81_FR_49342 81 FR 49198 - Supportive Services for Veteran Families Program

81 FR 49198 - Supportive Services for Veteran Families Program

DEPARTMENT OF VETERANS AFFAIRS

Federal Register Volume 81, Issue 144 (July 27, 2016)

Page Range49198-49200
FR Document2016-17624

The Department of Veterans Affairs (VA) proposes to amend its regulations that govern the Supportive Services for Veteran Families (SSVF) Program. This rulemaking would clarify VA's procedures for continuing to fund SSVF Program services in communities that have lost grants due to the non-renewal or termination of services of an existing award to a grantee by awarding non-renewed or deobligated funds to other existing SSVF grantees in or near the affected community. This award of non-renewed or deobligated funds would prevent potential access issues associated with grant termination. This rulemaking would also reduce the number of satisfaction surveys grantees are required to provide to participants in order to reduce the burden on grantees and participants.

Federal Register, Volume 81 Issue 144 (Wednesday, July 27, 2016)
[Federal Register Volume 81, Number 144 (Wednesday, July 27, 2016)]
[Proposed Rules]
[Pages 49198-49200]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-17624]



[[Page 49198]]

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DEPARTMENT OF VETERANS AFFAIRS

38 CFR Part 62

RIN 2900-AP61


Supportive Services for Veteran Families Program

AGENCY: Department of Veterans Affairs.

ACTION: Proposed rule.

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SUMMARY: The Department of Veterans Affairs (VA) proposes to amend its 
regulations that govern the Supportive Services for Veteran Families 
(SSVF) Program. This rulemaking would clarify VA's procedures for 
continuing to fund SSVF Program services in communities that have lost 
grants due to the non-renewal or termination of services of an existing 
award to a grantee by awarding non-renewed or deobligated funds to 
other existing SSVF grantees in or near the affected community. This 
award of non-renewed or deobligated funds would prevent potential 
access issues associated with grant termination. This rulemaking would 
also reduce the number of satisfaction surveys grantees are required to 
provide to participants in order to reduce the burden on grantees and 
participants.

DATES: Comments must be received on or before September 26, 2016.

ADDRESSES: Written comments may be submitted through 
www.Regulations.gov; by mail or hand-delivery to Director, Regulation 
Policy and Management (00REG), Department of Veterans Affairs, 810 
Vermont Avenue NW., Room 1068, Washington, DC 20420; or by fax to (202) 
273-9026. Comments should indicate that they are submitted in response 
to ``RIN 2900-AP61--Supportive Services for Veteran Families Program.'' 
Copies of comments received will be available for public inspection in 
the Office of Regulation Policy and Management, Room 1068, between the 
hours of 8:00 a.m. and 4:30 p.m., Monday through Friday (except 
holidays). Please call (202) 461-4902 for an appointment. (This is not 
a toll-free number.) In addition, during the comment period, comments 
may be viewed online through the Federal Docket Management System at 
www.Regulations.gov.

FOR FURTHER INFORMATION CONTACT: John Kuhn, National Center for 
Homelessness Among Veterans, Supportive Services for Veteran Families 
Program Office, 4100 Chester Avenue, Suite 200, Philadelphia, PA 19104, 
(877) 737-0111. (This is a toll-free number).

SUPPLEMENTARY INFORMATION: Title 38, section 2044, United States Code 
(U.S.C.), requires the Secretary to provide financial assistance to 
eligible entities to provide and coordinate the provision of supportive 
services for very low-income veteran families occupying permanent 
housing. The Secretary's implementing regulations are in 38 CFR part 
62, which established the SSVF Program. Through the SSVF Program, VA 
awards supportive services grants to private non-profit organizations 
or consumer cooperatives to provide or coordinate the provision of 
supportive services to very low-income veteran families who are 
residing in permanent housing and at risk of becoming homeless; lacking 
a fixed, regular, and adequate nighttime residence, at risk of 
remaining so but for grantee assistance, and scheduled to become 
residents of permanent housing within 90 days pending the location or 
development of housing suitable for permanent housing; or, after 
exiting permanent housing, are seeking other housing that is responsive 
to their needs and preferences. This proposed rulemaking would clarify 
existing VA policy regarding award of non-renewed or deobligated funds 
to other existing SSVF grantees in or near the affected community where 
the funds were originally used in order to maintain continuity in the 
services offered to these communities.

62.25 Selecting Grantees for Renewal or Non-Renewal of Supportive 
Services Grants

    Current Sec.  62.25 provides the process to select grantees 
applying for renewal of supportive services grants. Paragraph (a) of 
Sec.  62.25 of 38 CFR states that VA will score the grantee using the 
scoring criteria set forth in Sec.  62.24 as long as the grantee 
continues to meet the threshold requirements in Sec.  62.21. Paragraph 
(b) provides that VA will rank in order from highest to lowest the 
grantees who receive at least the minimum amount of total points and 
points per category in the Notice of Funding Availability (NOFA). 
Lastly, paragraph (c) states that VA will use the grantee's ranking as 
the basis for selection for funding and fund the highest-ranked 
grantees for which funding is available. Although Sec.  62.25 does not 
expressly address the award of any non-renewed funds, it is VA's policy 
under this authority to offer to award non-renewed funds to other 
qualifying existing grantees within the same community applying the 
same criteria in this section when re-awarding non-renewed funds. 
Otherwise, the community that was served by the grantee may suffer an 
interruption in services to those who are homeless or at-risk of 
becoming homeless. We propose to amend Sec.  62.25 to expressly codify 
this current practice in the regulation. We propose to add a new 
paragraph (d) to state the process by which VA would, in its 
discretion, offer to award any non-renewed funds to other qualifying 
existing grantees. This process would be similar to the award of 
deobligated funds under the proposed revisions to Sec.  62.80(d)(2).

