81 FR 58952 - Fair Market Rents for the Housing Choice Voucher Program, Moderate Rehabilitation Single Room Occupancy Program and Other Programs Fiscal Year 2017
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Federal Register Volume 81, Issue 166 (August 26, 2016)
Federal Register Volume 81, Issue 166 (August 26, 2016)
| Page Range | 58952-58959 | |
| FR Document | 2016-20552 |
[Federal Register Volume 81, Number 166 (Friday, August 26, 2016)] [Notices] [Pages 58952-58959] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2016-20552] ----------------------------------------------------------------------- DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT [Docket No. FR-5962-N-01] Fair Market Rents for the Housing Choice Voucher Program, Moderate Rehabilitation Single Room Occupancy Program and Other Programs Fiscal Year 2017 AGENCY: Office of the Assistant Secretary for Policy Development and Research, HUD. ACTION: Notice of Fiscal Year (FY) 2017 Fair Market Rents (FMRs). ----------------------------------------------------------------------- SUMMARY: Today's notice announces the FY 2017 Fair Market Rents (FMRs) for all areas that reflect the estimated 40th and 50th percentile rent levels trended to April 1, 2017. The Housing Opportunities Through Modernization Act of 2016 (HOTMA) (Pub. L. 114-201, approved July 29, 2016) revises the procedure by which HUD publishes its annual FMRs. Specifically, HUD is no longer required to publish proposed FMRs for comment in the Federal Register. Rather, HUD may post the FMRs on HUD's Web site and announce such posting by notice published in the [[Page 58953]] Federal Register. In addition, HOTMA provides that HUD's FMRs shall be effective no earlier than 30 days after the date of the publication of HUD's Federal Register notice but that public housing agencies (PHAs) and other interested parties may comment on the FMR and request revevaluation of FMRs in a jurisdiction before such FMRs become effective. This notice announces that HUD's FY 2017 FMRs are available at www.huduser.gov and will take effect as stated in the DATES section of this notice unless interested parties request reevaluation of a their FMRs by September 26, 2016. HOTMA also requires HUD to publish proposed material changes to the methodology for comment. This notice also announces that HUD is not changing the methodology for calculating the FY 2017 FMRs estimates from that used to determine the FY 2016 FMRs. This notice, however, requests public comments on defining the scope of material changes that will trigger notice and comment in future calculation of FMRs. The FY 2017 FMRs announced in this notice are based on ``5-year'' data collected by the American Community Survey (ACS) from 2010 through 2014. HUD updated the 5-year data with ``one-year'' 2014 ACS data for areas where statistically valid one-year ACS data is available. HUD continues to use ACS data in different ways according to the statistical reliability of rent estimates. HUD uses actual and forecast Consumer Price Index (CPI) rent and utility price indices to further update the ACS-derived rents to the middle of the FY 2017 fiscal year. The FY 2017 FMRs continue to use the February 28, 2013, OMB metropolitan area definitions. As noted above, the FY 2017 FMRs are calculated in the same manner used to calculate of the FY 2016 FMRs with the only differences being the use of updated data. HUD notes that the only area for which HUD announces Small Area FMRs is the Dallas, TX HUD Metro FMR Area. The Small Area FMR Demonstration project with 5 PHA participants concludes on September 30, 2016. The 5 PHAs that participated in the demonstration may continue to be able set their housing choice voucher payment standards based on Small Area FMRs, as discussed in this notice. DATES: Comment Due Date: September 26, 2016. Effective Date: October 1, 2016. ADDRESSES: HUD invites interested persons to submit comments regarding the FMRs and requests for reevaluation of the FY 2017 FMRs to the Regulations Division, Office of General Counsel, Department of Housing and Urban Development, 451 Seventh Street SW., Room 10276, Washington, DC 20410-0001. Communications must refer to the above docket number and title and should contain the information specified in the ``Request for Comments'' and ``Requests for FMR Reevaluations'' sections below. There are two methods for submitting public comments and reevaluation requests. 1. Submission of Comments or Reevaluation Requests by Mail. Comments or requests for reevaluation may be submitted by mail to the Regulations Division, Office of General Counsel, Department of Housing and Urban Development, 451 7th Street SW., Room 10276, Washington, DC 20410-0500. Due to security measures at all federal agencies, however, submission of comments by mail often results in delayed delivery. To ensure timely receipt of comments or reevaluation requests, HUD recommends that comments or requests submitted by mail be submitted at least two weeks in advance of the deadline. HUD will make all comments or reevaluation requests received by mail available to the public at http://www.regulations.gov/. 2. Electronic Submission of Comments or Reevaluation Requests. Interested persons may submit comments or reevaluation requests electronically through the Federal eRulemaking Portal at http://www.regulations.gov. HUD strongly encourages commenters to submit comments or reevaluation requests electronically. Electronic submission of comments or reevaluation requests allows the commenter maximum time to prepare and submit a comment or reevaluation request, ensures timely receipt by HUD, and enables HUD to make them immediately available to the public. Comments or reevaluation requests submitted electronically through the http://www.regulations.gov Web site can be viewed by other commenters and interested members of the public. Commenters or reevaluation requestors should follow instructions provided on that site to submit comments or reevaluation requests electronically. Note: To receive consideration as public comments or reevaluation requests, comments or requests must be submitted through one of the two methods specified above. Again, all submissions must refer to the docket number and title of the notice. No Facsimile Comments or Reevaluation Requests. Facsimile (FAX) comments or requests for FMR reevaluation are not acceptable. Public Inspection of Public Comments and Reevaluation Requests. All properly submitted comments and reevaluation requests and communications regarding this notice submitted to HUD will be available for public inspection and copying between 8 a.m. and 5 p.m. weekdays at the above address. Due to security measures at the HUD Headquarters building, an advance appointment to review the public comments and reevaluation requests must be scheduled by calling the Regulations Division at 202-708-3055 (this is not a toll-free number). Individuals with speech or hearing impairments may access this number through TTY by calling the Federal Relay Service at 800-877-8339. Copies of all comments and reevaluation requests submitted are available for inspection and downloading at http://www.regulations.gov. FOR FURTHER INFORMATION CONTACT: For technical information on the methodology used to develop FMRs or a listing of all FMRs, please call the HUD USER information line at 800-245-2691 or access the information on the HUD USER Web site http://www.huduser.gov/portal/datasets/fmr.html. FMRs are listed at the 40th or 50th percentile in Schedule B. For informational purposes, 40th percentile rents for the areas with 50th percentile FMRs will be provided in the HUD FY 2017 FMR documentation system at http://www.huduser.gov/portal/datasets/fmr/fmrs/docsys.html&data=fmr17 and 50th percentile rents for all FMR areas will be published at http://www.huduser.gov/portal/datasets/50per.html. Questions related to use of FMRs or voucher payment standards should be directed to the respective local HUD program staff. Questions on how to conduct FMR surveys may be addressed to Marie L. Lihn or Peter B. Kahn of the Economic and Market Analysis Division, Office of Economic Affairs, Office of Policy Development and Research at HUD headquarters [451 7th Street SW., Room 8208, Washington, DC 20410]; telephone number 202-402-2409 (this is not a toll-free number), or they may be reached at [email protected]. Persons with hearing or speech impairments may access HUD numbers through TTY by calling the toll-free Federal Relay Service at 800-877-8339. Electronic Data Availability. This Federal Register notice will be available electronically from the HUD User page at https://www.huduser.gov/portal/datasets/fmr.html.Federal Register notices also are available electronically from https://www.federalregister.gov/ [[Page 58954]] the U.S. Government Printing Office Web site. Complete documentation of the methods and data used to compute each area's FY 2017 FMRs is available at http://www.huduser.gov/portal/datasets/fmr/fmrs/docsys.html&data=fmr17. FY 2017 FMRs are available in a variety of electronic formats at https://www.huduser.gov/portal/datasets/fmr.html. FMRs may be accessed in PDF format as well as in Microsoft Excel. Small Area FMRs based on FY 2017 Metropolitan Area Rents for the Dallas, TX HUD Metro FMR Area are available in Microsoft Excel format at the same web address. Small Area FMRs for all other metropolitan FMR areas are available at: http://www.huduser.gov/portal/datasets/fmr/smallarea/index.html. SUPPLEMENTARY