicative language in order to clarify existing guidance. The Uniform Guidance does not broaden the scope of applicability of the guidance superseded. The policy reforms brought about by the Uniform Guidance include: Eliminating duplicative/conflicting guidance; Focusing on performance over compliance for accountability; Encouraging efficient use of information technology (IT)/ shared services; Providing for consistent treatment of costs; Limiting allowable costs for the best use of Federal resources; Incorporating standard business processes using data definitions; Strengthening oversight; and Targeting audit requirements on risk of waste, fraud, and abuse. The Uniform Guidance also streamlines audit procedures by: Raising the Single Audit threshold from $500,000 to $750,000; Raising the questioned cost limit in Single Audits from $10,000 to $25,000; and Requiring assessment of Governmentwide audit quality to be conducted every 6 years (beginning in 2018). A. Applicability of Uniform Guidance to HUD Grantees In the December 19, 2014, joint, interim rule, HUD adopted and codified the Uniform Guidance as requirements for Federal awards at a new part, 2 CFR part 2400. HUD also amended 24 CFR parts 84 and 85, which had codified OMB Circulars superseded by 2 CFR part 200, by removing all substantive provisions and including a saving provision that provides that Federal awards made prior to December 26, 2014, will continue to be governed by parts 84 or 85 as codified in the 2013 edition of the Code of Federal Regulations (CFR) or as provided under the terms of the Federal award. HUD implemented OMB Circular A-102 in 1988, by codifying its provisions in 24 CFR part 85 (March 11, 1988, 53 FR 8025, 8650). In 1994, HUD implemented OMB Circular A-110 by codifying its provisions in 24 CFR part 84 (September 13, 1994, 59 FR 47011). HUD codified the provisions of OMB Circular A-133 in 24 CFR parts 84 and 85 in 1997 (November 18, 1997, 62 FR 61617). In the intervening years since codifying the guidance in these circulars, HUD has cross-referenced applicable provisions of 24 CFR parts 84 and 85 throughout program regulations. Because HUD has implemented 2 CFR part 200 and removed, with certain exceptions, 24 CFR parts 84 and 85, this final rule conforms 24 CFR to the Uniform Guidance by removing references to 24 CFR parts 84 and 85 and replacing them with corresponding references to 2 CFR part 200. [[Page 75932]] Grant recipients and those who monitor grants are strongly encouraged to review the Uniform Guidance to obtain a better understanding of the Uniform Guidance and its implications for their Federal awards. The Federal Council on Financial Assistance Reform (COFAR) has provided additional tools to assist in the transition to the Uniform Guidance. These tools include: Frequently Asked Questions for New Uniform Guidance at 2 CFR part 200: https://cfo.gov/wp-content/uploads/2014/11/2014-11-26-Frequently-Asked-Questions.pdf. Uniform Guidance Crosswalk from Existing Guidance to Final Guidance: www.whitehouse.gov/sites/default/files/omb/fedreg/2013/uniform-guidance-crosswalk-from-predominate-source-in-existing-guidance.pdf. COFAR webcast trainings and slides: Available through the COFAR Web site https://cfo.gov/cofar; specifically, through that Web site's page on Resources for Understanding the Uniform Guidance, https://cfo.gov/cofar/#RUUG. Additional tools are available through links from COFAR's Web site homepage, https://cfo.gov/cofar/, in such sections (as of the date of this rule) as Resources for Understanding the Uniform Guidance, Measuring the Impact of the Uniform Guidance, the COFAR Training Webcast Series, Federal Spending Transparency, and Related Links. In addition, grant recipients are encouraged to review guidance issued by HUD on February 26, 2015, entitled ``Transition to 2 CFR part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Final Guidance'' (Notice SD-2015-01). This guidance is available at http://portal.hud.gov/hudportal/documents/huddoc?id=15-01sdn.pdf. B. Other Conforming Changes As noted above, HUD implemented OMB Circular A-133, ``Audits of States, Local Governments, and Non-Profit Organizations,'' in 24 CFR parts 84 and 85 in 1997. In HUD's 1997 interim rule, HUD also removed and reserved 24 CFR part 44--Non-Federal Audit Requirements for State and Local Government, and 24 CFR part 45--Non-Federal Audit Requirements for Institutions of Higher Education and Other Nonprofit Institutions, since these parts were no longer applicable because of HUD's implementation of the circular. In drafting this final rule, HUD discovered the inadvertent retention of references to 24 CFR parts 44 and 45. HUD is using this final rule to correct this oversight and is replacing outdated references to parts 44 and 45 with references to 2 CFR part 200, subpart F--Audit Requirements, or section(s) of that subpart, as applicable. HUD is revising Sec. 4.5 to conform to Section 233 of the Department of Housing and Urban Development Appropriations Act, 2009 (Pub. L. 111-8, March 11, 2009). HUD is revising Sec. 570.402(a)(1) to conform to HUD's final rule entitled ``Removal of Obsolete Community Planning and Development (CPD) Regulations (79 FR 51893, September 2, 2014). HUD is also correcting other copy and typographical errors. II. Justification for Final Rulemaking HUD generally publishes a rule for public comment before issuing a rule for effect, in accordance with its own regulations on rulemaking at 24 CFR part 10. Part 10 provides for exceptions to the general rule if the agency finds good cause to omit advance notice and public participation. The good cause requirement is satisfied when prior public procedure is ``impracticable, unnecessary, or contrary to the public interest'' (24 CFR 10.1). This rule updates references to regulatory provisions that have been removed by HUD in implementing the Uniform Guidance, and substitutes references to appropriate sections of the Uniform Guidance, corrects outdated references to 24 CFR parts 44 and 45, and makes other conforming changes. As a result, HUD finds that good cause exists to publish this rule for effect without first soliciting public comment. III. Findings and Certifications Regulatory Flexibility Act The Regulatory Flexibility Act (RFA) (5 U.S.C. 605(b)) generally requires an agency to conduct regulatory flexibility analysis of any rule subject to notice and comment rulemaking requirements, unless the agency certifies that the rule will not have a significant economic impact on a substantial number of small entities. Because HUD has determined that good cause exists to issue this rule without prior public comment, this rule is not subject to the requirement to publish an initial or final regulatory flexibility analysis under the RFA as part of such action. Executive Order 13132, Federalism Executive Order 13132 (entitled ``Federalism'') prohibits an agency from publishing any rule that has federalism implications if the rule either imposes substantial direct compliance costs on State and local governments and is not required by statute or the rule preempts State law, unless the agency meets the consultation and funding requirements of section 6 of the Executive order. This final rule will not have federalism implications and would not impose substantial direct compliance costs on State and local governments or preempt State law within the meaning of the Executive order. Unfunded Mandates Reform Section 202 of the Unfunded Mandates Reform Act of 1995 (UMRA) \1\ requires that an agency prepare a budgetary impact statement before promulgating a rule that includes a Federal mandate that may result in the expenditure by State, local, and tribal governments, in the aggregate, or by the private sector, of $100 million or more in any 1 year. If a budgetary impact statement is required, section 205 of UMRA also requires an agency to identify and consider a reasonable number of regulatory alternatives before promulgating a rule.\2\ However, the UMRA applies only to rules for which an agency publishes a general notice of proposed rulemaking. As discussed above, HUD has determined, for good cause, that prior notice and public comment is not required on this rule and, therefore, the UMRA does not apply to this final rule. --------------------------------------------------------------------------- \1\ 2 U.S.C. 1532. \2\ 2 U.S.C. 1534. --------------------------------------------------------------------------- List of Subjects 24 CFR Part 4 Administrative practice and procedure, Government employees, Grant programs--housing and community development, Investigations, Loan programs--housing and community development, Penalties, Reporting and recordkeeping requirements. 24 CFR Part 5 Administrative practice and procedure, Aged, Claims, Crime, Government contracts, Grant programs--housing and community development, Individuals with disabilities, Intergovernmental relations, Loan programs--housing and community development, Low and moderate income housing, Mortgage insurance, Penalties, Pets, Public housing, Rent subsidies, Reporting and recordkeeping requirements, Social security, Unemployment compensation, Wages. [[Page 75933]] 24 CFR Part 92 Administrative practice and procedure, Grant programs--housing and community development, Low and moderate income housing, Manufactured homes, Rent subsidies, Reporting and recordkeeping requirements. 24 CFR Part 115 Administrative practice and procedure, Aged, Fair housing, Grant programs--housing and community development, Individuals with disabilities, Intergovernmental relations, Mortgages, Reporting and recordkeeping requirements. 24 CFR Part 125 Fair housing, Grant programs--housing and community development, Reporting and recordkeeping requirements. 24 CFR Part 135 Administrative practice and procedure, Community development, Equal employment opportunity, Government contracts, Grant programs--housing and community development, Housing Loan programs--housing and community development, Reporting and recordkeeping requirements, Small businesses. 24 CFR Part 200 Administrative practice and procedure, Claims, Equal employment opportunity, Fair housing, Housing standards, Lead poisoning, Loan programs--housing and community development, Mortgage insurance, Organization and functions (Government agencies), Penalties, Reporting and recordkeeping requirements, Social security, Unemployment compensation, Wages. 24 CFR Part 202 Administrative practice and procedure, Home improvement, Manufactured homes, Mortgage insurance, Reporting and recordkeeping requirements. 24 CFR Part 214 Administrative practice and procedure, Loan programs--housing and community development, Organization and functions (government agencies), Reporting and recordkeeping requirements. 24 CFR Part 236 Grant programs--housing and community development, Low and moderate income housing, Mortgage insurance, Rent subsidies, Reporting and recordkeeping requirements. 24 CFR Part 242 Hospitals, Mortgage insurance, Reporting and recordkeeping requirements. 24 CFR Part 248 Grant programs--housing and community development, Intergovernmental relations, Loan programs--housing and community development, Low and moderate income housing, Mortgage insurance, Reporting and recordkeeping requirements. 24 CFR Part 266 Intergovernmental relations, Low and moderate income housing, Mortgage insurance, Reporting and recordkeeping requirements. 24 CFR Part 401 Grant programs--housing and community development, Loan programs-- housing and community development, Low and moderate income housing, Mortgage insurance, Mortgages, Rent subsidies, Reporting and recordkeeping requirements. 24 CFR Part 570 Administrative practice and procedure, American Samoa, Community development block grants, Grant programs--education, Grant programs-- housing and community development, Guam, Indians, Loan programs-- housing and community development, Low and moderate income housing, Northern Mariana Islands, Pacific Island Trust Territory, Puerto Rico, Reporting and recordkeeping requirements, Student aid, Virgin Islands. 24 CFR Part 573 Arson, Community facilities, Loan programs--housing and community development, Nonprofit organizations, Reporting and recordkeeping requirements. 24 CFR Part 574 Community facilities, Grant programs--housing and community development, Grant programs--social programs, HIV/AIDS, Low and moderate income housing, Reporting and recordkeeping requirements. 24 CFR Part 576 Community facilities, Grant programs--housing and community development, Grant programs--social programs, Homeless, Reporting and recordkeeping requirements. 24 CFR Part 578 Community facilities, Continuum of Care, Emergency solutions grants, Grant programs--housing and community development, Grant programs--social programs, Homeless, Rural housing, Reporting and recordkeeping requirements, Supportive housing programs-- housing and community development, Supportive services. 24 CFR Part 582 Civil rights, Community facilities, Grant programs--housing and community development, Grant programs--social programs, Homeless, Individuals with disabilities, Mental health programs, Nonprofit organizations, Rent subsidies, Reporting and recordkeeping requirements. 24 CFR Part 583 Civil rights, Community facilities, Employment, Grant programs-- housing and community development, Grant programs--social programs, Homeless, Indians, Individuals with disabilities, Mental health programs, Nonprofit organizations, Reporting and recordkeeping requirements, Technical assistance. 24 CFR Part 700 Aged, Grant programs--housing and community development, Grant programs--Indians, Indians, Individuals with disabilities, Low and moderate income housing, Public housing, Reporting and recordkeeping requirements. 24 CFR Part 761 Drug traffic control, Grant programs--housing and community development, Grant programs--Indians, Indians, Public housing, Reporting and recordkeeping requirements. 24 CFR Part 880 Grant programs--housing and community development, Rent subsidies, Reporting and recordkeeping requirements. 24 CFR Part 881 Grant programs--housing and community development, Rent subsidies, Reporting and recordkeeping requirements. 24 CFR Part 882 Grant programs--housing and community development, Homeless, Lead poisoning, Manufactured homes, Rent subsidies, Reporting and recordkeeping requirements. [[Page 75934]] 24 CFR Part 883 Grant programs--housing and community development, Rent subsidies, Reporting and recordkeeping requirements. 24 CFR Part 884 Grant programs--housing and community development, Rent subsidies, Reporting and recordkeeping requirements, Rural areas. 24 CFR Part 886 Grant programs--housing and community development, Lead poisoning, Rent subsidies, Reporting and recordkeeping requirements. 24 CFR Part 891 Aged, Grant programs--housing and community development, Individuals with disabilities, Loan programs--housing and community development, Rent subsidies, Reporting and recordkeeping requirements. 24 CFR Part 902 Administrative practice and procedure, Public housing, Reporting and recordkeeping requirements. 24 CFR Part 905 Grant programs--housing and community development, Public housing, Reporting and recordkeeping requirements. 24 CFR Part 943 Public housing, Reporting and recordkeeping requirements. 24 CFR Part 963 Grant programs--housing and community development, Public housing, Reporting and recordkeeping requirements. 24 CFR Part 964 Grant programs--housing and community development, Public housing, Reporting and recordkeeping requirements. 24 CFR Part 965 Government procurement, Grant programs--housing and community development, Lead poisoning, Loan programs--housing and community development, Public housing, Reporting and recordkeeping requirements, Utilities. 24 CFR Part 970 Grant programs--housing and community development, Public housing, Reporting and recordkeeping requirements. 24 CFR Part 982 Grant programs--housing and community development, Grant programs-- Indians, Indians, Public housing, Rent subsidies, Reporting and recordkeeping requirements. 24 CFR Part 990 Accounting, Grant programs--housing and community development, Public housing, Reporting and recordkeeping requirements. 24 CFR Part 1000 Aged, Community development block grants, Grant programs--housing and community development, Grant programs--Indians, Indians, Individuals with disabilities, Public housing, Reporting and recordkeeping requirements. 24 CFR Part 1003 Alaska, Community development block grants, Grant programs--housing and community development, Grant programs--Indians, Indians, Reporting and recordkeeping requirements. 24 CFR Part 1006 Community development block grants, Grant programs--housing and community development, Grant programs--Indians, Hawaiian Natives, Low and moderate income housing, Reporting and recordkeeping requirements. Accordingly, for the reasons described in the preamble, HUD amends title 24 CFR parts 4, 5, 92, 115, 125, 135, 200, 202, 214, 236, 242, 248, 266, 401, 570, 573, 574, 576, 578, 582, 583, 700, 761, 880, 881, 882, 883, 884, 886, 891, 902, 905, 943, 963, 964, 965, 970, 982, 990, 1000, 1003, and 1006, as follows: PART 4--HUD REFORM ACT 0 1. The authority citation for part 4 continues to read as follows: Authority: 42 U.S.C. 3535(d), 3537a, 3545. 0 2. Revise Sec. 4.5(a) to read as follows: Sec. 4.5 Notice and documentation of assistance subject to section 102(a). (a) Notice. Before the Department solicits an application for assistance subject to Section 102(a), it will post a notice describing application procedures and selection criteria not less than 30 calendar days before the deadline by which applications must be submitted. * * * * * Sec. 4.9 [Amended] 0 3. Amend Sec. 4.9(a)(1)(iii) by removing ``24 CFR part 85'' and adding in its place ``2 CFR 200.80''. PART 5--GENERAL HUD PROGRAM REQUIREMENTS; WAIVERS 0 4. The authority citation for part 5 continues to read as follows: Authority: 42 U.S.C. 1437a, 1437c, 1437d, 1437f, 1437n, 3535(d), Sec. 327, Pub. L. 109-115, 119 Stat. 2936, and Sec. 607, Pub. L. 109-162, 119 Stat. 3051. Sec. 5.107 [Amended] 0 5. Amend Sec. 5.107 by removing ``revised OMB Circular A-133, `Audits of States, Local Governments and Non-profit Organizations' (see 24 CFR 84.26)'' and adding in its place ``2 CFR part 200, subpart F''. Sec. 5.109 [Amended] 0 6. Amend Sec. 5.109(g) by removing ``(see, e.g., 24 CFR parts 84 and 85)'' and adding in its place ``(see, e.g., 2 CFR 200.311)''. Sec. 5.801 [Amended] 0 7. Amend Sec. 5.801(d)(1) by removing ``OMB Circular A-133 (See 24 CFR 84.26)'' and adding in its place ``2 CFR part 200, subpart F''. Sec. 5.1003 [Amended] 0 8. Amend Sec. 5.1003 by removing ``Data Universal Numbering System (DUNS)'' and ``DUNS number'' wherever they appear and adding in their place ``unique entity identifier''. 0 9. Amend Sec. 5.1004 as follows: 0 a. Revise the section heading; and 0 b. Remove ``Central Contractor Registration (CCR)'' and ``CCR'' and add in their place ``System of Award Management (SAM)'' and ``SAM in accordance with 2 CFR part 25, appendix A'', respectively. The revision reads as follows: Sec. 5.1004 System of award management. * * * * * PART 92--HOME INVESTMENT PARTNERSHIPS PROGRAM 0 10. The authority citation for part 92 continues to read as follows: Authority: 42 U.S.C. 3535(d) and 12701-12839 Sec. 92.2 [Amended] 0 11. In Sec. 92.2, amend paragraph (6) of the definition of ``Community housing development organization,'' by removing ``24 CFR 84.21, `Standards for Financial Management Systems;' '' and adding in its place ``2 CFR 200.302, `Financial Management' and 2 CFR 200.303, `Internal Controls;' ''. [[Page 75935]] Sec. 92.64 [Amended] 0 12. Amend Sec. 92.64(a)(2)(ii) by removing ``24 CFR 85.21'' and adding in its place ``2 CFR 200.305''. Sec. 92.204 [Amended] 0 13. Amend Sec. 92.204(a)(2)(ii) by removing ``24 CFR 85.21'' and adding in its place ``2 CFR 200.305''. Sec. 92.207 [Amended] 0 14. Amend Sec. 92.207(e) by removing ``OMB Circulars A-87 or A-122, as applicable'' and adding in its place ``2 CFR part 200, subpart E.'' Sec. 92.214 [Amended] 0 15. Amend Sec. 92.214(b)(2) by removing ``2 CFR part 225 (OMB Circular A-87, entitled `Cost Principles for State, Local and Indian Tribal Governments')'' and adding in its place ``2 CFR 200.406''. Sec. 92.220 [Amended] 0 16. Amend Sec. 92.220(a)(1)(ii) by removing ``24 CFR 85.26(b)'' and adding in its place ``2 CFR 200.80''. Sec. 92.257 [Amended] 0 17. Amend Sec. 92.257(e) by removing ``(see 24 CFR parts 84 and 85)'' and adding in its place ``(see 2 CFR 200.311)''. Sec. 92.351 [Amended] 0 18. Amend Sec. 92.351(b) by removing ``Section 85.36(e) of this title'' and replacing with ``Section 200.321 of title 2 Code of Federal Regulations''. Sec. 92.356 [Amended] 0 19. Amend Sec. 92.356(a) by: 0 a. Removing ``24 CFR 85.36 and 24 CFR 84.42, respectively,'' and adding in its place ``2 CFR 200.317 and 2 CFR 200.318''; and 0 b. Removing ``24 CFR 85.36 and 24 CFR 84.42'' and adding in its place ``2 CFR 200.317 and 200.318''. 