62.36 General Operation Requirements

    Section 62.36 establishes the operation requirements for grantees 
that provide supportive services. Paragraph (c) establishes the 
notifications a grantee must provide to participants before the grantee 
provides supportive services, which include that the services are paid 
for in whole or part by VA, the types of services available to the 
participant, and any restrictions or conditions on the receipt of the 
services. Paragraph (c) also states that a grantee must provide each 
participant with a satisfaction survey. This satisfaction survey helps 
VA evaluate the provision of supportive services by a grantee to a 
participant. The results of the satisfaction survey also assist VA in 
determining if future SSVF Program funds should be awarded to a 
grantee.
    Under current paragraph (c)(2), a satisfaction survey must be 
provided to the participant within 45 to 60 days of the participant's 
entry into the grantee's program, and also within 30 days prior to the 
participant's pending exit from the program. However, requesting two 
satisfaction surveys has resulted in poor response rates by 
participants and has created an unnecessary burden on the grantees and 
the participants. Therefore, we propose to reduce the number of 
satisfaction surveys by eliminating the survey that must be provided to 
the participant within 45 to 60 days of the participant's entry to the 
program. By reducing the number of satisfaction surveys, VA expects to 
reduce the burden to the grantees and the participants and, in turn, 
improve the response rate. We propose to amend paragraph (c)(2) to 
state that a ``grantee must provide each participant with a 
satisfaction survey, which the participant can submit directly to VA, 
within 30 days of such participant's pending exit from the grantee's 
program.''

62.80 Withholding, Suspension, Deobligation, Termination, and Recovery 
of Funds by VA

    Current paragraph (a) of Sec.  62.80 states that VA will recover 
from grantees any SSVF funds that are not used in accordance with the 
SSVF Program requirements. In addition, paragraph (b)

[[Page 49199]]

of Sec.  62.80 provides that if a grantee fails to comply with these 
requirements, VA may withhold further payment, suspend the supportive 
services grant, or prohibit the grantee from incurring additional 
obligations of supportive services grant funds, pending corrective 
action by the grantee or a decision to terminate the grant. Paragraph 
(c) of Sec.  62.80 provides the circumstances under which VA may 
terminate a grant in whole or in part, including: When a grantee 
materially fails to comply with the terms and conditions of a grant 
award, the grantee consents to termination, or the grantee notifies VA 
of its intent to terminate the grant. Paragraph (d) of Sec.  62.80 
establishes the circumstances under which VA may deobligate amounts 
approved for use by a grantee. The SSVF Program has a robust monitoring 
and compliance program to ensure that community agencies awarded VA 
grant funds perform in accordance with their grant agreements. As part 
of these oversight responsibilities, SSVF Program funds may be 
deobligated for several reasons, including: The activity for which 
funding was approved is not provided, the approved amounts have not 
been expended within one year from the date the agreement was signed, 
or other circumstances as set forth in the agreement, for example, if 
the grantee goes bankrupt. Under Sec.  62.80(d)(2), VA has 
discretionary authority to re-advertise in a Notice of Funding 
Availability (NOFA) the availability of funds that have been 
deobligated, or to award deobligated funds to applicants who previously 
submitted applications in response to the most recently published SSVF 
Program NOFA. Under this authority, it is VA's current policy that VA 
could award deobligated funds to existing SSVF grantees in or near the 
impacted community of those grantees so long as those grantees applied 
to the most recently published NOFA applicable to the geographic area 
at issue, or in the case of multi-year awards, the most recently 
published NOFA to which the grantee applied applicable to the 
geographic area at issue. This policy is designed to prevent potential 
access issues associated with grant termination. Otherwise, in the case 
of deobligated funds, it is possible that no SSVF Program services 
would be available in the affected communities for months before VA is 
able to publish a NOFA in the Federal Register to make available the 
funds to qualified grantees. This rulemaking would clarify this policy 
in the regulation.
    We would amend Sec.  62.80(d) by revising paragraph (d)(2). The 
proposed revision to Sec.  62.80(d)(2) would state that VA may award 
deobligated or non-renewed funds to a qualified existing SSVF grantee 
serving the community where the deobligation or non-renewal occurred. A 
grantee who is currently serving the affected community would be better 
able to address the needs of the community because the grantee is 
already working within that community. VA understands that there may be 
more than one grantee in a community that is qualified to receive the 
deobligated funds. We would, therefore, first offer to award the 
deobligated or non-renewed funds to the grantee with the highest grant 
score (based on existing grantees most recent scores) that has the 
capacity to provide immediate services to the affected community. The 
requirement that the grantee be able to immediately offer services 
would be made in order to make certain that the grantee who is offered 
the funds is quickly able to address the needs of the impacted 
community and reduce added delays in providing services. However, such 
grantee may not want to take on the added funds or responsibilities. In 
such case, VA would offer the funds to the next qualified grantee in 
rank order until all funds are awarded. There may be instances where 
there are no other grantees serving the community where the 
deobligation occurred. In such circumstances, VA would offer to award 
the deobligated funds to qualified grantees in rank order who serve the 
adjacent community, subject to the grantee's agreement to use the funds 
to serve the community where the deobligation occurred. We would add 
the requirement that the funds must be used in the community where the 
funds were deobligated because the deobligated funds are offered as a 
means of providing continuous services to the affected community, not 
to add more funds to a community that is already funded otherwise.