INFORMATION: I. Background Section 8 of the USHA (42 U.S.C. 1437f) authorizes housing assistance to aid lower-income families in renting safe and decent housing. Housing assistance payments are limited by FMRs established by HUD for different geographic areas. In the Housing Choice Voucher (HCV) program, the FMR is the basis for determining the ``payment standard amount'' used to calculate the maximum monthly subsidy for an assisted family (see 24 CFR 982.503). In general, the FMR for an area is the amount that would be needed to pay the gross rent (shelter rent plus utilities) of privately owned, decent, and safe rental housing of a modest (non-luxury) nature with suitable amenities and is typically set at the 40th percentile of the distribution of gross rents. In addition, all rents subsidized under the HCV program must meet reasonable rent standards. HUD's regulations at 24 CFR 888.113 permit the Department to establish 50th percentile FMRs for certain areas. In addition to the HCV program, FMRs are used to determine initial renewal rents for some expiring project-based Section 8 contracts, to determine initial rents for housing assistance payment contracts in the Moderate Rehabilitation Single Room Occupancy program, and to serve as rent ceilings for rental units in the HOME Investment Partnerships program. HUD also uses FMRs in the calculation of maximum award amounts for Continuum of Care grantees and in the calculation of flat rents in Public Housing units. II. Procedures for the Development of FMRs Section 8(c)(1) of the USHA, as amended by HOTMA requires the Secretary of HUD to publish FMRs not less than annually. Section 8(c)(1)(A) states, in part, that ``[e]ach fair market rental in effect under this subsection shall be adjusted to be effective on October 1 of each year to reflect changes, based on the most recent available data trended so the rentals will be current for the year to which they apply, of rents for existing or newly constructed rental dwelling units, as the case may be, of various sizes and types in the market area suitable for occupancy by persons assisted under this section.'' Section 8(c)(1)(B) also provides that FMRs for an area shall be published not less than annually on the Department's Web site on the World Wide Web. In addition, HUD is required to publish a notice in the Federal Register alerting the public that such FMRs are being published. Section 8(c)(1)(B) provides that such FMRs shall become effective no earlier than 30 days after the date of such publication. HUD is required, however, to establish a procedure for PHAs and other interested parties to comment on such FMRs and to request, within a time specified by HUD, reevaluation of the FMRs in a jurisdiction before such rentals become effective. This notice serves as the statutory requirement to provide notice that FY 2017 FMRs are available at https://www.huduser.gov/portal/datasets/fmr.html. In addition, HUD's regulations at 24 CFR 888.113(c) set out procedures for HUD to assess whether areas are eligible for FMRs at the 50th percentile. Minimally qualified areas \1\ are reviewed each year unless not qualified to be reviewed. Areas are not qualified to be reviewed if they have been made a 50th-percentile area within the last three years or have lost 50th-percentile status for failure to deconcentrate within the last three years. --------------------------------------------------------------------------- \1\ As defined in 24 CFR 888.113(c), a minimally qualified area is an area with at least 100 census tracts where 70 percent or fewer of the census tracts with at least 10 two bedroom rental units are census tracts in which at least 30 percent of the two bedroom rental units have gross rents at or below the two bedroom FMR set at the 40th percentile rent and where 25 percent or more of voucher tenants reside in the 5 percent of the census tracts within the FMR area that have the largest number of voucher program participants. This continues to be evaluated with 2000 Decennial Census information. In light of HUD's June 6, 2015 Advanced Notice of Proposed Rulemaking, HUD has chosen not to update the area selection criteria with 2010 tract delineations in order to ease the anticipated future implementation of a Small Area FMR based deconcentration rule. --------------------------------------------------------------------------- In FY 2016 there were 14 areas using 50th-percentile FMRs. Of these 14 areas, no area completed three years of program participation and were evaluated. Therefore, all 14 areas will continue to operate using 50th percentile FMRs in FY 2017. In addition, two areas that previously ``graduated'' from the 50th percentile FMR program, become 50th percentile FMR areas again because voucher tenant concentrations are now above this 25 percent minimum. Under the 50th percentile FMR program, areas that experience a reduction in the concentration of tenants below the 25 percent minimum required to reside in the 5 percent of the census tracts within the FMR area with the largest number of voucher program participants, are evaluated each year after they lose their 50th percentile FMRs. Two of these areas, Bergen-Passaic, NJ HUD Metro FMR Area, and San Diego- Carlsbad-San Marcos, CA MSA, become 50th percentile FMR areas again because voucher tenant concentrations are now above this 25 percent minimum. In addition, a new area, Spokane, WA HUD Metro FMR Area qualified for the first time by registering a significant increase in its concentration measure to get above 25 percent. Based on the current regulations, HUD is including these 3 areas along with the 14 areas from FY 2016 in the use of 50th percentile FMRs in FY 2017. FY 2017 50th-Percentile FMR Areas and Year of Next Reevaluation ------------------------------------------------------------------------ ------------------------------------------------------------------------ Albuquerque, NM MSA.......... 2018 Baltimore- 2019 Columbia- Towson, MD MSA. Bergen-Passaic, NJ HUD Metro 2020 Chicago-Joliet- 2018 FMR Area. Naperville, IL HUD Metro FMR Area. Denver-Aurora-Broomfield, CO 2018 Hartford-West 2018 MSA. Hartford-East Hartford, CT HUD Metro FMR Area. Urban Honolulu, HI MSA....... 2018 Kansas City, MO- 2018 KS HUD Metro FMR Area. Milwaukee-Waukesha-West 2018 Philadelphia- 2019 Allis, WI MSA. Camden- Wilmington, PA- NJ-DE-MD. Riverside-San Bernardino- 2018 San Diego- 2020 Ontario, CA MSA. Carlsbad-San Marcos, CA MSA. Spokane, WA HUD Metro FMR 2020 Tacoma, WA HUD 2018 Area. Metro FMR Area. [[Page 58955]] Virginia Beach-Norfolk- 2018 Washington, DC- 2019 Newport News, VA-NC MSA. VA-MD HUD Metro FMR Area. West Palm Beach-Boca Raton, 2019 FL HUD Metro FMR Area. ------------------------------------------------------------------------ HUD published a proposed rule titled, ``Establishing a More Effective Fair Market Rent System; Using Small Area Fair Market Rents in Housing Choice Voucher Program Instead of the Current 50th Percentile FMRs'' on June 16, 2016 (81 FR 39218) that proposes to revise the 50th percentile FMR regulation and replace it with a Small Area FMR based regulation for certain areas. Two of these proposed Small Area FMR areas will start the three year 50th percentile FMR period in FY 2017 (Bergen-Passaic, NJ and San Diego-Carlsbad-San Marcos, CA) while the third area to begin use of 50th percentile FMRs in FY 2017 (Spokane, WA) is not currently proposed to be a Small Area FMR Area. HUD is specifically seeking comment from these three new 50th percentile areas as to whether being elevated to a 50th percentile area in the FY 2017 FMRs would create operational challenges under HUD's proposed Small Area FMR rule. HUD also request comments on whether the PHAs within these 50th percentile areas would consider requesting a waiver for exemption from 50th percentile status in FY 2017 as a way to address these challenges. III. FMR Methodology This section provides a brief overview of how HUD computes the FY 2017 FMRs. For complete information on how HUD determines FMR areas, and on how HUD derives each area's FMRs, see the online documentation at http://www.huduser.gov/portal/datasets/fmr/fmrs/docsys.html&data=fmr17. HUD bases the FY 2017 FMRs on the updated metropolitan area definitions published by OMB on February 28, 2013. HUD has not implemented any geography changes for FY 2017; however, several areas have been renamed to avoid confusion. For example, the Morristown, TN HUD Metro FMR Area (HMFA) has been renamed to the Grainger County, TN HMFA to avoid confusion with Morristown, TN MSA. Similarly, HUD has not included any method changes to the calculation of FY 2017 FMRs from what was used in the Final FY 2016 FMRs beyond updates to use the most current data available. For a complete description of the methods used to calculate FY 2016 FMRs, please see the Final FY 2016 FMR notice, published in the Federal Register on December 11, 2015 (80 FR 77124) and available at https://www.huduser.gov/portal/datasets/fmr/fmr2016f/FY2016_Final_FMRs_preamble.pdf. A. Base Year Rents The U.S. Census Bureau released standard tabulations of 5-year ACS data collected between 2010 through 2014 in December of 2015. For FY 2017 FMRs, HUD uses the 2010-2014 5-year ACS data to update the base rents. As in FY 2016, HUD used ACS estimates where the margin of error of the estimate is less than half the size of the estimate itself. HUD has updated base rents each year based on new 5-year data since FY 