Proposed Rule2024-00073
Revisions to the Smoke Alarm Requirements in the Section 515 Rural Rental Housing and Section 514/516 Farm Labor Housing Direct Loan Programs
Primary source
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Published
January 8, 2024
Issuing agencies
Agriculture DepartmentRural Housing Service
Abstract
The Rural Housing Service (RHS or Agency), a Rural Development (RD) agency of the United States Department of Agriculture (USDA), proposes to amend its regulation to implement changes related to the smoke alarm requirements for properties that receive funding from the MFH Section 515 Rural Rental Housing and the Section 514/516 Farm Labor Housing Direct Loan and Grant programs. These proposed changes are intended to align the Agency's smoke alarm requirements with the new qualifying smoke alarm standards set forth in the Consolidated Appropriations Act of 2023 (Act). The Act requires each unit of federally assisted housing to contain hardwired or 10-year non- rechargeable, sealed, tamper-resistant, battery-powered smoke alarm devices.
Full Text
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<title>Federal Register, Volume 89 Issue 5 (Monday, January 8, 2024)</title>
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[Federal Register Volume 89, Number 5 (Monday, January 8, 2024)]
[Proposed Rules]
[Pages 892-894]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-00073]
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Proposed Rules
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains notices to the public of
the proposed issuance of rules and regulations. The purpose of these
notices is to give interested persons an opportunity to participate in
the rule making prior to the adoption of the final rules.
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Federal Register / Vol. 89, No. 5 / Monday, January 8, 2024 /
Proposed Rules
[[Page 892]]
DEPARTMENT OF AGRICULTURE
Rural Housing Service
7 CFR Part 3560
[Docket No. RHS-23-MFH-0014]
RIN 0575-AD35
Revisions to the Smoke Alarm Requirements in the Section 515
Rural Rental Housing and Section 514/516 Farm Labor Housing Direct Loan
Programs
AGENCY: Rural Housing Service, U.S. Department of Agriculture (USDA).
ACTION: Proposed rule.
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SUMMARY: The Rural Housing Service (RHS or Agency), a Rural Development
(RD) agency of the United States Department of Agriculture (USDA),
proposes to amend its regulation to implement changes related to the
smoke alarm requirements for properties that receive funding from the
MFH Section 515 Rural Rental Housing and the Section 514/516 Farm Labor
Housing Direct Loan and Grant programs. These proposed changes are
intended to align the Agency's smoke alarm requirements with the new
qualifying smoke alarm standards set forth in the Consolidated
Appropriations Act of 2023 (Act). The Act requires each unit of
federally assisted housing to contain hardwired or 10-year non-
rechargeable, sealed, tamper-resistant, battery-powered smoke alarm
devices.
DATES: Comments on the proposed rule must be received on or before
March 8, 2024.
ADDRESSES: Comments may be submitted electronically by the Federal
eRulemaking Portal: Go to <a href="https://www.regulations.gov">https://www.regulations.gov</a> and, in the
``Search Field'' box, labeled ``Search for dockets and documents on
agency actions,'' enter the following docket number: RHS-23-MFH-0014 or
the RIN 0575-AD35. To submit or view public comments, click the
``Search'' button, select the ``Documents'' tab, then select the
following document title: ``Revisions to the Smoke Alarm Requirements
in the Section 515 Rural Rental Housing and Section 514/516 Farm Labor
Housing Direct Loan Programs'' from the ``Search Results,'' and select
the ``Comment'' button. Before inputting your comments, you may also
review the ``Commenter's Checklist'' (optional). Insert your comments
under the ``Comment'' title, click ``Browse'' to attach files (if
available). Input your email address and select ``Submit Comment.''
Information on using <a href="http://Regulations.gov">Regulations.gov</a>, including instructions for
accessing documents, submitting comments, and viewing the docket after
the close of the comment period, is available through the site's
``FAQ'' link.
Other Information: Additional information about Rural Development
(RD) and its programs is available on the internet at <a href="https://www.rd.usda.gov">https://www.rd.usda.gov</a>. All comments will be available online for public
inspection at the Federal eRulemaking Portal (<a href="https://www.regulations.gov/">https://www.regulations.gov/</a>).