Effect of Rulemaking

    The Code of Federal Regulations, as proposed to be revised by this 
proposed rulemaking, would represent the exclusive legal authority on 
this subject. No contrary rules or procedures would be authorized. All 
VA guidance would be read to conform with this proposed rulemaking if 
possible or, if not possible, such guidance would be superseded by this 
rulemaking.

Paperwork Reduction Act

    Although this action contains provisions constituting collections 
of information at 38 CFR 62.36, under the Paperwork Reduction Act of 
1995 (44 U.S.C. 3501-3521), no new or proposed revised collections of 
information are associated with this proposed rule. The information 
collection requirements for Sec.  62.36 are currently approved by the 
Office of Management and Budget (OMB) and have been assigned OMB 
control number 2900-0757.

Regulatory Flexibility Act

    The Secretary hereby certifies that this proposed rule would not 
have a significant economic impact on a substantial number of small 
entities as they are defined in the Regulatory Flexibility Act (5 
U.S.C. 601-612). This proposed rule would only impact those entities 
that choose to participate in the SSVF Program. Small entity applicants 
will not be affected to a greater extent than large entity applicants. 
Small entities must elect to participate, and it is considered a 
benefit to those who choose to apply. To the extent this proposed rule 
would have any impact on small entities, it would not have an impact on 
a substantial number of small entities. Therefore, under 5 U.S.C. 
605(b), this rulemaking would be exempt from the initial and final 
regulatory flexibility analysis requirements of sections 603 and 604.

Executive Order 12866 and 13563

    Executive Orders 12866 and 13563 direct agencies to assess the 
costs and benefits of available regulatory alternatives and, when 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, and other advantages; distributive impacts; 
and equity). Executive Order 13563 (Improving Regulation and Regulatory 
Review) emphasizes the importance of quantifying both costs and 
benefits, reducing costs, harmonizing rules, and promoting flexibility. 
Executive Order 12866 (Regulatory Planning and Review) defines a 
``significant regulatory action,'' requiring review by OMB, unless OMB 
waives such review, as ``any regulatory action that is likely to result 
in a rule that may: (1) Have an annual effect on the economy of $100 
million or more or adversely affect in a material way the economy, a 
sector of the economy, productivity, competition, jobs, the 
environment, public health or safety, or State, local, or tribal 
governments or communities; (2) Create a serious inconsistency or 
otherwise interfere with an action taken or planned by another agency; 
(3) Materially alter the budgetary impact of entitlements, grants, user 
fees, or loan programs or the rights and obligations of recipients 
thereof; or (4) Raise novel

[[Page 49200]]

legal or policy issues arising out of legal mandates, the President's 
priorities, or the principles set forth in this Executive Order.''
    The economic, interagency, budgetary, legal, and policy 
implications of this regulatory action have been examined, and it has 
been determined not to be a significant regulatory action under 
Executive Order 12866. VA's impact analysis can be found as a 
supporting document at http://www.regulations.gov, usually within 48 
hours after the rulemaking document is published. Additionally, a copy 
of the rulemaking and its impact analysis are available on VA's Web 
site at http://www.va.gov/orpm/, by following the link for ``VA 
Regulations Published From FY 2004 Through Fiscal Year to Date.''

Unfunded Mandates

    The Unfunded Mandates Reform Act of 1995 requires, at 2 U.S.C. 
1532, that agencies prepare an assessment of anticipated costs and 
benefits before issuing any rule 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 (adjusted annually for 
inflation) in any one year. This proposed rule would have no such 
effect on State, local, and tribal governments, or on the private 
sector.
    Catalog of Federal Domestic Assistance The Catalog of Federal 
Domestic Assistance numbers and titles for the programs affected by 
this document are 64.009, Veterans Medical Care Benefits, and 64.033, 
VA Supportive Services for Veteran Families Program.

Signing Authority

    The Secretary of Veterans Affairs, or designee, approved this 
document and authorized the undersigned to sign and submit the document 
to the Office of the Federal Register for publication electronically as 
an official document of the Department of Veterans Affairs. Gina S. 
Farrisee, Deputy Chief of Staff, Department of Veterans Affairs, 
approved this document on July 19, 2016, for publication.

List of Subjects in 38 CFR Part 62

    Administrative practice and procedure, Day care, Disability 
benefits, Government contracts, Grant programs--health, Grant 
programs--housing and community development, Grant programs--veterans, 
Heath care, Homeless, Housing, Indians--lands, Individuals with 
disabilities, Low and moderate income housing, Manpower training 
programs, Medicaid, Medicare, Public assistance programs, Public 
housing, Relocation assistance, Rent subsidies, Reporting and 
recordkeeping requirements, Rural areas, Social security, Supplemental 
Security Income (SSI), Travel and transportation expenses, Unemployment 
compensation.

