Department of Housing and Urban Development: Thursday, August 25, 2005

Thursday,
August 25, 2005
Part VI
Department of
Housing and Urban
Development
Proposed Fair Market Rents for Fiscal
Year 2006 for Housing Choice Voucher,
Moderate Rehabilitation Single Room
Occupancy and Certain Other HUD
Programs; Supplemental Notice on 50th
Percentile Designation; Notice
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50138 Federal Register / Vol. 70, No. 164 / Thursday, August 25, 2005 / Notices
DEPARTMENT OF HOUSING AND 245–2691 or access the information on develop proposed FMRs, publish them
URBAN DEVELOPMENT the HUD Web site at http:// for public comment, provide a public
www.huduser.org/datasets/fmr.html. comment period of at least 30 days,
[Docket No. FR–4995–N–02; HUD–2005–
0017]
FMRs are listed at the 40th or 50th analyze the comments, and publish final
percentile in Schedule B of this notice. FMRs. (See 24 CFR 888.115.) HUD
Proposed Fair Market Rents for Fiscal For informational purposes, a table of published its notice on proposed
Year 2006 for Housing Choice 40th percentile recent mover rents for FY2006 FMRs on June 2, 2005 (70 FR
Voucher, Moderate Rehabilitation the areas with 50th percentile FMRs 32402), and provided a 60-day public
Single Room Occupancy and Certain will be provided on the same Web site comment period. In the June 2, 2005,
Other HUD Programs; Supplemental noted above. Any questions related to notice, HUD advised that it would
Notice on 50th Percentile Designation use of FMRs or voucher payment publish a separate notice to identify any
standards should be directed to the areas that may be newly eligible for 50th
AGENCY: Office of the Secretary, HUD. respective local HUD program staff. percentile FMRs as well as any areas
ACTION: Notice. Questions on how to conduct FMR that remain eligible or no longer remain
surveys or further methodological eligible for 50th percentile FMRs, as
SUMMARY: Section 8(c)(1) of the United explanations may be addressed to Marie provided in HUD’s regulations.
States Housing Act of 1937 (USHA) L. Lihn or Lynn A. Rodgers, Economic
requires the Secretary to publish FMRs Fiftieth percentile FMRs were
and Market Analysis Division, Office of establish by a rule published on October
periodically, but not less than annually, Economic Affairs, Office of Policy
to be effective on October 1 of each year. 2, 2000 (65 FR 58870), that also
Development and Research, telephone established the eligibility criteria used
On June 2, 2005, HUD published a (202) 708–0590. Persons with hearing or
notice on proposed fair market rents to select areas that would be assigned
speech impairments may access this 50th rather than the normal 40th
(FMRs) for Fiscal Year (FY) 2006. In the number through TTY by calling the toll-
June 2, 2005, notice, HUD advised that percentile FMRs. The objective was to
free Federal Information Relay Service give PHAs a tool to assist them in de-
it would also publish a separate notice at (800) 877–8339. (Other than the HUD
to identify any areas that may be newly concentrating voucher program use
USER information line and TTY patterns. The preamble to the October 2,
eligible for 50th percentile FMRs as well numbers, telephone numbers are not toll
as any areas that remain eligible or that 2000, rule noted that a PHA for which
free.) Electronic Data Availability: This 50th percentile FMRs were provided
are no longer eligible for 50th percentile Federal Register notice is available
FMRs, as provided in HUD’s could advise HUD that its jurisdiction
electronically from the HUD news page: does not require the higher payment
regulations. This notice provides this http://www.hudclips.org. Federal
information. It identifies 24 areas standards based on the 50th percentile
Register notices also are available and obtain HUD approval to continue or
eligible for 50th percentile FMRs, which electronically from the U.S. Government
consists of areas that remain eligible for establish payment standards below 90
Printing Office Web site at http:// percent of the 50th percentile. (See 65
50th percentile FMRs plus areas that are www.gpoaccess.gov/fr/index.html.
newly eligible. FR 58871). The three criteria for 50th
SUPPLEMENTARY INFORMATION: percentile FMRs are:
DATES: Comments Due Date: September
26, 2005. I. Background The three FMR area eligibility criteria
ADDRESSES: Interested persons are were:
Section 8 of the USHA (42 U.S.C.