0 20. Revise Sec. 92.502(c)(2) to read as follows: Sec. 92.502 Program disbursement and information system. * * * * * (c) * * * (2) HOME funds drawn from the United States Treasury account must be expended for eligible costs within 15 days. Any interest earned within the 15-day period may be retained by the participating jurisdiction as HOME funds. Any funds that are drawn down and not expended for eligible costs within 15 days of the disbursement must be returned to HUD for deposit in the participating jurisdiction's United States Treasury account of the HOME Investment Trust Fund. Interest earned after 15 days belongs to the United States and must be remitted to the United States as provided in 2 CFR 200.305(b)(9), except interest amounts up to $500 per year may be retained for administrative expenses. * * * * * Sec. 92.504 [Amended] 0 21. Amend Sec. 92.504 as follows: 0 a. In paragraph (c)(1)(x) by: 0 i. Removing ``24 CFR 85.43'' and adding in its place ``2 CFR 200.338''; 0 ii. Removing ``for convenience'' and adding in its place ``in whole or in part''; and 0 iii. Removing ``24 CFR 85.44'' and adding in its place ``2 CFR 200.339''; and 0 b. In paragraph (c)(2)(ix) by: 0 i. Removing ``24 CFR 85.43'' and adding in its place ``2 CFR 200.338''; 0 ii. Removing ``for convenience'' and adding in its place ``in whole or in part''; and 0 iii. Removing ``24 CFR 85.44'' and adding in its place ``2 CFR 200.339''. 0 22. Revise Sec. 92.505 to read as follows. Sec. 92.505 Applicability of uniform administrative requirements. The requirements of 2 CFR part 200 apply to participating jurisdictions, State recipients, and subrecipients receiving HOME funds, except for the following provisions: Sec. Sec. 200.306, 200.307, 200.308 (not applicable to participating jurisdictions), 200.311 (except as provided in Sec. 92.257), 200.312, 200.329, 200.333, and 200.334. The provisions of 2 CFR 200.305 apply as modified by Sec. 92.502(c). If there is a conflict between definitions in 2 CFR part 200 and 24 CFR part 92, the definitions in 24 CFR part 92 govern. Sec. 92.506 [Amended] 0 23. Amend Sec. 92.506 by removing ``24 CFR 84.26 and 85.26'' and adding in its place ``2 CFR part 200, subpart F''. 0 24. Revise Sec. 92.507 to read as follows: Sec. 92.507 Closeout. HOME funds will be closed out in accordance with 2 CFR part 200, subpart D. Sec. 92.508 [Amended] 0 25. Amend Sec. 92.508 as follows: 0 a. In paragraph (a)(3)(ii) remove ``24 CFR 85.20'' and add in its place ``2 CFR 200.302''; 0 b. In paragraph (a)(5)(i) add ``, in accordance with 2 CFR 200.302,'' after ``Records''; and 0 c. In paragraph (a)(5)(iv) remove ``, in accordance with 24 CFR 85.20,'' and add ``and other records required by 2 CFR 200.302'' at the end of the paragraph. Sec. 92.551 [Amended] 0 26. Amend Sec. 92.551(c)(2) by: 0 a. Removing ``24 CFR 85.12'' and adding in its place ``2 CFR 200.207''; and 0 b. Adding ``, including remedies under 2 CFR 200.338'' at the end of the paragraph. PART 115--CERTIFICATION AND FUNDING OF STATE AND LOCAL FAIR HOUSING ENFORCEMENT AGENCIES 0 27. The authority citation for part 115 continues to read as follows: Authority: 42 U.S.C. 3601-19; 42 U.S.C. 3535(d). 0 28. Revise Sec. 115.308(e) to read as follows: Sec. 115.308 Reporting and recordkeeping requirements. * * * * * (e) All files will be kept in such fashion as to permit audits under 2 CFR part 200, subpart F. PART 125--FAIR HOUSING INITIATIVES PROGRAM 0 29. The authority citation for part 125 continues to read as follows: Authority: 42 U.S.C. 3535(d), 3616 note. Sec. 125.104 [Amended] 0 30. Amend Sec. 125.104(g) by removing ``part 44 or part 45, as appropriate, of this title'' and adding in its place ``2 CFR part 200, subpart F.'' PART 135--ECONOMIC OPPORTUNITIES FOR LOW- AND VERY LOW-INCOME PERSONS 0 31. The authority citation for part 135 continues to read as follows: Authority: 12 U.S.C. 1701u; 42 U.S.C. 3535(d). Sec. 135.11 [Amended] 0 32. Amend Sec. 135.11 as follows: 0 a. In paragraph (a), remove ``(24 CFR 85.36)'' from the paragraph heading and add in its place ``2 CFR part 200, subpart D''; 0 b. In paragraph (a)(1), remove ``24 CFR 85.36(c)'' and ``24 CFR 85.36(c)(2)'' and add in their place ``2 CFR 200.319''; 0 c. In paragraph (a)(2), remove ``24 CFR 85.36(d)'' and add in its place ``2 CFR 200.320''; and 0 d. In paragraph (b), remove ``OMB Circular No. A-110'' everywhere it appears and add in its place ``2 CFR part 200, subpart D''. [[Page 75936]] Sec. 135.36 [Amended] 0 33. Amend Sec. 135.36(c) by removing ``24 CFR 85.36 (see 24 CFR 85.36(b)(8)).)'' and adding in its place ``2 CFR 200.318(h).)''. Appendix to Part 135 [Amended] 0 34. Amend the appendix to part 135 as follows: 0 a. In section III, introductory text, remove ``24 CFR 85.36(d)'' and add in its place ``2 CFR 200.320''; and 0 b. In section III, paragraph (3)(i), remove ``(24 CFR 85.36(d)(3))'' and add in its place ``(2 CFR 200.320)''. PART 200--INTRODUCTION TO FHA PROGRAMS 0 35. The authority citation for part 200 continues to read as follows: Authority: 12 U.S.C. 1702-1715z-21; 42 U.S.C. 3535(d). 0 36. Revise Sec. 200.11 to read as follows: Sec. 200.11 Audit requirements for State and local governments as mortgagees. Requirements set forth in 2 CFR part 200, subpart F, apply to State and local governments (as defined at 2 CFR 200.90 and 200.64, respectively) that receive mortgage insurance as mortgagees. PART 202--APPROVAL OF LENDING INSTITUTIONS AND MORTGAGEES 0 37. The authority citation for part 202 continues to read as follows: Authority: 12 U.S.C. 1703, 1709, and 1715b; 42 U.S.C. 3535(d). 0 38. Revise Sec. 202.10(c) to read as follows: Sec. 202.10 Governmental institutions, Government-sponsored enterprises, public housing agencies and State housing agencies. * * * * * (c) Audit requirements. The insuring of loans and mortgages under the Act constitutes ``Federal financial assistance'' (as defined in 2 CFR 200.40) for purposes of audit requirements set out in 2 CFR part 200, subpart F. Non-Federal entities (as defined in 2 CFR 200.69) that receive insurance as lenders and mortgagees shall conduct audits in accordance with 2 CFR part 200, subpart F. PART 214--HOUSING COUNSELING PROGRAM 0 39. The authority citation for part 214 is revised to read as follows: Authority: 12 U.S.C. 1701x, 1701x-1; 42 U.S.C. 3535(d). Sec. 214.103 [Amended] 0 40. Amend Sec. 214.103 as follows: 0 a. In paragraph (e), remove ``24 CFR 1.6, 24 CFR 84.21, and 24 CFR 121'' and add in its place ``2 CFR part 200, subpart D, 24 CFR 1.6, and 24 CFR part 121''; 0 b. In paragraph (i)(2), remove ``24 CFR part 84 (Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations) and 24 CFR part 85 (Administrative Requirements for Grants and Cooperative Agreements to States, Local and Federally Recognized Indian Tribal Governments), as applicable, and with the OMB Circulars described therein'' and add in its place ``2 CFR part 200''. Sec. 214.315 [Amended] 0 41. Amend Sec. 214.315(a) by removing ``24 CFR 1.6, 24 CFR 84.21, and 24 CFR part 121'' and adding in its place ``2 CFR part 200, subpart D, 24 CFR 1.6, and 24 CFR part 121''. Sec. 214.500 [Amended] 0 42. Amend Sec. 214.500 by removing ``24 CFR parts 84 and 85'' and adding in its place ``2 CFR part 200, subpart F''. PART 236--MORTGAGE INSURANCE AND INTEREST REDUCTION PAYMENT FOR RENTAL PROJECTS 0 43. The authority citation for part 236 continues to read as follows: Authority: 12 U.S.C. 1715b, 1715z-1, and 1735d; 42 U.S.C. 3535(d). Sec. 236.901 [Amended] 0 44. Amend Sec. 236.901 by removing ``24 CFR part 44'' and adding in its place ``2 CFR part 200, subpart F''. PART 242--MORTGAGE INSURANCE FOR HOSPITALS 0 45. The authority citation for part 242 continues to read as follows: Authority: 12 U.S.C. 1709, 1710, 1715b, 1715n(f), and 1715u; 42 U.S.C. 3535(d). Sec. 242.58 [Amended] 0 46. Amend Sec. 242.58(c)(1) by removing ``OMB Circular A-133 (Audits of states, local governments, and nonprofit organizations)'' and adding in its place ``2 CFR part 200, subpart F''. PART 248--PREPAYMENT OF LOW INCOME HOUSING MORTGAGES 0 47. The authority citation for part 248 continues to read as follows: Authority: 12 U.S.C. 17151 note, 4101 note, and 4101-4124; 42 U.S.C. 3535(d). Sec. 248.101 [Amended] 0 48. In Sec. 248.101, amend paragraph (6) of the definition of ``Community-Based Nonprofit Organization'' by removing ``Attachment F of OMB Circular No. A-110 (Rev.) `Standards for Financial Management Systems' '' and adding in its place ``2 CFR 200.302 and 200.303''. Sec. 248.173 [Amended] 0 49. Amend Sec. 248.173(q) by removing ``part 45 of this title'' and adding in its place ``2 CFR part 200, subpart F,''. PART 266--HOUSING FINANCE AGENCY RISK-SHARING PROGRAM FOR INSURED AFFORDABLE MULTIFAMILY PROJECT LOANS 0 50. The authority citation for part 266 continues to read as follows: Authority: 12 U.S.C. 1707; 42 U.S.C. 3535(d). Sec. 266.510 [Amended] 0 51. Amend Sec. 266.510(c) by removing ``24 CFR part 85.26'' and adding in its place ``2 CFR part 200, subpart F''. PART 401--MULTIFAMILY HOUSING MORTGAGE AND HOUSING ASSISTANCE RESTRUCTURING PROGRAM (MARK-TO-MARKET) 0 52. The authority citation for part 401 continues to read as follows: Authority: 12 U.S.C. 1715z-1 and 1735f-18(b); 42 U.S.C. 1437(c)(8), 1437f(t) note, and 3535(d). Sec. 401.302 [Amended] 0 53. Amend Sec. 401.302(a) by removing ``Parts 84 and 85 of this title'' and adding in its place ``Part 200 of 2 CFR''. PART 570--COMMUNITY DEVELOPMENT BLOCK GRANTS 0 54. The authority citation for part 570 continues to read as follows: Authority: 42 U.S.C. 3535(d) and 5301-5320. 0 55. Amend Sec. 570.200 by: 0 a. In paragraph (a)(5) introductory text: 0 i. Removing ``OMB Circulars A-87, `Cost Principles for State, Local and Indian Tribal Governments'; A-122, `Cost Principles for Non-profit Organizations'; or A-21, `Cost Principles for Educational Institutions,' as applicable'' and adding in its place ``2 CFR part 200, subpart E''; 0 ii. Removing footnote 1; 0 iii. Removing ``Attachment B of these Circulars'' and adding in its place ``2 CFR part 200, subpart E,''; and [[Page 75937]] 0 iv. Removing ``Attachment A of such circulars'' and adding in its place ``2 CFR part 200, subpart E,''; 0 b. In paragraph (a)(5)(i), removing ``HUD's specific approval or, if charged through a cost allocation plan'' and adding in its place ``the approval of''; 0 c. In paragraph (a)(5)(ii), removing ``and penalties (including punitive damages)'' and adding in its place ``penalties, damages, and other settlements''; 0 d. Redesignating paragraph (a)(5)(iii) as paragraph (a)(5)(v); 0 e. Adding paragraphs (a)(5)(iii) and (iv); 0 f. In paragraph (d)(2), removing ``24 CFR 85.36'' and adding in its place ``2 CFR part 200, subpart D''; 0 g. In paragraph (f)(1)(i)(B), removing ``24 CFR 85.36'' and adding in its place ``2 CFR part 200, subpart D''; and 0 h. In paragraph (j)(5), removing ``(see 24 CFR parts 84 and 85)'' and adding in its place ``(see 2 CFR 200.311)''. The additions read as follows: Sec. 570.200 General policies. (a) * * * (5) * * * (iii) Costs of housing (e.g., depreciation, maintenance, utilities, furnishings, rent), housing allowances and personal living expenses (goods or services for personal use) regardless of whether reported as taxable income to the employees (2 CFR 200.445); (iv) Organization costs (2 CFR 200.455); and * * * * * Sec. 570.206 [Amended] 0 56. Amend Sec. 570.206(e) by removing ``OMB Circular A-21, A-87, or A- 122 as applicable'' and adding in its place ``2 CFR part 200, subpart E''. Sec. 570.207 [Amended] 0 57. Amend Sec. 570.207 as follows: 0 a. In paragraph (a)(2), remove ``OMB Circular A-87'' and add in its place ``2 CFR part 200, subpart E''; 0 b. In paragraph (b)(1)(i), remove ``, depreciation, or use allowances pursuant to OMB Circulars A-21, A-87 or A-122'' and add in its place ``or depreciation pursuant to 2 CFR part 200, subpart E,''; and 0 c. In paragraph (b)(1)(iii), remove ``or use allowances (in accordance with OMB Circulars A-21, A-87 or A-122, as applicable)'' and add in its place ``in accordance with 2 CFR part 200, subpart E,''. Sec. 570.402 [Amended] 0 58. Amend Sec. 570.402 as follows: 0 a. In paragraph (a)(1), remove the last sentence of the paragraph; and 0 b. In paragraph (a)(2), remove ``OMB Circulars'' and add in its place ``2 CFR part 200''. Sec. 570.415 [Amended] 0 59. Amend Sec. 570.415(k)(3)(iii) by removing ``OMB Circulars A-101 and A-110'' and adding in its place ``2 CFR part 200''. 0 60. Revise Sec. 570.416(j)(2) to read as follows: Sec. 570.416 Hispanic-serving institutions work study program. * * * * * (j) * * * (2) Uniform administrative requirements. Recipients under HSI-WSP shall comply with the requirements and standards of 2 CFR part 200, ``Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.'' Audits in accordance with 2 CFR part 200, subpart F, shall be conducted annually. 0 61. Amend Sec. 570.489 as follows: 0 a. In paragraph (d)(1)(i), add ``and the terms and conditions of the award'' at the end of the paragraph; 0 b. In paragraph (d)(2)(iii), remove ``24 CFR part 85 `Uniform Administrative Requirements for Grants and Cooperative Agreements to States and Local Governments.''' and add in its place ``2 CFR part 200.''; 0 c. In paragraph (d)(2)(iii)(A), remove ``part 85'' and add in its place ``2 CFR part 200''; 0 d. In paragraph (d)(2)(iii)(B), remove ``part 85 of this title'' and ``part 84 of this title, `Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations,' as applicable'' and add in their place ``2 CFR part 200''; 0 e. In paragraph (j), remove ``(24 CFR 85.36, `Administrative Requirements for Grants and Cooperative Agreements to State, Local and Federally Recognized Indian Tribal Governments')'' and add in its place ``(2 CFR 200.88)''; 0 f. Redesignate paragraphs (m) and (n) as paragraphs (n) and (p), respectively; 0 g. Add paragraph (m); and 0 h. Revise newly redesignated paragraphs (n) and (p). The revision and additions to read as follows: Sec. 570.489 Program administrative requirements. * * * * * (m) Subrecipient monitoring and management. The provisions of 2 CFR 200.330 through 200.332 are applicable. (n) Audits. Notwithstanding any other provision of this title, audits of a State and units of general local government shall be conducted in accordance with 2 CFR part 200, subpart F, which implements the Single Audit Act. States shall develop and administer an audits management system to ensure that audits of units of general local government are conducted in accordance with 2 CFR part 200, subpart F. * * * * * (p) Cost principles and prior approval. A State must ensure that costs incurred by the State and by its recipients are in conformance with 2 CFR part 200, subpart E. All cost items described in 2 CFR part 200, subpart E, that require Federal agency approval are allowable without prior approval of HUD, to the extent that they otherwise comply with the requirements of 2 CFR part 200, subpart E, and are otherwise eligible, except for the following: (1) Depreciation methods for fixed assets shall not be changed without the express approval of the cognizant Federal agency (2 CFR 200.436). (2) Fines, penalties, damages, and other settlements are unallowable costs to the CDBG program (2 CFR 200.441). (3) Costs of housing (e.g., depreciation, maintenance, utilities, furnishings, rent), housing allowances, and personal living expenses (goods or services for personal use) regardless of whether reported as taxable income to the employees (2 CFR 200.445). (4) Organization costs (2 CFR 200.455). Sec. 570.490 [Amended] 0 62. Amend Sec. 570.490(a)(1) by removing ``24 CFR part 85'' and adding in its place ``2 CFR 200, subpart F''. Sec. 570.500 [Amended] 0 63. Amend Sec. 570.500(c) by removing ``24 CFR 85.36 or 84.40, as applicable'' and adding in its place ``2 CFR part 200, subpart D''. 0 64. Revise Sec. 570.502 to read as follows: Sec. 570.502 Applicability of uniform administrative requirements. (a) Grantees and subrecipients shall comply with 2 CFR part 200, ``Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards'', except that: (1) Section 200.305 ``Payment'' is modified for lump sum drawdown for financing of property rehabilitation activities, in accordance with Sec. 570.513. (2) Section 200.306 ``Cost sharing or matching'' does not apply. (3) Section 200.307 ``Program income'' does not apply. Program income is governed by Sec. 570.504. [[Page 75938]] (4) Section 200.308 ``Revisions of budget and program plans'' does not apply. (5) Section 200.311 ``Real property'' does not apply, except as provided in Sec. 570.200(j). Real property is governed by Sec. 570.505. (6) Section 200.313 ``Equipment'' applies, except that when the equipment is sold, the proceeds shall be program income. Equipment not needed by the subrecipient for CDBG activities shall be transferred to the recipient for the CDBG program or shall be retained after compensating the recipient. (7) Section 200.333 ``Retention requirements for records'' applies except that: (i) For recipients: (A) The period shall be 4 years from the date of execution of the closeout agreement for a grant, as further described in this part; (B) Records for individual activities subject to the reversion of assets provisions at Sec. 570.503(b)(7) or the change of use provisions at Sec. 570.505 must be maintained for 3 years after those provisions no longer apply to the activity; (C) Records for individual activities for which there are outstanding loan balances, other receivables, or contingent liabilities must be retained for 3 years after the receivables or liabilities have been satisfied. (ii) For subrecipients: (A) The retention period for individual CDBG activities shall be the longer of 3 years after the expiration or termination of the subrecipient agreement under Sec. 570.503, or 3 years after the submission of the annual performance and evaluation report, as prescribed in Sec. 91.520 of this title, in which the specific activity is reported on for the final time; (B) Records for individual activities subject to the reversion of assets provisions at Sec. 570.503(b)(7) or change of use provisions at Sec. 570.505 must be maintained for as long as those provisions continue to apply to the activity; and (C) Records for individual activities for which there are outstanding loan balances, other receivables, or contingent liabilities must be retained until such receivables or liabilities have been satisfied. (8) Section 200.343 ``Closeout'' applies to closeout of subrecipients. (b) [Reserved] 0 65. Amend Sec. 570.503 by: 0 a. In paragraph (b)(4), removing ``administrative'' everywhere it appears; and 0 b. Revising paragraph (b)(6). The revision reads as follows: Sec. 570.503 Agreements with subrecipients. * * * * * (b) * * * (6) Suspension and termination. The agreement shall set forth remedies for noncompliance and provisions on termination in accordance with 2 CFR part 200, subpart D. * * * * * Sec. 570.508 [Amended] 0 66. Amend Sec. 570.508 by removing ``24 CFR 85.42(f)'' and adding in its place ``2 CFR 200.337''. Sec. 570.509 [Amended] 0 67. Amend Sec. 570.509 as follows: 0 a. In paragraph (e), remove ``24 CFR 85.44'' and add in its place ``2 CFR 200.339''; and 0 b. In paragraph (f), remove ``24 CFR 85.43(c)'' and add in its place ``2 CFR 200.342''. Sec. 570.511 [Amended] 0 68. Amend Sec. 570.511(a)(2) by removing ``24 CFR 85.36'' and adding in its place ``2 CFR part 200, subpart D''. 0 69. Revise Sec. 570.610 to read as follows: Sec. 570.610 Uniform administrative requirements, cost principles, and audit requirements for Federal awards. The recipient, its agencies or instrumentalities, and subrecipients shall comply with 2 CFR part 200, ``Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards'', as set forth at Sec. 570.502. Sec. 570.611 [Amended] 0 70. Amend Sec. 570.611 as follows: 0 a. In paragraph (a)(1), remove ``24 CFR 85.36 and 24 CFR 84.42, respectively,'' and add in its place ``2 CFR 200.317 and 200.318''; and 0 b. In paragraph (a)(2), remove ``24 CFR 85.36 and 84.42'' and add in its place ``2 CFR 200.317 and 200.318''. Sec. 570.904 [Amended] 0 71. Amend Sec. 570.904(d) by removing ``24 CFR 85.36(e)'' and both instances of ``Sec. 85.36(e) of this chapter'' and adding in their place ``2 CFR 200.321''. PART 573--LOAN GUARANTEE RECOVERY FUND 0 72. The authority citation for part 573 continues to read as follows: Authority: Pub. L. 104-155, 110 Stat. 1392, 18 U.S.C. 241 note; 42 U.S.C. 3535(d). Sec. 573.9 [Amended] 0 73. Amend Sec. 573.9(b) by removing ``2 CFR part 84'' everywhere it appears and adding in its place ``2 CFR part 200''. PART 574--HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS 0 74. The authority citation for part 574 continues to read as follows: Authority: 42 U.S.C. 3535(d) and 12901-12912. Sec. 574.3 [Amended] 0 75. In Sec. 574.3, amend the definition of ``Project sponsor'' by removing ``24 CFR 85.36'' and adding in its place ``2 CFR part 200, subpart D''. Sec. 574.300 [Amended] 0 76. Amend Sec. 574.300(c)(5) by removing ``24 CFR parts 84 and 85'' and adding in its place ``2 CFR 200.311''. Sec. 574.500 [Amended] 0 77. Amend Sec. 574.500(c) by: 0 a. Removing ``24 CFR 85.43'' and adding in its place ``2 CFR part 200, subpart D''; and 0 b. Removing ``paragraph (a) of that section'' and adding in its place ``2 CFR 200.338''. 0 78. Revise Sec. 574.605 to read as follows: Sec. 574.605 Applicability of uniform administrative requirements, cost principles, and audit requirements for Federal awards. The provisions of 2 CFR part 200, ``Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards'', apply to HOPWA grants. Sec. 574.625 [Amended] 0 79. In Sec. 574.625, amend paragraph (a) by removing ``OMB Circular A- 102 and 24 CFR 85.36(b)(3)'' and adding in its place ``2 CFR 200.317 (for recipients and subrecipients that are States) and 2 CFR 200.318 (for recipients and subrecipients that are not States)''. 