    Dated: July 20, 2016.
Janet J. Coleman,
Chief, Office of Regulation Policy & Management, Office of the 
Secretary, Department of Veterans Affairs.
    For the reasons set out in the preamble, the Department of Veterans 
Affairs proposes to amend 38 CFR part 62 as follows:

PART 62--SUPPORTIVE SERVICES FOR VETERAN FAMILIES PROGRAM

0
1. The authority citation for part 62 continues to read as follows:

    Authority:  38 U.S.C. 501, 2044, and as noted in specific 
sections.

0
2. Amend Sec.  62.25 by adding paragraph (d) to read as follows:


Sec.  62.25  Selecting grantees for renewal of supportive services 
grants.

* * * * *
    (d) At its discretion, VA may award any non-renewed funds to an 
applicant or existing grantee. If VA chooses to award non-renewed funds 
to an applicant or existing grantee, funds will be awarded as follows:
    (1) VA will first offer to award the non-renewed funds to the 
applicant or grantee with the highest grant score under the relevant 
Notice of Fund Availability that applies for, or is awarded a renewal 
grant in, the same community as, or a proximate community to, the 
affected community. Such applicant or grantee must have the capacity 
and agree to provide immediate services to the affected community. 
Under this section 62.25, the relevant Notice of Fund Availability is 
the most recently published Notice of Fund Availability which covers 
the geographic area that includes the affected community, or for multi-
year grant awards, the Notice of Fund Availability for which the 
grantee received the multi-year award.
    (2) If the first such applicant or grantee offered the non-renewed 
funds refuses the funds, VA will offer to award the funds to the next 
highest-ranked such applicant or grantee, per the criteria in paragraph 
(d)(1) of this section, and continue on in rank order until the non-
renewed funds are awarded.
* * * * *
0
3. Amend Sec.  62.36 by revising paragraph (c)(2) to read as follows:


Sec.  62.36  General operation requirements.

* * * * *
    (c) * * *
    (2) The grantee must provide each participant with a satisfaction 
survey, which the participant can submit directly to VA, within 30 days 
of such participant's pending exit from the grantee's program.
* * * * *
0
4. Amend Sec.  62.80 by revising paragraph (d)(2) to read as follows:


Sec.  62.80  Withholding, suspension, deobligation, termination, and 
recovery of funds by VA.

* * * * *
    (d) * * *
    (2) At its discretion, VA may re-advertise in a Notice of Fund 
Availability the availability of funds that have been deobligated under 
this section or award deobligated funds to an applicant or existing 
grantee. If VA chooses to award deobligated funds to an applicant or 
existing grantee, funds will be awarded as follows:
    (i) VA will first offer to award the deobligated funds to the 
applicant or grantee with the highest grant score under the relevant 
Notice of Fund Availability that applied for or was awarded funds in 
the same community as, or proximate community to, the affected 
community. Such applicant or grantee must have the capacity and agree 
to provide immediate services to the affected community. Under this 
section 62.80 the relevant Notice of Fund Availability is the most 
recently published Notice of Fund Availability which covers the 
geographic area that includes the affected community, or for multi-year 
grant awards, the most recently published Notice of Fund Availability 
which covers the geographic area that includes the affected community 
for which the grantee received the multi-year award.
    (ii) If the first such applicant or grantee offered the deobligated 
funds refuses the funds, VA will offer to award funds to the next 
highest-ranked such applicant or grantee, per to the criteria in 
paragraph (d)(2)(i) of this section, and continue on in rank order 
until all deobligated funds are awarded.
* * * * *
[FR Doc. 2016-17624 Filed 7-26-16; 8:45 am]
 BILLING CODE 8320-01-P