invited to submit comments regarding 1437f) authorizes housing assistance to 1. FMR Area Size: the FMR area had
HUD’s estimates of the FMRs, as aid lower income families in renting to have at least 100 census tracts.
published in this notice, to the Office of safe and decent housing. Housing 2. Concentration of Affordable Units:
the General Counsel, Rules Docket assistance payments are limited by 70 percent or fewer of the tracts with at
Clerk, Department of Housing and FMRs established by HUD for different least 10 two-bedroom units had at least
Urban Development, 451 Seventh Street, areas. In the Housing Choice Voucher 30 percent of these units with gross
SW., Room 10276, Washington, DC program, the FMR is the basis for rents at or below the 40th percentile
20410–0001. Communications should determining the ‘‘payment standard two-bedroom FMR; and,
refer to the above docket number and amount’’ used to calculate the
title and should contain the information 3. Concentration of Participants: 25
maximum monthly subsidy for an
specified in the ‘‘Request for percent or more of the tenant-based
assisted family (see 24 CFR 982.503). In
Comments’’ section. To ensure that the rental program participants in the FMR
general, the FMR for an area is the
information is fully considered by all of area resided in the 5 percent of census
amount that would be needed to pay the
the reviewers, each commenter is tracts with the largest number of
gross rent (shelter rent plus utilities) of
requested to submit two copies of its program participants.
privately owned, decent, and safe rental
comments, one to the Rules Docket housing of a modest (non-luxury) nature The rule also specified that areas
Clerk and the other to the Economic and with suitable amenities. In addition, all assigned 50th percentile FMRs were to
Market Analysis Staff in the appropriate rents subsidized under the Housing be re-evaluated after three years, and
HUD field office. A copy of each Choice Voucher program must meet that the 50th percentile rents would be
communication submitted will be reasonable rent standards. The interim rescinded unless an area has made at
available for public inspection and rule published on October 2, 2000 (65 least a fraction of a percent progress in
copying during regular business hours FR 58870), established 50th percentile reducing concentration and otherwise
(8 a.m. to 5 p.m. Eastern Time) at the FMRs for certain areas. remains eligible. (See 24 CFR 888.113.)
above address. Section 8(c) of the USHA requires the As noted in the June 2, 2005, notice, the
FOR FURTHER INFORMATION CONTACT: For Secretary of HUD to publish FMRs three-year period for the first areas
technical information on the periodically, but not less frequently determined eligible to receive the 50th
methodology used to develop FMRs or than annually. HUD’s regulations percentile FMRs, following
a listing of all FMRs, please call the implementing section 8(c), codified at promulgation of the regulation in
HUD USER information line at 800– 24 CFR part 888, provide that HUD will § 888.113, has come to a close.
Federal Register / Vol. 70, No. 164 / Thursday, August 25, 2005 / Notices 50139
II. 50th Percentile FMR Areas for percentile FMRs because the TABLE 1.—PROPOSED FY2006 50TH
FY2006 information on concentration of voucher PERCENTILE FMR AREAS LISTED IN
Based on its assessment, HUD has program participants needed to make JUNE 2, 2005, NOTICE—Continued
determined that only 14 of the 48 areas the eligibility determination was of
inadequate quality as described in this Orange County, CA HMFA
assigned 50th percentile FMRs in the *Oxnard-Thousand Oaks-Ventura, CA MSA
June 2, 2005, notice shall continue to be section. Table 1 lists the 48 FMR areas
that were assigned proposed FY2006 *+Philadelphia-Camden-Wilmington, PA-NJ-
assigned 50th percentile FMRs. Only DE-MD MSA
these 14 areas met the regulatory FMRs set at the 50th percentile based on
Phoenix-Mesa-Scottsdale, AZ MSA
requirements for continued eligibility. new FMR area definitions. Table 1 *Pottawatomie County, OK
In addition to these 14 areas that includes the 39 areas originally Richmond, VA HMFA
continue to remain eligible for 50th determined eligible for 50th percentile *+Sacramento—Arden-Arcade—Roseville,
percentile FMRs, HUD identified 10 FMRs (following the October 2000 final CA
areas currently assigned 40th percentile rule that allowed 50th percentile FMRs) *Salt Lake City, UT HMFA
plus subparts of these areas that were *San Antonio, TX HMFA
FMRs that are eligible for 50th *San Diego-Carlsbad-San Marcos, CA MSA
percentile FMRs. These 24 areas are as separated from the original areas in
accordance with the new Office of *San Jose-Sunnyvale-Santa Clara, CA HMFA
follows (note that the acronym MSA *St. Louis, MO-IL HMFA
refers to metropolitan statistical area, Management and Budget (OMB)
*Tampa-St. Petersburg-Clearwater, FL MSA
and HMFA refers to HUD Metro FMR metropolitan area definitions. Those *Tulsa, OK HMFA
area as defined in the June 2, 2005, areas marked by an asterisk (*) in Table Virginia Beach-Norfolk-Newport News, VA-
notice): 1 failed to meet one or more eligibility NC MSA
criteria as described below, including *Warren County, NJ HMFA
Albuquerque, NM MSA.
