42 U.S.C. § 12753: Program enforcement and…

Summary

When the Secretary finds, after giving notice and a chance for a hearing, that a participating jurisdiction has not followed any part of this program — including rules that apply during the period required by section 12745(a)(1)(E) and related regulations — the Secretary must reduce that jurisdiction’s HOME Investment Trust Fund line of credit by the amount of any spending that did not follow the subchapter’s rules. The Secretary must keep the reduction in place until satisfied the problem is fixed. The Secretary may also stop withdrawals for the affected activities, limit the jurisdiction to activities that match model programs made available under section 12743, remove the jurisdiction from receiving allocations or reallocations under this part, or cut future payments by the amount that was spent improperly.

Title 42, §12753

The Public Health and Welfare, Source: USLM XML via OLRC

If the Secretary finds after reasonable notice and opportunity for hearing that a participating jurisdiction has failed to comply substantially with any provision of this part, including any provision applicable throughout the period required by section 12745(a)(1)(E) of this title and applicable regulations, and until the Secretary is satisfied that there is no longer any such failure to comply, the Secretary shall reduce the line of credit in the participating jurisdiction’s HOME Investment Trust Fund by the amount of any expenditures that were not in accordance with the requirements of this subchapter, and the Secretary may—

(1)prevent withdrawals from the participating jurisdiction’s HOME Investment Trust Fund for activities affected by such failure to comply;

(2)restrict the participating jurisdiction’s activities under this subchapter to activities that conform to one or more model programs made available under section 12743 of this title;

(3)remove the participating jurisdiction from participation in allocations or reallocations of funds made available under this part; or

(4)reduce payments to the participating jurisdiction under this part by an amount equal to the amount of such payments that were not expended by the participating jurisdiction in accordance with this subchapter.

Notes & Related Subsidiaries

Editorial Notes

Amendments

2026—Pub. L. 119–101, § 501(t)(4)(B), inserted “, including any provision applicable throughout the period required by section 12745(a)(1)(E) of this title and applicable

Regulations

,” after “any provision of this part” in introductory provisions. Pub. L. 119–101, § 501(t)(4)(A), substituted “Program

Enforcement

and penalties for noncompliance” for “Penalties for misuse of funds” in section catchline. Par. (4). Pub. L. 119–101, § 501(t)(4)(C) to (E), added par. (4).

§12753 Program Enforcement and Penalties for Noncompliance