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FOR COMMUNITY PLANNING AND DEVELOPMENT, DEPARTMENT OF HOUSING AND URBAN
SUBCHAPTER A-SLUM CLEARANCE AND URBAN RENEWAL
Part 500 511
SUBCHAPTER B-OPEN-SPACE LAND
SUBCHAPTER COMMUNITY FACILITIES
551 555 556
Neighborhood Facilities Program Project Selection System.
561 570 580
SUBCHAPTER A-SLUM CLEARANCE AND URBAN RENEWAL
PART 500-RENEWAL ASSISTANCE Subpart A—Urban Renowal Projects and Neigh
borhood Development Programs, Code Enforcement Programs, Demolition Programs, Rehabilitation Grants, Interim Assistance Grants, and
Community Renewal Programs Sec. 600.1 Definitions. 500.2 General policies and procedures. 500.3 Urban renewal projects and neighbor
hood development programs. 500.4 Code enforcement programs. 500.5 Demolition programs. 500.6 Rehabilitation grants. 600.7 Interim assistance grants. 500.8 Community renewal programs. 500.9 Applications; information.
AUTHORITY: Sec. 7(d), 79 Stat. 670; 12 U.S.C.3535(d).
SOURCE: 36 FR 24706, Dec. 22, 1971, unless otherwise noted. Subpart A-Urban Renewal Projects
and Neighborhood Development Programs, Code Enforcement Programs, Demolition Programs, Rehabilitation Grants, Interim Assistance Grants, and Community
Renewal Programs & 500.1 Definitions. a
(a) Title I of the Housing Act of 1949 (63 Stat. 414, 42 U.S.C. 1450) authorizes
13 FR 8011, Mar. 27, 1973.
the Secretary of Housing and Urban De eral assistance to an urban renewal projvelopment to finance che undertaking of ect or a neighborhood development prolocal programs designed for the elimina gram. a community must adopt, and have tion and prevention of slums and blight, certified by the Secretary of Housing and including slum clearance and urban re Urban Development, a workable program newal, rehabilitation, code enforcement, for community improvement designed to and demolition.
eliminate blight and prevent its recur(b) The terms used herein shall have rence. In addition, a local public agency the meanings attributed to them in sec must make a showing that there is a tion 110 of the Housing Act of 1949, as feasible method for the temporary reloamended, 42 U.S.C. 1460.
cation of the individuals and families $ 500.2 General policies and procedures.
displaced from the urban renewal areas
to be treated and must assure the SecTitle I of the Housing Act of 1949, as retary that there are, or are being proamended, authorizes the Secretary of vided, sufficient units of decent, safe, and Housing and Urban Development to pro sanitary relocation housing in comparavide localities with Federal technical and ble areas at reasonable rents. The polifinancial assistance through a number of cies and procedures applicable to urban programs designed for the elimination renewal projects are set forth in the and prevention of slums and blight and Urban. Renewal Handbook (RHA 7200 the removal of factors that create slums through RHA 7228) and those applicable and blighting conditions. Applications to neighborhood development programs for grants, loans, and advances should
in the Neighborhood Development Probe filed with the Regional or Area Ofice
gram Handbook, RHA 7380 through RHA which serves the locality seeking assist 7389. ance. The Regional and Area Offices of (d) An urban renewal project or a the Department of Housing and Urban
neighborhood development program asDevelopment provide forms for making
sisted under title I may include, in acapplication for Federal aid, furnish in cordance with the urban renewal plan formation and assistance, receive com
for the area, acquisition of land, site pleted applications, and notify recipients
clearance, installation of streets, utiliof the approval of such applications.
ties, parks, playgrounds, and other im$ 500.3 Urban renewal projects and provements, restoration and relocation neighborhood development pro
of structures of historic or architectural grams.
value, carrying out plans for programs (a) The renewal and revitalization of of code enforcement, voluntary repair urban areas can be accomplished through
and rehabilitation of buildings or other the use of two different methods, urban
improvements, and disposition of acrenewal projects or neighborhood devel
quired land. opment programs.