FOR FURTHER INFORMATION CONTACT: Barbara Chism, Multi-Family Housing
Asset Management Division, Rural Housing Service, 1400 Independence
Avenue SW, Washington, DC 20250-0782, Telephone: (202) 690-1436; Email:
<a href="/cdn-cgi/l/email-protection#b3f1d2c1d1d2c1d29dd0dbdac0def3c6c0d7d29dd4dcc5"><span class="__cf_email__" data-cfemail="15577467777467743b767d7c667855606671743b727a63">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION:
I. Background
The RHS, offers a variety of programs to build or improve housing
and essential community facilities in rural areas. RHS offers loans,
grants, and loan guarantees for single- and multi-family housing,
childcare centers, fire and police stations, hospitals, libraries,
nursing homes, schools, first responder vehicles and equipment, and
housing for farm laborers. RHS also provides technical assistance loans
and grants in partnership with non-profit organizations, Indian tribes,
State and Federal government agencies, and local communities.
Title V of the Housing Act of 1949 authorized the USDA to make
housing loans to farmers to enable them to provide habitable dwellings
for themselves or their tenants, lessees, sharecroppers, and laborers.
The USDA then expanded opportunities in rural areas, making housing
loans and grants to rural residents through the Single-Family Housing
(SFH) and Multi-Family Housing (MFH) Programs.
The RHS administers the MFH Section 515 Rural Rental Housing direct
loan program under 7 CFR part 3560, subpart B. The Section 515 program
employs a public-private partnership by providing subsidized loans at
an interest rate of one percent to developers to construct or renovate
affordable rental complexes in rural areas. This one percent loan keeps
the debt service on the property sufficiently low to support below-
market rents affordable to low-income tenants. Many of these projects
also utilize other Federal, State, and local funding sources and rental
subsidies such as HUD's Section 8 and low-income housing tax credit
proceeds.
The RHS also operates the MFH Farm Labor Housing direct loan and
grant programs under sections 514 and 516 set forth in 7 CFR part 3560,
subparts L and M. The MFH Farm Labor Housing programs provide low
interest loans and grants to provide housing for farmworkers. These
eligible farmworkers may either live and work at the borrower's farm,
including seasonal and migrant workers (``on-farm'') or they may live
away from the farm (``off-farm'').
Under the current regulation, borrowers are required to install and
maintain smoke alarms in all dwelling units, common use areas, and
other spaces in all residential buildings included as security for an
Agency loan. Borrowers must also ensure that smoke alarms are properly
located to protect tenant safety and the value of the Agency's asset.
Failure to maintain adequate smoke alarms may lead to injury of
persons, damage to property, or a non-monetary loan default.
II. Purpose of This Regulatory Action
On December 29, 2022, the President signed into law the
Consolidated Appropriations Act of 2023 (Pub. L. 117-328) (Act), which
incorporated The Public and Federally Assisted Housing Fire Safety Act
of 2022. This Act requires each unit and common use areas of federally
assisted housing to contain hardwired or 10-year non-rechargeable,
sealed, tamper-resistant battery-powered smoke alarm devices, as well
as other items. The Act modifies the Housing Act of 1949 to implement
these new smoke detector requirements for Section 515 Rural Rental
Housing programs and Section 514/516 Farm Labor Housing Direct Loan
Programs.
[[Page 893]]
Public Law 117-328, div. AA, title VI, sec. 601. The RHS's current
smoke alarm requirements in 7 CFR part 3560 for the MFH Direct Loan and
Grant Programs have been in place since February 24, 2005, and are
outdated. To achieve compliance with the new requirements set forth
under the Act, the Rural Housing Service (RHS) proposes to amend its
MFH Direct Loan and Grant program regulations, 7 CFR 3560.60 of subpart
B and 7 CFR 3560.103(a)(3)(xx) of subpart C.
Housing repair and replacement costs in the affordable housing
industry have been increasing at a steady rate due to economic changes
in the open market for labor and materials. Our stakeholders will
benefit from the proposed change through improved safety and prevention
of potential damage resulting from smoke and fire, as well as lessen
the potential for harm to visitors and residents.
This action is intended to: (1) align the smoke alarm requirements
with more stringent requirements for federally assisted housing
industry standards; (2) increase the safety of tenants and visitors at
our properties; (3) reduce the risk of losing available affordable
housing units in our rural communities due to uninhabitability caused
by smoke and fire damage as a result of outdated smoke alarm devices;
and (4) provide the Agency with additional protection from the loss of
its security value.
III. Summary of Changes
The proposed changes are as follows:
1. Add a new paragraph (e) to Sec. 3560.60 that cross-references
Sec. 3560.103(a)(3)(xx), which contains the new qualifying smoke alarm
requirements.
2. Revise Sec. 3560.103(a)(3)(xx) the language for smoke alarms to
include the new requirements for qualifying smoke alarms.