                                               49198                  Federal Register / Vol. 81, No. 144 / Wednesday, July 27, 2016 / Proposed Rules

                                               DEPARTMENT OF VETERANS                                   (U.S.C.), requires the Secretary to                   codify this current practice in the
                                               AFFAIRS                                                  provide financial assistance to eligible              regulation. We propose to add a new
                                                                                                        entities to provide and coordinate the                paragraph (d) to state the process by
                                               38 CFR Part 62                                           provision of supportive services for very             which VA would, in its discretion, offer
                                               RIN 2900–AP61                                            low-income veteran families occupying                 to award any non-renewed funds to
                                                                                                        permanent housing. The Secretary’s                    other qualifying existing grantees. This
                                               Supportive Services for Veteran                          implementing regulations are in 38 CFR                process would be similar to the award
                                               Families Program                                         part 62, which established the SSVF                   of deobligated funds under the proposed
                                                                                                        Program. Through the SSVF Program,                    revisions to § 62.80(d)(2).
                                               AGENCY:    Department of Veterans Affairs.               VA awards supportive services grants to
                                               ACTION:   Proposed rule.                                                                                       62.36 General Operation
                                                                                                        private non-profit organizations or
                                                                                                                                                              Requirements
                                                                                                        consumer cooperatives to provide or
                                               SUMMARY:   The Department of Veterans                    coordinate the provision of supportive                   Section 62.36 establishes the
                                               Affairs (VA) proposes to amend its                       services to very low-income veteran                   operation requirements for grantees that
                                               regulations that govern the Supportive                   families who are residing in permanent                provide supportive services. Paragraph
                                               Services for Veteran Families (SSVF)                     housing and at risk of becoming                       (c) establishes the notifications a grantee
                                               Program. This rulemaking would clarify                   homeless; lacking a fixed, regular, and               must provide to participants before the
                                               VA’s procedures for continuing to fund                   adequate nighttime residence, at risk of              grantee provides supportive services,
                                               SSVF Program services in communities                     remaining so but for grantee assistance,              which include that the services are paid
                                               that have lost grants due to the non-                    and scheduled to become residents of                  for in whole or part by VA, the types of
                                               renewal or termination of services of an                 permanent housing within 90 days                      services available to the participant, and
                                               existing award to a grantee by awarding                  pending the location or development of                any restrictions or conditions on the
                                               non-renewed or deobligated funds to                      housing suitable for permanent housing;               receipt of the services. Paragraph (c)
                                               other existing SSVF grantees in or near                  or, after exiting permanent housing, are              also states that a grantee must provide
                                               the affected community. This award of                    seeking other housing that is responsive              each participant with a satisfaction
                                               non-renewed or deobligated funds                         to their needs and preferences. This                  survey. This satisfaction survey helps
                                               would prevent potential access issues                    proposed rulemaking would clarify                     VA evaluate the provision of supportive
                                               associated with grant termination. This                  existing VA policy regarding award of                 services by a grantee to a participant.
                                               rulemaking would also reduce the                         non-renewed or deobligated funds to                   The results of the satisfaction survey
                                               number of satisfaction surveys grantees                  other existing SSVF grantees in or near               also assist VA in determining if future
                                               are required to provide to participants                  the affected community where the funds                SSVF Program funds should be awarded
                                               in order to reduce the burden on                         were originally used in order to                      to a grantee.
                                               grantees and participants.                               maintain continuity in the services                      Under current paragraph (c)(2), a
                                               DATES: Comments must be received on                      offered to these communities.                         satisfaction survey must be provided to
                                               or before September 26, 2016.                                                                                  the participant within 45 to 60 days of
                                                                                                        62.25 Selecting Grantees for Renewal                  the participant’s entry into the grantee’s
                                               ADDRESSES: Written comments may be
                                                                                                        or Non-Renewal of Supportive Services                 program, and also within 30 days prior
                                               submitted through                                        Grants
                                               www.Regulations.gov; by mail or hand-                                                                          to the participant’s pending exit from
                                               delivery to Director, Regulation Policy                     Current § 62.25 provides the process               the program. However, requesting two
                                               and Management (00REG), Department                       to select grantees applying for renewal               satisfaction surveys has resulted in poor
                                               of Veterans Affairs, 810 Vermont                         of supportive services grants. Paragraph              response rates by participants and has
                                               Avenue NW., Room 1068, Washington,                       (a) of § 62.25 of 38 CFR states that VA               created an unnecessary burden on the
                                               DC 20420; or by fax to (202) 273–9026.                   will score the grantee using the scoring              grantees and the participants. Therefore,
                                               Comments should indicate that they are                   criteria set forth in § 62.24 as long as the          we propose to reduce the number of
                                               submitted in response to ‘‘RIN 2900–                     grantee continues to meet the threshold               satisfaction surveys by eliminating the
                                               AP61—Supportive Services for Veteran                     requirements in § 62.21. Paragraph (b)                survey that must be provided to the
                                               Families Program.’’ Copies of comments                   provides that VA will rank in order from              participant within 45 to 60 days of the
                                               received will be available for public                    highest to lowest the grantees who                    participant’s entry to the program. By
                                               inspection in the Office of Regulation                   receive at least the minimum amount of                reducing the number of satisfaction
                                               Policy and Management, Room 1068,                        total points and points per category in               surveys, VA expects to reduce the
                                               between the hours of 8:00 a.m. and 4:30                  the Notice of Funding Availability                    burden to the grantees and the
                                               p.m., Monday through Friday (except                      (NOFA). Lastly, paragraph (c) states that             participants and, in turn, improve the
                                               holidays). Please call (202) 461–4902 for                VA will use the grantee’s ranking as the              response rate. We propose to amend
                                               an appointment. (This is not a toll-free                 basis for selection for funding and fund              paragraph (c)(2) to state that a ‘‘grantee
                                               number.) In addition, during the                         the highest-ranked grantees for which                 must provide each participant with a
                                               comment period, comments may be                          funding is available. Although § 62.25                satisfaction survey, which the
                                               viewed online through the Federal                        does not expressly address the award of               participant can submit directly to VA,
                                                                                                        any non-renewed funds, it is VA’s                     within 30 days of such participant’s
                                               Docket Management System at
                                                                                                        policy under this authority to offer to               pending exit from the grantee’s
                                               www.Regulations.gov.
                                                                                                        award non-renewed funds to other                      program.’’
                                               FOR FURTHER INFORMATION CONTACT: John                    qualifying existing grantees within the
                                               Kuhn, National Center for Homelessness                   same community applying the same                      62.80 Withholding, Suspension,
ehiers on DSK5VPTVN1PROD with PROPOSALS




                                               Among Veterans, Supportive Services                      criteria in this section when re-awarding             Deobligation, Termination, and
                                               for Veteran Families Program Office,                     non-renewed funds. Otherwise, the                     Recovery of Funds by VA
                                               4100 Chester Avenue, Suite 200,                          community that was served by the                        Current paragraph (a) of § 62.80 states
                                               Philadelphia, PA 19104, (877) 737–                       grantee may suffer an interruption in                 that VA will recover from grantees any
                                               0111. (This is a toll-free number).                      services to those who are homeless or                 SSVF funds that are not used in
                                               SUPPLEMENTARY INFORMATION: Title 38,                     at-risk of becoming homeless. We                      accordance with the SSVF Program
                                               section 2044, United States Code                         propose to amend § 62.25 to expressly                 requirements. In addition, paragraph (b)


