American Rescue Plan Act, 2021 (ARPA) - 7 CFR PART 3550, âDIRECT SINGLE FAMILY HOUSING SECTIONS 502 and 504 LOAN PROGRAMS
New collection (Request for a new OMB Control Number)
No
Emergency
09/18/2022
08/29/2022
table that charts list comparision
Requested
Previously Approved
6 Months From Approved
13,496
0
2,602
0
0
0
The American Rescue Plan (ARPA) Act of 2021 (Pub.L. 117-2; H.R. 1319, Section 3207) appropriated an additional $39 million of Budget Authority (BA) for Single Family Housing (SFH) Section 502 and 504 Direct Loan Program borrowers. Funds remain available until September 30, 2023. The Agencyâs initial objective under the ARP Act is to refinance the existing 23,000 Section 502 direct and Section 504 borrowers who have been granted and received a COVID-19 payment moratorium. Refinancing these loans with a lower interest rate and extended terms will help provide needed relief to borrowers, so that mortgage payments are more affordable post-moratorium.
On May 12, 2021, guidance was issued to staff to accept and process loan applications from existing Section 502 and Section 504 direct loan borrowers, to refinance outstanding loans which are, or have been, in the approved COVID-19 moratorium.
The Single Family Housing (SHF) direct loan acceleration process, which had been paused since the beginning of the pandemic, has been restarted. Pre-notices have been mailed to approximately 31,000 delinquent borrowers as of early July 2022. The program anticipates a high-volume response from borrowers requesting refinancing as a relief measure from acceleration.
There is urgency is to provide staff with updated guidance which will provide several streamlined measures to expedite the ARPA application process to ensure the maximum use of ARPA funds, which are only available to the end of September 30, 2023.
On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).
The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control number;
If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.