---
kind: "section"
citation: "24 C.F.R. § 1006.430"
title: "24"
number: "1006.430"
heading: "Corrective and remedial action."
url: "https://uscodex.org/cfr/24/1006.430"
---

# §1006.430. Corrective and remedial action.

- (a) **General.** One or more corrective or remedial actions will be taken by HUD when, on the basis of a performance review, HUD determines that the DHHL has not:
  - (1) Complied with the requirements of the Act and this part and other applicable laws and regulations, including the environmental responsibilities assumed under [§ 1006.350](/cfr/24/1006.350.md);
  - (2) Carried out its activities substantially as described in its housing plan;
  - (3) Made substantial progress in carrying out its program and achieving its quantifiable goals as described in its housing plan; or
  - (4) **Shown the continuing capacity to carry out its approved activities in a timely manner.**
- (b) **Action.** The action taken by HUD will be designed, first, to prevent the continuance of the deficiency; second, to mitigate any adverse effects or consequences of the deficiency; and third, to prevent a recurrence of the same or similar deficiencies. The following actions may be taken singly or in combination, as appropriate for the circumstances:
  - (1) Issue a letter of warning advising the DHHL of the performance problem(s), describing the corrective actions that HUD believes should be taken, establishing a completion date for corrective actions, and notifying the DHHL that more serious actions may be taken if the performance problem(s) is not corrected or is repeated;
  - (2) Request the DHHL to submit progress schedules for completing activities or complying with the requirements of the Act and this part;
  - (3) Recommend that the DHHL suspend, discontinue, or not incur costs for the affected activity;
  - (4) Recommend that the DHHL redirect funds from affected activities to other eligible activities;
  - (5) Recommend that the DHHL reimburse its program account or line of credit under the Act in the amount improperly expended and reprogram the use of the funds; and
  - (6) Recommend that the DHHL obtain appropriate technical assistance using existing grant funds or other available resources to overcome the performance problem(s).

## Notes

### Authority

Authority: 12 U.S.C. 1701x, 1701x-1; 25 U.S.C. 4221 et seq.; 42 U.S.C. 3535(d), Pub. L. 115-141, Pub. L. 116-6, Pub. L. 116-94, Pub. L. 116-260, Pub. L. 117-103, Pub. L. 117-328.

### Source

Source: 67 FR 40776, June 13, 2002, unless otherwise noted.