IV. Regulatory Information
Statutory Authority
The changes in this proposed rule are authorized under division AA,
title VI, section 601 of the Consolidated Appropriations Act, 2023. The
Rural Rental Housing program is authorized under sections 514(k),
515(m,), 516(c) of title V of the Housing Act of 1949, as amended; 42
U.S.C. 1480 et seq.; and implemented under 7 CFR part 3560.
Executive Order 12372, Intergovernmental Review of Federal Programs
These loans are subject to the provisions of Executive Order 12372,
which requires intergovernmental consultation with state and local
officials. RHS conducts intergovernmental consultations for each loan
in accordance with 2 CFR part 415, subpart C.
Executive Order 12866, Regulatory Planning and Review
This proposed rule has been determined to be non-significant and,
therefore, was not reviewed by the Office of Management and Budget
(OMB) under Executive Order 12866.
Executive Order 12988, Civil Justice Reform
This proposed rule has been reviewed under Executive Order 12988.
In accordance with this rulemaking: (1) Unless otherwise specifically
provided, all state and local laws that conflict with this rulemaking
will be preempted; (2) no retroactive effect will be given to this
rulemaking except as specifically prescribed in the rule; and (3)
administrative proceedings of the National Appeals Division of the
Department of Agriculture (7 CFR part 11) must be exhausted before
suing in court that challenges action taken under this rulemaking.
Executive Order 13132, Federalism
The policies contained in this proposed rule do not have any
substantial direct effect on States, on the relationship between the
National Government and the States, or on the distribution of power and
responsibilities among the various levels of government. This proposed
rule does not impose substantial direct compliance costs on state and
local governments; therefore, consultation with States is not required.
Executive Order 13175, Consultation and Coordination With Indian Tribal
Governments
This Executive order imposes requirements on RHS in the development
of regulatory policies that have tribal implications or preempt tribal
laws. RHS has determined that the proposed rule does not have a
substantial direct effect on one or more Indian tribe(s) or on either
the relationship or the distribution of powers and responsibilities
between the Federal Government and Indian tribes. Thus, this proposed
rule is not subject to the requirements of Executive Order 13175. If
tribal leaders are interested in consulting with RHS on this
rulemaking, they are encouraged to contact USDA's Office of Tribal
Relations or RD's Tribal Coordinator at: <a href="/cdn-cgi/l/email-protection#3b7a727a757b4e485f5a155c544d"><span class="__cf_email__" data-cfemail="5918101817192c2a3d38773e362f">[email protected]</span></a> to request such
a consultation.
Assistance Listing
The program affected by this regulation is listed in the Assistance
Listing Catalog (formerly Catalog of Federal Domestic Assistance) under
number 10.415--Rural Rental Housing Loans, 10.427--Rural Rental
Assistance Payments, 10.405--Farm Labor Housing Loans and Grants.
Civil Rights Impact Analysis
Rural Development has reviewed this proposed rule in accordance
with USDA Regulation 4300-004, Civil Rights Impact Analysis, to
identify any major civil rights impacts the proposed rule might have on
program participants on the basis of age, race, color, national origin,
sex, or disability. After review and analysis of the proposed rule and
available data, it has been determined that implementation of the
rulemaking will not adversely or disproportionately impact very low,
low- and moderate-income populations, minority populations, women,
Indian tribes, or persons with disability by virtue of their race,
color, national origin, sex, age, disability, or marital or familial
status. No major civil rights impact is likely to result from this
proposed rule.
E-Government Act Compliance
RHS is committed to complying with the E-Government Act by
promoting the use of the internet and other information technologies to
provide increased opportunities for citizen access to government
information, services, and other purposes.
National Environmental Policy Act
This document has been reviewed in accordance with 7 CFR part 1970,
subpart A, ``Environmental Policies.'' RHS determined that this action
does not constitute a major Federal action significantly affecting the
quality of the environment. In accordance with the National
Environmental Policy Act of 1969, Public Law 91-190, an Environmental
Impact Statement (EIS) is not required.
Paperwork Reduction Act
The information collection requirements contained in this
regulation have been approved by OMB and have been assigned OMB control
number 0575-0189. This proposed rule contains no new reporting and
recordkeeping requirements that would require approval under the
Paperwork Reduction Act of 1995 (44 U.S.C. chapter 35).
