82_FR_5602 82 FR 5591 - Allocations, Common Application, Waivers, and Alternative Requirements for Community Development Block Grant Disaster Recovery Grantees

82 FR 5591 - Allocations, Common Application, Waivers, and Alternative Requirements for Community Development Block Grant Disaster Recovery Grantees

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Federal Register Volume 82, Issue 11 (January 18, 2017)

Page Range5591-5595
FR Document2017-01007

This notice allocates $1,805,976,000 in Community Development Block Grant disaster recovery (CDBG-DR) funds appropriated by the Further Continuing and Security Assistance Appropriations Act, 2017 for the purpose of assisting long-term recovery in Florida, Louisiana, North Carolina, South Carolina, Texas, and West Virginia. This allocation of CDBG-DR supplements funds appropriated by the Continuing Appropriation Act, 2017. It provided $500 million in CDBG-DR funding that has been allocated to Louisiana, Texas, and West Virginia in response to qualifying disasters. In HUD's Federal Register notice published on November 21, 2016, at 81 FR 83254 (the Prior Notice), HUD described that allocation and applicable waivers and alternative requirements, relevant statutory and regulatory requirements, the grant award process, criteria for action plan approval, and eligible disaster recovery activities. Grantees receiving an allocation of funds under this notice are subject to the requirements of the Prior Notice, including provisions of the Prior Notice amended herein.

Federal Register, Volume 82 Issue 11 (Wednesday, January 18, 2017)
[Federal Register Volume 82, Number 11 (Wednesday, January 18, 2017)]
[Notices]
[Pages 5591-5595]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-01007]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-6012-N-01]


Allocations, Common Application, Waivers, and Alternative 
Requirements for Community Development Block Grant Disaster Recovery 
Grantees

AGENCY: Office of the Assistant Secretary for Community Planning and 
Development, HUD.

ACTION: Notice.

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SUMMARY: This notice allocates $1,805,976,000 in Community Development 
Block Grant disaster recovery (CDBG-DR) funds appropriated by the 
Further Continuing and Security Assistance Appropriations Act, 2017 for 
the purpose of assisting long-term recovery in Florida, Louisiana, 
North Carolina, South Carolina, Texas, and West Virginia. This 
allocation of CDBG-DR supplements funds appropriated by the Continuing 
Appropriation Act, 2017. It provided $500 million in CDBG-DR funding 
that has been allocated to Louisiana, Texas, and West Virginia in 
response to qualifying disasters. In HUD's Federal Register notice 
published on November 21, 2016, at 81 FR 83254 (the Prior Notice), HUD 
described that allocation and applicable waivers and alternative 
requirements, relevant statutory and regulatory requirements, the grant 
award process, criteria for action plan approval, and eligible disaster 
recovery activities. Grantees receiving an allocation of funds under 
this notice are subject to the requirements of the Prior Notice, 
including provisions of the Prior Notice amended herein.

DATES: Effective Date: January 23, 2017.

[[Page 5592]]


FOR FURTHER INFORMATION CONTACT: Stanley Gimont, Director, Office of 
Block Grant Assistance, Department of Housing and Urban Development, 
451 7th Street SW., Room 7286, Washington, DC 20410, telephone number 
202-708-3587. Persons with hearing or speech impairments may access 
this number via TTY by calling the Federal Relay Service at 800-877-
8339. Facsimile inquiries may be sent to Mr. Gimont at 202-401-2044. 
(Except for the ``800'' number, these telephone numbers are not toll-
free.) Email inquiries may be sent to: [email protected].

SUPPLEMENTARY INFORMATION: 

Table of Contents

I. Allocations
II. Use of Funds
III. Grant Amendment Process
IV. Applicable Rules, Statutes, Waivers, and Alternative 
Requirements
V. Duration of Funding
VI. Catalog of Federal Domestic Assistance
VII. Finding of No Significant Impact
Appendix A: Allocation Methodology

I. Allocations

    Section 101 of the Further Continuing and Security Assistance 
Appropriations Act, 2017 (division A of Pub. L. 114-254, approved 
December 10, 2016) amended the Continuing Appropriations Act, 2017 
(division C of Pub. L. 114-223) by adding a new section 192 that makes 
available $1,808,976,000 in Community Development Block Grant (CDBG) 
funds for necessary expenses for activities authorized under title I of 
the Housing and Community Development Act of 1974 (42 U.S.C. 5301 et 
seq.) related to disaster relief, long-term recovery, restoration of 
infrastructure and housing, and economic revitalization in the most 
impacted and distressed areas resulting from a major disaster declared 
in 2016 and occurring prior to December 10, 2016. Qualifying major 
disasters are declared by the President pursuant to the Robert T. 
Stafford Disaster Relief and Emergency Assistance Act of 1974 (42 
U.S.C. 5121 et seq.) (Stafford Act). The following allocations of funds 
appropriated by section 192 are in addition to the $500 million 
appropriated by section 145(a) and allocated in the Prior Notice. 
Section 192 specifies that these additional funds are subject to the 
same authority and conditions as those in section 145(a), except the 
major disaster must have occurred prior to December 10, 2016.
    Section 145(a) provides that grants shall be awarded directly to a 
State or unit of general local government at the discretion of the 
Secretary. The Secretary has elected to award funds only to States in 
this notice. Unless noted otherwise, the term ``grantee'' refers to the 
State receiving an award from HUD under this notice. To comply with the 
statutory requirement that funds be used for disaster-related expenses 
in the most impacted and distressed areas, HUD allocates funds using 
the best available data that cover all of the eligible affected areas.
    Section 192(b) permits HUD to use up to $3,000,000 of the 
appropriated amount for necessary costs, including information 
technology costs, of administering and overseeing the obligation and 
expenditure of amounts made available by sections 145(a) and 192. The 
Department is deducting the full $3,000,000, resulting in a total of 
$1,805,976,000 available for allocation.
    Based on further review of the impacts from the eligible disasters, 
and estimates of unmet need, HUD is making the following allocations:

                                  Table 1--Allocations Under Public Law 114-245
----------------------------------------------------------------------------------------------------------------
                                                                                             Minimum amount that
                                                                                            must be expended for
                                                                                            recovery in the HUD-
          Disaster No.                           Grantee                     Allocation       identified ``most
                                                                                                impacted and
                                                                                             distressed'' areas
----------------------------------------------------------------------------------------------------------------
4263, 4277.....................  State of Louisiana....................     $1,219,172,000  ($975,337,600) East
                                                                                             Baton Rouge,
                                                                                             Livingston,
                                                                                             Ascension,
                                                                                             Tangipahoa,
                                                                                             Ouachita,
                                                                                             Lafayette,
                                                                                             Lafayette,
                                                                                             Vermilion, Acadia,
                                                                                             Washington, and St.
                                                                                             Tammany Parishes.
4266, 4269, 4272...............  State of Texas........................        177,064,000  ($141,651,200)
                                                                                             Harris, Newton,
                                                                                             Montgomery, Fort
                                                                                             Bend, and Brazoria
                                                                                             Counties.
4273...........................  State of West Virginia................         87,280,000  ($69,824,000)
                                                                                             Kanawha and
                                                                                             Greenbrier
                                                                                             Counties.
4285...........................  State of North Carolina...............        198,553,000  ($158,842,400)
                                                                                             Robeson,
                                                                                             Cumberland,
                                                                                             Edgecombe, and
                                                                                             Wayne Counties.
4286...........................  State of South Carolina...............         65,305,000  ($52,244,000) Marion
                                                                                             County.
4280, 4283.....................  State of Florida......................         58,602,000  ($46,881,600) St.
                                                                                             Johns County.
                                                                        -------------------
    Total......................  ......................................      1,805,976,000  ....................
----------------------------------------------------------------------------------------------------------------

    Use of funds for all grantees is limited to unmet recovery needs 
from the major disasters identified in Table 1. Please note that in 
addition to the FEMA disaster numbers listed in the Prior Notice for 
the State of Texas, the State may also expend its allocation of funds 
from the Prior Notice on FEMA disaster number DR-4272.
    Table 1 also shows the HUD-identified ``most impacted and 
distressed'' areas impacted by the disasters. At least 80 percent of 
the total funds provided to each State under this notice must address 
unmet needs within the HUD-identified ``most impacted and distressed'' 
areas, as identified in the last column in Table 1. For grantees that 
received an allocation under the Prior Notice, 80 percent of both 
allocations may be used to address unmet needs within the HUD-
identified ``most impacted and distressed'' areas that are identified 
in Table 1 of this notice. Grantees may determine where the remaining 
20 percent may be spent by identifying areas it determines to be ``most 
impacted and distressed.'' A detailed explanation of HUD's allocation 
methodology is provided at Appendix A.