measurable deconcentration. Those Washington-Arlington-Alexandria, DC-VA-MD
Austin-Round Rock, TX MSA. HMFA
areas marked by a plus sign (+) in Table
Baltimore-Towson, MD MSA. *Wichita, KS HMFA
1 had insufficient information, as
Chicago-Naperville-Joliet, IL HMFA.
Denver-Aurora, CO MSA. described below, upon which to
determine concentration of voucher The following subsections describe
Fort Worth-Arlington, TX HMFA.
program participants and are deemed HUD’s application of the eligibility
Grand Rapids-Wyoming, MI HMFA.
ineligible for 50th percentile FMRs. criteria for 50th percentile FMRs, set
Hartford-West Hartford-East Hartford,
Only 14 of these areas met all of the forth in 24 CFR 888.113, to the proposed
CT HMFA.
eligibility criteria including information FY2006 50th percentile FMR areas, and
Honolulu, HI MSA.
quality requirements and had explain which areas lost eligibility for
Houston-Baytown-Sugar Land, TX
measurable deconcentration. the 50th percentile FMR based on each
HMFA.
Kansas City, MO-KS HMFA. criterion. The application of HUD’s
Las Vegas-Paradise, NV MSA. TABLE 1.—PROPOSED FY2006 50TH Information Quality Guidelines and
Milwaukee-Waukesha-West Allis, WI PERCENTILE FMR AREAS LISTED IN findings of ineligibility of FMR areas on
MSA. JUNE 2, 2005, NOTICE the basis of inadequate information on
New Haven-Meriden, CT HMFA. concentration of participants are
Orange County, CA HMFA. Albuquerque, NM MSA described in the subsection on the
Phoenix-Mesa-Scottsdale, AZ MSA. *Allegan County, MI ‘‘concentration of participants’’
Providence-Fall River, RI-MA HMFA. *Ashtabula County, OH (Concentration of Participants) criterion.
Richmond, VA HMFA. *Atlanta-Sandy Springs-Marietta, GA HMFA The final section identifies 10
Austin-Round Rock, TX MSA additional proposed FY2006 FMR areas
Riverside-San Bernardino-Ontario, CA *Baton Rouge, LA HMFA
MSA. originally assigned 40th percentile
*Bergen-Passaic, NJ HMFA FMRs that are eligible, under the
Sarasota-Bradenton-Venice, FL MSA. *Buffalo-Niagara Falls, NY MSA
Tacoma, WA HMFA. Chicago-Naperville-Joliet, IL HMFA
regulatory criteria and information
Tucson, AZ MSA. *Cleveland-Elyria-Mentor, OH MSA quality guidelines, for 50th percentile
Virginia Beach-Norfolk-Newport News, +Dallas, TX HMFA FMRs.
VA-NC MSA. Denver-Aurora, CO MSA
Continued Eligibility: FMR Area Size
Washington-Arlington-Alexandria, DC- *Detroit-Warren-Livonia, MI HMFA
Fort Worth-Arlington, TX HMFA Criterion
VA-MD HMFA.