2012 for which HUD used 2005-2009 ACS data. HUD is also updating base rents for Puerto Rico FMRs using the 2010-2014 Puerto Rico Community Survey (PRCS); HUD first updated the Puerto Rico base rents in FY 2014 based on 2007-2011 PRCS data collected through the ACS program. HUD historically based FMRs on gross rents for recent movers (those who have moved into their current residence in the last 24 months) measured directly. However, due to the way Census constructs the 5-year ACS data, HUD developed a new method for calculating recent-mover FMRs in FY 2012. As in FY 2012, HUD assigns all areas a base rent, which is the two-bedroom standard quality 5-year gross rent estimate from the ACS. Because HUD's regulations mandate that FMRs must be published as recent mover gross rents, HUD continues to apply a recent mover factor to the standard quality base rents assigned from the 5-year ACS data. The calculation of the recent mover factor is described below. B. Recent Mover Factor Following the assignment of the standard quality two-bedroom rent described above, HUD applies a recent mover factor to these rents. The calculation of the recent mover factor for FY 2017 is updated to use 2014 ACS data but otherwise remains unchanged from the method used in FY 2016. In general, HUD uses the 1-year ACS-based two-bedroom recent mover gross rent estimate from the smallest geographic area encompassing the FMR area for which the estimate is statistically reliable to calculate the recent mover factor.\2\ HUD calculates some areas' recent mover factors using data collected just for the FMR area. As in FY 2016, HUD bases other areas' recent mover factors on larger geographic areas if this is necessary to obtain statistically reliable estimates. For metropolitan areas that are subareas of larger metropolitan areas, the order is FMR area, metropolitan area, aggregated metropolitan parts of the state, and state. Metropolitan areas that are not divided follow a similar path from FMR area, to aggregated metropolitan parts of the state, to state. In nonmetropolitan areas HUD bases the recent mover factor on the FMR area, the aggregated non-metropolitan parts of the state, or if that is not available, on the basis of the whole state. HUD calculates the recent mover factor as the percentage change between the 5-year 2010-2014 standard quality two-bedroom gross rent and the 1 year 2014 recent mover two-bedroom gross rent for the recent mover factor area. HUD does not allow recent mover factors to lower the standard quality base rent; therefore, if the 5-year standard quality rent is larger than the comparable 1-year recent mover rent, the recent mover factor is set to 1. The process for calculating each area's recent mover factor is detailed in the FY 2017 FMR documentation system available at: http://www.huduser.gov/portal/datasets/fmr/fmrs/docsys.html&data=fmr17. Applying the recent mover factor to the standard quality base rent produces an ``as of'' 2014 recent mover two- bedroom base gross rent for the FMR area. --------------------------------------------------------------------------- \2\ For the purpose of the recent mover factor calculation, statistically reliable is where the recent mover gross rent has a margin of error that is less than half the estimate. --------------------------------------------------------------------------- C. Other Rent Survey Data HUD calculated base rents for the insular areas using the 2010 decennial census of American Samoa, Guam, the Northern Mariana Islands, and the Virgin Islands beginning with the FY 2016 FMRs.\3\ This 2010 base year data was updated to 2013 for the FY 2016 FMRs and is updated through 2014 for [[Page 58956]] the FY 2017 FMRs using national ACS data. --------------------------------------------------------------------------- \3\ The ACS is not conducted in the Pacific Islands (Guam, Northern Marianas and American Samoa) or the U.S. Virgin Islands. As part of the 2010 Decennial Census, the Census Bureau conducted ``long-form'' sample surveys for these areas. The results gathered by this long form survey have been incorporated into the FY 2017 FMRs. --------------------------------------------------------------------------- HUD does not use the ACS as the base rent or recent mover factor for 12 areas where the FY 2017 FMR was adjusted based on survey data collected in 2012 for Hood River County, OR, Mountrail County, ND, Ward County, ND, and Williams County, ND,\4\ survey data collected in 2014 for Bennington County, VT, Windham County, VT, Windsor County, VT, and Seattle, WA, survey data from 2015 for Portland, OR, Oakland, CA, and survey data from 2016 for Burlington, VT and San Francisco, CA.\5\ --------------------------------------------------------------------------- \4\ Surveys conducted in 2012 will be superseded for FMR base rent purposes with the FY 2018 FMRs. \5\ Similar to FY 2016, HUD has not allocated funds to conduct FMR area surveys in FY 2017. Therefore, areas wishing to conduct local surveys for the purposes of revising FMRs will have to fund those surveys locally as well. --------------------------------------------------------------------------- D. Updates From 2014 to 2015 and Forecast to April 2017 HUD updates the ACS-based ``as of'' 2014 rent through the end of 2015 using the annual change in CPI from 2014 to 2015. As in previous years, HUD uses local CPI data coupled with Consumer Expenditure Survey (CEX) data for FMR areas with at least 75 percent of their population within Class A metropolitan areas covered by local CPI data. HUD uses Census region CPI data for FMR areas in Class B and C size metropolitan areas and nonmetropolitan areas without local CPI update factors. Additionally, HUD is using CPI data collected locally in Puerto Rico as the basis for CPI adjustments from 2014 to 2015 for all Puerto Rico FMR areas. Following the application of the appropriate CPI update factor, HUD trends the estimate from 2015 to be as of FY 2017 using forecasts of expected growth in gross rents. In the Final FY 2016 FMRs, HUD used a national forecast of expected changes in gross rents between 2014 and FY 2016. For FY 2017 FMRs, HUD continues to use a national forecast of expected changes in gross rents from 2015 to FY 2017. E. Bedroom Rent Adjustments HUD calculates the primary FMR estimates for two-bedroom units. This is generally the most common sized rental unit and, therefore, the most reliable to survey and analyze. Formerly, after each Decennial Census, HUD calculated rent relationships between two-bedroom units and other unit bedroom counts and used them to set FMRs for other units. HUD did this because it is much easier to update two-bedroom estimates and to use pre-established cost relationships with other unit bedroom counts than it is to develop independent FMR estimates for each unit bedroom count. When calculating FY 2013 FMRs, HUD updated the bedroom ratio adjustment factors using 2006-2010 5-year ACS data. The bedroom ratio methodology used in this update was the same methodology that was used when calculating bedroom ratios using 2000 Census data. The bedroom ratios HUD used in the calculation of FY 2017 FMRs have been updated using average data from three five-year ACS data series (2008- 2012, 2009-2013 and 2010-2014). HUD establishes bedroom interval ranges based on an analysis of the range of such intervals for all areas with large enough samples to permit accurate bedroom ratio determinations. HUD sets these ranges as follows: Efficiency FMRs are constrained to fall between 0.63 and 0.83 of the two-bedroom FMR; one-bedroom FMRs must be between 0.75 and 0.87 of the two-bedroom FMR; three-bedroom FMRs must be between 1.15 and 1.34 of the two-bedroom FMR; and four-bedroom FMRs must be between 1.28 and 1.64 of the two-bedroom FMR. (HUD sets these upper limits for the three-bedroom and four-bedroom FMR ratios without regard to the adjustments discussed in the next paragraph.) HUD adjusts bedroom rents for a given FMR area if the differentials between bedroom-size FMRs were inconsistent with normally observed patterns (i.e., efficiency rents are not allowed to be higher than one-bedroom rents and four- bedroom rents are not allowed to be lower than three-bedroom rents). The bedroom ratios for Puerto Rico follow these constraints. HUD further adjusts the rents for three-bedroom and larger units to reflect HUD's policy to set higher rents for these units. This adjustment is intended to increase the likelihood that the largest families, who have the most difficulty in leasing units, will be successful in finding eligible program units. The adjustment adds 8.7 percent to the unadjusted three-bedroom FMR estimates and adds 7.7 percent to the unadjusted four-bedroom FMR estimates. HUD derives FMRs for unit bedroom counts larger than four by adding 15 percent to the four-bedroom FMR for each extra bedroom. For example, the FMR for a five-bedroom unit is 1.15 times the four-bedroom FMR, and the FMR for a six-bedroom unit is 1.30 times the four-bedroom FMR. FMRs for single- room occupancy units are 0.75 times the zero-bedroom (efficiency) FMR.