The John Heinz Neighborhood Development Program was established as a permanent program in the Housing and Community Development Act of 1992. Previously, the program had been administered by the Department as a demonstration program. Pending this final rule, the permanent program has been implemented through Notices of Funding Availability (NOFAs) published in the Federal Register. The most recent NOFA was published on February 24, 1995. This final rule establishes the requirements applicable to the permanent program and contains HUD's responses to comments received on the proposed rule. The rule, which takes effect before the deadline for applications under the February 24 NOFA, will govern that NOFA and future funding competitions that may be announced from time to time.