511.80—Performance review.
(a) General.
HUD will review the performance of grantees in carrying out their responsibilities under this part whenever determined necessary by HUD, but at least annually. In conducting performance reviews, HUD will rely primarily on information obtained from the grantee's and, as appropriate, the State recipient's records and reports, findings from on-site monitoring, audit reports, and information generated from the C/MI System. Where applicable, HUD may also consider relevant information pertaining to a grantee's or State recipient's performance gained from other sources, including citizen comments, complaint determinations and litigation. Reviews to determine compliance with specific requirements of this part will be conducted as necessary, with or without prior notice to the grantee or State recipient. Comprehensive performance reviews under the standards in § 511.80(b) will be conducted after prior notice to the grantee.
(b) Standards for comprehensive performance review.
Grantee performance shall be comprehensively reviewed periodically, as prescribed by HUD, to determine:
(1)
For grantees that are units of general local government or States administering their own rental rehabilitation grant programs, whether the grantee:
(i)
Has carried out its activities in a timely manner, including the commitment of rental rehabilitation grant amounts to specific local projects in accordance with the schedule contained in its Program Description, as provided in § 511.20(b)(8), and the completion of projects in accordance with § 511.11(a) ;
(iii)
Has a continuing capacity to carry out its activities in accordance with this part and in a timely and cost-effective manner; or
(2)
For grantees that are States distributing rental rehabilitation grant amounts to State recipients, whether the State:
(i)
Has distributed these grant amounts in a timely manner and in accordance with the requirements of this part; and
(ii)
Has made such reviews and audits of its recipients as may be appropriate to determine whether they have satisfied the requirements of paragraph (b)(1)(i) through (b)(1)(iii) of this section.