\6\ --------------------------------------------------------------------------- \6\ As established in the interim rules implementing the provisions of the Quality Housing and Work Responsibility Act of 1998 (Title V of the FY 1999 HUD Appropriations Act; Pub. L. 105- 276. In 24 CFR 982.604). --------------------------------------------------------------------------- For low-population, nonmetropolitan counties with small or statistically insignificant data for any two of the three 5-year ACS standard quality rents series used in the average, HUD uses state non- metropolitan data to determine bedroom ratios for each unit bedroom count. HUD made this adjustment to protect against unrealistically high or low FMRs due to insufficient sample sizes. IV. Manufactured Home Space Surveys The FMR HUD uses to establish payment standard amounts for the rental of manufactured home spaces in the HCV program is 40 percent of the FMR for a two-bedroom unit.\7\ HUD will consider modification of the manufactured home space FMRs where public comments present statistically valid survey data showing the 40th-percentile manufactured home space rent (including the cost of utilities) for the entire FMR area. --------------------------------------------------------------------------- \7\ In the HCV program, a family which owns a manufactured home may use their voucher to subsidize the rent of a plot of land within a manufactured home park designed for the accommodation of a single manufactured home. --------------------------------------------------------------------------- All approved exceptions to these rents that were in effect in FY 2016 were updated to FY 2017 using the same data used to estimate the HCV program FMRs. If the result of this computation was higher than 40 percent of the new two-bedroom rent, the exception remains and is listed in Schedule D online. The FMR area definitions HUD establishes for the rental of manufactured home spaces are the same as the area definitions established for the other FMRs. V. Small Area Fair Market Rents PHAs in the Dallas, TX HUD Metro FMR Area (HMFA), continue to use Small Area Fair Market Rents (SAFMRs) per the terms of court entered settlement. These FMRs are listed in the Schedule B addendum. PHAs who had been participating in HUD's SAFMR Demonstration may request a waiver of HUD's existing payment standard regulations to continue to use Small Area FMRs after the expiration of their demonstration agreements. HUD will work with these PHAs to effectuate the required waivers. HUD calculates SAFMRs using a rent ratio determined by dividing the median gross rent across all bedrooms for the small area (a ZIP code) by the similar [[Page 58957]] median gross rent for the metropolitan area of the ZIP code. In small areas where the median gross rent is not statistically reliable, HUD substitutes the median gross rent for the county containing the ZIP code in the numerator of the rent ratio calculation. HUD multiplies this rent ratio by the current two-bedroom rent for the entire metropolitan area containing the small area to generate the current year two-bedroom rent for the small area. As in FY 2016, HUD continues to use a rolling-average of ACS data in calculating the Small Area FMR rent ratios. The Department believes coupling the most current data with previous year's data minimizes excessive year-to-year variability in Small Area FMR rent ratios due to sampling variance. Therefore, for FY 2017 SAFMRs, HUD has updated the rent ratios to use an average of the rent ratios calculated from the 2008-2012, 2009-2013, and 2010-2014 5-year ACS estimates. VI. Request for Public Comments HUD is seeking public comments on the methods it uses to calculate FY 2017 FMRs including Small Area FMRs, and FMR levels for specific areas. Due to its current funding levels, HUD no longer has sufficient resources to conduct local surveys of rents to address comments filed regarding the FMR levels for specific areas. HUD continually strives to calculate FMRs that meet the statutory requirement of using ``the most recent available data'' while also serving as an effective program parameter. While HUD is making no changes in the methodology used to estimate the FY 2017 FMRs from the methods HUD used in calculating the FY 2016 FMRs, HUD is interested in making improvements in FMR estimation methods in the future. As noted earlier, the FMR procedures enacted in Section 8(c)(1)(B) of HOTMA require that HUD publish a notice in the Federal Register seeking comment on any proposed ``material changes'' in methodology. In this notice, HUD requests public comment on what should be considered ``material changes'' in FMR estimation methods for purposes of triggering public notice and comment under HOTMA. For example, on the assumption that any change in the FMR estimation method must necessarily change at least some FMR values from what they would otherwise be, and that such changes have the potential to change subsidy levels for voucher tenants to the extent they are fully accounted for in payment standard adjustments, what level of potential subsidy redistribution caused by a change in FMR estimation methods should HUD consider ``material'' prior to implementing such changes? What other effects of changes in FMR estimation methods should HUD consider in determining whether such changes are ``material?'' Examples might include the number of FMR areas affected by the proposed change, or the number of areas whose FMRs would change beyond a particular threshold such as 10 percent. Should HUD consider any and all changes made to the FMR estimation methods to rise to the level of a material change? If so, would this be consistent with the purpose of Section 8(c)(1)(B) of HOTMA? HUD anticipates publishing a Federal Register notice with responses to comments on this notice including responses to what is considered ``material changes'' in methodology along with proposed material changes to be implemented for the FY 2018 FMRs following a review of the comments on this notice. V. Requests for FMR Reevaluations As amended by HOTMA, Section 8(c)(1)(B) states, in part that HUD ``shall establish a procedure for PHAs and other interested parties to comment on such fair market rentals and to request, within a time specified by the Secretary, reevaluation of the fair market rentals in a jurisdiction before such rentals become effective.'' PHAs or other interested parties interested in requesting HUD reevaluation of its FY 2017 FMRs must follow the following procedures: 1. By the end of the comment period, such reevaluation requests must be submitted publicly through www.regulations.gov or directly to HUD as described above. PHAs representing at least half of the voucher tenants in multijurisdictional FMR areas must agree that the re- evaluation is necessary. 2. In order for a reevaluation to occur, the requestor(s) must supply HUD with data more recent than the 2014 American Community Survey data using the survey guidance available at https://www.huduser.gov/portal/datasets/fmr/NoteRevisedAreaSurveyProcedures.pdf and https://www.huduser.gov/portal/datasets/fmr/PrinciplesforPHA-ConductedAreaRentSurveys.pdf. 3. On or about October 3, HUD will post a list, at https://www.huduser.gov/portal/datasets/fmr.html, of the areas requesting reevaluations and where FY 2016 FMRs remain in effect. 4. Data for reevaluations must be supplied to the Department by Friday January 6, 2017. On Monday January 9, 2017, HUD will post at https://www.huduser.gov/portal/datasets/fmr.html a list of areas failing to deliver data and making the FY 2017 FMRs effective in these areas. 5. HUD will use the data delivered by January 6, 2017 to reevaluate the FMRs and following the reevaluation, will post revised FMRs with an accompanying Federal Register notice stating the revised FMRs are available and the effective date of the FMRs for these jurisdictions. Such notice will include HUD responses to comments filed during the comment period on FY2017 FMRs if no intervening ``Notice of Proposed Material Change'' has been published. 6. Any data supporting a change in FMRs supplied after January 6, 2017, or that was not submitted in connection with a request for reevaulation of the FY2017 FMRs for an area, will be incorporated into FY 2018 FMRs. Questions on how to conduct FMR surveys may be addressed to the individuals listed in the FOR FURTHER INFORMATION section of this notice. Data submissions for FMR reevaluations must include a full description of the rental housing survey method used to ensure that the data comply with HUD's rental housing survey guidance. For small metropolitan areas without one-year ACS data and nonmetropolitan counties, HUD has developed a method using mail surveys that is discussed on the FMR Web page: https://www.huduser.gov/portal/datasets/fmr.html#fmrsurvey. This method allows for the collection of as few as 100 one-bedroom, two-bedroom and three-bedroom recent mover (tenants that moved in last 24 months) units. While HUD has not developed a specific method for mail surveys in areas with 1-year ACS data, HUD would apply the standard established for Random-Digit Dialing (RDD) telephone rent surveys. HUD will evaluate these survey results to determine whether they would establish a new FMR statistically different from the current FMR, which means that the survey confidence interval must not include the FMR. The survey should collect results based on 200 one-bedroom and two-bedroom eligible recent mover units to provide a small enough confidence interval for significant results in large market mail surveys. Areas with statistically reliable 1-year ACS data generally are not considered to be good candidates for local surveys due to the size and completeness of the ACS process. Other survey methods are acceptable in providing data to support reevaluation requests if