30 Day

Federal Register / Vol. 85, No. 239 / Friday, December 11, 2020 / Notices
(3) Ways to enhance the quality,
utility, and clarity of the information to
be collected; and
(4) Ways to minimize the burden of
the collection of information on those
who are to respond; including through
the use of appropriate automated
collection techniques or other forms of
information technology, e.g., permitting
electronic submission of responses.
HUD encourages interested parties to
submit comment in response to these
questions.
C. Authority
Section 3507 of the Paperwork
Reduction Act of 1995, 44 U.S.C.
Chapter 35.
John Gibbs,
Principal Deputy Assistant Secretary for
Community Planning and Development.
[FR Doc. 2020–27273 Filed 12–10–20; 8:45 am]
BILLING CODE 4210–67–P

DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT
[Docket No. FR–7024–N–50]

30-Day Notice of Proposed Information
Collection: COVID19 HUD Contingency
Plan for HUD Multifamily Rental Project
Closing Documents; OMB Control No.:
2502–0618
Office of the Chief Information
Officer, HUD.
ACTION: Notice.
AGENCY:

HUD has submitted the
proposed information collection
requirement described below to the
Office of Management and Budget
(OMB) for review, in accordance with
the Paperwork Reduction Act. The
purpose of this notice is to allow for an
additional 30 days of public comment.
DATES: Comments Due Date: January 11,
2021.
ADDRESSES: Interested persons are
invited to submit comments regarding
this proposal. Written comments and
recommendations for the proposed
information collection should be sent
within 30 days of publication of this
notice to www.reginfo.gov/public/do/
Start Printed Page 15501PRAMain. Find
this particular information collection by
selecting ‘‘Currently under 30-day
Review—Open for Public Comments’’ or
by using the search function.
FOR FURTHER INFORMATION CONTACT:
Colette Pollard, Reports Management
Officer, QDAM, Department of Housing
and Urban Development, 451 7th Street
SW, Washington, DC 20410; email
Colette Pollard at Colette.Pollard@
hud.gov or telephone 202–402–3400.

jbell on DSKJLSW7X2PROD with NOTICES

SUMMARY:

VerDate Sep<11>2014

23:25 Dec 10, 2020

Jkt 253001

Persons with hearing or speech
impairments may access this number
through TTY by calling the toll-free
Federal Relay Service at (800) 877–8339.
This is not a toll-free number. Copies of
available documents submitted to OMB
may be obtained from Ms. Pollard.
SUPPLEMENTARY INFORMATION: This
notice informs the public that HUD is
seeking approval from OMB for the
information collection described in
Section A. The Federal Register notice
that solicited public comment on the
information collection for a period of 60
days was published on September 4,
2020 at 85 FR 55312.
A. Overview of Information Collection
Title of Information Collection:
COVID19 HUD Contingency Plan for
HUD Multifamily Rental Project Closing
Documents.
OMB Approval Number: 2502–0618.
OMB Expiration Date: 12/32/2020.
Type of Request: Revision of a
currently approved collection.
Form Numbers: HUD–5985 & HUD–
5960.
Respondents: Business or other forprofit, Not-for-profit institutions, State,
Local or Tribal Government.
Estimated Number of Respondents:
612.
Estimated Number of Responses:
1,224.
Frequency of Response: Twice per
annum.
Average Hours per Response: 1.00
hour [0.50 x 2 = 1 hour].
Total Estimated Burdens: 1,224.
Description of the need for the
information and proposed use: This is a
new collection based on situational
conditions relating to the COVID–19
Coronavirus outbreak and the
Presidential declaration that began a
national emergency. This new PRA
collection will serve as the authority for
any new or future changes or revisions
to multifamily programs impacted by
COVID–19 or related pandemics.
The Lender’s Certificate, HUD–92434,
establishes the conditions, which the
Lender agrees to abide by in
consideration of HUD’s commitment to
FHA-insure mortgages, and by which
the Lender certifies that the conditions
have been fulfilled to date, including
any work done prior to endorsement of
the Note that has been approved by
HUD in writing, and all HUD imposed
conditions that have been met with
respect to such work. The information
collection requirements contained in the
Lender’s Certificate are to oversee the
parties’ compliance with all applicable
legal requirements and therefore ensure
protection of the FHA insurance fund.
The HUD–92434M is required by the

