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HOME Waiver Log: 2003


	Information by State Print version

The following summaries provide information on the date that HOME waivers were granted and denied, the State or Local Field Office making the request, the situation which gave rise to the need for a program waiver, and the regulatory citation. To obtain a copy of a specific HOME waiver, contact HUD's Office of Affordable Housing Programs at (202) 708-2470. Hearing impaired users may call the Federal Information Relay Service at 1-800-877-8339.

1/15/03	MD	Waiver granted to the state of Maryland of the definition of “single room occupancy” (SRO) housing. The state wished to use HOME funds to rehabilitate and construct an addition to a transitional housing project without including either food preparation or sanitary facilities, a requirement for projects considered new construction under the HOME regulation. The state was unable to include such facilities in the units because the project site was land-locked causing severe space restrictions. Because of its effort to add larger handicapped-accessible units, which require more space, the state requested a waiver of the in-unit facility requirements.	92.2
1/17/03	WI	Waiver granted to the Waukesha County Consortium to extend its program year from three to four years, in an effort to align the County’s CDBG and HOME programs. The Consortium’s original program year was inadvertently set six months prior to the CDBG period and, later, the CDBG period was adjusted back by an additional six months, leaving the two program periods a full year apart. The waiver allowed Waukesha County to come into compliance with HOME regulations and to better coordinate the two program years.	92.101(e)
2/5/03	WA	Waiver request granted to the City of Seattle, WA to allow the city to incur HOME administration and planning costs before submission of the city’s Consolidated Plan. While in the process of a city-wide financial management overhaul to address a serious budget deficit, the city inadvertently delayed the submission of its FY 2003 Consolidated Plan, prohibiting the city from incurring expenses until submission of the Plan and threatening the management of HOME projects. With the understanding that the city would submit the Plan by February 18, 2003, a one-time waiver was granted.	92.212(b)
3/27/03	OR	Waiver granted to Idaho Housing Finance Association (IHFA) to permit the commitment of additional HOME funds to a troubled project within the period of affordability and after more than twelve months following the initial project completion, but not to exceed the maximum per-unit subsidy. IHFA demonstrated due diligence in its multiple attempts to address the problems experienced by the project. However, those efforts failed to bring the project into compliance. The waiver was granted to facilitate the transfer of the project to another non-profit organization and to ensure on-going compliance with HOME requirements.	92.214(a)(7) and 92.502(d)
4/22/03	TX	Waiver request granted to the city of Laredo to allow for the additional investment of HOME funds to a troubled project within the period of affordability and after more than twelve months following the initial project completion, but not to exceed the maximum per-unit subsidy. Inadequate compaction of the building foundations resulted in significant structural problems. The low-income homeowners could not afford to repair the units and the city of Laredo has no non-federal source of funds to perform the necessary repairs. Due to the hardship experienced by the homeowners, the waiver was conditionally granted, contingent upon the city’s donation of land for affordable housing projects.	92.214(a)(7)
5/5/03	KY	Waiver request denied. The Lexington-Fayette Urban County Government (LFUCG) had requested a waiver of the definition of Single Room Occupancy (SRO). The LFUCG planned an eleven-bed transitional living facility which qualified as a group home under the HOME regulation. Under the group home designation, the project was limited to the maximum subsidy for a one-unit project. The LFUCG requested that the project be designated as an SRO project, which would have allowed for the maximum subsidy for an 11-unit project. A funding shortfall was not considered good cause for such a waiver.	92.2
6/26/03	MO	Waiver granted of the HOME Program requirements for Presidentially declared disaster areas. The state of Missouri had requested a waiver to allow the use of HOME funds to rehabilitate damaged units to make them habitable for the residents while not bringing the rehabilitated units up to local codes, rehabilitation standards, ordinances, and zoning ordinances, as required under the HOME program. The state wished to rehabilitate the units only to the point of habitability rather than to local property standards so as to reduce the amount of time families were without the use of their homes and to increase the number of affected families the state could assist.	92.251(a)(1)
7/18/03	KY	Waiver of 24 CFR 92.503(b)(1) granted to the Kentucky Housing Corporation with regard to the required repayment of HOME funds expended for projects that do not meet the affordability requirements for the applicable period of affordability. Due to extenuating circumstances surrounding the death of the homeowner, the KHC was released from the regulatory requirement to repay all HOME funds invested in the home and was required to repay that portion of the HOME funds realized through the sale of the home.	92.503(b)(1)
10/6/03	CO	Waiver request granted to the state of Colorado regarding the required repayment of HOME funds in the event a property does not meet the HOME affordability requirements for the period specified in 92.252 or 92.254. A property that includes two HOME-assisted units failed to meet the affordability requirements for the required period. In an effort to avoid repayment of the entire initial HOME investment, the state of Colorado requested to substitute 2 one-bedroom units in another property which was not federally subsidized, at rents significantly below the HOME maximum rent for the area. The proposed units were found to be an acceptable, comparable unit substitution in lieu of repayment which also advanced HUD's efforts to preserve the availability of affordable housing in Colorado.	92.503(b)
12/12/03	OH	Waiver request granted, permitting the investment of additional HOME funds in a project after one year has passed since project completion. Due to chronic under-occupancy over a period of time and lack of improvements, the HOME-assisted property went through multiple sales and eventual foreclosure, despite the investment of additional funds by both the city and the owners. The subsequent purchaser was willing to rehabilitate and maintain all the HOME-assisted units as affordable units. The city's efforts to restore the viability of this project over several years, in light of the fact that the regulations permit the restrictions to lapse in the event of foreclosure, constitute good cause for a waiver. At HUD's request, the city will extend the period of affordability by five years although the additional funding requested in combination with the original investment does not trigger the longer affordability period.	92.502(d)(2)

Content current as of 10 February 2004

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