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                                                                      Federal Register / Vol. 81, No. 144 / Wednesday, July 27, 2016 / Proposed Rules                                           49199

                                               of § 62.80 provides that if a grantee fails              revision to § 62.80(d)(2) would state that            revised collections of information are
                                               to comply with these requirements, VA                    VA may award deobligated or non-                      associated with this proposed rule. The
                                               may withhold further payment, suspend                    renewed funds to a qualified existing                 information collection requirements for
                                               the supportive services grant, or                        SSVF grantee serving the community                    § 62.36 are currently approved by the
                                               prohibit the grantee from incurring                      where the deobligation or non-renewal                 Office of Management and Budget
                                               additional obligations of supportive                     occurred. A grantee who is currently                  (OMB) and have been assigned OMB
                                               services grant funds, pending corrective                 serving the affected community would                  control number 2900–0757.
                                               action by the grantee or a decision to                   be better able to address the needs of the
                                                                                                                                                              Regulatory Flexibility Act
                                               terminate the grant. Paragraph (c) of                    community because the grantee is
                                               § 62.80 provides the circumstances                       already working within that community.                   The Secretary hereby certifies that
                                               under which VA may terminate a grant                     VA understands that there may be more                 this proposed rule would not have a
                                               in whole or in part, including: When a                   than one grantee in a community that is               significant economic impact on a
                                               grantee materially fails to comply with                  qualified to receive the deobligated                  substantial number of small entities as
                                               the terms and conditions of a grant                      funds. We would, therefore, first offer to            they are defined in the Regulatory
                                               award, the grantee consents to                           award the deobligated or non-renewed                  Flexibility Act (5 U.S.C. 601–612). This
                                               termination, or the grantee notifies VA                  funds to the grantee with the highest                 proposed rule would only impact those
                                               of its intent to terminate the grant.                    grant score (based on existing grantees               entities that choose to participate in the
                                               Paragraph (d) of § 62.80 establishes the                 most recent scores) that has the capacity             SSVF Program. Small entity applicants
                                               circumstances under which VA may                         to provide immediate services to the                  will not be affected to a greater extent
                                               deobligate amounts approved for use by                   affected community. The requirement                   than large entity applicants. Small
                                               a grantee. The SSVF Program has a                        that the grantee be able to immediately               entities must elect to participate, and it
                                               robust monitoring and compliance                         offer services would be made in order to              is considered a benefit to those who
                                               program to ensure that community                         make certain that the grantee who is                  choose to apply. To the extent this
                                               agencies awarded VA grant funds                          offered the funds is quickly able to                  proposed rule would have any impact
                                               perform in accordance with their grant                   address the needs of the impacted                     on small entities, it would not have an
                                               agreements. As part of these oversight                   community and reduce added delays in                  impact on a substantial number of small
                                               responsibilities, SSVF Program funds                     providing services. However, such                     entities. Therefore, under 5 U.S.C.
                                               may be deobligated for several reasons,                  grantee may not want to take on the                   605(b), this rulemaking would be
                                                                                                        added funds or responsibilities. In such              exempt from the initial and final
                                               including: The activity for which
                                                                                                        case, VA would offer the funds to the                 regulatory flexibility analysis
                                               funding was approved is not provided,
                                                                                                        next qualified grantee in rank order                  requirements of sections 603 and 604.
                                               the approved amounts have not been
                                               expended within one year from the date                   until all funds are awarded. There may                Executive Order 12866 and 13563
                                               the agreement was signed, or other                       be instances where there are no other
                                                                                                        grantees serving the community where                     Executive Orders 12866 and 13563
                                               circumstances as set forth in the                                                                              direct agencies to assess the costs and
                                               agreement, for example, if the grantee                   the deobligation occurred. In such
                                                                                                        circumstances, VA would offer to award                benefits of available regulatory
                                               goes bankrupt. Under § 62.80(d)(2), VA                                                                         alternatives and, when regulation is
                                               has discretionary authority to re-                       the deobligated funds to qualified
                                                                                                        grantees in rank order who serve the                  necessary, to select regulatory
                                               advertise in a Notice of Funding                                                                               approaches that maximize net benefits
                                               Availability (NOFA) the availability of                  adjacent community, subject to the
                                                                                                        grantee’s agreement to use the funds to               (including potential economic,
                                               funds that have been deobligated, or to                                                                        environmental, public health and safety
                                               award deobligated funds to applicants                    serve the community where the
                                                                                                        deobligation occurred. We would add                   effects, and other advantages;
                                               who previously submitted applications                                                                          distributive impacts; and equity).
                                               in response to the most recently                         the requirement that the funds must be
                                                                                                        used in the community where the funds                 Executive Order 13563 (Improving
                                               published SSVF Program NOFA. Under                                                                             Regulation and Regulatory Review)
                                               this authority, it is VA’s current policy                were deobligated because the
                                                                                                        deobligated funds are offered as a means              emphasizes the importance of
                                               that VA could award deobligated funds                                                                          quantifying both costs and benefits,
                                               to existing SSVF grantees in or near the                 of providing continuous services to the
                                                                                                        affected community, not to add more                   reducing costs, harmonizing rules, and
                                               impacted community of those grantees                                                                           promoting flexibility. Executive Order
                                               so long as those grantees applied to the                 funds to a community that is already
                                                                                                        funded otherwise.                                     12866 (Regulatory Planning and
                                               most recently published NOFA                                                                                   Review) defines a ‘‘significant
                                               applicable to the geographic area at                     Effect of Rulemaking                                  regulatory action,’’ requiring review by
                                               issue, or in the case of multi-year                        The Code of Federal Regulations, as                 OMB, unless OMB waives such review,
                                               awards, the most recently published                      proposed to be revised by this proposed               as ‘‘any regulatory action that is likely
                                               NOFA to which the grantee applied                        rulemaking, would represent the                       to result in a rule that may: (1) Have an
                                               applicable to the geographic area at                     exclusive legal authority on this subject.            annual effect on the economy of $100
                                               issue. This policy is designed to prevent                No contrary rules or procedures would                 million or more or adversely affect in a
                                               potential access issues associated with                  be authorized. All VA guidance would                  material way the economy, a sector of
                                               grant termination. Otherwise, in the                     be read to conform with this proposed                 the economy, productivity, competition,
                                               case of deobligated funds, it is possible                rulemaking if possible or, if not                     jobs, the environment, public health or
                                               that no SSVF Program services would be                   possible, such guidance would be                      safety, or State, local, or tribal
                                               available in the affected communities                                                                          governments or communities; (2) Create
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                                                                                                        superseded by this rulemaking.
                                               for months before VA is able to publish                                                                        a serious inconsistency or otherwise
                                               a NOFA in the Federal Register to make                   Paperwork Reduction Act                               interfere with an action taken or
                                               available the funds to qualified grantees.                 Although this action contains                       planned by another agency; (3)
                                               This rulemaking would clarify this                       provisions constituting collections of                Materially alter the budgetary impact of
                                               policy in the regulation.                                information at 38 CFR 62.36, under the                entitlements, grants, user fees, or loan
                                                  We would amend § 62.80(d) by                          Paperwork Reduction Act of 1995 (44                   programs or the rights and obligations of
                                               revising paragraph (d)(2). The proposed                  U.S.C. 3501–3521), no new or proposed                 recipients thereof; or (4) Raise novel