the survey [[Page 58958]] method can provide statistically reliable, unbiased estimates of the gross rent of the entire FMR area. In general, recommendations for FMR changes and supporting data must reflect the rent levels that exist across all rental units within the entire FMR area and should be statistically reliable. PHAs in nonmetropolitan areas may, in certain circumstances, conduct surveys of groups of counties. HUD must approve all county- grouped surveys in advance. PHAs are cautioned that the resulting FMRs may not be identical for the counties surveyed; each individual FMR area will have a separate FMR based on the relationship of rents in that area to the combined rents in the cluster of FMR areas. In addition, PHAs are advised that in counties where FMRs are based on the combined rents in the cluster of FMR areas HUD will not revise their FMRs unless the grouped survey results show a revised FMR statistically different from the combined rent level. Survey samples should preferably be randomly drawn from a complete list of rental units for the FMR area. If this is not feasible, the selected sample must be drawn to be statistically representative of the entire rental housing stock of the FMR area. Surveys must include units at all rent levels and be representative by structure type (including single-family, duplex, and other small rental properties), age of housing unit, and geographic location. The current 5-year ACS data should be used as a means of verifying if a sample is representative of the FMR area's rental housing stock. A PHA or contractor that cannot obtain the recommended number of sample responses after reasonable efforts should consult with HUD before abandoning its survey; in such situations, HUD may find it appropriate to relax normal sample size requirements. The Department has developed guidance on how to provide data- supported comments on or requests for reevaluation of Small Area FMRs using HUD's special tabulations of the distribution of gross rents by bedroom unit size for ZIP Code Tabulation Areas. This guidance is available at http://www.huduser.gov/portal/datasets/fmr.html in the FY 2017 FMR section and should be used by interested parties in commenting on whether or not the level of Small Area FMRs are too high or too low (i.e. Small Area FMRs that are larger than the gross rent necessary to make 40 percent of the units accessible for an individual zip code or that are smaller than the gross rent necessary to make 40 percent of the units accessible for a given zip code). HUD will post revised Small Area FMRs after confirming commenters calculations. HUD will consider increasing manufactured home space FMRs where public comment demonstrates that 40 percent of the two-bedroom FMR is not adequate. In order to be accepted as a basis for revising the manufactured home space FMRs, comments must include a pad rental survey of the mobile home parks in the area, identify the utilities included in each park's rental fee, and provide a copy of the applicable public housing authority's utility schedule. As stated earlier in this notice, HUD is required to use the most recent data available when calculating FMRs. Therefore, in order to re- evaluate an area's FMR, HUD requires more current rental market data than the 2014 ACS. HUD encourages a PHA or other interested party that believes the FMR in their area is incorrect to file a comment even if they do not have the resources to provide market-wide rental data. In these instances, HUD will use the comments, should survey funding be restored, when determining the areas HUD will select for HUD-funded local area rent surveys. VII. Environmental Impact This Notice involves the establishment of fair market rent schedules, which do not constitute a development decision affecting the physical condition of specific project areas or building sites. Accordingly, under 24 CFR 50.19(c)(6), this Notice is categorically excluded from environmental review under the National Environmental Policy Act of 1969 (42 U.S.C. 4321). Accordingly, the Fair Market Rent Schedules, which will not be codified in 24 CFR part 888, are available at https://www.huduser.gov/portal/datasets/fmr.html: Dated: August 19, 2016. Matthew E. Ammon, Deputy Assistant Secretary for Policy Development and Research. Fair Market Rents for the Housing Choice Voucher Program Schedules B and D--General Explanatory Notes 1. Geographic Coverage a. Metropolitan Areas--Most FMRs are market-wide rent estimates that are intended to provide housing opportunities throughout the geographic area in which rental-housing units are in direct competition. HUD is using the metropolitan Core-Based Statistical Areas (CBSAs), which are made up of one or more counties, as defined by the Office of Management and Budget (OMB), with some modifications. HUD is generally assigning separate FMRs to the component counties of CBSA Micropolitan Areas. b. Modifications to OMB Definitions--Following OMB guidance, the estimation procedure for the FY 2017 FMRs incorporates the OMB definitions of metropolitan areas based on the CBSA standards as implemented with 2000 Census data and updated by the 2010 Census in February 28, 2013. The adjustments made to the 2000 definitions to separate subparts of these areas where FMRs or median incomes would otherwise change significantly are continued. To follow HUDs policy of providing FMRs at the smallest possible area of geography, no counties were added to existing metropolitan areas due to recent updates in metropolitan area definitions. All counties added to metropolitan areas will still be treated as separate counties. All metropolitan areas that have at least one subarea will also receive a subarea, that is the rents from a county that is a subarea will not be used for the remaining metropolitan subarea rent determination. The specific counties and New England towns and cities within each state in MSAs and HMFAs were not changed by the February 28, 2013 OMB metropolitan area definitions. These areas are listed in Schedule B, available online at https://www.huduser.gov/portal/datasets/fmr.html. 2. Unit Bedroom Count Adjustments Schedule B, available at https://www.huduser.gov/portal/datasets/fmr.html shows the FMRs for zero-bedroom through four-bedroom units. The Schedule B addendum shows Small Area FMRs for all PHAs operating using Small Area FMRs (please see section V of this notice for a list of participating PHAs). The FMRs for unit sizes larger than four bedrooms may be calculated by adding 15 percent to the four-bedroom FMR for each extra bedroom. For example, the FMR for a five-bedroom unit is 1.15 times the four-bedroom FMR, and the FMR for a six-bedroom unit is 1.30 times the four-bedroom FMR. FMRs for single-room-occupancy (SRO) units are 0.75 times the zero-bedroom FMR. 3. Arrangement of FMR Areas and Identification of Constituent Parts a. The FMR areas in the online Schedule B are listed alphabetically by metropolitan FMR area and by nonmetropolitan county within each state. The exception FMRs for manufactured home spaces in Schedule [[Page 58959]] D, available at https://www.huduser.gov/portal/datasets/fmr.html, are listed alphabetically by state. b. The constituent counties (and New England towns and cities) included in each metropolitan FMR area are listed immediately following the listings of the FMR dollar amounts. All constituent parts of a metropolitan FMR area that are in more than one state can be identified by consulting the listings for each applicable state. c. Two nonmetropolitan counties are listed alphabetically on each line of the non-metropolitan county listings. d. The New England towns and cities included in a nonmetropolitan county are listed immediately following the county name. [FR Doc. 2016-20552 Filed 8-25-16; 8:45 am] BILLING CODE 4210-67-P
![58952 Federal Register / Vol. 81, No. 166 / Friday, August 26, 2016 / Notices
Time: 8:00 a.m. to 6:00 p.m. DEPARTMENT OF HEALTH AND surplus Federal property reviewed by
Agenda: To review and evaluate grant HUMAN SERVICES HUD for suitability for possible use to
applications. assist the homeless.
Place: National Institutes of Health, 6701 National Institutes of Health FOR FURTHER INFORMATION CONTACT:
Rockledge Drive, Bethesda, MD 20892,
(Virtual Meeting).
Juanita Perry, Department of Housing
National Institute of Allergy and and Urban Development, 451 Seventh
Contact Person: Nitsa Rosenzweig, Ph.D., Infectious Diseases; Notice of Closed
Scientific Review Officer, Center for Street SW., Room 7266, Washington, DC
Meeting 20410; telephone (202) 402–3970; TTY
Scientific Review, National Institutes of
Health, 6701 Rockledge Drive, Room 4152, Pursuant to section 10(d) of the number for the hearing- and speech-
MSC 7760, Bethesda, MD 20892, (301) 404– Federal Advisory Committee Act, as impaired (202) 708–2565 (these
7419, rosenzweign@csr.nih.gov. amended (5 U.S.C. App.), notice is telephone numbers are not toll-free),
Name of Committee: Brain Disorders and hereby given of the following meeting. call the toll-free Title V information line
Clinical Neuroscience Integrated Review The meeting will be closed to the at 800–927–7588 or send an email to
Group, Brain Injury and Neurovascular public in accordance with the title5@hud.gov.
Pathologies Study Section. provisions set forth in sections SUPPLEMENTARY INFORMATION: In
Date: September 26–27, 2016.
552b(c)(4) and 552b(c)(6), title 5 U.S.C., accordance with the December 12, 1988
Time: 8:00 a.m. to 5:00 p.m.
