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Ofc. of Asst. Secy., Comm. Planning, Develop., HUD appropriate, has provided the fol- lowing: (i) A disclosure of the nature of the conflict, accompanied by an assurance that there has been public disclosure of the conflict and a description of how the public disclosure was made; and (ii) An opinion of the attorney for the state or the unit of general local gov- ernment, overnment, as appropriate, that the in- terest for which the exception is sought would not violate state or local law. (5) Factors to be considered for excep- tions. In determining whether to grant a requested exception after the require- ments of paragraph (h)(4) of this sec- tion have been satisfactorily met, the cumulative effect of the following fac- tors, where applicable, shall be consid- ered: (i) Whether the exception would pro- vide a significant cost benefit or an es- sential degree of expertise to the pro- gram or project which would otherwise not be available; (ii) Whether an opportunity was pro- vided for open competitive bidding or negotiation; (iii) Whether the person affected is a member of a group or class of low or moderate income persons intended to be the beneficiaries of the assisted ac- tivity, and the exception will permit such person to receive generally the same interests or benefits as are being made available or provided to the group or class; (iv) Whether the affected person has withdrawn from his or her functions or responsibilities, or the decisionmaking process with respect to the specific as- sisted activity in question; (v) Whether the interest or benefit was present before the affected person was in a position as described in para- graph (h)(3) of this section; (vi) Whether undue hardship will re- sult either to the State or the unit of general local government or the person affected when weighed against the pub- lic interest served by avoiding the pro- hibited conflict: and (vii) Any other relevant consider- ations. (i) Closeout of grants to units of general. local government. The State shall estab- lish requirements for timely closeout of grants to units of general local gov- § 570.489 ernment and shall take action toen- sure the timely closeout of such grants. (j) Change of use of real property. The standards described in this section apply to real property within the unit of general local government's. control (including activities undertaken by subrecipients) which was acquired or improved in whole or in part using CDBG funds in excess of the threshold for small purchase procurement (24 CFR 85.36, "Administrative Require- ments for Grants and Cooperative Agreements to State, Local and Feder- ally Recognized Indian Tribal Govern- ments"). These standards shall apply from the date CDBG funds are first spent for the property until five years after closeout of the unit of general local government's grant. (1) A unit of general local govern- ments may not change • the use or planned use of any such property (in- cluding the beneficiaries of .such use) from that for which the acquisition or improvement was made, unless the unit of general local government pro- vides affected citizens with reasonable notice of and opportunity to comment on any proposed change, and either: (1) The new use of the property quali- fies as meeting one of the national ob- jectives and is not a building for the general conduct of government; or (ii) The requirements in paragraph (j)(2) of this section are met. (2) If the unit of general local govern- ment determines, after consultation with affected citizens, that it is to change the use of the prop- erty to a use which does not qualify under paragraph (j)(1) of this section, it may retain or dispose of the property for the changed use if the unit of gen- eral local government's CDBG program is reimbursed or the state's CDBG pro- gram is reimbursed, at the discretion of the state. The reimbursement shall be in the amount of the current fair market value of the property, Less any portion of the value attributable to ex- penditures of non-CDBG funds for ac- quisition of, and improvements to, the property, except that if the change in use occurs after grant closeout but within 5 years of such closeout, the unit of general local government shall 127 41 Attachment 3