24 C.F.R. Subpart E—Post-Designation Requirements
Title 24 - Housing and Urban Development
HUD will require periodic reports for the Empowerment Zones and Enterprise Communities designated pursuant to this part. These reports will identify the community, local government and State actions which have been taken in accordance with the strategic plan. In addition to these reports, such other information relating to designated Empowerment Zones and Enterprise Communities as HUD shall request from time to time, including information documenting nondiscrimination in hiring and employment by businesses within the designated Empowerment Zone or Enterprise Community, shall be submitted promptly. HUD will regularly evaluate the progress of the strategic plan in each designated Empowerment Zone and Enterprise Community on the basis of performance reviews to be conducted on site and other information submitted. HUD will also commission evaluations of the Empowerment Zone program as a whole by an impartial third party, at such intervals as HUD may establish. (a) Reevaluation of designations. On the basis of the performance reviews described in §597.401, and subject to the provisions relating to the revocation of designation appearing at §597.403, HUD will make findings on the continuing eligibility for and the validity of the designation of any Empowerment Zone or Enterprise Community. Determinations of whether any designated Empowerment Zone or Enterprise Community remains in good standing shall be promptly communicated to all Federal agencies providing assistance or administering programs under which assistance can be made available in such Zone or Community. (b) Modification of designation. Based on an urban area's success in carrying out its strategic plan, and subject to the provisions relating to revocation of designation appearing at §597.403 and the requirements as to the number, maximum population and other characteristics of urban Empowerment Zones set forth in §597.3, the Secretary may modify designations by reclassifying urban Empowerment Zones as Enterprise Communities or Enterprise Communities as Empowerment Zones. (a) Basis for revocation. The Secretary may revoke the designation of an urban area as an Empowerment Zone or Enterprise Community if the Secretary determines, on the basis of the periodic performance review described at §597.401, that the State(s) or local government(s) in which the urban area is located: (1) Has modified the boundaries of the area; (2) Has failed to make progress in achieving the benchmarks set forth in the strategic plan; or (3) Has not complied substantially with the strategic plan. (b) Letter of warning. Before revoking the designation of an urban area as an Empowerment Zone or Enterprise Community, the Secretary will issue a letter of warning to the nominating State(s) and local government(s): (1) Advising that the Secretary has determined that the nominating local government(s) and/or State(s) has: (i) Modified the boundaries of the area; or (ii) Is not complying substantially with, or has failed to make progress in achieving the benchmarks set forth in the strategic plan prepared pursuant to §597.200(c); and (2) Requesting a reply from all involved parties within 90 days of the receipt of this letter of warning. (c) Notice of revocation. After allowing 90 days from the date of receipt of the letter of warning for response, and after making a determination pursuant to paragraph (a) of this section, the Secretary may issue a final notice of revocation of the designation of the urban area as an Empowerment Zone or Enterprise Community. (d) Notice to affected Federal agencies. HUD will notify all affected Federal agencies providing assistance in an urban Empowerment Zone or Enterprise Community of its determination to revoke any designation pursuant to this section or to modify a designation pursuant to §597.402(b).
Title 24: Housing and Urban Development
PART 597—URBAN EMPOWERMENT ZONES AND ENTERPRISE COMMUNITIES: ROUND ONE DESIGNATIONS
Subpart E—Post-Designation Requirements
§ 597.400 Reporting.
§ 597.401 Periodic performance reviews.
§ 597.402 Validation of designation.
§ 597.403 Revocation of designation.