II. Use of Funds

    Funds allocated under this notice and funds allocated pursuant to 
the Prior Notice are subject to the requirements of the Prior Notice, 
including the provisions of the Prior Notice as amended herein. As a 
reminder, section 145(a) requires that prior to the obligation of CDBG-
DR funds, a grantee shall submit a plan to HUD for approval detailing 
the proposed use of all funds, including criteria for eligibility, and 
how the use of these funds will address long-term recovery and 
restoration of infrastructure and housing and economic revitalization 
in the most impacted and distressed areas. This action plan for 
disaster recovery must describe uses and activities that: (1) Are 
authorized under title I of the Housing and Community Development Act 
of 1974 (HCD Act) or allowed by a waiver or alternative requirement 
(see section IV., below); and (2) respond to disaster-

[[Page 5593]]

related impact to infrastructure, housing, and economic revitalization 
in the most impacted and distressed areas. To inform the plan, grantees 
must conduct an assessment of community impacts and unmet needs to 
guide the development and prioritization of planned recovery 
activities, pursuant to paragraph A.2.a. in section VI of the Prior 
Notice, as amended in this notice.
    Pursuant to the Prior Notice, each grantee is required to expend 
100 percent of its allocation of CDBG-DR funds on eligible activities 
within 6 years of HUD's execution of the grant agreement.

III. Overview of Grant Process

    To begin expenditure of CDBG-DR funds, grantees must complete the 
expedited steps outlined in Section V. Overview of Grant Process in the 
Prior Notice. As stated below at paragraph IV.1.a, the deadlines 
established by the Prior Notice are now determined by the effective 
date of this notice.

IV. Applicable Rules, Statutes, Waivers, and Alternative Requirements

    This section of the notice describes rules, statutes, waivers, and 
alternative requirements that apply to grantees receiving an allocation 
under this notice. All funds allocated by the Prior Notice and this 
notice are subject to the requirements of the Prior Notice, including 
provisions of the Prior Notice as amended herein. Further, the 
Secretary has determined that good cause exists for each waiver and 
alternative requirement established in the Prior Notice and that the 
waivers and alternative requirements are not inconsistent with the 
overall purpose of the HCD Act. The Secretary's determination extends 
to each waiver or alternative requirement amended by this notice.
    Grantees may request additional waivers and alternative 
requirements from the Department as needed to address specific needs 
related to their recovery activities. Except where noted, waivers and 
alternative requirements described below apply to all grantees under 
this notice. Waivers and alternative requirements are effective five 
days after they are published in the Federal Register.
    1. Incorporation of waivers, alternative requirements, and 
statutory changes previously described. The waivers and alternative 
requirements provided in the Prior Notice apply to the awards under 
this notice, except as modified herein. These waivers and alternative 
requirements provide additional flexibility in program design and 
implementation to support full and swift recovery following the 
disasters, while also ensuring that statutory requirements are met. The 
requirements of the Prior Notice and this notice apply only to the 
CDBG-DR funds appropriated in sections 145(a) and 192.
    The following clarifications or modifications apply to grantees in 
receipt of an allocation under this notice and to funds allocated under 
the Prior Notice:
    a. All deadlines for the submission of the Secretary's 
certification, risk analysis, or the action plan referenced in the 
Prior Notice are now determined by the effective date of this notice. 
This means that the deadlines established by the Prior Notice for the 
submission of the Secretary's certification, risk analysis and action 
plan, as well as other deadlines, are extended to deadlines established 
by this notice. This allows grantees receiving an allocation of funds 
under both the Prior Notice and this notice to submit a single action 
plan and other documents governing both allocations.
    b. Paragraph VI.A.2.a.6 of the Prior Notice at 81 FR 83258 is 
amended by revising the action plan requirement to identify a maximum 
amount of assistance available to beneficiaries under each program. In 
addition to the requirement described in the Prior Notice, for any 
residential rehabilitation or reconstruction program, grantees must 
establish a process by which it assesses the cost effectiveness of each 
rehabilitation or reconstruction project undertaken to assist a 
household. The requirement is amended by adding the following:

    A description of the maximum amount of assistance available to a 
beneficiary under each of the grantee's disaster recovery programs. 
Additionally, for any residential rehabilitation or reconstruction 
program funded under this notice, each grantee must have policies 
and procedures to assess the cost effectiveness of each proposed 
project undertaken to assist a household, including criteria for 
determining when the cost of the rehabilitation or reconstruction of 
the unit will not be cost-effective relative to other means of 
assisting the property-owner, including through buyout or 
acquisition of the property, or the construction of area-wide 
protective infrastructure, rather than individual building 
mitigation solutions designed to protect individual structures. For 
example, as the grantee is designing its program, it might choose as 
comparison criteria the rehabilitation costs derived from the RS 
Means Residential Cost Data and costs to buyout or acquire the 
property as a means of determining whether or not to fund a 
rehabilitation project
    A grantee may find it necessary to provide exceptions on a case-
by-case basis to the maximum amount of assistance or cost 
effectiveness criteria and must describe the process it will use to 
make such exceptions in its policies and procedures. Each grantee 
must adopt policies and procedures that communicate how it will 
analyze the circumstances under which an exception is needed and how 
it will demonstrate that the amount of assistance is necessary and 
reasonable. All CDBG-DR expenditures remain subject to the cost 
principles in 2 CFR part 200, including the requirement that costs 
be necessary and reasonable for the performance of the grantee's 
CDBG-DR grant.

    c. Paragraph VI.A.2.a.7 of the Prior Notice at 81 FR 83258 is 
amended by rewriting and clarifying the action plan requirements for 
the descriptions of long-term recovery and hazard mitigation planning 
and addressing specific predevelopment principles as outlined in the 
Federal Resource Guide for Infrastructure Planning and Design, as 
follows:

    A description of how the grantee plans to:
    (a) Promote sound, sustainable long-term recovery planning 
informed by a post-disaster evaluation of hazard risk, especially 
land-use decisions that reflect responsible flood plain management 
and take into account continued sea level rise, if applicable. This 
information should be based on the history of FEMA flood mitigation 
efforts, and take into account projected increase in sea level (if 
applicable) and frequency and intensity of precipitation events, 
which are not considered in current FEMA maps and National Flood 
Insurance Program premiums;
    (b) Adhere to the advanced elevation requirements established in 
paragraph B. of section VI of the Prior Notice;
    (c) Coordinate with local and regional planning efforts to 
ensure consistency, including how the grantee will promote 
community-level and/or regional (e.g., multiple local jurisdictions) 
post-disaster recovery and mitigation planning;
    (d) For infrastructure allocations, the grantee must also 
describe:
    i. How mitigation measures will be integrated into rebuilding 
activities and the extent to which infrastructure activities funded 
through this grant will achieve objectives outlined in regionally or 
locally established plans and policies that are designed to reduce 
future risk to the jurisdiction;
    ii. How infrastructure activities will be informed by a 
consideration of the costs and benefits of the project;
    iii. How the State will seek to ensure that infrastructure 
activities will avoid disproportionate impact on vulnerable 
communities and create opportunities to address economic inequities 
facing local communities;
    iv. How the State align investments with other planned state or 
local capital improvements and infrastructure development efforts, 
and will work to foster the potential for additional infrastructure 
funding from multiple sources, including existing state and local 
capital improvement projects in planning, and the potential for 
private investment; and

[[Page 5594]]

    v. The extent to which the State will employ adaptable and 
reliable technologies to guard against premature obsolescence of 
infrastructure.
    Additional guidance on predevelopment principles are described 
in the Federal Resource Guide for Infrastructure Planning and 
Design: (http://portal.hud.gov/hudportal/documents/huddoc?id=BAInfraResGuideMay2015.pdf)

    The action plan must also provide for the use of CDBG-DR funds to 
develop a disaster recovery and response plan that addresses long-term 
recovery and pre- and post-disaster hazard mitigation, if one does not 
currently exist.

V. Duration of Funding

    Section 192 directs that these funds be available until expended. 
However, consistent with OMB Circular A-11, if the Secretary or the 
President determines that the purposes for which the appropriation has 
been made have been carried out and no disbursements have been made 
against the appropriation for two consecutive fiscal years, any 
remaining unobligated balance will be made unavailable for obligation 
or expenditure.

VI. Catalog of Federal Domestic Assistance

    The Catalog of Federal Domestic Assistance numbers for the disaster 
recovery grants under this notice are as follows: 14.218; 14.228.