0 80. Revise Sec. 574.650 to read as follows: Sec. 574.650 Audit. Grantees and project sponsors are subject to the audit requirements set forth in 2 CFR part 200, subpart F. PART 576--EMERGENCY SOLUTIONS GRANTS PROGRAMS 0 81. The authority citation for part 576 continues to read as follows: Authority: 42 U.S.C. 11371 et seq., 42 U.S.C. 3535(d). [[Page 75939]] Sec. 576.2 [Amended] 0 82. In Sec. 576.2, amend the definition of ``Program income'' by removing ``24 CFR 85.25'' and adding in its place ``2 CFR 200.80''. Sec. 576.100 [Amended] 0 83. Amend Sec. 576.100(d) by removing ``OMB Circulars A-87 (2 CFR 225) and A-122 (2 CFR 230)'' and adding in its place ``2 CFR part 200, subpart E,''. Sec. 576.109 [Amended] 0 84. Amend Sec. 576.109 as follows: 0 a. In paragraph (a), remove ``OMB Circular A-87 (2 CFR part 225), or A- 122 (2 CFR part 230), as applicable'' and add in its place ``2 CFR part 200, subpart E''; and 0 b. In paragraph (b), remove ``an indirect cost rate proposal developed in accordance with OMB Circular A-87 (2 CFR part 225), or A-122 (2 CFR part 230), as applicable'' and add in its place ``2 CFR part 200, subpart E''. Sec. 576.200 [Amended] 0 85. Amend Sec. 576.200(a) by removing ``24 CFR 85.12'' and adding in its place ``2 CFR 200.207''. 0 86. Revise Sec. 576.201(a), (b), and (c) to read as follows: Sec. 576.201 Matching requirement. (a) The recipient must make matching contributions to supplement the recipient's ESG program in an amount that equals the recipient's fiscal year grant for ESG. This amount may include contributions to any project under the recipient's ESG program, including any subrecipient's ESG project, if the requirements in this section are met. The first $100,000 of a State's fiscal year grant is not required to be matched, but the benefit of this exception must pass to the state's subrecipients that are least capable of providing matching contributions. The match requirements under this section do not apply if the recipient is a territory. (b) To be recognized as match for ESG, each contribution must meet the requirements under 2 CFR 200.306, except that: (1) Notwithstanding 2 CFR 200.306(b)(4), matching contributions are not subject to the expenditure limits in Sec. 576.100; and (2) Notwithstanding 2 CFR 200.306(b)(5), the recipient may use funds from another Federal program as match for ESG, unless doing so would violate a specific statutory prohibition or the recipient or subrecipient counts ESG funds as match for that program. (c) The recipient may count as match the value specified in 2 CFR 200.306(d) for any building the recipient or subrecipient donates for long-term use in the recipient's ESG program, provided that depreciation on the building is not counted as match or charged to any Federal award. If a third party donates a building to the recipient or subrecipient, the recipient may count as match either depreciation of the building and fair rental charges for the land for each year the building is used for the recipient's ESG program or, if the building is donated for long-term use in the recipient's ESG program, the fair market value of the capital assets, as specified in 2 CFR 200.306(h)(2), (i), and (j). To qualify as a donation for long-term use, the donation must be evidenced by a recorded deed or use restriction that is effective for at least 10 years after the donation date. If the donated building is renovated with ESG funds, the minimum period of use under Sec. 576.102(c) may increase the period for which the building must be used in the recipient's ESG program. * * * * * 0 87. In Sec. 576.404, add a sentence at the end of paragraph (a) and revise paragraph (b) introductory text to read as follows: Sec. 576.404 Conflicts of interest. (a) * * * Recipients and subrecipients must also maintain written standards of conduct covering organizational conflicts of interest required under 2 CFR 200.318. (b) Individual conflicts of interest. For the procurement of goods and services, the recipient and its subrecipients must comply with 2 CFR 200.317 and 200.318. For all other transactions and activities, the following restrictions apply: * * * * * Sec. 576.406 [Amended] 0 88. Amend Sec. 576.406(e) by: 0 a. Removing ``Solutions ESG funds'' and adding in its place ``ESG funds''; and 0 b. Removing ``(see 24 CFR parts 84 and 85)'' and adding in its place ``(see 2 CFR 200.311)''. 0 89. Revise Sec. 576.407(c) to read as follows: Sec. 576.407 Other Federal requirements. * * * * * (c) Uniform requirements. The requirements of 2 CFR part 200 apply to the recipient and subrecipients, and: (1) Program income may be used as matching contributions, subject to the requirements in Sec. 576.201; (2) The disposition of real property for which ESG funds are used for major rehabilitation, conversion, or other renovation under Sec. 576.102 is governed by the minimum period of use requirements under Sec. 576.102(c). * * * * * 0 90. Amend Sec. 576.500 as follows: 0 a. In paragraph (a), add at the end of the first sentence ``, including those required by 2 CFR part 200''; 0 b. In paragraph (s)(2), remove ``24 CFR part 85 (for governments) and 24 CFR part 84 (for nonprofit organizations)'' and add in its place ``2 CFR part 200''; 0 c. In paragraph (u)(2), remove ``Sec. 576.101-Sec. 576.109 and the cost principles in OMB Circulars A-87 (2 CFR part 225) and A-122 (2 CFR part 230)'' and add in its place ``Sec. Sec. 576.101 through 576.109, financial management in 2 CFR 200.302, and the cost principles in 2 CFR part 200, subpart E''; 0 d. In paragraph (v)(2), remove ``24 CFR 85.36 and 24 CFR 84.40-84.48'' and add in its place ``2 CFR part 200, subpart D''; 0 e. Revise paragraph (z)(1); and 0 f. In paragraph (aa), remove ``24 CFR parts 85 and 91'' and add in its place ``2 CFR part 200 and 24 CFR part 91''. The revision reads as follows: Sec. 576.500 Recordkeeping and reporting requirements. * * * * * (z) * * * (1) Federal Government rights. Notwithstanding the confidentiality procedures established under paragraph (x) of this section, the recipient and its subrecipients must comply with the requirements for access to records in 2 CFR 200.336. * * * * * PART 578--CONTINUUM OF CARE PROGRAM 0 91. The authority citation for part 578 continues to read as follows: Authority: 42 U.S.C. 11371 et seq., 42 U.S.C. 3535(d). Sec. 578.11 [Amended] 0 92. Amend Sec. 578.11 as follows: 0 a. In paragraph (b)(2), remove ``24 CFR 84.21 (for nonprofit organizations) and 24 CFR 85.20 (for States)'' and add in its place ``2 CFR 200.302''; and 0 b. In paragraph (c)(3), remove ``24 CFR parts 84 and 85 and corresponding OMB circulars'' and add in its place ``2 CFR part 200, subpart D''. Sec. 578.63 [Amended] 0 93. Amend Sec. 578.63 as follows: 0 a. In paragraph (a), remove ``OMB Circulars A-87 or A-122, as applicable'' [[Page 75940]] and add in its place ``2 CFR part 200, subpart E''; 0 b. In paragraph (b): 0 i. Remove ``subpart D'' and add in its place ``this subpart''; and 0 ii. Remove ``OMB Circulars A-87 or A-122, as applicable'' and add in its place ``2 CFR part 200, subpart E''. 0 94. Amend Sec. 578.73 as follows: 0 a. In paragraph (b), revise the first sentence; 0 b. In paragraph (c)(2), remove ``24 CFR 84.23 and 85.24'' and add in its place ``2 CFR 200.306, with the exception of Sec. 200.306(b)(5)''. The revision reads as follows: Sec. 578.73 Matching requirements. * * * * * (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. * * * * * * * * Sec. 578.87 [Amended] 0 95. Amend Sec. 578.87(b)(5) by removing ``24 CFR parts 84 and 85'' and adding in its place ``2 CFR 200.311''. Sec. 578.95 [Amended] 0 96. Amend Sec. 578.95(a) by: 0 a. Removing ``codes of conduct'' and adding in its place ``standards of conduct''; and 0 b. Removing ``24 CFR 85.36 (for governments) and 24 CFR 84.42 (for private nonprofit organizations)'' and adding in its place ``2 CFR 200.317 and 200.318''. 0 97. Revise Sec. 578.99(e) and (g) to read as follows: Sec. 578.99 Applicability of other federal requirements. * * * * * (e) Applicability of uniform administrative requirements, cost principles, and audit requirements for Federal awards. The requirements of 2 CFR part 200 apply to recipients and subrecipients, except where inconsistent with the provisions of the McKinney-Vento Act or this part. * * * * * (g) Audit. Recipients and subrecipients must comply with the audit requirements of 2 CFR part 200, subpart F. * * * * * Sec. 578.103 [Amended] 0 98. Amend Sec. 578.103 as follows: 0 a. In paragraph (a)(16)(iii), remove ``24 CFR 85.36 and 24 CFR part 84'' and add in its place ``2 CFR part 200, subpart D''; and 0 b. In paragraph (e), remove ``24 CFR parts 84 and 85'' and add in its place ``2 CFR part 200, subpart D''. Sec. 578.109 [Amended] 0 99. Amend Sec. 578.109(a) by removing ``24 CFR parts 84 and 85'' and adding in its place ``2 CFR part 200, subpart D''. PART 582--SHELTER PLUS CARE 0 100. The authority citation for part 582 continues to read as follows: Authority: 42 U.S.C. 3535(d) and 11403-11407b. 0 101. Amend Sec. 582.340 as follows: 0 a. Revise the heading for paragraph (a) and remove footnote 1; 0 b. Revise paragraph (a)(1); 0 c. In paragraph (a)(2): 0 i. Remove ``24 CFR part 44'' and add in its place ``2 CFR part 200, subpart F''; and 0 ii. Remove ``24 CFR part 45'' and add in its place ``2 CFR part 200, subpart F''; and 0 d. In paragraph (b)(1), add ``(as revised April 1, 2013)'' after ``24 CFR part 85''. The revisions read as follows: Sec. 582.340 Other Federal requirements. * * * * * (a) Uniform requirements. (1) The policies, guidelines, and requirements of 24 CFR part 85 (as revised April 1, 2013) apply to the acceptance and use of assistance under the program by governmental entities and 24 CFR part 84 (as revised April 1, 2013) apply to the acceptance and use of assistance by private nonprofit organizations, except where inconsistent with provisions of the McKinney Act, other Federal statutes, or this part. * * * * * PART 583--SUPPORTIVE HOUSING PROGRAM 0 102. The authority citation for part 583 continues to read as follows: Authority: 42 U.S.C. 11389 and 3535(d). Sec. 583.150 [Amended] 0 103. Amend Sec. 583.150(b)(5) by adding ``(as revised April 1, 2013)'' after ``24 CFR parts 84 and 85''. 0 104. Amend Sec. 583.330 as follows: 0 a. Revise paragraph (c); 0 b. In paragraph (e)(1), add ``(as revised April 1, 2013)'' after ``24 CFR part 85''; and 0 c. In paragraph (f), remove ``24 CFR part 44 or part 45, as applicable'' and add in its place ``2 CFR part 200, subpart F''. The revision reads as follows: Sec. 583.330 Applicability of other Federal requirements. * * * * * (c) Uniform requirements. The policies, guidelines, and requirements of 24 CFR part 85 (as revised April 1, 2013) apply to the award, acceptance, and use of assistance under the program by governmental entities, and 24 CFR part 84 (as revised April 1, 2013) apply to the acceptance and use of assistance by private nonprofit organizations, except where inconsistent with the provisions of the McKinney Act, other Federal statutes, or this part. * * * * * PART 700--CONGREGATE HOUSING SERVICES PROGRAM 0 105. The authority citation for part 700 continues to read as follows: Authority: 42 U.S.C. 3535(d) and 8011. Sec. 700.115 [Amended] 0 106. Amend Sec. 700.115 as follows: 0 a. In paragraph (a)(2), remove ``OMB Cost Policies, i.e., OMB Circular A-87, 24 CFR 85.36, and OMB Circular A-128'' and add in its place ``2 CFR part 200, subpart E''; and 0 b. In paragraph (b)(2)(viii), remove ``OMB Circular A-87 or 122'' and add in its place ``2 CFR part 200, subpart E''. 0 107. Amend Sec. 700.175 as follows: 0 a. Revise paragraph (a); and 0 b. In paragraph (b), remove ``OMB Circular A-87 and 24 CFR part 85'' and add in its place ``2 CFR 200.112 (for all recipients and subrecipients); 200.317 (for recipients and subrecipients that are States); and 200.318(c) and 200.319(a)(5) (for recipients and subrecipients that are not States)''. The revision reads as follows: Sec. 700.175 Other Federal requirements. * * * * * (a) Uniform administrative requirements, cost principles, and audit requirements for Federal awards. The policies, guidelines, and requirements in 2 CFR part 200, including the audit requirements described in subpart F, apply to the acceptance and use of assistance under this program. * * * * * PART 761--DRUG ELIMINATION PROGRAMS 0 108. The authority citation for part 761 continues to read as follows: Authority: 42 U.S.C. 3535(d) and 11901 et seq. [[Page 75941]] Sec. 761.30 [Amended] 0 109. Amend Sec. 761.30(a) by removing ``24 CFR part 85 (as applicable)'' and adding in its place ``2 CFR part 200''. Sec. 761.35 [Amended] 0 110. Amend Sec. 761.35 as follows: 0 a. In paragraph (a)(1), remove ``24 CFR part 85.40(b)(1)(2) and 85.50(b)'' and add in its place ``2 CFR 200.328''; and 0 b. In paragraph (c)(1), remove ``24 CFR part 85.41 (b) and (c)'' and add in its place ``2 CFR 200.327''. Sec. 761.40 [Amended] 0 111. Amend Sec. 761.40(d) introductory text by removing ``24 CFR part 85'' and adding in its place ``2 CFR 200.112 (for all recipients and subrecipients), 200.317 (for recipients and subrecipients that are States), and 200.318(c) and 200.319(a)(5) (for recipients and subrecipients that are not States)''. PART 880--SECTION 8 HOUSING ASSISTANCE PAYMENTS PROGRAM FOR NEW CONSTRUCTION 0 112. The authority citation for part 880 continues to read as follows: Authority: 42 U.S.C. 1437a, 1437c, 1437f, 3535(d), 12701, and 13611-13619. 0 113. Revise Sec. 880.211 to read as follows: Sec. 880.211 Audit. Where a non-Federal entity (as defined in 2 CFR 200.69) is the eligible owner of a project or a contract administrator under Sec. 880.505 receiving financial assistance under this part, the audit requirements in 2 CFR part 200, subpart F, shall apply. PART 881--SECTION 8 HOUSING ASSISTANCE PAYMENTS PROGRAM FOR SUBSTANTIAL REHABILITATION 0 114. The authority citation for part 881 continues to read as follows: Authority: 42 U.S.C. 1437a, 1437c, 1437f, 3535(d), 12701, and 13611-13619. 0 115. Revise Sec. 881.211 to read as follows: Sec. 881.211 Audit. (a) Where a non-Federal entity (as defined in 2 CFR 200.69) is the eligible owner of a project or a contract administrator under Sec. 881.505 receiving financial assistance under this part, the audit requirements in 2 CFR part 200, subpart F, shall apply. PART 882--SECTION 8 MODERATE REHABILITATION PROGRAMS 0 116. The authority citation for part 882 continues to read as follows: Authority: 42 U.S.C. 1437f and 3535(d). Sec. 882.124 [Amended] 0 117. Amend Sec. 882.124 by removing ``24 CFR part 44'' and adding in its place ``2 CFR part 200, subpart F''. Sec. 882.516 [Amended] 0 118. In Sec. 882.516, amend paragraph (e) by removing ``guidelines prescribed by 24 CFR part 44'' and adding in its place ``2 CFR part 200, subpart F''. PART 883--SECTION 8 HOUSING ASSISTANCE PAYMENTS PROGRAM--STATE HOUSING AGENCIES 0 119. The authority citation for part 883 continues to read as follows: Authority: 42 U.S.C. 1437a, 1437c, 1437f, 3535(d), and 13611- 13619. 0 120. Revise Sec. 883.313 to read as follows: Sec. 883.313 Audit. Where housing assistance under the Section 8 Program is provided for projects developed or owned by non-Federal entities (as defined in 2 CFR 200.69), the audit requirements in 2 CFR part 200, subpart F, shall apply. PART 884--SECTION 8 HOUSING ASSISTANCE PAYMENTS PROGRAM, NEW CONSTRUCTION SET-ASIDE FOR SECTION 515 RURAL RENTAL HOUSING PROJECTS 0 121. The authority citation for part 884 continues to read as follows: Authority: 42 U.S.C. 1437a, 1437c, 1437f, 3535(d), and 13611- 13619. 0 122. Revise Sec. 884.124 to read as follows: Sec. 884.124 Audit. Where a non-Federal entity (as defined in 2 CFR 200.69) is the eligible owner of a project, or is a contract administrator under Sec. 884.119 or Sec. 884.120, receiving financial assistance under this part, the audit requirements in 2 CFR part 200, subpart F, shall apply. PART 886--SECTION 8 HOUSING ASSISTANCE PAYMENTS PROGRAM--SPECIAL ALLOCATIONS 0 123. The authority citation for part 886 continues to read as follows: Authority: 42 U.S.C. 1437a, 1437c, 1437f, 3535(d), and 13611- 13619. 0 124. Revise Sec. 886.131 to read as follows: Sec. 886.131 Audit. Where a non-Federal entity (as defined in 2 CFR 200.69) is the eligible owner of a project, or is a contract administrator under Sec. 886.120, receiving financial assistance under this part, the audit requirements in 2 CFR part 200, subpart F, shall apply. 0 125. Revise Sec. 886.336 to read as follows: Sec. 886.336 Audit. Where a non-Federal entity (as defined in 2 CFR 200.69) is the eligible owner of a project receiving financial assistance under this part, the audit requirements in 2 CFR part 200, subpart F, shall apply. PART 891--SUPPORTIVE HOUSING FOR THE ELDERLY AND PERSONS WITH DISABILITIES 0 126. The authority citation for part 891 continues to read as follows: Authority: 12 U.S.C. 1701q; 42 U.S.C. 1437f, 3535(d), and 8013. Sec. 891.160 [Amended] 0 127. Amend Sec. 891.160 by removing ``24 CFR 5.107'' and adding in its place ``2 CFR part 200, subpart F''. Sec. 891.515 [Amended] 0 128. Amend Sec. 891.515 by removing ``24 CFR part 45'' and adding in its place ``2 CFR part 200, subpart F''. PART 902--PUBLIC HOUSING ASSESSMENT SYSTEM 0 129. The authority citation for part 902 continues to read as follows: Authority: 42 U.S.C. 1437d(j), 42 U.S.C. 3535(d). Sec. 902.33 [Amended] 0 130. Amend Sec. 902.33 as follows: 0 a. In paragraph (c), remove ``OMB Circular A-133 (see 24 CFR 85.26)'' and add in its place ``2 CFR part 200, subpart F''; and 0 b. In paragraph (d), remove ``OMB Circular A-133'' and add in its place ``2 CFR part 200, subpart F,''. Sec. 902.60 [Amended] 0 131. Amend Sec. 902.60(c)(1) by removing ``OMB Circular A-133'' and adding in its place ``2 CFR part 200, subpart F,''. Sec. 902.62 [Amended] 0 132. Amend Sec. 902.62(a)(3) by removing ``OMB Circular A-133 (see 24 CFR 85.26)'' and adding in its place ``2 CFR part 200, subpart F''. [[Page 75942]] Sec. 902.64 [Amended] 0 133. Amend Sec. 902.64(c)(2)(iii) by removing ``OMB Circular A-133'' and adding in its place ``2 CFR part 200, subpart F''. Sec. 902.71 [Amended] 0 134. Amend Sec. 902.71(b) by removing ``(see 24 CFR 85.36)'' and adding in its place ``(see 2 CFR 200.319, as applicable)''. PART 905--THE PUBLIC HOUSING CAPITAL FUND PROGRAM 0 135. The authority citation for part 905 continues to read as follows: Authority: 42 U.S.C. 1437g, 42 U.S.C. 1437z-2, 42 U.S.C. 1437z- 7, and 3535(d). Sec. 905.100 [Amended] 0 136. Amend Sec. 905.100(e) by removing ``24 CFR part 85'' and adding in its place ``2 CFR part 200''. Sec. 905.108 [Amended] 0 137. In Sec. 905.108, amend the definition of ``Reasonable cost'' by removing ``24 CFR part 85, and 2 CFR part 225 (codifying OMB Circular A-87)'' and adding in its place ``2 CFR part 200''. Sec. 905.202 [Amended] 0 138. Amend Sec. 905.202(d) by removing ``2 CFR part 225 (codifying OMB Circular A-87)'' and adding in its place ``2 CFR part 200, subpart E''. Sec. 905.308 [Amended] 0 139. Amend Sec. 905.308(a) by removing ``24 CFR part 85 (Administrative Requirements for Grants and Cooperative Agreements to State, Local and Federally Recognized Indian Tribal Governments)'' and adding in its place ``2 CFR part 200''. Sec. 905.310 [Amended] 0 140. Amend Sec. 905.310(a) by removing ``24 CFR 85.21'' and adding in its place ``2 CFR 200.305''. Sec. 905.316 [Amended] 0 141. Amend Sec. 905.316 as follows: 0 a. In paragraph (a), remove ``24 CFR 85.36'' and add in its place ``2 CFR part 200''; and 0 b. In paragraph (d), remove ``24 CFR 85.36(h)'' and add in its place ``24 CFR 85.36 (as revised April 1, 2013)''. Sec. 905.320 [Amended] 0 142. Amend Sec. 905.320(a) by removing ``24 CFR 85.36'' and adding in its place ``2 CFR part 200, subpart D''. Sec. 905.322 [Amended] 0 143. Amend Sec. 905.322(c) by removing ``24 CFR 85.26'' and adding in its place ``2 CFR part 200, subpart F''. Sec. 905.604 [Amended] 0 144. Amend Sec. 905.604 to read as follows: 0 a. In paragraph (h), remove ``24 CFR part 85'' and add in its place ``2 CFR part 200''. 