Grand Rapids-Wyoming, MI HMFA Application of the modified new
The following section provides the
*Holland-Grand Haven, MI MSA OMB metropolitan area definitions
analysis undertaken by HUD to *Hood County, TX
determine 50th percentile eligibility and Houston-Baytown-Sugar Land, TX HMFA
results in several peripheral counties of
50th percentile continued eligibility. Kansas City, MO-KS HMFA FY2005 50th percentile FMR areas being
Las Vegas-Paradise, NV MSA separated from their core areas. The
III. Procedures for Determining 50th +Miami-Fort Lauderdale-Miami Beach, FL separated areas become either non-
Percentile FMRs MSA metropolitan counties, parts of different
This section describes the procedure *Minneapolis-St. Paul- metropolitan areas, or form entirely new
HUD followed in evaluating which new Bloomington, MN-WI MSA metropolitan areas. Table 2 shows
and currently designated areas are *Mohave County, AZ proposed FY2006 FMR areas that are
*Monroe, MI MSA ineligible to receive 50th percentile
eligible for 50th percentile FMRs under
*Muskegon-Norton Shores, MI MSA
HUD’s regulations in 24 CFR part 888. *+Newark, NJ HMFA
FMRs because, as a result of the new
Additionally, in accordance with HUD’s *Nye County, NV metropolitan area definitions, they each
Information Quality Guidelines *Oakland-Fremont, CA HMFA have fewer than 100 census tracts and
(published at 67 FR 69642), certain FMR *Ogden-Clearfield, UT MSA therefore fail to meet the FMR area size
areas were deemed ineligible for 50th *Oklahoma City, OK HMFA criterion.
TABLE 2.—PROPOSED FY2006 50TH TABLE 3.—PROPOSED FY2006 50TH Under HUD’s Information Quality
PERCENTILE FMR AREAS WITH PERCENTILE FMR AREAS WHERE Guidelines,2 the data used to determine
FEWER THAN 100 CENSUS TRACTS AFFORDABLE UNITS ARE NOT CON- eligibility for 50th percentile FMRs
CENTRATED—Continued qualifies as ‘‘influential’’ and is
Tracts therefore subject to a higher ‘‘level of
FMR Area 19901 2000
scrutiny and pre-dissemination review’’
Allegan County, MI ....................... 21 including ‘‘robustness checks’’ because
Ashtabula County, OH .................. 22 Buffalo-Niagara Falls, NY ‘‘public access to data and methods will
Holland-Grand Haven, MI MSA .... 36 MSA .................................. 67.7 75.4 not occur’’ due to HUD’s statutory duty
Hood County, TX .......................... 5 to protect private information.3 HUD
Cleveland-Elyria-Mentor, OH
Mohave County, AZ ...................... 30
Monroe, MI MSA .......................... 39
MSA .................................. 62.3 70.3 cannot reasonably base the eligibility
Muskegon-Norton Shores, MI Detroit-Warren-Livonia, MI decision on inadequate data.
MSA .......................................... 45 HMFA ................................ 65.7 72.7 The information used to determine
Nye County, NV ............................ 10 Minneapolis-St. Paul, MN-WI which FMR areas are assigned 50th
Ogden-Clearfield, UT MSA ........... 93 MSA .................................. 65.0 73.1 percentile FMRs is ‘‘influential’’
Pottawatomie County, OK ............ 15 Oakland-Fremont, CA HMFA 67.8 74.4 because it has ‘‘a clear and substantial
Warren County, NJ HMFA ........... 23 Oklahoma City, OK HMFA ... 63.1 71.5 impact,’’ namely because it can
Oxnard-Ventura, CA MSA .... 68.1 71.8 potentially affect how voucher subsidy
Continued Eligibility: Concentration of St. Louis, MO-IL HMFA ........ 69.9 71.1 levels will be set in up to 108 large FMR
Affordable Units Salt Lake City, UT HMFA ..... 66.3 70.6 areas containing about 59 percent of
San Antonio, TX HMFA ........ 66.0 70.7 voucher tenants, thereby affecting ‘‘a
The original 50th percentile FMR San Jose-Santa Clara, CA
determination in 2000 measured the broad range of parties.’’ PHA voucher
HMFA ................................ 67.5 74.8 payment standards are set according to
Concentration of Affordable Units Tampa-St. Petersburg, FL
criterion with data from the 1990 a percentage of the FMR, so the setting
MSA .................................. 63.9 74.1
Census because 2000 Census data were of 50th percentile FMRs ‘‘has a high
Tulsa, OK HMFA .................. 67.5 70.4
not available. According to 2000 Census probability’’ of affecting subsidy levels
Wichita, KS HMFA ................ 68.4 70.2
data, the FMR areas, shown in Table 3, for tenants in the affected FMR areas.
