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ies of the regreement, apions appear to tisfactorily, or eral interest in ement open for g performance, ffort by the rehousing assistgrant period. A cipient's compliagreement, appliions will be made it or HUD review idit pursuant to

(1) The recipient submits, and HUD approves, a revised housing assistance plan.

(2) Three years elapse since the date
of approval of the current housing as-
sistance plan.

(g) Audit. Upon notification from
HUD to initiate closeout procedures,
the recipient shall arrange for a final
audit to be made of its grant accounts
and records in accordance with HUD
Handbook IG 5605.2, "Audit Guide
and Standards for Community Devel-
opment Block Grant Recipients,"
§571.510, and any other audit requre-
ments of HUD hereafter in effect.
HUD may determine that, due to the
nature of the recipient's program or
the relatively small amount of funds
which have not been audited, a final
audit is not required. In such in-
stances, HUD will notify the recipient
that HUD will perform the necessary
reviews of documentation and activi-
ties to determine that claimed costs
are valid program expenses and that
the recipient has met its other respon-
sibilities under the grant agreement.

ne. Subject to the
ragraphs (d) and
program income re-
to grant closeout
the recipient as mis-
, the use of which is
ne provisions of this
he recipient has no
ram under this part
it the time the first
t. If the recipient has
ant program, the pro-
ceived subsequent to
ut shall be treated as
e of the active grant

n of Tangible Personal recipient shall account le personal property acant funds in accordance ent N of OMB Circular erty Management Stand

(h) Certificate of Completion and Final Cost. Upon resolution of any findings of the final audit, or if the final audit is waived, after HUD has performed the review of documentation described in paragraph (g) of this section, the recipient shall prepare a certificate of completion and final cost, in a form prescribed by HUD, and submit it to the appropriate HUD Office.

ition of Real Property.
ived after the grant clo-
the disposition of real
quired with grant funds
subject to the program
uirements of paragraph (c)
ion: Provided, That where
e may be treated as miscel-
evenue pursuant to para-
of this section, it shall be
he recipient for community
ent activities eligible under
to further the general pur-
d objectives of the Act. The
come subject to this provision
overned by any other require-
this part.

(i) Refund of Excess Grant Funds. The Recipient shall refund to HUD any cash advanced in excess of the final grant amount, as shown on the certificate of completion approved by HUD.

(j) Termination of Grant for Mutual Convenience. Grant assistance provided under this Part may be cancelled, in whole or in part, by HUD or the recipient, prior to the completion of the approved community development program, when both parties agree that the continuation of the pro

199

ram is infeasible or would not prouce beneficial results commensurate with the further expenditure of funds. HUD shall determine whether an envionmental review of the cancellation is equired, and if such review is reuired, shall perform it pursuant to HUD Handbook 1390.1 and/or specific uidelines issued by the Secretary. he two parties shall agree upon the ermination conditions, including the Efective date and, in the case of paral terminations, the portion to be rminated. The recipient shall not cur new obligations for the terminat■ portion after the effective date, and all cancel as many outstanding oblitions as possible. HUD shall allow 11 credit to the recipient for the nonncelable obligations properly inrred by the recipient in carrying out e program prior to termination. The seout policies and procedures conned in this section shall apply in all ch cases except where the total ant is cancelled in its entirety, in ich event only the provisions of 71.512 (h) and (i) shall apply.

Subpart G-Other Program
Requirements

1.600 Nondiscrimination.

recipient shall comply with the visions of Title II of Pub. L. 90-284 U.S.C. 1301-Commonly refered to che Indian Civil Rights Act) in the ninistration of a program or activiunded in whole or part with funds de available under this part. For poses of this section, "program or vity" is defined as any function ducted by an identifiable adminisive unit of the recipient. "Funded whole or part with funds made lable under this Part" means that munity development funds in any -unt in the amount in the form of ats proceeds from HUD guaranteed s have been transferred by the reent to an identifiable administraunit and disbursed in a program ctivity.