0 b. In paragraph (h)(2), remove ``24 CFR part 85'' everywhere it appears and add in its place ``2 CFR part 200''. PART 943--PUBLIC HOUSING AGENCY CONSORTIA AND JOINT VENTURES 0 145. The authority citation for part 943 continues to read as follows: Authority: 42 U.S.C. 1437k and 3535(d). Sec. 943.148 [Amended] 0 146. Amend Sec. 943.148(b)(2) by removing ``part 84 of this title (if the entity is a nonprofit) or part 85 of this title (if the entity is a State or local government)'' and adding in its place ``2 CFR part 200 (if the entity is a nonprofit or a State or local government)''. Sec. 943.150 [Amended] 0 147. Amend Sec. 943.150 to read as follows: 0 a. In paragraph (a), remove ``part 84 or part 85 of this title'' and add in its place ``2 CFR part 200''; and 0 b. In paragraph (b), remove ``part 85 of this title'' everywhere it appears and add in its place ``2 CFR part 200''. Sec. 943.151 [Amended] 0 148. Amend Sec. 943.151(a) by removing ``part 85 of this title'' and adding in its place ``2 CFR part 200''. PART 963--PUBLIC HOUSING--CONTRACTING WITH RESIDENT-OWNED BUSINESSES 0 149. The authority citation for part 963 continues to read as follows: Authority: 42 U.S.C. 1437 and 3535(d). Sec. 963.1 [Amended] 0 150. Amend Sec. 963.1 by removing ``24 CFR 85.36'' and adding in its place ``24 CFR 85.36 (as revised April 1, 2013)''. Sec. 963.10 [Amended] 0 151. Amend Sec. 963.10(c) by removing ``24 CFR 85.36(b)(8)'' and adding in its place ``24 CFR 85.36(b)(8) (as revised April 1, 2013)''. Sec. 963.12 [Amended] 0 152. Amend Sec. 963.12 as follows: 0 a. In paragraph (a): 0 i. Remove ``24 CFR 85.36(d)'' and add in its place ``24 CFR 85.36(d) (as revised April 1, 2013)''; and 0 ii. Remove ``24 CFR 85.36(b)'' and add in its place ``24 CFR 85.36(b) (as revised April 1, 2013)''; 0 b. In paragraph (b), remove ``24 CFR 85.36(f)'' and add in its place ``24 CFR 85.36(f) (as revised April 1, 2013)''; and 0 c. In paragraph (c): 0 i. Remove ``the contract provisions of 24 CFR 85.36(i); the provisions of 24 CFR 85.36(h), 24 CFR 968.240(d) or 24 CFR 968.335(c)(1)'' and add in its place ``the contract provisions of 24 CFR 85.36(i) (as revised April 1, 2013); the provisions of 24 CFR 85.36(h) (as revised April 1, 2013) or 24 CFR 905.316(d)''; and 0 ii. Remove ``recordkeeping requirements imposed by 24 CFR 85.36(i)'' and add in its place ``recordkeeping requirements imposed by 24 CFR 85.36(i) (as revised April 1, 2013)''. PART 964--TENANT PARTICIPATION AND TENANT OPPORTUNITIES IN PUBLIC HOUSING 0 153. The authority citation for part 964 continues to read as follows: Authority: 42 U.S.C. 1437d, 1437g, 1437r, 3535(d). Sec. 964.230 [Amended] 0 154. Amend Sec. 964.230 as follows: 0 a. In paragraph (a)(1), remove ``OMB Circulars A-110 and A-122'' and add in its place ``2 CFR part 200''; 0 b. In paragraph (b), remove ``OMB Circulars A-110 and A-122'' and add in its place ``2 CFR part 200''. Sec. 964.350 [Amended] 0 155. Amend Sec. 964.350(b) by removing ``OMB Circular Nos. A-110 and A-122'' and adding in its place ``2 CFR part 200''. PART 965--PHA-OWNED OR LEASED PROJECTS--GENERAL PROVISIONS 0 156. The authority citation for part 965 continues to read as follows: Authority: 42 U.S.C. 1437, 1437a, 1437d, 1437g, and 3535(d). Subpart H is also issued under 42 U.S.C. 4821-4846. Sec. 965.205 [Amended] 0 157. Amend Sec. 965.205 as follows: 0 a. In paragraph (b), remove ``24 CFR part 85'' and add in its place ``2 CFR 200.319''; and 0 b. In paragraph (d)(1), remove ``24 CFR part 44'' and add in its place ``2 CFR part 200, subpart F''. [[Page 75943]] Sec. 965.215 [Amended] 0 158. Amend Sec. 965.215(d) by removing ``part 85 of this title'' and adding in its place ``2 CFR part 200''. Sec. 965.308 [Amended] 0 159. Amend Sec. 965.308 as follows: 0 a. In paragraph (a)(1), remove ``24 CFR 85.36(d)(3)'' and ``Sec. 85.36(d)(3)(i) of this title'' and add in their place ``2 CFR 200.320(d)''; and 0 b. In paragraph (a)(2), remove ``24 CFR 85.36(d)(4)(i)(A)'' and add in its place ``2 CFR 200.320(f)''. PART 970--PUBLIC HOUSING PROGRAM--DEMOLITION OR DISPOSITION OF PUBLIC HOUSING PROJECTS 0 160. The authority citation for part 970 continues to read as follows: Authority: 42 U.S.C. 1437p and 3535(d). Sec. 970.1 [Amended] 0 161. Amend Sec. 970.1 by removing ``24 CFR part 85'' and adding in its place ``2 CFR part 200''. PART 982--SECTION 8 TENANT-BASED ASSISTANCE: HOUSING CHOICE VOUCHER PROGRAM 0 162. The authority citation for part 982 continues to read as follows: Authority: 42 U.S.C. 1437f and 3535(d). Sec. 982.159 [Amended] 0 163. Amend Sec. 982.159(b) by removing ``24 CFR part 44'' and adding in its place ``2 CFR part 200, subpart F''. PART 990--THE PUBLIC HOUSING OPERATING FUND PROGRAM 0 164. The authority citation for part 990 continues to read as follows: Authority: 42 U.S.C. 1437g; 42 U.S.C. 3535(d). Sec. 990.190 [Amended] 0 165. Amend Sec. 990.190(d) by removing ``24 CFR part 85'' and adding in its place ``2 CFR part 200, subpart F''. Sec. 990.195 [Amended] 0 166. Amend Sec. 990.195(e) by removing ``24 CFR 85.25'' everywhere it appears and adding in its place ``24 CFR 85.25 (as revised April 1, 2013)''. Sec. 990.280 [Amended] 0 167. Amend Sec. 990.280(b)(2) by removing ``e.g., OMB Circulars'' and adding in its place ``e.g., 2 CFR part 200''. Sec. 990.310 [Amended] 0 168. Amend Sec. 990.310 by removing ``24 CFR 85.20, 85.40, and 85.41'' and adding in its place ``2 CFR part 200''. Sec. 990.320 [Amended] 0 169. Amend Sec. 990.320 by removing ``24 CFR 85.26'' and adding in its place ``2 CFR part 200, subpart F''. PART 1000--NATIVE AMERICAN HOUSING ACTIVITIES 0 170. The authority citation for part 1000 continues to read as follows: Authority: 25 U.S.C. 4101 et seq.; 42 U.S.C. 3535(d). 0 171. Amend Sec. 1000.26 as follows: 0 a. Revise paragraph (a); 0 b. In paragraph (b)(1) introductory text: 0 i. Remove ``Attachment B of OMB Circular A-87'' and add in its place ``2 CFR part 200, subpart E,''; and 0 ii. Remove ``Attachment A of this circular'' and add in its place ``2 CFR part 200, subpart E,''; 0 c. Revise paragraphs (b)(1)(i) and (ii); and 0 d. Add paragraph (b)(1)(iii). The revisions and addition read as follows: Sec. 1000.26 What are the administrative requirements under NAHASDA? (a) Except as addressed in Sec. 1000.28, recipients shall comply with the requirements and standards of 2 CFR part 200, ``Uniform Administrative Requirements, Cost Principles, And Audit Requirements for Federal Awards'', except for the following sections: (1) Section 200.113 applies, except that, in lieu of the remedies described in Sec. 200.338, HUD shall be authorized to seek remedies under subpart F of this part. (2) Section 200.302(a), ``Financial management.'' (3) Section 200.305, ``Payment,'' applies, except that HUD shall not require a recipient to expend retained program income before drawing down or expending IHBG funds. (4) Section 200.306, ``Cost sharing or matching.'' (5) Section 200.307, ``Program income.'' (6) Section 200.308, ``Revision of budget and program plans.'' (7) Section 200.311, ``Real property,'' except as provided in 24 CFR 5.109. (8) Section 200.313, ``Equipment,'' applies, except that in all cases in which the equipment is sold, the proceeds shall be program income. (9) Section 200.314, ``Supplies,'' applies, except in all cases in which the supplies are sold, the proceeds shall be program income. (10) Section 200.317, ``Procurement by states.'' (11) Sections 200.318 through 200.326 apply, as modified in this paragraph (a)(11): (i) De minimis procurement. A recipient shall not be required to comply with 2 CFR 200.318 through 200.326 with respect to any procurement, using a grant provided under NAHASDA, of goods and services with a value of less than $5,000. (ii) Utilizing Federal supply sources in procurement. In accordance with Section 101(j) of NAHASDA, recipients may use Federal supply sources made available by the General Services Administration pursuant to 40 U.S.C. 501. (12) Section 200.325, ``Bonding requirements,'' applies. There may be circumstances under which the bonding requirements of 2 CFR 200.325 are inconsistent with other responsibilities and obligations of the recipient. In such circumstances, acceptable methods to provide performance and payment assurance may include: (i) Deposit with the recipient of a cash escrow of not less than 20 percent of the total contract price, subject to reduction during the warranty period, commensurate with potential risk; (ii) Letter of credit for 25 percent of the total contract price, unconditionally payable upon demand of the recipient, subject to reduction during any warranty period commensurate with potential risk; or (iii) Letter of credit for 10 percent of the total contract price, unconditionally payable upon demand of the recipient, subject to reduction during any warranty period commensurate with potential risk, and compliance with the procedures for monitoring of disbursements by the contractor. (13) Section 200.328(b) through (d) and (f), ``Monitoring and reporting program performance.'' (14) Section 200.333, ``Retention requirements for records.'' (15) Section 200.338, ``Remedies for noncompliance.'' (16) Section 200.343, ``Closeout.'' (b) * * * (1) * * * (i) Depreciation method for fixed assets shall not be changed without the approval of the Federal cognizant agency. (ii) Penalties, damages, fines and other settlements are unallowable costs to the IHBG program. (iii) Costs of housing (e.g., depreciation, maintenance, utilities, furnishings, rent), housing allowances [[Page 75944]] and personal living expenses (goods or services for personal use), regardless of whether reported as taxable income to the employees (2 CFR 200.445) requires HUD prior approval. * * * * * Sec. 1000.30 [Amended] 0 172. Amend Sec. 1000.30(a) by removing ``24 CFR 85.36'' in the two places where it appears and adding in its place ``2 CFR 200.318''. Sec. 1000.52 [Amended] 0 173. Amend Sec. 1000.52 as follows: 0 a. In paragraph (c)(2)(iii), remove ``24 CFR 85.36'' and add in its place ``2 CFR 200.318 through 200.326''; and 0 b. In paragraph (c)(3): 0 i. Remove ``24 CFR 85.36'' in the two places where it appears and add in its place ``2 CFR 200.320''; and 0 ii. Remove ``of paragraph (c)(1) of this section''. Sec. 1000.503 [Amended] 0 174. Amend Sec. 1000.503 as follows: 0 a. In paragraph (a)(4), remove ``Office of Management and Budget (OMB) Circular A-133 audits'' and add in its place ``audits under 2 CFR part 200, subpart F''; 0 b. In paragraph (a)(5), remove ``OMB Circular A-133'' and add in its place ``2 CFR part 200, subpart F,''; and 0 c. In paragraph (a)(6), remove ``OMB Circular A-133'' and add in its place ``2 CFR part 200, subpart F,''. Sec. 1000.544 [Amended] 0 175. Amend Sec. 1000.544 by: 0 a. Removing ``including OMB Circular A-133'' and adding in its place ``implemented by 2 CFR part 200, subpart F''; and 0 b. Removing ``in OMB Circular A-133, subpart B, section 200'' and adding in its place ``in 2 CFR 200.501''. 0 176. Revise Sec. 1000.548 to read as follows: Sec. 1000.548 Must a copy of the recipient's audit pursuant to the Single Audit Act relating to NAHASDA activities be submitted to HUD? No. A copy of the recipient audit under the Single Audit Act relating to NAHASDA activities is only required to be submitted to the Federal Audit Clearinghouse pursuant to 2 CFR part 200, subpart F. PART 1003--COMMUNITY DEVELOPMENT BLOCK GRANTS FOR INDIAN TRIBES AND ALASKA NATIVE VILLAGES 0 177. The authority citation for part 1003 continues to read as follows: Authority: 42 U.S.C. 3535(d) and 5301 et seq. Sec. 1003.4 [Amended] 0 178. In Sec. 1003.4, amend the definition of ``Subrecipient'' by: 0 a. Removing ``Sec. 1003.201(o)'' and adding in its place ``Sec. 1003.201(l)''; and 0 b. Removing ``24 CFR 85.36 or in 24 CFR part 84, as applicable'' and adding in its place ``2 CFR 200.318 through 200.326''. Sec. 1003.206 [Amended] 0 179. Amend Sec. 1003.206 as follows: 0 a. In paragraph (a)(4): 0 i. Remove ``or use allowances for such items in accordance with OMB Circulars A-21, A-87 or A-122, as applicable'' and add in its place ``for such items in accordance with 2 CFR part 200, subpart E''; and 0 ii. Remove ``(OMB Circulars are available from the Executive Office of the President, Publication Service, 725 17th Street NW., Suite G-2200, Washington, DC 20503, Telephone, 202-395-7332.)''; and 0 b. In paragraph (c), remove ``OMB Circular A-21, A-87, or A-122, as applicable'' and add in its place ``2 CFR part 200, subpart E''. Sec. 1003.207 [Amended] 0 180. Amend Sec. 1003.207 as follows: 0 a. In paragraph (a)(2), remove ``OMB Circular A-87'' and add in its place ``2 CFR part 200, subpart E''; and 0 b. In paragraph (b)(1)(i), remove ``leasing, depreciation or use allowances pursuant to OMB Circular A-21, A-87 or A-122 as applicable'' and add in its place ``leasing or depreciation pursuant to 2 CFR part 200, subpart E,''. 0 181. Amend Sec. 1003.501 as follows: 0 a. Revise paragraph (a); 0 b. Remove paragraph (b) and redesignate paragraph (c) as paragraph (b); 0 c. Revise the heading of newly redesignated paragraph (b); 0 d. In newly redesignated paragraph (b)(1): 0 i. Remove ``Attachment B of OMB Circulars A-21, A-87, or A-123, as applicable,'' and add in its place ``2 CFR part 200, subpart E''; and 0 ii. Remove ``Attachment A of such circulars'' and add in its place ``2 CFR part 200, subpart E,''. 0 e. In newly redesignated paragraph (b)(1)(i), remove ``specific approval of HUD or, if charged through a cost allocation plan,'' and add in its place ``the approval of''; 0 f. In newly redesignated paragraph (b)(1)(ii), remove ``and penalties'' and add in its place ``, penalties, damages, and other settlements''; and 0 g. Add paragraphs (b)(1)(iii) and (iv). The revision and additions read as follows: Sec. 1003.501 Applicability of uniform administrative requirements and cost principles. (a) Grantees and subrecipients shall comply with the requirements and standards of 2 CFR part 200, except for the following sections: (1) Paragraph (a) of Sec. 200.302, ``Financial management.'' (2) Section 200.306, ``Cost sharing or matching.'' (3) Section 200.307, ``Program income'' applies as modified by Sec. 1003.503. (4) Section 200.308, ``Revisions of budget and program plans.'' (5) Section 200.311, ``Real property,'' except as provided in Sec. 1003.600. (6) Section 200.313, ``Equipment'' applies, except that in all cases in which the equipment is sold, the proceeds shall be program income. (7) Section 200.314, ``Supplies,'' applies, except in all cases in which the supplies are sold, the proceeds shall be program income. (8) Section 200.325, ``Bonding requirements'' applies. However, there may be circumstances under which the bonding requirements of 2 CFR 200.325 are inconsistent with other responsibilities and obligations of the grantee. In such circumstances, acceptable methods to provide performance and payment assurance may include: (i) Deposit with the grantee of a cash escrow of not less than 20 percent of the total contract price, subject to reduction during the warranty period, commensurate with potential risk; or (ii) Letter of credit for 25 percent of the total contract price, unconditionally payable upon demand of the grantee, subject to reduction during the warranty period commensurate with potential risk. (9) Paragraphs (b) through (d) and (f) of Sec. 200.328, ``Monitoring and reporting program performance.'' (10) Section 200.333, ``Retention requirements for records'' applies. However, the retention period referenced in 2 CFR 200.333 pertaining to individual ICDBG activities starts from the date of the submission of the final status and evaluation report as prescribed in Sec. 1003.506(a) in which the specific activity is reported. (11) Section 200.343, ``Closeout.'' (b) Cost principles. (1)* * * (iii) Costs of housing (e.g., depreciation, maintenance, utilities, furnishings, rent), housing allowances and personal living expenses (goods or [[Page 75945]] services for personal use), regardless of whether reported as taxable income to the employees (2 CFR 200.445), require HUD prior approval. (iv) Organization costs (2 CFR 200.455) require HUD prior approval. 0 182. Amend Sec. 1003.502 as follows: 0 a. In paragraph (b)(3), remove ``Sec. 85.25'' and add in its place ``2 CFR 200.307''. 0 b. Revise paragraph (b)(7). The revision reads as follows: Sec. 1003.502 Agreements with subrecipients. * * * * * (b) * * * (7) Suspension and termination. The agreement shall set forth remedies for noncompliance and provisions on termination in accordance with 2 CFR part 200, subpart D. * * * * * Sec. 1003.503 [Amended] 0 183. Amend Sec. 1003.503 as follows: 0 a. In paragraph (a), remove ``24 CFR 85.25'' and add in its place ``2 CFR 200.307''; 0 b. In paragraph (b)(6), remove ``24 CFR 85.25'' and add in its place ``2 CFR 200.307''; and 0 c. In paragraph (b)(7), remove ``24 CFR 85.25(g)(2)'' and add in its place ``2 CFR 200.307(e)(2)''. Sec. 1003.507 [Amended] 0 184. Amend Sec. 1003.507 by removing ``24 CFR 85.42(f)'' and adding in its place ``2 CFR 200.337''. Sec. 1003.508 [Amended] 0 185. Amend Sec. 1003.508 as follows: 0 a. In paragraph (b)(4), remove ``24 CFR part 44'' and add in its place ``2 CFR part 200, subpart F''; 0 b. In paragraph (d), remove ``24 CFR 85.44'' and add in its place ``2 CFR 200.339''; and 0 c. In paragraph (e), remove ``24 CFR 85.43(c)'' and add in its place ``2 CFR 200.342''. Sec. 1003.509 [Amended] 0 186. Amend Sec. 1003.509(e) by removing ``24 CFR 85.36'' and adding in its place ``2 CFR part 200, subpart D,''. Sec. 1003.510 [Amended] 0 187. Amend Sec. 1003.510 as follows: 0 a. In paragraph (d)(2)(iii), remove ``24 CFR 85.36'' and add in its place ``2 CFR 200.320''; 0 b. In paragraph (d)(3), remove ``24 CFR 85.36'' in the two places where it appears and add in their place ``2 CFR 200.320''. Sec. 1003.511 [Amended] 0 188. Amend Sec. 1003.511(a)(2) by removing ``24 CFR 85.36'' and adding in its place ``2 CFR part 200, subpart D''. Sec. 1003.600 [Amended] 0 189. Amend Sec. 1003.600(f) by removing ``24 CFR parts 84 and 85'' and adding in its place ``2 CFR 200.311(c).'' Sec. 1003.606 [Amended] 0 190. Amend Sec. 1003.606 as follows: 0 a. In paragraph (a)(1), remove ``24 CFR 85.36 and 24 CFR 84.42'' and add in its place ``2 CFR 200.112, 200.318(c), and 200.319(a)(5)''; and 0 b. In paragraph (a)(2), remove ``24 CFR 85.36 and 24 CFR 84.42'' and add in its place ``2 CFR 200.318''. PART 1006--NATIVE HAWAIIAN HOUSING BLOCK GRANT PROGRAM 0 191. The authority citation for part 1006 continues to read as follows: Authority: 25 U.S.C. 4221 et seq.; 42 U.S.C. 3535(d). Sec. 1006.230 [Amended] 0 192. Amend Sec. 1006.230(d) by removing ``OMB Circulars A-87 or A-122 as applicable'' and adding in its place ``2 CFR part 200, subpart E''. Sec. 1006.340 [Amended] 0 193. Amend Sec. 1006.340(b)(3) by removing ``24 CFR part 85'' and adding in its place ``2 CFR 200.305''. Sec. 1006.360 [Amended] 0 194. Amend Sec. 1006.360 by removing ``24 CFR 85.36 or 24 CFR 84.42'' and adding in its place ``2 CFR 200.317 (for DHHL) and 2 CFR 200.318 (for subrecipients)''. Sec. 1006.365 [Amended] 0 195. Amend Sec. 1006.365(b) by removing ``24 CFR 85.36'' and adding in its place ``2 CFR part 200, subpart D,''. 0 196. Revise Sec. 1006.370 to read as follows: Sec. 1006.370 Uniform administrative, requirements, cost principles, and audit requirements for Federal awards. (a) The DHHL and subrecipients receiving NHHBG funds shall comply with the requirements and standards of 2 CFR part 200, ``Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards''. (b)(1) With respect to the applicability of cost principles, all items of cost listed in 2 CFR part 200, subpart E, which require prior Federal agency approval are allowable without the prior approval of HUD to the extent that they comply with the general policies and principles stated in 2 CFR part 200, subpart E, and are otherwise eligible under this part, except for the following: (i) Depreciation methods for fixed assets shall not be changed without the approval of the Federal cognizant agency. (ii) Fines, penalties, damages, and other settlements are unallowable costs to the NHHBG program. (iii) Costs of housing (e.g., depreciation, maintenance, utilities, furnishings, rent), housing allowances and personal living expenses (goods or services for personal use) regardless of whether reported as taxable income to the employees (2 CFR 200.445). (iv) Organization costs (2 CFR 200.455). (2) In addition, no person providing consultant services in an employer-employee type of relationship shall receive funds. In no event, however, shall such compensation exceed the equivalent of the daily rate paid for Level IV of the Executive Schedule. The Executive Pay Schedule may be obtained by https://www.opm.gov/policy-data-oversight/pay-leave/salaries-wages. Sec. 1006.375 [Amended] 0 197. Amend Sec. 1006.375(d) by: 0 a. Removing ``OMB Circular A-133'' and adding in its place ``2 CFR part 200, subpart F''; and 0 b. Removing ``HUD concurrent with submittal to the Audit Clearinghouse'' and adding in its place ``the Federal Audit Clearinghouse''. Sec. 1006.420 [Amended] 0 198. Amend Sec. 1006.420(b)(3) by removing ``the DHHL'' and adding in its place ``the DHHL, including their retention under 2 CFR 200.333, noting that the NHHBG Annual Performance Report is the program's final expenditure report''. Dated: October 28, 2015. Juli[aacute]n Castro, Secretary. [FR Doc. 2015-29692 Filed 12-4-15; 8:45 am] BILLING CODE 4210-67-P
![Federal Register / Vol. 80, No. 234 / Monday, December 7, 2015 / Rules and Regulations 75931
DEPARTMENT OF HOUSING AND ‘‘Federal Awarding Agency Regulatory • Focusing on performance over
URBAN DEVELOPMENT Implementation of Office of compliance for accountability;
Management and Budget’s Uniform • Encouraging efficient use of
24 CFR Parts 4, 5, 92, 115, 125, 135, Administrative Requirements, Cost information technology (IT)/shared
200, 202, 214, 236, 242, 248, 266, 401, Principles, and Audit Requirements for services;
570, 573, 574, 576, 578, 582, 583, 700, Federal Awards.’’ In the joint interim • Providing for consistent treatment
761, 880, 881, 882, 883, 884, 886, 891, rule, HUD and all other Federal award- of costs;
902, 905, 943, 963, 964, 965, 970, 982, making agencies implemented OMB’s • Limiting allowable costs for the best
990, 1000, 1003, and 1006 final guidance entitled, ‘‘Uniform use of Federal resources;
[Docket No. FR–5783–F–02] Administrative Requirements, Cost • Incorporating standard business
Principles, and Audit Requirements for processes using data definitions;
RIN 2501–AD66 Federal Awards’’ (Uniform Guidance)
• Strengthening oversight; and
published on December 26, 2013 (78 FR
Uniform Administrative Requirements, 78589). The Uniform Guidance followed • Targeting audit requirements on
Cost Principles, and Audit publication of a Notice of Proposed risk of waste, fraud, and abuse.