Agenda: To review and evaluate grant as amended. The grant applications and court order in National Coalition for the
applications. the discussions could disclose Homeless v. Veterans Administration,
Place: Embassy Suites at the Chevy Chase confidential trade secrets or commercial No. 88–2503–OG (D.D.C.), HUD
Pavilion, 4300 Military Road NW., property such as patentable material, publishes a Notice, on a weekly basis,
Washington, DC 20015. and personal information concerning identifying unutilized, underutilized,
Contact Person: Alexander Yakovlev, individuals associated with the grant excess and surplus Federal buildings
Ph.D., Scientific Review Officer, Center for applications, the disclosure of which and real property that HUD has
Scientific Review, National Institutes of would constitute a clearly unwarranted reviewed for suitability for use to assist
Health, 6701 Rockledge Drive, Room 5206, invasion of personal privacy. the homeless. Today’s Notice is for the
MSC 7846, Bethesda, MD 20892, 301–435–
Name of Committee: National Institute of purpose of announcing that no
1254, yakovleva@csr.nih.gov.
Allergy and Infectious Diseases Special additional properties have been
Name of Committee: Healthcare Delivery Emphasis Panel; Rapid Assessment of Zika determined suitable or unsuitable this
and Methodologies Integrated Review Group, Virus (ZIKV) Complications (R21). week.
Health Services Organization and Delivery Date: September 20–21, 2016.
Study Section. Dated: August 18, 2016.
Time: 11:00 a.m. to 5:00 p.m.
Date: September 26–27, 2016. Agenda: To review and evaluate grant Brian P. Fitzmaurice,
Time: 8:30 a.m. to 5:00 p.m. applications. Director, Division of Community Assistance,
Agenda: To review and evaluate grant Place: National Institutes of Health, 5601 Office of Special Needs Assistance Programs.
applications. Fishers Lane, Rockville, MD 20892, [FR Doc. 2016–20138 Filed 8–25–16; 8:45 am]
Place: Courtyard Riverwalk Marriott, 207 (Telephone Conference Call). BILLING CODE 4210–67–P
N. St Mary’s Street, San Antonio, TX 78205. Contact Person: Kelly Y. Poe, Ph.D.,
Contact Person: Jacinta Bronte-Tinkew, Scientific Review Program, Division of
Ph.D., Scientific Review Officer, Center for Extramural Activities, Room 3F40B, National
Scientific Review, National Institutes of DEPARTMENT OF HOUSING AND
Institutes of Health, NIAID, 5601 Fishers
Health, 6701 Rockledge Drive, Room 3164, Lane, MSC 9823, Bethesda, MD 20892–9823, URBAN DEVELOPMENT
MSC 7770, Bethesda, MD 20892, (301) 806– (240) 669–5036, poeky@mail.nih.gov. [Docket No. FR–5962–N–01]
0009, brontetinkewjm@csr.nih.gov. (Catalogue of Federal Domestic Assistance
Name of Committee: Center for Scientific Program Nos. 93.855, Allergy, Immunology, Fair Market Rents for the Housing
Review Special Emphasis Panel, and Transplantation Research; 93.856, Choice Voucher Program, Moderate
Biochemistry and Biophysics of Membranes. Microbiology and Infectious Diseases Rehabilitation Single Room Occupancy
Date: September 27, 2016. Research, National Institutes of Health, HHS) Program and Other Programs Fiscal
Time: 8:00 a.m. to 6:00 p.m. Dated: August 22, 2016. Year 2017
Agenda: To review and evaluate grant
applications. Natasha M. Copeland, AGENCY: Office of the Assistant
Place: Ritz-Carlton Hotel, 1700 Tysons Program Analyst, Office of Federal Advisory Secretary for Policy Development and
Boulevard, McLean, VA 22102. Committee Policy. Research, HUD.
Contact Person: C-L Albert Wang, Ph.D., [FR Doc. 2016–20439 Filed 8–25–16; 8:45 am]
ACTION: Notice of Fiscal Year (FY) 2017
Scientific Review Officer, Center for BILLING CODE 4140–01–P Fair Market Rents (FMRs).
Scientific Review, National Institutes of
Health, 6701 Rockledge Drive, Room 4146, SUMMARY: Today’s notice announces the
MSC 7806, Bethesda, MD 20892, 301–435– FY 2017 Fair Market Rents (FMRs) for
1016, wangca@csr.nih.gov. DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT all areas that reflect the estimated 40th
(Catalogue of Federal Domestic Assistance and 50th percentile rent levels trended
Program Nos. 93.306, Comparative Medicine; [Docket No. FR–5907–N–35] to April 1, 2017. The Housing
93.333, Clinical Research, 93.306, 93.333,
Opportunities Through Modernization
93.337, 93.393–93.396, 93.837–93.844, Federal Property Suitable as Facilities
93.846–93.878, 93.892, 93.893, National
Act of 2016 (HOTMA) (Pub. L. 114–201,
To Assist the Homeless
approved July 29, 2016) revises the
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Institutes of Health, HHS)
AGENCY: Office of the Assistant procedure by which HUD publishes its
Dated: August 23, 2016. annual FMRs. Specifically, HUD is no
Secretary for Community Planning and
Natasha M. Copeland, Development, HUD. longer required to publish proposed
Program Analyst, Office of Federal Advisory ACTION: Notice. FMRs for comment in the Federal
Committee Policy. Register. Rather, HUD may post the
[FR Doc. 2016–20557 Filed 8–25–16; 8:45 am] SUMMARY: This Notice identifies FMRs on HUD’s Web site and announce
BILLING CODE 4140–01–P unutilized, underutilized, excess, and such posting by notice published in the
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![Federal Register / Vol. 81, No. 166 / Friday, August 26, 2016 / Notices 58953
Federal Register. In addition, HOTMA Division, Office of General Counsel, Public Inspection of Public Comments
provides that HUD’s FMRs shall be Department of Housing and Urban and Reevaluation Requests. All properly
effective no earlier than 30 days after Development, 451 Seventh Street SW., submitted comments and reevaluation
the date of the publication of HUD’s Room 10276, Washington, DC 20410– requests and communications regarding
Federal Register notice but that public 0001. Communications must refer to the this notice submitted to HUD will be
housing agencies (PHAs) and other above docket number and title and available for public inspection and
interested parties may comment on the should contain the information copying between 8 a.m. and 5 p.m.
FMR and request revevaluation of FMRs specified in the ‘‘Request for weekdays at the above address. Due to
in a jurisdiction before such FMRs Comments’’ and ‘‘Requests for FMR security measures at the HUD
become effective. This notice announces Reevaluations’’ sections below. There Headquarters building, an advance
that HUD’s FY 2017 FMRs are available are two methods for submitting public appointment to review the public
at www.huduser.gov and will take effect comments and reevaluation requests. comments and reevaluation requests
as stated in the DATES section of this 1. Submission of Comments or must be scheduled by calling the
notice unless interested parties request Reevaluation Requests by Mail. Regulations Division at 202–708–3055
reevaluation of a their FMRs by Comments or requests for reevaluation (this is not a toll-free number).
September 26, 2016. HOTMA also may be submitted by mail to the Individuals with speech or hearing
requires HUD to publish proposed Regulations Division, Office of General impairments may access this number
material changes to the methodology for Counsel, Department of Housing and through TTY by calling the Federal
comment. This notice also announces Urban Development, 451 7th Street SW., Relay Service at 800–877–8339. Copies
that HUD is not changing the Room 10276, Washington, DC 20410– of all comments and reevaluation
methodology for calculating the FY 0500. Due to security measures at all requests submitted are available for
2017 FMRs estimates from that used to federal agencies, however, submission inspection and downloading at http://
determine the FY 2016 FMRs. This of comments by mail often results in www.regulations.gov.
notice, however, requests public delayed delivery. To ensure timely FOR FURTHER INFORMATION CONTACT: For
comments on defining the scope of receipt of comments or reevaluation technical information on the
material changes that will trigger notice requests, HUD recommends that methodology used to develop FMRs or
and comment in future calculation of comments or requests submitted by mail a listing of all FMRs, please call the
FMRs. be submitted at least two weeks in HUD USER information line at 800–
The FY 2017 FMRs announced in this advance of the deadline. HUD will make 245–2691 or access the information on
notice are based on ‘‘5-year’’ data all comments or reevaluation requests the HUD USER Web site http://
collected by the American Community received by mail available to the public www.huduser.gov/portal/datasets/
Survey (ACS) from 2010 through 2014. at http://www.regulations.gov/. fmr.html. FMRs are listed at the 40th or
HUD updated the 5-year data with ‘‘one- 2. Electronic Submission of 50th percentile in Schedule B. For
year’’ 2014 ACS data for areas where Comments or Reevaluation Requests. informational purposes, 40th percentile
statistically valid one-year ACS data is Interested persons may submit rents for the areas with 50th percentile
available. HUD continues to use ACS comments or reevaluation requests FMRs will be provided in the HUD FY
data in different ways according to the electronically through the Federal 2017 FMR documentation system at
statistical reliability of rent estimates. eRulemaking Portal at http:// http://www.huduser.gov/portal/
HUD uses actual and forecast Consumer www.regulations.gov. HUD strongly datasets/fmr/fmrs/docsys.html&
Price Index (CPI) rent and utility price encourages commenters to submit data=fmr17 and 50th percentile rents
indices to further update the ACS- comments or reevaluation requests for all FMR areas will be published at
derived rents to the middle of the FY electronically. Electronic submission of http://www.huduser.gov/portal/
2017 fiscal year. The FY 2017 FMRs comments or reevaluation requests datasets/50per.html.
