CFR 570. 600–570.613) deals with other program requirements of the CDBG program, including civil rights; labor standards; environmental standards; flood insurance; relocation; displacement; acquisition; employment and contracting opportunities; lead-based paint; use of debarred, suspended, or ineligible contractors; uniform administrative requirements and cost principles; and conflicts of interest. In addition to the basic regulations of the CDBG program contained in 24 CFR Part 570, there are three other categories of requirements that affect the administrative systems and procedures subrecipients must have in place to receive support: • Federal regulations governing administrative and audit requirements for grants and cooperative agreements (governmental subrecipients) for which HUD has oversight responsibilities. • Administrative circulars from the Office of Management and Budget (OMB) and Department of the Treasury governing cost principles, administrative systems, fiscal procedures, and audit requirements for grantees and subrecipients. • Executive Orders from the Office of the President implementing various equal employment opportunity and environmental policies. The applicability of these administrative requirements depends upon the public or private status of the organization receiving funds. For subrecipients that are private, non-profit 24 CFR Part 84 “Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non-profit Organizations” 2: These regulations implement OMB Circular A-110 and specify standards relative to cash depositories, bonding and insurance, retention and custodial requirements for records, financial management systems, monitoring and reporting on performance, property management, and procurement. For-profit entities organized pursuant to Section 301(d) of the Small Business Investment Act of 1958 (15 U.S.C. 681(d)) and for-profit local development corporations (LDCs) may also qualify as CBDOs under the requirements of 24 CFR 570.204 and thus serve in the role of a subrecipient under the CDBG program if so designated by the grantee. The CDBG regulations pertaining to non-profit organizations apply to such for-profit entities. Not all the requirements of 24 CFR Parts 84 and 85 are applicable to CDBG subrecipients; 24 CFR 570.502(a) and
CFR 570. 489(e)(3) (iv) Transfer of program income of grantees losing Entitlement status. government that has lost or relinquished its Entitlement status must submit a letter to the department, signed by the Authorized Representative stating which of the following options the jurisdiction will be implementing. Keep in mind, that retaining Entitlement PI while participating in the State CDBG program will require PI reporting for both sets of funding. Entitlement PI and any PI generated by State CDBG fund cannot be comingled. Within 90 days of leaving the Entitlement Program to join the State CDBG program, the jurisdiction must certify that it will either:
1) Retain program income generated under Entitlement grants and continue to comply with Entitlement program requirements for program income, including reporting it into IDIS or the urban county; or
2) Retain the program income and transfer it to the State CDBG program, in which case the jurisdiction must comply with the State's rules for PI and RLF address within this Memo, the Reuse Plan and Chapter 14 of the Grant Management Memo.
CFR 570. 489(e)(3)(iii) Transfer of program income to Entitlement program. Jurisdictions that are entitlement communities or part of an urban agreement, or grantees that at a later date become an entitlement community or join a urban agreement, have the following options for PI and RLFs:
1) Complete the process to certify they will be reporting the State PI into the Entitlement Programs process, including receipting the CDBG proceeds into IDIS, or,
2) Return all State CDBG Program Income to the Department, the amounts on hand once the HUD agreement is signed and as it is received until all PI generated by State CDBG funding has been returned. Entitlement jurisdictions and those who are part of an urban agreement may keep their RLF(s) and monies within an RLF as long as the following is met:
1) They have a State Reuse Plan (Agreement) signed by the Department and the City/County Authorized Representative.
2) Agree to operate the RLF under the Department’s RLF rules going forward
3) Report all expenditure, and accounting of RLF(s) as required by the Department.
4) The Jurisdiction shall be required to have loan servicing policies and asset management policies and procedures, pursuant to the Department’s Grant Management Manual Chapter on Asset and Real Property Management
CFR 570. 489 (h): No covered person(s) who exercise or who have exercised any functions or responsibilities with respect to activities assisted with CDBG-DR funds or who are in a position to participate in decision making process or gain inside information with regard to CDBG-DR-assisted activities may obtain financial interest or financial benefit from a CDBG-DR-assisted activity, or have a financial interest in any contract, subcontract, or agreement with respect to the CDBG-DR assisted activity or the proceeds from such activity, either for themselves or those with whom they have business or immediate family ties during their tenure or for one year thereafter. Immediate family ties include (whether by blood, marriage, or adoption) the spouse, parent (including a stepparent), child (including a stepchild), brother, sister (including a stepbrother or stepsister) grandparent, grandchild, and in-laws or a covered person. Further, no officer, employee, agent, elected official, appointed official, or consultant of a covered person may occupy a CDBG-DR-assisted affordable housing unit in the Project. For purposes of this paragraph, a “covered person” includes any person who is an employee, agent, consultant, officer, or elected or appointed official of Corporation, Subrecipient, or any designated public agency.
CFR 570. 200(d). No person providing consultant services in an employer-employee type relationship shall receive more than a reasonable rate of compensation for personal services paid for with CDBG funds. In no event, however, shall such compensation exceed the limits in effect under the provisions of any applicable statute (e.g., annual HUD appropriations acts which have set the limit at the equivalent of the daily rate paid for Level IV of the Executive Schedule). Such services shall be evidenced by written agreements between the parties which detail the responsibilities, standards and compensation. Consultant services provided under an independent contractor relationship are not subject to the compensation limitation of Level IV of the Executive Schedule.
