Icr 2502-0117

ICR 2502-0117.doc

Request for Acceptance of Changes in Approved Drawings and Specifications

OMB: 2502-0117

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Paperwork Reduction Act Submission

Please read the instruction before completing this form. For additional forms or assistance in completing this forms, contact your agency’s Paperwork Reduction Officer. Send two copies of this form, the collection instrument to be reviewed, the Supporting Statement, and any additional documentation to: Office of Information and Regulatory Affairs, Office of Management and Budget, Docket Library, Room 10102, 725 Seventeenth St. NW, Washington, DC 20503.

1. Agency/Subagency Originating Request:

U.S. Department of Housing and Urban Development

Office of Single Family Program Development


2. OMB Control Number:

a.2502-0117


b.   None

     

3. Type of information collection: (check one)

  1. New Collection

  2. Revision of a currently approved collection

  3. Extension of a currently approved collection

  4. Reinstatement, without change, of previously approved

collection for which approval has expired

  1. Reinstatement, with change, of previously approved collection

for which approval has expired

  1. Existing collection in use without an OMB control number

For b-f, note item A2 of Supporting Statement instructions.

4. Type of review requested: (check one)

  1. Regular

  2. Emergency - Approval requested by      

  3. Delegated

5. Small entities: Will this information collection have a significant economic impact on a substantial number of small entities?

Yes No

6. Requested expiration date:

a. Three years from approval date b. Other (specify)

     

7. Title:

Request for Acceptance of Changes in Approved Drawings and Specifications     



8. Agency form number(s): (if applicable)

HUD-92577



9. Keywords:

Housing, Mortgage, Drawings, Specifications



10. Abstract:

Builders request approval for changes to accepted drawings and specifications of proposed construction properties as required by homebuyers, or determined by the builder to increase market appeal. Builders submit the forms to lenders, who review them and submit them to HUD for approval.

11. Affected public: (mark primary with “P” and all others that apply with “X”)

a. Individuals or households e.   Farms

b. P Business or other for-profit f.   Federal Government

c.   Not-for-profit institutions g.   State, Local or Tribal Government

12. Obligation to respond: (mark primary with “P” and all others that apply with “X”)

a.   Voluntary

b. P Required to obtain or retain benefits

c. Mandatory

13. Annual reporting and recordkeeping hour burden:

a. Number of respondents 10,000

b. Total annual responses 10,000

Percentage of these responses collected electronically 100%

c. Total annual hours requested 5,000

d. Current OMB inventory 5,000

e. Difference (+,-) 0

f. Explanation of difference:

1. Program change:

2. Adjustment:      

14. Annual reporting and recordkeeping cost burden: (in thousands of dollars)

Do not include costs based on the hours in item 13.

a. Total annualized capital/startup costs $0.00

b. Total annual costs (O&M) $0.00

c. Total annualized cost requested $0.00

d. Total annual cost requested $0.00

e. Current OMB inventory $0.00

f. Explanation of difference:

1. Program change:      

2. Adjustment:      

15. Purpose of Information collection: (mark primary with “P” and all others that apply with “X”)

a. P Application for benefits e.   Program planning or management

b.   Program evaluation f.   Research

c.   General purpose statistics g.   Regulatory or compliance

d.   Audit

16. Frequency of recordkeeping or reporting: (check all that apply)

a. Recordkeeping b. Third party disclosure

c. Reporting:

1. On occasion 2. Weekly 3. Monthly

4. Quarterly 5. Semi-annually 6. Annually

7. Biennially 8. Other (describe)      


17. Statistical methods:

Does this information collection employ statistical methods?

Yes No


18. Agency contact: (person who can best answer questions regarding the content of this submission)

Name: Kenneth Walker

Phone: 202-708-2121 ext. 2073



19. Certification for Paperwork Reduction Act Submissions

On behalf of the U.S. Department of Housing and Urban Development, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9.

Note: The text of 5 CFR 1320.9, and the related provisions of 5 CFR 1320/8(b)(3) appears at the end of the instructions. The certification is to be made with reference to those regulatory provisions as set forth in the instructions.


The following is a summary of the topics, regarding the proposed collections of information that the certification covers:

  1. It is necessary for the proper performance of agency functions;

  2. It avoids unnecessary duplication;

  3. It reduces burden on small entities;

  4. It uses plain, coherent, and unambiguous terminology that is understandable to respondents;

  5. Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

  6. It indicates the retention periods for recordkeeping requirements;

  7. It informs respondents of the information called for under 5 CFR 1320.8(b)(3):

  1. Why the information is being collected;

  2. Use of the information;

  3. Burden estimate;

  4. Nature of response (voluntary, required for a benefit, or mandatory);

  5. Nature and extent of confidentiality; and

  6. Need to display currently valid OMB control number;

  1. It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to collected (see note in item 19 of the instructions);

  2. It uses effective and efficient statistical survey methodology; and

  3. It makes appropriate use of information technology.


If you are unable to certify compliance with any of these provisions, identify the item below and explain the reason in item 18 of the Supporting Statement.

