Laws: Cases and Codes : U.S. Code : Title 42 : Section 3545


   
U.S. Code as of: 01/19/04
Section 3545. HUD accountability

    (a) Notice regarding assistance
      (1) Publication of notice of availability
        The Secretary shall publish in the Federal Register notice of
      the availability of any assistance under any program or
      discretionary fund administered by the Secretary.
      (2) Publication of application procedures
        The Secretary shall publish in the Federal Register a
      description of the form and procedures by which application for
      the assistance may be made, and any deadlines relating to the
      award or allocation of the assistance. Such description shall be
      designed to help eligible applicants to apply for such
      assistance.
      (3) Publication of selection criteria
        Not less than 30 days before any deadline by which applications
      or requests for assistance under any program or discretionary
      fund administered by the Secretary must be submitted, the
      Secretary shall publish in the Federal Register the criteria by
      which selection for the assistance will be made. Subject to
      section 1439 of this title, such criteria shall include any
      objective measures of housing need, project merit, or efficient
      use of resources that the Secretary determines are appropriate
      and consistent with the statute under which the assistance is
      made available.
      (4) Documentation of decisions
        (A) The Secretary shall award or allocate assistance only in
      response to a written application in a form approved in advance
      by the Secretary, except where other award or allocation
      procedures are specified in statute.
        (B) The Secretary shall ensure that documentation and other
      information regarding each application for assistance is
      sufficient to indicate the basis on which any award or allocation
      was made or denied. The preceding sentence shall apply to - 
          (i) any application for an award or allocation of assistance
        made by the Secretary to a State, unit of general local
        government, or other recipient of assistance, and
          (ii) any application for a subsequent award or allocation of
        such assistance by such State, unit of general local government
        or other recipient.

        (C)(i) The Secretary shall notify the public of all funding
      decisions made by the Department. The Secretary shall require any
      State or unit of general local government to notify the public of
      the award or allocation of such funding to subsequent recipients.
      The notification shall include the following elements for each
      funding decision:
          (I) the name and address of each funding recipient;
          (II) the name or other means of identifying the project,
        activity, or undertaking for each funding recipient;
          (III) the dollar amount of the funding for each project,
        activity, or undertaking;
          (IV) the citation to the statutory, regulatory, or other
        criteria under which the funding decision was made; and
          (V) such additional information as the Secretary deems
        appropriate for a clear and full understanding of the funding
        decision.