Requirements for Federal Awards: Guidance published on February 1, The Uniform Guidance also
Conforming Amendments 2013 (78 FR 7282), and an Advance streamlines audit procedures by:
AGENCY: Office of the Secretary, HUD. Notice of Proposed Guidance published • Raising the Single Audit threshold
ACTION: Final rule. on February 28, 2012 (77 FR 11778), and from $500,000 to $750,000;
incorporated public comments received • Raising the questioned cost limit in
SUMMARY: On December 19, 2014, the on those two documents. The Uniform Single Audits from $10,000 to $25,000;
Office of Management and Budget Guidance is codified at 2 CFR part 200. and
(OMB) published a joint, OMB’s Uniform Guidance provides a • Requiring assessment of
Governmentwide interim rule with all Governmentwide framework for Federal Governmentwide audit quality to be
Federal award-making agencies, entitled grant management designed to reduce conducted every 6 years (beginning in
‘‘Federal Awarding Agency Regulatory administrative burden for non-Federal 2018).
Implementation of Office of entities receiving Federal awards, while
Management and Budget’s Uniform reducing the risk of waste, fraud, and A. Applicability of Uniform Guidance to
Administrative Requirements, Cost abuse. The Uniform Guidance HUD Grantees
Principles, and Audit Requirements for establishes requirements and In the December 19, 2014, joint,
Federal Awards.’’ In that rule, all responsibilities for all Federal agencies interim rule, HUD adopted and codified
Federal award-making agencies, that award Federal financial assistance the Uniform Guidance as requirements
including HUD, implemented the and all non-Federal entities that receive for Federal awards at a new part, 2 CFR
Uniform Administrative Requirements, Federal awards. In developing the part 2400. HUD also amended 24 CFR
Cost Principles, and Audit Uniform Guidance, OMB consolidated parts 84 and 85, which had codified
Requirements for Federal Awards. HUD existing OMB circulars into a single set OMB Circulars superseded by 2 CFR
also amended its administrative of requirements. OMB circulars part 200, by removing all substantive
requirements for grants and cooperative consolidated and superseded by the provisions and including a saving
agreements. This final rule conforms Uniform Guidance include: provision that provides that Federal
HUD’s regulations to OMB’s rule, • A–21, ‘‘Cost Principles for awards made prior to December 26,
revises cross references within affected Educational Institutions’’; 2014, will continue to be governed by
HUD regulations, and makes other • A–87, ‘‘Cost Principles for State, parts 84 or 85 as codified in the 2013
conforming changes and corrections. Local and Indian Tribal Governments’’; edition of the Code of Federal
DATES: Effective Date: January 6, 2016. • A–102, ‘‘Grant Awards and Regulations (CFR) or as provided under
FOR FURTHER INFORMATION CONTACT: Cooperative Agreements with State and the terms of the Federal award.
Scott Moore, Financial Operations Local Governments’’; HUD implemented OMB Circular A–
Analyst, Office of the Chief Financial • A–110, ‘‘Uniform Administrative 102 in 1988, by codifying its provisions
Officer, Financial Policy & Procedures Requirements for Awards and Other in 24 CFR part 85 (March 11, 1988, 53
Division, 451 7th Street SW., Room Agreements with Institutions of Higher FR 8025, 8650). In 1994, HUD
3210, Washington, DC 20410, telephone Education, Hospitals, and Other implemented OMB Circular A–110 by
number 202–402–2277, or Loyd LaMois, Nonprofit Organizations’’; and codifying its provisions in 24 CFR part
Supervisory Program Analyst, Office of • A–133, ‘‘Audits of States, Local 84 (September 13, 1994, 59 FR 47011).
Strategic Planning and Management, Governments and Non-Profit HUD codified the provisions of OMB
451 7th Street SW., Room 3156, Organizations’’. Circular A–133 in 24 CFR parts 84 and
Washington, DC 20410, telephone The Uniform Guidance also replaces 85 in 1997 (November 18, 1997, 62 FR
number 202–402–3964. These are not a provisions of OMB circulars that relate 61617). In the intervening years since
toll-free numbers. Persons with hearing to Single Audit Act audits. OMB’s codifying the guidance in these
or speech impairments may access these consolidation of prior guidance was circulars, HUD has cross-referenced
numbers through TTY by calling the aimed at eliminating duplicative or applicable provisions of 24 CFR parts 84
Federal Relay Service, toll-free, at 800– nearly duplicative language in order to and 85 throughout program regulations.
877–8339. clarify existing guidance. The Uniform Because HUD has implemented 2 CFR
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SUPPLEMENTARY INFORMATION: Guidance does not broaden the scope of part 200 and removed, with certain
applicability of the guidance exceptions, 24 CFR parts 84 and 85, this
I. Background superseded. final rule conforms 24 CFR to the
On December 19, 2014 (79 FR 75867), The policy reforms brought about by Uniform Guidance by removing
OMB published a joint, the Uniform Guidance include: references to 24 CFR parts 84 and 85
Governmentwide interim rule of all • Eliminating duplicative/conflicting and replacing them with corresponding
Federal award-making agencies entitled, guidance; references to 2 CFR part 200.
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24 CFR Part 883 24 CFR Part 982 PART 5—GENERAL HUD PROGRAM
Grant programs—housing and REQUIREMENTS; WAIVERS
Grant programs—housing and
community development, Rent community development, Grant
subsidies, Reporting and recordkeeping programs—Indians, Indians, Public ■ 4. The authority citation for part 5
requirements. housing, Rent subsidies, Reporting and continues to read as follows:
recordkeeping requirements. Authority: 42 U.S.C. 1437a, 1437c, 1437d,
24 CFR Part 884 1437f, 1437n, 3535(d), Sec. 327, Pub. L. 109–
24 CFR Part 990
115, 119 Stat. 2936, and Sec. 607, Pub. L.
Grant programs—housing and Accounting, Grant programs—housing 109–162, 119 Stat. 3051.
community development, Rent and community development, Public
subsidies, Reporting and recordkeeping housing, Reporting and recordkeeping § 5.107 [Amended]
requirements, Rural areas. requirements. ■ 5. Amend § 5.107 by removing
24 CFR Part 886 24 CFR Part 1000 ‘‘revised OMB Circular A–133, ‘Audits
Grant programs—housing and of States, Local Governments and Non-
Aged, Community development block
community development, Lead profit Organizations’ (see 24 CFR
grants, Grant programs—housing and
poisoning, Rent subsidies, Reporting 84.26)’’ and adding in its place ‘‘2 CFR
community development, Grant
and recordkeeping requirements. part 200, subpart F’’.
programs—Indians, Indians, Individuals
24 CFR Part 891 with disabilities, Public housing, § 5.109 [Amended]
Reporting and recordkeeping
Aged, Grant programs—housing and requirements. ■ 6. Amend § 5.109(g) by removing
community development, Individuals ‘‘(see, e.g., 24 CFR parts 84 and 85)’’ and
24 CFR Part 1003 adding in its place ‘‘(see, e.g., 2 CFR
with disabilities, Loan programs—
housing and community development, Alaska, Community development 200.311)’’.
Rent subsidies, Reporting and block grants, Grant programs—housing
and community development, Grant § 5.801 [Amended]
recordkeeping requirements.
programs—Indians, Indians, Reporting ■ 7. Amend § 5.801(d)(1) by removing
24 CFR Part 902 and recordkeeping requirements. ‘‘OMB Circular A–133 (See 24 CFR
Administrative practice and 24 CFR Part 1006 84.26)’’ and adding in its place ‘‘2 CFR
procedure, Public housing, Reporting part 200, subpart F’’.
Community development block
and recordkeeping requirements.
grants, Grant programs—housing and § 5.1003 [Amended]
24 CFR Part 905 community development, Grant
programs—Indians, Hawaiian Natives, ■ 8. Amend § 5.1003 by removing ‘‘Data
Grant programs—housing and Low and moderate income housing, Universal Numbering System (DUNS)’’
community development, Public Reporting and recordkeeping and ‘‘DUNS number’’ wherever they
housing, Reporting and recordkeeping requirements. appear and adding in their place
requirements. ‘‘unique entity identifier’’.
Accordingly, for the reasons described
24 CFR Part 943 in the preamble, HUD amends title 24 ■ 9. Amend § 5.1004 as follows:
CFR parts 4, 5, 92, 115, 125, 135, 200, ■ a. Revise the section heading; and
Public housing, Reporting and
202, 214, 236, 242, 248, 266, 401, 570,
recordkeeping requirements. ■ b. Remove ‘‘Central Contractor
573, 574, 576, 578, 582, 583, 700, 761,
Registration (CCR)’’ and ‘‘CCR’’ and add
24 CFR Part 963 880, 881, 882, 883, 884, 886, 891, 902,
in their place ‘‘System of Award
905, 943, 963, 964, 965, 970, 982, 990,
Grant programs—housing and Management (SAM)’’ and ‘‘SAM in
1000, 1003, and 1006, as follows:
community development, Public accordance with 2 CFR part 25,
housing, Reporting and recordkeeping PART 4—HUD REFORM ACT appendix A’’, respectively.
requirements. The revision reads as follows:
■ 1. The authority citation for part 4
24 CFR Part 964 continues to read as follows: § 5.1004 System of award management.
Grant programs—housing and Authority: 42 U.S.C. 3535(d), 3537a, 3545. * * * * *
community development, Public ■ 2. Revise § 4.5(a) to read as follows:
housing, Reporting and recordkeeping PART 92—HOME INVESTMENT
requirements. § 4.5 Notice and documentation of PARTNERSHIPS PROGRAM
assistance subject to section 102(a).
24 CFR Part 965 ■ 10. The authority citation for part 92
(a) Notice. Before the Department
Government procurement, Grant solicits an application for assistance continues to read as follows:
programs—housing and community subject to Section 102(a), it will post a Authority: 42 U.S.C. 3535(d) and 12701–
development, Lead poisoning, Loan notice describing application 12839
programs—housing and community procedures and selection criteria not
§ 92.2 [Amended]
development, Public housing, Reporting less than 30 calendar days before the
and recordkeeping requirements, deadline by which applications must be ■ 11. In § 92.2, amend paragraph (6) of
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Utilities. submitted. the definition of ‘‘Community housing
24 CFR Part 970 * * * * * development organization,’’ by
removing ‘‘24 CFR 84.21, ‘Standards for
Grant programs—housing and § 4.9 [Amended] Financial Management Systems;’ ’’ and
community development, Public ■ 3. Amend § 4.9(a)(1)(iii) by removing adding in its place ‘‘2 CFR 200.302,
housing, Reporting and recordkeeping ‘‘24 CFR part 85’’ and adding in its ‘Financial Management’ and 2 CFR
requirements. place ‘‘2 CFR 200.80’’. 200.303, ‘Internal Controls;’ ’’.
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![Federal Register / Vol. 80, No. 234 / Monday, December 7, 2015 / Rules and Regulations 75935
§ 92.64 [Amended] Investment Trust Fund. Interest earned CFR 200.302’’ at the end of the
■ 12. Amend § 92.64(a)(2)(ii) by after 15 days belongs to the United paragraph.
removing ‘‘24 CFR 85.21’’ and adding in States and must be remitted to the
United States as provided in 2 CFR § 92.551 [Amended]
its place ‘‘2 CFR 200.305’’.
200.305(b)(9), except interest amounts ■ 26. Amend § 92.551(c)(2) by:
§ 92.204 [Amended] up to $500 per year may be retained for ■ a. Removing ‘‘24 CFR 85.12’’ and
■ 13. Amend § 92.204(a)(2)(ii) by administrative expenses. adding in its place ‘‘2 CFR 200.207’’;
removing ‘‘24 CFR 85.21’’ and adding in * * * * * and
its place ‘‘2 CFR 200.305’’. ■ b. Adding ‘‘, including remedies
§ 92.504 [Amended] under 2 CFR 200.338’’ at the end of the
§ 92.207 [Amended] ■ 21. Amend § 92.504 as follows: paragraph.
■ 14. Amend § 92.207(e) by removing ■ a. In paragraph (c)(1)(x) by:
‘‘OMB Circulars A–87 or A–122, as ■ i. Removing ‘‘24 CFR 85.43’’ and PART 115—CERTIFICATION AND
applicable’’ and adding in its place ‘‘2 adding in its place ‘‘2 CFR 200.338’’; FUNDING OF STATE AND LOCAL FAIR
CFR part 200, subpart E.’’ ■ ii. Removing ‘‘for convenience’’ and HOUSING ENFORCEMENT AGENCIES
adding in its place ‘‘in whole or in
§ 92.214 [Amended] part’’; and ■ 27. The authority citation for part 115
■ iii. Removing ‘‘24 CFR 85.44’’ and continues to read as follows:
■ 15. Amend § 92.214(b)(2) by removing
‘‘2 CFR part 225 (OMB Circular A–87, adding in its place ‘‘2 CFR 200.339’’; Authority: 42 U.S.C. 3601–19; 42 U.S.C.
entitled ‘Cost Principles for State, Local and 3535(d).
and Indian Tribal Governments’)’’ and ■ b. In paragraph (c)(2)(ix) by:
■ 28. Revise § 115.308(e) to read as
adding in its place ‘‘2 CFR 200.406’’. ■ i. Removing ‘‘24 CFR 85.43’’ and
follows:
adding in its place ‘‘2 CFR 200.338’’;
§ 92.220 [Amended] ■ ii. Removing ‘‘for convenience’’ and § 115.308 Reporting and recordkeeping
■ 16. Amend § 92.220(a)(1)(ii) by adding in its place ‘‘in whole or in requirements.
removing ‘‘24 CFR 85.26(b)’’ and adding part’’; and * * * * *
in its place ‘‘2 CFR 200.80’’. ■ iii. Removing ‘‘24 CFR 85.44’’ and (e) All files will be kept in such
adding in its place ‘‘2 CFR 200.339’’. fashion as to permit audits under 2 CFR
§ 92.257 [Amended] ■ 22. Revise § 92.505 to read as follows. part 200, subpart F.
■ 17. Amend § 92.257(e) by removing § 92.505 Applicability of uniform
‘‘(see 24 CFR parts 84 and 85)’’ and PART 125—FAIR HOUSING
administrative requirements.
adding in its place ‘‘(see 2 CFR INITIATIVES PROGRAM
The requirements of 2 CFR part 200
200.311)’’.
apply to participating jurisdictions, ■ 29. The authority citation for part 125
§ 92.351 [Amended] State recipients, and subrecipients continues to read as follows:
receiving HOME funds, except for the
■ 18. Amend § 92.351(b) by removing Authority: 42 U.S.C. 3535(d), 3616 note.
following provisions: §§ 200.306,
‘‘Section 85.36(e) of this title’’ and 200.307, 200.308 (not applicable to § 125.104 [Amended]
replacing with ‘‘Section 200.321 of title participating jurisdictions), 200.311
2 Code of Federal Regulations’’. ■ 30. Amend § 125.104(g) by removing
(except as provided in § 92.257),
‘‘part 44 or part 45, as appropriate, of
§ 92.356 [Amended] 200.312, 200.329, 200.333, and 200.334.
this title’’ and adding in its place ‘‘2
The provisions of 2 CFR 200.305 apply
■ 19. Amend § 92.356(a) by: CFR part 200, subpart F.’’
as modified by § 92.502(c). If there is a
■ a. Removing ‘‘24 CFR 85.36 and 24 conflict between definitions in 2 CFR
CFR 84.42, respectively,’’ and adding in PART 135—ECONOMIC
part 200 and 24 CFR part 92, the OPPORTUNITIES FOR LOW- AND
its place ‘‘2 CFR 200.317 and 2 CFR definitions in 24 CFR part 92 govern.
200.318’’; and VERY LOW-INCOME PERSONS
■ b. Removing ‘‘24 CFR 85.36 and 24 § 92.506 [Amended]
CFR 84.42’’ and adding in its place ‘‘2 ■ 31. The authority citation for part 135
■ 23. Amend § 92.506 by removing ‘‘24 continues to read as follows:
CFR 200.317 and 200.318’’. CFR 84.26 and 85.26’’ and adding in its
■ 20. Revise § 92.502(c)(2) to read as Authority: 12 U.S.C. 1701u; 42 U.S.C.
place ‘‘2 CFR part 200, subpart F’’. 3535(d).
follows: ■ 24. Revise § 92.507 to read as follows:
§ 135.11 [Amended]
§ 92.502 Program disbursement and § 92.507 Closeout.
information system. ■ 32. Amend § 135.11 as follows:
HOME funds will be closed out in
* * * * * accordance with 2 CFR part 200, subpart ■ a. In paragraph (a), remove ‘‘(24 CFR
(c) * * * D. 85.36)’’ from the paragraph heading and
(2) HOME funds drawn from the add in its place ‘‘2 CFR part 200,
United States Treasury account must be § 92.508 [Amended] subpart D’’;
expended for eligible costs within 15 ■ 25. Amend § 92.508 as follows: ■ b. In paragraph (a)(1), remove ‘‘24 CFR
days. Any interest earned within the 15- ■ a. In paragraph (a)(3)(ii) remove ‘‘24 85.36(c)’’ and ‘‘24 CFR 85.36(c)(2)’’ and
day period may be retained by the CFR 85.20’’ and add in its place ‘‘2 CFR add in their place ‘‘2 CFR 200.319’’;
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participating jurisdiction as HOME 200.302’’; ■ c. In paragraph (a)(2), remove ‘‘24 CFR
funds. Any funds that are drawn down ■ b. In paragraph (a)(5)(i) add ‘‘, in 85.36(d)’’ and add in its place ‘‘2 CFR
and not expended for eligible costs accordance with 2 CFR 200.302,’’ after 200.320’’; and
within 15 days of the disbursement ‘‘Records’’; and ■ d. In paragraph (b), remove ‘‘OMB
must be returned to HUD for deposit in ■ c. In paragraph (a)(5)(iv) remove ‘‘, in Circular No. A–110’’ everywhere it
the participating jurisdiction’s United accordance with 24 CFR 85.20,’’ and appears and add in its place ‘‘2 CFR part
States Treasury account of the HOME add ‘‘and other records required by 2 200, subpart D’’.
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§ 135.36 [Amended] § 214.103 [Amended] § 248.101 [Amended]
■ 33. Amend § 135.36(c) by removing ■ 40. Amend § 214.103 as follows: ■ 48. In § 248.101, amend paragraph (6)
‘‘24 CFR 85.36 (see 24 CFR ■ a. In paragraph (e), remove ‘‘24 CFR of the definition of ‘‘Community-Based
85.36(b)(8)).)’’ and adding in its place ‘‘2 1.6, 24 CFR 84.21, and 24 CFR 121’’ and Nonprofit Organization’’ by removing
CFR 200.318(h).)’’. add in its place ‘‘2 CFR part 200, ‘‘Attachment F of OMB Circular No. A–
subpart D, 24 CFR 1.6, and 24 CFR part 110 (Rev.) ‘Standards for Financial
Appendix to Part 135 [Amended] 121’’; Management Systems’ ’’ and adding in
■ 34. Amend the appendix to part 135 ■ b. In paragraph (i)(2), remove ‘‘24 CFR its place ‘‘2 CFR 200.302 and 200.303’’.
as follows: part 84 (Uniform Administrative
Requirements for Grants and § 248.173 [Amended]
■ a. In section III, introductory text,
remove ‘‘24 CFR 85.36(d)’’ and add in Agreements with Institutions of Higher ■ 49. Amend § 248.173(q) by removing
its place ‘‘2 CFR 200.320’’; and Education, Hospitals, and Other Non- ‘‘part 45 of this title’’ and adding in its
■ b. In section III, paragraph (3)(i),
Profit Organizations) and 24 CFR part 85 place ‘‘2 CFR part 200, subpart F,’’.
remove ‘‘(24 CFR 85.36(d)(3))’’ and add (Administrative Requirements for
in its place ‘‘(2 CFR 200.320)’’. Grants and Cooperative Agreements to PART 266—HOUSING FINANCE
States, Local and Federally Recognized AGENCY RISK-SHARING PROGRAM
PART 200—INTRODUCTION TO FHA Indian Tribal Governments), as FOR INSURED AFFORDABLE
PROGRAMS applicable, and with the OMB Circulars MULTIFAMILY PROJECT LOANS
described therein’’ and add in its place
■ 35. The authority citation for part 200 ‘‘2 CFR part 200’’. ■ 50. The authority citation for part 266
continues to read as follows: continues to read as follows:
§ 214.315 [Amended]
Authority: 12 U.S.C. 1702–1715z–21; 42 Authority: 12 U.S.C. 1707; 42 U.S.C.
U.S.C. 3535(d). ■ 41. Amend § 214.315(a) by removing 3535(d).
‘‘24 CFR 1.6, 24 CFR 84.21, and 24 CFR
■ 36. Revise § 200.11 to read as follows: part 121’’ and adding in its place ‘‘2 § 266.510 [Amended]
§ 200.11 Audit requirements for State and CFR part 200, subpart D, 24 CFR 1.6, ■ 51. Amend § 266.510(c) by removing
local governments as mortgagees. and 24 CFR part 121’’. ‘‘24 CFR part 85.26’’ and adding in its
Requirements set forth in 2 CFR part § 214.500 [Amended] place ‘‘2 CFR part 200, subpart F’’.
200, subpart F, apply to State and local
■ 42. Amend § 214.500 by removing ‘‘24 PART 401—MULTIFAMILY HOUSING
governments (as defined at 2 CFR
CFR parts 84 and 85’’ and adding in its MORTGAGE AND HOUSING
200.90 and 200.64, respectively) that
place ‘‘2 CFR part 200, subpart F’’. ASSISTANCE RESTRUCTURING
receive mortgage insurance as
mortgagees. PROGRAM (MARK-TO-MARKET)
PART 236—MORTGAGE INSURANCE
AND INTEREST REDUCTION ■ 52. The authority citation for part 401
PART 202—APPROVAL OF LENDING
PAYMENT FOR RENTAL PROJECTS continues to read as follows:
INSTITUTIONS AND MORTGAGEES
■ 43. The authority citation for part 236 Authority: 12 U.S.C. 1715z–1 and 1735f–
■ 37. The authority citation for part 202 continues to read as follows: 18(b); 42 U.S.C. 1437(c)(8), 1437f(t) note, and
continues to read as follows: 3535(d).