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                                               49200                  Federal Register / Vol. 81, No. 144 / Wednesday, July 27, 2016 / Proposed Rules

                                               legal or policy issues arising out of legal              Public assistance programs, Public                    ■ 3. Amend § 62.36 by revising
                                               mandates, the President’s priorities, or                 housing, Relocation assistance, Rent                  paragraph (c)(2) to read as follows:
                                               the principles set forth in this Executive               subsidies, Reporting and recordkeeping
                                               Order.’’                                                 requirements, Rural areas, Social                     § 62.36    General operation requirements.
                                                  The economic, interagency,                            security, Supplemental Security Income                *     *     *    *     *
                                               budgetary, legal, and policy                             (SSI), Travel and transportation                        (c) * * *
                                               implications of this regulatory action                   expenses, Unemployment
                                               have been examined, and it has been                      compensation.                                           (2) The grantee must provide each
                                               determined not to be a significant                                                                             participant with a satisfaction survey,
                                                                                                          Dated: July 20, 2016.
                                               regulatory action under Executive Order                                                                        which the participant can submit
                                                                                                        Janet J. Coleman,                                     directly to VA, within 30 days of such
                                               12866. VA’s impact analysis can be
                                               found as a supporting document at                        Chief, Office of Regulation Policy &                  participant’s pending exit from the
                                                                                                        Management, Office of the Secretary,
                                               http://www.regulations.gov, usually                                                                            grantee’s program.
                                                                                                        Department of Veterans Affairs.
                                               within 48 hours after the rulemaking                                                                           *     *     *    *     *
                                               document is published. Additionally, a                     For the reasons set out in the
                                                                                                        preamble, the Department of Veterans                  ■ 4. Amend § 62.80 by revising
                                               copy of the rulemaking and its impact
                                               analysis are available on VA’s Web site                  Affairs proposes to amend 38 CFR part                 paragraph (d)(2) to read as follows:
                                               at http://www.va.gov/orpm/, by                           62 as follows:
                                                                                                                                                              § 62.80 Withholding, suspension,
                                               following the link for ‘‘VA Regulations                  PART 62—SUPPORTIVE SERVICES                           deobligation, termination, and recovery of
                                               Published From FY 2004 Through Fiscal                    FOR VETERAN FAMILIES PROGRAM                          funds by VA.
                                               Year to Date.’’                                                                                                *       *     *       *    *
                                               Unfunded Mandates                                        ■ 1. The authority citation for part 62                  (d) * * *
                                                  The Unfunded Mandates Reform Act                      continues to read as follows:
                                                                                                                                                                 (2) At its discretion, VA may re-
                                               of 1995 requires, at 2 U.S.C. 1532, that                   Authority: 38 U.S.C. 501, 2044, and as
                                                                                                        noted in specific sections.
                                                                                                                                                              advertise in a Notice of Fund
                                               agencies prepare an assessment of                                                                              Availability the availability of funds
                                               anticipated costs and benefits before                    ■ 2. Amend § 62.25 by adding paragraph                that have been deobligated under this
                                               issuing any rule that may result in the                  (d) to read as follows:                               section or award deobligated funds to an
                                               expenditure by State, local, and tribal
                                                                                                        § 62.25 Selecting grantees for renewal of             applicant or existing grantee. If VA
                                               governments, in the aggregate, or by the
                                                                                                        supportive services grants.                           chooses to award deobligated funds to
                                               private sector, of $100 million or more
                                               (adjusted annually for inflation) in any                 *      *      *      *    *                           an applicant or existing grantee, funds
                                               one year. This proposed rule would                                                                             will be awarded as follows:
                                                                                                           (d) At its discretion, VA may award
                                               have no such effect on State, local, and                 any non-renewed funds to an applicant                    (i) VA will first offer to award the
                                               tribal governments, or on the private                    or existing grantee. If VA chooses to                 deobligated funds to the applicant or
                                               sector.                                                  award non-renewed funds to an                         grantee with the highest grant score
                                                  Catalog of Federal Domestic                           applicant or existing grantee, funds will             under the relevant Notice of Fund