and assigned proposed FY2006 50th An ‘‘important’’ public policy is affected
Continued Eligibility: Concentration of by the decisions rendered from the
percentile FMRs have more than 70 Participants
percent of their tracts containing 10 or information, namely the goal of
more rental units where at least 30 deconcentrating voucher tenants and
The Concentration of Participants
percent of rental units rent for the 40th improving their access to jobs and
criterion requires that 25 percent or improved quality of life.
percentile two-bedroom FMR or less. more of voucher program participants Under HUD’s Final Information
These areas therefore fail to meet the be located in the five percent of census Quality Guidelines, influential
Concentration of Affordable Units tracts with the highest number of information that is developed using data
criterion and are not eligible for 50th voucher participants. Otherwise, an area that cannot be released to the public
percentile FMRs (FMR areas that are is not eligible for 50th percentile FMRs. under Title XIII or for ‘‘other compelling
listed above as too small and also fail to The data for evaluating the interests’’ is subject to ‘‘robustness
meet this criterion are not listed here). Concentration of Participants criterion checks’’ to address, among other things,
In Table 3, the percentages following comes from HUD’s Public Housing ‘‘sources of bias or other error’’ and
each FMR area name are, respectively, ‘‘programmatic and policy
Information Center (PIC). All public
the 1990 Census and 2000 Census
housing authorities (PHAs) that
percent of tracts containing 10 or more 2 Section 515 of the Treasury and General
rental units where at least 30 percent of administer Housing Choice Voucher
Government Appropriations Act for FY2001 (Pub.L.
rental units rent for the 40th percentile (HCV) programs must submit, on a 106–554) directed the OMB to issue
two-bedroom FMR or less. This number timely basis, family records to HUD’s governmentwide guidelines that ‘‘provide policy
PIC as set forth by 24 CFR part 908 and and procedural guidance to federal agencies for
must be no greater than 70 percent for ensuring and maximizing the quality, objectivity,
an FMR Area to qualify for 50th the consolidated annual contributions utility, and integrity of information (including
percentile FMRs. contract (CACC). PIC is the statistical information) disseminated by federal
Department’s official system to track agencies.’’ Within one year after OMB issued its
guidelines, agencies were directed to issue their
TABLE 3.—PROPOSED FY2006 50TH and account for HCV family own guidelines that described internal mechanisms
PERCENTILE FMR AREAS WHERE characteristics, income, rent, and other by which agencies ensure that their information
AFFORDABLE UNITS ARE NOT CON- occupancy factors. PHAs must submit meets the standards of quality, objectivity, utility,
and integrity. The mechanism also must allow
CENTRATED their form HUD–50058 records
affected persons to seek and obtain correction of
electronically to HUD for all current information maintained and disseminated by the
FMR Area 19901 2000 HCV families. Under HUD Notice PIH agency that does not comply with the guidelines.
2000–13 (HA), PHAs were required to OMB issued its final guidelines on September 28,
Atlanta-Sandy Springs-Mari- 2001 (66 FR 49718), but requested additional
successfully submit a minimum of 85 comment on one component of the OMB guidelines.
etta, GA HMFA ................. 69.5 72.8 percent of their resident records to PIC
The OMB guidelines addressing additional public
Baton Rouge, LA HMFA ....... 69.2 80.3 comment were published on January 3, 2002 (67 FR
during the measurement period covered
369), and republished on February 22, 2002 (67 FR
1 The 1990 percent of tracts containing 10 or more
by this notice (this requirement was 6452). HUD issued its Final Information Quality
rental units where at least 30 percent of rental units raised to 95 percent by HUD Notice PIH Guidelines on November 18, 2002 (67 FR 69642),
rent for the 40th percentile 2-bedroom FMR or less 2005–17 (HA), but this higher reporting which follow public comment on proposed
is the figure computed for the original old- rate requirement is not used for guidelines published on May 30, 2002 (67 FR
definition FMR area that was assigned the 50th 37851).
percentile FMR in 2000. The 2000 figure may differ purposes of this notice because it does 3 Note that 13 U.S.C. 9 governs the confidentiality
both because of change between the two decennial not become effective until December 31, of census data. The Privacy Act (5 U.S.C. 552)
censuses as well as change in the geographic 2005, data submissions by PHAs). governs confidentiality of the data used to evaluate
definition of the FMR areas. the Concentration of Participants criterion.
implications.’’ The typical reason for a percent concentration criterion, is the HMFA and shares the same revised
low overall reporting rate in an FMR San Diego-Carlsbad-San Marcos, CA proposed FY2006 FMRs with the
area is very low reporting rates by the MSA.5 component counties of this area as
largest PHAs in the FMR area (or non- indicated in Schedule B of this notice.