continue to use the February 28, 2013, allows the commenter maximum time to Questions related to use of FMRs or
OMB metropolitan area definitions. As prepare and submit a comment or voucher payment standards should be
noted above, the FY 2017 FMRs are reevaluation request, ensures timely directed to the respective local HUD
calculated in the same manner used to receipt by HUD, and enables HUD to program staff. Questions on how to
calculate of the FY 2016 FMRs with the make them immediately available to the conduct FMR surveys may be addressed
only differences being the use of public. Comments or reevaluation to Marie L. Lihn or Peter B. Kahn of the
updated data. requests submitted electronically Economic and Market Analysis
HUD notes that the only area for through the http://www.regulations.gov Division, Office of Economic Affairs,
which HUD announces Small Area Web site can be viewed by other Office of Policy Development and
FMRs is the Dallas, TX HUD Metro FMR commenters and interested members of Research at HUD headquarters [451 7th
Area. The Small Area FMR the public. Commenters or reevaluation Street SW., Room 8208, Washington, DC
Demonstration project with 5 PHA requestors should follow instructions 20410]; telephone number 202–402–
participants concludes on September provided on that site to submit 2409 (this is not a toll-free number), or
30, 2016. The 5 PHAs that participated comments or reevaluation requests they may be reached at emad-hq@
in the demonstration may continue to be electronically. hud.gov. Persons with hearing or speech
able set their housing choice voucher
Note: To receive consideration as public impairments may access HUD numbers
payment standards based on Small Area comments or reevaluation requests, through TTY by calling the toll-free
FMRs, as discussed in this notice. comments or requests must be submitted Federal Relay Service at 800–877–8339.
mstockstill on DSK3G9T082PROD with NOTICES
DATES: Comment Due Date: September through one of the two methods specified Electronic Data Availability. This
26, 2016. Effective Date: October 1, above. Again, all submissions must refer to Federal Register notice will be available
2016. the docket number and title of the notice. electronically from the HUD User page
ADDRESSES: HUD invites interested No Facsimile Comments or at https://www.huduser.gov/portal/
persons to submit comments regarding Reevaluation Requests. Facsimile (FAX) datasets/fmr.html.Federal Register
the FMRs and requests for reevaluation comments or requests for FMR notices also are available electronically
of the FY 2017 FMRs to the Regulations reevaluation are not acceptable. from https://www.federalregister.gov/
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![58954 Federal Register / Vol. 81, No. 166 / Friday, August 26, 2016 / Notices
the U.S. Government Printing Office renewal rents for some expiring project- 2017 FMRs are available at https://
Web site. Complete documentation of based Section 8 contracts, to determine www.huduser.gov/portal/datasets/
the methods and data used to compute initial rents for housing assistance fmr.html. In addition, HUD’s regulations
each area’s FY 2017 FMRs is available payment contracts in the Moderate at 24 CFR 888.113(c) set out procedures
at http://www.huduser.gov/portal/ Rehabilitation Single Room Occupancy for HUD to assess whether areas are
datasets/fmr/fmrs/ program, and to serve as rent ceilings for eligible for FMRs at the 50th percentile.
docsys.html&data=fmr17. FY 2017 rental units in the HOME Investment Minimally qualified areas 1 are reviewed
FMRs are available in a variety of Partnerships program. HUD also uses each year unless not qualified to be
electronic formats at https:// FMRs in the calculation of maximum reviewed. Areas are not qualified to be
www.huduser.gov/portal/datasets/ award amounts for Continuum of Care reviewed if they have been made a 50th-
fmr.html. FMRs may be accessed in PDF grantees and in the calculation of flat percentile area within the last three
format as well as in Microsoft Excel. rents in Public Housing units. years or have lost 50th-percentile status
Small Area FMRs based on FY 2017 for failure to deconcentrate within the
Metropolitan Area Rents for the Dallas, II. Procedures for the Development of
FMRs last three years.
TX HUD Metro FMR Area are available
in Microsoft Excel format at the same Section 8(c)(1) of the USHA, as In FY 2016 there were 14 areas using
web address. Small Area FMRs for all amended by HOTMA requires the 50th-percentile FMRs. Of these 14 areas,
other metropolitan FMR areas are Secretary of HUD to publish FMRs not no area completed three years of
available at: http://www.huduser.gov/ less than annually. Section 8(c)(1)(A) program participation and were
portal/datasets/fmr/smallarea/ states, in part, that ‘‘[e]ach fair market evaluated. Therefore, all 14 areas will
index.html. rental in effect under this subsection continue to operate using 50th
shall be adjusted to be effective on percentile FMRs in FY 2017.
SUPPLEMENTARY INFORMATION:
October 1 of each year to reflect In addition, two areas that previously
I. Background changes, based on the most recent ‘‘graduated’’ from the 50th percentile
Section 8 of the USHA (42 U.S.C. available data trended so the rentals will FMR program, become 50th percentile
1437f) authorizes housing assistance to be current for the year to which they FMR areas again because voucher tenant
aid lower-income families in renting apply, of rents for existing or newly concentrations are now above this 25
safe and decent housing. Housing constructed rental dwelling units, as the percent minimum. Under the 50th
assistance payments are limited by case may be, of various sizes and types percentile FMR program, areas that
FMRs established by HUD for different in the market area suitable for experience a reduction in the
geographic areas. In the Housing Choice occupancy by persons assisted under concentration of tenants below the 25
Voucher (HCV) program, the FMR is the this section.’’ percent minimum required to reside in
basis for determining the ‘‘payment Section 8(c)(1)(B) also provides that the 5 percent of the census tracts within
standard amount’’ used to calculate the FMRs for an area shall be published not the FMR area with the largest number of
maximum monthly subsidy for an less than annually on the Department’s voucher program participants, are
assisted family (see 24 CFR 982.503). In Web site on the World Wide Web. In evaluated each year after they lose their
general, the FMR for an area is the addition, HUD is required to publish a 50th percentile FMRs. Two of these
amount that would be needed to pay the notice in the Federal Register alerting areas, Bergen-Passaic, NJ HUD Metro
gross rent (shelter rent plus utilities) of the public that such FMRs are being FMR Area, and San Diego-Carlsbad-San
privately owned, decent, and safe rental published. Section 8(c)(1)(B) provides Marcos, CA MSA, become 50th
housing of a modest (non-luxury) nature that such FMRs shall become effective percentile FMR areas again because
with suitable amenities and is typically no earlier than 30 days after the date of voucher tenant concentrations are now
set at the 40th percentile of the such publication. HUD is required, above this 25 percent minimum. In
distribution of gross rents. In addition, however, to establish a procedure for addition, a new area, Spokane, WA
all rents subsidized under the HCV PHAs and other interested parties to HUD Metro FMR Area qualified for the
program must meet reasonable rent comment on such FMRs and to request, first time by registering a significant
standards. HUD’s regulations at 24 CFR within a time specified by HUD, increase in its concentration measure to
888.113 permit the Department to reevaluation of the FMRs in a get above 25 percent. Based on the
establish 50th percentile FMRs for jurisdiction before such rentals become current regulations, HUD is including
certain areas. effective. these 3 areas along with the 14 areas
In addition to the HCV program, This notice serves as the statutory from FY 2016 in the use of 50th
FMRs are used to determine initial requirement to provide notice that FY percentile FMRs in FY 2017.
FY 2017 50TH-PERCENTILE FMR AREAS AND YEAR OF NEXT REEVALUATION
Albuquerque, NM MSA ..................................................... 2018 Baltimore-Columbia-Towson, MD MSA ........................... 2019
Bergen-Passaic, NJ HUD Metro FMR Area ..................... 2020 Chicago-Joliet-Naperville, IL HUD Metro FMR Area ....... 2018
Denver-Aurora-Broomfield, CO MSA ................................ 2018 Hartford-West Hartford-East Hartford, CT HUD Metro 2018
FMR Area.