Authority: 12 U.S.C. 1715b, 1715z–1, and
Authority: 12 U.S.C. 1703, 1709, and 1735d; 42 U.S.C. 3535(d). § 401.302 [Amended]
1715b; 42 U.S.C. 3535(d).
§ 236.901 [Amended] ■ 53. Amend § 401.302(a) by removing
■ 38. Revise § 202.10(c) to read as
44. Amend § 236.901 by removing ‘‘24 ‘‘Parts 84 and 85 of this title’’ and
follows: ■
CFR part 44’’ and adding in its place ‘‘2 adding in its place ‘‘Part 200 of 2 CFR’’.
§ 202.10 Governmental institutions, CFR part 200, subpart F’’.
Government-sponsored enterprises, public PART 570—COMMUNITY
housing agencies and State housing PART 242—MORTGAGE INSURANCE DEVELOPMENT BLOCK GRANTS
agencies.
FOR HOSPITALS
* * * * * ■ 54. The authority citation for part 570
(c) Audit requirements. The insuring ■ 45. The authority citation for part 242 continues to read as follows:
of loans and mortgages under the Act continues to read as follows: Authority: 42 U.S.C. 3535(d) and 5301–
constitutes ‘‘Federal financial Authority: 12 U.S.C. 1709, 1710, 1715b, 5320.
assistance’’ (as defined in 2 CFR 200.40) 1715n(f), and 1715u; 42 U.S.C. 3535(d). ■ 55. Amend § 570.200 by:
for purposes of audit requirements set
out in 2 CFR part 200, subpart F. Non- § 242.58 [Amended] ■ a. In paragraph (a)(5) introductory
Federal entities (as defined in 2 CFR text:
■ 46. Amend § 242.58(c)(1) by removing
200.69) that receive insurance as lenders ■ i. Removing ‘‘OMB Circulars A–87,
‘‘OMB Circular A–133 (Audits of states,
and mortgagees shall conduct audits in local governments, and nonprofit ‘Cost Principles for State, Local and
accordance with 2 CFR part 200, subpart organizations)’’ and adding in its place Indian Tribal Governments’; A–122,
F. ‘‘2 CFR part 200, subpart F’’. ‘Cost Principles for Non-profit
Organizations’; or A–21, ‘Cost Principles
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PART 214—HOUSING COUNSELING PART 248—PREPAYMENT OF LOW for Educational Institutions,’ as
PROGRAM INCOME HOUSING MORTGAGES applicable’’ and adding in its place ‘‘2
CFR part 200, subpart E’’;
■ 39. The authority citation for part 214 ■ 47. The authority citation for part 248 ■ ii. Removing footnote 1;
is revised to read as follows: continues to read as follows: ■ iii. Removing ‘‘Attachment B of these
Authority: 12 U.S.C. 1701x, 1701x–1; 42 Authority: 12 U.S.C. 17151 note, 4101 Circulars’’ and adding in its place ‘‘2
U.S.C. 3535(d). note, and 4101–4124; 42 U.S.C. 3535(d). CFR part 200, subpart E,’’; and
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■ iv. Removing ‘‘Attachment A of such ■ b. In paragraph (a)(2), remove ‘‘OMB and units of general local government
circulars’’ and adding in its place ‘‘2 Circulars’’ and add in its place ‘‘2 CFR shall be conducted in accordance with
CFR part 200, subpart E,’’; part 200’’. 2 CFR part 200, subpart F, which
■ b. In paragraph (a)(5)(i), removing implements the Single Audit Act. States
‘‘HUD’s specific approval or, if charged § 570.415 [Amended] shall develop and administer an audits
through a cost allocation plan’’ and ■ 59. Amend § 570.415(k)(3)(iii) by management system to ensure that
adding in its place ‘‘the approval of’’; removing ‘‘OMB Circulars A–101 and audits of units of general local
■ c. In paragraph (a)(5)(ii), removing A–110’’ and adding in its place ‘‘2 CFR government are conducted in
‘‘and penalties (including punitive part 200’’. accordance with 2 CFR part 200, subpart
damages)’’ and adding in its place ■ 60. Revise § 570.416(j)(2) to read as F.
‘‘penalties, damages, and other follows: * * * * *
settlements’’; (p) Cost principles and prior
■ d. Redesignating paragraph (a)(5)(iii) § 570.416 Hispanic-serving institutions
work study program.
approval. A State must ensure that costs
as paragraph (a)(5)(v); incurred by the State and by its
■ e. Adding paragraphs (a)(5)(iii) and * * * * * recipients are in conformance with 2
(iv); (j) * * * CFR part 200, subpart E. All cost items
■ f. In paragraph (d)(2), removing ‘‘24 (2) Uniform administrative
described in 2 CFR part 200, subpart E,
CFR 85.36’’ and adding in its place ‘‘2 requirements. Recipients under HSI–
that require Federal agency approval are
CFR part 200, subpart D’’; WSP shall comply with the
allowable without prior approval of
■ g. In paragraph (f)(1)(i)(B), removing requirements and standards of 2 CFR
HUD, to the extent that they otherwise
‘‘24 CFR 85.36’’ and adding in its place part 200, ‘‘Uniform Administrative
comply with the requirements of 2 CFR
‘‘2 CFR part 200, subpart D’’; and Requirements, Cost Principles, and
part 200, subpart E, and are otherwise
■ h. In paragraph (j)(5), removing ‘‘(see Audit Requirements for Federal
eligible, except for the following:
24 CFR parts 84 and 85)’’ and adding in Awards.’’ Audits in accordance with 2 (1) Depreciation methods for fixed
its place ‘‘(see 2 CFR 200.311)’’. CFR part 200, subpart F, shall be assets shall not be changed without the
The additions read as follows: conducted annually. express approval of the cognizant
■ 61. Amend § 570.489 as follows: Federal agency (2 CFR 200.436).
§ 570.200 General policies.
■ a. In paragraph (d)(1)(i), add ‘‘and the (2) Fines, penalties, damages, and
(a) * * * terms and conditions of the award’’ at other settlements are unallowable costs
(5) * * * the end of the paragraph;
(iii) Costs of housing (e.g., to the CDBG program (2 CFR 200.441).
■ b. In paragraph (d)(2)(iii), remove ‘‘24 (3) Costs of housing (e.g.,
depreciation, maintenance, utilities, CFR part 85 ‘Uniform Administrative depreciation, maintenance, utilities,
furnishings, rent), housing allowances Requirements for Grants and furnishings, rent), housing allowances,
and personal living expenses (goods or Cooperative Agreements to States and and personal living expenses (goods or
services for personal use) regardless of Local Governments.’’’ and add in its services for personal use) regardless of
whether reported as taxable income to place ‘‘2 CFR part 200.’’; whether reported as taxable income to
the employees (2 CFR 200.445); ■ c. In paragraph (d)(2)(iii)(A), remove the employees (2 CFR 200.445).
(iv) Organization costs (2 CFR ‘‘part 85’’ and add in its place ‘‘2 CFR (4) Organization costs (2 CFR
200.455); and part 200’’; 200.455).
* * * * * ■ d. In paragraph (d)(2)(iii)(B), remove
‘‘part 85 of this title’’ and ‘‘part 84 of § 570.490 [Amended]
§ 570.206 [Amended]
this title, ‘Uniform Administrative ■ 62. Amend § 570.490(a)(1) by
■ 56. Amend § 570.206(e) by removing Requirements for Grants and removing ‘‘24 CFR part 85’’ and adding
‘‘OMB Circular A–21, A–87, or A–122 as Agreements with Institutions of Higher in its place ‘‘2 CFR 200, subpart F’’.
applicable’’ and adding in its place ‘‘2 Education, Hospitals, and Other Non-
CFR part 200, subpart E’’. § 570.500 [Amended]
Profit Organizations,’ as applicable’’ and
add in their place ‘‘2 CFR part 200’’; ■ 63. Amend § 570.500(c) by removing
§ 570.207 [Amended]
■ e. In paragraph (j), remove ‘‘(24 CFR ‘‘24 CFR 85.36 or 84.40, as applicable’’
■ 57. Amend § 570.207 as follows: 85.36, ‘Administrative Requirements for and adding in its place ‘‘2 CFR part 200,
■ a. In paragraph (a)(2), remove ‘‘OMB Grants and Cooperative Agreements to subpart D’’.
Circular A–87’’ and add in its place ‘‘2 State, Local and Federally Recognized ■ 64. Revise § 570.502 to read as
CFR part 200, subpart E’’; Indian Tribal Governments’)’’ and add follows:
■ b. In paragraph (b)(1)(i), remove ‘‘, in its place ‘‘(2 CFR 200.88)’’;
depreciation, or use allowances ■ f. Redesignate paragraphs (m) and (n) § 570.502 Applicability of uniform
pursuant to OMB Circulars A–21, A–87 as paragraphs (n) and (p), respectively; administrative requirements.
or A–122’’ and add in its place ‘‘or ■ g. Add paragraph (m); and (a) Grantees and subrecipients shall
depreciation pursuant to 2 CFR part ■ h. Revise newly redesignated comply with 2 CFR part 200, ‘‘Uniform
200, subpart E,’’; and paragraphs (n) and (p). Administrative Requirements, Cost
■ c. In paragraph (b)(1)(iii), remove ‘‘or The revision and additions to read as Principles, and Audit Requirements for
use allowances (in accordance with follows: Federal Awards’’, except that:
OMB Circulars A–21, A–87 or A–122, as (1) Section 200.305 ‘‘Payment’’ is
applicable)’’ and add in its place ‘‘in § 570.489 Program administrative modified for lump sum drawdown for
jstallworth on DSK7TPTVN1PROD with RULES
accordance with 2 CFR part 200, subpart requirements. financing of property rehabilitation
E,’’. * * * * * activities, in accordance with § 570.513.
(m) Subrecipient monitoring and (2) Section 200.306 ‘‘Cost sharing or
§ 570.402 [Amended] management. The provisions of 2 CFR matching’’ does not apply.
■ 58. Amend § 570.402 as follows: 200.330 through 200.332 are applicable. (3) Section 200.307 ‘‘Program
■ a. In paragraph (a)(1), remove the last (n) Audits. Notwithstanding any other income’’ does not apply. Program
sentence of the paragraph; and provision of this title, audits of a State income is governed by § 570.504.
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![75938 Federal Register / Vol. 80, No. 234 / Monday, December 7, 2015 / Rules and Regulations
(4) Section 200.308 ‘‘Revisions of The revision reads as follows: § 573.9 [Amended]
budget and program plans’’ does not ■ 73. Amend § 573.9(b) by removing ‘‘2
apply. § 570.503 Agreements with subrecipients.
CFR part 84’’ everywhere it appears and
(5) Section 200.311 ‘‘Real property’’ * * * * * adding in its place ‘‘2 CFR part 200’’.
does not apply, except as provided in (b) * * *
§ 570.200(j). Real property is governed (6) Suspension and termination. The PART 574—HOUSING
by § 570.505. agreement shall set forth remedies for OPPORTUNITIES FOR PERSONS WITH
(6) Section 200.313 ‘‘Equipment’’ noncompliance and provisions on AIDS
applies, except that when the termination in accordance with 2 CFR
equipment is sold, the proceeds shall be part 200, subpart D. ■ 74. The authority citation for part 574
program income. Equipment not needed * * * * * continues to read as follows:
by the subrecipient for CDBG activities Authority: 42 U.S.C. 3535(d) and 12901–
shall be transferred to the recipient for § 570.508 [Amended] 12912.
the CDBG program or shall be retained ■66. Amend § 570.508 by removing ‘‘24 § 574.3 [Amended]
after compensating the recipient. CFR 85.42(f)’’ and adding in its place ‘‘2
(7) Section 200.333 ‘‘Retention CFR 200.337’’. ■ 75. In § 574.3, amend the definition of
requirements for records’’ applies ‘‘Project sponsor’’ by removing ‘‘24 CFR
except that: § 570.509 [Amended] 85.36’’ and adding in its place ‘‘2 CFR
(i) For recipients: part 200, subpart D’’.
■ 67. Amend § 570.509 as follows:
(A) The period shall be 4 years from
■ a. In paragraph (e), remove ‘‘24 CFR § 574.300 [Amended]
the date of execution of the closeout
85.44’’ and add in its place ‘‘2 CFR ■ 76. Amend § 574.300(c)(5) by
agreement for a grant, as further
200.339’’; and removing ‘‘24 CFR parts 84 and 85’’ and
described in this part;
■ b. In paragraph (f), remove ‘‘24 CFR adding in its place ‘‘2 CFR 200.311’’.
(B) Records for individual activities
subject to the reversion of assets 85.43(c)’’ and add in its place ‘‘2 CFR
200.342’’. § 574.500 [Amended]
provisions at § 570.503(b)(7) or the
change of use provisions at § 570.505 § 570.511 [Amended]
■ 77. Amend § 574.500(c) by:
must be maintained for 3 years after ■ a. Removing ‘‘24 CFR 85.43’’ and
those provisions no longer apply to the ■ 68. Amend § 570.511(a)(2) by adding in its place ‘‘2 CFR part 200,
activity; removing ‘‘24 CFR 85.36’’ and adding in subpart D’’; and
(C) Records for individual activities its place ‘‘2 CFR part 200, subpart D’’. ■ b. Removing ‘‘paragraph (a) of that
for which there are outstanding loan section’’ and adding in its place ‘‘2 CFR
■ 69. Revise § 570.610 to read as
balances, other receivables, or 200.338’’.
follows:
contingent liabilities must be retained ■ 78. Revise § 574.605 to read as
for 3 years after the receivables or § 570.610 Uniform administrative follows:
liabilities have been satisfied. requirements, cost principles, and audit
(ii) For subrecipients: requirements for Federal awards. § 574.605 Applicability of uniform
The recipient, its agencies or administrative requirements, cost
(A) The retention period for principles, and audit requirements for
individual CDBG activities shall be the instrumentalities, and subrecipients Federal awards.
longer of 3 years after the expiration or shall comply with 2 CFR part 200,
The provisions of 2 CFR part 200,
termination of the subrecipient ‘‘Uniform Administrative Requirements,
‘‘Uniform Administrative Requirements,
agreement under § 570.503, or 3 years Cost Principles, and Audit
Cost Principles, and Audit
after the submission of the annual Requirements for Federal Awards’’, as
Requirements for Federal Awards’’,
performance and evaluation report, as set forth at § 570.502.
apply to HOPWA grants.
prescribed in § 91.520 of this title, in
§ 570.611 [Amended]
which the specific activity is reported § 574.625 [Amended]
on for the final time; ■ 70. Amend § 570.611 as follows: ■ 79. In § 574.625, amend paragraph (a)
(B) Records for individual activities ■ a. In paragraph (a)(1), remove ‘‘24 CFR by removing ‘‘OMB Circular A–102 and
subject to the reversion of assets 85.36 and 24 CFR 84.42, respectively,’’ 24 CFR 85.36(b)(3)’’ and adding in its
provisions at § 570.503(b)(7) or change and add in its place ‘‘2 CFR 200.317 and place ‘‘2 CFR 200.317 (for recipients and
of use provisions at § 570.505 must be 200.318’’; and subrecipients that are States) and 2 CFR
maintained for as long as those ■ b. In paragraph (a)(2), remove ‘‘24 CFR 200.318 (for recipients and
provisions continue to apply to the 85.36 and 84.42’’ and add in its place ‘‘2 subrecipients that are not States)’’.
activity; and CFR 200.317 and 200.318’’.
(C) Records for individual activities ■ 80. Revise § 574.650 to read as
for which there are outstanding loan § 570.904 [Amended] follows:
balances, other receivables, or ■ 71. Amend § 570.904(d) by removing § 574.650 Audit.
contingent liabilities must be retained ‘‘24 CFR 85.36(e)’’ and both instances of Grantees and project sponsors are
until such receivables or liabilities have ‘‘§ 85.36(e) of this chapter’’ and adding subject to the audit requirements set
been satisfied. in their place ‘‘2 CFR 200.321’’. forth in 2 CFR part 200, subpart F.
(8) Section 200.343 ‘‘Closeout’’
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applies to closeout of subrecipients. PART 573—LOAN GUARANTEE PART 576—EMERGENCY SOLUTIONS
(b) [Reserved] RECOVERY FUND GRANTS PROGRAMS
■ 65. Amend § 570.503 by:
■ a. In paragraph (b)(4), removing ■ 72. The authority citation for part 573 ■ 81. The authority citation for part 576
‘‘administrative’’ everywhere it appears; continues to read as follows: continues to read as follows:
and Authority: Pub. L. 104–155, 110 Stat. Authority: 42 U.S.C. 11371 et seq., 42
■ b. Revising paragraph (b)(6). 1392, 18 U.S.C. 241 note; 42 U.S.C. 3535(d). U.S.C. 3535(d).
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§ 576.2 [Amended] for any building the recipient or rehabilitation, conversion, or other
■ 82. In § 576.2, amend the definition of subrecipient donates for long-term use renovation under § 576.102 is governed
‘‘Program income’’ by removing ‘‘24 in the recipient’s ESG program, by the minimum period of use
CFR 85.25’’ and adding in its place ‘‘2 provided that depreciation on the requirements under § 576.102(c).
CFR 200.80’’. building is not counted as match or * * * * *
charged to any Federal award. If a third ■ 90. Amend § 576.500 as follows:
§ 576.100 [Amended] party donates a building to the recipient ■ a. In paragraph (a), add at the end of
■ 83. Amend § 576.100(d) by removing or subrecipient, the recipient may count the first sentence ‘‘, including those
‘‘OMB Circulars A–87 (2 CFR 225) and as match either depreciation of the required by 2 CFR part 200’’;
A–122 (2 CFR 230)’’ and adding in its building and fair rental charges for the ■ b. In paragraph (s)(2), remove ‘‘24 CFR
place ‘‘2 CFR part 200, subpart E,’’. land for each year the building is used part 85 (for governments) and 24 CFR
for the recipient’s ESG program or, if the part 84 (for nonprofit organizations)’’
§ 576.109 [Amended] building is donated for long-term use in and add in its place ‘‘2 CFR part 200’’;
■ 84. Amend § 576.109 as follows: the recipient’s ESG program, the fair ■ c. In paragraph (u)(2), remove
■ a. In paragraph (a), remove ‘‘OMB market value of the capital assets, as ‘‘§ 576.101–§ 576.109 and the cost
Circular A–87 (2 CFR part 225), or A– specified in 2 CFR 200.306(h)(2), (i), and principles in OMB Circulars A–87 (2
122 (2 CFR part 230), as applicable’’ and (j). To qualify as a donation for long- CFR part 225) and A–122 (2 CFR part
add in its place ‘‘2 CFR part 200, term use, the donation must be 230)’’ and add in its place ‘‘§§ 576.101
subpart E’’; and evidenced by a recorded deed or use through 576.109, financial management
■ b. In paragraph (b), remove ‘‘an restriction that is effective for at least 10 in 2 CFR 200.302, and the cost
indirect cost rate proposal developed in years after the donation date. If the principles in 2 CFR part 200, subpart
accordance with OMB Circular A–87 (2 donated building is renovated with ESG E’’;
CFR part 225), or A–122 (2 CFR part funds, the minimum period of use
■ d. In paragraph (v)(2), remove ‘‘24
230), as applicable’’ and add in its place under § 576.102(c) may increase the
CFR 85.36 and 24 CFR 84.40–84.48’’
‘‘2 CFR part 200, subpart E’’. period for which the building must be
and add in its place ‘‘2 CFR part 200,
used in the recipient’s ESG program.
§ 576.200 [Amended]
subpart D’’;
* * * * * ■ e. Revise paragraph (z)(1); and
■ 85. Amend § 576.200(a) by removing ■ 87. In § 576.404, add a sentence at the ■ f. In paragraph (aa), remove ‘‘24 CFR
‘‘24 CFR 85.12’’ and adding in its place end of paragraph (a) and revise parts 85 and 91’’ and add in its place ‘‘2
‘‘2 CFR 200.207’’. paragraph (b) introductory text to read CFR part 200 and 24 CFR part 91’’.
■ 86. Revise § 576.201(a), (b), and (c) to as follows: The revision reads as follows:
read as follows:
§ 576.404 Conflicts of interest. § 576.500 Recordkeeping and reporting
§ 576.201 Matching requirement. (a) * * * Recipients and requirements.
(a) The recipient must make matching subrecipients must also maintain * * * * *
contributions to supplement the written standards of conduct covering (z) * * *
recipient’s ESG program in an amount organizational conflicts of interest (1) Federal Government rights.
that equals the recipient’s fiscal year required under 2 CFR 200.318. Notwithstanding the confidentiality
grant for ESG. This amount may include (b) Individual conflicts of interest. For procedures established under paragraph
contributions to any project under the the procurement of goods and services, (x) of this section, the recipient and its
recipient’s ESG program, including any the recipient and its subrecipients must subrecipients must comply with the
subrecipient’s ESG project, if the comply with 2 CFR 200.317 and requirements for access to records in 2
requirements in this section are met. 200.318. For all other transactions and CFR 200.336.
The first $100,000 of a State’s fiscal year activities, the following restrictions * * * * *
grant is not required to be matched, but apply:
the benefit of this exception must pass * * * * * PART 578—CONTINUUM OF CARE
to the state’s subrecipients that are least PROGRAM
capable of providing matching § 576.406 [Amended]
contributions. The match requirements ■ 88. Amend § 576.406(e) by: ■ 91. The authority citation for part 578
under this section do not apply if the ■ a. Removing ‘‘Solutions ESG funds’’ continues to read as follows:
recipient is a territory. and adding in its place ‘‘ESG funds’’; Authority: 42 U.S.C. 11371 et seq., 42
(b) To be recognized as match for and U.S.C. 3535(d).