VII. Finding of No Significant Impact

    A Finding of No Significant Impact (FONSI) with respect to the 
environment has been made in accordance with HUD regulations at 24 CFR 
part 50, which implement section 102(2)(C) of the National 
Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)). The FONSI is 
available for public inspection between 8 a.m. and 5 p.m. weekdays in 
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 the HUD 
Headquarters building, an advance appointment to review the docket file 
must be scheduled by calling the Regulations Division at 202-708-3055 
(this is not a toll-free number). Hearing- or speech-impaired 
individuals may access this number through TTY by calling the Federal 
Relay Service at 800-877-8339 (this is a toll-free number).

    Dated: January 9, 2017.
Nani A. Coloretti,
Deputy Secretary.

Appendix A--Allocation of CDBG-DR Funds to Most Impacted and Distressed 
Areas Due to 2016 Federally Declared Disasters Thru December 10, 2016

Background

    Section 145(a) of Division C of the Continuing Appropriations 
Act, 2017 (P. L.114-223, Division C), enacted on September 29, 2016, 
appropriated $500,000,000 through the Community Development Block 
Grant disaster recovery (CDBG-DR) program for necessary expenses for 
authorized activities related to disaster relief, long-term 
recovery, restoration of infrastructure and housing, and economic 
revitalization in the most impacted and distressed areas resulting 
from a major disaster declared in 2016 but prior to September 29, 
2016. Section 145(a) of P. L. 114-223, Division C stated:
    SEC. 145. (a) In addition to the amount otherwise provided by 
section 101 for the ``Community Planning and Development, Community 
Development Fund,'' there is appropriated $500,000,000 for an 
additional amount for fiscal year 2016, to remain available until 
expended, for necessary expenses for activities authorized under 
title I of the Housing and Community Development Act of 1974 (42 
U.S.C. 5301 et seq.) related to disaster relief, long-term recovery, 
restoration of infrastructure and housing, and economic 
revitalization in the most impacted and distressed areas resulting 
from a major disaster declared in 2016, and which the disaster 
occurred prior to the date of enactment of this Act, pursuant to the 
Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 
U.S.C. 5121 et seq.): Provided, That funds shall be awarded directly 
to the State or unit of general local government at the discretion 
of the Secretary: . . .
    Subsequently, section 101 of the Further Continuing and Security 
Assistance Appropriations Act, 2017 (division A of Pub. L. 114-254, 
approved December 10, 2016) (Appropriations Act) amended the 
Continuing Appropriations Act, 2017 (division C of Public Law 114-
223) by adding a new section 192. Section 192(a) appropriates 
$1,808,976,000 in CDBG-DR funding for the same purposes, authorities 
and conditions as section 145(a) for major disasters declared in 
2016 but prior to December 10, 2016. Section 192(b) authorizes HUD 
to deduct $3,000,000 from this amount for the cost of administering 
both appropriations, resulting in a total of $1,805,976,000 
available for allocation.
    Combined, the two appropriations make $2,305,976,000 available 
for allocation, effectively matching HUD's November 2016 estimate 
for serious unmet repair or replacement needs.

Most Impacted and Distressed Areas

    As with prior CDBG-DR appropriations, HUD is not obligated to 
allocate section 192 funds for all major disasters declared in 2016 
but prior to December 10, 2016. Relying on the language of section 
145(a), HUD is directed to use the funds ``in the most impacted and 
distressed areas.'' HUD has implemented this directive by limiting 
CDBG-DR formula allocations to jurisdictions with major disasters 
that meet three standards:
    (1) Individual Assistance/IHP designation. HUD has limited 
allocations to those disasters where FEMA had determined the damage 
was sufficient to declare the disaster as eligible to receive 
Individual and Households Program (IHP) funding. President Obama 
signed P.L. 114-254 into law on December 10, 2016, and 45 disasters 
had received major declarations in calendar year 2016 by that date. 
Only 17 of 45 disasters that were declared in 2016 have an IHP 
designation.
    (2) Concentrated damage. HUD has limited the allocations to 
counties with high levels of damage. For this allocation, HUD is 
using the amount of serious unmet housing need as its measure of 
concentrated damage and limits the data used for the allocation only 
to counties exceeding a ``natural break'' in the data for their 
total amount of serious unmet housing needs. For purposes of this 
allocation, the serious unmet housing needs break at the county 
level occurs at $13 million. Serious unmet housing needs are 
calculated as the additional cost to repair the most damaged homes 
after subtracting out insurance, FEMA, and SBA assistance.
    (3) Natural break. Among disasters with data meeting the first 
two thresholds, HUD identifies a natural break in calculated serious 
unmet recovery needs and funds only the jurisdictions that have 
substantially higher unmet needs than other jurisdictions. The 
jurisdictions clearing this threshold as a result of major disasters 
declared since January 1, 2016 now includes Florida, North Carolina, 
and South Carolina as a result of Hurricane Hermine or Hurricane 
Matthew, as well as Louisiana, Texas, and West Virginia which were 
qualified for funds appropriated by section 145(a) as a result of 
major disasters declared prior to September 29, 2016.
    These allocations are thus based on the unmet costs to repair 
seriously damaged properties and infrastructure in the counties with 
more than $13 million of serious unmet housing needs. These do not 
capture expected resiliency costs, although grantees may choose to 
use the CDBG funds for resiliency expenses. The estimated damage is 
based on the following factors:
    (1) Seriously damaged owner occupied units without insurance 
repair estimate in Most Impacted Counties after FEMA, Insurance, and 
SBA;
    (2) Seriously damaged rental units occupied by renters with 
income less than $20,000 repair estimate in Most Impacted Counties 
after FEMA, Insurance, and SBA;
    (3) Small businesses denied by SBA repair estimate; and
    (4) The state match requirement to address the FEMA estimates 
for repair of permanent infrastructure in the FEMA Public Assistance 
program (categories C to G).

Methods for Estimating Unmet Needs for Housing

    The data HUD staff have identified as being available to 
calculate unmet needs for

[[Page 5595]]

qualifying disasters come from the FEMA Individual Assistance 
program data on housing-unit damage as of December 9, 2016.
    The core data on housing damage for both the unmet housing needs 
calculation and the concentrated damage are based on home inspection 
data for FEMA's Individual Assistance program. HUD calculates 
``unmet housing needs'' as the number of housing units with unmet 
needs times the estimated cost to repair those units less repair 
funds already provided by FEMA, where:
    Each of the FEMA inspected owner units are categorized by HUD 
into one of five categories:
     Minor-Low: Less than $3,000 of FEMA inspected real 
property damage.
     Minor-High: $3,000 to $7,999 of FEMA inspected real 
property damage.
     Major-Low: $8,000 to $14,999 of FEMA inspected real 
property damage.
     Major-High: $15,000 to $28,800 of FEMA inspected real 
property damage and/or 4 to 6 feet of flooding on the first floor.
     Severe: Greater than $28,800 of FEMA inspected real 
property damage or determined destroyed and/or 6 or more feet of 
flooding on the first floor.
    To meet the statutory requirement of ``most impacted'' in this 
legislative language, homes are determined to have a high level of 
damage if they have damage of ``major-low'' or higher. That is, they 
have a real property FEMA inspected damage of $8,000 or flooding 
over 1 foot. Furthermore, a homeowner is determined to have unmet 
needs if they reported damage and no insurance to cover that damage.
    FEMA does not inspect rental units for real property damage so 
personal property damage is used as a proxy for unit damage. Each of 
the FEMA inspected renter units are categorized by HUD into one of 
five categories:
     Minor-Low: Less than $1,000 of FEMA inspected personal 
property damage.
     Minor-High: $1,000 to $1,999 of FEMA inspected personal 
property damage.
     Major-Low: $2,000 to $3,499 of FEMA inspected personal 
property damage.
     Major-High: $3,500 to $7,499 of FEMA inspected personal 
property damage or 4 to 6 feet of flooding on the first floor.
     Severe: Greater than $7,500 of FEMA inspected personal 
property damage or determined destroyed and/or 6 or more feet of 
flooding on the first floor.
    For rental properties, to meet the statutory requirement of 
``most impacted'' in this legislative language, homes are determined 
to have a high level of damage if they have damage of ``major-low'' 
or higher. That is, they have a FEMA personal property damage 
assessment of $2,000 or greater or flooding over 1 foot. 
Furthermore, landlords are presumed to have adequate insurance 
coverage unless the unit is occupied by a renter with income of 
$20,000 or less. Units are occupied by a tenant with income less 
than $20,000 are used to calculate likely unmet needs for affordable 
rental housing.
    The average cost to fully repair a home for a specific disaster 
to code within each of the damage categories noted above is 
calculated using the average real property damage repair costs 
determined by the Small Business Administration for its disaster 
loan program for the subset of homes inspected by both SBA and FEMA 
for 2011 to 2013 disasters. Because SBA is inspecting for full 
repair costs, it is presumed to reflect the full cost to repair the 
home, which is generally more than the FEMA estimates on the cost to 
make the home habitable.
    For each household determined to have unmet housing needs (as 
described above), their estimated average unmet housing need less 
assumed assistance from FEMA, SBA, and insurance was calculated at 
$27,455 for major damage (low); $45,688 for major damage (high); and 
$59,493 for severe damage.