_601 Relocation and acquisition.

of 1970 (42 U.S.C. 4601), hereafter re ferred to as the Uniform Act, and HUD implementing regulations at 2 CFR Part 42 apply to the displace ment of any family, individual, busi ness, nonprofit organization, or farm operation that results from the acqui sition of real property by a State agency (as that term is defined at 24 CFR 42.20(s)) and which occurs on or after the date of submission of the application requesting the Federal assistance under this Part which is granted for an activity in connection with which the acquisition has been or will be undertaken.

(2) With respect to other displacement causing activities that are assisted under this Part but which are not within the purview of the Uniform Act, the following policies shall apply:

(i) No occupant of a dwelling shall be required to move permanently from the dwelling, unless first given reasonable opportunity to relocate to a safe and habitable replacement dwelling at a monthly housing cost, including utilities, that does not exceed 25 percent of his gross income.

(ii) The recipient shall adopt a uniform written policy for providing relocation payments and other assistance to ensure that displaced families and individuals obtain a safe and habitable replacement dwelling and that all persons, including families, individuals, businesses, nonprofit organizations and farm operations, are reimbursed for all moving and related expenses, including utility hook-up and storage costs.

(iii) All families, individuals, businesses, nonprofit organizations, and farm operations to be displaced shall be provided advance information suffistand the reason for their displacecient to enable them to fully underment and the relocation payments and other assistance to which they are entitled under these regulations.

(iv) In any case in which the occupant of a dwelling is required to relocate for a temporary period in order to permit rehabilitation or demolition, the temporary relocation shall not exceed 12 months in duration, a safe and habitable dwelling shall be available to the person for the period of the

- Relocation. (1) Title II of the orm Relocation Assistance and Property Acquisition Policies Act

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g any moving thly housing erson in conary relocation. cquisition. (1) Act and HUD ns at 24 CFR acquisition of ate agency (as d at 24 CFR on or after the n of the applicaederal assistance ch is granted for ction with which dertaken. It does

or not the acquisi

y assisted.

$571.603 Labor standards.

to acquisitions for nder this Part that purview of the Uniowing policies shall

(a) Unless waived by the Secretary
pursuant to the provisions of this sec-
tion, or inapplicable pursuant to para-
graph (c) of this section, all laborers
and mechanics employed by contrac-
tors or subcontractors on construction
work assisted under this part shall be
paid wages at rates not less than those
prevailing on similar construction in
the locality as determined by the Sec-
retary of Labor in accordance with the
Davis-Bacon Act, as amended (40
U.S.C. 276a-276a-5, and shall receive
overtime compensation in accordance
with and subject to provisions of the
Contract Work Hours and Safety
Standards Act (40 U.S.C. 327-333), and
the contractors and subconstractors
shall comply with all regulations
issued pursuant to these Acts and with
other applicable Federal laws and reg-
ulations pertaining to labor standards.
This section shall not apply to the re-
habilitation of residential property de-
signed for the use of seven or fewer
families. The Secretary of Labor has,
with respect to the labor standards
specified in this section, the authority
and functions set forth in Reorganiza-
tion Plan Number 14 of 1950 (5 U.S.C.
133z-15) and section 2 of the Act of
June 13, 1934, as amended (40 U.S.C.
276c).

ty owner shall be offer of the amount e be just compensaerty. Just compensaed upon one or more fair market value of prepared by a qualilowever, this provision t a person from donaty if, prior to the donaen fully informed of his just compensation. y review any acquisition ned pursuant to para1) of this section prior to being paid to the seller. in which the acquisition the fair market value of 7, a justification for the all be included in the apfile.

vironment.

ecipient shall comply with able provisions of 24 CFR

(b) Labor Standards requirements as set forth in paragraph (a) of this section may be waived by the Secretary on a case-by-case basis. However, in no instance shall the wage paid be lower than the comparable wage paid on or near the reservation or Indian community as determined by the grantee. The criteria to be taken into consideration by HUD in evaluating a request for a waiver of the Labor Standards requirements set forth in paragraph (a) of this section shall include the following:

enever the provisions of National Flood Insurance -do not apply to recipients development in flood prone der this part, the evaluation tial or existing flood hazards reas for which acquisition or

