Page 1762
a. Limited Denial of Participation (09/14/2015)
i. Definition
A Limited Denial of Participation (LDP) is an action that excludes a party from further participation in a specified HUD program area based on the participant’s failure to comply with HUD program standards. LDPs are issued under the authority of 2 CFR § 2424.1100.
ii. Cause
An LDP may be issued against an individual or other program participant based upon adequate evidence of any of the causes listed in 2 CFR § 2424.1110.
Page 1763
V. QUALITY CONTROL, OVERSIGHT, AND COMPLIANCE E. Enforcement
5. Actions and Sanctions Against Individuals and Other Program Participants
iii. Effective Date
An LDP is effective immediately upon issuance of the notice by the authorizing official.
iv. Duration
The LDP sanction may be imposed for a period not to exceed 12 months.
v. Processing and Appeals
An individual or other program participant may appeal the LDP by requesting an informal conference with the authorizing official or a hearing before the Departmental Hearing Officer within 30 Days of receipt of the notice of LDP.
LDP processing and appeal procedures are set forth in 2 CFR §§ 2424.1100–2424.1165.
vi. Public Notice
A list of individuals and other program participants who have received LDPs is available publicly on the HUD website, as well as through FHAC.