[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: 24CFR92.500]

[Page 626-627]
 
                 TITLE 24--HOUSING AND URBAN DEVELOPMENT
 
PART 92_HOME INVESTMENT PARTNERSHIPS PROGRAM--Table of Contents
 
                    Subpart K_Program Administration
 
Sec. 92.500  The HOME Investment Trust Fund.


    (a) General. A HOME Investment Trust Fund consists of the accounts 
described in this section solely for investment in accordance with the 
provisions of this part. HUD will establish a HOME Investment Trust Fund 
United States Treasury account for each participating jurisdiction. Each 
participating jurisdiction may use either a separate local HOME 
Investment Trust Fund account or, a subsidiary account within its 
general fund (or other appropriate fund) as the local HOME Investment 
Trust Fund account.
    (b) Treasury Account. The United States Treasury account of the HOME 
Investment Trust Fund includes funds allocated to the participating 
jurisdiction under Sec. 92.50 (including for a local participating 
jurisdiction, any transfer of the State's allocation pursuant to Sec. 
92.102(b)(2)) and funds reallocated to the participating jurisdiction, 
either by formula or by competition, under subpart J of this part; and
    (c) Local Account. (1) The local account of the HOME Investment 
Trust Fund includes deposits of HOME funds disbursed from the Treasury 
account; the deposit of any State funds (other than HOME funds 
transferred pursuant to Sec. 92.102(b)(2)) or local funds that enable 
the jurisdiction to meet the participating threshold amount in Sec. 
92.102; any program income (from both the allocated funds and matching 
contributions in accordance with the definition of program income); and 
any repayments or recaptured funds as required by Sec. 92.503.
    (2) The participating jurisdiction may establish a second local 
account of the HOME Investment Trust Funds if:
    (i) The participating jurisdiction has its own affordable housing 
trust fund that the participating jurisdiction will use for matching 
contributions to the HOME program;
    (ii) The statute or local ordinance requires repayments from its own 
trust fund to be made to the trust fund;
    (iii) The participating jurisdiction establishes a separate account 
within its

[[Page 627]]

own trust fund for repayments of the matching contributions; and
    (iv) The funds in the account are used solely for investment in 
eligible activities within the participating jurisdiction's boundaries 
in accordance with the provisions of this part, except as provided under 
Sec. 92.201(a)(2).
    (3) The funds in the local account cannot be used for the matching 
contribution and do not need to be matched.
    (d)(1) Reductions. HUD will reduce or recapture HOME funds in the 
HOME Investment Trust Fund by the amount of:
    (A) Any funds in the United States Treasury account that are 
required to be reserved (i.e., 15 percent of the funds) by a 
participating jurisdiction under Sec. 92.300 that are not reserved for 
a community housing development organization pursuant to a written 
agreement within 24 months after the last day of the month in which HUD 
notifies the participating jurisdiction of HUD's execution of the HOME 
Investment Partnership Agreement;
    (B) Any funds in the United States Treasury account that are not 
committed within 24 months after the last day of the month in which HUD 
notifies the participating jurisdiction of HUD's execution of the HOME 
Investment Partnership Agreement;
    (C) Any funds in the United States Treasury account that are not 
expended within five years after the last day of the month in which HUD 
notifies the participating jurisdiction of HUD's execution of the HOME 
Investment Partnership Agreement; and
    (D) Any penalties assessed by HUD under Sec. 92.552.
    (2) For purposes of determining the amount by which the HOME 
Investment Trust Fund will be reduced or recaptured under paragraphs 
(d)(1)(A), (B) and (C) of this section, HUD will consider the sum of 
commitments to CHDOs, commitments, or expenditures, as applicable, from 
the fiscal year allocation being examined and from subsequent 
allocations. This sum must be equal to or greater than the amount of the 
fiscal year allocation being examined, or in the case of commitments to 
CHDOs, 15 percent of that fiscal year allocation.

[61 FR 48750, Sept. 16, 1996, as amended at 62 FR 28930, May 28, 1997]