(a) Two threshold requirements. Before rating and ranking an application, HUD will review it to determine if the application meets both of the following thresholds:

(1) Eligibility of the nominated area. This threshold is met if HUD determines that the nominated area as identified in the application meets all of the area eligibility requirements of subpart B of this part.

(2) Adequacy of State and local commitments. This threshold is met if HUD determines that the documents in the application evidencing compliance with the required State and local commitments meet all of the course of action and economic growth promotion requirements of §599.107.

(b) Failure to meet threshold requirements—

(1) No rating or ranking. An application that does not meet both of the threshold requirements by the application due date specified in the published notice inviting applications will not be rated or ranked for further Renewal Community consideration.

(2) Opportunity to correct failure. HUD will notify an applicant of the threshold deficiencies in its application. An applicant may submit additional information and take any other action required to correct the deficiencies and meet the threshold requirements until the due date for applications specified in the published notice inviting applications.