CFR 570. 307(a) allow counties having a total combined population of 200,000 or more from the unincorporated areas and participating incorporated areas to qualify as an urban county; and,
CFR 570. 489 (h): No covered person(s) who exercise or who have exercised any functions or responsibilities with respect to activities assisted with CDBG funds or who are in a position to participate in decision making process or gain inside information with regard to CDBG-assisted activities may obtain a financial interest or financial benefit from a CDBG-assisted activity, or have a financial interest in any contract, subcontract, or agreement with respect to the CDBG- assisted activity or the proceeds from such activity, either for themselves or those with whom they have business or immediate family ties during their tenure or for one year thereafter. Immediate family ties include (whether by blood, marriage, or adoption) the spouse, parent (including a stepparent), child (including a stepchild), brother, sister (including a stepbrother or stepsister) grandparent, grandchild, and in-laws or a covered person. Further, no officer, employee, agent, elected official, appointed official, or consultant of a covered person may occupy a CDBG-assisted affordable housing unit in the Project. For purposes of this paragraph, a “covered person” includes any person who is an employee, agent, consultant, officer, or elected or appointed official of Corporation, Subrecipient, or any designated public agency
F. Section 3
CFR 570. 489 (h): No covered person(s) who exercise or who have exercised any functions or responsibilities with respect to activities assisted with CDBG funds or who are in a position to participate in decision making process or gain inside information with regard to CDBG-assisted activities may obtain a financial interest or financial benefit from a CDBG-assisted activity, or have a financial interest in any contract, subcontract, or agreement with respect to the CDBG- assisted activity or the proceeds from such activity, either for themselves or those with whom they have business or immediate family ties during their tenure or for one year thereafter. Immediate family ties include (whether by blood, marriage, or adoption) the spouse, parent (including a stepparent), child (including a stepchild), brother, sister (including a stepbrother or stepsister) grandparent, grandchild, and in-laws or a covered person. Further, no officer, employee, agent, elected official, appointed official, or consultant of a covered person may occupy a CDBG-assisted affordable housing unit in the Project. For purposes of this paragraph, a “covered person” includes any person who is an employee, agent, consultant, officer, or elected or appointed official of Corporation, Subrecipient, or any designated public agency This section is only applicable if the funds that are the subject of this Agreement will fund one or more Section 3 Projects. A Section 3 Project, determined at the project site level, is a housing rehabilitation, housing construction and other public construction project where more than $200,000 of federal HUD funds, like the funds subject to this Agreement, are being spent. If the funds subject to this Agreement will fund a Section 3 Project, compliance with Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701u, implementing regulations set forth at 24 CFR Part 75 and HCR’s Section 3 policies (together, “Section 3”) shall be a condition of the Federal financial assistance provided under this Agreement and binding upon the Corporation, Subrecipient, and any of Subrecipient’s sub-subrecipients, contractors, and subcontractors. As evidenced by their execution of this contract, the parties to this contract certify that they are under no contractual or other impediment that would prevent them from complying with the part 75 regulations.
CFR 570. 489 - In general, no person (who is an employee, agent, consultant, official or elected/appointed official of the State, unit of general local government or of any designed public agencies or subrecipients which are receiving CDBG funds) who exercise or have exercised any function or responsibilities with respect to CDBG activities assisted under this subpart or who are in a position to participate in a decision making process or gain inside information with regard to such activities may obtain a financial interest or benefit from the activity, or have any interest or benefit from the activity or have an interest in any contract, subcontract or agreement with respect thereto, or the proceeds thereunder, either for themselves or those with whom they have family or business ties, during their tenure or one year thereafter. Any requests for "exception" from this requirement, in accordance with the regulations, must be submitted in writing by the Contractor to the CFPED prior to the obligation of funds. As indicated, this regulation applies to the Contractor as well as subrecipient entities funded.
CFR 570. 505 concerning use of real property;
k. The following laws and regulations relating to preservation of historic places: National Historic Preservation Act of 1966 (Public Law 89-665); the Historical and Archaeological Preservation Act of 1974 (Public Law 93-291); and Executive Order 11593;
l. The Labor Standards Regulations set forth in 24 CFR 570.603;
m. Labor Code section 1771 and/or Xxxxx Xxxxx concerning prevailing wages as applicable;
n. The Hatch Act relating to the conduct of political activities (5 U.S.C. § 1501, et seq.);
o. The Flood Disaster Protection Act of 1973 (42 U.S.C. § 4001, et seq., and the implementing regulations in 44 CFR Parts 59-78);
p. The Rehabilitation Act of 1973 (Public Law 93-112) as amended, including Section 504 which relates to nondiscrimination in federal programs and HUD 24 CFR Part 8;
q. The Clean Air Act (42 U.S.C. § 7401, et seq.) and the Federal Water Pollution Control Act, as amended (33 U.S.C. § 1251, et seq.) and the regulations adopted pursuant thereto (40 CFR Part 6);
r. The Drug-Free Workplace Act of 1988 (Public Law 100-690);
s. The Lead-Based Paint Poisoning Prevention Act, the Residential Lead-Based Paint Hazard Reduction Act of 1992, and implementing regulations at 24 CFR Part 35;
t. No member, officer or employee of the Sub-recipient, or its designee or agents, no member of the governing body of the locality in which the program is situated, and no other public official of such locality or localities who exercises any functions or responsibilities with respect to the program during his/her tenure or for one year thereafter, shall have any interest, direct, or indirect, in any contract or subcontract, or the process thereof, for work to be performed in connection with the program assisted under the Grant, and that it shall incorporate, or cause to be incorporated, in all such contracts or subcontracts a provision prohibiting such interest pursuant to the purposes of this certification;
u. The Sub-recipient certifies, that in accordance with Section 319 of Public Law 101-121, to the best of his or her knowledge and belief that:
i. No federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, an officer or employee of Congress, in connection with the awarding of any federal contract, the making of any federal grant, the making of any federal loan, the enterin...