        (ii) The notification referred to in clause (i) of this
      subsection shall be published as a Notice in the Federal Register
      at least quarterly.
        (iii) For purposes of this subparagraph, the term "funding
      decision" means the decision of the Secretary to make available
      grants, loans, or any other form of financial assistance to an
      individual or to an entity, including (but not limited to) a
      State or local government or agency thereof (including a public
      housing agency), an Indian tribe, or a nonprofit organization,
      under any program administered by the Department that provides,
      by statute, regulation, or otherwise, for the competitive
      distribution of financial assistance.
        (D) The Secretary shall publish a notice in the Federal
      Register at least annually informing the public of the allocation
      of assistance under section 1439(d)(1)(A) of this title.
        (E) The Secretary shall ensure that each application and all
      related documentation and other information referred to in
      subparagraph (B), including each letter of support, is readily
      available for public inspection for a period of not less than 5
      years, beginning not less than 30 days following the date on
      which the award or allocation is made.
      (5) Emergency exception
        The Secretary may waive the requirements of paragraphs (1),
      (2), and (3) if the Secretary determines that the waiver is
      required for appropriate response to an emergency. Not less than
      30 days after providing a waiver under the preceding sentence,
      the Secretary shall publish in the Federal Register the
      Secretary's reasons for so doing.
    (b) Disclosures by applicants
      The Secretary shall require the disclosure of information with
    respect to any application for assistance within the jurisdiction
    of the Department for a project application submitted to the
    Secretary or to any State or unit of general local government by
    any applicant who has received or, in the determination of the
    Secretary, can reasonably be expected to receive assistance within
    the jurisdiction of the Department in excess of $200,000 in the
    aggregate during any fiscal year or such lower amount as the
    Secretary may establish by regulation. Such information shall
    include the following:
      (1) Other government assistance
        Information regarding any related assistance from the Federal
      Government, a State, or a unit of general local government, or
      any agency or instrumentality thereof, that is expected to be
      made available with respect to the project or activities for
      which the applicant is seeking assistance. Such related
      assistance shall include but not be limited to any loan, grant,
      guarantee, insurance, payment, rebate, subsidy, credit, tax
      benefit, or any other form of direct or indirect assistance.
      (2) Interested parties
        The name and pecuniary interest of any person who has a
      pecuniary interest in the project or activities for which the
      applicant is seeking assistance. Persons with a pecuniary
      interest in the project or activity shall include but not be
      limited to any developers, contractors, and consultants involved
      in the application for assistance or the planning, development,
      or implementation of the project or activity. For purposes of
      this paragraph, residency of an individual in housing for which
      assistance is being sought shall not, by itself, be considered a
      pecuniary interest.
      (3) Expected sources and uses
        A report satisfactory to the Secretary of the expected sources
      and uses of funds that are to be made available for the project
      or activity.
    (c) Updating of disclosure
      During the period when an application is pending or assistance is
    being provided, the applicant shall update the disclosure required
    under the previous subsection within 30 days of any substantial
    change.
    (d) Limitation of assistance
      The Secretary shall certify that assistance within the
    jurisdiction of the Department to any housing project shall not be
    more than is necessary to provide affordable housing after taking
    account of assistance described in subsection (b)(1) of this
    section. The Secretary shall adjust the amount of assistance
    awarded or allocated to an applicant to compensate in whole or in
    part, as the Secretary determines to be appropriate, for any
    changes reported under subsection (c) of this section.
    (e) Administrative remedies
      If the Secretary receives or obtains information providing a
    reasonable basis to believe that a violation of subsection (b) or
    (c) of this section has occurred, the Secretary shall - 
        (1) in the case of a selection that has not been made,
      determine whether to terminate the selection process or take
      other appropriate actions; and
        (2) in the case of a selection that has been made, determine
      whether to - 
          (A) void or rescind the selection, subject to review and
        determination on the record after opportunity for a hearing;
          (B) impose sanctions upon the violator, including debarment,
        subject to review and determination on the record after
        opportunity for a hearing;
          (C) recapture any funds that have been disbursed;
          (D) permit the violating applicant selected to continue to
        participate in the program; or
          (E) take any other actions that the Secretary considers
        appropriate.

    The Secretary shall publish in the Federal Register a descriptive
    statement of each determination made and action taken under this
    subsection.
    (f) Civil money penalties
      (1) In general
        Whenever any person knowingly and materially violates any
      provision of subsection (b) or (c) of this section, the Secretary
      may impose a civil money penalty on that person in accordance
      with the provisions of this section. This penalty shall be in
      addition to any other available civil remedy or any available
      criminal penalty, and may be imposed whether or not the Secretary
      imposes other administrative sanctions.
      (2) Amount of penalty
        The amount of the penalty, as determined by the Secretary, may
      not exceed $10,000 for each violation.
    (g) Agency procedures
      (1) In general
        The Secretary shall establish standards and procedures
      governing the imposition of civil money penalties under
      subsection (f) of this section. These standards and procedures - 
          (A) shall provide for the Secretary to make the determination
        to impose the penalty or to use an administrative entity to
        make the determination;
          (B) shall provide for the imposition of a penalty only after
        the person has been given an opportunity for a hearing on the
        record; and
          (C) may provide for review by the Secretary of any
        determination or order, or interlocutory ruling, arising from a
        hearing.

