tion and for efforts to encourage them to remain in the housing. In awarding the maximum number of points under this criterion, HUD will give consideration to both the quality of the plan and the extent to which street persons will be served.

F. Service to Targeted Disabilities

HUD will award up to 200 points based on the extent to which the program will serve persons who are seriously mentally ill, or have chronic problems with alcohol, drugs, or both, or have AIDS and related diseases.

XIV. GRANT AGREEMENT

The grant agreement will be between HUD and the recipient. HUD will hold the recipient responsible for the overall administration of the S+C Program, including overseeing any contractors. The grant agreement will provide that the recipient agrees:

-To operate the program in accord

ance with the provisions of these Guidelines and applicable HUD regulations;

-To conduct an ongoing assessment

of the housing assistance and supportive services required by the participants in the program;

-To assure the adequate provision of supportive services to the participants in the program; and -To comply with such other terms and conditions, including recordkeeping and reports (which must include racial and ethnic data on participants), as the Secretary may establish for purposes of carrying out the program in an effective and efficient manner.

HUD will enforce the obligations in the grant agreement through such action as may be necessary, including recapturing assistance awarded under the program.

XV. OBLIGATION AND DEOBLIGATION OF FUNDS

Upon approval of an application for funding and notification to the applicant, HUD

will obligate funds to cover the amount of the approved assistance. After the initial obligation of funds for S+C/HRHA and S+C/ 202, HUD will not make any upward revisions to the amount obligated for any approved assistance.

HUD may deobligate all or a portion of the amounts approved for rental assistance if the proposed housing for which funding was approved or the supportive services proposed in the application are not provided in accordance with the approved application and the requirements of these Guidelines. The grant agreement may set forth other circumstances under which funds may be deobligated, and other sanctions may be imposed.

HUD may readvertise the availability of funds that have been deobligated in a notice of fund availability, or may reconsider applications that were submitted in response to the most recently published Notice of Funds Availability and select applications for funding with the deobligated funds. Such selections would be made in accordance with the selection process described in these Guidelines. Any selections made using deobligated funds will be subject to applicable appropriation act requirements governing the use of deobligated funding authority.

200

75

100

15

S+C/202:

Application

100

100

8,000

1,050

40

4,000

210

4,000

These guidelines would not constitute a "major rule" as that term is defined in section 1(d) of the Executive Order on Federal Regulations issued by the President on February 17, 1981. An analysis of the guidelines indicates that it would not (1) have an annual effect on the economy of $100 million or more; (2) cause a major increase in costs or prices for consumers, individual industries, Federal, State, or local government agencies, or geographic regions; or (3) have a significant adverse effect on competition, employment, investment, productivity, innovation, or on the ability of United Statesbased enterprises to compete with foreignbased enterprises in domestic or export markets.

A Finding of No Significant Impact 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. The finding is available for public inspection between 7:30 a.m. and 5:30 p.m. weekdays in the Office of the Rules Docket Clerk, Office of the General Counsel, Department of Housing and Urban Development, room 10276, 451 Seventh Street SW., Washington, DC 20410.

These guidelines were listed in the Department's Semiannual Agenda of Regulations published at 55 FR 44530 on October 29, 1990, under Executive Order 12291 and the Regulatory Flexibility Act.

The General Counsel, as the designated official under Executive Order 12606, The Family, has determined that some of the policies in these guidelines will have a potential significant impact on the formation, maintenance, and general well-being of the family. Participation of homeless families in the program can be expected to support family values, by helping families remain together; by enabling them to live in decent,

safe, and sanitary housing, and by offering the supportive services that are necessary to acquire the skills and means to live independently in mainstream American society. Since the impact on the family is considered to be a beneficial one, no further review is necessary.

The General Counsel has also determined, as the Designated Official for HUD under section 6(a) of Executive Order 12612, Federalism, that the provision in these guidelines requiring applicants to assume the responsibilities for environmental review, decisionmaking, and action under NEPA and other environmental authorities has Federalism implications. While the assignment of these responsibilities under section 104(g) of the Housing and Community Development Act of 1974 is discretionary with HUD, it is authorized by and clearly the intent of section 443 of the McKinney Act. Therefore, the policy is not subject to review under Executive Order 12612.

In accordance with 5 U.S.C. 605(b) (the Regulatory Flexibility Act), the undersigned hereby certifies that these guidelines would not have a significant economic impact on a substantial number of small entities. They would govern the procedures under which HUD would make rental assistance available to applicants under a program designed to house and provide supportive services to homeless persons with disabilities.

[56 FR 4494, Feb. 4, 1991]

EFFECTIVE DATE NOTE: At 56 FR 4494, Feb. 4, 1991, Appendix D was added. Several sections of this appendix contain information collection requirements that will become effective upon approval by the Office of Management and Budget. A notice announcing the effective date will be published in the FEDERAL REGISTER.