[Code of Federal Regulations]
[Title 24, Volume 1]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 24CFR92.201]

[Page 589]
 
                 TITLE 24--HOUSING AND URBAN DEVELOPMENT
 
PART 92_HOME INVESTMENT PARTNERSHIPS PROGRAM--Table of Contents
 
                     Subpart E_Program Requirements
 
Sec. 92.201  Distribution of assistance.

    (a) Local. (1) Each local participating jurisdiction must, insofar 
as is feasible, distribute HOME funds geographically within its 
boundaries and among different categories of housing need, according to 
the priorities of housing need identified in its approved consolidated 
plan.
    (2) The participating jurisdiction may only invest its HOME funds in 
eligible projects within its boundaries, or in joint projects within the 
boundaries of contiguous local jurisdictions which serve residents from 
both jurisdictions.
    (b) State. (1) Each State participating jurisdiction is responsible 
for distributing HOME funds throughout the State according to the 
State's assessment of the geographical distribution of the housing needs 
within the State, as identified in the State's approved consolidated 
plan. The State must distribute HOME funds to rural areas in amounts 
that take into account the non-metropolitan share of the State's total 
population and objective measures of rural housing need, such as poverty 
and substandard housing, as set forth in the State's approved 
consolidated plan. To the extent the need is within the boundaries of a 
participating unit of general local government, the State and the unit 
of general local government shall coordinate activities to address that 
need.
    (2) A State may carry out its own HOME program without active 
participation of units of general local government or may distribute 
HOME funds to units of general local government to carry out HOME 
programs in which both the State and all or some of the units of general 
local government perform specified program functions. A unit of general 
local government designated by a State to receive HOME funds from a 
State is a State recipient.
    (3)(i) A State that uses State recipients to perform program 
functions shall ensure that the State recipients use HOME funds in 
accordance with the requirements of this part and other applicable laws. 
The State may require the State recipient to comply with requirements 
established by the State or may permit the State recipient to establish 
its own requirements to comply with this part.
    (ii) The State shall conduct such reviews and audit of its State 
recipients as may be necessary or appropriate to determine whether the 
State recipient has committed and expended the HOME funds in the United 
States Treasury account as required by Sec. 92.500, and has met the 
requirements of this part, particularly eligible activities, income 
targeting, affordability, and matching contribution requirements.
    (4) A State and local participating jurisdiction may jointly fund a 
project within the boundaries of the local participating jurisdiction. 
The State may provide the HOME funds to the project or it may provide 
the HOME funds to the local participating jurisdiction to fund the 
project.
    (5) A State may fund projects on Indian reservations located within 
the State provided that the State includes Indian reservations in its 
consolidated plan.