571.604

Title 24-Housing and Urban Developmen

(1) The effect that a waiver would have upon increasing the participation of Indian-owned firms in the program; nd

(2) The effect that a waiver would mave upon increasing the probability hat the grant funds provided would e sufficient to cover the construction osts of the project. Additional criteria nay be developed by the HUD admintering office. If such criteria are deeloped they must be provided to repients of funds provided under this art prior to decision on a waiver eing made and they shall not be so arrowly written so as to effectively iminate waiver possibilities.

(c) Labor Standards requirements t forth in paragraph (a) of this secon shall not apply to force account nstruction activities funded under is section.

71.604 Architectural Barriers Act of 1968.

The Architectural Barriers Act of 38, 42 U.S.C. 4151, is applicable to istance under this part and requires at the design of any facility conucted with funds under this part mply with the "American Standard ecification for Making Buildings 1 Facilities Accessible, and Usable the Physically Handicapped," No. 17-1971 as modified (41 CFR Parts -19, 603).

1.605 Activities for which other Federal funds must be sought.

recipient may use community de-pment funds for the provision of lic services as described in 1.201(e) for activities (other than se previously approved under the el Cities Program); or for flood or nage facilities as described in 1.201(c)(13): Provided: That:

■ The recipient has applied or ined in writing to the Federal cy or agencies, if any, which con

a program or programs most y to meet the needs for which munity development funds 3 considered.

are

The recipient has received:
A written statement of rejection
such Federal agency, if any;

(2) A written statement that fund cannot be made available for at leas 90 days after the request; or

(3) No response from the Federa agency, if any, within a 90 day period from the date of application or inqui ry; and

(c) The recipient has notified HUD of the results of the application or inquiry and has received authorization from HUD to incur costs for such activities.

§ 571.606 Hatch Act.

Neither the Community Development Program nor the funds provided therefor, nor the personnel employed in the administration of the program shall be in any way or to any extent be engaged in the conduct of political activities in contravention of Chapter 15 of Title 5, United States Code.

§ 571.607 National Flood Insurance Program.

The provisions of the Flood Disaster Protection Act of 1973 (42 U.S.C. 40014128 et seq.) and the regulations thereunder (24 CFR Ch. X, Subchapter B) apply to assistance under this part. Under that Act no Federal office or agency shall approve any financial assistance for acquisition or construction purposes as defined under section 3(a) of said Act, on and after July 1, 1975 (or one year after a community has been formally notified of its identification as a community containing an area of special flood hazard, whichever is later) for use in any area that has been identified by the Secretary of Housing and Urban Development as an area having special flood hazards, unless the community in which such area is situated is then participating in the National Flood Insurance Program. Notwithstanding the date of HUD approval of the recipients' application, funds approved under this part shall not be expended on or after July 1, 1975, or one year after a community has been formally notified, whichever is later, for acquisition or construction purposes in an area identified by the Secretary as having special flood hazards which is located in a community not in compliance with the requirements of the National Flood Insurance

on 201(d) of funds procquisition cr n identified shall be subpurchase of nents of sec

d Federal Water

(2) The timing and basis of the Secretary's review of an applicant's or recipient's performance;

(3) The reports to be submitted to HUD and the records to be maintained by a recipient;

(4) The corrective and remedial actions available to the Secretary if program deficiencies or noncompliance are discovered.

(b) The objectives of the Secretary's

omply with the review of a recipient's performance are

an Air Act, as 57 et seq.), and ollution Control .S.C. 125 et seq.) thereunder (40 FR Part 61).

non-profit entities, evelopment corpora

Paint Poisioning

to determine whether:

(1) The recipient has carried out the Indian community Development Block Grant Program substantially as described in its approved application;

(2) The recipient has complied with the requirements of this part and other applicable laws and regulations;

(3) The recipient has an administrative capacity to carry out the approved Indian Community Development Block Grant Program in a timely

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