§ 582.340 24 CFR Ch. V (4-1 -05 Edition)
<br /> (ii) The person moved into the prop- (Cost Principles Applicable to Grants,
<br /> erty after the submission of the appli- Contracts and Other Agreements with
<br /> cation and, before signing a lease and Nonprofit Institutions) apply to the ac-
<br /> commencing occupancy, was provided ceptance and use of assistance by pri-
<br /> written notice of the project, its pos- vate nonprofit - organizations, except
<br /> sible impact on the person (e.g. , the where inconsistent with provisions of
<br /> person may be displaced, temporarily the McKinney Act, other Federal stat-
<br /> relocated, or suffer a rent increase) and utes, or this part.
<br /> the fact that the person would not (2) The financial management sys-
<br /> qualify as a "displaced person" (or for tems used by recipients under this pro-
<br /> any assistance provided under this sec- gram must provide for audits in ac-
<br /> tion) , if the project is approved; cordance with the provisions of 24 CFR
<br /> (iii) The person is ineligible under 49 part 44 . Private nonprofit organiza-
<br /> CFR 24.2 (g) (2) ; or tions who are subrecipients are subject
<br /> (iv) HUD determines that the person to the audit requirements of 24 CFR
<br /> was not displaced as a direct result of part 45. HUD may perform or require
<br /> acquisition, rehabilitation, or demon-
<br /> tion for the project. additional audits as it finds necessary
<br /> (3) The recipient may request, at any or appropriate.
<br /> time, HUD's determination of whether (b) Conflict of interest (1) In addition
<br /> a displacement is or would be covered to the conflict of interest requirements
<br /> under this section. in 24 CFR part 85, no person who is an
<br /> (g) Definition of initiation of negotia- employee, agent, consultant, officer, or
<br /> tions. For purposes of determining the elected or appointed official of the re-
<br /> formula for computing the replacement cipient and who exercises or has exer-
<br /> housing assistance to be provided to a cised any functions or responsibilities
<br /> residential tenant displaced as a direct with respect to assisted activities, or
<br /> result of privately undertaken rehabili- who is in a position to participate in a
<br /> tation, demolition, or acquisition of decisionmaking process or gain inside
<br /> the real property, the term "initiation information with regard to such activi-
<br /> of negotiations" means the execution ties, may obtain a personal or financial
<br /> of the agreement between the recipient interest or benefit from the activity, or
<br /> and HUD, or selection of the project have an interest in any contract, sub-
<br /> site, if later. contract, or agreement with respect
<br /> thereto, or the proceeds thereunder, ei-
<br /> § 582.340 Other Federal requirements. ther for himself or herself or for those
<br /> In addition to the Federal require- with whom he or she has family or
<br /> ments set forth in 24 CFR part 5, the business ties , during his or her tenure
<br /> following requirements apply to this or for one year thereafter. Participa-
<br /> program: I tion by homeless individuals who also
<br /> (a) OMB Circulars. (1) The policies, are participants under the program in
<br /> guidelines, and requirements of OMB policy or decisionmaking under § 582.300
<br /> Circular No. A-87 (Cost Principles Ap- of this part does not constitute a con-
<br /> plicable to Grants, Contracts and Other flict of interest. -
<br /> Agreements with State and Local Gov- (2) Upon the written request of the
<br /> ernments) and 24 CFR part 85 apply to recipient. HUD may grant an exception
<br /> the acceptance and use of assistance to the provisions of paragraph (b) (1) of
<br /> under the program by governmental this section on a case-by-case basis
<br /> entities, and OMB Circular Nos. A-110 when it determine that the exception
<br /> (Grants and Cooperative Agreements will serve to further the purposes of
<br /> with Institutions of Higher Education, the program and the effective and effi-
<br /> Hospitals, and Other Nonprofit Organi- cient administration of the recipient's
<br /> zations) and 24 CFR part 84 and A-122 project. An exception may be consid-
<br /> ered only after the recipient has pro-
<br /> . I Copies of OMB Circulars may be obtained vided the following:
<br /> from E.O.P. Publications, room 2200, New Ex- '(i) For States, units of general local
<br /> ecutive Office Building, Washington, DC
<br /> 20503, telephone (202) 395-7332. (This is not a governments, PHAs and IHAs, a disclo-
<br /> toll-free number.) There is a limit of two free sure of the nature of the conflict, ac-
<br /> copies. companied by an assurance that there
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