(e) The Secretary is authorized to (b) Urban renewal projects are carried
make relocation grants to local public out in individual blighted areas. Neigh
agencies to reimburse them for payborhood development programs deal with
ments to individuals, families, and busione or more urban renewal areas which
nesses for their reasonable and necesare to be treated simultaneously. Urban
sary moving expenses, for any direct loss renewal projects are planned and funded
of property resulting from their disas one unit; neighborhood development
placement from an urban renewal area, programs are to be funded in annual
and for related payments. The regulaincrements with the Government having
tions governing such payments may be the right to terminate at the end of any
found at $ 500.100 et seq. year.
(f) The Secretary is authorized to (c) Urban renewal projects and neigh
make an advance of funds to a local pubborhood development programs
lic agency (1) for survey and planning planned and executed by local public
work for a project, (2) to determine the agencies which, depending on State law, feasibility of the undertaking of a projmay be separate urban renewal agencies, ect or program, and (3) for a General local housing authorities, or departments Neighborhood Renewal Plan outlining of local governments. To qualify for Fed the urban renewal activities proposed in
an area which is of such size that the activities may have to be initiated and carried out in stages.
(g) For an urban renewal project, the Secretary is authorized to make one or more temporary loans to be used by the local public agency as working capital in acquiring real estate, clearing sites and preparing the project area for redevelopment, conservation and/or rehabilitation. For a neighborhood development program, the Secretary is authorized to make temporary loans for use by the local public agency for such program activities as are to be carried out during an annual increment of the program.
(h) The Secretary is authorized to make one or more definitive loans to the local public agency, for a period not exceeding 40 years, when project land is leased rather than sold to a redeveloper. A definitive loan must be amortized from the rental income derived from the land.
(1) The Secretary is authorized to make one or more capital grants to & local public agency not exceeding twothirds of the net project or program cost except that a capital grant may be made not exceeding three-fourths of the net project or program cost (1) where the project is located in a municipality with & population of 50,000 or less, or (2) where the project is situated in an oficially designated redevelopment area. A three-fourths grant is also available for an urban renewal project (but not one that is included in a neighborhood development program) where the net project cost excludes the costs of survey, planning, administrative, legal, and certain other expenses. For a neighborhood development program, the capital grant is paid annually for the Government's share of expenses for the year.
(1) The local contribution toward the cost of the project or program may be made in the form of cash or noncash grants-in-aid, such as donations of land, demolition and removal work, project improvements, historic preservation ac. tivities, certain expenditures by colleges, universities and hospitals, or pubiic facilities that benefit the project.
(k) Application for financial assistance for an urban renewal project may be made by local public agencies on Form HUD-6100, Survey and Planning
Application, and Form HUD-612, Appl. cation for Loan and Grant. A neighborhood development program application may be made on Form HUD-6270, Appllcation for a Neighborhood Development Program. 8 500.4
Code enforcement programs. The Secretary is authorized to make & grant of not exceeding two-thirds (or three-fourths in the case of a municipality having & population of 50,000 or less) of the cost of carrying out programs of concentrated code enforcement in deteriorated or deteriorating areas in which such enforcement, together with those public improvements to be provided by the locality, may be expected to arrest the decline of the area. Eligible code enforcement activities may include the provision and repair of necessary streets, curbs, sidewalks, street lighting, tree planting, and similar improvements within such areas. Prior to execution of a contract for a code enforcement grant, the municipality must have a workable program for community improvement currently in effect, must assure that any individuals or families displaced by the code enforcement activities are offered decent, safe, and sanitary housing within their means, and must provide relocation assistance and relocation payments on the same basis as in urban renewal project activities. The policies and procedures applicable to code enforcement programs are set forth in the Code Enforcement Grant Handbook, RHA 7250. Application for financial assistance for a code enforcement grant may be made by cities, other municipalities, and counties on Form HUD_6170, Application for Code Enforcement Grant, and Form HUD6170A, Application for Code Enforcement Grant-Area Data, $ 500.5
Demolition programs. The Secretary is authorized to make & grant of not exceeding two-thirds of the cost of demolishing structures which under State or local law have been determined to be structurally unsound, a harborage or potential harborage of rats, or unfit for human habitation. If the structures to be demolished are not in an urban renewal area; (a) the locality involved must have a currently certified