     


Signature of Program Official:




X

Kevin B. Perkins, Director, Organizational Policy, Planning and Analysis Division, HROA

Date:

Supporting Statement for Paperwork Reduction Act Submissions


Request for Acceptance of Changes in Approved Drawings and Specifications

OMB Control Number 2502-0117

(Form HUD-92577)


A. Justification


1. This request seeks OMB approval on information collected in connection with a builder’s request for Acceptance of Changes in Approved Drawing and Specifications. Form HUD-92577 (OMB 2502-0117) is submitted to HUD by mortgagee’s requesting changes on construction documents (plans and specifications). In the administration of HUD’s single family home mortgage insurance programs, FHA evaluates acceptability of both the property and the homebuyer to make certain that FHA’s risk is adequately protected before home mortgage insurance is provided. An integral part of the mortgage insurance process is the determination of the eligibility of a property for a conditional commitment. An appraisal is made to evaluate the acceptability of the property for mortgage security and, if the property is found acceptable, to determine the maximum insurable mortgage amount. The issuance of the conditional commitment obligates HUD to insure a mortgage on a property if an eligible buyer is found. For proposed construction cases, HUD is required to inspect the construction of the property (usually three inspections) to ensure compliance with the conditions of the commitment. Section 203(b) (7) of the National Housing Act authorizes the Secretary to use his/her discretion with respect to the handling of insurance, repairs, and alterations. The attached regulations are found at 24 CFR 203.17, 24 CFR 203.18, and 24 CFR 293.18a-18d.



2. Builders submit form HUD-92577 to request changes to the HUD-accepted drawings and specifications for proposed construction as required by homebuyers, or, as determined by the builder, to make the dwellings appeal to a broader segment of the market. The builder submits the form to the mortgagee for review. The mortgagee submits the form to HUD. The information collection describes the changes and indicates the cost of each proposed change. The borrower, builder/sponsor, and mortgagee certify the changes involved.



The form is also a record of HUD’s approval. The acceptance of the requested changes amends the approved exhibits and may affect the value shown on the HUD commitment.


HUD does not have any alternative procedure to expedite processing.


3. The collection of the requested information can be submitted electronically through the Department’s Internet based FHA Connection. All other documentation is included in the retained/submitted within the standard case binder. Automation of that process will be managed under the basic FHA mortgage management process.


4. There is no duplication of information. The information is not collected elsewhere by HUD.


5. Some builders may be considered small businesses. However, there is no adverse impact on them as a result of this collection. The information collection describes the changes and indicates the cost of each change, and is the minimum needed to prevent risk to the insurance fund. Similar information would be required in connection with loans that are not FHA-insured.


6. The information requested from the mortgagee is the only means of obtaining a legal agreement that consistently provides the HUD reviewer with the necessary facts and evidence of compliance with HUD’s requirements. There exists no other feasible method to protect the Department from risk. Failure to require an agreement between HUD and the mortgagee would create considerable problems for the Department from a risk perspective and for the home-buying public.


7. There are no special circumstances associated with the collection of this information. The information collected pertains only to the specific property on which HUD insured a mortgage. The information is obtained by the builder during the development of the property and reviewed by the Direct Endorsement Lender’s underwriter. The information is part of the underwriter’s package for the mortgage and is not confidential or sensitive.


8. In accordance with 5 CFR 1320.8(d), the agency’s notice soliciting public comments was announced in the Federal Register on March 22, 2006 (Vol. 71, No. 55, page 14537-14538). No public comments were received. Consulted with HUD staff from the HUD’s Homeownership Centers on the Request for Acceptance of Changes in Approved Drawings and Specifications, and availability of data and frequency of collection. No changes were recommended or requested.

  1. Willard Cowan Atlanta, GA Homeownership Center phone number (404) 331-5001 Ext 2723

  2. Lisa Williams Philadelphia, PA Homeownership Center phone number (215) 861-7525

  3. Ronald Smith Santa Ana, CA Homeownership Center Phone number ( 714) 796-1200 Ext 3432


9. There are no payments or gifts to respondents involved.


10. The information is part of the underwriting package and is not confidential.


11. There are no questions of a sensitive nature involved in this collection.



12. The builder will average about 20 minutes to complete the Request For Acceptance of Changes in Approved Drawings and Specifications (form HUD-92577) using information and data the builder provides before the start of construction. The lender’s review of the information is estimated to require approximately 10 minutes. The total burden per response is about 30 minutes.


Information Collection

Number of Respondents

Frequency of Response

Responses

Per Annum

Burden Hour Per Response

Annual Burden Hours

Hourly Cost Per Response

Annual Cost


HUD-92577

10,000

1

10,000

.50

5,000

$35.00

$175,000

*The hourly cost is based on the builder and lender’s completion and review of form HUD-92577


13. There are no additional costs to the respondents.


14. There are minimal costs to the Federal Government because the lender is responsible for reviewing the information. HUD’s review/approval takes only a few minutes.



Information Collection

Number of Respondents

Frequency of Response

Responses

Per Annum

Burden Hour Per Response

Annual Burden Hours

Hourly Cost Per Response

Annual Cost


HUD-92577

10,000

1

10,000

.03

300

$33.43

$10,029

*Estimated annual cost to the Federal Government assuming that a GS-12/Housing Program Specialist will review and process this information.



15. This is an extension of a currently approved information collection. There has been no change in the burden since the previous submission; the number of requests received has remained fairly constant over the last three years.



16. The results from this collection will not be published.


17. HUD is not seeking approval to avoid displaying the OMB expiration date.


18. There are no exceptions to the certification statement identified in item 19 of the OMB 83-I.


B. Collections of Information Employing Statistical Methods


The information collection does not employ statistical methods.




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OMB 83-I 10/95

File Typeapplication/msword
File TitlePaperwork Reduction Act Submission
AuthorWAYNE EDDINS
Last Modified Byh15356
File Modified2009-07-13
File Created2008-12-10

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