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HUD ANNOUNCES J-1 PHYSICIAN WAIVER MORATORIUM TO BE CONTINUED INDEFINITELY
On December 13, 1996, the Department of Housing and Urban Development ("HUD") announced that it intends to continue its moratorium on the issuing of waiver recommendations for physicians subject to the J-1 two year home residency requirement. HUD announced a temporary moratorium on August 26, 1996. HUD stated that it will not only not process new applications, but that applications pending prior to August 26, 1996 would also not be processed. HUD did not state how may pending applications would be affected. 
HUD gave few details concerning the specific reasons for the new policy, nor did it indicated when, if ever, it would reinstate the program. The HUD announcement did, however contain the following language:
"Due to [a] reduction in the departments [sic] staffing levels and the necessity to coordinate oversight responsibilities, the Department of Housing and Urban Development will not accept J-1 waiver applications for approval until further notice. The Department is also taking this action based on a General Accounting Office (GAO) review of the J-1 program administered by both federal and state governments."
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