Rule2022-26434

Temporary Change in the Tenant Recertification Requirements

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
December 6, 2022
Effective
January 1, 2023

Issuing agencies

Agriculture DepartmentRural Housing Service

Abstract

The Rural Housing Service (RHS or the Agency), a Rural Development (RD) agency of the United States Department of Agriculture (USDA), is announcing a temporary exception to the tenant recertification requirements for the Section 515 Rural Rental Housing (RRH) Program and Section 514 Off-Farm Labor Housing (FLH) Program.

Full Text

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<title>Federal Register, Volume 87 Issue 233 (Tuesday, December 6, 2022)</title>
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[Federal Register Volume 87, Number 233 (Tuesday, December 6, 2022)]
[Rules and Regulations]
[Pages 74502-74503]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-26434]


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DEPARTMENT OF AGRICULTURE

Rural Housing Service

7 CFR Part 3560

[Docket No. RHS-22-MFH-0024]


Temporary Change in the Tenant Recertification Requirements

AGENCY: Rural Housing Service, USDA.

ACTION: Notice.

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SUMMARY: The Rural Housing Service (RHS or the Agency), a Rural 
Development (RD) agency of the United States Department of Agriculture 
(USDA), is announcing a temporary exception to the tenant 
recertification requirements for the Section 515 Rural Rental Housing 
(RRH) Program and Section 514 Off-Farm Labor Housing (FLH) Program.

DATES: The temporary exception to the tenant recertification 
requirements will be effective on January 1, 2023, and expire on 
December 31, 2023.

FOR FURTHER INFORMATION CONTACT: Michael Resnik, Acting Director, 
Multi-Family Housing Asset Management Division, RHS, U.S. Department of 
Agriculture via email: <a href="/cdn-cgi/l/email-protection#d0bdb9b3b8b1b5bcfea2b5a3beb9bb90a5a3b4b1feb7bfa6"><span class="__cf_email__" data-cfemail="274a4e444f46424b09554254494e4c675254434609404851">[email&#160;protected]</span></a>, or by phone 202-430-
3114.

SUPPLEMENTARY INFORMATION: 

Authority

    Section 515 Rural Rental Housing Direct Loans Program (42 U.S.C. 
1485--Authorized under the Housing Act of 1949 (Pub. L. 81-171), and 
Public Law 102-550. Section 514 Farm Labor Housing Direct Loans and 
Grants Program (42 U.S.C. 1484)--Authorized under Title V of the 
Housing Act of 1949 (Pub. L. 81-171).

Background

    The RHS is committed to helping improve the economy and quality of 
life in rural areas by offering a variety of programs. The Agency 
offers loans, grants, and loan guarantees to help create jobs, expand 
economic development, and provide critical infrastructure investments. 
RHS also provides technical assistance loans and grants by partnering 
with agricultural producers, cooperatives, Indian tribes, non-profits, 
and other local, state, and Federal agencies. Multifamily Housing (MFH) 
assists rural property owners through loans, loan guarantees, and 
grants that enable owners to develop and rehabilitate properties for 
low-income, elderly, and disabled individuals and families as well as 
domestic farm laborers.
    Section 514 direct loans are provided to eligible borrowers for the 
development of on-farm or off-farm housing for farm laborers. Loans may 
be used to buy, build, improve, or repair housing (including 
furnishings and related facilities) for farm laborers. The Section 515 
multifamily housing program offers direct loans for the development of 
new, or rehabilitation of existing, rental housing for low-income 
individuals and families in rural areas.
    On October 13, 2022, the Social Security Administration announced 
an 8.7% increase in Social Security and Supplemental Security Income 
(SSI) benefits in 2023. According to the Social Security 
Administration, Social Security benefits will increase by an average of 
more than $140 per month starting in January 2023. This increase is due 
in part to the current inflationary pressures on the economy and a 
demanding labor market that has dramatically increased salaries, also 
seen in HUD's average increase of 11-12% in Area Median Income this 
year.
    The regulation at 7 CFR 3560.152(e) requires, among other things, 
that tenant

[[Page 74503]]

households must be recertified and must execute a tenant certification 
form at least annually or whenever a change in household income of $100 
or more per month occurs.
    The 8.7% cost-of-living adjustment (COLA) will begin with benefits 
payable in January 2023. As this would require recertifications for 
most Social Security recipients, the Agency is temporarily waiving the 
recertification requirement for tenants whose household income, 
regardless of income type, has increased by $100 or more, but less than 
$200. Accordingly, during the exception period, tenants will not be 
required to execute a tenant certification form unless their household 
income changes by $200 or more per month. This temporary change also 
aligns the MFH program with the current Housing and Urban Development 
(HUD) regulatory requirement. This is a temporary waiver that will be 
in place through calendar year 2023, expiring on December 31, 2023.

