---
kind: "section"
citation: "24 C.F.R. § 570.910"
title: "24"
number: "570.910"
heading: "Corrective and remedial actions."
url: "https://uscodex.org/cfr/24/570.910"
---

# §570.910. Corrective and remedial actions.

- (a) **General.** Consistent with the procedures described in [§ 570.900(b)](/cfr/24/570.900.md?p=b), the Secretary may take one or more of the actions described in [paragraph (b)](#b) of this section. Such actions shall be designed to prevent a continuation of the performance deficiency; mitigate, to the extent possible, the adverse effects or consequences of the deficiency; and prevent a recurrence of the deficiency.
- (b) **Actions authorized.** The following lists the actions that HUD may take in response to a deficiency identified during the review of a recipient's performance:
  - (1) Issue a letter of warning advising the recipient of the deficiency and putting the recipient on notice that additional action will be taken if the deficiency is not corrected or is repeated;
  - (2) Recommend, or request the recipient to submit, proposals for corrective actions, including the correction or removal of the causes of the deficiency, through such actions as:
    - (i) Preparing and following a schedule of actions for carrying out the affected CDBG activities, consisting of schedules, timetables and milestones necessary to implement the affected CDBG activities;
    - (ii) Establishing and following a management plan which assigns responsibilities for carrying out the actions identified in [paragraph (b)(2)(i)](#b-2-i) of this section;
    - (iii) For entitlement and Insular Areas recipients, canceling or revising affected activities that are no longer feasible to implement due to the deficiency and re-programming funds from such affected activities to other eligible activities (pursuant to the citizen participation requirements in [24 CFR part 91](/cfr/24/part91.md)); or
    - (iv) Other actions which will serve to prevent a continuation of the deficiency, mitigate (to the extent possible) the adverse effects or consequences of the deficiency, and prevent a recurrence of the deficiency;
  - (3) Advise the recipient that a certification will no longer be acceptable and that additional assurances will be required;
  - (4) Advise the recipient to suspend disbursement of funds for the deficient activity;
  - (5) Advise the recipient to reimburse its program account or letter of credit in any amounts improperly expended and reprogram the use of the funds in accordance with applicable requirements;
  - (6) Change the method of payment to the recipient from a letter of credit basis to a reimbursement basis;
  - (7) In the case of claims payable to HUD or the U.S. Treasury, institute collection procedures pursuant to [subpart B](/cfr/24/subpartB.md) of [24 CFR part 17](/cfr/24/part17.md); and
  - (8) In the case of an entitlement or Insular Areas recipient, condition the use of funds from a succeeding fiscal year's allocation upon appropriate corrective action by the recipient. The failure of the recipient to undertake the actions specified in the condition may result in a reduction, pursuant to [§ 570.911](/cfr/24/570.911.md), of the entitlement or Insular Areas recipient's annual grant by up to the amount conditionally granted.

## Notes

### Amendments

[53 FR 34466, Sept. 6, 1988, as amended at 60 FR 1917, Jan. 5, 1995; 72 FR 12537, Mar. 15, 2007]

### Source

Source: 53 FR 34466, Sept. 6, 1988, unless otherwise noted.

### Authority

Authority: 12 U.S.C. 1701x, 1701 x-1; 42 U.S.C. 3535(d) and 5301-5320.

### Source

Source: 40 FR 24693, June 9, 1975, unless otherwise noted.

### Amendments

[53 FR 34466, Sept. 6, 1988, as amended at 60 FR 1917, Jan. 5, 1995; 72 FR 12537, Mar. 15, 2007]