Continued Eligibility: Deconcentration
reporting in the case of Moving-to-Work Table 5 lists the areas, originally
of Participants
program PHAs that are not required to assigned 50th percentile FMRs, and also
report). Unless it could be shown that HUD’s regulations in 24 CFR 888.113 assigned proposed FY2006 50th
underreporting is essentially random specify that areas assigned 50th percentile FMRs that meet all eligibility
(which would be difficult and impose a percentile rents are to be reviewed at the criteria, that have shown evidence of
major administrative burden on HUD), end of three years, and that the 50th participant deconcentration, and have
low reporting rates render any results percentile rents will be rescinded if no sufficient Reporting Rates as derived
derived from the data inaccurate, progress has been made in from the May 31, 2005, Delinquency
unreliable, and biased. deconcentrating voucher tenants. FMR Report to make an accurate assessment
The setting of a reporting rate Areas that failed this test are ineligible of participant concentration.
threshold for consideration of eligibility for 50th percentile FMRs for the
for 50th percentile FMRs is, therefore, subsequent three years. Three FMR TABLE 5.—PROPOSED FY2006 50TH
justified because it constitutes a areas with proposed FY2006 50th PERCENTILE FMR AREAS THAT
‘‘robustness check’’ on ‘‘influential percentile FMRs that passed the other SHOULD CONTINUE AS 50TH PER-
information’’ as defined in HUD’s Final 50th percentile eligibility tests failed to
deconcentrate voucher tenants between CENTILE AREAS
Information Quality Guidelines. HUD
sets the overall FMR area minimum 2000 and 2005. They are the Bergen-
Albuquerque, NM MSA
reporting rate standard at 85 percent Passaic, NJ HMFA, the Newark, NJ Austin-Round Rock, TX MSA
based on the minimum requirements HMFA, and the Philadelphia-Camden- Chicago-Naperville-Joliet, IL HMFA
established for PHA reporting rates. Wilmington, PA-NJ-DE-MD MSA. Denver-Aurora, CO MSA
Of the 21 areas passing the FMR Area With the exception of the Bergen- Fort Worth-Arlington, TX HMFA
Size and Concentration of Affordable Passaic, NJ HMFA, however, this Grand Rapids-Wyoming, MI HMFA
Units criteria, the five listed below in conclusion is based on poor quality Houston-Baytown-Sugar Land, TX HMFA
Table 4 have data quality issues in data. The other two areas do not have Kansas City, MO-KS HMFA
measuring Concentration of Participants sufficient reporting rates as derived Las Vegas-Paradise, NV MSA
from the May 31, 2005, Delinquency Orange County, CA HMFA
in 2005 because of low reporting by Phoenix-Mesa-Scottsdale, AZ MSA
PHAs in the FMR area. Report to measure deconcentration Richmond, VA HMFA
progress. Therefore, the Newark, NJ Virginia Beach-Norfolk-Newport News, VA-
TABLE 4.—PROPOSED FY2006 50TH HMFA and the Philadelphia-Camden- NC MSA
PERCENTILE FMR AREAS MEETING Wilmington, PA-NJ-DE-MD MSA are Washington-Arlington-Alexandria, DC-VA-MD
FMR AREA SIZE AND CONCENTRA- ineligible for 50th percentile FMRs HMFA
TION OF AFFORDABLE UNITS CRI- because neither concentration nor
deconcentration progress can be Newly Eligible Areas
TERIA, BUT HAVING REPORTING measured accurately based on data
RATES BELOW 85 PERCENT AS DE- Table 6 lists the FY2006 FMR areas
provided by PHA reporting. If reporting not originally assigned proposed 50th
RIVED FROM THE MAY 31, 2005, in these FMR areas has increased percentile FMRs that meet the eligibility
DELINQUENCY REPORT 4 sufficiently when future evaluations of requirements for 50th percentile FMRs
deconcentration are made, and and have sufficient Reporting Rates as
Dallas, TX HMFA ................................ 83.2 eligibility can be established with
Miami-Fort Lauderdale-Miami Beach, derived from the May 31, 2005,