Urban Honolulu, HI MSA .................................................. 2018 Kansas City, MO–KS HUD Metro FMR Area .................. 2018
Milwaukee-Waukesha-West Allis, WI MSA ...................... 2018 Philadelphia-Camden-Wilmington, PA–NJ–DE–MD ........ 2019
mstockstill on DSK3G9T082PROD with NOTICES
Riverside-San Bernardino-Ontario, CA MSA .................... 2018 San Diego-Carlsbad-San Marcos, CA MSA .................... 2020
Spokane, WA HUD Metro FMR Area ............................... 2020 Tacoma, WA HUD Metro FMR Area ............................... 2018
1 As defined in 24 CFR 888.113(c), a minimally the two bedroom FMR set at the 40th percentile rent In light of HUD’s June 6, 2015 Advanced Notice of
qualified area is an area with at least 100 census and where 25 percent or more of voucher tenants Proposed Rulemaking, HUD has chosen not to
tracts where 70 percent or fewer of the census tracts reside in the 5 percent of the census tracts within update the area selection criteria with 2010 tract
with at least 10 two bedroom rental units are census the FMR area that have the largest number of delineations in order to ease the anticipated future
tracts in which at least 30 percent of the two voucher program participants. This continues to be implementation of a Small Area FMR based
bedroom rental units have gross rents at or below evaluated with 2000 Decennial Census information. deconcentration rule.
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![Federal Register / Vol. 81, No. 166 / Friday, August 26, 2016 / Notices 58959
D, available at https:// comments or requests by any one of the purchase of 10.0 mitigation credits from
www.huduser.gov/portal/datasets/ following methods. the Scrub Conservation Bank.
fmr.html, are listed alphabetically by Email: northflorida@fws.gov. Use
‘‘Attn: Permit number TE02053C–0’’ as Our Preliminary Determination
state.
b. The constituent counties (and New your message subject line for Orange We have determined that the
England towns and cities) included in County Utilities Department. applicant’s proposal, including the
each metropolitan FMR area are listed Fax: Field Supervisor, (904) 731– proposed mitigation and minimization
immediately following the listings of the 3191, Attn: Permit number TE02053C– measures, would have minor or
FMR dollar amounts. All constituent 0. negligible effects on the species covered
parts of a metropolitan FMR area that U.S. mail: Field Supervisor, in their HCP. Therefore, our proposed
are in more than one state can be Jacksonville Ecological Services Field issuance of the requested ITP qualifies
identified by consulting the listings for Office, Attn: Permit number TE02053C– as a categorical exclusion under the
each applicable state. 0, U.S. Fish and Wildlife Service, 7915 National Environmental Policy Act, as
c. Two nonmetropolitan counties are Baymeadows Way, Suite 200, provided by Department of the Interior
listed alphabetically on each line of the Jacksonville, FL 32256. implementing regulations in part 46 of
non-metropolitan county listings. In-person drop-off: You may drop off title 43 of the Code of Federal
d. The New England towns and cities information during regular business Regulations (43 CFR 46.205, 46.210, and
included in a nonmetropolitan county hours at the above office address. 46.215). A low-effect HCP is one
are listed immediately following the FOR FURTHER INFORMATION CONTACT: involving (1) Minor or negligible effects
county name. Zakia Williams, telephone: (904) 731– on federally listed or candidate species
[FR Doc. 2016–20552 Filed 8–25–16; 8:45 am] 3119; email: zakia_williams@fws.gov. and their habitats, and (2) minor or
BILLING CODE 4210–67–P SUPPLEMENTARY INFORMATION: negligible effects on other
environmental values or resources.
Background
Next Steps
Section 9 of the Act (16 U.S.C. 1531
DEPARTMENT OF THE INTERIOR We will evaluate the HCP and
et seq.) and our implementing Federal
regulations in the Code of Federal comments we receive to determine
Fish and Wildlife Service
Regulations (CFR) at 50 CFR 17 prohibit whether the ITP application meets the
[FWS–R4–ES–2016–N028: the ‘‘take’’ of fish or wildlife species requirements of section 10(a) of the Act
FXES11130400000EA–123–FF04EF1000] listed as endangered or threatened. Take (16 U.S.C. 1531 et seq.). If we determine
of listed fish or wildlife is defined under that the application meets these
Endangered and Threatened Wildlife requirements, we will issue ITP number
and Plants; Availability of Proposed the Act as ‘‘to harass, harm, pursue,
hunt, shoot, wound, kill, trap, capture, TE02053C–0. We will also evaluate
Low-Effect Habitat Conservation Plan, whether issuance of the section
Orange County, FL or collect, or to attempt to engage in any
such conduct’’ (16 U.S.C. 1532). 10(a)(1)(B) ITP complies with section 7
AGENCY: Fish and Wildlife Service, However, under limited circumstances, of the Act by conducting an intra-
Interior. we issue permits to authorize incidental Service section 7 consultation. We will
ACTION: Notice of availability; request take—i.e., take that is incidental to, and use the results of this consultation, in
for comments/information. not the purpose of, the carrying out of combination with the above findings, in
an otherwise lawful activity. our final analysis to determine whether
SUMMARY: We, the U.S. Fish and Regulations governing incidental take or not to issue the ITP. If the
Wildlife Service (Service), have received permits for threatened and endangered requirements are met, we will issue the
an application for an incidental take species are at 50 CFR 17.32 and 17.22, permit to the applicant.
permit (ITP) under the Endangered respectively. The Act’s take prohibitions Public Comments
Species Act of 1973, as amended (Act). do not apply to federally listed plants
Orange County Utilities Department, is on private lands unless such take would If you wish to comment on the permit
requesting a 5-year ITP. We request violate State law. In addition to meeting application, HCP, and associated
public comment on the permit other criteria, an incidental take documents, you may submit comments
application and accompanying permit’s proposed actions must not by any one of the methods in
proposed habitat conservation plan jeopardize the existence of federally ADDRESSES.
(HCP), as well as on our preliminary listed fish, wildlife, or plants. Public Availability of Comments
determination that the plan qualifies as
Applicant Proposal Before including your address, phone
low effect under the National
Environmental Policy Act (NEPA). To number, email address, or other
Orange County Utilities Department
make this determination, we used our personal identifying information in your
Orange County Utilities Department, comments, you should be aware that
environmental action statement and is requesting take of approximately 5.0
low-effect screening form, which are your entire comment—including your
acres of occupied sand skink foraging personal identifying information—may
also available for review. and sheltering habitat incidental to be made publicly available at any time.
DATES: To ensure consideration, please construction of a road extension, and While you can ask us in your comment
send your written comments by they seek a 5-year permit. The 41.7-acre to withhold your personal identifying
September 26, 2016. project is located on parcel number 09–
mstockstill on DSK3G9T082PROD with NOTICES
information from public review, we
ADDRESSES: If you wish to review the 23–27–0000–00–006 within Section 16 cannot guarantee that we will be able to
application and HCP, you may request and 17, Township 23 South, and Range do so.
documents by email, U.S. mail, or 27 East, Orange County, Florida. The
phone (see below). These documents are project includes construction of a road Authority
also available for public inspection by extension and associated infrastructure. We provide this notice under Section
appointment during normal business The applicant proposes to mitigate for 10 of the Act and NEPA regulations (40
hours at the office below. Send your the take of the sand skink by the CFR 1506.6).
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Document Created: 2016-08-26 10:41:11
Document Modified: 2016-08-26 10:41:11
| 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 | Notices | |
| Action | Notice of Fiscal Year (FY) 2017 Fair Market Rents (FMRs). | |
| Contact | For technical information on the methodology used to develop FMRs or a listing of all FMRs, please call the HUD USER information line at 800-245-2691 or access the information on the HUD USER Web site http://www.huduser.gov/portal/datasets/ fmr.html. FMRs are listed at the 40th or 50th percentile in Schedule B. For informational purposes, 40th percentile rents for the areas with 50th percentile FMRs will be provided in the HUD FY 2017 FMR documentation system at http://www.huduser.gov/portal/datasets/fmr/ fmrs/docsys.html&data=fmr17 and 50th percentile rents for all FMR areas will be published at http://www.huduser.gov/portal/datasets/50per.html. | |
| FR Citation | 81 FR 58952 |
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