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This rule would consider the public comments on the interim rule.The Interim rule made two sets of amendments to improve the evaluation and oversight of public housing agencies (PHAs). The interim rule amended HUD's Public Housing Assessment System (PHAS) regulations by: (1) consolidating the regulations governing assessment of public housing into one part of the Code of Federal Regulations (CFR); and (2) revising certain provisions of the PHAS regulation, based on HUD's experience since it was established in 1998; and (3) updating certain PHAS procedures to reflect the conversion of PHA operations to asset management. Second, the Interim rule established, inaseparate part of the CFR, the regulations that specify the actions or inactions by which a PHA can be determined to be in substantial default, the procedures for a PHA to respond to the determination or finding, and the sanctions available to HUD to address and remedy substantial default by a PHA. Because the actions or inactions that constitute substantial default are not limited to failure to comply with PHAS regulations, the regulations applicable to substantial default were more appropriately codified in a separate CFR part.