increased reporting rates, the 50th Delinquency Report (more than 85
FL MSA ........................................... 83.5 percentile FMRs could be reinstated
Newark, NJ HMFA .............................. 79.9 percent overall for the FMR area) to
Philadelphia-Camden-Wilmington,
before the end of a three-year hiatus. evaluate the Concentration of
PA-NJ-DE-MD MSA ........................ 54.0
Since the Bergen-Passaic, NJ HMFA
Participants. There were no FY2006
Sacramento-Arden-Arcade-Roseville, has not demonstrated progress in
FMR areas originally assigned proposed
CA HMFA ........................................ 62.7 deconcentrating voucher participants,
and this measurement is made with data 40th percentile FMRs that otherwise
of adequate quality (85.7 percent met the eligibility requirements for 50th
The only area with a proposed
reporting rate), the Bergen-Passaic, NJ percentile FMRs, but were deemed
FY2006 50th percentile FMR that met
HMFA is ineligible for FY2006 50th ineligible by having insufficient
the first two eligibility criteria, had
percentile FMRs. The 40th percentile Reporting Rates as derived from the May
adequate data to measure Concentration
Bergen-Passaic, NJ HMFA FMR is 31, 2005, Delinquency Report.
of Participants, but failed to meet 25
almost identical to the revised proposed
4 For most PHAs the reporting rate comes directly New York-Bergen-Passaic-Monmouth- TABLE 6.—PROPOSED FY2006 40TH
from the Delinquency Report and is the ratio of Ocean NY-NJ HMFA of which the PERCENTILE FMR AREAS THAT
form 50058 received to required units. In some originally proposed Bergen-Passaic, NJ SHOULD BE ASSIGNED 50TH PER-
cases, the number of 50058 required units was
inconsistent with other figures on the number of HMFA is a part. So, as a result of losing CENTILE FMRS
HCV participants served by the PHA and was its 50th percentile status, the Bergen-
replaced with either the December 2004 leased Passaic, NJ HMFA is combined into the Baltimore-Towson, MD MSA
units (if available) or Annual Contribution revised proposed New York-Bergen- Hartford-West Hartford-East Hartford, CT
Contracts (ACC) units. The two significant instances HMFA
where this procedure was used and negatively Passaic-Monmouth-Ocean, NY-NJ
Honolulu, HI MSA
affected FMR area reporting rates in this table
Milwaukee-Waukesha-West Allis, WI MSA
because the resulting PHA rates were below 85 5 The Sacramento-Arden-Arcade-Roseville, CA
percent are as follows: Dallas, TX HA (15,975 ACC HUD FMR, in a measure based on inadequate data, New Haven-Meriden, CT HMFA
units, PHA Report Rate 78.3%) and Philadelphia, also had a concentration ratio of less than 25 Providence-Fall River, RI-MA HMFA
PA HA (15,641 leased units, PHA Report Rate percent but is deemed ineligible based on data Riverside-San Bernardino-Ontario, CA MSA
0.0%). quality. Sarasota-Bradenton-Venice, FL MSA
TABLE 6.—PROPOSED FY2006 40TH Revised proposed FY2006 FMRs for FMRs. Other information pertaining to
PERCENTILE FMR AREAS THAT the areas affected by this notice are the proposed FY2006 FMRs is
SHOULD BE ASSIGNED 50TH PER- listed in Schedule B of the June 2, 2005, unchanged from the June 2, 2005,
CENTILE FMRS—Continued notice. Consistent with current notice.
regulations, PHAs must obtain the Dated: August 12, 2005.
Tacoma, WA HMFA approval of their governing board to Roy A. Bernardi,
Tucson, AZ MSA implement use of 50th percentile FMRs Deputy Secretary.
or payment standards based on those BILLING CODE 4210–32–P
EN25AU05.060</GPH>
EN25AU05.061</GPH>
EN25AU05.062</GPH>
EN25AU05.063</GPH>
EN25AU05.064</GPH>
[FR Doc. 05–16865 Filed 8–24–05; 8:45 am]

BILLING CODE 4210–32–C
EN25AU05.065</GPH>

Department of Housing and Urban Development: Thursday, August 25, 2005

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