[[Page 894]]
Regulatory Flexibility Act
This proposed rule has been reviewed with regard to the
requirements of the Regulatory Flexibility Act (5 U.S.C. 601-612). The
undersigned has determined and certified by signature on this document
that this proposed rule will not have a significant economic impact on
a substantial number of small entities since this rulemaking action
does not involve a new or expanded program nor does it require any more
action on the part of a small business than required of a large entity.
Unfunded Mandates Reform Act (UMRA)
Title II of the UMRA, Public Law 104-4, establishes requirements
for Federal agencies to assess the effects of their regulatory actions
on state, local, and tribal governments and on the private sector.
Under section 202 of the UMRA, Federal agencies generally must prepare
a written statement, including cost-benefit analysis, for proposed and
final rules with ``Federal mandates'' that may result in expenditures
to state, local, or tribal governments, in the aggregate, or to the
private sector, of $100 million or more in any one year. When such a
statement is needed for a rule, section 205 of the UMRA generally
requires a Federal agency to identify and consider a reasonable number
of regulatory alternatives and adopt the least costly, more cost-
effective, or least burdensome alternative that achieves the objectives
of the rule.
This proposed rule contains no Federal mandates (under the
regulatory provisions of title II of the UMRA) for state, local, and
tribal governments or for the private sector. Therefore, this proposed
rule is not subject to the requirements of sections 202 and 205 of the
UMRA.
Non-Discrimination Statement Policy
Nondiscrimination Statement. In accordance with Federal civil
rights laws and U.S. Department of Agriculture (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, staff office; 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.usda.gov/sites/default/files/documents/ad-3027.pdf">https://www.usda.gov/sites/default/files/documents/ad-3027.pdf</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 SW, Washington, DC
20250-9410; or
(2) Fax: (833) 256-1665 or (202) 690-7442; or
(3) Email: <a href="/cdn-cgi/l/email-protection#661614090114070b480f0812070d03261315020748010910"><span class="__cf_email__" data-cfemail="6010120f0712010d4e090e14010b0520151304014e070f16">[email protected]</span></a>.
USDA is an equal opportunity provider, employer, and lender.
List of Subjects in 7 CFR Part 3560
Accounting, Administrative practice and procedure, Aged, Conflicts
of interest, Government property management, Grant programs--housing
and community development, Insurance, Loan programs--agriculture, Loan
programs--housing and community development, Low and moderate-income
housing, Migrant labor, Mortgages, Nonprofit organizations, Public
housing, Rent-subsidies, Reporting and recordkeeping requirements,
Rural areas.
For the reasons set forth in the preamble, Rural Housing Service
proposes to amend 7 CFR part 3560 as follows:
PART 3560--DIRECT MULTI-FAMILY HOUSING LOANS AND GRANTS
0
1. The authority citation for part 3560 continues to read as follows:
Authority: 42 U.S.C. 1480.
Subpart B--Direct Loan and Grant Origination
0
2. Amend Sec. 3560.60 by adding paragraph (e) to read as follows:
Sec. 3560.60 Design requirements.
* * * * *
(e) Applicable codes and standards. All housing and related
facilities must meet the qualifying smoke alarm requirements in Sec.
3560.103(a)(3)(xx).
Subpart C--Borrower Management and Operations Responsibilities
0
3. Amend Sec. 3560.103 by revising paragraph (a)(3)(xx) to read as
follows:
Sec. 3560.103 Maintaining housing projects.
(a) * * *
(3) * * *
(xx) Smoke alarms. The housing project must have qualifying smoke
alarms which are installed in accordance with applicable codes and
standards as set forth in sections 514(k), 515(m), and 516(c) of the
Housing Act of 1949 (42 U.S.C. 1471 et seq.), in each level and in or
near each sleeping area in such dwelling unit, including in basements
but excepting crawl spaces and unfinished attics, and in each common
area in a project containing such a dwelling unit.
(A) Dwelling units built before December 29, 2022, and not
substantially rehabilitated after December 29, 2022, smoke alarms must:
(1) Be hardwired; or
(2) Use 10-year non rechargeable, nonreplaceable primary batteries,
be sealed, tamper resistant, and contain silencing means; and
(3) Provide notification for persons with hearing loss as required
by applicable standards set forth in sections 514(k), 515(m), and
516(c) of the Housing Act of 1949 (42 U.S.C. 1471 et seq.)
(B) Dwelling units built or substantially rehabilitated after
December 29, 2022; smoke alarms must be hardwired.
* * * * *
Joaquin Altoro,
Administrator, Rural Housing Service.
[FR Doc. 2024-00073 Filed 1-5-24; 8:45 am]
BILLING CODE 3410-XV-P
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