Methods for Estimating Unmet Infrastructure Needs

    To best proxy unmet infrastructure needs, HUD uses data from 
FEMA's Public Assistance program on the expected State match 
requirement (usually 25 percent of the estimated public assistance 
needs, it is 10 percent for DR-4277 in Louisiana). This allocation 
uses only a subset of the Public Assistance damage estimates 
reflecting the categories of activities most likely to require CDBG 
funding above the Public Assistance and State match requirement. 
Those activities are categories: C, Roads and Bridges; D, Water 
Control Facilities; E, Public Buildings; F, Public Utilities; and G, 
Recreational--Other. Categories A (Debris Removal) and B (Protective 
Measures) are largely expended immediately after a disaster and 
reflect interim recovery measures rather than the long-term recovery 
measures for which CDBG funds are generally used.

Methods for Estimating Unmet Economic Revitalization Needs

    Based on SBA disaster loans to businesses, HUD calculates the 
median real estate and content loss by the following damage 
categories for each state:

 Category 1: Real estate + content loss = below 12,000
 Category 2: Real estate + content loss = 12,000-30,000
 Category 3: Real estate + content loss = 30,000-65,000
 Category 4: Real estate + content loss = 65,000-150,000
 Category 5: Real estate + content loss = above 150,000

    For properties with real estate and content loss of $30,000 or 
more, HUD calculates the estimated amount of unmet needs for small 
businesses by multiplying the median damage estimates for the 
categories above by the number of small businesses denied an SBA 
loan, including those denied a loan prior to inspection due to 
inadequate credit or income (or a decision had not been made), under 
the assumption that damage among those denied at pre-inspection have 
the same distribution of damage as those denied after inspection.

Allocation Calculation

    Once eligible entities are identified using the above criteria, 
the allocation to individual grantees represents their proportional 
share of the estimated unmet needs. For the formula allocation, HUD 
calculates total serious unmet recovery needs as the aggregate of:
     Serious unmet housing needs in most impacted counties.
     Serious unmet business needs.
     The estimated local match requirement for the repair of 
infrastructure estimated for FEMA's Public Assistance program.
    Natural break for most impacted disasters. HUD limits funded 
disasters to those with that have substantially higher unmet needs 
than other jurisdictions. Florida, Louisiana, North Carolina, South 
Carolina, Texas, and West Virginia each have aggregate unmet needs 
in excess of $50,000,000, an amount that is higher than other 
jurisdictions affected by major disasters declared between January 1 
and December 10, 2016.

[FR Doc. 2017-01007 Filed 1-17-17; 8:45 am]
 BILLING CODE 4210-67-P



                                                                             Federal Register / Vol. 82, No. 11 / Wednesday, January 18, 2017 / Notices                                                   5591

                                                  Immigration (USCIS) invites the general                 Portal at http://www.regulations.gov,                  collection I–730 is 6,039 and the
                                                  public and other Federal agencies to                    and will include any personal                          estimated hour burden per response is
                                                  comment upon this proposed extension                    information you provide. Therefore,                    .667 hours.
                                                  of a currently approved collection of                   submitting this information makes it                     (6) An estimate of the total public
                                                  information. In accordance with the                     public. You may wish to consider                       burden (in hours) associated with the
                                                  Paperwork Reduction Act (PRA) of                        limiting the amount of personal                        collection: The total estimated annual
                                                  1995, the information collection notice                 information that you provide in any                    hour burden associated with this
                                                  is published in the Federal Register to                 voluntary submission you make to DHS.                  collection is 4,028 hours.
                                                  obtain comments regarding the nature of                 DHS may withhold information                             (7) An estimate of the total public
                                                  the information collection, the                         provided in comments from public                       burden (in cost) associated with the
                                                  categories of respondents, the estimated                viewing that it determines may impact                  collection: The estimated total annual
                                                  burden (i.e. the time, effort, and                      the privacy of an individual or is                     cost burden associated with this
                                                  resources used by the respondents to                    offensive. For additional information,                 collection of information is 739,778.
                                                  respond), the estimated cost to the                     please read the Privacy Act notice that                  Dated: January 12, 2017.
                                                  respondent, and the actual information                  is available via the link in the footer of             Samantha Deshommes,
                                                  collection instruments. DATES:                          http://www.regulations.gov.                            Chief, Regulatory Coordination Division,
                                                  Comments are encouraged and will be                        Written comments and suggestions                    Office of Policy and Strategy, U.S. Citizenship
                                                  accepted for 60 days until March 20,                    from the public and affected agencies                  and Immigration Services, Department of
                                                  2017.                                                   should address one or more of the                      Homeland Security.
                                                  ADDRESSES: All submissions received
                                                                                                          following four points:                                 [FR Doc. 2017–01051 Filed 1–17–17; 8:45 am]
                                                                                                             (1) Evaluate whether the proposed
                                                  must include the OMB Control Number                                                                            BILLING CODE 9111–97–P
                                                                                                          collection of information is necessary
                                                  1615–0037 in the body of the letter, the
                                                                                                          for the proper performance of the
                                                  agency name and Docket ID USCIS–
                                                                                                          functions of the agency, including
                                                  2007–0030. To avoid duplicate                                                                                  DEPARTMENT OF HOUSING AND
                                                                                                          whether the information will have
                                                  submissions, please use only one of the                                                                        URBAN DEVELOPMENT
                                                                                                          practical utility;
                                                  following methods to submit comments:
                                                                                                             (2) Evaluate the accuracy of the                    [Docket No. FR–6012–N–01]
                                                     (1) Online. Submit comments via the
                                                                                                          agency’s estimate of the burden of the
                                                  Federal eRulemaking Portal Web site at                                                                         Allocations, Common Application,
                                                                                                          proposed collection of information,
                                                  http://www.regulations.gov under e-                                                                            Waivers, and Alternative Requirements
                                                                                                          including the validity of the
                                                  Docket ID number USCIS–2007–0030;                                                                              for Community Development Block
                                                     (2) Mail. Submit written comments to                 methodology and assumptions used;
                                                                                                             (3) Enhance the quality, utility, and               Grant Disaster Recovery Grantees
                                                  DHS, USCIS, Office of Policy and
                                                  Strategy, Chief, Regulatory Coordination                clarity of the information to be
                                                                                                                                                                 AGENCY:  Office of the Assistant
                                                  Division, 20 Massachusetts Avenue                       collected; and
                                                                                                                                                                 Secretary for Community Planning and
                                                                                                             (4) Minimize the burden of the
                                                  NW., Washington, DC 20529–2140.                                                                                Development, HUD.
                                                                                                          collection of information on those who
                                                  FOR FURTHER INFORMATION CONTACT:                        are to respond, including through the                  ACTION: Notice.
                                                  USCIS, Office of Policy and Strategy,                   use of appropriate automated,
                                                  Regulatory Coordination Division,                                                                              SUMMARY:    This notice allocates
                                                                                                          electronic, mechanical, or other                       $1,805,976,000 in Community
                                                  Samantha Deshommes, Chief, 20                           technological collection techniques or
                                                  Massachusetts Avenue NW.,                                                                                      Development Block Grant disaster
                                                                                                          other forms of information technology,                 recovery (CDBG–DR) funds
                                                  Washington, DC 20529–2140, telephone                    e.g., permitting electronic submission of
                                                  number 202–272–8377 (This is not a                                                                             appropriated by the Further Continuing
                                                                                                          responses.                                             and Security Assistance Appropriations
                                                  toll-free number. Comments are not
                                                  accepted via telephone message). Please                 Overview of This Information                           Act, 2017 for the purpose of assisting
                                                  note contact information provided here                  Collection                                             long-term recovery in Florida,
                                                  is solely for questions regarding this                    (1) Type of Information Collection:                  Louisiana, North Carolina, South
                                                  notice. It is not for individual case                   Extension, Without Change, of a                        Carolina, Texas, and West Virginia. This
                                                  status inquiries. Applicants seeking                    Currently Approved Collection.                         allocation of CDBG–DR supplements
                                                  information about the status of their                     (2) Title of the Form/Collection:                    funds appropriated by the Continuing
                                                  individual cases can check Case Status                  Refugee/Asylee Relative Petition.                      Appropriation Act, 2017. It provided
                                                  Online, available at the USCIS Web site                   (3) Agency form number, if any, and                  $500 million in CDBG–DR funding that
                                                  at http://www.uscis.gov, or call the                    the applicable component of the DHS                    has been allocated to Louisiana, Texas,
                                                  USCIS National Customer Service                         sponsoring the collection: I–730; USCIS.               and West Virginia in response to
                                                  Center at 800–375–5283 (TTY 800–767–                      (4) Affected public who will be asked                qualifying disasters. In HUD’s Federal
                                                  1833).                                                  or required to respond, as well as a brief             Register notice published on November
                                                  SUPPLEMENTARY INFORMATION:                              abstract: Primary: Individuals or                      21, 2016, at 81 FR 83254 (the Prior
                                                                                                          households. Form I–730 is used by a                    Notice), HUD described that allocation
                                                  Comments                                                refugee or asylee to file on behalf of his             and applicable waivers and alternative
                                                    You may access the information                        or her spouse and/or children for                      requirements, relevant statutory and
                                                  collection instrument with instructions,                follow-to-join benefits provided that the              regulatory requirements, the grant
                                                  or additional information by visiting the               relationship to the refugee/asylee                     award process, criteria for action plan
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                                                  Federal eRulemaking Portal site at:                     existed prior to their admission to the                approval, and eligible disaster recovery
                                                  http://www.regulations.gov and enter                    United States.                                         activities. Grantees receiving an
                                                  USCIS–2007–0030 in the search box.                        (5) An estimate of the total number of               allocation of funds under this notice are
                                                  Regardless of the method used for                       respondents and the amount of time                     subject to the requirements of the Prior
                                                  submitting comments or material, all                    estimated for an average respondent to                 Notice, including provisions of the Prior
                                                  submissions will be posted, without                     respond: The estimated total number of                 Notice amended herein.
                                                  change, to the Federal eRulemaking                      respondents for the information                        DATES: Effective Date: January 23, 2017.