PO 00000

Frm 00146

Fmt 4703

Sfmt 4703

80135

Closing Checklists via the Firm
Commitment (Housing Notice 2018–03)
and per the fact that the underlying
forms contemplate hardcopy submission
(since HUD historically has not
accepted electronic submission of
documents for closing purposes). The
Lender’s Certification Regarding:
Electronic Submission of Closing
Documents is a modification of the
HUD–92434M that will set the Office of
General Counsel’s (‘‘OGC’’) temporary
uniform electronic closing protocols
until normal closing can resume after
the COVID–19 Pandemic.
Relating to the current COVID–19
Coronavirus outbreak and the President
declaring a national emergency the
Department of Housing and Urban
Development (‘‘HUD’’) and its offices
remain open for business at this time,
many are now engaged in full-time
telework. It is therefore prudent and
appropriate for the OGC, in
collaboration with Multifamily to
establish protocols, rules, and
procedures that best ensure continuity
of operations in the event of an
extended closure of a specific division,
regional or field office, or the
determination that OGC in its entirety
should work remotely. Pursuant to the
March 16, 2020 HUD Memorandum
issued for all Regional Counsel and
Deputy Regional Counsel, all Associate
Regional Counsel for Programs and all
OGC Closing Attorneys, set forth
protocols and best practices for the
continued provision of legal services by
HUD Closing Attorneys while working
from home or from another remote
location. Also included in the
memorandum are suggestions that may
be shared with outside counsel to
facilitate the work being done remotely
by OGC attorneys. Therefore, Regional
Counsel will ensure that the temporary
protocols set forth in the March 16, 2020
memorandum are adopted and applied
consistently across the regional and
field offices within their purview. When
the pandemic subsides and OGC
resumes normal closing operations
consistently across the country, HUD
will reconsider the temporary protocols
in this memorandum. OGC attorney
protocols for review and approval of
draft closing documents must rely on
electronic transmission of closing
documents in lieu of hard copies in
performing their initial reviews. This
approach will ensure the continuation
of reviews even if our external partners
are unable to physically transmit the
volume of paper documents needed at
this stage. While providing increased
flexibility to lenders in submitting
closing documents, this protocol does

E:\FR\FM\11DEN1.SGM

11DEN1

jbell on DSKJLSW7X2PROD with NOTICES

80136

Federal Register / Vol. 85, No. 239 / Friday, December 11, 2020 / Notices

not authorize any additional substantive
modifications to the closing process
without approval of the appropriate
Regional Counsel and the Office of
Insured Housing in Headquarters. Draft
closing submission will remain
consistent with the approach of
Multifamily Housing and OGC will
accept draft closing packages in fully
electronic form.
Respondents estimation for the
Escrow Agreement for Deferred Repairs
& Debt Service—223(f)—(one closing):
Estimated Number of Respondents:
330.
Estimated Number of Responses: 330.
Frequency of Response: Once per
annum.
Average Hours per Response: .50
hours.
Total Estimated Burdens: 165.
Description of the need for the
information and proposed use: The form
Escrow Agreement for Deferred Repairs
& Debt Service—223(f) (‘‘Debt Service
Escrow Agreement’’), sets the terms and
conditions between the Borrower and
Lender and provides for the
establishment of an escrow by the
Borrower as security for completion of
non-critical deferred repairs. Such
escrow also serves as security for HUD’s
insurance of the loan. The agreement
provides for prior approval of HUD for
certain actions to be taken by the
Borrower or Lender. The information
collection requirements contained in
Debt Service Escrow Agreement are to
oversee the parties’ compliance with all
applicable legal requirements and
therefore ensure protection of the FHA
insurance fund.
The global pandemic relating to the
COVID–19 Emergency has disrupted the
U.S. economy with significantly
increased unemployment and overall
economic instability. This instability
has carried over to real estate markets in
general, including multifamily
commercial markets. During these
challenging times, HUD remains open
for business and will continue as an
active participant in sourcing new
construction and refinance debt through
its mortgage insurance programs. At the
same time, HUD has reevaluated its
underwriting requirements, particularly
for market rate refinance transactions
that may now experience increased
vacancy, rent collection losses and
income disruption both in the near and
long term. Section 207 of the National
Housing Act provides that no mortgage
shall be acceptable for insurance unless
the Secretary finds that the project is
economically sound, and the MAP
Guide permits specific mitigants to be
employed to reduce risk for transactions
currently in process but yet to receive a