ESG, each contribution must meet the ■ b. Removing ‘‘(see 24 CFR parts 84
§ 578.11 [Amended]
requirements under 2 CFR 200.306, and 85)’’ and adding in its place ‘‘(see
except that: 2 CFR 200.311)’’. ■ 92. Amend § 578.11 as follows:
(1) Notwithstanding 2 CFR ■ 89. Revise § 576.407(c) to read as ■ a. In paragraph (b)(2), remove ‘‘24 CFR
200.306(b)(4), matching contributions follows: 84.21 (for nonprofit organizations) and
are not subject to the expenditure limits 24 CFR 85.20 (for States)’’ and add in its
in § 576.100; and § 576.407 Other Federal requirements. place ‘‘2 CFR 200.302’’; and
(2) Notwithstanding 2 CFR * * * * * ■ b. In paragraph (c)(3), remove ‘‘24 CFR
200.306(b)(5), the recipient may use (c) Uniform requirements. The parts 84 and 85 and corresponding OMB
jstallworth on DSK7TPTVN1PROD with RULES
funds from another Federal program as requirements of 2 CFR part 200 apply to circulars’’ and add in its place ‘‘2 CFR
match for ESG, unless doing so would the recipient and subrecipients, and: part 200, subpart D’’.
violate a specific statutory prohibition (1) Program income may be used as
or the recipient or subrecipient counts § 578.63 [Amended]
matching contributions, subject to the
ESG funds as match for that program. requirements in § 576.201; ■ 93. Amend § 578.63 as follows:
(c) The recipient may count as match (2) The disposition of real property for ■ a. In paragraph (a), remove ‘‘OMB
the value specified in 2 CFR 200.306(d) which ESG funds are used for major Circulars A–87 or A–122, as applicable’’
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![75940 Federal Register / Vol. 80, No. 234 / Monday, December 7, 2015 / Rules and Regulations
and add in its place ‘‘2 CFR part 200, ■ a. In paragraph (a)(16)(iii), remove ‘‘24 add in its place ‘‘2 CFR part 200,
subpart E’’; CFR 85.36 and 24 CFR part 84’’ and add subpart F’’.
■ b. In paragraph (b): in its place ‘‘2 CFR part 200, subpart D’’; The revision reads as follows:
■ i. Remove ‘‘subpart D’’ and add in its and
§ 583.330 Applicability of other Federal
place ‘‘this subpart’’; and ■ b. In paragraph (e), remove ‘‘24 CFR
requirements.
■ ii. Remove ‘‘OMB Circulars A–87 or parts 84 and 85’’ and add in its place ‘‘2
A–122, as applicable’’ and add in its CFR part 200, subpart D’’. * * * * *
place ‘‘2 CFR part 200, subpart E’’. (c) Uniform requirements. The
§ 578.109 [Amended] policies, guidelines, and requirements
■ 94. Amend § 578.73 as follows:
■ 99. Amend § 578.109(a) by removing of 24 CFR part 85 (as revised April 1,
■ a. In paragraph (b), revise the first
‘‘24 CFR parts 84 and 85’’ and adding 2013) apply to the award, acceptance,
sentence;
in its place ‘‘2 CFR part 200, subpart D’’. and use of assistance under the program
■ b. In paragraph (c)(2), remove ‘‘24 CFR
by governmental entities, and 24 CFR
84.23 and 85.24’’ and add in its place ‘‘2
PART 582—SHELTER PLUS CARE part 84 (as revised April 1, 2013) apply
CFR 200.306, with the exception of
to the acceptance and use of assistance
§ 200.306(b)(5)’’. 100. The authority citation for part
■ by private nonprofit organizations,
The revision reads as follows: 582 continues to read as follows: except where inconsistent with the
§ 578.73 Matching requirements. Authority: 42 U.S.C. 3535(d) and 11403– provisions of the McKinney Act, other
* * * * * 11407b. Federal statutes, or this part.
(b) Cash sources. Notwithstanding 2 ■ 101. Amend § 582.340 as follows: * * * * *
CFR 200.306(b)(5), a recipient or ■ a. Revise the heading for paragraph (a)
subrecipient may use funds from any PART 700—CONGREGATE HOUSING
and remove footnote 1; SERVICES PROGRAM
source, including any other federal ■ b. Revise paragraph (a)(1);
sources (excluding Continuum of Care ■ c. In paragraph (a)(2): ■ 105. The authority citation for part
program funds), as well as State, local, ■ i. Remove ‘‘24 CFR part 44’’ and add 700 continues to read as follows:
and private sources, provided that funds in its place ‘‘2 CFR part 200, subpart F’’;
from the source are not statutorily Authority: 42 U.S.C. 3535(d) and 8011.
and
prohibited to be used as a match. * * * ■ ii. Remove ‘‘24 CFR part 45’’ and add § 700.115 [Amended]
* * * * * in its place ‘‘2 CFR part 200, subpart F’’;
■ 106. Amend § 700.115 as follows:
and ■ a. In paragraph (a)(2), remove ‘‘OMB
§ 578.87 [Amended] ■ d. In paragraph (b)(1), add ‘‘(as revised
Cost Policies, i.e., OMB Circular A–87,
■ 95. Amend § 578.87(b)(5) by removing April 1, 2013)’’ after ‘‘24 CFR part 85’’. 24 CFR 85.36, and OMB Circular A–
‘‘24 CFR parts 84 and 85’’ and adding The revisions read as follows: 128’’ and add in its place ‘‘2 CFR part
in its place ‘‘2 CFR 200.311’’. 200, subpart E’’; and
§ 582.340 Other Federal requirements.
§ 578.95 [Amended] ■ b. In paragraph (b)(2)(viii), remove
* * * * *
■ 96. Amend § 578.95(a) by: (a) Uniform requirements. (1) The ‘‘OMB Circular A–87 or 122’’ and add
■ a. Removing ‘‘codes of conduct’’ and policies, guidelines, and requirements in its place ‘‘2 CFR part 200, subpart E’’.
adding in its place ‘‘standards of of 24 CFR part 85 (as revised April 1, ■ 107. Amend § 700.175 as follows:
conduct’’; and 2013) apply to the acceptance and use ■ a. Revise paragraph (a); and
■ b. Removing ‘‘24 CFR 85.36 (for of assistance under the program by ■ b. In paragraph (b), remove ‘‘OMB
governments) and 24 CFR 84.42 (for governmental entities and 24 CFR part Circular A–87 and 24 CFR part 85’’ and
private nonprofit organizations)’’ and 84 (as revised April 1, 2013) apply to add in its place ‘‘2 CFR 200.112 (for all
adding in its place ‘‘2 CFR 200.317 and the acceptance and use of assistance by recipients and subrecipients); 200.317
200.318’’. private nonprofit organizations, except (for recipients and subrecipients that are
where inconsistent with provisions of States); and 200.318(c) and 200.319(a)(5)
■ 97. Revise § 578.99(e) and (g) to read
the McKinney Act, other Federal (for recipients and subrecipients that are
as follows: not States)’’.
statutes, or this part.
§ 578.99 Applicability of other federal The revision reads as follows:
* * * * *
requirements.
§ 700.175 Other Federal requirements.
* * * * * PART 583—SUPPORTIVE HOUSING * * * * *
(e) Applicability of uniform PROGRAM (a) Uniform administrative
administrative requirements, cost
■ 102. The authority citation for part requirements, cost principles, and audit
principles, and audit requirements for
583 continues to read as follows: requirements for Federal awards. The
Federal awards. The requirements of 2
policies, guidelines, and requirements
CFR part 200 apply to recipients and Authority: 42 U.S.C. 11389 and 3535(d). in 2 CFR part 200, including the audit
subrecipients, except where
§ 583.150 [Amended] requirements described in subpart F,
inconsistent with the provisions of the
apply to the acceptance and use of
McKinney-Vento Act or this part. ■ 103. Amend § 583.150(b)(5) by adding assistance under this program.
* * * * * ‘‘(as revised April 1, 2013)’’ after ‘‘24 * * * * *
(g) Audit. Recipients and CFR parts 84 and 85’’.
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subrecipients must comply with the ■ 104. Amend § 583.330 as follows: PART 761—DRUG ELIMINATION
audit requirements of 2 CFR part 200, ■ a. Revise paragraph (c); PROGRAMS
subpart F. ■ b. In paragraph (e)(1), add ‘‘(as revised
* * * * * April 1, 2013)’’ after ‘‘24 CFR part 85’’; ■ 108. The authority citation for part
and 761 continues to read as follows:
§ 578.103 [Amended]
■ c. In paragraph (f), remove ‘‘24 CFR Authority: 42 U.S.C. 3535(d) and 11901 et
■ 98. Amend § 578.103 as follows: part 44 or part 45, as applicable’’ and seq.
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§ 761.30 [Amended] PART 882—SECTION 8 MODERATE ■ 124. Revise § 886.131 to read as
REHABILITATION PROGRAMS follows:
■ 109. Amend § 761.30(a) by removing
‘‘24 CFR part 85 (as applicable)’’ and ■ 116. The authority citation for part § 886.131 Audit.
adding in its place ‘‘2 CFR part 200’’. 882 continues to read as follows: Where a non-Federal entity (as
Authority: 42 U.S.C. 1437f and 3535(d).
defined in 2 CFR 200.69) is the eligible
§ 761.35 [Amended]
owner of a project, or is a contract
■ 110. Amend § 761.35 as follows: § 882.124 [Amended] administrator under § 886.120, receiving
■ 117. Amend § 882.124 by removing financial assistance under this part, the
■ a. In paragraph (a)(1), remove ‘‘24 CFR
‘‘24 CFR part 44’’ and adding in its audit requirements in 2 CFR part 200,
part 85.40(b)(1)(2) and 85.50(b)’’ and subpart F, shall apply.
add in its place ‘‘2 CFR 200.328’’; and place ‘‘2 CFR part 200, subpart F’’.
■ 125. Revise § 886.336 to read as
■ b. In paragraph (c)(1), remove ‘‘24 CFR § 882.516 [Amended] follows:
part 85.41 (b) and (c)’’ and add in its ■ 118. In § 882.516, amend paragraph
place ‘‘2 CFR 200.327’’. § 886.336 Audit.
(e) by removing ‘‘guidelines prescribed
Where a non-Federal entity (as
§ 761.40 [Amended] by 24 CFR part 44’’ and adding in its
defined in 2 CFR 200.69) is the eligible
place ‘‘2 CFR part 200, subpart F’’.
■ 111. Amend § 761.40(d) introductory owner of a project receiving financial
text by removing ‘‘24 CFR part 85’’ and PART 883—SECTION 8 HOUSING assistance under this part, the audit
adding in its place ‘‘2 CFR 200.112 (for ASSISTANCE PAYMENTS requirements in 2 CFR part 200, subpart
all recipients and subrecipients), PROGRAM—STATE HOUSING F, shall apply.
200.317 (for recipients and AGENCIES
PART 891—SUPPORTIVE HOUSING
subrecipients that are States), and FOR THE ELDERLY AND PERSONS
200.318(c) and 200.319(a)(5) (for ■ 119. The authority citation for part
883 continues to read as follows: WITH DISABILITIES
recipients and subrecipients that are not
States)’’. Authority: 42 U.S.C. 1437a, 1437c, 1437f, ■ 126. The authority citation for part
3535(d), and 13611–13619. 891 continues to read as follows:
PART 880—SECTION 8 HOUSING ■ 120. Revise § 883.313 to read as Authority: 12 U.S.C. 1701q; 42 U.S.C.
ASSISTANCE PAYMENTS PROGRAM follows: 1437f, 3535(d), and 8013.
FOR NEW CONSTRUCTION
§ 883.313 Audit. § 891.160 [Amended]
■ 112. The authority citation for part Where housing assistance under the ■ 127. Amend § 891.160 by removing
880 continues to read as follows: Section 8 Program is provided for ‘‘24 CFR 5.107’’ and adding in its place
Authority: 42 U.S.C. 1437a, 1437c, 1437f,
projects developed or owned by non- ‘‘2 CFR part 200, subpart F’’.
3535(d), 12701, and 13611–13619. Federal entities (as defined in 2 CFR
200.69), the audit requirements in 2 CFR § 891.515 [Amended]
■ 113. Revise § 880.211 to read as part 200, subpart F, shall apply. ■ 128. Amend § 891.515 by removing
follows: ‘‘24 CFR part 45’’ and adding in its
PART 884—SECTION 8 HOUSING place ‘‘2 CFR part 200, subpart F’’.
§ 880.211 Audit. ASSISTANCE PAYMENTS PROGRAM,
NEW CONSTRUCTION SET-ASIDE FOR PART 902—PUBLIC HOUSING
Where a non-Federal entity (as
SECTION 515 RURAL RENTAL ASSESSMENT SYSTEM
defined in 2 CFR 200.69) is the eligible
HOUSING PROJECTS
owner of a project or a contract
■ 129. The authority citation for part
administrator under § 880.505 receiving ■ 121. The authority citation for part 902 continues to read as follows:
financial assistance under this part, the 884 continues to read as follows:
audit requirements in 2 CFR part 200, Authority: 42 U.S.C. 1437d(j), 42 U.S.C.
Authority: 42 U.S.C. 1437a, 1437c, 1437f, 3535(d).
subpart F, shall apply.
3535(d), and 13611–13619.
■ 122. Revise § 884.124 to read as § 902.33 [Amended]
PART 881—SECTION 8 HOUSING
ASSISTANCE PAYMENTS PROGRAM follows: ■ 130. Amend § 902.33 as follows:
FOR SUBSTANTIAL REHABILITATION ■ a. In paragraph (c), remove ‘‘OMB
§ 884.124 Audit. Circular A–133 (see 24 CFR 85.26)’’ and
Where a non-Federal entity (as add in its place ‘‘2 CFR part 200,
■ 114. The authority citation for part defined in 2 CFR 200.69) is the eligible
881 continues to read as follows: subpart F’’; and
owner of a project, or is a contract ■ b. In paragraph (d), remove ‘‘OMB
Authority: 42 U.S.C. 1437a, 1437c, 1437f, administrator under § 884.119 or Circular A–133’’ and add in its place ‘‘2
3535(d), 12701, and 13611–13619. § 884.120, receiving financial assistance CFR part 200, subpart F,’’.
under this part, the audit requirements
■ 115. Revise § 881.211 to read as in 2 CFR part 200, subpart F, shall § 902.60 [Amended]
follows: apply. ■ 131. Amend § 902.60(c)(1) by
§ 881.211 Audit. removing ‘‘OMB Circular A–133’’ and
PART 886—SECTION 8 HOUSING adding in its place ‘‘2 CFR part 200,
jstallworth on DSK7TPTVN1PROD with RULES
(a) Where a non-Federal entity (as ASSISTANCE PAYMENTS subpart F,’’.
defined in 2 CFR 200.69) is the eligible PROGRAM—SPECIAL ALLOCATIONS
owner of a project or a contract § 902.62 [Amended]
administrator under § 881.505 receiving ■ 123. The authority citation for part ■ 132. Amend § 902.62(a)(3) by
financial assistance under this part, the 886 continues to read as follows: removing ‘‘OMB Circular A–133 (see 24
audit requirements in 2 CFR part 200, Authority: 42 U.S.C. 1437a, 1437c, 1437f, CFR 85.26)’’ and adding in its place ‘‘2
subpart F, shall apply. 3535(d), and 13611–13619. CFR part 200, subpart F’’.
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![75942 Federal Register / Vol. 80, No. 234 / Monday, December 7, 2015 / Rules and Regulations
§ 902.64 [Amended] § 905.322 [Amended] ■ i. Remove ‘‘24 CFR 85.36(d)’’ and add
■ 133. Amend § 902.64(c)(2)(iii) by ■ 143. Amend § 905.322(c) by removing in its place ‘‘24 CFR 85.36(d) (as revised
removing ‘‘OMB Circular A–133’’ and ‘‘24 CFR 85.26’’ and adding in its place April 1, 2013)’’; and
adding in its place ‘‘2 CFR part 200, ‘‘2 CFR part 200, subpart F’’. ■ ii. Remove ‘‘24 CFR 85.36(b)’’ and add
subpart F’’. in its place ‘‘24 CFR 85.36(b) (as revised
§ 905.604 [Amended] April 1, 2013)’’;
§ 902.71 [Amended] ■ 144. Amend § 905.604 to read as ■ b. In paragraph (b), remove ‘‘24 CFR
■ 134. Amend § 902.71(b) by removing follows: 85.36(f)’’ and add in its place ‘‘24 CFR
‘‘(see 24 CFR 85.36)’’ and adding in its ■ a. In paragraph (h), remove ‘‘24 CFR 85.36(f) (as revised April 1, 2013)’’; and
place ‘‘(see 2 CFR 200.319, as part 85’’ and add in its place ‘‘2 CFR ■ c. In paragraph (c):
applicable)’’. part 200’’. ■ i. Remove ‘‘the contract provisions of
■ b. In paragraph (h)(2), remove ‘‘24 24 CFR 85.36(i); the provisions of 24
PART 905—THE PUBLIC HOUSING CFR part 85’’ everywhere it appears and CFR 85.36(h), 24 CFR 968.240(d) or 24
CAPITAL FUND PROGRAM add in its place ‘‘2 CFR part 200’’. CFR 968.335(c)(1)’’ and add in its place
‘‘the contract provisions of 24 CFR
■ 135. The authority citation for part PART 943—PUBLIC HOUSING
85.36(i) (as revised April 1, 2013); the
905 continues to read as follows: AGENCY CONSORTIA AND JOINT
provisions of 24 CFR 85.36(h) (as
VENTURES
Authority: 42 U.S.C. 1437g, 42 U.S.C. revised April 1, 2013) or 24 CFR
1437z–2, 42 U.S.C. 1437z–7, and 3535(d). 905.316(d)’’; and
■ 145. The authority citation for part
§ 905.100 [Amended] 943 continues to read as follows: ■ ii. Remove ‘‘recordkeeping
requirements imposed by 24 CFR
Authority: 42 U.S.C. 1437k and 3535(d).
■ 136. Amend § 905.100(e) by removing 85.36(i)’’ and add in its place
‘‘24 CFR part 85’’ and adding in its § 943.148 [Amended] ‘‘recordkeeping requirements imposed
place ‘‘2 CFR part 200’’. ■ 146. Amend § 943.148(b)(2) by by 24 CFR 85.36(i) (as revised April 1,
removing ‘‘part 84 of this title (if the 2013)’’.
§ 905.108 [Amended]
entity is a nonprofit) or part 85 of this
■ 137. In § 905.108, amend the PART 964—TENANT PARTICIPATION
title (if the entity is a State or local
definition of ‘‘Reasonable cost’’ by AND TENANT OPPORTUNITIES IN
government)’’ and adding in its place ‘‘2
removing ‘‘24 CFR part 85, and 2 CFR PUBLIC HOUSING
CFR part 200 (if the entity is a nonprofit
part 225 (codifying OMB Circular A– or a State or local government)’’.
87)’’ and adding in its place ‘‘2 CFR part ■ 153. The authority citation for part
200’’. § 943.150 [Amended] 964 continues to read as follows:
■ 147. Amend § 943.150 to read as Authority: 42 U.S.C. 1437d, 1437g, 1437r,
§ 905.202 [Amended] follows: 3535(d).
■ 138. Amend § 905.202(d) by removing ■ a. In paragraph (a), remove ‘‘part 84 or
§ 964.230 [Amended]
‘‘2 CFR part 225 (codifying OMB part 85 of this title’’ and add in its place
Circular A–87)’’ and adding in its place ‘‘2 CFR part 200’’; and ■ 154. Amend § 964.230 as follows:
‘‘2 CFR part 200, subpart E’’. ■ b. In paragraph (b), remove ‘‘part 85 of ■ a. In paragraph (a)(1), remove ‘‘OMB
this title’’ everywhere it appears and Circulars A–110 and A–122’’ and add in
§ 905.308 [Amended] add in its place ‘‘2 CFR part 200’’. its place ‘‘2 CFR part 200’’;
■ 139. Amend § 905.308(a) by removing § 943.151 [Amended] ■ b. In paragraph (b), remove ‘‘OMB
‘‘24 CFR part 85 (Administrative ■ 148. Amend § 943.151(a) by removing Circulars A–110 and A–122’’ and add in
Requirements for Grants and ‘‘part 85 of this title’’ and adding in its its place ‘‘2 CFR part 200’’.
Cooperative Agreements to State, Local place ‘‘2 CFR part 200’’. § 964.350 [Amended]
and Federally Recognized Indian Tribal
Governments)’’ and adding in its place PART 963—PUBLIC HOUSING— ■ 155. Amend § 964.350(b) by removing
‘‘2 CFR part 200’’. CONTRACTING WITH RESIDENT- ‘‘OMB Circular Nos. A–110 and A–122’’
OWNED BUSINESSES and adding in its place ‘‘2 CFR part
§ 905.310 [Amended] 200’’.
■ 140. Amend § 905.310(a) by removing ■ 149. The authority citation for part
963 continues to read as follows: PART 965—PHA-OWNED OR LEASED
‘‘24 CFR 85.21’’ and adding in its place PROJECTS—GENERAL PROVISIONS
‘‘2 CFR 200.305’’. Authority: 42 U.S.C. 1437 and 3535(d).
§ 905.316 [Amended] § 963.1 [Amended] ■ 156. The authority citation for part
965 continues to read as follows:
■ 141. Amend § 905.316 as follows: ■150. Amend § 963.1 by removing ‘‘24
CFR 85.36’’ and adding in its place ‘‘24 Authority: 42 U.S.C. 1437, 1437a, 1437d,
■ a. In paragraph (a), remove ‘‘24 CFR 1437g, and 3535(d). Subpart H is also issued
CFR 85.36 (as revised April 1, 2013)’’.
85.36’’ and add in its place ‘‘2 CFR part under 42 U.S.C. 4821–4846.
200’’; and § 963.10 [Amended]
§ 965.205 [Amended]
■ b. In paragraph (d), remove ‘‘24 CFR ■ 151. Amend § 963.10(c) by removing
jstallworth on DSK7TPTVN1PROD with RULES
85.36(h)’’ and add in its place ‘‘24 CFR ‘‘24 CFR 85.36(b)(8)’’ and adding in its ■ 157. Amend § 965.205 as follows:
85.36 (as revised April 1, 2013)’’. place ‘‘24 CFR 85.36(b)(8) (as revised ■ a. In paragraph (b), remove ‘‘24 CFR
April 1, 2013)’’. part 85’’ and add in its place ‘‘2 CFR
§ 905.320 [Amended]
200.319’’; and
■ 142. Amend § 905.320(a) by removing § 963.12 [Amended] ■ b. In paragraph (d)(1), remove ‘‘24
‘‘24 CFR 85.36’’ and adding in its place ■ 152. Amend § 963.12 as follows: CFR part 44’’ and add in its place ‘‘2
‘‘2 CFR part 200, subpart D’’. ■ a. In paragraph (a): CFR part 200, subpart F’’.