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                                                  5592                               Federal Register / Vol. 82, No. 11 / Wednesday, January 18, 2017 / Notices

                                                  FOR FURTHER INFORMATION CONTACT:                                          254, approved December 10, 2016)                            except the major disaster must have
                                                  Stanley Gimont, Director, Office of                                       amended the Continuing                                      occurred prior to December 10, 2016.
                                                  Block Grant Assistance, Department of                                     Appropriations Act, 2017 (division C of                        Section 145(a) provides that grants
                                                  Housing and Urban Development, 451                                        Pub. L. 114–223) by adding a new                            shall be awarded directly to a State or
                                                  7th Street SW., Room 7286, Washington,                                    section 192 that makes available                            unit of general local government at the
                                                  DC 20410, telephone number 202–708–                                       $1,808,976,000 in Community                                 discretion of the Secretary. The
                                                  3587. Persons with hearing or speech                                      Development Block Grant (CDBG) funds                        Secretary has elected to award funds
                                                  impairments may access this number                                        for necessary expenses for activities                       only to States in this notice. Unless
                                                  via TTY by calling the Federal Relay                                      authorized under title I of the Housing                     noted otherwise, the term ‘‘grantee’’
                                                  Service at 800–877–8339. Facsimile                                        and Community Development Act of                            refers to the State receiving an award
                                                  inquiries may be sent to Mr. Gimont at                                    1974 (42 U.S.C. 5301 et seq.) related to                    from HUD under this notice. To comply
                                                  202–401–2044. (Except for the ‘‘800’’                                     disaster relief, long-term recovery,                        with the statutory requirement that
                                                  number, these telephone numbers are                                                                                                   funds be used for disaster-related
                                                                                                                            restoration of infrastructure and
                                                  not toll-free.) Email inquiries may be                                                                                                expenses in the most impacted and
                                                                                                                            housing, and economic revitalization in
                                                  sent to: disaster_recovery@hud.gov.                                                                                                   distressed areas, HUD allocates funds
                                                                                                                            the most impacted and distressed areas
                                                  SUPPLEMENTARY INFORMATION:                                                                                                            using the best available data that cover
                                                                                                                            resulting from a major disaster declared                    all of the eligible affected areas.
                                                  Table of Contents                                                         in 2016 and occurring prior to December                        Section 192(b) permits HUD to use up
                                                  I. Allocations                                                            10, 2016. Qualifying major disasters are                    to $3,000,000 of the appropriated
                                                  II. Use of Funds                                                          declared by the President pursuant to                       amount for necessary costs, including
                                                  III. Grant Amendment Process                                              the Robert T. Stafford Disaster Relief                      information technology costs, of
                                                  IV. Applicable Rules, Statutes, Waivers, and                              and Emergency Assistance Act of 1974                        administering and overseeing the
                                                        Alternative Requirements                                            (42 U.S.C. 5121 et seq.) (Stafford Act).                    obligation and expenditure of amounts
                                                  V. Duration of Funding                                                    The following allocations of funds
                                                  VI. Catalog of Federal Domestic Assistance                                                                                            made available by sections 145(a) and
                                                  VII. Finding of No Significant Impact
                                                                                                                            appropriated by section 192 are in                          192. The Department is deducting the
                                                  Appendix A: Allocation Methodology                                        addition to the $500 million                                full $3,000,000, resulting in a total of
                                                                                                                            appropriated by section 145(a) and                          $1,805,976,000 available for allocation.
                                                  I. Allocations                                                            allocated in the Prior Notice. Section                         Based on further review of the
                                                     Section 101 of the Further Continuing                                  192 specifies that these additional funds                   impacts from the eligible disasters, and
                                                  and Security Assistance Appropriations                                    are subject to the same authority and                       estimates of unmet need, HUD is
                                                  Act, 2017 (division A of Pub. L. 114–                                     conditions as those in section 145(a),                      making the following allocations:

                                                                                                             TABLE 1—ALLOCATIONS UNDER PUBLIC LAW 114–245
                                                                                                                                                                 Minimum amount that must be expended for recovery in the HUD-
                                                         Disaster No.                               Grantee                                Allocation                   identified ‘‘most impacted and distressed’’ areas

                                                  4263, 4277 ................        State of Louisiana ..............                   $1,219,172,000         ($975,337,600) East Baton Rouge, Livingston, Ascension,
                                                                                                                                                                  Tangipahoa, Ouachita, Lafayette, Lafayette, Vermilion, Acadia,
                                                                                                                                                                  Washington, and St. Tammany Parishes.
                                                  4266, 4269, 4272 ......            State of Texas ....................                    177,064,000         ($141,651,200) Harris, Newton, Montgomery, Fort Bend, and
                                                                                                                                                                  Brazoria Counties.
                                                  4273 ...........................   State of West Virginia ........                         87,280,000         ($69,824,000) Kanawha and Greenbrier Counties.
                                                  4285 ...........................   State of North Carolina ......                         198,553,000         ($158,842,400) Robeson, Cumberland, Edgecombe, and Wayne
                                                                                                                                                                  Counties.
                                                  4286 ...........................   State of South Carolina ......                              65,305,000     ($52,244,000) Marion County.
                                                  4280, 4283 ................        State of Florida ...................                        58,602,000     ($46,881,600) St. Johns County.

                                                        Total ...................    .............................................         1,805,976,000



                                                     Use of funds for all grantees is limited                               Notice, 80 percent of both allocations                      amended herein. As a reminder, section
                                                  to unmet recovery needs from the major                                    may be used to address unmet needs                          145(a) requires that prior to the
                                                  disasters identified in Table 1. Please                                   within the HUD-identified ‘‘most                            obligation of CDBG–DR funds, a grantee
                                                  note that in addition to the FEMA                                         impacted and distressed’’ areas that are                    shall submit a plan to HUD for approval
                                                  disaster numbers listed in the Prior                                      identified in Table 1 of this notice.                       detailing the proposed use of all funds,
                                                  Notice for the State of Texas, the State                                  Grantees may determine where the                            including criteria for eligibility, and
                                                  may also expend its allocation of funds                                   remaining 20 percent may be spent by                        how the use of these funds will address
                                                  from the Prior Notice on FEMA disaster                                    identifying areas it determines to be                       long-term recovery and restoration of
                                                  number DR–4272.                                                           ‘‘most impacted and distressed.’’ A                         infrastructure and housing and
                                                     Table 1 also shows the HUD-                                            detailed explanation of HUD’s                               economic revitalization in the most
                                                  identified ‘‘most impacted and                                            allocation methodology is provided at
                                                  distressed’’ areas impacted by the                                                                                                    impacted and distressed areas. This
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                                                                                                                            Appendix A.
                                                  disasters. At least 80 percent of the total                                                                                           action plan for disaster recovery must
                                                  funds provided to each State under this                                   II. Use of Funds                                            describe uses and activities that: (1) Are
                                                  notice must address unmet needs within                                       Funds allocated under this notice and                    authorized under title I of the Housing
                                                  the HUD-identified ‘‘most impacted and                                    funds allocated pursuant to the Prior                       and Community Development Act of
                                                  distressed’’ areas, as identified in the                                  Notice are subject to the requirements of                   1974 (HCD Act) or allowed by a waiver
                                                  last column in Table 1. For grantees that                                 the Prior Notice, including the                             or alternative requirement (see section
                                                  received an allocation under the Prior                                    provisions of the Prior Notice as                           IV., below); and (2) respond to disaster-