Temporary Change in Tenant Recertification Requirements

    Pursuant to 7 CFR 3560.8, the RHS Administrator may make an 
exception to any provision of part 3560 or address any omissions 
provided that the exception is consistent with the applicable statute, 
does not adversely affect the interest of the Federal Government, and 
does not adversely affect the accomplishment of the purposes of the MFH 
programs or application of the requirement would result in undue 
hardship on the tenants. To alleviate the burden of unnecessary work 
for management agents and tenants, the following guidance is being 
provided for interim tenant certifications:
    The Agency is temporarily waiving the recertification requirement 
for tenants whose household income has changed by $100 or more, but 
less than $200 per month. During the period of the waiver, tenant 
households must be recertified and must execute a tenant certification 
form at least annually or whenever a change in household income of $200 
or more per month occurs.
    This temporary exception is effective January 1, 2023, and will 
expire on December 31, 2023.
    The requirement that borrower must recertify for changes of $50 per 
month, if the tenant requests that such a change be made, is still in 
effect.
    This exception does not apply to, or change the requirements for, 
annual renewal certifications.
    Agency Field staff will be advised to provide a copy of this notice 
to all borrowers and management agents. Through the provided 
notification, borrowers and management agents will be instructed to 
provide a written copy of the notice to all tenants immediately, 
including posting the notice at each property.

Paperwork Reduction Act

    The temporary exception to tenant recertification requirements 
contains no new reporting or recordkeeping burdens under OMB control 
number 0575-0189 that would require approval under the Paperwork 
Reduction Act of 1995 (44 U.S.C. Chapter 35).

Non-Discrimination Statement

    In accordance with Federal civil rights laws and USDA civil rights 
regulations and policies, the USDA, its Mission Areas, agencies, staff 
offices, employees, and institutions participating in or administering 
USDA programs are prohibited from discriminating based on race, color, 
national origin, religion, sex, gender identity (including gender 
expression), sexual orientation, disability, age, marital status, 
family/parental status, income derived from a public assistance 
program, political beliefs, or reprisal or retaliation for prior civil 
rights activity, in any program or activity conducted or funded by USDA 
(not all bases apply to all programs). Remedies and complaint filing 
deadlines vary by program or incident.
    Program information may be made available in languages other than 
English. Persons with disabilities who require alternative means of 
communication to obtain program information (e.g., Braille, large 
print, audiotape, American Sign Language) should contact the 
responsible Mission Area, agency, or staff office; the USDA TARGET 
Center at (202) 720-2600 (voice and TTY); or the Federal Relay Service 
at (800) 877-8339.
    To file a program discrimination complaint, a complainant should 
complete a Form AD-3027, USDA Program Discrimination Complaint Form, 
which can be obtained online at <a href="https://www.ascr.usda.gov/complaint_filing_cust.html">https://www.ascr.usda.gov/complaint_filing_cust.html</a>, from any USDA office, by calling (866) 632-
9992, or by writing a letter addressed to USDA. The letter must contain 
the complainant's name, address, telephone number, and a written 
description of the alleged discriminatory action in sufficient detail 
to inform the Assistant Secretary for Civil Rights (ASCR) about the 
nature and date of an alleged civil rights violation. The completed AD-
3027 form or letter must be submitted to USDA by:
    (1) Mail: U.S. Department of Agriculture Office of the Assistant 
Secretary for Civil Rights 1400 Independence Avenue, Washington, DC 
20250-9410; or (2) Fax: (833) 256-1665 or (202) 690-7442; or (3) Email: 
<a href="/cdn-cgi/l/email-protection#6a3a18050d180b074423041e0b010f2a1f190e0b440d051c"><span class="__cf_email__" data-cfemail="2272504d4550434f0c6b4c5643494762575146430c454d54">[email&#160;protected]</span></a>.

Jamal Habibi,
Acting Administrator, Rural Housing Service.
[FR Doc. 2022-26434 Filed 12-5-22; 8:45 am]
BILLING CODE 3410-XV-P


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Indexed from Federal Register on December 6, 2022.

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