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§ 965.215 [Amended] § 990.310 [Amended] supplies are sold, the proceeds shall be
■ 168. Amend § 990.310 by removing program income.
■ 158. Amend § 965.215(d) by removing
‘‘24 CFR 85.20, 85.40, and 85.41’’ and (10) Section 200.317, ‘‘Procurement
‘‘part 85 of this title’’ and adding in its
adding in its place ‘‘2 CFR part 200’’. by states.’’
place ‘‘2 CFR part 200’’. (11) Sections 200.318 through 200.326
§ 965.308 [Amended] § 990.320 [Amended] apply, as modified in this paragraph
■ 169. Amend § 990.320 by removing (a)(11):
■ 159. Amend § 965.308 as follows: (i) De minimis procurement. A
‘‘24 CFR 85.26’’ and adding in its place
■ a. In paragraph (a)(1), remove ‘‘24 CFR ‘‘2 CFR part 200, subpart F’’. recipient shall not be required to
85.36(d)(3)’’ and ‘‘§ 85.36(d)(3)(i) of this comply with 2 CFR 200.318 through
title’’ and add in their place ‘‘2 CFR PART 1000—NATIVE AMERICAN 200.326 with respect to any
200.320(d)’’; and HOUSING ACTIVITIES procurement, using a grant provided
■ b. In paragraph (a)(2), remove ‘‘24 CFR under NAHASDA, of goods and services
85.36(d)(4)(i)(A)’’ and add in its place ■ 170. The authority citation for part with a value of less than $5,000.
‘‘2 CFR 200.320(f)’’. 1000 continues to read as follows: (ii) Utilizing Federal supply sources in
Authority: 25 U.S.C. 4101 et seq.; 42 procurement. In accordance with
PART 970—PUBLIC HOUSING U.S.C. 3535(d). Section 101(j) of NAHASDA, recipients
PROGRAM—DEMOLITION OR may use Federal supply sources made
■ 171. Amend § 1000.26 as follows:
DISPOSITION OF PUBLIC HOUSING ■ a. Revise paragraph (a); available by the General Services
PROJECTS ■ b. In paragraph (b)(1) introductory Administration pursuant to 40 U.S.C.
text: 501.
■ 160. The authority citation for part ■ i. Remove ‘‘Attachment B of OMB
(12) Section 200.325, ‘‘Bonding
970 continues to read as follows: Circular A–87’’ and add in its place ‘‘2 requirements,’’ applies. There may be
Authority: 42 U.S.C. 1437p and 3535(d). CFR part 200, subpart E,’’; and circumstances under which the bonding
■ ii. Remove ‘‘Attachment A of this requirements of 2 CFR 200.325 are
§ 970.1 [Amended] circular’’ and add in its place ‘‘2 CFR inconsistent with other responsibilities
part 200, subpart E,’’; and obligations of the recipient. In such
■161. Amend § 970.1 by removing ‘‘24 circumstances, acceptable methods to
CFR part 85’’ and adding in its place ‘‘2 ■ c. Revise paragraphs (b)(1)(i) and (ii);
and provide performance and payment
CFR part 200’’. assurance may include:
■ d. Add paragraph (b)(1)(iii).
The revisions and addition read as (i) Deposit with the recipient of a cash
PART 982—SECTION 8 TENANT-
follows: escrow of not less than 20 percent of the
BASED ASSISTANCE: HOUSING
total contract price, subject to reduction
CHOICE VOUCHER PROGRAM § 1000.26 What are the administrative during the warranty period,
requirements under NAHASDA? commensurate with potential risk;
■ 162. The authority citation for part (a) Except as addressed in § 1000.28, (ii) Letter of credit for 25 percent of
982 continues to read as follows: recipients shall comply with the the total contract price, unconditionally
Authority: 42 U.S.C. 1437f and 3535(d). requirements and standards of 2 CFR payable upon demand of the recipient,
part 200, ‘‘Uniform Administrative subject to reduction during any
§ 982.159 [Amended]
Requirements, Cost Principles, And warranty period commensurate with
■ 163. Amend § 982.159(b) by removing Audit Requirements for Federal potential risk; or
‘‘24 CFR part 44’’ and adding in its Awards’’, except for the following (iii) Letter of credit for 10 percent of
place ‘‘2 CFR part 200, subpart F’’. sections: the total contract price, unconditionally
(1) Section 200.113 applies, except payable upon demand of the recipient,
PART 990—THE PUBLIC HOUSING that, in lieu of the remedies described subject to reduction during any
OPERATING FUND PROGRAM in § 200.338, HUD shall be authorized to warranty period commensurate with
seek remedies under subpart F of this potential risk, and compliance with the
■ 164. The authority citation for part part. procedures for monitoring of
990 continues to read as follows: (2) Section 200.302(a), ‘‘Financial disbursements by the contractor.
Authority: 42 U.S.C. 1437g; 42 U.S.C. management.’’ (13) Section 200.328(b) through (d)
3535(d). (3) Section 200.305, ‘‘Payment,’’ and (f), ‘‘Monitoring and reporting
applies, except that HUD shall not program performance.’’
§ 990.190 [Amended] require a recipient to expend retained (14) Section 200.333, ‘‘Retention
■ 165. Amend § 990.190(d) by removing program income before drawing down requirements for records.’’
‘‘24 CFR part 85’’ and adding in its or expending IHBG funds. (15) Section 200.338, ‘‘Remedies for
place ‘‘2 CFR part 200, subpart F’’. (4) Section 200.306, ‘‘Cost sharing or noncompliance.’’
matching.’’ (16) Section 200.343, ‘‘Closeout.’’
§ 990.195 [Amended] (5) Section 200.307, ‘‘Program (b) * * *
income.’’ (1) * * *
■ 166. Amend § 990.195(e) by removing (6) Section 200.308, ‘‘Revision of (i) Depreciation method for fixed
‘‘24 CFR 85.25’’ everywhere it appears budget and program plans.’’ assets shall not be changed without the
and adding in its place ‘‘24 CFR 85.25 (7) Section 200.311, ‘‘Real property,’’ approval of the Federal cognizant
jstallworth on DSK7TPTVN1PROD with RULES
(as revised April 1, 2013)’’. except as provided in 24 CFR 5.109. agency.
§ 990.280 [Amended] (8) Section 200.313, ‘‘Equipment,’’ (ii) Penalties, damages, fines and
applies, except that in all cases in which other settlements are unallowable costs
■ 167. Amend § 990.280(b)(2) by the equipment is sold, the proceeds to the IHBG program.
removing ‘‘e.g., OMB Circulars’’ and shall be program income. (iii) Costs of housing (e.g.,
adding in its place ‘‘e.g., 2 CFR part (9) Section 200.314, ‘‘Supplies,’’ depreciation, maintenance, utilities,
200’’. applies, except in all cases in which the furnishings, rent), housing allowances
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![75944 Federal Register / Vol. 80, No. 234 / Monday, December 7, 2015 / Rules and Regulations
and personal living expenses (goods or Authority: 42 U.S.C. 3535(d) and 5301 et ■ g. Add paragraphs (b)(1)(iii) and (iv).
services for personal use), regardless of seq. The revision and additions read as
whether reported as taxable income to § 1003.4 [Amended]
follows:
the employees (2 CFR 200.445) requires
■ 178. In § 1003.4, amend the definition § 1003.501 Applicability of uniform
HUD prior approval.
of ‘‘Subrecipient’’ by: administrative requirements and cost
* * * * * principles.
■ a. Removing ‘‘§ 1003.201(o)’’ and
§ 1000.30 [Amended] adding in its place ‘‘§ 1003.201(l)’’; and (a) Grantees and subrecipients shall
■ b. Removing ‘‘24 CFR 85.36 or in 24 comply with the requirements and
■ 172. Amend § 1000.30(a) by removing standards of 2 CFR part 200, except for
CFR part 84, as applicable’’ and adding
‘‘24 CFR 85.36’’ in the two places where the following sections:
in its place ‘‘2 CFR 200.318 through
it appears and adding in its place ‘‘2 (1) Paragraph (a) of § 200.302,
200.326’’.
CFR 200.318’’. ‘‘Financial management.’’
§ 1003.206 [Amended] (2) Section 200.306, ‘‘Cost sharing or
§ 1000.52 [Amended]
■ 179. Amend § 1003.206 as follows: matching.’’
■ 173. Amend § 1000.52 as follows: ■ a. In paragraph (a)(4): (3) Section 200.307, ‘‘Program
■ a. In paragraph (c)(2)(iii), remove ‘‘24 ■ i. Remove ‘‘or use allowances for such income’’ applies as modified by
CFR 85.36’’ and add in its place ‘‘2 CFR items in accordance with OMB Circulars § 1003.503.
200.318 through 200.326’’; and A–21, A–87 or A–122, as applicable’’ (4) Section 200.308, ‘‘Revisions of
■ b. In paragraph (c)(3): budget and program plans.’’
and add in its place ‘‘for such items in
■ i. Remove ‘‘24 CFR 85.36’’ in the two (5) Section 200.311, ‘‘Real property,’’
accordance with 2 CFR part 200, subpart
places where it appears and add in its except as provided in § 1003.600.
E’’; and
place ‘‘2 CFR 200.320’’; and ■ ii. Remove ‘‘(OMB Circulars are (6) Section 200.313, ‘‘Equipment’’
■ ii. Remove ‘‘of paragraph (c)(1) of this applies, except that in all cases in which
available from the Executive Office of
section’’. the President, Publication Service, 725 the equipment is sold, the proceeds
§ 1000.503 [Amended] 17th Street NW., Suite G–2200, shall be program income.
Washington, DC 20503, Telephone, (7) Section 200.314, ‘‘Supplies,’’
■ 174. Amend § 1000.503 as follows: applies, except in all cases in which the
202–395–7332.)’’; and
■ a. In paragraph (a)(4), remove ‘‘Office ■ b. In paragraph (c), remove ‘‘OMB supplies are sold, the proceeds shall be
of Management and Budget (OMB) Circular A–21, A–87, or A–122, as program income.
Circular A–133 audits’’ and add in its applicable’’ and add in its place ‘‘2 CFR (8) Section 200.325, ‘‘Bonding
place ‘‘audits under 2 CFR part 200, part 200, subpart E’’. requirements’’ applies. However, there
subpart F’’; may be circumstances under which the
■ b. In paragraph (a)(5), remove ‘‘OMB § 1003.207 [Amended] bonding requirements of 2 CFR 200.325
Circular A–133’’ and add in its place ‘‘2 ■ 180. Amend § 1003.207 as follows: are inconsistent with other
CFR part 200, subpart F,’’; and ■ a. In paragraph (a)(2), remove ‘‘OMB responsibilities and obligations of the
■ c. In paragraph (a)(6), remove ‘‘OMB grantee. In such circumstances,
Circular A–87’’ and add in its place ‘‘2
Circular A–133’’ and add in its place ‘‘2 CFR part 200, subpart E’’; and acceptable methods to provide
CFR part 200, subpart F,’’. ■ b. In paragraph (b)(1)(i), remove performance and payment assurance
§ 1000.544 [Amended] ‘‘leasing, depreciation or use allowances may include:
pursuant to OMB Circular A–21, A–87 (i) Deposit with the grantee of a cash
■ 175. Amend § 1000.544 by: or A–122 as applicable’’ and add in its escrow of not less than 20 percent of the
■ a. Removing ‘‘including OMB Circular place ‘‘leasing or depreciation pursuant total contract price, subject to reduction
A–133’’ and adding in its place to 2 CFR part 200, subpart E,’’. during the warranty period,
‘‘implemented by 2 CFR part 200, commensurate with potential risk; or
■ 181. Amend § 1003.501 as follows:
subpart F’’; and (ii) Letter of credit for 25 percent of
■ a. Revise paragraph (a);
■ b. Removing ‘‘in OMB Circular A–133,
■ b. Remove paragraph (b) and the total contract price, unconditionally
subpart B, section 200’’ and adding in payable upon demand of the grantee,
redesignate paragraph (c) as paragraph
its place ‘‘in 2 CFR 200.501’’. subject to reduction during the warranty
(b);
■ 176. Revise § 1000.548 to read as ■ c. Revise the heading of newly period commensurate with potential
follows: redesignated paragraph (b); risk.
§ 1000.548 Must a copy of the recipient’s ■ d. In newly redesignated paragraph (9) Paragraphs (b) through (d) and (f)
audit pursuant to the Single Audit Act (b)(1): of § 200.328, ‘‘Monitoring and reporting
relating to NAHASDA activities be ■ i. Remove ‘‘Attachment B of OMB program performance.’’
submitted to HUD? Circulars A–21, A–87, or A–123, as (10) Section 200.333, ‘‘Retention
No. A copy of the recipient audit applicable,’’ and add in its place ‘‘2 CFR requirements for records’’ applies.
under the Single Audit Act relating to part 200, subpart E’’; and However, the retention period
NAHASDA activities is only required to ■ ii. Remove ‘‘Attachment A of such referenced in 2 CFR 200.333 pertaining
be submitted to the Federal Audit circulars’’ and add in its place ‘‘2 CFR to individual ICDBG activities starts
Clearinghouse pursuant to 2 CFR part part 200, subpart E,’’. from the date of the submission of the
■ e. In newly redesignated paragraph final status and evaluation report as
200, subpart F.
(b)(1)(i), remove ‘‘specific approval of prescribed in § 1003.506(a) in which the
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PART 1003—COMMUNITY HUD or, if charged through a cost specific activity is reported.
DEVELOPMENT BLOCK GRANTS FOR allocation plan,’’ and add in its place (11) Section 200.343, ‘‘Closeout.’’
INDIAN TRIBES AND ALASKA NATIVE ‘‘the approval of’’; (b) Cost principles. (1)* * *
VILLAGES ■ f. In newly redesignated paragraph (iii) Costs of housing (e.g.,
(b)(1)(ii), remove ‘‘and penalties’’ and depreciation, maintenance, utilities,
■ 177. The authority citation for part add in its place ‘‘, penalties, damages, furnishings, rent), housing allowances
1003 continues to read as follows: and other settlements’’; and and personal living expenses (goods or
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![Federal Register / Vol. 80, No. 234 / Monday, December 7, 2015 / Rules and Regulations 75945
services for personal use), regardless of § 1003.511 [Amended] with the general policies and principles
whether reported as taxable income to ■ 188. Amend § 1003.511(a)(2) by stated in 2 CFR part 200, subpart E, and
the employees (2 CFR 200.445), require removing ‘‘24 CFR 85.36’’ and adding in are otherwise eligible under this part,
HUD prior approval. its place ‘‘2 CFR part 200, subpart D’’. except for the following:
(iv) Organization costs (2 CFR (i) Depreciation methods for fixed
200.455) require HUD prior approval. § 1003.600 [Amended]
assets shall not be changed without the
■ 182. Amend § 1003.502 as follows: ■ 189. Amend § 1003.600(f) by approval of the Federal cognizant
■ a. In paragraph (b)(3), remove removing ‘‘24 CFR parts 84 and 85’’ and agency.
‘‘§ 85.25’’ and add in its place ‘‘2 CFR adding in its place ‘‘2 CFR 200.311(c).’’
(ii) Fines, penalties, damages, and
200.307’’. § 1003.606 [Amended] other settlements are unallowable costs
■ b. Revise paragraph (b)(7). to the NHHBG program.
190. Amend § 1003.606 as follows:
■
The revision reads as follows: a. In paragraph (a)(1), remove ‘‘24 CFR
■ (iii) Costs of housing (e.g.,
§ 1003.502 Agreements with subrecipients. 85.36 and 24 CFR 84.42’’ and add in its depreciation, maintenance, utilities,
* * * * * place ‘‘2 CFR 200.112, 200.318(c), and furnishings, rent), housing allowances
200.319(a)(5)’’; and and personal living expenses (goods or
(b) * * * ■ b. In paragraph (a)(2), remove ‘‘24 CFR
(7) Suspension and termination. The services for personal use) regardless of
85.36 and 24 CFR 84.42’’ and add in its whether reported as taxable income to
agreement shall set forth remedies for place ‘‘2 CFR 200.318’’.
noncompliance and provisions on the employees (2 CFR 200.445).
termination in accordance with 2 CFR PART 1006—NATIVE HAWAIIAN (iv) Organization costs (2 CFR
part 200, subpart D. HOUSING BLOCK GRANT PROGRAM 200.455).
* * * * * (2) In addition, no person providing
■ 191. The authority citation for part
§ 1003.503 [Amended] 1006 continues to read as follows: consultant services in an employer-
employee type of relationship shall
■ 183. Amend § 1003.503 as follows: Authority: 25 U.S.C. 4221 et seq.; 42 receive funds. In no event, however,
■ a. In paragraph (a), remove ‘‘24 CFR U.S.C. 3535(d).
shall such compensation exceed the
85.25’’ and add in its place ‘‘2 CFR § 1006.230 [Amended] equivalent of the daily rate paid for
200.307’’; Level IV of the Executive Schedule. The
■ 192. Amend § 1006.230(d) by
■ b. In paragraph (b)(6), remove ‘‘24 Executive Pay Schedule may be
removing ‘‘OMB Circulars A–87 or A–
CFR 85.25’’ and add in its place ‘‘2 CFR obtained by https://www.opm.gov/
122 as applicable’’ and adding in its
200.307’’; and policy-data-oversight/pay-leave/
place ‘‘2 CFR part 200, subpart E’’.
■ c. In paragraph (b)(7), remove ‘‘24 CFR salaries-wages.
85.25(g)(2)’’ and add in its place ‘‘2 CFR § 1006.340 [Amended]
200.307(e)(2)’’. § 1006.375 [Amended]
■ 193. Amend § 1006.340(b)(3) by
§ 1003.507 [Amended] removing ‘‘24 CFR part 85’’ and adding ■ 197. Amend § 1006.375(d) by:
in its place ‘‘2 CFR 200.305’’.
■ 184. Amend § 1003.507 by removing ■ a. Removing ‘‘OMB Circular A–133’’
‘‘24 CFR 85.42(f)’’ and adding in its § 1006.360 [Amended] and adding in its place ‘‘2 CFR part 200,
place ‘‘2 CFR 200.337’’. ■ 194. Amend § 1006.360 by removing subpart F’’; and
‘‘24 CFR 85.36 or 24 CFR 84.42’’ and ■ b. Removing ‘‘HUD concurrent with
§ 1003.508 [Amended]
adding in its place ‘‘2 CFR 200.317 (for submittal to the Audit Clearinghouse’’
■ 185. Amend § 1003.508 as follows: DHHL) and 2 CFR 200.318 (for and adding in its place ‘‘the Federal
■ a. In paragraph (b)(4), remove ‘‘24 CFR subrecipients)’’. Audit Clearinghouse’’.
part 44’’ and add in its place ‘‘2 CFR
part 200, subpart F’’; § 1006.365 [Amended] § 1006.420 [Amended]
■ b. In paragraph (d), remove ‘‘24 CFR
■ 195. Amend § 1006.365(b) by
removing ‘‘24 CFR 85.36’’ and adding in ■ 198. Amend § 1006.420(b)(3) by
85.44’’ and add in its place ‘‘2 CFR removing ‘‘the DHHL’’ and adding in its
200.339’’; and its place ‘‘2 CFR part 200, subpart D,’’.
■ 196. Revise § 1006.370 to read as place ‘‘the DHHL, including their
■ c. In paragraph (e), remove ‘‘24 CFR
follows: retention under 2 CFR 200.333, noting
85.43(c)’’ and add in its place ‘‘2 CFR that the NHHBG Annual Performance
200.342’’. § 1006.370 Uniform administrative, Report is the program’s final
requirements, cost principles, and audit expenditure report’’.
§ 1003.509 [Amended]
requirements for Federal awards.
■ 186. Amend § 1003.509(e) by (a) The DHHL and subrecipients Dated: October 28, 2015.
removing ‘‘24 CFR 85.36’’ and adding in receiving NHHBG funds shall comply Julián Castro,
its place ‘‘2 CFR part 200, subpart D,’’. with the requirements and standards of Secretary.
§ 1003.510 [Amended] 2 CFR part 200, ‘‘Uniform [FR Doc. 2015–29692 Filed 12–4–15; 8:45 am]
Administrative Requirements, Cost BILLING CODE 4210–67–P
■ 187. Amend § 1003.510 as follows: Principles, and Audit Requirements for
jstallworth on DSK7TPTVN1PROD with RULES
■ a. In paragraph (d)(2)(iii), remove ‘‘24 Federal Awards’’.
CFR 85.36’’ and add in its place ‘‘2 CFR (b)(1) With respect to the applicability
200.320’’; of cost principles, all items of cost listed
■ b. In paragraph (d)(3), remove ‘‘24 in 2 CFR part 200, subpart E, which
CFR 85.36’’ in the two places where it require prior Federal agency approval
appears and add in their place ‘‘2 CFR are allowable without the prior approval
200.320’’. of HUD to the extent that they comply
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Document Created: 2015-12-14 13:30:22
Document Modified: 2015-12-14 13:30:22
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Rules and Regulations | |
| Action | Final rule. | |
| Contact | Scott Moore, Financial Operations Analyst, Office of the Chief Financial Officer, Financial Policy & Procedures Division, 451 7th Street SW., Room 3210, Washington, DC 20410, telephone number 202-402-2277, or Loyd LaMois, Supervisory Program Analyst, Office of Strategic Planning and Management, 451 7th Street SW., Room 3156, Washington, DC 20410, telephone number 202-402- 3964. These are not a toll-free numbers. Persons with hearing or speech impairments may access these numbers through TTY by calling the Federal Relay Service, toll-free, at 800-877-8339. | |
| FR Citation | 80 FR 75931 | |
| RIN Number | 2501-AD66 | |
| CFR Citation | 24
CFR
1000 24 CFR 1003 24 CFR 1006 24 CFR 115 24 CFR 125 24 CFR 135 24 CFR 200 24 CFR 202 24 CFR 214 24 CFR 236 24 CFR 242 24 CFR 248 24 CFR 266 24 CFR 401 24 CFR 4 24 CFR 570 24 CFR 573 24 CFR 574 24 CFR 576 24 CFR 578 24 CFR 582 24 CFR 583 24 CFR 5 24 CFR 700 24 CFR 761 24 CFR 880 24 CFR 881 24 CFR 882 24 CFR 883 24 CFR 884 24 CFR 886 24 CFR 891 24 CFR 902 24 CFR 905 24 CFR 92 24 CFR 943 24 CFR 963 24 CFR 964 24 CFR 965 24 CFR 970 24 CFR 982 24 CFR 990 | |
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