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                                                                             Federal Register / Vol. 82, No. 11 / Wednesday, January 18, 2017 / Notices                                                 5593

                                                  related impact to infrastructure,                       swift recovery following the disasters,                process it will use to make such exceptions
                                                  housing, and economic revitalization in                 while also ensuring that statutory                     in its policies and procedures. Each grantee
                                                  the most impacted and distressed areas.                 requirements are met. The requirements                 must adopt policies and procedures that
                                                                                                                                                                 communicate how it will analyze the
                                                  To inform the plan, grantees must                       of the Prior Notice and this notice apply
                                                                                                                                                                 circumstances under which an exception is
                                                  conduct an assessment of community                      only to the CDBG–DR funds                              needed and how it will demonstrate that the
                                                  impacts and unmet needs to guide the                    appropriated in sections 145(a) and 192.               amount of assistance is necessary and
                                                  development and prioritization of                          The following clarifications or                     reasonable. All CDBG–DR expenditures
                                                  planned recovery activities, pursuant to                modifications apply to grantees in                     remain subject to the cost principles in 2 CFR
                                                  paragraph A.2.a. in section VI of the                   receipt of an allocation under this notice             part 200, including the requirement that costs
                                                  Prior Notice, as amended in this notice.                and to funds allocated under the Prior                 be necessary and reasonable for the
                                                    Pursuant to the Prior Notice, each                    Notice:                                                performance of the grantee’s CDBG–DR grant.
                                                  grantee is required to expend 100                          a. All deadlines for the submission of                c. Paragraph VI.A.2.a.7 of the Prior
                                                  percent of its allocation of CDBG–DR                    the Secretary’s certification, risk                    Notice at 81 FR 83258 is amended by
                                                  funds on eligible activities within 6                   analysis, or the action plan referenced                rewriting and clarifying the action plan
                                                  years of HUD’s execution of the grant                   in the Prior Notice are now determined                 requirements for the descriptions of
                                                  agreement.                                              by the effective date of this notice. This             long-term recovery and hazard
                                                  III. Overview of Grant Process                          means that the deadlines established by                mitigation planning and addressing
                                                                                                          the Prior Notice for the submission of                 specific predevelopment principles as
                                                     To begin expenditure of CDBG–DR                      the Secretary’s certification, risk                    outlined in the Federal Resource Guide
                                                  funds, grantees must complete the                       analysis and action plan, as well as                   for Infrastructure Planning and Design,
                                                  expedited steps outlined in Section V.                  other deadlines, are extended to                       as follows:
                                                  Overview of Grant Process in the Prior                  deadlines established by this notice.
                                                  Notice. As stated below at paragraph                                                                              A description of how the grantee plans to:
                                                                                                          This allows grantees receiving an                         (a) Promote sound, sustainable long-term
                                                  IV.1.a, the deadlines established by the                allocation of funds under both the Prior               recovery planning informed by a post-
                                                  Prior Notice are now determined by the                  Notice and this notice to submit a single              disaster evaluation of hazard risk, especially
                                                  effective date of this notice.                          action plan and other documents                        land-use decisions that reflect responsible
                                                  IV. Applicable Rules, Statutes, Waivers,                governing both allocations.                            flood plain management and take into
                                                  and Alternative Requirements                               b. Paragraph VI.A.2.a.6 of the Prior                account continued sea level rise, if
                                                                                                          Notice at 81 FR 83258 is amended by                    applicable. This information should be based
                                                     This section of the notice describes                 revising the action plan requirement to                on the history of FEMA flood mitigation
                                                  rules, statutes, waivers, and alternative               identify a maximum amount of                           efforts, and take into account projected
                                                  requirements that apply to grantees                     assistance available to beneficiaries
                                                                                                                                                                 increase in sea level (if applicable) and
                                                  receiving an allocation under this                                                                             frequency and intensity of precipitation
                                                                                                          under each program. In addition to the                 events, which are not considered in current
                                                  notice. All funds allocated by the Prior                requirement described in the Prior
                                                  Notice and this notice are subject to the                                                                      FEMA maps and National Flood Insurance
                                                                                                          Notice, for any residential rehabilitation             Program premiums;
                                                  requirements of the Prior Notice,                       or reconstruction program, grantees                       (b) Adhere to the advanced elevation
                                                  including provisions of the Prior Notice                must establish a process by which it                   requirements established in paragraph B. of
                                                  as amended herein. Further, the                         assesses the cost effectiveness of each                section VI of the Prior Notice;
                                                  Secretary has determined that good                      rehabilitation or reconstruction project                  (c) Coordinate with local and regional
                                                  cause exists for each waiver and                        undertaken to assist a household. The                  planning efforts to ensure consistency,
                                                  alternative requirement established in                  requirement is amended by adding the
                                                                                                                                                                 including how the grantee will promote
                                                  the Prior Notice and that the waivers                                                                          community-level and/or regional (e.g.,
                                                                                                          following:                                             multiple local jurisdictions) post-disaster
                                                  and alternative requirements are not
                                                  inconsistent with the overall purpose of                   A description of the maximum amount of              recovery and mitigation planning;
                                                                                                          assistance available to a beneficiary under               (d) For infrastructure allocations, the
                                                  the HCD Act. The Secretary’s                                                                                   grantee must also describe:
                                                                                                          each of the grantee’s disaster recovery
                                                  determination extends to each waiver or                 programs. Additionally, for any residential               i. How mitigation measures will be
                                                  alternative requirement amended by this                 rehabilitation or reconstruction program               integrated into rebuilding activities and the
                                                  notice.                                                 funded under this notice, each grantee must            extent to which infrastructure activities
                                                     Grantees may request additional                      have policies and procedures to assess the             funded through this grant will achieve
                                                  waivers and alternative requirements                    cost effectiveness of each proposed project            objectives outlined in regionally or locally
                                                  from the Department as needed to                        undertaken to assist a household, including            established plans and policies that are
                                                  address specific needs related to their                 criteria for determining when the cost of the          designed to reduce future risk to the
                                                  recovery activities. Except where noted,                rehabilitation or reconstruction of the unit           jurisdiction;
                                                  waivers and alternative requirements                    will not be cost-effective relative to other              ii. How infrastructure activities will be
                                                                                                          means of assisting the property-owner,                 informed by a consideration of the costs and
                                                  described below apply to all grantees                   including through buyout or acquisition of             benefits of the project;
                                                  under this notice. Waivers and                          the property, or the construction of area-wide            iii. How the State will seek to ensure that
                                                  alternative requirements are effective                  protective infrastructure, rather than                 infrastructure activities will avoid
                                                  five days after they are published in the               individual building mitigation solutions               disproportionate impact on vulnerable
                                                  Federal Register.                                       designed to protect individual structures. For         communities and create opportunities to
                                                     1. Incorporation of waivers,                         example, as the grantee is designing its               address economic inequities facing local
                                                  alternative requirements, and statutory                 program, it might choose as comparison                 communities;
                                                  changes previously described. The                       criteria the rehabilitation costs derived from            iv. How the State align investments with
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                                                  waivers and alternative requirements                    the RS Means Residential Cost Data and costs           other planned state or local capital
                                                  provided in the Prior Notice apply to                   to buyout or acquire the property as a means           improvements and infrastructure
                                                                                                          of determining whether or not to fund a                development efforts, and will work to foster
                                                  the awards under this notice, except as                 rehabilitation project                                 the potential for additional infrastructure
                                                  modified herein. These waivers and                         A grantee may find it necessary to provide          funding from multiple sources, including
                                                  alternative requirements provide                        exceptions on a case-by-case basis to the              existing state and local capital improvement
                                                  additional flexibility in program design                maximum amount of assistance or cost                   projects in planning, and the potential for
                                                  and implementation to support full and                  effectiveness criteria and must describe the           private investment; and



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                                                  5594                       Federal Register / Vol. 82, No. 11 / Wednesday, January 18, 2017 / Notices

