[Code of Federal Regulations]

[Title 24, Volume 4]

[Revised as of April 1, 2006]

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

[CITE: 24CFR954.504]



[Page 426-427]

 

                 TITLE 24--HOUSING AND URBAN DEVELOPMENT

 

CHAPTER IX--OFFICE OF ASSISTANT SECRETARY FOR PUBLIC AND INDIAN HOUSING, 

               DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

 

PART 954_INDIAN HOME PROGRAM--Table of Contents

 

                    Subpart E_Program Administration

 

Sec.  954.504  Closeout.



    (a) A grant will be closed out when all the following criteria have 

been met:

    (1) All funds to be closed out have been drawn down and expended for 

completed project costs, or funds not drawn down and expended have been 

deobligated by HUD;



[[Page 427]]



    (2) Project Completion Reports for all projects using funds to be 

closed out have been submitted. HUD will use data contained in the 

project completion reports in the preparation of the Closeout Reports;

    (3) The grantee has been reviewed and audited and HUD has determined 

that all requirements, including affordability (for which also see 

paragraph (b)(2) of this section), are met or all monitoring and audit 

findings have been resolved.

    (i) A signed copy of the grantee's most recent audit report--

covering all funds to be closed out--must be received by HUD. If the 

audit review by the Department of Interior (DOI) results in significant 

delays, the Area ONAP may request a signed copy of the audit prior to 

DOI review and use it as the document needed prior to closeout. If the 

audit does not cover all funds to be closed out, the closeout may 

proceed, provided the grantee agrees in the Closeout Report that any 

costs paid with the funds that were not audited must be subject to the 

grantee's next single audit and that the grantee may be required to 

repay to HUD any disallowed costs based on the results of the audit.

    (ii) The on-site monitoring of the grantee by the Area ONAP must 

include verification of data reflected in the Closeout Report and 

reconciliation of any discrepancies which may exist between HUD data and 

grantee records.

    (b) The Closeout Report contains the final data on the funds and 

must be signed by the grantee and HUD. In addition, the report must 

contain:

    (1) A provision regarding unaudited funds (``closeout subject to 

audit''), required by paragraph (a)(3)(i) of this section; and

    (2) A provision requiring the grantee to continue to meet the 

requirements applicable to housing projects for the period of 

affordability specified in Sec.  954.306 or Sec.  954.307, to keep 

records demonstrating that the requirements have been met and to repay 

the HOME funds, as required by Sec.  954.500, if the housing fails to 

remain affordable for the required period.