VerDate Sep<11>2014

23:25 Dec 10, 2020

Jkt 253001

Firm Commitment to insure. These
mitigants include but are not limited to
the requirement of a Debt Service
Reserve (DSR) for Section 223(f)
transactions to offset anticipated
operating losses post endorsement. To
address risk and/or changed economic
circumstances for transactions that have
been issued a commitment to insure but
have yet to endorse, HUD includes
language in the Firm Commitment
affirming that no material adverse
change (MAC) has occurred between the
issuance of the commitment and
endorsement. Accordingly, HUD has
taken the position that the impact of the
COVID–19 Emergency has resulted in a
material change in most, if not all, real
estate markets and therefore, HUD will
require mitigants to offset this
additional risk. Accordingly, this form
provides clarification and instructions
to HUD staff describing additional
mitigants that may be included in the
Firm Commitment for Section 223(f)
loans that are in processing, as well as
for those projects for which a Firm
Commitment has been issued.
Revisions to the OMB approved Form
HUD–92476.1M is the temporary
Escrow Agreement for Deferred Repairs
& Debt Service—223(f). This form does
not permanently replace the HUD–
92476.1M. The revised escrow, while
based on the HUD–92476.1M, is a
separate document for temporary use
during the COVID–19 emergency
pursuant to Mortgagee Letter 2020–11
issued April 10, 2020. The temporary
Escrow Agreement for Deferred Repairs
& Debt Service—223(f) Form will
remain in effect until such time as HUD
determines that the real estate markets
that have been negatively affected by the
COVID–19 Emergency have stabilized
and additional mitigants for Section
223(f) transactions are no longer
required.
This new collection can be used to
address future changes to multifamily
programs or processes that may arise
from impacts due to the COVID19
pandemic.
B. Solicitation of Public Comment
This notice is soliciting comments
from members of the public and affected
parties concerning the collection of
information described in Section A on
the following:
(1) Whether the proposed collection
of information is necessary for the
proper performance of the functions of
the agency, including whether the
information will have practical utility;
(2) The accuracy of the agency’s
estimate of the burden of the proposed
collection of information;

PO 00000

Frm 00147

Fmt 4703

Sfmt 4703

(3) Ways to enhance the quality,
utility, and clarity of the information to
be collected; and
(4) Ways to minimize the burden of
the collection of information on those
who are to respond; including through
the use of appropriate automated
collection techniques or other forms of
information technology, e.g., permitting
electronic submission of responses.
(5) Ways to minimize the burden of
the collection of information on those
who are to respond, including the use
of automated collection techniques or
other forms of information technology.
HUD encourages interested parties to
submit comment in response to these
questions.
C. Authority
Section 3507 of the Paperwork
Reduction Act of 1995, 44 U.S.C.
Chapter 35.
Colette Pollard,
Departmental Reports Management Officer,
Office of the Chief Information Officer.
[FR Doc. 2020–27272 Filed 12–10–20; 8:45 am]
BILLING CODE 4210–67–P

DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT
[Docket No. FR–7024–N–51]

30-Day Notice of Proposed Information
Collection: Public Housing Agency
(PHA) 5-Year and Annual Plan; OMB
Control No.: 2577–0226
Office of the Chief Information
Officer, HUD.
ACTION: Notice.
AGENCY:

HUD has submitted the
proposed information collection
requirement described below to the
Office of Management and Budget
(OMB) for review, in accordance with
the Paperwork Reduction Act. The
purpose of this notice is to allow for an
additional 30 days of public comment.
DATES: Comments Due Date: January 11,
2021.
ADDRESSES: Interested persons are
invited to submit comments regarding
this proposal. Written comments and
recommendations for the proposed
information collection should be sent
within 30 days of publication of this
notice to www.reginfo.gov/public/do/
Start Printed Page 15501PRAMain. Find
this particular information collection by
selecting ‘‘Currently under 30-day
Review—Open for Public Comments’’ or
by using the search function.
FOR FURTHER INFORMATION CONTACT:
Colette Pollard, Reports Management
Officer, QDAM, Department of Housing
SUMMARY:

E:\FR\FM\11DEN1.SGM

11DEN1