Montana Administrative Register Notice 8-94-79 No. 24   12/24/2009    
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In the matter of the adoption of New Rule I pertaining to the administration of the 2010-2011 Federal Community Development Block Grant (CDBG) Program








TO:  All Concerned Persons


            1.  On January 14, 2010, at 1:30 p.m., the Department of Commerce will hold a public hearing in Room 228 of the Park Avenue Building at 301 South Park Avenue, Helena, Montana, to consider the proposed adoption of the above-stated rule.


2.  The Department of Commerce will make reasonable accommodations for persons with disabilities who wish to participate in this rulemaking process or need an alternative accessible format of this notice.  If you require an accommodation, contact the Department of Commerce no later than 5:00 p.m. on January 7, 2010, to advise us of the nature of the accommodation that you need.  Please contact Gus Byrom, Department of Commerce, Community Development Division, 301 South Park Avenue, P.O. Box 200523, Helena, Montana 59620-0523; telephone (406) 841-2777; fax (406) 841-2771; TDD (406) 841-2702; or e-mail gbyrom@mt.gov.


3.  The rule as proposed to be adopted provides as follows:


            NEW RULE I  INCORPORATION BY REFERENCE OF RULES FOR THE ADMINISTRATION OF THE 2010-2011 CDBG PROGRAM  (1)  The Department of Commerce adopts and incorporates by reference the Montana Community Development Block Grant (CDBG) Program FFY 2010 Application Guidelines for Housing and Public Facilities Planning Grants and FFY 2011 Application Guidelines for Public Facilities Projects; the Montana CDBG Economic Development Program FFY 2010 Application Guidelines for the CDBG Economic Development Program and FFY 2010 Application Guidelines for CDBG Economic Development Program Planning Projects; and the Montana CDBG Program and Neighborhood Stabilization Program (NSP) FFY 2010 Grant Administration Manual published as rules for the administration of the CDBG and NSP programs.

(2)  The rules incorporated by reference in (1) relate to the following:

(a)  policies governing the program;

(b)  requirements for applicants;

(c)  procedures for evaluating applications;

(d)  procedures for local project start up;

(e)  environmental review of project activities;

(f)  procurement of goods and services;

(g)  financial management;

(h)  protection of civil rights;

(i)  fair labor standards;

(j)  acquisition of property and relocation of persons displaced thereby;

(k)  administrative considerations specific to public facilities, housing and neighborhood renewal, economic development, and neighborhood stabilization projects;

(l)  project audits;

(m)  public relations;

(n)  project monitoring; and

(o)  planning assistance.

            (3)  Copies of the Application Guidelines and Grant Administration Manual adopted by reference in (1) can be viewed on the department's web site at: http://comdev.mt.gov/CDD_cdbg.asp, or http://businessresources.mt.gov/BRD_CDBG.asp, or may be obtained from the Department of Commerce, Community Development Division, 301 South Park Avenue, P.O. Box 200523, Helena, Montana 59620-0523.


AUTH:  90-1-103, MCA

IMP:  90-1-103, MCA


REASON:  It is reasonably necessary to adopt this new rule because the federal regulations governing the state's administration of the FFY 2010 and FFY 2011 CDBG program and 90-1-103, MCA, require the department to adopt rules to implement the program.  Local government entities must have these application guidelines before the entities may apply to the department for financial assistance under the CDBG program.  The Application Guidelines describe the federal and state requirements with which local governments must comply in order to apply for CDBG funds.  The Grant Administration Manual is primarily a restatement and explanation of existing federal and state statutory and regulatory requirements, as well as additional departmental requirements, with which local CDBG recipients must comply in administering their CDBG projects.  The Manual includes sample forms and letters, checklists, and explanatory text to help local government officials comply with the variety of requirements that apply to economic development, planning, housing and neighborhood renewal, public facility, and neighborhood stabilization projects.


            4.  Concerned persons may submit their data, views, or arguments either orally or in writing at the hearing.  Written data, views, or arguments may also be submitted to the Department of Commerce, Community Development Division, 301 South Park Avenue, P.O. Box 200523, Helena, Montana 59620-0523; telephone (406) 841-2777; fax (406) 841-2771; e-mail gbyrom@mt.gov; or to the Department of Commerce, Business Resources Division, 301 South Park Avenue, P.O. Box 200505, Helena, Montana 59620-0505; telephone (406) 841-2744; fax (406) 841-2731; e-mail nguccione@mt.gov, and must be received no later than 5:00 p.m., January 21, 2010.


5.  Gus Byrom, Department of Commerce, has been designated to preside over and conduct this hearing.


6.  The department maintains a list of interested persons who wish to receive notices of rulemaking actions proposed by this agency.  Persons who wish to have their name added to the list shall make a written request that includes the name, e-mail, and mailing address of the person to receive notices and specifies for which program the person wishes to receive notices.  Notices will be sent by e-mail unless a mailing preference is noted in the request.  Such written request may be mailed or delivered to the Department of Commerce, 301 South Park Avenue, P.O. Box 200501, Helena, Montana 59620-0501; fax (406) 841-2701; e-mail lgregg@mt.gov; or by completing a request form at any rules hearing held by the department.


7.  An electronic copy of this Proposal Notice is available through the Secretary of State's web site at http://sos.mt.gov/ARM/Register.  The Secretary of State strives to make the electronic copy of the Notice conform to the official version of the Notice, as printed in the Montana Administrative Register, but advises all concerned persons that in the event of a discrepancy between the official printed text of the Notice and the electronic version of the Notice, only the official printed text will be considered.  In addition, although the Secretary of State works to keep its web site accessible at all times, concerned persons should be aware that the web site may be unavailable during some periods, due to system maintenance or technical problems.


8.  The bill sponsor contact requirements of 2-4-302, MCA, do not apply.




/s/  KELLY A. CASILLAS                             /s/  ANTHONY J. PREITE                

KELLY A. CASILLAS                                   ANTHONY J. PREITE

Rule Reviewer                                               Director

                                                                        Department of Commerce


Certified to the Secretary of State December 14, 2009.



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