                                                    v. The extent to which the State will                   Dated: January 9, 2017.                              the language of section 145(a), HUD is
                                                  employ adaptable and reliable technologies              Nani A. Coloretti,                                     directed to use the funds ‘‘in the most
                                                  to guard against premature obsolescence of                                                                     impacted and distressed areas.’’ HUD has
                                                                                                          Deputy Secretary.
                                                  infrastructure.                                                                                                implemented this directive by limiting
                                                                                                          Appendix A—Allocation of CDBG–DR                       CDBG–DR formula allocations to
                                                    Additional guidance on predevelopment
                                                                                                          Funds to Most Impacted and Distressed                  jurisdictions with major disasters that meet
                                                  principles are described in the Federal                                                                        three standards:
                                                  Resource Guide for Infrastructure Planning              Areas Due to 2016 Federally Declared
                                                                                                                                                                    (1) Individual Assistance/IHP designation.
                                                  and Design: (http://portal.hud.gov/                     Disasters Thru December 10, 2016                       HUD has limited allocations to those
                                                  hudportal/documents/huddoc?id=BAInfra                   Background                                             disasters where FEMA had determined the
                                                  ResGuideMay2015.pdf)                                                                                           damage was sufficient to declare the disaster
                                                                                                             Section 145(a) of Division C of the
                                                                                                                                                                 as eligible to receive Individual and
                                                                                                          Continuing Appropriations Act, 2017 (P.
                                                     The action plan must also provide for                                                                       Households Program (IHP) funding. President
                                                                                                          L.114–223, Division C), enacted on                     Obama signed P.L. 114–254 into law on
                                                  the use of CDBG–DR funds to develop                     September 29, 2016, appropriated
                                                  a disaster recovery and response plan                                                                          December 10, 2016, and 45 disasters had
                                                                                                          $500,000,000 through the Community                     received major declarations in calendar year
                                                  that addresses long-term recovery and                   Development Block Grant disaster recovery              2016 by that date. Only 17 of 45 disasters that
                                                  pre- and post-disaster hazard mitigation,               (CDBG–DR) program for necessary expenses               were declared in 2016 have an IHP
                                                  if one does not currently exist.                        for authorized activities related to disaster          designation.
                                                                                                          relief, long-term recovery, restoration of                (2) Concentrated damage. HUD has limited
                                                  V. Duration of Funding                                  infrastructure and housing, and economic               the allocations to counties with high levels
                                                                                                          revitalization in the most impacted and                of damage. For this allocation, HUD is using
                                                    Section 192 directs that these funds                  distressed areas resulting from a major                the amount of serious unmet housing need as
                                                  be available until expended. However,                   disaster declared in 2016 but prior to                 its measure of concentrated damage and
                                                  consistent with OMB Circular A–11, if                   September 29, 2016. Section 145(a) of P. L.            limits the data used for the allocation only
                                                                                                          114–223, Division C stated:                            to counties exceeding a ‘‘natural break’’ in
                                                  the Secretary or the President                             SEC. 145. (a) In addition to the amount
                                                  determines that the purposes for which                                                                         the data for their total amount of serious
                                                                                                          otherwise provided by section 101 for the              unmet housing needs. For purposes of this
                                                  the appropriation has been made have                    ‘‘Community Planning and Development,                  allocation, the serious unmet housing needs
                                                  been carried out and no disbursements                   Community Development Fund,’’ there is                 break at the county level occurs at $13
                                                  have been made against the                              appropriated $500,000,000 for an additional            million. Serious unmet housing needs are
                                                  appropriation for two consecutive fiscal                amount for fiscal year 2016, to remain                 calculated as the additional cost to repair the
                                                                                                          available until expended, for necessary                most damaged homes after subtracting out
                                                  years, any remaining unobligated                        expenses for activities authorized under title
                                                  balance will be made unavailable for                                                                           insurance, FEMA, and SBA assistance.
                                                                                                          I of the Housing and Community                            (3) Natural break. Among disasters with
                                                  obligation or expenditure.                              Development Act of 1974 (42 U.S.C. 5301 et             data meeting the first two thresholds, HUD
                                                                                                          seq.) related to disaster relief, long-term            identifies a natural break in calculated
                                                  VI. Catalog of Federal Domestic                         recovery, restoration of infrastructure and            serious unmet recovery needs and funds only
                                                  Assistance                                              housing, and economic revitalization in the            the jurisdictions that have substantially
                                                                                                          most impacted and distressed areas resulting           higher unmet needs than other jurisdictions.
                                                    The Catalog of Federal Domestic                       from a major disaster declared in 2016, and            The jurisdictions clearing this threshold as a
                                                  Assistance numbers for the disaster                     which the disaster occurred prior to the date          result of major disasters declared since
                                                  recovery grants under this notice are as                of enactment of this Act, pursuant to the              January 1, 2016 now includes Florida, North
                                                  follows: 14.218; 14.228.                                Robert T. Stafford Disaster Relief and                 Carolina, and South Carolina as a result of
                                                                                                          Emergency Assistance Act (42 U.S.C. 5121 et            Hurricane Hermine or Hurricane Matthew, as
                                                  VII. Finding of No Significant Impact                   seq.): Provided, That funds shall be awarded           well as Louisiana, Texas, and West Virginia
                                                                                                          directly to the State or unit of general local         which were qualified for funds appropriated
                                                     A Finding of No Significant Impact                   government at the discretion of the                    by section 145(a) as a result of major disasters
                                                  (FONSI) with respect to the                             Secretary: . . .                                       declared prior to September 29, 2016.
                                                  environment has been made in                               Subsequently, section 101 of the Further               These allocations are thus based on the
                                                  accordance with HUD regulations at 24                   Continuing and Security Assistance                     unmet costs to repair seriously damaged
                                                                                                          Appropriations Act, 2017 (division A of Pub.           properties and infrastructure in the counties
                                                  CFR part 50, which implement section                    L. 114–254, approved December 10, 2016)                with more than $13 million of serious unmet
                                                  102(2)(C) of the National Environmental                 (Appropriations Act) amended the                       housing needs. These do not capture
                                                  Policy Act of 1969 (42 U.S.C.                           Continuing Appropriations Act, 2017                    expected resiliency costs, although grantees
                                                  4332(2)(C)). The FONSI is available for                 (division C of Public Law 114–223) by adding           may choose to use the CDBG funds for
                                                  public inspection between 8 a.m. and 5                  a new section 192. Section 192(a)                      resiliency expenses. The estimated damage is
                                                  p.m. weekdays in the Regulations                        appropriates $1,808,976,000 in CDBG–DR                 based on the following factors:
                                                                                                          funding for the same purposes, authorities                (1) Seriously damaged owner occupied
                                                  Division, Office of General Counsel,                    and conditions as section 145(a) for major             units without insurance repair estimate in
                                                  Department of Housing and Urban                         disasters declared in 2016 but prior to                Most Impacted Counties after FEMA,
                                                  Development, 451 7th Street, SW.,                       December 10, 2016. Section 192(b) authorizes           Insurance, and SBA;
                                                  Room 10276, Washington, DC 20410–                       HUD to deduct $3,000,000 from this amount                 (2) Seriously damaged rental units
                                                  0500. Due to security measures at the                   for the cost of administering both                     occupied by renters with income less than
                                                  HUD Headquarters building, an advance                   appropriations, resulting in a total of                $20,000 repair estimate in Most Impacted
                                                                                                          $1,805,976,000 available for allocation.               Counties after FEMA, Insurance, and SBA;
                                                  appointment to review the docket file
                                                                                                             Combined, the two appropriations make                  (3) Small businesses denied by SBA repair
                                                  must be scheduled by calling the                        $2,305,976,000 available for allocation,               estimate; and
                                                  Regulations Division at 202–708–3055                    effectively matching HUD’s November 2016                  (4) The state match requirement to address
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                                                  (this is not a toll-free number). Hearing-              estimate for serious unmet repair or                   the FEMA estimates for repair of permanent
                                                  or speech-impaired individuals may                      replacement needs.                                     infrastructure in the FEMA Public Assistance
                                                  access this number through TTY by                                                                              program (categories C to G).
                                                                                                          Most Impacted and Distressed Areas
                                                  calling the Federal Relay Service at 800–                 As with prior CDBG–DR appropriations,                Methods for Estimating Unmet Needs for
                                                  877–8339 (this is a toll-free number).                  HUD is not obligated to allocate section 192           Housing
                                                                                                          funds for all major disasters declared in 2016           The data HUD staff have identified as being
                                                                                                          but prior to December 10, 2016. Relying on             available to calculate unmet needs for



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                                                                             Federal Register / Vol. 82, No. 11 / Wednesday, January 18, 2017 / Notices                                                   5595

