[Code of Federal Regulations]

[Title 24, Volume 3]

[Revised as of April 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 24CFR570.430]



[Page 98-99]

 

                 TITLE 24--HOUSING AND URBAN DEVELOPMENT

 

  CHAPTER V--OFFICE OF ASSISTANT SECRETARY FOR COMMUNITY PLANNING AND 

        DEVELOPMENT, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

 

PART 570_COMMUNITY DEVELOPMENT BLOCK GRANTS--Table of Contents

 

            Subpart F_Small Cities and Insular Areas Programs

 

Sec.  570.430  Hawaii program operation requirements.



    (a) Limitation on planning and administrative costs. For grants made 

with allocations prior to FY 1995, no more than 20 percent of the sum of 

the grant plus program income received during the grant period shall be 

expended for planning and program administrative costs. For grants 

received from allocations in FY 1995 and thereafter, a grantee will be 

considered to be in conformance with the requirements of Sec.  

570.200(g) if funds obligated for planning and administration during the 

most recently completed program year do not exceed 20 percent of the sum 

of the grant made for that program year and the program income received 

from post FY 1994 grants during that program year.

    (b) Performance and evaluation reports. Grantees will follow the 

requirements of Sec.  570.507(a) for entitlement grant recipients for 

all grants received in FY 1995 and thereafter. Grantees will continue 

following the requirements of Sec.  570.507(a) for HUD-administered 

small cities grants for grants received prior to FY 1995 until those 

grants are closed out.

    (c) Grant closeouts. Grants received prior to FY 1995 shall be 

closed out in accordance with the procedures in Sec.  570.509. Grants 

received in FY 1995 and thereafter shall not be closed out individually. 

A grantee's entire program shall be closed upon program completion if a 

grantee ceases its participation in the Small Cities Program.

    (d) Public Services. Starting with the FY 1996 grant, grantees may 

follow the provisions of Sec.  570.201(e)(1) that refer to entitlement 

grantees, allowing grantees to use 15 percent of the program income 

received in the previous program year in addition to 15 percent of the 

grant amount for public services.

    (e) Compliance with the primary objective. Starting with the FY 1995 

grant, grantees may select a time period of one, two or three program 

years in which to meet the requirement that not less than 70 percent of 

the aggregate of CDBG fund expenditures be for activities benefitting 

low- and moderate- income persons. Grants made from allocations prior to 

FY 1995 will be considered individually for meeting the primary 

objective, and expenditures for grants from pre-FY 1995 allocations made 

during and after FY 1995 will not be considered in determining whether 

the primary objective has been met for post-1994 allocations. If the 

State of Hawaii decides to administer the Community Development Block 

Grant Program for nonentitlement units of general local government in 

Hawaii, the State will be bound by the time period for meeting the 

primary objective that was chosen by each nonentitlement grantee within 

the State until those time periods have expired.

    (f) Program amendments for grants received prior to FY 1995. 

Grantees must follow the requirements of 24 CFR 91.505 when amending 

their program with regard to grants received prior to FY 1995. For 

purposes of this paragraph (f), the term consolidated plan as used in 24 

CFR 91.505 means an application submitted under the Hawaii program for 

pre-FY 1995 funds. Also for purposes of this paragraph (f), to comply 

with the requirements of 24 CFR 91.505, grantees must refer to their 

current citizen participation plans (adopted in accordance with 24 CFR 

91.505) to determine the criteria for substantial



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amendment and the citizen participation process to be followed.



(Approved by the Office of Management and Budget under control number 

2506-0020)