      If no hearing is requested within 15 days of receipt of the
      notice of opportunity for hearing, the imposition of the penalty
      shall constitute a final and unappealable determination. If the
      Secretary reviews the determination or order, the Secretary may
      affirm, modify, or reverse that determination or order. If the
      Secretary does not review the determination or order, the
      determination or order shall be final.
      (2) Factors in determining amount of penalty
        In determining the amount of a penalty under subsection (f) of
      this section, consideration shall be given to such factors as the
      gravity of the offense, ability to pay the penalty, injury to the
      public, benefits received, deterrence of future violations, and
      such other factors as the Secretary may determine in regulations
      to be appropriate.
      (3) Reviewability of imposition of a penalty
        The Secretary's determination or order imposing a penalty under
      subsection (f) of this section shall not be subject to review,
      except as provided in subsection (h) of this section.
    (h) Judicial review of agency determination
      (1) In general
        After exhausting all administrative remedies established by the
      Secretary under subsection (g)(1) of this section, a person
      against whom the Secretary has imposed a civil money penalty
      under subsection (f) of this section may obtain a review of the
      penalty and such ancillary issues as may be addressed in the
      notice of determination to impose a penalty under subsection
      (g)(1)(A) of this section in the appropriate court of appeals of
      the United States, by filing in such court, within 20 days after
      the entry of such order or determination, a written petition
      praying that the order or determination of the Secretary be
      modified or be set aside in whole or in part.
      (2) Objections not raised in hearing
        The court shall not consider any objection that was not raised
      in the hearing conducted pursuant to subsection (g)(1) of this
      section unless a demonstration is made of extraordinary
      circumstances causing the failure to raise the objection. If any
      party demonstrates to the satisfaction of the court that
      additional evidence not presented at the hearing is material and
      that there were reasonable grounds for the failure to present
      such evidence at the hearing, the court shall remand the matter
      to the Secretary for consideration of such additional evidence.
      (3) Scope of review
        The decisions, findings, and determinations of the Secretary
      shall be reviewed pursuant to section 706 of title 5.
      (4) Order to pay penalty
        Notwithstanding any other provision of law, in any such review,
      the court shall have the power to order payment of the penalty
      imposed by the Secretary.
    (i) Action to collect penalty
      If any person fails to comply with the determination or order of
    the Secretary imposing a civil money penalty under subsection (f)
    of this section, after the determination or order is no longer
    subject to review as provided by subsections (g)(1) and (h) of this
    section, the Secretary may request the Attorney General of the
    United States to bring an action in an appropriate United States
    district court to obtain a monetary judgment against the person and
    such other relief as may be available. The monetary judgment may,
    in the court's discretion, include the attorneys' fees and other
    expenses incurred by the United States in connection with the
    action. In an action under this subsection, the validity and
    appropriateness of the Secretary's determination or order imposing
    the penalty shall not be subject to review.
    (j) Settlement by Secretary
      The Secretary may compromise, modify, or remit any civil money
    penalty which may be, or has been, imposed under this section.
    (k) Regulations
      The Secretary shall issue such regulations as the Secretary deems
    appropriate to implement this section.
    (l) Deposit of penalties
      The Secretary shall deposit all civil money penalties collected
    under this section into miscellaneous receipts of the Treasury.
    (m) Definitions
      For the purpose of this section - 
        (1) The term "Department" means the Department of Housing and
      Urban Development.
        (2) The term "Secretary" means the Secretary of Housing and
      Urban Development.
        (3) The term "person" means an individual (including a
      consultant, lobbyist, or lawyer), corporation, company,
      association, authority, firm, partnership, society, State, local
      government, or any other organization or group of people.
        (4) The term "assistance within the jurisdiction of the
      Department" includes any contract, grant, loan, cooperative
      agreement, or other form of assistance, including the insurance
      or guarantee of a loan, mortgage, or pool of mortgages.
        (5) The term "knowingly" means having actual knowledge of or
      acting with deliberate ignorance of or reckless disregard for the
      prohibitions under this section.
    (n) Effective date
      This section shall take effect on the date specified in
    regulations implementing this section that are issued by the
    Secretary after notice and public comment.



Previous [Notes] Next

Related Resources

Health Law Guide

Health Articles and Documents

Health Discussion

Ads by FindLaw