                                                  qualifying disasters come from the FEMA                 Administration for its disaster loan program           calculates total serious unmet recovery needs
                                                  Individual Assistance program data on                   for the subset of homes inspected by both              as the aggregate of:
                                                  housing-unit damage as of December 9, 2016.             SBA and FEMA for 2011 to 2013 disasters.                 • Serious unmet housing needs in most
                                                     The core data on housing damage for both             Because SBA is inspecting for full repair              impacted counties.
                                                  the unmet housing needs calculation and the             costs, it is presumed to reflect the full cost           • Serious unmet business needs.
                                                  concentrated damage are based on home                   to repair the home, which is generally more              • The estimated local match requirement
                                                  inspection data for FEMA’s Individual                   than the FEMA estimates on the cost to make            for the repair of infrastructure estimated for
                                                  Assistance program. HUD calculates ‘‘unmet              the home habitable.                                    FEMA’s Public Assistance program.
                                                  housing needs’’ as the number of housing                  For each household determined to have                  Natural break for most impacted disasters.
                                                  units with unmet needs times the estimated              unmet housing needs (as described above),              HUD limits funded disasters to those with
                                                  cost to repair those units less repair funds            their estimated average unmet housing need             that have substantially higher unmet needs
                                                  already provided by FEMA, where:                        less assumed assistance from FEMA, SBA,                than other jurisdictions. Florida, Louisiana,
                                                     Each of the FEMA inspected owner units               and insurance was calculated at $27,455 for            North Carolina, South Carolina, Texas, and
                                                  are categorized by HUD into one of five                 major damage (low); $45,688 for major                  West Virginia each have aggregate unmet
                                                  categories:                                             damage (high); and $59,493 for severe                  needs in excess of $50,000,000, an amount
                                                     • Minor-Low: Less than $3,000 of FEMA                damage.                                                that is higher than other jurisdictions affected
                                                  inspected real property damage.                                                                                by major disasters declared between January
                                                     • Minor-High: $3,000 to $7,999 of FEMA               Methods for Estimating Unmet
                                                                                                          Infrastructure Needs                                   1 and December 10, 2016.
                                                  inspected real property damage.
                                                                                                                                                                 [FR Doc. 2017–01007 Filed 1–17–17; 8:45 am]
                                                     • Major-Low: $8,000 to $14,999 of FEMA                  To best proxy unmet infrastructure needs,
                                                  inspected real property damage.                         HUD uses data from FEMA’s Public                       BILLING CODE 4210–67–P
                                                     • Major-High: $15,000 to $28,800 of FEMA             Assistance program on the expected State
                                                  inspected real property damage and/or 4 to              match requirement (usually 25 percent of the
                                                  6 feet of flooding on the first floor.                  estimated public assistance needs, it is 10            DEPARTMENT OF THE INTERIOR
                                                     • Severe: Greater than $28,800 of FEMA               percent for DR–4277 in Louisiana). This
                                                  inspected real property damage or                       allocation uses only a subset of the Public            Office of the Secretary
                                                  determined destroyed and/or 6 or more feet              Assistance damage estimates reflecting the
                                                  of flooding on the first floor.                         categories of activities most likely to require        [FWS–R8–FHC–2016–N196;
                                                     To meet the statutory requirement of ‘‘most          CDBG funding above the Public Assistance               FXFR1334088TWG0W4–123–FF08EACT00]
                                                  impacted’’ in this legislative language, homes          and State match requirement. Those
                                                  are determined to have a high level of                  activities are categories: C, Roads and                Renewal of the Trinity River Adaptive
                                                  damage if they have damage of ‘‘major-low’’             Bridges; D, Water Control Facilities; E, Public        Management Working Group
                                                  or higher. That is, they have a real property           Buildings; F, Public Utilities; and G,
                                                  FEMA inspected damage of $8,000 or                      Recreational—Other. Categories A (Debris               AGENCY:   Office of the Secretary, Interior.
                                                  flooding over 1 foot. Furthermore, a                    Removal) and B (Protective Measures) are               ACTION:   Notice.
                                                  homeowner is determined to have unmet                   largely expended immediately after a disaster
                                                  needs if they reported damage and no                    and reflect interim recovery measures rather           SUMMARY:   The Secretary of the Interior
                                                  insurance to cover that damage.                         than the long-term recovery measures for               (Secretary), after consultation with the
                                                     FEMA does not inspect rental units for real          which CDBG funds are generally used.                   General Services Administration, has
                                                  property damage so personal property                    Methods for Estimating Unmet Economic                  renewed the Trinity River Adaptive
                                                  damage is used as a proxy for unit damage.              Revitalization Needs                                   Management Working Group (Working
                                                  Each of the FEMA inspected renter units are                                                                    Group) for 2 years. The Working Group
                                                  categorized by HUD into one of five                       Based on SBA disaster loans to businesses,
                                                                                                          HUD calculates the median real estate and              provides recommendations on all
                                                  categories:
                                                                                                          content loss by the following damage                   aspects of the implementation of the
                                                     • Minor-Low: Less than $1,000 of FEMA
                                                  inspected personal property damage.                     categories for each state:                             Trinity River Restoration Program and
                                                     • Minor-High: $1,000 to $1,999 of FEMA               • Category 1: Real estate + content loss =             affords stakeholders the opportunity to
                                                  inspected personal property damage.                       below 12,000                                         give policy, management, and technical
                                                     • Major-Low: $2,000 to $3,499 of FEMA                • Category 2: Real estate + content loss =             input concerning Trinity River
                                                  inspected personal property damage.                       12,000–30,000                                        restoration efforts.
                                                     • Major-High: $3,500 to $7,499 of FEMA               • Category 3: Real estate + content loss =             ADDRESSES: For more information on the
                                                  inspected personal property damage or 4 to                30,000–65,000
                                                                                                          • Category 4: Real estate + content loss =
                                                                                                                                                                 Trinity River Adaptive Management
                                                  6 feet of flooding on the first floor.
                                                                                                                                                                 Working Group and the Trinity River
                                                     • Severe: Greater than $7,500 of FEMA                  65,000–150,000
                                                  inspected personal property damage or                   • Category 5: Real estate + content loss =             Restoration Program, see https://
                                                  determined destroyed and/or 6 or more feet                above 150,000                                        www.fws.gov/arcata/fisheries/
                                                  of flooding on the first floor.                           For properties with real estate and content          tamwg.html and http://www.trrp.net/.
                                                     For rental properties, to meet the statutory         loss of $30,000 or more, HUD calculates the            FOR FURTHER INFORMATION CONTACT:
                                                  requirement of ‘‘most impacted’’ in this                estimated amount of unmet needs for small              Joseph Polos, U.S. Fish and Wildlife
                                                  legislative language, homes are determined to           businesses by multiplying the median                   Service, 1655 Heindon Road; Arcata, CA
                                                  have a high level of damage if they have                damage estimates for the categories above by           95521; 707–822–7201.
                                                  damage of ‘‘major-low’’ or higher. That is,             the number of small businesses denied an
                                                  they have a FEMA personal property damage                                                                      SUPPLEMENTARY INFORMATION: The
                                                                                                          SBA loan, including those denied a loan
                                                  assessment of $2,000 or greater or flooding             prior to inspection due to inadequate credit           Working Group conducts its operations
                                                  over 1 foot. Furthermore, landlords are                 or income (or a decision had not been made),           in accordance with the provisions of the
                                                  presumed to have adequate insurance                     under the assumption that damage among                 Federal Advisory Committee Act (5
                                                  coverage unless the unit is occupied by a               those denied at pre-inspection have the same           U.S.C. Appendix). It reports to the
                                                  renter with income of $20,000 or less. Units            distribution of damage as those denied after           Trinity River Management Council
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                                                  are occupied by a tenant with income less               inspection.                                            (TMC) and functions solely as an
                                                  than $20,000 are used to calculate likely
                                                                                                          Allocation Calculation                                 advisory body. The TMC reports to the
                                                  unmet needs for affordable rental housing.
                                                     The average cost to fully repair a home for            Once eligible entities are identified using          Secretary through the Mid-Pacific
                                                  a specific disaster to code within each of the          the above criteria, the allocation to                  Regional Director of the Bureau of
                                                  damage categories noted above is calculated             individual grantees represents their                   Reclamation and the Pacific Southwest
                                                  using the average real property damage repair           proportional share of the estimated unmet              Regional Director for the U.S. Fish and
                                                  costs determined by the Small Business                  needs. For the formula allocation, HUD                 Wildlife Service. The Working Group


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Document Created: 2018-02-01 15:19:15
Document Modified: 2018-02-01 15:19:15
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ActionNotice.
DatesEffective Date: January 23, 2017.
ContactStanley Gimont, Director, Office of Block Grant Assistance, Department of Housing and Urban Development, 451 7th Street SW., Room 7286, Washington, DC 20410, telephone number 202-708-3587. Persons with hearing or speech impairments may access this number via TTY by calling the Federal Relay Service at 800-877- 8339. Facsimile inquiries may be sent to Mr. Gimont at 202-401-2044. (Except for the ``800'' number, these telephone numbers are not toll- free.) Email inquiries may be sent to: [email protected]
FR Citation82 FR 5591 

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