                                               Assistance The Catalog of Federal                        be awarded as follows:                                Availability that applied for or was
                                               Domestic Assistance numbers and titles                      (1) VA will first offer to award the               awarded funds in the same community
                                               for the programs affected by this                        non-renewed funds to the applicant or                 as, or proximate community to, the
                                               document are 64.009, Veterans Medical                    grantee with the highest grant score                  affected community. Such applicant or
                                               Care Benefits, and 64.033, VA                            under the relevant Notice of Fund                     grantee must have the capacity and
                                               Supportive Services for Veteran                          Availability that applies for, or is                  agree to provide immediate services to
                                               Families Program.                                        awarded a renewal grant in, the same                  the affected community. Under this
                                               Signing Authority                                        community as, or a proximate                          section 62.80 the relevant Notice of
                                                                                                        community to, the affected community.                 Fund Availability is the most recently
                                                 The Secretary of Veterans Affairs, or
                                                                                                        Such applicant or grantee must have the               published Notice of Fund Availability
                                               designee, approved this document and
                                                                                                        capacity and agree to provide immediate               which covers the geographic area that
                                               authorized the undersigned to sign and
                                                                                                        services to the affected community.                   includes the affected community, or for
                                               submit the document to the Office of the
                                                                                                        Under this section 62.25, the relevant                multi-year grant awards, the most
                                               Federal Register for publication
                                                                                                        Notice of Fund Availability is the most               recently published Notice of Fund
                                               electronically as an official document of
                                                                                                        recently published Notice of Fund                     Availability which covers the
                                               the Department of Veterans Affairs. Gina
                                                                                                        Availability which covers the
                                               S. Farrisee, Deputy Chief of Staff,                                                                            geographic area that includes the
                                                                                                        geographic area that includes the
                                               Department of Veterans Affairs,                                                                                affected community for which the
                                                                                                        affected community, or for multi-year
                                               approved this document on July 19,                                                                             grantee received the multi-year award.
                                                                                                        grant awards, the Notice of Fund
                                               2016, for publication.                                                                                            (ii) If the first such applicant or
                                                                                                        Availability for which the grantee
                                               List of Subjects in 38 CFR Part 62                       received the multi-year award.                        grantee offered the deobligated funds
                                                  Administrative practice and                              (2) If the first such applicant or                 refuses the funds, VA will offer to award
                                               procedure, Day care, Disability benefits,                grantee offered the non-renewed funds                 funds to the next highest-ranked such
                                               Government contracts, Grant                              refuses the funds, VA will offer to award             applicant or grantee, per to the criteria
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                                               programs—health, Grant programs—                         the funds to the next highest-ranked                  in paragraph (d)(2)(i) of this section, and
                                               housing and community development,                       such applicant or grantee, per the                    continue on in rank order until all
                                               Grant programs—veterans, Heath care,                     criteria in paragraph (d)(1) of this                  deobligated funds are awarded.
                                               Homeless, Housing, Indians—lands,                        section, and continue on in rank order                *       *     *       *    *
                                               Individuals with disabilities, Low and                   until the non-renewed funds are                       [FR Doc. 2016–17624 Filed 7–26–16; 8:45 am]
                                               moderate income housing, Manpower                        awarded.                                              BILLING CODE 8320–01–P
                                               training programs, Medicaid, Medicare,                   *      *      *      *    *


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Document Created: 2018-02-08 08:02:33
Document Modified: 2018-02-08 08:02:33
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionProposed rule.
DatesComments must be received on or before September 26, 2016.
ContactJohn Kuhn, National Center for Homelessness Among Veterans, Supportive Services for Veteran Families Program Office, 4100 Chester Avenue, Suite 200, Philadelphia, PA 19104, (877) 737-0111. (This is a toll-free number).
FR Citation81 FR 49198 
RIN Number2900-AP61
CFR AssociatedAdministrative Practice and Procedure; Day Care; Disability Benefits; Government Contracts; Grant Programs-Health; Grant Programs-Housing and Community Development; Grant Programs-Veterans; Heath Care; Homeless; Housing; Indians-Lands; Individuals with Disabilities; Low and Moderate Income Housing; Manpower Training Programs; Medicaid; Medicare; Public Assistance Programs; Public Housing; Relocation Assistance; Rent Subsidies; Reporting and Recordkeeping Requirements; Rural Areas; Social Security; Supplemental Security Income (ssi); Travel and Transportation Expenses and Unemployment Compensation

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